| Leases
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Years | |
Trade names | 10-15 |
Non-competes | 1-10 |
Customer relationships | 5-15 |
Other intangibles | 3-15 |
Years | |
Buildings | 30-45 |
Machinery and equipment | 3-19 |
(1) | Management, having the authority to approve the action, commits to a plan of termination. |
(2) | The plan identifies the number of employees to be terminated, their job classifications or functions and their locations, and the expected completion date. |
(3) | The plan establishes the terms of the benefit arrangement, including the benefits that employees will receive upon termination (including but not limited to cash payments), in sufficient detail to enable employees to determine the type and amount of benefits they will receive if they are involuntarily terminated. |
(4) | Actions required to complete the plan indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. |
• | Level 1 – Observable inputs such as unadjusted quoted prices in active markets for identical assets and liabilities. |
• | Level 2 – Observable inputs other than quoted prices in active markets for identical assets and liabilities. |
• | Level 3 – Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets and liabilities. |
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# of Acquisitions | Purchase Price, net of Cash | Tangible Assets, net | Intangible Assets | Goodwill | ||||||||||||
Total 2016 Acquisitions | — | $ | — | — | — | — | ||||||||||
Total 2015 Acquisitions | — | $ | — | — | — | — | ||||||||||
Total 2014 Acquisitions | 2 | $ | 53.5 | 2.5 | 22.1 | 25.9 |
|
For the years ended October 31, | 2016 | 2015 | 2014 | ||||||||
European RPA | |||||||||||
Gross accounts receivable sold to third party financial institution | $ | 620.3 | $ | 715.2 | $ | 1,006.4 | |||||
Cash received for accounts receivable sold under the programs | 548.1 | 633.6 | 888.1 | ||||||||
Deferred purchase price related to accounts receivable sold | 71.7 | 76.2 | 118.3 | ||||||||
Loss associated with the programs | 0.8 | 1.5 | 2.5 | ||||||||
Expenses associated with the programs | — | — | — | ||||||||
Singapore RPA | |||||||||||
Gross accounts receivable sold to third party financial institution | $ | 44.1 | $ | 48.1 | $ | 56.7 | |||||
Cash received for accounts receivable sold under the programs | 36.4 | 48.1 | 56.7 | ||||||||
Deferred purchase price related to accounts receivable sold | 7.1 | — | — | ||||||||
Loss associated with the programs | — | 0.1 | — | ||||||||
Expenses associated with the programs | — | 0.1 | 0.1 | ||||||||
Total RPAs and Agreements | |||||||||||
Gross accounts receivable sold to third party financial institution | $ | 664.4 | $ | 763.3 | $ | 1,063.1 | |||||
Cash received for accounts receivable sold under the program | 584.5 | 681.7 | 944.8 | ||||||||
Deferred purchase price related to accounts receivable sold | 78.8 | 76.2 | 118.3 | ||||||||
Loss associated with the program | 0.8 | 1.6 | 2.5 | ||||||||
Expenses associated with the program | — | 0.1 | 0.1 |
October 31, 2016 | October 31, 2015 | ||||||
European RPA | |||||||
Accounts receivable sold to and held by third party financial institution | $ | 106.7 | $ | 114.8 | |||
Deferred purchase price asset (liability) related to accounts receivable sold | (0.4 | ) | (1.5 | ) | |||
Singapore RPA | |||||||
Accounts receivable sold to and held by third party financial institution | $ | 4.0 | $ | 4.0 | |||
Uncollected deferred purchase price related to accounts receivable sold | 0.5 | — | |||||
Total RPAs and Agreements | |||||||
Accounts receivable sold to and held by third party financial institution | $ | 110.7 | $ | 118.8 | |||
Deferred purchase price asset (liability) related to accounts receivable sold | 0.1 | (1.5 | ) |
|
2016 | 2015 | ||||||
Finished goods | $ | 79.8 | $ | 88.0 | |||
Raw materials | 185.4 | 190.7 | |||||
Work-in process | 12.2 | 18.3 | |||||
$ | 277.4 | $ | 297.0 |
|
October 31, 2016 | October 31, 2015 | |||||
Trade accounts receivable, less allowance | $ | — | $ | 2.3 | ||
Inventories | — | 1.6 | ||||
Properties, plants and equipment, net | 11.8 | 8.1 | ||||
Other assets | — | 4.9 | ||||
Assets held for sale | 11.8 | 16.9 | ||||
Accounts payable | — | 1.8 | ||||
Liabilities held for sale | $ | — | $ | 1.8 |
|
Rigid Industrial Packaging & Services | Paper Packaging & Services | Flexible Products & Services (1) | Land Management | Total | |||||||||||||||
Balance at October 31, 2014 | $ | 820.7 | $ | 59.5 | $ | — | $ | — | $ | 880.2 | |||||||||
Goodwill acquired | — | — | — | — | — | ||||||||||||||
Goodwill allocated to divestitures and businesses held for sale | (11.6 | ) | — | — | — | (11.6 | ) | ||||||||||||
Goodwill adjustments | — | — | — | — | — | ||||||||||||||
Goodwill impairment charge | — | — | — | — | — | ||||||||||||||
Currency translation | (61.5 | ) | — | — | — | (61.5 | ) | ||||||||||||
Balance at October 31, 2015 | $ | 747.6 | $ | 59.5 | $ | — | $ | — | $ | 807.1 | |||||||||
Goodwill acquired | — | — | — | — | — | ||||||||||||||
Goodwill allocated to divestitures and businesses held for sale | (17.6 | ) | — | — | — | (17.6 | ) | ||||||||||||
Goodwill adjustments | — | — | — | — | — | ||||||||||||||
Goodwill impairment charge | — | — | — | — | — | ||||||||||||||
Currency translation | (3.1 | ) | — | — | — | (3.1 | ) | ||||||||||||
Balance at October 31, 2016 | $ | 726.9 | $ | 59.5 | $ | — | $ | — | $ | 786.4 |
(1) | Accumulated goodwill impairment loss was $50.3 million as of October 31, 2016, 2015 and 2014. |
• | During the fourth quarter of 2014, the Flexible Products & Services business changed the labor mix of employees at one of its facilities in Turkey, resulting in higher expected long-term overall labor costs. |
• | There were also certain Flexible Products & Services businesses and facilities identified during the fourth quarter of 2014 as planned divestitures and shutdowns. These planned divestitures and shutdowns were primarily distribution locations and so reduced overall sales and topline revenue for Flexible Products & Services without reducing fixed production costs, resulting in projected decreases in gross margins and operating profit margins for the business as a whole. |
• | Finally, there was a significant devaluation of the Euro that negatively impacted expected results for the Flexible Products & Services business, as a significant portion of its forecasted sales are to customers in the Euro zone. The devaluation is projected to have a long-term effect on the results of the Flexible Products & Services reporting unit. |
Gross Intangible Assets | Accumulated Amortization | Net Intangible Assets | |||||||||
October 31, 2016: | |||||||||||
Indefinite lived: | |||||||||||
Trademarks and patents | $ | 13.0 | $ | — | $ | 13.0 | |||||
Definite lived: | |||||||||||
Customer relationships | $ | 167.6 | $ | 86.9 | $ | 80.7 | |||||
Trademarks and patents | 12.1 | 4.8 | 7.3 | ||||||||
Non-compete agreements | 1.0 | 0.9 | 0.1 | ||||||||
Other | 23.5 | 14.0 | 9.5 | ||||||||
Total | $ | 217.2 | $ | 106.6 | $ | 110.6 | |||||
October 31, 2015: | |||||||||||
Indefinite lived: | |||||||||||
Trademarks and patents | $ | 13.1 | $ | — | $ | 13.1 | |||||
Definite lived: | |||||||||||
Customer relationships | $ | 180.7 | $ | 81.7 | $ | 99.0 | |||||
Trademarks and patents | 12.4 | 4.2 | 8.2 | ||||||||
Non-compete agreements | 4.9 | 4.5 | 0.4 | ||||||||
Other | 24.2 | 12.2 | 12.0 | ||||||||
Total | $ | 235.3 | $ | 102.6 | $ | 132.7 |
|
Employee Separation Costs | Other costs | Total | |||||||||
Balance at October 31, 2014 | $ | 2.9 | $ | 1.2 | $ | 4.1 | |||||
Costs incurred and charged to expense | 27.8 | 12.2 | 40.0 | ||||||||
Costs paid or otherwise settled | (16.0 | ) | (6.8 | ) | (22.8 | ) | |||||
Balance at October 31, 2015 | $ | 14.7 | $ | 6.6 | $ | 21.3 | |||||
Costs incurred and charged to expense | 16.7 | 10.2 | 26.9 | ||||||||
Costs paid or otherwise settled | (22.2 | ) | (15.6 | ) | (37.8 | ) | |||||
Balance at October 31, 2016 | $ | 9.2 | $ | 1.2 | $ | 10.4 |
Total Amounts Expected to be Incurred | Amounts Incurred During the year ended October 31, 2016 | Amounts Remaining to be Incurred | |||||||||
Rigid Industrial Packaging & Services: | |||||||||||
Employee separation costs | $ | 23.5 | $ | 12.4 | 11.1 | ||||||
Other restructuring costs | 8.3 | 6.6 | 1.7 | ||||||||
31.8 | 19.0 | 12.8 | |||||||||
Flexible Products & Services: | |||||||||||
Employee separation costs | 6.0 | 4.0 | 2.0 | ||||||||
Other restructuring costs | 3.6 | 2.3 | 1.3 | ||||||||
9.6 | 6.3 | 3.3 | |||||||||
Paper Packaging & Services: | |||||||||||
Employee separation costs | 0.3 | 0.3 | — | ||||||||
Other restructuring costs | 1.2 | 1.2 | — | ||||||||
1.5 | 1.5 | — | |||||||||
Land Management: | |||||||||||
Employee separation costs | — | — | — | ||||||||
Other restructuring costs | 0.1 | 0.1 | — | ||||||||
0.1 | 0.1 | — | |||||||||
$ | 43.0 | $ | 26.9 | $ | 16.1 |
|
As of October 31, | 2016 | 2015 | |||||
Cash and cash equivalents | $ | 15.2 | $ | 14.5 | |||
Trade accounts receivable, less allowance of $2.8 in 2016 and $3.2 in 2015 | 43.3 | 47.5 | |||||
Inventories | 50.9 | 44.7 | |||||
Properties, plants and equipment, net | 25.0 | 43.1 | |||||
Other assets | 37.3 | 36.8 | |||||
Total Assets | $ | 171.7 | $ | 186.6 | |||
Accounts payable | 30.7 | 27.9 | |||||
Other liabilities | 43.7 | 50.6 | |||||
Total Liabilities | $ | 74.4 | $ | 78.5 |
|
October 31, 2016 | October 31, 2015 | ||||||
Prior Credit Agreement | $ | 201.2 | $ | 217.4 | |||
Senior Notes due 2017 | 300.1 | 300.7 | |||||
Senior Notes due 2019 | 247.0 | 246.0 | |||||
Senior Notes due 2021 | 216.6 | 219.4 | |||||
Amended Receivables Facility | — | 147.6 | |||||
Other long-term debt | 9.7 | 15.8 | |||||
974.6 | 1,146.9 | ||||||
Less current portion | — | (30.7 | ) | ||||
Long-term debt | $ | 974.6 | $ | 1,116.2 |
|
October 31, 2016 | Balance sheet Location | ||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
Foreign exchange hedges | $ | — | $ | 0.3 | $ | — | $ | 0.3 | Prepaid expenses and other current assets | ||||||||
Foreign exchange hedges | — | (0.3 | ) | — | (0.3 | ) | Other current liabilities | ||||||||||
Insurance Annuity | — | — | 20.1 | 20.1 | Other long-term assets | ||||||||||||
Total* | $ | — | $ | — | $ | 20.1 | $ | 20.1 | |||||||||
October 31, 2015 | |||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | Balance sheet Location | |||||||||||||
Foreign exchange hedges | — | 0.3 | — | 0.3 | Prepaid expenses and other current assets | ||||||||||||
Foreign exchange hedges | — | (0.2 | ) | (0.2 | ) | Other current liabilities | |||||||||||
Insurance Annuity | — | — | 20.1 | 20.1 | Other long-term assets | ||||||||||||
Total* | $ | — | $ | 0.1 | $ | 20.1 | $ | 20.2 |
October 31, 2016 | October 31, 2015 | ||||||
Senior Notes due 2017 Estimated fair value | $ | 302.4 | $ | 314.8 | |||
Senior Notes due 2019 Estimated fair value | 280.1 | 280.6 | |||||
Senior Notes due 2021 Estimated fair value | 264.9 | 258.7 | |||||
Assets held by special purpose entities Estimated fair value | 54.3 | 54.4 |
• | Common Stock: Valued based on quoted prices and are primarily exchange-traded. |
• | Mutual funds: Valued at the Net Asset Value “NAV” available daily in an observable market. |
• | Common collective trusts: Unit value calculated based on the observable NAV of the underlying investment. |
• | Pooled separate accounts: Unit value calculated based on the observable NAV of the underlying investment. |
• | Government and corporate debt securities: Valued based on readily available inputs such as yield or price of bonds of comparable quality, coupon, maturity and type. |
• | Insurance annuity: Value is derived based on the value of the corresponding liability. |
Quantitative Information about Level 3 Fair Value Measurements | |||||||||
Fair Value of Impairment | Valuation Technique | Unobservable Input | Range of Input Values | ||||||
October 31, 2016 | |||||||||
Impairment of Net Assets Held for Sale | $ | 37.6 | Broker Quote / Indicative Bids | Indicative Bids | N/A | ||||
Impairment of Long Lived Assets | 13.8 | Sales Value | Sales Value | N/A | |||||
Total | $ | 51.4 | |||||||
October 31, 2015 | |||||||||
Impairment of Long-lived assets- Land & Building | $ | 28.1 | Broker Quote / Indicative Bids | Indicative Bids | N/A | ||||
Impairment of Long-lived assets- Machinery & Equipment | 17.8 | Sales Value | Sales Value | N/A | |||||
Total | $ | 45.9 |
|
2016 | 2015 | 2014 | |||||||||||||||||
Shares | Weighted Average Exercise price | Shares | Weighted Average Exercise price | Shares | Weighted Average Exercise price | ||||||||||||||
Beginning balance | — | — | 10 | $ | 27.36 | 79 | $ | 25.30 | |||||||||||
Granted | — | — | — | — | — | — | |||||||||||||
Forfeited | — | — | — | — | — | — | |||||||||||||
Exercised | — | — | 10 | 27.36 | 69 | 25.01 | |||||||||||||
Ending balance | — | — | — | $ | — | 10 | $ | 27.36 |
|
For the years ended October 31, | 2016 | 2015 | 2014 | ||||||||
Current | |||||||||||
Federal | $ | 20.3 | $ | 18.3 | $ | 53.1 | |||||
State and local | 4.4 | 4.0 | 9.8 | ||||||||
Non-U.S. | 40.3 | 29.6 | 38.0 | ||||||||
65.0 | 51.9 | 100.9 | |||||||||
Deferred | |||||||||||
Federal | 0.5 | 2.4 | 2.7 | ||||||||
State and local | 0.5 | 0.2 | (1.6 | ) | |||||||
Non-U.S. | 0.5 | (6.1 | ) | 13.0 | |||||||
1.5 | (3.5 | ) | 14.1 | ||||||||
$ | 66.5 | $ | 48.4 | $ | 115.0 |
For the years ended October 31, | 2016 | 2015 | 2014 | |||||
Federal statutory rate | 35.00 | % | 35.00 | % | 35.00 | % | ||
Impact of foreign tax rate differential | (11.15 | )% | (10.10 | )% | (2.40 | )% | ||
State and local taxes, net of federal tax benefit | 2.19 | % | 2.80 | % | 4.20 | % | ||
Net impact of changes in valuation allowances | 1.91 | % | 3.00 | % | 12.70 | % | ||
Venezuela balance sheet remeasurement | — | % | 5.90 | % | — | % | ||
Non-deductible write-off and impairment of goodwill and other intangible assets | 7.37 | % | 2.50 | % | 15.60 | % | ||
Unrecognized tax benefits | 4.84 | % | 2.50 | % | 7.20 | % | ||
Permanent book-tax differences | (4.78 | )% | (0.50 | )% | (3.10 | )% | ||
Withholding taxes | 4.64 | % | 2.70 | % | 2.90 | % | ||
Other items, net | 7.08 | % | (1.60 | )% | 0.70 | % | ||
47.10 | % | 42.20 | % | 72.80 | % |
2016 | 2015 | ||||||
Deferred Tax Assets | |||||||
Net operating loss and other carryforwards | $ | 83.0 | $ | 80.8 | |||
Pension liabilities | 57.0 | 53.6 | |||||
Insurance operations | 2.7 | 3.5 | |||||
Incentive liabilities | 8.0 | 5.4 | |||||
Environmental reserves | 1.3 | 0.4 | |||||
Inventories | 7.8 | 6.5 | |||||
State income taxes | 7.0 | 7.4 | |||||
Postretirement benefit obligations | 3.1 | 3.5 | |||||
Other | 9.1 | 11.3 | |||||
Interest accrued | 1.2 | 1.6 | |||||
Allowance for doubtful accounts | 1.9 | 3.4 | |||||
Restructuring reserves | 1.1 | 6.0 | |||||
Deferred compensation | 3.8 | 2.9 | |||||
Foreign tax credits | 2.4 | 2.3 | |||||
Vacation accruals | 1.5 | 1.5 | |||||
Workers compensation accruals | 6.7 | 3.5 | |||||
Total Deferred Tax Assets | 197.6 | 193.6 | |||||
Valuation allowance | (92.1 | ) | (89.5 | ) | |||
Net Deferred Tax Assets | 105.5 | 104.1 | |||||
Deferred Tax Liabilities | |||||||
Properties, plants and equipment | 86.5 | 84.7 | |||||
Goodwill and other intangible assets | 80.4 | 80.1 | |||||
Foreign income inclusion | 1.1 | 1.1 | |||||
Foreign exchange gains | 5.7 | 6.1 | |||||
Timberland transactions | 115.8 | 116.2 | |||||
Total Deferred Tax Liabilities | 289.5 | 288.2 | |||||
Net Deferred Tax Liability | $ | (184.0 | ) | $ | (184.1 | ) |
2016 | 2015 | 2014 | |||||||||
Balance at November 1 | $ | 29.6 | $ | 34.3 | $ | 30.5 | |||||
Increases in tax positions for prior years | 5.7 | 8.5 | 5.7 | ||||||||
Decreases in tax positions for prior years | (10.5 | ) | (2.2 | ) | (8.2 | ) | |||||
Increases in tax positions for current years | 6.9 | 6.2 | 10.3 | ||||||||
Settlements with taxing authorities | — | (5.7 | ) | (0.6 | ) | ||||||
Lapse in statute of limitations | (2.6 | ) | (6.2 | ) | (0.8 | ) | |||||
Currency translation | 0.6 | (5.3 | ) | (2.6 | ) | ||||||
Balance at October 31 | $ | 29.7 | $ | 29.6 | $ | 34.3 |
|
October 31, 2016 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||
Active participants | 1,573 | 1,405 | 95 | — | 73 | — | |||||||||||
Vested former employees and deferred members | 2,149 | 1,484 | 60 | 462 | 89 | 54 | |||||||||||
Retirees and beneficiaries | 4,114 | 2,565 | 258 | 699 | 534 | 58 | |||||||||||
October 31, 2015 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||
Active participants | 1,869 | 1,509 | 105 | 133 | 74 | 48 | |||||||||||
Vested former employees | 2,083 | 1,525 | 57 | 399 | 81 | 21 | |||||||||||
Retirees and beneficiaries | 4,050 | 2,480 | 255 | 718 | 540 | 57 |
For the year ended October 31, 2016 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||
Discount rate | 3.08 | % | 3.79 | % | 1.50 | % | 2.44 | % | 1.32 | % | 4.31 | % | |||||
Expected return on plan assets | 5.51 | % | 6.25 | % | N/A | 6.00 | % | 1.88 | % | 5.77 | % | ||||||
Rate of compensation increase | 2.87 | % | 3.00 | % | 2.75 | % | N/A | 2.25 | % | N/A | |||||||
For the year ended October 31, 2015 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||
Discount rate | 3.71 | % | 4.37 | % | 2.10 | % | 3.45 | % | 1.98 | % | 4.82 | % | |||||
Expected return on plan assets | 5.47 | % | 6.25 | % | N/A | 6.00 | % | 2.06 | % | 5.99 | % | ||||||
Rate of compensation increase | 3.01 | % | 3.00 | % | 2.75 | % | 3.50 | % | 2.25 | % | N/A | ||||||
For the year ended October 31, 2014 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||
Discount rate | 3.69 | % | 4.22 | % | 2.45 | % | 3.72 | % | 2.20 | % | 4.83 | % | |||||
Expected return on plan assets | 5.73 | % | 6.25 | % | N/A | 6.25 | % | 3.25 | % | 6.09 | % | ||||||
Rate of compensation increase | 2.93 | % | 3.00 | % | 2.75 | % | 3.25 | % | 2.25 | % | 2.41 | % |
For the year ended October 31, 2016 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||||||||
Service cost | $ | 12.4 | $ | 10.2 | $ | 0.5 | $ | 0.8 | $ | 0.7 | $ | 0.2 | |||||||||||
Interest cost | 22.0 | 13.7 | 0.8 | 5.7 | 1.4 | 0.4 | |||||||||||||||||
Expected return on plan assets | (32.1 | ) | (19.0 | ) | — | (10.7 | ) | (1.7 | ) | (0.7 | ) | ||||||||||||
Amortization of prior service cost | (0.2 | ) | (0.1 | ) | — | — | (0.1 | ) | — | ||||||||||||||
Recognized net actuarial loss | 11.4 | 9.3 | 1.0 | 0.8 | 0.3 | — | |||||||||||||||||
Special Events | |||||||||||||||||||||||
Settlement | 0.1 | — | — | — | — | 0.1 | |||||||||||||||||
Net periodic pension (benefit) cost | $ | 13.6 | $ | 14.1 | $ | 2.3 | $ | (3.4 | ) | $ | 0.6 | $ | — | ||||||||||
For the year ended October 31, 2015 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||||||||
Service cost | $ | 15.5 | $ | 11.3 | $ | 0.5 | $ | 1.8 | $ | 1.4 | $ | 0.5 | |||||||||||
Interest cost | 27.6 | 17.3 | 0.9 | 6.5 | 2.4 | 0.5 | |||||||||||||||||
Expected return on plan assets | (32.8 | ) | (18.7 | ) | — | (11.4 | ) | (1.9 | ) | (0.8 | ) | ||||||||||||
Amortization of prior service cost | 0.1 | 0.1 | — | — | — | — | |||||||||||||||||
Recognized net actuarial loss | 14.2 | 10.0 | 0.9 | 2.2 | 0.8 | 0.3 | |||||||||||||||||
Special Events | |||||||||||||||||||||||
Curtailment | 0.5 | 0.3 | — | — | — | 0.2 | |||||||||||||||||
Settlement | 0.1 | — | — | — | — | 0.1 | |||||||||||||||||
Special/contractual termination benefit | 0.1 | — | — | — | — | 0.1 | |||||||||||||||||
Net periodic pension (benefit) cost | $ | 25.3 | $ | 20.3 | $ | 2.3 | $ | (0.9 | ) | $ | 2.7 | $ | 0.9 | ||||||||||
For the year ended October 31, 2014 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||||||||
Service cost | $ | 15.7 | $ | 10.4 | $ | 0.6 | $ | 2.5 | $ | 1.6 | $ | 0.6 | |||||||||||
Interest cost | 29.6 | 16.6 | 1.3 | 7.5 | 3.6 | 0.6 | |||||||||||||||||
Expected return on plan assets | (33.9 | ) | (17.4 | ) | — | (12.6 | ) | (3.1 | ) | (0.8 | ) | ||||||||||||
Amortization of prior service cost | 0.2 | 0.2 | — | — | — | — | |||||||||||||||||
Recognized net actuarial loss | 10.4 | 6.8 | 0.7 | 1.9 | 0.8 | 0.2 | |||||||||||||||||
Net periodic pension (benefit) cost | $ | 22.0 | $ | 16.6 | $ | 2.6 | $ | (0.7 | ) | $ | 2.9 | $ | 0.6 |
For the year ended October 31, 2016 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||||||||
Change in benefit obligation: | |||||||||||||||||||||||
Benefit obligation at beginning of year | $ | 765.8 | $ | 432.1 | $ | 38.7 | $ | 184.0 | $ | 100.8 | $ | 10.2 | |||||||||||
Service cost | 12.4 | 10.2 | 0.5 | 0.8 | 0.7 | 0.2 | |||||||||||||||||
Interest cost | 22.0 | 13.7 | 0.8 | 5.7 | 1.4 | 0.4 | |||||||||||||||||
Plan participant contributions | 0.2 | — | — | — | 0.2 | — | |||||||||||||||||
Expenses paid from assets | (4.0 | ) | (3.3 | ) | — | (0.7 | ) | 0.2 | (0.2 | ) | |||||||||||||
Plan Amendments | 0.5 | 0.5 | — | — | — | — | |||||||||||||||||
Actuarial (gain) loss | 70.1 | 39.1 | 3.6 | 33.4 | (7.1 | ) | 1.1 | ||||||||||||||||
Foreign currency effect | (43.4 | ) | — | (0.6 | ) | (41.5 | ) | (1.2 | ) | (0.1 | ) | ||||||||||||
Benefits paid | (39.8 | ) | (22.1 | ) | (1.2 | ) | (10.3 | ) | (4.9 | ) | (1.3 | ) | |||||||||||
Benefit obligation at end of year | $ | 783.8 | $ | 470.2 | $ | 41.8 | $ | 171.4 | $ | 90.1 | $ | 10.3 | |||||||||||
For the year ended October 31, 2015 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||||||||
Change in benefit obligation: | |||||||||||||||||||||||
Benefit obligation at beginning of year | $ | 786.9 | $ | 419.6 | $ | 41.9 | $ | 186.9 | $ | 123.6 | $ | 14.9 | |||||||||||
Service cost | 15.5 | 11.3 | 0.5 | 1.8 | 1.4 | 0.5 | |||||||||||||||||
Interest cost | 27.6 | 17.3 | 0.9 | 6.5 | 2.4 | 0.5 | |||||||||||||||||
Plan participant contributions | 0.2 | — | — | — | 0.2 | — | |||||||||||||||||
Expenses paid from assets | (2.7 | ) | (2.1 | ) | — | (0.7 | ) | 0.2 | (0.1 | ) | |||||||||||||
Plan Amendments | (3.3 | ) | (2.3 | ) | — | — | (1.0 | ) | — | ||||||||||||||
Actuarial (gain) loss | 15.7 | 9.1 | 2.2 | 9.0 | (4.6 | ) | — | ||||||||||||||||
Foreign currency effect | (33.7 | ) | — | (5.6 | ) | (9.7 | ) | (16.2 | ) | (2.2 | ) | ||||||||||||
Benefits paid | (33.0 | ) | (18.4 | ) | (1.2 | ) | (7.3 | ) | (5.2 | ) | (0.9 | ) | |||||||||||
Curtailments | (7.2 | ) | (2.1 | ) | — | (2.5 | ) | — | (2.6 | ) | |||||||||||||
Other | (0.2 | ) | (0.3 | ) | — | — | — | 0.1 | |||||||||||||||
Benefit obligation at end of year | $ | 765.8 | $ | 432.1 | $ | 38.7 | $ | 184.0 | $ | 100.8 | $ | 10.2 |
Actuarial value of benefit obligations | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||||||||
October 31, 2016 | |||||||||||||||||||||||
Projected benefit obligation | $ | 783.8 | $ | 470.2 | $ | 41.8 | $ | 171.4 | $ | 90.1 | $ | 10.3 | |||||||||||
Accumulated benefit obligation | 752.9 | 443.4 | 39.1 | 171.4 | 88.7 | 10.3 | |||||||||||||||||
Plan assets | 626.3 | 332.5 | — | 185.1 | 96.1 | 12.6 | |||||||||||||||||
October 31, 2015 | |||||||||||||||||||||||
Projected benefit obligation | $ | 765.8 | $ | 432.1 | $ | 38.7 | $ | 184.0 | $ | 100.8 | $ | 10.2 | |||||||||||
Accumulated benefit obligation | 739.9 | 409.8 | 35.9 | 184.0 | 100.0 | 10.2 | |||||||||||||||||
Plan assets | 624.7 | 311.1 | — | 208.4 | 92.7 | 12.5 | |||||||||||||||||
Plans with ABO in excess of Plan assets | |||||||||||||||||||||||
October 31, 2016 | |||||||||||||||||||||||
Accumulated benefit obligation | $ | 492.7 | $ | 443.4 | $ | 39.1 | $ | — | $ | — | $ | 10.2 | |||||||||||
Plan assets | 342.5 | 332.5 | — | — | — | 10.0 | |||||||||||||||||
October 31, 2015 | |||||||||||||||||||||||
Accumulated benefit obligation | $ | 546.5 | $ | 409.8 | $ | 35.9 | $ | — | $ | 100.0 | $ | 0.8 | |||||||||||
Plan assets | 404.4 | 311.1 | — | — | 92.7 | 0.6 |
Year | Expected benefit payments | ||
2017 | $ | 42.2 | |
2018 | 42.3 | ||
2019 | 43.9 | ||
2020 | 44.5 | ||
2021 | 44.4 | ||
2022-2026 | 242.7 |
Asset Category | 2016 Target | 2016 Actual | 2015 Target | 2015 Actual | |||||||
Equity securities | 25 | % | 29 | % | 23 | % | 28 | % | |||
Debt securities | 49 | % | 40 | % | 51 | % | 40 | % | |||
Other | 26 | % | 31 | % | 26 | % | 32 | % | |||
Total | 100 | % | 100 | % | 100 | % | 100 | % |
For the year ended October 31, 2016 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||||||||
Change in plan assets: | |||||||||||||||||||||||
Fair value of plan assets at beginning of year | $ | 624.7 | $ | 311.1 | $ | — | $ | 208.4 | $ | 92.7 | $ | 12.5 | |||||||||||
Actual return on plan assets | 71.6 | 29.8 | — | 31.5 | 9.3 | 1.0 | |||||||||||||||||
Expenses paid | (4.0 | ) | (3.3 | ) | — | (0.7 | ) | 0.2 | (0.2 | ) | |||||||||||||
Plan participant contributions | 0.2 | — | — | — | 0.2 | — | |||||||||||||||||
Foreign currency impact | (47.1 | ) | — | — | (45.6 | ) | (1.4 | ) | (0.1 | ) | |||||||||||||
Employer contributions | 17.3 | 14.9 | — | 1.8 | — | 0.6 | |||||||||||||||||
Benefits paid out of plan | (36.4 | ) | (20.0 | ) | — | (10.3 | ) | (4.9 | ) | (1.2 | ) | ||||||||||||
Fair value of plan assets at end of year | $ | 626.3 | $ | 332.5 | $ | — | $ | 185.1 | $ | 96.1 | $ | 12.6 | |||||||||||
For the year ended October 31, 2015 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||||||||
Change in plan assets: | |||||||||||||||||||||||
Fair value of plan assets at beginning of year | $ | 650.8 | $ | 325.6 | $ | — | $ | 202.7 | $ | 107.8 | $ | 14.7 | |||||||||||
Actual return on plan assets | 25.4 | (0.9 | ) | — | 21.8 | 3.9 | 0.6 | ||||||||||||||||
Expenses paid | (2.7 | ) | (2.1 | ) | — | (0.7 | ) | 0.2 | (0.1 | ) | |||||||||||||
Plan participant contributions | 0.2 | — | — | — | 0.2 | — | |||||||||||||||||
Foreign currency impact | (27.3 | ) | — | — | (10.6 | ) | (14.2 | ) | (2.5 | ) | |||||||||||||
Employer contributions | 8.2 | 5.0 | — | 2.5 | — | 0.7 | |||||||||||||||||
Benefits paid | (29.9 | ) | (16.5 | ) | — | (7.3 | ) | (5.2 | ) | (0.9 | ) | ||||||||||||
Fair value of plan assets at end of year | $ | 624.7 | $ | 311.1 | $ | — | $ | 208.4 | $ | 92.7 | $ | 12.5 |
As of October 31, 2016 (Dollars in millions) | |||||||||||||||
Asset Category | Fair Value Measurement | ||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Mutual funds | $ | 104.9 | $ | 152.3 | $ | — | $ | 257.2 | |||||||
Common stock | 39.7 | — | — | 39.7 | |||||||||||
Cash | 18.6 | — | — | 18.6 | |||||||||||
Common collective trusts | — | 136.7 | — | 136.7 | |||||||||||
Corporate bonds | — | 29.7 | — | 29.7 | |||||||||||
Government bonds | — | 16.5 | — | 16.5 | |||||||||||
Insurance annuity | — | — | 125.4 | 125.4 | |||||||||||
Other assets | — | 2.5 | — | 2.5 | |||||||||||
Total | $ | 163.2 | $ | 337.7 | $ | 125.4 | $ | 626.3 | |||||||
As of October 31, 2015 (Dollars in millions) | |||||||||||||||
Asset Category | Fair Value Measurement | ||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Mutual funds | $ | 124.4 | $ | 161.2 | $ | — | $ | 285.6 | |||||||
Common stock | 26.7 | — | — | 26.7 | |||||||||||
Cash | 20.0 | — | — | 20.0 | |||||||||||
Money market fund | 0.6 | — | — | 0.6 | |||||||||||
Common collective trusts | — | 128.3 | — | 128.3 | |||||||||||
Corporate bonds | — | 19.7 | — | 19.7 | |||||||||||
Government bonds | — | 10.0 | — | 10.0 | |||||||||||
Insurance annuity | — | — | 130.2 | 130.2 | |||||||||||
Other assets | — | 3.6 | — | 3.6 | |||||||||||
Total | $ | 171.7 | $ | 322.8 | $ | 130.2 | $ | 624.7 |
Pension Plan | |||||||
(Dollars in millions) | October 31, 2016 | October 31, 2015 | |||||
Balance at beginning of year | $ | 130.2 | $ | 151.1 | |||
Actual return on plan assets held at reporting date: | |||||||
Assets still held at reporting date | 10.6 | 7.1 | |||||
Plan participant contributions | — | — | |||||
Net purchases (settlements) | (6.1 | ) | — | ||||
Transfers | — | (3.4 | ) | ||||
Currency impact | (9.3 | ) | (24.6 | ) | |||
Balance at end of year | $ | 125.4 | $ | 130.2 |
As of October 31, 2016 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||||||||
Unrecognized net actuarial loss | $ | 202.5 | $ | 145.4 | $ | 18.4 | $ | 36.4 | $ | (0.1 | ) | $ | 2.4 | ||||||||||
Unrecognized prior service cost | (2.7 | ) | (1.2 | ) | — | — | (1.5 | ) | — | ||||||||||||||
Unrecognized initial net obligation | — | — | — | — | — | — | |||||||||||||||||
Accumulated other comprehensive loss (Pre-tax) | $ | 199.8 | $ | 144.2 | $ | 18.4 | $ | 36.4 | $ | (1.6 | ) | $ | 2.4 | ||||||||||
Amounts recognized in the Consolidated Balance Sheets consist of: | |||||||||||||||||||||||
Prepaid benefit cost | $ | 22.2 | $ | — | $ | — | $ | 13.7 | $ | 6.0 | $ | 2.5 | |||||||||||
Accrued benefit liability | (179.7 | ) | (137.7 | ) | (41.8 | ) | — | — | (0.2 | ) | |||||||||||||
Accumulated other comprehensive loss | 199.8 | 144.2 | 18.4 | 36.4 | (1.6 | ) | 2.4 | ||||||||||||||||
Net amount recognized | $ | 42.3 | $ | 6.5 | $ | (23.4 | ) | $ | 50.1 | $ | 4.4 | $ | 4.7 | ||||||||||
As of October 31, 2015 | Consolidated | USA | Germany | United Kingdom | Netherlands | Other International | |||||||||||||||||
Unrecognized net actuarial loss | $ | 192.1 | $ | 126.6 | $ | 15.9 | $ | 32.9 | $ | 14.9 | $ | 1.8 | |||||||||||
Unrecognized prior service cost | (3.5 | ) | (1.8 | ) | — | — | (1.7 | ) | — | ||||||||||||||
Unrecognized initial net obligation | — | — | — | — | — | — | |||||||||||||||||
Accumulated other comprehensive loss (Pre-tax) | $ | 188.6 | $ | 124.8 | $ | 15.9 | $ | 32.9 | $ | 13.2 | $ | 1.8 | |||||||||||
Amounts recognized in the Consolidated Balance Sheets consist of: | |||||||||||||||||||||||
Prepaid benefit cost | $ | 26.7 | $ | — | $ | — | $ | 24.4 | $ | — | $ | 2.3 | |||||||||||
Accrued benefit liability | (167.8 | ) | (121.0 | ) | (38.6 | ) | — | (8.2 | ) | — | |||||||||||||
Accumulated other comprehensive loss | 188.6 | 124.8 | 15.9 | 32.9 | 13.2 | 1.8 | |||||||||||||||||
Net amount recognized | $ | 47.5 | $ | 3.8 | $ | (22.7 | ) | $ | 57.3 | $ | 5.0 | $ | 4.1 |
October 31, 2016 | October 31, 2015 | ||||||
Accumulated other comprehensive loss at beginning of year | $ | 188.6 | $ | 198.8 | |||
Increase or (decrease) in accumulated other comprehensive (income) or loss | |||||||
Net transition obligation amortized during fiscal year | — | (0.1 | ) | ||||
Net prior service costs amortized during fiscal year | 0.2 | (0.1 | ) | ||||
Net loss amortized during fiscal year | (11.4 | ) | (14.2 | ) | |||
Prior service cost recognized during fiscal year due to curtailment | — | (0.3 | ) | ||||
Transition obligation recognized during fiscal year due to curtailment | — | (0.2 | ) | ||||
Loss recognized during fiscal year due to settlement | (0.1 | ) | (0.1 | ) | |||
Prior service credit occurring during fiscal year | 0.5 | (3.2 | ) | ||||
Liability loss occurring during fiscal year | 69.8 | 8.4 | |||||
Asset loss (gain) occurring during fiscal year | (39.4 | ) | 7.5 | ||||
Increase (decrease) in accumulated other comprehensive loss | $ | 19.6 | $ | (2.3 | ) | ||
Foreign currency impact | (8.4 | ) | (7.9 | ) | |||
Accumulated other comprehensive loss at current fiscal year end | $ | 199.8 | $ | 188.6 |
October 31, 2016 | Consolidated | United States | South Africa | |||||
Active participants | 22 | 12 | 10 | |||||
Retirees and beneficiaries | 704 | 616 | 88 | |||||
October 31, 2015 | Consolidated | United States | South Africa | |||||
Active participants | 25 | 12 | 13 | |||||
Retirees and beneficiaries | 757 | 667 | 90 |
For the year ended: | Consolidated | United States | South Africa | |||||
October 31, 2016 | 4.10 | % | 3.38 | % | 9.50 | % | ||
October 31, 2015 | 4.65 | % | 3.88 | % | 9.20 | % |
For the years ended October 31, | 2016 | 2015 | 2014 | ||||||||
Service cost | $ | — | $ | — | $ | — | |||||
Interest cost | 0.5 | 0.7 | 0.8 | ||||||||
Amortization of prior service cost (benefit) | (1.5 | ) | (1.5 | ) | (1.6 | ) | |||||
Recognized net actuarial gain | (0.1 | ) | (0.1 | ) | — | ||||||
Net periodic income | $ | (1.1 | ) | $ | (0.9 | ) | $ | (0.8 | ) |
October 31, 2016 | October 31, 2015 | ||||||
Benefit obligation at beginning of year | $ | 14.9 | $ | 17.3 | |||
Service cost | — | — | |||||
Interest cost | 0.5 | 0.7 | |||||
Actuarial loss | (0.6 | ) | (1.0 | ) | |||
Foreign currency effect | (0.1 | ) | (0.6 | ) | |||
Benefits paid | (1.1 | ) | (1.5 | ) | |||
Benefit obligation at end of year | $ | 13.6 | $ | 14.9 |
October 31, 2016 | October 31, 2015 | ||||||
Unrecognized net actuarial gain | $ | (2.2 | ) | $ | 1.6 | ||
Unrecognized prior service credit | (4.3 | ) | 5.8 | ||||
Accumulated other comprehensive income | $ | (6.5 | ) | $ | 7.4 |
Medical | ||
Current trend rate | 7.2 | % |
Ultimate trend rate | 5.0 | % |
Year ultimate trend rate reached (South Africa) | 2018 | |
Year ultimate trend rate reached (US) | 2026 |
1-Percentage-Point Increase | 1-Percentage-Point Decrease | ||||||
Effect on total of service and interest cost components | $ | 27 | $ | (23 | ) | ||
Effect on postretirement benefit obligation | $ | 304 | $ | (261 | ) |
Year | Expected benefit payments | ||
2017 | $ | 1.3 | |
2018 | 1.3 | ||
2019 | 1.2 | ||
2020 | 1.1 | ||
2021 | 1.1 | ||
2022-2026 | 4.7 |
|
|
|
For the years ended October 31, | 2016 | 2015 | 2014 | ||||||||
Rent Expense | $ | 45.5 | $ | 50.4 | $ | 57.4 |
Fiscal Year | Operating Leases | Capital Leases | |||||
2017 | 37.4 | 0.1 | |||||
2018 | 28.9 | — | |||||
2019 | 23.9 | — | |||||
2020 | 17.4 | — | |||||
2021 | 9.7 | — | |||||
Thereafter | 34.9 | — | |||||
Total | $ | 152.2 | $ | 0.1 |
|
• | Surplus property, meaning land that cannot be efficiently or effectively managed by the Company, whether due to parcel size, lack of productivity, location, access limitations or for other reasons. |
• | HBU property, meaning land that in its current state has a higher market value for uses other than growing and selling timber. |
• | Development property, meaning HBU land that, with additional investment, may have a significantly higher market value than its HBU market value. |
• | Timberland, meaning land that is best suited for growing and selling timber. |
2016 | 2015 | 2014 | |||||||||
Net sales: | |||||||||||
Rigid Industrial Packaging & Services | $ | 2,324.2 | $ | 2,586.4 | $ | 3,077.0 | |||||
Paper Packaging & Services | 687.1 | 676.1 | 706.8 | ||||||||
Flexible Products & Services | 288.1 | 322.6 | 425.8 | ||||||||
Land Management | 24.2 | 31.6 | 29.5 | ||||||||
Total net sales | $ | 3,323.6 | $ | 3,616.7 | $ | 4,239.1 | |||||
Operating profit (loss): | |||||||||||
Rigid Industrial Packaging & Services | $ | 143.9 | $ | 86.4 | $ | 170.1 | |||||
Paper Packaging & Services | 89.1 | 109.3 | 125.8 | ||||||||
Flexible Products & Services | (15.5 | ) | (36.6 | ) | (78.6 | ) | |||||
Land Management | 8.1 | 33.7 | 32.0 | ||||||||
Total operating profit | $ | 225.6 | $ | 192.8 | $ | 249.3 | |||||
Depreciation, depletion and amortization expense: | |||||||||||
Rigid Industrial Packaging & Services | $ | 84.6 | $ | 94.0 | $ | 108.4 | |||||
Paper Packaging & Services | 31.6 | 28.7 | 29.8 | ||||||||
Flexible Products & Services | 7.7 | 8.6 | 13.3 | ||||||||
Land Management | 3.8 | 3.3 | 4.3 | ||||||||
Total depreciation, depletion and amortization expense | $ | 127.7 | $ | 134.6 | $ | 155.8 | |||||
Capital Expenditures | |||||||||||
Rigid Industrial Packaging & Services | $ | 53.9 | $ | 69.4 | $ | 73.8 | |||||
Paper Packaging & Services | 27.2 | 56.4 | 38.9 | ||||||||
Flexible Products & Services | 3.2 | 3.2 | 4.9 | ||||||||
Land Management | 0.6 | 1.6 | 60.0 | ||||||||
Total segment | 84.9 | 130.6 | 177.6 | ||||||||
Corporate and other | 16.2 | 10.7 | 17.1 | ||||||||
Total capital expenditures | $ | 101.1 | $ | 141.3 | $ | 194.7 | |||||
Assets: | |||||||||||
Rigid Industrial Packaging & Services | $ | 1,930.8 | $ | 2,043.3 | $ | 2,334.1 | |||||
Paper Packaging & Services | 439.8 | 444.0 | 408.3 | ||||||||
Flexible Products & Services | 156.1 | 187.0 | 251.0 | ||||||||
Land Management | 339.9 | 335.2 | 319.0 | ||||||||
Total Segment | 2,866.6 | 3,009.5 | 3,312.4 | ||||||||
Corporate and other | 286.4 | 306.2 | 355.0 | ||||||||
Total Assets | $ | 3,153.0 | $ | 3,315.7 | $ | 3,667.4 |
2016 | 2015 | 2014 | |||||||||
Net Sales | |||||||||||
United States | $ | 1,610.8 | $ | 1,688.3 | $ | 1,905.8 | |||||
Europe, Middle East, and Africa | 1,208.4 | 1,287.2 | 1,596.2 | ||||||||
Asia Pacific and other Americas | 504.4 | 641.2 | 737.1 | ||||||||
Total net sales | $ | 3,323.6 | $ | 3,616.7 | $ | 4,239.1 |
2016 | 2015 | ||||||
Properties, plants and equipment, net | |||||||
United States | $ | 723.3 | $ | 734.1 | |||
Europe, Middle East, and Africa | 300.5 | 335.4 | |||||
Asia Pacific and other Americas | 140.1 | 148.2 | |||||
Total properties, plants and equipment, net | $ | 1,163.9 | $ | 1,217.7 |
|
Foreign Currency Translation | Minimum Pension Liability Adjustment | Accumulated Other Comprehensive Loss | |||||||||
Balance as of October 31, 2015 | $ | (256.6 | ) | $ | (120.8 | ) | $ | (377.4 | ) | ||
Other Comprehensive Loss Before Reclassifications | (13.6 | ) | (7.4 | ) | $ | (21.0 | ) | ||||
Balance as of October 31, 2016 | $ | (270.2 | ) | $ | (128.2 | ) | $ | (398.4 | ) |
Foreign Currency Translation | Cash Flow Hedges | Minimum Pension Liability Adjustment | Accumulated Other Comprehensive Loss | ||||||||||||
Balance as of October 31, 2014 | $ | (144.5 | ) | $ | (0.1 | ) | $ | (129.8 | ) | $ | (274.4 | ) | |||
Other Comprehensive (Loss) Income Before Reclassifications | (112.1 | ) | — | 9.0 | $ | (103.1 | ) | ||||||||
Amounts reclassified from Accumulated Other Comprehensive Loss | — | 0.1 | — | $ | 0.1 | ||||||||||
Current-period Other Comprehensive (Loss) Income | (112.1 | ) | 0.1 | 9.0 | $ | (103.0 | ) | ||||||||
Balance as of October 31, 2015 | $ | (256.6 | ) | $ | — | $ | (120.8 | ) | $ | (377.4 | ) |
|
2016 | January 31, | April 30, | July 31, | October 31, | |||||||||||
Net sales | $ | 771.4 | $ | 839.6 | $ | 845.0 | $ | 867.6 | |||||||
Gross profit | $ | 151.3 | $ | 173.7 | $ | 176.5 | $ | 183.4 | |||||||
Net income (loss) (1) | $ | (9.9 | ) | $ | 32.5 | $ | 46.4 | $ | 6.5 | ||||||
Net income (loss) attributable to Greif, Inc.(1) | $ | (11.1 | ) | $ | 31.4 | $ | 46.1 | $ | 8.5 | ||||||
Earnings (loss) per share | |||||||||||||||
Basic: | |||||||||||||||
Class A Common Stock | $ | (0.19 | ) | $ | 0.53 | $ | 0.78 | $ | 0.14 | ||||||
Class B Common Stock | $ | (0.29 | ) | $ | 0.80 | $ | 1.18 | $ | 0.22 | ||||||
Diluted: | |||||||||||||||
Class A Common Stock | $ | (0.19 | ) | $ | 0.53 | $ | 0.78 | $ | 0.14 | ||||||
Class B Common Stock | $ | (0.29 | ) | $ | 0.80 | $ | 1.18 | $ | 0.22 | ||||||
Earnings per share were calculated using the following number of shares: | |||||||||||||||
Basic: | |||||||||||||||
Class A Common Stock | 25,697,512 | 25,761,733 | 25,781,146 | 25,781,791 | |||||||||||
Class B Common Stock | 22,119,966 | 22,108,942 | 22,009,725 | 22,009,725 | |||||||||||
Diluted: | |||||||||||||||
Class A Common Stock | 25,704,023 | 25,766,609 | 25,783,184 | 25,785,266 | |||||||||||
Class B Common Stock | 22,119,966 | 22,108,942 | 22,009,725 | 22,009,725 | |||||||||||
Market price (Class A Common Stock): | |||||||||||||||
High | $ | 33.77 | $ | 35.56 | $ | 40.09 | $ | 49.59 | |||||||
Low | $ | 24.05 | $ | 23.17 | $ | 32.96 | $ | 38.92 | |||||||
Close | $ | 25.51 | $ | 34.02 | $ | 39.77 | $ | 46.86 | |||||||
Market price (Class B Common Stock): | |||||||||||||||
High | $ | 45.80 | $ | 47.38 | $ | 55.48 | $ | 60.98 | |||||||
Low | $ | 34.48 | $ | 32.91 | $ | 44.38 | $ | 50.26 | |||||||
Close | $ | 35.11 | $ | 45.07 | $ | 52.41 | $ | 58.25 |
(1) | We recorded the following significant transactions during the fourth quarter of 2016: (i) restructuring charges of $9.0 million; (ii) non-cash asset impairment charges of $6.5 million; (iii) gain on disposals of properties, plants, equipment, net of $0.8 million; and (iv) loss on disposals of businesses, net of $18.6 million. Refer to Form 10-Q filings, as previously filed with the SEC, for prior quarter significant transactions or trends. |
2015 | January 31 | April 30 | July 31 | October 31 | |||||||||||
Net sales | $ | 902.3 | $ | 915.9 | $ | 930.0 | $ | 868.5 | |||||||
Gross profit | $ | 153.9 | $ | 181.1 | $ | 166.8 | $ | 168.0 | |||||||
Net income(1) | $ | 28.2 | $ | 20.5 | $ | 9.3 | $ | 9.2 | |||||||
Net income attributable to Greif, Inc.(1) | $ | 30.1 | $ | 20.8 | $ | 8.6 | $ | 12.4 | |||||||
Earnings per share | |||||||||||||||
Basic: | |||||||||||||||
Class A Common Stock | $ | 0.52 | $ | 0.35 | $ | 0.15 | $ | 0.21 | |||||||
Class B Common Stock | $ | 0.76 | $ | 0.53 | $ | 0.22 | $ | 0.32 | |||||||
Diluted: | |||||||||||||||
Class A Common Stock | $ | 0.52 | $ | 0.35 | $ | 0.15 | $ | 0.21 | |||||||
Class B Common Stock | $ | 0.76 | $ | 0.53 | $ | 0.22 | $ | 0.32 | |||||||
Earnings per share were calculated using the following number of shares: | |||||||||||||||
Basic: | |||||||||||||||
Class A Common Stock | 25,607,886 | 25,678,393 | 25,692,973 | 25,693,564 | |||||||||||
Class B Common Stock | 22,119,966 | 22,119,966 | 22,119,966 | 22,119,966 | |||||||||||
Diluted: | |||||||||||||||
Class A Common Stock | 25,617,814 | 25,688,653 | 25,698,547 | 25,701,264 | |||||||||||
Class B Common Stock | 22,119,966 | 22,119,966 | 22,119,966 | 22,119,966 | |||||||||||
Market price (Class A Common Stock): | |||||||||||||||
High | $ | 45.94 | $ | 41.97 | $ | 41.65 | $ | 35.97 | |||||||
Low | $ | 36.43 | $ | 34.52 | $ | 29.43 | $ | 27.13 | |||||||
Close | $ | 36.43 | $ | 39.29 | $ | 30.20 | $ | 32.33 | |||||||
Market price (Class B Common Stock): | |||||||||||||||
High | $ | 47.39 | $ | 45.89 | $ | 47.80 | $ | 47.97 | |||||||
Low | $ | 41.47 | $ | 40.40 | $ | 36.59 | $ | 33.42 | |||||||
Close | $ | 41.47 | $ | 45.89 | $ | 37.13 | $ | 37.98 |
(1) | We recorded the following significant transactions during the fourth quarter of 2015: (i) restructuring charges of $13.3 million; (ii) non-cash asset impairment charges of $23.6 million; (iii) loss on disposals of properties, plants, equipment, net of $2.3 million; and (iv) loss on disposal of businesses, net of $0.7 million. Refer to Form 10-Q filings, as previously filed with the SEC, for prior quarter significant transactions or trends. |
|
Mandatorily Redeemable Noncontrolling Interest | |||
Balance as of October 31, 2015 | $ | — | |
Reclassification of book value of noncontrolling interest | 10.4 | ||
Out-of period reversal of cumulative income allocated to noncontrolling interest | (1.2 | ) | |
Out-of period mark to redemption value | 0.1 | ||
Current period mark to redemption value | 0.5 | ||
Repurchase of redeemable shareholder interest | (0.8 | ) | |
Balance as of October 31, 2016 | $ | 9.0 |
Redeemable Noncontrolling Interest | |||
Balance as of October 31, 2015 | $ | — | |
Reclassification of book value of noncontrolling interest | 12.4 | ||
Out-of period mark to redemption value* | 19.8 | ||
Current period mark to redemption value | 2.1 | ||
Repurchase of redeemable shareholder interest | (5.5 | ) | |
Redeemable Noncontrolling Interest share of Income/(Loss) and other | 4.8 | ||
Contributions from /(Dividends to) redeemable noncontrolling interest and other | (1.8 | ) | |
Balance as of October 31, 2016 | $ | 31.8 |
|
|
Description | Balance at Beginning of Period | Charged to Costs and Expenses | Charged to Other Accounts | Deductions | Balance at End of Period | ||||||||||||||
Year ended October 31, 2014: | |||||||||||||||||||
Allowance for doubtful accounts | $ | 13.5 | $ | 7.5 | $ | (4.2 | ) | $ | — | $ | 16.8 | ||||||||
Environmental reserves | $ | 26.8 | $ | 0.7 | $ | (2.0 | ) | $ | (0.8 | ) | $ | 24.7 | |||||||
Year ended October 31, 2015: | |||||||||||||||||||
Allowance for doubtful accounts | $ | 16.8 | $ | 0.2 | $ | (3.7 | ) | $ | (1.5 | ) | $ | 11.8 | |||||||
Environmental reserves | $ | 24.7 | $ | 1.7 | $ | (16.8 | ) | $ | (1.4 | ) | $ | 8.2 | |||||||
Year ended October 31, 2016: | |||||||||||||||||||
Allowance for doubtful accounts | $ | 11.8 | $ | 1.7 | $ | (4.2 | ) | $ | (0.5 | ) | $ | 8.8 | |||||||
Environmental reserves | $ | 8.2 | $ | 1.1 | $ | (2.5 | ) | $ | — | $ | 6.8 |
|
Years | |
Trade names | 10-15 |
Non-competes | 1-10 |
Customer relationships | 5-15 |
Other intangibles | 3-15 |
Years | |
Buildings | 30-45 |
Machinery and equipment | 3-19 |
(1) | Management, having the authority to approve the action, commits to a plan of termination. |
(2) | The plan identifies the number of employees to be terminated, their job classifications or functions and their locations, and the expected completion date. |
(3) | The plan establishes the terms of the benefit arrangement, including the benefits that employees will receive upon termination (including but not limited to cash payments), in sufficient detail to enable employees to determine the type and amount of benefits they will receive if they are involuntarily terminated. |
(4) | Actions required to complete the plan indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. |
• | Level 1 – Observable inputs such as unadjusted quoted prices in active markets for identical assets and liabilities. |
• | Level 2 – Observable inputs other than quoted prices in active markets for identical assets and liabilities. |
• | Level 3 – Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets and liabilities. |
|
Years | |
Trade names | 10-15 |
Non-competes | 1-10 |
Customer relationships | 5-15 |
Other intangibles | 3-15 |
Years | |
Buildings | 30-45 |
Machinery and equipment | 3-19 |
|
# of Acquisitions | Purchase Price, net of Cash | Tangible Assets, net | Intangible Assets | Goodwill | ||||||||||||
Total 2016 Acquisitions | — | $ | — | — | — | — | ||||||||||
Total 2015 Acquisitions | — | $ | — | — | — | — | ||||||||||
Total 2014 Acquisitions | 2 | $ | 53.5 | 2.5 | 22.1 | 25.9 |
|
For the years ended October 31, | 2016 | 2015 | 2014 | ||||||||
European RPA | |||||||||||
Gross accounts receivable sold to third party financial institution | $ | 620.3 | $ | 715.2 | $ | 1,006.4 | |||||
Cash received for accounts receivable sold under the programs | 548.1 | 633.6 | 888.1 | ||||||||
Deferred purchase price related to accounts receivable sold | 71.7 | 76.2 | 118.3 | ||||||||
Loss associated with the programs | 0.8 | 1.5 | 2.5 | ||||||||
Expenses associated with the programs | — | — | — | ||||||||
Singapore RPA | |||||||||||
Gross accounts receivable sold to third party financial institution | $ | 44.1 | $ | 48.1 | $ | 56.7 | |||||
Cash received for accounts receivable sold under the programs | 36.4 | 48.1 | 56.7 | ||||||||
Deferred purchase price related to accounts receivable sold | 7.1 | — | — | ||||||||
Loss associated with the programs | — | 0.1 | — | ||||||||
Expenses associated with the programs | — | 0.1 | 0.1 | ||||||||
Total RPAs and Agreements | |||||||||||
Gross accounts receivable sold to third party financial institution | $ | 664.4 | $ | 763.3 | $ | 1,063.1 | |||||
Cash received for accounts receivable sold under the program | 584.5 | 681.7 | 944.8 | ||||||||
Deferred purchase price related to accounts receivable sold | 78.8 | 76.2 | 118.3 | ||||||||
Loss associated with the program | 0.8 | 1.6 | 2.5 | ||||||||
Expenses associated with the program | — | 0.1 | 0.1 |
October 31, 2016 | October 31, 2015 | ||||||
European RPA | |||||||
Accounts receivable sold to and held by third party financial institution | $ | 106.7 | $ | 114.8 | |||
Deferred purchase price asset (liability) related to accounts receivable sold | (0.4 | ) | (1.5 | ) | |||
Singapore RPA | |||||||
Accounts receivable sold to and held by third party financial institution | $ | 4.0 | $ | 4.0 | |||
Uncollected deferred purchase price related to accounts receivable sold | 0.5 | — | |||||
Total RPAs and Agreements | |||||||
Accounts receivable sold to and held by third party financial institution | $ | 110.7 | $ | 118.8 | |||
Deferred purchase price asset (liability) related to accounts receivable sold | 0.1 | (1.5 | ) |
|
2016 | 2015 | ||||||
Finished goods | $ | 79.8 | $ | 88.0 | |||
Raw materials | 185.4 | 190.7 | |||||
Work-in process | 12.2 | 18.3 | |||||
$ | 277.4 | $ | 297.0 |
|
October 31, 2016 | October 31, 2015 | |||||
Trade accounts receivable, less allowance | $ | — | $ | 2.3 | ||
Inventories | — | 1.6 | ||||
Properties, plants and equipment, net | 11.8 | 8.1 | ||||
Other assets | — | 4.9 | ||||
Assets held for sale | 11.8 | 16.9 | ||||
Accounts payable | — | 1.8 | ||||
Liabilities held for sale | $ | — | $ | 1.8 |
|
Rigid Industrial Packaging & Services | Paper Packaging & Services | Flexible Products & Services (1) | Land Management | Total | |||||||||||||||
Balance at October 31, 2014 | $ | 820.7 | $ | 59.5 | $ | — | $ | — | $ | 880.2 | |||||||||
Goodwill acquired | — | — | — | — | — | ||||||||||||||
Goodwill allocated to divestitures and businesses held for sale | (11.6 | ) | — | — | — | (11.6 | ) | ||||||||||||
Goodwill adjustments | — | — | — | — | — | ||||||||||||||
Goodwill impairment charge | — | — | — | — | — | ||||||||||||||
Currency translation | (61.5 | ) | — | — | — | (61.5 | ) | ||||||||||||
Balance at October 31, 2015 | $ | 747.6 | $ | 59.5 | $ | — | $ | — | $ | 807.1 | |||||||||
Goodwill acquired | — | — | — | — | — | ||||||||||||||
Goodwill allocated to divestitures and businesses held for sale | (17.6 | ) | — | — | — | (17.6 | ) | ||||||||||||
Goodwill adjustments | — | — | — | — | — | ||||||||||||||
Goodwill impairment charge | — | — | — | — | — | ||||||||||||||
Currency translation | (3.1 | ) | — | — | — | (3.1 | ) | ||||||||||||
Balance at October 31, 2016 | $ | 726.9 | $ | 59.5 | $ | — | $ | — | $ | 786.4 |
(1) | Accumulated goodwill impairment loss was $50.3 million as of October 31, 2016, 2015 and 2014. |
Gross Intangible Assets | Accumulated Amortization | Net Intangible Assets | |||||||||
October 31, 2016: | |||||||||||
Indefinite lived: | |||||||||||
Trademarks and patents | $ | 13.0 | $ | — | $ | 13.0 | |||||
Definite lived: | |||||||||||
Customer relationships | $ | 167.6 | $ | 86.9 | $ | 80.7 | |||||
Trademarks and patents | 12.1 | 4.8 | 7.3 | ||||||||
Non-compete agreements | 1.0 | 0.9 | 0.1 | ||||||||
Other | 23.5 | 14.0 | 9.5 | ||||||||
Total | $ | 217.2 | $ | 106.6 | $ | 110.6 | |||||
October 31, 2015: | |||||||||||
Indefinite lived: | |||||||||||
Trademarks and patents | $ | 13.1 | $ | — | $ | 13.1 | |||||
Definite lived: | |||||||||||
Customer relationships | $ | 180.7 | $ | 81.7 | $ | 99.0 | |||||
Trademarks and patents | 12.4 | 4.2 | 8.2 | ||||||||
Non-compete agreements | 4.9 | 4.5 | 0.4 | ||||||||
Other | 24.2 | 12.2 | 12.0 | ||||||||
Total | $ | 235.3 | $ | 102.6 | $ | 132.7 |
|
Employee Separation Costs | Other costs | Total | |||||||||
Balance at October 31, 2014 | $ | 2.9 | $ | 1.2 | $ | 4.1 | |||||
Costs incurred and charged to expense | 27.8 | 12.2 | 40.0 | ||||||||
Costs paid or otherwise settled | (16.0 | ) | (6.8 | ) | (22.8 | ) | |||||
Balance at October 31, 2015 | $ | 14.7 | $ | 6.6 | $ | 21.3 | |||||
Costs incurred and charged to expense | 16.7 | 10.2 | 26.9 | ||||||||
Costs paid or otherwise settled | (22.2 | ) | (15.6 | ) | (37.8 | ) | |||||
Balance at October 31, 2016 | $ | 9.2 | $ | 1.2 | $ | 10.4 |
Total Amounts Expected to be Incurred | Amounts Incurred During the year ended October 31, 2016 | Amounts Remaining to be Incurred | |||||||||
Rigid Industrial Packaging & Services: | |||||||||||
Employee separation costs | $ | 23.5 | $ | 12.4 | 11.1 | ||||||
Other restructuring costs | 8.3 | 6.6 | 1.7 | ||||||||
31.8 | 19.0 | 12.8 | |||||||||
Flexible Products & Services: | |||||||||||
Employee separation costs | 6.0 | 4.0 | 2.0 | ||||||||
Other restructuring costs | 3.6 | 2.3 | 1.3 | ||||||||
9.6 | 6.3 | 3.3 | |||||||||
Paper Packaging & Services: | |||||||||||
Employee separation costs | 0.3 | 0.3 | — | ||||||||
Other restructuring costs | 1.2 | 1.2 | — | ||||||||
1.5 | 1.5 | — | |||||||||
Land Management: | |||||||||||
Employee separation costs | — | — | — | ||||||||
Other restructuring costs | 0.1 | 0.1 | — | ||||||||
0.1 | 0.1 | — | |||||||||
$ | 43.0 | $ | 26.9 | $ | 16.1 |
|
As of October 31, | 2016 | 2015 | |||||
Cash and cash equivalents | $ | 15.2 | $ | 14.5 | |||
Trade accounts receivable, less allowance of $2.8 in 2016 and $3.2 in 2015 | 43.3 | 47.5 | |||||
Inventories | 50.9 | 44.7 | |||||
Properties, plants and equipment, net | 25.0 | 43.1 | |||||
Other assets | 37.3 | 36.8 | |||||
Total Assets | $ | 171.7 | $ | 186.6 | |||
Accounts payable | 30.7 | 27.9 | |||||
Other liabilities | 43.7 | 50.6 | |||||
Total Liabilities | $ | 74.4 | $ | 78.5 |
|
October 31, 2016 | October 31, 2015 | ||||||
Prior Credit Agreement | $ | 201.2 | $ | 217.4 | |||
Senior Notes due 2017 | 300.1 | 300.7 | |||||
Senior Notes due 2019 | 247.0 | 246.0 | |||||
Senior Notes due 2021 | 216.6 | 219.4 | |||||
Amended Receivables Facility | — | 147.6 | |||||
Other long-term debt | 9.7 | 15.8 | |||||
974.6 | 1,146.9 | ||||||
Less current portion | — | (30.7 | ) | ||||
Long-term debt | $ | 974.6 | $ | 1,116.2 |
|
October 31, 2016 | Balance sheet Location | ||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
Foreign exchange hedges | $ | — | $ | 0.3 | $ | — | $ | 0.3 | Prepaid expenses and other current assets | ||||||||
Foreign exchange hedges | — | (0.3 | ) | — | (0.3 | ) | Other current liabilities | ||||||||||
Insurance Annuity | — | — | 20.1 | 20.1 | Other long-term assets | ||||||||||||
Total* | $ | — | $ | — | $ | 20.1 | $ | 20.1 | |||||||||
October 31, 2015 | |||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | Balance sheet Location | |||||||||||||
Foreign exchange hedges | — | 0.3 | — | 0.3 | Prepaid expenses and other current assets | ||||||||||||
Foreign exchange hedges | — | (0.2 | ) | (0.2 | ) | Other current liabilities | |||||||||||
Insurance Annuity | — | — | 20.1 | 20.1 | Other long-term assets | ||||||||||||
Total* | $ | — | $ | 0.1 | $ | 20.1 | $ | 20.2 |
October 31, 2016 | October 31, 2015 | ||||||
Senior Notes due 2017 Estimated fair value | $ | 302.4 | $ | 314.8 | |||
Senior Notes due 2019 Estimated fair value | 280.1 | 280.6 | |||||
Senior Notes due 2021 Estimated fair value | 264.9 | 258.7 | |||||
Assets held by special purpose entities Estimated fair value | 54.3 | 54.4 |
Quantitative Information about Level 3 Fair Value Measurements | |||||||||
Fair Value of Impairment | Valuation Technique | Unobservable Input | Range of Input Values | ||||||
October 31, 2016 | |||||||||
Impairment of Net Assets Held for Sale | $ | 37.6 | Broker Quote / Indicative Bids | Indicative Bids | N/A | ||||
Impairment of Long Lived Assets | 13.8 | Sales Value | Sales Value | N/A | |||||
Total | $ | 51.4 | |||||||
October 31, 2015 | |||||||||
Impairment of Long-lived assets- Land & Building | $ | 28.1 | Broker Quote / Indicative Bids | Indicative Bids | N/A | ||||
Impairment of Long-lived assets- Machinery & Equipment | 17.8 | Sales Value | Sales Value | N/A | |||||
Total | $ | 45.9 |
|
2016 | 2015 | 2014 | |||||||||||||||||
Shares | Weighted Average Exercise price | Shares | Weighted Average Exercise price | Shares | Weighted Average Exercise price | ||||||||||||||
Beginning balance | — | — | 10 | $ | 27.36 | 79 | $ | 25.30 | |||||||||||
Granted | — | — | — | — | — | — | |||||||||||||
Forfeited | — | — | — | — | — | — | |||||||||||||
Exercised | — | — | 10 | 27.36 | 69 | 25.01 | |||||||||||||
Ending balance | — | — | — | $ | — | 10 | $ | 27.36 |
|
For the years ended October 31, | 2016 | 2015 | 2014 | ||||||||
Current | |||||||||||
Federal | $ | 20.3 | $ | 18.3 | $ | 53.1 | |||||
State and local | 4.4 | 4.0 | 9.8 | ||||||||
Non-U.S. | 40.3 | 29.6 | 38.0 | ||||||||
65.0 | 51.9 | 100.9 | |||||||||
Deferred | |||||||||||
Federal | 0.5 | 2.4 | 2.7 | ||||||||
State and local | 0.5 | 0.2 | (1.6 | ) | |||||||
Non-U.S. | 0.5 | (6.1 | ) | 13.0 | |||||||
1.5 | (3.5 | ) | 14.1 | ||||||||
$ | 66.5 | $ | 48.4 | $ | 115.0 |
For the years ended October 31, | 2016 | 2015 | 2014 | |||||
Federal statutory rate | 35.00 | % | 35.00 | % | 35.00 | % | ||
Impact of foreign tax rate differential | (11.15 | )% | (10.10 | )% | (2.40 | )% | ||
State and local taxes, net of federal tax benefit | 2.19 | % | 2.80 | % | 4.20 | % | ||
Net impact of changes in valuation allowances | 1.91 | % | 3.00 | % | 12.70 | % | ||
Venezuela balance sheet remeasurement | — | % | 5.90 | % | — | % | ||
Non-deductible write-off and impairment of goodwill and other intangible assets | 7.37 | % | 2.50 | % | 15.60 | % | ||
Unrecognized tax benefits | 4.84 | % | 2.50 | % | 7.20 | % | ||
Permanent book-tax differences | (4.78 | )% | (0.50 | )% | (3.10 | )% | ||
Withholding taxes | 4.64 | % | 2.70 | % | 2.90 | % | ||
Other items, net | 7.08 | % | (1.60 | )% | 0.70 | % | ||
47.10 | % | 42.20 | % | 72.80 | % |
2016 | 2015 | ||||||
Deferred Tax Assets | |||||||
Net operating loss and other carryforwards | $ | 83.0 | $ | 80.8 | |||
Pension liabilities | 57.0 | 53.6 | |||||
Insurance operations | 2.7 | 3.5 | |||||
Incentive liabilities | 8.0 | 5.4 | |||||
Environmental reserves | 1.3 | 0.4 | |||||
Inventories | 7.8 | 6.5 | |||||
State income taxes | 7.0 | 7.4 | |||||
Postretirement benefit obligations | 3.1 | 3.5 | |||||
Other | 9.1 | 11.3 | |||||
Interest accrued | 1.2 | 1.6 | |||||
Allowance for doubtful accounts | 1.9 | 3.4 | |||||
Restructuring reserves | 1.1 | 6.0 | |||||
Deferred compensation | 3.8 | 2.9 | |||||
Foreign tax credits | 2.4 | 2.3 | |||||
Vacation accruals | 1.5 | 1.5 | |||||
Workers compensation accruals | 6.7 | 3.5 | |||||
Total Deferred Tax Assets | 197.6 | 193.6 | |||||
Valuation allowance | (92.1 | ) | (89.5 | ) | |||
Net Deferred Tax Assets | 105.5 | 104.1 | |||||
Deferred Tax Liabilities | |||||||
Properties, plants and equipment | 86.5 | 84.7 | |||||
Goodwill and other intangible assets | 80.4 | 80.1 | |||||
Foreign income inclusion | 1.1 | 1.1 | |||||
Foreign exchange gains | 5.7 | 6.1 | |||||
Timberland transactions | 115.8 | 116.2 | |||||
Total Deferred Tax Liabilities | 289.5 | 288.2 | |||||
Net Deferred Tax Liability | $ | (184.0 | ) | $ | (184.1 | ) |
2016 | 2015 | 2014 | |||||||||
Balance at November 1 | $ | 29.6 | $ | 34.3 | $ | 30.5 | |||||
Increases in tax positions for prior years | 5.7 | 8.5 | 5.7 | ||||||||
Decreases in tax positions for prior years | (10.5 | ) | (2.2 | ) | (8.2 | ) | |||||
Increases in tax positions for current years | 6.9 | 6.2 | 10.3 | ||||||||
Settlements with taxing authorities | — | (5.7 | ) | (0.6 | ) | ||||||
Lapse in statute of limitations | (2.6 | ) | (6.2 | ) | (0.8 | ) | |||||
Currency translation | 0.6 | (5.3 | ) | (2.6 | ) | ||||||
Balance at October 31 | $ | 29.7 | $ | 29.6 | $ | 34.3 |
|
October 31, 2016 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||
Active participants | 1,573 | 1,405 | 95 | — | 73 | — | |||||||||||
Vested former employees and deferred members | 2,149 | 1,484 | 60 | 462 | 89 | 54 | |||||||||||
Retirees and beneficiaries | 4,114 | 2,565 | 258 | 699 | 534 | 58 | |||||||||||
October 31, 2015 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||
Active participants | 1,869 | 1,509 | 105 | 133 | 74 | 48 | |||||||||||
Vested former employees | 2,083 | 1,525 | 57 | 399 | 81 | 21 | |||||||||||
Retirees and beneficiaries | 4,050 | 2,480 | 255 | 718 | 540 | 57 |
October 31, 2016 | Consolidated | United States | South Africa | |||||
Active participants | 22 | 12 | 10 | |||||
Retirees and beneficiaries | 704 | 616 | 88 | |||||
October 31, 2015 | Consolidated | United States | South Africa | |||||
Active participants | 25 | 12 | 13 | |||||
Retirees and beneficiaries | 757 | 667 | 90 |
For the year ended October 31, 2016 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||
Discount rate | 3.08 | % | 3.79 | % | 1.50 | % | 2.44 | % | 1.32 | % | 4.31 | % | |||||
Expected return on plan assets | 5.51 | % | 6.25 | % | N/A | 6.00 | % | 1.88 | % | 5.77 | % | ||||||
Rate of compensation increase | 2.87 | % | 3.00 | % | 2.75 | % | N/A | 2.25 | % | N/A | |||||||
For the year ended October 31, 2015 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||
Discount rate | 3.71 | % | 4.37 | % | 2.10 | % | 3.45 | % | 1.98 | % | 4.82 | % | |||||
Expected return on plan assets | 5.47 | % | 6.25 | % | N/A | 6.00 | % | 2.06 | % | 5.99 | % | ||||||
Rate of compensation increase | 3.01 | % | 3.00 | % | 2.75 | % | 3.50 | % | 2.25 | % | N/A | ||||||
For the year ended October 31, 2014 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||
Discount rate | 3.69 | % | 4.22 | % | 2.45 | % | 3.72 | % | 2.20 | % | 4.83 | % | |||||
Expected return on plan assets | 5.73 | % | 6.25 | % | N/A | 6.25 | % | 3.25 | % | 6.09 | % | ||||||
Rate of compensation increase | 2.93 | % | 3.00 | % | 2.75 | % | 3.25 | % | 2.25 | % | 2.41 | % |
For the year ended: | Consolidated | United States | South Africa | |||||
October 31, 2016 | 4.10 | % | 3.38 | % | 9.50 | % | ||
October 31, 2015 | 4.65 | % | 3.88 | % | 9.20 | % |
For the year ended October 31, 2016 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||||||||
Service cost | $ | 12.4 | $ | 10.2 | $ | 0.5 | $ | 0.8 | $ | 0.7 | $ | 0.2 | |||||||||||
Interest cost | 22.0 | 13.7 | 0.8 | 5.7 | 1.4 | 0.4 | |||||||||||||||||
Expected return on plan assets | (32.1 | ) | (19.0 | ) | — | (10.7 | ) | (1.7 | ) | (0.7 | ) | ||||||||||||
Amortization of prior service cost | (0.2 | ) | (0.1 | ) | — | — | (0.1 | ) | — | ||||||||||||||
Recognized net actuarial loss | 11.4 | 9.3 | 1.0 | 0.8 | 0.3 | — | |||||||||||||||||
Special Events | |||||||||||||||||||||||
Settlement | 0.1 | — | — | — | — | 0.1 | |||||||||||||||||
Net periodic pension (benefit) cost | $ | 13.6 | $ | 14.1 | $ | 2.3 | $ | (3.4 | ) | $ | 0.6 | $ | — | ||||||||||
For the year ended October 31, 2015 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||||||||
Service cost | $ | 15.5 | $ | 11.3 | $ | 0.5 | $ | 1.8 | $ | 1.4 | $ | 0.5 | |||||||||||
Interest cost | 27.6 | 17.3 | 0.9 | 6.5 | 2.4 | 0.5 | |||||||||||||||||
Expected return on plan assets | (32.8 | ) | (18.7 | ) | — | (11.4 | ) | (1.9 | ) | (0.8 | ) | ||||||||||||
Amortization of prior service cost | 0.1 | 0.1 | — | — | — | — | |||||||||||||||||
Recognized net actuarial loss | 14.2 | 10.0 | 0.9 | 2.2 | 0.8 | 0.3 | |||||||||||||||||
Special Events | |||||||||||||||||||||||
Curtailment | 0.5 | 0.3 | — | — | — | 0.2 | |||||||||||||||||
Settlement | 0.1 | — | — | — | — | 0.1 | |||||||||||||||||
Special/contractual termination benefit | 0.1 | — | — | — | — | 0.1 | |||||||||||||||||
Net periodic pension (benefit) cost | $ | 25.3 | $ | 20.3 | $ | 2.3 | $ | (0.9 | ) | $ | 2.7 | $ | 0.9 | ||||||||||
For the year ended October 31, 2014 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||||||||
Service cost | $ | 15.7 | $ | 10.4 | $ | 0.6 | $ | 2.5 | $ | 1.6 | $ | 0.6 | |||||||||||
Interest cost | 29.6 | 16.6 | 1.3 | 7.5 | 3.6 | 0.6 | |||||||||||||||||
Expected return on plan assets | (33.9 | ) | (17.4 | ) | — | (12.6 | ) | (3.1 | ) | (0.8 | ) | ||||||||||||
Amortization of prior service cost | 0.2 | 0.2 | — | — | — | — | |||||||||||||||||
Recognized net actuarial loss | 10.4 | 6.8 | 0.7 | 1.9 | 0.8 | 0.2 | |||||||||||||||||
Net periodic pension (benefit) cost | $ | 22.0 | $ | 16.6 | $ | 2.6 | $ | (0.7 | ) | $ | 2.9 | $ | 0.6 |
For the year ended October 31, 2016 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||||||||
Change in benefit obligation: | |||||||||||||||||||||||
Benefit obligation at beginning of year | $ | 765.8 | $ | 432.1 | $ | 38.7 | $ | 184.0 | $ | 100.8 | $ | 10.2 | |||||||||||
Service cost | 12.4 | 10.2 | 0.5 | 0.8 | 0.7 | 0.2 | |||||||||||||||||
Interest cost | 22.0 | 13.7 | 0.8 | 5.7 | 1.4 | 0.4 | |||||||||||||||||
Plan participant contributions | 0.2 | — | — | — | 0.2 | — | |||||||||||||||||
Expenses paid from assets | (4.0 | ) | (3.3 | ) | — | (0.7 | ) | 0.2 | (0.2 | ) | |||||||||||||
Plan Amendments | 0.5 | 0.5 | — | — | — | — | |||||||||||||||||
Actuarial (gain) loss | 70.1 | 39.1 | 3.6 | 33.4 | (7.1 | ) | 1.1 | ||||||||||||||||
Foreign currency effect | (43.4 | ) | — | (0.6 | ) | (41.5 | ) | (1.2 | ) | (0.1 | ) | ||||||||||||
Benefits paid | (39.8 | ) | (22.1 | ) | (1.2 | ) | (10.3 | ) | (4.9 | ) | (1.3 | ) | |||||||||||
Benefit obligation at end of year | $ | 783.8 | $ | 470.2 | $ | 41.8 | $ | 171.4 | $ | 90.1 | $ | 10.3 | |||||||||||
For the year ended October 31, 2015 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||||||||
Change in benefit obligation: | |||||||||||||||||||||||
Benefit obligation at beginning of year | $ | 786.9 | $ | 419.6 | $ | 41.9 | $ | 186.9 | $ | 123.6 | $ | 14.9 | |||||||||||
Service cost | 15.5 | 11.3 | 0.5 | 1.8 | 1.4 | 0.5 | |||||||||||||||||
Interest cost | 27.6 | 17.3 | 0.9 | 6.5 | 2.4 | 0.5 | |||||||||||||||||
Plan participant contributions | 0.2 | — | — | — | 0.2 | — | |||||||||||||||||
Expenses paid from assets | (2.7 | ) | (2.1 | ) | — | (0.7 | ) | 0.2 | (0.1 | ) | |||||||||||||
Plan Amendments | (3.3 | ) | (2.3 | ) | — | — | (1.0 | ) | — | ||||||||||||||
Actuarial (gain) loss | 15.7 | 9.1 | 2.2 | 9.0 | (4.6 | ) | — | ||||||||||||||||
Foreign currency effect | (33.7 | ) | — | (5.6 | ) | (9.7 | ) | (16.2 | ) | (2.2 | ) | ||||||||||||
Benefits paid | (33.0 | ) | (18.4 | ) | (1.2 | ) | (7.3 | ) | (5.2 | ) | (0.9 | ) | |||||||||||
Curtailments | (7.2 | ) | (2.1 | ) | — | (2.5 | ) | — | (2.6 | ) | |||||||||||||
Other | (0.2 | ) | (0.3 | ) | — | — | — | 0.1 | |||||||||||||||
Benefit obligation at end of year | $ | 765.8 | $ | 432.1 | $ | 38.7 | $ | 184.0 | $ | 100.8 | $ | 10.2 |
Actuarial value of benefit obligations | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||||||||
October 31, 2016 | |||||||||||||||||||||||
Projected benefit obligation | $ | 783.8 | $ | 470.2 | $ | 41.8 | $ | 171.4 | $ | 90.1 | $ | 10.3 | |||||||||||
Accumulated benefit obligation | 752.9 | 443.4 | 39.1 | 171.4 | 88.7 | 10.3 | |||||||||||||||||
Plan assets | 626.3 | 332.5 | — | 185.1 | 96.1 | 12.6 | |||||||||||||||||
October 31, 2015 | |||||||||||||||||||||||
Projected benefit obligation | $ | 765.8 | $ | 432.1 | $ | 38.7 | $ | 184.0 | $ | 100.8 | $ | 10.2 | |||||||||||
Accumulated benefit obligation | 739.9 | 409.8 | 35.9 | 184.0 | 100.0 | 10.2 | |||||||||||||||||
Plan assets | 624.7 | 311.1 | — | 208.4 | 92.7 | 12.5 | |||||||||||||||||
Plans with ABO in excess of Plan assets | |||||||||||||||||||||||
October 31, 2016 | |||||||||||||||||||||||
Accumulated benefit obligation | $ | 492.7 | $ | 443.4 | $ | 39.1 | $ | — | $ | — | $ | 10.2 | |||||||||||
Plan assets | 342.5 | 332.5 | — | — | — | 10.0 | |||||||||||||||||
October 31, 2015 | |||||||||||||||||||||||
Accumulated benefit obligation | $ | 546.5 | $ | 409.8 | $ | 35.9 | $ | — | $ | 100.0 | $ | 0.8 | |||||||||||
Plan assets | 404.4 | 311.1 | — | — | 92.7 | 0.6 |
Year | Expected benefit payments | ||
2017 | $ | 1.3 | |
2018 | 1.3 | ||
2019 | 1.2 | ||
2020 | 1.1 | ||
2021 | 1.1 | ||
2022-2026 | 4.7 |
Year | Expected benefit payments | ||
2017 | $ | 42.2 | |
2018 | 42.3 | ||
2019 | 43.9 | ||
2020 | 44.5 | ||
2021 | 44.4 | ||
2022-2026 | 242.7 |
Asset Category | 2016 Target | 2016 Actual | 2015 Target | 2015 Actual | |||||||
Equity securities | 25 | % | 29 | % | 23 | % | 28 | % | |||
Debt securities | 49 | % | 40 | % | 51 | % | 40 | % | |||
Other | 26 | % | 31 | % | 26 | % | 32 | % | |||
Total | 100 | % | 100 | % | 100 | % | 100 | % |
As of October 31, 2016 (Dollars in millions) | |||||||||||||||
Asset Category | Fair Value Measurement | ||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Mutual funds | $ | 104.9 | $ | 152.3 | $ | — | $ | 257.2 | |||||||
Common stock | 39.7 | — | — | 39.7 | |||||||||||
Cash | 18.6 | — | — | 18.6 | |||||||||||
Common collective trusts | — | 136.7 | — | 136.7 | |||||||||||
Corporate bonds | — | 29.7 | — | 29.7 | |||||||||||
Government bonds | — | 16.5 | — | 16.5 | |||||||||||
Insurance annuity | — | — | 125.4 | 125.4 | |||||||||||
Other assets | — | 2.5 | — | 2.5 | |||||||||||
Total | $ | 163.2 | $ | 337.7 | $ | 125.4 | $ | 626.3 | |||||||
As of October 31, 2015 (Dollars in millions) | |||||||||||||||
Asset Category | Fair Value Measurement | ||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Mutual funds | $ | 124.4 | $ | 161.2 | $ | — | $ | 285.6 | |||||||
Common stock | 26.7 | — | — | 26.7 | |||||||||||
Cash | 20.0 | — | — | 20.0 | |||||||||||
Money market fund | 0.6 | — | — | 0.6 | |||||||||||
Common collective trusts | — | 128.3 | — | 128.3 | |||||||||||
Corporate bonds | — | 19.7 | — | 19.7 | |||||||||||
Government bonds | — | 10.0 | — | 10.0 | |||||||||||
Insurance annuity | — | — | 130.2 | 130.2 | |||||||||||
Other assets | — | 3.6 | — | 3.6 | |||||||||||
Total | $ | 171.7 | $ | 322.8 | $ | 130.2 | $ | 624.7 |
For the year ended October 31, 2016 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||||||||
Change in plan assets: | |||||||||||||||||||||||
Fair value of plan assets at beginning of year | $ | 624.7 | $ | 311.1 | $ | — | $ | 208.4 | $ | 92.7 | $ | 12.5 | |||||||||||
Actual return on plan assets | 71.6 | 29.8 | — | 31.5 | 9.3 | 1.0 | |||||||||||||||||
Expenses paid | (4.0 | ) | (3.3 | ) | — | (0.7 | ) | 0.2 | (0.2 | ) | |||||||||||||
Plan participant contributions | 0.2 | — | — | — | 0.2 | — | |||||||||||||||||
Foreign currency impact | (47.1 | ) | — | — | (45.6 | ) | (1.4 | ) | (0.1 | ) | |||||||||||||
Employer contributions | 17.3 | 14.9 | — | 1.8 | — | 0.6 | |||||||||||||||||
Benefits paid out of plan | (36.4 | ) | (20.0 | ) | — | (10.3 | ) | (4.9 | ) | (1.2 | ) | ||||||||||||
Fair value of plan assets at end of year | $ | 626.3 | $ | 332.5 | $ | — | $ | 185.1 | $ | 96.1 | $ | 12.6 | |||||||||||
For the year ended October 31, 2015 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||||||||
Change in plan assets: | |||||||||||||||||||||||
Fair value of plan assets at beginning of year | $ | 650.8 | $ | 325.6 | $ | — | $ | 202.7 | $ | 107.8 | $ | 14.7 | |||||||||||
Actual return on plan assets | 25.4 | (0.9 | ) | — | 21.8 | 3.9 | 0.6 | ||||||||||||||||
Expenses paid | (2.7 | ) | (2.1 | ) | — | (0.7 | ) | 0.2 | (0.1 | ) | |||||||||||||
Plan participant contributions | 0.2 | — | — | — | 0.2 | — | |||||||||||||||||
Foreign currency impact | (27.3 | ) | — | — | (10.6 | ) | (14.2 | ) | (2.5 | ) | |||||||||||||
Employer contributions | 8.2 | 5.0 | — | 2.5 | — | 0.7 | |||||||||||||||||
Benefits paid | (29.9 | ) | (16.5 | ) | — | (7.3 | ) | (5.2 | ) | (0.9 | ) | ||||||||||||
Fair value of plan assets at end of year | $ | 624.7 | $ | 311.1 | $ | — | $ | 208.4 | $ | 92.7 | $ | 12.5 |
Pension Plan | |||||||
(Dollars in millions) | October 31, 2016 | October 31, 2015 | |||||
Balance at beginning of year | $ | 130.2 | $ | 151.1 | |||
Actual return on plan assets held at reporting date: | |||||||
Assets still held at reporting date | 10.6 | 7.1 | |||||
Plan participant contributions | — | — | |||||
Net purchases (settlements) | (6.1 | ) | — | ||||
Transfers | — | (3.4 | ) | ||||
Currency impact | (9.3 | ) | (24.6 | ) | |||
Balance at end of year | $ | 125.4 | $ | 130.2 |
As of October 31, 2016 | Consolidated | United States | Germany | United Kingdom | Netherlands | Other International | |||||||||||||||||
Unrecognized net actuarial loss | $ | 202.5 | $ | 145.4 | $ | 18.4 | $ | 36.4 | $ | (0.1 | ) | $ | 2.4 | ||||||||||
Unrecognized prior service cost | (2.7 | ) | (1.2 | ) | — | — | (1.5 | ) | — | ||||||||||||||
Unrecognized initial net obligation | — | — | — | — | — | — | |||||||||||||||||
Accumulated other comprehensive loss (Pre-tax) | $ | 199.8 | $ | 144.2 | $ | 18.4 | $ | 36.4 | $ | (1.6 | ) | $ | 2.4 | ||||||||||
Amounts recognized in the Consolidated Balance Sheets consist of: | |||||||||||||||||||||||
Prepaid benefit cost | $ | 22.2 | $ | — | $ | — | $ | 13.7 | $ | 6.0 | $ | 2.5 | |||||||||||
Accrued benefit liability | (179.7 | ) | (137.7 | ) | (41.8 | ) | — | — | (0.2 | ) | |||||||||||||
Accumulated other comprehensive loss | 199.8 | 144.2 | 18.4 | 36.4 | (1.6 | ) | 2.4 | ||||||||||||||||
Net amount recognized | $ | 42.3 | $ | 6.5 | $ | (23.4 | ) | $ | 50.1 | $ | 4.4 | $ | 4.7 | ||||||||||
As of October 31, 2015 | Consolidated | USA | Germany | United Kingdom | Netherlands | Other International | |||||||||||||||||
Unrecognized net actuarial loss | $ | 192.1 | $ | 126.6 | $ | 15.9 | $ | 32.9 | $ | 14.9 | $ | 1.8 | |||||||||||
Unrecognized prior service cost | (3.5 | ) | (1.8 | ) | — | — | (1.7 | ) | — | ||||||||||||||
Unrecognized initial net obligation | — | — | — | — | — | — | |||||||||||||||||
Accumulated other comprehensive loss (Pre-tax) | $ | 188.6 | $ | 124.8 | $ | 15.9 | $ | 32.9 | $ | 13.2 | $ | 1.8 | |||||||||||
Amounts recognized in the Consolidated Balance Sheets consist of: | |||||||||||||||||||||||
Prepaid benefit cost | $ | 26.7 | $ | — | $ | — | $ | 24.4 | $ | — | $ | 2.3 | |||||||||||
Accrued benefit liability | (167.8 | ) | (121.0 | ) | (38.6 | ) | — | (8.2 | ) | — | |||||||||||||
Accumulated other comprehensive loss | 188.6 | 124.8 | 15.9 | 32.9 | 13.2 | 1.8 | |||||||||||||||||
Net amount recognized | $ | 47.5 | $ | 3.8 | $ | (22.7 | ) | $ | 57.3 | $ | 5.0 | $ | 4.1 |
October 31, 2016 | October 31, 2015 | ||||||
Accumulated other comprehensive loss at beginning of year | $ | 188.6 | $ | 198.8 | |||
Increase or (decrease) in accumulated other comprehensive (income) or loss | |||||||
Net transition obligation amortized during fiscal year | — | (0.1 | ) | ||||
Net prior service costs amortized during fiscal year | 0.2 | (0.1 | ) | ||||
Net loss amortized during fiscal year | (11.4 | ) | (14.2 | ) | |||
Prior service cost recognized during fiscal year due to curtailment | — | (0.3 | ) | ||||
Transition obligation recognized during fiscal year due to curtailment | — | (0.2 | ) | ||||
Loss recognized during fiscal year due to settlement | (0.1 | ) | (0.1 | ) | |||
Prior service credit occurring during fiscal year | 0.5 | (3.2 | ) | ||||
Liability loss occurring during fiscal year | 69.8 | 8.4 | |||||
Asset loss (gain) occurring during fiscal year | (39.4 | ) | 7.5 | ||||
Increase (decrease) in accumulated other comprehensive loss | $ | 19.6 | $ | (2.3 | ) | ||
Foreign currency impact | (8.4 | ) | (7.9 | ) | |||
Accumulated other comprehensive loss at current fiscal year end | $ | 199.8 | $ | 188.6 |
For the years ended October 31, | 2016 | 2015 | 2014 | ||||||||
Service cost | $ | — | $ | — | $ | — | |||||
Interest cost | 0.5 | 0.7 | 0.8 | ||||||||
Amortization of prior service cost (benefit) | (1.5 | ) | (1.5 | ) | (1.6 | ) | |||||
Recognized net actuarial gain | (0.1 | ) | (0.1 | ) | — | ||||||
Net periodic income | $ | (1.1 | ) | $ | (0.9 | ) | $ | (0.8 | ) |
October 31, 2016 | October 31, 2015 | ||||||
Benefit obligation at beginning of year | $ | 14.9 | $ | 17.3 | |||
Service cost | — | — | |||||
Interest cost | 0.5 | 0.7 | |||||
Actuarial loss | (0.6 | ) | (1.0 | ) | |||
Foreign currency effect | (0.1 | ) | (0.6 | ) | |||
Benefits paid | (1.1 | ) | (1.5 | ) | |||
Benefit obligation at end of year | $ | 13.6 | $ | 14.9 |
October 31, 2016 | October 31, 2015 | ||||||
Unrecognized net actuarial gain | $ | (2.2 | ) | $ | 1.6 | ||
Unrecognized prior service credit | (4.3 | ) | 5.8 | ||||
Accumulated other comprehensive income | $ | (6.5 | ) | $ | 7.4 |
Medical | ||
Current trend rate | 7.2 | % |
Ultimate trend rate | 5.0 | % |
Year ultimate trend rate reached (South Africa) | 2018 | |
Year ultimate trend rate reached (US) | 2026 |
1-Percentage-Point Increase | 1-Percentage-Point Decrease | ||||||
Effect on total of service and interest cost components | $ | 27 | $ | (23 | ) | ||
Effect on postretirement benefit obligation | $ | 304 | $ | (261 | ) |
|
For the years ended October 31, | 2016 | 2015 | 2014 | ||||||||
Rent Expense | $ | 45.5 | $ | 50.4 | $ | 57.4 |
Fiscal Year | Operating Leases | Capital Leases | |||||
2017 | 37.4 | 0.1 | |||||
2018 | 28.9 | — | |||||
2019 | 23.9 | — | |||||
2020 | 17.4 | — | |||||
2021 | 9.7 | — | |||||
Thereafter | 34.9 | — | |||||
Total | $ | 152.2 | $ | 0.1 |
|
2016 | 2015 | 2014 | |||||||||
Net sales: | |||||||||||
Rigid Industrial Packaging & Services | $ | 2,324.2 | $ | 2,586.4 | $ | 3,077.0 | |||||
Paper Packaging & Services | 687.1 | 676.1 | 706.8 | ||||||||
Flexible Products & Services | 288.1 | 322.6 | 425.8 | ||||||||
Land Management | 24.2 | 31.6 | 29.5 | ||||||||
Total net sales | $ | 3,323.6 | $ | 3,616.7 | $ | 4,239.1 | |||||
Operating profit (loss): | |||||||||||
Rigid Industrial Packaging & Services | $ | 143.9 | $ | 86.4 | $ | 170.1 | |||||
Paper Packaging & Services | 89.1 | 109.3 | 125.8 | ||||||||
Flexible Products & Services | (15.5 | ) | (36.6 | ) | (78.6 | ) | |||||
Land Management | 8.1 | 33.7 | 32.0 | ||||||||
Total operating profit | $ | 225.6 | $ | 192.8 | $ | 249.3 | |||||
Depreciation, depletion and amortization expense: | |||||||||||
Rigid Industrial Packaging & Services | $ | 84.6 | $ | 94.0 | $ | 108.4 | |||||
Paper Packaging & Services | 31.6 | 28.7 | 29.8 | ||||||||
Flexible Products & Services | 7.7 | 8.6 | 13.3 | ||||||||
Land Management | 3.8 | 3.3 | 4.3 | ||||||||
Total depreciation, depletion and amortization expense | $ | 127.7 | $ | 134.6 | $ | 155.8 | |||||
Capital Expenditures | |||||||||||
Rigid Industrial Packaging & Services | $ | 53.9 | $ | 69.4 | $ | 73.8 | |||||
Paper Packaging & Services | 27.2 | 56.4 | 38.9 | ||||||||
Flexible Products & Services | 3.2 | 3.2 | 4.9 | ||||||||
Land Management | 0.6 | 1.6 | 60.0 | ||||||||
Total segment | 84.9 | 130.6 | 177.6 | ||||||||
Corporate and other | 16.2 | 10.7 | 17.1 | ||||||||
Total capital expenditures | $ | 101.1 | $ | 141.3 | $ | 194.7 | |||||
Assets: | |||||||||||
Rigid Industrial Packaging & Services | $ | 1,930.8 | $ | 2,043.3 | $ | 2,334.1 | |||||
Paper Packaging & Services | 439.8 | 444.0 | 408.3 | ||||||||
Flexible Products & Services | 156.1 | 187.0 | 251.0 | ||||||||
Land Management | 339.9 | 335.2 | 319.0 | ||||||||
Total Segment | 2,866.6 | 3,009.5 | 3,312.4 | ||||||||
Corporate and other | 286.4 | 306.2 | 355.0 | ||||||||
Total Assets | $ | 3,153.0 | $ | 3,315.7 | $ | 3,667.4 |
2016 | 2015 | 2014 | |||||||||
Net Sales | |||||||||||
United States | $ | 1,610.8 | $ | 1,688.3 | $ | 1,905.8 | |||||
Europe, Middle East, and Africa | 1,208.4 | 1,287.2 | 1,596.2 | ||||||||
Asia Pacific and other Americas | 504.4 | 641.2 | 737.1 | ||||||||
Total net sales | $ | 3,323.6 | $ | 3,616.7 | $ | 4,239.1 |
2016 | 2015 | ||||||
Properties, plants and equipment, net | |||||||
United States | $ | 723.3 | $ | 734.1 | |||
Europe, Middle East, and Africa | 300.5 | 335.4 | |||||
Asia Pacific and other Americas | 140.1 | 148.2 | |||||
Total properties, plants and equipment, net | $ | 1,163.9 | $ | 1,217.7 |
|
Foreign Currency Translation | Minimum Pension Liability Adjustment | Accumulated Other Comprehensive Loss | |||||||||
Balance as of October 31, 2015 | $ | (256.6 | ) | $ | (120.8 | ) | $ | (377.4 | ) | ||
Other Comprehensive Loss Before Reclassifications | (13.6 | ) | (7.4 | ) | $ | (21.0 | ) | ||||
Balance as of October 31, 2016 | $ | (270.2 | ) | $ | (128.2 | ) | $ | (398.4 | ) |
Foreign Currency Translation | Cash Flow Hedges | Minimum Pension Liability Adjustment | Accumulated Other Comprehensive Loss | ||||||||||||
Balance as of October 31, 2014 | $ | (144.5 | ) | $ | (0.1 | ) | $ | (129.8 | ) | $ | (274.4 | ) | |||
Other Comprehensive (Loss) Income Before Reclassifications | (112.1 | ) | — | 9.0 | $ | (103.1 | ) | ||||||||
Amounts reclassified from Accumulated Other Comprehensive Loss | — | 0.1 | — | $ | 0.1 | ||||||||||
Current-period Other Comprehensive (Loss) Income | (112.1 | ) | 0.1 | 9.0 | $ | (103.0 | ) | ||||||||
Balance as of October 31, 2015 | $ | (256.6 | ) | $ | — | $ | (120.8 | ) | $ | (377.4 | ) |
|
2016 | January 31, | April 30, | July 31, | October 31, | |||||||||||
Net sales | $ | 771.4 | $ | 839.6 | $ | 845.0 | $ | 867.6 | |||||||
Gross profit | $ | 151.3 | $ | 173.7 | $ | 176.5 | $ | 183.4 | |||||||
Net income (loss) (1) | $ | (9.9 | ) | $ | 32.5 | $ | 46.4 | $ | 6.5 | ||||||
Net income (loss) attributable to Greif, Inc.(1) | $ | (11.1 | ) | $ | 31.4 | $ | 46.1 | $ | 8.5 | ||||||
Earnings (loss) per share | |||||||||||||||
Basic: | |||||||||||||||
Class A Common Stock | $ | (0.19 | ) | $ | 0.53 | $ | 0.78 | $ | 0.14 | ||||||
Class B Common Stock | $ | (0.29 | ) | $ | 0.80 | $ | 1.18 | $ | 0.22 | ||||||
Diluted: | |||||||||||||||
Class A Common Stock | $ | (0.19 | ) | $ | 0.53 | $ | 0.78 | $ | 0.14 | ||||||
Class B Common Stock | $ | (0.29 | ) | $ | 0.80 | $ | 1.18 | $ | 0.22 | ||||||
Earnings per share were calculated using the following number of shares: | |||||||||||||||
Basic: | |||||||||||||||
Class A Common Stock | 25,697,512 | 25,761,733 | 25,781,146 | 25,781,791 | |||||||||||
Class B Common Stock | 22,119,966 | 22,108,942 | 22,009,725 | 22,009,725 | |||||||||||
Diluted: | |||||||||||||||
Class A Common Stock | 25,704,023 | 25,766,609 | 25,783,184 | 25,785,266 | |||||||||||
Class B Common Stock | 22,119,966 | 22,108,942 | 22,009,725 | 22,009,725 | |||||||||||
Market price (Class A Common Stock): | |||||||||||||||
High | $ | 33.77 | $ | 35.56 | $ | 40.09 | $ | 49.59 | |||||||
Low | $ | 24.05 | $ | 23.17 | $ | 32.96 | $ | 38.92 | |||||||
Close | $ | 25.51 | $ | 34.02 | $ | 39.77 | $ | 46.86 | |||||||
Market price (Class B Common Stock): | |||||||||||||||
High | $ | 45.80 | $ | 47.38 | $ | 55.48 | $ | 60.98 | |||||||
Low | $ | 34.48 | $ | 32.91 | $ | 44.38 | $ | 50.26 | |||||||
Close | $ | 35.11 | $ | 45.07 | $ | 52.41 | $ | 58.25 |
(1) | We recorded the following significant transactions during the fourth quarter of 2016: (i) restructuring charges of $9.0 million; (ii) non-cash asset impairment charges of $6.5 million; (iii) gain on disposals of properties, plants, equipment, net of $0.8 million; and (iv) loss on disposals of businesses, net of $18.6 million. Refer to Form 10-Q filings, as previously filed with the SEC, for prior quarter significant transactions or trends. |
2015 | January 31 | April 30 | July 31 | October 31 | |||||||||||
Net sales | $ | 902.3 | $ | 915.9 | $ | 930.0 | $ | 868.5 | |||||||
Gross profit | $ | 153.9 | $ | 181.1 | $ | 166.8 | $ | 168.0 | |||||||
Net income(1) | $ | 28.2 | $ | 20.5 | $ | 9.3 | $ | 9.2 | |||||||
Net income attributable to Greif, Inc.(1) | $ | 30.1 | $ | 20.8 | $ | 8.6 | $ | 12.4 | |||||||
Earnings per share | |||||||||||||||
Basic: | |||||||||||||||
Class A Common Stock | $ | 0.52 | $ | 0.35 | $ | 0.15 | $ | 0.21 | |||||||
Class B Common Stock | $ | 0.76 | $ | 0.53 | $ | 0.22 | $ | 0.32 | |||||||
Diluted: | |||||||||||||||
Class A Common Stock | $ | 0.52 | $ | 0.35 | $ | 0.15 | $ | 0.21 | |||||||
Class B Common Stock | $ | 0.76 | $ | 0.53 | $ | 0.22 | $ | 0.32 | |||||||
Earnings per share were calculated using the following number of shares: | |||||||||||||||
Basic: | |||||||||||||||
Class A Common Stock | 25,607,886 | 25,678,393 | 25,692,973 | 25,693,564 | |||||||||||
Class B Common Stock | 22,119,966 | 22,119,966 | 22,119,966 | 22,119,966 | |||||||||||
Diluted: | |||||||||||||||
Class A Common Stock | 25,617,814 | 25,688,653 | 25,698,547 | 25,701,264 | |||||||||||
Class B Common Stock | 22,119,966 | 22,119,966 | 22,119,966 | 22,119,966 | |||||||||||
Market price (Class A Common Stock): | |||||||||||||||
High | $ | 45.94 | $ | 41.97 | $ | 41.65 | $ | 35.97 | |||||||
Low | $ | 36.43 | $ | 34.52 | $ | 29.43 | $ | 27.13 | |||||||
Close | $ | 36.43 | $ | 39.29 | $ | 30.20 | $ | 32.33 | |||||||
Market price (Class B Common Stock): | |||||||||||||||
High | $ | 47.39 | $ | 45.89 | $ | 47.80 | $ | 47.97 | |||||||
Low | $ | 41.47 | $ | 40.40 | $ | 36.59 | $ | 33.42 | |||||||
Close | $ | 41.47 | $ | 45.89 | $ | 37.13 | $ | 37.98 |
(1) | We recorded the following significant transactions during the fourth quarter of 2015: (i) restructuring charges of $13.3 million; (ii) non-cash asset impairment charges of $23.6 million; (iii) loss on disposals of properties, plants, equipment, net of $2.3 million; and (iv) loss on disposal of businesses, net of $0.7 million. Refer to Form 10-Q filings, as previously filed with the SEC, for prior quarter significant transactions or trends. |
|
Redeemable Noncontrolling Interest | |||
Balance as of October 31, 2015 | $ | — | |
Reclassification of book value of noncontrolling interest | 12.4 | ||
Out-of period mark to redemption value* | 19.8 | ||
Current period mark to redemption value | 2.1 | ||
Repurchase of redeemable shareholder interest | (5.5 | ) | |
Redeemable Noncontrolling Interest share of Income/(Loss) and other | 4.8 | ||
Contributions from /(Dividends to) redeemable noncontrolling interest and other | (1.8 | ) | |
Balance as of October 31, 2016 | $ | 31.8 |
Mandatorily Redeemable Noncontrolling Interest | |||
Balance as of October 31, 2015 | $ | — | |
Reclassification of book value of noncontrolling interest | 10.4 | ||
Out-of period reversal of cumulative income allocated to noncontrolling interest | (1.2 | ) | |
Out-of period mark to redemption value | 0.1 | ||
Current period mark to redemption value | 0.5 | ||
Repurchase of redeemable shareholder interest | (0.8 | ) | |
Balance as of October 31, 2016 | $ | 9.0 |
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