306,605

216,365

Income taxes

67,453

51,489

Basic (in dollars per share)

$ 239,152

$ 164,876

Net income per common share:

$ 2.58

$ 1.80

Diluted (in dollars per share)

$ 2.53

$ 1.75

Average shares outstanding - basic (in shares)

92,550,559

91,475,860

Average shares and equivalents outstanding - diluted (in shares)

94,541,859

94,114,114

Comprehensive income

$ 230,090

$ 183,886

[1]	First quarter 2016 income taxes, net income, basic and diluted net income per common share and diluted average shares and equivalents outstanding are restated due to the adoption of ASU No. 2016-09 in the second quarter of 2016.

Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016	Mar. 31, 2016
Current assets:
Cash and cash equivalents	$ 1,017,808	$ 889,793	$ 70,548
Accounts receivable, less allowance	1,356,851	1,230,987	1,290,749
Inventories:
Finished goods	1,069,673	898,627	972,037
Work in process and raw materials	178,015	169,699	175,324
Total net inventory	1,247,688	1,068,326	1,147,361
Deferred income taxes	0	57,162	97,562
Other current assets	254,317	381,030	282,405
Total current assets	3,876,664	3,627,298	2,888,625
Goodwill	1,129,783	1,126,892	1,147,047
Intangible assets	252,934	255,010	250,574
Deferred pension assets	224,212	225,529	246,035
Other assets	442,215	421,904	449,003
Property, plant and equipment:
Land	116,077	115,555	120,568
Buildings	721,469	714,815	704,594
Machinery and equipment	2,205,706	2,153,437	2,071,637
Construction in progress	70,895	117,126	89,839
Total gross property, plant and equipment	3,114,147	3,100,933	2,986,638
Less allowances for depreciation	2,051,052	2,005,045	1,929,613
Total net property, plant and equipment	1,063,095	1,095,888	1,057,025
Total Assets	6,988,903	6,752,521	6,038,309
Current liabilities:
Short-term borrowings	41,909	40,739	128,675
Accounts payable	1,221,778	1,034,608	1,152,923
Compensation and taxes withheld	296,176	398,045	284,860
Accrued taxes	158,587	76,765	115,403
Current portion of long-term debt	700,786	700,475	2,179
Other accruals	519,766	578,547	578,521
Total current liabilities	2,939,002	2,829,179	2,262,561
Long-term debt	1,211,512	1,211,326	1,908,774
Postretirement benefits other than pensions	252,031	250,397	250,168
Other long-term liabilities	521,008	583,178	615,983
Shareholders’ equity:
Common stock	116,775	116,563	116,043
Other capital	2,547,621	2,488,564	2,372,641
Retained earnings	4,209,198	4,049,497	3,316,018
Treasury stock, at cost	(4,258,831)	(4,235,832)	(4,235,794)
Cumulative other comprehensive loss	(549,413)	(540,351)	(568,085)
Total shareholders' equity	2,065,350	1,878,441	1,000,823
Total Liabilities and Shareholders’ Equity	$ 6,988,903	$ 6,752,521	$ 6,038,309

Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Mar. 31, 2017	Dec. 31, 2016	Mar. 31, 2016
Statement of Financial Position [Abstract]
Common stock, par value (in dollars per share)	$ 1	$ 1	$ 1
Common stock, shares outstanding (in shares)	93,128,304	93,013,031	92,495,113

Condensed Statements of Consolidated Cash Flows (Unaudited) - USD ($)
$ in Thousands

3 Months Ended

Mar. 31, 2017

Mar. 31, 2016

OPERATING ACTIVITIES

Adjustments to reconcile net income to net operating cash:

$ 239,152

$ 164,876

^[1]

Depreciation

44,595

42,895

Amortization of intangible assets

6,182

5,782

Stock-based compensation expense

17,321

15,765

Amortization of credit facility and debt issuance costs

984

6,656

Provisions for qualified exit costs

2,856

1,126

Provisions for environmental-related matters

519

18,029

Defined benefit pension plans net cost

5,155

6,992

Net increase in postretirement liability

1,910

961

Other

(37,379)

(147)

Change in working capital accounts - net

(58,402)

(298,341)

Costs incurred for environmental-related matters

(3,372)

(5,036)

Costs incurred for qualified exit costs

(996)

(2,868)

Other

13,291

(18,749)

Net operating cash

231,816

(62,059)

INVESTING ACTIVITIES

Capital expenditures

(41,479)

(51,999)

Proceeds from sale of assets

34,762

988

Increase in other investments

(23,194)

(10,526)

Net investing cash

(29,911)

(61,537)

FINANCING ACTIVITIES

Net increase in short-term borrowings

326

85,770

Payments of long-term debt

(71)

0

Payments for credit facility and debt issuance costs

(7)

(41,850)

Payments of cash dividends

(79,450)

(77,734)

Proceeds from stock options exercised

41,762

19,717

Other

(22,702)

(9,583)

Net financing cash

(60,142)

(23,680)

Effect of exchange rate changes on cash

(13,748)

12,080

Net increase (decrease) in cash and cash equivalents

128,015

(135,196)

Cash and cash equivalents at beginning of year

889,793

205,744

Cash and cash equivalents at end of period

1,017,808

70,548

Income taxes paid

8,675

23,155

Interest paid

$ 30,841

$ 30,552

[1]	First quarter 2016 income taxes, net income, basic and diluted net income per common share and diluted average shares and equivalents outstanding are restated due to the adoption of ASU No. 2016-09 in the second quarter of 2016.

Basis of Presentation	3 Months Ended
Basis of Presentation	Mar. 31, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
BASIS OF PRESENTATION	BASIS OF PRESENTATION The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial information and the instructions to Form 10-Q. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. There have been no significant changes in critical accounting policies since December 31, 2016. Accounting estimates were revised as necessary during the first three months of 2017 based on new information and changes in facts and circumstances. Certain amounts in the 2016 condensed consolidated financial statements have been reclassified to conform to the 2017 presentation. The Company primarily uses the last-in, first-out (LIFO) method of valuing inventory. An actual valuation of inventory under the LIFO method can be made only at the end of each year based on the inventory levels and costs at that time. Accordingly, interim LIFO calculations are based on management’s estimates of expected year-end inventory levels and costs are subject to the final year-end LIFO inventory valuation. In addition, interim inventory levels include management’s estimates of annual inventory losses due to shrinkage and other factors. The final year-end valuation of inventory is based on an annual physical inventory count performed during the fourth quarter. For further information on inventory valuations and other matters, refer to the consolidated financial statements and footnotes thereto included in the Company’s Form 10-K for the year ended December 31, 2016. The consolidated results for the three months ended March 31, 2017 are not necessarily indicative of the results to be expected for the year ending December 31, 2017.

Impact of Recently Issued Accounting Pronouncements	3 Months Ended
Impact of Recently Issued Accounting Pronouncements	Mar. 31, 2017
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
IMPACT OF RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS	IMPACT OF RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS Effective January 1, 2017, the Company adopted the Accounting Standard Update (ASU) No. 2015-17, "Balance Sheet Classification of Deferred Taxes," which eliminates the requirement for separate presentation of current and non-current portions of deferred tax. Subsequent to adoption, all deferred tax assets and deferred tax liabilities are presented as non-current on the balance sheet. The changes have been applied prospectively as permitted by the ASU and prior years have not been restated. The adoption of this ASU does not have a material effect on the Company's results of operations, financial condition or liquidity. In March 2017, the Financial Accounting Standards Board (FASB) issued ASU No. 2017-07, "Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Costs." The standard requires the service component of pension and other postretirement benefit expense to be presented in the same income statement lines as other employee compensation costs, however, the other components will be presented outside of operating income. In addition, only the service cost component will be eligible for capitalization in assets. The standard is effective starting in 2018, with early adoption permitted. Retrospective application is required for the guidance on the income statement presentation. Prospective application is required for the guidance on the cost capitalization in assets. The Company is in the process of evaluating the impact of the standard. In January 2017, the FASB issued ASU No. 2017-04, “Simplifying the Test for Goodwill Impairment.” This standard simplifies the accounting for goodwill impairment by elimination the Step 2 requirement to calculate the implied fair value of goodwill. Instead, if a reporting unit's carrying amount exceeds its fair value, an impairment charge will be recorded based on that difference. The impairment charge will be limited to the amount of goodwill allocated to that reporting unit. The standard will be applied prospectively and is effective for impairment tests performed after December 15, 2019, with early adoption permitted. The standard is not expected to have a material effect on the Company's results of operations, financial condition or liquidity. In February 2016, the FASB issued ASU No. 2016-02, “Leases,” which consists of a comprehensive lease accounting standard. Under the new standard, assets and liabilities arising from most leases will be recognized on the balance sheet. Leases will be classified as either operating or financing, and the lease classification will determine whether expense is recognized on a straight line basis (operating leases) or based on an effective interest method (financing leases). The new standard is effective for interim and annual periods starting in 2019. A modified retrospective transition approach is required with certain practical expedients available. The Company has made significant progress with its assessment process, and anticipates this standard will have a material impact on its consolidated balance sheet. While the Company continues to assess all potential impacts of the standard, it currently believes the most significant impact relates to recording lease assets and related liabilities on the balance sheet for the Paint Store Group's retail operations. In January 2016, the FASB issued ASU No. 2016-01, “Recognition and Measurement of Financial Assets and Financial Liabilities,” which amends the guidance for certain aspects of recognition, measurement and disclosure of financial instruments. The standard is effective for interim and annual periods starting in 2018, and early adoption is not permitted. Although the Company continues to assess the potential impacts of the standard, it currently believes that the main impact will be that changes in fair value of marketable securities currently classified as available-for-sale will be recognized in earnings rather than in other comprehensive income. The standard is not expected to have a material effect on the Company's results of operations, financial condition or liquidity. In May 2014, the FASB issued ASU No. 2014-09, "Revenue from Contracts with Customers," which consists of a comprehensive revenue recognition standard that will supersede nearly all existing revenue recognition guidance under U.S. GAAP. The issuance of ASU No. 2015-14 in August 2015 delays the effective date of the standard to interim and annual periods beginning after December 15, 2017. Either full retrospective adoption or modified retrospective adoption is permitted. In addition to expanded disclosures regarding revenue, this pronouncement may impact timing of recognition in some arrangements with variable consideration or contracts for the sale of goods or services. The Company has made significant progress with its assessment process. In addition, the Company is currently developing plans for enhancements to its information systems and internal controls in response to the new rule requirements. The Company plans to adopt the standard using the full retrospective method of adoption, which requires the restatement of prior periods presented. The Company expects to have expanded disclosures in the consolidated financial statements and is in process of evaluating the impact on the results of operations, financial condition and liquidity.

The entire disclosure of changes in accounting principles, including adoption of new accounting pronouncements, that describes the new methods, amount and effects on financial statement line items.

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Change in Accounting Principle
-URI http://asc.fasb.org/extlink&oid=6507316

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Direct Effects of a Change in Accounting Principle
-URI http://asc.fasb.org/extlink&oid=66092750

Reference 3: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
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-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=64853466&loc=d3e22583-107794

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Indirect Effects of a Change in Accounting Principle
-URI http://asc.fasb.org/extlink&oid=6515603

Reference 5: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
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-SubTopic 10
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-Paragraph 2
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-Paragraph 1
-Subparagraph (SX 210.10-01.(b)(6))
-URI http://asc.fasb.org/extlink&oid=27015980&loc=d3e46468-122699

Reference 7: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
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-URI http://asc.fasb.org/extlink&oid=6503790

Reference 8: http://www.xbrl.org/2003/role/presentationRef
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Reference 9: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
-Glossary Retrospective Application
-URI http://asc.fasb.org/extlink&oid=6523989

Reference 10: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
-Topic 270
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-URI http://asc.fasb.org/extlink&oid=68064558&loc=d3e765-108305

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-URI http://asc.fasb.org/extlink&oid=68064558&loc=d3e725-108305

Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract]

Dividends	3 Months Ended
Dividends	Mar. 31, 2017
Dividends [Abstract]
DIVIDENDS	DIVIDENDS Dividends paid on common stock during the first quarter of 2017 and 2016 were $.85 per common share and $.84 per common share, respectively.

Changes in Cumulative Other Comprehensive Loss

3 Months Ended

Mar. 31, 2017

CHANGES IN CUMULATIVE OTHER COMPREHENSIVE LOSS

The following tables summarize the changes in Cumulative other comprehensive loss for the three months ended March 31, 2017 and 2016:




(Thousands of dollars)	Foreign Currency Translation Adjustments			Pension and Other Postretirement Benefit Adjustments			Unrealized Net Gains on Available-for-Sale Securities		Unrealized Net Gains (Losses) on Cash Flow Hedges			Total Cumulative Other Comprehensive (Loss) Income
Balance at December 31, 2016	$	(501,277	)	$	(125,096	)	$	1,015	$	85,007		$	(540,351	)
Amounts recognized in Other comprehensive loss⁽¹⁾	20,778						630		(30,754		)	(9,346		)
Amounts reclassified from Other comprehensive loss ⁽²⁾				279			5					284
Net change	20,778			279			635		(30,754		)	(9,062		)
Balance at March 31, 2017	$	(480,499	)	$	(124,817	)	$	1,650	$	54,253		$	(549,413	)

⁽¹⁾Net of taxes of $(389) for unrealized net gains on available-for-sale securities and $18,895 for unrealized net losses on cash flow hedges.

⁽²⁾ Net of taxes of $(142) for pension and other postretirement benefit adjustments and $(3) for realized losses on the sale of available-for-sale securities.




(Thousands of dollars)	Foreign Currency Translation Adjustments			Pension and Other Postretirement Benefit Adjustments			Unrealized Net (Losses) Gains on Available-for-Sale Securities			Unrealized Net Losses on Cash Flow Hedges			Total Cumulative Other Comprehensive (Loss) Income
Balance at December 31, 2015	$	(482,629	)	$	(104,346	)	$	(120	)				$	(587,095	)
Amounts recognized in Other comprehensive loss⁽³⁾	33,546						(42		)	$	(14,682	)	18,822
Amounts reclassified from Other comprehensive loss ⁽⁴⁾				168			20						188
Net change	33,546			168			(22		)	(14,682		)	19,010
Balance at March 31, 2016	$	(449,083	)	$	(104,178	)	$	(142	)	$	(14,682	)	$	(568,085	)

⁽³⁾Net of taxes of $25 for unrealized net losses on available-for-sale securities and $9,075 for unrealized net losses on cash flow hedges.

⁽⁴⁾Net of taxes of $(3) for pension and other postretirement benefit adjustments and $(12) for realized losses on the sale of available-for-sale securities.

The entire disclosure for comprehensive income, which includes, but is not limited to, 1) the amount of income tax expense or benefit allocated to each component of other comprehensive income, including reclassification adjustments, 2) the reclassification adjustments for each classification of other comprehensive income and 3) the ending accumulated balances for each component of comprehensive income.

Reference 1: http://www.xbrl.org/2003/role/presentationRef
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-Paragraph 15
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Reference 3: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
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Reference 4: http://www.xbrl.org/2003/role/presentationRef
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-Paragraph 1
-Subparagraph (SX 210.3-04)
-URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187085-122770

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Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Reclassification Adjustments
-URI http://asc.fasb.org/extlink&oid=6522872

Product Warranties Disclosures [Abstract]

Product Warranties

3 Months Ended

Mar. 31, 2017

PRODUCT WARRANTIES

Changes in the Company’s accrual for product warranty claims during the first three months of 2017 and 2016, including customer satisfaction settlements, were as follows:



(Thousands of dollars)
	2017			2016
Balance at January 1	$	34,419		$	31,878
Charges to expense	6,076			5,541
Settlements	(7,508		)	(5,135		)
Balance at March 31	$	32,987		$	32,284

For further details on the Company’s accrual for product warranty claims, see Note 1 to the Consolidated Financial Statements in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016.

Exit or Disposal Activities

3 Months Ended

Mar. 31, 2017

Restructuring and Related Activities [Abstract]

EXIT OR DISPOSAL ACTIVITIES

Liabilities associated with exit or disposal activities are recognized as incurred in accordance with the Exit or Disposal Cost Obligations Topic of the ASC. Qualified exit costs primarily include post-closure rent expenses, incremental post-closure costs and costs of employee terminations. Adjustments may be made to liabilities accrued for qualified exit costs if information becomes available upon which more accurate amounts can be reasonably estimated. Concurrently, property, plant and equipment is tested for impairment in accordance with the Property, Plant and Equipment Topic of the ASC, and if impairment exists, the carrying value of the related assets is reduced to estimated fair value. Additional impairment may be recorded for subsequent revisions in estimated fair value.

In the three months ended March 31, 2017, three stores in the Paint Stores Group and one branch in the Global Finishes Group were closed due to lower demand or redundancy.

The following table summarizes the activity and remaining liabilities associated with qualified exit costs at March 31, 2017:



(Thousands of dollars)
Exit Plan	Balance at December 31, 2016		Provisions in Cost of goods sold or SG&A		Actual expenditures charged to accrual			Balance at March 31, 2017
Consumer Group facilities shutdown in 2016:
Severance and related costs	$	907	$	2,756				$	3,663
Global Finishes Group stores shutdown in 2016:
Severance and related costs	136				$	(95	)	41
Other qualified exit costs	269		97		(74		)	292
Paint Stores Group stores shutdown in 2015:
Other qualified exit costs	195		3		(20		)	178
Global Finishes Group exit of a business in 2015:
Other qualified exit costs	433				(383		)	50
Severance and other qualified exit costs for facilities shutdown prior to 2015	1,908				(424		)	1,484
Totals	$	3,848	$	2,856	$	(996	)	$	5,708

For further details on the Company’s exit or disposal activities, see Note 5 to the Consolidated Financial Statements in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016.

Health Care, Pension and Other Benefits

3 Months Ended

Mar. 31, 2017

Compensation and Retirement Disclosure [Abstract]

HEALTH CARE, PENSION AND OTHER BENEFITS

Shown below are the components of the Company’s net periodic benefit cost (credit) for domestic defined benefit pension plans, foreign defined benefit pension plans and postretirement benefits other than pensions:



(Thousands of dollars)	Domestic Defined Benefit Pension Plans						Foreign Defined Benefit Pension Plans						Postretirement Benefits Other than Pensions
	2017			2016			2017			2016			2017			2016
Three Months Ended March 31:
Net periodic benefit cost:
Service cost	$	5,313		$	5,489		$	1,918		$	1,341		$	543		$	561
Interest cost	6,410			6,643			1,638			2,080			2,643			2,752
Expected return on assets	(10,309		)	(12,567		)	(1,764		)	(1,846		)
Amortization of:
Prior service cost (credit)	341			301									(1,645		)	(1,645		)
Actuarial loss	1,661			1,152			(53		)	361			11
Settlement costs										4,038
Net periodic benefit cost	$	3,416		$	1,018		$	1,739		$	5,974		$	1,552		$	1,668

The settlement charge recognized in the first quarter of 2016 relates to the wind up of an acquired Canada plan. For further details on the Company’s health care, pension and other benefits, see Note 6 to the Consolidated Financial Statements in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016.

Other Long-Term Liabilities	3 Months Ended
Other Long-Term Liabilities	Mar. 31, 2017
Environmental Remediation Obligations [Abstract]
OTHER LONG-TERM LIABILITIES	OTHER LONG-TERM LIABILITIES The Company initially provides for estimated costs of environmental-related activities relating to its past operations and third party sites for which commitments or clean-up plans have been developed and when such costs can be reasonably estimated based on industry standards and professional judgment. These estimated costs are determined based on currently available facts regarding each site. If the best estimate of costs can only be identified as a range and no specific amount within that range can be determined more likely than any other amount within the range, the minimum of the range is provided. At March 31, 2017, the unaccrued maximum of the estimated range of possible outcomes is $86.6 million higher than the minimum. The Company continuously assesses its potential liability for investigation and remediation-related activities and adjusts its environmental-related accruals as information becomes available upon which more accurate costs can be reasonably estimated and as additional accounting guidelines are issued. Actual costs incurred may vary from these estimates due to the inherent uncertainties involved including, among others, the number and financial condition of parties involved with respect to any given site, the volumetric contribution which may be attributed to the Company relative to that attributed to other parties, the nature and magnitude of the wastes involved, the various technologies that can be used for remediation and the determination of acceptable remediation with respect to a particular site. Included in Other long-term liabilities at March 31, 2017 and 2016 were accruals for extended environmental-related activities of $161.6 million and $143.4 million, respectively. Estimated costs of current investigation and remediation activities of $20.0 million and $22.5 million are included in Other accruals at March 31, 2017 and 2016, respectively. Three of the Company’s currently and formerly owned manufacturing sites account for the majority of the accrual for environmental-related activities and the unaccrued maximum of the estimated range of possible outcomes at March 31, 2017. At March 31, 2017, $151.4 million, or 83.4 percent of the total accrual, related directly to these three sites. In the aggregate unaccrued maximum of $86.6 million at March 31, 2017, $70.5 million, or 81.4 percent, related to the three manufacturing sites. While environmental investigations and remedial actions are in different stages at these sites, additional investigations, remedial actions and monitoring will likely be required at each site. Management cannot presently estimate the ultimate potential loss contingencies related to these sites or other less significant sites until such time as a substantial portion of the investigation at the sites is completed and remedial action plans are developed. In the event any future loss contingency significantly exceeds the current amount accrued, the recording of the ultimate liability may result in a material impact on net income for the annual or interim period during which the additional costs are accrued. Management does not believe that any potential liability ultimately attributed to the Company for its environmental-related matters will have a material adverse effect on the Company’s financial condition, liquidity, or cash flow due to the extended period of time during which environmental investigation and remediation takes place. An estimate of the potential impact on the Company’s operations cannot be made due to the aforementioned uncertainties. Management expects these contingent environmental-related liabilities to be resolved over an extended period of time. Management is unable to provide a more specific time frame due to the indefinite amount of time to conduct investigation activities at any site, the indefinite amount of time to obtain environmental agency approval, as necessary, with respect to investigation and remediation activities, and the indefinite amount of time necessary to conduct remediation activities. For further details on the Company’s Other long-term liabilities, see Note 8 to the Consolidated Financial Statements in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016.

Litigation	3 Months Ended
Litigation	Mar. 31, 2017
Loss Contingency, Information about Litigation Matters [Abstract]
LITIGATION	LITIGATION In the course of its business, the Company is subject to a variety of claims and lawsuits, including, but not limited to, litigation relating to product liability and warranty, personal injury, environmental, intellectual property, commercial, contractual and antitrust claims that are inherently subject to many uncertainties regarding the possibility of a loss to the Company. These uncertainties will ultimately be resolved when one or more future events occur or fail to occur confirming the incurrence of a liability or the reduction of a liability. In accordance with the Contingencies Topic of the ASC, the Company accrues for these contingencies by a charge to income when it is both probable that one or more future events will occur confirming the fact of a loss and the amount of the loss can be reasonably estimated. In the event that the Company’s loss contingency is ultimately determined to be significantly higher than currently accrued, the recording of the additional liability may result in a material impact on the Company’s results of operations, liquidity or financial condition for the annual or interim period during which such additional liability is accrued. In those cases where no accrual is recorded because it is not probable that a liability has been incurred and the amount of any such loss cannot be reasonably estimated, any potential liability ultimately determined to be attributable to the Company may result in a material impact on the Company’s results of operations, liquidity or financial condition for the annual or interim period during which such liability is accrued. In those cases where no accrual is recorded or exposure to loss exists in excess of the amount accrued, the Contingencies Topic of the ASC requires disclosure of the contingency when there is a reasonable possibility that a loss or additional loss may have been incurred. Lead pigment and lead-based paint litigation. The Company’s past operations included the manufacture and sale of lead pigments and lead-based paints. The Company, along with other companies, is and has been a defendant in a number of legal proceedings, including individual personal injury actions, purported class actions, and actions brought by various counties, cities, school districts and other government-related entities, arising from the manufacture and sale of lead pigments and lead-based paints. The plaintiffs’ claims have been based upon various legal theories, including negligence, strict liability, breach of warranty, negligent misrepresentations and omissions, fraudulent misrepresentations and omissions, concert of action, civil conspiracy, violations of unfair trade practice and consumer protection laws, enterprise liability, market share liability, public nuisance, unjust enrichment and other theories. The plaintiffs seek various damages and relief, including personal injury and property damage, costs relating to the detection and abatement of lead-based paint from buildings, costs associated with a public education campaign, medical monitoring costs and others. The Company has also been a defendant in legal proceedings arising from the manufacture and sale of non-lead-based paints that seek recovery based upon various legal theories, including the failure to adequately warn of potential exposure to lead during surface preparation when using non-lead-based paint on surfaces previously painted with lead-based paint. The Company believes that the litigation brought to date is without merit or subject to meritorious defenses and is vigorously defending such litigation. The Company has not settled any material lead pigment or lead-based paint litigation. The Company expects that additional lead pigment and lead-based paint litigation may be filed against the Company in the future asserting similar or different legal theories and seeking similar or different types of damages and relief. Notwithstanding the Company’s views on the merits, litigation is inherently subject to many uncertainties, and the Company ultimately may not prevail. Adverse court rulings or determinations of liability, among other factors, could affect the lead pigment and lead-based paint litigation against the Company and encourage an increase in the number and nature of future claims and proceedings. In addition, from time to time, various legislation and administrative regulations have been enacted, promulgated or proposed to impose obligations on present and former manufacturers of lead pigments and lead-based paints respecting asserted health concerns associated with such products or to overturn the effect of court decisions in which the Company and other manufacturers have been successful. Due to the uncertainties involved, management is unable to predict the outcome of the lead pigment and lead-based paint litigation, the number or nature of possible future claims and proceedings or the effect that any legislation and/or administrative regulations may have on the litigation or against the Company. In addition, management cannot reasonably determine the scope or amount of the potential costs and liabilities related to such litigation, or resulting from any such legislation and regulations. The Company has not accrued any amounts for such litigation. With respect to such litigation, including the public nuisance litigation, the Company does not believe that it is probable that a loss has occurred, and it is not possible to estimate the range of potential losses as there is no prior history of a loss of this nature and there is no substantive information upon which an estimate could be based. In addition, any potential liability that may result from any changes to legislation and regulations cannot reasonably be estimated. In the event any significant liability is determined to be attributable to the Company relating to such litigation, the recording of the liability may result in a material impact on net income for the annual or interim period during which such liability is accrued. Additionally, due to the uncertainties associated with the amount of any such liability and/or the nature of any other remedy which may be imposed in such litigation, any potential liability determined to be attributable to the Company arising out of such litigation may have a material adverse effect on the Company’s results of operations, liquidity or financial condition. An estimate of the potential impact on the Company’s results of operations, liquidity or financial condition cannot be made due to the aforementioned uncertainties. Public nuisance claim litigation. The Company and other companies are or were defendants in legal proceedings seeking recovery based on public nuisance liability theories, among other theories, brought by the State of Rhode Island, the City of St. Louis, Missouri, various cities and counties in the State of New Jersey, various cities in the State of Ohio and the State of Ohio, the City of Chicago, Illinois, the City of Milwaukee, Wisconsin and the County of Santa Clara, California and other public entities in the State of California. Except for the Santa Clara County, California proceeding, all of these legal proceedings have been concluded in favor of the Company and other defendants at various stages in the proceedings. The proceedings initiated by the State of Rhode Island included two jury trials. At the conclusion of the second trial, the jury returned a verdict finding that (i) the cumulative presence of lead pigment in paints and coatings on buildings in the State of Rhode Island constitutes a public nuisance, (ii) the Company, along with two other defendants, caused or substantially contributed to the creation of the public nuisance and (iii) the Company and two other defendants should be ordered to abate the public nuisance. The Company and two other defendants appealed and, on July 1, 2008, the Rhode Island Supreme Court, among other determinations, reversed the judgment of abatement with respect to the Company and two other defendants. The Rhode Island Supreme Court’s decision reversed the public nuisance liability judgment against the Company on the basis that the complaint failed to state a public nuisance claim as a matter of law. The Santa Clara County, California proceeding was initiated in March 2000 in the Superior Court of the State of California, County of Santa Clara. In the original complaint, the plaintiffs asserted various claims including fraud and concealment, strict product liability/failure to warn, strict product liability/design defect, negligence, negligent breach of a special duty, public nuisance, private nuisance, and violations of California’s Business and Professions Code. A number of the asserted claims were resolved in favor of the defendants through pre-trial proceedings. The named plaintiffs in the Fourth Amended Complaint, filed on March 16, 2011, are the Counties of Santa Clara, Alameda, Los Angeles, Monterey, San Mateo, Solano and Ventura, the Cities of Oakland and San Diego and the City and County of San Francisco. The Fourth Amended Complaint asserted a sole claim for public nuisance, alleging that the presence of lead pigments for use in paint and coatings in, on and around residences in the plaintiffs’ jurisdictions constitutes a public nuisance. The plaintiffs sought the abatement of the alleged public nuisance that exists within the plaintiffs’ jurisdictions. A trial commenced on July 15, 2013 and ended on August 22, 2013. The court entered final judgment on January 27, 2014, finding in favor of the plaintiffs and against the Company and two other defendants (ConAgra Grocery Products Company and NL Industries, Inc.). The final judgment held the Company jointly and severally liable with the other two defendants to pay $1.15 billion into a fund to abate the public nuisance. The Company strongly disagrees with the judgment. On February 18, 2014, the Company filed a motion for new trial and a motion to vacate the judgment. The court denied these motions on March 24, 2014. On March 28, 2014, the Company filed a notice of appeal to the Sixth District Court of Appeal for the State of California. The filing of the notice of appeal effects an automatic stay of the judgment without the requirement to post a bond. The appeal is fully briefed, and the parties are waiting for the Sixth District Court of Appeal to set a date for oral argument. The date for oral argument is at the discretion of the Sixth District Court of Appeal. The Company expects the Sixth District Court of Appeal to issue its ruling within 90 days following oral argument. The Company believes that the judgment conflicts with established principles of law and is unsupported by the evidence. The Company has had a favorable history with respect to lead pigment and lead-based paint litigation, particularly other public nuisance litigation, and accordingly, the Company believes that it is not probable that a loss has occurred and it is not possible to estimate the range of potential loss with respect to the case. Litigation seeking damages from alleged personal injury. The Company and other companies are defendants in a number of legal proceedings seeking monetary damages and other relief from alleged personal injuries. These proceedings include claims by children allegedly injured from ingestion of lead pigment or lead-containing paint and claims for damages allegedly incurred by the children’s parents or guardians. These proceedings generally seek compensatory and punitive damages, and seek other relief including medical monitoring costs. These proceedings include purported claims by individuals, groups of individuals and class actions. The plaintiff in Thomas v. Lead Industries Association, et al., initiated an action in state court against the Company, other alleged former lead pigment manufacturers and the Lead Industries Association in September 1999. The claims against the Company and the other defendants included strict liability, negligence, negligent misrepresentation and omissions, fraudulent misrepresentation and omissions, concert of action, civil conspiracy and enterprise liability. Implicit within these claims is the theory of “risk contribution” liability (Wisconsin’s theory which is similar to market share liability, except that liability can be joint and several) due to the plaintiff’s inability to identify the manufacturer of any product that allegedly injured the plaintiff. The case ultimately proceeded to trial and, on November 5, 2007, the jury returned a defense verdict, finding that the plaintiff had ingested white lead carbonate, but was not brain damaged or injured as a result. The plaintiff appealed and, on December 16, 2010, the Wisconsin Court of Appeals affirmed the final judgment in favor of the Company and other defendants. Wisconsin is the only jurisdiction to date to apply a theory of liability with respect to alleged personal injury (i.e., risk contribution/market share liability) that does not require the plaintiff to identify the manufacturer of the product that allegedly injured the plaintiff in the lead pigment and lead-based paint litigation. Although the risk contribution liability theory was applied during the Thomas trial, the constitutionality of this theory as applied to the lead pigment cases has not been judicially determined by the Wisconsin state courts. However, in an unrelated action filed in the United States District Court for the Eastern District of Wisconsin, Gibson v. American Cyanamid, et al., on November 15, 2010, the District Court held that Wisconsin’s risk contribution theory as applied in that case violated the defendants’ right to substantive due process and is unconstitutionally retroactive. The District Court's decision in Gibson v. American Cyanamid, et al., was appealed by the plaintiff to the United States Court of Appeals for the Seventh Circuit. On July 24, 2014, the United States Court of Appeals for the Seventh Circuit reversed the judgment and remanded the case back to the District Court for further proceedings. On January 16, 2015, the defendants filed a petition for certiorari in the United States Supreme Court seeking that Court's review of the Seventh Circuit's decision, and on May 18, 2015, the United States Supreme Court denied the defendants' petition. The case is currently pending in the District Court. Three cases also currently pending in the United States District Court for the Eastern District of Wisconsin (Ravon Owens v. American Cyanamid, et al., Cesar Sifuentes v. American Cyanamid, et al., and Glenn Burton, Jr. v. American Cyanamid, et al.) are being prepared for trial, although no trial dates have been set by the District Court. In Yasmine Clark v. The Sherwin-Williams Company, et al., the Wisconsin Circuit Court, Milwaukee County, on March 25, 2014, held that the application to a pending case of Section 895.046 of the Wisconsin Statutes (which clarifies the application of the risk contribution theory) is unconstitutional as a violation of the plaintiff’s right to due process of law under the Wisconsin Constitution. On August 21, 2014, the Wisconsin Court of Appeals granted defendants' petition to hear the issue as an interlocutory appeal. On September 29, 2015, the Wisconsin Court of Appeals certified the appeal to the Wisconsin Supreme Court for its determination. Oral argument before the Wisconsin Supreme Court occurred on April 5, 2016. On April 15, 2016, the Wisconsin Supreme Court published its decision, deciding in a 3 to 3 split decision to remand the case back to the Wisconsin Court of Appeals for its consideration. The Wisconsin Court of Appeals dismissed the appeal on September 20, 2016 and remanded the case back to the Wisconsin Circuit Court for further proceedings. The previously scheduled trial date of October 2017 in the Wisconsin Circuit Court has been vacated, and the Court has not set a new trial date. Insurance coverage litigation. The Company and its liability insurers, including certain underwriters at Lloyd’s of London, initiated legal proceedings against each other to primarily determine, among other things, whether the costs and liabilities associated with the abatement of lead pigment are covered under certain insurance policies issued to the Company. The Company’s action, filed on March 3, 2006 in the Common Pleas Court, Cuyahoga County, Ohio, is currently stayed and inactive. The liability insurers’ action, which was filed on February 23, 2006 in the Supreme Court of the State of New York, County of New York, has been dismissed. An ultimate loss in the insurance coverage litigation would mean that insurance proceeds could be unavailable under the policies at issue to mitigate any ultimate abatement related costs and liabilities. The Company has not recorded any assets related to these insurance policies or otherwise assumed that proceeds from these insurance policies would be received in estimating any contingent liability accrual. Therefore, an ultimate loss in the insurance coverage litigation without a determination of liability against the Company in the lead pigment or lead-based paint litigation will have no impact on the Company’s results of operation, liquidity or financial condition. As previously stated, however, the Company has not accrued any amounts for the lead pigment or lead-based paint litigation and any significant liability ultimately determined to be attributable to the Company relating to such litigation may result in a material impact on the Company’s results of operations, liquidity or financial condition for the annual or interim period during which such liability is accrued.

Other

3 Months Ended

Mar. 31, 2017

Other Income and Expenses [Abstract]

OTHER

Other general expense - net

Included in Other general expense - net were the following:



(Thousands of dollars)	Three Months Ended March 31,
	2017			2016
Provisions for environmental matters - net	$	519		$	18,029
Gain on sale or disposition of assets	(243		)	(475		)
Total	$	276		$	17,554

Provisions for environmental matters - net represent site-specific increases or decreases to environmental-related accruals as information becomes available upon which more accurate costs can be reasonably estimated and as additional accounting guidelines are issued. Environmental-related accruals are not recorded net of insurance proceeds in accordance with the Offsetting Subtopic of the Balance Sheet Topic of the ASC. See Note 8 for further details on the Company’s environmental-related activities.

The gain on disposition of assets represents net realized gains associated with the sale or disposal of fixed assets previously used in the conduct of the primary business of the Company.

Other (income) expense - net

Included in Other (income) expense - net were the following:



(Thousands of dollars)	Three Months Ended March 31,
	2017			2016
Dividend and royalty income	$	(1,844	)	$	(1,166	)
Net expense from banking activities	2,472			2,263
Foreign currency transaction related (gains) losses	(3,586		)	1,690
Other income	(4,960		)	(4,880		)
Other expense	3,551			2,319
Total	$	(4,367	)	$	226

Foreign currency transaction related (gains) losses represent net realized (gains) losses on U.S. dollar-denominated liabilities of foreign subsidiaries and net realized and unrealized (gains) losses from foreign currency option and forward contracts. There were no material foreign currency option and forward contracts outstanding at March 31, 2017 and 2016.

Other income and Other expense included items of revenue, gains, expenses and losses that were unrelated to the primary business purpose of the Company. There were no other items within the other income or other expense caption that were individually significant.

Income Taxes	3 Months Ended
Income Taxes	Mar. 31, 2017
Income Tax Disclosure [Abstract]
INCOME TAXES	INCOME TAXES The effective tax rate was 22.0 percent for the first quarter of 2017 compared to 23.8 percent for the first quarter of 2016 (as restated for the retrospective adoption of ASU No. 2016-09 in 2016). The decrease in the effective tax rate was primarily due to the Company's adoption of ASU No. 2016-09. Excluding the impact of ASU No. 2016-09, the effective tax rate was 32.8 percent and 32.0 percent for the first quarter of 2017 and 2016, respectively. At December 31, 2016, the Company had $32.8 million in unrecognized tax benefits, the recognition of which would have an effect of $27.7 million on the effective tax rate. Included in the balance of unrecognized tax benefits at December 31, 2016 was $2.6 million related to tax positions for which it is reasonably possible that the total amounts could significantly change during the next twelve months. This amount represents a decrease in unrecognized tax benefits comprised primarily of items related to federal audits of partnership investments and expiring statutes in federal, foreign and state jurisdictions. The Company classifies all income tax related interest and penalties as income tax expense. At December 31, 2016, the Company had accrued $9.3 million for the potential payment of income tax interest and penalties. There were no significant changes to any of the balances of unrecognized tax benefits at December 31, 2016 during the first three months of 2017. The Company and its subsidiaries file income tax returns in the U.S. federal jurisdiction, and various state and foreign jurisdictions. As of March 31, 2017, there were no examinations being conducted by the IRS, however, the statute of limitations has not expired for the 2013, 2014 and 2015 tax years. As of March 31, 2017, the Company is subject to non-U.S. income tax examinations for the tax years of 2010 through 2016. In addition, the Company is subject to state and local income tax examinations for the tax years 2003 through 2016.

Net Income Per Common Share

3 Months Ended

Mar. 31, 2017

Earnings Per Share [Abstract]

NET INCOME PER COMMON SHARE

Basic and diluted earnings per share are calculated using the treasury stock method.



(Thousands of dollars except per share data)	Three Months Ended March 31,
	2017		2016 ⁽²⁾
Basic
Average common shares outstanding	92,550,559		91,475,860
Net income	$	239,152	$	164,876
Basic net income per common share	$	2.58	$	1.80

Diluted
Average common shares outstanding	92,550,559		91,475,860
Stock options and other contingently issuable shares ⁽¹⁾	1,931,574		2,083,367
Non-vested restricted stock grants	59,726		554,887
Average common shares outstanding assuming dilution	94,541,859		94,114,114

Net income	$	239,152	$	164,876
Diluted net income per common share	$	2.53	$	1.75


⁽¹⁾	Stock options and other contingently issuable shares excludes 40,074 and 34,208 shares due to their anti-dilutive effect for the three months ended March 31, 2017 and March 31, 2016, respectively.

⁽²⁾ First quarter 2016 is restated due to the adoption of ASU No. 2016-09 in the second quarter of 2016.

Reportable Segment Information

3 Months Ended

Mar. 31, 2017

Segment Reporting [Abstract]

REPORTABLE SEGMENT INFORMATION

The Company reports segment information in the same way that management internally organizes its business for assessing performance and making decisions regarding allocation of resources in accordance with the Segment Disclosures Topic of the ASC. The Company has determined that it has four reportable operating segments: Paint Stores Group, Consumer Group, Global Finishes Group and Latin America Coatings Group (individually, a "Reportable Segment" and collectively, the “Reportable Segments”).



(Thousands of dollars)	Three Months Ended March 31, 2017
	Paint Stores Group		Consumer Group		Global Finishes Group		Latin America Coatings Group		Administrative			Consolidated Totals
Net external sales	$	1,810,357	$	337,484	$	470,336	$	141,389	$	1,821		$	2,761,387
Intersegment transfers			695,838		3,799		2,340		(701,977		)
Total net sales and intersegment transfers	$	1,810,357	$	1,033,322	$	474,135	$	143,729	$	(700,156	)	$	2,761,387

Segment profit	$	304,053	$	60,591	$	52,435	$	1,171				$	418,250
Interest expense									$	(25,695	)	(25,695		)
Administrative expenses and other									(85,950		)	(85,950		)
Income before income taxes	$	304,053	$	60,591	$	52,435	$	1,171	$	(111,645	)	$	306,605



	Three Months Ended March 31, 2016
	Paint Stores Group		Consumer Group		Global Finishes Group		Latin America Coatings Group			Administrative			Consolidated Totals
Net external sales	$	1,615,307	$	378,086	$	454,166	$	125,187		$	1,278		$	2,574,024
Intersegment transfers			613,630		1,956		8,693			(624,279		)
Total net sales and intersegment transfers	$	1,615,307	$	991,716	$	456,122	$	133,880		$	(623,001	)	$	2,574,024

Segment profit	$	253,534	$	63,964	$	48,582	$	(928	)				$	365,152
Interest expense										$	(25,732	)	(25,732		)
Administrative expenses and other										(123,055		)	(123,055		)
Income before income taxes	$	253,534	$	63,964	$	48,582	$	(928	)	$	(148,787	)	$	216,365

In the reportable segment financial information, Segment profit was total net sales and intersegment transfers less operating costs and expenses. Domestic intersegment transfers were accounted for at the approximate fully absorbed manufactured cost, based on normal capacity volumes, plus customary distribution costs. International intersegment transfers were accounted for at values comparable to normal unaffiliated customer sales. The Administrative segment includes the administrative expenses of the Company’s corporate headquarters site. Also included in the Administrative segment was interest expense, interest and investment income, certain expenses related to closed facilities and environmental-related matters, and other expenses which were not directly associated with the Reportable Segments. The Administrative segment did not include any significant foreign operations. Also included in the Administrative segment was a real estate management unit that is responsible for the ownership, management and leasing of non-retail properties held primarily for use by the Company, including the Company’s headquarters site, and disposal of idle facilities. Sales of this segment represented external leasing revenue of excess headquarters space or leasing of facilities no longer used by the Company in its primary businesses. Gains and losses from the sale of property were not a significant operating factor in determining the performance of the Administrative segment.

Net external sales and segment profit of all consolidated foreign subsidiaries were $419.0 million and $13.8 million, respectively, for the first quarter of 2017, and $400.7 million and $10.2 million, respectively, for the first quarter of 2016. Long-lived assets of these subsidiaries totaled $497.1 million and $509.8 million at March 31, 2017 and March 31, 2016, respectively. Domestic operations accounted for the remaining net external sales, segment profits and long-lived assets. No single geographic area outside the United States was significant relative to consolidated net external sales, income before taxes, or consolidated long-lived assets.

Export sales and sales to any individual customer were each less than 10 percent of consolidated sales to unaffiliated customers during all periods presented.

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

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Fair Value Measurements

3 Months Ended

Mar. 31, 2017

Fair Value Disclosures [Abstract]

FAIR VALUE MEASUREMENTS

The Fair Value Measurements and Disclosures Topic of the ASC applies to the Company’s financial and non-financial assets and liabilities. The guidance applies when other standards require or permit the fair value measurement of assets and liabilities. The Company did not have any fair value measurements for its non-financial assets and liabilities during the first quarter. The following table presents the Company’s financial assets and liabilities that are measured at fair value on a recurring basis, categorized using the fair value hierarchy:

(Thousands of dollars)

Quoted Prices

in Active

Significant

Fair Value at

Markets for

Significant Other

Unobservable

March 31,

Identical Assets

Observable Inputs

Inputs

2017

(Level 1)

(Level 2)

(Level 3)

Assets:

Deferred compensation plan asset ⁽¹⁾

$

28,941

$

4,189

$

24,752

Liabilities:

Deferred compensation plan liability ⁽²⁾

$

37,719

$

37,719

⁽¹⁾

The deferred compensation plan asset consists of the investment funds maintained for the future payments under the Company’s executive deferred compensation plan, which is structured as a rabbi trust. The investments are marketable securities accounted for under the Debt and Equity Securities Topic of the ASC. The level 1 investments are valued using quoted market prices multiplied by the number of shares. The level 2 investments are valued based on vendor or broker models. The cost basis of the investment funds is $26,843.

⁽²⁾The deferred compensation plan liability is the Company’s liability under its executive deferred compensation plan. The liability represents the fair value of the participant shadow accounts, and the value is based on quoted market prices.

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Debt

3 Months Ended

Mar. 31, 2017

Debt Disclosure [Abstract]

DEBT

The table below summarizes the carrying amount and fair value of the Company’s publicly traded debt and non-publicly traded debt in accordance with the Fair Value Measurements and Disclosures Topic of the ASC. The fair values of the Company’s publicly traded debt are based on quoted market prices. The fair values of the Company’s non-traded debt are estimated using discounted cash flow analyses, based on the Company’s current incremental borrowing rates for similar types of borrowing arrangements. The Company’s publicly traded debt and non-traded debt are classified as level 1 and level 2, respectively, in the fair value hierarchy.



(Thousands of dollars)	March 31, 2017				March 31, 2016
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Publicly traded debt	$	1,908,209	$	1,925,031	$	1,906,160	$	1,943,160
Non-traded debt	4,089		3,770		4,793		4,476

In April 2016, the Company entered into a $7.3 billion Bridge Loan and a $2.0 billion Term Loan as committed financing for the Valspar acquisition. See Note 17. No balances were drawn against these facilities as of March 31, 2017.

As previously disclosed, during the first six months of 2016, in anticipation of a probable issuance of new long-term fixed rate debt within the next twelve months, the Company entered into a series of interest rate lock agreements (collectively, the interest rate locks) on a combined notional amount of $3.6 billion. The objective of the interest rate locks was to hedge the variability in the future semi-annual payments on the anticipated debt attributable to changes in the benchmark interest rate (U.S. Treasury) during the hedge periods. The future semi-annual interest payments are exposed to interest rate risk due to changes in the benchmark interest rate from the inception of the hedge to the time of issuance. The interest rate locks were evaluated for hedge accounting treatment and were designated as cash flow hedges. The interest rate locks were settled in March 2017. The resulting pretax gain of $87.6 million was recognized in Cumulative other comprehensive loss as the Company expects to issue the new long-term fixed rate debt during the second quarter. There was no material ineffectiveness as of March 31, 2017. The unrealized gain recognized in Cumulative other comprehensive loss will be reclassified to Interest expense in periods following the issuance of the new debt. The Company expects to amortize unrealized gains of $6.9 million from Cumulative other comprehensive loss as a reduction to Interest expense during the next twelve months.

During the first three months of 2017, the Company amended the five-year credit agreement entered into in May 2016 to increase the aggregate availability to $350.0 million. The credit agreement will be used for general corporate purposes. There were no borrowings outstanding under this credit agreement at March 31, 2017.

Non-Traded Investments	3 Months Ended
Non-Traded Investments	Mar. 31, 2017
Non-Traded Investments [Abstract]
NON-TRADED INVESTMENTS	NON-TRADED INVESTMENTS The Company has invested in the U.S. affordable housing and historic renovation real estate markets. These non-traded investments have been identified as variable interest entities. However, because the Company does not have the power to direct the day-to-day operations of the investments and the risk of loss is limited to the amount of contributed capital, the Company is not considered the primary beneficiary. In accordance with the Consolidation Topic of the ASC, the investments are not consolidated. For affordable housing investments entered into prior to the January 1, 2015 adoption of ASU No. 2014-01, the Company uses the effective yield method to determine the carrying value of the investments. Under the effective yield method, the initial cost of the investments is amortized to income tax expense over the period that the tax credits are recognized. For affordable housing investments entered into on or after the January 1, 2015 adoption of ASU No. 2014-01, the Company uses the proportional amortization method. Under the proportional amortization method, the initial cost of the investments is amortized to income tax expense in proportion to the tax credits and other tax benefits received. The carrying amount of the affordable housing and historic renovation investments, included in Other assets, was $197.6 million and $202.8 million at March 31, 2017 and 2016, respectively. The liability for estimated future capital contributions to the investments was $166.0 million and $178.9 million at March 31, 2017 and 2016, respectively.

Acquisitions	3 Months Ended
Acquisitions	Mar. 31, 2017
Business Combinations [Abstract]
ACQUISITIONS	ACQUISITIONS On March 19, 2016, the Company and The Valspar Corporation (Valspar) entered into a definitive agreement under which the Company will acquire Valspar for $113 per share in an all cash transaction, or a value of approximately $9.5 billion and assumption of Valspar debt. The acquisition will expand Sherwin-Williams' diversified array of brands and technologies, expand its global platform and add new capabilities in the packaging and coil segments. The transaction is subject to certain conditions and regulatory approvals. If in connection with obtaining the required regulatory approvals, the parties are required to divest assets of Valspar or the Company representing, in the aggregate, more than $650 million of Valspar's 2015 revenues, then the per share consideration will be $105 in cash. The Company is not required to consummate the acquisition if regulatory authorities require the divestiture of assets of Valspar or the Company representing, in the aggregate, more than $1.5 billion. Valspar's architectural coatings assets in Australia are excluded from the calculation of the $650 million and/or $1.5 billion threshold if such assets are required to be divested. On March 20, 2017, the end date of the definitive agreement was extended from the original end date of March 21, 2017 to June 21, 2017. On April 11, 2017, Sherwin-Williams and Valspar entered into a definitive agreement with Axalta Coating Systems Ltd. to divest the assets related to Valspar's North American industrial wood coatings business for approximately $420 million. The planned divestiture represents annual revenues below the $650 million threshold. Therefore, the acquisition is expected to be completed at a price of $113 per share. The completion of the acquisition remains subject to customary conditions, including the receipt of antitrust approvals. During the three months ended March 31, 2017 and 2016, the Company incurred SG&A of $5.0 million and $31.1 million, respectively, and interest expense of $5.0 million and $5.9 million, respectively, related to the anticipated acquisition of Valspar.

The entire disclosure for a business combination (or series of individually immaterial business combinations) completed during the period, including background, timing, and recognized assets and liabilities. The disclosure may include leverage buyout transactions (as applicable).

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Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract]

Basis of Presentation (Policies)	3 Months Ended
Basis of Presentation (Policies)	Mar. 31, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Accounting	The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial information and the instructions to Form 10-Q. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included.
Reclassifications	Certain amounts in the 2016 condensed consolidated financial statements have been reclassified to conform to the 2017 presentation.
Inventory	The Company primarily uses the last-in, first-out (LIFO) method of valuing inventory. An actual valuation of inventory under the LIFO method can be made only at the end of each year based on the inventory levels and costs at that time. Accordingly, interim LIFO calculations are based on management’s estimates of expected year-end inventory levels and costs are subject to the final year-end LIFO inventory valuation. In addition, interim inventory levels include management’s estimates of annual inventory losses due to shrinkage and other factors. The final year-end valuation of inventory is based on an annual physical inventory count performed during the fourth quarter. For further information on inventory valuations and other matters, refer to the consolidated financial statements and footnotes thereto included in the Company’s Form 10-K for the year ended December 31, 2016.
Impact of Recently Issued Accounting Pronouncements	Effective January 1, 2017, the Company adopted the Accounting Standard Update (ASU) No. 2015-17, "Balance Sheet Classification of Deferred Taxes," which eliminates the requirement for separate presentation of current and non-current portions of deferred tax. Subsequent to adoption, all deferred tax assets and deferred tax liabilities are presented as non-current on the balance sheet. The changes have been applied prospectively as permitted by the ASU and prior years have not been restated. The adoption of this ASU does not have a material effect on the Company's results of operations, financial condition or liquidity. In March 2017, the Financial Accounting Standards Board (FASB) issued ASU No. 2017-07, "Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Costs." The standard requires the service component of pension and other postretirement benefit expense to be presented in the same income statement lines as other employee compensation costs, however, the other components will be presented outside of operating income. In addition, only the service cost component will be eligible for capitalization in assets. The standard is effective starting in 2018, with early adoption permitted. Retrospective application is required for the guidance on the income statement presentation. Prospective application is required for the guidance on the cost capitalization in assets. The Company is in the process of evaluating the impact of the standard. In January 2017, the FASB issued ASU No. 2017-04, “Simplifying the Test for Goodwill Impairment.” This standard simplifies the accounting for goodwill impairment by elimination the Step 2 requirement to calculate the implied fair value of goodwill. Instead, if a reporting unit's carrying amount exceeds its fair value, an impairment charge will be recorded based on that difference. The impairment charge will be limited to the amount of goodwill allocated to that reporting unit. The standard will be applied prospectively and is effective for impairment tests performed after December 15, 2019, with early adoption permitted. The standard is not expected to have a material effect on the Company's results of operations, financial condition or liquidity. In February 2016, the FASB issued ASU No. 2016-02, “Leases,” which consists of a comprehensive lease accounting standard. Under the new standard, assets and liabilities arising from most leases will be recognized on the balance sheet. Leases will be classified as either operating or financing, and the lease classification will determine whether expense is recognized on a straight line basis (operating leases) or based on an effective interest method (financing leases). The new standard is effective for interim and annual periods starting in 2019. A modified retrospective transition approach is required with certain practical expedients available. The Company has made significant progress with its assessment process, and anticipates this standard will have a material impact on its consolidated balance sheet. While the Company continues to assess all potential impacts of the standard, it currently believes the most significant impact relates to recording lease assets and related liabilities on the balance sheet for the Paint Store Group's retail operations. In January 2016, the FASB issued ASU No. 2016-01, “Recognition and Measurement of Financial Assets and Financial Liabilities,” which amends the guidance for certain aspects of recognition, measurement and disclosure of financial instruments. The standard is effective for interim and annual periods starting in 2018, and early adoption is not permitted. Although the Company continues to assess the potential impacts of the standard, it currently believes that the main impact will be that changes in fair value of marketable securities currently classified as available-for-sale will be recognized in earnings rather than in other comprehensive income. The standard is not expected to have a material effect on the Company's results of operations, financial condition or liquidity. In May 2014, the FASB issued ASU No. 2014-09, "Revenue from Contracts with Customers," which consists of a comprehensive revenue recognition standard that will supersede nearly all existing revenue recognition guidance under U.S. GAAP. The issuance of ASU No. 2015-14 in August 2015 delays the effective date of the standard to interim and annual periods beginning after December 15, 2017. Either full retrospective adoption or modified retrospective adoption is permitted. In addition to expanded disclosures regarding revenue, this pronouncement may impact timing of recognition in some arrangements with variable consideration or contracts for the sale of goods or services. The Company has made significant progress with its assessment process. In addition, the Company is currently developing plans for enhancements to its information systems and internal controls in response to the new rule requirements. The Company plans to adopt the standard using the full retrospective method of adoption, which requires the restatement of prior periods presented. The Company expects to have expanded disclosures in the consolidated financial statements and is in process of evaluating the impact on the results of operations, financial condition and liquidity.

Changes in Cumulative Other Comprehensive Loss (Tables)

3 Months Ended

Mar. 31, 2017

Changes in cumulative other comprehensive loss

The following tables summarize the changes in Cumulative other comprehensive loss for the three months ended March 31, 2017 and 2016:




(Thousands of dollars)	Foreign Currency Translation Adjustments			Pension and Other Postretirement Benefit Adjustments			Unrealized Net Gains on Available-for-Sale Securities		Unrealized Net Gains (Losses) on Cash Flow Hedges			Total Cumulative Other Comprehensive (Loss) Income
Balance at December 31, 2016	$	(501,277	)	$	(125,096	)	$	1,015	$	85,007		$	(540,351	)
Amounts recognized in Other comprehensive loss⁽¹⁾	20,778						630		(30,754		)	(9,346		)
Amounts reclassified from Other comprehensive loss ⁽²⁾				279			5					284
Net change	20,778			279			635		(30,754		)	(9,062		)
Balance at March 31, 2017	$	(480,499	)	$	(124,817	)	$	1,650	$	54,253		$	(549,413	)

⁽¹⁾Net of taxes of $(389) for unrealized net gains on available-for-sale securities and $18,895 for unrealized net losses on cash flow hedges.

⁽²⁾ Net of taxes of $(142) for pension and other postretirement benefit adjustments and $(3) for realized losses on the sale of available-for-sale securities.




(Thousands of dollars)	Foreign Currency Translation Adjustments			Pension and Other Postretirement Benefit Adjustments			Unrealized Net (Losses) Gains on Available-for-Sale Securities			Unrealized Net Losses on Cash Flow Hedges			Total Cumulative Other Comprehensive (Loss) Income
Balance at December 31, 2015	$	(482,629	)	$	(104,346	)	$	(120	)				$	(587,095	)
Amounts recognized in Other comprehensive loss⁽³⁾	33,546						(42		)	$	(14,682	)	18,822
Amounts reclassified from Other comprehensive loss ⁽⁴⁾				168			20						188
Net change	33,546			168			(22		)	(14,682		)	19,010
Balance at March 31, 2016	$	(449,083	)	$	(104,178	)	$	(142	)	$	(14,682	)	$	(568,085	)

⁽³⁾Net of taxes of $25 for unrealized net losses on available-for-sale securities and $9,075 for unrealized net losses on cash flow hedges.

⁽⁴⁾Net of taxes of $(3) for pension and other postretirement benefit adjustments and $(12) for realized losses on the sale of available-for-sale securities.

Product Warranties (Tables)

3 Months Ended

Mar. 31, 2017

Product Warranties Disclosures [Abstract]

Company's accrual for product warranty claims

Changes in the Company’s accrual for product warranty claims during the first three months of 2017 and 2016, including customer satisfaction settlements, were as follows:



(Thousands of dollars)
	2017			2016
Balance at January 1	$	34,419		$	31,878
Charges to expense	6,076			5,541
Settlements	(7,508		)	(5,135		)
Balance at March 31	$	32,987		$	32,284

Exit or Disposal Activities (Tables)

3 Months Ended

Mar. 31, 2017

Restructuring and Related Activities [Abstract]

Summary of activity and remaining liabilities associated with qualified exit costs

The following table summarizes the activity and remaining liabilities associated with qualified exit costs at March 31, 2017:



(Thousands of dollars)
Exit Plan	Balance at December 31, 2016		Provisions in Cost of goods sold or SG&A		Actual expenditures charged to accrual			Balance at March 31, 2017
Consumer Group facilities shutdown in 2016:
Severance and related costs	$	907	$	2,756				$	3,663
Global Finishes Group stores shutdown in 2016:
Severance and related costs	136				$	(95	)	41
Other qualified exit costs	269		97		(74		)	292
Paint Stores Group stores shutdown in 2015:
Other qualified exit costs	195		3		(20		)	178
Global Finishes Group exit of a business in 2015:
Other qualified exit costs	433				(383		)	50
Severance and other qualified exit costs for facilities shutdown prior to 2015	1,908				(424		)	1,484
Totals	$	3,848	$	2,856	$	(996	)	$	5,708

Health Care, Pension and Other Benefits (Tables)

3 Months Ended

Mar. 31, 2017

Compensation and Retirement Disclosure [Abstract]

Components of net periodic benefit costs for pension and other employee benefit plans

Shown below are the components of the Company’s net periodic benefit cost (credit) for domestic defined benefit pension plans, foreign defined benefit pension plans and postretirement benefits other than pensions:



(Thousands of dollars)	Domestic Defined Benefit Pension Plans						Foreign Defined Benefit Pension Plans						Postretirement Benefits Other than Pensions
	2017			2016			2017			2016			2017			2016
Three Months Ended March 31:
Net periodic benefit cost:
Service cost	$	5,313		$	5,489		$	1,918		$	1,341		$	543		$	561
Interest cost	6,410			6,643			1,638			2,080			2,643			2,752
Expected return on assets	(10,309		)	(12,567		)	(1,764		)	(1,846		)
Amortization of:
Prior service cost (credit)	341			301									(1,645		)	(1,645		)
Actuarial loss	1,661			1,152			(53		)	361			11
Settlement costs										4,038
Net periodic benefit cost	$	3,416		$	1,018		$	1,739		$	5,974		$	1,552		$	1,668

Other (Tables)

3 Months Ended

Mar. 31, 2017

Other Income and Expenses [Abstract]

Other general expense - net

Included in Other general expense - net were the following:



(Thousands of dollars)	Three Months Ended March 31,
	2017			2016
Provisions for environmental matters - net	$	519		$	18,029
Gain on sale or disposition of assets	(243		)	(475		)
Total	$	276		$	17,554

Other (income) expense - net

Included in Other (income) expense - net were the following:



(Thousands of dollars)	Three Months Ended March 31,
	2017			2016
Dividend and royalty income	$	(1,844	)	$	(1,166	)
Net expense from banking activities	2,472			2,263
Foreign currency transaction related (gains) losses	(3,586		)	1,690
Other income	(4,960		)	(4,880		)
Other expense	3,551			2,319
Total	$	(4,367	)	$	226

Net Income Per Common Share (Tables)

3 Months Ended

Mar. 31, 2017

Earnings Per Share [Abstract]

Computation of net income per common share



(Thousands of dollars except per share data)	Three Months Ended March 31,
	2017		2016 ⁽²⁾
Basic
Average common shares outstanding	92,550,559		91,475,860
Net income	$	239,152	$	164,876
Basic net income per common share	$	2.58	$	1.80

Diluted
Average common shares outstanding	92,550,559		91,475,860
Stock options and other contingently issuable shares ⁽¹⁾	1,931,574		2,083,367
Non-vested restricted stock grants	59,726		554,887
Average common shares outstanding assuming dilution	94,541,859		94,114,114

Net income	$	239,152	$	164,876
Diluted net income per common share	$	2.53	$	1.75


⁽¹⁾	Stock options and other contingently issuable shares excludes 40,074 and 34,208 shares due to their anti-dilutive effect for the three months ended March 31, 2017 and March 31, 2016, respectively.

⁽²⁾ First quarter 2016 is restated due to the adoption of ASU No. 2016-09 in the second quarter of 2016.

Reportable Segment Information (Tables)

3 Months Ended

Mar. 31, 2017

Segment Reporting [Abstract]

Reportable segment information



(Thousands of dollars)	Three Months Ended March 31, 2017
	Paint Stores Group		Consumer Group		Global Finishes Group		Latin America Coatings Group		Administrative			Consolidated Totals
Net external sales	$	1,810,357	$	337,484	$	470,336	$	141,389	$	1,821		$	2,761,387
Intersegment transfers			695,838		3,799		2,340		(701,977		)
Total net sales and intersegment transfers	$	1,810,357	$	1,033,322	$	474,135	$	143,729	$	(700,156	)	$	2,761,387

Segment profit	$	304,053	$	60,591	$	52,435	$	1,171				$	418,250
Interest expense									$	(25,695	)	(25,695		)
Administrative expenses and other									(85,950		)	(85,950		)
Income before income taxes	$	304,053	$	60,591	$	52,435	$	1,171	$	(111,645	)	$	306,605



	Three Months Ended March 31, 2016
	Paint Stores Group		Consumer Group		Global Finishes Group		Latin America Coatings Group			Administrative			Consolidated Totals
Net external sales	$	1,615,307	$	378,086	$	454,166	$	125,187		$	1,278		$	2,574,024
Intersegment transfers			613,630		1,956		8,693			(624,279		)
Total net sales and intersegment transfers	$	1,615,307	$	991,716	$	456,122	$	133,880		$	(623,001	)	$	2,574,024

Segment profit	$	253,534	$	63,964	$	48,582	$	(928	)				$	365,152
Interest expense										$	(25,732	)	(25,732		)
Administrative expenses and other										(123,055		)	(123,055		)
Income before income taxes	$	253,534	$	63,964	$	48,582	$	(928	)	$	(148,787	)	$	216,365

Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2017

Fair Value Disclosures [Abstract]

Financial assets and liabilities measured at fair value on a recurring basis

The following table presents the Company’s financial assets and liabilities that are measured at fair value on a recurring basis, categorized using the fair value hierarchy:

(Thousands of dollars)

Quoted Prices

in Active

Significant

Fair Value at

Markets for

Significant Other

Unobservable

March 31,

Identical Assets

Observable Inputs

Inputs

2017

(Level 1)

(Level 2)

(Level 3)

Assets:

Deferred compensation plan asset ⁽¹⁾

$

28,941

$

4,189

$

24,752

Liabilities:

Deferred compensation plan liability ⁽²⁾

$

37,719

$

37,719

⁽¹⁾

The deferred compensation plan asset consists of the investment funds maintained for the future payments under the Company’s executive deferred compensation plan, which is structured as a rabbi trust. The investments are marketable securities accounted for under the Debt and Equity Securities Topic of the ASC. The level 1 investments are valued using quoted market prices multiplied by the number of shares. The level 2 investments are valued based on vendor or broker models. The cost basis of the investment funds is $26,843.

⁽²⁾The deferred compensation plan liability is the Company’s liability under its executive deferred compensation plan. The liability represents the fair value of the participant shadow accounts, and the value is based on quoted market prices.

Debt (Tables)

3 Months Ended

Mar. 31, 2017

Debt Disclosure [Abstract]

Carrying amount and fair value of debt

The table below summarizes the carrying amount and fair value of the Company’s publicly traded debt and non-publicly traded debt in accordance with the Fair Value Measurements and Disclosures Topic of the ASC. The fair values of the Company’s publicly traded debt are based on quoted market prices. The fair values of the Company’s non-traded debt are estimated using discounted cash flow analyses, based on the Company’s current incremental borrowing rates for similar types of borrowing arrangements. The Company’s publicly traded debt and non-traded debt are classified as level 1 and level 2, respectively, in the fair value hierarchy.



(Thousands of dollars)	March 31, 2017				March 31, 2016
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Publicly traded debt	$	1,908,209	$	1,925,031	$	1,906,160	$	1,943,160
Non-traded debt	4,089		3,770		4,793		4,476

Dividends (Details) - $ / shares	3 Months Ended
Dividends (Details) - $ / shares	Mar. 31, 2017	Mar. 31, 2016
Dividends [Abstract]
Dividends paid on common stock (in dollars per share)	$ 0.85	$ 0.84

Changes in Cumulative Other Comprehensive Loss (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Changes in Net Other Comprehensive (Loss) Income [Roll Forward]
Beginning balance	$ 1,878,441
Ending balance	2,065,350	$ 1,000,823
Tax benefit (expense) for unrealized net losses (gains) on available-for-sale securities before reclassifications	(389)	25
Tax benefit (expense) for unrealized net losses (gains) on cash flow hedges	18,895	9,075
Tax expense (benefit) related to pension and other postretirement benefit plans	(142)	(3)
Tax benefit for realized losses on the sale of available-for-sale securities for amounts reclassified from other comprehensive loss	(3)	(12)
Foreign Currency Translation Adjustments
Changes in Net Other Comprehensive (Loss) Income [Roll Forward]
Beginning balance	(501,277)	(482,629)
Amounts recognized in other comprehensive loss	20,778	33,546
Net change	20,778	33,546
Ending balance	(480,499)	(449,083)
Pension and Other Postretirement Benefit Adjustments
Changes in Net Other Comprehensive (Loss) Income [Roll Forward]
Beginning balance	(125,096)	(104,346)
Amounts reclassified from other comprehensive loss	279	168
Net change	279	168
Ending balance	(124,817)	(104,178)
Unrealized Net Gains on Available-for-Sale Securities
Changes in Net Other Comprehensive (Loss) Income [Roll Forward]
Beginning balance	1,015	(120)
Amounts recognized in other comprehensive loss	630	(42)
Amounts reclassified from other comprehensive loss	5	20
Net change	635	(22)
Ending balance	1,650	(142)
Unrealized Net Gains (Losses) on Cash Flow Hedges
Changes in Net Other Comprehensive (Loss) Income [Roll Forward]
Beginning balance	85,007
Amounts recognized in other comprehensive loss	(30,754)	(14,682)
Net change	(30,754)	(14,682)
Ending balance	54,253	(14,682)
Total Cumulative Other Comprehensive (Loss) Income
Changes in Net Other Comprehensive (Loss) Income [Roll Forward]
Beginning balance	(540,351)	(587,095)
Amounts recognized in other comprehensive loss	(9,346)	18,822
Amounts reclassified from other comprehensive loss	284	188
Net change	(9,062)	19,010
Ending balance	$ (549,413)	$ (568,085)

Product Warranties (Details) - USD ($) $ in Thousands	3 Months Ended
Product Warranties (Details) - USD ($) $ in Thousands	Mar. 31, 2017	Mar. 31, 2016
Company's accrual for product warranty claims
Balance at January 1	$ 34,419	$ 31,878
Charges to expense	6,076	5,541
Settlements	(7,508)	(5,135)
Balance at March 31	$ 32,987	$ 32,284

Exit or Disposal Activities (Details) $ in Thousands	3 Months Ended
Exit or Disposal Activities (Details) $ in Thousands	Mar. 31, 2017 USD ($) store branch	Mar. 31, 2016 USD ($)
Summary of activity and remaining liabilities associated with qualified exit costs
Balance at December 31, 2016	$ 3,848
Provisions in Cost of goods sold or SG&A	2,856
Actual expenditures charged to accrual	(996)	$ (2,868)
Balance at March 31, 2017	$ 5,708
Global Finishes Group
Exit or Disposal Activities (Textual) [Abstract]
Branches closed \| branch	(1)
Paint Stores Group
Exit or Disposal Activities (Textual) [Abstract]
Stores closed \| store	(3)
Severance and related costs \| Consumer Group \| Stores shut down in 2016
Summary of activity and remaining liabilities associated with qualified exit costs
Balance at December 31, 2016	$ 907
Provisions in Cost of goods sold or SG&A	2,756
Balance at March 31, 2017	3,663
Severance and related costs \| Global Finishes Group \| Stores shut down in 2016
Summary of activity and remaining liabilities associated with qualified exit costs
Balance at December 31, 2016	136
Actual expenditures charged to accrual	(95)
Balance at March 31, 2017	41
Other qualified exit costs \| Facilities shutdown prior to 2015
Summary of activity and remaining liabilities associated with qualified exit costs
Balance at December 31, 2016	1,908
Actual expenditures charged to accrual	(424)
Balance at March 31, 2017	1,484
Other qualified exit costs \| Global Finishes Group \| Stores shut down in 2016
Summary of activity and remaining liabilities associated with qualified exit costs
Balance at December 31, 2016	269
Provisions in Cost of goods sold or SG&A	97
Actual expenditures charged to accrual	(74)
Balance at March 31, 2017	292
Other qualified exit costs \| Global Finishes Group \| Exit of business in 2015
Summary of activity and remaining liabilities associated with qualified exit costs
Balance at December 31, 2016	433
Actual expenditures charged to accrual	(383)
Balance at March 31, 2017	50
Other qualified exit costs \| Paint Stores Group \| Stores shut down in 2015
Summary of activity and remaining liabilities associated with qualified exit costs
Balance at December 31, 2016	195
Provisions in Cost of goods sold or SG&A	3
Actual expenditures charged to accrual	(20)
Balance at March 31, 2017	$ 178

Health Care, Pension and Other Benefits (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Domestic Defined Benefit Pension Plans
Net periodic benefit cost:
Service cost	$ 5,313	$ 5,489
Interest cost	6,410	6,643
Expected return on assets	(10,309)	(12,567)
Amortization of:
Prior service cost (credit)	341	301
Actuarial loss	1,661	1,152
Net periodic benefit cost	3,416	1,018
Foreign Defined Benefit Pension Plans
Net periodic benefit cost:
Service cost	1,918	1,341
Interest cost	1,638	2,080
Expected return on assets	(1,764)	(1,846)
Amortization of:
Actuarial loss	(53)	361
Settlement costs		4,038
Net periodic benefit cost	1,739	5,974
Postretirement Benefits Other than Pensions
Net periodic benefit cost:
Service cost	543	561
Interest cost	2,643	2,752
Amortization of:
Prior service cost (credit)	(1,645)	(1,645)
Actuarial loss	11
Net periodic benefit cost	$ 1,552	$ 1,668

Other Long-Term Liabilities (Details) $ in Millions	Mar. 31, 2017 USD ($) ManufacturingSite	Mar. 31, 2016 USD ($)
Other Long-Term Liabilities (Textual) [Abstract]
Amount by which unaccrued maximum of estimated range exceeds minimum	$ 86.6
Accruals for extended environmental-related activities	161.6	$ 143.4
Estimated costs of current investigation and remediation activities included in other accruals	$ 20.0	$ 22.5
Number of manufacturing sites accounting for the majority of the accrual for environmental-related activities \| ManufacturingSite	3
Accruals for environmental-related activities of three sites	$ 151.4
Percentage of accrual for environmental-related activities related to three sites	83.40%
Amount of unaccrued maximum related to three sites	$ 70.5
Percentage of aggregate unaccrued maximum related to three sites	81.40%

Litigation (Details) $ in Millions	Jan. 27, 2014 USD ($) defendant	Jul. 01, 2008 jury_trial defendant	Dec. 31, 2016 cases
Trial by Jury, State of Rhode Island
Loss Contingencies [Line Items]
Number of jury trials \| jury_trial		2
Number of additional defendants		2
Santa Clara County, California Proceeding
Loss Contingencies [Line Items]
Number of additional defendants	2
Amount payable jointly and severally for litigation \| $	$ 1,150
Pending litigation \| Personal Injury
Loss Contingencies [Line Items]
Number of pending cases \| cases			3

Other (Details) $ in Thousands	3 Months Ended
Other (Details) $ in Thousands	Mar. 31, 2017 USD ($) contract option_plan	Mar. 31, 2016 USD ($) contract option_plan
Other general expense (income ) - net
Provisions for environmental matters - net	$ 519	$ 18,029
Gain on sale or disposition of assets	(243)	(475)
Total	276	17,554
Other (income) expense - net
Dividend and royalty income	(1,844)	(1,166)
Net expense from banking activities	2,472	2,263
Foreign currency transaction related (gains) losses	(3,586)	1,690
Other income	(4,960)	(4,880)
Other expense	3,551	2,319
Total	$ (4,367)	$ 226
Number of foreign currency options outstanding \| option_plan	0	0
Number of foreign forward contracts outstanding \| contract	0	0

Income Taxes - Narrative (Details) - USD ($)	3 Months Ended
Income Taxes - Narrative (Details) - USD ($)	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Effective tax rate (percent)	22.00%	23.80%
Document Fiscal Year Focus	2017
Unrecognized tax benefits			$ 32,800,000
Unrecognized tax benefits adjusted			27,700,000
Amount of unrecognized tax benefits where significant change is reasonably possible			2,600,000
Accrued income tax interest and penalties			$ 9,300,000
Increase (decrease) in accrued income tax interest and penalties	$ 0
Scenario, previously reported
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Effective tax rate (percent)		32.00%
Before Impact of Accounting Standards Update 2016-09
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Effective tax rate (percent)	32.80%

Net Income Per Common Share (Details) - USD ($)
$ / shares in Units, $ in Thousands

3 Months Ended

Mar. 31, 2017

Mar. 31, 2016

Basic

Average common shares outstanding (in shares)

92,550,559

91,475,860

^[1]

Basic net income per common share (in dollars per share)

$ 239,152

$ 164,876

^[1]

$ 2.58

$ 1.80

^[1]

Diluted

Average common shares outstanding (in shares)

92,550,559

91,475,860

^[1]

Stock options and other contingently issuable shares (in shares)

1,931,574

2,083,367

Non-vested restricted stock grants (in shares)

59,726

554,887

Average common shares outstanding assuming dilution (in shares)

94,541,859

94,114,114

^[1]

Diluted net income per common share (in dollars per share)

$ 239,152

$ 164,876

^[1]

$ 2.53

$ 1.75

^[1]

Average common shares outstanding, anti-dilutive (in shares)

40,074

34,208

[1]	First quarter 2016 income taxes, net income, basic and diluted net income per common share and diluted average shares and equivalents outstanding are restated due to the adoption of ASU No. 2016-09 in the second quarter of 2016.

Reportable Segment Information - Narrative (Details)
$ in Thousands

3 Months Ended

Mar. 31, 2017

USD ($)

segment

Mar. 31, 2016

USD ($)

Segment Reporting [Abstract]

Number of operating segments | segment

4

Reportable Segment Information (Textual) [Abstract]

Net external sales

$ 2,761,387

$ 2,574,024

Reportable Segment Information (Textual) [Abstract]

306,605

216,365

^[1]

Foreign subsidiaries

Net external sales

419,000

400,700

13,800

10,200

Long-lived assets

$ 497,100

$ 509,800

[1]	First quarter 2016 income taxes, net income, basic and diluted net income per common share and diluted average shares and equivalents outstanding are restated due to the adoption of ASU No. 2016-09 in the second quarter of 2016.

Reportable Segment Information (Details) - USD ($)
$ in Thousands

3 Months Ended

Mar. 31, 2017

Mar. 31, 2016

$ 2,761,387

$ 2,574,024

Administrative expenses and other

418,250

365,152

Interest expense

(25,695)

(25,732)

(85,950)

(123,055)

306,605

216,365

^[1]

Paint Stores Group

1,810,357

1,615,307

Consumer Group

337,484

378,086

Global Finishes Group

Latin America Coatings Group

470,336

454,166

Operating segments | Paint Stores Group

141,389

125,187

1,810,357

1,615,307

304,053

253,534

Operating segments | Consumer Group

304,053

253,534

1,033,322

991,716

60,591

63,964

Operating segments | Global Finishes Group

60,591

63,964

474,135

456,122

52,435

48,582

Operating segments | Latin America Coatings Group

52,435

48,582

143,729

133,880

1,171

(928)

Administrative and intersegment transfers

1,171

(928)

(700,156)

(623,001)

Administrative

1,821

1,278

Intersegment transfers

Intersegment transfers | Consumer Group

(701,977)

(624,279)

Intersegment transfers | Global Finishes Group

695,838

613,630

Intersegment transfers | Latin America Coatings Group

3,799

1,956

Segment reconciling items

2,340

8,693

Administrative expenses and other

Interest expense

(25,695)

(25,732)

(85,950)

(123,055)