MORNINGSTAR, INC., 10-Q filed on 7/30/2015
Quarterly Report
Document and Entity Information
6 Months Ended
Jun. 30, 2015
Jul. 24, 2015
Document and Entity Information Abstract
 
 
Entity Registrant Name
MORNINGSTAR, INC. 
 
Entity Central Index Key
0001289419 
 
Current Fiscal Year End Date
--12-31 
 
Entity Filer Category
Large Accelerated Filer 
 
Document Type
10-Q 
 
Document Period End Date
Jun. 30, 2015 
 
Document Fiscal Year Focus
2015 
 
Document Fiscal Period Focus
Q2 
 
Amendment Flag
false 
 
Entity Common Stock, Shares Outstanding
 
44,247,059 
Condensed Consolidated Statements of Income (USD $)
In Millions, except Per Share data, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Jun. 30, 2015
Jun. 30, 2014
Revenue
$ 202.1 
$ 189.4 
$ 391.9 
$ 370.6 
Operating expense:
 
 
 
 
Cost of revenue
83.2 
81.5 
161.8 
157.1 
Sales and marketing
25.1 
27.9 
50.5 
56.4 
General and administrative
27.8 
30.4 
53.9 
56.5 
Depreciation and amortization
16.3 
13.4 
31.4 
25.8 
Litigation settlement
0 
(61.0)
0 
(61.0)
Total operating expense
152.4 
214.2 
297.6 
356.8 
Operating income (loss)
49.7 
(24.8)
94.3 
13.8 
Non-operating income (expense):
 
 
 
 
Interest income (expense), net
0.1 
0.6 
0.3 
1.2 
Gain on sale of investments, reclassified from other comprehensive income
0.5 
0.4 
0.4 
0.3 
Holding gain upon acquisition of additional ownership of equity and cost method investments
0 
5.2 
0 
5.2 
Other expense, net
0 
(0.3)
(0.4)
0 
Non-operating income (expense), net
0.6 
5.9 
0.3 
6.7 
Income (loss) before income taxes and equity in net income of unconsolidated entities
50.3 
(18.9)
94.6 
20.5 
Equity in net income of unconsolidated entities
0.6 
0.5 
1.0 
1.1 
Income tax expense (benefit)
18.7 
(8.6)
33.6 
5.0 
Consolidated net income (loss)
32.2 
(9.8)
62.0 
16.6 
Net (income) loss attributable to the noncontrolling interest
0 
0 
(0.2)
0 
Net income (loss) attributable to Morningstar, Inc.
$ 32.2 
$ (9.8)
$ 61.8 
$ 16.6 
Net income (loss) per share attributable to:
 
 
 
 
Basic (in dollars per share)
$ 0.73 
$ (0.22)
$ 1.39 
$ 0.37 
Diluted (in dollars per share)
$ 0.72 
$ (0.22)
$ 1.39 
$ 0.37 
Dividends declared per common share
$ 0.19 
$ 0.17 
$ 0.38 
$ 0.34 
Dividends paid per common share
$ 0.19 
$ 0.17 
$ 0.38 
$ 0.34 
Weighted average shares outstanding:
 
 
 
 
Basic (in shares)
44.3 
44.8 
44.3 
44.8 
Diluted (in shares)
44.4 
44.8 
44.4 
45.0 
Condensed Consolidated Statements of Comprehensive Income (USD $)
In Millions, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Jun. 30, 2015
Jun. 30, 2014
Consolidated net income (loss)
$ 32.2 
$ (9.8)
$ 62.0 
$ 16.6 
Other comprehensive income (loss):
 
 
 
 
Foreign currency translation adjustment
8.8 
2.9 
(11.0)
5.3 
Unrealized gains (losses) on securities, net of tax:
 
 
 
 
Unrealized holding gains (losses) arising during period
(0.6)
0.3 
(0.5)
0.4 
Reclassification (gains) losses included in net income
0.3 
(0.3)
0.3 
(0.2)
Other comprehensive income (loss)
8.5 
2.9 
(11.2)
5.5 
Comprehensive income (loss)
40.7 
(6.9)
50.8 
22.1 
Comprehensive income attributable to noncontrolling interest
0 
 
(0.2)
0 
Comprehensive income (loss) attributable to Morningstar, Inc.
$ 40.7 
$ (6.9)
$ 50.6 
$ 22.1 
Condensed Consolidated Balance Sheets (USD $)
In Millions, unless otherwise specified
Jun. 30, 2015
Dec. 31, 2014
Current assets:
 
 
Cash and cash equivalents
$ 225.6 
$ 185.2 
Investments
33.0 
39.4 
Accounts receivable, less allowance of $1.9 and $1.5, respectively
143.9 
136.7 
Deferred tax asset, net
10.5 
9.0 
Income tax receivable, net
0 
6.9 
Other
22.4 
22.6 
Total current assets
435.4 
399.8 
Property, equipment, and capitalized software, net
122.6 
117.6 
Investments in unconsolidated entities
34.9 
28.8 
Goodwill
364.2 
370.1 
Intangible assets, net
83.5 
95.9 
Other assets
7.0 
7.1 
Total assets
1,047.6 
1,019.3 
Current liabilities:
 
 
Accounts payable and accrued liabilities
36.0 
34.3 
Accrued compensation
58.9 
80.5 
Deferred revenue
163.1 
146.0 
Short-term debt
35.0 
30.0 
Income tax payable
8.4 
0 
Other
3.6 
3.0 
Total current liabilities
305.0 
293.8 
Accrued compensation
8.2 
7.9 
Deferred tax liability, net
28.7 
26.0 
Deferred rent
26.3 
26.4 
Other long-term liabilities
9.5 
10.8 
Total liabilities
377.7 
364.9 
Morningstar, Inc. shareholders' equity:
 
 
Common stock, no par value, 200,000,000 shares authorized, of which 44,247,059 and 44,345,763 shares were outstanding as of June 30, 2015 and December 31, 2014, respectively
0 
0 
Treasury stock at cost, 8,605,118 shares as of June 30, 2015 and 8,257,214 shares as of December 31, 2014
(550.6)
(524.3)
Additional paid-in capital
569.0 
561.1 
Retained earnings
686.4 
641.5 
Accumulated other comprehensive income (loss):
 
 
Currency translation adjustment
(36.1)
(25.1)
Unrealized gain on available-for-sale securities
0.1 
0.3 
Total accumulated other comprehensive income (loss)
(36.0)
(24.8)
Total Morningstar, Inc. shareholders' equity
668.8 
653.5 
Noncontrolling interest
1.1 
0.9 
Total equity
669.9 
654.4 
Total liabilities and equity
$ 1,047.6 
$ 1,019.3 
Condensed Consolidated Balance Sheets (Parenthetical) (USD $)
In Millions, except Share data, unless otherwise specified
Jun. 30, 2015
Dec. 31, 2014
Statement of Financial Position [Abstract]
 
 
Allowance for doubtful accounts receivable
$ 1.9 
$ 1.5 
Accumulated depreciation and amortization
$ 151.0 
$ 132.9 
Common Stock, No Par Value
$ 0 
$ 0 
Common Stock, Shares Authorized
200,000,000 
200,000,000 
Common Stock, Shares, Outstanding
44,247,059 
44,345,763 
Treasury Stock, Shares
8,605,118 
8,257,214 
Condensed Consolidated Statement of Equity (USD $)
In Millions, except Share data, unless otherwise specified
Total
Common Stock
Treasury Stock
Additional Paid-In Capital
Retained Earnings
Accumulated Other Comprehensive Income (Loss)
Non Controlling Interests
Balance at Dec. 31, 2014
$ 654.4 
$ 0 
$ (524.3)
$ 561.1 
$ 641.5 
$ (24.8)
$ 0.9 
Balance (in shares) at Dec. 31, 2014
44,345,763 
44,345,763 
 
 
 
 
 
Increase (Decrease) in Stockholders' Equity
 
 
 
 
 
 
 
Net income
62.0 
 
 
 
61.8 
 
0.2 
Other comprehensive loss:
 
 
 
 
 
 
 
Unrealized loss on available-for-sale investments, net of income tax of $0.3
(0.5)
 
 
 
 
(0.5)
0 
Reclassification of adjustments for losses included in net income, net of income tax of $0.2
0.3 
 
 
 
 
0.3 
0 
Foreign currency translation adjustment, net
(11.0)
 
 
 
 
(11.0)
0 
Other comprehensive income (loss)
(11.2)
 
 
 
 
(11.2)
0 
Issuance of common stock related to stock-option exercises and vesting of restricted stock units, net
(1.7)
0 
1.4 
(3.1)
 
 
 
Issuance of common stock related to stock-option exercises and vesting of restricted stock units, net (in shares)
 
267,066 
 
 
 
 
 
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition
 
 
 
 
 
 
 
Stock-based compensation - restricted stock units
8.9 
 
 
 
 
 
 
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition
 
 
 
8.9 
 
 
 
Excess tax benefit derived from stock-option exercises and vesting of restricted stock units
2.1 
 
 
2.1 
 
 
 
Common share repurchased
(27.7)
 
(27.7)
 
 
 
 
Common share repurchased (in shares)
 
(365,770)
 
 
 
 
 
Dividends declared - common shares outstanding
(16.9)
 
 
 
(16.9)
 
 
Balance at Jun. 30, 2015
$ 669.9 
$ 0 
$ (550.6)
$ 569.0 
$ 686.4 
$ (36.0)
$ 1.1 
Balance (in shares) at Jun. 30, 2015
44,247,059 
44,247,059 
 
 
 
 
 
Condensed Consolidated Statement of Equity (Parenthetical) (USD $)
In Millions, unless otherwise specified
6 Months Ended
Jun. 30, 2015
Statement of Stockholders' Equity [Abstract]
 
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Tax
$ 0.3 
Other Comprehensive Income (Loss), Reclassification Adjustment for Sale of Securities Included in Net Income, Tax
$ 0.2 
Condensed Consolidated Statements of Cash Flows (USD $)
In Millions, unless otherwise specified
6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Operating activities
 
 
Consolidated net income (loss)
$ 62.0 
$ 16.6 
Adjustments to reconcile consolidated net income to net cash flows from operating activities:
 
 
Depreciation and amortization
31.4 
25.8 
Deferred income taxes
1.3 
(2.6)
Stock-based compensation expense
8.9 
8.3 
Provision for (recoveries of) bad debts
0.4 
(0.3)
Equity in net income of unconsolidated entities
(1.0)
(1.1)
Excess tax benefits from stock-option exercises and vesting of restricted stock units
(2.1)
(1.9)
Holding gain upon acquisition of additional ownership of equity and cost method investments
0 
5.2 
Other, net
0 
(0.8)
Changes in operating assets and liabilities, net of effects of acquisitions:
 
 
Accounts receivable
(8.8)
(19.3)
Other assets
0 
0.2 
Accounts payable and accrued liabilities
2.0 
61.2 
Accrued compensation
(18.1)
(8.7)
Income taxes- current
15.7 
(12.2)
Deferred revenue
19.1 
8.8 
Deferred rent
0.1 
(1.0)
Other liabilities
0 
(1.1)
Cash provided by operating activities
110.9 
66.7 
Investing activities
 
 
Purchases of investments
(14.0)
(7.7)
Proceeds from maturities and sales of investments
20.5 
95.5 
Capital expenditures
(27.6)
(30.8)
Acquisitions, net of cash acquired
0 
64.4 
Other, net
(5.1)
0.2 
Cash used for investing activities
(26.2)
(7.2)
Financing activities
 
 
Common shares repurchased
(27.7)
(36.7)
Dividends paid
(16.9)
(15.3)
Proceeds from short-term debt
15.0 
0 
Repayment of short-term debt
(10.0)
0 
Proceeds from stock-option exercises, net
3.2 
2.1 
Employee taxes withheld for restricted stock units
4.9 
5.0 
Excess tax benefits from stock-option exercises and vesting of restricted stock units
2.1 
1.9 
Other, net
0.1 
0 
Cash used for financing activities
(39.1)
(53.0)
Effect of exchange rate changes on cash and cash equivalents
(5.2)
1.6 
Net increase (decrease) in cash and cash equivalents
40.4 
8.1 
Cash and cash equivalents-beginning of period
185.2 
168.2 
Cash and cash equivalents-end of period
225.6 
176.3 
Supplemental disclosure of cash flow information:
 
 
Cash paid for income taxes
14.5 
19.9 
Supplemental information of non-cash investing and financing activities:
 
 
Unrealized gain on available-for-sale investments
0.3 
0.3 
Equipment obtained under long-term financing arrangement
$ 1.3 
$ 0 
Basis of Presentation of Interim Financial Information
Basis of Presentation of Interim Financial Information
Basis of Presentation of Interim Financial Information
 
The accompanying condensed consolidated financial statements of Morningstar, Inc. and subsidiaries (Morningstar, we, our, the company) have been prepared to conform to the rules and regulations of the Securities and Exchange Commission (SEC). The preparation of financial statements in conformity with accounting principles generally accepted in the United States (U.S. GAAP) requires management to make estimates and assumptions that affect the reported amount of assets, liabilities, revenue, and expenses. Actual results could differ from those estimates. In the opinion of management, the statements reflect all adjustments, which are of a normal recurring nature, necessary to present fairly our financial position, results of operations, equity, and cash flows. These financial statements and notes are unaudited and should be read in conjunction with our Audited Consolidated Financial Statements and Notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2014, filed with the SEC on February 27, 2015.

The acronyms that appear in the Notes to our Unaudited Condensed Consolidated Financial Statements refer to the following:
 
ASC: Accounting Standards Codification
ASU: Accounting Standards Update
FASB: Financial Accounting Standards Board
 
Summary of Significant Accounting Policies
Summary of Significant Accounting Policies
Summary of Significant Accounting Policies

We discuss our significant accounting policies in Note 3 of our Audited Consolidated Financial Statements included in our Annual Report on Form 10-K for the year ended December 31, 2014, filed with the SEC on February 27, 2015.

On May 28, 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers, which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. The new standard is effective for us on January 1, 2018. The standard permits the use of either the retrospective or cumulative effect transition method. We are evaluating the effect that ASU No. 2014-09 will have on our consolidated financial statements and related disclosures. We have not yet selected a transition method nor have we determined the effect of the standard on our ongoing financial reporting.
Credit Arrangements (Notes)
Credit Arrangements
Credit Arrangements

In July 2015, we renewed our $75.0 million, single-bank revolving credit facility. We had an outstanding principal balance of $35.0 million at an interest rate of LIBOR plus 100 basis points as of June 30, 2015. On July 20, 2015, we repaid the outstanding principal balance of $35.0 million, leaving full availability of the facility.
Acquisitions, Goodwill and Other Intangible Assets
Goodwill and Other Intangible Assets
Goodwill and Other Intangible Assets

Goodwill
 
The following table shows the changes in our goodwill balances from December 31, 2014 to June 30, 2015:
 
 
 
(in millions)

Balance as of December 31, 2014
 
$
370.1

Foreign currency translation
 
(5.9
)
Balance as of June 30, 2015
 
$
364.2



We did not record any impairment losses in the first six months of 2015 or 2014. We perform our annual impairment reviews in the fourth quarter.

Intangible Assets

The following table summarizes our intangible assets: 
 
 
As of June 30, 2015
 
As of December 31, 2014
(in millions)
 
Gross

 
Accumulated
Amortization

 
Net

 
Weighted
Average
Useful  Life
(years)
 
Gross

 
Accumulated
Amortization

 
Net

 
Weighted
Average
Useful  Life
(years)
Intellectual property
 
$
28.6

 
$
(25.9
)
 
$
2.7

 
9
 
$
29.0

 
$
(25.0
)
 
$
4.0

 
9
Customer-related assets
 
139.4

 
(88.2
)
 
51.2

 
12
 
141.5

 
(83.6
)
 
57.9

 
12
Supplier relationships
 
0.2

 
(0.1
)
 
0.1

 
20
 
0.2

 
(0.1
)
 
0.1

 
20
Technology-based assets
 
88.5

 
(61.2
)
 
27.3

 
8
 
88.8

 
(57.4
)
 
31.4

 
8
Non-competition agreement
 
4.3

 
(2.1
)
 
2.2

 
5
 
4.4

 
(1.9
)
 
2.5

 
5
Total intangible assets
 
$
261.0

 
$
(177.5
)
 
$
83.5

 
10
 
$
263.9

 
$
(168.0
)
 
$
95.9

 
10
 
The following table summarizes our amortization expense related to intangible assets:
 
 
Three months ended June 30
 
Six months ended June 30
(in millions)
 
2015

 
2014

 
2015

 
2014

Amortization expense
 
$
5.4

 
$
5.5

 
$
10.9

 
$
10.6


 
We amortize intangible assets using the straight-line method over their expected economic useful lives.

We expect intangible amortization expense for the remainder of 2015 and subsequent years as follows:
 
 
(in millions)

Remainder of 2015 (from July 1 through December 31)
 
$
10.8

2016
 
17.2

2017
 
12.8

2018
 
10.6

2019
 
7.9

Thereafter
 
24.2


 
Our estimates of future amortization expense for intangible assets may be affected by acquisitions, divestitures, changes in the estimated average useful life, and currency translations.

Income Per Share
Income Per Share
Income Per Share 

The following table shows how we reconcile our net income and the number of shares used in computing basic and diluted income per share:

 
 
Three months ended June 30
 
Six months ended June 30
(in millions, except per share amounts)
 
2015

 
2014

 
2015

 
2014

 
 
 
 
 
 
 
 
 
Basic net income (loss) per share attributable to Morningstar, Inc.:
 
 

 
 

 
 
 
 
Net income (loss) attributable to Morningstar, Inc.:
 
$
32.2

 
$
(9.8
)
 
$
61.8

 
$
16.6

Less: Distributed earnings available to participating securities
 
—

 
—

 
—

 
—

Less: Undistributed earnings available to participating securities
 
—

 
—

 
—

 
—

Numerator for basic net income (loss) per share — undistributed and distributed earnings available to common shareholders
 
$
32.2

 
$
(9.8
)
 
$
61.8

 
$
16.6

 
 
 
 
 
 
 
 
 
Weighted average common shares outstanding
 
44.3

 
44.8

 
44.3

 
44.8

 
 
 
 
 
 
 
 
 
Basic net income (loss) per share attributable to Morningstar, Inc.
 
$
0.73

 
$
(0.22
)
 
$
1.39

 
$
0.37

 
 
 
 
 
 
 
 
 
Diluted net income (loss) per share attributable to Morningstar, Inc.:
 
 
 
 
 
 
 
 
Numerator for basic net income (loss) per share — undistributed and distributed earnings available to common shareholders
 
$
32.2

 
$
(9.8
)
 
$
61.8

 
$
16.6

Add: Undistributed earnings allocated to participating securities
 
—

 
—

 
—

 
—

Less: Undistributed earnings reallocated to participating securities
 
—

 
—

 
—

 
—

Numerator for diluted net income (loss) per share — undistributed and distributed earnings available to common shareholders
 
$
32.2

 
$
(9.8
)
 
$
61.8

 
$
16.6

 
 
 
 
 
 
 
 
 
Weighted average common shares outstanding
 
44.3

 
44.8

 
44.3

 
44.8

Net effect of dilutive stock options, restricted stock units, and performance share awards
 
0.1

 
—

 
0.1

 
0.2

Weighted average common shares outstanding for computing diluted income per share
 
44.4

 
44.8

 
44.4

 
45.0

 
 
 
 
 
 
 
 
 
Diluted net income (loss) per share attributable to Morningstar, Inc.
 
$
0.72

 
$
(0.22
)
 
$
1.39

 
$
0.37


The following table shows the number of restricted stock units and performance share awards excluded from our calculation of diluted earnings per share because their inclusion would have been anti-dilutive:

 
 
Three months ended June 30
 
Six months ended June 30
(in thousands)
 
2015

 
2014

 
2015

 
2014

Weighted average stock options
 
—

 
160

 
—

 
—

Weighted average restricted stock units
 
43

 
108

 
42

 
18

Weighted average performance share awards
 
15

 
10

 
6

 
—

Weighted average restricted stock
 
—

 
3

 
—

 
6

Total
 
58

 
281

 
48

 
24


Stock options and restricted stock could be included in the calculation in the future.

Segment and Geographical Area Information
Segment and Geographical Area Information
Segment and Geographical Area Information
 
Segment Information

We report our results in a single reportable segment, which reflects how our chief operating decision maker allocates resources and evaluates our financial results.

Because we have one reportable segment, all required financial segment information can be found directly in the Unaudited Condensed Consolidated Financial Statements.

The accounting policies for our single reportable segment are the same as those described in “Note 3. Summary of Significant Accounting Policies” included in our Annual Report on Form 10-K for the year ended December 31, 2014. We evaluate the performance of our reporting segment based on revenue and operating income.

Geographical Area Information

The tables below summarize our revenue and long-lived assets by geographical area:

External revenue by geographical area
 
 
 
 
 
 
 
 
 
 
Three months ended June 30
 
Six months ended June 30
(in millions)
 
2015

 
2014

 
2015

 
2014

United States
 
$
151.2

 
$
136.5

 
$
292.1

 
$
266.4

 
 
 
 
 
 
 
 
 
United Kingdom
 
16.0

 
15.6

 
30.8

 
31.0

Continental Europe
 
14.4

 
15.9

 
28.7

 
31.5

Australia
 
8.0

 
9.2

 
15.7

 
17.4

Canada
 
7.1

 
7.5

 
14.0

 
15.2

Asia
 
4.4

 
3.9

 
8.8

 
7.6

Other
 
1.0

 
0.8

 
1.8

 
1.5

Total International
 
50.9

 
52.9

 
99.8

 
104.2

 
 
 
 
 
 
 
 
 
Consolidated revenue
 
$
202.1

 
$
189.4

 
$
391.9

 
$
370.6



Long-lived assets by geographical area
 
 
 
 
 
 
As of June 30
 
As of December 31
(in millions)
 
2015

 
2014

United States
 
$
104.2

 
$
98.1

 
 
 
 
 
United Kingdom
 
8.4

 
8.1

Continental Europe
 
2.0

 
2.1

Australia
 
1.0

 
0.8

Canada
 
0.7

 
0.9

Asia
 
6.2

 
7.5

Other
 
0.1

 
0.1

Total International
 
18.4

 
19.5

 
 
 
 
 
Consolidated property, equipment, and capitalized software, net
 
$
122.6

 
$
117.6

Investments and Fair Value Measurements
Investments and Fair Value Measurements
Investments and Fair Value Measurements
 
We account for our investments in accordance with FASB ASC 320, Investments—Debt and Equity Securities. We classify our investments into three categories: available-for-sale, held-to-maturity, and trading securities. Our investment portfolio is primarily invested in proprietary Morningstar portfolios, exchange-traded funds that seek to track the performance of certain Morningstar proprietary indexes, and various mutual funds. We classify our investment portfolio as shown below:
 
 
 
As of June 30
 
As of December 31
(in millions)
 
2015

 
2014

Available-for-sale
 
$
8.8

 
$
13.2

Held-to-maturity
 
15.1

 
17.9

Trading securities
 
9.1

 
8.3

Total
 
$
33.0

 
$
39.4



The following table shows the cost, unrealized gains (losses), and fair value of investments classified as available-for-sale and held-to-maturity:
 
 
 
As of June 30, 2015
 
As of December 31, 2014
(in millions)
 
Cost

 
Unrealized
Gain

 
Unrealized
Loss

 
Fair
Value

 
Cost

 
Unrealized
Gain

 
Unrealized
Loss

 
Fair
Value

Available-for-sale:
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Equity securities and exchange-traded funds
 
$
7.4

 
$
0.3

 
$
(0.2
)
 
$
7.5

 
$
11.4

 
$
0.8

 
$
(0.3
)
 
$
11.9

Mutual funds
 
1.2

 
0.2

 
(0.1
)
 
1.3

 
1.2

 
0.2

 
(0.1
)
 
1.3

Total
 
$
8.6

 
$
0.5

 
$
(0.3
)
 
$
8.8

 
$
12.6

 
$
1.0

 
$
(0.4
)
 
$
13.2

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Held-to-maturity:
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Certificates of deposit
 
$
15.1

 
$
—

 
$
—

 
$
15.1

 
$
17.9

 
$
—

 
$
—

 
$
17.9


 
As of June 30, 2015 and December 31, 2014, investments with unrealized losses for greater than a 12-month period were not material to the Condensed Consolidated Balance Sheets and were not deemed to have other than temporary declines in value.

The table below shows the cost and fair value of investments classified as available-for-sale and held-to-maturity based on their contractual maturities as of June 30, 2015 and December 31, 2014. The expected maturities of certain fixed-income securities may differ from their contractual maturities because some of these holdings have call features that allow the issuers the right to prepay obligations without penalties.
 
 
 
As of June 30, 2015
 
As of December 31, 2014
(in millions)
 
Cost

 
Fair Value

 
Cost

 
Fair Value

Available-for-sale:
 
 

 
 

 
 

 
 

Equity securities, exchange-traded funds, and mutual funds
 
$
8.6

 
$
8.8

 
$
12.6

 
$
13.2

    Total
 
$
8.6

 
$
8.8

 
$
12.6

 
$
13.2

 
 
 
 
 
 
 
 
 
Held-to-maturity:
 
 

 
 

 
 

 
 

Due in one year or less
 
$
15.1

 
$
15.1

 
$
17.9

 
$
17.9

Total
 
$
15.1

 
$
15.1

 
$
17.9

 
$
17.9


 
As of June 30, 2015 and December 31, 2014, held-to-maturity investments included a $1.5 million certificate of deposit held primarily as collateral against bank guarantees for our office leases, primarily in Australia.

The following table shows the realized gains and losses arising from sales of our investments classified as available-for-sale recorded in our Condensed Consolidated Statements of Operations: 

 
 
Three months ended June 30
 
Six months ended June 30
(in millions)
 
2015

 
2014

 
2015

 
2014

Realized gains
 
$
0.7

 
$
0.4

 
$
0.9

 
$
0.6

Realized losses
 
(0.2
)
 
—

 
(0.5
)
 
(0.3
)
Realized gains, net
 
$
0.5

 
$
0.4

 
$
0.4

 
$
0.3


 
We determine realized gains and losses using the specific identification method.

The following table shows the net unrealized gains on trading securities as recorded in our Condensed Consolidated Statements of Operations:
 
 
 
Three months ended June 30
 
Six months ended June 30
(in millions)
 
2015

 
2014

 
2015

 
2014

Unrealized gains (losses), net
 
$
0.2

 
$
(0.2
)
 
$
0.3

 
$
(0.2
)


The table below shows the fair value of our assets subject to fair value measurements that are measured at fair value on a recurring basis using the fair value hierarchy and the necessary disclosures under FASB ASC 820, Fair Value Measurement:
 
 
 
Fair Value
 
Fair Value Measurements as of June 30, 2015
 
 
as of
 
Using Fair Value Hierarchy
(in millions)
 
June 30, 2015
 
Level 1

 
Level 2

 
Level 3

Available-for-sale investments:
 
 

 
 

 
 

 
 

Equity securities and exchange-traded funds
 
$
7.5

 
$
7.5

 
$
—

 
$
—

Mutual funds
 
1.3

 
1.3

 
—

 
—

Trading securities
 
9.1

 
9.1

 
—

 
—

Cash equivalents
 
0.5

 
0.5

 
—

 
—

Total
 
$
18.4

 
$
18.4

 
$
—

 
$
—

 
 
 
Fair Value
 
Fair Value Measurements as of December 31, 2014
 
 
as of
 
Using Fair Value Hierarchy
(in millions)
 
December 31, 2014
 
Level 1

 
Level 2

 
Level 3

Available-for-sale investments:
 
 

 
 

 
 

 
 

Equity securities and exchange-traded funds
 
$
11.9

 
$
11.9

 
$
—

 
$
—

Mutual funds
 
1.3

 
1.3

 
—

 
—

Trading securities
 
8.3

 
8.3

 
—

 
—

Cash equivalents
 
0.5

 
0.5

 
—

 
—

Total
 
$
22.0

 
$
22.0

 
$
—

 
$
—


 
Level 1:
Valuations based on quoted prices in active markets for identical assets or liabilities that we have the ability to access.
Level 2:
Valuations based on quoted prices in markets that are not active or for which all significant inputs are observable, either directly or indirectly.
Level 3:
Valuations based on inputs that are unobservable and significant to the overall fair value measurement.

Based on our analysis of the nature and risks of our investments in equity securities and mutual funds, we have determined that presenting each of these investment categories in the aggregate is appropriate.

We measure the fair value of money market funds, mutual funds, equity securities, and exchange-traded funds based on quoted prices in active markets for identical assets or liabilities. We did not hold any securities categorized as Level 2 or Level 3 as of June 30, 2015 and December 31, 2014.
Stock-Based Compensation
Stock-Based Compensation
Stock-Based Compensation
 
Stock-Based Compensation Plans
 
Our shareholders approved the Morningstar 2011 Stock Incentive Plan (the 2011 Plan) on May 17, 2011. As of that date, we stopped granting awards under the Morningstar 2004 Stock Incentive Plan (the 2004 Plan). The 2004 Plan amended and restated the Morningstar 1993 Stock Option Plan, the Morningstar 2000 Stock Option Plan, and the Morningstar 2001 Stock Option Plan.

The 2011 Plan provides for a variety of stock-based awards, including, among other things, stock options, performance share awards, restricted stock units, and restricted stock. We granted stock options, restricted stock units, and restricted stock under the 2004 Plan.

All of our employees and our non-employee directors are eligible for awards under the 2011 Plan.

Grants awarded under the 2011 Plan or the 2004 Plan that are forfeited, canceled, settled, or otherwise terminated without a distribution of shares, or shares withheld by us in connection with the exercise of options, will be available for awards under the 2011 Plan. Any shares subject to awards under the 2011 Plan, but not under the 2004 Plan, that are withheld by us in connection with the payment of any required income tax withholding will be available for awards under the 2011 Plan.

Accounting for Stock-Based Compensation Awards
 
The following table summarizes the stock-based compensation expense included in each of our operating expense categories:
 
 
Three months ended June 30
 
Six months ended June 30
(in millions)
 
2015

 
2014

 
2015

 
2014

Cost of revenue
 
$
2.1

 
$
2.0

 
$
4.1

 
$
3.7

Sales and marketing
 
0.6

 
0.5

 
1.1

 
1.0

General and administrative
 
1.9

 
1.9

 
3.7

 
3.6

Total stock-based compensation expense
 
$
4.6

 
$
4.4

 
$
8.9

 
$
8.3



The following table summarizes the amount of unrecognized stock-based compensation expense as of June 30, 2015 and the expected number of months over which the expense will be recognized:
 
 
Unrecognized stock-based compensation expense (in millions)

 
Expected amortization period (months)
Restricted stock units
 
$
39.3

 
35
Performance share awards
 
3.8

 
29
Total unrecognized stock-based compensation expense
 
$
43.1

 
34
Income Taxes
Income Taxes
Income Taxes

Effective Tax Rate

The following table shows our effective tax rate for the three and six months ended June 30, 2015 and June 30, 2014:
 
 
 
Three months ended June 30
 
Six months ended June 30
(in millions)
 
2015

 
2014

 
2015

 
2014

Income (loss) before income taxes and equity in net income of unconsolidated entities
 
$
50.3

 
$
(18.9
)
 
$
94.6

 
$
20.5

Equity in net income of unconsolidated entities
 
0.6

 
0.5

 
1.0

 
1.1

Net (income) loss attributable to the noncontrolling interest
 
—

 
—

 
(0.2
)
 
—

Total
 
$
50.9

 
$
(18.4
)
 
$
95.4

 
$
21.6

Income tax expense (benefit)
 
$
18.7

 
$
(8.6
)
 
$
33.6

 
$
5.0

Effective tax rate
 
36.7
%
 
46.8
%
 
35.2
%
 
23.3
%

 
Our effective tax rate in the second quarter of 2015 was 36.7%, a decrease of 10.1 percentage points compared with 46.8% in the prior-year period. During the second quarter of 2014, we reported a loss before income taxes and equity in net income of unconsolidated entities of $18.9 million, which included a litigation settlement expense of $61.0 million that is deductible for tax purposes. In the same period, we realized a $5.2 million non-taxable gain in connection with the purchase of the remaining ownership interest in HelloWallet. Because of these two items, we reported an income tax benefit of $8.6 million, which is equivalent to a 46.8% effective tax rate, in the second quarter of 2014.

Our effective tax rate for the first six months of 2015 was 35.2%.

Unrecognized Tax Benefits

The table below provides information concerning our gross unrecognized tax benefits as of June 30, 2015 and December 31, 2014, as well as the effect these gross unrecognized tax benefits would have on our income tax expense, if they were recognized.
 
 
As of June 30
 
As of December 31
(in millions)
 
2015

 
2014

Gross unrecognized tax benefits
 
$
13.4

 
$
11.9

Gross unrecognized tax benefits that would affect income tax expense
 
$
11.3

 
$
11.9

Decrease in income tax expense upon recognition of gross unrecognized tax benefits
 
$
10.0

 
$
10.6



Our Condensed Consolidated Balance Sheets include the following liabilities for unrecognized tax benefits. These amounts include interest and penalties, less any associated tax benefits.

 
 
As of June 30
 
As of December 31
Liabilities for Unrecognized Tax Benefits (in millions)
 
2015

 
2014

Current liability
 
$
5.9

 
$
5.1

Non-current liability
 
5.1

 
6.6

Total liability for unrecognized tax benefits
 
$
11.0

 
$
11.7



We conduct business globally and, as a result, we file income tax returns in U.S. federal, state, local, and foreign jurisdictions. We are currently under audit by federal and various state and local tax authorities in the United States, as well as tax authorities in certain non-U.S. jurisdictions. It is possible, though not likely, that the examination phase of some of these audits will conclude in 2015. It is not possible to estimate the effect of current audits on previously recorded unrecognized tax benefits.

We have not provided federal and state income taxes on accumulated undistributed earnings of certain foreign subsidiaries because these earnings have been permanently reinvested. Approximately 63% of our cash, cash equivalents, and investments balance as of June 30, 2015 was held by our operations outside of the United States. We believe that our cash balances and investments in the United States, along with cash generated from our U.S. operations, will be sufficient to meet our U.S. operating and cash needs for the foreseeable future, without requiring us to repatriate earnings from these foreign subsidiaries. It is not practical to determine the amount of the unrecognized deferred tax liability related to the undistributed earnings.
 
Certain of our non-U.S. operations have incurred net operating losses (NOLs) which may become deductible to the extent these operations become profitable. For each of our operations, we evaluate whether it is more likely than not that the tax benefits related to NOLs will be realized. As part of this evaluation, we consider evidence such as tax planning strategies, historical operating results, forecasted taxable income, and recent financial performance. In the year that certain non-U.S. operations record a loss, we do not recognize a corresponding tax benefit, thus increasing our effective tax rate. Upon determining that it is more likely than not that the NOLs will be realized, we reduce the tax valuation allowances related to these NOLs, which results in a reduction to our income tax expense and our effective tax rate in the period.

Contingencies
Contingencies
Contingencies

We are involved in legal proceedings and litigation that have arisen in the normal course of our business. Although the outcome of a particular proceeding can never be predicted, we do not believe the result of any of these matters will have a material adverse effect on our business, operating results, or financial position.
Share Repurchase Program
Share Repurchase Program
Share Repurchase Program
 
We have an ongoing authorization, originally approved by our board of directors in September 2010, and subsequently amended, to repurchase up to $700.0 million in shares of our outstanding common stock. The authorization expires on December 31, 2015. We may repurchase shares from time to time at prevailing market prices on the open market or in private transactions in amounts that we deem appropriate.

As of June 30, 2015, we had repurchased a total of 8,507,780 shares for $554.2 million under this authorization, leaving approximately $145.8 million available for future repurchases.
Summary of Significant Accounting Policies (Policies)
Segment Reporting Policy 
We report our results in a single reportable segment, which reflects how our chief operating decision maker allocates resources and evaluates our financial results.

Because we have one reportable segment, all required financial segment information can be found directly in the Unaudited Condensed Consolidated Financial Statements.

The accounting policies for our single reportable segment are the same as those described in “Note 3. Summary of Significant Accounting Policies” included in our Annual Report on Form 10-K for the year ended December 31, 2014. We evaluate the performance of our reporting segment based on revenue and operating income.

Investments- Debt and Equity Securities Policy 
We account for our investments in accordance with FASB ASC 320, Investments—Debt and Equity Securities. We classify our investments into three categories: available-for-sale, held-to-maturity, and trading securities. Our investment portfolio is primarily invested in proprietary Morningstar portfolios, exchange-traded funds that seek to track the performance of certain Morningstar proprietary indexes, and various mutual funds. We classify our investment portfolio as shown below:
Acquisitions, Goodwill and Other Intangible Assets (Tables)
Schedule of Goodwill 
The following table shows the changes in our goodwill balances from December 31, 2014 to June 30, 2015:
 
 
 
(in millions)

Balance as of December 31, 2014
 
$
370.1

Foreign currency translation
 
(5.9
)
Balance as of June 30, 2015
 
$
364.2

Schedule of Intangible Assets 
The following table summarizes our intangible assets: 
 
 
As of June 30, 2015
 
As of December 31, 2014
(in millions)
 
Gross

 
Accumulated
Amortization

 
Net

 
Weighted
Average
Useful  Life
(years)
 
Gross

 
Accumulated
Amortization

 
Net

 
Weighted
Average
Useful  Life
(years)
Intellectual property
 
$
28.6

 
$
(25.9
)
 
$
2.7

 
9
 
$
29.0

 
$
(25.0
)
 
$
4.0

 
9
Customer-related assets
 
139.4

 
(88.2
)
 
51.2

 
12
 
141.5

 
(83.6
)
 
57.9

 
12
Supplier relationships
 
0.2

 
(0.1
)
 
0.1

 
20
 
0.2

 
(0.1
)
 
0.1

 
20
Technology-based assets
 
88.5

 
(61.2
)
 
27.3

 
8
 
88.8

 
(57.4
)
 
31.4

 
8
Non-competition agreement
 
4.3

 
(2.1
)
 
2.2

 
5
 
4.4

 
(1.9
)
 
2.5

 
5
Total intangible assets
 
$
261.0

 
$
(177.5
)
 
$
83.5

 
10
 
$
263.9

 
$
(168.0
)
 
$
95.9

 
10
 
Schedule of Intangible Asset, Amortization Expense 
The following table summarizes our amortization expense related to intangible assets:
 
 
Three months ended June 30
 
Six months ended June 30
(in millions)
 
2015

 
2014

 
2015

 
2014

Amortization expense
 
$
5.4

 
$
5.5

 
$
10.9

 
$
10.6

Schedule of Expected Amortization Expense 
We expect intangible amortization expense for the remainder of 2015 and subsequent years as follows:
 
 
(in millions)

Remainder of 2015 (from July 1 through December 31)
 
$
10.8

2016
 
17.2

2017
 
12.8

2018
 
10.6

2019
 
7.9

Thereafter
 
24.2


 
Our estimates of future amortization expense for intangible assets may be affected by acquisitions, divestitures, changes in the estimated average useful life, and currency translations.
Income Per Share (Tables)
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block] 
The following table shows the number of restricted stock units and performance share awards excluded from our calculation of diluted earnings per share because their inclusion would have been anti-dilutive:

 
 
Three months ended June 30
 
Six months ended June 30
(in thousands)
 
2015

 
2014

 
2015

 
2014

Weighted average stock options
 
—

 
160

 
—

 
—

Weighted average restricted stock units
 
43

 
108

 
42

 
18

Weighted average performance share awards
 
15

 
10

 
6

 
—

Weighted average restricted stock
 
—

 
3

 
—

 
6

Total
 
58

 
281

 
48

 
24


Stock options and restricted stock could be included in the calculation in the future.
Schedule of Earnings Per Share, Basic and Diluted 
The following table shows how we reconcile our net income and the number of shares used in computing basic and diluted income per share:

 
 
Three months ended June 30
 
Six months ended June 30
(in millions, except per share amounts)
 
2015

 
2014

 
2015

 
2014

 
 
 
 
 
 
 
 
 
Basic net income (loss) per share attributable to Morningstar, Inc.:
 
 

 
 

 
 
 
 
Net income (loss) attributable to Morningstar, Inc.:
 
$
32.2

 
$
(9.8
)
 
$
61.8

 
$
16.6

Less: Distributed earnings available to participating securities
 
—

 
—

 
—

 
—

Less: Undistributed earnings available to participating securities
 
—

 
—

 
—

 
—

Numerator for basic net income (loss) per share — undistributed and distributed earnings available to common shareholders
 
$
32.2

 
$
(9.8
)
 
$
61.8

 
$
16.6

 
 
 
 
 
 
 
 
 
Weighted average common shares outstanding
 
44.3

 
44.8

 
44.3

 
44.8

 
 
 
 
 
 
 
 
 
Basic net income (loss) per share attributable to Morningstar, Inc.
 
$
0.73

 
$
(0.22
)
 
$
1.39

 
$
0.37

 
 
 
 
 
 
 
 
 
Diluted net income (loss) per share attributable to Morningstar, Inc.:
 
 
 
 
 
 
 
 
Numerator for basic net income (loss) per share — undistributed and distributed earnings available to common shareholders
 
$
32.2

 
$
(9.8
)
 
$
61.8

 
$
16.6

Add: Undistributed earnings allocated to participating securities
 
—

 
—

 
—

 
—

Less: Undistributed earnings reallocated to participating securities
 
—

 
—

 
—

 
—

Numerator for diluted net income (loss) per share — undistributed and distributed earnings available to common shareholders
 
$
32.2

 
$
(9.8
)
 
$
61.8

 
$
16.6

 
 
 
 
 
 
 
 
 
Weighted average common shares outstanding
 
44.3

 
44.8

 
44.3

 
44.8

Net effect of dilutive stock options, restricted stock units, and performance share awards
 
0.1

 
—

 
0.1

 
0.2

Weighted average common shares outstanding for computing diluted income per share
 
44.4

 
44.8

 
44.4

 
45.0

 
 
 
 
 
 
 
 
 
Diluted net income (loss) per share attributable to Morningstar, Inc.
 
$
0.72

 
$
(0.22
)
 
$
1.39

 
$
0.37


Segment and Geographical Area Information (Tables)
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas [Table Text Block]
External revenue by geographical area
 
 
 
 
 
 
 
 
 
 
Three months ended June 30
 
Six months ended June 30
(in millions)
 
2015

 
2014

 
2015

 
2014

United States
 
$
151.2

 
$
136.5

 
$
292.1

 
$
266.4

 
 
 
 
 
 
 
 
 
United Kingdom
 
16.0

 
15.6

 
30.8

 
31.0

Continental Europe
 
14.4

 
15.9

 
28.7

 
31.5

Australia
 
8.0

 
9.2

 
15.7

 
17.4

Canada
 
7.1

 
7.5

 
14.0

 
15.2

Asia
 
4.4

 
3.9

 
8.8

 
7.6

Other
 
1.0

 
0.8

 
1.8

 
1.5

Total International
 
50.9

 
52.9

 
99.8

 
104.2

 
 
 
 
 
 
 
 
 
Consolidated revenue
 
$
202.1

 
$
189.4

 
$
391.9

 
$
370.6



Long-lived assets by geographical area
 
 
 
 
 
 
As of June 30
 
As of December 31
(in millions)
 
2015

 
2014

United States
 
$
104.2

 
$
98.1

 
 
 
 
 
United Kingdom
 
8.4

 
8.1

Continental Europe
 
2.0

 
2.1

Australia
 
1.0

 
0.8

Canada
 
0.7

 
0.9

Asia
 
6.2

 
7.5

Other
 
0.1

 
0.1

Total International
 
18.4

 
19.5

 
 
 
 
 
Consolidated property, equipment, and capitalized software, net
 
$
122.6

 
$
117.6

Investments and Fair Value Measurements (Tables)
Schedule of Investments 
We classify our investment portfolio as shown below:
 
 
 
As of June 30
 
As of December 31
(in millions)
 
2015

 
2014

Available-for-sale
 
$
8.8

 
$
13.2

Held-to-maturity
 
15.1

 
17.9

Trading securities
 
9.1

 
8.3

Total
 
$
33.0

 
$
39.4

Unrealized Gain (Loss) on Investments 
The following table shows the cost, unrealized gains (losses), and fair value of investments classified as available-for-sale and held-to-maturity:
 
 
 
As of June 30, 2015
 
As of December 31, 2014
(in millions)
 
Cost

 
Unrealized
Gain

 
Unrealized
Loss

 
Fair
Value

 
Cost

 
Unrealized
Gain

 
Unrealized
Loss

 
Fair
Value

Available-for-sale:
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Equity securities and exchange-traded funds
 
$
7.4

 
$
0.3

 
$
(0.2
)
 
$
7.5

 
$
11.4

 
$
0.8

 
$
(0.3
)
 
$
11.9

Mutual funds
 
1.2

 
0.2

 
(0.1
)
 
1.3

 
1.2

 
0.2

 
(0.1
)
 
1.3

Total
 
$
8.6

 
$
0.5

 
$
(0.3
)
 
$
8.8

 
$
12.6

 
$
1.0

 
$
(0.4
)
 
$
13.2

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Held-to-maturity:
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Certificates of deposit
 
$
15.1

 
$
—

 
$
—

 
$
15.1

 
$
17.9

 
$
—

 
$
—

 
$
17.9

Investments Classified by Contractual Maturity Date 
The expected maturities of certain fixed-income securities may differ from their contractual maturities because some of these holdings have call features that allow the issuers the right to prepay obligations without penalties.
 
 
 
As of June 30, 2015
 
As of December 31, 2014
(in millions)
 
Cost

 
Fair Value

 
Cost

 
Fair Value

Available-for-sale:
 
 

 
 

 
 

 
 

Equity securities, exchange-traded funds, and mutual funds
 
$
8.6

 
$
8.8

 
$
12.6

 
$
13.2

    Total
 
$
8.6

 
$
8.8

 
$
12.6

 
$
13.2

 
 
 
 
 
 
 
 
 
Held-to-maturity:
 
 

 
 

 
 

 
 

Due in one year or less
 
$
15.1

 
$
15.1

 
$
17.9

 
$
17.9

Total
 
$
15.1

 
$
15.1

 
$
17.9

 
$
17.9

Schedule of Realized Gain (Loss) on Available-For-Sale Securities 

The following table shows the realized gains and losses arising from sales of our investments classified as available-for-sale recorded in our Condensed Consolidated Statements of Operations: 

 
 
Three months ended June 30
 
Six months ended June 30
(in millions)
 
2015

 
2014

 
2015

 
2014

Realized gains
 
$
0.7

 
$
0.4

 
$
0.9

 
$
0.6

Realized losses
 
(0.2
)
 
—

 
(0.5
)
 
(0.3
)
Realized gains, net
 
$
0.5

 
$
0.4

 
$
0.4

 
$
0.3

Unrealized Gain (Loss) On Trading Securities 
The following table shows the net unrealized gains on trading securities as recorded in our Condensed Consolidated Statements of Operations:
 
 
 
Three months ended June 30
 
Six months ended June 30
(in millions)
 
2015

 
2014

 
2015

 
2014

Unrealized gains (losses), net
 
$
0.2

 
$
(0.2
)
 
$
0.3

 
$
(0.2
)
Fair Value, Assets Measured on Recurring Basis 

The table below shows the fair value of our assets subject to fair value measurements that are measured at fair value on a recurring basis using the fair value hierarchy and the necessary disclosures under FASB ASC 820, Fair Value Measurement:
 
 
 
Fair Value
 
Fair Value Measurements as of June 30, 2015
 
 
as of
 
Using Fair Value Hierarchy
(in millions)
 
June 30, 2015
 
Level 1

 
Level 2

 
Level 3

Available-for-sale investments:
 
 

 
 

 
 

 
 

Equity securities and exchange-traded funds
 
$
7.5

 
$
7.5

 
$
—

 
$
—

Mutual funds
 
1.3

 
1.3

 
—

 
—

Trading securities
 
9.1

 
9.1

 
—

 
—

Cash equivalents
 
0.5

 
0.5

 
—

 
—

Total
 
$
18.4

 
$
18.4

 
$
—

 
$
—

 
 
 
Fair Value
 
Fair Value Measurements as of December 31, 2014
 
 
as of
 
Using Fair Value Hierarchy
(in millions)
 
December 31, 2014
 
Level 1

 
Level 2

 
Level 3

Available-for-sale investments:
 
 

 
 

 
 

 
 

Equity securities and exchange-traded funds
 
$
11.9

 
$
11.9

 
$
—

 
$
—

Mutual funds
 
1.3

 
1.3

 
—

 
—

Trading securities
 
8.3

 
8.3

 
—

 
—

Cash equivalents
 
0.5

 
0.5

 
—

 
—

Total
 
$
22.0

 
$
22.0

 
$
—

 
$
—

Stock-Based Compensation (Tables)
Schedule Of Compensation Cost By Expense Category 
The following table summarizes the stock-based compensation expense included in each of our operating expense categories:
 
 
Three months ended June 30
 
Six months ended June 30
(in millions)
 
2015

 
2014

 
2015

 
2014

Cost of revenue
 
$
2.1

 
$
2.0

 
$
4.1

 
$
3.7

Sales and marketing
 
0.6

 
0.5

 
1.1

 
1.0

General and administrative
 
1.9

 
1.9

 
3.7

 
3.6

Total stock-based compensation expense
 
$
4.6

 
$
4.4

 
$
8.9

 
$
8.3

Schedule of Unrecognized Stock-Based Compensation Expense 
The following table summarizes the amount of unrecognized stock-based compensation expense as of June 30, 2015 and the expected number of months over which the expense will be recognized:
 
 
Unrecognized stock-based compensation expense (in millions)

 
Expected amortization period (months)
Restricted stock units
 
$
39.3

 
35
Performance share awards
 
3.8

 
29
Total unrecognized stock-based compensation expense
 
$
43.1

 
34
Income Taxes (Tables)
Schedule of Effective Income Tax Rate Reconciliation 
The following table shows our effective tax rate for the three and six months ended June 30, 2015 and June 30, 2014:
 
 
 
Three months ended June 30
 
Six months ended June 30
(in millions)
 
2015

 
2014

 
2015

 
2014

Income (loss) before income taxes and equity in net income of unconsolidated entities
 
$
50.3

 
$
(18.9
)
 
$
94.6

 
$
20.5

Equity in net income of unconsolidated entities
 
0.6

 
0.5

 
1.0

 
1.1

Net (income) loss attributable to the noncontrolling interest
 
—

 
—

 
(0.2
)
 
—

Total
 
$
50.9

 
$
(18.4
)
 
$
95.4

 
$
21.6

Income tax expense (benefit)
 
$
18.7

 
$
(8.6
)
 
$
33.6

 
$
5.0

Effective tax rate
 
36.7
%
 
46.8
%
 
35.2
%
 
23.3
%
Schedule of Gross Unrecognized Tax Benefits 
The table below provides information concerning our gross unrecognized tax benefits as of June 30, 2015 and December 31, 2014, as well as the effect these gross unrecognized tax benefits would have on our income tax expense, if they were recognized.
 
 
As of June 30
 
As of December 31
(in millions)
 
2015

 
2014

Gross unrecognized tax benefits
 
$
13.4

 
$
11.9

Gross unrecognized tax benefits that would affect income tax expense
 
$
11.3

 
$
11.9

Decrease in income tax expense upon recognition of gross unrecognized tax benefits
 
$
10.0

 
$
10.6

Schedule of Liabilities for Unrecognized Tax Benefits 
Our Condensed Consolidated Balance Sheets include the following liabilities for unrecognized tax benefits. These amounts include interest and penalties, less any associated tax benefits.

 
 
As of June 30
 
As of December 31
Liabilities for Unrecognized Tax Benefits (in millions)
 
2015

 
2014

Current liability
 
$
5.9

 
$
5.1

Non-current liability
 
5.1

 
6.6

Total liability for unrecognized tax benefits
 
$
11.0

 
$
11.7

Credit Arrangements (Details) (Revolving Credit Facility [Member], USD $)
In Millions, unless otherwise specified
0 Months Ended
Jun. 30, 2015
Jun. 30, 2015
London Interbank Offered Rate (LIBOR) [Member]
Jul. 9, 2015
Subsequent Event [Member]
Line of Credit Facility [Line Items]
 
 
 
Line of credit
 
 
$ 75.0 
Outstanding principal balance
$ 35.0 
 
 
Debt Instrument, Basis Spread on Variable Rate
 
100.00% 
 
Acquisitions, Goodwill and Other Intangible Assets (Schedule of Goodwill) (Details) (USD $)
In Millions, unless otherwise specified
6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Goodwill and Intangible Assets Disclosure [Abstract]
 
 
Goodwill, Impairment Loss
$ 0 
$ 0 
Goodwill [Roll Forward]
 
 
Goodwill, Beginning Balance
370.1 
 
Foreign currency translation
(5.9)
 
Goodwill, Ending Balance
$ 364.2 
 
Acquisitions, Goodwill and Other Intangible Assets (Schedule of Intangible Assets) (Details) (USD $)
In Millions, unless otherwise specified
6 Months Ended 12 Months Ended
Jun. 30, 2015
Dec. 31, 2014
Finite-Lived Intangible Assets [Line Items]
 
 
Gross
$ 261.0 
$ 263.9 
Accumulated Amortization
(177.5)
(168.0)
Intangible assets, Net
83.5 
95.9 
Weighted-Average Useful Life (years)
10 years 
10 years 
Intellectual Property [Member]
 
 
Finite-Lived Intangible Assets [Line Items]
 
 
Gross
28.6 
29.0 
Accumulated Amortization
(25.9)
(25.0)
Intangible assets, Net
2.7 
4.0 
Weighted-Average Useful Life (years)
9 years 
9 years 
Customer Related Assets [Member]
 
 
Finite-Lived Intangible Assets [Line Items]
 
 
Gross
139.4 
141.5 
Accumulated Amortization
(88.2)
(83.6)
Intangible assets, Net
51.2 
57.9 
Weighted-Average Useful Life (years)
12 years 
12 years 
Supplier Relationships [Member]
 
 
Finite-Lived Intangible Assets [Line Items]
 
 
Gross
0.2 
0.2 
Accumulated Amortization
(0.1)
(0.1)
Intangible assets, Net
0.1 
0.1 
Weighted-Average Useful Life (years)
20 years 
20 years 
Technology-Based Assets [Member]
 
 
Finite-Lived Intangible Assets [Line Items]
 
 
Gross
88.5 
88.8 
Accumulated Amortization
(61.2)
(57.4)
Intangible assets, Net
27.3 
31.4 
Weighted-Average Useful Life (years)
8 years 
8 years 
Non-competition Agreement [Member]
 
 
Finite-Lived Intangible Assets [Line Items]
 
 
Gross
4.3 
4.4 
Accumulated Amortization
(2.1)
(1.9)
Intangible assets, Net
$ 2.2 
$ 2.5 
Weighted-Average Useful Life (years)
5 years 
5 years 
Acquisitions, Goodwill and Other Intangible Assets (Amortization Expense) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Jun. 30, 2015
Jun. 30, 2014
Goodwill and Intangible Assets Disclosure [Abstract]
 
 
 
 
Amortization expense
$ 5.4 
$ 5.5 
$ 10.9 
$ 10.6 
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
 
 
 
 
2015
10.8 
 
10.8 
 
2016
17.2 
 
17.2 
 
2017
12.8 
 
12.8 
 
2018
10.6 
 
10.6 
 
2019
7.9 
 
7.9 
 
Thereafter
$ 24.2 
 
$ 24.2 
 
Income Per Share (Details) (USD $)
In Millions, except Share data, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Jun. 30, 2015
Jun. 30, 2014
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
 
 
 
 
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount
58,000 
281,000 
48,000 
24,000 
Earnings Per Share, Basic [Abstract]
 
 
 
 
Net income attributable to Morningstar, Inc.
$ 32.2 
$ (9.8)
$ 61.8 
$ 16.6 
Less: Distributed Earnings Available to Participating Securities
0 
0 
0 
0 
Undistributed Earnings (Loss) Allocated to Participating Securities, Basic
0 
0 
0 
0 
Numerator for basic net income per share - undistributed and distributed earnings available to common shareholders
32.2 
(9.8)
61.8 
16.6 
Weighted average common shares outstanding
44,300,000 
44,800,000 
44,300,000 
44,800,000 
Basic net income per share attributable to Morningstar, Inc.
$ 0.73 
$ (0.22)
$ 1.39 
$ 0.37 
Earnings Per Share, Diluted [Abstract]
 
 
 
 
Numerator for basic net income per share - undistributed and distributed earnings available to common shareholders
32.2 
(9.8)
61.8 
16.6 
Add: Undistributed Earnings Allocated To Participating Securities
0 
0 
0 
0 
Less: Undistributed Earnings Reallocated to Participating Securities
0 
0 
0 
0 
Numerator for diluted net income per share - undistributed and distributed earnings available to common shareholders
$ 32.2 
$ (9.8)
$ 61.8 
$ 16.6 
Weighted average common shares outstanding
44,300,000 
44,800,000 
44,300,000 
44,800,000 
Net effect of dilutive stock options and restricted stock units
100,000 
0 
100,000 
200,000 
Weighted average common shares outstanding for computing diluted income per share
44,400,000 
44,800,000 
44,400,000 
45,000,000 
Diluted net income per share attributable to Morningstar, Inc.
$ 0.72 
$ (0.22)
$ 1.39 
$ 0.37 
Stock Options [Member]
 
 
 
 
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
 
 
 
 
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount
0 
160,000 
0 
0 
Restricted Stock Units (RSUs) [Member]
 
 
 
 
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
 
 
 
 
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount
43,000 
108,000 
42,000 
18,000 
Performance Shares [Member]
 
 
 
 
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
 
 
 
 
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount
15,000 
10,000 
6,000 
0 
Restricted Stock [Member]
 
 
 
 
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
 
 
 
 
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount
0 
3,000 
0 
6,000 
Segment and Geographical Area Information (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Jun. 30, 2015
Jun. 30, 2014
Segment Reporting Information, Operating Income (Loss) [Abstract]
 
 
 
 
External revenue
$ 202.1 
$ 189.4 
$ 391.9 
$ 370.6 
U.S. [Member]
 
 
 
 
Segment Reporting Information, Operating Income (Loss) [Abstract]
 
 
 
 
External revenue
151.2 
136.5 
292.1 
266.4 
Non-U.S. [Member]
 
 
 
 
Segment Reporting Information, Operating Income (Loss) [Abstract]
 
 
 
 
External revenue
$ 50.9 
$ 52.9 
$ 99.8 
$ 104.2 
Segment and Geographical Area Information (External Revenue and Long-Lived Assets) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Jun. 30, 2015
Jun. 30, 2014
Dec. 31, 2014
Revenues from External Customers and Long-Lived Assets [Line Items]
 
 
 
 
 
External revenue
$ 202.1 
$ 189.4 
$ 391.9 
$ 370.6 
 
Long-lived assets
122.6 
 
122.6 
 
117.6 
United States
 
 
 
 
 
Revenues from External Customers and Long-Lived Assets [Line Items]
 
 
 
 
 
External revenue
151.2 
136.5 
292.1 
266.4 
 
Long-lived assets
104.2 
 
104.2 
 
98.1 
Total International
 
 
 
 
 
Revenues from External Customers and Long-Lived Assets [Line Items]
 
 
 
 
 
External revenue
50.9 
52.9 
99.8 
104.2 
 
Long-lived assets
18.4 
 
18.4 
 
19.5 
United Kingdom
 
 
 
 
 
Revenues from External Customers and Long-Lived Assets [Line Items]
 
 
 
 
 
External revenue
16.0 
15.6 
30.8 
31.0 
 
Long-lived assets
8.4 
 
8.4 
 
8.1 
Continental Europe
 
 
 
 
 
Revenues from External Customers and Long-Lived Assets [Line Items]
 
 
 
 
 
External revenue
14.4 
15.9 
28.7 
31.5 
 
Long-lived assets
2.0 
 
2.0 
 
2.1 
Australia
 
 
 
 
 
Revenues from External Customers and Long-Lived Assets [Line Items]
 
 
 
 
 
External revenue
8.0 
9.2 
15.7 
17.4 
 
Long-lived assets
1.0 
 
1.0 
 
0.8 
Canada
 
 
 
 
 
Revenues from External Customers and Long-Lived Assets [Line Items]
 
 
 
 
 
External revenue
7.1 
7.5 
14.0 
15.2 
 
Long-lived assets
0.7 
 
0.7 
 
0.9 
Asia
 
 
 
 
 
Revenues from External Customers and Long-Lived Assets [Line Items]
 
 
 
 
 
External revenue
4.4 
3.9 
8.8 
7.6 
 
Long-lived assets
6.2 
 
6.2 
 
7.5 
Other
 
 
 
 
 
Revenues from External Customers and Long-Lived Assets [Line Items]
 
 
 
 
 
External revenue
1.0 
0.8 
1.8 
1.5 
 
Long-lived assets
$ 0.1 
 
$ 0.1 
 
$ 0.1 
Investments and Fair Value Measurements (Classification of Securities) (Details) (USD $)
In Millions, unless otherwise specified
Jun. 30, 2015
Dec. 31, 2014
Fair Value Disclosures [Abstract]
 
 
Available-for-sale
$ 8.8 
$ 13.2 
Held-to-maturity
15.1 
17.9 
Trading securities
9.1 
8.3 
Total
$ 33.0 
$ 39.4 
Investments and Fair Value Measurements (Gains (Losses) on Investments) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Jun. 30, 2015
Jun. 30, 2014
Dec. 31, 2014
Available-for-sale:
 
 
 
 
 
Available-for-sale securities, Cost
$ 8.6 
 
$ 8.6 
 
$ 12.6 
Available-for-sale Securities, Unrealized Gain
0.5 
 
0.5 
 
1.0 
Available-for-sale Securities, Unrealized Loss
(0.3)
 
(0.3)
 
(0.4)
Available-for-sale securities, Fair Value
8.8 
 
8.8 
 
13.2 
Held-to-maturity:
 
 
 
 
 
Held-to-maturity securities, Cost
15.1 
 
15.1 
 
17.9 
Held-to-maturity Securities, Unrecognized Gain
0 
 
0 
 
0 
Held-to-maturity Securities, Unrecognized Loss
0 
 
0 
 
0 
Held-to-maturity
15.1 
 
15.1 
 
17.9 
Available-for-sale Securities, Gross Realized Gain (Loss) [Abstract]
 
 
 
 
 
Available-for-sale securities, realized gains
0.7 
0.4 
0.9 
0.6 
 
Available-for-sale securities, realized losses
(0.2)
0 
(0.5)
(0.3)
 
Available-for-sale securities, realized gains (losses), net
0.5 
0.4 
0.4 
0.3 
 
Equity Securities and Exchange-traded Funds [Member]
 
 
 
 
 
Available-for-sale:
 
 
 
 
 
Available-for-sale securities, Cost
7.4 
 
7.4 
 
11.4 
Available-for-sale Securities, Unrealized Gain
0.3 
 
0.3 
 
0.8 
Available-for-sale Securities, Unrealized Loss
(0.2)
 
(0.2)
 
(0.3)
Available-for-sale securities, Fair Value
7.5 
 
7.5 
 
11.9 
Mutual Funds [Member]
 
 
 
 
 
Available-for-sale:
 
 
 
 
 
Available-for-sale securities, Cost
1.2 
 
1.2 
 
1.2 
Available-for-sale Securities, Unrealized Gain
0.2 
 
0.2 
 
0.2 
Available-for-sale Securities, Unrealized Loss
(0.1)
 
(0.1)
 
(0.1)
Available-for-sale securities, Fair Value
$ 1.3 
 
$ 1.3 
 
$ 1.3 
Investments and Fair Value Measurements (Cost and Fair Value of Investments Classified by Maturity) (Details) (USD $)
In Millions, unless otherwise specified
Jun. 30, 2015
Dec. 31, 2014
Available-for-sale Securities, Debt Maturities [Abstract]
 
 
Available-for-sale securities, Equity securities, exchange-traded funds, and mutual funds, Cost
$ 8.6 
$ 12.6 
Available-for-sale securities, Equity securities, exchange-traded funds, and mutual funds, Fair Value
8.8 
13.2 
Available-for-sale securities, Cost
8.6 
12.6 
Available-for-sale securities, Fair Value
8.8 
13.2 
Held-to-maturity Securities, Debt Maturities [Abstract]
 
 
Held-to-maturity securities, Due in one year or less, Cost
15.1 
17.9 
Held-to-maturity securities, Due within one year or less, Fair Value
15.1 
17.9 
Held-to-maturity securities, Cost
15.1 
17.9 
Held-to-maturity securities, Fair Value
15.1 
17.9 
Certificate of deposit held as collateral against Australia office lease
$ 1.5 
$ 1.5 
Investments and Fair Value Measurements (Unrealized Gains on Trading Securities) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Jun. 30, 2015
Jun. 30, 2014
Fair Value Disclosures [Abstract]
 
 
 
 
Unrealized gains (losses), net
$ 0.2 
$ (0.2)
$ 0.3 
$ (0.2)
Investments and Fair Value Measurements (Fair Value of Assets) (Details) (USD $)
In Millions, unless otherwise specified
Jun. 30, 2015
Dec. 31, 2014
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Trading securities, fair value
$ 9.1 
$ 8.3 
Fair Value, Measurements, Recurring [Member] |
Estimate of Fair Value Measurement [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Trading securities, fair value
9.1 
8.3 
Cash equivalents, fair value
0.5 
0.5 
Total investments, fair value
18.4 
22.0 
Fair Value, Measurements, Recurring [Member] |
Equity Securities and Exchange-traded Funds [Member] |
Estimate of Fair Value Measurement [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Available-for-sale securities, fair value
7.5 
11.9 
Fair Value, Measurements, Recurring [Member] |
Mutual Funds [Member] |
Estimate of Fair Value Measurement [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Available-for-sale securities, fair value
1.3 
1.3 
Fair Value, Measurements, Recurring [Member] |
Fair Value, Inputs, Level 1 [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Trading securities, fair value
9.1 
8.3 
Cash equivalents, fair value
0.5 
0.5 
Total investments, fair value
18.4 
22.0 
Fair Value, Measurements, Recurring [Member] |
Fair Value, Inputs, Level 1 [Member] |
Equity Securities and Exchange-traded Funds [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Available-for-sale securities, fair value
7.5 
11.9 
Fair Value, Measurements, Recurring [Member] |
Fair Value, Inputs, Level 1 [Member] |
Mutual Funds [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Available-for-sale securities, fair value
1.3 
1.3 
Fair Value, Measurements, Recurring [Member] |
Fair Value, Inputs, Level 2 [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Trading securities, fair value
0 
0 
Cash equivalents, fair value
0 
0 
Total investments, fair value
0 
0 
Fair Value, Measurements, Recurring [Member] |
Fair Value, Inputs, Level 2 [Member] |
Equity Securities and Exchange-traded Funds [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Available-for-sale securities, fair value
0 
0 
Fair Value, Measurements, Recurring [Member] |
Fair Value, Inputs, Level 2 [Member] |
Mutual Funds [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Available-for-sale securities, fair value
0 
0 
Fair Value, Measurements, Recurring [Member] |
Fair Value, Inputs, Level 3 [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Trading securities, fair value
0 
0 
Cash equivalents, fair value
0 
0 
Total investments, fair value
0 
0 
Fair Value, Measurements, Recurring [Member] |
Fair Value, Inputs, Level 3 [Member] |
Equity Securities and Exchange-traded Funds [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Available-for-sale securities, fair value
0 
0 
Fair Value, Measurements, Recurring [Member] |
Fair Value, Inputs, Level 3 [Member] |
Mutual Funds [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Available-for-sale securities, fair value
$ 0 
$ 0 
Investments and Fair Value Measurements - Narrative (Details) (USD $)
In Millions, unless otherwise specified
Jun. 30, 2015
Dec. 31, 2014
Fair Value Disclosures [Abstract]
 
 
Certificate of deposit held as collateral against Australia office lease
$ 1.5 
$ 1.5 
Stock-Based Compensation (Allocation of Stock-Based Compensation Costs by Plan) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Jun. 30, 2015
Jun. 30, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
 
 
Allocated Share-based Compensation Expense
$ 4.6 
$ 4.4 
$ 8.9 
$ 8.3 
Cost of Revenue [Member]
 
 
 
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
 
 
Allocated Share-based Compensation Expense
2.1 
2.0 
4.1 
3.7 
Selling and Marketing Expense [Member]
 
 
 
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
 
 
Allocated Share-based Compensation Expense
0.6 
0.5 
1.1 
1.0 
General and Administrative Expense [Member]
 
 
 
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
 
 
Allocated Share-based Compensation Expense
$ 1.9 
$ 1.9 
$ 3.7 
$ 3.6 
Stock-Based Compensation (Schedule of Unrecognized Stock-based Compensation Expense) (Details) (USD $)
In Millions, unless otherwise specified
6 Months Ended
Jun. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
Unrecognized stock-based compensation expense
$ 43.1 
Expected amortization period (months)
34 years 
Restricted Stock Units (RSUs) [Member]
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
Unrecognized stock-based compensation expense
39.3 
Expected amortization period (months)
35 years 
Performance Shares [Member]
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
Unrecognized stock-based compensation expense
$ 3.8 
Expected amortization period (months)
29 years 
Income Taxes (Income Tax Reconciliation and Unrecognized Tax Benefits) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Jun. 30, 2015
Jun. 30, 2014
Dec. 31, 2014
Effective Income Tax Rate Reconciliation, Amount [Abstract]
 
 
 
 
 
Income before income taxes and equity in net income of unconsolidated entities
$ 50.3 
$ (18.9)
$ 94.6 
$ 20.5 
 
Equity in net income of unconsolidated entities
0.6 
0.5 
1.0 
1.1 
 
Net (income) loss attributable to the noncontrolling interest
0 
0 
(0.2)
0 
 
Total
50.9 
(18.4)
95.4 
21.6 
 
Income tax expense (benefit)
18.7 
(8.6)
33.6 
5.0 
 
Effective income tax rate
0.00% 
46.80% 
0.00% 
0.00% 
 
Effective income tax rate reconciliation, change in percentage points compared with prior year period
(10.1)
 
 
 
 
Litigation settlement expense included in loss before income taxes
 
61.0 
 
 
 
Non-taxable gain realized in connection with the purchase of remaining equity interest
 
5.2 
 
 
 
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued [Abstract]
 
 
 
 
 
Current liabilities
5.9 
 
5.9 
 
5.1 
Non-current liabilities
5.1 
 
5.1 
 
6.6 
Total liability for unrecognized tax benefits
$ 11.0 
 
$ 11.0 
 
$ 11.7 
Geographic Concentration Risk [Member] |
Cash, Cash Equivalents and Investments [Member] |
Non-U.S. [Member]
 
 
 
 
 
Concentration Risk [Line Items]
 
 
 
 
 
Percentage of cash, cash equivalents and investments held by operations outside of US
 
 
63.00% 
 
 
Income Taxes (Income Tax Contingency) (Details) (USD $)
In Millions, unless otherwise specified
Jun. 30, 2015
Dec. 31, 2014
Income Tax Disclosure [Abstract]
 
 
Gross unrecognized tax benefits
$ 13.4 
$ 11.9 
Gross unrecognized tax benefits which would affect income tax expense
11.3 
11.9 
Decrease in income tax expense upon recognition of gross unrecognized tax benefits
$ 10.0 
$ 10.6 
Share Repurchase Program (Details) (USD $)
Jun. 30, 2015
Equity [Abstract]
 
Share repurchase program, authorized amount
$ 700,000,000 
Shares repurchased, program life to date, shares
8,507,780 
Shares repurchased, program life to date, value
554,200,000 
Stock Repurchase Program, Remaining Authorized Repurchase Amount
$ 145,800,000