TREEHOUSE FOODS, INC., 10-Q filed on 5/4/2017
Quarterly Report
v3.7.0.1
Document and Entity Information - shares
 3 Months Ended
Mar. 31, 2017
Apr. 30, 2017
Document Information [Line Items]    
Document Type 10-Q  
Amendment Flag false  
Document Period End Date Mar. 31, 2017  
Document Fiscal Year Focus 2017  
Document Fiscal Period Focus Q1  
Trading Symbol THS  
Entity Registrant Name TREEHOUSE FOODS, INC.  
Entity Central Index Key 0001320695  
Current Fiscal Year End Date --12-31  
Entity Filer Category Large Accelerated Filer  
Entity Common Stock, Shares Outstanding   56,939,508
v3.7.0.1
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Millions
Mar. 31, 2017
Dec. 31, 2016
Current assets:    
Cash and cash equivalents $ 67.2 $ 62.1
Investments 11.3 10.4
Receivables, net 384.3 429.0
Inventories, net 989.5 978.0
Assets held for sale 3.6 3.6
Prepaid expenses and other current assets 68.0 77.6
Total current assets 1,523.9 1,560.7
Property, plant, and equipment, net 1,338.3 1,359.3
Goodwill 2,451.1 2,447.2
Intangible assets, net 1,118.5 1,137.6
Other assets, net 43.2 41.0
Total assets 6,475.0 6,545.8
Current liabilities:    
Accounts payable and accrued expenses 549.2 626.8
Current portion of long-term debt 79.6 66.4
Total current liabilities 628.8 693.2
Long-term debt 2,677.1 2,724.8
Deferred income taxes 403.0 422.2
Other long-term liabilities 217.5 202.3
Total liabilities 3,926.4 4,042.5
Commitments and contingencies (Note 19)
Stockholders' equity:    
Preferred stock, par value $0.01 per share, 10.0 shares authorized, none issued 0.0 0.0
Common stock, par value $0.01 per share, 90.0 shares authorized, 56.9 and 56.8 shares issued and outstanding, respectively 0.6 0.6
Additional paid-in capital 2,085.1 2,071.9
Retained earnings 560.3 532.1
Accumulated other comprehensive loss (97.4) (101.3)
Total stockholders' equity 2,548.6 2,503.3
Total liabilities and stockholders' equity $ 6,475.0 $ 6,545.8
v3.7.0.1
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares
Mar. 31, 2017
Dec. 31, 2016
Preferred stock, par value $ 0.01 $ 0.01
Preferred stock, shares authorized 10,000,000 10,000,000
Preferred stock, shares issued 0 0
Common stock, par value $ 0.01 $ 0.01
Common stock, shares authorized 90,000,000 90,000,000
Common stock, shares issued 56,900,000 56,800,000
Common stock, shares outstanding 56,900,000 56,800,000
v3.7.0.1
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)
shares in Millions, $ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Net sales $ 1,536.2 $ 1,270.2
Cost of sales 1,249.8 1,045.6
Gross profit 286.4 224.6
Operating expenses:    
Selling and distribution 104.6 85.5
General and administrative 79.1 94.6
Amortization expense 28.6 23.8
Other operating expense, net 6.8 1.7
Total operating expenses 219.1 205.6
Operating (loss) income 67.3 19.0
Other expense (income):    
Interest expense 29.7 25.7
Interest income (2.8) (2.8)
Loss (gain) on foreign currency exchange 0.1 (4.1)
Other expense, net 0.6 5.0
Total other expense 27.6 23.8
Income (loss) before income taxes 39.7 (4.8)
Income taxes 11.5 (1.6)
Net income (loss) $ 28.2 $ (3.2)
Net earnings (loss) per common share:    
Basic $ 0.50 $ (0.06)
Diluted $ 0.49 $ (0.06)
Weighted average common shares:    
Basic 56.9 52.7
Diluted 57.6 52.7
v3.7.0.1
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Net income (loss) $ 28.2 $ (3.2)
Other comprehensive income:    
Foreign currency translation adjustments 3.6 24.3
Pension and postretirement reclassification adjustment [1] 0.3 0.3
Other comprehensive income 3.9 24.6
Comprehensive income $ 32.1 $ 21.4
[1] Net of tax of $0.2 and $0.1 for the three months ended March 31, 2017 and 2016, respectively.
v3.7.0.1
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Parenthetical) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Pension and postretirement reclassification adjustment, tax $ 0.2 $ 0.1
v3.7.0.1
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Cash flows from operating activities:    
Net income (loss) $ 28.2 $ (3.2)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:    
Depreciation 43.8 35.6
Amortization 28.6 23.8
Stock-based compensation 7.5 6.2
Amortization of deferred financing costs 2.0 1.6
Mark-to-market loss on derivative contracts 0.2 4.7
Loss on disposition of assets 1.7 0.7
Deferred income taxes (20.3) (0.9)
Loss (gain) on foreign currency exchange 0.1 (4.1)
Write-down of tangible assets 1.5  
Other (0.2) (0.3)
Changes in operating assets and liabilities, net of effect of acquisitions:    
Receivables 45.0 15.5
Inventories (10.6) 46.8
Prepaid expenses and other assets 3.3 (16.8)
Accounts payable, accrued expenses, and other liabilities (52.3) 1.3
Net cash provided by operating activities 78.5 110.9
Cash flows from investing activities:    
Additions to property, plant, and equipment (34.7) (24.9)
Additions to intangible assets (8.7) (2.0)
Acquisitions, less cash acquired   (2,640.2)
Proceeds from sale of fixed assets 0.2 0.1
Other (0.3) (0.3)
Net cash (used in) provided by investing activities (43.5) (2,667.3)
Cash flows from financing activities:    
Borrowings under Revolving Credit Facility 115.0 106.0
Payments under Revolving Credit Facility (137.0) (124.0)
Proceeds from issuance of Term Loan A-2   1,025.0
Proceeds from issuance of 2024 Notes   775.0
Payments on capitalized lease obligations and other debt (1.4) (0.8)
Payment of deferred financing costs   (34.3)
Payments on Term Loans (12.7) (4.4)
Net proceeds from issuance of common stock   835.1
Receipts related to stock-based award activities 6.7 1.9
Payments related to stock-based award activities (0.9) (0.1)
Net cash (used in) provided by financing activities (30.3) 2,579.4
Effect of exchange rate changes on cash and cash equivalents 0.4 3.2
Net increase in cash and cash equivalents 5.1 26.2
Cash and cash equivalents, beginning of period 62.1 34.9
Cash and cash equivalents, end of period $ 67.2 $ 61.1
v3.7.0.1
Basis of Presentation
 3 Months Ended
Mar. 31, 2017
Basis of Presentation

1. BASIS OF PRESENTATION

The unaudited Condensed Consolidated Financial Statements included herein have been prepared by TreeHouse Foods, Inc. and its consolidated subsidiaries (the “Company,” “TreeHouse,” “we,” “us,” or “our”), pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) applicable to quarterly reporting on Form 10-Q. In our opinion, these statements include all adjustments necessary for a fair presentation of the results of all interim periods reported herein. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted as permitted by such rules and regulations. Certain prior year amounts in the Condensed Consolidated Statements of Cash Flows have been reclassified to conform to the current period presentation. The Condensed Consolidated Financial Statements and related notes should be read in conjunction with the Consolidated Financial Statements and related notes included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2016. Results of operations for interim periods are not necessarily indicative of annual results.

In the first quarter of 2017, the Company completed changes in its organizational structure that resulted in a change in how the Company manages its business and allocates resources. As a result, the Company has revised its reportable segments to reflect how management currently reviews financial information and makes operating decisions. See Note 22 for additional details. All prior period amounts have been recast to reflect the change in reportable segments.

In the fourth quarter of 2016, the Company adopted Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) No 2016-09, Improvements to Employee Share-Based Payment Accounting. Under this ASU, excess tax benefits and deficiencies are no longer recognized as additional paid-in capital in the Condensed Consolidated Balance Sheets. The ASU requires recognition of excess tax benefits and deficiencies in the Condensed Consolidated Statements of Operations. As the Company adopted the ASU in the fourth quarter, any related adjustments were required to be reflected as of the beginning of the fiscal year of adoption. The results for the first quarter of 2016 have been recast to reflect the adoption of the ASU as of January 1, 2016, resulting in an income tax benefit of $0.2 million related to the recognition of excess tax benefits and deficiencies, which is included in the Income taxes line of the Condensed Consolidated Statements of Operations. The adoption had no impact on basic or diluted net earnings (loss) per common share in the first quarter of 2016. Additionally, the ASU requires excess tax benefits to be reported as a component of operating activities in the Condensed Consolidated Statements of Cash Flows. Excess tax benefits of $0.2 million were retrospectively reclassified from financing to operating activities in the Condensed Consolidated Statements of Cash Flows for the three months ended March 31, 2016. The effects of the adoption of the other provisions of this ASU were immaterial.

On February 1, 2016, the Company acquired all of the outstanding common stock of Ralcorp Holdings, Inc., the Missouri corporation through which the private brands business (“Private Brands Business”) of ConAgra Foods, Inc. was operated. Ralcorp Holdings, Inc. was renamed TreeHouse Private Brands, Inc. during the first quarter of 2016. The results of operations of the Private Brands Business are included in our financial statements from the date of acquisition and are included in the Baked Goods, Condiments, Meals, and Snacks segments, as applicable.

The Private Brands Business was on a 4-4-5 fiscal calendar during the first quarter of 2016, and March 27, 2016 was the fiscal period end closest to the Company’s fiscal quarter end. This difference did not have a significant impact on the results of operations of the Private Brands Business. In the fourth quarter of 2016, the Company changed the fiscal year end of the Private Brands Business to December 31. The Company did not retrospectively apply the effects of this change to the first quarter of 2016 due to impracticability, and believes the effects would be immaterial.

The preparation of our Condensed Consolidated Financial Statements in conformity with GAAP requires us to use our judgment to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosures of contingent assets and liabilities at the date of the Condensed Consolidated Financial Statements, and the reported amounts of net sales and expenses during the reporting period. Actual results could differ from these estimates.

A detailed description of the Company’s significant accounting policies can be found in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2016.
v3.7.0.1
Recent Accounting Pronouncements
 3 Months Ended
Mar. 31, 2017
Recent Accounting Pronouncements

2. RECENT ACCOUNTING PRONOUNCEMENTS

In March 2017, the FASB issued ASU No. 2017-07, Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost, which revises how employers that sponsor defined benefit pension and other postretirement plans present net periodic benefit cost. The ASU requires an employer to present the service cost component in the same income statement line item or items as other compensation costs arising from services rendered by the pertinent employees during the period. The other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside of any subtotal of operating income. The ASU is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017. The standard requires adoption on a retrospective basis for the presentation of net benefit cost components. The Company is currently assessing the impact that this standard will have upon adoption.

In January 2017, the FASB issued ASU No. 2017-04, Simplifying the Test for Goodwill Impairment, to eliminate the second step of the goodwill impairment test. This ASU requires an entity to measure a goodwill impairment loss as the amount by which the carrying value of a reporting unit exceeds its fair value. Additionally, an entity should include the income tax effects from any tax deductible goodwill on the carrying value of the reporting unit when measuring a goodwill impairment loss, if applicable. The ASU is effective for fiscal years, and interim periods within those years, beginning after December 15, 2019. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The standard requires adoption on a prospective basis. The Company is currently assessing the impact that this standard will have upon adoption.

In November 2016, the FASB issued ASU No. 2016-18, Restricted Cash, to require that restricted cash and restricted cash equivalents be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period amounts on the statement of cash flows. The Company currently classifies changes in restricted cash as an investing activity in the Consolidated Statements of Cash Flows. The ASU is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017. The standard requires adoption on a retrospective basis. The Company is currently assessing the impact that this standard will have upon adoption, which is not expected to be significant.

In February 2016, the FASB issued ASU No. 2016-02, Leases, to increase transparency and comparability by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. The main difference between existing GAAP and this ASU is the recognition of lease assets and lease liabilities by lessees for those leases classified as operating leases under existing GAAP. The ASU is effective for fiscal years, and interim periods within those years, beginning after December 15, 2018. The standard requires that entities apply the effects of these changes using a modified retrospective approach, which includes a number of optional practical expedients. The Company is beginning to assess the impact that this standard will have upon adoption.

In July 2015, the FASB issued ASU No. 2015-11, Simplifying the Measurement of Inventory, which requires entities to measure inventory at the lower of cost and net realizable value (“NRV”). This ASU will not apply to inventory valued under the last-in-first-out method. Under current guidance, an entity is required to measure inventory at the lower of cost or market, with market defined as replacement cost, NRV, or NRV less a normal profit margin. The three market measurements added complexity and reduced comparability in the valuation of inventory. FASB issued this ASU as part of its simplification initiative to address these issues. The ASU is effective on a prospective basis for fiscal years, and interim periods within those years, beginning after December 15, 2016. The Company prospectively adopted the ASU during the first quarter of 2017, the impact of which was not significant.

In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers, which introduced a new framework to be used when recognizing revenue in an attempt to reduce complexity and increase comparability of revenue recognition practices across entities, industries, jurisdictions, and capital markets. The ASU is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017. The standard requires that entities apply the effects of these changes to all prior years presented, upon adoption, using either the full retrospective method, which presents the impact of the change separately in each prior year presented, or the modified retrospective method, which includes the cumulative changes to all prior years presented in beginning retained earnings in the year of initial adoption. The Company expects to use the modified retrospective method. The FASB also issued ASU No. 2016-10, Identifying Performance Obligations and Licensing, and ASU No. 2016-12, Narrow-Scope Improvements and Practical Expedients, in April 2016 and May 2016, respectively, which amend the guidance in ASU 2014-09 and have the same effective date as the original standard. The Company is in the initial stages of assessing the impact that these standards will have on its accounting policies, processes, system requirements, internal controls, and disclosures. Internal resources have been assigned to this assessment, and the Company has engaged a third-party to assist in the assessment and implementation. The Company has begun to assess the impact that these standards will have on our financial position and results of operations.
v3.7.0.1
Restructuring
 3 Months Ended
Mar. 31, 2017
Restructuring

3. RESTRUCTURING

Plant Closing Costs — The Company continually analyzes its plant network to align operations with the current and future needs of its customers. Facility closure decisions are made when the Company identifies opportunities to lower production costs or eliminate excess manufacturing capacity while maintaining a competitive cost structure, service levels, and product quality. Expenses associated with facility closures are primarily aggregated in the Other operating expense, net line of the Condensed Consolidated Statements of Operations, with the exception of asset-related costs, which are recorded in Cost of sales. The key information regarding the Company’s announced facility closures is outlined in the table below.

 

Facility Location

  

Date of Closure
Announcement

  

End of

Production

  

Full Facility

Closure

  

Primary Products

Produced

  

Primary Segment(s)

Affected

   Total
Costs to
Close		     Total
Cash
Costs to
Close		  
                        (In millions)  
City of Industry, California  

November 18,

2015

  

First quarter

of 2016

  

Third quarter

of 2016

   Liquid non-dairy creamer and refrigerated salad dressings  

Beverages,

Condiments

   $ 6.9     $ 3.8  

Ayer,

Massachusetts

   April 5, 2016  

First quarter

of 2017

  

Third quarter

of 2017

   Spoonable dressings   Condiments   $ 8.2     $ 5.5  
Azusa, California   May 24, 2016  

First quarter

of 2017

  

Third quarter

of 2017

   Bars and snack products   Snacks   $ 15.5     $ 12.2  
Ripon, Wisconsin   May 24, 2016  

Fourth quarter

of 2016

  

Fourth quarter

of 2016

   Sugar wafer cookies   Baked Goods   $ 2.5     $ 1.4  

Delta, British

Columbia

  

November 3,

2016

  

Fourth quarter

of 2017

  

First quarter

of 2018

   Frozen griddle products   Baked Goods   $ 5.2     $ 3.7  

Battle Creek,

Michigan

  

November 3,

2016

   (1)   (1)   Ready-to-eat cereal   Meals   $  10.4     $  2.8  

 

  (1) The downsizing of this facility began in January 2017 and is expected to last approximately 15 months.

Total expected costs to close the City of Industry, California facility have been reduced by approximately $4.9 million since the initial announcement while total expected costs to close the Ayer, Massachusetts, Azusa, California, and Ripon, Wisconsin facilities have been increased by approximately $1.7 million, $0.6 million, and $0.4 million, respectively. Total costs to downsize the Battle Creek, Michigan facility have increased by approximately $0.9 million since the initial announcement.

Below is a summary of the plant closing costs:

 

                                                                                                                               
     Three Months Ended        Three Months Ended        Cumulative Costs        Total Expected  
     March 31, 2017        March 31, 2016        To Date        Costs  
  

 

 

  
     (In millions)  

Asset-related

    $ 4.4        $ 0.8        $ 14.6        $ 19.3  

Employee-related

      2.5          0.6          9.8          13.6  

Other closure costs

      2.5          0.1          7.0          15.8  
  

 

 

       

 

 

       

 

 

       

 

 

  

Total

    $ 9.4        $ 1.5        $ 31.4        $ 48.7  
  

 

 

       

 

 

       

 

 

       

 

 

  

 

Liabilities recorded as of March 31, 2017 associated with these plant closings relate to severance and the partial withdrawal from a multiemployer pension plan. The severance liability is included in the Accounts payable and accrued expenses line of the Condensed Consolidated Balance Sheets while the multiemployer pension plan withdrawal liability is included in the Other long-term liabilities line of the Condensed Consolidated Balance Sheets. The table below presents a reconciliation of the liabilities as of March 31, 2017:

 

                                                                                                                    
     Severance        Multiemployer Pension
Plan Withdrawal		        Total Liabilities  
     (In millions)  

Balance as of December 31, 2016

    $ 3.5        $ 0.8        $ 4.3  

Expense

      2.3          —          2.3  

Payments

      (1.3 )         —          (1.3 ) 
  

 

 

       

 

 

       

 

 

  

Balance as of March 31, 2017

    $ 4.5        $ 0.8        $ 5.3  
  

 

 

       

 

 

       

 

 

  

 

 
v3.7.0.1
Acquisitions
 3 Months Ended
Mar. 31, 2017
Acquisitions

4. ACQUISITIONS

Private Brands Business

On February 1, 2016, the Company acquired the Private Brands Business, which is primarily engaged in manufacturing, distributing, and marketing private label products to retail grocery, food away from home, and industrial and export customers. The business’s primary product categories include snacks, retail bakery, pasta, cereal, bars, and condiments. The purchase price, after considering working capital adjustments, was approximately $2,644.4 million, net of acquired cash. The acquisition was funded by $835.1 million in net proceeds from a public sale of the Company’s common stock, $760.7 million in net proceeds from a private issuance of senior unsecured notes (“2024 Notes”), and a new $1,025.0 million term loan (“Term Loan A-2”), with the remaining balance funded by borrowings from the Company’s $900 million revolving credit facility (“Revolving Credit Facility”). The acquisition resulted in a broader portfolio of products and further diversified the Company’s product categories.

The Private Brands Business acquisition is accounted for under the acquisition method of accounting and the results of operations are included in our Condensed Consolidated Financial Statements from the date of acquisition in the Baked Goods, Condiments, Meals, and Snacks segments. Included in the Company’s Condensed Consolidated Statements of Operations are the Private Brands Business’s net sales of approximately $506.4 million and income before income taxes of $12.2 million from the date of acquisition through March 31, 2016. Integration costs of $5.8 million, which are included in the Cost of sales and General and administrative expense lines of the Condensed Consolidated Statements of Operations, were included in determining income before income taxes.

We have completed the purchase price allocation to net tangible and intangible assets acquired and liabilities assumed as follows:

 

                               
     (In millions)  

Cash

      $ 43.3  

Receivables

      162.7  

Inventory

      443.7  

Property, plant, and equipment

      809.6  

Customer relationships

      510.9  

Trade names

      33.0  

Software

      19.6  

Formulas

      23.2  

Other assets

      50.2  

Goodwill

      1,141.2  
  

 

 

  

Assets acquired

      3,237.4  

Deferred taxes

      (152.8 ) 

Assumed current liabilities

      (246.6 ) 

Assumed long-term liabilities

      (150.3 ) 
  

 

 

  

Total purchase price

      $ 2,687.7  
  

 

 

  

The Company allocated $496.1 million to customer relationships with retail grocery customers, which have an estimated life of 13 years, and $14.8 million to customer relationships with food away from home customers, which have an estimated life of 10 years. The Company allocated $33.0 million to trade names, which have an estimated life of 10 years. The Company allocated $23.2 million to formulas, which have an estimated life of 5 years. The Company allocated $19.6 million to capitalized software with estimated lives of 1 to 5 years, depending on expected use. The aforementioned intangibles will be amortized on a straight line basis. Indemnification assets related to taxes of approximately $13.8 million were also recorded. The Company increased the cost of acquired inventories by approximately $8.4 million, and expensed $8.2 million of this amount as a component of cost of sales in the first quarter of 2016. The Company has allocated $555.0 million, $73.3 million, $413.8 million, and $97.9 million of goodwill to the Baked Goods, Condiments, Meals, and Snacks segments, respectively. Goodwill arises principally as a result of expansion opportunities and synergies across both new and legacy product categories. None of the goodwill resulting from this acquisition is tax deductible. The Company incurred approximately $35.2 million in acquisition costs during the three months ended March 31, 2016 and none in 2017. These costs are included in the General and administrative expense line of the Condensed Consolidated Statements of Operations.

 

The fair values for customer relationships at the acquisition date were determined using the excess earnings method under the income approach. Trade name fair values were determined using the relief from royalty method, while the fair value of formulas was determined using the cost approach. Real property fair values were determined using the cost and market approaches, while the fair value of personal property was determined using the indirect cost approach. The fair value measurements of intangible assets are based on significant unobservable inputs, and thus represent Level 3 inputs. Significant assumptions used in assessing the fair values of intangible assets include discounted future cash flows, customer attrition rates, and royalty rates.

Since the preliminary purchase price allocation included in the Company’s Annual Report for the fiscal year ended December 31, 2016, the Company recorded purchase price adjustments related to taxes, resulting in an increase to goodwill of approximately $3.0 million. These adjustments did not impact the Condensed Consolidated Statements of Operations.

The following unaudited pro forma information shows the results of operations for the Company as if its acquisition of the Private Brands Business had been completed as of January 1, 2016. Adjustments have been made for the pro forma effects of depreciation and amortization of tangible and intangible assets recognized as part of the business combination, the issuance of common stock, interest expense related to the financing of the business combination, and related income taxes. Excluded from the 2016 pro forma results are $35.2 million of costs incurred by the Company in connection with the acquisition. The pro forma results may not necessarily reflect actual results of operations that would have been achieved, nor are they necessarily indicative of future results of operations.

 

     Three Months Ended
March 31, 2016		  
     (In millions, except
per share data)		  

Pro forma net sales

    $ 1,594.1  
  

 

 

  

Pro forma net income

    $ 18.6  
  

 

 

  

Pro forma basic earnings per common share

    $ 0.33  
  

 

 

  

Pro forma diluted earnings per common share

    $ 0.32  
  

 

 

  

 
v3.7.0.1
Investments
 3 Months Ended
Mar. 31, 2017
Investments

5. INVESTMENTS

 

     March 31,      December 31,  
     2017      2016  
     (In millions)  

U.S. equity

    $ 8.3      $ 7.6  

Non-U.S. equity

      1.9        1.8  

Fixed income

      1.1        1.0  
  

 

 

     

 

 

  

Total investments

    $ 11.3      $ 10.4  
  

 

 

     

 

 

  

We determine the appropriate classification of our investments at the time of purchase and reevaluate such designation as of each balance sheet date. The Company accounts for investments in debt and marketable equity securities as held-to-maturity, available-for-sale, or trading, depending on their classification. The investments held by the Company are classified as trading securities and are stated at fair value, with changes in fair value recorded as a component of the Interest income or Interest expense line on the Condensed Consolidated Statements of Operations. Cash flows from purchases, sales, and maturities of trading securities are included in cash flows from investing activities in the Condensed Consolidated Statements of Cash Flows based on the nature and purpose for which the securities were acquired.

Our investments include U.S. equity, non-U.S. equity, and fixed income securities that are classified as short-term investments on the Condensed Consolidated Balance Sheets. The U.S. equity, non-U.S. equity, and fixed income securities are classified as short-term investments as they have characteristics of other current assets and are actively managed.

 
v3.7.0.1
Inventories
 3 Months Ended
Mar. 31, 2017
Inventories

6. INVENTORIES

 

     March 31,     December 31,  
     2017     2016  
     (In millions)  

Raw materials and supplies

    $ 427.9     $ 429.4  

Finished goods

      585.6       571.9  

LIFO reserve

      (24.0 )      (23.3 ) 
  

 

 

    

 

 

  

Total inventories

    $ 989.5     $ 978.0  
  

 

 

    

 

 

  

Inventory is generally accounted for under the first-in, first-out (“FIFO”) method, and a portion is accounted for under the last-in, first-out (“LIFO”) method and the weighted average costing approach. Approximately $81.5 million and $105.9 million of our inventory was accounted for under the LIFO method of accounting at March 31, 2017 and December 31, 2016, respectively. Approximately $120.4 million and $116.2 million of our inventory was accounted for using the weighted average costing approach at March 31, 2017 and December 31, 2016, respectively.
v3.7.0.1
Property, Plant, and Equipment
 3 Months Ended
Mar. 31, 2017
Property, Plant, and Equipment

7. PROPERTY, PLANT, AND EQUIPMENT

 

     March 31,     December 31,  
     2017     2016  
     (In millions)  

Land

    $ 71.5     $ 71.2  

Buildings and improvements

      473.7       465.3  

Machinery and equipment

      1,357.0       1,324.5  

Construction in progress

      57.0       85.0  
  

 

 

    

 

 

  

Total

      1,959.2       1,946.0  

Less accumulated depreciation

      (620.9 )      (586.7 ) 
  

 

 

    

 

 

  

Property, plant, and equipment, net

    $ 1,338.3     $ 1,359.3  
  

 

 

    

 

 

  

Depreciation expense was $43.8 million and $35.6 million for the three months ended March 31, 2017 and 2016, respectively.
v3.7.0.1
Goodwill and Intangible Assets
 3 Months Ended
Mar. 31, 2017
Goodwill and Intangible Assets

8. GOODWILL AND INTANGIBLE ASSETS

As a result of the changes in organizational structure completed in the first quarter of 2017, the Company now has the following five operating segments, which are also its reporting units: Baked Goods, Beverages, Condiments, Meals, and Snacks. See Note 22 for more information.

The Company allocated the goodwill balance as of January 1, 2017 between the new reporting units using a relative fair value allocation approach. The change was considered a triggering event indicating a test for goodwill impairment was required as of January 1, 2017. The Company performed the first step of the impairment test, which did not result in the identification of any impairment losses. Changes in the carrying amount of goodwill for the three months ended March 31, 2017 are as follows:

 

     Baked                                     
     Goods      Beverages      Condiments      Meals      Snacks      Total  
     (In millions)  

Balance at January 1, 2017

    $ 554.2      $ 713.2      $ 433.1      $ 470.6      $ 276.1      $ 2,447.2  

Purchase price adjustments

      1.4        —        0.2        1.1        0.3        3.0  

Foreign currency exchange adjustments

      —        0.4        0.5        —        —        0.9  
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Balance at March 31, 2017

    $ 555.6      $ 713.6      $ 433.8      $ 471.7      $ 276.4      $ 2,451.1  
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

The carrying amounts of our intangible assets with indefinite lives, other than goodwill, as of March 31, 2017 and December 31, 2016 are as follows:

 

     March 31,
2017		      December 31,
2016		  
     (In millions)  

Trademarks

    $ 21.7      $ 21.6  
  

 

 

     

 

 

  

Total indefinite lived intangibles

    $ 21.7      $ 21.6  
  

 

 

     

 

 

  

The increase in the indefinite lived intangibles balance is due to foreign currency translation.

The gross carrying amounts and accumulated amortization of intangible assets, with finite lives, as of March 31, 2017 and December 31, 2016 are as follows:

 

     March 31, 2017      December 31, 2016  
     Gross            Net      Gross            Net  
     Carrying      Accumulated     Carrying      Carrying      Accumulated     Carrying  
     Amount      Amortization     Amount      Amount      Amortization     Amount  
     (In millions)             (In millions)        

Intangible assets with finite lives:

                

Customer-related

    $ 1,285.4      $ (315.3 )    $ 970.1      $ 1,284.3      $ (293.3 )    $ 991.0  

Contractual agreements

      3.0        (2.9 )      0.1        3.0        (2.9 )      0.1  

Trademarks

      65.8        (21.1 )      44.7        69.6        (23.6 )      46.0  

Formulas/recipes

      33.7        (14.2 )      19.5        33.7        (12.8 )      20.9  

Computer software

      124.3        (61.9 )      62.4        115.7        (57.7 )      58.0  
  

 

 

     

 

 

    

 

 

     

 

 

     

 

 

    

 

 

  

Total finite lived intangibles

    $ 1,512.2      $ (415.4 )    $ 1,096.8      $ 1,506.3      $ (390.3 )    $ 1,116.0  
  

 

 

     

 

 

    

 

 

     

 

 

     

 

 

    

 

 

  

Total intangible assets, excluding goodwill, as of March 31, 2017 and December 31, 2016 were $1,118.5 million and $1,137.6 million, respectively. Amortization expense on intangible assets for the three months ended March 31, 2017 and 2016 was $28.6 million and $23.8 million, respectively. Estimated amortization expense on intangible assets for 2017 and the next four years is as follows:

 

     (In millions)  

2017

    $ 111.5  

2018

    $ 105.1  

2019

    $ 103.1  

2020

    $ 100.3  

2021

    $ 90.4  

v3.7.0.1
Accounts Payable and Accrued Expenses
 3 Months Ended
Mar. 31, 2017
Accounts Payable and Accrued Expenses

9. ACCOUNTS PAYABLE AND ACCRUED EXPENSES

 

     March 31,      December 31,  
     2017      2016  
     (In millions)  

Accounts payable

    $ 416.8      $ 458.1  

Payroll and benefits

      65.7        78.5  

Interest

      7.4        24.1  

Taxes

      16.2        31.0  

Health insurance, workers’ compensation, and other insurance costs

      26.3        17.2  

Marketing expenses

      11.8        12.4  

Other accrued liabilities

      5.0        5.5  
  

 

 

     

 

 

  

Total

    $ 549.2      $ 626.8  
  

 

 

     

 

 

  

v3.7.0.1
Income Taxes
 3 Months Ended
Mar. 31, 2017
Income Taxes

10. INCOME TAXES

Income taxes were recorded at an effective rate of 29.0% and 33.3% for the three months ended March 31, 2017 and 2016, respectively. Our effective tax rate may change from period to period based on recurring and non-recurring factors including the jurisdictional mix of earnings, enacted tax legislation, state income taxes, settlement of tax audits, and the expiration of the statute of limitations in relation to unrecognized tax benefits.

The Company’s effective tax rate differs from the U.S. federal statutory tax rate primarily due to state tax expense, the benefits associated with the federal domestic production activities deduction, and an intercompany financing structure entered into in conjunction with the E.D. Smith Foods, Ltd. (“E.D. Smith”) acquisition in 2007. In addition, the Company’s effective tax rate reflects a discrete benefit of approximately 2.1% attributable to the vesting and exercise of share-based awards.

During the first quarter of 2017, the Internal Revenue Service (“IRS”) initiated an examination of TreeHouse Foods, Inc. & Subsidiaries’ 2015 tax year. The Canadian Revenue Agency (“CRA”) is currently examining the 2008 through 2013 tax years of E.D. Smith. The CRA examination is expected to be completed in 2017 or 2018. The Italian Agency of Revenue (“IAR”) is currently examining the 2007 through 2009 and 2013 tax years of Pasta Lensi S.r.l. The IAR examinations are not expected to be completed prior to 2020 due to a backlog of appeals before the agency. The Company has examinations in process with various state taxing authorities, which are expected to be completed in 2017 and 2018.

Management estimates that it is reasonably possible that the total amount of unrecognized tax benefits could decrease by as much as $5.8 million within the next 12 months, primarily as a result of the resolution of audits currently in progress and the lapsing of statutes of limitations. Approximately $3.3 million of the $5.8 million would affect net income when settled.
v3.7.0.1
Long-Term Debt
 3 Months Ended
Mar. 31, 2017
Long-Term Debt

11. LONG-TERM DEBT

 

     March 31,     December 31,  
     2017     2016  
     (In millions)  

Revolving Credit Facility

    $ 148.0     $ 170.0  

Term Loan A

      284.2       288.0  

Term Loan A-1

      177.5       180.0  

Term Loan A-2

      999.4       1,005.8  

2022 Notes

      400.0       400.0  

2024 Notes

      775.0       775.0  

Tax increment financing and other debt

      4.3       5.7  
  

 

 

    

 

 

  

Total outstanding debt

      2,788.4       2,824.5  

Deferred financing costs

      (31.7 )      (33.3 ) 

Less current portion

      (79.6 )      (66.4 ) 
  

 

 

    

 

 

  

Total long-term debt

    $ 2,677.1     $ 2,724.8  
  

 

 

    

 

 

  

On February 1, 2016, coincident with the closing of the acquisition of the Private Brands Business, the Company entered into the Amended and Restated Credit Agreement. The Amended and Restated Credit Agreement amended the Company’s prior credit agreement, dated as of May 6, 2014 (as amended from time to time prior to February 1, 2016, the “Prior Credit Agreement”).

The Amended and Restated Credit Agreement (1) amended the maturity dates of the Revolving Credit Facility, Term Loan A, and Term Loan A-1 so that they are conterminous and mature on February 1, 2021, (2) provided for the issuance of Term Loan A-2, (3) is

now a secured facility until, among other conditions, the Company reaches a leverage ratio of 3.5 and has no other pari-passu secured debt outstanding, and (4) increased credit spreads. The proceeds from Term Loan A-2 were used to fund a portion of the purchase price of the Private Brands Business. The Amended and Restated Credit Agreement contains substantially the same covenants as the Prior Credit Agreement with adjustments to reflect the incurrence of Term Loan A-2.

In connection with the Amended and Restated Credit Agreement, $20.3 million in fees will be amortized ratably through February 1, 2021. Fees associated with Term Loan A, Term Loan A-1, and Term Loan A-2 (the “Term Loans”) are presented as a direct deduction from outstanding debt, while fees associated with the Revolving Credit Facility are presented as an asset. Beginning February 1, 2016, unamortized fees associated with the Prior Credit Agreement will be amortized ratably through February 1, 2021.

The Revolving Credit Facility and the Term Loans are known collectively as the “Amended and Restated Credit Agreement.” The Company’s average interest rate on debt outstanding under its Amended and Restated Credit Agreement for the three months ended March 31, 2017 was 2.79%. Including the interest rate swap agreements described below with a weighted average fixed interest rate base of approximately 0.86% on $500 million, the average rate increases to 2.80%.

Revolving Credit Facility — As of March 31, 2017, $702.7 million of the aggregate commitment of $900 million of the Revolving Credit Facility was available. Under the Amended and Restated Credit Agreement, the Revolving Credit Facility matures on February 1, 2021, as compared to a maturity date of May 6, 2019 under the Prior Credit Agreement. In addition, as of March 31, 2017, there were $49.3 million in letters of credit under the Revolving Credit Facility that were issued but undrawn, which have been included as a reduction to the calculation of available credit.

Interest is payable quarterly or at the end of the applicable interest period in arrears on any outstanding borrowings. The interest rates under the Amended and Restated Credit Agreement are based on the Company’s consolidated leverage ratio, and are determined by either (i) LIBOR, plus a margin ranging from 1.25% to 3.00% (inclusive of the facility fee), based on the Company’s consolidated leverage ratio, or (ii) a Base Rate (as defined in the Amended and Restated Credit Agreement), plus a margin ranging from 0.25% to 2.00% (inclusive of the facility fee), based on the Company’s consolidated leverage ratio.

The Amended and Restated Credit Agreement is fully and unconditionally, as well as jointly and severally, guaranteed by our 100% owned direct and indirect subsidiaries: Bay Valley Foods, LLC; Sturm Foods, Inc.; S.T. Specialty Foods, Inc.; Associated Brands, Inc.; Cains Foods, Inc.; Cains Foods L.P.; Cains GP, LLC; Flagstone Foods, Inc.; Protenergy Holdings, Inc.; Protenergy Natural Foods, Inc.; TreeHouse Private Brands, Inc.; American Italian Pasta Co.; Nutcracker Brands, Inc.; Linette Quality Chocolates, Inc.; Ralcorp Frozen Bakery Products, Inc.; Cottage Bakery, Inc.; The Carriage House Companies, Inc., and certain other subsidiaries that may become guarantors in the future are collectively known as the “Guarantor Subsidiaries.”

 

The Amended and Restated Credit Agreement contains various financial and restrictive covenants and requires that the Company maintain certain financial ratios, including a leverage and interest coverage ratio. The Amended and Restated Credit Agreement also contains cross-default provisions which could result in the acceleration of payments in the event TreeHouse or the Guarantor Subsidiaries (i) fails to make a payment when due in respect of any indebtedness or guarantee having an aggregate principal amount greater than $75 million or (ii) fails to observe or perform any other agreement or condition related to such indebtedness or guarantee as a result of which the holder(s) of such debt are permitted to accelerate the payment of such debt. The Amended and Restated Credit Agreement is secured by substantially all personal property of TreeHouse and its Guarantor Subsidiaries.

Term Loan A — On May 6, 2014, the Company entered into a $300 million term loan whose maturity date was amended in connection with the Amended and Restated Credit Agreement. The new maturity date is February 1, 2021, as compared to May 6, 2021 under the Prior Credit Agreement. The interest rates applicable to Term Loan A are based on the Company’s consolidated leverage ratio, and are determined by either (i) LIBOR, plus a margin ranging from 1.25% to 3.00%, or (ii) a Base Rate (as defined in the Amended and Restated Credit Agreement), plus a margin ranging from 0.25% to 2.00%. Payments are due on a quarterly basis. Term Loan A is subject to substantially the same covenants as the Revolving Credit Facility, and also has the same Guarantor Subsidiaries. As of March 31, 2017, $284.2 million was outstanding under Term Loan A.

Term Loan A-1 — On July 29, 2014, the Company entered into a $200 million term loan whose maturity date was amended in connection with the Amended and Restated Credit Agreement. The new maturity date is February 1, 2021, as compared to May 6, 2019 under the Prior Credit Agreement. The interest rates applicable to Term Loan A-1 are based on the Company’s consolidated leverage ratio, and are determined by either (i) LIBOR, plus a margin ranging from 1.25% to 3.00%, or (ii) a Base Rate (as defined in the Amended and Restated Credit Agreement), plus a margin ranging from 0.25% to 2.00%. Payments are due on a quarterly basis.

Term Loan A-1 is subject to substantially the same covenants as the Revolving Credit Facility, and has the same Guarantor Subsidiaries. As of March 31, 2017, $177.5 million was outstanding under Term Loan A-1.

Term Loan A-2 — On February 1, 2016, the Company entered into a $1,025 million term loan pursuant to the Amended and Restated Credit Agreement. Term Loan A-2 matures on February 1, 2021. The interest rates applicable to Term Loan A-2 are based on the Company’s consolidated leverage ratio, and are determined by either (i) LIBOR, plus a margin ranging from 1.25% to 3.00%, or (ii) a

Base Rate (as defined in the Amended and Restated Credit Agreement), plus a margin ranging from 0.25% to 2.00%. Payments are

due on a quarterly basis. Term Loan A-2 is subject to substantially the same covenants as the Revolving Credit Facility, and has the same Guarantor Subsidiaries. As of March 31, 2017, $999.4 million was outstanding under Term Loan A-2.

2022 Notes —On March 11, 2014, the Company completed its underwritten public offering of $400 million in aggregate principal amount of 4.875% notes due March 15, 2022 (the “2022 Notes”). The net proceeds of $394 million ($400 million less underwriting discount of $6 million, providing an effective interest rate of 4.99%) were used to extinguish the Company’s previously issued 7.75% notes due on March 1, 2018. Interest is payable on March 15 and September 15 of each year. The 2022 Notes will mature on March 15, 2022.

On or after March 15, 2017, the Company may redeem some or all of the 2022 Notes at redemption prices set forth in the Indenture. Subject to certain limitations, in the event of a change in control of the Company, the Company will be required to make an offer to purchase the 2022 Notes at a purchase price equal to 101% of the principal amount of the 2022 Notes, plus accrued and unpaid interest up to the purchase date.

2024 Notes —On January 29, 2016, the Company completed an exempt offering under Rule 144A and Regulation S of the Securities Act of $775 million in aggregate principal amount of 6.0% notes due February 15, 2024. The net proceeds from the issuance of the 2024 Notes (approximately $760.7 million after deducting issuance costs, providing an effective interest rate of 6.23%) were used to fund a portion of the purchase price of the Private Brands Business. Interest is payable on February 15 and August 15 of each year. The 2024 Notes will mature on February 15, 2024.

 

The Company may redeem some or all of the 2024 Notes at any time on or after February 15, 2019 at the applicable redemption prices described in the Indenture plus accrued and unpaid interest, if any, up to but not including the redemption date. In addition, prior to February 15, 2019, the Company may redeem all or a portion of the 2024 Notes at a price equal to 100% of the principal amount plus the “make-whole” premium set forth in the Indenture plus accrued and unpaid interest, if any, up to but not including the redemption date. The Company may also redeem up to 40% of the 2024 Notes prior to February 15, 2019 with the net cash proceeds received from certain equity offerings at the redemption price set forth in the Indenture. In the event of certain change of control events, as described in the Indenture, the Company may be required to purchase the 2024 Notes from the holders at a purchase price of 101% of the principal amount plus any accrued and unpaid interest.

The Company issued the 2022 Notes and 2024 Notes pursuant to a single base Indenture among the Company, the Guarantor Subsidiaries, and the Trustee. The Indenture provides, among other things, that the 2022 Notes and 2024 Notes will be senior unsecured obligations of the Company. The Company’s payment obligations under the 2022 Notes and 2024 Notes are fully and unconditionally, as well as jointly and severally, guaranteed on a senior unsecured basis by the Guarantor Subsidiaries, in addition to any future domestic subsidiaries that guarantee or become borrowers under its credit agreement, or guarantee certain other indebtedness incurred by the Company or its restricted subsidiaries.

The Indenture governing the 2022 Notes and 2024 Notes contains customary event of default provisions (including, without limitation, defaults relating to the failure to pay at final maturity or the acceleration of certain other indebtedness). If an event of default occurs and is continuing, the trustee under the Indenture or holders of at least 25% in principal amount of such notes may declare the principal amount and accrued and unpaid interest, if any, on all such notes to be due and payable. The Indenture also contains restrictive covenants that, among other things, limit the ability of the Company and the Guarantor Subsidiaries to: (i) pay dividends or make other restricted payments, (ii) make certain investments, (iii) incur additional indebtedness or issue preferred stock, (iv) create liens, (v) pay dividends or make other payments (except for certain dividends and payments to the Company and certain subsidiaries of the Company), (vi) merge or consolidate with other entities or sell substantially all of its assets, (vii) enter into transactions with affiliates, and (viii) engage in certain sale and leaseback transactions. The foregoing limitations are subject to exceptions as set forth in the Indenture. In addition, if in the future, the 2022 Notes or 2024 Notes have an investment grade credit rating by both Moody’s Investors Services, Inc. and Standard & Poor’s Ratings Services, certain of these covenants will, thereafter, no longer apply to the 2022 Notes or 2024 Notes for so long as the 2022 Notes or 2024 Notes are rated investment grade by the two rating agencies.

Interest Rate Swap Agreements — In June 2016, the Company entered into $500 million of long-term interest rate swap agreements to lock into a fixed LIBOR interest rate base. Under the terms of the agreements, $500 million in variable-rate debt was swapped for a weighted average fixed interest rate base of approximately 0.86% for a period of 37 months, beginning on January 31, 2017 and ending on February 28, 2020. The borrowing cost on the swapped principal will range from 2.11% to 3.86% during the life of the swap agreement based on the credit spreads under the Amended and Restated Credit Agreement.
v3.7.0.1
Stockholders' Equity
 3 Months Ended
Mar. 31, 2017
Stockholders' Equity

12. STOCKHOLDERS’ EQUITY

Common stock — The Company has authorized 90 million shares of common stock with a par value of $0.01 per share. No dividends have been declared or paid. As of March 31, 2017, there were 56,921,736 shares of common stock issued and outstanding. There is no treasury stock issued or outstanding.

Preferred Stock — The Company has authorized 10 million shares of preferred stock with a par value of $0.01 per share. No preferred stock has been issued.
v3.7.0.1
Earnings Per Share
 3 Months Ended
Mar. 31, 2017
Earnings Per Share

13. EARNINGS PER SHARE

Basic earnings per share is computed by dividing net income by the number of weighted average common shares outstanding during the reporting period. The weighted average number of common shares used in the diluted earnings per share calculation is determined using the treasury stock method and includes the incremental effect related to the Company’s outstanding stock-based compensation awards.

The following table summarizes the effect of the share-based compensation awards on the weighted average number of shares outstanding used in calculating diluted earnings per share:

 

                                                                                         
     Three Months Ended March 31,  
     2017      2016  
     (In millions, except per share data)  

Net income (loss)

      $ 28.2      $ (3.2 ) 
  

 

 

     

 

 

  
     

Weighted average common shares outstanding

      56.9        52.7  

Assumed exercise/vesting of equity awards (1)

      0.7        —  
  

 

 

     

 

 

  

Weighted average diluted common shares outstanding

      57.6        52.7  
  

 

 

     

 

 

  
     

Net earnings (loss) per basic share

      $ 0.50      $ (0.06 ) 

Net earnings (loss) per diluted share

      $ 0.49      $ (0.06 ) 

 

(1) Incremental shares from equity awards are computed using the treasury stock method. For the three months ended March 31, 2016, weighted average common shares outstanding is the same for the computations of basic and diluted earnings per share because the Company had a net loss for the period. Equity awards, excluded from our computation of diluted earnings per share because they were anti-dilutive, were 1.6 million and 0.8 million for the three months ended March 31, 2017 and 2016, respectively.
v3.7.0.1
Stock-Based Compensation
 3 Months Ended
Mar. 31, 2017
Stock-Based Compensation

14. STOCK-BASED COMPENSATION

The Board of Directors adopted, and the Company’s stockholders approved, the “TreeHouse Foods, Inc. Equity and Incentive Plan” (the “Plan”). On April 27, 2017, the Plan was amended and restated to increase the number of shares available for issuance under the Plan by 3.8 million shares, effective February 14, 2017. The Plan is administered by our Compensation Committee, which consists entirely of independent directors. The Compensation Committee determines specific awards for our executive officers. For all other employees, if the committee designates, our Chief Executive Officer or such other officers will, from time to time, determine specific persons to whom awards under the Plan will be granted, and the terms and conditions of each award. The Compensation Committee or its designee, pursuant to the terms of the Plan, also will make all other necessary decisions and interpretations under the plan.

Under the Plan, the Compensation Committee may grant awards of various types of compensation, including stock options, restricted stock, restricted stock units, performance shares, performance units, other types of stock-based awards, and other cash-based compensation. The maximum number of shares available to be awarded under the Plan is approximately 16.1 million, of which approximately 4.6 million remain available at March 31, 2017.

Income (loss) before income taxes for the three month periods ended March 31, 2017 and 2016 includes stock-based compensation expense of $7.5 million and $6.2 million, respectively. The tax benefit recognized related to the compensation cost of these share-based awards was approximately $2.8 million and $2.2 million for the three month periods ended March 31, 2017 and 2016, respectively.

 

Stock Options — The following table summarizes stock option activity during the three months ended March 31, 2017. Stock options generally have a three year vesting schedule, which vest in approximately three equal installments on each of the first three anniversaries of the grant date, and expire ten years from the grant date.

 

                        Weighted         
                 Weighted      Average         
                 Average      Remaining      Aggregate  
     Employee     Director     Exercise      Contractual      Intrinsic  
     Options     Options     Price      Term (yrs)      Value  
     (In thousands)                   (In millions)  

Outstanding, at December 31, 2016

      2,069       20     $ 64.77        5.8      $ 28.9  

Granted

      431       —     $ 84.56        

Forfeited

      (13 )      —     $ 87.57        

Exercised

      (128 )      (8 )    $ 49.52        

Expired

      —       —     $ —        
  

 

 

    

 

 

          

Outstanding, at March 31, 2017

      2,359       12     $ 69.12        6.6      $ 41.9  
  

 

 

    

 

 

          

Vested/expected to vest, at March 31, 2017

                  2,252               12     $         68.24                    6.4      $               41.8  
  

 

 

    

 

 

          

Exercisable, at March 31, 2017

      1,245       12     $ 53.21        4.3      $ 39.5  
  

 

 

    

 

 

          

 

     Three Months Ended
March 31,		  
     2017      2016  
     (In millions)  

Compensation expense

    $ 1.8      $ 1.6  

Intrinsic value of stock options exercised

    $ 4.5      $ 1.3  

Tax benefit recognized from stock option exercises

    $ 1.7      $ 0.4  

Compensation costs related to unvested options totaled $19.9 million at March 31, 2017 and will be recognized over the remaining vesting period of the grants, which averages 2.4 years. The Company uses the Black-Scholes option pricing model to value its stock option awards. The assumptions used to calculate the fair value of stock options issued in 2017 include the following: weighted average expected volatility of 26.70%, expected term of six years, weighted average risk free rate of 2.80%, and no dividends.

The weighted average grant date fair value of awards granted in 2017 was $24.84.

Restricted Stock Units — Employee restricted stock unit awards generally vest based on the passage of time. These awards generally vest in approximately three equal installments on each of the first three anniversaries of the grant date. Director restricted stock units generally vest on the first anniversary of the grant date. Certain directors have deferred receipt of their awards until either their departure from the Board of Directors or a specified date. As of March 31, 2017, 89 thousand director restricted stock units have been earned and deferred.

The following table summarizes the restricted stock unit activity during the three months ended March 31, 2017:

 

           Weighted             Weighted  
     Employee     Average      Director      Average  
     Restricted     Grant Date      Restricted      Grant Date  
     Stock Units     Fair Value      Stock Units      Fair Value  
     (In thousands)            (In thousands)         

Outstanding, at December 31, 2016

      516     $ 87.03        104      $ 57.78  

Granted

      239     $ 84.00        16      $ 84.66  

Vested

      (38 )    $ 80.21        —      $ —  

Forfeited

      (8 )    $ 86.98        —      $ —  
  

 

 

       

 

 

     

Outstanding, at March 31, 2017

      709     $ 86.37        120      $ 61.43  
  

 

 

       

 

 

     

 

     Three Months Ended
March 31,		  
     2017      2016  
     (In millions)  

Compensation expense

    $ 4.7      $ 3.5  

Fair value of vested restricted stock units

    $ 2.9      $ 0.2  

Tax benefit recognized from vested restricted stock units

    $ 1.1      $ 0.1  

Future compensation costs related to restricted stock units are approximately $43.5 million as of March 31, 2017 and will be recognized on a weighted average basis over the next 2.3 years. The grant date fair value of the awards is equal to the Company’s closing stock price on the grant date.

Performance Units — Performance unit awards are granted to certain members of management. These awards contain service and performance conditions. For each of the three performance periods, one-third of the units will accrue, multiplied by a predefined percentage between 0% and 200%, depending on the achievement of certain operating performance measures. Additionally, for the cumulative performance period, a number of units will accrue, equal to the number of units granted multiplied by a predefined percentage between 0% and 200%, depending on the achievement of certain operating performance measures, less any units previously accrued. Accrued units will be converted to stock or cash, at the discretion of the Compensation Committee, generally, on the third anniversary of the grant date. The Company intends to settle these awards in stock and has the shares available to do so. The following table summarizes the performance unit activity during the three months ended March 31, 2017:

 

           Weighted  
           Average  
     Performance     Grant Date  
     Units     Fair Value  
     (In thousands)        

Unvested, at December 31, 2016

      246     $ 85.16  

Granted

      115     $ 84.66  

Vested

      —     $ —  

Forfeited

      (1 )    $ 89.89  
  

 

 

    

 

 

  

Unvested, at March 31, 2017

      360     $ 84.99  
  

 

 

    

 

 

  

 

     Three Months Ended
March 31,		  
     2017      2016  
     (In millions)  

Compensation expense

    $ 1.0      $ 1.1  

Fair value of vested performance units

    $ —      $ —  

Tax benefit recognized from performance units vested

    $ —      $ —  

Future compensation costs related to the performance units are estimated to be approximately $16.9 million as of March 31, 2017, and are expected to be recognized over the next 2.6 years. The grant date fair value of the awards is equal to the Company’s closing stock price on the date of grant.
v3.7.0.1
Accumulated Other Comprehensive Loss
 3 Months Ended
Mar. 31, 2017
Accumulated Other Comprehensive Loss

15. ACCUMULATED OTHER COMPREHENSIVE LOSS

Accumulated other comprehensive loss consists of the following components, all of which are net of tax, except for the foreign currency translation adjustment:

 

           Unrecognized     Accumulated  
     Foreign     Pension and     Other  
     Currency     Postretirement     Comprehensive  
     Translation (1)     Benefits (2)     Loss  
     (In millions)  

Balance at December 31, 2016

    $ (89.4 )    $ (11.9 )    $ (101.3 ) 

Other comprehensive income

      3.6       —       3.6  

Reclassifications from accumulated other comprehensive loss

      —       0.3       0.3  
  

 

 

    

 

 

    

 

 

  

Other comprehensive income

      3.6       0.3       3.9  
  

 

 

    

 

 

    

 

 

  

Balance at March 31, 2017

    $ (85.8 )    $ (11.6 )    $ (97.4 ) 
  

 

 

    

 

 

    

 

 

  
           Unrecognized     Accumulated  
     Foreign     Pension and     Other  
     Currency     Postretirement     Comprehensive  
     Translation (1)     Benefits (2)     Loss  
     (In millions)  

Balance at December 31, 2015

    $ (100.5 )    $ (13.0 )    $ (113.5 ) 

Other comprehensive income

      24.3       —       24.3  

Reclassifications from accumulated other comprehensive loss

      —       0.3       0.3  
  

 

 

    

 

 

    

 

 

  

Other comprehensive income

      24.3       0.3       24.6  
  

 

 

    

 

 

    

 

 

  

Balance at March 31, 2016

    $ (76.2 )    $ (12.7 )    $ (88.9 ) 
  

 

 

    

 

 

    

 

 

  

 

  (1) The foreign currency translation adjustment is not net of tax, as it pertains to the Company’s permanent investment in its foreign subsidiaries.
  (2) The unrecognized pension and postretirement benefits reclassification is presented net of tax of $0.2 million and $0.1 million for the three months ended March 31, 2017 and 2016, respectively. The reclassification is included in the computation of net periodic pension and postretirement cost, which is recorded in the Cost of sales and General and administrative lines of the Condensed Consolidated Statements of Operations.

The Condensed Consolidated Statements of Operations lines impacted by reclassifications out of Accumulated other comprehensive loss are outlined below:

 

            Affected line in  
     Reclassifications from Accumulated      the Condensed Consolidated  
     Other Comprehensive Loss      Statements of Operations  
     Three Months Ended
March 31,		         
     2017      2016         
     (In millions)         

Amortization of defined benefit pension and postretirement

items:

         

Prior service costs

    $ 0.1      $ 0.1        (a)  

Unrecognized net loss

      0.4        0.3        (a)  
  

 

 

     

 

 

     

Total before tax

      0.5        0.4     

Income taxes

      0.2        0.1        Income taxes                  
  

 

 

     

 

 

     

Net of tax

    $             0.3      $             0.3     
  

 

 

     

 

 

     

 

  (a) These accumulated other comprehensive loss components are included in the computation of net periodic pension and postretirement cost, and are recorded in the Cost of sales and General and administrative lines of the Condensed Consolidated Statements of Operations.
v3.7.0.1
Employee Retirement and Postretirement Benefits
 3 Months Ended
Mar. 31, 2017
Employee Retirement and Postretirement Benefits

16. EMPLOYEE RETIREMENT AND POSTRETIREMENT BENEFITS

Pension, Profit Sharing and Postretirement Benefits — Certain employees and retirees participate in pension and other postretirement benefit plans. Employee benefit plan obligations and expenses included in the Condensed Consolidated Financial Statements are determined based on plan assumptions, employee demographic data, including years of service and compensation, benefits and claims paid, and employer contributions.

Components of net periodic pension expense are as follows:

 

     Three Months Ended  
     March 31,  
     2017     2016  
     (In millions)  

Service cost

    $ 1.2     $ 1.0  

Interest cost

      4.0       3.0  

Expected return on plan assets

      (4.7 )      (3.2 )     

Amortization of unrecognized prior service cost

      0.1       0.1  

Amortization of unrecognized net loss

      0.4       0.3  
  

 

 

    

 

 

  

Net periodic pension cost

    $ 1.0     $ 1.2  
  

 

 

    

 

 

  

The Company does not expect to make any contributions to the pension plans in 2017.

Components of net periodic postretirement expense are as follows:

 

     Three Months Ended  
     March 31,  
     2017      2016  
     (In millions)  

Service cost

    $ —      $ —  

Interest cost

      0.3        0.2          

Amortization of unrecognized prior service cost

      —        —  

Amortization of unrecognized net loss

      —        —  
  

 

 

     

 

 

  

Net periodic postretirement cost

    $ 0.3      $ 0.2  
  

 

 

     

 

 

  

The Company expects to contribute approximately $1.6 million to the postretirement health plans during 2017.

Net periodic pension and postretirement costs are recorded in the Cost of sales and General and administrative lines of the Condensed Consolidated Statements of Operations.
v3.7.0.1
Other Operating Expense, Net
 3 Months Ended
Mar. 31, 2017
Other Operating Expense, Net

17. OTHER OPERATING EXPENSE, NET

The Company incurred other operating expense for the three months ended March 31, 2017 and 2016, which consisted of the following:

 

                                                 
     Three Months Ended  
     March 31,  
     2017      2016  
     (In millions)  

Restructuring

    $ 6.8      $ 1.6  

Other

      —        0.1  
  

 

 

     

 

 

  

Total other operating expense, net

    $ 6.8      $ 1.7      
  

 

 

     

 

 

  

 

 
v3.7.0.1
Supplemental Cash Flow Information
 3 Months Ended
Mar. 31, 2017
Supplemental Cash Flow Information

18. SUPPLEMENTAL CASH FLOW INFORMATION

 

     Three Months Ended  
     March 31,  
     2017      2016  
     (In millions)  

Interest paid

    $ 43.7      $ 17.9  

Income taxes paid

    $ 6.2      $ 14.6      

Accrued purchase of property and equipment

    $ 12.3      $ 13.9  

Accrued other intangible assets

    $ 5.7      $ 1.9  

Non-cash financing activities for the three months ended March 31, 2017 and 2016 include $2.9 million and $0.2 million, respectively, related to the vesting of restricted stock, restricted stock units, and performance stock units.
v3.7.0.1
Commitments and Contingencies
 3 Months Ended
Mar. 31, 2017
Commitments and Contingencies

19. COMMITMENTS AND CONTINGENCIES

Litigation, Investigations and Audits — On November 16, 2016, a purported TreeHouse shareholder filed a putative class action captioned Tarara v. TreeHouse Foods, Inc., et al., Case No. 1:16-cv-10632, in the United States District Court for the Northern District of Illinois against TreeHouse and certain of its officers. The complaint, amended on March 24, 2017, is purportedly brought on behalf of all purchasers of TreeHouse common stock from January 20, 2016 through and including November 2, 2016, asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder and seeks, among other things, damages and costs and expenses. On December 22, 2016, another purported TreeHouse shareholder filed an action captioned Wells v. Reed, et al., Case No. 2016-CH-16359, in the Circuit Court of Cook County, Illinois, against TreeHouse and certain of its officers. This complaint, purportedly brought derivatively on behalf of TreeHouse, asserts state law claims against certain officers for breach of fiduciary duty, unjust enrichment, and corporate waste. On February 7, 2017, another purported TreeHouse shareholder filed an action captioned Lavin v. Reed, Case No. 17-cv-01014, in the Northern District of Illinois, against TreeHouse and certain of its officers. This complaint, like Wells, is purportedly brought derivatively on behalf of TreeHouse, and it asserts state law claims against certain officers for breach of fiduciary duty, unjust enrichment, abuse of control, gross mismanagement, and corporate waste.

All three complaints make substantially similar allegations (though the amended complaint in Tarara now contains additional detail). Essentially, the complaints allege that TreeHouse, under the authority and control of the individual defendants: (i) made certain false and misleading statements regarding the Company’s business, operations, and future prospects; and (ii) failed to disclose that (a) the Company’s private label business was underperforming; (b) the Company’s Flagstone business was underperforming; (c) the Company’s acquisition strategy was underperforming; (d) the Company had overstated its full-year 2016 guidance; and (e) TreeHouse’s statements lacked reasonable basis. The complaints allege that these actions artificially inflated the market price of TreeHouse common stock during the class period, thus purportedly harming investors. We believe that these claims are without merit and intend to defend against them vigorously. Since its initial docketing, the Tarara matter has been re-captioned as Public Employees’ Retirement Systems of Mississippi v. TreeHouse Foods, Inc., et al., in accordance with the Court’s order appointing Public Employees’ Retirement Systems of Mississippi as the lead plaintiff. Currently, the Public Employees’ defendants have until May 26, 2017 to file a motion to dismiss, plaintiffs have until June 26, 2017 to file a response, and defendants have until July 28, 2017 to file a reply.

Additionally, due to the similarity of the complaints, the parties in Wells have entered a stipulation deferring the litigation until the earlier of (i) the court in Public Employees’ entering an order resolving defendants’ anticipated motion to dismiss therein or (ii) plaintiffs’ counsel in Wells receiving notification of a settlement of Public Employees’ or until otherwise agreed to by the Parties. In Lavin, the parties are currently negotiating the terms of a similar stay. Accordingly, the next status dates in Wells and Lavin are October 30, 2017 and August 4, 2017, respectively.

In addition, we are party to a variety of legal proceedings arising out of the conduct of our business. While the results of proceedings cannot be predicted with certainty, management believes that the final outcome of these proceedings will not have a material adverse effect on our consolidated financial statements, results of operations, or cash flows.
v3.7.0.1
Derivative Instruments
 3 Months Ended
Mar. 31, 2017
Derivative Instruments

20. DERIVATIVE INSTRUMENTS

The Company is exposed to certain risks relating to its ongoing business operations. The primary risks managed by derivative instruments include interest rate risk, foreign currency risk, and commodity price risk. Derivative contracts are entered into for periods consistent with the related underlying exposure and do not constitute positions independent of those exposures. The Company does not enter into derivative instruments for trading or speculative purposes.

The Company manages its exposure to changes in interest rates by optimizing the use of variable-rate and fixed-rate debt and by utilizing interest rate swaps to hedge our exposure to changes in interest rates, to reduce the volatility of our financing costs, and to achieve a desired proportion of fixed versus floating-rate debt, based on current and projected market conditions, with a bias toward fixed-rate debt.

In June 2016, the Company entered into $500 million of long-term interest rate swap agreements to lock into a fixed LIBOR interest rate base. Under the terms of the agreements, $500 million in variable-rate debt was swapped for a weighted average fixed interest rate base of approximately 0.86% for a period of 37 months, beginning on January 31, 2017 and ending on February 28, 2020. These agreements do not qualify for hedge accounting and changes in their fair value are recorded in the Condensed Consolidated Statements of Operations, with their fair value recorded on the Condensed Consolidated Balance Sheets.

Due to the Company’s foreign operations, we are exposed to foreign currency risk. The Company enters into foreign currency contracts to manage the risk associated with foreign currency cash flows. The Company’s objective in using foreign currency contracts is to establish a fixed foreign currency exchange rate for the net cash flow requirements for purchases that are denominated in U.S. dollars. These contracts do not qualify for hedge accounting and changes in their fair value are recorded in the Condensed Consolidated Statements of Operations, with their fair value recorded on the Condensed Consolidated Balance Sheets. As of March 31, 2017, the Company had $30.9 million of U.S. dollar foreign currency contracts outstanding, expiring throughout 2017.

Certain commodities we use in the production and distribution of our products are exposed to market price risk. The Company utilizes derivative contracts to manage this risk. The majority of commodity forward contracts are not derivatives, and those that are generally qualify for the normal purchases and normal sales scope exception under the guidance for derivative instruments and hedging activities and, therefore, are not subject to its provisions. For derivative commodity contracts that do not qualify for the normal purchases and normal sales scope exception, the Company records their fair value on the Condensed Consolidated Balance Sheets, with changes in value being recorded in the Condensed Consolidated Statements of Operations.

The Company’s derivative commodity contracts may include contracts for diesel, oil, plastics, natural gas, electricity, and other commodity contracts that do not meet the requirements for the normal purchases and normal sales scope exception.

Diesel contracts are used to manage the Company’s risk associated with the underlying cost of diesel fuel used to deliver products. Contracts for oil and plastics are used to manage the Company’s risk associated with the underlying commodity cost of a significant component used in packaging materials. Contracts for natural gas and electricity are used to manage the Company’s risk associated with the utility costs of its manufacturing facilities, and commodity contracts that are derivatives that do not meet the normal purchases and normal sales scope exception are used to manage the price risk associated with raw material costs. As of March 31, 2017, the Company had outstanding contracts for the purchase of 76,608 megawatts of electricity, expiring throughout 2017 and early 2018; 15.6 million gallons of diesel, expiring throughout 2017; 0.7 million dekatherms of natural gas, expiring throughout 2017; and 32.0 million pounds of soybean oil, expiring throughout 2017.

 

The following table identifies the derivative, its fair value, and location on the Condensed Consolidated Balance Sheets:

 

          Fair Value  
    

Balance Sheet Location

    March 31, 2017     December 31, 2016  
          (In millions)  
Asset Derivatives                                 

Commodity contracts

   

Prepaid expenses and other current assets

    $                         0.7     $                         1.0  

Foreign currency contracts

   

Prepaid expenses and other current assets

      0.6       0.7  

Interest rate swap agreements

   

Prepaid expenses and other current assets

      11.4       10.4  
     

 

 

    

 

 

  
      $ 12.7     $ 12.1  
     

 

 

    

 

 

  

Liability Derivatives                    

        

Commodity contracts

   

Accounts payable and accrued expenses

    $ 1.3     $ 0.5  
     

 

 

    

 

 

  
      $ 1.3     $ 0.5  
     

 

 

    

 

 

  

 

We recorded the following gains and losses on our derivative contracts in the Condensed Consolidated Statements of Operations:

 

 
          Three Months Ended  
     Location of Gain (Loss)    March 31,  
    

Recognized in Net Income (Loss)

    2017     2016  
          (In millions)  

Mark-to-market unrealized gain (loss):

        

Commodity contracts

   

Other expense, net

    $ (1.1 )    $ 0.4  

Foreign currency contracts

   

Other expense, net

      (0.1 )      (5.1 ) 

Interest rate swap agreements

   

Other expense, net

      1.0       —  
     

 

 

    

 

 

  

Total unrealized gain (loss)

         (0.2 )      (4.7 ) 

Realized gain (loss):

        

Commodity contracts

    Manufacturing related to Cost of sales and transportation related to Selling and distribution                            0.5       (1.0 ) 

Foreign currency contracts

   

Cost of sales

      0.2                             0.8  

Interest rate swap agreements

   

Interest expense

      (0.1 )      —  
     

 

 

    

 

 

  

Total realized gain (loss)

         0.6       (0.2 ) 
     

 

 

    

 

 

  

Total gain (loss)

       $ 0.4     $ (4.9 ) 
     

 

 

    

 

 

  

 
v3.7.0.1
Fair Value
 3 Months Ended
Mar. 31, 2017
Fair Value

21. FAIR VALUE

The following table presents the carrying value and fair value of our financial instruments as of March 31, 2017 and December 31, 2016:

 

                                                                                                                                           
     March 31, 2017     December 31, 2016        
     Carrying
Value		     Fair
Value		     Carrying
Value		     Fair
Value		    

  Level  

  
     (In millions)     (In millions)        

Not recorded at fair value (liability):

           

Revolving Credit Facility

      $ (148.0 )      $ (145.9 )      $ (170.0 )      $ (167.1 )      2        

Term Loan A

      $ (284.2 )      $ (284.6 )      $ (288.0 )      $ (288.1 )      2        

Term Loan A-1

      $ (177.5 )      $ (177.8 )      $ (180.0 )      $ (180.3 )      2        

Term Loan A-2

      $ (999.4 )      $ (1,001.0 )      $ (1,005.8 )      $ (1,007.4 )      2        

2022 Notes

      $ (400.0 )      $ (411.0 )      $ (400.0 )      $ (410.0 )      2        

2024 Notes

      $ (775.0 )      $ (811.8 )      $ (775.0 )      $ (809.9 )      2        

Recorded on a recurring basis at fair

value (liability) asset:

           

Commodity contracts

      $ (0.6 )      $ (0.6 )      $ 0.5       $ 0.5       2        

Foreign currency contracts

      $ 0.6       $ 0.6       $ 0.7       $ 0.7       2        

Interest rate swap agreements

      $ 11.4       $ 11.4       $ 10.4       $ 10.4       2        

Investments

      $ 11.3       $ 11.3       $ 10.4       $ 10.4       1        

Cash and cash equivalents and accounts receivable are financial assets with carrying values that approximate fair value. Accounts payable are financial liabilities with carrying values that approximate fair value.

The fair value of the Revolving Credit Facility, Term Loan A, Term Loan A-1, Term Loan A-2, 2022 Notes, 2024 Notes, commodity contracts, foreign currency contracts, and interest rate swap agreements are determined using Level 2 inputs. Level 2 inputs are inputs other than quoted market prices that are observable for an asset or liability, either directly or indirectly. The fair values of the Revolving Credit Facility, Term Loan A, Term Loan A-1, and Term Loan A-2 were estimated using present value techniques and market based interest rates and credit spreads. The fair values of the Company’s 2022 Notes and 2024 Notes were estimated based on quoted market prices for similar instruments, where the inputs are considered Level 2, due to their infrequent trading volume. The fair values of the commodity contracts, foreign currency contracts, and interest rate swap agreements are based on an analysis comparing the contract rates to the market rates at the balance sheet date. The commodity contracts, foreign currency contracts, and interest rate swap agreements are recorded at fair value on the Condensed Consolidated Balance Sheets.

The fair value of the investments was determined using Level 1 inputs. Level 1 inputs are quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement dates. The investments are recorded at fair value on the Condensed Consolidated Balance Sheets.
v3.7.0.1
Segment and Geographic Information and Major Customers
 3 Months Ended
Mar. 31, 2017
Segment and Geographic Information and Major Customers

22. SEGMENT AND GEOGRAPHIC INFORMATION AND MAJOR CUSTOMERS

In the first quarter of 2017, the Company completed changes in its organizational structure that resulted in a change in how the Company manages its business and allocates resources. Our reportable segments are now organized and managed by products: Baked Goods, Beverages, Condiments, Meals, and Snacks. Previously, our reportable segments were organized and managed by customer channels: North American Retail Grocery, Food Away From Home, and Industrial and Export. All prior period information has been recast to reflect this change.

The Company manages operations on a company-wide basis, thereby making determinations as to the allocation of resources in total rather than on a segment-level basis. The Company has designated reportable segments based on how management views its business. The Company does not segregate assets between segments for internal reporting. Therefore, asset-related information has not been presented. The reportable segments, as presented below, are consistent with the manner in which the Company reports its results to the Chief Operating Decision Maker. Our segments are as follows:

Baked Goods – Our Baked Goods segment sells candy; cookies; crackers; in-store bakery products; pita chips; pretzels; refrigerated dough; and retail griddle waffles, pancakes, and French toast.

Beverages – Our Beverages segment sells broths; liquid non-dairy creamer; non-dairy powdered creamers; powdered drinks; single serve hot beverages; specialty teas, and sweeteners.

Condiments – Our Condiments segment sells aseptic cheese and pudding products; jams, preserves, and jellies; mayonnaise; Mexican, barbeque, and other sauces; pickles and related products; refrigerated and shelf stable dressings and sauces; and table and flavored syrups.

Meals – Our Meals segment sells baking and mix powders; condensed, ready to serve, and powdered soups and gravies; infant feeding products; macaroni and cheese; pasta; ready-to-eat and hot cereals; and skillet dinners.

Snacks – Our Snacks segment sells bars; dried fruit; snack nuts; trail mixes; and other wholesome snacks.

The Company evaluates the performance of its segments based on net sales dollars and direct operating income. In conjunction with the change in segments, the Company revised its calculation of direct operating income to include direct general and administrative expenses. Direct operating income is now defined as gross profit less freight out, sales commissions, and direct selling, general, and administrative expenses. All prior period information has been recast to reflect this change. The amounts in the following tables are obtained from reports used by senior management and do not include income taxes. Other expenses not allocated include unallocated selling, general, and administrative expenses, unallocated costs of sales, and unallocated corporate expenses (amortization expense and other operating expense). The accounting policies of the Company’s segments are the same as those described in the summary of significant accounting policies set forth in Note 1 to the Consolidated Financial Statements contained in our Annual Report on Form 10-K for the year ended December 31, 2016.

 

Financial information relating to the Company’s reportable segments is as follows:

 

                                                           
     Three Months Ended  
     March 31,  
     2017     2016  
     (In millions)  

Net sales to external customers:

     

Baked Goods

    $ 341.1     $ 219.5  

Beverages

      268.0       224.9  

Condiments

      310.1       295.6  

Meals

      324.0       272.4  

Snacks

      290.6       257.8  

Unallocated

      2.4       —  
  

 

 

    

 

 

  

Total

    $ 1,536.2     $ 1,270.2  
  

 

 

    

 

 

  

Direct operating income:

     

Baked Goods

    $ 41.9     $ 28.8  

Beverages

      58.7       57.7  

Condiments

      31.7       35.1  

Meals

      34.0       26.4  

Snacks

      12.5       9.8  
  

 

 

    

 

 

  

Total

      178.8       157.8  

Unallocated selling, general, and administrative expenses

      (80.0 )      (100.7 ) 

Unallocated cost of sales (1)

      1.5       (12.6 ) 

Unallocated corporate expense and other

      (33.0 )      (25.5 ) 
  

 

 

    

 

 

  

Operating income

      67.3       19.0  

Other expense

      (27.6 )      (23.8 ) 
  

 

 

    

 

 

  

Income (loss) before income taxes

    $ 39.7     $ (4.8 ) 
  

 

 

    

 

 

  

 

  (1) Includes charges related to restructurings and other costs managed at corporate.

Geographic Information — The Company had revenues from customers outside of the United States of approximately 8.3% and 8.7% of total consolidated net sales in the three months ended March 31, 2017 and 2016, respectively, with 6.6% and 7.3% of total consolidated net sales in Canada, respectively. The Company held 11.0% and 10.8% of its property, plant, and equipment outside of the United States as of March 31, 2017 and 2016, respectively.

Major Customers — Walmart Stores, Inc. and affiliates accounted for approximately 20.5% and 18.8% of consolidated net sales in the three months ended March 31, 2017 and 2016, respectively. No other customer accounted for more than 10% of our consolidated net sales.

 

Product Information — The following table presents the Company’s net sales by major products for the three months ended March 31, 2017 and 2016. In the first quarter of 2017, the Company changed the product categories to align with the changes in organizational structure described above. All prior period information has been recast to reflect this change.

 

     Three Months Ended  
     March 31,  
             2017                        2016          
     (In millions)  

Products:

        

Dressings and sauces

    $ 237.3        $ 221.3  

Cereals and other meals

      190.4          169.9  

Snack nuts

      187.7          142.3  

Beverages

      183.1          144.1  

Retail bakery

      182.6          113.3  

Baked products

      158.5          106.2  

Pasta and dry dinners

      133.6          102.5  

Trail mix and bars

      105.3          115.5  

Beverage enhancers

      84.9          80.8  

Pickles

      72.8          74.3  
  

 

 

       

 

 

  

Total net sales

    $ 1,536.2        $ 1,270.2  
  

 

 

       

 

 

  

 

 
v3.7.0.1
GUARANTOR AND NON-GUARANTOR FINANCIAL INFORMATION
 3 Months Ended
Mar. 31, 2017
GUARANTOR AND NON-GUARANTOR FINANCIAL INFORMATION

23. GUARANTOR AND NON-GUARANTOR FINANCIAL INFORMATION

The Company’s 2022 Notes and 2024 Notes are guaranteed fully and unconditionally, as well as jointly and severally, by its Guarantor Subsidiaries. The guarantees of the Guarantor Subsidiaries are subject to release in limited circumstances, only upon the occurrence of certain customary conditions. There are no significant restrictions on the ability of the parent company or any guarantor to obtain funds from its subsidiaries by dividend or loan. The following condensed supplemental consolidating financial information presents the results of operations, financial position, and cash flows of the parent company, its Guarantor Subsidiaries, its non-guarantor subsidiaries, and the eliminations necessary to arrive at the information for the Company on a consolidated basis as of March 31, 2017 and 2016, and for the three months ended March 31, 2017 and 2016. The equity method has been used with respect to investments in subsidiaries. The principal elimination entries eliminate investments in subsidiaries and intercompany balances and transactions.

Condensed Supplemental Consolidating Balance Sheet

March 31, 2017

(In millions)

 

                                                                                                                            
     Parent      Guarantor     Non-Guarantor              
     Company      Subsidiaries     Subsidiaries     Eliminations     Consolidated  

Assets

            

Current assets:

            

Cash and cash equivalents

    $ —      $ 0.8     $ 66.4     $ —     $ 67.2  

Investments

      —        —       11.3       —       11.3  

Accounts receivable, net

      0.3        332.9       51.1       —       384.3  

Inventories, net

      —        880.7       108.8       —       989.5  

Assets held for sale

      —        3.6       —       —       3.6  

Prepaid expenses and other current assets

      33.6        16.3       18.1       —       68.0  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Total current assets

      33.9        1,234.3       255.7       —       1,523.9  

Property, plant, and equipment, net

      30.4        1,161.2       146.7       —       1,338.3  

Goodwill

      —        2,333.7       117.4       —       2,451.1  

Investment in subsidiaries

      5,100.3        527.7       —       (5,628.0 )      —  

Intercompany accounts receivable (payable), net

      126.1        (121.2 )      (4.9 )      —       —  

Deferred income taxes

      22.1        —       —       (22.1 )      —  

Intangible and other assets, net

      59.4        997.7       104.6       —       1,161.7  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Total assets

    $ 5,372.2      $ 6,133.4     $ 619.5     $ (5,650.1 )    $ 6,475.0  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Liabilities and Stockholders’ Equity

            

Current liabilities:

            

Accounts payable and accrued expenses

    $ 59.6      $ 429.0     $ 60.6     $ —     $ 549.2  

Current portion of long-term debt

      77.5        2.0       0.1       —       79.6  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Total current liabilities

      137.1        431.0       60.7       —       628.8  

Long-term debt

      2,674.9        2.0       0.2       —       2,677.1  

Deferred income taxes

      —        398.9       26.2       (22.1 )      403.0  

Other long-term liabilities

      11.6        201.2       4.7       —       217.5  

Stockholders’ equity

      2,548.6        5,100.3       527.7       (5,628.0 )      2,548.6  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Total liabilities and stockholders’ equity

    $ 5,372.2      $ 6,133.4     $ 619.5     $ (5,650.1 )    $ 6,475.0  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

 

Condensed Supplemental Consolidating Balance Sheet

December 31, 2016

(In millions)

 

                                                                                                                            
     Parent      Guarantor     Non-Guarantor              
     Company      Subsidiaries     Subsidiaries     Eliminations     Consolidated  

Assets

            

Current assets:

            

Cash and cash equivalents

    $ —      $ 0.2     $ 61.9     $ —     $ 62.1  

Investments

      —        —       10.4       —       10.4  

Accounts receivable, net

      —        372.9       56.1       —       429.0  

Inventories, net

      —        869.6       108.4       —       978.0  

Assets held for sale

      —        3.6       —       —       3.6  

Prepaid expenses and other current assets

      23.6        36.7       17.3       —       77.6  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Total current assets

      23.6        1,283.0       254.1       —       1,560.7  

Property, plant, and equipment, net

      31.3        1,181.0       147.0       —       1,359.3  

Goodwill

      —        2,330.8       116.4       —       2,447.2  

Investment in subsidiaries

      5,031.5        519.4       —       (5,550.9 )      —  

Intercompany accounts receivable (payable), net

      199.6        (196.9 )      (2.7 )      —       —  

Deferred income taxes

      20.7        —       —       (20.7 )      —  

Intangible and other assets, net

      53.9        1,018.0       106.7       —       1,178.6  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Total assets

    $ 5,360.6      $ 6,135.3     $ 621.5     $ (5,571.6 )    $ 6,545.8  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Liabilities and Stockholders’ Equity

            

Current liabilities:

            

Accounts payable and accrued expenses

    $ 61.3      $ 493.1     $ 72.4     $ —     $ 626.8  

Current portion of long-term debt

      63.1        3.2       0.1       —       66.4  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Total current liabilities

      124.4        496.3       72.5       —       693.2  

Long-term debt

      2,722.3        2.2       0.3       —       2,724.8  

Deferred income taxes

      —        418.3       24.6       (20.7 )      422.2  

Other long-term liabilities

      10.6        187.0       4.7       —       202.3  

Stockholders’ equity

      2,503.3        5,031.5       519.4       (5,550.9 )      2,503.3  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Total liabilities and stockholders’ equity

    $ 5,360.6      $ 6,135.3     $ 621.5     $ (5,571.6 )    $ 6,545.8  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

 

Condensed Supplemental Consolidating Statement of Operations

Three Months Ended March 31, 2017

(In millions)

 

                                                                                                                            
     Parent     Guarantor     Non-Guarantor              
     Company     Subsidiaries     Subsidiaries     Eliminations     Consolidated  

Net sales

    $ —     $ 1,455.4     $ 164.0     $ (83.2 )    $ 1,536.2  

Cost of sales

      —       1,188.4       144.6       (83.2 )      1,249.8  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Gross profit

      —       267.0       19.4       —       286.4  

Selling, general, and administrative expense

      27.5       146.6       9.6       —       183.7  

Amortization expense

      2.9       23.4       2.3       —       28.6  

Other operating expense, net

      —       6.6       0.2       —       6.8  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Operating (loss) income

      (30.4 )      90.4       7.3       —       67.3  

Interest expense

      31.2       0.2       1.2       (2.9 )      29.7  

Interest income

      (2.2 )      (2.9 )      (0.6 )      2.9       (2.8 ) 

Other expense (income), net

      0.1       —       0.6       —       0.7  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

(Loss) income before income taxes

      (59.5 )      93.1       6.1       —       39.7  

Income taxes (benefit)

      (22.8 )      33.4       0.9       —       11.5  

Equity in net income (loss) of subsidiaries

      64.9       5.2       —       (70.1 )      —  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net income (loss)

    $ 28.2     $ 64.9     $ 5.2     $ (70.1 )    $ 28.2  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Condensed Supplemental Consolidating Statement of Operations

Three Months Ended March 31, 2016

(In millions)

 

                                                                                                                            
     Parent     Guarantor     Non-Guarantor              
     Company     Subsidiaries     Subsidiaries     Eliminations     Consolidated  

Net sales

    $ —     $ 1,204.8     $ 133.8     $ (68.4 )    $ 1,270.2  

Cost of sales

      —       997.1       116.9       (68.4 )      1,045.6  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Gross profit

      —       207.7       16.9       —       224.6  

Selling, general, and administrative expense

      53.7       116.4       10.0       —       180.1  

Amortization expense

      2.2       19.4       2.2       —       23.8  

Other operating expense, net

      —       1.3       0.4       —       1.7  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Operating (loss) income

      (55.9 )      70.6       4.3       —       19.0  

Interest expense

      25.4       (0.1 )      1.5       (1.1 )      25.7  

Interest income

      (2.2 )      (1.3 )      (0.4 )      1.1       (2.8 ) 

Other expense (income), net

      —       (4.7 )      5.6       —       0.9  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

(Loss) income before income taxes

      (79.1 )      76.7       (2.4 )      —       (4.8 ) 

Income taxes (benefit)

      (30.0 )      30.0       (1.6 )      —       (1.6 ) 

Equity in net income (loss) of subsidiaries

      45.9       (0.8 )      —       (45.1 )      —  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net (loss) income

    $ (3.2 )    $ 45.9     $ (0.8 )    $ (45.1 )    $ (3.2 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

Condensed Supplemental Consolidating Statement of Comprehensive Income (Loss)

Three Months Ended March 31, 2017

(In millions)

 

                                                                                                                            
     Parent      Guarantor      Non-Guarantor               
     Company      Subsidiaries      Subsidiaries      Eliminations     Consolidated  

Net income (loss)

    $ 28.2      $ 64.9      $ 5.2      $ (70.1 )    $ 28.2  

Other comprehensive income:

              

Foreign currency translation adjustments

      —        —        3.6        —       3.6  

Pension and postretirement reclassification

adjustment, net of tax

      —        0.3        —        —       0.3  
  

 

 

     

 

 

     

 

 

     

 

 

    

 

 

  

Other comprehensive income

      —        0.3        3.6        —       3.9  

Equity in other comprehensive income (loss) of

subsidiaries

      3.9        3.6        —        (7.5 )      —  
  

 

 

     

 

 

     

 

 

     

 

 

    

 

 

  

Comprehensive income (loss)

    $ 32.1      $ 68.8      $ 8.8      $ (77.6 )    $ 32.1  
  

 

 

     

 

 

     

 

 

     

 

 

    

 

 

  

Condensed Supplemental Consolidating Statement of Comprehensive Income (Loss)

Three Months Ended March 31, 2016

(In millions)

 

                                                                                                                            
     Parent     Guarantor      Non-Guarantor              
     Company     Subsidiaries      Subsidiaries     Eliminations     Consolidated  

Net (loss) income

    $ (3.2 )    $ 45.9      $ (0.8 )    $ (45.1 )    $ (3.2 ) 

Other comprehensive income:

            

Foreign currency translation adjustments

      —       —        24.3       —       24.3  

Pension and postretirement reclassification

adjustment, net of tax

      —       0.3        —       —       0.3  
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

  

Other comprehensive income

      —       0.3        24.3       —       24.6  

Equity in other comprehensive income (loss) of

subsidiaries

      24.6       24.3        —       (48.9 )      —  
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

  

Comprehensive income (loss)

    $ 21.4     $ 70.5      $ 23.5     $ (94.0 )    $ 21.4  
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

  

 

Condensed Supplemental Consolidating Statement of Cash Flows

Three Months Ended March 31, 2017

(In millions)

 

                                                                                                                            
     Parent     Guarantor    

Non-

Guarantor

              
     Company     Subsidiaries     Subsidiaries     Eliminations     Consolidated  

Cash flows from operating activities:

           

Net cash provided by (used in) operating activities

    $ 44.6     $ 97.7     $ 5.5     $ (69.3 )    $ 78.5  

Cash flows from investing activities:

           

Additions to property, plant, and equipment

      (1.1 )      (30.5 )      (3.1 )      —       (34.7 ) 

Additions to intangible assets

      (8.2 )      (0.5 )      —       —       (8.7 ) 

Intercompany transfer

      (34.1 )      (31.0 )      —       65.1       —  

Proceeds from sale of fixed assets

      —       0.2       —       —       0.2  

Other

      —       —       (0.3 )      —       (0.3 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net cash (used in) provided by investing activities

      (43.4 )      (61.8 )      (3.4 )      65.1       (43.5 ) 

Cash flows from financing activities:

           

Net borrowing (repayment) of debt

      (34.7 )      (1.4 )      —       —       (36.1 ) 

Intercompany transfer

      27.7       (33.9 )      2.0       4.2       —  

Receipts related to stock-based award activities

      6.7       —       —       —       6.7  

Payments related to stock-based award activities

      (0.9 )      —       —       —       (0.9 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net cash provided by (used in) financing activities

      (1.2 )      (35.3 )      2.0       4.2       (30.3 ) 

Effect of exchange rate changes on cash and cash

equivalents

      —       —       0.4       —       0.4  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

(Decrease) increase in cash and cash equivalents

      —       0.6       4.5       —       5.1  

Cash and cash equivalents, beginning of period

      —       0.2       61.9       —       62.1  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Cash and cash equivalents, end of period

    $ —     $ 0.8     $ 66.4     $ —     $ 67.2  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

Condensed Supplemental Consolidating Statement of Cash Flows

Three Months Ended March 31, 2016

(In millions)

 

                                                                                                                            
     Parent     Guarantor    

Non-

Guarantor

              
     Company     Subsidiaries     Subsidiaries     Eliminations     Consolidated  

Cash flows from operating activities:

           

Net cash provided by (used in) operating activities

    $ 3.0     $ 153.0     $ (19.1 )    $ (26.0 )    $ 110.9  

Cash flows from investing activities:

           

Additions to property, plant, and equipment

      (0.1 )      (23.7 )      (1.1 )      —       (24.9 ) 

Additions to intangible assets

      (2.0 )      —       —       —       (2.0 ) 

Intercompany transfer

      93.8       2.8       —       (96.6 )      —  

Acquisitions, less cash acquired

      (2,683.5 )      0.3       43.0       —       (2,640.2 ) 

Proceeds from sale of fixed assets

      —       0.1       —       —       0.1  

Other

      —       —       (0.3 )      —       (0.3 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net cash (used in) provided by investing activities

      (2,591.8 )      (20.5 )      41.6       (96.6 )      (2,667.3 ) 

Cash flows from financing activities:

           

Net borrowing (repayment) of debt

      1,777.6       (0.8 )      —       —       1,776.8  

Payment of deferred financing costs

      (34.3 )      —       —       —       (34.3 ) 

Intercompany transfer

      (1.8 )      (130.2 )      9.4       122.6       —  

Net proceeds from issuance of common stock

      835.1       —       —       —       835.1  

Receipts related to stock-based award activities

      1.9       —       —       —       1.9  

Payments related to stock-based award activities

      (0.1 )      —       —       —       (0.1 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net cash provided by (used in) financing activities

      2,578.4       (131.0 )      9.4       122.6       2,579.4  

Effect of exchange rate changes on cash and cash

equivalents

      —       —       3.2       —       3.2  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

(Decrease) increase in cash and cash equivalents

      (10.4 )      1.5       35.1       —       26.2  

Cash and cash equivalents, beginning of period

      10.4       0.1       24.4       —       34.9  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Cash and cash equivalents, end of period

    $ —     $ 1.6     $ 59.5     $ —     $ 61.1  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 
v3.7.0.1
Subsequent Events
 3 Months Ended
Mar. 31, 2017
Subsequent Events

24. SUBSEQUENT EVENTS

On April 25, 2017, the Company announced that it had entered into a definitive agreement to sell its Soup and Infant Feeding (“SIF”) business. The SIF business is based in Pittsburgh, Pennsylvania and produces private label condensed and ready-to-serve soup, baby food, and gravies for the Meals segment. The transaction is subject to customary closing conditions and is expected to close in the second or third quarter of 2017.
v3.7.0.1
Restructuring (Tables)
 3 Months Ended
Mar. 31, 2017
Schedule of Facility Closures

The key information regarding the Company’s announced facility closures is outlined in the table below.

 

Facility Location

  

Date of Closure
Announcement

  

End of

Production

  

Full Facility

Closure

  

Primary Products

Produced

  

Primary Segment(s)

Affected

   Total
Costs to
Close		     Total
Cash
Costs to
Close		  
                        (In millions)  
City of Industry, California  

November 18,

2015

  

First quarter

of 2016

  

Third quarter

of 2016

   Liquid non-dairy creamer and refrigerated salad dressings  

Beverages,

Condiments

   $ 6.9     $ 3.8  

Ayer,

Massachusetts

   April 5, 2016  

First quarter

of 2017

  

Third quarter

of 2017

   Spoonable dressings   Condiments   $ 8.2     $ 5.5  
Azusa, California   May 24, 2016  

First quarter

of 2017

  

Third quarter

of 2017

   Bars and snack products   Snacks   $ 15.5     $ 12.2  
Ripon, Wisconsin   May 24, 2016  

Fourth quarter

of 2016

  

Fourth quarter

of 2016

   Sugar wafer cookies   Baked Goods   $ 2.5     $ 1.4  

Delta, British

Columbia

  

November 3,

2016

  

Fourth quarter

of 2017

  

First quarter

of 2018

   Frozen griddle products   Baked Goods   $ 5.2     $ 3.7  

Battle Creek,

Michigan

  

November 3,

2016

   (1)   (1)   Ready-to-eat cereal   Meals   $  10.4     $  2.8  

 

  (1) The downsizing of this facility began in January 2017 and is expected to last approximately 15 months.
Aggregate Expenses Incurred Associated with Facility Closure

Below is a summary of the plant closing costs:

 

                                                                                                                               
     Three Months Ended        Three Months Ended        Cumulative Costs        Total Expected  
     March 31, 2017        March 31, 2016        To Date        Costs  
  

 

 

  
     (In millions)  

Asset-related

    $ 4.4        $ 0.8        $ 14.6        $ 19.3  

Employee-related

      2.5          0.6          9.8          13.6  

Other closure costs

      2.5          0.1          7.0          15.8  
  

 

 

       

 

 

       

 

 

       

 

 

  

Total

    $ 9.4        $ 1.5        $ 31.4        $ 48.7  
  

 

 

       

 

 

       

 

 

       

 

 

  

 

 
Reconciliation of Liabilities

The table below presents a reconciliation of the liabilities as of March 31, 2017:

 

                                                                                                                    
     Severance        Multiemployer Pension
Plan Withdrawal		        Total Liabilities  
     (In millions)  

Balance as of December 31, 2016

    $ 3.5        $ 0.8        $ 4.3  

Expense

      2.3          —          2.3  

Payments

      (1.3 )         —          (1.3 ) 
  

 

 

       

 

 

       

 

 

  

Balance as of March 31, 2017

    $ 4.5        $ 0.8        $ 5.3  
  

 

 

       

 

 

       

 

 

  

 
v3.7.0.1
Acquisitions (Tables) - Private brands business of ConAgra Foods
 3 Months Ended
Mar. 31, 2017
Purchase Price Allocation to Net Tangible and Intangible Assets Acquired and Liabilities Assumed

We have completed the purchase price allocation to net tangible and intangible assets acquired and liabilities assumed as follows:

 

                               
     (In millions)  

Cash

      $ 43.3  

Receivables

      162.7  

Inventory

      443.7  

Property, plant, and equipment

      809.6  

Customer relationships

      510.9  

Trade names

      33.0  

Software

      19.6  

Formulas

      23.2  

Other assets

      50.2  

Goodwill

      1,141.2  
  

 

 

  

Assets acquired

      3,237.4  

Deferred taxes

      (152.8 ) 

Assumed current liabilities

      (246.6 ) 

Assumed long-term liabilities

      (150.3 ) 
  

 

 

  

Total purchase price

      $ 2,687.7  
  

 

 

  

 
Business Acquisition Pro Forma Information

The following unaudited pro forma information shows the results of operations for the Company as if its acquisition of the Private Brands Business had been completed as of January 1, 2016. Adjustments have been made for the pro forma effects of depreciation and amortization of tangible and intangible assets recognized as part of the business combination, the issuance of common stock, interest expense related to the financing of the business combination, and related income taxes. Excluded from the 2016 pro forma results are $35.2 million of costs incurred by the Company in connection with the acquisition. The pro forma results may not necessarily reflect actual results of operations that would have been achieved, nor are they necessarily indicative of future results of operations.

 

     Three Months Ended
March 31, 2016		  
     (In millions, except
per share data)		  

Pro forma net sales

    $ 1,594.1  
  

 

 

  

Pro forma net income

    $ 18.6  
  

 

 

  

Pro forma basic earnings per common share

    $ 0.33  
  

 

 

  

Pro forma diluted earnings per common share

    $ 0.32  
  

 

 

  

 
v3.7.0.1
Investments (Tables)
 3 Months Ended
Mar. 31, 2017
Investments

 

     March 31,      December 31,  
     2017      2016  
     (In millions)  

U.S. equity

    $ 8.3      $ 7.6  

Non-U.S. equity

      1.9        1.8  

Fixed income

      1.1        1.0  
  

 

 

     

 

 

  

Total investments

    $ 11.3      $ 10.4  
  

 

 

     

 

 

  

v3.7.0.1
Inventories (Tables)
 3 Months Ended
Mar. 31, 2017
Inventories

     March 31,     December 31,  
     2017     2016  
     (In millions)  

Raw materials and supplies

    $ 427.9     $ 429.4  

Finished goods

      585.6       571.9  

LIFO reserve

      (24.0 )      (23.3 ) 
  

 

 

    

 

 

  

Total inventories

    $ 989.5     $ 978.0  
  

 

 

     

 

 

  

v3.7.0.1
Property, Plant, and Equipment (Tables)
 3 Months Ended
Mar. 31, 2017
Property, Plant, and Equipment

     March 31,     December 31,  
     2017     2016  
     (In millions)  

Land

    $ 71.5     $ 71.2  

Buildings and improvements

      473.7       465.3  

Machinery and equipment

      1,357.0       1,324.5  

Construction in progress

      57.0       85.0  
  

 

 

    

 

 

  

Total

      1,959.2       1,946.0  

Less accumulated depreciation

      (620.9 )      (586.7 ) 
  

 

 

    

 

 

  

Property, plant, and equipment, net

    $ 1,338.3     $ 1,359.3  
  

 

 

     

 

 

  

v3.7.0.1
Goodwill and Intangible Assets (Tables)
 3 Months Ended
Mar. 31, 2017
Changes in Carrying Amount of Goodwill

Changes in the carrying amount of goodwill for the three months ended March 31, 2017 are as follows:

 

     Baked                                     
     Goods      Beverages      Condiments      Meals      Snacks      Total  
     (In millions)  

Balance at January 1, 2017

    $ 554.2      $ 713.2      $ 433.1      $ 470.6      $ 276.1      $ 2,447.2  

Purchase price adjustments

      1.4        —        0.2        1.1        0.3        3.0  

Foreign currency exchange adjustments

      —        0.4        0.5        —        —        0.9  
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Balance at March 31, 2017

    $ 555.6      $ 713.6      $ 433.8      $ 471.7      $ 276.4      $ 2,451.1  
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Carrying Amounts of Indefinite Lives Intangible Assets Other Than Goodwill

The carrying amounts of our intangible assets with indefinite lives, other than goodwill, as of March 31, 2017 and December 31, 2016 are as follows:

 

                                                                   
     March 31,
2017		      December 31,
2016		  
     (In millions)  

Trademarks

    $ 21.7      $ 21.6  
  

 

 

     

 

 

  

Total indefinite lived intangibles

    $ 21.7      $ 21.6  
  

 

 

     

 

 

  

 
Gross Carrying Amounts and Accumulated Amortization of Intangible Assets, with Finite Lives

The gross carrying amounts and accumulated amortization of intangible assets, with finite lives, as of March 31, 2017 and December 31, 2016 are as follows:

 

     March 31, 2017      December 31, 2016  
     Gross            Net      Gross            Net  
     Carrying      Accumulated     Carrying      Carrying      Accumulated     Carrying  
     Amount      Amortization     Amount      Amount      Amortization     Amount  
     (In millions)             (In millions)        

Intangible assets with finite lives:

                

Customer-related

    $ 1,285.4      $ (315.3 )    $ 970.1      $ 1,284.3      $ (293.3 )    $ 991.0  

Contractual agreements

      3.0        (2.9 )      0.1        3.0        (2.9 )      0.1  

Trademarks

      65.8        (21.1 )      44.7        69.6        (23.6 )      46.0  

Formulas/recipes

      33.7        (14.2 )      19.5        33.7        (12.8 )      20.9  

Computer software

      124.3        (61.9 )      62.4        115.7        (57.7 )      58.0  
  

 

 

     

 

 

    

 

 

     

 

 

     

 

 

    

 

 

  

Total finite lived intangibles

    $ 1,512.2      $ (415.4 )    $ 1,096.8      $ 1,506.3      $ (390.3 )    $ 1,116.0  
  

 

 

     

 

 

    

 

 

     

 

 

     

 

 

    

 

 

  

Estimated Amortization Expense on Intangible Assets

Estimated amortization expense on intangible assets for 2017 and the next four years is as follows:

 

                        
     (In millions)  

2017

    $ 111.5  

2018

    $ 105.1  

2019

    $ 103.1  

2020

    $ 100.3  

2021

    $ 90.4  

 

 
v3.7.0.1
Accounts Payable and Accrued Expenses (Tables)
 3 Months Ended
Mar. 31, 2017
Accounts Payable and Accrued Expenses

     March 31,      December 31,  
     2017      2016  
     (In millions)  

Accounts payable

    $ 416.8      $ 458.1  

Payroll and benefits

      65.7        78.5  

Interest

      7.4        24.1  

Taxes

      16.2        31.0  

Health insurance, workers’ compensation, and other insurance costs

      26.3        17.2  

Marketing expenses

      11.8        12.4  

Other accrued liabilities

      5.0        5.5  
  

 

 

     

 

 

  

Total

    $ 549.2      $ 626.8  
  

 

 

     

 

 

  

v3.7.0.1
Long-Term Debt (Tables)
 3 Months Ended
Mar. 31, 2017
Long-Term Debt

     March 31,     December 31,  
     2017     2016  
     (In millions)  

Revolving Credit Facility

    $ 148.0     $ 170.0  

Term Loan A

      284.2       288.0  

Term Loan A-1

      177.5       180.0  

Term Loan A-2

      999.4       1,005.8  

2022 Notes

      400.0       400.0  

2024 Notes

      775.0       775.0  

Tax increment financing and other debt

      4.3       5.7  
  

 

 

    

 

 

  

Total outstanding debt

      2,788.4       2,824.5  

Deferred financing costs

      (31.7 )      (33.3 ) 

Less current portion

      (79.6 )      (66.4 ) 
  

 

 

    

 

 

  

Total long-term debt

    $ 2,677.1     $ 2,724.8  
  

 

 

     

 

 

  

v3.7.0.1
Earnings Per Share (Tables)
 3 Months Ended
Mar. 31, 2017
Summary of Effect of Share-Based Compensation Awards on Weighted Average Number of Shares Outstanding Used in Calculating Diluted Earnings Per Share

The following table summarizes the effect of the share-based compensation awards on the weighted average number of shares outstanding used in calculating diluted earnings per share:

 

                                                                                         
     Three Months Ended March 31,  
     2017      2016  
     (In millions, except per share data)  

Net income (loss)

      $ 28.2      $ (3.2 ) 
  

 

 

     

 

 

  
     

Weighted average common shares outstanding

      56.9        52.7  

Assumed exercise/vesting of equity awards (1)

      0.7        —  
  

 

 

     

 

 

  

Weighted average diluted common shares outstanding

      57.6        52.7  
  

 

 

     

 

 

  
     

Net earnings (loss) per basic share

      $ 0.50      $ (0.06 ) 

Net earnings (loss) per diluted share

      $ 0.49      $ (0.06 ) 

 

(1) Incremental shares from equity awards are computed using the treasury stock method. For the three months ended March 31, 2016, weighted average common shares outstanding is the same for the computations of basic and diluted earnings per share because the Company had a net loss for the period. Equity awards, excluded from our computation of diluted earnings per share because they were anti-dilutive, were 1.6 million and 0.8 million for the three months ended March 31, 2017 and 2016, respectively.
v3.7.0.1
Stock-Based Compensation (Tables)
 3 Months Ended
Mar. 31, 2017
Summary of Stock Option Activity

The following table summarizes stock option activity during the three months ended March 31, 2017.

 

                        Weighted         
                 Weighted      Average         
                 Average      Remaining      Aggregate  
     Employee     Director     Exercise      Contractual      Intrinsic  
     Options     Options     Price      Term (yrs)      Value  
     (In thousands)                   (In millions)  

Outstanding, at December 31, 2016

      2,069       20     $ 64.77        5.8      $ 28.9  

Granted

      431       —     $ 84.56        

Forfeited

      (13 )      —     $ 87.57        

Exercised

      (128 )      (8 )    $ 49.52        

Expired

      —       —     $ —        
  

 

 

    

 

 

          

Outstanding, at March 31, 2017

      2,359       12     $ 69.12        6.6      $ 41.9  
  

 

 

    

 

 

          

Vested/expected to vest, at March 31, 2017

                  2,252               12     $         68.24                    6.4      $               41.8  
  

 

 

    

 

 

          

Exercisable, at March 31, 2017

      1,245       12     $ 53.21        4.3      $ 39.5  
  

 

 

    

 

 

          

 
Highlight of Stock Options Activity

 

     Three Months Ended
March 31,		  
     2017      2016  
     (In millions)  

Compensation expense

    $ 1.8      $ 1.6  

Intrinsic value of stock options exercised

    $ 4.5      $ 1.3  

Tax benefit recognized from stock option exercises

    $ 1.7      $ 0.4  

Summary of Restricted Stock Unit Activity

The following table summarizes the restricted stock unit activity during the three months ended March 31, 2017:

 

           Weighted             Weighted  
     Employee     Average      Director      Average  
     Restricted     Grant Date      Restricted      Grant Date  
     Stock Units     Fair Value      Stock Units      Fair Value  
     (In thousands)            (In thousands)         

Outstanding, at December 31, 2016

      516     $ 87.03        104      $ 57.78  

Granted

      239     $ 84.00        16      $ 84.66  

Vested

      (38 )    $ 80.21        —      $ —  

Forfeited

      (8 )    $ 86.98        —      $ —  
  

 

 

       

 

 

     

Outstanding, at March 31, 2017

      709     $ 86.37        120      $ 61.43  
  

 

 

       

 

 

     

Highlights of Restricted Stock Unit Activity

 

     Three Months Ended
March 31,		  
     2017      2016  
     (In millions)  

Compensation expense

    $ 4.7      $ 3.5  

Fair value of vested restricted stock units

    $ 2.9      $ 0.2  

Tax benefit recognized from vested restricted stock units

    $ 1.1      $ 0.1
Summary of Performance Unit Activity

 The following table summarizes the performance unit activity during the three months ended March 31, 2017:

 

           Weighted  
           Average  
     Performance     Grant Date  
     Units     Fair Value  
     (In thousands)        

Unvested, at December 31, 2016

      246     $ 85.16  

Granted

      115     $ 84.66  

Vested

      —     $ —  

Forfeited

      (1 )    $ 89.89  
  

 

 

    

 

 

  

Unvested, at March 31, 2017

      360     $ 84.99  
  

 

 

    

 

 

  

Highlight of Performance Unit Activity

 

     Three Months Ended
March 31,		  
     2017      2016  
     (In millions)  

Compensation expense

    $ 1.0      $ 1.1  

Fair value of vested performance units

    $ —      $ —  

Tax benefit recognized from performance units vested

    $ —      $ —  

v3.7.0.1
Accumulated Other Comprehensive Loss (Tables)
 3 Months Ended
Mar. 31, 2017
Components of Accumulated Other Comprehensive Loss Net of Tax Except for Foreign Currency Translation Adjustment

Accumulated other comprehensive loss consists of the following components, all of which are net of tax, except for the foreign currency translation adjustment:

 

           Unrecognized     Accumulated  
     Foreign     Pension and     Other  
     Currency     Postretirement     Comprehensive  
     Translation (1)     Benefits (2)     Loss  
     (In millions)  

Balance at December 31, 2016

    $ (89.4 )    $ (11.9 )    $ (101.3 ) 

Other comprehensive income

      3.6       —       3.6  

Reclassifications from accumulated other comprehensive loss

      —       0.3       0.3  
  

 

 

    

 

 

    

 

 

  

Other comprehensive income

      3.6       0.3       3.9  
  

 

 

    

 

 

    

 

 

  

Balance at March 31, 2017

    $ (85.8 )    $ (11.6 )    $ (97.4 ) 
  

 

 

    

 

 

    

 

 

  
           Unrecognized     Accumulated  
     Foreign     Pension and     Other  
     Currency     Postretirement     Comprehensive  
     Translation (1)     Benefits (2)     Loss  
     (In millions)  

Balance at December 31, 2015

    $ (100.5 )    $ (13.0 )    $ (113.5 ) 

Other comprehensive income

      24.3       —       24.3  

Reclassifications from accumulated other comprehensive loss

      —       0.3       0.3  
  

 

 

    

 

 

    

 

 

  

Other comprehensive income

      24.3       0.3       24.6  
  

 

 

    

 

 

    

 

 

  

Balance at March 31, 2016

    $ (76.2 )    $ (12.7 )    $ (88.9 ) 
  

 

 

    

 

 

    

 

 

  

 

  (1) The foreign currency translation adjustment is not net of tax, as it pertains to the Company’s permanent investment in its foreign subsidiaries.
  (2) The unrecognized pension and postretirement benefits reclassification is presented net of tax of $0.2 million and $0.1 million for the three months ended March 31, 2017 and 2016, respectively. The reclassification is included in the computation of net periodic pension and postretirement cost, which is recorded in the Cost of sales and General and administrative lines of the Condensed Consolidated Statements of Operations.
Reclassifications from Accumulated Other Comprehensive Loss

The Condensed Consolidated Statements of Operations lines impacted by reclassifications out of Accumulated other comprehensive loss are outlined below:

 

            Affected line in  
     Reclassifications from Accumulated      the Condensed Consolidated  
     Other Comprehensive Loss      Statements of Operations  
     Three Months Ended
March 31,		         
     2017      2016         
     (In millions)         

Amortization of defined benefit pension and postretirement

items:

         

Prior service costs

    $ 0.1      $ 0.1        (a)  

Unrecognized net loss

      0.4        0.3        (a)  
  

 

 

     

 

 

     

Total before tax

      0.5        0.4     

Income taxes

      0.2        0.1        Income taxes                  
  

 

 

     

 

 

     

Net of tax

    $             0.3      $             0.3     
  

 

 

     

 

 

     

 

  (a) These accumulated other comprehensive loss components are included in the computation of net periodic pension and postretirement cost, and are recorded in the Cost of sales and General and administrative lines of the Condensed Consolidated Statements of Operations.
v3.7.0.1
Employee Retirement and Postretirement Benefits (Tables)
 3 Months Ended
Mar. 31, 2017
Summary of Net Periodic Cost of Pension and Postretirement Benefit Plans

Components of net periodic pension expense are as follows:

 

                                                       
     Three Months Ended  
     March 31,  
     2017     2016  
     (In millions)  

Service cost

    $ 1.2     $ 1.0  

Interest cost

      4.0       3.0  

Expected return on plan assets

      (4.7 )      (3.2 )     

Amortization of unrecognized prior service cost

      0.1       0.1  

Amortization of unrecognized net loss

      0.4       0.3  
  

 

 

    

 

 

  

Net periodic pension cost

    $ 1.0     $ 1.2  
  

 

 

    

 

 

  

The Company does not expect to make any contributions to the pension plans in 2017.

Components of net periodic postretirement expense are as follows:

 

                                                 
     Three Months Ended  
     March 31,  
     2017      2016  
     (In millions)  

Service cost

    $ —      $ —  

Interest cost

      0.3        0.2          

Amortization of unrecognized prior service cost

      —        —  

Amortization of unrecognized net loss

      —        —  
  

 

 

     

 

 

  

Net periodic postretirement cost

    $ 0.3      $ 0.2  
  

 

 

     

 

 

  

 
v3.7.0.1
Other Operating Expense, Net (Tables)
 3 Months Ended
Mar. 31, 2017
Other Operating Expense, Net

The Company incurred other operating expense for the three months ended March 31, 2017 and 2016, which consisted of the following:

 

     Three Months Ended  
     March 31,  
     2017      2016  
     (In millions)  

Restructuring

    $ 6.8      $ 1.6  

Other

      —        0.1  
  

 

 

     

 

 

  

Total other operating expense, net

    $ 6.8      $ 1.7      
  

 

 

     

 

 

  

 
v3.7.0.1
Supplemental Cash Flow Information (Tables)
 3 Months Ended
Mar. 31, 2017
Supplemental Cash Flow Information

 

     Three Months Ended  
     March 31,  
     2017      2016  
     (In millions)  

Interest paid

    $ 43.7      $ 17.9  

Income taxes paid

    $ 6.2      $ 14.6      

Accrued purchase of property and equipment

    $ 12.3      $ 13.9  

Accrued other intangible assets

    $ 5.7      $ 1.9  
v3.7.0.1
Derivative Instruments (Tables)
 3 Months Ended
Mar. 31, 2017
Derivative, Fair Value, and Location on Condensed Consolidated Balance Sheet

The following table identifies the derivative, its fair value, and location on the Condensed Consolidated Balance Sheets:

 

          Fair Value  
    

Balance Sheet Location

    March 31, 2017     December 31, 2016  
          (In millions)  
Asset Derivatives                                 

Commodity contracts

   

Prepaid expenses and other current assets

    $                         0.7     $                         1.0  

Foreign currency contracts

   

Prepaid expenses and other current assets

      0.6       0.7  

Interest rate swap agreements

   

Prepaid expenses and other current assets

      11.4       10.4  
     

 

 

    

 

 

  
      $ 12.7     $ 12.1  
     

 

 

    

 

 

  

Liability Derivatives                    

        

Commodity contracts

   

Accounts payable and accrued expenses

    $ 1.3     $ 0.5  
     

 

 

    

 

 

  
      $ 1.3     $ 0.5  
     

 

 

    

 

 

  

 

 
Gains and Losses on Derivative Contracts

We recorded the following gains and losses on our derivative contracts in the Condensed Consolidated Statements of Operations:

 

 
          Three Months Ended  
     Location of Gain (Loss)    March 31,  
    

Recognized in Net Income (Loss)

    2017     2016  
          (In millions)  

Mark-to-market unrealized gain (loss):

        

Commodity contracts

   

Other expense, net

    $ (1.1 )    $ 0.4  

Foreign currency contracts

   

Other expense, net

      (0.1 )      (5.1 ) 

Interest rate swap agreements

   

Other expense, net

      1.0       —  
     

 

 

    

 

 

  

Total unrealized gain (loss)

         (0.2 )      (4.7 ) 

Realized gain (loss):

        

Commodity contracts

    Manufacturing related to Cost of sales and transportation related to Selling and distribution                            0.5       (1.0 ) 

Foreign currency contracts

   

Cost of sales

      0.2                             0.8  

Interest rate swap agreements

   

Interest expense

      (0.1 )      —  
     

 

 

    

 

 

  

Total realized gain (loss)

         0.6       (0.2 ) 
     

 

 

    

 

 

  

Total gain (loss)

       $ 0.4     $ (4.9 ) 
     

 

 

    

 

 

  

 
v3.7.0.1
Fair Value (Tables)
 3 Months Ended
Mar. 31, 2017
Carrying Value and Fair Value of Financial Instruments

The following table presents the carrying value and fair value of our financial instruments as of March 31, 2017 and December 31, 2016:

 

                                                                                                                                           
     March 31, 2017     December 31, 2016        
     Carrying
Value		     Fair
Value		     Carrying
Value		     Fair
Value		    

  Level  

  
     (In millions)     (In millions)        

Not recorded at fair value (liability):

           

Revolving Credit Facility

      $ (148.0 )      $ (145.9 )      $ (170.0 )      $ (167.1 )      2        

Term Loan A

      $ (284.2 )      $ (284.6 )      $ (288.0 )      $ (288.1 )      2        

Term Loan A-1

      $ (177.5 )      $ (177.8 )      $ (180.0 )      $ (180.3 )      2        

Term Loan A-2

      $ (999.4 )      $ (1,001.0 )      $ (1,005.8 )      $ (1,007.4 )      2        

2022 Notes

      $ (400.0 )      $ (411.0 )      $ (400.0 )      $ (410.0 )      2        

2024 Notes

      $ (775.0 )      $ (811.8 )      $ (775.0 )      $ (809.9 )      2        

Recorded on a recurring basis at fair

value (liability) asset:

           

Commodity contracts

      $ (0.6 )      $ (0.6 )      $ 0.5       $ 0.5       2        

Foreign currency contracts

      $ 0.6       $ 0.6       $ 0.7       $ 0.7       2        

Interest rate swap agreements

      $ 11.4       $ 11.4       $ 10.4       $ 10.4       2        

Investments

      $ 11.3       $ 11.3       $ 10.4       $ 10.4       1        

 
v3.7.0.1
Segment and Geographic Information and Major Customers (Tables)
 3 Months Ended
Mar. 31, 2017
Financial Information Relating to Reportable Segments

Financial information relating to the Company’s reportable segments is as follows:

 

                                                           
     Three Months Ended  
     March 31,  
     2017     2016  
     (In millions)  

Net sales to external customers:

     

Baked Goods

    $ 341.1     $ 219.5  

Beverages

      268.0       224.9  

Condiments

      310.1       295.6  

Meals

      324.0       272.4  

Snacks

      290.6       257.8  

Unallocated

      2.4       —  
  

 

 

    

 

 

  

Total

    $ 1,536.2     $ 1,270.2  
  

 

 

    

 

 

  

Direct operating income:

     

Baked Goods

    $ 41.9     $ 28.8  

Beverages

      58.7       57.7  

Condiments

      31.7       35.1  

Meals

      34.0       26.4  

Snacks

      12.5       9.8  
  

 

 

    

 

 

  

Total

      178.8       157.8  

Unallocated selling, general, and administrative expenses

      (80.0 )      (100.7 ) 

Unallocated cost of sales (1)

      1.5       (12.6 ) 

Unallocated corporate expense and other

      (33.0 )      (25.5 ) 
  

 

 

    

 

 

  

Operating income

      67.3       19.0  

Other expense

      (27.6 )      (23.8 ) 
  

 

 

    

 

 

  

Income (loss) before income taxes

    $ 39.7     $ (4.8 ) 
  

 

 

    

 

 

  

 

  (1) Includes charges related to restructurings and other costs managed at corporate.
Net Sales by Major Products

Product Information — The following table presents the Company’s net sales by major products for the three months ended March 31, 2017 and 2016. In the first quarter of 2017, the Company changed the product categories to align with the changes in organizational structure described above. All prior period information has been recast to reflect this change.

 

     Three Months Ended  
     March 31,  
             2017                        2016          
     (In millions)  

Products:

        

Dressings and sauces

    $ 237.3        $ 221.3  

Cereals and other meals

      190.4          169.9  

Snack nuts

      187.7          142.3  

Beverages

      183.1          144.1  

Retail bakery

      182.6          113.3  

Baked products

      158.5          106.2  

Pasta and dry dinners

      133.6          102.5  

Trail mix and bars

      105.3          115.5  

Beverage enhancers

      84.9          80.8  

Pickles

      72.8          74.3  
  

 

 

       

 

 

  

Total net sales

    $ 1,536.2        $ 1,270.2  
  

 

 

       

 

 

  

 

 
v3.7.0.1
GUARANTOR AND NON-GUARANTOR FINANCIAL INFORMATION (Tables)
 3 Months Ended
Mar. 31, 2017
Condensed Supplemental Consolidating Balance Sheet

Condensed Supplemental Consolidating Balance Sheet

March 31, 2017

(In millions)

 

                                                                                                                            
     Parent      Guarantor     Non-Guarantor              
     Company      Subsidiaries     Subsidiaries     Eliminations     Consolidated  

Assets

            

Current assets:

            

Cash and cash equivalents

    $ —      $ 0.8     $ 66.4     $ —     $ 67.2  

Investments

      —        —       11.3       —       11.3  

Accounts receivable, net

      0.3        332.9       51.1       —       384.3  

Inventories, net

      —        880.7       108.8       —       989.5  

Assets held for sale

      —        3.6       —       —       3.6  

Prepaid expenses and other current assets

      33.6        16.3       18.1       —       68.0  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Total current assets

      33.9        1,234.3       255.7       —       1,523.9  

Property, plant, and equipment, net

      30.4        1,161.2       146.7       —       1,338.3  

Goodwill

      —        2,333.7       117.4       —       2,451.1  

Investment in subsidiaries

      5,100.3        527.7       —       (5,628.0 )      —  

Intercompany accounts receivable (payable), net

      126.1        (121.2 )      (4.9 )      —       —  

Deferred income taxes

      22.1        —       —       (22.1 )      —  

Intangible and other assets, net

      59.4        997.7       104.6       —       1,161.7  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Total assets

    $ 5,372.2      $ 6,133.4     $ 619.5     $ (5,650.1 )    $ 6,475.0  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Liabilities and Stockholders’ Equity

            

Current liabilities:

            

Accounts payable and accrued expenses

    $ 59.6      $ 429.0     $ 60.6     $ —     $ 549.2  

Current portion of long-term debt

      77.5        2.0       0.1       —       79.6  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Total current liabilities

      137.1        431.0       60.7       —       628.8  

Long-term debt

      2,674.9        2.0       0.2       —       2,677.1  

Deferred income taxes

      —        398.9       26.2       (22.1 )      403.0  

Other long-term liabilities

      11.6        201.2       4.7       —       217.5  

Stockholders’ equity

      2,548.6        5,100.3       527.7       (5,628.0 )      2,548.6  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Total liabilities and stockholders’ equity

    $ 5,372.2      $ 6,133.4     $ 619.5     $ (5,650.1 )    $ 6,475.0  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

 

Condensed Supplemental Consolidating Balance Sheet

December 31, 2016

(In millions)

 

                                                                                                                            
     Parent      Guarantor     Non-Guarantor              
     Company      Subsidiaries     Subsidiaries     Eliminations     Consolidated  

Assets

            

Current assets:

            

Cash and cash equivalents

    $ —      $ 0.2     $ 61.9     $ —     $ 62.1  

Investments

      —        —       10.4       —       10.4  

Accounts receivable, net

      —        372.9       56.1       —       429.0  

Inventories, net

      —        869.6       108.4       —       978.0  

Assets held for sale

      —        3.6       —       —       3.6  

Prepaid expenses and other current assets

      23.6        36.7       17.3       —       77.6  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Total current assets

      23.6        1,283.0       254.1       —       1,560.7  

Property, plant, and equipment, net

      31.3        1,181.0       147.0       —       1,359.3  

Goodwill

      —        2,330.8       116.4       —       2,447.2  

Investment in subsidiaries

      5,031.5        519.4       —       (5,550.9 )      —  

Intercompany accounts receivable (payable), net

      199.6        (196.9 )      (2.7 )      —       —  

Deferred income taxes

      20.7        —       —       (20.7 )      —  

Intangible and other assets, net

      53.9        1,018.0       106.7       —       1,178.6  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Total assets

    $ 5,360.6      $ 6,135.3     $ 621.5     $ (5,571.6 )    $ 6,545.8  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Liabilities and Stockholders’ Equity

            

Current liabilities:

            

Accounts payable and accrued expenses

    $ 61.3      $ 493.1     $ 72.4     $ —     $ 626.8  

Current portion of long-term debt

      63.1        3.2       0.1       —       66.4  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Total current liabilities

      124.4        496.3       72.5       —       693.2  

Long-term debt

      2,722.3        2.2       0.3       —       2,724.8  

Deferred income taxes

      —        418.3       24.6       (20.7 )      422.2  

Other long-term liabilities

      10.6        187.0       4.7       —       202.3  

Stockholders’ equity

      2,503.3        5,031.5       519.4       (5,550.9 )      2,503.3  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

Total liabilities and stockholders’ equity

    $ 5,360.6      $ 6,135.3     $ 621.5     $ (5,571.6 )    $ 6,545.8  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

  

 

 
Condensed Supplemental Consolidating Statement of Operations

Condensed Supplemental Consolidating Statement of Operations

Three Months Ended March 31, 2017

(In millions)

 

                                                                                                                            
     Parent     Guarantor     Non-Guarantor              
     Company     Subsidiaries     Subsidiaries     Eliminations     Consolidated  

Net sales

    $ —     $ 1,455.4     $ 164.0     $ (83.2 )    $ 1,536.2  

Cost of sales

      —       1,188.4       144.6       (83.2 )      1,249.8  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Gross profit

      —       267.0       19.4       —       286.4  

Selling, general, and administrative expense

      27.5       146.6       9.6       —       183.7  

Amortization expense

      2.9       23.4       2.3       —       28.6  

Other operating expense, net

      —       6.6       0.2       —       6.8  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Operating (loss) income

      (30.4 )      90.4       7.3       —       67.3  

Interest expense

      31.2       0.2       1.2       (2.9 )      29.7  

Interest income

      (2.2 )      (2.9 )      (0.6 )      2.9       (2.8 ) 

Other expense (income), net

      0.1       —       0.6       —       0.7  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

(Loss) income before income taxes

      (59.5 )      93.1       6.1       —       39.7  

Income taxes (benefit)

      (22.8 )      33.4       0.9       —       11.5  

Equity in net income (loss) of subsidiaries

      64.9       5.2       —       (70.1 )      —  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net income (loss)

    $ 28.2     $ 64.9     $ 5.2     $ (70.1 )    $ 28.2  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Condensed Supplemental Consolidating Statement of Operations

Three Months Ended March 31, 2016

(In millions)

 

                                                                                                                            
     Parent     Guarantor     Non-Guarantor              
     Company     Subsidiaries     Subsidiaries     Eliminations     Consolidated  

Net sales

    $ —     $ 1,204.8     $ 133.8     $ (68.4 )    $ 1,270.2  

Cost of sales

      —       997.1       116.9       (68.4 )      1,045.6  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Gross profit

      —       207.7       16.9       —       224.6  

Selling, general, and administrative expense

      53.7       116.4       10.0       —       180.1  

Amortization expense

      2.2       19.4       2.2       —       23.8  

Other operating expense, net

      —       1.3       0.4       —       1.7  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Operating (loss) income

      (55.9 )      70.6       4.3       —       19.0  

Interest expense

      25.4       (0.1 )      1.5       (1.1 )      25.7  

Interest income

      (2.2 )      (1.3 )      (0.4 )      1.1       (2.8 ) 

Other expense (income), net

      —       (4.7 )      5.6       —       0.9  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

(Loss) income before income taxes

      (79.1 )      76.7       (2.4 )      —       (4.8 ) 

Income taxes (benefit)

      (30.0 )      30.0       (1.6 )      —       (1.6 ) 

Equity in net income (loss) of subsidiaries

      45.9       (0.8 )      —       (45.1 )      —  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net (loss) income

    $ (3.2 )    $ 45.9     $ (0.8 )    $ (45.1 )    $ (3.2 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

 
Condensed Supplemental Consolidating Statement of Comprehensive Income (Loss)

Condensed Supplemental Consolidating Statement of Comprehensive Income (Loss)

Three Months Ended March 31, 2017

(In millions)

 

                                                                                                                            
     Parent      Guarantor      Non-Guarantor               
     Company      Subsidiaries      Subsidiaries      Eliminations     Consolidated  

Net income (loss)

    $ 28.2      $ 64.9      $ 5.2      $ (70.1 )    $ 28.2  

Other comprehensive income:

              

Foreign currency translation adjustments

      —        —        3.6        —       3.6  

Pension and postretirement reclassification

adjustment, net of tax

      —        0.3        —        —       0.3  
  

 

 

     

 

 

     

 

 

     

 

 

    

 

 

  

Other comprehensive income

      —        0.3        3.6        —       3.9  

Equity in other comprehensive income (loss) of

subsidiaries

      3.9        3.6        —        (7.5 )      —  
  

 

 

     

 

 

     

 

 

     

 

 

    

 

 

  

Comprehensive income (loss)

    $ 32.1      $ 68.8      $ 8.8      $ (77.6 )    $ 32.1  
  

 

 

     

 

 

     

 

 

     

 

 

    

 

 

  

Condensed Supplemental Consolidating Statement of Comprehensive Income (Loss)

Three Months Ended March 31, 2016

(In millions)

 

                                                                                                                            
     Parent     Guarantor      Non-Guarantor              
     Company     Subsidiaries      Subsidiaries     Eliminations     Consolidated  

Net (loss) income

    $ (3.2 )    $ 45.9      $ (0.8 )    $ (45.1 )    $ (3.2 ) 

Other comprehensive income:

            

Foreign currency translation adjustments

      —       —        24.3       —       24.3  

Pension and postretirement reclassification

adjustment, net of tax

      —       0.3        —       —       0.3  
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

  

Other comprehensive income

      —       0.3        24.3       —       24.6  

Equity in other comprehensive income (loss) of

subsidiaries

      24.6       24.3        —       (48.9 )      —  
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

  

Comprehensive income (loss)

    $ 21.4     $ 70.5      $ 23.5     $ (94.0 )    $ 21.4  
  

 

 

    

 

 

     

 

 

    

 

 

    

 

 

  

 

 
Condensed Supplemental Consolidating Statement of Cash Flows

Condensed Supplemental Consolidating Statement of Cash Flows

Three Months Ended March 31, 2017

(In millions)

 

                                                                                                                            
     Parent     Guarantor    

Non-

Guarantor

              
     Company     Subsidiaries     Subsidiaries     Eliminations     Consolidated  

Cash flows from operating activities:

           

Net cash provided by (used in) operating activities

    $ 44.6     $ 97.7     $ 5.5     $ (69.3 )    $ 78.5  

Cash flows from investing activities:

           

Additions to property, plant, and equipment

      (1.1 )      (30.5 )      (3.1 )      —       (34.7 ) 

Additions to intangible assets

      (8.2 )      (0.5 )      —       —       (8.7 ) 

Intercompany transfer

      (34.1 )      (31.0 )      —       65.1       —  

Proceeds from sale of fixed assets

      —       0.2       —       —       0.2  

Other

      —       —       (0.3 )      —       (0.3 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net cash (used in) provided by investing activities

      (43.4 )      (61.8 )      (3.4 )      65.1       (43.5 ) 

Cash flows from financing activities:

           

Net borrowing (repayment) of debt

      (34.7 )      (1.4 )      —       —       (36.1 ) 

Intercompany transfer

      27.7       (33.9 )      2.0       4.2       —  

Receipts related to stock-based award activities

      6.7       —       —       —       6.7  

Payments related to stock-based award activities

      (0.9 )      —       —       —       (0.9 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net cash provided by (used in) financing activities

      (1.2 )      (35.3 )      2.0       4.2       (30.3 ) 

Effect of exchange rate changes on cash and cash

equivalents

      —       —       0.4       —       0.4  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

(Decrease) increase in cash and cash equivalents

      —       0.6       4.5       —       5.1  

Cash and cash equivalents, beginning of period

      —       0.2       61.9       —       62.1  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Cash and cash equivalents, end of period

    $ —     $ 0.8     $ 66.4     $ —     $ 67.2  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

Condensed Supplemental Consolidating Statement of Cash Flows

Three Months Ended March 31, 2016

(In millions)

 

                                                                                                                            
     Parent     Guarantor    

Non-

Guarantor

              
     Company     Subsidiaries     Subsidiaries     Eliminations     Consolidated  

Cash flows from operating activities:

           

Net cash provided by (used in) operating activities

    $ 3.0     $ 153.0     $ (19.1 )    $ (26.0 )    $ 110.9  

Cash flows from investing activities:

           

Additions to property, plant, and equipment

      (0.1 )      (23.7 )      (1.1 )      —       (24.9 ) 

Additions to intangible assets

      (2.0 )      —       —       —       (2.0 ) 

Intercompany transfer

      93.8       2.8       —       (96.6 )      —  

Acquisitions, less cash acquired

      (2,683.5 )      0.3       43.0       —       (2,640.2 ) 

Proceeds from sale of fixed assets

      —       0.1       —       —       0.1  

Other

      —       —       (0.3 )      —       (0.3 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net cash (used in) provided by investing activities

      (2,591.8 )      (20.5 )      41.6       (96.6 )      (2,667.3 ) 

Cash flows from financing activities:

           

Net borrowing (repayment) of debt

      1,777.6       (0.8 )      —       —       1,776.8  

Payment of deferred financing costs

      (34.3 )      —       —       —       (34.3 ) 

Intercompany transfer

      (1.8 )      (130.2 )      9.4       122.6       —  

Net proceeds from issuance of common stock

      835.1       —       —       —       835.1  

Receipts related to stock-based award activities

      1.9       —       —       —       1.9  

Payments related to stock-based award activities

      (0.1 )      —       —       —       (0.1 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net cash provided by (used in) financing activities

      2,578.4       (131.0 )      9.4       122.6       2,579.4  

Effect of exchange rate changes on cash and cash

equivalents

      —       —       3.2       —       3.2  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

(Decrease) increase in cash and cash equivalents

      (10.4 )      1.5       35.1       —       26.2  

Cash and cash equivalents, beginning of period

      10.4       0.1       24.4       —       34.9  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Cash and cash equivalents, end of period

    $ —     $ 1.6     $ 59.5     $ —     $ 61.1  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 
v3.7.0.1
Basis of Presentation - Additional Information (Detail) - USD ($)
$ in Millions
 3 Months Ended
Jan. 01, 2016
Mar. 31, 2017
Mar. 31, 2016
Basis of Presentation [Line Items]      
Income tax benefit on recast to reflect the adoption of the ASU   $ 11.5 $ (1.6)
Accounting Standards Update 2016-09 | Restatement Adjustment      
Basis of Presentation [Line Items]      
Income tax benefit on recast to reflect the adoption of the ASU $ (0.2)    
Excess tax benefits retrospectively reclassified from financing to operating activities (0.2)    
Excess tax benefits retrospectively reclassified from financing to operating activities $ 0.2    
v3.7.0.1
Schedule of Facility Closures (Detail)
$ in Millions
 3 Months Ended
Mar. 31, 2017
USD ($)
Restructuring Cost and Reserve [Line Items]  
Total Costs to Close $ 48.7
Restructuring Plan, One  
Restructuring Cost and Reserve [Line Items]  
Facility Location City of Industry, California
Date of Closure Announcement Nov. 18, 2015
End of Production First quarter of 2016
Full Facility Closure Third quarter of 2016
Primary Products Produced Liquid non-dairy creamer and refrigerated salad dressings
Primary Segment(s) Affected Beverages, Condiments
Total Costs to Close $ 6.9
Restructuring Plan, Two  
Restructuring Cost and Reserve [Line Items]  
Facility Location Ayer, Massachusetts
Date of Closure Announcement Apr. 05, 2016
End of Production First quarter of 2017
Full Facility Closure Third quarter of 2017
Primary Products Produced Spoonable dressings
Primary Segment(s) Affected Condiments
Total Costs to Close $ 8.2
Restructuring Plan, Three  
Restructuring Cost and Reserve [Line Items]  
Facility Location Azusa, California
Date of Closure Announcement May 24, 2016
End of Production First quarter of 2017
Full Facility Closure Third quarter of 2017
Primary Products Produced Bars and snack products
Primary Segment(s) Affected Snacks
Total Costs to Close $ 15.5
Restructuring Plan, Four  
Restructuring Cost and Reserve [Line Items]  
Facility Location Ripon, Wisconsin
Date of Closure Announcement May 24, 2016
End of Production Fourth quarter of 2016
Full Facility Closure Fourth quarter of 2016
Primary Products Produced Sugar wafer cookies
Primary Segment(s) Affected Baked Goods
Total Costs to Close $ 2.5
Restructuring Plan, Five  
Restructuring Cost and Reserve [Line Items]  
Facility Location Delta, British Columbia
Date of Closure Announcement Nov. 03, 2016
End of Production Fourth quarter of 2017
Full Facility Closure First quarter of 2018
Primary Products Produced Frozen griddle products
Primary Segment(s) Affected Baked Goods
Total Costs to Close $ 5.2
Restructuring Plan, Six  
Restructuring Cost and Reserve [Line Items]  
Facility Location Battle Creek, Michigan
Date of Closure Announcement Nov. 03, 2016
End of Production - [1]
Full Facility Closure - [1]
Primary Products Produced Ready-to-eat cereal
Primary Segment(s) Affected Meals
Total Costs to Close $ 10.4
Expected payment in cash | Restructuring Plan, One  
Restructuring Cost and Reserve [Line Items]  
Total Costs to Close 3.8
Expected payment in cash | Restructuring Plan, Two  
Restructuring Cost and Reserve [Line Items]  
Total Costs to Close 5.5
Expected payment in cash | Restructuring Plan, Three  
Restructuring Cost and Reserve [Line Items]  
Total Costs to Close 12.2
Expected payment in cash | Restructuring Plan, Four  
Restructuring Cost and Reserve [Line Items]  
Total Costs to Close 1.4
Expected payment in cash | Restructuring Plan, Five  
Restructuring Cost and Reserve [Line Items]  
Total Costs to Close 3.7
Expected payment in cash | Restructuring Plan, Six  
Restructuring Cost and Reserve [Line Items]  
Total Costs to Close $ 2.8
[1] The downsizing of this facility began in January 2017 and is expected to last approximately 15 months.
v3.7.0.1
Schedule of Facility Closures (Parenthetical) (Detail) - Restructuring Plan, Six
 3 Months Ended
Mar. 31, 2017
Restructuring Cost and Reserve [Line Items]  
Initiation month year 2017-01
Restructuring period 15 months
v3.7.0.1
Restructuring - Additional Information (Detail)
$ in Millions
 3 Months Ended
Mar. 31, 2017
USD ($)
City of Industry, California  
Restructuring Cost and Reserve [Line Items]  
Plant closure, (reduction)increase in expected costs $ 4.9
Ripon, Wisconsin  
Restructuring Cost and Reserve [Line Items]  
Plant closure, (reduction)increase in expected costs 0.4
Ayer, Massachusetts Facility  
Restructuring Cost and Reserve [Line Items]  
Plant closure, (reduction)increase in expected costs 1.7
Azusa, California  
Restructuring Cost and Reserve [Line Items]  
Plant closure, (reduction)increase in expected costs 0.6
Battle Creek, Michigan  
Restructuring Cost and Reserve [Line Items]  
Plant closure, (reduction)increase in expected costs $ 0.9
v3.7.0.1
Aggregate Expenses Incurred Associated with Facility Closure (Detail) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Restructuring Cost and Reserve [Line Items]    
Restructuring charges $ 9.4 $ 1.5
Cumulative costs to date 31.4  
Total expected costs 48.7  
Asset Related Costs    
Restructuring Cost and Reserve [Line Items]    
Restructuring charges 4.4 0.8
Cumulative costs to date 14.6  
Total expected costs 19.3  
Employee Related Costs    
Restructuring Cost and Reserve [Line Items]    
Restructuring charges 2.5 0.6
Cumulative costs to date 9.8  
Total expected costs 13.6  
Other closure costs    
Restructuring Cost and Reserve [Line Items]    
Restructuring charges 2.5 $ 0.1
Cumulative costs to date 7.0  
Total expected costs $ 15.8  
v3.7.0.1
Reconciliation of Liabilities (Detail) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Restructuring Cost and Reserve [Line Items]    
Expense $ 9.4 $ 1.5
Severance    
Restructuring Cost and Reserve [Line Items]    
Balance as of December 31, 2016 3.5  
Payments (1.3)  
Balance as of March 31, 2017 4.5  
Severance | Member Units    
Restructuring Cost and Reserve [Line Items]    
Expense 2.3  
Multi-employer Pension Plan Withdrawal    
Restructuring Cost and Reserve [Line Items]    
Balance as of December 31, 2016 0.8  
Balance as of March 31, 2017 0.8  
Employee Related Costs    
Restructuring Cost and Reserve [Line Items]    
Balance as of December 31, 2016 4.3  
Expense 2.5 $ 0.6
Payments (1.3)  
Balance as of March 31, 2017 5.3  
Employee Related Costs | Member Units    
Restructuring Cost and Reserve [Line Items]    
Expense $ 2.3  
v3.7.0.1
Acquisitions - Additional Information (Detail) - USD ($)
 2 Months Ended 3 Months Ended
Feb. 01, 2016
Mar. 31, 2016
Mar. 31, 2017
Mar. 31, 2016
Dec. 31, 2016
Business Acquisition [Line Items]          
Business acquisition, cost of acquired entity, purchase price, net of cash       $ 2,640,200,000  
Net proceeds from issuance of stock       835,100,000  
Proceeds from issuance of 2024 Notes       775,000,000  
Proceeds from issuance of term loans A-2       1,025,000,000  
Cost of sales     $ 1,249,800,000 1,045,600,000  
Goodwill     2,451,100,000   $ 2,447,200,000
Purchase price adjustments     3,000,000    
Baked Goods          
Business Acquisition [Line Items]          
Goodwill     555,600,000   554,200,000
Purchase price adjustments     1,400,000    
Condiments          
Business Acquisition [Line Items]          
Goodwill     433,800,000   433,100,000
Purchase price adjustments     200,000    
Meals          
Business Acquisition [Line Items]          
Goodwill     471,700,000   470,600,000
Purchase price adjustments     1,100,000    
Snacks          
Business Acquisition [Line Items]          
Goodwill     276,400,000   $ 276,100,000
Purchase price adjustments     300,000    
Private brands business of ConAgra Foods          
Business Acquisition [Line Items]          
Business acquisition, cost of acquired entity, purchase price, net of cash $ 2,644,400,000        
Net proceeds from issuance of stock 835,100,000        
Proceeds from issuance of 2024 Notes 760,700,000        
Proceeds from issuance of term loans A-2 1,025,000,000        
Revolving credit facility - maximum borrowing capacity 900,000,000        
Net sales   $ 506,400,000      
Income before income taxes   12,200,000      
Integration costs   $ 5,800,000      
Indemnification assets 13,800,000        
Business acquisition related costs     0 35,200,000  
Goodwill 1,141,200,000        
Purchase price adjustments     $ 3,000,000    
Private brands business of ConAgra Foods | Fair Value Adjustment to Inventory          
Business Acquisition [Line Items]          
Cost of sales 8,400,000     $ 8,200,000  
Private brands business of ConAgra Foods | Baked Goods          
Business Acquisition [Line Items]          
Goodwill 555,000,000        
Private brands business of ConAgra Foods | Condiments          
Business Acquisition [Line Items]          
Goodwill 73,300,000        
Private brands business of ConAgra Foods | Meals          
Business Acquisition [Line Items]          
Goodwill 413,800,000        
Private brands business of ConAgra Foods | Snacks          
Business Acquisition [Line Items]          
Goodwill 97,900,000        
Private brands business of ConAgra Foods | Customer relationships          
Business Acquisition [Line Items]          
Intangible asset 510,900,000        
Private brands business of ConAgra Foods | Customer relationships | Retail Grocery Customers          
Business Acquisition [Line Items]          
Intangible asset $ 496,100,000        
Finite-lived intangible assets, useful life 13 years        
Private brands business of ConAgra Foods | Customer relationships | Food Away From Home Customers          
Business Acquisition [Line Items]          
Intangible asset $ 14,800,000        
Finite-lived intangible assets, useful life 10 years        
Private brands business of ConAgra Foods | Trade names          
Business Acquisition [Line Items]          
Intangible asset $ 33,000,000        
Finite-lived intangible assets, useful life 10 years        
Private brands business of ConAgra Foods | Formulas/recipes          
Business Acquisition [Line Items]          
Intangible asset $ 23,200,000        
Finite-lived intangible assets, useful life 5 years        
Private brands business of ConAgra Foods | Computer software          
Business Acquisition [Line Items]          
Intangible asset $ 19,600,000        
Private brands business of ConAgra Foods | Computer software | Minimum          
Business Acquisition [Line Items]          
Finite-lived intangible assets, useful life 1 year        
Private brands business of ConAgra Foods | Computer software | Maximum          
Business Acquisition [Line Items]          
Finite-lived intangible assets, useful life 5 years        
v3.7.0.1
Purchase Price Allocation to Net Tangible and Intangible Assets Acquired and Liabilities Assumed (Detail) - USD ($)
$ in Millions
Mar. 31, 2017
Dec. 31, 2016
Feb. 01, 2016
Business Acquisition [Line Items]      
Goodwill $ 2,451.1 $ 2,447.2  
Private brands business of ConAgra Foods      
Business Acquisition [Line Items]      
Cash     $ 43.3
Receivables     162.7
Inventory     443.7
Property, plant, and equipment     809.6
Other assets     50.2
Goodwill     1,141.2
Assets acquired     3,237.4
Deferred taxes     (152.8)
Assumed current liabilities     (246.6)
Assumed long-term liabilities     (150.3)
Total purchase price     2,687.7
Private brands business of ConAgra Foods | Customer relationships      
Business Acquisition [Line Items]      
Intangible asset     510.9
Private brands business of ConAgra Foods | Trade names      
Business Acquisition [Line Items]      
Intangible asset     33.0
Private brands business of ConAgra Foods | Computer software      
Business Acquisition [Line Items]      
Intangible asset     19.6
Private brands business of ConAgra Foods | Formulas/recipes      
Business Acquisition [Line Items]      
Intangible asset     $ 23.2
v3.7.0.1
Business Acquisition Pro Forma Information (Detail) - Private brands business of ConAgra Foods
$ / shares in Units, $ in Millions
 3 Months Ended
Mar. 31, 2016
USD ($)
$ / shares
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items]  
Pro forma net sales | $ $ 1,594.1
Pro forma net income | $ $ 18.6
Pro forma basic earnings per common share | $ / shares $ 0.33
Pro forma diluted earnings per common share | $ / shares $ 0.32
v3.7.0.1
Investments (Detail) - USD ($)
$ in Millions
Mar. 31, 2017
Dec. 31, 2016
Investment [Line Items]    
Total investments $ 11.3 $ 10.4
Equity | United States    
Investment [Line Items]    
Total investments 8.3 7.6
Equity | Non-U.S.    
Investment [Line Items]    
Total investments 1.9 1.8
Fixed Income    
Investment [Line Items]    
Total investments $ 1.1 $ 1.0
v3.7.0.1
Inventories (Detail) - USD ($)
$ in Millions
Mar. 31, 2017
Dec. 31, 2016
Inventory [Line Items]    
Raw materials and supplies $ 427.9 $ 429.4
Finished goods 585.6 571.9
LIFO reserve (24.0) (23.3)
Total inventories $ 989.5 $ 978.0
v3.7.0.1
Inventories - Additional Information (Detail) - USD ($)
$ in Millions
Mar. 31, 2017
Dec. 31, 2016
Inventory [Line Items]    
LIFO inventory $ 81.5 $ 105.9
Inventory accounted for under the weighted average cost method $ 120.4 $ 116.2
v3.7.0.1
Property, Plant, and Equipment (Detail) - USD ($)
$ in Millions
Mar. 31, 2017
Dec. 31, 2016
Property, Plant and Equipment [Line Items]    
Land $ 71.5 $ 71.2
Buildings and improvements 473.7 465.3
Machinery and equipment 1,357.0 1,324.5
Construction in progress 57.0 85.0
Total 1,959.2 1,946.0
Less accumulated depreciation (620.9) (586.7)
Property, plant, and equipment, net $ 1,338.3 $ 1,359.3
v3.7.0.1
Property, Plant, and Equipment - Additional Information (Detail) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Property, Plant and Equipment [Line Items]    
Depreciation expense $ 43.8 $ 35.6
v3.7.0.1
Goodwill and Intangible Assets - Additional Information (Detail)
$ in Millions
 3 Months Ended
Mar. 31, 2017
USD ($)
Segment
Mar. 31, 2016
USD ($)
Dec. 31, 2016
USD ($)
Goodwill And Intangible Assets [Line Items]      
Number of operating segments | Segment 5    
Total intangible assets, excluding goodwill $ 1,118.5   $ 1,137.6
Amortization expense on intangible assets $ 28.6 $ 23.8  
v3.7.0.1
Changes in Carrying Amount of Goodwill (Detail)
$ in Millions
 3 Months Ended
Mar. 31, 2017
USD ($)
Goodwill [Line Items]  
Beginning Balance $ 2,447.2
Purchase price adjustments 3.0
Foreign currency exchange adjustments 0.9
Ending Balance 2,451.1
Baked Goods  
Goodwill [Line Items]  
Beginning Balance 554.2
Purchase price adjustments 1.4
Ending Balance 555.6
Beverages  
Goodwill [Line Items]  
Beginning Balance 713.2
Foreign currency exchange adjustments 0.4
Ending Balance 713.6
Condiments  
Goodwill [Line Items]  
Beginning Balance 433.1
Purchase price adjustments 0.2
Foreign currency exchange adjustments 0.5
Ending Balance 433.8
Meals  
Goodwill [Line Items]  
Beginning Balance 470.6
Purchase price adjustments 1.1
Ending Balance 471.7
Snacks  
Goodwill [Line Items]  
Beginning Balance 276.1
Purchase price adjustments 0.3
Ending Balance $ 276.4
v3.7.0.1
Carrying Amounts of Intangible Assets with Indefinite Lives Other Than Goodwill (Detail) - USD ($)
$ in Millions
Mar. 31, 2017
Dec. 31, 2016
Indefinite-lived Intangible Assets [Line Items]    
Indefinite lived intangibles $ 21.7 $ 21.6
Trademarks    
Indefinite-lived Intangible Assets [Line Items]    
Indefinite lived intangibles $ 21.7 $ 21.6
v3.7.0.1
Gross Carrying Amounts and Accumulated Amortization of Intangible Assets, with Finite Lives (Detail) - USD ($)
$ in Millions
Mar. 31, 2017
Dec. 31, 2016
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount $ 1,512.2 $ 1,506.3
Accumulated Amortization (415.4) (390.3)
Net Carrying Amount 1,096.8 1,116.0
Customer-related Intangible Assets    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 1,285.4 1,284.3
Accumulated Amortization (315.3) (293.3)
Net Carrying Amount 970.1 991.0
Contractual agreements    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 3.0 3.0
Accumulated Amortization (2.9) (2.9)
Net Carrying Amount 0.1 0.1
Trademarks    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 65.8 69.6
Accumulated Amortization (21.1) (23.6)
Net Carrying Amount 44.7 46.0
Formulas/recipes    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 33.7 33.7
Accumulated Amortization (14.2) (12.8)
Net Carrying Amount 19.5 20.9
Computer software    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Amount 124.3 115.7
Accumulated Amortization (61.9) (57.7)
Net Carrying Amount $ 62.4 $ 58.0
v3.7.0.1
Estimated Amortization Expense on Intangible Assets (Detail)
$ in Millions
Mar. 31, 2017
USD ($)
Finite-Lived Intangible Assets [Line Items]  
2017 $ 111.5
2018 105.1
2019 103.1
2020 100.3
2021 $ 90.4
v3.7.0.1
Accounts Payable and Accrued Expenses (Detail) - USD ($)
$ in Millions
Mar. 31, 2017
Dec. 31, 2016
Accounts Payable and Accrued Liabilities [Line Items]    
Accounts payable $ 416.8 $ 458.1
Payroll and benefits 65.7 78.5
Interest 7.4 24.1
Taxes 16.2 31.0
Health insurance, workers' compensation, and other insurance costs 26.3 17.2
Marketing expenses 11.8 12.4
Other accrued liabilities 5.0 5.5
Total $ 549.2 $ 626.8
v3.7.0.1
Income Taxes - Additional Information (Detail) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Income Taxes [Line Items]    
Effective income tax rate 29.00% 33.30%
Effective income tax rate discrete benefit attributable to vesting and exercise of share based awards 2.10%  
Decrease in total amount of unrecognized tax benefits within the next 12 months $ 5.8  
Decrease in unrecognized tax benefits is reasonably possible $ 3.3  
v3.7.0.1
Long-Term Debt (Detail) - USD ($)
$ in Millions
Mar. 31, 2017
Dec. 31, 2016
Debt Instrument [Line Items]    
Tax increment financing and other debt $ 4.3 $ 5.7
Total outstanding debt 2,788.4 2,824.5
Deferred financing costs (31.7) (33.3)
Less current portion (79.6) (66.4)
Total long-term debt 2,677.1 2,724.8
Revolving Credit Facility    
Debt Instrument [Line Items]    
Revolving credit facility 148.0 170.0
Term Loan A    
Debt Instrument [Line Items]    
Term Loan 284.2 288.0
Term Loan A-1    
Debt Instrument [Line Items]    
Term Loan 177.5 180.0
Term Loan A 2    
Debt Instrument [Line Items]    
Term Loan 999.4 1,005.8
2022 Notes    
Debt Instrument [Line Items]    
Senior notes 400.0 400.0
2024 Notes    
Debt Instrument [Line Items]    
Senior notes $ 775.0 $ 775.0
v3.7.0.1
Long-Term Debt - Additional Information (Detail) - USD ($)
 3 Months Ended
Feb. 01, 2016
Mar. 31, 2017
Jun. 30, 2016
Debt Instrument [Line Items]      
Fees related to amended and restated credit agreement   $ 20,300,000  
Average interest rate on debt outstanding   2.79%  
Credit agreement interest rate including effect of interest rate swaps   2.80%  
Interest rate swap      
Debt Instrument [Line Items]      
Weighted average fixed interest rate   0.86% 0.86%
Derivative notional amount   $ 500,000,000 $ 500,000,000
Term Loan A 2      
Debt Instrument [Line Items]      
Debt instrument, leverage ratio 350.00%    
Term loan maturity date Feb. 01, 2021    
Revolving Credit Facility      
Debt Instrument [Line Items]      
Revolving credit facility maturity date Feb. 01, 2021    
Term Loan A      
Debt Instrument [Line Items]      
Term loan maturity date Feb. 01, 2021    
Term Loan A-1      
Debt Instrument [Line Items]      
Term loan maturity date Feb. 01, 2021    
v3.7.0.1
Long-Term Debt - Additional Information - Revolving Credit Facility (Detail) - USD ($)
 3 Months Ended
Feb. 01, 2016
Mar. 31, 2017
Direct And Indirect Guarantor Subsidiaries    
Debt Instrument [Line Items]    
Ownership percentage of direct and indirect guarantor subsidiary   100.00%
Revolving Credit Facility    
Debt Instrument [Line Items]    
Revolving credit facility available   $ 702,700,000
Revolving credit facility - maximum borrowing capacity $ 900,000,000  
Letters of credit facility issued but undrawn   $ 49,300,000
Revolving credit availability reduced by undrawn letters of credit   There were $49.3 million in letters of credit under the Revolving Credit Facility that were issued but undrawn, which have been included as a reduction to the calculation of available credit.
Minimum payment default amount that triggers a Cross default provision $ 75,000,000  
Revolving Credit Facility | Prior Credit Agreement    
Debt Instrument [Line Items]    
Term loan maturity date May 06, 2019  
Revolving Credit Facility | London Interbank Offered Rate (LIBOR)    
Debt Instrument [Line Items]    
Description of interest rate options   The interest rates under the Amended and Restated Credit Agreement are based on the Company's consolidated leverage ratio
Revolving Credit Facility | London Interbank Offered Rate (LIBOR) | Minimum    
Debt Instrument [Line Items]    
Debt instrument, basis spread on variable rate 1.25%  
Revolving Credit Facility | London Interbank Offered Rate (LIBOR) | Maximum    
Debt Instrument [Line Items]    
Debt instrument, basis spread on variable rate 3.00%  
Revolving Credit Facility | Base Rate Margin    
Debt Instrument [Line Items]    
Description of interest rate options   The interest rates under the Credit Agreement are based on the Company's consolidated leverage ratio
Revolving Credit Facility | Base Rate Margin | Minimum    
Debt Instrument [Line Items]    
Debt instrument, basis spread on variable rate 0.25%  
Revolving Credit Facility | Base Rate Margin | Maximum    
Debt Instrument [Line Items]    
Debt instrument, basis spread on variable rate 2.00%  
v3.7.0.1
Long-Term Debt - Additional Information - Term Loan A (Detail) - Term Loan A - USD ($)
$ in Millions
 3 Months Ended
Feb. 01, 2016
May 06, 2014
Mar. 31, 2017
Dec. 31, 2016
Debt Instrument [Line Items]        
Term loan maturity date Feb. 01, 2021      
Term loan - issuance amount   $ 300.0    
Frequency of payments     Quarterly  
Term loans     $ 284.2 $ 288.0
Prior Credit Agreement        
Debt Instrument [Line Items]        
Term loan maturity date   May 06, 2021    
London Interbank Offered Rate (LIBOR)        
Debt Instrument [Line Items]        
Description of interest rate options     The interest rates applicable to Term Loan A are based on the Company's consolidated leverage ratio  
London Interbank Offered Rate (LIBOR) | Minimum        
Debt Instrument [Line Items]        
Debt instrument, basis spread on variable rate   1.25%    
London Interbank Offered Rate (LIBOR) | Maximum        
Debt Instrument [Line Items]        
Debt instrument, basis spread on variable rate   3.00%    
Base Rate Margin        
Debt Instrument [Line Items]        
Description of interest rate options     The interest rates applicable to Term Loan A are based on the Company's consolidated leverage ratio  
Base Rate Margin | Minimum        
Debt Instrument [Line Items]        
Debt instrument, basis spread on variable rate   0.25%    
Base Rate Margin | Maximum        
Debt Instrument [Line Items]        
Debt instrument, basis spread on variable rate   2.00%    
v3.7.0.1
Long-Term Debt - Additional Information - Term Loan A-1 (Detail) - Term Loan A-1 - USD ($)
$ in Millions
 3 Months Ended
Feb. 01, 2016
Jul. 29, 2014
Mar. 31, 2017
Dec. 31, 2016
Debt Instrument [Line Items]        
Term loan maturity date Feb. 01, 2021      
Term loan - issuance amount   $ 200.0    
Term loans     $ 177.5 $ 180.0
Payment frequency     Quarterly  
London Interbank Offered Rate (LIBOR)        
Debt Instrument [Line Items]        
Description of interest rate options     The interest rates applicable to Term Loan A-1are based on the Company's consolidated leverage ratio  
London Interbank Offered Rate (LIBOR) | Minimum        
Debt Instrument [Line Items]        
Debt instrument, basis spread on variable rate   1.25%    
London Interbank Offered Rate (LIBOR) | Maximum        
Debt Instrument [Line Items]        
Debt instrument, basis spread on variable rate   3.00%    
Base Rate Margin        
Debt Instrument [Line Items]        
Description of interest rate options     The interest rates applicable to Term Loan A-1are based on the Company's consolidated leverage ratio  
Base Rate Margin | Minimum        
Debt Instrument [Line Items]        
Debt instrument, basis spread on variable rate   0.25%    
Base Rate Margin | Maximum        
Debt Instrument [Line Items]        
Debt instrument, basis spread on variable rate   2.00%    
Prior Credit Agreement        
Debt Instrument [Line Items]        
Term loan maturity date   May 06, 2019    
v3.7.0.1
Long-Term Debt - Additional Information - Term Loan A-2 (Detail) - Term Loan A 2 - USD ($)
$ in Millions
 3 Months Ended
Feb. 01, 2016
Mar. 31, 2017
Dec. 31, 2016
Debt Instrument [Line Items]      
Term loan maturity date Feb. 01, 2021    
Term loan - issuance amount $ 1,025.0    
Term loans   $ 999.4 $ 1,005.8
Payment frequency   Quarterly  
London Interbank Offered Rate (LIBOR)      
Debt Instrument [Line Items]      
Description of interest rate options   The interest rates applicable to Term Loan A-2 are based on the Company's consolidated leverage ratio  
London Interbank Offered Rate (LIBOR) | Minimum      
Debt Instrument [Line Items]      
Debt instrument, basis spread on variable rate 1.25%    
London Interbank Offered Rate (LIBOR) | Maximum      
Debt Instrument [Line Items]      
Debt instrument, basis spread on variable rate 3.00%    
Base Rate Margin      
Debt Instrument [Line Items]      
Description of interest rate options   The interest rates applicable to Term Loan A-2 are based on the Company's consolidated leverage ratio  
Base Rate Margin | Minimum      
Debt Instrument [Line Items]      
Debt instrument, basis spread on variable rate 0.25%    
Base Rate Margin | Maximum      
Debt Instrument [Line Items]      
Debt instrument, basis spread on variable rate 2.00%    
v3.7.0.1
Long-Term Debt - Additional Information - 2022 Notes (Detail) - USD ($)
$ in Millions
 3 Months Ended
Mar. 11, 2014
Mar. 31, 2017
Mar. 31, 2014
2022 Notes      
Debt Instrument [Line Items]      
Gross proceeds from issuance of debt $ 400    
Underwriting discount 6    
Net proceeds from issuance of debt $ 394    
Stated debt interest rate 4.875%    
Effective interest rate on senior notes 4.99%    
Term loan maturity date Mar. 15, 2022    
Senior notes, early redemption description   In the event of a change in control of the Company, the Company will be required to make an offer to purchase the 2022 Notes at a purchase price equal to 101% of the principal amount of the 2022 Notes, plus accrued and unpaid interest up to the purchase date.  
Redemption prices, plus accrued and unpaid interest, Percentage   101.00%  
2018 Notes      
Debt Instrument [Line Items]      
Stated debt interest rate 7.75%   7.75%
Term loan maturity date     Mar. 01, 2018
Debt Instrument, Redemption, Period Three | 2022 Notes      
Debt Instrument [Line Items]      
Senior notes, early redemption start date   Mar. 15, 2017  
Senior notes, early redemption description   On or after March 15, 2017, the Company may redeem some or all of the 2022 Notes at redemption prices set forth in the Indenture.  
v3.7.0.1
Long-Term Debt - Additional Information - 2024 Notes (Detail) - USD ($)
$ in Millions
 3 Months Ended
Jan. 29, 2016
Mar. 31, 2017
2024 Notes    
Debt Instrument [Line Items]    
Aggregate principal amount $ 775.0  
Stated debt interest rate 6.00%  
Term loan maturity date Feb. 15, 2024  
Net proceeds from the issuance of the 2024 Notes $ 760.7  
Effective interest rate on senior notes 6.23%  
Interest payment dates of 2024 Notes   February 15 and August 15 of each year
Senior notes, redemption rate of principal amount   101.00%
2024 Notes | Debt Instrument, Redemption, Period One    
Debt Instrument [Line Items]    
Senior notes, early redemption description   The Company may redeem some or all of the 2024 Notes at any time on or after February 15, 2019 at the applicable redemption prices described in the Indenture plus accrued and unpaid interest, if any, up to but not including the redemption date
Senior notes, early redemption start date   Feb. 15, 2019
2024 Notes | Debt Instrument, Redemption, Period Two    
Debt Instrument [Line Items]    
Senior notes, early redemption description   In addition, prior to February 15, 2019, the Company may redeem all or a portion of the 2024 Notes at a price equal to 100% of the principal amount plus the "make-whole" premium set forth in the Indenture plus accrued and unpaid interest, if any, up to but not including the redemption date.
Senior notes, redemption rate of principal amount   100.00%
Senior notes, early redemption end date   Feb. 15, 2019
2024 Notes | Debt Instrument, Redemption, Period Three    
Debt Instrument [Line Items]    
Senior notes, early redemption description   The Company may also redeem up to 40% of the 2024 Notes prior to February 15, 2019 with the net cash proceeds received from certain equity offerings at the redemption price set forth in the Indenture.
Senior notes, early redemption end date   Feb. 15, 2019
Senior notes, redemption rate of principal amount   40.00%
2022 Notes and 2024 Notes    
Debt Instrument [Line Items]    
Indenture accreted amount due and payable percentage   25.00%
v3.7.0.1
Long-Term Debt - Additional Information - Interest Rate Swap Agreements (Detail) - Interest rate swap - USD ($)
 1 Months Ended
Jun. 30, 2016
Mar. 31, 2017
Debt Instrument [Line Items]    
Derivative notional amount $ 500,000,000 $ 500,000,000
Weighted average fixed interest rate 0.86% 0.86%
Derivative contract, term 37 months  
Derivative contract, date entered Jan. 31, 2017  
Derivative contract, date matures Feb. 28, 2020  
Minimum    
Debt Instrument [Line Items]    
Borrowing cost percentage on swapped principal 2.11%  
Maximum    
Debt Instrument [Line Items]    
Borrowing cost percentage on swapped principal 3.86%  
v3.7.0.1
Stockholders' Equity - Additional Information (Detail) - $ / shares
Mar. 31, 2017
Dec. 31, 2016
Stockholders Equity Note [Line Items]    
Common stock, shares authorized 90,000,000 90,000,000
Common stock, par value $ 0.01 $ 0.01
Common stock, shares issued 56,900,000 56,800,000
Common stock, shares outstanding 56,900,000 56,800,000
Preferred stock, shares authorized 10,000,000 10,000,000
Preferred stock, par value $ 0.01 $ 0.01
v3.7.0.1
Summary of Effect of Share-Based Compensation Awards on Weighted Average Number of Shares Outstanding Used in Calculating Diluted Earnings Per Share (Detail) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Schedule of Weighted Average Number of Diluted Shares Outstanding [Line Items]    
Net income (loss) $ 28.2 $ (3.2)
Weighted average common shares outstanding 56.9 52.7
Assumed exercise/vesting of equity awards [1] 0.7  
Weighted average diluted common shares outstanding 57.6 52.7
Net earnings (loss) per basic share $ 0.50 $ (0.06)
Net earnings (loss) per diluted share $ 0.49 $ (0.06)
[1] Incremental shares from equity awards are computed using the treasury stock method. For the three months ended March 31, 2016, weighted average common shares outstanding is the same for the computations of basic and diluted earnings per share because the Company had a net loss for the period. Equity awards, excluded from our computation of diluted earnings per share because they were anti-dilutive, were 1.6 million and 0.8 million for the three months ended March 31, 2017 and 2016, respectively.
v3.7.0.1
Summary of Effect of Share-Based Compensation Awards on Weighted Average Number of Shares Outstanding Used in Calculating Diluted Earnings Per Share (Parenthetical) (Detail) - shares
shares in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Schedule of Weighted Average Number of Diluted Shares Outstanding [Line Items]    
Equity awards, excluded from computation of diluted earnings 1.6 0.8
v3.7.0.1
Stock-Based Compensation - Additional Information (Detail) - USD ($)
$ / shares in Units, $ in Millions
 3 Months Ended
Feb. 14, 2017
Mar. 31, 2017
Mar. 31, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Share-based compensation expense   $ 7.5 $ 6.2
Tax benefit recognized related to the compensation cost of share-based awards   2.8 $ 2.2
Employee Stock Option      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Compensation costs, unrecognized   $ 19.9  
Compensation costs, recognition weighted average remaining period (in years)   2 years 4 months 24 days  
Weighted average expected volatility   26.70%  
Weighted average risk-free interest rate   2.80%  
Expected term   6 years  
Weighted average grant date fair   $ 24.84  
Director Restricted Stock Units      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Number of restricted stock units, earned and deferred   89,000  
Employee Restricted Stock Units and Director Restricted Stock Units      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Compensation costs, unrecognized   $ 43.5  
Compensation costs, recognition weighted average remaining period (in years)   2 years 3 months 18 days  
Performance Units      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Compensation costs, unrecognized   $ 16.9  
Compensation costs, recognition weighted average remaining period (in years)   2 years 7 months 6 days  
Share based compensation arrangement, award vesting period   3 years  
Performance Units | Minimum      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Predefined percentage for calculation of performance unit awards   0.00%  
Performance Units | Maximum      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Predefined percentage for calculation of performance unit awards   200.00%  
TreeHouse Foods, Inc. Equity and Incentive Plan      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Equity and Incentive Plan, additional shares available for issuance 3,800,000    
Maximum number of shares available to be awarded   16,100,000  
Shares available   4,600,000  
v3.7.0.1
Summary of Stock Option Activity (Detail) - USD ($)
$ / shares in Units, shares in Thousands
 3 Months Ended 12 Months Ended
Mar. 31, 2017
Dec. 31, 2016
Employee And Director Stock Option    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Outstanding, Beginning Balance $ 64.77  
Granted 84.56  
Forfeited 87.57  
Exercised 49.52  
Expired 0  
Outstanding, Ending Balance 69.12 $ 64.77
Vested/expected to vest, at March 31, 2017 68.24  
Exercisable, at March 31, 2017 $ 53.21  
Outstanding, Ending Balance 6 years 7 months 6 days 5 years 9 months 18 days
Vested/expected to vest, at March 31, 2017 6 years 4 months 24 days  
Exercisable, at March 31, 2017 4 years 3 months 18 days  
Outstanding, Beginning Balance $ 28,900  
Outstanding, Ending Balance 41,900 $ 28,900
Vested/expected to vest, at March 31, 2017 41,800  
Exercisable, at March 31, 2017 $ 39,500  
Employee Stock Option    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Outstanding, Beginning Balance 2,069  
Granted 431  
Forfeited (13)  
Exercised (128)  
Expired 0  
Outstanding, Ending Balance 2,359 2,069
Vested/expected to vest, at March 31, 2017 2,252  
Exercisable, at March 31, 2017 1,245  
Director Options    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Outstanding, Beginning Balance 20  
Exercised (8)  
Expired 0  
Outstanding, Ending Balance 12 20
Vested/expected to vest, at March 31, 2017 12  
Exercisable, at March 31, 2017 12  
v3.7.0.1
Summary of Employee and Director Stock Option Highlights (Detail) - Employee And Director Stock Option - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Compensation expense $ 1.8 $ 1.6
Intrinsic value of stock options exercised 4.5 1.3
Tax benefit recognized from stock option exercises $ 1.7 $ 0.4
v3.7.0.1
Summary of Restricted Stock and Restricted Stock Unit Activity (Detail)
shares in Thousands
 3 Months Ended
Mar. 31, 2017
$ / shares
shares
Employee Restricted Stock Units  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Beginning Balance | shares 516
Granted | shares 239
Vested | shares (38)
Forfeited | shares (8)
Ending Balance | shares 709
Beginning Balance | $ / shares $ 87.03
Granted | $ / shares 84.00
Vested | $ / shares 80.21
Forfeited | $ / shares 86.98
Ending Balance | $ / shares $ 86.37
Director Restricted Stock Units  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Beginning Balance | shares 104
Granted | shares 16
Ending Balance | shares 120
Beginning Balance | $ / shares $ 57.78
Granted | $ / shares 84.66
Ending Balance | $ / shares $ 61.43
v3.7.0.1
Summary of Employee and Director Restricted Stock and Restricted Stock Highlights (Detail) - Employee Restricted Stock Units and Director Restricted Stock Units - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Compensation expense $ 4.7 $ 3.5
Fair value of vested restricted stock units 2.9 0.2
Tax benefit recognized from vested restricted stock units $ 1.1 $ 0.1
v3.7.0.1
Summary of Performance Unit Activity (Detail) - Performance Units
shares in Thousands
 3 Months Ended
Mar. 31, 2017
$ / shares
shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Beginning Balance | shares 246
Granted | shares 115
Vested | shares 0
Forfeited | shares (1)
Ending Balance | shares 360
Beginning Balance | $ / shares $ 85.16
Granted | $ / shares 84.66
Vested | $ / shares 0
Forfeited | $ / shares 89.89
Ending Balance | $ / shares $ 84.99
v3.7.0.1
Summary of Performance Unit Highlights (Detail) - Performance Units - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Compensation expense $ 1.0 $ 1.1
Fair value of vested performance units 0.0 0.0
Tax benefit recognized from performance units vested $ 0.0 $ 0.0
v3.7.0.1
Components of Accumulated Other Comprehensive Loss Net of Tax Except for Foreign Currency Translation Adjustment (Detail) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Accumulated Other Comprehensive Income (Loss) [Line Items]    
Beginning Balance $ 2,503.3 $ (113.5)
Other comprehensive income 3.6 24.3
Reclassifications from accumulated other comprehensive loss 0.3 0.3
Other comprehensive income 3.9 24.6
Ending Balance 2,548.6  
Foreign Currency Translation    
Accumulated Other Comprehensive Income (Loss) [Line Items]    
Beginning Balance [1] (89.4) (100.5)
Other comprehensive income [1] 3.6 24.3
Other comprehensive income [1] 3.6 24.3
Ending Balance [1] (85.8) (76.2)
Unrecognized Pension and Postretirement Benefits    
Accumulated Other Comprehensive Income (Loss) [Line Items]    
Beginning Balance [2] (11.9) (13.0)
Reclassifications from accumulated other comprehensive loss [2] 0.3 0.3
Other comprehensive income [2] 0.3 0.3
Ending Balance [2] (11.6) (12.7)
Accumulated Other Comprehensive Loss    
Accumulated Other Comprehensive Income (Loss) [Line Items]    
Beginning Balance (101.3)  
Ending Balance $ (97.4) $ (88.9)
[1] The foreign currency translation adjustment is not net of tax, as it pertains to the Company's permanent investment in its foreign subsidiaries.
[2] The unrecognized pension and postretirement benefits reclassification is presented net of tax of $0.2 million and $0.1 million for the three months ended March 31, 2017 and 2016, respectively. The reclassification is included in the computation of net periodic pension and postretirement cost, which is recorded in the Cost of sales and General and administrative lines of the Condensed Consolidated Statements of Operations.
v3.7.0.1
Components of Accumulated Other Comprehensive Loss Net of Tax Except for Foreign Currency Translation Adjustment (Parenthetical) (Detail) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Accumulated Other Comprehensive Income (Loss) [Line Items]    
Pension and postretirement reclassification adjustment, tax $ 0.2 $ 0.1
v3.7.0.1
Reclassifications from Accumulated Other Comprehensive Loss (Detail) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]    
Reclassifications from accumulated other comprehensive loss, Net of tax $ 0.3 $ 0.3
Prior service costs    
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]    
Reclassifications from accumulated other comprehensive loss, before tax [1] 0.1 0.1
Unrecognized net loss    
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]    
Reclassifications from accumulated other comprehensive loss, before tax [1] 0.4 0.3
Unrecognized Pension and Postretirement Benefits    
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]    
Reclassifications from accumulated other comprehensive loss, before tax 0.5 0.4
Income taxes 0.2 0.1
Reclassifications from accumulated other comprehensive loss, Net of tax [2] $ 0.3 $ 0.3
[1] These accumulated other comprehensive loss components are included in the computation of net periodic pension and postretirement cost, and are recorded in the Cost of sales and General and administrative lines of the Condensed Consolidated Statements of Operations.
[2] The unrecognized pension and postretirement benefits reclassification is presented net of tax of $0.2 million and $0.1 million for the three months ended March 31, 2017 and 2016, respectively. The reclassification is included in the computation of net periodic pension and postretirement cost, which is recorded in the Cost of sales and General and administrative lines of the Condensed Consolidated Statements of Operations.
v3.7.0.1
Summary of Net Periodic Cost of Pension and Postretirement Benefit Plans (Detail) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Pension Benefits    
Components of net periodic costs:    
Service cost $ 1.2 $ 1.0
Interest cost 4.0 3.0
Expected return on plan assets (4.7) (3.2)
Amortization of unrecognized prior service cost 0.1 0.1
Amortization of unrecognized net loss 0.4 0.3
Net periodic pension cost 1.0 1.2
Postretirement Benefits    
Components of net periodic costs:    
Interest cost 0.3 0.2
Net periodic pension cost $ 0.3 $ 0.2
v3.7.0.1
Employee Retirement and Postretirement Benefits - Additional Information (Detail)
 3 Months Ended
Mar. 31, 2017
USD ($)
Pension Benefits  
Defined Benefit Plan Disclosure [Line Items]  
Expected contribution for benefit plans in the remaining current fiscal year $ 0
Postretirement Benefits  
Defined Benefit Plan Disclosure [Line Items]  
Expected contribution for benefit plans in the remaining current fiscal year $ 1,600,000
v3.7.0.1
Other Operating Expense, Net (Detail) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Other Operating Income Expense Net [Line Items]    
Restructuring $ 6.8 $ 1.6
Other   0.1
Total other operating expense, net $ 6.8 $ 1.7
v3.7.0.1
Supplemental Cash Flow Information (Detail) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Schedule of Cash Flow, Supplemental [Line Items]    
Interest paid $ 43.7 $ 17.9
Income taxes paid 6.2 14.6
Accrued purchase of property and equipment 12.3 13.9
Accrued other intangible assets $ 5.7 $ 1.9
v3.7.0.1
Supplemental Cash Flow Information - Additional Information (Detail) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Schedule of Cash Flow, Supplemental [Line Items]    
Non-cash financing activities related to vesting of restricted stock, restricted stock units, and performance stock units $ 2.9 $ 0.2
v3.7.0.1
Derivative Instruments - Additional Information (Detail)
 1 Months Ended 3 Months Ended
Jun. 30, 2016
USD ($)
Mar. 31, 2017
USD ($)
gal
MW
lb
DTH
Interest rate swap    
Derivative [Line Items]    
Derivative notional amount $ 500,000,000 $ 500,000,000
Weighted average fixed interest rate 0.86% 0.86%
Derivative contract, term 37 months  
Derivative contract, date entered Jan. 31, 2017  
Derivative contract, date matures Feb. 28, 2020  
Electricity Contract    
Derivative [Line Items]    
Derivative, expiration period   Throughout 2017 and early 2018
Notional amount outstanding | MW   76,608
Diesel Contract    
Derivative [Line Items]    
Derivative, expiration period   Throughout 2017
Notional amount outstanding | gal   15,600,000
Natural Gas Contract    
Derivative [Line Items]    
Derivative, expiration period   Throughout 2017
Notional amount outstanding | DTH   700,000
Soybean Oil    
Derivative [Line Items]    
Derivative, expiration period   Throughout 2017
Notional amount outstanding | lb   32,000,000
Foreign Currency Contract    
Derivative [Line Items]    
Derivative notional amount   $ 30,900,000
Derivative, expiration period   Throughout 2017
v3.7.0.1
Derivative, Fair Value, and Location on Condensed Consolidated Balance Sheets (Detail) - USD ($)
$ in Millions
Mar. 31, 2017
Dec. 31, 2016
Derivatives, Fair Value [Line Items]    
Asset derivative, fair value $ 12.7 $ 12.1
Liability derivative, fair value 1.3 0.5
Foreign Currency Contract | Prepaid expenses and other current assets    
Derivatives, Fair Value [Line Items]    
Asset derivative, fair value 0.6 0.7
Commodity contracts | Accounts payable and accrued expenses    
Derivatives, Fair Value [Line Items]    
Liability derivative, fair value 1.3 0.5
Commodity contracts | Prepaid expenses and other current assets    
Derivatives, Fair Value [Line Items]    
Asset derivative, fair value 0.7 1.0
Interest rate swap | Prepaid expenses and other current assets    
Derivatives, Fair Value [Line Items]    
Asset derivative, fair value $ 11.4 $ 10.4
v3.7.0.1
Gains and Losses on Derivative Contracts (Detail) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Derivative Instruments, Gain (Loss) [Line Items]    
Mark to market unrealized gain (loss), commodity and derivative $ (0.2) $ (4.7)
Realized gain (loss) 0.6 (0.2)
Total gain (loss) 0.4 (4.9)
Commodity contracts | Other expense, net    
Derivative Instruments, Gain (Loss) [Line Items]    
Mark to market unrealized gain (loss), commodity (1.1) 0.4
Commodity contracts | Selling and distribution    
Derivative Instruments, Gain (Loss) [Line Items]    
Realized gain (loss) 0.5 (1.0)
Foreign Currency Contract | Other expense, net    
Derivative Instruments, Gain (Loss) [Line Items]    
Mark to market unrealized gain (loss), derivative (0.1) (5.1)
Foreign Currency Contract | Cost of sales    
Derivative Instruments, Gain (Loss) [Line Items]    
Realized gain (loss) 0.2 $ 0.8
Interest rate swap | Other expense, net    
Derivative Instruments, Gain (Loss) [Line Items]    
Mark to market unrealized gain (loss), derivative 1.0  
Interest rate swap | Interest expense    
Derivative Instruments, Gain (Loss) [Line Items]    
Realized gain (loss) $ (0.1)  
v3.7.0.1
Carrying Value and Fair Value of Financial Instruments (Detail) - USD ($)
$ in Millions
Mar. 31, 2017
Dec. 31, 2016
Carrying Value | Fair Value, Inputs, Level 2 | Revolving Credit Facility    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Revolving Credit Facility $ (148.0) $ (170.0)
Carrying Value | Fair Value, Inputs, Level 2 | Term Loan A    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Term Loan (284.2) (288.0)
Carrying Value | Fair Value, Inputs, Level 2 | Term Loan A-1    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Term Loan (177.5) (180.0)
Carrying Value | Fair Value, Inputs, Level 2 | Term Loan A 2    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Term Loan (999.4) (1,005.8)
Carrying Value | Fair Value, Inputs, Level 2 | 2022 Notes    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Notes (400.0) (400.0)
Carrying Value | Fair Value, Inputs, Level 2 | 2024 Notes    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Notes (775.0) (775.0)
Carrying Value | Fair Value, Measurements, Recurring | Fair Value, Inputs, Level 1    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Investments 11.3 10.4
Carrying Value | Fair Value, Measurements, Recurring | Commodity contracts | Fair Value, Inputs, Level 2    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Derivative assets (liability) (0.6) 0.5
Carrying Value | Fair Value, Measurements, Recurring | Foreign Currency Contract | Fair Value, Inputs, Level 2    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Derivative assets (liability) 0.6 0.7
Carrying Value | Fair Value, Measurements, Recurring | Interest rate swap | Fair Value, Inputs, Level 2    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Derivative assets (liability) 11.4 10.4
Fair Value | Fair Value, Inputs, Level 2 | Revolving Credit Facility    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Revolving Credit Facility (145.9) (167.1)
Fair Value | Fair Value, Inputs, Level 2 | Term Loan A    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Term Loan (284.6) (288.1)
Fair Value | Fair Value, Inputs, Level 2 | Term Loan A-1    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Term Loan (177.8) (180.3)
Fair Value | Fair Value, Inputs, Level 2 | Term Loan A 2    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Term Loan (1,001.0) (1,007.4)
Fair Value | Fair Value, Inputs, Level 2 | 2022 Notes    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Notes (411.0) (410.0)
Fair Value | Fair Value, Inputs, Level 2 | 2024 Notes    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Notes (811.8) (809.9)
Fair Value | Fair Value, Measurements, Recurring | Fair Value, Inputs, Level 1    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Investments 11.3 10.4
Fair Value | Fair Value, Measurements, Recurring | Commodity contracts | Fair Value, Inputs, Level 2    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Derivative assets (liability) (0.6) 0.5
Fair Value | Fair Value, Measurements, Recurring | Foreign Currency Contract | Fair Value, Inputs, Level 2    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Derivative assets (liability) 0.6 0.7
Fair Value | Fair Value, Measurements, Recurring | Interest rate swap | Fair Value, Inputs, Level 2    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Derivative assets (liability) $ 11.4 $ 10.4
v3.7.0.1
Financial Information Relating to Reportable Segments (Detail) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Segment Reporting Information [Line Items]    
Net sales $ 1,536.2 $ 1,270.2
Direct operating income 178.8 157.8
Selling, general, and administrative expenses (183.7) (180.1)
Cost of sales (1,249.8) (1,045.6)
Operating (loss) income 67.3 19.0
Other expense (27.6) (23.8)
Income (loss) before income taxes 39.7 (4.8)
Baked Goods    
Segment Reporting Information [Line Items]    
Net sales 341.1 219.5
Direct operating income 41.9 28.8
Beverages    
Segment Reporting Information [Line Items]    
Net sales 268.0 224.9
Direct operating income 58.7 57.7
Condiments    
Segment Reporting Information [Line Items]    
Net sales 310.1 295.6
Direct operating income 31.7 35.1
Meals    
Segment Reporting Information [Line Items]    
Net sales 324.0 272.4
Direct operating income 34.0 26.4
Snacks    
Segment Reporting Information [Line Items]    
Net sales 290.6 257.8
Direct operating income 12.5 9.8
Unallocated Amount to Segment    
Segment Reporting Information [Line Items]    
Net sales 2.4  
Selling, general, and administrative expenses (80.0) (100.7)
Cost of sales [1] 1.5 (12.6)
Unallocated corporate expense and other $ (33.0) $ (25.5)
[1] Includes charges related to restructurings and other costs managed at corporate.
v3.7.0.1
Segment and Geographic Information and Major Customers - Additional Information (Detail)
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Sales Revenue, Net | Customer Concentration Risk | Walmart Stores, Inc. and affiliates    
Segment Reporting Information [Line Items]    
Concentration risk, percentage 20.50% 18.80%
Outside of the United States | Sales Revenue, Net | Customer Concentration Risk    
Segment Reporting Information [Line Items]    
Concentration risk, percentage 8.30% 8.70%
Outside of the United States | Property, Plant and Equipment | Geographic Concentration Risk    
Segment Reporting Information [Line Items]    
Concentration risk, percentage 11.00% 10.80%
Canada | Sales Revenue, Net | Geographic Concentration Risk    
Segment Reporting Information [Line Items]    
Concentration risk, percentage 6.60% 7.30%
v3.7.0.1
Net Sale by Major Products (Detail) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Segment Reporting Information [Line Items]    
Net sales $ 1,536.2 $ 1,270.2
Dressings and Sauces    
Segment Reporting Information [Line Items]    
Net sales 237.3 221.3
Cereals and Other Meals    
Segment Reporting Information [Line Items]    
Net sales 190.4 169.9
Snacks    
Segment Reporting Information [Line Items]    
Net sales 187.7 142.3
Beverages    
Segment Reporting Information [Line Items]    
Net sales 183.1 144.1
Retail Bakery    
Segment Reporting Information [Line Items]    
Net sales 182.6 113.3
Baked Products    
Segment Reporting Information [Line Items]    
Net sales 158.5 106.2
Pasta and Dry Dinners    
Segment Reporting Information [Line Items]    
Net sales 133.6 102.5
Trail Mix and Bars    
Segment Reporting Information [Line Items]    
Net sales 105.3 115.5
Beverage Enhancers    
Segment Reporting Information [Line Items]    
Net sales 84.9 80.8
Pickles    
Segment Reporting Information [Line Items]    
Net sales $ 72.8 $ 74.3
v3.7.0.1
Condensed Supplemental Consolidating Balance Sheet (Detail) - USD ($)
$ in Millions
Mar. 31, 2017
Dec. 31, 2016
Mar. 31, 2016
Dec. 31, 2015
Current assets:        
Cash and cash equivalents $ 67.2 $ 62.1 $ 61.1 $ 34.9
Investments 11.3 10.4    
Accounts receivable, net 384.3 429.0    
Inventories, net 989.5 978.0    
Assets held for sale 3.6 3.6    
Prepaid expenses and other current assets 68.0 77.6    
Total current assets 1,523.9 1,560.7    
Property, plant, and equipment, net 1,338.3 1,359.3    
Goodwill 2,451.1 2,447.2    
Intangible and other assets, net 1,161.7 1,178.6    
Total assets 6,475.0 6,545.8    
Current liabilities:        
Accounts payable and accrued expenses 549.2 626.8    
Current portion of long-term debt 79.6 66.4    
Total current liabilities 628.8 693.2    
Long-term debt 2,677.1 2,724.8    
Deferred income taxes 403.0 422.2    
Other long-term liabilities 217.5 202.3    
Stockholders' equity 2,548.6 2,503.3   (113.5)
Total liabilities and stockholders' equity 6,475.0 6,545.8    
Eliminations        
Current assets:        
Investment in subsidiaries (5,628.0) (5,550.9)    
Deferred income taxes (22.1) (20.7)    
Total assets (5,650.1) (5,571.6)    
Current liabilities:        
Deferred income taxes (22.1) (20.7)    
Stockholders' equity (5,628.0) (5,550.9)    
Total liabilities and stockholders' equity (5,650.1) (5,571.6)    
Parent Company        
Current assets:        
Cash and cash equivalents       10.4
Accounts receivable, net 0.3      
Prepaid expenses and other current assets 33.6 23.6    
Total current assets 33.9 23.6    
Property, plant, and equipment, net 30.4 31.3    
Investment in subsidiaries 5,100.3 5,031.5    
Intercompany accounts receivable (payable), net 126.1 199.6    
Deferred income taxes 22.1 20.7    
Intangible and other assets, net 59.4 53.9    
Total assets 5,372.2 5,360.6    
Current liabilities:        
Accounts payable and accrued expenses 59.6 61.3    
Current portion of long-term debt 77.5 63.1    
Total current liabilities 137.1 124.4    
Long-term debt 2,674.9 2,722.3    
Other long-term liabilities 11.6 10.6    
Stockholders' equity 2,548.6 2,503.3    
Total liabilities and stockholders' equity 5,372.2 5,360.6    
Guarantor Subsidiaries        
Current assets:        
Cash and cash equivalents 0.8 0.2 1.6 0.1
Accounts receivable, net 332.9 372.9    
Inventories, net 880.7 869.6    
Assets held for sale 3.6 3.6    
Prepaid expenses and other current assets 16.3 36.7    
Total current assets 1,234.3 1,283.0    
Property, plant, and equipment, net 1,161.2 1,181.0    
Goodwill 2,333.7 2,330.8    
Investment in subsidiaries 527.7 519.4    
Intercompany accounts receivable (payable), net (121.2) (196.9)    
Intangible and other assets, net 997.7 1,018.0    
Total assets 6,133.4 6,135.3    
Current liabilities:        
Accounts payable and accrued expenses 429.0 493.1    
Current portion of long-term debt 2.0 3.2    
Total current liabilities 431.0 496.3    
Long-term debt 2.0 2.2    
Deferred income taxes 398.9 418.3    
Other long-term liabilities 201.2 187.0    
Stockholders' equity 5,100.3 5,031.5    
Total liabilities and stockholders' equity 6,133.4 6,135.3    
Non-Guarantor Subsidiaries        
Current assets:        
Cash and cash equivalents 66.4 61.9 $ 59.5 $ 24.4
Investments 11.3 10.4    
Accounts receivable, net 51.1 56.1    
Inventories, net 108.8 108.4    
Prepaid expenses and other current assets 18.1 17.3    
Total current assets 255.7 254.1    
Property, plant, and equipment, net 146.7 147.0    
Goodwill 117.4 116.4    
Intercompany accounts receivable (payable), net (4.9) (2.7)    
Intangible and other assets, net 104.6 106.7    
Total assets 619.5 621.5    
Current liabilities:        
Accounts payable and accrued expenses 60.6 72.4    
Current portion of long-term debt 0.1 0.1    
Total current liabilities 60.7 72.5    
Long-term debt 0.2 0.3    
Deferred income taxes 26.2 24.6    
Other long-term liabilities 4.7 4.7    
Stockholders' equity 527.7 519.4    
Total liabilities and stockholders' equity $ 619.5 $ 621.5    
v3.7.0.1
Condensed Supplemental Consolidating Statement of Operations (Detail) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Condensed Financial Statements, Captions [Line Items]    
Net sales $ 1,536.2 $ 1,270.2
Cost of sales 1,249.8 1,045.6
Gross profit 286.4 224.6
Selling, general and administrative expense 183.7 180.1
Amortization expense 28.6 23.8
Other operating expense, net 6.8 1.7
Operating (loss) income 67.3 19.0
Interest expense 29.7 25.7
Interest income (2.8) (2.8)
Other expense (income), net 0.7 0.9
Income (loss) before income taxes 39.7 (4.8)
Income taxes (benefit) 11.5 (1.6)
Net income (loss) 28.2 (3.2)
Eliminations    
Condensed Financial Statements, Captions [Line Items]    
Net sales (83.2) (68.4)
Cost of sales (83.2) (68.4)
Interest expense (2.9) (1.1)
Interest income 2.9 1.1
Equity in net income (loss) of subsidiaries (70.1) (45.1)
Net income (loss) (70.1) (45.1)
Parent Company    
Condensed Financial Statements, Captions [Line Items]    
Selling, general and administrative expense 27.5 53.7
Amortization expense 2.9 2.2
Operating (loss) income (30.4) (55.9)
Interest expense 31.2 25.4
Interest income (2.2) (2.2)
Other expense (income), net 0.1  
Income (loss) before income taxes (59.5) (79.1)
Income taxes (benefit) (22.8) (30.0)
Equity in net income (loss) of subsidiaries 64.9 45.9
Net income (loss) 28.2 (3.2)
Guarantor Subsidiaries    
Condensed Financial Statements, Captions [Line Items]    
Net sales 1,455.4 1,204.8
Cost of sales 1,188.4 997.1
Gross profit 267.0 207.7
Selling, general and administrative expense 146.6 116.4
Amortization expense 23.4 19.4
Other operating expense, net 6.6 1.3
Operating (loss) income 90.4 70.6
Interest expense 0.2 (0.1)
Interest income (2.9) (1.3)
Other expense (income), net   (4.7)
Income (loss) before income taxes 93.1 76.7
Income taxes (benefit) 33.4 30.0
Equity in net income (loss) of subsidiaries 5.2 (0.8)
Net income (loss) 64.9 45.9
Non-Guarantor Subsidiaries    
Condensed Financial Statements, Captions [Line Items]    
Net sales 164.0 133.8
Cost of sales 144.6 116.9
Gross profit 19.4 16.9
Selling, general and administrative expense 9.6 10.0
Amortization expense 2.3 2.2
Other operating expense, net 0.2 0.4
Operating (loss) income 7.3 4.3
Interest expense 1.2 1.5
Interest income (0.6) (0.4)
Other expense (income), net 0.6 5.6
Income (loss) before income taxes 6.1 (2.4)
Income taxes (benefit) 0.9 (1.6)
Net income (loss) $ 5.2 $ (0.8)
v3.7.0.1
Condensed Supplemental Consolidating Statement of Comprehensive Income (Loss) (Detail) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Condensed Financial Statements, Captions [Line Items]    
Net income (loss) $ 28.2 $ (3.2)
Other comprehensive income:    
Foreign currency translation adjustments 3.6 24.3
Pension and postretirement reclassification adjustment, net of tax [1] 0.3 0.3
Other comprehensive income 3.9 24.6
Comprehensive income 32.1 21.4
Eliminations    
Condensed Financial Statements, Captions [Line Items]    
Net income (loss) (70.1) (45.1)
Other comprehensive income:    
Equity in other comprehensive income (loss) of subsidiaries (7.5) (48.9)
Comprehensive income (77.6) (94.0)
Parent Company    
Condensed Financial Statements, Captions [Line Items]    
Net income (loss) 28.2 (3.2)
Other comprehensive income:    
Equity in other comprehensive income (loss) of subsidiaries 3.9 24.6
Comprehensive income 32.1 21.4
Guarantor Subsidiaries    
Condensed Financial Statements, Captions [Line Items]    
Net income (loss) 64.9 45.9
Other comprehensive income:    
Pension and postretirement reclassification adjustment, net of tax 0.3 0.3
Other comprehensive income 0.3 0.3
Equity in other comprehensive income (loss) of subsidiaries 3.6 24.3
Comprehensive income 68.8 70.5
Non-Guarantor Subsidiaries    
Condensed Financial Statements, Captions [Line Items]    
Net income (loss) 5.2 (0.8)
Other comprehensive income:    
Foreign currency translation adjustments 3.6 24.3
Other comprehensive income 3.6 24.3
Comprehensive income $ 8.8 $ 23.5
[1] Net of tax of $0.2 and $0.1 for the three months ended March 31, 2017 and 2016, respectively.
v3.7.0.1
Condensed Supplemental Consolidating Statement of Cash Flows (Detail) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Cash flows from operating activities:    
Net cash provided by (used in) operating activities $ 78.5 $ 110.9
Cash flows from investing activities:    
Additions to property, plant, and equipment (34.7) (24.9)
Additions to intangible assets (8.7) (2.0)
Acquisitions, less cash acquired   (2,640.2)
Proceeds from sale of fixed assets 0.2 0.1
Other (0.3) (0.3)
Net cash (used in) provided by investing activities (43.5) (2,667.3)
Cash flows from financing activities:    
Net borrowing (repayment) of debt (36.1) 1,776.8
Payment of deferred financing costs   (34.3)
Net proceeds from issuance of common stock   835.1
Receipts related to stock-based award activities 6.7 1.9
Payments related to stock-based award activities (0.9) (0.1)
Net cash (used in) provided by financing activities (30.3) 2,579.4
Effect of exchange rate changes on cash and cash equivalents 0.4 3.2
(Decrease) increase in cash and cash equivalents 5.1 26.2
Cash and cash equivalents, beginning of period 62.1 34.9
Cash and cash equivalents, end of period 67.2 61.1
Eliminations    
Cash flows from operating activities:    
Net cash provided by (used in) operating activities (69.3) (26.0)
Cash flows from investing activities:    
Intercompany transfer 65.1 (96.6)
Net cash (used in) provided by investing activities 65.1 (96.6)
Cash flows from financing activities:    
Intercompany transfer 4.2 122.6
Net cash (used in) provided by financing activities 4.2 122.6
Parent Company    
Cash flows from operating activities:    
Net cash provided by (used in) operating activities 44.6 3.0
Cash flows from investing activities:    
Additions to property, plant, and equipment (1.1) (0.1)
Additions to intangible assets (8.2) (2.0)
Intercompany transfer (34.1) 93.8
Acquisitions, less cash acquired   (2,683.5)
Net cash (used in) provided by investing activities (43.4) (2,591.8)
Cash flows from financing activities:    
Net borrowing (repayment) of debt (34.7) 1,777.6
Payment of deferred financing costs   (34.3)
Intercompany transfer 27.7 (1.8)
Net proceeds from issuance of common stock   835.1
Receipts related to stock-based award activities 6.7 1.9
Payments related to stock-based award activities (0.9) (0.1)
Net cash (used in) provided by financing activities (1.2) 2,578.4
(Decrease) increase in cash and cash equivalents   (10.4)
Cash and cash equivalents, beginning of period   10.4
Guarantor Subsidiaries    
Cash flows from operating activities:    
Net cash provided by (used in) operating activities 97.7 153.0
Cash flows from investing activities:    
Additions to property, plant, and equipment (30.5) (23.7)
Additions to intangible assets (0.5)  
Intercompany transfer (31.0) 2.8
Acquisitions, less cash acquired   0.3
Proceeds from sale of fixed assets 0.2 0.1
Net cash (used in) provided by investing activities (61.8) (20.5)
Cash flows from financing activities:    
Net borrowing (repayment) of debt (1.4) (0.8)
Intercompany transfer (33.9) (130.2)
Net cash (used in) provided by financing activities (35.3) (131.0)
(Decrease) increase in cash and cash equivalents 0.6 1.5
Cash and cash equivalents, beginning of period 0.2 0.1
Cash and cash equivalents, end of period 0.8 1.6
Non-Guarantor Subsidiaries    
Cash flows from operating activities:    
Net cash provided by (used in) operating activities 5.5 (19.1)
Cash flows from investing activities:    
Additions to property, plant, and equipment (3.1) (1.1)
Acquisitions, less cash acquired   43.0
Other (0.3) (0.3)
Net cash (used in) provided by investing activities (3.4) 41.6
Cash flows from financing activities:    
Intercompany transfer 2.0 9.4
Net cash (used in) provided by financing activities 2.0 9.4
Effect of exchange rate changes on cash and cash equivalents 0.4 3.2
(Decrease) increase in cash and cash equivalents 4.5 35.1
Cash and cash equivalents, beginning of period 61.9 24.4
Cash and cash equivalents, end of period $ 66.4 $ 59.5