Date of Report (Date of earliest event reported) April 25, 2018 | |||
TUPPERWARE BRANDS CORPORATION | |||
(Exact name of registrant as specified in its charter) | |||
Delaware | 1-11657 | 36-4062333 | |
(State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) | |
14901 South Orange Blossom Trail, Orlando, Florida | 32837 | ||
(Address of principal executive offices) | (Zip Code) | ||
Registrant's telephone number, including area code 407-826-5050 | |||
____________________________________ | |||
(Former name or former address, if changed since last report.) | |||
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below): | |||
o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |||
o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |||
o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |||
o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | |||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 or Rule 12b-2 of the Securities Exchange Act of 1934. | |||
o Emerging growth company | |||
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o | |||
TUPPERWARE BRANDS CORPORATION | ||
(Registrant) | ||
Date: April 25, 2018 | By: | /s/ Karen M. Sheehan |
Karen M. Sheehan | ||
Executive Vice President, Chief Legal Officer & Secretary |
Exhibit Number | Description |
Exhibit 99.1 |
News Release | |
Tupperware Brands Corp. | |
14901 S. Orange Blossom Trail | |
Orlando, FL 32837 | |
Investor Contact: James Hunt (407) 826-4475 |
• | First quarter sales down 2% versus last year, 6% in local currency+. Includes 2-point impact from 2017 closure of Beauticontrol. |
• | GAAP diluted E.P.S. $0.70 versus $0.93 in prior year, reflecting higher re-engineering costs and a higher tax rate from the U.S. Tax Cuts and Jobs Act of 2017. |
• | Adjusted*, diluted E.P.S. $0.91, down 10% versus prior year, 16% in local currency, 10-cents below the low-end of January guidance range, including 6-cent hit from additional taxes. |
• | Net sales were $542.6 million, down 2% (6% local currency), including a 2-point impact from the closure of Beauticontrol in 2017. Emerging markets**, accounting for 70% of sales, were up 3% (1% local currency). The most significant contribution to the first quarter growth in local currency sales was in China, along with good results in Argentina, CIS, Fuller Mexico, Malaysia/Singapore, Tupperware Mexico and Tupperware South Africa, partially offset by India and Indonesia. Established market sales decreased 12% (19% local currency), including the impact of the Beauticontrol closure. The local currency sales decreases were most significant in France, Germany and Italy, partially offset by the United States and Canada. |
• | GAAP net income and diluted earnings per share were $35.7 million and $0.70, versus $47.4 million and $0.93 in 2017, respectively, reflecting the impact of lower sales, a higher tax rate and pre-tax costs in connection with the Company's re-engineering program that were $5 million, or $0.09, higher in 2018. Adjusted, diluted earnings per share were $0.91. This was 10-cents below the low-end of the January guidance range due to lower sales and 6-cents from an increased tax rate in connection with the U.S. Tax Cuts and Jobs Act of 2017(the "Tax Act"). Versus the January guidance, there was a 1-cent positive impact on adjusted, diluted earnings per share comparison from net stronger foreign exchange rates, while there was a 7-cent benefit versus the same period in 2017. |
• | Total sales force of 3.1 million was down 2%, a sequential decrease of 5-points, reflecting higher standards to be included in the sales force in the CIS and in the two South African businesses, as well as a 2-point negative impact from removing the Beauticontrol and NaturCare sales forces. Average active sellers in the first quarter were down 8%, including a negative 3-point impact related to Beauticontrol and NaturCare. |
• | Emerging markets in Europe increased 19% (10% local currency), mainly in Tupperware South Africa, up 24% (11% local currency) and CIS, up 29% (26% local currency). |
• | Established markets were down 15% (26% local currency), in part, due to service issues in connection with the closure of the French supply chain facility, most significantly impacting Germany, down 17% (28% local currency), France, down 32% (41% local currency), and Italy, down 17% (28% local currency). |
• | Emerging markets in Asia Pacific were down 1% (5% local currency), primarily in Indonesia, down 35% (34% local currency) from a smaller, less active sales force. In addition, India was down 33% (35% local currency), reflecting challenges with the sales force size and manager activity in light of government direct selling guidelines, as well as a negative 6% impact from the goods and services tax effective in July 2017. These decreases were partially offset by increased sales in China, up 35% (24% local currency) on the strength of significantly more members and continued leveraging of the product portfolio, digital technologies and its 6,400 studios (14% advantage over 2017). |
• | Tupperware United States and Canada sales were up 9% (8% local currency), including a positive impact from changes in revenue recognition. |
• | Tupperware Mexico sales were up 13% (6% local currency) and Fuller Mexico sales were up 14% (7% local currency). |
• | Brazil was down 2% (up 2% local currency), reflecting a deceleration in sales growth due to customer service issues impacting product availability, including a customs strike, the over-sell of certain items, and quality issues with a third party produced item, as well as on-going challenges in the consumer spending environment. These factors negatively impacted the number of sales force additions and new sales force leaders promoted. |
• | Sales in Argentina were down 1% (up 26% local currency). Local currency comparison mainly reflected price increases related to the highly inflationary environment. |
13 Weeks Ended | 13 Weeks | 52 Weeks Ended | 52 Weeks | |||||||||||||||||
Jun. 30, 2018 | Ended | Dec. 29, 2018 | Ended | |||||||||||||||||
Low | High | Jul. 1, 2017 | Low | High | Dec 30, 2017 | |||||||||||||||
USD Sales Growth vs Prior Year | (2 | )% | — | % | 1 | % | (1 | )% | 1 | % | 2 | % | ||||||||
GAAP EPS | $1.16 | $1.21 | ($0.35 | ) | $3.98 | $4.13 | ($5.22 | ) | ||||||||||||
GAAP Pre-Tax ROS | 15.6 | % | 15.9 | % | (2.2 | )% | 13.9 | % | 14.2 | % | 8.2 | % | ||||||||
Local Currency+ Sales Growth vs Prior Year | (2 | )% | — | % | 2 | % | (2 | )% | — | % | 1 | % | ||||||||
EPS Excluding Items* | $1.14 | $1.19 | $1.21 | $4.52 | $4.67 | $4.84 | ||||||||||||||
Pre-Tax ROS Excluding Items* | 15.3 | % | 15.7 | % | 14.6 | % | 15.3 | % | 15.5 | % | 14.6 | % | ||||||||
FX Impact on EPS Comparison (a) | $— | $— | $0.05 | $0.05 |
• | There is a negative 1.7 and 1.4 point impact in the 2018 second quarter and full year sales comparisons, respectively, from the closure of Beauticontrol in 2017. |
• | Tax rate estimated at 34.5% on a U.S. GAAP basis and 32.1% excluding items. |
• | Includes the gain on the sale of property under the Company’s re-engineering program expected to close in the second quarter of 2018. Excludes Orlando, Florida land sales and additional re-engineering program related asset sales that may occur. |
• | Excludes the impact on earnings per share of the announced share repurchase. |
• | For the full year, sales are expected to be up by a low-single digit in dollars (down 3 to 5% local currency) in Europe; up by a low-single digit in dollars (down 1 to 3% local currency) in Asia Pacific; even to down low single digits in dollars and local currency in North America, including a 6 pp negative impact from the closure of Beauticontrol; and down by a low to mid-single digit in dollars (up mid-single digits local currency) in South America. |
• | Segment profit return on sales, excluding items, is expected to be up about ½ point in Europe and Asia Pacific, to increase almost 2 points in North America and to be about even in South America. |
TUPPERWARE BRANDS CORPORATION | |||||||||||||
FIRST QUARTER 2018 SALES FORCE STATISTICS* | |||||||||||||
(UNAUDITED) | |||||||||||||
Sales | |||||||||||||
All Units | Reported Inc/(Dec) vs. Q1 '17 % | Restated+ Inc/(Dec) vs. Q1 '17 % | f | Active Sales Force | Inc/(Dec) vs. Q1 '17 % | f | Total Sales Force | Inc/(Dec) vs. Q1 '17 % | f | ||||
Europe | (4) | (14) | a | 103,873 | 3 | 788,764 | — | ||||||
Asia Pacific | (3) | (7) | b | 183,418 | (16) | d | 1,028,642 | (4) | |||||
North America | 3 | (1) | 6 | c | 212,365 | (11) | (4) | 769,463 | (6) | 1 | |||
South America | (5) | 5 | 124,024 | — | 530,027 | 4 | |||||||
Total All Units | (2) | (6) | (4) | 623,680 | (8) | (6) | 3,116,896 | (2) | (1) | ||||
Emerging Market Units | |||||||||||||
Europe | 19 | 10 | a | 76,399 | 16 | e | 612,823 | 4 | |||||
Asia Pacific | (1) | (5) | b | 162,996 | (15) | d | 943,002 | (2) | |||||
North America | 12 | 6 | c | 196,898 | (4) | 657,565 | — | ||||||
South America | (5) | 5 | 124,024 | — | 530,027 | 4 | |||||||
Total Emerging Market Units | 3 | 1 | 560,317 | (5) | 2,743,417 | 1 | |||||||
Estab. Market Units | |||||||||||||
Europe | (15) | (26) | a | 27,474 | (20) | e | 175,941 | (11) | |||||
Asia Pacific | (13) | (17) | b | 20,422 | (24) | 85,640 | (23) | ||||||
North America | (8) | (9) | 8 | 15,467 | (52) | 7 | 111,898 | (30) | 2 | ||||
South America | — | — | — | — | — | — | |||||||
Total Established Market Units | (12) | (19) | (16) | 63,363 | (32) | (16) | 373,479 | (20) | (11) |
TUPPERWARE BRANDS CORPORATION | |||||||
CONSOLIDATED STATEMENTS OF INCOME | |||||||
(UNAUDITED) | |||||||
(In millions, except per share data) | 13 Weeks Ended | 13 Weeks Ended | |||||
Mar 31, 2018 | Apr 1, 2017 | ||||||
Net sales | $ | 542.6 | $ | 554.8 | |||
Cost of products sold | 179.0 | 177.7 | |||||
Gross margin | 363.6 | 377.1 | |||||
Delivery, sales and administrative expense | 289.2 | 297.9 | |||||
Re-engineering and impairment charges | 7.6 | 2.3 | |||||
Gains on disposal of assets | 2.2 | 0.1 | |||||
Operating income | 69.0 | 77.0 | |||||
Interest income | 0.7 | 0.5 | |||||
Interest expense | 11.1 | 11.6 | |||||
Other expense, net | 0.2 | 1.7 | |||||
Income before income taxes | 58.4 | 64.2 | |||||
Provision for income taxes | 22.7 | 16.8 | |||||
Net income | $ | 35.7 | $ | 47.4 | |||
Net income per common share: | |||||||
Basic income per share | $ | 0.70 | $ | 0.94 | |||
Diluted income per share | $ | 0.70 | $ | 0.93 |
TUPPERWARE BRANDS CORPORATION | |||||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF INCOME | |||||||||||||||||
(UNAUDITED) | |||||||||||||||||
(In millions, except per share data) | 13 Weeks Ended | 13 Weeks Ended | Reported | Restated* | Foreign | ||||||||||||
Mar 31, 2018 | Apr 1, 2017 | % | % | Exchange | |||||||||||||
Inc (Dec) | Inc (Dec) | Impact* | |||||||||||||||
Net Sales: | |||||||||||||||||
Europe | $ | 143.9 | $ | 149.5 | (4 | ) | (14 | ) | $ | 18.6 | |||||||
Asia Pacific | 172.2 | 177.3 | (3 | ) | (7 | ) | 7.6 | ||||||||||
North America | 135.0 | 131.3 | 3 | (1 | ) | 5.0 | |||||||||||
South America | 91.5 | 96.7 | (5 | ) | 5 | (9.2 | ) | ||||||||||
$ | 542.6 | $ | 554.8 | (2 | ) | (6 | ) | $ | 22.0 | ||||||||
Segment profit: | |||||||||||||||||
Europe | $ | 12.4 | $ | 19.9 | (38 | ) | (46 | ) | $ | 2.8 | |||||||
Asia Pacific | 37.9 | 40.0 | (5 | ) | (10 | ) | 2.1 | ||||||||||
North America | 19.0 | 15.8 | 20 | 14 | 0.8 | ||||||||||||
South America | 17.3 | 18.2 | (5 | ) | 3 | (1.3 | ) | ||||||||||
86.6 | 93.9 | (8 | ) | (12 | ) | 4.4 | |||||||||||
Unallocated expenses | (12.4 | ) | (16.4 | ) | (25 | ) | (23 | ) | 0.5 | ||||||||
Gains on disposal of assets | 2.2 | 0.1 | + | + | — | ||||||||||||
Re-engineering and impairment charges | (7.6 | ) | (2.3 | ) | + | + | — | ||||||||||
Interest expense, net | (10.4 | ) | (11.1 | ) | (6 | ) | (6 | ) | — | ||||||||
Income before taxes | 58.4 | 64.2 | (9 | ) | (16 | ) | 4.9 | ||||||||||
Provision for income taxes | 22.7 | 16.8 | 35 | 25 | 1.2 | ||||||||||||
Net income | $ | 35.7 | $ | 47.4 | (25 | ) | (30 | ) | $ | 3.7 | |||||||
Net income per share (diluted) | $ | 0.70 | $ | 0.93 | (25 | ) | (30 | ) | $ | 0.07 | |||||||
Weighted average number of diluted shares | 51.3 | 51.0 |
TUPPERWARE BRANDS CORPORATION | |||||||||||||||||||||||||||
NON-GAAP FINANCIAL MEASURES | |||||||||||||||||||||||||||
(UNAUDITED) | |||||||||||||||||||||||||||
(In millions, except per share data) | 13 Weeks Ended Mar 31, 2018 | 13 Weeks Ended Apr 1, 2017 | |||||||||||||||||||||||||
Reported | Adj's | Excl Adj's | Reported | Foreign Exchange Impact | Adj's | Restated* Excl Adj's | |||||||||||||||||||||
Segment profit: | |||||||||||||||||||||||||||
Europe | $ | 12.4 | $ | 0.4 | f | $ | 12.8 | $ | 19.9 | $ | 2.8 | $ | 0.7 | b | $ | 23.4 | |||||||||||
Asia Pacific | 37.9 | 0.6 | a, b | 38.5 | 40.0 | 2.1 | 0.4 | a | 42.5 | ||||||||||||||||||
North America | 19.0 | 2.8 | a,g | 21.8 | 15.8 | 0.8 | 1.4 | a,b | 18.0 | ||||||||||||||||||
South America | 17.3 | 0.4 | a,c | 17.7 | 18.2 | (1.3 | ) | 0.4 | a,c | 17.3 | |||||||||||||||||
86.6 | 4.2 | 90.8 | 93.9 | 4.4 | 2.9 | 101.2 | |||||||||||||||||||||
Unallocated expenses | (12.4 | ) | — | (12.4 | ) | (16.4 | ) | 0.5 | — | (15.9 | ) | ||||||||||||||||
Gains on disposal of assets | 2.2 | (2.2 | ) | d | — | 0.1 | — | (0.1 | ) | d | — | ||||||||||||||||
Re-engineering and impairment charges | (7.6 | ) | 7.6 | e | — | (2.3 | ) | — | 2.3 | e | — | ||||||||||||||||
Interest expense, net | (10.4 | ) | — | (10.4 | ) | (11.1 | ) | — | — | (11.1 | ) | ||||||||||||||||
Income before taxes | 58.4 | 9.6 | 68.0 | 64.2 | 4.9 | 5.1 | 74.2 | ||||||||||||||||||||
Provision for income taxes | 22.7 | (1.3 | ) | h | 21.4 | 16.8 | 1.2 | 0.8 | h | 18.8 | |||||||||||||||||
Net income | $ | 35.7 | $ | 10.9 | $ | 46.6 | $ | 47.4 | $ | 3.7 | $ | 4.3 | $ | 55.4 | |||||||||||||
Net income per share (diluted) | $ | 0.70 | $ | 0.21 | $ | 0.91 | $ | 0.93 | $ | 0.07 | $ | 0.08 | $ | 1.08 | |||||||||||||
TUPPERWARE BRANDS CORPORATION | |||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||
(UNAUDITED) | |||||||
(In millions) | 13 Weeks Ended | 13 Weeks Ended | |||||
March 31, 2018 | April 1, 2017 | ||||||
Operating Activities: | |||||||
Net cash provided by operating activities | $ | (41.6 | ) | $ | (18.0 | ) | |
Investing Activities: | |||||||
Capital expenditures | (15.2 | ) | (16.0 | ) | |||
Proceeds from disposal of property, plant & equipment | 5.9 | 0.3 | |||||
Net cash used in investing activities | (9.3 | ) | (15.7 | ) | |||
Financing Activities: | |||||||
Dividend payments to shareholders | (35.4 | ) | (34.7 | ) | |||
Repurchase of common stock | (1.0 | ) | (0.5 | ) | |||
Repayment of long-term debt and capital lease obligations | (0.5 | ) | (0.4 | ) | |||
Net change in short-term debt | 97.2 | 67.6 | |||||
Proceeds from exercise of stock options | 0.2 | 2.1 | |||||
Net cash used in financing activities | 60.5 | 34.1 | |||||
Effect of exchange rate changes on cash, cash equivalents and restricted cash | 4.1 | 4.9 | |||||
Net change in cash, cash equivalents and restricted cash | 13.7 | 5.3 | |||||
Cash, cash equivalents and restricted cash at beginning of year | 147.2 | 96.0 | |||||
Cash, cash equivalents and restricted cash at end of period | $ | 160.9 | $ | 101.3 |
TUPPERWARE BRANDS CORPORATION | |||||||
CONDENSED CONSOLIDATED BALANCE SHEETS | |||||||
(UNAUDITED) | |||||||
(In millions) | Mar 31, 2018 | Dec 30, 2017 | |||||
Assets: | |||||||
Cash and cash equivalents | $ | 157.0 | $ | 144.1 | |||
Other current assets | 543.9 | 486.4 | |||||
Total current assets | 700.9 | 630.5 | |||||
Property, plant and equipment, net | 284.1 | 278.2 | |||||
Other assets | 493.5 | 479.3 | |||||
Total assets | $ | 1,478.5 | $ | 1,388.0 | |||
Liabilities and Shareholders' Equity: | |||||||
Short-term borrowings and current portion of long-term debt | $ | 234.3 | $ | 133.0 | |||
Accounts payable and other current liabilities | 490.5 | 525.8 | |||||
Total current liabilities | 724.8 | 658.8 | |||||
Long-term debt | 605.0 | 605.1 | |||||
Other liabilities | 249.0 | 243.5 | |||||
Total shareholders' equity | (100.3 | ) | (119.4 | ) | |||
Total liabilities and shareholders' equity | $ | 1,478.5 | $ | 1,388.0 |
TUPPERWARE BRANDS CORPORATION | |||||||||||
NON-GAAP FINANCIAL MEASURES OUTLOOK RECONCILIATION SCHEDULE | |||||||||||
April 25, 2018 | |||||||||||
(UNAUDITED) | |||||||||||
Second Quarter | Second Quarter | ||||||||||
(In millions, except per share data) | 2017 Actual | 2018 Outlook(4) | |||||||||
Range | |||||||||||
Low | High | ||||||||||
Income (loss) before income taxes | $ | (12.7 | ) | $ | 87.3 | $ | 91.1 | ||||
Income tax | $ | 5.0 | $ | 27.9 | $ | 29.2 | |||||
Effective Rate | (39 | )% | 32 | % | 32 | % | |||||
Net Income (loss) (GAAP) | $ | (17.7 | ) | $ | 59.4 | $ | 61.9 | ||||
% change from prior year | + | + | |||||||||
Adjustments(1): | |||||||||||
Gains on disposal of assets | (3.1 | ) | (9.9 | ) | (9.9 | ) | |||||
Purchase accounting intangibles impairments | 62.9 | — | — | ||||||||
Re-engineering and pension settlements | 33.2 | 6.6 | 6.6 | ||||||||
Net impact of Venezuelan bolivar devaluations | 1.4 | — | — | ||||||||
Acquired intangible asset amortization | 2.0 | 2.0 | 2.0 | ||||||||
Income tax(2) | (16.2 | ) | 0.1 | 0.1 | |||||||
Net Income (adjusted) | $ | 62.5 | $ | 58.2 | $ | 60.7 | |||||
Exchange rate impact(3) | — | — | — | ||||||||
Net Income (adjusted and 2017 restated for currency changes) | $ | 62.5 | $ | 58.2 | $ | 60.7 | |||||
% change from prior year | (7 | )% | (3 | )% | |||||||
Net income (loss) (GAAP) per common share (diluted) | $ | (0.35 | ) | $ | 1.16 | $ | 1.21 | ||||
% change from prior year | + | + | |||||||||
Net Income (adjusted) per common share (diluted) | $ | 1.21 | $ | 1.14 | $ | 1.19 | |||||
Net Income (adjusted & restated) per common share (diluted) | $ | 1.21 | $ | 1.14 | $ | 1.19 | |||||
% change from prior year | (6 | )% | (2 | )% | |||||||
Average number of diluted shares (millions) | 51.4 | 51.2 | 51.2 |
TUPPERWARE BRANDS CORPORATION | |||||||||||
NON-GAAP FINANCIAL MEASURES OUTLOOK RECONCILIATION SCHEDULE | |||||||||||
April 25, 2018 | |||||||||||
(UNAUDITED) | |||||||||||
Full Year | Full Year | ||||||||||
(In millions, except per share data) | 2017 Actual | 2018 Outlook(4) | |||||||||
Range | |||||||||||
Low | High | ||||||||||
Income before income taxes | $ | 185.1 | $ | 311.9 | $ | 323.2 | |||||
Income tax | $ | 450.5 | $ | 107.9 | $ | 111.5 | |||||
Effective Rate | 243 | % | 35 | % | 35 | % | |||||
Net Income, (loss) (GAAP) | $ | (265.4 | ) | $ | 204.0 | $ | 211.7 | ||||
% change from prior year | + | + | |||||||||
Adjustments(1): | |||||||||||
Gains on disposal of assets | $ | (9.1 | ) | $ | (12.1 | ) | $ | (12.1 | ) | ||
Purchase accounting intangibles impairment | 62.9 | — | — | ||||||||
Re-engineering and pension settlements | 74.4 | 33.2 | 33.2 | ||||||||
Net impact of Venezuelan bolivar devaluations | 7.4 | 0.2 | 0.2 | ||||||||
Acquired intangible asset amortization | 7.9 | 7.9 | 7.9 | ||||||||
Income tax(2) | 370.2 | (1.7 | ) | (1.8 | ) | ||||||
Net Income (adjusted) | $ | 248.3 | $ | 231.5 | $ | 239.1 | |||||
Exchange rate impact(3) | 2.5 | — | — | ||||||||
Net Income (adjusted and 2017 restated for currency changes) | $ | 250.8 | $ | 231.5 | $ | 239.1 | |||||
% change from prior year | (8 | )% | (5 | )% | |||||||
Net income, (loss) (GAAP) per common share (diluted) | $ | (5.22 | ) | $ | 3.98 | $ | 4.13 | ||||
Net Income (adjusted) per common share (diluted) | $ | 4.84 | $ | 4.52 | $ | 4.67 | |||||
Net Income (adjusted & restated) per common share (diluted) | $ | 4.89 | $ | 4.52 | $ | 4.67 | |||||
% change from prior year | (8 | )% | (4 | )% | |||||||
Average number of diluted shares (millions) | 51.3 | 51.3 | 51.3 |
TUPPERWARE BRANDS CORPORATION | |||
ADJUSTED EBITDA AND DEBT/ADJUSTED EBITDA* | |||
(UNAUDITED) | |||
As of and for the four quarters ended | |||
March 31, 2018 | |||
Adjusted EBITDA: | |||
Net income (loss) | $ | (277.1 | ) |
Add: | |||
Depreciation and amortization | 61.4 | ||
Gross interest expense | 45.6 | ||
Provision for income taxes | 456.4 | ||
Equity compensation | 21.1 | ||
Pre-tax re-engineering and impairment charges | 69.1 | ||
Other non-cash extraordinary, unusual or non-recurring charges | 65.0 | ||
Deduct: | |||
Cash paid for re-engineering | (21.9 | ) | |
Gains on land sales, insurance recoveries, etc. | (11.2 | ) | |
Total Adjusted EBITDA | $ | 408.4 | |
Consolidated total debt | $ | 839.3 | |
Divided by adjusted EBITDA | 408.4 | ||
Debt to Adjusted EBITDA Ratio | 2.06 |
!"M7<&TR4) HUB5@\W&H(E]1M*@2_]M_&],STL,;'*(**XZ9$@[#:"*,QB;
M 6 CP4&RC;=ZG@;.YS
MY.)/IE#^]CK&GJ3:?YS:MQ^[[CJ<9$EF![^& W_A7-KTP$<@:+&%E(N7?J=KP&JBE.5[\#I_0W8^MX#V'/,
ML*3.G4?IOBNP 1G7NX;!Z^EWUZMQ/?IAZGW=\0GC_!1A/ 9W<(!!(
M;B$0"/2^%C]*J L(!,)F@9R8BLN)*8E9;!C) 3> *I8F *!;)Q\ #/-<>8'/ (2AX+M<#\Q@B[E6TY'"^F!>1((!.5B]R
M3$CJ-BBIMX D32L[KH?GVGL@[%^U,C8GO-EAU6A+PH-S$VPB=$P_'HZ89G&B<=8?@Z3
M1R> 3N-++$A7:W4=0*U)^1[!N8!@TO#)B:D&41WL6BBK^[O_WI1C:<=N['WB
M1ZF)MFS%WI./X,PG/Y6<%'BX_NS]V-UQ%U[Z\!TIUXSILH&N9@#HT5]X[L7N
M;FQJ 0 /-QGTB/K>F-C:RL)'XQK=45575V6-?4T_NO4X]>_>75555U84G?ZG.
M_<=/U!=ON4V=>SBL7?N[_T]]_OT?5%_\X$?4YW^O255553W[A55AY>7^SZLO
MWG*;^OQ[6]3G/_1':N(;WU)/O?&=*6E455479YY:=\(&@4 H8I"P0[)?5E$%(B*%4.1FGX/M+9G0P$5NF08P
M:>6\5%9&.Q6YN4.1FX.\TU ';9^!YI]C*&=BHP9]M0+%W.W0&D"$>AMEA)AR
M[3,A1^RTP GUC9&RF3J@UPGD@83T@8&
H* F'=H1M 7@1X554I
M(M;&0J
-C(X'&
MII9N;OW.FM1H;&JQ(C0;QL=&)@WI59-R5$,;)5$=5KXW^#)$Z;CK/= L*F)F
M=;+T$X;K[3GTDY7L8>:(U=W8U!)[_*98M6%],99MM99XQL=&BF;/>HJ?"NUC
M4X3UC>BCA@] -UJ[ * 3P[T#-LKLP7!OP%$[[/AR2*TC/8_(/T1KEU?PW*6L
MVF%,IRGG(AU"[R\ :,!P[R2GS,C/OPQ
M>_
F(_EHC1L[&,-M_#%O>
M^CM8.?,"EO_[#$KV7*:EO?QU4.
659F>\V:&TP!+"JD<@.?N+LFN'2 1"Y(JAL@RFW<75*)HX
M"XQU9B3P6F'R;*X%3*;B9=AH$'Z26U<48JBJANGF76L^,U1H#R]S;O>=:?]7
M'M@F#]K< @ $E$050/[N3#VDY.)@&CX,5C[G__7RS\>!K-AF?U,V#Q,*%&*3P,:\F:AZ*PG#I[0)
M50BZF.>%-C6/(UG0M>G7C/Y(&+X LK\%:PW#YU'QKG%49WUY%
*3@Y+\A"!XV6AEH@4Y3K#[;V&>,%H@B!NF)6F(P@VKAGR(0H:8C#@A
MFSMH"_(( :-0OUX(7D8LHC<,">(DYI#&Y YEG*?EGD3!"T%LC3YSY&]09MV#
M^>!WA) FC.679F#^L O<\'%L_Y
(80^26'NJW\/5"9PX]#_7)/N
MTA._A*EZ#[9Y[EOY+'GA"LKNN!U&2QV03""UL @L&F"LOP')V5>Q].R+2"VE
MD'CY(JY]+X2K__*/:6E>'?D^4I