x | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
o | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
Delaware | 38-1490038 | |
(State of Incorporation) | (I.R.S. Employer Identification No.) | |
2000 North M-63, Benton Harbor, Michigan | 49022-2692 | |
(Address of principal executive offices) | (Zip Code) |
Large accelerated filer x | Accelerated filer o | |
Non-accelerated filer o (Do not check if a smaller reporting company) | Smaller reporting company o |
Class of common stock | Shares outstanding at July 17, 2012 | |
Common stock, par value $1 per share | 77,545,523 |
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Item 6. | ||
PART I. | FINANCIAL INFORMATION |
ITEM 1. | FINANCIAL STATEMENTS |
Three Months Ended | Six Months Ended | ||||||||||||||
2012 | 2011 | 2012 | 2011 | ||||||||||||
Net sales | $ | 4,511 | $ | 4,730 | $ | 8,860 | $ | 9,130 | |||||||
Expenses | |||||||||||||||
Cost of products sold | 3,782 | 4,061 | 7,480 | 7,839 | |||||||||||
Gross margin | 729 | 669 | 1,380 | 1,291 | |||||||||||
Selling, general and administrative | 447 | 425 | 852 | 805 | |||||||||||
Intangible amortization | 8 | 7 | 15 | 14 | |||||||||||
Restructuring costs | 79 | 14 | 113 | 22 | |||||||||||
Operating profit | 195 | 223 | 400 | 450 | |||||||||||
Other income (expense) | |||||||||||||||
Interest and sundry income (expense) | (23 | ) | (538 | ) | (41 | ) | (557 | ) | |||||||
Interest expense | (48 | ) | (55 | ) | (102 | ) | (109 | ) | |||||||
Earnings (loss) before income taxes | 124 | (370 | ) | 257 | (216 | ) | |||||||||
Income tax expense (benefit) | 4 | (206 | ) | 40 | (230 | ) | |||||||||
Net earnings (loss) | 120 | (164 | ) | 217 | 14 | ||||||||||
Less: Net earnings (loss) available to noncontrolling interests | 7 | (3 | ) | 12 | 6 | ||||||||||
Net earnings (loss) available to Whirlpool | $ | 113 | $ | (161 | ) | $ | 205 | $ | 8 | ||||||
Per share of common stock | |||||||||||||||
Basic net earnings (loss) available to Whirlpool | $ | 1.45 | $ | (2.10 | ) | $ | 2.64 | $ | 0.10 | ||||||
Diluted net earnings (loss) available to Whirlpool | $ | 1.43 | $ | (2.10 | ) | $ | 2.60 | $ | 0.10 | ||||||
Dividends | $ | 0.50 | $ | 0.50 | $ | 1.00 | $ | 0.93 | |||||||
Weighted-average shares outstanding (in millions) | |||||||||||||||
Basic | 78.0 | 76.8 | 77.7 | 76.7 | |||||||||||
Diluted | 78.8 | 76.8 | 78.8 | 78.1 | |||||||||||
Comprehensive income (loss) | $ | (127 | ) | $ | (46 | ) | $ | 67 | $ | 224 |
(Unaudited) | |||||||
June 30, 2012 | December 31, 2011 | ||||||
Assets | |||||||
Current assets | |||||||
Cash and equivalents | $ | 426 | $ | 1,109 | |||
Accounts receivable, net of allowance of $60 and $61, respectively | 2,125 | 2,105 | |||||
Inventories | 2,583 | 2,354 | |||||
Deferred income taxes | 467 | 248 | |||||
Prepaid and other current assets | 676 | 606 | |||||
Total current assets | 6,277 | 6,422 | |||||
Property, net of accumulated depreciation of $6,101 and $6,146, respectively | 2,955 | 3,102 | |||||
Goodwill | 1,727 | 1,727 | |||||
Other intangibles, net of accumulated amortization of $193 and $177, respectively | 1,738 | 1,757 | |||||
Deferred income taxes | 1,678 | 1,893 | |||||
Other noncurrent assets | 232 | 280 | |||||
Total assets | $ | 14,607 | $ | 15,181 | |||
Liabilities and stockholders’ equity | |||||||
Current liabilities | |||||||
Accounts payable | $ | 3,517 | $ | 3,512 | |||
Accrued expenses | 672 | 951 | |||||
Accrued advertising and promotions | 329 | 429 | |||||
Employee compensation | 406 | 365 | |||||
Notes payable | 3 | 1 | |||||
Current maturities of long-term debt | 510 | 361 | |||||
Other current liabilities | 623 | 678 | |||||
Total current liabilities | 6,060 | 6,297 | |||||
Noncurrent liabilities | |||||||
Long-term debt | 1,922 | 2,129 | |||||
Pension benefits | 1,372 | 1,487 | |||||
Postretirement benefits | 415 | 430 | |||||
Other noncurrent liabilities | 520 | 558 | |||||
Total noncurrent liabilities | 4,229 | 4,604 | |||||
Stockholders’ equity | |||||||
Common stock, $1 par value, 250 million shares authorized, 107 million and 106 million shares issued and 77 million and 76 million shares outstanding, respectively | 107 | 106 | |||||
Additional paid-in capital | 2,227 | 2,201 | |||||
Retained earnings | 5,049 | 4,922 | |||||
Accumulated other comprehensive loss | (1,376 | ) | (1,226 | ) | |||
Treasury stock, 30 million shares | (1,794 | ) | (1,822 | ) | |||
Total Whirlpool stockholders’ equity | 4,213 | 4,181 | |||||
Noncontrolling interests | 105 | 99 | |||||
Total stockholders’ equity | 4,318 | 4,280 | |||||
Total liabilities and stockholders’ equity | $ | 14,607 | $ | 15,181 |
2012 | 2011 | ||||||
Operating activities | |||||||
Net earnings | 217 | $ | 14 | ||||
Adjustments to reconcile net earnings to cash used in operating activities: | |||||||
Depreciation and amortization | 297 | 286 | |||||
Settlement of Brazilian collection dispute | (275 | ) | 444 | ||||
Curtailment gain | (49 | ) | — | ||||
Changes in assets and liabilities: | |||||||
Accounts receivable | (67 | ) | (105 | ) | |||
Inventories | (270 | ) | (199 | ) | |||
Accounts payable | 95 | 33 | |||||
Accrued advertising and promotions | (97 | ) | (121 | ) | |||
Product recall | — | (13 | ) | ||||
Taxes deferred and payable, net | (57 | ) | (305 | ) | |||
Accrued pension and postretirement benefits | (131 | ) | (236 | ) | |||
Employee compensation | 94 | (85 | ) | ||||
Other | (112 | ) | 53 | ||||
Cash used in operating activities | (355 | ) | (234 | ) | |||
Investing activities | |||||||
Capital expenditures | (187 | ) | (259 | ) | |||
Proceeds from sale of assets | 2 | 20 | |||||
Investment in related businesses | — | (7 | ) | ||||
Other | — | (31 | ) | ||||
Cash used in investing activities | (185 | ) | (277 | ) | |||
Financing activities | |||||||
Proceeds from borrowings of long-term debt | 300 | 300 | |||||
Repayments of long-term debt | (356 | ) | (306 | ) | |||
Dividends paid | (77 | ) | (71 | ) | |||
Net proceeds from short-term borrowings | 2 | 13 | |||||
Common stock issued | 11 | 14 | |||||
Other | (17 | ) | (8 | ) | |||
Cash used in financing activities | (137 | ) | (58 | ) | |||
Effect of exchange rate changes on cash and equivalents | (6 | ) | 46 | ||||
Decrease in cash and equivalents | (683 | ) | (523 | ) | |||
Cash and equivalents at beginning of period | 1,109 | 1,368 | |||||
Cash and equivalents at end of period | $ | 426 | $ | 845 |
Fair Value | ||||||||||||||||||||||||||||||||
Total Cost Basis | Level 1 | Level 2 | Total | |||||||||||||||||||||||||||||
Millions of dollars | 2012 | 2011 | 2012 | 2011 | 2012 | 2011 | 2012 | 2011 | ||||||||||||||||||||||||
Money market funds (1) | $ | — | $ | 340 | $ | — | $ | 340 | $ | — | $ | — | $ | — | $ | 340 | ||||||||||||||||
Net derivative contracts | — | — | — | — | (55 | ) | (57 | ) | (55 | ) | (57 | ) | ||||||||||||||||||||
Available for sale investments | 14 | 21 | 10 | 15 | — | — | 10 | 15 |
(1) | Money market funds are primarily comprised of government obligations. |
Millions of dollars | June 30, 2012 | December 31, 2011 | ||||||
Finished products | $ | 2,196 | $ | 2,016 | ||||
Raw materials and work in process | 581 | 541 | ||||||
2,777 | 2,557 | |||||||
Less: excess of FIFO cost over LIFO cost | (194 | ) | (203 | ) | ||||
Total inventories | $ | 2,583 | $ | 2,354 |
Millions of dollars | 2012 | 2011 | ||||||
Balance at January 1 | $ | 191 | $ | 217 | ||||
Issuances/accruals during the period | 137 | 172 | ||||||
Settlements made during the period | (147 | ) | (186 | ) | ||||
Other changes | — | (6 | ) | |||||
Balance at June 30 | $ | 181 | $ | 197 | ||||
Current portion | $ | 148 | $ | 154 | ||||
Non-current portion | 33 | 43 | ||||||
Total | $ | 181 | $ | 197 |
Fair Value of | Type of Hedge (1) | |||||||||||||||||||||||||||||
Millions of dollars | Notional Amount | Hedge Assets | Hedge Liabilities | Maximum Term (Months) | ||||||||||||||||||||||||||
2012 | 2011 | 2012 | 2011 | 2012 | 2011 | 2012 | 2011 | |||||||||||||||||||||||
Derivatives accounted for as hedges | ||||||||||||||||||||||||||||||
Foreign exchange forwards/options | $ | 929 | $ | 862 | $ | 18 | $ | 24 | $ | 17 | $ | 19 | (CF/FV) | 18 | 18 | |||||||||||||||
Commodity swaps/options | 330 | 316 | 6 | 9 | 28 | 28 | (CF/FV) | 31 | 36 | |||||||||||||||||||||
Interest rate derivatives | — | 250 | — | — | — | 5 | (CF) | — | 6 | |||||||||||||||||||||
Total derivatives accounted for as hedges | $ | 24 | $ | 33 | $ | 45 | $ | 52 | ||||||||||||||||||||||
Derivatives not accounted for as hedges | ||||||||||||||||||||||||||||||
Foreign exchange forwards/options | $ | 1,582 | $ | 1,261 | $ | 10 | $ | 6 | $ | 44 | $ | 43 | 14 | 3 | ||||||||||||||||
Commodity swaps/options | 5 | 3 | — | — | — | 1 | 6 | 11 | ||||||||||||||||||||||
Total derivatives not accounted for as hedges | 10 | 6 | 44 | 44 | ||||||||||||||||||||||||||
Total derivatives | $ | 34 | $ | 39 | $ | 89 | $ | 96 | ||||||||||||||||||||||
Current | $ | 33 | $ | 36 | $ | 81 | $ | 91 | ||||||||||||||||||||||
Noncurrent | 1 | 3 | 8 | 5 | ||||||||||||||||||||||||||
Total derivatives | $ | 34 | $ | 39 | $ | 89 | $ | 96 |
(1) | Derivatives accounted for as hedges are either considered cash flow (CF) or fair value (FV) hedges. |
Three Months Ended June 30, | ||||||||||||||||||
Cash Flow Hedges - Millions of dollars | Gain (Loss) Recognized in OCI (Effective Portion) (1) | Gain (Loss) Reclassified from OCI into Earnings (Effective Portion) (2) | ||||||||||||||||
2012 | 2011 | 2012 | 2011 | |||||||||||||||
Foreign exchange forwards/options | $ | (1 | ) | $ | (5 | ) | $ | (6 | ) | $ | (5 | ) | (a)(b) | |||||
Commodity swaps/options | (30 | ) | (12 | ) | (2 | ) | 47 | (b) | ||||||||||
Interest rate derivatives | (13 | ) | — | — | — | (a) | ||||||||||||
$ | (44 | ) | $ | (17 | ) | $ | (8 | ) | $ | 42 |
Three Months Ended June 30, | |||||||||||||||||||
Fair Value Hedges - Millions of dollars | Hedged Item | Gain (Loss) Recognized on Derivatives (3) | Gain (Loss) Recognized on Related Hedged Items (3) | ||||||||||||||||
2012 | 2011 | 2012 | 2011 | ||||||||||||||||
Foreign exchange forwards/options | Non-functional currency assets and liabilities | $ | — | $ | 1 | $ | — | $ | (1 | ) |
Three Months Ended June 30, | |||||||||
Derivatives not Accounted for as Hedges - Millions of dollars | Gain (Loss) Recognized on Derivatives not Accounted for as Hedges (4) | ||||||||
2012 | 2011 | ||||||||
Foreign exchange forwards/options | $ | (34 | ) | $ | 27 |
Six Months Ended June 30, | ||||||||||||||||||
Cash Flow Hedges - Millions of dollars | Gain (Loss) Recognized in OCI (Effective Portion) (1) | Gain (Loss) Reclassified from OCI into Earnings (Effective Portion) (2) | ||||||||||||||||
2012 | 2011 | 2012 | 2011 | |||||||||||||||
Foreign exchange forwards/options | $ | (8 | ) | $ | (11 | ) | $ | (7 | ) | $ | (11 | ) | (a)(b) | |||||
Commodity swaps/options | (10 | ) | 4 | (4 | ) | 63 | (b) | |||||||||||
Interest rate derivatives | (7 | ) | — | — | — | (c) | ||||||||||||
$ | (25 | ) | $ | (7 | ) | $ | (11 | ) | $ | 52 |
Six Months Ended June 30, | |||||||||||||||||||
Fair Value Hedges - Millions of dollars | Hedged Item | Gain (Loss) Recognized on Derivatives (3) | Gain (Loss) Recognized on Related Hedged Items (3) | ||||||||||||||||
2012 | 2011 | 2012 | 2011 | ||||||||||||||||
Foreign exchange forwards/options | Non-functional currency assets and liabilities | $ | (1 | ) | $ | 1 | $ | 1 | $ | (1 | ) |
Six Months Ended June 30, | |||||||||
Derivatives not Accounted for as Hedges - Millions of dollars | Gain (Loss) Recognized on Derivatives not Accounted for as Hedges (4) | ||||||||
2012 | 2011 | ||||||||
Foreign exchange forwards/options | $ | (22 | ) | $ | 44 |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
Millions of dollars | 2012 | 2011 | 2012 | 2011 | ||||||||||||
Net earnings (loss) as reported | $ | 120 | $ | (164 | ) | $ | 217 | $ | 14 | |||||||
Currency translation adjustments – net | (195 | ) | 68 | (115 | ) | 174 | ||||||||||
Cash flow hedges – net | (23 | ) | (30 | ) | (9 | ) | (42 | ) | ||||||||
Pension and other postretirement benefits plans – net | (29 | ) | 86 | (28 | ) | 85 | ||||||||||
Available for sale securities | — | (6 | ) | 2 | (7 | ) | ||||||||||
Comprehensive income (loss) | (127 | ) | (46 | ) | 67 | 224 | ||||||||||
Less: Comprehensive income available to noncontrolling interests | 5 | 8 | 12 | 10 | ||||||||||||
Comprehensive income (loss) available to Whirlpool | $ | (132 | ) | $ | (54 | ) | $ | 55 | $ | 214 |
Millions of dollars | Total | Whirlpool Common Stockholders | Noncontrolling Interests | ||||||||||
Stockholders’ equity, December 31, 2011 | $ | 4,280 | $ | 4,181 | $ | 99 | |||||||
Net earnings | 217 | 205 | 12 | ||||||||||
Other comprehensive income (loss) | (150 | ) | (150 | ) | — | ||||||||
Comprehensive income | 67 | 55 | 12 | ||||||||||
Common stock | 1 | 1 | 1 | — | |||||||||
Treasury stock | 28 | 28 | — | ||||||||||
Additional paid-in capital | 26 | 26 | — | ||||||||||
Dividends declared on common stock | (84 | ) | (78 | ) | (6 | ) | |||||||
Stockholders’ equity, June 30, 2012 | $ | 4,318 | $ | 4,213 | $ | 105 |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
Millions of dollars and shares | 2012 | 2011 | 2012 | 2011 | ||||||||||||
Numerator for basic and diluted earnings (loss) per share – net earnings (loss) available to Whirlpool | $ | 113 | $ | (161 | ) | $ | 205 | $ | 8 | |||||||
Denominator for basic earnings (loss) per share – weighted-average shares | 78.0 | 76.8 | 77.7 | 76.7 | ||||||||||||
Effect of dilutive securities – stock-based compensation | 0.8 | — | 1.1 | 1.4 | ||||||||||||
Denominator for diluted earnings (loss) per share – adjusted weighted-average shares | 78.8 | 76.8 | 78.8 | 78.1 | ||||||||||||
Anti-dilutive stock options/awards excluded from earnings per share | 2.9 | 3.4 | 2.9 | 2.1 |
• | Overall workforce reduction of more than 5,000 positions, including approximately 1,200 salaried positions. |
• | Closure of a refrigeration manufacturing facility in the United States in 2012. |
• | Cease laundry production in a European manufacturing facility by 2013. |
• | Ceased dishwasher production in a European manufacturing facility in January 2012. |
• | Additional organizational efficiency actions in North America and EMEA. |
Millions of dollars | 12/31/2011 | Charge to Earnings | Cash Paid | Non-cash and Other | Revision of Estimate | 6/30/2012 | Cumulative Charges 1 | Expected Total Charges | |||||||||||||||||
Employee termination costs | $ | 62 | $ | 18 | $ | (35 | ) | $ | — | $ | — | $ | 45 | $ | 75 | $ | 270 | ||||||||
Asset impairment costs | — | 63 | — | (63 | ) | — | — | 75 | 95 | ||||||||||||||||
Facility exit costs | 9 | 15 | (18 | ) | 6 | 23 | 85 | ||||||||||||||||||
Other exit costs | 7 | 17 | (15 | ) | 9 | 18 | 50 | ||||||||||||||||||
Total | $ | 78 | $ | 113 | $ | (68 | ) | $ | (63 | ) | $ | — | $ | 60 | $ | 191 | $ | 500 |
Millions of dollars | 2012 Charges | Cumulative Charges 1 | Expected Total Charges | |||||||
North America | $ | 61 | $ | 114 | $ | 331 | ||||
Latin America | — | 2 | 6 | |||||||
EMEA | 46 | 67 | 151 | |||||||
Asia | 5 | 6 | 8 | |||||||
Corporate / Other | 1 | 2 | 4 | |||||||
Total | $ | 113 | $ | 191 | $ | 500 |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
Millions of dollars | 2012 | 2011 | 2012 | 2011 | ||||||||||||
Earnings (loss) before income taxes | $ | 124 | $ | (370 | ) | $ | 257 | $ | (216 | ) | ||||||
Income tax expense computed at United States statutory tax rate | $ | 43 | $ | (130 | ) | $ | 90 | $ | (75 | ) | ||||||
U.S. government tax incentive - Energy Tax Credits | — | (79 | ) | — | (133 | ) | ||||||||||
Valuation allowance release | (55 | ) | — | (55 | ) | — | ||||||||||
Foreign government tax incentive - BEFIEX | (3 | ) | (28 | ) | (7 | ) | (39 | ) | ||||||||
Other | 19 | 31 | 12 | 17 | ||||||||||||
Income tax expense (benefit) computed at effective worldwide tax rates | $ | 4 | $ | (206 | ) | $ | 40 | $ | (230 | ) |
Three Months Ended June 30, | ||||||||||||||||||||||||
United States Pension Benefits | Foreign Pension Benefits | Other Postretirement Benefits | ||||||||||||||||||||||
Millions of dollars | 2012 | 2011 | 2012 | 2011 | 2012 | 2011 | ||||||||||||||||||
Service cost | $ | 1 | $ | — | $ | 1 | $ | 2 | $ | 2 | $ | 2 | ||||||||||||
Interest cost | 44 | 48 | 5 | 5 | 5 | 8 | ||||||||||||||||||
Expected return on plan assets | (49 | ) | (48 | ) | (3 | ) | (3 | ) | — | — | ||||||||||||||
Amortization: | ||||||||||||||||||||||||
Actuarial loss | 12 | 8 | 1 | 1 | — | — | ||||||||||||||||||
Prior service credit | (1 | ) | (1 | ) | — | — | (11 | ) | (11 | ) | ||||||||||||||
Settlement and curtailment (gain) loss | 2 | — | — | — | (49 | ) | — | |||||||||||||||||
Net periodic benefit cost (credit) | $ | 9 | $ | 7 | $ | 4 | $ | 5 | $ | (53 | ) | $ | (1 | ) |
Six Months Ended June 30, | ||||||||||||||||||||||||
United States Pension Benefits | Foreign Pension Benefits | Other Postretirement Benefits | ||||||||||||||||||||||
Millions of dollars | 2012 | 2011 | 2012 | 2011 | 2012 | 2011 | ||||||||||||||||||
Service cost | $ | 1 | $ | — | $ | 3 | $ | 4 | $ | 3 | $ | 4 | ||||||||||||
Interest cost | 89 | 96 | 9 | 10 | 11 | 17 | ||||||||||||||||||
Expected return on plan assets | (97 | ) | (96 | ) | (5 | ) | (6 | ) | — | — | ||||||||||||||
Amortization: | ||||||||||||||||||||||||
Actuarial loss | 23 | 16 | 2 | 2 | — | — | ||||||||||||||||||
Prior service credit | (2 | ) | (2 | ) | — | — | (23 | ) | (18 | ) | ||||||||||||||
Settlement and curtailment (gain) loss | 4 | — | — | — | (49 | ) | — | |||||||||||||||||
Net periodic benefit cost (credit) | $ | 18 | $ | 14 | $ | 9 | $ | 10 | $ | (58 | ) | $ | 3 |
Three Months Ended June 30, | ||||||||||||||||||||||||
OPERATING SEGMENTS | ||||||||||||||||||||||||
Millions of dollars | North America | Latin America | EMEA | Asia | Other/ Eliminations | Total Whirlpool | ||||||||||||||||||
Net sales | ||||||||||||||||||||||||
2012 | $ | 2,465 | $ | 1,154 | $ | 692 | $ | 241 | $ | (41 | ) | $ | 4,511 | |||||||||||
2011 | 2,370 | 1,307 | 841 | 257 | (45 | ) | 4,730 | |||||||||||||||||
Intersegment sales | ||||||||||||||||||||||||
2012 | $ | 67 | $ | 44 | $ | 32 | $ | 62 | $ | (205 | ) | $ | — | |||||||||||
2011 | 56 | 51 | 46 | 54 | (207 | ) | — | |||||||||||||||||
Depreciation and amortization | ||||||||||||||||||||||||
2012 | $ | 63 | $ | 25 | $ | 26 | $ | 5 | $ | 27 | $ | 146 | ||||||||||||
2011 | 72 | 26 | 28 | 6 | 13 | 145 | ||||||||||||||||||
Operating profit | ||||||||||||||||||||||||
2012 | $ | 235 | $ | 103 | $ | (26 | ) | $ | 14 | $ | (131 | ) | $ | 195 | ||||||||||
2011 | 76 | 166 | 20 | 14 | (53 | ) | 223 | |||||||||||||||||
Total assets | ||||||||||||||||||||||||
June 30, 2012 | $ | 7,913 | $ | 3,534 | $ | 2,539 | $ | 812 | $ | (191 | ) | $ | 14,607 | |||||||||||
December 31, 2011 | 7,894 | 3,620 | 2,839 | 797 | 31 | 15,181 | ||||||||||||||||||
Capital expenditures | ||||||||||||||||||||||||
2012 | $ | 49 | $ | 17 | $ | 17 | $ | 6 | $ | 6 | $ | 95 | ||||||||||||
2011 | 78 | 25 | 20 | 5 | 16 | 144 |
Six Months Ended June 30, | ||||||||||||||||||||||||
OPERATING SEGMENTS | ||||||||||||||||||||||||
Millions of dollars | North America | Latin America | EMEA | Asia | Other/ Eliminations | Total Whirlpool | ||||||||||||||||||
Net sales | ||||||||||||||||||||||||
2012 | $ | 4,704 | $ | 2,413 | $ | 1,380 | $ | 443 | $ | (80 | ) | $ | 8,860 | |||||||||||
2011 | 4,628 | 2,534 | 1,584 | 465 | (81 | ) | 9,130 | |||||||||||||||||
Intersegment sales | ||||||||||||||||||||||||
2012 | $ | 127 | $ | 86 | $ | 73 | $ | 114 | $ | (400 | ) | $ | — | |||||||||||
2011 | 108 | 92 | 96 | 96 | (392 | ) | — | |||||||||||||||||
Depreciation and amortization | ||||||||||||||||||||||||
2012 | $ | 130 | $ | 50 | $ | 50 | $ | 10 | $ | 57 | $ | 297 | ||||||||||||
2011 | 141 | 52 | 53 | 11 | 29 | 286 | ||||||||||||||||||
Operating profit | ||||||||||||||||||||||||
2012 | $ | 386 | $ | 224 | $ | (21 | ) | $ | 23 | $ | (212 | ) | $ | 400 | ||||||||||
2011 | 134 | 339 | 44 | 25 | (92 | ) | 450 | |||||||||||||||||
Total assets | ||||||||||||||||||||||||
June 30, 2012 | $ | 7,913 | $ | 3,534 | $ | 2,539 | $ | 812 | $ | (191 | ) | $ | 14,607 | |||||||||||
December 31, 2011 | 7,894 | 3,620 | 2,839 | 797 | 31 | 15,181 | ||||||||||||||||||
Capital expenditures | ||||||||||||||||||||||||
2012 | $ | 97 | $ | 35 | $ | 28 | $ | 13 | $ | 14 | $ | 187 | ||||||||||||
2011 | 145 | 42 | 32 | 9 | 31 | 259 |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||
Consolidated - Millions of dollars, except per share data | 2012 | 2011 | Change | 2012 | 2011 | Change | ||||||||||||||||
Net sales | $ | 4,511 | $ | 4,730 | (4.6 | )% | $ | 8,860 | $ | 9,130 | (2.9 | )% | ||||||||||
Gross margin | 729 | 669 | 9.0 | % | 1,380 | 1,291 | 6.9 | % | ||||||||||||||
Selling, general and administrative | 447 | 425 | (5.1 | )% | 852 | 805 | (5.9 | )% | ||||||||||||||
Restructuring costs | 79 | 14 | nm | 113 | 22 | nm | ||||||||||||||||
Interest and sundry income (expense) | (23 | ) | (538 | ) | nm | (41 | ) | (557 | ) | nm | ||||||||||||
Interest expense | (48 | ) | (55 | ) | 12.1 | % | (102 | ) | (109 | ) | 6.1 | % | ||||||||||
Income tax expense (benefit) | 4 | (206 | ) | nm | 40 | (230 | ) | nm | ||||||||||||||
Net earnings (loss) available to Whirlpool | 113 | (161 | ) | nm | 205 | 8 | nm | |||||||||||||||
Diluted net earnings (loss) available to Whirlpool per share | $ | 1.43 | $ | (2.10 | ) | nm | $ | 2.60 | $ | 0.10 | nm |
Units Sold (in thousands) | ||||||||||||||||||
Three Months Ended | Six Months Ended | |||||||||||||||||
Region | 2012 | 2011 | Change | 2012 | 2011 | Change | ||||||||||||
North America | 5,911 | 6,040 | (2.1 | )% | 11,627 | 12,195 | (4.7 | )% | ||||||||||
Latin America | 2,781 | 2,773 | 0.3 | % | 5,750 | 5,674 | 1.3 | % | ||||||||||
EMEA | 2,778 | 2,988 | (7.0 | )% | 5,383 | 5,697 | (5.5 | )% | ||||||||||
Asia | 1,154 | 1,141 | 1.1 | % | 2,076 | 2,052 | 1.2 | % | ||||||||||
Consolidated | 12,624 | 12,942 | (2.5 | )% | 24,836 | 25,618 | (3.1 | )% |
Net Sales (in millions) | ||||||||||||||||||||||
Three Months Ended | Six Months Ended | |||||||||||||||||||||
Region | 2012 | 2011 | Change | 2012 | 2011 | Change | ||||||||||||||||
North America | $ | 2,465 | $ | 2,370 | 4.0 | % | $ | 4,704 | $ | 4,628 | 1.6 | % | ||||||||||
Latin America | 1,154 | 1,307 | (11.7 | )% | 2,413 | 2,534 | (4.8 | )% | ||||||||||||||
EMEA | 692 | 841 | (17.7 | )% | 1,380 | 1,584 | (12.9 | )% | ||||||||||||||
Asia | 241 | 257 | (6.5 | )% | 443 | 465 | (4.8 | )% | ||||||||||||||
Other/eliminations | (41 | ) | (45 | ) | — | (80 | ) | (81 | ) | — | ||||||||||||
Consolidated | $ | 4,511 | $ | 4,730 | (4.6 | )% | $ | 8,860 | $ | 9,130 | (2.9 | )% |
• | North America net sales increased 4.0% for the three months ended June 30, 2012 and 1.6% for the six months ended June 30, 2012 compared to the same periods in 2011, reflecting strong improvements in product price/mix which were partially offset by decreases in units sold. Foreign currency did not have a significant impact on North America net sales compared to 2011. |
• | Latin America net sales decreased 11.7% and 4.8% for the three and six months ended June 30, 2012 compared to the same periods in 2011, primarily due to the unfavorable impact of foreign currency and lower BEFIEX credits recognized, partially offset by the favorable impact from product price/mix and increases in units sold. The reduction of BEFIEX credits monetized was primarily due to the Impostos sobre Produtos ("IPI") sales tax holiday that was declared by the Brazilian government on certain appliances in December 2011 and has been extended through August 31, 2012. During this holiday, we expect to monetize reduced amounts of BEFIEX credits because the credits are monetized through the offset of IPI taxes due. Excluding the impact of foreign currency, net sales increased 1.9% and 4.3% for the three and six months ended June 30, 2012, compared to the same periods in 2011. |
• | EMEA net sales decreased 17.7% and 12.9% for the three and six months ended June 30, 2012 compared to the same periods in 2011, primarily due to the unfavorable impact of foreign currency and decreases in units sold resulting from the weak demand environment throughout Europe. Excluding the impact of foreign currency, net sales decreased 7.2% and 5.4% for the three and six months ended June 30, 2012, compared to the same periods in 2011. |
• | Asia net sales decreased 6.5% and 4.8% for the three and six months ended June 30, 2012 compared to the same periods in 2011, primarily due to the unfavorable impact of foreign currency, partially offset by favorable product price/mix and increases in units sold. Excluding the impact of foreign currency, net sales increased 6.4% and 4.7% for the three and six months ended June 30, 2012, compared to the same periods in 2011. |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||
Percentage of net sales | 2012 | 2011 | Change | 2012 | 2011 | Change | |||||||||||||
North America | 17.4 | % | 10.7 | % | 6.7 | pts | 15.8 | % | 10.4 | % | 5.4 | pts | |||||||
Latin America | 17.2 | % | 20.0 | % | (2.8 | ) | pts | 17.2 | % | 20.5 | % | (3.3 | ) | pts | |||||
EMEA | 8.4 | % | 12.8 | % | (4.4 | ) | pts | 10.1 | % | 12.9 | % | (2.8 | ) | pts | |||||
Asia | 18.2 | % | 17.4 | % | 0.8 | pts | 18.1 | % | 17.8 | % | 0.3 | pts | |||||||
Consolidated | 16.2 | % | 14.1 | % | 2.1 | pts | 15.6 | % | 14.1 | % | 1.5 | pts |
• | North America gross margin increased for both the three and six months ended June 30, 2012 compared to the same periods in 2011, primarily due to the favorable impact from previously announced price increases, restructuring initiatives, continued productivity and $49 million in curtailment gains from a postretirement benefit plan, partially offset by higher material costs. |
• | Latin America gross margin decreased for both the three and six months ended June 30, 2012 compared to the same periods in 2011, primarily due to lower BEFIEX credits recognized due to the extension of the IPI sales tax holiday and higher material costs, partially offset by favorable product price/mix and continued productivity and cost reduction initiatives. |
• | EMEA gross margin decreased for both the three and six months ended June 30, 2012 compared to the same periods in 2011, primarily due to lower production levels related to the weak demand environment throughout Europe and higher material costs, partially offset by the favorable impact of restructuring initiatives. |
• | Asia gross margin increased for both the three and six months ended June 30, 2012 compared to the same periods in 2011, primarily due to the favorable impacts from product price/mix, continued productivity improvements and restructuring initiatives, partially offset by higher material costs and the unfavorable impact from foreign currency. |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||||
Millions of dollars | 2012 | As a % of Net Sales | 2011 | As a % of Net Sales | 2012 | As a % of Net Sales | 2011 | As a % of Net Sales | ||||||||||||||||||||
North America | $ | 186 | 7.5 | % | $ | 172 | 7.3 | % | $ | 342 | 7.3 | % | $ | 334 | 7.2 | % | ||||||||||||
Latin America | 94 | 8.1 | % | 96 | 7.4 | % | 190 | 7.9 | % | 180 | 7.1 | % | ||||||||||||||||
EMEA | 84 | 12.2 | % | 88 | 10.5 | % | 161 | 11.7 | % | 160 | 10.1 | % | ||||||||||||||||
Asia | 30 | 12.5 | % | 30 | 11.8 | % | 58 | 13.0 | % | 58 | 12.5 | % | ||||||||||||||||
Corporate/other | 53 | — | 39 | — | 101 | — | 73 | — | ||||||||||||||||||||
Consolidated | $ | 447 | 9.9 | % | $ | 425 | 9.0 | % | $ | 852 | 9.6 | % | $ | 805 | 8.8 | % |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
Millions of dollars | 2012 | 2011 | 2012 | 2011 | ||||||||||||
Earnings (loss) before income taxes | $ | 124 | $ | (370 | ) | $ | 257 | $ | (216 | ) | ||||||
Income tax expense computed at United States statutory tax rate | $ | 43 | $ | (130 | ) | $ | 90 | $ | (75 | ) | ||||||
Valuation allowance release | (55 | ) | — | (55 | ) | — | ||||||||||
U.S. government tax incentive - Energy Tax Credits | — | (79 | ) | — | (133 | ) | ||||||||||
Foreign government tax incentive - BEFIEX | (3 | ) | (28 | ) | (7 | ) | (39 | ) | ||||||||
Other | 19 | 31 | 12 | 17 | ||||||||||||
Income tax expense (benefit) computed at effective worldwide tax rates | $ | 4 | $ | (206 | ) | $ | 40 | $ | (230 | ) |
Millions of dollars, except per share data | Current Outlook | |||||
Estimated earnings per diluted share, net of tax | $5.00 | — | $5.50 | |||
Including: | ||||||
BEFIEX ($60 to $80 million) | 0.80 | — | 1.00 | |||
Restructuring expense ($250 - $270 million) | (2.30) | — | (2.50) | |||
Free cash flow | $100 | — | $150 | |||
Industry demand | ||||||
North America | —% | — | (2)% | |||
Latin America | 5% | — | 7% | |||
EMEA | (2%) | — | (5%) | |||
Asia | —% | — | 2% |
Millions of dollars | Current Outlook | |||||||||
Cash provided by operating activities | $ | 600 | — | $ | 700 | |||||
Capital expenditures and proceeds from sale of assets | (500 | ) | — | (550 | ) | |||||
Free cash flow | $ | 100 | — | $ | 150 |
Six Months Ended June 30, | ||||||||
Millions of dollars | 2012 | 2011 | ||||||
Cash provided by (used in): | ||||||||
Operating activities | $ | (355 | ) | $ | (234 | ) | ||
Investing activities | (185 | ) | (277 | ) | ||||
Financing activities | (137 | ) | (58 | ) | ||||
Effect of exchange rate changes on cash | (6 | ) | 46 | |||||
Net decrease in cash and equivalents | $ | (683 | ) | $ | (523 | ) |
ITEM 3. | QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK |
ITEM 4. | CONTROLS AND PROCEDURES |
(a) | Evaluation of disclosure controls and procedures. |
(b) | Changes in internal control over financial reporting. |
PART II. | OTHER INFORMATION |
ITEM 1. | LEGAL PROCEEDINGS |
ITEM 1A. | RISK FACTORS |
ITEM 2. | UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS |
ITEM 3. | DEFAULTS UPON SENIOR SECURITIES |
ITEM 4. | MINE SAFETY DISCLOSURES |
ITEM 5. | OTHER INFORMATION |
ITEM 6. | EXHIBITS |
Exhibit 10(iii) | Amendment to Employment Agreement of Jose A. Drummond, dated May 1, 2012 | |
Exhibit 31.1 | Certification of Chief Executive Officer, Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 | |
Exhibit 31.2 | Certification of Chief Financial Officer, Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 | |
Exhibit 32.1 | Certifications Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 | |
101.INS | XBRL Instance Document | |
101.SCH | XBRL Taxonomy Extension Schema Document | |
101.CAL | XBRL Taxonomy Extension Calculation Linkbase Document | |
101.LAB | XBRL Taxonomy Extension Label Linkbase Document | |
101.PRE | XBRL Taxonomy Extension Presentation Linkbase Document | |
101.DEF | XBRL Taxonomy Extension Definition Linkbase Document |
WHIRLPOOL CORPORATION | |||
(Registrant) | |||
By | /s/ LARRY M. VENTURELLI | ||
Name: | Larry M. Venturelli | ||
Title: | Executive Vice President and Chief Financial Officer | ||
July 24, 2012 |
1. | I have reviewed this quarterly report on Form 10-Q of Whirlpool Corporation; |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstance under which such statements were made, not misleading with respect to the period covered by this report; |
3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly represent in all material respects the financial condition, results of operations and cash flows of the registrant, as of, and for, the periods presented in this report; |
4. | The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rule 13a-15(f) and 15d-15(f)) for the registrant and have: |
(a) | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
(b) | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
(c) | Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and |
(d) | Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and |
5. | The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions): |
(a) | All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and |
(b) | Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting. |
Date: | July 24, 2012 | |
/s/ JEFF M. FETTIG | ||
Name: | Jeff M. Fettig | |
Title: | Chairman of the Board and Chief Executive Officer |
1. | I have reviewed this quarterly report on Form 10-Q of Whirlpool Corporation; |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstance under which such statements were made, not misleading with respect to the period covered by this report; |
3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly represent in all material respects the financial condition, results of operations and cash flows of the registrant, as of, and for, the periods presented in this report; |
4. | The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rule 13a-15(f) and 15d-15(f)) for the registrant and have: |
(a) | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
(b) | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
(c) | Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and |
(d) | Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and |
5. | The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions): |
(a) | All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and |
(b) | Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting. |
Date: | July 24, 2012 | |
/s/ LARRY M. VENTURELLI | ||
Name: | Larry M. Venturelli | |
Title: | Executive Vice President and Chief Financial Officer |
1. | The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and |
2. | The information contained in the Report fairly represents, in all material respects, the financial condition and results of operations of Whirlpool. |
/s/ JEFF M. FETTIG | ||
Name: | Jeff M. Fettig | |
Title: | Chairman of the Board and Chief Executive Officer | |
Date: | July 24, 2012 | |
/s/ LARRY M. VENTURELLI | ||
Name: | Larry M. Venturelli | |
Title: | Executive Vice President and Chief Financial Officer | |
Date: | July 24, 2012 |
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Commitments and Contingencies (Schedule of Product Warranty and Recall Reserves) (Details) (USD $)
In Millions, unless otherwise specified |
6 Months Ended | |
---|---|---|
Jun. 30, 2012
|
Jun. 30, 2011
|
|
Movement in Standard and Extended Product Warranty, Increase (Decrease) [Roll Forward] | ||
Balance at January 1 | $ 191 | $ 217 |
Issuances/accruals during the period | 137 | 172 |
Settlements made during the period | (147) | (186) |
Other changes | 0 | (6) |
Balance at June 30 | 181 | 197 |
Current portion | 148 | 154 |
Non-current portion | 33 | 43 |
Total | $ 181 | $ 197 |
Income Taxes (Tables)
|
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2012
|
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Income Tax Expense (Benefit), Continuing Operations, Income Tax Reconciliation [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Effective Income Tax Rate Reconciliation | The following table summarizes the difference between income tax expense at the United States statutory rate of 35% and the income tax expense (benefit) at effective worldwide tax rates for the periods presented:
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Operating Segment Information (Schedule of Operating Segment Information) (Details) (USD $)
In Millions, unless otherwise specified |
3 Months Ended | 6 Months Ended | |||
---|---|---|---|---|---|
Jun. 30, 2012
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Jun. 30, 2011
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Jun. 30, 2012
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Jun. 30, 2011
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Dec. 31, 2011
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Segment Reporting Information [Line Items] | |||||
Segment Reporting Information, Revenue for Reportable Segment | $ 4,511 | $ 4,730 | $ 8,860 | $ 9,130 | |
Intersegment sales | 0 | 0 | 0 | 0 | |
Depreciation and Amortization | 146 | 145 | 297 | 286 | |
Operating Profit (Loss) by Segment | 195 | 223 | 400 | 450 | |
Total assets | 14,607 | 14,607 | 15,181 | ||
Capital expenditures | 95 | 144 | 187 | 259 | |
North America
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Segment Reporting Information [Line Items] | |||||
Segment Reporting Information, Revenue for Reportable Segment | 2,465 | 2,370 | 4,704 | 4,628 | |
Intersegment sales | 67 | 56 | 127 | 108 | |
Depreciation and Amortization | 63 | 72 | 130 | 141 | |
Operating Profit (Loss) by Segment | 235 | 76 | 386 | 134 | |
Total assets | 7,913 | 7,913 | 7,894 | ||
Capital expenditures | 49 | 78 | 97 | 145 | |
Latin America
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Segment Reporting Information [Line Items] | |||||
Segment Reporting Information, Revenue for Reportable Segment | 1,154 | 1,307 | 2,413 | 2,534 | |
Intersegment sales | 44 | 51 | 86 | 92 | |
Depreciation and Amortization | 25 | 26 | 50 | 52 | |
Operating Profit (Loss) by Segment | 103 | 166 | 224 | 339 | |
Total assets | 3,534 | 3,534 | 3,620 | ||
Capital expenditures | 17 | 25 | 35 | 42 | |
EMEA
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Segment Reporting Information [Line Items] | |||||
Segment Reporting Information, Revenue for Reportable Segment | 692 | 841 | 1,380 | 1,584 | |
Intersegment sales | 32 | 46 | 73 | 96 | |
Depreciation and Amortization | 26 | 28 | 50 | 53 | |
Operating Profit (Loss) by Segment | (26) | 20 | (21) | 44 | |
Total assets | 2,539 | 2,539 | 2,839 | ||
Capital expenditures | 17 | 20 | 28 | 32 | |
Asia
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Segment Reporting Information [Line Items] | |||||
Segment Reporting Information, Revenue for Reportable Segment | 241 | 257 | 443 | 465 | |
Intersegment sales | 62 | 54 | 114 | 96 | |
Depreciation and Amortization | 5 | 6 | 10 | 11 | |
Operating Profit (Loss) by Segment | 14 | 14 | 23 | 25 | |
Total assets | 812 | 812 | 797 | ||
Capital expenditures | 6 | 5 | 13 | 9 | |
Other/Eliminations
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Segment Reporting Information [Line Items] | |||||
Segment Reporting Information, Revenue for Reportable Segment | (41) | (45) | (80) | (81) | |
Intersegment sales | (205) | (207) | (400) | (392) | |
Depreciation and Amortization | 27 | 13 | 57 | 29 | |
Operating Profit (Loss) by Segment | (131) | (53) | (212) | (92) | |
Total assets | (191) | (191) | 31 | ||
Capital expenditures | $ 6 | $ 16 | $ 14 | $ 31 |
Stockholders' Equity (Schedule of Changes in Stockholders' Equity) (Details) (USD $)
In Millions, unless otherwise specified |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2012
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Jun. 30, 2011
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Jun. 30, 2012
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Jun. 30, 2011
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Stockholders' equity, December 31, 2011 | $ 4,280 | |||
Net earnings | 120 | (164) | 217 | 14 |
Net Income (Loss) Attributable to Parent | 113 | (161) | 205 | 8 |
Net Income (Loss) Attributable to Noncontrolling Interest | 7 | (3) | 12 | 6 |
Other comprehensive income | (150) | |||
Comprehensive Income (Loss) | (127) | (46) | 67 | 224 |
Comprehensive Income (Loss), Net of Tax, Attributable to Noncontrolling Interest | 5 | 8 | 12 | 10 |
Treasury Stock | 28 | |||
Additional paid-in capital | 26 | |||
Dividends declared on common stock | (84) | |||
Stockholders' equity, June 30, 2012 | 4,318 | 4,318 | ||
Parent [Member]
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Stockholders' equity, December 31, 2011 | 4,181 | |||
Net Income (Loss) Attributable to Parent | 113 | 205 | ||
Other comprehensive income | (150) | |||
Comprehensive Income (Loss) | 55 | |||
Treasury Stock | 28 | |||
Additional paid-in capital | 26 | |||
Dividends declared on common stock | (78) | |||
Stockholders' equity, June 30, 2012 | 4,213 | 4,213 | ||
Noncontrolling Interest [Member]
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Stockholders' equity, December 31, 2011 | 99 | |||
Other comprehensive income | 0 | |||
Stock Issued During Period, Value, New Issues | 0 | |||
Treasury Stock | 0 | |||
Additional paid-in capital | 0 | |||
Dividends declared on common stock | (6) | |||
Stockholders' equity, June 30, 2012 | $ 105 | $ 105 |
Inventories
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6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2012
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Inventory, Net [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Inventories | INVENTORIES The following table summarizes our inventory for the periods presented:
LIFO inventories represented 43% and 41% of total inventories at June 30, 2012 and December 31, 2011, respectively. |