Delaware | 06-0495050 | |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) | |
3001 Summer Street, Stamford, Connecticut | 06926 | |
(Address of principal executive offices) | (Zip Code) |
(203) 356-5000 |
(Registrant’s telephone number, including area code) |
Large accelerated filer þ | Accelerated filer o | Non-accelerated filer o | Smaller reporting company o |
Page Number | ||
Condensed Consolidated Statements of Income for the Three Months Ended March 31, 2016 and 2015 | ||
Condensed Consolidated Statements of Comprehensive Income for the Three Months Ended March 31, 2016 and 2015 | ||
Condensed Consolidated Balance Sheets at March 31, 2016 and December 31, 2015 | ||
Condensed Consolidated Statements of Cash Flows for the Three Months Ended March 31, 2016 and 2015 | ||
Three Months Ended March 31, | |||||||
2016 | 2015 | ||||||
Revenue: | |||||||
Equipment sales | $ | 159,361 | $ | 165,964 | |||
Supplies | 72,051 | 73,368 | |||||
Software | 78,058 | 86,357 | |||||
Rentals | 104,090 | 113,997 | |||||
Financing | 97,423 | 105,630 | |||||
Support services | 128,260 | 139,558 | |||||
Business services | 205,346 | 205,807 | |||||
Total revenue | 844,589 | 890,681 | |||||
Costs and expenses: | |||||||
Cost of equipment sales | 71,539 | 75,013 | |||||
Cost of supplies | 20,690 | 22,659 | |||||
Cost of software | 26,815 | 29,864 | |||||
Cost of rentals | 20,495 | 20,701 | |||||
Financing interest expense | 14,915 | 18,770 | |||||
Cost of support services | 75,249 | 83,599 | |||||
Cost of business services | 135,538 | 139,919 | |||||
Selling, general and administrative | 326,882 | 314,529 | |||||
Research and development | 26,568 | 26,048 | |||||
Restructuring charges, net | 6,933 | (81 | ) | ||||
Interest expense, net | 19,301 | 24,064 | |||||
Total costs and expenses | 744,925 | 755,085 | |||||
Income from continuing operations before income taxes | 99,664 | 135,596 | |||||
Provision for income taxes | 37,024 | 50,547 | |||||
Income from continuing operations | 62,640 | 85,049 | |||||
Income from discontinued operations, net of tax | — | 157 | |||||
Net income | 62,640 | 85,206 | |||||
Less: Preferred stock dividends attributable to noncontrolling interests | 4,594 | 4,594 | |||||
Net income attributable to Pitney Bowes Inc. | $ | 58,046 | $ | 80,612 | |||
Amounts attributable to common stockholders: | |||||||
Net income from continuing operations | $ | 58,046 | $ | 80,455 | |||
Income from discontinued operations, net of tax | — | 157 | |||||
Net income attributable to Pitney Bowes Inc. | $ | 58,046 | $ | 80,612 | |||
Basic earnings per share attributable to common stockholders: | |||||||
Continuing operations | $ | 0.30 | $ | 0.40 | |||
Discontinued operations | — | — | |||||
Net income attributable to Pitney Bowes Inc. | $ | 0.30 | $ | 0.40 | |||
Diluted earnings per share attributable to common stockholders: | |||||||
Continuing operations | $ | 0.30 | $ | 0.40 | |||
Discontinued operations | — | — | |||||
Net income attributable to Pitney Bowes Inc. | $ | 0.30 | $ | 0.40 | |||
Dividends declared per share of common stock | $ | 0.1875 | $ | 0.1875 |
Three Months Ended March 31, | |||||||
2016 | 2015 | ||||||
Net income | $ | 62,640 | $ | 85,206 | |||
Less: Preferred stock dividends attributable to noncontrolling interests | 4,594 | 4,594 | |||||
Net income attributable to Pitney Bowes Inc. | 58,046 | 80,612 | |||||
Other comprehensive income (loss), net of tax: | |||||||
Foreign currency translations | 39,849 | (72,179 | ) | ||||
Net unrealized (loss) gain on cash flow hedges, net of tax of $(18), and $341, respectively | (28 | ) | 549 | ||||
Net unrealized gain on investment securities, net of tax of $2,029 and $1,012, respectively | 3,454 | 1,730 | |||||
Adjustments to pension and postretirement plans, net of tax of $(777) and $0, respectively | (1,230 | ) | — | ||||
Amortization of pension and postretirement costs, net of tax of $3,799, and $4,167, respectively | 6,748 | 7,409 | |||||
Other comprehensive income (loss), net of tax | 48,793 | (62,491 | ) | ||||
Comprehensive income attributable to Pitney Bowes Inc. | $ | 106,839 | $ | 18,121 |
March 31, 2016 | December 31, 2015 | ||||||
ASSETS | |||||||
Current assets: | |||||||
Cash and cash equivalents | $ | 612,987 | $ | 650,557 | |||
Short-term investments | 122,147 | 117,021 | |||||
Accounts receivable (net of allowance of $10,056 and $9,262, respectively) | 383,839 | 457,327 | |||||
Short-term finance receivables (net of allowance of $14,196 and $15,514, respectively) | 912,755 | 935,170 | |||||
Inventories | 100,353 | 88,824 | |||||
Current income taxes | 11,494 | 6,584 | |||||
Other current assets and prepayments | 70,609 | 64,325 | |||||
Total current assets | 2,214,184 | 2,319,808 | |||||
Property, plant and equipment, net | 335,760 | 330,088 | |||||
Rental property and equipment, net | 178,877 | 180,662 | |||||
Long-term finance receivables (net of allowance of $5,584 and $6,249, respectively) | 741,138 | 763,054 | |||||
Goodwill | 1,765,002 | 1,745,957 | |||||
Intangible assets, net | 184,047 | 187,378 | |||||
Non-current income taxes | 68,437 | 70,294 | |||||
Other assets | 518,377 | 525,891 | |||||
Total assets | $ | 6,005,822 | $ | 6,123,132 | |||
LIABILITIES, NONCONTROLLING INTERESTS AND STOCKHOLDERS’ EQUITY | |||||||
Current liabilities: | |||||||
Accounts payable and accrued liabilities | $ | 1,311,486 | $ | 1,448,321 | |||
Current income taxes | 27,471 | 16,620 | |||||
Current portion of long-term debt and notes payable | 269,732 | 461,085 | |||||
Advance billings | 356,412 | 353,025 | |||||
Total current liabilities | 1,965,101 | 2,279,051 | |||||
Deferred taxes on income | 216,648 | 205,668 | |||||
Tax uncertainties and other income tax liabilities | 67,502 | 68,429 | |||||
Long-term debt | 2,775,213 | 2,489,583 | |||||
Other non-current liabilities | 561,720 | 605,310 | |||||
Total liabilities | 5,586,184 | 5,648,041 | |||||
Commitments and contingencies (See Note 13) | |||||||
Noncontrolling interests (Preferred stockholders’ equity in subsidiaries) | 296,370 | 296,370 | |||||
Stockholders’ equity: | |||||||
Cumulative preferred stock, $50 par value, 4% convertible | 1 | 1 | |||||
Cumulative preference stock, no par value, $2.12 convertible | 492 | 505 | |||||
Common stock, $1 par value (480,000,000 shares authorized; 323,337,912 shares issued) | 323,338 | 323,338 | |||||
Additional paid-in capital | 145,755 | 161,280 | |||||
Retained earnings | 5,177,573 | 5,155,537 | |||||
Accumulated other comprehensive loss | (839,842 | ) | (888,635 | ) | |||
Treasury stock, at cost (131,097,268 and 127,816,704 shares, respectively) | (4,684,049 | ) | (4,573,305 | ) | |||
Total Pitney Bowes, Inc. stockholders’ equity | 123,268 | 178,721 | |||||
Total liabilities, noncontrolling interests and stockholders’ equity | $ | 6,005,822 | $ | 6,123,132 |
March 31, | |||||||
2016 | 2015 | ||||||
Cash flows from operating activities: | |||||||
Net income | $ | 62,640 | $ | 85,206 | |||
Restructuring payments | (21,656 | ) | (21,874 | ) | |||
Special pension plan contributions | (36,731 | ) | — | ||||
Tax payments related to other investments | — | (23,160 | ) | ||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||
Loss on disposal of businesses | 2,059 | 821 | |||||
Depreciation and amortization | 44,300 | 42,496 | |||||
Gain on debt forgiveness | (10,000 | ) | — | ||||
Stock-based compensation | 6,303 | 5,036 | |||||
Restructuring charges, net | 6,933 | (81 | ) | ||||
Changes in operating assets and liabilities, net of acquisitions/divestitures: | |||||||
Decrease in accounts receivable | 76,559 | 48,943 | |||||
Decrease in finance receivables | 54,863 | 64,590 | |||||
Increase in inventories | (11,489 | ) | (12,029 | ) | |||
Increase in other current assets and prepayments | (7,978 | ) | (13,285 | ) | |||
Decrease in accounts payable and accrued liabilities | (115,029 | ) | (157,304 | ) | |||
Increase in current and non-current income taxes | 13,380 | 53,429 | |||||
Increase in advance billings | 1,289 | 30,971 | |||||
Other, net | (7,077 | ) | 128 | ||||
Net cash provided by operating activities | 58,366 | 103,887 | |||||
Cash flows from investing activities: | |||||||
Purchases of available-for-sale securities | (31,661 | ) | (69,201 | ) | |||
Proceeds from sales/maturities of available-for-sale securities | 46,209 | 68,411 | |||||
Capital expenditures | (40,504 | ) | (43,908 | ) | |||
Acquisition of businesses, net of cash acquired | (13,371 | ) | — | ||||
Change in reserve account deposits | (16,253 | ) | (20,077 | ) | |||
Other investing activities | (4,399 | ) | (593 | ) | |||
Net cash used in investing activities | (59,979 | ) | (65,368 | ) | |||
Cash flows from financing activities: | |||||||
Proceeds from the issuance of long-term debt | 300,000 | — | |||||
Principal payments of long-term debt | (370,952 | ) | (274,879 | ) | |||
Increase in short-term borrowings, net | 179,550 | 100,000 | |||||
Dividends paid to stockholders | (36,010 | ) | (37,804 | ) | |||
Common stock repurchases | (128,451 | ) | — | ||||
Other financing activities | — | 713 | |||||
Net cash used in financing activities | (55,863 | ) | (211,970 | ) | |||
Effect of exchange rate changes on cash and cash equivalents | 19,906 | (34,935 | ) | ||||
Decrease in cash and cash equivalents | (37,570 | ) | (208,386 | ) | |||
Cash and cash equivalents at beginning of period | 650,557 | 1,054,118 | |||||
Cash and cash equivalents at end of period | $ | 612,987 | $ | 845,732 | |||
Cash interest paid | $ | 59,566 | $ | 68,187 | |||
Cash income tax payments, net of refunds | $ | 25,585 | $ | 21,197 |
Revenue | |||||||
Three Months Ended March 31, | |||||||
2016 | 2015 | ||||||
North America Mailing | $ | 349,726 | $ | 361,874 | |||
International Mailing | 103,759 | 116,173 | |||||
Small & Medium Business Solutions | 453,485 | 478,047 | |||||
Production Mail | 87,425 | 99,503 | |||||
Presort Services | 127,396 | 121,531 | |||||
Enterprise Business Solutions | 214,821 | 221,034 | |||||
Software Solutions | 77,922 | 86,237 | |||||
Global Ecommerce | 98,361 | 75,386 | |||||
Digital Commerce Solutions | 176,283 | 161,623 | |||||
Other | — | 29,977 | |||||
Total revenue | $ | 844,589 | $ | 890,681 |
EBIT | |||||||
Three Months Ended March 31, | |||||||
2016 | 2015 | ||||||
North America Mailing | $ | 155,915 | $ | 163,665 | |||
International Mailing | 11,851 | 11,724 | |||||
Small & Medium Business Solutions | 167,766 | 175,389 | |||||
Production Mail | 6,824 | 9,032 | |||||
Presort Services | 28,910 | 27,494 | |||||
Enterprise Business Solutions | 35,734 | 36,526 | |||||
Software Solutions | (2,572 | ) | 4,133 | ||||
Global Ecommerce | 772 | 8,146 | |||||
Digital Commerce Solutions | (1,800 | ) | 12,279 | ||||
Other | — | 4,958 | |||||
Total EBIT | 201,700 | 229,152 | |||||
Reconciling items: | |||||||
Interest, net | (34,216 | ) | (42,834 | ) | |||
Unallocated corporate expenses | (57,767 | ) | (50,803 | ) | |||
Restructuring charges, net | (6,933 | ) | 81 | ||||
Acquisition and disposition-related expenses | (3,120 | ) | — | ||||
Income from continuing operations before income taxes | $ | 99,664 | $ | 135,596 |
Three Months Ended March 31, | |||||||
2016 | 2015 | ||||||
Numerator: | |||||||
Net income from continuing operations | $ | 58,046 | $ | 80,455 | |||
Income from discontinued operations, net of tax | — | 157 | |||||
Net income - Pitney Bowes Inc. (numerator for diluted EPS) | 58,046 | 80,612 | |||||
Less: Preference stock dividend | 10 | 11 | |||||
Income attributable to common stockholders (numerator for basic EPS) | $ | 58,036 | $ | 80,601 | |||
Denominator: | |||||||
Weighted-average shares used in basic EPS | 192,241 | 201,337 | |||||
Effect of dilutive shares: | |||||||
Conversion of Preferred stock and Preference stock | 304 | 334 | |||||
Employee stock plans | 636 | 1,008 | |||||
Weighted-average shares used in diluted EPS | 193,181 | 202,679 | |||||
Basic earnings per share: | |||||||
Continuing operations | $ | 0.30 | $ | 0.40 | |||
Discontinued operations | — | — | |||||
Net income | $ | 0.30 | $ | 0.40 | |||
Diluted earnings per share: | |||||||
Continuing operations | $ | 0.30 | $ | 0.40 | |||
Discontinued operations | — | — | |||||
Net income | $ | 0.30 | $ | 0.40 | |||
Anti-dilutive shares not used in calculating diluted weighted-average shares: | 8,870 | 7,779 |
March 31, 2016 | December 31, 2015 | ||||||
Raw materials | $ | 29,173 | $ | 25,803 | |||
Work in process | 12,304 | 6,408 | |||||
Supplies and service parts | 44,592 | 44,323 | |||||
Finished products | 26,612 | 24,618 | |||||
Inventory at FIFO cost | 112,681 | 101,152 | |||||
Excess of FIFO cost over LIFO cost | (12,328 | ) | (12,328 | ) | |||
Total inventory, net | $ | 100,353 | $ | 88,824 |
March 31, 2016 | December 31, 2015 | ||||||||||||||||||||||
North America | International | Total | North America | International | Total | ||||||||||||||||||
Sales-type lease receivables | |||||||||||||||||||||||
Gross finance receivables | $ | 1,181,780 | $ | 299,214 | $ | 1,480,994 | $ | 1,212,390 | $ | 308,099 | $ | 1,520,489 | |||||||||||
Unguaranteed residual values | 98,801 | 15,721 | 114,522 | 100,000 | 15,709 | 115,709 | |||||||||||||||||
Unearned income | (246,061 | ) | (69,164 | ) | (315,225 | ) | (252,522 | ) | (68,965 | ) | (321,487 | ) | |||||||||||
Allowance for credit losses | (6,010 | ) | (3,146 | ) | (9,156 | ) | (6,735 | ) | (3,614 | ) | (10,349 | ) | |||||||||||
Net investment in sales-type lease receivables | 1,028,510 | 242,625 | 1,271,135 | 1,053,133 | 251,229 | 1,304,362 | |||||||||||||||||
Loan receivables | |||||||||||||||||||||||
Loan receivables | 351,513 | 41,869 | 393,382 | 363,672 | 41,604 | 405,276 | |||||||||||||||||
Allowance for credit losses | (9,072 | ) | (1,552 | ) | (10,624 | ) | (9,896 | ) | (1,518 | ) | (11,414 | ) | |||||||||||
Net investment in loan receivables | 342,441 | 40,317 | 382,758 | 353,776 | 40,086 | 393,862 | |||||||||||||||||
Net investment in finance receivables | $ | 1,370,951 | $ | 282,942 | $ | 1,653,893 | $ | 1,406,909 | $ | 291,315 | $ | 1,698,224 |
Sales-type Lease Receivables | Loan Receivables | ||||||||||||||||||
North America | International | North America | International | Total | |||||||||||||||
Balance at January 1, 2016 | $ | 6,735 | $ | 3,614 | $ | 9,896 | $ | 1,518 | $ | 21,763 | |||||||||
Amounts charged to expense | 995 | 50 | 1,300 | 157 | 2,502 | ||||||||||||||
Write-offs and other | (1,720 | ) | (518 | ) | (2,124 | ) | (123 | ) | (4,485 | ) | |||||||||
Balance at March 31, 2016 | $ | 6,010 | $ | 3,146 | $ | 9,072 | $ | 1,552 | $ | 19,780 | |||||||||
Sales-type Lease Receivables | Loan Receivables | ||||||||||||||||||
North America | International | North America | International | Total | |||||||||||||||
Balance at January 1, 2015 | $ | 10,281 | $ | 5,129 | $ | 10,912 | $ | 1,788 | $ | 28,110 | |||||||||
Amounts charged to expense | 16 | (270 | ) | 2,431 | 214 | 2,391 | |||||||||||||
Write-offs and other | (1,832 | ) | (793 | ) | (2,611 | ) | (364 | ) | (5,600 | ) | |||||||||
Balance at March 31, 2015 | $ | 8,465 | $ | 4,066 | $ | 10,732 | $ | 1,638 | $ | 24,901 |
March 31, 2016 | |||||||||||||||||||
Sales-type Lease Receivables | Loan Receivables | ||||||||||||||||||
North America | International | North America | International | Total | |||||||||||||||
1 - 90 days | $ | 1,159,519 | $ | 294,247 | $ | 347,336 | $ | 41,411 | $ | 1,842,513 | |||||||||
> 90 days | 22,261 | 4,967 | 4,177 | 458 | 31,863 | ||||||||||||||
Total | $ | 1,181,780 | $ | 299,214 | $ | 351,513 | $ | 41,869 | $ | 1,874,376 | |||||||||
Past due amounts > 90 days | |||||||||||||||||||
Still accruing interest | $ | 6,904 | $ | 1,371 | $ | — | $ | — | $ | 8,275 | |||||||||
Not accruing interest | 15,357 | 3,596 | 4,177 | 458 | 23,588 | ||||||||||||||
Total | $ | 22,261 | $ | 4,967 | $ | 4,177 | $ | 458 | $ | 31,863 |
December 31, 2015 | |||||||||||||||||||
Sales-type Lease Receivables | Loan Receivables | ||||||||||||||||||
North America | International | North America | International | Total | |||||||||||||||
1 - 90 days | $ | 1,193,232 | $ | 303,017 | $ | 360,052 | $ | 41,117 | $ | 1,897,418 | |||||||||
> 90 days | 19,158 | 5,082 | 3,620 | 487 | 28,347 | ||||||||||||||
Total | $ | 1,212,390 | $ | 308,099 | $ | 363,672 | $ | 41,604 | $ | 1,925,765 | |||||||||
Past due amounts > 90 days | |||||||||||||||||||
Still accruing interest | $ | 5,041 | $ | 1,617 | $ | — | $ | — | $ | 6,658 | |||||||||
Not accruing interest | 14,117 | 3,465 | 3,620 | 487 | 21,689 | ||||||||||||||
Total | $ | 19,158 | $ | 5,082 | $ | 3,620 | $ | 487 | $ | 28,347 |
• | Low risk accounts are companies with very good credit scores and are considered to approximate the top 30% of all commercial borrowers. |
• | Medium risk accounts are companies with average to good credit scores and are considered to approximate the middle 40% of all commercial borrowers. |
• | High risk accounts are companies with poor credit scores, are delinquent or are at risk of becoming delinquent and are considered to approximate the bottom 30% of all commercial borrowers. |
March 31, 2016 | December 31, 2015 | ||||||
Sales-type lease receivables | |||||||
Low | $ | 915,792 | $ | 926,387 | |||
Medium | 194,933 | 192,645 | |||||
High | 35,904 | 37,573 | |||||
Not Scored | 35,151 | 55,785 | |||||
Total | $ | 1,181,780 | $ | 1,212,390 | |||
Loan receivables | |||||||
Low | $ | 248,426 | $ | 260,204 | |||
Medium | 82,061 | 85,671 | |||||
High | 9,550 | 10,810 | |||||
Not Scored | 11,476 | 6,987 | |||||
Total | $ | 351,513 | $ | 363,672 |
March 31, 2016 | December 31, 2015 | ||||||||||||||||||||||
Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | ||||||||||||||||||
Customer relationships | $ | 445,179 | $ | (283,209 | ) | $ | 161,970 | $ | 437,459 | $ | (272,353 | ) | $ | 165,106 | |||||||||
Software & technology | 151,337 | (137,215 | ) | 14,122 | 149,591 | (135,198 | ) | 14,393 | |||||||||||||||
Trademarks & other | 36,178 | (28,223 | ) | 7,955 | 35,314 | (27,435 | ) | 7,879 | |||||||||||||||
Total intangible assets | $ | 632,694 | $ | (448,647 | ) | $ | 184,047 | $ | 622,364 | $ | (434,986 | ) | $ | 187,378 |
Remaining for year ending December 31, 2016 | $ | 28,051 | |
Year ending December 31, 2017 | 28,294 | ||
Year ending December 31, 2018 | 25,695 | ||
Year ending December 31, 2019 | 22,606 | ||
Year ending December 31, 2020 | 17,795 | ||
Thereafter | 61,606 | ||
Total | $ | 184,047 |
December 31, 2015 | Acquisitions | Foreign currency translation | March 31, 2016 | ||||||||||||
North America Mailing | $ | 296,053 | $ | — | $ | 5,497 | $ | 301,550 | |||||||
International Mailing | 148,351 | — | 5,566 | 153,917 | |||||||||||
Small & Medium Business Solutions | 444,404 | — | 11,063 | 455,467 | |||||||||||
Production Mail | 105,757 | — | 1,178 | 106,935 | |||||||||||
Presort Services | 196,890 | — | 196,890 | ||||||||||||
Enterprise Business Solutions | 302,647 | — | 1,178 | 303,825 | |||||||||||
Software Solutions | 674,976 | — | (965 | ) | 674,011 | ||||||||||
Global Ecommerce | 323,930 | 7,769 | — | 331,699 | |||||||||||
Digital Commerce Solutions | 998,906 | 7,769 | (965 | ) | 1,005,710 | ||||||||||
Total goodwill | $ | 1,745,957 | $ | 7,769 | $ | 11,276 | $ | 1,765,002 |
Level 1 – | Unadjusted quoted prices in active markets for identical assets and liabilities. |
Level 2 – | Quoted prices for identical assets and liabilities in markets that are not active, quoted prices for similar assets and liabilities in active markets or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. |
Level 3 – | Unobservable inputs that are supported by little or no market activity, may be derived from internally developed methodologies based on management’s best estimate of fair value and that are significant to the fair value of the asset or liability. |
March 31, 2016 | |||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Assets: | |||||||||||||||
Investment securities | |||||||||||||||
Money market funds / commercial paper | $ | 20,453 | $ | 181,894 | $ | — | $ | 202,347 | |||||||
Equity securities | — | 22,413 | — | 22,413 | |||||||||||
Commingled fixed income securities | — | 23,811 | — | 23,811 | |||||||||||
Debt securities - U.S. and foreign governments, agencies and municipalities | 120,388 | 12,537 | — | 132,925 | |||||||||||
Debt securities - corporate | — | 62,671 | — | 62,671 | |||||||||||
Mortgage-backed / asset-backed securities | — | 165,354 | — | 165,354 | |||||||||||
Derivatives | |||||||||||||||
Foreign exchange contracts | — | 145 | — | 145 | |||||||||||
Total assets | $ | 140,841 | $ | 468,825 | $ | — | $ | 609,666 | |||||||
Liabilities: | |||||||||||||||
Derivatives | |||||||||||||||
Foreign exchange contracts | $ | — | $ | (5,507 | ) | $ | — | $ | (5,507 | ) | |||||
Total liabilities | $ | — | $ | (5,507 | ) | $ | — | $ | (5,507 | ) |
December 31, 2015 | |||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||
Assets: | |||||||||||||||
Investment securities | |||||||||||||||
Money market funds / commercial paper | $ | 41,215 | $ | 292,412 | $ | — | $ | 333,627 | |||||||
Equity securities | — | 24,538 | — | 24,538 | |||||||||||
Commingled fixed income securities | — | 22,571 | — | 22,571 | |||||||||||
Debt securities - U.S. and foreign governments, agencies and municipalities | 102,235 | 12,566 | — | 114,801 | |||||||||||
Debt securities - corporate | — | 62,884 | — | 62,884 | |||||||||||
Mortgage-backed / asset-backed securities | — | 178,234 | — | 178,234 | |||||||||||
Derivatives | |||||||||||||||
Foreign exchange contracts | — | 1,716 | — | 1,716 | |||||||||||
Total assets | $ | 143,450 | $ | 594,921 | $ | — | $ | 738,371 | |||||||
Liabilities: | |||||||||||||||
Derivatives | |||||||||||||||
Foreign exchange contracts | $ | — | $ | (5,387 | ) | $ | — | $ | (5,387 | ) | |||||
Total liabilities | $ | — | $ | (5,387 | ) | $ | — | $ | (5,387 | ) |
• | Money Market Funds / Commercial Paper: Money market funds typically invest in government securities, certificates of deposit, commercial paper and other highly liquid, low risk securities. Money market funds are principally used for overnight deposits and are classified as Level 1 when unadjusted quoted prices in active markets are available and as Level 2 when they are not actively traded on an exchange. Direct investments in commercial paper are not listed on an exchange in an active market and are classified as Level 2. |
• | Equity Securities: Equity securities are comprised of mutual funds investing in U.S. and foreign common stock. These mutual funds are classified as Level 2 as they are not separately listed on an exchange. |
• | Commingled Fixed Income Securities: Mutual funds that invest in a variety of fixed income securities including securities of the U.S. government and its agencies, corporate debt, mortgage-backed securities and asset-backed securities. The value of the funds is based on the market value of the underlying investments owned by each fund, minus its liabilities, divided by the number of shares outstanding, as reported by the fund manager. These commingled funds are not listed on an exchange in an active market and are classified as Level 2. |
• | Debt Securities – U.S. and Foreign Governments, Agencies and Municipalities: Debt securities are classified as Level 1 where active, high volume trades for identical securities exist. Valuation adjustments are not applied to these securities. Debt securities valued using quoted market prices for similar securities or benchmarking model derived prices to quoted market prices and trade data for identical or comparable securities are classified as Level 2. |
• | Debt Securities – Corporate: Corporate debt securities are valued using recently executed transactions, market price quotations where observable, or bond spreads. The spread data used are for the same maturity as the security. These securities are classified as Level 2. |
• | Mortgage-Backed Securities / Asset-Backed Securities: These securities are valued based on external pricing indices. When external index pricing is not observable, these securities are valued based on external price/spread data. These securities are classified as Level 2. |
March 31, 2016 | |||||||||||||||
Amortized cost | Gross unrealized gains | Gross unrealized losses | Estimated fair value | ||||||||||||
U.S. and foreign governments, agencies and municipalities | $ | 129,918 | $ | 3,328 | $ | (321 | ) | $ | 132,925 | ||||||
Corporate notes and bonds | 61,181 | 1,869 | (379 | ) | 62,671 | ||||||||||
Commingled fixed income securities | 1,542 | 14 | — | 1,556 | |||||||||||
Mortgage-backed / asset-backed securities | 163,491 | 3,024 | (1,161 | ) | 165,354 | ||||||||||
Total | $ | 356,132 | $ | 8,235 | $ | (1,861 | ) | $ | 362,506 |
December 31, 2015 | |||||||||||||||
Amortized cost | Gross unrealized gains | Gross unrealized losses | Estimated fair value | ||||||||||||
U.S. and foreign governments, agencies and municipalities | $ | 114,265 | $ | 1,804 | $ | (1,268 | ) | $ | 114,801 | ||||||
Corporate notes and bonds | 63,140 | 823 | (1,079 | ) | 62,884 | ||||||||||
Mortgage-backed / asset-backed securities | 177,821 | 1,901 | (1,488 | ) | 178,234 | ||||||||||
Total | $ | 355,226 | $ | 4,528 | $ | (3,835 | ) | $ | 355,919 |
Amortized cost | Estimated fair value | ||||||
Within 1 year | $ | 64,649 | $ | 64,711 | |||
After 1 year through 5 years | 78,466 | 79,906 | |||||
After 5 years through 10 years | 52,093 | 53,610 | |||||
After 10 years | 160,924 | 164,279 | |||||
Total | $ | 356,132 | $ | 362,506 |
Designation of Derivatives | Balance Sheet Location | March 31, 2016 | December 31, 2015 | |||||||
Derivatives designated as hedging instruments | ||||||||||
Foreign exchange contracts | Other current assets and prepayments | $ | 122 | $ | 217 | |||||
Accounts payable and accrued liabilities: | (661 | ) | (208 | ) | ||||||
Derivatives not designated as hedging instruments | ||||||||||
Foreign exchange contracts | Other current assets and prepayments | 23 | 1,499 | |||||||
Accounts payable and accrued liabilities: | (4,846 | ) | (5,179 | ) | ||||||
Total derivative assets | $ | 145 | $ | 1,716 | ||||||
Total derivative liabilities | (5,507 | ) | (5,387 | ) | ||||||
Total net derivative liabilities | $ | (5,362 | ) | $ | (3,671 | ) |
Three Months Ended March 31, | ||||||||||||||||||
Derivative Gain (Loss) Recognized in AOCL (Effective Portion) | Location of Gain (Loss) (Effective Portion) | Gain (Loss) Reclassified from AOCL to Earnings (Effective Portion) | ||||||||||||||||
Derivative Instrument | 2016 | 2015 | 2016 | 2015 | ||||||||||||||
Foreign exchange contracts | $ | (393 | ) | $ | (409 | ) | Revenue | $ | (380 | ) | $ | (396 | ) | |||||
Cost of sales | 225 | (395 | ) | |||||||||||||||
$ | (155 | ) | $ | (791 | ) |
Three Months Ended March 31, | ||||||||||
Derivative Gain (Loss) Recognized in Earnings | ||||||||||
Derivatives Instrument | Location of Derivative Gain (Loss) | 2016 | 2015 | |||||||
Foreign exchange contracts | Selling, general and administrative expense | $ | (5,977 | ) | $ | (208 | ) |
March 31, 2016 | December 31, 2015 | ||||||
Carrying value excluding unamortized debt issuance costs | $ | 3,065,603 | $ | 2,968,997 | |||
Fair value | $ | 3,203,797 | $ | 3,102,890 |
Severance and benefits costs | Other exit costs | Total | |||||||||
Balance at January 1, 2016 | $ | 43,700 | $ | 3,722 | $ | 47,422 | |||||
Expenses, net | 4,590 | 1,060 | 5,650 | ||||||||
Cash payments | (19,956 | ) | (1,700 | ) | (21,656 | ) | |||||
Balance at March 31, 2016 | $ | 28,334 | $ | 3,082 | $ | 31,416 | |||||
Balance at January 1, 2015 | $ | 81,836 | $ | 8,343 | $ | 90,179 | |||||
Expenses, net | (51 | ) | (30 | ) | (81 | ) | |||||
Cash payments | (19,884 | ) | (1,990 | ) | (21,874 | ) | |||||
Balance at March 31, 2015 | $ | 61,901 | $ | 6,323 | $ | 68,224 |
Interest rate | March 31, 2016 | December 31, 2015 | |||||||
Commercial paper | 1.13% | $ | 269,550 | $ | 90,000 | ||||
Notes due January 2016 | 4.75% | — | 370,914 | ||||||
Notes due September 2017 | 5.75% | 385,109 | 385,109 | ||||||
Notes due March 2018 | 5.6% | 250,000 | 250,000 | ||||||
Notes due May 2018 | 4.75% | 350,000 | 350,000 | ||||||
Notes due March 2019 | 6.25% | 300,000 | 300,000 | ||||||
Notes due March 2024 | 4.625% | 500,000 | 500,000 | ||||||
Notes due January 2037 | 5.25% | 115,041 | 115,041 | ||||||
Notes due March 2043 | 6.7% | 425,000 | 425,000 | ||||||
Term loans | Variable | 450,000 | 150,000 | ||||||
Other debt | 5,770 | 15,758 | |||||||
Principal amount | 3,050,470 | 2,951,822 | |||||||
Less: unamortized discount and debt issuance costs | 25,630 | 23,617 | |||||||
Plus: unamortized interest rate swap proceeds | 20,105 | 22,463 | |||||||
Total debt | 3,044,945 | 2,950,668 | |||||||
Less: current portion long-term debt and notes payable | 269,732 | 461,085 | |||||||
Long-term debt | $ | 2,775,213 | $ | 2,489,583 |
Defined Benefit Pension Plans | Nonpension Postretirement Benefit Plans | ||||||||||||||||||||||
United States | Foreign | ||||||||||||||||||||||
Three Months Ended | Three Months Ended | Three Months Ended | |||||||||||||||||||||
March 31, | March 31, | March 31, | |||||||||||||||||||||
2016 | 2015 | 2016 | 2015 | 2016 | 2015 | ||||||||||||||||||
Service cost | $ | 32 | $ | 38 | $ | 527 | $ | 565 | $ | 501 | $ | 679 | |||||||||||
Interest cost | 18,830 | 18,859 | 5,661 | 6,063 | 2,136 | 2,375 | |||||||||||||||||
Expected return on plan assets | (25,589 | ) | (26,044 | ) | (8,472 | ) | (8,839 | ) | — | — | |||||||||||||
Amortization of transition credit | — | — | (2 | ) | (2 | ) | — | — | |||||||||||||||
Amortization of prior service (credit) cost | (15 | ) | 2 | (17 | ) | (17 | ) | 74 | 74 | ||||||||||||||
Amortization of net actuarial loss | 6,706 | 7,648 | 1,343 | 1,480 | 1,360 | 2,391 | |||||||||||||||||
Settlement (1) | 1,098 | — | — | — | — | — | |||||||||||||||||
Net periodic benefit cost (income) | $ | 1,062 | $ | 503 | $ | (960 | ) | $ | (750 | ) | $ | 4,071 | $ | 5,519 |
Preferred stock | Preference stock | Common stock | Additional paid-in capital | Retained earnings | Accumulated other comprehensive loss | Treasury stock | Total equity | ||||||||||||||||||||||||
Balance at January 1, 2016 | $ | 1 | $ | 505 | $ | 323,338 | $ | 161,280 | $ | 5,155,537 | $ | (888,635 | ) | $ | (4,573,305 | ) | $ | 178,721 | |||||||||||||
Net income | — | — | — | — | 58,046 | — | — | 58,046 | |||||||||||||||||||||||
Other comprehensive income | — | — | — | — | — | 48,793 | — | 48,793 | |||||||||||||||||||||||
Dividends declared | — | — | — | — | (36,010 | ) | — | — | (36,010 | ) | |||||||||||||||||||||
Issuance of common stock | — | — | — | (21,555 | ) | — | — | 17,421 | (4,134 | ) | |||||||||||||||||||||
Conversion to common stock | (13 | ) | — | (273 | ) | — | — | 286 | — | ||||||||||||||||||||||
Stock-based compensation expense | — | — | — | 6,303 | — | — | — | 6,303 | |||||||||||||||||||||||
Repurchase of common stock | — | — | — | — | — | — | (128,451 | ) | (128,451 | ) | |||||||||||||||||||||
Balance at March 31, 2016 | $ | 1 | $ | 492 | $ | 323,338 | $ | 145,755 | $ | 5,177,573 | $ | (839,842 | ) | $ | (4,684,049 | ) | $ | 123,268 |
Preferred stock | Preference stock | Common stock | Additional paid-in capital | Retained earnings | Accumulated other comprehensive loss | Treasury stock | Total equity | ||||||||||||||||||||||||
Balance at January 1, 2015 | $ | 1 | $ | 548 | $ | 323,338 | $ | 178,852 | $ | 4,897,708 | $ | (846,156 | ) | $ | (4,477,032 | ) | $ | 77,259 | |||||||||||||
Net income | — | — | — | — | 80,612 | — | — | 80,612 | |||||||||||||||||||||||
Other comprehensive loss | — | — | — | — | — | (62,491 | ) | — | (62,491 | ) | |||||||||||||||||||||
Dividends declared | — | — | — | — | (37,815 | ) | — | — | (37,815 | ) | |||||||||||||||||||||
Issuance of common stock | — | — | — | (30,914 | ) | — | — | 23,248 | (7,666 | ) | |||||||||||||||||||||
Conversion to common stock | — | (5 | ) | — | (105 | ) | — | — | 110 | — | |||||||||||||||||||||
Stock-based compensation expense | — | — | — | 5,036 | — | — | — | 5,036 | |||||||||||||||||||||||
Balance at March 31, 2015 | $ | 1 | $ | 543 | $ | 323,338 | $ | 152,869 | $ | 4,940,505 | $ | (908,647 | ) | $ | (4,453,674 | ) | $ | 54,935 |
Amount Reclassified from AOCL (a) | |||||||
Three Months Ended March 31, | |||||||
2016 | 2015 | ||||||
Gains (losses) on cash flow hedges | |||||||
Revenue | $ | (380 | ) | $ | (396 | ) | |
Cost of sales | 225 | (395 | ) | ||||
Interest expense, net | (507 | ) | (507 | ) | |||
Total before tax | (662 | ) | (1,298 | ) | |||
Benefit for income tax | (258 | ) | (502 | ) | |||
Net of tax | $ | (404 | ) | $ | (796 | ) | |
Gains (losses) on available for sale securities | |||||||
Interest expense, net | $ | 18 | $ | (24 | ) | ||
Provision (benefit) for income tax | 7 | (9 | ) | ||||
Net of tax | $ | 11 | $ | (15 | ) | ||
Pension and Postretirement Benefit Plans (b) | |||||||
Transition credit | $ | 2 | $ | 2 | |||
Prior service costs | (42 | ) | (59 | ) | |||
Actuarial losses | (9,409 | ) | (11,519 | ) | |||
Settlements | (1,098 | ) | — | ||||
Total before tax | (10,547 | ) | (11,576 | ) | |||
Benefit for income tax | (3,799 | ) | (4,167 | ) | |||
Net of tax | $ | (6,748 | ) | $ | (7,409 | ) |
(b) | Reclassified from accumulated other comprehensive loss into selling, general and administrative expenses. These amounts are included in the computation of net periodic costs (see Note 10 for additional details). |
Cash flow hedges | Available for sale securities | Pension and postretirement benefit plans | Foreign currency adjustments | Total | |||||||||||||||
Balance at January 1, 2016 | $ | (3,912 | ) | $ | 536 | $ | (738,768 | ) | $ | (146,491 | ) | $ | (888,635 | ) | |||||
Other comprehensive income (loss) before reclassifications (a) | (432 | ) | 3,465 | (1,230 | ) | 39,849 | 41,652 | ||||||||||||
Reclassifications into earnings (a), (b) | 404 | (11 | ) | 6,748 | — | 7,141 | |||||||||||||
Net other comprehensive income (loss) | (28 | ) | 3,454 | 5,518 | 39,849 | 48,793 | |||||||||||||
Balance at March 31, 2016 | $ | (3,940 | ) | $ | 3,990 | $ | (733,250 | ) | $ | (106,642 | ) | $ | (839,842 | ) |
Cash flow hedges | Available for sale securities | Pension and postretirement benefit plans | Foreign currency adjustments | Total | |||||||||||||||
Balance at January 1, 2015 | $ | (4,689 | ) | $ | 2,966 | $ | (786,079 | ) | $ | (58,354 | ) | $ | (846,156 | ) | |||||
Other comprehensive income (loss) before reclassifications (a) | (247 | ) | 1,715 | — | (72,179 | ) | (70,711 | ) | |||||||||||
Reclassifications into earnings (a), (b) | 796 | 15 | 7,409 | — | 8,220 | ||||||||||||||
Net other comprehensive income (loss) | 549 | 1,730 | 7,409 | (72,179 | ) | (62,491 | ) | ||||||||||||
Balance at March 31, 2015 | $ | (4,140 | ) | $ | 4,696 | $ | (778,670 | ) | $ | (130,533 | ) | $ | (908,647 | ) |
• | declining physical mail volumes |
• | competitive factors, including pricing pressures, technological developments and introduction of new products and services by competitors |
• | our success in developing new products and services, including digital-based products and services, obtaining regulatory approval if required, and the market’s acceptance of these new products and services |
• | our ability to successfully implement and transition to a new Enterprise Resource Planning (ERP) system without significant disruption to existing operations |
• | the success of our investment in rebranding the company, including advertising, to build market awareness and create new demand for our businesses |
• | changes in postal or banking regulations |
• | macroeconomic factors, including global and regional business conditions that adversely impact customer demand, access to capital markets at reasonable costs, changes in interest rates, foreign currency exchange rates and fuel prices |
• | the continued availability and security of key information systems and the cost to comply with information security requirements and privacy laws |
• | third-party suppliers' ability to provide product components, assemblies or inventories |
• | our success at managing the relationships with our outsource providers, including the costs of outsourcing functions and operations not central to our business |
• | the loss of some of our larger clients in the Global Ecommerce segment |
• | integrating newly acquired businesses including operations and product and service offerings |
• | intellectual property infringement claims |
• | our success at managing customer credit risk |
• | significant changes in pension, health care and retiree medical costs |
• | income tax adjustments or other regulatory levies for prior audit years and changes in tax laws, rulings or regulations |
• | a disruption of our businesses due to changes in international or national political conditions, including the use of the mail for transmitting harmful biological agents or other terrorist attacks |
• | acts of nature |
• | Equipment sales declined 4% (1% from foreign currency translation, 2% from Market Exits), software declined 10% (3% from foreign currency translation), rentals revenue declined 9% (1% from foreign currency translation), financing revenue declined 8% (1% from foreign currency translation) and support services declined 8% (2% from foreign currency translation, 1% from Market Exits). |
• | Small & Medium Business Solutions revenue decreased 5%. North America Mailing revenue was down 3% and International Mailing revenue was down 11% (4% from foreign currency translation and 2% from Market Exits). |
• | Enterprise Business Solutions revenue decreased 3%. Production Mail decreased 12% (1% from foreign currency translation and 3% from Market Exits) and Presort Services increased 5%. |
• | Digital Commerce Solutions revenue increased 9%. Software Solutions decreased 10% (3% from foreign currency translation) and Global Ecommerce increased 30% primarily due to expansion of our retail network, including the acquisition of Borderfree. |
• | Revenue was negatively impacted by the absence of revenue from the 2015 sale of Imagitas. |
• | The decline in revenue; |
• | Incremental costs related to our advertising campaign and new ERP system; |
• | The absence of earnings from the 2015 sale of Imagitas; |
• | Incremental expenses associated with Borderfree; and |
• | Disposition costs associated with the exit of certain geographic markets during the first quarter of 2016. |
• | Generated cash from operations of $58 million; |
• | Acquired Enroute for $14 million; |
• | Paid dividends of $36 million to our common stockholders; |
• | Spent $128 million repurchasing our common stock; and |
• | Increased net borrowings by approximately $100 million. |
Three Months Ended March 31, | ||||||||||
2016 | 2015 | % change | ||||||||
Equipment sales | $ | 159,361 | $ | 165,964 | (4 | )% | ||||
Supplies | 72,051 | 73,368 | (2 | )% | ||||||
Software | 78,058 | 86,357 | (10 | )% | ||||||
Rentals | 104,090 | 113,997 | (9 | )% | ||||||
Financing | 97,423 | 105,630 | (8 | )% | ||||||
Support services | 128,260 | 139,558 | (8 | )% | ||||||
Business services | 205,346 | 205,807 | — | % | ||||||
Total revenue | $ | 844,589 | $ | 890,681 | (5 | )% |
Three Months Ended March 31, | |||||||||||||
Percentage of Revenue | |||||||||||||
2016 | 2015 | 2016 | 2015 | ||||||||||
Cost of equipment sales | $ | 71,539 | $ | 75,013 | 44.9 | % | 45.2 | % | |||||
Cost of supplies | 20,690 | 22,659 | 28.7 | % | 30.9 | % | |||||||
Cost of software | 26,815 | 29,864 | 34.4 | % | 34.6 | % | |||||||
Cost of rentals | 20,495 | 20,701 | 19.7 | % | 18.2 | % | |||||||
Financing interest expense | 14,915 | 18,770 | 15.3 | % | 17.8 | % | |||||||
Cost of support services | 75,249 | 83,599 | 58.7 | % | 59.9 | % | |||||||
Cost of business services | 135,538 | 139,919 | 66.0 | % | 68.0 | % | |||||||
Total cost of revenue | $ | 365,241 | $ | 390,525 | 43.2 | % | 43.8 | % |
• | 3% from lower installations of production mail inserter equipment mainly in the U.S. and U.K.; and |
• | 1% from lower mailing equipment sales internationally primarily in the U.K. and Nordics. |
• | 5% from lower worldwide licensing revenue reflecting fewer large licensing deals; and |
• | 1% from lower data revenue. |
• | 4% from our worldwide mailing businesses driven by a lower number of mailing machines in service and a shift to less-featured, lower cost machines; and |
• | 1% from our production mail business reflecting lower maintenance revenue on production mail equipment as some in-house mailers moved their mail processing to third-party service bureaus who service some of their own equipment. |
Revenue | EBIT | ||||||||||||||||||||
2016 | 2015 | % change | 2016 | 2015 | % change | ||||||||||||||||
North America Mailing | $ | 349,726 | $ | 361,874 | (3 | )% | $ | 155,915 | $ | 163,665 | (5 | )% | |||||||||
International Mailing | 103,759 | 116,173 | (11 | )% | 11,851 | 11,724 | 1 | % | |||||||||||||
Small & Medium Business Solutions | 453,485 | 478,047 | (5 | )% | 167,766 | 175,389 | (4 | )% | |||||||||||||
Production Mail | 87,425 | 99,503 | (12 | )% | 6,824 | 9,032 | (24 | )% | |||||||||||||
Presort Services | 127,396 | 121,531 | 5 | % | 28,910 | 27,494 | 5 | % | |||||||||||||
Enterprise Business Solutions | 214,821 | 221,034 | (3 | )% | 35,734 | 36,526 | (2 | )% | |||||||||||||
Software Solutions | 77,922 | 86,237 | (10 | )% | (2,572 | ) | 4,133 | > (100)% | |||||||||||||
Global Ecommerce | 98,361 | 75,386 | 30 | % | 772 | 8,146 | (91 | )% | |||||||||||||
Digital Commerce Solutions | 176,283 | 161,623 | 9 | % | (1,800 | ) | 12,279 | > (100)% | |||||||||||||
Other | — | 29,977 | (100 | )% | — | 4,958 | (100 | )% | |||||||||||||
Total | $ | 844,589 | $ | 890,681 | (5 | )% | $ | 201,700 | $ | 229,152 | (12 | )% |
• | 2% from lower rentals revenue and 1% from lower support services revenue, primarily reflecting continuing decline in installed meters and shift to lower cost less featured machines; and |
• | 2% from lower financing revenue primarily from declining equipment sales in prior periods. |
• | 2% from lower equipment sales driven by a combination of lower renewal opportunities in the U.K. and higher equipment sales in France and Germany as sales productivity increased following the full implementation of the go-to-market strategy; and |
• | 1% each from lower rental, supplies and support services revenue, due to lower installed meter base. |
• | 5% from lower equipment sales primarily resulting from lower installations of inserter equipment; and |
• | 2% from lower support services revenue as some in-house mailers moved their mail processing to third-party service bureaus who service some of their own equipment. |
• | Higher volumes of mail processed; and |
• | New client acquisitions. |
• | 5% from lower worldwide licensing revenue reflecting fewer large licensing deals; and |
• | 1% from lower data revenue. |
• | 34% from expansion of our retail network, including the acquisition of Borderfree; and |
• | 6% from growth in the U.K. cross-border marketplace. |
2016 | 2015 | Change | |||||||||
Net cash provided by operating activities | $ | 58 | $ | 104 | $ | (46 | ) | ||||
Net cash used in investing activities | (60 | ) | (65 | ) | 5 | ||||||
Net cash used in financing activities | (56 | ) | (212 | ) | 156 | ||||||
Effect of exchange rate changes on cash and cash equivalents | 20 | (35 | ) | 55 | |||||||
Change in cash and cash equivalents | $ | (38 | ) | $ | (208 | ) | $ | 170 |
• | Lower income; |
• | Higher pension plan contributions primarily resulting from a $36 million contribution to the U.K. pension plan; |
• | Higher tax payments; and |
• | Payments associated with the launch of the ERP system and new advertising campaign. |
• | Higher proceeds from the sale of investment securities of $15 million and lower capital expenditures of $3 million. |
• | Partially offset by net cash paid to acquire Enroute of $14 million. |
• | Higher net borrowings of $283 million (we increased total debt by $109 million in 2016 compared to a net debt reduction of $174 million in 2015). |
• | Partially offset by $128 million for repurchases of our common stock in 2016. |
Total Number of shares purchased | Average price paid per share | Total Number of shares purchased as part of publicly announced plans or programs | Approximate dollar value of shares that may be purchased under the plans or programs (in thousands) | ||||||
Beginning balance | $64,567 | ||||||||
January 1, 2016 - January 31, 2016 | 1,855,458 | $18.84 | 1,855,458 | $29,603 | |||||
February 1, 2016 - February 29, 2016 | 3,031,111 | $17.31 | 3,031,111 | $127,129 | |||||
March 1, 2016 - March 31, 2016 | 1,920,344 | $19.42 | 1,920,344 | $89,837 | |||||
6,806,913 | $18.32 | 6,806,913 |
Exhibit Number | Description | Exhibit Number in this Form 10-Q | |
12 | Computation of ratio of earnings to fixed charges | 12 | |
31.1 | Certification of Chief Executive Officer Pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as amended | 31.1 | |
31.2 | Certification of Chief Financial Officer Pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as amended | 31.2 | |
32.1 | Certification of Chief Executive Officer Pursuant to 18 U.S.C. Section 1350 | 32.1 | |
32.2 | Certification of Chief Financial Officer Pursuant to 18 U.S.C. Section 1350 | 32.2 | |
101.INS | XBRL Report Instance Document | ||
101.SCH | XBRL Taxonomy Extension Schema Document | ||
101.CAL | XBRL Taxonomy Calculation Linkbase Document | ||
101.DEF | XBRL Taxonomy Definition Linkbase Document | ||
101.LAB | XBRL Taxonomy Label Linkbase Document | ||
101.PRE | XBRL Taxonomy Presentation Linkbase Document |
PITNEY BOWES INC. | ||
Date: | May 6, 2016 | |
/s/ Michael Monahan | ||
Michael Monahan | ||
Executive Vice President, Chief Operating Officer and Chief Financial Officer (Principal Financial Officer) | ||
/s/ Steven J. Green | ||
Steven J. Green | ||
Vice President – Finance and Chief Accounting Officer | ||
(Principal Accounting Officer) |
Exhibit Number | Description | Exhibit Number in this Form 10-Q | |
12 | Computation of ratio of earnings to fixed charges | 12 | |
31.1 | Certification of Chief Executive Officer Pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as amended | 31.1 | |
31.2 | Certification of Chief Financial Officer Pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as amended | 31.2 | |
32.1 | Certification of Chief Executive Officer Pursuant to 18 U.S.C. Section 1350 | 32.1 | |
32.2 | Certification of Chief Financial Officer Pursuant to 18 U.S.C. Section 1350 | 32.2 | |
101.INS | XBRL Report Instance Document | ||
101.SCH | XBRL Taxonomy Extension Schema Document | ||
101.CAL | XBRL Taxonomy Calculation Linkbase Document | ||
101.DEF | XBRL Taxonomy Definition Linkbase Document | ||
101.LAB | XBRL Taxonomy Label Linkbase Document | ||
101.PRE | XBRL Taxonomy Presentation Linkbase Document |
March 31, | |||||||
2016 | 2015 | ||||||
Income from continuing operations before income taxes | $ | 99,664 | $ | 135,596 | |||
Add: | |||||||
Interest expense | 35,264 | 43,584 | |||||
Portion of rent expense representative of the interest factor | 3,767 | 4,191 | |||||
Income as adjusted | $ | 138,695 | $ | 183,371 | |||
Fixed charges: | |||||||
Interest expense | $ | 35,264 | $ | 43,584 | |||
Portion of rent expense representative of the interest factor | 3,767 | 4,191 | |||||
Noncontrolling interests (preferred stock dividends of subsidiaries), excluding taxes | 7,470 | 7,457 | |||||
Total fixed charges | $ | 46,501 | $ | 55,232 | |||
Ratio of earnings to fixed charges | 2.98 | 3.32 | |||||
1. | I have reviewed this quarterly report on Form 10-Q of Pitney Bowes Inc.; |
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 circumstances 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 present 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(s) 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 Rules 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(s) 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. |
/s/ Marc B. Lautenbach | ||||
Marc B. Lautenbach | ||||
President and Chief Executive Officer |
1. | I have reviewed this quarterly report on Form 10-Q of Pitney Bowes Inc.; |
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 circumstances 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 present 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(s) 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 Rules 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(s) 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. |
/s/ Michael Monahan | |||
Michael Monahan | |||
Executive Vice President, Chief Operating Officer and Chief Financial Officer (Principal Financial Officer) |
(1) | The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and |
(2) | The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
/s/ Marc B. Lautenbach | |||
Marc B. Lautenbach | |||
President and Chief Executive Officer |
(1) | The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and |
(2) | The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
/s/ Michael Monahan | |||
Michael Monahan | |||
Executive Vice President, Chief Operating Officer and Chief Financial Officer (Principal Financial Officer) |
Document and Entity Information - shares |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
Apr. 29, 2016 |
|
Document And Entity Information [Abstract] | ||
Entity Registrant Name | PITNEY BOWES INC /DE/ | |
Entity Central Index Key | 0000078814 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2016 | |
Document Fiscal Year Focus | 2016 | |
Amendment Flag | false | |
Document Fiscal Period Focus | Q1 | |
Entity Common Stock, Shares Outstanding | 188,620,368 |
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
Mar. 31, 2015 |
|
Statement of Comprehensive Income [Abstract] | ||
Net income | $ 62,640 | $ 85,206 |
Less: Preferred stock dividends attributable to noncontrolling interests | 4,594 | 4,594 |
Net income attributable to Pitney Bowes Inc. | 58,046 | 80,612 |
Other comprehensive income (loss), net of tax: | ||
Foreign currency translations | 39,849 | (72,179) |
Net unrealized (loss) gain on cash flow hedges, net of tax of $(18), and $341, respectively | (28) | 549 |
Net unrealized gain on investment securities, net of tax of $2,029 and $1,012, respectively | 3,454 | 1,730 |
Adjustments to pension and postretirement plans, net of tax of $(777) and $0, respectively | (1,230) | 0 |
Amortization of pension and postretirement costs, net of tax of $3,799, and $4,167, respectively | 6,748 | 7,409 |
Other comprehensive income (loss), net of tax | 48,793 | (62,491) |
Comprehensive income attributable to Pitney Bowes Inc. | $ 106,839 | $ 18,121 |
Condensed Consolidated Statements of Comprehensive Income (Unaudited) (Parenthetical) - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
Mar. 31, 2015 |
|
Statement of Comprehensive Income [Abstract] | ||
Net unrealized gain (loss) on cash flow hedges, tax | $ (18) | $ 341 |
Net unrealized loss on investment securities, tax | 2,029 | 1,012 |
Adjustments to pension and postretirement plans, tax | (777) | 0 |
Benefit for income tax | $ 3,799 | $ 4,167 |
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
Dec. 31, 2015 |
|
Statement of Financial Position [Abstract] | ||
Allowance for Doubtful Accounts Receivable | $ 10,056 | $ 9,262 |
Allowance for Notes, Loans and Financing Receivable, Current | 14,196 | 15,514 |
Allowance for Notes, Loans and Financing Receivable, Noncurrent | $ 5,584 | $ 6,249 |
Preferred stock par value (in dollars per share) | $ 50 | $ 50 |
Preferred stock dividend rate | 4.00% | |
Preference stock dividend rate (in dollars per share) | $ 2.12 | 2.12 |
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized | 480,000,000 | 480,000,000 |
Common stock, shares issued | 323,337,912 | 323,337,912 |
Treasury stock, shares | 131,097,268 | 127,816,704 |
Description of Business and Basis of Presentation |
3 Months Ended |
---|---|
Mar. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Description of Business and Basis of Presentation | Description of Business and Basis of Presentation Pitney Bowes Inc. (we, us, our, or the company), was incorporated in the state of Delaware in 1920. We are a global technology company offering innovative products and solutions that help our clients navigate the complex world of commerce. We offer products and solutions for customer information management, location intelligence and customer engagement to help our clients market to their customers, and products and solutions for shipping, mailing, and cross border ecommerce that enable the sending of packages across the globe. Clients around the world rely on our products, solutions and services. For more information about us, our products, services and solutions, visit www.pb.com. We have prepared the accompanying unaudited Condensed Consolidated Financial Statements in accordance with accounting principles generally accepted in the United States of America (GAAP) for interim financial information and the instructions to Rule 10-01 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In addition, the December 31, 2015 Condensed Consolidated Balance Sheet data was derived from audited financial statements, but does not include all disclosures required by GAAP. In management's opinion, all adjustments, consisting only of normal recurring adjustments, considered necessary to fairly state our financial position, results of operations and cash flows for the periods presented have been included. Operating results for the periods presented are not necessarily indicative of the results that may be expected for any other interim period or for the year ending December 31, 2016. These statements should be read in conjunction with the financial statements and notes thereto included in our Annual Report to Stockholders on Form 10-K for the year ended December 31, 2015 (2015 Annual Report). In 2015, we determined that certain investments were classified as cash and cash equivalents and made reclassifications primarily between short-term investments and cash and cash equivalents. Accordingly, the Consolidated Statements of Cash Flows for the period ended March 31, 2015 has been revised to reduce beginning cash and cash equivalents by $25 million and ending cash and cash equivalents by $26 million and investments have been increased in these same periods. New Accounting Pronouncements - Standards Adopted in 2016 In September 2015, the Financial Accounting Standards Board (FASB) issued Accounting Standard Update (ASU) 2015-16, Business Combinations - Simplifying the Accounting for Measurement-Period Adjustments, which eliminates the requirement to restate prior period financial statements for measurement period adjustments. The new guidance requires that the cumulative impact of a measurement period adjustment (including the impact on prior periods) be recognized in the reporting period in which the adjustment is identified. Consistent with existing guidance, the new guidance requires an acquirer to disclose the nature and amount of measurement period adjustments. We adopted this standard as of January 1, 2016, and will apply when applicable. In April 2015, the FASB issued ASU 2015-05, Intangibles - Goodwill and Other - Internal-Use Software, Customer's Accounting for Fees Paid in a Cloud Computing Arrangement, which provides guidance on fees paid by an entity in a cloud computing arrangement and whether an arrangement includes a license to the underlying software. We adopted this standard as of January 1, 2016, and there was no impact to the financial statements. In April 2015, the FASB issued ASU 2015-03, Simplifying the Presentation of Debt Issuance Costs, which requires debt issuance costs to be presented in the balance sheet as a direct deduction from the associated debt liability. This standard is effective for fiscal periods beginning after December 15, 2015. We retrospectively adopted this ASU effective January 1, 2016. Accordingly, the Consolidated Balance Sheet at December 31, 2015, has been revised to reduce other assets and long-term debt by $18 million. In January 2015, the FASB issued ASU 2015-01, Income Statement - Extraordinary and Unusual Items, which removes the concept of extraordinary items, thereby eliminating the need for companies to assess transactions for extraordinary treatment. The standard retained the presentation and disclosure requirements for items that are unusual in nature and/or infrequent in occurrence. We adopted this standard as of January 1, 2016, and will apply when applicable. New Accounting Pronouncements - Standards Not Yet Adopted In January 2016, the FASB issued ASU 2016-01, Financial Instruments–Overall: Recognition and Measurement of Financial Assets and Financial Liabilities. Changes under this guidance primarily affect the accounting for equity investments, financial liabilities under the fair value option, and the presentation and disclosure requirements for financial instruments. The ASU is effective for fiscal years beginning after December 15, 2017 and interim periods therein. Early adoption is permitted. We are currently assessing the impact this standard will have on our consolidated financial statements and disclosures. In February 2016, the FASB issued ASU 2016-02, Leases. Lessees will need to recognize almost all leases on their balance sheet as a right-of-use asset and a lease liability. For income statement purposes, the FASB retained a dual model, requiring leases to be classified as either operating or finance. Classification will be based on criteria that are largely similar to those applied in current lease accounting, but without explicit bright lines. Lessor accounting is similar to the current model, but updated to align with certain changes to the lessee model and the new revenue recognition standard. The standard will also result in enhanced disclosures. The ASU is effective for interim and annual periods beginning after December 15, 2018. The standard requires modified retrospective transition and early adoption is permitted. We are currently assessing the impact this standard will have on our consolidated financial statements and disclosures. In March 2016, the FASB issued ASU 2016-09, Compensation—Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting. The ASU includes multiple provisions intended to simplify various aspects of the accounting for share-based payments. The ASU is effective for interim and annual periods beginning after December 15, 2016 and early adoption is permitted. We are currently assessing the impact this standard will have on our consolidated financial statements and disclosures. In July 2015, the FASB issued ASU 2015-11, Inventory - Simplifying the Measurement of Inventory, which requires inventory to be measured at the lower of cost and net realizable value (estimated selling price less reasonably predictable costs of completion, disposal and transportation). Prior to this guidance, inventory was measured at the lower of cost or market (where market was defined as replacement cost, with a ceiling of net realizable value and a floor of net realizable value of inventory, less a normal profit margin). Inventory measured using LIFO is not impacted by the new guidance. The ASU is effective for interim and annual periods beginning after December 15, 2016 and early adoption is permitted. We do not believe this standard will have a significant impact on our consolidated financial statements or disclosures. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers. The standard requires companies to recognize revenue for the transfer of goods and services to customers in amounts that reflect the consideration the company expects to receive in exchange for those goods and services. The standard will also result in enhanced disclosures about revenue. In July 2015, the FASB approved a one-year deferral of the effective date. This standard is now effective for fiscal periods beginning after December 15, 2017. The standard can be adopted either retrospectively or as a cumulative-effect adjustment. Companies are permitted to adopt the standard as early as the original public entity effective date (fiscal periods beginning after December 15, 2016). Early adoption prior to that date is prohibited. We are currently in the process of evaluating a sample of contracts with customers under the new standard and cannot currently estimate the financial statement impact of adoption. We have not decided on the transition method we will use to adopt the new standard. Areas of potential change include, but are not limited to: units of accounting; estimating and allocating variable consideration as well as changes in variable consideration and cumulative adjustments to revenue; determining standalone selling price of software; and capitalization of certain contract costs, including sales commissions. In addition, we continue to monitor additional changes, clarifications or interpretations being undertaken by the FASB. |
Segment Information |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Reporting [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Information | Segment Information The principal products and services of each of our reportable segments are as follows: Small & Medium Business Solutions: North America Mailing: Includes the revenue and related expenses from the sale, rental, financing and servicing of mailing equipment, software and supplies for small and medium businesses to efficiently create physical and digital mail and evidence postage for the sending of mail, flats and parcels in the U.S. and Canada. International Mailing: Includes the revenue and related expenses from the sale, rental, financing and servicing of mailing equipment, software and supplies for small and medium businesses to efficiently create physical and digital mail and evidence postage for the sending of mail, flats and parcels in areas outside the U.S. and Canada. Enterprise Business Solutions: Production Mail: Includes the worldwide revenue and related expenses from the sale of production mail inserting and sortation equipment, high-speed production print systems, supplies and related support services to large enterprise clients to process inbound and outbound mail. Presort Services: Includes revenue and related expenses from presort mail services for our large enterprise clients to qualify large mail volumes for postal worksharing discounts. Digital Commerce Solutions: Software Solutions: Includes the worldwide revenue and related expenses from the licensing of non-equipment-based mailing, customer information management, location intelligence and customer engagement solutions and related support services. Global Ecommerce: Includes the worldwide revenue and related expenses from shipping solutions and cross-border ecommerce. We determine segment earnings before interest and taxes (EBIT) by deducting from segment revenue the related costs and expenses attributable to the segment. Segment EBIT excludes interest, taxes, general corporate expenses and restructuring charges that are not allocated to a particular business segment. Management uses segment EBIT to measure profitability and performance at the segment level. Management believes segment EBIT provides a useful measure of our operating performance and underlying trends of the businesses. Segment EBIT may not be indicative of our overall consolidated performance and therefore should be read in conjunction with our consolidated results of operations. Revenue and EBIT by business segment is presented below:
|
Earnings per Share |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings per Share | Earnings per Share The calculations of basic and diluted earnings per share are presented below:
|
Inventories |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Inventory Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Inventories | Inventories Inventories are stated at the lower of cost or market. Cost is determined on the last-in, first-out (LIFO) basis for most U.S. inventories and on the first-in, first-out (FIFO) basis for most non-U.S. inventories. Inventories at March 31, 2016 and December 31, 2015 consisted of the following:
|
Finance Assets |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Receivables [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Finance Assets | Finance Assets Finance Receivables Finance receivables are comprised of sales-type lease receivables and unsecured revolving loan receivables. Sales-type lease receivables are generally due in monthly, quarterly or semi-annual installments over periods ranging from three to five years. Loan receivables arise primarily from financing services offered to our customers for postage and supplies. Loan receivables are generally due each month; however, customers may rollover outstanding balances. Interest is recognized on loan receivables using the effective interest method and related annual fees are initially deferred and recognized ratably over the annual period covered. Customer acquisition costs are expensed as incurred. Finance receivables at March 31, 2016 and December 31, 2015 consisted of the following:
Allowance for Credit Losses We estimate probable losses and provide an allowance for credit losses. Losses are based on historical loss experience, the nature and volume of our portfolios, adverse situations that may affect a client's ability to pay, prevailing economic conditions and our ability to manage the collateral. We continually evaluate the adequacy of the allowance for credit losses and make adjustments as necessary. The assumptions used in determining an estimate of credit losses are inherently subjective and actual results may differ significantly from estimated reserves. We establish credit approval limits based on the credit quality of the client and the type of equipment financed. Our policy is to discontinue revenue recognition for lease receivables that are more than 120 days past due and for unsecured loan receivables that are more than 90 days past due. We resume revenue recognition when the client's payments reduce the account aging to less than 60 days past due. Finance receivables deemed uncollectible are written off against the allowance after all collection efforts have been exhausted and management deems the account to be uncollectible. We believe that our finance receivable credit risk is low because of the geographic and industry diversification of our clients and small account balances for most of our clients. Activity in the allowance for credit losses for the three months ended March 31, 2016 and 2015 was as follows:
Aging of Receivables The aging of gross finance receivables at March 31, 2016 and December 31, 2015 was as follows:
Credit Quality The extension of credit and management of credit lines to new and existing clients uses a combination of an automated credit score, where available, and a detailed manual review of the client's financial condition and, when applicable, payment history. Once credit is granted, the payment performance of the client is managed through automated collections processes and is supplemented with direct follow up should an account become delinquent. We have robust automated collections and extensive portfolio management processes. The portfolio management processes ensure that our global strategy is executed, collection resources are allocated appropriately and enhanced tools and processes are implemented as needed. We use a third party to score the majority of the North America portfolio on a quarterly basis using a commercial credit score. We do not use a third party to score our International portfolio because the cost to do so is prohibitive, given that it is a localized process and there is no single credit score model that covers all countries. The table below shows the North America portfolio at March 31, 2016 and December 31, 2015 by relative risk class (low, medium, high) based on the relative scores of the accounts within each class. The relative scores are determined based on a number of factors, including the company type, ownership structure, payment history and financial information. A fourth class is shown for accounts that are not scored. Absence of a score is not indicative of the credit quality of the account. The degree of risk, as defined by the third party, refers to the relative risk that an account in the next 12 month period may become delinquent.
|
Acquisitions, Intangible Assets and Goodwill |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Acquisitions, Intangible Assets and Goodwill | Acquisitions, Intangible Assets and Goodwill Acquisitions In June 2015, we acquired 100% of the outstanding shares of Borderfree. The results of operations of Borderfree are included in our consolidated results from the date of acquisition. Our consolidated operating results for the three months ended March 31, 2016 include revenue of $25 million from Borderfree operations. On a supplemental pro forma basis, had we acquired Borderfree on January 1, 2015, our revenues would have been $25 million higher for the three months ended March 31, 2015. The impact on our earnings would not have been material. On January 12, 2016, we acquired Enroute for $14 million in cash plus potential additional payments during the periods 2017-2019 based on the achievement of revenue targets during the periods 2016-2018. Enroute is a software-as-a-service enterprise retail and fulfillment solutions company and is reported within our Global Ecommerce segment. Intangible Assets Intangible assets consisted of the following:
Amortization expense was $11 million and $8 million for the three months ended March 31, 2016 and 2015, respectively. Future amortization expense for intangible assets as of March 31, 2016 was as follows:
Actual amortization expense may differ from the amounts above due to, among other things, fluctuations in foreign currency exchange rates, impairments, acquisitions and accelerated amortization. Goodwill The changes in the carrying value of goodwill for the three months ended March 31, 2016 were as follows:
|
Fair Value Measurements and Derivative Instruments |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Measurements and Derivative Instruments | Fair Value Measurements and Derivative Instruments We measure certain financial assets and liabilities at fair value on a recurring basis. Fair value is a market-based measure considered from the perspective of a market participant rather than an entity-specific measure. An entity is required to classify certain assets and liabilities measured at fair value based on the following fair value hierarchy that prioritizes the inputs used to measure fair value:
The following tables show, by level within the fair value hierarchy, our financial assets and liabilities that are accounted for at fair value on a recurring basis at March 31, 2016 and December 31, 2015. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement requires judgment and may affect its placement within the fair value hierarchy.
Investment Securities The valuation of investment securities is based on the market approach using inputs that are observable, or can be corroborated by observable data, in an active marketplace. The following information relates to our classification into the fair value hierarchy:
Investment securities include investments held by The Pitney Bowes Bank (the Bank), whose primary business is to provide financing solutions to clients that rent postage meters and purchase supplies. The Bank's assets and liabilities consist primarily of cash, finance receivables, short and long-term investments and deposit accounts. Available-For-Sale Securities Certain investment securities are classified as available-for-sale and recorded at fair value in the unaudited Condensed Consolidated Balance Sheets as cash and cash equivalents, short-term investments and other assets depending on the type of investment and maturity. Unrealized holding gains and losses are recorded, net of tax, in accumulated other comprehensive loss (AOCL). Available-for-sale securities at March 31, 2016 and December 31, 2015 consisted of the following:
At March 31, 2016, investment securities that were in a loss position for 12 or more continuous months had aggregate unrealized holding losses of $1 million and an estimated fair value of $39 million, and investment securities that were in a loss position for less than 12 continuous months had aggregate unrealized holding losses of $1 million and an estimated fair value of $59 million. At December 31, 2015, investment securities that were in a loss position for 12 or more continuous months had aggregate unrealized holding losses of $2 million and an estimated fair value of $36 million, and investment securities that were in a loss position for less than 12 continuous months had aggregate unrealized holding losses of $2 million and an estimated fair value of $146 million. We have not recognized an other-than-temporary impairment on any of the investment securities in an unrealized loss position because we do not intend to sell these securities, it is more likely than not that we will not be required to sell these securities before recovery of the unrealized losses and we expect to receive the contractual principal and interest on these investment securities. Scheduled maturities of available-for-sale securities at March 31, 2016 were as follows:
The expected payments on mortgage-backed and asset-backed securities may not coincide with their contractual maturities as borrowers have the right to prepay obligations with or without prepayment penalties. We have not experienced any significant write-offs in our investment portfolio. The majority of our mortgage-backed securities are either guaranteed or supported by the U.S. Government. We have no investments in inactive markets that would warrant a possible change in our pricing methods or classification within the fair value hierarchy. Further, we have no investments in auction rate securities. Derivative Instruments In the normal course of business, we are exposed to the impact of changes in foreign currency exchange rates and interest rates. We limit these risks by following established risk management policies and procedures, including the use of derivatives. We use derivative instruments to limit the effects of exchange rate fluctuations on financial results and manage the related cost of debt. We do not use derivatives for trading or speculative purposes. We record our derivative instruments at fair value and the accounting for changes in the fair value depends on the intended use of the derivative, the resulting designation and the effectiveness of the instrument in offsetting the risk exposure it is designed to hedge. The valuation of foreign exchange derivatives is based on the market approach using observable market inputs, such as foreign currency spot and forward rates and yield curves. We also incorporate counterparty credit risk and our credit risk into the fair value measurement of our derivative assets and liabilities, respectively. We derive credit risk from observable data in the credit default swap market. We have not seen a material change in the creditworthiness of those banks acting as derivative counterparties. The fair value of derivative instruments at March 31, 2016 and December 31, 2015 was as follows:
Foreign Exchange Contracts We enter into foreign exchange contracts to mitigate the currency risk associated with the anticipated purchase of inventory between affiliates and from third parties. These contracts are designated as cash flow hedges. The effective portion of the gain or loss on cash flow hedges is included in AOCL in the period that the change in fair value occurs and is reclassified to earnings in the period that the hedged item is recorded in earnings. At March 31, 2016 and December 31, 2015, we had outstanding contracts associated with these anticipated transactions with notional amounts of $16 million and $13 million, respectively. The amounts included in AOCL at March 31, 2016 will be recognized in earnings within the next 12 months. No amount of ineffectiveness was recorded in earnings for these designated cash flow hedges. The following represents the results of cash flow hedging relationships for the three months ended March 31, 2016 and 2015:
We also enter into foreign exchange contracts to minimize the impact of exchange rate fluctuations on short-term intercompany loans and related interest that are denominated in a foreign currency. The revaluation of the intercompany loans and interest and the mark-to-market adjustment on the derivatives are both recorded in earnings. All outstanding contracts at March 31, 2016 mature within 12 months. The following represents the results of our non-designated derivative instruments for the three months ended March 31, 2016 and 2015:
Credit-Risk-Related Contingent Features Certain derivative instruments contain credit-risk-related contingent features that would require us to post collateral based on a combination of our long-term senior unsecured debt ratings and the net fair value of our derivatives. At March 31, 2016, the maximum amount of collateral that we would have been required to post had the credit-risk-related contingent features been triggered was $5 million. Fair Value of Financial Instruments Our financial instruments include cash and cash equivalents, investment securities, accounts receivable, loan receivables, derivative instruments, accounts payable and debt. The carrying value for cash and cash equivalents, accounts receivable, loans receivable, and accounts payable approximate fair value because of the short maturity of these instruments. The fair value of our debt is estimated based on recently executed transactions and market price quotations. These inputs used to determine the fair value of our debt were classified as Level 2 in the fair value hierarchy. The carrying value and estimated fair value of our debt at March 31, 2016 and December 31, 2015 were as follows:
|
Restructuring Charges and Asset Impairment |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restructuring and Related Activities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restructuring Charges and Asset Impairment | Restructuring Charges The tables below shows the activity in our restructuring reserves for the three months ended March 31, 2016 and 2015:
The majority of the remaining restructuring reserves are expected to be paid over the next 12 to 24 months; however, due to certain international labor laws and long-term lease agreements, some payments will extend beyond 24 months. We expect to fund these payments from cash flows from operations. |
Debt |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt | Debt At March 31, 2016 and December 31, 2015, total debt consisted of the following:
In January 2016, we borrowed $300 million under a term loan and used the proceeds to repay a portion of the $371 million, 4.75% notes due January 15, 2016. The remaining portion of the loan was repaid using cash from operations. The new term loan bears interest at the applicable Eurodollar Rate plus 1.25% and matures in December 2020. The applicable Eurodollar Rate at March 31, 2016 was .62%. In October 2014, we received a loan from the State of Connecticut Department of Economic and Community Development (CDECD). The loan consisted of a $15 million development loan and $1 million jobs-training grant that was subject to certain conditions being met. We satisfied the conditions related to the $1 million jobs-training grant during 2015. The loan agreement provided that $10 million of the loan would be forgiven if we satisfied certain employment obligations. In March 2016, we satisfied all criteria to receive the $10 million of loan forgiveness and, as a result, recorded the loan forgiveness as reductions of long-term debt and selling, general and administrative expenses. |
Pensions and Other Benefit Programs |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pensions and Other Benefit Programs | Pensions and Other Benefit Programs The components of net periodic benefit cost (income) were as follows:
(1) Included in restructuring charges, net in the Condensed Consolidated Statements of Income. Through March 31, 2016 and March 31, 2015, contributions to our U.S. pension plans were $4 million and $3 million, respectively, and contributions to our foreign plans were $38 million and $9 million, respectively. Nonpension postretirement benefit plan contributions were $4 million and $6 million through March 31, 2016 and March 31, 2015, respectively. |
Income Taxes |
3 Months Ended |
---|---|
Mar. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The effective tax rate for the three months ended March 31, 2016 and 2015 was 37.1% and 37.3%, respectively. The effective tax rate for 2016 and 2015 each include a $3 million charge from the write-off of deferred tax assets associated with the expiration of out-of-the-money vested stock options and the vesting of restricted stock units previously granted to our employees. As is the case with other large corporations, our tax returns are examined each year by tax authorities in the U.S. and other global taxing jurisdictions in which we have operations. The IRS examinations of our consolidated U.S. income tax returns for tax years prior to 2012 are closed to audit. Additionally, various post-2005 U.S. state and local tax returns are subject to examination. In Canada, the examination of our tax filings prior to 2009 are closed to audit, except for the pending application of legal principles to specific issues arising in earlier years. Other significant jurisdictions in which we have, or have recently completed, tax examinations include France, closed through the end of 2012, Germany closed through the end of 2011 and except for an item under appeal the U.K. is closed through the end of 2011. We have other less significant tax fillings currently subject to examination. |
Noncontrolling Interests (Preferred Stockholders' Equity in Subsidiaries) |
3 Months Ended |
---|---|
Mar. 31, 2016 | |
Noncontrolling Interest [Abstract] | |
Noncontrolling Interests (Preferred Stockholders' Equity in Subsidiaries) | Noncontrolling Interests (Preferred Stockholders’ Equity in Subsidiaries) Pitney Bowes International Holdings, Inc. (PBIH), a subsidiary of the Company, has 300,000 shares of outstanding perpetual voting preferred stock valued at $300 million held by certain institutional investors (PBIH Preferred Stock). The holders of PBIH Preferred Stock are entitled as a group to 25% of the combined voting power of all classes of capital stock of PBIH. All outstanding common stock of PBIH, representing the remaining 75% of the combined voting power of all classes of capital stock, is owned directly or indirectly by the Company. The PBIH Preferred Stock is entitled to cumulative dividends at a rate of 6.125% through April 30, 2016. Commencing October 30, 2016, the PBIH Preferred Stock is redeemable, in whole or in part, at the option of PBIH. If the PBIH Preferred Stock is not redeemed in whole on October 30, 2016, the dividend rate increases 50% and will increase 50% every six months thereafter. No dividends were in arrears at March 31, 2016 or December 31, 2015. |
Commitments and Contingencies |
3 Months Ended |
---|---|
Mar. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies In the ordinary course of business, we are routinely defendants in, or party to a number of pending and threatened legal actions. These may involve litigation by or against us relating to, among other things, contractual rights under vendor, insurance or other contracts; intellectual property or patent rights; equipment, service, payment or other disputes with clients; or disputes with employees. Some of these actions may be brought as a purported class action on behalf of a purported class of employees, customers or others. In management's opinion, the potential liability, if any, that may result from these actions, either individually or collectively, is not reasonably expected to have a material effect on our financial position, results of operations or cash flows. However, as litigation is inherently unpredictable, there can be no assurances in this regard. |
Stockholders' Equity |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Equity Note [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Equity | Stockholders’ Equity Changes in stockholders’ equity for the three months ended March 31, 2016 and 2015 were as follows:
|
Accumulated Other Comprehensive Loss |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss Reclassifications out of AOCL for the three months ended March 31, 2016 and 2015 were as follows:
(a) Amounts in parentheses indicate reductions to income and increases to other comprehensive income (loss).
Changes in AOCL for the three months ended March 31, 2016 and 2015 were as follows:
(a) Amounts are net of tax. Amounts in parentheses indicate debits to AOCL. (b) See table above for additional details of these reclassifications. |
Description of Business and Basis of Presentation (Policies) |
3 Months Ended |
---|---|
Mar. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
New Accounting Pronouncements | New Accounting Pronouncements - Standards Adopted in 2016 In September 2015, the Financial Accounting Standards Board (FASB) issued Accounting Standard Update (ASU) 2015-16, Business Combinations - Simplifying the Accounting for Measurement-Period Adjustments, which eliminates the requirement to restate prior period financial statements for measurement period adjustments. The new guidance requires that the cumulative impact of a measurement period adjustment (including the impact on prior periods) be recognized in the reporting period in which the adjustment is identified. Consistent with existing guidance, the new guidance requires an acquirer to disclose the nature and amount of measurement period adjustments. We adopted this standard as of January 1, 2016, and will apply when applicable. In April 2015, the FASB issued ASU 2015-05, Intangibles - Goodwill and Other - Internal-Use Software, Customer's Accounting for Fees Paid in a Cloud Computing Arrangement, which provides guidance on fees paid by an entity in a cloud computing arrangement and whether an arrangement includes a license to the underlying software. We adopted this standard as of January 1, 2016, and there was no impact to the financial statements. In April 2015, the FASB issued ASU 2015-03, Simplifying the Presentation of Debt Issuance Costs, which requires debt issuance costs to be presented in the balance sheet as a direct deduction from the associated debt liability. This standard is effective for fiscal periods beginning after December 15, 2015. We retrospectively adopted this ASU effective January 1, 2016. Accordingly, the Consolidated Balance Sheet at December 31, 2015, has been revised to reduce other assets and long-term debt by $18 million. In January 2015, the FASB issued ASU 2015-01, Income Statement - Extraordinary and Unusual Items, which removes the concept of extraordinary items, thereby eliminating the need for companies to assess transactions for extraordinary treatment. The standard retained the presentation and disclosure requirements for items that are unusual in nature and/or infrequent in occurrence. We adopted this standard as of January 1, 2016, and will apply when applicable. New Accounting Pronouncements - Standards Not Yet Adopted In January 2016, the FASB issued ASU 2016-01, Financial Instruments–Overall: Recognition and Measurement of Financial Assets and Financial Liabilities. Changes under this guidance primarily affect the accounting for equity investments, financial liabilities under the fair value option, and the presentation and disclosure requirements for financial instruments. The ASU is effective for fiscal years beginning after December 15, 2017 and interim periods therein. Early adoption is permitted. We are currently assessing the impact this standard will have on our consolidated financial statements and disclosures. In February 2016, the FASB issued ASU 2016-02, Leases. Lessees will need to recognize almost all leases on their balance sheet as a right-of-use asset and a lease liability. For income statement purposes, the FASB retained a dual model, requiring leases to be classified as either operating or finance. Classification will be based on criteria that are largely similar to those applied in current lease accounting, but without explicit bright lines. Lessor accounting is similar to the current model, but updated to align with certain changes to the lessee model and the new revenue recognition standard. The standard will also result in enhanced disclosures. The ASU is effective for interim and annual periods beginning after December 15, 2018. The standard requires modified retrospective transition and early adoption is permitted. We are currently assessing the impact this standard will have on our consolidated financial statements and disclosures. In March 2016, the FASB issued ASU 2016-09, Compensation—Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting. The ASU includes multiple provisions intended to simplify various aspects of the accounting for share-based payments. The ASU is effective for interim and annual periods beginning after December 15, 2016 and early adoption is permitted. We are currently assessing the impact this standard will have on our consolidated financial statements and disclosures. In July 2015, the FASB issued ASU 2015-11, Inventory - Simplifying the Measurement of Inventory, which requires inventory to be measured at the lower of cost and net realizable value (estimated selling price less reasonably predictable costs of completion, disposal and transportation). Prior to this guidance, inventory was measured at the lower of cost or market (where market was defined as replacement cost, with a ceiling of net realizable value and a floor of net realizable value of inventory, less a normal profit margin). Inventory measured using LIFO is not impacted by the new guidance. The ASU is effective for interim and annual periods beginning after December 15, 2016 and early adoption is permitted. We do not believe this standard will have a significant impact on our consolidated financial statements or disclosures. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers. The standard requires companies to recognize revenue for the transfer of goods and services to customers in amounts that reflect the consideration the company expects to receive in exchange for those goods and services. The standard will also result in enhanced disclosures about revenue. In July 2015, the FASB approved a one-year deferral of the effective date. This standard is now effective for fiscal periods beginning after December 15, 2017. The standard can be adopted either retrospectively or as a cumulative-effect adjustment. Companies are permitted to adopt the standard as early as the original public entity effective date (fiscal periods beginning after December 15, 2016). Early adoption prior to that date is prohibited. We are currently in the process of evaluating a sample of contracts with customers under the new standard and cannot currently estimate the financial statement impact of adoption. We have not decided on the transition method we will use to adopt the new standard. Areas of potential change include, but are not limited to: units of accounting; estimating and allocating variable consideration as well as changes in variable consideration and cumulative adjustments to revenue; determining standalone selling price of software; and capitalization of certain contract costs, including sales commissions. In addition, we continue to monitor additional changes, clarifications or interpretations being undertaken by the FASB. |
Segment Information (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Reporting [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reconciliation of Revenue from Segments to Consolidated Statements | Revenue and EBIT by business segment is presented below:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reconciliation of EBIT from Segments to Consolidated |
|
Earnings per Share (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Calculation of Numerator and Denominator in Earnings Per Share | The calculations of basic and diluted earnings per share are presented below:
|
Inventories (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Inventory Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Inventory Components | Inventories at March 31, 2016 and December 31, 2015 consisted of the following:
|
Finance Assets (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Receivables [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Financing Receivables | Finance receivables at March 31, 2016 and December 31, 2015 consisted of the following:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Allowance for Credit Losses on Financing Receivables | Activity in the allowance for credit losses for the three months ended March 31, 2016 and 2015 was as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Past Due Financing Receivables | The aging of gross finance receivables at March 31, 2016 and December 31, 2015 was as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Financing Receivable Credit Quality Indicators |
|
Acquisitions, Intangible Assets and Goodwill (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Intangible Assets Disclosure | Intangible assets consisted of the following:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amortization Expense In Future Periods | Future amortization expense for intangible assets as of March 31, 2016 was as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Goodwill | The changes in the carrying value of goodwill for the three months ended March 31, 2016 were as follows:
|
Fair Value Measurements and Derivative Instruments (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The following tables show, by level within the fair value hierarchy, our financial assets and liabilities that are accounted for at fair value on a recurring basis at March 31, 2016 and December 31, 2015. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement requires judgment and may affect its placement within the fair value hierarchy.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Available-for-sale Securities Reconciliation | Available-for-sale securities at March 31, 2016 and December 31, 2015 consisted of the following:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Available-for-sale Securities | Scheduled maturities of available-for-sale securities at March 31, 2016 were as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | The fair value of derivative instruments at March 31, 2016 and December 31, 2015 was as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Cash Flow Hedging Instruments, Statements of Financial Performance and Financial Position, Location | The following represents the results of cash flow hedging relationships for the three months ended March 31, 2016 and 2015:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Other Derivatives Not Designated as Hedging Instruments, Statements of Financial Performance and Financial Position, Location | The following represents the results of our non-designated derivative instruments for the three months ended March 31, 2016 and 2015:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value, by Balance Sheet Grouping | The carrying value and estimated fair value of our debt at March 31, 2016 and December 31, 2015 were as follows:
|
Restructuring Charges and Asset Impairment (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restructuring and Related Activities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Restructuring Reserve by Type of Cost | The tables below shows the activity in our restructuring reserves for the three months ended March 31, 2016 and 2015:
|
Debt (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Debt | At March 31, 2016 and December 31, 2015, total debt consisted of the following:
|
Pensions and Other Benefit Programs (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Defined Benefit Plans Disclosures | The components of net periodic benefit cost (income) were as follows:
(1) Included in restructuring charges, net in the Condensed Consolidated Statements of Income. |
Stockholders' Equity (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Equity Note [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Stockholders Equity | Changes in stockholders’ equity for the three months ended March 31, 2016 and 2015 were as follows:
|
Accumulated Other Comprehensive Loss (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Accumulated Other Comprehensive Income (Loss) | Reclassifications out of AOCL for the three months ended March 31, 2016 and 2015 were as follows:
(a) Amounts in parentheses indicate reductions to income and increases to other comprehensive income (loss).
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Comprehensive Income Loss | Changes in AOCL for the three months ended March 31, 2016 and 2015 were as follows:
(a) Amounts are net of tax. Amounts in parentheses indicate debits to AOCL. (b) See table above for additional details of these reclassifications. |
Description of Business and Basis of Presentation (Details) - USD ($) $ in Thousands |
Mar. 31, 2016 |
Dec. 31, 2015 |
Mar. 31, 2015 |
Dec. 31, 2014 |
---|---|---|---|---|
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||
Reduction to cash and cash equivalents | $ (612,987) | $ (650,557) | $ (845,732) | $ (1,054,118) |
Restatement Adjustment | ||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||
Reduction to cash and cash equivalents | $ 26,000 | $ 25,000 | ||
Other Noncurrent Assets | Accounting Standards Update 2015-03 | ||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||
Debt issuance costs, reclassified | (18,000) | |||
Long-term Debt | Accounting Standards Update 2015-03 | ||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||
Debt issuance costs, reclassified | $ 18,000 |
Inventories (Details) - USD ($) $ in Thousands |
Mar. 31, 2016 |
Dec. 31, 2015 |
---|---|---|
Inventory Disclosure [Abstract] | ||
Raw materials | $ 29,173 | $ 25,803 |
Work in process | 12,304 | 6,408 |
Supplies and service parts | 44,592 | 44,323 |
Finished products | 26,612 | 24,618 |
Inventory at FIFO cost | 112,681 | 101,152 |
Excess of FIFO cost over LIFO cost | (12,328) | (12,328) |
Total inventory, net | $ 100,353 | $ 88,824 |
Acquisitions, Intangible Assets and Goodwill (Acquisitions) (Details) - USD ($) $ in Thousands |
3 Months Ended | ||
---|---|---|---|
Jan. 12, 2016 |
Mar. 31, 2016 |
Mar. 31, 2015 |
|
Business Acquisition [Line Items] | |||
Revenues | $ 844,589 | $ 890,681 | |
Borderfree, Inc. | |||
Business Acquisition [Line Items] | |||
Revenues | $ 25,040 | ||
Proforma revenue | $ 25,000 | ||
Enroute | |||
Business Acquisition [Line Items] | |||
Acquisition price | $ 14,000 |
Acquisitions, Intangible Assets and Goodwill (Intangible Assets) (Details) - USD ($) $ in Thousands |
3 Months Ended | ||
---|---|---|---|
Mar. 31, 2016 |
Mar. 31, 2015 |
Dec. 31, 2015 |
|
Finite lived intangible assets | |||
Gross Carrying Amount | $ 632,694 | $ 622,364 | |
Accumulated Amortization | (448,647) | (434,986) | |
Net Carrying Amount | 184,047 | 187,378 | |
Finite Lived Intangible Assets Amortization Expense | 11,000 | $ 8,000 | |
Customer relationships | |||
Finite lived intangible assets | |||
Gross Carrying Amount | 445,179 | 437,459 | |
Accumulated Amortization | (283,209) | (272,353) | |
Net Carrying Amount | 161,970 | 165,106 | |
Software & technology | |||
Finite lived intangible assets | |||
Gross Carrying Amount | 151,337 | 149,591 | |
Accumulated Amortization | (137,215) | (135,198) | |
Net Carrying Amount | 14,122 | 14,393 | |
Trademarks & other | |||
Finite lived intangible assets | |||
Gross Carrying Amount | 36,178 | 35,314 | |
Accumulated Amortization | (28,223) | (27,435) | |
Net Carrying Amount | $ 7,955 | $ 7,879 |
Acquisitions, Intangible Assets and Goodwill (Future Amortization Expense) (Details) - USD ($) $ in Thousands |
Mar. 31, 2016 |
Dec. 31, 2015 |
---|---|---|
Finite lived intangible assets future amortization expense | ||
Remaining for year ending December 31, 2016 | $ 28,051 | |
Year ending December 31, 2017 | 28,294 | |
Year ending December 31, 2018 | 25,695 | |
Year ending December 31, 2019 | 22,606 | |
Year ending December 31, 2020 | 17,795 | |
Thereafter | 61,606 | |
Net Carrying Amount | $ 184,047 | $ 187,378 |
Fair Value Measurements and Derivative Instruments (Narrative) (Details) - USD ($) $ in Millions |
Mar. 31, 2016 |
Dec. 31, 2015 |
---|---|---|
Fair Value Disclosures [Abstract] | ||
Investment securities at a loss position for more than 12 months, aggregate unrealized holding losses | $ 1 | $ 2 |
Investment securities at a loss position for more than 12 months, estimated fair value | 39 | 36 |
Investment securities at a loss position for less than 12 months, aggregate unrealized holding losses | 1 | 2 |
Investment securities at a loss position for less than 12 months, estimated fair value | 59 | 146 |
Total notional amount of outstanding contracts in cash flow hedging relationships | 16 | $ 13 |
Maximum collateral required | $ 5 |
Fair Value Measurements and Derivative Instruments (Available-for-sale Securities Maturities) (Details) $ in Thousands |
Mar. 31, 2016
USD ($)
|
---|---|
Fair Value Disclosures [Abstract] | |
Amortized cost - Within 1 year | $ 64,649 |
Amortized cost - After 1 year through 5 years | 78,466 |
Amortized cost - After 5 years through 10 years | 52,093 |
Amortized cost - After 10 years | 160,924 |
Amortized cost - Total | 356,132 |
Estimated fair value - Within 1 year | 64,711 |
Estimated fair value - After 1 year through 5 years | 79,906 |
Estimated fair value - After 5 years through 10 years | 53,610 |
Estimated fair value - After 10 years | 164,279 |
Estimated fair value - Total | $ 362,506 |
Fair Value Measurements and Derivative Instruments (Foreign Exchange Contracts) (Details) - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
Mar. 31, 2015 |
|
Derivative [Line Items] | ||
Gain (Loss) Reclassified from AOCL to Earnings (Effective Portion) | $ (155) | $ (791) |
Revenue | ||
Derivative [Line Items] | ||
Gain (Loss) Reclassified from AOCL to Earnings (Effective Portion) | (380) | (396) |
Cost of sales | ||
Derivative [Line Items] | ||
Gain (Loss) Reclassified from AOCL to Earnings (Effective Portion) | 225 | (395) |
Foreign exchange contracts | ||
Derivative [Line Items] | ||
Derivative Gain (Loss) Recognized in AOCL (Effective Portion) | (393) | (409) |
Foreign exchange contracts | Selling, general and administrative expense | ||
Derivative [Line Items] | ||
Derivative Gain (Loss) Recognized in Earnings | $ (5,977) | $ (208) |
Fair Value Measurements and Derivative Instruments (Fair Value of Debt) (Details) - USD ($) $ in Thousands |
Mar. 31, 2016 |
Dec. 31, 2015 |
---|---|---|
Carrying value excluding unamortized debt issuance costs | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt | $ 3,065,603 | $ 2,968,997 |
Fair value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt | $ 3,203,797 | $ 3,102,890 |
Pensions and Other Benefit Programs (Narrative) (Details) - USD ($) $ in Millions |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
Mar. 31, 2015 |
|
United States | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan Contributions By Employer | $ 4 | $ 3 |
Foreign | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan Contributions By Employer | 38 | 9 |
Nonpension Postretirement Benefit Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan Contributions By Employer | $ 4 | $ 6 |
Income Taxes (Details) - USD ($) $ in Millions |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
Mar. 31, 2015 |
|
Income Tax Disclosure [Abstract] | ||
Effective tax rate (percent) | 37.10% | 37.30% |
Charge from write-off of deferred tax assets | $ 3 | $ 3 |
Noncontrolling Interests (Preferred Stockholders' Equity in Subsidiaries) (Details) - USD ($) |
3 Months Ended | 12 Months Ended | |
---|---|---|---|
Mar. 31, 2016 |
Mar. 31, 2015 |
Dec. 31, 2015 |
|
Noncontrolling Interest [Line Items] | |||
Combined voting power of all classes of capital stock of PBIH | 25.00% | ||
Combined voting power of all classes of capital stock remaining | 75.00% | ||
Preferred stock dividend rate | 4.00% | 4.00% | |
Preferred stock, cumulative dividend increase interval if outstanding once callable | 6 months | ||
Dividends in arrears | $ 0 | $ 0 | |
Redeemable Preferred Stock Member | |||
Noncontrolling Interest [Line Items] | |||
Shares of outstanding perpetual voting preferred stock (in shares) | 300,000 | ||
Shares of outstanding perpetual voting preferred stock | $ 300,000,000 | ||
Preferred stock dividend rate | 6.125% | ||
Preferred dividend rate if stock is not redeemed | 50.00% | ||
Preferred stock, perpetual voting, dividend increase percentage each interval once shares become callable | 50.00% |
Stockholders' Equity (Details) - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
Mar. 31, 2015 |
|
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Balances, beginning of period | $ 178,721 | $ 77,259 |
Net income | 58,046 | 80,612 |
Other comprehensive income | 48,793 | (62,491) |
Common | (36,010) | (37,815) |
Issuance of common stock | (4,134) | (7,666) |
Conversion to common stock | 0 | |
Stock-based compensation expense | 6,303 | 5,036 |
Repurchase of common stock | (128,451) | |
Balances, end of period | 123,268 | 54,935 |
Preferred stock | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Balances, beginning of period | 1 | 1 |
Conversion to common stock | 0 | |
Balances, end of period | 1 | 1 |
Preference stock | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Balances, beginning of period | 505 | 548 |
Conversion to common stock | (13) | (5) |
Balances, end of period | 492 | 543 |
Common stock | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Balances, beginning of period | 323,338 | 323,338 |
Balances, end of period | 323,338 | 323,338 |
Additional paid-in capital | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Balances, beginning of period | 161,280 | 178,852 |
Issuance of common stock | (21,555) | (30,914) |
Conversion to common stock | (273) | (105) |
Stock-based compensation expense | 6,303 | 5,036 |
Balances, end of period | 145,755 | 152,869 |
Retained earnings | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Balances, beginning of period | 5,155,537 | 4,897,708 |
Net income | 58,046 | 80,612 |
Common | (36,010) | (37,815) |
Balances, end of period | 5,177,573 | 4,940,505 |
Accumulated other comprehensive loss | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Balances, beginning of period | (888,635) | (846,156) |
Other comprehensive income | 48,793 | (62,491) |
Balances, end of period | (839,842) | (908,647) |
Treasury stock | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Balances, beginning of period | (4,573,305) | (4,477,032) |
Issuance of common stock | 17,421 | 23,248 |
Conversion to common stock | 286 | 110 |
Repurchase of common stock | (128,451) | |
Balances, end of period | $ (4,684,049) | $ (4,453,674) |
Accumulated Other Comprehensive Loss (Reclassifications) (Details) - USD ($) $ in Thousands |
3 Months Ended | ||||||
---|---|---|---|---|---|---|---|
Mar. 31, 2016 |
Mar. 31, 2015 |
||||||
Gains (losses) on cash flow hedges | |||||||
Revenues | $ 844,589 | $ 890,681 | |||||
Interest expense, net | (19,301) | (24,064) | |||||
Benefit for income tax | 37,024 | 50,547 | |||||
Net income | 62,640 | 85,206 | |||||
Pension and Postretirement Benefit Plans | |||||||
Settlements | [1],[2] | (1,098) | 0 | ||||
Benefit for income tax | 3,799 | 4,167 | |||||
Reclassification out of Accumulated Other Comprehensive Loss | |||||||
Gains (losses) on cash flow hedges | |||||||
Revenues | [1] | (380) | (396) | ||||
Cost of sales | [1] | 225 | (395) | ||||
Interest expense, net | [1] | (507) | (507) | ||||
Total before tax | [1] | (662) | (1,298) | ||||
Benefit for income tax | [1] | (258) | (502) | ||||
Net income | [1] | (404) | (796) | ||||
Gains (losses) on available for sale securities | |||||||
Interest expense, net | [1] | 18 | (24) | ||||
Provision (benefit) for income tax | [1] | 7 | (9) | ||||
Net of tax | [1] | 11 | (15) | ||||
Pension and Postretirement Benefit Plans | |||||||
Transition credit | [1],[2] | 2 | 2 | ||||
Prior service costs | [1],[2] | (42) | (59) | ||||
Actuarial losses | [1],[2] | (9,409) | (11,519) | ||||
Total before tax | [1],[2] | (10,547) | (11,576) | ||||
Benefit for income tax | [1],[2] | (3,799) | (4,167) | ||||
Net of tax | [1],[2] | $ (6,748) | $ (7,409) | ||||
|
Accumulated Other Comprehensive Loss (Changes) (Details) - USD ($) $ in Thousands |
3 Months Ended | ||||||
---|---|---|---|---|---|---|---|
Mar. 31, 2016 |
Mar. 31, 2015 |
||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||||
Beginning Balance | $ (888,635) | $ (846,156) | |||||
Other comprehensive income (loss) before reclassifications | [1] | 41,652 | (70,711) | ||||
Amounts reclassified from accumulated other comprehensive loss | [1],[2] | 7,141 | 8,220 | ||||
Other comprehensive income (loss), net of tax | 48,793 | (62,491) | |||||
Ending Balance | (839,842) | (908,647) | |||||
Cash flow hedges | |||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||||
Beginning Balance | (3,912) | (4,689) | |||||
Other comprehensive income (loss) before reclassifications | [1] | (432) | (247) | ||||
Amounts reclassified from accumulated other comprehensive loss | [1],[2] | 404 | 796 | ||||
Other comprehensive income (loss), net of tax | (28) | 549 | |||||
Ending Balance | (3,940) | (4,140) | |||||
Available for sale securities | |||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||||
Beginning Balance | 536 | 2,966 | |||||
Other comprehensive income (loss) before reclassifications | [1] | 3,465 | 1,715 | ||||
Amounts reclassified from accumulated other comprehensive loss | [1],[2] | (11) | 15 | ||||
Other comprehensive income (loss), net of tax | 3,454 | 1,730 | |||||
Ending Balance | 3,990 | 4,696 | |||||
Pension and postretirement benefit plans | |||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||||
Beginning Balance | (738,768) | (786,079) | |||||
Other comprehensive income (loss) before reclassifications | [1] | (1,230) | 0 | ||||
Amounts reclassified from accumulated other comprehensive loss | [1],[2] | 6,748 | 7,409 | ||||
Other comprehensive income (loss), net of tax | 5,518 | 7,409 | |||||
Ending Balance | (733,250) | (778,670) | |||||
Foreign currency adjustments | |||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||||
Beginning Balance | (146,491) | (58,354) | |||||
Other comprehensive income (loss) before reclassifications | [1] | 39,849 | (72,179) | ||||
Amounts reclassified from accumulated other comprehensive loss | [1],[2] | 0 | 0 | ||||
Other comprehensive income (loss), net of tax | 39,849 | (72,179) | |||||
Ending Balance | $ (106,642) | $ (130,533) | |||||
|
[49^80RYH2-%ZYI='R=AQ1B,3&5K<:&
M%2AF08BYCJZZWSE3IV7F-W:9I(G?L3P:6A"&GE4I-[>F#^UA5%/3TE*ZZX;[
M ?M4C'(JH>QDG!>85 M4MB"4)2*=O4M+EE'A=^2@KP7AZ]N@)S'H:D&X"M%/
MED=W"\+=<1H@$>AL03@[F0^*8T2AQ@6A\60^*$X0A1H7A,:3^:" SC'7:XNQ_3W:CQJ_G0]E[<%'+:_
M5;/=G,KG\'?9/A^.7?+0]'U33^?-3TW3AR&:N+&K9!_*W?*A"D_]^#8;WK=P
MY X?^N8T_X*P_(RQ_1]02P,$% @ !6JF2%?#2Z>F @ > D !@ !X
M;"]W;W)K 5Z0D3^ZLN_8X!$F*4/$X
M81I,F/J$R6,!$JPQF5[C+.@@>USCE<=D$,([%?$H &ULC97+;J,P&(5?Q>(!:C 70T20VE2CF<5(
M51 JH Q _E/9NJ(^_G/8=?N>;;I(
M=NZY?#UV/^K+'P[GH >#V_K8CI_)]K7MZBH,6215^X4HY4G"1[B*,I"
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M=CQPMC5N2^Q>P>B!@Y'=<9".T[SX#U!+ P04 " %:J9(JF?)E>H$ "N
M& & 'AL+W=O1/T\0/2:(3(+()$#@
M4;+73&JF81D XF2>J@R5HP0]=XF=+K%U@:XJB7&Q3 1SIXNA*DO%,8R>RR1.
MF<3*H(6%,4P<9]'"NA@H0=%_[%'J5$FM2KB@8IAX81NK3\BL1N;4R*Q&Y/H_
M&V8W,O'S(KFS2&X3.'&PO=V]R:W-H965T204WVMS&B@5S5MV/8] X!N(H(HYG4FGL]3RZB.,Q=C^)19-82**)
M)/:JB5]#6!@3R4U$$H?.-P=)(LYQAG8E@PHLT17/"*;160F]\9 3$8N3,S3*
M?'C*XH@L "DE&36V 1,JBQ@:SO% 04E$OW. 4LX8G8C'SCDN\#3>31Q?]2&-
MAXQDQ*(M@-(L9MYPBT@K9\@A]IA1.HN9@+CU.&A/40(&*.5\
M[#V5*'""B2PBDL,C@?\496* 4IM9PBQ%P,:+M],1B7"?IBTCD;D0@7
MK #!ZI@QQ@4K0+":$BQ Z;@G,M0&+G F$RPF$JY8 8K5E&(!4D8P8-7Y< [^,5-)[0E)W3^9.,!M(@.?/OL;D=)[]_/FDAH70CO?6S2
ME4J)PV%Y(.LKK?X#4$L#!!0 ( 5JIDC^C-CFI $ +$# 8 >&PO
M=V]R:W-H965TCL?\G@F;_"J
M''@'/[GIA+;DA,Z?;#R %M&!;Y_=[2CI_?M9$PFM"^%G'YMTI5+B<%@>R/I*
MJW]02P,$% @ !6JF2#3?.C*D 0 L0, !D !X;"]W;W)K
V/OO9"R#L@S.R3@JR> #GT4'AA/%C5E%-&:%&[/B-&8"23D)V_:P6F2,$BNL9T4:E(S,*H73
MHB+2@EVUTIRTZ-E9,H",$\$Z5J1CCM%1V%2K"%>M< ]4'%]-H-E9XJ)F"5:Q
M(A5+SC4%G); 3XO&'5 GC+00:&J6#"#C1+"*-:E8,KRCQNMB';$PUKCSZ
*_%2$29*[)TET
MA8$*L]88?T*X@MU: CJV=*C2X?T"I4$$SRL$UQ5T;T9B59 \,B/69FC,
M2Y!Z]T'E",KBYU)2JY142[FHPP(.%'
M-$.-;U=CSFLPIR%HM<2'7_ DL*LP!R[U'WD2C.T&CTPQJ-";(\=^>GUS?%,X
M@R*RFQ)]P938KL(