Schedule I - Condensed Financial Information of the Parent

12 Months Ended

Dec. 31, 2018

Condensed Financial Information Disclosure [Abstract]

Schedule I - Condensed Financial Information of the Parent

Parent Company Condensed Balance Sheets

The condensed balance sheets of NACCO, the parent company, at December 31 are as follows:

	2018		2017
ASSETS
Cash and cash equivalents	$	84,819	$	94,646
Accounts receivable from affiliates	2,418		9,189
Current intercompany accounts receivable, net	868		—
Other current assets	4,508		1,714
Investment in subsidiaries:
NACoal	173,020		141,174
Other, primarily Bellaire	12,633		13,340
	185,653		154,514
Property, plant and equipment, net	241		310
Other non-current assets	7,851		9,550
Total Assets	$	286,358	$	269,923
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities	$	5,148	$	7,627
Current intercompany accounts payable, net	—		11,858
Note payable to Bellaire	17,300		17,850
Deferred compensation	12,939		12,939
Other non-current liabilities	267		201
Stockholders’ equity	250,704		219,448
Total Liabilities and Stockholders’ Equity	$	286,358	$	269,923

The credit agreement at NACoal allows for the transfer of assets to NACCO under certain circumstances. The amount of NACCO's investment in NACoal and Bellaire that was restricted at December 31, 2018 totaled approximately $1.6 million. The amount of unrestricted cash available to NACCO included in “Investment in subsidiaries” was $0.3 million at December 31, 2018. Dividends and management fees from its subsidiaries are the primary sources of cash for NACCO.

SCHEDULE I—CONDENSED FINANCIAL INFORMATION OF THE PARENT

NACCO INDUSTRIES, INC. AND SUBSIDIARIES

PARENT COMPANY CONDENSED BALANCE SHEETS

	December 31
	2018		2017
	(In thousands)
ASSETS
Cash and cash equivalents	$	84,819	$	94,646
Accounts receivable from affiliates	2,418		9,189
Current intercompany accounts receivable, net	868		—
Other current assets	4,508		1,714
Investment in subsidiaries:
NACoal	173,020		141,174
Other, primarily Bellaire	12,633		13,340
	185,653		154,514
Property, plant and equipment, net	241		310
Other non-current assets	7,851		9,550
Total Assets	$	286,358	$	269,923
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities	$	5,148	$	7,627
Current intercompany accounts payable, net	—		11,858
Note payable to Bellaire	17,300		17,850
Deferred compensation	12,939		12,939
Other non-current liabilities	267		201
Stockholders’ equity	250,704		219,448
Total Liabilities and Stockholders’ Equity	$	286,358	$	269,923

See Notes to Parent Company Condensed Financial Statements.

SCHEDULE I—CONDENSED FINANCIAL INFORMATION OF THE PARENT

NACCO INDUSTRIES, INC. AND SUBSIDIARIES

PARENT COMPANY CONDENSED STATEMENTS OF COMPREHENSIVE INCOME

	Year Ended December 31
	2018			2017
	(In thousands)
Expense (income):
Intercompany interest expense	$	1,223		$	1,256
Other, net	(613		)	(314		)
	610			942
Administrative and general expenses	5,962			6,466
Loss before income taxes	(6,572		)	(7,408		)
Income tax benefit	(676		)	(366		)
Net loss before equity in earnings of subsidiaries	(5,896		)	(7,042		)
Equity in earnings of subsidiaries	40,681			35,505
Income from continuing operations	34,785			28,463
Discontinued operations, net of tax	$	—		$	1,874
Net income	34,785			30,337
Foreign currency translation adjustment	—			1,725
Deferred gain on available for sale securities, net of tax	—			834
Current period cash flow hedging activity, net of $941 tax expense in 2017	—			1,543
Reclassification of hedging activities into earnings, net of $1,255 tax expense in 2017	—			(2,369		)
Current period pension and postretirement plan adjustment, net of $14 tax benefit in 2018 and net of $440 tax expense in 2017, respectively	(301		)	749
Reclassification of pension and postretirement adjustments into earnings, net of $85 and $363 tax benefit in 2018 and 2017, respectively	489			582
Total other comprehensive income	188			3,064
Comprehensive Income	$	34,973		$	33,401

See Notes to Parent Company Condensed Financial Statements.

SCHEDULE I—CONDENSED FINANCIAL INFORMATION OF THE PARENT

NACCO INDUSTRIES, INC. AND SUBSIDIARIES

PARENT COMPANY CONDENSED STATEMENTS OF CASH FLOWS

	Year Ended December 31
	2018			2017
	(In thousands)
Operating Activities
Income from continuing operations	$	34,785		$	28,463
Equity in earnings of subsidiaries	40,681			35,505
Parent company only net loss	(5,896		)	(7,042		)
Net changes related to operating activities	(5,496		)	7,881
Net cash (used for) provided by operating activities	(11,392		)	839
Investing Activities
Proceeds from the sale of assets	—			834
Expenditures for property, plant and equipment	(12		)	(12		)
Net cash (used for) provided by investing activities	(12		)	822
Financing Activities
Dividends received from subsidiaries	8,000			4,000
Dividends received from HBBHC	—			38,000
Notes payable to Bellaire	(551		)	(250		)
Purchase of treasury shares	(1,294		)	—
Cash dividends paid	(4,578		)	(6,682		)
Net cash provided by financing activities	1,577			35,068
Cash and cash equivalents
(Decrease) increase for the period	(9,827		)	36,729
Balance at the beginning of the period	94,646			57,917
Balance at the end of the period	$	84,819		$	94,646

See Notes to Parent Company Condensed Financial Statements.

SCHEDULE I—CONDENSED FINANCIAL INFORMATION OF THE PARENT

NACCO INDUSTRIES, INC. AND SUBSIDIARIES

NOTES TO PARENT COMPANY CONDENSED FINANCIAL STATEMENTS

FOR THE YEAR ENDED DECEMBER 31, 2018 AND 2017

The notes to Consolidated Financial Statements, incorporated in Item 15 of this Form 10-K, are hereby incorporated by reference into these Notes to Parent Company Condensed Financial Statements.

NOTE A — ACCOUNTING POLICIES

NACCO Industries, Inc. (the parent company or “NACCO”) is a holding company that operates primarily in the mining industry. In the Parent Company Condensed Financial Statements, NACCO's investment in subsidiaries is stated at cost plus equity in undistributed earnings of subsidiaries since the date of acquisition. NACCO's share of net income of unconsolidated subsidiaries is included in net income using the equity method. Parent Company financial statements should be read in conjunction with the Company's consolidated financial statements.

NOTE B — LONG-TERM OBLIGATIONS AND GUARANTEES

It is NACCO's policy not to guarantee the debt of NACoal.

NOTE C — UNRESTRICTED CASH

The amount of unrestricted cash available to NACCO, included in “Investment in subsidiaries,” was $0.3 million at December 31, 2018 and was in addition to the $84.8 million of cash included in the Parent Company Condensed Balance Sheet at December 31, 2018.