The following table presents the impact on our opening Consolidated Balance Sheet as of January 1, 2018 of adopting ASC 606 (in millions of dollars): | | | | | | | | | | | | | | December 31, 2017 As Reported | | Cumulative-effect Adjustments1 | | January 1, 2018 As Adjusted | Contract assets | $ | — |
| | $ | 55.6 |
| | $ | 55.6 |
| Inventories | 207.9 |
| | (40.7 | ) | | 167.2 |
| Total current assets | 656.6 |
| | 14.9 |
| | 671.5 |
| Deferred tax assets, net | 72.0 |
| | (3.3 | ) | | 68.7 |
| Total assets | $ | 1,385.2 |
| | $ | 11.6 |
| | $ | 1,396.8 |
| Other accrued liabilities | 40.5 |
| | 1.5 |
| | 42.0 |
| Total current liabilities | 173.1 |
| | 1.5 |
| | 174.6 |
| Total liabilities | $ | 638.9 |
| | $ | 1.5 |
| | $ | 640.4 |
| Retained earnings | 85.5 |
| | 10.1 |
| | 95.6 |
| Total stockholders’ equity | 746.3 |
| | 10.1 |
| | 756.4 |
| Total liabilities and stockholders’ equity | $ | 1,385.2 |
| | $ | 11.6 |
| | $ | 1,396.8 |
|
____________________ | | 1 | Included in the cumulative-effect adjustment was a charge of $5.0 million as a result of decrementing higher cost prior LIFO layers. |
The following table presents the impact of adopting ASC 606 on our Consolidated Balance Sheet as of the period presented (in millions of dollars): | | | | | | | | | | | | | | September 30, 2018 As Reported | | Adjustments | | September 30, 2018 without Adoption of ASC 606 | Contract assets | $ | 51.0 |
| | $ | (51.0 | ) | | $ | — |
| Inventories | 196.2 |
| | 31.3 |
| | 227.5 |
| Total current assets | 673.0 |
| | (19.7 | ) | | 653.3 |
| Deferred tax assets, net | 42.2 |
| | 3.3 |
| | 45.5 |
| Total assets | $ | 1,426.0 |
| | $ | (16.4 | ) | | $ | 1,409.6 |
| Other accrued liabilities | 37.0 |
| | (2.7 | ) | | 34.3 |
| Total current liabilities | 192.5 |
| | (2.7 | ) | | 189.8 |
| Total liabilities | $ | 663.5 |
| | $ | (2.7 | ) | | $ | 660.8 |
| Retained earnings | 135.6 |
| | (13.7 | ) | | 121.9 |
| Total stockholders’ equity | 762.5 |
| | (13.7 | ) | | 748.8 |
| Total liabilities and stockholders’ equity | $ | 1,426.0 |
| | $ | (16.4 | ) | | $ | 1,409.6 |
|
The following table presents the impact of adopting ASC 606 on our Statements of Consolidated Income for each period presented (in millions of dollars, except per share amounts): | | | | | | | | | | | | | | | | | | | | | | | | | | Quarter Ended September 30, 2018 | | Nine Months Ended September 30, 2018 | | As Reported | | Adjustments | | Without Adoption of ASC 606 | | As Reported | | Adjustments | | Without Adoption of ASC 606 | Net sales | $ | 393.1 |
| | $ | 1.6 |
| | $ | 394.7 |
| | $ | 1,196.5 |
| | $ | 4.8 |
| | $ | 1,201.3 |
| Cost of products sold, excluding depreciation and amortization and other items1 | 323.3 |
| | 1.9 |
| | 325.2 |
| | 983.4 |
| | 9.5 |
| | 992.9 |
| Operating income | 34.9 |
| | (0.3 | ) | | 34.6 |
| | 106.7 |
| | (4.7 | ) | | 102.0 |
| Income before income taxes | 29.9 |
| | (0.3 | ) | | 29.6 |
| | 90.0 |
| | (4.7 | ) | | 85.3 |
| Income tax provision | (8.2 | ) | | 0.1 |
| | (8.1 | ) | | (21.9 | ) | | 1.1 |
| | (20.8 | ) | Net income | $ | 21.7 |
| | $ | (0.2 | ) | | $ | 21.5 |
| | $ | 68.1 |
| | $ | (3.6 | ) | | $ | 64.5 |
| | | | | | | | | | | | | Net income per common share: | | | | | | | | | | | | Basic | $ | 1.31 |
| | $ | (0.01 | ) | | $ | 1.30 |
| | $ | 4.09 |
| | $ | (0.21 | ) | | $ | 3.88 |
| Diluted | $ | 1.29 |
| | $ | (0.01 | ) | | $ | 1.28 |
| | $ | 4.03 |
| | $ | (0.21 | ) | | $ | 3.82 |
|
____________________ | | 1 | Included in the "as reported" amounts was the benefit of having decremented higher cost prior LIFO layers as part of the cumulative-effect adjustment of adopting ASC 606, as discussed in the opening balance sheet table above. |
The following table presents the impact of adopting ASC 606 on our Statements of Consolidated Comprehensive Income for each period presented (in millions of dollars): | | | | | | | | | | | | | | | | | | | | | | | | | | Quarter Ended September 30, 2018 | | Nine Months Ended September 30, 2018 | | As Reported | | Adjustments | | Without Adoption of ASC 606 | | As Reported | | Adjustments | | Without Adoption of ASC 606 | Net income | $ | 21.7 |
| | $ | (0.2 | ) | | $ | 21.5 |
| | $ | 68.1 |
| | $ | (3.6 | ) | | $ | 64.5 |
| Comprehensive income | $ | 20.9 |
| | $ | (0.2 | ) | | $ | 20.7 |
| | $ | 65.4 |
| | $ | (3.6 | ) | | $ | 61.8 |
|
The following table presents the impact of adopting ASC 606 on our Statements of Consolidated Cash Flows for the period presented (in millions of dollars): | | | | | | | | | | | | | | Nine Months Ended September 30, 2018 As Reported | | Adjustments | | Nine Months Ended September 30, 2018 without Adoption of ASC 606 | Net income | $ | 68.1 |
| | $ | (3.6 | ) | | $ | 64.5 |
| Changes in operating assets and liabilities: | | | | | | Contract assets | 4.6 |
| | (4.6 | ) | | — |
| Inventories | (25.6 | ) | | 9.4 |
| | (16.2 | ) | Accrued liabilities | (1.0 | ) | | (1.2 | ) | | (2.2 | ) | Net cash provided by operating activities | $ | 112.5 |
| | $ | — |
| | $ | 112.5 |
|
|