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ACCOUNTING POLICIES (Tables)
 3 Months Ended
Mar. 31, 2018
Accounting Policies [Abstract]  
Summary of Disaggregation of Revenue by Product or Service
In the following table, revenue is disaggregated by product or service type. All revenue is recognized at a point in time, when control of a product is transferred to a customer:
 
 
Three months ended March 31, 2018
 
 
Reportable segments
 
 
 
 
 
 
Europe, Middle East & Africa
 
South Latin America
 
North Latin America
 
Asia Pacific
 
Total reportable segments
 
Other operating segments and business activities
 
Total
Beauty:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Skincare
 
$
169.2

 
$
141.8

 
$
46.7

 
$
31.4

 
$
389.1

 
$
4.7

 
$
393.8

Fragrance
 
163.2

 
118.6

 
53.6

 
18.6

 
354.0

 
2.2

 
356.2

Color
 
120.8

 
80.9

 
20.9

 
13.1

 
235.7

 
3.3

 
239.0

Total Beauty
 
453.2

 
341.3


121.2


63.1


978.8


10.2

 
989.0

Fashion & Home:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fashion
 
79.8

 
46.5

 
22.6

 
39.7

 
188.6

 
1.9

 
190.5

Home
 
9.3

 
71.9

 
41.2

 
7.0

 
129.4

 
.7

 
130.1

Total Fashion & Home
 
89.1

 
118.4


63.8


46.7


318.0


2.6

 
320.6

Net sales
 
542.3

 
459.7


185.0


109.8


1,296.8


12.8

 
1,309.6

Representative fees
 
25.9

 
36.4

 
10.6

 
1.6

 
74.5

 
1.4

 
75.9

Other
 
.2

 
1.0

 
—

 
—

 
1.2

 
6.8

 
8.0

Other revenue
 
26.1

 
37.4

 
10.6

 
1.6

 
75.7

 
8.2

 
83.9

Total revenue
 
$
568.4

 
$
497.1


$
195.6


$
111.4


$
1,372.5


$
21.0

 
$
1,393.5
Summary of Receivables and Contract Liabilities
The following table provides information about receivables and contract liabilities from contracts with customers at March 31, 2018:
 
 
March 31, 2018
Accounts receivable, net of allowances of $127.9
 
$
429.0

Contract liabilities
 
75.5
Summary of Impact of ASC 606
The following tables summarize the impacts of adopting ASC 606 on the Company's consolidated financial statements for the three months ended March 31, 2018:
 
Impact of change in revenue recognition standard
Line items impacted within the Consolidated Statements of Operations
Per consolidated financial statements
 
Adjustments
 
Balances excluding the impact of adopting ASC 606
Revenue
 
 
 
 
 
Net sales
$
1,309.6

 
$
(25.4
)
(1) 
$
1,284.2

Other revenue
83.9

 
(54.9
)
(2) 
29.0

Total revenue
1,393.5

 
(80.3
)
 
1,313.2

 
 
 
 
 
 
Costs and expenses
 
 
 
 
 
Cost of sales
579.7

 
(73.0
)
(3) 
506.7

Selling, general and administrative expenses
768.9

 
11.8

(4) 
780.7

Operating profit
44.9

 
(19.1
)
 
25.8

Income (loss) before income taxes
10.4

 
(19.1
)
 
(8.7
)
Income taxes
(31.5
)
 
3.8

 
(27.7
)
Net loss
(21.1
)
 
(15.3
)
 
(36.4
)
Net loss attributable to Avon
(20.3
)
 
(15.3
)
 
(35.6
)
(1) Primarily relates to net impact of the timing of recognition of sales incentives.
(2) Relates to Representative fees (primarily brochure fees, late payment fees and certain other fees), which were reclassified from SG&A. Brochure fees were also impacted by the timing of recognition.
(3) Primarily relates to the cost of sales incentives and the cost of brochures paid for by Representatives, both of which were reclassified from SG&A and were also impacted by the timing of recognition.
(4) Relates to the cost of sales incentives, which were reclassified to cost of sales and were also impacted by the timing of recognition. This was partially offset by Representative fees, which were reclassified to other revenue.
 
Impact of change in revenue recognition standard
Line items impacted within the Consolidated Statements of Other Comprehensive Income
Per consolidated financial statements
 
Adjustments
 
Balances excluding the impact of adopting ASC 606
Net loss
$
(21.1
)
 
$
(15.3
)
 
$
(36.4
)
Foreign currency translation adjustments
32.7

 
.7

 
33.4

Total other comprehensive income, net of income taxes
35.6

 
.7

 
36.3

Comprehensive income (loss)
14.5

 
(14.6
)
 
(.1
)
Comprehensive income attributable to Avon
15.1

 
(14.6
)
 
.5

 
Impact of change in revenue recognition standard
Line items impacted within the Consolidated Balance Sheets
Per consolidated financial statements
 
Adjustments
 
Balances excluding the impact of adopting ASC 606
Assets
 
 
 
 
 
Accounts receivable, net
$
429.0

 
$
(6.3
)
(1) 
$
422.7

Inventories
697.0

 
(41.2
)
(2) 
655.8

Prepaid expenses and other
251.0

 
50.6

(2) 
301.6

Total current assets
2,149.5

 
3.1

 
2,152.6

Other assets
687.3

 
(11.6
)
(3) 
675.7

Total assets
3,640.4

 
(8.5
)
 
3,631.9

 
 
 
 
 
 
Liabilities, Series C Convertible Preferred Stock and Shareholders’ Deficit

 
 
 
 
 
Other accrued liabilities
401.1

 
(29.6
)
(4) 
371.5

Income taxes
8.2

 
(3.8
)
 
4.4

Total current liabilities
1,750.8

 
(33.4
)
 
1,717.4

Other liabilities
80.2

 
(1.6
)
 
78.6

Total liabilities
3,913.2

 
(35.0
)
 
3,878.2

Retained earnings
2,252.5

 
25.8

(5) 
2,278.3

Accumulated other comprehensive loss
(891.0
)
 
.7

 
(890.3
)
Total Avon shareholders’ deficit
(756.3
)
 
26.5

 
(729.8
)
Total shareholders’ deficit
(746.6
)
 
26.5

 
(720.1
)
Total liabilities, series C convertible preferred stock and shareholders’ deficit
3,640.4

 
(8.5
)
 
3,631.9

(1) Relates to sales returns, which were reclassified from a reduction of accounts receivable to a refund liability (within other accrued liabilities) and a returns asset (within prepaid expenses and other).
(2) Primarily relates to sales incentives and brochures, both of which were reclassified from prepaid expenses and other to inventories, and were also impacted by the timing of recognition. In addition, prepaid expenses and other was impacted by the timing of recognition of brochures, as well as the reclassification of sales returns (described above).
(3) Relates to deferred tax assets associated with the cumulative-effect adjustment.
(4) Primarily relates to the contract liability for sales incentives, which is partially offset by the lower accrual for sales incentives. In addition, other accrued liabilities was impacted by the reclassification of sales returns (described above).
(5) Relates to the $41.1 cumulative-effect adjustment upon adoption of ASC 606, partially offset by the $15.3 net loss adjustment.
 
Impact of change in revenue recognition standard
Line items impacted within the Consolidated Statements of Cash Flows
Per consolidated financial statements
 
Adjustments
 
Balances excluding the impact of adopting ASC 606
Net loss
$
(21.1
)
 
$
(15.3
)
 
$
(36.4
)
Changes in assets and liabilities:
 
 
 
 

Accounts receivable
(4.4
)
 
(2.3
)
 
(6.7
)
Inventories
(58.4
)
 
1.9

 
(56.5
)
Prepaid expenses and other
.1

 
1.1

 
1.2

Accounts payable and accrued liabilities
(106.3
)
 
18.9

 
(87.4
)
Income and other taxes
(.9
)
 
(3.8
)
 
(4.7
)
Noncurrent assets and liabilities
.6

 
(.5
)
 
.1