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CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' DEFICIT - USD ($)
shares in Millions, $ in Millions
Total
Cumulative Effect, Period of Adoption, Adjustment
Common Stock
Additional Paid-In Capital
Retained Earnings
Retained Earnings
Cumulative Effect, Period of Adoption, Adjustment
Accumulated Other Comprehensive Loss
Treasury Stock
Noncontrolling Interests
Beginning balance (in shares) at Dec. 31, 2019     770.0            
Beginning balance at Dec. 31, 2019 $ (983.8) $ (2.0) $ 192.6 $ 2,321.2 $ 2,138.9 $ (2.0) $ (1,040.0) $ 4,603.3 $ 6.8
Beginning balance , treasury stock (in shares) at Dec. 31, 2019               319.9  
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Gain on common control transaction 1.4       1.4        
Capitalization of payable [1] 91.5     91.5          
Net loss (365.5)       (362.8)       (2.7)
Other comprehensive income (93.6)           (93.8)   0.2
Conversion of Series C convertible preferred stock (in shares) [2]               (87.0)  
Conversion of Series C convertible preferred stock [2] 486.8       (710.8)     $ 1,197.6  
Exercise/ vesting/ expense of share-based compensation (2.0)   $ (0.2) (1.8)          
Repurchase of common stock (in shares) [3]     (770.0)         (232.9)  
Exchange of common stock [3] 0.0   $ (192.4) (1,788.1) (1,425.2)     $ 3,405.7  
Ending balance (in shares) at Dec. 31, 2020 [4]     0.0            
Ending balance at Dec. 31, 2020 [4] (867.2)   $ 0.0 622.8 (360.5)   (1,133.8) $ 0.0 4.3
Ending balance , treasury stock (in shares) at Dec. 31, 2020 [4]               0.0  
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Sale on Avon Luxembourg [5] 148.4       148.4        
Net loss (193.5)       (192.1)       (1.4)
Other comprehensive income 50.2           48.3   1.9
Exercise/ vesting/ expense of share-based compensation 8.4     8.4          
Purchases and sales of noncontrolling interests (1.0)               (1.0)
Ending balance (in shares) at Dec. 31, 2021 [4]     0.0            
Ending balance at Dec. 31, 2021 [4] (854.7)   $ 0.0 631.2 (404.2)   (1,085.5) $ 0.0 3.8
Ending balance , treasury stock (in shares) at Dec. 31, 2021 [4]               0.0  
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Net loss (427.9)       (428.1)       0.2
Other comprehensive income 32.8           33.3   (0.5)
Exercise/ vesting/ expense of share-based compensation 8.6     8.6          
Ending balance (in shares) at Dec. 31, 2022     0.0            
Ending balance at Dec. 31, 2022 $ (1,241.2)   $ 0.0 $ 639.8 $ (832.3)   $ (1,052.2) $ 0.0 $ 3.5
Ending balance , treasury stock (in shares) at Dec. 31, 2022               0.0  
[1] On March 1, 2016, the Company issued and sold to Cerberus Investor 435,000 shares of newly issued series C preferred stock for an aggregate purchase price of $435 pursuant to an Investment Agreement, dated as of December 17, 2015, between the Company and Cerberus Investor. The series C preferred stock had accrued unpaid dividends of $91.3 at December 31, 2019. In January 2020 Natura &Co Holding paid the accrued dividends on the shares of series C preferred stock in an amount equal to U.S. $91.5 to Cerberus, resulting in a payable due to an affiliate of Natura &Co Holding for the same amount. During 2020, the payable due to Natura &Co was capitalized and recorded as a capital contribution through Additional Paid in Capital.
[2] On December 30, 2019, an affiliate of Cerberus Capital Management, L.P. ("Cerberus") elected to convert 435,000 shares of Series C Preferred Stock into 87,000,000 shares of the Company’s common stock, par value U.S.$0.25 per share, pursuant to the holder of the Company’s Series C Preferred Stock’s rights under the Company’s certificate of incorporation. The foregoing election is conditioned upon the filing of the certificates of merger with respect to the First Merger.
[3] In January 2020, subsequent to the Transaction, the Company restated its certificate of incorporation to effect a change in capitalization of the Company by changing the number of authorized shares of stock from 1,525,000,000 shares (of which (i) 1,500,000,000 shares, par value $0.25 per share, were common stock and (ii) 25,000,000 shares, par value $1.00 per share, were preferred stock) to 1,000 shares of common stock, par value $0.01 per share. As a result of the Merger, all of the issued and outstanding common stock of the Company, being 550,890,788, were canceled and converted. See Note 20, Merger with Natura Cosméticos S.A.,.
[4] The number of shares of Common Stock (par value $0.01 per share) outstanding at December 31, 2022, 2021 and 2020 was 101.34.
[5] On July 1, 2021, the Company sold Avon Luxembourg Holdings S.à r.l. and its subsidiaries ("Avon Luxembourg"), including our Mexican business, to a subsidiary of Natura &Co Holding S.A. for $150. The sale was accounted for as a transaction under common control in accordance with ASC805 - Business Combinations, with the resulting gain of $148, representing the difference between the proceeds, the net assets of Avon Luxembourg on the date of sale, and the cumulative foreign currency translation adjustment, taken directly to Retained Earnings