(State or other jurisdiction of incorporation or organization) |
(I.R.S. Employer Identification No.) |
Title of each class |
Trading Symbol |
Name of exchange on which registered |
NO ☐ |
NO ☐ |
Accelerated Filer ☐ |
|
Non-accelerated Filer ☐ |
Smaller Reporting Company |
Emerging Growth Company |
YES |
NO ☒ |
Page No. |
||
PART I. FINANCIAL INFORMATION |
||
Item 1. |
Financial Statements: |
|
Condensed Consolidated Statements of Income for the three-month and six-month periods ended June 28, 2020 and June 30, 2019 (Unaudited) |
3 |
|
Condensed Consolidated Statements of Comprehensive Income for the three-month and six-month periods ended June 28, 2020 and June 30, 2019 (Unaudited) |
4 |
|
Condensed Consolidated Balance Sheets as of June 28, 2020 (Unaudited) and December 31, 2019 |
5 |
|
Condensed Consolidated Statements of Cash Flows for the six-month periods ended June 28, 2020 and June 30, 2019 (Unaudited) |
6 |
|
Condensed Consolidated Statements of Changes in Shareholders' Equity for the three-month and six-month periods ended June 28, 2020 and June 30, 2019 (Unaudited) |
7 |
|
8 |
||
20 |
||
Item 2. |
21 |
|
Item 3. |
34 |
|
Item 4. |
34 |
|
PART II. OTHER INFORMATION |
||
Item 1. |
35 |
|
Item 1A. |
36 |
|
Item 2. |
38 |
|
Item 3. |
38 |
|
Item 4. |
38 |
|
Item 5. |
38 |
|
Item 6. |
39 |
|
40 |
||
Three Months Ended |
Six Months Ended |
|||||||||||||||
(millions of dollars, except per share data) |
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
||||||||||||
Product sales |
$ |
$ |
$ |
$ |
||||||||||||
Service revenue |
||||||||||||||||
Total net sales |
||||||||||||||||
Cost of goods sold |
||||||||||||||||
Cost of service revenue |
||||||||||||||||
Total cost of sales |
||||||||||||||||
Production margin |
||||||||||||||||
Marketing and administrative expenses |
||||||||||||||||
Research and development expenses |
||||||||||||||||
Litigation expenses |
||||||||||||||||
Restructuring and other items, net |
||||||||||||||||
Income from operations |
||||||||||||||||
Interest expense, net |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||
Non-cash pension settlement charge |
( |
) |
( |
) |
||||||||||||
Other non-operating income (deductions), net |
( |
) |
( |
) |
( |
) |
||||||||||
Total non-operating deductions, net |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||
Income from operations before tax and equity in earnings |
||||||||||||||||
Provision for taxes on income |
||||||||||||||||
Equity in earnings of affiliates, net of tax |
||||||||||||||||
Consolidated net income |
||||||||||||||||
Less: |
||||||||||||||||
Net income attributable to non-controlling interests |
||||||||||||||||
Net income attributable to Minerals Technologies Inc. |
$ |
$ |
$ |
$ |
||||||||||||
Earnings per share: |
||||||||||||||||
Basic: |
||||||||||||||||
Income from operations attributable to Minerals Technologies Inc. |
$ |
$ |
$ |
$ |
||||||||||||
Diluted: |
||||||||||||||||
Income from operations attributable to Minerals Technologies Inc. |
$ |
$ |
$ |
$ |
||||||||||||
Cash dividends declared per common share |
$ |
$ |
$ |
$ |
||||||||||||
Shares used in computation of earnings per share: |
||||||||||||||||
Basic |
||||||||||||||||
Diluted |
||||||||||||||||
Three Months Ended |
Six Months Ended |
|||||||||||||||
(millions of dollars) |
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
||||||||||||
Consolidated net income |
$ |
$ |
$ |
$ |
||||||||||||
Other comprehensive income (loss), net of tax: |
||||||||||||||||
Foreign currency translation adjustments |
( |
) |
( |
) |
( |
) |
||||||||||
Pension and postretirement plan adjustments |
||||||||||||||||
Unrealized gains (losses) on derivative instruments |
( |
) |
( |
) |
( |
) |
||||||||||
Total other comprehensive income (loss), net of tax |
( |
) |
( |
) |
( |
) |
||||||||||
Total comprehensive income including non-controlling interests |
||||||||||||||||
Comprehensive income attributable to non-controlling interests |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||
Comprehensive income attributable to Minerals Technologies Inc. |
$ |
$ |
$ |
$ |
||||||||||||
(millions of dollars) |
Jun. 28, 2020* |
Dec. 31, 2019 ** |
||||||
ASSETS |
||||||||
Current assets: |
||||||||
Cash and cash equivalents |
$ |
$ |
||||||
Short-term investments |
||||||||
Accounts receivable, net |
||||||||
Inventories |
||||||||
Prepaid expenses and other current assets |
||||||||
Total current assets |
||||||||
Property, plant and equipment |
||||||||
Less accumulated depreciation and depletion |
( |
) |
( |
) |
||||
Property, plant and equipment, net |
||||||||
Goodwill |
||||||||
Intangible assets |
||||||||
Deferred income taxes |
||||||||
Other assets and deferred charges |
||||||||
Total assets |
$ |
$ |
||||||
LIABILITIES AND SHAREHOLDERS' EQUITY |
||||||||
Current liabilities: |
||||||||
Short-term debt |
$ |
$ |
||||||
Current maturities of long-term debt |
||||||||
Accounts payable |
||||||||
Other current liabilities |
||||||||
Total current liabilities |
||||||||
Long-term debt, net of unamortized discount and deferred financing costs |
||||||||
Deferred income taxes |
||||||||
Accrued pension and post-retirement benefits |
||||||||
Other non-current liabilities |
||||||||
Total liabilities |
||||||||
Shareholders' equity: |
||||||||
Common stock |
||||||||
Additional paid-in capital |
||||||||
Retained earnings |
||||||||
Accumulated other comprehensive loss |
( |
) |
( |
) |
||||
Less common stock held in treasury |
( |
) |
( |
) |
||||
Total Minerals Technologies Inc. shareholders' equity |
||||||||
Non-controlling interests |
||||||||
Total shareholders' equity |
||||||||
Total liabilities and shareholders' equity |
$ |
$ |
||||||
| * |
Six Months Ended |
||||||||
(millions of dollars) |
Jun. 28, 2020 |
Jun. 30, 2019 |
||||||
Operating Activities: |
||||||||
Consolidated net income |
$ |
$ |
||||||
Adjustments to reconcile net income to net cash provided by operating activities: |
||||||||
Depreciation, depletion and amortization |
||||||||
Non-cash pension settlement costs |
||||||||
Reduction of right of use asset |
||||||||
Asset impairment charge |
||||||||
Other non-cash items |
||||||||
Pension plan funding |
( |
) |
( |
) |
||||
Net changes in operating assets and liabilities |
( |
) |
( |
) |
||||
Net cash provided by operating activities |
||||||||
Investing Activities: |
||||||||
Purchases of property, plant and equipment, net |
( |
) |
( |
) |
||||
Proceeds from sale of short-term investments |
||||||||
Purchases of short-term investments |
( |
) |
( |
) |
||||
Other investing activities |
( |
) |
||||||
Net cash used in investing activities |
( |
) |
( |
) |
||||
Financing Activities: |
||||||||
Repayment of long-term debt |
( |
) |
( |
) |
||||
Repayment of short-term debt |
( |
) |
( |
) |
||||
Purchase of common stock for treasury |
( |
) |
( |
) |
||||
Proceeds from issuance of stock under option plan |
||||||||
Excess tax benefits related to stock incentive programs |
( |
) |
( |
) |
||||
Dividends paid to non-controlling interests |
( |
) |
( |
) |
||||
Capital contribution from non-controlling interests |
||||||||
Cash dividends paid |
( |
) |
( |
) |
||||
Net cash used in financing activities |
( |
) |
( |
) |
||||
Effect of exchange rate changes on cash and cash equivalents |
( |
) |
||||||
Net (decrease) increase in cash and cash equivalents |
( |
) |
||||||
Cash and cash equivalents at beginning of period |
||||||||
Cash and cash equivalents at end of period |
$ |
$ |
||||||
Supplemental disclosure of cash flow information: |
||||||||
Interest paid |
$ |
$ |
||||||
Income taxes paid |
$ |
$ |
||||||
Equity Attributable to Minerals Technologies Inc. |
||||||||||||||||||||||||||||
(millions of dollars) |
Common Stock |
Additional Paid-in Capital |
Retained Earnings |
Accumulated Other Comprehensive Income (Loss) |
Treasury Stock |
Non-controlling Interests |
Total |
|||||||||||||||||||||
Balance as of December 31, 2019 |
$ |
$ |
$ |
$ |
( |
) |
$ |
( |
) |
$ |
$ |
|||||||||||||||||
Net income |
||||||||||||||||||||||||||||
Other comprehensive loss |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||
Dividends declared |
( |
) |
( |
) |
||||||||||||||||||||||||
Capital contribution from non-controlling interests |
||||||||||||||||||||||||||||
Issuance of shares pursuant to employee stock compensation plans |
||||||||||||||||||||||||||||
Purchase of common stock for treasury |
( |
) |
( |
) |
||||||||||||||||||||||||
Stock-based compensation |
||||||||||||||||||||||||||||
Balance as of March 29, 2020 |
$ |
$ |
$ |
$ |
( |
) |
$ |
( |
) |
$ |
$ |
|||||||||||||||||
Net income |
||||||||||||||||||||||||||||
Other comprehensive income |
||||||||||||||||||||||||||||
Dividends declared |
( |
) |
( |
) |
||||||||||||||||||||||||
Dividends paid to non-controlling interests |
( |
) |
( |
) |
||||||||||||||||||||||||
Capital contribution from non-controlling interests |
||||||||||||||||||||||||||||
Issuance of shares pursuant to employee stock compensation plans |
||||||||||||||||||||||||||||
Stock-based compensation |
||||||||||||||||||||||||||||
Balance as of June 28, 2020 |
$ |
$ |
$ |
$ |
( |
) |
$ |
( |
) |
$ |
$ |
|||||||||||||||||
Equity Attributable to Minerals Technologies Inc. |
||||||||||||||||||||||||||||
(millions of dollars) |
Common Stock |
Additional Paid-in Capital |
Retained Earnings |
Accumulated Other Comprehensive Income (Loss) |
Treasury Stock |
Non-controlling Interests |
Total |
|||||||||||||||||||||
Balance as of December 31, 2018 |
$ |
$ |
$ |
$ |
( |
) |
$ |
( |
) |
$ |
$ |
|||||||||||||||||
Net income |
||||||||||||||||||||||||||||
Other comprehensive income |
||||||||||||||||||||||||||||
Dividends declared |
( |
) |
( |
) |
||||||||||||||||||||||||
Dividends paid to non-controlling interests |
( |
) |
( |
) |
||||||||||||||||||||||||
Cumulative effect of accounting change |
( |
) |
||||||||||||||||||||||||||
Capital contribution from non-controlling interests |
||||||||||||||||||||||||||||
Issuance of shares pursuant to employee stock compensation plans |
||||||||||||||||||||||||||||
Stock based compensation |
||||||||||||||||||||||||||||
Balance as of March 31, 2019 |
$ |
$ |
$ |
$ |
( |
) |
$ |
( |
) |
$ |
$ |
|||||||||||||||||
Net income |
||||||||||||||||||||||||||||
Other comprehensive loss |
( |
) |
( |
) |
( |
) |
||||||||||||||||||||||
Dividends declared |
( |
) |
( |
) |
||||||||||||||||||||||||
Dividends paid to non-controlling interests |
( |
) |
( |
) |
||||||||||||||||||||||||
Capital contribution from non-controlling interests |
( |
) |
( |
) |
||||||||||||||||||||||||
Issuance of shares pursuant to employee stock compensation plans |
||||||||||||||||||||||||||||
Stock based compensation |
||||||||||||||||||||||||||||
Purchase of common stock for treasury |
( |
) |
( |
) |
||||||||||||||||||||||||
Balance as of June 30, 2019 |
$ |
$ |
$ |
$ |
( |
) |
$ |
( |
) |
$ |
$ |
|||||||||||||||||
– |
The Performance Materials segment is a leading global supplier of bentonite and bentonite-related products and leonardite. This segment also provides products for non-residential construction, environmental and infrastructure projects worldwide, serving customers engaged in a broad range of construction projects. |
– |
The Specialty Minerals segment produces and sells the synthetic mineral product precipitated calcium carbonate (“PCC”) and processed mineral product quicklime (“lime”), and mines mineral ores then processes and sells natural mineral products, primarily limestone and talc. |
– |
The Refractories segment produces and markets monolithic and shaped refractory materials and specialty products, services and application and measurement equipment, and calcium metal and metallurgical wire products. |
– |
The Energy Services segment provides services to improve the production, costs, compliance, and environmental impact of activities performed in the oil and gas industry. This segment offers a range of patented and unpatented technologies, products and services to the upstream and downstream oil and gas sector throughout the world. |
(millions of dollars) |
Three Months Ended |
Six Months Ended |
||||||||||||||
Net Sales |
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
||||||||||||
Metalcasting |
$ |
$ |
$ |
$ |
||||||||||||
Household, Personal Care & Specialty Products |
||||||||||||||||
Environmental Products |
||||||||||||||||
Building Materials |
||||||||||||||||
Performance Materials |
||||||||||||||||
Paper PCC |
||||||||||||||||
Specialty PCC |
||||||||||||||||
Ground Calcium Carbonate |
||||||||||||||||
Talc |
||||||||||||||||
Specialty Minerals |
||||||||||||||||
Refractory Products |
||||||||||||||||
Metallurgical Products |
||||||||||||||||
Refractories |
||||||||||||||||
Energy Services |
||||||||||||||||
Total |
$ |
$ |
$ |
$ |
||||||||||||
Three Months Ended |
Six Months Ended |
|||||||||||||||
(in millions, except per share data) |
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
||||||||||||
Net income attributable to Minerals Technologies Inc. |
$ |
$ |
$ |
$ |
||||||||||||
Weighted average shares outstanding |
||||||||||||||||
Dilutive effect of stock options and stock units |
||||||||||||||||
Weighted average shares outstanding, adjusted |
||||||||||||||||
Basic earnings per share attributable to Minerals Technologies Inc. |
$ |
$ |
$ |
$ |
||||||||||||
Diluted earnings per share attributable to Minerals Technologies Inc. |
$ |
$ |
$ |
$ |
||||||||||||
(millions of dollars) |
Jun. 28, 2020 |
Jun. 30, 2019 |
||||||
Asset Write-Downs |
||||||||
Performance Materials |
$ |
$ |
||||||
Specialty Minerals |
||||||||
Energy Services |
||||||||
Total charge for asset write-down |
$ |
$ |
||||||
Severance and other related costs |
||||||||
Performance Materials |
$ |
$ |
||||||
Specialty Minerals |
||||||||
Refractories |
||||||||
Energy Services |
||||||||
Corporate |
||||||||
Total severance and other related costs |
$ |
$ |
||||||
Other |
||||||||
Corporate |
$ |
$ |
||||||
Total restructuring and other items, net |
$ |
$ |
||||||
(millions of dollars) |
||||
Restructuring liability, December 31, 2019 |
$ |
|||
Additional provision |
||||
Cash payments |
( |
) |
||
Restructuring liability, June 28, 2020 |
$ |
|||
(millions of dollars) |
Jun. 28, 2020 |
Dec. 31, 2019 |
||||||
Raw materials |
$ |
$ |
||||||
Work-in-process |
||||||||
Finished goods |
||||||||
Packaging and supplies |
||||||||
Total inventories |
$ |
$ |
||||||
June 28, 2020 |
December 31, 2019 |
|||||||||||||||||||
(millions of dollars) |
Weighted Average Useful Life (Years) |
Gross Carrying Amount |
Accumulated Amortization |
Gross Carrying Amount |
Accumulated Amortization |
|||||||||||||||
Tradenames |
$ |
$ |
$ |
$ |
||||||||||||||||
Technology |
||||||||||||||||||||
Patents and trademarks |
||||||||||||||||||||
Customer relationships |
||||||||||||||||||||
$ |
$ |
$ |
$ |
|||||||||||||||||
● |
Market approach - prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. |
● |
Cost approach - amount that would be required to replace the service capacity of an asset or replacement cost. |
● |
Income approach - techniques to convert future amounts to a single present amount based on market expectations, including present value techniques, option-pricing and other models. |
(millions of dollars) |
Jun. 28, 2020 |
December 31, 2019 |
||||||
Term Loan Facility-Variable Tranche due |
$ |
$ |
||||||
Term Loan Facility- Fixed Tranche due |
||||||||
Netherlands Term Loan due 2020 |
||||||||
Netherlands Term Loan due 2022 |
||||||||
Japan Loan Facilities |
||||||||
Total |
||||||||
Less: Current maturities |
||||||||
Total long-term debt |
$ |
$ |
||||||
Pension Benefits |
||||||||||||||||
Three Months Ended |
Six Months Ended |
|||||||||||||||
(millions of dollars) |
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
||||||||||||
Service cost |
$ |
$ |
$ |
$ |
||||||||||||
Interest cost |
||||||||||||||||
Expected return on plan assets |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||
Amortization: |
||||||||||||||||
Prior service cost |
||||||||||||||||
Recognized net actuarial loss |
||||||||||||||||
Settlement loss |
||||||||||||||||
Net periodic benefit cost |
$ |
$ |
$ |
$ |
||||||||||||
Other Benefits |
||||||||||||||||
Three Months Ended |
Six Months Ended |
|||||||||||||||
(millions of dollars) |
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
||||||||||||
Service cost |
$ |
$ |
$ |
$ |
||||||||||||
Interest cost |
||||||||||||||||
Amortization: |
||||||||||||||||
Recognized net actuarial (gain) loss |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||
Net periodic benefit cost |
$ |
( |
) |
$ |
( |
) |
$ |
( |
) |
$ |
( |
) |
||||
Three Months Ended |
Six Months Ended |
|||||||||||||||
(millions of dollars) |
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
||||||||||||
Amortization of pension items: |
||||||||||||||||
Pre-tax amount |
$ |
$ |
$ |
$ |
||||||||||||
Tax |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||
Net of tax |
$ |
$ |
$ |
$ |
||||||||||||
(millions of dollars) |
Foreign Currency Translation Adjustment |
Unrecognized Pension Costs |
Net Gain (Loss) on Derivative Instruments |
Total |
||||||||||||
Balance as of December 31, 2019 |
$ |
( |
) |
$ |
( |
) |
$ |
$ |
( |
) |
||||||
Other comprehensive income (loss) before reclassifications |
( |
) |
( |
) |
||||||||||||
Amounts reclassified from AOCI |
||||||||||||||||
Net current period other comprehensive income (loss) |
( |
) |
( |
) |
||||||||||||
Balance as of June 28, 2020 |
$ |
( |
) |
$ |
( |
) |
$ |
$ |
( |
) |
||||||
Three Months Ended |
Six Months Ended |
|||||||||||||||
(millions of dollars) |
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
||||||||||||
Net Sales |
||||||||||||||||
Performance Materials |
$ |
$ |
$ |
$ |
||||||||||||
Specialty Minerals |
||||||||||||||||
Refractories |
||||||||||||||||
Energy Services |
||||||||||||||||
Total |
$ |
$ |
$ |
$ |
||||||||||||
Income from Operations |
||||||||||||||||
Performance Materials |
$ |
$ |
$ |
$ |
||||||||||||
Specialty Minerals |
||||||||||||||||
Refractories |
||||||||||||||||
Energy Services |
||||||||||||||||
Total |
$ |
$ |
$ |
$ |
||||||||||||
Three Months Ended |
Six Months Ended |
|||||||||||||||
(millions of dollars) |
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
||||||||||||
Income from operations for reportable segments |
$ |
$ |
$ |
$ |
||||||||||||
Litigation expenses |
( |
) |
( |
) |
||||||||||||
Unallocated and other corporate expenses |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||
Consolidated income from operations |
||||||||||||||||
Non-operating deductions, net |
( |
) |
( |
) |
( |
) |
( |
) |
||||||||
Income from operations before tax and equity in earnings |
$ |
$ |
$ |
$ |
||||||||||||
Three Months Ended |
Six Months Ended |
|||||||||||||||
(millions of dollars) |
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
||||||||||||
Metalcasting |
$ |
$ |
$ |
$ |
||||||||||||
Household, Personal Care & Specialty Products |
||||||||||||||||
Environmental Products |
||||||||||||||||
Building Materials |
||||||||||||||||
Performance Materials |
||||||||||||||||
Paper PCC |
||||||||||||||||
Specialty PCC |
||||||||||||||||
Ground Calcium Carbonate |
||||||||||||||||
Talc |
||||||||||||||||
Specialty Minerals |
||||||||||||||||
Refractory Products |
||||||||||||||||
Metallurgical Products |
||||||||||||||||
Refractories |
||||||||||||||||
Energy Services |
||||||||||||||||
Total |
$ |
$ |
$ |
$ |
||||||||||||
| ● | Increase our presence and gain penetration of our bentonite-based foundry customers for the Metalcasting industry in emerging markets, such as China and India. |
| ● | Increase our presence and market share in global pet care products, particularly in emerging markets. |
| ● | Deploy new products in pet care such as lightweight litter. |
| ● | Increase our presence and market share in Asia and in the global powdered detergent market. |
| ● | Continue the development of our proprietary Enersol® products for agricultural applications worldwide. |
| ● | Pursue opportunities for our products in environmental and building and construction markets in the Middle East, Asia Pacific and South America regions. |
| ● | Increase our presence and market share for geosynthetic clay liners within the Environmental Products product line. |
| ● | Develop multiple high-filler technologies under the FulFill® platform of products, to increase the fill rate in freesheet paper and continue to progress with commercial discussions and full-scale paper machine trials. |
| ● | Develop products and processes for waste management and recycling opportunities to reduce the environmental impact of the paper mill, reduce energy consumption and improve the sustainability of the papermaking process, including our NewYield® and ENVIROFIL® products. |
| ● | Further penetration into the packaging segment of the paper industry. |
| ● | Increase our sales of PCC for paper by further penetration of the markets for paper filling at both freesheet and groundwood mills, particularly in emerging markets. |
| ● | Expand the Company's PCC coating product line using the satellite model. |
| ● | Promote the Company's expertise in crystal engineering, especially in helping papermakers customize PCC morphologies for specific paper applications. |
| ● | Expand PCC produced for paper filling applications by working with industry partners to develop new methods to increase the ratio of PCC for fiber substitutions. |
| ● | Develop unique calcium carbonate and talc products used in the manufacture of novel biopolymers, a new market opportunity. |
| ● | Deploy new talc and GCC products in paint, coating and packaging applications. |
| ● | Deploy value-added formulations of refractory materials that not only reduce costs but improve performance. |
| ● | Deploy our laser measurement technologies into new applications. |
| ● | Expand our refractory maintenance model to other steel makers globally. |
| ● | Increase our presence and market penetration in offshore produced water and offshore filtration and well testing within the Energy Services segment. |
| ● | Deploy operational excellence principles into all aspects of the organization, including system infrastructure and lean principles. |
| ● | Continue to explore selective acquisitions to fit our core competencies in minerals and fine particle technology. |
Three Months Ended |
||||||||||||
(millions of dollars) |
Jun. 28, 2020 |
Jun. 30, 2019 |
% Change |
|||||||||
Net sales |
$ |
357.2 |
$ |
463.8 |
(23 |
)% |
||||||
Cost of sales |
268.3 |
351.8 |
(24 |
)% |
||||||||
Production margin |
88.9 |
112.0 |
(21 |
)% |
||||||||
Production margin % |
24.9 |
% |
24.1 |
% |
||||||||
Marketing and administrative expenses |
41.8 |
48.4 |
(14 |
)% |
||||||||
Research and development expenses |
5.1 |
4.9 |
4 |
% |
||||||||
Litigation expenses |
8.3 |
— |
* |
|||||||||
Restructuring and other items, net |
6.5 |
13.2 |
* |
|||||||||
Income from operations |
27.2 |
45.5 |
(40 |
)% |
||||||||
Operating margin % |
7.6 |
% |
9.8 |
% |
||||||||
Interest expense, net |
(8.1 |
) |
(10.9 |
) |
(26 |
)% |
||||||
Non-cash pension settlement charge |
(4.3 |
) |
— |
* |
||||||||
Litigation settlement expense |
- |
— |
* |
|||||||||
Other non-operating deductions, net |
(0.2 |
) |
(2.4 |
) |
(92 |
)% |
||||||
Total non-operating deductions, net |
(12.6 |
) |
(13.3 |
) |
(5 |
)% |
||||||
Income from operations before tax and equity in earnings |
14.6 |
32.2 |
(55 |
)% |
||||||||
Provision for taxes on income |
0.9 |
5.1 |
(82 |
)% |
||||||||
Effective tax rate |
6.2 |
% |
15.8 |
% |
||||||||
Equity in earnings of affiliates, net of tax |
1.2 |
0.5 |
140 |
% |
||||||||
Net income |
14.9 |
27.6 |
(46 |
)% |
||||||||
Net income attributable to non-controlling interests |
0.5 |
1.0 |
(50 |
)% |
||||||||
Net income attributable to Minerals Technologies Inc. |
$ |
14.4 |
$ |
26.6 |
(46 |
)% |
||||||
Three Months Ended Jun. 28, 2020 |
Three Months Ended Jun. 30, 2019 |
|||||||||||||||||||
(millions of dollars) |
Net Sales |
% of Total Sales |
% Change |
Net Sales |
% of Total Sales |
|||||||||||||||
U.S. |
$ |
180.7 |
50.6 |
% |
(29 |
)% |
$ |
253.3 |
54.6 |
% |
||||||||||
International |
176.5 |
49.4 |
% |
(16 |
)% |
210.5 |
45.4 |
% |
||||||||||||
Total sales |
$ |
357.2 |
100.0 |
% |
(23 |
)% |
$ |
463.8 |
100.0 |
% |
||||||||||
Performance Materials Segment |
$ |
173.8 |
48.7 |
% |
(19 |
)% |
$ |
215.4 |
46.4 |
% |
||||||||||
Specialty Minerals Segment |
109.8 |
30.7 |
% |
(24 |
)% |
145.1 |
31.3 |
% |
||||||||||||
Refractories Segment |
55.9 |
15.6 |
% |
(28 |
)% |
77.5 |
16.7 |
% |
||||||||||||
Energy Services Segment |
17.7 |
5.0 |
% |
(31 |
)% |
25.8 |
5.6 |
% |
||||||||||||
Total sales |
$ |
357.2 |
100.0 |
% |
(23 |
)% |
$ |
463.8 |
100.0 |
% |
||||||||||
Three Months Ended |
||||||||||||
Performance Materials Segment |
Jun. 28, 2020 |
Jun. 30, 2019 |
% Change |
|||||||||
(millions of dollars) |
||||||||||||
Net Sales |
||||||||||||
Metalcasting |
$ |
52.8 |
$ |
75.8 |
(30 |
)% |
||||||
Household, Personal Care & Specialty Products |
87.9 |
91.5 |
(4 |
)% |
||||||||
Environmental Products |
19.9 |
29.0 |
(31 |
)% |
||||||||
Building Materials |
13.2 |
19.1 |
(31 |
)% |
||||||||
Total net sales |
$ |
173.8 |
$ |
215.4 |
(19 |
)% |
||||||
Income from operations |
$ |
21.0 |
$ |
20.7 |
||||||||
% of net sales |
12.1 |
% |
9.6 |
% |
||||||||
Three Months Ended |
||||||||||||
Specialty Minerals Segment |
Jun. 28, 2020 |
Jun. 30, 2019 |
% Change |
|||||||||
(millions of dollars) |
||||||||||||
Net Sales |
||||||||||||
Paper PCC |
$ |
65.5 |
$ |
90.2 |
(27 |
)% |
||||||
Specialty PCC |
14.9 |
17.3 |
(14 |
)% |
||||||||
PCC Products |
$ |
80.4 |
$ |
107.5 |
(25 |
)% |
||||||
Ground Calcium Carbonate |
$ |
20.6 |
$ |
24.8 |
(17 |
)% |
||||||
Talc |
8.8 |
12.8 |
(31 |
)% |
||||||||
Processed Minerals Products |
$ |
29.4 |
$ |
37.6 |
(22 |
)% |
||||||
Total net sales |
$ |
109.8 |
$ |
145.1 |
(24 |
)% |
||||||
Income from operations |
$ |
9.0 |
$ |
20.0 |
(55 |
)% |
||||||
% of net sales |
8.2 |
% |
13.8 |
% |
||||||||
Three Months Ended |
||||||||||||
Refractories Segment |
Jun. 28, 2020 |
Jun. 30, 2019 |
% Change |
|||||||||
(millions of dollars) |
||||||||||||
Net Sales |
||||||||||||
Refractory Products |
$ |
47.1 |
$ |
61.0 |
(23 |
)% |
||||||
Metallurgical Products |
8.8 |
16.5 |
(47 |
)% |
||||||||
Total net sales |
$ |
55.9 |
$ |
77.5 |
(28 |
)% |
||||||
Income from operations |
$ |
5.9 |
$ |
7.1 |
(17 |
)% |
||||||
% of net sales |
10.6 |
% |
9.2 |
% |
||||||||
Three Months Ended |
||||||||||||
Energy Services Segment |
Jun. 28, 2020 |
Jun. 30, 2019 |
% Change |
|||||||||
(millions of dollars) |
||||||||||||
Net Sales |
$ |
17.7 |
$ |
25.8 |
(31 |
)% |
||||||
Income from operations |
$ |
1.4 |
$ |
0.9 |
56 |
% |
||||||
% of net sales |
7.9 |
% |
3.5 |
% |
||||||||
Six Months Ended |
||||||||||||
(millions of dollars) |
Jun. 28, 2020 |
Jun. 30, 2019 |
% Change |
|||||||||
Net sales |
$ |
774.7 |
$ |
901.5 |
(14 |
)% |
||||||
Cost of sales |
579.0 |
679.8 |
(15 |
)% |
||||||||
Production margin |
195.7 |
221.7 |
(12 |
)% |
||||||||
Production margin % |
25.3 |
% |
24.6 |
% |
||||||||
Marketing and administrative expenses |
85.2 |
91.3 |
(7 |
)% |
||||||||
Research and development expenses |
10.2 |
9.7 |
5 |
% |
||||||||
Litigation expenses |
8.9 |
— |
* |
|||||||||
Restructuring and other items, net |
6.5 |
13.2 |
(51 |
)% |
||||||||
Income from operations |
84.9 |
107.5 |
(21 |
)% |
||||||||
Operating margin % |
11.0 |
% |
11.9 |
% |
||||||||
Interest expense, net |
(17.4 |
) |
(22.3 |
) |
(22 |
)% |
||||||
Non-cash pension settlement charge |
(4.3 |
) |
— |
* |
||||||||
Other non-operating income (deductions), net |
0.4 |
(3.8 |
) |
* |
||||||||
Total non-operating deductions, net |
(21.3 |
) |
(26.1 |
) |
(18 |
)% |
||||||
Income from operations before tax and equity in earnings |
63.6 |
81.4 |
(22 |
)% |
||||||||
Provision for taxes on income |
10.6 |
14.4 |
(26 |
)% |
||||||||
Effective tax rate |
16.7 |
% |
17.7 |
% |
||||||||
Equity in earnings of affiliates, net of tax |
1.5 |
0.6 |
150 |
% |
||||||||
Net income |
54.5 |
67.6 |
(19 |
)% |
||||||||
Net income attributable to non-controlling interests |
1.5 |
1.9 |
(21 |
)% |
||||||||
Net income attributable to Minerals Technologies Inc. |
$ |
53.0 |
$ |
65.7 |
(19 |
)% |
||||||
Six Months Ended Jun. 28, 2020 |
Six Months Ended Jun. 30, 2019 |
|||||||||||||||||||
(millions of dollars) |
Net Sales |
% of Total Sales |
% Growth |
Net Sales |
% of Total Sales |
|||||||||||||||
U.S. |
$ |
407.7 |
52.6 |
% |
(16 |
)% |
$ |
485.0 |
53.8 |
% |
||||||||||
International |
367.0 |
47.4 |
% |
(12 |
)% |
416.5 |
46.2 |
% |
||||||||||||
Total sales |
$ |
774.7 |
100.0 |
% |
(14 |
)% |
$ |
901.5 |
100.0 |
% |
||||||||||
Performance Materials Segment |
$ |
360.0 |
46.5 |
% |
(13 |
)% |
$ |
414.6 |
46.0 |
% |
||||||||||
Specialty Minerals Segment |
246.9 |
31.9 |
% |
(15 |
)% |
289.5 |
32.1 |
% |
||||||||||||
Refractories Segment |
124.9 |
16.1 |
% |
(17 |
)% |
151.3 |
16.8 |
% |
||||||||||||
Energy Services Segment |
42.9 |
5.5 |
% |
(7 |
)% |
46.1 |
5.1 |
% |
||||||||||||
Total sales |
$ |
774.7 |
100.0 |
% |
(14 |
)% |
$ |
901.5 |
100.0 |
% |
||||||||||
Six Months Ended |
||||||||||||
Performance Materials Segment |
Jun. 28, 2020 |
Jun. 30, 2019 |
% Change |
|||||||||
(millions of dollars) |
||||||||||||
Net Sales |
||||||||||||
Metalcasting |
$ |
114.5 |
$ |
149.0 |
(23 |
)% |
||||||
Household, Personal Care & Specialty Products |
184.1 |
186.3 |
(1 |
)% |
||||||||
Environmental Products |
31.4 |
44.9 |
(30 |
)% |
||||||||
Building Materials |
30.0 |
34.4 |
(13 |
)% |
||||||||
Total net sales |
$ |
360.0 |
$ |
414.6 |
(13 |
)% |
||||||
Income from operations |
$ |
45.1 |
$ |
47.0 |
||||||||
% of net sales |
12.5 |
% |
11.3 |
% |
||||||||
Six Months Ended |
||||||||||||
Specialty Minerals Segment |
Jun. 28, 2020 |
Jun. 30, 2019 |
% Change |
|||||||||
(millions of dollars) |
||||||||||||
Net Sales |
||||||||||||
Paper PCC |
$ |
150.6 |
$ |
181.7 |
(17 |
)% |
||||||
Specialty PCC |
32.4 |
35.4 |
(8 |
)% |
||||||||
PCC Products |
$ |
183.0 |
$ |
217.1 |
(16 |
)% |
||||||
Ground Calcium Carbonate |
$ |
43.2 |
$ |
47.1 |
(8 |
)% |
||||||
Talc |
20.7 |
25.3 |
(18 |
)% |
||||||||
Processed Minerals Products |
$ |
63.9 |
$ |
72.4 |
(12 |
)% |
||||||
Total net sales |
$ |
246.9 |
$ |
289.5 |
(15 |
)% |
||||||
Income from operations |
$ |
29.3 |
$ |
42.0 |
(30 |
)% |
||||||
% of net sales |
11.9 |
% |
14.5 |
% |
||||||||
Six Months Ended |
||||||||||||
Refractories Segment |
Jun. 28, 2020 |
Jun. 30, 2019 |
% Change |
|||||||||
(millions of dollars) |
||||||||||||
Net Sales |
||||||||||||
Refractory Products |
$ |
102.9 |
$ |
123.0 |
(16 |
)% |
||||||
Metallurgical Products |
22.0 |
28.3 |
(22 |
)% |
||||||||
Total net sales |
$ |
124.9 |
$ |
151.3 |
(17 |
)% |
||||||
Income from operations |
$ |
17.1 |
$ |
19.2 |
(11 |
)% |
||||||
% of net sales |
13.7 |
% |
12.7 |
% |
||||||||
Six Months Ended |
||||||||||||
Energy Services Segment |
Jun. 28, 2020 |
Jun. 30, 2019 |
% Change |
|||||||||
(millions of dollars) |
||||||||||||
Net Sales |
$ |
42.9 |
$ |
46.1 |
(7 |
)% |
||||||
Income from operations |
$ |
4.6 |
$ |
3.3 |
39 |
% |
||||||
% of net sales |
10.7 |
% |
7.2 |
% |
||||||||
| ● | We have experienced, and expect to experience in the future, temporary facility closures in response to government mandates in certain jurisdictions in which we operate. We may also be required to close certain of our facilities for the safety of our employees in response to positive diagnoses for COVID-19. Even in facilities that are not closed, we could be affected by reductions in employee availability and effectiveness, changes in operating procedures, and increased costs. |
| ● | Our customers have been, and may continue to be, affected by COVID-19 and the business slowdown caused by preventative measures, resulting in decreased demand for our products and services, delayed payments from customers and uncollectable accounts. |
| ● | Our supply chain could be disrupted. This could materially adversely impact our ability to secure raw materials and supplies for our facilities, which could materially adversely affect our operations. |
| ● | Significant disruption of global financial markets could have a negative impact on our ability to access capital in the future. |
| ● | Further or prolonged impact from COVID-19 could result in impairment of asset charges, including long-lived or intangible assets, inventory or bad debt charges. |
Exhibit No. |
Exhibit Title |
|
Indenture, dated as of June 30, 2020, by and among Minerals Technologies Inc., the subsidiary guarantors from time to time party thereto and The Bank of New York Mellon Trust Company, N.A., as a trustee (incorporated by reference to Exhibit 4.1 to the Company's Current Report on Form 8-K filed on June 30, 2020.) |
||
Amendment to the Minerals Technologies Inc. Savings and Investment Plan |
||
Letter Regarding Unaudited Interim Financial Information. |
||
Rule 13a-14(a)/15d-14(a) Certification executed by the Company's principal executive officer. |
||
Rule 13a-14(a)/15d-14(a) Certification executed by the Company's principal financial officer. |
||
Section 1350 Certifications. |
||
Information concerning Mine Safety Violations |
||
Risk Factors |
||
101.INS |
XBRL Instance Document (the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document). |
|
101.SCH |
Inline XBRL Taxonomy Extension Schema |
|
101.CAL |
Inline XBRL Taxonomy Extension Calculation Linkbase |
|
101.DEF |
Inline XBRL Taxonomy Extension Definition Linkbase |
|
101.LAB |
Inline XBRL Taxonomy Extension Label Linkbase |
|
101.PRE |
Inline XBRL Taxonomy Extension Presentation Linkbase |
|
104 |
Cover Page Interactive Data File (formatted as inline XBRL and contain in Exhibit 101). |
Minerals Technologies Inc. |
||
By: |
/s/ Matthew E. Garth |
|
Matthew E. Garth |
||
Senior Vice President, Finance and Treasury, |
||
Chief Financial Officer |
||
July 31, 2020 |
|
1.
|
Section 1.12 of the Plan is hereby amended by deleting it in its entirety and replacing it with the
following:
|
| “1.12 |
"FAIL-SAFE CONTRIBUTION" shall mean a qualified nonelective
contribution which is a contribution (other than matching contributions or Qualified Matching Contributions (within the meaning of Section 10.2)) made by the Employer and allocated to Participants’ Accounts that the Participants may not elect
to receive in cash until distribution from the Plan; that is nonforfeitable when allocated to a Participant’s Account, and that is distributable only in accordance with the distribution provisions under Section 40l(k) of the Code and the
regulations promulgated thereunder.”
|
|
2.
|
Effective April 1, 2020, Section 4.1(a) of the Plan is hereby amended by deleting the first two paragraphs thereof in their
entirety and replacing them with the following three paragraphs:
|
| “(a) |
Elections. Subject to the provisions of Section 4.2 below, a Participant may elect to contribute to the Plan a portion of his Compensation for a Plan Year on a pre-tax basis and/or in the form of designated Roth contributions. The amount of a Participant's Compensation contributed in accordance with the Participant's election shall
be withheld by the Employer from the Participant's Compensation on a ratable basis throughout the Plan Year. Except as otherwise provided in Section 7.9, elective deferrals contributed to the Plan as one type, either as a pre-tax or a
designated Roth contribution, may not later be reclassified as the other type. For purposes of making elective deferrals pursuant to this Section, only Compensation earned while eligible to make such deferrals shall be considered. The amount
deferred on behalf of each Participant shall be contributed by the Employer to the Plan and allocated to the portions of the Participant's Account consisting of pre-tax contributions and/or designated Roth contributions, as the case may be.
No contributions other than designated Roth contributions, in-plan Roth conversion amounts, and properly attributable earnings shall be credited to the Participant’s Roth account, and gains, losses and other credits or charges shall be
allocated on a reasonable and consistent basis to such account.
|
|
3.
|
Effective April 1, 2020, Section 4.4 of the Plan is hereby amended by deleting such section in its entirety and replacing it with the following:
|
| “4.4 |
ROLLOVERS AND TRANSFERS OF FUNDS FROM OTHER PLANS. With the
approval of the Administrator, there may be paid to the Trustee amounts which have been held under the following types of plans:
|
| (1) |
a qualified plan described in Section 401(a) or 403(a) of the Code, excluding after-tax employee contributions and including designated Roth contributions under Section
402A of the Code;
|
| (2) |
an annuity contract described in Section 403(b) of the Code, excluding after-tax employee contributions and including designated Roth contributions under Section 402A
of the Code;
|
| (3) |
an eligible plan under Section 457(b) of the Code which is maintained by a state, political subdivision of a state, or any agency or instrumentality of a state or
political subdivision of a state, excluding after-tax employee contributions and including designated Roth contributions under Section 402A of the Code; and
|
| (4) |
an individual retirement account.
|
|
4.
|
Effective April 1, 2020, Article Seven of the Plan is hereby amended by adding the following new subsection:
|
| “7.9 |
IN-PLAN ROTH CONVERSIONS. Effective April 1, 2020, an active or
terminated Participant may elect to transfer amounts from his non-Roth Account to his Roth account under the Plan in accordance with Section 402A(c)(4) of the Code and regulatory guidance and procedures established by the Administrator. Such
transfer is irrevocable once made. The Plan will maintain such records as are necessary for the proper reporting of in-plan Roth conversions. A Participant may withdraw amounts that have been so transferred only when the Particpant is
eligible for a withdrawal or a distribution from the Account that is the source of such transferred amounts.”
|
|
5.
|
Section 8.2 of the Plan is hereby amended by deleting such section in its entirety and replacing with
the following:
|
| “8.2 |
HARDSHIP DISTRIBUTIONS. In the case of a financial hardship
resulting from a proven immediate and heavy financial need, an active Participant may receive a distribution not to exceed the lesser of (i) the value of the Participant's vested Account, without regard to Fail Safe Contributions, Employer
Safe-Harbor Basic Matching Contributions under Section 4.3(a), any Safe-Harbor Matching Contributions transferred from the AMCOL Plan, any Special Employer Contributions under 4.3(c) or transferred from the AMCOL Plan, any Dover Employer
Matching Contributions under 4.3(d), any Annual Dover Contributions under 4.3(e), and Qualified Match Contributions (within the meaning of 10.2), or (ii) the amount necessary to satisfy the financial hardship. The amount of any such immediate
and heavy financial need may include any amounts necessary to pay Federal, state or local income taxes reasonably anticipated to result from the distribution. Such distribution shall be made in accordance with nondiscriminatory and objective
standards and procedures consistently applied by the Administrator. For purposes of this Section, an active Participant shall include an Employee who has severed employment with the Employer but is still employed by a member of the Employer’s
related group (as defined in Section 2.4(b)) and who has an Account under the Plan.
|
| (1) |
The distribution is not in excess of the amount of the immediate and heavy financial need of the Participant;
|
| (2) |
The Participant has obtained all currently available distributions, other than hardship distributions, under all plans maintained by the Employer; and
|
| (3) |
The Participant represents, in accordance with procedures established by the Administrator, that he has insufficient cash or other liquid assets reasonably available to
satisfy the financial need. The Administrator may rely on the Participant’s representation unless the Administrator has actual knowledge to the contrary.
|
| 6. |
Section 10.1 of the Plan is hereby amended by adding the following sentence to the end of the first paragraph thereof:
|
|
7.
|
Section 10.2(a) of the Plan is hereby amended by deleting the second and third paragraph thereof in
|
|
8.
|
Section 10.2(b)(4) of the Plan is hereby amended by deleting it in its entirety and replacing it with the following:
|
| "(4) |
Accounting for Excess Contributions. Excess contributions shall be
distributed from that portion of the Participant's Account attributable to such deferred amounts as follows: first from any pre-tax contributions made under Section 4.1, then from any “designated Roth contributions” made under Section 4.1,
unless the Participant specifies otherwise in accordance with the rules and procedures established by the Administrator."
|
|
9.
|
Except as hereinabove amended, the provisions of the Plan shall continue in full force and effect.
|
| 1. | I have reviewed this Quarterly Report on Form 10-Q of Minerals Technologies 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: |
| (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. |
Date: July 31, 2020 | ||
By: | /s/Douglas T. Dietrich | |
Douglas T. Dietrich | ||
Chief Executive Officer |
| 1. | I have reviewed this Quarterly Report on Form 10-Q of Minerals Technologies 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: |
| (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. |
Date: July 31, 2020 | ||
By: | /s/Matthew E. Garth | |
Matthew E. Garth | ||
Senior Vice President, Finance and Treasury, | ||
Chief Financial Officer |
Date: July 31, 2020 | ||
By: | /s/Douglas T. Dietrich | |
Douglas T. Dietrich | ||
Chief Executive Officer |
Date: July 31, 2020 | ||
By: | /s/Matthew E. Garth | |
Matthew E. Garth | ||
Senior Vice President, Finance and Treasury, | ||
Chief Financial Officer |
Mine | Section 104(a) S&S | Section 104(b) | Section 104(d) | Section 110(b)(2) | Section 107(a) | Proposed Assessments | Fatalities | |||||||||||||||||||||
(A) | (B) | (C) | (D) | (E) | (F) | (G) | ||||||||||||||||||||||
Lucerne Valley, CA 04-00219 | 6 | 0 | 0 | 2 | 0 | $ | 26,411 | 0 | ||||||||||||||||||||
Canaan, CT 06-00019 | 0 | 0 | 0 | 0 | 0 | $ | 2,459 | 0 | ||||||||||||||||||||
Adams, MA 19-00035 | 4 | 0 | 0 | 0 | 0 | $ | 7,841 | 0 | ||||||||||||||||||||
Barretts Mill, Dillon, MT 24-00157 | 0 | 0 | 0 | 0 | 0 | $ | 0 | 0 | ||||||||||||||||||||
Regal Mine, Dillon, MT 24-01994 | 0 | 0 | 0 | 0 | 0 | $ | 0 | 0 | ||||||||||||||||||||
Treasure Mine, Dillon, MT 24-00160 | 0 | 0 | 0 | 0 | 0 | $ | 0 | 0 | ||||||||||||||||||||
Belle/Colony Mine, WY 48-00888 | 0 | 0 | 0 | 0 | 0 | $ | 480 | 0 | ||||||||||||||||||||
Belle Fourche Mill, SD 39-00049 | 0 | 0 | 0 | 0 | 0 | $ | 0 | 0 | ||||||||||||||||||||
Colony East, WY 48-00594 | 0 | 0 | 0 | 0 | 0 | $ | 267 | 0 | ||||||||||||||||||||
Colony West, WY 48-00245 | 0 | 0 | 0 | 0 | 0 | $ | 0 | 0 | ||||||||||||||||||||
Gascoyne, ND 32-00459 | 0 | 0 | 0 | 0 | 0 | $ | 0 | 0 | ||||||||||||||||||||
Lovell, WY 48-00057 | 0 | 0 | 0 | 0 | 0 | $ | 9,777 | 0 | ||||||||||||||||||||
Sandy Ridge, AL 01-00093 | 0 | 0 | 0 | 0 | 0 | $ | 0 | 0 | ||||||||||||||||||||
Yellowtail, WY 48-00607 | 0 | 0 | 0 | 0 | 0 | $ | 123 | 0 | ||||||||||||||||||||
| (A) | The total number of violations of mandatory health or safety standards that could significantly and substantially contribute to the cause and effect of a mine safety or health hazard under section 104 of the Mine Act for which we received a citation from MSHA. |
| (B) | The total number of orders issued under section 104(b) of the Mine Act. |
| (C) | The total number of citations and orders for unwarrantable failure of the Company to comply with mandatory health or safety standards under section 104(d) of the Mine Act. |
| (D) | The total number of flagrant violations under section 110(b)(2) of the Mine Act. |
| (E) | The total number of imminent danger orders issued under section 107(a) of the Mine Act. |
| (F) | The total dollar value of proposed assessments from MSHA under the Mine Act. |
| (G) | The total number of mining-related fatalities, other than fatalities determined by MSHA to be unrelated to mining activity. |
Mine | Legal Actions Pending as of Last Day of Period(1) | Legal Actions Initiated During Period | Legal Actions Resolved During Period | |||
Lucerne Valley, CA | 0 | 0 | 0 | |||
Canaan, CT | 0 | 0 | 0 | |||
Adams, MA | 4 | 2 | 0 | |||
Barretts Mill, Dillon, MT | 0 | 0 | 0 | |||
Regal Mine, Dillon, MT | 0 | 0 | 0 | |||
Treasure Mine, Dillon, MT | 0 | 0 | 0 | |||
Belle/Colony Mine, WY | 0 | 0 | 0 | |||
Belle Fourche Mill, SD | 0 | 0 | 0 | |||
Colony East, WY | 2 | 1 | 0 | |||
Colony West, WY | 0 | 0 | 0 | |||
Gascoyne, ND | 0 | 0 | 0 | |||
Lovell, WY | 1 | 1 | 0 | |||
Sandy Ridge, AL | 0 | 0 | 0 | |||
Yellowtail, WY | 0 | 0 | 0 |
(1) | Of the three legal actions pending as of the last day of the period, all are notices of contest, as referenced in Subpart B of 29 CFR Part 2700. |
| ● | We have experienced, and expect to experience in the future, temporary facility closures in response to government mandates in certain jurisdictions in which we operate. We may also be required to close certain of our facilities for the safety of our employees in response to positive diagnoses for COVID-19. Even in facilities that are not closed, we could be affected by reductions in employee availability and effectiveness, changes in operating procedures, and increased costs. |
| ● | Our customers have been, and may continue to be, affected by COVID-19 and the business slowdown caused by preventative measures, resulting in decreased demand for our products and services, delayed payments from customers and uncollectable accounts. |
| ● | Our supply chain could be disrupted. This could materially adversely impact our ability to secure raw materials and supplies for our facilities, which could materially adversely affect our operations. |
| ● | Significant disruption of global financial markets could have a negative impact on our ability to access capital in the future. |
| ● | Further or prolonged impact from COVID-19 could result in impairment of asset charges, including long-lived or intangible assets, inventory or bad debt charges. |
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Millions |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) [Abstract] | ||||
| Consolidated net income | $ 14.9 | $ 27.6 | $ 54.5 | $ 67.6 |
| Other comprehensive income (loss), net of tax: | ||||
| Foreign currency translation adjustments | 7.9 | (18.7) | (35.2) | (19.1) |
| Pension and postretirement plan adjustments | 5.3 | 1.7 | 7.4 | 3.3 |
| Unrealized gains (losses) on derivative instruments | (0.8) | (3.3) | 1.0 | (2.1) |
| Total other comprehensive income (loss), net of tax | 12.4 | (20.3) | (26.8) | (17.9) |
| Total comprehensive income including non-controlling interests | 27.3 | 7.3 | 27.7 | 49.7 |
| Comprehensive income attributable to non-controlling interests | (1.5) | (0.8) | (1.2) | (2.2) |
| Comprehensive income attributable to Minerals Technologies Inc. | $ 25.8 | $ 6.5 | $ 26.5 | $ 47.5 |
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Millions |
6 Months Ended | ||||||
|---|---|---|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
||||||
| Operating Activities: | |||||||
| Consolidated net income | $ 54.5 | $ 67.6 | |||||
| Adjustments to reconcile net income to net cash provided by operating activities: | |||||||
| Depreciation, depletion and amortization | 46.3 | 48.9 | |||||
| Non-cash pension settlement costs | 4.3 | 0.0 | |||||
| Reduction of right of use asset | 6.2 | 6.6 | |||||
| Asset impairment charge | 6.0 | 7.5 | |||||
| Other non-cash items | 1.3 | 4.5 | |||||
| Pension plan funding | (4.3) | (3.1) | |||||
| Net changes in operating assets and liabilities | (20.2) | (33.7) | |||||
| Net cash provided by operating activities | 94.1 | 98.3 | |||||
| Investing Activities: | |||||||
| Purchases of property, plant and equipment, net | (31.6) | (35.5) | |||||
| Proceeds from sale of short-term investments | 0.7 | 3.4 | |||||
| Purchases of short-term investments | (5.5) | (4.7) | |||||
| Other investing activities | 0.0 | (0.8) | |||||
| Net cash used in investing activities | (36.4) | (37.6) | |||||
| Financing Activities: | |||||||
| Repayment of long-term debt | (31.3) | (36.6) | |||||
| Repayment of short-term debt | (0.9) | (1.1) | |||||
| Purchase of common stock for treasury | (22.6) | (10.0) | |||||
| Proceeds from issuance of stock under option plan | 0.7 | 0.4 | |||||
| Excess tax benefits related to stock incentive programs | (2.1) | (1.9) | |||||
| Dividends paid to non-controlling interests | (0.5) | (3.9) | |||||
| Capital contribution from non-controlling interests | 1.7 | 0.6 | |||||
| Cash dividends paid | (3.4) | (3.5) | |||||
| Net cash used in financing activities | (58.4) | (56.0) | |||||
| Effect of exchange rate changes on cash and cash equivalents | (8.1) | 1.0 | |||||
| Net (decrease) increase in cash and cash equivalents | (8.8) | 5.7 | |||||
| Cash and cash equivalents at beginning of period | 241.6 | [1] | 208.8 | ||||
| Cash and cash equivalents at end of period | 232.8 | [2] | 214.5 | ||||
| Supplemental disclosure of cash flow information: | |||||||
| Interest paid | 16.9 | 21.9 | |||||
| Income taxes paid | $ 14.6 | $ 13.7 | |||||
| |||||||
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (Unaudited) - USD ($) $ in Millions |
Common Stock [Member] |
Additional Paid-in Capital [Member] |
Retained Earnings [Member] |
Accumulated Other Comprehensive Income (Loss) [Member] |
Treasury Stock [Member] |
Non-controlling Interests [Member] |
Total |
Cumulative Effect, Period of Adoption, Adjustment [Member]
Common Stock [Member]
|
Cumulative Effect, Period of Adoption, Adjustment [Member]
Additional Paid-in Capital [Member]
|
Cumulative Effect, Period of Adoption, Adjustment [Member]
Retained Earnings [Member]
|
Cumulative Effect, Period of Adoption, Adjustment [Member]
Accumulated Other Comprehensive Income (Loss) [Member]
|
Cumulative Effect, Period of Adoption, Adjustment [Member]
Treasury Stock [Member]
|
Cumulative Effect, Period of Adoption, Adjustment [Member]
Non-controlling Interests [Member]
|
Cumulative Effect, Period of Adoption, Adjustment [Member] |
|||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Balance at Dec. 31, 2018 | $ 4.9 | $ 431.9 | $ 1,769.1 | $ (233.7) | $ (618.7) | $ 31.8 | $ 1,385.3 | ||||||||||||
| Balance (ASU 2018-02 [Member]) at Dec. 31, 2018 | $ 0.0 | $ 0.0 | $ 10.9 | $ (10.9) | $ 0.0 | $ 0.0 | $ 0.0 | ||||||||||||
| Net income | 0.0 | 0.0 | 39.1 | 0.0 | 0.0 | 0.9 | 40.0 | ||||||||||||
| Other comprehensive income (loss) | 0.0 | 0.0 | 0.0 | 1.9 | 0.0 | 0.5 | 2.4 | ||||||||||||
| Dividends declared | 0.0 | 0.0 | (1.7) | 0.0 | 0.0 | 0.0 | (1.7) | ||||||||||||
| Dividends paid to non-controlling interests | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | (0.1) | (0.1) | ||||||||||||
| Capital contribution from non-controlling interests | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | 0.8 | 0.8 | ||||||||||||
| Issuance of shares pursuant to employee stock compensation plans | 0.0 | 0.1 | 0.0 | 0.0 | 0.0 | 0.0 | 0.1 | ||||||||||||
| Stock-based compensation | 0.0 | 0.6 | 0.0 | 0.0 | 0.0 | 0.0 | 0.6 | ||||||||||||
| Balance at Mar. 31, 2019 | 4.9 | 432.6 | 1,817.4 | (242.7) | (618.7) | 33.9 | 1,427.4 | ||||||||||||
| Balance at Dec. 31, 2018 | 4.9 | 431.9 | 1,769.1 | (233.7) | (618.7) | 31.8 | 1,385.3 | ||||||||||||
| Balance (ASU 2018-02 [Member]) at Dec. 31, 2018 | $ 0.0 | $ 0.0 | $ 10.9 | $ (10.9) | $ 0.0 | $ 0.0 | $ 0.0 | ||||||||||||
| Net income | 67.6 | ||||||||||||||||||
| Other comprehensive income (loss) | (17.9) | ||||||||||||||||||
| Balance at Jun. 30, 2019 | 4.9 | 435.3 | 1,842.2 | (262.8) | (628.7) | 30.7 | 1,421.6 | ||||||||||||
| Balance at Mar. 31, 2019 | 4.9 | 432.6 | 1,817.4 | (242.7) | (618.7) | 33.9 | 1,427.4 | ||||||||||||
| Net income | 0.0 | 0.0 | 26.6 | 0.0 | 0.0 | 1.0 | 27.6 | ||||||||||||
| Other comprehensive income (loss) | 0.0 | 0.0 | 0.0 | (20.1) | 0.0 | (0.2) | (20.3) | ||||||||||||
| Dividends declared | 0.0 | 0.0 | (1.8) | 0.0 | 0.0 | 0.0 | (1.8) | ||||||||||||
| Dividends paid to non-controlling interests | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | (3.8) | (3.8) | ||||||||||||
| Capital contribution from non-controlling interests | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | (0.2) | (0.2) | ||||||||||||
| Issuance of shares pursuant to employee stock compensation plans | 0.0 | 0.2 | 0.0 | 0.0 | 0.0 | 0.0 | 0.2 | ||||||||||||
| Stock-based compensation | 0.0 | 2.5 | 0.0 | 0.0 | 0.0 | 0.0 | 2.5 | ||||||||||||
| Purchase of common stock for treasury | 0.0 | 0.0 | 0.0 | 0.0 | (10.0) | 0.0 | (10.0) | ||||||||||||
| Balance at Jun. 30, 2019 | 4.9 | 435.3 | 1,842.2 | (262.8) | (628.7) | 30.7 | 1,421.6 | ||||||||||||
| Balance at Dec. 31, 2019 | 4.9 | 442.2 | 1,905.7 | (290.4) | (659.7) | 31.9 | 1,434.6 | [1] | |||||||||||
| Net income | 0.0 | 0.0 | 38.6 | 0.0 | 0.0 | 1.0 | 39.6 | ||||||||||||
| Other comprehensive income (loss) | 0.0 | 0.0 | 0.0 | (37.8) | 0.0 | (1.4) | (39.2) | ||||||||||||
| Dividends declared | 0.0 | 0.0 | (1.7) | 0.0 | 0.0 | 0.0 | (1.7) | ||||||||||||
| Capital contribution from non-controlling interests | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | 0.7 | 0.7 | ||||||||||||
| Issuance of shares pursuant to employee stock compensation plans | 0.0 | 0.5 | 0.0 | 0.0 | 0.0 | 0.0 | 0.5 | ||||||||||||
| Stock-based compensation | 0.0 | 0.1 | 0.0 | 0.0 | 0.0 | 0.0 | 0.1 | ||||||||||||
| Purchase of common stock for treasury | 0.0 | 0.0 | 0.0 | 0.0 | (22.6) | 0.0 | (22.6) | ||||||||||||
| Balance at Mar. 29, 2020 | 4.9 | 442.8 | 1,942.6 | (328.2) | (682.3) | 32.2 | 1,412.0 | ||||||||||||
| Balance at Dec. 31, 2019 | 4.9 | 442.2 | 1,905.7 | (290.4) | (659.7) | 31.9 | 1,434.6 | [1] | |||||||||||
| Net income | 54.5 | ||||||||||||||||||
| Other comprehensive income (loss) | (26.5) | (26.8) | |||||||||||||||||
| Balance at Jun. 28, 2020 | 4.9 | 445.5 | 1,955.3 | (316.9) | (682.3) | 34.3 | 1,440.8 | [2] | |||||||||||
| Balance at Mar. 29, 2020 | 4.9 | 442.8 | 1,942.6 | (328.2) | (682.3) | 32.2 | 1,412.0 | ||||||||||||
| Net income | 0.0 | 0.0 | 14.4 | 0.0 | 0.0 | 0.5 | 14.9 | ||||||||||||
| Other comprehensive income (loss) | 0.0 | 0.0 | 0.0 | 11.3 | 0.0 | 1.1 | 12.4 | ||||||||||||
| Dividends declared | 0.0 | 0.0 | (1.7) | 0.0 | 0.0 | 0.0 | (1.7) | ||||||||||||
| Dividends paid to non-controlling interests | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | (0.5) | (0.5) | ||||||||||||
| Capital contribution from non-controlling interests | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | 1.0 | 1.0 | ||||||||||||
| Issuance of shares pursuant to employee stock compensation plans | 0.0 | 0.2 | 0.0 | 0.0 | 0.0 | 0.0 | 0.2 | ||||||||||||
| Stock-based compensation | 0.0 | 2.5 | 0.0 | 0.0 | 0.0 | 0.0 | 2.5 | ||||||||||||
| Balance at Jun. 28, 2020 | $ 4.9 | $ 445.5 | $ 1,955.3 | $ (316.9) | $ (682.3) | $ 34.3 | $ 1,440.8 | [2] | |||||||||||
| |||||||||||||||||||
Basis of Presentation and Summary of Significant Accounting Policies |
6 Months Ended | ||||||||
|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | |||||||||
| Basis of Presentation and Summary of Significant Accounting Policies [Abstract] | |||||||||
| Basis of Presentation and Summary of Significant Accounting Policies |
Note 1. Basis of Presentation and Summary of Significant Accounting Policies
The accompanying unaudited condensed consolidated financial statements have been prepared by management of Minerals Technologies Inc. (the “Company”, “MTI”, “we”, or “us”) in accordance with the rules and regulations of the United States Securities and Exchange Commission. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles have been condensed or omitted. Therefore, these financial statements should be read in conjunction with the consolidated financial statements and notes thereto contained in the Company's Annual Report on Form 10-K for the year ended December 31, 2019. In the opinion of management, all adjustments, consisting solely of normal recurring adjustments necessary for a fair presentation of the financial information for the periods indicated, have been included. The results for the three-month and six-month periods ended June 28, 2020 are not necessarily indicative of the results that may be expected for the year ending December 31, 2020.
Company Operations
The Company is a resource- and technology-based company that develops, produces and markets worldwide a broad range of specialty mineral, mineral-based and synthetic mineral products and supporting systems and services.
The Company has four reportable segments: Performance Materials, Specialty Minerals, Refractories and Energy Services.
Use of Estimates
The Company employs accounting policies that are in accordance with U.S. generally accepted accounting principles and require management to make estimates and assumptions relating to the reporting of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reported period. Significant estimates include those related to revenue recognition, valuation of long-lived assets, goodwill and other intangible assets, income taxes, including valuation allowances, and pension plan assumptions. Actual results could differ from those estimates.
Recently Adopted Accounting Standards
Measurement of Credit Losses on Financial Instruments
In June 2016, the FASB issued ASU 2016-13, "Measurement of Credit Losses on Financial Instruments", which replaces existing incurred loss impairment guidance and establishes a single allowance framework for financial assets carried at amortized cost. The Company adopted this guidance on January 1, 2020 using a modified retrospective transition method. The Company did not record a cumulative-effect adjustment upon adoption of this standard. Adoption of this standard did not have a material impact on the Company's consolidated financial statements.
Recently Issued Accounting Standards
Changes to accounting principles generally accepted in the United States of America (U.S. GAAP) are established by the Financial Accounting Standards Board (FASB) in the form of accounting standards updates (ASUs) to the FASB’s Accounting Standards Codification. The Company considers the applicability and impact of all ASUs. ASUs not listed below were assessed and determined to be either not applicable or are expected to have minimal impact on our consolidated financial position and results of operations.
Investments - Equity Securities, Investments - Equity Method and Joint Ventures, and Derivatives and Hedging
In January 2020, the FASB issued ASU 2020-01, "Investments - Equity Securities, Investments - Equity Method and Joint Ventures, and Derivatives and Hedging", which addresses the accounting for the transition into and out of the equity method and measuring certain purchased options and forward contracts to acquire investments. The standard is effective for interim and annual periods beginning on or after December 15, 2020. The adoption of this standard is not expected to have a material impact on the Company's financial statements.
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COVID-19 |
6 Months Ended |
|---|---|
Jun. 28, 2020 | |
| COVID-19 [Abstract] | |
| COVID-19 |
Note 2. COVID-19
In March 2020, the World Health Organization categorized the novel coronavirus (COVID-19) as a pandemic. Around the world, the Company has been closely adhering to all government regulations as they are issued. Applicable governmental directives across the United States and other global locations have typically permitted the continued operation of essential critical infrastructure sectors. As the Company supplies products and services to many essential industries, including critical manufacturing and energy sectors, all of our operations have qualified as essential businesses. Accordingly, all of the Company’s production facilities are currently operational. In a few locations, however, sites were temporarily impacted by the pandemic.
The recent economic environment related to the rapidly evolving global pandemic, which has slowed business activity in several key end-markets, negatively impacted the Company’s second quarter results and will continue to impact our results in the third quarter. The extent to which our operations will continue to be impacted by the pandemic will depend largely on future developments, including the continued severity of the pandemic and future actions by government authorities to contain it or treat its impact. These conditions are highly uncertain and cannot be accurately predicted. The Company will continue to actively monitor and respond to the COVID-19 pandemic.
As we cannot predict the duration or scope of the COVID-19 pandemic and its impact on our customers and suppliers, the negative financial impact to our future results cannot be reasonably estimated, but could be material. We are actively managing the business to maintain cash flow and we have significant liquidity. We believe that these factors will allow us to meet our anticipated funding requirements.
On March 27, 2020, the U.S. government enacted the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) which includes modifications to the limitation on business interest expense and net operating loss provisions, and provides a payment delay of employer payroll taxes during 2020 after the date of enactment with 50% due by December 31, 2021 and the remaining 50% due by December 31, 2022. The CARES Act is not expected to have a material impact on the Company’s consolidated financial statements.
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Revenue from Contracts with Customers |
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| Revenue from Contracts with Customers |
Note 3. Revenue from Contracts with Customers
On a regular basis, the Company reviews its product line groupings to generate greater alignment within each product line. Accordingly, in the third quarter of 2019, the Company combined its Basic Minerals product line with its Household, Personal Care & Specialty Products product line, both within our Performance Materials segment. Prior year amounts were reclassified to conform to current presentation.
The following table disaggregates our revenue by major source (product line) for the three and six-month periods ended June 28, 2020 and June 30, 2019 :
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Earnings per Share (EPS) |
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| Earnings per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Earnings per Share (EPS) |
Note 4. Earnings per Share (EPS)
Basic earnings per share are based upon the weighted average number of common shares outstanding during the period. Diluted earnings per share are based upon the weighted average number of common shares outstanding during the period assuming the issuance of common shares for all potentially dilutive common shares outstanding.
The following table sets forth the computation of basic and diluted earnings per share:
Options to purchase 1,448,699 shares and 470,304 shares of common stock for the three-month and six-month periods ended June 28, 2020 and June 30, 2019, respectively, were not included in the computation of diluted earnings per share because they were anti-dilutive, as the exercise prices of the options were greater than the average market price of the common shares.
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Restructuring and Other Items, net |
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| Restructuring and Other Items, net [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Restructuring and Other Items, net |
Note 5. Restructuring and Other Items, net
During the second quarter of 2019, the Company initiated a restructuring and cost savings program to better align our costs and organizational structure with the current market environment. The Company recorded a $7.5 million non-cash impairment of assets charge related to facilities no longer operating and underutilization of certain equipment, and $5.7 million in other restructuring costs in the second quarter of 2019.
In June 2020, Verso Papers announced they would be idling two of their paper mills indefinitely. As a result, the Company recorded a non-cash write-down of assets charge of $6.0 million and $0.3 million in severance related costs for its Paper PCC satellite facilities at these mills.
The following table outlines the amount of restructuring charges recorded within the Consolidated Statements of Income and the segments they relate to for the three and six-months ending June 28, 2020 and June 30, 2019:
At June 28, 2020, the Company had $4.6 million included within accrued liabilities in the Condensed Consolidated Balance Sheet for cash expenditures needed to satisfy remaining obligations under workforce reduction initiatives. The Company expects to pay these amounts by the end of 2020.
The following table is a reconciliation of our restructuring liability balance as of June 28, 2020:
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Income Taxes |
6 Months Ended |
|---|---|
Jun. 28, 2020 | |
| Income Taxes [Abstract] | |
| Income Taxes |
Note 6. Income Taxes
Provision for taxes was $0.9 million and $10.6 million during the three and six-month periods ended June 28, 2020, respectively. The effective tax rate was 6.2%, as compared with 15.8% in the prior year. The lower effective tax rate was primarily due to restructuring and other charges and to the mix of earnings.
As of June 28, 2020, the Company had approximately $8.2 million of total unrecognized income tax benefits. Included in this amount were a total of $5.5 million of unrecognized income tax benefits that, if recognized, would affect the Company’s effective tax rate. While it is expected that the amount of unrecognized tax benefits will change in the next 12 months, the Company does not expect the change to have a significant impact on the results of operations or the financial position of the Company.
The Company’s accounting policy is to recognize interest and penalties accrued relating to unrecognized income tax benefits as part of its provision for income taxes. The Company had a net increase of approximately $0.1 million and $0.2 million during the three and six-months ended June 28, 2020 and an accrued balance of $2.2 million of interest and penalties as of June 28, 2020.
The Company operates in multiple taxing jurisdictions, both within and outside the U.S. In certain situations, a taxing authority may challenge positions that the Company has adopted in its income tax filings. The Company, with a few exceptions (none of which are material), is no longer subject to income tax examinations by tax authorities for years prior to 2010.
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Inventories |
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Jun. 28, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Inventories [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Inventories |
Note 7. Inventories
The following is a summary of inventories by major category:
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Goodwill and Other Intangible Assets |
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| Goodwill and Other Intangible Assets |
Note 8. Goodwill and Other Intangible Assets
Goodwill and other intangible assets with indefinite lives are not amortized, but instead are assessed for impairment, at least annually. The carrying amount of goodwill was $805.8 million and $807.4 million as of June 28, 2020 and December 31, 2019, respectively. The change in goodwill from December 31, 2019 to June 28, 2020 is attributable to the effects of foreign exchange.
Intangible assets subject to amortization as of June 28, 2020 and December 31, 2019 were as follows:
The weighted average amortization period for acquired intangible assets subject to amortization is approximately 32 years. Estimated amortization expense is $4.8 million for the remainder of 2020, $36.4 million for 2021–2024 and $157.3 million thereafter.
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Derivative Financial Instruments |
6 Months Ended | ||||||
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Jun. 28, 2020 | |||||||
| Derivative Financial Instruments [Abstract] | |||||||
| Derivative Financial Instruments |
Note 9. Derivative Financial Instruments
As a multinational corporation with operations throughout the world, the Company is exposed to certain market risks. The Company uses a variety of practices to manage these market risks, including, when considered appropriate, derivative financial instruments. The Company's objective is to offset gains and losses resulting from interest rates and foreign currency exposures with gains and losses on the derivative contracts used to hedge them. The Company uses derivative financial instruments only for risk management and not for trading or speculative purposes.
By using derivative financial instruments to hedge exposures to changes in interest rates and foreign currencies, the Company exposes itself to credit risk and market risk. Credit risk is the risk that the counterparty will fail to perform under the terms of the derivative contract. When the fair value of a derivative contract is positive, the counterparty owes the Company, which creates credit risk for the Company. When the fair value of a derivative contract is negative, the Company owes the counterparty, and therefore, it does not face any credit risk. The Company minimizes the credit risk in derivative instruments by entering into transactions with major financial institutions.
Market risk is the adverse effect on the value of a financial instrument that results from a change in interest rates, currency exchange rates, or commodity prices. The market risk associated with interest rate and forward exchange contracts is managed by establishing and monitoring parameters that limit the types and degree of market risk that may be undertaken.
Cash Flow Hedges
For derivative instruments that are designated and qualify as cash flow hedges, the Company records the effective portion of the gain or loss in accumulated other comprehensive income (loss) as a separate component of shareholders' equity. The Company subsequently reclassifies the effective portion of gain or loss into earnings in the period during which the hedged transaction is recognized in earnings.
The Company utilizes interest rate swaps to limit exposure to market fluctuations on floating-rate debt. In the second quarter of 2018, the Company entered into a floating to fixed interest rate swap for a notional amount of $150 million. The fair value of this swap is a liability of $9.2 million at June 28, 2020 and is recorded in other non-current liabilities on the Condensed Consolidated Balance Sheet. In addition, in the second quarter of 2016, the Company entered into a floating to fixed interest rate swap with an initial aggregate notional amount of $300 million. The notional amount was $57 million at June 28, 2020. The fair value of this swap is a liability of $0.2 million at June 28, 2020 and is recorded in other current liabilities on the Condensed Consolidated Balance Sheet. These interest rate swaps are designated as cash flow hedges. As a result, the gains and losses associated with these interest rate swaps are recorded in accumulated other comprehensive income (loss).
Net Investment Hedges
For derivative instruments that are designated and qualify as net investment hedges, the Company records the effective portion of the gain or loss in accumulated other comprehensive income (loss) as a separate component of shareholders' equity.
To protect the value of our investments in our foreign operations against adverse changes in foreign currency exchange rates, the Company from time to time hedges a portion of our net investment in one or more of our foreign subsidiaries. During the second quarter of 2018, the Company entered into a cross currency rate swap with a total notional value of $150 million to exchange monthly fixed-rate interest payments in U.S. dollars for monthly fixed-rate interest rate payments in Euros. This contract matures in May 2023 and requires the exchange of Euros and U.S. dollar principal payments upon maturity. The fair value of this swap is an asset of $15.1 million at June 28, 2020 and is recorded in other assets and deferred charges on the Condensed Consolidated Balance Sheet. Changes in the fair value of this financial instrument are recognized in accumulated other comprehensive income (loss) to offset the change in the carrying amount of the net investment being hedged. Amounts are reclassified out of accumulated other comprehensive income (loss) into earnings when the hedged net investment is either sold or substantially liquidated.
Assets and liabilities measured at fair value are based on one or more of three valuation techniques. The three valuation techniques are as follows:
The Company primarily applies the income approach for interest rate derivatives for recurring fair value measurements and attempts to utilize valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs.
The fair value of our interest rate and cross currency rate swap contracts are determined based on inputs that are readily available in public markets or can be derived from information available in publicly quoted markets and are categorized as Level 2.
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Long-Term Debt and Commitments |
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| Long-Term Debt and Commitments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Long-Term Debt and Commitments |
Note 10. Long-Term Debt and Commitments
The following is a summary of long-term debt:
On May 9, 2014, in connection with the acquisition of AMCOL International Corporation (“AMCOL”), the Company entered into a credit agreement providing for a $1.560 billion senior secured term loan facility (the “Term Facility”) and a $200 million senior secured revolving credit facility.
On June 23, 2015, the Company entered into an amendment (the “First Amendment”) to the credit agreement to reprice the $1.378 billion then outstanding on the Term Facility. As amended, the Term Facility had a $1.078 billion floating rate tranche and a $300 million fixed rate tranche. On February 14, 2017, the Company entered into an amendment (the “Second Amendment”) to the credit agreement to reprice the $788 million floating rate tranche then outstanding, which extended the maturity and lowered the interest costs by 75 basis points. On April 18, 2018, the Company entered into an amendment (the “Third Amendment”) to the credit agreement to refinance its then existing senior secured revolving credit facility. In connection with the Third Amendment, the existing senior secured revolving credit facility was replaced with a new revolving credit facility with $300 million of aggregate commitments (the “Revolving Credit Facility” and, together with the Term Facility, the “Senior Secured Credit Facilities”). Following the amendments, the loans outstanding under the floating rate tranche of the Term Facility are scheduled to mature on February 14, 2024, the loans outstanding under the fixed rate tranche of the Term Facility are scheduled to mature on May 9, 2021 and the loans outstanding (if any) and commitments under the Revolving Facility will mature and terminate, as the case may be, on April 18, 2023. Loans under the floating rate tranche of the Term Facility bear interest at a rate equal to an adjusted LIBOR rate (subject to a floor of 0.75%) plus an applicable margin equal to 2.25% per annum. Loans under the fixed rate tranche of the Term Facility bear interest at a rate of 4.75%. Loans under the Revolving Facility bear interest at a rate equal to an adjusted LIBOR rate plus an applicable margin equal to 1.625% per annum. Such rates are subject to decrease by up to 25 basis points in the event that, and for so long as, the Company’s net leverage ratio (as defined in the credit agreement) is less than certain thresholds. The floating rate tranche of the Term Facility was issued at par and the fixed rate tranche of the Term Facility was issued at a 0.25% discount in connection with the First Amendment. The variable rate tranche of the Term Facility was issued at a 0.25% discount in connection with the Second Amendment. The variable rate tranche has a 1% required amortization per year. The Company will pay certain fees under the credit agreement, including customary annual administration fees. The obligations of the Company under the Senior Secured Credit Facilities are unconditionally guaranteed jointly and severally by, subject to certain exceptions, all material domestic subsidiaries of the Company (the “Guarantors”) and secured, subject to certain exceptions, by a security interest in substantially all of the assets of the Company and the Guarantors.
The credit agreement contains certain customary affirmative and negative covenants that limit or restrict the ability of the Company and its restricted subsidiaries to enter into certain transactions or take certain actions. In addition, the credit agreement contains a financial covenant that requires the Company, if on the last day of any fiscal quarter loans or letters of credit were outstanding under the Revolving Facility (excluding up to $25 million of letters of credit), to maintain a maximum net leverage ratio (as defined in the credit agreement) of 3.50 to 1.00 for the four fiscal quarters preceding such day. In connection with the Sivomatic acquisition, the Company incurred $113 million of short-term debt under the Revolving Facility. As of June 28, 2020, there were $100 million in outstanding loans and $9.4 million in letters of credit outstanding under the Revolving Facility. The Company is in compliance with all the covenants associated with the Revolving Facility as of the end of the period covered by this report.
As part of the Sivomatic acquisition, the Company assumed $10.7 million in long-term debt, recorded at fair value, consisting of two term loans, one of which matures in 2020 and the other of which matures in 2022. These loans carry an interest rate of Euribor plus 2.0% and have quarterly repayments. During the first half of 2020, the Company repaid $1.0 million on these loans.
The Company has a committed loan facility in Japan. As of June 28, 2020, $4.3 million was outstanding under this loan facility. Principal will be repaid in accordance with the payment schedule ending in 2021. The Company repaid $0.3 million on this facility during the first half of 2020.
As of June 28, 2020, the Company had $41.8 million in uncommitted short-term bank credit lines, of which approximately $0.3 million was in use.
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Benefit Plans |
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| Benefit Plans [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Benefit Plans |
Note 11. Benefit Plans
The Company and its subsidiaries have pension plans covering the majority of eligible employees on a contributory or non-contributory basis. The Company also provides postretirement health care and life insurance benefits for the majority of its U.S. retired employees. Disclosures for the U.S. plans have been combined with those outside of the U.S. as the international plans do not have significantly different assumptions, and together represent less than 21% of our total benefit obligation.
Components of Net Periodic Benefit Cost
Amortization amounts of prior service costs and recognized net actuarial losses are recorded, net of tax, as increases to accumulated other comprehensive income.
The Company expects to contribute approximately $9.0 million to its pension plans and $0.3 million to its other postretirement benefit plans in 2020. As of June 28, 2020, $4.3 million has been contributed to the pension plans and approximately $0.1 million has been contributed to the other postretirement benefit plans.
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Comprehensive Income |
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| Comprehensive Income |
Note 12. Comprehensive Income
The following table summarizes the amounts reclassified out of accumulated other comprehensive loss attributable to the Company:
The pre-tax amounts in the table above are included within the components of net periodic pension benefit cost (see Note 11 to the Condensed Consolidated Financial Statements) and the tax amounts are included within the provision for taxes on income line within the Condensed Consolidated Statements of Income.
The major components of accumulated other comprehensive loss, net of related tax, attributable to MTI are as follows:
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Accounting for Asset Retirement Obligations |
6 Months Ended |
|---|---|
Jun. 28, 2020 | |
| Accounting for Asset Retirement Obligations [Abstract] | |
| Accounting for Asset Retirement Obligations |
Note 13. Accounting for Asset Retirement Obligations
The Company records asset retirement obligations for situations in which the Company will be required to incur costs to retire tangible long-lived assets. The fair value of the liability for an asset retirement obligation is recognized in the period in which it is incurred if a reasonable estimate of fair value can be made.
The Company also records liabilities related to land reclamation as a part of asset retirement obligations. The Company mines various minerals using a surface mining process that requires the removal of overburden. In certain areas and under various governmental regulations, the Company is obligated to restore the land comprising each mining site to its original condition at the completion of the mining activity. The obligation is adjusted to reflect the passage of time, mining activities, and changes in estimated future cash outflows.
The asset retirement costs are capitalized as part of the carrying amount of the associated asset. The current portion of the liability of approximately $0.4 million is included in other current liabilities and the long-term portion of the liability of approximately $23.2 million is included in other non-current liabilities in the Condensed Consolidated Balance Sheet as of June 28, 2020.
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Contingencies |
6 Months Ended |
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Jun. 28, 2020 | |
| Contingencies [Abstract] | |
| Contingencies |
Note 14. Contingencies
The Company is party to a number of lawsuits arising in the normal course of our business.
Certain of the Company's subsidiaries are among numerous defendants in a number of cases seeking damages for exposure to silica or to asbestos containing materials. As of June 28, 2020, the Company currently has three pending silica cases and 176 pending asbestos cases. In total, 1,493 silica cases and 83 asbestos cases were dismissed as of the end of the first quarter, not including any lawsuits against AMCOL or American Colloid Company dismissed prior to our acquisition of AMCOL. Forty-six new asbestos cases were filed in the second quarter of 2020. Five asbestos cases and no silica cases were dismissed during the second quarter of 2020. Most of these claims do not provide adequate information to assess their merits, the likelihood that the Company will be found liable, or the magnitude of such liability, if any. Additional claims of this nature may be made against the Company or its subsidiaries. At this time management anticipates that the amount of the Company's liability, if any, and the cost of defending such claims, will not have a material effect on its financial position or results of operations.
The Company has settled only one silica lawsuit, for a nominal amount, and no asbestos lawsuits to date (not including any that may have been settled by AMCOL prior to completion of the acquisition). We are unable to state an amount or range of amounts claimed in any of the lawsuits because state court pleading practices do not require identifying the amount of the claimed damage. The aggregate cost to the Company for the legal defense of these cases since inception continues to be insignificant. The majority of the costs of defense for these cases, excluding cases against AMCOL or American Colloid, are reimbursed by Pfizer Inc. pursuant to the terms of certain agreements entered into in connection with the Company's initial public offering in 1992. The Company is entitled to indemnification, pursuant to agreement, for sales prior to the initial public offering. Of the 176 pending asbestos cases as of the end of the second quarter, 136 of the non-AMCOL cases are subject to indemnification, in whole or in part, because the plaintiffs claim liability based on sales of products that occurred either entirely before the initial public offering, or both before and after the initial public offering. Thirty-three of the thirty-eight remaining non-AMCOL cases as of the end of the second quarter are subject to indemnity in part until dates of exposure, which were not alleged in the complaint, can be ascertained in discovery. In the five remaining non-AMCOL cases, exposure is alleged to have been after the Company's initial public offering in 1992. The remaining two cases involve AMCOL only, so no Pfizer indemnity is available. Our experience has been that the Company is not liable to plaintiffs in any of these lawsuits and the Company does not expect to pay any settlements or jury verdicts in these lawsuits.
The Company is also the respondent in an arbitration requested by the Plan Administrator for the Bankruptcy Estate of Novinda Corp. (“Novinda”), a start-up company which declared bankruptcy in April 2016 and with which the Company had several relationships, including an equity and debt interest and a product supply relationship. On July 30, 2018, the Plan Administrator filed a Demand for Arbitration against the Company and certain of its officers for the alleged destruction of Novinda’s business. In the second quarter of 2020, the arbitration panel rendered an award in the arbitration, finding for the Company in part and for Novinda in part. The total amount of the award has not yet been finalized. The Company has recorded a charge of $8.0 million related to this matter in the second quarter of 2020, representing its reasonable estimate of the damages, interest and costs awarded by the panel to Novinda. In addition, the Company has recorded a total of $11.8 million in litigation expense related to this matter, $ 0.9 million of which was recorded in 2020.
Environmental Matters
On April 9, 2003, the Connecticut Department of Environmental Protection issued an administrative consent order relating to our Canaan, Connecticut plant where both our Refractories segment and Specialty Minerals segment have operations. We agreed to the order, which includes provisions requiring investigation and remediation of contamination associated with historic use of polychlorinated biphenyls ("PCBs") and mercury at a portion of the site. We have completed the required investigations and submitted several reports characterizing the contamination and assessing site-specific risks. We are awaiting regulators’ approval of the risk assessment report, which will form the basis for a proposal by the Company concerning eventual remediation.
We believe that the most likely form of overall site remediation will be to leave the existing contamination in place (with some limited soil removal), encapsulate it, and monitor the effectiveness of the encapsulation. We anticipate that a substantial portion of the remediation cost will be borne by the United States based on its involvement at the site from 1942 – 1964, as historic documentation indicates that PCBs and mercury were first used at the facility at a time of U.S. government ownership for production of materials needed by the military. Pursuant to a Consent Decree entered on October 24, 2014, the United States paid the Company $2.3 million in the 4th quarter of 2014 to resolve the Company’s claim for response costs for investigation and initial remediation activities at this facility through October 24, 2014. Contribution by the United States to any future costs of investigation or additional remediation has, by agreement, been left unresolved. Though the cost of the likely remediation remains uncertain pending completion of the phased remediation decision process, we have estimated that the Company’s share of the cost of the encapsulation and limited soil removal described above would approximate $0.4 million, which has been accrued as of June 28, 2020.
The Company is evaluating options for upgrading the wastewater treatment facilities at its Adams, Massachusetts plant. This work has been undertaken pursuant to an administrative Consent Order originally issued by the Massachusetts Department of Environmental Protection (“DEP”) on June 18, 2002. This order was amended on June 1, 2009 and on June 2, 2010. The amended Order includes the investigation by January 1, 2022 of options for ensuring that the facility's wastewater treatment ponds will not result in unpermitted discharge to groundwater. Additional requirements of the amendment include the submittal by July 1, 2022 of a plan for closure of a historic lime solids disposal area. Preliminary engineering reviews completed in 2005 indicate that the estimated cost of wastewater treatment upgrades to operate this facility beyond 2024 may be between $6 million and $8 million. The Company estimates that the remaining remediation costs would approximate $0.4 million, which has been accrued as of June 28, 2020.
The Company and its subsidiaries are not party to any other material pending legal proceedings, other than routine litigation incidental to their businesses.
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Segment and Related Information |
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| Segment and Related Information [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Segment and Related Information |
Note 15. Segment and Related Information
The Company has four reportable segments: Performance Materials, Specialty Minerals, Refractories and Energy Services. See Note 1 to the Condensed Consolidated Financial Statements. Segment information for the three and six-month periods ended June 28, 2020 and June 30, 2019 is as follows:
A reconciliation of the totals reported for the operating segments to the applicable line items in the condensed consolidated financial statements is as follows:
On a regular basis, the Company reviews its product line groupings to generate greater alignment within each product line. Accordingly, in the third quarter of 2019, the Company combined its Basic Minerals product line with its Household, Personal Care & Specialty Products product line, both within our Performance Materials segment. Prior year amounts were reclassified to conform to current presentation.
The Company's sales by product category are as follows:
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Subsequent Event |
6 Months Ended |
|---|---|
Jun. 28, 2020 | |
| Subsequent Event [Abstract] | |
| Subsequent Event |
Note 16. Subsequent Event
On June 30, 2020, the Company issued $400 million aggregate principal amount of 5.0% Senior Notes due 2028 (the "Notes"). The Notes were issued pursuant to an indenture, dated as of June 30, 2020, between the Company and The Bank of New York Mellon Trust Company, N.A., as trustee. The Company used the net proceeds of its offering of the Notes to repay all of its outstanding loans under the fixed rate tranche of the Term Facility, repay all of its outstanding borrowings under its Revolving Credit Facility, and the remainder for general corporate purposes
The Notes bear an interest rate of 5.0% per annum payable semi-annually on January 1 and July 1 of each year, beginning on January 1, 2021. The Notes are unconditionally guaranteed on a senior unsecured basis by each of the Company's existing and future wholly owned domestic restricted subsidiaries that is a borrower under or that guarantees the Company's obligations under its Senior Secured Credit Facilities or that guarantees the Company's or any of the Company's wholly owned domestic subsidiaries’ long-term indebtedness in an aggregate amount in excess of $50 million.
At any time and from time to time prior to July 1, 2023, the Company may redeem some or all of the Notes for cash at a redemption price equal to 100% of their principal amount, plus the “make-whole” premium described in the Indenture and accrued and unpaid interest, if any, to, but excluding, the applicable redemption date. Beginning on July 1, 2023, the Company may redeem some or all of the Notes at any time and from time to time at the applicable redemption prices listed in the Indenture, plus accrued and unpaid interest, if any, to, but excluding, the applicable redemption date. In addition, at any time and from time to time prior to July 1, 2023, the Company may redeem up to 40% of the aggregate principal amount of the Notes with funds from one or more equity offerings at a redemption price equal to 105.000% of the principal amount thereof, plus accrued and unpaid interest, if any, to, but excluding, the applicable redemption date.
If the Company experiences a change of control (as defined in the indenture), the Company is required to offer to repurchase the Notes at 101% of the principal amount of such Notes, plus accrued and unpaid interest, if any, to, but excluding, the date of repurchase.
The indenture contains certain customary affirmative and negative covenants that limit or restrict the ability of the Company and its restricted subsidiaries to enter into certain transactions or take certain actions, as well as customary events of default.
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Basis of Presentation and Summary of Significant Accounting Policies (Policies) |
6 Months Ended |
|---|---|
Jun. 28, 2020 | |
| Basis of Presentation and Summary of Significant Accounting Policies [Abstract] | |
| Use of Estimates |
Use of Estimates
The Company employs accounting policies that are in accordance with U.S. generally accepted accounting principles and require management to make estimates and assumptions relating to the reporting of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reported period. Significant estimates include those related to revenue recognition, valuation of long-lived assets, goodwill and other intangible assets, income taxes, including valuation allowances, and pension plan assumptions. Actual results could differ from those estimates.
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| Recently Adopted and Recently Issued Accounting Standards |
Recently Adopted Accounting Standards
Measurement of Credit Losses on Financial Instruments
In June 2016, the FASB issued ASU 2016-13, "Measurement of Credit Losses on Financial Instruments", which replaces existing incurred loss impairment guidance and establishes a single allowance framework for financial assets carried at amortized cost. The Company adopted this guidance on January 1, 2020 using a modified retrospective transition method. The Company did not record a cumulative-effect adjustment upon adoption of this standard. Adoption of this standard did not have a material impact on the Company's consolidated financial statements.
Recently Issued Accounting Standards
Changes to accounting principles generally accepted in the United States of America (U.S. GAAP) are established by the Financial Accounting Standards Board (FASB) in the form of accounting standards updates (ASUs) to the FASB’s Accounting Standards Codification. The Company considers the applicability and impact of all ASUs. ASUs not listed below were assessed and determined to be either not applicable or are expected to have minimal impact on our consolidated financial position and results of operations.
Investments - Equity Securities, Investments - Equity Method and Joint Ventures, and Derivatives and Hedging
In January 2020, the FASB issued ASU 2020-01, "Investments - Equity Securities, Investments - Equity Method and Joint Ventures, and Derivatives and Hedging", which addresses the accounting for the transition into and out of the equity method and measuring certain purchased options and forward contracts to acquire investments. The standard is effective for interim and annual periods beginning on or after December 15, 2020. The adoption of this standard is not expected to have a material impact on the Company's financial statements.
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Revenue from Contracts with Customers (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Revenue from Contracts with Customers [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Disaggregation of Revenue |
The following table disaggregates our revenue by major source (product line) for the three and six-month periods ended June 28, 2020 and June 30, 2019 :
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Earnings per Share (EPS) (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Earnings per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Computation of Basic and Diluted Earnings Per Share |
The following table sets forth the computation of basic and diluted earnings per share:
|
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Restructuring and Other Items, net (Tables) |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Restructuring and Other Items, net [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Restructuring Charges by Segment |
The following table outlines the amount of restructuring charges recorded within the Consolidated Statements of Income and the segments they relate to for the three and six-months ending June 28, 2020 and June 30, 2019:
|
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| Reconciliation of Restructuring Liability |
The following table is a reconciliation of our restructuring liability balance as of June 28, 2020:
|
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Inventories (Tables) |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Inventories [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Inventories by Major Category |
The following is a summary of inventories by major category:
|
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Goodwill and Other Intangible Assets (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Goodwill and Other Intangible Assets [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Intangible Assets Subject to Amortization |
Intangible assets subject to amortization as of June 28, 2020 and December 31, 2019 were as follows:
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Long-Term Debt and Commitments (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Long-Term Debt and Commitments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Long Term Debt |
The following is a summary of long-term debt:
|
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Benefit Plans (Tables) |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Benefit Plans [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Net Periodic Benefit Cost |
Components of Net Periodic Benefit Cost
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Comprehensive Income (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Comprehensive Income [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Reclassifications Out of Accumulated Other Comprehensive Loss |
The following table summarizes the amounts reclassified out of accumulated other comprehensive loss attributable to the Company:
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| Accumulated Other Comprehensive Loss, Net of Related Tax |
The major components of accumulated other comprehensive loss, net of related tax, attributable to MTI are as follows:
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Segment and Related Information (Tables) |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 28, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Segment and Related Information [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Segment Information |
The Company has four reportable segments: Performance Materials, Specialty Minerals, Refractories and Energy Services. See Note 1 to the Condensed Consolidated Financial Statements. Segment information for the three and six-month periods ended June 28, 2020 and June 30, 2019 is as follows:
|
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| Reconciliation of Income from Operations |
A reconciliation of the totals reported for the operating segments to the applicable line items in the condensed consolidated financial statements is as follows:
|
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| Sales by Product Category |
The Company's sales by product category are as follows:
|
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Basis of Presentation and Summary of Significant Accounting Policies (Details) |
6 Months Ended |
|---|---|
|
Jun. 28, 2020
Segment
| |
| Basis of Presentation and Summary of Significant Accounting Policies [Abstract] | |
| Number of reportable segments | 4 |
Revenue from Contracts with Customers (Details) - USD ($) $ in Millions |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Disaggregation of Revenue [Abstract] | ||||
| Total net sales | $ 357.2 | $ 463.8 | $ 774.7 | $ 901.5 |
| Performance Materials [Member] | ||||
| Disaggregation of Revenue [Abstract] | ||||
| Total net sales | 173.8 | 215.4 | 360.0 | 414.6 |
| Performance Materials [Member] | Metalcasting [Member] | ||||
| Disaggregation of Revenue [Abstract] | ||||
| Total net sales | 52.8 | 75.8 | 114.5 | 149.0 |
| Performance Materials [Member] | Household, Personal Care & Specialty Products [Member] | ||||
| Disaggregation of Revenue [Abstract] | ||||
| Total net sales | 87.9 | 91.5 | 184.1 | 186.3 |
| Performance Materials [Member] | Environmental Products [Member] | ||||
| Disaggregation of Revenue [Abstract] | ||||
| Total net sales | 19.9 | 29.0 | 31.4 | 44.9 |
| Performance Materials [Member] | Building Materials [Member] | ||||
| Disaggregation of Revenue [Abstract] | ||||
| Total net sales | 13.2 | 19.1 | 30.0 | 34.4 |
| Specialty Minerals [Member] | ||||
| Disaggregation of Revenue [Abstract] | ||||
| Total net sales | 109.8 | 145.1 | 246.9 | 289.5 |
| Specialty Minerals [Member] | Paper PCC [Member] | ||||
| Disaggregation of Revenue [Abstract] | ||||
| Total net sales | 65.5 | 90.2 | 150.6 | 181.7 |
| Specialty Minerals [Member] | Specialty PCC [Member] | ||||
| Disaggregation of Revenue [Abstract] | ||||
| Total net sales | 14.9 | 17.3 | 32.4 | 35.4 |
| Specialty Minerals [Member] | Ground Calcium Carbonate [Member] | ||||
| Disaggregation of Revenue [Abstract] | ||||
| Total net sales | 20.6 | 24.8 | 43.2 | 47.1 |
| Specialty Minerals [Member] | Talc [Member] | ||||
| Disaggregation of Revenue [Abstract] | ||||
| Total net sales | 8.8 | 12.8 | 20.7 | 25.3 |
| Refractories [Member] | ||||
| Disaggregation of Revenue [Abstract] | ||||
| Total net sales | 55.9 | 77.5 | 124.9 | 151.3 |
| Refractories [Member] | Refractory Products [Member] | ||||
| Disaggregation of Revenue [Abstract] | ||||
| Total net sales | 47.1 | 61.0 | 102.9 | 123.0 |
| Refractories [Member] | Metallurgical Products [Member] | ||||
| Disaggregation of Revenue [Abstract] | ||||
| Total net sales | 8.8 | 16.5 | 22.0 | 28.3 |
| Energy Services [Member] | ||||
| Disaggregation of Revenue [Abstract] | ||||
| Total net sales | $ 17.7 | $ 25.8 | $ 42.9 | $ 46.1 |
Earnings per Share (EPS) (Details) - USD ($) $ / shares in Units, $ in Millions |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Earnings per Share [Abstract] | ||||
| Net income attributable to Minerals Technologies Inc. | $ 14.4 | $ 26.6 | $ 53.0 | $ 65.7 |
| Weighted average shares outstanding (in shares) | 34,100,000 | 35,200,000 | 34,200,000 | 35,200,000 |
| Dilutive effect of stock options and stock units (in shares) | 0 | 100,000 | 100,000 | 100,000 |
| Weighted average shares outstanding, adjusted (in shares) | 34,100,000 | 35,300,000 | 34,300,000 | 35,300,000 |
| Basic earnings per share attributable to Minerals Technologies Inc. (in dollars per share) | $ 0.42 | $ 0.76 | $ 1.55 | $ 1.87 |
| Diluted earnings per share attributable to Minerals Technologies Inc. (in dollars per share) | $ 0.42 | $ 0.75 | $ 1.55 | $ 1.86 |
| Stock Options [Member] | ||||
| Earnings per Share [Abstract] | ||||
| Anti-dilutive securities not included in the weighted average commons shares outstanding calculation (in shares) | 1,448,699 | 470,304 | 1,448,699 | 470,304 |
Restructuring and Other Items, net (Details) $ in Millions |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
|
Jun. 28, 2020
USD ($)
Mill
|
Jun. 30, 2019
USD ($)
|
Jun. 28, 2020
USD ($)
Mill
|
Jun. 30, 2019
USD ($)
|
|
| Restructuring Charges [Abstract] | ||||
| Impairment of assets | $ 6.0 | $ 7.5 | $ 6.0 | $ 7.5 |
| Severance and other employee costs | 0.3 | 5.7 | 0.3 | 5.7 |
| Total restructuring and other items, net | 6.5 | 13.2 | 6.5 | 13.2 |
| Restructuring Reserve [Roll Forward] | ||||
| Restructuring liability, beginning of period | 5.0 | |||
| Additional provision | 0.3 | |||
| Cash payments | (0.7) | |||
| Restructuring liability, ending of period | 4.6 | 4.6 | ||
| Performance Materials [Member] | ||||
| Restructuring Charges [Abstract] | ||||
| Impairment of assets | 0.0 | 4.2 | 0.0 | 4.2 |
| Severance and other employee costs | 0.0 | 2.8 | 0.0 | 2.8 |
| Specialty Minerals [Member] | ||||
| Restructuring Charges [Abstract] | ||||
| Impairment of assets | 6.0 | 1.6 | 6.0 | 1.6 |
| Severance and other employee costs | 0.3 | 0.9 | 0.3 | 0.9 |
| Refractories [Member] | ||||
| Restructuring Charges [Abstract] | ||||
| Severance and other employee costs | 0.0 | 0.8 | 0.0 | 0.8 |
| Energy Services [Member] | ||||
| Restructuring Charges [Abstract] | ||||
| Impairment of assets | 0.0 | 1.7 | 0.0 | 1.7 |
| Severance and other employee costs | 0.0 | 0.1 | 0.0 | 0.1 |
| Corporate [Member] | ||||
| Restructuring Charges [Abstract] | ||||
| Severance and other employee costs | 0.0 | 1.1 | 0.0 | 1.1 |
| Other | $ 0.2 | $ 0.0 | $ 0.2 | $ 0.0 |
| Verso Papers [Member] | ||||
| Restructuring and Other Items, Net [Abstract] | ||||
| Number of paper mills being idled indefinitely | Mill | 2 | 2 | ||
Income Taxes (Details) - USD ($) $ in Millions |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Income Taxes [Abstract] | ||||
| Provision for taxes on income | $ 0.9 | $ 5.1 | $ 10.6 | $ 14.4 |
| Effective income tax rate | 6.20% | 15.80% | ||
| Amount of unrecognized tax benefits | $ 8.2 | 8.2 | ||
| Unrecognized tax benefits that would impact effective tax rate | 5.5 | 5.5 | ||
| Unrecognized tax benefits, net decrease in penalties and interest expenses | 0.1 | 0.2 | ||
| Unrecognized tax benefits, accrued interest and penalties | $ 2.2 | $ 2.2 | ||
Inventories (Details) - USD ($) $ in Millions |
Jun. 28, 2020 |
Dec. 31, 2019 |
||||||
|---|---|---|---|---|---|---|---|---|
| Inventories [Abstract] | ||||||||
| Raw materials | $ 116.1 | $ 105.9 | ||||||
| Work-in-process | 9.7 | 7.2 | ||||||
| Finished goods | 98.4 | 95.5 | ||||||
| Packaging and supplies | 45.6 | 44.7 | ||||||
| Total inventories | $ 269.8 | [1] | $ 253.3 | [2] | ||||
| ||||||||
Goodwill and Other Intangible Assets (Details) - USD ($) $ in Millions |
6 Months Ended | |||||||
|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 |
Dec. 31, 2019 |
|||||||
| Goodwill and Other Intangible Assets [Abstract] | ||||||||
| Goodwill | $ 805.8 | [1] | $ 807.4 | [2] | ||||
| Intangible Assets Subject to Amortization [Abstract] | ||||||||
| Weighted average useful life | 32 years | |||||||
| Gross carrying amount | $ 253.9 | 253.8 | ||||||
| Accumulated amortization | $ 55.4 | 50.8 | ||||||
| Future Amortization Expense [Abstract] | ||||||||
| Weighted average amortization period | 32 years | |||||||
| Estimated amortization expense, remainder of 2020 | $ 4.8 | |||||||
| Estimated amortization expense, 2021 | 36.4 | |||||||
| Estimated amortization expense, 2022 | 36.4 | |||||||
| Estimated amortization expense, 2023 | 36.4 | |||||||
| Estimated amortization expense, 2024 | 36.4 | |||||||
| Estimated amortization expense, thereafter | $ 157.3 | |||||||
| Tradenames [Member] | ||||||||
| Intangible Assets Subject to Amortization [Abstract] | ||||||||
| Weighted average useful life | 35 years | |||||||
| Gross carrying amount | $ 203.9 | 203.9 | ||||||
| Accumulated amortization | $ 35.4 | 32.5 | ||||||
| Technology [Member] | ||||||||
| Intangible Assets Subject to Amortization [Abstract] | ||||||||
| Weighted average useful life | 13 years | |||||||
| Gross carrying amount | $ 18.8 | 18.8 | ||||||
| Accumulated amortization | $ 8.8 | 8.0 | ||||||
| Patents and Trademarks [Member] | ||||||||
| Intangible Assets Subject to Amortization [Abstract] | ||||||||
| Weighted average useful life | 19 years | |||||||
| Gross carrying amount | $ 6.4 | 6.4 | ||||||
| Accumulated amortization | $ 6.0 | 5.9 | ||||||
| Customer Relationships [Member] | ||||||||
| Intangible Assets Subject to Amortization [Abstract] | ||||||||
| Weighted average useful life | 22 years | |||||||
| Gross carrying amount | $ 24.8 | 24.7 | ||||||
| Accumulated amortization | $ 5.2 | $ 4.4 | ||||||
| ||||||||
Derivative Financial Instruments (Details) - Designated as Hedging Instrument [Member] - USD ($) $ in Millions |
Jun. 28, 2020 |
Jul. 01, 2018 |
Jul. 03, 2016 |
|---|---|---|---|
| Cash Flow Hedge [Member] | Interest Rate Swap [Member] | |||
| Derivative, Fair Value [Abstract] | |||
| Notional amount | $ 150.0 | ||
| Cash Flow Hedge [Member] | Interest Rate Swap [Member] | Other Non-Current Liabilities [Member] | |||
| Derivative, Fair Value [Abstract] | |||
| Fair value of derivative liability | $ 9.2 | ||
| Cash Flow Hedge [Member] | Interest Rate Swap [Member] | |||
| Derivative, Fair Value [Abstract] | |||
| Notional amount | 57.0 | $ 300.0 | |
| Cash Flow Hedge [Member] | Interest Rate Swap [Member] | Other Current Liabilities [Member] | |||
| Derivative, Fair Value [Abstract] | |||
| Fair value of derivative liability | 0.2 | ||
| Net Investment Hedge [Member] | Cross Currency Rate Swap [Member] | |||
| Derivative, Fair Value [Abstract] | |||
| Notional amount | $ 150.0 | ||
| Net Investment Hedge [Member] | Cross Currency Rate Swap [Member] | Other Assets and Deferred Charges [Member] | |||
| Derivative, Fair Value [Abstract] | |||
| Fair value of derivative asset | $ 15.1 |
Long-Term Debt and Commitments (Details) $ in Millions |
3 Months Ended | 6 Months Ended | 12 Months Ended | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
|
Feb. 14, 2017
USD ($)
|
Jun. 28, 2020
USD ($)
|
Mar. 29, 2020
USD ($)
|
Jun. 28, 2020
USD ($)
Loan
qtr
|
Jun. 30, 2019
USD ($)
|
Dec. 31, 2018
USD ($)
|
Dec. 31, 2019
USD ($)
|
Jun. 23, 2015
USD ($)
|
May 09, 2014
USD ($)
|
||||||||
| Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
| Long-term debt | $ 796.9 | $ 796.9 | $ 826.4 | |||||||||||||
| Less: Current maturities | 149.2 | [1] | 149.2 | [1] | 2.1 | [2] | ||||||||||
| Total long-term debt | 647.7 | [1] | 647.7 | [1] | 824.3 | [2] | ||||||||||
| Repayment of long-term debt | 31.3 | $ 36.6 | ||||||||||||||
| Short-term debt | 100.3 | [1] | $ 100.3 | [1] | 101.2 | [2] | ||||||||||
| Maximum [Member] | ||||||||||||||||
| Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
| Net leverage ratio | 3.50 | |||||||||||||||
| Sivomatic [Member] | ||||||||||||||||
| Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
| Long-term debt assumed as part of acquisition | $ 10.7 | |||||||||||||||
| Credit Agreement [Member] | ||||||||||||||||
| Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
| Letters of credit excluded from financial covenant | 25.0 | $ 25.0 | ||||||||||||||
| Number of quarters to maintain net leverage ratio under financial covenant | qtr | 4 | |||||||||||||||
| Term Facility [Member] | ||||||||||||||||
| Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
| Long-term debt | $ 1,378.0 | |||||||||||||||
| Face amount | $ 1,560.0 | |||||||||||||||
| Term Loan Facility - Variable Tranche [Member] | ||||||||||||||||
| Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
| Long-term debt | $ 788.0 | 643.7 | $ 643.7 | 642.0 | 1,078.0 | |||||||||||
| Unamortized discount and deferred financing costs | $ 14.2 | $ 14.2 | 16.0 | |||||||||||||
| Maturity date | Feb. 14, 2024 | |||||||||||||||
| Decrease in basis spread on variable rate | (0.75%) | |||||||||||||||
| Debt discount percentage at issuance | 0.25% | |||||||||||||||
| Required annual amortization | 1.00% | |||||||||||||||
| Term Loan Facility - Variable Tranche [Member] | Minimum [Member] | ||||||||||||||||
| Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
| Interest rate | 0.75% | 0.75% | ||||||||||||||
| Term Loan Facility - Variable Tranche [Member] | LIBOR [Member] | ||||||||||||||||
| Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
| Basis spread on variable rate | 2.25% | |||||||||||||||
| Term Loan Facility - Fixed Tranche [Member] | ||||||||||||||||
| Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
| Long-term debt | $ 147.9 | $ 147.9 | 177.8 | $ 300.0 | ||||||||||||
| Unamortized discount and deferred financing costs | $ 0.1 | $ 0.1 | 0.2 | |||||||||||||
| Maturity date | May 09, 2021 | |||||||||||||||
| Interest rate | 4.75% | 4.75% | ||||||||||||||
| Debt discount percentage at issuance | 0.25% | |||||||||||||||
| Revolving Facility [Member] | ||||||||||||||||
| Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
| Maturity date | Apr. 18, 2023 | |||||||||||||||
| Maximum borrowing capacity | $ 300.0 | $ 300.0 | $ 200.0 | |||||||||||||
| Proceeds from issuance of short-term debt | $ 113.0 | |||||||||||||||
| Short-term debt | 100.0 | 100.0 | ||||||||||||||
| Letters of credit outstanding | $ 9.4 | $ 9.4 | ||||||||||||||
| Revolving Facility [Member] | Maximum [Member] | ||||||||||||||||
| Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
| Decrease in basis spread if net leverage ratio is less than certain thresholds | (0.25%) | |||||||||||||||
| Revolving Facility [Member] | LIBOR [Member] | ||||||||||||||||
| Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
| Basis spread on variable rate | 1.625% | |||||||||||||||
| Netherlands Term Loans [Member] | ||||||||||||||||
| Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
| Number of term loans | Loan | 2 | |||||||||||||||
| Repayment of long-term debt | $ 1.0 | |||||||||||||||
| Netherlands Term Loans [Member] | Euribor [Member] | ||||||||||||||||
| Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
| Basis spread on variable rate | 2.00% | |||||||||||||||
| Netherlands Term Loan Due 2020 [Member] | ||||||||||||||||
| Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
| Long-term debt | $ 0.3 | $ 0.3 | 1.1 | |||||||||||||
| Netherlands Term Loan Due 2022 [Member] | ||||||||||||||||
| Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
| Long-term debt | 0.7 | 0.7 | 1.0 | |||||||||||||
| Japan Loan Facilities [Member] | ||||||||||||||||
| Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
| Long-term debt | 4.3 | 4.3 | $ 4.5 | |||||||||||||
| Repayment of long-term debt | $ 0.3 | |||||||||||||||
| Uncommitted Short-Term Bank Credit Lines [Member] | ||||||||||||||||
| Long-Term Debt and Commitments [Abstract] | ||||||||||||||||
| Maximum borrowing capacity | 41.8 | 41.8 | ||||||||||||||
| Short-term debt | $ 0.3 | $ 0.3 | ||||||||||||||
| ||||||||||||||||
Benefit Plans (Details) - USD ($) $ in Millions |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Benefit Plans [Abstract] | ||||
| Maximum percentage of total benefit obligation represented by international pension plans | 21.00% | 21.00% | ||
| Pension Benefits [Member] | ||||
| Components of Net Periodic Benefit Cost [Abstract] | ||||
| Service cost | $ 2.0 | $ 1.8 | $ 3.9 | $ 3.6 |
| Interest cost | 2.9 | 3.6 | 5.9 | 7.1 |
| Expected return on plan assets | (5.2) | (4.6) | (10.4) | (9.2) |
| Amortization of prior service cost | 0.1 | 0.1 | 0.2 | 0.2 |
| Amortization of recognized net actuarial (gain) loss | 2.8 | 2.3 | 5.6 | 4.6 |
| Amortization of settlement loss | 4.3 | 0.0 | 4.3 | 0.0 |
| Net periodic benefit cost | 6.9 | 3.2 | 9.5 | 6.3 |
| Employer Contributions [Abstract] | ||||
| Expected employer contributions to benefit plans in 2020 | 9.0 | 9.0 | ||
| Employer contributions to benefit plans | 4.3 | |||
| Post-Retirement Benefits [Member] | ||||
| Components of Net Periodic Benefit Cost [Abstract] | ||||
| Service cost | 0.0 | 0.1 | 0.1 | 0.1 |
| Interest cost | 0.1 | 0.0 | 0.1 | 0.1 |
| Amortization of recognized net actuarial (gain) loss | (0.2) | (0.2) | (0.4) | (0.4) |
| Net periodic benefit cost | (0.1) | $ (0.1) | (0.2) | $ (0.2) |
| Employer Contributions [Abstract] | ||||
| Expected employer contributions to benefit plans in 2020 | $ 0.3 | 0.3 | ||
| Employer contributions to benefit plans | $ 0.1 | |||
Comprehensive Income, Reclassification Out of Accumulated Other Comprehensive Loss (Details) - Pension Costs [Member] - Reclassification out of Accumulated Other Comprehensive Loss [Member] - USD ($) $ in Millions |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Amortization of pension items [Abstract] | ||||
| Pre-tax amount | $ 7.0 | $ 2.2 | $ 9.7 | $ 4.4 |
| Tax | (1.7) | (0.5) | (2.3) | (1.1) |
| Net of tax | $ 5.3 | $ 1.7 | $ 7.4 | $ 3.3 |
Comprehensive Income, Accumulated Other Comprehensive Loss, Net of Related Tax (Details) - USD ($) $ in Millions |
3 Months Ended | 6 Months Ended | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 |
Mar. 29, 2020 |
Jun. 30, 2019 |
Mar. 31, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|||||
| Components of Accumulated Other Comprehensive Loss, Net of Tax [Roll Forward] | ||||||||||
| Balance at beginning of period | [1] | $ 1,402.7 | $ 1,402.7 | |||||||
| Total other comprehensive income (loss), net of tax | $ 12.4 | (39.2) | $ (20.3) | $ 2.4 | (26.8) | $ (17.9) | ||||
| Balance at end of period | [2] | 1,406.5 | 1,406.5 | |||||||
| Accumulated Other Comprehensive Income (Loss) [Member] | ||||||||||
| Components of Accumulated Other Comprehensive Loss, Net of Tax [Roll Forward] | ||||||||||
| Balance at beginning of period | (290.4) | (290.4) | ||||||||
| Other comprehensive income (loss) before reclassifications | (33.8) | |||||||||
| Amounts reclassified from AOCI | 7.3 | |||||||||
| Total other comprehensive income (loss), net of tax | 11.3 | (37.8) | $ (20.1) | $ 1.9 | (26.5) | |||||
| Balance at end of period | (316.9) | (316.9) | ||||||||
| Foreign Currency Translation Adjustment [Member] | ||||||||||
| Components of Accumulated Other Comprehensive Loss, Net of Tax [Roll Forward] | ||||||||||
| Balance at beginning of period | (200.2) | (200.2) | ||||||||
| Other comprehensive income (loss) before reclassifications | (34.9) | |||||||||
| Amounts reclassified from AOCI | 0.0 | |||||||||
| Total other comprehensive income (loss), net of tax | (34.9) | |||||||||
| Balance at end of period | (235.1) | (235.1) | ||||||||
| Unrecognized Pension Costs [Member] | ||||||||||
| Components of Accumulated Other Comprehensive Loss, Net of Tax [Roll Forward] | ||||||||||
| Balance at beginning of period | (96.1) | (96.1) | ||||||||
| Other comprehensive income (loss) before reclassifications | 0.0 | |||||||||
| Amounts reclassified from AOCI | 7.3 | |||||||||
| Total other comprehensive income (loss), net of tax | 7.3 | |||||||||
| Balance at end of period | (88.8) | (88.8) | ||||||||
| Net Gain (Loss) on Derivative Instruments [Member] | ||||||||||
| Components of Accumulated Other Comprehensive Loss, Net of Tax [Roll Forward] | ||||||||||
| Balance at beginning of period | $ 5.9 | 5.9 | ||||||||
| Other comprehensive income (loss) before reclassifications | 1.1 | |||||||||
| Amounts reclassified from AOCI | 0.0 | |||||||||
| Total other comprehensive income (loss), net of tax | 1.1 | |||||||||
| Balance at end of period | $ 7.0 | $ 7.0 | ||||||||
| ||||||||||
Accounting for Asset Retirement Obligations (Details) $ in Millions |
Jun. 28, 2020
USD ($)
|
|---|---|
| Asset Retirement Obligation [Abstract] | |
| Asset retirement obligation, current portion | $ 0.4 |
| Asset retirement obligation, noncurrent portion | $ 23.2 |
Contingencies (Details) $ in Millions |
3 Months Ended | 6 Months Ended | |
|---|---|---|---|
|
Jun. 28, 2020
USD ($)
Case
|
Dec. 31, 2014
USD ($)
|
Jun. 28, 2020
USD ($)
Case
|
|
| Silica Cases [Member] | |||
| Contingencies [Abstract] | |||
| Number of pending cases | 3 | 3 | |
| Cumulative number of cases dismissed | 1,493 | 1,493 | |
| Number of cases dismissed | 0 | ||
| Number of lawsuits settled | 1 | ||
| Asbestos Cases [Member] | |||
| Contingencies [Abstract] | |||
| Number of pending cases | 176 | 176 | |
| Cumulative number of cases dismissed | 83 | 83 | |
| Number of new cases filed | 46 | ||
| Number of cases dismissed | 5 | ||
| Number of lawsuits settled | 0 | ||
| Non-AMCOL Asbestos Cases [Member] | |||
| Contingencies [Abstract] | |||
| Number of cases subject to indemnification | 136 | 136 | |
| Number of remaining cases subject to indemnity until dates of exposure | 33 | 33 | |
| Number of remaining cases | 38 | 38 | |
| Number of remaining cases alleging exposure occurred after initial public offering | 5 | 5 | |
| AMCOL Asbestos Cases [Member] | |||
| Contingencies [Abstract] | |||
| Number of remaining cases with no available indemnity | 2 | 2 | |
| Bankruptcy Estate of Novinda [Member] | |||
| Contingencies [Abstract] | |||
| Damages, interest and costs awarded to Novinda in arbitration | $ | $ 8.0 | ||
| Total litigation expenses | $ | 11.8 | $ 11.8 | |
| Litigation expense | $ | 0.9 | ||
| Canaan, Connecticut Plant [Member] | |||
| Site Contingency [Abstract] | |||
| Consent decree paid by US government | $ | $ 2.3 | ||
| Accrued remediation costs | $ | 0.4 | 0.4 | |
| Adams, Massachusetts Plant [Member] | |||
| Site Contingency [Abstract] | |||
| Accrued remediation costs | $ | 0.4 | 0.4 | |
| Adams, Massachusetts Plant [Member] | Minimum [Member] | |||
| Site Contingency [Abstract] | |||
| Estimated cost of wastewater treatment upgrades | $ | 6.0 | 6.0 | |
| Adams, Massachusetts Plant [Member] | Maximum [Member] | |||
| Site Contingency [Abstract] | |||
| Estimated cost of wastewater treatment upgrades | $ | $ 8.0 | $ 8.0 | |
Segment and Related Information, Segment Information (Details) $ in Millions |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
|
Jun. 28, 2020
USD ($)
|
Jun. 30, 2019
USD ($)
|
Jun. 28, 2020
USD ($)
Segment
|
Jun. 30, 2019
USD ($)
|
|
| Segment Reporting Information [Abstract] | ||||
| Number of reportable segments | Segment | 4 | |||
| Net sales | $ 357.2 | $ 463.8 | $ 774.7 | $ 901.5 |
| Income from operations | 27.2 | 45.5 | 84.9 | 107.5 |
| Performance Materials [Member] | ||||
| Segment Reporting Information [Abstract] | ||||
| Net sales | 173.8 | 215.4 | 360.0 | 414.6 |
| Specialty Minerals [Member] | ||||
| Segment Reporting Information [Abstract] | ||||
| Net sales | 109.8 | 145.1 | 246.9 | 289.5 |
| Refractories [Member] | ||||
| Segment Reporting Information [Abstract] | ||||
| Net sales | 55.9 | 77.5 | 124.9 | 151.3 |
| Energy Services [Member] | ||||
| Segment Reporting Information [Abstract] | ||||
| Net sales | 17.7 | 25.8 | 42.9 | 46.1 |
| Reportable Segments [Member] | ||||
| Segment Reporting Information [Abstract] | ||||
| Net sales | 357.2 | 463.8 | 774.7 | 901.5 |
| Income from operations | 37.3 | 48.7 | 96.1 | 111.5 |
| Reportable Segments [Member] | Performance Materials [Member] | ||||
| Segment Reporting Information [Abstract] | ||||
| Net sales | 173.8 | 215.4 | 360.0 | 414.6 |
| Income from operations | 21.0 | 20.7 | 45.1 | 47.0 |
| Reportable Segments [Member] | Specialty Minerals [Member] | ||||
| Segment Reporting Information [Abstract] | ||||
| Net sales | 109.8 | 145.1 | 246.9 | 289.5 |
| Income from operations | 9.0 | 20.0 | 29.3 | 42.0 |
| Reportable Segments [Member] | Refractories [Member] | ||||
| Segment Reporting Information [Abstract] | ||||
| Net sales | 55.9 | 77.5 | 124.9 | 151.3 |
| Income from operations | 5.9 | 7.1 | 17.1 | 19.2 |
| Reportable Segments [Member] | Energy Services [Member] | ||||
| Segment Reporting Information [Abstract] | ||||
| Net sales | 17.7 | 25.8 | 42.9 | 46.1 |
| Income from operations | $ 1.4 | $ 0.9 | $ 4.6 | $ 3.3 |
Segment and Related Information, Reconciliation of Income from Operations (Details) - USD ($) $ in Millions |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Income from Operations before Tax and Equity in Earnings [Abstract] | ||||
| Litigation expenses | $ (8.3) | $ 0.0 | $ (8.9) | $ 0.0 |
| Consolidated income from operations | 27.2 | 45.5 | 84.9 | 107.5 |
| Non-operating deductions, net | (12.6) | (13.3) | (21.3) | (26.1) |
| Income from operations before tax and equity in earnings | 14.6 | 32.2 | 63.6 | 81.4 |
| Reportable Segments [Member] | ||||
| Income from Operations before Tax and Equity in Earnings [Abstract] | ||||
| Consolidated income from operations | 37.3 | 48.7 | 96.1 | 111.5 |
| Unallocated and Other Corporate Expenses [Member] | ||||
| Income from Operations before Tax and Equity in Earnings [Abstract] | ||||
| Consolidated income from operations | $ (1.8) | $ (3.2) | $ (2.3) | $ (4.0) |
Segment and Related Information, Sales By Product Category (Details) - USD ($) $ in Millions |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Revenue from External Customer [Abstract] | ||||
| Net sales | $ 357.2 | $ 463.8 | $ 774.7 | $ 901.5 |
| Performance Materials [Member] | ||||
| Revenue from External Customer [Abstract] | ||||
| Net sales | 173.8 | 215.4 | 360.0 | 414.6 |
| Specialty Minerals [Member] | ||||
| Revenue from External Customer [Abstract] | ||||
| Net sales | 109.8 | 145.1 | 246.9 | 289.5 |
| Refractories [Member] | ||||
| Revenue from External Customer [Abstract] | ||||
| Net sales | 55.9 | 77.5 | 124.9 | 151.3 |
| Energy Services [Member] | ||||
| Revenue from External Customer [Abstract] | ||||
| Net sales | 17.7 | 25.8 | 42.9 | 46.1 |
| Metalcasting [Member] | Performance Materials [Member] | ||||
| Revenue from External Customer [Abstract] | ||||
| Net sales | 52.8 | 75.8 | 114.5 | 149.0 |
| Household, Personal Care & Specialty Products [Member] | Performance Materials [Member] | ||||
| Revenue from External Customer [Abstract] | ||||
| Net sales | 87.9 | 91.5 | 184.1 | 186.3 |
| Environmental Products [Member] | Performance Materials [Member] | ||||
| Revenue from External Customer [Abstract] | ||||
| Net sales | 19.9 | 29.0 | 31.4 | 44.9 |
| Building Materials [Member] | Performance Materials [Member] | ||||
| Revenue from External Customer [Abstract] | ||||
| Net sales | 13.2 | 19.1 | 30.0 | 34.4 |
| Paper PCC [Member] | Specialty Minerals [Member] | ||||
| Revenue from External Customer [Abstract] | ||||
| Net sales | 65.5 | 90.2 | 150.6 | 181.7 |
| Specialty PCC [Member] | Specialty Minerals [Member] | ||||
| Revenue from External Customer [Abstract] | ||||
| Net sales | 14.9 | 17.3 | 32.4 | 35.4 |
| Ground Calcium Carbonate [Member] | Specialty Minerals [Member] | ||||
| Revenue from External Customer [Abstract] | ||||
| Net sales | 20.6 | 24.8 | 43.2 | 47.1 |
| Talc [Member] | Specialty Minerals [Member] | ||||
| Revenue from External Customer [Abstract] | ||||
| Net sales | 8.8 | 12.8 | 20.7 | 25.3 |
| Refractory Products [Member] | Refractories [Member] | ||||
| Revenue from External Customer [Abstract] | ||||
| Net sales | 47.1 | 61.0 | 102.9 | 123.0 |
| Metallurgical Products [Member] | Refractories [Member] | ||||
| Revenue from External Customer [Abstract] | ||||
| Net sales | $ 8.8 | $ 16.5 | $ 22.0 | $ 28.3 |
Subsequent Event (Details) - Subsequent Event [Member] - 5.0% Senior Notes Due 2028 [Member] $ in Millions |
Jun. 30, 2020
USD ($)
|
|---|---|
| Subsequent Event [Abstract] | |
| Face amount | $ 400 |
| Interest rate | 5.00% |
| Guarantee amount | $ 50 |
| Redemption of Notes for Cash Prior to July 1, 2023 [Member] | |
| Subsequent Event [Abstract] | |
| Redemption price percentage | 100.00% |
| Redemption of Notes with Funds from One or More Equity Offerings Prior to July 1, 2023 [Member] | |
| Subsequent Event [Abstract] | |
| Redemption price percentage | 105.00% |
| Percentage of aggregate principal amount that can be redeemed | 40.00% |
| Redemption of Notes if Company Experiences Change of Control [Member] | |
| Subsequent Event [Abstract] | |
| Redemption price percentage | 101.00% |