Annual report pursuant to Section 13 and 15(d)

Consolidated Statements of Operations

v3.19.3.a.u2
Consolidated Statements of Operations - USD ($)
shares in Millions, $ in Millions
12 Months Ended
Dec. 31, 2019
Dec. 31, 2018
Dec. 31, 2017
Income Statement [Abstract]      
Net Sales $ 4,108.4 [1] $ 4,120.9 [1] $ 3,802.2
Cost of Sales 2,987.4 3,073.9 2,853.6
Selling, General and Administrative Expense 509.6 515.2 458.1
Research And Development Expense 121.6 121.5 111.6
Restructuring, Exit and Impairment Charges 18.8 [2] 54.8 [2] 48.6
Operating Earnings 471.0 355.5 330.3
Equity Earnings 7.3 7.7 6.1
Pension Settlement Charge (292.8) [3] 0.0 (96.6)
Other Expense, Net (2.1) (4.3) (3.1)
Earnings Before Interest and Income Taxes 183.4 358.9 236.7
Interest Expense (76.0) (46.0) (26.4)
Interest Income 3.3 2.9 2.6
Transaction Financing Charges 0.0 (5.1) 0.0
Earnings Before Income Taxes 110.7 310.7 212.9
Income Tax Provision 80.3 57.3 111.6
Net Earnings from Continuing Operations 30.4 [4] 253.4 [4] 101.3
Income (Loss) from Discontinued Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest      
(Loss) Earnings from Discontinued Operations, Net of Tax (117.5) [5],[6] 11.9 [6],[7] 45.1
Gain on disposal of discontinued operations, net of tax (43.9) [8] 0.0 0.0
Net (Loss) Earnings from Discontinued Operations, Net of Tax (161.4) 11.9 45.1
Net Earnings (Loss) $ (131.0) $ 265.3 $ 146.4
Basic      
Earnings from Continuing Operations (in Dollars Per Share) $ 0.36 $ 2.89 $ 1.13
Earnings (Loss) from Discontinued Operations (in Dollars Per Share) (1.90) 0.14 0.51
Net Earnings (Loss) (in Dollars per Share) (1.54) 3.03 1.64
Diluted      
Earnings from Continuing Operations (in Dollars per Share) 0.36 2.87 1.12
Earnings (Loss) from Discontinued Operations (in Dollars per Share) (1.89) 0.14 0.50
Net Earnings (Loss) (in Dollars per Share) $ (1.53) $ 3.01 $ 1.62
Weighted Average Shares Used for Computation of:      
Basic Earnings Per Common Share (in Shares) 85.2 87.6 89.4
Diluted Earnings Per Common Share (in Shares) 85.6 88.2 90.1
Cash Dividends Declared Per Common Share (in Dollars per Share) $ 0.87 $ 0.78 $ 0.685
[1] (A) In the second quarter of 2018, the Company announced its intention to wind down Sport Yacht & Yachts (SYY) operations. During the second quarter and the full-year of 2019, SYY had Net sales of $(0.7) million. During the first, second, third and fourth quarters and the full-year of 2018, SYY had Net sales of $15.1 million, $19.9 million, $9.0 million, $5.4 million and $49.4 million, respectively
[2]
(C) Restructuring, exit, integration and impairment charges are discussed in Note 4 – Restructuring, Exit and Impairment Activities.
[3]
(D) Pension settlement charges are discussed in Note 17 – Postretirement Benefits.
[4]
(F) During the first, second, third and fourth quarter and full-year of 2019, Net (loss) earnings from continuing operations includes $5.7 million, $9.0 million, $6.1 million, $8.2 million and $29.0 million, respectively, related to SYY, IT transformation costs, purchase accounting amortization and acquisition-related costs, related to the purchase of Freedom Boat Club and Power Products. Net earnings (loss) from continuing operations also includes $(1.7) million, $1.8 million, $(2.5) million, $(14.8) million and $(17.2) million related to discrete tax items. During the first, second, third and fourth quarter and full-year ended 2018, Net earnings from continuing operations includes $6.4 million, $23.3 million, $25.0 million, $16.9 million and $71.6 million, respectively, related to SYY, purchase accounting amortization and acquisition-related costs. Refer to Note 5 – Acquisitions for further details. Net earnings from continuing operations also includes $6.7 million, $(1.1) million, $(10.7) million, $0.3 million and $(4.8) million related to discrete tax items. In the third and fourth quarter and full-year of 2019, the Company had a loss (gain) of extinguishment of debt, net of tax, of $0.7 million, $(0.1) million and $0.6 million, respectively. In the fourth quarter of 2018, the Company sold its non-controlling interest in a marine joint venture and recorded a gain of $1.8 million, net of tax, within Equity earnings.
[5]
(B) In the first quarter of 2019, the Company re-evaluated the fair value of the Fitness reporting unit and determined the fair value of the business was less than its carrying value. As a result, (Loss) Earnings from discontinued operations, net of tax, includes a $137.2 million ($103.0 million after tax) goodwill impairment charge for the year ended December 31, 2019.
[6] (C) The Company recorded $16.5 million and $19.3 million for the year ended December 31, 2019 and December 31, 2018, respectively, of net costs incurred in connection with the sale of Fitness
[7]
(D) The Company recorded adjustments to certain liabilities that were retained as part of the sale of the bowling businesses. As a result, (Loss) earnings from discontinued operations, net of tax, includes a gain of $3.0 million ($2.2 million after tax) for the year ended December 31, 2018.
[8]
(A) The Loss on disposal of discontinued operations, net of tax for the year ended December 31, 2019 includes a pre-tax loss of $51.3 million and a net tax benefit of $7.4 million.