AXALTA COATING SYSTEMS LTD., 10-Q filed on 10/30/2015
Quarterly Report
Document and Entity Information
9 Months Ended
Sep. 30, 2015
Oct. 27, 2015
Document And Entity Information [Abstract]
 
 
Entity Registrant Name
Axalta Coating Systems Ltd. 
 
Trading Symbol
AXTA 
 
Entity Central Index Key
0001616862 
 
Current Fiscal Year End Date
--12-31 
 
Entity Filer Category
Non-accelerated Filer 
 
Document Type
10-Q 
 
Document Period End Date
Sep. 30, 2015 
 
Document Fiscal Year Focus
2015 
 
Document Fiscal Period Focus (i.e. Q1,Q2,Q3,FY)
Q3 
 
Amendment Flag
false 
 
Entity Common Stock, Shares Outstanding
 
237,844,503 
Condensed Consolidated Statements of Operations (Unaudited) (USD $)
In Millions, except Per Share data, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Income Statement [Abstract]
 
 
 
 
Net sales
$ 1,000.3 
$ 1,108.9 
$ 3,083.6 
$ 3,282.9 
Other revenue
4.8 
6.9 
20.1 
21.6 
Total revenue
1,005.1 
1,115.8 
3,103.7 
3,304.5 
Cost of goods sold
628.6 
728.1 
1,958.1 
2,174.1 
Selling, general and administrative expenses
219.2 
249.4 
677.7 
746.7 
Research and development expenses
13.0 
13.4 
38.7 
36.8 
Amortization of acquired intangibles
20.4 
20.9 
60.5 
63.3 
Income from operations
123.9 
104.0 
368.7 
283.6 
Interest expense, net
50.8 
52.6 
150.0 
166.5 
Other expense, net
18.9 
62.2 
111.4 
65.1 
Income (loss) before income taxes
54.2 
(10.8)
107.3 
52.0 
Provision for income taxes
17.8 
7.5 
48.5 
18.2 
Net income (loss)
36.4 
(18.3)
58.8 
33.8 
Less: Net income attributable to noncontrolling interests
1.3 
1.6 
3.7 
4.2 
Net income (loss) attributable to controlling interests
$ 35.1 
$ (19.9)
$ 55.1 
$ 29.6 
Basic net income (loss) per share (dollars per share)
$ 0.15 
$ (0.09)
$ 0.24 
$ 0.13 
Diluted net income (loss) per share (dollars per share)
$ 0.15 
$ (0.09)
$ 0.23 
$ 0.13 
Basic weighted average shares outstanding
235.9 
229.5 
232.7 
229.2 
Diluted weighted average shares outstanding
240.9 
229.5 
239.1 
229.3 
Condensed Consolidated Balance Sheets (Unaudited) (USD $)
In Millions, unless otherwise specified
Sep. 30, 2015
Dec. 31, 2014
Current assets:
 
 
Cash and cash equivalents
$ 411.6 
$ 382.1 
Restricted cash
2.9 
4.7 
Accounts and notes receivable, net
833.3 
820.4 
Inventories
540.7 
538.3 
Prepaid expenses and other
75.8 
62.9 
Deferred income taxes
50.9 
64.5 
Total current assets
1,915.2 
1,872.9 
Property, plant and equipment, net
1,374.6 
1,514.1 
Goodwill
944.5 
1,001.1 
Identifiable intangibles, net
1,214.4 
1,300.0 
Other assets
450.2 
482.6 
Total assets
5,898.9 
6,170.7 
Current liabilities:
 
 
Accounts payable
443.9 
494.5 
Current portion of borrowings
48.8 
40.1 
Deferred income taxes
6.7 
7.3 
Other accrued liabilities
330.5 
404.8 
Total current liabilities
829.9 
946.7 
Long-term borrowings
3,504.7 
3,574.2 
Accrued pensions and other long-term employee benefits
265.7 
306.4 
Deferred income taxes
167.9 
208.2 
Other liabilities
26.4 
23.2 
Total liabilities
4,794.6 
5,058.7 
Commitments and contingencies
   
   
Shareholders’ equity
 
 
Common shares, $1.00 par, 1,000.0 shares authorized, 237.6 and 229.8 shares issued and outstanding at September 30, 2015 and December 31, 2014, respectively
236.6 
229.8 
Capital in excess of par
1,226.4 
1,144.7 
Accumulated deficit
(171.4)
(226.5)
Accumulated other comprehensive loss
(255.9)
(103.3)
Total Axalta shareholders’ equity
1,035.7 
1,044.7 
Noncontrolling interests
68.6 
67.3 
Total shareholders’ equity
1,104.3 
1,112.0 
Total liabilities and shareholders’ equity
$ 5,898.9 
$ 6,170.7 
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) (USD $)
Sep. 30, 2015
Dec. 31, 2014
Statement of Financial Position [Abstract]
 
 
Common stock, par value (in dollars per share)
$ 1.00 
$ 1.00 
Common shares, shares authorized
1,000,000,000.0 
1,000,000,000.0 
Common shares, shares issued
237,600,000 
229,800,000 
Common shares, shares outstanding
237,600,000 
229,800,000 
Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Statement of Comprehensive Income [Abstract]
 
 
 
 
Net income
$ 36.4 
$ (18.3)
$ 58.8 
$ 33.8 
Other comprehensive income (loss), before tax:
 
 
 
 
Foreign currency translation adjustments
(64.4)
(27.3)
(146.7)
(38.3)
Unrealized gain (loss) on securities
(0.4)
0 
0 
0.8 
Unrealized gain (loss) on derivatives
(3.5)
4.0 
(8.0)
(1.0)
Unrealized gain (loss) on pension and other benefit plan obligations
(0.8)
(3.0)
(4.8)
1.8 
Other comprehensive loss, before tax
(69.1)
(26.3)
(159.5)
(36.7)
Income tax benefit (provision) related to items of other comprehensive income
1.2 
(0.7)
4.6 
0.3 
Other comprehensive loss, net of tax
(67.9)
(27.0)
(154.9)
(36.4)
Comprehensive loss
(31.5)
(45.3)
(96.1)
(2.6)
Less: Comprehensive income (loss) attributable to noncontrolling interests
(0.8)
1.6 
1.4 
2.0 
Comprehensive loss attributable to controlling interests
$ (30.7)
$ (46.9)
$ (97.5)
$ (4.6)
Condensed Consolidated Statements of Cash Flows (Unaudited) (USD $)
In Millions, unless otherwise specified
9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Operating activities:
 
 
Net income
$ 58.8 
$ 33.8 
Adjustment to reconcile net income to cash provided by operating activities:
 
 
Depreciation and amortization
225.5 
229.1 
Amortization of financing costs and original issue discount
15.5 
15.7 
Loss on extinguishment and modification of debt
0 
6.1 
Deferred income taxes
(1.1)
(15.9)
Unrealized losses on derivatives
2.5 
3.1 
Realized and unrealized foreign exchange losses, net
90.2 
46.7 
Stock-based compensation
22.1 
6.1 
Asset impairment
30.6 
0 
Other non-cash, net
2.7 
(26.0)
Decrease (increase) in operating assets and liabilities:
 
 
Trade accounts and notes receivable
(111.6)
(109.7)
Inventories
(44.7)
(50.6)
Prepaid expenses and other assets
(57.3)
(47.7)
Accounts payable
(10.1)
52.4 
Other accrued liabilities
(41.5)
(74.2)
Other liabilities
(17.8)
(9.5)
Cash provided by operating activities
163.8 
59.4 
Investing activities:
 
 
Business acquisitions and purchases of controlling interests in affiliates (net of cash acquired)
(19.9)
0 
Purchase of property, plant and equipment
(93.8)
(155.6)
Restricted cash
1.7 
(4.3)
Proceeds (purchases) of interest in affiliates, net
0.7 
(6.5)
Proceeds from sale of assets
0.5 
17.6 
Other investing activities
(0.3)
(0.2)
Cash used for investing activities
(111.1)
(149.0)
Financing activities:
 
 
Proceeds from short-term borrowings
3.0 
23.7 
Payments on short-term borrowings
(15.6)
(30.9)
Payments on long-term debt
(20.5)
(114.1)
Dividends paid to noncontrolling interests
(4.4)
(1.6)
Debt modification fees
0 
(3.0)
Equity contribution
0 
2.5 
Proceeds from option exercises
60.4 
2.9 
Tax windfall due to option exercises
7.4 
0 
Other financing activities
(0.2)
0 
Cash provided by (used for) financing activities
30.1 
(120.5)
Increase (decrease) in cash and cash equivalents
82.8 
(210.1)
Effect of exchange rate changes on cash
(53.3)
(15.9)
Cash and cash equivalents at beginning of period
382.1 
459.3 
Cash and cash equivalents at end of period
$ 411.6 
$ 233.3 
Basis of Presentation of the Condensed Consolidated Financial Statements
Basis of Presentation of the Condensed Consolidated Financial Statements
BASIS OF PRESENTATION OF THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
The interim condensed consolidated financial statements included herein are unaudited. In the opinion of management, these statements include all adjustments, consisting only of normal, recurring adjustments, necessary for a fair statement of the financial position of Axalta Coating Systems Ltd., a Bermuda exempted company limited by shares, and its consolidated subsidiaries ("Axalta," the "Company," "we," "our" and "us") at September 30, 2015 and December 31, 2014, the results of operations and comprehensive income (loss) for the three and nine months ended September 30, 2015 and 2014, and their cash flows for the nine months then ended. All intercompany balances and transactions have been eliminated. These interim unaudited condensed consolidated financial statements should be read in conjunction with the consolidated and combined financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014. The year-end condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States of America.
The accompanying financial statements include the interim unaudited condensed consolidated balance sheets of Axalta at September 30, 2015 and December 31, 2014, the related interim unaudited condensed consolidated statements of operations and statements of comprehensive income (loss) for the three and nine months ended September 30, 2015 and 2014 and of cash flows for the nine months ended September 30, 2015 and 2014. The interim unaudited condensed consolidated financial statements include the accounts of Axalta and its subsidiaries, and entities in which a controlling interest is maintained. Certain of our joint ventures are accounted for on a one-month lag basis, the effect of which is not material.
The results of operations for the three and nine months ended September 30, 2015 are not necessarily indicative of the results to be expected for a full year.
The acquisition ("Acquisition") by Axalta and certain of its indirect subsidiaries of all the capital stock, other equity interests and assets of certain entities which, together with their subsidiaries, comprised the assets and legal entities, which together with their subsidiaries, comprised the DuPont Performance Coatings business ("DPC"), which was formerly owned by E. I. du Pont de Nemours and Company ("DuPont"), closed on February 1, 2013.
In November 2014, we priced our initial public offering (the "Offering", or the "IPO") in which certain selling shareholders affiliated with Carlyle Group L.P. and its affiliates ("Carlyle") sold 57,500,000 common shares at a price of $19.50 per share.
In April 2015, we completed a secondary offering (the "Secondary Offering") in which Carlyle sold an aggregate of 46,000,000 common shares at a price of $28.00 per share. In addition, Carlyle sold 20,000,000 common shares in a private placement to an affiliate of Berkshire Hathaway Inc. (together with the Secondary Offering, the "April 2015 Secondary Offerings") for $28.00 per share. Following these sales, Carlyle ceased to control a majority of our common shares.
In August 2015, we completed a secondary offering (together with the IPO and the April 2015 Secondary Offerings, the "Carlyle Offerings") in which Carlyle sold an aggregate of 34,500,000 common shares at a public offering price of $29.75 per share.
We did not receive any proceeds from the sale of common shares in any of the Carlyle Offerings.
Recent Accounting Guidance
Recent Accounting Guidance
RECENT ACCOUNTING GUIDANCE
Recently Adopted Accounting Guidance
In April 2015, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2015-03, "Simplifying the Presentation of Debt Issuance Costs," which requires debt issuance costs to be presented in the balance sheet as a direct deduction from the associated debt liability. The standard is effective for financial statements issued for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years, and should be applied on a retrospective basis. Further clarifying this standard, ASU 2015-15, "Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements" was released in August 2015 indicating that the SEC staff would not object to an entity deferring and presenting costs related to revolving debt arrangements as an asset. We elected to early adopt this standard during the current year, resulting in impacts to the balance sheets at September 30, 2015 and December 31, 2014 of decreases to Other assets and Long-term borrowings of $71.3 million and $82.1 million, respectively.
Accounting Guidance Issued But Not Yet Adopted
In July 2015, FASB issued ASU 2015-11 (Accounting Standard Codification 330), "Simplifying the Measurement of Inventory," which sets forth guidance that inventory should be valued at the lower of cost or net realizable value rather than the lower of cost or market. The amendments in this update are effective for fiscal years beginning after December 15, 2016. Adoption of this ASU will not have a material impact to our consolidated financial statements.
In February 2015, the FASB issued ASU 2015-02 (Accounting Standard Codification 810), "Consolidation," which sets forth guidance on accounting for consolidation of certain legal entities. This ASU is effective for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. Although early adoption is permitted, we are still in the process of assessing the impact the adoption of this ASU will have on our statements of financial position, results of operations and cash flows.
In May 2014, the FASB issued ASU 2014-09 (Accounting Standard Codification 606), "Revenue from Contracts with Customers," which sets forth the guidance that an entity should use related to revenue recognition. This ASU was originally effective for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. In August 2015, the FASB issued ASU 2015-14, "Revenue from Contracts with Customers: Deferral of the Effective Date," which delayed the effective date of the new revenue accounting standard to fiscal years beginning after December 15, 2017. Companies will be allowed to early adopt the guidance as of the original effective date. Early adoption is not permitted prior to this date. We are in the process of assessing the impact the adoption of this ASU will have on our statements of financial position, results of operations and cash flows.
Goodwill and Identifiable Intangible Assets
Goodwill and Identifiable Intangible Assets
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS
Goodwill
The following table shows changes in the carrying amount of goodwill from December 31, 2014 to September 30, 2015 by reportable segment:
 
Performance
Coatings
Transportation
Coatings
Total
December 31, 2014
$
933.6

$
67.5

$
1,001.1

Goodwill from acquisitions
17.1

0.7

17.8

Foreign currency translation
(69.4
)
(5.0
)
(74.4
)
September 30, 2015
$
881.3

$
63.2

$
944.5


In March 2015, we purchased an additional 25% interest in a previously held equity method investment. See Note 9 for additional information. In July 2015, we purchased all of the outstanding capital stock of a coatings distribution business with operations in the Netherlands and Belgium. These acquisitions were not material, individually or in the aggregate, to our condensed consolidated financial statements.
Identifiable Intangible Assets
The following table summarizes the gross carrying amounts and accumulated amortization of identifiable intangible assets by major class:
September 30, 2015
Gross Carrying
Amount
Accumulated
Amortization
Net Book
Value
Weighted average
amortization periods (years)
Technology
$
412.5

$
(107.0
)
$
305.5

10.0
Trademarks - indefinite-lived
284.4

—

284.4

Indefinite
Trademarks - definite-lived
44.8

(7.7
)
37.1

14.7
Customer relationships
680.2

(93.6
)
586.6

19.3
Non-compete agreements
1.9

(1.1
)
0.8

4.6
Total
$
1,423.8

$
(209.4
)
$
1,214.4

 
December 31, 2014
Gross Carrying
Amount
Accumulated
Amortization
Net Book
Value
Weighted average
amortization periods (years)
Technology
$
411.8

$
(76.3
)
$
335.5

10.0
Trademarks—indefinite-lived
284.4

—

284.4

 Indefinite
Trademarks—definite-lived
41.8

(5.5
)
36.3

14.8
Customer relationships
713.9

(71.3
)
642.6

19.4
Non-compete agreements
2.0

(0.8
)
1.2

4.6
Total
$
1,453.9

$
(153.9
)
$
1,300.0

 

For the three and nine months ended September 30, 2015, amortization expense for acquired intangibles was $20.4 million and $60.5 million, respectively. For the three and nine months ended September 30, 2014, amortization expense for acquired intangibles was $20.9 million and $63.3 million, respectively.
The estimated amortization expense related to the fair value of acquired intangible assets for the remainder of 2015 and each of the succeeding four years is:
Remainder of 2015
$
20.0

2016
$
80.1

2017
$
79.8

2018
$
79.7

2019
$
79.7

Restructuring
Restructuring
RESTRUCTURING
In accordance with the applicable guidance for Nonretirement Postemployment Benefits, we accounted for termination benefits and recognized liabilities when the loss was considered probable that employees were entitled to benefits and the amounts could be reasonably estimated.
We have incurred costs associated with involuntary termination benefits associated with our corporate-related initiatives, including our transition to a standalone entity and cost-saving opportunities associated with our Fit For Growth and Axalta Way initiatives. During the three and nine months ended September 30, 2015, we recognized a benefit resulting from a change in estimate of $0.7 million and costs of $16.0 million, respectively. During the three and nine months ended September 30, 2014, we incurred restructuring costs of $0.9 million and $2.3 million, respectively. These amounts are recorded within selling, general and administrative expenses in the statements of operations. The payments associated with these actions are expected to be completed within 12 months from the balance sheet date.
The following table summarizes the activities related to the restructuring reserves and expenses from December 31, 2014 to September 30, 2015:
Restructuring Rollforward
2015 Activity
Balance at December 31, 2014
$
48.5

Expense Recorded
16.0

Payments Made
(28.7
)
Foreign Currency Changes
(4.8
)
Balance at September 30, 2015
$
31.0

Commitments and Contingencies
Commitments and Contingencies
COMMITMENTS AND CONTINGENCIES
Guarantees
We directly guarantee certain obligations under agreements with third parties. At September 30, 2015 and December 31, 2014, we directly guaranteed $1.9 million and $2.2 million of such obligations, respectively. These guarantees represent the maximum potential amount of future (undiscounted) payments that we could be required to make under the guarantees in the event of default by the guaranteed parties. No amounts were accrued at September 30, 2015 and December 31, 2014.
Other
We are subject to various pending lawsuits and other claims including civil, regulatory, and environmental matters. Certain of these lawsuits and other claims may have an impact on us. These litigation matters may involve indemnification obligations by third parties and/or insurance coverage covering all or part of any potential damage awards against DuPont and/or us. All of the above matters are subject to many uncertainties and, accordingly, we cannot determine the ultimate outcome of the lawsuits at this time.
The potential effects, if any, on the unaudited condensed consolidated financial statements of Axalta will be recorded in the period in which these matters are probable and estimable, and such effects could be material.
In addition to the aforementioned matters, we are party to various legal proceedings in the ordinary course of business. Although the ultimate resolution of these various proceedings cannot be determined at this time, management does not believe that such proceedings, individually or in the aggregate, will have a material adverse effect on the unaudited condensed consolidated financial statements of Axalta.
Long-term Employee Benefits
Long-term Employee Benefits
LONG-TERM EMPLOYEE BENEFITS
Components of Net Periodic Benefit Cost
The following table sets forth the components of net periodic benefit (gain) cost for the three and nine months ended September 30, 2015 and 2014:
 
Pension Benefits
 
Three Months Ended September 30,
Nine Months Ended September 30,
 
2015
2014
2015
2014
Components of net periodic benefit (gain) cost:
 
 
 
 
Net periodic benefit (gain) cost:
 
 
 
 
Service cost
$
2.7

$
3.8

$
9.1

$
12.3

Interest cost
3.9

6.1

13.1

18.0

Expected return on plan assets
(3.7
)
(3.9
)
(11.0
)
(11.3
)
Amortization of actuarial (gain) loss, net
0.2

—

0.7

(0.2
)
Amortization of prior service credit, net
—

—

(0.1
)
—

Curtailment gain
—

(6.6
)
—

(6.6
)
Net periodic benefit (gain) cost
$
3.1

$
(0.6
)
$
11.8

$
12.2

 
 
Other Long-Term Employee Benefits
 
Three Months Ended September 30,
Nine Months Ended September 30,
 
2015
2014
2015
2014
Components of net periodic benefit gain:
 
 
 
 
Net periodic benefit gain:
 
 
 
 
Service cost
$
—

$
—

$
—

$
0.1

Interest cost
—

0.1

—

0.1

Amortization of prior service credit
(0.9
)
(0.4
)
(2.8
)
(0.3
)
Net periodic benefit gain
$
(0.9
)
$
(0.3
)
$
(2.8
)
$
(0.1
)

Significant Events
During the three and nine months ended September 30, 2014, we recorded a curtailment gain of $6.6 million within selling, general and administrative expenses due to an amendment to one of our pension plans. In addition, amendments to our long-term employee benefit plans resulted in increases to accumulated other comprehensive income of $5.7 million and $11.3 million, for the three and nine months ended September 30, 2014, respectively. These amounts will be recognized in earnings over the remaining future service periods of active participants.
Stock-based Compensation
Stock-based Compensation
STOCK-BASED COMPENSATION
During the three and nine months ended September 30, 2015, we recognized $7.9 million and $22.1 million, respectively, in stock-based compensation expense. Included in the $22.1 million of stock compensation expense recorded during the nine months ended September 30, 2015 was $8.2 million of stock-based compensation expense attributable to the accelerated vesting of all issued and outstanding stock options issued under the Axalta Coating Systems Bermuda Co., Ltd. 2013 Equity Incentive Plan (the "2013 Plan"), as a result of the April 2015 Secondary Offerings which reduced Carlyle's interest in Axalta to below 50%, triggering a liquidity event (the "Liquidity Event") as defined in the 2013 Plan.
We recognized a tax benefit on stock-based compensation of $2.8 million and $6.6 million for the three and nine months ended September 30, 2015, respectively.
During the three and nine months ended September 30, 2014, we recognized $2.3 million and $6.1 million, respectively, in stock-based compensation expense. We recognized a tax benefit of $0.9 million and $2.2 million for the three and nine months ended September 30, 2014, respectively.
Stock-based compensation expense is primarily allocated to cost of goods sold and selling, general and administrative expenses on the condensed consolidated statements of operations.
Description of Equity Incentive Plans
In 2013, Axalta’s Board of Directors approved the 2013 Plan which reserved an aggregate of 19,839,143 common shares of the Company for issuance to employees, directors and consultants. The 2013 Plan provided for the issuance of stock options, restricted stock or other stock-based awards. No further awards may be granted pursuant to the 2013 Plan.
In 2014, Axalta's Board of Directors approved the Axalta Coating Systems Ltd. 2014 Incentive Award Plan (the "2014 Plan") which reserved an aggregate 11,830,000 common shares of the Company for issuance to employees, directors and consultants. The 2014 Plan provides for the issuance of stock options, restricted stock and other stock-based awards. All awards granted pursuant to the 2014 Plan must be authorized by the Board of Directors of Axalta or a designated committee thereof. Our Board of Directors has generally delegated responsibility for administering the 2014 Plan to our Compensation Committee.
The terms of the awards may vary with each grant and are determined by the Compensation Committee within the guidelines of the 2013 and 2014 Plans. Options granted under the 2013 Plan in 2013 and 2014 were assigned a 4.4 to 5 year vesting period; however, vesting was accelerated as a result of the Liquidity Event. In 2013, we granted approximately 16.3 million non-qualified, service-based stock options to certain employees and directors under the 2013 Plan, with strike prices of $5.92, $8.88 and $11.84 per share. During 2014, we granted approximately 1.6 million non-qualified, service-based stock options to certain employees and directors under the 2013 Plan with strike prices of $5.92, $7.21, $8.88 and $11.84 per share.
In 2015, we have granted 1.2 million non-qualified, service-based stock options to certain employees and directors under the 2014 Plan with strike prices between $25.34 and $34.80 per share. Options granted vest ratably over three years and have a life of no more than ten years. We also granted 0.9 million shares of restricted stock awards and 0.7 million restricted stock units at fair values between $25.34 and $34.80.
Stock Options
The Black-Scholes option pricing model is used to estimate fair values of the options as of the date of the grant. The weighted average fair value of options granted in 2015, 2014 and 2013 was $8.20, $1.92 and $1.38 per share, respectively. Principal weighted average assumptions used in applying the Black-Scholes model were as follows:
 
2015 Grants
2014 Grants
2013 Grants
Expected Term
6.00 years

7.81 years

7.81 years

Volatility
22.22
%
28.28
%
28.61
%
Dividend Yield
—

—

—

Discount Rate
1.79
%
2.21
%
2.13
%

For the 2015 grants, the market value of the stock is the closing price of the stock on the date of grant. The market value of the stock for the 2014 grants was estimated using a contemporaneous valuation consistent with the American Institute of Certified Public Accountants Practice Aid, "Valuation of Privately Held Company Equity Securities Issued as Compensation." For the 2013 grants, the market value of the stock was based upon the Acquisition transaction since our common shares were not publicly traded at the time of grant and there had been no significant changes in operations since the closing date of the transaction.
To estimate the expected stock option term for the $5.92 per share and $7.21 per share tranches of stock options referred to above, we used the simplified method as the options were granted at fair value and we, as a privately held company at the grant dates, had no exercise history. Based upon this simplified method, the $5.92 per share and $7.21 per share stock options had an expected term of 6.5 years. The strike price for the $8.88 per share and $11.84 per share tranches of options exceeded fair value at the grant date which required the use of an estimate of an implicitly longer holding period, resulting in the term of 8.25 years.
The expected term assumptions used for the 2015 grants were also determined using the simplified method and resulted in an expected term of 6.0 years.
We do not anticipate paying cash dividends in the foreseeable future and, therefore, use an expected dividend yield of zero. Volatility for option grants is based upon our peer group due to the limited trading history of our common shares in public markets. The discount rate was derived from the U.S. Treasury yield curve.
The exercise price and market value per share amounts presented above were as of the date the stock options were granted.
A summary of stock option award activity as of and for the nine months ended September 30, 2015, is presented below:
 
Awards/Units (millions)
Weighted-
Average
Exercise
Price
Aggregate
Intrinsic
Value
 (millions)
Weighted
Average
Remaining
Contractual
Life (years)
Outstanding at January 1, 2015
17.1

$
9.38

 
 
Granted
1.2

$
31.45

 
 
Exercised
(7.0
)
$
8.91

 
 
Forfeited
—

$
—

 
 
Outstanding at September 30, 2015
11.3

$
12.01

 
 
Vested and expected to vest at September 30, 2015
11.3

$
12.01

$
158.5

8.05
Exercisable at September 30, 2015
10.1

$
9.70

$
158.2

7.86

Cash received by the company upon the exercise of options for the nine months ended September 30, 2015 was $60.4 million. The expected tax benefits related to the exercises during the three and nine months ended September 30, 2015 are $15.1 million and $54.9 million, respectively. The Company may settle option exercises by issuing new shares, treasury shares or shares purchased on the open market.
Compensation cost is recorded net of forfeitures. The forfeiture rate assumption is the estimated annual rate at which unvested awards are expected to be forfeited during the vesting period. Periodically, management will assess whether it is necessary to adjust the estimated rate to reflect changes in actual forfeitures or changes in expectations. At September 30, 2015, the Company has estimated its annual forfeiture rate at 0% due to its limited history and expectations of forfeitures.
At September 30, 2015, there was $7.5 million of unrecognized compensation cost relating to outstanding unvested stock options expected to be recognized over the weighted average period of 2.6 years. Compensation expense is recognized for the fair values of the stock options over the requisite service period of the awards using the graded-vesting attribution method.
Restricted Stock Awards and Restricted Stock Units
During the nine months ended September 30, 2015, we issued 1.7 million shares of restricted stock awards and restricted stock units with an average grant price of $32.29 per share. A portion of these awards vest ratably over three years. Other awards granted to certain members of management cliff vest over two and three year periods.
A summary of restricted stock and restricted stock unit award activity as of September 30, 2015 is presented below:
 
Awards
(millions)
Weighted-Average
Fair Value
Outstanding at January 1, 2015
—

$
—

Granted
1.7

$
32.29

Vested
—

$
—

Forfeited
—

$
—

Outstanding at September 30, 2015
1.7

$
32.29


Compensation cost is recorded net of forfeitures. The forfeiture rate assumption is the estimated annual rate at which unvested awards are expected to be forfeited during the vesting period. Periodically, management will assess whether it is necessary to adjust the estimated rate to reflect changes in actual forfeitures or changes in expectations. At September 30, 2015, the Company has estimated its annual forfeiture rate at 0% due to its limited history and expectations of forfeitures.
At September 30, 2015, there was $43.8 million of unamortized expense relating to unvested restricted stock and restricted stock units that is expected to be amortized over a weighted average period of 2.6 years. Compensation expense is recognized for the fair values of the awards over the requisite service period of the awards using the graded-vesting attribution method.
Related Party Transactions
Related Party Transactions
RELATED PARTY TRANSACTIONS
Carlyle Group L.P. and its affiliates
We entered into a consulting agreement with Carlyle Investment Management L.L.C. ("Carlyle Investment"), an affiliate of Carlyle, pursuant to which Carlyle Investment provides certain consulting services to Axalta. Under this agreement, subject to certain conditions, we were required to pay an annual consulting fee to Carlyle Investment of $3.0 million payable in equal quarterly installments and reimburse Carlyle Investment for out-pocket expenses incurred in providing the consulting services. During the three and nine months ended September 30, 2014, we recorded expense of $0.8 million and $2.4 million, respectively, related to this consulting agreement. During the three and nine months ended September 30, 2015, we recorded no expense as a result of the termination of the consulting agreement upon completion of the IPO in November 2014.
Service King Collision Repair
Service King Collision Repair, a portfolio company of Carlyle, has purchased products from our distributors in the past and may continue to do so in the future. During the three months ended September 30, 2014, Carlyle sold their majority interest in Service King Collision Repair, thus making the entity no longer a related party. Related party sales prior to this transaction were $4.0 million for the nine months ended September 30, 2014.
Other (Income) Expense, Net
Other (Income) Expense, Net
OTHER EXPENSE, NET
 
Three Months Ended September 30,
Nine Months Ended September 30,
 
2015
2014
2015
2014
Exchange losses, net
$
23.7

$
59.6

$
90.2

$
45.1

Management fees and expenses
—

0.8

—

2.4

Impairment of real estate investment
—

—

30.6

—

Other miscellaneous
(4.8
)
1.8

(9.4
)
17.6

Total
$
18.9

$
62.2

$
111.4

$
65.1


Our net exchange losses for the three and nine months ended September 30, 2015 and 2014 consist primarily of exchange remeasurement gains and losses related to intercompany transactions denominated in currencies different from the functional currency of the relevant subsidiary. These remeasurements of the intercompany transactions were partially offset by the remeasurement of our Euro borrowings. Net exchange losses also include the impacts of remeasurement losses related to the remeasurement of the net monetary assets of our Venezuelan subsidiary at June 30, 2015, as discussed in further detail below.
Other miscellaneous expense included a gain for the nine months ended September 30, 2015 resulting from the acquisition of an additional 25% interest in an equity method investee for a purchase price of $4.3 million. As a result of the acquisition, we obtained a controlling interest and recognized a gain of $5.4 million on the remeasurement of our previously held equity interest as of the acquisition date. Other miscellaneous expense included a loss of $12.3 million for the nine months ended September 30, 2014 resulting from the release of an indemnity receivable, which had been recorded in conjunction with our indemnity provisions from the Acquisition. There were also debt related costs recognized for $3.0 million and $6.1 million during the three and nine months ended September 30, 2014, respectively, included in other miscellaneous expense.
Venezuela Devaluation
Based on our participation in Venezuela’s Complementary System of Foreign Currency Administration (SICAD I) auction process during the year ended December 31, 2014, we changed the exchange rate we used to remeasure our Venezuelan subsidiary’s bolivar denominated monetary assets and liabilities into U.S. dollars to an exchange rate of 12.0 Venezuelan bolivars to 1.0 U.S. dollar at December 31, 2014 from the Official Rate of 6.3 Venezuelan bolivars to 1.0 U.S. dollar. We determined that the exchange rate of 12.0 Venezuelan bolivars to 1.0 U.S. dollar remained the most appropriate rate at March 31, 2015 given that we believed the monetary assets of our Venezuelan subsidiary would be realized through a dividend utilizing the SICAD I auction process.
In February 2015, the Venezuelan government enacted additional changes to its foreign exchange regime. The changes maintain a three-tiered system, including the Official Rate determined by CENCOEX, which remains at 6.3 Venezuelan bolivars to 1.0 U.S. dollar, and the SICAD I rate which remained at 12.0 Venezuelan bolivars to 1.0 U.S. dollar. There was a third market, SICAD II, which has since been eliminated and replaced by a new, alternative currency market, the Marginal Foreign Exchange System ("SIMADI").
SIMADI is intended to provide limited access to a free market rate of exchange. The only way to obtain U.S. dollars through SIMADI is through the supply and demand available within the Venezuelan financial institutions. We believe that significant uncertainty still exists regarding the exchange mechanisms in Venezuela, including how any such mechanisms will operate in the future and the availability of U.S. dollars under each mechanism, including SIMADI. At June 30, 2015, we changed the exchange rate we used to remeasure our Venezuelan bolivars to the SIMADI rate of 197.7 Venezuelan bolivars to 1.0 U.S. dollar. We believed it was appropriate to move from using the SICAD I rate to using the SIMADI floating rate at this date based on the culmination of relevant facts and circumstances, including our expectation that future dividend remittances would be made at this rate. As of September 30, 2015, we continue to believe that SIMADI is the appropriate rate to use in the remeasurement of the monetary assets and liabilities our Venezuelan subsidiary.
In applying the September 30, 2015 SIMADI exchange rate of 198.5 Venezuelan bolivars to 1.0 U.S. dollar to the bolivar denominated monetary assets and liabilities of our Venezuelan subsidiary, we recorded exchange gains of $0.6 million and exchange losses of $52.6 million for the three and nine months ended September 30, 2015, respectively.
Venezuela Financial Results
As a result of moving from SICAD I to SIMADI at June 30, 2015 and the associated devaluation of our translation rates, we concluded an impairment indicator existed. In conjunction with the devaluation, we evaluated the carrying value of the long-lived assets of our Venezuelan subsidiary for impairment at June 30, 2015, including $19.7 million of our property plant and equipment, $58.7 million of definite-lived intangibles and $52.6 million of a real estate investment. Based on an analysis of estimated undiscounted future cash flows expected to result from the use of our productive long-lived assets with finite lives, we determined that their carrying values were recoverable at June 30, 2015 based on continued demand and price assumptions of our local operations. The price assumptions include anticipated increases in prices to recover increases in our cost of goods sold as a result of our change to the SIMADI exchange rate at June 30, 2015. These price increases are expected to continue and are intended to allow us to keep pace with the changes in exchange rates and inflation. We believe these price increases are feasible given our market share, customer base and historical success of implementing price increases in similar situations in the past. If our assumptions regarding continued demand and our ability to successfully implement and sustain price increases are inaccurate, there is risk that our productive long-lived assets may be impaired and there would be an unfavorable impact to our results of operations. At September 30, 2015, we believe that the demand and price assumptions used at June 30, 2015 continue to be reasonable and support our previous conclusions.
At June 30, 2015, we separately evaluated the carrying value of our real estate investment as it is not part of our core operational activities. Based on this evaluation, we concluded that the carrying value of the real estate investment of $52.6 million was no longer recoverable as a result of the current real estate market prices and movement of our translation rate from 12.0 Venezuelan bolivars to 1.0 U.S. dollar to 197.7 Venezuelan bolivars to 1.0 U.S. dollar. We recorded an impairment to write down the carrying value of the asset to its fair value of $22.0 million, which is recorded within other assets. The impairment of $30.6 million was recorded within other expense, net for the nine months ended September 30, 2015. The method used to determine fair value of the real estate investment included using Level 2 inputs in the form of observable market quotes from local real estate broker service firms. At September 30, 2015, no triggering events were identified which resulted in a formal assessment of the fair value of our real estate investment.
At September 30, 2015 and December 31, 2014, our Venezuelan subsidiary had total assets of $140.3 million and $197.8 million, respectively, and total liabilities of $34.0 million and $57.0 million, respectively. At September 30, 2015 and December 31, 2014, total non-monetary assets, net, were $117.6 million and $149.6 million, respectively. For the nine months ended September 30, 2015, our Venezuelan operations represented $110.8 million of the Company's consolidated net sales.
Income Taxes
Income Taxes
INCOME TAXES
Our effective income tax rates for the nine months ended September 30, 2015 and 2014 are as follows:
 
Nine Months Ended September 30,
 
2015
2014
Effective Tax Rate
45.2
%
35.0
%

The higher effective tax rate for the nine months ended September 30, 2015 was primarily due to the impact of currency exchange gains and losses, as well as the unfavorable tax impact associated with the non-deductible $30.6 million pre-tax impairment charge recorded in Venezuela. In addition, the company recorded $5.0 million in tax benefits during the three months ended September 30, 2015 which related to prior periods.  The Company concluded the error was not material to the current or previously reported periods.
Earnings (Loss) Per Common Share
Earnings (Loss) Per Common Share
EARNINGS (LOSS) PER COMMON SHARE
Basic earnings (loss) per common share excludes the dilutive impact of potentially dilutive securities and is computed by dividing net income by the weighted average number of common shares outstanding for the period. Diluted net income (loss) per common share includes the effect of potential dilution from the exercise of outstanding stock options and restricted shares. Potentially dilutive securities have been excluded in the weighted average number of common shares used for the calculation of earnings (loss) per share in periods of net loss because the effect of such securities would be anti-dilutive. A reconciliation of our basic and diluted earnings (loss) per common share is as follows:
 
Three Months Ended September 30,
Nine Months Ended September 30,
(In millions, except per share data)
2015
2014
2015
2014
Net income (loss) to common shareholders
$
35.1

$
(19.9
)
$
55.1

$
29.6

Basic weighted average shares outstanding
235.9

229.5

232.7

229.2

Diluted weighted average shares outstanding
240.9

229.5

239.1

229.3

Earnings (loss) per Common Share:
 
 


Basic net income (loss) per share
$
0.15

$
(0.09
)
$
0.24

$
0.13

Diluted net income (loss) per share
$
0.15

$
(0.09
)
$
0.23

$
0.13

The number of anti-dilutive shares that have been excluded in the computation of diluted earnings (loss) per share for the three and nine months ended September 30, 2015 were 1.1 million and 0.6 million, respectively. The number of anti-dilutive shares that have been excluded in the computation of diluted earnings (loss) per share for the three and nine months ended September 30, 2014 were 17.2 million and 13.4 million, respectively.
Accounts and Notes Receivable, Net
Accounts and Notes Receivable, Net
ACCOUNTS AND NOTES RECEIVABLE, NET
 
September 30, 2015
December 31, 2014
Accounts receivable—trade, net
$
684.2

$
638.3

Notes receivable
33.0

45.5

Other
116.1

136.6

Total
$
833.3

$
820.4


Accounts and notes receivable are carried at amounts that approximate fair value. Accounts receivable—trade, net are net of allowances of $10.5 million and $9.9 million at September 30, 2015 and December 31, 2014, respectively. Bad debt expense, within selling, general, and administration expenses for the three and nine months ended September 30, 2015, was income of $0.2 million and expense of $3.3 million, respectively, and expense of $1.6 million and $3.8 million for the three and nine months ended September 30, 2014, respectively.
Inventories
Inventories
INVENTORIES
 
September 30, 2015
December 31, 2014
Finished products
$
309.0

$
323.7

Semi-finished products
94.1

81.3

Raw materials and supplies
137.6

133.3

Total
$
540.7

$
538.3

Stores and supplies inventories of $21.3 million and $20.9 million at September 30, 2015 and December 31, 2014, respectively, were valued under the weighted average cost method.
Property, Plant and Equipment, Net
Property, Plant and Equipment, Net
PROPERTY, PLANT AND EQUIPMENT, NET
Depreciation expense amounted to $42.2 million and $127.9 million for the three and nine months ended September 30, 2015, respectively, and $44.0 million and $131.5 million for the three and nine months ended September 30, 2014, respectively.
 
September 30, 2015
December 31, 2014
Property, plant and equipment
$
1,812.4

$
1,858.2

Accumulated depreciation
(437.8
)
(344.1
)
Property, plant, and equipment, net
$
1,374.6

$
1,514.1

Borrowings
Borrowings
BORROWINGS
Borrowings are summarized as follows:
 
September 30, 2015
December 31, 2014
Dollar Term Loan
$
2,148.3

$
2,165.5

Euro Term Loan
437.2

481.0

Dollar Senior Notes
750.0

750.0

Euro Senior Notes
279.5

305.3

Short-term and other borrowings
25.4

12.9

Unamortized original issue discount
(15.6
)
(18.3
)
Unamortized deferred financing costs, net
(71.3
)
(82.1
)
 
$
3,553.5

$
3,614.3

Less:
 
 
Short term borrowings
$
21.3

$
12.2

Current portion of long-term borrowings
27.5

27.9

Long-term debt
$
3,504.7

$
3,574.2


Senior Secured Credit Facilities, as amended
On February 3, 2014, (the "Amendment Effective Date") Axalta Coating Systems Dutch B B.V. ("Dutch B B.V."), as "Dutch Borrower", and its indirect wholly-owned subsidiary, Axalta Coating Systems U.S. Holdings Inc. ("Axalta US Holdings"), as "US Borrower", executed the second amendment to the Senior Secured Credit Facilities (the "Amendment" or the "Refinancing"). The Amendment (i) converted all of the outstanding Dollar Term Loans ($2,282.8 million) into a new class of term loans (the "New Dollar Term Loans"), and (ii) converted all of the outstanding Euro Term Loans (€397.0 million) into a new class of term loans (the "New Euro Term Loans" and, together with the New Dollar Term Loans and the Revolving Credit Facility (as defined herein), the "Senior Secured Credit Facilities"). The New Dollar Term Loans are subject to a floor of 1.00%, plus an applicable rate after the Amendment Effective Date. The applicable rate for such New Dollar Term Loans is 3.00% per annum for Eurocurrency Rate Loans as defined in the credit agreement governing the Senior Secured Credit Facilities (the "Credit Agreement") and 2.00% per annum for Base Rate Loans as defined in the Credit Agreement. The applicable rate for both Eurocurrency Rate Loans as well as Base Rate Loans is subject to a further 25 basis point reduction if the Total Net Leverage Ratio as defined in the credit agreement governing the Senior Secured Credit Facilities is less than or equal to 4.50:1.00. The New Euro Term Loans are also subject to a floor of 1.00%, plus an applicable rate after the Amendment Effective Date. The applicable rate for such New Euro Term Loans is 3.25% per annum for Eurocurrency Rate Loans. New Euro Term Loans may not be Base Rate Loans. The applicable rate is subject to a further 25 basis point reduction if the Total Net Leverage Ratio is less than or equal to 4.50:1.00. During the third quarter of 2014, our Total Net Leverage Ratio was and has continued to be less than 4.50:1.00. Consequently, the applicable rates were changed to 2.75% for the New Dollar Term Loans and 3.00% for the New Euro Term Loans through September 30, 2015. 
The Senior Secured Credit Facilities are secured by substantially all assets of Axalta Coating Systems Dutch A B. V. ("Dutch A B.V.") and the guarantors. The Dollar Term Loan and Euro Term Loan mature on February 1, 2020 and the Revolving Credit Facility matures on February 1, 2018. Principal is paid quarterly on both the Dollar Term Loan and the Euro Term Loan based on 1% per annum of the original principal amount with the unpaid balance due at maturity.
Interest is payable quarterly on both the New Dollar Term Loan and the New Euro Term Loan. Prior to the Amendment, interest on the Dollar Term Loan was subject to a floor of 1.25% for Eurocurrency Rate Loans plus an applicable rate of 3.50%. For Base Rate Loans, the interest was subject to a floor of the greater of the federal funds rate plus 0.50%, the Prime Lending Rate, an Adjusted Eurocurrency Rate, or 2.25% plus an applicable rate of 2.50%. Interest on the Euro Term Loan, a Eurocurrency Loan, was subject to a floor of 1.25% plus an applicable rate of 4.00%.
Under the Senior Secured Credit Facilities, interest on any outstanding borrowings under the Revolving Credit Facility is subject to a floor of 1.00% for Eurocurrency Rate Loans plus an applicable rate of 3.50% (subject to an additional step-down to 3.25%). For Base Rate Loans, the interest is subject to a floor of the greater of the federal funds rate plus 0.50%, the Prime Lending Rate, an Adjusted Eurocurrency Rate, or 2.00% plus an applicable rate of 2.50% (subject to an additional step-down to 2.25%).
Under circumstances described in the Credit Agreement, we may increase available revolving or term facility borrowings by up to $400.0 million plus an additional amount subject to the Company not exceeding a maximum first lien leverage ratio described in the Credit Agreement.
Any indebtedness under the Senior Secured Credit Facilities may be voluntarily prepaid in whole or in part, in minimum amounts, subject to the make-whole provisions set forth in the Credit Agreement. Such indebtedness is subject to mandatory prepayments amounting to the proceeds of asset sales over $25.0 million annually, proceeds from certain debt issuances not otherwise permitted under the Credit Agreement and 50% (subject to a step-down to 25.0% or 0% if the First Lien Leverage Ratio falls below 4.25:1.00 or 3.50:1.00, respectively) of Excess Cash Flow.
At September 30, 2014, we voluntarily repaid $100.0 million of the outstanding New Dollar Term Loan. Concurrent with this action, we recorded a pre-tax loss on extinguishment of $3.0 million, consisting of the write-off of $2.2 million and $0.8 million of unamortized deferred financing costs and original issue discounts, respectively.
We are subject to customary negative covenants as well as a financial covenant which is a maximum First Lien Leverage Ratio. This financial covenant is applicable only when greater than 25% of the Revolving Credit Facility (including letters of credit not cash collateralized to at least 103%) is outstanding at the end of the fiscal quarter.
Deferred financing costs of $92.9 million and original issue discounts of $25.7 million were incurred at the inception of the Senior Secured Credit Facilities. These amounts are recorded as direct deductions of the associated debt obligations, with the exception of deferred financing costs related to the Revolving Credit Facility, which are classified within Other assets on the condensed consolidated balance sheets as the associated debt has been undrawn since inception, and are amortized as interest expense over the life of the Senior Secured Credit Facilities. At September 30, 2015 and December 31, 2014, the remaining unamortized balances related to deferred financing costs on the Senior Secured Credit Facilities were $55.8 million and $65.7 million, respectively.
Amortization expense related to deferred financing costs, net for the three and nine months ended September 30, 2015 were $3.4 million and $10.0 million, respectively. Amortization expense related to deferred financing costs, net for the three and nine months ended September 30, 2014 were $3.4 million and $10.1 million, respectively, exclusive of the $0.8 million write-off associated with the $100.0 million prepayment on our New Dollar Term Loan.
Amortization expense related to original issue discounts for the three and nine months ended September 30, 2015 were $0.9 million and $2.5 million, respectively. Amortization expense related to original issue discounts for the three and nine months ended September 30, 2014 were $0.9 million and $2.6 million, respectively, exclusive of the $2.2 million write-off associated with the $100.0 million prepayment on our New Dollar Term Loan.
At September 30, 2015 and December 31, 2014 there were no borrowings under the Revolving Credit Facility. At September 30, 2015 and December 31, 2014, letters of credit issued under the Revolving Credit Facility totaled $21.0 million and $15.5 million, respectively, which reduced the availability under the Revolving Credit Facility. Availability under the Revolving Credit Facility was $379.0 million and $384.5 million at September 30, 2015 and December 31, 2014, respectively.
Senior Notes
On February 1, 2013, Dutch B B.V., as "Dutch Issuer", and Axalta US Holdings, as "US Issuer" (collectively the "Issuers") issued $750.0 million aggregate principal amount of 7.375% senior unsecured notes due 2021 (the "Dollar Senior Notes") and related guarantees thereof. Additionally, the Issuers issued €250.0 million aggregate principal amount of 5.750% senior secured notes due 2021 (the "Euro Senior Notes" and, together with the Dollar Senior Notes, the "Senior Notes") and related guarantees thereof. Cash fees related to the issuance of the Senior Notes were $33.1 million are recorded as direct deductions of the associated debt obligations, and are amortized as interest expense over the life of the Senior Notes. At September 30, 2015 and December 31, 2014, the remaining unamortized balances were $22.3 million and $25.3 million, respectively. The expense related to the amortization of the deferred financing costs, net for the three and nine months ended September 30, 2015 were $1.0 million and $3.0 million, respectively. The expense related to the amortization of the deferred financing costs, net for the three and nine months ended September 30, 2014 were $1.0 million and $3.0 million, respectively.
The Senior Notes are unconditionally guaranteed on a senior basis by Dutch A B.V. and certain of the Issuers’ subsidiaries.
The indentures governing the Senior Notes contain covenants that restrict the ability of the Issuers and their subsidiaries to, among other things, incur additional debt, make certain payments including payment of dividends or repurchase equity interest of the Issuers, make loans or acquisitions or capital contributions and certain investments, incur certain liens, sell assets, merge or consolidate or liquidate other entities, and enter into transactions with affiliates.
(i) Euro Senior Notes
The Euro Senior Notes were sold at par and are due February 1, 2021. The Euro Senior Notes bear interest at 5.750% and are payable semi-annually on February 1 and August 1. Cash fees related to the issuance of the Euro Senior Notes were $10.2 million are recorded as direct deductions of the associated debt obligations and are amortized into interest expense over the life of the Euro Senior Notes. At September 30, 2015 and December 31, 2014, the remaining unamortized balances was $6.8 million and $7.7 million, respectively.
On or after February 1, 2016, we have the option to redeem all or part of the Euro Senior Notes at the following redemption prices (expressed as percentages of principal amount):
Period
Euro Notes Percentage
2016
104.313
%
2017
102.875
%
2018
101.438
%
2019 and thereafter
100.000
%

Notwithstanding the foregoing, at any time and from time to time prior to February 1, 2016, we may at our option redeem in the aggregate up to 40% of the original aggregate principal amount of the Euro Senior Notes with the net cash proceeds of one or more Equity Offerings (as defined in the indenture governing the Euro Senior Notes) at a redemption price of 105.750% plus accrued and unpaid interest, if any, to the redemption date.
In addition, we have the option to redeem up to 10% of the Euro Senior Notes during any 12-month period from issue date until February 1, 2016 at a redemption price of 103.0%, plus accrued and unpaid interest, if any, to the redemption date.
Upon the occurrence of certain events constituting a change of control, holders of the Euro Senior Notes have the right to require us to repurchase all or any part of the Euro Senior Notes at a purchase price equal to 101% of the principal amount plus accrued and unpaid interest, if any, to the repurchase date.
The indebtedness evidenced by the Euro Senior Notes and related guarantees is secured on a first-lien basis by the same assets that secure the obligations under the Senior Secured Credit Facilities, subject to permitted liens and applicable local law limitations, is senior in right of payment to all future subordinated indebtedness of the Issuers, is equal in right of payment to all existing and future senior indebtedness of the Issuers and is effectively senior to any unsecured indebtedness of the Issuers, including the Dollar Senior Notes, to the extent of the value securing the Euro Senior Notes.
(ii) Dollar Senior Notes
The Dollar Senior Notes were sold at par and are due May 1, 2021. The Dollar Senior Notes bear interest at 7.375% and are payable semi-annually on February 1 and August 1. Cash fees related to the issuance of the Dollar Senior Notes were $22.9 million. At September 30, 2015 and December 31, 2014, the remaining unamortized balances were $15.5 million and $17.6 million, respectively.
On or after February 1, 2016, we have the option to redeem all or part of the Dollar Senior Notes at the following redemption prices (expressed as percentages of principal amount):
Period
Dollar Notes Percentage
2016
105.531
%
2017
103.688
%
2018
101.844
%
2019 and thereafter
100.000
%

Notwithstanding the foregoing, at any time and from time to time prior to February 1, 2016, we may at our option redeem in the aggregate up to 40% of the original aggregate principal amount of the Dollar Senior Notes with the net cash proceeds of one or more Equity Offerings (as defined in the indenture governing the Dollar Senior Notes), at a redemption price of 107.375% plus accrued and unpaid interest, if any, to the redemption date.
Upon the occurrence of certain events constituting a change of control, holders of the Dollar Senior Notes have the right to require us to repurchase all or any part of the Dollar Senior Notes at a purchase price equal to 101% of the principal amount plus accrued and unpaid interest, if any, to the repurchase date.
The indebtedness evidenced by the Dollar Senior Notes is senior unsecured indebtedness of the Issuers, is senior in right of payment to all future subordinated indebtedness of the Issuers and is equal in right of payment to all existing and future senior indebtedness of the Issuers. The Dollar Senior Notes are effectively subordinated to any secured indebtedness of the Issuers (including indebtedness of the Issuers outstanding under the Senior Secured Credit Facilities and the Euro Senior Notes) to the extent of the value of the assets securing such indebtedness.
Future repayments
Below is a schedule of required future repayments of all borrowings outstanding at September 30, 2015.
Remainder of 2015
$
10.6

2016
36.1

2017
29.6

2018
28.4

2019
27.7

Thereafter
3,498.8

 
$
3,631.2

Fair Value Accounting
Fair Value Accounting
FAIR VALUE ACCOUNTING
Fair value of financial instruments
Available for sale securities - The fair value of available for sale securities was $4.2 million and $4.5 million at September 30, 2015 and December 31, 2014, respectively. The fair value was based upon either Level 1 inputs when the securities are actively traded with quoted market prices or Level 2 when the securities are not frequently traded.
Long-term borrowings - The fair values of the Dollar Senior Notes and Euro Senior Notes at September 30, 2015 were $789.4 million and $283.0 million, respectively. The fair values at December 31, 2014 were $795.0 million and $320.5 million, respectively. The estimated fair values of these notes are based on recent trades, as reported by a third party pricing service. Due to the infrequency of trades of the Dollar Senior Notes and the Euro Senior Notes, these inputs are considered to be Level 2 inputs.
The fair values of the New Dollar Term Loan and the New Euro Term Loan at September 30, 2015 were $2,126.8 million and $433.9 million, respectively. The fair values at December 31, 2014 were $2,100.5 million and $478.0 million, respectively. The estimated fair values of the Dollar Term Loan and the Euro Term Loan are based on recent trades, as reported by a third party pricing service. Due to the infrequency of trades of the Dollar Term Loan and the Euro Term Loan, these inputs are considered to be Level 2 inputs.
Derivative Financial Instruments
Derivative Financial Instruments
DERIVATIVE FINANCIAL INSTRUMENTS
We selectively use derivative instruments to reduce market risk associated with changes in foreign currency exchange rates and interest rates. The use of derivatives is intended for hedging purposes only and we do not enter into derivative instruments for speculative purposes. A description of each type of derivative used to manage risk is included in the following paragraphs.
During the year ended December 31, 2013, we entered into five interest rate swaps with notional amounts totaling $1,173.0 million to hedge interest rate exposures related to variable rate borrowings under the Senior Secured Credit Facilities. The interest rate swaps are in place until September 29, 2017. The interest rate swaps qualify and are designated as effective cash flow hedges.
The following table presents the location and fair values using Level 2 inputs of derivative instruments that qualify and have been designated as cash flow hedges included in our condensed consolidated balance sheet:
 
September 30, 2015
December 31, 2014
Other assets:
 
 
Interest rate swaps
$
—

$
5.9

Total assets
$
—

$
5.9

Other liabilities:
 
 
Interest rate swaps
$
6.0

$
1.5

Total liabilities
$
6.0

$
1.5


The following table presents the location and fair values using Level 2 inputs of derivative instruments that have not been designated as hedges included in our condensed consolidated balance sheet:
 
September 30, 2015
December 31, 2014
Other assets:
 
 
Interest rate cap
$
—

$
0.1

Prepaid expenses and other:
 
 
Foreign currency contracts
1.6

—

Total assets
$
1.6

$
0.1


For derivative instruments that qualify and are designated as cash flow hedges, the effective portion of the gain or loss on the derivative is reported as a component of accumulated other comprehensive loss and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. Gains and losses on the derivative representing either hedge ineffectiveness or hedge components excluded from the assessment of effectiveness are recognized in current earnings.
The following tables set forth the locations and amounts recognized during the three and nine months ended September 30, 2015 and 2014 for these cash flow hedges.
 
Amount of (Gain) Loss
Recognized in OCI on
Derivatives (Effective
Portion)
Location of (Gain) Loss Reclassified from 
Accumulated OCI into Income (Effective Portion)
Amount of (Gain) Loss
Reclassified from
Accumulated OCI to Income (Effective
Portion)
Location of (Gain) Loss Recognized 
in Income on 
Derivatives (Ineffective Portion)
Amount of (Gain) Loss
Recognized in Income on
Derivatives (Ineffective
Portion)
Derivatives in Cash Flow Hedging
Relationships
Three Months Ended September 30, 2015
Three Months Ended September 30, 2014
Three Months Ended September 30, 2015
Three Months Ended September 30, 2014
Three Months Ended September 30, 2015
Three Months Ended September 30, 2014
Interest rate contracts
$
3.5

$
(4.0
)
Interest expense, net
$
1.7

$
1.7

Interest expense, net
$
1.0

$
(0.9
)
 
Amount of (Gain) Loss
Recognized in OCI on
Derivatives (Effective
Portion)
Location of (Gain) Loss Reclassified from 
Accumulated OCI into Income (Effective Portion)
Amount of (Gain) Loss
Reclassified from
Accumulated OCI to Income (Effective
Portion)
Location of (Gain) Loss Recognized 
in Income on 
Derivatives (Ineffective Portion)
Amount of (Gain) Loss
Recognized in Income on
Derivatives (Ineffective
Portion)
Derivatives in Cash Flow Hedging
Relationships
Nine Months Ended September 30, 2015
Nine Months Ended September 30, 2014
Nine Months Ended September 30, 2015
Nine Months Ended September 30, 2014
Nine Months Ended September 30, 2015
Nine Months Ended September 30, 2014
Interest rate contracts
$
8.0

$
1.0

Interest expense, net
$
4.9

$
4.9

Interest expense, net
$
2.4

$
(0.2
)

Also during the year ended December 31, 2013, we purchased a €300.0 million 1.5% interest rate cap on our Euro Term Loan that is in place until September 29, 2017. We paid a premium of $3.1 million for the interest rate cap. The interest rate cap was not designated as a hedge and the changes in the fair value of the derivative instrument are recorded in current period earnings and are included in interest expense.
Fair value gains and losses of derivative contracts, as determined using Level 2 inputs, that do not qualify for hedge accounting treatment are recorded in income as follows:
 
 
Three Months Ended September 30,
Nine Months Ended September 30,
Derivatives Not Designated as Hedging
Instruments under ASC 815
Location of (Gain) Loss Recognized in
Income on Derivatives
2015
2014
2015
2014
Foreign currency forward contract
Other expense, net
$
(4.4
)
$
(0.3
)
$
(6.3
)
$
1.6

Interest rate cap
Interest expense, net
0.1

0.2

—

3.3

 
 
$
(4.3
)
$
(0.1
)
$
(6.3
)
$
4.9

Segments
Segments
SEGMENTS
The Company identifies an operating segment as a component: (i) that engages in business activities from which it may earn revenues and incur expenses; (ii) whose operating results are regularly reviewed by the Chief Operating Decision Maker ("CODM") to make decisions about resources to be allocated to the segment and assess its performance; and (iii) that has available discrete financial information.
We have two operating segments, which are also our reportable segments: Performance Coatings and Transportation Coatings. The CODM reviews financial information at the operating segment level to allocate resources and to assess the operating results and financial performance for each operating segment. Our CODM is identified as the Chief Executive Officer because he has final authority over performance assessment and resource allocation decisions. Our segments are based on the type and concentration of customers served, service requirements, methods of distribution and major product lines.
Through our Performance Coatings segment, we provide high-quality liquid and powder coatings solutions to a fragmented and local customer base. We are one of only a few suppliers with the technology to provide precise color matching and highly durable coatings systems. The end-markets within this segment are refinish and industrial.
Through our Transportation Coatings segment, we provide advanced coating technologies to OEMs of light and commercial vehicles. These increasingly global customers require a high level of technical support coupled with cost-effective, environmentally responsible coatings systems that can be applied with a high degree of precision, consistency and speed. The end-markets within this segment are light vehicle and commercial vehicle.
Our business serves four end-markets globally as follows: 
 
Three Months Ended September 30,
Nine Months Ended September 30,
 
2015
2014
2015
2014
Performance Coatings
 
 
 
 
Refinish
$
426.9

$
478.1

$
1,280.2

$
1,384.4

Industrial
173.7

185.4

516.4

560.2

Total Net sales Performance Coatings
600.6

663.5

1,796.6

1,944.6

Transportation Coatings
 
 
 
 
Light Vehicle
303.7

342.5

984.1

1,045.5

Commercial Vehicle
96.0

102.9

302.9

292.8

Total Net sales Transportation Coatings
399.7

445.4

1,287.0

1,338.3

Total Net sales
$
1,000.3

$
1,108.9

$
3,083.6

$
3,282.9


Asset information is not reviewed or included with our internal management reporting. Therefore, the Company has not disclosed asset information for each reportable segment.
 
Three Months Ended September 30,
 
2015
2014
 
Performance
Coatings
Transportation
Coatings
Total
Performance
Coatings
Transportation
Coatings
Total
Net sales (1)
$
600.6

$
399.7

$
1,000.3

$
663.5

$
445.4

$
1,108.9

Equity in earnings in unconsolidated affiliates
0.1

—

0.1

0.4

0.1

0.5

Adjusted EBITDA (2)
139.0

77.9

216.9

148.5

79.5

228.0

Investment in unconsolidated affiliates
5.5

6.8

12.3

8.3

7.6

15.9

 
Nine Months Ended September 30,
 
2015
2014
 
Performance
Coatings
Transportation
Coatings
Total
Performance
Coatings
Transportation
Coatings
Total
Net sales (1)
$
1,796.6

$
1,287.0

$
3,083.6

$
1,944.6

$
1,338.3

$
3,282.9

Equity in earnings in unconsolidated affiliates
0.4

0.5

0.9

0.9

0.4

1.3

Adjusted EBITDA (2)
408.2

246.2

654.4

409.7

226.1

635.8

Investment in unconsolidated affiliates
5.5

6.8

12.3

8.3

7.6

15.9

(1)
The Company has no intercompany sales between segments.
(2)
The primary measure of segment operating performance is Adjusted EBITDA, which is defined as net income (loss) before interest, taxes, depreciation and amortization and other unusual items impacting operating results. Adjusted EBITDA is a key metric that is used by management to evaluate business performance in comparison to budgets, forecasts, and prior year financial results, providing a measure that management believes reflects the Company’s core operating performance. Reconciliation of Adjusted EBITDA to income (loss) before income taxes follows:
 
Three Months Ended September 30,
Nine Months Ended September 30,
 
2015
2014
2015
2014
Income (loss) before income taxes
$
54.2

$
(10.8
)
$
107.3

$
52.0

Interest expense, net
50.8

52.6

150.0

166.5

Depreciation and amortization
75.4

76.2

225.5

229.1

EBITDA
180.4

118.0

482.8

447.6

Inventory step-up (a)
0.5

—

1.0

—

Financing fees and debt extinguishment (b)
—

3.0

—

6.1

Foreign exchange remeasurement losses, net (c)
23.7

59.6

90.2

45.1

Long-term employee benefit plan adjustments (d)
(0.5
)
(4.7
)
(0.1
)
(0.2
)
Termination benefits and other employee related costs (e)
0.8

3.2

19.3

9.1

Consulting and advisory fees (f)
7.2

8.8

17.1

29.5

Transition related costs (g)
—

33.5

—

81.0

Offering related costs (h)
1.4

3.2

3.1

3.2

Other adjustments (i)
3.7

2.6

14.8

13.6

Dividends in respect of noncontrolling interest (j)
(0.3
)
—

(4.4
)
(1.6
)
Management fee expense (k)
—

0.8

—

2.4

Asset impairment (l)
—

—

30.6

—

Adjusted EBITDA
$
216.9

$
228.0

$
654.4

$
635.8

(a)
During the nine months ended September 30, 2015, we recorded non-cash fair value inventory adjustments associated with our acquisitions. These amounts increased cost of goods sold by $0.5 million and $1.0 million for the three and nine months ended September 30, 2015, respectively.
(b)
In connection with an amendment to the Senior Secured Credit Facilities in February 2014, we recognized $3.1 million of costs during the nine months ended September 30, 2014. At September 30, 2014, we prepaid $100.0 million of the outstanding New Dollar Term Loan and recorded a pre-tax loss on extinguishment of $3.0 million.
(c)
Eliminates foreign exchange gains and losses resulting from the remeasurement of assets and liabilities denominated in foreign currencies.
(d)
Eliminates the non-service cost components of long-term employee benefit costs. Additionally, we deducted a pension curtailment gain of $6.6 million recorded during the three and nine months ended September 30, 2014. 
(e)
Represents expenses primarily related to employee termination benefits and other employee-related costs. Termination benefits include the costs associated with our headcount initiatives associated with cost saving opportunities that were related to our transition to a standalone entity and our Axalta Way cost savings initiatives in 2015.
(f)
Represents fees paid to consultants, advisors, and other third-party professional organizations for professional services. Amounts incurred for the three and nine months ended September 30, 2015 primarily relate to our Axalta Way cost savings initiatives. Amounts incurred for the three and nine months ended September 30, 2014 relate to our transition from DuPont to a standalone entity.
(g)
Represents charges associated with the transition from DuPont to a standalone entity, including branding and marketing, information technology related costs, and facility transition costs.
(h)
Represents costs associated with the offering of our common shares in the Carlyle Offerings.
(i)
Represents costs for certain unusual or non-operational (gains) and losses, including a $5.4 million gain recognized during the nine months ended September 30, 2015 resulting from the remeasurement of our previously held interest in an equity method investee upon the acquisition of a controlling interest, stock-based compensation, equity investee dividends, indemnity losses associated with the Acquisition, and loss (gain) on sale and disposal of property, plant and equipment.
(j)
Represents the payment of dividends to our joint venture partners by our consolidated entities that are not wholly owned.
(k)
Pursuant to Axalta’s management agreement with Carlyle Investment for management and financial advisory services and oversight provided to Axalta and its subsidiaries, Axalta was required to pay an annual management fee of $3.0 million and out-of-pocket expenses. This agreement terminated upon completion of the IPO in November 2014.
(l)
As a result of the currency devaluation in Venezuela, we evaluated the carrying values of our long-lived assets for impairment and recorded an impairment charge relating to a real estate investment of $30.6 million during the nine months ended September 30, 2015. See Note 9 for more information.
Shareholders' Equity
Shareholders' Equity
SHAREHOLDERS' EQUITY
The following tables present the change in total shareholders’ equity for the nine months ended September 30, 2015 and 2014, respectively.
 
Total Axalta
Noncontrolling
Interests
Total
Balance January 1, 2015
$
1,044.7

$
67.3

$
1,112.0

Net income
55.1

3.7

58.8

Other comprehensive loss, net of tax
(152.6
)
(2.3
)
(154.9
)
Exercise of stock options
66.4

—

66.4

Recognition of stock-based compensation
22.1

—

22.1

Noncontrolling interests of acquired subsidiaries
—

4.3

4.3

Dividends declared to noncontrolling interests
—

(4.4
)
(4.4
)
Balance September 30, 2015
$
1,035.7

$
68.6

$
1,104.3

 
Total Axalta
Noncontrolling
Interests
Total
Balance January 1, 2014
$
1,142.9

$
68.9

$
1,211.8

Net income
29.6

4.2

33.8

Other comprehensive loss, net of tax
(34.2
)
(2.2
)
(36.4
)
Exercise of stock options
3.0

—

3.0

Recognition of stock-based compensation
6.1

—

6.1

Issuances of common stock
2.3

—

2.3

Noncontrolling interests of acquired subsidiaries
(2.5
)
(3.9
)
(6.4
)
Dividends declared to noncontrolling interests
—

(1.6
)
(1.6
)
Balance September 30, 2014
$
1,147.2

$
65.4

$
1,212.6

Accumulated Other Comprehensive Income (Loss)
Accumulated Other Comprehensive Income (Loss)
ACCUMULATED OTHER COMPREHENSIVE LOSS
 
Unrealized
Currency
Translation
Adjustments
Pension and
Other
Long-term
Employee
Benefit
Adjustments
Unrealized Loss on Securities
Unrealized
Gain (Loss) on
Derivatives
Accumulated
Other
Comprehensive
Loss
December 31, 2014
$
(72.1
)
$
(31.2
)
$
(0.2
)
$
0.2

$
(103.3
)
Current year deferrals to AOCI
(144.4
)
(1.6
)
—

(2.1
)
(148.1
)
Reclassifications from AOCI to Net income
—

(1.3
)
—

(3.2
)
(4.5
)
Net Change
(144.4
)
(2.9
)
—

(5.3
)
(152.6
)
September 30, 2015
$
(216.5
)
$
(34.1
)
$
(0.2
)
$
(5.1
)
$
(255.9
)

The income tax benefit related to the changes in pension and other long-term employee benefits for the nine months ended September 30, 2015 was $1.8 million. The cumulative income tax benefit related to the adjustments for pension and other long-term employee benefits at September 30, 2015 was $15.2 million. The income tax benefit related to the change in the unrealized loss on derivatives for the nine months ended September 30, 2015 was $2.8 million. The cumulative income tax benefit related to the adjustments for unrealized loss on derivatives at September 30, 2015 was $2.6 million.
 
Unrealized
Currency
Translation
Adjustments
Pension and
Other
Long-term
Employee
Benefit
Adjustments
Unrealized
Gain (Loss) on
Securities
Unrealized
Gain on
Derivatives
Accumulated
Other
Comprehensive
Income (Loss)
December 31, 2013
$
24.3

$
7.5

$
(0.9
)
$
3.1

$
34.0

Current year deferrals to AOCI
(36.1
)
1.8

0.8

2.5

(31.0
)
Reclassifications from AOCI to Net income
—

(0.1
)
—

(3.1
)
(3.2
)
Net Change
(36.1
)
1.7

0.8

(0.6
)
(34.2
)
September 30, 2014
$
(11.8
)
$
9.2

$
(0.1
)
$
2.5

$
(0.2
)

Included within current year deferrals to accumulated other comprehensive income for the nine months ended September 30, 2014 was $11.3 million of curtailment gains related to an amendment to one of our pension plans.
The income tax impact related to the changes in pension and other long-term employee benefits for the nine months ended September 30, 2014 was expense of $0.1 million. The cumulative income tax expense related to the adjustment for pension and other long-term employee benefits at September 30, 2014 was $3.6 million. The income tax expense related to the change in the unrealized gain on derivatives for the nine months ended September 30, 2014 was $0.4 million. The cumulative income tax expense related to the adjustment for unrealized gain on derivatives at September 30, 2014 was $1.5 million.
Subsequent Events
Subsequent Events [Text Block]
SUBSEQUENT EVENTS
In October 2015, we voluntarily repaid $100.0 million of the outstanding New Dollar Term Loan. As a result of the prepayment, we will record a pre-tax loss on extinguishment of approximately $2.5 million.
Recent Accounting Guidance (Policies)
New Accounting Pronouncements, Policy
Recently Adopted Accounting Guidance
In April 2015, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2015-03, "Simplifying the Presentation of Debt Issuance Costs," which requires debt issuance costs to be presented in the balance sheet as a direct deduction from the associated debt liability. The standard is effective for financial statements issued for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years, and should be applied on a retrospective basis. Further clarifying this standard, ASU 2015-15, "Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements" was released in August 2015 indicating that the SEC staff would not object to an entity deferring and presenting costs related to revolving debt arrangements as an asset. We elected to early adopt this standard during the current year, resulting in impacts to the balance sheets at September 30, 2015 and December 31, 2014 of decreases to Other assets and Long-term borrowings of $71.3 million and $82.1 million, respectively.
Accounting Guidance Issued But Not Yet Adopted
In July 2015, FASB issued ASU 2015-11 (Accounting Standard Codification 330), "Simplifying the Measurement of Inventory," which sets forth guidance that inventory should be valued at the lower of cost or net realizable value rather than the lower of cost or market. The amendments in this update are effective for fiscal years beginning after December 15, 2016. Adoption of this ASU will not have a material impact to our consolidated financial statements.
In February 2015, the FASB issued ASU 2015-02 (Accounting Standard Codification 810), "Consolidation," which sets forth guidance on accounting for consolidation of certain legal entities. This ASU is effective for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. Although early adoption is permitted, we are still in the process of assessing the impact the adoption of this ASU will have on our statements of financial position, results of operations and cash flows.
In May 2014, the FASB issued ASU 2014-09 (Accounting Standard Codification 606), "Revenue from Contracts with Customers," which sets forth the guidance that an entity should use related to revenue recognition. This ASU was originally effective for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. In August 2015, the FASB issued ASU 2015-14, "Revenue from Contracts with Customers: Deferral of the Effective Date," which delayed the effective date of the new revenue accounting standard to fiscal years beginning after December 15, 2017. Companies will be allowed to early adopt the guidance as of the original effective date. Early adoption is not permitted prior to this date. We are in the process of assessing the impact the adoption of this ASU will have on our statements of financial position, results of operations and cash flows.
Goodwill and Identifiable Intangible Assets (Tables)
Schedule of Goodwill 
The following table shows changes in the carrying amount of goodwill from December 31, 2014 to September 30, 2015 by reportable segment:
 
Performance
Coatings
Transportation
Coatings
Total
December 31, 2014
$
933.6

$
67.5

$
1,001.1

Goodwill from acquisitions
17.1

0.7

17.8

Foreign currency translation
(69.4
)
(5.0
)
(74.4
)
September 30, 2015
$
881.3

$
63.2

$
944.5

Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class 
The following table summarizes the gross carrying amounts and accumulated amortization of identifiable intangible assets by major class:
September 30, 2015
Gross Carrying
Amount
Accumulated
Amortization
Net Book
Value
Weighted average
amortization periods (years)
Technology
$
412.5

$
(107.0
)
$
305.5

10.0
Trademarks - indefinite-lived
284.4

—

284.4

Indefinite
Trademarks - definite-lived
44.8

(7.7
)
37.1

14.7
Customer relationships
680.2

(93.6
)
586.6

19.3
Non-compete agreements
1.9

(1.1
)
0.8

4.6
Total
$
1,423.8

$
(209.4
)
$
1,214.4

 
December 31, 2014
Gross Carrying
Amount
Accumulated
Amortization
Net Book
Value
Weighted average
amortization periods (years)
Technology
$
411.8

$
(76.3
)
$
335.5

10.0
Trademarks—indefinite-lived
284.4

—

284.4

 Indefinite
Trademarks—definite-lived
41.8

(5.5
)
36.3

14.8
Customer relationships
713.9

(71.3
)
642.6

19.4
Non-compete agreements
2.0

(0.8
)
1.2

4.6
Total
$
1,453.9

$
(153.9
)
$
1,300.0

 
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense 
The estimated amortization expense related to the fair value of acquired intangible assets for the remainder of 2015 and each of the succeeding four years is:
Remainder of 2015
$
20.0

2016
$
80.1

2017
$
79.8

2018
$
79.7

2019
$
79.7

Restructuring (Tables)
Restructuring and Related Costs
The following table summarizes the activities related to the restructuring reserves and expenses from December 31, 2014 to September 30, 2015:
Restructuring Rollforward
2015 Activity
Balance at December 31, 2014
$
48.5

Expense Recorded
16.0

Payments Made
(28.7
)
Foreign Currency Changes
(4.8
)
Balance at September 30, 2015
$
31.0

Long-term Employee Benefits (Tables)
Schedule of Net Benefit Costs
The following table sets forth the components of net periodic benefit (gain) cost for the three and nine months ended September 30, 2015 and 2014:
 
Pension Benefits
 
Three Months Ended September 30,
Nine Months Ended September 30,
 
2015
2014
2015
2014
Components of net periodic benefit (gain) cost:
 
 
 
 
Net periodic benefit (gain) cost:
 
 
 
 
Service cost
$
2.7

$
3.8

$
9.1

$
12.3

Interest cost
3.9

6.1

13.1

18.0

Expected return on plan assets
(3.7
)
(3.9
)
(11.0
)
(11.3
)
Amortization of actuarial (gain) loss, net
0.2

—

0.7

(0.2
)
Amortization of prior service credit, net
—

—

(0.1
)
—

Curtailment gain
—

(6.6
)
—

(6.6
)
Net periodic benefit (gain) cost
$
3.1

$
(0.6
)
$
11.8

$
12.2

 
 
Other Long-Term Employee Benefits
 
Three Months Ended September 30,
Nine Months Ended September 30,
 
2015
2014
2015
2014
Components of net periodic benefit gain:
 
 
 
 
Net periodic benefit gain:
 
 
 
 
Service cost
$
—

$
—

$
—

$
0.1

Interest cost
—

0.1

—

0.1

Amortization of prior service credit
(0.9
)
(0.4
)
(2.8
)
(0.3
)
Net periodic benefit gain
$
(0.9
)
$
(0.3
)
$
(2.8
)
$
(0.1
)
Stock-based Compensation (Tables)
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions 
Principal weighted average assumptions used in applying the Black-Scholes model were as follows:
 
2015 Grants
2014 Grants
2013 Grants
Expected Term
6.00 years

7.81 years

7.81 years

Volatility
22.22
%
28.28
%
28.61
%
Dividend Yield
—

—

—

Discount Rate
1.79
%
2.21
%
2.13
%
Schedule of Stock Options Roll Forward 
A summary of stock option award activity as of and for the nine months ended September 30, 2015, is presented below:
 
Awards/Units (millions)
Weighted-
Average
Exercise
Price
Aggregate
Intrinsic
Value
 (millions)
Weighted
Average
Remaining
Contractual
Life (years)
Outstanding at January 1, 2015
17.1

$
9.38

 
 
Granted
1.2

$
31.45

 
 
Exercised
(7.0
)
$
8.91

 
 
Forfeited
—

$
—

 
 
Outstanding at September 30, 2015
11.3

$
12.01

 
 
Vested and expected to vest at September 30, 2015
11.3

$
12.01

$
158.5

8.05
Exercisable at September 30, 2015
10.1

$
9.70

$
158.2

7.86
Schedule of Share-based Compensation, Activity 
A summary of restricted stock and restricted stock unit award activity as of September 30, 2015 is presented below:
 
Awards
(millions)
Weighted-Average
Fair Value
Outstanding at January 1, 2015
—

$
—

Granted
1.7

$
32.29

Vested
—

$
—

Forfeited
—

$
—

Outstanding at September 30, 2015
1.7

$
32.29

Other (Income) Expense, Net (Tables)
Schedule of Other Nonoperating Income (Expense)
 
Three Months Ended September 30,
Nine Months Ended September 30,
 
2015
2014
2015
2014
Exchange losses, net
$
23.7

$
59.6

$
90.2

$
45.1

Management fees and expenses
—

0.8

—

2.4

Impairment of real estate investment
—

—

30.6

—

Other miscellaneous
(4.8
)
1.8

(9.4
)
17.6

Total
$
18.9

$
62.2

$
111.4

$
65.1

Income Taxes Income Taxes (Tables)
Schedule of Effective Income Tax Rate Reconciliation
Our effective income tax rates for the nine months ended September 30, 2015 and 2014 are as follows:
 
Nine Months Ended September 30,
 
2015
2014
Effective Tax Rate
45.2
%
35.0
%
Earnings (Loss) Per Common Share (Tables)
Schedule of Earnings Per Share, Basic and Diluted
A reconciliation of our basic and diluted earnings (loss) per common share is as follows:
 
Three Months Ended September 30,
Nine Months Ended September 30,
(In millions, except per share data)
2015
2014
2015
2014
Net income (loss) to common shareholders
$
35.1

$
(19.9
)
$
55.1

$
29.6

Basic weighted average shares outstanding
235.9

229.5

232.7

229.2

Diluted weighted average shares outstanding
240.9

229.5

239.1

229.3

Earnings (loss) per Common Share:
 
 


Basic net income (loss) per share
$
0.15

$
(0.09
)
$
0.24

$
0.13

Diluted net income (loss) per share
$
0.15

$
(0.09
)
$
0.23

$
0.13

Accounts and Notes Receivable, Net (Tables)
Schedule of Accounts, Notes, Loans and Financing Receivable
 
September 30, 2015
December 31, 2014
Accounts receivable—trade, net
$
684.2

$
638.3

Notes receivable
33.0

45.5

Other
116.1

136.6

Total
$
833.3

$
820.4

Inventories (Tables)
Schedule of Inventory, Current
(
Property, Plant and Equipment, Net (Tables)
Property, Plant and Equipment
 
September 30, 2015
December 31, 2014
Property, plant and equipment
$
1,812.4

$
1,858.2

Accumulated depreciation
(437.8
)
(344.1
)
Property, plant, and equipment, net
$
1,374.6

$
1,514.1

Borrowings (Tables)
Schedule of Debt 
Borrowings are summarized as follows:
 
September 30, 2015
December 31, 2014
Dollar Term Loan
$
2,148.3

$
2,165.5

Euro Term Loan
437.2

481.0

Dollar Senior Notes
750.0

750.0

Euro Senior Notes
279.5

305.3

Short-term and other borrowings
25.4

12.9

Unamortized original issue discount
(15.6
)
(18.3
)
Unamortized deferred financing costs, net
(71.3
)
(82.1
)
 
$
3,553.5

$
3,614.3

Less:
 
 
Short term borrowings
$
21.3

$
12.2

Current portion of long-term borrowings
27.5

27.9

Long-term debt
$
3,504.7

$
3,574.2

Schedule of Maturities of Long-term Debt 
Below is a schedule of required future repayments of all borrowings outstanding at September 30, 2015.
Remainder of 2015
$
10.6

2016
36.1

2017
29.6

2018
28.4

2019
27.7

Thereafter
3,498.8

 
$
3,631.2

Debt Instrument Redemption 
On or after February 1, 2016, we have the option to redeem all or part of the Euro Senior Notes at the following redemption prices (expressed as percentages of principal amount):
Period
Euro Notes Percentage
2016
104.313
%
2017
102.875
%
2018
101.438
%
2019 and thereafter
100.000
%
Debt Instrument Redemption 
On or after February 1, 2016, we have the option to redeem all or part of the Dollar Senior Notes at the following redemption prices (expressed as percentages of principal amount):
Period
Dollar Notes Percentage
2016
105.531
%
2017
103.688
%
2018
101.844
%
2019 and thereafter
100.000
%
Derivative Financial Instruments (Tables)
Schedule of Cash Flow Hedging Instruments, Statements of Financial Performance and Financial Position, Location 
The following tables set forth the locations and amounts recognized during the three and nine months ended September 30, 2015 and 2014 for these cash flow hedges.
 
Amount of (Gain) Loss
Recognized in OCI on
Derivatives (Effective
Portion)
Location of (Gain) Loss Reclassified from 
Accumulated OCI into Income (Effective Portion)
Amount of (Gain) Loss
Reclassified from
Accumulated OCI to Income (Effective
Portion)
Location of (Gain) Loss Recognized 
in Income on 
Derivatives (Ineffective Portion)
Amount of (Gain) Loss
Recognized in Income on
Derivatives (Ineffective
Portion)
Derivatives in Cash Flow Hedging
Relationships
Three Months Ended September 30, 2015
Three Months Ended September 30, 2014
Three Months Ended September 30, 2015
Three Months Ended September 30, 2014
Three Months Ended September 30, 2015
Three Months Ended September 30, 2014
Interest rate contracts
$
3.5

$
(4.0
)
Interest expense, net
$
1.7

$
1.7

Interest expense, net
$
1.0

$
(0.9
)
 
Amount of (Gain) Loss
Recognized in OCI on
Derivatives (Effective
Portion)
Location of (Gain) Loss Reclassified from 
Accumulated OCI into Income (Effective Portion)
Amount of (Gain) Loss
Reclassified from
Accumulated OCI to Income (Effective
Portion)
Location of (Gain) Loss Recognized 
in Income on 
Derivatives (Ineffective Portion)
Amount of (Gain) Loss
Recognized in Income on
Derivatives (Ineffective
Portion)
Derivatives in Cash Flow Hedging
Relationships
Nine Months Ended September 30, 2015
Nine Months Ended September 30, 2014
Nine Months Ended September 30, 2015
Nine Months Ended September 30, 2014
Nine Months Ended September 30, 2015
Nine Months Ended September 30, 2014
Interest rate contracts
$
8.0

$
1.0

Interest expense, net
$
4.9

$
4.9

Interest expense, net
$
2.4

$
(0.2
)
Schedule of Fair Value Hedging Instruments, Statements of Financial Performance and Financial Position, Location 
Fair value gains and losses of derivative contracts, as determined using Level 2 inputs, that do not qualify for hedge accounting treatment are recorded in income as follows:
 
 
Three Months Ended September 30,
Nine Months Ended September 30,
Derivatives Not Designated as Hedging
Instruments under ASC 815
Location of (Gain) Loss Recognized in
Income on Derivatives
2015
2014
2015
2014
Foreign currency forward contract
Other expense, net
$
(4.4
)
$
(0.3
)
$
(6.3
)
$
1.6

Interest rate cap
Interest expense, net
0.1

0.2

—

3.3

 
 
$
(4.3
)
$
(0.1
)
$
(6.3
)
$
4.9

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value 
The following table presents the location and fair values using Level 2 inputs of derivative instruments that qualify and have been designated as cash flow hedges included in our condensed consolidated balance sheet:
 
September 30, 2015
December 31, 2014
Other assets:
 
 
Interest rate swaps
$
—

$
5.9

Total assets
$
—

$
5.9

Other liabilities:
 
 
Interest rate swaps
$
6.0

$
1.5

Total liabilities
$
6.0

$
1.5

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value 
The following table presents the location and fair values using Level 2 inputs of derivative instruments that have not been designated as hedges included in our condensed consolidated balance sheet:
 
September 30, 2015
December 31, 2014
Other assets:
 
 
Interest rate cap
$
—

$
0.1

Prepaid expenses and other:
 
 
Foreign currency contracts
1.6

—

Total assets
$
1.6

$
0.1

Segments (Tables)
Reconciliation of Revenue from Segments to Consolidated 
Our business serves four end-markets globally as follows: 
 
Three Months Ended September 30,
Nine Months Ended September 30,
 
2015
2014
2015
2014
Performance Coatings
 
 
 
 
Refinish
$
426.9

$
478.1

$
1,280.2

$
1,384.4

Industrial
173.7

185.4

516.4

560.2

Total Net sales Performance Coatings
600.6

663.5

1,796.6

1,944.6

Transportation Coatings
 
 
 
 
Light Vehicle
303.7

342.5

984.1

1,045.5

Commercial Vehicle
96.0

102.9

302.9

292.8

Total Net sales Transportation Coatings
399.7

445.4

1,287.0

1,338.3

Total Net sales
$
1,000.3

$
1,108.9

$
3,083.6

$
3,282.9

Schedule of Segment Reporting Information, by Segment 
 
Three Months Ended September 30,
 
2015
2014
 
Performance
Coatings
Transportation
Coatings
Total
Performance
Coatings
Transportation
Coatings
Total
Net sales (1)
$
600.6

$
399.7

$
1,000.3

$
663.5

$
445.4

$
1,108.9

Equity in earnings in unconsolidated affiliates
0.1

—

0.1

0.4

0.1

0.5

Adjusted EBITDA (2)
139.0

77.9

216.9

148.5

79.5

228.0

Investment in unconsolidated affiliates
5.5

6.8

12.3

8.3

7.6

15.9

 
Nine Months Ended September 30,
 
2015
2014
 
Performance
Coatings
Transportation
Coatings
Total
Performance
Coatings
Transportation
Coatings
Total
Net sales (1)
$
1,796.6

$
1,287.0

$
3,083.6

$
1,944.6

$
1,338.3

$
3,282.9

Equity in earnings in unconsolidated affiliates
0.4

0.5

0.9

0.9

0.4

1.3

Adjusted EBITDA (2)
408.2

246.2

654.4

409.7

226.1

635.8

Investment in unconsolidated affiliates
5.5

6.8

12.3

8.3

7.6

15.9

(1)
The Company has no intercompany sales between segments.
(2)
The primary measure of segment operating performance is Adjusted EBITDA, which is defined as net income (loss) before interest, taxes, depreciation and amortization and other unusual items impacting operating results. Adjusted EBITDA is a key metric that is used by management to evaluate business performance in comparison to budgets, forecasts, and prior year financial results, providing a measure that management believes reflects the Company’s core operating performance.
Reconciliation of Operating Profit (Loss) from Segments to Consolidated 
Reconciliation of Adjusted EBITDA to income (loss) before income taxes follows:
 
Three Months Ended September 30,
Nine Months Ended September 30,
 
2015
2014
2015
2014
Income (loss) before income taxes
$
54.2

$
(10.8
)
$
107.3

$
52.0

Interest expense, net
50.8

52.6

150.0

166.5

Depreciation and amortization
75.4

76.2

225.5

229.1

EBITDA
180.4

118.0

482.8

447.6

Inventory step-up (a)
0.5

—

1.0

—

Financing fees and debt extinguishment (b)
—

3.0

—

6.1

Foreign exchange remeasurement losses, net (c)
23.7

59.6

90.2

45.1

Long-term employee benefit plan adjustments (d)
(0.5
)
(4.7
)
(0.1
)
(0.2
)
Termination benefits and other employee related costs (e)
0.8

3.2

19.3

9.1

Consulting and advisory fees (f)
7.2

8.8

17.1

29.5

Transition related costs (g)
—

33.5

—

81.0

Offering related costs (h)
1.4

3.2

3.1

3.2

Other adjustments (i)
3.7

2.6

14.8

13.6

Dividends in respect of noncontrolling interest (j)
(0.3
)
—

(4.4
)
(1.6
)
Management fee expense (k)
—

0.8

—

2.4

Asset impairment (l)
—

—

30.6

—

Adjusted EBITDA
$
216.9

$
228.0

$
654.4

$
635.8

(a)
During the nine months ended September 30, 2015, we recorded non-cash fair value inventory adjustments associated with our acquisitions. These amounts increased cost of goods sold by $0.5 million and $1.0 million for the three and nine months ended September 30, 2015, respectively.
(b)
In connection with an amendment to the Senior Secured Credit Facilities in February 2014, we recognized $3.1 million of costs during the nine months ended September 30, 2014. At September 30, 2014, we prepaid $100.0 million of the outstanding New Dollar Term Loan and recorded a pre-tax loss on extinguishment of $3.0 million.
(c)
Eliminates foreign exchange gains and losses resulting from the remeasurement of assets and liabilities denominated in foreign currencies.
(d)
Eliminates the non-service cost components of long-term employee benefit costs. Additionally, we deducted a pension curtailment gain of $6.6 million recorded during the three and nine months ended September 30, 2014. 
(e)
Represents expenses primarily related to employee termination benefits and other employee-related costs. Termination benefits include the costs associated with our headcount initiatives associated with cost saving opportunities that were related to our transition to a standalone entity and our Axalta Way cost savings initiatives in 2015.
(f)
Represents fees paid to consultants, advisors, and other third-party professional organizations for professional services. Amounts incurred for the three and nine months ended September 30, 2015 primarily relate to our Axalta Way cost savings initiatives. Amounts incurred for the three and nine months ended September 30, 2014 relate to our transition from DuPont to a standalone entity.
(g)
Represents charges associated with the transition from DuPont to a standalone entity, including branding and marketing, information technology related costs, and facility transition costs.
(h)
Represents costs associated with the offering of our common shares in the Carlyle Offerings.
(i)
Represents costs for certain unusual or non-operational (gains) and losses, including a $5.4 million gain recognized during the nine months ended September 30, 2015 resulting from the remeasurement of our previously held interest in an equity method investee upon the acquisition of a controlling interest, stock-based compensation, equity investee dividends, indemnity losses associated with the Acquisition, and loss (gain) on sale and disposal of property, plant and equipment.
(j)
Represents the payment of dividends to our joint venture partners by our consolidated entities that are not wholly owned.
(k)
Pursuant to Axalta’s management agreement with Carlyle Investment for management and financial advisory services and oversight provided to Axalta and its subsidiaries, Axalta was required to pay an annual management fee of $3.0 million and out-of-pocket expenses. This agreement terminated upon completion of the IPO in November 2014.
(l)
As a result of the currency devaluation in Venezuela, we evaluated the carrying values of our long-lived assets for impairment and recorded an impairment charge relating to a real estate investment of $30.6 million during the nine months ended September 30, 2015. See Note 9 for more information.
Shareholders' Equity (Tables)
Schedule of Stockholders Equity
The following tables present the change in total shareholders’ equity for the nine months ended September 30, 2015 and 2014, respectively.
 
Total Axalta
Noncontrolling
Interests
Total
Balance January 1, 2015
$
1,044.7

$
67.3

$
1,112.0

Net income
55.1

3.7

58.8

Other comprehensive loss, net of tax
(152.6
)
(2.3
)
(154.9
)
Exercise of stock options
66.4

—

66.4

Recognition of stock-based compensation
22.1

—

22.1

Noncontrolling interests of acquired subsidiaries
—

4.3

4.3

Dividends declared to noncontrolling interests
—

(4.4
)
(4.4
)
Balance September 30, 2015
$
1,035.7

$
68.6

$
1,104.3

 
Total Axalta
Noncontrolling
Interests
Total
Balance January 1, 2014
$
1,142.9

$
68.9

$
1,211.8

Net income
29.6

4.2

33.8

Other comprehensive loss, net of tax
(34.2
)
(2.2
)
(36.4
)
Exercise of stock options
3.0

—

3.0

Recognition of stock-based compensation
6.1

—

6.1

Issuances of common stock
2.3

—

2.3

Noncontrolling interests of acquired subsidiaries
(2.5
)
(3.9
)
(6.4
)
Dividends declared to noncontrolling interests
—

(1.6
)
(1.6
)
Balance September 30, 2014
$
1,147.2

$
65.4

$
1,212.6

Accumulated Other Comprehensive Income (Loss) (Tables)
Schedule of Accumulated Other Comprehensive Income
 
Unrealized
Currency
Translation
Adjustments
Pension and
Other
Long-term
Employee
Benefit
Adjustments
Unrealized Loss on Securities
Unrealized
Gain (Loss) on
Derivatives
Accumulated
Other
Comprehensive
Loss
December 31, 2014
$
(72.1
)
$
(31.2
)
$
(0.2
)
$
0.2

$
(103.3
)
Current year deferrals to AOCI
(144.4
)
(1.6
)
—

(2.1
)
(148.1
)
Reclassifications from AOCI to Net income
—

(1.3
)
—

(3.2
)
(4.5
)
Net Change
(144.4
)
(2.9
)
—

(5.3
)
(152.6
)
September 30, 2015
$
(216.5
)
$
(34.1
)
$
(0.2
)
$
(5.1
)
$
(255.9
)
 
Unrealized
Currency
Translation
Adjustments
Pension and
Other
Long-term
Employee
Benefit
Adjustments
Unrealized
Gain (Loss) on
Securities
Unrealized
Gain on
Derivatives
Accumulated
Other
Comprehensive
Income (Loss)
December 31, 2013
$
24.3

$
7.5

$
(0.9
)
$
3.1

$
34.0

Current year deferrals to AOCI
(36.1
)
1.8

0.8

2.5

(31.0
)
Reclassifications from AOCI to Net income
—

(0.1
)
—

(3.1
)
(3.2
)
Net Change
(36.1
)
1.7

0.8

(0.6
)
(34.2
)
September 30, 2014
$
(11.8
)
$
9.2

$
(0.1
)
$
2.5

$
(0.2
)
Basis of Presentation of the Condensed Consolidated Financial Statements (Details) (USD $)
1 Months Ended 11 Months Ended 1 Months Ended
Nov. 30, 2014
IPO [Member]
Common Stock [Member]
Sep. 30, 2015
The Carlyle Group L.P. [Member]
Aug. 31, 2015
The Carlyle Group L.P. [Member]
Secondary Offering [Member]
Apr. 30, 2015
The Carlyle Group L.P. [Member]
Secondary Offering [Member]
Apr. 30, 2015
The Carlyle Group L.P. [Member]
Private Placement [Member]
Subsidiary, Sale of Stock [Line Items]
 
 
 
 
 
Number of shares issued in transaction
57,500,000 
 
34,500,000 
46,000,000 
20,000,000 
Sale of stock, price per share (dollars per share)
$ 19.50 
 
$ 29.75 
$ 28.00 
$ 28.00 
Proceeds from issuance of common stock
 
$ 0 
 
 
 
Recent Accounting Guidance (Details) (USD $)
In Millions, unless otherwise specified
Sep. 30, 2015
Dec. 31, 2014
New Accounting Pronouncement, Early Adoption [Line Items]
 
 
Decrease in total assets from early adoption
$ (5,898.9)
$ (6,170.7)
Decrease in total liabilities from early adoption
(4,794.6)
(5,058.7)
New Accounting Pronouncement, Early Adoption, Effect [Member]
 
 
New Accounting Pronouncement, Early Adoption [Line Items]
 
 
Decrease in total assets from early adoption
71.3 
82.1 
Decrease in total liabilities from early adoption
$ 71.3 
$ 82.1 
Goodwill and Identifiable Intangible Assets - Schedule of Goodwill (Details) (USD $)
In Millions, unless otherwise specified
9 Months Ended
Sep. 30, 2015
Goodwill [Roll Forward]
 
Goodwill, beginning balance
$ 1,001.1 
Goodwill from acquisitions
17.8 
Foreign currency translation
(74.4)
Goodwill, ending balance
944.5 
Performance Coatings [Member]
 
Goodwill [Roll Forward]
 
Goodwill, beginning balance
933.6 
Goodwill from acquisitions
17.1 
Foreign currency translation
(69.4)
Goodwill, ending balance
881.3 
Transportation Coatings [Member]
 
Goodwill [Roll Forward]
 
Goodwill, beginning balance
67.5 
Goodwill from acquisitions
0.7 
Foreign currency translation
(5.0)
Goodwill, ending balance
$ 63.2 
Goodwill and Identifiable Intangible Assets - Additional Information (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Mar. 31, 2015
Equity Method Investee [Member]
Goodwill [Line Items]
 
 
 
 
 
Additional interest purchased
 
 
 
 
25.00% 
Amortization of acquired intangibles
$ 20.4 
$ 20.9 
$ 60.5 
$ 63.3 
 
Goodwill and Identifiable Intangible Assets - Gross Carrying Amounts and Accumulated Amortization of Identifiable Intangible Assets by Major Class (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 12 Months Ended
Sep. 30, 2015
Dec. 31, 2014
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items]
 
 
Gross Carrying Amount
$ 1,423.8 
$ 1,453.9 
Accumulated Amortization
(209.4)
(153.9)
Net Book Value, definite-lived
1,214.4 
1,300.0 
Trademarks [Member]
 
 
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items]
 
 
Net Book Value, indefinite-lived
284.4 
284.4 
Technology-Based Intangible Assets [Member]
 
 
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items]
 
 
Gross Carrying Amount
412.5 
411.8 
Accumulated Amortization
(107.0)
(76.3)
Net Book Value, definite-lived
305.5 
335.5 
Weighted average amortization periods (years)
10 years 
10 years 
Trademarks [Member]
 
 
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items]
 
 
Gross Carrying Amount
44.8 
41.8 
Accumulated Amortization
(7.7)
(5.5)
Net Book Value, definite-lived
37.1 
36.3 
Weighted average amortization periods (years)
14 years 8 months 18 days 
14 years 9 months 18 days 
Customer Relationships [Member]
 
 
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items]
 
 
Gross Carrying Amount
680.2 
713.9 
Accumulated Amortization
(93.6)
(71.3)
Net Book Value, definite-lived
586.6 
642.6 
Weighted average amortization periods (years)
19 years 3 months 20 days 
19 years 4 months 24 days 
Noncompete Agreements [Member]
 
 
Schedule of Finite-Lived and Indefinite-Lived Intangible Assets by Major Class [Line Items]
 
 
Gross Carrying Amount
1.9 
2.0 
Accumulated Amortization
(1.1)
(0.8)
Net Book Value, definite-lived
$ 0.8 
$ 1.2 
Weighted average amortization periods (years)
4 years 6 months 22 days 
4 years 7 months 6 days 
Goodwill and Identifiable Intangible Assets - Schedule of Expected Amortization Expense (Details) (USD $)
In Millions, unless otherwise specified
Sep. 30, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
 
Remainder of 2015
$ 20.0 
2016
80.1 
2017
79.8 
2018
79.7 
2019
$ 79.7 
Restructuring - Additional Information (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Restructuring and Related Activities [Abstract]
 
 
 
 
Restructuring costs
$ (0.7)
$ 0.9 
$ 16.0 
$ 2.3 
Restructuring - Restructuring Reserve (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Restructuring Reserve [Roll Forward]
 
 
 
 
Beginning balance
 
 
$ 48.5 
 
Expense Recorded
(0.7)
0.9 
16.0 
2.3 
Payments Made
 
 
(28.7)
 
Foreign Currency Changes
 
 
(4.8)
 
Ending balance
$ 31.0 
 
$ 31.0 
 
Commitments and Contingencies (Details) (USD $)
Sep. 30, 2015
Dec. 31, 2014
Commitments and Contingencies Disclosure [Abstract]
 
 
Maximum exposure, undiscounted
$ 1,900,000 
$ 2,200,000 
Accrued in period
$ 0 
$ 0 
Long-term Employee Benefits - Schedule of Net Benefit Cost (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Pension Plan [Member]
 
 
 
 
Net periodic benefit (gain) cost:
 
 
 
 
Service cost
$ 2.7 
$ 3.8 
$ 9.1 
$ 12.3 
Interest cost
3.9 
6.1 
13.1 
18.0 
Expected return on plan assets
(3.7)
(3.9)
(11.0)
(11.3)
Amortization of actuarial (gain) loss, net
0.2 
0 
0.7 
(0.2)
Amortization of prior service credit, net
0 
0 
(0.1)
0 
Curtailment gain
0 
(6.6)
0 
(6.6)
Net periodic benefit gain
3.1 
(0.6)
11.8 
12.2 
Other Postretirement Benefit Plan [Member]
 
 
 
 
Net periodic benefit (gain) cost:
 
 
 
 
Service cost
0 
0 
0 
0.1 
Interest cost
0 
0.1 
0 
0.1 
Amortization of prior service credit, net
(0.9)
(0.4)
(2.8)
(0.3)
Net periodic benefit gain
$ (0.9)
$ (0.3)
$ (2.8)
$ (0.1)
Long-term Employee Benefits - Additional Information (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2014
Sep. 30, 2014
Compensation and Retirement Disclosure [Abstract]
 
 
Curtailment gain
$ 6.6 
$ 6.6 
Recognized gain (loss) due to curtailments
$ 5.7 
$ 11.3 
Stock-based Compensation - Additional Information (Details) (USD $)
In Millions, except Share data, unless otherwise specified
3 Months Ended 9 Months Ended 12 Months Ended 9 Months Ended 9 Months Ended 1 Months Ended 9 Months Ended 12 Months Ended 9 Months Ended 12 Months Ended 9 Months Ended 12 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Dec. 31, 2014
Dec. 31, 2013
Sep. 30, 2015
2013 Plan [Member]
Dec. 31, 2013
2013 Plan [Member]
Sep. 30, 2015
2014 Plan [Member]
Dec. 31, 2014
2014 Plan [Member]
Apr. 30, 2015
The Carlyle Group L.P. [Member]
Sep. 30, 2015
Minimum [Member]
2014 Plan [Member]
Sep. 30, 2015
Maximum [Member]
2014 Plan [Member]
Sep. 30, 2015
Employee Stock Option [Member]
Dec. 31, 2014
Employee Stock Option [Member]
2013 Plan [Member]
Dec. 31, 2013
Employee Stock Option [Member]
2013 Plan [Member]
Sep. 30, 2015
Employee Stock Option [Member]
2014 Plan [Member]
Dec. 31, 2014
Employee Stock Option [Member]
2013, Strike Price 1 [Member]
2013 Plan [Member]
Dec. 31, 2013
Employee Stock Option [Member]
2013, Strike Price 1 [Member]
2013 Plan [Member]
Dec. 31, 2014
Employee Stock Option [Member]
2013, Strike Price 2 [Member]
2013 Plan [Member]
Dec. 31, 2013
Employee Stock Option [Member]
2013, Strike Price 2 [Member]
2013 Plan [Member]
Dec. 31, 2014
Employee Stock Option [Member]
2013, Strike Price 3 [Member]
2013 Plan [Member]
Dec. 31, 2013
Employee Stock Option [Member]
2013, Strike Price 3 [Member]
2013 Plan [Member]
Dec. 31, 2014
Employee Stock Option [Member]
2013, Strike Price 4 [Member]
2013 Plan [Member]
Dec. 31, 2013
Employee Stock Option [Member]
2013, Strike Price 4 [Member]
2013 Plan [Member]
Dec. 31, 2013
Employee Stock Option [Member]
2013, Strike Price 1 and 4 [Member]
2013 Plan [Member]
Dec. 31, 2013
Employee Stock Option [Member]
2013, Strike Price 2 and 3 [Member]
2013 Plan [Member]
Sep. 30, 2015
Employee Stock Option [Member]
Minimum [Member]
2013 Plan [Member]
Sep. 30, 2015
Employee Stock Option [Member]
Maximum [Member]
2013 Plan [Member]
Sep. 30, 2015
Employee Stock Option [Member]
Maximum [Member]
2014 Plan [Member]
Dec. 31, 2014
Stock Compensation Plan [Member]
2013 Plan [Member]
Dec. 31, 2013
Stock Compensation Plan [Member]
2013 Plan [Member]
Sep. 30, 2015
Restricted Stock [Member]
Sep. 30, 2015
Restricted Stock [Member]
2014 Plan [Member]
Sep. 30, 2015
Restricted Stock Units (RSUs) [Member]
2014 Plan [Member]
Sep. 30, 2015
Restricted Stock and Restricted Stock Units [Member]
Sep. 30, 2015
Restricted Stock and Restricted Stock Units [Member]
Minimum [Member]
2014 Plan [Member]
Sep. 30, 2015
Restricted Stock and Restricted Stock Units [Member]
Maximum [Member]
2014 Plan [Member]
Sep. 30, 2015
Management [Member]
Restricted Stock and Restricted Stock Units [Member]
Minimum [Member]
Sep. 30, 2015
Management [Member]
Restricted Stock and Restricted Stock Units [Member]
Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Share-based compensation expense
$ 7.9 
$ 2.3 
$ 22.1 
$ 6.1 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Tax benefit from compensation expense
2.8 
0.9 
6.6 
2.2 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Accelerated compensation cost
 
 
 
 
 
 
8.2 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ownership percentage (less than)
 
 
 
 
 
 
 
 
 
 
50.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Number of shares authorized
 
 
 
 
 
 
 
19,839,143 
 
11,830,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Award vesting period
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
4 years 4 months 24 days 
5 years 
3 years 
 
 
 
 
 
3 years 
 
 
2 years 
3 years 
Grants in period
 
 
1,200,000 
 
 
 
 
 
1,200,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1,600,000 
16,300,000 
 
 
 
 
 
 
 
 
Weighted average exercise price
 
 
$ 31.45 
 
 
 
 
 
 
 
 
$ 25.34 
$ 34.80 
 
 
 
 
$ 5.92 
$ 5.92 
$ 8.88 
$ 8.88 
$ 11.84 
$ 11.84 
$ 7.21 
$ 7.21 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Expiration period
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
10 years 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Granted (in shares)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
900,000 
700,000 
1,700,000 
 
 
 
 
Weighted average grant date fair value (dollars per share)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 32.29 
$ 25.34 
$ 34.80 
 
 
Grant date fair value (dollars per share)
 
 
$ 8.20 
 
$ 1.92 
$ 1.38 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Expected term
 
 
 
 
 
 
 
 
6 years 
 
 
 
 
 
7 years 9 months 22 days 
7 years 9 months 22 days 
6 years 
 
 
 
 
 
 
 
 
6 years 6 months 
8 years 3 months 
 
 
 
 
 
 
 
 
 
 
 
 
 
Expected dividend rate
 
 
0.00% 
 
 
 
 
 
 
 
 
 
 
 
0.00% 
0.00% 
0.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash received from exercise of stock options
 
 
60.4 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Tax benefit realized from exercise of stock options
15.1 
 
54.9 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Forfeiture rate
 
 
 
 
 
 
 
 
 
 
 
 
 
0.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0.00% 
 
 
 
 
 
 
 
Compensation not yet recognized
7.5 
 
7.5 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Period for recognition of compensation not yet recognized
 
 
 
 
 
 
 
 
 
 
 
 
 
2 years 7 months 13 days 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2 years 7 months 15 days 
 
 
 
 
Granted (in shares)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1,700,000 
 
 
 
 
Compensation not yet recognized, share-based awards other than options
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 43.8 
 
 
 
 
Stock-based Compensation - Schedule of Share-based Payment Award, Stock Options, Valuation Assertions (Details)
9 Months Ended 12 Months Ended
Sep. 30, 2015
Sep. 30, 2015
2014 Plan [Member]
Sep. 30, 2015
2014 Plan [Member]
Employee Stock Option [Member]
Dec. 31, 2014
2013 Plan [Member]
Employee Stock Option [Member]
Dec. 31, 2013
2013 Plan [Member]
Employee Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
 
 
 
Expected Term
 
6 years 
6 years 
7 years 9 months 22 days 
7 years 9 months 22 days 
Volatility
 
 
22.22% 
28.28% 
28.61% 
Dividend Yield
0.00% 
 
0.00% 
0.00% 
0.00% 
Discount Rate
 
 
1.79% 
2.21% 
2.13% 
Stock-based Compensation - Schedule of Stock Option Activity (Details) (USD $)
In Millions, except Per Share data, unless otherwise specified
9 Months Ended
Sep. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward]
 
Outstanding at January 1, 2015 (in shares)
17.1 
Outstanding at January 1, 2015 (usd per share)
$ 9.38 
Granted (in shares)
1.2 
Granted (usd per share)
$ 31.45 
Exercised (in shares)
(7.0)
Exercised (usd per share)
$ 8.91 
Forfeited (in shares)
0 
Forfeited (usd per share)
$ 0.00 
Outstanding at September 30, 2015 (in shares)
11.3 
Outstanding at September 30, 2015 (usd per share)
$ 12.01 
Vested and expected to vest at September 30, 2015 (in shares)
11.3 
Vested and expected to vest at September 30, 2015 (usd per share)
$ 12.01 
Vested and expected to vest at September 30, 2015, aggregate intrinsic value
$ 158.5 
Vested and expected to vest at September 30, 2015, life (in years)
8 years 0 months 18 days 
Exercisable at September 30, 2015 (in shares)
10.1 
Exercisable at September 30, 2015 (usd per share)
$ 9.70 
Exercisable at September 30, 2015, aggregate intrinsic value
$ 158.2 
Exercisable at September 30, 2015, life (in years)
7 years 10 months 9 days 
Stock-based Compensation - Schedule of Restricted Stock Awards and Restricted Stock Units (Details) (Restricted Stock and Restricted Stock Units [Member], USD $)
9 Months Ended
Sep. 30, 2015
Restricted Stock and Restricted Stock Units [Member]
 
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward]
 
Outstanding at January 1, 2015 (in shares)
0 
Outstanding at January 1, 2015 (usd per share)
$ 0.00 
Granted (in shares)
1,700,000 
Granted (usd per share)
$ 32.29 
Vested (in shares)
0 
Vested (usd per share)
$ 0.00 
Forfeited (in shares)
0 
Forfeited (usd per share)
$ 0.00 
Outstanding at September 30, 2015 (in shares)
1,700,000 
Outstanding at September 30, 2015 (usd per share)
$ 32.29 
Related Party Transactions (Details) (USD $)
3 Months Ended 9 Months Ended 12 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Dec. 31, 2014
Related Party Transaction [Line Items]
 
 
 
 
 
Management fee expense
$ 0 
$ 800,000 
$ 0 
$ 2,400,000 
 
Carlyle Investment Management Llc [Member]
 
 
 
 
 
Related Party Transaction [Line Items]
 
 
 
 
 
Management fee expense
0 
800,000 
0 
2,400,000 
3,000,000 
Service King Collision Repair [Member]
 
 
 
 
 
Related Party Transaction [Line Items]
 
 
 
 
 
Related parties sales
 
 
 
$ 4,000,000 
 
Other (Income) Expense, Net - Schedule of Other Non-operating Income (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Other Income and Expenses [Abstract]
 
 
 
 
Exchange losses, net
$ 23.7 
$ 59.6 
$ 90.2 
$ 45.1 
Management fees and expenses
0 
0.8 
0 
2.4 
Impairment of real estate investment
0 
0 
30.6 
0 
Other miscellaneous
(4.8)
1.8 
(9.4)
17.6 
Total
$ 18.9 
$ 62.2 
$ 111.4 
$ 65.1 
Other (Income) Expense, Net - Additional Information (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended 3 Months Ended 9 Months Ended 9 Months Ended 3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Dec. 31, 2014
Sep. 30, 2015
Subsidiaries [Member]
Sep. 30, 2015
Subsidiaries [Member]
Jun. 30, 2015
Subsidiaries [Member]
Dec. 31, 2014
Subsidiaries [Member]
Sep. 30, 2015
Subsidiaries [Member]
Other Income [Member]
Jun. 30, 2015
Subsidiaries [Member]
Estimate of Fair Value Measurement [Member]
Sep. 30, 2014
New Dollar Term Loan [Member]
Sep. 30, 2014
New Dollar Term Loan [Member]
Sep. 30, 2015
Equity Method Investee [Member]
Other Income Expense [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Additional interest purchased
 
 
 
 
 
 
 
 
 
 
 
 
 
25.00% 
Investment in equity affiliate
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 4.3 
Equity method investments, remeasurement gain
 
 
 
 
 
 
 
 
 
 
 
 
 
5.4 
Gain (loss) on indemnification assets
 
 
 
12.3 
 
 
 
 
 
 
 
 
 
 
Loss on extinguishment of debt
 
 
 
 
 
 
 
 
 
 
 
(3.0)
(6.1)
 
Foreign currency transaction gain (loss), realized
 
 
 
 
 
(0.6)
(52.6)
 
 
 
 
 
 
 
Property, plant and equipment, net
1,374.6 
 
1,374.6 
 
1,514.1 
 
 
19.7 
 
 
 
 
 
 
Finite-Lived Intangible Assets, Net
1,214.4 
 
1,214.4 
 
1,300.0 
 
 
58.7 
 
 
 
 
 
 
Real estate carrying value
 
 
 
 
 
 
 
52.6 
 
 
22.0 
 
 
 
Impairment of real estate investment
0 
0 
30.6 
0 
 
 
30.6 
 
 
30.6 
 
 
 
 
Assets
5,898.9 
 
5,898.9 
 
6,170.7 
140.3 
140.3 
 
197.8 
 
 
 
 
 
Liabilities
4,794.6 
 
4,794.6 
 
5,058.7 
34.0 
34.0 
 
57.0 
 
 
 
 
 
Non-monetary assets
 
 
 
 
 
117.6 
117.6 
 
149.6 
 
 
 
 
 
Revenues
$ 1,005.1 
$ 1,115.8 
$ 3,103.7 
$ 3,304.5 
 
 
$ 110.8 
 
 
 
 
 
 
 
Income Taxes (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Income Taxes [Line Items]
 
 
 
 
Effective income tax rate, percent
 
 
45.20% 
35.00% 
Impairment of real estate investment
$ 0 
$ 0 
$ 30.6 
$ 0 
Tax benefits
5.0 
 
 
 
Subsidiaries [Member]
 
 
 
 
Income Taxes [Line Items]
 
 
 
 
Impairment of real estate investment
 
 
30.6 
 
Other Income [Member] |
Subsidiaries [Member]
 
 
 
 
Income Taxes [Line Items]
 
 
 
 
Impairment of real estate investment
 
 
$ 30.6 
 
Earnings (Loss) Per Common Share (Details) (USD $)
In Millions, except Per Share data, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Earnings Per Share [Abstract]
 
 
 
 
Net income (loss) to common shareholders
$ 35.1 
$ (19.9)
$ 55.1 
$ 29.6 
Basic weighted average shares outstanding
235.9 
229.5 
232.7 
229.2 
Diluted weighted average shares outstanding
240.9 
229.5 
239.1 
229.3 
Earnings (loss) per Common Share:
 
 
 
 
Basic net income (loss) per share (dollars per share)
$ 0.15 
$ (0.09)
$ 0.24 
$ 0.13 
Diluted net income (loss) per share (dollars per share)
$ 0.15 
$ (0.09)
$ 0.23 
$ 0.13 
Antidilutive securities excluded from computation of earnings per share (in shares)
1.1 
17.2 
0.6 
13.4 
Accounts and Notes Receivable, Net - Schedule of Accounts, Notes, Loans, and Financing Receivable (Details) (USD $)
In Millions, unless otherwise specified
Sep. 30, 2015
Dec. 31, 2014
Receivables [Abstract]
 
 
Accounts receivable—trade, net
$ 684.2 
$ 638.3 
Notes receivable
33.0 
45.5 
Other
116.1 
136.6 
Total
$ 833.3 
$ 820.4 
Accounts and Notes Receivable, Net - Additional Information (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Dec. 31, 2014
Receivables [Abstract]
 
 
 
 
 
Allowance for doubtful accounts
$ 10.5 
 
$ 10.5 
 
$ 9.9 
Provision for doubtful accounts
$ (0.2)
$ 1.6 
$ 3.3 
$ 3.8 
 
Inventories - Schedule of Inventory (Details) (USD $)
In Millions, unless otherwise specified
Sep. 30, 2015
Dec. 31, 2014
Inventory Disclosure [Abstract]
 
 
Finished products
$ 309.0 
$ 323.7 
Semi-finished products
94.1 
81.3 
Raw materials and supplies
137.6 
133.3 
Inventories
$ 540.7 
$ 538.3 
Inventories - Additional Information (Details) (USD $)
In Millions, unless otherwise specified
Sep. 30, 2015
Dec. 31, 2014
Inventory Disclosure [Abstract]
 
 
Stores and supplies inventories
$ 21.3 
$ 20.9 
Property, Plant and Equipment, Net - Additional Information (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Property, Plant and Equipment [Abstract]
 
 
 
 
Depreciation
$ 42.2 
$ 44.0 
$ 127.9 
$ 131.5 
Property, Plant and Equipment, Net - Schedule of Property, Plant and Equipment (Details) (USD $)
In Millions, unless otherwise specified
Sep. 30, 2015
Dec. 31, 2014
Property, Plant and Equipment [Abstract]
 
 
Property, plant and equipment
$ 1,812.4 
$ 1,858.2 
Accumulated depreciation
(437.8)
(344.1)
Property, plant, and equipment, net
$ 1,374.6 
$ 1,514.1 
Borrowings - Schedule of Debt (Details) (USD $)
In Millions, unless otherwise specified
Sep. 30, 2015
Dec. 31, 2014
Debt Instrument [Line Items]
 
 
Short-term and other borrowings
$ 25.4 
$ 12.9 
Unamortized original issue discount
(15.6)
(18.3)
Unamortized deferred financing costs, net
(71.3)
(82.1)
Debt and Capital Lease Obligations
3,553.5 
3,614.3 
Short term borrowings
21.3 
12.2 
Current portion of long-term borrowings
27.5 
27.9 
Long-term debt
3,504.7 
3,574.2 
Dollar Term Loan Due 2020 [Member]
 
 
Debt Instrument [Line Items]
 
 
Term loan
2,148.3 
2,165.5 
Euro Term Loan Due 2020 [Member]
 
 
Debt Instrument [Line Items]
 
 
Term loan
437.2 
481.0 
Dollar Senior Notes [Member]
 
 
Debt Instrument [Line Items]
 
 
Senior Notes
750.0 
750.0 
Euro Senior Notes [Member]
 
 
Debt Instrument [Line Items]
 
 
Senior Notes
$ 279.5 
$ 305.3 
Borrowings - Senior Secured Credit Facilities (Details)
0 Months Ended 3 Months Ended 0 Months Ended 9 Months Ended 12 Months Ended 3 Months Ended 9 Months Ended 0 Months Ended 0 Months Ended 0 Months Ended 0 Months Ended 0 Months Ended 0 Months Ended 0 Months Ended 3 Months Ended 9 Months Ended 15 Months Ended 0 Months Ended 0 Months Ended 0 Months Ended 15 Months Ended 0 Months Ended
Feb. 3, 2014
USD ($)
Sep. 30, 2014
Sep. 30, 2015
USD ($)
Dec. 31, 2014
USD ($)
Feb. 3, 2014
USD ($)
Feb. 3, 2014
Revolving Credit Facility [Member]
Sep. 30, 2015
Revolving Credit Facility [Member]
USD ($)
Dec. 31, 2014
Revolving Credit Facility [Member]
USD ($)
Sep. 30, 2015
Senior Secured Credit Facilities [Member]
USD ($)
Sep. 30, 2014
Senior Secured Credit Facilities [Member]
USD ($)
Sep. 30, 2015
Senior Secured Credit Facilities [Member]
USD ($)
Sep. 30, 2014
Senior Secured Credit Facilities [Member]
USD ($)
Feb. 3, 2014
Senior Secured Credit Facilities [Member]
USD ($)
Sep. 30, 2015
Senior Secured Credit Facilities [Member]
USD ($)
Dec. 31, 2014
Senior Secured Credit Facilities [Member]
USD ($)
Feb. 3, 2014
Interest Rate Floor [Member]
Senior Secured Credit Facilities [Member]
Feb. 3, 2014
Interest Rate Floor [Member]
Senior Secured Credit Facilities [Member]
Feb. 3, 2014
Interest Rate Floor [Member]
Eurocurrency Rate Loans [Member]
Senior Secured Credit Facilities [Member]
Feb. 3, 2014
Base Rate [Member]
Prior To Amendment [Member]
Feb. 3, 2014
Base Rate [Member]
Senior Secured Credit Facilities [Member]
Feb. 3, 2014
Prime Rate [Member]
Adjusted Euro Currency Rate [Member]
Feb. 3, 2014
Prime Rate [Member]
Adjusted Euro Currency Rate [Member]
Senior Secured Credit Facilities [Member]
Feb. 3, 2014
Prime Rate [Member]
Adjusted Euro Currency Rate [Member]
Senior Secured Credit Facilities [Member]
Feb. 3, 2014
Dollar Term Loan Due 2020 [Member]
Feb. 3, 2014
Dollar Term Loan Due 2020 [Member]
USD ($)
Feb. 3, 2014
Dollar Term Loan Due 2020 [Member]
Interest Rate Floor [Member]
Prior To Amendment [Member]
Feb. 3, 2014
Dollar Term Loan Due 2020 [Member]
Interest Rate Floor [Member]
Eurocurrency Rate Loans [Member]
Prior To Amendment [Member]
Feb. 3, 2014
Euro Term Loan Due 2020 [Member]
Feb. 3, 2014
Euro Term Loan Due 2020 [Member]
EUR (€)
Feb. 3, 2014
Euro Term Loan Due 2020 [Member]
Interest Rate Floor [Member]
Prior To Amendment [Member]
Feb. 3, 2014
Euro Term Loan Due 2020 [Member]
Interest Rate Floor [Member]
Prior To Amendment [Member]
Feb. 3, 2014
New Dollar Term Loan [Member]
Sep. 30, 2014
New Dollar Term Loan [Member]
USD ($)
Sep. 30, 2014
New Dollar Term Loan [Member]
USD ($)
Sep. 30, 2015
New Dollar Term Loan [Member]
Feb. 3, 2014
New Dollar Term Loan [Member]
Eurocurrency Rate Loans [Member]
Feb. 3, 2014
New Dollar Term Loan [Member]
Eurocurrency Rate Loans [Member]
Feb. 3, 2014
New Dollar Term Loan [Member]
Interest Rate Floor [Member]
Feb. 3, 2014
New Dollar Term Loan [Member]
Base Rate [Member]
Feb. 3, 2014
New Dollar Term Loan [Member]
Base Rate [Member]
Feb. 3, 2014
New Euro Term Loan [Member]
Sep. 30, 2015
New Euro Term Loan [Member]
Feb. 3, 2014
New Euro Term Loan [Member]
Eurocurrency Rate Loans [Member]
Feb. 3, 2014
New Euro Term Loan [Member]
Eurocurrency Rate Loans [Member]
Debt Instrument [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Debt, long-term and short-term, combined amount
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 2,282,800,000 
 
 
 
€ 397,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Debt instrument, basis spread on variable rate
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
3.50% 
 
1.00% 
0.50% 
0.50% 
 
2.00% 
 
 
 
3.50% 
1.25% 
 
 
2.50% 
 
 
 
 
2.75% 
3.00% 
 
1.00% 
2.00% 
 
 
3.00% 
3.25% 
 
Debt instrument covenant maximum consolidated leverage ratio
 
4.50 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
4.50 
 
 
 
 
 
 
 
 
4.50 
 
 
 
Debt instrument, interest rate, effective percentage rate range, minimum
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
4.00% 
 
 
 
 
 
 
 
 
 
 
1.00% 
 
 
 
Debt instrument, maturity date
 
 
 
 
 
Feb. 01, 2018 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Feb. 01, 2020 
 
 
 
Feb. 01, 2020 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Debt instrument periodic payment principal percentage
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1.00% 
 
 
 
1.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Debt instrument basis spread reduced on variable rate
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
3.25% 
 
 
 
2.25% 
 
2.25% 
 
 
 
 
 
 
 
 
 
 
 
 
 
0.25% 
 
 
0.25% 
 
 
 
0.25% 
Debt instrument, interest rate, stated percentage
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1.25% 
 
 
 
 
 
 
 
 
 
 
 
 
 
Debt instrument, basis spread on additional variable rate
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2.50% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Line of credit facility, maximum borrowing capacity
 
 
 
 
400,000,000.0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Proceeds from maturities, prepayments and calls of other investments (more than)
25,000,000.0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Percentage on excess cash flow for mandatory prepayments of debt
50.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Decrease in percentage on excess cash flow for mandatory prepayments of debt
25.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Percentage on first lien leverage ratio for mandatory prepayments of debt
0.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
First lien leverage ratio upper limit
4.25 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
First lien leverage ratio lower limit
3.50 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Repayments of debt
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
100,000,000 
 
 
 
 
 
 
 
 
 
 
Loss on extinguishment of debt
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(3,000,000)
(6,100,000)
 
 
 
 
 
 
 
 
 
 
Write off of deferred debt issuance cost
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2,200,000 
 
 
 
 
 
 
 
 
 
 
Amortization of debt discount (premium)
 
 
 
 
 
 
 
 
900,000 
900,000 
2,500,000 
2,600,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
800,000 
 
 
 
 
 
 
 
 
 
 
Debt instrument, percent of credit facility outstanding for financial covenant to be applicable
25.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Debt instrument, percent of letters of credit not cash collateralized for financial covenant to be applicable
103.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Deferred finance costs, net
 
 
71,300,000 
82,100,000 
 
 
 
 
 
 
 
 
92,900,000 
55,800,000 
65,700,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Unamortized original issue discount
 
 
15,600,000 
18,300,000 
 
 
 
 
 
 
 
 
25,700,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Amortization of financing costs
 
 
 
 
 
 
 
 
3,400,000 
3,400,000 
10,000,000 
10,100,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Line of credit facility, maximum amount outstanding during period
 
 
 
 
 
 
0 
0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Letters of credit outstanding, amount
 
 
 
 
 
 
21,000,000 
15,500,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Line of credit facility, remaining borrowing capacity
 
 
 
 
 
 
$ 379,000,000 
$ 384,500,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Borrowings - Senior Notes (Details)
0 Months Ended 0 Months Ended 0 Months Ended 3 Months Ended 9 Months Ended 0 Months Ended 0 Months Ended 0 Months Ended
Feb. 1, 2013
7.375% Senior Unsecured Notes Due 2021 [Member]
Feb. 1, 2013
7.375% Senior Unsecured Notes Due 2021 [Member]
USD ($)
Feb. 1, 2013
5.750% Senior Secured Notes Due 2021 [Member]
Feb. 1, 2013
5.750% Senior Secured Notes Due 2021 [Member]
EUR (€)
Feb. 1, 2013
Senior Notes [Member]
USD ($)
Sep. 30, 2015
Senior Notes [Member]
USD ($)
Sep. 30, 2014
Senior Notes [Member]
USD ($)
Sep. 30, 2015
Senior Notes [Member]
USD ($)
Sep. 30, 2014
Senior Notes [Member]
USD ($)
Dec. 31, 2014
Senior Notes [Member]
USD ($)
Feb. 1, 2013
Euro Senior Notes [Member]
USD ($)
Sep. 30, 2015
Euro Senior Notes [Member]
USD ($)
Dec. 31, 2014
Euro Senior Notes [Member]
USD ($)
Feb. 1, 2013
Euro Senior Notes [Member]
Feb. 1, 2013
Euro Senior Notes [Member]
Any Time Prior to February 1, 2016 [Member]
Feb. 1, 2013
Euro Senior Notes [Member]
Debt Instrument Redemption Period [Member]
Feb. 1, 2013
Euro Senior Notes [Member]
12 Month Period Prior to February 1, 2016 [Member]
Feb. 1, 2013
Dollar Senior Notes [Member]
USD ($)
Sep. 30, 2015
Dollar Senior Notes [Member]
USD ($)
Dec. 31, 2014
Dollar Senior Notes [Member]
USD ($)
Feb. 1, 2013
Dollar Senior Notes [Member]
Feb. 1, 2013
Dollar Senior Notes [Member]
Any Time Prior to February 1, 2016 [Member]
Debt Instrument [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Debt instrument, face amount
 
$ 750,000,000.0 
 
€ 250,000,000.0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Debt instrument, interest rate, stated percentage
 
7.375% 
 
5.75% 
 
 
 
 
 
 
 
 
 
5.75% 
 
 
 
 
 
 
7.375% 
 
Debt instrument maturity year
2021 
 
2021 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Debt issuance cost
 
 
 
 
33,100,000 
 
 
 
 
 
10,200,000 
 
 
 
 
 
 
22,900,000 
 
 
 
 
Unamortized debt issuance expense
 
 
 
 
 
22,300,000 
 
22,300,000 
 
25,300,000 
 
6,800,000 
7,700,000 
 
 
 
 
 
15,500,000 
17,600,000 
 
 
Amortization of financing costs
 
 
 
 
 
$ 1,000,000 
$ 1,000,000 
$ 3,000,000 
$ 3,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
Debt instrument, redemption price, percentage of principal amount redeemed
 
 
 
 
 
 
 
 
 
 
 
 
 
 
40.00% 
10.00% 
 
 
 
 
 
40.00% 
Debt instrument, redemption price, percentage
 
 
 
 
 
 
 
 
 
 
101.00% 
 
 
 
105.75% 
 
103.00% 
101.00% 
 
 
 
107.375% 
Debt instrument, maturity date
 
 
 
 
 
 
 
 
 
 
Feb. 01, 2021 
 
 
 
 
 
 
May 01, 2021 
 
 
 
 
Borrowings - Debt Instrument Redemption (Details)
0 Months Ended 9 Months Ended 0 Months Ended 9 Months Ended
Feb. 1, 2013
Euro Senior Notes [Member]
Sep. 30, 2015
Euro Senior Notes [Member]
2016 [Member]
Sep. 30, 2015
Euro Senior Notes [Member]
2017 [Member]
Sep. 30, 2015
Euro Senior Notes [Member]
2018 [Member]
Sep. 30, 2015
Euro Senior Notes [Member]
2019 and thereafter [Member]
Feb. 1, 2013
Dollar Senior Notes [Member]
Sep. 30, 2015
Dollar Senior Notes [Member]
2016 [Member]
Sep. 30, 2015
Dollar Senior Notes [Member]
2017 [Member]
Sep. 30, 2015
Dollar Senior Notes [Member]
2018 [Member]
Sep. 30, 2015
Dollar Senior Notes [Member]
2019 and thereafter [Member]
Debt Instrument, Redemption [Line Items]
 
 
 
 
 
 
 
 
 
 
Debt instrument, redemption price, percentage
101.00% 
104.313% 
102.875% 
101.438% 
100.00% 
101.00% 
105.531% 
103.688% 
101.844% 
100.00% 
Borrowings - Schedule of Maturities of Long-term Debt (Details) (USD $)
In Millions, unless otherwise specified
Sep. 30, 2015
Debt Disclosure [Abstract]
 
Remainder of 2015
$ 10.6 
2016
36.1 
2017
29.6 
2018
28.4 
2019
27.7 
Thereafter
3,498.8 
Long-term debt
$ 3,631.2 
Fair Value Accounting (Details) (USD $)
In Millions, unless otherwise specified
Sep. 30, 2015
Dec. 31, 2014
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Available-for-sale securities
$ 4.2 
$ 4.5 
Dollar Senior Notes [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Long-term debt, fair value
789.4 
795.0 
Euro Senior Notes [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Long-term debt, fair value
283.0 
320.5 
Dollar Term Loan Due 2020 [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Long-term debt, fair value
2,126.8 
2,100.5 
Euro Term Loan Due 2020 [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Long-term debt, fair value
$ 433.9 
$ 478.0 
Derivative Financial Instruments - Additional Information (Details)
In Millions, unless otherwise specified
9 Months Ended
Dec. 31, 2013
interest_rate_swap
Dec. 31, 2013
Euro Term Loan Due 2020 [Member]
EUR (€)
Sep. 30, 2015
Interest Rate Swap [Member]
Dec. 31, 2013
Interest Rate Swap [Member]
USD ($)
Dec. 31, 2013
Interest Rate Cap [Member]
Euro Term Loan Due 2020 [Member]
USD ($)
Derivatives, Fair Value [Line Items]
 
 
 
 
 
Number Of interest rate swaps
5 
 
 
 
 
Derivative, notional amount
 
 
 
$ 1,173.0 
 
Derivative, maturity date
 
 
Sep. 29, 2017 
 
 
Long-term debt, gross
 
300.0 
 
 
 
Derivative, cap interest rate
 
1.50% 
 
 
 
Derivative instrument, premium
 
 
 
 
$ 3.1 
Derivative Financial Instruments - Schedule of Derivative Instruments in Statement of Financial Position, Fair Value (Details) (Fair Value, Inputs, Level 2 [Member], USD $)
In Millions, unless otherwise specified
Sep. 30, 2015
Dec. 31, 2014
Designated as Hedging Instrument [Member]
 
 
Derivatives, Fair Value [Line Items]
 
 
Derivative asset
$ 0 
$ 5.9 
Derivative liability
6.0 
1.5 
Designated as Hedging Instrument [Member] |
Interest Rate Swap [Member] |
Other Assets [Member]
 
 
Derivatives, Fair Value [Line Items]
 
 
Derivative asset
0 
5.9 
Designated as Hedging Instrument [Member] |
Interest Rate Swap [Member] |
Other Liabilities [Member]
 
 
Derivatives, Fair Value [Line Items]
 
 
Derivative liability
6.0 
1.5 
Not Designated as Hedging Instrument [Member]
 
 
Derivatives, Fair Value [Line Items]
 
 
Derivative asset
1.6 
0.1 
Not Designated as Hedging Instrument [Member] |
Interest Rate Cap [Member] |
Other Assets [Member]
 
 
Derivatives, Fair Value [Line Items]
 
 
Derivative asset
0 
0.1 
Not Designated as Hedging Instrument [Member] |
Foreign Exchange Contract [Member] |
Prepaid Expenses and Other Current Assets [Member]
 
 
Derivatives, Fair Value [Line Items]
 
 
Derivative asset
$ 1.6 
$ 0 
Derivative Financial Instruments - Schedule of Cash Flow Hedging Instruments, Statements of Financial Performance and Financial Position, Location (Details) (Interest Rate Contract [Member], Cash Flow Hedging [Member], USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Derivative Instruments and Hedging Activities Disclosures [Line Items]
 
 
 
 
Amount of (Gain) Loss Recognized in OCI on Derivatives (Effective Portion)
$ 3.5 
$ (4.0)
$ 8.0 
$ 1.0 
Interest Expense [Member]
 
 
 
 
Derivative Instruments and Hedging Activities Disclosures [Line Items]
 
 
 
 
Amount of (Gain) Loss Reclassified from Accumulated OCI to Income (Effective Portion)
1.7 
1.7 
4.9 
4.9 
Amount of (Gain) Loss Recognized in Income on Derivatives (Ineffective Portion)
$ 1.0 
$ (0.9)
$ 2.4 
$ (0.2)
Derivative Financial Instruments - Schedule of Fair Value Hedging Instruments, Statements of Financial Performance and Financial Position, Location (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Derivative Instruments and Hedging Activities Disclosures [Line Items]
 
 
 
 
(Gain) loss on non-derivative instruments, net
$ (4.3)
$ (0.1)
$ (6.3)
$ 4.9 
Other Nonoperating Income (Expense) [Member] |
Foreign Exchange Contract [Member]
 
 
 
 
Derivative Instruments and Hedging Activities Disclosures [Line Items]
 
 
 
 
(Gain) loss on non-derivative instruments, net
(4.4)
(0.3)
(6.3)
1.6 
Interest Expense [Member] |
Interest Rate Cap [Member]
 
 
 
 
Derivative Instruments and Hedging Activities Disclosures [Line Items]
 
 
 
 
(Gain) loss on non-derivative instruments, net
$ 0.1 
$ 0.2 
$ 0 
$ 3.3 
Segments - Reconciliation of Revenue from Segments to Consolidated (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Segment
market
Sep. 30, 2014
Segment Reporting, Revenue Reconciling Item [Line Items]
 
 
 
 
Number of operating segments
 
 
2 
 
Number of end-markets served
 
 
4 
 
Net sales
$ 1,000.3 
$ 1,108.9 
$ 3,083.6 
$ 3,282.9 
Performance Coatings [Member]
 
 
 
 
Segment Reporting, Revenue Reconciling Item [Line Items]
 
 
 
 
Net sales
600.6 
663.5 
1,796.6 
1,944.6 
Transportation Coatings [Member]
 
 
 
 
Segment Reporting, Revenue Reconciling Item [Line Items]
 
 
 
 
Net sales
399.7 
445.4 
1,287.0 
1,338.3 
Operating Segments [Member] |
Performance Coatings [Member]
 
 
 
 
Segment Reporting, Revenue Reconciling Item [Line Items]
 
 
 
 
Net sales
600.6 
663.5 
1,796.6 
1,944.6 
Operating Segments [Member] |
Performance Coatings [Member] |
Refinish [Member]
 
 
 
 
Segment Reporting, Revenue Reconciling Item [Line Items]
 
 
 
 
Net sales
426.9 
478.1 
1,280.2 
1,384.4 
Operating Segments [Member] |
Performance Coatings [Member] |
Industrial [Member]
 
 
 
 
Segment Reporting, Revenue Reconciling Item [Line Items]
 
 
 
 
Net sales
173.7 
185.4 
516.4 
560.2 
Operating Segments [Member] |
Transportation Coatings [Member]
 
 
 
 
Segment Reporting, Revenue Reconciling Item [Line Items]
 
 
 
 
Net sales
399.7 
445.4 
1,287.0 
1,338.3 
Operating Segments [Member] |
Transportation Coatings [Member] |
Light Vehicle [Member]
 
 
 
 
Segment Reporting, Revenue Reconciling Item [Line Items]
 
 
 
 
Net sales
303.7 
342.5 
984.1 
1,045.5 
Operating Segments [Member] |
Transportation Coatings [Member] |
Commercial Vehicle [Member]
 
 
 
 
Segment Reporting, Revenue Reconciling Item [Line Items]
 
 
 
 
Net sales
$ 96.0 
$ 102.9 
$ 302.9 
$ 292.8 
Segments - Schedule of Segment Reporting Information, by Segment (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Segment Reporting Information [Line Items]
 
 
 
 
Net sales
$ 1,000.3 
$ 1,108.9 
$ 3,083.6 
$ 3,282.9 
Equity in earnings in unconsolidated affiliates
0.1 
0.5 
0.9 
1.3 
Adjusted EBITDA
216.9 
228.0 
654.4 
635.8 
Investment in unconsolidated affiliates
12.3 
15.9 
12.3 
15.9 
Performance Coatings [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Net sales
600.6 
663.5 
1,796.6 
1,944.6 
Equity in earnings in unconsolidated affiliates
0.1 
0.4 
0.4 
0.9 
Adjusted EBITDA
139.0 
148.5 
408.2 
409.7 
Investment in unconsolidated affiliates
5.5 
8.3 
5.5 
8.3 
Transportation Coatings [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Net sales
399.7 
445.4 
1,287.0 
1,338.3 
Equity in earnings in unconsolidated affiliates
0 
0.1 
0.5 
0.4 
Adjusted EBITDA
77.9 
79.5 
246.2 
226.1 
Investment in unconsolidated affiliates
$ 6.8 
$ 7.6 
$ 6.8 
$ 7.6 
Segments - Reconciliation of Operating Profit (Loss) from Segments to Consolidated (Details) (USD $)
3 Months Ended 9 Months Ended 12 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Dec. 31, 2014
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
 
 
 
 
 
Income (loss) before income taxes
$ 54,200,000 
$ (10,800,000)
$ 107,300,000 
$ 52,000,000 
 
Interest expense, net
50,800,000 
52,600,000 
150,000,000 
166,500,000 
 
Depreciation and amortization
75,400,000 
76,200,000 
225,500,000 
229,100,000 
 
EBITDA
180,400,000 
118,000,000 
482,800,000 
447,600,000 
 
Inventory step-up
500,000 
0 
1,000,000 
0 
 
Financing costs
0 
3,000,000 
0 
6,100,000 
 
Foreign exchange remeasurement losses (gains)
23,700,000 
59,600,000 
90,200,000 
45,100,000 
 
Long-term employee benefit plan adjustments
(500,000)
(4,700,000)
(100,000)
(200,000)
 
Termination benefits and other employee related costs
800,000 
3,200,000 
19,300,000 
9,100,000 
 
Consulting and advisory fees
7,200,000 
8,800,000 
17,100,000 
29,500,000 
 
Transition-related costs
0 
33,500,000 
0 
81,000,000 
 
Offering costs
1,400,000 
3,200,000 
3,100,000 
3,200,000 
 
Other adjustments
3,700,000 
2,600,000 
14,800,000 
13,600,000 
 
Dividends paid to noncontrolling interests
(300,000)
0 
(4,400,000)
(1,600,000)
 
Management fee expense
0 
800,000 
0 
2,400,000 
 
Asset impairment
0 
0 
30,600,000 
0 
 
Adjusted EBITDA
216,900,000 
228,000,000 
654,400,000 
635,800,000 
 
Subsidiaries [Member]
 
 
 
 
 
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
 
 
 
 
 
Asset impairment
 
 
30,600,000 
 
 
Carlyle Investment Management Llc [Member]
 
 
 
 
 
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
 
 
 
 
 
Consulting and advisory fees
 
 
 
3,000,000 
 
Management fee expense
0 
800,000 
0 
2,400,000 
3,000,000 
Senior Secured Credit Facilities [Member]
 
 
 
 
 
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
 
 
 
 
 
Refinancing costs
 
 
 
3,100,000 
 
Fair Value Adjustment to Inventory [Member]
 
 
 
 
 
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
 
 
 
 
 
Inventory step-up
500,000 
 
1,000,000 
 
 
Equity Method Investee [Member]
 
 
 
 
 
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
 
 
 
 
 
Equity method investments, remeasurement gain
 
 
5,400,000 
 
 
New Dollar Term Loan [Member]
 
 
 
 
 
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
 
 
 
 
 
Repayments of debt
 
 
 
100,000,000 
 
Loss on extinguishment of debt
 
(3,000,000)
 
(6,100,000)
 
Pension Plan [Member]
 
 
 
 
 
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
 
 
 
 
 
Curtailment gain
0 
6,600,000 
0 
6,600,000 
 
Pension Plan [Member] |
Selling, General and Administrative Expenses [Member]
 
 
 
 
 
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
 
 
 
 
 
Curtailment gain
 
$ 6,600,000 
 
$ 6,600,000 
 
Shareholders' Equity (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Increase (Decrease) in Stockholders' Equity [Roll Forward]
 
 
 
 
Total stockholders’ equity, beginning balance
 
 
$ 1,112.0 
$ 1,211.8 
Net income
36.4 
(18.3)
58.8 
33.8 
Other comprehensive loss, net of tax
(67.9)
(27.0)
(154.9)
(36.4)
Exercise of stock options
 
 
66.4 
3.0 
Recognition of stock-based compensation
 
 
22.1 
6.1 
Issuances of common stock
 
 
 
2.3 
Noncontrolling interests of acquired subsidiaries
 
 
4.3 
(6.4)
Dividends declared to noncontrolling interests
 
 
(4.4)
(1.6)
Total stockholders’ equity, ending balance
1,104.3 
1,212.6 
1,104.3 
1,212.6 
Parent [Member]
 
 
 
 
Increase (Decrease) in Stockholders' Equity [Roll Forward]
 
 
 
 
Total stockholders’ equity, beginning balance
 
 
1,044.7 
1,142.9 
Net income
 
 
55.1 
29.6 
Other comprehensive loss, net of tax
 
 
(152.6)
(34.2)
Exercise of stock options
 
 
66.4 
3.0 
Recognition of stock-based compensation
 
 
22.1 
6.1 
Issuances of common stock
 
 
 
2.3 
Noncontrolling interests of acquired subsidiaries
 
 
0 
(2.5)
Dividends declared to noncontrolling interests
 
 
0 
0 
Total stockholders’ equity, ending balance
1,035.7 
1,147.2 
1,035.7 
1,147.2 
Noncontrolling Interest [Member]
 
 
 
 
Increase (Decrease) in Stockholders' Equity [Roll Forward]
 
 
 
 
Total stockholders’ equity, beginning balance
 
 
67.3 
68.9 
Net income
 
 
3.7 
4.2 
Other comprehensive loss, net of tax
 
 
(2.3)
(2.2)
Exercise of stock options
 
 
0 
0 
Recognition of stock-based compensation
 
 
0 
0 
Issuances of common stock
 
 
 
0 
Noncontrolling interests of acquired subsidiaries
 
 
4.3 
(3.9)
Dividends declared to noncontrolling interests
 
 
(4.4)
(1.6)
Total stockholders’ equity, ending balance
$ 68.6 
$ 65.4 
$ 68.6 
$ 65.4 
Accumulated Other Comprehensive Income (Loss) - Schedule of Accumulated Other Comprehensive Income (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2015
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
 
 
 
 
Accumulated other comprehensive income (loss), beginning balance
 
 
$ (103.3)
 
Other comprehensive loss, net of tax
(67.9)
(27.0)
(154.9)
(36.4)
Accumulated other comprehensive income (loss), ending balance
(255.9)
 
(255.9)
 
Unrealized Currency Translation Adjustments [Member]
 
 
 
 
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
 
 
 
 
Accumulated other comprehensive income (loss), beginning balance
 
 
(72.1)
24.3 
Current year deferrals to AOCI
 
 
(144.4)
(36.1)
Reclassifications from AOCI to Net income
 
 
0 
0 
Other comprehensive loss, net of tax
 
 
(144.4)
(36.1)
Accumulated other comprehensive income (loss), ending balance
(216.5)
(11.8)
(216.5)
(11.8)
Pension and Other Long-term Employee Benefit Adjustments [Member]
 
 
 
 
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
 
 
 
 
Accumulated other comprehensive income (loss), beginning balance
 
 
(31.2)
7.5 
Current year deferrals to AOCI
 
 
(1.6)
1.8 
Reclassifications from AOCI to Net income
 
 
(1.3)
(0.1)
Other comprehensive loss, net of tax
 
 
(2.9)
1.7 
Accumulated other comprehensive income (loss), ending balance
(34.1)
9.2 
(34.1)
9.2 
Unrealized Gain (Loss) on Securities [Member]
 
 
 
 
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
 
 
 
 
Accumulated other comprehensive income (loss), beginning balance
 
 
(0.2)
(0.9)
Current year deferrals to AOCI
 
 
0 
0.8 
Reclassifications from AOCI to Net income
 
 
0 
0 
Other comprehensive loss, net of tax
 
 
0 
0.8 
Accumulated other comprehensive income (loss), ending balance
(0.2)
(0.1)
(0.2)
(0.1)
Unrealized Gain (Losses) on Derivatives [Member]
 
 
 
 
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
 
 
 
 
Accumulated other comprehensive income (loss), beginning balance
 
 
0.2 
3.1 
Current year deferrals to AOCI
 
 
(2.1)
2.5 
Reclassifications from AOCI to Net income
 
 
(3.2)
(3.1)
Other comprehensive loss, net of tax
 
 
(5.3)
(0.6)
Accumulated other comprehensive income (loss), ending balance
(5.1)
2.5 
(5.1)
2.5 
Accumulated Other Comprehensive Income (loss) [Member]
 
 
 
 
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
 
 
 
 
Accumulated other comprehensive income (loss), beginning balance
 
 
(103.3)
34.0 
Current year deferrals to AOCI
 
 
(148.1)
(31.0)
Reclassifications from AOCI to Net income
 
 
(4.5)
(3.2)
Other comprehensive loss, net of tax
 
 
(152.6)
(34.2)
Accumulated other comprehensive income (loss), ending balance
$ (255.9)
$ (0.2)
$ (255.9)
$ (0.2)
Accumulated Other Comprehensive Income (Loss) - Additional Information (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Sep. 30, 2014
Sep. 30, 2015
Sep. 30, 2014
Equity [Abstract]
 
 
 
Pension and other postretirement benefit plans, tax benefit (expense)
 
$ (1.8)
$ (0.1)
Cumulative pension and other postretirement benefit plans, tax expense (benefits)
3.6 
15.2 
3.6 
Unrealized gain (loss) on derivatives, income tax expense (benefit)
 
2.8 
0.4 
Cumulative unrealized gain (loss) on derivatives, income tax expense (benefit)
1.5 
2.6 
1.5 
Curtailment gain
$ (5.7)
 
$ (11.3)
Subsequent Events (Details) (New Dollar Term Loan [Member], USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended 1 Months Ended
Sep. 30, 2014
Sep. 30, 2014
Oct. 31, 2015
Subsequent Event [Member]
Subsequent Event [Line Items]
 
 
 
Repayments of debt
 
$ 100.0 
$ 100.0 
Loss on extinguishment of debt
$ (3.0)
$ (6.1)
$ (2.5)