UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) October 23, 2013
LEGGETT & PLATT, INCORPORATED
(Exact name of registrant as specified in its charter)
| Missouri | 001-07845 | 44-0324630 | ||
| (State or other jurisdiction of incorporation) |
(Commission File Number) |
(IRS Employer Identification No.) |
| No. 1 Leggett Road, Carthage, MO |
64836 | |
| (Address of principal executive offices) | (Zip Code) |
Registrant’s telephone number, including area code 417-358-8131
N/A
(Former name or former address, if changed since last report.)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
| ¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| ¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| ¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| ¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Item 2.02 Results of Operations and Financial Condition.
On October 23, 2013, Leggett & Platt, Incorporated issued a press release announcing its financial results for the third quarter ended September 30, 2013. The press release is attached as Exhibit 99.1 and is incorporated herein by reference.
This information is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or incorporated by reference into any document filed under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such filing.
On October 24, 2013, the Company will hold an investor conference call to discuss its third quarter financial results, annual guidance and related matters.
The press release contains the Company’s “net debt to net capitalization ratio.” Reconciliation of this non-GAAP financial measure to the most directly comparable GAAP financial measure is set forth in the press release. Company management believes the presentation of net debt to net capitalization provides investors a useful way to evaluate the Company’s debt leverage if the Company was to use its cash to pay down debt. The Company’s cash has fluctuated, sometimes significantly, from period to period. Management uses this ratio as supplemental information to track leverage trends across time periods with variable levels of cash. Net debt to net capitalization may not be comparable to similarly titled measures used by other companies and should not be considered a substitute for, or more meaningful than long-term debt to total capitalization. Because we may not be able to use our cash to reduce our debt on a dollar-for-dollar basis, the net debt to net capitalization ratio may have material limitations.
Item 7.01 Regulation FD Disclosure.
The information provided in Item 2.02, including Exhibit 99.1, is incorporated herein by reference.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits.
| Exhibit No. |
Description | |
| 99.1 | Press Release dated October 23, 2013 | |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| LEGGETT & PLATT, INCORPORATED | ||||
| Date: October 23, 2013 | By: | /S/ JOHN G. MOORE | ||
| John G. Moore | ||||
| Senior Vice President – Chief Legal & HR Officer and Secretary | ||||
EXHIBIT INDEX
| Exhibit No. |
Description | |
| 99.1 | Press Release dated October 23, 2013 | |
Exhibit 99.1
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FOR IMMEDIATE RELEASE: OCTOBER 23, 2013
LEGGETT & PLATT REPORTS THIRD QUARTER EPS OF $.49
Carthage, MO, October 23, 2013 —
| • | 3Q EPS was $.49, including an unusual $.06 benefit from an acquisition completed during the quarter |
| • | 3Q sales were $958 million, 2% lower than in prior year |
| • | Revised 2013 guidance is $1.61-1.66 EPS, on sales of approximately $3.75 billion |
Diversified manufacturer Leggett & Platt reported third quarter EPS of $.49. Results include an unusual $.06 EPS benefit from an acquisition purchased at a negotiated price less than the accounting fair value of net assets. For comparison, 3Q 2012 EPS was $.45. The underlying EPS decrease (apart from the acquisition benefit) is primarily due to reduced unit volume.
Third quarter sales from continuing operations were $958 million, a 2% (or $20 million) decrease versus the prior year. Same location sales decreased 3%, primarily due to lower store fixture unit volume. Acquisitions increased sales by 1%.
CEO Comments
CEO David S. Haffner commented, “In general, the third quarter remained sluggish as companies and consumers wrestled with the effects of continuing governmental gridlock and its associated uncertainty. Even so, we are pleased with the progress made in many of our operating units. Our sales decline primarily reflects the non-recurrence, as expected, of one major retailer’s large store fixture programs that were concentrated in the third quarter last year. This was partially offset by sales gains in the automotive and carpet underlay business units. EPS declined consistent with lower sales, but this was more than offset by the one-time accounting benefit from a recent acquisition.
“During the quarter we acquired an aerospace tubing manufacturer based in France, producing roughly $40 million of annual revenue. Including the 2012 Western Pneumatic Tube acquisition, and one smaller U.K. operation acquired earlier this year, we now have four companies that provide titanium, nickel alloy and stainless steel welded and seamless tubing and sub-assemblies for aerospace applications. Collectively, these operations should generate annual revenue of approximately $120 million.
“Since 2007, our primary long-term financial goal has been to consistently rank in the top third of the S&P 500 companies for Total Shareholder Return (TSR1) as measured over rolling 3-year periods. For the three year period that began January 1, 2011, we have so far (over the last 34 months) generated annual average TSR of 15%, which places us at the midpoint of the S&P 500 companies.
“We continue to maintain our strong financial base. At quarter’s end we had nearly $500 million available under our existing commercial paper program. We ended the quarter with net debt to net capital at 27.9%, the lowest level in over two years, and conservatively below our long-term 30%-40% target range.”
Dividends and Stock Repurchases
In August, Leggett & Platt’s Board of Directors increased the quarterly dividend to $.30, one cent higher than the second quarter dividend. 2013 marks 42 consecutive annual dividend increases for the company, with a compound annual growth rate of 13%. Only two other S&P 500 companies can claim as high a rate of dividend growth for as many years.
| 1 | TSR = (Change in Stock Price + Dividends) / Beginning Stock Price; assumes dividends are reinvested |
At yesterday’s closing share price of $29.67, the indicated annual dividend of $1.20 per share generates a yield of 4.0%, one of the highest dividend yields among the S&P 500 Dividend Aristocrats.
During the third quarter the company purchased 1.1 million shares of its stock, and issued 0.3 million shares. The number of shares outstanding decreased to 141.2 million. During the first three quarters of 2013 the company repurchased 3.9 million shares and issued 3.1 million shares. Approximately two-thirds of the stock issuance reflects employee stock option exercises in response to higher stock prices.
2013 Outlook
For 2013, Leggett & Platt now anticipates annual sales of approximately $3.75 billion, reflecting 1% growth; prior sales guidance was $3.75-3.85 billion. Full year EPS guidance is now $1.61-1.66. Continuing operations EPS guidance, adjusted to exclude the $.06 benefit from the 3Q acquisition, has been narrowed to $1.50-1.55, versus prior guidance of $1.50-1.65. Last year’s continuing operations adjusted EPS was $1.47.2
Cash from operations should again exceed $350 million for the full year. Capital expenditures are expected to be approximately $85 million, and dividend payments should approximate $125 million (lower than normal, since the company accelerated the January 2013 dividend payment into December 2012).
As has been typical since 2007, after funding dividends and capital expenditures, excess cash flow is largely being directed toward acquisitions or stock repurchases. Management has standing authorization from the Board of Directors to repurchase up to 10 million shares each year; however, no specific repurchase commitment or timetable has been established.
Over the last few years, Leggett & Platt significantly reduced its fixed cost structure, but purposely retained spare production capacity. Accordingly, unit sales volumes can rebound appreciably without the need for large capital investment. As a result, the company has meaningful operating leverage that should significantly benefit future earnings and margins as market demand rebounds.
SEGMENT RESULTS – Third Quarter 2013 (versus the same period in 2012)
Residential Furnishings – Total sales increased $27 million, or 6%, from higher unit volumes, and raw material related price increases in carpet underlay. EBIT (earnings before interest and income taxes) increased $7 million primarily due to higher unit volume.
Commercial Fixturing & Components – Total sales decreased $33 million, or 20%, largely due to non-recurrence, as anticipated, of last year’s robust store fixture sales to a major retailer. EBIT decreased $11 million due to lower sales.
Industrial Materials – Total sales decreased $10 million, or 4%. Same location sales declined 10%, with roughly one-half of that reduction caused by reduced trade sales at the rod mill, and the remainder from steel-related price deflation and lower unit volume. EBIT declined $3 million, primarily due to lower sales and reduced metal margins.
Specialized Products – Total sales increased $2 million, with strength in Automotive offset by decreases in Commercial Vehicle Products. EBIT decreased $1 million due to reduced sales and operational challenges in CVP.
Slides and Conference Call
A set of slides containing summary financial information is available from the Investor Relations section of Leggett’s website at www.leggett.com. Management will host a conference call at 8:00 a.m. Central (9:00 a.m. Eastern) on Thursday, October 24. The webcast can be accessed (live or replay) from Leggett’s website. The dial-in number is (201) 689-8341; there is no passcode.
| 2 | To aid investors’ awareness of basic operational profitability, 2012 adjusted EPS excludes $.18 in unusual tax benefits. Full year 2012 reported EPS was $1.70, including $.05 from Discontinued Operations. |
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Fourth quarter results will be released after the market closes on Thursday, January 23, 2014, with a conference call the next morning.
FOR MORE INFORMATION: Visit Leggett’s website at www.leggett.com.
COMPANY DESCRIPTION: Leggett & Platt (NYSE: LEG) is a diversified manufacturer (and member of the S&P 500) that conceives, designs and produces a variety of engineered components and products that can be found in most homes, offices, and automobiles. The 130-year-old firm is comprised of 20 business units, 18,000 employee-partners, and 130 manufacturing facilities located in 18 countries.
Leggett & Platt is the leading U.S. manufacturer of: a) components for residential furniture and bedding; b) office furniture components; c) drawn steel wire; d) automotive seat support & lumbar systems; e) carpet underlay; f) adjustable bed bases; g) bedding industry machinery.
FORWARD-LOOKING STATEMENTS: Statements in this release that are not historical in nature are “forward-looking.” These statements involve uncertainties and risks, including the company’s ability to improve operations and realize cost savings, price and product competition from foreign and domestic competitors, changes in demand for the company’s products, cost and availability of raw materials and labor, fuel and energy costs, future growth of acquired companies, general economic conditions, possible goodwill or other asset impairment, foreign currency fluctuation, litigation risks, and other factors described in the company’s Form 10-K. Any forward-looking statement reflects only the company’s beliefs when the statement is made. Actual results could differ materially from expectations, and the company undertakes no duty to update these statements.
CONTACT: Investor Relations, (417) 358-8131 or invest@leggett.com
David M. DeSonier, Senior Vice President of Corporate Strategy and Investor Relations
Susan R. McCoy, Staff Vice President of Investor Relations
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LEGGETT & PLATT
| October 23, 2013 | ||||||||||||||||||||||||
| RESULTS OF OPERATIONS 1 |
THIRD QUARTER | YEAR TO DATE | ||||||||||||||||||||||
| (In millions, except per share data) |
2013 | 2012 | Change | 2013 | 2012 | Change | ||||||||||||||||||
| Net sales (from continuing operations) |
$ | 957.7 | $ | 978.1 | (2 | %) | 2,849.2 | $ | 2,856.0 | (0 | %) | |||||||||||||
| Cost of goods sold |
764.7 | 773.2 | 2,268.2 | 2,285.9 | ||||||||||||||||||||
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| Gross profit |
193.0 | 204.9 | 581.0 | 570.1 | ||||||||||||||||||||
| Selling & administrative expenses |
92.1 | 94.1 | (2 | %) | 298.1 | 283.0 | 5 | % | ||||||||||||||||
| Amortization |
5.4 | 6.5 | 16.5 | 19.1 | ||||||||||||||||||||
| Other expense (income), net |
(10.7 | ) | (0.6 | ) | (17.7 | ) | 0.4 | |||||||||||||||||
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| Earnings before interest and taxes |
106.2 | 104.9 | 1 | % | 284.1 | 267.6 | 6 | % | ||||||||||||||||
| Net interest expense |
8.9 | 9.7 | 28.1 | 25.5 | ||||||||||||||||||||
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| Earnings before income taxes |
97.3 | 95.2 | 256.0 | 242.1 | ||||||||||||||||||||
| Income taxes |
25.7 | 28.6 | 69.9 | 72.9 | ||||||||||||||||||||
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| Net earnings from continuing operations |
71.6 | 66.6 | 186.1 | 169.2 | ||||||||||||||||||||
| Discontinued operations, net of tax |
0.4 | — | 7.3 | 7.3 | ||||||||||||||||||||
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| Net earnings |
72.0 | 66.6 | 193.4 | 176.5 | ||||||||||||||||||||
| Less net income from non-controlling interest |
(0.7 | ) | (0.8 | ) | (1.7 | ) | (1.8 | ) | ||||||||||||||||
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| Net earnings attributable to L&P |
$ | 71.3 | $ | 65.8 | 8 | % | $ | 191.7 | $ | 174.7 | 10 | % | ||||||||||||
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| Earnings per diluted share |
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| From continuing operations |
$ | 0.48 | $ | 0.45 | 7 | % | $ | 1.25 | $ | 1.15 | 9 | % | ||||||||||||
| From discontinued operations |
$ | 0.00 | $ | 0.00 | $ | 0.05 | $ | 0.05 | ||||||||||||||||
| Net earnings per diluted share |
$ | 0.49 | $ | 0.45 | 9 | % | $ | 1.30 | $ | 1.20 | 8 | % | ||||||||||||
| Shares outstanding |
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| Common stock (at end of period) |
141.2 | 141.0 | 141.2 | 141.0 | ||||||||||||||||||||
| Basic (average for period) |
144.9 | 144.4 | 145.6 | 144.0 | ||||||||||||||||||||
| Diluted (average for period) |
147.0 | 146.1 | 147.7 | 145.5 | ||||||||||||||||||||
| CASH FLOW |
THIRD QUARTER | YEAR TO DATE | ||||||||||||||||||||||
| (In millions) |
2013 | 2012 | Change | 2013 | 2012 | Change | ||||||||||||||||||
| Net earnings |
$ | 72.0 | $ | 66.6 | $ | 193.4 | $ | 176.5 | ||||||||||||||||
| Depreciation and amortization |
29.2 | 31.5 | 88.3 | 89.2 | ||||||||||||||||||||
| Working capital decrease (increase) |
21.3 | (8.4 | ) | (75.6 | ) | (55.1 | ) | |||||||||||||||||
| Asset Impairment |
— | — | 2.3 | 1.0 | ||||||||||||||||||||
| Other operating activity |
(6.9 | ) | 5.0 | 30.4 | 29.4 | |||||||||||||||||||
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| Net Cash from Operating Activity |
$ | 115.6 | $ | 94.7 | 22 | % | $ | 238.8 | $ | 241.0 | (1 | %) | ||||||||||||
| Additions to PP&E |
(18.1 | ) | (16.2 | ) | (60.0 | ) | (53.5 | ) | 12 | % | ||||||||||||||
| Purchase of companies, net of cash |
(16.4 | ) | (0.5 | ) | (26.5 | ) | (190.3 | ) | ||||||||||||||||
| Liquidation of (investment in) unconsol. entity2 |
21.2 | (22.4 | ) | 21.2 | (22.4 | ) | ||||||||||||||||||
| Proceeds from asset sales |
2.4 | 1.9 | 16.8 | 9.3 | ||||||||||||||||||||
| Dividends paid |
(41.2 | ) | (39.3 | ) | (82.6 | ) | (117.5 | ) | ||||||||||||||||
| Repurchase of common stock, net |
(28.4 | ) | 1.5 | (78.1 | ) | (1.3 | ) | |||||||||||||||||
| Additions (payments) to debt, net |
(18.7 | ) | 31.7 | (92.0 | ) | 211.4 | ||||||||||||||||||
| Liquidation of interest rate swap agreement |
— | (42.7 | ) | — | (42.7 | ) | ||||||||||||||||||
| Other |
2.2 | 1.7 | 2.2 | (5.4 | ) | |||||||||||||||||||
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| Increase (Decr.) in Cash & Equiv. |
$ | 18.6 | $ | 10.4 | $ | (60.2 | ) | $ | 28.6 | |||||||||||||||
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| FINANCIAL POSITION |
30-Sep | |||||||||||||||||||||||
| (In millions) |
2013 | 2012 | Change | |||||||||||||||||||||
| Cash and equivalents |
$ | 298.9 | $ | 264.9 | ||||||||||||||||||||
| Receivables |
574.7 | 589.7 | ||||||||||||||||||||||
| Inventories |
488.9 | 471.2 | ||||||||||||||||||||||
| Other current assets |
45.4 | 52.9 | ||||||||||||||||||||||
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| Total current assets |
1,407.9 | 1,378.7 | 2 | % | ||||||||||||||||||||
| Net fixed assets |
579.9 | 575.4 | ||||||||||||||||||||||
| Held for sale |
16.9 | 20.5 | ||||||||||||||||||||||
| Goodwill and other assets |
1,300.4 | 1,271.3 | ||||||||||||||||||||||
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| TOTAL ASSETS |
$ | 3,305.1 | $ | 3,245.9 | 2 | % | ||||||||||||||||||
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| Trade accounts payable |
$ | 326.2 | $ | 292.0 | ||||||||||||||||||||
| Current debt maturities |
1.1 | 201.8 | ||||||||||||||||||||||
| Other current liabilities |
311.5 | 301.9 | ||||||||||||||||||||||
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| Total current liabilities |
638.8 | 795.7 | (20 | %) | ||||||||||||||||||||
| Long term debt |
957.5 | 860.2 | 11 | % | ||||||||||||||||||||
| Deferred taxes and other liabilities |
245.1 | 189.2 | ||||||||||||||||||||||
| Equity |
1,463.7 | 1,400.8 | 4 | % | ||||||||||||||||||||
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| Total Capitalization |
2,666.3 | 2,450.2 | ||||||||||||||||||||||
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| TOTAL LIABILITIES & EQUITY |
$ | 3,305.1 | $ | 3,245.9 | ||||||||||||||||||||
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| 1 | Prior year results have been restated for discontinued operations. |
| 2 | The company also received, as part of 3Q 2013 Cash from Operating Activity, $1.8 million in interest related to this investment. |
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LEGGETT & PLATT
| SEGMENT RESULTS 1 |
THIRD QUARTER | YEAR TO DATE | ||||||||||||||||||||||
| (In millions) | 2013 | 2012 | Change | 2013 | 2012 | Change | ||||||||||||||||||
| External Sales |
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| Residential Furnishings |
$ | 500.3 | $ | 479.7 | 4.3 | % | $ | 1,470.0 | $ | 1,442.7 | 1.9 | % | ||||||||||||
| Commercial Fixturing & Components |
128.2 | 161.5 | (20.6 | %) | 369.0 | 388.4 | (5.0 | %) | ||||||||||||||||
| Industrial Materials |
150.7 | 156.7 | (3.8 | %) | 466.1 | 488.6 | (4.6 | %) | ||||||||||||||||
| Specialized Products |
178.5 | 180.2 | (0.9 | %) | 544.1 | 536.3 | 1.5 | % | ||||||||||||||||
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| Total |
$ | 957.7 | $ | 978.1 | (2.1 | %) | $ | 2,849.2 | $ | 2,856.0 | (0.2 | %) | ||||||||||||
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| Inter-Segment Sales |
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| Residential Furnishings |
$ | 8.3 | $ | 2.0 | $ | 14.2 | $ | 6.3 | ||||||||||||||||
| Commercial Fixturing & Components |
1.3 | 1.3 | 3.5 | 3.5 | ||||||||||||||||||||
| Industrial Materials |
55.3 | 58.9 | 179.8 | 195.4 | ||||||||||||||||||||
| Specialized Products |
13.5 | 9.6 | 42.6 | 33.2 | ||||||||||||||||||||
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| Total |
$ | 78.4 | $ | 71.8 | $ | 240.1 | $ | 238.4 | ||||||||||||||||
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| Total Sales |
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| Residential Furnishings |
$ | 508.6 | $ | 481.7 | 5.6 | % | $ | 1,484.2 | $ | 1,449.0 | 2.4 | % | ||||||||||||
| Commercial Fixturing & Components |
129.5 | 162.8 | (20.5 | %) | 372.5 | 391.9 | (5.0 | %) | ||||||||||||||||
| Industrial Materials |
206.0 | 215.6 | (4.5 | %) | 645.9 | 684.0 | (5.6 | %) | ||||||||||||||||
| Specialized Products |
192.0 | 189.8 | 1.2 | % | 586.7 | 569.5 | 3.0 | % | ||||||||||||||||
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| Total |
$ | 1,036.1 | $ | 1,049.9 | (1.3 | %) | $ | 3,089.3 | $ | 3,094.4 | (0.2 | %) | ||||||||||||
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| EBIT |
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| Residential Furnishings |
$ | 47.0 | $ | 39.7 | 18 | % | $ | 131.7 | $ | 119.9 | 10 | % | ||||||||||||
| Commercial Fixturing & Components |
8.4 | 19.2 | (56 | %) | 17.9 | 29.5 | (39 | %) | ||||||||||||||||
| Industrial Materials |
16.2 | 19.2 | (16 | %) | 59.8 | 50.2 | 19 | % | ||||||||||||||||
| Specialized Products |
21.9 | 22.9 | (4 | %) | 66.0 | 67.2 | (2 | %) | ||||||||||||||||
| Intersegment eliminations and other |
7.8 | (1.8 | ) | (1.0 | ) | (7.0 | ) | |||||||||||||||||
| Change in LIFO reserve |
4.9 | 5.7 | 9.7 | 7.8 | ||||||||||||||||||||
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| Total |
$ | 106.2 | $ | 104.9 | 1 | % | $ | 284.1 | $ | 267.6 | 6 | % | ||||||||||||
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| Basis Pts | Basis Pts | |||||||||||||||||||||||
| EBIT Margin 2 |
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| Residential Furnishings |
9.2 | % | 8.2 | % | 100 | 8.9 | % | 8.3 | % | 60 | ||||||||||||||
| Commercial Fixturing & Components |
6.5 | % | 11.8 | % | (530 | ) | 4.8 | % | 7.5 | % | (270 | ) | ||||||||||||
| Industrial Materials |
7.9 | % | 8.9 | % | (100 | ) | 9.3 | % | 7.3 | % | 200 | |||||||||||||
| Specialized Products |
11.4 | % | 12.1 | % | (70 | ) | 11.2 | % | 11.8 | % | (60 | ) | ||||||||||||
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| Overall from Continuing Operations |
11.1 | % | 10.7 | % | 40 | 10.0 | % | 9.4 | % | 60 | ||||||||||||||
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| LAST SIX QUARTERS |
2012 | 2013 | ||||||||||||||||||||||
| 2Q | 3Q | 4Q | 1Q | 2Q | 3Q | |||||||||||||||||||
| Selected Figures |
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| Trade Sales ($ million) |
935 | 978 | 850 | 933 | 959 | 958 | ||||||||||||||||||
| Sales Growth (vs. prior year) |
(1 | %) | 4 | % | (0 | %) | (1 | %) | 3 | % | (2 | %) | ||||||||||||
| EBIT ($ million) |
87 | 105 | 76 | 79 | 99 | 106 | ||||||||||||||||||
| EBIT Margin |
9.3 | % | 10.7 | % | 8.9 | % | 8.5 | % | 10.3 | % | 11.1 | % | ||||||||||||
| Net Earnings to L&P—excl. discontinued oper. ($m) |
57 | 66 | 74 | 49 | 65 | 71 | ||||||||||||||||||
| Net Margin—excludes discontinued operations |
6.1 | % | 6.7 | % | 8.7 | % | 5.3 | % | 6.8 | % | 7.4 | % | ||||||||||||
| EPS—continuing operations (diluted) |
$ | 0.39 | $ | 0.45 | $ | 0.50 | $ | 0.33 | $ | 0.44 | $ | 0.48 | ||||||||||||
| Cash from Operations ($ million) |
81 | 95 | 209 | 24 | 99 | 116 | ||||||||||||||||||
| Net Debt to Net Capitalization |
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| Long term debt |
821.0 | 860.2 | 853.9 | 953.8 | 973.9 | 957.5 | ||||||||||||||||||
| Current debt maturities |
201.9 | 201.8 | 201.5 | 201.4 | 1.8 | 1.1 | ||||||||||||||||||
| Less cash and equivalents |
(254.5 | ) | (264.9 | ) | (359.1 | ) | (449.4 | ) | (280.3 | ) | (298.9 | ) | ||||||||||||
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| Net Debt |
768.4 | 797.1 | 696.3 | 705.8 | 695.4 | 659.7 | ||||||||||||||||||
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| Total capitalization |
2,359.3 | 2,450.2 | 2,523.9 | 2,635.3 | 2,648.0 | 2,666.3 | ||||||||||||||||||
| Current debt maturities |
201.9 | 201.8 | 201.5 | 201.4 | 1.8 | 1.1 | ||||||||||||||||||
| Less cash and equivalents |
(254.5 | ) | (264.9 | ) | (359.1 | ) | (449.4 | ) | (280.3 | ) | (298.9 | ) | ||||||||||||
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| Net Capitalization |
2,306.7 | 2,387.1 | 2,366.3 | 2,387.3 | 2,369.5 | 2,368.5 | ||||||||||||||||||
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| Long Term Debt to Total Capitalization |
34.8 | % | 35.1 | % | 33.8 | % | 36.2 | % | 36.8 | % | 35.9 | % | ||||||||||||
| Net Debt to Net Capital |
33.3 | % | 33.4 | % | 29.4 | % | 29.6 | % | 29.3 | % | 27.9 | % | ||||||||||||
| Management uses Net Debt to Net Capital to track leverage trends across time periods with variable levels of cash. | ||||||||||||||||||||||||
| 2Q | 3Q | 4Q | 1Q | 2Q | 3Q | |||||||||||||||||||
| Same Location Sales (vs. prior year) |
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| Residential Furnishings |
1 | % | 2 | % | 4 | % | (1 | %) | 3 | % | 6 | % | ||||||||||||
| Commercial Fixturing & Components |
(10 | %) | 21 | % | (4 | %) | 1 | % | 11 | % | (20 | %) | ||||||||||||
| Industrial Materials |
(5 | %) | (8 | %) | (15 | %) | (7 | %) | (9 | %) | (10 | %) | ||||||||||||
| Specialized Products |
5 | % | 2 | % | 1 | % | 1 | % | 7 | % | 1 | % | ||||||||||||
| Overall from Continuing Operations |
(2 | %) | 3 | % | (2 | %) | (2 | %) | 2 | % | (3 | %) | ||||||||||||
| 1 | Prior year results have been restated for discontinued operations. |
| 2 | Segment margins calculated on Total Sales. Overall company margin calculated on External Sales. |
nm = not meaningful
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