2015 Q4 Form 10-K Financial Statement

#000007567716000030 Filed on February 26, 2016

View on sec.gov

Income Statement

Concept 2015 Q4 2014 Q4 2014 Q3
Revenue $1.391B $1.434B $1.519B
YoY Change -3.01% 13.41% 79.65%
Cost Of Revenue $1.106B $1.137B $1.199B
YoY Change -2.74% 13.13% 94.0%
Gross Profit $285.0M $297.0M $320.3M
YoY Change -4.04% 14.49% 40.73%
Gross Profit Margin 20.49% 20.71% 21.09%
Selling, General & Admin $105.4M $110.5M $119.6M
YoY Change -4.62% 10.5% 55.13%
% of Gross Profit 36.98% 37.21% 37.34%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $82.80M $85.10M $95.10M
YoY Change -2.7% 5.71% 124.29%
% of Gross Profit 29.05% 28.65% 29.69%
Operating Expenses $104.5M $111.0M $119.6M
YoY Change -5.86% 11.33% 55.13%
Operating Profit $175.9M $173.2M $188.4M
YoY Change 1.56% 40.93% 31.93%
Interest Expense -$22.30M -$23.10M -$23.10M
YoY Change -3.46% -17.5% 94.94%
% of Operating Profit -12.68% -13.34% -12.26%
Other Income/Expense, Net
YoY Change
Pretax Income $153.6M $150.1M $165.3M
YoY Change 2.33% 58.0% 26.25%
Income Tax $49.40M $51.60M $60.90M
% Of Pretax Income 32.16% 34.38% 36.84%
Net Earnings $104.3M $98.50M $104.4M
YoY Change 5.89% -56.82% 23.26%
Net Earnings / Revenue 7.5% 6.87% 6.87%
Basic Earnings Per Share $1.07 $1.00 $1.06
Diluted Earnings Per Share $1.07 $1.00 $1.06
COMMON SHARES
Basic Shares Outstanding 97.00M shares 98.38M shares 97.10M shares
Diluted Shares Outstanding 97.20M shares

Balance Sheet

Concept 2015 Q4 2014 Q4 2014 Q3
SHORT-TERM ASSETS
Cash & Short-Term Investments $184.2M $124.9M $154.3M
YoY Change 47.48% -34.61% -61.09%
Cash & Equivalents $184.2M $124.9M $154.3M
Short-Term Investments
Other Short-Term Assets $28.80M $61.90M $108.5M
YoY Change -53.47% -22.24% 103.56%
Inventory $676.8M $664.9M $617.0M
Prepaid Expenses
Receivables $636.5M $646.1M $717.9M
Other Receivables $28.20M $5.100M $0.00
Total Short-Term Assets $1.555B $1.503B $1.598B
YoY Change 3.43% -1.84% 40.65%
LONG-TERM ASSETS
Property, Plant & Equipment $2.832B $2.858B $2.818B
YoY Change -0.89% 1.85% 105.85%
Goodwill $544.0M $546.8M $541.9M
YoY Change -0.51% 0.0% 706.9%
Intangibles
YoY Change
Long-Term Investments
YoY Change
Other Assets $70.90M $72.00M $73.90M
YoY Change -1.53% 3.3% 50.13%
Total Long-Term Assets $3.718B $3.756B $3.733B
YoY Change -1.01% 2.47% 145.4%
TOTAL ASSETS
Total Short-Term Assets $1.555B $1.503B $1.598B
Total Long-Term Assets $3.718B $3.756B $3.733B
Total Assets $5.272B $5.259B $5.331B
YoY Change 0.26% 1.2% 100.62%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $294.2M $330.5M $387.9M
YoY Change -10.98% -7.55% 136.6%
Accrued Expenses $193.5M $220.0M $228.8M
YoY Change -12.05% 2.76% 76.55%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due $6.500M $6.500M $6.500M
YoY Change 0.0% -83.33% -56.67%
Total Short-Term Liabilities $561.9M $611.0M $690.0M
YoY Change -8.04% -7.51% 94.98%
LONG-TERM LIABILITIES
Long-Term Debt $2.290B $2.349B $2.350B
YoY Change -2.49% -6.37% 206.29%
Other Long-Term Liabilities $59.50M $72.80M $84.76M
YoY Change -18.27% 11.31% 151.82%
Total Long-Term Liabilities $3.077B $3.140B $3.089B
YoY Change -2.02% -2.67% 156.52%
TOTAL LIABILITIES
Total Short-Term Liabilities $561.9M $611.0M $690.0M
Total Long-Term Liabilities $3.077B $3.140B $3.089B
Total Liabilities $3.639B $3.751B $3.779B
YoY Change -3.0% -3.49% 142.54%
SHAREHOLDERS EQUITY
Retained Earnings $1.317B $1.242B $1.184B
YoY Change 6.05% 21.89% 50.33%
Common Stock $440.9M $433.1M $428.8M
YoY Change 1.8% 7.55% 7.87%
Preferred Stock
YoY Change
Treasury Stock (at cost) $0.00
YoY Change
Treasury Stock Shares 0.000 shares
Shareholders Equity $1.633B $1.521B $1.552B
YoY Change
Total Liabilities & Shareholders Equity $5.272B $5.273B $5.331B
YoY Change -0.01% 0.55% 100.62%

Cashflow Statement

Concept 2015 Q4 2014 Q4 2014 Q3
OPERATING ACTIVITIES
Net Income $104.3M $98.50M $104.4M
YoY Change 5.89% -56.82% 23.26%
Depreciation, Depletion And Amortization $82.80M $85.10M $95.10M
YoY Change -2.7% 5.71% 124.29%
Cash From Operating Activities $220.6M $179.4M $222.6M
YoY Change 22.97% -4.57% 62.24%
INVESTING ACTIVITIES
Capital Expenditures -$99.70M -$166.2M -$112.4M
YoY Change -40.01% 58.89% 125.7%
Acquisitions
YoY Change
Other Investing Activities $4.400M -$1.300M $100.0K
YoY Change -438.46% -99.89% -50.0%
Cash From Investing Activities -$95.30M -$167.5M -$112.3M
YoY Change -43.1% -86.9% 126.41%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -128.0M -41.30M -118.0M
YoY Change 209.93% -104.67% 93.76%
NET CHANGE
Cash From Operating Activities 220.6M 179.4M 222.6M
Cash From Investing Activities -95.30M -167.5M -112.3M
Cash From Financing Activities -128.0M -41.30M -118.0M
Net Change In Cash -2.700M -29.40M -7.700M
YoY Change -90.82% -85.71% -128.84%
FREE CASH FLOW
Cash From Operating Activities $220.6M $179.4M $222.6M
Capital Expenditures -$99.70M -$166.2M -$112.4M
Free Cash Flow $320.3M $345.6M $335.0M
YoY Change -7.32% 18.11% 79.14%

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10500000 USD
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12200000 USD
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1100000 USD
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2900000 USD
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59300000 USD
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CY2015Q4 us-gaap Cash Equivalents At Carrying Value
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140900000 USD
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CY2014Q4 us-gaap Commitments And Contingencies
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CY2015Q4 us-gaap Commitments And Contingencies
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CY2015 us-gaap Comprehensive Income Net Of Tax
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CY2015 us-gaap Current Federal Tax Expense Benefit
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205100000 USD
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300000 USD
CY2014 us-gaap Current Foreign Tax Expense Benefit
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900000 USD
CY2015 us-gaap Current Foreign Tax Expense Benefit
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400000 USD
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CY2015 us-gaap Current Income Tax Expense Benefit
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226000000 USD
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12700000 USD
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33100000 USD
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1050000000 USD
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32800000 USD
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P2Y7M6D
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5800000 USD
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6100000 USD
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7100000 USD
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7800000 USD
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12200000 USD
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P14Y2M8D
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40000000 USD
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62700000 USD
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22500000 USD
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21300000 USD
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21300000 USD
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22200000 USD
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22400000 USD
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333500000 USD
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CY2013 us-gaap Gain Loss On Sale Of Property Plant Equipment
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CY2013 us-gaap Gain Loss Related To Litigation Settlement
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0 USD
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CY2015 us-gaap Gain Loss Related To Litigation Settlement
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CY2013Q4 us-gaap Goodwill
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7800000 USD
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2800000 USD
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CY2014 us-gaap Gross Profit
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277000000 USD
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328300000 USD
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423600000 USD
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614300000 USD
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664500000 USD
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227700000 USD
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11700000 USD
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16500000 USD
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19900000 USD
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148300000 USD
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215000000 USD
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232600000 USD
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CY2014 us-gaap Income Tax Reconciliation Other Reconciling Items
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2700000 USD
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CY2013 us-gaap Income Tax Reconciliation State And Local Income Taxes
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13600000 USD
CY2014 us-gaap Income Tax Reconciliation State And Local Income Taxes
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20500000 USD
CY2015 us-gaap Income Tax Reconciliation State And Local Income Taxes
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20000000 USD
CY2013 us-gaap Income Tax Reconciliation Tax Credits
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166000000 USD
CY2014 us-gaap Income Tax Reconciliation Tax Credits
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CY2015 us-gaap Income Tax Reconciliation Tax Credits
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0 USD
CY2013 us-gaap Income Taxes Paid
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90700000 USD
CY2014 us-gaap Income Taxes Paid
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189500000 USD
CY2015 us-gaap Income Taxes Paid
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238300000 USD
CY2014Q4 us-gaap Income Taxes Receivable
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5100000 USD
CY2015Q4 us-gaap Income Taxes Receivable
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28200000 USD
CY2013 us-gaap Increase Decrease In Accounts Payable
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54200000 USD
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CY2015 us-gaap Increase Decrease In Accounts Payable
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CY2013 us-gaap Increase Decrease In Accounts Receivable
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31200000 USD
CY2014 us-gaap Increase Decrease In Accounts Receivable
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8500000 USD
CY2015 us-gaap Increase Decrease In Accounts Receivable
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CY2013 us-gaap Increase Decrease In Accrued Liabilities
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CY2014 us-gaap Increase Decrease In Accrued Liabilities
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7000000 USD
CY2015 us-gaap Increase Decrease In Accrued Liabilities
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SupplementalUnemploymentBenefitsSeveranceBenefits
8300000 USD
CY2015Q4 us-gaap Supplemental Unemployment Benefits Severance Benefits
SupplementalUnemploymentBenefitsSeveranceBenefits
7300000 USD
CY2013 us-gaap Treasury Stock Acquired Average Cost Per Share
TreasuryStockAcquiredAverageCostPerShare
45.54
CY2014 us-gaap Treasury Stock Acquired Average Cost Per Share
TreasuryStockAcquiredAverageCostPerShare
0.00
CY2015 us-gaap Treasury Stock Acquired Average Cost Per Share
TreasuryStockAcquiredAverageCostPerShare
66.50
CY2012Q4 us-gaap Unrecognized Tax Benefits
UnrecognizedTaxBenefits
111300000 USD
CY2013Q4 us-gaap Unrecognized Tax Benefits
UnrecognizedTaxBenefits
5400000 USD
CY2014Q4 us-gaap Unrecognized Tax Benefits
UnrecognizedTaxBenefits
4400000 USD
CY2015Q4 us-gaap Unrecognized Tax Benefits
UnrecognizedTaxBenefits
5800000 USD
CY2013 us-gaap Unrecognized Tax Benefits Decreases Resulting From Prior Period Tax Positions
UnrecognizedTaxBenefitsDecreasesResultingFromPriorPeriodTaxPositions
64800000 USD
CY2014 us-gaap Unrecognized Tax Benefits Decreases Resulting From Prior Period Tax Positions
UnrecognizedTaxBenefitsDecreasesResultingFromPriorPeriodTaxPositions
900000 USD
CY2015 us-gaap Unrecognized Tax Benefits Decreases Resulting From Prior Period Tax Positions
UnrecognizedTaxBenefitsDecreasesResultingFromPriorPeriodTaxPositions
0 USD
CY2013 us-gaap Unrecognized Tax Benefits Decreases Resulting From Settlements With Taxing Authorities
UnrecognizedTaxBenefitsDecreasesResultingFromSettlementsWithTaxingAuthorities
106200000 USD
CY2014 us-gaap Unrecognized Tax Benefits Decreases Resulting From Settlements With Taxing Authorities
UnrecognizedTaxBenefitsDecreasesResultingFromSettlementsWithTaxingAuthorities
500000 USD
CY2015 us-gaap Unrecognized Tax Benefits Decreases Resulting From Settlements With Taxing Authorities
UnrecognizedTaxBenefitsDecreasesResultingFromSettlementsWithTaxingAuthorities
700000 USD
CY2013 us-gaap Unrecognized Tax Benefits Increases Resulting From Current Period Tax Positions
UnrecognizedTaxBenefitsIncreasesResultingFromCurrentPeriodTaxPositions
1500000 USD
CY2014 us-gaap Unrecognized Tax Benefits Increases Resulting From Current Period Tax Positions
UnrecognizedTaxBenefitsIncreasesResultingFromCurrentPeriodTaxPositions
300000 USD
CY2015 us-gaap Unrecognized Tax Benefits Increases Resulting From Current Period Tax Positions
UnrecognizedTaxBenefitsIncreasesResultingFromCurrentPeriodTaxPositions
400000 USD
CY2013 us-gaap Unrecognized Tax Benefits Increases Resulting From Prior Period Tax Positions
UnrecognizedTaxBenefitsIncreasesResultingFromPriorPeriodTaxPositions
100000 USD
CY2014 us-gaap Unrecognized Tax Benefits Increases Resulting From Prior Period Tax Positions
UnrecognizedTaxBenefitsIncreasesResultingFromPriorPeriodTaxPositions
1000000 USD
CY2015 us-gaap Unrecognized Tax Benefits Increases Resulting From Prior Period Tax Positions
UnrecognizedTaxBenefitsIncreasesResultingFromPriorPeriodTaxPositions
2800000 USD
CY2013 us-gaap Unrecognized Tax Benefits Reductions Resulting From Lapse Of Applicable Statute Of Limitations
UnrecognizedTaxBenefitsReductionsResultingFromLapseOfApplicableStatuteOfLimitations
1700000 USD
CY2014 us-gaap Unrecognized Tax Benefits Reductions Resulting From Lapse Of Applicable Statute Of Limitations
UnrecognizedTaxBenefitsReductionsResultingFromLapseOfApplicableStatuteOfLimitations
900000 USD
CY2015 us-gaap Unrecognized Tax Benefits Reductions Resulting From Lapse Of Applicable Statute Of Limitations
UnrecognizedTaxBenefitsReductionsResultingFromLapseOfApplicableStatuteOfLimitations
1100000 USD
CY2015Q4 us-gaap Unrecognized Tax Benefits That Would Impact Effective Tax Rate
UnrecognizedTaxBenefitsThatWouldImpactEffectiveTaxRate
4200000 USD
CY2015Q4 us-gaap Unrecorded Unconditional Purchase Obligation Balance On Fifth Anniversary
UnrecordedUnconditionalPurchaseObligationBalanceOnFifthAnniversary
23400000 USD
CY2015Q4 us-gaap Unrecorded Unconditional Purchase Obligation Balance On Fourth Anniversary
UnrecordedUnconditionalPurchaseObligationBalanceOnFourthAnniversary
28000000 USD
CY2015Q4 us-gaap Unrecorded Unconditional Purchase Obligation Balance On Second Anniversary
UnrecordedUnconditionalPurchaseObligationBalanceOnSecondAnniversary
60300000 USD
CY2015Q4 us-gaap Unrecorded Unconditional Purchase Obligation Balance On Third Anniversary
UnrecordedUnconditionalPurchaseObligationBalanceOnThirdAnniversary
28000000 USD
CY2015Q4 us-gaap Unrecorded Unconditional Purchase Obligation Balance Sheet Amount
UnrecordedUnconditionalPurchaseObligationBalanceSheetAmount
312000000 USD
CY2015Q4 us-gaap Unrecorded Unconditional Purchase Obligation Due After Five Years
UnrecordedUnconditionalPurchaseObligationDueAfterFiveYears
77000000 USD
CY2015Q4 us-gaap Unrecorded Unconditional Purchase Obligation Due In Next Rolling Twelve Months
UnrecordedUnconditionalPurchaseObligationDueInNextRollingTwelveMonths
95300000 USD
CY2012Q4 us-gaap Valuation Allowances And Reserves Balance
ValuationAllowancesAndReservesBalance
5300000 USD
CY2013Q4 us-gaap Valuation Allowances And Reserves Balance
ValuationAllowancesAndReservesBalance
13300000 USD
CY2014Q4 us-gaap Valuation Allowances And Reserves Balance
ValuationAllowancesAndReservesBalance
13000000 USD
CY2015Q4 us-gaap Valuation Allowances And Reserves Balance
ValuationAllowancesAndReservesBalance
15400000 USD
CY2013 us-gaap Valuation Allowances And Reserves Charged To Cost And Expense
ValuationAllowancesAndReservesChargedToCostAndExpense
42300000 USD
CY2014 us-gaap Valuation Allowances And Reserves Charged To Cost And Expense
ValuationAllowancesAndReservesChargedToCostAndExpense
46800000 USD
CY2015 us-gaap Valuation Allowances And Reserves Charged To Cost And Expense
ValuationAllowancesAndReservesChargedToCostAndExpense
51600000 USD
CY2013 us-gaap Valuation Allowances And Reserves Deductions
ValuationAllowancesAndReservesDeductions
40400000 USD
CY2014 us-gaap Valuation Allowances And Reserves Deductions
ValuationAllowancesAndReservesDeductions
47100000 USD
CY2015 us-gaap Valuation Allowances And Reserves Deductions
ValuationAllowancesAndReservesDeductions
49200000 USD
CY2013 us-gaap Valuation Allowances And Reserves Reserves Of Businesses Acquired
ValuationAllowancesAndReservesReservesOfBusinessesAcquired
6100000 USD
CY2014 us-gaap Valuation Allowances And Reserves Reserves Of Businesses Acquired
ValuationAllowancesAndReservesReservesOfBusinessesAcquired
0 USD
CY2015 us-gaap Valuation Allowances And Reserves Reserves Of Businesses Acquired
ValuationAllowancesAndReservesReservesOfBusinessesAcquired
0 USD
CY2014Q4 us-gaap Variable Interest Entity Consolidated Carrying Amount Assets
VariableInterestEntityConsolidatedCarryingAmountAssets
5200000 USD
CY2015Q4 us-gaap Variable Interest Entity Consolidated Carrying Amount Assets
VariableInterestEntityConsolidatedCarryingAmountAssets
4500000 USD
CY2014Q4 us-gaap Variable Interest Entity Consolidated Carrying Amount Liabilities
VariableInterestEntityConsolidatedCarryingAmountLiabilities
5200000 USD
CY2015Q4 us-gaap Variable Interest Entity Consolidated Carrying Amount Liabilities
VariableInterestEntityConsolidatedCarryingAmountLiabilities
4500000 USD
CY2013 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
97500000 shares
CY2014 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
97100000 shares
CY2015 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
96700000 shares
CY2013 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
96600000 shares
CY2014 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
97000000 shares
CY2015 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
96600000 shares
CY2015 us-gaap Derivatives Methods Of Accounting Hedging Derivatives
DerivativesMethodsOfAccountingHedgingDerivatives
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;text-align:left;text-indent:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-style:italic;font-weight:bold;">Derivative Instruments and Hedging Activities </font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">The Company records its derivatives, if any, in accordance with ASC&#160;815, "Derivatives and Hedging." The guidance requires the Company to recognize derivative instruments as either assets or liabilities on the balance sheet at fair value. The accounting for changes in the fair value of a derivative depends on the intended use and designation of the derivative instrument. For a derivative designated as a fair value hedge, the gain or loss on the derivative is recognized in earnings in the period of change at fair value together with the offsetting gain or loss on the hedged item. For a derivative instrument designated as a cash flow hedge, the effective portion of the derivative&#8217;s gain or loss is initially reported as a component of accumulated other comprehensive income (loss) (AOCI) and is subsequently recognized in earnings when the hedged exposure affects earnings. The ineffective portion of the gain or loss is recognized in earnings. We were not party to any derivative-based arrangements at </font><font style="font-family:inherit;font-size:10pt;">December&#160;31, 2015</font><font style="font-family:inherit;font-size:10pt;"> and </font><font style="font-family:inherit;font-size:10pt;">2014</font><font style="font-family:inherit;font-size:10pt;">.</font></div></div>
CY2015 us-gaap Nature Of Operations
NatureOfOperations
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">Nature of Operations and Basis of Presentation</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Packaging Corporation of America ("we," "us," "our," "PCA," or the "Company") was incorporated on January 25, 1999. In April 1999, PCA acquired the containerboard and corrugated packaging products business of Pactiv Corporation (Pactiv), formerly known as Tenneco Packaging, Inc., a wholly owned subsidiary of Tenneco Inc. On </font><font style="font-family:inherit;font-size:10pt;">October&#160;25, 2013</font><font style="font-family:inherit;font-size:10pt;">, PCA acquired Boise Inc. (Boise). For more information, see Note </font><font style="font-family:Times New Roman;font-size:10pt;color:#000000;">3</font><font style="font-family:inherit;font-size:10pt;">, </font><font style="font-family:Times New Roman;font-size:10pt;color:#000000;">Acquisitions and Dispositions</font><font style="font-family:inherit;font-size:10pt;">. After the acquisition of Boise, we became a large diverse manufacturer of both packaging and paper products. We are headquartered in Lake Forest, Illinois and we operate primarily in the United States with some converting and distribution operations in Canada. We have approximately </font><font style="font-family:inherit;font-size:10pt;">13,000</font><font style="font-family:inherit;font-size:10pt;"> employees.</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">We report our businesses in </font><font style="font-family:inherit;font-size:10pt;">three</font><font style="font-family:inherit;font-size:10pt;"> reportable segments: Packaging, Paper, and Corporate and Other. Our Packaging segment produces a wide variety of corrugated packaging products. The Paper segment manufactures and sells a range of papers, including communication-based papers, and pressure sensitive papers (collectively, white papers), and market pulp. Corporate and other includes support staff services and related assets and liabilities, transportation assets, and activity related to other ancillary support operations. For more information about our segments, see Note </font><font style="font-family:Times New Roman;font-size:10pt;color:#000000;">18</font><font style="font-family:inherit;font-size:10pt;">, </font><font style="font-family:Times New Roman;font-size:10pt;color:#000000;">Segment Information</font><font style="font-family:inherit;font-size:10pt;">.</font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">In these consolidated financial statements, certain amounts in prior periods' consolidated financial statements have been reclassified to conform with the current period presentation.</font></div><div style="line-height:120%;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Effective December 31, 2015, the Company adopted Accounting Standards Update 2015-17, </font><font style="font-family:inherit;font-size:10pt;font-style:italic;">Balance Sheet Classification of Deferred Taxes</font><font style="font-family:inherit;font-size:10pt;">. The guidance eliminates the requirement to classify deferred taxes between current and noncurrent and requires that all deferred tax assets and liabilities, along with any related valuation allowance, be classified as noncurrent on the balance sheet. Related to the adoption of this guidance, we reclassified </font><font style="font-family:inherit;font-size:10pt;">$75.7 million</font><font style="font-family:inherit;font-size:10pt;"> from current assets to long term liabilities on our December 31, 2014 Consolidated Balance Sheet to conform with the current period presentation.</font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">The consolidated financial statements include the accounts of PCA and its majority-owned subsidiaries after elimination of intercompany balances and transactions. Boise's results are included in our results subsequent to </font><font style="font-family:inherit;font-size:10pt;">October&#160;25, 2013</font><font style="font-family:inherit;font-size:10pt;">, the date of acquisition.</font></div></div>
CY2015 us-gaap Use Of Estimates
UseOfEstimates
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;text-indent:24px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-style:italic;font-weight:bold;">Use of Estimates</font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions about future events. These estimates and the underlying assumptions affect the amounts of assets and liabilities reported, disclosures about contingent assets and liabilities, and reported amounts of revenues and expenses. These estimates and assumptions are based on management's best estimates and judgment. Management evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors, including the current economic environment. We adjust such estimates and assumptions when facts and circumstances dictate. As future events and their effects cannot be determined with precision, actual results could differ significantly from these estimates. Changes in these estimates will be reflected in the consolidated financial statements in future periods.</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div></div>

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