NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
NOTE 1.
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of presentation:
The unaudited interim condensed consolidated financial statements of Anixter International Inc. and its subsidiaries (collectively referred to as "Anixter" or the "Company"), sometimes referred to in this Quarterly Report on Form 10-Q as "we", "our", "us", or "ourselves" have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC"). Therefore, certain information and disclosures normally included in financial statements and related notes prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") have been condensed or omitted. Certain prior period amounts have been reclassified to conform to the current year presentation. The results as discussed in the Condensed Consolidated Financial Statements reflect continuing operations only, unless otherwise noted.
These financial statements should be read in conjunction with, and have been prepared in conformity with, the accounting principles reflected in the consolidated financial statements and related notes included in Anixter's Annual Report on Form 10-K for the year ended December 30, 2016 ("2016 Form 10-K"). The condensed consolidated financial information furnished herein reflects all adjustments (consisting of normal recurring accruals), which are, in the opinion of management, necessary for a fair presentation of the Condensed Consolidated Financial Statements for the periods shown.
The Company maintains its financial records on the basis of a fiscal year ending on the Friday nearest December 31, with the fiscal quarters spanning thirteen weeks, with the first quarter ending on the Friday of the first thirteen-week period. The first quarter of fiscal year 2017 ended on March 31, 2017, and the first quarter of fiscal year 2016 ended on April 1, 2016.
Recently issued and adopted accounting pronouncements:
In March 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2016-09,
Compensation - Stock Compensation: Improvements to Employee Share-Based Payment Accounting
, which changes how companies account for certain aspects of share-based payments to employees. The new guidance requires all income tax effects of awards to be recognized in the income statement when the awards vest or are settled, allows an employer to repurchase more of an employee’s shares than previously allowed for tax withholding purposes without triggering liability accounting, allows a company to make a policy election to account for forfeitures as they occur, and eliminates the requirement that excess tax benefits be realized before companies can recognize them. The new guidance also requires excess tax benefits and tax shortfalls to be presented on the cash flow statement as an operating activity rather than as a financing activity, and clarifies that cash paid to a tax authority when shares are withheld to satisfy its statutory income tax withholding obligation are to be presented as a financing activity. The standard is effective for the Company's financial statements issued for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. The Company adopted this guidance in the first quarter of fiscal year 2017. On a prospective basis, excess tax benefits recognized on stock-based compensation expense were reflected as a component of the provision for income taxes. As allowed by the new guidance, the Company has elected to account for forfeitures as they occur. Anixter has also elected to present the cash flow statement on a retrospective transition method and prior periods have been adjusted to present the excess tax benefits as part of cash flows from operating activities. The result of this adoption did not have a material impact on Anixter's Condensed Consolidated Financial Statements.
ANIXTER INTERNATIONAL INC.
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
Recently issued accounting pronouncements not yet adopted:
In May 2014, the FASB issued ASU 2014-09,
Revenue from Contracts with Customers
, and issued subsequent amendments to the initial guidance in August 2015, March 2016, April 2016 and May 2016 within ASU 2015-14, ASU 2016-08, ASU 2016-10 and ASU 2016-12, respectively. The core principle of this new revenue recognition guidance is that a company will recognize revenue when promised goods or services are transferred to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. The new guidance defines a five-step process to achieve this core principle, and in doing so, it is possible more judgment and estimates may be required within the revenue recognition process than are required under current guidance, including identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation, among others. The new guidance also requires more detailed disclosures to enable users of financial statements to understand the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. The new guidance provides for two transition methods: a full retrospective approach and a modified retrospective approach. Anixter will adopt the new revenue recognition guidance in the first quarter of fiscal year 2018 utilizing the modified retrospective method of adoption. The Company continues to evaluate the impact of this guidance on its consolidated results of operations and financial condition. The Company has developed a multi-phase plan to assess the impact of adoption on its material revenue streams, evaluate the new disclosure requirements, and identify and implement appropriate changes to its business processes, systems and controls to support recognition and disclosure under the new guidance. Anixter is currently in the process of completing its initial analysis and performing detailed reviews of significant contracts to determine any adjustments necessary to existing accounting policies, and to support an evaluation of the impact on its results of operations and financial condition.
In February 2016, the FASB issued ASU 2016-02,
Leases
, which requires lessees to recognize assets and liabilities on the balance sheet for the rights and obligations created by all leases with terms of more than 12 months. The guidance modifies the classification criteria and the accounting for sales-type and direct financing leases for lessors. The standard is effective for Anixter's financial statements issued for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. Early adoption is permitted. The Company is currently evaluating the impact of adoption of this ASU on its Consolidated Financial Statements.
In June 2016, the FASB issued ASU 2016-13,
Financial Instruments - Credit Losses
, which requires the measurement of expected credit losses for financial instruments held at the reporting date based on historical experience, current conditions and reasonable forecasts. The main objective of this ASU is to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit held by a reporting entity at each reporting date. The standard is effective for Anixter's financial statements issued for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. Early adoption is permitted for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. The Company is currently evaluating the impact of adoption of this ASU on its Consolidated Financial Statements.
In January 2017, the FASB issued ASU 2017-01,
Business Combinations: Clarifying the Definition of a Business
, which adds guidance to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The standard is effective for Anixter's financial statements issued for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. The Company is currently evaluating the impact of adoption of this ASU on its Consolidated Financial Statements.
In January 2017, the FASB issued ASU 2017-04,
Intangibles - Goodwill and Other: Simplifying the Test for Goodwill Impairment
, which removes step two from the goodwill impairment test. Step two measures a goodwill impairment loss by comparing the implied fair value of a reporting unit's goodwill with the carrying amount of that goodwill. The new guidance requires an entity to perform its goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount, including goodwill. The standard is effective for Anixter's financial statements issued for fiscal years beginning after December 15, 2019. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company is currently evaluating the impact of adoption of this ASU on its Consolidated Financial Statements.
ANIXTER INTERNATIONAL INC.
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
In March 2017, the FASB issued ASU 2017-07,
Compensation - Retirement Benefits: Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost
, which changes how employers that sponsor defined benefit pension or other postretirement benefit plans present the net periodic benefit cost in the income statement. The new guidance requires entities to report the service cost component in the same line item as other compensation costs. The other components of net benefit cost are required to be presented in the income statement separately from the service cost component outside of income from operations. The standard is effective for Anixter's financial statements issued for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. Early adoption is permitted as of the beginning of an annual period for which financial statements have not been issued or made available for issuance. The Company is currently evaluating the impact of adoption of this ASU on its Consolidated Financial Statements.
The Company does not believe that any other recently issued, but not yet effective, accounting pronouncements, if adopted, would have a material impact on its Consolidated Financial Statements.
Other, net:
The following represents the components of "Other, net" as reflected in the Condensed Consolidated Statements of Comprehensive Income:
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
(In millions)
|
|
March 31,
2017
|
|
April 1,
2016
|
Other, net:
|
|
|
|
|
Foreign exchange
|
|
$
|
(0.7
|
)
|
|
$
|
(3.1
|
)
|
Cash surrender value of life insurance policies
|
|
0.6
|
|
|
0.6
|
|
Other
|
|
(0.1
|
)
|
|
(0.3
|
)
|
Total other, net
|
|
$
|
(0.2
|
)
|
|
$
|
(2.8
|
)
|
Due to the continued strength of the U.S. dollar ("USD") against certain foreign currencies, primarily in Europe and Latin America, the Company recorded foreign exchange losses of
$0.7 million
and
$3.1 million
in the first quarter of 2017 and 2016, respectively.
Several of Anixter's subsidiaries conduct business in a currency other than the legal entity’s functional currency. Transactions may produce receivables or payables that are fixed in terms of the amount of foreign currency that will be received or paid. A change in exchange rates between the functional currency and the currency in which a transaction is denominated increases or decreases the expected amount of functional currency cash flows upon settlement of the transaction. The increase or decrease in expected functional currency cash flows results in a foreign currency transaction gain or loss that is included in "Other, net" in the Condensed Consolidated Statements of Comprehensive Income.
The Company purchases foreign currency forward contracts to minimize the effect of fluctuating foreign currency-denominated accounts on reported income. The foreign currency forward contracts are not designated as hedges for accounting purposes. The Company's strategy is to negotiate terms for its derivatives and other financial instruments to be highly effective, such that the change in the value of the derivative perfectly offsets the impact of the underlying hedged item (e.g., various foreign currency-denominated accounts). Its counterparties to foreign currency forward contracts have investment-grade credit ratings. Anixter expects the creditworthiness of its counterparties to remain intact through the term of the transactions. The Company regularly monitors the creditworthiness of its counterparties to ensure no issues exist which could affect the value of the derivatives.
ANIXTER INTERNATIONAL INC.
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
The Company does not hedge
100%
of its foreign currency-denominated accounts. In addition, the results of hedging can vary significantly based on various factors, such as the timing of executing the foreign currency forward contracts versus the movement of the currencies as well as the fluctuations in the account balances throughout each reporting period. The fair value of the foreign currency forward contracts is based on the difference between the contract rate and the current exchange rate. The fair value of the foreign currency forward contracts is measured using observable market information. These inputs would be considered Level 2 in the fair value hierarchy. At
March 31, 2017
and
December 30, 2016
, foreign currency forward contracts were revalued at then-current foreign exchange rates with the changes in valuation reflected directly in "Other, net" in the Condensed Consolidated Statements of Comprehensive Income offsetting the transaction gain/loss recorded on the foreign currency-denominated accounts. At
March 31, 2017
and
December 30, 2016
, the gross notional amount of the foreign currency forward contracts outstanding was approximately
$107.3 million
and
$114.8 million
, respectively. At
March 31, 2017
and
December 30, 2016
, the net notional amount of the foreign currency forward contracts outstanding was approximately
$87.9 million
and
$90.9 million
, respectively. While all of the Company's foreign currency forward contracts are subject to master netting arrangements with its counterparties, assets and liabilities related to derivative instruments are presented on a gross basis within the Condensed Consolidated Balance Sheets. The gross fair value of derivative assets and liabilities are immaterial.
The combined effect of changes in both the equity and bond markets resulted in changes in the cash surrender value of company-owned life insurance policies associated with the company-sponsored deferred compensation program.
Accumulated other comprehensive loss:
Unrealized gains and losses are accumulated in "Accumulated other comprehensive loss" ("AOCI"). These changes are also reported in "Other comprehensive loss" on the Condensed Consolidated Statements of Comprehensive Income. These include unrealized gains and losses related to the Company's defined benefit obligations, certain immaterial derivative transactions that have been designated as cash flow hedges and foreign currency translation. See
Note 5. "Pension Plans"
for pension related amounts reclassified into net income.
Investments in several subsidiaries are recorded in currencies other than the USD. As these foreign currency denominated investments are translated at the end of each period during consolidation using period-end exchange rates, fluctuations of exchange rates between the foreign currency and the USD increase or decrease the value of those investments. These fluctuations and the results of operations for foreign subsidiaries, where the functional currency is not the USD, are translated into USD using the average exchange rates during the periods reported, while the assets and liabilities are translated using period-end exchange rates. The assets and liabilities-related translation adjustments are recorded as a separate component of AOCI, "Foreign currency translation." In addition, as Anixter's subsidiaries maintain investments denominated in currencies other than local currencies, exchange rate fluctuations will occur. Borrowings are raised in certain foreign currencies to minimize the exchange rate translation adjustment risk.
NOTE 2.
DEBT
Debt is summarized below:
|
|
|
|
|
|
|
|
|
|
(In millions)
|
|
March 31,
2017
|
|
December 30,
2016
|
Long-term debt:
|
|
|
|
|
5.50% Senior notes due 2023
|
|
$
|
346.4
|
|
|
$
|
346.3
|
|
5.125% Senior notes due 2021
|
|
395.9
|
|
|
395.7
|
|
5.625% Senior notes due 2019
|
|
347.9
|
|
|
347.7
|
|
Canadian term loan
|
|
81.6
|
|
|
95.4
|
|
Revolving lines of credit
|
|
170.0
|
|
|
197.1
|
|
Other
|
|
2.2
|
|
|
3.5
|
|
Unamortized deferred financing costs
|
|
(6.4
|
)
|
|
(6.9
|
)
|
Total long-term debt
|
|
$
|
1,337.6
|
|
|
$
|
1,378.8
|
|
Fair Value of Debt
The fair value of Anixter's debt instruments is measured using observable market information which would be considered Level 2 in the fair value hierarchy described in accounting guidance on fair value measurements. The Company's fixed-rate debt consists of the Senior notes due 2023, Senior notes due 2021 and Senior notes due 2019.
ANIXTER INTERNATIONAL INC.
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
At
March 31, 2017
, the Company's total carrying value and estimated fair value of debt outstanding was
$1,337.6 million
and
$1,397.0 million
, respectively. This compares to a carrying value and estimated fair value of debt outstanding at
December 30, 2016
of
$1,378.8 million
and
$1,435.6 million
, respectively. The decrease in the carrying value and estimated fair value is primarily due to lower outstanding borrowings under Anixter's revolving lines of credit and partial repayment of the Canadian term loan.
NOTE 3.
LEGAL CONTINGENCIES
From time to time, Anixter is party to legal proceedings and matters that arise in the ordinary course of business. As of
March 31, 2017
, the Company does not believe there is a reasonable possibility that any material loss exceeding the amounts already recognized for these proceedings and matters has been incurred. However, the ultimate resolutions of these proceedings and matters are inherently unpredictable. As such, the Company's financial condition and results of operations could be adversely affected in any particular period by the unfavorable resolution of one or more of these proceedings or matters.
NOTE 4.
INCOME TAXES
The Company's effective tax rate for the first quarter of 2017 was
38.1%
compared to
37.9%
in the prior year period. The increase was due primarily to the change in the country mix of earnings.
Anixter considers the undistributed earnings of its foreign subsidiaries, along with future earnings, to be indefinitely reinvested and, accordingly, no provision for U.S. federal and state incomes taxes or any withholding taxes has been recorded.
NOTE 5.
PENSION PLANS
The Company's defined benefit pension plans are the plans in the U.S., which consist of the Anixter Inc. Pension Plan, the Executive Benefit Plan and the Supplemental Executive Retirement Plan ("SERP") (together the "Domestic Plans") and various defined benefit pension plans covering employees of foreign subsidiaries in Canada and Europe (together the "Foreign Plans"). The majority of these defined benefit pension plans are non-contributory and cover substantially all full-time domestic employees and certain employees in other countries. Retirement benefits are provided based on compensation as defined in both the Domestic Plans and the Foreign Plans. The Company's policy is to fund all Domestic Plans as required by the Employee Retirement Income Security Act of 1974 ("ERISA") and the IRS and all Foreign Plans as required by applicable foreign laws. The Executive Benefit Plan and SERP are the only two plans that are unfunded. Assets in the various plans consist primarily of equity securities and fixed income investments.
Components of net periodic pension cost are as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
|
Domestic
|
|
Foreign
|
|
Total
|
(In millions)
|
|
March 31, 2017
|
|
April 1, 2016
|
|
March 31, 2017
|
|
April 1, 2016
|
|
March 31, 2017
|
|
April 1, 2016
|
Service cost
|
|
$
|
1.2
|
|
|
$
|
1.2
|
|
|
$
|
1.5
|
|
|
$
|
1.5
|
|
|
$
|
2.7
|
|
|
$
|
2.7
|
|
Interest cost
|
|
2.8
|
|
|
2.9
|
|
|
1.7
|
|
|
2.1
|
|
|
4.5
|
|
|
5.0
|
|
Expected return on plan assets
|
|
(3.7
|
)
|
|
(3.6
|
)
|
|
(2.2
|
)
|
|
(2.5
|
)
|
|
(5.9
|
)
|
|
(6.1
|
)
|
Net amortization
(a)
|
|
0.5
|
|
|
0.5
|
|
|
0.8
|
|
|
0.6
|
|
|
1.3
|
|
|
1.1
|
|
Net periodic pension cost
|
|
$
|
0.8
|
|
|
$
|
1.0
|
|
|
$
|
1.8
|
|
|
$
|
1.7
|
|
|
$
|
2.6
|
|
|
$
|
2.7
|
|
(a) Reclassified into operating expenses from AOCI.
NOTE 6.
STOCKHOLDERS' EQUITY
At the end of the first quarter of 2017, there were
1.0 million
shares reserved for issuance under all incentive plans. Under the current stock incentive plans, the Company pays non-employee directors annual retainer fees and, at their election, meeting fees in the form of stock units. Employee and director stock units are included in common stock outstanding on the date of vesting, and stock options are included in common stock outstanding upon exercise by the participant. The fair value of employee stock options and units is amortized over the respective vesting period representing the requisite service period, generally
three
,
four
or
six
years for stock units and
four
years for stock options. Director stock units are expensed in the period in which they are granted, as these vest immediately.
ANIXTER INTERNATIONAL INC.
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
During the first quarter of 2016, Anixter initiated a performance-based restricted stock unit ("performance units") program that will be earned in one-third tranches to be evaluated on the anniversary of the first, second and third performance cycles. Each evaluation period will be based on the achievement of the Company's total shareholder return ("TSR") relative to the TSR of the S&P Mid Cap 400 index. The earned shares are issued on the third anniversary of the grant date. The granted units will be adjusted based on the specific payout percentage of the grant agreement. The fair value of each tranche related to the performance units were estimated at the grant date using the Monte Carlo Simulation pricing model.
During the three months ended
March 31, 2017
, the Company granted
173,187
stock units to employees, with a weighted-average grant-date fair value of
$14.9 million
. During the three months ended
March 31, 2017
, the Company granted
33,956
performance units to employees, with a weighted-average grant-date fair value of
$3.0 million
. During the three months ended
March 31, 2017
, the Company granted directors
7,802
stock units, with a weighted-average grant-date fair value of
$0.6 million
. Antidilutive stock options and units are excluded from the calculation of weighted-average shares for diluted earnings per share. For the first quarter of 2017 and 2016, the antidilutive stock options and units were immaterial.
NOTE 7.
BUSINESS SEGMENTS
Anixter is a leading distributor of enterprise cabling and security solutions, electrical and electronic wire and cable products and utility power solutions. The Company has identified Network & Security Solutions ("NSS"), Electrical and Electronic Solutions ("EES") and Utility Power Solutions ("UPS") as reportable segments.
Corporate expenses are incurred to obtain and coordinate financing, tax, information technology, legal and other related services, certain of which were rebilled to subsidiaries. We also have various corporate assets which are reported in corporate. Segment assets may not include jointly used assets, but segment results include depreciation expense or other allocations related to those assets as such allocation is made for internal reporting. Interest expense and other non-operating items are not allocated to the segments or reviewed on a segment basis.
The categorization of net sales by end market is determined using a variety of data points including the technical characteristic of the product, the "sold to" customer information, the "ship to" customer information and the end customer product or application into which product will be incorporated. Anixter also has largely specialized its sales organization by segment. As data systems for capturing and tracking this data evolve and improve, the categorization of products by end market can vary over time. When this occurs, the Company reclassifies net sales by end market for prior periods. Such reclassifications typically do not materially change the sizing of, or the underlying trends of results within, each end market.
Segment Financial Information
Segment information for the three months ended
March 31, 2017
and
April 1, 2016
are as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Quarter of 2017
|
|
NSS
|
|
EES
|
|
UPS
|
|
Corporate
|
|
Total
|
Net Sales
|
|
$
|
984.9
|
|
|
$
|
527.4
|
|
|
$
|
383.5
|
|
|
$
|
—
|
|
|
$
|
1,895.8
|
|
Operating income
|
|
61.8
|
|
|
27.9
|
|
|
16.2
|
|
|
(36.9
|
)
|
|
69.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Quarter of 2016
|
|
NSS
|
|
EES
|
|
UPS
|
|
Corporate
|
|
Total
|
Net Sales
|
|
$
|
949.1
|
|
|
$
|
506.0
|
|
|
$
|
361.1
|
|
|
$
|
—
|
|
|
$
|
1,816.2
|
|
Operating income
|
|
58.8
|
|
|
22.5
|
|
|
14.3
|
|
|
(35.3
|
)
|
|
60.3
|
|
Goodwill Assigned to Segments
The following table presents the changes in goodwill allocated to the Company's reporting units during the three months ended
March 31, 2017
:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(In millions)
|
|
NSS
|
|
EES
|
|
UPS
|
|
Total
|
Balance as of December 30, 2016
|
|
$
|
405.0
|
|
|
$
|
181.0
|
|
|
$
|
178.6
|
|
|
$
|
764.6
|
|
Foreign currency translation
|
|
1.0
|
|
|
0.1
|
|
|
1.5
|
|
|
$
|
2.6
|
|
Balance as of March 31, 2017
|
|
$
|
406.0
|
|
|
$
|
181.1
|
|
|
$
|
180.1
|
|
|
$
|
767.2
|
|
ANIXTER INTERNATIONAL INC.
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
NOTE 8.
SUMMARIZED FINANCIAL INFORMATION OF ANIXTER INC.
Anixter International Inc. guarantees, fully and unconditionally, substantially all of the debt of its subsidiaries, which include Anixter Inc., its 100% owned primary operating subsidiary. Anixter International Inc. has no independent assets or operations and all subsidiaries other than Anixter Inc. are minor. The following summarizes the financial information for Anixter Inc.:
ANIXTER INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
|
|
|
|
|
|
|
|
|
|
(In millions)
|
|
March 31,
2017
|
|
December 30,
2016
|
Assets:
|
|
|
|
|
Current assets
|
|
$
|
2,636.1
|
|
|
$
|
2,688.3
|
|
Property, equipment and capital leases, net
|
|
149.9
|
|
|
148.4
|
|
Goodwill
|
|
767.2
|
|
|
764.6
|
|
Intangible assets, net
|
|
407.3
|
|
|
415.4
|
|
Other assets
|
|
86.2
|
|
|
84.8
|
|
|
|
$
|
4,046.7
|
|
|
$
|
4,101.5
|
|
Liabilities and Stockholder's Equity:
|
|
|
|
|
Current liabilities
|
|
$
|
1,203.9
|
|
|
$
|
1,264.9
|
|
Subordinated notes payable to parent
|
|
0.6
|
|
|
0.7
|
|
Long-term debt
|
|
1,348.5
|
|
|
1,390.1
|
|
Other liabilities
|
|
154.1
|
|
|
156.8
|
|
Stockholder’s equity
|
|
1,339.6
|
|
|
1,289.0
|
|
|
|
$
|
4,046.7
|
|
|
$
|
4,101.5
|
|
ANIXTER INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
(In millions)
|
|
March 31,
2017
|
|
April 1,
2016
|
Net sales
|
|
$
|
1,895.8
|
|
|
$
|
1,816.2
|
|
Operating income
|
|
$
|
70.6
|
|
|
$
|
61.9
|
|
Income from continuing operations before income taxes
|
|
$
|
51.3
|
|
|
$
|
38.7
|
|
Net loss from discontinued operations
|
|
$
|
—
|
|
|
$
|
(0.4
|
)
|
Net income
|
|
$
|
31.7
|
|
|
$
|
23.6
|
|
Comprehensive income
|
|
$
|
46.7
|
|
|
$
|
42.9
|
|
ANIXTER INTERNATIONAL INC.