2018 | 2017 | 2016 | |||||||||
Balance at beginning of year | $ | 1,097 | $ | 326 | $ | 244 | |||||
Additions | 122 | 771 | 129 | ||||||||
Deductions | (90 | ) | — | (47 | ) | ||||||
Balance at end of year | $ | 1,129 | $ | 1,097 | $ | 326 |
Postretirement Benefits | As of December 31, 2018 | As of December 31, 2017 | |||||||||||||
U.S. | Foreign | U.S. | Foreign | ||||||||||||
(Dollars in thousands) | |||||||||||||||
Changes in Benefit Obligation: | |||||||||||||||
Net benefit obligation at beginning of period | $ | 8,461 | $ | 12,172 | $ | 10,175 | $ | 10,700 | |||||||
Service cost | — | 1 | — | 2 | |||||||||||
Interest cost | 264 | 700 | 333 | 653 | |||||||||||
Foreign currency exchange rates | — | (1,333 | ) | — | 931 | ||||||||||
Actuarial (gain) loss | (1,028 | ) | 47 | (1,257 | ) | 742 | |||||||||
Gross benefits paid | (532 | ) | (926 | ) | (790 | ) | (856 | ) | |||||||
Plan amendment | — | — | — | — | |||||||||||
Net benefit obligation at end of period | $ | 7,165 | $ | 10,661 | $ | 8,461 | $ | 12,172 | |||||||
Changes in Plan Assets: | |||||||||||||||
Fair value of plan assets at beginning of period | $ | — | $ | — | $ | — | $ | — | |||||||
Employer contributions | 532 | 926 | 790 | 856 | |||||||||||
Gross benefits paid | (532 | ) | (926 | ) | (790 | ) | (856 | ) | |||||||
Fair value of plan assets at end of period | $ | — | $ | — | $ | — | $ | — | |||||||
Funded status: | $ | (7,165 | ) | $ | (10,661 | ) | $ | (8,461 | ) | $ | (12,172 | ) | |||
Amounts recognized in accumulated other comprehensive loss: | |||||||||||||||
Prior service credit | $ | — | $ | — | $ | — | $ | — | |||||||
Amounts recognized in the statement of financial position: | |||||||||||||||
Current liabilities | $ | (783 | ) | $ | (851 | ) | $ | (855 | ) | $ | (912 | ) | |||
Non-current liabilities | (6,382 | ) | (9,810 | ) | (7,606 | ) | (11,260 | ) | |||||||
Net amount recognized | $ | (7,165 | ) | $ | (10,661 | ) | $ | (8,461 | ) | $ | (12,172 | ) |
As of December 31, 2018 | As of December 31, 2017 | |||||||||||||||
U.S. | Foreign | U.S. | Foreign | |||||||||||||
(Dollars in thousands) | ||||||||||||||||
Changes in Benefit Obligation: | ||||||||||||||||
Net Benefit Obligation at beginning of period | $ | 139,746 | $ | 20,407 | $ | 140,230 | $ | 18,237 | ||||||||
Service cost | 1,315 | 674 | 1,305 | 710 | ||||||||||||
Interest cost | 4,709 | 253 | 5,352 | 199 | ||||||||||||
Participant contributions | — | 392 | — | 252 | ||||||||||||
Foreign currency exchange changes | — | (339 | ) | — | 1,069 | |||||||||||
Actuarial (gain) loss | (8,297 | ) | 711 | 3,212 | 63 | |||||||||||
Benefits paid | (10,488 | ) | 234 | (10,353 | ) | (123 | ) | |||||||||
Net benefit obligation at end of period | $ | 126,985 | $ | 22,332 | $ | 139,746 | $ | 20,407 | ||||||||
Changes in Plan Assets: | ||||||||||||||||
Fair value of plan assets at beginning of period | $ | 109,845 | $ | 13,618 | $ | 100,905 | $ | 11,871 | ||||||||
Actual return on plan assets | (5,091 | ) | 538 | 12,620 | 415 | |||||||||||
Foreign currency exchange rate changes | (154 | ) | — | 545 | ||||||||||||
Employer contributions | 5,579 | 726 | 6,673 | 658 | ||||||||||||
Participant contributions | 392 | — | 252 | |||||||||||||
Benefits paid | (10,488 | ) | 234 | (10,353 | ) | (123 | ) | |||||||||
Fair value of plan assets at end of period | $ | 99,845 | $ | 15,354 | $ | 109,845 | $ | 13,618 | ||||||||
Funded status (underfunded): | $ | (27,140 | ) | $ | (6,978 | ) | $ | (29,901 | ) | $ | (6,789 | ) | ||||
Amounts recognized in accumulated other comprehensive loss: | ||||||||||||||||
Prior service credit | $ | — | $ | — | $ | — | $ | — | ||||||||
Amounts recognized in the statement of financial position: | ||||||||||||||||
Non-current assets | $ | 147 | $ | — | $ | — | ||||||||||
Current liabilities | (430 | ) | (117 | ) | (433 | ) | — | (146 | ) | |||||||
Non-current liabilities | (26,710 | ) | (7,008 | ) | (29,468 | ) | — | (6,643 | ) | |||||||
Net amount recognized | $ | (27,140 | ) | $ | (6,978 | ) | $ | (29,901 | ) | $ | (6,789 | ) |
(Dollars in thousands) | |||
Balance as of December 31, 2016 | $ | 3,338 | |
Additions for tax positions of prior years | 114 | ||
Lapse of statutes of limitations | (989 | ) | |
Foreign currency impact | 29 | ||
Balance as of December 31, 2017 | $ | 2,492 | |
Reductions for tax positions of prior years | (100 | ) | |
Lapse of statutes of limitations | (373 | ) | |
Settlements | (21 | ) | |
Foreign currency impact | (8 | ) | |
Balance as of December 31, 2018 | $ | 1,990 |
Percentage of Plan Assets as of December 31, 2018 | |||||
US | Foreign | ||||
Equity securities and return seeking assets | 20 | % | — | % | |
Fixed income, debt securities, or cash | 80 | % | 100 | % | |
Total | 100 | % | 100 | % |
For the Year Ended December 31 | |||||||||||
2018 | 2017 | 2016 | |||||||||
(Dollars in thousands) | |||||||||||
Interest incurred on debt | $ | 100,844 | $ | 24,060 | $ | 20,408 | |||||
Related Party Promissory Note interest expense | 5,090 | — | — | ||||||||
Senior Note redemption premium | 4,782 | — | — | ||||||||
Accretion of fair value adjustment on Senior Notes | 19,414 | 6,454 | 6,305 | ||||||||
Accretion of original issue discount on 2018 Term Loans | 1,455 | — | — | ||||||||
Amortization of debt issuance costs | 3,476 | 309 | 201 | ||||||||
Total interest expense | $ | 135,061 | $ | 30,823 | $ | 26,914 |
U.S. | Foreign | ||||||
(Dollars in thousands) | |||||||
Expected contributions in 2019: | |||||||
Expected employer contributions | $ | 783 | $ | 851 | |||
Expected employee contributions | — | — | |||||
Estimated future benefit payments reflecting expected future service for the years ending December 31: | |||||||
2019 | 783 | 851 | |||||
2020 | 724 | 866 | |||||
2021 | 663 | 891 | |||||
2022 | 607 | 904 | |||||
2023 | 554 | 899 | |||||
2024-2025 | 2,174 | 4,769 |
U.S. | Foreign | ||||||
(Dollars in thousands) | |||||||
Expected contributions in 2019: | |||||||
Expected employer contributions | $ | 684 | $ | 744 | |||
Expected employee contributions | — | — | |||||
Estimated future benefit payments reflecting expected future service for the years ending December 31: | |||||||
2019 | 9,240 | 858 | |||||
2020 | 9,221 | 755 | |||||
2021 | 9,221 | 824 | |||||
2022 | 9,182 | 824 | |||||
2023 | 9,136 | 955 | |||||
2024-2028 | 43,993 | 8,223 |
Years | ||
Buildings | 25-40 | |
Land improvements | 20 | |
Machinery and equipment | 5-20 | |
Furniture and fixtures | 5-10 |
Years | |
Trade name | 5-10 |
Technology and know-how | 5-9 |
Customer related intangible | 5-14 |
For the Year Ended December 31, 2017 | For the Year Ended December 31, 2016 | ||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||
As Reported | Effect of Accounting Change | As Adjusted | As Reported | Effect of Accounting Change | As Adjusted | ||||||||||||||||||
Cost of Sales | $ | 461,339 | $ | 206 | $ | 461,545 | $ | 448,016 | $ | 1,212 | $ | 449,228 | |||||||||||
Research and development | 2,951 | 505 | 3,456 | 2,399 | 135 | 2,534 | |||||||||||||||||
Selling and administrative expenses | 49,479 | 3,027 | 52,506 | 57,784 | 731 | 58,515 | |||||||||||||||||
Other (income) expense, net | 1,634 | (3,738 | ) | (2,104 | ) | (2,188 | ) | (2,078 | ) | (4,266 | ) |
(Dollars in Thousands) | |||
Balance as of December 31, 2016 | $ | 969 | |
Product warranty charges/adjustments | (149 | ) | |
Payments and settlements | (471 | ) | |
Balance as of December 31, 2017 | $ | 349 | |
Product warranty charges/adjustments | 1,510 | ||
Payments and settlements | (331 | ) | |
Balance as of December 31, 2018 | $ | 1,528 |
(Dollars in thousands) | |||
2019 | $ | 4,474 | |
2020 | 2,747 | ||
2021 | 1,497 | ||
2022 | 334 | ||
2023 | 269 | ||
After 2023 | 343 |
Current deferred revenue | Long-Term deferred revenue | ||||||
(Dollars in thousands) | |||||||
Balance as of December 31, 2017 | $ | 20,784 | $ | — | |||
Increases due to billings | 15,548 | 8,241 | |||||
Revenue recognized | (30,803 | ) | — | ||||
Foreign currency impact | (149 | ) | (525 | ) | |||
Balance as of December 31, 2018 | $ | 5,380 | $ | 7,716 |
• | Level 1 – based upon quoted prices for identical instruments in active markets, |
• | Level 2 – based upon quoted prices for similar instruments, prices for identical or similar instruments in markets that are not active, or model-derived valuations of all of whose significant inputs are observable, and |
• | Level 3 – based upon one or more significant unobservable inputs. |
Asset Derivatives | Liability Derivatives | ||||||||||
Location | Fair Value | Location | Fair Value | ||||||||
As of December 31, 2018 | (Dollars in thousands) | ||||||||||
Derivatives designated as cash flow hedges: | |||||||||||
Commodity derivative contracts | Prepaid and other current assets | $ | 90 | Other accrued liabilities | $ | 4,630 | |||||
Other long-term assets | 260 | Other long-term obligations | 6,393 | ||||||||
Total fair value | $ | 350 | $ | 11,023 | |||||||
As of December 31, 2017 | |||||||||||
Commodity derivative contracts | Prepaid and other current assets | $ | 2,518 | Other accrued liabilities | $ | — | |||||
Other long-term assets | 2,808 | Other long-term obligations | 581 | ||||||||
Total fair value | $ | 5,326 | $ | 581 | |||||||
Asset Derivatives | Liability Derivatives | ||||||||||
Location | Fair Value | Location | Fair Value | ||||||||
As of December 31, 2018 | (Dollars in Thousands) | ||||||||||
Derivatives not designated as hedges: | |||||||||||
Foreign currency derivatives | Prepaid and other current assets | $ | — | Other current liabilities | $ | 43 | |||||
As of December 31, 2017 | |||||||||||
Derivatives not designated as hedges: | |||||||||||
Foreign currency derivatives | Prepaid and other current assets | $ | 9 | Other current liabilities | $ | 90 |
Amount of (Gain)/Loss Recognized | ||||||||||||||
Location of (Gain)/Loss Recognized in the Consolidated Statement of Operations | 2018 | 2017 | 2016 | |||||||||||
Derivatives designated as cash flow hedges: | (Dollars in thousands) | |||||||||||||
Commodity forward derivatives | Cost of sales | $ | (919 | ) | $ | — | $ | — |
Amount of (Gain)/Loss Recognized | ||||||||||||||
Location of (Gain)/Loss Recognized in the Consolidated Statement of Operations | 2018 | 2017 | 2016 | |||||||||||
Derivatives not designated as hedges: | (Dollars in thousands) | |||||||||||||
Foreign currency derivatives | Cost of sales, Other expense/(income) | $ | (522 | ) | $ | (1,565 | ) | $ | 549 |
For the Year Ended December 31, 2018 | |||
(Dollars in thousands) | |||
Graphite Electrodes - Three-to-five-year contracts | $ | 1,341,557 | |
Graphite Electrodes - Short-term contracts | 500,834 | ||
By-products | 53,519 | ||
Total Revenues | $ | 1,895,910 |
Number of Shares | Weighted- Average Grant Date Fair Value | ||||||
Outstanding unvested as of January 1, 2018 | — | $ | — | ||||
Granted | 48,983 | 13.94 | |||||
Vested | (21,413 | ) | 15.29 | ||||
Outstanding unvested as of December 31, 2018 | 27,570 | $ | 12.88 |
For the Year Ended December 31, 2018 | ||
Dividend yield | 1.70% - 2.27% | |
Expected volatility | 45 | % |
Risk-free interest rate | 2.84% - 2.98% | |
Expected term in years | 6.5 years |
Options Outstanding | Options Exercisable | |||||||||||||||
Range of Exercise Prices | Number Outstanding | Weighted Average Remaining Contractual Life in Years | Weighted Average Exercise Prices | Number Exercisable | Weighted Average Exercise Prices | |||||||||||
$15.00 | - | $20.00 | 968,720 | 9.3 | $15.68 | — | $ | — |
Number of Shares | Weighted- Average Exercise Price | ||||||
Outstanding unvested as of January 1, 2018 | — | $ | — | ||||
Granted | 979,790 | 15.67 | |||||
Forfeited | (11,070 | ) | 15.00 | ||||
Outstanding unvested as of December 31, 2018 | 968,720 | $ | 15.68 |
For the Year Ended December 31, | ||||||||||||
2018 | 2017 | 2016 | ||||||||||
(Dollars in thousands) | ||||||||||||
Net sales | $ | 2,574 | $ | 82,299 | $ | 115,336 | ||||||
Cost of sales | 3,310 | 74,723 | 98,440 | |||||||||
Gross (loss) profit | (736 | ) | 7,576 | 16,896 | ||||||||
Research and development | — | 1,429 | 3,145 | |||||||||
Selling and administrative expenses | (628 | ) | 12,239 | 19,022 | ||||||||
(Gain) loss on sale of assets | (508 | ) | (6,091 | ) | 198 | |||||||
Rationalizations | — | (35 | ) | (405 | ) | |||||||
Impairment | — | 5,300 | 119,907 | |||||||||
400 | (5,266 | ) | (124,971 | ) | ||||||||
Other expense (income) | 30 | (115 | ) | (66 | ) | |||||||
Interest expense | — | 1,133 | 3,258 | |||||||||
Income (loss) from discontinued operations before income taxes | 370 | (6,284 | ) | (128,163 | ) | |||||||
Benefit for income taxes on discontinued operations | (39 | ) | (55 | ) | (1,189 | ) | ||||||
Income (loss) from discontinued operations | $ | 331 | $ | (6,229 | ) | $ | (126,974 | ) | ||||
Basic and diluted income (loss) from discontinued operations per share | $ | — | $ | (0.02 | ) | $ | (0.42 | ) |
For the Year Ended December 31 | |||||||||||
2018 | 2017 | 2016 | |||||||||
(Dollars in thousands) | |||||||||||
Depreciation and amortization | $ | — | $ | 2,418 | $ | 5,277 | |||||
Impairment | — | 5,300 | 119,907 | ||||||||
(Gain) loss on sale of assets | (508 | ) | (6,091 | ) | 198 | ||||||
Net change in inventory | 502 | 15,217 | (917 | ) | |||||||
Cash received from divestitures | — | 27,254 | 15,889 | ||||||||
Credit facility reductions | — | (27,254 | ) | (15,889 | ) | ||||||
Deferred income taxes | 40 | (55 | ) | (1,189 | ) | ||||||
Capital expenditures | — | 558 | 4,713 |
As of December 31, 2018 | As of December 31, 2017 | ||||||
(Dollars in thousands) | |||||||
Assets of discontinued operations: | |||||||
Accounts receivable | $ | — | $ | 3,351 | |||
Inventories | — | 502 | |||||
Prepaid expenses and other current assets | — | 1,137 | |||||
Net property, plant and equipment | — | 226 | |||||
Other assets | — | 97 | |||||
Total assets of discontinued operations | $ | — | $ | 5,313 | |||
Liabilities of discontinued operations: | |||||||
Accounts payable | $ | — | $ | 512 | |||
Accrued income and other taxes | — | 158 | |||||
Other accrued liabilities | — | 2,742 | |||||
Total current liabilities of discontinued operations | — | 3,412 | |||||
Other long-term obligations | — | 376 | |||||
Total liabilities of discontinued operations | $ | — | $ | 3,788 |
(16) | Earnings per Share |
For the Year Ended December 31, | ||||||||
2018 | 2017 | 2016 | ||||||
Weighted average common shares outstanding for basic calculation | 297,748,327 | 302,225,923 | 302,225,923 | |||||
Add: Effect of stock options and restricted stock | 5,443 | — | — | |||||
Weighted average common shares outstanding for diluted calculation | 297,753,770 | 302,225,923 | 302,225,923 |
Total | |||
(Dollars in Thousands) | |||
Balance as of December 31, 2016 | $ | 171,117 | |
Adjustments | — | ||
Balance as of December 31, 2017 | 171,117 | ||
Adjustments | — | ||
Balance as of December 31, 2018 | $ | 171,117 |
As of December 31, 2018 | As of December 31, 2017 | ||||||||||||||||||||||
Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | ||||||||||||||||||
(Dollars in Thousands) | |||||||||||||||||||||||
Trade name | $ | 22,500 | $ | (7,721 | ) | $ | 14,779 | $ | 22,500 | $ | (5,512 | ) | $ | 16,988 | |||||||||
Technology and know-how | 55,300 | (23,503 | ) | 31,797 | 55,300 | (17,265 | ) | 38,035 | |||||||||||||||
Customer related intangible | 64,500 | (15,070 | ) | 49,430 | 64,500 | (10,637 | ) | 53,863 | |||||||||||||||
Total finite-lived intangible assets | $ | 142,300 | $ | (46,294 | ) | $ | 96,006 | $ | 142,300 | $ | (33,414 | ) | $ | 108,886 |
Years | |
Trade name | 5-10 |
Technology and know-how | 5-9 |
Customer related intangible | 5-14 |
For the Year Ended December 31, | |||||||||||
2018 | 2017 | 2016 | |||||||||
(Dollars in thousands) | |||||||||||
U.S. | $ | (68,032 | ) | $ | (26,981 | ) | $ | (44,971 | ) | ||
Non-U.S. | 970,840 | 30,412 | (71,450 | ) | |||||||
$ | 902,808 | $ | 3,431 | $ | (116,421 | ) |
For the Year Ended December 31, | |||||||||||
2018 | 2017 | 2016 | |||||||||
U.S income taxes: | |||||||||||
Current | $ | 787 | $ | (1,066 | ) | $ | (878 | ) | |||
Deferred | (52,145 | ) | 38 | 1,152 | |||||||
(51,358 | ) | (1,028 | ) | 274 | |||||||
Non-U.S. income taxes: | |||||||||||
Current | 85,252 | 5,924 | 5,389 | ||||||||
Deferred | 15,026 | (15,677 | ) | (13,215 | ) | ||||||
100,278 | (9,753 | ) | (7,826 | ) | |||||||
Total income tax expense (benefit) | $ | 48,920 | $ | (10,781 | ) | $ | (7,552 | ) |
For the Year Ended December 31, | |||||||||||
2018 | 2017 | 2016 | |||||||||
(Dollars in thousands) | |||||||||||
Tax at statutory U.S. federal rate | $ | 189,590 | $ | 1,201 | $ | (40,747 | ) | ||||
Impact of U.S. Tax Cut and Jobs Act - GILTI | 93,739 | — | — | ||||||||
Impact of the 2017 Tax Act - transition tax | — | 39,628 | — | ||||||||
Impact of the 2017 Tax Act - tax rate change | — | 52,228 | — | ||||||||
Impact of Tax Receivable Agreement | 18,160 | — | — | ||||||||
Valuation allowance, net | (93,125 | ) | (89,269 | ) | 35,091 | ||||||
State taxes, net of federal tax benefit | 1,529 | 3,437 | (2,324 | ) | |||||||
U.S. tax impact of foreign earnings (net of foreign tax credits) | 792 | 1,151 | 51 | ||||||||
Investment in subsidiary impairment deduction | — | — | (10,114 | ) | |||||||
Establishment/resolution of uncertain tax positions | (345 | ) | (840 | ) | (513 | ) | |||||
Adjustment for foreign income taxed at different rates | (95,822 | ) | (2,359 | ) | 12,738 | ||||||
Foreign tax credits | (65,046 | ) | (17,956 | ) | (175 | ) | |||||
Other | (552 | ) | 1,998 | (1,559 | ) | ||||||
Provision (benefit) for income taxes | $ | 48,920 | $ | (10,781 | ) | $ | (7,552 | ) |
As of December 31, | |||||||
2018 | 2017 | ||||||
(Dollars in thousands) | |||||||
Deferred tax assets: | |||||||
Postretirement and other employee benefits | $ | 18,395 | $ | 19,392 | |||
Foreign tax credit and other carryforwards | 111,325 | 175,229 | |||||
Capitalized research and experimental costs | 7,695 | 9,417 | |||||
Environmental reserves | 976 | 493 | |||||
Inventory | 14,251 | 7,933 | |||||
Original issue discount | — | 2,603 | |||||
Long-term contract option amortization | 1,144 | 1,204 | |||||
Provision for rationalization charges | 351 | 502 | |||||
Other | 4,270 | 1,536 | |||||
Total gross deferred tax assets | 158,407 | 218,309 | |||||
Less: valuation allowance | (58,446 | ) | (150,839 | ) | |||
Total deferred tax assets | 99,961 | 67,470 | |||||
Deferred tax liabilities: | |||||||
Fixed assets | $ | 59,521 | $ | 68,098 | |||
Debt discount amortization / Deferred financing fees | — | 3,191 | |||||
Inventory | 7,751 | 5,128 | |||||
Goodwill and acquired intangibles | 3,668 | — | |||||
Other | 3,138 | 2,031 | |||||
Total deferred tax liabilities | 74,078 | 78,448 | |||||
Net deferred tax asset (liability) | $ | 25,883 | $ | (10,978 | ) |
(Dollars in thousands) | |||
Balance as of December 31, 2015 | $ | 165,539 | |
Charged to income | 78,469 | ||
Translation adjustment | 583 | ||
Changes attributable to movement in underlying assets | 250 | ||
Balance as of December 31, 2016 | $ | 244,841 | |
Credited to income | (87,194 | ) | |
Translation adjustment | 207 | ||
Changes attributable to movement in underlying assets | (7,015 | ) | |
Balance as of December 31, 2017 | $ | 150,839 | |
Credited to income | (93,125 | ) | |
Translation adjustment | (302 | ) | |
Changes attributable to movement in underlying assets | 1,034 | ||
Balance as of December 31, 2018 | $ | 58,446 |
(Dollars in thousands) | |||
Balance as of December 31, 2016 | $ | 3,338 | |
Additions for tax positions of prior years | 114 | ||
Lapse of statutes of limitations | (989 | ) | |
Foreign currency impact | 29 | ||
Balance as of December 31, 2017 | $ | 2,492 | |
Reductions for tax positions of prior years | (100 | ) | |
Lapse of statutes of limitations | (373 | ) | |
Settlements | (21 | ) | |
Foreign currency impact | (8 | ) | |
Balance as of December 31, 2018 | $ | 1,990 |
Years | |
Trade name | 5-10 |
Technology and know-how | 5-9 |
Customer related intangible | 5-14 |
For the Year Ended December 31 | |||||||||||
2018 | 2017 | 2016 | |||||||||
(Dollars in thousands) | |||||||||||
Interest incurred on debt | $ | 100,844 | $ | 24,060 | $ | 20,408 | |||||
Related Party Promissory Note interest expense | 5,090 | — | — | ||||||||
Senior Note redemption premium | 4,782 | — | — | ||||||||
Accretion of fair value adjustment on Senior Notes | 19,414 | 6,454 | 6,305 | ||||||||
Accretion of original issue discount on 2018 Term Loans | 1,455 | — | — | ||||||||
Amortization of debt issuance costs | 3,476 | 309 | 201 | ||||||||
Total interest expense | $ | 135,061 | $ | 30,823 | $ | 26,914 |
As of December 31, 2018 | As of December 31, 2017 | ||||||
(Dollars in thousands) | |||||||
Old Credit Facility (Old Revolving Facility and Old Term Loan Facility) | $ | — | $ | 58,192 | |||
Senior Notes | — | 280,586 | |||||
2018 Credit Facility (2018 Term Loan and 2018 Revolving Facility) | 2,155,883 | — | |||||
Other Debt | 751 | 596 | |||||
Total Debt | 2,156,634 | 339,374 | |||||
Less: Short-term Debt | (106,323 | ) | (16,474 | ) | |||
Long-term Debt | $ | 2,050,311 | $ | 322,900 |
For the Year Ended December 31, 2017 | For the Year Ended December 31, 2016 | ||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||
As Reported | Effect of Accounting Change | As Adjusted | As Reported | Effect of Accounting Change | As Adjusted | ||||||||||||||||||
Cost of Sales | $ | 461,339 | $ | 206 | $ | 461,545 | $ | 448,016 | $ | 1,212 | $ | 449,228 | |||||||||||
Research and development | 2,951 | 505 | 3,456 | 2,399 | 135 | 2,534 | |||||||||||||||||
Selling and administrative expenses | 49,479 | 3,027 | 52,506 | 57,784 | 731 | 58,515 | |||||||||||||||||
Other (income) expense, net | 1,634 | (3,738 | ) | (2,104 | ) | (2,188 | ) | (2,078 | ) | (4,266 | ) |
(Dollars in thousands) | |||
2019 | $ | 4,474 | |
2020 | 2,747 | ||
2021 | 1,497 | ||
2022 | 334 | ||
2023 | 269 | ||
After 2023 | 343 |
For the Year Ended December 31, | |||||||||||||||||||||||
2018 | 2017 | 2016 | |||||||||||||||||||||
U.S. | Foreign | U.S. | Foreign | U.S. | Foreign | ||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||
Service cost | $ | 1,315 | $ | 674 | $ | 1,305 | $ | 710 | $ | 1,325 | $ | 698 | |||||||||||
Interest cost | 4,709 | 253 | 5,352 | 199 | 5,744 | 243 | |||||||||||||||||
Expected return on assets | (5,679 | ) | (330 | ) | (5,268 | ) | (299 | ) | (4,940 | ) | (298 | ) | |||||||||||
Mark-to-market loss (gain) | 2,473 | 503 | (4,140 | ) | (53 | ) | (2,322 | ) | (220 | ) | |||||||||||||
Pension costs | $ | 2,818 | $ | 1,100 | $ | (2,751 | ) | $ | 557 | $ | (193 | ) | $ | 423 |
As of December 31, 2018 | As of December 31, 2017 | |||||||||||||||
U.S. | Foreign | U.S. | Foreign | |||||||||||||
(Dollars in thousands) | ||||||||||||||||
Changes in Benefit Obligation: | ||||||||||||||||
Net Benefit Obligation at beginning of period | $ | 139,746 | $ | 20,407 | $ | 140,230 | $ | 18,237 | ||||||||
Service cost | 1,315 | 674 | 1,305 | 710 | ||||||||||||
Interest cost | 4,709 | 253 | 5,352 | 199 | ||||||||||||
Participant contributions | — | 392 | — | 252 | ||||||||||||
Foreign currency exchange changes | — | (339 | ) | — | 1,069 | |||||||||||
Actuarial (gain) loss | (8,297 | ) | 711 | 3,212 | 63 | |||||||||||
Benefits paid | (10,488 | ) | 234 | (10,353 | ) | (123 | ) | |||||||||
Net benefit obligation at end of period | $ | 126,985 | $ | 22,332 | $ | 139,746 | $ | 20,407 | ||||||||
Changes in Plan Assets: | ||||||||||||||||
Fair value of plan assets at beginning of period | $ | 109,845 | $ | 13,618 | $ | 100,905 | $ | 11,871 | ||||||||
Actual return on plan assets | (5,091 | ) | 538 | 12,620 | 415 | |||||||||||
Foreign currency exchange rate changes | (154 | ) | — | 545 | ||||||||||||
Employer contributions | 5,579 | 726 | 6,673 | 658 | ||||||||||||
Participant contributions | 392 | — | 252 | |||||||||||||
Benefits paid | (10,488 | ) | 234 | (10,353 | ) | (123 | ) | |||||||||
Fair value of plan assets at end of period | $ | 99,845 | $ | 15,354 | $ | 109,845 | $ | 13,618 | ||||||||
Funded status (underfunded): | $ | (27,140 | ) | $ | (6,978 | ) | $ | (29,901 | ) | $ | (6,789 | ) | ||||
Amounts recognized in accumulated other comprehensive loss: | ||||||||||||||||
Prior service credit | $ | — | $ | — | $ | — | $ | — | ||||||||
Amounts recognized in the statement of financial position: | ||||||||||||||||
Non-current assets | $ | 147 | $ | — | $ | — | ||||||||||
Current liabilities | (430 | ) | (117 | ) | (433 | ) | — | (146 | ) | |||||||
Non-current liabilities | (26,710 | ) | (7,008 | ) | (29,468 | ) | — | (6,643 | ) | |||||||
Net amount recognized | $ | (27,140 | ) | $ | (6,978 | ) | $ | (29,901 | ) | $ | (6,789 | ) |
As of December 31, 2018 | |||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||
U.S. Plan Assets | |||||||||||||||
Cash and cash equivalents | $ | 1,978 | $ | — | $ | — | $ | 1,978 | |||||||
International Plan Assets | |||||||||||||||
Foreign government bonds | $ | — | $ | 958 | $ | — | $ | 958 | |||||||
Fixed insurance contracts | — | — | 14,396 | 14,396 | |||||||||||
Total assets in the fair value hierarchy | $ | — | $ | 958 | $ | 14,396 | $ | 15,354 | |||||||
Investments measured at net asset value | $ | 97,867 | |||||||||||||
Total | $ | 1,978 | $ | 958 | $ | 14,396 | $ | 115,199 | |||||||
As of December 31, 2017 | |||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||
U.S. Plan Assets | |||||||||||||||
Cash and cash equivalents | $ | 2,094 | $ | — | $ | — | $ | 2,094 | |||||||
International Plan Assets | |||||||||||||||
Foreign government bonds | $ | — | $ | 831 | $ | — | $ | 831 | |||||||
Fixed insurance contracts | — | — | 12,787 | 12,787 | |||||||||||
Total assets in the fair value hierarchy | $ | — | $ | 831 | $ | 12,787 | $ | 13,618 | |||||||
Investments measured at net asset value | $ | 107,751 | |||||||||||||
Total | $ | 2,094 | $ | 831 | $ | 12,787 | $ | 123,463 | |||||||
Fixed Insurance Contracts | |||
Balance at December 31, 2016 | $ | 11,142 | |
Gain / contributions / currency impact | 1,651 | ||
Distributions | (6 | ) | |
Balance at December 31, 2017 | 12,787 | ||
Gain / contributions / currency impact | 1,619 | ||
Distributions | (10 | ) | |
Balance at December 31, 2018 | $ | 14,396 |
Pension Benefit Obligations Key Assumptions | As of December 31, | ||||
2018 | 2017 | ||||
Weighted average assumptions to determine benefit obligations: | |||||
Discount rate | 3.71 | % | 3.20 | % | |
Rate of compensation increase | 1.74 | % | 1.57 | % |
Pension Cost Key Assumptions | |||||
Weighted average assumptions to determine net cost: | |||||
Discount rate | 3.20 | % | 3.61 | % | |
Expected return on plan assets | 4.94 | % | 4.95 | % | |
Rate of compensation increase | 1.57 | % | 1.57 | % |
Percentage of Plan Assets as of December 31, 2018 | |||||
US | Foreign | ||||
Equity securities and return seeking assets | 20 | % | — | % | |
Fixed income, debt securities, or cash | 80 | % | 100 | % | |
Total | 100 | % | 100 | % |
2018 | 2017 | ||||||||||||||
U.S. | Foreign | U.S. | Foreign | ||||||||||||
(Dollars in thousands) | |||||||||||||||
Accumulated benefit obligation | $ | 126,985 | $ | 20,601 | $ | 139,746 | $ | 18,843 | |||||||
Fair value of plan assets | 99,845 | 14,396 | 109,845 | 13,618 |
2018 | 2017 | ||||||||||||||
U.S. | Foreign | U.S. | Foreign | ||||||||||||
(Dollars in thousands) | |||||||||||||||
Projected benefit obligation | $ | 126,985 | $ | 21,520 | $ | 139,746 | $ | 20,407 | |||||||
Fair value of plan assets | 99,845 | 14,396 | 109,845 | 13,618 |
U.S. | Foreign | ||||||
(Dollars in thousands) | |||||||
Expected contributions in 2019: | |||||||
Expected employer contributions | $ | 684 | $ | 744 | |||
Expected employee contributions | — | — | |||||
Estimated future benefit payments reflecting expected future service for the years ending December 31: | |||||||
2019 | 9,240 | 858 | |||||
2020 | 9,221 | 755 | |||||
2021 | 9,221 | 824 | |||||
2022 | 9,182 | 824 | |||||
2023 | 9,136 | 955 | |||||
2024-2028 | 43,993 | 8,223 |
For the Year Ended December 31, | |||||||||||||||||||||||
2018 | 2017 | 2016 | |||||||||||||||||||||
U.S. | Foreign | U.S. | Foreign | U.S. | Foreign | ||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||
Service cost | $ | — | $ | 1 | $ | — | $ | 2 | $ | — | $ | 4 | |||||||||||
Interest cost | 264 | 700 | 333 | 653 | 360 | 764 | |||||||||||||||||
Plan amendment / curtailment | — | — | — | — | — | (993 | ) | ||||||||||||||||
Mark-to-market (gain) loss | (1,028 | ) | 47 | (1,257 | ) | 742 | (191 | ) | (225 | ) | |||||||||||||
Post-employment benefits (benefit) cost | $ | (764 | ) | $ | 748 | $ | (924 | ) | $ | 1,397 | $ | 169 | $ | (450 | ) |
Postretirement Benefits | As of December 31, 2018 | As of December 31, 2017 | |||||||||||||
U.S. | Foreign | U.S. | Foreign | ||||||||||||
(Dollars in thousands) | |||||||||||||||
Changes in Benefit Obligation: | |||||||||||||||
Net benefit obligation at beginning of period | $ | 8,461 | $ | 12,172 | $ | 10,175 | $ | 10,700 | |||||||
Service cost | — | 1 | — | 2 | |||||||||||
Interest cost | 264 | 700 | 333 | 653 | |||||||||||
Foreign currency exchange rates | — | (1,333 | ) | — | 931 | ||||||||||
Actuarial (gain) loss | (1,028 | ) | 47 | (1,257 | ) | 742 | |||||||||
Gross benefits paid | (532 | ) | (926 | ) | (790 | ) | (856 | ) | |||||||
Plan amendment | — | — | — | — | |||||||||||
Net benefit obligation at end of period | $ | 7,165 | $ | 10,661 | $ | 8,461 | $ | 12,172 | |||||||
Changes in Plan Assets: | |||||||||||||||
Fair value of plan assets at beginning of period | $ | — | $ | — | $ | — | $ | — | |||||||
Employer contributions | 532 | 926 | 790 | 856 | |||||||||||
Gross benefits paid | (532 | ) | (926 | ) | (790 | ) | (856 | ) | |||||||
Fair value of plan assets at end of period | $ | — | $ | — | $ | — | $ | — | |||||||
Funded status: | $ | (7,165 | ) | $ | (10,661 | ) | $ | (8,461 | ) | $ | (12,172 | ) | |||
Amounts recognized in accumulated other comprehensive loss: | |||||||||||||||
Prior service credit | $ | — | $ | — | $ | — | $ | — | |||||||
Amounts recognized in the statement of financial position: | |||||||||||||||
Current liabilities | $ | (783 | ) | $ | (851 | ) | $ | (855 | ) | $ | (912 | ) | |||
Non-current liabilities | (6,382 | ) | (9,810 | ) | (7,606 | ) | (11,260 | ) | |||||||
Net amount recognized | $ | (7,165 | ) | $ | (10,661 | ) | $ | (8,461 | ) | $ | (12,172 | ) |
Postretirement Benefit Obligations | |||||
2018 | 2017 | ||||
Weighted average assumptions to determine benefit obligations: | |||||
Discount rate | 5.57 | % | 5.07 | % | |
Health care cost trend on covered charges: | |||||
Initial | 6.53 | % | 6.86 | % | |
Ultimate | 6.05 | % | 6.23 | % | |
Years to ultimate | 8 | 8 |
Postretirement Benefit Costs | |||||
2018 | 2017 | ||||
Weighted average assumptions to determine net cost: | |||||
Discount rate | 5.07 | % | 4.80 | % | |
Health care cost trend on covered charges: | |||||
Initial | 6.86 | % | 6.80 | % | |
Ultimate | 6.23 | % | 5.96 | % | |
Years to ultimate | 7 | 7 |
One Percentage Point Increase | One Percentage Point Decrease | ||||||||||||||
U.S. | Foreign | U.S. | Foreign | ||||||||||||
(Dollars in thousands) | |||||||||||||||
Effect on total service cost and interest cost components | $ | 1 | $ | 32 | $ | (1 | ) | $ | (66 | ) | |||||
Effect on benefit obligations | $ | 14 | $ | 506 | $ | (14 | ) | $ | (442 | ) |
U.S. | Foreign | ||||||
(Dollars in thousands) | |||||||
Expected contributions in 2019: | |||||||
Expected employer contributions | $ | 783 | $ | 851 | |||
Expected employee contributions | — | — | |||||
Estimated future benefit payments reflecting expected future service for the years ending December 31: | |||||||
2019 | 783 | 851 | |||||
2020 | 724 | 866 | |||||
2021 | 663 | 891 | |||||
2022 | 607 | 904 | |||||
2023 | 554 | 899 | |||||
2024-2025 | 2,174 | 4,769 |
Years | ||
Buildings | 25-40 | |
Land improvements | 20 | |
Machinery and equipment | 5-20 | |
Furniture and fixtures | 5-10 |
Years | ||
Buildings | 25-40 | |
Land improvements | 20 | |
Machinery and equipment | 5-20 | |
Furniture and fixtures | 5-10 |
2018 | 2017 | |||||||||||||||||||||||||||||||
March 31 | June 30 | September 30 | December 31 | March 31 | June 30 | September 30 | December 31 | |||||||||||||||||||||||||
(Dollars in thousands, except per share amounts) | ||||||||||||||||||||||||||||||||
As Reported: | ||||||||||||||||||||||||||||||||
Net Sales | $ | 451,899 | $ | 456,332 | $ | 454,890 | $ | 532,789 | $ | 104,739 | $ | 116,314 | $ | 137,245 | $ | 192,473 | ||||||||||||||||
Gross profit | 306,750 | 290,422 | 274,610 | 318,430 | 1,085 | 9,679 | 16,561 | 60,598 | ||||||||||||||||||||||||
Research and development | 429 | 581 | 518 | 601 | 829 | 943 | 1,338 | (159 | ) | |||||||||||||||||||||||
Selling and administrative expenses | 15,876 | 16,239 | 14,234 | 15,683 | 11,683 | 12,195 | 13,322 | 12,280 | ||||||||||||||||||||||||
Other expense (income), net | 2,005 | (974 | ) | 1,502 | 828 | 3,067 | 1,186 | (643 | ) | (1,976 | ) | |||||||||||||||||||||
Related party Tax Receivable Agreement Expense | — | 61,801 | — | 24,677 | — | — | — | — | ||||||||||||||||||||||||
Net income (loss) | 223,673 | 201,448 | 199,466 | 229,632 | (26,344 | ) | (17,383 | ) | (3,919 | ) | 55,628 | |||||||||||||||||||||
Net income (loss) per share | $ | 0.74 | $ | 0.67 | $ | 0.67 | $ | 0.79 | $ | (0.09 | ) | $ | (0.06 | ) | $ | (0.01 | ) | $ | 0.18 | |||||||||||||
Effect of Change: | ||||||||||||||||||||||||||||||||
Net Sales | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||
Gross profit | — | — | — | — | 201 | 201 | 201 | (809 | ) | |||||||||||||||||||||||
Research and development | — | — | — | — | (9 | ) | (10 | ) | (9 | ) | 532 | |||||||||||||||||||||
Selling and administrative expenses | — | — | — | — | (27 | ) | (26 | ) | (29 | ) | 3,109 | |||||||||||||||||||||
Other expense (income), net | — | — | — | — | 237 | 237 | 239 | (4,450 | ) | |||||||||||||||||||||||
Net income (loss) | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||
Net income (loss) per share | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||
Revised: | ||||||||||||||||||||||||||||||||
Net Sales | $ | 451,899 | $ | 456,332 | $ | 454,890 | $ | 532,789 | $ | 104,739 | $ | 116,314 | $ | 137,245 | $ | 192,473 | ||||||||||||||||
Gross profit | 306,750 | 290,422 | 274,610 | 318,430 | 1,286 | 9,880 | 16,762 | 59,789 | ||||||||||||||||||||||||
Research and development | 429 | 581 | 518 | 601 | 820 | 933 | 1,329 | 373 | ||||||||||||||||||||||||
Selling and administrative expenses | 15,876 | 16,239 | 14,234 | 15,683 | 11,656 | 12,169 | 13,293 | 15,389 | ||||||||||||||||||||||||
Other expense (income), net | 2,005 | (974 | ) | 1,502 | 828 | 3,304 | 1,423 | (404 | ) | (6,426 | ) | |||||||||||||||||||||
Related party Tax Receivable Agreement Expense | — | 61,801 | — | 24,677 | — | — | — | — | ||||||||||||||||||||||||
Net income (loss) | 223,673 | 201,448 | 199,466 | 229,632 | (26,344 | ) | (17,383 | ) | (3,919 | ) | 55,628 | |||||||||||||||||||||
Net income (loss) per share | $ | 0.74 | $ | 0.67 | $ | 0.67 | $ | 0.79 | $ | (0.09 | ) | $ | (0.06 | ) | $ | (0.01 | ) | $ | 0.18 |
For the Year Ended December 31, 2018 | |||
(Dollars in thousands) | |||
Graphite Electrodes - Three-to-five-year contracts | $ | 1,341,557 | |
Graphite Electrodes - Short-term contracts | 500,834 | ||
By-products | 53,519 | ||
Total Revenues | $ | 1,895,910 |
Current deferred revenue | Long-Term deferred revenue | ||||||
(Dollars in thousands) | |||||||
Balance as of December 31, 2017 | $ | 20,784 | $ | — | |||
Increases due to billings | 15,548 | 8,241 | |||||
Revenue recognized | (30,803 | ) | — | ||||
Foreign currency impact | (149 | ) | (525 | ) | |||
Balance as of December 31, 2018 | $ | 5,380 | $ | 7,716 |
Three-to-five-year take-or-pay contracts | |||
(Dollars in thousands) | |||
2019 | $ | 1,404,618 | |
2020 | 1,327,449 | ||
2021 | 1,172,536 | ||
2022 | 1,127,105 | ||
Thereafter | 8,715 | ||
Total | $ | 5,040,423 |
Three-to-five-year take-or-pay contracts | |||
(Dollars in thousands) | |||
2019 | $ | 1,404,618 | |
2020 | 1,327,449 | ||
2021 | 1,172,536 | ||
2022 | 1,127,105 | ||
Thereafter | 8,715 | ||
Total | $ | 5,040,423 |
2018 | 2017 | ||||||||||||||
U.S. | Foreign | U.S. | Foreign | ||||||||||||
(Dollars in thousands) | |||||||||||||||
Projected benefit obligation | $ | 126,985 | $ | 21,520 | $ | 139,746 | $ | 20,407 | |||||||
Fair value of plan assets | 99,845 | 14,396 | 109,845 | 13,618 |
2018 | 2017 | ||||||||||||||
U.S. | Foreign | U.S. | Foreign | ||||||||||||
(Dollars in thousands) | |||||||||||||||
Accumulated benefit obligation | $ | 126,985 | $ | 20,601 | $ | 139,746 | $ | 18,843 | |||||||
Fair value of plan assets | 99,845 | 14,396 | 109,845 | 13,618 |
As of December 31, 2018 | As of December 31, 2017 | ||||||
(Dollars in thousands) | |||||||
Foreign currency translation adjustments, net of tax | $ | (2,922 | ) | $ | 15,468 | ||
Commodities and foreign currency derivatives, net of tax | (2,878 | ) | 4,821 | ||||
Total accumulated comprehensive (loss) income | $ | (5,800 | ) | $ | 20,289 |
As of December 31, 2018 | As of December 31, 2017 | ||||||
(Dollars in thousands) | |||||||
Inventories: | |||||||
Raw materials and supplies | $ | 99,935 | $ | 39,434 | |||
Work in process | 125,767 | 85,852 | |||||
Finished goods | 68,015 | 48,865 | |||||
$ | 293,717 | $ | 174,151 | ||||
Prepaid expenses and other current assets: | |||||||
Prepaid expenses | $ | 10,720 | $ | 9,505 | |||
Value added tax and other indirect taxes receivable | 19,242 | 18,627 | |||||
Spare parts inventory | 11,507 | 11,010 | |||||
Other current assets | 4,699 | 5,730 | |||||
$ | 46,168 | $ | 44,872 | ||||
Property, plant and equipment: | |||||||
Land and improvements | $ | 45,947 | $ | 46,599 | |||
Buildings | 68,680 | 59,608 | |||||
Machinery and equipment and other | 532,084 | 495,069 | |||||
Construction in progress | 42,131 | 41,375 | |||||
$ | 688,842 | $ | 642,651 | ||||
Other accrued liabilities: | |||||||
Payrolls (including incentive programs) | $ | 17,284 | $ | 14,196 | |||
Employee benefits | 6,977 | 4,684 | |||||
Deferred Revenue | 5,380 | 20,784 | |||||
Other | 20,811 | 13,562 | |||||
$ | 50,452 | $ | 53,226 | ||||
Other long term obligations: | |||||||
Postretirement benefits | $ | 16,192 | $ | 20,508 | |||
Pension and related benefits | 33,718 | 36,116 | |||||
Other | 22,609 | 12,283 | |||||
$ | 72,519 | $ | 68,907 |
Pension Benefit Obligations Key Assumptions | As of December 31, | ||||
2018 | 2017 | ||||
Weighted average assumptions to determine benefit obligations: | |||||
Discount rate | 3.71 | % | 3.20 | % | |
Rate of compensation increase | 1.74 | % | 1.57 | % |
Pension Cost Key Assumptions | |||||
Weighted average assumptions to determine net cost: | |||||
Discount rate | 3.20 | % | 3.61 | % | |
Expected return on plan assets | 4.94 | % | 4.95 | % | |
Rate of compensation increase | 1.57 | % | 1.57 | % |
Postretirement Benefit Obligations | |||||
2018 | 2017 | ||||
Weighted average assumptions to determine benefit obligations: | |||||
Discount rate | 5.57 | % | 5.07 | % | |
Health care cost trend on covered charges: | |||||
Initial | 6.53 | % | 6.86 | % | |
Ultimate | 6.05 | % | 6.23 | % | |
Years to ultimate | 8 | 8 |
Postretirement Benefit Costs | |||||
2018 | 2017 | ||||
Weighted average assumptions to determine net cost: | |||||
Discount rate | 5.07 | % | 4.80 | % | |
Health care cost trend on covered charges: | |||||
Initial | 6.86 | % | 6.80 | % | |
Ultimate | 6.23 | % | 5.96 | % | |
Years to ultimate | 7 | 7 |
Fixed Insurance Contracts | |||
Balance at December 31, 2016 | $ | 11,142 | |
Gain / contributions / currency impact | 1,651 | ||
Distributions | (6 | ) | |
Balance at December 31, 2017 | 12,787 | ||
Gain / contributions / currency impact | 1,619 | ||
Distributions | (10 | ) | |
Balance at December 31, 2018 | $ | 14,396 |
As of December 31, 2018 | |||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||
U.S. Plan Assets | |||||||||||||||
Cash and cash equivalents | $ | 1,978 | $ | — | $ | — | $ | 1,978 | |||||||
International Plan Assets | |||||||||||||||
Foreign government bonds | $ | — | $ | 958 | $ | — | $ | 958 | |||||||
Fixed insurance contracts | — | — | 14,396 | 14,396 | |||||||||||
Total assets in the fair value hierarchy | $ | — | $ | 958 | $ | 14,396 | $ | 15,354 | |||||||
Investments measured at net asset value | $ | 97,867 | |||||||||||||
Total | $ | 1,978 | $ | 958 | $ | 14,396 | $ | 115,199 | |||||||
As of December 31, 2017 | |||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||
U.S. Plan Assets | |||||||||||||||
Cash and cash equivalents | $ | 2,094 | $ | — | $ | — | $ | 2,094 | |||||||
International Plan Assets | |||||||||||||||
Foreign government bonds | $ | — | $ | 831 | $ | — | $ | 831 | |||||||
Fixed insurance contracts | — | — | 12,787 | 12,787 | |||||||||||
Total assets in the fair value hierarchy | $ | — | $ | 831 | $ | 12,787 | $ | 13,618 | |||||||
Investments measured at net asset value | $ | 107,751 | |||||||||||||
Total | $ | 2,094 | $ | 831 | $ | 12,787 | $ | 123,463 | |||||||
For the Year Ended December 31, | |||||||||||
2018 | 2017 | 2016 | |||||||||
U.S income taxes: | |||||||||||
Current | $ | 787 | $ | (1,066 | ) | $ | (878 | ) | |||
Deferred | (52,145 | ) | 38 | 1,152 | |||||||
(51,358 | ) | (1,028 | ) | 274 | |||||||
Non-U.S. income taxes: | |||||||||||
Current | 85,252 | 5,924 | 5,389 | ||||||||
Deferred | 15,026 | (15,677 | ) | (13,215 | ) | ||||||
100,278 | (9,753 | ) | (7,826 | ) | |||||||
Total income tax expense (benefit) | $ | 48,920 | $ | (10,781 | ) | $ | (7,552 | ) |
As of December 31, 2018 | As of December 31, 2017 | ||||||
(Dollars in thousands) | |||||||
Old Credit Facility (Old Revolving Facility and Old Term Loan Facility) | $ | — | $ | 58,192 | |||
Senior Notes | — | 280,586 | |||||
2018 Credit Facility (2018 Term Loan and 2018 Revolving Facility) | 2,155,883 | — | |||||
Other Debt | 751 | 596 | |||||
Total Debt | 2,156,634 | 339,374 | |||||
Less: Short-term Debt | (106,323 | ) | (16,474 | ) | |||
Long-term Debt | $ | 2,050,311 | $ | 322,900 |
As of December 31, | |||||||
2018 | 2017 | ||||||
(Dollars in thousands) | |||||||
Deferred tax assets: | |||||||
Postretirement and other employee benefits | $ | 18,395 | $ | 19,392 | |||
Foreign tax credit and other carryforwards | 111,325 | 175,229 | |||||
Capitalized research and experimental costs | 7,695 | 9,417 | |||||
Environmental reserves | 976 | 493 | |||||
Inventory | 14,251 | 7,933 | |||||
Original issue discount | — | 2,603 | |||||
Long-term contract option amortization | 1,144 | 1,204 | |||||
Provision for rationalization charges | 351 | 502 | |||||
Other | 4,270 | 1,536 | |||||
Total gross deferred tax assets | 158,407 | 218,309 | |||||
Less: valuation allowance | (58,446 | ) | (150,839 | ) | |||
Total deferred tax assets | 99,961 | 67,470 | |||||
Deferred tax liabilities: | |||||||
Fixed assets | $ | 59,521 | $ | 68,098 | |||
Debt discount amortization / Deferred financing fees | — | 3,191 | |||||
Inventory | 7,751 | 5,128 | |||||
Goodwill and acquired intangibles | 3,668 | — | |||||
Other | 3,138 | 2,031 | |||||
Total deferred tax liabilities | 74,078 | 78,448 | |||||
Net deferred tax asset (liability) | $ | 25,883 | $ | (10,978 | ) |
For the Year Ended December 31, | |||||||||||||||||||||||
2018 | 2017 | 2016 | |||||||||||||||||||||
U.S. | Foreign | U.S. | Foreign | U.S. | Foreign | ||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||
Service cost | $ | — | $ | 1 | $ | — | $ | 2 | $ | — | $ | 4 | |||||||||||
Interest cost | 264 | 700 | 333 | 653 | 360 | 764 | |||||||||||||||||
Plan amendment / curtailment | — | — | — | — | — | (993 | ) | ||||||||||||||||
Mark-to-market (gain) loss | (1,028 | ) | 47 | (1,257 | ) | 742 | (191 | ) | (225 | ) | |||||||||||||
Post-employment benefits (benefit) cost | $ | (764 | ) | $ | 748 | $ | (924 | ) | $ | 1,397 | $ | 169 | $ | (450 | ) |
Amount of (Gain)/Loss Recognized | ||||||||||||||
Location of (Gain)/Loss Recognized in the Consolidated Statement of Operations | 2018 | 2017 | 2016 | |||||||||||
Derivatives designated as cash flow hedges: | (Dollars in thousands) | |||||||||||||
Commodity forward derivatives | Cost of sales | $ | (919 | ) | $ | — | $ | — |
For the Year Ended December 31, | ||||||||||||
2018 | 2017 | 2016 | ||||||||||
(Dollars in thousands) | ||||||||||||
Net sales | $ | 2,574 | $ | 82,299 | $ | 115,336 | ||||||
Cost of sales | 3,310 | 74,723 | 98,440 | |||||||||
Gross (loss) profit | (736 | ) | 7,576 | 16,896 | ||||||||
Research and development | — | 1,429 | 3,145 | |||||||||
Selling and administrative expenses | (628 | ) | 12,239 | 19,022 | ||||||||
(Gain) loss on sale of assets | (508 | ) | (6,091 | ) | 198 | |||||||
Rationalizations | — | (35 | ) | (405 | ) | |||||||
Impairment | — | 5,300 | 119,907 | |||||||||
400 | (5,266 | ) | (124,971 | ) | ||||||||
Other expense (income) | 30 | (115 | ) | (66 | ) | |||||||
Interest expense | — | 1,133 | 3,258 | |||||||||
Income (loss) from discontinued operations before income taxes | 370 | (6,284 | ) | (128,163 | ) | |||||||
Benefit for income taxes on discontinued operations | (39 | ) | (55 | ) | (1,189 | ) | ||||||
Income (loss) from discontinued operations | $ | 331 | $ | (6,229 | ) | $ | (126,974 | ) | ||||
Basic and diluted income (loss) from discontinued operations per share | $ | — | $ | (0.02 | ) | $ | (0.42 | ) |
For the Year Ended December 31 | |||||||||||
2018 | 2017 | 2016 | |||||||||
(Dollars in thousands) | |||||||||||
Depreciation and amortization | $ | — | $ | 2,418 | $ | 5,277 | |||||
Impairment | — | 5,300 | 119,907 | ||||||||
(Gain) loss on sale of assets | (508 | ) | (6,091 | ) | 198 | ||||||
Net change in inventory | 502 | 15,217 | (917 | ) | |||||||
Cash received from divestitures | — | 27,254 | 15,889 | ||||||||
Credit facility reductions | — | (27,254 | ) | (15,889 | ) | ||||||
Deferred income taxes | 40 | (55 | ) | (1,189 | ) | ||||||
Capital expenditures | — | 558 | 4,713 |
As of December 31, 2018 | As of December 31, 2017 | ||||||
(Dollars in thousands) | |||||||
Assets of discontinued operations: | |||||||
Accounts receivable | $ | — | $ | 3,351 | |||
Inventories | — | 502 | |||||
Prepaid expenses and other current assets | — | 1,137 | |||||
Net property, plant and equipment | — | 226 | |||||
Other assets | — | 97 | |||||
Total assets of discontinued operations | $ | — | $ | 5,313 | |||
Liabilities of discontinued operations: | |||||||
Accounts payable | $ | — | $ | 512 | |||
Accrued income and other taxes | — | 158 | |||||
Other accrued liabilities | — | 2,742 | |||||
Total current liabilities of discontinued operations | — | 3,412 | |||||
Other long-term obligations | — | 376 | |||||
Total liabilities of discontinued operations | $ | — | $ | 3,788 |
For the Year Ended December 31, | ||||||||
2018 | 2017 | 2016 | ||||||
Weighted average common shares outstanding for basic calculation | 297,748,327 | 302,225,923 | 302,225,923 | |||||
Add: Effect of stock options and restricted stock | 5,443 | — | — | |||||
Weighted average common shares outstanding for diluted calculation | 297,753,770 | 302,225,923 | 302,225,923 |
One Percentage Point Increase | One Percentage Point Decrease | ||||||||||||||
U.S. | Foreign | U.S. | Foreign | ||||||||||||
(Dollars in thousands) | |||||||||||||||
Effect on total service cost and interest cost components | $ | 1 | $ | 32 | $ | (1 | ) | $ | (66 | ) | |||||
Effect on benefit obligations | $ | 14 | $ | 506 | $ | (14 | ) | $ | (442 | ) |
For the Year Ended December 31, | |||||||||||
2018 | 2017 | 2016 | |||||||||
(Dollars in thousands) | |||||||||||
Tax at statutory U.S. federal rate | $ | 189,590 | $ | 1,201 | $ | (40,747 | ) | ||||
Impact of U.S. Tax Cut and Jobs Act - GILTI | 93,739 | — | — | ||||||||
Impact of the 2017 Tax Act - transition tax | — | 39,628 | — | ||||||||
Impact of the 2017 Tax Act - tax rate change | — | 52,228 | — | ||||||||
Impact of Tax Receivable Agreement | 18,160 | — | — | ||||||||
Valuation allowance, net | (93,125 | ) | (89,269 | ) | 35,091 | ||||||
State taxes, net of federal tax benefit | 1,529 | 3,437 | (2,324 | ) | |||||||
U.S. tax impact of foreign earnings (net of foreign tax credits) | 792 | 1,151 | 51 | ||||||||
Investment in subsidiary impairment deduction | — | — | (10,114 | ) | |||||||
Establishment/resolution of uncertain tax positions | (345 | ) | (840 | ) | (513 | ) | |||||
Adjustment for foreign income taxed at different rates | (95,822 | ) | (2,359 | ) | 12,738 | ||||||
Foreign tax credits | (65,046 | ) | (17,956 | ) | (175 | ) | |||||
Other | (552 | ) | 1,998 | (1,559 | ) | ||||||
Provision (benefit) for income taxes | $ | 48,920 | $ | (10,781 | ) | $ | (7,552 | ) |
At December 31, | |||||||
2018 | 2017 | ||||||
(Dollars in thousands) | |||||||
Long-lived assets (a): | |||||||
U.S. | $ | 169,301 | $ | 177,298 | |||
Mexico | 146,790 | 147,959 | |||||
Brazil | 3,320 | 3,547 | |||||
France | 91,022 | 80,035 | |||||
Spain | 103,121 | 103,819 | |||||
Other countries | 151 | 183 | |||||
Total | $ | 513,705 | $ | 512,841 |
(a) | Long-lived assets represent fixed assets, net of accumulated depreciation. |
Asset Derivatives | Liability Derivatives | ||||||||||
Location | Fair Value | Location | Fair Value | ||||||||
As of December 31, 2018 | (Dollars in Thousands) | ||||||||||
Derivatives not designated as hedges: | |||||||||||
Foreign currency derivatives | Prepaid and other current assets | $ | — | Other current liabilities | $ | 43 | |||||
As of December 31, 2017 | |||||||||||
Derivatives not designated as hedges: | |||||||||||
Foreign currency derivatives | Prepaid and other current assets | $ | 9 | Other current liabilities | $ | 90 |
As of December 31, 2018 | As of December 31, 2017 | ||||||||||||||||||||||
Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | ||||||||||||||||||
(Dollars in Thousands) | |||||||||||||||||||||||
Trade name | $ | 22,500 | $ | (7,721 | ) | $ | 14,779 | $ | 22,500 | $ | (5,512 | ) | $ | 16,988 | |||||||||
Technology and know-how | 55,300 | (23,503 | ) | 31,797 | 55,300 | (17,265 | ) | 38,035 | |||||||||||||||
Customer related intangible | 64,500 | (15,070 | ) | 49,430 | 64,500 | (10,637 | ) | 53,863 | |||||||||||||||
Total finite-lived intangible assets | $ | 142,300 | $ | (46,294 | ) | $ | 96,006 | $ | 142,300 | $ | (33,414 | ) | $ | 108,886 |
Total | |||
(Dollars in Thousands) | |||
Balance as of December 31, 2016 | $ | 171,117 | |
Adjustments | — | ||
Balance as of December 31, 2017 | 171,117 | ||
Adjustments | — | ||
Balance as of December 31, 2018 | $ | 171,117 |
For the Year Ended December 31, | |||||||||||
2018 | 2017 | 2016 | |||||||||
(Dollars in thousands) | |||||||||||
U.S. | $ | (68,032 | ) | $ | (26,981 | ) | $ | (44,971 | ) | ||
Non-U.S. | 970,840 | 30,412 | (71,450 | ) | |||||||
$ | 902,808 | $ | 3,431 | $ | (116,421 | ) |
For the Year Ended December 31, | |||||||||||||||||||||||
2018 | 2017 | 2016 | |||||||||||||||||||||
U.S. | Foreign | U.S. | Foreign | U.S. | Foreign | ||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||
Service cost | $ | 1,315 | $ | 674 | $ | 1,305 | $ | 710 | $ | 1,325 | $ | 698 | |||||||||||
Interest cost | 4,709 | 253 | 5,352 | 199 | 5,744 | 243 | |||||||||||||||||
Expected return on assets | (5,679 | ) | (330 | ) | (5,268 | ) | (299 | ) | (4,940 | ) | (298 | ) | |||||||||||
Mark-to-market loss (gain) | 2,473 | 503 | (4,140 | ) | (53 | ) | (2,322 | ) | (220 | ) | |||||||||||||
Pension costs | $ | 2,818 | $ | 1,100 | $ | (2,751 | ) | $ | 557 | $ | (193 | ) | $ | 423 |
For the Year Ended December 31, 2017 | For the Year Ended December 31, 2016 | ||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||
As Reported | Effect of Accounting Change | As Adjusted | As Reported | Effect of Accounting Change | As Adjusted | ||||||||||||||||||
Cost of Sales | $ | 461,339 | $ | 206 | $ | 461,545 | $ | 448,016 | $ | 1,212 | $ | 449,228 | |||||||||||
Research and development | 2,951 | 505 | 3,456 | 2,399 | 135 | 2,534 | |||||||||||||||||
Selling and administrative expenses | 49,479 | 3,027 | 52,506 | 57,784 | 731 | 58,515 | |||||||||||||||||
Other (income) expense, net | 1,634 | (3,738 | ) | (2,104 | ) | (2,188 | ) | (2,078 | ) | (4,266 | ) |
(Dollars in Thousands) | |||
Balance as of December 31, 2016 | $ | 969 | |
Product warranty charges/adjustments | (149 | ) | |
Payments and settlements | (471 | ) | |
Balance as of December 31, 2017 | $ | 349 | |
Product warranty charges/adjustments | 1,510 | ||
Payments and settlements | (331 | ) | |
Balance as of December 31, 2018 | $ | 1,528 |
2018 | 2017 | |||||||||||||||||||||||||||||||
March 31 | June 30 | September 30 | December 31 | March 31 | June 30 | September 30 | December 31 | |||||||||||||||||||||||||
(Dollars in thousands, except per share amounts) | ||||||||||||||||||||||||||||||||
As Reported: | ||||||||||||||||||||||||||||||||
Net Sales | $ | 451,899 | $ | 456,332 | $ | 454,890 | $ | 532,789 | $ | 104,739 | $ | 116,314 | $ | 137,245 | $ | 192,473 | ||||||||||||||||
Gross profit | 306,750 | 290,422 | 274,610 | 318,430 | 1,085 | 9,679 | 16,561 | 60,598 | ||||||||||||||||||||||||
Research and development | 429 | 581 | 518 | 601 | 829 | 943 | 1,338 | (159 | ) | |||||||||||||||||||||||
Selling and administrative expenses | 15,876 | 16,239 | 14,234 | 15,683 | 11,683 | 12,195 | 13,322 | 12,280 | ||||||||||||||||||||||||
Other expense (income), net | 2,005 | (974 | ) | 1,502 | 828 | 3,067 | 1,186 | (643 | ) | (1,976 | ) | |||||||||||||||||||||
Related party Tax Receivable Agreement Expense | — | 61,801 | — | 24,677 | — | — | — | — | ||||||||||||||||||||||||
Net income (loss) | 223,673 | 201,448 | 199,466 | 229,632 | (26,344 | ) | (17,383 | ) | (3,919 | ) | 55,628 | |||||||||||||||||||||
Net income (loss) per share | $ | 0.74 | $ | 0.67 | $ | 0.67 | $ | 0.79 | $ | (0.09 | ) | $ | (0.06 | ) | $ | (0.01 | ) | $ | 0.18 | |||||||||||||
Effect of Change: | ||||||||||||||||||||||||||||||||
Net Sales | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||
Gross profit | — | — | — | — | 201 | 201 | 201 | (809 | ) | |||||||||||||||||||||||
Research and development | — | — | — | — | (9 | ) | (10 | ) | (9 | ) | 532 | |||||||||||||||||||||
Selling and administrative expenses | — | — | — | — | (27 | ) | (26 | ) | (29 | ) | 3,109 | |||||||||||||||||||||
Other expense (income), net | — | — | — | — | 237 | 237 | 239 | (4,450 | ) | |||||||||||||||||||||||
Net income (loss) | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||
Net income (loss) per share | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||
Revised: | ||||||||||||||||||||||||||||||||
Net Sales | $ | 451,899 | $ | 456,332 | $ | 454,890 | $ | 532,789 | $ | 104,739 | $ | 116,314 | $ | 137,245 | $ | 192,473 | ||||||||||||||||
Gross profit | 306,750 | 290,422 | 274,610 | 318,430 | 1,286 | 9,880 | 16,762 | 59,789 | ||||||||||||||||||||||||
Research and development | 429 | 581 | 518 | 601 | 820 | 933 | 1,329 | 373 | ||||||||||||||||||||||||
Selling and administrative expenses | 15,876 | 16,239 | 14,234 | 15,683 | 11,656 | 12,169 | 13,293 | 15,389 | ||||||||||||||||||||||||
Other expense (income), net | 2,005 | (974 | ) | 1,502 | 828 | 3,304 | 1,423 | (404 | ) | (6,426 | ) | |||||||||||||||||||||
Related party Tax Receivable Agreement Expense | — | 61,801 | — | 24,677 | — | — | — | — | ||||||||||||||||||||||||
Net income (loss) | 223,673 | 201,448 | 199,466 | 229,632 | (26,344 | ) | (17,383 | ) | (3,919 | ) | 55,628 | |||||||||||||||||||||
Net income (loss) per share | $ | 0.74 | $ | 0.67 | $ | 0.67 | $ | 0.79 | $ | (0.09 | ) | $ | (0.06 | ) | $ | (0.01 | ) | $ | 0.18 |
2018 | 2017 | 2016 | |||||||||
(Dollars in thousands) | |||||||||||
Net sales: | |||||||||||
U.S. | $ | 429,599 | $ | 103,890 | $ | 74,526 | |||||
Americas | 367,561 | 129,103 | 116,944 | ||||||||
Asia Pacific | 131,578 | 46,329 | 41,302 | ||||||||
Europe, Middle East, Africa | 967,172 | 271,449 | 205,191 | ||||||||
Total | $ | 1,895,910 | $ | 550,771 | $ | 437,963 |
Number of Shares | Weighted- Average Exercise Price | ||||||
Outstanding unvested as of January 1, 2018 | — | $ | — | ||||
Granted | 979,790 | 15.67 | |||||
Forfeited | (11,070 | ) | 15.00 | ||||
Outstanding unvested as of December 31, 2018 | 968,720 | $ | 15.68 |
Number of Shares | Weighted- Average Grant Date Fair Value | ||||||
Outstanding unvested as of January 1, 2018 | — | $ | — | ||||
Granted | 48,983 | 13.94 | |||||
Vested | (21,413 | ) | 15.29 | ||||
Outstanding unvested as of December 31, 2018 | 27,570 | $ | 12.88 |
For the Year Ended December 31, 2018 | ||
Dividend yield | 1.70% - 2.27% | |
Expected volatility | 45 | % |
Risk-free interest rate | 2.84% - 2.98% | |
Expected term in years | 6.5 years |
2018 | 2017 | 2016 | |||||||||
(Dollars in thousands) | |||||||||||
Net sales: | |||||||||||
U.S. | $ | 429,599 | $ | 103,890 | $ | 74,526 | |||||
Americas | 367,561 | 129,103 | 116,944 | ||||||||
Asia Pacific | 131,578 | 46,329 | 41,302 | ||||||||
Europe, Middle East, Africa | 967,172 | 271,449 | 205,191 | ||||||||
Total | $ | 1,895,910 | $ | 550,771 | $ | 437,963 |
At December 31, | |||||||
2018 | 2017 | ||||||
(Dollars in thousands) | |||||||
Long-lived assets (a): | |||||||
U.S. | $ | 169,301 | $ | 177,298 | |||
Mexico | 146,790 | 147,959 | |||||
Brazil | 3,320 | 3,547 | |||||
France | 91,022 | 80,035 | |||||
Spain | 103,121 | 103,819 | |||||
Other countries | 151 | 183 | |||||
Total | $ | 513,705 | $ | 512,841 |
(a) | Long-lived assets represent fixed assets, net of accumulated depreciation. |
Options Outstanding | Options Exercisable | |||||||||||||||
Range of Exercise Prices | Number Outstanding | Weighted Average Remaining Contractual Life in Years | Weighted Average Exercise Prices | Number Exercisable | Weighted Average Exercise Prices | |||||||||||
$15.00 | - | $20.00 | 968,720 | 9.3 | $15.68 | — | $ | — |
(15) | Stockholders' Equity |
As of December 31, 2018 | As of December 31, 2017 | ||||||
(Dollars in thousands) | |||||||
Foreign currency translation adjustments, net of tax | $ | (2,922 | ) | $ | 15,468 | ||
Commodities and foreign currency derivatives, net of tax | (2,878 | ) | 4,821 | ||||
Total accumulated comprehensive (loss) income | $ | (5,800 | ) | $ | 20,289 |
(Dollars in thousands) | |||
Balance as of December 31, 2015 | $ | 165,539 | |
Charged to income | 78,469 | ||
Translation adjustment | 583 | ||
Changes attributable to movement in underlying assets | 250 | ||
Balance as of December 31, 2016 | $ | 244,841 | |
Credited to income | (87,194 | ) | |
Translation adjustment | 207 | ||
Changes attributable to movement in underlying assets | (7,015 | ) | |
Balance as of December 31, 2017 | $ | 150,839 | |
Credited to income | (93,125 | ) | |
Translation adjustment | (302 | ) | |
Changes attributable to movement in underlying assets | 1,034 | ||
Balance as of December 31, 2018 | $ | 58,446 |
As of December 31, 2018 | As of December 31, 2017 | ||||||
(Dollars in thousands) | |||||||
Inventories: | |||||||
Raw materials and supplies | $ | 99,935 | $ | 39,434 | |||
Work in process | 125,767 | 85,852 | |||||
Finished goods | 68,015 | 48,865 | |||||
$ | 293,717 | $ | 174,151 | ||||
Prepaid expenses and other current assets: | |||||||
Prepaid expenses | $ | 10,720 | $ | 9,505 | |||
Value added tax and other indirect taxes receivable | 19,242 | 18,627 | |||||
Spare parts inventory | 11,507 | 11,010 | |||||
Other current assets | 4,699 | 5,730 | |||||
$ | 46,168 | $ | 44,872 | ||||
Property, plant and equipment: | |||||||
Land and improvements | $ | 45,947 | $ | 46,599 | |||
Buildings | 68,680 | 59,608 | |||||
Machinery and equipment and other | 532,084 | 495,069 | |||||
Construction in progress | 42,131 | 41,375 | |||||
$ | 688,842 | $ | 642,651 | ||||
Other accrued liabilities: | |||||||
Payrolls (including incentive programs) | $ | 17,284 | $ | 14,196 | |||
Employee benefits | 6,977 | 4,684 | |||||
Deferred Revenue | 5,380 | 20,784 | |||||
Other | 20,811 | 13,562 | |||||
$ | 50,452 | $ | 53,226 | ||||
Other long term obligations: | |||||||
Postretirement benefits | $ | 16,192 | $ | 20,508 | |||
Pension and related benefits | 33,718 | 36,116 | |||||
Other | 22,609 | 12,283 | |||||
$ | 72,519 | $ | 68,907 |
2018 | 2017 | 2016 | |||||||||
Balance at beginning of year | $ | 1,097 | $ | 326 | $ | 244 | |||||
Additions | 122 | 771 | 129 | ||||||||
Deductions | (90 | ) | — | (47 | ) | ||||||
Balance at end of year | $ | 1,129 | $ | 1,097 | $ | 326 |