CARLISLE COMPANIES INC, 10-K filed on 2/19/2014
Annual Report
Document and Entity Information (USD $)
In Billions, except Share data, unless otherwise specified
12 Months Ended
Dec. 31, 2013
Feb. 14, 2014
Jun. 30, 2013
Document and Entity Information
 
 
 
Entity Registrant Name
CARLISLE COMPANIES INC 
 
 
Entity Central Index Key
0000790051 
 
 
Document Type
10-K 
 
 
Document Period End Date
Dec. 31, 2013 
 
 
Amendment Flag
false 
 
 
Current Fiscal Year End Date
--12-31 
 
 
Entity Well-known Seasoned Issuer
Yes 
 
 
Entity Voluntary Filers
No 
 
 
Entity Current Reporting Status
Yes 
 
 
Entity Filer Category
Large Accelerated Filer 
 
 
Entity Public Float
 
 
$ 3.7 
Entity Common Stock, Shares Outstanding
 
63,852,641 
 
Document Fiscal Year Focus
2013 
 
 
Document Fiscal Period Focus
FY 
 
 
Consolidated Statements of Earnings and Comprehensive Income (USD $)
In Millions, except Per Share data, unless otherwise specified
12 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2011
Consolidated Statements of Earnings and Comprehensive Income
 
 
 
Net sales
$ 2,943.0 
$ 2,851.2 
$ 2,492.4 
Cost and expenses:
 
 
 
Cost of goods sold
2,197.4 
2,084.2 
1,908.3 
Selling and administrative expenses
353.7 
356.6 
298.8 
Research and development expenses
29.3 
26.1 
21.7 
Other (income) expense, net
(4.2)
12.4 
(2.4)
Earnings before interest and income taxes
366.8 
371.9 
266.0 
Interest expense, net
33.8 
25.5 
21.0 
Earnings before income taxes from continuing operations
333.0 
346.4 
245.0 
Income tax expense (Note 7)
97.8 
117.7 
73.0 
Income from continuing operations
235.2 
228.7 
172.0 
Discontinued operations (Note 4)
 
 
 
Income (loss) from discontinued operations
(60.5)
55.2 
6.5 
Income tax (benefit) expense
(35.0)
13.7 
(1.8)
Income (loss) from discontinued operations
(25.5)
41.5 
8.3 
Net income
209.7 
270.2 
180.3 
Basic earnings (loss) per share attributable to common shares
 
 
 
Income from continuing operations (in dollars per share)
$ 3.69 1
$ 3.64 1
$ 2.77 1
Income (loss) from discontinued operations (in dollars per share)
$ (0.40)1
$ 0.66 1
$ 0.14 1
Basic earnings per share (in dollars per share)
$ 3.29 1
$ 4.30 1
$ 2.91 1
Diluted earnings (loss) per share attributable to common shares
 
 
 
Income from continuing operations (in dollars per share)
$ 3.61 1
$ 3.57 1
$ 2.73 1
Income (loss) from discontinued operations (in dollars per share)
$ (0.39)1
$ 0.65 1
$ 0.13 1
Diluted earnings per share (in dollars per share)
$ 3.22 1
$ 4.22 1
$ 2.86 1
Comprehensive Income
 
 
 
Net income
209.7 
270.2 
180.3 
Other comprehensive income (loss)
 
 
 
Change in foreign currency translation, net of tax
(1.6)
3.2 
(12.2)
Change in accrued post-retirement benefit liability, net of tax
5.9 
6.6 
5.7 
Loss on hedging activities, net of tax
(0.3)
(0.3)
(0.4)
Other comprehensive income (loss)
4.0 
9.5 
(6.9)
Comprehensive income
$ 213.7 
$ 279.7 
$ 173.4 
Consolidated Balance Sheets (USD $)
In Millions, unless otherwise specified
Dec. 31, 2013
Dec. 31, 2012
Current assets:
 
 
Cash and cash equivalents
$ 754.5 
$ 112.5 
Receivables, less allowance of $3.3 in 2013 and $5.2 in 2012
399.6 
408.4 
Inventories (Note 10)
298.8 
325.0 
Deferred income taxes (Note 7)
35.7 
37.3 
Prepaid expenses and other current assets
46.4 
26.5 
Current assets held for sale (Note 4)
 
295.6 
Total current assets
1,535.0 
1,205.3 
Property, plant and equipment, net of accumulated depreciation of $468.0 in 2013 and $416.8 in 2012 (Note 11)
497.2 
465.2 
Other assets:
 
 
Goodwill, net (Note 12)
858.7 
858.8 
Customer relationship and other intangible assets, net (Note 12)
579.8 
614.8 
Other long-term assets
22.0 
35.7 
Non-current assets held for sale (Note 4)
0.3 
277.5 
Total other assets
1,460.8 
1,786.8 
TOTAL ASSETS
3,493.0 
3,457.3 
Current liabilities:
 
 
Accounts payable
187.0 
205.9 
Accrued expenses
172.0 
172.6 
Deferred revenue (Note 16)
17.4 
17.6 
Current liabilities associated with assets held for sale (Note 4)
 
74.5 
Total current liabilities
376.4 
470.6 
Long-term liabilities:
 
 
Long-term debt (Note 14)
751.0 
752.3 
Deferred revenue (Note 16)
143.6 
135.4 
Other long-term liabilities (Note 18)
235.9 
263.3 
Non-current liabilities associated with assets held for sale
 
47.6 
Total long-term liabilities
1,130.5 
1,198.6 
Shareholders' equity (Note 19):
 
 
Preferred stock, $1 par value per share. Authorized and unissued 5,000,000 shares
   
   
Common stock, $1 par value per share. Authorized 100,000,000 shares; 78,661,248 shares issued; 63,658,777 outstanding in 2013 and 63,127,299 outstanding in 2012
78.7 
78.7 
Additional paid-in capital
201.1 
171.4 
Deferred compensation equity (Note 6)
3.0 
0.6 
Cost of shares of treasury - 14,761,481 shares in 2013 and 15,249,714 shares in 2012
(209.5)
(215.4)
Accumulated other comprehensive loss (Note 20)
(31.5)
(35.5)
Retained earnings
1,944.3 
1,788.3 
Total shareholders' equity
1,986.1 
1,788.1 
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY
$ 3,493.0 
$ 3,457.3 
Consolidated Balance Sheets (Parenthetical) (USD $)
In Millions, except Share data, unless otherwise specified
Dec. 31, 2013
Dec. 31, 2012
Consolidated Balance Sheets
 
 
Receivables, allowance (in dollars)
$ 3.3 
$ 5.2 
Property, plant and equipment, accumulated depreciation (in dollars)
$ 468.0 
$ 416.8 
Preferred stock, par value (in dollars per share)
$ 1 
$ 1 
Preferred stock, Authorized shares
5,000,000 
5,000,000 
Preferred stock, unissued shares
5,000,000 
5,000,000 
Common stock, par value (in dollars per share)
$ 1 
$ 1 
Common stock, Authorized shares
100,000,000 
100,000,000 
Common stock, shares issued
78,661,248 
78,661,248 
Common stock, shares outstanding
63,658,777 
63,127,299 
Treasury, shares
14,761,481 
15,249,714 
Consolidated Statements of Cash Flows (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2011
Operating activities
 
 
 
Net income
$ 209.7 
$ 270.2 
$ 180.3 
Reconciliation of net income to cash flows from operating activities:
 
 
 
Depreciation
75.4 
74.6 
68.1 
Amortization
38.5 
30.3 
19.9 
Non-cash compensation, net of tax benefit
11.9 
8.5 
12.5 
Non-cash pension settlement
 
5.6 
 
Gain on sale of businesses
(6.2)
(3.7)
 
(Gain) loss on sale of property and equipment, net
(1.3)
2.1 
1.8 
Impairment of assets
100.3 
6.4 
 
Deferred taxes
(61.7)
(13.8)
1.8 
Foreign exchange (gain) loss
0.1 
0.1 
(2.1)
Changes in assets and liabilities, excluding effects of acquisitions and divestitures:
 
 
 
Receivables
8.4 
21.0 
(71.4)
Inventories
35.6 
26.5 
(75.8)
Prepaid expenses and other assets
11.1 
48.8 
7.3 
Accounts payable
(20.6)
(15.7)
50.9 
Accrued expenses and deferred revenues
12.6 
14.9 
(11.0)
Long-term liabilities
0.9 
9.9 
8.9 
Other operating activities
 
0.2 
 
Net cash provided by operating activities
414.7 
485.9 
191.2 
Investing activities
 
 
 
Capital expenditures
(110.8)
(140.4)
(79.6)
Acquisitions, net of cash
 
(314.3)
(392.9)
Proceeds from sale of property and equipment
11.9 
 
3.5 
Proceeds from sale of businesses, net of cash
369.0 
25.8 
5.3 
Proceeds from hedging activities
 
0.4 
 
Other investing activities
 
 
0.2 
Net cash provided by (used in) investing activities
270.1 
(428.5)
(463.5)
Financing activities
 
 
 
Net change in short-term borrowings and revolving credit lines
 
(357.4)
346.9 
Proceeds from long-term debt
 
348.9 
 
Reductions of long-term debt
(1.5)
 
 
Debt issuance costs
(0.6)
(2.9)
(1.8)
Redemption of Hawk bonds
 
 
(59.0)
Acquisition date value of contingent consideration settled
(5.2)
 
 
Dividends
(53.7)
(48.0)
(43.5)
Stock options and treasury shares, net
19.5 
38.8 
13.8 
Net cash provided by (used in) financing activities
(41.5)
(20.6)
256.4 
Effect of exchange rate changes on cash
(1.3)
1.0 
1.2 
Change in cash and cash equivalents
642.0 
37.8 
(14.7)
Cash and cash equivalents
 
 
 
Beginning of period
112.5 
74.7 
89.4 
End of period
$ 754.5 
$ 112.5 
$ 74.7 
Consolidated Statement of Shareholders' Equity (USD $)
In Millions, except Share data, unless otherwise specified
Total
Common Stock
Additional Paid-In Capital
Deferred Compensation Equity
Accumulated Other Comprehensive Income
Retained Earnings
Shares in Treasury
Balance at Dec. 31, 2010
$ 1,340.7 
$ 78.7 
$ 92.4 
 
$ (38.1)
$ 1,429.3 
$ (221.6)
Balance (in shares) at Dec. 31, 2010
 
61,024,932 
 
 
 
 
17,011,676 
Increase (Decrease) in Shareholders' Equity
 
 
 
 
 
 
 
Net income
180.3 
 
 
 
 
180.3 
 
Other comprehensive income, net of tax
(6.9)
 
 
 
(6.9)
 
 
Cash dividends - $0.84, $0.76 and $0.70 per share for the year ended 2013, 2012 and 2011 respectively
(43.5)
 
 
 
 
(43.5)
 
Stock based compensation other1
29.5 
 
27.8 
 
 
 
1.7 
Stock based compensation other (in shares)1
 
639,881 
 
 
 
 
(543,916)
Balance at Dec. 31, 2011
1,500.1 
78.7 
120.2 
 
(45.0)
1,566.1 
(219.9)
Balance (in shares) at Dec. 31, 2011
 
61,664,813 
 
 
 
 
16,467,760 
Increase (Decrease) in Shareholders' Equity
 
 
 
 
 
 
 
Net income
270.2 
 
 
 
 
270.2 
 
Other comprehensive income, net of tax
9.5 
 
 
 
9.5 
 
 
Cash dividends - $0.84, $0.76 and $0.70 per share for the year ended 2013, 2012 and 2011 respectively
(48.0)
 
 
 
 
(48.0)
 
Stock based compensation other1
56.3 
 
51.2 
0.6 
 
 
4.5 
Stock based compensation other (in shares)1
 
1,462,486 
 
 
 
 
(1,218,046)
Balance at Dec. 31, 2012
1,788.1 
78.7 
171.4 
0.6 
(35.5)
1,788.3 
(215.4)
Balance (in shares) at Dec. 31, 2012
63,127,299 
63,127,299 
 
 
 
 
15,249,714 
Increase (Decrease) in Shareholders' Equity
 
 
 
 
 
 
 
Net income
209.7 
 
 
 
 
209.7 
 
Other comprehensive income, net of tax
4.0 
 
 
 
4.0 
 
 
Cash dividends - $0.84, $0.76 and $0.70 per share for the year ended 2013, 2012 and 2011 respectively
(53.7)
 
 
 
 
(53.7)
 
Stock based compensation other1
38.0 
 
29.7 
2.4 
 
 
5.9 
Stock based compensation other (in shares)1
 
531,478 
 
 
 
 
(488,233)
Balance at Dec. 31, 2013
$ 1,986.1 
$ 78.7 
$ 201.1 
$ 3.0 
$ (31.5)
$ 1,944.3 
$ (209.5)
Balance (in shares) at Dec. 31, 2013
63,658,777 
63,658,777 
 
 
 
 
14,761,481 
Consolidated Statement of Shareholders' Equity (Parenthetical)
3 Months Ended 12 Months Ended
Dec. 31, 2013
Sep. 30, 2013
Jun. 30, 2013
Mar. 31, 2013
Dec. 31, 2012
Sep. 30, 2012
Jun. 30, 2012
Mar. 31, 2012
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2011
Consolidated Statement of Shareholders' Equity
 
 
 
 
 
 
 
 
 
 
 
Cash dividends (in dollars per share)
$ 0.22 
$ 0.22 
$ 0.20 
$ 0.20 
$ 0.20 
$ 0.20 
$ 0.18 
$ 0.18 
$ 0.84 
$ 0.76 
$ 0.70 
Summary of Accounting Policies
Summary of Accounting Policies

Note 1—Summary of Accounting Policies

Nature of Business

        Carlisle Companies Incorporated, its wholly owned subsidiaries and their divisions or subsidiaries, referred to herein as the "Company" or "Carlisle," is a global diversified company that designs, manufactures, and markets a wide range of products that serve a broad range of niche markets including commercial roofing, energy, agriculture, mining and construction equipment, aerospace and electronics, dining and food delivery, and healthcare. The Company markets its products as a component supplier to original equipment manufacturers, distributors, as well as directly to end-users.

Basis of Consolidation

        The consolidated financial statements include the accounts of the Company and its subsidiaries. All material intercompany transactions and accounts have been eliminated. The Company's fiscal year-end is December 31.

        The Company has reclassified certain prior period amounts in the consolidated financial statements to be consistent with current period presentation. See Note 4 regarding the divestiture of the Transportation Products business.

Use of Estimates

        The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America ("United States" or "U.S.") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Cash Equivalents

        Debt securities with a maturity of three months or less when acquired are considered cash equivalents.

Revenue Recognition

        Revenues are recognized when persuasive evidence of an arrangement exists, goods have been shipped (or services have been rendered), the customer takes ownership and assumes risk of loss, collection is probable, and the sales price is fixed or determinable.

        Provisions for rights of return, discounts, and rebates to customers and other adjustments are provided for at the time of sale as a deduction to revenue. Costs related to standard warranties are estimated at the time of sale and recorded as a component of Cost of goods sold.

Shipping and Handling Costs

        Costs incurred to physically transfer product to customer locations are recorded as a component of cost of goods sold. Charges passed on to customers are recorded into revenue.

Receivables and Allowance for Doubtful Accounts

        Receivables are stated at net realizable value. The Company performs ongoing evaluations of its customers' current creditworthiness, as determined by the review of their credit information to determine if events have occurred subsequent to the recognition of the revenue and related receivable that provides evidence that such receivable will be realized at an amount less than that recognized at the time of sale. Estimates of net realizable value are based on historical losses, adjusting for current economic conditions and, in some cases, evaluating specific customer accounts for risk of loss. The allowance for doubtful accounts was $3.3 million at December 31, 2013 and $5.2 million at December 31, 2012. Changes in economic conditions in specific markets in which the Company operates could have an effect on reserve balances required and on the ability to recognize revenue until cash is collected or collectability is probable. The following is activity in the Company's allowance for doubtful accounts for the years ended December 31:

in millions
  2013   2012   2011  

Balance at January 1

  $ 5.2   $ 5.2   $ 4.6  

Provision charged to expense

    0.1     1.0     0.9  

Provision charged to other accounts

    (1.4 )       0.3  

Amounts written off, net of recoveries

    (0.6 )   (1.0 )   (0.6 )
               

Balance at December 31

  $ 3.3   $ 5.2   $ 5.2  
               

Inventories

        Inventories are valued at the lower of cost or market with cost determined primarily on an average cost basis. Cost of inventories includes direct as well as certain indirect costs associated with the acquisition and production process. These costs include raw materials, direct and indirect labor, and manufacturing overhead. Manufacturing overhead includes materials, depreciation and amortization related to property, plant and equipment and other intangible assets used directly and indirectly in the acquisition and production of inventory, and costs related to the Company's distribution network such as inbound freight charges, purchasing and receiving costs, inspection costs, warehousing costs, internal transfer costs, and other such costs associated with preparing the Company's products for sale.

Deferred Revenue and Extended Product Warranty

        The Company offers extended warranty contracts on sales of certain products; the most significant being those offered on its installed roofing systems within the Construction Materials segment. The lives of these warranties range from five to thirty years. All revenue for the sale of these contracts is deferred and amortized on a straight-line basis over the life of the contracts. Current costs of services performed under these contracts are expensed as incurred. The Company also records reserve within Accrued expenses if the total expected costs of providing services at a product line level exceed unearned revenues. Total expected costs of providing extended product warranty services are actuarially determined using standard quantitative measures based on historical claims experience and management judgment. See Note 16.

Property, Plant and Equipment

        Property, plant and equipment are stated at cost. Costs allocated to property, plant and equipment of acquired companies are based on estimated fair value at the date of acquisition. Depreciation is principally computed on the straight-line basis over the estimated useful lives of the assets. Depreciation includes the amortization of capital leases. Asset lives are 20 to 40 years for buildings, 5 to 15 years for machinery and equipment, and 3 to 10 years for leasehold improvements.

Valuation of Long-Lived Assets

        Long-lived assets or asset groups, including amortizable intangible assets, are tested for impairment whenever events or circumstances indicate that the carrying amount of the asset or asset group may not be recoverable. For purposes of testing for impairment, the Company groups its long-lived assets classified as held and used at the lowest level for which identifiable cash flows are largely independent of the cash flows from other assets and liabilities. The Company's asset groupings vary based on the related business in which the long-lived asset is employed and the interrelationship between those long-lived assets in producing net cash flows; for example, multiple manufacturing facilities may work in concert with one another or may work on a stand-alone basis to produce net cash flows. The Company utilizes its long-lived assets in multiple industries and economic environments and its asset groupings reflect these various factors. The following are examples of events or changes in circumstances that the Company considers:

  • Significant decrease in the market price of a long-lived asset (asset group)

    Significant change in the extent or manner in which a long-lived asset (asset group) is being used or in its physical condition

    Significant adverse change in the legal factors or business climate that could affect the value of a long-lived asset (asset group), including an adverse assessment by a regulator

    Accumulation of costs significantly in excess of the amount originally expected for the acquisition or construction of a long-lived asset (asset group)

    Current-period operating or cash flow loss combined with a history of operating or cash flow losses, or a projection or forecast that demonstrates continuing losses associated with the use of a long-lived asset (asset group)

    Current expectation that, more likely than not, a long-lived asset (asset group) will be sold or otherwise disposed of significantly before the end of its previously estimated useful life

        The Company monitors the operating and cash flow results of its long-lived assets or asset groups classified as held and used to identify whether events and circumstances indicate the remaining useful lives of those assets should be adjusted, or if the carrying value of those assets or asset groups may not be recoverable. In the event indicators of impairment are identified, undiscounted estimated future cash flows are compared to the carrying value of the long-lived asset or asset group. If the undiscounted estimated future cash flows are less than the carrying amount, the Company determines the fair value of the asset or asset group and records an impairment charge in current earnings to the extent carrying value exceeds fair value. Fair values may be determined based on estimated discounted cash flows, by prices for like or similar assets in similar markets, or a combination of both. There are currently no long-lived assets or asset groups classified as held and used for which the related undiscounted cash flows do not substantially exceed their carrying amounts.

        Long-lived assets or asset groups that are part of a disposal group that meets the criteria to be classified as held for sale are not assessed for impairment but rather if fair value, less cost to sell, of the disposal group is less than its carrying value a loss is recorded against the disposal group.

Lease Arrangements

        The Company is a party to various lease arrangements that include scheduled rent increases, rent holidays, or may provide for contingent rentals or incentive payments to be made to the Company as part of the terms of the lease. Scheduled rent increases and rent holidays are included in the determination of minimum lease payments when assessing lease classification and, along with any lease incentives, are included in rent expense on a straight-line basis over the lease term. Scheduled rent increases that are dependent upon a change in an index or rate such as the consumer price index or prime rate are included in the determination of rental expense at the time the rate or index changes. Contingent rentals are excluded from the determination of minimum lease payments when assessing lease classification and are included in the determination of rent expense when the event that will require additional rents is considered probable. See Note 13 for further information regarding rent expense.

Contingencies and Insurance Recoveries

        The Company is exposed to losses related to various potential claims from third-parties related to its employee obligations and other matters in the normal course of business, including litigation. The Company records a liability related to such potential claims, both those reported to the Company and incurred but not yet reported, when probable and reasonably estimable and with respect to workers' compensation obligations utilizes actuarial models to estimate the ultimate total cost of such claims, primarily based on historical loss experience and expectations about future costs of providing workers compensation benefits.

        As part of its risk management strategy, the Company maintains occurrence-based insurance contracts related to certain contingent losses primarily workers' compensation, medical and dental, general liability, property, and product liability claims up to applicable retention limits. The Company records a recovery under these insurance contracts when such recovery is deemed probable. See Note 13.

Goodwill and Other Intangible Assets

        Intangible assets are recognized and recorded at their acquisition-date fair values. Intangible assets that are subject to amortization are amortized on a straight-line basis over their useful lives. Definite-lived intangible assets consist primarily of acquired customer relationships and patents, in addition to non-compete agreements and intellectual property. The Company determines the useful life of its customer relationship intangible assets based on multiple factors including the size and make-up of the acquired customer base, the expected dissipation of those customers over time, the Company's own experience in the particular industry, the impact of known trends such as technological obsolescence, product demand, or other factors, and the period over which expected cash flows are used to measure the fair value of the intangible asset at acquisition. The Company periodically re-assesses the useful lives of its customer relationship intangible assets when events or circumstances indicate that useful lives have significantly changed from the previous estimate.

        Intangible assets with indefinite useful lives are not amortized but are tested annually, or more often if impairment indicators are present, for impairment via a one-step process by comparing the fair value of the intangible asset with its carrying value. If the intangible asset's carrying value exceeds its fair value, an impairment charge is recorded in current earnings for the difference. The Company estimates the fair value of its indefinite-lived intangible assets based on the income approach utilizing the discounted cash flow method. The Company's annual testing date for indefinite-lived intangible assets is October 1. The Company periodically re-assesses indefinite-lived intangible assets as to whether their useful lives can be determined and if so, begins amortizing any applicable intangible asset.

        Goodwill is not amortized but is tested annually, or more often if impairment indicators are present, for impairment at a reporting unit level. The Company's annual testing date for goodwill is October 1. The Company has determined that its operating segments are its reporting units.

        First, goodwill is tested for impairment by comparing the fair value of the reporting unit with the reporting unit's carrying amount to identify any potential impairment. If fair value is determined to be less than carrying value, a second step is used whereby the implied fair value of the reporting unit's goodwill, determined through a hypothetical purchase price allocation, is compared with the carrying amount of the reporting units' goodwill. If the implied fair value of the reporting units' goodwill is less than its carrying amount, an impairment charge is recorded in current earnings for the difference. The Company also assesses the recoverability of goodwill if facts and circumstances indicate goodwill may be impaired.

        See Note 12 for more information regarding goodwill and other intangible assets.

Pension and Other Post Retirement Benefits

        The Company maintains defined benefit pension plans for certain employees. Additionally, the Company has a limited number of post-retirement benefit programs that provide certain retirees with medical and prescription drug coverage. The annual net periodic expense and benefit obligations related to these plans are determined on an actuarial basis annually on December 31, unless a remeasurement event occurs in an interim period. This determination requires assumptions to be made concerning general economic conditions (particularly interest rates), expected return on plan assets, increases to compensation levels, and health care cost trends. These assumptions are reviewed periodically by management in consultation with its independent actuary. Changes in the assumptions to reflect actual experience can result in a change in the net periodic expense and accrued benefit obligations. The defined benefit pension plans' assets are measured at fair value annually on December 31, unless a remeasurement event occurs in an interim period. Such assets consist primarily of equity and fixed income mutual funds that are primarily considered Level 1 assets under the fair value hierarchy, as their fair value is derived from market observable data. The Company uses the market related valuation method to determine the value of plan assets for purposes of determining the expected return on plan assets component of net periodic benefit cost. The market related valuation method recognizes the change of the fair value of the plan assets over five years. If actual experience differs from these long-term assumptions, the difference is recorded as an unrecognized actuarial gain (loss) and then amortized into earnings over a period of time based on the average future service period, which may cause the expense related to providing these benefits to increase or decrease. See Note 15 for additional information regarding these plans and the associated plan assets.

Derivative Financial Instruments

        The Company records derivative financial instruments at fair value on the balance sheet, with changes in fair value recorded currently in earnings unless the Company elects to and qualifies to account for the derivative as either a fair value hedge or a cash flow hedge, depending upon the type of risk being hedged. If the Company elects to designate a derivative as a fair value hedge and it is highly effective, the changes in the fair value of the derivative and of the hedged item attributable to the hedged risk are recognized in earnings. If a fair value hedge is terminated before maturity, the adjusted carrying amount of the hedged asset or liability remains as a component of the carrying amount of that asset or liability until it is disposed. If the hedged item is an interest-bearing financial instrument, the adjusted carrying amount is amortized into earnings over the remaining life of the instrument. If the Company elects to designate the derivative as a cash flow hedge and it is highly effective, the effective portions of changes in the fair value of the derivative are recorded in other comprehensive income and are recognized in the income statement when the hedged item affects earnings. Ineffective portions of changes in the fair value of cash flow hedges are recognized currently in earnings.

        The Company is subject to market risk from exposures to changes in interest rates due to its financing, investing, and cash management activities. The Company uses treasury lock contracts, interest rate swap agreements, or other derivative instruments from time to time to manage the interest rate risk of its floating and fixed rate debt portfolio. The Company, on a periodic basis, assesses the initial and ongoing effectiveness of its hedging relationships. As of December 31, 2013, the Company had not entered into any derivative financial instruments to hedge interest rate risk.

        Foreign exchange forward contracts at December 31, 2013 relate to contracts held for purposes of mitigating the Company's exposure to fluctuations in foreign exchange rates, resulting from assets or liabilities that are held by certain of its operating subsidiaries in currencies other than the subsidiary's functional currency. The Company had foreign exchange forward contracts with an aggregate notional amount of $2.1 million outstanding as of December 31, 2013, with scheduled maturities of $2.1 million during 2014. The fair value of open contracts was $0.2 million as of December 31, 2013. Approximately 23% of the Company's revenues from continuing operations for the year ended December 31, 2013 are from countries other than the U.S.

Selling and Administrative Expenses

        Selling and administrative expenses includes wages and benefits related to the Company's sales force, its administrative functions such as corporate management and other indirect costs not allocated to inventories, including a portion of depreciation and amortization.

Income Taxes

        Income taxes are recorded in accordance with ASC 740, Income Taxes, which includes an estimate of taxes payable or refundable for the current year and deferred tax liabilities and assets for the future tax consequences of events that have been recognized in the Company's financial statements or tax returns. Deferred tax assets and liabilities reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes.

        The amount of income tax that the Company pays annually is dependent on various factors, including the timing of certain deductions and ongoing audits by federal, state and foreign tax authorities, which may result in proposed adjustments.

Stock-Based Compensation

        The Company accounts for stock-based compensation under the fair-value method. Accordingly, equity classified stock-based compensation cost is measured at the grant date, based on the fair value of the award, and is recognized as expense over the requisite service period, which generally matches the stated vesting period of the award, but may also be shorter if the employee is retirement-eligible and under the award's terms may fully-vest upon retirement from the Company. The Company recognizes expense for awards that have graded vesting features under the graded vesting method, which considers each separately vesting tranche as though they were, in substance, multiple awards.

Foreign Currency Translation

        The functional currency of the Company's subsidiaries outside the United States is the currency of the primary economic environment in which the subsidiary operates. Assets and liabilities of these operations are translated at the exchange rate in effect at each balance sheet date. Income statement accounts are translated at the average rate of exchange prevailing during the year. Translation adjustments arising from the use of differing exchange rates from period to period are included as a component of shareholders' equity in Accumulated other comprehensive income. Gains and losses from foreign currency transactions and from the remeasurement of monetary assets and liabilities and associated income statement activity of foreign subsidiaries where the functional currency is the U.S. Dollar and the books are maintained in the local currency are included in Other expense (income), net.

New Accounting Standards Adopted

        In February 2013, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2013-02, Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. ASU 2013-02 requires that companies present either in a single note or parenthetically on the face of the financial statements, the effect of significant amounts reclassified from each component of accumulated other comprehensive income based on its source (e.g., the release due to cash flow hedges from interest rate contracts) and the income statement line items affected by the reclassification (e.g., interest income or interest expense). If a component is not required to be reclassified to net income in its entirety (e.g., the net periodic pension cost), companies would instead cross reference to the related footnote for additional information (e.g., the pension footnote). ASU 2013-02 is effective for fiscal and interim reporting periods beginning after December 15, 2012. The adoption of this ASU had no material effect on the Company's consolidated results of operations, net assets, or cash flows.

        In July 2012, FASB issued ASU 2012-02, Testing Indefinite-Lived Intangible Assets for Impairment. ASU 2012-02 amends the guidance on testing indefinite-lived intangible assets, other than goodwill, for impairment. Under the revised guidance, entities have the option of first performing a qualitative assessment to determine whether there are any events or circumstances indicating that it is more likely than not that an indefinite-lived intangible asset is impaired. ASU 2012-02 is effective for fiscal and interim impairment tests performed in fiscal years beginning after September 15, 2012. The adoption of this ASU had no material effect on the Company's consolidated results of operations, net assets, or cash flows.

        In September 2011, the Financial Accounting Standards Board ("FASB") issued ASU 2011-08, Guidance on Testing Goodwill for Impairment. ASU 2011-08 gives entities testing goodwill for impairment the option of performing a qualitative assessment before calculating the fair value of a reporting unit in Step 1 of the goodwill impairment test. If entities determine, on the basis of qualitative factors, that the fair value of a reporting unit is more likely than not less than the carrying amount, the two-step impairment test would be required. Otherwise, further testing would not be needed. ASU 2011-08 is effective for fiscal and interim reporting periods within those years beginning after December 15, 2011. The adoption of this ASU had no material effect on the Company's consolidated results of operations, net assets, or cash flows.

        In June 2011, FASB issued ASU 2011-05, Presentation of Comprehensive Income. ASU 2011-05 revises the manner in which entities present comprehensive income in their financial statements. The new guidance removes the presentation options in Accounting Standards Codification ("ASC") 220, Comprehensive Income, and requires entities to report components of comprehensive income in either (1) a continuous statement of comprehensive income or (2) two separate but consecutive statements. The ASU does not change the items that must be reported in other comprehensive income. In December 2011, the FASB issued ASU 2011-12 which defers the requirement in ASU 2011-05 that companies present reclassification adjustments for each component of accumulated other comprehensive income in both net income and other comprehensive income on the face of the financial statements. ASU 2011-05 is effective for fiscal years and interim reporting periods within those years beginning after December 15, 2011, with early adoption permitted. The Company has elected to adopt ASU 2011-05, as amended by ASU 2011-12, beginning with the quarter ended December 31, 2011. The adoption of this ASU had no material effect on the Company's consolidated results of operations, net assets, or cash flows.

        In May 2011, FASB issued ASU 2011-04, Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRS. ASU 2011-04 provides guidance to develop a single, converged fair value framework; amend the requirements of fair value measurement; and enhance related disclosure requirements, particularly for recurring Level 3 fair value measurements. This guidance clarifies the concepts of (i) the highest and best use and valuation premise for nonfinancial assets, (ii) application to financial assets and financial liabilities with offsetting positions in market risks or counterparty credit risk, (iii) premiums or discounts in fair value measurements, and (iv) fair value measurement of an instrument classified in a reporting entity's shareholders' equity. ASU 2011-04 is effective for fiscal and interim reporting periods beginning after December 15, 2011. The adoption of this ASU had no material effect on the Company's consolidated financial statements. On February 5, 2013, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2013-02, Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. ASU 2013-02 requires that companies present either in a single note or parenthetically on the face of the financial statements, the effect of significant amounts reclassified from each component of accumulated other comprehensive income based on its source (e.g., the release due to cash flow hedges from interest rate contracts) and the income statement line items affected by the reclassification (e.g., interest income or interest expense). If a component is not required to be reclassified to net income in its entirety (e.g., the net periodic pension cost), companies would instead cross reference to the related footnote for additional information (e.g., the pension footnote). ASU 2013-02 is effective for fiscal and interim reporting periods beginning after December 15, 2012. The adoption of this ASU had no material effect on the Company's consolidated results of operations, net assets, or cash flows.

New Accounting Standards Not Yet Effective

        There are currently no new accounting standards that have been issued that will have a significant impact on the Company's financial position, results of operations, and cash flows upon adoption.

Segment Information
Segment Information

Note 2—Segment Information

        The Company's operations are reported in the following segments:

        Carlisle Construction Materials ("CCM" or the "Construction Materials segment")—the principal products of this segment are rubber (EPDM), thermoplastic polyolefin (TPO), and polyvinyl chloride (PVC) roofing membranes used predominantly on non-residential low-sloped roofs, related roofing accessories, including flashings, fasteners, sealing tapes, coatings and waterproofing, and insulation products. The markets served include new construction, re-roofing and maintenance of low-sloped roofs, water containment, HVAC sealants, and coatings and waterproofing.

        Carlisle Interconnect Technologies ("CIT" or the "Interconnect Technologies segment") —the principal products of this segment are high-performance wire, cable, connectors, contacts, and cable assemblies primarily for the aerospace, defense electronics, industrial, medical, and test and measurement equipment markets.

        Carlisle Brake & Friction ("CBF" or the "Brake & Friction segment")—the principal products of this segment include high-performance brakes and friction material, and clutch and transmission friction material for the mining, construction, aerospace, agriculture, motor sports, and alternative energy markets.

        Carlisle FoodService Products ("CFSP" or the "FoodService Products segment")—the principal products of this segment include commercial and institutional foodservice permanentware, table coverings, cookware, catering equipment, fiberglass and composite material trays and dishes, industrial brooms, brushes, mops, and rotary brushes for commercial and non-commercial foodservice operators and sanitary maintenance professionals.

        Corporate—includes other unallocated costs, primarily general corporate expenses. Corporate assets consist primarily of cash and cash equivalents, facilities, deferred taxes, and other invested assets. Corporate assets also include assets of ceased operations not classified as held for sale.

        On October 21, 2013, the Company entered into a definitive agreement to sell the Transportation Products business for total cash consideration of $375 million, subject to working capital and other customary adjustments. On December 31, 2013, the Company completed the divestiture of the Transportation Products business. All prior period results of operations have been retrospectively adjusted to reflect the Transportation Products business as discontinued operations. See Note 4 for further information related to the sale of the Transportation Products business.

        Geographic Area Information—sales from continuing operations are attributable to the United States and to all foreign countries based on the country to which the product was delivered. Sales by region for the years ended December 31 are as follows (in millions):

Country
  2013   2012   2011  

United States

  $ 2,260.8   $ 2,206.0   $ 1,997.6  

International:

                   

Europe

    330.4     315.9     233.5  

Asia

    126.3     117.3     104.4  

Canada

    90.1     82.6     76.6  

Mexico and Latin America

    69.7     65.8     26.5  

Middle East and Africa

    47.4     46.6     43.4  

Other

    18.3     17.0     10.4  
               

Net sales

  $ 2,943.0   $ 2,851.2   $ 2,492.4  
               

        Long-lived assets, comprised of net property, plant and equipment, goodwill and other intangible assets, investments and other long-term assets, located in the United States and foreign countries are as follows (in millions):

Country
  2013   2012   2011  

Long-lived asset held and used:

                   

United States

  $ 1,479.6   $ 1,735.1   $ 1,428.1  

Europe

    343.5     331.6     334.6  

Asia

    77.1     127.4     130.8  

United Kingdom

    55.7     55.5     27.4  

Canada

    1.1     1.2     1.4  

Mexico

    1.0     1.2     1.5  
               

Total long-lived asset

  $ 1,958.0   $ 2,252.0   $ 1,923.8  
               
               

        Financial information for operations by reportable business segment is included in the following summary:

In millions
  Sales(1)   EBIT   Assets(2)   Depreciation
and
Amortization
  Capital
Spending
 

2013

                               

Carlisle Construction Materials

  $ 1,776.5   $ 264.0   $ 886.9   $ 31.0   $ 64.5  

Carlisle Interconnect Technologies

    577.7     89.4     1,017.5     34.4     12.2  

Carlisle Brake & Friction

    350.0     33.5     603.7     21.3     10.4  

Carlisle FoodService Products

    238.8     27.0     193.2     7.7     10.8  

Corporate

        (47.1 )   791.4     1.7      
                       

Total

  $ 2,943.0   $ 366.8   $ 3,492.7   $ 96.1   $ 97.9  
                       
                       

2012

                               

Carlisle Construction Materials

  $ 1,695.8   $ 273.4   $ 860.4   $ 27.9   $ 81.5  

Carlisle Interconnect Technologies

    463.1     69.1     1,075.7     24.6     19.2  

Carlisle Brake & Friction

    449.0     75.6     625.7     20.2     19.8  

Carlisle FoodService Products

    243.3     12.3     190.1     9.1     4.9  

Corporate

        (58.5 )   132.3     1.7     1.6  
                       

Total

  $ 2,851.2   $ 371.9   $ 2,884.2   $ 83.5   $ 127.0  
                       
                       

2011

                               

Carlisle Construction Materials

    1,484.0     177.9     774.4   $ 23.7   $ 21.1  

Carlisle Interconnect Technologies

    299.6     41.9     782.1     12.9     14.8  

Carlisle Brake & Friction

    473.0     77.2     665.8     20.2     16.8  

Carlisle FoodService Products

    235.8     13.2     206.8     9.2     5.1  

Corporate

        (44.2 )   116.4     1.7     0.2  
                       

Total

  $ 2,492.4   $ 266.0   $ 2,545.5   $ 67.7   $ 58.0  
                       
                       

(1)
Excludes intersegment sales

(2)
Corporate assets include assets of discontinued operations not classified as held for sale

        A reconciliation of assets, depreciation, and amortization and capital spending reported above to the amounts presented on the Consolidated Statements of Cash Flows is as follows:

 
  2013   2012  

Assets per table above

  $ 3,492.7   $ 2,884.2  

Assets held for sale of discontinued operations (Note 4)

    0.3     573.1  
           

Total Assets per Consolidated Balance Sheets

  $ 3,493.0   $ 3,457.3  
           
           


 

 
  2013   2012   2011  

Depreciation and amortization per table above

  $ 96.1   $ 83.5   $ 67.7  

Depreciation and amortization of discontinued operations

    17.8     21.4     20.3  
               

Total depreciation and amortization

  $ 113.9   $ 104.9   $ 88.0  
               
               


 

 
  2013   2012   2011  

Capital spending per table above

  $ 97.9   $ 127.0   $ 58.0  

Capital spending of discontinued operations

    12.9     13.4     21.6  
               

Total capital spending

  $ 110.8   $ 140.4   $ 79.6  
               
               
Acquisitions
Acquisitions

Note 3—Acquisitions

  • 2012 Acquisitions

    Thermax and Raydex/CDT Limited

        On December 17, 2012, the Company acquired certain assets and assumed certain liabilities of Thermax ("Thermax"), an unincorporated North American division of Belden Inc., and acquired all of the outstanding shares of Raydex/CDT Limited ("Raydex" and together with Thermax, "Thermax/Raydex"), a company incorporated in England and Wales, for total cash consideration of approximately $265.5 million, net of $0.1 million cash acquired. The Company funded the acquisition with proceeds from its 3.75% senior unsecured notes due 2022 issued in November 2012. Thermax/Raydex designs, manufactures, and sells wire and cable products for the commercial and military aerospace markets and certain industrial markets. The acquisition of Thermax/Raydex adds capabilities and technology to strengthen the Company's interconnect products business by expanding its product and service range to its customers. Thermax/Raydex operates within the Interconnect Technologies segment.

        The following table summarizes the consideration transferred to acquire Thermax/Raydex and the allocation among the assets acquired and liabilities assumed. The acquisition has been accounted for using the acquisition method of accounting which requires that consideration be allocated to the acquired assets and assumed liabilities based upon their acquisition date fair values with the remainder allocated to goodwill.

 
   
  Measurement
Period
Adjustments
  Final
Allocation
 
 
  Preliminary
Allocation
 
 
  Twelve Months
Ended 12/17/2013
  As of
12/17/2013
 
(in millions)
  12/31/2012  

Total cash consideration transferred

  $ 265.6   $   $ 265.6  
               
               

Recognized amounts of identifiable assets acquired and liabilities assumed:

                   

Cash & cash equivalents

  $ 0.1   $   $ 0.1  

Receivables

    14.3         14.3  

Inventories

    15.4         15.4  

Prepaid expenses and other current assets

    0.9         0.9  

Property, plant and equipment

    7.2         7.2  

Definite-lived intangible assets

    135.1         135.1  

Indefinite-lived intangible assets

    9.1         9.1  

Accounts payable

    (12.0 )       (12.0 )

Accrued expenses

    (2.6 )       (2.6 )

Net deferred tax liabilities

    (2.8 )   1.8     (1.0 )
               

Total identifiable net assets

    164.7     1.8     166.5  
               

Goodwill

  $ 100.9   $ (1.8 ) $ 99.1  
               
               

        The goodwill recognized in the acquisition of Thermax/Raydex is attributable to the workforce of Thermax/Raydex, the consistent financial performance of this complementary supplier of high-reliability interconnect products to leading aerospace, avionics and electronics companies and the enhanced scale that Thermax/Raydex brings to the Company. Thermax/Raydex brings additional high-end cable products and qualified positions to serve the Company's existing commercial aerospace and industrial customers. Goodwill arising from the acquisition of Thermax is deductible for income tax purposes. All of the goodwill was assigned to the Interconnect Technologies reporting unit. Indefinite-lived intangible assets of $9.1 million represent acquired trade names. The $135.1 million value allocated to definite-lived intangible assets consists of $111.4 million of customer relationships with useful lives ranging from 17 to 18 years, $23.5 million of acquired technology with useful lives ranging from 9 to 11 years, and a $0.2 million non-compete agreement with a useful life of 5 years.

        The Company has also recorded deferred tax liabilities related to the property, plant and equipment and intangible assets as of the December 17, 2012 closing date.

  • Hertalan Holding B.V.

        On March 9, 2012, the Company acquired 100% of the equity of Hertalan Holding B.V. ("Hertalan") for a total cash purchase price of €37.3 million, or $48.9 million, net of €0.1 million, or $0.1 million, cash acquired. The Company funded the acquisition with borrowings under its $600 million senior unsecured revolving credit facility (the "Facility") and cash on hand. See Note 15 for further information regarding borrowings. The acquisition of Hertalan strengthens the Company's ability to efficiently serve European customers in the EPDM roofing market in Europe with local manufacturing and established distribution channels. Hertalan operates within the Construction Materials segment.

        The following table summarizes the consideration transferred to acquire Hertalan and the allocation among the assets acquired and liabilities assumed. The acquisition has been accounted for using the acquisition method of accounting which requires that consideration be allocated to the acquired assets and assumed liabilities based upon their acquisition date fair values with the remainder allocated to goodwill.

 
  Preliminary
Allocation
  Measurement
Period
Adjustments
  Final
Allocation
 
(in millions)
  As of
3/31/2012
  Twelve Months
Ended 3/9/2013
  As of
3/9/2013
 

Total cash consideration transferred

  $ 49.3   $ (0.3 ) $ 49.0  
               
               

Recognized amounts of identifiable assets acquired and liabilities assumed:

                   

Cash & cash equivalents

  $ 0.1   $   $ 0.1  

Receivables

    3.7         3.7  

Inventories

    10.5     (1.0 )   9.5  

Prepaid expenses and other current assets

    0.2         0.2  

Property, plant and equipment

    13.0     (0.1 )   12.9  

Definite-lived intangible assets

    9.9     4.8     14.7  

Indefinite-lived intangible assets

    2.6     5.4     8.0  

Other long-term assets

    0.3         0.3  

Accounts payable

    (3.3 )       (3.3 )

Accrued expenses

    (2.5 )       (2.5 )

Long-term debt

    (1.3 )       (1.3 )

Deferred tax liabilities

    (4.4 )   (2.3 )   (6.7 )

Other long-term liabilities

    (0.1 )       (0.1 )
               

Total identifiable net assets

    28.7     6.8     35.5  
               

Goodwill

  $ 20.6   $ (7.1 ) $ 13.5  
               
               

        The goodwill recognized in the acquisition of Hertalan is attributable to the workforce of Hertalan, the solid financial performance of this leading manufacturer of EPDM roofing and waterproofing systems and the significant strategic value of the business to Carlisle. Hertalan provides Carlisle with a solid manufacturing and knowledge base for EPDM roofing products in Europe and provides an established distribution network throughout Europe, both of which enhance Carlisle's goal of expanding its global presence. The European market shows favorable trends towards EPDM roofing applications and Carlisle can provide additional product development and other growth resources to Hertalan. Goodwill arising from the acquisition of Hertalan is not deductible for income tax purposes. All of the goodwill was assigned to the Construction Materials reporting unit. Indefinite-lived intangible assets of $8.0 million represent acquired trade names. The $14.7 million value allocated to definite-lived intangible assets represents customer relationships with useful lives of 9 years.

        The Company has also recorded deferred tax liabilities related to the property, plant and equipment and intangible assets as of the March 9, 2012 closing date.

  • 2011 Acquisitions

    Tri-Star Electronics International, Inc.

        On December 2, 2011, the Company acquired 100% of the equity of TSEI Holdings, Inc. ("Tri-Star") for a total cash purchase price of $284.8 million, net of $4.5 million cash acquired. The total cash purchase price includes a $0.4 million purchase price adjustment during the three months ended March 31, 2012. The Company funded the acquisition with borrowings under the Facility. See Note 15 for further information regarding borrowings. The acquisition of Tri-Star adds capabilities and technology to strengthen the Company's interconnect products business by expanding its product and service range to its customers. Tri-Star operates within the Interconnect Technologies segment.

        The following table summarizes the consideration transferred to acquire Tri-Star and the allocation among the assets acquired and liabilities assumed. The acquisition has been accounted for using the acquisition method of accounting which requires that consideration be allocated to the acquired assets and assumed liabilities based upon their acquisition date fair values with the remainder allocated to goodwill.

 
  Preliminary
Allocation
  Measurement
Period
Adjustments
  Final
Allocation
 
(in millions)
  As of
12/31/2011
  Twelve Months
Ended 12/2/2012
  As of
12/2/2012
 

Total cash consideration transferred

  $ 288.9   $ 0.4   $ 289.3  
               
               

Recognized amounts of identifiable assets acquired and liabilities assumed:

                   

Cash & cash equivalents

  $ 4.5   $   $ 4.5  

Receivables

    14.0         14.0  

Inventories

    22.8         22.8  

Prepaid expenses and other current assets

    5.6         5.6  

Property, plant and equipment

    15.4     (2.1 )   13.3  

Definite-lived intangible assets

    112.0     9.5     121.5  

Indefinite-lived intangible assets

    28.0     (8.6 )   19.4  

Other long-term assets

    0.1         0.1  

Accounts payable

    (6.5 )       (6.5 )

Accrued expenses

    (4.4 )       (4.4 )

Deferred tax liabilities

    (58.9 )   3.4     (55.5 )

Other long-term liabilities

    (0.4 )       (0.4 )
               

Total identifiable net assets

    132.2     2.2     134.4  
               

Goodwill

  $ 156.7   $ (1.8 ) $ 154.9  
               
               

        The goodwill recognized in the acquisition of Tri-Star is attributable to the workforce of Tri-Star, the consistent financial performance of this complementary supplier of high-reliability interconnect products to leading aerospace, avionics and electronics companies and the enhanced scale that Tri-Star brings to the Company. Tri-Star brings additional high-end connector products and qualified positions to serve the Company's existing commercial aerospace and industrial customers. Tri-Star will also supply the Company with efficient machining and plating processes that will lower costs and improve product quality. Favorable trends in the commercial aerospace markets and increasing electronic content in several industrial end markets provide a solid growth platform for the Interconnect Technologies segment. Goodwill arising from the acquisition of Tri-Star is not deductible for income tax purposes. All of the goodwill was assigned to the Interconnect Technologies segment. Indefinite-lived intangible assets of $19.4 million represent acquired trade names. The $121.5 million value allocated to definite-lived intangible assets consists of $94.8 million of customer relationships with useful lives ranging from 12 to 21 years, $23.2 million of acquired technology with useful lives of 16 years, $2.5 million of non-compete agreements with useful lives ranging from 3 to 5 years, and $1.0 million of customer certifications and approvals with useful lives of 3 years.

        The Company has also recorded deferred tax liabilities related to the property, plant and equipment and intangible assets as of the December 2, 2011 closing date.

  • PDT Phoenix GmbH

        On August 1, 2011, the Company acquired 100% of the equity of PDT Phoenix GmbH ("PDT") for €77.0 million, or $111.0 million, net of €5.3 million, or $7.6 million, cash acquired. Of the €82.3 million, or $118.6 million gross purchase price, €78.7 million, or $113.4 million, was paid in cash initially funded with borrowings under the Facility and cash on hand. PDT is a leading manufacturer of EPDM-based (rubber) roofing membranes and industrial components serving European markets. The acquisition of PDT provides a platform to serve the European market for single-ply roofing systems, and expands the Company's growth internationally. PDT operates within the Construction Materials segment.

        The agreement to acquire PDT provided for contingent consideration based on future earnings. The fair value of contingent consideration recognized at the acquisition date was €3.6 million, or $5.2 million, and was estimated using a discounted cash flow model based on financial projections of the acquired company. See Note 9 for further information regarding settlement of the contingent consideration.

        The purchase price of PDT included certain assets of the PDT Profiles business, which the Company sold on January 2, 2012 for €17.1 million, or $22.1 million. The PDT Profiles business was classified as held for sale at the date of acquisition and on the Company's consolidated balance sheet as of December 31, 2011.

        The following table summarizes the consideration transferred to acquire PDT and the allocation among the assets acquired and liabilities assumed. The acquisition has been accounted for using the acquisition method of accounting which requires that consideration be allocated to the acquired assets and assumed liabilities based upon their acquisition date fair values with the remainder allocated to goodwill.

 
  Preliminary
Allocation
  Measurement
Period
Adjustments
  Final
Allocation
 
(in millions)
  As of
12/31/2011
  Twelve
Months
Ended
8/1/2012
  As of
8/1/2012
 

Consideration transferred:

                   

Cash consideration

  $ 113.4   $   $ 113.4  

Contingent consideration

    5.2         5.2  
               

Total fair value of consideration transferred

  $ 118.6   $   $ 118.6  
               
               

Recognized amounts of identifiable assets acquired and liabilities assumed:

                   

Cash & cash equivalents

  $ 7.6   $   $ 7.6  

Receivables

    12.2         12.2  

Inventories

    10.5         10.5  

Prepaid expenses and other current assets

    0.8         0.8  

Current assets held for sale

    3.6         3.6  

Property, plant and equipment

    3.4         3.4  

Definite-lived intangible assets

    57.1         57.1  

Indefinite-lived intangible assets

    6.9         6.9  

Other long-term assets

    0.1         0.1  

Non-current assets held for sale

    21.6     (0.6 )   21.0  

Accounts payable

    (9.0 )       (9.0 )

Accrued expenses

    (1.2 )       (1.2 )

Current liabilities associated with assets held for sale

             

Deferred tax liabilities

    (21.5 )       (21.5 )

Other long-term liabilities

    (3.3 )       (3.3 )
               

Total identifiable net assets

    88.8     (0.6 )   88.2  
               

Goodwill

  $ 29.8   $ 0.6   $ 30.4  
               
               

        The purchase price allocation reflects updated fair value estimates for assets acquired and liabilities assumed. The amount of goodwill recognized in the acquisition of PDT is attributable to the workforce of PDT, the solid financial performance of this leading manufacturer of single-ply roofing and waterproofing systems and the significant strategic value of the business to Carlisle. PDT provides Carlisle with a solid manufacturing and knowledge base for single-ply roofing products in Europe and provides an established distribution network throughout Europe, both of which enhance Carlisle's goal of expanding its global presence. The European market shows favorable trends towards single-ply roofing applications and Carlisle can provide additional product development and other growth resources to PDT. Goodwill arising from the acquisition of PDT is not deductible for income tax purposes. All of the goodwill was assigned to the Construction Materials segment. Indefinite-lived intangible assets of $6.9 million represent acquired trade names. Of the $57.1 million value allocated to definite-lived intangible assets, approximately $33.3 million was allocated to patents, with useful lives ranging from 10 to 20 years, and $23.8 million was allocated to customer relationships, with useful lives of 19 years.

        The Company has also recorded deferred tax liabilities related to the property, plant and equipment and intangible assets as of the August 1, 2011 closing date.

Discontinued Operations and Assets Held for Sale
Discontinued Operations and Assets Held for Sale

Note 4—Discontinued Operations and Assets Held for Sale

        The major classes of assets held for sale included in the Company's Consolidated Balance Sheets were as follows:

In millions
  December 31,
2013
  December 31,
2012
 

Assets held for sale:

             

Receivables

  $   $ 74.4  

Deferred income taxes

        6.5  

Inventories

        213.0  

Prepaid expenses and other current assets

        1.7  
           

Total current assets held for sale

        295.6  

Property, plant and equipment, net

   
0.3
   
171.9
 

Goodwill

        100.0  

Other long term assets

          5.6  
           

Total non-current assets held for sale

    0.3     277.5  
           

Total assets held for sale

  $ 0.3   $ 573.1  
           
           

Liabilities associated with assets held for sale:

             

Accounts payable

  $   $ 53.8  

Accrued expenses

        20.7  
           

Total current liabilities associated with assets held for sale

        74.5  

Total non-current liabilities associated with assets held for sale

   
   
47.6
 
           

Total liabilities associated with assets held for sale

  $   $ 122.1  
           
           

Sale of the Transportation Products Business

        On October 21, 2013, the Company entered into a definitive agreement to sell the Transportation Products business for total cash consideration of $375 million, subject to working capital and other customary adjustments. On December 31, 2013, the Company sold its Transportation Products business for total net proceeds of $375.6 million, including a receivable from the buyer of $6.6 million related to the additional estimated proceeds to be received upon settlement of the working capital adjustment component of the sales agreement, which is expected to be finalized in the first quarter of 2014. The Company recognized a $6.2 million after-tax gain on the sale in Income (loss) from discontinued operations. Total assets held for sale related to the Transportation Products disposal group were $573.1 million and total liabilities associated with assets for sale were $122.1 million as of December 31, 2012.

        Income (loss) from discontinued operations included Transportation Products business revenues of $767.9 million, $778.2 million, and $732.1 million, and pre-tax income (loss) from discontinued operations of $(46.1) million, $52.4 million, and $9.1 million for the years ended December 31, 2013, 2012, and 2011, respectively.

Other Divestitures of Long-lived Assets and Long-lived Assets Held for Sale

        As of November 8, 2013, the Company completed the sale of CCM's Kent, WA long-lived tangible assets for cash proceeds of $5.4 million, recognizing a pre-tax gain of $1.6 million within Other income (expense) in the Consolidated Statement of Earnings.

        In the third quarter of 2012, the Company announced plans to restructure certain of CFS's manufacturing and distribution operations. As of December 31, 2013 and 2012, assets held for sale includes $0.3 million of long-lived tangible assets related to the Zevenaar, Netherlands distribution center. On September 30, 2013, the Company completed the sale of Reno, NV long-lived tangible assets for cash proceeds of $6.2 million, recognizing a pre-tax gain of $1.0 million within Other income (expense) in the Consolidated Statement of Earnings.

        On January 2, 2012, the Company completed the sale of the PDT Profiles business for cash consideration of €17.1 million, or $22.1 million. The Company had acquired all of the equity of PDT on August 1, 2011 (see Note 3). Included with the acquisition were certain assets associated with the PDT Profiles business, which the Company classified as held for sale at the date of acquisition. No gain or loss was recognized upon the sale of the PDT Profiles business.

  • Income (Loss) from Discontinued Operations

        Discontinued operations for the years ended 2013, 2012 and 2011 include the results of the Transportation products business and 2012 includes the PDT Profiles business and a settlement gain related to contingent consideration from the 2010 sale of the Specialty Trailer business, each of which was a component of the Company and was classified as discontinued in the Consolidated Statement of Earnings for all periods presented.

        Income (loss) from discontinued operations for the year ended December 31, 2013 includes a $30.4 million net loss from operations of the Transportation Products business, inclusive of a pre-tax goodwill impairment charge of $100.0 million.

        Income (loss) from discontinued operations for the year ended December 31, 2012 included $37.6 million of net income from operations of the Transportation Products business and a $3.8 million gain on the settlement of the contingent consideration relating to the October 2010 sale of the Company's specialty trailer business.

        Income (loss) from discontinued operations for the year ended December 31, 2011 included $15.2 million of net income from operations of the Transportation Products business, operating results of the PDT Profiles business, a $0.6 million write-down of the land and building of the thermoset molding operation upon sale of these assets, and a $0.9 million gain on the settlement of environmental liabilities related to the refrigerated truck bodies business within discontinued operations.

Exit and Disposal Activities
Exit and Disposal Activities

Note 5—Exit and Disposal Activities

        The following table represents the costs associated with certain exit and disposal activities related to continuing operations on the Company's Consolidated Statements of Earnings for the years ended December 31:

In millions
  2013   2012   2011  

Cost of goods sold

  $ 1.0   $ 2.2   $ 0.6  

Selling and administrative expenses

        0.2     0.9  

Other (income) expense, net

    0.3     3.8      
               

Total exit and disposal costs

  $ 1.3   $ 6.2   $ 1.5  
               

        Exit and disposal activities by type of cost for the years ended December 31 were as follows:

In millions
  2013   2012   2011  

Termination benefits

  $ 0.5   $ 1.7   $ 0.5  

Impairments

    0.3     4.0      

Other associated costs

    0.5     0.5     1.0  
               

Total exit and disposal costs

  $ 1.3   $ 6.2   $ 1.5  
               
               

        Other associated costs are primarily related to asset relocation costs and accelerated depreciation.

        Unpaid and accrued exit and disposal costs and related activity for the years ended December 31, 2013 and 2012 were as follows:

In millions
  Termination
Benefits
  Impairments   Other
associated
costs
  Total  

Balance at December 31, 2011

  $ 0.5   $   $ 0.4   $ 0.9  

2012 charges

    1.7     4.0     0.5     6.2  

2012 usage

    (0.8 )   (4.0 )   (0.3 )   (5.1 )
                   

Balance at December 31, 2012

    1.4         0.6     2.0  
                   

2013 charges

    0.5     0.2     0.6     1.3  

2013 usage

    (1.5 )   (0.2 )   (1.1 )   (2.8 )
                   

Balance at December 31, 2013

  $ 0.4   $   $ 0.1   $ 0.5  
                   

        Costs associated with exit and disposal activities by segment were as follows:

In millions
  2013   2012   2011  

Total by segment

                   

Carlisle Construction Materials

  $   $ 0.8   $  

Carlisle Brake & Friction

    0.9     0.1     1.5  

Carlisle FoodService Products

    0.4     5.3      
               

Total exit and disposal costs

  $ 1.3   $ 6.2   $ 2.6  
               

        Carlisle Construction Materials—During the second quarter of 2012, the Company announced plans to consolidate its manufacturing operations in Elberton, GA into its locations in Terrell, TX and Carlisle, PA. Costs of $0.8 million incurred in 2012 consisted of employee termination costs, equipment relocation, and other associated costs. No further costs are expected to be incurred related to this project.

        Carlisle Brake & Friction—During the fourth quarter of 2013, the Company announced plans to close its Akron, OH stamping plant. Manufacturing operations are being relocated to the Catoosa, OK facility. The project is expected to be completed in 2014 with total expected costs of $2.9 million, including employee termination, accelerated depreciation, impairment of long-lived assets and equipment relocation costs. The Company incurred $0.9 million of exit and disposal costs in 2013 for employee termination costs, accelerated depreciation, asset impairment and equipment relocation costs. Included in Accrued Expenses at December 31, 2013 was a $0.4 million liability related to unpaid employee termination costs associated with this project.

        In the third quarter of 2011, the Company decided to close its braking plant in Canada. The total cost of the project was $1.0 million, including $0.9 million of expense recognized in 2011 for employee termination costs and other associated costs. Expenses of $0.1 million were recognized in 2012 reflecting $0.3 million of losses on the sale of certain assets in connection with the plant closure, net of $0.2 million income to reverse an accrual for pension costs which will not be paid. As of December 31, 2013, a $0.1 million liability, reported in Accrued Expenses, exists for unpaid lease termination costs. The Company expects no additional costs to be incurred related to this project.

        Carlisle FoodService Products—In the third quarter of 2012, the Company announced plans to close its China manufacturing facility and its Zevenaar, Netherlands and Reno, NV distribution facilities. Manufacturing operations were moved from China to Carlisle's existing Oklahoma City, OK and Chihuahua, Mexico manufacturing facilities. The distribution activities previously conducted at the Zevenaar, Netherlands and Reno, NV facilities were relocated to the Oklahoma City, OK distribution center or to third party distributors throughout Europe. The total expected cost of the project is $5.7 million, including costs for impairment of long-lived assets, employee termination, contract termination, legal and consulting services, and relocation and retrofitting of plant assets of which $5.3 million was incurred in 2012. During 2013, the Company incurred $0.4 million of exit and disposal costs for employee termination and equipment relocation. The Company expects no additional costs to be incurred related to this project.

Stock-Based Compensation
Stock-Based Compensation

Note 6—Stock-Based Compensation

        Stock-based compensation cost is recognized over the requisite service period, which generally equals the stated vesting period, unless the stated vesting period exceeds the date upon which an employee reaches retirement eligibility. Pre-tax stock-based compensation expense of $17.0 million, $18.5 million and $15.7 million was recognized for the years ended December 31, 2013, 2012 and 2011, respectively. Pre-tax stock-based compensation expense included $0.9 million, $1.6 million and $3.4 million related to discontinued operations for the years ended December 31, 2013, 2012, and 2011, respectively.

  • 2008 Executive Incentive Program

        The Company maintains an Executive Incentive Program (the "Program") for executives and certain other employees of the Company and its operating divisions and subsidiaries. The Program was approved by shareholders on April 20, 2004. The Program allows for awards to eligible employees of stock options, restricted stock, stock appreciation rights, performance shares and units or other awards based on Company common stock. At December 31, 2013, 3,094,447 shares were available for grant under this plan, of which 693,705 were available for the issuance of restricted and performance share awards.

  • 2005 Nonemployee Director Equity Plan

        The Company also maintains the Nonemployee Director Equity Plan (the "Plan") for members of its Board of Directors, with the same terms and conditions as the Program. At December 31, 2013, 267,210 stock options and 37,210 restricted shares were available for grant under this plan. Members of the Board of Directors that receive stock-based compensation are treated as employees for accounting purposes.

  • Stock Option Awards

        Options issued under these plans vest one-third on the first anniversary of grant, one-third on the second anniversary of grant and the remaining one-third on the third anniversary of grant. All options have a maximum term life of 10 years. Shares issued to cover options under the Program and the Plan may be issued from shares held in treasury, from new issuances of shares or a combination of the two.

        For 2013, 2012, and 2011, share-based compensation expense related to stock options was as follows:

 
  Years Ended December 31  
(in millions, except per share amounts)
  2013   2012   2011  

Pre-tax compensation expense

  $ 4.9   $ 7.5   $ 6.6  

After-tax compensation expense

  $ 3.0   $ 4.7   $ 4.1  

Impact on diluted EPS

  $ 0.05   $ 0.07   $ 0.07  

        Unrecognized compensation cost related to stock options of $3.2 million at December 31, 2013 is to be recognized over a weighted average period of 1.75 years.

        Excess income tax benefits related to share-based compensation expense that must be recognized directly in equity are considered financing cash flows. The amount of financing cash flows for these benefits was $5.3 million, $11.7 million and $3.2 million for the years ended December 31, 2013, 2010 and 2011, respectively.

        The Company utilizes the Black-Scholes_Merton ("BSM") option pricing model to determine the fair value of its stock option awards. The BSM relies on certain assumptions to estimate an option's fair value. The weighted average assumptions used in the determination of fair value for stock option awards in 2013, 2012, and 2011 were as follows:

 
  Years Ended December 31  
 
  2013   2012   2011  

Expected dividend yield

    1.2 %   1.5 %   1.7 %

Expected life in years

    5.71     5.78     5.76  

Expected volatility

    32.2 %   36.0 %   32.0 %

Risk-free interest rate

    1.0 %   0.9 %   2.2 %

Weighted average fair value

  $ 17.58   $ 14.57   $ 10.61  

        The expected life of options is based on the assumption that all outstanding options will be exercised at the midpoint of the grant date and the option expiration date. The expected volatility is based on historical volatility as well as implied volatility of the Company's publicly traded options. The risk-free interest rate is based on rates of U.S. Treasury issues with a remaining life equal to the expected life of the option. The expected dividend yield is based on the projected annual dividend payment per share, divided by the stock price at the date of grant

        Stock option activity under the Company's stock option awards for 2013, 2012 and 2011 was as follows:

 
  Number of
Shares
  Weighted Average
Exercise Price
 

Outstanding at December 31, 2010

    4,235,303   $ 30.38  

Options granted

    637,255     38.23  

Options exercised

    (552,639 )   27.61  

Options forfeited

    (227,404 )   29.13  
           

Outstanding at December 31, 2011

    4,092,515   $ 32.05  

Options granted

    488,805     49.58  

Options exercised

    (1,265,768 )   28.45  

Options forfeited

    (90,421 )   39.67  
           

Outstanding at December 31, 2012

    3,225,131   $ 35.88  
           

Options granted

    283,975     64.80  

Options exercised

    (472,040 )   33.81  

Options forfeited

    (44,059 )   48.47  
           

Outstanding at December 31, 2013

    2,993,007   $ 38.76  
           
           

        The weighted-average grant-date fair value of options granted during the years ended December 31, 2013, 2012 and 2011 was $5.0 million, $7.1 million and $6.7 million, respectively.

        The total intrinsic value of options exercised during the years ended December 31, 2013, 2012 and 2011 was approximately $15.5 million, $31.1 million and $11.0 million, respectively. The weighted average contractual term of options outstanding at December 31, 2013, 2012 and 2011 was 5.72, 6.21 and 6.56 years, respectively.

        At December 31, 2013, 2012 and 2011, 2,378,543, 2,203,107 and 2,642,842 options were exercisable, with a weighted average exercise price of $34.87, $32.47 and $32.95, respectively. The weighted average contractual term of options exercisable at December 31, 2013 and 2012 was 4.98 and 5.05 years, respectively.

        The aggregate intrinsic value of options outstanding and exercisable at December 31, 2013 and 2012 was $75.8 million and $37.8 million, respectively. The total grant date fair value of options vested during the year ended December 31, 2013, 2012 and 2011 was $8.0 million, $6.0 million and $6.0 million, respectively.

  • Restricted Stock Awards

        Restricted stock awarded under the Program is generally released to the recipient after a period of three years; however, 56,700 shares awarded to executive management in February 2008 vested ratably over five years. The number and weighted average grant-date fair value of restricted shares issued in each of the last three years was as follows: in 2013 71,255 awards were granted at a weighted average fair value of $64.80; in 2012, 85,990 awards were granted at a weighted average fair value of $49.60; and in 2011, 111,685 awards were granted at a weighted average fair value of $38.31. Compensation expense related to restricted stock awards of $4.6 million, $5.0 million and $5.2 million were recognized for the years ended December 31, 2013, 2012 and 2011, respectively. Unrecognized compensation cost related to restricted stock awards of $2.9 million at December 31, 2013 is to be recognized over a weighted average period of 1.68 years.

        The following represents activity related to restricted stock for the years ended December 31, 2013, 2012 and 2011.

 
  Number of
Shares
  Weighted Average
Grant Date
Fair Value
 

Outstanding at December 31, 2010

    624,640   $ 28.10  
           

Shares granted

    111,685     38.31  

Shares vested

    (188,195 )   34.80  

Shares forfeited

    (19,555 )   20.33  
           

Outstanding at December 31, 2011

    528,575   $ 27.83  
           

Shares granted

    85,990     49.60  

Shares vested

    (305,850 )   21.82  

Shares forfeited

    (24,480 )   12.18  
           

Outstanding at December 31, 2012

    284,235   $ 25.99  
           

Shares granted

    71,255     64.80  

Shares vested

    (109,445 )   34.08  

Shares forfeited

    (5,055 )   47.85  
           

Outstanding at December 31, 2013

    240,990   $ 49.66  
           
           
  • Performance Share Awards

        The Company granted 71,255, 85,990 and 109,075 performance share awards in the years ended December 31, 2013, 2012 and 2011, respectively. The performance shares vest based on the employee rendering three years of service to the Company, and the attainment of a market condition over the performance period, which is based on the Company's relative total shareholder return versus the S&P Midcap 400 Index® over a pre-determined time period as determined by the Compensation Committee of the Board of Directors. The grant date fair value of the 2013, 2012 and 2011 performance shares of $91.33, $69.76 and $53.95, respectively, was estimated using a Monte-Carlo simulation approach based on a three year measurement period. Such approach entails the use of assumptions regarding the future performance of the Company's stock and those of the peer group of companies. Those assumptions include expected volatility, risk-free interest rates, correlation coefficients and dividend reinvestment. Dividends accrue on the performance shares during the performance period and are to be paid in cash based upon the number of awards ultimately earned.

        The Company expenses the compensation cost associated with the performance awards on a straight-line basis over the vesting period of three years. In the years ended December 31, 2013, 2012 and 2011, the Company recognized approximately $6.5 million, $6.2 million and $3.8 million, respectively, of compensation cost related to the performance share awards. Unrecognized compensation cost related to the performance share awards was approximately $4.1 million, $5.0 million and $5.6 million at December 31, 2013, 2012 and 2011 and will be recognized in current income in equal installments over the remaining years. For purposes of determining diluted earnings per share, the performance share awards are considered contingently issuable shares and are included in diluted earnings per share based upon the number of shares that would have been awarded had the conditions at the end of the reporting period continued until the end of the performance period. See Note 8 for further information regarding earnings per share computations.

        The following represents activity related to performance shares for the years ended December 31, 2013, 2012 and 2011:

 
  Number of
Performance
Units
  2013
Awards
  2012
Awards
  2011
Awards
  2010
Awards
 

Outstanding at December 31, 2010

    98,835                 98,835  

Units granted

    109,075             109,075      

Units forfeited

    (10,255 )           (6,135 )   (4,120 )
                       

Outstanding at December 31, 2011

    197,655             102,940     94,715  
                       
                       

Units granted

    85,990         85,990          

Units converted to shares

    86,385                 86,385  

Units vested and issued

    (90,832 )               (90,832 )

Units vested and deferred

    (24,388 )               (24,388 )

Units forfeited

    (24,080 )       (6,650 )   (9,100 )   (8,330 )
                       

Outstanding at December 31, 2012

    230,730         79,340     93,840     57,550  
                       
                       

Units granted

    71,255     71,255              

Units converted to shares

    89,610             89,610      

Units vested and issued

    (45,544 )               (45,544 )

Units vested and deferred

    (12,006 )               (12,006 )

Units forfeited

    (5,055 )   (1,080 )   (1,745 )   (2,230 )    
                       

Outstanding at December 31, 2013

    328,990     70,175     77,595     181,220      
                       
                       

        The Company's relative total shareholder return versus companies in the S&P Midcap 400 Index® over the period covered by the 2011 awards and 2010 awards resulted in participants being awarded an additional 89,610 shares and 86,385 shares, respectively, under the plan. The awarding of these additional shares had no impact on stock-based compensation expense as the likelihood of their issuance was included in the determination of grant date fair value using a Monte Carlo simulation approach.

  • Restricted Stock Units

        The restricted stock units awarded to eligible directors are fully vested and will be issued in shares of Company common stock after the director ceases to serve as a member of the Board, or if earlier, upon a change in control of the Company. The $64.80 grant date fair value of the 2013 restricted stock units is based on the closing market price of the stock on February 6, 2013, the date of the grant.

  • Deferred Compensation

        Certain employees are eligible to participate in the Company's Non-qualified Deferred Compensation Plan (the "Deferred Compensation Plan"). In addition to the ability to defer a portion of their cash compensation, participants may elect to defer all or part of their stock-based compensation. The cost of shares to be issued upon vesting is measured at grant date fair value and is classified as Deferred compensation equity in the consolidated balance sheets.

Income Taxes
Income Taxes

Note 7—Income Taxes

        A summary of pre-tax income from U.S. and non U.S. operations is as follows:

In millions
  2013   2012   2011  

Continuing operations

                   

U.S. domestic

  $ 291.9   $ 311.8   $ 220.0  

Foreign

    41.1     34.6     25.0  
               

Total pre-tax income from continuing operations

    333.0     346.4     245.0  
               

Discontinued operations

                   

U.S. domestic

    (132.4 )   40.6     (4.6 )

Foreign

    71.9     14.6     11.1  
               

Total pre-tax income (loss) from discontinued operations

    (60.5 )   55.2     6.5  
               

Total pre-tax income

  $ 272.5   $ 401.6   $ 251.5  
               

        The provision for income taxes from continuing operations is as follows:

In millions
  2013   2012   2011  

Current expense

                   

Federal and State

  $ 97.2   $ 114.1   $ 65.3  

Foreign

    21.9     14.2     11.0  
               

Total current expense

    119.1     128.3     76.3  
               

Deferred expense (benefit)

                   

Federal and State

    (8.2 )   (6.3 )   5.0  

Foreign

    (13.1 )   (4.3 )   (8.3 )
               

Total deferred expense (benefit)

    (21.3 )   (10.6 )   (3.3 )
               

Total tax expense

  $ 97.8   $ 117.7   $ 73.0  
               
               

        A reconciliation of the tax provision for continuing operations computed at the U.S. federal statutory rate to the actual tax provision is as follows:

In millions
  2013   2012   2011  

Taxes at the 35% U.S. statutory rate

  $ 116.6   $ 121.2   $ 85.8  

State and local taxes, net of federal income tax benefit

    6.2     6.4     4.5  

Benefit of foreign earnings taxed at lower rates

    (3.0 )   (2.2 )   (0.1 )

Benefit for domestic manufacturing deduction

    (9.7 )   (10.5 )   (6.9 )

Benefits from state tax incentives

    (1.3 )        

Benefit associated with foreign reorganization

    (11.8 )   1.0     (5.0 )

Change in valuation allowances

    0.8     (2.2 )    

Other, net

        4.0     (5.3 )
               

Tax expense

  $ 97.8   $ 117.7   $ 73.0  
               
               

Effective income tax rate on continuing operations

    29.4 %   34.0 %   29.8 %
               

        Cash payments for income taxes, net of refunds, were $127.7 million, $100.8 million, and $73.5 million in 2013, 2012, and 2011, respectively.

        Deferred tax assets (liabilities) at December 31 related to the following:

In millions
  2013   2012  

Deferred revenue

  $ 20.2   $ 18.8  

Warranty reserves

    4.1     4.5  

Inventory reserves

    9.1     11.0  

Doubtful receivables

    1.9     4.1  

Employee benefits

    41.0     30.0  

Foreign loss carry forwards

    6.2     8.7  

Deferred state tax attributes

    18.2     14.7  

Other, net

    9.8     2.7  
           

Gross deferred assets

    110.5     94.5  
           

Valuation allowances

    (13.5 )   (10.3 )
           
           

Deferred tax assets after valuation allowances

  $ 97.0   $ 84.2  
           
           

Depreciation

    (52.4 )   (53.4 )

Amortization

    (43.2 )   (35.1 )

Acquired identifiable intangibles

    (127.6 )   (140.7 )

Other, net

        (1.0 )
           

Gross deferred liabilities

    (223.2 )   (230.2 )
           

Net deferred tax liabilities

  $ (126.2 ) $ (146.0 )
           

        At December 31, 2013 the Company had no deferred tax assets related to net operating loss ("NOL") carryforwards for U.S. federal tax purposes but had a deferred tax asset for state NOL carryforwards of approximately $14.3 million (expiring 2015-2032) and deferred tax assets related to NOL carryforwards in foreign jurisdictions of approximately $6.2 million (expiring 2014-2020). The Company believes that it is likely that certain of the state NOL's will expire unused and therefore has established a valuation allowance of approximately $11.4 million against the deferred tax assets associated with these NOL carryforwards. Likewise, the Company believes that it is likely that certain of the foreign NOL's will expire unused and therefore has established a valuation allowance of approximately $2.1 million against the deferred tax assets associated with these NOL carryforwards. Although realization is not assured for the remaining deferred tax assets, the Company believes that the timing and amount of the reversal of taxable temporary differences, expected future taxable income and tax planning strategies will generate sufficient income to be fully realized. However, deferred tax assets could be reduced in the near term if our estimates of the timing and amount of the reversal of taxable temporary differences, expected future taxable income during the carryforward period are significantly reduced or tax planning strategies are no longer viable.

        Deferred tax assets and (liabilities) are classified as current or long-term consistent with the classification of the asset or liability to which the difference relates. Foreign deferred tax assets and (liabilities) are grouped separately from U.S. domestic assets and (liabilities).

        Deferred tax assets and (liabilities) are included in the balance sheet as follows:

In millions
  2013   2012  

Deferred income taxes

  $ 35.7   $ 37.3  

Accrued expenses

  $ (0.8 )    

Other long-term assets

    4.9     4.9  

Other long-term liabilities

    (166.0 )   (188.2 )
           

Net deferred tax liabilities

  $ (126.2 ) $ (146.0 )
           

        The Company is not required to provide U.S. federal or state income taxes on the excess of the amount for financial reporting over the tax basis of investments in foreign subsidiaries that are essentially permanent in duration. The Company's excess of financial reporting over the tax basis of investments in foreign subsidiaries is approximately equal to the cumulative undistributed earnings of its foreign subsidiaries. The Company reconsiders this assertion quarterly.

        Generally, the Company considers all foreign earnings to be of a permanent investment nature. However, in late 2010 the Company acquired several foreign subsidiaries with unremitted earnings. During 2011 the Company determined that repatriation of significantly all of the unremitted earnings of an acquired Italian subsidiary would be advantageous for both treasury and tax reasons. At the time that the accumulated earnings were repatriated the Company provided for the associated tax expense and related tax benefits from foreign tax credits. The total dividend remitted in 2011 was $79.3 million, and the 2011 net tax impact of the repatriation was a tax benefit of $4.2 million. As part of the same tax planning strategy, the Company determined it would be advantageous for tax reasons to remit a portion of the 2012 earnings. Therefore, during 2012 approximately $4.0 million of the current year Italian earnings were repatriated. The Company does not intend to repatriate any further earnings of the Italian subsidiary.

        At December 31, 2013, the Company intends to permanently reinvest abroad all of the earnings of its foreign subsidiaries. The Company has identified appropriate long term uses for such earnings outside the United States, considers the unremitted earnings to be indefinitely reinvested, and accordingly has made no provision for federal or state income or withholding taxes on such earnings. It is not practicable to calculate the unrecognized deferred tax liability on the excess of the amount for financial reporting over the tax basis of investments in foreign subsidiaries.

        Unrepatriated earnings for the years ended December 31 were as follows:

In millions
  2013   2012   2011  

Indefinitely reinvested

  $ 403.8   $ 300.5   $ 266.9  

Not indefinitely reinvested

            0.9  
               

Total

  $ 403.8   $ 300.5   $ 267.8  
               

        Unrecognized tax benefits reflect the difference between the tax benefits of positions taken or expected to be taken on income tax returns and the tax benefits that meet the criteria for current recognition in the financial statements. The Company periodically assesses its unrecognized tax benefits.

        A summary of the movement in gross unrecognized tax benefits (before estimated interest and penalties) is as follows:

In millions
  2013   2012   2011  

Balance at January 1

  $ 9.3   $ 9.6   $ 13.1  

Additions based on tax positions related to current year

    1.3     1.5     1.8  

Additions (reductions) related to purchase accounting

        1.6     (2.8 )

Adjustments for tax positions of prior years

    1.6     (0.4 )   0.2  

Reductions due to statute of limitations

    (2.0 )   (2.4 )   (2.6 )

Reductions due to settlementss

        (0.6 )   (0.1 )
               

Balance at December 31

    10.2   $ 9.3   $ 9.6  
               

        If the unrecognized tax benefits as of December 31, 2013 were to be recognized, approximately $8.5 million would impact the Company's effective tax rate. The amount impacting the Company's effective rate is calculated by adding accrued interest and penalties to the gross unrecognized tax benefit and subtracting the tax benefit associated with state taxes and interest.

        The Company classifies and reports interest and penalties associated with unrecognized tax benefits as a component of the income tax provision on the Consolidated Statements of Earnings and Comprehensive Income, and as a long-term liability on the Consolidated Balance Sheets. The total amount of such interest and penalties accrued, but excluded from the table above, at the years ending 2013, 2012 and 2011 were $1.2 million, $1.3 million and $1.8 million respectively.

        The Company is subject to U.S. federal income tax as well as income tax in multiple state and foreign jurisdictions. During the year the Company has worked with the IRS to complete its compliance assurance process for the 2012 tax year. The Company is currently working with the IRS to complete its compliance assurance audit for the 2013 tax year and expects conclusion of the process within the next twelve months.

        Generally, state income tax returns are subject to examination for a period of three to five years after filing. Substantially all material state tax matters have been concluded for tax years through 2008. Various state income tax returns for subsequent years are in the process of examination. At this stage the outcome is uncertain; however, the Company believes that contingencies have been adequately provided for. The Company believes that any material results from income tax examinations underway in foreign jurisdictions have been adequately provided for.

        Within the next twelve months state and foreign audits may conclude and statutes of limitations will expire affecting the amount of unrecognized tax benefits. The change in unrecognized tax benefits that may result is not known but the Company does not anticipate that there will be a material impact.

Earnings Per Share
Earnings Per Share

Note 8—Earnings Per Share

        The Company's unvested restricted shares and restricted stock units contain nonforfeitable rights to dividends and, therefore, are considered participating securities for purposes of computing earnings per share pursuant to the two-class method. The computation below of earnings per share excludes the income attributable to the unvested restricted shares and restricted stock units from the numerator and excludes the dilutive impact of those underlying shares from the denominator. Stock options are included in the calculation of diluted earnings per share utilizing the treasury stock method and performance share awards are included in the calculation of diluted earnings per share using the contingently issuable method. Neither is considered to be participating securities as they do not contain non-forfeitable dividend rights.

        The following reflects the Income from continuing operations and share data used in the basic and diluted earnings per share computations using the two-class method:

In millions, except share and per share amounts
  2013   2012   2011  

Numerator:

                   

Income from continuing operations

  $ 235.2   $ 228.7   $ 172.0  

Less: dividends declared—common stock outstanding, unvested restricted shares and restricted share units

    (53.7 )   (48.0 )   (43.5 )
               

Undistributed earnings

    181.5     180.7     128.5  

Percent allocated to common shareholders(1)

    99.5 %   99.4 %   99.0 %
               

 

    180.6     179.7     127.3  

Add: dividends declared—common stock

    53.4     47.7     43.1  
               

Numerator for basic and diluted EPS

  $ 234.0   $ 227.4   $ 170.4  
               
               

Denominator (in thousands):

                   

Denominator for basic EPS: weighted-average common shares outstanding

    63,471     62,513     61,457  

Effect of dilutive securities:

                   

Performance awards

    416     399     318  

Stock options

    919     698     720  
               

Denominator for diluted EPS: adjusted weighted average common shares outstanding and assumed conversion

    64,806     63,610     62,495  
               
               

Per share income from continuing operations:

                   

Basic

  $ 3.69   $ 3.64   $ 2.77  
               
               

Diluted

  $ 3.61   $ 3.57   $ 2.73  
               
               

 
   
   
   
   
 

(1)

 

Basic weighted-average common shares outstanding

    63,471     62,513     61,457  

 

 

Basic weighted-average common shares outstanding, unvested restricted shares expected to vest and restricted share units

    63,797     62,871     62,047  
                   

 

 

Percent allocated to common shareholders

    99.5 %   99.4 %   99.0 %
                   
                   

        To calculate earnings per share for the Income (loss) from discontinued operations and for Net income, the denominator for both basic and diluted earnings per share is the same as used in the above table. The Income (loss) from discontinued operations and the Net income were as follows:

In millions, except share amounts
  2013   2012   2011  

Income (loss) from discontinued operations attributable to common shareholders for basic and diluted earnings per share

  $ (25.4 ) $ 41.2   $ 8.2  

Net income attributable to common shareholders for basic and diluted earnings per share

  $ 208.6   $ 268.5   $ 178.6  

Antidilutive stock options excluded from EPS calculation(1)

            200.0  

(1)
Represents stock options excluded from the calculation of diluted earnings per share as such options had exercise prices in excess of the weighted-average market price of the Company's common stock during these periods. Amounts in thousands.
Fair Value Measurements
Fair Value Measurements

Note 9—Fair Value Measurements

        Fair value is defined as the price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Fair value may be measured using three levels of inputs:

  • Level 1—quoted prices in active markets for identical assets and liabilities.

    Level 2—observable inputs other than quoted prices in active markets for identical assets and liabilities.

    Level 3—unobservable inputs in which there is little or no market data available, which requires the reporting entity to develop its own assumptions.

Recurring Measurements

        The fair value of the Company's financial assets and liabilities measured at fair value on a recurring basis were as follows:

In millions
  Balance at
December 31,
2013
  Quoted Prices
In Active
Markets for
Identical
Assets Level 1
  Significant
Other
Observable
Inputs
Level 2
  Significant
Unobservable
Inputs
Level 3
 

Cash and cash equivalents

  $ 754.5   $ 754.5   $   $  

Short-term investments

    1.4     1.4          

Foreign currency forward contracts

    0.2         0.2      
                   

Total assets measured at fair value

  $ 756.1   $ 755.9   $ 0.2   $  
                   

        Cash and cash equivalents include $3.6 million of money market accounts for the Company's Deferred Compensation Plan. Short-term investments of $1.4 million at December 31, 2013 consist of investments held in mutual funds for the Company's Deferred Compensation Plan and are classified in the consolidated balance sheet at December 31, 2013 in Prepaid expenses and other current assets.

        Foreign exchange forward contracts at December 31, 2013 relate to contracts held for purposes of mitigating the Company's exposure to fluctuations in foreign exchange rates, resulting from assets or liabilities that are held by certain of its operating subsidiaries in currencies other than the subsidiary's functional currency. Such forward contracts are valued at fair value using observable market inputs such as forward prices and spot prices of the underlying exchange rate pair. Based on these inputs, the derivative assets and liabilities are classified within Level 2 of the valuation hierarchy. The Company has not designated these forward contracts as cash flow hedges and, accordingly, recognizes associated changes in fair value of the forwards through Other income (expense). The fair value of these contracts is recorded within Other current assets in the consolidated balance sheet as of December 31, 2013 as none of the contract terms exceed one year from the balance sheet date.

In millions
  Balance at
December 31,
2012
  Quoted Prices
In Active
Markets for
Identical
Assets
Level 1
  Significant
Other
Observable
Inputs
Level 2
  Significant
Unobservable
Inputs
Level 3
 

Cash and cash equivalents

  $ 112.5   $ 112.5   $   $  

Short-term investments

    0.6     0.6          

Commodity swap agreements

    0.1         0.1      

Foreign currency forward contracts

    0.3         0.3      
                   

Total assets measured at fair value

  $ 113.5   $ 113.1   $ 0.4   $  
                   
                   

Contingent consideration

    9.9             9.9  
                   

Total liabilities measured at fair value

  $ 9.9   $   $   $ 9.9  
                   
                   

        Cash and cash equivalents at December 31, 2012 include $1.6 million in money market accounts for the Company's Deferred Compensation Plan. Short-term investments of $0.6 million at December 31, 2012 consist of investments held in mutual funds for the Company's deferred compensation program and are classified in the condensed consolidated balance sheet at December 31, 2012 in Prepaid expenses and other current assets.

        Commodity swap agreements at December 31, 2012 relate to swap agreements held for purposes of mitigating the Company's exposure to fluctuations in the prices of silver and copper, which are key raw materials within the Interconnect Technologies segment. Such swaps are valued using third-party valuation models that measure fair value using observable market inputs such as forward prices and spot prices of the underlying commodities. Based on these inputs, the derivative assets and liabilities are classified within Level 2 of the valuation hierarchy. The Company has not designated these swaps as cash flow hedges and, accordingly, recognizes associated changes in fair value of the swaps through Other income (expense). The fair value of these swaps is recorded within Prepaid expenses and other current assets in the consolidated balance sheet as of December 31, 2012 as none of the swap terms exceed one year from the balance sheet date. The swaps expired on December 31, 2013.

        Contingent consideration represents fair value of the earn-out associated with the purchase of PDT and was estimated using a discounted cash flow model based on financial projections of the acquired company. During the fourth quarter of 2013 the earn-out was settled for or €7.0 million, or $9.5 million, upon agreement by both parties. See Note 3 for further information regarding the PDT acquisition.

        See Note 14 regarding the fair value of the Company's Borrowings and Note 15 regarding fair value measurements related to the Company's Retirement Plans.

  • Non-Recurring Measurements

        During the second quarter of 2013, the Company recognized a goodwill impairment charge of $100.0 million, reducing the carrying value of goodwill associated with the former Transportation Products reporting unit to $0. The estimated fair value of goodwill was determined using the residual value method as required by ASC 350, Goodwill and Other Intangible Assets. This estimate was based on fair value determinations using Level 3 inputs. See Note 12 for information regarding this impairment.

        During the year ended December 31, 2012, the FoodService Products segment measured long-lived assets on a non-recurring basis at certain facilities resulting in an impairment charge of $3.5 million, which was included in Other expense (income). These measurements were based on fair value determination of certain long-lived assets within the FoodService Products segment using Level 3 inputs. See Note 5 for information regarding asset impairment within the FoodService Products segment.

        During the year ended December 31, 2011 there were no non-recurring fair value measurements subsequent to initial recognition. See Note 3 for information regarding assets acquired and liabilities assumed in the Thermax/Raydex, Hertalan, Tri-Star, PDT and Hawk acquisitions measured at fair value during the initial measurement period.

Inventories
Inventories

Note 10—Inventories

        The components of inventories at December 31 were as follows:

(in millions)
  2013   2012  

Finished goods

  $ 161.0   $ 161.2  

Work-in-process

    39.3     41.8  

Raw materials

    120.0     143.5  

Capitalized variances

    4.8     6.6  

Reserves

    (26.3 )   (28.1 )
           

Inventories

  $ 298.8   $ 325.0  
           
           
Property, Plant, and Equipment
Property, Plant, and Equipment

Note 11—Property, Plant, and Equipment

        The components of property, plant, and equipment at December 31 were as follows:

(in millions)
  2013   2012  

Land

  $ 38.9   $ 35.7  

Buildings and leasehold improvements

    259.1     224.0  

Machinery and equipment

    606.9     558.9  

Projects in progress

    60.3     63.4  
           

 

    965.2     882.0  

Accumulated depreciation

    (468.0 )   (416.8 )
           

Property, plant and equipment, net

  $ 497.2   $ 465.2  
           
           

        During 2013, 2012, and 2011, the Company capitalized interest in the amount of $1.7 million, $1.8 million and $1.3 million, respectively.

Goodwill and Other Intangible Assets
Goodwill and Other Intangible Assets

Note 12—Goodwill and Other Intangible Assets

        The changes in the carrying amount of goodwill for the years ended December 31, 2013 and 2012 were as follows:

In millions
  Construction
Materials
  Interconnect
Technologies
  Brake and
Friction
  FoodService
Products
  Disc.
Ops
  Total  

Balance at January 1, 2012

                                     

Goodwill

  $ 112.6   $ 345.6   $ 226.7   $ 60.3   $ 202.9   $ 948.1  

Accumulated impairment losses

                    (102.9 )   (102.9 )
                           

 

    112.6     345.6     226.7     60.3     100.0 (A)   845.2  

Goodwill acquired during year

    13.5     100.9                 114.4  

Measurement period adjustments

    0.6     (1.8 )               (1.2 )

Currency translation

    0.5     (0.1 )               0.4  
                           

Goodwill

  $ 127.2   $ 444.6   $ 226.7   $ 60.3   $ 202.9   $ 1,061.7  

Accumulated impairment losses

                    (102.9 )   (102.9 )
                           

Balance at December 31, 2012

    127.2     444.6     226.7     60.3     100.0     958.8  

Goodwill acquired during year

                         

Measurement period adjustments

        (1.8 )               (1.8 )

Impairment loss

                    (100.0 )   (100.0 )

Currency translation

    1.9     (0.2 )               1.7  
                           

Goodwill

    129.1     442.6     226.7     60.3     202.9     1,061.6  

Accumulated impairment losses

                    (202.9 )   (202.9 )
                           

Balance at December 31, 2013

  $ 129.1   $ 442.6   $ 226.7   $ 60.3   $   $ 858.7  
                           
                           

(A)
Goodwill associated with discontinued operations is included in non-current assets held for sale in the accompanying consolidated balance sheet.

        During the second quarter of 2013, the Company recognized a goodwill impairment loss of $100.0 million due to a decline in the former Transportation Products reporting unit's estimated fair value relative to its carrying value. The impairment charge has been reclassified to Income (loss) from discontinued operations. Fair value was based on an income approach utilizing the discounted cash flow method. The decline in the former reporting unit's estimated fair value was primarily driven by a rise in the underlying interest rates used to determine the discount rate utilized in the discounted cash flow method. This rise in interest rates occurred substantially in the final month of the second quarter of 2013. ASC 350, Intangibles—Goodwill and Other requires that goodwill impairment be based on the implied value of a reporting unit's goodwill based on the residual method in the same manner as goodwill is recognized in a business combination under ASC 805, Business Combinations. Under the residual method, the implied fair value of the reporting unit's goodwill is equal to the difference between the reporting unit's fair value and the fair value of the reporting unit's assets and liabilities, both recognized and unrecognized.

        On December 17, 2012, the Company acquired Thermax/Raydex for a total purchase price of $265.5 million, net of $0.1 million cash acquired. The resulting preliminary goodwill recorded of $100.9 million was allocated to the Interconnect Technologies reporting unit. Measurement period adjustments during the year ended December 31, 2013 resulted in a $1.8 million reduction to the goodwill of Thermax/Raydex. See Note 3 for further information regarding this acquisition.

        On March 9, 2012, the Company acquired Hertalan for a total purchase price of €37.3 million, or $48.9 million, net of €0.1 million, or $0.1 million, cash acquired. The resulting goodwill recorded of $13.5 million was allocated to the Construction Materials reporting unit. See Note 3 for further information regarding this acquisition.

        On December 2, 2011, the Company acquired Tri-Star for an initial total purchase price of $284.4 million, net of $4.5 million cash acquired. The resulting preliminary goodwill recorded of $156.7 million was allocated to the Interconnect Technologies segment. Measurement period adjustments, including a $0.4 million increase in the total purchase price due to a working capital adjustment, during the year ended December 31, 2012 resulted in a $1.8 million reduction to the goodwill of Tri-Star. See Note 3 for further information regarding this acquisition.

        On August 1, 2011, the Company acquired PDT for a total purchase price of $111.0 million, net of $7.6 million cash acquired. The resulting revised preliminary goodwill recorded of $29.8 million was allocated to the Construction Materials segment. Measurement period adjustments during the year ended December 31, 2012 resulted in a $0.6 million increase to the goodwill of PDT. See Note 3 for further information regarding this acquisition.

        The Company's Other intangible assets, net at December 31, 2013, are as follows:

In millions
  Acquired
Cost
  Accumulated
Amortization
  Net Book
Value
 

Assets subject to amortization:

                   

Patents

  $ 134.6   $ (29.2 ) $ 105.4  

Customer Relationships

    443.3     (95.8 )   347.5  

Other

    19.0     (10.1 )   8.9  

Assets not subject to amortization:

                   

Trade names

    118.0         118.0  
               

Other intangible assets, net

  $ 714.9   $ (135.1 ) $ 579.8  
               
               

        The Company's Other intangible assets, net at December 31, 2012, were as follows:

In millions
  Acquired
Cost
  Accumulated
Amortization
  Net Book
Value
 

Assets subject to amortization:

                   

Patents

  $ 133.2   $ (20.0 ) $ 113.2  

Customer Relationships

    441.4     (68.3 )   373.1  

Other

    20.9     (9.7 )   11.2  

Assets not subject to amortization:

                   

Trade names

    117.3         117.3  
               

Other intangible assets, net

  $ 712.8   $ (98.0 ) $ 614.8  
               

        Estimated amortization expense over the next five years is as follows: $37.3 million in 2014, $36.5 million in 2015, $35.6 million in 2016, $34.8 million in 2017 and $34.8 million in 2018.

        The net carrying values of the Company's Other intangible assets by reportable segment as of December 31 were as follows:

In millions
  December 31,
2013
  December 31,
2012
 

Carlisle Construction Materials

  $ 86.9   $ 89.7  

Carlisle Interconnect Technologies

    330.8     353.4  

Carlisle Brake & Friction

    130.1     136.8  

Carlisle FoodService Products

    32.0     34.9  
           

Total

  $ 579.8   $ 614.8  
           
           

        The acquired cost of the Company's customer relationship intangible assets by estimated useful life are as follows (in millions):

 
  Gross Balance as
of December 31,
 
Estimated Useful Life (Years)
  2013   2012  

5

  $ 13.7   $ 13.7  

9

  $ 15.5     14.8  

10

  $ 10.2     10.2  

12

  $ 62.1     62.1  

15

  $ 39.1     39.1  

16

  $ 48.7     48.7  

17

  $ 21.7     21.5  

18

  $ 101.7     101.7  

19

  $ 22.9     21.9  

20

  $ 75.0     75.0  

21

  $ 32.7     32.7  
           

Total

  $ 443.3   $ 441.4  
           
           

        See Note 1 in these Notes to Consolidated Financial Statements for information regarding the valuation of goodwill and indefinite-lived intangible assets.

Commitments and Contingencies
Commitments and Contingencies

Note 13—Commitments and Contingencies

Leases

        The Company currently leases a portion of its manufacturing facilities, distribution centers and equipment, some of which include scheduled rent increases stated in the lease agreement generally expressed as a stated percentage increase of the minimum lease payment over the lease term. The Company currently has no leases that require rent to be paid based on contingent events nor has it received any lease incentive payments. Rent expense was $23.9 million, $24.0 million and $19.5 million in 2013, 2012 and 2011, respectively, inclusive of rent based on scheduled rent increases and rent holidays recognized on a straight-line basis. Future minimum payments under its various non-cancelable operating leases in each of the next five years are approximately $15.5 million in 2014, $11.9 million in 2015, $9.6 million in 2016, $7.9 million in 2017, $7.0 million in 2018 and $8.5 million thereafter.

Purchase Obligations

        Although the Company has entered into purchase agreements for certain key raw materials, there were no such contracts with a term exceeding one year in place at December 31, 2013.

Workers' Compensation Claims and Related Losses

        The Company has accrued approximately $26.9 million and $24.1 million related to workers' compensation claims at December 31, 2013 and 2012, respectively. At December 31, 2013, $9.1 million and $17.8 million are included in Accrued expenses and Other long-term liabilities, respectively, and at December 31, 2012, $7.1 million and $17.0 million were included in Accrued expenses and Other long-term liabilities, respectively, in the Consolidated Balance Sheet. Workers' compensation obligations related to former employees associated with the Transportation Products business and arising prior to the sale of the Transportation Products business have been retained by the Company and the Company is obligated to pay the related claims until they are extinguished or otherwise settled. The Company will not be held liable for any workers' compensation claims related to the former Transportation products business incurred after December 31, 2013. The liability related to workers' compensation claims, both those reported to the Company and those incurred but not yet reported, is estimated based on actuarial estimates and loss development factors and the Company's historical loss experience.

        The Company maintains occurrence-based insurance contracts with certain insurance carriers in accordance with its risk management practices that provides for reimbursement of worker's compensation claims in excess of $0.5 million. The Company records a recovery receivable from the insurance carriers when such recovery is deemed probable based on the nature of the claim and history of recoveries. At December 31, 2013 and 2012 the Company did not have any recovery receivables recorded for worker's compensation claims.

Litigation

        Over the years, the Company has been named as a defendant, along with numerous other defendants, in lawsuits in various state courts in which plaintiffs have alleged injury due to exposure to asbestos-containing brakes, which Carlisle manufactured in limited amounts between the late-1940's and the mid-1980's. In addition to compensatory awards, these lawsuits may also seek punitive damages.

        Generally, the Company has obtained dismissals or settlements of its asbestos-related lawsuits with no material effect on its financial condition, results of operations or cash flows. The Company maintains insurance coverage that applies to the Company's defense costs and payments of settlements or judgments in connection with asbestos-related lawsuits.

        At this time, the amount of reasonably possible additional asbestos claims, if any, is not material to the Company's financial position, results of operations or operating cash flows although these matters could result in the Company being subject to monetary damages, costs or expenses, and charges against earnings in particular periods.

        From time-to-time the Company may be involved in various other legal actions arising in the normal course of business. In the opinion of management, the ultimate outcome of such actions, either individually or in the aggregate, will not have a material adverse effect on the consolidated financial position, results of operations for a particular period or annual operating cash flows of the Company.

Environmental Matters

        The Company is subject to increasingly stringent environmental laws and regulations, including those relating to air emissions, wastewater discharges, chemical and hazardous waste management and disposal. Some of these environmental laws hold owners or operators of land or businesses liable for their own and for previous owners' or operators' releases of hazardous or toxic substances or wastes. Other environmental laws and regulations require the obtainment of and compliance with environmental permits. To date, costs of complying with environmental, health and safety requirements have not been material and we do not currently have any significant accruals related to potential future costs of environmental remediation at December 31, 2013 and 2012, nor do we have any asset retirement obligations recorded at those dates. However, the nature of the Company's operations and its long history of industrial activities at certain of its current or former facilities, as well as those acquired, could potentially result in material environmental liabilities or asset retirement obligations.

        While the Company must comply with existing and pending climate change legislation, regulation, international treaties or accords, current laws and regulations do not have a material impact on its business, capital expenditures or financial position. Future events, including those relating to climate change or greenhouse gas regulation, could require the Company to incur expenses related to the modification or curtailment of operations, installation of pollution control equipment, or investigation and cleanup of contaminated sites.

Borrowings
Borrowings

Note 14—Borrowings

        As of December 31, 2013 and 2012 the Company's borrowings were as follows:

In millions
  2013   2012  

3.75% notes due 2022, net of unamortized discount of ($1.0) and ($1.1), respectively

  $ 349.0   $ 348.9  

5.125% notes due 2020, net of unamortized discount of ($0.8) and ($0.9), respectively

    249.2     249.1  

6.125% notes due 2016, net of unamortized discount of ($0.3) and ($0.4) respectively

    149.7     149.6  

Revolving credit facility

         

Industrial development and revenue bonds through 2018

    3.0     4.5  

Other, including capital lease obligations

    0.1     0.2  
           

Total long-term debt

    751.0     752.3  

Less current portion

         
           

Total long-term debt, net of current portion

  $ 751.0   $ 752.3  
           
           
  • 3.75% Notes Due 2022

        On November 20, 2012, the Company completed a public offering of $350.0 million of notes with a stated interest rate of 3.75% due November 15, 2022 (the "2022 Notes"). The 2022 Notes were issued at a discount of approximately $1.1 million, resulting in proceeds to the Company of approximately $348.9 million. The 2022 Notes are presented net of the related discount in Long-term debt in the consolidated balance sheet at December 31, 2013 and 2012. Interest on the 2022 Notes will be paid each May 15 and November 15, commencing on May 15, 2013. The Company incurred costs to issue the 2022 Notes of approximately $2.9 million, inclusive of underwriters', credit rating agencies' and attorneys' fees and other costs. The issuance costs have been recorded in Other long-term assets in the consolidated balance sheet at December 31, 2013 and 2012. Both the discount and the issuance costs will be amortized to interest expense over the life of the 2022 Notes.

        The 2022 Notes, in whole or in part, may be redeemed at the Company's option, plus accrued and unpaid interest, at any time prior to August 15, 2022 at a price equal to the greater of:

  • 100% of the principal amount; or

    The sum of the present values of the remaining scheduled payments of principal and interest discounted to the redemption date on a semi-annual basis at the Treasury Rate plus 35 basis points.

        The 2022 Notes may also be redeemed at any time after August 15, 2022, in whole or in part, at the Company's option at 100% of the principal amount, plus accrued and unpaid interest. Upon a change-in-control triggering event, the Company will be required to offer to repurchase the 2022 Notes at 101% of the principal amount, plus accrued and unpaid interest.

        The 2022 Notes are subject to the Company's existing indenture dated January 15, 1997 with Bank of New York Mellon, as trustee, and accordingly are subject to the same restrictive covenants and limitations as the Company's existing indebtedness. The 2022 Notes are general unsecured obligations of the Company and rank equally with the Company's existing and future unsecured and unsubordinated indebtedness. The 2022 Notes are subordinate to any existing or future debt or other liabilities of the Company's subsidiaries. At December 31, 2013, the principal amount of the Company's subsidiaries indebtedness was approximately $3.1 million.

  • 5.125% Notes Due 2020

        On December 9, 2010, the Company completed a public offering of $250.0 million of notes with a stated interest rate of 5.125% due December 15, 2020 (the "2020 Notes"). The 2020 Notes were issued at a discount of approximately $1.1 million, resulting in proceeds to the Company of approximately $248.9 million. The 2020 Notes are presented net of the related discount in Long-term debt in the consolidated balance sheet at December 31, 2012 and 2011. Interest on the 2020 Notes will be paid each June 15 and December 15, commencing on June 15, 2011. The Company incurred costs to issue the 2020 Notes of approximately $1.9 million, inclusive of underwriters', credit rating agencies' and attorneys' fees and other costs. The issuance costs have been recorded in Other long-term assets in the consolidated balance sheet at December 31, 2013 and 2012. Both the discount and the issuance costs will be amortized to interest expense over the life of the 2020 Notes. The proceeds were utilized to re-pay borrowings under the Company's Revolving Credit Facility that were used to finance the acquisition of Hawk.

        The 2020 Notes, in whole or in part, may be redeemed at the Company's option, plus accrued and unpaid interest, at any time prior to September 15, 2020 at a price equal to the greater of:

  • 100% of the principal amount; or

    The sum of the present values of the remaining scheduled payments of principal and interest discounted to the redemption date on a semi-annual basis at the Treasury Rate plus 35 basis points.

        The 2020 Notes may also be redeemed at any time after September 15, 2020, in whole or in part, at the Company's option at 100% of the principal amount, plus accrued and unpaid interest. Upon a change-in-control triggering event, the Company will be required to offer to repurchase the 2020 Notes at 101% of the principal amount, plus accrued and unpaid interest.

        The 2020 Notes are subject to the Company's existing indenture dated January 15, 1997 with Bank of New York Mellon, as trustee, and accordingly are subject to the same restrictive covenants and limitations as the Company's existing indebtedness. The 2020 Notes are general unsecured obligations of the Company and rank equally with the Company's existing and future unsecured and unsubordinated indebtedness. The 2020 Notes are subordinate to any existing or future debt or other liabilities of the Company's subsidiaries. At December 31, 2013, the principal amount of the Company's subsidiaries indebtedness was approximately $3.1 million.

  • Revolving Credit Facilities

        On October 20, 2011, the Company entered into a Third Amended and Restated Credit Agreement ("the Credit Agreement") administered by JPMorgan Chase Bank, N.A. ("JPMorgan Chase"). On December 12, 2013, we executed an amendment to the facility ("the Amendment") to amend certain terms and extend the term of the facility to December 12, 2018. The Credit Agreement provides for a $600 million revolving line of credit.

        The new revolving credit facility provides for grid-based interest pricing based on the credit rating of the Company's senior unsecured bank debt or other unsecured senior debt. The facility requires the Company to meet various restrictive covenants and limitations including certain leverage ratios, interest coverage ratios and limits on outstanding debt balances held by certain subsidiaries.

        In addition to JPMorgan Chase, the following lenders are parties to the Credit Agreement: Wells Fargo Bank, N.A., Bank of America, N.A., SunTrust Bank, The Bank of Tokyo-Mitsubishi UFJ Ltd, Mizuho Corporate Bank (USA), T.D. Bank, N.A., HSBC Bank USA National Association and PNC Bank National Association (collectively, the "Lenders"). The following Lenders provide the Company general banking and/or investment advisory services: JPMorgan Chase, Wells Fargo Bank, Bank of America, SunTrust Bank, The Bank of Tokyo, Mizuho Bank, T.D. Bank, HSBC Bank and PNC Bank.

        At December 31, 2013, the Company had $600.0 million available under its Amended Credit Agreement. The average interest rate of the Company's revolving credit facilities for 2012 was 1.30%. There was no interest on borrowings under the revolving credit facility in 2013.

        The Company also maintains an uncommitted line of credit of which $45.0 million was available for borrowing as of December 31, 2013 and 2012. The average interest rate on the uncommitted line was 1.58% for 2012. There were no borrowings under the uncommitted facility in 2013.

        As of December 31, 2013, the Company had outstanding issued letters of credit amounting to $29.7 million. Letters of credit are issued primarily to provide security under insurance arrangements and certain borrowings. Letters of credit were previously issued under the Company's revolving credit facility and reduced the amount available for borrowings under the facility. Currently, the Company's letters of credit are issued separately from its revolving credit facility and do not affect borrowing availability under the credit facility.

  • Industrial Development and Revenue Bonds

        The industrial development and revenue bonds are collateralized by letters of credit, Company guarantees and/or by the facilities and equipment acquired through the proceeds of the related bond issuances. In December 2013, the Company repaid $1.5 million of the outstanding principal on the industrial development and revenue bonds. The weighted average interest rates on the revenue bonds for 2013 and 2012 were 1.09% and 1.22%, respectively. The Company estimates the fair value of its industrial development and revenue bonds approximates their carrying value.

  • Covenants and Limitations

        Under the Company's various debt and credit facilities, the Company is required to meet various restrictive covenants and limitations, including certain net worth, cash flow ratios and limits on outstanding debt balances held by certain subsidiaries. The Company was in compliance with all covenants and limitations in 2013 and 2012.

  • Other Matters

        Cash payments for interest were $35.0 million in 2013, $25.7 million in 2012, and $23.0 million in 2011. Interest expense, net is presented net of interest income of $0.5 million in 2013, $0.5 million in 2012, and $0.5 million in 2011.

        Regarding the Company's long-term debt, $150.0 million (excluding unamortized discount of $0.3 million) matures in 2016, $3.0 million matures in 2018, $250 million (excluding unamortized discount of $0.8 million) matures in 2020, and $350.0 million (excluding unamortized discount of $1.0 million) matures in 2022.

        At December 31, 2013, the fair value of the Company's par value $350 million, 3.75% senior notes due 2022, $250 million, 5.125% senior notes due 2020, and par value $150 million, 6.125% senior notes due 2016, using the Level 2 inputs, is approximately $326.3 million, $259.8 million and $163.8 million, respectively. Fair value is estimated based on current yield rates plus the Company's estimated credit spread available for financings with similar terms and maturities. The Company estimates that the fair value of amounts outstanding under the revolving credit facility approximates their carrying value.

Retirement Plans
Retirement Plans

Note 15—Retirement Plans

  • Defined Benefit Plans

        The Company maintains defined benefit retirement plans for certain employees. Benefits are based primarily on years of service and earnings of the employee. The Company recognizes the funded status of its defined benefit pension plans in the Consolidated Balance Sheets. The funded status is the difference between the retirement plans' projected benefit obligation and the fair value of the retirement plans' assets as of the measurement date.

        Included in Accumulated other comprehensive income, net of tax at December 31, 2013, are the following amounts that have not yet been recognized in net periodic pension costs: unrecognized actuarial losses of $44.3 million ($27.6 million, net of tax) and unrecognized prior service cost of $1.0 million ($0.6 million, net of tax). The prior service cost and actuarial loss included in Accumulated other comprehensive income and expected to be recognized in net periodic pension cost during the year ended December 31, 2014, are $0.2 million cost ($0.1 million cost, net of tax) and $3.7 million ($2.3 million, net of tax) respectively.

        The reconciliation of the beginning and ending balances of the projected pension benefit obligation, the fair value of the plan assets and the ending accumulated benefit obligation are as follows:

In millions
  2013   2012  

Funded status

             

Projected benefit obligation

             

Beginning of year

  $ 207.3   $ 214.8  

Change in benefit obligation:

             

Service cost

    5.1     4.7  

Interest cost

    8.1     9.8  

Actuarial (gain)/loss

    (5.6 )   6.5  

Settlement due to divestiture

    (18.6 )    

Benefits paid

    (16.6 )   (28.5 )
           

End of year

    179.7     207.3  
           

Fair value of plan assets

             

Beginning of year

    209.6     211.7  

Change in plan assets:

             

Actual return on plan assets

    (0.8 )   21.2  

Company contributions

    1.3     5.2  

Foreign Currency

    (0.2 )    

Benefits paid

    (16.6 )   (28.5 )
           

Sub Total

    193.3     209.6  
           

Due to AIP (estimate)

    (19.8 )    
           

End of year

    173.5     209.6  
           

(Unfunded) funded status end of year

  $ (6.2 ) $ 2.3  
           
           

Accumulated benefit obligation at end of year

  $ 175.0   $ 202.3  
           

        The accumulated benefit obligation differs from the projected pension benefit obligation in that it includes no assumption about future compensation levels. The Company's projected benefit obligation at December 31, 2013 includes approximately $17.7 million related to the Company's executive supplemental and director defined benefit pension plans. The executive supplemental and director defined benefit plans have no plan assets and the Company is not required to fund the obligations. The U.S. plans required to be funded by the Company were fully funded at December 31, 2013.

        The Company sold the assets of the Carlisle Transportation Products business on December 31, 2013. Under the terms of the sale agreement, the Company settled $18.6 million in pension liabilities and $1.2 million of other post employee benefit obligations related to certain unionized employees of the Transportation Products business, via the transfer of those liabilities to AIP. An estimated $19.8 million in pension assets are to be transferred from plan assets to AIP in 2014 under the terms of the sale agreement. A finalized asset transfer to the buyer will be performed during 2014 under the terms of the sale agreement. Assets to be transferred to the buyer will be adjusted, as determined by the Company's actuary, to take into account the actual investment return on such assets and benefit payments to plan participants from the closing date to the date of transfer. In regards to this settlement, the Company recorded $7.3 million in settlement costs, including recognition of $6.1 million of previously unrecognized actuarial losses, in discontinued operations.

        Pension obligations associated with non-unionized current and former employees of the Transportation Products business were not settled in connection with the sale. Employees transferred with the sale, including certain unionized employees, are no longer active participants in the plan and therefore the expected years of future service of participants has been curtailed and as required under ASC 715, the Company has recognized a curtailment charge, inclusive of prior service cost, of $0.8 million in discontinued operations.

        See Note 4 for further information related to the sale of the Transportation Products business.

        The fair value of the plans' assets at December 31, 2013 and 2012 by asset category are as follows:

Fair Value Measurements at December 31, 2013

Asset Category (in millions)
  Quoted Prices in
Active Markets
for Identical
Assets (Level 1)
  Significant
Observable
Inputs
(Level 2)
  Significant
Unobservable
Inputs
(Level 3)
  Total  

Cash

  $ 0.6   $   $   $ 0.6  

Mutual funds :

                         

Equity mutual funds(1)

  $ 23.8   $   $     23.8  

Fixed income mutual funds(2)

    168.9             168.9  
                   

Sub Total

  $ 193.3   $   $   $ 193.3  
                   

Due to AIP (estimate)

  $ (19.8 ) $   $     (19.8 )
                   

Total

  $ 173.5   $   $   $ 173.5  
                   

Fair Value Measurements at December 31, 2012

Asset Category (in millions)
  Quoted Prices in
Active Markets
for Identical
Assets (Level 1)
  Significant
Observable
Inputs
(Level 2)
  Significant
Unobservable
Inputs
(Level 3)
  Total  

Cash

        $   $   $  

Mutual funds:

                         

Equity mutual funds(1)

  $ 24.6   $ 1.5   $     26.1  

Fixed income mutual funds(2)

    174.3     9.2         183.5  
                   

Total

  $ 198.9   $ 10.7   $   $ 209.6  
                   
                   

(1)
This category is comprised of investments in mutual funds that invest in equity securities such as large publicly traded companies listed in the S&P 500 Index; small to medium sized companies with market capitalization in the range of the Russell 2500 Index; and foreign issuers in emerging markets.

(2)
This category is comprised of investments in mutual funds that invest in U.S. corporate and government fixed income securities, including asset-backed securities; high yield fixed income securities primarily rated BB, B, CCC, CC, C and D; and US dollar denominated debt securities of government, government related and corporate issuers in emerging market countries.

        The Company employs a liability driven investment approach whereby plan assets are invested primarily in fixed income investments to match the changes in the projected benefit obligation of funded plans that occur as a result of changes in the discount rate. Risk tolerance is established through careful consideration of projected benefit obligations, plan funded status, and the Company's other obligations and strategic investments. The established target allocation is 88% fixed income securities and 12% equity securities. Fixed income investments are diversified across core fixed income, long duration and high yield bonds. Equity investments are diversified across large capitalization U.S. and international stocks. Investment risk is measured and monitored on an ongoing basis through investment portfolio reviews, annual projected benefit liability measurements and asset/liability studies. Transfer of assets related to the sale of the Transportation Products business is not expected to impact the allocation of plan assets.

        The net asset (liability) consists of the following amounts recorded on the Company's balance sheet at December 31, 2013 and 2012:

In millions
  2013   2012  

Noncurrent assets

  $ 11.4   $ 22.6  

Current liabilities

    (1.0 )   (1.0 )

Noncurrent liabilities

    (16.6 )   (19.3 )
           

Asset (liability) at end of year

  $ (6.2 ) $ 2.3  
           
           

        The Company made contributions of $1.3 million to the pension plans during 2013, of which $1.0 million was contributed to the Company's executive supplemental and director defined benefit pension plans to pay current participant benefits as these plans have no plan assets. No minimum contributions to the pension plans were required in 2013. During 2014 the Company expects to pay approximately $1.0 million in participant benefits under the executive supplemental and director plans. In light of the plans' funded status, the Company does not expect to make discretionary contributions to its other pension plans in 2014.

        Components of net periodic benefit cost for the years ended December 31 are as follows:

In millions
  2013   2012   2011  

Service cost

  $ 5.1   $ 4.7   $ 5.2  

Interest cost

    8.1     9.8     10.7  

Expected return on plan assets

    (12.2 )   (14.1 )   (14.7 )

Settlement cost

    8.9     5.6      

Foreign Currency

            (0.1 )

Amortization of unrecognized net loss

    6.5     4.9     4.6  

Amortization of unrecognized prior service credit

    0.3     0.1     (0.1 )
               

Net periodic benefit cost

  $ 16.7   $ 11.0   $ 5.6  
               
               

        Settlement and curtailment costs totaling $8.1 million relate to the sale of the Transportation Products business on December 31, 2013 and are included in income from discontinued operations. This total consists of $7.3 million in settlement costs, including recognition of $6.1 million of previously unrecognized actuarial losses, and a $0.8 million curtailment charge, inclusive of prior service cost. See Note 4 for further information related to the sale of the Transportation Products business.

        During the fourth quarter 2012, the Company offered certain former employees who participate in the Company's core pension plan the option to receive a one-time lump sum payment equal to the present value of the participant's pension benefit. A total of $15.0 million in lump sum distributions were paid under this offer, which ended during the fourth quarter of 2012. Under Financial Accounting Standards Board ("FASB") Accounting Standard Codification ("ASC") 715, Compensation—Retirement Benefits, a portion of the unrecognized actuarial loss in Accumulated Other Comprehensive Income was recognized into earnings as the amount of total lump sum payments from the Company's core pension plan during 2012 exceeded the plan's service and interest cost during the year. As a result, the Company remeasured the plan assets and projected benefit obligation of its core plan on December 3, 2012. The assumptions that were used for the remeasurement were a discount rate of 3.75%, rate of compensation increase of 4.29%, and expected return on plan assets of 6.50%. The settlement expense of $5.6 million was included in net periodic benefit cost for the year ended December 31, 2012. An additional settlement expense of $0.7 million was recognized in 2013 related to the settlement.

        Weighted-average assumptions for benefit obligations at December 31 are as follows:

 
  2013   2012  

Discount rate

    4.43 %   4.02 %

Rate of compensation increase

    3.46 %   3.46 %

Expected long-term return on plan assets

    6.45 %   6.53 %

        Weighted-average assumptions for net periodic benefit cost for the years ended December 31 were as follows:

 
  2013   2012   2011  

Discount rate

    3.77 %   4.77 %   5.14 %

Rate of compensation increase

    4.29 %   4.29 %   4.29 %

Expected long-term return on plan assets

    6.50 %   7.00 %   7.00 %

        The Company considers several factors in determining the long-term rate of return for plan assets. Current market factors such as inflation and interest rates are evaluated and consideration is given to the diversification and rebalancing of the portfolio. The Company also looks to peer data and historical returns for reasonability and appropriateness.

  • Post-retirement Welfare Plans

        The Company also has a limited number of unfunded post-retirement welfare programs. The Company's liability for post-retirement medical benefits is limited to a maximum obligation; therefore, the Company's liability is not materially affected by an assumed health care cost trend rate.

        Included in Accumulated other comprehensive income, net of tax at December 31, 2013, are the following amounts that have not yet been recognized in net periodic retiree medical costs: unrecognized prior service cost of $0.2 million ($0.1 million, net of tax) and unrecognized net obligation of $0.3 million ($0.2 million, net of tax). The prior service cost and net obligation included in accumulated other comprehensive income and expected to be recognized in net periodic benefit cost during the year ended December 31, 2014, are $0.1 million ($0.1 million, net of tax) and $0.1 million ($0.1 million, net of tax) respectively.

        Under the terms of the sale agreement, the Company settled $1.2 million of other post employee benefit obligations, consisting primarily of post-employment life insurance benefits, by transferring those obligations to AIP. Costs in connection with this settlement consisted of $0.3 million of previously unrecognized actuarial loss in Accumulated Other Comprehensive Income recognized into earnings due to the settlement of the liability.

        The reconciliation of the beginning and ending balances of the projected post-retirement benefit obligation is as follows:

In millions
  2013   2012   2011  

Benefit obligation at beginning of year

  $ 4.5   $ 4.0   $ 3.9  

Interest cost

    0.2     0.2     0.2  

Participant contributions

        0.1     0.2  

Actuarial loss

    (0.9 )   0.7     0.1  

Benefits paid

    (0.1 )   (0.5 )   (0.4 )

Settlement due to divestiture

    (1.2 )        
               

Benefit obligation at end of year

  $ 2.5   $ 4.5   $ 4.0  
               
               

        The Company's 2013 disclosures for its post-retirement medical benefit programs are determined based on a December 31 measurement date. The net liability consists of the following amounts recorded on the Company's balance sheet at December 31, 2013 and 2012:

In millions
  2013   2012  

Current liabilities

  $ (0.2 ) $ (0.4 )

Noncurrent liabilities

    (2.3 )   (4.1 )
           

Liability at end of year

  $ (2.5 ) $ (4.5 )
           

        Company contributions in 2014 are expected to be approximately $0.2 million.

        The Company's post-retirement medical benefit obligations were determined using a weighted-average assumed discount rate of 4.51% and 3.77% at December 31, 2013 and 2012, respectively. The Company bases its discount rate assumptions on a yield curve which provides better matching of the expected future retirement plan cash flows with projected yields. The Company also utilized a weighted-average health care cost trend rate in determining the post-retirement medical benefit obligation. For the 2013 valuation, the assumed health care cost trend rate was an initial rate of 7.0% trending to an ultimate rate of 5.0% by 2017.

        Components of net periodic post-retirement benefit costs for the years ended December 31 are as follows:

In millions
  2013   2012   2011  

Interest cost

  $ 0.2   $ 0.2   $ 0.2  

Amortization of prior service cost

    0.1     0.1     0.1  

Amortization of unrecognized net obligation

    0.1     0.2     0.1  

Settlement/Curtailment expense

    0.3          
               

Net periodic benefit cost

  $ 0.7   $ 0.5   $ 0.4  
               
               

        The Company's post-retirement medical benefit cost for 2013, 2012, and 2011 was determined using a weighted-average assumed discount rate of 3.77%, 4.73%, and 5.17%, respectively.

        The following is a summary of estimated future benefits to be paid for the Company's defined benefit pension plans and post-retirement medical plans at December 31, 2013. Benefit payments are estimated based on the same assumptions used in the valuation of the projected benefit obligation.

 
  Defined Benefit
Retirement Plan
  Post-Retirement
Medical Plan
 
In millions
 
Year
 

2014

  $ 17.2   $ 0.2  

2013

    16.1     0.2  

2012

    15.1     0.2  

2011

    15.0     0.2  

2010

    14.7     0.2  

2019 - 2023

    67.5     0.9  
           

Defined Contribution and ESOP Plan

        Additionally, the Company maintains defined contribution plans covering a significant portion of its employees. Expenses for the plans were approximately $11.4 million in 2013, $11.3 million in 2012 and $10.7 million in 2011. The Company also sponsors an employee stock ownership plan ("ESOP") as part of one of its existing savings plans. Costs for the ESOP are included in the previously stated expenses. The ESOP is available to eligible domestic employees and includes a match of contributions made by plan participants to the savings plan up to a maximum of 4.00% of a participant's eligible compensation, divided between cash and an employee-directed election of the Company's common stock, not to exceed 50% of the total match, for non-union employees. Union employees' match may vary and is based on negotiated union agreements. Participants are not allowed to direct their contributions to the savings plan to an investment in the Company's common stock. A breakdown of shares held by the ESOP at December 31 is as follows:

In millions
  2013   2012   2011  

Shares held by the ESOP

    1.7     1.8     1.9  
               
Deferred Revenue and Extended Product Warranties
Deferred Revenue and Extended Product Warranties

Note 16—Deferred Revenue and Extended Product Warranties

        Deferred revenue consists primarily of unearned revenue related to separately priced extended warranty contracts on sales of certain products, the most significant being those offered on its installed roofing systems within the Construction Materials segment.

Roofing Systems Deferred Revenue

        The amount of revenue recognized related to extended product warranties covering roofing systems was $17.3 million and $21.5 million for the years ended December 31, 2013 and 2012, respectively. Deferred revenue recognized in the Consolidated Balance Sheets as of December 31 includes the following related to roofing systems extended product warranty contracts:

In millions
  2013   2012  

Deferred revenue

             

Current

  $ 17.0   $ 16.8  

Long-term

    142.8     134.2  
           

Deferred revenue liability

  $ 159.8   $ 151.0  
           
           

        Expected costs of services to be performed under extended product warranty contracts are actuarially determined. Any expected costs in excess of deferred revenue are recognized within Accrued expenses.

Other Deferred Revenue

        Other Deferred revenue recognized in the Consolidated Balance Sheets as of December 31, mainly related to contracts on brake pads, was as follows:

In millions
  2013   2012  

Deferred revenue

             

Current

  $ 0.4   $ 0.8  

Long-term

    0.8     1.2  
           

Deferred revenue liability

  $ 1.2   $ 2.0  
           
           
Standard Product Warranties
Standard Product Warranties

Note 17—Standard Product Warranties

        The Company offers various warranty programs on its products included in the price of its products, primarily certain installed roofing systems, braking products, aerospace cables and assemblies, and foodservice equipment. The Company's liability for such warranty programs is included in Accrued expenses. The change in the Company's product warranty liabilities for the period ended December 31 is as follows:

In millions
  2013   2012  

Beginning reserve

  $ 16.9   $ 19.9  

Current year provision

    16.8     12.8  

Current year claims

    (19.4 )   (15.8 )
           

Ending reserve

  $ 14.3   $ 16.9  
           
           
Other Long-Term Liabilities
Other Long-Term Liabilities

Note 18—Other Long-Term Liabilities

        The components of Other long-term liabilities at December 31 were as follows:

(in millions)
  2013   2012  

Deferred taxes and other tax liabilities

  $ 177.6   $ 198.7  

Pension and other post-retirement obligations

    18.9     23.9  

Long-term workers compensation

    17.8     17.0  

Deferred credits

    9.1     14.4  

Deferred compensation

    11.3     7.7  

Other

    1.2     1.6  
           

Total

  $ 235.9   $ 263.3  
           
           

        Deferred credits consist primarily of contingent consideration for acquisitions and liabilities related to straight-line recognition of leases.

Shareholders' Rights
Shareholders' Rights

Note 19—Shareholders' Rights

        The Company has a Shareholders' Rights Agreement that is designed to protect shareholder investment values. A dividend distribution of one Preferred Stock Purchase Right (the "Rights") for each outstanding share of the Company's common stock was declared, payable to shareholders of record on March 3, 1989. The Rights are attached to the issued and outstanding shares of the Company's common stock and will become exercisable under certain circumstances, including the acquisition of 25% of the Company's common stock, or 40% of the voting power, in which case all rights holders except the acquirer may purchase the Company's common stock at a 50% discount.

        If the Company is acquired in a merger or other business combination, and the Rights have not been redeemed, rights holders may purchase the acquirer's shares at a 50% discount. On May 26, 2006, the Company amended the Shareholders' Rights Agreement to, among other things, extend the term of the Rights until May 25, 2016.

        Common shareholders of record on May 30, 1986 are entitled to five votes per share. Common stock acquired subsequent to that date entitles the holder to one vote per share until held four years, after which time the holder is entitled to five votes per share.

Accumulated Other Comprehensive Income (Loss)
Accumulated Other Comprehensive Income (Loss)

Note 20—Accumulated Other Comprehensive Income (Loss)

        The changes in Accumulated other comprehensive loss by component for the year ended December 31, 2013, were as follows:

(in millions)
  Accrued
post-retirement
benefit liability(1)(2)
  Foreign
currency
translation
  Hedging
activities(3)
  Total  

Balance at December 31, 2012

  $ (34.1 ) $ (2.7 ) $ 1.3   $ (35.5 )

Other comprehensive income (loss) before reclassifications

    2.8     2.6         5.4  

Amounts reclassified from accumulated other comprehensive loss              

    5.9     (4.2 )   (0.5 )   1.2  

Income tax expense

    (2.8 )       0.2     (2.6 )
                   

Net other comprehensive income (loss)

    5.9     (1.6 )   (0.3 )   4.0  
                   

Balance at December 31, 2013

  $ (28.2 ) $ (4.3 ) $ 1.0   $ (31.5 )
                   
                   

        The changes in Accumulated other comprehensive loss by component for the year ended December 31, 2012, were as follows:

(in millions)
  Accrued
post-retirement
benefit liability(1)
  Foreign
currency
translation
  Hedging
activities(2)
  Total  

Balance at December 31, 2011

  $ (40.7 ) $ (5.9 ) $ 1.6   $ (45.0 )

Other comprehensive income (loss) before reclassifications

    5.1     3.2         8.3  

Amounts reclassified from accumulated other comprehensive loss

    5.3         (0.5 )   4.8  

Income tax expense

    (3.8 )       0.2     (3.6 )
                   

Net other comprehensive income (loss)

    6.6     3.2     (0.3 )   9.5  
                   

Balance at December 31, 2012

  $ (34.1 ) $ (2.7 ) $ 1.3   $ (35.5 )
                   
                   

(1)
Current period amounts related to accrued post-retirement benefit liability are related to amortization of unrecognized actuarial gains and losses which is included in net periodic benefit cost for pension and other post-retirement welfare plans. See Note 15.

(2)
Amounts reclassified from accumulated other comprehensive loss related to accrued post-retirement liabilities in 2013 include $7.3 million in settlement costs related to the transfer of pension obligations related to employees of the Transportation Products business, $0.8 million in curtailment charges related to the curtailment of future service cost for employees of the Transportation Products business, and $0.3 million in settlement costs related to the transfer of post-retirement medical benefit obligations related to employees of the Transportation Products business, all of which were recognized within income (loss) from discontinued operations.

(3)
Current period activity related to foreign currency translation includes $4.2 million of cumulative translation adjustment related to the Canadian operations of the Transportation Products business which was recognized into income (loss) from discontinued operations upon sale of the Transportation Products business on December 31, 2013.

(3)
Current period amounts related to hedging activities are a reduction to interest expense. On June 15, 2005, the Company entered into treasury lock contracts with a notional amount of $150.0 million to hedge the cash flow variability on forecasted debt interest payments associated with changes in interest rates. These contracts were designated as cash flow hedges and were deemed effective at the origination date. On August 15, 2006, the Company terminated the treasury lock contracts resulting in a gain of $5.6 million ($3.5 million, net of tax), which was deferred in accumulated other comprehensive income and is being amortized to reduce interest expense until August 2016, the term of the interest payments related to the $150.0 million in notes issued on August 18, 2006. At December 31, 2013, the Company had a remaining unamortized gain of $1.5 million ($1.0 million, net of tax) which is reflected in Accumulated other comprehensive income on the Company's Consolidated Balance Sheets.
Quarterly Financial Data (Unaudited)
Quarterly Financial Data (Unaudited)

Note 21—Quarterly Financial Data (Unaudited)

        All prior periods Results of Operations have been retrospectively adjusted to reflect the Transportation Products business as discontinued operations.

(In millions except per share data)
  First   Second   Third   Fourth   Year  

2013

                               

Net sales

  $ 629.6   $ 792.6   $ 796.8   $ 724.0   $ 2,943.0  

Gross profit

  $ 152.4   $ 207.1   $ 200.3   $ 185.8   $ 745.6  

Other expenses

  $ 97.0   $ 97.7   $ 90.7   $ 93.4   $ 378.8  

Earnings before interest and income taxes

  $ 55.4   $ 109.4   $ 109.6   $ 92.4   $ 366.8  

Income from continuing operations, net of tax

  $ 44.3   $ 64.3   $ 66.4   $ 60.2   $ 235.2  

Basic earnings per share from continuing operations

  $ 0.70   $ 1.01   $ 1.04   $ 0.94   $ 3.69  

Diluted earnings per share from continuing operations

  $ 0.68   $ 0.99   $ 1.02   $ 0.92   $ 3.61  
                       

Income (loss) from discontinued operations, net of tax

  $ 11.0   $ (56.2 ) $ 10.2   $ 9.5   $ (25.5 )

Basic income per share from discontinued operations

  $ 0.17   $ (0.88 ) $ 0.16   $ 0.15   $ (0.40 )

Diluted income per share from discontinued operations

  $ 0.17   $ (0.86 ) $ 0.15   $ 0.15   $ (0.39 )
                       

Net income

  $ 55.3   $ 8.1   $ 76.6   $ 69.7   $ 209.7  

Basic earnings per share

  $ 0.87   $ 0.13   $ 1.20   $ 1.09   $ 3.29  

Diluted earnings per share

  $ 0.85   $ 0.13   $ 1.17   $ 1.07   $ 3.22  
                       

Dividends per share

  $ 0.20   $ 0.20   $ 0.22   $ 0.22   $ 0.84  

Stock price:

                               

High

  $ 70.55   $ 68.12   $ 70.48   $ 80.21        

Low

  $ 59.19   $ 60.34   $ 62.00   $ 67.98        
                         

(In millions except per share data)
  First   Second   Third   Fourth   Year  

2012

                               

Net sales

  $ 649.4   $ 773.2   $ 745.0   $ 683.6   $ 2,851.2  

Gross profit

  $ 168.8   $ 216.5   $ 200.6   $ 181.1   $ 767.0  

Other expenses

  $ 93.5   $ 95.5   $ 97.5   $ 108.6   $ 395.1  

Earnings before interest and income taxes

  $ 75.3   $ 121.0   $ 103.1   $ 72.5   $ 371.9  

Income from continuing operations, net of tax

  $ 44.2   $ 76.1   $ 64.4   $ 44.0   $ 228.7  

Basic earnings per share from continuing operations

  $ 0.71   $ 1.21   $ 1.02   $ 0.69   $ 3.64  

Diluted earnings per share from continuing operations

  $ 0.69   $ 1.19   $ 1.00   $ 0.68   $ 3.57  
                       

Income (loss) from discontinued operations, net of tax

  $ 15.8   $ 16.7   $ 5.1   $ 3.9   $ 41.5  

Basic income per share from discontinued operations

  $ 0.25   $ 0.27   $ 0.08   $ 0.06   $ 0.66  

Diluted income per share from discontinued operations

  $ 0.25   $ 0.26   $ 0.08   $ 0.06   $ 0.65  
                       

Net income

  $ 60.0   $ 92.8   $ 69.5   $ 47.9   $ 270.2  

Basic earnings per share

  $ 0.96   $ 1.48   $ 1.10   $ 0.75   $ 4.30  

Diluted earnings per share

  $ 0.94   $ 1.45   $ 1.08   $ 0.74   $ 4.22  
                       

Dividends per share

  $ 0.18   $ 0.18   $ 0.20   $ 0.20   $ 0.76  

Stock price:

                               

High

  $ 51.16   $ 56.03   $ 55.19   $ 59.36        

Low

  $ 45.56   $ 48.69   $ 48.25   $ 51.10        
                         

        NOTE: The sum of the quarterly per share amounts may not agree to the respective annual amounts due to rounding.

Summary of Accounting Policies (Policies)

Basis of Consolidation

        The consolidated financial statements include the accounts of the Company and its subsidiaries. All material intercompany transactions and accounts have been eliminated. The Company's fiscal year-end is December 31.

        The Company has reclassified certain prior period amounts in the consolidated financial statements to be consistent with current period presentation. See Note 4 regarding the divestiture of the Transportation Products business.

Use of Estimates

        The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America ("United States" or "U.S.") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Cash Equivalents

        Debt securities with a maturity of three months or less when acquired are considered cash equivalents.

Revenue Recognition

        Revenues are recognized when persuasive evidence of an arrangement exists, goods have been shipped (or services have been rendered), the customer takes ownership and assumes risk of loss, collection is probable, and the sales price is fixed or determinable.

        Provisions for rights of return, discounts, and rebates to customers and other adjustments are provided for at the time of sale as a deduction to revenue. Costs related to standard warranties are estimated at the time of sale and recorded as a component of Cost of goods sold.

Shipping and Handling Costs

        Costs incurred to physically transfer product to customer locations are recorded as a component of cost of goods sold. Charges passed on to customers are recorded into revenue.

Receivables and Allowance for Doubtful Accounts

        Receivables are stated at net realizable value. The Company performs ongoing evaluations of its customers' current creditworthiness, as determined by the review of their credit information to determine if events have occurred subsequent to the recognition of the revenue and related receivable that provides evidence that such receivable will be realized at an amount less than that recognized at the time of sale. Estimates of net realizable value are based on historical losses, adjusting for current economic conditions and, in some cases, evaluating specific customer accounts for risk of loss. The allowance for doubtful accounts was $3.3 million at December 31, 2013 and $5.2 million at December 31, 2012. Changes in economic conditions in specific markets in which the Company operates could have an effect on reserve balances required and on the ability to recognize revenue until cash is collected or collectability is probable. The following is activity in the Company's allowance for doubtful accounts for the years ended December 31:

in millions
  2013   2012   2011  

Balance at January 1

  $ 5.2   $ 5.2   $ 4.6  

Provision charged to expense

    0.1     1.0     0.9  

Provision charged to other accounts

    (1.4 )       0.3  

Amounts written off, net of recoveries

    (0.6 )   (1.0 )   (0.6 )
               

Balance at December 31

  $ 3.3   $ 5.2   $ 5.2  
               

Inventories

        Inventories are valued at the lower of cost or market with cost determined primarily on an average cost basis. Cost of inventories includes direct as well as certain indirect costs associated with the acquisition and production process. These costs include raw materials, direct and indirect labor, and manufacturing overhead. Manufacturing overhead includes materials, depreciation and amortization related to property, plant and equipment and other intangible assets used directly and indirectly in the acquisition and production of inventory, and costs related to the Company's distribution network such as inbound freight charges, purchasing and receiving costs, inspection costs, warehousing costs, internal transfer costs, and other such costs associated with preparing the Company's products for sale.

Deferred Revenue and Extended Product Warranty

        The Company offers extended warranty contracts on sales of certain products; the most significant being those offered on its installed roofing systems within the Construction Materials segment. The lives of these warranties range from five to thirty years. All revenue for the sale of these contracts is deferred and amortized on a straight-line basis over the life of the contracts. Current costs of services performed under these contracts are expensed as incurred. The Company also records reserve within Accrued expenses if the total expected costs of providing services at a product line level exceed unearned revenues. Total expected costs of providing extended product warranty services are actuarially determined using standard quantitative measures based on historical claims experience and management judgment. See Note 16.

Property, Plant and Equipment

        Property, plant and equipment are stated at cost. Costs allocated to property, plant and equipment of acquired companies are based on estimated fair value at the date of acquisition. Depreciation is principally computed on the straight-line basis over the estimated useful lives of the assets. Depreciation includes the amortization of capital leases. Asset lives are 20 to 40 years for buildings, 5 to 15 years for machinery and equipment, and 3 to 10 years for leasehold improvements.

Valuation of Long-Lived Assets

        Long-lived assets or asset groups, including amortizable intangible assets, are tested for impairment whenever events or circumstances indicate that the carrying amount of the asset or asset group may not be recoverable. For purposes of testing for impairment, the Company groups its long-lived assets classified as held and used at the lowest level for which identifiable cash flows are largely independent of the cash flows from other assets and liabilities. The Company's asset groupings vary based on the related business in which the long-lived asset is employed and the interrelationship between those long-lived assets in producing net cash flows; for example, multiple manufacturing facilities may work in concert with one another or may work on a stand-alone basis to produce net cash flows. The Company utilizes its long-lived assets in multiple industries and economic environments and its asset groupings reflect these various factors. The following are examples of events or changes in circumstances that the Company considers:

  • Significant decrease in the market price of a long-lived asset (asset group)

    Significant change in the extent or manner in which a long-lived asset (asset group) is being used or in its physical condition

    Significant adverse change in the legal factors or business climate that could affect the value of a long-lived asset (asset group), including an adverse assessment by a regulator

    Accumulation of costs significantly in excess of the amount originally expected for the acquisition or construction of a long-lived asset (asset group)

    Current-period operating or cash flow loss combined with a history of operating or cash flow losses, or a projection or forecast that demonstrates continuing losses associated with the use of a long-lived asset (asset group)

    Current expectation that, more likely than not, a long-lived asset (asset group) will be sold or otherwise disposed of significantly before the end of its previously estimated useful life

        The Company monitors the operating and cash flow results of its long-lived assets or asset groups classified as held and used to identify whether events and circumstances indicate the remaining useful lives of those assets should be adjusted, or if the carrying value of those assets or asset groups may not be recoverable. In the event indicators of impairment are identified, undiscounted estimated future cash flows are compared to the carrying value of the long-lived asset or asset group. If the undiscounted estimated future cash flows are less than the carrying amount, the Company determines the fair value of the asset or asset group and records an impairment charge in current earnings to the extent carrying value exceeds fair value. Fair values may be determined based on estimated discounted cash flows, by prices for like or similar assets in similar markets, or a combination of both. There are currently no long-lived assets or asset groups classified as held and used for which the related undiscounted cash flows do not substantially exceed their carrying amounts.

        Long-lived assets or asset groups that are part of a disposal group that meets the criteria to be classified as held for sale are not assessed for impairment but rather if fair value, less cost to sell, of the disposal group is less than its carrying value a loss is recorded against the disposal group.

Lease Arrangements

        The Company is a party to various lease arrangements that include scheduled rent increases, rent holidays, or may provide for contingent rentals or incentive payments to be made to the Company as part of the terms of the lease. Scheduled rent increases and rent holidays are included in the determination of minimum lease payments when assessing lease classification and, along with any lease incentives, are included in rent expense on a straight-line basis over the lease term. Scheduled rent increases that are dependent upon a change in an index or rate such as the consumer price index or prime rate are included in the determination of rental expense at the time the rate or index changes. Contingent rentals are excluded from the determination of minimum lease payments when assessing lease classification and are included in the determination of rent expense when the event that will require additional rents is considered probable. See Note 13 for further information regarding rent expense.

Contingencies and Insurance Recoveries

        The Company is exposed to losses related to various potential claims from third-parties related to its employee obligations and other matters in the normal course of business, including litigation. The Company records a liability related to such potential claims, both those reported to the Company and incurred but not yet reported, when probable and reasonably estimable and with respect to workers' compensation obligations utilizes actuarial models to estimate the ultimate total cost of such claims, primarily based on historical loss experience and expectations about future costs of providing workers compensation benefits.

        As part of its risk management strategy, the Company maintains occurrence-based insurance contracts related to certain contingent losses primarily workers' compensation, medical and dental, general liability, property, and product liability claims up to applicable retention limits. The Company records a recovery under these insurance contracts when such recovery is deemed probable. See Note 13.

Goodwill and Other Intangible Assets

        Intangible assets are recognized and recorded at their acquisition-date fair values. Intangible assets that are subject to amortization are amortized on a straight-line basis over their useful lives. Definite-lived intangible assets consist primarily of acquired customer relationships and patents, in addition to non-compete agreements and intellectual property. The Company determines the useful life of its customer relationship intangible assets based on multiple factors including the size and make-up of the acquired customer base, the expected dissipation of those customers over time, the Company's own experience in the particular industry, the impact of known trends such as technological obsolescence, product demand, or other factors, and the period over which expected cash flows are used to measure the fair value of the intangible asset at acquisition. The Company periodically re-assesses the useful lives of its customer relationship intangible assets when events or circumstances indicate that useful lives have significantly changed from the previous estimate.

        Intangible assets with indefinite useful lives are not amortized but are tested annually, or more often if impairment indicators are present, for impairment via a one-step process by comparing the fair value of the intangible asset with its carrying value. If the intangible asset's carrying value exceeds its fair value, an impairment charge is recorded in current earnings for the difference. The Company estimates the fair value of its indefinite-lived intangible assets based on the income approach utilizing the discounted cash flow method. The Company's annual testing date for indefinite-lived intangible assets is October 1. The Company periodically re-assesses indefinite-lived intangible assets as to whether their useful lives can be determined and if so, begins amortizing any applicable intangible asset.

        Goodwill is not amortized but is tested annually, or more often if impairment indicators are present, for impairment at a reporting unit level. The Company's annual testing date for goodwill is October 1. The Company has determined that its operating segments are its reporting units.

        First, goodwill is tested for impairment by comparing the fair value of the reporting unit with the reporting unit's carrying amount to identify any potential impairment. If fair value is determined to be less than carrying value, a second step is used whereby the implied fair value of the reporting unit's goodwill, determined through a hypothetical purchase price allocation, is compared with the carrying amount of the reporting units' goodwill. If the implied fair value of the reporting units' goodwill is less than its carrying amount, an impairment charge is recorded in current earnings for the difference. The Company also assesses the recoverability of goodwill if facts and circumstances indicate goodwill may be impaired.

        See Note 12 for more information regarding goodwill and other intangible assets.

Pension and Other Post Retirement Benefits

        The Company maintains defined benefit pension plans for certain employees. Additionally, the Company has a limited number of post-retirement benefit programs that provide certain retirees with medical and prescription drug coverage. The annual net periodic expense and benefit obligations related to these plans are determined on an actuarial basis annually on December 31, unless a remeasurement event occurs in an interim period. This determination requires assumptions to be made concerning general economic conditions (particularly interest rates), expected return on plan assets, increases to compensation levels, and health care cost trends. These assumptions are reviewed periodically by management in consultation with its independent actuary. Changes in the assumptions to reflect actual experience can result in a change in the net periodic expense and accrued benefit obligations. The defined benefit pension plans' assets are measured at fair value annually on December 31, unless a remeasurement event occurs in an interim period. Such assets consist primarily of equity and fixed income mutual funds that are primarily considered Level 1 assets under the fair value hierarchy, as their fair value is derived from market observable data. The Company uses the market related valuation method to determine the value of plan assets for purposes of determining the expected return on plan assets component of net periodic benefit cost. The market related valuation method recognizes the change of the fair value of the plan assets over five years. If actual experience differs from these long-term assumptions, the difference is recorded as an unrecognized actuarial gain (loss) and then amortized into earnings over a period of time based on the average future service period, which may cause the expense related to providing these benefits to increase or decrease. See Note 15 for additional information regarding these plans and the associated plan assets.

Derivative Financial Instruments

        The Company records derivative financial instruments at fair value on the balance sheet, with changes in fair value recorded currently in earnings unless the Company elects to and qualifies to account for the derivative as either a fair value hedge or a cash flow hedge, depending upon the type of risk being hedged. If the Company elects to designate a derivative as a fair value hedge and it is highly effective, the changes in the fair value of the derivative and of the hedged item attributable to the hedged risk are recognized in earnings. If a fair value hedge is terminated before maturity, the adjusted carrying amount of the hedged asset or liability remains as a component of the carrying amount of that asset or liability until it is disposed. If the hedged item is an interest-bearing financial instrument, the adjusted carrying amount is amortized into earnings over the remaining life of the instrument. If the Company elects to designate the derivative as a cash flow hedge and it is highly effective, the effective portions of changes in the fair value of the derivative are recorded in other comprehensive income and are recognized in the income statement when the hedged item affects earnings. Ineffective portions of changes in the fair value of cash flow hedges are recognized currently in earnings.

        The Company is subject to market risk from exposures to changes in interest rates due to its financing, investing, and cash management activities. The Company uses treasury lock contracts, interest rate swap agreements, or other derivative instruments from time to time to manage the interest rate risk of its floating and fixed rate debt portfolio. The Company, on a periodic basis, assesses the initial and ongoing effectiveness of its hedging relationships. As of December 31, 2013, the Company had not entered into any derivative financial instruments to hedge interest rate risk.

        Foreign exchange forward contracts at December 31, 2013 relate to contracts held for purposes of mitigating the Company's exposure to fluctuations in foreign exchange rates, resulting from assets or liabilities that are held by certain of its operating subsidiaries in currencies other than the subsidiary's functional currency. The Company had foreign exchange forward contracts with an aggregate notional amount of $2.1 million outstanding as of December 31, 2013, with scheduled maturities of $2.1 million during 2014. The fair value of open contracts was $0.2 million as of December 31, 2013. Approximately 23% of the Company's revenues from continuing operations for the year ended December 31, 2013 are from countries other than the U.S.

Selling and Administrative Expenses

        Selling and administrative expenses includes wages and benefits related to the Company's sales force, its administrative functions such as corporate management and other indirect costs not allocated to inventories, including a portion of depreciation and amortization.

Income Taxes

        Income taxes are recorded in accordance with ASC 740, Income Taxes, which includes an estimate of taxes payable or refundable for the current year and deferred tax liabilities and assets for the future tax consequences of events that have been recognized in the Company's financial statements or tax returns. Deferred tax assets and liabilities reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes.

        The amount of income tax that the Company pays annually is dependent on various factors, including the timing of certain deductions and ongoing audits by federal, state and foreign tax authorities, which may result in proposed adjustments.

Stock-Based Compensation

        The Company accounts for stock-based compensation under the fair-value method. Accordingly, equity classified stock-based compensation cost is measured at the grant date, based on the fair value of the award, and is recognized as expense over the requisite service period, which generally matches the stated vesting period of the award, but may also be shorter if the employee is retirement-eligible and under the award's terms may fully-vest upon retirement from the Company. The Company recognizes expense for awards that have graded vesting features under the graded vesting method, which considers each separately vesting tranche as though they were, in substance, multiple awards.

Foreign Currency Translation

        The functional currency of the Company's subsidiaries outside the United States is the currency of the primary economic environment in which the subsidiary operates. Assets and liabilities of these operations are translated at the exchange rate in effect at each balance sheet date. Income statement accounts are translated at the average rate of exchange prevailing during the year. Translation adjustments arising from the use of differing exchange rates from period to period are included as a component of shareholders' equity in Accumulated other comprehensive income. Gains and losses from foreign currency transactions and from the remeasurement of monetary assets and liabilities and associated income statement activity of foreign subsidiaries where the functional currency is the U.S. Dollar and the books are maintained in the local currency are included in Other expense (income), net.

Summary of Accounting Policies (Tables)
Schedule for Company's allowance for doubtful accounts

 

in millions
  2013   2012   2011  

Balance at January 1

  $ 5.2   $ 5.2   $ 4.6  

Provision charged to expense

    0.1     1.0     0.9  

Provision charged to other accounts

    (1.4 )       0.3  

Amounts written off, net of recoveries

    (0.6 )   (1.0 )   (0.6 )
               

Balance at December 31

  $ 3.3   $ 5.2   $ 5.2  
               
Segment Information (Tables)

Sales by region for the years ended December 31 are as follows (in millions):

Country
  2013   2012   2011  

United States

  $ 2,260.8   $ 2,206.0   $ 1,997.6  

International:

                   

Europe

    330.4     315.9     233.5  

Asia

    126.3     117.3     104.4  

Canada

    90.1     82.6     76.6  

Mexico and Latin America

    69.7     65.8     26.5  

Middle East and Africa

    47.4     46.6     43.4  

Other

    18.3     17.0     10.4  
               

Net sales

  $ 2,943.0   $ 2,851.2   $ 2,492.4  
               

  Long-lived assets, comprised of net property, plant and equipment, goodwill and other intangible assets, investments and other long-term assets, located in the United States and foreign countries are as follows (in millions):

Country
  2013   2012   2011  

Long-lived asset held and used:

                   

United States

  $ 1,479.6   $ 1,735.1   $ 1,428.1  

Europe

    343.5     331.6     334.6  

Asia

    77.1     127.4     130.8  

United Kingdom

    55.7     55.5     27.4  

Canada

    1.1     1.2     1.4  

Mexico

    1.0     1.2     1.5  
               

Total long-lived asset

  $ 1,958.0   $ 2,252.0   $ 1,923.8  
               
               

 

In millions
  Sales(1)   EBIT   Assets(2)   Depreciation
and
Amortization
  Capital
Spending
 

2013

                               

Carlisle Construction Materials

  $ 1,776.5   $ 264.0   $ 886.9   $ 31.0   $ 64.5  

Carlisle Interconnect Technologies

    577.7     89.4     1,017.5     34.4     12.2  

Carlisle Brake & Friction

    350.0     33.5     603.7     21.3     10.4  

Carlisle FoodService Products

    238.8     27.0     193.2     7.7     10.8  

Corporate

        (47.1 )   791.4     1.7      
                       

Total

  $ 2,943.0   $ 366.8   $ 3,492.7   $ 96.1   $ 97.9  
                       
                       

2012

                               

Carlisle Construction Materials

  $ 1,695.8   $ 273.4   $ 860.4   $ 27.9   $ 81.5  

Carlisle Interconnect Technologies

    463.1     69.1     1,075.7     24.6     19.2  

Carlisle Brake & Friction

    449.0     75.6     625.7     20.2     19.8  

Carlisle FoodService Products

    243.3     12.3     190.1     9.1     4.9  

Corporate

        (58.5 )   132.3     1.7     1.6  
                       

Total

  $ 2,851.2   $ 371.9   $ 2,884.2   $ 83.5   $ 127.0  
                       
                       

2011

                               

Carlisle Construction Materials

    1,484.0     177.9     774.4   $ 23.7   $ 21.1  

Carlisle Interconnect Technologies

    299.6     41.9     782.1     12.9     14.8  

Carlisle Brake & Friction

    473.0     77.2     665.8     20.2     16.8  

Carlisle FoodService Products

    235.8     13.2     206.8     9.2     5.1  

Corporate

        (44.2 )   116.4     1.7     0.2  
                       

Total

  $ 2,492.4   $ 266.0   $ 2,545.5   $ 67.7   $ 58.0  
                       
                       

(1)
Excludes intersegment sales

(2)
Corporate assets include assets of discontinued operations not classified as held for sale

 

 
  2013   2012  

Assets per table above

  $ 3,492.7   $ 2,884.2  

Assets held for sale of discontinued operations (Note 4)

    0.3     573.1  
           

Total Assets per Consolidated Balance Sheets

  $ 3,493.0   $ 3,457.3  
           
           


 

 
  2013   2012   2011  

Depreciation and amortization per table above

  $ 96.1   $ 83.5   $ 67.7  

Depreciation and amortization of discontinued operations

    17.8     21.4     20.3  
               

Total depreciation and amortization

  $ 113.9   $ 104.9   $ 88.0  
               
               


 

 
  2013   2012   2011  

Capital spending per table above

  $ 97.9   $ 127.0   $ 58.0  

Capital spending of discontinued operations

    12.9     13.4     21.6  
               

Total capital spending

  $ 110.8   $ 140.4   $ 79.6  
               
               
Acquisitions (Tables)

 

 
   
  Measurement
Period
Adjustments
  Final
Allocation
 
 
  Preliminary
Allocation
 
 
  Twelve Months
Ended 12/17/2013
  As of
12/17/2013
 
(in millions)
  12/31/2012  

Total cash consideration transferred

  $ 265.6   $   $ 265.6  
               
               

Recognized amounts of identifiable assets acquired and liabilities assumed:

                   

Cash & cash equivalents

  $ 0.1   $   $ 0.1  

Receivables

    14.3         14.3  

Inventories

    15.4         15.4  

Prepaid expenses and other current assets

    0.9         0.9  

Property, plant and equipment

    7.2         7.2  

Definite-lived intangible assets

    135.1         135.1  

Indefinite-lived intangible assets

    9.1         9.1  

Accounts payable

    (12.0 )       (12.0 )

Accrued expenses

    (2.6 )       (2.6 )

Net deferred tax liabilities

    (2.8 )   1.8     (1.0 )
               

Total identifiable net assets

    164.7     1.8     166.5  
               

Goodwill

  $ 100.9   $ (1.8 ) $ 99.1  
               
               

 

 
  Preliminary
Allocation
  Measurement
Period
Adjustments
  Final
Allocation
 
(in millions)
  As of
3/31/2012
  Twelve Months
Ended 3/9/2013
  As of
3/9/2013
 

Total cash consideration transferred

  $ 49.3   $ (0.3 ) $ 49.0  
               
               

Recognized amounts of identifiable assets acquired and liabilities assumed:

                   

Cash & cash equivalents

  $ 0.1   $   $ 0.1  

Receivables

    3.7         3.7  

Inventories

    10.5     (1.0 )   9.5  

Prepaid expenses and other current assets

    0.2         0.2  

Property, plant and equipment

    13.0     (0.1 )   12.9  

Definite-lived intangible assets

    9.9     4.8     14.7  

Indefinite-lived intangible assets

    2.6     5.4     8.0  

Other long-term assets

    0.3         0.3  

Accounts payable

    (3.3 )       (3.3 )

Accrued expenses

    (2.5 )       (2.5 )

Long-term debt

    (1.3 )       (1.3 )

Deferred tax liabilities

    (4.4 )   (2.3 )   (6.7 )

Other long-term liabilities

    (0.1 )       (0.1 )
               

Total identifiable net assets

    28.7     6.8     35.5  
               

Goodwill

  $ 20.6   $ (7.1 ) $ 13.5  
               
               

 

 
  Preliminary
Allocation
  Measurement
Period
Adjustments
  Final
Allocation
 
(in millions)
  As of
12/31/2011
  Twelve Months
Ended 12/2/2012
  As of
12/2/2012
 

Total cash consideration transferred

  $ 288.9   $ 0.4   $ 289.3  
               
               

Recognized amounts of identifiable assets acquired and liabilities assumed:

                   

Cash & cash equivalents

  $ 4.5   $   $ 4.5  

Receivables

    14.0         14.0  

Inventories

    22.8         22.8  

Prepaid expenses and other current assets

    5.6         5.6  

Property, plant and equipment

    15.4     (2.1 )   13.3  

Definite-lived intangible assets

    112.0     9.5     121.5  

Indefinite-lived intangible assets

    28.0     (8.6 )   19.4  

Other long-term assets

    0.1         0.1  

Accounts payable

    (6.5 )       (6.5 )

Accrued expenses

    (4.4 )       (4.4 )

Deferred tax liabilities

    (58.9 )   3.4     (55.5 )

Other long-term liabilities

    (0.4 )       (0.4 )
               

Total identifiable net assets

    132.2     2.2     134.4  
               

Goodwill

  $ 156.7   $ (1.8 ) $ 154.9  
               
               

 

 
  Preliminary
Allocation
  Measurement
Period
Adjustments
  Final
Allocation
 
(in millions)
  As of
12/31/2011
  Twelve
Months
Ended
8/1/2012
  As of
8/1/2012
 

Consideration transferred:

                   

Cash consideration

  $ 113.4   $   $ 113.4  

Contingent consideration

    5.2         5.2  
               

Total fair value of consideration transferred

  $ 118.6   $   $ 118.6  
               
               

Recognized amounts of identifiable assets acquired and liabilities assumed:

                   

Cash & cash equivalents

  $ 7.6   $   $ 7.6  

Receivables

    12.2         12.2  

Inventories

    10.5         10.5  

Prepaid expenses and other current assets

    0.8         0.8  

Current assets held for sale

    3.6         3.6  

Property, plant and equipment

    3.4         3.4  

Definite-lived intangible assets

    57.1         57.1  

Indefinite-lived intangible assets

    6.9         6.9  

Other long-term assets

    0.1         0.1  

Non-current assets held for sale

    21.6     (0.6 )   21.0  

Accounts payable

    (9.0 )       (9.0 )

Accrued expenses

    (1.2 )       (1.2 )

Current liabilities associated with assets held for sale

             

Deferred tax liabilities

    (21.5 )       (21.5 )

Other long-term liabilities

    (3.3 )       (3.3 )
               

Total identifiable net assets

    88.8     (0.6 )   88.2  
               

Goodwill

  $ 29.8   $ 0.6   $ 30.4  
               
               
Discontinued Operations and Assets Held for Sale (Tables)
Schedule of major classes of assets held for sale and the liabilities associated with those assets

 

In millions
  December 31,
2013
  December 31,
2012
 

Assets held for sale:

             

Receivables

  $   $ 74.4  

Deferred income taxes

        6.5  

Inventories

        213.0  

Prepaid expenses and other current assets

        1.7  
           

Total current assets held for sale

        295.6  

Property, plant and equipment, net

   
0.3
   
171.9
 

Goodwill

        100.0  

Other long term assets

          5.6  
           

Total non-current assets held for sale

    0.3     277.5  
           

Total assets held for sale

  $ 0.3   $ 573.1  
           
           

Liabilities associated with assets held for sale:

             

Accounts payable

  $   $ 53.8  

Accrued expenses

        20.7  
           

Total current liabilities associated with assets held for sale

        74.5  

Total non-current liabilities associated with assets held for sale

   
   
47.6
 
           

Total liabilities associated with assets held for sale

  $   $ 122.1  
           
           
Exit and Disposal Activities (Tables)

 

In millions
  2013   2012   2011  

Cost of goods sold

  $ 1.0   $ 2.2   $ 0.6  

Selling and administrative expenses

        0.2     0.9  

Other (income) expense, net

    0.3     3.8      
               

Total exit and disposal costs

  $ 1.3   $ 6.2   $ 1.5  
               

 

In millions
  2013   2012   2011  

Termination benefits

  $ 0.5   $ 1.7   $ 0.5  

Impairments

    0.3     4.0      

Other associated costs

    0.5     0.5     1.0  
               

Total exit and disposal costs

  $ 1.3   $ 6.2   $ 1.5  
               
               

 

In millions
  Termination
Benefits
  Impairments   Other
associated
costs
  Total  

Balance at December 31, 2011

  $ 0.5   $   $ 0.4   $ 0.9  

2012 charges

    1.7     4.0     0.5     6.2  

2012 usage

    (0.8 )   (4.0 )   (0.3 )   (5.1 )
                   

Balance at December 31, 2012

    1.4         0.6     2.0  
                   

2013 charges

    0.5     0.2     0.6     1.3  

2013 usage

    (1.5 )   (0.2 )   (1.1 )   (2.8 )
                   

Balance at December 31, 2013

  $ 0.4   $   $ 0.1   $ 0.5  
                   

 

In millions
  2013   2012   2011  

Total by segment

                   

Carlisle Construction Materials

  $   $ 0.8   $  

Carlisle Brake & Friction

    0.9     0.1     1.5  

Carlisle FoodService Products

    0.4     5.3      
               

Total exit and disposal costs

  $ 1.3   $ 6.2   $ 2.6  
               
Stock-Based Compensation (Tables)

 

 
  Years Ended December 31  
(in millions, except per share amounts)
  2013   2012   2011  

Pre-tax compensation expense

  $ 4.9   $ 7.5   $ 6.6  

After-tax compensation expense

  $ 3.0   $ 4.7   $ 4.1  

Impact on diluted EPS

  $ 0.05   $ 0.07   $ 0.07  

 

 
  Years Ended December 31  
 
  2013   2012   2011  

Expected dividend yield

    1.2 %   1.5 %   1.7 %

Expected life in years

    5.71     5.78     5.76  

Expected volatility

    32.2 %   36.0 %   32.0 %

Risk-free interest rate

    1.0 %   0.9 %   2.2 %

Weighted average fair value

  $ 17.58   $ 14.57   $ 10.61  

 

 

 
  Number of
Shares
  Weighted Average
Exercise Price
 

Outstanding at December 31, 2010

    4,235,303   $ 30.38  

Options granted

    637,255     38.23  

Options exercised

    (552,639 )   27.61  

Options forfeited

    (227,404 )   29.13  
           

Outstanding at December 31, 2011

    4,092,515   $ 32.05  

Options granted

    488,805     49.58  

Options exercised

    (1,265,768 )   28.45  

Options forfeited

    (90,421 )   39.67  
           

Outstanding at December 31, 2012

    3,225,131   $ 35.88  
           

Options granted

    283,975     64.80  

Options exercised

    (472,040 )   33.81  

Options forfeited

    (44,059 )   48.47  
           

Outstanding at December 31, 2013

    2,993,007   $ 38.76  
           
           

 

 

 
  Number of
Shares
  Weighted Average
Grant Date
Fair Value
 

Outstanding at December 31, 2010

    624,640   $ 28.10  
           

Shares granted

    111,685     38.31  

Shares vested

    (188,195 )   34.80  

Shares forfeited

    (19,555 )   20.33  
           

Outstanding at December 31, 2011

    528,575   $ 27.83  
           

Shares granted

    85,990     49.60  

Shares vested

    (305,850 )   21.82  

Shares forfeited

    (24,480 )   12.18  
           

Outstanding at December 31, 2012

    284,235   $ 25.99  
           

Shares granted

    71,255     64.80  

Shares vested

    (109,445 )   34.08  

Shares forfeited

    (5,055 )   47.85  
           

Outstanding at December 31, 2013

    240,990   $ 49.66  
           
           

 

 
  Number of
Performance
Units
  2013
Awards
  2012
Awards
  2011
Awards
  2010
Awards
 

Outstanding at December 31, 2010

    98,835                 98,835  

Units granted

    109,075             109,075      

Units forfeited

    (10,255 )           (6,135 )   (4,120 )
                       

Outstanding at December 31, 2011

    197,655             102,940     94,715  
                       
                       

Units granted

    85,990         85,990          

Units converted to shares

    86,385                 86,385  

Units vested and issued

    (90,832 )               (90,832 )

Units vested and deferred

    (24,388 )               (24,388 )

Units forfeited

    (24,080 )       (6,650 )   (9,100 )   (8,330 )
                       

Outstanding at December 31, 2012

    230,730         79,340     93,840     57,550  
                       
                       

Units granted

    71,255     71,255              

Units converted to shares

    89,610             89,610      

Units vested and issued

    (45,544 )               (45,544 )

Units vested and deferred

    (12,006 )               (12,006 )

Units forfeited

    (5,055 )   (1,080 )   (1,745 )   (2,230 )    
                       

Outstanding at December 31, 2013

    328,990     70,175     77,595     181,220      
                       
                       
Income Taxes (Tables)

 

In millions
  2013   2012   2011  

Continuing operations

                   

U.S. domestic

  $ 291.9   $ 311.8   $ 220.0  

Foreign

    41.1     34.6     25.0  
               

Total pre-tax income from continuing operations

    333.0     346.4     245.0  
               

Discontinued operations

                   

U.S. domestic

    (132.4 )   40.6     (4.6 )

Foreign

    71.9     14.6     11.1  
               

Total pre-tax income (loss) from discontinued operations

    (60.5 )   55.2     6.5  
               

Total pre-tax income

  $ 272.5   $ 401.6   $ 251.5  
               

 

In millions
  2013   2012   2011  

Current expense

                   

Federal and State

  $ 97.2   $ 114.1   $ 65.3  

Foreign

    21.9     14.2     11.0  
               

Total current expense

    119.1     128.3     76.3  
               

Deferred expense (benefit)

                   

Federal and State

    (8.2 )   (6.3 )   5.0  

Foreign

    (13.1 )   (4.3 )   (8.3 )
               

Total deferred expense (benefit)

    (21.3 )   (10.6 )   (3.3 )
               

Total tax expense

  $ 97.8   $ 117.7   $ 73.0  
               
               

 

In millions
  2013   2012   2011  

Taxes at the 35% U.S. statutory rate

  $ 116.6   $ 121.2   $ 85.8  

State and local taxes, net of federal income tax benefit

    6.2     6.4     4.5  

Benefit of foreign earnings taxed at lower rates

    (3.0 )   (2.2 )   (0.1 )

Benefit for domestic manufacturing deduction

    (9.7 )   (10.5 )   (6.9 )

Benefits from state tax incentives

    (1.3 )        

Benefit associated with foreign reorganization

    (11.8 )   1.0     (5.0 )

Change in valuation allowances

    0.8     (2.2 )    

Other, net

        4.0     (5.3 )
               

Tax expense

  $ 97.8   $ 117.7   $ 73.0  
               
               

Effective income tax rate on continuing operations

    29.4 %   34.0 %   29.8 %
               

 

In millions
  2013   2012  

Deferred revenue

  $ 20.2   $ 18.8  

Warranty reserves

    4.1     4.5  

Inventory reserves

    9.1     11.0  

Doubtful receivables

    1.9     4.1  

Employee benefits

    41.0     30.0  

Foreign loss carry forwards

    6.2     8.7  

Deferred state tax attributes

    18.2     14.7  

Other, net

    9.8     2.7  
           

Gross deferred assets

    110.5     94.5  
           

Valuation allowances

    (13.5 )   (10.3 )
           
           

Deferred tax assets after valuation allowances

  $ 97.0   $ 84.2  
           
           

Depreciation

    (52.4 )   (53.4 )

Amortization

    (43.2 )   (35.1 )

Acquired identifiable intangibles

    (127.6 )   (140.7 )

Other, net

        (1.0 )
           

Gross deferred liabilities

    (223.2 )   (230.2 )
           

Net deferred tax liabilities

  $ (126.2 ) $ (146.0 )
           

 

In millions
  2013   2012  

Deferred income taxes

  $ 35.7   $ 37.3  

Accrued expenses

  $ (0.8 )    

Other long-term assets

    4.9     4.9  

Other long-term liabilities

    (166.0 )   (188.2 )
           

Net deferred tax liabilities

  $ (126.2 ) $ (146.0 )
           

 

In millions
  2013   2012   2011  

Indefinitely reinvested

  $ 403.8   $ 300.5   $ 266.9  

Not indefinitely reinvested

            0.9  
               

Total

  $ 403.8   $ 300.5   $ 267.8  
               

 

In millions
  2013   2012   2011  

Balance at January 1

  $ 9.3   $ 9.6   $ 13.1  

Additions based on tax positions related to current year

    1.3     1.5     1.8  

Additions (reductions) related to purchase accounting

        1.6     (2.8 )

Adjustments for tax positions of prior years

    1.6     (0.4 )   0.2  

Reductions due to statute of limitations

    (2.0 )   (2.4 )   (2.6 )

Reductions due to settlementss

        (0.6 )   (0.1 )
               

Balance at December 31

    10.2   $ 9.3   $ 9.6  
               
Earnings Per Share (Tables)

 

In millions, except share and per share amounts
  2013   2012   2011  

Numerator:

                   

Income from continuing operations

  $ 235.2   $ 228.7   $ 172.0  

Less: dividends declared—common stock outstanding, unvested restricted shares and restricted share units

    (53.7 )   (48.0 )   (43.5 )
               

Undistributed earnings

    181.5     180.7     128.5  

Percent allocated to common shareholders(1)

    99.5 %   99.4 %   99.0 %
               

 

    180.6     179.7     127.3  

Add: dividends declared—common stock

    53.4     47.7     43.1  
               

Numerator for basic and diluted EPS

  $ 234.0   $ 227.4   $ 170.4  
               
               

Denominator (in thousands):

                   

Denominator for basic EPS: weighted-average common shares outstanding

    63,471     62,513     61,457  

Effect of dilutive securities:

                   

Performance awards

    416     399     318  

Stock options

    919     698     720  
               

Denominator for diluted EPS: adjusted weighted average common shares outstanding and assumed conversion

    64,806     63,610     62,495  
               
               

Per share income from continuing operations:

                   

Basic

  $ 3.69   $ 3.64   $ 2.77  
               
               

Diluted

  $ 3.61   $ 3.57   $ 2.73  
               
               

 
   
   
   
   
 

(1)

 

Basic weighted-average common shares outstanding

    63,471     62,513     61,457  

 

 

Basic weighted-average common shares outstanding, unvested restricted shares expected to vest and restricted share units

    63,797     62,871     62,047  
                   

 

 

Percent allocated to common shareholders

    99.5 %   99.4 %   99.0 %
                   
                   

 

In millions, except share amounts
  2013   2012   2011  

Income (loss) from discontinued operations attributable to common shareholders for basic and diluted earnings per share

  $ (25.4 ) $ 41.2   $ 8.2  

Net income attributable to common shareholders for basic and diluted earnings per share

  $ 208.6   $ 268.5   $ 178.6  

Antidilutive stock options excluded from EPS calculation(1)

            200.0  

(1)
Represents stock options excluded from the calculation of diluted earnings per share as such options had exercise prices in excess of the weighted-average market price of the Company's common stock during these periods. Amounts in thousands.
Fair Value Measurements (Tables)
Schedule of assets and liabilities measured at fair value on a recurring basis

 

In millions
  Balance at
December 31,
2013
  Quoted Prices
In Active
Markets for
Identical
Assets Level 1
  Significant
Other
Observable
Inputs
Level 2
  Significant
Unobservable
Inputs
Level 3
 

Cash and cash equivalents

  $ 754.5   $ 754.5   $   $  

Short-term investments

    1.4     1.4          

Foreign currency forward contracts

    0.2         0.2      
                   

Total assets measured at fair value

  $ 756.1   $ 755.9   $ 0.2   $  
                   

 

 

In millions
  Balance at
December 31,
2012
  Quoted Prices
In Active
Markets for
Identical
Assets
Level 1
  Significant
Other
Observable
Inputs
Level 2
  Significant
Unobservable
Inputs
Level 3
 

Cash and cash equivalents

  $ 112.5   $ 112.5   $   $  

Short-term investments

    0.6     0.6          

Commodity swap agreements

    0.1         0.1      

Foreign currency forward contracts

    0.3         0.3      
                   

Total assets measured at fair value

  $ 113.5   $ 113.1   $ 0.4   $  
                   
                   

Contingent consideration

    9.9             9.9  
                   

Total liabilities measured at fair value

  $ 9.9   $   $   $ 9.9  
                   
                   
Inventories (Tables)
Components of inventories

 

(in millions)
  2013   2012  

Finished goods

  $ 161.0   $ 161.2  

Work-in-process

    39.3     41.8  

Raw materials

    120.0     143.5  

Capitalized variances

    4.8     6.6  

Reserves

    (26.3 )   (28.1 )
           

Inventories

  $ 298.8   $ 325.0  
           
           
Property, Plant, and Equipment (Tables)
Components of property, plant, and equipment

 

(in millions)
  2013   2012  

Land

  $ 38.9   $ 35.7  

Buildings and leasehold improvements

    259.1     224.0  

Machinery and equipment

    606.9     558.9  

Projects in progress

    60.3     63.4  
           

 

    965.2     882.0  

Accumulated depreciation

    (468.0 )   (416.8 )
           

Property, plant and equipment, net

  $ 497.2   $ 465.2  
           
           
Goodwill and Other Intangible Assets (Tables)

 

In millions
  Construction
Materials
  Interconnect
Technologies
  Brake and
Friction
  FoodService
Products
  Disc.
Ops
  Total  

Balance at January 1, 2012

                                     

Goodwill

  $ 112.6   $ 345.6   $ 226.7   $ 60.3   $ 202.9   $ 948.1  

Accumulated impairment losses

                    (102.9 )   (102.9 )
                           

 

    112.6     345.6     226.7     60.3     100.0 (A)   845.2  

Goodwill acquired during year

    13.5     100.9                 114.4  

Measurement period adjustments

    0.6     (1.8 )               (1.2 )

Currency translation

    0.5     (0.1 )               0.4  
                           

Goodwill

  $ 127.2   $ 444.6   $ 226.7   $ 60.3   $ 202.9   $ 1,061.7  

Accumulated impairment losses

                    (102.9 )   (102.9 )
                           

Balance at December 31, 2012

    127.2     444.6     226.7     60.3     100.0     958.8  

Goodwill acquired during year

                         

Measurement period adjustments

        (1.8 )               (1.8 )

Impairment loss

                    (100.0 )   (100.0 )

Currency translation

    1.9     (0.2 )               1.7  
                           

Goodwill

    129.1     442.6     226.7     60.3     202.9     1,061.6  

Accumulated impairment losses

                    (202.9 )   (202.9 )
                           

Balance at December 31, 2013

  $ 129.1   $ 442.6   $ 226.7   $ 60.3   $   $ 858.7  
                           
                           

(A)
Goodwill associated with discontinued operations is included in non-current assets held for sale in the accompanying consolidated balance sheet.

The Company's Other intangible assets, net at December 31, 2013, are as follows:

In millions
  Acquired
Cost
  Accumulated
Amortization
  Net Book
Value
 

Assets subject to amortization:

                   

Patents

  $ 134.6   $ (29.2 ) $ 105.4  

Customer Relationships

    443.3     (95.8 )   347.5  

Other

    19.0     (10.1 )   8.9  

Assets not subject to amortization:

                   

Trade names

    118.0         118.0  
               

Other intangible assets, net

  $ 714.9   $ (135.1 ) $ 579.8  
               
               

        The Company's Other intangible assets, net at December 31, 2012, were as follows:

In millions
  Acquired
Cost
  Accumulated
Amortization
  Net Book
Value
 

Assets subject to amortization:

                   

Patents

  $ 133.2   $ (20.0 ) $ 113.2  

Customer Relationships

    441.4     (68.3 )   373.1  

Other

    20.9     (9.7 )   11.2  

Assets not subject to amortization:

                   

Trade names

    117.3         117.3  
               

Other intangible assets, net

  $ 712.8   $ (98.0 ) $ 614.8  
               

 

In millions
  December 31,
2013
  December 31,
2012
 

Carlisle Construction Materials

  $ 86.9   $ 89.7  

Carlisle Interconnect Technologies

    330.8     353.4  

Carlisle Brake & Friction

    130.1     136.8  

Carlisle FoodService Products

    32.0     34.9  
           

Total

  $ 579.8   $ 614.8  
           
           

The acquired cost of the Company's customer relationship intangible assets by estimated useful life are as follows (in millions):

 
  Gross Balance as
of December 31,
 
Estimated Useful Life (Years)
  2013   2012  

5

  $ 13.7   $ 13.7  

9

  $ 15.5     14.8  

10

  $ 10.2     10.2  

12

  $ 62.1     62.1  

15

  $ 39.1     39.1  

16

  $ 48.7     48.7  

17

  $ 21.7     21.5  

18

  $ 101.7     101.7  

19

  $ 22.9     21.9  

20

  $ 75.0     75.0  

21

  $ 32.7     32.7  
           

Total

  $ 443.3   $ 441.4  
           
           
Borrowings (Tables)
Schedule of the Company's borrowings

 

In millions
  2013   2012  

3.75% notes due 2022, net of unamortized discount of ($1.0) and ($1.1), respectively

  $ 349.0   $ 348.9  

5.125% notes due 2020, net of unamortized discount of ($0.8) and ($0.9), respectively

    249.2     249.1  

6.125% notes due 2016, net of unamortized discount of ($0.3) and ($0.4) respectively

    149.7     149.6  

Revolving credit facility

         

Industrial development and revenue bonds through 2018

    3.0     4.5  

Other, including capital lease obligations

    0.1     0.2  
           

Total long-term debt

    751.0     752.3  

Less current portion

         
           

Total long-term debt, net of current portion

  $ 751.0   $ 752.3  
           
           
Retirement Plans (Tables)

 

 
  Defined Benefit
Retirement Plan
  Post-Retirement
Medical Plan
 
In millions
 
Year
 

2014

  $ 17.2   $ 0.2  

2013

    16.1     0.2  

2012

    15.1     0.2  

2011

    15.0     0.2  

2010

    14.7     0.2  

2019 - 2023

    67.5     0.9  
           

 

In millions
  2013   2012   2011  

Shares held by the ESOP

    1.7     1.8     1.9  
               

 

In millions
  2013   2012  

Funded status

             

Projected benefit obligation

             

Beginning of year

  $ 207.3   $ 214.8  

Change in benefit obligation:

             

Service cost

    5.1     4.7  

Interest cost

    8.1     9.8  

Actuarial (gain)/loss

    (5.6 )   6.5  

Settlement due to divestiture

    (18.6 )    

Benefits paid

    (16.6 )   (28.5 )
           

End of year

    179.7     207.3  
           

Fair value of plan assets

             

Beginning of year

    209.6     211.7  

Change in plan assets:

             

Actual return on plan assets

    (0.8 )   21.2  

Company contributions

    1.3     5.2  

Foreign Currency

    (0.2 )    

Benefits paid

    (16.6 )   (28.5 )
           

Sub Total

    193.3     209.6  
           

Due to AIP (estimate)

    (19.8 )    
           

End of year

    173.5     209.6  
           

(Unfunded) funded status end of year

  $ (6.2 ) $ 2.3  
           
           

Accumulated benefit obligation at end of year

  $ 175.0   $ 202.3  
           

Fair Value Measurements at December 31, 2013

Asset Category (in millions)
  Quoted Prices in
Active Markets
for Identical
Assets (Level 1)
  Significant
Observable
Inputs
(Level 2)
  Significant
Unobservable
Inputs
(Level 3)
  Total  

Cash

  $ 0.6   $   $   $ 0.6  

Mutual funds :

                         

Equity mutual funds(1)

  $ 23.8   $   $     23.8  

Fixed income mutual funds(2)

    168.9             168.9  
                   

Sub Total

  $ 193.3   $   $   $ 193.3  
                   

Due to AIP (estimate)

  $ (19.8 ) $   $     (19.8 )
                   

Total

  $ 173.5   $   $   $ 173.5  
                   

Fair Value Measurements at December 31, 2012

Asset Category (in millions)
  Quoted Prices in
Active Markets
for Identical
Assets (Level 1)
  Significant
Observable
Inputs
(Level 2)
  Significant
Unobservable
Inputs
(Level 3)
  Total  

Cash

        $   $   $  

Mutual funds:

                         

Equity mutual funds(1)

  $ 24.6   $ 1.5   $     26.1  

Fixed income mutual funds(2)

    174.3     9.2         183.5  
                   

Total

  $ 198.9   $ 10.7   $   $ 209.6  
                   
                   

(1)
This category is comprised of investments in mutual funds that invest in equity securities such as large publicly traded companies listed in the S&P 500 Index; small to medium sized companies with market capitalization in the range of the Russell 2500 Index; and foreign issuers in emerging markets.

(2)
This category is comprised of investments in mutual funds that invest in U.S. corporate and government fixed income securities, including asset-backed securities; high yield fixed income securities primarily rated BB, B, CCC, CC, C and D; and US dollar denominated debt securities of government, government related and corporate issuers in emerging market countries.

 

In millions
  2013   2012  

Noncurrent assets

  $ 11.4   $ 22.6  

Current liabilities

    (1.0 )   (1.0 )

Noncurrent liabilities

    (16.6 )   (19.3 )
           

Asset (liability) at end of year

  $ (6.2 ) $ 2.3  
           
           

 

In millions
  2013   2012   2011  

Service cost

  $ 5.1   $ 4.7   $ 5.2  

Interest cost

    8.1     9.8     10.7  

Expected return on plan assets

    (12.2 )   (14.1 )   (14.7 )

Settlement cost

    8.9     5.6      

Foreign Currency

            (0.1 )

Amortization of unrecognized net loss

    6.5     4.9     4.6  

Amortization of unrecognized prior service credit

    0.3     0.1     (0.1 )
               

Net periodic benefit cost

  $ 16.7   $ 11.0   $ 5.6  
               
               

 

 

 
  2013   2012  

Discount rate

    4.43 %   4.02 %

Rate of compensation increase

    3.46 %   3.46 %

Expected long-term return on plan assets

    6.45 %   6.53 %

 

 
  2013   2012   2011  

Discount rate

    3.77 %   4.77 %   5.14 %

Rate of compensation increase

    4.29 %   4.29 %   4.29 %

Expected long-term return on plan assets

    6.50 %   7.00 %   7.00 %

 

In millions
  2013   2012   2011  

Benefit obligation at beginning of year

  $ 4.5   $ 4.0   $ 3.9  

Interest cost

    0.2     0.2     0.2  

Participant contributions

        0.1     0.2  

Actuarial loss

    (0.9 )   0.7     0.1  

Benefits paid

    (0.1 )   (0.5 )   (0.4 )

Settlement due to divestiture

    (1.2 )        
               

Benefit obligation at end of year

  $ 2.5   $ 4.5   $ 4.0  
               
               

 

In millions
  2013   2012  

Current liabilities

  $ (0.2 ) $ (0.4 )

Noncurrent liabilities

    (2.3 )   (4.1 )
           

Liability at end of year

  $ (2.5 ) $ (4.5 )
           

 

In millions
  2013   2012   2011  

Interest cost

  $ 0.2   $ 0.2   $ 0.2  

Amortization of prior service cost

    0.1     0.1     0.1  

Amortization of unrecognized net obligation

    0.1     0.2     0.1  

Settlement/Curtailment expense

    0.3          
               

Net periodic benefit cost

  $ 0.7   $ 0.5   $ 0.4  
               
               
Deferred Revenue and Extended Product Warranties (Tables)
Schedule of product warranty deferred revenue liability

Deferred revenue recognized in the Consolidated Balance Sheets as of December 31 includes the following related to roofing systems extended product warranty contracts:

In millions
  2013   2012  

Deferred revenue

             

Current

  $ 17.0   $ 16.8  

Long-term

    142.8     134.2  
           

Deferred revenue liability

  $ 159.8   $ 151.0  
           
           

  Other Deferred revenue recognized in the Consolidated Balance Sheets as of December 31, mainly related to contracts on brake pads, was as follows:

In millions
  2013   2012  

Deferred revenue

             

Current

  $ 0.4   $ 0.8  

Long-term

    0.8     1.2  
           

Deferred revenue liability

  $ 1.2   $ 2.0  
           
           
Standard Product Warranties (Tables)
Schedule of change in aggregate product warranty liabilities

 

In millions
  2013   2012  

Beginning reserve

  $ 16.9   $ 19.9  

Current year provision

    16.8     12.8  

Current year claims

    (19.4 )   (15.8 )
           

Ending reserve

  $ 14.3   $ 16.9  
           
           
Other Long-Term Liabilities (Tables)
Components of other long-term liabilities

 

(in millions)
  2013   2012  

Deferred taxes and other tax liabilities

  $ 177.6   $ 198.7  

Pension and other post-retirement obligations

    18.9     23.9  

Long-term workers compensation

    17.8     17.0  

Deferred credits

    9.1     14.4  

Deferred compensation

    11.3     7.7  

Other

    1.2     1.6  
           

Total

  $ 235.9   $ 263.3  
           
           
Accumulated Other Comprehensive Income (Loss) (Tables)
Schedule of changes in Accumulated other comprehensive loss by component

 The changes in Accumulated other comprehensive loss by component for the year ended December 31, 2013, were as follows:

(in millions)
  Accrued
post-retirement
benefit liability(1)(2)
  Foreign
currency
translation
  Hedging
activities(3)
  Total  

Balance at December 31, 2012

  $ (34.1 ) $ (2.7 ) $ 1.3   $ (35.5 )

Other comprehensive income (loss) before reclassifications

    2.8     2.6         5.4  

Amounts reclassified from accumulated other comprehensive loss              

    5.9     (4.2 )   (0.5 )   1.2  

Income tax expense

    (2.8 )       0.2     (2.6 )
                   

Net other comprehensive income (loss)

    5.9     (1.6 )   (0.3 )   4.0  
                   

Balance at December 31, 2013

  $ (28.2 ) $ (4.3 ) $ 1.0   $ (31.5 )
                   
                   

        The changes in Accumulated other comprehensive loss by component for the year ended December 31, 2012, were as follows:

(in millions)
  Accrued
post-retirement
benefit liability(1)
  Foreign
currency
translation
  Hedging
activities(2)
  Total  

Balance at December 31, 2011

  $ (40.7 ) $ (5.9 ) $ 1.6   $ (45.0 )

Other comprehensive income (loss) before reclassifications

    5.1     3.2         8.3  

Amounts reclassified from accumulated other comprehensive loss

    5.3         (0.5 )   4.8  

Income tax expense

    (3.8 )       0.2     (3.6 )
                   

Net other comprehensive income (loss)

    6.6     3.2     (0.3 )   9.5  
                   

Balance at December 31, 2012

  $ (34.1 ) $ (2.7 ) $ 1.3   $ (35.5 )
                   
                   

(1)
Current period amounts related to accrued post-retirement benefit liability are related to amortization of unrecognized actuarial gains and losses which is included in net periodic benefit cost for pension and other post-retirement welfare plans. See Note 15.

(2)
Amounts reclassified from accumulated other comprehensive loss related to accrued post-retirement liabilities in 2013 include $7.3 million in settlement costs related to the transfer of pension obligations related to employees of the Transportation Products business, $0.8 million in curtailment charges related to the curtailment of future service cost for employees of the Transportation Products business, and $0.3 million in settlement costs related to the transfer of post-retirement medical benefit obligations related to employees of the Transportation Products business, all of which were recognized within income (loss) from discontinued operations.

(3)
Current period activity related to foreign currency translation includes $4.2 million of cumulative translation adjustment related to the Canadian operations of the Transportation Products business which was recognized into income (loss) from discontinued operations upon sale of the Transportation Products business on December 31, 2013.

(3)
Current period amounts related to hedging activities are a reduction to interest expense. On June 15, 2005, the Company entered into treasury lock contracts with a notional amount of $150.0 million to hedge the cash flow variability on forecasted debt interest payments associated with changes in interest rates. These contracts were designated as cash flow hedges and were deemed effective at the origination date. On August 15, 2006, the Company terminated the treasury lock contracts resulting in a gain of $5.6 million ($3.5 million, net of tax), which was deferred in accumulated other comprehensive income and is being amortized to reduce interest expense until August 2016, the term of the interest payments related to the $150.0 million in notes issued on August 18, 2006. At December 31, 2013, the Company had a remaining unamortized gain of $1.5 million ($1.0 million, net of tax) which is reflected in Accumulated other comprehensive income on the Company's Consolidated Balance Sheets.
Quarterly Financial Data (Unaudited) (Tables)
Schedule of quarterly financial information
 
 

 

(In millions except per share data)
  First   Second   Third   Fourth   Year  

2013

                               

Net sales

  $ 629.6   $ 792.6   $ 796.8   $ 724.0   $ 2,943.0  

Gross profit

  $ 152.4   $ 207.1   $ 200.3   $ 185.8   $ 745.6  

Other expenses

  $ 97.0   $ 97.7   $ 90.7   $ 93.4   $ 378.8  

Earnings before interest and income taxes

  $ 55.4   $ 109.4   $ 109.6   $ 92.4   $ 366.8  

Income from continuing operations, net of tax

  $ 44.3   $ 64.3   $ 66.4   $ 60.2   $ 235.2  

Basic earnings per share from continuing operations

  $ 0.70   $ 1.01   $ 1.04   $ 0.94   $ 3.69  

Diluted earnings per share from continuing operations

  $ 0.68   $ 0.99   $ 1.02   $ 0.92   $ 3.61  
                       

Income (loss) from discontinued operations, net of tax

  $ 11.0   $ (56.2 ) $ 10.2   $ 9.5   $ (25.5 )

Basic income per share from discontinued operations

  $ 0.17   $ (0.88 ) $ 0.16   $ 0.15   $ (0.40 )

Diluted income per share from discontinued operations

  $ 0.17   $ (0.86 ) $ 0.15   $ 0.15   $ (0.39 )
                       

Net income

  $ 55.3   $ 8.1   $ 76.6   $ 69.7   $ 209.7  

Basic earnings per share

  $ 0.87   $ 0.13   $ 1.20   $ 1.09   $ 3.29  

Diluted earnings per share

  $ 0.85   $ 0.13   $ 1.17   $ 1.07   $ 3.22  
                       

Dividends per share

  $ 0.20   $ 0.20   $ 0.22   $ 0.22   $ 0.84  

Stock price:

                               

High

  $ 70.55   $ 68.12   $ 70.48   $ 80.21        

Low

  $ 59.19   $ 60.34   $ 62.00   $ 67.98        
                         
 

(In millions except per share data)
  First   Second   Third   Fourth   Year  

2012

                               

Net sales

  $ 649.4   $ 773.2   $ 745.0   $ 683.6   $ 2,851.2  

Gross profit

  $ 168.8   $ 216.5   $ 200.6   $ 181.1   $ 767.0  

Other expenses

  $ 93.5   $ 95.5   $ 97.5   $ 108.6   $ 395.1  

Earnings before interest and income taxes

  $ 75.3   $ 121.0   $ 103.1   $ 72.5   $ 371.9  

Income from continuing operations, net of tax

  $ 44.2   $ 76.1   $ 64.4   $ 44.0   $ 228.7  

Basic earnings per share from continuing operations

  $ 0.71   $ 1.21   $ 1.02   $ 0.69   $ 3.64  

Diluted earnings per share from continuing operations

  $ 0.69   $ 1.19   $ 1.00   $ 0.68   $ 3.57  
                       

Income (loss) from discontinued operations, net of tax

  $ 15.8   $ 16.7   $ 5.1   $ 3.9   $ 41.5  

Basic income per share from discontinued operations

  $ 0.25   $ 0.27   $ 0.08   $ 0.06   $ 0.66  

Diluted income per share from discontinued operations

  $ 0.25   $ 0.26   $ 0.08   $ 0.06   $ 0.65  
                       

Net income

  $ 60.0   $ 92.8   $ 69.5   $ 47.9   $ 270.2  

Basic earnings per share

  $ 0.96   $ 1.48   $ 1.10   $ 0.75   $ 4.30  

Diluted earnings per share

  $ 0.94   $ 1.45   $ 1.08   $ 0.74   $ 4.22  
                       

Dividends per share

  $ 0.18   $ 0.18   $ 0.20   $ 0.20   $ 0.76  

Stock price:

                               

High

  $ 51.16   $ 56.03   $ 55.19   $ 59.36        

Low

  $ 45.56   $ 48.69   $ 48.25   $ 51.10        
                         
Summary of Accounting Policies (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2011
Allowance for Doubtful Accounts
 
 
 
Allowance for doubtful accounts
$ 3.3 
$ 5.2 
 
Allowance for doubtful accounts
 
 
 
Activity in allowance for doubtful accounts
 
 
 
Balance at the Beginning of the period
5.2 
5.2 
4.6 
Provision charged to expense
0.1 
1.0 
0.9 
Provision charged to other accounts
(1.4)
 
0.3 
Amounts written off, net of recoveries
(0.6)
(1.0)
(0.6)
Balance at the end of the period
$ 3.3 
$ 5.2 
$ 5.2 
Summary of Accounting Policies (Details 2)
12 Months Ended
Dec. 31, 2013
Low end of range
 
Extended product warranty contracts, estimated life
5 years 
High end of range
 
Extended product warranty contracts, estimated life
30 years 
Summary of Accounting Policies (Details 3)
12 Months Ended
Dec. 31, 2013
Buildings |
Minimum
 
Property, Plant, and Equipment
 
Property, Plant and Equipment, Useful Life
20 years 
Buildings |
Maximum
 
Property, Plant, and Equipment
 
Property, Plant and Equipment, Useful Life
40 years 
Machinery and equipment |
Minimum
 
Property, Plant, and Equipment
 
Property, Plant and Equipment, Useful Life
5 years 
Machinery and equipment |
Maximum
 
Property, Plant, and Equipment
 
Property, Plant and Equipment, Useful Life
15 years 
Leasehold improvements |
Minimum
 
Property, Plant, and Equipment
 
Property, Plant and Equipment, Useful Life
3 years 
Leasehold improvements |
Maximum
 
Property, Plant, and Equipment
 
Property, Plant and Equipment, Useful Life
10 years 
Summary of Accounting Policies (Details 4) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2013
Derivative Financial Instruments
 
Revenues from continuing operations from countries other than the U.S. (as a percent)
23.00% 
Foreign exchange forward contracts
 
Derivative Financial Instruments
 
Notional amount
$ 2.1 
Notional amount of foreign currency derivatives with scheduled maturities in 2014
2.1 
Fair value of foreign currency derivatives
$ 0.2 
Segment Information (Details) (Carlisle Transportation Products, USD $)
In Millions, unless otherwise specified
0 Months Ended
Oct. 21, 2013
Carlisle Transportation Products
 
Discontinued operations
 
Amount per agreement to sell business unit
$ 375 
Segment Information (Details 2) (USD $)
In Millions, unless otherwise specified
3 Months Ended 12 Months Ended
Dec. 31, 2013
Sep. 30, 2013
Jun. 30, 2013
Mar. 31, 2013
Dec. 31, 2012
Sep. 30, 2012
Jun. 30, 2012
Mar. 31, 2012
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2011
Segment Information
 
 
 
 
 
 
 
 
 
 
 
Net sales
$ 724.0 
$ 796.8 
$ 792.6 
$ 629.6 
$ 683.6 
$ 745.0 
$ 773.2 
$ 649.4 
$ 2,943.0 
$ 2,851.2 
$ 2,492.4 
Total long-lived assets
1,958.0 
 
 
 
2,252.0 
 
 
 
1,958.0 
2,252.0 
1,923.8 
United States
 
 
 
 
 
 
 
 
 
 
 
Segment Information
 
 
 
 
 
 
 
 
 
 
 
Net sales
 
 
 
 
 
 
 
 
2,260.8 
2,206.0 
1,997.6 
Total long-lived assets
1,479.6 
 
 
 
1,735.1 
 
 
 
1,479.6 
1,735.1 
1,428.1 
Europe
 
 
 
 
 
 
 
 
 
 
 
Segment Information
 
 
 
 
 
 
 
 
 
 
 
Net sales
 
 
 
 
 
 
 
 
330.4 
315.9 
233.5 
Total long-lived assets
343.5 
 
 
 
331.6 
 
 
 
343.5 
331.6 
334.6 
Asia
 
 
 
 
 
 
 
 
 
 
 
Segment Information
 
 
 
 
 
 
 
 
 
 
 
Net sales
 
 
 
 
 
 
 
 
126.3 
117.3 
104.4 
Total long-lived assets
77.1 
 
 
 
127.4 
 
 
 
77.1 
127.4 
130.8 
Canada
 
 
 
 
 
 
 
 
 
 
 
Segment Information
 
 
 
 
 
 
 
 
 
 
 
Net sales
 
 
 
 
 
 
 
 
90.1 
82.6 
76.6 
Total long-lived assets
1.1 
 
 
 
1.2 
 
 
 
1.1 
1.2 
1.4 
Mexico and Latin America
 
 
 
 
 
 
 
 
 
 
 
Segment Information
 
 
 
 
 
 
 
 
 
 
 
Net sales
 
 
 
 
 
 
 
 
69.7 
65.8 
26.5 
Middle East and Africa
 
 
 
 
 
 
 
 
 
 
 
Segment Information
 
 
 
 
 
 
 
 
 
 
 
Net sales
 
 
 
 
 
 
 
 
47.4 
46.6 
43.4 
Other
 
 
 
 
 
 
 
 
 
 
 
Segment Information
 
 
 
 
 
 
 
 
 
 
 
Net sales
 
 
 
 
 
 
 
 
18.3 
17.0 
10.4 
United Kingdom
 
 
 
 
 
 
 
 
 
 
 
Segment Information
 
 
 
 
 
 
 
 
 
 
 
Total long-lived assets
55.7 
 
 
 
55.5 
 
 
 
55.7 
55.5 
27.4 
Mexico
 
 
 
 
 
 
 
 
 
 
 
Segment Information
 
 
 
 
 
 
 
 
 
 
 
Total long-lived assets
$ 1.0 
 
 
 
$ 1.2 
 
 
 
$ 1.0 
$ 1.2 
$ 1.5 
Segment Information (Details 3) (USD $)
In Millions, unless otherwise specified
3 Months Ended 12 Months Ended
Dec. 31, 2013
Sep. 30, 2013
Jun. 30, 2013
Mar. 31, 2013
Dec. 31, 2012
Sep. 30, 2012
Jun. 30, 2012
Mar. 31, 2012
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2011
Sales, EBIT, assets of operations by reportable segment
 
 
 
 
 
 
 
 
 
 
 
Sales
$ 724.0 
$ 796.8 
$ 792.6 
$ 629.6 
$ 683.6 
$ 745.0 
$ 773.2 
$ 649.4 
$ 2,943.0 
$ 2,851.2 
$ 2,492.4 
EBIT
92.4 
109.6 
109.4 
55.4 
72.5 
103.1 
121.0 
75.3 
366.8 
371.9 
266.0 
Assets
3,492.7 
 
 
 
2,884.2 
 
 
 
3,492.7 
2,884.2 
2,545.5 
Depreciation and Amortization
 
 
 
 
 
 
 
 
96.1 
83.5 
67.7 
Capital Spending
 
 
 
 
 
 
 
 
97.9 
127.0 
58.0 
Reconciliation of segmental assets to total assets
 
 
 
 
 
 
 
 
 
 
 
Assets per table above
3,492.7 
 
 
 
2,884.2 
 
 
 
3,492.7 
2,884.2 
2,545.5 
Assets held for sale of discontinued operations (Note 4)
0.3 
 
 
 
573.1 
 
 
 
0.3 
573.1 
 
TOTAL ASSETS
3,493.0 
 
 
 
3,457.3 
 
 
 
3,493.0 
3,457.3 
 
Reconciliation of depreciation and amortization and capital spending
 
 
 
 
 
 
 
 
 
 
 
Depreciation and amortization per table above
 
 
 
 
 
 
 
 
96.1 
83.5 
67.7 
Depreciation and amortization of discontinued operations
 
 
 
 
 
 
 
 
17.8 
21.4 
20.3 
Total depreciation and amortization
 
 
 
 
 
 
 
 
113.9 
104.9 
88.0 
Capital spending per table above
 
 
 
 
 
 
 
 
97.9 
127.0 
58.0 
Capital spending of discontinued operations
 
 
 
 
 
 
 
 
12.9 
13.4 
21.6 
Total capital spending
 
 
 
 
 
 
 
 
110.8 
140.4 
79.6 
Corporate
 
 
 
 
 
 
 
 
 
 
 
Sales, EBIT, assets of operations by reportable segment
 
 
 
 
 
 
 
 
 
 
 
EBIT
 
 
 
 
 
 
 
 
(47.1)
(58.5)
(44.2)
Assets
791.4 
 
 
 
132.3 
 
 
 
791.4 
132.3 
116.4 
Depreciation and Amortization
 
 
 
 
 
 
 
 
1.7 
1.7 
1.7 
Capital Spending
 
 
 
 
 
 
 
 
 
1.6 
0.2 
Reconciliation of segmental assets to total assets
 
 
 
 
 
 
 
 
 
 
 
Assets per table above
791.4 
 
 
 
132.3 
 
 
 
791.4 
132.3 
116.4 
Reconciliation of depreciation and amortization and capital spending
 
 
 
 
 
 
 
 
 
 
 
Depreciation and amortization per table above
 
 
 
 
 
 
 
 
1.7 
1.7 
1.7 
Capital spending per table above
 
 
 
 
 
 
 
 
 
1.6 
0.2 
Carlisle Construction Materials
 
 
 
 
 
 
 
 
 
 
 
Sales, EBIT, assets of operations by reportable segment
 
 
 
 
 
 
 
 
 
 
 
Sales
 
 
 
 
 
 
 
 
1,776.5 
1,695.8 
1,484.0 
EBIT
 
 
 
 
 
 
 
 
264.0 
273.4 
177.9 
Assets
886.9 
 
 
 
860.4 
 
 
 
886.9 
860.4 
774.4 
Depreciation and Amortization
 
 
 
 
 
 
 
 
31.0 
27.9 
23.7 
Capital Spending
 
 
 
 
 
 
 
 
64.5 
81.5 
21.1 
Reconciliation of segmental assets to total assets
 
 
 
 
 
 
 
 
 
 
 
Assets per table above
886.9 
 
 
 
860.4 
 
 
 
886.9 
860.4 
774.4 
Reconciliation of depreciation and amortization and capital spending
 
 
 
 
 
 
 
 
 
 
 
Depreciation and amortization per table above
 
 
 
 
 
 
 
 
31.0 
27.9 
23.7 
Capital spending per table above
 
 
 
 
 
 
 
 
64.5 
81.5 
21.1 
Carlisle Interconnect Technologies
 
 
 
 
 
 
 
 
 
 
 
Sales, EBIT, assets of operations by reportable segment
 
 
 
 
 
 
 
 
 
 
 
Sales
 
 
 
 
 
 
 
 
577.7 
463.1 
299.6 
EBIT
 
 
 
 
 
 
 
 
89.4 
69.1 
41.9 
Assets
1,017.5 
 
 
 
1,075.7 
 
 
 
1,017.5 
1,075.7 
782.1 
Depreciation and Amortization
 
 
 
 
 
 
 
 
34.4 
24.6 
12.9 
Capital Spending
 
 
 
 
 
 
 
 
12.2 
19.2 
14.8 
Reconciliation of segmental assets to total assets
 
 
 
 
 
 
 
 
 
 
 
Assets per table above
1,017.5 
 
 
 
1,075.7 
 
 
 
1,017.5 
1,075.7 
782.1 
Reconciliation of depreciation and amortization and capital spending
 
 
 
 
 
 
 
 
 
 
 
Depreciation and amortization per table above
 
 
 
 
 
 
 
 
34.4 
24.6 
12.9 
Capital spending per table above
 
 
 
 
 
 
 
 
12.2 
19.2 
14.8 
Carlisle Brake & Friction
 
 
 
 
 
 
 
 
 
 
 
Sales, EBIT, assets of operations by reportable segment
 
 
 
 
 
 
 
 
 
 
 
Sales
 
 
 
 
 
 
 
 
350.0 
449.0 
473.0 
EBIT
 
 
 
 
 
 
 
 
33.5 
75.6 
77.2 
Assets
603.7 
 
 
 
625.7 
 
 
 
603.7 
625.7 
665.8 
Depreciation and Amortization
 
 
 
 
 
 
 
 
21.3 
20.2 
20.2 
Capital Spending
 
 
 
 
 
 
 
 
10.4 
19.8 
16.8 
Reconciliation of segmental assets to total assets
 
 
 
 
 
 
 
 
 
 
 
Assets per table above
603.7 
 
 
 
625.7 
 
 
 
603.7 
625.7 
665.8 
Reconciliation of depreciation and amortization and capital spending
 
 
 
 
 
 
 
 
 
 
 
Depreciation and amortization per table above
 
 
 
 
 
 
 
 
21.3 
20.2 
20.2 
Capital spending per table above
 
 
 
 
 
 
 
 
10.4 
19.8 
16.8 
Carlisle FoodService Products
 
 
 
 
 
 
 
 
 
 
 
Sales, EBIT, assets of operations by reportable segment
 
 
 
 
 
 
 
 
 
 
 
Sales
 
 
 
 
 
 
 
 
238.8 
243.3 
235.8 
EBIT
 
 
 
 
 
 
 
 
27.0 
12.3 
13.2 
Assets
193.2 
 
 
 
190.1 
 
 
 
193.2 
190.1 
206.8 
Depreciation and Amortization
 
 
 
 
 
 
 
 
7.7 
9.1 
9.2 
Capital Spending
 
 
 
 
 
 
 
 
10.8 
4.9 
5.1 
Reconciliation of segmental assets to total assets
 
 
 
 
 
 
 
 
 
 
 
Assets per table above
193.2 
 
 
 
190.1 
 
 
 
193.2 
190.1 
206.8 
Reconciliation of depreciation and amortization and capital spending
 
 
 
 
 
 
 
 
 
 
 
Depreciation and amortization per table above
 
 
 
 
 
 
 
 
7.7 
9.1 
9.2 
Capital spending per table above
 
 
 
 
 
 
 
 
$ 10.8 
$ 4.9 
$ 5.1 
Acquisitions (Details)
In Millions, unless otherwise specified
12 Months Ended 0 Months Ended 0 Months Ended
Dec. 31, 2012
USD ($)
Dec. 31, 2011
USD ($)
Dec. 31, 2013
3.75% senior notes due 2022
Nov. 20, 2012
3.75% senior notes due 2022
Dec. 17, 2013
Thermax and Raydex/CDT Limited
USD ($)
Dec. 17, 2012
Thermax and Raydex/CDT Limited
USD ($)
Dec. 17, 2012
Thermax and Raydex/CDT Limited
3.75% senior notes due 2022
Mar. 9, 2013
Hertalan Holding B.V.
USD ($)
Mar. 9, 2012
Hertalan Holding B.V.
USD ($)
Mar. 9, 2012
Hertalan Holding B.V.
EUR (€)
Dec. 2, 2012
Tri-Star Electronics International, Inc.
USD ($)
Dec. 2, 2011
Tri-Star Electronics International, Inc.
USD ($)
Aug. 1, 2012
PDT Phoenix GmbH
USD ($)
Aug. 2, 2011
PDT Phoenix GmbH
USD ($)
Aug. 2, 2011
PDT Phoenix GmbH
EUR (€)
Business acquisition
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Percentage of ownership interest acquired
 
 
 
 
 
 
 
 
100.00% 
100.00% 
 
100.00% 
 
100.00% 
100.00% 
Consideration
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total fair value of consideration transferred
 
 
 
 
 
 
 
 
 
 
 
 
$ 118.6 
$ 118.6 
€ 82.3 
Cash purchase price of acquisition
 
 
 
 
265.6 
 
 
49.0 
 
 
289.3 
 
113.4 
113.4 
78.7 
Aggregate cash purchase price, net of cash acquired
314.3 
392.9 
 
 
 
265.5 
 
 
48.9 
37.3 
 
284.8 
 
111.0 
77.0 
Cash acquired in business combination
 
 
 
 
 
0.1 
 
 
0.1 
0.1 
 
4.5 
 
7.6 
5.3 
Interest rate (as a percent)
 
 
3.75% 
3.75% 
 
 
3.75% 
 
 
 
 
 
 
 
 
Maximum borrowing capacity
 
 
 
 
 
 
 
 
600.0 
 
 
 
 
 
 
Contingent consideration
 
 
 
 
 
 
 
 
 
 
 
 
$ 5.2 
$ 5.2 
€ 3.6 
Acquisitions (Details 2)
In Millions, unless otherwise specified
0 Months Ended 1 Months Ended 1 Months Ended 1 Months Ended 0 Months Ended 0 Months Ended 1 Months Ended 0 Months Ended 1 Months Ended 1 Months Ended 1 Months Ended 0 Months Ended 1 Months Ended 1 Months Ended 12 Months Ended
Dec. 31, 2013
USD ($)
Dec. 31, 2012
USD ($)
Dec. 31, 2011
USD ($)
Dec. 17, 2013
Thermax and Raydex/CDT Limited
USD ($)
Dec. 17, 2012
Thermax and Raydex/CDT Limited
USD ($)
Dec. 17, 2012
Thermax and Raydex/CDT Limited
Trade names
USD ($)
Dec. 17, 2012
Thermax and Raydex/CDT Limited
Customer Relationships
USD ($)
Dec. 31, 2012
Thermax and Raydex/CDT Limited
Customer Relationships
Minimum
Dec. 31, 2012
Thermax and Raydex/CDT Limited
Customer Relationships
Maximum
Dec. 17, 2012
Thermax and Raydex/CDT Limited
Acquired Technology
USD ($)
Dec. 31, 2012
Thermax and Raydex/CDT Limited
Acquired Technology
Minimum
Dec. 31, 2012
Thermax and Raydex/CDT Limited
Acquired Technology
Maximum
Dec. 31, 2012
Thermax and Raydex/CDT Limited
Non-compete agreement
Dec. 17, 2012
Thermax and Raydex/CDT Limited
Non-compete agreement
USD ($)
Dec. 31, 2012
Thermax and Raydex/CDT Limited
Preliminary Allocation
USD ($)
Dec. 17, 2013
Thermax and Raydex/CDT Limited
Adjustment
Measurement Period Adjustments
USD ($)
Mar. 9, 2013
Hertalan Holding B.V.
USD ($)
Mar. 9, 2013
Hertalan Holding B.V.
Trade names
USD ($)
Mar. 9, 2013
Hertalan Holding B.V.
Customer Relationships
USD ($)
Mar. 31, 2012
Hertalan Holding B.V.
Preliminary Allocation
USD ($)
Mar. 9, 2013
Hertalan Holding B.V.
Adjustment
Measurement Period Adjustments
USD ($)
Dec. 2, 2012
Tri-Star Electronics International, Inc.
USD ($)
Dec. 2, 2012
Tri-Star Electronics International, Inc.
Trade names
USD ($)
Dec. 2, 2011
Tri-Star Electronics International, Inc.
Customer Relationships
USD ($)
Dec. 31, 2012
Tri-Star Electronics International, Inc.
Customer Relationships
Minimum
Dec. 31, 2012
Tri-Star Electronics International, Inc.
Customer Relationships
Maximum
Dec. 31, 2012
Tri-Star Electronics International, Inc.
Customer certifications and approvals
Dec. 2, 2011
Tri-Star Electronics International, Inc.
Customer certifications and approvals
USD ($)
Dec. 31, 2012
Tri-Star Electronics International, Inc.
Acquired Technology
Dec. 2, 2011
Tri-Star Electronics International, Inc.
Acquired Technology
USD ($)
Dec. 2, 2011
Tri-Star Electronics International, Inc.
Non-compete agreement
USD ($)
Dec. 31, 2012
Tri-Star Electronics International, Inc.
Non-compete agreement
Minimum
Dec. 31, 2012
Tri-Star Electronics International, Inc.
Non-compete agreement
Maximum
Dec. 31, 2011
Tri-Star Electronics International, Inc.
Preliminary Allocation
USD ($)
Dec. 2, 2012
Tri-Star Electronics International, Inc.
Adjustment
Measurement Period Adjustments
USD ($)
Aug. 1, 2012
PDT Phoenix GmbH
USD ($)
Aug. 2, 2011
PDT Phoenix GmbH
USD ($)
Aug. 2, 2011
PDT Phoenix GmbH
EUR (€)
Jan. 2, 2012
PDT Phoenix GmbH
USD ($)
Jan. 2, 2012
PDT Phoenix GmbH
EUR (€)
Aug. 1, 2011
PDT Phoenix GmbH
Trade names
USD ($)
Aug. 31, 2011
PDT Phoenix GmbH
Customer Relationships
Aug. 2, 2011
PDT Phoenix GmbH
Customer Relationships
USD ($)
Aug. 2, 2011
PDT Phoenix GmbH
Patents
USD ($)
Aug. 31, 2011
PDT Phoenix GmbH
Patents
Minimum
Aug. 31, 2011
PDT Phoenix GmbH
Patents
Maximum
Dec. 31, 2011
PDT Phoenix GmbH
Preliminary Allocation
USD ($)
Aug. 1, 2012
PDT Phoenix GmbH
Adjustment
Measurement Period Adjustments
USD ($)
Cash consideration transferred:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total cash consideration transferred
 
 
 
$ 265.6 
 
 
 
 
 
 
 
 
 
 
$ 265.6 
 
$ 49.0 
 
 
$ 49.3 
$ (0.3)
$ 289.3 
 
 
 
 
 
 
 
 
 
 
 
$ 288.9 
$ 0.4 
$ 113.4 
$ 113.4 
€ 78.7 
 
 
 
 
 
 
 
 
$ 113.4 
 
Contingent consideration
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
5.2 
5.2 
3.6 
 
 
 
 
 
 
 
 
5.2 
 
Total fair value of consideration transferred
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
118.6 
118.6 
82.3 
 
 
 
 
 
 
 
 
118.6 
 
Recognized amounts of identifiable assets acquired and liabilities assumed:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash & cash equivalents
 
 
 
0.1 
 
 
 
 
 
 
 
 
 
 
0.1 
 
0.1 
 
 
0.1 
 
4.5 
 
 
 
 
 
 
 
 
 
 
 
4.5 
 
7.6 
 
 
 
 
 
 
 
 
 
 
7.6 
 
Receivables
 
 
 
14.3 
 
 
 
 
 
 
 
 
 
 
14.3 
 
3.7 
 
 
3.7 
 
14.0 
 
 
 
 
 
 
 
 
 
 
 
14.0 
 
12.2 
 
 
 
 
 
 
 
 
 
 
12.2 
 
Inventories
 
 
 
15.4 
 
 
 
 
 
 
 
 
 
 
15.4 
 
9.5 
 
 
10.5 
(1.0)
22.8 
 
 
 
 
 
 
 
 
 
 
 
22.8 
 
10.5 
 
 
 
 
 
 
 
 
 
 
10.5 
 
Prepaid expenses and other current assets
 
 
 
0.9 
 
 
 
 
 
 
 
 
 
 
0.9 
 
0.2 
 
 
0.2 
 
5.6 
 
 
 
 
 
 
 
 
 
 
 
5.6 
 
0.8 
 
 
 
 
 
 
 
 
 
 
0.8 
 
Current assets held for sale
 
295.6 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
3.6 
 
 
 
 
 
 
 
 
 
 
3.6 
 
Property, plant and equipment
 
 
 
7.2 
 
 
 
 
 
 
 
 
 
 
7.2 
 
12.9 
 
 
13.0 
(0.1)
13.3 
 
 
 
 
 
 
 
 
 
 
 
15.4 
(2.1)
3.4 
 
 
 
 
 
 
 
 
 
 
3.4 
 
Definite-lived intangible assets
 
 
 
135.1 
135.1 
 
111.4 
 
 
23.5 
 
 
 
0.2 
135.1 
 
14.7 
 
14.7 
9.9 
4.8 
121.5 
 
94.8 
 
 
 
1.0 
 
23.2 
2.5 
 
 
112.0 
9.5 
57.1 
 
 
 
 
 
 
23.8 
33.3 
 
 
57.1 
 
Indefinite-lived intangible assets
 
 
 
9.1 
 
9.1 
 
 
 
 
 
 
 
 
9.1 
 
8.0 
8.0 
 
2.6 
5.4 
19.4 
19.4 
 
 
 
 
 
 
 
 
 
 
28.0 
(8.6)
6.9 
 
 
 
 
6.9 
 
 
 
 
 
6.9 
 
Other long-term assets
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0.3 
 
 
0.3 
 
0.1 
 
 
 
 
 
 
 
 
 
 
 
0.1 
 
0.1 
 
 
 
 
 
 
 
 
 
 
0.1 
 
Non-current assets held for sale
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
21.0 
 
 
 
 
 
 
 
 
 
 
21.6 
(0.6)
Accounts payable
 
 
 
(12.0)
 
 
 
 
 
 
 
 
 
 
(12.0)
 
(3.3)
 
 
(3.3)
 
(6.5)
 
 
 
 
 
 
 
 
 
 
 
(6.5)
 
(9.0)
 
 
 
 
 
 
 
 
 
 
(9.0)
 
Accrued expenses
 
 
 
(2.6)
 
 
 
 
 
 
 
 
 
 
(2.6)
 
(2.5)
 
 
(2.5)
 
(4.4)
 
 
 
 
 
 
 
 
 
 
 
(4.4)
 
(1.2)
 
 
 
 
 
 
 
 
 
 
(1.2)
 
Long-term debt
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(1.3)
 
 
(1.3)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net deferred tax liabilities
 
 
 
(1.0)
 
 
 
 
 
 
 
 
 
 
(2.8)
1.8 
(6.7)
 
 
(4.4)
(2.3)
(55.5)
 
 
 
 
 
 
 
 
 
 
 
(58.9)
3.4 
(21.5)
 
 
 
 
 
 
 
 
 
 
(21.5)
 
Other long-term liabilities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(0.1)
 
 
(0.1)
 
(0.4)
 
 
 
 
 
 
 
 
 
 
 
(0.4)
 
(3.3)
 
 
 
 
 
 
 
 
 
 
(3.3)
 
Total identifiable net assets
 
 
 
166.5 
 
 
 
 
 
 
 
 
 
 
164.7 
1.8 
35.5 
 
 
28.7 
6.8 
134.4 
 
 
 
 
 
 
 
 
 
 
 
132.2 
2.2 
88.2 
 
 
 
 
 
 
 
 
 
 
88.8 
(0.6)
Goodwill
858.7 
858.8 
845.2 
99.1 
 
 
 
 
 
 
 
 
 
 
100.9 
(1.8)
13.5 
 
 
20.6 
(7.1)
154.9 
 
 
 
 
 
 
 
 
 
 
 
156.7 
(1.8)
30.4 
 
 
 
 
 
 
 
 
 
 
29.8 
0.6 
Sale of Certain assets of the acquired entity
$ 0.3 
$ 573.1 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 22.1 
€ 17.1 
 
 
 
 
 
 
 
 
Useful life of finite lived intangible assets
 
 
 
 
 
 
 
17 years 
18 years 
 
9 years 
11 years 
5 years 
 
 
 
 
 
9 years 
 
 
 
 
 
12 years 
21 years 
3 years 
 
16 years 
 
 
3 years 
5 years 
 
 
 
 
 
 
 
 
19 years 
 
 
10 years 
20 years 
 
 
Discontinued Operations and Assets Held for Sale (Details)
In Millions, unless otherwise specified
3 Months Ended 12 Months Ended 0 Months Ended 12 Months Ended 0 Months Ended 1 Months Ended 12 Months Ended
Dec. 31, 2013
USD ($)
Sep. 30, 2013
USD ($)
Jun. 30, 2013
USD ($)
Mar. 31, 2013
USD ($)
Dec. 31, 2012
USD ($)
Sep. 30, 2012
USD ($)
Jun. 30, 2012
USD ($)
Mar. 31, 2012
USD ($)
Dec. 31, 2013
USD ($)
Dec. 31, 2012
USD ($)
Dec. 31, 2011
USD ($)
Nov. 8, 2013
CCM's Kent, WA facility
USD ($)
Oct. 21, 2013
Carlisle Transportation Products
USD ($)
Dec. 31, 2013
Carlisle Transportation Products
USD ($)
Dec. 31, 2012
Carlisle Transportation Products
USD ($)
Dec. 31, 2011
Carlisle Transportation Products
USD ($)
Dec. 31, 2013
Zevenaar, The Netherlands distribution center
Carlisle FoodService Products
USD ($)
Dec. 31, 2012
Zevenaar, The Netherlands distribution center
Carlisle FoodService Products
USD ($)
Sep. 30, 2013
Reno, NV
Carlisle FoodService Products
USD ($)
Jan. 31, 2012
PDT profiles business
USD ($)
Jan. 31, 2012
PDT profiles business
EUR (€)
Dec. 31, 2012
Specialty trailer business
USD ($)
Dec. 31, 2011
Refrigerated truck bodies business
USD ($)
Dec. 31, 2011
Thermoset molding operation
USD ($)
Assets held for sale:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Receivables
 
 
 
 
$ 74.4 
 
 
 
 
$ 74.4 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Deferred income taxes
 
 
 
 
6.5 
 
 
 
 
6.5 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Inventories
 
 
 
 
213.0 
 
 
 
 
213.0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Prepaid expenses and other current assets
 
 
 
 
1.7 
 
 
 
 
1.7 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total current assets held for sale
 
 
 
 
295.6 
 
 
 
 
295.6 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Property, plant and equipment, net
0.3 
 
 
 
171.9 
 
 
 
0.3 
171.9 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Goodwill
 
 
 
 
100.0 
 
 
 
 
100.0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Other long term assets
 
 
 
 
5.6 
 
 
 
 
5.6 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total non-current assets held for sale
0.3 
 
 
 
277.5 
 
 
 
0.3 
277.5 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total assets held for sale
0.3 
 
 
 
573.1 
 
 
 
0.3 
573.1 
 
 
 
 
573.1 
 
 
 
 
 
 
 
 
 
Liabilities associated with assets held for sale:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Accounts payable
 
 
 
 
53.8 
 
 
 
 
53.8 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Accrued expenses
 
 
 
 
20.7 
 
 
 
 
20.7 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total current liabilities associated with assets held for sale
 
 
 
 
74.5 
 
 
 
 
74.5 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total non-current liabilities associated with assets held for sale
 
 
 
 
47.6 
 
 
 
 
47.6 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total liabilities associated with assets held for sale
 
 
 
 
122.1 
 
 
 
 
122.1 
 
 
 
 
122.1 
 
 
 
 
 
 
 
 
 
Cash proceeds from the sale of long-lived tangible assets
 
 
 
 
 
 
 
 
11.9 
 
3.5 
5.4 
 
 
 
 
 
 
6.2 
 
 
 
 
 
Pre-tax gain (loss) on sale of business
 
 
 
 
 
 
 
 
 
 
 
1.6 
 
 
 
 
 
 
1.0 
 
 
 
 
Non-current assets held for sale
0.3 
 
 
 
277.5 
 
 
 
0.3 
277.5 
 
 
 
 
 
 
0.3 
0.3 
 
 
 
 
 
 
Sale from discontinued operations
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash proceeds from sale of business
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
22.1 
17.1 
 
 
 
Amount per agreement to sell business unit
 
 
 
 
 
 
 
 
 
 
 
 
375 
 
 
 
 
 
 
 
 
 
 
 
Proceeds from sale of business, including estimated adjustment
 
 
 
 
 
 
 
 
 
 
 
 
 
375.6 
 
 
 
 
 
 
 
 
 
 
Working capital adjustment included in proceeds from sale of business
 
 
 
 
 
 
 
 
 
 
 
 
 
6.6 
 
 
 
 
 
 
 
 
 
 
After-tax gain on sale of business
 
 
 
 
 
 
 
 
 
 
 
 
 
6.2 
 
 
 
 
 
 
 
 
 
 
Net sales:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revenues from discontinued operations
 
 
 
 
 
 
 
 
 
 
 
 
 
767.9 
778.2 
732.1 
 
 
 
 
 
 
 
 
Income (loss) from discontinued operations:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Pre-tax income (loss) from discontinued operations
 
 
 
 
 
 
 
 
(60.5)
55.2 
6.5 
 
 
(46.1)
52.4 
9.1 
 
 
 
 
 
 
 
 
Income (loss) from discontinued operations, net of tax
9.5 
10.2 
(56.2)
11.0 
3.9 
5.1 
16.7 
15.8 
(25.5)
41.5 
8.3 
 
 
(30.4)
37.6 
15.2 
 
 
 
 
 
 
 
 
Goodwill impairment charge
 
 
 
 
 
 
 
 
100.0 
 
 
 
 
100.0 
 
 
 
 
 
 
 
 
 
 
Gain on settlement of contingent consideration
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
3.8 
 
 
Write-down of land and building
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0.6 
Pre-tax (loss) gain on settlement of a case
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 0.9 
 
Exit and Disposal Activities (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2011
Exit and disposal activities
 
 
 
Exit and disposal costs
$ 1.3 
$ 6.2 
$ 1.5 
Cost of goods sold
 
 
 
Exit and disposal activities
 
 
 
Exit and disposal costs
1.0 
2.2 
0.6 
Selling and administrative expenses
 
 
 
Exit and disposal activities
 
 
 
Exit and disposal costs
 
0.2 
0.9 
Other expense, net
 
 
 
Exit and disposal activities
 
 
 
Exit and disposal costs
$ 0.3 
$ 3.8 
 
Exit and Disposal Activities (Details 2) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2011
Exit and disposal activities
 
 
 
Total exit and disposal costs
$ 1.3 
$ 6.2 
$ 1.5 
Exit and disposal costs accrued
 
 
 
Balance at the beginning of period
2.0 
0.9 
 
Charges
1.3 
6.2 
 
Usage
(2.8)
(5.1)
 
Balance at the end of period
0.5 
2.0 
0.9 
Termination benefits
 
 
 
Exit and disposal activities
 
 
 
Total exit and disposal costs
0.5 
1.7 
0.5 
Exit and disposal costs accrued
 
 
 
Balance at the beginning of period
1.4 
0.5 
 
Charges
0.5 
1.7 
 
Usage
(1.5)
(0.8)
 
Balance at the end of period
0.4 
1.4 
0.5 
Impairments
 
 
 
Exit and disposal activities
 
 
 
Total exit and disposal costs
0.3 
4.0 
 
Exit and disposal costs accrued
 
 
 
Charges
0.2 
4.0 
 
Usage
(0.2)
(4.0)
 
Other associated costs
 
 
 
Exit and disposal activities
 
 
 
Total exit and disposal costs
0.5 
0.5 
1.0 
Exit and disposal costs accrued
 
 
 
Balance at the beginning of period
0.6 
0.4 
 
Charges
0.6 
0.5 
 
Usage
(1.1)
(0.3)
 
Balance at the end of period
$ 0.1 
$ 0.6 
$ 0.4 
Exit and Disposal Activities (Details 3) (USD $)
In Millions, unless otherwise specified
12 Months Ended 3 Months Ended 12 Months Ended 3 Months Ended 12 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2011
Dec. 31, 2012
Carlisle Construction Materials
Employee termination costs
Sep. 30, 2011
Carlisle Brake & Friction
Dec. 31, 2013
Carlisle Brake & Friction
Dec. 31, 2012
Carlisle Brake & Friction
Dec. 31, 2011
Carlisle Brake & Friction
Dec. 31, 2013
Carlisle Brake & Friction
Employee termination costs
Sep. 30, 2011
Carlisle Brake & Friction
Employee termination costs and other associated costs
Sep. 30, 2012
Carlisle FoodService Products
Dec. 31, 2013
Carlisle FoodService Products
Dec. 31, 2012
Carlisle FoodService Products
Dec. 31, 2013
Carlisle FoodService Products
Relocate equipment and employees
Exit and disposal activities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total exit and disposal costs
$ 1.3 
$ 6.2 
$ 1.5 
$ 0.8 
$ 1.0 
$ 0.9 
$ 0.1 
$ 1.5 
 
 
 
$ 0.4 
$ 5.3 
$ 0.4 
Restructuring and related cost expected to be incurred
 
 
 
 
 
2.9 
 
 
 
 
5.7 
 
 
 
Restructuring and related cost incurred
 
 
 
 
 
 
0.1 
 
 
0.9 
 
 
5.3 
 
Losses on the sale of assets in connection with plant closure
(1.3)
2.1 
1.8 
 
 
 
0.3 
 
 
 
 
 
 
 
Income from reversal of accrued pension costs
 
 
 
 
 
 
0.2 
 
 
 
 
 
 
 
Unpaid lease termination costs
 
 
 
 
 
0.1 
 
 
 
 
 
 
 
 
Restructuring reserve included in accrued expenses
 
 
 
 
 
 
 
 
$ 0.4 
 
 
 
 
 
Stock-Based Compensation (Details) (USD $)
In Millions, except Share data, unless otherwise specified
12 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2011
Stock-based compensation
 
 
 
Pre-tax compensation expense related to discontinued operations
$ 0.9 
$ 1.6 
$ 3.4 
Stock-based compensation expense
 
 
 
Pre-tax compensation expense
17.0 
18.5 
15.7 
The amount of financing cash flows of excess income tax benefits related to share-based compensation expense
5.3 
11.7 
3.2 
2008 Executive Incentive Program
 
 
 
Stock-based compensation
 
 
 
Shares available for grant under the plan
3,094,447 
 
 
Stock options
 
 
 
Stock-based compensation
 
 
 
Portion of stock options vesting on the first anniversary
0.3333 
 
 
Portion of stock options vesting on the second anniversary
0.3333 
 
 
Portion of stock options vesting on the third anniversary
0.3333 
 
 
Maximum term life
10 years 
 
 
Stock-based compensation expense
 
 
 
Pre-tax compensation expense
4.9 
7.5 
6.6 
After-tax compensation expense
3.0 
4.7 
4.1 
Impact on diluted EPS (in dollars per share)
$ 0.05 
$ 0.07 
$ 0.07 
Unrecognized compensation cost related to stock options
3.2 
 
 
Weighted average period of recognition of unrecognized compensation cost related to stock options
1 year 9 months 
 
 
Weighted-average assumptions used to estimate grant date fair value of stock options
 
 
 
Expected dividend yield (as a percent)
1.20% 
1.50% 
1.70% 
Expected life in years
5 years 8 months 16 days 
5 years 9 months 11 days 
5 years 9 months 4 days 
Expected volatility (as a percent)
32.20% 
36.00% 
32.00% 
Risk-free interest rate (as a percent)
1.00% 
0.90% 
2.20% 
Weighted average fair value (in dollars per share)
$ 17.58 
$ 14.57 
$ 10.61 
Stock options |
2005 Nonemployee Director Equity Plan
 
 
 
Stock-based compensation
 
 
 
Shares available for grant under the plan
267,210 
 
 
Restricted and Performance Share Award |
2008 Executive Incentive Program
 
 
 
Stock-based compensation
 
 
 
Shares available for grant under the plan
693,705 
 
 
Restricted shares
 
 
 
Stock-based compensation expense
 
 
 
Pre-tax compensation expense
4.6 
5.0 
5.2 
Unrecognized compensation cost related to stock options
$ 2.9 
 
 
Weighted average period of recognition of unrecognized compensation cost related to stock options
1 year 8 months 5 days 
 
 
Restricted shares |
2005 Nonemployee Director Equity Plan
 
 
 
Stock-based compensation
 
 
 
Shares available for grant under the plan
37,210 
 
 
Stock-Based Compensation (Details 2) (USD $)
In Millions, except Share data, unless otherwise specified
12 Months Ended 1 Months Ended 12 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2011
Dec. 31, 2013
Stock options
Dec. 31, 2012
Stock options
Dec. 31, 2011
Stock options
Dec. 31, 2013
Restricted stock awards
Dec. 31, 2012
Restricted stock awards
Dec. 31, 2011
Restricted stock awards
Feb. 29, 2008
Restricted stock awards
Executive Management
Dec. 31, 2013
Performance share awards
Dec. 31, 2012
Performance share awards
Dec. 31, 2011
Performance share awards
Dec. 31, 2013
2013 Awards
Dec. 31, 2013
2012 Awards
Dec. 31, 2012
2012 Awards
Dec. 31, 2013
2011 Awards
Dec. 31, 2012
2011 Awards
Dec. 31, 2011
2011 Awards
Dec. 31, 2013
2010 Awards
Dec. 31, 2012
2010 Awards
Dec. 31, 2011
2010 Awards
Dec. 31, 2013
2013 restricted stock units
Number of Shares
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Outstanding at the beginning of the period (in shares)
 
 
 
3,225,131 
4,092,515 
4,235,303 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Options granted (in shares)
 
 
 
283,975 
488,805 
637,255 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Options exercised (in shares)
 
 
 
(472,040)
(1,265,768)
(552,639)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Options forfeited (in shares)
 
 
 
(44,059)
(90,421)
(227,404)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Outstanding at the end of the period (in shares)
 
 
 
2,993,007 
3,225,131 
4,092,515 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Weighted Average Exercise Price
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Outstanding at the beginning of the period (in dollars per share)
 
 
 
$ 35.88 
$ 32.05 
$ 30.38 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Options granted (in dollars per share)
 
 
 
$ 64.80 
$ 49.58 
$ 38.23 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Options exercised (in dollars per share)
 
 
 
$ 33.81 
$ 28.45 
$ 27.61 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Options forfeited (in dollars per share)
 
 
 
$ 48.47 
$ 39.67 
$ 29.13 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Outstanding at the end of the period (in dollars per share)
 
 
 
$ 38.76 
$ 35.88 
$ 32.05 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Weighted-average grant-date fair value
 
 
 
$ 5.0 
$ 7.1 
$ 6.7 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total intrinsic value of options exercised
 
 
 
15.5 
31.1 
11.0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Weighted average contractual term
 
 
 
5 years 8 months 19 days 
6 years 2 months 16 days 
6 years 6 months 22 days 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Number of options exercisable (in shares)
 
 
 
2,378,543 
2,203,107 
2,642,842 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Weighted average exercise price of exercisable options (in dollars per share)
 
 
 
$ 34.87 
$ 32.47 
$ 32.95 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
The weighted average contractual term of options exercisable
 
 
 
4 years 11 months 23 days 
5 years 18 days 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Aggregate intrinsic value of options outstanding
 
 
 
75.8 
37.8 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Aggregate intrinsic value of options exercisable
 
 
 
75.8 
37.8 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total grant date fair value of options vested
 
 
 
8.0 
6.0 
6.0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Vesting period of shares awarded in 2008
 
 
 
3 years 
 
 
3 years 
 
 
5 years 
3 years 
 
 
 
 
 
 
 
 
 
 
 
 
Stock-based compensation expense
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Compensation expense recognized
17.0 
18.5 
15.7 
4.9 
7.5 
6.6 
4.6 
5.0 
5.2 
 
6.5 
6.2 
3.8 
 
 
 
 
 
 
 
 
 
 
Unrecognized compensation cost
 
 
 
$ 3.2 
 
 
$ 2.9 
 
 
 
$ 4.1 
$ 5.0 
$ 5.6 
 
 
 
 
 
 
 
 
 
 
Weighted average period of recognition of unrecognized compensation cost related to restricted stock awards
 
 
 
1 year 9 months 
 
 
1 year 8 months 5 days 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Award Activity
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Outstanding balance at the beginning of the period (in shares)
 
 
 
 
 
 
284,235 
528,575 
624,640 
 
230,730 
197,655 
98,835 
 
79,340 
 
93,840 
102,940 
 
57,550 
94,715 
98,835 
 
Units granted (in shares)
 
 
 
 
 
 
71,255 
85,990 
111,685 
56,700 
71,255 
85,990 
109,075 
71,255 
 
85,990 
 
 
109,075 
 
 
 
 
Units converted to shares
 
 
 
 
 
 
 
 
 
 
89,610 
86,385 
 
 
 
 
89,610 
 
 
 
86,385 
 
 
Units vested and issued (in shares)
 
 
 
 
 
 
(109,445)
(305,850)
(188,195)
 
(45,544)
(90,832)
 
 
 
 
 
 
 
(45,544)
(90,832)
 
 
Units vested and deferred (in shares)
 
 
 
 
 
 
 
 
 
 
(12,006)
(24,388)
 
 
 
 
 
 
 
(12,006)
(24,388)
 
 
Units forfeited (in shares)
 
 
 
 
 
 
(5,055)
(24,480)
(19,555)
 
(5,055)
(24,080)
(10,255)
(1,080)
(1,745)
(6,650)
(2,230)
(9,100)
(6,135)
 
(8,330)
(4,120)
 
Outstanding balance at the end of the period (in shares)
 
 
 
 
 
 
240,990 
284,235 
528,575 
 
328,990 
230,730 
197,655 
70,175 
77,595 
79,340 
181,220 
93,840 
102,940 
 
57,550 
94,715 
 
Restricted Stock Awards
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Outstanding balance at the beginning of the period (in dollars per share)
 
 
 
 
 
 
$ 25.99 
$ 27.83 
$ 28.10 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Shares granted (in dollars per share)
 
 
 
 
 
 
$ 64.80 
$ 49.60 
$ 38.31 
 
$ 91.33 
$ 69.76 
$ 53.95 
 
 
 
 
 
 
 
 
 
$ 64.80 
Shares vested (in dollars per share)
 
 
 
 
 
 
$ 34.08 
$ 21.82 
$ 34.80 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Shares forfeited (in dollars per share)
 
 
 
 
 
 
$ 47.85 
$ 12.18 
$ 20.33 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Outstanding balance at the end of the period (in dollars per share)
 
 
 
 
 
 
$ 49.66 
$ 25.99 
$ 27.83 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Income Taxes (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2011
Continuing operations
 
 
 
U.S. domestic
$ 291.9 
$ 311.8 
$ 220.0 
Foreign
41.1 
34.6 
25.0 
Earnings before income taxes from continuing operations
333.0 
346.4 
245.0 
Discontinued operations
 
 
 
U.S. domestic
(132.4)
40.6 
(4.6)
Foreign
71.9 
14.6 
11.1 
Total pre-tax income (loss) from discontinued operations
(60.5)
55.2 
6.5 
Total pre-tax income
272.5 
401.6 
251.5 
Current expense
 
 
 
Federal and State
97.2 
114.1 
65.3 
Foreign
21.9 
14.2 
11.0 
Total current expense
119.1 
128.3 
76.3 
Deferred expense (benefit)
 
 
 
Federal and State
(8.2)
(6.3)
5.0 
Foreign
(13.1)
(4.3)
(8.3)
Total deferred expense (benefit)
(21.3)
(10.6)
(3.3)
Total tax expense
97.8 
117.7 
73.0 
Reconciliation of taxes from continuing operations
 
 
 
Taxes at the 35% U.S. statutory rate
116.6 
121.2 
85.8 
State and local taxes, net of federal income tax benefit
6.2 
6.4 
4.5 
Benefit of foreign earnings taxed at lower rates
(3.0)
(2.2)
(0.1)
Benefit for domestic manufacturing deduction
(9.7)
(10.5)
(6.9)
Benefits from state tax incentives
(1.3)
 
 
Benefit associated with foreign reorganization
(11.8)
1.0 
(5.0)
Change in valuation allowance
0.8 
(2.2)
 
Other, net
 
4.0 
(5.3)
Total tax expense
97.8 
117.7 
73.0 
Effective income tax rate on continuing operations (as a percent)
29.40% 
34.00% 
29.80% 
U.S. statutory rate (as a percent)
35.00% 
35.00% 
35.00% 
Cash payments for income taxes, net of refunds
127.7 
100.8 
73.5 
Deferred tax assets (liabilities)
 
 
 
Deferred revenue
20.2 
18.8 
 
Warranty reserves
4.1 
4.5 
 
Inventory reserves
9.1 
11.0 
 
Doubtful receivables
1.9 
4.1 
 
Employee benefits
41.0 
30.0 
 
Foreign loss carry forwards
6.2 
8.7 
 
Deferred state tax attributes
18.2 
14.7 
 
Other, net
9.8 
2.7 
 
Gross deferred assets
110.5 
94.5 
 
Valuation allowances
(13.5)
(10.3)
 
Deferred tax assets after valuation allowances
97.0 
84.2 
 
Depreciation
(52.4)
(53.4)
 
Amortization
(43.2)
(35.1)
 
Acquired identifiable intangibles
(127.6)
(140.7)
 
Other, net
 
(1.0)
 
Gross deferred liabilities
(223.2)
(230.2)
 
Net deferred tax liabilities
(126.2)
(146.0)
 
Deferred tax asset for state tax loss carry forwards
14.3 
 
 
Deferred tax asset for tax loss carry forwards in foreign jurisdictions
6.2 
 
 
Valuation allowance on state tax losses
11.4 
 
 
Valuation allowance for foreign tax losses
2.1 
 
 
Deferred tax assets and liabilities
 
 
 
Deferred income taxes
35.7 
37.3 
 
Accrued Expenses
(0.8)
 
 
Other long-term assets
4.9 
4.9 
 
Other long-term liabilities
(166.0)
(188.2)
 
Net deferred tax liabilities
(126.2)
(146.0)
 
Dividend remitted
 
 
79.3 
Tax benefit of repatriation of dividend
 
 
4.2 
Italian earning repatriated
 
4.0 
 
Provision for federal or state income or withholding taxes on foreign subsidiaries' earning
 
 
Un-repatriated earnings
 
 
 
Indefinitely reinvested
403.8 
300.5 
266.9 
Not indefinitely reinvested
 
 
0.9 
Total
403.8 
300.5 
267.8 
Reconciliation of the beginning and ending amount of unrecognized tax benefits
 
 
 
Balance at the beginning of the period
9.3 
9.6 
13.1 
Additions based on tax positions related to current year
1.3 
1.5 
1.8 
Additions (reductions) related to purchase accounting
 
1.6 
(2.8)
Adjustments for tax positions of prior years
1.6 
(0.4)
0.2 
Reductions due to statute of limitations
(2.0)
(2.4)
(2.6)
Reductions due to settlements
 
(0.6)
(0.1)
Balance at the end of the period
10.2 
9.3 
9.6 
Uncertain tax position that would impact effective tax rate
8.5 
 
 
Total amount of interest and penalties accrued
$ 1.2 
$ 1.3 
$ 1.8 
Number of months within which state and foreign audits may conclude
12 months 
 
 
Minimum
 
 
 
Income tax examination
 
 
 
Period of limitation for examination
3 years 
 
 
Maximum
 
 
 
Income tax examination
 
 
 
Period of limitation for examination
5 years 
 
 
Earnings Per Share (Details) (USD $)
In Millions, except Share data, unless otherwise specified
3 Months Ended 12 Months Ended
Dec. 31, 2013
Sep. 30, 2013
Jun. 30, 2013
Mar. 31, 2013
Dec. 31, 2012
Sep. 30, 2012
Jun. 30, 2012
Mar. 31, 2012
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2011
Numerator:
 
 
 
 
 
 
 
 
 
 
 
Income from continuing operations
$ 60.2 
$ 66.4 
$ 64.3 
$ 44.3 
$ 44.0 
$ 64.4 
$ 76.1 
$ 44.2 
$ 235.2 
$ 228.7 
$ 172.0 
Less: dividends declared - common stock outstanding, unvested restricted shares and restricted share units
 
 
 
 
 
 
 
 
(53.7)
(48.0)
(43.5)
Undistributed earnings
 
 
 
 
 
 
 
 
181.5 
180.7 
128.5 
Percent allocated to common shareholders
 
 
 
 
 
 
 
 
99.50% 
99.40% 
99.00% 
Undistributed earnings allocated to common shareholders
 
 
 
 
 
 
 
 
180.6 
179.7 
127.3 
Add: dividends declared - common stock
 
 
 
 
 
 
 
 
53.4 
47.7 
43.1 
Numerator for basic and diluted EPS
 
 
 
 
 
 
 
 
234.0 
227.4 
170.4 
Denominator (in thousands):
 
 
 
 
 
 
 
 
 
 
 
Denominator for basic EPS: weighted-average common shares outstanding
 
 
 
 
 
 
 
 
63,471,000 
62,513,000 
61,457,000 
Effect of dilutive securities:
 
 
 
 
 
 
 
 
 
 
 
Performance awards (in shares)
 
 
 
 
 
 
 
 
416,000 
399,000 
318,000 
Stock options (in shares)
 
 
 
 
 
 
 
 
919,000 
698,000 
720,000 
Denominator for diluted EPS: adjusted weighted average common shares outstanding and assumed conversion
 
 
 
 
 
 
 
 
64,806,000 
63,610,000 
62,495,000 
Per share income from continuing operations:
 
 
 
 
 
 
 
 
 
 
 
Basic (in dollars per share)
$ 0.94 
$ 1.04 
$ 1.01 
$ 0.70 
$ 0.69 
$ 1.02 
$ 1.21 
$ 0.71 
$ 3.69 1
$ 3.64 1
$ 2.77 1
Diluted (in dollars per share)
$ 0.92 
$ 1.02 
$ 0.99 
$ 0.68 
$ 0.68 
$ 1.00 
$ 1.19 
$ 0.69 
$ 3.61 1
$ 3.57 1
$ 2.73 1
Basic weighted-average common shares outstanding
 
 
 
 
 
 
 
 
63,471,000 
62,513,000 
61,457,000 
Basic weighted-average common shares outstanding, unvested restricted shares expected to vest and restricted share units
 
 
 
 
 
 
 
 
63,797,000 
62,871,000 
62,047,000 
Percent allocated to common shareholders
 
 
 
 
 
 
 
 
99.50% 
99.40% 
99.00% 
Income (loss) from discontinued operations and net income
 
 
 
 
 
 
 
 
 
 
 
Income (loss) from discontinued operations attributable to common shareholders for basic and diluted earnings per share
 
 
 
 
 
 
 
 
(25.4)
41.2 
8.2 
Net income attributable to common shareholders for basic and diluted earnings per share
 
 
 
 
 
 
 
 
$ 208.6 
$ 268.6 
$ 178.6 
Antidilutive stock options excluded from EPS calculation (in shares)
 
 
 
 
 
 
 
 
 
 
200,000 
Fair Value Measurements (Details)
In Millions, unless otherwise specified
12 Months Ended 3 Months Ended 3 Months Ended 12 Months Ended
Dec. 31, 2013
USD ($)
Dec. 31, 2012
USD ($)
Dec. 31, 2013
EUR (€)
Dec. 31, 2011
USD ($)
Jun. 30, 2013
Transportation Products
USD ($)
Dec. 31, 2013
FoodService Products
USD ($)
Dec. 31, 2012
FoodService Products
USD ($)
Dec. 31, 2011
FoodService Products
USD ($)
Dec. 31, 2013
Recurring Fair Value Measurements
Total
USD ($)
Dec. 31, 2012
Recurring Fair Value Measurements
Total
USD ($)
Dec. 31, 2013
Recurring Fair Value Measurements
Quoted Prices in Active Markets for Identical Assets (Level 1)
USD ($)
Dec. 31, 2012
Recurring Fair Value Measurements
Quoted Prices in Active Markets for Identical Assets (Level 1)
USD ($)
Dec. 31, 2013
Recurring Fair Value Measurements
Significant Other Observable Inputs (Level 2)
USD ($)
Dec. 31, 2012
Recurring Fair Value Measurements
Significant Other Observable Inputs (Level 2)
USD ($)
Dec. 31, 2012
Recurring Fair Value Measurements
Significant Unobservable Inputs (Level 3)
USD ($)
Jun. 30, 2013
Nonrecurring Fair Value Measurements
Significant Unobservable Inputs (Level 3)
Transportation Products
USD ($)
Dec. 31, 2012
Nonrecurring Fair Value Measurements
Significant Unobservable Inputs (Level 3)
FoodService Products
USD ($)
Fair value measurements
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
 
 
 
 
 
 
 
 
$ 754.5 
$ 112.5 
$ 754.5 
$ 112.5 
 
 
 
 
 
Short-term investments
 
 
 
 
 
 
 
 
1.4 
0.6 
1.4 
0.6 
 
 
 
 
 
Commodity swap agreements
 
 
 
 
 
 
 
 
 
0.1 
 
 
 
0.1 
 
 
 
Foreign currency forward contracts
 
 
 
 
 
 
 
 
0.2 
0.3 
 
 
0.2 
0.3 
 
 
 
Total assets measured at fair value
 
 
 
 
 
 
 
 
756.1 
113.5 
755.9 
113.1 
0.2 
0.4 
 
 
 
Contingent consideration
 
 
 
 
 
 
 
 
 
9.9 
 
 
 
 
9.9 
 
 
Total liabilities measured at fair value
 
 
 
 
 
 
 
 
 
9.9 
 
 
 
 
9.9 
 
 
Cash and cash equivalents for the Company's deferred compensation plan
3.6 
1.6 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Short-term investments held in mutual funds and as cash for the Company's Deferred Compensation Plan
1.4 
0.6 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Goodwill impairment charge
100.0 
 
 
 
100.0 
 
 
 
 
 
 
 
 
 
 
100.0 
 
Carrying value of goodwill
858.7 
858.8 
 
845.2 
 
60.3 
60.3 
60.3 
 
 
 
 
 
 
 
 
Actual payout of contingent consideration
9.5 
 
7.0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Impairment charges on long-lived assets
$ 100.3 
$ 6.4 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 3.5 
Inventories (Details) (USD $)
In Millions, unless otherwise specified
Dec. 31, 2013
Dec. 31, 2012
Inventories
 
 
Finished goods
$ 161.0 
$ 161.2 
Work-in-process
39.3 
41.8 
Raw materials
120.0 
143.5 
Capitalized variances
4.8 
6.6 
Reserves
(26.3)
(28.1)
Inventories
$ 298.8 
$ 325.0 
Property, Plant, and Equipment (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2011
Property, Plant, and Equipment
 
 
 
Property, plant and equipment, gross
$ 965.2 
$ 882.0 
 
Accumulated depreciation
(468.0)
(416.8)
 
Property, plant and equipment, net
497.2 
465.2 
 
Capitalized interest
1.7 
1.8 
1.3 
Land
 
 
 
Property, Plant, and Equipment
 
 
 
Property, plant and equipment, gross
38.9 
35.7 
 
Buildings and leasehold improvements
 
 
 
Property, Plant, and Equipment
 
 
 
Property, plant and equipment, gross
259.1 
224.0 
 
Machinery and equipment
 
 
 
Property, Plant, and Equipment
 
 
 
Property, plant and equipment, gross
606.9 
558.9 
 
Projects in progress
 
 
 
Property, Plant, and Equipment
 
 
 
Property, plant and equipment, gross
$ 60.3 
$ 63.4 
 
Goodwill and Other Intangible Assets (Details)
In Millions, unless otherwise specified
12 Months Ended 0 Months Ended 0 Months Ended 0 Months Ended 0 Months Ended 12 Months Ended 12 Months Ended 3 Months Ended
Dec. 31, 2013
USD ($)
Dec. 31, 2012
USD ($)
Dec. 31, 2011
USD ($)
Dec. 31, 2013
Carlisle Transportation Products
USD ($)
Dec. 17, 2012
Thermax/Raydex
USD ($)
Dec. 17, 2013
Thermax/Raydex
USD ($)
Dec. 31, 2013
Thermax/Raydex
Measurement Period Adjustments
USD ($)
Dec. 31, 2012
Thermax/Raydex
Preliminary Allocation
USD ($)
Dec. 17, 2013
Thermax/Raydex
Adjustment
Measurement Period Adjustments
USD ($)
Mar. 9, 2012
Hertalan
USD ($)
Mar. 9, 2012
Hertalan
EUR (€)
Mar. 9, 2013
Hertalan
USD ($)
Mar. 31, 2012
Hertalan
Preliminary Allocation
USD ($)
Mar. 9, 2013
Hertalan
Adjustment
Measurement Period Adjustments
USD ($)
Dec. 2, 2011
Tri-Star
USD ($)
Dec. 2, 2012
Tri-Star
USD ($)
Dec. 31, 2011
Tri-Star
Preliminary Allocation
USD ($)
Dec. 2, 2012
Tri-Star
Adjustment
Measurement Period Adjustments
USD ($)
Aug. 2, 2011
PDT Phoenix GmbH
USD ($)
Aug. 2, 2011
PDT Phoenix GmbH
EUR (€)
Aug. 1, 2012
PDT Phoenix GmbH
USD ($)
Dec. 31, 2011
PDT Phoenix GmbH
Preliminary Allocation
USD ($)
Aug. 1, 2012
PDT Phoenix GmbH
Adjustment
Measurement Period Adjustments
USD ($)
Dec. 31, 2013
Discontinued Operations
USD ($)
Dec. 31, 2011
Discontinued Operations
USD ($)
Dec. 31, 2013
Carlisle Construction Materials
USD ($)
Dec. 31, 2012
Carlisle Construction Materials
USD ($)
Dec. 31, 2012
Carlisle Construction Materials
PDT Phoenix GmbH
USD ($)
Dec. 31, 2013
Carlisle Interconnect Technologies
USD ($)
Dec. 31, 2012
Carlisle Interconnect Technologies
USD ($)
Dec. 31, 2012
Carlisle Interconnect Technologies
Tri-Star
USD ($)
Dec. 31, 2013
Carlisle Brake & Friction
USD ($)
Dec. 31, 2012
Carlisle Brake & Friction
USD ($)
Dec. 31, 2011
Carlisle Brake & Friction
USD ($)
Dec. 31, 2013
Carlisle FoodService Products
USD ($)
Dec. 31, 2012
Carlisle FoodService Products
USD ($)
Dec. 31, 2011
Carlisle FoodService Products
USD ($)
Jun. 30, 2013
Transportation Products
USD ($)
Changes in the carrying amount of goodwill
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Goodwill gross, Balance at the beginning of the period
$ 1,061.7 
$ 948.1 
 
 
 
 
$ (1.8)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 202.9 
$ 202.9 
$ 127.2 
$ 112.6 
 
$ 444.6 
$ 345.6 
 
$ 226.7 
$ 226.7 
$ 226.7 
$ 60.3 
$ 60.3 
$ 60.3 
 
Accumulated impairment loss, Balance at the beginning of the period
(102.9)
(102.9)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(102.9)
(102.9)
 
 
 
 
 
 
 
 
 
 
 
 
 
Goodwill, Balance at the beginning of the period
858.8 
845.2 
 
 
 
99.1 
 
100.9 
(1.8)
 
 
13.5 
20.6 
(7.1)
 
154.9 
156.7 
(1.8)
 
 
30.4 
29.8 
0.6 
100.0 
100.0 
127.2 
112.6 
 
444.6 
345.6 
 
226.7 
226.7 
226.7 
60.3 
60.3 
60.3 
 
Goodwill acquired during the period
 
114.4 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
13.5 
 
 
100.9 
 
 
 
 
 
 
 
 
Measurement period adjustments
(1.8)
(1.2)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0.6 
0.6 
(1.8)
(1.8)
1.8 
 
 
 
 
 
 
 
Impairment Loss
(100.0)
 
 
(100.0)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(100.0)
 
 
 
 
 
 
 
 
 
 
 
 
 
(100.0)
Currency translation
1.7 
0.4 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1.9 
0.5 
 
(0.2)
(0.1)
 
 
 
 
 
 
 
 
Goodwill gross, Balance at the end of the period
1,061.6 
1,061.7 
948.1 
 
 
 
(1.8)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
202.9 
202.9 
129.1 
127.2 
 
442.6 
444.6 
 
226.7 
226.7 
226.7 
60.3 
60.3 
60.3 
 
Accumulated impairment loss, Balance at the end of the period
(202.9)
(102.9)
(102.9)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(202.9)
(102.9)
 
 
 
 
 
 
 
 
 
 
 
 
 
Goodwill, Balance at the end of the period
858.7 
858.8 
845.2 
 
 
99.1 
 
100.9 
(1.8)
 
 
13.5 
20.6 
(7.1)
 
154.9 
156.7 
(1.8)
 
 
30.4 
29.8 
0.6 
 
100.0 
129.1 
127.2 
 
442.6 
444.6 
 
226.7 
226.7 
226.7 
60.3 
60.3 
60.3 
 
Goodwill, including continuing and discontinued operations
 
958.8 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Aggregate cash purchase price, net of cash acquired
 
314.3 
392.9 
 
265.5 
 
 
 
 
48.9 
37.3 
 
 
 
284.8 
 
 
 
111.0 
77.0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash acquired in business combination
 
 
 
 
$ 0.1 
 
 
 
 
$ 0.1 
€ 0.1 
 
 
 
$ 4.5 
 
 
 
$ 7.6 
€ 5.3 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Goodwill and Other Intangible Assets (Details 2) (USD $)
In Millions, unless otherwise specified
Dec. 31, 2013
Dec. 31, 2012
Other intangible assets, net
 
 
Other intangible assets, Acquired Cost
$ 714.9 
$ 712.8 
Other intangible assets, Accumulated Amortization
(135.1)
(98.0)
Other intangible assets, net
579.8 
614.8 
Estimated amortization expense
 
 
2014
37.3 
 
2015
36.5 
 
2016
35.6 
 
2017
34.8 
 
2018
34.8 
 
Trade names
 
 
Assets not subject to amortization:
 
 
Acquired Cost
118.0 
117.3 
Net Book Value
118.0 
117.3 
Patents
 
 
Other intangible assets
 
 
Acquired Cost
134.6 
133.2 
Accumulated Amortization
(29.2)
(20.0)
Net Book Value
105.4 
113.2 
Customer Relationships
 
 
Other intangible assets
 
 
Acquired Cost
443.3 
441.4 
Accumulated Amortization
(95.8)
(68.3)
Net Book Value
347.5 
373.1 
Other
 
 
Other intangible assets
 
 
Acquired Cost
19.0 
20.9 
Accumulated Amortization
(10.1)
(9.7)
Net Book Value
$ 8.9 
$ 11.2 
Goodwill and Other Intangible Assets (Details 3) (USD $)
In Millions, unless otherwise specified
Dec. 31, 2013
Dec. 31, 2012
Net book value of other intangible assets by the reportable segment
 
 
Other intangible assets, net
$ 579.8 
$ 614.8 
Carlisle Construction Materials
 
 
Net book value of other intangible assets by the reportable segment
 
 
Other intangible assets, net
86.9 
89.7 
Carlisle Interconnect Technologies
 
 
Net book value of other intangible assets by the reportable segment
 
 
Other intangible assets, net
330.8 
353.4 
Carlisle Brake & Friction
 
 
Net book value of other intangible assets by the reportable segment
 
 
Other intangible assets, net
130.1 
136.8 
Carlisle FoodService Products
 
 
Net book value of other intangible assets by the reportable segment
 
 
Other intangible assets, net
$ 32.0 
$ 34.9 
Goodwill and Other Intangible Assets (Details 4) (Customer Relationships, USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Intangible assets
 
 
Gross Balance
$ 443.3 
$ 441.4 
Estimated useful life 5 years
 
 
Intangible assets
 
 
Estimated useful life
5 years 
 
Gross Balance
13.7 
13.7 
Estimated useful life 9 years
 
 
Intangible assets
 
 
Estimated useful life
9 years 
 
Gross Balance
15.5 
14.8 
Estimated useful life 10 years
 
 
Intangible assets
 
 
Estimated useful life
10 years 
 
Gross Balance
10.2 
10.2 
Estimated useful life 12 years
 
 
Intangible assets
 
 
Estimated useful life
12 years 
 
Gross Balance
62.1 
62.1 
Estimated useful life 15 years
 
 
Intangible assets
 
 
Estimated useful life
15 years 
 
Gross Balance
39.1 
39.1 
Estimated useful life 16 years
 
 
Intangible assets
 
 
Estimated useful life
16 years 
 
Gross Balance
48.7 
48.7 
Estimated useful life 17 years
 
 
Intangible assets
 
 
Estimated useful life
17 years 
 
Gross Balance
21.7 
21.5 
Estimated useful life 18 years
 
 
Intangible assets
 
 
Estimated useful life
18 years 
 
Gross Balance
101.7 
101.7 
Estimated useful life 19 years
 
 
Intangible assets
 
 
Estimated useful life
19 years 
 
Gross Balance
22.9 
21.9 
Estimated useful life 20 years
 
 
Intangible assets
 
 
Estimated useful life
20 years 
 
Gross Balance
75.0 
75.0 
Estimated useful life 21 years
 
 
Intangible assets
 
 
Estimated useful life
21 years 
 
Gross Balance
$ 32.7 
$ 32.7 
Commitments and Contingencies (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2013
item
Dec. 31, 2012
Dec. 31, 2011
Commitments and Contingencies
 
 
 
Number of leases that require rent to be paid based on contingent events
 
 
Rent expense
$ 23.9 
$ 24.0 
$ 19.5 
Future minimum payments
 
 
 
2014
15.5 
 
 
2015
11.9 
 
 
2016
9.6 
 
 
2017
7.9 
 
 
2018
7.0 
 
 
Thereafter
8.5 
 
 
Purchase Obligations
 
 
 
Number of purchase agreements with contractual term exceeding one year
 
 
Maximum term of purchase agreements for certain key raw materials
1 year 
 
 
Workers' Compensation Claims and Related Losses
 
 
 
Accrued workers compensation claims
26.9 
24.1 
 
Workers' compensation included in accrued expenses
9.1 
7.1 
 
Workers' compensation included in other long-term liabilities
17.8 
17.0 
 
Limits in excess of occurrence for reimbursement of workers' compensation
0.5 
 
 
Asbestos-related injury
 
 
 
Litigation
 
 
 
Accounting effect of dismissals or settlements
$ 0 
 
 
Borrowings (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended 0 Months Ended 12 Months Ended 12 Months Ended 0 Months Ended 12 Months Ended 12 Months Ended 12 Months Ended 1 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2011
Nov. 20, 2012
3.75% senior notes due 2022
Dec. 31, 2013
3.75% senior notes due 2022
Dec. 31, 2012
3.75% senior notes due 2022
Dec. 31, 2013
3.75% senior notes due 2022
Change-in-control
Dec. 31, 2013
3.75% senior notes due 2022
Subsidiaries
Dec. 31, 2013
3.75% senior notes due 2022
Significant Observable Inputs (Level 2)
Dec. 9, 2010
5.125% senior notes due 2020
Dec. 31, 2013
5.125% senior notes due 2020
Dec. 31, 2012
5.125% senior notes due 2020
Dec. 31, 2013
5.125% senior notes due 2020
Change-in-control
Dec. 31, 2013
5.125% senior notes due 2020
Subsidiaries
Dec. 31, 2013
5.125% senior notes due 2020
Significant Observable Inputs (Level 2)
Dec. 31, 2013
6.125% senior notes due 2016
Dec. 31, 2012
6.125% senior notes due 2016
Dec. 31, 2013
6.125% senior notes due 2016
Significant Observable Inputs (Level 2)
Dec. 31, 2013
Revolving credit facility
Dec. 31, 2012
Revolving credit facility
Oct. 20, 2011
Revolving credit facility
Dec. 31, 2013
Industrial development and revenue bonds through 2018
Dec. 31, 2012
Industrial development and revenue bonds through 2018
Dec. 31, 2013
Other, including capital lease obligations
Dec. 31, 2012
Other, including capital lease obligations
Dec. 31, 2013
Uncommitted line of credit
Dec. 31, 2012
Uncommitted line of credit
Borrowings
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total long-term debt
$ 751.0 
$ 752.3 
 
 
$ 349.0 
$ 348.9 
 
 
 
 
$ 249.2 
$ 249.1 
 
 
 
$ 149.7 
$ 149.6 
 
 
 
 
$ 3.0 
$ 4.5 
$ 0.1 
$ 0.2 
 
 
Total long-term debt, net of current portion
751.0 
752.3 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest rate (as a percent)
 
 
 
3.75% 
3.75% 
 
 
 
 
5.125% 
5.125% 
 
 
 
 
6.125% 
 
 
 
 
 
 
 
 
 
 
 
Unamortized discount
 
 
 
(1.1)
(1.0)
(1.1)
 
 
 
(1.1)
(0.8)
(0.9)
 
 
 
(0.3)
(0.4)
 
 
 
 
 
 
 
 
 
 
Par value of senior notes
 
 
 
350.0 
350.0 
 
 
 
 
250.0 
250.0 
 
 
 
 
150.0 
 
 
 
 
 
 
 
 
 
 
 
Proceeds from issuance of debt
 
 
 
348.9 
 
 
 
 
 
248.9 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Issuance costs including underwriter's, credit rating agencies' and attorneys' fees and other costs, which are included in other long-term assets
0.6 
2.9 
1.8 
2.9 
 
 
 
 
 
1.9 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Long-term debt redemption price, description of variable discount rate
 
 
 
 
Treasury Rate 
 
 
 
 
 
Treasury Rate 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Long-term debt redemption price, basis spread on variable discount rate (as a percent)
 
 
 
 
0.35% 
 
 
 
 
 
0.35% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Percentage of principal amount at which the entity may redeem some or all of the notes prior to specified date
 
 
 
 
100.00% 
 
 
 
 
 
100.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Percentage of principal amount at which the entity may redeem some or all of the notes after specified date
 
 
 
 
100.00% 
 
 
 
 
 
100.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Percentage of the principal amount at which the notes are redeemable
 
 
 
 
 
 
101.00% 
 
 
 
 
 
101.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Subsidiaries indebtedness
 
 
 
 
 
 
 
3.1 
 
 
 
 
 
3.1 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fair value of notes
 
 
 
 
 
 
 
 
326.3 
 
 
 
 
 
259.8 
 
 
163.8 
 
 
 
 
 
 
 
 
 
Maximum borrowing capacity
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
600.0 
 
 
 
 
45.0 
45.0 
Remaining borrowing capacity
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
600.0 
 
 
 
 
 
 
 
 
Repayment of debt
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1.5 
 
 
 
 
 
Average interest rate (as a percent)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1.30% 
 
1.09% 
1.22% 
 
 
 
1.58% 
Interest on borrowings
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Amount outstanding
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Outstanding issued letters of credit
29.7 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest income
0.5 
0.5 
0.5 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash payments for interest
35.0 
25.7 
23.0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Long-term debt, by maturity
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2016
150.0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2018
3.0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2020
250 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2022
$ 350.0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Retirement Plans (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2011
Projected benefit obligation
 
 
 
Settlement due to divestiture
 
$ 5.6 
 
Fair value of plan assets
 
 
 
End of year
173.5 
209.6 
 
Settlement cost
 
5.6 
 
Defined Benefit Plans
 
 
 
Retirement Plans
 
 
 
Unrecognized actuarial losses, before tax
44.3 
 
 
Unrecognized actuarial losses, net of tax
27.6 
 
 
Unrecognized prior service cost, before tax
1.0 
 
 
Unrecognized prior service cost, net of tax
0.6 
 
 
Prior service cost included in accumulated other comprehensive income and expected to be recognized in net periodic pension costs
0.2 
 
 
Prior service cost included in Accumulated other comprehensive income and expected to be recognized in net periodic pension costs, net of tax
0.1 
 
 
Actuarial loss included in accumulated other comprehensive income and expected to be recognized in net periodic pension costs
3.7 
 
 
Actuarial loss included in accumulated other comprehensive income and expected to be recognized in net periodic pension costs, net of tax
2.3 
 
 
Projected benefit obligation
 
 
 
Beginning of year
207.3 
214.8 
 
Service cost
5.1 
4.7 
5.2 
Interest cost
8.1 
9.8 
10.7 
Actuarial (gain)/loss
(5.6)
6.5 
 
Settlement due to divestiture
(18.6)
5.6 
 
Benefits paid
(16.6)
(28.5)
 
End of year
179.7 
207.3 
214.8 
Fair value of plan assets
 
 
 
Beginning of year
209.6 
211.7 
 
Actual return on plan assets
(0.8)
21.2 
 
Company contributions
1.3 
5.2 
 
Foreign currency
(0.2)
 
(0.1)
Benefits paid
(16.6)
(28.5)
 
Sub Total
193.3 
209.6 
 
Due to AIP (estimate)
(19.8)
 
 
End of year
173.5 
209.6 
211.7 
(Unfunded) funded status end of year
(6.2)
2.3 
 
Accumulated benefit obligation at end of year
175.0 
202.3 
 
Amount in pension liabilities settled to AIP
18.6 
 
 
Settlement cost
(18.6)
5.6 
 
Post-retirement Welfare Plans
 
 
 
Retirement Plans
 
 
 
Unrecognized actuarial losses, before tax
0.2 
 
 
Unrecognized actuarial losses, net of tax
0.1 
 
 
Unrecognized prior service cost, before tax
0.3 
 
 
Unrecognized prior service cost, net of tax
0.2 
 
 
Prior service cost included in accumulated other comprehensive income and expected to be recognized in net periodic pension costs
0.1 
 
 
Prior service cost included in Accumulated other comprehensive income and expected to be recognized in net periodic pension costs, net of tax
0.1 
 
 
Actuarial loss included in accumulated other comprehensive income and expected to be recognized in net periodic pension costs
0.1 
 
 
Actuarial loss included in accumulated other comprehensive income and expected to be recognized in net periodic pension costs, net of tax
0.1 
 
 
Projected benefit obligation
 
 
 
Beginning of year
4.5 
4.0 
3.9 
Interest cost
0.2 
0.2 
0.2 
Participant contributions
 
0.1 
0.2 
Actuarial (gain)/loss
(0.9)
0.7 
0.1 
Settlement due to divestiture
1.2 
 
 
Benefits paid
(0.1)
(0.5)
(0.4)
End of year
2.5 
4.5 
4.0 
Fair value of plan assets
 
 
 
Benefits paid
(0.1)
(0.5)
(0.4)
Amount in pension liabilities settled to AIP
1.2 
 
 
Settlement cost
1.2 
 
 
Previously unrecognized actuarial loss in Accumulated Other Comprehensive Income recognized into earnings due to the settlement of the liability
0.3 
 
 
Executive supplemental and director defined benefit pension plans
 
 
 
Projected benefit obligation
 
 
 
End of year
17.7 
 
 
Fair value of plan assets
 
 
 
Company contributions
1.0 
 
 
End of year
$ 0 
 
 
Retirement Plans (Details 2) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Retirement Plans
 
 
Fair value of plan assets
$ 173.5 
$ 209.6 
Cash
 
 
Retirement Plans
 
 
Fair value of plan assets
0.6 
 
Equity mutual funds
 
 
Retirement Plans
 
 
Fair value of plan assets
23.8 
26.1 
Target allocation percentage of investments
12.00% 
 
Fixed income mutual funds
 
 
Retirement Plans
 
 
Fair value of plan assets
168.9 
183.5 
Target allocation percentage of investments
88.00% 
 
Cash, equity and fixed income mutual funds
 
 
Retirement Plans
 
 
Fair value of plan assets
193.4 
 
Due to AIP (estimate)
 
 
Retirement Plans
 
 
Fair value of plan assets
(19.8)
 
Quoted Prices in Active Markets for Identical Assets (Level 1)
 
 
Retirement Plans
 
 
Fair value of plan assets
173.5 
198.9 
Quoted Prices in Active Markets for Identical Assets (Level 1) |
Cash
 
 
Retirement Plans
 
 
Fair value of plan assets
0.6 
 
Quoted Prices in Active Markets for Identical Assets (Level 1) |
Equity mutual funds
 
 
Retirement Plans
 
 
Fair value of plan assets
23.8 
24.6 
Quoted Prices in Active Markets for Identical Assets (Level 1) |
Fixed income mutual funds
 
 
Retirement Plans
 
 
Fair value of plan assets
168.9 
174.3 
Quoted Prices in Active Markets for Identical Assets (Level 1) |
Cash, equity and fixed income mutual funds
 
 
Retirement Plans
 
 
Fair value of plan assets
193.4 
 
Quoted Prices in Active Markets for Identical Assets (Level 1) |
Due to AIP (estimate)
 
 
Retirement Plans
 
 
Fair value of plan assets
(19.8)
 
Significant Observable Inputs (Level 2)
 
 
Retirement Plans
 
 
Fair value of plan assets
 
10.7 
Significant Observable Inputs (Level 2) |
Equity mutual funds
 
 
Retirement Plans
 
 
Fair value of plan assets
 
1.5 
Significant Observable Inputs (Level 2) |
Fixed income mutual funds
 
 
Retirement Plans
 
 
Fair value of plan assets
 
$ 9.2 
Retirement Plans (Details 3) (USD $)
In Millions, unless otherwise specified
0 Months Ended 12 Months Ended
Dec. 3, 2012
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2011
Net asset (liability)
 
 
 
 
Noncurrent liabilities
 
$ (18.9)
$ (23.9)
 
Components of net periodic benefit cost
 
 
 
 
Settlement cost
 
 
5.6 
 
Defined Contribution Plans
 
 
 
 
Defined contribution plan expense recognized
 
11.4 
11.3 
10.7 
Maximum percentage of employee compensation match by employer to employee stock ownership plan
 
4.00% 
 
 
Maximum percentage of employee compensation match by employer to non union employee stock ownership plan
 
50.00% 
 
 
Contributions expected to be made by employer to pension plans in 2012
 
 
15.0 
 
Shares held by the ESOP plan
 
1.7 
1.8 
1.9 
Defined Benefit Plans
 
 
 
 
Retirement Plans
 
 
 
 
Company's contribution to pension plan
 
1.3 
5.2 
 
Expected employer contributions in next fiscal year
 
0.2 
 
 
Net asset (liability)
 
 
 
 
Noncurrent assets
 
11.4 
22.6 
 
Current liabilities
 
(1.0)
(1.0)
 
Noncurrent liabilities
 
(16.6)
(19.3)
 
Asset (liability) at end of year
 
(6.2)
2.3 
 
Components of net periodic benefit cost
 
 
 
 
Service cost
 
5.1 
4.7 
5.2 
Interest cost
 
8.1 
9.8 
10.7 
Expected return on plan assets
 
(12.2)
(14.1)
(14.7)
Settlement/curtailment cost
 
8.9 
5.6 
 
Foreign currency
 
(0.2)
 
(0.1)
Amortization of unrecognized net loss
 
6.5 
4.9 
4.6 
Amortization of prior service credit
 
0.3 
0.1 
(0.1)
Net periodic benefit cost
 
16.7 
11.0 
5.6 
Settlement cost
 
(18.6)
5.6 
 
Weighted-average assumptions for benefit obligations
 
 
 
 
Discount rate (as a percent)
3.75% 
4.43% 
4.02% 
 
Rate of compensation increase (as a percent)
4.29% 
3.46% 
3.46% 
 
Expected long-term return on plan assets (as a percent)
6.50% 
6.45% 
6.53% 
 
Weighted-average assumptions for net periodic benefit cost
 
 
 
 
Discount rate (as a percent)
 
3.77% 
4.77% 
5.14% 
Rate of compensation increase (as a percent)
 
4.29% 
4.29% 
4.29% 
Expected long-term return on plan assets (as a percent)
 
6.50% 
7.00% 
7.00% 
Estimated future benefit payments
 
 
 
 
2014
 
17.2 
 
 
2015
 
16.1 
 
 
2016
 
15.1 
 
 
2017
 
15.0 
 
 
2018
 
14.7 
 
 
2019-2023
 
67.5 
 
 
Defined Benefit Plans |
Carlisle Transportation Products
 
 
 
 
Components of net periodic benefit cost
 
 
 
 
Settlement/curtailment cost
 
8.1 
 
 
Settlement cost
 
7.3 
 
 
Previously unrecognized actuarial loss in Accumulated Other Comprehensive Income recognized into earnings due to the settlement of the liability
 
6.1 
 
 
Curtailment loss related to liability loss and recognition of prior service cost
 
0.8 
 
 
Post-retirement Welfare Plans
 
 
 
 
Net asset (liability)
 
 
 
 
Current liabilities
 
(0.2)
(0.4)
 
Noncurrent liabilities
 
(2.3)
(4.1)
 
Asset (liability) at end of year
 
(2.5)
(4.5)
 
Components of net periodic benefit cost
 
 
 
 
Interest cost
 
0.2 
0.2 
0.2 
Settlement/curtailment cost
 
0.3 
 
 
Amortization of prior service credit
 
0.1 
0.1 
0.1 
Amortization of unrecognized net obligation
 
0.1 
0.2 
0.1 
Net periodic benefit cost
 
0.7 
0.5 
0.4 
Settlement cost
 
1.2 
 
 
Previously unrecognized actuarial loss in Accumulated Other Comprehensive Income recognized into earnings due to the settlement of the liability
 
0.3 
 
 
Weighted-average assumptions for benefit obligations
 
 
 
 
Discount rate (as a percent)
 
4.51% 
3.77% 
 
Assumed health care cost trend rate for current year (as a percent)
 
7.00% 
 
 
Ultimate health care cost trend rate (as a percent)
 
5.00% 
 
 
Weighted-average assumptions for net periodic benefit cost
 
 
 
 
Discount rate (as a percent)
 
3.77% 
4.73% 
5.17% 
Estimated future benefit payments
 
 
 
 
2014
 
0.2 
 
 
2015
 
0.2 
 
 
2016
 
0.2 
 
 
2017
 
0.2 
 
 
2018
 
0.2 
 
 
2019-2023
 
0.9 
 
 
Executive supplemental and director defined benefit pension plans
 
 
 
 
Retirement Plans
 
 
 
 
Company's contribution to pension plan
 
1.0 
 
 
Expected employer contributions in next fiscal year
 
$ 1.0 
 
 
Deferred Revenue and Extended Product Warranties (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Roofing Systems Product
 
 
Product Warranties
 
 
Deferred revenue recognized related to extended product warranties
$ 17.3 
$ 21.5 
Deferred revenue
 
 
Current
17.0 
16.8 
Long-term
142.8 
134.2 
Deferred revenue liability
159.8 
151.0 
Brake pads
 
 
Deferred revenue
 
 
Current
0.4 
0.8 
Long-term
0.8 
1.2 
Deferred revenue liability
$ 1.2 
$ 2.0 
Standard Product Warranties (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Change in aggregate product warranty liabilities, including accrued costs and loss reserves in excess of deferred revenue
 
 
Beginning reserve
$ 16.3 
$ 19.9 
Current year provision
16.8 
12.2 
Current year claims
(19.4)
(15.8)
Ending reserve
$ 13.7 
$ 16.3 
Other Long-Term Liabilities (Details) (USD $)
In Millions, unless otherwise specified
Dec. 31, 2013
Dec. 31, 2012
Other Long-Term Liabilities
 
 
Deferred taxes and other tax liabilities
$ 177.6 
$ 198.7 
Pension and other post-retirement obligations
18.9 
23.9 
Long-term workers compensation
17.8 
17.0 
Deferred credits
9.1 
14.4 
Deferred compensation
11.3 
7.7 
Other
1.2 
1.6 
Total
$ 235.9 
$ 263.3 
Shareholders' Rights (Details)
1 Months Ended 12 Months Ended
May 31, 1986
item
Dec. 31, 2013
item
Mar. 3, 1989
Shareholders' Equity
 
 
 
Number of Preferred Stock Purchase Right (the "Rights") for each outstanding share of the entity's common stock
 
 
Percentage of common stock to be acquired for rights to be exercisable
 
25.00% 
 
Percentage of voting power to be acquired for rights to be exercisable
 
40.00% 
 
Percentage of discount at which rights holders may purchase the Company's common stock on exercise of rights
 
50.00% 
 
Percentage of discount at which rights holders may purchase the acquirer's shares in case of merger or other business combination
 
50.00% 
 
Number of votes per share
 
 
Number of votes per share that the holder is entitled for shares acquired after May 30, 1986
 
 
Number of years shares purchased after May 30, 1986 must be held to be entitled to five votes per share
 
4 years 
 
Number of votes per share after holding shares purchased after May 30, 1986 for four years
 
 
Accumulated Other Comprehensive Income (Loss) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended 0 Months Ended 12 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2011
Dec. 31, 2013
6.125% senior notes due 2016
Aug. 15, 2006
Cash flow hedge
Jun. 15, 2005
Cash flow hedge
Dec. 31, 2013
Accrued post-retirement benefit liability
Dec. 31, 2012
Accrued post-retirement benefit liability
Dec. 31, 2013
Accrued post-retirement benefit liability
Defined Benefit Plans
Carlisle Transportation Products
Dec. 31, 2013
Accrued post-retirement benefit liability
Post-retirement Welfare Plans
Carlisle Transportation Products
Dec. 31, 2013
Foreign currency translation
Dec. 31, 2012
Foreign currency translation
Dec. 31, 2013
Foreign currency translation
Carlisle Transportation Products
Dec. 31, 2013
Hedging activities
Dec. 31, 2012
Hedging activities
Accumulated balances for each classification of comprehensive income (loss)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Balance at the beginning of the period
$ (35.5)
$ (45.0)
 
 
 
 
$ (34.1)
$ (40.7)
 
 
$ (2.7)
$ (5.9)
 
$ 1.3 
$ 1.6 
Other comprehensive income (loss) before reclassifications
5.4 
8.3 
 
 
 
 
2.8 
5.1 
 
 
2.6 
3.2 
 
 
 
Amounts reclassified from accumulated other comprehensive loss
1.2 
4.8 
 
 
 
 
5.9 
5.3 
 
 
(4.2)
 
 
(0.5)
(0.5)
Income tax expense
(2.6)
(3.6)
 
 
 
 
(2.8)
(3.8)
 
 
 
 
 
0.2 
0.2 
Net Other comprehensive income (loss)
4.0 
9.5 
(6.9)
 
 
 
5.9 
6.6 
 
 
(1.6)
3.2 
 
(0.3)
(0.3)
Balance at the end of the period
(31.5)
(35.5)
(45.0)
 
 
 
(28.2)
(34.1)
 
 
(4.3)
(2.7)
 
1.0 
1.3 
Amounts reclassified from accumulated other comprehensive loss related to settlement costs
 
 
 
 
 
 
 
 
7.3 
0.3 
 
 
 
 
 
Amounts reclassified from accumulated other comprehensive loss related to curtailment charges
 
 
 
 
 
 
 
 
0.8 
 
 
 
 
 
 
Amounts reclassified from accumulated other comprehensive loss related to the Canadian operations
 
 
 
 
 
 
 
 
 
 
 
 
4.2 
 
 
Notional amount of treasury lock contracts to hedge cash flow variability on forecasted debt interest payments associated with changes in interest rates
 
 
 
 
 
150.0 
 
 
 
 
 
 
 
 
 
Amortization of gain resulting from termination of treasury lock contracts, before tax
 
 
 
 
5.6 
 
 
 
 
 
 
 
 
 
 
Amortization of gain resulting from termination of treasury lock contracts, net of tax
 
 
 
 
3.5 
 
 
 
 
 
 
 
 
 
 
Par value of senior notes
 
 
 
150.0 
 
 
 
 
 
 
 
 
 
 
 
Remaining unamortized gain reflected in accumulated other comprehensive loss resulting from termination of treasury lock contracts, before tax
1.5 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Remaining unamortized gain reflected in accumulated other comprehensive loss resulting from termination of treasury lock contracts, after tax
$ 1.0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Quarterly Financial Data (Unaudited) (Details) (USD $)
In Millions, except Per Share data, unless otherwise specified
3 Months Ended 12 Months Ended
Dec. 31, 2013
Sep. 30, 2013
Jun. 30, 2013
Mar. 31, 2013
Dec. 31, 2012
Sep. 30, 2012
Jun. 30, 2012
Mar. 31, 2012
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2011
Quarterly Financial Data (Unaudited)
 
 
 
 
 
 
 
 
 
 
 
Net sales
$ 724.0 
$ 796.8 
$ 792.6 
$ 629.6 
$ 683.6 
$ 745.0 
$ 773.2 
$ 649.4 
$ 2,943.0 
$ 2,851.2 
$ 2,492.4 
Gross profit
185.8 
200.3 
207.1 
152.4 
181.1 
200.6 
216.5 
168.8 
745.6 
767.0 
 
Other expenses
93.4 
90.7 
97.7 
97.0 
108.6 
97.5 
95.6 
93.7 
378.8 
395.1 
 
Earnings before interest and income taxes
92.4 
109.6 
109.4 
55.4 
72.5 
103.1 
121.0 
75.3 
366.8 
371.9 
266.0 
Income from continuing operations, net of tax
60.2 
66.4 
64.3 
44.3 
44.0 
64.4 
76.1 
44.2 
235.2 
228.7 
172.0 
Basic earnings per share from continuing operations (in dollars per share)
$ 0.94 
$ 1.04 
$ 1.01 
$ 0.70 
$ 0.69 
$ 1.02 
$ 1.21 
$ 0.71 
$ 3.69 1
$ 3.64 1
$ 2.77 1
Diluted earnings per share from continuing operations (in dollars per share)
$ 0.92 
$ 1.02 
$ 0.99 
$ 0.68 
$ 0.68 
$ 1.00 
$ 1.19 
$ 0.69 
$ 3.61 1
$ 3.57 1
$ 2.73 1
Income (loss) from discontinued operations, net of tax
9.5 
10.2 
(56.2)
11.0 
3.9 
5.1 
16.7 
15.8 
(25.5)
41.5 
8.3 
Basic income per share from discontinued operations (in dollars per share)
$ 0.15 
$ 0.16 
$ (0.88)
$ 0.17 
$ 0.06 
$ 0.08 
$ 0.27 
$ 0.25 
$ (0.40)1
$ 0.66 1
$ 0.14 1
Diluted income per share from discontinued operations (in dollars per share)
$ 0.15 
$ 0.15 
$ (0.86)
$ 0.17 
$ 0.06 
$ 0.08 
$ 0.26 
$ 0.25 
$ (0.39)1
$ 0.65 1
$ 0.13 1
Net income
$ 69.7 
$ 76.6 
$ 8.1 
$ 55.3 
$ 47.9 
$ 69.5 
$ 92.8 
$ 60.0 
$ 209.7 
$ 270.2 
 
Basic Earnings per share (in dollars per share)
$ 1.09 
$ 1.20 
$ 0.13 
$ 0.87 
$ 0.75 
$ 1.10 
$ 1.48 
$ 0.96 
$ 3.29 1
$ 4.30 1
$ 2.91 1
Diluted earnings per share (in dollars per share)
$ 1.07 
$ 1.17 
$ 0.13 
$ 0.85 
$ 0.74 
$ 1.08 
$ 1.45 
$ 0.94 
$ 3.22 1
$ 4.22 1
$ 2.86 1
Dividends earnings per share (in dollars per share)
$ 0.22 
$ 0.22 
$ 0.20 
$ 0.20 
$ 0.20 
$ 0.20 
$ 0.18 
$ 0.18 
$ 0.84 
$ 0.76 
$ 0.70 
Stock price:
 
 
 
 
 
 
 
 
 
 
 
High (in dollars per share)
$ 80.21 
$ 70.48 
$ 68.12 
$ 70.55 
$ 59.36 
$ 55.19 
$ 56.03 
$ 51.16 
 
 
 
Low (in dollars per share)
$ 67.98 
$ 62.00 
$ 60.34 
$ 59.19 
$ 51.10 
$ 48.25 
$ 48.69 
$ 45.56