Energizer 2015 Annual Report Download - page 62

ENERGIZER HOLDINGS, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Dollars in millions, except per share)
58
The following table summarizes the activity related to the 2013 restructuring project for the twelve months ended September
30, 2015 and 2014.
Utilized
October 1,
2014 Charge to Income Other (a) Cash Non- Cash September 30, 2015
Severance & Termination Related Costs $ 12.4 $ 7.0 $ (2.3) $ (13.1) $ — $ 4.0
Accelerated Depreciation — 9.1 — — (9.1) —
Other Costs — 4.5 — (4.5) — —
Net loss on asset sale — (11.0) 0.3 13.7 (3.0) —
Total $ 12.4 $ 9.6 $ (2.0) $ (3.9) $ (12.1) $ 4.0
Utilized
October 1,
2013 Charge to Income Other (a) Cash Non- Cash September 30, 2014
Severance & Termination Related Costs $ 13.8 $ 11.5 $ (0.3) $ (12.6) $ — $ 12.4
Accelerated Depreciation — 4.1 — — (4.1) —
Other Costs 5.7 25.5 — (29.9)(1.3) —
Net loss on asset sale — 2.4 — 4.9 (7.3) —
Total $ 19.5 $ 43.5 $ (0.3) $ (37.6) $ (12.7) $ 12.4
(a) Includes the impact of currency translation and $4.1 of separation related adjustments in fiscal 2015.
(5) Acquisitions
On December 12, 2014, Edgewell, on behalf of Energizer, completed an acquisition of a battery manufacturing facility in China
related to the Household Products business for approximately $12.1, primarily related to the purchase of fixed assets. As of
September 30, 2015, the purchase price allocation was complete. We have determined the fair values of assets acquired and
liabilities assumed for purposes of allocating the purchase price in accordance with accounting guidance for business
combinations. Based on the allocation of the purchase price, this transaction resulted in approximately $2.3 of goodwill.
(6) Venezuela
Effective January 1, 2010, the financial statements for our Venezuela subsidiary were consolidated under the rules governing
the translation of financial information in a highly inflationary economy based on the use of the blended National Consumer
Price Index in Venezuela. Under generally accepted accounting principles, an economy is considered highly inflationary if the
cumulative inflation rate for a three-year period meets or exceeds 100%. If a subsidiary is considered to be in a highly
inflationary economy, the financial statements of the subsidiary must be remeasured into our reporting currency (U.S. dollar)
and future exchange gains and losses from the re-measurement of monetary assets and liabilities are reflected in current
earnings, rather than exclusively in the equity section of the balance sheet, until such times as the economy is no longer
considered highly inflationary.
Prior to March 31, 2015, Edgewell included the results of its Venezuelan operations in its consolidated financial statements
using the consolidation method of accounting. Edgewell’s Venezuelan earnings and cash flows were reflected in their
consolidated financial statements at the official exchange rate of 6.30 bolivars per U.S. dollar for the sixth months ended March
31, 2015. At March 31, 2015, Edgewell had $33.8 of USD intercompany receivables due from its Venezuela subsidiaries, for
household and personal care products previously imported, the majority of which have been outstanding since Fiscal 2010. As
of March 31, 2015, Edgewell’s Venezuela subsidiary held bolivar denominated cash deposits of $93.8 (at the 6.30 per U.S.
dollar rate).
Venezuelan exchange control regulations have resulted in an other-than-temporary lack of exchangeability between the
Venezuelan bolivar and U.S. dollar, and have restricted Edgewell’s Venezuelan operations’ ability to pay dividends and settle