
| 2842 | Not applicable | |||||||||||||||||||
(State or other jurisdiction of incorporation or organization) | (Primary Standard Industrial Classification Code Number) | (I.R.S. Employer Identification No.) | ||||||||||||||||||
| (Address of registrant's principal executive offices) | (Zip Code) | |||||||||||||||||||
| Title of each class | Trading Symbol | Name of the exchange on which registered | |||||||||||||||||||||
| Page Number | ||||||||
| Type of Facility or Property | Owned | Leased | Approximate Square Footage | ||||||||
| Manufacturing | 14 | 11 | 2,558,425 | ||||||||
| Office | 5 | 88 | 1,363,146 | ||||||||
| Warehouse | 1 | 35 | 1,016,211 | ||||||||
| Land | 5 | 2 | 537,244 | ||||||||
| Storage | — | 48 | 103,292 | ||||||||
| Service Center | 1 | 11 | 67,913 | ||||||||
| Laboratory | 1 | 3 | 63,946 | ||||||||
| Other | 1 | 17 | 44,466 | ||||||||
| Total | 28 | 215 | 5,754,643 | ||||||||
| (in millions except per share amounts) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | |||||||||||
| Net sales | $ | 2,765.9 | $ | 2,618.9 | $ | 2,629.2 | ||||||||
| Cost of sales | 1,890.1 | 1,601.6 | 1,559.4 | |||||||||||
| Gross profit | 875.8 | 1,017.3 | 1,069.8 | |||||||||||
| Selling, general and administrative expenses | 797.6 | 826.8 | 835.7 | |||||||||||
| Transaction and integration costs | 51.3 | 45.8 | 37.0 | |||||||||||
| Management fee | — | 19.4 | 7.5 | |||||||||||
| Amortization of intangible assets | 90.2 | 96.7 | 98.2 | |||||||||||
| Restructuring and exit costs | 48.7 | 38.4 | 32.1 | |||||||||||
| Operating income (loss) | (112.0) | (9.8) | 59.3 | |||||||||||
| Interest expense | 112.0 | 126.3 | 127.7 | |||||||||||
| Foreign currency (gain) loss related to hyperinflationary subsidiaries | (1.9) | (2.1) | 1.6 | |||||||||||
| Loss on extinguishment of debt | — | 15.6 | — | |||||||||||
| Other (income) expense, net | (36.6) | (0.1) | (40.7) | |||||||||||
| Loss before income tax provision (benefit) | (185.5) | (149.5) | (29.3) | |||||||||||
| Income tax provision (benefit) | (16.2) | 25.3 | 9.2 | |||||||||||
| Net loss | $ | (169.3) | $ | (174.8) | $ | (38.5) | ||||||||
| Basic and diluted loss per share | $ | (0.53) | $ | (0.60) | $ | (0.16) | ||||||||
Basic and diluted weighted average shares outstanding | 320.2 | 290.4 | 243.2 | |||||||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | |||||||||||
| Institutional | $ | 1,951.5 | $ | 1,918.4 | $ | 1,995.3 | ||||||||
| Food & Beverage | 814.4 | 700.5 | 633.9 | |||||||||||
| Total | $ | 2,765.9 | $ | 2,618.9 | $ | 2,629.2 | ||||||||
| (in millions, except percentages) | Institutional | Food & Beverage | Total | |||||||||||||||||
| 2021 Net Sales | $ | 1,918.4 | 73.3 | % | $ | 700.5 | 26.7 | % | $ | 2,618.9 | ||||||||||
| Organic change (Non-GAAP) | 174.8 | 9.1 | % | 152.6 | 21.8 | % | 327.4 | 12.5 | % | |||||||||||
| Acquisition | 49.3 | 2.6 | % | 42.6 | 6.1 | % | 91.9 | 3.5 | % | |||||||||||
Constant dollar change (Non-GAAP) | 224.1 | 11.7 | % | 195.2 | 27.9 | % | 419.3 | 16.0 | % | |||||||||||
| Foreign currency translation | (191.0) | (10.0) | % | (81.3) | (11.6) | % | (272.3) | (10.4) | % | |||||||||||
| Total change | 33.1 | 1.7 | % | 113.9 | 16.3 | % | 147.0 | 5.6 | % | |||||||||||
| 2022 Net Sales | $ | 1,951.5 | 70.6 | % | $ | 814.4 | 29.4 | % | $ | 2,765.9 | ||||||||||
| (in millions, except percentages) | Institutional | Food & Beverage | Total | |||||||||||||||||
| 2020 Net Sales | $ | 1,995.3 | 75.9 | % | $ | 633.9 | 24.1 | % | $ | 2,629.2 | ||||||||||
| Organic change (Non-GAAP) | (116.6) | (5.8) | % | 44.2 | 7.0 | % | (72.4) | (2.8) | % | |||||||||||
| Acquisition | 6.2 | 0.3 | % | 17.7 | 2.8 | % | 23.9 | 0.9 | % | |||||||||||
| Constant dollar change (Non-GAAP) | (110.4) | (5.5) | % | 61.9 | 9.8 | % | (48.5) | (1.8) | % | |||||||||||
| Foreign currency translation | 33.5 | 1.7 | % | 4.7 | 0.7 | % | 38.2 | 1.5 | % | |||||||||||
| Total change | (76.9) | (3.9) | % | 66.6 | 10.5 | % | (10.3) | (0.4) | % | |||||||||||
| 2021 Net Sales | 1,918.4 | 73.3 | % | 700.5 | 26.7 | % | 2,618.9 | |||||||||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Interest expense | 112.0 | $ | 126.3 | $ | 127.7 | ||||||
| Foreign currency (gain) loss related to hyperinflationary subsidiaries | (1.9) | (2.1) | 1.6 | ||||||||
| Loss on extinguishment of debt | — | 15.6 | — | ||||||||
| Other (income) expense, net | (36.6) | (0.1) | (40.7) | ||||||||
| $ | 73.5 | $ | 139.7 | $ | 88.6 | ||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Interest income | $ | (4.8) | $ | (9.9) | $ | (5.9) | |||||
| Unrealized foreign exchange (gain) loss | (5.9) | 12.9 | (25.1) | ||||||||
| Realized foreign exchange (gain) loss | (2.1) | 5.9 | (0.9) | ||||||||
| Non-cash pension and other post-employment benefit plan | (14.2) | (15.7) | (12.9) | ||||||||
| Adjustment for tax indemnification asset | 4.7 | 6.9 | 2.8 | ||||||||
| Factoring and securitization fees | 5.7 | 4.7 | 4.3 | ||||||||
| Tax receivable agreement adjustments | (22.6) | (10.1) | — | ||||||||
| Other, net | 2.6 | 5.2 | (3.0) | ||||||||
| Total other (income) expense, net | $ | (36.6) | $ | (0.1) | $ | (40.7) | |||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Institutional | $ | 264.8 | $ | 319.8 | $ | 336.4 | |||||
| Food & Beverage | 96.5 | 133.7 | 111.9 | ||||||||
| Total Segment Adjusted EBITDA | 361.3 | 453.5 | 448.3 | ||||||||
| Corporate costs | (31.2) | (43.4) | (47.1) | ||||||||
| Consolidated Adjusted EBITDA | $ | 330.1 | $ | 410.1 | $ | 401.2 | |||||
| (in millions, except percentages) | Institutional | Food & Beverage | Corporate | Total | ||||||||||||||||||||||
| 2021 Adjusted EBITDA | $ | 319.8 | 78.0 | % | $ | 133.7 | 32.6 | % | $ | (43.4) | (10.6) | % | $ | 410.1 | ||||||||||||
| Adj EBITDA margin | 16.7 | % | 19.1 | % | 15.7 | % | ||||||||||||||||||||
| Organic change (non-U.S. GAAP) | (26.4) | (8.3) | % | (31.0) | (23.2) | % | 11.7 | 27.0 | % | (45.7) | (11.1) | % | ||||||||||||||
| Acquisition | 6.8 | 2.1 | % | 3.5 | 2.6 | % | — | — | % | 10.3 | 2.5 | % | ||||||||||||||
| Constant dollar change (Non-GAAP) | (19.6) | (6.1) | % | (27.5) | (20.6) | % | 11.7 | 27.0 | % | (35.4) | (8.6) | % | ||||||||||||||
| Foreign currency translation | (35.4) | (11.1) | % | (9.7) | (7.3) | % | 0.5 | 1.2 | % | (44.6) | (10.9) | % | ||||||||||||||
| Total change (U.S. GAAP) | (55.0) | (17.2) | % | (37.2) | (27.8) | % | 12.2 | 28.1 | % | (80.0) | (19.5) | % | ||||||||||||||
| 2022 Adjusted EBITDA | $ | 264.8 | 80.2 | % | $ | 96.5 | 29.2 | % | $ | (31.2) | (9.5) | % | $ | 330.1 | ||||||||||||
| Adj EBITDA margin | 13.6 | % | 11.8 | % | 11.9 | % | ||||||||||||||||||||
| (in millions, except percentages) | Institutional | Food & Beverage | Corporate | Total | ||||||||||||||||||||||
| 2020 Adjusted EBITDA | 336.4 | 83.8 | % | 111.9 | 27.9 | % | (47.1) | (11.7) | % | 401.2 | ||||||||||||||||
| Adj EBITDA margin | 16.9 | % | 17.7 | % | 15.3 | % | ||||||||||||||||||||
| Organic change (Non-GAAP) | (23.5) | (7.0) | % | 18.1 | 16.2 | % | 3.5 | 7.4 | % | (1.9) | (0.5) | % | ||||||||||||||
| Acquisition | 1.1 | 0.3 | % | 3.5 | 3.1 | % | — | — | % | 4.6 | 1.1 | % | ||||||||||||||
| Constant dollar change (Non-GAAP) | (22.4) | (6.7) | % | 21.6 | 19.3 | % | 3.5 | 7.4 | % | 2.7 | 0.7 | % | ||||||||||||||
| Foreign currency translation | 5.8 | 1.7 | % | 0.2 | 0.2 | % | 0.2 | 0.4 | % | 6.2 | 1.5 | % | ||||||||||||||
| Total change (U.S. GAAP) | (16.6) | (4.9) | % | 21.8 | 19.5 | % | 3.7 | 7.9 | % | 8.9 | 2.2 | % | ||||||||||||||
| 2021 Adjusted EBITDA | 319.8 | 78.0 | % | 133.7 | 32.6 | % | (43.4) | (10.6) | % | 410.1 | ||||||||||||||||
| Adj EBITDA margin | 16.7 | % | 19.1 | % | 15.7 | % | ||||||||||||||||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Loss before income tax provision (benefit) | $ | (185.5) | $ | (149.5) | $ | (29.3) | |||||
| Interest expense | 112.0 | 126.3 | 127.7 | ||||||||
| Interest income | (4.8) | (9.9) | (5.9) | ||||||||
| Amortization expense of intangible assets acquired | 90.2 | 96.7 | 98.2 | ||||||||
| Depreciation expense included in cost of sales | 80.3 | 82.7 | 89.5 | ||||||||
| Depreciation expense included in selling, general and administrative expenses | 10.0 | 8.1 | 7.9 | ||||||||
| EBITDA | 102.2 | 154.4 | 288.1 | ||||||||
Transaction and integration costs(1) | 51.3 | 45.8 | 37.0 | ||||||||
Restructuring and exit costs(2) | 48.7 | 38.4 | 32.1 | ||||||||
Other costs related to facilities consolidations(3) | 84.8 | — | — | ||||||||
Foreign currency (gain) loss related to hyperinflationary subsidiaries(4) | (1.9) | (2.1) | 1.6 | ||||||||
Adjustment for tax indemnification asset(5) | 4.7 | 6.9 | 2.8 | ||||||||
Acquisition accounting adjustments(6) | 1.3 | — | — | ||||||||
Bain Capital management fee(7) | — | 19.4 | 7.5 | ||||||||
Non-cash pension and other post-employment benefit plan(8) | (14.2) | (15.7) | (12.9) | ||||||||
Unrealized foreign currency exchange (gain) loss(9) | (5.9) | 12.9 | (25.1) | ||||||||
Factoring and securitization fees(10) | 5.7 | 4.7 | 4.3 | ||||||||
Share-based compensation(11) | 56.2 | 115.2 | 67.5 | ||||||||
Tax receivable agreement adjustments(12) | (22.6) | (10.1) | — | ||||||||
Loss on extinguishment of debt(13) | — | 15.6 | — | ||||||||
Realized foreign currency exchange loss on debt refinancing(14) | — | 4.5 | — | ||||||||
COVID-19 inventory charges(15) | 18.3 | 13.9 | — | ||||||||
| Other items | 1.5 | 6.3 | (1.7) | ||||||||
| Consolidated Adjusted EBITDA | $ | 330.1 | $ | 410.1 | $ | 401.2 | |||||
| Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||||||||||||
| (in millions, except per share amounts) | Net Income (Loss) | Basic and diluted EPS(19) | Net Income (Loss) | Basic and diluted EPS(19) | Net Income (Loss) | Basic and diluted EPS(19) | ||||||||||||||
| Reported (GAAP) | $ | (169.3) | $ | (0.53) | $ | (174.8) | $ | (0.60) | $ | (38.5) | $ | (0.16) | ||||||||
| Amortization expense of intangible assets acquired | 90.2 | 0.28 | 96.7 | 0.33 | 98.2 | 0.40 | ||||||||||||||
Transaction and integration costs(1) | 51.3 | 0.16 | 45.8 | 0.16 | 37.0 | 0.15 | ||||||||||||||
Restructuring and exit costs(2) | 48.7 | 0.15 | 38.4 | 0.13 | 32.1 | 0.13 | ||||||||||||||
Other costs related to facilities consolidations(3) | 84.8 | 0.26 | 0.0 | 0.00 | 0.0 | 0.00 | ||||||||||||||
Foreign currency (gain) loss related to hyperinflationary subsidiaries(4) | (1.9) | (0.01) | (2.1) | (0.01) | 1.6 | 0.01 | ||||||||||||||
Adjustment for tax indemnification asset(5) | 4.7 | 0.01 | 6.9 | 0.02 | 2.8 | 0.01 | ||||||||||||||
Acquisition accounting adjustments(6) | 1.3 | — | — | — | — | — | ||||||||||||||
Bain Capital management fee(7) | — | — | 19.4 | 0.07 | 7.5 | 0.03 | ||||||||||||||
Non-cash pension and other post-employment benefit plan(8) | (14.2) | (0.04) | (15.7) | (0.05) | (12.9) | (0.05) | ||||||||||||||
Unrealized foreign currency exchange (gain) loss(9) | (5.9) | (0.02) | 12.9 | 0.04 | (25.1) | (0.10) | ||||||||||||||
Share-based compensation(11) | 56.2 | 0.18 | 115.2 | 0.40 | 67.5 | 0.28 | ||||||||||||||
Tax receivable agreement adjustments(12) | (22.6) | (0.07) | (10.1) | (0.03) | — | — | ||||||||||||||
Loss on extinguishment of debt(13) | — | — | 15.6 | 0.05 | — | — | ||||||||||||||
Realized foreign currency exchange loss on debt refinancing(14) | — | — | 4.5 | 0.02 | — | — | ||||||||||||||
COVID-19 inventory charges(15) | 18.3 | 0.06 | 13.9 | 0.05 | — | — | ||||||||||||||
Accelerated expense of deferred financing and original issue discount costs(16) | — | — | 18.9 | 0.07 | — | — | ||||||||||||||
| Other items | 1.5 | — | 6.3 | 0.01 | (1.7) | (0.01) | ||||||||||||||
Tax effects related to non-GAAP adjustments(17) | (69.1) | (0.20) | (69.3) | (0.24) | (33.3) | (0.14) | ||||||||||||||
Discrete tax adjustments(18) | 12.7 | 0.04 | 29.3 | 0.10 | (11.6) | (0.04) | ||||||||||||||
| Adjusted (Non-GAAP) | $ | 86.7 | $ | 0.27 | $ | 151.8 | $ | 0.52 | $ | 123.6 | $ | 0.51 | ||||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Change | Year Ended December 31, 2020 | Change | ||||||||||||
| Net cash provided by (used in) operating activities | $ | 33.7 | $ | (88.7) | $ | 122.4 | $ | 103.0 | $ | (191.7) | |||||||
| Net cash used in investing activities | $ | (176.7) | $ | (134.4) | $ | (42.3) | $ | (70.8) | $ | (63.6) | |||||||
| Net cash provided by financing activities | $ | 157.5 | $ | 237.2 | $ | (79.7) | $ | 23.6 | $ | 213.6 | |||||||
| (in millions) | December 31, 2022 | December 31, 2021 | ||||||
| Senior Secured Credit Facilities | ||||||||
| 2021 U.S. Dollar Term Loan | $ | 1,485.0 | $ | 1,500.0 | ||||
| Revolving Credit Facility | — | — | ||||||
| 2021 Senior Notes | 500.0 | 500.0 | ||||||
| Short-term borrowings | 3.8 | 10.7 | ||||||
| Finance lease obligations | 11.6 | 4.4 | ||||||
| Financing obligations | 21.9 | 23.1 | ||||||
| Unamortized deferred financing costs | (30.1) | (35.3) | ||||||
| Unamortized original issue discount | (7.0) | (8.3) | ||||||
| Total debt | 1,985.2 | 1,994.6 | ||||||
| Less: Current portion of long-term debt | (12.4) | (10.9) | ||||||
| Short-term borrowings | (3.8) | (10.7) | ||||||
| Long-term debt | $ | 1,969.0 | $ | 1,973.0 | ||||
| Index to Financial Statements | |||||||||||
(PCAOB ID: | |||||||||||
| Description of the Matter | As described in Notes 3 and 8 to the consolidated financial statements, the Company’s consolidated indefinite-lived intangible asset balance was $ | ||||
| Auditing management’s annual indefinite-lived intangible asset impairment test required the application of greater auditor judgment. Auditing management’s indefinite-lived intangible impairment analyses was complex and judgmental due to the estimation required in determining the fair value of the indefinite-lived intangible asset. In particular, the fair value estimates included significant assumptions for the revenue growth rates and the discount rate which are affected by expectations about macroeconomic and industry specific factors. | |||||
| How We Addressed the Matter in Our Audit | We evaluated the Company’s assessment of the impairment of indefinite-lived intangibles. We obtained an understanding, evaluated the design, and tested the operating effectiveness of controls that address the risks of material misstatement related to the indefinite-lived intangible asset impairment test, including management’s development and review of the significant assumptions discussed above. | ||||
| To test the estimated fair value of the Company’s indefinite-lived intangible asset, we performed audit procedures that included, among others, assessing fair value methodologies and testing the significant assumptions discussed above and the underlying data used by the Company in its analysis. For example, we compared the significant assumptions used by management to current industry and economic trends and the Company’s historical trends with consideration given to changes in the Company’s business, customer base and other relevant factors. We assessed the historical accuracy of management’s projected revenue growth estimates and performed sensitivity analyses of the significant assumptions to evaluate the changes in the fair value that would result from changes in these assumptions. We tested the completeness and accuracy of the underlying data used in the Company’s valuation model, which included clerical testing of the valuation model and agreement of prospective financial information within the model to the Company’s internal forecasts. We involved our valuation specialist to assist in our evaluation of the Company’s model, valuation methodologies, and significant assumptions including the discount rate used by management. | |||||
| Description of the Matter | As described in Notes 3 and 8 to the consolidated financial statements, the Company’s consolidated goodwill balance was $ | ||||
| Auditing management’s annual goodwill impairment test required the application of greater auditor judgment. Qualitative events and circumstances, such as macroeconomic conditions, industry and market considerations, cost factors, overall financial performance, market capitalization and events specific to the entity and its reporting units, required a higher degree of auditor judgment to evaluate. These events and circumstances could have a significant effect on the Company’s qualitative assessment and the determination of whether further quantitative analysis of goodwill for impairment was required. | |||||
| How We Addressed the Matter in Our Audit | We evaluated the Company’s assessment of the impairment of goodwill. We obtained an understanding, evaluated the design, and tested the operating effectiveness of controls that address the risks of material misstatement related to the goodwill impairment test, including management’s development and review of the qualitative factors discussed above. | ||||
| To test the qualitative assessment of the Company’s reporting units, we performed audit procedures that included, among others, considering macroeconomic indicators; evaluating information from third-party analyst reports across the manufacturing and hygiene solutions industries; analyzing the financial performance of the consolidated Company and reporting units including comparison to guideline public companies in the same industry; and recalculating the Company’s market capitalization and reporting unit carrying value. We further assessed the historical accuracy of management’s estimates of future financial performance, changes in estimated future cash flows, and performed sensitivity analyses of significant assumptions, such as projected future cash flows and discount rate, to evaluate if changes in these inputs could indicate that the fair value of the reporting units were more likely than not less than the carrying value. We involved our valuation specialist to assist in our evaluation of the significance and sensitivity of the significant assumptions most likely to affect the fair value of the reporting units. | |||||
| (in millions except share and per share amounts) | December 31, 2022 | December 31, 2021 | |||||||||
| Assets | |||||||||||
| Current assets: | |||||||||||
| Cash and cash equivalents | $ | $ | |||||||||
Trade receivables, net of allowance for doubtful accounts of $ | |||||||||||
| Other receivables | |||||||||||
Inventories (Note 6) | |||||||||||
Prepaid expenses and other current assets (Note 6) | |||||||||||
| Total current assets | |||||||||||
Property and equipment, net (Note 7) | |||||||||||
Goodwill (Note 8) | |||||||||||
Intangible assets, net (Note 8) | |||||||||||
Other non-current assets (Note 6) | |||||||||||
| Total assets | $ | $ | |||||||||
| Liabilities and stockholders' equity | |||||||||||
| Current liabilities: | |||||||||||
Short-term borrowings (Note 10) | $ | $ | |||||||||
Current portion of long-term debt (Note 10) | |||||||||||
| Accounts payable | |||||||||||
Accrued restructuring costs (Note 18) | |||||||||||
Other current liabilities (Note 6) | |||||||||||
| Total current liabilities | |||||||||||
Long-term debt, less current portion (Note 10) | |||||||||||
Deferred taxes (Note 14) | |||||||||||
Other non-current liabilities (Note 6) | |||||||||||
| Total liabilities | |||||||||||
Commitments and contingencies (Note 15) | |||||||||||
| Stockholders' equity: | |||||||||||
Ordinary shares, $ | |||||||||||
Preferred shares, $ | |||||||||||
| Additional paid-in capital | |||||||||||
| Accumulated deficit | ( | ( | |||||||||
Accumulated other comprehensive loss (Note 19) | ( | ( | |||||||||
| Total stockholders' equity | |||||||||||
| Total liabilities and stockholders' equity | $ | $ | |||||||||
| (in millions except per share amounts) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Net sales | $ | $ | $ | ||||||||
Cost of sales (Note 18) | |||||||||||
| Gross profit | |||||||||||
| Selling, general and administrative expenses | |||||||||||
| Transaction and integration costs | |||||||||||
Management fee (Note 16) | |||||||||||
| Amortization of intangible assets | |||||||||||
Restructuring and exit costs (Note 18) | |||||||||||
| Operating income (loss) | ( | ( | |||||||||
| Interest expense | |||||||||||
| Foreign currency (gain) loss related to hyperinflationary subsidiaries | ( | ( | |||||||||
| Loss on extinguishment of debt | |||||||||||
Other (income) expense, net (Note 6) | ( | ( | ( | ||||||||
| Loss before income tax provision (benefit) | ( | ( | ( | ||||||||
Income tax provision (benefit) (Note 14) | ( | ||||||||||
| Net loss | $ | ( | $ | ( | $ | ( | |||||
Basic and diluted loss per share (Note 21) | $ | ( | $ | ( | $ | ( | |||||
Basic and diluted weighted average shares outstanding (Note 21) | |||||||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Net loss | $ | ( | $ | ( | $ | ( | |||||
| Other comprehensive income (loss): | |||||||||||
Pension plans and post-employment benefits, net of taxes of $( | ( | ||||||||||
Hedging activities, net of taxes of $( | ( | ||||||||||
| Foreign currency translation adjustments | ( | ( | |||||||||
| Other comprehensive income (loss): | ( | ||||||||||
| Comprehensive loss | $ | ( | $ | ( | $ | ( | |||||
| (in millions) | Common Stock | Ordinary Shares | Additional Paid-in Capital | Accumulated Deficit | Accumulated Other Comprehensive Loss | Total | ||||||||||||||
| Balance as of January 1, 2020 | $ | $ | — | $ | $ | ( | $ | ( | $ | ( | ||||||||||
| Equity contributions | — | — | — | |||||||||||||||||
| Pension plans and post-employment benefits | — | — | — | — | ( | ( | ||||||||||||||
| Cash flow hedging activities, net of tax | — | — | — | — | ( | ( | ||||||||||||||
| Foreign currency translation adjustments | — | — | — | ( | ( | |||||||||||||||
| — | — | — | ( | — | ( | |||||||||||||||
| Net loss | — | — | — | ( | — | ( | ||||||||||||||
| Balance as of December 31, 2020 | — | ( | ( | ( | ||||||||||||||||
| Effect of reorganization transactions | ( | — | ( | — | — | ( | ||||||||||||||
| Issuance of ordinary shares sold in IPO, net of offering costs | — | — | — | — | ||||||||||||||||
| Exchange of preferred equity certificates for ordinary shares | — | — | — | — | ||||||||||||||||
| Modification of share-based awards | — | — | — | — | ||||||||||||||||
| Share based compensation | — | — | — | — | ||||||||||||||||
| Tax receivable agreement | — | — | ( | — | — | ( | ||||||||||||||
| Issuance of additional ordinary shares, net of offering costs | — | — | — | — | ||||||||||||||||
| Pension plans and post-employment benefits | — | — | — | — | ||||||||||||||||
| Cash flow hedging activities, net of tax | — | — | — | — | ||||||||||||||||
| Foreign currency translation adjustments | — | — | — | — | ||||||||||||||||
| Net loss | — | — | — | ( | — | ( | ||||||||||||||
| Balance as of December 31, 2021 | — | ( | ( | |||||||||||||||||
| Share based compensation | — | — | — | — | ||||||||||||||||
| Pension plans and post-employment benefits | — | — | — | |||||||||||||||||
| Cash flow hedging activities, net of tax | — | — | — | — | ||||||||||||||||
| Foreign currency translation adjustments | — | — | — | — | ( | ( | ||||||||||||||
| Net loss | — | — | — | ( | — | ( | ||||||||||||||
| Balance as of December 31, 2022 | $ | $ | — | $ | $ | ( | $ | ( | $ | |||||||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||||||||||||||
| Operating activities: | |||||||||||||||||||||||
| Net loss | $ | ( | $ | ( | $ | ( | |||||||||||||||||
| Adjustments to reconcile net loss to cash provided by (used in) operating activities: | |||||||||||||||||||||||
| Depreciation and amortization | |||||||||||||||||||||||
| Amortization of deferred financing costs and original issue discount | |||||||||||||||||||||||
| Amortization of fair value step up of acquired inventory | |||||||||||||||||||||||
| Loss on extinguishment of debt | |||||||||||||||||||||||
| (Gain) loss on cash flow hedges | ( | ||||||||||||||||||||||
| Deferred taxes | ( | ( | ( | ||||||||||||||||||||
| Unrealized foreign exchange (gain) loss | ( | ( | |||||||||||||||||||||
| Share-based compensation | |||||||||||||||||||||||
| Impact of highly inflationary subsidiaries | ( | ( | |||||||||||||||||||||
| Provision for (recovery of) bad debts | ( | ||||||||||||||||||||||
| Provision for slow moving inventory | |||||||||||||||||||||||
| Non-cash pension benefit | ( | ( | ( | ||||||||||||||||||||
| Non-cash restructuring and exit costs | |||||||||||||||||||||||
| Non-cash tax receivable agreement adjustments | ( | ( | |||||||||||||||||||||
| Gain on sale of property and equipment | ( | ( | ( | ||||||||||||||||||||
| Changes in operating assets and liabilities: | |||||||||||||||||||||||
| Trade receivables, net | ( | ( | |||||||||||||||||||||
| Inventories, net | ( | ( | ( | ||||||||||||||||||||
| Accounts payable | ( | ||||||||||||||||||||||
| Income taxes, net | ( | ( | |||||||||||||||||||||
| Other assets and liabilities, net | ( | ||||||||||||||||||||||
| Cash provided by (used in) operating activities | ( | ||||||||||||||||||||||
| Investing activities: | |||||||||||||||||||||||
| Business acquired in purchase transactions, net of cash acquired | ( | ( | ( | ||||||||||||||||||||
Acquisition of intellectual property | ( | ||||||||||||||||||||||
| Proceeds from sale of property and equipment and other assets | |||||||||||||||||||||||
| Dosing and dispensing equipment | ( | ( | ( | ||||||||||||||||||||
| Capital expenditures | ( | ( | ( | ||||||||||||||||||||
| Collection of deferred factored receivables | |||||||||||||||||||||||
| Cash used in investing activities | ( | ( | ( | ||||||||||||||||||||
| Financing activities: | |||||||||||||||||||||||
| Contingent consideration payments | ( | ( | ( | ||||||||||||||||||||
| Proceeds (payments)/from short-term borrowings | ( | ( | |||||||||||||||||||||
| Proceeds from revolving credit facility | |||||||||||||||||||||||
| Payments on revolving credit facility | ( | ( | ( | ||||||||||||||||||||
| Proceeds from long-term borrowings | |||||||||||||||||||||||
| Payments on long-term borrowings | ( | ( | ( | ||||||||||||||||||||
| Payment of deferred financing costs and original issue discount | ( | ( | |||||||||||||||||||||
| Payment of bond redemption premium | ( | ||||||||||||||||||||||
| Issuance of ordinary shares sold in IPO, net of offering costs | |||||||||||||||||||||||
| Issuance of additional ordinary shares, net of offering costs | |||||||||||||||||||||||
| Equity contributions | |||||||||||||||||||||||
| Proceeds from termination of derivatives | |||||||||||||||||||||||
| Cash provided by financing activities | |||||||||||||||||||||||
| Effect of exchange rate changes on cash, cash equivalents and restricted cash | ( | ( | |||||||||||||||||||||
| Increase (decrease) in cash, cash equivalents and restricted cash | ( | ||||||||||||||||||||||
Cash, cash equivalents and restricted cash at beginning of period(a) | |||||||||||||||||||||||
Cash, cash equivalents and restricted cash at end of period(a) | $ | $ | $ | ||||||||||||||||||||
| Supplemental Cash Flow Information: | |||||||||||||||||||||||
| Interest payments | $ | $ | $ | ||||||||||||||||||||
| Income tax payments | $ | $ | $ | ||||||||||||||||||||
| Non-cash conversion of preferred equity certificates to equity | $ | $ | $ | ||||||||||||||||||||
| Beneficial interest obtained in exchange for factored receivables | $ | $ | $ | ||||||||||||||||||||
| Asset Type | Useful Life | ||||
| Building and building equipment | |||||
| Machinery and equipment | |||||
| Other property and equipment | |||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Europe | $ | $ | $ | ||||||||
| North America | |||||||||||
| Asia Pacific | |||||||||||
| Middle East and Africa | |||||||||||
| Latin America | |||||||||||
| Topic 606 Revenue | |||||||||||
| Non-Topic 606 Revenue (Leasing: Sales-type and Operating) | |||||||||||
| Total | $ | $ | $ | ||||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Cash and cash equivalents | $ | $ | $ | ||||||||
| Trade receivables | |||||||||||
| Inventories | |||||||||||
| Prepaid expenses and other current assets | |||||||||||
| Property, plant and equipment | |||||||||||
| Other non-current assets | |||||||||||
Intangible assets(1) | |||||||||||
| Accounts payable | ( | ( | ( | ||||||||
| Other current liabilities | ( | ( | ( | ||||||||
| Other non-current liabilities | ( | ||||||||||
| Deferred taxes | ( | ( | ( | ||||||||
| Net assets acquired before goodwill on acquisition | |||||||||||
| Goodwill on acquisition | |||||||||||
| Net cash paid for acquisitions | $ | $ | $ | ||||||||
| (in millions) | December 31, 2022 | December 31, 2021 | ||||||
| Raw materials | $ | $ | ||||||
| Work in process | ||||||||
| Finished goods | ||||||||
| $ | $ | |||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | ||||||
| Balance, beginning of period | $ | $ | ||||||
| Provision for (recovery of) bad debts | ( | |||||||
| Provision for (recovery of) lease receivables associated with exit activities | ( | |||||||
| Write-offs | ( | ( | ||||||
| Balance, end of period | $ | $ | ||||||
| (in millions) | December 31, 2022 | December 31, 2021 | ||||||
| Derivatives | $ | |||||||
| Prepaid expenses | ||||||||
| Income tax receivables | ||||||||
| Other current assets | ||||||||
| $ | $ | |||||||
| (in millions) | December 31, 2022 | December 31, 2021 | ||||||
| Dosing and dispensing equipment | $ | $ | ||||||
| Operating lease right-of-use assets, net | ||||||||
| Deferred taxes | ||||||||
| Derivatives | ||||||||
| Tax indemnification asset | ||||||||
| Lease receivables | ||||||||
| Finance lease right-of-use assets, net | ||||||||
| Customer prebates | ||||||||
| Other non-current assets | ||||||||
| $ | $ | |||||||
| (in millions) | December 31, 2022 | December 31, 2021 | ||||||
| Accrued customer volume rebates | $ | $ | ||||||
| Accrued salaries, wages and related costs | ||||||||
| Value added, general and sales tax payable | ||||||||
| Accrued interest payable | ||||||||
| Derivatives | ||||||||
| Operating lease liability | ||||||||
| Income taxes payable | ||||||||
| Tax receivable agreement | ||||||||
| Accrued share-based compensation | ||||||||
| Contingent consideration | ||||||||
| Other accrued liabilities | ||||||||
| $ | $ | |||||||
| (in millions) | December 31, 2022 | December 31, 2021 | ||||||
| Tax receivable agreement | $ | $ | ||||||
| Operating lease liability | ||||||||
| Defined benefit pension plan liability | ||||||||
| Derivatives | ||||||||
| Uncertain tax positions | ||||||||
| Asset retirement obligations | ||||||||
| Accrued share-based compensation | ||||||||
| Other post-employment benefit plan liability | ||||||||
| Contingent consideration | ||||||||
| Other non-current liabilities | ||||||||
| $ | $ | |||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Interest income | $ | ( | $ | ( | ( | ||||||
| Unrealized foreign exchange (gain) loss | ( | ( | |||||||||
| Realized foreign exchange (gain) loss | ( | ( | |||||||||
| Non-cash pension and other post-employment benefit plan | ( | ( | ( | ||||||||
Adjustment for tax indemnification asset | |||||||||||
| Factoring and securitization fees | |||||||||||
| Tax receivable agreement adjustments | ( | ( | |||||||||
| Other, net | ( | ||||||||||
| $ | ( | $ | ( | $ | ( | ||||||
| (in millions) | December 31, 2022 | December 31, 2021 | ||||||
| Land and improvements | $ | $ | ||||||
| Buildings | ||||||||
| Machinery and equipment | ||||||||
| Other property and equipment | ||||||||
| Construction-in-progress | ||||||||
Property and equipment, gross | ||||||||
| Less: Accumulated depreciation | ( | ( | ||||||
Property and equipment, net | $ | $ | ||||||
| (in millions) | Institutional | Food & Beverage | Total | ||||||||
| Balance at December 31, 2020 | $ | $ | $ | ||||||||
| Acquisitions | |||||||||||
Acquisition adjustments(1) | ( | ( | |||||||||
| Foreign currency translation | ( | ( | ( | ||||||||
| Balance at December 31, 2021 | |||||||||||
| Acquisitions | |||||||||||
Acquisition adjustments(1) | ( | ||||||||||
| Foreign currency translation | ( | ( | ( | ||||||||
| Balance at December 31, 2022 | $ | $ | $ | ||||||||
(1) Represents measurement period adjustments related to the SaneChem acquisition for 2021 and the Avmor, Birko and Tasman acquisitions for 2022. | |||||||||||
| (in millions) | Gross Carrying Value | Accumulated Amortization | Accumulated Impairment | Net Book Value | Weighted Average Remaining Amortization Periods | ||||||||||||
| Customer relationships | $ | $ | ( | $ | — | $ | |||||||||||
| Brand name | ( | — | |||||||||||||||
| Capitalized software | ( | — | |||||||||||||||
| Intellectual property | ( | — | |||||||||||||||
| Trademarks | ( | — | |||||||||||||||
| Non-compete agreements | ( | — | |||||||||||||||
| Favorable leases | ( | — | |||||||||||||||
| Total intangible assets with definite lives | ( | — | |||||||||||||||
| Trade name with indefinite life | — | — | |||||||||||||||
| Total identifiable intangible assets | $ | $ | ( | $ | — | $ | |||||||||||
| (in millions) | Gross Carrying Value | Accumulated Amortization | Accumulated Impairment | Net Book Value | Weighted Average Remaining Amortization Periods | ||||||||||||
| Customer relationships | $ | $ | ( | $ | — | $ | |||||||||||
| Brand name | ( | — | |||||||||||||||
| Capitalized software | ( | — | |||||||||||||||
| Intellectual property | ( | — | |||||||||||||||
| Trademarks | ( | — | |||||||||||||||
| Non-compete agreements | ( | — | |||||||||||||||
| Favorable leases | ( | — | |||||||||||||||
| Total intangible assets with definite lives | ( | — | |||||||||||||||
| Trade name with indefinite life | — | — | |||||||||||||||
| Total identifiable intangible assets | $ | $ | ( | $ | — | $ | |||||||||||
| (in millions) | Amount | ||||
| 2023 | |||||
| 2024 | |||||
| 2025 | |||||
| 2026 | |||||
| 2027 | |||||
| Thereafter | |||||
| $ | |||||
| (in millions) | Balance Sheet Line Item | December 31, 2022 | December 31, 2021 | ||||||||
| Assets: | |||||||||||
| Right-of-use operating lease assets | $ | $ | |||||||||
| Right-of-use finance lease assets | |||||||||||
| Total | $ | $ | |||||||||
| Liabilities: | |||||||||||
| Current: | |||||||||||
| Operating lease | $ | $ | |||||||||
| Finance lease | |||||||||||
| Total | $ | $ | |||||||||
| Non-current: | |||||||||||
| Operating lease | $ | $ | |||||||||
| Finance lease | |||||||||||
| Total | $ | $ | |||||||||
| December 31, 2022 | December 31, 2021 | |||||||
| Weighted average remaining lease term: | Years | Years | ||||||
| Operating leases | ||||||||
| Finance leases | ||||||||
| Weighted average remaining discount rate: | Rate | Rate | ||||||
| Operating leases | % | % | ||||||
| Finance leases | % | % | ||||||
| (in millions) | Operating Leases | Finance Leases | Total | ||||||||
| 2023 | $ | $ | $ | ||||||||
| 2024 | |||||||||||
| 2025 | |||||||||||
| 2026 | |||||||||||
| 2027 | |||||||||||
| Thereafter | |||||||||||
| Total lease payments | |||||||||||
| Less: imputed interest | ( | ( | ( | ||||||||
| Total payments | $ | $ | $ | ||||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | ||||||
| Operating lease cost | $ | $ | ||||||
| Short-term lease cost | ||||||||
| Total operating costs | ||||||||
| Finance lease cost: | ||||||||
| Amortization of right-of-use assets | ||||||||
| Interest on lease liabilities | ||||||||
| Total finance lease cost | ||||||||
| Total lease cost | $ | $ | ||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | ||||||
| Cash paid for amounts included in the measurement of: | ||||||||
| Operating cash flows from operating leases | $ | $ | ||||||
| Operating cash flows from finance leases | $ | $ | ||||||
| Financing cash flows from finance leases | $ | $ | ||||||
| Right-of-use assets obtained in exchange for new lease liabilities: | ||||||||
| Operating leases | $ | $ | ||||||
| Finance leases | $ | $ | ||||||
| (in millions) | Amount | ||||
| 2023 | $ | ||||
| 2024 | |||||
| 2025 | |||||
| 2026 | |||||
| 2027 | |||||
| Thereafter | |||||
| Total | $ | ||||
| (in millions) | December 31, 2022 | December 31, 2021 | ||||||
| Senior Secured Credit Facilities | ||||||||
| 2021 U.S. Dollar Term Loan | $ | $ | ||||||
Revolving Credit Facility | ||||||||
| 2021 Senior Notes | ||||||||
| Short-term borrowings | ||||||||
| Finance lease obligations | ||||||||
| Financing obligations | ||||||||
| Unamortized deferred financing costs | ( | ( | ||||||
| Unamortized original issue discount | ( | ( | ||||||
Total debt | ||||||||
| Less: Current portion of long-term debt | ( | ( | ||||||
Short-term borrowings | ( | ( | ||||||
Long-term debt | $ | $ | ||||||
| Year | Percentage | ||||
| October 1, 2024 to September 30, 2025 | |||||
| October 1, 2025 to September 30, 2026 | |||||
| On or after October 1, 2026 | |||||
| (in millions) | Amount | ||||
| 2023 | $ | ||||
| 2024 | |||||
| 2025 | |||||
| 2026 | |||||
| 2027 | |||||
| Thereafter | |||||
| $ | |||||
| (in millions) | December 31, 2022 | December 31, 2021 | ||||||
| Derivatives designated as hedging instruments: | ||||||||
| Derivative assets | ||||||||
| Foreign currency forward contracts | $ | $ | ||||||
| Interest rate caps | ||||||||
| Cross currency swaps | ||||||||
| Total derivative assets | $ | $ | ||||||
| Derivative liabilities | ||||||||
| Foreign currency forward contracts | $ | ( | $ | |||||
| Interest rate caps | ( | |||||||
| Cross currency swaps | ( | |||||||
| Total derivative liabilities | $ | ( | $ | ( | ||||
| Derivatives not designated as hedging instruments: | ||||||||
| Derivative assets | ||||||||
| Foreign currency forward contracts | $ | $ | ||||||
| Interest rate swaps | ||||||||
| Total derivative assets | $ | $ | ||||||
| Derivative liabilities | ||||||||
| Foreign currency forward contracts | $ | ( | $ | ( | ||||
| Interest rate swaps | ( | ( | ||||||
| Total derivative liabilities | $ | ( | $ | ( | ||||
| Derivative Instrument | Hedged Item | Notional Amount | Original Maturity in Months | ||||||||
| U.S. dollar floating to Euro fixed interest rate swaps | 2021 U.S. Dollar Term Loan | $ | |||||||||
| U.S. dollar interest rate caps | 2021 U.S. Dollar Term Loan | $ | |||||||||
| U.S. dollar to Euro currency swaps | 2021 Senior Notes | $ | |||||||||
| U.S. dollar currency forward contracts | Working Capital | $ | |||||||||
Floating to fixed interest rate swap(1) | Not Applicable | $ | |||||||||
Fixed to floating interest rate swap(1) | Not Applicable | $ | |||||||||
(1) In connection with our debt refinancing in 2021, we entered into a fixed to floating interest rate swap to offset the existing floating to fixed interest rate swap. | |||||||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Foreign currency forward contracts | $ | ( | $ | ( | $ | ||||||
| Interest rate swaps | ( | ( | ( | ||||||||
| Interest rate caps | ( | ( | |||||||||
| Cross currency swaps | ( | ( | |||||||||
| $ | ( | $ | ( | $ | ( | ||||||
| December 31, 2022 | ||||||||||||||
| (in millions) | Total Fair Value | Level 1 | Level 2 | Level 3 | ||||||||||
| Cash equivalents | $ | $ | $ | $ | ||||||||||
| Cross currency swaps, net liability | $ | ( | $ | $ | ( | $ | ||||||||
| Interest rate caps, net asset | $ | $ | $ | $ | ||||||||||
| Foreign currency forward contracts, net liability | $ | ( | $ | $ | ( | $ | ||||||||
| Interest rate swaps, net liability | $ | ( | $ | $ | ( | $ | ||||||||
| Contingent consideration | $ | ( | $ | $ | $ | ( | ||||||||
| December 31, 2021 | ||||||||||||||
| Total Fair Value | Level 1 | Level 2 | Level 3 | |||||||||||
| Cash equivalents | $ | $ | $ | $ | ||||||||||
| Cross currency swaps, net asset | $ | $ | $ | $ | ||||||||||
| Interest rate caps, net asset | $ | $ | $ | $ | ||||||||||
| Foreign currency forward contracts, net asset | $ | $ | $ | $ | ||||||||||
| Interest rate swaps, net liability | $ | ( | $ | $ | ( | $ | ||||||||
| Contingent consideration | $ | ( | $ | $ | $ | ( | ||||||||
| December 31, 2022 | December 31, 2021 | |||||||||||||
| (in millions) | Carrying Amount | Fair Value | Carrying Amount | Fair Value | ||||||||||
2021 U.S. Dollar Term Loan (1) | $ | $ | $ | $ | ||||||||||
2021 Senior Notes (2) | ||||||||||||||
| Revolving Credit Facility | ||||||||||||||
| $ | $ | $ | $ | |||||||||||
(1) Carrying amounts are net of deferred financing costs and original issue discount. | ||||||||||||||
(2) Carrying amount is net of deferred financing costs. | ||||||||||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Change in benefit obligation: | |||||||||||
| Projected benefit obligation at beginning of period | $ | $ | $ | ||||||||
Service cost | |||||||||||
Interest cost | |||||||||||
Participants' contributions | |||||||||||
Benefits paid | ( | ( | ( | ||||||||
| Actuarial (gain) loss | ( | ( | |||||||||
Settlements | ( | ( | ( | ||||||||
| Foreign currency translation | ( | ( | |||||||||
| Projected benefit obligation at end of period | $ | $ | $ | ||||||||
| Change in plan assets: | |||||||||||
| Fair value of plan assets at beginning of period | $ | $ | $ | ||||||||
Actual return on plan assets | ( | ||||||||||
Settlements | ( | ( | ( | ||||||||
Employer contributions | |||||||||||
Participants' contributions | |||||||||||
Benefits paid | ( | ( | ( | ||||||||
| Foreign currency translation | ( | ( | |||||||||
| Fair value of plan assets at end of period | $ | $ | $ | ||||||||
| Unfunded status, net | $ | $ | $ | ||||||||
| Accumulated benefit obligation at end of period | $ | $ | $ | ||||||||
| Amounts recognized in the Consolidated Balance Sheet: | |||||||||||
Other non-current assets | $ | $ | $ | ||||||||
Other current liabilities | ( | ( | ( | ||||||||
Other non-current liabilities | ( | ( | ( | ||||||||
| Net amount recognized | $ | ( | $ | ( | $ | ( | |||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | Line Item on Consolidated Statement of Operations | ||||||||||
| Net periodic benefit cost: | ||||||||||||||
| Service cost | $ | $ | $ | Selling, general and administrative expenses | ||||||||||
| Interest cost | Other (income) expense, net | |||||||||||||
| ( | ( | ( | Other (income) expense, net | |||||||||||
| Amortization of prior service cost and net actuarial loss | ( | ( | ( | Other (income) expense, net | ||||||||||
| Loss recognized during fiscal year due to settlement | Other (income) expense, net | |||||||||||||
| Net periodic benefit cost | $ | ( | $ | ( | $ | ( | ||||||||
| Changes in plan assets and benefit obligations recognized in other comprehensive loss: | ||||||||||||||
| Net actuarial (gain) loss, net | $ | ( | $ | ( | $ | |||||||||
| Loss recognized during fiscal year due to settlement | ( | ( | ||||||||||||
| Prior Service Credit Amortized During Fiscal Year | ||||||||||||||
| Net Loss Amortized During Fiscal Year | ( | ( | ( | |||||||||||
| Asset gain occurring during the year | ( | ( | ||||||||||||
| Total (gain) loss recognized in other comprehensive loss | ( | ( | ||||||||||||
| Total recognized in net periodic benefit cost and other comprehensive income | $ | ( | $ | ( | $ | |||||||||
| (in millions) | December 31, 2022 | December 31, 2021 | ||||||||||||
| ABO | $ | $ | ||||||||||||
| Plans with PBO in excess of plan assets | ||||||||||||||
| PBO | $ | $ | ||||||||||||
| ABO | $ | $ | ||||||||||||
| Fair value of plan assets | $ | $ | ||||||||||||
| Plans with ABO in excess of plan assets | ||||||||||||||
| PBO | $ | $ | ||||||||||||
| ABO | $ | $ | ||||||||||||
| Fair value of plan assets | $ | $ | ||||||||||||
| (in millions) | Amount | |||||||
| 2023 | $ | |||||||
| 2024 | $ | |||||||
| 2025 | $ | |||||||
| 2026 | $ | |||||||
| 2027 | $ | |||||||
| 2028-2032 | $ | |||||||
| December 31, 2022 | December 31, 2021 | ||||||||||
| Benefit obligations: | |||||||||||
| Discount rate | % | % | |||||||||
| Rate of compensation increase | % | % | |||||||||
| Pension increase rate | % | % | |||||||||
| Year Ended December 31, 2022 | Year Ended December 31, 2021 | |||||||
| Benefit cost: | ||||||||
Discount rate | % | % | ||||||
Expected long-term rate of return | % | % | ||||||
Rate of compensation increase | % | % | ||||||
Pension increase rate | % | % | ||||||
| Equity securities | % | ||||
| Debt securities | % | ||||
| Real estate | % | ||||
| Other | % | ||||
| Total | % | ||||
| (in millions) | December 31, 2022 | December 31, 2021 | ||||||||||||||||||||||||
| Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | |||||||||||||||||||
Cash and cash equivalents (1) | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||
Fixed income funds (2) | ||||||||||||||||||||||||||
Equity funds (3) | ||||||||||||||||||||||||||
| Real estate | ||||||||||||||||||||||||||
Other (4) | ||||||||||||||||||||||||||
| Total | $ | $ | $ | $ | $ | $ | $ | $ | ||||||||||||||||||
(1) Short-term investment fund that invests in a collective trust that holds short-term highly liquid investments with principal preservation and daily liquidity as its primary objectives. Investments are primarily comprised of certificates, government securities, commercial paper and time deposits. | ||||||||||||||||||||||||||
(2) Fixed income funds that invest in a diversified portfolio of publicly traded government bonds and corporate bonds. There are no restrictions on these investments, and they are valued at the net asset value at year end. | ||||||||||||||||||||||||||
(3) Equity funds that invest in a diversified portfolio of publicly traded domestic and international common stock, with an emphasis in European securities. There are no restrictions on these investments, and they are valued at the net asset value of the shares held at year end. | ||||||||||||||||||||||||||
(4) The majority of these assets are invested in real estate funds and other alternative investments. Also includes insurance contracts, which consists of the Company and employee contributions and accumulated interest income at guaranteed stated interest rates and provides for benefit payments and plan expenses. | ||||||||||||||||||||||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | ||||||
| Balance at beginning of period | $ | $ | ||||||
| Gains (losses) on assets still held at year-end | ( | |||||||
| Purchases, sales, issuances and settlements | ( | ( | ||||||
| Transfers in and/or out of Level 3 | ||||||||
| Foreign exchange loss | ( | ( | ||||||
| Balance at end of period | $ | $ | ||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| U.S. | $ | ( | $ | ( | $ | ( | |||||
| Non-U.S. | ( | ( | |||||||||
| Total | $ | ( | $ | ( | $ | ( | |||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Current: | |||||||||||
| U.S. | $ | ( | $ | $ | |||||||
| Non-U.S. | |||||||||||
| Total current expense | |||||||||||
| Deferred: | |||||||||||
| U.S. | ( | ( | ( | ||||||||
| Non-U.S. | ( | ( | |||||||||
| Total deferred tax benefit | ( | ( | ( | ||||||||
| Income tax provision (benefit) | $ | ( | $ | $ | |||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Statutory provision (benefit) | $ | ( | $ | ( | $ | ( | |||||
| U.S. state income taxes, net of federal benefit | ( | ( | |||||||||
| Foreign earnings taxed at different rates | ( | ( | |||||||||
| Permanent differences | ( | ||||||||||
| Share-based compensation | |||||||||||
| Net change in valuation allowance | ( | ||||||||||
| Audit settlements and changes to unrecognized tax benefits | ( | ( | |||||||||
| Deferred tax asset adjustments | |||||||||||
| Net change in estimate of prior period tax | ( | ( | |||||||||
| Change in tax laws | |||||||||||
| Withholding taxes | |||||||||||
| Other | ( | ( | |||||||||
| Income tax provision (benefit) | $ | ( | $ | $ | |||||||
| (in millions) | December 31, 2022 | December 31, 2021 | ||||||
| Deferred Tax Assets | ||||||||
| Accruals not yet deductible for tax purposes | $ | $ | ||||||
| Net operating loss carryforwards | ||||||||
| U.S., non-U.S. and state tax credits | ||||||||
| Employee benefit items | ||||||||
| Intercompany losses | ||||||||
| Interest carryforward | ||||||||
| Lease liability | ||||||||
| Other | ||||||||
| Gross deferred tax assets | ||||||||
| Less: Valuation allowance | ( | ( | ||||||
| Total deferred tax assets | ||||||||
| Deferred Tax Liabilities | ||||||||
| Depreciation and amortization | ( | ( | ||||||
| Unremitted foreign earnings | ( | ( | ||||||
| Intangibles | ( | ( | ||||||
| Hedging instruments | ( | |||||||
| Other | ( | ( | ||||||
| Total deferred tax liabilities | ( | ( | ||||||
| Net deferred tax liability | $ | ( | $ | ( | ||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Balance at beginning of period | $ | $ | $ | ||||||||
| Gross increases - tax positions in current period | |||||||||||
| Gross increases - tax positions in prior periods | |||||||||||
| Decreases from settlements with tax authorities | ( | ||||||||||
| Lapse of statute of limitations | ( | ( | ( | ||||||||
| Balance at end of period | $ | $ | $ | ||||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Cost of sales | $ | ( | $ | $ | |||||||
| Selling, general and administrative expenses | |||||||||||
| Total | $ | $ | $ | ||||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
Management equity incentive plan(1) | $ | $ | $ | ||||||||
Restricted shares(1) | |||||||||||
| Restricted share units | |||||||||||
| Performance share units | |||||||||||
| Share options | |||||||||||
| Cash-settled long-term incentive plan | |||||||||||
| Cash-settled restricted share units | ( | ||||||||||
| $ | $ | $ | |||||||||
Unrecognized Compensation Expense (Millions) | Weighted-Average Period (Years) | |||||||
| Restricted shares | $ | |||||||
| Restricted share units | ||||||||
| Performance share units | ||||||||
| Share options | ||||||||
| $ | ||||||||
| Number of Awards | Weighted Average Grant Date Fair Value | |||||||
| Nonvested at January 1, 2022 | $ | |||||||
| Granted | ||||||||
| Vested | ( | |||||||
| Forfeited | ( | |||||||
| Nonvested at December 31, 2022 | $ | |||||||
| Number of Awards | Weighted Average Grant Date Fair Value | |||||||
| Nonvested at January 1, 2022 | $ | |||||||
| Granted | ||||||||
| Vested | ( | |||||||
| Forfeited | ( | |||||||
| Nonvested at December 31, 2022 | $ | |||||||
| Number of Awards | Weighted Average Grant Date Fair Value | |||||||
| Nonvested at January 1, 2022 | $ | |||||||
| Granted | ||||||||
| Vested | ||||||||
| Forfeited | ( | |||||||
| Nonvested at December 31, 2022 | $ | |||||||
| Year Ended December 31, 2022 | |||||
| Expected volatility | % | ||||
| Expected dividend yield | % | ||||
| Expected life (in years) | |||||
| Risk-free interest rate | % | ||||
| Weighted-average grant date fair value | $ | ||||
| Shares | Weighted-Average Exercise Price | Aggregate Intrinsic Value (millions) | Weighted-Average Remaining Term (Years) | |||||||||||
| Outstanding at January 1, 2022 | $ | |||||||||||||
| Granted | $ | |||||||||||||
| Exercised | $ | |||||||||||||
| Forfeited and expired | ( | $ | ||||||||||||
| Outstanding at December 31, 2022 | $ | $ | ||||||||||||
| Exercisable at December 31, 2022 | $ | $ | — | |||||||||||
| Expected to vest at December 31, 2022 | $ | $ | ||||||||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Provision for lease receivables | $ | ( | $ | $ | |||||||
| Facilities | |||||||||||
| Employee termination benefits | |||||||||||
| Other | |||||||||||
| Total | $ | $ | $ | ||||||||
| (in millions) | Provision for Lease Receivables | Facilities | Employee Termination Benefits and Other | Total | ||||||||||
| Balance as of December 31, 2020 | $ | $ | $ | $ | ||||||||||
| Accrual and accrual adjustments | ||||||||||||||
| Cash payments during period | ( | ( | ( | |||||||||||
| Write-offs | ( | ( | ||||||||||||
| Foreign currency translation | ( | ( | ||||||||||||
| Balance as of December 31, 2021 | ||||||||||||||
| Accrual and accrual adjustments | ( | |||||||||||||
| Cash payments during period | ( | ( | ( | |||||||||||
| Write-offs | ||||||||||||||
| Foreign currency translation | ||||||||||||||
| Balance as of December 31, 2022 | $ | $ | $ | $ | ||||||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Institutional | $ | $ | $ | ||||||||
| Food & Beverage | |||||||||||
| Corporate/Unallocated | ( | ||||||||||
| Total | $ | $ | $ | ||||||||
| (in millions) | Unrecognized Pension Items | Hedging Activities | Cumulative Translation Adjustment | Accumulated Other Comprehensive Loss | ||||||||||
| Balance December 31, 2020 | $ | ( | $ | ( | $ | ( | $ | ( | ||||||
| Other comprehensive income (loss) before reclassifications | ( | |||||||||||||
| Amounts reclassified from AOCI to net loss | ( | |||||||||||||
| Net change | ||||||||||||||
| Balance December 31, 2021 | ( | ( | ( | ( | ||||||||||
| Other comprehensive income (loss) before reclassifications | ( | ( | ||||||||||||
| Amounts reclassified from AOCI to net loss | ( | |||||||||||||
| Net change | ( | |||||||||||||
| Balance December 31, 2022 | $ | $ | $ | ( | $ | ( | ||||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | ||||||
| Defined benefit plans and other post-employment benefits: | ||||||||
| Prior service costs | $ | ( | $ | ( | ||||
| Actuarial gain | ||||||||
| Total pre-tax amount | ( | ( | ||||||
| Tax expense | ||||||||
| Net of tax | ( | ( | ||||||
| Reclassifications from unrealized gains/losses from hedging activities: | ||||||||
| Cross currency swaps | ||||||||
| Interest rate swaps | ( | ( | ||||||
| Interest rate caps | ( | |||||||
| Foreign currency forward contracts | ||||||||
| Total pre-tax amount | ||||||||
| Tax expense (benefit) | ( | ( | ||||||
| Net of tax | ||||||||
| Total reclassifications for the period | $ | $ | ||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Institutional | $ | $ | $ | ||||||||
| Food & Beverage | |||||||||||
| Total | $ | $ | $ | ||||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Institutional | $ | $ | $ | ||||||||
| Food & Beverage | |||||||||||
| Total | $ | $ | $ | ||||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Adjusted EBITDA for reportable segments | $ | $ | $ | ||||||||
Corporate costs(15) | ( | ( | ( | ||||||||
| Interest expense | ( | ( | ( | ||||||||
| Interest income | |||||||||||
| Amortization expense of intangible assets acquired | ( | ( | ( | ||||||||
| Depreciation expense included in cost of sales | ( | ( | ( | ||||||||
| Depreciation expense included in selling, general and administrative expenses | ( | ( | ( | ||||||||
Transaction and integration costs(1) | ( | ( | ( | ||||||||
Restructuring and exit costs(2) | ( | ( | ( | ||||||||
Other costs related to facilities consolidations(3) | ( | ||||||||||
Foreign currency gain (loss) related to hyperinflationary subsidiaries(4) | ( | ||||||||||
Adjustment for tax indemnification asset(5) | ( | ( | ( | ||||||||
Acquisition accounting adjustments(6) | ( | ||||||||||
Bain Capital management fee(7) | ( | ( | |||||||||
Non-cash pension and other post-employment benefit plan(8) | |||||||||||
Unrealized foreign currency exchange gain (loss)(9) | ( | ||||||||||
Factoring and securitization fees(10) | ( | ( | ( | ||||||||
Share-based compensation(11) | ( | ( | ( | ||||||||
Tax receivable agreement adjustments(12) | |||||||||||
Loss on extinguishment of debt(13) | ( | ||||||||||
Realized foreign currency exchange loss on debt refinancing(14) | ( | ||||||||||
COVID-19 inventory charges(15) | ( | ( | |||||||||
| Other items | ( | ( | |||||||||
| Loss before income tax provision (benefit) | $ | ( | $ | ( | $ | ( | |||||
| (in millions) | December 31, 2022 | December 31, 2021 | ||||||
| Institutional | $ | $ | ||||||
| Food & Beverage | ||||||||
| Corporate | ||||||||
| Total | $ | $ | ||||||
| (in millions) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Europe | $ | $ | $ | ||||||||
North America(2) | |||||||||||
| Asia Pacific | |||||||||||
| Middle East & Africa | |||||||||||
| Latin America | |||||||||||
| Total | $ | $ | $ | ||||||||
| (in millions) | December 31, 2022 | December 31, 2021 | ||||||
| Europe | $ | $ | ||||||
North America(4) | ||||||||
| Asia Pacific | ||||||||
| Middle East & Africa | ||||||||
| Latin America | ||||||||
| Total | $ | $ | ||||||
| (in millions, except per share amounts) | Year Ended December 31, 2022 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | ||||||||
| Net loss attributable to common shareholders | $ | ( | $ | ( | $ | ( | |||||
Weighted average shares outstanding(1) | |||||||||||
Dilutive securities(2) | |||||||||||
| Denominator for loss per share - weighted average shares | |||||||||||
| Basic and diluted loss per share | $ | ( | $ | ( | $ | ( | |||||
| Diversey Holdings, Ltd. | |||||||||||||||||
| SCHEDULE II | |||||||||||||||||
| Valuation and Qualifying Accounts and Reserves | |||||||||||||||||
| Description | Balance at Beginning of Year | Charged to Costs and Expenses | Deductions | Foreign Currency Translation and Other (1) | Balance at End of Year | ||||||||||||
| (in millions) | |||||||||||||||||
| Year ended December 31, 2022 | |||||||||||||||||
| Allowance for trade receivables | $ | $ | $ | ( | $ | $ | |||||||||||
| Allowance for lease receivables | $ | $ | ( | $ | ( | $ | $ | ||||||||||
| Inventory obsolescence reserve | $ | $ | $ | ( | $ | $ | |||||||||||
| Valuation allowance on deferred tax assets | $ | $ | $ | $ | $ | ||||||||||||
| Year ended December 31, 2021 | |||||||||||||||||
| Allowance for trade receivables | $ | $ | ( | $ | ( | $ | $ | ||||||||||
| Allowance for lease receivables | $ | $ | $ | ( | $ | ( | $ | ||||||||||
| Inventory obsolescence reserve | $ | $ | $ | ( | $ | $ | |||||||||||
| Valuation allowance on deferred tax assets | $ | $ | $ | $ | $ | ||||||||||||
| Year ended December 31, 2020 | |||||||||||||||||
Allowance for trade receivables(1) | $ | $ | $ | ( | $ | $ | |||||||||||
| Allowance for lease receivables | $ | $ | $ | $ | $ | ||||||||||||
| Inventory obsolescence reserve | $ | $ | $ | ( | $ | ( | $ | ||||||||||
| Valuation allowance on deferred tax assets | $ | $ | ( | $ | $ | $ | |||||||||||
(1) The allowance for trade receivables includes $ | |||||||||||||||||
| Name | Age | Title | ||||||
| Philip Wieland | 49 | Chief Executive Officer and Director | ||||||
| Todd Herndon | 57 | Chief Financial Officer | ||||||
| Gaetano Redaelli | 61 | Chief Strategic Development Officer | ||||||
| Tracy Long | 44 | President, North America | ||||||
| Sinead Kwant | 50 | President, Western Europe | ||||||
| Somer Gundogdu | 53 | President, Emerging Markets | ||||||
| Rudolf Verheul | 60 | Global President, Food & Beverage | ||||||
| (a) List of documents filed as part of this Report: | |||||||||||
| (1) Consolidated Financial Statements of Diversey | |||||||||||
| (i) | (PCAOB ID: | ||||||||||
| (ii) | |||||||||||
| (iii) | |||||||||||
| (iv) | |||||||||||
| (v) | |||||||||||
| (vi) | |||||||||||
| (vii) | |||||||||||
| (2) Consolidated Financial Statement Schedule of Diversey | |||||||||||
| Schedule Number | |||||||||||
| II | Valuation and Qualifying Accounts | ||||||||||
| All other financial statements and schedules not listed have been omitted since the required information is either included in the Consolidated Financial Statements or the notes thereto, is not applicable or is not required. | |||||||||||
| (3) Exhibits | |||||
| The exhibits listed below are filed as part of, or are incorporated by reference in, this annual report. | |||||
| Exhibit No.: | Description | ||||
| 101.INS | The instance document does not appear in the interactive data file because its XBRL tags are embedded within the Inline XBRL document. | ||||
| 101.SCH | Inline XBRL Taxonomy Extension Schema | ||||
| 101.CAL | Inline XBRL Taxonomy Extension Calculation | ||||
| 101.DEF | Inline XBRL Taxonomy Extension Definition | ||||
| 101.LAB | Inline XBRL Taxonomy Extension Labels | ||||
| 101.PRE | Inline XBRL Taxonomy Extension Presentation | ||||
| 104 | Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101) | ||||
| * | The certifications furnished in Exhibit 32.1 and Exhibit 32.2 hereto are deemed to accompany this Annual Report on Form 10-K and will not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, except to the extent that the registrant specifically incorporates it by reference. | ||||
Date: | March 17, 2023 | |||||||||||||
/s/ PHILIP WIELAND Philip Wieland Chief Executive Officer | ||||||||||||||
Date: | March 17, 2023 | |||||||||||||
/s/ TODD HERNDON Todd Herndon Chief Financial Officer | ||||||||||||||
Date: | March 17, 2023 | ||||
/s/ PHILIP WIELAND Philip Wieland Chief Executive Officer | |||||
Date: | March 17, 2023 | ||||
/s/ TODD HERNDON Todd Herndon Chief Financial Officer | |||||
AUDIT INFORMATION |
12 Months Ended |
|---|---|
Dec. 31, 2022 | |
| Audit Information [Abstract] | |
| Auditor Name | Ernst & Young LLP |
| Auditor Location | Charlotte, North Carolina |
| Auditor Firm ID | 42 |
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions |
Dec. 31, 2022 |
Dec. 31, 2021 |
|---|---|---|
| Statement of Financial Position [Abstract] | ||
| Allowance for doubtful accounts | $ 21.7 | $ 23.5 |
| Common stock, par value (usd per share) | $ 0.0001 | $ 0.0001 |
| Common stock, shares authorized | 1,000,000,000 | 1,000,000,000 |
| Common stock, shares outstanding | 324,328,774 | 324,369,517 |
| Preferred stock, par value (usd per share) | $ 0.0001 | $ 0.0001 |
| Preferred stock, shares authorized | 200,000,000 | 200,000,000 |
| Preferred stock, shares outstanding | 0 | 0 |
Consolidated Statements of Comprehensive Loss - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Statement of Comprehensive Income [Abstract] | |||
| Net loss | $ (169.3) | $ (174.8) | $ (38.5) |
| Other comprehensive income (loss): | |||
| Pension plans and post-employment benefits, net of taxes of $(8.9), $(10.8) and $13.9 | 21.7 | 36.0 | (29.0) |
| Hedging activities, net of taxes of $(18.5), $(3.4) and $6.3 | 68.2 | 13.3 | (19.8) |
| Foreign currency translation adjustments | (88.0) | 6.4 | (99.4) |
| Other comprehensive (loss) income | 1.9 | 55.7 | (148.2) |
| Comprehensive loss | $ (167.4) | $ (119.1) | $ (186.7) |
Consolidated Statements of Comprehensive Loss (Parenthetical) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Statement of Comprehensive Income [Abstract] | |||
| Pension plans and post-employment benefits, taxes | $ (8.9) | $ (10.8) | $ 13.9 |
| Cash flow hedging activities, taxes | $ (18.5) | $ (3.4) | $ 6.3 |
Consolidated Statements of Cash Flows (Parenthetical) - USD ($) $ in Millions |
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|---|---|---|---|
| Statement of Cash Flows [Abstract] | |||
| Restricted cash | $ 0.6 | $ 0.6 | $ 8.8 |
GENERAL AND DESCRIPTION OF BUSINESS |
12 Months Ended |
|---|---|
Dec. 31, 2022 | |
| Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
| GENERAL AND DESCRIPTION OF BUSINESS | GENERAL AND DESCRIPTION OF BUSINESS Diversey Holdings, Ltd. (hereafter the "Company", “we”, “us”, and “our”) is a leading provider of hygiene, infection prevention and cleaning solutions. We develop mission-critical products, services and technologies that save lives and protect our environment. We were formed as an exempted company incorporated under the laws of the Cayman Islands with limited liability, on November 3, 2020 for the purpose of completing a public offering and related transactions and in order to carry on the business of our indirect wholly-owned operating subsidiaries. On March 29, 2021, we completed an initial public offering of 46,153,846 Ordinary Shares at a public offering price of $15.00 per Ordinary Share ("the IPO"), receiving $654.3 million in net proceeds, after deducting the underwriting discount and offering expenses. On April 9, 2021, we issued and sold an additional 5,000,000 Ordinary Shares pursuant to the underwriters' partial exercise of their option to purchase additional shares, receiving an incremental $71.4 million in net proceeds, after deducting the underwriting discount and offering expenses. Our Ordinary Shares trade on The Nasdaq Global Select Market under the ticker symbol "DSEY". On November 15, 2021, we issued and sold 15,000,000 Ordinary Shares at a public offering price of $15.00 per Ordinary Share, receiving $214.4 million in net proceeds, after deducting the underwriting discount and offering expenses. Prior to the formation of Diversey Holdings, Ltd., the organizational structure consisted of Constellation (BC) 2 S.à r.l ("Constellation"), which was incorporated on June 30, 2017, and organized under the laws of Luxembourg as a Société à Responsabilité Limitée for an unlimited period under the direction of Bain Capital, LP (“Bain Capital”). Diamond (BC) B.V., an indirect wholly-owned subsidiary of Constellation, was formed on March 15, 2017 for the purpose of consummating the acquisition of the Diversey Care division and the food hygiene and cleaning business of Sealed Air Corporation (“Sealed Air”) (together, the “Diversey Business”), including certain assets and all the capital stock of certain entities engaged in the Diversey Business (the “Diversey Acquisition”), which acquisition closed on September 6, 2017. Prior to closing of the IPO, we effected a series of transactions (the "Reorganization Transactions") pursuant to which: (i) Constellation (BC) PoolCo SCA (“Poolco”), an entity incorporated for the purpose of pooling the interests of our employees, directors and officers in Constellation (BC) S.à r.l (“Topco”), a direct subsidiary of Constellation, repurchased shares from certain equity holders in exchange for a note receivable; (ii) all other equity holders of Poolco contributed their shares of Poolco to Constellation in exchange for new shares of Constellation; and (iii) the equity holders of Constellation, including Bain Capital and the individuals referred to in the foregoing clause (ii), contributed a portion of their shares of Constellation to the Company, and the equity holders referred to in the foregoing clause (i) contributed a portion of their note receivable to the Company, in each case, in exchange for ordinary shares of the Company (in which the Company withheld a portion of the ordinary shares otherwise issuable solely to the extent necessary to satisfy (y) any outstanding loans owned by such employee equity holders and (z) any tax consequences resulting to the equity holders from the repurchase, and the aggregate fair market value of such withheld ordinary shares will be paid by the Company or a subsidiary thereof to satisfy such tax consequence), and the equity holders of Constellation, including Bain Capital and the individuals referred to in the foregoing clause (ii), contributed the remaining portion of their shares of Constellation to one of our subsidiaries, and the equity holders referred to in the foregoing clause (i) contributed the remaining portion of their note receivable to one of our subsidiaries, in each case, in exchange for payments to be made under the Tax Receivable Agreement entered into in connection with the IPO and certain other consideration. The Reorganization Transactions resulted in the Company becoming the ultimate parent company of Constellation and its subsidiaries, and Bain Capital and all other equity holders of Constellation and Poolco becoming shareholders of the Company. In order to simplify our corporate structure, we merged or liquidated certain of our wholly-owned subsidiaries, including Constellation, Poolco and Topco, prior to December 31, 2021. The Reorganization Transactions were considered transactions between entities under common control. As a result, the financial statements for periods prior to the IPO and the Reorganization Transactions have been adjusted to combine the previously separate entities for presentation purposes. Nature of Operations We are a leading global provider of high performance hygiene, infection prevention, and cleaning solutions for the Institutional and Food & Beverage markets. In addition, we offer a wide range of value added services, including food safety and application training and consulting, as well as auditing of hygiene and water management. Our Institutional business provides solutions serving end-users such as healthcare facilities, food service providers, retail and grocery outlets, educational institutions, hospitality establishments, and building service contractors. Our Food & Beverage business provides solutions serving manufacturers in the brewing, beverage, dairy, processed foods, pharmaceutical, and agricultural markets. Although our cleaning products represent only a small portion of our customers’ total cleaning costs, they are typically viewed as being non-discretionary because they can have a meaningful impact on the efficacy of food safety, operational excellence, and sustainability. The COVID-19 pandemic has further reinforced the essential nature of our solutions and increased hygiene, infection prevention, and cleaning standards across all markets. The product range of Diversey®-branded solutions includes fully integrated lines of products and dispensing systems for hard surface cleaning, disinfecting and sanitizing, hand washing, deodorizing, mechanical and manual ware washing, hard surface and carpeted floor cleaning systems, cleaning tools and utensils, fabric care for professional laundry applications comprising detergents, stain removers, bleaches and a broad range of dispensing equipment for process control and management information systems. Floor care machines are commercialized under the well-established Taski® brand. We are globally operated with manufacturing facilities, sales centers, administrative offices and warehouses located throughout the world, and we have a global team of approximately 9,000 employees as of December 31, 2022.
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BASIS OF PRESENTATION |
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| Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
| BASIS OF PRESENTATION | BASIS OF PRESENTATIONOur Consolidated Financial Statements include all of the accounts of the Company and our subsidiaries. These Consolidated Financial Statements reflect our financial position, results of operations, cash flows and changes in stockholders' equity in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). All intercompany accounts and transactions have been eliminated. All amounts are in U.S. dollar denominated millions, except per share amounts and unless otherwise noted, and are approximate due to rounding. In the opinion of management, all adjustments considered necessary for a fair presentation of the financial statements have been included. The accompanying notes are an integral part of the Consolidated Financial Statements. Certain amounts within Transaction and integration costs (formerly described as "Transition and transformation costs") in the prior years' Consolidated Statements of Operations have been reclassified into Restructuring and exit costs and Cost of sales to conform to the current year presentation, with no impact on net loss or accumulated deficit. |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES |
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| Accounting Policies [Abstract] | |||||||||||||||||||||||||||||||
| SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Use of Estimates The preparation of the Consolidated Financial Statements and related disclosures in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements, disclosures of contingent assets and liabilities at the date of the financial statements and reported amounts of revenues and expenses during the periods. These estimates include, among other items, purchase price accounting, assessing the collectability of receivables, the use and recoverability of inventory, the estimation of the fair value of financial instruments, useful lives and recoverability of tangible and intangible assets and impairment of goodwill, assumptions used in our defined benefit pension plans and other post- employment benefit plans, fair value measurement of assets, rebate costs, costs for incentive compensation, the valuation allowance on deferred tax assets and accruals for commitments and contingencies. Management reviews these estimates and assumptions periodically and reflects the effects of any revisions in the Consolidated Financial Statements in the period management determines any revisions to be necessary. Actual results could differ materially from these estimates. Business Combinations Business combinations are accounted for under the acquisition method of accounting, which requires the acquired assets, including separately identifiable intangible assets, and assumed liabilities to be recorded as of the acquisition date at their respective fair values. Any excess of the purchase price over the fair value of the assets acquired, including separately identifiable intangible assets, and liabilities assumed is recorded as goodwill. Fair value determination is subject to a significant degree of estimates. We use a measurement period following the acquisition date to gather information that existed as of the acquisition date that is needed to determine the fair value of the assets acquired and liabilities assumed. The measurement period ends once all information is obtained, but no later than one year from the acquisition date. The determination of the fair value of assets acquired and liabilities assumed involves assessments of factors such as the expected future cash flows associated with individual assets and liabilities and appropriate discount rates at the date of the acquisition. Where appropriate, external advisors are consulted to assist in the determination of fair value. For non-observable market values, fair value has been determined using acceptable valuation principles (e.g., multiple excess earnings and relief from royalty methods) which is considered to be a Level 3 fair value. Refer to Note 12 - Fair Value Measurements and Other Financial Instruments for further information. The results of operations for businesses acquired are included in the financial statements from the acquisition date. Foreign Currency Translation Our reporting currency is the U.S. dollar. In most cases, non-U.S. based subsidiaries use their local currency as the functional currency for their respective business operations. Assets and liabilities of these operations are translated into U.S. dollars at the end of period exchange rates; income and expenses are translated using the average exchange rates for the reporting period. Resulting cumulative translation adjustments are recorded in “Foreign Currency Translation Adjustments” in the Consolidated Statements of Comprehensive Loss. Gains and losses from transactions denominated in foreign currencies other than the functional currency of the respective entity are included in the Consolidated Statements of Operations in Other (income) expense, net. Impact of Inflation and Currency Fluctuations Argentina. Argentina has been designated a highly inflationary economy under U.S. GAAP effective July 1, 2018, and the U.S. dollar replaced the Argentine peso as the functional currency for our subsidiaries in Argentina. All peso-denominated monetary assets and liabilities are remeasured into U.S. dollars using the current exchange rate available to us, and any changes in the exchange rate are reflected in Foreign currency (gain) loss related to hyperinflationary subsidiaries on the Consolidated Statements of Operations. Turkey. Turkey has been designated a highly inflationary economy under U.S. GAAP effective April 1, 2022, and the U.S. dollar replaced the Turkish lira as the functional currency for our subsidiaries in Turkey. All lira-denominated monetary assets and liabilities are remeasured into U.S. dollars using the current exchange rate available to us, and any changes in the exchange rate are reflected in Foreign currency (gain) loss related to hyperinflationary subsidiaries on the Consolidated Statements of Operations. As a result of these designations, we recorded remeasurement gains of $1.9 million and $2.1 million for the years ended December 31, 2022 and December 31, 2021, respectively, and a remeasurement loss of $1.6 million for the year December 31, 2020. Financial Instruments We may from time to time use financial instruments, such as cross-currency swaps, interest rate swaps, caps and collars, U.S. Treasury lock agreements and foreign currency exchange forward contracts and options relating to borrowing and trade activities. We may also use these financial instruments from time to time to manage exposure to fluctuations in interest rates and foreign currency exchange rates. We do not purchase, hold or sell derivative financial instruments for trading purposes. We face credit risk if the counterparties to these transactions are unable to perform their obligations. Our policy is to have counterparties to these contracts that are rated at least BBB- by Standard & Poor’s and Baa3 by Moody’s. Derivative instruments are reported at fair value and establish criteria for designation and the effectiveness of transactions entered into for hedging purposes. Before entering into any derivative transaction, we identify the specific financial risk, the appropriate hedging instrument to use to reduce this risk, and the correlation between the financial risk and the hedging instrument. We use forecasts and historical data as the basis for determining the anticipated values of the transactions to be hedged. We do not enter into derivative transactions that do not have a high correlation with the underlying financial risk trying to be reduced. We regularly review hedge positions and the correlation between the transaction risks and the hedging instruments. Derivative instruments are accounted for as hedges of the related underlying risks if we designate these derivative instruments as hedges and the derivative instruments are effective as hedges of recognized assets or liabilities, forecasted transactions, unrecognized firm commitments or forecasted intercompany transactions. We record gains and losses on derivatives qualifying as cash flow hedges in other comprehensive income (loss) to the extent that hedges are effective and until the underlying transactions are recognized as gains or losses in the Consolidated Statements of Operations. Generally, our practice is to terminate derivative transactions if the underlying asset or liability matures, is sold or terminated, or if it is determined that the underlying forecasted transactions are no longer probable of occurring. Any deferred gains or losses associated with derivative instruments are recognized in the Consolidated Statements of Operations over the period in which the income or expense on the underlying hedged transaction was recognized. See Note 11 - Derivatives and Hedging Activities for further information. Revenue Recognition Revenue is measured as the amount of consideration expected to be received in exchange for transferring goods or services to customers. Revenue from products and sold equipment to end customers and distributors represents approximately 98% of our revenue and is recognized when obligations under the terms of a contract with the customer are satisfied, which generally occurs with the transfer of products or delivery of the equipment. Revenue from service and leased equipment is recognized when the services are provided, or the customer receives the benefit from the leased equipment, which is over time. Service revenue is recognized over time utilizing an input method and aligns with when the services are provided and corresponds with the transfer of control. See Note 4 - Revenue Recognition for further information. Our sales policies do not provide for general rights of return. We record estimated reductions to revenue for customer programs and incentive offerings including pricing arrangements, promotions and other volume-based incentives at the time the sale is recorded. We also record estimated reserves for product returns and credits at the time of sale and anticipated uncollectible accounts. Shipping and Handling Costs Costs incurred for the transfer and delivery of goods to customers are recorded as a component of cost of sales. Tax Collected from Customers Taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction, which are collected from customers, are excluded from net sales. Research and Development Research and development costs, which consist primarily of employee related costs, are expensed as incurred, and were $27.9 million, $33.4 million and $32.2 million for the years ended December 31, 2022, December 31, 2021 and December 31, 2020, respectively. Costs incurred are recorded as a component of Selling, general and administrative expenses within the Consolidated Statements of Operations. Share-Based Compensation Share-based compensation is measured at the grant date based on the fair value of the award and is generally expensed over the requisite service period. See Note 17—Share-based Compensation for further information. Restructuring and Exit Costs Our restructuring and exit activities are associated with a series of strategic initiatives aimed at maintaining a competitive cost structure, workforce optimization and further refinement of our business model and our strategy of selling solutions to customers. Restructuring and exit charges incurred in connection with these activities consist of employee termination benefits (one-time arrangements and benefits attributable to prior service), termination of contractual obligations, non-cash asset charges and other direct incremental costs. Restructuring and exit charges are presented separately on the Consolidated Statements of Operations. Transaction and Integration Costs Our transaction and integration costs consist primarily of professional and consulting services which are non-operational in nature. These costs relate to strategic initiatives, acquisition-related costs, and costs incurred in preparing to become a publicly traded company. Earnings (Loss) per Share Basic earnings per share is computed by dividing net income (loss) by the weighted average number of ordinary shares outstanding during the period. Diluted earnings per share reflects the potential dilution that could occur if commitments to issue ordinary shares were exercised or equity awards vested resulting in the issuance of ordinary shares that could share in the earnings of the Company. See Note 21 - Earnings (Loss) Per Share for further information. Income Taxes Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of assets and liabilities and their respective tax basis. Deferred tax assets are also recognized for operating losses and tax credit carry forwards. Valuation allowances are recorded to reduce deferred tax assets when it is more likely than not that a tax benefit will not be realized. Deferred tax assets and liabilities are measured using enacted tax rates applicable in the years in which they are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax law is recognized in income in the period that includes the enactment date. We do not provide for income taxes on undistributed earnings of foreign subsidiaries that are intended to be indefinitely reinvested. Where we do not intend to indefinitely reinvest earnings of foreign subsidiaries, we provide for income taxes and foreign withholding taxes, where applicable, on undistributed earnings. We recognize the benefit of an income tax position only if it is “more likely than not” that the tax position will be sustained. The tax benefits recognized are measured based on the largest benefit that has a greater than 50% likelihood of being realized. Additionally, we recognize interest and penalties accrued related to unrecognized tax benefits as a component of provision (benefit) for taxes on income. Cash and Cash Equivalents We consider highly liquid investments with original maturities of three months or less at the date of purchase to be cash equivalents. Our policy is to invest cash in excess of short-term operating and debt service requirements in cash equivalents. Cash equivalents are stated at cost, which approximates fair value because of the short-term maturity of the instruments. Our policy is to transact with counterparties that are rated at least A- by Standard & Poor’s and A3 by Moody’s. Some of our operations are located in countries that are rated below A- or A3. In this case, we try to minimize our risk by holding cash and cash equivalents at financial institutions with which we have existing global relationships whenever possible, diversifying counterparty exposures and minimizing the amount held by each counterparty and within the country in total. Trade Receivables, Net In the normal course of business, we extend credit to customers that satisfy pre-defined credit criteria. Trade receivables, which are included on the Consolidated Balance Sheets, are net of allowances for doubtful accounts. We maintain trade receivable allowances using an expected credit loss model, which uses a lifetime expected credit loss allowance for all trade and lease receivables, resulting from the likelihood of failure of our customers to make required payments. To measure expected credit losses, trade and lease receivables are grouped based on shared risk characteristics and the days past due. An additional allowance may be required if the financial condition of our customers deteriorate. We charge-off trade receivables after all standard collection procedures have been applied without success. Inventories Inventories are stated at the lower of cost or net realizable value, as determined by the first-in, first-out method. Costs related to inventories include raw materials, direct labor and manufacturing overhead which are included in cost of sales on the Consolidated Balance Sheets. Costs such as idle facility expense, excessive scrap and re-handling costs are expensed as incurred. We maintain reserves to reduce the value of inventory to the lower of cost or net realizable value, including reserves for excess and obsolete inventory. These reserves are based on management’s assumptions about and analysis of relevant factors including current levels of orders and backlog, forecasted demand, and market conditions that diminish the value of existing inventories. If actual market conditions deteriorate from those anticipated by management, additional allowances for excess and obsolete inventory could be required and may be material to earnings. See Note 6 - Financial Statement Details for further information. Property and Equipment, Net We state property and equipment at cost, including the fair value of any asset retirement obligations upon initial recognition of the liability, except for the fair value of acquired property and equipment that have been impaired, for which we reduce the carrying amount to the estimated fair value at the impairment date. We capitalize significant improvements and charge repairs and maintenance costs that do not extend the lives of the assets to expense as incurred. We depreciate the cost of property and equipment over their estimated useful lives using the straight-line method over the estimated useful lives of the assets:
We remove the cost and accumulated depreciation of assets sold or otherwise disposed of from the accounts and recognize any resulting gain or loss upon the disposition of the assets. See Note 7 - Property and Equipment, Net for further information. Free on Loan Equipment We have sales arrangements in which certain equipment, an inventory item, is provided to customers for “free on loan” or at “no charge” on the condition that the customer purchases a minimum amount of related consumables for use with the equipment. Providing equipment to customers in this manner is part of a sales strategy that ensures the long-term and continued use by the end customer of our consumable products (e.g. chemical cleaning solutions). This practice is common in the markets we serve. Under these sales arrangements, we assign all revenue to the delivery of consumables and the equipment is depreciated over the equipment’s useful life or the life of the customer program, whichever is shorter. For any equipment that have been impaired, we reduce the carrying amount to the estimated fair value at the impairment date. The equipment is classified as part of other non-current assets on our Consolidated Balance Sheets. See Note 9 - Leases for further information. Goodwill and Indefinite-Lived Intangible Assets Goodwill is initially assigned to reporting units as of the acquisition date. Goodwill and indefinite-lived intangible assets represent a significant portion of our total assets. Our goodwill had a carrying value of $462.8 million and $471.5 million as of December 31, 2022 and December 31, 2021, respectively. Indefinite-lived intangible assets, which consist of the Diversey trade name, had a carrying value of $818.2 million and $854.7 million as of December 31, 2022 and December 31, 2021, respectively. We review goodwill for possible impairment on a reporting unit level, which are consistent with our operating segments. Goodwill and indefinite-lived intangible assets are reviewed on an annual basis as of October 1st of each year, or more frequently if an event occurs or circumstances change that would indicate that it is more likely than not that the fair value of a reporting unit or the fair value of an indefinite-lived intangible asset has declined below its carrying value. Such events may include, but are not limited to, impairment of other assets or establishment of valuation allowances on deferred tax assets, cash flow or operating losses at a reporting unit, negative current events or long-term outlooks for our industry, and negative adjustments to future forecasts. In performing the annual goodwill impairment assessment, we have the option under U.S. GAAP to qualitatively assess whether it is more likely than not that the fair value of a reporting unit is less than its carrying value. If we conclude from the qualitative assessment that there are no indicators of impairment, we do not perform a quantitative test, which would require a valuation of the reporting unit as of October 1. U.S. GAAP provides a set of qualitative factors such as macroeconomic, industry, market and company specific factors, including cost factors, overall financial performance, market capitalization, and other events specific to the Company to consider in performing the qualitative assessment described above, which factors are not all inclusive; management considers the factors it deems relevant in making its more likely than not assessments. If we conclude from our qualitative assessment that there are indicators of impairment and that a quantitative test is required, the annual or interim quantitative goodwill impairment test involves comparing the fair value of each of our reporting units with goodwill to its carrying value, including the goodwill allocated to the reporting unit. If the fair value of the reporting unit exceeds its carrying value, there is no impairment and no further testing is required. If the fair value of the reporting unit is less than its carrying value, an impairment loss is recognized in an amount of the excess, limited to the amount of goodwill allocated to the reporting unit. Our annual assessment of the recovery of goodwill begins with management’s reassessment of its operating segments and reporting units. A reporting unit is an operating segment or one level below an operating segment, which is referred to as a component. This reassessment of reporting units is also made each time we change our operating segments. If the goodwill of a reporting unit is allocated to newly-formed reporting units, the allocation is made to each reporting unit based upon their relative fair values. Based on the results of our 2022 and 2021 annual qualitative assessments, we concluded that it was more likely than not that the fair value of each of the reporting units exceeded its carrying value. As such, it was not necessary to perform a quantitative impairment analysis, and we concluded that our reporting units were not impaired. For our 2020 annual assessment, we elected to bypass performing the qualitative screen and went directly to performing the quantitative test, which did not identify any impairment. As of December 31, 2020, the estimate of the excess of fair value over carrying value was greater than 20.0% of the fair value for both of our reporting units. The fair value of our reporting units is determined using both an income approach, which is based on discounted cash flows (“DCF”), and a market approach when we quantitatively test goodwill for impairment, either on an interim basis or annual basis as of October 1 of each year. Significant judgments inherent in using a DCF analysis include the selection of appropriate discount and long-term growth rates and estimating the amount and timing of expected future cash flows. The expected cash flows used in the DCF analyses are based on our most recent forecast and budget and, for years beyond the budget, our estimates, which are based, in part, on forecasted growth rates. The discount rates and growth rates used in the DCF analyses are intended to reflect the risks inherent in the expected future cash flows of the respective reporting units. Assumptions used in the DCF analyses, including the discount rate and the long-term growth rate, are assessed based on each reporting unit's current results and forecasted future performance, as well as macroeconomic and industry specific factors, and reflect our best estimate as of the impairment testing date. Any changes in such assumptions or estimates as a result of changes in our budgets, forecasts or negative macroeconomic trends could significantly affect the value of our reporting units which could impact whether an impairment of goodwill has occurred. The discount rate used in the quantitative test for determining the fair value of our reporting units was 9.0% in 2020. Determining fair value using a market approach considers multiples of financial metrics based on both acquisitions and trading multiples of a selected peer group of companies. From the comparable companies, a representative market multiple is determined which is applied to financial metrics to estimate the fair value of a reporting unit. To determine a peer group of companies for our respective reporting units, we considered companies relevant in terms of consumer use, monetization model, margin and growth characteristics, and brand strength operating in their respective sectors. If the carrying value of the indefinite-lived intangible asset exceeds its estimated fair value, an impairment equal to the excess is recorded. The 2022, 2021 and 2020 annual assessments of the indefinite-lived intangible asset did not identify any impairments. When performing a quantitative test, we determine the fair value of the indefinite-lived intangible asset using a relief from royalty DCF valuation analysis. Significant judgments inherent in this analysis include the selection of appropriate royalty and discount rates and estimating the amount and timing of expected future cash flows. The discount rates used in the DCF analyses are intended to reflect the risks inherent in the expected future cash flows generated by the respective intangible assets. The royalty rates used in the DCF analyses are based upon an estimate of the royalty rates that a market participant would pay to license our trade names. The future cash flows are based on our most recent forecast and budget and, for years beyond the budget, our estimates, which are based, in part, on forecasted revenue growth rates. Assumptions used in the relief from royalty DCF analyses, including the discount rate and royalty rate, are assessed annually based on the actual and projected cash flows related to the asset, as well as macroeconomic and industry specific factors. The discount rates used in our annual indefinite-lived impairment assessment was 9.5% in 2022 and 9.0% in 2020, and the royalty rate used in 2022 and 2020 was 3.0%. Based on the results of our 2021 annual qualitative assessment, we concluded that it was more likely than not that the fair value of the indefinite-lived intangible asset exceeded the carrying value. As such, it was not necessary to perform a quantitative impairment analysis, and we concluded that the indefinite-lived intangible asset was not impaired. Estimating the fair value of a reporting unit and the indefinite-lived intangible asset involves uncertainties because it requires management to develop numerous assumptions, including assumptions about the future growth and potential volatility in revenues and costs, capital expenditures, industry economic factors and future business strategy. Changes in projected revenue growth rates, projected operating income margins or estimated discount rates due to uncertain market conditions, loss of one or more key customers, changes in our strategy, or other factors could negatively affect the fair value of our reporting units or the indefinite-lived intangible asset and result in a material impairment charge in the future. Long-Lived Assets Long-lived assets represent a significant portion of our total assets, the aggregate amount of which was $1,513.7 million and $1,602.2 million, as of December 31, 2022 and December 31, 2021, respectively. Such long-lived assets primarily consist of definite-lived intangible assets in an aggregate amount of $1,165.9 million and $1,292.6 million as of December 31, 2022 and December 31, 2021, respectively. We perform an impairment review for definite-lived intangible assets, such as customer relationships, contracts, intellectual property, and for other long-lived assets, such as property and equipment, whenever events or changes in circumstances indicate that the carrying value of an asset or asset group may not be recoverable. Such events may include, but are not limited to, a significant decrease in the market price of an asset or asset group, change in manner in which an asset is being used, significant change in business climate and significant cash flow or operating losses that demonstrate continuing losses associated with the use of the asset. We calculate the undiscounted value of the projected cash flows expected to result from the use and eventual disposition of the asset or asset group and compare this estimated amount to the carrying value of the asset or asset group. If the carrying amount is found to be greater than the undiscounted value of the projected cash flows of the asset or asset group, we record an impairment loss of the excess of carrying value over the fair value of the asset or asset group. In addition, we re-evaluate the remaining useful lives of the assets and modify them, as appropriate. Definite-lived intangible assets are amortized over their estimated economic lives. The reasonableness of the useful lives of these assets is regularly evaluated. Once these assets are fully amortized, they are removed from the balance sheet. We evaluate these assets for impairment whenever events or changes in circumstances indicate that the carrying amount of these assets may not be recoverable. Lessee Operating and Finance Leases We have various operating and finance lease agreements related to property, machinery, vehicles and other equipment. Our operating leases include vehicles, buildings, equipment, material handling, storage and land. Operating lease right-of-use assets and operating lease liabilities are recognized based on the present value of the future lease payments over the term. The operating lease right-of-use asset also includes accrued lease expense resulting from the straight-line accounting under prior accounting methods, which is now being amortized over the remaining life of the lease. Our finance leases relate to vehicles and equipment. Our lease payments consist of fixed payments and variable payments. We determine our variable payments based on an index or a rate (i.e. CPI or a market interest rate) that is initially measured at the commencement date. Fixed payments are both fixed and in-substance payments, less any lease incentives paid or payable. Some of our leases include options to extend the lease, with renewal terms that can extend the lease term from to five years. If we are reasonably certain to exercise an option to extend a lease, the extension period is included as part of the right-of-use asset and the lease liability. Our leases do not contain residual value guarantees, which are guarantees made to the lessor that the value of an underlying asset returned to the lessor at the end of a lease will be at least a specified amount. Our leases do not contain restrictions or covenants that restrict us from incurring other financial obligations. At the inception of our contracts we determine if the contract is or contains a lease. A contract is or contains a lease if it conveys the right to control the use of an identified asset for a period of time in exchange for consideration. The discount rate for leases is determined based on the incremental borrowing rate ("IBR"). Our IBR is based on information available on the lease commencement date to determine the present value of future payments. For our leases, we have not elected to not apply the recognition requirements to leases of twelve months or less. These leases will be expensed on a straight-line basis and no operating lease liability will be recorded. We did not participate in lease transactions with related parties. Lessor Operating and Sales-Type Leases We lease dosing and dispensing equipment to customers under operating and sales-type leases. Our accounting policy for these leases is to account for lease and non-lease components separately. The non-lease components, such as product and service revenue, are accounted for under Topic 606 Revenue from Contracts with Customers, see Note 4 - Revenue Recognition for further information. Revenue from operating leases is recognized on a straight-line basis over the life of the lease. Cost of sales from operating leases includes the depreciation expense for assets under lease. The assets are depreciated over their estimated useful lives. Revenue from sales-type leases is recognized as the present value of the future lease payments in the period the lease agreement is signed and the equipment is delivered to the customer. Interest income is recognized using the effective interest method over the life of the lease. Cost of sales from sales-type leases includes the cost for assets under lease. Initial lease terms range from one year to five years and most leases include renewal options. Lease contracts convey the right for the customer to control the equipment for a period of time as defined by the contract. Under our operating leases, there are no options for the customer to purchase the equipment and therefore the equipment remains the property of the Company at the end of the lease term. Pension Benefits In connection with the Diversey Acquisition, we assumed certain defined benefit plan obligations and acquired certain related plan assets for current employees of our subsidiaries. In addition, we implemented a replacement retiree health care reimbursement plan for certain U.S. based employees. The projected benefit obligation and the net periodic benefit cost are based on third-party actuarial assumptions and estimates that are reviewed and approved by management on a plan-by-plan basis each fiscal year. The principal assumptions concern the discount rate used to measure future obligations, the expected future rate of return on plan assets and the expected rate of future compensation increases. We revise these assumptions based on an annual evaluation of long-term trends and market conditions that may have an impact on the cost of providing retirement benefits. In determining the discount rate, we utilize market conditions and other data sources management considers reasonable based upon the profile of the remaining service life of eligible employees. The expected long-term rate of return on plan assets is determined by taking into consideration the weighted-average expected return on our asset allocation, asset return data, historical return data, and the economic environment. We believe these considerations provide the basis for reasonable assumptions of the expected long-term rate of return on plan assets. The rate of compensation increase is based on our long-term plans for such increases. The measurement date used to determine benefit obligations and plan assets is December 31. In general, material changes to the principal assumptions could have a material impact on the costs and liabilities recognized in our Consolidated Financial Statements. Refer to Note 13 - Retirement Plans for further information. New Accounting Guidance We consider the applicability and impact of all Accounting Standards Updates (ASUs) issued by the Financial Accounting Standards Board (FASB). ASUs not listed below were assessed and determined to be either not applicable or are expected to have minimal impact on our consolidated financial statements. Recently Issued Accounting StandardsIn September 2022, the FASB issued ASU No. 2022-04, Liabilities—Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations. The new guidance is expected to improve the transparency of supplier finance programs by requiring that a buyer in a supplier finance program disclose sufficient qualitative and quantitative information about the program to allow a user of its financial statements to understand the program's nature, activity during the period, changes from period to period and potential magnitude. ASU No. 2022-04 is effective for us as of January 1, 2023 on a retrospective basis including interim periods within those fiscal years, except for the requirement to disclose rollforward information, which is effective for us as of January 1, 2024. Early adoption is permitted. We had no supplier finance programs during 2022, but anticipate implementing a program in 2023. We do not believe that the adoption of ASU 2022-04 will have an impact on our Consolidated Financial Statements with the exception of expanded annual disclosures. |
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REVENUE RECOGNITION |
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| REVENUE RECOGNITION | REVENUE RECOGNITION We recognize revenue from contracts with customers under ASC 606 using the following five-step model: (1) identify the contract with a customer, (2) identify the performance obligations in the contract, (3) determine the transaction price, (4) allocate the transaction price to the performance obligations in the contract, and (5) recognize revenue when (or as) we satisfy a performance obligation. Performance obligations are satisfied upon transfers of control of a good or service to a customer. We recognize revenue based on the expected amount of consideration to be received for the provided goods or services, taking into account the expected value of variable consideration. Description of Revenue Generating Activities We provide high-performance cleaning, infection prevention and hygiene products for the food safety and service, food and beverage plant operations, healthcare, floor care, housekeeping and room care, laundry and hand care markets. In addition, we offer a wide range of value-added solutions, including food safety and application training and consulting, as well as auditing of hygiene and water management. Many of our products are sold through distributors who then sell the product to end users. Identify Contract with Customer For an agreement to qualify as a contract under ASC 606, the agreement must create substantive enforceable rights and obligations. Indicators of enforceability for our contracts include, but are not limited to, minimum purchase or spend obligations coupled with early termination penalties for the customer. In the event a contract does not have a minimum purchase obligation nor contain any of the provisions to establish enforceable rights and obligations, part of the contract may still be enforceable when a purchase order is issued and the purchase order relates to a section of the agreement. Most of our contracts do not contain minimum purchase obligations or early termination penalties for the customer. Performance Obligations A performance obligation must include a promise to deliver goods or services whereby the good or service must be distinct in the contract. The most common examples of our distinct performance obligations are consumables, training, equipment sales, installation, and maintenance. The other goods or services promised in the contract are not identified as performance obligations when they are not separate, distinct, or material. Transaction Price and Variable Consideration Our contracts contain fixed and variable components. Our variable considerations include, but are not limited to, rebates, prebates, discounts, and returns. The amount of variable consideration is estimated at contract inception by using the most likely amount method pending on the nature of the variable consideration. Such variable consideration is re-evaluated each reporting period, and accruals are booked based on the re-evaluated estimates and variable consideration recognized to date. Charges for rebates and other allowances are recognized as a deduction from revenue on an accrual basis in the period in which the associated revenue is recorded. When we estimate our rebate accruals, we consider customer-specific contractual commitments including stated rebate rates and history of actual rebates paid. Our rebate accruals are reviewed at each reporting period and adjusted to reflect data available at that time. We adjust the accruals to reflect any differences between estimated and actual amounts. These adjustments impact the amount of net sales recognized by us in the corresponding period of adjustment. Charges for rebates and other allowances were 25.9%, 25.0% and 25.8% of gross sales for the years ended December 31, 2022, December 31, 2021 and December 31, 2020, respectively. Allocation of Transaction Price We allocate the transaction price to performance obligations in proportion to their standalone selling prices. We obtain the transaction price of performance obligations by using the selling prices for performance obligations with observable prices sold on a standalone basis. When observable prices are not readily available, we estimate the standalone selling prices by using the expected cost plus a margin approach. Satisfaction of Performance Obligations The timing of revenue recognition depends on the nature of each performance obligation. In general, the time between when a performance obligation is satisfied and when billing and payment occur is closely aligned, with the exception of revenue for services, which is satisfied over the life of the contract. The sale of goods is recorded at a point in time when the customer obtains control of the asset. Transfer of control is indicated when we have a present right to payment for the goods, the customer has legal title to the asset, we have transferred physical possession of the goods to the customer, the customer has the significant risks and rewards of ownership of the goods, or the customer has accepted the goods. Revenue for services, such as maintenance or training, that are performed over the life of a contract are recognized based on the activity we expect to undertake to fulfill the performance obligation. Disaggregated Revenue Revenues from contracts with customers summarized by region were as follows:
Contract Balances Timing differences occur when billing precedes or succeeds the satisfaction of the corresponding performance obligation. If the timing differences between billing and services recognized over time is significant, we record a liability (unearned revenue) and do not recognize revenue until the performance obligation is satisfied. There were no material timing differences that led to contract liabilities as of December 31, 2022 and December 31, 2021. Assets Recognized For the Costs To Obtain A Contract In certain instances, we incur incremental direct costs of a transaction, such as prebates, equipment provided free on loan, or other related expenses in the contract negotiation phase. Because these costs are likely incurred to transition to a new relationship or part of a negotiated renewal of a long-term relationship, these costs are considered costs to obtain a contract and are deferred and amortized over the period in which revenue is recognized or the useful life of the equipment, provided that unamortized deferred costs are considered recoverable. These amounts are recorded within Other non-current assets on our Consolidated Balance Sheets. Refer to Note 6 - Financial Statement Details for further information.
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ACQUISITIONS |
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| Business Combination and Asset Acquisition [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| ACQUISITIONS | ACQUISITIONS We make business acquisitions that align with our strategic business objectives. The assets and liabilities of acquired businesses are recorded in the Consolidated Balance Sheet at fair value as of their acquisition date. The purchase price allocation is based on estimates of the fair value of assets acquired, liabilities assumed and consideration paid. Purchase consideration is reduced by the amount of cash or cash equivalents acquired. Acquisitions during any of the years presented were not significant to our consolidated financial statements; therefore, pro forma financial information is not presented. Costs incurred related to acquisitions are included as part of Transaction and integration costs in the Consolidated Statements of Operations. 2022 Activity On January 24, 2022, we acquired Shorrock Trichem Ltd, a distributor of cleaning and hygiene solutions and services in the United Kingdom for the Institutional business segment. In 2022, we recorded purchase accounting adjustments associated with our 2021 acquisitions of Tasman Chemicals Pty. Limited, Avmor Ltd, and Birko Corporation. As a result, the acquisition related net assets decreased by $1.6 million, goodwill increased by $0.1 million, and we paid $1.5 million in additional consideration related to a net working capital adjustment. 2021 Activity On September 20, 2021 we acquired certain assets of Tasman Chemicals Pty. Limited, an Australian manufacturer of professional hygiene and cleaning solutions, and the results of operations for this business are reported within both the Institutional and Food & Beverage business segment. On November 5, 2021, we acquired certain assets of Avmor Ltd, a Canadian based supplier of specialist hygiene solutions for the Institutional segment. On December 3, 2021, we acquired Birko Corporation, a North American manufacturer of food safety chemical solutions for the Food & Beverage segment, and Chad Equipment LLC, a subsidiary of Birko Corporation, which manufactures food safety equipment for the protein industries. 2020 Activity On December 30, 2020, we acquired SaneChem sp. z o o, a Poland-based supplier of specialized hygiene solutions. This acquisition further expanded our footprint within Europe and the results of operations for this business are reported within the Food & Beverage business segment. On July 1, 2020, we acquired Wypetech, LLC, a contract manufacturer based out of Milwaukee, Wisconsin, that specializes in the production of disinfecting wipes used in a variety of end markets including healthcare, industrial and general commercial and household applications. This acquisition further expanded our footprint in the United States and the results of operations for this business are reported within the Institutional business segment. The following table summarizes the fair values of the net assets acquired, which includes the purchase accounting adjustments described above:
(1) The fair value of the intangible assets, which represents customer relationships and intellectual property, was determined using the Income Approach, which measures the value of an intangible asset based on the present value of its future economic benefits. This approach converts future economic benefits to a single current amount by discounting the future benefits at a rate of return sufficient to satisfy the risks and rewards associated with ownership of similar assets. This measurement reflects current market expectations regarding its future economic benefits. The Income Approach is a non-recurring Level 3 fair value assessment.
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FINANCIAL STATEMENT DETAILS |
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| Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| FINANCIAL STATEMENT DETAILS | FINANCIAL STATEMENT DETAILS Inventories Our net inventory balances were:
Factoring of trade receivables On October 25, 2021, we terminated our Master Agreement with Factofrance, S.A. (“Factofrance”) to sell certain trade receivables, without recourse, of eight Diversey companies located in the United Kingdom, Spain, France, Netherlands, Poland, Germany, Italy and Portugal under individually executed Receivable Purchase Agreements (“RPAs”). We accounted for transfers of receivables pursuant to the RPAs as a sale and removed them from our Consolidated Balance Sheets. We maintained a “beneficial interest,” or a right to collect cash, in the sold receivables in which we did not immediately collect cash. Cash receipts from the beneficial interests on sold receivables (which were cash receipts on the underlying trade receivables that had already been sold in these agreements) are classified as investing activities and presented as cash receipts on sold receivables on our Consolidated Statements of Cash Flows. We sold $495.5 million of receivables to Factofrance and received cash from Factofrance of $496.1 million during the year ended December 31, 2021. We collected from our customers and remitted to Factofrance $524.6 million during the year ended December 31, 2021. Securitization of trade receivables We sell certain North American and European customer receivables to PNC Bank ("PNC") without recourse on a revolving basis. This arrangement provides for maximum funding of up to $150.0 million for receivables sold, which increased from $100.0 million during the second quarter of 2022. As customers pay their balances, we transfer additional receivables into the program. The transferred receivables are fully guaranteed by a bankruptcy-remote wholly-owned subsidiary of the Company, which holds additional receivables in the amount of $130.9 million as of December 31, 2022 that are pledged as collateral under this agreement. Fees associated with the arrangement were $4.9 million and $2.2 million for the years ended December 31, 2022 and December 31, 2021, respectively. We transferred and derecognized $1,227.4 million of receivables and collected $1,172.3 million in connection with our arrangement with PNC during the year ended December 31, 2022. We transferred and derecognized $669.7 million of receivables and collected $644.9 million in connection with our arrangement with PNC during the year ended December 31, 2021. Credit losses Our allowance for expected credit losses on trade and lease receivables is assessed at the end of each quarter based on an analysis of historical losses and assessment of future expected losses. The following represents the activity in our allowance for credit losses for trade and lease receivables:
Prepaid expenses and other current assets The components of prepaid expenses and other current assets were as follows:
Other non-current assets The components of other non-current assets were as follows:
Depreciation expense for our dosing and dispensing equipment was $65.8 million, $69.6 million and $76.1 million for the years ended December 31, 2022, December 31, 2021 and December 31, 2020, respectively. Other current and non-current liabilities The components of other current liabilities were as follows:
The components of other non-current liabilities were as follows:
Other (income) expense, net The following table provides details of our Other (income) expense, net:
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PROPERTY AND EQUIPMENT, NET |
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| Property, Plant and Equipment [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| PROPERTY AND EQUIPMENT, NET | PROPERTY AND EQUIPMENT, NET Our property and equipment and accumulated depreciation balances were as follows:
Depreciation expense was $24.5 million, $21.2 million and $21.2 million for the years ended December 31, 2022, December 31, 2021 and December 31, 2020, respectively. Refer to Note 6 - Financial Statement Details for further information regarding depreciation expense on dosing and dispensing equipment.
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GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS |
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| Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS | GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS Goodwill The following table represents a roll forward of our goodwill balances by reportable segments:
Identifiable Intangible Assets The following table summarizes the gross carrying amounts and accumulated amortization of identifiable intangible assets by major class with definite and indefinite lives at December 31, 2022:
The following table summarizes the gross carrying amounts and accumulated amortization of identifiable intangible assets by major class with definite and indefinite lives at December 31, 2021:
Amortization expense for acquired intangibles was $90.2 million, $96.7 million and $98.2 million for the years ended December 31, 2022, December 31, 2021 and December 31, 2020, respectively. The estimated amortization expense related to the fair value of acquired intangible assets for each of the succeeding five years and thereafter is:
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LEASES |
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| Leases [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| LEASES | LEASES Lessee Operating and Finance Leases We have various operating and finance lease agreements related to property, machinery, vehicles and other equipment. Supplemental Balance Sheet information related to leases is as follows:
The following table provides information on the weighted average remaining lease term and weighted average discount rate for operating and finance leases:
The following maturity analysis presents expected undiscounted cash payments for operating and finance leases on an annual basis as of December 31, 2022:
The following presents the components of total operating costs and total finance lease costs:
Cash payments made for variable lease costs and short-term leases are not included in the measurement of operating and finance lease liabilities, and as such, are excluded from the supplemental cash flow information stated below.
Lessor Operating and Sales-Type Leases We lease dosing and dispensing equipment to customers under operating and sales-type leases. The gross assets under operating leases are $232.5 million and $285.6 million, with related accumulated depreciation of $82.7 million and $143.6 million as of December 31, 2022 and December 31, 2021, respectively, and are included in Other non-current assets. Refer to Note 6 - Financial Statement Details for further information. The receivables, net of reserves, under sales-type leases are $21.9 million and $27.7 million, of which $9.1 million and $9.7 million are included in Other receivables and $12.8 million and $18.0 million are included in Other non-current assets, as of December 31, 2022 and December 31, 2021, respectively. The undiscounted cash flows from operating and sales-type leases for existing contracts as of December 31, 2022 is as follows: Certain of our operating leases are evergreen in nature and therefore not included in the table above.
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| LEASES | LEASES Lessee Operating and Finance Leases We have various operating and finance lease agreements related to property, machinery, vehicles and other equipment. Supplemental Balance Sheet information related to leases is as follows:
The following table provides information on the weighted average remaining lease term and weighted average discount rate for operating and finance leases:
The following maturity analysis presents expected undiscounted cash payments for operating and finance leases on an annual basis as of December 31, 2022:
The following presents the components of total operating costs and total finance lease costs:
Cash payments made for variable lease costs and short-term leases are not included in the measurement of operating and finance lease liabilities, and as such, are excluded from the supplemental cash flow information stated below.
Lessor Operating and Sales-Type Leases We lease dosing and dispensing equipment to customers under operating and sales-type leases. The gross assets under operating leases are $232.5 million and $285.6 million, with related accumulated depreciation of $82.7 million and $143.6 million as of December 31, 2022 and December 31, 2021, respectively, and are included in Other non-current assets. Refer to Note 6 - Financial Statement Details for further information. The receivables, net of reserves, under sales-type leases are $21.9 million and $27.7 million, of which $9.1 million and $9.7 million are included in Other receivables and $12.8 million and $18.0 million are included in Other non-current assets, as of December 31, 2022 and December 31, 2021, respectively. The undiscounted cash flows from operating and sales-type leases for existing contracts as of December 31, 2022 is as follows: Certain of our operating leases are evergreen in nature and therefore not included in the table above.
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| LEASES | LEASES Lessee Operating and Finance Leases We have various operating and finance lease agreements related to property, machinery, vehicles and other equipment. Supplemental Balance Sheet information related to leases is as follows:
The following table provides information on the weighted average remaining lease term and weighted average discount rate for operating and finance leases:
The following maturity analysis presents expected undiscounted cash payments for operating and finance leases on an annual basis as of December 31, 2022:
The following presents the components of total operating costs and total finance lease costs:
Cash payments made for variable lease costs and short-term leases are not included in the measurement of operating and finance lease liabilities, and as such, are excluded from the supplemental cash flow information stated below.
Lessor Operating and Sales-Type Leases We lease dosing and dispensing equipment to customers under operating and sales-type leases. The gross assets under operating leases are $232.5 million and $285.6 million, with related accumulated depreciation of $82.7 million and $143.6 million as of December 31, 2022 and December 31, 2021, respectively, and are included in Other non-current assets. Refer to Note 6 - Financial Statement Details for further information. The receivables, net of reserves, under sales-type leases are $21.9 million and $27.7 million, of which $9.1 million and $9.7 million are included in Other receivables and $12.8 million and $18.0 million are included in Other non-current assets, as of December 31, 2022 and December 31, 2021, respectively. The undiscounted cash flows from operating and sales-type leases for existing contracts as of December 31, 2022 is as follows: Certain of our operating leases are evergreen in nature and therefore not included in the table above.
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| LEASES | LEASES Lessee Operating and Finance Leases We have various operating and finance lease agreements related to property, machinery, vehicles and other equipment. Supplemental Balance Sheet information related to leases is as follows:
The following table provides information on the weighted average remaining lease term and weighted average discount rate for operating and finance leases:
The following maturity analysis presents expected undiscounted cash payments for operating and finance leases on an annual basis as of December 31, 2022:
The following presents the components of total operating costs and total finance lease costs:
Cash payments made for variable lease costs and short-term leases are not included in the measurement of operating and finance lease liabilities, and as such, are excluded from the supplemental cash flow information stated below.
Lessor Operating and Sales-Type Leases We lease dosing and dispensing equipment to customers under operating and sales-type leases. The gross assets under operating leases are $232.5 million and $285.6 million, with related accumulated depreciation of $82.7 million and $143.6 million as of December 31, 2022 and December 31, 2021, respectively, and are included in Other non-current assets. Refer to Note 6 - Financial Statement Details for further information. The receivables, net of reserves, under sales-type leases are $21.9 million and $27.7 million, of which $9.1 million and $9.7 million are included in Other receivables and $12.8 million and $18.0 million are included in Other non-current assets, as of December 31, 2022 and December 31, 2021, respectively. The undiscounted cash flows from operating and sales-type leases for existing contracts as of December 31, 2022 is as follows: Certain of our operating leases are evergreen in nature and therefore not included in the table above.
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DEBT AND CREDIT FACILITIES |
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| DEBT AND CREDIT FACILITIES | DEBT AND CREDIT FACILITIES The components of debt and credit facilities were as follows:
Senior Secured Credit Facilities On September 29, 2021, we entered into an amendment to our Senior Secured Credit Facilities, which provided for a new $1,500.0 million senior secured U.S. dollar denominated term loan (the “2021 U.S. Dollar Term Loan”) in addition to the existing $450.0 million revolving credit facility (the “Revolving Credit Facility,” and together with the 2021 U.S. Dollar Term Loan, the “New Senior Secured Credit Facilities”). The 2021 U.S. Dollar Term Loan matures on September 29, 2028, while the Revolving Credit Facility matures on March 28, 2026. The amendment provided for the repayment of the existing term loans in the aggregate amount of $1,404.2 million. In addition, we incurred a realized foreign currency exchange loss of $4.5 million related to the refinancing of the Senior Secured Credit Facilities during the year ended December 31, 2021. The interest rate under the 2021 U.S. Dollar Term Loan is equal to (i) the Adjusted LIBOR rate (as defined in the New Senior Secured Credit Facilities), with a LIBOR floor of 0.50%, plus 3.00%, or (ii) ABR (as defined in the New Senior Secured Credit Facilities) plus 2.00%; however, such percentages per annum permanently stepped-down to 2.75% and 1.75%, respectively, during the first quarter of 2022, as our Total Net Leverage Ratio (as defined in the New Senior Secured Credit Facilities) was less than or equal to 4.50 to 1.00. As of December 31, 2022, the interest rate for the 2021 U.S. Dollar Term Loan was 7.17%. Deferred financing costs of $69.1 million related to the issuance of the 2021 U.S. Dollar Term Loan are recorded as a reduction of the principal amount of the borrowings and are amortized using the effective interest method as a component of interest expense over the life of the 2021 U.S. Dollar Term Loan. Unamortized deferred financing costs were $24.0 million and $28.3 million as of December 31, 2022 and December 31, 2021, respectively. In connection with the repayment of the term loans in 2021 discussed above, an additional $12.8 million of deferred financing costs were charged to interest expense during the year ended December 31, 2021. Original issue discount of $12.6 million related to the issuance of the 2021 U.S. Dollar Term Loan is recorded as a reduction of the principal amount of the borrowings, and is amortized using the effective interest method as a component of interest expense over the life of the 2021 U.S. Dollar Term Loan. The unamortized original issue discount balance was $7.0 million and $8.3 million as of December 31, 2022 and December 31, 2021, respectively. In connection with the repayment of the existing term loans in 2021 discussed above, an additional $1.3 million of original issue discount was charged to interest expense during the year ended December 31, 2021. Costs of $8.9 million related to entering into the Revolving Credit Facility are recorded as “Deferred financing costs” within Other current assets and Other non-current assets on the Consolidated Balance Sheets, and are being amortized on a straight-line basis over the term of the Revolving Credit Facility. Unamortized deferred financing costs related to the Revolving Credit Facility were $2.7 million and $3.7 million as of December 31, 2022 and December 31, 2021, respectively. As of December 31, 2022, we had no borrowings outstanding under the Revolving Credit Facility and $5.4 million of letters of credit outstanding, which reduced the available borrowing capacity thereunder to approximately $444.6 million. As of December 31, 2021, we had no borrowings outstanding under the Revolving Credit Facility and $7.9 million of letters of credit outstanding, which reduced the available borrowing capacity thereunder to approximately $442.1 million. The New Senior Secured Credit Facilities contain normal and customary affirmative and negative covenants. Some of the more restrictive covenants are (a) limitations on our ability to pay dividends, (b) limitations on asset sales, and (c) limitations on our ability to incur additional indebtedness. The New Senior Secured Credit Facilities also contain various events of default, the occurrence of which could result in the acceleration of all obligations. As of December 31, 2022, we were in full compliance with the provisions contained within the covenants. 2021 Senior Notes On September 29, 2021, we completed the sale of $500.0 million in aggregate principal amount of Senior Notes due 2029 (the “2021 Senior Notes”) in a private placement to qualified institutional buyers in reliance on Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”), and to non-U.S. persons (as defined in Regulation S) pursuant to Regulation S under the Securities Act. We used the net proceeds from the issuance of the 2021 Senior Notes, together with borrowings under our New Senior Secured Credit Facilities and cash on hand, to redeem all of the €450.0 million aggregate principal amount of 5.625% Senior Notes due 2025 (the “2017 Senior Notes”), pay fees and/or expenses incurred in connection with the issuance of the 2021 Senior Notes and for general corporate purposes. The 2021 Senior Notes mature on October 1, 2029, bear interest at 4.625%, and interest is payable semi-annually on April 1 and October 1 of each year, beginning on April 1, 2022. We redeemed the 2017 Senior Notes at the redemption price (expressed as percentages of principal amount) of 101.4%, for a total of $536.7 million, which consisted of $529.1 million of principal amount and $7.6 million of redemption premium. The premium cost was charged to Loss on Extinguishment of Debt during the year ended December 31, 2021. Deferred financing costs related to the issuance of the 2021 Senior Notes of $7.2 million are recorded as a reduction of the principal amount of the borrowings and are amortized using the effective interest method as a component of interest expense over the life of the 2021 Senior Notes. In connection with the redemption of the 2017 Senior Notes, the balance of the unamortized deferred financing costs related to the 2017 Senior Notes of $8.0 million was charged to Loss on Extinguishment of Debt during the year ended December 31, 2022. Unamortized deferred financing costs were $6.1 million and $7.0 million as of December 31, 2022 and December 31, 2021, respectively. We redeem the 2021 Senior Notes, in whole or in part, at any time prior to October 1, 2024, at a price equal to 100% of the principal amount of the 2021 Senior Notes redeemed, plus additional amounts, if any, a make-whole premium and accrued and unpaid interest to, but excluding, the redemption date. We may redeem the 2021 Senior Notes, in whole or in part, on or after October 1, 2024, at the redemption prices (expressed as percentages of principal amount) set forth in the indenture governing the 2021 Senior Notes, together with accrued and unpaid interest and additional amounts, if any, to, but excluding, the applicable redemption date:
Additionally, at any time on or before October 1, 2024, we may elect to redeem up to 40% of the aggregate principal amount of the 2021 Senior Notes at a redemption price equal to 104.625% of the principal amount thereof, plus accrued and unpaid interest and additional amounts, if any, to, but excluding, the redemption date, with the net cash proceeds received from one or more equity offerings of the Company. The indenture governing the 2021 Senior Notes contains covenants that limit our ability to, among other things: (i) incur additional indebtedness, issue preferred equity and guarantee indebtedness; (ii) pay dividends or make other distributions in respect of, or repurchase or redeem, capital stock; (iii) prepay, redeem or repurchase certain material debt; (iv) make loans and investments; (v) sell or otherwise dispose of assets; (vi) sell stock of our subsidiaries; (vii) incur liens; (viii) enter into transactions with affiliates; (ix) enter into agreements restricting our subsidiaries’ ability to pay dividends and (x) consolidate, merge or sell all or substantially all of our assets. The 2021 Senior Notes are fully and unconditionally guaranteed, jointly and severally, on a senior unsecured basis by a subsidiary of the Company, BCPE Diamond Netherlands TopCo B.V., a private limited liability company (besloten vennootschap met beperkte aansprakelijkheid) incorporated under the laws of the Netherlands, and our existing and subsequently acquired or organized direct and indirect material wholly owned restricted subsidiaries that guarantee indebtedness under the New Senior Secured Credit Facilities (other than those organized in Italy). Short-term Borrowings Our short-term borrowings comprise primarily of bank overdrafts arising within our notional cash pooling system. Sale-Leaseback Transactions During March 2020, we completed sale-leaseback transactions under which it sold two properties to an unrelated third-party for a total of $22.9 million. Concurrent with this sale, we entered into agreements to lease the properties back from the purchaser over initial lease terms of 15 years. The leases for the two properties include an initial term of 15 years and four, five-year renewal options and provides for us to evaluate each property individually upon certain events during the life of the lease, including individual renewal options. We classified the leases as a financing obligation to be paid over 15 years. The current and non-current portions are included in current portion of long-term debt and long-term debt, less current portion, respectively, on the Consolidated Balance Sheets. Future repayments Below is a schedule of required future principal repayments of our Senior Secured Credit Facilities and 2021 Senior Notes outstanding on December 31, 2022:
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DERIVATIVES AND HEDGING ACTIVITIES |
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| Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| DERIVATIVES AND HEDGING ACTIVITIES | DERIVATIVES AND HEDGING ACTIVITIESAs a large global organization, we face exposure to market risks, such as fluctuations in foreign currency exchange rates and interest rates. To manage the volatility relating to these exposures, we enter into various derivative instruments from time to time under our risk management policies. We designate derivative instruments as hedges on a transactional basis to support hedge accounting. The changes in fair value of these hedging instruments offset in part or in whole corresponding changes in the fair value or cash flows of the underlying exposures being hedged. We assess the initial and ongoing effectiveness of our hedging relationships in accordance with our policy. We do not purchase, hold or sell derivative financial instruments for trading purposes. Our practice is to terminate derivative transactions if the underlying asset or liability matures or is sold or terminated, or if we determine the underlying forecasted transaction is no longer probable of occurring. Derivative Positions Summary The following table details the fair value of our derivative instruments, which are included as a part of Prepaid expenses and other current assets, Other non-current assets, Other current liabilities and Other non-current liabilities in our Consolidated Balance Sheets.
Our derivatives consist of the following:
Interest Rate Cap and Cross Currency Contracts Designated as Cash Flow or Fair Value Hedges In connection with entering into the New Senior Secured Credit Facilities and issuing the 2021 Senior Notes, we also entered into a U.S. dollar floating to Euro fixed interest rate swap, a U.S. dollar interest rate cap, and a U.S. dollar to Euro currency swap, to manage the impacts of fluctuations in interest rates and currency exchange rates on a portion of our floating-rate and U.S. dollar denominated debt. In 2022 we terminated several existing U.S. dollar floating to Euro fixed interest rate swaps and U.S. dollar to Euro currency swaps, receiving net proceeds of $186.1 million, and simultaneously entered into new at-market swaps with the same notional amounts and maturity dates as the terminated swaps. We elected to classify the cash flows from the settlements within financing activities on the Consolidated Statement of Cash Flows to be consistent with the cash flows presentation of the hedged debt instruments. As a result of these contract terminations, the net unrealized after-tax derivative gains included in accumulated other comprehensive income ("AOCI") at the dates of termination are being amortized against Interest expense, and the net unrealized after-tax derivative losses included in AOCI at the dates of termination are being amortized as Other (income) expense, net, on the Consolidated Statement of Operations over the remaining lives of the derivative contracts. As of December 31, 2022, the unamortized gains in AOCI are $27.6 million and the unamortized losses in AOCI are $7.9 million. We record gains and losses on these derivative instruments that qualify as cash flow hedges in other comprehensive income (loss), net of tax to the extent the hedges are effective and until we recognize the underlying transactions in net income (loss), at which time we recognize these gains and losses in Other expense (income), net on our Consolidated Statements of Operations. Net unrealized after-tax gain (loss) related to these contracts that were included in other comprehensive income was $71.0 million and $(2.9) million for the years ended December 31, 2022 and December 31, 2021, respectively. The unrealized amounts in other comprehensive income will fluctuate based on changes in the fair value of open contracts during each reporting period. We estimate that $35.2 million of net unrealized after-tax derivative gain included in AOCI will be reclassified into Other (income) expense, net, on the Consolidated Statement of Operations within the next twelve months. Interest Rate Swap Contracts Not Designated as Hedges In connection with entering into the New Senior Secured Credit Facilities and issuing the 2021 Senior Notes, we entered into a fixed to floating interest rate swap to offset the existing floating to fixed interest rate swap, and the existing swap was also then de-designated as a cash flow hedge. As a result of the contract de-designation, the net unrealized after-tax derivative loss included in AOCI at the date of de-designation is being amortized as Interest expense on the Consolidated Statement of Operations over the remaining life of the derivative contract, and the unamortized loss in AOCI is $5.1 million as of December 31, 2022. Although the contracts are effective economic hedges, they are not designated as accounting hedges. Therefore, changes in the value of these derivatives are recognized immediately in earnings. Foreign Currency Forward Contracts The primary purpose of our currency hedging activities is to manage the potential changes in value associated with the amounts receivable or payable on equipment and raw material purchases that are denominated in foreign currencies in order to minimize the impact of changes in foreign currencies. For those contracts that are designated as cash flow hedges, we record gains and losses on other comprehensive income (loss), net of tax to the extent the hedges are effective and until we recognize the underlying transactions in net income (loss), at which time we recognize these gains and losses in Other expense (income), net on our Consolidated Statements of Operations. For those contracts that are not designated as cash flow hedges, the changes in the value of these derivatives are recognized immediately in earnings. These contracts generally have original maturities of less than 12 months. Effect of all Derivative Instruments on Income The following table details the (income) expense related to our derivative instruments, which are included in Other (income) expense on our Consolidated Statements of Operations. These amounts reduce the interest rate impact and transactional impact of foreign exchange, which is primarily the revaluation of our U.S. dollar denominated debt held at a Euro functional entity, and the net impact is the Unrealized foreign exchange (gain) loss in Note 6 - Financial Statement Details.
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FAIR VALUE MEASUREMENTS AND OTHER FINANCIAL INSTRUMENTS |
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| Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| FAIR VALUE MEASUREMENTS AND OTHER FINANCIAL INSTRUMENTS | FAIR VALUE MEASUREMENTS AND OTHER FINANCIAL INSTRUMENTS Fair Value Measurements In determining fair value of financial instruments, we utilize valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible and consider counterparty credit risk in our assessment of fair value. We determine the fair value of our financial instruments based on assumptions that market participants would use in pricing an asset or liability in the principal or most advantageous market. When considering market participant assumptions in fair value measurements, the following fair value hierarchy distinguishes between observable and unobservable inputs, which are categorized in one of the following levels: •Level 1 Inputs: Unadjusted quoted prices in active markets for identical assets or liabilities accessible to the reporting entity at the measurement date. •Level 2 Inputs: Other than quoted prices included in Level 1 Inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the asset or liability. •Level 3 Inputs: Unobservable inputs for the asset or liability used to measure fair value to the extent that observable inputs are not available, thereby allowing for situations in which there is little, if any, market activity for the asset or liability at the measurement date. The following table details the fair value hierarchy of our financial assets and liabilities, which are measured at fair value on a recurring basis:
Cash Equivalents Our cash equivalents consist of bank time deposits (Level 1) and money market funds (Level 1). Since these are short-term highly liquid investments with original maturities of three months or less at the date of purchase, they present negligible risk of changes in fair value due to changes in interest rates. Derivative Financial Instruments Our derivatives are recorded at fair value on our Consolidated Balance Sheets, which incorporates observable market inputs. These market inputs include foreign currency spot and forward rates and LIBOR. These inputs are obtained from pricing data quoted by various banks, third party sources and foreign currency dealers involving identical or comparable instruments (Level 2). Counterparties to these derivative instruments are investment grade rated by Standard & Poor’s and Moody’s. Credit ratings on some of our counterparties may change during the term of our financial instruments. We closely monitor our counterparties’ credit ratings and, if necessary, will make any appropriate changes to our financial instruments. The fair value generally reflects the estimated amounts that we would receive or pay to terminate the contracts at the reporting date. Contingent Consideration We recorded contingent consideration related to earn-out provisions from our previous acquisitions. The fair values of such contingent consideration were derived using a discounted cash flow model based on the projection of performance metrics, which are generally based on upon achieving certain revenue targets as outlined in the various provisions within the purchase agreements and the probability of achieving the targets. We remeasure amounts related to contingent consideration liabilities related to acquisitions that were carried at fair value on a recurring basis in the Consolidated Financial Statements for which a fair value measurement was required. We recorded $0.2 million and $4.6 million in contingent consideration liability as of December 31, 2022 and December 31, 2021, respectively, for various acquisitions occurring prior to 2017. Other Financial Instruments The following financial instruments are recorded at fair value or at amounts that approximate fair value: (1) trade receivables, net, (2) certain other current assets, (3) accounts payable and (4) other current liabilities. The carrying amounts reported on our Consolidated Balance Sheets for the above financial instruments closely approximate their fair value due to the short-term nature of these assets and liabilities. Other liabilities that are recorded at carrying value on our Consolidated Balance Sheets include our debt. We utilize a market approach to calculate the fair value of our 2021 Senior Notes. Due to the limited investor base and the face value of some of our 2021 Senior Notes, they may not be actively traded on the date we calculate their fair value. Therefore, we may utilize prices and other relevant information generated by market transactions involving similar securities, reflecting U.S. Treasury yields to calculate the yield to maturity and the price on some of our 2021 Senior Notes. These inputs are provided by an independent third party and are considered to be Level 2 inputs. We derive our fair value estimates of our various other debt instruments by evaluating the nature and terms of each instrument, considering prevailing economic and market conditions, and examining the cost of similar debt offered at the balance sheet date. We also incorporated our credit default swap rates and currency specific swap rates in the valuation of each debt instrument, as applicable. These inputs are provided by an independent third party and are considered to be Level 2 inputs. These estimates are subjective and involve uncertainties and matters of significant judgment, and therefore we cannot determine them with precision. Changes in assumptions could significantly affect our estimates. The table below shows the carrying amounts and estimated fair values of our debt, all of which are based on Level 2 inputs:
Certain assets are measured at fair value on a non-recurring basis. These assets are not measured at fair value on an ongoing basis, but are subject to fair value adjustments only in certain circumstances, such as acquisitions. Credit and Market Risk Financial instruments, including derivatives, expose us to counterparty credit risk for nonperformance and to market risk related to changes in interest or currency exchange rates. We manage our exposure to counterparty credit risk through specific minimum credit standards, establishing credit limits, diversification of counterparties, and procedures to monitor concentrations of credit risk. It is our policy to have counterparties to these contracts that are rated at least BBB- or higher by Standard & Poor’s and Baa3 or higher by Moody’s. Nevertheless, there is a risk that our exposure to losses arising out of derivative contracts could be material if the counterparties to these agreements fail to perform their obligations. We will replace counterparties if a credit downgrade is deemed to increase our risk to unacceptable levels. We regularly monitor the impact of market risk on the fair value and cash flows of our derivative and other financial instruments considering reasonably possible changes in interest and currency exchange rates and restrict the use of derivative financial instruments to hedging activities. We do not use derivative financial instruments for trading or other speculative purposes and do not use leveraged derivative financial instruments. We continually monitor the creditworthiness of our diverse base of customers to which we grant credit terms in the normal course of business and generally do not require collateral. We consider the concentrations of credit risk associated with our trade accounts receivable to be commercially reasonable and believe that such concentrations do not leave us vulnerable to significant risks of near-term severe adverse impacts. The terms and conditions of our credit sales are designed to mitigate concentrations of credit risk with any single customer. Our sales are not materially dependent on a single customer or a small group of customers.
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RETIREMENT PLANS |
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| Retirement Benefits [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| RETIREMENT PLANS | RETIREMENT PLANS Retirement Savings Plans We maintain qualified contributory retirement savings plans in which most of our U.S. employees are eligible to participate. The qualified contributory retirement savings plans generally provide for contributions in cash based upon the amount contributed to the plans by the participants. Retirement savings plans costs are charged to operations and totaled $1.3 million, $1.5 million and $1.5 million for the years ended December 31, 2022, December 31, 2021, and December 31, 2020, respectively. We have various international defined contribution benefit plans which cover certain employees. We have expanded use of these plans in select countries where they have been used to supplement or replace defined benefit plans. Other Post-Employment Benefit Plans We maintain a retiree health care reimbursement plan for certain North American employees. The plan is funded on a pay-as-you-go basis. In accordance with ASC Topic 715, the amount of the accumulated benefit obligation on the initiation date is accounted for as prior service cost and is deferred as a component of accumulated other comprehensive income and amortized over the period benefited. The liability for these other long-term post-employment obligations was $1.7 million and $2.1 million as of December 31, 2022 and December 31, 2021, respectively, and is included in Other non-current liabilities on the Consolidated Balance Sheets. Defined Benefit Pension Plans In connection with the Diversey Acquisition, we assumed certain defined benefit plans related to non-U.S. subsidiaries and retained certain plan assets associated with the assumed obligations. All defined pension plan obligations for current and former employees in the United States, Canada and the United Kingdom were retained by Sealed Air. We recognize the funded status of each defined pension benefit plan as the difference between the fair value of plan assets and the projected benefit obligation of the employee benefit plans in the Consolidated Balance Sheets, with a corresponding adjustment to accumulated other comprehensive loss, net of taxes. Each over-funded plan is recognized as an asset and each underfunded plan is recognized as a liability on the Consolidated Balance Sheets. Subsequent changes in the funded status are reflected in unrecognized pension items, a component of accumulated other comprehensive loss on the Consolidated Balance Sheets. The amount of unamortized pension items is recorded net of tax. The measurement date used to determine the projected benefit obligation and the fair value of plan assets is December 31. We have amortized actuarial gains or losses over the average future working lifetime (or remaining lifetime of inactive participants if there are no active participants). We have used the corridor method, where the corridor is the greater of ten percent of the projected benefit obligation or fair value of assets at year end. If actuarial gains or losses do not exceed the corridor, then there is no amortization of gain or loss. Obligations and Funded Status The following table sets forth the changes to the projected benefit obligations (“PBO”) and plan assets for our defined benefit pension plans. The measurement date used to determine benefit obligations and plan assets is December 31 for all material plans.
Components of Net Periodic Benefit Cost The following table sets forth the components of net period benefit cost:
The PBO is the actuarial present value of benefits attributable to employee service rendered to date that takes into account estimated future pay increases. The accumulated benefit obligation (“ABO”) is the actuarial present value of benefits attributable to employee service to date that does not take future employee increases into account. The following table reflects the ABO for all defined benefit pension plans. Further, the table reflects the aggregate PBO, ABO and fair value of plan assets for pension plans with PBO in excess of plan assets and for pension plans with ABO in excess of plan assets.
The accumulated net actuarial gains (losses) for pensions and other post-employment benefits primarily relate to differences between the actual net periodic expense and the expected net periodic expense from differences in significant assumptions, primarily including return on plan assets and discount rates used in these estimates. Estimated Future Benefit Payments The following table reflects the total benefit payments expected to be made for defined benefits:
Actuarial Assumptions We determine our material assumptions for all plans on an annual basis as of December 31. Weighted average assumptions used to determine benefit obligations were as follows:
Weighted average assumptions used to determine net period benefit cost were as follows:
The discount rates used reflect the expected future cash flow based on plan provisions, participant data as of the latest actuarial valuation and the currencies in which the expected future cash flows will occur. For the majority of defined benefit pension obligations, we utilize prevailing long-term high quality corporate bond indices applicable to the respective country at the measurement date. In countries where established corporate bond markets do not exist, we utilize other index movement and duration analysis to determine discount rates. The long-term rate of return on plan assets assumptions reflect economic assumptions applicable to each country and assumptions related to the preliminary assessments regarding the type of investments to be held by the respective plans. Plan Assets We review the expected long-term rate of return on plan assets annually, taking into consideration our asset allocation, historical returns, and the current economic environment. The expected return on plan assets is calculated based on the fair value of plan assets at year end. To determine the expected return on plan assets, expected cash flows have been taken into account. Our long-term objectives for plan investments are to ensure that (a) there is an adequate level of assets to support benefit obligations to participants over the life of the plans, (b) there is sufficient liquidity in plan assets to cover current benefit obligations, and (c) there is a high level of investment return consistent with a prudent level of investment risk. The investment strategy is focused on a long-term total return in excess of a pure fixed income strategy with short-term volatility less than that of a pure equity strategy. To accomplish this objective, we invest assets primarily in a diversified mix of equity and fixed income investments. Our targeted asset by category percentages are as follows:
The fair values of our pension plan assets, by asset category, and fair value levels are as follows:
The following table shows the activity of our plan assets, which are measured at fair value using Level 3 inputs:
Level 3 pension assets are remeasured at least annually. Real estate properties, which are primarily located in Switzerland, are valued under the income approach using the discounted cash flow method, by which the market value of the property is determined as the total of all projected future earnings discounted to the valuation date. Insurance contracts are valued under the income approach using the discounted cash flow method. The discount rate and various assumptions used for the insurance contracts are consistent with the assumptions used by the actuary to measure the pension benefit obligation.
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INCOME TAXES |
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| Income Tax Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| INCOME TAXES | INCOME TAXES U.S. and Non-U.S. components of Earnings (Loss) Before Income Tax Provision (Benefit):
Income Tax Provision (Benefit):
Reconciliation to Statutory Provision A reconciliation of income taxes computed at the UK statutory income tax rate of 19.0% for 2022 and 2021, and Luxembourg's statutory income tax rate of 24.9% for 2020, and our provision for income taxes is as follows:
For 2022, the difference in the statutory income tax benefit of $(35.2) million and the recorded income tax benefit of $(16.2) million was primarily attributable to a net $35.9 million increase in the valuation allowance as a result of changes in the assessment of the realizability of deferred tax assets, offset by a net favorable change of $(25.1) million due to changes to unrecognized tax benefits. For 2021, the difference in the statutory income tax benefit of $(28.4) million and the recorded income tax provision of $25.3 million was primarily attributable to $15.6 million of income tax expense related to non-deductible share-based compensation, and a net $23.8 million increase in the valuation allowance as a result of changes in the assessment of the realizability of deferred tax assets. For 2020, the difference in the statutory income tax benefit of $(7.3) million and the recorded income tax provision of $9.2 million was primarily attributable to $16.9 million of income tax expense related to non-deductible share- based compensation and $14.5 million of income tax expense driven by changes to tax laws impacting our deferred tax liabilities, offset by a net favorable change of $10.3 million from audit settlements and changes to unrecognized tax benefits. Deferred Tax Balances
We have investments in various foreign subsidiaries. The unremitted earnings for investments in foreign subsidiaries are not considered to be indefinitely reinvested, and we have recognized a deferred tax liability related to those earnings. To the extent that there are outside basis differences beyond the unremitted earnings, we have not recognized a deferred tax liability as we are considered to be indefinitely reinvested in our foreign subsidiaries. Determination of the amount of unrecognized deferred taxes that would apply in recovering the outside basis differences in our foreign subsidiaries is impracticable due to the complexity of the calculations and the assumptions about the circumstances existing if and when remittance occurs. We have a U.S. federal net operating loss ("NOL") of $159.7 million (tax effected $33.5 million) which can be carried forward indefinitely. We also have U.S. state NOLs in the amount of $364.8 million (tax effected $22.6 million) which expire over various tax years, of which $16.1 million (tax effected) is not expected to be realized as of December 31, 2022 and as such, a valuation allowance has been recorded. We have non-U.S. NOLs totaling $338.3 million (tax effected $84.7 million) which expire during various tax years, of which $8.8 million (tax effected) is not expected to be realized as of December 31, 2022 and as such, a valuation allowance has been recorded. We have $10.6 million of U.S. foreign tax credits, which expire in 2030, of which $7.9 million is not expected to be realized as of December 31, 2022 and as such, a valuation allowance has been recorded. We have $1.1 million of U.S. state research and development credits. We do not expect to use any of these state credits and as such, a valuation allowance has been recorded. Unrecognized Tax Benefits The following table summarizes the activity related to our gross unrecognized tax benefits:
The total amount of gross unrecognized tax benefits was $39.0 million, $63.7 million and $60.1 million as of December 31, 2022, 2021 and 2020 respectively, of which, $25.2 million, $46.3 million and $42.9 million, if recognized, would affect our effective tax rate, respectively. We classified interest expense and penalties related to liabilities for unrecognized tax benefits in the consolidated financial statements as income tax expense. As of December 31, 2022 and 2021, accrued interest and penalties related to unrecognized tax benefits totaled $4.6 million and $6.6 million, respectively. Our U.S. federal income tax return is subject to examination for a period of three years after its filing date. The earliest year open is the tax year 2019. Income tax returns in non-U.S. jurisdictions have statutes of limitations generally ranging from three to five years after their filing date. We are currently under examination in the Netherlands for 2017 and 2018. We have various other non-U.S. tax returns in the process of examination but have largely concluded all other income tax matters for the years prior to 2012. We believe that an adequate provision has been made for any adjustments that may result from the ongoing examinations. However the outcome of tax audits cannot be predicted with certainty. If any issues addressed in our tax audits are resolved in a manner not consistent with management’s expectations, we could be required to adjust our provision for income taxes in the period such resolutions occurs. Although the timing of resolution, settlement, and closure of audits is not certain, it is reasonably possible that our unrecognized tax benefits could be reduced by up to $2.6 million in the next twelve months. Tax Receivable Agreement As part of the Reorganization Transactions, we entered into a tax receivable agreement (the “TRA”) with the pre-IPO owners of Constellation and certain other members of management (the “TRA Recipients”). The TRA requires us to make payments to the TRA Recipients as part of the consideration for their shares in Constellation or as part consideration for the note receivable held by them, as applicable, for 85% of the tax benefits realized by us when utilizing certain U.S. and Dutch income tax attributes generated, or owned by, or attributable to, us on or prior to the date of the IPO, and any tax deductions available to us that relate to the transaction expenses incurred by us as a result of the consummation of the IPO. We expect to utilize a significant portion of these income tax attributes based on current projections of taxable income, and therefore, expects to realize tax benefits. The annual tax benefits are computed by calculating the income taxes due, including such tax benefits, and the income taxes due without such tax benefits. Under the TRA, generally, we will retain the benefit of the remaining 15% of the applicable tax savings. Our liability under the TRA on an undiscounted basis was $204.5 million and $238.1 million as of December 31, 2022 and December 31, 2021, respectively, of which $1.6 million and zero is presented within Other Current Liabilities, and $202.9 million and $238.1 is presented within Other non-current liabilities on the Consolidated Balance Sheet as of December 31, 2022 and December 31, 2021, respectively. The timing and amount of aggregate payments due under the TRA may vary based on a number of factors, including the amount and timing of the taxable income we and our subsidiaries generate each year, the tax rate then applicable and the use of net operating losses. The payment obligations under the TRA are our obligations and are not obligations of Constellation. Payments are generally due within a specified period of time following the filing of our annual tax return and interest on such payments will accrue from the original due date (without extensions) of the income tax return until the date paid. Payments not made within the required period after the filing of the income tax return generally accrue interest at a rate of LIBOR plus 3.00% (subject to a 50 bps LIBOR floor and subject to change if LIBOR is no longer a widely recognized benchmark rate). The TRA will remain in effect until all such tax benefits have been utilized or expired, unless we exercise our right to terminate the TRA. The TRA will also terminate if we breach our obligations under the TRA or upon certain mergers, asset sales, certain forms of business combinations, or other changes of control. If we exercise our right to terminate the TRA, or if the TRA is terminated early in accordance with its terms, our payment obligations would be accelerated based upon certain assumptions, including the assumption that we would have sufficient future taxable income to utilize such tax benefits.
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COMMITMENTS AND CONTINGENCIES |
12 Months Ended |
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Dec. 31, 2022 | |
| Commitments and Contingencies Disclosure [Abstract] | |
| COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES At times, we are subject to governmental investigations and various legal actions and claims from governmental agencies and other parties. The outcomes of these matters are not within our complete control and may not be known for prolonged periods of time. We record a liability in the Consolidated Financial Statements for loss contingencies when a loss is known or considered probable and the amount can be reasonably estimated. If the reasonable estimate of a known or probable loss is a range, and no amount within the range is a better estimate than any other, the minimum amount of the range is accrued. When determining the estimated loss or range of loss, significant judgment is required to estimate the amount and timing of a loss to be recorded. Estimates of probable losses resulting from these matters are inherently difficult to predict. Management believes that the ultimate disposition of these matters should not have a material adverse effect on our consolidated financial position or results of operations or cash flows. Environmental Matters We are subject to loss contingencies resulting from environmental laws and regulations, and we accrue for anticipated costs associated with investigatory and remediation efforts when an assessment has indicated that a loss is probable and can be reasonably estimated. These accruals are not reduced by potential insurance recoveries, if any. We do not believe that it is reasonably possible that our liability in excess of the amounts that we have accrued for environmental matters will be material to our consolidated financial condition or results of operations. Environmental liabilities are reassessed whenever circumstances become better defined or remediation efforts and their costs can be better estimated. We evaluate these liabilities periodically based on available information, including the progress of remedial investigations at each site, the current status of discussions with regulatory authorities regarding the methods and extent of remediation and the apportionment of costs among potentially responsible parties. As some of these issues are decided (the outcomes of which are subject to uncertainties) or new sites are assessed and costs can be reasonably estimated, we adjust the recorded accruals, as necessary. We believe that these exposures are not material to our consolidated financial condition or results of operations. We believe that we have adequately reserved for all probable and estimable environmental exposures. Guarantees and Indemnification Obligations We are a party to many contracts containing guarantees and indemnification obligations. These contracts primarily consist of: •Product and service warranties with respect to certain products sold to customers in the ordinary course of business. These warranties typically provide that products will conform to specifications. We generally do not establish a liability for product warranty based on a percentage of sales or other formulas. We accrue a warranty liability on a transaction-specific basis depending on the individual facts and circumstances related to each sale. Both the liability and annual expense related to product warranties are immaterial to our consolidated financial position and results of operations; and •Intellectual property warranties by us to third parties in which we have agreed to indemnify the licensee such third parties against infringement claims.
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RELATED PARTY TRANSACTIONS |
12 Months Ended |
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Dec. 31, 2022 | |
| Related Party Transactions [Abstract] | |
| RELATED PARTY TRANSACTIONS | RELATED PARTY TRANSACTIONS Bain Capital On September 6, 2017, in conjunction with the Diversey Acquisition, we entered into a management agreement with Bain Capital, our previous sponsor. Pursuant to the management agreement, we paid Bain Capital a fee for advisory, consulting and other services (the "Management Fee"), which was $7.5 million annually plus Bain Capital’s reasonable out-of-pocket expenses. Upon closing of the IPO, the management agreement terminated pursuant to its terms, and we paid Bain Capital a lump sum amount of $17.5 million. During the years ended December 31, 2021 and 2020, we recorded $19.4 million and $7.5 million of Management Fee and termination fee expenses, respectively. In addition to the Management Fee and prior to the termination of the management agreement, we paid consulting fees to Bain Capital for services related to future transactions or in consideration of any additional services. For the years ended December 31, 2022, 2021 and 2020, we paid Bain Capital $4.1 million, $2.3 million and $9.8 million, respectively, of consulting fees. There were no fees due to Bain at December 31, 2022 and December 31, 2021. We may conduct business with other Bain Capital affiliates from time to time in the normal course of business. Although we may have common owners with these affiliates depending upon the Bain Capital fund ownership structure, we believe the terms were comparable to terms available or amounts that would be paid or received, as applicable, in an arm’s-length transaction with a party unrelated to us.
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SHARE-BASED COMPENSATION |
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| Share-Based Payment Arrangement [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| SHARE-BASED COMPENSATION | SHARE-BASED COMPENSATION On March 24, 2021, our Board adopted the 2021 Omnibus Incentive Plan ("2021 Plan"), pursuant to which employees, consultants and directors of our Company and our affiliates performing services for us, including our executive officers, are eligible to receive awards. The 2021 Plan provides for the grant of share options, share appreciation rights, restricted shares, restricted share units, bonus shares, dividend equivalents, other share-based awards, substitute awards, annual incentive awards and performance awards intended to align the interests of participants with those of our shareholders. We have reserved 15,000,000 Ordinary Shares (inclusive of issued and outstanding awards) for issuance under the 2021 Plan. Compensation Expense Share-based compensation expense related to equity and liability awards is included in the following line items in the Consolidated Statements of Operations:
Share-based compensation expense by type of award is as follows:
(1) During 2018, Constellation S.à r.l, a subsidiary of the Company, adopted a management equity incentive plan ("MEIP"), consisting of Class B through Class F shares ("MEIP Shares") granted to certain domestic and foreign employees. Prior to the IPO, the value of the MEIP Shares was classified as a liability, and was remeasured at each reporting period. Upon closing of the IPO and following the Reorganization Transactions, the MEIP Shares were converted into (i) vested ordinary shares which correspond to the value of MEIP Shares that were vested as of the consummation of the IPO and (ii) restricted ordinary shares which correspond to the value of MEIP Shares that were unvested as of the consummation of the IPO. The restricted ordinary shares will vest on the same terms and conditions as applied to the MEIP Shares to which they relate, and are not subject to performance conditions. The conversion of MEIP shares and exchange for vested ordinary shares resulted in $68.1 million being reclassified from Non-current liabilities to Additional paid-in capital during the year ended December 31, 2021. Future vesting of restricted ordinary shares will also be credited to Additional paid-in capital. The unrecognized compensation expense as of December 31, 2022 related to nonvested equity awards and the weighted-average period they are expected to be recognized:
Awards Classified as Equity Restricted Shares A summary of changes in outstanding nonvested Restricted Shares is as follows:
Restricted Share Units Restricted Share Units ("RSUs") are accounted for using the fair value method, which requires measurement and recognition of compensation expense for awards based upon the grant-date fair value. RSUs are generally subject to service-based vesting or cliff vesting. A summary of changes in outstanding nonvested RSUs is as follows:
Performance Share Units A participant is eligible to become vested in a number of Performance Share Units ("PSUs") equal to a percentage, higher or lower, of the target number of PSUs granted based on the level of our achievement of the performance condition. During 2022, we granted PSUs subject to the level of achievement of adjusted EBITDA growth and a total shareholder return multiplier for the cumulative performance period of three years and the participant's continued employment with the Company. We are accounting for the grants as performance-based awards, with a market condition, valued utilizing the Monte Carlo Simulation pricing model, which calculates multiple potential outcomes for an award and establishes fair value based on the most likely outcome. The grant-date fair value of the PSUs is based on the fair value of our common stock. A summary of changes in outstanding nonvested PSUs is as follows:
Share Options Share Options are accounted for using the fair value method, which requires measurement and recognition of compensation expense for awards based upon the grant-date fair value. Share Options are generally subject to service-based vesting and remain exercisable for 10 years from the date of grant. The fair value of the Share Options granted was estimated using the Black-Scholes option pricing model. The expected volatility is based on the historic volatility of the Company's stock over the expected term of the stock options. The expected life represents the period of time that options granted are expected to be outstanding. The risk-free rate is based on the United States Treasury security with terms equal to the expected life of the option as of the grant date. Compensation expense for Share Options is recognized on a straight-line basis over the vesting period during which employees perform related services. The table below presents the weighted average assumptions and related valuations for Share Options:
A Summary of Share Option activity is as follows:
Awards Classified as Liabilities Long-Term Incentive Plan During 2018, certain employees were granted awards under a cash long-term incentive plan ("LTIP"). No vesting or payout occurred for the LTIP awards until the occurrence of an Exit Event, as defined in the cash LTIP agreement. The closing of the IPO was an Exit Event. Upon an Exit Event requiring achievement of a specified performance target, the LTIP payout amount would have been the sum of a Time-Based Payout and Performance-Based Payout, both as defined in the cash LTIP agreement. The value of the LTIP is classified as a liability. Prior to the IPO, we determined it was not probable that the performance conditions would be met, therefore, no resulting compensation expense was recorded for any period prior to the IPO. Cash-Settled Restricted Share Units Upon closing of the IPO, certain employees were granted cash-settled restricted stock unit awards based on the share price on the date of the IPO. These awards cliff-vest after three years from the date of grant and will be settled in cash based on our share price on the vesting date. The value of the cash-settled restricted stock units is classified as a liability.
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RESTRUCTURING AND EXIT ACTIVITIES |
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| Restructuring and Related Activities [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| RESTRUCTURING AND EXIT ACTIVITIES | RESTRUCTURING AND EXIT ACTIVITIES In 2021, we began a strategic initiative to consolidate certain manufacturing and warehousing facilities within Europe and North America, which also includes opening a new manufacturing and warehousing facility in North America. We anticipate that these actions will both expand our production capacity and allow us to better manage our inventory, supply chain and workforce. We expect to incur approximately $138.0 million of total costs related to this project, and charged $120.0 million over the life of the project and $111.9 million during the year ended December 31, 2022. Costs incurred in 2022 of $27.1 million are reflected in restructuring and exit costs and $84.8 million of non-recurring other costs related to facilities consolidations are reflected in Cost of sales. Our remaining costs for this project are approximately $18.5 million at December 31, 2022. Cost estimates for these projects have been impacted by an inflationary macro environment with constraints around materials, freight and labor. Extraordinary short-term measures were taken to minimize disruption to customers. These measures include lengthening warehouse leases, temporarily setting up additional warehouses, paying higher freight costs during warehouse transitions and paying carriers to guarantee delivery. In the fourth quarter of 2022, we incurred restructuring costs related to a reduction in headcount to realign our personnel resources with our business needs, which was aimed at maintaining a competitive cost structure and workforce optimization. We also exited certain businesses in 2021 that leased equipment to customers under sales-type leases, as we further refine our business model and our strategy of selling solutions to customers. The following table details our restructuring and exit costs as reflected in the Consolidated Statements of Operations:
The following table provides the details for the restructuring and exit cost liabilities:
The reserve for the lease receivable contracts, net, is included in Other receivables and the liability for employee termination benefits is included in Accrued restructuring costs, respectively, on the Consolidated Balance Sheet at December 31, 2022. We anticipate paying the employee termination benefits of $28.0 million in the restructuring accrual within the next twelve months. Restructuring charges by segment were as follows:
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ACCUMULATED OTHER COMPREHENSIVE LOSS |
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| Equity [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| ACCUMULATED OTHER COMPREHENSIVE LOSS | ACCUMULATED OTHER COMPREHENSIVE LOSS The following table provides detail of comprehensive loss:
The following table provides details of amounts reclassified from accumulated other comprehensive loss:
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SEGMENTS |
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| Segment Reporting [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| SEGMENTS | SEGMENTS Our operating segments, which are consistent with our reportable segments, reflect the structure of our internal organization, the method by which our resources are allocated and the manner by which the chief operating decision maker assesses our performance. Our reportable segment structure includes two segments, Institutional and Food & Beverage. Our segments are described as follows: •Institutional - Our Institutional products and services are designed to enhance cleanliness, safety, environmental sustainability, and efficiency for our customers. We offer a broad range of products, solutions, equipment and machines including infection prevention and personal care, floor and building care chemicals, kitchen and mechanical warewash chemicals and machines, dosing and dispensing equipment, and floor care machines. We deliver these solutions to customers in the healthcare, education, food service, retail and grocery, hospitality, and building service contractors industries. •Food & Beverage - Our Food & Beverage products and services are designed to maximize the hygiene, safety, and efficiency of our customers’ production and cleaning processes while minimizing their impact on the natural resources they consume. We offer a broad range of products, solutions, equipment and machines including chemical products, engineering and equipment solutions, knowledge-based services, training through our Diversey Hygiene Academy, and water treatment. We deliver these solutions to enhance food safety, operational excellence, and sustainability for customers in the brewing, beverage, dairy, processed foods, pharmaceutical, and agriculture industries. No operating segments were aggregated to form our reportable segments. The reportable segments are the segments of the Company for which separate financial information is available and for which segment results are evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing performance. We evaluate performance of the reportable segments based on the results of each segment. The performance metric used by our chief operating decision maker to evaluate performance of our reportable segments is Adjusted EBITDA. Certain amounts within segment Adjusted EBITDA for prior periods have been reclassified to conform with the current presentation, with no impact on consolidated Adjusted EBITDA. As described in Note 1 - General and Description of Business, our net sales are comprised of commercial cleaning, sanitation and hygiene products and solutions for food safety and service, food and beverage plant operations, floor care, housekeeping and room care, laundry and hand care. Net sales for our reportable segments is as follows:
Adjusted EBITDA for our reportable segments is as follows:
The following table shows a reconciliation of Adjusted EBITDA for our reportable segments to consolidated loss before income tax provision (benefit):
(1)These costs consist primarily of professional and consulting services which are non-operational in nature, costs related to strategic initiatives, acquisition-related costs, and costs incurred in preparing to become a publicly traded company. (2)Includes costs related to restructuring programs and business exit activities. See Note 18 — Restructuring and Exit Activities in the Notes to our Consolidated Financial Statements for additional information. (3)Represents other costs related to consolidating certain manufacturing and warehousing facilities within Europe and North America, which are non-recurring and included in Cost of Sales in our Consolidated Statements of Operations. (4)Argentina and Turkey were deemed to have highly inflationary economies and the functional currencies for our Argentina and Turkey operations were changed from the Argentine peso and Turkish lira to the United States dollar and remeasurement charges/credits are recorded in our Consolidated Statements of Operations rather than as a component of Cumulative Translation Adjustment on our Consolidated Balance Sheets. (5)In connection with the Diversey Acquisition, the purchase agreement governing the transaction includes indemnification provisions with respect to tax liabilities. The offset to this adjustment is included in income tax provision. See Note 14 - Income Taxes in the Notes to our Consolidated Financial Statements for additional information. (6)In connection with various acquisitions we recorded fair value increases to our inventory. These amounts represent the amortization of this increase. (7)Represents fees paid to Bain Capital pursuant a management agreement whereby we have received general business consulting services; financial, managerial and operational advice; advisory and consulting services with respect to selection of advisors; advice in different fields; and financial and strategic planning and analysis. The management agreement was terminated in March 2021 pursuant to its terms upon the consummation of the IPO, and we recorded a termination fee of $17.5 million during 2021. (8)Represents the net impact of the expected return on plan assets, interest cost, and settlement cost components of net periodic defined benefit income related to our defined benefit pension plans. See Note 13 - Retirement Plans in the Notes to our Consolidated Financial Statements for additional information. (9)Represents the unrealized foreign currency exchange impact on our operations, primarily attributed to the valuation of the U.S. dollar-denominated debt held by our European entity. (10)Represents the fees to complete the sale of the receivables without recourse under our accounts receivable factoring and securitization agreements. See Note 6 - Financial Statement Details to our Consolidated Financial Statements for additional information. (11)Represents compensation expense associated with our share-based equity and liability awards. See Note 17 — Share-Based Compensation in the Notes to our Consolidated Financial Statements for additional information. (12)Represents the adjustment to our tax receivable agreement liability due to changes in valuation allowances that impact the realizability of the attributes of the tax receivable agreement. See Note 14 — Income Taxes in the Notes to our Consolidated Financial Statements for additional information (13)Represents the costs incurred in connection with the redemption of the 2017 Senior Notes on September 29, 2021. See Note 10 — Debt and Credit Facilities in the Notes to our Consolidated Financial Statements for additional information. (14)During 2021, we incurred a realized foreign currency exchange loss related to the refinancing of the Senior Secured Credit Facilities. See Note 10 — Debt and Credit Facilities in the Notes to our Consolidated Financial Statements for additional information. (15)Represents charges for excess inventory and estimated disposal costs related to COVID-19. (16)Represents costs associated with corporate operations that are not specifically allocated to a reportable segment. The following table shows assets allocated by reportable segments. Assets allocated by reportable segment include trade receivables, net and inventories.
Geographic Regions Net sales(1) by geographic region are as follows:
Long-lived assets and right of use assets(3) by geographic region are as follows:
(1) No non-United States country accounted for net sales in excess of 10% of consolidated net sales for the years ended December 31, 2022, 2021 or 2020. (2) Net sales to external customers within the United States were $524.3 million, $503.5 million and $610.9 million for the years ended December 31, 2022, 2021 and 2020, respectively. (3) No non-United States country accounted for long-lived assets and right of use assets in excess of 10% of consolidated long-lived assets and right of use assets as of December 31, 2022 or 2021. (4) Long-lived assets and right of use assets within the United States were $241.9 million and $123.6 million as of December 31, 2022 and 2021.
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EARNINGS (LOSS) PER SHARE |
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| EARNINGS (LOSS) PER SHARE | LOSS) PER SHARE The following table sets forth the calculation of both basic and diluted loss per share for the periods ended:
(1) For purposes of calculating earnings (loss) per share we have retrospectively presented earnings (loss) per share as if the Reorganization Transactions had occurred at the beginning of the earliest period presented. Such retrospective presentation reflects an increase of approximately 47.4 million shares due to the exchange of shares in Constellation for shares in the Company. (2) For all periods presented, potentially dilutive securities were excluded from the calculation of diluted earnings per share because their inclusion would have been anti-dilutive.
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SUBSEQUENT EVENTS |
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Dec. 31, 2022 | |
| Subsequent Events [Abstract] | |
| SUBSEQUENT EVENTS | SUBSEQUENT EVENTS Acquisition On February 21, 2023, we acquired NSS Enterprise, Inc., a manufacturer of floor cleaning machines based in the United States with annual revenues of approximately $20.0 million. This acquisition will enable the onshore assembly of floor cleaning machines in North America, significantly improving our scale, presence and support in the marketplace. Take-Private Merger Agreement On March 8, 2023, we entered into an Agreement and Plan of Merger (the “Merger Agreement”) with Olympus Water Holdings IV, L.P., a Cayman Islands exempted limited partnership (“Parent”) and Diamond Merger Limited, a Cayman Islands exempted company and wholly owned subsidiary of Parent (“Merger Sub”), pursuant to which Merger Sub will merge with and into us (the “Merger”). We will survive the Merger as a wholly owned subsidiary of Parent, our Ordinary Shares will be delisted from the Nasdaq Global Select Market and we will cease to be a reporting company. Parent and Merger Sub are affiliates of Platinum Equity Advisors, LLC ("Platinum") and affiliates of Solenis LLC, a portfolio company of Platinum. Parent will acquire all of our Ordinary Shares (except for Ordinary Shares held by BCPE Diamond Investor, LP ("BCPE"), our controlling shareholder and an affiliate of Bain Capital, LP) for $8.40 in cash per Ordinary Share. Ordinary Shares held by BCPE, other than the Rollover Shares (as defined below), will be purchased by Parent for $7.84 per Ordinary Share. On March 8, 2023, concurrently with the execution of the Merger Agreement, BCPE and Olympus Water Holdings I, L.P., a Cayman Islands exempted limited partnership (“Topco”), an affiliate of Platinum and, following the consummation of the Merger, our indirect parent, entered into the Rollover Contribution Agreement, pursuant to which BCPE will contribute certain of its Ordinary Shares (the “Rollover Shares”) to Topco (such Rollover Shares being valued at $7.84 per Ordinary Share), and Topco will accept such Rollover Shares in exchange for certain common and preferred units of Topco. The consummation of the Merger is subject to customary conditions, including receipt of the vote in favor of the authorization of the Merger Agreement by the holders of at least two-thirds of the Ordinary Shares present and voting in person or by proxy at the shareholders’ meeting, expiration of waiting periods (and any extensions thereof), if any, applicable to the consummation of the Merger under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 and certain other specified regulatory approvals and other customary closing conditions. Subject to the satisfaction (or, if applicable, waiver) of such conditions, the Merger is expected to close in the second half of 2023. Upon termination of the Merger Agreement by us or by Parent upon specified conditions, we will be required to pay Parent a termination fee of $92.0 million. Upon termination of the Merger Agreement by us under other specified conditions, Parent will be required to pay us a termination fee of $125.0 million. TRA Termination Agreement In connection with the Merger, we, Diversey Holdings I (UK) Limited, a private limited company organized in England and Wales, and BCPE Diamond Cayman Holding Limited, a Cayman Islands exempted corporation, entered into the TRA Termination Agreement, pursuant to which, among other things, the parties agreed to terminate the TRA, effective upon consummation of the Merger. From and after the effective date of the TRA Termination Agreement, no payments will be made to any person in respect of, or pursuant to, the TRA.
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SCHEDULE II |
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| SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| SCHEDULE II |
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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) |
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| Accounting Policies [Abstract] | |||||||||||||||||||||||||||||||
| Basis of Presentation | Our Consolidated Financial Statements include all of the accounts of the Company and our subsidiaries. These Consolidated Financial Statements reflect our financial position, results of operations, cash flows and changes in stockholders' equity in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). All intercompany accounts and transactions have been eliminated. All amounts are in U.S. dollar denominated millions, except per share amounts and unless otherwise noted, and are approximate due to rounding. In the opinion of management, all adjustments considered necessary for a fair presentation of the financial statements have been included. The accompanying notes are an integral part of the Consolidated Financial Statements. Certain amounts within Transaction and integration costs (formerly described as "Transition and transformation costs") in the prior years' Consolidated Statements of Operations have been reclassified into Restructuring and exit costs and Cost of sales to conform to the current year presentation, with no impact on net loss or accumulated deficit. | ||||||||||||||||||||||||||||||
| Use of Estimates | Use of Estimates The preparation of the Consolidated Financial Statements and related disclosures in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements, disclosures of contingent assets and liabilities at the date of the financial statements and reported amounts of revenues and expenses during the periods. These estimates include, among other items, purchase price accounting, assessing the collectability of receivables, the use and recoverability of inventory, the estimation of the fair value of financial instruments, useful lives and recoverability of tangible and intangible assets and impairment of goodwill, assumptions used in our defined benefit pension plans and other post- employment benefit plans, fair value measurement of assets, rebate costs, costs for incentive compensation, the valuation allowance on deferred tax assets and accruals for commitments and contingencies. Management reviews these estimates and assumptions periodically and reflects the effects of any revisions in the Consolidated Financial Statements in the period management determines any revisions to be necessary. Actual results could differ materially from these estimates.
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| Business Combinations | Business Combinations Business combinations are accounted for under the acquisition method of accounting, which requires the acquired assets, including separately identifiable intangible assets, and assumed liabilities to be recorded as of the acquisition date at their respective fair values. Any excess of the purchase price over the fair value of the assets acquired, including separately identifiable intangible assets, and liabilities assumed is recorded as goodwill. Fair value determination is subject to a significant degree of estimates. We use a measurement period following the acquisition date to gather information that existed as of the acquisition date that is needed to determine the fair value of the assets acquired and liabilities assumed. The measurement period ends once all information is obtained, but no later than one year from the acquisition date. The determination of the fair value of assets acquired and liabilities assumed involves assessments of factors such as the expected future cash flows associated with individual assets and liabilities and appropriate discount rates at the date of the acquisition. Where appropriate, external advisors are consulted to assist in the determination of fair value. For non-observable market values, fair value has been determined using acceptable valuation principles (e.g., multiple excess earnings and relief from royalty methods) which is considered to be a Level 3 fair value. Refer to Note 12 - Fair Value Measurements and Other Financial Instruments for further information. The results of operations for businesses acquired are included in the financial statements from the acquisition date.
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| Foreign Currency Translation | Foreign Currency Translation Our reporting currency is the U.S. dollar. In most cases, non-U.S. based subsidiaries use their local currency as the functional currency for their respective business operations. Assets and liabilities of these operations are translated into U.S. dollars at the end of period exchange rates; income and expenses are translated using the average exchange rates for the reporting period. Resulting cumulative translation adjustments are recorded in “Foreign Currency Translation Adjustments” in the Consolidated Statements of Comprehensive Loss. Gains and losses from transactions denominated in foreign currencies other than the functional currency of the respective entity are included in the Consolidated Statements of Operations in Other (income) expense, net.
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| Impact of Inflation and Currency Fluctuations | Impact of Inflation and Currency Fluctuations Argentina. Argentina has been designated a highly inflationary economy under U.S. GAAP effective July 1, 2018, and the U.S. dollar replaced the Argentine peso as the functional currency for our subsidiaries in Argentina. All peso-denominated monetary assets and liabilities are remeasured into U.S. dollars using the current exchange rate available to us, and any changes in the exchange rate are reflected in Foreign currency (gain) loss related to hyperinflationary subsidiaries on the Consolidated Statements of Operations. Turkey. Turkey has been designated a highly inflationary economy under U.S. GAAP effective April 1, 2022, and the U.S. dollar replaced the Turkish lira as the functional currency for our subsidiaries in Turkey. All lira-denominated monetary assets and liabilities are remeasured into U.S. dollars using the current exchange rate available to us, and any changes in the exchange rate are reflected in Foreign currency (gain) loss related to hyperinflationary subsidiaries on the Consolidated Statements of Operations.
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| Financial Instruments | Financial Instruments We may from time to time use financial instruments, such as cross-currency swaps, interest rate swaps, caps and collars, U.S. Treasury lock agreements and foreign currency exchange forward contracts and options relating to borrowing and trade activities. We may also use these financial instruments from time to time to manage exposure to fluctuations in interest rates and foreign currency exchange rates. We do not purchase, hold or sell derivative financial instruments for trading purposes. We face credit risk if the counterparties to these transactions are unable to perform their obligations. Our policy is to have counterparties to these contracts that are rated at least BBB- by Standard & Poor’s and Baa3 by Moody’s. Derivative instruments are reported at fair value and establish criteria for designation and the effectiveness of transactions entered into for hedging purposes. Before entering into any derivative transaction, we identify the specific financial risk, the appropriate hedging instrument to use to reduce this risk, and the correlation between the financial risk and the hedging instrument. We use forecasts and historical data as the basis for determining the anticipated values of the transactions to be hedged. We do not enter into derivative transactions that do not have a high correlation with the underlying financial risk trying to be reduced. We regularly review hedge positions and the correlation between the transaction risks and the hedging instruments. Derivative instruments are accounted for as hedges of the related underlying risks if we designate these derivative instruments as hedges and the derivative instruments are effective as hedges of recognized assets or liabilities, forecasted transactions, unrecognized firm commitments or forecasted intercompany transactions. We record gains and losses on derivatives qualifying as cash flow hedges in other comprehensive income (loss) to the extent that hedges are effective and until the underlying transactions are recognized as gains or losses in the Consolidated Statements of Operations. Generally, our practice is to terminate derivative transactions if the underlying asset or liability matures, is sold or terminated, or if it is determined that the underlying forecasted transactions are no longer probable of occurring. Any deferred gains or losses associated with derivative instruments are recognized in the Consolidated Statements of Operations over the period in which the income or expense on the underlying hedged transaction was recognized. See Note 11 - Derivatives and Hedging Activities for further information.
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| Revenue Recognition, Shipping and Handling Costs and Tax Collected from Customers | Revenue Recognition Revenue is measured as the amount of consideration expected to be received in exchange for transferring goods or services to customers. Revenue from products and sold equipment to end customers and distributors represents approximately 98% of our revenue and is recognized when obligations under the terms of a contract with the customer are satisfied, which generally occurs with the transfer of products or delivery of the equipment. Revenue from service and leased equipment is recognized when the services are provided, or the customer receives the benefit from the leased equipment, which is over time. Service revenue is recognized over time utilizing an input method and aligns with when the services are provided and corresponds with the transfer of control. See Note 4 - Revenue Recognition for further information. Our sales policies do not provide for general rights of return. We record estimated reductions to revenue for customer programs and incentive offerings including pricing arrangements, promotions and other volume-based incentives at the time the sale is recorded. We also record estimated reserves for product returns and credits at the time of sale and anticipated uncollectible accounts. Shipping and Handling Costs Costs incurred for the transfer and delivery of goods to customers are recorded as a component of cost of sales. Tax Collected from Customers Taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction, which are collected from customers, are excluded from net sales.
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| Research and Development | Research and Development Research and development costs, which consist primarily of employee related costs, are expensed as incurred, and were $27.9 million, $33.4 million and $32.2 million for the years ended December 31, 2022, December 31, 2021 and December 31, 2020, respectively. Costs incurred are recorded as a component of Selling, general and administrative expenses within the Consolidated Statements of Operations.
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| Share-Based Compensation | Share-Based Compensation Share-based compensation is measured at the grant date based on the fair value of the award and is generally expensed over the requisite service period. See Note 17—Share-based Compensation for further information.
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| Restructuring and Exit Costs | Restructuring and Exit Costs Our restructuring and exit activities are associated with a series of strategic initiatives aimed at maintaining a competitive cost structure, workforce optimization and further refinement of our business model and our strategy of selling solutions to customers. Restructuring and exit charges incurred in connection with these activities consist of employee termination benefits (one-time arrangements and benefits attributable to prior service), termination of contractual obligations, non-cash asset charges and other direct incremental costs. Restructuring and exit charges are presented separately on the Consolidated Statements of Operations.
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| Transaction and Integration Costs | Transaction and Integration Costs Our transaction and integration costs consist primarily of professional and consulting services which are non-operational in nature. These costs relate to strategic initiatives, acquisition-related costs, and costs incurred in preparing to become a publicly traded company.
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| Earnings (Loss) per Share | Earnings (Loss) per Share Basic earnings per share is computed by dividing net income (loss) by the weighted average number of ordinary shares outstanding during the period. Diluted earnings per share reflects the potential dilution that could occur if commitments to issue ordinary shares were exercised or equity awards vested resulting in the issuance of ordinary shares that could share in the earnings of the Company. See Note 21 - Earnings (Loss) Per Share for further information.
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| Income Taxes | Income Taxes Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of assets and liabilities and their respective tax basis. Deferred tax assets are also recognized for operating losses and tax credit carry forwards. Valuation allowances are recorded to reduce deferred tax assets when it is more likely than not that a tax benefit will not be realized. Deferred tax assets and liabilities are measured using enacted tax rates applicable in the years in which they are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax law is recognized in income in the period that includes the enactment date. We do not provide for income taxes on undistributed earnings of foreign subsidiaries that are intended to be indefinitely reinvested. Where we do not intend to indefinitely reinvest earnings of foreign subsidiaries, we provide for income taxes and foreign withholding taxes, where applicable, on undistributed earnings. We recognize the benefit of an income tax position only if it is “more likely than not” that the tax position will be sustained. The tax benefits recognized are measured based on the largest benefit that has a greater than 50% likelihood of being realized. Additionally, we recognize interest and penalties accrued related to unrecognized tax benefits as a component of provision (benefit) for taxes on income.
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| Cash and Cash Equivalents | Cash and Cash Equivalents We consider highly liquid investments with original maturities of three months or less at the date of purchase to be cash equivalents. Our policy is to invest cash in excess of short-term operating and debt service requirements in cash equivalents. Cash equivalents are stated at cost, which approximates fair value because of the short-term maturity of the instruments. Our policy is to transact with counterparties that are rated at least A- by Standard & Poor’s and A3 by Moody’s. Some of our operations are located in countries that are rated below A- or A3. In this case, we try to minimize our risk by holding cash and cash equivalents at financial institutions with which we have existing global relationships whenever possible, diversifying counterparty exposures and minimizing the amount held by each counterparty and within the country in total.
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| Trade Receivables, Net | Trade Receivables, Net In the normal course of business, we extend credit to customers that satisfy pre-defined credit criteria. Trade receivables, which are included on the Consolidated Balance Sheets, are net of allowances for doubtful accounts. We maintain trade receivable allowances using an expected credit loss model, which uses a lifetime expected credit loss allowance for all trade and lease receivables, resulting from the likelihood of failure of our customers to make required payments. To measure expected credit losses, trade and lease receivables are grouped based on shared risk characteristics and the days past due. An additional allowance may be required if the financial condition of our customers deteriorate. We charge-off trade receivables after all standard collection procedures have been applied without success.
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| Inventories | Inventories Inventories are stated at the lower of cost or net realizable value, as determined by the first-in, first-out method. Costs related to inventories include raw materials, direct labor and manufacturing overhead which are included in cost of sales on the Consolidated Balance Sheets. Costs such as idle facility expense, excessive scrap and re-handling costs are expensed as incurred. We maintain reserves to reduce the value of inventory to the lower of cost or net realizable value, including reserves for excess and obsolete inventory. These reserves are based on management’s assumptions about and analysis of relevant factors including current levels of orders and backlog, forecasted demand, and market conditions that diminish the value of existing inventories. If actual market conditions deteriorate from those anticipated by management, additional allowances for excess and obsolete inventory could be required and may be material to earnings.
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| Property and Equipment, Net | Property and Equipment, Net We state property and equipment at cost, including the fair value of any asset retirement obligations upon initial recognition of the liability, except for the fair value of acquired property and equipment that have been impaired, for which we reduce the carrying amount to the estimated fair value at the impairment date. We capitalize significant improvements and charge repairs and maintenance costs that do not extend the lives of the assets to expense as incurred. We depreciate the cost of property and equipment over their estimated useful lives using the straight-line method over the estimated useful lives of the assets:
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| Free on Loan Equipment | Free on Loan EquipmentWe have sales arrangements in which certain equipment, an inventory item, is provided to customers for “free on loan” or at “no charge” on the condition that the customer purchases a minimum amount of related consumables for use with the equipment. Providing equipment to customers in this manner is part of a sales strategy that ensures the long-term and continued use by the end customer of our consumable products (e.g. chemical cleaning solutions). This practice is common in the markets we serve. Under these sales arrangements, we assign all revenue to the delivery of consumables and the equipment is depreciated over the equipment’s useful life or the life of the customer program, whichever is shorter. For any equipment that have been impaired, we reduce the carrying amount to the estimated fair value at the impairment date. The equipment is classified as part of other non-current assets on our Consolidated Balance Sheets. | ||||||||||||||||||||||||||||||
| Goodwill and Indefinite-Lived Intangible Assets | Goodwill and Indefinite-Lived Intangible Assets Goodwill is initially assigned to reporting units as of the acquisition date. Goodwill and indefinite-lived intangible assets represent a significant portion of our total assets. Our goodwill had a carrying value of $462.8 million and $471.5 million as of December 31, 2022 and December 31, 2021, respectively. Indefinite-lived intangible assets, which consist of the Diversey trade name, had a carrying value of $818.2 million and $854.7 million as of December 31, 2022 and December 31, 2021, respectively. We review goodwill for possible impairment on a reporting unit level, which are consistent with our operating segments. Goodwill and indefinite-lived intangible assets are reviewed on an annual basis as of October 1st of each year, or more frequently if an event occurs or circumstances change that would indicate that it is more likely than not that the fair value of a reporting unit or the fair value of an indefinite-lived intangible asset has declined below its carrying value. Such events may include, but are not limited to, impairment of other assets or establishment of valuation allowances on deferred tax assets, cash flow or operating losses at a reporting unit, negative current events or long-term outlooks for our industry, and negative adjustments to future forecasts. In performing the annual goodwill impairment assessment, we have the option under U.S. GAAP to qualitatively assess whether it is more likely than not that the fair value of a reporting unit is less than its carrying value. If we conclude from the qualitative assessment that there are no indicators of impairment, we do not perform a quantitative test, which would require a valuation of the reporting unit as of October 1. U.S. GAAP provides a set of qualitative factors such as macroeconomic, industry, market and company specific factors, including cost factors, overall financial performance, market capitalization, and other events specific to the Company to consider in performing the qualitative assessment described above, which factors are not all inclusive; management considers the factors it deems relevant in making its more likely than not assessments. If we conclude from our qualitative assessment that there are indicators of impairment and that a quantitative test is required, the annual or interim quantitative goodwill impairment test involves comparing the fair value of each of our reporting units with goodwill to its carrying value, including the goodwill allocated to the reporting unit. If the fair value of the reporting unit exceeds its carrying value, there is no impairment and no further testing is required. If the fair value of the reporting unit is less than its carrying value, an impairment loss is recognized in an amount of the excess, limited to the amount of goodwill allocated to the reporting unit. Our annual assessment of the recovery of goodwill begins with management’s reassessment of its operating segments and reporting units. A reporting unit is an operating segment or one level below an operating segment, which is referred to as a component. This reassessment of reporting units is also made each time we change our operating segments. If the goodwill of a reporting unit is allocated to newly-formed reporting units, the allocation is made to each reporting unit based upon their relative fair values. Based on the results of our 2022 and 2021 annual qualitative assessments, we concluded that it was more likely than not that the fair value of each of the reporting units exceeded its carrying value. As such, it was not necessary to perform a quantitative impairment analysis, and we concluded that our reporting units were not impaired. For our 2020 annual assessment, we elected to bypass performing the qualitative screen and went directly to performing the quantitative test, which did not identify any impairment. As of December 31, 2020, the estimate of the excess of fair value over carrying value was greater than 20.0% of the fair value for both of our reporting units. The fair value of our reporting units is determined using both an income approach, which is based on discounted cash flows (“DCF”), and a market approach when we quantitatively test goodwill for impairment, either on an interim basis or annual basis as of October 1 of each year. Significant judgments inherent in using a DCF analysis include the selection of appropriate discount and long-term growth rates and estimating the amount and timing of expected future cash flows. The expected cash flows used in the DCF analyses are based on our most recent forecast and budget and, for years beyond the budget, our estimates, which are based, in part, on forecasted growth rates. The discount rates and growth rates used in the DCF analyses are intended to reflect the risks inherent in the expected future cash flows of the respective reporting units. Assumptions used in the DCF analyses, including the discount rate and the long-term growth rate, are assessed based on each reporting unit's current results and forecasted future performance, as well as macroeconomic and industry specific factors, and reflect our best estimate as of the impairment testing date. Any changes in such assumptions or estimates as a result of changes in our budgets, forecasts or negative macroeconomic trends could significantly affect the value of our reporting units which could impact whether an impairment of goodwill has occurred. The discount rate used in the quantitative test for determining the fair value of our reporting units was 9.0% in 2020. Determining fair value using a market approach considers multiples of financial metrics based on both acquisitions and trading multiples of a selected peer group of companies. From the comparable companies, a representative market multiple is determined which is applied to financial metrics to estimate the fair value of a reporting unit. To determine a peer group of companies for our respective reporting units, we considered companies relevant in terms of consumer use, monetization model, margin and growth characteristics, and brand strength operating in their respective sectors. If the carrying value of the indefinite-lived intangible asset exceeds its estimated fair value, an impairment equal to the excess is recorded. The 2022, 2021 and 2020 annual assessments of the indefinite-lived intangible asset did not identify any impairments. When performing a quantitative test, we determine the fair value of the indefinite-lived intangible asset using a relief from royalty DCF valuation analysis. Significant judgments inherent in this analysis include the selection of appropriate royalty and discount rates and estimating the amount and timing of expected future cash flows. The discount rates used in the DCF analyses are intended to reflect the risks inherent in the expected future cash flows generated by the respective intangible assets. The royalty rates used in the DCF analyses are based upon an estimate of the royalty rates that a market participant would pay to license our trade names. The future cash flows are based on our most recent forecast and budget and, for years beyond the budget, our estimates, which are based, in part, on forecasted revenue growth rates. Assumptions used in the relief from royalty DCF analyses, including the discount rate and royalty rate, are assessed annually based on the actual and projected cash flows related to the asset, as well as macroeconomic and industry specific factors. The discount rates used in our annual indefinite-lived impairment assessment was 9.5% in 2022 and 9.0% in 2020, and the royalty rate used in 2022 and 2020 was 3.0%. Based on the results of our 2021 annual qualitative assessment, we concluded that it was more likely than not that the fair value of the indefinite-lived intangible asset exceeded the carrying value. As such, it was not necessary to perform a quantitative impairment analysis, and we concluded that the indefinite-lived intangible asset was not impaired. Estimating the fair value of a reporting unit and the indefinite-lived intangible asset involves uncertainties because it requires management to develop numerous assumptions, including assumptions about the future growth and potential volatility in revenues and costs, capital expenditures, industry economic factors and future business strategy. Changes in projected revenue growth rates, projected operating income margins or estimated discount rates due to uncertain market conditions, loss of one or more key customers, changes in our strategy, or other factors could negatively affect the fair value of our reporting units or the indefinite-lived intangible asset and result in a material impairment charge in the future.
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| Long-Lived Assets | Long-Lived Assets Long-lived assets represent a significant portion of our total assets, the aggregate amount of which was $1,513.7 million and $1,602.2 million, as of December 31, 2022 and December 31, 2021, respectively. Such long-lived assets primarily consist of definite-lived intangible assets in an aggregate amount of $1,165.9 million and $1,292.6 million as of December 31, 2022 and December 31, 2021, respectively. We perform an impairment review for definite-lived intangible assets, such as customer relationships, contracts, intellectual property, and for other long-lived assets, such as property and equipment, whenever events or changes in circumstances indicate that the carrying value of an asset or asset group may not be recoverable. Such events may include, but are not limited to, a significant decrease in the market price of an asset or asset group, change in manner in which an asset is being used, significant change in business climate and significant cash flow or operating losses that demonstrate continuing losses associated with the use of the asset. We calculate the undiscounted value of the projected cash flows expected to result from the use and eventual disposition of the asset or asset group and compare this estimated amount to the carrying value of the asset or asset group. If the carrying amount is found to be greater than the undiscounted value of the projected cash flows of the asset or asset group, we record an impairment loss of the excess of carrying value over the fair value of the asset or asset group. In addition, we re-evaluate the remaining useful lives of the assets and modify them, as appropriate. Definite-lived intangible assets are amortized over their estimated economic lives. The reasonableness of the useful lives of these assets is regularly evaluated. Once these assets are fully amortized, they are removed from the balance sheet. We evaluate these assets for impairment whenever events or changes in circumstances indicate that the carrying amount of these assets may not be recoverable.
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| Lessee Operating and Finance Leases | Lessee Operating and Finance Leases We have various operating and finance lease agreements related to property, machinery, vehicles and other equipment. Our operating leases include vehicles, buildings, equipment, material handling, storage and land. Operating lease right-of-use assets and operating lease liabilities are recognized based on the present value of the future lease payments over the term. The operating lease right-of-use asset also includes accrued lease expense resulting from the straight-line accounting under prior accounting methods, which is now being amortized over the remaining life of the lease. Our finance leases relate to vehicles and equipment. Our lease payments consist of fixed payments and variable payments. We determine our variable payments based on an index or a rate (i.e. CPI or a market interest rate) that is initially measured at the commencement date. Fixed payments are both fixed and in-substance payments, less any lease incentives paid or payable. Some of our leases include options to extend the lease, with renewal terms that can extend the lease term from to five years. If we are reasonably certain to exercise an option to extend a lease, the extension period is included as part of the right-of-use asset and the lease liability. Our leases do not contain residual value guarantees, which are guarantees made to the lessor that the value of an underlying asset returned to the lessor at the end of a lease will be at least a specified amount. Our leases do not contain restrictions or covenants that restrict us from incurring other financial obligations. At the inception of our contracts we determine if the contract is or contains a lease. A contract is or contains a lease if it conveys the right to control the use of an identified asset for a period of time in exchange for consideration. The discount rate for leases is determined based on the incremental borrowing rate ("IBR"). Our IBR is based on information available on the lease commencement date to determine the present value of future payments. For our leases, we have not elected to not apply the recognition requirements to leases of twelve months or less. These leases will be expensed on a straight-line basis and no operating lease liability will be recorded. We did not participate in lease transactions with related parties.
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| Lessor Operating and Sales-Type Leases | Lessor Operating and Sales-Type Leases We lease dosing and dispensing equipment to customers under operating and sales-type leases. Our accounting policy for these leases is to account for lease and non-lease components separately. The non-lease components, such as product and service revenue, are accounted for under Topic 606 Revenue from Contracts with Customers, see Note 4 - Revenue Recognition for further information. Revenue from operating leases is recognized on a straight-line basis over the life of the lease. Cost of sales from operating leases includes the depreciation expense for assets under lease. The assets are depreciated over their estimated useful lives. Revenue from sales-type leases is recognized as the present value of the future lease payments in the period the lease agreement is signed and the equipment is delivered to the customer. Interest income is recognized using the effective interest method over the life of the lease. Cost of sales from sales-type leases includes the cost for assets under lease. Initial lease terms range from one year to five years and most leases include renewal options. Lease contracts convey the right for the customer to control the equipment for a period of time as defined by the contract. Under our operating leases, there are no options for the customer to purchase the equipment and therefore the equipment remains the property of the Company at the end of the lease term.
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| Pensions Benefits | Pension Benefits In connection with the Diversey Acquisition, we assumed certain defined benefit plan obligations and acquired certain related plan assets for current employees of our subsidiaries. In addition, we implemented a replacement retiree health care reimbursement plan for certain U.S. based employees. The projected benefit obligation and the net periodic benefit cost are based on third-party actuarial assumptions and estimates that are reviewed and approved by management on a plan-by-plan basis each fiscal year. The principal assumptions concern the discount rate used to measure future obligations, the expected future rate of return on plan assets and the expected rate of future compensation increases. We revise these assumptions based on an annual evaluation of long-term trends and market conditions that may have an impact on the cost of providing retirement benefits. In determining the discount rate, we utilize market conditions and other data sources management considers reasonable based upon the profile of the remaining service life of eligible employees. The expected long-term rate of return on plan assets is determined by taking into consideration the weighted-average expected return on our asset allocation, asset return data, historical return data, and the economic environment. We believe these considerations provide the basis for reasonable assumptions of the expected long-term rate of return on plan assets. The rate of compensation increase is based on our long-term plans for such increases. The measurement date used to determine benefit obligations and plan assets is December 31. In general, material changes to the principal assumptions could have a material impact on the costs and liabilities recognized in our Consolidated Financial Statements. Refer to Note 13 - Retirement Plans for further information.
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| New Accounting Guidance | New Accounting Guidance We consider the applicability and impact of all Accounting Standards Updates (ASUs) issued by the Financial Accounting Standards Board (FASB). ASUs not listed below were assessed and determined to be either not applicable or are expected to have minimal impact on our consolidated financial statements. Recently Issued Accounting StandardsIn September 2022, the FASB issued ASU No. 2022-04, Liabilities—Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations. The new guidance is expected to improve the transparency of supplier finance programs by requiring that a buyer in a supplier finance program disclose sufficient qualitative and quantitative information about the program to allow a user of its financial statements to understand the program's nature, activity during the period, changes from period to period and potential magnitude. ASU No. 2022-04 is effective for us as of January 1, 2023 on a retrospective basis including interim periods within those fiscal years, except for the requirement to disclose rollforward information, which is effective for us as of January 1, 2024. Early adoption is permitted. We had no supplier finance programs during 2022, but anticipate implementing a program in 2023. We do not believe that the adoption of ASU 2022-04 will have an impact on our Consolidated Financial Statements with the exception of expanded annual disclosures. |
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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) |
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| Accounting Policies [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Useful lives of property and equipment | We depreciate the cost of property and equipment over their estimated useful lives using the straight-line method over the estimated useful lives of the assets:
Our property and equipment and accumulated depreciation balances were as follows:
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REVENUE RECOGNITION (Tables) |
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| Revenues from contracts with customers summarized by region | Revenues from contracts with customers summarized by region were as follows:
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ACQUISITIONS (Tables) |
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| Fair values of the net assets acquired | The following table summarizes the fair values of the net assets acquired, which includes the purchase accounting adjustments described above:
(1) The fair value of the intangible assets, which represents customer relationships and intellectual property, was determined using the Income Approach, which measures the value of an intangible asset based on the present value of its future economic benefits. This approach converts future economic benefits to a single current amount by discounting the future benefits at a rate of return sufficient to satisfy the risks and rewards associated with ownership of similar assets. This measurement reflects current market expectations regarding its future economic benefits. The Income Approach is a non-recurring Level 3 fair value assessment.
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FINANCIAL STATEMENT DETAILS (Tables) |
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| Net inventory balances | Our net inventory balances were:
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| Activity in allowance for credit losses for trade and lease receivables | The following represents the activity in our allowance for credit losses for trade and lease receivables:
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| Components of prepaid expenses and other current assets | The components of prepaid expenses and other current assets were as follows:
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| Components of other non-current assets | The components of other non-current assets were as follows:
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| Components of other current liabilities | The components of other current liabilities were as follows:
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| Components of other non-current liabilities | The components of other non-current liabilities were as follows:
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| Details of Other (Income) Expense, net | The following table provides details of our Other (income) expense, net:
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PROPERTY AND EQUIPMENT, NET (Tables) |
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| Property and equipment and accumulated depreciation balances | We depreciate the cost of property and equipment over their estimated useful lives using the straight-line method over the estimated useful lives of the assets:
Our property and equipment and accumulated depreciation balances were as follows:
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GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS (Tables) |
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| Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Rollforward of goodwill balances by reportable segment | The following table represents a roll forward of our goodwill balances by reportable segments:
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| Gross carrying amounts and accumulated amortization of identifiable intangible assets by major class with definite lives | The following table summarizes the gross carrying amounts and accumulated amortization of identifiable intangible assets by major class with definite and indefinite lives at December 31, 2022:
The following table summarizes the gross carrying amounts and accumulated amortization of identifiable intangible assets by major class with definite and indefinite lives at December 31, 2021:
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| Gross carrying amounts and accumulated amortization of identifiable intangible assets by major class with indefinite lives | The following table summarizes the gross carrying amounts and accumulated amortization of identifiable intangible assets by major class with definite and indefinite lives at December 31, 2022:
The following table summarizes the gross carrying amounts and accumulated amortization of identifiable intangible assets by major class with definite and indefinite lives at December 31, 2021:
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| Estimated amortization expense | The estimated amortization expense related to the fair value of acquired intangible assets for each of the succeeding five years and thereafter is:
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LEASES (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Leases [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Supplemental Balance Sheet information related to leases | Supplemental Balance Sheet information related to leases is as follows:
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| Weighted average remaining lease term and weighted average discount rate, lease costs, and cash flow information | The following table provides information on the weighted average remaining lease term and weighted average discount rate for operating and finance leases:
The following presents the components of total operating costs and total finance lease costs:
Cash payments made for variable lease costs and short-term leases are not included in the measurement of operating and finance lease liabilities, and as such, are excluded from the supplemental cash flow information stated below.
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| Maturity analysis of operating leases | The following maturity analysis presents expected undiscounted cash payments for operating and finance leases on an annual basis as of December 31, 2022:
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| Maturity analysis of finance leases | The following maturity analysis presents expected undiscounted cash payments for operating and finance leases on an annual basis as of December 31, 2022:
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| Undiscounted cash flows from operating leases | The undiscounted cash flows from operating and sales-type leases for existing contracts as of December 31, 2022 is as follows:
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| Undiscounted cash flows from sales-type leases | The undiscounted cash flows from operating and sales-type leases for existing contracts as of December 31, 2022 is as follows:
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DEBT AND CREDIT FACILITIES (Tables) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Debt Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Components of debt and credit facilities | The components of debt and credit facilities were as follows:
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| Debt redemption prices | We may redeem the 2021 Senior Notes, in whole or in part, on or after October 1, 2024, at the redemption prices (expressed as percentages of principal amount) set forth in the indenture governing the 2021 Senior Notes, together with accrued and unpaid interest and additional amounts, if any, to, but excluding, the applicable redemption date:
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| Future principal repayments | Below is a schedule of required future principal repayments of our Senior Secured Credit Facilities and 2021 Senior Notes outstanding on December 31, 2022:
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DERIVATIVES AND HEDGING ACTIVITIES (Tables) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Fair value of derivative instruments included in the Consolidated Balance Sheets | The following table details the fair value of our derivative instruments, which are included as a part of Prepaid expenses and other current assets, Other non-current assets, Other current liabilities and Other non-current liabilities in our Consolidated Balance Sheets.
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| Components of derivatives | Our derivatives consist of the following:
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| Effect of derivative instruments on Consolidated Statements of Operations | The following table details the (income) expense related to our derivative instruments, which are included in Other (income) expense on our Consolidated Statements of Operations. These amounts reduce the interest rate impact and transactional impact of foreign exchange, which is primarily the revaluation of our U.S. dollar denominated debt held at a Euro functional entity, and the net impact is the Unrealized foreign exchange (gain) loss in Note 6 - Financial Statement Details.
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FAIR VALUE MEASUREMENTS AND OTHER FINANCIAL INSTRUMENTS (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Fair value hierarchy of financial assets and liabilities measured on a recurring basis | The following table details the fair value hierarchy of our financial assets and liabilities, which are measured at fair value on a recurring basis:
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| Carrying amounts and estimated fair values of debt and Preferred Equity Certificates | The table below shows the carrying amounts and estimated fair values of our debt, all of which are based on Level 2 inputs:
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RETIREMENT PLANS (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Retirement Benefits [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Components of net periodic benefit cost | The following table sets forth the components of net period benefit cost:
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| Changes to projected benefit obligations and plan assets | The following table sets forth the changes to the projected benefit obligations (“PBO”) and plan assets for our defined benefit pension plans. The measurement date used to determine benefit obligations and plan assets is December 31 for all material plans.
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| Accumulated benefit obligation and projected benefit obligation | The following table reflects the ABO for all defined benefit pension plans. Further, the table reflects the aggregate PBO, ABO and fair value of plan assets for pension plans with PBO in excess of plan assets and for pension plans with ABO in excess of plan assets.
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| Estimated future benefit payments | The following table reflects the total benefit payments expected to be made for defined benefits:
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| Assumptions used to determine benefit obligations and net periodic benefit cost | We determine our material assumptions for all plans on an annual basis as of December 31. Weighted average assumptions used to determine benefit obligations were as follows:
Weighted average assumptions used to determine net period benefit cost were as follows:
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| Targeted asset by category percentages and fair values by asset category | Our targeted asset by category percentages are as follows:
The fair values of our pension plan assets, by asset category, and fair value levels are as follows:
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| Activity of plan assets | The following table shows the activity of our plan assets, which are measured at fair value using Level 3 inputs:
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INCOME TAXES (Tables) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Income Tax Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| U.S. and non-U.S. components of earnings (loss) before income tax provision (benefit) | U.S. and Non-U.S. components of Earnings (Loss) Before Income Tax Provision (Benefit):
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| Components of income tax provision (benefit) | Income Tax Provision (Benefit):
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| Reconciliation of income taxes to statutory provision | A reconciliation of income taxes computed at the UK statutory income tax rate of 19.0% for 2022 and 2021, and Luxembourg's statutory income tax rate of 24.9% for 2020, and our provision for income taxes is as follows:
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| Deferred tax balances | Deferred Tax Balances
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| Activity related to gross unrecognized tax benefits | The following table summarizes the activity related to our gross unrecognized tax benefits:
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SHARE-BASED COMPENSATION (Tables) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Share-Based Payment Arrangement [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Share-based compensation related to equity and liability awards | Share-based compensation expense related to equity and liability awards is included in the following line items in the Consolidated Statements of Operations:
Share-based compensation expense by type of award is as follows:
The unrecognized compensation expense as of December 31, 2022 related to nonvested equity awards and the weighted-average period they are expected to be recognized:
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| Summary of changes in outstanding nonvested RSUs | A summary of changes in outstanding nonvested Restricted Shares is as follows:
A summary of changes in outstanding nonvested RSUs is as follows:
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| Schedule of nonvested performance-based units activity | A summary of changes in outstanding nonvested PSUs is as follows:
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| Schedule of share-based payment award, stock options, valuation assumptions | The table below presents the weighted average assumptions and related valuations for Share Options:
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| Summary of share option activity | A Summary of Share Option activity is as follows:
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RESTRUCTURING AND EXIT ACTIVITIES (Tables) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Restructuring and Related Activities [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Details for restructuring activities | The following table details our restructuring and exit costs as reflected in the Consolidated Statements of Operations:
Restructuring charges by segment were as follows:
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| Details for restructuring accrual | The following table provides the details for the restructuring and exit cost liabilities:
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ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Equity [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Detail of comprehensive loss | The following table provides detail of comprehensive loss:
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| Amounts reclassified from accumulated other comprehensive income | The following table provides details of amounts reclassified from accumulated other comprehensive loss:
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SEGMENTS (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Segment Reporting [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Net sales and Adjusted EBITDA for each of the reportable segments and assets allocated by reportable segments | Net sales for our reportable segments is as follows:
Adjusted EBITDA for our reportable segments is as follows:
The following table shows assets allocated by reportable segments. Assets allocated by reportable segment include trade receivables, net and inventories.
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| Reconciliation of Adjusted EBITDA for the reportable segments to consolidated loss before income tax provision | The following table shows a reconciliation of Adjusted EBITDA for our reportable segments to consolidated loss before income tax provision (benefit):
(1)These costs consist primarily of professional and consulting services which are non-operational in nature, costs related to strategic initiatives, acquisition-related costs, and costs incurred in preparing to become a publicly traded company. (2)Includes costs related to restructuring programs and business exit activities. See Note 18 — Restructuring and Exit Activities in the Notes to our Consolidated Financial Statements for additional information. (3)Represents other costs related to consolidating certain manufacturing and warehousing facilities within Europe and North America, which are non-recurring and included in Cost of Sales in our Consolidated Statements of Operations. (4)Argentina and Turkey were deemed to have highly inflationary economies and the functional currencies for our Argentina and Turkey operations were changed from the Argentine peso and Turkish lira to the United States dollar and remeasurement charges/credits are recorded in our Consolidated Statements of Operations rather than as a component of Cumulative Translation Adjustment on our Consolidated Balance Sheets. (5)In connection with the Diversey Acquisition, the purchase agreement governing the transaction includes indemnification provisions with respect to tax liabilities. The offset to this adjustment is included in income tax provision. See Note 14 - Income Taxes in the Notes to our Consolidated Financial Statements for additional information. (6)In connection with various acquisitions we recorded fair value increases to our inventory. These amounts represent the amortization of this increase. (7)Represents fees paid to Bain Capital pursuant a management agreement whereby we have received general business consulting services; financial, managerial and operational advice; advisory and consulting services with respect to selection of advisors; advice in different fields; and financial and strategic planning and analysis. The management agreement was terminated in March 2021 pursuant to its terms upon the consummation of the IPO, and we recorded a termination fee of $17.5 million during 2021. (8)Represents the net impact of the expected return on plan assets, interest cost, and settlement cost components of net periodic defined benefit income related to our defined benefit pension plans. See Note 13 - Retirement Plans in the Notes to our Consolidated Financial Statements for additional information. (9)Represents the unrealized foreign currency exchange impact on our operations, primarily attributed to the valuation of the U.S. dollar-denominated debt held by our European entity. (10)Represents the fees to complete the sale of the receivables without recourse under our accounts receivable factoring and securitization agreements. See Note 6 - Financial Statement Details to our Consolidated Financial Statements for additional information. (11)Represents compensation expense associated with our share-based equity and liability awards. See Note 17 — Share-Based Compensation in the Notes to our Consolidated Financial Statements for additional information. (12)Represents the adjustment to our tax receivable agreement liability due to changes in valuation allowances that impact the realizability of the attributes of the tax receivable agreement. See Note 14 — Income Taxes in the Notes to our Consolidated Financial Statements for additional information (13)Represents the costs incurred in connection with the redemption of the 2017 Senior Notes on September 29, 2021. See Note 10 — Debt and Credit Facilities in the Notes to our Consolidated Financial Statements for additional information. (14)During 2021, we incurred a realized foreign currency exchange loss related to the refinancing of the Senior Secured Credit Facilities. See Note 10 — Debt and Credit Facilities in the Notes to our Consolidated Financial Statements for additional information. (15)Represents charges for excess inventory and estimated disposal costs related to COVID-19. (16)Represents costs associated with corporate operations that are not specifically allocated to a reportable segment.
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| Net sales and long-lived assets and right of use assets by geographic region | Net sales(1) by geographic region are as follows:
Long-lived assets and right of use assets(3) by geographic region are as follows:
(1) No non-United States country accounted for net sales in excess of 10% of consolidated net sales for the years ended December 31, 2022, 2021 or 2020. (2) Net sales to external customers within the United States were $524.3 million, $503.5 million and $610.9 million for the years ended December 31, 2022, 2021 and 2020, respectively. (3) No non-United States country accounted for long-lived assets and right of use assets in excess of 10% of consolidated long-lived assets and right of use assets as of December 31, 2022 or 2021. (4) Long-lived assets and right of use assets within the United States were $241.9 million and $123.6 million as of December 31, 2022 and 2021.
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EARNINGS (LOSS) PER SHARE (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Calculation of basic and diluted earnings (loss) per share | EARNINGS (LOSS) PER SHARE The following table sets forth the calculation of both basic and diluted loss per share for the periods ended:
(1) For purposes of calculating earnings (loss) per share we have retrospectively presented earnings (loss) per share as if the Reorganization Transactions had occurred at the beginning of the earliest period presented. Such retrospective presentation reflects an increase of approximately 47.4 million shares due to the exchange of shares in Constellation for shares in the Company. (2) For all periods presented, potentially dilutive securities were excluded from the calculation of diluted earnings per share because their inclusion would have been anti-dilutive.
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GENERAL AND DESCRIPTION OF BUSINESS (Details) $ / shares in Units, $ in Millions |
Nov. 15, 2021
USD ($)
$ / shares
shares
|
Apr. 09, 2021
USD ($)
shares
|
Mar. 29, 2021
USD ($)
$ / shares
shares
|
Dec. 31, 2022
employee
|
|---|---|---|---|---|
| Subsidiary, Sale of Stock [Line Items] | ||||
| Stock offering, shares issued (in shares) | shares | 15,000,000 | |||
| Stock offering, price per share (in usd per share) | $ / shares | $ 15.00 | |||
| Stock offering, net proceeds | $ | $ 214.4 | |||
| Number of employees | employee | 9,000 | |||
| IPO | ||||
| Subsidiary, Sale of Stock [Line Items] | ||||
| Stock offering, shares issued (in shares) | shares | 46,153,846 | |||
| Stock offering, price per share (in usd per share) | $ / shares | $ 15.00 | |||
| Stock offering, net proceeds | $ | $ 654.3 | |||
| Underwriters' option | ||||
| Subsidiary, Sale of Stock [Line Items] | ||||
| Stock offering, shares issued (in shares) | shares | 5,000,000 | |||
| Stock offering, net proceeds | $ | $ 71.4 |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Impact of Inflation and Currency Fluctuations (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Accounting Policies [Abstract] | |||
| Remeasurement gain (loss) | $ 1.9 | $ 2.1 | $ (1.6) |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Revenue Recognition (Details) |
12 Months Ended |
|---|---|
Dec. 31, 2022 | |
| Accounting Policies [Abstract] | |
| Revenue from contract with customer, percentage of total revenue | 98.00% |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Research and Development (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Accounting Policies [Abstract] | |||
| Research and development costs | $ 27.9 | $ 33.4 | $ 32.2 |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Property and Equipment, Net (Details) |
12 Months Ended |
|---|---|
Dec. 31, 2022 | |
| Building and building equipment | Minimum | |
| Property, Plant and Equipment [Line Items] | |
| Useful life | 20 years |
| Building and building equipment | Maximum | |
| Property, Plant and Equipment [Line Items] | |
| Useful life | 40 years |
| Machinery and equipment | Minimum | |
| Property, Plant and Equipment [Line Items] | |
| Useful life | 5 years |
| Machinery and equipment | Maximum | |
| Property, Plant and Equipment [Line Items] | |
| Useful life | 10 years |
| Other property and equipment | Minimum | |
| Property, Plant and Equipment [Line Items] | |
| Useful life | 2 years |
| Other property and equipment | Maximum | |
| Property, Plant and Equipment [Line Items] | |
| Useful life | 10 years |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Goodwill and Indefinite-Lived Intangible Assets (Details) $ in Millions |
Dec. 31, 2022
USD ($)
|
Dec. 31, 2021
USD ($)
|
Dec. 31, 2020
USD ($)
|
|---|---|---|---|
| Indefinite-lived Intangible Assets [Line Items] | |||
| Goodwill | $ 462.8 | $ 471.5 | $ 467.0 |
| Percentage of fair value in excess of carrying value (greater than) | 20.00% | ||
| Trade name | |||
| Indefinite-lived Intangible Assets [Line Items] | |||
| Gross carrying value/net book value | $ 818.2 | $ 854.7 | |
| Measurement Input, Discount Rate | |||
| Indefinite-lived Intangible Assets [Line Items] | |||
| Goodwill, measurement input | 0.090 | ||
| Indefinite-lived intangible asset, measurement input | 0.095 | 0.090 | |
| Measurement Input, Royalty Rate | |||
| Indefinite-lived Intangible Assets [Line Items] | |||
| Indefinite-lived intangible asset, measurement input | 0.030 | 0.030 |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Long-Lived Assets (Details) - USD ($) $ in Millions |
Dec. 31, 2022 |
Dec. 31, 2021 |
|---|---|---|
| Accounting Policies [Abstract] | ||
| Long-lived assets | $ 1,513.7 | $ 1,602.2 |
| Definite-lived intangible assets | $ 1,165.9 | $ 1,292.6 |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Lessee Operating and Finance Leases (Details) |
12 Months Ended |
|---|---|
Dec. 31, 2022 | |
| Minimum | |
| Lessee, Lease, Description [Line Items] | |
| Lessee, lease renewal term | 1 year |
| Maximum | |
| Lessee, Lease, Description [Line Items] | |
| Lessee, lease renewal term | 5 years |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Lessor Operating and Sales-Type Leases (Details) |
12 Months Ended |
|---|---|
Dec. 31, 2022 | |
| Minimum | |
| Lessor, Lease, Description [Line Items] | |
| Lessor, lease, term of contract | 1 year |
| Maximum | |
| Lessor, Lease, Description [Line Items] | |
| Lessor, lease, term of contract | 5 years |
REVENUE RECOGNITION (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Disaggregation of Revenue [Line Items] | |||
| Topic 606 Revenue | $ 2,741.1 | $ 2,598.2 | $ 2,604.2 |
| Non-Topic 606 Revenue (Leasing: Sales-type and Operating) | 24.8 | 20.7 | 25.0 |
| Total revenue | 2,765.9 | 2,618.9 | 2,629.2 |
| Europe | |||
| Disaggregation of Revenue [Line Items] | |||
| Topic 606 Revenue | 1,248.9 | 1,153.1 | 1,129.3 |
| Total revenue | 1,254.1 | 1,157.3 | 1,132.9 |
| North America | |||
| Disaggregation of Revenue [Line Items] | |||
| Topic 606 Revenue | 659.8 | 701.7 | 777.2 |
| Total revenue | 668.2 | 708.7 | 784.2 |
| Asia Pacific | |||
| Disaggregation of Revenue [Line Items] | |||
| Topic 606 Revenue | 339.7 | 328.8 | 312.0 |
| Total revenue | 350.8 | 338.3 | 326.2 |
| Middle East and Africa | |||
| Disaggregation of Revenue [Line Items] | |||
| Topic 606 Revenue | 274.1 | 231.1 | 217.2 |
| Total revenue | 274.1 | 231.1 | 217.2 |
| Latin America | |||
| Disaggregation of Revenue [Line Items] | |||
| Topic 606 Revenue | 218.6 | 183.5 | 168.5 |
| Total revenue | $ 218.7 | $ 183.5 | $ 168.7 |
| Charges For Rebates And Other Allowances Risk | Revenue from Contract with Customer Benchmark | Rebates and Allowances | |||
| Disaggregation of Revenue [Line Items] | |||
| Charges for rebates and other allowances, percent of gross sales | 25.90% | 25.00% | 25.80% |
ACQUISITIONS - Additional information (Details) - USD ($) $ in Millions |
12 Months Ended | |
|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
|
| Business Acquisition [Line Items] | ||
| Acquisition adjustments | $ 0.1 | $ (8.5) |
| Tasman, Avmor and Birko | ||
| Business Acquisition [Line Items] | ||
| Business combination, provisional information, initial accounting incomplete, adjustment, net assets | (1.6) | |
| Acquisition adjustments | 0.1 | |
| Business combination, provisional information, initial accounting incomplete, adjustment, consideration transferred | $ 1.5 | |
ACQUISITIONS - Fair values of net assets acquired (Details) - USD ($) $ in Millions |
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|---|---|---|---|
| Business Acquisition [Line Items] | |||
| Other non-current liabilities | $ (0.1) | $ 0.0 | $ 0.0 |
| Goodwill on acquisition | 462.8 | 471.5 | 467.0 |
| Series of Individually Immaterial Business Acquisitions | |||
| Business Acquisition [Line Items] | |||
| Cash and cash equivalents | 9.4 | 1.7 | 2.7 |
| Trade receivables | 7.5 | 7.7 | 4.1 |
| Inventories | 3.9 | 9.1 | 2.9 |
| Prepaid expenses and other current assets | 1.7 | 0.8 | 0.2 |
| Property, plant and equipment | 5.7 | 2.9 | 1.3 |
| Other non-current assets | 0.0 | 0.0 | 0.1 |
| Intangible assets | 16.7 | 21.9 | 19.6 |
| Accounts payable | (3.9) | (6.5) | (4.9) |
| Other current liabilities | (5.7) | (1.2) | (0.9) |
| Deferred taxes | (5.4) | (5.7) | (1.8) |
| Net assets acquired before goodwill on acquisition | 29.8 | 30.7 | 23.3 |
| Goodwill on acquisition | 19.8 | 28.1 | 30.6 |
| Net cash paid for acquisitions | $ 49.6 | $ 58.8 | $ 53.9 |
FINANCIAL STATEMENT DETAILS - Inventories (Details) - USD ($) $ in Millions |
Dec. 31, 2022 |
Dec. 31, 2021 |
|---|---|---|
| Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
| Raw materials | $ 71.1 | $ 74.2 |
| Work in process | 3.9 | 2.8 |
| Finished goods | 279.6 | 260.6 |
| Inventories | $ 354.6 | $ 337.6 |
FINANCIAL STATEMENT DETAILS - Factoring of trade receivables (Details) $ in Millions |
12 Months Ended | |
|---|---|---|
|
Dec. 31, 2021
USD ($)
|
Oct. 25, 2021
company
|
|
| Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
| Accounts receivable, factoring agreement, number of companies | company | 8 | |
| Factofrance | ||
| Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
| Receivables sold | $ 495.5 | |
| Advances received | 496.1 | |
| Amount collected from customers and remitted | $ 524.6 |
FINANCIAL STATEMENT DETAILS - Securitization of trade receivables (Details) - USD ($) |
12 Months Ended | |||
|---|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Jun. 30, 2022 |
Apr. 30, 2020 |
|
| Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||
| Maximum funding | $ 100,000,000.0 | $ 150,000,000.0 | ||
| Receivables pledged as collateral | $ 130,900,000 | |||
| Fees associated with the arrangement | 4,900,000 | $ 2,200,000 | ||
| Proceeds from receivables transferred and derecognized | 1,227,400,000 | 669,700,000 | ||
| Collection of securitized accounts receivable | $ 1,172,300,000 | $ 644,900,000 | ||
FINANCIAL STATEMENT DETAILS - Allowance for credit losses (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
| Balance, beginning of period | $ 44.2 | $ 35.1 | |
| Provision for (recovery of) bad debts | 3.2 | (1.2) | $ 11.1 |
| Provision for lease receivables associated with exit activities | (2.3) | 15.7 | |
| Write-offs | (9.2) | (5.4) | |
| Balance, end of period | $ 35.9 | $ 44.2 | $ 35.1 |
FINANCIAL STATEMENT DETAILS - Prepaid expenses and other current assets (Details) - USD ($) $ in Millions |
Dec. 31, 2022 |
Dec. 31, 2021 |
|---|---|---|
| Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
| Derivatives | $ 54.2 | $ 11.3 |
| Prepaid expenses | 31.8 | 36.1 |
| Income tax receivables | 23.1 | 20.2 |
| Other current assets | 1.5 | 1.8 |
| Prepaid expenses and other current assets | $ 110.6 | $ 69.4 |
FINANCIAL STATEMENT DETAILS - Other non-current assets (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
| Dosing and dispensing equipment | $ 149.8 | $ 142.0 | |
| Operating lease right-of-use assets, net | 82.3 | 94.6 | |
| Deferred taxes | 35.9 | 51.8 | |
| Derivatives | 19.7 | 25.9 | |
| Tax indemnification asset | 13.2 | 17.8 | |
| Lease receivables | 12.8 | 18.0 | |
| Finance lease right-of-use assets, net | 11.4 | 4.3 | |
| Customer prebates | 9.5 | 16.6 | |
| Other non-current assets | 13.8 | 11.3 | |
| Other non-current assets | 348.4 | 382.3 | |
| Depreciation expense | $ 65.8 | $ 69.6 | $ 76.1 |
FINANCIAL STATEMENT DETAILS - Other current liabilities (Details) - USD ($) $ in Millions |
Dec. 31, 2022 |
Dec. 31, 2021 |
|---|---|---|
| Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
| Accrued customer volume rebates | $ 156.4 | $ 138.1 |
| Accrued salaries, wages and related costs | 75.0 | 88.7 |
| Value added, general and sales tax payable | 26.8 | 25.3 |
| Accrued interest payable | 25.2 | 11.0 |
| Derivatives | 18.1 | 8.2 |
| Operating lease liability | 15.4 | 21.4 |
| Income taxes payable | 7.6 | 8.4 |
| Tax receivable agreement | 1.6 | 0.0 |
| Accrued share-based compensation | 1.5 | 5.4 |
| Contingent consideration | 0.0 | 4.4 |
| Other accrued liabilities | 71.6 | 73.6 |
| Other current liabilities | $ 399.2 | $ 384.5 |
FINANCIAL STATEMENT DETAILS - Other non-current liabilities (Details) - USD ($) $ in Millions |
Dec. 31, 2022 |
Dec. 31, 2021 |
|---|---|---|
| Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
| Tax receivable agreement | $ 202.9 | $ 238.1 |
| Operating lease liability | 84.2 | 72.5 |
| Defined benefit pension plan liability | 72.3 | 127.3 |
| Derivatives | 63.8 | 4.9 |
| Uncertain tax positions | 17.7 | 44.5 |
| Asset retirement obligations | 6.2 | 6.4 |
| Accrued share-based compensation | 5.2 | 6.0 |
| Other post-employment benefit plan liability | 1.7 | 2.1 |
| Contingent consideration | 0.2 | 0.2 |
| Other non-current liabilities | 13.9 | 18.0 |
| Other non-current liabilities | $ 468.1 | $ 520.0 |
FINANCIAL STATEMENT DETAILS - Other income (expense), net (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
| Interest income | $ (4.8) | $ (9.9) | $ (5.9) |
| Unrealized foreign exchange (gain) loss | (5.9) | 12.9 | (25.1) |
| Realized foreign exchange (gain) loss | (2.1) | 5.9 | (0.9) |
| Non-cash pension and other post-employment benefit plan | (14.2) | (15.7) | (12.9) |
| Release of tax indemnification asset | 4.7 | 6.9 | 2.8 |
| Factoring and securitization fees | 5.7 | 4.7 | 4.3 |
| Tax receivable agreement adjustments | (22.6) | (10.1) | 0.0 |
| Other, net | 2.6 | 5.2 | (3.0) |
| Other income (expense), net | $ (36.6) | $ (0.1) | $ (40.7) |
PROPERTY AND EQUIPMENT, NET (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Property, Plant and Equipment [Line Items] | |||
| Property and equipment, gross | $ 357.2 | $ 293.1 | |
| Less: Accumulated depreciation | (103.1) | (82.4) | |
| Property and equipment, net | 254.1 | 210.7 | |
| Depreciation expense | 24.5 | 21.2 | $ 21.2 |
| Land and improvements | |||
| Property, Plant and Equipment [Line Items] | |||
| Property and equipment, gross | 40.6 | 41.3 | |
| Buildings | |||
| Property, Plant and Equipment [Line Items] | |||
| Property and equipment, gross | 55.6 | 55.4 | |
| Machinery and equipment | |||
| Property, Plant and Equipment [Line Items] | |||
| Property and equipment, gross | 114.9 | 95.4 | |
| Other property and equipment | |||
| Property, Plant and Equipment [Line Items] | |||
| Property and equipment, gross | 49.5 | 51.6 | |
| Construction-in-progress | |||
| Property, Plant and Equipment [Line Items] | |||
| Property and equipment, gross | $ 96.6 | $ 49.4 | |
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS - Goodwill (Details) - USD ($) $ in Millions |
12 Months Ended | |
|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
|
| Goodwill [Roll Forward] | ||
| Balance | $ 471.5 | $ 467.0 |
| Acquisitions | 19.7 | 28.1 |
| Acquisition adjustments | 0.1 | (8.5) |
| Foreign currency translation | (28.5) | (15.1) |
| Balance | 462.8 | 471.5 |
| Institutional | ||
| Goodwill [Roll Forward] | ||
| Balance | 330.4 | 337.9 |
| Acquisitions | 19.7 | 3.5 |
| Acquisition adjustments | 0.3 | 0.0 |
| Foreign currency translation | (19.9) | (11.0) |
| Balance | 330.5 | 330.4 |
| Food & Beverage | ||
| Goodwill [Roll Forward] | ||
| Balance | 141.1 | 129.1 |
| Acquisitions | 0.0 | 24.6 |
| Acquisition adjustments | (0.2) | (8.5) |
| Foreign currency translation | (8.6) | (4.1) |
| Balance | $ 132.3 | $ 141.1 |
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS - Identifiable Intangible Assets (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Intangible assets with definite lives | |||
| Gross Carrying Value | $ 1,645.7 | $ 1,700.6 | |
| Accumulated Amortization | (479.8) | (408.0) | |
| Net Book Value | 1,165.9 | 1,292.6 | |
| Intangible assets with indefinite lives | |||
| Total identifiable intangible assets, gross carrying value | 2,463.9 | 2,555.3 | |
| Total identifiable intangible assets, net book value | 1,984.1 | 2,147.3 | |
| Amortization of intangible assets | 90.2 | 96.7 | $ 98.2 |
| Trade name | |||
| Intangible assets with indefinite lives | |||
| Gross carrying value/net book value | 818.2 | 854.7 | |
| Customer relationships | |||
| Intangible assets with definite lives | |||
| Gross Carrying Value | 890.1 | 920.6 | |
| Accumulated Amortization | (216.3) | (181.0) | |
| Net Book Value | $ 673.8 | $ 739.6 | |
| Weighted Average Remaining Amortization Periods | 23 years 10 months 24 days | 25 years | |
| Trade name | |||
| Intangible assets with definite lives | |||
| Gross Carrying Value | $ 583.9 | $ 610.4 | |
| Accumulated Amortization | (155.0) | (131.4) | |
| Net Book Value | $ 428.9 | $ 479.0 | |
| Weighted Average Remaining Amortization Periods | 14 years 7 months 6 days | 15 years 7 months 6 days | |
| Capitalized software | |||
| Intangible assets with definite lives | |||
| Gross Carrying Value | $ 90.3 | $ 84.2 | |
| Accumulated Amortization | (79.1) | (70.1) | |
| Net Book Value | $ 11.2 | $ 14.1 | |
| Weighted Average Remaining Amortization Periods | 1 year 2 months 12 days | 1 year 4 months 24 days | |
| Intellectual property | |||
| Intangible assets with definite lives | |||
| Gross Carrying Value | $ 44.6 | $ 44.5 | |
| Accumulated Amortization | (10.9) | (6.7) | |
| Net Book Value | $ 33.7 | $ 37.8 | |
| Weighted Average Remaining Amortization Periods | 8 years 10 months 24 days | 9 years 10 months 24 days | |
| Non-compete agreements | |||
| Intangible assets with definite lives | |||
| Gross Carrying Value | $ 8.2 | $ 8.8 | |
| Accumulated Amortization | (7.7) | (8.2) | |
| Net Book Value | $ 0.5 | $ 0.6 | |
| Weighted Average Remaining Amortization Periods | 4 years | 4 years 1 month 6 days | |
| Trademarks | |||
| Intangible assets with definite lives | |||
| Gross Carrying Value | $ 24.6 | $ 27.7 | |
| Accumulated Amortization | (7.6) | (7.5) | |
| Net Book Value | $ 17.0 | $ 20.2 | |
| Weighted Average Remaining Amortization Periods | 11 years 6 months | 12 years 4 months 24 days | |
| Favorable leases | |||
| Intangible assets with definite lives | |||
| Gross Carrying Value | $ 4.0 | $ 4.4 | |
| Accumulated Amortization | (3.2) | (3.1) | |
| Net Book Value | $ 0.8 | $ 1.3 | |
| Weighted Average Remaining Amortization Periods | 1 year | 1 year 1 month 6 days | |
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS - Future Amortization (Details) - USD ($) $ in Millions |
Dec. 31, 2022 |
Dec. 31, 2021 |
|---|---|---|
| Goodwill and Intangible Assets Disclosure [Abstract] | ||
| 2023 | $ 68.3 | |
| 2024 | 66.9 | |
| 2025 | 67.1 | |
| 2026 | 66.1 | |
| 2027 | 66.1 | |
| Thereafter | 831.4 | |
| Net Book Value | $ 1,165.9 | $ 1,292.6 |
LEASES - Supplemental Balance Sheet Information (Details) - USD ($) $ in Millions |
Dec. 31, 2022 |
Dec. 31, 2021 |
|---|---|---|
| Assets: | ||
| Operating lease location | Other non-current assets (Note 6) | Other non-current assets (Note 6) |
| Finance lease location | Other non-current assets (Note 6) | Other non-current assets (Note 6) |
| Operating lease right-of-use assets, net | $ 82.3 | $ 94.6 |
| Finance lease right-of-use assets, net | 11.4 | 4.3 |
| Total | $ 93.7 | $ 98.9 |
| Current: | ||
| Operating lease location | Other current liabilities (Note 6) | Other current liabilities (Note 6) |
| Finance lease location | Current portion of long-term debt (Note 10) | Current portion of long-term debt (Note 10) |
| Operating lease | $ 15.4 | $ 21.4 |
| Finance lease | 3.2 | 1.8 |
| Total | $ 18.6 | $ 23.2 |
| Non-current: | ||
| Operating lease location | Other non-current liabilities (Note 6) | Other non-current liabilities (Note 6) |
| Finance lease location | Long-term debt, less current portion (Note 10) | Long-term debt, less current portion (Note 10) |
| Operating lease | $ 84.2 | $ 72.5 |
| Finance lease | 8.4 | 2.6 |
| Total | $ 92.6 | $ 75.1 |
LEASES - Weighted Average Remaining Lease Term and Discount Rate (Details) |
Dec. 31, 2022 |
Dec. 31, 2021 |
|---|---|---|
| Weighted average remaining lease term: | ||
| Operating leases | 15 years 7 months 6 days | 9 years 6 months |
| Finance leases | 5 years 1 month 6 days | 2 years 6 months |
| Weighted average remaining discount rate: | ||
| Operating leases | 7.90% | 5.19% |
| Finance leases | 4.95% | 4.69% |
LEASES - Maturity Analysis (Details) - USD ($) $ in Millions |
Dec. 31, 2022 |
Dec. 31, 2021 |
|---|---|---|
| Operating Leases | ||
| 2023 | $ 22.3 | |
| 2024 | 17.0 | |
| 2025 | 12.0 | |
| 2026 | 9.3 | |
| 2027 | 7.6 | |
| Thereafter | 124.1 | |
| Total lease payments | 192.3 | |
| Less: imputed interest | (92.7) | |
| Total payments | 99.6 | |
| Finance Leases | ||
| 2023 | 3.7 | |
| 2024 | 2.9 | |
| 2025 | 2.1 | |
| 2026 | 1.3 | |
| 2027 | 1.2 | |
| Thereafter | 1.7 | |
| Total lease payments | 12.9 | |
| Less: imputed interest | (1.3) | |
| Total payments | 11.6 | $ 4.4 |
| Total | ||
| 2023 | 26.0 | |
| 2024 | 19.9 | |
| 2025 | 14.1 | |
| 2026 | 10.6 | |
| 2027 | 8.8 | |
| Thereafter | 125.8 | |
| Total lease payments | 205.2 | |
| Less: imputed interest | (94.0) | |
| Total payments | $ 111.2 |
LEASES - Lease Costs (Details) - USD ($) $ in Millions |
12 Months Ended | |
|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
|
| Leases [Abstract] | ||
| Operating lease cost | $ 31.6 | $ 34.4 |
| Short-term lease cost | 9.0 | 10.2 |
| Total operating costs | 40.6 | 44.6 |
| Finance lease cost: | ||
| Amortization of right-of-use assets | 2.4 | 2.2 |
| Interest on lease liabilities | 0.4 | 0.3 |
| Total finance lease cost | 2.8 | 2.5 |
| Total lease cost | $ 43.4 | $ 47.1 |
LEASES - Cash Flow Information (Details) - USD ($) $ in Millions |
12 Months Ended | |
|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
|
| Cash paid for amounts included in the measurement of: | ||
| Operating cash flows from operating leases | $ 30.9 | $ 33.5 |
| Operating cash flows from finance leases | 0.3 | 0.3 |
| Financing cash flows from finance leases | 2.3 | 2.2 |
| Right-of-use assets obtained in exchange for new lease liabilities: | ||
| Operating leases | 15.0 | 63.0 |
| Finance leases | $ 7.7 | $ 2.2 |
LEASES - Additional Information (Details) - USD ($) $ in Millions |
Dec. 31, 2022 |
Dec. 31, 2021 |
|---|---|---|
| Leases [Abstract] | ||
| Gross assets under operating leases | $ 232.5 | $ 285.6 |
| Accumulated depreciation for assets under operating leases | 82.7 | 143.6 |
| Lessor, Lease, Description [Line Items] | ||
| Gross receivables under sales-type leases | 21.9 | 27.7 |
| Other receivables | ||
| Lessor, Lease, Description [Line Items] | ||
| Gross receivables under sales-type leases | 9.1 | 9.7 |
| Other non-current assets | ||
| Lessor, Lease, Description [Line Items] | ||
| Gross receivables under sales-type leases | $ 12.8 | $ 18.0 |
LEASES - Undiscounted Cash Flows from Operating and Sales-Type Leases (Details) $ in Millions |
Dec. 31, 2022
USD ($)
|
|---|---|
| Leases [Abstract] | |
| 2023 | $ 10.1 |
| 2024 | 8.5 |
| 2025 | 5.7 |
| 2026 | 3.5 |
| 2027 | 2.4 |
| Thereafter | 0.0 |
| Total | $ 30.2 |
DEBT AND CREDIT FACILITIES - Components of debt and credit facilities (Details) - USD ($) $ in Millions |
Dec. 31, 2022 |
Dec. 31, 2021 |
|---|---|---|
| Schedule of Long-term and Short-term Debt Instruments [Line Items] | ||
| Total debt | $ 1,985.0 | |
| Short-term borrowings | 3.8 | $ 10.7 |
| Finance lease obligations | 11.6 | 4.4 |
| Financing obligations | 21.9 | 23.1 |
| Unamortized deferred financing costs | (30.1) | (35.3) |
| Unamortized original issue discount | (7.0) | (8.3) |
| Total debt | 1,985.2 | 1,994.6 |
| Less: Current portion of long-term debt | (12.4) | (10.9) |
| Short-term borrowings | (3.8) | (10.7) |
| Long-term debt | 1,969.0 | 1,973.0 |
| Secured Debt | 2021 U.S. Dollar Term Loan | ||
| Schedule of Long-term and Short-term Debt Instruments [Line Items] | ||
| Total debt | 1,485.0 | 1,500.0 |
| Unamortized deferred financing costs | (24.0) | (28.3) |
| Unamortized original issue discount | (7.0) | (8.3) |
| Line of credit | Revolving Credit Facility | Revolving Credit Facility | ||
| Schedule of Long-term and Short-term Debt Instruments [Line Items] | ||
| Total debt | 0.0 | 0.0 |
| Senior Notes | 2021 Senior Notes | ||
| Schedule of Long-term and Short-term Debt Instruments [Line Items] | ||
| Total debt | 500.0 | 500.0 |
| Unamortized deferred financing costs | $ (6.1) | $ (7.0) |
DEBT AND CREDIT FACILITIES - Senior Secured Credit Facilities (Details) - USD ($) |
12 Months Ended | ||||
|---|---|---|---|---|---|
Sep. 29, 2021 |
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
Sep. 28, 2021 |
|
| Debt Instrument [Line Items] | |||||
| Repayments of debt | $ 17,800,000 | $ 2,668,800,000 | $ 22,900,000 | ||
| Realized foreign currency exchange loss on debt financing | 4,500,000 | ||||
| Unamortized deferred financing costs | 30,100,000 | 35,300,000 | |||
| Unamortized original issue discount | 7,000,000.0 | 8,300,000 | |||
| Secured Debt | 2021 U.S. Dollar Term Loan | |||||
| Debt Instrument [Line Items] | |||||
| Debt face amount | $ 1,500,000,000 | ||||
| Repayments of debt | $ 1,404,200,000 | ||||
| Total Net Leverage Ratio, required maximum | 4.50 | ||||
| Deferred financing costs | $ 69,100,000 | ||||
| Unamortized deferred financing costs | 24,000,000.0 | 28,300,000 | |||
| Write off of deferred financing costs | 12,800,000 | ||||
| Original issue discount | $ 12,600,000 | ||||
| Unamortized original issue discount | $ 7,000,000.0 | 8,300,000 | |||
| Secured Debt | 2021 U.S. Dollar Term Loan | LIBOR | |||||
| Debt Instrument [Line Items] | |||||
| Interest rate at end of period | 7.17% | ||||
| Secured Debt | 2021 U.S. Dollar Term Loan | Interest Rate Scenario One | LIBOR | |||||
| Debt Instrument [Line Items] | |||||
| Floor interest rate | 0.50% | ||||
| Basis spread on variable interest rate | 3.00% | ||||
| Secured Debt | 2021 U.S. Dollar Term Loan | Interest Rate Scenario Two | ABR Rate | |||||
| Debt Instrument [Line Items] | |||||
| Basis spread on variable interest rate | 2.00% | ||||
| Secured Debt | 2021 U.S. Dollar Term Loan | Interest Rate Scenario Three | LIBOR | |||||
| Debt Instrument [Line Items] | |||||
| Basis spread on variable interest rate | 2.75% | ||||
| Secured Debt | 2021 U.S. Dollar Term Loan | Interest Rate Scenario Four | ABR Rate | |||||
| Debt Instrument [Line Items] | |||||
| Basis spread on variable interest rate | 1.75% | ||||
| Secured Debt | Revolving Credit Facility | |||||
| Debt Instrument [Line Items] | |||||
| Write off of original issue discount | 1,300,000 | ||||
| Secured Debt | Revolving Credit Facility | Revolving Credit Facility | |||||
| Debt Instrument [Line Items] | |||||
| Maximum borrowing capacity | $ 450,000,000.0 | ||||
| Deferred financing costs, gross | $ 8,900,000 | ||||
| Unamortized deferred financing costs - credit facility | $ 2,700,000 | 3,700,000 | |||
| Available borrowing capacity | 444,600,000 | 442,100,000 | |||
| Line of credit | Revolving Credit Facility | Revolving Credit Facility | |||||
| Debt Instrument [Line Items] | |||||
| Letters of credit outstanding | $ 5,400,000 | $ 7,900,000 | |||
DEBT AND CREDIT FACILITIES - 2021 Senior Notes (Details) |
12 Months Ended | ||||
|---|---|---|---|---|---|
|
Sep. 29, 2021
USD ($)
|
Dec. 31, 2022
USD ($)
|
Dec. 31, 2021
USD ($)
|
Dec. 31, 2020
USD ($)
|
Sep. 29, 2021
EUR (€)
|
|
| Debt Instrument [Line Items] | |||||
| Repayments of debt | $ 17,800,000 | $ 2,668,800,000 | $ 22,900,000 | ||
| Unamortized deferred financing costs | 30,100,000 | 35,300,000 | |||
| Senior Notes | 2021 Senior Notes | |||||
| Debt Instrument [Line Items] | |||||
| Debt face amount | $ 500,000,000.0 | ||||
| Interest rate | 4.625% | 4.625% | |||
| Redemption price percentage | 100.00% | ||||
| Deferred financing costs | $ 7,200,000 | ||||
| Unamortized deferred financing costs | $ 6,100,000 | $ 7,000,000.0 | |||
| Debt redemption, percent of aggregate principal amount | 40.00% | ||||
| Senior Notes | 2021 Senior Notes | Debt Instrument, Redemption, Period Four | |||||
| Debt Instrument [Line Items] | |||||
| Redemption price percentage | 104.625% | ||||
| Senior Notes | Senior Notes 2017 | |||||
| Debt Instrument [Line Items] | |||||
| Debt amount redeemed | € | € 450,000,000.0 | ||||
| Interest rate | 5.625% | 5.625% | |||
| Redemption price percentage | 101.40% | ||||
| Repayments of debt | $ 536,700,000 | ||||
| Repayments of debt principal amount | 529,100,000 | ||||
| Payment of redemption premium | 7,600,000 | ||||
| Write off of deferred financing costs | $ 8,000,000.0 | ||||
DEBT AND CREDIT FACILITIES - Debt redemption prices (Details) - Senior Notes - 2021 Senior Notes |
Sep. 29, 2021 |
|---|---|
| Debt Instrument, Redemption [Line Items] | |
| Redemption price percentage | 100.00% |
| October 1, 2024 to September 30, 2025 | |
| Debt Instrument, Redemption [Line Items] | |
| Redemption price percentage | 102.313% |
| October 1, 2025 to September 30, 2026 | |
| Debt Instrument, Redemption [Line Items] | |
| Redemption price percentage | 101.156% |
| On or after October 1, 2026 | |
| Debt Instrument, Redemption [Line Items] | |
| Redemption price percentage | 100.00% |
DEBT AND CREDIT FACILITIES - Sale-Leaseback Transactions (Details) $ in Millions |
1 Months Ended |
|---|---|
|
Mar. 31, 2020
USD ($)
property
renewal
| |
| Debt Disclosure [Abstract] | |
| Number of properties sold | property | 2 |
| Proceeds from sale | $ | $ 22.9 |
| Initial lease term | 15 years |
| Number of lease renewal options | renewal | 4 |
| Lease renewal term | 5 years |
DEBT AND CREDIT FACILITIES - Future principal repayments (Details) $ in Millions |
Dec. 31, 2022
USD ($)
|
|---|---|
| Debt Disclosure [Abstract] | |
| 2023 | $ 15.0 |
| 2024 | 15.0 |
| 2025 | 15.0 |
| 2026 | 15.0 |
| 2027 | 15.0 |
| Thereafter | 1,910.0 |
| Total debt | $ 1,985.0 |
DERIVATIVES AND HEDGING ACTIVITIES - Fair Value of Derivative Instruments (Details) - USD ($) $ in Millions |
Dec. 31, 2022 |
Dec. 31, 2021 |
|---|---|---|
| Derivatives designated as hedging instruments | ||
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
| Total derivative assets | $ 54.7 | $ 36.1 |
| Total derivative liabilities | (55.9) | (0.7) |
| Derivatives not designated as hedging instruments | ||
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
| Total derivative assets | 19.2 | 1.1 |
| Total derivative liabilities | (26.0) | (12.4) |
| Foreign currency forward contracts, net liability | Derivatives designated as hedging instruments | ||
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
| Total derivative assets | 1.2 | 0.6 |
| Total derivative liabilities | (0.1) | 0.0 |
| Foreign currency forward contracts, net liability | Derivatives not designated as hedging instruments | ||
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
| Total derivative assets | 2.3 | 1.1 |
| Total derivative liabilities | (4.1) | (1.1) |
| Interest rate swaps, net liability | Derivatives not designated as hedging instruments | ||
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
| Total derivative assets | 16.9 | 0.0 |
| Total derivative liabilities | (21.9) | (11.3) |
| Interest rate caps | Derivatives designated as hedging instruments | ||
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
| Total derivative assets | 34.6 | 2.9 |
| Total derivative liabilities | 0.0 | (0.7) |
| Cross currency swaps | Derivatives designated as hedging instruments | ||
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
| Total derivative assets | 18.9 | 32.6 |
| Total derivative liabilities | $ (55.8) | $ 0.0 |
DERIVATIVES AND HEDGING ACTIVITIES - Additional Information (Details) - USD ($) $ in Millions |
12 Months Ended | |||
|---|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
Sep. 29, 2021 |
|
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
| Proceeds from termination of derivatives | $ 186.1 | $ 0.0 | $ 0.0 | |
| Derivatives designated as hedging instruments | ||||
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
| Interest rate derivative instruments not designated as hedging instruments gain to be reclassified over remaining life of contract | 27.6 | |||
| Interest rate derivative instruments not designated as hedging Instruments loss to be reclassified over remaining life of contract | 7.9 | |||
| Net unrealized after-tax loss | 71.0 | $ (2.9) | ||
| Interest rate cash flow hedge, net unrealized after-tax derivative loss to be reclassified into earnings within the next twelve months | $ 35.2 | |||
| Derivatives not designated as hedging instruments | ||||
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
| Unrealized after-tax derivative loss included in AOCI being amortized to interest expense over remaining life of contract | $ 5.1 | |||
DERIVATIVES AND HEDGING ACTIVITIES - Components of Derivatives (Details) $ in Millions |
12 Months Ended |
|---|---|
|
Dec. 31, 2022
USD ($)
| |
| U.S. dollar floating to Euro fixed interest rate swap | |
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | |
| Notional amount | $ 500.0 |
| Original maturity in months | 49 months |
| U.S. dollar interest rate cap | |
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | |
| Notional amount | $ 650.0 |
| Original maturity in months | 36 months |
| U.S. dollar to Euro currency swap | |
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | |
| Notional amount | $ 500.0 |
| Original maturity in months | 49 months |
| Forward Contracts | |
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | |
| Notional amount | $ 326.0 |
| Forward Contracts | Minimum | |
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | |
| Original maturity in months | 1 month |
| Forward Contracts | Maximum | |
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | |
| Original maturity in months | 12 months |
| Floating to fixed interest rate swap | |
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | |
| Notional amount | $ 315.0 |
| Original maturity in months | 60 months |
| Fixed to floating interest rate swap | |
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | |
| Notional amount | $ 315.0 |
| Original maturity in months | 36 months |
DERIVATIVES AND HEDGING ACTIVITIES - Consolidated Statements of Operations (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
| Total | $ (99.9) | $ (29.8) | $ (4.8) |
| Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Other Nonoperating Income (Expense) | Other Nonoperating Income (Expense) | Other Nonoperating Income (Expense) |
| Foreign currency forward contracts, net liability | |||
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
| Total | $ (0.5) | $ (0.1) | $ 0.5 |
| Interest rate swaps, net liability | |||
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
| Total | (0.1) | (0.2) | (5.3) |
| Interest rate caps | |||
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
| Total | (0.1) | (0.1) | 0.0 |
| Cross currency swaps | |||
| Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
| Total | $ (99.2) | $ (29.4) | $ 0.0 |
FAIR VALUE MEASUREMENTS AND OTHER FINANCIAL INSTRUMENTS - Assets and liabilities measured on a recurring basis (Details) - USD ($) $ in Millions |
Dec. 31, 2022 |
Dec. 31, 2021 |
|---|---|---|
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
| Contingent consideration | $ (0.2) | $ (4.6) |
| Fair Value, Recurring | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
| Cash equivalents | 116.3 | 111.6 |
| Contingent consideration | (0.2) | (4.6) |
| Fair Value, Recurring | Cross currency swaps | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
| Derivative asset | (36.9) | |
| Derivative liability | 32.6 | |
| Fair Value, Recurring | Interest rate caps | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
| Derivative asset | 34.6 | 2.2 |
| Fair Value, Recurring | Foreign currency forward contracts, net liability | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
| Derivative asset | (0.7) | 0.6 |
| Fair Value, Recurring | Interest rate swaps, net liability | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
| Derivative liability | (5.0) | 11.3 |
| Fair Value, Recurring | Level 1 | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
| Cash equivalents | 116.3 | 111.6 |
| Contingent consideration | 0.0 | 0.0 |
| Fair Value, Recurring | Level 1 | Cross currency swaps | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
| Derivative asset | 0.0 | |
| Derivative liability | 0.0 | |
| Fair Value, Recurring | Level 1 | Interest rate caps | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
| Derivative asset | 0.0 | 0.0 |
| Fair Value, Recurring | Level 1 | Foreign currency forward contracts, net liability | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
| Derivative asset | 0.0 | 0.0 |
| Fair Value, Recurring | Level 1 | Interest rate swaps, net liability | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
| Derivative liability | 0.0 | 0.0 |
| Fair Value, Recurring | Level 2 | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
| Cash equivalents | 0.0 | 0.0 |
| Contingent consideration | 0.0 | 0.0 |
| Fair Value, Recurring | Level 2 | Cross currency swaps | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
| Derivative asset | (36.9) | |
| Derivative liability | 32.6 | |
| Fair Value, Recurring | Level 2 | Interest rate caps | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
| Derivative asset | 34.6 | 2.2 |
| Fair Value, Recurring | Level 2 | Foreign currency forward contracts, net liability | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
| Derivative asset | (0.7) | 0.6 |
| Fair Value, Recurring | Level 2 | Interest rate swaps, net liability | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
| Derivative liability | (5.0) | 11.3 |
| Fair Value, Recurring | Level 3 | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
| Cash equivalents | 0.0 | 0.0 |
| Contingent consideration | (0.2) | (4.6) |
| Fair Value, Recurring | Level 3 | Cross currency swaps | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
| Derivative asset | 0.0 | |
| Derivative liability | 0.0 | |
| Fair Value, Recurring | Level 3 | Interest rate caps | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
| Derivative asset | 0.0 | 0.0 |
| Fair Value, Recurring | Level 3 | Foreign currency forward contracts, net liability | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
| Derivative asset | 0.0 | 0.0 |
| Fair Value, Recurring | Level 3 | Interest rate swaps, net liability | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
| Derivative liability | $ 0.0 | $ 0.0 |
FAIR VALUE MEASUREMENTS AND OTHER FINANCIAL INSTRUMENTS - Additional information (Details) - USD ($) $ in Millions |
Dec. 31, 2022 |
Dec. 31, 2021 |
|---|---|---|
| Fair Value Disclosures [Abstract] | ||
| Contingent consideration liability | $ 0.2 | $ 4.6 |
FAIR VALUE MEASUREMENTS AND OTHER FINANCIAL INSTRUMENTS - Debt and Preferred Equity Certificates fair values (Details) - USD ($) $ in Millions |
Dec. 31, 2022 |
Dec. 31, 2021 |
|---|---|---|
| Carrying Amount | ||
| Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
| Debt and Preferred Equity Certificates | $ 1,947.9 | $ 1,956.4 |
| Carrying Amount | 2021 U.S. Dollar Term Loan | Secured Debt | ||
| Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
| Debt | 1,453.9 | 1,463.4 |
| Carrying Amount | 2021 Senior Notes | Senior Notes | ||
| Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
| Debt | 494.0 | 493.0 |
| Carrying Amount | Revolving Credit Facility | Line of credit | Revolving Credit Facility | ||
| Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
| Debt | 0.0 | 0.0 |
| Fair Value | ||
| Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
| Debt and Preferred Equity Certificates | 1,831.5 | 1,962.4 |
| Fair Value | 2021 U.S. Dollar Term Loan | Secured Debt | ||
| Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
| Debt | 1,433.0 | 1,464.9 |
| Fair Value | 2021 Senior Notes | Senior Notes | ||
| Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
| Debt | 398.5 | 497.5 |
| Fair Value | Revolving Credit Facility | Line of credit | Revolving Credit Facility | ||
| Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
| Debt | $ 0.0 | $ 0.0 |
RETIREMENT PLANS - Additional Information (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Retirement Benefits [Abstract] | |||
| Retirement savings plan costs | $ 1.3 | $ 1.5 | $ 1.5 |
| Other post-employment benefit plan liability | $ 1.7 | $ 2.1 | |
RETIREMENT PLANS - Projected Benefit Obligations and Plan Assets (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Change in benefit obligation: | |||
| Projected benefit obligation at beginning of period | $ 572.0 | $ 636.4 | $ 546.0 |
| Service cost | 5.5 | 6.0 | 6.0 |
| Interest cost | 4.5 | 2.6 | 4.2 |
| Participants' contributions | 2.2 | 2.3 | 2.4 |
| Benefits paid | (9.7) | (11.5) | (10.2) |
| Actuarial (gain) loss | (125.1) | (22.9) | 47.1 |
| Settlements | (4.8) | (1.1) | (8.2) |
| Foreign currency translation | (29.6) | (39.8) | 49.1 |
| Projected benefit obligation at end of period | 415.0 | 572.0 | 636.4 |
| Change in plan assets: | |||
| Fair value of plan assets at beginning of period | 446.7 | 430.5 | 378.1 |
| Actual return on plan assets | (76.2) | 40.8 | 22.2 |
| Settlements | (4.8) | (1.1) | (8.2) |
| Employer contributions | 8.4 | 11.9 | 12.0 |
| Participants' contributions | 2.2 | 2.3 | 2.4 |
| Benefits paid | (9.7) | (11.5) | (10.2) |
| Foreign currency translation | (21.5) | (26.2) | 34.2 |
| Fair value of plan assets at end of period | 345.1 | 446.7 | 430.5 |
| Unfunded status, net | 69.9 | 125.3 | 205.9 |
| Accumulated benefit obligation at end of period | 401.9 | 552.4 | 613.7 |
| Amounts recognized in the Consolidated Balance Sheet: | |||
| Other non-current assets | 5.3 | 4.5 | 0.2 |
| Other current liabilities | (2.9) | (2.5) | (3.0) |
| Other non-current liabilities | (72.3) | (127.3) | (203.1) |
| Net amount recognized | $ (69.9) | $ (125.3) | $ (205.9) |
RETIREMENT PLANS - Components of Net Periodic Benefit Cost (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Net periodic benefit cost: | |||
| Service cost | $ 5.5 | $ 6.0 | $ 6.0 |
| Interest cost | 4.5 | 2.6 | 4.2 |
| Expected return on plan assets | (17.1) | (17.2) | (17.2) |
| Amortization of prior service cost and net actuarial loss | (1.6) | (1.4) | (0.8) |
| Loss recognized during fiscal year due to settlement | 0.0 | 1.3 | 0.9 |
| Net periodic benefit cost | (8.7) | (8.7) | (6.9) |
| Changes in plan assets and benefit obligations recognized in other comprehensive loss: | |||
| Net actuarial (gain) loss, net | (125.1) | (22.9) | 47.1 |
| Loss recognized during fiscal year due to settlement | 0.1 | (0.1) | (0.9) |
| Prior Service Credit Amortized During Fiscal Year | 1.4 | 1.4 | 1.4 |
| Net Loss Amortized During Fiscal Year | (0.3) | (1.3) | (0.6) |
| Asset gain occurring during the year | 93.5 | (23.4) | (4.9) |
| Total (gain) loss recognized in other comprehensive loss | (30.4) | (46.3) | 42.1 |
| Total recognized in net periodic benefit cost and other comprehensive income | $ (39.1) | $ (55.0) | $ 35.2 |
| Defined Benefit Plan, Net Periodic Benefit Cost (Credit) Excluding Service Cost, Statement of Income or Comprehensive Income [Extensible Enumeration] | Other Nonoperating Income (Expense) | Other Nonoperating Income (Expense) | Other Nonoperating Income (Expense) |
RETIREMENT PLANS - Accumulated Benefit Obligation and Projected Benefit Obligation (Details) - USD ($) $ in Millions |
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|---|---|---|---|
| Retirement Benefits [Abstract] | |||
| Accumulated benefit obligation at end of period | $ 401.9 | $ 552.4 | $ 613.7 |
| Plans with PBO in excess of plan assets | |||
| PBO | 392.2 | 540.7 | |
| ABO | 380.4 | 522.9 | |
| Fair value of plan assets | 316.5 | 411.0 | |
| Plans with ABO in excess of plan assets | |||
| PBO | 391.0 | 539.5 | |
| ABO | 379.5 | 522.1 | |
| Fair value of plan assets | $ 315.4 | $ 409.8 |
RETIREMENT PLANS - Estimated Future Benefit Payments (Details) $ in Millions |
Dec. 31, 2022
USD ($)
|
|---|---|
| Retirement Benefits [Abstract] | |
| 2023 | $ 14.4 |
| 2024 | 15.2 |
| 2025 | 16.0 |
| 2026 | 17.0 |
| 2027 | 18.7 |
| 2028-2032 | $ 112.6 |
RETIREMENT PLANS - Assumptions (Details) |
12 Months Ended | |
|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
|
| Benefit obligations: | ||
| Discount rate | 3.40% | 1.00% |
| Rate of compensation increase | 2.50% | 2.00% |
| Pension increase rate | 1.90% | 1.30% |
| Benefit cost: | ||
| Discount rate | 1.00% | 0.60% |
| Expected long-term rate of return | 4.30% | 4.50% |
| Rate of compensation increase | 2.00% | 1.90% |
| Pension increase rate | 1.30% | 1.40% |
RETIREMENT PLANS - Targeted Asset by Category Percentages (Details) |
Dec. 31, 2022 |
|---|---|
| Defined Benefit Plan, Plan Assets, Category [Line Items] | |
| Total | 100.00% |
| Equity securities | |
| Defined Benefit Plan, Plan Assets, Category [Line Items] | |
| Total | 32.00% |
| Debt securities | |
| Defined Benefit Plan, Plan Assets, Category [Line Items] | |
| Total | 48.00% |
| Real estate | |
| Defined Benefit Plan, Plan Assets, Category [Line Items] | |
| Total | 9.00% |
| Other | |
| Defined Benefit Plan, Plan Assets, Category [Line Items] | |
| Total | 11.00% |
RETIREMENT PLANS - Fair Values by Asset Category (Details) - USD ($) $ in Millions |
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
Dec. 31, 2019 |
|---|---|---|---|---|
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | $ 345.1 | $ 446.7 | $ 430.5 | $ 378.1 |
| Level 1 | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 2.3 | 2.2 | ||
| Level 2 | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 306.2 | 402.0 | ||
| Level 3 | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 36.6 | 42.5 | $ 42.2 | |
| Cash and cash equivalents | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 1.6 | 1.5 | ||
| Cash and cash equivalents | Level 1 | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 1.5 | 1.4 | ||
| Cash and cash equivalents | Level 2 | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 0.1 | 0.1 | ||
| Cash and cash equivalents | Level 3 | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 0.0 | 0.0 | ||
| Fixed income funds | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 162.0 | 191.4 | ||
| Fixed income funds | Level 1 | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 0.7 | 0.7 | ||
| Fixed income funds | Level 2 | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 161.3 | 190.7 | ||
| Fixed income funds | Level 3 | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 0.0 | 0.0 | ||
| Equity funds | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 109.9 | 167.8 | ||
| Equity funds | Level 1 | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 0.1 | 0.1 | ||
| Equity funds | Level 2 | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 109.8 | 167.7 | ||
| Equity funds | Level 3 | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 0.0 | 0.0 | ||
| Real estate | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 30.3 | 38.1 | ||
| Real estate | Level 1 | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 0.0 | 0.0 | ||
| Real estate | Level 2 | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 30.3 | 38.1 | ||
| Real estate | Level 3 | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 0.0 | 0.0 | ||
| Other | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 41.3 | 47.9 | ||
| Other | Level 1 | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 0.0 | 0.0 | ||
| Other | Level 2 | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | 4.7 | 5.4 | ||
| Other | Level 3 | ||||
| Defined Benefit Plan, Plan Assets, Category [Line Items] | ||||
| Total | $ 36.6 | $ 42.5 |
RETIREMENT PLANS - Activity of Plan Assets (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Defined Benefit Plan, Change in Fair Value of Plan Assets, Level 3 Reconciliation [Roll Forward] | |||
| Fair value of plan assets at beginning of period | $ 446.7 | $ 430.5 | $ 378.1 |
| Foreign exchange loss | 21.5 | 26.2 | (34.2) |
| Fair value of plan assets at end of period | 345.1 | 446.7 | 430.5 |
| Level 3 | |||
| Defined Benefit Plan, Change in Fair Value of Plan Assets, Level 3 Reconciliation [Roll Forward] | |||
| Fair value of plan assets at beginning of period | 42.5 | 42.2 | |
| Gains (losses) on assets still held at year-end | (1.8) | 4.6 | |
| Purchases, sales, issuances and settlements | (1.6) | (1.5) | |
| Transfers in and/or out of Level 3 | 0.1 | 0.1 | |
| Foreign exchange loss | (2.6) | (2.9) | |
| Fair value of plan assets at end of period | $ 36.6 | $ 42.5 | $ 42.2 |
INCOME TAXES - U.S. and non-U.S. components of earnings (loss) before income tax provision (benefit) (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Income Tax Disclosure [Abstract] | |||
| U.S. | $ (186.8) | $ (83.5) | $ (5.6) |
| Non-U.S. | 1.3 | (66.0) | (23.7) |
| Loss before income tax provision (benefit) | $ (185.5) | $ (149.5) | $ (29.3) |
INCOME TAXES - Components of income tax provision (benefit) (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Current: | |||
| U.S. | $ (20.5) | $ 11.0 | $ 1.5 |
| Non-U.S. | 30.5 | 39.6 | 36.5 |
| Total current expense | 10.0 | 50.6 | 38.0 |
| Deferred: | |||
| U.S. | (24.6) | (2.9) | (37.1) |
| Non-U.S. | (1.6) | (22.4) | 8.3 |
| Total deferred tax benefit | (26.2) | (25.3) | (28.8) |
| Income tax provision (benefit) | $ (16.2) | $ 25.3 | $ 9.2 |
INCOME TAXES - Reconciliation of income taxes to statutory provision (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Income Tax Disclosure [Abstract] | |||
| Statutory provision (benefit) | $ (35.2) | $ (28.4) | $ (7.3) |
| U.S. state income taxes, net of federal benefit | (3.0) | 0.3 | (9.7) |
| Foreign earnings taxed at different rates | (4.8) | (1.5) | 2.1 |
| Permanent differences | (6.3) | 1.9 | 0.8 |
| Share-based compensation | 9.0 | 15.6 | 16.9 |
| Net change in valuation allowance | 35.9 | 23.8 | (6.5) |
| Audit settlements and changes to unrecognized tax benefits | (25.1) | 0.6 | (10.3) |
| Deferred tax asset adjustments | 3.7 | 2.8 | 5.2 |
| Net change in estimate of prior period tax | (0.3) | 0.1 | (4.6) |
| Change in tax laws | 1.2 | 3.7 | 14.5 |
| Withholding taxes | 5.0 | 6.8 | 8.8 |
| Other | 3.7 | (0.4) | (0.7) |
| Income tax provision (benefit) | $ (16.2) | $ 25.3 | $ 9.2 |
INCOME TAXES - Additional information (Details) - USD ($) $ in Millions |
12 Months Ended | |||
|---|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
Dec. 31, 2019 |
|
| Operating Loss Carryforwards [Line Items] | ||||
| Statutory provision (benefit) | $ (35.2) | $ (28.4) | $ (7.3) | |
| Income tax provision | (16.2) | 25.3 | 9.2 | |
| Income tax expense (benefit) for change in valuation allowance | 35.9 | 23.8 | (6.5) | |
| Unfavorable (favorable) change from audit settlements and changes to unrecognized tax benefits | (25.1) | 0.6 | (10.3) | |
| Income tax expense related to non-deductible share-based compensation | 9.0 | 15.6 | 16.9 | |
| Income tax expense driven by changes to tax laws | 1.2 | 3.7 | 14.5 | |
| Net operating loss, tax effected | 140.8 | 99.5 | ||
| Unrecognized tax benefits | 39.0 | 63.7 | 60.1 | $ 74.9 |
| Unrecognized tax benefits that would affect effective tax rate | 25.2 | 46.3 | $ 42.9 | |
| Unrecognized tax benefits, accrued interest and penalties | 4.6 | 6.6 | ||
| Reduction in unrecognized tax benefits reasonably possible | 2.6 | |||
| Tax receivable agreement liability | 204.5 | 238.1 | ||
| Tax receivable agreement | 1.6 | 0.0 | ||
| Tax receivable agreement | 202.9 | $ 238.1 | ||
| Research and development credits | ||||
| Operating Loss Carryforwards [Line Items] | ||||
| Tax credits | 1.1 | |||
| U.S. Federal | ||||
| Operating Loss Carryforwards [Line Items] | ||||
| Net operating loss | 159.7 | |||
| Net operating loss, tax effected | 33.5 | |||
| U.S. Federal | Foreign tax credits | ||||
| Operating Loss Carryforwards [Line Items] | ||||
| Tax credits | 10.6 | |||
| Tax credits, valuation allowance | 7.9 | |||
| U.S. State | ||||
| Operating Loss Carryforwards [Line Items] | ||||
| Net operating loss | 364.8 | |||
| Net operating loss, tax effected | 22.6 | |||
| Net operating loss, valuation allowance | 16.1 | |||
| Non-U.S. | ||||
| Operating Loss Carryforwards [Line Items] | ||||
| Net operating loss | 338.3 | |||
| Net operating loss, tax effected | 84.7 | |||
| Net operating loss, valuation allowance | $ 8.8 | |||
| LIBOR | ||||
| Operating Loss Carryforwards [Line Items] | ||||
| TRA interest due on past due amounts, basis spread on variable interest rate | 3.00% | |||
| TRA interest due on past due amounts, floor interest rate | 0.0050 | |||
INCOME TAXES - Deferred tax balances (Details) - USD ($) $ in Millions |
Dec. 31, 2022 |
Dec. 31, 2021 |
|---|---|---|
| Deferred Tax Assets | ||
| Accruals not yet deductible for tax purposes | $ 47.5 | $ 45.2 |
| Net operating loss carryforwards | 140.8 | 99.5 |
| U.S., non-U.S. and state tax credits | 11.4 | 11.7 |
| Employee benefit items | 13.7 | 32.1 |
| Intercompany losses | 35.6 | 36.2 |
| Interest carryforward | 119.0 | 95.5 |
| Lease liability | 27.8 | 24.0 |
| Other | 9.7 | 17.2 |
| Gross deferred tax assets | 405.5 | 361.4 |
| Less: Valuation allowance | (134.5) | (97.9) |
| Total deferred tax assets | 271.0 | 263.5 |
| Deferred Tax Liabilities | ||
| Depreciation and amortization | (42.7) | (37.3) |
| Unremitted foreign earnings | (1.7) | (1.5) |
| Intangibles | (313.7) | (327.2) |
| Hedging instruments | (13.5) | 0.0 |
| Other | (12.1) | (10.0) |
| Total deferred tax liabilities | (383.7) | (376.0) |
| Net deferred tax liability | $ (112.7) | $ (112.5) |
INCOME TAXES - Activity related to gross unrecognized tax benefits (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
| Balance at beginning of period | $ 63.7 | $ 60.1 | $ 74.9 |
| Gross increases - tax positions in current period | 0.0 | 2.5 | 0.0 |
| Gross increases - tax positions in prior periods | 0.0 | 5.4 | 0.0 |
| Decreases from settlements with tax authorities | 0.0 | 0.0 | (13.2) |
| Lapse of statute of limitations | (24.7) | (4.3) | (1.6) |
| Balance at end of period | $ 39.0 | $ 63.7 | $ 60.1 |
RELATED PARTY TRANSACTIONS (Details) - Affiliated entity - Bain Capital - USD ($) |
12 Months Ended | ||||
|---|---|---|---|---|---|
Mar. 29, 2021 |
Sep. 06, 2017 |
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Related Party Transaction [Line Items] | |||||
| Fees due to related party | $ 0 | $ 0 | |||
| Management Fee | |||||
| Related Party Transaction [Line Items] | |||||
| Annual management fee | $ 7,500,000 | ||||
| Payment for termination of management agreement | $ 17,500,000 | ||||
| Related party expense | 19,400,000 | $ 7,500,000 | |||
| Consulting fees | |||||
| Related Party Transaction [Line Items] | |||||
| Related party expense | $ 4,100,000 | $ 2,300,000 | $ 9,800,000 | ||
SHARE-BASED COMPENSATION - Narrative (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Mar. 24, 2021 |
|
| Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
| Shares reserved for issuance | 15,000,000 | ||
| Modification of share-based awards | $ 68.1 | ||
| Unrecognized compensation expense | $ 42.8 | ||
| Award performance period | 3 years | ||
| Additional Paid-in Capital | |||
| Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
| Modification of share-based awards | $ 68.1 | ||
| Restricted Shares | |||
| Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
| Unrecognized compensation expense | $ 20.8 | ||
| Unrecognized compensation expense, period of recognition | 1 year 9 months 10 days | ||
| Restricted share units | |||
| Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
| Unrecognized compensation expense | $ 13.6 | ||
| Unrecognized compensation expense, period of recognition | 1 year 11 months 15 days | ||
| Cash-settled restricted stock units | |||
| Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
| Award vesting period | 3 years | ||
| Performance share units | |||
| Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
| Unrecognized compensation expense | $ 6.5 | ||
| Unrecognized compensation expense, period of recognition | 2 years | ||
| Share options | |||
| Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
| Unrecognized compensation expense | $ 1.9 | ||
| Unrecognized compensation expense, period of recognition | 2 years 1 month 6 days | ||
| Award vesting period | 10 years | ||
SHARE-BASED COMPENSATION - Expense by Location (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||
| Share-based compensation expense | $ 56.2 | $ 115.2 | $ 67.5 |
| Cost of sales | |||
| Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||
| Share-based compensation expense | (0.3) | 7.5 | 0.0 |
| Selling, general and administrative expenses | |||
| Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||
| Share-based compensation expense | $ 56.5 | $ 107.7 | $ 67.5 |
SHARE-BASED COMPENSATION - Expense by Award Type (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||
| Share-based compensation expense | $ 56.2 | $ 115.2 | $ 67.5 |
| Management equity incentive plan | |||
| Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||
| Share-based compensation expense | 0.0 | 37.5 | 67.5 |
| Restricted Shares | |||
| Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||
| Share-based compensation expense | 40.2 | 35.2 | 0.0 |
| Restricted share units | |||
| Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||
| Share-based compensation expense | 10.5 | 9.0 | 0.0 |
| Performance share units | |||
| Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||
| Share-based compensation expense | 3.2 | 0.0 | 0.0 |
| Share options | |||
| Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||
| Share-based compensation expense | 0.9 | 0.0 | 0.0 |
| Cash-settled long-term incentive plan | |||
| Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||
| Share-based compensation expense | 1.7 | 30.2 | 0.0 |
| Cash-settled restricted share units | |||
| Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||
| Share-based compensation expense | $ (0.3) | $ 3.3 | $ 0.0 |
SHARE-BASED COMPENSATION - Non-Option Activity (Details) |
12 Months Ended |
|---|---|
|
Dec. 31, 2022
$ / shares
shares
| |
| Restricted Shares | |
| Number of Awards | |
| Nonvested (shares) | shares | 5,729,925 |
| Granted (shares) | shares | 0 |
| Vested (shares) | shares | (3,105,535) |
| Forfeited (shares) | shares | (12,779) |
| Nonvested (shares) | shares | 2,611,611 |
| Weighted Average Grant Date Fair Value | |
| Unvested (usd per share) | $ / shares | $ 15.00 |
| Granted (usd per share) | $ / shares | 0 |
| Vested (usd per share) | $ / shares | 15.00 |
| Forfeited (usd per share) | $ / shares | 15.00 |
| Unvested (usd per share) | $ / shares | $ 15.00 |
| Restricted share units | |
| Number of Awards | |
| Nonvested (shares) | shares | 1,455,150 |
| Granted (shares) | shares | 1,187,073 |
| Vested (shares) | shares | (138,036) |
| Forfeited (shares) | shares | (142,277) |
| Nonvested (shares) | shares | 2,361,910 |
| Weighted Average Grant Date Fair Value | |
| Unvested (usd per share) | $ / shares | $ 15.01 |
| Granted (usd per share) | $ / shares | 10.30 |
| Vested (usd per share) | $ / shares | 14.80 |
| Forfeited (usd per share) | $ / shares | 13.04 |
| Unvested (usd per share) | $ / shares | $ 13.10 |
| Performance share units | |
| Number of Awards | |
| Nonvested (shares) | shares | 0 |
| Granted (shares) | shares | 911,075 |
| Vested (shares) | shares | 0 |
| Forfeited (shares) | shares | (64,709) |
| Nonvested (shares) | shares | 846,366 |
| Weighted Average Grant Date Fair Value | |
| Unvested (usd per share) | $ / shares | $ 0 |
| Granted (usd per share) | $ / shares | 11.37 |
| Vested (usd per share) | $ / shares | 0 |
| Forfeited (usd per share) | $ / shares | 11.32 |
| Unvested (usd per share) | $ / shares | $ 11.37 |
SHARE-BASED COMPENSATION - Weighted Average Assumptions and Valuations (Details) - Share options |
12 Months Ended |
|---|---|
|
Dec. 31, 2022
$ / shares
| |
| Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
| Expected volatility | 52.34% |
| Expected dividend yield | 0.00% |
| Expected life (in years) | 8 years 4 months 24 days |
| Risk-free interest rate | 1.42% |
| Weighted-average grant date fair value | $ 10.73 |
SHARE-BASED COMPENSATION - Summary of Share Option Activity (Details) - Share options $ / shares in Units, $ in Millions |
12 Months Ended |
|---|---|
|
Dec. 31, 2022
USD ($)
$ / shares
shares
| |
| Shares | |
| Stock options outstanding beginning balance (in shares) | shares | 0 |
| Stock options granted (in shares) | shares | 491,555 |
| Stock options exercised (in shares) | shares | 0 |
| Stock options forfeited and expired (in shares) | shares | (26,276) |
| Stock options outstanding ending balance (in shares) | shares | 465,279 |
| Stock options exercisable (in shares) | shares | 0 |
| Stock options expected to vest (in shares) | shares | 465,279 |
| Weighted-Average Exercise Price | |
| Stock options outstanding beginning balance (usd per shares) | $ / shares | $ 0 |
| Stock options granted, exercise price (usd per share) | $ / shares | 10.71 |
| Stock options granted (usd per share) | $ / shares | 0 |
| Stock options forfeited and expired (usd per share) | $ / shares | 10.73 |
| Stock options outstanding ending balance (usd per shares) | $ / shares | 10.70 |
| Stock options exercisable (usd per share) | $ / shares | 0 |
| Stock options expected to vest (usd per share) | $ / shares | $ 10.70 |
| Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Additional Disclosures [Abstract] | |
| Stock options, intrinsic value | $ | $ 0.0 |
| Stock options exercisable, intrinsic value | $ | 0.0 |
| Stock options expected to vest, intrinsic value | $ | $ 0.0 |
| Stock options outstanding weighted average remaining term (in years) | 9 years 1 month 6 days |
| Stock options expected to vest weighted average remaining term (in years) | 9 years 1 month 6 days |
RESTRUCTURING AND EXIT ACTIVITIES - Expense (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Restructuring Cost and Reserve [Line Items] | |||
| Restructuring charges | $ 48.7 | $ 38.4 | $ 32.1 |
| Accrual and accrual adjustments | 48.7 | 38.4 | |
| Provision for lease receivables | |||
| Restructuring Cost and Reserve [Line Items] | |||
| Restructuring charges | (2.3) | 15.7 | 0.0 |
| Accrual and accrual adjustments | (2.3) | 15.7 | |
| Facilities | |||
| Restructuring Cost and Reserve [Line Items] | |||
| Restructuring charges | 27.1 | 4.1 | 0.0 |
| Accrual and accrual adjustments | 4.1 | ||
| Employee termination benefits | |||
| Restructuring Cost and Reserve [Line Items] | |||
| Restructuring charges | 20.0 | 9.0 | 25.6 |
| Accrual and accrual adjustments | 23.9 | 18.6 | |
| Other | |||
| Restructuring Cost and Reserve [Line Items] | |||
| Restructuring charges | 3.9 | $ 9.6 | $ 6.5 |
| 2021 restructuring plan | |||
| Restructuring Cost and Reserve [Line Items] | |||
| Expected restructuring costs | 138.0 | ||
| Total restructuring expenses charged over life of project | 120.0 | ||
| Restructuring charges | 111.9 | ||
| Remaining restructuring costs | 18.5 | ||
| 2021 restructuring plan | Cost of sales | |||
| Restructuring Cost and Reserve [Line Items] | |||
| Restructuring charges | 84.8 | ||
| 2021 restructuring plan | Restructuring Charges | |||
| Restructuring Cost and Reserve [Line Items] | |||
| Restructuring charges | 27.1 | ||
| 2021 restructuring plan | Facilities | |||
| Restructuring Cost and Reserve [Line Items] | |||
| Accrual and accrual adjustments | $ 27.1 | ||
RESTRUCTURING AND EXIT ACTIVITIES - Accrual (Details) - USD ($) $ in Millions |
12 Months Ended | |
|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
|
| Restructuring Cost and Reserve [Line Items] | ||
| Balance | $ 33.0 | $ 26.3 |
| Accrual and accrual adjustments | 48.7 | 38.4 |
| Cash payments during period | (40.3) | (31.1) |
| Write-offs | 0.0 | (0.4) |
| Foreign currency translation | 0.0 | (0.2) |
| Balance | 41.4 | 33.0 |
| Provision for lease receivables | ||
| Restructuring Cost and Reserve [Line Items] | ||
| Balance | 15.7 | 0.0 |
| Accrual and accrual adjustments | (2.3) | 15.7 |
| Cash payments during period | 0.0 | 0.0 |
| Write-offs | 0.0 | 0.0 |
| Foreign currency translation | 0.0 | 0.0 |
| Balance | 13.4 | 15.7 |
| Facilities | ||
| Restructuring Cost and Reserve [Line Items] | ||
| Balance | 0.6 | 0.0 |
| Accrual and accrual adjustments | 4.1 | |
| Cash payments during period | (27.7) | (3.1) |
| Write-offs | 0.0 | (0.4) |
| Foreign currency translation | 0.0 | 0.0 |
| Balance | 0.0 | 0.6 |
| Employee termination benefits | ||
| Restructuring Cost and Reserve [Line Items] | ||
| Balance | 16.7 | 26.3 |
| Accrual and accrual adjustments | 23.9 | 18.6 |
| Cash payments during period | (12.6) | (28.0) |
| Write-offs | 0.0 | 0.0 |
| Foreign currency translation | 0.0 | (0.2) |
| Balance | $ 28.0 | $ 16.7 |
RESTRUCTURING AND EXIT ACTIVITIES - Restructuring charges by segment (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Restructuring Cost and Reserve [Line Items] | |||
| Restructuring charges | $ 48.7 | $ 38.4 | $ 32.1 |
| Operating segments | Institutional | |||
| Restructuring Cost and Reserve [Line Items] | |||
| Restructuring charges | 36.6 | 41.1 | 28.5 |
| Operating segments | Food & Beverage | |||
| Restructuring Cost and Reserve [Line Items] | |||
| Restructuring charges | 0.5 | 1.3 | 0.8 |
| Corporate/Unallocated | |||
| Restructuring Cost and Reserve [Line Items] | |||
| Restructuring charges | $ 11.6 | $ (4.0) | $ 2.8 |
ACCUMULATED OTHER COMPREHENSIVE LOSS (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
| Balance | $ 785.6 | $ (508.6) | $ (321.2) |
| Other comprehensive income (loss) before reclassifications | (47.5) | 41.0 | |
| Amounts reclassified from AOCI to net loss | 49.4 | 14.7 | |
| Other comprehensive (loss) income | 1.9 | 55.7 | (148.2) |
| Balance | 673.0 | 785.6 | (508.6) |
| Accumulated Other Comprehensive Loss | |||
| AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
| Balance | (157.0) | (212.7) | (64.5) |
| Balance | (155.1) | (157.0) | (212.7) |
| Unrecognized Pension Items | |||
| AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
| Balance | (6.6) | (42.6) | |
| Other comprehensive income (loss) before reclassifications | 23.0 | 36.1 | |
| Amounts reclassified from AOCI to net loss | (1.3) | (0.1) | |
| Other comprehensive (loss) income | 21.7 | 36.0 | |
| Balance | 15.1 | (6.6) | (42.6) |
| Hedging Activities | |||
| AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
| Balance | (2.7) | (16.0) | |
| Other comprehensive income (loss) before reclassifications | 17.5 | (1.5) | |
| Amounts reclassified from AOCI to net loss | 50.7 | 14.8 | |
| Other comprehensive (loss) income | 68.2 | 13.3 | |
| Balance | 65.5 | (2.7) | (16.0) |
| Cumulative Translation Adjustment | |||
| AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
| Balance | (147.7) | (154.1) | |
| Other comprehensive income (loss) before reclassifications | (88.0) | 6.4 | |
| Amounts reclassified from AOCI to net loss | 0.0 | 0.0 | |
| Other comprehensive (loss) income | (88.0) | 6.4 | |
| Balance | $ (235.7) | $ (147.7) | $ (154.1) |
ACCUMULATED OTHER COMPREHENSIVE LOSS - Reclassifications (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
| Total pre-tax amount | $ (185.5) | $ (149.5) | $ (29.3) |
| Tax expense (benefit) | 16.2 | (25.3) | (9.2) |
| Net loss | (169.3) | (174.8) | $ (38.5) |
| Reclassification out of Accumulated Other Comprehensive Income | |||
| Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
| Net loss | 40.0 | 11.9 | |
| Reclassification out of Accumulated Other Comprehensive Income | Defined benefit plans and other post-employment benefits: | |||
| Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
| Total pre-tax amount | (1.3) | (0.1) | |
| Tax expense (benefit) | 0.2 | 0.0 | |
| Net loss | (1.1) | (0.1) | |
| Reclassification out of Accumulated Other Comprehensive Income | Prior service costs | |||
| Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
| Total pre-tax amount | (1.4) | (1.4) | |
| Reclassification out of Accumulated Other Comprehensive Income | Actuarial gain | |||
| Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
| Total pre-tax amount | 0.1 | 1.3 | |
| Reclassification out of Accumulated Other Comprehensive Income | Reclassifications from unrealized gains/losses from hedging activities: | |||
| Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
| Total pre-tax amount | 50.7 | 14.8 | |
| Tax expense (benefit) | (9.6) | (2.8) | |
| Net loss | 41.1 | 12.0 | |
| Reclassification out of Accumulated Other Comprehensive Income | Reclassifications from unrealized gains/losses from hedging activities: | Cross currency swaps | |||
| Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
| Total pre-tax amount | 52.1 | 16.7 | |
| Reclassification out of Accumulated Other Comprehensive Income | Reclassifications from unrealized gains/losses from hedging activities: | Interest rate swaps, net liability | |||
| Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
| Total pre-tax amount | (6.3) | (1.8) | |
| Reclassification out of Accumulated Other Comprehensive Income | Reclassifications from unrealized gains/losses from hedging activities: | Interest rate caps | |||
| Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
| Total pre-tax amount | 3.9 | (0.1) | |
| Reclassification out of Accumulated Other Comprehensive Income | Reclassifications from unrealized gains/losses from hedging activities: | Foreign currency forward contracts, net liability | |||
| Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
| Total pre-tax amount | $ 1.0 | $ 0.0 | |
SEGMENTS - Net sales and Adjusted EBITDA (Details) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
|
Dec. 31, 2022
USD ($)
segment
|
Dec. 31, 2021
USD ($)
|
Dec. 31, 2020
USD ($)
|
|
| Segment Reporting [Abstract] | |||
| Number of reportable segments | segment | 2 | ||
| Segment Reporting Information [Line Items] | |||
| Net sales | $ 2,765.9 | $ 2,618.9 | $ 2,629.2 |
| Adjusted EBITDA for reportable segments | 361.3 | 453.5 | 448.3 |
| Institutional | |||
| Segment Reporting Information [Line Items] | |||
| Net sales | 1,951.5 | 1,918.4 | 1,995.3 |
| Adjusted EBITDA for reportable segments | 264.8 | 319.8 | 336.4 |
| Food & Beverage | |||
| Segment Reporting Information [Line Items] | |||
| Net sales | 814.4 | 700.5 | 633.9 |
| Adjusted EBITDA for reportable segments | $ 96.5 | $ 133.7 | $ 111.9 |
SEGMENTS - Reconciliation of Adjusted EBITDA (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Segment Reporting Information [Line Items] | |||
| Adjusted EBITDA for reportable segments | $ 361.3 | $ 453.5 | $ 448.3 |
| Interest expense | (112.0) | (126.3) | (127.7) |
| Interest income | 4.8 | 9.9 | 5.9 |
| Amortization expense of intangible assets acquired | (90.2) | (96.7) | (98.2) |
| Transition and transformation costs and non-recurring costs | (51.3) | (45.8) | (37.0) |
| Restructuring and exit costs | (48.7) | (38.4) | (32.1) |
| Foreign currency (loss) gain related to Argentina subsidiaries | 1.9 | 2.1 | (1.6) |
| Adjustment to tax indemnification asset | (4.7) | (6.9) | (2.8) |
| BAIN Capital management fee | 0.0 | (19.4) | (7.5) |
| Non-cash pension and other post-employment benefit plan | 14.2 | 15.7 | 12.9 |
| Foreign currency exchange loss (gain) | 5.9 | (12.9) | 25.1 |
| Factoring and securitization fees | (5.7) | (4.7) | (4.3) |
| Share-based incentive compensation | (56.2) | (115.2) | (67.5) |
| Tax receivable agreement adjustments | 22.6 | 10.1 | 0.0 |
| Loss on extinguishment of debt | 0.0 | (15.6) | 0.0 |
| Realized foreign currency exchange loss on debt financing | (4.5) | ||
| Loss before income tax provision (benefit) | (185.5) | (149.5) | (29.3) |
| Operating segments | |||
| Segment Reporting Information [Line Items] | |||
| Adjusted EBITDA for reportable segments | 361.3 | 453.5 | 448.3 |
| Corporate | |||
| Segment Reporting Information [Line Items] | |||
| Corporate costs | (31.2) | (43.4) | (47.1) |
| Restructuring and exit costs | (11.6) | 4.0 | (2.8) |
| Reconciling items | |||
| Segment Reporting Information [Line Items] | |||
| Interest expense | (112.0) | (126.3) | (127.7) |
| Interest income | 4.8 | 9.9 | 5.9 |
| Amortization expense of intangible assets acquired | (90.2) | (96.7) | (98.2) |
| Depreciation expense included in cost of sales | (80.3) | (82.7) | (89.5) |
| Depreciation expense included in selling, general and administrative expenses | (10.0) | (8.1) | (7.9) |
| Transition and transformation costs and non-recurring costs | (51.3) | (45.8) | (37.0) |
| Restructuring and exit costs | (48.7) | (38.4) | (32.1) |
| Other costs related to facilities consolidations | (84.8) | 0.0 | 0.0 |
| Foreign currency (loss) gain related to Argentina subsidiaries | 1.9 | 2.1 | (1.6) |
| Adjustment to tax indemnification asset | (4.7) | (6.9) | (2.8) |
| Acquisition accounting adjustments | (1.3) | 0.0 | 0.0 |
| BAIN Capital management fee | 0.0 | (19.4) | (7.5) |
| Non-cash pension and other post-employment benefit plan | 14.2 | 15.7 | 12.9 |
| Foreign currency exchange loss (gain) | 5.9 | (12.9) | 25.1 |
| Factoring and securitization fees | (5.7) | (4.7) | (4.3) |
| Share-based incentive compensation | (56.2) | (115.2) | (67.5) |
| Tax receivable agreement adjustments | 22.6 | 10.1 | 0.0 |
| Loss on extinguishment of debt | 0.0 | (15.6) | 0.0 |
| Realized foreign currency exchange loss on debt financing | 0.0 | (4.5) | 0.0 |
| COVID-19 inventory charges | (18.3) | (13.9) | 0.0 |
| Other items | $ (1.5) | $ (6.3) | $ 1.7 |
SEGMENTS - Assets (Details) - USD ($) $ in Millions |
Dec. 31, 2022 |
Dec. 31, 2021 |
|---|---|---|
| Segment Reporting Information [Line Items] | ||
| Assets | $ 4,254.7 | $ 4,300.0 |
| Corporate | ||
| Segment Reporting Information [Line Items] | ||
| Assets | 3,442.7 | 3,548.1 |
| Institutional | Operating segments | ||
| Segment Reporting Information [Line Items] | ||
| Assets | 576.6 | 557.8 |
| Food & Beverage | Operating segments | ||
| Segment Reporting Information [Line Items] | ||
| Assets | $ 235.4 | $ 194.1 |
SEGMENTS - Net sales, long-lived assets and right of use assets by geographic region (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Revenues from External Customers and Long-Lived Assets [Line Items] | |||
| Net sales | $ 2,765.9 | $ 2,618.9 | $ 2,629.2 |
| Long-lived assets and right of use assets | 1,513.7 | 1,602.2 | |
| Operating segments | |||
| Revenues from External Customers and Long-Lived Assets [Line Items] | |||
| Long-lived assets and right of use assets | 347.8 | 309.6 | |
| Europe | |||
| Revenues from External Customers and Long-Lived Assets [Line Items] | |||
| Net sales | 1,254.1 | 1,157.3 | 1,132.9 |
| Europe | Operating segments | |||
| Revenues from External Customers and Long-Lived Assets [Line Items] | |||
| Long-lived assets and right of use assets | 110.7 | 126.1 | |
| North America | |||
| Revenues from External Customers and Long-Lived Assets [Line Items] | |||
| Net sales | 668.2 | 708.7 | 784.2 |
| North America | Operating segments | |||
| Revenues from External Customers and Long-Lived Assets [Line Items] | |||
| Long-lived assets and right of use assets | 195.6 | 144.0 | |
| U.S. | |||
| Revenues from External Customers and Long-Lived Assets [Line Items] | |||
| Net sales | 524.3 | 503.5 | 610.9 |
| Long-lived assets and right of use assets | 241.9 | 123.6 | |
| Asia Pacific | |||
| Revenues from External Customers and Long-Lived Assets [Line Items] | |||
| Net sales | 350.8 | 338.3 | 326.2 |
| Asia Pacific | Operating segments | |||
| Revenues from External Customers and Long-Lived Assets [Line Items] | |||
| Long-lived assets and right of use assets | 18.2 | 14.5 | |
| Middle East & Africa | |||
| Revenues from External Customers and Long-Lived Assets [Line Items] | |||
| Net sales | 274.1 | 231.1 | 217.2 |
| Middle East & Africa | Operating segments | |||
| Revenues from External Customers and Long-Lived Assets [Line Items] | |||
| Long-lived assets and right of use assets | 7.0 | 10.6 | |
| Latin America | |||
| Revenues from External Customers and Long-Lived Assets [Line Items] | |||
| Net sales | 218.7 | 183.5 | $ 168.7 |
| Latin America | Operating segments | |||
| Revenues from External Customers and Long-Lived Assets [Line Items] | |||
| Long-lived assets and right of use assets | $ 16.3 | $ 14.4 | |
EARNINGS (LOSS) PER SHARE (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Earnings Per Share [Abstract] | |||
| Net loss attributable to common shareholders, Basic | $ (169.3) | $ (174.8) | $ (38.5) |
| Net loss attributable to common shareholders, Diluted | $ (169.3) | $ (174.8) | $ (38.5) |
| Basic weighted average shares outstanding (in shares) | 320.2 | 290.4 | 243.2 |
| Dilutive securities (in shares) | 0.0 | 0.0 | 0.0 |
| Diluted weighted average shares outstanding (in shares) | 320.2 | 290.4 | 243.2 |
| Basic loss per share (usd per share) | $ (0.53) | $ (0.60) | $ (0.16) |
| Diluted loss per share (usd per share) | $ (0.53) | $ (0.60) | $ (0.16) |
| Weighted average shares outstanding adjustment for shares exchanged (in shares) | 47.4 | 47.4 | 47.4 |
SUBSEQUENT EVENTS (Details) - Subsequent Event - USD ($) $ / shares in Units, $ in Millions |
Mar. 08, 2023 |
Feb. 21, 2023 |
|---|---|---|
| Merger Agreement | ||
| Subsequent Event [Line Items] | ||
| Termination fee | $ 92.0 | |
| NSS Enterprise Inc | ||
| Subsequent Event [Line Items] | ||
| Revenues, approximate annual amount | $ 20.0 | |
| Olympus Water Holdings IV, L.P. | Merger Agreement | ||
| Subsequent Event [Line Items] | ||
| Consideration transferred per share, cash (in dollars per share) | $ 8.40 | |
| Business acquisition, shareholder approval, percentage | 66.00% | |
| Termination fee | $ 125.0 | |
| Olympus Water Holdings IV, L.P. | Bain Capital | Merger Agreement | ||
| Subsequent Event [Line Items] | ||
| Consideration transferred per share, cash (in dollars per share) | $ 7.84 |
SCHEDULE II (Details) - USD ($) $ in Millions |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2022 |
Dec. 31, 2021 |
Dec. 31, 2020 |
|
| Allowance for trade receivables | |||
| SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
| Balance at Beginning of Year | $ 23.5 | $ 28.7 | $ 21.5 |
| Charged to Costs and Expenses | 3.2 | (1.2) | 9.7 |
| Deductions | (6.8) | (5.1) | (4.3) |
| Foreign Currency Translation and Other | 1.8 | 1.1 | 1.8 |
| Balance at End of Year | 21.7 | 23.5 | 28.7 |
| Allowance for trade receivables | Adoption of ASC 326 | |||
| SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
| Foreign Currency Translation and Other | 2.1 | ||
| Allowance for lease receivables | |||
| SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
| Balance at Beginning of Year | 20.7 | 6.4 | 0.0 |
| Charged to Costs and Expenses | (2.3) | 15.7 | 1.4 |
| Deductions | (5.6) | (1.1) | 0.0 |
| Foreign Currency Translation and Other | 1.4 | (0.3) | 5.0 |
| Balance at End of Year | 14.2 | 20.7 | 6.4 |
| Allowance for lease receivables | Adoption of ASC 326 | |||
| SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
| Foreign Currency Translation and Other | 5.1 | ||
| Inventory obsolescence reserve | |||
| SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
| Balance at Beginning of Year | 30.6 | 24.4 | 15.3 |
| Charged to Costs and Expenses | 17.2 | 12.0 | 13.4 |
| Deductions | (22.4) | (6.5) | (3.9) |
| Foreign Currency Translation and Other | 1.2 | 0.7 | (0.4) |
| Balance at End of Year | 26.6 | 30.6 | 24.4 |
| Valuation allowance on deferred tax assets | |||
| SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
| Balance at Beginning of Year | 97.9 | 79.5 | 102.1 |
| Charged to Costs and Expenses | 36.6 | 18.4 | (22.6) |
| Deductions | 0.0 | 0.0 | 0.0 |
| Foreign Currency Translation and Other | 0.0 | 0.0 | 0.0 |
| Balance at End of Year | $ 134.5 | $ 97.9 | $ 79.5 |
| Label | Element | Value |
|---|---|---|
| Accounting Standards Update [Extensible Enumeration] | us-gaap_AccountingStandardsUpdateExtensibleList | Accounting Standards Update 2016-13 [Member] |
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