Supplemental Guarantor Condensed Consolidating Financial Statements (Tables)

3 Months Ended

Mar. 31, 2019

Supplemental Guarantor Condensed Consolidating Financial Statements [Abstract]

Supplemental Guarantor Consolidating Income Statement [Table Text Block]



Condensed Consolidating Statements of Income
Three Months Ended March 31,
(in millions)
	Holdings			AAM Inc.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elims			Consolidated
2019
Net sales
External	$	—		$	282.2		$	538.4		$	898.6		$	—		$	1,719.2
Intercompany	—			0.7			68.7			10.6			(80.0		)	—
Total net sales	—			282.9			607.1			909.2			(80.0		)	1,719.2
Cost of goods sold	—			273.3			550.3			753.4			(80.0		)	1,497.0
Gross profit	—			9.6			56.8			155.8			—			222.2
Selling, general and administrative expenses	—			69.5			8.0			13.2			—			90.7
Amortization of intangible assets	—			1.5			22.6			0.9			—			25.0
Restructuring and acquisition-related costs	—			6.3			3.5			2.3			—			12.1
Operating income (loss)	—			(67.7		)	22.7			139.4			—			94.4
Non-operating income (expense), net	—			(58.8		)	2.9			0.2			—			(55.7		)
Income (loss) before income taxes	—			(126.5		)	25.6			139.6			—			38.7
Income tax expense (benefit)	—			(16.1		)	0.3			12.8			—			(3.0		)
Earnings from equity in subsidiaries	41.6			24.1			34.2			—			(99.9		)	—
Net income (loss) before royalties	41.6			(86.3		)	59.5			126.8			(99.9		)	41.7
Royalties	—			69.8			0.8			(70.6		)	—			—
Net income (loss) after royalties	41.6			(16.5		)	60.3			56.2			(99.9		)	41.7
Net income attributable to noncontrolling interests	—			—			—			(0.1		)	—			(0.1		)
Net income (loss) attributable to AAM	$	41.6		$	(16.5	)	$	60.3		$	56.1		$	(99.9	)	$	41.6
Other comprehensive income (loss), net of tax	(4.3		)	1.0			(2.3		)	(1.8		)	3.1			(4.3		)
Comprehensive income (loss) attributable to AAM	$	37.3		$	(15.5	)	$	58.0		$	54.3		$	(96.8	)	$	37.3




	Holdings		AAM Inc.			Guarantor Subsidiaries		Non-Guarantor Subsidiaries			Elims			Consolidated
2018
Net sales
External	$	—	$	301.5		$	582.3	$	974.6		$	—		$	1,858.4
Intercompany	—		1.0			78.0		9.5			(88.5		)	—
Total net sales	—		302.5			660.3		984.1			(88.5		)	1,858.4
Cost of goods sold	—		278.2			576.8		775.6			(88.5		)	1,542.1
Gross profit	—		24.3			83.5		208.5			—			316.3
Selling, general and administrative expenses	—		59.8			21.9		15.6			—			97.3
Amortization of intangible assets	—		1.5			22.6		0.8			—			24.9
Restructuring and acquisition-related costs	—		16.3			1.1		0.9			—			18.3
Operating income (loss)	—		(53.3		)	37.9		191.2			—			175.8
Non-operating income (expense), net	—		(70.5		)	5.0		(2.9		)	—			(68.4		)
Income (loss) before income taxes	—		(123.8		)	42.9		188.3			—			107.4
Income tax expense	—		1.1			0.4		16.4			—			17.9
Earnings from equity in subsidiaries	89.4		67.2			40.5		—			(197.1		)	—
Net income (loss) before royalties	89.4		(57.7		)	83.0		171.9			(197.1		)	89.5
Royalties	—		84.2			1.0		(85.2		)	—			—
Net income after royalties	89.4		26.5			84.0		86.7			(197.1		)	89.5
Net income attributable to noncontrolling interests	—		—			—		(0.1		)	—			(0.1		)
Net income attributable to AAM	$	89.4	$	26.5		$	84.0	$	86.6		$	(197.1	)	$	89.4
Other comprehensive income, net of tax	54.3		25.6			35.1		43.7			(104.4		)	54.3
Comprehensive income attributable to AAM	$	143.7	$	52.1		$	119.1	$	130.3		$	(301.5	)	$	143.7

Supplemental Guarantor Consolidating Balance Sheet [Table Text Block]



Condensed Consolidating Balance Sheets
(in millions)
	Holdings		AAM Inc.		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Elims			Consolidated
March 31, 2019
Assets
Current assets
Cash and cash equivalents	$	—	$	37.4	$	0.1	$	214.6	$	—		$	252.1
Accounts receivable, net	—		182.9		340.8		678.4		—			1,202.1
Intercompany receivables	—		3,517.8		2,894.1		110.4		(6,522.3		)	—
Inventories, net	—		42.6		163.7		246.2		—			452.5
Prepaid expenses and other	—		33.1		6.1		93.0		—			132.2
Total current assets	—		3,813.8		3,404.8		1,342.6		(6,522.3		)	2,038.9
Property, plant and equipment, net	—		282.0		746.9		1,508.7		—			2,537.6
Goodwill	—		—		719.0		419.3		—			1,138.3
Intangible assets, net	—		17.6		1,038.9		31.0		—			1,087.5
Intercompany notes and accounts receivable	—		1,324.0		180.1		—		(1,504.1		)	—
Other assets and deferred charges	—		330.0		170.7		312.5		—			813.2
Investment in subsidiaries	2,835.5		2,254.1		1,761.8		—		(6,851.4		)	—
Total assets	$	2,835.5	$	8,021.5	$	8,022.2	$	3,614.1	$	(14,877.8	)	$	7,615.5
Liabilities and Stockholders’ Equity
Current liabilities
Current portion of long-term debt	$	—	$	100.0	$	—	$	18.6	$	—		$	118.6
Accounts payable	—		130.5		253.8		497.8		—			882.1
Intercompany payables	—		2,341.5		4,159.0		21.8		(6,522.3		)	—
Accrued expenses and other	—		155.0		45.3		190.5		—			390.8
Total current liabilities	—		2,727.0		4,458.1		728.7		(6,522.3		)	1,391.5
Intercompany notes and accounts payable	1,311.6		27.9		—		164.6		(1,504.1		)	—
Long-term debt, net	—		3,574.5		—		104.4		—			3,678.9
Other long-term liabilities	—		499.7		300.5		221.1		—			1,021.3
Total liabilities	1,311.6		6,829.1		4,758.6		1,218.8		(8,026.4		)	6,091.7
Total AAM Stockholders’ equity	1,521.4		1,192.4		3,263.6		2,392.8		(6,848.9		)	1,521.3
Noncontrolling interests in subsidiaries	2.5		—		—		2.5		(2.5		)	2.5
Total stockholders’ equity	1,523.9		1,192.4		3,263.6		2,395.3		(6,851.4		)	1,523.8
Total liabilities and stockholders’ equity	$	2,835.5	$	8,021.5	$	8,022.2	$	3,614.1	$	(14,877.8	)	$	7,615.5




	Holdings		AAM Inc.		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Elims			Consolidated
December 31, 2018
Assets
Current assets
Cash and cash equivalents	$	—	$	36.7	$	0.2	$	439.5	$	—		$	476.4
Accounts receivable, net	—		122.7		287.7		556.1		—			966.5
Intercompany receivables	—		3,337.2		2,356.3		93.5		(5,787.0		)	—
Inventories, net	—		42.5		157.7		259.5		—			459.7
Prepaid expenses and other	—		34.4		6.0		86.8		—			127.2
Total current assets	—		3,573.5		2,807.9		1,435.4		(5,787.0		)	2,029.8
Property, plant and equipment, net	—		275.8		758.6		1,480.0		—			2,514.4
Goodwill	—		—		719.0		422.8		—			1,141.8
Intangible assets, net	—		18.6		1,059.6		32.9		—			1,111.1
Intercompany notes and accounts receivable	—		1,316.8		144.5		—		(1,461.3		)	—
Other assets and deferred charges	—		319.8		126.4		267.4		—			713.6
Investment in subsidiaries	2,790.5		2,241.5		1,748.7		—		(6,780.7		)	—
Total assets	$	2,790.5	$	7,746.0	$	7,364.7	$	3,638.5	$	(14,029.0	)	$	7,510.7
Liabilities and Stockholders’ Equity
Current liabilities
Current portion of long-term debt	$	—	$	100.0	$	—	$	21.6	$	—		$	121.6
Accounts payable	—		94.2		246.5		499.5		—			840.2
Intercompany payables	—		2,050.0		3,615.7		121.3		(5,787.0		)	—
Accrued expenses and other	—		169.0		35.8		190.2		—			395.0
Total current liabilities	—		2,413.2		3,898.0		832.6		(5,787.0		)	1,356.8
Intercompany notes and accounts payable	1,304.2		12.5		—		144.6		(1,461.3		)	—
Long-term debt, net	—		3,578.3		3.0		105.5		—			3,686.8
Other long-term liabilities	—		508.9		271.7		200.2		—			980.8
Total liabilities	1,304.2		6,512.9		4,172.7		1,282.9		(7,248.3		)	6,024.4
Total AAM Stockholders’ equity	1,483.9		1,233.1		3,192.0		2,353.2		(6,778.3		)	1,483.9
Noncontrolling interests in subsidiaries	2.4		—		—		2.4		(2.4		)	2.4
Total stockholders’ equity	1,486.3		1,233.1		3,192.0		2,355.6		(6,780.7		)	1,486.3
Total liabilities and stockholders’ equity	$	2,790.5	$	7,746.0	$	7,364.7	$	3,638.5	$	(14,029.0	)	$	7,510.7

Supplemental Guarantor Consolidating Statement of Cash Flows [Table Text Block]



Condensed Consolidating Statements of Cash Flows
Three Months Ended March 31,
(in millions)
	Holdings			AAM Inc.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elims		Consolidated
2019
Net cash provided by (used in) operating activities	$	—		$	27.8		$	47.6		$	(155.6	)	$	—	$	(80.2	)
Investing activities
Purchases of property, plant and equipment	—			(11.8		)	(41.4		)	(71.0		)	—		(124.2		)
Proceeds from sale of property, plant and equipment	—			—			0.3			—			—		0.3
Purchase buyouts of leased equipment	—			—			—			—			—		—
Intercompany activity	—			—			(6.4		)	6.4			—		—
Net cash used in investing activities	—			(11.8		)	(47.5		)	(64.6		)	—		(123.9		)
Financing activities
Net debt activity	—			(8.0		)	(0.2		)	(5.9		)	—		(14.1		)
Debt issuance costs	—			—			—			—			—		—
Purchase of treasury stock	(7.3		)	—			—			—			—		(7.3		)
Intercompany activity	7.3			(7.3		)	—			—			—		—
Net cash used in financing activities	—			(15.3		)	(0.2		)	(5.9		)	—		(21.4		)
Effect of exchange rate changes on cash	—			—			—			1.2			—		1.2
Net increase (decrease) in cash, cash equivalents and restricted cash	—			0.7			(0.1		)	(224.9		)	—		(224.3		)
Cash, cash equivalents and restricted cash at beginning of period	—			36.7			2.7			439.5			—		478.9
Cash, cash equivalents and restricted cash at end of period	$	—		$	37.4		$	2.6		$	214.6		$	—	$	254.6




	Holdings			AAM Inc.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Elims		Consolidated
2018
Net cash provided by (used in) operating activities	$	—		$	46.5		$	39.0		$	(18.6	)	$	—	$	66.9
Investing activities
Purchases of property, plant and equipment	—			(21.5		)	(37.6		)	(71.7		)	—		(130.8		)
Proceeds from sale of property, plant and equipment	—			—			0.3			0.1			—		0.4
Purchase buyouts of leased equipment	—			—			(0.5		)	—			—		(0.5		)
Acquisition of business, net of cash acquired	—			—			—			(1.3		)	—		(1.3		)
Intercompany activity	—			(0.1		)	0.1			—			—		—
Net cash used in investing activities	—			(21.6		)	(37.7		)	(72.9		)	—		(132.2		)
Financing activities
Net debt activity	—			8.9			(0.2		)	25.8			—		34.5
Debt issuance costs	—			(6.8		)	—			—			—		(6.8		)
Purchase of treasury stock	(3.5		)	—			—			—			—		(3.5		)
Purchase of noncontrolling interest	—			—			(0.9		)	—			—		(0.9		)
Intercompany activity	3.5			(3.5		)	—			—			—		—
Net cash provided by (used in) financing activities	—			(1.4		)	(1.1		)	25.8			—		23.3
Effect of exchange rate changes on cash	—			—			—			5.9			—		5.9
Net increase (decrease) in cash, cash equivalents and restricted cash	—			23.5			0.2			(59.8		)	—		(36.1		)
Cash, cash equivalents and restricted cash at beginning of period	—			91.9			0.1			284.8			—		376.8
Cash, cash equivalents and restricted cash at end of period	$	—		$	115.4		$	0.3		$	225.0		$	—	$	340.7