Guarantor/Non-Guarantor Financial Information (Tables)

3 Months Ended

Mar. 31, 2016

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Schedule of supplemental condensed consolidated statements of income and comprehensive income

Supplemental Condensed Consolidated Statements of Income and Comprehensive Income

Three Months Ended March 31, 2016

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)			Combined Guarantor Subsidiaries			Combined Non-Guarantor Subsidiaries			Eliminations			Consolidated
Net sales	$	—		$	550.7		$	184.1		$	(13.8	)	$	721.0
Cost of sales	—			348.4			95.4			(13.8		)	430.0
Gross profit	—			202.3			88.7			—			291.0
Selling and marketing expenses	1.8			102.1			46.2			—			150.1
General, administrative and other expenses	4.8			50.9			16.0			—			71.7
Equity income in earnings of unconsolidated affiliates	—			—			(2.8		)	—			(2.8		)
Royalty income, net of royalty expense	—			(4.7		)	—			—			(4.7		)
Operating (loss) income	(6.6		)	54.0			29.3			—			76.7

Other expense, net:
Third party interest expense, net	20.0			0.8			0.6			—			21.4
Intercompany interest (income) expense, net	(1.1		)	—			1.1			—			—
Interest expense, net	18.9			0.8			1.7			—			21.4
Other (income) expense, net	—			(1.7		)	0.7			—			(1.0		)
Total other expense (income), net	18.9			(0.9		)	2.4			—			20.4

Income from equity investees	56.5			22.0			—			(78.5		)	—

Income before income taxes	31.0			76.9			26.9			(78.5		)	56.3
Income tax benefit (provision)	8.0			(20.4		)	(4.9		)	—			(17.3		)
Net income before non-controlling interest	39.0			56.5			22.0			(78.5		)	39.0
Less: Net loss attributable to non-controlling interest	(0.6		)	(0.6		)	—			0.6			(0.6		)
Net income attributable to Tempur Sealy International, Inc.	$	39.6		$	57.1		$	22.0		$	(79.1	)	$	39.6

Comprehensive income attributable to Tempur Sealy International, Inc.	$	53.8		$	57.3		$	45.2		$	(102.5	)	$	53.8

Supplemental Condensed Consolidated Statements of Income and Comprehensive Income

Three Months Ended March 31, 2015

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)			Combined Guarantor Subsidiaries			Combined Non-Guarantor Subsidiaries			Eliminations			Consolidated
Net sales	$	—		$	558.9		$	192.9		$	(12.3	)	$	739.5
Cost of sales	—			367.6			105.5			(12.3		)	460.8
Gross profit	—			191.3			87.4			—			278.7
Selling and marketing expenses	0.8			105.5			47.5			—			153.8
General, administrative and other expenses	3.6			57.6			16.5			—			77.7
Equity income in earnings of unconsolidated affiliates	—			—			(3.0		)	—			(3.0		)
Royalty income, net of royalty expense	—			(4.2		)	—			—			(4.2		)
Operating (loss) income	(4.4		)	32.4			26.4			—			54.4

Other expense, net:
Third party interest expense, net	6.7			13.1			0.6			—			20.4
Intercompany interest expense (income), net	8.2			(8.9		)	0.7			—			—
Interest expense, net	14.9			4.2			1.3			—			20.4
Other income, net	—			(0.1		)	(1.2		)	—			(1.3		)
Total other expense, net	14.9			4.1			0.1			—			19.1

Income from equity investees	37.5			20.9			—			(58.4		)	—

Income before income taxes	18.2			49.2			26.3			(58.4		)	35.3
Income tax benefit (provision)	6.8			(11.7		)	(5.4		)	—			(10.3		)
Net income before non-controlling interest	25.0			37.5			20.9			(58.4		)	25.0
Less: Net income attributable to non-controlling interest	1.6			1.6			—			(1.6		)	1.6
Net income attributable to Tempur Sealy International, Inc.	$	23.4		$	35.9		$	20.9		$	(56.8	)	$	23.4

Comprehensive (loss) income attributable to Tempur Sealy International, Inc.	$	(12.8	)	$	36.1		$	(18.3	)	$	(17.8	)	$	(12.8	)

Schedule of supplemental condensed consolidated balance sheets

Supplemental Condensed Consolidated Balance Sheets

March 31, 2016

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)		Combined Guarantor Subsidiaries		Combined Non-Guarantor Subsidiaries			Eliminations			Consolidated
ASSETS

Current Assets:
Cash and cash equivalents	$	—	$	6.3	$	30.8		$	—		$	37.1
Accounts receivable, net	—		239.0		145.7			—			384.7
Inventories, net	—		154.6		59.8			—			214.4
Income taxes receivable	202.5		—		—			(202.5		)	—
Prepaid expenses and other current assets	0.8		47.9		24.0			—			72.7
Total Current Assets	203.3		447.8		260.3			(202.5		)	708.9
Property, plant and equipment, net	—		301.6		63.3			—			364.9
Goodwill	—		501.3		216.4			—			717.7
Other intangible assets, net	—		609.7		86.4			—			696.1
Deferred income taxes	15.7		—		13.0			(15.7		)	13.0
Other non-current assets	—		27.0		49.2			—			76.2
Net investment in subsidiaries	2,059.8		—		—			(2,059.8		)	—
Due from affiliates	451.3		1,772.6		2.7			(2,226.6		)	—
Total Assets	$	2,730.1	$	3,660.0	$	691.3		$	(4,504.6	)	$	2,576.8

LIABILITIES AND STOCKHOLDERS’ EQUITY

Current Liabilities:
Accounts payable	$	—	$	165.2	$	50.3		$	—		$	215.5
Accrued expenses and other current liabilities	20.9		157.8		68.1			—			246.8
Income taxes payable	—		212.9		3.5			(202.5		)	13.9
Current portion of long-term debt	—		170.5		8.4			—			178.9
Total Current Liabilities	20.9		706.4		130.3			(202.5		)	655.1
Long-term debt, net	812.5		481.2		—			—			1,293.7
Deferred income taxes	—		187.1		22.7			(15.7		)	194.1
Other non-current liabilities	—		164.8		4.9			—			169.7
Due to affiliates	1,632.5		60.7		592.4			(2,285.6		)	—
Total Liabilities	2,465.9		1,600.2		750.3			(2,503.8		)	2,312.6

Redeemable non-controlling interest	11.8		11.8		—			(11.8		)	11.8

Total Stockholders’ Equity	252.4		2,048.0		(59.0		)	(1,989.0		)	252.4
Total Liabilities, Redeemable Non-Controlling Interest and Stockholders’ Equity	$	2,730.1	$	3,660.0	$	691.3		$	(4,504.6	)	$	2,576.8

Supplemental Condensed Consolidated Balance Sheets

December 31, 2015

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)		Combined Guarantor Subsidiaries		Combined Non-Guarantor Subsidiaries			Eliminations			Consolidated
ASSETS

Current Assets:
Cash and cash equivalents	$	—	$	121.8	$	32.1		$	—		$	153.9
Accounts receivable, net	—		231.9		147.5			—			379.4
Inventories, net	—		145.3		53.9			—			199.2
Income taxes receivable	193.1		—		—			(193.1		)	—
Prepaid expenses and other current assets	—		43.5		33.1			—			76.6
Total Current Assets	193.1		542.5		266.6			(193.1		)	809.1
Property, plant and equipment, net	—		300.1		61.6			—			361.7
Goodwill	—		501.4		208.0			—			709.4
Other intangible assets, net	—		612.9		82.5			—			695.4
Deferred income taxes	16.0		—		12.2			(16.0		)	12.2
Other non-current assets	—		23.3		44.4			—			67.7
Net investment in subsidiaries	1,960.5		—		—			(1,960.5		)	—
Due from affiliates	548.1		1,655.3		4.8			(2,208.2		)	—
Total Assets	$	2,717.7	$	3,635.5	$	680.1		$	(4,377.8	)	$	2,655.5

LIABILITIES AND STOCKHOLDERS’ EQUITY

Current Liabilities:
Accounts payable	$	—	$	212.2	$	54.1		$	—		$	266.3
Accrued expenses and other current liabilities	1.4		183.8		68.8			—			254.0
Deferred income taxes	—		—		—			—			—
Income taxes payable	—		196.0		8.3			(193.1		)	11.2
Current portion of long-term debt	—		168.7		12.8			—			181.5
Total Current Liabilities	1.4		760.7		144.0			(193.1		)	713.0
Long-term debt, net	811.9		461.4		—			—			1,273.3
Deferred income taxes	—		189.8		21.6			(16.0		)	195.4
Other non-current liabilities	—		166.6		4.6			—			171.2
Due to affiliates	1,601.8		96.5		604.9			(2,303.2		)	—
Total Liabilities	2,415.1		1,675.0		775.1			(2,512.3		)	2,352.9

Redeemable non-controlling interest	12.4		12.4		—			(12.4		)	12.4

Total Stockholders’ Equity	290.2		1,948.1		(95.0		)	(1,853.1		)	290.2
Total Liabilities, Redeemable Non-Controlling Interest and Stockholders’ Equity	$	2,717.7	$	3,635.5	$	680.1		$	(4,377.8	)	$	2,655.5

Schedule of supplemental condensed consolidated statements of cash flows

Supplemental Condensed Consolidated Statements of Cash Flows

Three Months Ended March 31, 2016

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)			Combined Guarantor Subsidiaries			Combined Non-Guarantor Subsidiaries			Eliminations		Consolidated
Net cash (used in) provided by operating activities	$	(1.3	)	$	(37.4	)	$	19.9		$	—	$	(18.8	)

CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant and equipment	—			(10.2		)	(2.4		)	—		(12.6		)
Other	—			(0.2		)	—			—		(0.2		)
Net cash used in investing activities	—			(10.4		)	(2.4		)	—		(12.8		)

CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from borrowings under long-term debt obligations	—			96.3			5.2			—		101.5
Repayments of borrowings under long-term debt obligations	—			(76.5		)	(10.5		)	—		(87.0		)
Net activity in investment in and advances from (to) subsidiaries and affiliates	99.1			(86.9		)	(12.2		)			—
Proceeds from exercise of stock options	3.0			—			—			—		3.0
Excess tax benefit from stock-based compensation	1.2			—			—			—		1.2
Treasury stock repurchased	(102.0		)	—			—			—		(102.0		)
Other	—			(0.6		)	1.0			—		0.4
Net cash provided by (used in) financing activities	1.3			(67.7		)	(16.5		)	—		(82.9		)

NET EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	—			—			(2.3		)	—		(2.3		)
Decrease in cash and cash equivalents	—			(115.5		)	(1.3		)	—		(116.8		)
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD	—			121.8			32.1			—		153.9
CASH AND CASH EQUIVALENTS, END OF PERIOD	$	—		$	6.3		$	30.8		$	—	$	37.1

Supplemental Condensed Consolidated Statements of Cash Flows

Three Months Ended March 31, 2015

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)			Combined Guarantor Subsidiaries			Combined Non-Guarantor Subsidiaries			Eliminations		Consolidated
Net cash (used in) provided by operating activities	$	(13.5	)	$	10.4		$	(3.3	)	$	—	$	(6.4	)

CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant and equipment	—			(13.1		)	(2.3		)	—		(15.4		)
Net cash used in investing activities	—			(13.1		)	(2.3		)	—		(15.4		)

CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from borrowings under long-term debt obligations	—			93.5			4.4			—		97.9
Repayments of borrowings under long-term debt obligations	—			(98.8		)	—			—		(98.8		)
Net activity in investment in and advances from (to) subsidiaries and affiliates	12.6			(1.4		)	(11.2		)	—		—
Proceeds from exercise of stock options	1.6			—			—			—		1.6
Treasury stock repurchased	(1.1		)	—			—			—		(1.1		)
Other	—			(0.4		)	0.6			—		0.2
Net cash provided by (used in) financing activities	13.1			(7.1		)	(6.2		)	—		(0.2		)

NET EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	—			—			4.5			—		4.5
Decrease in cash and cash equivalents	(0.4		)	(9.8		)	(7.3		)	—		(17.5		)
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD	0.4			25.5			36.6			—		62.5
CASH AND CASH EQUIVALENTS, END OF PERIOD	$	—		$	15.7		$	29.3		$	—	$	45.0