Condensed Consolidating Financial Information (Tables)

3 Months Ended

Dec. 31, 2016

Condensed Consolidating Financial Information

Schedule of Condensed Consolidating Balance Sheets

Condensed Consolidating Balance Sheets

(unaudited — in millions)

December 31, 2016

	Parent		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations			Total
ASSETS
CURRENT ASSETS:
Total cash and cash equivalents	$	22.0	$	159.5	$	516.2	$	—		$	697.7
Accounts receivable—net	—		2,081.9		2,456.5		—			4,538.4
Intercompany receivable	737.9		105.0		135.5		(978.4		)	—
Prepaid expenses and other current assets	77.4		346.3		284.0		—			707.7
Income taxes receivable	12.0		—		18.7		10.6			41.3

TOTAL CURRENT ASSETS	849.3		2,692.7		3,410.9		(967.8		)	5,985.1
PROPERTY AND EQUIPMENT—NET	170.1		241.4		223.4		—			634.9
DEFERRED TAX ASSETS—NET	282.8		—		112.4		(258.8		)	136.4
INVESTMENTS IN CONSOLIDATED SUBSIDIARIES	5,976.3		1,289.2		58.1		(7,323.6		)	—
INVESTMENTS IN UNCONSOLIDATED JOINT VENTURES	0.7		52.7		290.5		—			343.9
GOODWILL	—		3,318.6		2,465.8		—			5,784.4
INTANGIBLE ASSETS—NET	—		317.2		132.6		—			449.8
OTHER NON-CURRENT ASSETS	8.4		28.4		137.7		—			174.5

TOTAL ASSETS	$	7,287.6	$	7,940.2	$	6,831.4	$	(8,550.2	)	$	13,509.0


LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES:
Short-term debt	$	1.9	$	7.3	$	5.6	$	—		$	14.8
Accounts payable	39.2		932.8		995.1		—			1,967.1
Accrued expenses and other current liabilities	105.8		1,074.9		987.8		—			2,168.5
Accrued taxes payable	—		—		0.1		10.6			10.7
Intercompany payable	88.2		837.0		171.1		(1,096.3		)	—
Billings in excess of costs on uncompleted contracts	—		239.4		420.9		—			660.3
Current portion of long-term debt	108.4		221.0		14.5		—			343.9

TOTAL CURRENT LIABILITIES	343.5		3,312.4		2,595.1		(1,085.7		)	5,165.3
OTHER LONG-TERM LIABILITIES	112.3		321.5		585.8		—			1,019.6
DEFERRED TAX LIABILITY — NET	—		271.7		—		(258.8		)	12.9
NOTE PAYABLE INTERCOMPANY—NON CURRENT	—		—		572.4		(572.4		)	—
LONG-TERM DEBT	3,455.0		278.7		17.6		—			3,751.3

TOTAL LIABILITIES	3,910.8		4,184.3		3,770.9		(1,916.9		)	9,949.1
TOTAL AECOM STOCKHOLDERS’ EQUITY	3,376.8		3,755.9		2,879.0		(6,633.3		)	3,378.4
Noncontrolling interests	—		—		181.5		—			181.5

TOTAL STOCKHOLDERS’ EQUITY	3,376.8		3,755.9		3,060.5		(6,633.3		)	3,559.9

TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$	7,287.6	$	7,940.2	$	6,831.4	$	(8,550.2	)	$	13,509.0

Condensed Consolidating Balance Sheets

(unaudited - in millions)

September 30, 2016

	Parent		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations			Total
ASSETS
CURRENT ASSETS:
Total cash and cash equivalents	$	1.8	$	183.7	$	506.6	$	—		$	692.1
Accounts receivable—net	—		2,034.0		2,497.5		—			4,531.5
Intercompany receivable	760.7		151.7		152.0		(1,064.4		)	—
Prepaid expenses and other current assets	98.7		336.2		295.2		—			730.1
Income taxes receivable	28.7		—		18.4		—			47.1


TOTAL CURRENT ASSETS	889.9		2,705.6		3,469.7		(1,064.4		)	6,000.8
PROPERTY AND EQUIPMENT—NET	169.3		236.5		239.2		—			645.0
DEFERRED TAX ASSETS—NET	265.2		—		129.8		(223.5		)	171.5
INVESTMENTS IN CONSOLIDATED SUBSIDIARIES	6,031.7		1,408.4		58.4		(7,498.5		)	—
INVESTMENTS IN UNCONSOLIDATED JOINT VENTURES	0.7		48.6		281.2		—			330.5
GOODWILL	—		3,286.6		2,537.2		—			5,823.8
INTANGIBLE ASSETS—NET	—		334.0		145.4		—			479.4
OTHER NON-CURRENT ASSETS	8.4		71.4		139.1		—			218.9


TOTAL ASSETS	$	7,365.2	$	8,091.1	$	7,000.0	$	(8,786.4	)	$	13,669.9



LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES:
Short-term debt	$	3.1	$	7.3	$	15.9	$	—		$	26.3
Accounts payable	45.8		907.0		958.1		—			1,910.9
Accrued expenses and other current liabilities	201.2		1,137.1		1,046.5		—			2,384.8
Accrued taxes payable	—		—		10.8		—			10.8
Intercompany payable	114.1		857.9		208.8		(1,180.8		)	—
Billings in excess of costs on uncompleted contracts	—		237.5		394.4		—			631.9
Current portion of long-term debt	108.2		222.1		9.7		—			340.0


TOTAL CURRENT LIABILITIES	472.4		3,368.9		2,644.2		(1,180.8		)	5,304.7
OTHER LONG-TERM LIABILITIES	115.7		349.3		632.4		—			1,097.4
DEFERRED TAX LIABILITY — NET	—		236.6		—		(223.5		)	13.1
NOTE PAYABLE INTERCOMPANY—NON CURRENT	—		—		563.5		(563.5		)	—
LONG-TERM DEBT	3,411.2		273.4		17.6		—			3,702.2


TOTAL LIABILITIES	3,999.3		4,228.2		3,857.7		(1,967.8		)	10,117.4
TOTAL AECOM STOCKHOLDERS’ EQUITY	3,365.9		3,862.9		2,956.7		(6,818.6		)	3,366.9
Noncontrolling interests	—		—		185.6		—			185.6


TOTAL STOCKHOLDERS’ EQUITY	3,365.9		3,862.9		3,142.3		(6,818.6		)	3,552.5


TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$	7,365.2	$	8,091.1	$	7,000.0	$	(8,786.4	)	$	13,669.9

Schedule of Condensed Consolidating Statements of Operations

Condensed Consolidating Statements of Operations

(unaudited - in millions)

	For the three months ended December 31, 2016
	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Total
Revenue	$	—		$	2,281.5		$	2,090.1		$	(13.3	)	$	4,358.3
Cost of Revenue	—			2,161.3			2,040.3			(13.3		)	4,188.3

Gross Profit	—			120.2			49.8			—			170.0
Equity in earnings from subsidiaries	120.3			(0.1		)	0.7			(120.9		)	—
Equity in earnings of joint ventures	—			9.9			11.5			—			21.4
General and administrative expenses	(32.6		)	—			—			—			(32.6		)
Acquisition and integration expenses	(15.4		)	—			—			—			(15.4		)

Income from operations	72.3			130.0			62.0			(120.9		)	143.4
Other income	0.4			7.6			2.9			(10.1		)	0.8
Interest expense	(47.8		)	(5.7		)	(10.2		)	10.1			(53.6		)

Income before income tax (benefit) expense	24.9			131.9			54.7			(120.9		)	90.6
Income tax (benefit) expense	(22.3		)	35.9			11.2			—			24.8

Net income	47.2			96.0			43.5			(120.9		)	65.8
Noncontrolling interest in income of consolidated subsidiaries, net of tax	—			—			(18.6		)	—			(18.6		)

Net income attributable to AECOM	$	47.2		$	96.0		$	24.9		$	(120.9	)	$	47.2

	For the three months ended December 31, 2015
	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Total
Revenue	$	—		$	2,236.3		$	2,094.2		$	(32.8	)	$	4,297.7
Cost of Revenue	—			2,182.5			2,007.1			(32.8		)	4,156.8

Gross Profit	—			53.8			87.1			—			140.9
Equity in earnings from subsidiaries	54.9			(40.3		)	0.8			(15.4		)	—
Equity in earnings of joint ventures	—			4.5			20.7			—			25.2
General and administrative expenses	(27.6		)	(1.1		)	—			—			(28.7		)
Acquisition and integration expenses	(41.0		)	—			—			—			(41.0		)
Loss on disposal activities	—			—			(41.0		)	—			(41.0		)

(Loss) income from operations	(13.7		)	16.9			67.6			(15.4		)	55.4
Other income	0.8			8.9			2.5			(9.2		)	3.0
Interest expense	(53.3		)	(5.7		)	(9.7		)	9.2			(59.5		)

(Loss) income before income tax (benefit) expense	(66.2		)	20.1			60.4			(15.4		)	(1.1		)
Income tax (benefit) expense	(45.8		)	18.1			14.2			12.8			(0.7		)

Net (loss) income	(20.4		)	2.0			46.2			(28.2		)	(0.4		)
Noncontrolling interest in income of consolidated subsidiaries, net of tax	—			—			(20.0		)	—			(20.0		)

Net (loss) income attributable to AECOM	$	(20.4	)	$	2.0		$	26.2		$	(28.2	)	$	(20.4	)

Schedule of Consolidating Statements of Comprehensive Income (Loss)

Consolidating Statements of Comprehensive Income (Loss)

(unaudited - in millions)

	For the three months ended December 31, 2016
	Parent		Guarantor Subsidiaries		Non-Guarantor Subsidiaries			Eliminations			Total
Net income	$	47.2	$	96.0	$	43.5		$	(120.9	)	$	65.8
Other comprehensive income (loss), net of tax:
Net unrealized gain (loss) on derivatives, net of tax	2.9		—		(1.5		)	—			1.4
Foreign currency translation adjustments	—		—		(73.9		)	—			(73.9		)
Pension adjustments, net of tax	0.6		—		16.3			—			16.9

Other comprehensive income (loss), net of tax	3.5		—		(59.1		)	—			(55.6		)

Comprehensive income (loss), net of tax	50.7		96.0		(15.6		)	(120.9		)	10.2
Noncontrolling interests in comprehensive income of consolidated subsidiaries, net of tax	—		—		(18.3		)	—			(18.3		)

Comprehensive income (loss) attributable to AECOM, net of tax	$	50.7	$	96.0	$	(33.9	)	$	(120.9	)	$	(8.1	)

	For the three months ended December 31, 2015
	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Total
Net (loss) income	$	(20.4	)	$	2.0		$	46.2		$	(28.2	)	$	(0.4	)
Other comprehensive income (loss), net of tax:
Net unrealized gain on derivatives, net of tax	3.9			—			1.4			—			5.3
Foreign currency translation adjustments	—			—			(97.7		)	—			(97.7		)
Pension adjustments, net of tax	0.6			(4.7		)	4.8			—			0.7

Other comprehensive income (loss), net of tax	4.5			(4.7		)	(91.5		)	—			(91.7		)

Comprehensive loss, net of tax	(15.9		)	(2.7		)	(45.3		)	(28.2		)	(92.1		)
Noncontrolling interests in comprehensive income of consolidated subsidiaries, net of tax	—			—			(18.3		)	—			(18.3		)

Comprehensive loss attributable to AECOM, net of tax	$	(15.9	)	$	(2.7	)	$	(63.6	)	$	(28.2	)	$	(110.4	)

Schedule on Condensed Consolidating Statements of Cash Flows

Condensed Consolidating Statements of Cash Flows

(unaudited - in millions)

	For the three months ended December 31, 2016
	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Total

CASH FLOWS FROM OPERATING ACTIVITIES	$	(27.0	)	$	83.2		$	21.3		$	—		$	77.5
CASH FLOWS FROM INVESTING ACTIVITIES:
Net investment in unconsolidated joint ventures	—			(0.8		)	(17.3		)	—			(18.1		)
Net purchase of investments	—			—			0.3			—			0.3
Payments for capital expenditures, net of disposals	(7.2		)	(9.7		)	(4.1		)	—			(21.0		)
Net investment in intercompany notes	(0.5		)	(8.7		)	(1.2		)	10.4			—
Other intercompany investing activities	32.1			14.4			—			(46.5		)	—

Net cash provided by (used in) investing activities	24.4			(4.8		)	(22.3		)	(36.1		)	(38.8		)

CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from borrowings under credit agreements	1,634.2			—			0.6			—			1,634.8
Repayments of borrowings under credit agreements	(1,595.2		)	(6.4		)	(5.8		)	—			(1,607.4		)
Proceeds from issuance of common stock	9.9			—			—			—			9.9
Proceeds from exercise of stock options	2.1			—			—			—			2.1
Payments to repurchase common stock	(17.5		)	—			—			—			(17.5		)
Net distributions to noncontrolling interests	—			—			(21.9		)	—			(21.9		)
Other financing activities	(10.7		)	(65.5		)	49.8			—			(26.4		)
Net borrowings on intercompany notes	—			1.1			9.3			(10.4		)	—
Other intercompany financing activities	—			(31.8		)	(14.7		)	46.5			—

Net cash provided by (used in) financing activities	22.8			(102.6		)	17.3			36.1			(26.4		)

EFFECT OF EXCHANGE RATE CHANGES ON CASH	—			—			(6.7		)	—			(6.7		)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	20.2			(24.2		)	9.6			—			5.6
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR	1.8			183.7			506.6			—			692.1

CASH AND CASH EQUIVALENTS AT END OF YEAR	$	22.0		$	159.5		$	516.2		$	—		$	697.7

	For the three months ended December 31, 2015
	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Total

CASH FLOWS FROM OPERATING ACTIVITIES	$	(265.1	)	$	295.0		$	48.1		$	—		$	78.0
CASH FLOWS FROM INVESTING ACTIVITIES:
Proceeds from disposal of businesses and property	—			—			37.6			—			37.6
Net investment in unconsolidated joint ventures	—			(0.5		)	(7.2		)	—			(7.7		)
Net sales of investments	—			—			11.0			—			11.0
Payments for capital expenditures, net of disposals	(5.3		)	(9.0		)	13.4			—			(0.9		)
Receipts from intercompany notes receivable	7.0			39.7			—			(46.7		)	—
Other intercompany investing activities	342.4			21.9			—			(364.3		)	—

Net cash used in investing activities	344.1			52.1			54.8			(411.0		)	40.0

CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from borrowings under credit agreements	1,220.7			—			2.0			—			1,222.7
Repayments of borrowings under credit agreements	(1,283.8		)	(5.8		)	(15.3		)	—			(1,304.9		)
Cash paid for debt and equity issuance costs	(1.2		)	—			—			—			(1.2		)
Proceeds from issuance of common stock	6.9			—			—			—			6.9
Proceeds from exercise of stock options	3.0			—			—			—			3.0
Payments to repurchase common stock	(17.3		)	—			—			—			(17.3		)
Excess tax benefit from share-based payment	3.3			—			—			—			3.3
Net distributions to noncontrolling interests	—			—			(37.8		)	—			(37.8		)
Other financing activities	(9.7		)	(31.7		)	28.4			—			(13.0		)
Intercompany notes repayments	—			—			(46.7		)	46.7			—
Other intercompany financing activities	—			(339.7		)	(24.6		)	364.3			—

Net cash used in financing activities	(78.1		)	(377.2		)	(94.0		)	411.0			(138.3		)

EFFECT OF EXCHANGE RATE CHANGES ON CASH	—			—			(5.6		)	—			(5.6		)
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS	0.9			(30.1		)	3.3			—			(25.9		)
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR	1.3			162.4			520.2			—			683.9

CASH AND CASH EQUIVALENTS AT END OF YEAR	$	2.2		$	132.3		$	523.5		$	—		$	658.0