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SHAREHOLDERS' EQUITY AND LONG-TERM INCENTIVE COMPENSATION (Tables)
 6 Months Ended
Jul. 01, 2017
SHAREHOLDERS' EQUITY AND STOCK-BASED COMPENSATION  
Schedule of weighted-average shares outstanding used in the computation of basic and diluted income per share
The following table sets forth the number of weighted-average shares outstanding used in the computation of basic and diluted income (loss) per share:
 
Three months ended
 
Six months ended
 
July 1,
2017
 
July 2,
2016
 
July 1,
2017
 
July 2,
2016
Weighted-average number of common shares used in basic income per share
42.388

 
41.594

 
42.249

 
41.443

Dilutive securities — Employee stock options, restricted stock shares and restricted stock units
—

 
—

 
1.373

 
0.311

Weighted-average number of common shares and dilutive securities used in diluted income per share
42.388

 
41.594

 
43.622

 
41.754
Schedule of changes in the components of accumulated other comprehensive income (loss)
The changes in the components of accumulated other comprehensive income, net of tax, for the three months ended July 1, 2017 were as follows:
 
Foreign
Currency
Translation
Adjustment
 
Net Unrealized Gains
on Qualifying Cash
Flow Hedges(1)
 
Pension and
Postretirement
Liability Adjustment(2)
 
Total
Balance at beginning of period
$
228.2

 
$
2.2

 
$
3.7

 
$
234.1

Other comprehensive income (loss) before reclassifications
1.1

 
(0.6
)
 
—

 
0.5

Amounts reclassified from accumulated other comprehensive income
—

 
(0.3
)
 
(0.1
)
 
(0.4
)
Current-period other comprehensive income (loss)
1.1

 
(0.9
)
 
(0.1
)
 
0.1

Balance at end of period
$
229.3

 
$
1.3

 
$
3.6

 
$
234.2

__________________________
(1) 
Net of tax provision of $0.8 and $1.3 as of July 1, 2017 and April 1, 2017, respectively.
(2) 
Net of tax provision of $2.6 and $2.7 as of July 1, 2017 and April 1, 2017, respectively. The balances as of July 1, 2017 and April 1, 2017 represent net unamortized prior service credits.
The changes in the components of accumulated other comprehensive income, net of tax, for the six months ended July 1, 2017 were as follows:
 
Foreign
Currency
Translation
Adjustment
 
Net Unrealized Gains
on Qualifying Cash
Flow Hedges(1)
 
Pension and
Postretirement
Liability Adjustment(2)
 
Total
Balance at beginning of period
$
229.7

 
$
1.5

 
$
3.9

 
$
235.1

Other comprehensive income (loss) before reclassifications
(0.4
)
 
0.5

 
—

 
0.1

Amounts reclassified from accumulated other comprehensive income
—

 
(0.7
)
 
(0.3
)
 
(1.0
)
Current-period other comprehensive loss
(0.4
)
 
(0.2
)
 
(0.3
)
 
(0.9
)
Balance at end of period
$
229.3

 
$
1.3

 
$
3.6

 
$
234.2

_________________________
(1) 
Net of tax provision of $0.8 and $0.9 as of July 1, 2017 and December 31, 2016, respectively.
(2) 
Net of tax provision of $2.6 and $2.7 as of July 1, 2017 and December 31, 2016. The balances as of July 1, 2017 and December 31, 2016 represent net unamortized prior service credits.
The changes in the components of accumulated other comprehensive income, net of tax, for the three months ended July 2, 2016 were as follows:
 
Foreign
Currency
Translation
Adjustment
 
Net Unrealized Losses
on Qualifying Cash Flow Hedges(1)
 
Pension and Postretirement
Liability Adjustment(2)
 
Total
Balance at beginning of period
$
241.9

 
$
(0.6
)
 
$
4.3

 
$
245.6

Other comprehensive loss before reclassifications
(2.3
)
 
(1.5
)
 
—

 
(3.8
)
Amounts reclassified from accumulated other comprehensive income (loss)
—

 
0.5

 
(0.1
)
 
0.4

Current-period other comprehensive loss
(2.3
)
 
(1.0
)
 
(0.1
)
 
(3.4
)
Balance at end of period
$
239.6

 
$
(1.6
)
 
$
4.2

 
$
242.2

___________________________
(1) 
Net of tax benefit of $1.0 and $0.4 as of July 2, 2016 and April 2, 2016, respectively.
(2) 
Net of tax provision of $3.0 and $3.1 as of July 2, 2016 and April 2, 2016, respectively. The balances as of July 2, 2016 and April 2, 2016 include net unamortized prior service credits.
The changes in the components of accumulated other comprehensive income, net of tax, for the six months ended July 2, 2016 were as follows:
 
Foreign
Currency
Translation
Adjustment
 
Net Unrealized Losses
on Qualifying Cash Flow Hedges(2)
 
Pension and
Postretirement
Liability Adjustment(3)
 
Total
Balance at beginning of period
$
280.6

 
$
(1.8
)
 
$
4.5

 
$
283.3

Other comprehensive loss before reclassifications
(0.6
)
 
(1.7
)
 
—

 
(2.3
)
Amounts reclassified from accumulated other comprehensive income (loss) (1)
(40.4
)
 
1.9

 
(0.3
)
 
(38.8
)
Current-period other comprehensive income (loss)
(41.0
)
 
0.2

 
(0.3
)
 
(41.1
)
Balance at end of period
$
239.6

 
$
(1.6
)
 
$
4.2

 
$
242.2

__________________________
(1) 
In connection with the sale of our dry cooling business, we reclassified $40.4 of other comprehensive income related to foreign currency translation to “Gain (loss) on sale of dry cooling business.”
(2) 
Net of tax benefit of $1.0 and $0.8 as of July 2, 2016 and December 31, 2015, respectively.
(3) 
Net of tax provision of $3.0 and $3.1 as of July 2, 2016 and December 31, 2015, respectively. The balances as of July 2, 2016 and December 31, 2015 include net unamortized prior service credits.
Schedule of amounts reclassified from each component of accumulated comprehensive income (loss)
The following summarizes amounts reclassified from each component of accumulated comprehensive income for the three months ended July 1, 2017 and July 2, 2016:
 
Amount Reclassified from AOCI
 
 
 
Three months ended
 
 
 
July 1, 2017
 
July 2, 2016
 
Affected Line Item in the Condensed
Consolidated Statements of Operations
(Gains) losses on qualifying cash flow hedges:
 

 
 

 
 
FX forward contracts
$
—

 
$
—

 
Revenues
Commodity contracts
(0.7
)
 
0.9

 
Cost of products sold
Swaps
0.2

 
—

 
Interest expense
Pre-tax
(0.5
)
 
0.9

 
 
Income taxes
0.2

 
(0.4
)
 
 
 
$
(0.3
)
 
$
0.5

 
 
 
 
 
 
 
 
Gains on pension and postretirement items:
 

 
 

 
 
Amortization of unrecognized prior service credits
$
(0.2
)
 
$
(0.2
)
 
Selling, general and administrative
Pre-tax
(0.2
)
 
(0.2
)
 
 
Income taxes
0.1

 
0.1

 
 
 
$
(0.1
)
 
$
(0.1
)
 
 

The following summarizes amounts reclassified from each component of accumulated comprehensive income (loss) for the six months ended July 1, 2017 and July 2, 2016:
 
Amount Reclassified from AOCI
 
 
 
Six months ended
 
 
 
July 1, 2017
 
July 2, 2016
 
Affected Line Item in the Condensed
Consolidated Statements of Operations
(Gains) losses on qualifying cash flow hedges:
 

 
 

 
 
FX forward contracts
$
—

 
$
1.0

 
Revenues
Commodity contracts
(1.4
)
 
1.6

 
Cost of products sold
Swaps
0.3

 
—

 
Interest expense
Pre-tax
(1.1
)
 
2.6

 
 
Income taxes
0.4

 
(0.7
)
 
 
 
$
(0.7
)
 
$
1.9

 
 
 
 
 
 
 
 
Gains on pension and postretirement items:
 

 
 

 
 
Amortization of unrecognized prior service credits
$
(0.4
)
 
$
(0.4
)
 
Selling, general and administrative
Pre-tax
(0.4
)
 
(0.4
)
 
 
Income taxes
0.1

 
0.1

 
 
 
$
(0.3
)
 
$
(0.3
)
 
 
 
 
 


 
 
Gain on sale of dry cooling business:
 
 


 
 
 Recognition of foreign currency translation adjustment
associated with the sale of our dry cooling business
$
—

 
$
(40.4
)
 
Gain (loss) on sale of dry cooling business
Schedule of changes in equity
A summary of the changes in equity for the three months ended July 1, 2017 and July 2, 2016 is provided below:
 
July 1, 2017
 
July 2, 2016
 
SPX
Corporation
Shareholders’
Equity
 
Noncontrolling
Interests
 
Total
Equity
 
SPX
Corporation
Shareholders’
Equity
 
Noncontrolling
Interests
 
Total
Equity
Equity, beginning of period
$
211.0

 
$
—

 
$
211.0

 
$
322.8

 
$
(37.5
)
 
$
285.3

Net income (loss)
(9.0
)
 
—

 
(9.0
)
 
4.0

 
(1.0
)
 
3.0

Net unrealized losses on qualifying cash flow hedges, net of tax benefit of $0.5 and $0.6 for the three months ended July 1, 2017 and July 2, 2016, respectively
(0.9
)
 
—

 
(0.9
)
 
(1.0
)
 
—

 
(1.0
)
Pension and postretirement liability adjustment, net of tax benefit of $0.1 for the three months ended July 2, 2017 and July 2, 2016
(0.1
)
 
—

 
(0.1
)
 
(0.1
)
 
—

 
(0.1
)
Foreign currency translation adjustments
1.1

 
—

 
1.1

 
(2.3
)
 
(0.2
)
 
(2.5
)
Total comprehensive income (loss), net
(8.9
)
 
—

 
(8.9
)
 
0.6

 
(1.2
)
 
(0.6
)
Incentive plan activity
3.6

 
—

 
3.6

 
1.9

 
—

 
1.9

Long-term incentive compensation expense
3.0

 
—

 
3.0

 
3.2

 
—

 
3.2

Restricted stock and restricted stock unit vesting, net of tax withholdings, and related tax benefit of $0.0 and $0.1 for the three months ended July 1, 2017 and July 2, 2016, respectively
—

 
—

 
—

 
0.1

 
—

 
0.1

Adjustment related to redeemable noncontrolling interest (see Note 13)
—

 
—

 
—

 
(56.0
)
 
38.7

 
(17.3
)
Equity, end of period
$
208.7

 
$
—

 
$
208.7

 
$
272.6

 
$
—

 
$
272.6



A summary of the changes in equity for the six months ended July 1, 2017 and July 2, 2016 is provided below:
 
July 1, 2017
 
July 2, 2016
 
SPX
Corporation
Shareholders’
Equity
 
Noncontrolling
Interests
 
Total
Equity
 
SPX
Corporation
Shareholders’
Equity
 
Noncontrolling
Interests
 
Total
Equity
Equity, beginning of period
$
191.6

 
$
—

 
$
191.6

 
$
345.4

 
$
(37.1
)
 
$
308.3

Net income (loss)
8.4

 
—

 
8.4

 
17.0

 
(0.4
)
 
16.6

Net unrealized gains (losses) on qualifying cash flow hedges, net of tax benefit of $0.1 and $0.2 for the six months ended July 1, 2017 and July 2, 2016, respectively
(0.2
)
 
—

 
(0.2
)
 
0.2

 
—

 
0.2

Pension and postretirement liability adjustment, net of tax benefit of $0.1 for the six months ended July 1, 2017 and July 2, 2016
(0.3
)
 
—

 
(0.3
)
 
(0.3
)
 
—

 
(0.3
)
Foreign currency translation adjustments
(0.4
)
 
—

 
(0.4
)
 
(41.0
)
 
(1.2
)
 
(42.2
)
Total comprehensive income (loss), net
7.5

 
—

 
7.5

 
(24.1
)
 
(1.6
)
 
(25.7
)
Incentive plan activity
7.4

 
—

 
7.4

 
4.6

 
—

 
4.6

Long-term incentive compensation expense
5.8

 
—

 
5.8

 
5.9

 
—

 
5.9

Restricted stock and restricted stock unit vesting, net of tax withholdings, and related tax provision of $0.0 and $1.5 for the six months ended July 1, 2017 and July 2, 2016, respectively
(3.6
)
 
—

 
(3.6
)
 
(3.2
)
 
—

 
(3.2
)
Adjustment related to redeemable noncontrolling interest (see Note 13)
—

 
—

 
—

 
(56.0
)
 
38.7

 
(17.3
)
Equity, end of period
$
208.7

 
$
—

 
$
208.7

 
$
272.6

 
$
—

 
$
272.6