XML 95 R16.htm IDEA: XBRL DOCUMENT v2.4.1.9
Stockholders' Equity
 12 Months Ended
Dec. 31, 2014
Stockholders' Equity Note [Abstract]  
Stockholders' Equity
Stockholders’ Equity

The following table sets forth changes in accumulated other comprehensive loss by component, net of tax, attributed to AGCO Corporation and its subsidiaries for the years ended December 31, 2014 and 2013 (in millions):
 
Defined Benefit Pension Plans
 
Cumulative Translation Adjustment
 
Deferred Net Gains (Losses) on Derivatives
 
Total
Accumulated other comprehensive (loss) income, December 31, 2012
$
(262.9
)
 
$
(217.2
)
 
$
0.7

 
$
(479.4
)
Other comprehensive gain (loss) before reclassifications
45.2

 
(86.9
)
 
(1.4
)
 
(43.1
)
Net losses reclassified from accumulated other comprehensive loss
11.3

 
—

 
0.5

 
11.8

Other comprehensive income (loss), net of reclassification adjustments
56.5

 
(86.9
)
 
(0.9
)
 
(31.3
)
Accumulated other comprehensive loss, December 31, 2013
(206.4
)
 
(304.1
)
 
(0.2
)
 
(510.7
)
Other comprehensive loss before reclassifications
(54.8
)
 
(349.0
)
 
(1.4
)
 
(405.2
)
Net losses reclassified from accumulated other comprehensive loss
7.9

 
—

 
1.5

 
9.4

Other comprehensive (loss) income, net of reclassification adjustments
(46.9
)
 
(349.0
)
 
0.1

 
(395.8
)
Accumulated other comprehensive loss, December 31, 2014
$
(253.3
)
 
$
(653.1
)
 
$
(0.1
)
 
$
(906.5
)


The following table sets forth reclassification adjustments out of accumulated other comprehensive loss by component attributed to AGCO Corporation and its subsidiaries for the years ended December 31, 2014 and 2013 (in millions):
Details about Accumulated Other Comprehensive Loss Components
 
Amount Reclassified from Accumulated Other Comprehensive Loss
 
Affected Line Item within the Consolidated Statements of Operations
 
Year ended December 31, 2014 (1)
 
Year ended December 31, 2013 (1)
 
Net losses on cash flow hedges
 
$
1.4

 
$
0.7

 
Cost of goods sold
 
 
0.1

 
(0.2
)
 
Income tax provision
Reclassification net of tax
 
$
1.5

 
$
0.5

 
 
 
 
 
 
 
 
 
Defined benefit pension plans:
 
 
 
 
 
 
Amortization of net actuarial loss
 
$
9.6

 
$
14.5

 
(2) 
Amortization of prior service cost
 
1.0

 
1.1

 
(2) 
Reclassification before tax
 
10.6

 
15.6

 
 
 
 
(2.7
)
 
(4.3
)
 
Income tax provision
Reclassification net of tax
 
$
7.9

 
$
11.3

 
 
 
 
 
 
 
 
 
Net losses reclassified from accumulated other comprehensive loss
 
$
9.4

 
$
11.8

 
 

____________________________________
(1) Losses included within the Consolidated Statements of Operations for the years ended December 31, 2014 and 2013, respectively.
(2) These accumulated other comprehensive loss components are included in the computation of net periodic pension and postretirement benefit cost. See Note 8 to the Company’s Consolidated Financial Statements.

    
Common Stock

At December 31, 2014, the Company had 150.0 million authorized shares of common stock with a par value of $0.01 per share, with approximately 89.1 million shares of common stock outstanding and approximately 3.6 million shares reserved for issuance under the Company’s 2006 Long-Term Incentive Plan (the “2006 Plan”) (Note 10).

Share Repurchase Program

In July 2012, the Company’s Board of Directors approved a share repurchase program under which the Company is permitted to repurchase up to $50.0 million of shares of its common stock. This share repurchase program does not have an expiration date. In December 2013, the Company’s Board of Directors approved a second share repurchase program under which the Company is permitted to repurchase up to $500.0 million of shares of its common stock through an expiration date of June 2015. In December 2014, the Board of Directors approved a third share repurchase program under which the Company can repurchase an additional $500.0 million of shares of its common stock through December 2016.

During 2014, through open market transactions, the Company repurchased 1.8 million shares of its common stock for approximately $84.7 million at an average price paid of $46.60 per share. During 2013, through open market transactions, the Company repurchased less than 0.1 million shares of its common stock for approximately $1.0 million at an average price paid of $49.34 per share. During 2012, through open market transactions, the Company repurchased 0.4 million shares of its common stock for approximately $17.6 million at an average price of $43.14 per share. Repurchased shares were retired on the date of purchase, and the excess of the purchase price over par value per share was recorded to “Additional paid-in capital” within the Company’s Consolidated Balance Sheets.

During 2014, the Company entered into three accelerated repurchase agreements (“ASRs”) with a financial institution to repurchase an aggregate of $415.0 million of shares of the Company’s common stock. The Company received approximately 8.2 million shares during the year ended December 31, 2014 related to these ASRs. All shares received under the ASRs were retired upon receipt, and the excess of the purchase price over par value per share was recorded to “Additional paid-in capital” within the Company’s Consolidated Balance Sheets.

Of the $1,050.0 million in approved share repurchase programs, the remaining amount authorized to be repurchased is approximately $531.7 million.

During 2015, the Company entered into an ASR with a financial institution to repurchase an aggregate of $62.5 million of shares of the Company’s common stock. The Company received approximately 0.9 million shares to date in this transaction. The specific number of shares the Company will ultimately repurchase will be determined at the completion of the term of the ASR based on the daily volume-weighted average share price of the Company’s common stock less an agreed-upon discount. Upon settlement of the ASR, the Company may be entitled to receive additional shares of common stock, or under certain circumstances, be required to remit a settlement amount. The Company expects that additional shares will be received by the Company upon final settlement of its current ASR, which expires during the second quarter of 2015. All shares received under the ASR discussed above were retired upon receipt and the excess of the purchase price over par value per share was recorded to “Additional paid-in capital” within the Company’s Consolidated Balance Sheets.

Dividends    

On January 24, 2013, the Company’s Board of Directors approved the initiation of quarterly cash dividends to our stockholders. A quarterly dividend of $0.10 per common share was paid to each of the Company’s stockholders during 2013. On January 24, 2014, the Company’s Board of Directors approved an increase in the quarterly dividend from $0.10 per common share to $0.11 per common share beginning in the first quarter of 2014. On January 22, 2015, the Company’s Board of Directors approved an increase in the quarterly dividend from $0.11 per common share to $0.12 per common share beginning in the first quarter of 2015.