Pensions (Tables)

12 Months Ended

Dec. 31, 2015

Defined Benefit Plan Disclosure [Line Items]

The following table summarizes net periodic pension expense for U.S. and non-U.S. benefit plans:



	U.S. Benefit Plan									Non-U.S. Benefit Plan
(in millions)	2015			2014			2013			2015			2014			2013
Company-sponsored plans:
Service cost	$	—		$	—		$	—		$	0.2		$	0.2		$	0.2
Interest cost	7.6			7.9			7.3			2.1			2.6			2.5
Expected return on plan assets	(10.3		)	(9.1		)	(8.8		)	(2.7		)	(3.6		)	(2.6		)
Amortization of actuarial loss	6.8			5.1			7.5			0.7			0.4			0.8
Total company-sponsored plans	4.1			3.9			6.0			0.3			(0.4		)	0.9
Multi-employer plans	0.2			0.2			0.2			—			—			—
Net periodic pension expense	$	4.3		$	4.1		$	6.2		$	0.3		$	(0.4	)	$	0.9

Summary of Changes in Projected Benefit Obligation

The following table summarizes the changes in the projected benefit obligation and plan assets:



	U.S. Benefit Plan						Non-U.S. Benefit Plan
(in millions)	2015			2014			2015			2014
Benefit obligation, beginning of year	$	186.3		$	159.3		$	62.7		$	59.9
Service cost	—			—			0.2			0.2
Interest cost	7.6			7.9			2.1			2.6
Actuarial (gain) loss	(10.0		)	28.6			(2.5		)	7.0
Benefits and expenses paid	(9.6		)	(9.5		)	(3.5		)	(3.1		)
Foreign currency translation	—			—			(3.3		)	(3.9		)
Benefit obligation, end of year	$	174.3		$	186.3		$	55.7		$	62.7
Accumulated benefit obligation, end of year	$	173.5		$	184.4		$	55.7		$	62.7

Summary of Change in Plan Assets

The following summarizes the changes in the fair value of plan assets:



	U.S. Benefit Plan						Non-U.S. Benefit Plan
(in millions)	2015			2014			2015			2014
Fair value of plan assets, beginning of year	$	134.0		$	129.4		$	59.0		$	62.4
Actual return on plan assets	(3.3		)	5.9			0.8			2.2
Company contribution	7.0			8.2			1.1			1.2
Benefits and expenses paid	(9.6		)	(9.5		)	(3.5		)	(3.1		)
Foreign currency translation	—			—			(3.1		)	(3.7		)
Fair value of plan assets, end of year	$	128.1		$	134.0		$	54.3		$	59.0

Summary of Pension Assets in Three-Tier Fair Value Hierarchy for Benefit Plan

The following summarizes the Company’s pension assets in a three-tier fair value hierarchy for its benefit plans:



	U. S. Benefit Plan
	2015								2014
(in millions)	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Cash and cash equivalents	$	6.8	$	—	$	—	$	6.8	$	2.5	$	—	$	—	$	2.5
Equity securities:
U.S. Large Cap	37.7		0.1		—		37.8		40.1		0.1		—		40.2
U.S. Small and Mid Cap	18.0		—		—		18.0		15.9		—		—		15.9
Federal Signal common stock	—		—		—		—		3.6		—		—		3.6
Developed international	12.8		6.9		—		19.7		9.9		4.5		—		14.4
Emerging markets	6.9		—		—		6.9		10.7		0.2		—		10.9
Fixed income:
Government securities	2.7		0.3		—		3.0		1.1		—		—		1.1
Asset-backed securities	—		7.7		—		7.7		—		7.1		—		7.1
Corporate bonds	—		13.1		—		13.1		—		19.2		—		19.2
Mutual funds	0.7		—		—		0.7		1.2		—		—		1.2
Other investments:
Mutual funds	10.5		—		—		10.5		13.9		—		—		13.9
Real estate	4.0		—		—		4.0		3.7		—		—		3.7
Total assets at fair value ^(a)	$	100.1	$	28.1	$	—	$	128.2	$	102.6	$	31.1	$	—	$	133.7


(a)	Total assets at fair value in the table above exclude a net payable of $0.1 million and a net receivable of $0.3 million at December 31, 2015 and 2014, respectively.



	Non-U. S. Benefit Plan
	2015								2014
(in millions)	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Cash	$	9.2	$	—	$	—	$	9.2	$	11.5	$	—	$	—	$	11.5
Equity securities	5.3		34.8		—		40.1		6.0		35.9		—		41.9
Fixed income:
Government securities	2.7		—		—		2.7		2.9		—		—		2.9
Corporate bonds	1.5		0.8		—		2.3		1.6		1.1		—		2.7
Total assets at fair value	$	18.7	$	35.6	$	—	$	54.3	$	22.0	$	37.0	$	—	$	59.0

Funded Status

The following summarizes the funded status of the Company-sponsored plans:



	U.S. Benefit Plan						Non-U.S. Benefit Plan
(in millions)	2015			2014			2015			2014
Fair value of plan assets, end of year	$	128.1		$	134.0		$	54.3		$	59.0
Benefit obligation, end of year	174.3			186.3			55.7			62.7
Funded status, end of year	$	(46.2	)	$	(52.3	)	$	(1.4	)	$	(3.7	)

Components of Amounts Recognized in Accumulated Other Comprehensive Income

The following summarizes the amounts recognized within our Consolidated Balance Sheets:



	U.S. Benefit Plan						Non-U.S. Benefit Plan
(in millions)	2015			2014			2015			2014
Amounts recognized in Total liabilities include:
Long-term pension and other post-retirement benefit liabilities	$	(46.2	)	$	(52.3	)	$	(1.4	)	$	(3.7	)
Net liability recorded	$	(46.2	)	$	(52.3	)	$	(1.4	)	$	(3.7	)
Amounts recognized in Accumulated other comprehensive loss include:
Net actuarial loss	$	78.2		$	81.4		$	18.7		$	21.2
Net amount recognized, pre-tax	$	78.2		$	81.4		$	18.7		$	21.2

Benefits Expected to be Paid under Defined Benefit Plans

The following summarizes the benefits expected to be paid under the Company’s defined benefit plans in each of the next five years, and in aggregate for the five years thereafter:



(in millions)	U.S. Benefit Plan		Non-U.S. Benefit Plan
2016	$	8.4	$	3.4
2017	9.0		3.5
2018	9.0		3.6
2019	9.2		3.7
2020	10.5		3.8
2021-2025	54.7		21.0

Pension Plans, Defined Benefit

Defined Benefit Plan Disclosure [Line Items]

Summary of Weighted-Average Assumptions Used

The following table summarizes the weighted-average assumptions used in determining pension costs:



	U.S. Benefit Plan						Non-U.S. Benefit Plan
	2015		2014		2013		2015		2014		2013
Discount rate	4.2	%	5.1	%	4.2	%	3.5	%	4.5	%	4.1	%
Rate of increase in compensation levels	3.5	%	3.5	%	3.5	%	—		—		—
Expected long-term rate of return on plan assets	7.8	%	7.6	%	7.9	%	4.7	%	5.9	%	5.1	%

Summary of Weighted-Average Assumptions Used

The following table summarizes the weighted-average assumptions used in determining benefit obligations:



	U.S. Benefit Plan				Non-U.S. Benefit Plan
	2015		2014		2015		2014
Discount rate	4.6	%	4.2	%	3.7	%	3.5	%
Rate of increase in compensation levels	3.5	%	3.5	%	—		—