Properties and Equipment, Net

12 Months Ended

Dec. 31, 2018

Property, Plant and Equipment [Abstract]

PROPERTIES AND EQUIPMENT, NET

The following table summarizes the components of properties and equipment, net:



(in millions)	2018		2017
Land	$	3.7	$	3.7
Buildings and improvements	35.8		34.7
Machinery and equipment	138.5		130.6
Total property and equipment, at cost	178.0		169.0
Less: Accumulated depreciation	116.0		108.9
Properties and equipment, net	$	62.0	$	60.1

In July 2008, the Company entered into sale-leaseback transactions for its Elgin and University Park, Illinois plant locations. Net proceeds received were $35.8 million, resulting in a deferred gain of $29.0 million. The deferred gain is being amortized over the 15-year life of the respective leases. The deferred gain balance was $8.7 million and $10.6 million at December 31, 2018 and 2017, respectively. Of these amounts, $1.9 million and $1.9 million, were included within Other current liabilities on the Consolidated Balance Sheets at December 31, 2018 and 2017, respectively. As discussed further in Note 19 – New Accounting Pronouncements (Issued But Not Yet Adopted), in connection with the Company’s adoption of the new lease accounting standard effective January 1, 2019, the remaining deferred gain balance of $8.7 million will be recognized as a cumulative effect adjustment to opening retained earnings.

The Company leases certain facilities and equipment under operating leases, some of which contain options to renew. Total rental expense on all operating leases was $8.8 million in 2018, $8.5 million in 2017 and $8.3 million in 2016. Sublease income and contingent rentals relating to operating leases were insignificant. At December 31, 2018, minimum future rental commitments under operating leases having non-cancelable lease terms in excess of one year aggregated $34.3 million and were payable as follows: $8.9 million in 2019, $8.0 million in 2020, $6.9 million in 2021, $5.9 million in 2022, $3.4 million in 2023 and $1.2 million thereafter.