Parent Company Condensed Balance Sheets

12 Months Ended

Dec. 31, 2019

Condensed Financial Information Disclosure [Abstract]

The condensed balance sheets of NACCO, the parent company, at December 31 are as follows:



	2019		2018
ASSETS
Cash and cash equivalents	$	120,016	$	84,819
Accounts receivable from affiliates	515		2,418
Current intercompany accounts receivable, net	1,255		868
Other current assets	10,448		4,508
Investment in subsidiaries	189,338		185,653
Property, plant and equipment, net	167		241
Other non-current assets	4,570		7,851
Total Assets	$	326,309	$	286,358
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities	$	5,257	$	5,148
Current portion of deferred compensation	13,465		—
Note payable to Bellaire	16,950		17,300
Deferred compensation	—		12,939
Other non-current liabilities	1,245		267
Stockholders’ equity	289,392		250,704
Total Liabilities and Stockholders’ Equity	$	326,309	$	286,358

The credit agreement at NACoal allows for the transfer of assets to NACCO under certain circumstances. The amount of NACCO's investment that was restricted at December 31, 2019 totaled approximately $1.7 million. The amount of unrestricted cash available to NACCO included in “Investment in subsidiaries” was $0.6 million at December 31, 2019. Dividends and management fees from its subsidiaries are the primary sources of cash for NACCO.

SCHEDULE I—CONDENSED FINANCIAL INFORMATION OF THE PARENT

NACCO INDUSTRIES, INC. AND SUBSIDIARIES

PARENT COMPANY CONDENSED BALANCE SHEETS



	December 31
	2019		2018
	(In thousands)
ASSETS
Cash and cash equivalents	$	120,016	$	84,819
Accounts receivable from affiliates	515		2,418
Current intercompany accounts receivable, net	1,255		868
Other current assets	10,448		4,508
Investment in subsidiaries	189,338		185,653
Property, plant and equipment, net	167		241
Other non-current assets	4,570		7,851
Total Assets	$	326,309	$	286,358
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities	$	5,257	$	5,148
Current portion of deferred compensation	13,465		—
Note payable to Bellaire	16,950		17,300
Deferred compensation	—		12,939
Other non-current liabilities	1,245		267
Stockholders’ equity	289,392		250,704
Total Liabilities and Stockholders’ Equity	$	326,309	$	286,358

See Notes to Parent Company Condensed Financial Statements.

SCHEDULE I—CONDENSED FINANCIAL INFORMATION OF THE PARENT

NACCO INDUSTRIES, INC. AND SUBSIDIARIES

PARENT COMPANY CONDENSED STATEMENTS OF COMPREHENSIVE INCOME



	Year Ended December 31
	2019			2018
	(In thousands)
Expense (income):
Intercompany interest expense	$	1,190		$	1,223
Other, net	(1,796		)	(613		)
	(606		)	610
Administrative and general expenses	6,403			5,962
Loss before income taxes	(5,797		)	(6,572		)
Income tax benefit	(3,819		)	(676		)
Net loss before equity in earnings of subsidiaries	(1,978		)	(5,896		)
Equity in earnings of subsidiaries	41,610			40,681
Net income	39,632			34,785
Current period pension and postretirement plan adjustment, net of $226 expense and $14 tax benefit in 2019 and 2018, respectively	758			(301		)
Pension settlement, net of $202 tax benefit in 2019	671			—
Reclassification of pension and postretirement adjustments into earnings, net of $90 and $85 tax benefit in 2019 and 2018, respectively	845			489
Total other comprehensive income	2,274			188
Comprehensive Income	$	41,906		$	34,973

See Notes to Parent Company Condensed Financial Statements.

SCHEDULE I—CONDENSED FINANCIAL INFORMATION OF THE PARENT

NACCO INDUSTRIES, INC. AND SUBSIDIARIES

PARENT COMPANY CONDENSED STATEMENTS OF CASH FLOWS



	Year Ended December 31
	2019			2018
	(In thousands)
Operating Activities
Net income	$	39,632		$	34,785
Equity in earnings of subsidiaries	41,610			40,681
Parent company only net loss	(1,978		)	(5,896		)
Net changes related to operating activities	3,671			(5,496		)
Net cash provided by (used for) operating activities	1,693			(11,392		)
Investing Activities
Expenditures for property, plant and equipment	—			(12		)
Net cash used for investing activities	—			(12		)
Financing Activities
Dividends received from subsidiaries	42,000			8,000
Notes payable to Bellaire	(350		)	(551		)
Purchase of treasury shares	(3,010		)	(1,294		)
Cash dividends paid	(5,132		)	(4,578		)
Other	(4		)	—
Net cash provided by financing activities	33,504			1,577
Cash and cash equivalents
Increase (decrease) for the period	35,197			(9,827		)
Balance at the beginning of the period	84,819			94,646
Balance at the end of the period	$	120,016		$	84,819

See Notes to Parent Company Condensed Financial Statements.

SCHEDULE I—CONDENSED FINANCIAL INFORMATION OF THE PARENT

NACCO INDUSTRIES, INC. AND SUBSIDIARIES

NOTES TO PARENT COMPANY CONDENSED FINANCIAL STATEMENTS

FOR THE YEAR ENDED DECEMBER 31, 2019 AND 2018

The notes to Consolidated Financial Statements, incorporated in Item 15 of this Form 10-K, are hereby incorporated by reference into these Notes to Parent Company Condensed Financial Statements.

NOTE A — ACCOUNTING POLICIES

NACCO Industries, Inc.^®(“NACCO” or the “parent company”) is the public holding company for The North American Coal Corporation^® ("NACoal"). In the Parent Company Condensed Financial Statements, NACCO's investment in subsidiaries is stated at cost plus equity in undistributed earnings of subsidiaries since the date of acquisition. NACCO's share of net income of unconsolidated subsidiaries is included in net income using the equity method. Parent Company financial statements should be read in conjunction with the Company's consolidated financial statements.

NOTE B — LONG-TERM OBLIGATIONS AND GUARANTEES

It is NACCO's policy not to guarantee the debt of NACoal.

NOTE C — UNRESTRICTED CASH

The amount of unrestricted cash available to NACCO, included in Investment in subsidiaries, was $0.6 million at December 31, 2019 and was in addition to the $120.0 million of cash included in the Parent Company Condensed Balance Sheet at December 31, 2019.