NOTE 15 - SHAREHOLDERS' DEFICIT
The following table reflects the changes in shareholders' deficit attributable to both Cliffs and the noncontrolling interests, primarily related to Tilden and Empire. Cliffs owns 100% of both mines as of September 30, 2017 and 85% and 79%, respectively, as of September 30, 2016:
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|
|
|
|
|
|
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|
(In Millions) |
|
Cliffs
Shareholders’
Equity (Deficit) |
|
Noncontrolling
Interest (Deficit) |
|
Total Equity
(Deficit) |
December 31, 2016 |
$ |
(1,464.3 |
) |
|
$ |
133.8 |
|
|
$ |
(1,330.5 |
) |
Comprehensive loss |
|
|
|
|
|
Net income (loss) |
57.1 |
|
|
(3.9 |
) |
|
53.2 |
|
Other comprehensive income |
4.2 |
|
|
1.1 |
|
|
5.3 |
|
Total comprehensive income (loss) |
61.3 |
|
|
(2.8 |
) |
|
58.5 |
|
Issuance of common shares |
661.3 |
|
|
— |
|
|
661.3 |
|
Stock and other incentive plans |
13.5 |
|
|
— |
|
|
13.5 |
|
Acquisition of noncontrolling interest |
(89.1 |
) |
|
(15.9 |
) |
|
(105.0 |
) |
Distribution of partnership equity |
(16.0 |
) |
|
(116.7 |
) |
|
(132.7 |
) |
Distributions to noncontrolling interest |
— |
|
|
1.8 |
|
|
1.8 |
|
September 30, 2017 |
$ |
(833.3 |
) |
|
$ |
0.2 |
|
|
$ |
(833.1 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(In Millions) |
|
Cliffs
Shareholders’
Equity (Deficit) |
|
Noncontrolling
Interest (Deficit) |
|
Total Equity
(Deficit) |
December 31, 2015 |
$ |
(1,981.4 |
) |
|
$ |
169.8 |
|
|
$ |
(1,811.6 |
) |
Comprehensive income |
|
|
|
|
|
Net income |
95.0 |
|
|
23.5 |
|
|
118.5 |
|
Other comprehensive income |
16.8 |
|
|
2.2 |
|
|
19.0 |
|
Total comprehensive income |
111.8 |
|
|
25.7 |
|
|
137.5 |
|
Issuance of common shares |
315.2 |
|
|
— |
|
|
315.2 |
|
Stock and other incentive plans |
10.1 |
|
|
— |
|
|
10.1 |
|
Distributions of partnership equity |
— |
|
|
(48.8 |
) |
|
(48.8 |
) |
Distributions to noncontrolling interest |
— |
|
|
(2.9 |
) |
|
(2.9 |
) |
September 30, 2016 |
$ |
(1,544.3 |
) |
|
$ |
143.8 |
|
|
$ |
(1,400.5 |
) |
The following table reflects the changes in Accumulated other comprehensive loss related to Cliffs shareholders’ deficit for September 30, 2017 and September 30, 2016:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(In Millions) |
|
Changes in Pension and Other Post-Retirement Benefits,
net of tax |
|
Unrealized Net Gain (Loss) on Foreign Currency Translation |
|
Accumulated Other Comprehensive Loss |
December 31, 2016 |
$ |
(260.6 |
) |
|
$ |
239.3 |
|
|
$ |
(21.3 |
) |
Other comprehensive income (loss) before reclassifications |
3.3 |
|
|
(12.7 |
) |
|
(9.4 |
) |
Net loss reclassified from accumulated other comprehensive loss |
6.4 |
|
|
— |
|
|
6.4 |
|
March 31, 2017 |
$ |
(250.9 |
) |
|
$ |
226.6 |
|
|
$ |
(24.3 |
) |
Other comprehensive loss before reclassifications |
(0.1 |
) |
|
(1.5 |
) |
|
(1.6 |
) |
Net loss reclassified from accumulated other comprehensive loss |
6.5 |
|
|
— |
|
|
6.5 |
|
June 30, 2017 |
$ |
(244.5 |
) |
|
$ |
225.1 |
|
|
$ |
(19.4 |
) |
Other comprehensive income (loss) before reclassifications |
(18.7 |
) |
|
0.5 |
|
|
(18.2 |
) |
Net loss reclassified from accumulated other comprehensive loss |
6.8 |
|
|
— |
|
|
6.8 |
|
September 30, 2017 |
$ |
(256.4 |
) |
|
$ |
225.6 |
|
|
$ |
(30.8 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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|
(In Millions) |
|
Changes in Pension and Other Post-Retirement Benefits, net of tax |
|
Unrealized Net Gain (Loss) on Securities, net of tax |
|
Unrealized Net Gain (Loss) on Foreign Currency Translation |
|
Net Unrealized Gain (Loss) on Derivative Financial Instruments, net of tax |
|
Accumulated Other Comprehensive Loss |
December 31, 2015 |
$ |
(241.4 |
) |
|
$ |
0.1 |
|
|
$ |
220.7 |
|
|
$ |
2.6 |
|
|
$ |
(18.0 |
) |
Other comprehensive income (loss) before reclassifications |
(1.5 |
) |
|
(0.1 |
) |
|
4.4 |
|
|
(3.4 |
) |
|
(0.6 |
) |
Net loss reclassified from accumulated other comprehensive loss |
6.3 |
|
|
— |
|
|
— |
|
|
— |
|
|
6.3 |
|
March 31, 2016 |
$ |
(236.6 |
) |
|
$ |
— |
|
|
$ |
225.1 |
|
|
$ |
(0.8 |
) |
|
$ |
(12.3 |
) |
Other comprehensive income (loss) before reclassifications |
(0.4 |
) |
|
— |
|
|
(2.7 |
) |
|
0.1 |
|
|
(3.0 |
) |
Net loss reclassified from accumulated other comprehensive loss |
6.3 |
|
|
— |
|
|
— |
|
|
— |
|
|
6.3 |
|
June 30, 2016 |
$ |
(230.7 |
) |
|
$ |
— |
|
|
$ |
222.4 |
|
|
$ |
(0.7 |
) |
|
$ |
(9.0 |
) |
Other comprehensive income (loss) before reclassifications |
(0.5 |
) |
|
— |
|
|
0.9 |
|
|
— |
|
|
0.4 |
|
Net loss reclassified from accumulated other comprehensive income (loss) |
6.7 |
|
|
— |
|
|
— |
|
|
0.7 |
|
|
7.4 |
|
September 30, 2016 |
$ |
(224.5 |
) |
|
$ |
— |
|
|
$ |
223.3 |
|
|
$ |
— |
|
|
$ |
(1.2 |
) |
The following table reflects the details about Accumulated other comprehensive loss components related to Cliffs shareholders’ deficit for the three and nine months ended September 30, 2017 and 2016:
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|
(In Millions) |
|
|
Details about Accumulated Other Comprehensive Income (Loss) Components |
|
Amount of (Gain)/Loss Reclassified into Income |
|
Affected Line Item in the Statement of Unaudited Condensed Consolidated Operations |
|
Three Months Ended
September 30, |
|
Nine Months Ended
September 30, |
|
|
2017 |
|
2016 |
|
2017 |
|
2016 |
|
Amortization of pension and postretirement benefit liability: |
|
|
|
|
|
|
|
|
|
|
Prior service credits1
|
|
$ |
(0.2 |
) |
|
$ |
(0.4 |
) |
|
$ |
(0.4 |
) |
|
$ |
(1.2 |
) |
|
|
Net actuarial loss1
|
|
7.0 |
|
|
7.1 |
|
|
20.1 |
|
|
20.4 |
|
|
|
Total before taxes |
|
6.8 |
|
|
6.7 |
|
|
19.7 |
|
|
19.2 |
|
|
|
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
Income tax benefit |
|
|
$ |
6.8 |
|
|
$ |
6.7 |
|
|
$ |
19.7 |
|
|
$ |
19.2 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unrealized gain (loss) on derivative financial instruments: |
|
|
|
|
|
|
|
|
|
|
Treasury lock |
|
$ |
— |
|
|
$ |
1.2 |
|
|
$ |
— |
|
|
$ |
1.2 |
|
|
Gain (loss) on extinguishment/restructuring of debt |
|
|
— |
|
|
(0.5 |
) |
|
— |
|
|
(0.5 |
) |
|
Income tax benefit |
|
|
$ |
— |
|
|
$ |
0.7 |
|
|
$ |
— |
|
|
$ |
0.7 |
|
|
Net of taxes |
|
|
|
|
|
|
|
|
|
|
|
Total reclassifications for the period, net of tax |
|
$ |
6.8 |
|
|
$ |
7.4 |
|
|
$ |
19.7 |
|
|
$ |
19.9 |
|
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1 These accumulated other comprehensive income components are included in the computation of net periodic benefit cost (credit). Refer to NOTE 7 - PENSIONS AND OTHER POSTRETIREMENT BENEFITS for further information.
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