Snap-on Announces Third Quarter 2012 Results

Diluted EPS of $1.26; Sales, excluding foreign currency effects, up 4.6%

KENOSHA, Wis. - October 18, 2012 - (BUSINESS WIRE)--Snap-on Incorporated (NYSE: SNA), a leading global innovator, manufacturer and marketer of tools, equipment, diagnostics, repair information and systems solutions for professional users performing critical tasks, today announced operating results for the third quarter of 2012.

  • Sales of $711.6 million increased $14.4 million, or 2.1%, from 2011 levels; excluding $16.6 million of unfavorable foreign currency translation, organic sales increased 4.6%.
  • Operating earnings before financial services of $96.2 million, including $12.2 million of higher year-over-year stock-based, mark-to-market expense, compares to $94.3 million last year.
  • Financial services operating earnings of $27.9 million increased $7.1 million from 2011 levels, reflecting the growth of the on-book finance portfolio.
  • Consolidated operating earnings of $124.1 million improved to 16.5% of revenues (net sales plus financial services revenue) as compared to $115.1 million, or 15.8% of revenues, last year.
  • Net earnings of $74.1 million, or $1.26 per diluted share, compares with net earnings of $67.8 million, or $1.16 per diluted share, last year.

“We believe our third quarter results demonstrate continued progress along our defined runways for coherent growth: enhancing the franchise network, expanding in the vehicle repair garage, extending into critical industries and building in emerging markets,” said Nick Pinchuk, Snap-on chairman and chief executive officer. “These results also underscore the way in which our commitment to the Snap-on Value Creation processes drives ongoing improvement in safety, quality, customer connection, innovation and rapid continuous improvement. As further evidence of our success in connecting with customers and translating that insight into winning innovation, we are honored to have been recognized again in 2012 by both MOTOR Magazine and Professional Tool & Equipment News with multiple awards for Snap-on products in each publication. Finally, these results and achievements reflect significant effort and dedication across the organization and I thank our franchisees and associates worldwide for their extraordinary contributions and commitment.”

Segment Results

Commercial & Industrial Group segment sales of $280.4 million in the third quarter increased $2.1 million, or 0.8%, from 2011 levels; excluding $8.8 million of unfavorable foreign currency translation, organic sales increased 4.0%.

Operating earnings of $33.4 million in the period increased $3.8 million, or 12.8%, from 2011 levels and the operating margin (operating earnings as a percentage of segment sales) of 11.9% increased from 10.6% a year ago.

Snap-on Tools Group segment sales of $308.8 million in the third quarter rose $29.2 million, or 10.4%, from 2011 levels; excluding $1.6 million of unfavorable foreign currency translation, organic sales increased 11.1%.

Operating earnings of $40.2 million in the period increased $4.6 million, or 12.9%, from 2011 levels and the operating margin of 13.0% improved from 12.7% a year ago.

Repair Systems & Information Group segment sales of $222.0 million in the third quarter decreased $0.6 million from 2011 levels; excluding $6.5 million of unfavorable foreign currency translation, organic sales rose 2.7%.

Operating earnings of $49.5 million in the period increased $5.8 million from 2011 levels and the operating margin of 22.3% increased from 19.6% a year ago.

Financial Services operating earnings were $27.9 million on $40.5 million of revenue in the third quarter of 2012, as compared to operating earnings of $20.8 million on $32.7 million of revenue a year ago.

Corporate expenses of $26.9 million increased $12.3 million from prior-year levels primarily due to $12.2 million of higher stock-based (mark-to-market) expense. As a result of changes in the company’s quarter-end stock price, operating expenses in the third quarter of 2012 included $4.4 million of mark-to-market expense, while operating expenses in the third quarter of 2011 were partially offset by $7.8 million of mark-to-market benefit.

Outlook

Snap-on expects to continue with its planned strategic investments to enhance its mobile tool distribution network, expand in the vehicle repair garage, extend to critical industries and build in emerging markets. As a result of these initiatives, Snap-on anticipates that capital expenditures in 2012 will be in a range of $75 million to $80 million, of which $59.5 million was spent in the first nine months of 2012. Snap-on anticipates that its full year 2012 effective income tax rate will approximate 33.2%.

Conference Call and Webcast October 18, 2012, at 9:00 a.m. Central Time

A discussion of this release will be webcast on Thursday, October 18, 2012, at 9:00 a.m. Central Time, and a replay will be available for at least 10 days following the call. To access the webcast and supporting materials, visitwww.snapon.com/sna and click on the link toward the bottom of the page. Additional detail about Snap-on is also available on the Snap-on web site.

About Snap-on

Snap-on Incorporated is a leading global innovator, manufacturer and marketer of tools, equipment, diagnostics, repair information and systems solutions for professional users performing critical tasks. Products and services include hand and power tools, tool storage, diagnostics software, information and management systems, shop equipment and other solutions for vehicle dealerships and repair centers, as well as for customers in industries, including aviation, aerospace, agriculture, construction, government and military, mining, natural resources and power generation. Products and services are sold through the company’s franchisee, company-direct, distributor and internet channels. Founded in 1920, Snap-on is a $2.9 billion, S&P 500 company headquartered in Kenosha, Wisconsin.

Forward-looking Statements

Statements in this news release that are not historical facts, including statements that (i) are in the future tense; (ii) include the words “expects,” “anticipates,” “intends,” “approximates,” or similar words that reference Snap-on or its management; (iii) are specifically identified as forward-looking; or (iv) describe Snap-on’s or management’s future outlook, plans, estimates, objectives or goals, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Snap-on cautions the reader that this news release contains statements, including earnings projections, that are forward-looking in nature and were developed by management in good faith and, accordingly, are subject to risks and uncertainties regarding Snap-on’s expected results that could cause (and in some cases have caused) actual results to differ materially from those described or contemplated in any forward-looking statement. Factors that may cause the company’s actual results to differ materially from those contained in the forward-looking statements include those found in the company’s reports filed with the Securities and Exchange Commission, including the information under the “Safe Harbor” and “Risk Factors” headings in its Annual Report on Form 10-K for the fiscal year ended December 31, 2011, which are incorporated herein by reference. Snap-on disclaims any responsibility to update any forward-looking statement provided in this news release, except as required by law.

For additional information, please visit www.snapon.com.

 
 
Snap-On Incorporated
Condensed Consolidated Statements of Earnings
(Amounts in millions, except per share data)
(unaudited)
                       
                       
                       
        Three Months Ended     Nine Months Ended
        Sept. 29,   Oct. 1,     Sept. 29,   Oct. 1,
        2012   2011     2012   2011
                       
Net sales       $  711.6     $   697.2       $  2,184.7     $  2,117.6  
Cost of goods sold         (371.2 )     (367.9 )       (1,146.7 )     (1,115.5 )
Gross profit          340.4         329.3          1,038.0        1,002.1  
Operating expenses         (244.2 )     ( 235.0 )       (   739.7 )     (   721.7 )
Operating earnings before financial services            96.2           94.3             298.3           280.4  
                       
Financial services revenue            40.5           32.7             118.4             88.8  
Financial services expenses         ( 12.6 )     (  11.9 )       (    41.0 )     (    38.0 )
Operating earnings from financial services                      
before arbitration settlement            27.9          20.8              77.4            50.8  
Arbitration settlement         -       -         -            18.0  
Operating earnings from financial services            27.9          20.8              77.4            68.8  
                       
Operating earnings          124.1         115.1            375.7           349.2  
Interest expense         ( 13.6 )     (  15.1 )       (    41.4 )     (    47.7 )
Other income (expense) – net         (   0.2 )     (    1.7 )       (      0.5 )     -  
Earnings before income taxes and                      
equity earnings          110.3          98.3            333.8           301.5  
Income tax expense         ( 34.9 )     (  30.5 )       ( 108.4 )     (    97.5 )
Earnings before equity earnings           75.4          67.8            225.4           204.0  
Equity earnings, net of tax             1.0            2.0                2.5               3.7  
Net earnings           76.4          69.8            227.9           207.7  
Net earnings attributable to noncontrolling interests         (   2.3 )     (   2.0 )       (     6.4 )     (      5.7 )
Net earnings attributable to Snap-on Inc.       $    74.1     $    67.8       $    221.5     $     202.0  
                       
                       
Net earnings per share attributable to Snap-on Inc.:                      
Basic       $    1.27     $     1.16       $      3.81     $       3.47  
Diluted            1.26           1.16              3.77             3.44  
                       
Weighted-average shares outstanding:                      
Basic          58.3        58.2            58.2           58.2  
Effect of dilutive options            0.6          0.5              0.6             0.5  
Diluted          58.9        58.7            58.8           58.7  

 

 
 
SNAP-ON INCORPORATED
Supplemental Segment Information
(Amounts in millions)
(unaudited)
                     
                     
      Three Months Ended     Nine Months Ended
      Sept. 29,   Oct. 1,     Sept. 29,   Oct. 1,
      2012   2011     2012   2011
                     
Net sales:                    
Commercial & Industrial Group     $ 280.4     $ 278.3       $    850.3     $    830.4  
Snap-on Tools Group       308.8       279.6            950.4          860.6  
Repair Systems & Information Group       222.0       222.6            675.5          684.1  
Segment net sales       811.2  

 

  780.5         2,476.2       2,375.1  
Intersegment eliminations       (99.6 )     (83.3 )       ( 291.5 )     ( 257.5 )
Total net sales     $ 711.6     $ 697.2       $ 2,184.7     $ 2,117.6  
Financial Services revenue         40.5         32.7            118.4            88.8  
Total revenues     $ 752.1     $ 729.9       $ 2,303.1     $ 2,206.4  
                     
Operating earnings:                    
Commercial & Industrial Group     $   33.4     $   29.6       $      95.4     $      90.4  
Snap-on Tools Group         40.2         35.6            130.8          118.9  
Repair Systems & Information Group         49.5         43.7            150.3          135.5  
Financial Services*         27.9         20.8              77.4            68.8  
Segment operating earnings       151.0  

 

  129.7            453.9          413.6  
Corporate       (26.9 )     (14.6 )       (   78.2 )     (   64.4 )
Operating earnings     $ 124.1     $ 115.1       $    375.7     $    349.2  
Interest expense       (13.6 )     (15.1 )       (   41.4 )     (   47.7 )
Other income (expense) – net       (  0.2 )     (  1.7 )       (     0.5 )     -  
Earnings before income taxes                    
and equity earnings     $ 110.3     $   98.3       $   333.8     $    301.5  
                     
                     
* For the nine month period ended October 1, 2011, Financial Services operating earnings included an $18.0 million
pretax arbitration settlement gain from a second quarter 2011 arbitration settlement.

 

 
 

SNAP-ON INCORPORATED

Reconciliation of non-GAAP Financial Measures

(Amounts in millions, except per share data)

(unaudited)

                   
                   
                   
      Three Months Ended   Nine Months Ended
      Sept. 29,   Oct. 1,   Sept. 29,   Oct. 1,
      2012   2011   2012   2011

AS REPORTED

               
  Net sales   $ 711.6     $ 697.2     $ 2,184.7     $ 2,117.6  
  Financial services revenue       40.5        32.7          118.4            88.8  
  Total revenues   $ 752.1     $ 729.9     $ 2,303.1     $ 2,206.4  
                   

PRO FORMA INFORMATION

               
                   
1) Operating earnings                
  As reported   $ 124.1     $ 115.1     $ 375.7     $ 349.2  
  Less: Arbitration settlement gain     -       -       -       (18.0 )
  Excluding arbitration settlement gain   $ 124.1     $ 115.1     $ 375.7     $ 331.2  
                   
  Operating earnings as a percentage of total revenues                
  As reported     16.5 %     15.8 %     16.3 %     15.8 %
  Excluding arbitration settlement gain     16.5 %     15.8 %     16.3 %     15.0 %
                   
                   
2) Arbitration settlement gain                
  As reported   $ -     $ -     $ -     $ 18.0  
  Income tax expense     -       -       -       ( 6.9 )
  Arbitration settlement gain, net of tax   $ -     $ -     $ -     $ 11.1  
                   
  Weighted-average shares outstanding - Diluted     58.9       58.7       58.8       58.7  
                   
  Diluted EPS - Arbitration settlement gain   $ -     $ -     $ -     $ 0.19  
                   
                   
3) Net earnings attributable to Snap-on Incorporated                
  As reported   $ 74.1     $ 67.8     $ 221.5     $ 202.0  
  Less: Arbitration settlement gain, net of tax     -       -       -       (11.1 )
  Excluding arbitration settlement gain   $ 74.1     $ 67.8     $ 221.5     $ 190.9  
                   
                   
4) Diluted EPS                
  As reported   $ 1.26     $ 1.16     $ 3.77     $  3.44  
  Less: Diluted EPS - Arbitration settlement gain     -       -       -       (0.19 )
  Excluding arbitration settlement gain   $ 1.26     $ 1.16     $ 3.77     $  3.25  
                   
                   
Snap-on is providing the above reconciliations of non-GAAP financial measures (excluding last year's $18.0 million pretax arbitration settlement gain recorded in the second quarter of 2011) as management believes that these non-GAAP measures provide a more meaningful comparison of the company's year-over-year operating performance.

 

 
 
SNAP-ON INCORPORATED
Condensed Consolidated Balance Sheets
(Amounts in millions)
(unaudited)
                 
                 
        Sept. 29,       Dec. 31,
        2012       2011
                 
Assets                
Cash and cash equivalents       $    176.1         $    185.6  
Trade and other accounts receivable – net            476.9              463.5  
Finance receivables – net            314.4              277.2  
Contract receivables – net              62.4                49.7  
Inventories – net            417.5              386.4  
Deferred income tax assets              91.3                92.6  
Prepaid expenses and other assets              85.3                75.7  
Total current assets         1,623.9           1,530.7  
                 
Property and equipment – net            373.3              352.9  
Deferred income tax assets            120.5              125.2  
Long-term finance receivables – net            481.9              431.8  
Long-term contract receivables – net            192.4              165.1  
Goodwill            799.9              795.8  
Other intangibles – net            187.5              188.3  
Other assets              92.5                83.1  
Total Assets       $ 3,871.9         $ 3,672.9  
                 
Liabilities and Equity                
Notes payable and current maturities of long-term debt       $      18.7         $      16.2  
Accounts payable            146.9              124.6  
Accrued benefits              47.9                48.8  
Accrued compensation              83.8                91.0  
Franchisee deposits              57.9                47.3  
Other accrued liabilities            266.4              255.9  
Total current liabilities            621.6              583.8  
                 
Long-term debt            971.2              967.9  
Deferred income tax liabilities            119.4              108.1  
Retiree health care benefits              49.2                52.8  
Pension liabilities            255.6              317.7  
Other long-term liabilities              98.6                95.3  
Total Liabilities         2,115.6           2,125.6  
                 
Equity                
Shareholders' Equity attributable to Snap-on Inc.                
Common stock              67.4                67.3  
Additional paid-in capital            205.0              181.4  
Retained earnings         2,004.8           1,843.7  
Accumulated other comprehensive loss         ( 131.0 )         ( 174.6 )
Treasury stock at cost         ( 406.5 )         ( 386.9 )
Total Shareholders' Equity attributable to Snap-on Inc.         1,739.7           1,530.9  
Noncontrolling interests              16.6                16.4  
Total Equity         1,756.3           1,547.3  
Total Liabilities and Equity       $ 3,871.9         $ 3,672.9  

 

 
 
SNAP-ON INCORPORATED
Condensed Consolidated Statements of Cash Flow
(Amounts in millions)
(unaudited)
                 
        Three Months Ended
        Sept. 29,       Oct. 1,
        2012       2011
                 
Operating activities:                
Net earnings       $ 76.4         $ 69.8  
Adjustments to reconcile net earnings to net cash provided (used) by                
operating activities:                
Depreciation            12.4              12.6  
Amortization of other intangibles              6.6                6.2  
Provision for losses on finance receivables              5.1                2.3  
Provision for losses on non-finance receivables              1.3                4.4  
Stock-based compensation expense              8.9                0.2  
Excess tax benefits from stock-based compensation         (   2.3 )         (    0.2 )
Deferred income tax provision (benefit)              1.0           (    4.8 )
Gain on sale of assets         -           (    0.1 )
Changes in operating assets and liabilities:                
(Increase) decrease in trade and other accounts receivable         (  16.0 )         (  11.9 )
(Increase) decrease in contract receivables         (  24.4 )         (  21.3 )
(Increase) decrease in inventories         (    8.0 )         (  19.4 )
(Increase) decrease in prepaid and other assets         (    5.0 )         (    9.0 )
Increase (decrease) in accounts payable              3.7           (    4.2 )
Increase (decrease) in accruals and other liabilities            10.0              17.4  
Net cash provided by operating activities            69.7              42.0  
                 
Investing activities:                
Additions to finance receivables         (140.7 )         (124.9 )
Collections of finance receivables           112.7              89.0  
Capital expenditures         (  19.7 )         (  13.3 )
Disposal of property and equipment              0.2                0.3  
Other              0.7           -  
Net cash used by investing activities         (  46.8 )         (  48.9 )
                 
Financing activities:                
Repayment of long-term debt         -           (200.0 )
Proceeds from short-term borrowings               4.7                4.0  
Repayments of short-term borrowings         (    5.6 )         (    4.3 )
Net increase (decrease) in other short-term borrowings               5.2           (    0.4 )
Purchase of treasury stock         (  23.7 )         (    2.9 )
Proceeds from stock purchase and option plans             17.8                1.8  
Cash dividends paid         (  19.8 )         (  19.0 )
Excess tax benefits from stock-based compensation              2.3                0.2  
Other         (    2.4 )         (    2.3 )
Net cash used by financing activities         (  21.5 )         (222.9 )
                 
Effect of exchange rate changes on cash and cash equivalents              1.1           (    2.7 )
Increase (decrease) in cash and cash equivalents              2.5           (232.5 )
                 
Cash and cash equivalents at beginning of period          173.6            418.2  
Cash and cash equivalents at end of period       $  176.1         $  185.7  
                 
Supplemental cash flow disclosures:                
Cash paid for interest       $ (  26.1 )       $ (  34.6 )
Net cash paid for income taxes         (  20.8 )         (  36.9 )

 

 
 
SNAP-ON INCORPORATED
Condensed Consolidated Statements of Cash Flow
(Amounts in millions)
(unaudited)
                 
        Nine Months Ended
        Sept. 29,       Oct. 1,
        2012       2011
                 
Operating activities:                
Net earnings       $ 227.9         $ 207.7  
Adjustments to reconcile net earnings to net cash provided (used) by                
operating activities:                
Depreciation           37.6              36.8  
Amortization of other intangibles           19.6              18.6  
Provision for losses on finance receivables           13.8                8.7  
Provision for losses on non-finance receivables             7.6              12.6  
Stock-based compensation expense           25.0              12.4  
Excess tax benefits from stock-based compensation         (   5.0 )         (   2.2 )
Deferred income tax provision (benefit)             3.6           (   9.2 )
Gain on sale of assets         (   0.9 )         -  
Changes in operating assets and liabilities:                
(Increase) decrease in trade and other accounts receivable         ( 18.9 )         ( 15.3 )
(Increase) decrease in contract receivables         ( 37.9 )         ( 43.3 )
(Increase) decrease in inventories         ( 27.4 )         ( 69.2 )
(Increase) decrease in prepaid and other assets         ( 32.0 )         ( 34.0 )
Increase (decrease) in accounts payable            23.8           ( 14.0 )
Increase (decrease) in accruals and other liabilities         ( 10.4 )         ( 53.4 )
Net cash provided by operating activities          226.4             56.2  
                 
Investing activities:                
Additions to finance receivables         (426.1 )         (386.5 )
Collections of finance receivables          328.9            259.7  
Capital expenditures         ( 59.5 )         (  46.6 )
Disposal of property and equipment              2.4                3.0  
Other              0.7                0.2  
Net cash used by investing activities         (153.6 )         (170.2 )
                 
Financing activities:                
Repayment of long-term debt         -           (200.0 )
Proceeds from short-term borrowings            11.2              15.2  
Repayments of short-term borrowings         (  14.1 )         (  16.3 )
Net increase (decrease) in other short-term borrowings              5.4           (    0.4 )
Purchase of treasury stock         (  61.8 )         (  37.4 )
Proceeds from stock purchase and option plans            40.3              28.1  
Cash dividends paid         (  59.4 )         (  56.5 )
Excess tax benefits from stock-based compensation              5.0                2.2  
Other         (    8.7 )         (    6.5 )
Net cash used by financing activities         (  82.1 )         (271.6 )
                 
Effect of exchange rate changes on cash and cash equivalents         (    0.2 )         (    0.9 )
Decrease in cash and cash equivalents         (    9.5 )         (386.5 )
                 
Cash and cash equivalents at beginning of year          185.6            572.2  
Cash and cash equivalents at end of period       $  176.1         $  185.7  
                 
Supplemental cash flow disclosures:                
Cash paid for interest       $ (  53.8 )       $ (  58.9 )
Net cash paid for income taxes         (  59.8 )         (108.8 )

 

 
 
SNAP-ON INCORPORATED
Supplemental Consolidating Data - Condensed Statements of Earnings
(Amounts in millions)
(unaudited)
                       
                       
        Operations*     Financial Services
        Three Months Ended     Three Months Ended
        Sept. 29,   Oct. 1,     Sept. 29,   Oct. 1,
        2012   2011     2012   2011
                       
Net sales     $  711.6     $   697.2       $ -     $ -  
Cost of goods sold       (371.2 )     (367.9 )       -       -  
Gross profit        340.4         329.3         -       -  
Operating expenses       (244.2 )     (235.0 )       -       -  
Operating earnings before financial services          96.2          94.3         -       -  
                       
Financial services revenue       -       -          40.5        32.7  
Financial services expenses       -       -         (12.6 )     (11.9 )
Operating earnings from financial services       -       -          27.9        20.8  
                       
Operating earnings         96.2          94.3          27.9       20.8  
Interest expense       ( 13.3 )     ( 14.8 )       ( 0.3 )     ( 0.3 )
Intersegment interest income (expense) – net         11.1           9.5         11.1 )     ( 9.5 )
Other income (expense) – net       (  0.2 )     (   1.6 )       -       ( 0.1 )
Earnings before income taxes and equity earnings        93.8         87.4         16.5        10.9  
Income tax expense       (28.8 )     ( 26.6 )       (6.1 )     ( 3.9 )
Earnings before equity earnings        65.0         60.8         10.4         7.0  
Financial services – net earnings                    
  attributable to Snap-on Inc.        10.4           7.0         -       -  
Equity earnings, net of tax          1.0           2.0         -       -  
Net earnings        76.4         69.8         10.4         7.0  
Net earnings attributable to noncontrolling interests       ( 2.3 )     (  2.0 )       -       -  
Net earnings attributable to Snap-on Inc.     $  74.1     $  67.8       $ 10.4     $   7.0  
                       
* Snap-on Inc. with Financial Services on the equity method.                    
  Transactions between Operations and Financial Services were eliminated to arrive at the consolidated financial statements.

 

 
 
SNAP-ON INCORPORATED
Supplemental Consolidating Data - Condensed Statements of Earnings
(Amounts in millions)
(unaudited)
                       
                       
        Operations*     Financial Services
        Nine Months Ended     Nine Months Ended
        Sept. 29,   Oct. 1,     Sept. 29,   Oct. 1,
        2012   2011     2012   2011
                       
Net sales     $   2,184.7     $  2,117.6       $ -     $ -  
Cost of goods sold       (1,146.7 )     (1,115.5 )       -       -  
Gross profit       1,038.0        1,002.1         -       -  
Operating expenses       (  739.7 )     (   721.7 )       -       -  
Operating earnings before financial services          298.3           280.4         -       -  
                       
Financial services revenue       -       -         118.4         88.8  
Financial services expenses       -       -         (41.0 )     (38.0 )
Operating earnings from financial services                    
before arbitration settlement       -       -          77.4        50.8  
Arbitration settlement       -       -         -        18.0  
Operating earnings from financial services       -       -          77.4        68.8  
                       
Operating earnings       298.3       280.4          77.4         68.8  
Interest expense       (40.5 )     ( 46.7 )       (  0.9 )     (  1.0 )
Intersegment interest income (expense) – net         31.3         26.2         (31.3 )     (26.2 )
Other income (expense) – net       (   0.4 )     -         (  0.1 )     -  
Earnings before income taxes and equity earnings       288.7       259.9          45.1         41.6  
Income tax expense       ( 91.8 )     ( 82.2 )       (16.6 )     (15.3 )
Earnings before equity earnings       196.9       177.7          28.5        26.3  
Financial services – net earnings                    
attributable to Snap-on Inc.         28.5         26.3         -       -  
Equity earnings, net of tax           2.5           3.7         -       -  
Net earnings       227.9       207.7          28.5        26.3  
Net earnings attributable to noncontrolling interests         (6.4 )     (   5.7 )       -       -  
Net earnings attributable to Snap-on Inc.     $ 221.5     $ 202.0       $  28.5     $  26.3  
                       
* Snap-on Incorporated with Financial Services on the equity method.                    
  Transactions between Operations and Financial Services were eliminated to arrive at the consolidated financial statements.

 

 
 
SNAP-ON INCORPORATED
Supplemental Consolidating Data - Condensed Balance Sheets
(Amounts in millions)
(unaudited)
                       
                       
        Operations*     Financial Services
        Sept. 29,   Dec. 31,     Sept. 29,   Dec. 31,
        2012   2011     2012   2011
                       
Assets                    
  Cash and cash equivalents     $    171.8   $   181.1     $       4.3   $    4.5
  Intersegment receivables            16.4         10.8       -     -
  Trade and other accounts receivable – net          476.7       463.3              0.2         0.2
  Finance receivables – net       -     -          314.4     277.2
  Contract receivables – net              6.7           6.5            55.7       43.2
  Inventories – net          417.5       386.4       -     -
  Deferred income tax assets            78.7         90.0            12.6         2.6
  Prepaid expenses and other assets            89.0         78.1              0.6         0.9
  Total current assets       1,256.8     1,216.2          387.8     328.6
                       
  Property and equipment – net          370.6        351.9              2.7         1.0
  Investment in Financial Services          163.1        142.0       -     -
  Deferred income tax assets          120.3        119.8              0.2         5.4
  Long-term finance receivables – net       -     -          481.9     431.8
  Long-term contract receivables – net            11.1            9.1          181.3     156.0
  Goodwill          799.9        795.8       -     -
  Other intangibles – net          187.5        188.3       -     -
  Other assets            93.6          83.7              1.0         1.0
Total Assets     $ 3,002.9   $ 2,906.8     $ 1,054.9   $ 923.8
                       
Liabilities and Equity                    
  Notes payable and current maturities of long-term debt     $      18.7   $      16.2     $ -   $ -
  Accounts payable          146.8        124.0              0.1         0.6
  Intersegment payables       -     -            16.4       10.8
  Accrued benefits            47.9          48.8       -     -
  Accrued compensation            81.0          87.1              2.8         3.9
  Franchisee deposits            57.9          47.3       -     -
  Other accrued liabilities          240.2        229.7            32.6       31.1
  Total current liabilities          592.5        553.1            51.9       46.4
                       
  Long-term debt and intersegment long-term debt          155.3        257.6          815.9     710.3
  Deferred income tax liabilities          118.0        108.0              1.4         0.1
  Retiree health care benefits            49.2          52.8       -     -
  Pension liabilities          255.6        317.7       -     -
  Other long-term liabilities            76.0          70.3            22.6       25.0
  Total Liabilities       1,246.6     1,359.5          891.8     781.8
                       
  Total Shareholders' Equity attributable to Snap-on Inc.       1,739.7     1,530.9          163.1     142.0
  Noncontrolling interests            16.6          16.4       -     -
  Total Equity       1,756.3     1,547.3          163.1     142.0
Total Liabilities and Equity     $ 3,002.9   $ 2,906.8     $ 1,054.9   $ 923.8
                       
* Snap-on Inc. with Financial Services on the equity method.                    
  Transactions between Operations and Financial Services were eliminated to arrive at the consolidated financial statements.

Contacts

Snap-on Incorporated

Investors
Leslie Kratcoski
262/656-6121

Media:
Richard Secor
262/656-5561

###

Share this Story:

Comments:

comments powered by Disqus

Franchise News Room »


News By Industry »


Featured Opportunities

Tony Roma's
After two decades of fast-paced international expansion, we are introducing a new generation of domestic customers to the Tony Roma’s experience....
The Dapper Doughnut
Hot mini donuts are taking the food industry by storm wherever they’re served and the gourmet dessert sector is booming. There is a growing...
Midas
Midas, a recognized brand throughout the world and highly renowned name in complete car care, is proud to be one of North America's original...
The Joint Corp.
The Joint® Chiropractic is reinventing chiropractic care. Our vision is to become the largest, most respected provider of chiropractic services...
Discovery Point Child Development Centers®
Leading education-based childcare franchise founded in 1988 with corporate headquarters in Atlanta, GA. with a turnkey business model, real estate...

Subscribe to Franchising.com Express

A Franchise Update Media Production
Franchise Update Media | P.O. Box 20547 // San Jose, CA 95160 // PH. (408) 402-5681
Copyright © 2001 - 2017. All Rights Reserved.

In Loving Memory Of Timothy Gardner (1987-2014)