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(Mark One)
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þ
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ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
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For the fiscal year ended December 31, 2016
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OR
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||
o
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TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
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For the transition period from to
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Delaware
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13-3668641
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(State or other jurisdiction of
incorporation or organization)
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(I.R.S. Employer
Identification No.)
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Title of Each Class
|
|
Name of Each Exchange on Which Registered
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Common Stock, $0.01 par value
|
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New York Stock Exchange
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Preferred Stock Purchase Rights
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New York Stock Exchange
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Large accelerated filer
þ
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Accelerated filer
o
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Non-accelerated filer
o
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Smaller reporting company
o
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Document
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Part of Form 10-K Into Which Incorporated
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Certain Sections of the Proxy Statement for 2016
|
|
Part III
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Annual Meeting of Shareholders
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Page
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||
EX-21
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EX-23.1
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EX-31.1
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EX-31.2
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||
EX-31.3
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||
EX-32
|
||
EX-101 INSTANCE DOCUMENT
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||
EX-101 SCHEMA DOCUMENT
|
||
EX-101 CALCULATION LINKBASE DOCUMENT
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||
EX-101 LABELS LINKBASE DOCUMENT
|
||
EX-101 PRESENTATION LINKBASE DOCUMENT
|
||
EX-101 DEFINITION LINKBASE DOCUMENT
|
Item 1.
|
Business
|
•
|
technology advancements, which generate new products or features and increase the value of our products. These advancements may be in the form of enhanced or new functionality, new applications for our technologies, more accurate or reliable measurement, additional software capability, or automation through robotics or other means.
|
•
|
cost reductions, which reduce the manufacturing cost of our products through better overall design and/or improve the ease of serviceability.
|
•
|
Corporate Governance Guidelines
|
•
|
Audit Committee Charter
|
•
|
Compensation Committee Charter
|
•
|
Nominating and Corporate Governance Committee Charter
|
•
|
Code of Conduct
|
•
|
Sustainability Report
|
Item 1A.
|
Risk Factors
|
•
|
local tariffs and trade barriers;
|
•
|
countries may revise or alter their respective legal and regulatory requirements;
|
•
|
difficulties in staffing and managing local operations and/or mandatory salary increases;
|
•
|
credit risks arising from financial difficulties facing local customers and distributors;
|
•
|
difficulties in protecting intellectual property;
|
•
|
nationalization of private enterprises which may result in the confiscation of assets, as we hold significant assets around the world in the form of property, plant, and equipment, inventory, and accounts receivable, as well as
$103 million
of cash at
December 31, 2016
in our Chinese subsidiaries;
|
•
|
restrictions on investments and/or limitations regarding foreign ownership;
|
•
|
adverse tax consequences, including tax disputes, imposition or increase of withholding and other taxes on remittances and other payments by subsidiaries;
|
•
|
other uncertain local economic, political, and social conditions, including hyper-inflationary conditions or periods of low or no productivity growth; and
|
•
|
credit tightening or reduction in credit availability for local customers.
|
•
|
a drop in demand for our products;
|
•
|
companies being unable to finance their businesses;
|
•
|
difficulty in obtaining materials and supplies;
|
•
|
potential devaluation and/or impairment of assets;
|
•
|
difficulty in collecting accounts receivables;
|
•
|
an increase in accounts receivable write-offs; and
|
•
|
greater foreign exchange rate volatility affecting our profitability and cash flow.
|
•
|
the outlook for our end markets and the global economy;
|
•
|
the impact of external factors on our competition;
|
•
|
the financial position of our customers;
|
•
|
the estimated costs of purchasing materials;
|
•
|
developments in personnel costs;
|
•
|
our estimated income tax expense; and
|
•
|
rates for currency exchange, particularly between the Swiss franc and the euro.
|
•
|
our ability to implement our business strategy;
|
•
|
our ability to implement price increases as forecasted;
|
•
|
the effectiveness of our sales and marketing programs such as our Spinnaker and market penetration and Field Turbo initiatives;
|
•
|
the effectiveness of our programs to improve our service business, including growth, globalization and productivity initiatives;
|
•
|
our ability to develop and deliver innovative products and services;
|
•
|
the continued growth of our sales in emerging markets; and
|
•
|
the effectiveness of productivity and cost saving initiatives.
|
Item 1B.
|
Unresolved Staff Comments
|
Item 2.
|
Properties
|
Location
|
|
Owned/Leased
|
|
Business Segment
|
|
|
|
|
|
Europe:
|
|
|
|
|
Greifensee/Nanikon, Switzerland
|
|
Owned
|
|
Swiss Operations
|
Uznach, Switzerland
|
|
Owned
|
|
Swiss Operations
|
Urdorf, Switzerland
|
|
Owned
|
|
Swiss Operations
|
Schwerzenbach, Switzerland
|
|
Leased
|
|
Swiss Operations
|
Manchester, England
|
|
Leased
|
|
Western European Operations
|
Royston, England
|
|
Owned
|
|
Western European Operations
|
Salford, England
|
|
Leased
|
|
Western European Operations
|
Viroflay, France (two facilities)
|
|
Building Owned
|
|
Western European Operations
|
|
|
Building Leased
|
|
|
Albstadt, Germany
|
|
Owned
|
|
Western European Operations
|
Giessen, (Hesse) Germany
|
|
Owned
|
|
Western European Operations
|
Giesen, (Lower Saxony) Germany
|
|
Owned
|
|
Western European Operations
|
Warsaw, Poland
|
|
Leased
|
|
Other Operations
|
Americas:
|
|
|
|
|
Columbus, Ohio
|
|
Leased
|
|
U.S. Operations
|
Worthington, Ohio (two facilities)
|
|
Owned
|
|
U.S. Operations
|
Oakland, California
|
|
Owned
|
|
U.S. Operations
|
Billerica, Massachusetts
|
|
Leased
|
|
U.S. Operations
|
Ithaca, New York
|
|
Owned
|
|
U.S. Operations
|
Tampa, Florida
|
|
Leased
|
|
U.S. Operations
|
Thorofare, New Jersey
|
|
Owned
|
|
U.S. Operations
|
Other:
|
|
|
|
|
Shanghai, China (two facilities)
|
|
Buildings Owned;
|
|
Chinese Operations
|
|
|
Land Leased
|
|
|
Changzhou, China (two facilities)
|
|
Buildings Owned;
|
|
Chinese Operations
|
|
|
Land Leased
|
|
|
ChengDu, China
|
|
Buildings Owned;
|
|
Chinese Operations
|
|
|
Land Leased
|
|
|
Mumbai, India (three facilities)
|
|
Leased
|
|
Other Operations
|
Item 3.
|
Legal Proceedings
|
Item 5.
|
Market for Registrant’s Common Equity, Related Stockholder Matters, and Issuer Purchases of Equity Securities
|
|
Common Stock Price
Range
|
||||||
|
High
|
|
Low
|
||||
2016
|
|
|
|
|
|
||
Fourth Quarter
|
$
|
429.91
|
|
|
$
|
397.73
|
|
Third Quarter
|
$
|
419.83
|
|
|
$
|
363.19
|
|
Second Quarter
|
$
|
385.50
|
|
|
$
|
347.76
|
|
First Quarter
|
$
|
347.09
|
|
|
$
|
298.14
|
|
2015
|
|
|
|
|
|
||
Fourth Quarter
|
$
|
345.75
|
|
|
$
|
283.27
|
|
Third Quarter
|
$
|
346.92
|
|
|
$
|
277.62
|
|
Second Quarter
|
$
|
343.44
|
|
|
$
|
317.01
|
|
First Quarter
|
$
|
331.84
|
|
|
$
|
289.09
|
|
|
|
Total Number of
Shares Purchased
|
|
Average Price Paid
per Share
|
|
Total Number of
Shares Purchased as
Part of Publicly
Announced
Program
|
|
Approximate Dollar
Value (in thousands) of
Shares that may yet be
Purchased under the
Program
|
||||||
Period
|
|
|
|
|
||||||||||
October 1 to October 31, 2016
|
|
91,077
|
|
|
$
|
411.75
|
|
|
91,077
|
|
|
$
|
1,070,914
|
|
November 1 to November 30, 2016
|
|
105,291
|
|
|
415.47
|
|
|
105,291
|
|
|
1,027,167
|
|
||
December 1 to December 31, 2016
|
|
104,064
|
|
|
420.37
|
|
|
104,064
|
|
|
983,419
|
|
||
Total
|
|
300,432
|
|
|
$
|
416.04
|
|
|
300,432
|
|
|
$
|
983,419
|
|
Item 6.
|
Selected Financial Data
|
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|
2012
|
||||||||||
Statement of Operations Data:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Net sales
|
$
|
2,508,257
|
|
|
$
|
2,395,447
|
|
|
$
|
2,485,983
|
|
|
$
|
2,378,972
|
|
|
$
|
2,341,528
|
|
Cost of sales
|
1,072,670
|
|
|
1,043,454
|
|
|
1,127,233
|
|
|
1,097,041
|
|
|
1,100,473
|
|
|||||
Gross profit
|
1,435,587
|
|
|
1,351,993
|
|
|
1,358,750
|
|
|
1,281,931
|
|
|
1,241,055
|
|
|||||
Research and development
|
119,968
|
|
|
119,076
|
|
|
123,297
|
|
|
116,346
|
|
|
112,530
|
|
|||||
Selling, general, and administrative
|
732,622
|
|
|
700,810
|
|
|
728,582
|
|
|
692,693
|
|
|
684,026
|
|
|||||
Amortization
|
36,052
|
|
|
30,951
|
|
|
29,185
|
|
|
24,539
|
|
|
21,357
|
|
|||||
Interest expense
|
28,026
|
|
|
27,451
|
|
|
24,537
|
|
|
22,711
|
|
|
22,764
|
|
|||||
Restructuring charges
(a)
|
6,235
|
|
|
11,148
|
|
|
5,915
|
|
|
19,830
|
|
|
16,687
|
|
|||||
Other charges (income), net
(b)
|
8,491
|
|
|
(867
|
)
|
|
2,230
|
|
|
3,103
|
|
|
1,090
|
|
|||||
Earnings before taxes
|
504,193
|
|
|
463,424
|
|
|
445,004
|
|
|
402,709
|
|
|
382,601
|
|
|||||
Provision for taxes
|
119,823
|
|
|
110,604
|
|
|
106,763
|
|
|
96,615
|
|
|
91,754
|
|
|||||
Net earnings
|
$
|
384,370
|
|
|
$
|
352,820
|
|
|
$
|
338,241
|
|
|
$
|
306,094
|
|
|
$
|
290,847
|
|
Basic earnings per common share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Net earnings
|
$
|
14.49
|
|
|
$
|
12.75
|
|
|
$
|
11.71
|
|
|
$
|
10.22
|
|
|
$
|
9.37
|
|
Weighted average number of common shares
|
26,517,768
|
|
|
27,680,918
|
|
|
28,890,771
|
|
|
29,945,954
|
|
|
31,044,532
|
|
|||||
Diluted earnings per common share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Net earnings
|
$
|
14.22
|
|
|
$
|
12.48
|
|
|
$
|
11.44
|
|
|
$
|
9.96
|
|
|
$
|
9.14
|
|
Weighted average number of common and common equivalent shares
|
27,023,905
|
|
|
28,269,615
|
|
|
29,571,308
|
|
|
30,728,482
|
|
|
31,824,077
|
|
|||||
Balance Sheet Data:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Cash and cash equivalents
|
$
|
158,674
|
|
|
$
|
98,887
|
|
|
$
|
85,263
|
|
|
$
|
111,874
|
|
|
$
|
101,702
|
|
Working capital
(c)(d)
|
169,569
|
|
|
152,721
|
|
|
172,380
|
|
|
225,551
|
|
|
211,768
|
|
|||||
Total assets
(d)
|
2,166,777
|
|
|
1,959,335
|
|
|
1,973,532
|
|
|
2,120,755
|
|
|
2,006,009
|
|
|||||
Long-term debt
(d)
|
875,056
|
|
|
575,138
|
|
|
334,134
|
|
|
395,102
|
|
|
346,503
|
|
|||||
Other non-current liabilities
(e)
|
204,957
|
|
|
194,552
|
|
|
218,108
|
|
|
193,170
|
|
|
240,886
|
|
|||||
Shareholders’ equity
(f)
|
434,943
|
|
|
580,457
|
|
|
719,595
|
|
|
935,052
|
|
|
827,219
|
|
(a)
|
Restructuring charges primarily relate to our global cost reduction programs. See Note 14 to the audited consolidated financial statements.
|
(b)
|
Other charges (income), net consists primarily of interest income, (gains) losses from foreign currency transactions and hedging activity, interest income, and other items. Other charges (income), net for 2016 also includes a one-time non-cash pension settlement charge of $8.2 million related to a lump sum offering to former employees of our U.S. pension plan, and acquisition transaction costs of $1.1 million.
|
(c)
|
Working capital represents total current assets net of cash, less total current liabilities net of short-term borrowings and current maturities of long-term debt.
|
(d)
|
Certain reclassifications have been made to prior year amounts to conform to the current year presentation.
|
(e)
|
Other non-current liabilities consist of pension and other post-retirement liabilities, plus certain other non-current liabilities. See Note 12 to the audited consolidated financial statements for pension and other post-retirement disclosures.
|
(f)
|
No dividends were paid during the five-year period ended
December 31, 2016
.
|
Item 7.
|
Management’s Discussion and Analysis of Financial Condition and Results of Operations
|
|
2016
|
|
2015
|
|
2014
|
|
Increase
(Decrease) in % 2016 vs. 2015 |
|
Increase
(Decrease) in % 2015 vs. 2014 |
||||||
Net sales
|
$
|
958,542
|
|
|
$
|
913,842
|
|
|
$
|
847,706
|
|
|
5%
|
|
8%
|
Net sales to external customers
|
$
|
867,962
|
|
|
$
|
826,354
|
|
|
$
|
757,243
|
|
|
5%
|
|
9%
|
Segment profit
|
$
|
161,539
|
|
|
$
|
147,491
|
|
|
$
|
123,278
|
|
|
10%
|
|
20%
|
|
2016
|
|
2015
|
|
2014
|
|
Increase
(Decrease) in % (1) 2016 vs. 2015 |
|
Increase
(Decrease) in % (1) 2015 vs. 2014 |
||||||
Net sales
|
$
|
655,657
|
|
|
$
|
632,326
|
|
|
$
|
687,541
|
|
|
4%
|
|
(8)%
|
Net sales to external customers
|
$
|
130,674
|
|
|
$
|
133,684
|
|
|
$
|
137,756
|
|
|
(2)%
|
|
(3)%
|
Segment profit
|
$
|
163,663
|
|
|
$
|
160,763
|
|
|
$
|
149,987
|
|
|
2%
|
|
7%
|
(1)
|
Represents U.S. dollar growth for net sales and segment profit.
|
|
2016
|
|
2015
|
|
2014
|
|
Increase
(Decrease) in % (1) 2016 vs. 2015 |
|
Increase
(Decrease) in % (1) 2015 vs. 2014 |
||||||
Net sales
|
$
|
817,059
|
|
|
$
|
785,660
|
|
|
$
|
903,052
|
|
|
4%
|
|
(13)%
|
Net sales to external customers
|
$
|
640,558
|
|
|
$
|
620,128
|
|
|
$
|
708,755
|
|
|
3%
|
|
(13)%
|
Segment profit
|
$
|
123,507
|
|
|
$
|
107,424
|
|
|
$
|
119,603
|
|
|
15%
|
|
(10)%
|
(1)
|
Represents U.S. dollar growth for net sales and segment profit.
|
|
2016
|
|
2015
|
|
2014
|
|
Increase
(Decrease) in % (1) 2016 vs. 2015 |
|
Increase
(Decrease) in % (1) 2015 vs. 2014 |
||||||
Net sales
|
$
|
606,307
|
|
|
$
|
591,178
|
|
|
$
|
579,557
|
|
|
3%
|
|
2%
|
Net sales to external customers
|
$
|
386,541
|
|
|
$
|
376,291
|
|
|
$
|
415,474
|
|
|
3%
|
|
(9)%
|
Segment profit
|
$
|
187,924
|
|
|
$
|
165,532
|
|
|
$
|
163,832
|
|
|
14%
|
|
1%
|
(1)
|
Represents U.S. dollar growth for net sales and segment profit.
|
|
2016
|
|
2015
|
|
2014
|
|
Increase
(Decrease) in % (1) 2016 vs. 2015 |
|
Increase
(Decrease) in % (1) 2015 vs. 2014 |
||||||
Net sales
|
$
|
490,231
|
|
|
$
|
447,077
|
|
|
$
|
474,282
|
|
|
10%
|
|
(6)%
|
Net sales to external customers
|
$
|
482,522
|
|
|
$
|
438,990
|
|
|
$
|
466,755
|
|
|
10%
|
|
(6)%
|
Segment profit
|
$
|
64,060
|
|
|
$
|
50,821
|
|
|
$
|
52,869
|
|
|
26%
|
|
(4)%
|
(1)
|
Represents U.S. dollar growth for net sales and segment profit.
|
|
U.S. Dollar
|
|
Other Principal
Trading Currencies
|
|
Total
|
||||||
$50 million Senior Notes, interest at 3.67%, due December 17, 2022
|
$
|
50,000
|
|
|
$
|
—
|
|
|
$
|
50,000
|
|
$50 million Senior Notes, interest 4.10%, due September 19, 2023
|
50,000
|
|
|
—
|
|
|
50,000
|
|
|||
$125 million Senior Notes, interest 3.84%, due September 19, 2024
|
125,000
|
|
|
—
|
|
|
125,000
|
|
|||
$125 million Senior Notes, interest 4.24%, due June 25, 2025
|
125,000
|
|
|
—
|
|
|
125,000
|
|
|||
Euro 125 million Senior Notes, interest 1.47%, due June 17, 2030
|
—
|
|
|
131,507
|
|
|
131,507
|
|
|||
Debt issuance costs, net
|
(1,257
|
)
|
|
(385
|
)
|
|
(1,642
|
)
|
|||
Total Senior Notes
|
348,743
|
|
|
131,122
|
|
|
479,865
|
|
|||
$800 million Credit Agreement, interest at LIBOR plus 87.5 basis points
|
338,541
|
|
|
56,650
|
|
|
395,191
|
|
|||
Other local arrangements
|
304
|
|
|
18,670
|
|
|
18,974
|
|
|||
Total debt
|
687,588
|
|
|
206,442
|
|
|
894,030
|
|
|||
Less: current portion
|
(304
|
)
|
|
(18,670
|
)
|
|
(18,974
|
)
|
|||
Total long-term debt
|
$
|
687,284
|
|
|
$
|
187,772
|
|
|
$
|
875,056
|
|
|
Payments Due by Period
|
||||||||||||||||||
|
Total
|
|
Less than 1 Year
|
|
1-3 Years
|
|
3-5 Years
|
|
After 5 Years
|
||||||||||
Short and long-term debt
|
$
|
895,672
|
|
|
$
|
18,974
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
876,698
|
|
Interest on debt
|
189,903
|
|
|
26,383
|
|
|
55,157
|
|
|
55,075
|
|
|
53,288
|
|
|||||
Non-cancelable operating leases
|
111,388
|
|
|
30,177
|
|
|
43,419
|
|
|
23,675
|
|
|
14,117
|
|
|||||
Pension and post-retirement funding
(1)
|
19,501
|
|
|
19,501
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Purchase obligations
|
65,054
|
|
|
61,329
|
|
|
3,725
|
|
|
—
|
|
|
—
|
|
|||||
Total
(1)
|
$
|
1,281,518
|
|
|
$
|
156,364
|
|
|
$
|
102,301
|
|
|
$
|
78,750
|
|
|
$
|
944,103
|
|
(1)
|
In addition to the above table, we also have liabilities for pension and post-retirement funding and income taxes. However, we cannot determine the timing or the amounts for income taxes or the timing and amounts beyond
2017
for pension and post-retirement funding.
|
Item 7A.
|
Quantitative and Qualitative Disclosures about Market Risk
|
Item 8.
|
Financial Statements and Supplementary Data
|
Item 9.
|
Changes in and Disagreements with Accountants on Accounting and Financial Disclosure
|
Item 9A.
|
Controls and Procedures
|
Item 9B.
|
Other Information
|
Item 10.
|
Directors, Executive Officers, and Corporate Governance
|
Name
|
|
Age
|
|
Position
|
Olivier A. Filliol
|
|
50
|
|
President and Chief Executive Officer
|
Thomas Caratsch
|
|
58
|
|
Head of Laboratory
|
Marc de La Guéronnière
|
|
53
|
|
Head of European and North American Market Organizations
|
William P. Donnelly
|
|
55
|
|
Executive Vice President
|
Michael Heidingsfelder
|
|
56
|
|
Head of Industrial
|
Simon Kirk
|
|
57
|
|
Head of Product Inspection
|
Christian Magloth
|
|
51
|
|
Head of Human Resources
|
Waldemar Rauch
|
|
54
|
|
Head of Process Analytics
|
Shawn P. Vadala
|
|
48
|
|
Chief Financial Officer
|
Item 11.
|
Executive Compensation
|
Item 12.
|
Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters
|
Item 13.
|
Certain Relationships and Related Transactions and Director Independence
|
Item 14.
|
Principal Accounting Fees and Services
|
Item 15.
|
Exhibits and Financial Statement Schedules
|
By:
|
/s/ Olivier A. Filliol
|
|
Olivier A. Filliol
|
|
President and Chief Executive Officer
|
Signature
|
|
Title
|
|
|
|
/s/ Olivier A. Filliol
|
|
President and Chief Executive Officer
|
Olivier A. Filliol
|
|
|
|
|
|
/s/ William P. Donnelly
|
|
Executive Vice President
|
William P. Donnelly
|
|
(Principal Financial Officer)
|
|
|
|
/s/ Shawn P. Vadala
|
|
Chief Financial Officer
|
Shawn P. Vadala
|
|
(Principal Accounting Officer)
|
|
|
|
/s/ Olivier A. Filliol
|
|
Director
|
Olivier A. Filliol
|
|
|
|
|
|
/s/ Wah-Hui Chu
|
|
Director
|
Wah-Hui Chu
|
|
|
|
|
|
/s/ Francis A. Contino
|
|
Director
|
Francis A. Contino
|
|
|
|
|
|
/s/ Richard Francis
|
|
Director
|
Richard Francis
|
|
|
|
|
|
/s/ Connie L. Harvey
|
|
Director
|
Connie L. Harvey
|
|
|
|
|
|
/s/ Michael A. Kelly
|
|
Director
|
Michael A. Kelly
|
|
|
|
|
|
/s/ Hans Ulrich Maerki
|
|
Director
|
Hans Ulrich Maerki
|
|
|
|
|
|
/s/ Thomas P. Salice
|
|
Director
|
Thomas P. Salice
|
|
|
|
|
|
/s/ Robert F. Spoerry
|
|
Director
|
Robert F. Spoerry
|
|
|
Exhibit
|
|
No.
|
Description
|
3.1
|
Amended and Restated Certificate of Incorporation of the Company
(1)
|
3.2
|
Amended By-laws of the Company, effective as of November 3, 2016
(2)
|
10.1
|
Credit Agreement among Mettler-Toledo International Inc., certain of its subsidiaries, JPMorgan Chase Bank, N.A., J.P. Morgan Securities LLC and Merrill Lynch, Pierce, Fenner & Smith Incorporated, and certain other financial institutions, dated as of December 17, 2015
(3)
|
10.11
|
Note Purchase Agreement dated as of October 10, 2012 by and among Mettler-Toledo International Inc., Massachusetts Mutual Life Insurance Company, C.M. Life Insurance Company, MassMutual Asia Limited, The Lincoln National Life Insurance Company, Lincoln Life & Annuity Company of New York and Aviva Life and Annuity Company Royal Neighbors of America.
(4)
|
10.12
|
Note Purchase Supplement dated July 29, 2013 by and among Mettler-Toledo International Inc., Aviva Life and Annuity Company and Teachers Insurance and Annuity Association of America to a Note Purchase Agreement dated October 10, 2012 by and among Mettler-Toledo International Inc., Massachusetts Mutual Life Insurance Company, C.M. Life Insurance Company, MassMutual Asia Limited, The Lincoln National Life Insurance Company, Lincoln Life & Annuity Company of New York and Aviva Life and Annuity Company Royal Neighbors of America
(5)
|
10.13
|
Note Purchase Agreement dated as of June 27, 2014 by and among Mettler-Toledo International Inc., Babson Capital Management LLC, Cigna Investments, Inc. and Teachers Insurance and Annuity Association of America.
(6)
|
10.14
|
Note Purchase Agreement dates as of March 31, 2015 by and among Mettler-Toledo International Inc., Metropolitan Life Insurance Company, MetLife Insurance Company USA, OMI MLIC Investments Limited and Massachusetts Mutual Life Insurance Company.
(7)
|
10.20
|
Mettler-Toledo International Inc. 2004 Equity Incentive Plan
(8)
|
10.21
|
Mettler-Toledo International Inc. 2007 Share Plan, effective February 7, 2008
(9)
|
10.22
|
Mettler-Toledo International Inc. 2013 Equity Incentive Plan
(10)
|
10.23*
|
|
10.24*
|
|
10.25*
|
|
10.26*
|
|
10.27*
|
|
10.28*
|
|
10.31
|
Regulations of the POBS PLUS — Incentive Scheme for Senior Management of Mettler Toledo, effective as of November, 2006
(11)
|
10.32
|
Regulations of the POBS PLUS — Incentive Scheme for Members of the Group Management of Mettler Toledo, effective as of January, 2009
(11)
|
10.50
|
Employment Agreement between Thomas Caratsch and Mettler-Toledo International Inc., dated as of December 4, 2007
(9)
|
10.51
|
Employment Agreement between Marc de La Guéronnière and Mettler-Toledo International Inc., dated as of January 27, 2011
(12)
|
10.52
|
Employment Agreement between William Donnelly and Mettler-Toledo GmbH, dated as of November 10, 1997
(1)
|
10.53
|
Employment Agreement between Olivier Filliol and Mettler-Toledo International Inc., dated as of November 1, 2007
(13)
|
10.54
|
Employment Agreement between Michael Heidingsfelder and Mettler-Toledo International Inc., dated as of November 30, 2011
(16)
|
10.55
|
Employment Agreement between Simon Kirk and Mettler-Toledo International Inc., dated as of November 28, 2011
(16)
|
10.56
|
Employment Agreement between Christian Magloth and Mettler-Toledo International Inc., dated as of March 22, 2010
(12)
|
10.57
|
Employment Agreement between Waldemar Rauch and Mettler-Toledo International Inc., dated as of June 10, 2011
(15)
|
10.58
|
Employment Agreement between Robert Spoerry and Mettler-Toledo International Inc., dated as of November 1, 2007
(13)
|
10.59*
|
|
10.60
|
Form of Tax Equalization Agreement between Messrs. Caratsch, Filliol, Kirk, Magloth, and Spoerry, and Mettler-Toledo International Inc., dated October 10, 2007
(9)
|
10.61
|
Amendment to Employment Agreement between William Donnelly and Mettler-Toledo International, Inc. dated November 3, 2016
(2)
|
21*
|
|
23.1*
|
Exhibit
|
|
No.
|
Description
|
31.1*
|
|
31.2*
|
|
31.3*
|
|
32*
|
|
101.INS*
|
XBRL Instance Document
|
101.SCH*
|
XBRL Taxonomy Extension Schema Document
|
101.CAL*
|
XBRL Taxonomy Extension Calculation Linkbase Document
|
101.LAB*
|
XBRL Taxonomy Extension Label Linkbase Document
|
101.PRE*
|
XBRL Taxonomy Extension Presentation Linkbase Document
|
101.DEF*
|
XBRL Taxonomy Extension Definition Linkbase Document
|
(1)
|
Incorporated by reference to the Company’s Report on Form 10-K dated March 13, 1998
|
(2)
|
Incorporated by reference to the Company’s Report on Form 8-K dated November 8, 2016
|
(3)
|
Incorporated by reference to the Company’s Report on Form 8-K dated December 18, 2015
|
(4)
|
Incorporated by reference to the Company's Report on Form 8-K dated October 16, 2012
|
(5)
|
Incorporated by reference to the Company's Report on Form 8-K dated July 29, 2013
|
(6)
|
Incorporated by reference to the Company's Report on Form 8-K dated July 2, 2014
|
(7)
|
Incorporated by reference to the Company's Report on Form 8-K dated March 31, 2015
|
(8)
|
Incorporated by reference to the Company’s Form DEF 14-A filed March 29, 2004
|
(9)
|
Incorporated by reference to the Company’s Report on Form 10-K dated February 15, 2008
|
(10)
|
Incorporated by reference to the Company's Registration Statement on Form S-8 dated July 26, 2013 (Reg. No. 333-190181)
|
(11)
|
Incorporated by reference to the Company’s Report on Form 10-K dated February 13, 2009
|
(12)
|
Incorporated by reference to the Company's Report on Form 10-K dated February 16, 2010
|
(13)
|
Incorporated by reference to the Company’s Report on Form 8-K dated November 1, 2007
|
(14)
|
Incorporated by reference to the Company’s Report on Form 10-K dated March 4, 2002
|
(15)
|
Incorporated by reference to the Company's Report on Form 10-K dated February 13, 2012
|
(16)
|
Incorporated by reference to the Company's Report on Form 10-K dated February 8, 2013
|
*
|
Filed herewith
|
|
|
|
Page
|
/s/ PricewaterhouseCoopers LLP
|
PricewaterhouseCoopers LLP
|
|
2016
|
|
2015
|
|
2014
|
||||||
Net sales
|
|
|
|
|
|
|
|
|
|||
Products
|
$
|
1,957,879
|
|
|
$
|
1,865,884
|
|
|
$
|
1,930,497
|
|
Service
|
550,378
|
|
|
529,563
|
|
|
555,486
|
|
|||
Total net sales
|
2,508,257
|
|
|
2,395,447
|
|
|
2,485,983
|
|
|||
Cost of sales
|
|
|
|
|
|
|
|
|
|||
Products
|
767,753
|
|
|
744,867
|
|
|
810,547
|
|
|||
Service
|
304,917
|
|
|
298,587
|
|
|
316,686
|
|
|||
Gross profit
|
1,435,587
|
|
|
1,351,993
|
|
|
1,358,750
|
|
|||
Research and development
|
119,968
|
|
|
119,076
|
|
|
123,297
|
|
|||
Selling, general, and administrative
|
732,622
|
|
|
700,810
|
|
|
728,582
|
|
|||
Amortization
|
36,052
|
|
|
30,951
|
|
|
29,185
|
|
|||
Interest expense
|
28,026
|
|
|
27,451
|
|
|
24,537
|
|
|||
Restructuring charges
|
6,235
|
|
|
11,148
|
|
|
5,915
|
|
|||
Other charges (income), net
|
8,491
|
|
|
(867
|
)
|
|
2,230
|
|
|||
Earnings before taxes
|
504,193
|
|
|
463,424
|
|
|
445,004
|
|
|||
Provision for taxes
|
119,823
|
|
|
110,604
|
|
|
106,763
|
|
|||
Net earnings
|
$
|
384,370
|
|
|
$
|
352,820
|
|
|
$
|
338,241
|
|
|
|
|
|
|
|
||||||
Basic earnings per common share:
|
|
|
|
|
|
|
|
|
|||
Net earnings
|
$
|
14.49
|
|
|
$
|
12.75
|
|
|
$
|
11.71
|
|
Weighted average number of common shares
|
26,517,768
|
|
|
27,680,918
|
|
|
28,890,771
|
|
|||
Diluted earnings per common share:
|
|
|
|
|
|
|
|
|
|||
Net earnings
|
$
|
14.22
|
|
|
$
|
12.48
|
|
|
$
|
11.44
|
|
Weighted average number of common and common equivalent shares
|
27,023,905
|
|
|
28,269,615
|
|
|
29,571,308
|
|
|
2016
|
|
2015
|
|
2014
|
||||||
|
|
|
|
|
|
||||||
Net earnings
|
$
|
384,370
|
|
|
$
|
352,820
|
|
|
$
|
338,241
|
|
|
|
|
|
|
|
||||||
Other comprehensive income (loss), net of tax:
|
|
|
|
|
|
||||||
Foreign currency translation adjustment
|
(57,928
|
)
|
|
(52,434
|
)
|
|
(82,875
|
)
|
|||
Unrealized gains (losses) on cash flow hedging arrangements:
|
|
|
|
|
|
||||||
Unrealized gains (losses)
|
(513
|
)
|
|
13,221
|
|
|
(768
|
)
|
|||
Effective portion of (gains) losses included in net earnings
|
(4,735
|
)
|
|
(8,261
|
)
|
|
1,257
|
|
|||
Defined benefit pension and post-retirement plans:
|
|
|
|
|
|
||||||
Net actuarial gains (losses)
|
(47,788
|
)
|
|
(30,759
|
)
|
|
(106,837
|
)
|
|||
Plan amendments and prior service cost
|
—
|
|
|
9,189
|
|
|
1,607
|
|
|||
Amortization of actuarial (gains) losses and plan amendments and prior service cost
|
16,730
|
|
|
9,509
|
|
|
1,614
|
|
|||
Impact of foreign currency
|
5,885
|
|
|
5,835
|
|
|
8,089
|
|
|||
Total other comprehensive income (loss), net of tax
|
(88,349
|
)
|
|
(53,700
|
)
|
|
(177,913
|
)
|
|||
|
|
|
|
|
|
||||||
Comprehensive income
|
$
|
296,021
|
|
|
$
|
299,120
|
|
|
$
|
160,328
|
|
|
2016
|
|
2015
|
||||
ASSETS
|
|||||||
Current assets:
|
|
|
|
|
|
||
Cash and cash equivalents
|
$
|
158,674
|
|
|
$
|
98,887
|
|
Trade accounts receivable, less allowances of $14,234 in 2016 and $14,435 in 2015
|
454,988
|
|
|
411,420
|
|
||
Inventories
|
222,047
|
|
|
214,383
|
|
||
Other current assets and prepaid expenses
|
61,075
|
|
|
70,642
|
|
||
Total current assets
|
896,784
|
|
|
795,332
|
|
||
Property, plant, and equipment, net
|
563,707
|
|
|
517,229
|
|
||
Goodwill
|
476,378
|
|
|
446,284
|
|
||
Other intangible assets, net
|
167,055
|
|
|
115,252
|
|
||
Deferred tax assets, net
|
33,951
|
|
|
33,051
|
|
||
Other non-current assets
|
28,902
|
|
|
52,187
|
|
||
Total assets
|
$
|
2,166,777
|
|
|
$
|
1,959,335
|
|
LIABILITIES AND SHAREHOLDERS’ EQUITY
|
|||||||
Current liabilities:
|
|
|
|
|
|
||
Trade accounts payable
|
$
|
146,593
|
|
|
$
|
142,075
|
|
Accrued and other liabilities
|
133,167
|
|
|
127,647
|
|
||
Accrued compensation and related items
|
140,461
|
|
|
136,414
|
|
||
Deferred revenue and customer prepayments
|
100,330
|
|
|
88,829
|
|
||
Taxes payable
|
47,990
|
|
|
48,759
|
|
||
Short-term borrowings and current maturities of long-term debt
|
18,974
|
|
|
14,488
|
|
||
Total current liabilities
|
587,515
|
|
|
558,212
|
|
||
Long-term debt
|
875,056
|
|
|
575,138
|
|
||
Deferred tax liabilities, net
|
64,306
|
|
|
50,976
|
|
||
Other non-current liabilities
|
204,957
|
|
|
194,552
|
|
||
Total liabilities
|
1,731,834
|
|
|
1,378,878
|
|
||
Commitments and contingencies (Note 16)
|
|
|
|
|
|
||
Shareholders’ equity:
|
|
|
|
|
|
||
Preferred stock, $0.01 par value per share; authorized 10,000,000 shares
|
—
|
|
|
—
|
|
||
Common stock, $0.01 par value per share; authorized 125,000,000 shares; issued 44,786,011 and 44,786,011 shares, outstanding 26,020,234 and 27,090,118 shares at December 31, 2016 and 2015, respectively
|
448
|
|
|
448
|
|
||
Additional paid-in capital
|
730,556
|
|
|
697,570
|
|
||
Treasury stock at cost (18,765,777 and 17,695,893 shares at December 31, 2016 and 2015, respectively)
|
(3,006,771
|
)
|
|
(2,543,229
|
)
|
||
Retained earnings
|
3,065,708
|
|
|
2,692,317
|
|
||
Accumulated other comprehensive income (loss)
|
(354,998
|
)
|
|
(266,649
|
)
|
||
Total shareholders’ equity
|
434,943
|
|
|
580,457
|
|
||
Total liabilities and shareholders’ equity
|
$
|
2,166,777
|
|
|
$
|
1,959,335
|
|
|
Common Stock
|
|
Additional
Paid-In
Capital
|
|
Treasury
Stock
|
|
Retained
Earnings
|
|
Accumulated
Other
Comprehensive
Income (Loss)
|
|
Total
|
|||||||||||||||
|
Shares
|
|
Amount
|
|
|
|
|
|
||||||||||||||||||
Balance at December 31, 2013
|
29,487,075
|
|
|
$
|
448
|
|
|
$
|
653,250
|
|
|
$
|
(1,721,030
|
)
|
|
$
|
2,037,420
|
|
|
$
|
(35,036
|
)
|
|
$
|
935,052
|
|
Exercise of stock options and restricted stock units
|
373,431
|
|
|
—
|
|
|
—
|
|
|
39,374
|
|
|
(18,327
|
)
|
|
—
|
|
|
21,047
|
|
||||||
Repurchases of common stock
|
(1,617,499
|
)
|
|
—
|
|
|
—
|
|
|
(414,000
|
)
|
|
—
|
|
|
—
|
|
|
(414,000
|
)
|
||||||
Tax benefit resulting from exercise of certain employee stock options
|
—
|
|
|
—
|
|
|
3,557
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,557
|
|
||||||
Share-based compensation
|
—
|
|
|
—
|
|
|
13,611
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
13,611
|
|
||||||
Net earnings
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
338,241
|
|
|
—
|
|
|
338,241
|
|
||||||
Other comprehensive income (loss), net of tax
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(177,913
|
)
|
|
(177,913
|
)
|
||||||
Balance at December 31, 2014
|
28,243,007
|
|
|
$
|
448
|
|
|
$
|
670,418
|
|
|
$
|
(2,095,656
|
)
|
|
$
|
2,357,334
|
|
|
$
|
(212,949
|
)
|
|
$
|
719,595
|
|
Exercise of stock options and restricted stock units
|
403,908
|
|
|
—
|
|
|
—
|
|
|
47,393
|
|
|
(17,837
|
)
|
|
—
|
|
|
29,556
|
|
||||||
Repurchases of common stock
|
(1,556,797
|
)
|
|
—
|
|
|
—
|
|
|
(494,966
|
)
|
|
—
|
|
|
—
|
|
|
(494,966
|
)
|
||||||
Tax benefit resulting from exercise of certain employee stock options
|
—
|
|
|
—
|
|
|
12,929
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
12,929
|
|
||||||
Share-based compensation
|
—
|
|
|
—
|
|
|
14,223
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
14,223
|
|
||||||
Net earnings
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
352,820
|
|
|
—
|
|
|
352,820
|
|
||||||
Other comprehensive income (loss), net of tax
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(53,700
|
)
|
|
(53,700
|
)
|
||||||
Balance at December 31, 2015
|
27,090,118
|
|
|
$
|
448
|
|
|
$
|
697,570
|
|
|
$
|
(2,543,229
|
)
|
|
$
|
2,692,317
|
|
|
$
|
(266,649
|
)
|
|
$
|
580,457
|
|
Exercise of stock options and restricted stock units
|
278,623
|
|
|
—
|
|
|
—
|
|
|
36,450
|
|
|
(10,979
|
)
|
|
—
|
|
|
25,471
|
|
||||||
Repurchases of common stock
|
(1,348,507
|
)
|
|
—
|
|
|
—
|
|
|
(499,992
|
)
|
|
—
|
|
|
—
|
|
|
(499,992
|
)
|
||||||
Tax benefit resulting from exercise of certain employee stock options
|
—
|
|
|
—
|
|
|
17,680
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
17,680
|
|
||||||
Share-based compensation
|
—
|
|
|
—
|
|
|
15,306
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
15,306
|
|
||||||
Net earnings
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
384,370
|
|
|
—
|
|
|
384,370
|
|
||||||
Other comprehensive income (loss), net of tax
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(88,349
|
)
|
|
(88,349
|
)
|
||||||
Balance at December 31, 2016
|
26,020,234
|
|
|
$
|
448
|
|
|
$
|
730,556
|
|
|
$
|
(3,006,771
|
)
|
|
$
|
3,065,708
|
|
|
$
|
(354,998
|
)
|
|
$
|
434,943
|
|
|
2016
|
|
2015
|
|
2014
|
||||||
Cash flows from operating activities:
|
|
|
|
|
|
|
|
|
|||
Net earnings
|
$
|
384,370
|
|
|
$
|
352,820
|
|
|
$
|
338,241
|
|
Adjustments to reconcile net earnings to net cash provided by operating activities:
|
|
|
|
|
|
|
|
||||
Depreciation
|
32,743
|
|
|
33,087
|
|
|
33,617
|
|
|||
Amortization
|
36,052
|
|
|
30,951
|
|
|
29,185
|
|
|||
Deferred tax provision
|
1,878
|
|
|
7,137
|
|
|
15,362
|
|
|||
Excess tax benefits from share-based payment arrangements
|
(17,680
|
)
|
|
(12,929
|
)
|
|
(3,557
|
)
|
|||
Share-based compensation
|
15,306
|
|
|
14,223
|
|
|
13,611
|
|
|||
Non-cash pension settlement charge
|
8,189
|
|
|
—
|
|
|
—
|
|
|||
Other
|
181
|
|
|
155
|
|
|
211
|
|
|||
Increase (decrease) in cash resulting from changes in:
|
|
|
|
|
|
|
|
||||
Trade accounts receivable, net
|
(52,151
|
)
|
|
1,625
|
|
|
7,492
|
|
|||
Inventories
|
(12,431
|
)
|
|
(18,785
|
)
|
|
(9,302
|
)
|
|||
Other current assets
|
291
|
|
|
(5,119
|
)
|
|
4,392
|
|
|||
Trade accounts payable
|
9,633
|
|
|
1,698
|
|
|
6,298
|
|
|||
Taxes payable
|
(3,072
|
)
|
|
2,879
|
|
|
(461
|
)
|
|||
Accruals and other
|
39,769
|
|
|
19,126
|
|
|
(16,177
|
)
|
|||
Net cash provided by operating activities
|
443,078
|
|
|
426,868
|
|
|
418,912
|
|
|||
Cash flows from investing activities:
|
|
|
|
|
|
|
|
|
|||
Proceeds from sale of property, plant, and equipment
|
423
|
|
|
949
|
|
|
728
|
|
|||
Purchase of property, plant, and equipment
|
(123,957
|
)
|
|
(82,506
|
)
|
|
(89,388
|
)
|
|||
Acquisitions
|
(111,381
|
)
|
|
(13,779
|
)
|
|
(5,784
|
)
|
|||
Net hedging settlements on intercompany loans
|
3,459
|
|
|
(5,415
|
)
|
|
123
|
|
|||
Net cash used in investing activities
|
(231,456
|
)
|
|
(100,751
|
)
|
|
(94,321
|
)
|
|||
Cash flows from financing activities:
|
|
|
|
|
|
|
|
|
|||
Proceeds from borrowings
|
905,774
|
|
|
741,864
|
|
|
628,832
|
|
|||
Repayments of borrowings
|
(594,178
|
)
|
|
(594,477
|
)
|
|
(585,867
|
)
|
|||
Proceeds from exercise of stock options
|
25,471
|
|
|
29,556
|
|
|
21,047
|
|
|||
Repurchases of common stock
|
(499,992
|
)
|
|
(494,966
|
)
|
|
(414,000
|
)
|
|||
Excess tax benefits from share-based payment arrangements
|
17,680
|
|
|
12,929
|
|
|
3,557
|
|
|||
Acquisition contingent consideration paid
|
(471
|
)
|
|
(572
|
)
|
|
(859
|
)
|
|||
Debt issuance costs
|
(209
|
)
|
|
(1,366
|
)
|
|
(941
|
)
|
|||
Net cash used in financing activities
|
(145,925
|
)
|
|
(307,032
|
)
|
|
(348,231
|
)
|
|||
Effect of exchange rate changes on cash and cash equivalents
|
(5,910
|
)
|
|
(5,461
|
)
|
|
(2,971
|
)
|
|||
Net increase (decrease) in cash and cash equivalents
|
59,787
|
|
|
13,624
|
|
|
(26,611
|
)
|
|||
Cash and cash equivalents:
|
|
|
|
|
|
|
|
|
|||
Beginning of period
|
98,887
|
|
|
85,263
|
|
|
111,874
|
|
|||
End of period
|
$
|
158,674
|
|
|
$
|
98,887
|
|
|
$
|
85,263
|
|
Supplemental disclosures of cash flow information:
|
|
|
|
|
|
|
|
|
|||
Cash paid during the year for:
|
|
|
|
|
|
|
|
|
|||
Interest
|
$
|
28,025
|
|
|
$
|
27,303
|
|
|
$
|
23,219
|
|
Taxes
|
$
|
92,586
|
|
|
$
|
85,458
|
|
|
$
|
95,143
|
|
1.
|
BUSINESS DESCRIPTION AND BASIS OF PRESENTATION
|
2.
|
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
|
a)
|
Property, Plant, and Equipment
|
b)
|
Goodwill and Other Intangible Assets
|
|
2016
|
|
2015
|
||||
Raw materials and parts
|
$
|
100,408
|
|
|
$
|
98,252
|
|
Work-in-progress
|
41,454
|
|
|
35,100
|
|
||
Finished goods
|
80,185
|
|
|
81,031
|
|
||
Total Inventory
|
$
|
222,047
|
|
|
$
|
214,383
|
|
|
December 31, 2016
|
|
December 31, 2015
|
||||||||||||||||||||||||||||
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
||||||||||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Cash equivalents
|
$
|
21,513
|
|
|
$
|
—
|
|
|
$
|
21,513
|
|
|
$
|
—
|
|
|
$
|
18,755
|
|
|
$
|
—
|
|
|
$
|
18,755
|
|
|
$
|
—
|
|
Foreign currency forward contracts designated as cash flow hedges
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
7,056
|
|
|
—
|
|
|
7,056
|
|
|
—
|
|
||||||||
Foreign currency forward contracts not designated as hedging instruments
|
791
|
|
|
—
|
|
|
791
|
|
|
—
|
|
|
1,166
|
|
|
—
|
|
|
1,166
|
|
|
—
|
|
||||||||
Total
|
$
|
22,304
|
|
|
$
|
—
|
|
|
$
|
22,304
|
|
|
$
|
—
|
|
|
$
|
26,977
|
|
|
$
|
—
|
|
|
$
|
26,977
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Interest rate swap agreements
|
$
|
3,630
|
|
|
$
|
—
|
|
|
$
|
3,630
|
|
|
$
|
—
|
|
|
$
|
4,092
|
|
|
$
|
—
|
|
|
$
|
4,092
|
|
|
$
|
—
|
|
Foreign currency forward contracts not designated as hedging instruments
|
2,123
|
|
|
—
|
|
|
2,123
|
|
|
—
|
|
|
625
|
|
|
—
|
|
|
625
|
|
|
—
|
|
||||||||
Total
|
$
|
5,753
|
|
|
$
|
—
|
|
|
$
|
5,753
|
|
|
$
|
—
|
|
|
$
|
4,717
|
|
|
$
|
—
|
|
|
$
|
4,717
|
|
|
$
|
—
|
|
|
2016
|
|
2015
|
||||
Land
|
$
|
55,885
|
|
|
$
|
47,358
|
|
Building and leasehold improvements
|
247,883
|
|
|
211,490
|
|
||
Machinery and equipment
|
347,344
|
|
|
341,820
|
|
||
Computer software
|
372,065
|
|
|
353,556
|
|
||
Property, plant, and equipment, gross
|
1,023,177
|
|
|
954,224
|
|
||
Less accumulated depreciation and amortization
|
(459,470
|
)
|
|
(436,995
|
)
|
||
Property, plant, and equipment, net
|
$
|
563,707
|
|
|
$
|
517,229
|
|
|
2016
|
|
2015
|
||||
Balance at beginning of year
|
$
|
446,284
|
|
|
$
|
444,085
|
|
Goodwill acquired
|
41,308
|
|
|
9,773
|
|
||
Foreign currency translation
|
(11,214
|
)
|
|
(7,574
|
)
|
||
Balance at year end
|
$
|
476,378
|
|
|
$
|
446,284
|
|
|
2016
|
|
2015
|
||||||||||||||||||||
|
Gross
Amount
|
|
Accumulated
Amortization
|
|
Intangibles, Net
|
|
Gross
Amount
|
|
Accumulated
Amortization
|
|
Intangibles, Net
|
||||||||||||
Customer relationships
|
$
|
147,466
|
|
|
$
|
(34,672
|
)
|
|
$
|
112,794
|
|
|
$
|
98,175
|
|
|
$
|
(30,836
|
)
|
|
$
|
67,339
|
|
Proven technology and patents
|
58,394
|
|
|
(35,128
|
)
|
|
23,266
|
|
|
52,938
|
|
|
(32,444
|
)
|
|
20,494
|
|
||||||
Tradenames (finite life)
|
4,182
|
|
|
(2,514
|
)
|
|
1,668
|
|
|
4,200
|
|
|
(2,158
|
)
|
|
2,042
|
|
||||||
Tradenames (indefinite life)
|
28,272
|
|
|
—
|
|
|
28,272
|
|
|
24,814
|
|
|
—
|
|
|
24,814
|
|
||||||
Other
|
2,871
|
|
|
(1,816
|
)
|
|
1,055
|
|
|
2,111
|
|
|
(1,548
|
)
|
|
563
|
|
||||||
|
$
|
241,185
|
|
|
$
|
(74,130
|
)
|
|
$
|
167,055
|
|
|
$
|
182,238
|
|
|
$
|
(66,986
|
)
|
|
$
|
115,252
|
|
|
2016
|
|
2015
|
||||
$50 million Senior Notes, interest at 3.67%, due December 17, 2022
|
$
|
50,000
|
|
|
$
|
50,000
|
|
$50 million Senior Notes, interest 4.10%, due September 19, 2023
|
50,000
|
|
|
50,000
|
|
||
$125 million Senior Notes, interest 3.84%, due September 19, 2024
|
125,000
|
|
|
125,000
|
|
||
$125 million Senior Notes, interest 4.24%, due June 25, 2025
|
125,000
|
|
|
125,000
|
|
||
Euro 125 million Senior Notes, interest 1.47%, due June 17, 2030
|
131,507
|
|
|
136,575
|
|
||
Debt issuance costs, net
|
(1,642
|
)
|
|
(1,846
|
)
|
||
Total Senior Notes
|
479,865
|
|
|
484,729
|
|
||
$800 million Credit Agreement, interest at LIBOR plus 87.5 basis points
|
395,191
|
|
|
90,409
|
|
||
Other local arrangements
|
18,974
|
|
|
14,488
|
|
||
Total debt
|
894,030
|
|
|
589,626
|
|
||
Less: current portion
|
(18,974
|
)
|
|
(14,488
|
)
|
||
Long-term debt
|
$
|
875,056
|
|
|
$
|
575,138
|
|
|
Currency Translation Adjustment, Net of Tax
|
|
Net Unrealized
Gain (Loss) on Cash Flow Hedging Arrangements, Net of Tax |
|
Pension and Post-Retirement Benefit Related Items,
Net of Tax |
|
Total
|
||||||||
Balance at December 31, 2014
|
$
|
(4,960
|
)
|
|
$
|
(1,944
|
)
|
|
$
|
(206,045
|
)
|
|
$
|
(212,949
|
)
|
Other comprehensive income (loss), net of tax:
|
|
|
|
|
|
|
|
||||||||
Net unrealized actuarial gains (loss), prior service costs, and plan amendments
|
—
|
|
|
—
|
|
|
(21,570
|
)
|
|
(21,570
|
)
|
||||
Net unrealized gains (loss) on cash flow hedging arrangements
|
—
|
|
|
13,221
|
|
|
—
|
|
|
13,221
|
|
||||
Foreign currency translation adjustment
|
(52,434
|
)
|
|
—
|
|
|
5,835
|
|
|
(46,599
|
)
|
||||
Amounts recognized from accumulated other comprehensive income (loss), net of tax
|
—
|
|
|
(8,261
|
)
|
|
9,509
|
|
|
1,248
|
|
||||
Net change in other comprehensive income (loss), net of tax
|
(52,434
|
)
|
|
4,960
|
|
|
(6,226
|
)
|
|
(53,700
|
)
|
||||
Balance at December 31, 2015
|
$
|
(57,394
|
)
|
|
$
|
3,016
|
|
|
$
|
(212,271
|
)
|
|
$
|
(266,649
|
)
|
Other comprehensive income (loss), net of tax:
|
|
|
|
|
|
|
|
||||||||
Net unrealized actuarial gains (loss), prior service costs and plan amendments
|
—
|
|
|
—
|
|
|
(47,788
|
)
|
|
(47,788
|
)
|
||||
Net unrealized gains (loss) on cash flow hedging arrangements
|
—
|
|
|
(513
|
)
|
|
—
|
|
|
(513
|
)
|
||||
Foreign currency translation adjustment
|
(57,928
|
)
|
|
—
|
|
|
5,885
|
|
|
(52,043
|
)
|
||||
Amounts recognized from accumulated other comprehensive income (loss), net of tax
|
—
|
|
|
(4,735
|
)
|
|
16,730
|
|
|
11,995
|
|
||||
Net change in other comprehensive income (loss), net of tax
|
(57,928
|
)
|
|
(5,248
|
)
|
|
(25,173
|
)
|
|
(88,349
|
)
|
||||
Balance at December 31, 2016
|
$
|
(115,322
|
)
|
|
$
|
(2,232
|
)
|
|
$
|
(237,444
|
)
|
|
$
|
(354,998
|
)
|
|
|
2016
|
|
2015
|
|
Location of Amounts Recognized in Earnings
|
||||
Effective portion of losses (gains) on cash flow hedging arrangements:
|
|
|
|
|
|
|
||||
Interest rate swap agreements
|
|
$
|
1,034
|
|
|
$
|
2,764
|
|
|
Interest expense
|
Foreign currency forward contracts
|
|
(6,756
|
)
|
|
(12,529
|
)
|
|
Cost of sales - products
|
||
Total before taxes
|
|
(5,722
|
)
|
|
(9,765
|
)
|
|
|
||
Provision for taxes
|
|
(987
|
)
|
|
(1,504
|
)
|
|
Provision for taxes
|
||
Total, net of taxes
|
|
$
|
(4,735
|
)
|
|
$
|
(8,261
|
)
|
|
|
|
|
|
|
|
|
|
||||
Recognition of defined benefit pension and post-retirement items:
|
|
|
|
|
|
|
||||
Recognition of actuarial losses, plan amendments, prior service cost, and settlement charge before taxes
|
|
$
|
23,925
|
|
|
$
|
13,018
|
|
|
(a)
|
Provision for taxes
|
|
7,195
|
|
|
3,509
|
|
|
Provision for taxes
|
||
Total, net of taxes
|
|
$
|
16,730
|
|
|
$
|
9,509
|
|
|
|
(a)
|
These accumulated other comprehensive income (loss) components are included in the computation of net periodic pension and post-retirement cost. See Note 12 for additional details for the year ended December 31, 2016.
|
|
Number of
Options
|
|
Weighted Average
Exercise Price
|
|
Aggregate Intrinsic
Value (in millions)
|
|
Outstanding at December 31, 2015
|
1,374,705
|
|
|
$162.29
|
|
$243.1
|
Granted
|
92,992
|
|
|
397.95
|
|
|
Exercised
|
(250,520
|
)
|
|
101.67
|
|
|
Forfeited
|
(1,696
|
)
|
|
294.14
|
|
|
Outstanding at December 31, 2016
|
1,215,481
|
|
|
$192.63
|
|
$274.6
|
Options exercisable at December 31, 2016
|
888,061
|
|
|
$152.23
|
|
$236.5
|
Number of Options
Outstanding
|
|
Weighted Average
Exercise Price
|
|
Remaining Contractual
Life of Options
Outstanding
|
|
Options
Exercisable
|
||||
|
|
|
||||||||
209,721
|
|
|
$
|
87.36
|
|
|
2.6
|
|
209,721
|
|
220,815
|
|
|
$
|
127.63
|
|
|
3.1
|
|
220,815
|
|
332,507
|
|
|
$
|
159.62
|
|
|
5.3
|
|
300,382
|
|
131,135
|
|
|
$
|
244.99
|
|
|
6.8
|
|
81,249
|
|
321,303
|
|
|
$
|
318.83
|
|
|
8.8
|
|
75,894
|
|
1,215,481
|
|
|
|
|
|
5.5
|
|
888,061
|
|
|
Number of Restricted
Stock Units
|
|
Aggregate Intrinsic
Value (in millions)
|
|
Number of Performance Share Units
|
|
Aggregate Intrinsic Value (in millions)
|
||||||
Outstanding at December 31, 2015
|
82,074
|
|
|
$
|
27.8
|
|
|
—
|
|
|
$
|
—
|
|
Granted
|
20,916
|
|
|
|
|
|
4,532
|
|
|
|
|||
Vested
|
(28,103
|
)
|
|
|
|
|
—
|
|
|
|
|||
Forfeited
|
(4,340
|
)
|
|
|
|
|
—
|
|
|
|
|||
Outstanding at December 31, 2016
|
70,547
|
|
|
$
|
29.5
|
|
|
4,532
|
|
|
$
|
1.9
|
|
|
U.S. Pension Benefits
|
|
Non-U.S. Pension Benefits
|
|
Other Benefits
|
|
Total
|
||||||||||||||||||||||||
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
||||||||||||||||
Change in benefit obligation:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Benefit obligation at beginning of year
|
$
|
154,415
|
|
|
$
|
164,367
|
|
|
$
|
818,269
|
|
|
$
|
863,639
|
|
|
$
|
3,272
|
|
|
$
|
3,754
|
|
|
$
|
975,956
|
|
|
$
|
1,031,760
|
|
Service cost, gross
|
432
|
|
|
837
|
|
|
29,936
|
|
|
31,514
|
|
|
—
|
|
|
—
|
|
|
30,368
|
|
|
32,351
|
|
||||||||
Interest cost
|
4,428
|
|
|
6,431
|
|
|
10,664
|
|
|
14,071
|
|
|
76
|
|
|
139
|
|
|
15,168
|
|
|
20,641
|
|
||||||||
Actuarial losses (gains)
|
845
|
|
|
(10,145
|
)
|
|
42,786
|
|
|
(4,959
|
)
|
|
318
|
|
|
113
|
|
|
43,949
|
|
|
(14,991
|
)
|
||||||||
Plan amendments and other
|
—
|
|
|
—
|
|
|
—
|
|
|
(12,391
|
)
|
|
150
|
|
|
163
|
|
|
150
|
|
|
(12,228
|
)
|
||||||||
Benefits paid
|
(21,965
|
)
|
|
(7,075
|
)
|
|
(33,977
|
)
|
|
(49,010
|
)
|
|
(831
|
)
|
|
(897
|
)
|
|
(56,773
|
)
|
|
(56,982
|
)
|
||||||||
Impact of foreign currency
|
—
|
|
|
—
|
|
|
(29,401
|
)
|
|
(24,595
|
)
|
|
—
|
|
|
—
|
|
|
(29,401
|
)
|
|
(24,595
|
)
|
||||||||
Benefit obligation at end of year
|
$
|
138,155
|
|
|
$
|
154,415
|
|
|
$
|
838,277
|
|
|
$
|
818,269
|
|
|
$
|
2,985
|
|
|
$
|
3,272
|
|
|
$
|
979,417
|
|
|
$
|
975,956
|
|
Change in plan assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Fair value of plan assets at beginning of year
|
$
|
119,118
|
|
|
$
|
132,030
|
|
|
$
|
725,597
|
|
|
$
|
751,193
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
844,715
|
|
|
$
|
883,223
|
|
Actual return on plan assets
|
6,876
|
|
|
(5,907
|
)
|
|
15,927
|
|
|
(2,925
|
)
|
|
—
|
|
|
—
|
|
|
22,803
|
|
|
(8,832
|
)
|
||||||||
Employer contributions
|
74
|
|
|
70
|
|
|
22,291
|
|
|
22,812
|
|
|
681
|
|
|
734
|
|
|
23,046
|
|
|
23,616
|
|
||||||||
Plan participants’ contributions
|
—
|
|
|
—
|
|
|
13,277
|
|
|
12,850
|
|
|
150
|
|
|
163
|
|
|
13,427
|
|
|
13,013
|
|
||||||||
Benefits paid
|
(21,965
|
)
|
|
(7,075
|
)
|
|
(33,977
|
)
|
|
(49,010
|
)
|
|
(831
|
)
|
|
(897
|
)
|
|
(56,773
|
)
|
|
(56,982
|
)
|
||||||||
Impact of foreign currency and other
|
—
|
|
|
—
|
|
|
(26,946
|
)
|
|
(9,323
|
)
|
|
—
|
|
|
—
|
|
|
(26,946
|
)
|
|
(9,323
|
)
|
||||||||
Fair value of plan assets at end of year
|
$
|
104,103
|
|
|
$
|
119,118
|
|
|
$
|
716,169
|
|
|
$
|
725,597
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
820,272
|
|
|
$
|
844,715
|
|
Funded status
|
$
|
(34,052
|
)
|
|
$
|
(35,297
|
)
|
|
$
|
(122,108
|
)
|
|
$
|
(92,672
|
)
|
|
$
|
(2,985
|
)
|
|
$
|
(3,272
|
)
|
|
$
|
(159,145
|
)
|
|
$
|
(131,241
|
)
|
|
U.S. Pension Benefits
|
|
Non-U.S. Pension Benefits
|
|
Other Benefits
|
|
Total
|
||||||||||||||||||||||||
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
||||||||||||||||
Other non-current assets
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
10,530
|
|
|
$
|
32,786
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
10,530
|
|
|
$
|
32,786
|
|
Accrued and other liabilities
|
(92
|
)
|
|
(92
|
)
|
|
(4,293
|
)
|
|
(4,508
|
)
|
|
(467
|
)
|
|
(483
|
)
|
|
(4,852
|
)
|
|
(5,083
|
)
|
||||||||
Pension and other post-retirement liabilities
|
(33,960
|
)
|
|
(35,205
|
)
|
|
(128,345
|
)
|
|
(120,950
|
)
|
|
(2,518
|
)
|
|
(2,789
|
)
|
|
(164,823
|
)
|
|
(158,944
|
)
|
||||||||
Accumulated other comprehensive loss (income)
|
69,528
|
|
|
83,347
|
|
|
255,855
|
|
|
216,224
|
|
|
(5,057
|
)
|
|
(9,943
|
)
|
|
320,326
|
|
|
289,628
|
|
||||||||
Total
|
$
|
35,476
|
|
|
$
|
48,050
|
|
|
$
|
133,747
|
|
|
$
|
123,552
|
|
|
$
|
(8,042
|
)
|
|
$
|
(13,215
|
)
|
|
$
|
161,181
|
|
|
$
|
158,387
|
|
|
U.S. Pension
Benefits
|
|
Non-U.S. Pension
Benefits
|
|
Other Benefits
|
|
Total
|
|
Total, After Tax
|
||||||||||
Plan amendments and prior service cost
|
$
|
—
|
|
|
$
|
(21,516
|
)
|
|
$
|
(1,151
|
)
|
|
$
|
(22,667
|
)
|
|
$
|
(17,480
|
)
|
Actuarial losses (gains)
|
69,528
|
|
|
277,371
|
|
|
(3,906
|
)
|
|
342,993
|
|
|
254,924
|
|
|||||
Total
|
$
|
69,528
|
|
|
$
|
255,855
|
|
|
$
|
(5,057
|
)
|
|
$
|
320,326
|
|
|
$
|
237,444
|
|
|
U.S. Pension
Benefits
|
|
Non-U.S. Pension
Benefits
|
|
Other Benefits
|
|
Total
|
|
Total, After Tax
|
||||||||||
Net actuarial losses (gains)
|
$
|
1,750
|
|
|
$
|
60,026
|
|
|
$
|
319
|
|
|
$
|
62,095
|
|
|
$
|
47,788
|
|
Amortization of:
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Actuarial (losses) gains
|
(15,569
|
)
|
|
(17,999
|
)
|
|
1,875
|
|
|
(31,693
|
)
|
|
(22,414
|
)
|
|||||
Plan amendments and prior service cost
|
—
|
|
|
5,076
|
|
|
2,692
|
|
|
7,768
|
|
|
5,684
|
|
|||||
Impact of foreign currency
|
—
|
|
|
(7,472
|
)
|
|
—
|
|
|
(7,472
|
)
|
|
(5,885
|
)
|
|||||
Total
|
$
|
(13,819
|
)
|
|
$
|
39,631
|
|
|
$
|
4,886
|
|
|
$
|
30,698
|
|
|
$
|
25,173
|
|
|
U.S.
|
|
Non-U.S.
|
||||||||||||||
|
2016
|
|
2015
|
|
2014
|
|
2016
|
|
2015
|
|
2014
|
||||||
Discount rate
|
3.97
|
%
|
|
4.27
|
%
|
|
4.00
|
%
|
|
0.98
|
%
|
|
1.31
|
%
|
|
1.65
|
%
|
Compensation increase rate
|
n/a
|
|
|
n/a
|
|
|
n/a
|
|
|
0.85
|
%
|
|
1.03
|
%
|
|
1.61
|
%
|
Expected long-term rate of return on plan assets
|
6.75
|
%
|
|
7.25
|
%
|
|
7.50
|
%
|
|
4.09
|
%
|
|
4.58
|
%
|
|
4.82
|
%
|
|
U.S.
|
|
Non-U.S.
|
||||||||||||||
|
2016
|
|
2015
|
|
2014
|
|
2016
|
|
2015
|
|
2014
|
||||||
Discount rate
|
4.27
|
%
|
|
4.00
|
%
|
|
4.75
|
%
|
|
1.31
|
%
|
|
1.65
|
%
|
|
2.73
|
%
|
Compensation increase rate
|
n/a
|
|
|
n/a
|
|
|
n/a
|
|
|
1.03
|
%
|
|
1.61
|
%
|
|
1.61
|
%
|
Expected long-term rate of return on plan assets
|
7.25
|
%
|
|
7.50
|
%
|
|
7.50
|
%
|
|
4.58
|
%
|
|
4.82
|
%
|
|
4.87
|
%
|
|
U.S.
|
|
Non-U.S.
|
|
Other Benefits
|
|
Total
|
||||||||||||||||||||||||||||||||||||||||
2016
|
|
2015
|
|
2014
|
|
2016
|
|
2015
|
|
2014
|
|
2016
|
|
2015
|
|
2014
|
|
2016
|
|
2015
|
|
2014
|
|||||||||||||||||||||||||
Service cost, net
|
$
|
432
|
|
|
$
|
837
|
|
|
$
|
893
|
|
|
$
|
16,804
|
|
|
$
|
18,664
|
|
|
$
|
15,189
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
170
|
|
|
$
|
17,236
|
|
|
$
|
19,501
|
|
|
$
|
16,252
|
|
Interest cost on projected benefit obligations
|
4,428
|
|
|
6,431
|
|
|
6,396
|
|
|
10,664
|
|
|
14,071
|
|
|
21,445
|
|
|
76
|
|
|
139
|
|
|
240
|
|
|
15,168
|
|
|
20,641
|
|
|
28,081
|
|
||||||||||||
Expected return on plan assets
|
(7,781
|
)
|
|
(9,575
|
)
|
|
(8,549
|
)
|
|
(33,168
|
)
|
|
(36,832
|
)
|
|
(37,361
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(40,949
|
)
|
|
(46,407
|
)
|
|
(45,910
|
)
|
||||||||||||
Recognition of actuarial losses/(gains) and prior service costs
|
7,606
|
|
|
7,626
|
|
|
4,800
|
|
|
12,923
|
|
|
10,639
|
|
|
292
|
|
|
(4,567
|
)
|
|
(5,247
|
)
|
|
(2,215
|
)
|
|
15,962
|
|
|
13,018
|
|
|
2,877
|
|
||||||||||||
Settlement charge
|
7,963
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
7,963
|
|
|
—
|
|
|
—
|
|
||||||||||||
Net periodic pension cost / (benefit)
|
$
|
12,648
|
|
|
$
|
5,319
|
|
|
$
|
3,540
|
|
|
$
|
7,223
|
|
|
$
|
6,542
|
|
|
$
|
(435
|
)
|
|
$
|
(4,491
|
)
|
|
$
|
(5,108
|
)
|
|
$
|
(1,805
|
)
|
|
$
|
15,380
|
|
|
$
|
6,753
|
|
|
$
|
1,300
|
|
|
U.S. Pension
Benefits
|
|
Non-U.S.
Pension Benefits
|
|
Other Benefits
|
|
Total
|
||||||||
Plan amendments and prior service costs
|
$
|
—
|
|
|
$
|
(4,984
|
)
|
|
$
|
(779
|
)
|
|
$
|
(5,763
|
)
|
Actuarial losses (gains)
|
6,555
|
|
|
22,236
|
|
|
(1,895
|
)
|
|
26,896
|
|
||||
Total
|
$
|
6,555
|
|
|
$
|
17,252
|
|
|
$
|
(2,674
|
)
|
|
$
|
21,133
|
|
|
December 31, 2016
|
|
December 31, 2015
|
||||||||||||||||||||||||||||
|
Quoted
Prices in
Active
Markets for
Identical
Assets
(Level 1)
|
|
Observable
Inputs for
Identical
Assets
(Level 2)
|
|
Unobservable
Inputs
(Level 3)
|
|
Total
|
|
Quoted
Prices in
Active
Markets for
Identical
Assets
(Level 1)
|
|
Observable
Inputs for
Identical
Assets
(Level 2)
|
|
Unobservable
Inputs
(Level 3)
|
|
Total
|
||||||||||||||||
Asset Category:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Cash and Cash Equivalents
|
$
|
131,468
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
131,468
|
|
|
$
|
86,135
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
86,135
|
|
Equity Securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Mettler-Toledo Stock
|
2,846
|
|
|
—
|
|
|
—
|
|
|
2,846
|
|
|
3,229
|
|
|
—
|
|
|
—
|
|
|
3,229
|
|
||||||||
Equity Mutual Funds:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
U.S.
(1)
|
5,860
|
|
|
24,257
|
|
|
—
|
|
|
30,117
|
|
|
6,320
|
|
|
27,614
|
|
|
—
|
|
|
33,934
|
|
||||||||
International
(2)
|
54,760
|
|
|
52,404
|
|
|
—
|
|
|
107,164
|
|
|
41,982
|
|
|
50,748
|
|
|
—
|
|
|
92,730
|
|
||||||||
Emerging Markets
(3)
|
78,999
|
|
|
793
|
|
|
—
|
|
|
79,792
|
|
|
95,065
|
|
|
774
|
|
|
—
|
|
|
95,839
|
|
||||||||
Fixed Income Securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Corporate/Government
|
69,578
|
|
|
—
|
|
|
—
|
|
|
69,578
|
|
|
91,533
|
|
|
—
|
|
|
—
|
|
|
91,533
|
|
||||||||
Bonds
(4)
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Fixed Income Mutual Funds:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Insurance Contracts
(5)
|
—
|
|
|
19,955
|
|
|
1,300
|
|
|
21,255
|
|
|
—
|
|
|
20,351
|
|
|
1,367
|
|
|
21,718
|
|
||||||||
Core Bond
(6)
|
121,884
|
|
|
52,955
|
|
|
—
|
|
|
174,839
|
|
|
138,073
|
|
|
37,099
|
|
|
—
|
|
|
175,172
|
|
||||||||
Real Asset Mutual Funds:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Real Estate
(7)
|
69,284
|
|
|
—
|
|
|
—
|
|
|
69,284
|
|
|
65,597
|
|
|
—
|
|
|
—
|
|
|
65,597
|
|
||||||||
Commodities
(8)
|
22,964
|
|
|
—
|
|
|
5,594
|
|
|
28,558
|
|
|
21,092
|
|
|
3,880
|
|
|
33,505
|
|
|
58,477
|
|
||||||||
Other Types of Investments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Global Allocation Funds
(9)
|
11,981
|
|
|
11,285
|
|
|
—
|
|
|
23,266
|
|
|
12,661
|
|
|
13,605
|
|
|
—
|
|
|
26,266
|
|
||||||||
Total assets in fair value hierarchy
|
$
|
569,624
|
|
|
$
|
161,649
|
|
|
$
|
6,894
|
|
|
$
|
738,167
|
|
|
$
|
561,687
|
|
|
$
|
154,071
|
|
|
$
|
34,872
|
|
|
$
|
750,630
|
|
Investments measured at net asset value:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Emerging Markets
(3)
|
|
|
|
|
|
|
4,407
|
|
|
|
|
|
|
|
5,343
|
||||||||||||||||
Multi-Strategy Fund of Hedge Funds
(10)
|
|
|
|
|
|
|
77,698
|
|
|
|
|
|
|
|
88,742
|
||||||||||||||||
Total pension assets at fair value
|
|
|
|
|
|
|
$
|
820,272
|
|
|
|
|
|
|
|
|
$
|
844,715
|
|
(1)
|
Represents primarily large capitalization equity mutual funds tracking the S&P 500 Index.
|
(2)
|
Represents all capitalization core and value equity mutual funds located primarily in Switzerland, the United Kingdom, and Canada.
|
(3)
|
Represents core and growth mutual funds and funds of mutual funds invested in emerging markets primarily in Eastern Europe, Latin America, and Asia.
|
(4)
|
Represents investments in high-grade corporate and government bonds located in Switzerland and the European Union.
|
(5)
|
Represents fixed and variable rate annuity contracts provided by insurance companies.
|
(6)
|
Represents fixed income mutual funds invested in the U.S., the United Kingdom, Switzerland, and European government bonds, high-grade corporate bonds, mortgage-backed securities, and collateralized mortgage obligations.
|
(7)
|
Represents mutual funds invested in real estate located primarily in Switzerland.
|
(8)
|
Represents commodity funds invested across a broad range of sectors.
|
(9)
|
Represents mutual funds invested globally in both equities and fixed income securities.
|
(10)
|
Represents investments in underlying globally diversified hedge funds. Investments that are measured using the net asset value (NAV) per share practical expedient have not been categorized in the fair value hierarchy. The amounts presented above are intended to permit reconciliation of the fair value hierarchy to the fair value of total plan assets in order to determine the amounts included in the Consolidated Balance Sheet.
|
|
Commodities
|
|
Insurance
Contract
|
|
Total
|
||||||
Balance at December 31, 2014
|
$
|
28,196
|
|
|
$
|
1,388
|
|
|
$
|
29,584
|
|
Actual return on plan assets:
|
|
|
|
|
|
|
|
|
|||
Related to assets held at end of year
|
2,408
|
|
|
22
|
|
|
2,430
|
|
|||
Purchases
|
2,911
|
|
|
99
|
|
|
3,010
|
|
|||
Impact of foreign currency
|
(10
|
)
|
|
(142
|
)
|
|
(152
|
)
|
|||
Balance at December 31, 2015
|
$
|
33,505
|
|
|
$
|
1,367
|
|
|
$
|
34,872
|
|
Actual return on plan assets:
|
|
|
|
|
|
|
|
|
|||
Related to assets held at end of year
|
—
|
|
|
25
|
|
|
25
|
|
|||
Related to assets sold during the year
|
(2,857
|
)
|
|
—
|
|
|
(2,857
|
)
|
|||
Sales
|
(21,278
|
)
|
|
(38
|
)
|
|
(21,316
|
)
|
|||
Impact of foreign currency
|
(3,776
|
)
|
|
(54
|
)
|
|
(3,830
|
)
|
|||
Balance at December 31, 2016
|
$
|
5,594
|
|
|
$
|
1,300
|
|
|
$
|
6,894
|
|
|
U.S. Pension
Benefits
|
|
Non-U.S. Pension
Benefits
|
|
Other Benefits Net of
Subsidy
|
|
Total
|
||||||||
2017
|
$
|
7,693
|
|
|
$
|
40,407
|
|
|
$
|
467
|
|
|
$
|
48,567
|
|
2018
|
7,927
|
|
|
40,263
|
|
|
414
|
|
|
48,604
|
|
||||
2019
|
8,120
|
|
|
39,952
|
|
|
381
|
|
|
48,453
|
|
||||
2020
|
8,350
|
|
|
40,919
|
|
|
265
|
|
|
49,534
|
|
||||
2021
|
8,472
|
|
|
39,001
|
|
|
239
|
|
|
47,712
|
|
||||
2022-2027
|
43,902
|
|
|
192,274
|
|
|
860
|
|
|
237,036
|
|
|
2016
|
|
2015
|
|
2014
|
||||||
United States
|
$
|
37,363
|
|
|
$
|
20,992
|
|
|
$
|
33,157
|
|
Non-United States
|
466,830
|
|
|
442,432
|
|
|
411,847
|
|
|||
Earnings before taxes
|
$
|
504,193
|
|
|
$
|
463,424
|
|
|
$
|
445,004
|
|
|
Current
|
|
Deferred
|
|
Total
|
||||||
Year ended December 31, 2016:
|
|
|
|
|
|
||||||
United States federal
|
$
|
20,116
|
|
|
$
|
(4,817
|
)
|
|
$
|
15,299
|
|
State and local
|
2,947
|
|
|
1,149
|
|
|
4,096
|
|
|||
Non-United States
|
94,882
|
|
|
5,546
|
|
|
100,428
|
|
|||
Total
|
$
|
117,945
|
|
|
$
|
1,878
|
|
|
$
|
119,823
|
|
Year ended December 31, 2015:
|
|
|
|
|
|
|
|
|
|||
United States federal
|
$
|
11,071
|
|
|
$
|
3,029
|
|
|
$
|
14,100
|
|
State and local
|
2,164
|
|
|
617
|
|
|
2,781
|
|
|||
Non-United States
|
90,232
|
|
|
3,491
|
|
|
93,723
|
|
|||
Total
|
$
|
103,467
|
|
|
$
|
7,137
|
|
|
$
|
110,604
|
|
Year ended December 31, 2014:
|
|
|
|
|
|
|
|
|
|||
United States federal
|
$
|
—
|
|
|
$
|
5,676
|
|
|
$
|
5,676
|
|
State and local
|
1,372
|
|
|
527
|
|
|
1,899
|
|
|||
Non-United States
|
90,029
|
|
|
9,159
|
|
|
99,188
|
|
|||
Total
|
$
|
91,401
|
|
|
$
|
15,362
|
|
|
$
|
106,763
|
|
|
2016
|
|
2015
|
|
2014
|
||||||
Expected tax
|
$
|
176,467
|
|
|
$
|
162,198
|
|
|
$
|
155,751
|
|
United States state and local income taxes, net of federal income tax benefit
|
3,064
|
|
|
2,551
|
|
|
1,899
|
|
|||
Change in valuation allowance
|
—
|
|
|
(1,098
|
)
|
|
(172
|
)
|
|||
Non-United States income taxes at other than a 35% rate
|
(65,917
|
)
|
|
(54,798
|
)
|
|
(51,360
|
)
|
|||
Other, net
|
6,209
|
|
|
1,751
|
|
|
645
|
|
|||
Total provision for taxes
|
$
|
119,823
|
|
|
$
|
110,604
|
|
|
$
|
106,763
|
|
|
2016
|
|
2015
|
||||
Deferred tax assets:
|
|
|
|
|
|
||
Inventory
|
$
|
17,612
|
|
|
$
|
14,491
|
|
Accrued and other liabilities
|
93,379
|
|
|
89,605
|
|
||
Accrued post-retirement benefit and pension costs
|
72,004
|
|
|
59,175
|
|
||
Net operating loss and tax credit carryforwards
|
15,844
|
|
|
32,818
|
|
||
Other
|
10,326
|
|
|
9,778
|
|
||
Total deferred tax assets
|
209,165
|
|
|
205,867
|
|
||
Less valuation allowance
|
(10,730
|
)
|
|
(25,435
|
)
|
||
Total deferred tax assets less valuation allowance
|
198,435
|
|
|
180,432
|
|
||
Deferred tax liabilities:
|
|
|
|
|
|
||
Inventory
|
3,741
|
|
|
3,946
|
|
||
Property, plant, and equipment
|
56,718
|
|
|
57,373
|
|
||
Rainin intangibles amortization
|
77,295
|
|
|
71,388
|
|
||
Prepaid post-retirement benefit and pension costs
|
36,741
|
|
|
30,884
|
|
||
International earnings
|
19,575
|
|
|
14,998
|
|
||
Unrealized currency gains
|
34,720
|
|
|
19,768
|
|
||
Total deferred tax liabilities
|
228,790
|
|
|
198,357
|
|
||
Net deferred tax (liability) asset
|
$
|
(30,355
|
)
|
|
$
|
(17,925
|
)
|
|
2016
|
|
2015
|
||||
Unrecognized tax benefits at beginning of year
|
$
|
15,259
|
|
|
$
|
16,864
|
|
Increases related to current tax positions
|
7,824
|
|
|
2,676
|
|
||
Increases (decreases) related to prior year tax positions
|
(885
|
)
|
|
186
|
|
||
Decreases relating to taxing authority settlements
|
(794
|
)
|
|
(1,102
|
)
|
||
Decreases resulting from a lapse of the applicable statute of limitations
|
(896
|
)
|
|
(2,764
|
)
|
||
Other, net
|
(268
|
)
|
|
(601
|
)
|
||
Unrecognized tax benefits at end of year
|
$
|
20,240
|
|
|
$
|
15,259
|
|
|
|
Total
|
||
Balance at December 31, 2014
|
|
$
|
8,436
|
|
Restructuring charges
|
|
11,148
|
|
|
Cash payments / utilization
|
|
(6,568
|
)
|
|
Impact of foreign currency
|
|
(805
|
)
|
|
Balance at December 31, 2015
|
|
12,211
|
|
|
Restructuring charges
|
|
6,235
|
|
|
Cash payments / utilization
|
|
(8,376
|
)
|
|
Impact of foreign currency
|
|
(539
|
)
|
|
Balance at December 31, 2016
|
|
$
|
9,531
|
|
2017
|
$
|
30,177
|
|
2018
|
25,814
|
|
|
2019
|
17,605
|
|
|
2020
|
13,040
|
|
|
2021
|
10,635
|
|
|
Thereafter
|
14,117
|
|
|
Total
|
$
|
111,388
|
|
For the Year Ended December 31, 2016
|
|
Net Sales to
External
Customers
|
|
Net Sales to
Other
Segments
|
|
Total Net
Sales
|
|
Segment
Profit
|
|
Depreciation
|
|
Total Assets
|
|
Purchase of
Property, Plant
and Equipment
|
|
Goodwill
|
||||||||||||||||
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
U.S. Operations
|
|
$
|
867,962
|
|
|
$
|
90,580
|
|
|
$
|
958,542
|
|
|
$
|
161,539
|
|
|
$
|
6,094
|
|
|
$
|
1,747,338
|
|
|
$
|
(52,255
|
)
|
|
$
|
357,785
|
|
Swiss Operations
|
|
130,674
|
|
|
524,983
|
|
|
655,657
|
|
|
163,663
|
|
|
6,199
|
|
|
1,212,637
|
|
|
(7,260
|
)
|
|
21,239
|
|
||||||||
Western European Operations
|
|
640,558
|
|
|
176,501
|
|
|
817,059
|
|
|
123,507
|
|
|
4,048
|
|
|
1,120,751
|
|
|
(6,857
|
)
|
|
82,500
|
|
||||||||
Chinese Operations
|
|
386,541
|
|
|
219,766
|
|
|
606,307
|
|
|
187,924
|
|
|
6,879
|
|
|
702,571
|
|
|
(16,288
|
)
|
|
636
|
|
||||||||
Other
(a)
|
|
482,522
|
|
|
7,709
|
|
|
490,231
|
|
|
64,060
|
|
|
3,461
|
|
|
277,476
|
|
|
(4,540
|
)
|
|
14,218
|
|
||||||||
Eliminations and Corporate
(b)
|
|
—
|
|
|
(1,019,539
|
)
|
|
(1,019,539
|
)
|
|
(117,696
|
)
|
|
6,062
|
|
|
(2,893,996
|
)
|
|
(36,757
|
)
|
|
—
|
|
||||||||
Total
|
|
$
|
2,508,257
|
|
|
$
|
—
|
|
|
$
|
2,508,257
|
|
|
$
|
582,997
|
|
|
$
|
32,743
|
|
|
$
|
2,166,777
|
|
|
$
|
(123,957
|
)
|
|
$
|
476,378
|
|
For the Year Ended December 31, 2015
|
|
Net Sales to
External
Customers
|
|
Net Sales to
Other
Segments
|
|
Total Net
Sales (c)
|
|
Segment
Profit (c)
|
|
Depreciation
|
|
Total Assets
|
|
Purchase of
Property, Plant
and Equipment
|
|
Goodwill
|
||||||||||||||||
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
U.S. Operations
|
|
$
|
826,354
|
|
|
$
|
87,488
|
|
|
$
|
913,842
|
|
|
$
|
147,491
|
|
|
$
|
6,153
|
|
|
$
|
1,487,422
|
|
|
$
|
(7,113
|
)
|
|
$
|
317,856
|
|
Swiss Operations
|
|
133,684
|
|
|
498,642
|
|
|
632,326
|
|
|
160,763
|
|
|
6,488
|
|
|
1,134,648
|
|
|
(6,650
|
)
|
|
21,841
|
|
||||||||
Western European Operations
|
|
620,128
|
|
|
165,532
|
|
|
785,660
|
|
|
107,424
|
|
|
4,076
|
|
|
1,010,639
|
|
|
(5,940
|
)
|
|
92,389
|
|
||||||||
Chinese Operations
|
|
376,291
|
|
|
214,887
|
|
|
591,178
|
|
|
165,532
|
|
|
7,086
|
|
|
506,390
|
|
|
(14,770
|
)
|
|
692
|
|
||||||||
Other
(a)
|
|
438,990
|
|
|
8,087
|
|
|
447,077
|
|
|
50,821
|
|
|
2,883
|
|
|
260,276
|
|
|
(4,306
|
)
|
|
13,506
|
|
||||||||
Eliminations and Corporate
(b)
|
|
—
|
|
|
(974,636
|
)
|
|
(974,636
|
)
|
|
(99,924
|
)
|
|
6,401
|
|
|
(2,440,040
|
)
|
|
(43,727
|
)
|
|
—
|
|
||||||||
Total
|
|
$
|
2,395,447
|
|
|
$
|
—
|
|
|
$
|
2,395,447
|
|
|
$
|
532,107
|
|
|
$
|
33,087
|
|
|
$
|
1,959,335
|
|
|
$
|
(82,506
|
)
|
|
$
|
446,284
|
|
For the Year Ended December 31, 2014
|
|
Net Sales to
External
Customers
|
|
Net Sales to
Other
Segments
|
|
Total Net
Sales (c)
|
|
Segment
Profit (c)
|
|
Depreciation
|
|
Total Assets
|
|
Purchase of
Property, Plant
and Equipment
|
|
Goodwill
|
||||||||||||||||
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
U.S. Operations
|
|
$
|
757,243
|
|
|
$
|
90,463
|
|
|
$
|
847,706
|
|
|
$
|
123,278
|
|
|
$
|
6,068
|
|
|
$
|
1,368,835
|
|
|
$
|
(6,627
|
)
|
|
$
|
308,861
|
|
Swiss Operations
|
|
137,756
|
|
|
549,785
|
|
|
687,541
|
|
|
149,987
|
|
|
6,621
|
|
|
1,016,416
|
|
|
(6,567
|
)
|
|
21,873
|
|
||||||||
Western European Operations
|
|
708,755
|
|
|
194,297
|
|
|
903,052
|
|
|
119,603
|
|
|
4,422
|
|
|
1,052,435
|
|
|
(5,581
|
)
|
|
99,341
|
|
||||||||
Chinese Operations
|
|
415,474
|
|
|
164,083
|
|
|
579,557
|
|
|
163,832
|
|
|
6,746
|
|
|
813,052
|
|
|
(19,793
|
)
|
|
740
|
|
||||||||
Other
(a)
|
|
466,755
|
|
|
7,527
|
|
|
474,282
|
|
|
52,869
|
|
|
2,820
|
|
|
252,776
|
|
|
(3,315
|
)
|
|
13,270
|
|
||||||||
Eliminations and Corporate
(b)
|
|
—
|
|
|
(1,006,155
|
)
|
|
(1,006,155
|
)
|
|
(102,698
|
)
|
|
6,940
|
|
|
(2,529,982
|
)
|
|
(47,505
|
)
|
|
—
|
|
||||||||
Total
|
|
$
|
2,485,983
|
|
|
$
|
—
|
|
|
$
|
2,485,983
|
|
|
$
|
506,871
|
|
|
$
|
33,617
|
|
|
$
|
1,973,532
|
|
|
$
|
(89,388
|
)
|
|
$
|
444,085
|
|
(a)
|
Other includes reporting units in Southeast Asia, Latin America, Eastern Europe and other countries.
|
(b)
|
Eliminations and Corporate includes the elimination of inter-segment transactions as well as certain corporate expenses and intercompany investments, which are not included in the Company’s operating segments.
|
(c)
|
2015 and 2014 net sales and segment profit have been reclassified to conform to the current period.
|
|
2016
|
|
2015
|
|
2014
|
||||||
Earnings before taxes
|
$
|
504,193
|
|
|
$
|
463,424
|
|
|
$
|
445,004
|
|
Amortization
|
36,052
|
|
|
30,951
|
|
|
29,185
|
|
|||
Interest expense
|
28,026
|
|
|
27,451
|
|
|
24,537
|
|
|||
Restructuring charges
|
6,235
|
|
|
11,148
|
|
|
5,915
|
|
|||
Other charges (income), net
|
8,491
|
|
|
(867
|
)
|
|
2,230
|
|
|||
Segment profit
|
$
|
582,997
|
|
|
$
|
532,107
|
|
|
$
|
506,871
|
|
|
2016
|
|
2015
|
|
2014
|
||||||
Laboratory
|
$
|
1,225,000
|
|
|
$
|
1,154,905
|
|
|
$
|
1,161,207
|
|
Industrial
|
1,067,858
|
|
|
1,034,310
|
|
|
1,107,606
|
|
|||
Retail
|
215,399
|
|
|
206,232
|
|
|
217,170
|
|
|||
Total net sales
|
$
|
2,508,257
|
|
|
$
|
2,395,447
|
|
|
$
|
2,485,983
|
|
|
Net Sales
|
|
Property, Plant, and
Equipment, Net
|
||||||||||||||||
|
2016
|
|
2015
|
|
2014
|
|
2016
|
|
2015
|
||||||||||
United States
|
$
|
815,153
|
|
|
$
|
768,815
|
|
|
$
|
708,293
|
|
|
$
|
168,494
|
|
|
$
|
132,255
|
|
Other Americas
|
153,607
|
|
|
157,962
|
|
|
166,150
|
|
|
3,833
|
|
|
4,120
|
|
|||||
Total Americas
|
968,760
|
|
|
926,777
|
|
|
874,443
|
|
|
172,327
|
|
|
136,375
|
|
|||||
Germany
|
182,644
|
|
|
176,491
|
|
|
204,747
|
|
|
28,393
|
|
|
29,100
|
|
|||||
France
|
118,681
|
|
|
110,477
|
|
|
127,363
|
|
|
5,009
|
|
|
5,174
|
|
|||||
United Kingdom
|
61,513
|
|
|
71,679
|
|
|
77,271
|
|
|
12,631
|
|
|
15,854
|
|
|||||
Switzerland
|
62,115
|
|
|
64,622
|
|
|
71,347
|
|
|
246,312
|
|
|
233,763
|
|
|||||
Other Europe
|
374,008
|
|
|
349,178
|
|
|
398,645
|
|
|
6,511
|
|
|
6,158
|
|
|||||
Total Europe
|
798,961
|
|
|
772,447
|
|
|
879,373
|
|
|
298,856
|
|
|
290,049
|
|
|||||
China
|
374,996
|
|
|
362,950
|
|
|
404,293
|
|
|
83,713
|
|
|
82,528
|
|
|||||
Rest of World
|
365,540
|
|
|
333,273
|
|
|
327,874
|
|
|
8,811
|
|
|
8,277
|
|
|||||
Total Asia/Rest of World
|
740,536
|
|
|
696,223
|
|
|
732,167
|
|
|
92,524
|
|
|
90,805
|
|
|||||
Total
|
$
|
2,508,257
|
|
|
$
|
2,395,447
|
|
|
$
|
2,485,983
|
|
|
$
|
563,707
|
|
|
$
|
517,229
|
|
|
First Quarter
|
|
Second Quarter
|
|
Third Quarter
|
|
Fourth Quarter
|
||||||||
2016
|
|
|
|
|
|
|
|
|
|
|
|
||||
Net sales
|
$
|
539,674
|
|
|
$
|
608,286
|
|
|
$
|
650,598
|
|
|
$
|
709,699
|
|
Gross profit
|
299,907
|
|
|
347,576
|
|
|
369,494
|
|
|
418,610
|
|
||||
Net earnings
|
$
|
65,674
|
|
|
$
|
79,588
|
|
|
$
|
101,332
|
|
|
$
|
137,776
|
|
Basic earnings per common share:
|
|
|
|
|
|
|
|
||||||||
Net earnings
|
$
|
2.44
|
|
|
$
|
2.99
|
|
|
$
|
3.84
|
|
|
$
|
5.27
|
|
Weighted average number of common shares
|
26,931,293
|
|
|
26,631,015
|
|
|
26,375,468
|
|
|
26,139,024
|
|
||||
Diluted earnings per common share:
|
|
|
|
|
|
|
|
||||||||
Net earnings
|
$
|
2.40
|
|
|
$
|
2.93
|
|
|
$
|
3.77
|
|
|
$
|
5.17
|
|
Weighted average number of common and common equivalent shares
|
27,421,019
|
|
|
27,143,284
|
|
|
26,888,810
|
|
|
26,631,269
|
|
||||
Market price per share:
|
|
|
|
|
|
|
|
||||||||
High
|
$
|
347.09
|
|
|
$
|
385.50
|
|
|
$
|
419.83
|
|
|
$
|
429.91
|
|
Low
|
$
|
298.14
|
|
|
$
|
347.76
|
|
|
$
|
363.19
|
|
|
$
|
397.73
|
|
|
|
|
|
|
|
|
|
||||||||
2015
|
|
|
|
|
|
|
|
|
|
|
|
||||
Net sales
|
$
|
535,701
|
|
|
$
|
582,057
|
|
|
$
|
604,154
|
|
|
$
|
673,535
|
|
Gross profit
|
298,805
|
|
|
322,912
|
|
|
339,529
|
|
|
390,747
|
|
||||
Net earnings
|
$
|
63,051
|
|
|
$
|
77,557
|
|
|
$
|
88,861
|
|
|
$
|
123,351
|
|
Basic earnings per common share:
|
|
|
|
|
|
|
|
|
|
|
|||||
Net earnings
|
$
|
2.24
|
|
|
$
|
2.79
|
|
|
$
|
3.23
|
|
|
$
|
4.53
|
|
Weighted average number of common shares
|
28,115,220
|
|
|
27,843,905
|
|
|
27,547,734
|
|
|
27,228,026
|
|
||||
Diluted earnings per common share:
|
|
|
|
|
|
|
|
|
|
|
|||||
Net earnings
|
$
|
2.19
|
|
|
$
|
2.73
|
|
|
$
|
3.16
|
|
|
$
|
4.44
|
|
Weighted average number of common and common equivalent shares
|
28,762,935
|
|
|
28,460,336
|
|
|
28,113,287
|
|
|
27,755,045
|
|
||||
Market price per share:
|
|
|
|
|
|
|
|
|
|
|
|||||
High
|
$
|
331.84
|
|
|
$
|
343.44
|
|
|
$
|
346.92
|
|
|
$
|
345.75
|
|
Low
|
$
|
289.09
|
|
|
$
|
317.01
|
|
|
$
|
277.62
|
|
|
$
|
283.27
|
|
Column A
|
|
Column B
|
|
Column C
|
|
Column D
|
|
Column E
|
||||||||||||
|
|
|
|
Additions
|
|
|
|
|
||||||||||||
|
|
|
|
(1)
|
|
(2)
|
|
|
|
|
||||||||||
|
|
Balance at the
Beginning of
Period
|
|
Charged to
Costs and Expenses
|
|
Charged to
Other Accounts
|
|
|
|
Balance at End
of Period
|
||||||||||
Description
|
|
|
|
|
-Deductions-
|
|
||||||||||||||
|
|
|
|
|
|
Note (A)
|
|
Note (B)
|
|
|
||||||||||
Accounts receivable — allowance for doubtful accounts:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Year ended December 31, 2016
|
|
$
|
14,435
|
|
|
$
|
1,087
|
|
|
$
|
(760
|
)
|
|
$
|
528
|
|
|
$
|
14,234
|
|
Year ended December 31, 2015
|
|
$
|
15,961
|
|
|
$
|
883
|
|
|
$
|
(2,302
|
)
|
|
$
|
107
|
|
|
$
|
14,435
|
|
Year ended December 31, 2014
|
|
$
|
14,856
|
|
|
$
|
2,453
|
|
|
$
|
(784
|
)
|
|
$
|
564
|
|
|
$
|
15,961
|
|
Deferred tax valuation allowance:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Year ended December 31, 2016
|
|
$
|
25,435
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
14,705
|
|
|
$
|
10,730
|
|
Year ended December 31, 2015
|
|
$
|
36,263
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
10,828
|
|
|
$
|
25,435
|
|
Year ended December 31, 2014
|
|
$
|
31,697
|
|
|
$
|
—
|
|
|
$
|
5,191
|
|
|
$
|
625
|
|
|
$
|
36,263
|
|
|
|
|
1.
|
Changes in US GAAP based on the adoption of new accounting principles or changes in existing accounting principles. Accounting principles and policies shall be consistently applied based on the US GAAP principles and policies in existence as of December 31, 2016.
|
2.
|
Costs (either period costs or accrued costs) associated with restructuring, exit, or disposal activities (e.g. one-time termination benefits, contract termination costs, costs to consolidate facilities, costs to relocate employees, etc.) in excess of $4 million after tax
.
|
3.
|
Gains or losses on the sale of any assets or business in excess of $4 million after tax
|
4.
|
Gains or losses associated with financings or re-financings in excess of $4 million after tax
|
5.
|
Impairment charges related to intangibles, goodwill, or long-lived assets in excess of $4 million after tax
|
6.
|
Costs associated with dispositions in excess of $4 million after tax
|
7.
|
Costs associated with the termination (curtailments or settlements) of any pension plans in excess of $4 million after tax
|
8.
|
Discrete tax items relating to law changes, audits, close to return adjustments, or changes in valuation allowance that are considered non-recurring, unusual, or infrequent based upon the definitions of such terms as described by APB 30 in excess of $4 million after tax
|
9.
|
EPS growth will be adjusted as necessary for any stock splits
|
10.
|
All other non-recurring, unusual, or infrequent items, based upon the definitions of such terms as described by APB 30, in excess of $4 million after tax required to remove the impact of transactions to ensure comparability to accounting principles as were in place at December 31, 2016
|
|
1
|
|
Date
|
October 27, 2016
|
Reference
|
CM/em
|
Direct Dial
|
41 44 944 24 45
|
Telefax
|
41 44 944 22 55
|
Function
|
Chief Financial Officer (CFO), Member of the Group Management Committee ("GMC") of the METTLER TOLEDO Group.
|
Location
|
The principal place of work is at the premises of the Company in Columbus, OH. Given the international presence of the company, employee’s duties will require regular business travel to the Group’s various locations.
|
Remuneration
|
Base Salary of USD 355’000.-- (gross, before taxes and other withholdings) per annum, effective with the starting date, payable in semi-monthly installments of USD 14'791.66.
|
|
Participation in the Incentive Plan POBS Plus for Members of the Group Management of METTLER TOLEDO pursuant to the then-current plan and regulations. Under this plan Employee is eligible to earn a cash incentive based upon achievement of various financial and personal targets. For 100% target achievement, the cash incentive is currently USD 159’750.-- gross (45% of base salary). The scaling of the incentive system and selection and weighting of targets, including personal targets, are determined by the Compensation Committee of the Board of Directors.
|
Equity Incentive Plan
|
Participation in the METTLER TOLEDO Equity Incentive Plan as may be amended from time to time.
|
Car Allowance
|
Car Allowance of USD 10'000.-- per annum, payable in semi-monthly installments of USD 416.67.
|
Vacation
|
27 working days per calendar year, including two personal holidays.
|
Other benefits
|
All other employment benefits (including but not limited to 401(k) retirement savings plan and insurances) will be in accordance with the rules and regulations for senior management of Mettler-Toledo, LLC.
|
Duration /
Notice Period |
This employment agreement is effective as of January 1, 2017 and is of unlimited duration. It may be terminated by either party without cause by giving twelve (12) months notice in writing to the end of a month and shall terminate at the end of such notice period.
|
Non-Competition
|
While Employee is employed by METTLER TOLEDO and for a period of twelve months after his termination, Employee shall not directly or indirectly (a) engage in or be employed in any business anywhere in the world which competes with the businesses of METTLER TOLEDO, or (b) solicit for hire or hire any METTLER TOLEDO employee.
|
Confidentiality
|
Employee agrees to keep confidential both during and after his employment with METTLER TOLEDO all information of a confidential nature not generally known outside of METTLER TOLEDO, and not to use such confidential information other than for purposes of performing his duties for METTLER TOLEDO.
|
Previous Employment Agreements
|
With the effectiveness of this employment agreement, all previous employment agreements or amendments to such employment agreements with METTLER TOLEDO shall be considered cancelled. The acquired period of service since November 3, 1997 is taken into consideration where applicable.
|
Applicable Law and Jurisdiction
|
This agreement shall be governed by the laws of the State of Ohio. All disputes concerning the terms and conditions of this agreement shall be brought before the ordinary courts in the State of Ohio.
|
▪
|
POBS Plus – Incentive System for Members of the Group Management of METTLER TOLEDO (12/2013)
|
|
|
|
C
ountry
|
|
L
egal Name
|
|
|
|
Australia
|
|
Mettler-Toledo Limited
|
Australia
|
|
Ohaus Australia Pty. Ltd.
|
Austria
|
|
Mettler-Toledo Ges.m.b.H.
|
Belgium
|
|
N.V. Mettler-Toledo
|
Bermuda
|
|
Mettler-Toledo Finance Ltd.
|
Brazil
|
|
Mettler-Toledo Indústria e Comércio Ltda.
|
Canada
|
|
Mettler-Toledo Inc. (Canada)
|
China
|
|
Mettler-Toledo (Changzhou) Precision Instruments Ltd.
|
China
|
|
Mettler-Toledo (Changzhou) Scale & System Ltd.
|
China
|
|
Mettler-Toledo (Changzhou) Measurement Technology Ltd.
|
China
|
|
Mettler-Toledo Instruments (Shanghai) Co., Ltd.
|
China
|
|
Mettler-Toledo International Trading (Shanghai) Co., Ltd.
|
China
|
|
Mettler-Toledo Measurement Instrument (Shanghai) Co., Ltd
|
China
|
|
Mettler-Toledo (Xinjiang ) Electronic Scale Ltd.
|
China
|
|
Ohaus International Trading (Shanghai) Co., Ltd.
|
China
|
|
Ohaus Instruments (Shanghai) Co. Ltd.
|
China
|
|
Ohaus Instruments (Changzhou) Co. Ltd.
|
China
|
|
Panzhihua Toledo Electronic Scale Ltd. (Panzhihua)
|
China
|
|
Mettler-Toledo (Chengdu) Scale & System Ltd.
|
Croatia
|
|
Mettler-Toledo d.o.o.
|
Czech Republic
|
|
Mettler-Toledo spol. s.r.o.
|
Denmark
|
|
Mettler-Toledo A/S
|
France
|
|
Accurate Poly Services APS
|
France
|
|
Mettler-Toledo Analyse Industrielle SAS
|
France
|
|
Mettler-Toledo Holding (France) SAS
|
France
|
|
Mettler-Toledo SAS
|
Germany
|
|
Mettler-Toledo Garvens GmbH
|
Germany
|
|
Mettler-Toledo (Albstadt) GmbH
|
Germany
|
|
Mettler-Toledo GmbH
|
Germany
|
|
Mettler-Toledo Management Holding Deutschland GmbH
|
Germany
|
|
Mettler-Toledo Sales & Marketing Services GmbH
|
Germany
|
|
Pharmacontrol Electronic GmbH
|
Hong Kong
|
|
Mettler-Toledo (HK) Ltd.
|
Hong Kong
|
|
Mettler-Toledo (HK) Holding Limited
|
Hong Kong
|
|
Mettler-Toledo (HK) MTCN Limited
|
Hong Kong
|
|
Mettler-Toledo (HK) MTCS Limited
|
Hong Kong
|
|
Mettler-Toledo (HK) MTCZ Limited
|
Hong Kong
|
|
Ohaus (Hong Kong) Limited
|
Hungary
|
|
Mettler-Toledo Kereskedelmi Kft.
|
India
|
|
Mettler-Toledo India Private Limited
|
India
|
|
Ohaus Weighing India Private Limited
|
Indonesia
|
|
PT Mettler-Toledo Indonesia
|
Italy
|
|
Mettler-Toledo S.p.A.
|
Japan
|
|
Mettler-Toledo K.K.
|
Kazakhstan
|
|
Mettler-Toledo Central Asia
|
Kazakhstan
|
|
Mettler-Toledo Kazakhstan
|
Korea
|
|
Mettler-Toledo (Korea) Ltd.
|
Luxembourg
|
|
Mettler-Toledo Luxembourg S.à r.l.
|
Luxembourg
|
|
Mettler-Toledo Luxembourg Holdings S.à r.l.
|
C
ountry
|
|
L
egal Name
|
|
|
|
Luxembourg
|
|
Mettler-Toledo Luxembourg Finance S.à r.l.
|
Luxembourg
|
|
Mettler-Toledo Luxembourg Capital S.à r.l.
|
Malaysia
|
|
Mettler-Toledo (M) Sdn. Bhd.
|
Malaysia
|
|
Mettler-Toledo Services Asia-Pac Sdn. Bhd.
|
Malaysia
|
|
Ohaus (SEA) Sdn. Bhd.
|
Mexico
|
|
Mettler-Toledo S.A. de C.V.
|
Mexico
|
|
Ohaus de México S.A. de C.V.
|
Netherlands
|
|
Mettler-Toledo B.V.
|
Netherlands
|
|
Mettler-Toledo Finance B.V.
|
Netherlands
|
|
Mettler-Toledo Holding B.V.
|
New Zealand
|
|
Mettler-Toledo Limited (Branch of MT-AUS)
|
Norway
|
|
Mettler-Toledo Cargoscan AS
|
Norway
|
|
Mettler-Toledo AS
|
Philippines
|
|
Mettler-Toledo Philippines Inc.
|
Poland
|
|
Mettler-Toledo Sp.z.o.o.
|
Russian Federation
|
|
Mettler-Toledo East
|
Russian Federation
|
|
Representation Office (Part of MTG)
|
Singapore
|
|
Mettler-Toledo (S) Pte. Ltd.
|
Slovak Republic
|
|
Mettler-Toledo s.r.o.
|
Slovenia
|
|
Mettler-Toledo d.o.o.
|
Spain
|
|
Mettler-Toledo S.A.E.
|
Sweden
|
|
Mettler-Toledo AB
|
Switzerland
|
|
Mettler-Toledo (Schweiz) GmbH
|
Switzerland
|
|
Mettler-Toledo GmbH
|
Switzerland
|
|
Mettler-Toledo Holding AG
|
Switzerland
|
|
Mettler-Toledo Instrumente AG
|
Switzerland
|
|
Mettler-Toledo International Inc.
|
Switzerland
|
|
Mettler-Toledo Logistik GmbH
|
Switzerland
|
|
Mettler-Toledo Logistik International GmbH
|
Switzerland
|
|
Mettler-Toledo Pac Rim AG
|
Switzerland
|
|
Mettler-Toledo OnLine GmbH
|
Switzerland
|
|
Mettler-Toledo Sales International GmbH
|
Switzerland
|
|
Microwa AG
|
Switzerland
|
|
Ohaus Europe GmbH
|
Taiwan
|
|
Mettler-Toledo Pac Rim AG, Taiwan Branch
|
Thailand
|
|
Mettler-Toledo (Thailand) Ltd.
|
Thailand
|
|
Ohaus Indochina Limited
|
Turkey
|
|
Mettler-Toledo TR Olcum Aletleri Ticaret Satis vs Servis Hizmetleri Anonim Sirketi
|
Ukraine
|
|
Mettler-Toledo Ukraine
|
United Arab Emirates
|
|
Mettler-Toledo GmbH, UAE Branch
|
United Kingdom
|
|
Anachem Limited
|
United Kingdom
|
|
Mettler-Toledo Finance (UK) Limited
|
United Kingdom
|
|
Mettler-Toledo Ltd.
|
United Kingdom
|
|
Mettler-Toledo Safeline X-Ray Limited
|
United Kingdom
|
|
Mettler-Toledo Safeline Limited
|
United Kingdom
|
|
Mettler-Toledo UK Holdings Limited
|
United Kingdom
|
|
Ohaus UK Ltd.
|
United Kingdom
|
|
Triton Technology Limited
|
United States
|
|
Mettler-Toledo AutoChem, Inc. [Delaware]
|
United States
|
|
Mettler-Toledo LLC [Delaware]
|
United States
|
|
Mettler-Toledo Process Analytics, Inc. [Massachusetts]
|
United States
|
|
Ohaus Corporation [New Jersey]
|
United States
|
|
Mettler-Toledo Rainin, LLC [Delaware]
|
United States
|
|
Mettler-Toledo Thornton Inc. [Massachusetts]
|
United States
|
|
Mettler-Toledo International Inc., Wilmington [Delaware]
|
United States
|
|
Mettler-Toledo International Finance, Inc. [Delaware]
|
United States
|
|
Mettler-Toledo Global Holdings, LLC [Delaware]
|
C
ountry
|
|
L
egal Name
|
|
|
|
United States
|
|
Mettler-Toledo (US) Finance LLC [Delaware]
|
United States
|
|
Mettler-Toledo International Holding, LLC [Delaware]
|
United States
|
|
Mettler-Toledo Global Finance LLC
|
United States
|
|
Mettler-Toledo Finance LLC
|
United States
|
|
Calibrate, Inc.
|
United States
|
|
Eagle Product Inspection LLC [Delaware]
|
United States
|
|
Troemner, LLC [Delaware]
|
United States
|
|
Mettler-Toledo Holdings LLC [Delaware]
|
United States
|
|
Advanced MicroLab LLC
|
United States
|
|
Pipette Calibration Services, Inc.
|
Vietnam
|
|
Mettler-Toledo Vietnam Limited Liability Company
|
/s/ PricewaterhouseCoopers LLP
|
PricewaterhouseCoopers LLP
|
/s/ Olivier A. Filliol
|
Olivier A. Filliol
Chief Executive Officer
|
/s/ William P. Donnelly
|
William P. Donnelly Executive Vice President (Principal Financial Officer)
|
/s/ Shawn P. Vadala
|
Shawn P. Vadala Chief Financial Officer (Principal Accounting Officer)
|
/s/ Olivier A. Filliol
|
Olivier A. Filliol
Chief Executive Officer
|
|
/s/ William P. Donnelly
|
William P. Donnelly
Executive Vice President (Principal Financial Officer)
|
|
/s/ Shawn P. Vadala
|
Shawn P. Vadala
Chief Financial Officer (Principal Accounting Officer)
|