Constellation Brands, Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Restructuring Charges (Tables)

Restructuring Charges (Tables)

12 Months Ended

Feb. 28, 2013

Restructuring and Related Activities [Abstract]

Details of restructuring liability by plan

The following table presents a rollforward of the restructuring liability for each of the Company’s restructuring plans noted above.



	Fiscal 2012 Initiative			Global Initiative			Other Plans			Total
(in millions)
Restructuring liability, February 28, 2010	$	—		$	8.9		$	5.8		$	14.7

Restructuring charges:
Employee termination benefit costs	—			10.0			1.0			11.0
Contract termination costs	—			5.0			0.2			5.2
Facility consolidation/relocation costs	—			1.5			0.1			1.6
Restructuring charges, February 28, 2011	—			16.5			1.3			17.8

Cash expenditures	—			(15.5		)	(5.0		)	(20.5		)

CWAE Divestiture	—			(3.0		)	(0.5		)	(3.5		)

Foreign currency translation adjustments	—			0.7			0.5			1.2
Restructuring liability, February 28, 2011	—			7.6			2.1			9.7

Restructuring charges:
Employee termination benefit costs	12.2			(0.1		)	—			12.1
Contract termination costs	—			—			3.7			3.7
Facility consolidation/relocation costs	—			0.2			—			0.2
Restructuring charges, February 29, 2012	12.2			0.1			3.7			16.0

Cash expenditures	(4.2		)	(5.1		)	(2.7		)	(12.0		)

Foreign currency translation and other non-cash adjustments	—			1.2			(0.1		)	1.1
Restructuring liability, February 29, 2012	8.0			3.8			3.0			14.8

Restructuring charges:
Employee termination benefit costs	0.1			—			0.3			0.4
Contract termination costs	0.2			0.1			(0.1		)	0.2
Facility consolidation/relocation costs	—			0.1			—			0.1
Restructuring charges, February 28, 2013	0.3			0.2			0.2			0.7

Cash expenditures	(6.0		)	(3.0		)	(0.8		)	(9.8		)

Foreign currency translation and other non-cash adjustments	—			(0.1		)	—			(0.1		)
Restructuring liability, February 28, 2013	$	2.3		$	0.9		$	2.4		$	5.6

Summary of restructuring charges and other costs incurred

The following table presents a summary of restructuring charges and other costs incurred, including a summary of amounts incurred by each of the Company’s reportable segments, in connection with the Company’s restructuring plans noted above.



	Fiscal 2012 Initiative			Global Initiative		Other Plans		Total
(in millions)
For the Year Ended February 28, 2013
Restructuring charges	$	0.3		$	0.2	$	0.2	$	0.7
Other costs:
Accelerated depreciation, inventory write-down and/or other costs (cost of product sold)	—			—		—		—
Asset write-down, other costs and/or acquisition-related integration costs (selling, general and administrative expenses)	8.5			—		—		8.5
Total other costs	8.5			—		—		8.5
Total costs	$	8.8		$	0.2	$	0.2	$	9.2

Total Costs by Reportable Segment:
Constellation Wines and Spirits
Restructuring charges	$	1.5		$	0.2	$	0.2	$	1.9
Other costs	4.6			—		—		4.6
Total Constellation Wines and Spirits	$	6.1		$	0.2	$	0.2	$	6.5

Corporate Operations and Other
Restructuring charges	$	(1.2	)	$	—	$	—	$	(1.2	)
Other costs	3.9			—		—		3.9
Total Corporate Operations and Other	$	2.7		$	—	$	—	$	2.7

For the Year Ended February 29, 2012
Restructuring charges	$	12.2		$	0.1	$	3.7	$	16.0
Other costs:
Accelerated depreciation, inventory write-down and/or other costs (cost of product sold)	—			0.3		—		0.3
Asset write-down, other costs and/or acquisition-related integration costs (selling, general and administrative expenses)	7.3			1.1		—		8.4
Total other costs	7.3			1.4		—		8.7
Total costs	$	19.5		$	1.5	$	3.7	$	24.7

Total Costs by Reportable Segment:
Constellation Wines and Spirits
Restructuring charges	$	7.9		$	0.1	$	3.7	$	11.7
Other costs	5.2			1.4		—		6.6
Total Constellation Wines and Spirits	$	13.1		$	1.5	$	3.7	$	18.3

Corporate Operations and Other
Restructuring charges	$	4.3		$	—	$	—	$	4.3
Other costs	2.1			—		—		2.1
Total Corporate Operations and Other	$	6.4		$	—	$	—	$	6.4



	Fiscal 2012 Initiative		Global Initiative		Other Plans			Total
(in millions)
For the Year Ended February 28, 2011
Restructuring charges	$	—	$	17.6	$	5.5		$	23.1
Other costs:
Accelerated depreciation, inventory write-down and/or other costs (cost of product sold)	—		2.0		0.2			2.2
Asset write-down, other costs and/or acquisition-related integration costs (selling, general and administrative expenses)	—		5.4		0.4			5.8
Total other costs	—		7.4		0.6			8.0
Total costs	$	—	$	25.0	$	6.1		$	31.1

Total Costs by Reportable Segment:
Constellation Wines and Spirits
Restructuring charges	$	—	$	6.9	$	0.1		$	7.0
Other costs	—		6.9		0.7			7.6
Total Constellation Wines and Spirits	$	—	$	13.8	$	0.8		$	14.6

CWAE
Restructuring charges	$	—	$	9.4	$	5.4		$	14.8
Other costs	—		0.4		(0.1		)	0.3
Total CWAE	$	—	$	9.8	$	5.3		$	15.1

Corporate Operations and Other
Restructuring charges	$	—	$	1.3	$	—		$	1.3
Other costs	—		0.1		—			0.1
Total Corporate Operations and Other	$	—	$	1.4	$	—		$	1.4

The following table presents a summary of restructuring charges and other costs incurred since inception for each plan. The Company does not expect to incur any additional costs associated with its restructuring plans.



	Fiscal 2012 Initiative		Global Initiative		Other Plans
(in millions)
Costs incurred to date
Restructuring charges:
Employee termination benefit costs	$	12.3	$	35.4	$	27.9
Contract termination costs	0.2		8.8		30.3
Facility consolidation/relocation costs	—		2.9		2.9
Impairment charges on assets held for sale, net of gains on sales of assets held for sale	—		—		64.1
Total restructuring charges	12.5		47.1		125.2
Other costs:
Accelerated depreciation, inventory write-down and/or other costs (cost of product sold)	—		13.8		100.4
Asset write-down, other costs and/or acquisition-related integration costs (selling, general and administrative expenses)	15.8		41.4		115.8
Asset impairment (impairment of intangible assets)	—		—		29.2
Total other costs	15.8		55.2		245.4
Total costs incurred to date	$	28.3	$	102.3	$	370.6

Total Costs Incurred to Date by Reportable Segment:
Constellation Wines and Spirits
Restructuring charges	$	9.4	$	23.3	$	14.5
Other costs	9.8		44.0		74.5
Total Constellation Wines and Spirits	$	19.2	$	67.3	$	89.0

CWAE
Restructuring charges	$	—	$	19.5	$	110.5
Other costs	—		6.2		167.8
Total CWAE	$	—	$	25.7	$	278.3

Corporate Operations and Other
Restructuring charges	$	3.1	$	4.3	$	0.2
Other costs	6.0		5.0		3.1
Total Corporate Operations and Other	$	9.1	$	9.3	$	3.3

- Definition

Tabular disclosure of restructuring and related costs by type of restructuring including the description of the restructuring costs, such as the expected cost; the costs incurred during the period; the cumulative costs incurred as of the balance sheet date; the income statement caption within which the restructuring charges recognized for the period are included; and changes to an entity's restructuring reserve that occurred during the period associated with the exit from or disposal of business activities or restructurings for each major type of cost.

+ References + Details

- Definition

Tabular disclosure of an entity's restructuring reserve that occurred during the period associated with the exit from or disposal of business activities or restructurings for each major type of cost. This element may also include a description of any reversal and other adjustment made during the period to the amount of an accrued liability for restructuring activities. This element may be used to encapsulate the roll forward presentations of an entity's restructuring reserve by type of cost and in total, and explanation of changes that occurred in the period.

+ References + Details