falsedesktopGDI2020-09-30000162828020015382{"tbl_sim": "https://q10k.com/tbl-sim", "search": "https://q10k.com/search"}{"q10k_tbl_0": "\tPage No.\nPART I. FINANCIAL INFORMATION\t\nItem 1. Condensed Consolidated Financial Statements\t6\nCondensed Consolidated Statements of Operations (Unaudited)\t6\nCondensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited)\t7\nCondensed Consolidated Balance Sheets (Unaudited)\t8\nCondensed Consolidated Statements of Stockholders' Equity (Unaudited)\t9\nCondensed Consolidated Statements of Cash Flows (Unaudited)\t11\nNote 1. Basis of Presentation and Recent Accounting Pronouncements\t12\nNote 2. Business Combinations\t13\nNote 3. Restructuring\t19\nNote 4. Inventories\t20\nNote 5. Goodwill and Other Intangible Assets\t20\nNote 6. Accrued Liabilities\t21\nNote 7. Benefit Plans\t22\nNote 8. Debt\t24\nNote 9. Stock-Based Compensation Plan\t27\nNote 10. Accumulated Other Comprehensive Income (Loss)\t29\nNote 11. Hedging Activities and Fair Value Measurements\t31\nNote 12. Revenue from Contracts with Customers\t35\nNote 13. Income Taxes\t39\nNote 14. Other Operating Expense Net\t39\nNote 15. Contingencies\t39\nNote 16. Segment Results\t40\nNote 17. Related Party Transactions\t43\nNote 18. Earnings (Loss) Per Share\t43\nNote 19. Noncontrolling Interests\t43\nItem 2. Management's Discussion and Analysis of Financial Condition and Results of Operations\t45\nItem 3. Quantitative and Qualitative Disclosures About Market Risk\t65\nItem 4. Controls and Procedures\t66\nPART II. OTHER INFORMATION\t\nItem 1. Legal Proceedings\t67\nItem 1A. Risk Factors\t67\nItem 2. Unregistered Sales of Equity Securities and Use of Proceeds\t67\nItem 3. Defaults Upon Senior Securities\t67\nItem 4. Mine Safety Disclosures\t67\nItem 5. Other Information\t67\nItem 6. Exhibits\t68\nSIGNATURES\t69\n", "q10k_tbl_1": "\tFor the Three Month Period Ended September 30\t\tFor the Nine Month Period Ended September 30\t\n\t2020\t2019\t2020\t2019\nRevenues\t1335.2\t596.7\t3399.5\t1846.1\nCost of sales\t853.2\t375.2\t2313.0\t1159.7\nGross Profit\t482.0\t221.5\t1086.5\t686.4\nSelling and administrative expenses\t245.6\t95.3\t648.7\t323.0\nAmortization of intangible assets\t114.2\t30.4\t284.0\t92.6\nImpairment of intangible assets\t19.9\t0\t19.9\t0\nOther operating expense net\t28.0\t22.9\t178.6\t43.1\nOperating Income (Loss)\t74.3\t72.9\t(44.7)\t227.7\nInterest expense\t28.8\t23.2\t86.7\t68.0\nLoss on extinguishment of debt\t0\t0\t2.0\t0.2\nOther income net\t(2.6)\t(0.6)\t(5.1)\t(3.1)\nIncome (Loss) Before Income Taxes\t48.1\t50.3\t(128.3)\t162.6\nProvision for income taxes\t18.2\t9.0\t55.2\t29.2\nNet Income (Loss)\t29.9\t41.3\t(183.5)\t133.4\nLess: Net income attributable to noncontrolling interests\t0.4\t0\t1.4\t0\nNet Income (Loss) Attributable to Ingersoll Rand Inc.\t29.5\t41.3\t(184.9)\t133.4\nBasic income (loss) per share\t0.07\t0.20\t(0.50)\t0.66\nDiluted income (loss) per share\t0.07\t0.20\t(0.50)\t0.64\n", "q10k_tbl_2": "\tFor the Three Month Period Ended September 30\t\tFor the Nine Month Period Ended September 30\t\n\t2020\t2019\t2020\t2019\nComprehensive Income (Loss) Attributable to Ingersoll Rand Inc.\t\t\t\t\nNet income (loss) attributable to Ingersoll Rand Inc.\t29.5\t41.3\t(184.9)\t133.4\nOther comprehensive income (loss) net of tax\t\t\t\t\nForeign currency translation adjustments net\t142.6\t(48.8)\t95.3\t(55.3)\nUnrecognized gain on cash flow hedges net\t4.2\t3.3\t10.9\t4.7\nPension and other postretirement prior service cost and gain or (loss) net\t(1.0)\t1.9\t2.4\t3.3\nTotal other comprehensive income (loss) net of tax\t145.8\t(43.6)\t108.6\t(47.3)\nComprehensive income (loss) Attributable to Ingersoll Rand Inc.\t175.3\t(2.3)\t(76.3)\t86.1\nComprehensive Income (Loss) Attributable to Noncontrolling Interests\t\t\t\t\nNet income attributable to noncontrolling interests\t0.4\t0\t1.4\t0\nOther comprehensive income (loss) net of tax\t\t\t\t\nForeign currency translation adjustments net\t3.8\t0\t(1.6)\t0\nTotal other comprehensive income (loss) net of tax\t3.8\t0\t(1.6)\t0\nComprehensive income (loss) attributable to noncontrolling interests\t4.2\t0\t(0.2)\t0\nTotal Comprehensive Income (Loss)\t179.5\t(2.3)\t(76.5)\t86.1\n", "q10k_tbl_3": "\tSeptember 30 2020\tDecember 31 2019\nAssets\t\t\nCurrent assets:\t\t\nCash and cash equivalents\t1313.3\t505.5\nAccounts receivable net of allowance for doubtful accounts of $66.5 and $18.4 respectively\t934.6\t459.1\nInventories\t1007.4\t502.5\nOther current assets\t204.5\t76.8\nTotal current assets\t3459.8\t1543.9\nProperty plant and equipment net of accumulated depreciation of $361.9 and $298.4 respectively\t807.9\t326.6\nGoodwill\t6205.7\t1287.7\nOther intangible assets net\t4783.9\t1255.0\nDeferred tax assets\t9.6\t3.0\nOther assets\t343.6\t212.2\nTotal assets\t15610.5\t4628.4\nLiabilities and Stockholders' Equity\t\t\nCurrent liabilities:\t\t\nShort-term borrowings and current maturities of long-term debt\t40.1\t7.6\nAccounts payable\t624.7\t322.9\nAccrued liabilities\t761.0\t244.1\nTotal current liabilities\t1425.8\t574.6\nLong-term debt less current maturities\t3837.2\t1603.8\nPensions and other postretirement benefits\t275.4\t99.7\nDeferred income taxes\t905.2\t251.0\nOther liabilities\t337.0\t229.4\nTotal liabilities\t6780.6\t2758.5\nCommitments and contingencies (Note 15)\t0\t0\nStockholders' equity\t\t\nCommon stock $0.01 par value; 1000000000 shares authorized; 419174020 and 206767529 shares issued as of September 30 2020 and December 31 2019 respectively\t4.2\t2.1\nCapital in excess of par value\t9277.0\t2302.0\nAccumulated deficit\t(327.3)\t(141.4)\nAccumulated other comprehensive loss\t(147.4)\t(256.0)\nTreasury stock at cost; 1590299 and 1701785 shares as of September 30 2020 and December 31 2019 respectively\t(34.8)\t(36.8)\nTotal Ingersoll Rand Inc. stockholders' equity\t8771.7\t1869.9\nNoncontrolling interests\t58.2\t0\nTotal stockholders' equity\t8829.9\t1869.9\nTotal liabilities and stockholders' equity\t15610.5\t4628.4\n", "q10k_tbl_4": "\tFor the Three Month Period Ended September 30\t\n\t2020\t2019\nNumber of Common Shares Issued\t\t\nBalance at beginning of period\t418.6\t205.7\nIssuance of common stock for stock-based compensation plans\t0.6\t0.5\nBalance at end of period\t419.2\t206.2\nCommon Stock\t\t\nBalance at beginning of period\t4.2\t2.1\nIssuance of common stock for stock-based compensation plans\t0\t0\nBalance at end of period\t4.2\t2.1\nCapital in Excess of Par Value\t\t\nBalance at beginning of period\t9256.5\t2287.9\nIssuance of common stock for stock-based compensation plans\t5.5\t4.7\nIssuance of treasury stock for stock-based compensation plans\t(0.7)\t(0.7)\nStock-based compensation\t15.7\t2.4\nBalance at end of period\t9277.0\t2294.3\nAccumulated Deficit\t\t\nBalance at beginning of period\t(356.8)\t(208.4)\nNet income attributable to Ingersoll Rand Inc.\t29.5\t41.3\nBalance at end of period\t(327.3)\t(167.1)\nAccumulated Other Comprehensive Loss\t\t\nBalance at beginning of period\t(293.2)\t(258.9)\nForeign currency translation adjustments net\t142.6\t(48.8)\nUnrecognized gains on cash flow hedges net\t4.2\t3.3\nPension and other postretirement prior service cost and gain or loss net\t(1.0)\t1.9\nBalance at end of period\t(147.4)\t(302.5)\nTreasury Stock\t\t\nBalance at beginning of period\t(35.8)\t(37.4)\nPurchases of treasury stock\t(0.1)\t(0.1)\nIssuance of treasury stock for stock-based compensation plans\t1.1\t1.2\nBalance at end of period\t(34.8)\t(36.3)\nTotal Ingersoll Rand Inc. Stockholders' Equity\t8771.7\t1790.5\nNoncontrolling Interests\t\t\nBalance at beginning of period\t66.9\t0.0\nNet income attributable to noncontrolling interests\t0.4\t0.0\nForeign currency translation adjustments net\t3.8\t0\nAcquisition of noncontrolling interests (Note 19)\t(12.9)\t0\nBalance at end of period\t58.2\t0.0\nTotal Stockholders' Equity\t8829.9\t1790.5\n", "q10k_tbl_5": "\tFor the Nine Month Period Ended September 30\t\n\t2020\t2019\nNumber of Common Shares Issued\t\t\nBalance at beginning of period\t206.8\t201.1\nIssuance of common stock for stock-based compensation plans\t1.4\t5.1\nShares issued to acquire Ingersoll Rand Industrial\t211.0\t0\nBalance at end of period\t419.2\t206.2\nCommon Stock\t\t\nBalance at beginning of period\t2.1\t2.0\nIssuance of common stock for stock-based compensation plans\t0\t0.1\nShares issued to acquire Ingersoll Rand Industrial\t2.1\t0\nBalance at end of period\t4.2\t2.1\nCapital in Excess of Par Value\t\t\nBalance at beginning of period\t2302.0\t2282.7\nIssuance of common stock for stock-based compensation plans\t11.4\t29.4\nIssuance of treasury stock for stock-based compensation plans\t(2.2)\t(25.9)\nShares issued for Ingersoll Rand Industrial acquisition\t6917.4\t0\nFair value attributable to pre-merger service for replacement equity awards\t8.6\t0\nFair value attributable to pre-merger service for deferred compensation plan\t8.9\t0\nCost incurred to issue shares for Ingersoll Rand Industrial acquisition\t(1.0)\t0\nStock-based compensation\t31.9\t8.1\nBalance at end of period\t9277.0\t2294.3\nAccumulated Deficit\t\t\nBalance at beginning of period\t(141.4)\t(308.7)\nNet income (loss) attributable to Ingersoll Rand Inc.\t(184.9)\t133.4\nCumulative-effect adjustment upon adoption of new accounting standard (ASU 2018-02)\t0\t8.2\nCumulative-effect adjustment upon adoption of new accounting standard (ASU 2016-13)\t(1.0)\t0\nBalance at end of period\t(327.3)\t(167.1)\nAccumulated Other Comprehensive Loss\t\t\nBalance at beginning of period\t(256.0)\t(247.0)\nForeign currency translation adjustments net\t95.3\t(55.3)\nUnrecognized gains on cash flow hedges net\t10.9\t4.7\nPension and other postretirement prior service cost and gain or loss net\t2.4\t3.3\nCumulative-effect adjustment upon adoption of new accounting standard (ASU 2018-02)\t0\t(8.2)\nBalance at end of period\t(147.4)\t(302.5)\nTreasury Stock\t\t\nBalance at beginning of period\t(36.8)\t(53.0)\nPurchases of treasury stock\t(1.4)\t(17.3)\nIssuance of treasury stock for stock-based compensation plans\t3.4\t34.0\nBalance at end of period\t(34.8)\t(36.3)\nTotal Ingersoll Rand Inc. Stockholders' Equity\t8771.7\t1790.5\nNoncontrolling Interests\t\t\nBalance at beginning of period\t0\t0\nNoncontrolling interest from acquisition of Ingersoll Rand Industrial\t73.3\t0\nNet income attributable to noncontrolling interests\t1.4\t0\nForeign currency translation adjustments net\t(1.6)\t0\nAcquisition of noncontrolling interests (Note 19)\t(14.9)\t0\nBalance at end of period\t58.2\t0\nTotal Stockholders' Equity\t8829.9\t1790.5\n", "q10k_tbl_6": "\tFor the Nine Month Period Ended September 30\t\n\t2020\t2019\nCash Flows From Operating Activities:\t\t\nNet income (loss)\t(183.5)\t133.4\nAdjustments to reconcile net income (loss) to net cash provided by operating activities:\t\t\nAmortization of intangible assets\t284.0\t92.6\nDepreciation in cost of sales\t64.9\t33.3\nDepreciation in selling and administrative expenses\t10.7\t7.0\nImpairment of intangible assets\t19.9\t0\nStock-based compensation expense\t29.0\t13.4\nForeign currency transaction losses net\t14.0\t3.1\nNon-cash adjustments to carrying value of LIFO inventories\t45.9\t0\nOther non-cash adjustments\t14.5\t0.1\nChanges in assets and liabilities:\t\t\nReceivables\t108.5\t47.7\nInventories\t94.8\t(26.2)\nAccounts payable\t(46.7)\t9.7\nAccrued liabilities\t59.8\t(10.9)\nOther assets and liabilities net\t(13.3)\t(58.9)\nNet cash provided by operating activities\t502.5\t244.3\nCash Flows Used In Investing Activities:\t\t\nCapital expenditures\t(33.5)\t(33.8)\nNet cash acquired (paid) in business combinations\t9.4\t(12.0)\nDisposals of property plant and equipment\t1.6\t0.7\nNet cash used in investing activities\t(22.5)\t(45.1)\nCash Flows From (Used In) Financing Activities:\t\t\nPrincipal payments on long-term debt\t(1609.2)\t(30.8)\nProceeds from long-term debt\t1980.1\t0\nPurchases of treasury stock\t(1.4)\t(17.3)\nProceeds from stock option exercises\t12.7\t37.3\nPayments of contingent consideration\t(0.7)\t(2.0)\nPayments of debt issuance costs\t(47.4)\t(0.3)\nPayments of costs incurred to issue shares for Ingersoll Rand Industrial acquisition\t(1.0)\t0\nAcquisition of noncontrolling interests\t(14.9)\t0\nOther financing\t(0.3)\t0\nNet cash provided by (used in) financing activities\t317.9\t(13.1)\nEffect of exchange rate changes on cash and cash equivalents\t9.9\t(0.9)\nNet increase in cash and cash equivalents\t807.8\t185.2\nCash and cash equivalents beginning of period\t505.5\t221.2\nCash and cash equivalents end of period\t1313.3\t406.4\nSupplemental Cash Flow Information\t\t\nCash paid for income taxes\t73.9\t53.8\nCash paid for interest\t79.9\t64.0\nLeased assets obtained in exchange for new operating lease liabilities\t21.0\t6.3\nCapital expenditures in accounts payable\t3.5\t4.1\n", "q10k_tbl_7": "Purchase Price\tEstimated Fair Value as Previously Reported\tMeasurement Period Adjustments(4)\tEstimated Fair Value as Adjusted\nFair value of Ingersoll Rand common stock issued for Ingersoll Rand Industrial outstanding common stock(1)\t6919.5\t0\t6919.5\nFair value attributable to pre-merger service for replacement equity awards(2)\t8.6\t0\t8.6\nFair value attributable to pre-merger service for deferred compensation plan(3)\t8.9\t0\t8.9\nTotal purchase consideration\t6937.0\t0\t6937.0\nPurchase Price Allocation\t\t\t\nCash\t41.3\t(2.5)\t38.8\nAccounts receivable\t579.9\t5.7\t585.6\nInventories\t576.2\t60.0\t636.2\nOther current assets\t136.9\t(20.7)\t116.2\nProperty plant and equipment\t520.0\t(1.3)\t518.7\nGoodwill\t4278.2\t583.6\t4861.8\nIntangible assets\t4501.3\t(734.7)\t3766.6\nOther noncurrent assets\t269.8\t(8.2)\t261.6\nTotal current liabilities including current maturities of long-term debt of $19.0 million\t(830.6)\t57.6\t(773.0)\nDeferred tax liability\t(900.6)\t51.3\t(849.3)\nLong-term debt net of debt issuance costs and an original issue discount\t(1851.7)\t0\t(1851.7)\nOther noncurrent liabilities\t(310.4)\t9.2\t(301.2)\nNoncontrolling interest\t(73.3)\t0\t(73.3)\n\t6937.0\t0\t6937.0\n", "q10k_tbl_8": "Land and buildings\t217.1\nMachinery and equipment\t257.1\nOffice furniture and equipment\t13.4\nOther\t1.0\nConstruction in progress\t30.1\nPreliminary fair value of property plant and equipment\t518.7\n", "q10k_tbl_9": "\tFair Value\tWeighted Average Useful Life (Years)\nTradenames(1)\t1312.0\tIndefinite\nDeveloped technology(2)\t236.0\t7\nCustomer relationships(3)\t2101.0\t13\nBacklog(4)\t81.2\t<1\nOther(5)\t36.4\t2\nPreliminary fair value of identifiable intangible assets\t3766.6\t\n", "q10k_tbl_10": "\tFor the Three Month Period Ended September 30\t\tFor the Nine Month Period Ended September 30\t\n\t2020\t2019\t2020\t2019\nIncrease (decrease) to revenue as a result of deferred revenue fair value adjustment net of tax\t4.4\t(4.3)\t9.9\t(12.6)\nIncrease (decrease) to expense as a result of inventory fair value adjustment net of tax\t0\t0\t(89.6)\t89.6\nIncrease (decrease) to expense as a result of transaction costs net of tax\t0\t(12.2)\t(38.1)\t51.8\n", "q10k_tbl_11": "\tFor the Three Month Period Ended September 30\t\tFor the Nine Month Period Ended September 30\t\n\t2020\t2019\t2020\t2019\nRevenues\t1340.8\t1477.8\t3882.1\t4567.4\nNet Income (Loss)\t60.7\t73.4\t67.5\t5.0\n", "q10k_tbl_12": "\tTotal\nBalance as of December 31 2019\t5.0\nCharged to expense - termination benefits\t72.5\nCharged to expense - other (1)\t4.4\nPayments\t(59.4)\nCurrency translation adjustment and other\t0.4\nBalance as of September 30 2020\t22.9\n", "q10k_tbl_13": "\tSeptember 30 2020\tDecember 31 2019\nRaw materials including parts and subassemblies\t625.8\t370.5\nWork-in-process\t97.5\t47.6\nFinished goods\t271.1\t71.4\n\t994.4\t489.5\nExcess of LIFO costs over FIFO costs\t13.0\t13.0\nInventories\t1007.4\t502.5\n", "q10k_tbl_14": "\tIndustrial Technologies and Services\tPrecision and Science Technologies\tHigh Pressure Solutions\tSpecialty Vehicle Technologies\tTotal\nBalance as of December 31 2019\t865.4\t227.5\t194.8\t0\t1287.7\nAcquisitions\t3243.5\t1063.2\t0\t569.3\t4876.0\nForeign currency translation\t29.3\t8.9\t0\t3.8\t42.0\nBalance as of September 30 2020\t4138.2\t1299.6\t194.8\t573.1\t6205.7\n", "q10k_tbl_15": "\tSeptember 30 2020\t\t\tDecember 31 2019\t\t\n\tGross Carrying Amount\tAccumulated Amortization\tNet Carrying Amount\tGross Carrying Amount\tAccumulated Amortization\tNet Carrying Amount\nAmortized intangible assets\t\t\t\t\t\t\nCustomer lists and relationships\t3386.4\t(872.9)\t2513.5\t1238.7\t(673.9)\t564.8\nTechnology\t276.6\t(28.2)\t248.4\t30.2\t(6.0)\t24.2\nTradenames\t40.7\t(14.5)\t26.2\t40.4\t(11.9)\t28.5\nBacklog\t145.1\t(121.8)\t23.3\t0\t0\t0\nOther\t115.2\t(60.1)\t55.1\t64.0\t(40.8)\t23.2\nUnamortized intangible assets\t\t\t\t\t\t\nTradenames\t1917.4\t0\t1917.4\t614.3\t0\t614.3\nTotal other intangible assets\t5881.4\t(1097.5)\t4783.9\t1987.6\t(732.6)\t1255.0\n", "q10k_tbl_16": "\tSeptember 30 2020\tDecember 31 2019\nSalaries wages and related fringe benefits\t194.5\t60.7\nContract liabilities\t165.3\t51.7\nProduct warranty\t53.2\t22.7\nOperating lease liabilities\t51.2\t17.1\nRestructuring\t22.9\t5.0\nTaxes\t148.0\t22.5\nOther\t125.9\t64.4\nTotal accrued liabilities\t761.0\t244.1\n", "q10k_tbl_17": "\tFor the Three Month Period Ended September 30\t\tFor the Nine Month Period Ended September 30\t\n\t2020\t2019\t2020\t2019\nBalance at beginning of period\t53.9\t23.4\t22.7\t23.9\nProduct warranty accruals\t10.4\t8.4\t21.2\t23.0\nAcquired warranty\t0\t0\t31.3\t0\nSettlements\t(11.9)\t(8.6)\t(22.7)\t(23.7)\nCharged to other accounts(1)\t0.8\t(0.5)\t0.7\t(0.5)\nBalance at end of period\t53.2\t22.7\t53.2\t22.7\n", "q10k_tbl_18": "\tPension Benefits\t\t\t\tOther Postretirement Benefits\t\n\tU.S. Plans\t\tNon-U.S. Plans\t\n\tFor the Three Month Period Ended September 30 2020\tFor the Nine Month Period Ended September 30 2020\tFor the Three Month Period Ended September 30 2020\tFor the Nine Month Period Ended September 30 2020\tFor the Three Month Period Ended September 30 2020\tFor the Nine Month Period Ended September 30 2020\nService cost\t1.8\t4.1\t1.2\t3.1\t0\t0\nInterest cost\t2.8\t6.8\t1.6\t4.6\t0.2\t0.5\nExpected return on plan assets\t(4.0)\t(9.5)\t(2.8)\t(8.2)\t0\t0\nRecognition of:\t\t\t\t\t\t\nUnrecognized prior service cost\t0\t0\t0\t0.1\t0\t0\nUnrecognized net actuarial loss\t0\t0\t0.8\t2.2\t0\t0\n\t0.6\t1.4\t0.8\t1.8\t0.2\t0.5\n", "q10k_tbl_19": "\tPension Benefits\t\t\t\tOther Postretirement Benefits\t\n\tU.S. Plans\t\tNon-U.S. Plans\t\n\tFor the Three Month Period Ended September 30 2019\tFor the Nine Month Period Ended September 30 2019\tFor the Three Month Period Ended September 30 2019\tFor the Nine Month Period Ended September 30 2019\tFor the Three Month Period Ended September 30 2019\tFor the Nine Month Period Ended September 30 2019\nService cost\t0\t0\t0.4\t1.2\t0\t0\nInterest cost\t0.5\t1.6\t1.9\t5.7\t0\t0.1\nExpected return on plan assets\t(0.5)\t(1.6)\t(2.5)\t(7.7)\t0\t0\nRecognition of:\t\t\t\t\t\t\nUnrecognized prior service cost\t0\t0\t0\t0.1\t0\t0\nUnrecognized net actuarial loss\t0\t0.1\t0.5\t1.5\t0\t0\n\t0\t0.1\t0.3\t0.8\t0\t0.1\n", "q10k_tbl_20": "\tSeptember 30 2020\tDecember 31 2019\nShort-term borrowings\t0\t0\nLong-term debt:\t\t\nRevolving credit facility due 2024\t0\t0\nReceivables financing agreement due 2020\t0\t0\nDollar Term Loan due 2024(1)\t0\t927.6\nEuro Term Loan due 2024(2)\t0\t673.9\nDollar Term Loan B due 2027(3)\t1888.3\t0\nDollar Term Loan due 2027(4)\t921.9\t0\nEuro Term Loan due 2027(5)\t700.2\t0\nDollar Term Loan Series A due 2027(6)\t393.2\t0\nFinance leases and other long-term debt\t17.5\t18.0\nUnamortized debt issuance costs\t(43.8)\t(8.1)\nTotal long-term debt net including current maturities\t3877.3\t1611.4\nCurrent maturities of long-term debt\t40.1\t7.6\nTotal long-term debt net\t3837.2\t1603.8\n", "q10k_tbl_21": "\tShares\tWeighted-Average Exercise Price (per share)\nStock options outstanding as of December 31 2019\t8028\t14.14\nConverted Ingersoll Rand Industrial stock options\t985\t24.72\nGranted\t1460\t24.77\nExercised or settled\t(1492)\t9.63\nForfeited\t(195)\t26.20\nExpired\t(13)\t30.85\nStock options outstanding as of September 30 2020\t8773\t17.57\nVested as of September 30 2020\t5350\t12.25\n", "q10k_tbl_22": "\tFor the Nine Month Period Ended September 30\t\nAssumptions\t2020\t2019\nExpected life of options (in years)\t6.3\t6.3\nRisk-free interest rate\t0.4% - 1.5%\t2.4% - 2.6%\nAssumed volatility\t24.6% - 41.1%\t30.7% - 31.8%\nExpected dividend rate\t0.0%\t0.0%\n", "q10k_tbl_23": "\tShares\tWeighted-Average Grant-Date Fair Value\nNon-vested as of December 31 2019\t719\t29.31\nConverted Ingersoll Rand Industrial restricted stock units\t305\t33.06\nGranted\t5009\t33.31\nVested\t(234)\t29.36\nForfeited\t(107)\t30.48\nNon-vested as of September 30 2020\t5692\t33.01\n", "q10k_tbl_24": "\tShares\tWeighted-Average Grant-Date Fair Value\nNon-vested as of December 31 2019\t0\t0\nGranted\t302\t29.72\nForfeited\t(32)\t29.72\nNon-vested as of September 30 2020\t270\t29.72\n", "q10k_tbl_25": "\tFor the Three Month Period Ended September 30 2020\t\t\tFor the Nine Month Period Ended September 30 2020\t\t\n\tBefore-Tax Amount\tTax Benefit or (Expense)\tNet of Tax Amount\tBefore-Tax Amount\tTax Benefit or (Expense)\tNet of Tax Amount\nForeign currency translation adjustments net\t135.3\t7.3\t142.6\t87.6\t7.7\t95.3\nUnrecognized gains on cash flow hedges net\t5.5\t(1.3)\t4.2\t14.3\t(3.4)\t10.9\nPension and other postretirement benefit prior service cost and gain or loss net\t(1.6)\t0.6\t(1.0)\t2.3\t0.1\t2.4\nOther comprehensive income\t139.2\t6.6\t145.8\t104.2\t4.4\t108.6\n", "q10k_tbl_26": "\tFor the Three Month Period Ended September 30 2019\t\t\tFor the Nine Month Period Ended September 30 2019\t\t\n\tBefore-Tax Amount\tTax Benefit or (Expense)\tNet of Tax Amount\tBefore-Tax Amount\tTax Benefit or (Expense)\tNet of Tax Amount\nForeign currency translation adjustments net\t(42.0)\t(6.8)\t(48.8)\t(46.0)\t(9.3)\t(55.3)\nUnrecognized gains on cash flow hedges net\t4.3\t(1.0)\t3.3\t4.9\t(0.2)\t4.7\nPension and other postretirement benefit prior service cost and gain or loss net\t2.3\t(0.4)\t1.9\t3.8\t(0.5)\t3.3\nOther comprehensive loss\t(35.4)\t(8.2)\t(43.6)\t(37.3)\t(10.0)\t(47.3)\n", "q10k_tbl_27": "\tForeign Currency Translation Adjustments Net\tUnrecognized Gains (Losses) on Cash Flow Hedges\tPension and Other Postretirement Benefit Plans\tTotal\nBalance as of December 31 2019\t(193.6)\t(10.9)\t(51.5)\t(256.0)\nOther comprehensive income (loss) before reclassifications\t95.3\t(3.0)\t0.7\t93.0\nAmounts reclassified from accumulated other comprehensive income (loss)\t0\t13.9\t1.7\t15.6\nOther comprehensive income\t95.3\t10.9\t2.4\t108.6\nBalance as of September 30 2020\t(98.3)\t0\t(49.1)\t(147.4)\n", "q10k_tbl_28": "\tForeign Currency Translation Adjustments Net\tUnrecognized Gains (Losses) on Cash Flow Hedges\tPension and Other Postretirement Benefit Plans\tTotal\nBalance as of December 31 2018\t(190.6)\t(11.4)\t(45.0)\t(247.0)\nOther comprehensive income (loss) before reclassifications\t(55.3)\t(4.6)\t2.0\t(57.9)\nAmounts reclassified from accumulated other comprehensive income (loss)\t0\t9.3\t1.3\t10.6\nOther comprehensive income (loss)\t(55.3)\t4.7\t3.3\t(47.3)\nCumulative effect adjustment upon adoption of new accounting standard (ASU 2018-02)\t(1.5)\t(6.7)\t0\t(8.2)\nBalance as of September 30 2019\t(247.4)\t(13.4)\t(41.7)\t(302.5)\n", "q10k_tbl_29": "Amount Reclassified from Accumulated Other Comprehensive Income (Loss)\t\t\t\t\t\nDetails about Accumulated Other Comprehensive Income (Loss) Components\t\tFor the Nine Month Period Ended September 30 2020\t\t\tAffected Line(s) in the Statement Where Net Income is Presented\n\t2020\t\t2019\t\nLoss on cash flow hedges (interest rate swaps)\t\t18.5\t\t12.3\tInterest expense\nBenefit for income taxes\t\t(4.6)\t\t(3.0)\tBenefit for income taxes\nLoss on cash flow hedges (interest rate swaps) net of tax\t\t13.9\t\t9.3\t\nAmortization of defined benefit pension and other postretirement benefit items(1)\t\t2.3\t\t1.7\tCost of sales and Selling and administrative expenses\nBenefit for income taxes\t\t(0.6)\t\t(0.4)\tBenefit for income taxes\nAmortization of defined benefit pension and other postretirement benefit items net of tax\t\t1.7\t\t1.3\t\nTotal reclassifications for the period net of tax\t\t15.6\t\t10.6\t\n", "q10k_tbl_30": "September 30 2020\t\t\t\t\t\t\nDerivative Classification\t\tNotional Amount (1)\tFair Value (1) Other Current Assets\tFair Value (1) Other Assets\tFair Value (1) Accrued Liabilities\tFair Value (1) Other Liabilities\nDerivatives Not Designated as Hedging Instruments\t\t\t\t\t\t\nForeign currency forwards\tFair Value\t248.1\t3.3\t0\t0\t0\nForeign currency forwards\tFair Value\t47.6\t0\t0\t0.6\t0\n", "q10k_tbl_31": "December 31 2019\t\t\t\t\t\t\nDerivative Classification\t\tNotional Amount (1)\tFair Value (1) Other Current Assets\tFair Value (1) Other Assets\tFair Value (1) Accrued Liabilities\tFair Value (1) Other Liabilities\nDerivatives Designated as Hedging Instruments\t\t\t\t\t\t\nInterest rate swap contracts\tCash Flow\t825.0\t0\t0\t13.1\t0\nDerivatives Not Designated as Hedging Instruments\t\t\t\t\t\t\nForeign currency forwards\tFair Value\t55.2\t0.5\t0\t0\t0\nForeign currency forwards\tFair Value\t106.9\t0\t0\t0.5\t0\n", "q10k_tbl_32": "\tFor the Three Month Period Ended September 30\t\tFor the Nine Month Period Ended September 30\t\n\t2020\t2019\t2020\t2019\nInterest rate swap contracts\t\t\t\t\nLoss recognized in AOCI on derivatives\t(0.1)\t(0.4)\t(4.4)\t(7.4)\nLoss reclassified from AOCI into income (effective portion)(1)\t(5.3)\t(4.7)\t(18.5)\t(12.3)\n", "q10k_tbl_33": "\tFor the Three Month Period Ended September 30\t\tFor the Nine Month Period Ended September 30\t\n\t2020\t2019\t2020\t2019\nForeign currency forward contracts gains (losses)\t9.1\t(5.9)\t7.0\t(9.7)\nTotal foreign currency transaction losses net\t(6.2)\t0.6\t(14.0)\t(3.1)\n", "q10k_tbl_34": "\tFor the Three Month Period Ended September 30\t\tFor the Nine Month Period Ended September 30\t\n\t2020\t2019\t2020\t2019\nGain net of income tax recorded through other comprehensive income\t21.9\t21.6\t22.8\t26.3\n", "q10k_tbl_35": "\tSeptember 30 2020\t\t\t\n\tLevel 1\tLevel 2\tLevel 3\tTotal\nFinancial Assets\t\t\t\t\nForeign currency forwards(1)\t0\t3.3\t0\t3.3\nTrading securities held in deferred compensation plan(2)\t7.7\t0\t0\t7.7\nTotal\t7.7\t3.3\t0\t11.0\nFinancial Liabilities\t\t\t\t\nForeign currency forwards(1)\t0\t0.6\t0\t0.6\nDeferred compensation plans(2)\t20.9\t0\t0\t20.9\nTotal\t20.9\t0.6\t0\t21.5\n", "q10k_tbl_36": "\tDecember 31 2019\t\t\t\n\tLevel 1\tLevel 2\tLevel 3\tTotal\nFinancial Assets\t\t\t\t\nForeign currency forwards(1)\t0\t0.5\t0\t0.5\nTrading securities held in deferred compensation plan(2)\t7.3\t0\t0\t7.3\nTotal\t7.3\t0.5\t0\t7.8\nFinancial Liabilities\t\t\t\t\nForeign currency forwards(1)\t0\t0.5\t0\t0.5\nDeferred compensation plan(2)\t7.3\t0\t0\t7.3\nInterest rate swaps(3)\t0\t13.1\t0\t13.1\nTotal\t7.3\t13.6\t0\t20.9\n", "q10k_tbl_37": "\tFor the Three Month Period Ended September 30 2020\t\t\t\t\n\tIndustrial Technologies and Services\tPrecision and Science Technologies\tHigh Pressure Solutions\tSpecialty Vehicle Technologies\tTotal\nPrimary Geographic Markets\t\t\t\t\t\nUnited States\t323.0\t82.2\t19.1\t167.3\t591.6\nOther Americas\t80.1\t12.5\t7.7\t9.5\t109.8\nTotal Americas\t403.1\t94.7\t26.8\t176.8\t701.4\nEMEAI\t277.7\t76.7\t4.1\t8.5\t367.0\nAsia Pacific\t221.8\t38.5\t0.8\t5.7\t266.8\nTotal\t902.6\t209.9\t31.7\t191.0\t1335.2\nProduct Categories\t\t\t\t\t\nOriginal equipment\t528.3\t179.4\t4.5\t133.5\t845.7\nAftermarket\t374.3\t30.5\t27.2\t57.5\t489.5\nTotal\t902.6\t209.9\t31.7\t191.0\t1335.2\nPattern of Revenue Recognition\t\t\t\t\t\nRevenue recognized at point in time(1)\t816.7\t209.9\t31.7\t184.0\t1242.3\nRevenue recognized over time(2)\t85.9\t0\t0\t7.0\t92.9\nTotal\t902.6\t209.9\t31.7\t191.0\t1335.2\n", "q10k_tbl_38": "\tFor the Three Month Period Ended September 30 2019\t\t\t\t\n\tIndustrial Technologies and Services\tPrecision and Science Technologies\tHigh Pressure Solutions\tSpecialty Vehicle Technologies\tTotal\nPrimary Geographic Markets\t\t\t\t\t\nUnited States\t125.3\t31.0\t82.9\t0\t239.2\nOther Americas\t29.2\t10.4\t11.0\t0\t50.6\nTotal Americas\t154.5\t41.4\t93.9\t0\t289.8\nEMEAI\t183.5\t28.1\t4.8\t0\t216.4\nAsia Pacific\t77.3\t11.9\t1.3\t0\t90.5\nTotal\t415.3\t81.4\t100.0\t0\t596.7\nProduct Categories\t\t\t\t\t\nOriginal equipment\t280.1\t78.4\t8.0\t0\t366.5\nAftermarket\t135.2\t3.0\t92.0\t0\t230.2\nTotal\t415.3\t81.4\t100.0\t0\t596.7\nPattern of Revenue Recognition\t\t\t\t\t\nRevenue recognized at point in time(1)\t381.7\t81.4\t100.0\t0\t563.1\nRevenue recognized over time(2)\t33.6\t0\t0\t0\t33.6\nTotal\t415.3\t81.4\t100.0\t0\t596.7\n", "q10k_tbl_39": "\tFor the Nine Month Period Ended September 30 2020\t\t\t\t\n\tIndustrial Technologies and Services\tPrecision and Science Technologies\tHigh Pressure Solutions\tSpecialty Vehicle Technologies\tTotal\nPrimary Geographic Markets\t\t\t\t\t\nUnited States\t789.9\t215.2\t117.1\t432.1\t1554.3\nOther Americas\t195.9\t27.3\t18.5\t26.3\t268.0\nTotal Americas\t985.8\t242.5\t135.6\t458.4\t1822.3\nEMEAI\t725.4\t181.3\t10.5\t20.7\t937.9\nAsia Pacific\t525.0\t94.7\t3.4\t16.2\t639.3\nTotal\t2236.2\t518.5\t149.5\t495.3\t3399.5\nProduct Categories\t\t\t\t\t\nOriginal equipment\t1333.5\t447.5\t20.5\t366.2\t2167.7\nAftermarket\t902.7\t71.0\t129.0\t129.1\t1231.8\nTotal\t2236.2\t518.5\t149.5\t495.3\t3399.5\nPattern of Revenue Recognition\t\t\t\t\t\nRevenue recognized at point in time(1)\t2026.3\t518.5\t149.5\t481.3\t3175.6\nRevenue recognized over time(2)\t209.9\t0\t0\t14.0\t223.9\nTotal\t2236.2\t518.5\t149.5\t495.3\t3399.5\n", "q10k_tbl_40": "\tFor the Nine Month Period Ended September 30 2019\t\t\t\t\n\tIndustrial Technologies and Services\tPrecision and Science Technologies\tHigh Pressure Solutions\tSpecialty Vehicle Technologies\tTotal\nPrimary Geographic Markets\t\t\t\t\t\nUnited States\t370.9\t107.9\t303.6\t0\t782.4\nOther Americas\t94.2\t12.5\t33.9\t0\t140.6\nTotal Americas\t465.1\t120.4\t337.5\t0\t923.0\nEMEAI\t553.4\t84.2\t12.5\t0\t650.1\nAsia Pacific\t229.5\t38.1\t5.4\t0\t273.0\nTotal\t1248.0\t242.7\t355.4\t0\t1846.1\nProduct Categories\t\t\t\t\t\nOriginal equipment\t843.6\t234.9\t57.3\t0\t1135.8\nAftermarket\t404.4\t7.8\t298.1\t0\t710.3\nTotal\t1248.0\t242.7\t355.4\t0\t1846.1\nPattern of Revenue Recognition\t\t\t\t\t\nRevenue recognized at point in time(1)\t1155.5\t242.7\t355.4\t0\t1753.6\nRevenue recognized over time(2)\t92.5\t0\t0\t0\t92.5\nTotal\t1248.0\t242.7\t355.4\t0\t1846.1\n", "q10k_tbl_41": "\tSeptember 30 2020\tDecember 31 2019\nAccounts receivable\t934.6\t459.1\nContract assets\t53.0\t29.0\nContract liabilities\t168.8\t51.7\n", "q10k_tbl_42": "\tFor the Three Month Period Ended September 30\t\tFor the Nine Month Period Ended September 30\t\t\n\t2020\t2019\t2020\t\t2019\nIncome (loss) before income taxes\t48.1\t50.3\t(128.3)\t\t162.6\nProvision for income taxes\t18.2\t9.0\t55.2\t\t29.2\nEffective income tax provision rate\t37.8%\t17.9%\t(43.0\t%)\t18.0%\n", "q10k_tbl_43": "\tFor the Three Month Period Ended September 30\t\tFor the Nine Month Period Ended September 30\t\n\t2020\t2019\t2020\t2019\nOther Operating Expense Net\t\t\t\t\nForeign currency transaction losses (gains) net\t6.2\t(0.6)\t14.0\t3.1\nRestructuring charges net (1)\t12.2\t8.1\t84.4\t10.9\nShareholder litigation settlement recoveries (2)\t0\t0\t0\t(6.0)\nAcquisition related expenses and non-cash charges (3)\t9.0\t15.3\t77.0\t34.1\nOther net\t0.6\t0.1\t3.2\t1.0\nTotal other operating expense net\t28.0\t22.9\t178.6\t43.1\n", "q10k_tbl_44": "\tFor the Three Month Period Ended September 30\t\tFor the Nine Month Period Ended September 30\t\n\t2020\t2019 (1)\t2020\t2019 (1)\nRevenue\t\t\t\t\nIndustrial Technologies and Services\t902.6\t415.3\t2236.2\t1248.0\nPrecision and Science Technologies\t209.9\t81.4\t518.5\t242.7\nHigh Pressure Solutions\t31.7\t100.0\t149.5\t355.4\nSpecialty Vehicle Technologies\t191.0\t0\t495.3\t0\nTotal Revenue\t1335.2\t596.7\t3399.5\t1846.1\nSegment Adjusted EBITDA\t\t\t\t\nIndustrial Technologies and Services\t216.8\t95.2\t495.4\t277.5\nPrecision and Science Technologies\t64.5\t25.3\t156.7\t73.1\nHigh Pressure Solutions\t1.3\t27.1\t9.6\t101.0\nSpecialty Vehicle Technologies\t37.6\t0\t92.7\t0\nTotal Segment Adjusted EBITDA\t320.2\t147.6\t754.4\t451.6\nLess items to reconcile Segment Adjusted EBITDA to Income (Loss) Before Income Taxes:\t\t\t\t\nCorporate expenses not allocated to segments\t36.0\t5.8\t81.2\t24.5\nInterest expense\t28.8\t23.2\t86.7\t68.0\nDepreciation and amortization expense (a)\t140.1\t43.1\t354.2\t132.9\nImpairment of intangible assets\t19.9\t0\t19.9\t0\nRestructuring and related business transformation costs (b)\t12.3\t9.9\t86.7\t16.1\nAcquisition related expenses and non-cash charges (c)\t15.3\t15.9\t207.4\t34.7\nStock-based compensation (d)\t12.8\t0\t28.5\t14.8\nForeign currency transaction losses (gains) net\t6.2\t(0.6)\t14.0\t3.1\nLoss on extinguishment of debt (e)\t0\t0\t2.0\t0.2\nShareholder litigation settlement recoveries (f)\t0\t0\t0\t(6.0)\nOther adjustments (g)\t0.7\t0\t2.1\t0.7\nIncome (Loss) Before Income Taxes\t48.1\t50.3\t(128.3)\t162.6\n", "q10k_tbl_45": "\tFor the Three Month Period Ended September 30\t\tFor the Nine Month Period Ended September 30\t\n\t2020\t2019\t2020\t2019\nRestructuring charges\t12.2\t8.1\t84.4\t10.9\nFacility reorganization relocation and other costs\t0\t0.8\t0.5\t1.9\nOther net\t0.1\t1.0\t1.8\t3.3\nTotal restructuring and related business transformation costs\t12.3\t9.9\t86.7\t16.1\n", "q10k_tbl_46": "\tFor the Three Month Period Ended September 30\t\tFor the Nine Month Period Ended September 30\t\n\t2020\t2019\t2020\t2019\nNet income (loss) attributable to Ingersoll Rand Inc.\t29.5\t41.3\t(184.9)\t133.4\nAverage shares outstanding\t\t\t\t\nBasic\t417.6\t204.2\t370.8\t203.1\nDiluted\t422.0\t209.0\t370.8\t208.6\nEarnings (loss) per share\t\t\t\t\nBasic\t0.07\t0.20\t(0.50)\t0.66\nDiluted\t0.07\t0.20\t(0.50)\t0.64\n", "q10k_tbl_47": "\tFor the Three Month Period Ended September 30\t\tFor the Nine Month Period Ended September 30\t\t\n\t2020\t2019\t2020\t\t2019\nCondensed Consolidated Statement of Operations:\t\t\t\t\t\nRevenues\t1335.2\t596.7\t3399.5\t\t1846.1\nCost of sales\t853.2\t375.2\t2313.0\t\t1159.7\nGross profit\t482.0\t221.5\t1086.5\t\t686.4\nSelling and administrative expenses\t245.6\t95.3\t648.7\t\t323.0\nAmortization of intangible assets\t114.2\t30.4\t284.0\t\t92.6\nImpairment of intangible assets\t19.9\t0\t19.9\t\t0\nOther operating expense net\t28.0\t22.9\t178.6\t\t43.1\nOperating income (loss)\t74.3\t72.9\t(44.7)\t\t227.7\nInterest expense\t28.8\t23.2\t86.7\t\t68.0\nLoss on extinguishment of debt\t0\t0\t2.0\t\t0.2\nOther income net\t(2.6)\t(0.6)\t(5.1)\t\t(3.1)\nIncome (loss) before income taxes\t48.1\t50.3\t(128.3)\t\t162.6\nProvision for income taxes\t18.2\t9.0\t55.2\t\t29.2\nNet income (loss)\t29.9\t41.3\t(183.5)\t\t133.4\nLess: Net income attributable to noncontrolling interests\t0.4\t0\t1.4\t\t0\nNet income (loss) attributable to Ingersoll Rand Inc.\t29.5\t41.3\t(184.9)\t\t133.4\nPercentage of Revenues:\t\t\t\t\t\nGross profit\t36.1%\t37.1%\t32.0%\t\t37.2%\nSelling and administrative expenses\t18.4%\t16.0%\t19.1%\t\t17.5%\nOperating income (loss)\t5.6%\t12.2%\t(1.3\t%)\t12.3%\nNet income (loss)\t2.2%\t6.9%\t(5.4\t%)\t7.2%\nAdjusted EBITDA\t21.3%\t23.8%\t19.8%\t\t23.1%\nOther Financial Data:\t\t\t\t\t\nAdjusted EBITDA (1)\t284.2\t141.8\t673.2\t\t427.1\nAdjusted Net Income (1)\t167.7\t85.9\t372.7\t\t252.8\nCash flows - operating activities\t186.7\t114.2\t502.5\t\t244.3\nCash flows - investing activities\t(39.8)\t(20.6)\t(22.5)\t\t(45.1)\nCash flows - financing activities\t(19.0)\t3.0\t317.9\t\t(13.1)\nFree Cash Flow (1)\t178.6\t105.1\t469.0\t\t210.5\n", "q10k_tbl_48": "\tFor the Three Month Period Ended September 30\t\tFor the Nine Month Period Ended September 30\t\n\t2020\t2019\t2020\t2019\nNet Income (Loss)\t29.9\t41.3\t(183.5)\t133.4\nPlus:\t\t\t\t\nInterest expense\t28.8\t23.2\t86.7\t68.0\nProvision for income taxes\t18.2\t9.0\t55.2\t29.2\nDepreciation expense (a)\t25.9\t12.7\t70.2\t40.3\nAmortization expense (b)\t114.2\t30.4\t284.0\t92.6\nImpairment of intangible assets\t19.9\t0\t19.9\t0\nRestructuring and related business transformation costs (c)\t12.3\t9.9\t86.7\t16.1\nAcquisition related expenses and non-cash charges (d)\t15.3\t15.9\t207.4\t34.7\nStock-based compensation (e)\t12.8\t0\t28.5\t14.8\nForeign currency transaction losses (gains) net\t6.2\t(0.6)\t14.0\t3.1\nLoss on extinguishment of debt (f)\t0\t0\t2.0\t0.2\nShareholder litigation settlement recoveries (g)\t0\t0\t0\t(6.0)\nOther adjustments (h)\t0.7\t0\t2.1\t0.7\nAdjusted EBITDA\t284.2\t141.8\t673.2\t427.1\nMinus:\t\t\t\t\nInterest expense\t28.8\t23.2\t86.7\t68.0\nIncome tax provision as adjusted (i)\t57.4\t17.5\t130.6\t57.9\nDepreciation expense\t25.9\t12.7\t70.2\t40.3\nAmortization of non-acquisition related intangible assets\t4.4\t2.5\t13.0\t8.1\nAdjusted Net Income\t167.7\t85.9\t372.7\t252.8\nFree Cash Flow\t\t\t\t\nCash flows - operating activities\t186.7\t114.2\t502.5\t244.3\nMinus:\t\t\t\t\nCapital expenditures\t8.1\t9.1\t33.5\t33.8\nFree Cash Flow\t178.6\t105.1\t469.0\t210.5\n", "q10k_tbl_49": "\tFor the Three Month Period Ended September 30\t\tFor the Nine Month Period Ended September 30\t\n\t2020\t2019\t2020\t2019\nRestructuring charges\t12.2\t8.1\t84.4\t10.9\nFacility reorganization relocation and other costs\t0\t0.8\t0.5\t1.9\nOther net\t0.1\t1.0\t1.8\t3.3\nTotal restructuring and related business transformation costs\t12.3\t9.9\t86.7\t16.1\n", "q10k_tbl_50": "\tFor the Three Month Period Ended September 30\t\tFor the Nine Month Period Ended September 30\t\n\t2020\t2019\t2020\t2019\nProvision for income taxes\t18.2\t9.0\t55.2\t29.2\nTax impact of pre-tax income adjustments\t39.2\t8.9\t80\t29.4\nDiscrete tax items\t0\t(0.4)\t(4.6)\t(0.7)\nIncome tax provision as adjusted\t57.4\t17.5\t130.6\t57.9\n", "q10k_tbl_51": "\tFor the Three Month Period Ended September 30\t\tPercent Change\t\n\t2020\t2019\t2020 vs. 2019\t\nSegment Revenues\t902.6\t415.3\t117.3%\t\nSegment Adjusted EBITDA\t216.8\t95.2\t127.7%\t\nSegment Margin\t24.0%\t22.9%\t110\tbps\n", "q10k_tbl_52": "\tFor the Nine Month Period Ended September 30\t\tPercent Change\t\n\t2020\t2019\t2020 vs. 2019\t\nSegment Revenues\t2236.2\t1248.0\t79.2%\t\nSegment Adjusted EBITDA\t495.4\t277.5\t78.5%\t\nSegment Margin\t22.2%\t22.2%\t0\tbps\n", "q10k_tbl_53": "\tFor the Three Month Period Ended September 30\t\tPercent Change\t\n\t2020\t2019\t2020 vs. 2019\t\nSegment Revenues\t209.9\t81.4\t157.9%\t\nSegment Adjusted EBITDA\t64.5\t25.3\t154.9%\t\nSegment Margin\t30.7%\t31.1%\t(40)\tbps\n", "q10k_tbl_54": "\tFor the Nine Month Period Ended September 30\t\tPercent Change\t\n\t2020\t2019\t2020 vs. 2019\t\nSegment Revenues\t518.5\t242.7\t113.6%\t\nSegment Adjusted EBITDA\t156.7\t73.1\t114.4%\t\nSegment Margin\t30.2%\t30.1%\t10\tbps\n", "q10k_tbl_55": "\tFor the Three Month Period Ended September 30\t\tPercent Change\t\n\t2020\t2019\t2020 vs. 2019\t\nSegment Revenues\t31.7\t100.0\t(68.3)%\t\nSegment Adjusted EBITDA\t1.3\t27.1\t(95.2)%\t\nSegment Margin\t4.1%\t27.1%\t(2300)\tbps\n", "q10k_tbl_56": "\tFor the Nine Month Period Ended September 30\t\tPercent Change\t\n\t2020\t2019\t2020 vs. 2019\t\nSegment Revenues\t149.5\t355.4\t(57.9)%\t\nSegment Adjusted EBITDA\t9.6\t101.0\t(90.5)%\t\nSegment Margin\t6.4%\t28.4%\t(2200)\tbps\n", "q10k_tbl_57": "\tSeptember 30 2020\tDecember 31 2019\nCash and cash equivalents\t1313.3\t505.5\nShort-term borrowings and current maturities of long-term debt\t40.1\t7.6\nLong-term debt\t3837.2\t1603.8\nTotal debt\t3877.3\t1611.4\n", "q10k_tbl_58": "\tSeptember 30 2020\tDecember 31 2019\nNet Working Capital:\t\t\nCurrent assets\t3459.8\t1543.9\nLess: Current liabilities\t1425.8\t574.6\nNet working capital\t2034.0\t969.3\nOperating Working Capital:\t\t\nAccounts receivable and contract assets\t987.6\t488.1\nPlus: Inventories (excluding LIFO)\t994.4\t489.5\nLess: Accounts payable\t624.7\t322.9\nLess: Contract liabilities (current)\t165.3\t51.7\nOperating working capital\t1192.0\t603.0\n", "q10k_tbl_59": "\tFor the Nine Month Period Ended September 30\t\n\t2020\t2019\nCash flows - operating activities\t502.5\t244.3\nCash flows - investing activities\t(22.5)\t(45.1)\nCash flows - financing activities\t317.9\t(13.1)\nFree cash flow(1)\t469.0\t210.5\n", "q10k_tbl_60": "\t\tPayments Due by Period\t\t\t\nContractual Obligations\tTotal\tRemainder of 2020\t2021-2022\t2023-2024\tThereafter\nDebt(1)\t3913.5\t9.8\t78.6\t78.6\t3746.5\nEstimated interest payments(2)\t521.9\t20.4\t166.8\t163.9\t170.8\nFinance leases\t17.5\t0.3\t1.6\t2.1\t13.5\nOperating leases(3)\t162.3\t13.0\t85.2\t42.2\t21.9\nTotal\t4615.2\t43.5\t332.2\t286.8\t3952.7\n", "q10k_tbl_61": "2020 Third Quarter Months\tTotal Number of Shares Purchased(1)\tAverage Price Paid Per Share(2)\tTotal Number of Shares Purchased as Part of Publicly Announced Plans or Programs (3)\tMaximum Approximate Dollar Value of Shares that May Yet Be Purchased Under the Plans or Programs (3)\nJuly 1 2020 - July 31 2020\t0\t0\t0\t220756556\nAugust 1 2020 - August 31 2020\t2185\t31.58\t0\t0\nSeptember 1 2020 - September 30 2020\t5124\t36.06\t0\t0\n", "q10k_tbl_62": "Exhibit No.\tDescription\n2.1\tAgreement and Plan of Merger dated as of April 30 2019 by and among Ingersoll-Rand plc Gardner Denver Holdings Inc. Ingersoll-Rand U.S. HoldCo Inc. and Charm Merger Sub Inc. (incorporated by reference to Exhibit 2.1 to the Current Report on Form 8-K filed by Ingersoll-Rand plc on May 6 2019).\n2.2\tSeparation and Distribution Agreement dated as of April 30 2019 by and between Ingersoll-Rand plc and Ingersoll-Rand U.S. HoldCo Inc. (incorporated by reference to Exhibit 2.2 to the Current Report on Form 8-K filed by Ingersoll-Rand plc on May 6 2019).\n31.1\tCertification of Periodic Report by Chief Executive Officer under Section 302 of the Sarbanes-Oxley Act of 2002 (furnished herewith)\n31.2\tCertification of Periodic Report by Chief Financial Officer under Section 302 of the Sarbanes-Oxley Act of 2002 (furnished herewith)\n32.1\tCertification of Chief Executive Officer Pursuant to 18 U.S.C. Section 1350 as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (furnished herewith)\n32.2\tCertification of Chief Financial Officer Pursuant to 18 U.S.C. Section 1350 as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (furnished herewith)\n101.INS\tInline XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document\n101.SCH\tInline XBRL Taxonomy Extension Scheme Document\n101.CAL\tInline XBRL Taxonomy Extension Calculation Linkbase Document\n101.DEF\tInline XBRL Taxonomy Extension Definition Linkbase Document\n101.LAB\tInline XBRL Taxonomy Extension Label Linkbase Document\n101.PRE\tInline XBRL Taxonomy Extension Presentation Linkbase Document\n104\tCover Page Interactive Data File (Embedded within the Inline XBRL document and included in Exhibit 101)\n"}{"bs": "q10k_tbl_3", "is": "q10k_tbl_1", "cf": "q10k_tbl_6"}None
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 2020
or
☐
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from ___________to___________
Commission File Number: 001-38095
____________________________
Ingersoll Rand Inc.
(Exact Name of Registrant as Specified in Its Charter)
____________________________
Delaware
46-2393770
(State or Other Jurisdiction of Incorporation or Organization)
(I.R.S. Employer Identification No.)
800-A Beaty Street
Davidson, North Carolina28036
(Address of Principal Executive Offices) (Zip Code)
(704) 655-4000
(Registrant’s Telephone Number, Including Area Code)
____________________________
Securities Registered Pursuant to Section 12(b) of the Act:
Title of Each Class
Trading Symbol(s)
Name of Each Exchange on Which Registered
Common Stock, $0.01 Par Value per share
IR
New York Stock Exchange
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yesý No ¨
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yesý No ¨
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large accelerated filer
ý
Accelerated filer
☐
Non-accelerated filer
☐
Smaller reporting company
☐
Emerging growth Company
☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ý
The registrant had outstanding 417,655,630 shares of Common Stock, par value $0.01 per share, as of October 30, 2020.
In addition to historical information, this Form 10-Q may contain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), which are subject to the “safe harbor” created by those sections. All statements, other than statements of historical facts included in this Form 10-Q, including statements concerning our plans, objectives, goals, beliefs, business strategies, future events, business conditions, results of operations, financial position, business outlook, business trends and other information, may be forward-looking statements. Words such as “estimates,” “expects,” “contemplates,” “will,” “anticipates,” “projects,” “plans,” “intends,” “believes,” “forecasts,” “may,” “should” and variations of such words or similar expressions are intended to identify forward-looking statements. The forward-looking statements are not historical facts, and are based upon our current expectations, beliefs, estimates and projections, and various assumptions, many of which, by their nature, are inherently uncertain and beyond our control. Our expectations, beliefs, estimates and projections are expressed in good faith and we believe there is a reasonable basis for them. However, there can be no assurance that management’s expectations, beliefs, estimates and projections will result or be achieved and actual results may vary materially from what is expressed in or indicated by the forward-looking statements.
There are a number of risks, uncertainties and other important factors, many of which are beyond our control, that could cause our actual results to differ materially from the forward-looking statements contained in this Form 10-Q. Such risks, uncertainties and other important factors that could cause actual results to differ include, among others, the risks, uncertainties and factors set forth under “Item 1A. Risk Factors” of our Annual Report on Form 10-K for the fiscal year ended December 31, 2019, and “Part II. Item 1A. Risk Factors” in our quarterly report on Form 10-Q for the quarterly period ended March 31, 2020, as such risk factors may be updated from time to time in our periodic filings with the SEC, and are accessible on the SEC’s website at www.sec.gov, and also include the following:
•The COVID-19 pandemic has adversely affected our business and results of operations, and could have a material and adverse effect on our business, results of operations and financial condition in the future;
•The anticipated benefits of our acquisition of the Ingersoll Rand Industrial business may not be realized fully or at all, may take longer to realize than expected and the integration process will be complex, costly and time-consuming, which could adversely affect our business, financial results and financial condition.
•We have exposure to the risks associated with instability in the global economy and financial markets, which may negatively impact our revenues, liquidity, suppliers and customers.
•More than half of our sales and operations are in non-U.S. jurisdictions and we are subject to the economic, political, regulatory and other risks of international operations.
•Our revenues and operating results, especially in the High Pressure Solutions segment, depend on the level of activity in the energy industry, which is significantly affected by volatile oil and gas prices.
•Our results of operations are subject to exchange rate and other currency risks. A significant movement in exchange rates could adversely impact our results of operations and cash flows.
•Potential governmental regulations restricting the use, and increased public attention to and litigation regarding the impacts, of hydraulic fracturing or other processes on which it relies could reduce demand for our products.
•We face competition in the markets we serve, which could materially and adversely affect our operating results.
•Large or rapid increases in the cost of raw materials and component parts, substantial decreases in their availability or our dependence on particular suppliers of raw materials and component parts could materially and adversely affect our operating results.
•Our operating results could be adversely affected by a loss or reduction of business with key customers or consolidation or the vertical integration of our customer base.
•Credit and counterparty risks could harm our business.
•Acquisitions and integrating such acquisitions create certain risks and may affect our operating results.
•The loss of, or disruption in, our distribution network could have a negative impact on our abilities to ship products, meet customer demand and otherwise operate our business.
•Our ongoing and expected restructuring plans and other cost savings initiatives may not be as effective as we anticipate, and we may fail to realize the cost savings and increased efficiencies that we expect to result from these actions. Our operating results could be negatively affected by our inability to effectively implement such restructuring plans and other cost savings initiatives.
•Our success depends on our executive management and other key personnel and our ability to attract and retain top talent throughout the Company.
•If we are unable to develop new products and technologies, our competitive position may be impaired, which could materially and adversely affect our sales and market share.
•Cost overruns, delays, penalties or liquidated damages could negatively impact our results, particularly with respect to fixed-price contracts for custom engineered products.
•The risk of non-compliance with U.S. and foreign laws and regulations applicable to our international operations could have a significant impact on our results of operations, financial condition or strategic objectives.
•Changes in tax or other laws, regulations, or adverse determinations by taxing or other governmental authorities could increase our effective tax rate and cash taxes paid or otherwise affect our financial condition or operating results.
•A significant portion of our assets consists of goodwill and other intangible assets, the value of which may be reduced if we determine that those assets are impaired.
•Our business could suffer if we experience employee work stoppages, union and work council campaigns or other labor difficulties.
•We are a defendant in certain asbestos and silica-related personal injury lawsuits, which could adversely affect our financial condition.
•A natural disaster, catastrophe, pandemic or other event could adversely affect our operations.
•Information systems failure may disrupt our business and result in financial loss and liability to our customers.
•The nature of our products creates the possibility of significant product liability and warranty claims, which could harm our business.
•Environmental compliance costs and liabilities could adversely affect our financial condition.
•Third parties may infringe upon our intellectual property or may claim we have infringed their intellectual property, and we may expend significant resources enforcing or defending our rights or suffer competitive injury.
•We face risks associated with our pension and other postretirement benefit obligations.
•Our substantial indebtedness could have important adverse consequences and adversely affect our financial condition.
•We may not be able to generate sufficient cash to service all of our indebtedness, and may be forced to take other actions to satisfy our obligations under our indebtedness, which may not be successful.
•Despite our level of indebtedness, we and our subsidiaries may still be able to incur substantially more debt, including off-balance sheet financing, contractual obligations and general and commercial liabilities. This could further exacerbate the risks to our financial condition described above.
•The terms of the credit agreement governing the Senior Secured Credit Facilities may restrict our current and future operations, particularly our ability to respond to changes or to take certain actions.
•Our variable rate indebtedness subjects us to interest rate risk, which could cause our debt service obligations to increase significantly.
•When we utilize derivative financial instruments to reduce our exposure to market risks from changes in interest rates on our variable rate indebtedness, we will be exposed to risks related to counterparty credit worthiness or non-performance of these instruments.
•If the financial institutions that are part of the syndicate of our Revolving Credit Facility fail to extend credit under our facility or reduce the borrowing base under our Revolving Credit Facility, our liquidity and results of operations may be adversely affected.
•The Company may face risk associated with the discontinuation of and transition from currently used financial reference rates.
We caution you that the risks, uncertainties and other factors referenced above may not contain all of the risks, uncertainties and other factors that are important to you. In addition, we cannot assure you that we will realize the results, benefits or developments that we expect or anticipate or, even if substantially realized, that they will result in the consequences or affect us or our business in the way expected. There can be no assurance that (i) we have correctly measured or identified all of the factors affecting our business or the extent of these factors’ likely impact, (ii) the available information with respect to these factors on which such analysis is based is complete or accurate, (iii) such analysis is correct or (iv) our strategy, which is based in part on this analysis, will be successful. All forward-looking statements in this report apply only as of the date of this report or as of the date they were made and, except as required by applicable law, we undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise.
All references to “we,” “us,” “our,” the “Company” or “Ingersoll Rand” in this Quarterly Report on Form 10-Q mean Ingersoll Rand Inc. and its subsidiaries, unless the context otherwise requires.
Website Disclosure
We use our website www.irco.com as a channel of distribution of Company information. Financial and other important information regarding us is routinely accessible through and posted on our website. Accordingly, investors should monitor our website, in addition to following our press releases, SEC filings and public conference calls and webcasts. In addition, you may automatically receive e-mail alerts and other information about Ingersoll Rand Inc. when you enroll your email address by visiting the “Email Alerts” section of our website at investors.irco.com. The contents of our website are not, however, a part of this Quarterly Report on Form 10-Q.
Accounts receivable, net of allowance for doubtful accounts of $66.5 and $18.4, respectively
934.6
459.1
Inventories
1,007.4
502.5
Other current assets
204.5
76.8
Total current assets
3,459.8
1,543.9
Property, plant and equipment, net of accumulated depreciation of $361.9 and $298.4, respectively
807.9
326.6
Goodwill
6,205.7
1,287.7
Other intangible assets, net
4,783.9
1,255.0
Deferred tax assets
9.6
3.0
Other assets
343.6
212.2
Total assets
$
15,610.5
$
4,628.4
Liabilities and Stockholders’ Equity
Current liabilities:
Short-term borrowings and current maturities of long-term debt
$
40.1
$
7.6
Accounts payable
624.7
322.9
Accrued liabilities
761.0
244.1
Total current liabilities
1,425.8
574.6
Long-term debt, less current maturities
3,837.2
1,603.8
Pensions and other postretirement benefits
275.4
99.7
Deferred income taxes
905.2
251.0
Other liabilities
337.0
229.4
Total liabilities
$
6,780.6
$
2,758.5
Commitments and contingencies (Note 15)
—
—
Stockholders’ equity
Common stock, $0.01 par value; 1,000,000,000 shares authorized; 419,174,020 and 206,767,529 shares issued as of September 30, 2020 and December 31, 2019, respectively
4.2
2.1
Capital in excess of par value
9,277.0
2,302.0
Accumulated deficit
(327.3)
(141.4)
Accumulated other comprehensive loss
(147.4)
(256.0)
Treasury stock at cost; 1,590,299 and 1,701,785 shares as of September 30, 2020 and December 31, 2019, respectively
(34.8)
(36.8)
Total Ingersoll Rand Inc. stockholders’ equity
$
8,771.7
$
1,869.9
Noncontrolling interests
58.2
—
Total stockholders’ equity
$
8,829.9
$
1,869.9
Total liabilities and stockholders’ equity
$
15,610.5
$
4,628.4
The accompanying notes are an integral part of these condensed consolidated financial statements.
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited; in millions, except share and per share amounts)
Note 1. Basis of Presentation and Recent Accounting Pronouncements
Basis of Presentation
On February 29, 2020, Ingersoll Rand Inc. (formerly known as Gardner Denver Holdings, Inc.) completed the acquisition of the Ingersoll Rand Industrial business (“Ingersoll Rand Industrial”) by way of merger and changed its name from Gardner Denver Holdings, Inc. to Ingersoll Rand Inc. The condensed consolidated financial statements as of and for the nine month period ended September 30, 2020 include the financial results of Ingersoll Rand Industrial from the date of acquisition.
Ingersoll Rand Inc. is a diversified, global manufacturer of highly engineered, application-critical flow control products and provider of related aftermarket parts and services. The accompanying condensed consolidated financial statements include the accounts of Ingersoll Rand Inc. and its majority-owned subsidiaries (collectively referred to herein as “Ingersoll Rand” or the “Company”).
The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial reporting, the instructions for Form 10-Q and Article 10 of the U.S. Securities and Exchange Commission (SEC) Regulation S-X. In the Company’s opinion, the condensed consolidated financial statements reflect all adjustments of a normal recurring nature necessary for a fair statement of the results for the interim periods presented. The condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2019. We have reclassified certain prior year amounts to conform to the current year presentation.
The results of operations for the interim periods ended September 30, 2020 are not necessarily indicative of future results. The ongoing novel Coronavirus (“COVID-19”) pandemic is a continuously evolving situation around the globe that has negatively impacted and could continue to negatively impact the global economy. The Company’s operating results will be subject to fluctuations based on general economic conditions, and the extent to which COVID-19 may ultimately impact its business will depend on future developments, which are highly uncertain and cannot be predicted with confidence, such as the ultimate extent of the spread of the disease and the duration of the outbreak and business closures or business disruptions for the Company, suppliers and customers.
Immediately prior to the acquisition of Ingersoll Rand Industrial, affiliates of Kohlberg Kravis Roberts & Co. L.P. (“KKR”) owned 70,671,135 shares of common stock of the Company or approximately 34%, of the total outstanding common stock of the Company. As of September 30, 2020, KKR owns 44,788,635 shares of common stock of the Company or approximately 11% of the total outstanding common stock of the Company.
Recently Adopted Accounting Standard Updates (“ASU”)
In August 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2018-15, Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40); Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract. The amendments in this update require implementation costs incurred by customers in cloud computing arrangements (i.e., hosting arrangements) to be capitalized under the same premises of authoritative guidance for internal-use software, and deferred over the noncancelable term of the cloud computing arrangement plus any option renewal periods that are reasonably certain to be exercised by the customer or for which the exercise is controlled by the service provider. The Company adopted this guidance prospectively on January 1, 2020. The adoption did not have a material impact on the Company’s condensed consolidated financial statements.
In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement. The amendments in this update eliminate, add and modify certain disclosure requirements for fair value measurements as part of its disclosure framework project. The Company adopted this guidance on January 1, 2020. The adoption did not have a material impact on the Company’s condensed consolidated financial statements.
In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”), which added an impairment model that is based on expected losses rather than incurred losses and is called the Current Expected Credit Losses (“CECL”) model. This impairment model is applicable to loans, debt securities, trade receivables, net investments in leases, off-balance sheet credit exposures, reinsurance receivables as well as any other financial asset with the contractual right to receive cash. Under the new model, an allowance equal to the estimate of lifetime expected credit losses is recognized which will result in more timely loss recognition. The guidance is intended to reduce complexity by decreasing the number of credit impairment models. The Company adopted this guidance on January 1, 2020, using a modified retrospective transition method. The Company recorded a cumulative-effect adjustment on the adoption date increasing “Accumulated deficit” in the Condensed Consolidated Balance Sheets by $1.0 million and decreasing “Accounts receivable, net of allowance for doubtful accounts” in the Condensed Consolidated Balance Sheets by $1.0 million.
Recently Issued Accounting Pronouncements
In March 2020, the FASB issued ASU 2020-4, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting, which provides optional expedients and exceptions for a limited time to ease the potential burden of accounting for reference rate reform on financial reporting. This guidance applies to contracts, hedging relationships and other transactions affected by the discontinuation of the London Interbank Offered Rate (“LIBOR”) and other interbank offered rates. The guidance is effective beginning on March 12, 2020 through December 31, 2022. The Company has not utilized any of the optional expedients or exceptions available under this ASU. The Company will continue to assess whether this ASU is applicable throughout the effective period.
In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes. The amendments in this update simplify the accounting for income taxes by removing certain exceptions and amending and clarifying existing guidance. The guidance is effective for public companies beginning with the first quarter of 2021. Early adoption is permitted. The Company is currently assessing the impact of this ASU on its condensed consolidated financial statements and evaluating the timing of adoption.
In August 2018, the FASB issued ASU 2018-14, Disclosure Framework – Changes to the Disclosure Requirements for Defined Benefit Plans. The amendments in this update eliminate, add and modify certain disclosure requirements for defined benefit pension plans.The guidance is effective for public companies beginning with its annual report for fiscal year 2020. This ASU will not have a material impact on the Company’s condensed consolidated financial statements.
Note 2. Business Combinations
Ingersoll Rand Industrial Acquisition
On February 29, 2020, Ingersoll Rand completed the acquisition of Ingersoll Rand Industrial for the total estimated purchase consideration of approximately $6,937.0 million which represents Ingersoll Rand common stock with a fair value of $6,919.5 million and the balance equal to the fair value attributable to pre-acquisition service for replacement equity awards and deferred compensation arrangements settled in shares (or valued by reference to shares) of Ingersoll Rand common stock. Ingersoll Rand Industrial is a global provider of mission-critical flow control and compression equipment and associated aftermarket parts, consumables and services. Ingersoll Rand acquired Ingersoll Rand Industrial to extend and enhance its portfolio of products to address market opportunities in the compressor, blower, pump and other industrial product markets.
Immediately prior to the merger, Trane Technologies plc (formerly known as Ingersoll-Rand plc) (“Old IR” or “Trane Technologies”) completed a spin-off in which it distributed one share of common stock of Ingersoll-Rand Industrial US. Holdco, Inc. (“SpinCo”), par value $0.01 per share, for each share of Old IR, outstanding as of the record date for the spin-off on February 24, 2020. In accordance with the merger agreement by and among Ingersoll Rand, Old IR, SpinCo and Charm Merger Sub Inc., a wholly owned subsidiary of Ingersoll Rand (“Merger Sub”), Merger Sub merged with and into SpinCo (the “acquisition”) and each share of common stock of SpinCo, par value $