| Schedule of condensed consolidating statements of income |
Condensed Consolidating Statements of Income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended March 31, 2013
|
|
Three months ended March 31, 2012
|
|
|
|
|
Parent
|
|
Guarantors
|
|
Non-
Guarantors
|
|
Eliminations
|
|
Consolidated
|
|
Parent
|
|
Guarantors
|
|
Non-
Guarantors
|
|
Eliminations
|
|
Consolidated
|
|
|
Net revenue
|
|
$
|
—
|
|
$
|
227.6
|
|
$
|
216.6
|
|
$
|
(45.7
|
)
|
$
|
398.5
|
|
$
|
—
|
|
$
|
211.4
|
|
$
|
89.8
|
|
$
|
(41.5
|
)
|
$
|
259.7
|
|
|
Cost of goods sold
|
|
—
|
|
114.7
|
|
163.6
|
|
(16.4
|
)
|
261.9
|
|
—
|
|
104.4
|
|
65.9
|
|
(14.9
|
)
|
155.4
|
|
|
Gross profit
|
|
—
|
|
112.9
|
|
53.0
|
|
(29.3
|
)
|
136.6
|
|
—
|
|
107.0
|
|
23.9
|
|
(26.6
|
)
|
104.3
|
|
|
Operating expenses
|
|
9.7
|
|
67.9
|
|
62.7
|
|
(29.3
|
)
|
111.0
|
|
8.1
|
|
60.5
|
|
18.5
|
|
(26.6
|
)
|
60.5
|
|
|
Operating profit
|
|
(9.7
|
)
|
45.0
|
|
(9.7
|
)
|
—
|
|
25.6
|
|
(8.1
|
)
|
46.5
|
|
5.4
|
|
—
|
|
43.8
|
|
|
Interest expense
|
|
5.5
|
|
0.1
|
|
1.2
|
|
—
|
|
6.8
|
|
2.8
|
|
—
|
|
—
|
|
—
|
|
2.8
|
|
|
Other income (expense), net
|
|
—
|
|
(0.8
|
)
|
0.5
|
|
—
|
|
(0.3
|
)
|
—
|
|
—
|
|
(0.3
|
)
|
—
|
|
(0.3
|
)
|
|
Equity in net income (loss) of subsidiaries
|
|
22.0
|
|
2.7
|
|
—
|
|
(24.7
|
)
|
—
|
|
34.1
|
|
0.8
|
|
—
|
|
(34.9
|
)
|
—
|
|
|
Income (loss) before income taxes
|
|
6.8
|
|
46.8
|
|
(10.4
|
)
|
(24.7
|
)
|
18.5
|
|
23.2
|
|
47.3
|
|
5.1
|
|
(34.9
|
)
|
40.7
|
|
|
Income tax expense (benefit)
|
|
(5.9
|
)
|
16.4
|
|
(5.2
|
)
|
—
|
|
5.3
|
|
(4.2
|
)
|
17.1
|
|
0.4
|
|
—
|
|
13.3
|
|
|
Consolidated net income
|
|
12.7
|
|
30.4
|
|
(5.2
|
)
|
(24.7
|
)
|
13.2
|
|
27.4
|
|
30.2
|
|
4.7
|
|
(34.9
|
)
|
27.4
|
|
|
Less: Net income attributable to noncontrolling interests
|
|
—
|
|
—
|
|
0.5
|
|
—
|
|
0.5
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|
Net income (loss)(1)
|
|
$
|
12.7
|
|
$
|
30.4
|
|
$
|
(5.7
|
)
|
$
|
(24.7
|
)
|
$
|
12.7
|
|
$
|
27.4
|
|
$
|
30.2
|
|
$
|
4.7
|
|
$
|
(34.9
|
)
|
$
|
27.4
|
|
|
Consolidated Comprehensive income (loss)
|
|
$
|
(7.2
|
)
|
$
|
31.7
|
|
$
|
(26.3
|
)
|
$
|
(4.9
|
)
|
$
|
(6.7
|
)
|
$
|
36.3
|
|
$
|
31.5
|
|
$
|
12.3
|
|
$
|
(43.8
|
)
|
$
|
36.3
|
|
|
Less: Comprehensive income attributable to noncontrolling interests
|
|
—
|
|
—
|
|
0.5
|
|
—
|
|
0.5
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|
Comprehensive income (loss)(2)
|
|
$
|
(7.2
|
)
|
$
|
31.7
|
|
$
|
(26.8
|
)
|
$
|
(4.9
|
)
|
$
|
(7.2
|
)
|
$
|
36.3
|
|
$
|
31.5
|
|
$
|
12.3
|
|
$
|
(43.8
|
)
|
$
|
36.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six months ended March 31, 2013
|
|
Six months ended March 31, 2012
|
|
|
|
|
Parent
|
|
Guarantors
|
|
Non-
Guarantors
|
|
Eliminations
|
|
Consolidated
|
|
Parent
|
|
Guarantors
|
|
Non-
Guarantors
|
|
Eliminations
|
|
Consolidated
|
|
|
Net revenue
|
|
$
|
—
|
|
$
|
426.3
|
|
$
|
364.8
|
|
$
|
(87.4
|
)
|
$
|
703.7
|
|
$
|
—
|
|
$
|
398.9
|
|
$
|
172.3
|
|
$
|
(79.9
|
)
|
$
|
491.3
|
|
|
Cost of goods sold
|
|
—
|
|
213.2
|
|
274.4
|
|
(31.1
|
)
|
456.5
|
|
—
|
|
193.2
|
|
128.2
|
|
(28.1
|
)
|
293.3
|
|
|
Gross profit
|
|
—
|
|
213.1
|
|
90.4
|
|
(56.3
|
)
|
247.2
|
|
—
|
|
205.7
|
|
44.1
|
|
(51.8
|
)
|
198.0
|
|
|
Operating expenses
|
|
27.8
|
|
128.7
|
|
97.3
|
|
(56.3
|
)
|
197.5
|
|
16.9
|
|
122.3
|
|
33.4
|
|
(51.8
|
)
|
120.8
|
|
|
Operating profit
|
|
(27.8
|
)
|
84.4
|
|
(6.9
|
)
|
—
|
|
49.7
|
|
(16.9
|
)
|
83.4
|
|
10.7
|
|
—
|
|
77.2
|
|
|
Interest expense
|
|
9.6
|
|
0.1
|
|
1.6
|
|
—
|
|
11.3
|
|
5.7
|
|
—
|
|
—
|
|
—
|
|
5.7
|
|
|
Other income (expense), net
|
|
1.5
|
|
(1.7
|
)
|
0.8
|
|
—
|
|
0.6
|
|
—
|
|
(0.4
|
)
|
(0.4
|
)
|
—
|
|
(0.8
|
)
|
|
Equity in net income (loss) of subsidiaries
|
|
47.1
|
|
4.2
|
|
—
|
|
(51.3
|
)
|
—
|
|
61.0
|
|
1.5
|
|
—
|
|
(62.6
|
)
|
—
|
|
|
Income before income taxes
|
|
11.2
|
|
86.8
|
|
(7.7
|
)
|
(51.3
|
)
|
39.0
|
|
38.5
|
|
84.5
|
|
10.3
|
|
(62.6
|
)
|
70.7
|
|
|
Income tax expense (benefit)
|
|
(15.8
|
)
|
30.8
|
|
(3.8
|
)
|
—
|
|
11.2
|
|
(20.2
|
)
|
30.7
|
|
1.5
|
|
—
|
|
12.0
|
|
|
Consolidated net income
|
|
27.0
|
|
56.0
|
|
(3.9
|
)
|
(51.3
|
)
|
27.8
|
|
58.7
|
|
53.8
|
|
8.8
|
|
(62.6
|
)
|
58.7
|
|
|
Less: Net income attributable to noncontrolling interests
|
|
—
|
|
—
|
|
0.8
|
|
—
|
|
0.8
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|
Net income (loss)(1)
|
|
$
|
27.0
|
|
$
|
56.0
|
|
$
|
(4.7
|
)
|
$
|
(51.3
|
)
|
$
|
27.0
|
|
$
|
58.7
|
|
$
|
53.8
|
|
$
|
8.8
|
|
$
|
(62.6
|
)
|
$
|
58.7
|
|
|
Consolidated Comprehensive income (loss)
|
|
$
|
18.4
|
|
$
|
57.3
|
|
$
|
(11.1
|
)
|
$
|
(45.4
|
)
|
$
|
19.2
|
|
$
|
59.9
|
|
$
|
54.2
|
|
$
|
9.5
|
|
$
|
(63.7
|
)
|
$
|
59.9
|
|
|
Less: Comprehensive income attributable to noncontrolling interests
|
|
—
|
|
—
|
|
0.8
|
|
—
|
|
0.8
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|
Comprehensive income (loss)(2)
|
|
$
|
18.4
|
|
$
|
57.3
|
|
$
|
(11.9
|
)
|
$
|
(45.4
|
)
|
$
|
18.4
|
|
$
|
59.9
|
|
$
|
54.2
|
|
$
|
9.5
|
|
$
|
(63.7
|
)
|
$
|
59.9
|
|
(1) Net income attributable to Hillenbrand
(2) Comprehensive income attributable to Hillenbrand
|
| Schedule of condensed consolidating balance sheets |
Condensed Consolidating Balance Sheets
|
|
|
As of March 31, 2013
|
|
As of September 30, 2012
|
|
|
|
|
Parent
|
|
Guarantors
|
|
Non-
Guarantors
|
|
Eliminations
|
|
Consolidated
|
|
Parent
|
|
Guarantors
|
|
Non-
Guarantors
|
|
Eliminations
|
|
Consolidated
|
|
|
Cash and equivalents
|
|
$
|
0.8
|
|
$
|
8.8
|
|
$
|
31.1
|
|
$
|
—
|
|
$
|
40.7
|
|
$
|
3.9
|
|
$
|
6.3
|
|
$
|
10.0
|
|
$
|
—
|
|
$
|
20.2
|
|
|
Trade receivables, net
|
|
—
|
|
101.4
|
|
87.1
|
|
—
|
|
188.5
|
|
—
|
|
110.4
|
|
40.3
|
|
—
|
|
150.7
|
|
|
Unbilled receivables from long-term manufacturing contracts
|
|
—
|
|
1.7
|
|
126.7
|
|
—
|
|
128.4
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|
Inventories
|
|
—
|
|
77.7
|
|
116.2
|
|
(2.6
|
)
|
191.3
|
|
—
|
|
62.5
|
|
29.9
|
|
(2.4
|
)
|
90.0
|
|
|
Deferred income taxes
|
|
6.3
|
|
30.6
|
|
3.3
|
|
(6.9
|
)
|
33.3
|
|
—
|
|
26.5
|
|
—
|
|
(6.9
|
)
|
19.6
|
|
|
Intercompany receivables
|
|
215.0
|
|
861.9
|
|
173.4
|
|
(1,250.3
|
)
|
—
|
|
211.6
|
|
819.0
|
|
52.5
|
|
(1,083.1
|
)
|
—
|
|
|
Other current assets
|
|
1.8
|
|
7.6
|
|
45.4
|
|
—
|
|
54.8
|
|
7.5
|
|
3.8
|
|
15.2
|
|
(1.7
|
)
|
24.8
|
|
|
Total current assets
|
|
223.9
|
|
1,089.7
|
|
583.2
|
|
(1,259.8
|
)
|
637.0
|
|
223.0
|
|
1,028.5
|
|
147.9
|
|
(1,094.1
|
)
|
305.3
|
|
|
Property, plant and equipment, net
|
|
7.0
|
|
70.9
|
|
90.4
|
|
—
|
|
168.3
|
|
7.1
|
|
66.0
|
|
44.8
|
|
—
|
|
117.9
|
|
|
Intangible assets, net
|
|
2.6
|
|
203.8
|
|
367.3
|
|
—
|
|
573.7
|
|
1.6
|
|
185.5
|
|
126.8
|
|
—
|
|
313.9
|
|
|
Goodwill
|
|
—
|
|
211.1
|
|
321.1
|
|
—
|
|
532.2
|
|
—
|
|
176.0
|
|
127.7
|
|
—
|
|
303.7
|
|
|
Investment in consolidated subsidiaries
|
|
1,815.1
|
|
688.2
|
|
—
|
|
(2,503.3
|
)
|
—
|
|
1,399.0
|
|
367.9
|
|
—
|
|
(1,766.9
|
)
|
—
|
|
|
Other assets
|
|
11.8
|
|
27.7
|
|
13.4
|
|
—
|
|
52.9
|
|
9.8
|
|
77.4
|
|
0.9
|
|
(41.4
|
)
|
46.7
|
|
|
Total Assets
|
|
$
|
2,060.4
|
|
$
|
2,291.4
|
|
$
|
1,375.4
|
|
$
|
(3,763.1
|
)
|
$
|
1,964.1
|
|
$
|
1,640.5
|
|
$
|
1,901.3
|
|
$
|
448.1
|
|
$
|
(2,902.4
|
)
|
$
|
1,087.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Trade accounts payable
|
|
$
|
0.2
|
|
$
|
24.3
|
|
$
|
150.8
|
|
$
|
—
|
|
$
|
175.3
|
|
$
|
0.7
|
|
$
|
18.2
|
|
$
|
16.4
|
|
$
|
—
|
|
$
|
35.3
|
|
|
Liabilities from long-term manufacturing contracts and advances
|
|
—
|
|
19.7
|
|
58.3
|
|
—
|
|
78.0
|
|
—
|
|
9.6
|
|
6.3
|
|
—
|
|
15.9
|
|
|
Current portion of long-term debt
|
|
10.0
|
|
—
|
|
—
|
|
—
|
|
10.0
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|
Accrued compensation
|
|
2.0
|
|
17.1
|
|
5.8
|
|
—
|
|
24.9
|
|
—
|
|
22.2
|
|
8.8
|
|
(1.7
|
)
|
29.3
|
|
|
Deferred income taxes
|
|
—
|
|
—
|
|
27.8
|
|
(6.9
|
)
|
20.9
|
|
—
|
|
—
|
|
7.8
|
|
(6.9
|
)
|
0.9
|
|
|
Intercompany payable
|
|
913.8
|
|
236.5
|
|
102.6
|
|
(1,252.9
|
)
|
—
|
|
853.5
|
|
222.0
|
|
10.0
|
|
(1,085.5
|
)
|
—
|
|
|
Other current liabilities
|
|
4.5
|
|
45.6
|
|
75.1
|
|
—
|
|
125.2
|
|
8.4
|
|
49.9
|
|
12.1
|
|
—
|
|
70.4
|
|
|
Total current liabilities
|
|
930.5
|
|
343.2
|
|
420.4
|
|
(1,259.8
|
)
|
434.3
|
|
862.6
|
|
321.9
|
|
61.4
|
|
(1,094.1
|
)
|
151.8
|
|
|
Long-term debt
|
|
623.6
|
|
—
|
|
86.0
|
|
—
|
|
709.6
|
|
271.6
|
|
—
|
|
—
|
|
—
|
|
271.6
|
|
|
Accrued pension and postretirement healthcare
|
|
—
|
|
128.3
|
|
106.6
|
|
—
|
|
234.9
|
|
—
|
|
111.8
|
|
—
|
|
—
|
|
111.8
|
|
|
Deferred income taxes
|
|
0.5
|
|
11.7
|
|
20.3
|
|
—
|
|
32.5
|
|
—
|
|
56.3
|
|
6.8
|
|
(41.4
|
)
|
21.7
|
|
|
Other long-term liabilities
|
|
0.1
|
|
25.0
|
|
14.7
|
|
—
|
|
39.8
|
|
—
|
|
24.3
|
|
—
|
|
—
|
|
24.3
|
|
|
Total Liabilities
|
|
1,554.7
|
|
508.2
|
|
648.0
|
|
(1,259.8
|
)
|
1,451.1
|
|
1,134.2
|
|
514.3
|
|
68.2
|
|
(1,135.5
|
)
|
581.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Hillenbrand Shareholders’ Equity
|
|
505.7
|
|
1,783.2
|
|
720.1
|
|
(2,503.3
|
)
|
505.7
|
|
506.3
|
|
1,387.0
|
|
379.9
|
|
(1,766.9
|
)
|
506.3
|
|
|
Noncontrolling interests
|
|
—
|
|
—
|
|
7.3
|
|
—
|
|
7.3
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|
Total Equity
|
|
505.7
|
|
1,783.2
|
|
727.4
|
|
(2,503.3
|
)
|
513.0
|
|
506.3
|
|
1,387.0
|
|
379.9
|
|
(1,766.9
|
)
|
506.3
|
|
|
Total Liabilities and Equity
|
|
$
|
2,060.4
|
|
$
|
2,291.4
|
|
$
|
1,375.4
|
|
$
|
(3,763.1
|
)
|
$
|
1,964.1
|
|
$
|
1,640.5
|
|
$
|
1,901.3
|
|
$
|
448.1
|
|
$
|
(2,902.4
|
)
|
$
|
1,087.5
|
|
| Schedule of condensed consolidating statements of cash flows |
Condensed Consolidating Statements of Cash Flows
|
|
|
Six months ended March 31, 2013
|
|
Six months ended March 31, 2012
|
|
|
|
|
Parent
|
|
Guarantors
|
|
Non-
Guarantors
|
|
Eliminations
|
|
Consolidated
|
|
Parent
|
|
Guarantors
|
|
Non-
Guarantors
|
|
Eliminations
|
|
Consolidated
|
|
|
Net cash provided by (used in) operating activities
|
|
$
|
61.9
|
|
$
|
98.3
|
|
$
|
(44.6
|
)
|
$
|
(95.9
|
)
|
$
|
19.7
|
|
$
|
109.8
|
|
$
|
332.7
|
|
$
|
28.3
|
|
$
|
(410.7
|
)
|
$
|
60.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investing activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital expenditures
|
|
(1.7
|
)
|
(5.1
|
)
|
(4.4
|
)
|
—
|
|
(11.2
|
)
|
(3.9
|
)
|
(2.0
|
)
|
(2.2
|
)
|
—
|
|
(8.1
|
)
|
|
Acquisition of business, net of cash acquired
|
|
(404.2
|
)
|
(0.5
|
)
|
(10.9
|
)
|
—
|
|
(415.6
|
)
|
—
|
|
56.7
|
|
(56.7
|
)
|
—
|
|
—
|
|
|
Other
|
|
2.8
|
|
0.1
|
|
—
|
|
—
|
|
2.9
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|
Net cash provided by (used in) investing activities
|
|
(403.1
|
)
|
(5.5
|
)
|
(15.3
|
)
|
—
|
|
(423.9
|
)
|
(3.9
|
)
|
54.7
|
|
(58.9
|
)
|
—
|
|
(8.1
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financing activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Proceeds from term loan
|
|
200.0
|
|
—
|
|
—
|
|
—
|
|
200.0
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|
Repayments on term loan
|
|
(5.0
|
)
|
—
|
|
—
|
|
—
|
|
(5.0
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|
Proceeds from revolving credit facilities, net of financing costs
|
|
490.8
|
|
—
|
|
85.9
|
|
—
|
|
576.7
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|
Repayments on revolving credit facilities
|
|
(323.0
|
)
|
—
|
|
—
|
|
—
|
|
(323.0
|
)
|
(84.0
|
)
|
—
|
|
—
|
|
—
|
|
(84.0
|
)
|
|
Payment of dividends - intercompany
|
|
—
|
|
(90.3
|
)
|
(5.6
|
)
|
95.9
|
|
—
|
|
—
|
|
(388.8
|
)
|
(21.9
|
)
|
410.7
|
|
—
|
|
|
Payment of dividends on common stock
|
|
(24.3
|
)
|
—
|
|
—
|
|
—
|
|
(24.3
|
)
|
(23.8
|
)
|
—
|
|
—
|
|
—
|
|
(23.8
|
)
|
|
Other, net
|
|
(0.4
|
)
|
—
|
|
—
|
|
—
|
|
(0.4
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|
Net cash provided by (used in) financing activities
|
|
338.1
|
|
(90.3
|
)
|
80.3
|
|
95.9
|
|
424.0
|
|
(107.8
|
)
|
(388.8
|
)
|
(21.9
|
)
|
410.7
|
|
(107.8
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Effect of exchange rates on cash and cash equivalents
|
|
—
|
|
—
|
|
0.7
|
|
—
|
|
0.7
|
|
—
|
|
—
|
|
0.4
|
|
—
|
|
0.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash flow
|
|
(3.1
|
)
|
2.5
|
|
21.1
|
|
—
|
|
20.5
|
|
(1.9
|
)
|
(1.4
|
)
|
(52.1
|
)
|
—
|
|
(55.4
|
)
|
|
Cash and equivalents at beginning of period
|
|
3.9
|
|
6.3
|
|
10.0
|
|
—
|
|
20.2
|
|
7.4
|
|
17.7
|
|
90.4
|
|
—
|
|
115.5
|
|
|
Cash and equivalents at end of period
|
|
$
|
0.8
|
|
$
|
8.8
|
|
$
|
31.1
|
|
$
|
—
|
|
$
|
40.7
|
|
$
|
5.5
|
|
$
|
16.3
|
|
$
|
38.3
|
|
$
|
—
|
|
$
|
60.1
|
|