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SEC Filings

10-K
INTERPUBLIC GROUP OF COMPANIES, INC. filed this Form 10-K on 02/23/2015
Entire Document
 
Notes to Consolidated Financial Statements
(Amounts in Millions, Except Per Share Amounts)


Stock-Based Compensation
Compensation costs related to share-based transactions, including employee stock options, are recognized in the Consolidated Financial Statements based on fair value. Stock-based compensation expense is generally recognized ratably over the requisite service period based on the estimated grant-date fair value, net of estimated forfeitures.

Treasury Stock
We account for repurchased common stock under the cost method and include such treasury stock as a component of our Consolidated Statements of Stockholders' Equity. Upon retirement, we reduce common stock for the par value of the shares being retired and the excess of the cost of the shares over par value as a reduction to additional paid-in capital ("APIC"), to the extent there is APIC in the same class of stock, and any remaining amount to retained earnings. These retired shares remain authorized but unissued.
In November 2014, we retired 121.9 shares of our treasury stock, which resulted in a reduction in common stock of $12.2, treasury stock of $1,522.4 and APIC of $1,510.2. There was no effect on total stockholders' equity as a result of the retirement.

Note 2:  Debt and Credit Arrangements
Long-Term Debt
A summary of the carrying amounts and fair values of our long-term debt is listed below.
 
Effective
Interest Rate
 
December 31,
2014
 
2013
 
Book
Value
 
Fair
Value 1
 
Book
Value
 
Fair
Value
6.25% Senior Unsecured Notes due 2014
6.29
%
 
$
0.0

 
$
0.0

 
$
351.3

 
$
365.6

2.25% Senior Notes due 2017 (less unamortized
discount of $0.4)
2.30
%
 
299.6

 
301.2

 
299.4

 
293.0

4.00% Senior Notes due 2022 (less unamortized
discount of $2.3)
4.13
%
 
247.7

 
255.2

 
247.4

 
241.6

3.75% Senior Notes due 2023 (less unamortized
discount of $1.2)
4.32
%
 
498.8

 
499.8

 
498.6

 
467.3

4.20% Senior Notes due 2024 (less unamortized
discount of $0.9)
4.24
%
 
499.1

 
509.8

 
0.0

 
0.0

Other notes payable and capitalized leases
 
 
80.4

 
80.4

 
86.7

 
87.8

Total long-term debt
 
 
1,625.6

 
 
 
1,483.4

 
 
Less: current portion 2
 
 
2.1

 
 
 
353.6

 
 
Long-term debt, excluding current portion
 
 
$
1,623.5

 
 
 
$
1,129.8

 
 
 
1
See Note 11 for information on the fair value measurement of our long-term debt.

2
We included our 6.25% Senior Unsecured Notes due 2014 (the "6.25% Notes") in the current portion of long-debt on our December 31, 2013 Consolidated Balance Sheet because the 6.25% Notes were scheduled to mature on November 15, 2014. We redeemed the 6.25% Notes prior to their scheduled maturity during the second quarter of 2014.

Annual maturities are scheduled as follows based on the book value as of December 31, 2014.
2015
$
2.1

2016
2.2

2017
324.2

2018
2.0

2019
2.0

Thereafter
1,293.1

Total long-term debt
$
1,625.6



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