Document and Entity Information (USD $)	12 Months Ended
Document and Entity Information (USD $)	Dec. 31, 2014	Feb. 10, 2015	Jun. 30, 2014
Document and Entity Information [Abstract]
Entity Registrant Name	TEMPUR SEALY INTERNATIONAL, INC.
Entity Central Index Key	0001206264
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Public Float			$ 3,547,874,167
Entity Common Stock, Shares Outstanding		60,922,491
Document Fiscal Year Focus	2014
Document Fiscal Period Focus	FY
Document Type	10-K
Amendment Flag	false
Document Period End Date	Dec. 31, 2014

CONSOLIDATED STATEMENTS OF INCOME (USD $) In Millions, except Per Share data, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Income Statement [Abstract]
Net sales	$ 2,989.8	$ 2,464.3	$ 1,402.9
Cost of sales	1,839.4	1,449.4	688.3
Gross profit	1,150.4	1,014.9	714.6
Selling and marketing expenses	619.9	522.9	319.1
General, administrative and other expenses	280.6	266.3	147.2
Equity income in earnings of unconsolidated affiliates	(8.3)	(4.4)	0
Royalty income, net of royalty expense	(18.1)	(13.7)	0
Operating income	276.3	243.8	248.3
Other expense, net:
Interest expense, net	91.9	110.8	18.8
Loss on disposal, net	23.2	0	0
Other (income) expense, net	(13.7)	5.0	0.3
Total other expense	101.4	115.8	19.1
Income before income taxes	174.9	128.0	229.2
Income tax provision	(64.9)	(49.1)	(122.4)
Net income before non-controlling interest	110.0	78.9	106.8
Less: net income attributable to non-controlling interest	1.1	0.3	0
Net income attributable to Tempur Sealy International, Inc.	$ 108.9	$ 78.6	$ 106.8
Earnings per common share:
Basic (in dollars per share)	$ 1.79	$ 1.30	$ 1.74
Diluted (in dollars per share)	$ 1.75	$ 1.28	$ 1.70
Weighted average common shares outstanding:
Basic (in shares)	60.8	60.3	61.5
Diluted (in shares)	62.1	61.6	62.9

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Statement of Comprehensive Income [Abstract]
Net income before non-controlling interest	$ 110.0	$ 78.9	$ 106.8
Other comprehensive (loss) income before tax, net of tax:
Foreign currency translation adjustments, net of tax	(38.4)	(10.6)	8.2
Net change in unrecognized (loss) on interest rate swap, net of tax	0.7	1.3	(1.1)
Pension and other post retirement benefits	(5.6)	3.2	0
Unrealized loss on cash flow hedging derivatives	1.3	0	0
Other comprehensive (loss) income, net of tax	(42.0)	(6.1)	7.1
Comprehensive income	68.0	72.8	113.9
Less: Comprehensive income attributable to non-controlling interest	1.1	0.3	0
Comprehensive income attributable to Tempur Sealy International, Inc.	$ 66.9	$ 72.5	$ 113.9

CONSOLIDATED BALANCE SHEETS (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Current Assets:
Cash and cash equivalents	$ 62.5	$ 81.0
Accounts receivable, net	385.8	349.2
Inventories	217.2	199.2
Prepaid expenses and other current assets	56.5	53.7
Deferred income taxes	44.4	44.4
Total Current Assets	766.4	727.5
Property, plant and equipment, net	355.6	411.6
Goodwill	736.5	759.6
Other intangible assets, net	727.1	750.1
Deferred income taxes	8.6	10.9
Other non-current assets	68.4	70.2
Total Assets	2,662.6	2,729.9
Current Liabilities:
Accounts payable	226.4	191.2
Accrued expenses and other current liabilities	233.3	208.4
Deferred income taxes	0.2	0.8
Income taxes payable	12.0	1.5
Current portion of long-term debt	66.4	39.6
Total Current Liabilities	538.3	441.5
Long-term debt	1,535.9	1,796.9
Deferred income taxes	258.8	286.1
Other non-current liabilities	114.3	75.3
Total Liabilities	2,447.3	2,599.8
Redeemable non-controlling interest	12.6	11.5
Stockholders' Equity
Common stock, $0.01 par value, 300.0 shares authorized; 99.2 million shares issued as of December 31, 2014 and 2013	1.0	1.0
Additional paid in capital	411.9	396.5
Retained earnings	1,036.8	927.9
Accumulated other comprehensive loss	(55.7)	(13.7)
Treasury stock at cost; 38.3 and 38.6 shares as of December 31, 2014 and 2013, respectively	(1,191.3)	(1,193.1)
Total Stockholders’ Equity	202.7	118.6
Total Liabilities, Redeemable Non-Controlling Interest and Stockholders’ Equity	$ 2,662.6	$ 2,729.9

CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)	Dec. 31, 2014	Dec. 31, 2013
Stockholders' Equity:
Common stock, par value per share (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	300,000,000	300,000,000
Common stock, shares issued (in shares)	99,200,000	99,200,000
Treasury stock, shares (in shares)	38,300,000	38,600,000

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (USD $) In Millions, unless otherwise specified	Total	Redeemable non-controlling interest	Common Shares	Treasury Shares	Additional Paid in Capital	Retained Earnings	Accumulated Other Comprehensive (Loss) Income
Balance at beginning of period at Dec. 31, 2011	$ 30.8		$ 1.0	$ (1,059.8)	$ 361.8	$ 742.5	$ (14.7)
Balance at beginning of period at Dec. 31, 2011		0
Balance at beginning of period (in shares) at Dec. 31, 2011			99.2	35.4
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	106.8					106.8
Net income attributable to non-controlling interest	0
Adjustment to pension liability, net of tax of	0
Derivative instruments accounted for as hedges, net of tax	(1.1)						(1.1)
Foreign currency adjustments	8.2						8.2
Exercise of stock options (in shares)				(0.9)
Exercise of stock options	11.4			10.4	1.0
Tax adjustments related to stock compensation	10.5				10.5
Treasury stock repurchased (in shares)				5.0
Treasury stock repurchased	(150.0)			(150.0)
Amortization of unearned stock-based compensation	5.7				5.7
Balance at end of period at Dec. 31, 2012	22.3		1.0	(1,199.4)	379.0	849.3	(7.6)
Balance at end of period (in shares) at Dec. 31, 2012			99.2	39.5
Balance at beginning of period at Dec. 31, 2012		0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Acquisition of redeemable non-controlling interest		11.2
Net income	78.6					78.6
Net income attributable to non-controlling interest	0.3	0.3
Adjustment to pension liability, net of tax of	3.2						3.2
Derivative instruments accounted for as hedges, net of tax	1.3						1.3
Foreign currency adjustments	(10.6)						(10.6)
Exercise of stock options (in shares)				(0.6)
Exercise of stock options	8.7			6.9	1.8
Issuances of PRSUs, RSUs and DSUs (shares)				(0.3)
Issuances of PRSUs, RSUs, and DSUs	0			6.4	(6.4)
Tax adjustments related to stock compensation	5.2				5.2
Treasury stock repurchased	(7.0)			(7.0)
Amortization of unearned stock-based compensation	16.9				16.9
Balance at end of period at Dec. 31, 2013	118.6		1.0	(1,193.1)	396.5	927.9	(13.7)
Balance at end of period at Dec. 31, 2013	11.5	11.5
Balance at end of period (in shares) at Dec. 31, 2013			99.2	38.6
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	108.9					108.9
Net income attributable to non-controlling interest	1.1	1.1
Adjustment to pension liability, net of tax of	(5.6)						(5.6)
Derivative instruments accounted for as hedges, net of tax	2.0						2.0
Foreign currency adjustments	(38.4)						(38.4)
Exercise of stock options (in shares)				(0.2)
Exercise of stock options	4.3			2.5	1.8
Issuances of PRSUs, RSUs and DSUs (shares)				(0.1)
Issuances of PRSUs, RSUs, and DSUs	0			1.5	(1.5)
Tax adjustments related to stock compensation	1.7				1.7
Treasury stock repurchased	(2.2)			(2.2)
Amortization of unearned stock-based compensation	13.4				13.4
Balance at end of period at Dec. 31, 2014	202.7		1.0	(1,191.3)	411.9	1,036.8	(55.7)
Balance at end of period at Dec. 31, 2014	$ 12.6	$ 12.6
Balance at end of period (in shares) at Dec. 31, 2014			99.2	38.3

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Parenthetical) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Statement of Stockholders' Equity [Abstract]
Pension tax effect	$ (3.4)	$ (2.0)
Derivative instruments, tax effect	(0.9)	(0.8)	(0.7)
Foreign currency adjustments, tax effect			$ (2.7)

CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income before non-controlling interest	$ 110.0	$ 78.9	$ 106.8
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	76.3	74.6	36.3
Amortization of stock-based compensation	13.4	16.9	5.7
Amortization of deferred financing costs	12.5	7.4	1.4
Write-off of deferred financing costs	0	4.7	0
Bad debt expense	4.9	1.3	2.5
Deferred income taxes	(27.2)	(49.1)	38.4
Dividends received from unconsolidated affiliates	2.0	2.5	0
Equity income in earnings of unconsolidated affiliates	(8.3)	(4.4)	0
Non-cash interest expense on 8.0% Sealy Notes	5.1	3.7	0
Loss on sale of assets	3.9	0.8	0.3
Loss on disposal of business	23.2	0	0
Foreign currency adjustments and other	1.8	0.1	1.8
Changes in operating assets and liabilities, net of effect of business acquisitions:
Accounts receivable	(58.8)	(30.1)	5.3
Inventories	(34.0)	(34.5)	0.1
Prepaid expenses and other current assets	(14.9)	27.9	(29.4)
Accounts payable	47.8	28.1	14.3
Accrued expenses and other	56.7	4.4	11.6
Income taxes payable	10.8	(34.7)	(5.2)
Net cash provided by operating activities	225.2	98.5	189.9
CASH FLOWS FROM INVESTING ACTIVITIES:
Acquisition of businesses, net of cash acquired	(8.5)	(1,172.9)	(4.5)
Proceeds from disposition of business	43.5	0	0
Purchases of property, plant and equipment	(47.5)	(40.0)	(50.5)
Other	2.1	(0.1)	0
Net cash used in investing activities	(10.4)	(1,213.0)	(55.0)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from 2012 credit agreement	271.5	2,992.6	0
Repayments of 2012 credit agreement	(510.9)	(1,658.3)	0
Proceeds from issuance of senior notes	0	375.0	0
Proceeds from 2011 credit facility	0	46.5	352.0
Repayments of 2011 credit facility	0	(696.5)	(287.0)
Proceeds from exercise of stock options	4.3	8.7	11.4
Excess tax benefit from stock based compensation	1.7	5.4	10.5
Treasury shares repurchased	(2.2)	(7.0)	(152.6)
Payments of deferred financing costs	(3.1)	(52.0)	(2.3)
Other	0.6	(1.0)	(2.8)
Net cash (used in) provided by financing activities	(238.1)	1,013.4	(70.8)
NET EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	4.8	2.8	3.8
(Decrease) increase in cash and cash equivalents	(18.5)	(98.3)	67.9
CASH AND CASH EQUIVALENTS, beginning of period	81.0	179.3	111.4
CASH AND CASH EQUIVALENTS, end of period	62.5	81.0	179.3
Cash paid during the period for:
Interest	73.5	92.1	37.1
Income taxes, net of refunds	$ 56.3	$ 96.4	$ 80.1

Summary of Significant Accounting Policies

12 Months Ended

Dec. 31, 2014

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

(a) Basis of Presentation and Description of Business. Tempur Sealy International, Inc., a Delaware corporation, together with its subsidiaries, is a U.S. based, multinational company. The term “Tempur Sealy International” refers to Tempur Sealy International, Inc. only, and the term “Company” refers to Tempur Sealy International, Inc. and its consolidated subsidiaries.

The Company develops, manufactures, markets and sells bedding products, which include mattresses, foundations and adjustable bases, and other products, which include pillows and other accessories. The Company also derives income from royalties by licensing the Sealy® and Stearns & Foster® brands, technology and trademarks to other manufacturers. Additionally, the Company participates in several joint ventures in the Asia-Pacific region, as well as a joint venture in the U.S. with Comfort Revolution International, LLC (“Comfort Revolution”). The Company sells its products through three sales channels: Retail, Direct and Other.

On March 18, 2013, the Company completed the acquisition of Sealy Corporation and its historical subsidiaries (“Sealy”), which manufactures and markets a broad range of mattresses and foundations under the Sealy®, Sealy Posturepedic®, Optimum^TMandStearns & Foster® brands. The Company’s acquisition of Sealy (“Sealy Acquisition”) is more fully described in Note 3, “Acquisitions and Divestitures”. The 2014 and 2013 results of operations for Sealy are reported within the Company’s Sealy reportable segment and include results for the year ended December 31, 2014 and the period of March 18, 2013 to December 31, 2013, respectively.

As a result of the Sealy Acquisition, the Company’s Consolidated Financial Statements include the results of Comfort Revolution, a 45.0% owned joint venture. Comfort Revolution constitutes a variable interest entity (“VIE”) for which the Company is considered to be the primary beneficiary due to the Company's disproportionate share of the economic risk associated with its equity contribution, debt financing and other factors that were considered in the related-party analysis surrounding the identification of the primary beneficiary. The operations of Comfort Revolution are not material to the Company’s Consolidated Financial Statements. Refer to Note 16, “Redeemable Non-controlling Interest” for further discussion.

(b) Basis of Consolidation. The accompanying financial statements include the accounts of Tempur Sealy International and its 100.0% owned subsidiary companies and Comfort Revolution. Intercompany balances and transactions have been eliminated. The equity method of accounting is used for joint ventures and investments in associated companies over which the Company has significant influence, but does not have effective control and consolidation is not otherwise required under the Financial Accounting Standards Board’s (“FASB”) authoritative guidance surrounding the consolidation of VIEs. The Company’s equity in the net income and losses of these investments is reported in equity income in earnings of unconsolidated affiliates in the accompanying Consolidated Statements of Income.

(c) Use of Estimates. The preparation of financial statements in conformity with United States Generally Accepted Accounting Principles (“U.S. GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. The Company’s results are affected by economic, political, legislative, regulatory and legal actions. Economic conditions, such as recessionary trends, inflation, interest and monetary exchange rates, government fiscal policies and changes in the prices of raw materials, can have a significant effect on operations.

(d) Fair Value Measurements. The Company applies fair value accounting for all financial assets and liabilities and non-financial assets and liabilities that are recognized or disclosed at fair value in the financial statements on a recurring basis. The Company defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities, the Company considers the principal or most advantageous market in which the Company would transact and the market-based risk measurements or assumptions that market participants would use in pricing the asset or liability, such as inherent risk, transfer restrictions and credit risk.

The Company estimates fair value of its financial instruments utilizing an established three-level hierarchy. The hierarchy is based upon the transparency of inputs to the valuation of an asset or liability as of the measurement date as follows:


•	Level 1 – Valuation is based upon unadjusted quoted prices for identical assets or liabilities in active markets.


•	Level 2 – Valuation is based upon quoted prices for similar assets and liabilities in active markets, or other inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instruments.


•	Level 3 – Valuation is based upon other unobservable inputs that are significant to the fair value measurements.

(e) Foreign Currency. Assets and liabilities of non-U.S. subsidiaries, whose functional currency is the local currency, are translated into U.S. dollars at period-end exchange rates. Income and expense items are translated at the average rates of exchange prevailing during the period. The adjustments resulting from translating the financial statements of foreign subsidiaries are included in accumulated other comprehensive loss (“OCL”), a component of stockholders’ equity, and included in net earnings only upon sale or liquidation of the underlying foreign subsidiary or affiliated company. Foreign currency transaction gains and losses are recognized in net earnings based on differences between foreign exchanges rates on the transaction date and on the settlement date.

(f) Derivative Financial Instruments. The Company records derivative financial instruments on the consolidated balance sheets as either an asset or liability measured at its fair value. Changes in a derivative's fair value (i.e., unrealized gains or losses) are recorded each period in earnings or other comprehensive loss ("OCL"), depending on whether the derivative is designated and is effective as a hedged transaction, and on the type of hedging relationship.

For derivative financial instruments that are designated as a hedge, unrealized gains and losses related to the effective portion are either recognized in income immediately to offset the realized gain or loss on the hedged item, or are deferred and reported as a component of accumulated OCL in stockholders' equity and subsequently recognized in net income when the hedged item affects net income. The change in fair value of the ineffective portion of a derivative financial instrument is recognized in net income immediately. For derivative instruments that are not designated as hedges, the gain or loss related to the change in fair value is also recorded to net income immediately.

Derivative financial instruments are used in the normal course of business to manage interest rate and foreign currency exchange risks. In order to manage risks related to borrowings under its credit facilities, the Company entered into an interest rate swap agreement. The Company designated this interest rate swap as a cash flow hedge of floating rate borrowings. The Company manages the risk associated with fluctuations in foreign currencies related to intercompany and third party inventory purchases denominated in foreign currencies through foreign exchange forward contracts designated as cash flow hedges. The Company does not apply hedge accounting to the foreign currency forward contracts used to offset currency-related changes in foreign currency denominated assets and liabilities. These contracts are adjusted to their fair value through earnings. Refer to Note 8, “Derivative Financial Instruments” for further discussion.

(g) Cash and Cash Equivalents. Cash and cash equivalents consist of all highly liquid investments with initial maturities of three months or less.

(h) Inventories. Inventories are stated at the lower of cost or market, determined by the first-in, first-out method and consist of the following:



	December 31,
(in millions)	2014		2013
Finished goods	$	134.0	$	126.7
Work-in-process	11.4		10.0
Raw materials and supplies	71.8		62.5
	$	217.2	$	199.2

(i) Property, Plant and Equipment. Property, plant and equipment are carried at cost at acquisition date and are depreciated using the straight-line method over their estimated useful lives as follows:



	Estimated Useful Lives (in years)
Buildings	25-30
Computer equipment and software	3-5
Leasehold improvements	4-7
Machinery and equipment	3-7
Office furniture and fixtures	5-7

The Company records depreciation and amortization in cost of sales, for long-lived assets used in the manufacturing process, and within each line item of operating expenses for all other long-lived assets. Leasehold improvements are amortized over the shorter of the life of the lease or seven years.

Property, plant and equipment, net consisted of the following:



	December 31,
(in millions)	2014			2013
Machinery and equipment	$	243.5		$	270.8
Land and buildings	247.1			261.9
Computer equipment and software	69.2			72.3
Furniture and fixtures	54.9			56.7
Construction in progress	39.4			28.9
	$	654.1		$	690.6
Accumulated depreciation	(298.5		)	(279.0		)
	$	355.6		$	411.6

Depreciation expense, which includes depreciation expense for capital lease assets, for the Company was $57.7 million, $59.4 million and $30.9 million for the years ended December 31, 2014, 2013 and 2012, respectively.

(j) Long-Lived Assets. Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of long-lived assets is assessed by a comparison of the carrying amount of the asset to the estimated future undiscounted net cash flows expected to be generated by the asset or group of assets. If estimated future undiscounted net cash flows are less than the carrying amount of the asset or group of assets, the asset is considered impaired and an expense is recorded in an amount required to reduce the carrying amount of the asset to its then fair value. Fair value generally is determined from estimated discounted future net cash flows (for assets held for use) or net realizable value (for assets held for sale).

(k) Goodwill and Other Intangible Assets. Intangible assets with finite useful lives are amortized over their respective estimated useful lives to their estimated residual values and reviewed for impairment whenever events or changes in circumstances indicate an impairment may have occurred. The Company performs an annual impairment test on all existing goodwill and other indefinite lived assets on October 1 of each year and whenever events or circumstances make it more likely than not that impairment may have occurred. The Company reviewed goodwill for impairment based on its identified reporting units, which are the Company’s Tempur North America, Tempur International and Sealy operating segments. In conducting the impairment test for the Tempur North America, Tempur International and Sealy operating segments, the fair value of each of the Company’s reporting units is compared to its respective carrying amount including goodwill. If the fair value exceeds the carrying amount, then no impairment exists. If the carrying amount exceeds the fair value, further analysis is performed to assess impairment. The Company’s determination of fair value of the reporting units is based on a discounted cash flow approach, with an appropriate risk adjusted discount rate, and a market approach. Any identified impairment would result in an adjustment to the Company’s results of operations.

The Company also tests its indefinite-lived intangible assets, principally the Tempur and Sealy trade names. The Company tested its Sealy trade names for impairment using a “relief-from-royalty” method. Significant assumptions inherent in the methodologies are employed and include such estimates as royalty and discount rates. The Company tested its Tempur trade name through a qualitative analysis which considered indicators of impairment to evaluate whether the fair value was more likely than not in excess of its carrying value.

The Company performed its annual impairment test of goodwill and indefinite-lived intangible assets in 2014, 2013 and 2012, none of which resulted in the recognition of impairment charges. For further information on goodwill and other intangible assets refer to Note 4, “Goodwill and Other Intangible Assets”.

(l) Accrued Sales Returns. The Company allows product returns through certain sales channels and on certain products. Estimated sales returns are provided at the time of sale based on historical sales channel return rates. Estimated future obligations related to these products are provided by a reduction of sales in the period in which the revenue is recognized. Accrued sales returns are included in accrued expenses and other current liabilities in the accompanying Consolidated Balance Sheets.

The Company had the following activity for accrued sales returns from December 31, 2012 to December 31, 2014:



(in millions)
Balance as of December 31, 2012	5.1
Amounts accrued	104.8
Liabilities assumed as a result of Sealy Acquisition	19.9
Returns charged to accrual	(101.1		)
Balance as of December 31, 2013	$	28.7
Amounts accrued	127.4
Returns charged to accrual	(123.8		)
Balance as of December 31, 2014	$	32.3

(m) Warranties. The Company provides warranties on certain products, which vary based by segment, product and brand. Estimates of warranty expenses are based primarily on historical claims experience and product testing. Estimated future obligations related to these products are charged to cost of sales in the period in which the related revenue is recognized. In estimating its warranty obligations, the Company considers the impact of recoverable salvage value on warranty costs by segment in determining its estimate of future warranty obligations.

The following summarizes the Company’s warranty terms for mattresses and pillows:



Segment	Product/Brand	Warranty Term (in years)
Tempur North America	Mattresses	10 - 25, prorated ⁽¹⁾
Tempur North America	Pillows	3
Tempur International	Mattresses	5 - 15, prorated ⁽²⁾
Tempur International	Pillows	3
Sealy	Mattresses	10 - 25, prorated ⁽¹⁾


(1)	Products have various warranty terms, generally non-prorated for the first 10 to 15 years and then prorated for the balance of the warranty term.


(2)	The last 10 years of warranty period are prorated on a straight-line basis

The Company had the following activity for warranties from December 31, 2012 to December 31, 2014:



(in millions)
Balance as of December 31, 2012	$	4.8
Amounts accrued	22.7
Liabilities assumed as a result of Sealy Acquisition	21.4
Warranties charged to accrual	(22.8		)
Balance as of December 31, 2013	26.1
Amounts accrued	34.2
Warranties charged to accrual	(29.0		)
Balance as of December 31, 2014	$	31.3

As of December 31, 2014 and 2013, $16.1 million and $14.9 million, respectively, are included as a component of accrued expenses and other current liabilities and $15.2 million and $11.2 million are included in other non-current liabilities on the Company’s accompanying Consolidated Balance Sheets, respectively.

(n) Income Taxes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Deferred tax assets are also recognized for the estimated future effects of tax loss carry forwards. The effect of changes in tax rates on deferred taxes is recognized in the period in which the enactment dates change. Valuation allowances are established when necessary on a jurisdictional basis to reduce deferred tax assets to the amounts expected to be realized. The Company accounts for uncertain foreign and domestic tax positions utilizing a proscribed recognition threshold and measurement attributes for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return.

(o) Revenue Recognition. Sales of products are recognized as revenue when persuasive evidence of an arrangement exists, title passes to customers and the risks and rewards of ownership are transferred, the sales price is fixed or determinable, and collectability is reasonably assured. The Company extends volume discounts to certain customers, as well as promotional allowances, floor sample discounts, commissions paid to retail associates and slotting fees, and reflects these amounts as a reduction of sales at the time revenue is recognized based on historical experience. The Company also reports sales net of tax assessed by qualifying governmental authorities. The Company extends credit based on the creditworthiness of its customers. No collateral is required on sales made in the normal course of business.

The allowance for doubtful accounts is the Company’s best estimate of the amount of probable credit losses in the Company’s existing accounts receivable. The Company regularly reviews the adequacy of its allowance for doubtful accounts. The Company determines the allowance for doubtful accounts based on historical write-off experience and current economic conditions and also considers factors such as customer credit, past transaction history with the customer and changes in customer payment terms when determining whether the collection of a customer receivable is reasonably assured. Account balances are charged off against the allowance after all reasonable means of collection have been exhausted and the potential for recovery is considered remote. The allowance for doubtful accounts included in accounts receivable, net in the accompanying Consolidated Balance Sheets was $19.5 million and $19.3 million as of December 31, 2014 and 2013, respectively.

The Company reflects all amounts billed to customers for shipping and handling in net sales and the costs incurred from shipping and handling product in cost of sales. Amounts included in net sales for shipping and handling were approximately $14.7 million, $12.5 million and $4.9 million for the years ended December 31, 2014, 2013 and 2012, respectively. Amounts included in cost of sales for shipping and handling were $169.2 million, $142.5 million and $99.7 million for the years ended December 31, 2014, 2013 and 2012, respectively.

During the period ended December 31, 2014, the Company recognized other income, net of expense, of $15.6 million from certain other non-recurring items, including the partial settlement of a legal dispute.

(p) Cost of Sales. Costs associated with net sales are recorded in cost of sales. Cost of sales includes the costs of receiving, producing, inspecting, warehousing, insuring, and shipping goods during the period, as well as depreciation and amortization of long-lived assets used in these processes. Cost of sales also include shipping and handling costs associated with the delivery of goods to customers and costs associated with internal transfers between plant locations.

(q) Cooperative Advertising, Rebate and Other Promotional Programs. The Company enters into agreements with customers to provide funds for advertising and promotions. The Company also enters into volume and other rebate programs with customers. When sales are made to these customers, the Company records liabilities pursuant to these agreements. The Company periodically assesses these liabilities based on actual sales and claims to determine whether all of the cooperative advertising earned will be used by the customer or whether the customer will meet the requirements to receive rebate funds. The Company generally negotiates these agreements on a customer-by-customer basis. Some of these agreements extend over several periods. Significant estimates are required at any point in time with regard to the ultimate reimbursement to be claimed by the customers. Subsequent revisions to such estimates are recorded and charged to earnings in the period in which they are identified. Rebates and cooperative advertising are classified as a reduction of revenue and presented within net sales on the accompanying Consolidated Statements of Income. Certain cooperative advertising expenses are reported as components of selling and marketing expenses in the accompanying Consolidated Statements of Income because the Company receives an identifiable benefit and the fair value of the advertising benefit can be reasonably estimated.

(r) Advertising Costs. The Company expenses advertising costs as incurred except for production costs and advance payments, which are deferred and expensed when advertisements run for the first time. Direct response advance payments are deferred and amortized over the life of the program. Advertising costs are included in selling and marketing expenses in the accompanying Consolidated Statements of Income. Advertising costs charged to expense were $326.7 million, $274.2 million and $164.5 million for the years ended December 31, 2014, 2013 and 2012, respectively. Advertising costs include expenditures for shared advertising costs that the Company reimburses to customers under its integrated and cooperative advertising programs. Cooperative advertising costs paid to customers are recorded as a component of selling and marketing expenses within the Consolidated Statements of Income to the extent of the estimated fair value when the customer provides proof of advertising. The Company periodically assesses the liabilities recorded for cooperative advertising based on actual sales and claims to determine whether all of the cooperative advertising earned will be used by the customer. Advertising costs deferred and included in prepaid expenses and other current assets in the accompanying Consolidated Balance Sheets were $9.7 million and $8.5 million as of December 31, 2014 and 2013, respectively.

(s) Research and Development Expenses. Research and development expenses for new products are expensed as they are incurred and are included in general, administrative and other expenses in the accompanying Consolidated Statements of Income. Research and development costs charged to expense were $21.6 million, $21.0 million and $15.6 million for the years ended December 31, 2014, 2013 and 2012, respectively.

(t) Deferred Financing Costs. The Company capitalizes costs associated with the issuance of debt and amortizes these costs as additional interest expense over the lives of the debt instruments using the effective interest method. These costs are recorded as deferred financing costs within other non-current assets in the accompanying Consolidated Balance Sheets and interest expense, net in the accompanying Consolidated Statements of Income. Upon the prepayment of the related debt, the Company accelerates the recognition of an appropriate amount of the costs.

(u) Royalty Income and Expense. The Company recognizes royalty income based on sales of Sealy® and Stearns & Foster® branded products by various licensees. The Company also pays royalties to other entities for the use of their names on products produced by the Company. Royalty income, net of royalty expense, was $18.1 million and $13.7 million for the years ended December 31, 2014 and 2013, respectively. The Company did not record royalty income or expense for the year ended December 31, 2012.

(v) Stock-Based Compensation. The Company accounts for stock-based payment transactions in which the Company receives employee services in exchange for equity instruments of the Company. Stock-based compensation cost for restricted stock units (“RSUs”), performance restricted stock units (“PRSUs”) and deferred stock units (“DSUs”) is measured based on the closing fair market value of the Company’s common stock on the date of grant. Stock-based compensation cost for stock options is estimated at the grant date based on each option’s fair-value as calculated by the Black-Scholes option-pricing model. The Company recognizes stock-based compensation cost as expense for awards other than its PRSUs ratably on a straight-line basis over the requisite service period. The Company recognizes stock-based compensation cost associated with its PRSUs over the requisite service period if it is probable that the performance conditions will be satisfied. The Company will recognize a benefit from stock-based compensation in additional paid in capital if an incremental tax benefit is realized by following the ordering provisions of the tax law. Further information regarding stock-based compensation can be found in Note 12, “Stock-based Compensation.”

(w) Treasury Stock. Subject to Delaware law, and the limitations in the Company's 2012 Credit Agreement, the Board of Directors may authorize share repurchases of the Company’s common stock (“Share Repurchase Authorizations”). Share Repurchase Authorizations may be made through open market transactions, negotiated purchase or otherwise, at times and in such amounts as the Company, and a committee of the Board, deem appropriate. Shares repurchased under Share Repurchase Authorizations are held in treasury for general corporate purposes, including issuances under various employee share-based award plans. Treasury shares are accounted for under the cost method and reported as a reduction of stockholders’ equity. Share Repurchase Authorizations may be suspended, limited or terminated at any time without notice.

(x) Self-Insurance. The Company is self-insured for certain losses related to medical claims with excess loss coverage of $0.4 million per claim per year. The Company also utilizes large deductible policies to insure claims related to general liability, product liability, automobile, and workers’ compensation. The Company’s recorded liability for workers’ compensation represents an estimate of the ultimate cost of claims incurred as of the balance sheet date. The estimated workers' compensation liability is undiscounted and is established based upon analysis of historical and actuarial estimates, and is reviewed by the Company and third party actuaries on a quarterly basis to ensure that the liability is appropriate. As of December 31, 2014 and 2013, $4.8 million and $5.4 million, respectively, of the recorded undiscounted liability is included in accrued expenses and other current liabilities and $10.0 million and $9.5 million are included in other non-current liabilities within the accompanying Consolidated Balance Sheets.

(y) Environmental Cost. Environmental expenditures that relate to current operations are expensed or capitalized, as appropriate, under the FASB’s authoritative guidance on environmental remediation liabilities. Expenditures that relate to an existing condition caused by past operations and that do not provide future benefits are expensed as incurred. Liabilities are recorded when environmental assessments are made or the requirement for remedial efforts is probable, and the costs can be reasonably estimated. The timing of accruing for these remediation liabilities is generally no later than the completion of feasibility studies. The Company has an ongoing monitoring and identification process to assess how the activities, with respect to the known exposures, are progressing against the accrued cost estimates, as well as to identify other potential remediation sites that are presently unknown.

(z) Pension Obligations. The Company has a noncontributory, defined benefit pension plan covering current and former hourly employees at four of its active Sealy plants and eight previously closed Sealy U.S. facilities. Sealy Canada, Ltd. (a 100.0% owned subsidiary of the Company) also sponsors a noncontributory, defined benefit pension plan covering hourly employees at one of its facilities. Both plans provide retirement and survivorship benefits based on the employees' credited years of service. The Company's funding policy provides for contributions of an amount between the minimum required and maximum amount that can be deducted for federal income tax purposes. The funded status is measured as the difference between the fair value of plan assets and the benefit obligation at December 31, the measurement date. The benefit obligation is the projected benefit obligation (“PBO”). The PBO represents the actuarial present value of benefits expected to be paid upon retirement based on estimated future compensation levels. The measurement of the PBO is based on the Company’s estimates and actuarial valuations. The fair value of plan assets represents the current market value of assets held by an irrevocable trust fund for the sole benefit of participants. These valuations reflect the terms of the plans and use participant-specific information such as compensation, age and years of service, as well as certain assumptions that require significant judgment, including estimates of discount rates, expected return on plan assets, rate of compensation increases, interest crediting rates and mortality rates.

(aa) Supply Agreements. The Company from time to time enters into long term supply agreements with its customers to sell its branded products to customers in exchange for minimum sales volume or a minimum percentage of the customer's sales or space on the retail floor. Such agreements generally cover a period of two to five years. Initial cash outlays by the Company for such agreements are capitalized and amortized generally as a reduction of sales over the life of the contract. The majority of these cash outlays are ratably recoverable upon contract termination. Such capitalized amounts are included in prepaid expenses and other current assets and non-current assets in the Company's Consolidated Balance Sheets.

- Definition

The entire disclosure for all significant accounting policies of the reporting entity.

+ References+ Details

Recently Issued Accounting Pronouncements	12 Months Ended
Recently Issued Accounting Pronouncements	Dec. 31, 2014
Accounting Policies [Abstract]
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements In May 2014, the FASB issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue From Contracts With Customers, that outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance, including industry-specific guidance. This ASU is based on the core principle that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This ASU also requires disclosures sufficient to enable users to understand the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers, including qualitative and quantitative disclosures about contracts with customers, significant judgments and changes in judgments, and assets recognized from the costs to obtain or fulfill a contract. Entities have the option of using either a full retrospective or a modified retrospective approach for the adoption of the new standard. This ASU is effective for fiscal years beginning after December 15, 2016, including interim periods within that reporting period. The Company is currently evaluating this ASU to determine the Company's adoption method and the impact it will have on the Company's Consolidated Financial Statements. In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements — Going Concern (Subtopic 205-40: Disclosure of Uncertainties About an Entity's Ability to Continue as a Going Concern). This ASU addresses management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related footnote disclosures. Management’s evaluation should be based on relevant conditions and events that are known and reasonably knowable at the date that the financial statements are issued. This ASU is effective for fiscal years beginning after December 15, 2016, including interim periods within that reporting period, with early adoption permitted. The Company does not expect to early adopt this ASU and does not believe that the adoption of this ASU will have a material impact on the Company's Consolidated Financial Statements.

- Definition

The entire disclosure of changes in accounting principles, including adoption of new accounting pronouncements, that describes the new methods, amount and effects on financial statement line items.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Regulation S-X (SX)

-Number 210

-Section 01

-Paragraph b

-Subparagraph 6

-Article 10

Reference 2: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 270

-SubTopic 10

-Section 45

-Paragraph 13

-URI http://asc.fasb.org/extlink&oid=6372559&loc=d3e765-108305

Reference 3: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 270

-SubTopic 10

-Section 45

-Paragraph 12

-URI http://asc.fasb.org/extlink&oid=6372559&loc=d3e725-108305

Reference 4: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 250

-SubTopic 10

-Section 50

-Paragraph 1

-URI http://asc.fasb.org/extlink&oid=28359718&loc=d3e22499-107794

Reference 5: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 250

-SubTopic 10

-Section 50

-Paragraph 2

-URI http://asc.fasb.org/extlink&oid=28359718&loc=d3e22580-107794

Reference 6: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Glossary Direct Effects of a Change in Accounting Principle

-URI http://asc.fasb.org/extlink&oid=6510796

Reference 7: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Glossary Indirect Effects of a Change in Accounting Principle

-URI http://asc.fasb.org/extlink&oid=6515603

Reference 8: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Glossary Accounting Change

-URI http://asc.fasb.org/extlink&oid=6503790

Reference 9: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Glossary Change in Accounting Principle

-URI http://asc.fasb.org/extlink&oid=6507316

Reference 10: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 270

-SubTopic 10

-Section S99

-Paragraph 1

-Subparagraph (SX 210.10-01.(b)(6))

-URI http://asc.fasb.org/extlink&oid=27015980&loc=d3e46468-122699

Reference 11: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Glossary Retrospective Application

-URI http://asc.fasb.org/extlink&oid=6523989

Reference 12: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 250

-SubTopic 10

-Section 50

-Paragraph 3

-URI http://asc.fasb.org/extlink&oid=28359718&loc=d3e22583-107794

+ Details

Acquisitions and Divestitures

12 Months Ended

Dec. 31, 2014

Business Combinations [Abstract]

Acquisitions and Divestitures

Sealy Acquisition

On March 18, 2013, the Company completed the Sealy Acquisition. Pursuant to the merger agreement, each share of common stock of Sealy issued and outstanding immediately prior to the effective time of the Sealy Acquisition was cancelled and (other than shares held by Sealy or Tempur Sealy International or their subsidiaries or Sealy stockholders who properly exercised their appraisal rights) converted into the right to receive $2.20 in cash. The total purchase price was $1,172.9 million, which was funded using available cash and financing consisting of the Company’s 2012 Credit Agreement and Senior Notes (see Note 6, “Debt” for the definition of these terms and further discussion). The purchase price of Sealy consisted of the following items:



(in millions)
Cash consideration for stock	$	231.2		⁽¹⁾
Cash consideration for share-based awards	14.2			⁽²⁾
Cash consideration for 8.0% Sealy Notes	442.1			⁽³⁾
Cash consideration for repayment of Sealy Senior Notes	260.7			⁽⁴⁾
Cash consideration for repayment of Sealy 2014 Notes	276.9			⁽⁵⁾
Total consideration	1,225.1
Cash acquired	(52.2		)	⁽⁶⁾
Net consideration transferred	$	1,172.9


(1)	The cash consideration for outstanding shares of Sealy common stock is the product of the agreed-upon cash per share price of $2.20 and total Sealy shares of 105.1 million.


(2)	The cash consideration for share-based awards is the product of the agreed-upon cash per share price of $2.20 and the total number of RSUs and DSUs outstanding and the “in the money” stock options net of the weighted average exercise price.

(3)

The cash consideration for Sealy’s 8.0% Senior Secured Third Lien Convertible Notes due 2016 (“8.0% Sealy Notes”) is the result of applying the adjusted equity conversion rate to the 8.0% Sealy Notes tendered for conversion and multiplying the result by the agreed-upon cash per share price of $2.20. The 8.0% Sealy Notes that were converted represented the right to receive the same merger consideration that would have been payable to a holder of 201.0 million shares of Sealy common stock, subject to adjustment in accordance with the terms of the supplemental indenture governing the 8.0% Sealy Notes.


(4)	The cash consideration for Sealy’s 10.875% Senior Notes due 2016 (“Sealy Senior Notes”) reflects the repayment of the outstanding obligation.


(5)	The cash consideration for Sealy’s 8.25% Senior Subordinated Notes due 2014 (“Sealy 2014 Notes”) reflects the repayment of the outstanding obligation.


(6)	Represents the Sealy cash balance acquired at acquisition.

The Company incurred $18.7 million and $8.9 million of transaction costs for the years ended December 31, 2013 and 2012, respectively. There were no transaction expenses incurred in 2014. These costs are included in general, administrative and other expenses in the accompanying Consolidated Statements of Income. In addition, the Company incurred $19.9 million of incremental interest expense for the year ended December 31, 2013. This includes interest and other fees on the Senior Notes and the 2012 Credit Agreement for the period prior to March 18, 2013. The incremental interest expense also included commitment fees associated with financing for the closing of the Sealy Acquisition, and the write off of deferred financing costs associated with the 2011 Credit Facility.

The Company accounted for the Sealy Acquisition using the acquisition method. The allocation of the purchase price is based on estimates of the fair value of assets acquired and liabilities assumed as of March 18, 2013. The components of the final purchase price allocation are as follows:



(in millions)
Accounts receivable	$	185.0
Inventory	75.1
Prepaid expenses and other current assets	22.8
Accounts payable	(77.9		)
Accrued expenses	(137.2		)
Property, plant and equipment	242.9
Other assets	32.6
Identifiable intangible assets:
Indefinite-lived trade names	521.2
Contractual retailer/distributor relationships	91.1
Developed technology, including patents	87.1
Customer databases	3.9
Optimum™ trade name	2.3
Deferred income taxes, net	(232.8		)
8.0% Sealy Notes	(96.2		)
Redeemable non-controlling interest	(11.3		)
Other liabilities	(77.5		)
Goodwill	541.8
Net consideration transferred	$	1,172.9

The excess of the purchase price over the estimated fair value of the tangible net assets and identifiable intangible assets acquired was recorded as goodwill. The factors contributing to the recognition of the amount of goodwill are based on several strategic and synergistic benefits that are expected to be realized from the Sealy Acquisition. These benefits include a comprehensive portfolio of iconic brands, complementary product offerings, enhanced global footprint, and attractive synergy opportunities and value creation. None of the goodwill is expected to be deductible for income tax purposes and is entirely allocated to the Sealy reportable segment.

The following unaudited pro forma information presents the combined financial results for the Company as if the Sealy Acquisition had been completed at the beginning of the Company’s prior year, January 1, 2013. Prior to the Sealy Acquisition, Sealy used a 52-53 week fiscal year ending on the closest Sunday to November 30, but no later than December 2. The pro forma financial information set forth below for the year ended December 31, 2013 includes Sealy’s pro forma information for the combined twelve month period from December 3, 2012 through March 3, 2013 and April 1, 2013 through December 29, 2013.



	Year Ended
	December 31,
(in millions, except earnings per common share)	2013
Net sales	$	2,757.2
Net income	$	90.9
Earnings per common share – Diluted	$	1.49

The information above does not include the pro forma adjustments that would be required under Regulation S-X for pro forma financial information, and does not reflect future events that may occur after December 31, 2013 or any operating efficiencies or inefficiencies that may result from the Sealy Acquisition and related financing. Therefore, the information is not necessarily indicative of results that would have been achieved had the businesses been combined during the periods presented or the results that the Company will experience going forward.

Other Acquisitions and Divestitures

Effective June 30, 2014, the Company completed the sale of its three U.S. innerspring component production facilities and equipment, along with associated working capital, to L&P for total consideration of approximately $47.8 million. The working capital adjustment period ended in the quarter ended September 30, 2014, which resulted in a cash payment to L&P of $2.8 million, reduced the total consideration received to $45.0 million. The carrying amount of the net assets sold in this transaction, including an allocation of reporting unit goodwill determined using the relative fair value method, was approximately $66.8 million. As a result, a loss on disposal of business was recorded for $23.2 million for the year ended December 31, 2014, which included $1.4 million of transaction costs and the $2.8 million working capital adjustment.

Effective July 1, 2014, the Company acquired certain assets from a third-party licensee relating to its business in Japan. The total purchase price was $8.5 million, subject to customary working capital adjustments. The Company accounted for this business combination using the acquisition method. The preliminary allocation of the purchase price is based on estimates of the fair value of assets acquired as of July 1, 2014. The excess of the purchase price over the estimated fair value of the tangible net assets and identifiable intangible assets acquired was recorded as goodwill, which is non-deductible for income tax purposes and is entirely allocated to the Tempur International reportable segment.

- Definition

The entire disclosure for a business combination (or series of individually immaterial business combinations) completed during the period, including background, timing, and recognized assets and liabilities. The disclosure may include leverage buyout transactions (as applicable).

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 805

-SubTopic 30

-Section 50

-Paragraph 2

-URI http://asc.fasb.org/extlink&oid=35744584&loc=d3e6996-128479

Reference 2: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 805

-SubTopic 30

-Section 50

-Paragraph 3

-URI http://asc.fasb.org/extlink&oid=35744584&loc=d3e7000-128479

Reference 3: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 805

-SubTopic 20

-Section 50

-Paragraph 2

-URI http://asc.fasb.org/extlink&oid=39739317&loc=d3e4922-128472

Reference 4: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 805

-SubTopic 20

-Section 50

-Paragraph 3

-URI http://asc.fasb.org/extlink&oid=39739317&loc=d3e4926-128472

Reference 5: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 805

-SubTopic 20

-Section 50

-Paragraph 4

-URI http://asc.fasb.org/extlink&oid=39739317&loc=d3e4934-128472

Reference 6: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 805

-SubTopic 10

-Section 50

-Paragraph 1

-URI http://asc.fasb.org/extlink&oid=25497992&loc=d3e1383-128463

Reference 7: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 805

-SubTopic 10

-Section 50

-Paragraph 2

-URI http://asc.fasb.org/extlink&oid=25497992&loc=d3e1392-128463

Reference 8: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 805

-SubTopic 10

-Section 50

-Paragraph 3

-URI http://asc.fasb.org/extlink&oid=25497992&loc=d3e1486-128463

Reference 9: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 805

-SubTopic 30

-Section 50

-Paragraph 1

-URI http://asc.fasb.org/extlink&oid=35744584&loc=d3e6927-128479

Reference 10: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 805

-SubTopic 10

-Section 50

-Paragraph 5

-URI http://asc.fasb.org/extlink&oid=25497992&loc=d3e1497-128463

Reference 11: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 805

-SubTopic 10

-Section 50

-Paragraph 4

-URI http://asc.fasb.org/extlink&oid=25497992&loc=d3e1490-128463

Reference 12: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 805

-SubTopic 30

-Section 50

-Paragraph 4

-URI http://asc.fasb.org/extlink&oid=35744584&loc=d3e7008-128479

Reference 13: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 805

-SubTopic 20

-Section 50

-Paragraph 1

-URI http://asc.fasb.org/extlink&oid=39739317&loc=d3e4845-128472

Reference 14: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 805

-SubTopic 10

-Section 50

-Paragraph 6

-URI http://asc.fasb.org/extlink&oid=25497992&loc=d3e1500-128463

Reference 15: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 805

-SubTopic 10

-Section 50

-Paragraph 7

-URI http://asc.fasb.org/extlink&oid=25497992&loc=d3e1524-128463

+ Details

Goodwill and Other Intangible Assets

12 Months Ended

Dec. 31, 2014

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangible Assets

The following summarizes changes to the Company’s goodwill, by reportable segment:



(in millions)	Total			Tempur North America			Tempur International			Sealy
Balance as of December 31, 2012	$	216.1		$	108.9		$	107.2		$	—
Goodwill resulting from Sealy Acquisition	541.8			—			—			541.8
Foreign currency translation adjustments	1.7			(1.2		)	0.1			2.8
Balance as of December 31, 2013	759.6			107.7			107.3			544.6
Disposal of business	(21.4		)	—			—			(21.4		)
Goodwill resulting from acquisitions	2.3			—			2.3			—
Foreign currency translation adjustments	(4.0		)	(1.5		)	(1.2		)	(1.3		)
Balance as of December 31, 2014	$	736.5		$	106.2		$	108.4		$	521.9

The following table summarizes information relating to the Company’s other intangible assets, net:



($ in millions)		December 31, 2014						December 31, 2013
	Useful Lives (Years)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Carrying Amount		Accumulated Amortization		Net Carrying Amount
Unamortized indefinite life intangible assets:
Trade names		$	569.0	$	—	$	569.0	$	575.3	$	—	$	575.3
Amortized intangible assets:
Contractual distributor relationships	15	$	88.2	$	10.4	$	77.8	$	90.0	$	4.7	$	85.3
Technology and other	4-10	92.6		32.6		60.0		93.2		25.5		67.7
Patents, other trademarks, and other trade names	5-20	27.3		14.6		12.7		27.4		12.2		15.2
Customer databases, relationships and reacquired rights	2-5	24.1		16.5		7.6		21.0		14.4		6.6
Total		$	801.2	$	74.1	$	727.1	$	806.9	$	56.8	$	750.1

Amortization expense relating to intangible assets for the Company was $18.5 million, $15.2 million and $5.4 million for the years ended December 31, 2014, 2013 and 2012, respectively, and is recorded in general, administrative and other expenses in the Company's Consolidated Statements of Income. No impairments of goodwill or other intangible assets have adjusted the gross carrying amount of these assets in any period.

Estimated annual amortization of intangible assets is expected to be as follows:



(in millions)
Year Ending December 31,
2015	$	18.3
2016	17.9
2017	16.6
2018	15.6
2019	15.4

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

+ References+ Details

Unconsolidated Affiliate Companies

12 Months Ended

Dec. 31, 2014

Equity Method Investments and Joint Ventures [Abstract]

Unconsolidated Affiliate Companies

The Company has ownership interests in a group of Asia-Pacific joint ventures, as a result of the Sealy Acquisition, to develop markets for Sealy® branded products in those regions. The Company’s ownership interest in these joint ventures is 50.0% and is accounted for under the equity method. The Company’s net investment of $12.9 million and $7.8 million at December 31, 2014 and 2013, respectively, is recorded in other non-current assets within the accompanying Consolidated Balance Sheets. The Company’s share of earnings for the year ended December 31, 2014 and 2013 is recorded in equity income in earnings of unconsolidated affiliates in the accompanying Consolidated Statements of Income.

The tables below present summarized financial information for joint ventures as of and for the years ended December 31:



(in millions)	2014		2013
Current assets	$	49.7	$	39.1
Non-current assets	5.1		5.7
Current liabilities	29.7		31.7
Equity	25.1		13.1



(in millions)	2014		2013
Revenues	$	99.2	$	67.9
Gross profit	62.1		45.0
Income from operations	16.8		10.9
Net income	13.1		8.9

- Definition

The entire disclosure for equity method investments and joint ventures. Equity method investments are investments that give the investor the ability to exercise significant influence over the operating and financial policies of an investee. Joint ventures are entities owned and operated by a small group of businesses as a separate and specific business or project for the mutual benefit of the members of the group.

+ References+ Details

Debt

12 Months Ended

Dec. 31, 2014

Debt Disclosure [Abstract]

Debt

Debt for the Company consists of the following:



(in millions)	December 31, 2014			December 31, 2013
$375.0 million Senior Notes, interest at 6.875%, due December 15, 2020	$	375.0		$	375.0
Revolving credit facility, interest at Base Rate plus applicable margin of 2.25% or LIBOR plus applicable margin of 3.00% as of December 31, 2014 and 3.25% as of December 31, 2013, commitment through and due March 18, 2018	16.0			74.5
Term A Facility, interest at LIBOR plus applicable margin of 2.25% as of December 31, 2014 and 2.50% as of December 31, 2013, commitment through and due March 18, 2018	484.5			522.5
Term B Facility, interest at LIBOR, subject to a 0.75% floor plus applicable margin of 2.75% as of December 31, 2014 and December 31, 2013, commitment through and due March 18, 2020	594.4			737.3
8.0% Sealy Notes, due July 15, 2016	104.7			99.6
Capital lease obligations and other	27.7			27.6
	1,602.3			1,836.5
Less current portion	(66.4		)	(39.6		)
	$	1,535.9		$	1,796.9

2012 Credit Agreement

On December 12, 2012, Tempur Sealy International and certain subsidiaries of Tempur Sealy International as borrowers and guarantors, entered into a credit agreement (as amended, the “2012 Credit Agreement”) with a syndicate of banks. The 2012 Credit Agreement initially provided for (i) a revolving credit facility of $350.0 million (the “Revolver”), (ii) a term A facility of $550.0 million (the “Term A Facility”) and (iii) a term B facility of $870.0 million (the “Term B Facility”). The Revolver includes a sublimit for letters of credit and swingline loans, subject to certain conditions and limits. The Revolver and the Term A Facility will mature on March 18, 2018 and the Term B Facility will mature on March 18, 2020. The Revolver, the Term A Facility and the Term B Facility closed and funded in connection with the Sealy Acquisition on March 18, 2013.

Borrowings under the 2012 Credit Agreement will generally bear interest, at the election of Tempur Sealy International and the other subsidiary borrowers, at either (i) LIBOR plus the applicable margin or (ii) Base Rate plus the applicable margin. For the Revolver and the Term A Facility, (a) the initial applicable margin for LIBOR advances was 3.00% per annum and the initial applicable margin for Base Rate advances was 2.00% per annum, and (b) thereafter following the delivery of financial statements for the first full fiscal quarter after closing, such applicable margins are determined by a pricing grid based on the consolidated total net leverage ratio of the Company. The Term B Facility was initially subject to a LIBOR floor of 1.00%. The applicable margin for the Term B facility was initially 4.00% per annum for LIBOR advances and 3.00% per annum for Base Rate advances. On May 16, 2013, the applicable margin on the Term B Facility was reduced to 2.75% per annum for LIBOR advances and 1.75% per annum for Base Rate advances, and the LIBOR floor was reduced to 0.75% until maturity. On July 11, 2013, the applicable margin on the Term A Facility was reduced by 0.75% for each pricing level on the pricing grid based on the consolidated total net leverage ratio of the Company.

Obligations under the 2012 Credit Agreement are guaranteed by Tempur Sealy International’s existing and future direct and indirect wholly-owned domestic subsidiaries, subject to certain exceptions; and the 2012 Credit Agreement is secured by a security interest in substantially all Tempur Sealy International’s and the other subsidiary borrowers’ domestic assets and the domestic assets of each subsidiary guarantor, whether owned as of the closing or thereafter acquired, including a pledge of 100.0% of the equity interests of each subsidiary guarantor that is a domestic entity (subject to certain limited exceptions) and 65.0% of the voting equity interests of any direct first tier foreign entity owned by a subsidiary guarantor. The 2012 Credit Agreement requires compliance with certain financial covenants providing for maintenance of a minimum consolidated interest coverage ratio and maintenance of a maximum consolidated total net leverage ratio. The consolidated total net leverage ratio is calculated using consolidated funded debt less qualified cash. Consolidated funded debt includes debt recorded on the Consolidated Balance Sheets as of the reporting date, plus letters of credit outstanding and short-term other debt. The Company is allowed to exclude from consolidated funded debt 100.0% of the domestic qualified cash and 60.0% of foreign qualified cash, the aggregate of which cannot exceed $150.0 million at the end of the reporting period. As of December 31, 2014, domestic qualified cash was $25.9 million and foreign qualified cash was $21.9 million.

The 2012 Credit Agreement contains certain customary negative covenants, which include limitations on liens, investments, indebtedness, dispositions, mergers and acquisitions, the making of restricted payments, changes in the nature of business, changes in fiscal year, transactions with affiliates, use of proceeds, prepayments of certain indebtedness, entry into burdensome agreements and changes to governing documents and other junior financing documents. The 2012 Credit Agreement also contains certain customary affirmative covenants and events of default, including upon a change of control.

Tempur Sealy International is required to pay a commitment fee on the unused portion of the Revolver, which initially was 0.50% per annum and which steps down to 0.375% per annum if the consolidated total net leverage ratio is less than or equal to 3.50:1.00. This unused commitment fee is payable quarterly in arrears and on the date of termination or expiration of the commitments under the Revolver. Tempur Sealy International and the other borrowers also pay customary letter of credit issuance and other fees under the 2012 Credit Agreement.

On October 17, 2014, the Company entered into an amendment to its existing 2012 Credit Agreement. The amendment provides the Company with flexibility in the acquisition of existing and future licensees, distributors and joint ventures as well as the potential acquisition of other strategic international brands in existing Company markets by, among other things, providing for increased acquisition baskets and certain exceptions from such acquisition baskets and greater flexibility with respect to the requirements for guarantying the obligations under the 2012 Credit Agreement by certain existing joint ventures. In addition, the amendment provides for flexibility under the maximum consolidated total net leverage ratio going forward as well as additional flexibility in the making of certain investments and restricted payments and the payment of junior indebtedness through, among other things, an available amount basket that includes a $50.0 million starter portion.

As of December 31, 2014, the Revolver total LIBOR plus applicable margin interest rate was 3.16%. As of December 31, 2014, the Revolver total Base Rate plus applicable margin interest rate was 5.25%. During the year ended December 31, 2014, borrowings were $271.5 million and repayments were $330.0 million. Total outstanding borrowings under the Revolver were $16.0 million at December 31, 2014 with letters of credit outstanding of $18.2 million, and total availability under the Revolver was $315.8 million as of December 31, 2014.

As of December 31, 2014, the Term A Facility total LIBOR plus applicable margin interest rate was 2.42%. The Term A Facility is subject to scheduled quarterly payments in accordance with the 2012 Credit Agreement. The scheduled quarterly payments are $13.5 million from March 31, 2015 through December 31, 2017. Upon maturity, the principal payment due is $323.0 million. During the year ended December 31, 2014, repayments with respect to the Term A Facility were $38.0 million, which includes $9.1 million of prepayments made as a result of the excess cash flow covenant in the 2012 Credit Agreement.

As of December 31, 2014, the Term B Facility total LIBOR plus applicable margin was 3.50%. The Term B Facility is subject to scheduled quarterly payments in accordance with the 2012 Credit Agreement. The scheduled quarterly payments are $1.5 million through December 31, 2019. Upon maturity, the principal payment due is $564.1 million. During the year ended December 31, 2014, repayments with respect to the Term B Facility were $142.9 million, which includes $12.8 million of prepayments made as a result of the excess cash flow covenant in the 2012 Credit Agreement.

On September 30, 2014, the Company voluntarily prepaid $123.1 million on the Term B Facility and $1.9 million on the Term A Facility. In conjunction with the voluntary prepayment, the Company recorded accelerated amortization of $3.3 million of the associated deferred financing costs, which is recorded in interest expense in the Consolidated Statements of Income.

The Company is in compliance with all applicable covenants at December 31, 2014.

Senior Notes

On December 19, 2012, Tempur Sealy International issued $375.0 million aggregate principal amount of 6.875% senior notes due 2020 (the “Senior Notes”) to qualified institutional buyers pursuant to Rule 144A of the Securities Act of 1933 ("Securities Act"), and to certain non-U.S. persons in accordance with Regulation S under the Securities Act. The Senior Notes were issued pursuant to an indenture, dated as of December 19, 2012 (the “Indenture”), among the Company, certain subsidiaries of Tempur Sealy International as guarantors (the “Guarantors”), and The Bank of New York Mellon Trust Company, N.A., as trustee (the “Trustee”). The Senior Notes are general unsecured senior obligations of Tempur Sealy International and are guaranteed on a senior unsecured basis by the Guarantors. The Senior Notes mature on December 15, 2020, and interest is payable semi-annually in arrears on each June 15 and December 15, beginning on June 15, 2013. The gross proceeds from the Senior Notes, were funded into escrow and these funds were released from escrow on March 18, 2013 and used as part of the funding of the Sealy Acquisition. Following the completion of the Sealy Acquisition, Sealy and certain of its subsidiaries became Guarantors of the Senior Notes.

Tempur Sealy International has the option to redeem all or a portion of the Senior Notes at any time on or after December 15, 2016. Starting on this date the initial redemption price is 103.438% of the principal amount, plus accrued and unpaid interest, if any. The redemption price will decline to 101.719% on December 15, 2017 and to 100.0% of the principal amount beginning on December 15, 2018. In addition, Tempur Sealy International has the option at any time prior to December 15, 2016 to redeem some or all of the Senior Notes at 100.0% of the original principal amount plus a “make-whole” premium and accrued and unpaid interest, if any. Tempur Sealy International may also redeem up to 35.0% of the Senior Notes prior to December 15, 2015, under certain circumstances with the net cash proceeds from certain equity offerings, at 106.875% of the principal amount plus accrued and unpaid interest, if any. Tempur Sealy International may make such redemptions only if, after any such redemption, at least 65.0% of the original aggregate principal amount of the Senior Notes issued remains outstanding.

The Indenture restricts the ability of Tempur Sealy International and the ability of certain of its subsidiaries to, among other things: (i) incur, directly or indirectly, debt; (ii) make, directly or indirectly, certain investments and restricted payments; (iii) incur or suffer to exist, directly or indirectly, liens on its properties or assets; (iv) sell or otherwise dispose of, directly or indirectly, assets; (v) create or otherwise cause or suffer to exist any consensual restriction on the right of certain of the subsidiaries of Tempur Sealy International to pay dividends or make any other distributions on or in respect of their capital stock; (vi) enter into transactions with affiliates; (vii) engage in sale-leaseback transactions; (viii) purchase or redeem capital stock or subordinated indebtedness; (ix) issue or sell stock of restricted subsidiaries; and (x) effect a consolidation or merger. These covenants are subject to a number of exceptions and qualifications.

Also in conjunction with the issuance and sale of the Senior Notes, Tempur Sealy International and the Guarantors agreed through a Registration Rights Agreement to exchange the Senior Notes for a new issue of substantially identical senior notes registered under the Securities Act. Tempur Sealy International and the Guarantors would have been required to pay additional interest if the Senior Notes were not registered within the time periods specified within the Registration Rights Agreement. Tempur Sealy International filed a registration statement on Form S-4 on July 12, 2013 in connection with the registration of the Senior Notes, and the registration statement was declared effective by the Securities and Exchange Commission on July 26, 2013, which was within the specified time period.

8.0% Sealy Notes

In conjunction with the Sealy Acquisition, Sealy’s obligations under its 8.0% Sealy Notes were amended. As a result of the Sealy Acquisition, the 8.0% Sealy Notes became convertible solely into cash, in an amount that declined slightly every day during the Make-Whole Period (as defined under the Supplemental Indenture governing the 8.0% Sealy Notes) that followed the Sealy Acquisition, and then became fixed thereafter. The Make-Whole Period effectively expired on April 12, 2013. As of April 12, 2013, approximately 83.0% of all the 8.0% Sealy Notes outstanding prior to the Sealy Acquisition were converted into cash and paid to the holders. Holders of the 8.0% Sealy Notes who converted on March 19, 2013 received approximately $2,325.43 per $1,000 Accreted Principal Amount of the 8.0% Sealy Notes being converted. The holders of the 8.0% Sealy Notes who convert after April 12, 2013 will receive $2,200 per $1,000 Accreted Principal Amount of the 8.0% Sealy Notes being converted. The Company calculated the fair value of the remaining 8.0% Sealy Notes as part of its purchase price allocation by first calculating the future payout of the remaining 17.0% aggregate principal amount of the 8.0% Sealy Notes still outstanding and the cumulative semi-annual interest payments at the July 15, 2016 maturity, and then calculated the present value using a market discount rate, which resulted in a fair value of $96.2 million at March 18, 2013, the date the Sealy Acquisition closed. As of December 31, 2014, the carrying value of the 8.0% Sealy Notes is $104.7 million, which includes $8.7 million of accreted discount. The discount is accreted through non-cash interest expense over the life of the 8.0% Sealy Notes using the effective interest method. As of December 31, 2013, the 8.0% Sealy Notes had a carrying value of $99.6 million, which includes $3.7 million of accreted discount less conversion payments made to holders of certain 8.0% Sealy Notes that were tendered for conversion.

The 8.0% Sealy Notes mature on July 15, 2016 and bear interest at 8.0% per annum accruing semi-annually in arrears on January 15 and July 15 of each year. Sealy does not pay interest in cash to the holders of the 8.0% Sealy Notes, but instead increases the principal amount of the 8.0% Sealy Notes by an amount equal to the accrued interest for the interest period then ended (“Paid-In-Kind” or “PIK interest”). The amount of the accrued interest for each interest period is calculated on the basis of the accreted principal amount as of the first day of such interest period. PIK interest accrued on the most recent interest period then ended on the 8.0% Sealy Notes converted between interest payment dates is forfeited.

All material negative covenants (apart from the lien covenant and related collateral requirements) were eliminated from the supplemental indenture governing the 8.0% Sealy Notes, as well as certain events of default and certain other provisions. In addition, Tempur Sealy International and its non-Sealy subsidiaries do not provide any guarantees of any obligations with respect to the 8.0% Sealy Notes.

Capital Leases

The Company is party to capital leases as of December 31, 2014 and 2013. The approximate remaining life of the leases is 10 years as of December 31, 2014.

Deferred Financing Costs

As a result of the Company’s issuance of the Senior Notes and in conjunction with entering into the 2012 Credit Agreement, $54.3 million of deferred financing costs were capitalized in 2013 and 2012 and will be amortized as interest expense over the respective debt instrument period, ranging from 5 to 8 years, using the effective interest method. In conjunction with the voluntary prepayment on September 30, 2014 on amounts outstanding under the 2012 Credit Agreement, the Company recorded accelerated amortization of $3.3 million of the associated deferred financing costs. On October 17, 2014, the Company capitalized $3.1 million of deferred financing costs in connection with the amendment to the existing 2012 Credit Agreement. These deferred financing costs will be amortized as interest expense over the remaining 4 to 6 years of the debt instrument period, in conjunction with the initial deferred financing costs capitalized in 2013 and discussed above.

In conjunction with the repayment of all outstanding borrowings on the 2011 Credit Facility, the Company wrote off the associated $4.7 million of deferred financing costs in 2013.

Interest Rate Swap Agreement

On August 8, 2011, the Company entered into a four-year interest rate swap agreement to manage interest costs and the risk associated with changing interest rates associated with variable portions of the Company’s debt outstanding. Refer to Note 8, “Derivative Financial Instruments,” for additional information regarding the Company’s interest rate swap agreement.

Future Obligations

As of December 31, 2014, the scheduled maturities of long-term debt outstanding, including capital lease obligations, for each of the next five years and thereafter are as follows:



(in millions)	Amount
2015	$	66.4
2016	166.6
2017	62.2
2018	347.7
2019	8.9
Thereafter	950.5
Total	$	1,602.3

Fair Value Measurements	12 Months Ended
Fair Value Measurements	Dec. 31, 2014
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements The classification of fair value measurements within the established three-level hierarchy is based upon the lowest level of input that is significant to the measurement. There were no transfers between levels for the year ended December 31, 2014 and 2013. At December 31, 2014 and 2013, the Company had an interest rate swap agreement and foreign exchange forward contracts recorded at fair value. The fair value of the interest rate swap agreement is calculated using standard industry models based on observable forward yield curves. The Company also utilizes foreign currency forward contracts to manage the risk associated with exposures to foreign currency risk related to intercompany debt and associated interest payments. The fair value of the foreign exchange contracts is calculated using standard industry models based on observable forward points and discount curves. The fair values of all derivative instruments are adjusted for credit risk and restrictions and other terms specific to the contracts. The fair value of the interest rate swap and the foreign exchange forward contract were not material for the years ended December 31, 2014 or 2013. The carrying value of cash and cash equivalents, accounts receivable and accounts payable approximate fair value because of the short-term maturity of those instruments. Borrowings under the 2012 Credit Agreement are at variable interest rates and accordingly their carrying amounts approximate fair value. The fair value of the Senior Notes was approximately $398.4 million and $405.0 million at December 31, 2014 and 2013, respectively. The fair value of the 8.0% Sealy Notes was approximately $110.7 million and $99.9 million at December 31, 2014 and 2013, respectively. The fair value of the Senior Notes and the 8.0% Sealy Notes were based on Level 2 inputs such as quoted market prices or estimated using discounted cash flows and market-based expectations for interest rates, credit risk, and the contractual terms of the debt instruments.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References+ Details

Derivative Financial Instruments	12 Months Ended
Derivative Financial Instruments	Dec. 31, 2014
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Financial Instruments	Derivative Financial Instruments In the normal course of business, the Company is exposed to certain risks related to fluctuations in interest rates. The Company uses interest rate swaps to manage risks from these market fluctuations. The financial instruments used by the Company are straight-forward, non-leveraged instruments. The counterparties to these financial instruments are financial institutions with strong credit ratings. The Company maintains control over the size of positions entered into with any one counterparty and regularly monitors the credit ratings of these institutions. The Company also utilizes foreign exchange spot and forward contracts to manage the risk associated with exposures to foreign currency risk. In addition, certain foreign exchange forward contracts related to risks associated with intercompany inventory purchases and are designated as cash flow hedging instruments. Certain forward exchange forward contracts relate to intercompany debt and associated interest payments and certain accounts receivable and accounts payable and are considered to be economic hedges. The fair value of the interest rate swap and foreign exchange forward contracts is calculated as described in Note 7, "Fair Value Measurements," taking into consideration foreign currency rates and the current creditworthiness of the counterparties or the Company, as applicable. Interest Rate Swap Agreement The Company is exposed to changes in interest rates on its variable rate debt. In order to manage this risk, on August 8, 2011, the Company entered into a four-year interest rate swap agreement to manage interest costs and the risk associated with changing interest rates. The Company designated this interest rate swap agreement as a cash flow hedge of floating rate borrowings and expects the hedge to be highly effective in offsetting fluctuations in the designated interest payments resulting from changes in the benchmark interest rate. The gains and losses on the designated interest rate swap agreement will offset losses and gains on the transactions being hedged. The Company formally documented the effectiveness of this qualifying hedge instrument (both at the inception of the interest rate swap agreement and on an ongoing basis) in offsetting changes in cash flows of the hedged transaction. The fair value of the interest rate swap agreement is calculated as described in Note 7, “Fair Value Measurements”, taking into consideration current interest rates and the current creditworthiness of the counterparties or the Company, as applicable. As a result of this interest rate swap agreement, the Company pays interest at a fixed rate and receives payments at a variable rate which began on December 30, 2011. As of this date, the interest rate swap agreement effectively fixed the floating LIBOR-based interest rate to 1.25% plus the applicable margin on $250.0 million of the outstanding balance under the Company’s variable rate debt. On December 30, 2013, the outstanding notional principal amount of the interest rate swap agreement reduced to $150.0 million. The interest rate swap agreement expires on December 30, 2015. The Company has selected the LIBOR-based rate on the hedged portion of the Company’s variable rate debt during the term of the interest rate swap agreement. The effective portion of the change in value of the interest rate swap agreement is reflected as a component of comprehensive income and recognized as interest expense, net as payments are paid or accrued. The remaining gain or loss in excess of the cumulative change in the present value of the future cash flows of the hedged item, if any (i.e., the ineffective portion) or hedge components excluded from the assessment of effectiveness are recognized as interest expense, net during the current period. These amounts are immaterial to the Consolidated Financial Statements. Foreign Exchange Forward Contracts Cash Flow Hedges The Company is exposed to foreign currency risk related to intercompany and third party inventory purchases denominated in foreign currencies. To manage the risk associated with fluctuations in foreign currencies related to these transactions, the Company enters into foreign exchange forward contracts. As of December 31, 2014, the Company had foreign exchange forward contracts designated as cash flow hedges to buy U.S dollars and to sell Canadian dollars with a notional amount outstanding of $46.5 million. These foreign exchange forward contracts have maturities ranging from January 2015 to December 2015. The Company designates certain foreign exchange forward contracts as hedging instruments, and the contracts qualify as cash flow hedges. The effectiveness of the cash flow hedge contracts, excluding time value, is assessed prospectively and retrospectively on a monthly basis using regression analysis, as well as using other timing and probability criteria. To receive hedge accounting treatment, all hedging relationships are formally documented at the inception of the hedges and must be highly effective in offsetting changes to future cash flows on hedged transactions. The effective portion of the cash flow hedge contracts' gains or losses resulting from changes in the fair value of these hedges is initially reported, net of tax, as a component of accumulated other comprehensive income until the underlying hedged item is reflected in the Company's accompanying Consolidated Statements of Income, at which time the effective amount in accumulated other comprehensive income is reclassified to cost of sales in the accompanying Consolidated Statements of Income. The Company expects to reclassify a gain of approximately $1.4 million, net of tax, over the next 12 months based on December 31, 2014 exchange rates. In the event that the gains or losses in accumulated other comprehensive income are deemed to be ineffective, the ineffective portion of gains or losses resulting from changes in fair value, if any, is reclassified to other expense, net on the accompanying Consolidated Statements of Income. During the current reporting period, all forecasted transactions occurred and, therefore, there were no such gains or losses reclassified to other expense, net. These amounts are immaterial to the Consolidated Financial Statements. Economic Hedges The Company is also exposed to foreign currency risk related to intercompany debt and associated interest payments and certain accounts receivable and accounts payable. To manage the risk associated with fluctuations in foreign currencies related to these assets and liabilities, the Company enters into foreign exchange forward contracts. The Company considers these contracts to be economic hedges. Accordingly, changes in the fair value of these instruments affect earnings during the current period. These foreign exchange forward contracts protect against the reduction in value of forecasted foreign currency cash flows resulting from payments in foreign currencies. The fair value of foreign exchange forward contracts are estimated as described in Note 7, “Fair Value Measurements,” taking into consideration foreign currency rates and the current creditworthiness of the counterparties or the Company, as applicable. These amounts are immaterial to the Consolidated Financial Statements.

- Definition

The entire disclosure for derivative instruments and hedging activities including, but not limited to, risk management strategies, non-hedging derivative instruments, assets, liabilities, revenue and expenses, and methodologies and assumptions used in determining the amounts.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 815

-SubTopic 10

-Section 50

-Paragraph 4K

-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5708775-113959

Reference 2: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 815

-SubTopic 10

-Section 50

-Paragraph 4B

-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5624163-113959

Reference 3: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 815

-SubTopic 10

-Section 50

-Paragraph 4J

-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5708773-113959

Reference 4: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 815

-SubTopic 25

-Section 50

-Paragraph 1

-URI http://asc.fasb.org/extlink&oid=6886632&loc=d3e76258-113986

Reference 5: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 815

-SubTopic 10

-Section 50

-Paragraph 4A

-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5618551-113959

Reference 6: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 815

-SubTopic 10

-Section 50

-Paragraph 4H

-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5624258-113959

Reference 7: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 815

-SubTopic 10

-Section 50

-Paragraph 4E

-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5624181-113959

Reference 8: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 815

-SubTopic 30

-Section 45

-Paragraph 1

-URI http://asc.fasb.org/extlink&oid=6441202&loc=d3e80720-113993

Reference 9: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 815

-SubTopic 30

-Section 50

-Paragraph 1

-URI http://asc.fasb.org/extlink&oid=35736893&loc=d3e80748-113994

Reference 10: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 235

-SubTopic 10

-Section S99

-Paragraph 1

-Subparagraph (SX 210.4-08.(n))

-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

Reference 11: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 815

-SubTopic 30

-Section 50

-Paragraph 2

-URI http://asc.fasb.org/extlink&oid=35736893&loc=d3e80784-113994

Reference 12: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 815

-SubTopic 10

-Section 50

-Paragraph 4D

-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5624177-113959

Reference 13: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 815

-SubTopic 10

-Section 50

-Paragraph 2

-URI http://asc.fasb.org/extlink&oid=35706170&loc=d3e41620-113959

Reference 14: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 815

-SubTopic 10

-Section 50

-Paragraph 1A

-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5579245-113959

Reference 15: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 815

-SubTopic 10

-Section 50

-Paragraph 1B

-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5580258-113959

Reference 16: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 815

-SubTopic 10

-Section 50

-Paragraph 1

-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5579240-113959

Reference 17: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 815

-SubTopic 10

-Section 50

-Paragraph 5

-URI http://asc.fasb.org/extlink&oid=35706170&loc=d3e41641-113959

Reference 18: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 815

-SubTopic 10

-Section 50

-Paragraph 4

-URI http://asc.fasb.org/extlink&oid=35706170&loc=d3e41638-113959

Reference 19: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 815

-SubTopic 10

-Section 50

-Paragraph 4C

-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5624171-113959

+ Details

Retirement Plans

12 Months Ended

Dec. 31, 2014

Compensation and Retirement Disclosure [Abstract]

Retirement Plans

401(k) Plan

The Company has a defined contribution plan (“the 401(k) Plan”) whereby eligible employees may contribute up to 15.0% of their pay subject to certain limitations as defined by the 401(k) Plan. Employees are eligible to participate in the 401(k) Plan after 90 days and are eligible to receive matching contributions upon one year of employment with the Company. The 401(k) Plan provides a 100.0% match of the first 3.0% and 50.0% of the next 2.0% of eligible employee contributions. All matching contributions vest immediately. The Company incurred $5.0 million, $1.7 million and $1.5 million of expenses associated with the 401(k) Plan for the years ended December 31, 2014, 2013 and 2012, respectively.

Defined Contribution Plans

Substantially all employees in the Company's Sealy and Tempur North America reportable segments are covered by defined contribution profit sharing plans, where specific amounts (as annually established by the Company) are set aside in trust for retirement benefits. Profit sharing expense was $1.7 million and $4.0 million for the year ended December 31, 2014 and 2013, respectively.

Company Defined Benefit Pension Plans

The Company has a noncontributory, defined benefit pension plan covering current and former hourly employees at four of its active Sealy plants and eight previously closed Sealy U.S. facilities. Sealy Canada, Ltd. (a 100.0% owned subsidiary of the Company) also sponsors a noncontributory, defined benefit pension plan covering hourly employees at one of its facilities. Both plans provide retirement and survivorship benefits based on the employees’ credited years of service. The Company’s funding policy provides for contributions of an amount between the minimum required and maximum amount that can be deducted for federal income tax purposes.

Pension plan assets consist of investments in various common/collective trusts with equity investment strategies diversified across multiple industry sectors and company market capitalization within specific geographical investment strategies, fixed income common/collective trusts, which invest primarily in investment-grade and high-yield corporate bonds and U.S. treasury securities, as well as money market mutual funds. The fixed income investments are diversified as to ratings, maturities, industries and other factors. The plan assets contain no significant concentrations of risk related to individual securities or industry sectors. The plan has no direct investment in the Company's common stock.

The long-term rate of return for the plans is based on the weighted average of the plans’ investment allocation and the historical returns for those asset categories. Because future compensation levels are not a factor in these plans’ benefit formula, the accumulated benefit obligation is equal to the projected benefit obligation as reported below. The discount rate is based on the returns on long-term bonds in the private sector and incorporates a long-term inflation rate. Summarized information for the plans follows:

Expenses and Status

Components of net periodic pension cost included in the accompanying Consolidated Statements of Income for the years ended December 31 were as follows:



(in millions)	2014			2013
Service cost	$	0.9		$	0.9
Interest cost	1.8			1.3
Expected return on assets	(2.1		)	(1.5		)
Curtailment loss	0.1			—
Amortization of net gain	(0.1		)	—
Net periodic pension cost	$	0.6		$	0.7

The other changes in plan assets and benefit obligations recognized in accumulated other comprehensive loss for the years ended December 31 were:



(in millions)	2014			2013
Net loss (gain)	$	9.0		$	(6.2	)
Amortization of prior service cost	(0.2		)	1.0
Amortization of net gain	0.1			—
New prior service cost	0.1			—
Total recognized in other comprehensive income	$	9.0		$	(5.2	)

The following assumptions, calculated on a weighted‑average basis, were used to determine net periodic pension cost for the Company’s defined benefit pension plans for the years ended December 31:



	2014		2013
Discount rate ^(a)	4.01	%	4.23	%
Expected long term return on plan assets	7.00	%	6.92	%

(a)

Due to current economic differences in the interest rates in the jurisdictions of the retirement plans, the discount rates used in 2014 to determine the expenses for the United States retirement plan and Canadian retirement plan were 3.94% and 5.00%, respectively. The discount rates used in 2013 to determine the expenses for the United States retirement plan and Canadian retirement plan were 4.25% and 4.00%, respectively.

Obligations and Funded Status

The measurement date for all of the Company’s defined benefit pension plans is December 31. The funded status of the defined benefit pension plans as of December 31 were as follows:



(in millions)	2014			2013
Change in Benefit Obligation:
Projected benefit obligation at beginning of year	$	36.4		$	39.9
Service cost	0.9			0.9
Interest cost	1.8			1.3
Plan changes	0.2			0.5
Actuarial loss (gain)	9.2			(4.8		)
Curtailments	(0.1		)	—
Benefits paid	(0.7		)	(0.5		)
Expenses paid	(0.2		)	(0.3		)
Foreign currency exchange rate changes	(0.4		)	(0.6		)
Projected benefit obligation at end of year	$	47.1		$	36.4
Change in Plan Assets:
Fair value of plan assets at beginning of year	$	30.5		$	26.2
Actual return on assets	2.2			2.9
Employer contribution	1.0			2.8
Plan settlements	—			(0.4		)
Benefits paid	(0.7		)	(0.5		)
Expenses paid	(0.2		)	(0.3		)
Foreign currency exchange rate changes	(0.3		)	(0.2		)
Fair value of plan assets at end of year	$	32.5		$	30.5
Funded status	$	(14.6	)	$	(5.9	)

The Company’s defined benefit pension plan for U.S. Sealy employees is underfunded. As of December 31, 2014, the projected benefit obligation and fair value of plan assets were $43.7 million and $28.8 million, respectively. As of December 31, 2013, the projected benefit obligation and fair value of plan assets were $33.3 million and $26.7 million, respectively. The Company’s defined benefit pension plan for employees of Sealy Canada, Ltd. is overfunded. As of December 31, 2014, the projected benefit obligation and fair value of plan assets for the Sealy Canada Ltd. pension plan were $3.4 million and $3.7 million, respectively. As of December 31, 2013, the projected benefit obligation and fair value of plan assets for the Sealy Canada Ltd. pension plan were $3.1 million and $3.8 million, respectively.

The following table represents amounts recorded in the Consolidated Balance Sheet:



	December 31,
(in millions)	2014		2013
Amounts recognized in the Consolidated Balance Sheets:
Non-current portion of benefit liability	$	14.9	$	6.7
Non-current benefit asset	0.3		0.8
Accumulated other comprehensive income	9.0		(5.2		)

The following assumptions, calculated on a weighted‑average basis, were used to determine benefit obligations for the Company’s defined benefit pension plans as of December 31:



	2014		2013
Discount rate^(a)	5.00	%	5.00	%


(a)	The discount rates used in 2014 and 2013 to determine the benefit obligations for the United States defined benefit pension plan and Canadian defined benefit pension plan were both 5.00%.

No material amounts are expected to be reclassified from accumulated other comprehensive loss to be recognized as components of net income during 2015.

Plan Contributions and Expected Benefit Payments

During 2015, the Company expects to contribute $1.6 million to the Company's pension plans from available cash and equivalents.

The following table presents estimated future benefit payments:



(in millions)
Fiscal 2015	$	0.9
Fiscal 2016	1.0
Fiscal 2017	1.0
Fiscal 2018	1.1
Fiscal 2019	1.2
Fiscal 2020 ‑ Fiscal 2024	8.4

Pension Plan Asset Information

Investment Objective and Strategies. The Company's investment objectives are to minimize the volatility of the value of the Company's pension assets relative to pension liabilities and to ensure assets are sufficient to pay plan benefits. Target and actual asset allocations are as follows:



	2014 Target		2014 Actual
Common/collective trust consisting primarily of:
Equity securities	60.00	%	76.86	%
Debt securities	40.00	%	21.77	%
Other	—	%	1.37	%
Total plan assets	100.00	%	100.00	%

Investment strategies and policies reflect a balance of risk-reducing and return‑seeking considerations. The objective of minimizing the volatility of assets relative to liabilities is addressed primarily through asset diversification. Assets are broadly diversified across many asset classes to achieve risk-adjusted returns that, in total, lower asset volatility relative to liabilities. The Company's policy to rebalance the Company's investment regularly ensures that actual allocations are in line with target allocations as appropriate.

Strategies to address the goal of ensuring sufficient assets to pay benefits include target allocations to a broad array of asset classes that provide return, diversification and liquidity.

The plan investment fiduciaries are responsible for setting asset allocation targets, and monitoring asset allocation and investment performance. The Company’s pension investment manager has discretion to manage assets to ensure compliance with the asset allocations approved by the plan fiduciaries.

Significant Concentrations of Risk

Significant concentrations of risk in the Company's plan assets relate to equity, interest rate, and operating risk. In order to ensure assets are sufficient to pay benefits, a portion of plan assets is allocated to equity investments that are expected, over time, to earn higher returns with more volatility than fixed income investments which more closely match pension liabilities. Within the common/collective trusts, the plan assets contain no significant concentrations of risk related to individual securities or industry sectors.

In order to minimize asset volatility relative to the liabilities, a portion of plan assets are allocated to fixed income investments that are exposed to interest rate risk. Rate increases will generally result in a decline in fixed income assets while reducing the present value of the liabilities. Conversely, rate decreases will increase fixed income assets, partially offsetting the related increase in the liabilities.

Operating risks primarily include the risks of inadequate diversification and insufficient oversight. To mitigate this risk, investments are diversified across and within asset classes in support of investment objectives. Policies and practices to address operating risks include ongoing oversight, plan and asset class investment guidelines, and periodic reviews to these guidelines to ensure adherence.

Expected Long-Term Return on Plan Assets

The expected long-term return assumption at December 31, 2014 was 7.00% for the United States defined benefit pension plan and 6.00% for the Canadian defined benefit pension plan. The expected long-term return assumption is based on historical and projected rates of return for current and planned asset classes in the plan’s investment portfolio. The assumption considers various sources, primarily inputs from advisors for long-term capital market returns, inflation, bond yields, and other variables, adjusted for specific aspects of our investment strategy by plan.

The investments in plan assets primarily consist of mutual funds and money market funds. Investments in mutual funds and money market funds are valued at the net asset value per share or unit multiplied by the number of shares or units held as of the measurement date. The fair value of the Company’s pension benefit plan assets at December 31 by asset category was as follows:



(in millions)	2014		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Asset Category
Common/collective trust
U.S. equity	$	19.6	$	—	$	19.6	$	—
International equity	5.2		—		5.2		—
Total equity based funds	24.8		—		24.8		—
Common/collective trust - fixed income	7.0		—		7.0		—
Money market funds	0.7		—		0.7		—
Total	$	32.5	$	—	$	32.5	$	—



(in millions)	2013		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Asset Category
Equity
Mutual funds—U.S. companies	$	13.1	$	13.1	$	—	$	—
Mutual funds—International companies	5.9		5.9		—		—
Total equity funds	19.0		19.0		—		—
Mutual funds—fixed income	10.5		10.5		—		—
Money market funds	1.0		1.0		—		—
Total	$	30.5	$	30.5	$	—	$	—

Common/collective trusts are valued at the net asset value ("NAV") per share multiplied by the number of shares held as of the measurement date. The determination of net asset value for the common/collective trusts includes market pricing of the underlying assets as well as broker quotes and other valuation techniques that represent fair value as determined by the respective administrator of the common/collective trust. Management has determined that the NAV is an appropriate estimate of the fair value of the commingled investments funds at December 31, 2014 and 2013, based on the fact that the common/collective trusts are audited and accounted for at fair value by the administrators of the respective common/collective trusts. If the Company has the ability to redeem its investment in the respective alternative investment at the net asset value with no significant restrictions on the redemption at the consolidated balance sheet date, the Company has categorized the alternative investment as a Level 2 measurement in the fair value hierarchy. The methods described above may produce a fair value that may not be indicative of net realizable value or reflective of future fair value. Furthermore, while the Company believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different estimate of fair value at the consolidated balance sheet dates.

Multi‑Employer Benefit Plans

Approximately 68.0% of the Company’s domestic employees are represented by various labor unions with separate collective bargaining agreements. Hourly employees working at eight of the Company’s domestic manufacturing facilities are covered by union sponsored retirement plans. Further, employees working at three of the Company’s domestic manufacturing facilities are covered by union sponsored health and welfare plans. These plans cover both active employees and retirees. Through the health and welfare plans, employees received medical, dental, vision, prescription and disability coverage. The Company’s cost associated with these plans consists of periodic contributions to these plans based upon employee participation. The expense recognized by the Company for such contributions for the years ended December 31 were as follows:



(in millions)	2014		2013
Multi‑employer retirement plan expense	$	4.7	$	3.9
Multi‑employer health and welfare plan expense	2.2		2.2

The risks of participating in multi‑employer pension plans are different from the risks of participating in single‑employer pension plans in the following respects: 1) Assets contributed to the multi‑employer plan by one employer may be used to provide benefits to employees of other participating employers; 2) If a participating employer ceases its contributions to the plan, the unfunded obligations of the plan allocable to the withdrawing employer may be borne by the remaining participant employers and 3) If the Company withdraws from the multi‑employer pension plans in which it participates, the Company may be required to pay those plans an amount based on its allocable share of the underfunded status of the plan.

The following table presents information regarding the multi‑employer pension plans that are significant to the Company for the year ended December 31, 2014 and 2013, respectively:

(in millions)

Pension Fund

EIN/Pension Plan Number

Pension Protection Act
Zone Status⁽¹⁾2014

FIP/RP Status
Pending/Implemented⁽²⁾

Contributions of the Company 2014

Surcharge Imposed⁽³⁾

Expiration Date
of Collective
Bargaining Agreement

Year Contributions to Plan Exceeded More than 5 Percent of Total Contributions

United Furniture Workers Pension Fund A⁽⁴⁾

13-5511877-001

Red

Implemented

0.9

Yes, 10.0%

2016 and 2017

2013, 2014

Pension Plan of the National Retirement Fund

13-6130178-001

Red

Implemented

1.1

Yes, 10.0%

2016

N/A

Central States, Southeast & Southwest Areas Pension Plan

36-6044243-001

Red

Implemented

0.4

Yes, 10.0%

2015

N/A

(in millions)

Pension Fund

EIN/Pension Plan Number

Pension Protection Act
Zone Status⁽¹⁾ 2013

FIP/RP Status
Pending/Implemented⁽²⁾

Contributions of the Company 2013

Surcharge Imposed⁽³⁾

Expiration Date
of Collective
Bargaining Agreement

Year Contributions to Plan Exceeded More than 5 Percent of Total Contributions

United Furniture Workers Pension Fund A⁽⁴⁾

13-5511877-001

Red

Implemented

0.7

Yes, 10.0%

2014 and 2016

2013

Pension Plan of the National Retirement Fund

13-6130178-001

Red

Implemented

0.7

Yes, 10.0%

2014

N/A

(1)

The Pension Protection Act of 2006 ranks the funded status of multi-employer pension plans depending upon a plan’s current and projected funding. A plan is in the Red Zone (Critical) if it has a current funded percentage less than 65.0%. A plan is in the Yellow Zone (Endangered) if it has a current funded percentage of less than 80.0%, or projects a credit balance deficit within seven years. A plan is in the Green Zone (Healthy) if it has a current funded percentage greater than 80.0% and does not have a projected credit balance deficit within seven years. The zone status is based on the plan’s year end rather than the Company’s. The zone status listed above is based on information that the Company received from the plan and is certified by the plan’s actuary for the most recent year available.


(2)	Funding Improvement Plan or Rehabilitation Plan as defined in the Employment Retirement Security Act of 1974 has been implemented or is pending.


(3)	Indicates whether the Company paid a surcharge to the plan in the most current year due to funding shortfalls and the amount of the surcharge.


(4)	The Company represented more than 5.0% of the total contributions for the most recent plan year available.

Stockholders' Equity	12 Months Ended
Stockholders' Equity	Dec. 31, 2014
Stockholders' Equity Note [Abstract]
Stockholders' Equity	Stockholders' Equity Tempur Sealy International has 300.0 million authorized shares of common stock with $0.01 per share par value and 0.01 million authorized shares of preferred stock with $0.01 per share par value. The holders of the common stock are entitled to one vote for each share held of record on all matters submitted to a vote of stockholders. Subject to preferences that may be applicable to any outstanding preferred stock, holders of common stock are entitled to receive ratably such dividends as may be declared from time to time by the Board of Directors out of funds legally available for that purpose. In the event of liquidation, dissolution or winding up, the holders of common stock are entitled to share ratably in all assets remaining after payment of liabilities, subject to prior distribution rights of preferred stock, if any, then outstanding. The Board of Directors is authorized, subject to any limitations prescribed by law, without further vote or action by the stockholders, to issue from time to time shares of preferred stock in one or more series. Each such series of preferred stock will have such number of shares, designations, preferences, voting powers, qualifications, and special or relative rights or privileges as determined by the Board of Directors, which may include, among others, dividend rights, voting rights, redemption and sinking fund provisions, liquidation preferences, conversion rights and preemptive rights.

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 210

-SubTopic 10

-Section S99

-Paragraph 1

-Subparagraph (SX 210.5-02.29-31)

-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 2: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 505

-SubTopic 10

-Section 50

-Paragraph 6

-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21506-112644

Reference 3: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Regulation S-X (SX)

-Number 210

-Section 02

-Paragraph 29, 30, 31

-Article 5

Reference 4: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 310

-SubTopic 10

-Section S99

-Paragraph 2

-Subparagraph (SAB TOPIC 4.E)

-URI http://asc.fasb.org/extlink&oid=27010918&loc=d3e74512-122707

Reference 5: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 505

-SubTopic 10

-Section S99

-Paragraph 4

-Subparagraph (SAB TOPIC 4.C)

-URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187143-122770

Reference 6: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Regulation S-X (SX)

-Number 210

-Section 08

-Article 4

Reference 7: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Staff Accounting Bulletin (SAB)

-Number Topic 4

-Section C

Reference 8: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Staff Accounting Bulletin (SAB)

-Number Topic 4

-Section E

Reference 9: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 235

-SubTopic 10

-Section S99

-Paragraph 1

-Subparagraph (SX 210.4-08.(d),(e))

-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

Reference 10: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Glossary Preferred Stock

-URI http://asc.fasb.org/extlink&oid=6521494

Reference 11: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Regulation S-X (SX)

-Number 210

-Section 04

-Article 3

Reference 12: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 505

-SubTopic 10

-Section 50

-Paragraph 2

-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21463-112644

Reference 13: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 505

-SubTopic 10

-Section S99

-Paragraph 1

-Subparagraph (SX 210.3-04)

-URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187085-122770

Reference 14: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 505

-SubTopic 10

-Section 50

-Paragraph 3

-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644

Reference 15: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 505

-SubTopic 10

-Section 50

-Paragraph 11

-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21564-112644

Reference 16: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 505

-SubTopic 10

-Section 50

-Paragraph 5

-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21488-112644

Reference 17: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 505

-SubTopic 10

-Section 50

-Paragraph 4

-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21484-112644

Reference 18: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Regulation S-X (SX)

-Number 210

-Section 08

-Paragraph d

-Article 4

Reference 19: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 505

-SubTopic 30

-Section 50

-Paragraph 2

-URI http://asc.fasb.org/extlink&oid=6405834&loc=d3e23285-112656

+ Details

Other Items

12 Months Ended

Dec. 31, 2014

Other Items [Abstract]

Other Items

(a) Accrued expenses and other current liabilities.

Accrued expenses and other current liabilities consisted of the following:



	December 31,		December 31,
(in millions)	2014		2013
Wages and benefits	$	60.0	$	59.3
Advertising	41.6		29.7
Sales returns	32.3		28.7
Rebates	22.8		23.0
Warranty	16.1		14.9
Other	60.5		52.8
	$	233.3	$	208.4

(b) Accumulated other comprehensive loss.

Accumulated other comprehensive loss consisted of the following:



	Year Ended December 31,
(in millions)	2014			2013			2012
Foreign Currency Translation
Balance at beginning of period	$	(15.6	)	$	(5.0	)	$	(13.2	)
Other comprehensive (loss) income:
Foreign currency translation adjustments ⁽¹⁾	(38.4		)	(13.3		)	10.9
Tax benefit (expense) ⁽¹⁾	—			2.7			(2.7		)
Balance at end of period	$	(54.0	)	$	(15.6	)	$	(5.0	)

Interest Rate Swap Agreement
Balance at beginning of period	$	(1.4	)	$	(2.7	)	$	(1.6	)
Other comprehensive income:
Net change from period revaluations:	3.0			5.2			2.7
Tax expense	(1.2		)	(1.5		)	(0.5		)
Total other comprehensive income before reclassifications, net of tax	1.8			3.7			2.2
Net amount reclassified to earnings ⁽³⁾	(1.9		)	(3.2		)	(4.0		)
Tax benefit ⁽²⁾	0.8			0.8			0.7
Total amount reclassified from accumulated other comprehensive loss, net of tax	(1.1		)	(2.4		)	(3.3		)
Total other comprehensive income (loss)	0.7			1.3			(1.1		)
Balance at end of period	$	(0.7	)	$	(1.4	)	$	(2.7	)

Pension Benefits
Balance at beginning of period	$	3.2		$	—		$	—
Other comprehensive (loss) income:
Net change from period revaluations:	(9.0		)	5.2			—
Tax benefit (expense)	3.4			(2.0		)	—
Total other comprehensive income before reclassifications, net of tax	$	(5.6	)	$	3.2		$	—
Net amount reclassified to earnings	—			—			—
Tax benefit⁽²⁾	—			—			—
Total amount reclassified from accumulated other comprehensive income, net of tax	$	—		$	—		$	—
Total other comprehensive income	(5.6		)	(3.2		)	—
Balance at end of period	$	(2.4	)	$	3.2		$	—

Foreign Exchange Forward Contracts
Balance at beginning of period	$	—		$	—		$	—
Other comprehensive income:
Net change from period revaluations:	3.4			—			—
Tax expense	(0.9		)	—			—
Total other comprehensive income before reclassifications, net of tax	$	2.5		$	—		$	—
Net amount reclassified to earnings	(1.6		)	—			—
Tax benefit ⁽²⁾	0.4			—			—
Total amount reclassified from accumulated other comprehensive income, net of tax	$	(1.2	)	$	—		$	—
Total other comprehensive income	1.3			—			—
Balance at end of period	$	1.3		$	—		$	—


(1)	In 2014 and 2013, there were no tax impacts related to foreign currency translation adjustments and no amounts were reclassified to earnings. In 2012, a $2.7 million tax impact was recorded which reversed in 2013.


(2)	These amounts were included in the income tax provision on the accompanying Consolidated Statements of Income.


(3)	This amount was included in interest expense, net on the accompanying Consolidated Statements of Income.

Stock-based Compensation

12 Months Ended

Dec. 31, 2014

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Stock-based Compensation

Tempur Sealy International has two stock-based compensation plans which provide for grants of non-qualified and incentive stock options, stock appreciation rights, restricted stock and stock unit awards, performance shares, stock grants and performance based awards to employees, non-employee directors, consultants and Company advisors. The plan under which equity awards may be granted in the future is the 2013 Equity Incentive Plan (the "2013 Plan"). It is the policy of the Company to issue stock out of treasury shares upon issuance or exercise of share-based awards. The Company believes that awards and purchases made under these plans better align the interests of the plan participants with those of its stockholders.

The 2013 Plan was adopted on May 22, 2013 by the Company’s Board of Directors, and provides for grants of stock options to purchase shares of common stock to employees and directors of the company. The 2013 Plan may be administered by the Compensation Committee of the Board of Directors, by the Board directly, or, in certain cases, by an executive officer or officers of the Company designated by the Compensation Committee. The shares issued or to be issued under the 2013 Plan may be either authorized but unissued shares of the Company’s common stock or shares held by the Company in its treasury. Tempur Sealy International will issue a maximum of 5.1 million shares of common stock under the 2013 Plan, subject to certain adjustment provisions.

The Amended and Restated 2003 Equity Incentive Plan, as amended (the “2003 Plan”) was administered by the Compensation Committee of the Board of Directors, which, together with the Board of Directors, had the exclusive authority to administer the 2003 Plan, including the power to determine eligibility to receive awards, the types and number of shares of stock subject to the awards, the price and timing of awards and the acceleration or waiver of any vesting and performance of forfeiture restrictions, in each case subject to the terms of the 2003 Plan. Any of the Company’s employees, non-employee directors, consultants and Company advisors, as determined by the Compensation Committee, were eligible to be selected to participate in the 2003 Plan. Tempur Sealy International allowed a maximum of 11.5 million shares of its common stock under the 2003 Plan to be issued. In May 2013 the Company's Board of Directors adopted a resolution that prohibited further grants under the 2003 Plan.

In 2010, the Board of Directors approved the terms of a Long-Term Incentive Plan ("LTIP") established under the 2003 Plan. In 2013, the Board of Directors approved the terms of another Long-Term Incentive Plan established under the 2013 Plan. Awards under both Long-Term Incentive Plans have typically consisted of a mix of stock options and PRSUs. Shares with respect to the PRSUs will be granted and vest following the end of the applicable performance period and achievement of applicable performance metrics as determined by the Compensation Committee of the Board of Directors.

The Company’s stock-based compensation expense for the year ended December 31, 2014 included PRSUs, stock options, RSUs and DSUs. A summary of the Company’s stock-based compensation expense is presented below:



	December 31,
(in millions)	2014		2013		2012
PRSU expense (benefit)	$	3.5	$	3.0	$	(0.9	)
Stock option expense	7.0		8.3		4.4
RSU/DSU expense	2.9		5.6		2.2
Total stock-based compensation expense	$	13.4	$	16.9	$	5.7

The Company granted PRSUs during the years ended December 31, 2014, 2013 and 2012. Actual payout under the PRSUs is dependent upon the achievement of certain financial goals. The Company recorded a benefit in the accompanying Consolidated Statements of Income of $3.0 million and $10.3 million, for the years ended December 31, 2014 and 2012, respectively, after re-evaluation of the probability of meeting certain required performance goals and determining that the performance goals would not be met.

The following table shows the PRSUs granted under the 2013 Plan and LTIP during the year ended December 31, 2014:



(shares in millions)	Performance period	Target shares granted	Weighted-average fair value per share
Year ended 2015⁽¹⁾	January 1, 2014 – December 31, 2015	0.15	$	51.87
Year ended 2016⁽²⁾	January 1, 2014 - December 31, 2016	0.15	$	51.87


(1)	At the end of the performance period, the actual number of shares issuable can range from zero to 200.0% of the target shares granted, which is assumed to be 100.0%.


(2)	At the end of the performance period, the actual number of shares issuable can range from zero to 300.0% of the target shares granted, which is assumed to be 100.0%.

A summary of the Company’s PRSU activity and related information for the years ended December 31, 2014 and 2013 is presented below:



(shares in millions)	Shares		Weighted Average Grant Date Fair Value
Awards unvested at December 31, 2012	0.3		$	58.52
Granted	0.3		39.34
Vested	—		—
Forfeited	(0.3	)	56.92
Awards unvested at December 31, 2013	0.3		$	39.04
Granted	0.3		51.87
Vested	0.0		37.05
Forfeited	(0.3	)	39.38
Awards unvested at December 31, 2014	0.3		$	53.45

During the year ended December 31, 2014, PRSUs with an aggregate intrinsic value of $1.4 million were issued from treasury stock following the satisfaction of certain financial metrics over the one year performance period. The PRSUs were issued from treasury stock at 100.0% of the target award, the maximum payout. During the year ended December 31, 2013, PRSUs granted in 2010 with an aggregate intrinsic value of $14.9 million were issued from treasury stock following the satisfaction of certain financial metrics over the performance period. The PRSUs were issued from treasury stock at 282.0% of the target award, out of a maximum payout of 300.0%. The aggregate intrinsic value of PRSUs outstanding as of December 31, 2014 was $13.9 million.

The Company uses the Black-Scholes option pricing model to calculate the fair value of stock options granted. The assumptions used in the Black-Scholes pricing model for the years ended December 31, 2014, 2013 and 2012 are set forth in the following table. Expected volatility is based on the unbiased standard deviation of Tempur Sealy International’s common stock over the option term. The expected life of the options represents the period of time that the Company expects the options granted to be outstanding. The risk-free rate is based on the U.S. Treasury yield curve in effect at the time of the grant of the option for the expected term of the instrument. The dividend yield reflects an estimate of dividend payouts over the term of the award. The Company uses historical data to determine these assumptions.



	Year Ended
	December 31,
	2014	2013	2012
Expected volatility range of stock	56.7% - 66.5%	63.0% - 72.8%	49.0% - 73.0%
Expected life of option, range in years	2 - 4	2 - 3	2 - 4
Risk-free interest range rate	0.4% - 1.4%	0.3% - 0.6%	0.3% - 0.7%
Expected dividend yield on stock	0.6% - 0.7%	0.6% - 0.9%	0.0% - 1.3%

A summary of the Company’s unvested shares relating to stock options as of December 31, 2014 and 2013, and changes during the years ended December 31, 2014 and 2013, are presented below:



(shares in millions)	Shares		Weighted Average Grant Date Fair Value
Options unvested at December 31, 2012	0.9		$	23.49
Granted	0.6		39.77
Vested	(0.8	)	19.71
Forfeited	(0.1	)	39.62
Options unvested at December 31, 2013	0.6		$	42.16
Granted	0.2		52.08
Vested	(0.3	)	42.46
Forfeited	0.0		50.53
Options unvested at December 31, 2014	0.5		$	46.23

A summary of the Company’s stock option activity under the 2003 Plan and 2013 Plan for the years ended December 31, 2014 and 2013, is presented below:



(shares in millions)	Shares		Weighted Average Exercise Price		Weighted Average Remaining Contractual Term (Years)	Aggregate Intrinsic Value
Options outstanding at December 31, 2012	2.9		$	17.00
Granted	0.6		39.77
Exercised	(0.6	)	14.54
Terminated	(0.1	)	39.62
Options outstanding at December 31, 2013	2.8		$	21.73
Granted	0.2		52.08
Exercised	(0.2	)	20.82
Terminated	0.0		50.53
Options outstanding at December 31, 2014	2.8		$	24.18	5.13	$	84.3

Options exercisable at December 31, 2014	2.3		$	19.20	4.35	$	82.9

The aggregate intrinsic value of options exercised during the years ended December 31, 2014, 2013 and 2012 was $6.7 million, $17.1 million and $29.8 million, respectively.

A summary of the Company's RSU and DSU activity and related information for the years ended December 31, 2014 and 2013 is presented below:



(in millions, except release price and years)	Shares		Weighted Average Release Price		Aggregate Intrinsic Value
Awards outstanding at December 31, 2012	0.2		$	32.03
Granted	0.2		45.56
Vested	(0.2	)	30.49
Terminated	—		—
Awards outstanding at December 31, 2013	0.2		$	47.00
Granted	0.0		54.56
Vested	(0.1	)	44.47
Terminated	0.0		46.77
Awards outstanding at December 31, 2014	0.1		$	50.41	$	5.8

The Company granted 0.02 million DSUs and 0.01 million RSUs during the year ended December 31, 2014. At December 31, 2014, the Company had 0.1 million of unvested DSUs/RSUs. The aggregate intrinsic value of RSU and DSUs vested during the year ended December 31, 2014 was $5.5 million.

A summary of total unrecognized stock-based compensation expense based on current performance estimates related to the options, DSUs, RSUs and PRSUs granted during the year ended December 31, 2014 is presented below:



(in millions, except years)	December 31, 2014		Weighted Average Remaining Vesting Period (Years)
Unrecognized stock option expense	$	3.5	2.17
Unrecognized DSU/RSU expense	0.8		2.11
Unrecognized PRSU expense	9.2		1.56
Total unrecognized stock-based compensation expense	$	13.5	1.76

Cash received from options exercised under all stock-based compensation plans, including cash received from options issued from treasury shares for the years ended December 31, 2014, 2013 and 2012 was $4.3 million, $8.7 million, and $11.4 million, respectively.

- Definition

The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details.

+ References+ Details

Commitments and Contingencies

12 Months Ended

Dec. 31, 2014

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

(a) Lease Commitments. The Company has various operating leases that call for annual rental payments due in equal monthly installments and a lease with a rent free occupancy period. The Company’s policy is to recognize expense for lease payment, including those with escalating provisions and rent free periods, on a straight-line basis over the lease term. Operating lease expenses were $32.3 million, $25.5 million, and $9.5 million for the years ended December 31, 2014, 2013 and 2012, respectively.

Future minimum lease payments at December 31, 2014 under these non-cancelable leases are as follows:



(in millions)
Year Ended December 31,
2015	$	29.1
2016	27.0
2017	24.4
2018	21.3
2019	15.0
Thereafter	44.4
	$	161.2

The Company has the option to renew certain plant operating leases, with the longest renewal period extending through 2043. Certain of the operating leases provide for increased rent through increases in general price levels. The Company recognizes rent expense in these situations on a straight-line basis over the lease term.

(b) Purchase Commitments. The Company will, from time to time, enter into limited purchase commitments for the purchase of certain raw materials. Amounts committed under these programs are not significant to the Company as of December 31, 2014 and December 31, 2013.

(c) Norfolk County Retirement System, Individually and on behalf of all others similarly situated, Plaintiff v. Tempur-Pedic International Inc., Mark A. Sarvary and Dale E. Williams; filed June 20, 2012

Arthur Benning, Jr., Individually and on behalf of all others similarly situated, Plaintiff v. Tempur-Pedic International Inc., Mark A. Sarvary and Dale E. Williams; filed June 25, 2012

On June 20 and 25, 2012, the above suits were filed against the Company and two named executive officers in the United States District Court for the Eastern District of Kentucky, purportedly on behalf of a proposed class of stockholders who purchased the Company’s stock between January 25, 2012 and June 5, 2012. The complaints assert claims under Sections 10(b) and 20(a) of the Exchange Act, alleging, among other things, false and misleading statements and concealment of material information concerning the Company’s competitive position, projected net sales, earnings per diluted share and related financial performance for the Company’s 2012 fiscal year. The plaintiffs seek damages, interest, costs, attorney’s fees, expert fees and unspecified equitable/injunctive relief. On November 2, 2012, the Court consolidated the two lawsuits and on March 6, 2013, plaintiffs filed a consolidated complaint. On March 31, 2014, the Court issued an Order granting the Company’s motion to dismiss with prejudice the consolidated complaint. The Court issued its memorandum of opinion and entered final judgment on May 23, 2014. On June 6, 2014, the plaintiffs filed a notice of appeal. The Company intends to vigorously defend against the claims. The outcome of these matters is uncertain, however, and although the Company does not currently expect to incur a loss with respect to these matters, the Company cannot currently predict the manner and timing of the resolution of the suits, an estimate of a range of losses or any minimum loss that could result in the event of an adverse judgment in this suit, or whether the Company’s applicable insurance policies will provide sufficient coverage for these claims. Accordingly, the Company can give no assurance that these matters will not have a material adverse effect on the Company’s financial position or results of operations.

(d) Sealy Mattress Company of NJ, Inc., David Hertz, individually, as trustee of, respectively, the Allison Lindsay Hertz Trust, the Samuel Douglas Hertz Trust, the Sydney Lauren Hertz Trust, the U/A DTD 08/21/97 Andrew Michael Marcus Trust, the U/A DTD 08/21/97 Julia Robyn Marcus Trust, and the U/A DTD 08/21/97 James Daniel Marcus Trust, and as executor of the Estate of Walter Hertz, Lisa Marcus, Rose Naiman, Michael Shoobs, and Diane Shoobs, individually and as custodian of the Robert S. Shoobs UTMA NJ v. Sealy Corporation, filed June 27, 2013. With respect to the Sealy Acquisition, holders of approximately 3.1 million shares of Sealy common stock sent notices to Sealy purporting to exercise their appraisal rights in accordance with the Merger Agreement executed on September 26, 2012. In order to preserve these appraisal rights, any such former stockholder was required to commence an appraisal proceeding in the Delaware courts within 120 days after March 18, 2013. Sealy has expressly reserved its rights to contest that any or all of such notices were not delivered timely or otherwise not in the form required under Delaware law. On June 27, 2013, an appraisal proceeding was commenced in the Delaware Court of Chancery (the “Appraisal Action”). Sealy will be required to pay the court-determined fair value of the Sealy common stock formerly held by the former Sealy stockholders seeking the appraisal, plus interest at the statutory rate. This could impact the Company’s financial condition and liquidity. The Company believes that the merger consideration was fair and the appraised value should be equal to or less than the merger consideration and, therefore, the case lacks merit. The Company intends to defend against the claims vigorously. This matter is at a very preliminary stage, and the outcome is uncertain. As a result, the Company is unable to reasonably estimate the possible loss or range of losses, if any, arising from this litigation, or whether the Company’s applicable insurance policies will provide sufficient coverage for these claims

(e) Alvin Todd, and Henry and Mary Thompson, individually and on behalf of all others similarly situated, Plaintiffs v. Tempur Sealy International, Inc., formerly known as Tempur-Pedic International, Inc. and Tempur-Pedic North America, LLC, Defendants; filed October 25, 2013

On October 25, 2013, a suit was filed against Tempur Sealy International and one of its domestic subsidiaries in the United States District Court for the Northern District of California, purportedly on behalf of a proposed class of “consumers” as defined by Cal. Civ. Code § 1761(d) who purchased, not for resale, a Tempur-Pedic mattress or pillow in the State of California. On November 19, 2013, the Company was served for the first time in the case but with an amended petition adding additional class representatives for additional states. The purported classes seek certification of claims under applicable state laws.

The complaint alleges that the Company engaged in unfair business practices, false advertising, and misrepresentations or omissions related to the sale of certain products. The plaintiffs seek restitution, injunctive relief and all other relief allowed under applicable state laws, interest, attorneys’ fees and costs. The purported classes do not seek damages for physical injuries. The Company believes the case lacks merit and intends to defend against the claims vigorously. This matter is at a very preliminary stage, and the outcome is uncertain. As a result, the Company is unable to reasonably estimate the possible loss or range of losses, if any, arising from this litigation, or whether the Company’s applicable insurance policies will provide sufficient coverage for these claims. Accordingly, the Company can give no assurance that this matter will not have a material adverse effect on the Company’s financial position or results of operations.

(f) German Regulatory Investigation. The German Federal Cartel Office (FCO) has conducted unannounced inspections of the premises of several mattress wholesaler/manufacturers including the Company's German subsidiary. The order permitting the inspection and collection of records alleged “vertical price fixing”. The FCO's review is ongoing but the Company has yet to receive any statement of objections regarding any alleged claims against the Company. If claims are asserted by the FCO, the Company intends to defend against the claims vigorously. The outcome of the FCO's review is uncertain; however, given the inherent uncertainties involved, the outcome of this matter cannot be predicted and the amount of any potential loss cannot be reasonably estimated. A negative outcome in this case could have a material adverse effect on the Company.

(g) Environmental. The Company is currently conducting an environmental cleanup at a formerly owned facility in South Brunswick, New Jersey pursuant to the New Jersey Industrial Site Recovery Act. Sealy and one of its subsidiaries are parties to an Administrative Consent Order issued by the New Jersey Department of Environmental Protection. Pursuant to that order, Sealy and its subsidiary agreed to conduct soil and groundwater remediation at the property. The Company does not believe that its manufacturing processes were the source of contamination. The Company sold the property in 1997. The Company retained primary responsibility for the required remediation. Previously, the Company removed and disposed of contaminated soil from the site with the New Jersey Department of Environmental Protection approval, and the Company has installed a groundwater remediation system on the site. During 2005, with the approval of the New Jersey Department of Environmental Protection, the Company removed and disposed of sediment in Oakeys Brook adjoining the site. The Company continues to monitor ground water at the site. During 2012, with the approval of the New Jersey Department of Environmental Protection, the Company commenced the removal and disposal of additional contaminated soil from the site. The Company has recorded a reserve as a component of other accrued expenses and other noncurrent liabilities in the accompanying Consolidated Balance Sheets as of December 31, 2014 for $2.5 million associated with this remediation project.

The Company has also undertaken a remediation of soil and groundwater contamination at an inactive facility located in Oakville, Connecticut. Although the Company is conducting the remediation voluntarily, it obtained Connecticut Department of Energy and Environmental Protection (“DEEP”) approval of the remediation plan. In 2012, the Company submitted separate closure reports to the Connecticut DEEP for the lower portion of the site and the upper portion of the site. The Connecticut DEEP approved the Company’s closure report for the upper portion of the site and also gave conditional approval to the Company’s closure report for the lower portion of the site. The Company is continuing to work with the Connecticut DEEP and is performing additional testing to obtain closure for the lower portion of the site. The Company has recorded a liability of approximately $0.1 million associated with the completion of the closure of its remediation efforts at the site. The Company does not believe the contamination on this site is attributable to the Company’s operations.

The Company cannot predict the ultimate timing or costs of the South Brunswick and Oakville environmental matters. Based on facts currently known, the Company believes that the accruals recorded are adequate and does not believe the resolution of these matters will have a material effect on the financial position or future operations of the Company. However, in the event of an adverse decision by the agencies involved, or an unfavorable result in the New Jersey natural resources damages matter, these matters could have a material effect on the Company’s financial position or results of operations.

In 1998, the Company sold an inactive facility located in Putnam, Connecticut. In 2012, the Company received a letter from the attorney for the current owner of that property claiming that the Company may have some responsibility for an environmental condition on the property. The Company continues to investigate this matter, but intends to vigorously defend the claim of the current owner against the Company.

(h) Income Tax Assessments. The Company has received income tax assessments from the Danish Tax Authority (“SKAT”). The Company believes it has meritorious defenses to the proposed adjustments and will oppose the assessments, as necessary in the appropriate Danish venue. The Company believes the litigation process to reach a final resolution of this matter could potentially extend over the next five years. If the Company is not successful in defending our position that the Company owes no additional taxes, the Company could be required to pay a significant amount to SKAT, which could impair or reduce our liquidity and profitability. For a description of these assessments and additional information with respect to these assessments and the various related legal proceedings, see Note 14, “Income Taxes” in our Consolidated Financial Statements included in Part II, ITEM 8 of this Report.

(i) Other. The Company is involved in various other legal proceedings incidental to the operations of its business. The Company believes that the outcome of all such pending legal proceedings in the aggregate will not have a material adverse effect on its business, financial condition, liquidity, or operating results.

- Definition

The entire disclosure for commitments and contingencies.

+ References+ Details

Income Taxes

12 Months Ended

Dec. 31, 2014

Income Tax Disclosure [Abstract]

Income Taxes

The Company’s effective income tax provision differs from the amount calculated using the statutory U.S. federal income tax rate, principally due to the following:



	Year Ended December 31,
	2014					2013					2012
(dollars in millions)	Amount			Percentage of Income Before Income Taxes		Amount			Percentage of Income Before Income Taxes		Amount			Percentage of Income Before Income Taxes
Statutory U.S. federal income tax	$	61.2		35.0	%	$	44.8		35.0	%	$	80.2		35.0	%
State income taxes, net of federal benefit	1.1			0.6	%	1.7			1.3	%	4.5			2.0	%
Foreign repatriation, net of foreign tax credits	13.5			7.7	%	(16.0		)	(12.6	)%	48.1			21.0	%
Foreign tax differential	(12.6		)	(7.2	)%	(12.3		)	(9.6	)%	(9.7		)	(4.2	)%
Change in valuation allowances	(17.7		)	(10.0	)%	20.4			15.9	%	(2.8		)	(1.2	)%
Uncertain tax positions	10.9			6.1	%	4.7			3.7	%	2.6			1.1	%
Subpart F income	1.9			1.1	%	1.5			1.2	%	4.1			1.8	%
Manufacturing deduction	(3.7		)	(2.1	)%	0.1			—	%	(3.8		)	(1.7	)%
Goodwill on disposal of business	7.5			4.2	%	—			—	%	—			—	%
Permanent and other	2.8			1.7	%	4.2			3.5	%	(0.8		)	(0.4	)%
Effective income tax provision	$	64.9		37.1	%	$	49.1		38.4	%	$	122.4		53.4	%

Subpart F income represents interest and royalties earned by a foreign subsidiary as well as sales made by certain foreign subsidiaries outside of their country of incorporation. Under the Internal Revenue Code of 1986, as amended (the "Code"), such income is taxable to Tempur Sealy International as if earned directly by Tempur Sealy International.

In conjunction with the Sealy Acquisition, the Company repatriated substantially all of its current and accumulated foreign earnings associated with the legacy Tempur foreign subsidiaries in a taxable transaction. The Company had previously tax effected those earnings and at December 31, 2012 had recorded a $48.1 million deferred tax liability on such earnings. As a result of the Sealy Acquisition, the Company recognized the benefit of certain foreign tax credit attributes associated with Sealy’s foreign subsidiaries’ earnings. These foreign tax credits could not be taken into account in calculating the Company’s tax on the book to tax basis difference of its foreign subsidiaries until the Sealy Acquisition closed. As a result of the taxable transaction and taking into consideration the application of these foreign tax credits, as of December 31, 2014 the Company has recognized cumulative tax on the repatriation transaction of approximately $63.9 million. At December 31, 2014, the Company’s tax basis in its top tier foreign subsidiary exceeds the Company’s book basis. Accordingly, no deferred tax has been recorded related to this basis difference as it is not apparent that the difference will reverse in the foreseeable future. As it relates to the book to tax basis difference with respect of the stock of each of the Company’s lower tier foreign subsidiaries, as a general matter, the book basis exceeds the tax basis in the hands of the foreign subsidiary shareholder. By operation of the tax laws of the various countries in which such subsidiaries are domiciled, earnings of lower tier foreign subsidiaries are not subject to tax, in all material respects, when distributed to the foreign shareholder. It is the Company’s intent that the earnings of each lower tier foreign subsidiary, with the exception of its Danish subsidiary, will be permanently reinvested in its own operations. As it relates to the Danish subsidiary, its earnings may be distributed without any income tax impact in any case. Thus, no tax is provided for with respect to the book to tax basis difference of its stock.

The Company has received income tax assessments from SKAT with respect to the tax years 2001 through 2008 relating to the royalty paid by one of Tempur Sealy International’s U.S. subsidiaries to a Danish subsidiary. The royalty is paid by the U.S. subsidiary for the right to utilize certain intangible assets owned by the Danish subsidiary in the U.S. production processes. In its assessment, SKAT asserts that the amount of royalty rate paid by the U.S. subsidiary to the Danish subsidiary is not reflective of an arms-length transaction. Accordingly, the tax assessment received from SKAT is based, in part, on a 20% royalty rate which is substantially higher than that historically used or deemed appropriate by the Company.

The 2008 income tax assessment was received in March 2014. The cumulative tax assessment for all years through 2008 is approximately $215.1 million including interest and penalties. The Company filed timely protests with the Danish National Tax Tribunal (the “Tribunal”) challenging the tax assessments. The Tribunal formally agreed to place the Danish tax litigation on hold pending the outcome of a Bilateral Advance Pricing Agreement (“Bilateral APA”) between the United States and SKAT. A Bilateral APA involves an agreement between the Internal Revenue Service (“IRS”) and the taxpayer, as well as a negotiated agreement with one or more foreign competent authorities under applicable income tax treaties. During the third quarter of 2008, the Company filed the Bilateral APA with the IRS and SKAT. SKAT and the IRS met several times since 2011, most recently in February 2013, to discuss the matter. At the conclusion of the February 2013 meeting, the IRS and SKAT concluded that a mutually acceptable agreement on the matter could not be reached and, as a result, the Bilateral APA process was terminated. The matter is now before the Tribunal. The Tribunal is a branch of SKAT that is independent of the discussions and negotiations that have taken place to date. If the Tribunal does not rule to the satisfaction of one or both parties, the party seeking redress may choose to litigate the issue in the Danish court system. In 2013, the Company was notified by SKAT that SKAT granted the deferral to 2017 of the requirement to post a cash deposit or other form of security for taxes that have been assessed for the period 2001 through 2007. During the quarter ended June 30, 2014, the Company was granted a deferral to 2018 of the requirement to post a cash deposit or other form of security for taxes that have been assessed for 2008. The Company believes it has meritorious defenses to the proposed adjustments and will oppose the assessments before the Tribunal and in the Danish courts, as necessary. The impact of terminating the Bilateral APA program has been considered by the Company in its December 31, 2014 estimate of unrecognized tax benefits.

The Company maintains an uncertain tax position associated with this matter, the amount of which is based on a royalty methodology and royalty rates that the Company considers to be reflective of arm’s length transactions. It is reasonably possible the amount of the recognized tax benefits may change in the next twelve months. An estimate of the amount of such change cannot be made at this time. If the Company is not successful in defending its position before the Tribunal or in the Danish courts, the Company could be required to pay significant amounts to SKAT, which could impair or reduce its liquidity and profitability. In conjunction with the tax examination discussed below, during the year ended December 31, 2013 the Company received correspondence from SKAT requesting information regarding the royalty for the years 2009 through 2011. The correspondence indicated that SKAT would be evaluating the royalty paid for each of the years under examination in addition to other issues normally evaluated in a tax examination. The Company has responded to SKAT’s request for information. During the three months ended December 31, 2013, the Company and SKAT agreed that the examination of the royalty issue for the years 2009 - 2011 would be placed on hold pending the outcome of the Tribunal process relating to the years 2001 through 2008. As it relates to SKAT's examination of other items, particularly transactions between the Company’s Danish subsidiary and its foreign distribution subsidiaries, the Company believes it has meritorious defenses for all items reported in the Danish income tax returns. Through December 31, 2014, the Company has not been contacted by SKAT in response to the information provided by the Company.

The aggregate amount of uncertain tax benefits for all matters as of December 31, 2014 and 2013 were $47.6 million and $26.1 million, respectively. The unrecognized tax benefits as of December 31, 2014 and 2013 were $44.6 million and $22.2 million, respectively, which would impact the effective rate if recognized. The Company had approximately $10.3 million and $11.0 of accrued interest and penalties at December 31, 2014 and December 31, 2013, respectively.

The Company or one of its subsidiaries files income tax returns in the U.S. federal jurisdiction, and various states and foreign jurisdictions. During the twelve months ended December 31, 2013, the Company concluded the tax examination of the U.S. federal income tax return for the years 2008 and 2009. During 2014 the Company was advised by the IRS that the years 2010 and 2011 would not be examined but that 2012 would be examined. That examination is in progress. With few exceptions, the Company is no longer subject to tax examinations by the U.S. state and local municipalities for periods prior to 2006, and in non-U.S. jurisdictions for periods prior to 2001. As it relates to Sealy for years prior to the Sealy Acquisition, Sealy or one of its subsidiaries was required to file income tax returns in the U.S. federal jurisdiction, and various states and foreign jurisdictions. Sealy’s U.S. federal income tax returns and with few exceptions its foreign income tax returns are no longer subject to examination for years prior to 2006. Generally Sealy’s state and local jurisdiction income tax returns are no longer subject to examination for years prior to 2010.

Additionally, the Company is currently under examination by various tax authorities around the world. The Company anticipates it is reasonably possible an increase or decrease in the amount of unrecognized tax benefits could be made in the next twelve months as a result of the statute of limitations expiring and/or the examinations being concluded on these returns. However, the Company does not presently anticipate that any increase or decrease in unrecognized tax benefits will be material to the consolidated financial statements.

The following sets forth the amount of income or (loss) before income taxes attributable to each of the Company’s geographies for the years ended December 31, 2014, 2013 and 2012:



	Year Ended December 31,
(in millions)	2014		2013			2012
Income before income taxes:
United States	$	46.9	$	(4.5	)	$	126.2
Rest of the world	128.0		132.5			103.0
	$	174.9	$	128.0		$	229.2

U.S. GAAP prescribes a recognition threshold and measurement attribute for the accounting and financial statement disclosure of tax positions taken or expected to be taken in a tax return. The evaluation of a tax position is a two-step process. The first step requires the Company to determine whether it is more likely than not that a tax position will be sustained upon examination based on the technical merits of the position. The second step requires the Company to recognize in the financial statements each tax position that meets the more likely than not criteria, measured at the largest amount of benefit that has a greater than 50.0% likelihood of being realized. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:



(in millions)
Balance as of December 31, 2012	$	12.9
Additions attributable to Sealy on date of acquisition	9.2
Additions based on tax positions related to 2013	2.3
Additions for tax positions of prior years	7.2
Settlements of uncertain tax positions with tax authorities	(5.5		)
Balance as of December 31, 2013	26.1
Additions based on tax positions related to 2014	24.3
Additions for tax positions of prior years	0.5
Expiration of statutes of limitations	(3.2		)
Settlements of uncertain tax positions with tax authorities	(0.1		)
Balance as of December 31, 2014	$	47.6

The amount of unrecognized tax benefits that would impact the effective tax rate if recognized would be approximately $47.6 million. Interest and penalties related to unrecognized tax benefits are recorded in income tax expense. During the years ended December 31, 2014, 2013 and 2012, the Company recognized approximately $1.9 million, $1.8 million, and $3.0 million in interest and penalties, respectively, in income tax expense. The Company had approximately $10.3 million, $11.0 million, and $5.8 million of accrued interest and penalties at December 31, 2014, 2013, and 2012, respectively.

The Company has the following gross income tax attributes available at December 31, 2014 and 2013 respectively (in millions):



	2014		2013
U.S. federal net operating loss (“FedNOLs”)	$	—	$	19.6
State net operating losses (“SNOLs”)	145.3		135.6
U.S. federal foreign tax credits (“FTCs”)	7.8		20.4
U.S. state income tax credits ("SITCs")	1.6		0.7
Foreign net operating losses (“FNOLs”)	44.2		67.1
Charitable contribution carryover ("CCCs")	8.4		—

The SNOLs, FTCs, FNOLs, SITCs and CCCs generally expire in 2021, 2023, 2023, 2023 and 2019, respectively.

Management believes that, based on a number of factors, the available objective evidence creates sufficient uncertainty regarding the realizability of certain of the SNOLs, FTCs, SITCs, FNOLs, CCCs and certain other deferred tax assets related to certain foreign operations (together, the “Tax Attributes”). In assessing the realizability of deferred tax assets (including the Tax Attributes), management considers whether it is more likely than not that some portion of all of such deferred tax assets will not be realized. Accordingly, the Company has established a valuation allowance for Tax Attributes. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which the temporary differences become deductible or creditable. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income and tax planning strategies in making this assessment. Based upon the level of historical taxable income and projections for future taxable income, management believes it is more likely than not the Company will realize the benefits of the deferred tax assets, other than those related to some or all of the Tax Attributes as discussed above. However, there can be no assurance that such assets will be realized if circumstances change.

The income tax provision includes federal, state, and foreign income taxes currently payable and those deferred or prepaid because of temporary differences between financial statement and tax bases of assets and liabilities. The Company records income taxes under the liability method. Under this method, deferred income taxes are recognized for the estimated future tax effects of differences between the tax bases of assets and liabilities and their financial reporting amounts based on enacted tax laws.

The income tax provision consisted of the following:



	Year Ended December 31,
(in millions)	2014			2013			2012
Current provision
Federal	$	50.7		$	48.6		$	49.9
State	4.5			7.3			7.8
Foreign	36.9			42.3			26.3
Total current	$	92.1		$	98.2		$	84.0
Deferred provision
Federal	$	(25.2	)	$	(47.0	)	$	37.1
State	(1.2		)	0.4			4.2
Foreign	(0.8		)	(2.5		)	(2.9		)
Total deferred	(27.2		)	(49.1		)	38.4
Total income tax provision	$	64.9		$	49.1		$	122.4

The net deferred tax assets and liabilities recognized in the accompanying Consolidated Balance Sheets consisted of the following:



	December 31,
(in millions)	2014			2013
Deferred tax assets:
Stock-based compensation	$	12.4		$	10.0
Accrued expenses and other	57.9			53.7
Net operating losses, foreign tax credits and charitable contribution carryforward	30.6			55.3
Inventories	4.5			4.6
Intangible assets	14.5			9.0
Property, plant and equipment	4.0			3.9
Total deferred tax assets	123.9			136.5
Valuation allowances	(21.7		)	(39.4		)
Total net deferred tax assets	$	102.2		$	97.1
Deferred tax liabilities:
Transaction costs	$	(258.1	)	$	(261.9	)
Property, plant and equipment	(45.7		)	(62.5		)
Accrued expenses and other	(4.5		)	(4.3		)
Total deferred tax liabilities	(308.3		)	(328.7		)
Net deferred tax liabilities	$	(206.1	)	$	(231.6	)

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References+ Details

Major Customers	12 Months Ended
Major Customers	Dec. 31, 2014
Risks and Uncertainties [Abstract]
Major Customers	Major Customers The top five customers accounted for approximately 34.9%, 27.5% and 24.0% of the Company’s net sales for the years ended December 31, 2014, 2013 and 2012, respectively. Net sales from one customer (Mattress Firm Holding Corp.) represented more than 10.0% of net sales for the year ended December 31, 2014, which are recognized in the Tempur North America and Sealy segments. The top five customers also accounted for approximately 32.0% and 26.4% of accounts receivable as of December 31, 2014 and 2013, respectively.

- Definition

The entire disclosure for any concentrations existing at the date of the financial statements that make an entity vulnerable to a reasonably possible, near-term, severe impact. This disclosure informs financial statement users about the general nature of the risk associated with the concentration, and may indicate the percentage of concentration risk as of the balance sheet date.

+ References+ Details

Redeemable Non-controlling Interest	12 Months Ended
Redeemable Non-controlling Interest	Dec. 31, 2014
Noncontrolling Interest [Abstract]
Redeemable Non-controlling Interest	Redeemable Non-controlling Interest The Company is party to a put and call arrangement with respect to the common securities that represent the 55.0% non-controlling interest in Comfort Revolution. The call arrangement may be exercised by the Company on June 12, 2017. Likewise, the put arrangement may be exercised by Comfort Revolution on June 12, 2018. The redemption value for both the put and the call arrangement is equal to 7.5 times EBITDA, as defined in the related LLC agreement, of Comfort Revolution for the preceding 12 months, adjusted for net debt outstanding and multiplied by the 55.0% ownership interest not held by the Company. Due to the existing put and call arrangements, the non-controlling interest is considered to be redeemable in accordance with the related authoritative accounting guidance and is recorded on the balance sheet as a redeemable non-controlling interest outside of permanent equity. The redeemable non-controlling interest is recognized at the higher of 1) the accumulated earnings associated with the non-controlling interest or 2) the redemption value as of the balance sheet date. The Company recorded redeemable non-controlling interest using the accumulated earnings basis associated with the non-controlling interest as of December 31, 2014 and 2013.

- Definition

The entire disclosure for noncontrolling interest in consolidated subsidiaries, which could include the name of the subsidiary, the ownership percentage held by the parent, the ownership percentage held by the noncontrolling owners, the amount of the noncontrolling interest, the location of this amount on the balance sheet (when not reported separately), an explanation of the increase or decrease in the amount of the noncontrolling interest, the noncontrolling interest share of the net Income or Loss of the subsidiary, the location of this amount on the income statement (when not reported separately), the nature of the noncontrolling interest such as background information and terms, the amount of the noncontrolling interest represented by preferred stock, a description of the preferred stock, and the dividend requirements of the preferred stock.

+ References+ Details

Earnings Per Common Share

12 Months Ended

Dec. 31, 2014

Earnings Per Share [Abstract]

Earnings Per Common Share



	Year Ended December 31,
(in millions, except per common share amounts)	2014		2013		2012
Numerator:
Net income attributable to Tempur Sealy International, Inc.	$	108.9	$	78.6	$	106.8

Denominator:
Denominator for basic earnings per common share—weighted average shares	60.8		60.3		61.5
Effect of dilutive securities:
Employee stock based compensation	1.3		1.3		1.4
Denominator for diluted earnings per common share—adjusted weighted average shares	62.1		61.6		62.9

Basic earnings per common share	$	1.79	$	1.30	$	1.74

Diluted earnings per common share	$	1.75	$	1.28	$	1.70

The Company excluded 0.3 million, 0.3 million and 0.2 million shares issuable upon exercise of outstanding stock options for the years ended December 31, 2014, 2013, and 2012, respectively, from the diluted earnings per common share computation because their exercise price was greater than the average market price of Tempur Sealy International’s common stock or they were otherwise anti-dilutive. Holders of non-vested stock-based compensation awards do not have voting rights or rights to receive any dividends on the shares covered by the awards.

- Definition

The entire disclosure for earnings per share.

+ References+ Details

Business Segment Information

12 Months Ended

Dec. 31, 2014

Segment Reporting [Abstract]

Business Segment Information

The Company operates in three business segments: Tempur North America, Tempur International and Sealy. These reportable segments are strategic business units that are managed separately. The Tempur North America reportable segment consists of the two U.S. manufacturing facilities and the Tempur North America distribution subsidiaries. The Tempur International reportable segment consists of the manufacturing facility in Denmark, whose customers include all of the distribution subsidiaries and third party distributors outside the Tempur North America reportable segment. The Sealy reportable segment consists of company-owned and operated bedding and component manufacturing facilities located around the world, along with distribution subsidiaries, joint ventures, and licensees. The Sealy reportable segment became a new reportable segment in 2013 as a result of the Sealy Acquisition. The Company evaluates segment performance based on net sales and operating income.

The Company has historically included in its Tempur North America reportable segment certain corporate operating expenses. Immediately following the Sealy acquisition in March 2013, the Company began to transfer oversight of certain Sealy reportable segment corporate functions to personnel within the Tempur North America reportable segment. The transition has continued throughout 2014. As a result, the majority of corporate operating expenses are included in the Tempur North America reportable segment and a portion of corporate operating expenses are included in the Sealy segment.

The transition of the Company's corporate functions has increased operating expenses in the Tempur North America reportable segment and decreased operating expenses in the Sealy reportable segment. Corporate operating expenses included in the Tempur North America reportable segment for the year ended December 31, 2014, 2013 and 2012 were $75.5 million, $83.0 million and $58.0 million, respectively. Corporate operating expenses included in the Sealy reportable segment for the year ended December 31, 2014 and 2013 were $22.0 million and $26.9 million, respectively. There were no material allocations of corporate operating expenses from the Tempur North America reportable segment to the Tempur International or Sealy reportable segments during the years ended December 31, 2014, 2013 and 2012.

Effective January 1, 2015, the Company realigned its organizational structure. As a result of these changes, information that our chief operating decision maker regularly reviews for purposes of allocating resources and assessing performance changed. Therefore, beginning in fiscal year 2015, the Company will report its financial reporting based on new reportable segments: North America and International. Corporate operating expenses will not be included in either of the reportable segments and will be presented separately as a reconciling item to consolidated results.

The Company’s Tempur North America, Tempur International and Sealy reportable segment assets include investments in subsidiaries which are appropriately eliminated in the Company’s accompanying Consolidated Financial Statements. The remaining inter-segment eliminations are comprised of intercompany accounts receivable. The effect of the elimination of the investments in subsidiaries is included in the inter-segment eliminations as shown below.

The following table summarizes total assets by reportable segment:



	December 31,
(in millions)	2014			2013
Tempur North America	$	2,431.4		$	2,110.7
Tempur International	463.1			477.7
Sealy	2,000.6			1,956.6
Inter-segment eliminations	(2,232.5		)	(1,815.1		)
Total assets	$	2,662.6		$	2,729.9

The following table summarizes long-lived assets by reportable segment:



	December 31,
(in millions)	2014		2013
Tempur North America	$	137.1	$	132.8
Tempur International	49.2		53.2
Sealy	169.3		225.6
Total long lived assets	$	355.6	$	411.6

The following table summarizes long-lived assets by geographic region:



	Year Ended December 31,
(in millions)	2014		2013
United States	$	287.3	$	335.9
Canada	8.0		9.3
Other International	60.3		66.4
	$	355.6	$	411.6

Total International	$	68.3	$	75.7

The following table summarizes net sales by geographic region:



	Year Ended December 31,
(in millions)	2014		2013		2012
United States	$	2,188.7	$	1,736.8	$	923.4
Canada	216.4		190.2		40.8
Other International	584.7		537.3		438.7
	$	2,989.8	$	2,464.3	$	1,402.9

Total International	$	801.1	$	727.5	$	479.5

The following table summarizes reportable segment information:



	Year Ended December 31,
(in millions)	2014		2013		2012
Net sales to external customers:
Tempur North America
Bedding	$	930.5	$	830.4	$	882.3



Other products	62.7			79.6			82.0
	$	993.2		$	910.0		$	964.3

Tempur International
Bedding	$	354.7		$	327.7		$	332.4
Other products	117.3			111.9			106.2
	$	472.0		$	439.6		$	438.6

Sealy
Bedding	$	1,441.3		$	1,040.3		$	—
Other products	83.3			74.4			—
	$	1,524.6		$	1,114.7		$	—
	$	2,989.8		$	2,464.3		$	1,402.9

Inter-segment sales:
Tempur North America	$	3.8		$	0.2		$	0.9
Tempur International	0.6			0.6			1.5
Sealy	22.8			5.9			—
Intercompany eliminations	(27.2		)	(6.7		)	(2.4		)
	$	—		$	—		$	—

Gross profit:
Tempur North America	$	413.9		$	392.7		$	449.3
Tempur International	274.9			269.8			265.3
Sealy	461.6			352.4			—
	$	1,150.4		$	1,014.9		$	714.6

Operating income:
Tempur North America	$	84.9		$	67.6		$	144.4
Tempur International	91.6			107.5			103.9
Sealy	99.8			68.7			—
	$	276.3		$	243.8		$	248.3

Income (loss) before income taxes:
Tempur North America	$	19.8		$	(33.8	)	$	126.2
Tempur International	88.5			102.6			103.0
Sealy	66.6			59.2			—
	$	174.9		$	128.0		$	229.2

Depreciation and amortization (including stock-based compensation amortization):
Tempur North America	$	31.7		$	42.0		$	30.6
Tempur International	13.7			12.8			11.4
Sealy	44.3			36.7			—
	$	89.7		$	91.5		$	42.0

Intercompany royalties:
Tempur North America	$	6.1		$	5.8		$	12.7
Tempur International	(6.1		)	(5.8		)	(12.7		)



Sealy	—		—		—
	$	—	$	—	$	—

Capital expenditures:
Tempur North America	$	20.2	$	20.7	$	36.8
Tempur International	14.4		10.1		13.7
Sealy	12.9		9.2		—
	$	47.5	$	40.0	$	50.5

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 280

-SubTopic 10

-Section 50

-Paragraph 1

-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8380-108599

Reference 2: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 280

-SubTopic 10

-Section 50

-Paragraph 32

-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8933-108599

Reference 3: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 280

-SubTopic 10

-Section 50

-Paragraph 10

-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8538-108599

Reference 4: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 280

-SubTopic 10

-Section 50

-Paragraph 26

-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8844-108599

Reference 5: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 280

-SubTopic 10

-Section 50

-Paragraph 29

-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8864-108599

Reference 6: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 280

-SubTopic 10

-Section 50

-Paragraph 34

-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8981-108599

Reference 7: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 280

-SubTopic 10

-Section 50

-Paragraph 35

-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8984-108599

Reference 8: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 280

-SubTopic 10

-Section 50

-Paragraph 41

-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9038-108599

Reference 9: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 280

-SubTopic 10

-Section 50

-Paragraph 30

-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8906-108599

Reference 10: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 280

-SubTopic 10

-Section 50

-Paragraph 42

-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9054-108599

Reference 11: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 280

-SubTopic 10

-Section 50

-Paragraph 31

-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8924-108599

Reference 12: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 280

-SubTopic 10

-Section 50

-Paragraph 40

-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9031-108599

Reference 13: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 280

-SubTopic 10

-Section 50

-Paragraph 33

-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8971-108599

Reference 14: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 280

-SubTopic 10

-Section 50

-Paragraph 12

-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8595-108599

+ Details

Quarterly Financial Data (unaudited)

12 Months Ended

Dec. 31, 2014

Quarterly Financial Information Disclosure [Abstract]

Quarterly Financial Data (unaudited)

Quarterly results of operations for the years ended December 31, 2014 and 2013, which include Sealy's results of operations from March 18, 2013 through December 31, 2013, are summarized below:



(in millions, except per share amounts)	First Quarter		Second Quarter			Third Quarter		Fourth Quarter
2014
Net sales	$	701.9	$	715.0		$	827.4	$	745.5
Gross profit	269.5		268.3			318.5		294.1
Operating income	62.4		50.3			87.1		76.5
Net income (loss)	27.4		(2.2		)	37.1		46.6
Basic earnings (loss) per common share	$	0.45	$	(0.04	)	$	0.61	$	0.77
Diluted earnings (loss) per common share	$	0.44	$	(0.04	)	$	0.60	$	0.75

2013
Net sales	$	390.1	$	660.6		$	735.5	$	678.1
Gross profit	188.4		254.9			298.7		272.9
Operating income	44.5		44.0			81.2		74.1
Net income	12.5		(1.6		)	40.2		27.5
Basic earnings (loss) per common share	$	0.21	$	(0.03	)	$	0.66	$	0.45
Diluted earnings (loss) per common share	$	0.20	$	(0.03	)	$	0.65	$	0.45

The Company's earnings were negatively impacted in the second quarter of 2014 due to the sale of its three U.S. innerspring component production facilities and equipment, along with associated working capital, which resulted in a loss on disposal of business. In the fourth quarter of 2014, the Company recognized other income from certain other non recurring items, including the partial settlement of a legal dispute. Additionally, the Company's earnings were negatively impacted in the second quarter of 2013, primarily due to the Sealy Acquisition and associated transaction fees. The sum of the quarterly earnings per common share amounts may not equal the annual amount reported because per share amounts are computed independently for each quarter and for the full year based on respective weighted-average common shares outstanding and other dilutive potential common shares. The Company’s quarterly operating results fluctuate as a result of seasonal variations in the Company’s business.

- Definition

The entire disclosure for the quarterly financial data in the annual financial statements. The disclosure may include a tabular presentation of financial information for each fiscal quarter for the current and previous year, including revenues, gross profit, income or loss before extraordinary items and earnings per share data. It also includes an indication if the information in the note is unaudited, comments on the aggregate effect of year-end adjustments, and an explanation of matters or transactions that affect comparability or are pertinent to an understanding of the information furnished.

+ References+ Details

Guarantor/Non-Guarantor Financial Information

12 Months Ended

Dec. 31, 2014

Guarantor/Non-Guarantor Financial Information

Guarantor/Non-Guarantor Financial Information

The Senior Notes are general unsecured senior obligations of Tempur Sealy International and are fully and unconditionally guaranteed on a senior unsecured basis, jointly and severally, by all of Tempur Sealy International’s 100% directly or indirectly owned current and future domestic subsidiaries (the “Combined Guarantor Subsidiaries”). The foreign subsidiaries (the “Combined Non-Guarantor Subsidiaries”) represent the foreign operations of the Company and do not guarantee the Senior Notes. A subsidiary guarantor will be released from its obligations under the indenture governing the Senior Notes when: (a) the subsidiary guarantor is sold or sells all or substantially all of its assets; (b) the subsidiary is declared “unrestricted” under the indenture governing the Senior Notes; (c) the subsidiary’s guarantee of indebtedness under the 2012 Credit Agreement (as it may be amended, refinanced or replaced) is released (other than a discharge through repayment); or (d) the requirements for legal or covenant defeasance or discharge of the indenture have been satisfied. The principal elimination entries relate to investments in subsidiaries and intercompany balances and transactions, including transactions with the Company’s wholly-owned subsidiary guarantors and non-guarantor subsidiaries. The Company has accounted for its investments in its subsidiaries under the equity method.

The following financial information presents Consolidated Balance Sheets as of December 31, 2014 and December 31, 2013, and the related Consolidated Statements of Income and Comprehensive Income and Cash Flows for the years ended December 31, 2014, 2013 and 2012 for Tempur Sealy International, Combined Guarantor Subsidiaries and Combined Non-Guarantor Subsidiaries. Sealy financial information are included from March 18, 2013 through December 31, 2014 and are not included in financial information for 2012.

TEMPUR SEALY INTERNATIONAL, INC.

Supplemental Consolidated Statements of Income and Comprehensive Income

Year Ended December 31, 2014

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)			Combined Guarantor Subsidiaries			Combined Non-Guarantor Subsidiaries			Eliminations			Consolidated
Net sales	$	—		$	2,229.5		$	802.9		$	(42.6	)	$	2,989.8
Cost of sales	—			1,465.3			416.7			(42.6		)	1,839.4
Gross profit	—			764.2			386.2			—			1,150.4
Selling and marketing expenses	2.4			431.2			186.3			—			619.9
General, administrative and other expenses	13.4			200.5			66.7			—			280.6
Equity income in earnings of unconsolidated affiliates	—			—			(8.3		)	—			(8.3		)
Royalty income, net of royalty expense	—			(18.1		)	—			—			(18.1		)
Operating (loss) income	(15.8		)	150.6			141.5			—			276.3

Other expense, net:
Third party interest expense, net	27.0			62.4			2.5			—			91.9
Intercompany interest expense (income), net	32.7			(34.6		)	1.9			—			—
Interest expense, net	59.7			27.8			4.4			—			91.9
Loss on dispsoal, net	—			23.2			—			—			23.2
Other (income) expense, net	—			(17.2		)	3.5			—			(13.7		)
Total other expense	59.7			33.8			7.9			—			101.4

Income from equity investees	159.2			98.7			—			(257.9		)	—

Income before income taxes	83.7			215.5			133.6			(257.9		)	174.9
Income tax benefit (provision)	26.3			(56.3		)	(34.9		)	—			(64.9		)
Net income	110.0			159.2			98.7			(257.9		)	110.0
Less: net income attributable to non-controlling interest	1.1			1.1			—			(1.1		)	1.1
Net income attributable to Tempur Sealy International, Inc.	$	108.9		$	158.1		$	98.7		$	(256.8	)	$	108.9

Comprehensive income	$	66.9		$	163.3		$	60.3		$	(223.6	)	$	66.9

TEMPUR SEALY INTERNATIONAL, INC.

Supplemental Consolidated Statements of Income and Comprehensive Income

Year Ended December 31, 2013

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)			Combined Guarantor Subsidiaries			Combined Non-Guarantor Subsidiaries			Eliminations			Consolidated
Net sales	$	—		$	1,758.2		$	728.1		$	(22.0	)	$	2,464.3
Cost of sales	—			1,110.5			360.9			(22.0		)	1,449.4
Gross profit	—			647.7			367.2			—			1,014.9
Selling and marketing expenses	2.4			358.1			162.4			—			522.9
General, administrative and other expenses	17.1			181.6			67.6			—			266.3
Equity income in earnings of unconsolidated affiliates	—			—			(4.4		)	—			(4.4		)
Royalty income, net of royalty expense	—			(13.7		)	—			—			(13.7		)
Operating (loss) income	(19.5		)	121.7			141.6			—			243.8

Other expense, net:
Third party interest expense, net	27.5			81.5			1.8			—			110.8
Intercompany interest expense (income), net	32.7			(34.1		)	1.4			—			—
Interest expense (income), net	60.2			47.4			3.2			—			110.8
Other (income) expense, net	—			(0.9		)	5.9			—			5.0
Total other expense	60.2			46.5			9.1			—			115.8

Income from equity investees	133.4			93.6			—			(227.0		)	—

Income before income taxes	53.7			168.8			132.5			(227.0		)	128.0
Income tax benefit (provision)	25.2			(35.4		)	(38.9		)	—			(49.1		)
Net income	78.9			133.4			93.6			(227.0		)	78.9
Less: net income attributable to non-controlling interest	0.3			0.3			—			(0.3		)	0.3
Net income attributable to Tempur Sealy International, Inc.	$	78.6		$	133.1		$	93.6		$	(226.7	)	$	78.6

Comprehensive income	$	72.5		$	133.8		$	86.2		$	(220.0	)	$	72.5

TEMPUR SEALY INTERNATIONAL, INC.

Supplemental Consolidated Statements of Income and Comprehensive Income

Year Ended December 31, 2012

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)			Combined Guarantor Subsidiaries			Combined Non-Guarantor Subsidiaries			Eliminations			Consolidated
Net sales	$	—		$	947.8		$	481.0		$	(25.9	)	$	1,402.9
Cost of sales	—			509.0			205.2			(25.9		)	688.3
Gross profit	—			438.8			275.8			—			714.6
Selling and marketing expenses	2.5			191.9			124.7			—			319.1
General, administrative and other expenses	4.9			96.4			45.9			—			147.2
Equity income in earnings of unconsolidated affiliates	—			—			—			—			—
Royalty income, net of royalty expense	—			—			—			—			—
Operating (loss) income	(7.4		)	150.5			105.2			—			248.3

Other expense, net:
Third party interest expense, net	—			18.3			0.5			—			18.8
Intercompany interest expense (income), net	31.5			(31.5		)	—			—			—
Interest expense (income), net	31.5			(13.2		)	0.5			—			18.8
Other expense, net	—			—			0.3			—			0.3
Total other expense (income)	31.5			(13.2		)	0.8			—			19.1

Income from equity investees	134.8			81.0			—			(215.8		)	—

Income before income taxes	95.9			244.7			104.4			(215.8		)	229.2
Income tax benefit (provision)	10.9			(109.9		)	(23.4		)	—			(122.4		)
Net income	106.8			134.8			81.0			(215.8		)	106.8
Less: net income attributable to non-controlling interest	—			—			—			—			—
Net income attributable to Tempur Sealy International, Inc.	$	106.8		$	134.8		$	81.0		$	(215.8	)	$	106.8

Comprehensive income	$	113.9		$	136.9		$	86.0		$	(222.9	)	$	113.9

TEMPUR SEALY INTERNATIONAL, INC.

Supplemental Consolidated Balance Sheets

December 31, 2014

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)		Combined Guarantor Subsidiaries		Combined Non-Guarantor Subsidiaries			Eliminations			Consolidated
ASSETS

Current Assets:
Cash and cash equivalents	$	0.4	$	25.5	$	36.6		$	—		$	62.5
Accounts receivable, net	—		241.2		144.6			—			385.8
Inventories	—		158.3		58.9			—			217.2
Income taxes payable	144.1		—		—			(144.1		)	—
Prepaid expenses and other current assets	—		28.2		28.3			—			56.5
Deferred income taxes	12.4		26.8		5.2			—			44.4
Total Current Assets	156.9		480.0		273.6			(144.1		)	766.4
Property, plant and equipment, net	—		287.3		68.3			—			355.6
Goodwill	—		557.2		179.3			—			736.5
Other intangible assets, net	—		611.9		115.2			—			727.1
Deferred tax asset	—		—		8.6			—			8.6
Other non-current assets	6.3		46.4		15.7			—			68.4
Net investment in subsidiaries	1,808.4		—		—			(1,808.4		)	—
Due from affiliates	51.4		2,226.0		5.3			(2,282.7		)	—
Total Assets	$	2,023.0	$	4,208.8	$	666.0		$	(4,235.2	)	$	2,662.6

LIABILITIES AND STOCKHOLDERS’ EQUITY

Current Liabilities:
Accounts payable	$	—	$	170.4	$	56.0		$	—		$	226.4
Accrued expenses and other current liabilities	1.4		166.1		65.8			—			233.3
Deferred income taxes	—		—		0.2			—			0.2
Income taxes payable	—		163.0		(6.9		)	(144.1		)	12.0
Current portion of long-term debt	—		61.8		4.6			—			66.4
Total Current Liabilities	1.4		561.3		119.7			(144.1		)	538.3
Long-term debt	375.0		1,160.9		—			—			1,535.9
Deferred income taxes	—		229.1		29.7			—			258.8
Other non-current liabilities	—		109.3		5.0			—			114.3
Due to affiliates	1,431.3		340.2		849.4			(2,620.9		)	—
Total Liabilities	1,807.7		2,400.8		1,003.8			(2,765.0		)	2,447.3

Redeemable non-controlling interest	12.6		12.6		—			(12.6		)	12.6

Total Stockholders’ Equity	202.7		1,795.4		(337.8		)	(1,457.6		)	202.7
Total Liabilities and Stockholders’ Equity	$	2,023.0	$	4,208.8	$	666.0		$	(4,235.2	)	$	2,662.6

TEMPUR SEALY INTERNATIONAL, INC.

Supplemental Consolidated Balance Sheets

December 31, 2013

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)		Combined Guarantor Subsidiaries		Combined Non-Guarantor Subsidiaries			Eliminations			Consolidated
ASSETS
Current Assets:
Cash and cash equivalents	$	—	$	30.9	$	50.1		$	—		$	81.0
Accounts receivable, net	—		192.6		156.6			—			349.2
Inventories	—		147.5		51.7			—			199.2
Income tax receivable	118.4		—		—			(118.4		)	—
Prepaid expenses and other current assets	—		26.3		27.4			—			53.7
Deferred income taxes	10.0		29.3		5.1			—			44.4
Total Current Assets	128.4		426.6		290.9			(118.4		)	727.5
Property, plant and equipment, net	—		335.9		75.7			—			411.6
Goodwill	—		577.2		182.4			—			759.6
Other intangible assets, net	—		624.6		125.5			—			750.1
Deferred tax asset	—		—		10.9			—			10.9
Other non-current assets	7.6		47.0		15.6			—			70.2
Net investment in subsidiaries	756.0		—		—			(756.0		)	—
Due from affiliates	1,299.9		2,306.5		0.9			(3,607.3		)	—
Total Assets	$	2,191.9	$	4,317.8	$	701.9		$	(4,481.7	)	$	2,729.9

LIABILITIES AND STOCKHOLDERS’ EQUITY

Current Liabilities:
Accounts payable	$	—	$	140.5	$	50.7		$	—		$	191.2
Accrued expenses and other current liabilities	1.4		144.2		62.8			—			208.4
Deferred income taxes	—		—		0.8			—			0.8
Income taxes payable	—		115.2		4.7			(118.4		)	1.5
Current portion of long-term debt	—		36.6		3.0						39.6
Total Current Liabilities	1.4		436.5		122.0			(118.4		)	441.5
Long-term debt	375.0		1,421.9		—			—			1,796.9
Deferred income taxes	—		252.8		33.3			—			286.1
Other non-current liabilities	—		69.1		6.2			—			75.3
Due to affiliates	1,685.4		1,381.5		940.5			(4,007.4		)	—
Total Liabilities	2,061.8		3,561.8		1,102.0			(4,125.8		)	2,599.8

Redeemable non-controlling interest	11.5		11.5		—			(11.5		)	11.5

Total Stockholders’ Equity	118.6		744.5		(400.1		)	(344.4		)	118.6
Total Liabilities and Stockholders’ Equity	$	2,191.9	$	4,317.8	$	701.9		$	(4,481.7	)	$	2,729.9

TEMPUR SEALY INTERNATIONAL, INC.

Supplemental Consolidated Statements of Cash Flows

Year Ended December 31, 2014

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)			Combined Guarantor Subsidiaries			Combined Non-Guarantor Subsidiaries			Eliminations		Consolidated
Net cash (used in) provided by operating activities	$	(62.7	)	$	191.5		$	96.4		$	—	$	225.2

CASH FLOWS FROM INVESTING ACTIVITIES:
Acquisition of business, net of cash acquired	$	—		$	—		$	(8.5	)	$	—	$	(8.5	)
Proceeds from disposition of business	—			43.5			—			—		43.5
Purchases of property, plant and equipment	—			(31.3		)	(16.2		)			(47.5		)
Other	—			3.0			(0.9		)	—		2.1
Net cash used in investing activities	—			15.2			(25.6		)	—		(10.4		)

CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from 2012 Credit Agreement	—			271.5			—			—		271.5
Repayments 2012 Credit Agreement	—			(510.9		)	—			—		(510.9		)
Net activity in investment in and advances (to) from subsidiaries and affiliates	59.3			32.1			(91.4		)	—		—
Payment of deferred financing costs	—			(3.1		)	—			—		(3.1		)
Proceeds from exercise of stock options	4.3			—			—			—		4.3
Excess tax benefit from stock based compensation	1.7			—			—			—		1.7
Treasury stock repurchased	(2.2		)	—			—			—		(2.2		)
Other	—			(1.7		)	2.3			—		0.6
Net cash provided by (used in) financing activities	63.1			(212.1		)	(89.1		)	—		(238.1		)

NET EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	—			—			4.8			—		4.8
Increase (decrease) in cash and cash equivalents	0.4			(5.4		)	(13.5		)	—		(18.5		)
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD	—			30.9			50.1			—		81.0
CASH AND CASH EQUIVALENTS, END OF PERIOD	$	0.4		$	25.5		$	36.6		$	—	$	62.5

TEMPUR SEALY INTERNATIONAL, INC.

Supplemental Consolidated Statements of Cash Flows

Year Ended December 31, 2013

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)			Combined Guarantor Subsidiaries			Combined Non-Guarantor Subsidiaries			Eliminations		Consolidated
Net cash (used in) provided by operating activities	$	(66.1	)	$	80.9		$	83.7		$	—	$	98.5
CASH FLOWS FROM INVESTING ACTIVITIES:
Acquisition of business, net of cash acquired	—			(1,035.3		)	(137.6		)	—		(1,172.9		)
Purchase of property, plant and equipment	—			(28.3		)	(11.7		)	—		(40.0		)
Other	—			(54.7		)	54.6			—		(0.1		)
Net cash used in investing activities	—			(1,118.3		)	(94.7		)	—		(1,213.0		)

CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from 2012 Credit Agreement	$	—		$	2,992.6		$	—		$	—	$	2,992.6
Repayments of the 2012 Credit Agreement	—			(1,658.3		)	—			—		(1,658.3		)
Proceeds from issuance of Senior Notes	375.0			—			—			—		375.0
Proceeds from the 2011 Credit Facility	—			46.5			—			—		46.5
Repayments of the 2011 Credit Facility	—			(696.5		)	—			—		(696.5		)
Net activity in investment in and advances from (to) subsidiaries and affiliates	(772.8		)	874.9			(102.1		)	—		—
Payment of deferred financing costs	(8.4		)	(43.6		)	—			—		(52.0		)
Proceeds from exercise of stock options	8.7			—			—			—		8.7
Excess tax benefit from stock based compensation	5.4			—			—			—		5.4
Treasury stock repurchased	458.2			(465.2		)	—			—		(7.0		)
Other	—			(1.3		)	0.3			—		(1.0		)
Net cash provided by (used in) financing activities	66.1			1,049.1			(101.8		)	—		1,013.4

NET EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	—			—			2.8			—		2.8
Increase in cash and cash equivalents	—			11.7			(110.0		)	—		(98.3		)
CASH AND CASH EQUIVALENTS, BEGININNG OF PERIOD	—			19.2			160.1			—		179.3
CASH AND CASH EQUIVALENTS, END OF PERIOD	$	—		$	30.9		$	50.1		$	—	$	81.0

TEMPUR SEALY INTERNATIONAL, INC.

Supplemental Consolidated Statements of Cash Flows

Year Ended December 31, 2012

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)			Combined Guarantor Subsidiaries			Combined Non-Guarantor Subsidiaries			Eliminations		Consolidated
Net cash (used in) provided by operating activities	$	(43.6	)	$	140.5		$	93.0		$	—	$	189.9
CASH FLOWS FROM INVESTING ACTIVITIES:
Acquisition of business, net of cash acquired	—			—			(4.5		)	—		(4.5		)
Purchase of property, plant and equipment	—			(36.7		)	(13.8		)	—		(50.5		)
Other	—			(0.1		)	0.1			—		—
Net cash used in investing activities	—			(36.8		)	(18.2		)	—		(55.0		)

CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from 2012 Credit Agreement	$	—		$	—		$	—		$	—	$	—
Repayments of the 2012 Credit Agreement	—			—			—			—		—
Proceeds from the 2011 Credit Facility	—			352.0			—			—		352.0
Repayments of the 2011 Credit Facility	—			(287.0		)	—			—		(287.0		)
Net activity in investment in and advances from (to) subsidiaries and affiliates	187.0			(170.8		)	(16.2		)	—		—
Payment of deferred financing costs	(2.2		)	—			(0.1		)	—		(2.3		)
Proceeds from exercise of stock options	11.4			—			—			—		11.4
Excess tax benefit from stock based compensation	—			10.5			—			—		10.5
Treasury stock repurchased	(152.6		)	—			—			—		(152.6		)
Other	—			—			(2.8		)	—		(2.8		)
Net cash provided by (used in) financing activities	43.6			(95.3		)	(19.1		)	—		(70.8		)

NET EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	—			—			3.8			—		3.8
(Decrease) increase in cash and cash equivalents	—			8.4			59.5			—		67.9
CASH AND CASH EQUIVALENTS, BEGININNG OF PERIOD	—			10.8			100.6			—		111.4
CASH AND CASH EQUIVALENTS, END OF PERIOD	$	—		$	19.2		$	160.1		$	—	$	179.3

VALUATION AND QUALIFYING ACCOUNTS SCHEDULE II

12 Months Ended

Dec. 31, 2014

Valuation and Qualifying Accounts [Abstract]

VALUATION AND QUALIFYING ACCOUNTS

TEMPUR SEALY INTERNATIONAL, INC. AND SUBSIDIARIES

VALUATION AND QUALIFYING ACCOUNTS

FOR THE YEARS ENDED DECEMBER 31, 2014, 2013 AND 2012

SCHEDULE II

(in millions)



			Additions
Description	Balance at Beginning of Period		Charges to Costs and Expenses	Charged to Other Accounts	Deductions		Balance at End of Period
Allowance for doubtful accounts:
Year Ended December 31, 2012	$	6.8	2.5	—	(1.1	)	$	8.2
Year Ended December 31, 2013	$	8.2	1.3	—	9.8		$	19.3
Year Ended December 31, 2014	$	19.3	4.9	—	(4.7	)	$	19.5



			Additions
Description	Balance at Beginning of Period		Charges to Costs and Expenses	Charged to Other Accounts	Deductions		Balance at End of Period
Valuation allowance deferred tax assets:
Year Ended December 31, 2012	$	2.9	—	—	(2.8	)	$	0.1
Year Ended December 31, 2013	$	0.1	20.4	18.9	—		$	39.4
Year Ended December 31, 2014	$	39.4	2.2	—	(19.9	)	$	21.7

Summary of Significant Accounting Policies (Policies)

12 Months Ended

Dec. 31, 2014

Accounting Policies [Abstract]

Basis of Presentation and Description of Business

Basis of Presentation and Description of Business. Tempur Sealy International, Inc., a Delaware corporation, together with its subsidiaries, is a U.S. based, multinational company. The term “Tempur Sealy International” refers to Tempur Sealy International, Inc. only, and the term “Company” refers to Tempur Sealy International, Inc. and its consolidated subsidiaries.

Basis of Consolidation

Basis of Consolidation. The accompanying financial statements include the accounts of Tempur Sealy International and its 100.0% owned subsidiary companies and Comfort Revolution. Intercompany balances and transactions have been eliminated. The equity method of accounting is used for joint ventures and investments in associated companies over which the Company has significant influence, but does not have effective control and consolidation is not otherwise required under the Financial Accounting Standards Board’s (“FASB”) authoritative guidance surrounding the consolidation of VIEs. The Company’s equity in the net income and losses of these investments is reported in equity income in earnings of unconsolidated affiliates in the accompanying Consolidated Statements of Income.

Use of Estimates

Use of Estimates. The preparation of financial statements in conformity with United States Generally Accepted Accounting Principles (“U.S. GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. The Company’s results are affected by economic, political, legislative, regulatory and legal actions. Economic conditions, such as recessionary trends, inflation, interest and monetary exchange rates, government fiscal policies and changes in the prices of raw materials, can have a significant effect on operations.

Fair Value Measurements

Fair Value Measurements. The Company applies fair value accounting for all financial assets and liabilities and non-financial assets and liabilities that are recognized or disclosed at fair value in the financial statements on a recurring basis. The Company defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities, the Company considers the principal or most advantageous market in which the Company would transact and the market-based risk measurements or assumptions that market participants would use in pricing the asset or liability, such as inherent risk, transfer restrictions and credit risk.


•	Level 1 – Valuation is based upon unadjusted quoted prices for identical assets or liabilities in active markets.


•	Level 2 – Valuation is based upon quoted prices for similar assets and liabilities in active markets, or other inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instruments.


•	Level 3 – Valuation is based upon other unobservable inputs that are significant to the fair value measurements.

Foreign Currency

Foreign Currency. Assets and liabilities of non-U.S. subsidiaries, whose functional currency is the local currency, are translated into U.S. dollars at period-end exchange rates. Income and expense items are translated at the average rates of exchange prevailing during the period. The adjustments resulting from translating the financial statements of foreign subsidiaries are included in accumulated other comprehensive loss (“OCL”), a component of stockholders’ equity, and included in net earnings only upon sale or liquidation of the underlying foreign subsidiary or affiliated company. Foreign currency transaction gains and losses are recognized in net earnings based on differences between foreign exchanges rates on the transaction date and on the settlement date.

Derivative Financial Instruments

Derivative Financial Instruments. The Company records derivative financial instruments on the consolidated balance sheets as either an asset or liability measured at its fair value. Changes in a derivative's fair value (i.e., unrealized gains or losses) are recorded each period in earnings or other comprehensive loss ("OCL"), depending on whether the derivative is designated and is effective as a hedged transaction, and on the type of hedging relationship.

Cash and Cash Equivalents

Cash and Cash Equivalents. Cash and cash equivalents consist of all highly liquid investments with initial maturities of three months or less.

Inventories

Inventories. Inventories are stated at the lower of cost or market, determined by the first-in, first-out method

Property, Plant and Equipment

Property, Plant and Equipment. Property, plant and equipment are carried at cost at acquisition date and are depreciated using the straight-line method over their estimated useful lives as follows:



	Estimated Useful Lives (in years)
Buildings	25-30
Computer equipment and software	3-5
Leasehold improvements	4-7
Machinery and equipment	3-7
Office furniture and fixtures	5-7

Long-Lived Assets

Long-Lived Assets. Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of long-lived assets is assessed by a comparison of the carrying amount of the asset to the estimated future undiscounted net cash flows expected to be generated by the asset or group of assets. If estimated future undiscounted net cash flows are less than the carrying amount of the asset or group of assets, the asset is considered impaired and an expense is recorded in an amount required to reduce the carrying amount of the asset to its then fair value. Fair value generally is determined from estimated discounted future net cash flows (for assets held for use) or net realizable value (for assets held for sale).

Goodwill and Other Intangible Assets

Goodwill and Other Intangible Assets. Intangible assets with finite useful lives are amortized over their respective estimated useful lives to their estimated residual values and reviewed for impairment whenever events or changes in circumstances indicate an impairment may have occurred. The Company performs an annual impairment test on all existing goodwill and other indefinite lived assets on October 1 of each year and whenever events or circumstances make it more likely than not that impairment may have occurred. The Company reviewed goodwill for impairment based on its identified reporting units, which are the Company’s Tempur North America, Tempur International and Sealy operating segments. In conducting the impairment test for the Tempur North America, Tempur International and Sealy operating segments, the fair value of each of the Company’s reporting units is compared to its respective carrying amount including goodwill. If the fair value exceeds the carrying amount, then no impairment exists. If the carrying amount exceeds the fair value, further analysis is performed to assess impairment. The Company’s determination of fair value of the reporting units is based on a discounted cash flow approach, with an appropriate risk adjusted discount rate, and a market approach. Any identified impairment would result in an adjustment to the Company’s results of operations.

The Company performed its annual impairment test of goodwill and indefinite-lived intangible assets in 2014, 2013 and 2012, none of which resulted in the recognition of impairment charges.

Accrued Sales Returns

Accrued Sales Returns. The Company allows product returns through certain sales channels and on certain products. Estimated sales returns are provided at the time of sale based on historical sales channel return rates. Estimated future obligations related to these products are provided by a reduction of sales in the period in which the revenue is recognized. Accrued sales returns are included in accrued expenses and other current liabilities in the accompanying Consolidated Balance Sheets.

Warranties

Warranties. The Company provides warranties on certain products, which vary based by segment, product and brand. Estimates of warranty expenses are based primarily on historical claims experience and product testing. Estimated future obligations related to these products are charged to cost of sales in the period in which the related revenue is recognized. In estimating its warranty obligations, the Company considers the impact of recoverable salvage value on warranty costs by segment in determining its estimate of future warranty obligations.

The following summarizes the Company’s warranty terms for mattresses and pillows:



Segment	Product/Brand	Warranty Term (in years)
Tempur North America	Mattresses	10 - 25, prorated ⁽¹⁾
Tempur North America	Pillows	3
Tempur International	Mattresses	5 - 15, prorated ⁽²⁾
Tempur International	Pillows	3
Sealy	Mattresses	10 - 25, prorated ⁽¹⁾


(1)	Products have various warranty terms, generally non-prorated for the first 10 to 15 years and then prorated for the balance of the warranty term.


(2)	The last 10 years of warranty period are prorated on a straight-line basis

Income Taxes

Income Taxes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Deferred tax assets are also recognized for the estimated future effects of tax loss carry forwards. The effect of changes in tax rates on deferred taxes is recognized in the period in which the enactment dates change. Valuation allowances are established when necessary on a jurisdictional basis to reduce deferred tax assets to the amounts expected to be realized. The Company accounts for uncertain foreign and domestic tax positions utilizing a proscribed recognition threshold and measurement attributes for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return.

Revenue Recognition

Revenue Recognition. Sales of products are recognized as revenue when persuasive evidence of an arrangement exists, title passes to customers and the risks and rewards of ownership are transferred, the sales price is fixed or determinable, and collectability is reasonably assured. The Company extends volume discounts to certain customers, as well as promotional allowances, floor sample discounts, commissions paid to retail associates and slotting fees, and reflects these amounts as a reduction of sales at the time revenue is recognized based on historical experience. The Company also reports sales net of tax assessed by qualifying governmental authorities. The Company extends credit based on the creditworthiness of its customers. No collateral is required on sales made in the normal course of business.

Allowance for Doubtful Accounts

Cost of Sales

Cost of Sales. Costs associated with net sales are recorded in cost of sales. Cost of sales includes the costs of receiving, producing, inspecting, warehousing, insuring, and shipping goods during the period, as well as depreciation and amortization of long-lived assets used in these processes. Cost of sales also include shipping and handling costs associated with the delivery of goods to customers and costs associated with internal transfers between plant locations.

Cooperative Advertising, Rebate and Other Promotional Programs

Cooperative Advertising, Rebate and Other Promotional Programs. The Company enters into agreements with customers to provide funds for advertising and promotions. The Company also enters into volume and other rebate programs with customers. When sales are made to these customers, the Company records liabilities pursuant to these agreements. The Company periodically assesses these liabilities based on actual sales and claims to determine whether all of the cooperative advertising earned will be used by the customer or whether the customer will meet the requirements to receive rebate funds. The Company generally negotiates these agreements on a customer-by-customer basis. Some of these agreements extend over several periods. Significant estimates are required at any point in time with regard to the ultimate reimbursement to be claimed by the customers. Subsequent revisions to such estimates are recorded and charged to earnings in the period in which they are identified. Rebates and cooperative advertising are classified as a reduction of revenue and presented within net sales on the accompanying Consolidated Statements of Income. Certain cooperative advertising expenses are reported as components of selling and marketing expenses in the accompanying Consolidated Statements of Income because the Company receives an identifiable benefit and the fair value of the advertising benefit can be reasonably estimated.

Advertising Costs

Advertising Costs. The Company expenses advertising costs as incurred except for production costs and advance payments, which are deferred and expensed when advertisements run for the first time. Direct response advance payments are deferred and amortized over the life of the program. Advertising costs are included in selling and marketing expenses in the accompanying Consolidated Statements of Income.

Research and Development Expenses

Research and Development Expenses. Research and development expenses for new products are expensed as they are incurred and are included in general, administrative and other expenses in the accompanying Consolidated Statements of Income.

Deferred Financing Costs

Deferred Financing Costs. The Company capitalizes costs associated with the issuance of debt and amortizes these costs as additional interest expense over the lives of the debt instruments using the effective interest method. These costs are recorded as deferred financing costs within other non-current assets in the accompanying Consolidated Balance Sheets and interest expense, net in the accompanying Consolidated Statements of Income. Upon the prepayment of the related debt, the Company accelerates the recognition of an appropriate amount of the costs.

Royalty Income and Expense

Royalty Income and Expense. The Company recognizes royalty income based on sales of Sealy® and Stearns & Foster® branded products by various licensees. The Company also pays royalties to other entities for the use of their names on products produced by the Company.

Stock-Based Compensation

Stock-Based Compensation. The Company accounts for stock-based payment transactions in which the Company receives employee services in exchange for equity instruments of the Company. Stock-based compensation cost for restricted stock units (“RSUs”), performance restricted stock units (“PRSUs”) and deferred stock units (“DSUs”) is measured based on the closing fair market value of the Company’s common stock on the date of grant. Stock-based compensation cost for stock options is estimated at the grant date based on each option’s fair-value as calculated by the Black-Scholes option-pricing model. The Company recognizes stock-based compensation cost as expense for awards other than its PRSUs ratably on a straight-line basis over the requisite service period. The Company recognizes stock-based compensation cost associated with its PRSUs over the requisite service period if it is probable that the performance conditions will be satisfied. The Company will recognize a benefit from stock-based compensation in additional paid in capital if an incremental tax benefit is realized by following the ordering provisions of the tax law.

Treasury Stock

Treasury Stock. Subject to Delaware law, and the limitations in the Company's 2012 Credit Agreement, the Board of Directors may authorize share repurchases of the Company’s common stock (“Share Repurchase Authorizations”). Share Repurchase Authorizations may be made through open market transactions, negotiated purchase or otherwise, at times and in such amounts as the Company, and a committee of the Board, deem appropriate. Shares repurchased under Share Repurchase Authorizations are held in treasury for general corporate purposes, including issuances under various employee share-based award plans. Treasury shares are accounted for under the cost method and reported as a reduction of stockholders’ equity. Share Repurchase Authorizations may be suspended, limited or terminated at any time without notice.

Self-Insurance

Self-Insurance. The Company is self-insured for certain losses related to medical claims with excess loss coverage of $0.4 million per claim per year. The Company also utilizes large deductible policies to insure claims related to general liability, product liability, automobile, and workers’ compensation. The Company’s recorded liability for workers’ compensation represents an estimate of the ultimate cost of claims incurred as of the balance sheet date. The estimated workers' compensation liability is undiscounted and is established based upon analysis of historical and actuarial estimates, and is reviewed by the Company and third party actuaries on a quarterly basis to ensure that the liability is appropriate.

Environmental Cost

Environmental Cost. Environmental expenditures that relate to current operations are expensed or capitalized, as appropriate, under the FASB’s authoritative guidance on environmental remediation liabilities. Expenditures that relate to an existing condition caused by past operations and that do not provide future benefits are expensed as incurred. Liabilities are recorded when environmental assessments are made or the requirement for remedial efforts is probable, and the costs can be reasonably estimated. The timing of accruing for these remediation liabilities is generally no later than the completion of feasibility studies. The Company has an ongoing monitoring and identification process to assess how the activities, with respect to the known exposures, are progressing against the accrued cost estimates, as well as to identify other potential remediation sites that are presently unknown.

Pension Obligations

Pension Obligations. The Company has a noncontributory, defined benefit pension plan covering current and former hourly employees at four of its active Sealy plants and eight previously closed Sealy U.S. facilities. Sealy Canada, Ltd. (a 100.0% owned subsidiary of the Company) also sponsors a noncontributory, defined benefit pension plan covering hourly employees at one of its facilities. Both plans provide retirement and survivorship benefits based on the employees' credited years of service. The Company's funding policy provides for contributions of an amount between the minimum required and maximum amount that can be deducted for federal income tax purposes. The funded status is measured as the difference between the fair value of plan assets and the benefit obligation at December 31, the measurement date. The benefit obligation is the projected benefit obligation (“PBO”). The PBO represents the actuarial present value of benefits expected to be paid upon retirement based on estimated future compensation levels. The measurement of the PBO is based on the Company’s estimates and actuarial valuations. The fair value of plan assets represents the current market value of assets held by an irrevocable trust fund for the sole benefit of participants. These valuations reflect the terms of the plans and use participant-specific information such as compensation, age and years of service, as well as certain assumptions that require significant judgment, including estimates of discount rates, expected return on plan assets, rate of compensation increases, interest crediting rates and mortality rates.

Supply Agreements

Supply Agreements. The Company from time to time enters into long term supply agreements with its customers to sell its branded products to customers in exchange for minimum sales volume or a minimum percentage of the customer's sales or space on the retail floor. Such agreements generally cover a period of two to five years. Initial cash outlays by the Company for such agreements are capitalized and amortized generally as a reduction of sales over the life of the contract. The majority of these cash outlays are ratably recoverable upon contract termination. Such capitalized amounts are included in prepaid expenses and other current assets and non-current assets in the Company's Consolidated Balance Sheets.

Recently Issued Accounting Pronouncements

In May 2014, the FASB issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue From Contracts With Customers, that outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance, including industry-specific guidance. This ASU is based on the core principle that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This ASU also requires disclosures sufficient to enable users to understand the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers, including qualitative and quantitative disclosures about contracts with customers, significant judgments and changes in judgments, and assets recognized from the costs to obtain or fulfill a contract. Entities have the option of using either a full retrospective or a modified retrospective approach for the adoption of the new standard. This ASU is effective for fiscal years beginning after December 15, 2016, including interim periods within that reporting period. The Company is currently evaluating this ASU to determine the Company's adoption method and the impact it will have on the Company's Consolidated Financial Statements.

In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements — Going Concern (Subtopic 205-40: Disclosure of Uncertainties About an Entity's Ability to Continue as a Going Concern). This ASU addresses management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related footnote disclosures. Management’s evaluation should be based on relevant conditions and events that are known and reasonably knowable at the date that the financial statements are issued. This ASU is effective for fiscal years beginning after December 15, 2016, including interim periods within that reporting period, with early adoption permitted. The Company does not expect to early adopt this ASU and does not believe that the adoption of this ASU will have a material impact on the Company's Consolidated Financial Statements.

Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2014

Accounting Policies [Abstract]

Schedule of Inventory, Current

Inventories are stated at the lower of cost or market, determined by the first-in, first-out method and consist of the following:



	December 31,
(in millions)	2014		2013
Finished goods	$	134.0	$	126.7
Work-in-process	11.4		10.0
Raw materials and supplies	71.8		62.5
	$	217.2	$	199.2

Schedule of Property, Plant and Equipment

Property, plant and equipment are carried at cost at acquisition date and are depreciated using the straight-line method over their estimated useful lives as follows:



	Estimated Useful Lives (in years)
Buildings	25-30
Computer equipment and software	3-5
Leasehold improvements	4-7
Machinery and equipment	3-7
Office furniture and fixtures	5-7

Property, Plant and Equipment Summary

Property, plant and equipment, net consisted of the following:



	December 31,
(in millions)	2014			2013
Machinery and equipment	$	243.5		$	270.8
Land and buildings	247.1			261.9
Computer equipment and software	69.2			72.3
Furniture and fixtures	54.9			56.7
Construction in progress	39.4			28.9
	$	654.1		$	690.6
Accumulated depreciation	(298.5		)	(279.0		)
	$	355.6		$	411.6

Changes in Accrued Sales Returns

The Company had the following activity for accrued sales returns from December 31, 2012 to December 31, 2014:



(in millions)
Balance as of December 31, 2012	5.1
Amounts accrued	104.8
Liabilities assumed as a result of Sealy Acquisition	19.9
Returns charged to accrual	(101.1		)
Balance as of December 31, 2013	$	28.7
Amounts accrued	127.4
Returns charged to accrual	(123.8		)
Balance as of December 31, 2014	$	32.3

Schedule of Warranty Terms

The following summarizes the Company’s warranty terms for mattresses and pillows:



Segment	Product/Brand	Warranty Term (in years)
Tempur North America	Mattresses	10 - 25, prorated ⁽¹⁾
Tempur North America	Pillows	3
Tempur International	Mattresses	5 - 15, prorated ⁽²⁾
Tempur International	Pillows	3
Sealy	Mattresses	10 - 25, prorated ⁽¹⁾


(1)	Products have various warranty terms, generally non-prorated for the first 10 to 15 years and then prorated for the balance of the warranty term.


(2)	The last 10 years of warranty period are prorated on a straight-line basis

Warranty Activity

The Company had the following activity for warranties from December 31, 2012 to December 31, 2014:



(in millions)
Balance as of December 31, 2012	$	4.8
Amounts accrued	22.7
Liabilities assumed as a result of Sealy Acquisition	21.4
Warranties charged to accrual	(22.8		)
Balance as of December 31, 2013	26.1
Amounts accrued	34.2
Warranties charged to accrual	(29.0		)
Balance as of December 31, 2014	$	31.3

Acquisitions and Divestitures (Tables)

12 Months Ended

Dec. 31, 2014

Business Combinations [Abstract]

Components of Consideration Transferred

The purchase price of Sealy consisted of the following items:



(in millions)
Cash consideration for stock	$	231.2		⁽¹⁾
Cash consideration for share-based awards	14.2			⁽²⁾
Cash consideration for 8.0% Sealy Notes	442.1			⁽³⁾
Cash consideration for repayment of Sealy Senior Notes	260.7			⁽⁴⁾
Cash consideration for repayment of Sealy 2014 Notes	276.9			⁽⁵⁾
Total consideration	1,225.1
Cash acquired	(52.2		)	⁽⁶⁾
Net consideration transferred	$	1,172.9


(1)	The cash consideration for outstanding shares of Sealy common stock is the product of the agreed-upon cash per share price of $2.20 and total Sealy shares of 105.1 million.


(2)	The cash consideration for share-based awards is the product of the agreed-upon cash per share price of $2.20 and the total number of RSUs and DSUs outstanding and the “in the money” stock options net of the weighted average exercise price.

(3)


(4)	The cash consideration for Sealy’s 10.875% Senior Notes due 2016 (“Sealy Senior Notes”) reflects the repayment of the outstanding obligation.


(5)	The cash consideration for Sealy’s 8.25% Senior Subordinated Notes due 2014 (“Sealy 2014 Notes”) reflects the repayment of the outstanding obligation.


(6)	Represents the Sealy cash balance acquired at acquisition.

Components of Preliminary Purchase Price Allocation

The components of the final purchase price allocation are as follows:



(in millions)
Accounts receivable	$	185.0
Inventory	75.1
Prepaid expenses and other current assets	22.8
Accounts payable	(77.9		)
Accrued expenses	(137.2		)
Property, plant and equipment	242.9
Other assets	32.6
Identifiable intangible assets:
Indefinite-lived trade names	521.2
Contractual retailer/distributor relationships	91.1
Developed technology, including patents	87.1
Customer databases	3.9
Optimum™ trade name	2.3
Deferred income taxes, net	(232.8		)
8.0% Sealy Notes	(96.2		)
Redeemable non-controlling interest	(11.3		)
Other liabilities	(77.5		)
Goodwill	541.8
Net consideration transferred	$	1,172.9

Pro Forma Information



	Year Ended
	December 31,
(in millions, except earnings per common share)	2013
Net sales	$	2,757.2
Net income	$	90.9
Earnings per common share – Diluted	$	1.49

Goodwill and Other Intangible Assets (Tables)

12 Months Ended

Dec. 31, 2014

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill by Reportable Business Segment

The following summarizes changes to the Company’s goodwill, by reportable segment:



(in millions)	Total			Tempur North America			Tempur International			Sealy
Balance as of December 31, 2012	$	216.1		$	108.9		$	107.2		$	—
Goodwill resulting from Sealy Acquisition	541.8			—			—			541.8
Foreign currency translation adjustments	1.7			(1.2		)	0.1			2.8
Balance as of December 31, 2013	759.6			107.7			107.3			544.6
Disposal of business	(21.4		)	—			—			(21.4		)
Goodwill resulting from acquisitions	2.3			—			2.3			—
Foreign currency translation adjustments	(4.0		)	(1.5		)	(1.2		)	(1.3		)
Balance as of December 31, 2014	$	736.5		$	106.2		$	108.4		$	521.9

Other Intangible Assets

The following table summarizes information relating to the Company’s other intangible assets, net:



($ in millions)		December 31, 2014						December 31, 2013
	Useful Lives (Years)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Carrying Amount		Accumulated Amortization		Net Carrying Amount
Unamortized indefinite life intangible assets:
Trade names		$	569.0	$	—	$	569.0	$	575.3	$	—	$	575.3
Amortized intangible assets:
Contractual distributor relationships	15	$	88.2	$	10.4	$	77.8	$	90.0	$	4.7	$	85.3
Technology and other	4-10	92.6		32.6		60.0		93.2		25.5		67.7
Patents, other trademarks, and other trade names	5-20	27.3		14.6		12.7		27.4		12.2		15.2
Customer databases, relationships and reacquired rights	2-5	24.1		16.5		7.6		21.0		14.4		6.6
Total		$	801.2	$	74.1	$	727.1	$	806.9	$	56.8	$	750.1

Expected Future Amortization Expense

amortization of intangible assets is expected to be as follows:



(in millions)
Year Ending December 31,
2015	$	18.3
2016	17.9
2017	16.6
2018	15.6
2019	15.4

Debt (Tables)

12 Months Ended

Dec. 31, 2014

Debt Disclosure [Abstract]

Schedule of Borrowings Outstanding

Debt for the Company consists of the following:



(in millions)	December 31, 2014			December 31, 2013
$375.0 million Senior Notes, interest at 6.875%, due December 15, 2020	$	375.0		$	375.0
Revolving credit facility, interest at Base Rate plus applicable margin of 2.25% or LIBOR plus applicable margin of 3.00% as of December 31, 2014 and 3.25% as of December 31, 2013, commitment through and due March 18, 2018	16.0			74.5
Term A Facility, interest at LIBOR plus applicable margin of 2.25% as of December 31, 2014 and 2.50% as of December 31, 2013, commitment through and due March 18, 2018	484.5			522.5
Term B Facility, interest at LIBOR, subject to a 0.75% floor plus applicable margin of 2.75% as of December 31, 2014 and December 31, 2013, commitment through and due March 18, 2020	594.4			737.3
8.0% Sealy Notes, due July 15, 2016	104.7			99.6
Capital lease obligations and other	27.7			27.6
	1,602.3			1,836.5
Less current portion	(66.4		)	(39.6		)
	$	1,535.9		$	1,796.9

Schedule of Maturities of Long-term Debt

As of December 31, 2014, the scheduled maturities of long-term debt outstanding, including capital lease obligations, for each of the next five years and thereafter are as follows:



(in millions)	Amount
2015	$	66.4
2016	166.6
2017	62.2
2018	347.7
2019	8.9
Thereafter	950.5
Total	$	1,602.3

Retirement Plans (Tables)

12 Months Ended

Dec. 31, 2014

Compensation and Retirement Disclosure [Abstract]

Schedule of Components of Net Periodic Cost for Employees

Components of net periodic pension cost included in the accompanying Consolidated Statements of Income for the years ended December 31 were as follows:



(in millions)	2014			2013
Service cost	$	0.9		$	0.9
Interest cost	1.8			1.3
Expected return on assets	(2.1		)	(1.5		)
Curtailment loss	0.1			—
Amortization of net gain	(0.1		)	—
Net periodic pension cost	$	0.6		$	0.7

Schedule of Other Changes in Plan Assets and Benefit Obligations Recognized in Accumulated Other Comprehensive Income

The other changes in plan assets and benefit obligations recognized in accumulated other comprehensive loss for the years ended December 31 were:



(in millions)	2014			2013
Net loss (gain)	$	9.0		$	(6.2	)
Amortization of prior service cost	(0.2		)	1.0
Amortization of net gain	0.1			—
New prior service cost	0.1			—
Total recognized in other comprehensive income	$	9.0		$	(5.2	)

Schedule of Weighted-Average Assumptions Used in Calculating Net Periodic Benefit Costs



	2014		2013
Discount rate ^(a)	4.01	%	4.23	%
Expected long term return on plan assets	7.00	%	6.92	%

(a)

Schedule of Funded Status of the Pension Plans

The measurement date for all of the Company’s defined benefit pension plans is December 31. The funded status of the defined benefit pension plans as of December 31 were as follows:



(in millions)	2014			2013
Change in Benefit Obligation:
Projected benefit obligation at beginning of year	$	36.4		$	39.9
Service cost	0.9			0.9
Interest cost	1.8			1.3
Plan changes	0.2			0.5
Actuarial loss (gain)	9.2			(4.8		)
Curtailments	(0.1		)	—
Benefits paid	(0.7		)	(0.5		)
Expenses paid	(0.2		)	(0.3		)
Foreign currency exchange rate changes	(0.4		)	(0.6		)
Projected benefit obligation at end of year	$	47.1		$	36.4
Change in Plan Assets:
Fair value of plan assets at beginning of year	$	30.5		$	26.2
Actual return on assets	2.2			2.9
Employer contribution	1.0			2.8
Plan settlements	—			(0.4		)
Benefits paid	(0.7		)	(0.5		)
Expenses paid	(0.2		)	(0.3		)
Foreign currency exchange rate changes	(0.3		)	(0.2		)
Fair value of plan assets at end of year	$	32.5		$	30.5
Funded status	$	(14.6	)	$	(5.9	)

Schedule of Amounts Recognized in the Consolidated Balance Sheet and the Accumulated Benefit Obligation and Fair Value of Assets

The following table represents amounts recorded in the Consolidated Balance Sheet:



	December 31,
(in millions)	2014		2013
Amounts recognized in the Consolidated Balance Sheets:
Non-current portion of benefit liability	$	14.9	$	6.7
Non-current benefit asset	0.3		0.8
Accumulated other comprehensive income	9.0		(5.2		)

Schedule of Weighted-Average Assumptions Used in Calculating Benefit Obligations

The following assumptions, calculated on a weighted‑average basis, were used to determine benefit obligations for the Company’s defined benefit pension plans as of December 31:



	2014		2013
Discount rate^(a)	5.00	%	5.00	%


(a)	The discount rates used in 2014 and 2013 to determine the benefit obligations for the United States defined benefit pension plan and Canadian defined benefit pension plan were both 5.00%.

Schedule of Estimated Future Benefit Payments

The following table presents estimated future benefit payments:



(in millions)
Fiscal 2015	$	0.9
Fiscal 2016	1.0
Fiscal 2017	1.0
Fiscal 2018	1.1
Fiscal 2019	1.2
Fiscal 2020 ‑ Fiscal 2024	8.4

Schedule of Target and Actual Asset Allocations

Target and actual asset allocations are as follows:



	2014 Target		2014 Actual
Common/collective trust consisting primarily of:
Equity securities	60.00	%	76.86	%
Debt securities	40.00	%	21.77	%
Other	—	%	1.37	%
Total plan assets	100.00	%	100.00	%

Schedule of Fair Value of Pension Plan Assets by Asset Category

The fair value of the Company’s pension benefit plan assets at December 31 by asset category was as follows:



(in millions)	2014		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Asset Category
Common/collective trust
U.S. equity	$	19.6	$	—	$	19.6	$	—
International equity	5.2		—		5.2		—
Total equity based funds	24.8		—		24.8		—
Common/collective trust - fixed income	7.0		—		7.0		—
Money market funds	0.7		—		0.7		—
Total	$	32.5	$	—	$	32.5	$	—



(in millions)	2013		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Asset Category
Equity
Mutual funds—U.S. companies	$	13.1	$	13.1	$	—	$	—
Mutual funds—International companies	5.9		5.9		—		—
Total equity funds	19.0		19.0		—		—
Mutual funds—fixed income	10.5		10.5		—		—
Money market funds	1.0		1.0		—		—
Total	$	30.5	$	30.5	$	—	$	—

Schedule of Expenses Related to the Multi-employer Benefit Plans

The expense recognized by the Company for such contributions for the years ended December 31 were as follows:



(in millions)	2014		2013
Multi‑employer retirement plan expense	$	4.7	$	3.9
Multi‑employer health and welfare plan expense	2.2		2.2

Schedule of Information Regarding Multi-employer Pension Plans

The following table presents information regarding the multi‑employer pension plans that are significant to the Company for the year ended December 31, 2014 and 2013, respectively:

(in millions)

Pension Fund

EIN/Pension Plan Number

Pension Protection Act
Zone Status⁽¹⁾2014

FIP/RP Status
Pending/Implemented⁽²⁾

Contributions of the Company 2014

Surcharge Imposed⁽³⁾

Expiration Date
of Collective
Bargaining Agreement

Year Contributions to Plan Exceeded More than 5 Percent of Total Contributions

United Furniture Workers Pension Fund A⁽⁴⁾

13-5511877-001

Red

Implemented

0.9

Yes, 10.0%

2016 and 2017

2013, 2014

Pension Plan of the National Retirement Fund

13-6130178-001

Red

Implemented

1.1

Yes, 10.0%

2016

N/A

Central States, Southeast & Southwest Areas Pension Plan

36-6044243-001

Red

Implemented

0.4

Yes, 10.0%

2015

N/A

(in millions)

Pension Fund

EIN/Pension Plan Number

Pension Protection Act
Zone Status⁽¹⁾ 2013

FIP/RP Status
Pending/Implemented⁽²⁾

Contributions of the Company 2013

Surcharge Imposed⁽³⁾

Expiration Date
of Collective
Bargaining Agreement

Year Contributions to Plan Exceeded More than 5 Percent of Total Contributions

United Furniture Workers Pension Fund A⁽⁴⁾

13-5511877-001

Red

Implemented

0.7

Yes, 10.0%

2014 and 2016

2013

Pension Plan of the National Retirement Fund

13-6130178-001

Red

Implemented

0.7

Yes, 10.0%

2014

N/A

(1)


(2)	Funding Improvement Plan or Rehabilitation Plan as defined in the Employment Retirement Security Act of 1974 has been implemented or is pending.


(3)	Indicates whether the Company paid a surcharge to the plan in the most current year due to funding shortfalls and the amount of the surcharge.


(4)	The Company represented more than 5.0% of the total contributions for the most recent plan year available.

Other Items (Tables)

12 Months Ended

Dec. 31, 2014

Other Items [Abstract]

Accrued Expenses and Other Current Liabilities

Accrued expenses and other current liabilities consisted of the following:



	December 31,		December 31,
(in millions)	2014		2013
Wages and benefits	$	60.0	$	59.3
Advertising	41.6		29.7
Sales returns	32.3		28.7
Rebates	22.8		23.0
Warranty	16.1		14.9
Other	60.5		52.8
	$	233.3	$	208.4

Accumulated Other Comprehensive Loss

Accumulated other comprehensive loss consisted of the following:



	Year Ended December 31,
(in millions)	2014			2013			2012
Foreign Currency Translation
Balance at beginning of period	$	(15.6	)	$	(5.0	)	$	(13.2	)
Other comprehensive (loss) income:
Foreign currency translation adjustments ⁽¹⁾	(38.4		)	(13.3		)	10.9
Tax benefit (expense) ⁽¹⁾	—			2.7			(2.7		)
Balance at end of period	$	(54.0	)	$	(15.6	)	$	(5.0	)

Interest Rate Swap Agreement
Balance at beginning of period	$	(1.4	)	$	(2.7	)	$	(1.6	)
Other comprehensive income:
Net change from period revaluations:	3.0			5.2			2.7
Tax expense	(1.2		)	(1.5		)	(0.5		)
Total other comprehensive income before reclassifications, net of tax	1.8			3.7			2.2
Net amount reclassified to earnings ⁽³⁾	(1.9		)	(3.2		)	(4.0		)
Tax benefit ⁽²⁾	0.8			0.8			0.7
Total amount reclassified from accumulated other comprehensive loss, net of tax	(1.1		)	(2.4		)	(3.3		)
Total other comprehensive income (loss)	0.7			1.3			(1.1		)
Balance at end of period	$	(0.7	)	$	(1.4	)	$	(2.7	)

Pension Benefits
Balance at beginning of period	$	3.2		$	—		$	—
Other comprehensive (loss) income:
Net change from period revaluations:	(9.0		)	5.2			—
Tax benefit (expense)	3.4			(2.0		)	—
Total other comprehensive income before reclassifications, net of tax	$	(5.6	)	$	3.2		$	—
Net amount reclassified to earnings	—			—			—
Tax benefit⁽²⁾	—			—			—
Total amount reclassified from accumulated other comprehensive income, net of tax	$	—		$	—		$	—
Total other comprehensive income	(5.6		)	(3.2		)	—
Balance at end of period	$	(2.4	)	$	3.2		$	—

Foreign Exchange Forward Contracts
Balance at beginning of period	$	—		$	—		$	—
Other comprehensive income:
Net change from period revaluations:	3.4			—			—
Tax expense	(0.9		)	—			—
Total other comprehensive income before reclassifications, net of tax	$	2.5		$	—		$	—
Net amount reclassified to earnings	(1.6		)	—			—
Tax benefit ⁽²⁾	0.4			—			—
Total amount reclassified from accumulated other comprehensive income, net of tax	$	(1.2	)	$	—		$	—
Total other comprehensive income	1.3			—			—
Balance at end of period	$	1.3		$	—		$	—


(1)	In 2014 and 2013, there were no tax impacts related to foreign currency translation adjustments and no amounts were reclassified to earnings. In 2012, a $2.7 million tax impact was recorded which reversed in 2013.


(2)	These amounts were included in the income tax provision on the accompanying Consolidated Statements of Income.


(3)	This amount was included in interest expense, net on the accompanying Consolidated Statements of Income.

Stock-based Compensation (Tables)

12 Months Ended

Dec. 31, 2014

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Schedule of Stock-based Compensation Expense



	December 31,
(in millions)	2014		2013		2012
PRSU expense (benefit)	$	3.5	$	3.0	$	(0.9	)
Stock option expense	7.0		8.3		4.4
RSU/DSU expense	2.9		5.6		2.2
Total stock-based compensation expense	$	13.4	$	16.9	$	5.7

Summary of PRSU Activity and Related Information

The following table shows the PRSUs granted under the 2013 Plan and LTIP during the year ended December 31, 2014:



(shares in millions)	Performance period	Target shares granted	Weighted-average fair value per share
Year ended 2015⁽¹⁾	January 1, 2014 – December 31, 2015	0.15	$	51.87
Year ended 2016⁽²⁾	January 1, 2014 - December 31, 2016	0.15	$	51.87


(1)	At the end of the performance period, the actual number of shares issuable can range from zero to 200.0% of the target shares granted, which is assumed to be 100.0%.


(2)	At the end of the performance period, the actual number of shares issuable can range from zero to 300.0% of the target shares granted, which is assumed to be 100.0%.

A summary of the Company’s PRSU activity and related information for the years ended December 31, 2014 and 2013 is presented below:



(shares in millions)	Shares		Weighted Average Grant Date Fair Value
Awards unvested at December 31, 2012	0.3		$	58.52
Granted	0.3		39.34
Vested	—		—
Forfeited	(0.3	)	56.92
Awards unvested at December 31, 2013	0.3		$	39.04
Granted	0.3		51.87
Vested	0.0		37.05
Forfeited	(0.3	)	39.38
Awards unvested at December 31, 2014	0.3		$	53.45

Stock Options Valuation Assumptions



	Year Ended
	December 31,
	2014	2013	2012
Expected volatility range of stock	56.7% - 66.5%	63.0% - 72.8%	49.0% - 73.0%
Expected life of option, range in years	2 - 4	2 - 3	2 - 4
Risk-free interest range rate	0.4% - 1.4%	0.3% - 0.6%	0.3% - 0.7%
Expected dividend yield on stock	0.6% - 0.7%	0.6% - 0.9%	0.0% - 1.3%

Schedule of Stock Option Activity

A summary of the Company’s unvested shares relating to stock options as of December 31, 2014 and 2013, and changes during the years ended December 31, 2014 and 2013, are presented below:



(shares in millions)	Shares		Weighted Average Grant Date Fair Value
Options unvested at December 31, 2012	0.9		$	23.49
Granted	0.6		39.77
Vested	(0.8	)	19.71
Forfeited	(0.1	)	39.62
Options unvested at December 31, 2013	0.6		$	42.16
Granted	0.2		52.08
Vested	(0.3	)	42.46
Forfeited	0.0		50.53
Options unvested at December 31, 2014	0.5		$	46.23

A summary of the Company’s stock option activity under the 2003 Plan and 2013 Plan for the years ended December 31, 2014 and 2013, is presented below:



(shares in millions)	Shares		Weighted Average Exercise Price		Weighted Average Remaining Contractual Term (Years)	Aggregate Intrinsic Value
Options outstanding at December 31, 2012	2.9		$	17.00
Granted	0.6		39.77
Exercised	(0.6	)	14.54
Terminated	(0.1	)	39.62
Options outstanding at December 31, 2013	2.8		$	21.73
Granted	0.2		52.08
Exercised	(0.2	)	20.82
Terminated	0.0		50.53
Options outstanding at December 31, 2014	2.8		$	24.18	5.13	$	84.3

Options exercisable at December 31, 2014	2.3		$	19.20	4.35	$	82.9

Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity

A summary of the Company's RSU and DSU activity and related information for the years ended December 31, 2014 and 2013 is presented below:



(in millions, except release price and years)	Shares		Weighted Average Release Price		Aggregate Intrinsic Value
Awards outstanding at December 31, 2012	0.2		$	32.03
Granted	0.2		45.56
Vested	(0.2	)	30.49
Terminated	—		—
Awards outstanding at December 31, 2013	0.2		$	47.00
Granted	0.0		54.56
Vested	(0.1	)	44.47
Terminated	0.0		46.77
Awards outstanding at December 31, 2014	0.1		$	50.41	$	5.8

Schedule of Unrecognized Compensation Expense



(in millions, except years)	December 31, 2014		Weighted Average Remaining Vesting Period (Years)
Unrecognized stock option expense	$	3.5	2.17
Unrecognized DSU/RSU expense	0.8		2.11
Unrecognized PRSU expense	9.2		1.56
Total unrecognized stock-based compensation expense	$	13.5	1.76

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2014

Income Tax Disclosure [Abstract]

Reconciliation of Statutory Tax Rate to Effective Tax Rate

The Company’s effective income tax provision differs from the amount calculated using the statutory U.S. federal income tax rate, principally due to the following:



	Year Ended December 31,
	2014					2013					2012
(dollars in millions)	Amount			Percentage of Income Before Income Taxes		Amount			Percentage of Income Before Income Taxes		Amount			Percentage of Income Before Income Taxes
Statutory U.S. federal income tax	$	61.2		35.0	%	$	44.8		35.0	%	$	80.2		35.0	%
State income taxes, net of federal benefit	1.1			0.6	%	1.7			1.3	%	4.5			2.0	%
Foreign repatriation, net of foreign tax credits	13.5			7.7	%	(16.0		)	(12.6	)%	48.1			21.0	%
Foreign tax differential	(12.6		)	(7.2	)%	(12.3		)	(9.6	)%	(9.7		)	(4.2	)%
Change in valuation allowances	(17.7		)	(10.0	)%	20.4			15.9	%	(2.8		)	(1.2	)%
Uncertain tax positions	10.9			6.1	%	4.7			3.7	%	2.6			1.1	%
Subpart F income	1.9			1.1	%	1.5			1.2	%	4.1			1.8	%
Manufacturing deduction	(3.7		)	(2.1	)%	0.1			—	%	(3.8		)	(1.7	)%
Goodwill on disposal of business	7.5			4.2	%	—			—	%	—			—	%
Permanent and other	2.8			1.7	%	4.2			3.5	%	(0.8		)	(0.4	)%
Effective income tax provision	$	64.9		37.1	%	$	49.1		38.4	%	$	122.4		53.4	%

Pre-tax Income Attributable to Operating Segments

The following sets forth the amount of income or (loss) before income taxes attributable to each of the Company’s geographies for the years ended December 31, 2014, 2013 and 2012:



	Year Ended December 31,
(in millions)	2014		2013			2012
Income before income taxes:
United States	$	46.9	$	(4.5	)	$	126.2
Rest of the world	128.0		132.5			103.0
	$	174.9	$	128.0		$	229.2

Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:



(in millions)
Balance as of December 31, 2012	$	12.9
Additions attributable to Sealy on date of acquisition	9.2
Additions based on tax positions related to 2013	2.3
Additions for tax positions of prior years	7.2
Settlements of uncertain tax positions with tax authorities	(5.5		)
Balance as of December 31, 2013	26.1
Additions based on tax positions related to 2014	24.3
Additions for tax positions of prior years	0.5
Expiration of statutes of limitations	(3.2		)
Settlements of uncertain tax positions with tax authorities	(0.1		)
Balance as of December 31, 2014	$	47.6

Operating Loss and Tax Credit Carryforwards

The Company has the following gross income tax attributes available at December 31, 2014 and 2013 respectively (in millions):



	2014		2013
U.S. federal net operating loss (“FedNOLs”)	$	—	$	19.6
State net operating losses (“SNOLs”)	145.3		135.6
U.S. federal foreign tax credits (“FTCs”)	7.8		20.4
U.S. state income tax credits ("SITCs")	1.6		0.7
Foreign net operating losses (“FNOLs”)	44.2		67.1
Charitable contribution carryover ("CCCs")	8.4		—

Tax Provision Summary

The income tax provision consisted of the following:



	Year Ended December 31,
(in millions)	2014			2013			2012
Current provision
Federal	$	50.7		$	48.6		$	49.9
State	4.5			7.3			7.8
Foreign	36.9			42.3			26.3
Total current	$	92.1		$	98.2		$	84.0
Deferred provision
Federal	$	(25.2	)	$	(47.0	)	$	37.1
State	(1.2		)	0.4			4.2
Foreign	(0.8		)	(2.5		)	(2.9		)
Total deferred	(27.2		)	(49.1		)	38.4
Total income tax provision	$	64.9		$	49.1		$	122.4

Deferred Tax Assets and Liabilities Recognized in the Consolidated Balance Sheets

The net deferred tax assets and liabilities recognized in the accompanying Consolidated Balance Sheets consisted of the following:



	December 31,
(in millions)	2014			2013
Deferred tax assets:
Stock-based compensation	$	12.4		$	10.0
Accrued expenses and other	57.9			53.7
Net operating losses, foreign tax credits and charitable contribution carryforward	30.6			55.3
Inventories	4.5			4.6
Intangible assets	14.5			9.0
Property, plant and equipment	4.0			3.9
Total deferred tax assets	123.9			136.5
Valuation allowances	(21.7		)	(39.4		)
Total net deferred tax assets	$	102.2		$	97.1
Deferred tax liabilities:
Transaction costs	$	(258.1	)	$	(261.9	)
Property, plant and equipment	(45.7		)	(62.5		)
Accrued expenses and other	(4.5		)	(4.3		)
Total deferred tax liabilities	(308.3		)	(328.7		)
Net deferred tax liabilities	$	(206.1	)	$	(231.6	)

- Definition

Tabular disclosure of tax positions taken in the tax returns filed or to be filed for which it is more likely than not that the tax position will not be sustained upon examination by taxing authorities (i.e., uncertain tax positions) and other types of income tax contingencies, including: (1) the policy on classification of interest and penalties; (2) a tabular reconciliation of the total amounts of unrecognized tax benefits at the beginning and end of the period; the total amount(s) of: (3) unrecognized tax benefits that, if recognized, would affect the effective tax rate, and (4) interest and penalties recognized in each of the income statement and balance sheet; (5) for positions for which it is reasonably possible that the total amounts unrecognized will significantly change within 12 months of the reporting date the: (i) nature of the uncertainty, (ii) nature of the event that could occur that would cause the change, and (iii) an estimate of the range of the reasonably possible change or a statement that an estimate of the range cannot be made; and (6) a description of tax years that remain subject to examination by major tax jurisdictions.

+ References+ Details

Business Segment Information (Tables)

12 Months Ended

Dec. 31, 2014

Segment Reporting [Abstract]

Total Assets by Segment

The following table summarizes total assets by reportable segment:



	December 31,
(in millions)	2014			2013
Tempur North America	$	2,431.4		$	2,110.7
Tempur International	463.1			477.7
Sealy	2,000.6			1,956.6
Inter-segment eliminations	(2,232.5		)	(1,815.1		)
Total assets	$	2,662.6		$	2,729.9

The following table summarizes long-lived assets by reportable segment:



	December 31,
(in millions)	2014		2013
Tempur North America	$	137.1	$	132.8
Tempur International	49.2		53.2
Sealy	169.3		225.6
Total long lived assets	$	355.6	$	411.6

Schedule of Disclosure on Geographic Areas, Long-Lived Assets in Individual Foreign Countries by Country

The following table summarizes long-lived assets by geographic region:



	Year Ended December 31,
(in millions)	2014		2013
United States	$	287.3	$	335.9
Canada	8.0		9.3
Other International	60.3		66.4
	$	355.6	$	411.6

Total International	$	68.3	$	75.7

Long-lived Assets by Segment and Net Sales by Geographic Area

The following table summarizes long-lived assets by reportable segment:



	December 31,
(in millions)	2014		2013
Tempur North America	$	137.1	$	132.8
Tempur International	49.2		53.2
Sealy	169.3		225.6
Total long lived assets	$	355.6	$	411.6

The following table summarizes long-lived assets by geographic region:



	Year Ended December 31,
(in millions)	2014		2013
United States	$	287.3	$	335.9
Canada	8.0		9.3
Other International	60.3		66.4
	$	355.6	$	411.6

Total International	$	68.3	$	75.7

The following table summarizes net sales by geographic region:



	Year Ended December 31,
(in millions)	2014		2013		2012
United States	$	2,188.7	$	1,736.8	$	923.4
Canada	216.4		190.2		40.8
Other International	584.7		537.3		438.7
	$	2,989.8	$	2,464.3	$	1,402.9

Total International	$	801.1	$	727.5	$	479.5

Segment Financial Information

The following table summarizes reportable segment information:



	Year Ended December 31,
(in millions)	2014		2013		2012
Net sales to external customers:
Tempur North America
Bedding	$	930.5	$	830.4	$	882.3



Other products	62.7			79.6			82.0
	$	993.2		$	910.0		$	964.3

Tempur International
Bedding	$	354.7		$	327.7		$	332.4
Other products	117.3			111.9			106.2
	$	472.0		$	439.6		$	438.6

Sealy
Bedding	$	1,441.3		$	1,040.3		$	—
Other products	83.3			74.4			—
	$	1,524.6		$	1,114.7		$	—
	$	2,989.8		$	2,464.3		$	1,402.9

Inter-segment sales:
Tempur North America	$	3.8		$	0.2		$	0.9
Tempur International	0.6			0.6			1.5
Sealy	22.8			5.9			—
Intercompany eliminations	(27.2		)	(6.7		)	(2.4		)
	$	—		$	—		$	—

Gross profit:
Tempur North America	$	413.9		$	392.7		$	449.3
Tempur International	274.9			269.8			265.3
Sealy	461.6			352.4			—
	$	1,150.4		$	1,014.9		$	714.6

Operating income:
Tempur North America	$	84.9		$	67.6		$	144.4
Tempur International	91.6			107.5			103.9
Sealy	99.8			68.7			—
	$	276.3		$	243.8		$	248.3

Income (loss) before income taxes:
Tempur North America	$	19.8		$	(33.8	)	$	126.2
Tempur International	88.5			102.6			103.0
Sealy	66.6			59.2			—
	$	174.9		$	128.0		$	229.2

Depreciation and amortization (including stock-based compensation amortization):
Tempur North America	$	31.7		$	42.0		$	30.6
Tempur International	13.7			12.8			11.4
Sealy	44.3			36.7			—
	$	89.7		$	91.5		$	42.0

Intercompany royalties:
Tempur North America	$	6.1		$	5.8		$	12.7
Tempur International	(6.1		)	(5.8		)	(12.7		)



Sealy	—		—		—
	$	—	$	—	$	—

Capital expenditures:
Tempur North America	$	20.2	$	20.7	$	36.8
Tempur International	14.4		10.1		13.7
Sealy	12.9		9.2		—
	$	47.5	$	40.0	$	50.5

- Definition

Tabular disclosure of the profit or loss and total assets for each reportable segment. An entity discloses certain information on each reportable segment if the amounts (a) are included in the measure of segment profit or loss reviewed by the chief operating decision maker or (b) are otherwise regularly provided to the chief operating decision maker, even if not included in that measure of segment profit or loss.

+ References+ Details

Quarterly Financial Data (unaudited) (Tables)

12 Months Ended

Dec. 31, 2014

Quarterly Financial Information Disclosure [Abstract]

Quarterly Financial Data

Quarterly results of operations for the years ended December 31, 2014 and 2013, which include Sealy's results of operations from March 18, 2013 through December 31, 2013, are summarized below:



(in millions, except per share amounts)	First Quarter		Second Quarter			Third Quarter		Fourth Quarter
2014
Net sales	$	701.9	$	715.0		$	827.4	$	745.5
Gross profit	269.5		268.3			318.5		294.1
Operating income	62.4		50.3			87.1		76.5
Net income (loss)	27.4		(2.2		)	37.1		46.6
Basic earnings (loss) per common share	$	0.45	$	(0.04	)	$	0.61	$	0.77
Diluted earnings (loss) per common share	$	0.44	$	(0.04	)	$	0.60	$	0.75

2013
Net sales	$	390.1	$	660.6		$	735.5	$	678.1
Gross profit	188.4		254.9			298.7		272.9
Operating income	44.5		44.0			81.2		74.1
Net income	12.5		(1.6		)	40.2		27.5
Basic earnings (loss) per common share	$	0.21	$	(0.03	)	$	0.66	$	0.45
Diluted earnings (loss) per common share	$	0.20	$	(0.03	)	$	0.65	$	0.45

Guarantor/Non-Guarantor Financial Information (Tables)

12 Months Ended

Dec. 31, 2014

Guarantor/Non-Guarantor Financial Information

Schedule of Supplemental Condensed Consolidating Statements of Operations

TEMPUR SEALY INTERNATIONAL, INC.

Supplemental Consolidated Statements of Income and Comprehensive Income

Year Ended December 31, 2014

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)			Combined Guarantor Subsidiaries			Combined Non-Guarantor Subsidiaries			Eliminations			Consolidated
Net sales	$	—		$	2,229.5		$	802.9		$	(42.6	)	$	2,989.8
Cost of sales	—			1,465.3			416.7			(42.6		)	1,839.4
Gross profit	—			764.2			386.2			—			1,150.4
Selling and marketing expenses	2.4			431.2			186.3			—			619.9
General, administrative and other expenses	13.4			200.5			66.7			—			280.6
Equity income in earnings of unconsolidated affiliates	—			—			(8.3		)	—			(8.3		)
Royalty income, net of royalty expense	—			(18.1		)	—			—			(18.1		)
Operating (loss) income	(15.8		)	150.6			141.5			—			276.3

Other expense, net:
Third party interest expense, net	27.0			62.4			2.5			—			91.9
Intercompany interest expense (income), net	32.7			(34.6		)	1.9			—			—
Interest expense, net	59.7			27.8			4.4			—			91.9
Loss on dispsoal, net	—			23.2			—			—			23.2
Other (income) expense, net	—			(17.2		)	3.5			—			(13.7		)
Total other expense	59.7			33.8			7.9			—			101.4

Income from equity investees	159.2			98.7			—			(257.9		)	—

Income before income taxes	83.7			215.5			133.6			(257.9		)	174.9
Income tax benefit (provision)	26.3			(56.3		)	(34.9		)	—			(64.9		)
Net income	110.0			159.2			98.7			(257.9		)	110.0
Less: net income attributable to non-controlling interest	1.1			1.1			—			(1.1		)	1.1
Net income attributable to Tempur Sealy International, Inc.	$	108.9		$	158.1		$	98.7		$	(256.8	)	$	108.9

Comprehensive income	$	66.9		$	163.3		$	60.3		$	(223.6	)	$	66.9

TEMPUR SEALY INTERNATIONAL, INC.

Supplemental Consolidated Statements of Income and Comprehensive Income

Year Ended December 31, 2013

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)			Combined Guarantor Subsidiaries			Combined Non-Guarantor Subsidiaries			Eliminations			Consolidated
Net sales	$	—		$	1,758.2		$	728.1		$	(22.0	)	$	2,464.3
Cost of sales	—			1,110.5			360.9			(22.0		)	1,449.4
Gross profit	—			647.7			367.2			—			1,014.9
Selling and marketing expenses	2.4			358.1			162.4			—			522.9
General, administrative and other expenses	17.1			181.6			67.6			—			266.3
Equity income in earnings of unconsolidated affiliates	—			—			(4.4		)	—			(4.4		)
Royalty income, net of royalty expense	—			(13.7		)	—			—			(13.7		)
Operating (loss) income	(19.5		)	121.7			141.6			—			243.8

Other expense, net:
Third party interest expense, net	27.5			81.5			1.8			—			110.8
Intercompany interest expense (income), net	32.7			(34.1		)	1.4			—			—
Interest expense (income), net	60.2			47.4			3.2			—			110.8
Other (income) expense, net	—			(0.9		)	5.9			—			5.0
Total other expense	60.2			46.5			9.1			—			115.8

Income from equity investees	133.4			93.6			—			(227.0		)	—

Income before income taxes	53.7			168.8			132.5			(227.0		)	128.0
Income tax benefit (provision)	25.2			(35.4		)	(38.9		)	—			(49.1		)
Net income	78.9			133.4			93.6			(227.0		)	78.9
Less: net income attributable to non-controlling interest	0.3			0.3			—			(0.3		)	0.3
Net income attributable to Tempur Sealy International, Inc.	$	78.6		$	133.1		$	93.6		$	(226.7	)	$	78.6

Comprehensive income	$	72.5		$	133.8		$	86.2		$	(220.0	)	$	72.5

TEMPUR SEALY INTERNATIONAL, INC.

Supplemental Consolidated Statements of Income and Comprehensive Income

Year Ended December 31, 2012

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)			Combined Guarantor Subsidiaries			Combined Non-Guarantor Subsidiaries			Eliminations			Consolidated
Net sales	$	—		$	947.8		$	481.0		$	(25.9	)	$	1,402.9
Cost of sales	—			509.0			205.2			(25.9		)	688.3
Gross profit	—			438.8			275.8			—			714.6
Selling and marketing expenses	2.5			191.9			124.7			—			319.1
General, administrative and other expenses	4.9			96.4			45.9			—			147.2
Equity income in earnings of unconsolidated affiliates	—			—			—			—			—
Royalty income, net of royalty expense	—			—			—			—			—
Operating (loss) income	(7.4		)	150.5			105.2			—			248.3

Other expense, net:
Third party interest expense, net	—			18.3			0.5			—			18.8
Intercompany interest expense (income), net	31.5			(31.5		)	—			—			—
Interest expense (income), net	31.5			(13.2		)	0.5			—			18.8
Other expense, net	—			—			0.3			—			0.3
Total other expense (income)	31.5			(13.2		)	0.8			—			19.1

Income from equity investees	134.8			81.0			—			(215.8		)	—

Income before income taxes	95.9			244.7			104.4			(215.8		)	229.2
Income tax benefit (provision)	10.9			(109.9		)	(23.4		)	—			(122.4		)
Net income	106.8			134.8			81.0			(215.8		)	106.8
Less: net income attributable to non-controlling interest	—			—			—			—			—
Net income attributable to Tempur Sealy International, Inc.	$	106.8		$	134.8		$	81.0		$	(215.8	)	$	106.8

Comprehensive income	$	113.9		$	136.9		$	86.0		$	(222.9	)	$	113.9

Schedule of Supplemental Condensed Consolidating Balance Sheets

TEMPUR SEALY INTERNATIONAL, INC.

Supplemental Consolidated Balance Sheets

December 31, 2014

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)		Combined Guarantor Subsidiaries		Combined Non-Guarantor Subsidiaries			Eliminations			Consolidated
ASSETS

Current Assets:
Cash and cash equivalents	$	0.4	$	25.5	$	36.6		$	—		$	62.5
Accounts receivable, net	—		241.2		144.6			—			385.8
Inventories	—		158.3		58.9			—			217.2
Income taxes payable	144.1		—		—			(144.1		)	—
Prepaid expenses and other current assets	—		28.2		28.3			—			56.5
Deferred income taxes	12.4		26.8		5.2			—			44.4
Total Current Assets	156.9		480.0		273.6			(144.1		)	766.4
Property, plant and equipment, net	—		287.3		68.3			—			355.6
Goodwill	—		557.2		179.3			—			736.5
Other intangible assets, net	—		611.9		115.2			—			727.1
Deferred tax asset	—		—		8.6			—			8.6
Other non-current assets	6.3		46.4		15.7			—			68.4
Net investment in subsidiaries	1,808.4		—		—			(1,808.4		)	—
Due from affiliates	51.4		2,226.0		5.3			(2,282.7		)	—
Total Assets	$	2,023.0	$	4,208.8	$	666.0		$	(4,235.2	)	$	2,662.6

LIABILITIES AND STOCKHOLDERS’ EQUITY

Current Liabilities:
Accounts payable	$	—	$	170.4	$	56.0		$	—		$	226.4
Accrued expenses and other current liabilities	1.4		166.1		65.8			—			233.3
Deferred income taxes	—		—		0.2			—			0.2
Income taxes payable	—		163.0		(6.9		)	(144.1		)	12.0
Current portion of long-term debt	—		61.8		4.6			—			66.4
Total Current Liabilities	1.4		561.3		119.7			(144.1		)	538.3
Long-term debt	375.0		1,160.9		—			—			1,535.9
Deferred income taxes	—		229.1		29.7			—			258.8
Other non-current liabilities	—		109.3		5.0			—			114.3
Due to affiliates	1,431.3		340.2		849.4			(2,620.9		)	—
Total Liabilities	1,807.7		2,400.8		1,003.8			(2,765.0		)	2,447.3

Redeemable non-controlling interest	12.6		12.6		—			(12.6		)	12.6

Total Stockholders’ Equity	202.7		1,795.4		(337.8		)	(1,457.6		)	202.7
Total Liabilities and Stockholders’ Equity	$	2,023.0	$	4,208.8	$	666.0		$	(4,235.2	)	$	2,662.6

TEMPUR SEALY INTERNATIONAL, INC.

Supplemental Consolidated Balance Sheets

December 31, 2013

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)		Combined Guarantor Subsidiaries		Combined Non-Guarantor Subsidiaries			Eliminations			Consolidated
ASSETS
Current Assets:
Cash and cash equivalents	$	—	$	30.9	$	50.1		$	—		$	81.0
Accounts receivable, net	—		192.6		156.6			—			349.2
Inventories	—		147.5		51.7			—			199.2
Income tax receivable	118.4		—		—			(118.4		)	—
Prepaid expenses and other current assets	—		26.3		27.4			—			53.7
Deferred income taxes	10.0		29.3		5.1			—			44.4
Total Current Assets	128.4		426.6		290.9			(118.4		)	727.5
Property, plant and equipment, net	—		335.9		75.7			—			411.6
Goodwill	—		577.2		182.4			—			759.6
Other intangible assets, net	—		624.6		125.5			—			750.1
Deferred tax asset	—		—		10.9			—			10.9
Other non-current assets	7.6		47.0		15.6			—			70.2
Net investment in subsidiaries	756.0		—		—			(756.0		)	—
Due from affiliates	1,299.9		2,306.5		0.9			(3,607.3		)	—
Total Assets	$	2,191.9	$	4,317.8	$	701.9		$	(4,481.7	)	$	2,729.9

LIABILITIES AND STOCKHOLDERS’ EQUITY

Current Liabilities:
Accounts payable	$	—	$	140.5	$	50.7		$	—		$	191.2
Accrued expenses and other current liabilities	1.4		144.2		62.8			—			208.4
Deferred income taxes	—		—		0.8			—			0.8
Income taxes payable	—		115.2		4.7			(118.4		)	1.5
Current portion of long-term debt	—		36.6		3.0						39.6
Total Current Liabilities	1.4		436.5		122.0			(118.4		)	441.5
Long-term debt	375.0		1,421.9		—			—			1,796.9
Deferred income taxes	—		252.8		33.3			—			286.1
Other non-current liabilities	—		69.1		6.2			—			75.3
Due to affiliates	1,685.4		1,381.5		940.5			(4,007.4		)	—
Total Liabilities	2,061.8		3,561.8		1,102.0			(4,125.8		)	2,599.8

Redeemable non-controlling interest	11.5		11.5		—			(11.5		)	11.5

Total Stockholders’ Equity	118.6		744.5		(400.1		)	(344.4		)	118.6
Total Liabilities and Stockholders’ Equity	$	2,191.9	$	4,317.8	$	701.9		$	(4,481.7	)	$	2,729.9

Schedule of Supplemental Condensed Consolidating Statements of Cash Flows

TEMPUR SEALY INTERNATIONAL, INC.

Supplemental Consolidated Statements of Cash Flows

Year Ended December 31, 2014

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)			Combined Guarantor Subsidiaries			Combined Non-Guarantor Subsidiaries			Eliminations		Consolidated
Net cash (used in) provided by operating activities	$	(62.7	)	$	191.5		$	96.4		$	—	$	225.2

CASH FLOWS FROM INVESTING ACTIVITIES:
Acquisition of business, net of cash acquired	$	—		$	—		$	(8.5	)	$	—	$	(8.5	)
Proceeds from disposition of business	—			43.5			—			—		43.5
Purchases of property, plant and equipment	—			(31.3		)	(16.2		)			(47.5		)
Other	—			3.0			(0.9		)	—		2.1
Net cash used in investing activities	—			15.2			(25.6		)	—		(10.4		)

CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from 2012 Credit Agreement	—			271.5			—			—		271.5
Repayments 2012 Credit Agreement	—			(510.9		)	—			—		(510.9		)
Net activity in investment in and advances (to) from subsidiaries and affiliates	59.3			32.1			(91.4		)	—		—
Payment of deferred financing costs	—			(3.1		)	—			—		(3.1		)
Proceeds from exercise of stock options	4.3			—			—			—		4.3
Excess tax benefit from stock based compensation	1.7			—			—			—		1.7
Treasury stock repurchased	(2.2		)	—			—			—		(2.2		)
Other	—			(1.7		)	2.3			—		0.6
Net cash provided by (used in) financing activities	63.1			(212.1		)	(89.1		)	—		(238.1		)

NET EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	—			—			4.8			—		4.8
Increase (decrease) in cash and cash equivalents	0.4			(5.4		)	(13.5		)	—		(18.5		)
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD	—			30.9			50.1			—		81.0
CASH AND CASH EQUIVALENTS, END OF PERIOD	$	0.4		$	25.5		$	36.6		$	—	$	62.5

TEMPUR SEALY INTERNATIONAL, INC.

Supplemental Consolidated Statements of Cash Flows

Year Ended December 31, 2013

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)			Combined Guarantor Subsidiaries			Combined Non-Guarantor Subsidiaries			Eliminations		Consolidated
Net cash (used in) provided by operating activities	$	(66.1	)	$	80.9		$	83.7		$	—	$	98.5
CASH FLOWS FROM INVESTING ACTIVITIES:
Acquisition of business, net of cash acquired	—			(1,035.3		)	(137.6		)	—		(1,172.9		)
Purchase of property, plant and equipment	—			(28.3		)	(11.7		)	—		(40.0		)
Other	—			(54.7		)	54.6			—		(0.1		)
Net cash used in investing activities	—			(1,118.3		)	(94.7		)	—		(1,213.0		)

CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from 2012 Credit Agreement	$	—		$	2,992.6		$	—		$	—	$	2,992.6
Repayments of the 2012 Credit Agreement	—			(1,658.3		)	—			—		(1,658.3		)
Proceeds from issuance of Senior Notes	375.0			—			—			—		375.0
Proceeds from the 2011 Credit Facility	—			46.5			—			—		46.5
Repayments of the 2011 Credit Facility	—			(696.5		)	—			—		(696.5		)
Net activity in investment in and advances from (to) subsidiaries and affiliates	(772.8		)	874.9			(102.1		)	—		—
Payment of deferred financing costs	(8.4		)	(43.6		)	—			—		(52.0		)
Proceeds from exercise of stock options	8.7			—			—			—		8.7
Excess tax benefit from stock based compensation	5.4			—			—			—		5.4
Treasury stock repurchased	458.2			(465.2		)	—			—		(7.0		)
Other	—			(1.3		)	0.3			—		(1.0		)
Net cash provided by (used in) financing activities	66.1			1,049.1			(101.8		)	—		1,013.4

NET EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	—			—			2.8			—		2.8
Increase in cash and cash equivalents	—			11.7			(110.0		)	—		(98.3		)
CASH AND CASH EQUIVALENTS, BEGININNG OF PERIOD	—			19.2			160.1			—		179.3
CASH AND CASH EQUIVALENTS, END OF PERIOD	$	—		$	30.9		$	50.1		$	—	$	81.0

TEMPUR SEALY INTERNATIONAL, INC.

Supplemental Consolidated Statements of Cash Flows

Year Ended December 31, 2012

(in millions)



	Tempur Sealy International, Inc. (Ultimate Parent)			Combined Guarantor Subsidiaries			Combined Non-Guarantor Subsidiaries			Eliminations		Consolidated
Net cash (used in) provided by operating activities	$	(43.6	)	$	140.5		$	93.0		$	—	$	189.9
CASH FLOWS FROM INVESTING ACTIVITIES:
Acquisition of business, net of cash acquired	—			—			(4.5		)	—		(4.5		)
Purchase of property, plant and equipment	—			(36.7		)	(13.8		)	—		(50.5		)
Other	—			(0.1		)	0.1			—		—
Net cash used in investing activities	—			(36.8		)	(18.2		)	—		(55.0		)

CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from 2012 Credit Agreement	$	—		$	—		$	—		$	—	$	—
Repayments of the 2012 Credit Agreement	—			—			—			—		—
Proceeds from the 2011 Credit Facility	—			352.0			—			—		352.0
Repayments of the 2011 Credit Facility	—			(287.0		)	—			—		(287.0		)
Net activity in investment in and advances from (to) subsidiaries and affiliates	187.0			(170.8		)	(16.2		)	—		—
Payment of deferred financing costs	(2.2		)	—			(0.1		)	—		(2.3		)
Proceeds from exercise of stock options	11.4			—			—			—		11.4
Excess tax benefit from stock based compensation	—			10.5			—			—		10.5
Treasury stock repurchased	(152.6		)	—			—			—		(152.6		)
Other	—			—			(2.8		)	—		(2.8		)
Net cash provided by (used in) financing activities	43.6			(95.3		)	(19.1		)	—		(70.8		)

NET EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	—			—			3.8			—		3.8
(Decrease) increase in cash and cash equivalents	—			8.4			59.5			—		67.9
CASH AND CASH EQUIVALENTS, BEGININNG OF PERIOD	—			10.8			100.6			—		111.4
CASH AND CASH EQUIVALENTS, END OF PERIOD	$	—		$	19.2		$	160.1		$	—	$	179.3

Summary of Significant Accounting Policies - Additional Information (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014 facility	Dec. 31, 2013	Dec. 31, 2012
Business Acquisition [Line Items]
Noncontrolling interest, ownership percentage by parent	100.00%
Depreciation expense	$ 57.7	$ 59.4	$ 30.9
Product warranty accrual, current	16.1	14.9
Product warranty accrual, noncurrent	15.2	11.2
Allowance for doubtful accounts included in accounts receivable, net	19.5	19.3
Shipping and handling included in net sales	14.7	12.5	4.9
Shipping and handling included in cost of sales	169.2	142.5	99.7
Other income, net of expense	15.6
Advertising costs charged to expense	326.7	274.2	164.5
Advertising costs deferred and included in Prepaid expenses and other current assets	9.7	8.5
Research and development costs charged to expense	21.6	21.0	15.6
Royalty revenue, net of royalty expense	18.1	13.7
Self insurance reserve, excess loss coverage per claim per year	0.4
Self insurance reserve, current	4.8	5.4
Self insurance reserve, noncurrent	$ 10.0	$ 9.5
Number of active plants	4
Number of previously closed US facilities	8
Term of supply agreements, minimum	2 years
Term of supply agreements, maximum	5 years
Sealy Canada
Business Acquisition [Line Items]
Noncontrolling interest, ownership percentage by parent	100.00%
Variable Interest Entity, Primary Beneficiary \| Comfort Revolution
Business Acquisition [Line Items]
Equity method investment, ownership percentage	45.00%

Summary of Significant Accounting Policies - Schedule of Inventory, Current (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Accounting Policies [Abstract]
Finished goods	$ 134.0	$ 126.7
Work-in-process	11.4	10.0
Raw materials and supplies	71.8	62.5
Total	$ 217.2	$ 199.2

Summary of Significant Accounting Policies - Schedule of Property, Plant and Equipment (Details)	12 Months Ended
	Dec. 31, 2014
Buildings \| Minimum
Property, Plant and Equipment [Line Items]
Estimated useful lives	25 years
Buildings \| Maximum
Property, Plant and Equipment [Line Items]
Estimated useful lives	30 years
Computer equipment and software \| Minimum
Property, Plant and Equipment [Line Items]
Estimated useful lives	3 years
Computer equipment and software \| Maximum
Property, Plant and Equipment [Line Items]
Estimated useful lives	5 years
Leasehold improvements \| Minimum
Property, Plant and Equipment [Line Items]
Estimated useful lives	4 years
Leasehold improvements \| Maximum
Property, Plant and Equipment [Line Items]
Estimated useful lives	7 years
Machinery and equipment \| Minimum
Property, Plant and Equipment [Line Items]
Estimated useful lives	3 years
Machinery and equipment \| Maximum
Property, Plant and Equipment [Line Items]
Estimated useful lives	7 years
Office furniture and fixtures \| Minimum
Property, Plant and Equipment [Line Items]
Estimated useful lives	5 years
Office furniture and fixtures \| Maximum
Property, Plant and Equipment [Line Items]
Estimated useful lives	7 years

Summary of Significant Accounting Policies - Property, Plant and Equipment Summary (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	$ 654.1	$ 690.6
Accumulated depreciation	(298.5)	(279.0)
Property, plant and equipment, net	355.6	411.6
Machinery and equipment
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	243.5	270.8
Land and buildings
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	247.1	261.9
Computer equipment and software
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	69.2	72.3
Furniture and fixtures
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	54.9	56.7
Construction in progress
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	$ 39.4	$ 28.9

Summary of Significant Accounting Policies - Changes in Accrued Sales Returns (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Changes in Accrued Sales Returns [Roll Forward]
Beginning balance	$ 28.7	$ 5.1
Amounts accrued	127.4	104.8
Liabilities assumed as a result of Sealy Acquisition		19.9
Returns charged to accrual	(123.8)	(101.1)
Ending balance	$ 32.3	$ 28.7

Summary of Significant Accounting Policies - Schedule of Warranty Terms (Details)

12 Months Ended

Dec. 31, 2014

Mattresses | Prorated

Valuation and Qualifying Accounts Disclosure [Line Items]

Warranty term

10 years

Mattresses | Minimum | Non-prorated

Valuation and Qualifying Accounts Disclosure [Line Items]

Warranty term

10 years

Mattresses | Maximum | Non-prorated

Valuation and Qualifying Accounts Disclosure [Line Items]

Warranty term

15 years

Tempur North America | Mattresses | Minimum

Valuation and Qualifying Accounts Disclosure [Line Items]

Warranty term

10 years

^[1]

Tempur North America | Mattresses | Maximum

Valuation and Qualifying Accounts Disclosure [Line Items]

Warranty term

25 years

^[1]

Tempur North America | Pillows

Valuation and Qualifying Accounts Disclosure [Line Items]

Warranty term

3 years

Tempur International | Mattresses | Minimum

Valuation and Qualifying Accounts Disclosure [Line Items]

Warranty term

5 years

^[1],[2]

Tempur International | Mattresses | Maximum

Valuation and Qualifying Accounts Disclosure [Line Items]

Warranty term

15 years

^[1],[2]

Tempur International | Pillows

Valuation and Qualifying Accounts Disclosure [Line Items]

Warranty term

3 years

Sealy | Mattresses | Minimum

Valuation and Qualifying Accounts Disclosure [Line Items]

Warranty term

10 years

^[2]

Sealy | Mattresses | Maximum

Valuation and Qualifying Accounts Disclosure [Line Items]

Warranty term

25 years

^[2]

[1]	Products have various warranty terms, generally non-prorated for the first 10 to 15 years and then prorated for the balance of the warranty term.
[2]	The last 10 years of warranty period are prorated on a straight-line basis

Summary of Significant Accounting Policies - Warranty Activity (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Movement in Extended Product Warranty Accrual [Roll Forward]
Liabilities assumed as a result of Sealy Acquisition		$ 19.9
Warranty Reserves
Movement in Extended Product Warranty Accrual [Roll Forward]
Balance at beginning of period	26.1	4.8
Amounts accrued	34.2	22.7
Liabilities assumed as a result of Sealy Acquisition		21.4
Warranties charged to accrual	(29.0)	(22.8)
Balance at end of period	$ 31.3	$ 26.1

Acquisitions and Divestitures - Additional Information (Details) (USD $)	0 Months Ended	12 Months Ended				0 Months Ended	12 Months Ended		0 Months Ended	3 Months Ended	12 Months Ended
	Mar. 18, 2013 Sealy	Dec. 31, 2014 Sealy	Dec. 31, 2013 Sealy	Dec. 31, 2012 Sealy	Mar. 18, 2013 Sealy	Jul. 01, 2014 Japanese Third Party Acquisition	Dec. 31, 2011 Minimum	Dec. 31, 2011 Maximum	Jun. 30, 2014 U.S. Innerspring facility	Sep. 30, 2014 U.S. Innerspring	Dec. 31, 2014 U.S. Innerspring	Jun. 30, 2014 U.S. Innerspring
Business Acquisition [Line Items]
Cash price per share (in dollars per share)					$ 2.20
Net consideration transferred	$ 1,172,900,000					$ 8,500,000
Direct transaction costs		0	18,700,000	8,900,000
Incremental interest expense			19,900,000
Fiscal period duration							364 days	371 days
Number of divestitures									3
Total consideration					1,225,100,000					45,000,000		47,800,000
Discontinued Operation, Amount of Adjustment to Prior Period Gain (Loss) on Disposal, Working Capital Adjustment										2,800,000
Assets of disposal group												66,800,000
Loss on disposal											23,200,000
Transaction costs											$ 1,400,000

Acquisitions and Divestitures - Components of Consideration Transferred (Details) (USD $)
In Millions, except Per Share data, unless otherwise specified

0 Months Ended

Dec. 31, 2014

Senior Notes

Dec. 19, 2012

Senior Notes

Mar. 18, 2013

Sealy

Mar. 18, 2013

Sealy

Mar. 18, 2013

Sealy

Sealy Notes

Mar. 18, 2013

Sealy

Senior Notes

Mar. 18, 2013

Sealy

Subordinated Debt

Business Acquisition [Line Items]

Cash consideration for stock

$ 231.2

^[1]

Cash consideration for share-based awards

14.2

^[2]

Cash consideration for 8.0% Sealy Notes

442.1

^[3]

Cash consideration for repayment of Sealy Senior Notes

260.7

^[4]

Cash consideration for repayment of Sealy 2014 Notes

276.9

^[5]

Total consideration

1,225.1

Cash acquired

(52.2)

^[6]

Net consideration transferred

$ 1,172.9

Cash price per share (in dollars per share)

$ 2.20

Number of shares issued

105.1

Stated percentage

6.875%

8.00%

10.875%

8.25%

Consideration that would have been payable to a holder of common stock (shares)

201.0

[1]	The cash consideration for outstanding shares of Sealy common stock is the product of the agreed-upon cash per share price of $2.20 and total Sealy shares of 105.1 million.
[2]	The cash consideration for share-based awards is the product of the agreed-upon cash per share price of $2.20 and the total number of RSUs and DSUs outstanding and the “in the money” stock options net of the weighted average exercise price.
[3]	The cash consideration for Sealy’s 8.0% Senior Secured Third Lien Convertible Notes due 2016 (“8.0% Sealy Notes”) is the result of applying the adjusted equity conversion rate to the 8.0% Sealy Notes tendered for conversion and multiplying the result by the agreed-upon cash per share price of $2.20. The 8.0% Sealy Notes that were converted represented the right to receive the same merger consideration that would have been payable to a holder of 201.0 million shares of Sealy common stock, subject to adjustment in accordance with the terms of the supplemental indenture governing the 8.0% Sealy Notes.
[4]	The cash consideration for Sealy’s 10.875% Senior Notes due 2016 (“Sealy Senior Notes”) reflects the repayment of the outstanding obligation.
[5]	The cash consideration for Sealy’s 8.25% Senior Subordinated Notes due 2014 (“Sealy 2014 Notes”) reflects the repayment of the outstanding obligation.
[6]	Represents the Sealy cash balance acquired at acquisition.

Acquisitions and Divestitures - Components of Preliminary Purchase Price Allocation (Details) (USD $) In Millions, unless otherwise specified				0 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012	Mar. 18, 2013 Sealy	Mar. 18, 2013 Sealy	Mar. 18, 2013 Sealy Trade names	Mar. 18, 2013 Sealy Contractual retailer/distributor relationships	Mar. 18, 2013 Sealy Developed technology, including patents	Mar. 18, 2013 Sealy Customer databases	Mar. 18, 2013 Sealy Trade names	Mar. 18, 2013 Sealy Notes Sealy
Business Acquisition [Line Items]
Accounts receivable					$ 185.0
Inventory					75.1
Prepaid expenses and other current assets					22.8
Accounts payable					(77.9)
Accrued expenses					(137.2)
Property, plant and equipment					242.9
Other assets					32.6
Identifiable intangible assets:
Intangible assets, not amortizable										521.2
Intangible assets, amortizable						2.3	91.1	87.1	3.9
Deferred income taxes, net					(232.8)
8.0% Sealy Notes					(96.2)
Redeemable non-controlling interest					(11.3)
Other liabilities					(77.5)
Goodwill	736.5	759.6	216.1		541.8
Net consideration transferred				$ 1,172.9
Stated percentage											8.00%

Acquisitions and Divestitures - Pro Forma Information (Details) (Sealy, USD $) In Millions, except Per Share data, unless otherwise specified	12 Months Ended
	Dec. 31, 2013
Sealy
Business Acquisition [Line Items]
Net sales	$ 2,757.2
Net income	$ 90.9
Earnings per common share – Diluted (in dollars per share)	$ 1.49

Goodwill and Other Intangible Assets - Goodwill by Reportable Business Segment (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2014
Goodwill [Roll Forward]
Beginning balance	$ 216.1		$ 736.5
Disposal of business	(21.4)
Goodwill resulting from acquisitions	2.3	541.8
Foreign currency translation adjustments	(4.0)	1.7
Ending balance	759.6	216.1	736.5
Tempur North America
Goodwill [Roll Forward]
Beginning balance	108.9		106.2
Disposal of business	0
Goodwill resulting from acquisitions	0	0
Foreign currency translation adjustments	(1.5)	(1.2)
Ending balance	107.7	108.9	106.2
Tempur International
Goodwill [Roll Forward]
Beginning balance	107.2		108.4
Disposal of business	0
Goodwill resulting from acquisitions	2.3	0
Foreign currency translation adjustments	(1.2)	0.1
Ending balance	107.3	107.2	108.4
Sealy
Goodwill [Roll Forward]
Beginning balance	0		521.9
Disposal of business	(21.4)
Goodwill resulting from acquisitions	0	541.8
Foreign currency translation adjustments	(1.3)	2.8
Ending balance	$ 544.6	$ 0	$ 521.9

Goodwill and Other Intangible Assets - Other Intangible Assets and Expected Future Amortization Expense (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Intangible Assets, Combined Indefinite lived and Finite lived Intangible Assets by Major Class [Line Items]
Gross carrying amount, total	$ 801.2	$ 806.9
Accumulated Amortization	74.1	56.8
Net Carrying Amount	727.1	750.1
Finite-Lived Intangible Assets, Net [Abstract]
Amortization expense relating to intangible assets	18.5	15.2	5.4
Finite-Lived Intangible Assets, Future Amortization Expense [Abstract]
2015	18.3
2016	17.9
2017	16.6
2018	15.6
2019	15.4
Trade names
Intangible Assets, Combined Indefinite lived and Finite lived Intangible Assets by Major Class [Line Items]
Gross carrying amount - indefinite life intangible assets	569.0	575.3
Accumulated Amortization	0	0
Net Carrying Amount	569.0	575.3
Contractual distributor relationships
Intangible Assets, Combined Indefinite lived and Finite lived Intangible Assets by Major Class [Line Items]
Useful Lives (Years)	15 years
Gross carrying amount - finite life intangible assets	88.2	90.0
Accumulated Amortization	10.4	4.7
Net Carrying Amount	77.8	85.3
Technology and other
Intangible Assets, Combined Indefinite lived and Finite lived Intangible Assets by Major Class [Line Items]
Gross carrying amount - finite life intangible assets	92.6	93.2
Accumulated Amortization	32.6	25.5
Net Carrying Amount	60.0	67.7
Technology and other \| Minimum
Intangible Assets, Combined Indefinite lived and Finite lived Intangible Assets by Major Class [Line Items]
Useful Lives (Years)	4 years
Technology and other \| Maximum
Intangible Assets, Combined Indefinite lived and Finite lived Intangible Assets by Major Class [Line Items]
Useful Lives (Years)	10 years
Patents, other trademarks, and other trade names
Intangible Assets, Combined Indefinite lived and Finite lived Intangible Assets by Major Class [Line Items]
Gross carrying amount - finite life intangible assets	27.3	27.4
Accumulated Amortization	14.6	12.2
Net Carrying Amount	12.7	15.2
Patents, other trademarks, and other trade names \| Minimum
Intangible Assets, Combined Indefinite lived and Finite lived Intangible Assets by Major Class [Line Items]
Useful Lives (Years)	5 years
Patents, other trademarks, and other trade names \| Maximum
Intangible Assets, Combined Indefinite lived and Finite lived Intangible Assets by Major Class [Line Items]
Useful Lives (Years)	20 years
Customer databases, relationships and reacquired rights
Intangible Assets, Combined Indefinite lived and Finite lived Intangible Assets by Major Class [Line Items]
Gross carrying amount - finite life intangible assets	24.1	21.0
Accumulated Amortization	16.5	14.4
Net Carrying Amount	$ 7.6	$ 6.6
Customer databases, relationships and reacquired rights \| Minimum
Intangible Assets, Combined Indefinite lived and Finite lived Intangible Assets by Major Class [Line Items]
Useful Lives (Years)	2 years
Customer databases, relationships and reacquired rights \| Maximum
Intangible Assets, Combined Indefinite lived and Finite lived Intangible Assets by Major Class [Line Items]
Useful Lives (Years)	5 years

Unconsolidated Affiliate Companies (Details) (Joint Ventures, USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Joint Ventures
Unconsolidated Affiliate Companies
Ownership percentage	50.00%
Net investment	$ 12.9	$ 7.8
Current assets	49.7	39.1
Non-current assets	5.1	5.7
Current liabilities	29.7	31.7
Equity	25.1	13.1
Revenues	99.2	67.9
Gross profit	62.1	45.0
Income from operations	16.8	10.9
Net income	$ 13.1	$ 8.9

Debt - Schedule of Borrowings Outstanding (Details) (USD $)															12 Months Ended			12 Months Ended			12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2014 Senior Notes	Dec. 31, 2013 Senior Notes	Dec. 19, 2012 Senior Notes	Dec. 31, 2014 Sealy Notes	Dec. 31, 2013 Sealy Notes	Apr. 12, 2013 Sealy Notes	Mar. 19, 2013 Sealy Notes	Dec. 31, 2014 Term A Facility	Dec. 31, 2013 Term A Facility	Dec. 31, 2014 Term B Facility	Dec. 31, 2013 Term B Facility	Dec. 12, 2012 2012 Credit Agreement	Dec. 31, 2014 2012 Credit Agreement Term A Facility	Dec. 31, 2013 2012 Credit Agreement Term A Facility	Dec. 12, 2012 2012 Credit Agreement Term A Facility	Dec. 31, 2014 2012 Credit Agreement Term B Facility	Dec. 31, 2013 2012 Credit Agreement Term B Facility	Dec. 12, 2012 2012 Credit Agreement Term B Facility	Dec. 31, 2014 Revolving Credit Facility	Dec. 31, 2013 Revolving Credit Facility
Debt Instrument [Line Items]
$375.0 million Senior Notes, interest at 6.875%, due December 15, 2020			$ 375,000,000	$ 375,000,000
Long-term line of credit										484,500,000	522,500,000	594,400,000	737,300,000								16,000,000	74,500,000
8.0% Sealy Notes, due July 15, 2016						104,700,000	99,600,000
Capital lease obligations and other	27,700,000	27,600,000
Debt and Capital Lease Obligations	1,602,300,000	1,836,500,000
Less current portion	(66,400,000)	(39,600,000)
Long-term debt	1,535,900,000	1,796,900,000
Principal borrowing capacity, maximum			$ 375,000,000.0											$ 350,000,000.0			$ 550,000,000.0			$ 870,000,000.0
Stated percentage			6.875%		6.875%	8.00%	8.00%	8.00%	8.00%
Line of credit facility, interest rate at period end																		0.75%			2.25%
Index rate or LIBOR plus (percentage)															2.25%	2.50%		2.75%	2.75%		3.00%	3.25%

Debt - Credit Facilities and Other Additional Information (Details) (USD $)	0 Months Ended	12 Months Ended				0 Months Ended	12 Months Ended	0 Months Ended	12 Months Ended					0 Months Ended		12 Months Ended									0 Months Ended	9 Months Ended	12 Months Ended				0 Months Ended			9 Months Ended	12 Months Ended			0 Months Ended		0 Months Ended		0 Months Ended		0 Months Ended	12 Months Ended
	Aug. 08, 2011	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012	Oct. 17, 2014	Oct. 17, 2014 Minimum	Dec. 31, 2014 Minimum	Oct. 17, 2014 Maximum	Dec. 31, 2014 Maximum	Dec. 31, 2014 Term A Facility	Dec. 31, 2013 Term A Facility	Dec. 31, 2014 Term B Facility	Dec. 31, 2013 Term B Facility	Oct. 17, 2014 Senior Notes	Dec. 31, 2014 Senior Notes	Dec. 31, 2014 Revolving Credit Facility	Dec. 31, 2013 Revolving Credit Facility	Dec. 31, 2014 Revolving Credit Facility Adjusted LIBOR	Dec. 31, 2014 Revolving Credit Facility Base Rate	Dec. 31, 2014 Revolving Credit Facility Term A Facility Adjusted LIBOR	Dec. 31, 2014 Revolving Credit Facility Term B Facility Adjusted LIBOR	Dec. 31, 2014 Letter of Credit	Dec. 31, 2014 2012 Credit Agreement	Dec. 12, 2012 2012 Credit Agreement	Sep. 30, 2014 2012 Credit Agreement Term A Facility	Sep. 30, 2014 2012 Credit Agreement Term A Facility	Dec. 31, 2014 2012 Credit Agreement Term A Facility	Dec. 31, 2013 2012 Credit Agreement Term A Facility	Jul. 11, 2013 2012 Credit Agreement Term A Facility	Dec. 12, 2012 2012 Credit Agreement Term A Facility	Dec. 12, 2012 2012 Credit Agreement Term A Facility Adjusted LIBOR	Dec. 12, 2012 2012 Credit Agreement Term A Facility Base Rate	Sep. 30, 2014 2012 Credit Agreement Term B Facility	Sep. 30, 2014 2012 Credit Agreement Term B Facility	Dec. 31, 2014 2012 Credit Agreement Term B Facility	Dec. 31, 2013 2012 Credit Agreement Term B Facility	Dec. 12, 2012 2012 Credit Agreement Term B Facility	Dec. 12, 2012 2012 Credit Agreement Term B Facility Adjusted LIBOR	May 16, 2013 2012 Credit Agreement Term B Facility Adjusted LIBOR	Dec. 12, 2012 2012 Credit Agreement Term B Facility Adjusted LIBOR Minimum	May 16, 2013 2012 Credit Agreement Term B Facility Adjusted LIBOR Minimum	Dec. 12, 2012 2012 Credit Agreement Term B Facility Base Rate	May 16, 2013 2012 Credit Agreement Term B Facility Base Rate	Sep. 30, 2014 2012 Credit Agreement Senior Notes	Dec. 31, 2013 2011 Credit Agreement
Line of Credit Facility [Line Items]
Principal borrowing capacity, maximum															$ 375,000,000.0									$ 350,000,000.0						$ 550,000,000.0							$ 870,000,000.0
Index rate or LIBOR plus (percentage)																3.00%	3.25%										2.25%	2.50%			3.00%	2.00%			2.75%	2.75%		4.00%		1.00%		3.00%
Debt instrument, reduction in applicable margin (percentage)																													0.75%										2.75%		0.75%		1.75%
Equity interest of subsidiary guarantor (percentage)																							100.00%
Equity voting rights of subsidiary (percentage)																							65.00%
Domestic qualified cash, maximum percentage																							100.00%
Foreign qualified cash, maximum percentage																							60.00%
Domestic and foreign qualified cash, maximum																							150,000,000.0
Domestic qualified cash																							25,900,000
Foreign qualified cash, maximum																							21,900,000
Initial unused commitment fee (percentage)																0.50%
Unused commitment fee (percentage)																0.375%
Total net leverage ratio																3.50
Debt basket					50,000,000
Line of credit facility, interest rate at period end																2.25%		3.16%	5.25%	2.42%	3.50%														0.75%
Borrowings, line of credit																271,500,000
Repayments of debt																330,000,000											38,000,000								142,900,000
Total outstanding borrowings										484,500,000	522,500,000	594,400,000	737,300,000			16,000,000	74,500,000					18,200,000
Total availability																315,800,000
Quarterly payments																											13,500,000								1,500,000
Balloon payment																											323,000,000								564,100,000
Prepayments of debt																										9,100,000								12,800,000
Voluntary prepayments																									1,900,000								123,100,000
Debt issuance cost														3,100,000																														3,300,000
Remaining lease term (in years)		10 years
Deferred financing costs			54,300,000	54,300,000
Debt instrument amortization period deferred financing costs						4 years	5 years	6 years	8 years
Write-off of deferred financing costs		$ 0	$ 4,700,000	$ 0																																									$ 4,700,000
Interest rate swap period (in years)	4 years

Debt - Notes Payable (Details) (USD $)	12 Months Ended			0 Months Ended	12 Months Ended					12 Months Ended
Debt - Notes Payable (Details) (USD $)	Dec. 31, 2014 Senior Notes	Dec. 31, 2013 Senior Notes	Dec. 19, 2012 Senior Notes	Mar. 19, 2013 Sealy Notes	Dec. 31, 2014 Sealy Notes	Dec. 31, 2013 Sealy Notes	Apr. 12, 2013 Sealy Notes	Mar. 19, 2013 Sealy Notes	Mar. 18, 2013 Sealy Notes	Dec. 31, 2014 Any time on or after December 15, 2016 Senior Notes	Dec. 31, 2014 Any time on or after December 15, 2017 Senior Notes	Dec. 31, 2014 Any time on or after December 15, 2018 Senior Notes	Dec. 31, 2014 Any time prior to December 15, 2016 with 'make-whole' premium and accrued and unpaid interest, if any Senior Notes	Dec. 31, 2014 Any time prior to December 15, 2016 with the net cash proceeds from certain equity offerings plus accrued and unpaid interest, if any Senior Notes
Debt Instrument [Line Items]
Senior notes, noncurrent			$ 375,000,000
Stated percentage	6.875%		6.875%		8.00%	8.00%	8.00%	8.00%
Redemption price, percentage										103.438%	101.719%	100.00%
Percentage of redemption on notes													100.00%	35.00%
Percentage of principal amount that may be redeemed	106.875%
Minimum percentage of notes not eligible for early redemption	65.00%
Percentage of notes converted to cash							83.00%
Debt instrument, convertible, conversion ratio, period I				2,325.43
Debt conversion ratio numerator					1,000			1,000
Debt instrument, convertible, conversion ratio, period II					2,200
Outstanding convertible notes percentage					17.00%
Notes, fair value	398,400,000	405,000,000			110,700,000	99,900,000			96,200,000
Notes, carrying value					104,700,000
Debt instrument, accreted discount					8,700,000	3,700,000
8.0% Sealy Notes, due July 15, 2016					$ 104,700,000	$ 99,600,000

Debt - Schedule of Maturities of Long-term Debt (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Apr. 12, 2013	Mar. 19, 2013
Debt Instrument [Line Items]
2015	$ 66.4
2016	166.6
2017	62.2
2018	347.7
2019	8.9
Thereafter	950.5
Total	$ 1,602.3
Sealy Notes
Debt Instrument [Line Items]
Stated percentage	8.00%	8.00%	8.00%	8.00%

Fair Value Measurements (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014 Senior Notes	Dec. 31, 2013 Senior Notes	Dec. 19, 2012 Senior Notes	Dec. 31, 2014 Sealy Notes	Dec. 31, 2013 Sealy Notes	Apr. 12, 2013 Sealy Notes	Mar. 19, 2013 Sealy Notes	Mar. 18, 2013 Sealy Notes
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Notes, fair value	$ 398.4	$ 405.0		$ 110.7	$ 99.9			$ 96.2
Stated percentage	6.875%		6.875%	8.00%	8.00%	8.00%	8.00%

Derivative Financial Instruments (Details) (USD $) In Millions, unless otherwise specified	0 Months Ended			12 Months Ended
	Aug. 08, 2011	Dec. 30, 2013	Dec. 30, 2011	Dec. 31, 2014 Foreign Exchange Forward
Derivatives, Fair Value [Line Items]
Term of interest rate swap (in years)	4 years
Variable interest rate (percentage)			1.25%
Senior credit facility balance covered under interest rate swap contracts		$ 150.0	$ 250.0
Notional amount				46.5
Gain on derivative				$ 1.4

Retirement Plans - Defined Contribution Plans (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Deferred Profit Sharing
Defined Contribution Plan Disclosure [Line Items]
Defined contribution plan, cost recognized	$ 1.7	$ 4.0
401k Plan
Defined Contribution Plan Disclosure [Line Items]
Eligible employee contribution maximum (percentage)	15.00%
Employment eligibility for plan participation minimum (in days)	90 days
Defined contribution plan, employment eligibility to receive matching contributions, minimum (in years)	1 year
Defined contribution plan, percentage of eligible employee contribution match, first tier	100.00%
Defined contribution plan, percentage of eligible employee contributions matched fully, first tier	3.00%
Defined contribution plan, eligible employee contribution match, second tier	50.00%
Defined contribution plan, eligible employee contribution matched by the company, second tier	2.00%
Defined contribution plan, cost recognized	$ 5.0	$ 1.7	$ 1.5

Retirement Plans - Defined Benefit Plans (Details) (USD $)
In Millions, unless otherwise specified

12 Months Ended

Dec. 31, 2014

facility

Dec. 31, 2013

Retirement plans

Number of active plants at which a defined benefit pension plan for current and former hourly employees is provided

Number of previously closed U.S. facilities at which a defined benefit pension plan for current and former hourly employees was provided

Components of net periodic pension cost for employees

Service cost

$ 0.9

Interest cost

1.8

1.3

Expected return on assets

(2.1)

(1.5)

Curtailment loss

0.1

Amortization of net gain

(0.1)

Other changes in plan assets and benefit obligations recognized in accumulated other comprehensive income

Net loss (gain)

9.0

(6.2)

Amortization of prior service cost

(0.2)

1.0

Amortization of net gain

0.1

New prior service cost

0.1

Total recognized in other comprehensive income

9.0

(5.2)

Assumptions, calculated on a weighted-average basis, were used to determine pension costs

Discount rate

4.01%

^[1]

4.23%

^[1]

Expected long term return on plan assets

7.00%

6.92%

Change in Benefit Obligation:

Projected benefit obligation at beginning of year

36.4

39.9

Service cost

0.9

Interest cost

1.8

1.3

Plan changes

0.2

0.5

Actuarial loss (gain)

9.2

(4.8)

Curtailments

(0.1)

Benefits paid

(0.7)

(0.5)

Expenses paid

(0.2)

(0.3)

Foreign currency exchange rate changes

(0.4)

(0.6)

Projected benefit obligation at end of year

47.1

36.4

Change in Plan Assets:

Fair value of plan assets at beginning of year

30.5

26.2

Actual return on assets

2.2

2.9

Employer contribution

1.0

2.8

Plan settlements

(0.4)

Benefits paid

(0.7)

(0.5)

Expenses paid

(0.2)

(0.3)

Foreign currency exchange rate changes

(0.3)

(0.2)

Fair value of plan assets at end of year

32.5

30.5

Funded status

(14.6)

(5.9)

Amounts recognized in the Consolidated Balance Sheets:

Non-current portion of benefit liability

14.9

6.7

Non-current benefit asset

0.3

0.8

Accumulated other comprehensive income

9.0

(5.2)

Assumptions, calculated on a weighted-average basis, were used to determine benefit obligations

Discount rate (percentage)

5.00%

^[2]

5.00%

^[2]

Continuing Operations

Components of net periodic pension cost for employees

Net periodic pension cost

0.6

0.7

Sealy

Retirement plans

Ownership interest (percentage)

100.00%

Number of facilities where employees are covered by defined benefit pension plan

United States Retirement Plan

Assumptions, calculated on a weighted-average basis, were used to determine pension costs

Discount rate

3.94%

4.25%

Assumptions, calculated on a weighted-average basis, were used to determine benefit obligations

Discount rate (percentage)

5.00%

United States Retirement Plan | Sealy

Change in Benefit Obligation:

Projected benefit obligation at end of year

43.7

33.3

Change in Plan Assets:

Fair value of plan assets at end of year

28.8

26.7

Canadian Retirement Plan

Assumptions, calculated on a weighted-average basis, were used to determine pension costs

Discount rate

5.00%

4.00%

Assumptions, calculated on a weighted-average basis, were used to determine benefit obligations

Discount rate (percentage)

5.00%

Canadian Retirement Plan | Sealy

Change in Benefit Obligation:

Projected benefit obligation at end of year

3.4

3.1

Change in Plan Assets:

Fair value of plan assets at end of year

$ 3.7

$ 3.8

[1]

[2]

The discount rates used in 2014 and 2013 to determine the benefit obligations for the United States defined benefit pension plan and Canadian defined benefit pension plan were both 5.00%.

Retirement Plans - Plan Assets and Estimated Future Benefit Payments (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Retirement plans
Expected contribution in next fiscal year	$ 1.6
Estimated future benefit payments
Fiscal 2015	0.9
Fiscal 2016	1.0
Fiscal 2017	1.0
Fiscal 2018	1.1
Fiscal 2019	1.2
Fiscal 2020 ‑ Fiscal 2024	8.4
Target and actual asset allocations
Total target plan assets	100.00%
Total actual plan assets	100.00%
Total assets	32.5	30.5	26.2
Quoted Prices in Active Markets for Identical Assets (Level 1)
Target and actual asset allocations
Total assets	0	30.5
Significant Other Observable Inputs (Level 2)
Target and actual asset allocations
Total assets	32.5	0
Significant Unobservable Inputs (Level 3)
Target and actual asset allocations
Total assets	0	0
Equity securities
Target and actual asset allocations
Total target plan assets	60.00%
Total actual plan assets	76.86%
Debt securities
Target and actual asset allocations
Total target plan assets	40.00%
Total actual plan assets	21.77%
Other
Target and actual asset allocations
Total target plan assets	0.00%
Total actual plan assets	1.37%
U.S. equity
Target and actual asset allocations
Total assets	19.6	13.1
U.S. equity \| Quoted Prices in Active Markets for Identical Assets (Level 1)
Target and actual asset allocations
Total assets	0	13.1
U.S. equity \| Significant Other Observable Inputs (Level 2)
Target and actual asset allocations
Total assets	19.6	0
U.S. equity \| Significant Unobservable Inputs (Level 3)
Target and actual asset allocations
Total assets	0	0
International equity
Target and actual asset allocations
Total assets	5.2	5.9
International equity \| Quoted Prices in Active Markets for Identical Assets (Level 1)
Target and actual asset allocations
Total assets	0	5.9
International equity \| Significant Other Observable Inputs (Level 2)
Target and actual asset allocations
Total assets	5.2	0
International equity \| Significant Unobservable Inputs (Level 3)
Target and actual asset allocations
Total assets	0	0
Total equity based funds
Target and actual asset allocations
Total assets	24.8	19.0
Total equity based funds \| Quoted Prices in Active Markets for Identical Assets (Level 1)
Target and actual asset allocations
Total assets	0	19.0
Total equity based funds \| Significant Other Observable Inputs (Level 2)
Target and actual asset allocations
Total assets	24.8	0
Total equity based funds \| Significant Unobservable Inputs (Level 3)
Target and actual asset allocations
Total assets	0	0
Common/collective trust - fixed income
Target and actual asset allocations
Total assets	7.0	10.5
Common/collective trust - fixed income \| Quoted Prices in Active Markets for Identical Assets (Level 1)
Target and actual asset allocations
Total assets	0	10.5
Common/collective trust - fixed income \| Significant Other Observable Inputs (Level 2)
Target and actual asset allocations
Total assets	7.0	0
Common/collective trust - fixed income \| Significant Unobservable Inputs (Level 3)
Target and actual asset allocations
Total assets	0	0
Money market funds
Target and actual asset allocations
Total assets	0.7	1.0
Money market funds \| Quoted Prices in Active Markets for Identical Assets (Level 1)
Target and actual asset allocations
Total assets	0	1.0
Money market funds \| Significant Other Observable Inputs (Level 2)
Target and actual asset allocations
Total assets	0.7	0
Money market funds \| Significant Unobservable Inputs (Level 3)
Target and actual asset allocations
Total assets	$ 0	$ 0
United States Retirement Plan
Target and actual asset allocations
Expected long-term return assumption (percentage)	7.00%
Canadian Retirement Plan
Target and actual asset allocations
Expected long-term return assumption (percentage)	6.00%

Retirement Plans - Multi-employer Benefit Plans (Details) (USD $)
In Millions, unless otherwise specified

12 Months Ended

Dec. 31, 2014

facility

Dec. 31, 2013

Multi-Employer Benefit Plans

Domestic employees represented by various labor unions with separate collective bargaining agreements (percentage)

68.00%

Maximum

Multi-Employer Benefit Plans

Total contributions for most recent plan year available (percentage)

5.00%

Red Zone | Maximum

Multi-Employer Benefit Plans

Multi-employer plans funded status (percentage) (less than for Red and Yellow Zone, greater than for Green Zone)

65.00%

Yellow Zone

Multi-Employer Benefit Plans

Number of years in which a multi-employer plan is projected to be a credit balance

7 years

Yellow Zone | Minimum

Multi-Employer Benefit Plans

Multi-employer plans funded status (percentage) (less than for Red and Yellow Zone, greater than for Green Zone)

80.00%

Green Zone

Multi-Employer Benefit Plans

Number of years in which a multi-employer plan is projected not to be a credit balance

7 years

Green Zone | Minimum

Multi-Employer Benefit Plans

Multi-employer plans funded status (percentage) (less than for Red and Yellow Zone, greater than for Green Zone)

80.00%

Multi-employer Retirement Plan

Multi-Employer Benefit Plans

Number of domestic manufacturing facilities where employees are covered by union sponsored multiemployer plans

Expenses recognized for contributions

$ 4.7

$ 3.9

Multi-employer Health and Welfare Plan | Multi-employer Retirement Plan

Multi-Employer Benefit Plans

Number of domestic manufacturing facilities where employees are covered by union sponsored multiemployer plans

Expenses recognized for contributions

2.2

United Furniture Workers Pension Fund A

Multi-Employer Benefit Plans

Surcharge (percentage)

10.00%

^[1],[2]

10.00%

^[1],[2]

United Furniture Workers Pension Fund A | Multi-employer Retirement Plan

Multi-Employer Benefit Plans

Expenses recognized for contributions

0.9

^[1]

0.7

^[1]

Pension Plan of the National Retirement Fund

Multi-Employer Benefit Plans

Surcharge (percentage)

10.00%

^[1],[2]

10.00%

^[2]

Pension Plan of the National Retirement Fund | Multi-employer Retirement Plan

Multi-Employer Benefit Plans

Expenses recognized for contributions

1.1

^[1]

0.7

Central States, Southeast & Southwest Areas Pension Plan

Multi-Employer Benefit Plans

Surcharge (percentage)

10.00%

^[2]

Central States, Southeast & Southwest Areas Pension Plan | Multi-employer Retirement Plan

Multi-Employer Benefit Plans

Expenses recognized for contributions

$ 0.4

[1]	The Company represented more than 5.0% of the total contributions for the most recent plan year available.
[2]	Indicates whether the Company paid a surcharge to the plan in the most current year due to funding shortfalls and the amount of the surcharge.

Stockholders' Equity (Details) (USD $)	12 Months Ended
Stockholders' Equity (Details) (USD $)	Dec. 31, 2014	Dec. 31, 2013
Stockholders' Equity Note [Abstract]
Common stock shares authorized (in shares)	300,000,000	300,000,000
Common stock par or stated value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock authorized shares (in shares)	10,000
Preferred stock par or stated value (in dollars per share)	$ 0.01
Common stock, voting rights per share held	1

Other Items - Accrued Expenses and Other Current Liabilities (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Other Items [Abstract]
Wages and benefits	$ 60.0	$ 59.3
Advertising	41.6	29.7
Sales returns	32.3	28.7	5.1
Rebates	22.8	23.0
Warranty	16.1	14.9
Other	60.5	52.8
Total accrued expenses and other current liabilities	$ 233.3	$ 208.4

- Definition

Carrying value as of the balance sheet date of obligations incurred through that date and payable for advertising of the entity's goods and services. Used to reflect the current portion of the liabilities (due within one year or within the normal operating cycle if longer).

+ References+ Details

- Definition

Aggregate carrying amount of current liabilities (due within one year or within the normal operating cycle if longer) not separately disclosed in the balance sheet. Includes costs that are statutory in nature, are incurred on contractual obligations, or accumulate over time and for which invoices have not yet been received or will not be rendered and of liabilities not separately disclosed.

+ References+ Details

Other Items - Accumulated Other Comprehensive Loss (Details) (USD $)
In Millions, unless otherwise specified

12 Months Ended

Dec. 31, 2014

Dec. 31, 2013

Dec. 31, 2012

Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]

Balance at beginning of period

$ (13.7)

Foreign currency translation adjustments

(38.4)

(10.6)

8.2

Tax benefit (expense)

(64.9)

(49.1)

(122.4)

Total other comprehensive income (loss)

(42.0)

(6.1)

7.1

Balance at end of period

(55.7)

(13.7)

Foreign Currency Translation

Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]

Balance at beginning of period

(15.6)

(5.0)

(13.2)

Foreign currency translation adjustments

(38.4)

^[1]

(13.3)

^[1]

10.9

^[1]

Tax benefit (expense)

^[1]

2.7

^[1]

(2.7)

^[1]

Balance at end of period

(54.0)

(15.6)

(5.0)

Interest Rate Swap Agreement

Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]

Balance at beginning of period

(1.4)

(2.7)

(1.6)

Net change from period revaluations:

3.0

5.2

2.7

Tax benefit (expense)

(1.2)

(1.5)

(0.5)

Total other comprehensive income before reclassifications, net of tax

1.8

3.7

2.2

Total amount reclassified from accumulated other comprehensive loss, net of tax

(1.1)

(2.4)

(3.3)

Total other comprehensive income (loss)

0.7

1.3

(1.1)

Balance at end of period

(0.7)

(1.4)

(2.7)

Pension Benefits

Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]

Balance at beginning of period

3.2

Net change from period revaluations:

(9.0)

5.2

Tax benefit (expense)

3.4

(2.0)

Total other comprehensive income before reclassifications, net of tax

(5.6)

3.2

Total amount reclassified from accumulated other comprehensive loss, net of tax

Total other comprehensive income (loss)

(5.6)

(3.2)

Balance at end of period

(2.4)

3.2

Foreign Exchange Forward Contracts

Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]

Balance at beginning of period

Net change from period revaluations:

3.4

Tax benefit (expense)

(0.9)

Total other comprehensive income before reclassifications, net of tax

2.5

Total amount reclassified from accumulated other comprehensive loss, net of tax

(1.2)

Total other comprehensive income (loss)

1.3

Balance at end of period

1.3

Reclassification out of Accumulated Other Comprehensive Income | Interest Rate Swap Agreement

Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]

Tax benefit (expense)

0.8

^[2]

0.8

^[2]

0.7

^[2]

Net amount reclassified to earnings

(1.9)

^[3]

(3.2)

^[3]

(4.0)

^[3]

Reclassification out of Accumulated Other Comprehensive Income | Pension Benefits

Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]

Tax benefit (expense)

^[2]

Net amount reclassified to earnings

Reclassification out of Accumulated Other Comprehensive Income | Foreign Exchange Forward Contracts

Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]

Tax benefit (expense)

0.4

^[2]

Net amount reclassified to earnings

$ (1.6)

$ 0

[1]	In 2014 and 2013, there were no tax impacts related to foreign currency translation adjustments and no amounts were reclassified to earnings. In 2012, a $2.7 million tax impact was recorded which reversed in 2013.
[2]	These amounts were included in the income tax provision on the accompanying Consolidated Statements of Income.
[3]	This amount was included in interest expense, net on the accompanying Consolidated Statements of Income.

- Definition

Accumulated change in equity from transactions and other events and circumstances from non-owner sources, net of tax effect, at period end. Excludes Net Income (Loss), and accumulated changes in equity from transactions resulting from investments by owners and distributions to owners. Includes foreign currency translation items, certain pension adjustments, unrealized gains and losses on certain investments in debt and equity securities, other than temporary impairment (OTTI) losses related to factors other than credit losses on available-for-sale and held-to-maturity debt securities that an entity does not intend to sell and it is not more likely than not that the entity will be required to sell before recovery of the amortized cost basis, as well as changes in the fair value of derivatives related to the effective portion of a designated cash flow hedge.

+ References+ Details

Stock-based Compensation (Details) (USD $)
In Millions, except Per Share data, unless otherwise specified

12 Months Ended

Dec. 31, 2014

plan

Dec. 31, 2013

Dec. 31, 2012

Dec. 31, 2014

Performance-based Restricted Stock Units

Dec. 31, 2013

Performance-based Restricted Stock Units

Dec. 31, 2012

Performance-based Restricted Stock Units

Dec. 31, 2014

Performance-based Restricted Stock Units

2015

Dec. 31, 2014

Performance-based Restricted Stock Units

2016

Dec. 31, 2014

Stock Options

Dec. 31, 2013

Stock Options

Dec. 31, 2012

Stock Options

Dec. 31, 2014

Restricted Stock Units and Deferred Stock Units

Dec. 31, 2013

Restricted Stock Units and Deferred Stock Units

Dec. 31, 2012

Restricted Stock Units and Deferred Stock Units

Dec. 31, 2014

Deferred Stock Units (DSU)

Dec. 31, 2014

Restricted Stock Units (RSUs)

Dec. 31, 2014

Unvested Stock Options

Dec. 31, 2013

Unvested Stock Options

Dec. 31, 2003

Amended And Restated 2003 Equity Incentive Plan

Stock Options

May 22, 2013

Long Term Incentive Plan 2013

Dec. 31, 2014

Stock Option Plans 2002, 2003 and 2013

Dec. 31, 2013

Stock Option Plans 2002, 2003 and 2013

Dec. 31, 2014

Treasury Shares

Dec. 31, 2013

Treasury Shares

Dec. 31, 2012

Treasury Shares

Dec. 31, 2014

Treasury Shares

Performance-based Restricted Stock Units

Dec. 31, 2013

Treasury Shares

Performance-based Restricted Stock Units

Dec. 31, 2014

Minimum

Performance-based Restricted Stock Units

2015

Dec. 31, 2014

Minimum

Performance-based Restricted Stock Units

2016

Dec. 31, 2014

Maximum

Performance-based Restricted Stock Units

2015

Dec. 31, 2014

Maximum

Performance-based Restricted Stock Units

2016

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Number of compensation plans

Maximum number of common stock shares to be issued (in shares)

11.5

5.1

Total stock-based compensation expense

$ 13.4

$ 16.9

$ 5.7

$ 3.5

$ 3.0

$ (0.9)

$ 7.0

$ 8.3

$ 4.4

$ 2.9

$ 5.6

$ 2.2

Revaluation benefit from PRSU Granted

3.0

10.3

Target shares granted

0.15

^[1]

0.15

^[2]

Actual payout percentage, assumption and range

100.00%

0.00%

200.00%

300.00%

Shares

Beginning balance (in shares)

0.3

0.2

Granted (in shares)

0.30

0.20

0.02

0.01

Vested (in shares)

(0.1)

(0.2)

Forfeited (in shares)

(0.3)

Ending balance (in shares)

0.3

0.1

0.2

Weighted Average Grant Date Fair Value

Beginning balance (in dollars per share)

$ 39.04

$ 58.52

$ 47.00

$ 32.03

Granted (in dollars per share)

$ 51.87

$ 39.34

$ 51.87

^[1]

$ 51.87

^[2]

$ 54.56

$ 45.56

Vested (in dollars per share)

$ 37.05

$ 0.00

$ 44.47

$ 30.49

Forfeited (in dollars per share)

$ 39.38

$ 56.92

$ 46.77

$ 0.00

Ending balance (in dollars per share)

$ 53.45

$ 39.04

$ 58.52

$ 50.41

$ 47.00

$ 32.03

Grant date intrinsic value

1.4

14.9

Performance period

1 year

Percentage of stock units released

100.00%

282.00%

Maximum payout (percent)

300.00%

Outstanding intrinsic value

13.9

Fair value method used

Black-Scholes option pricing model

Fair value assumptions and methodology [Abstract]

Expected volatility range of stock, minimum (in hundredths)

56.70%

63.00%

49.00%

Expected volatility range of stock, maximum (in hundredths)

66.50%

72.80%

73.00%

Expected life of option, range in years, minimum

2 years

Expected life of option, range in years, maximum

4 years

3 years

4 years

Risk-free interest rate range, minimum (in hundredths)

0.40%

0.30%

Risk-free interest rate range, maximum (in hundredths)

1.40%

0.60%

0.70%

Expected dividend yield on stock, minimum (in hundredths)

0.60%

0.00%

Expected dividend yield on stock, maximum (in hundredths)

0.70%

0.90%

1.30%

Shares

Beginning balance (in shares)

0.6

0.9

2.8

2.9

Granted (in shares)

0.2

0.6

0.2

0.6

Vested (in shares)

(0.3)

(0.8)

Exercised (in shares)

(0.2)

(0.6)

(0.2)

(0.6)

(0.9)

Forfeited/Terminated (in shares)

(0.1)

Ending balance (in shares)

0.5

0.6

2.8

Options exercisable (in shares)

2.3

Weighted Average Grant Date Fair Value

Beginning of period weighted average grant date fair value (dollars per share)

$ 42.16

$ 23.49

Granted weighted average grant date fair value (dollars per share)

$ 52.08

$ 39.77

Vested weighted average grant date fair value (dollars per share)

$ 42.46

$ 19.71

Forfeited weighted average grant date fair value (dollars per share)

$ 50.53

$ 39.62

Ending of period weighted average grant date fair value (dollars per share)

$ 46.23

$ 42.16

Weighted Average Exercise Price

Beginning balance weighted average exercise price (dollars per share)

$ 21.73

$ 17.00

Granted weighted average exercise price (dollars per share)

$ 52.08

$ 39.77

Exercised weighted average exercise price (dollars per share)

$ 20.82

$ 14.54

Terminated weighted average exercise price (dollars per share)

$ 50.53

$ 39.62

Ending balance weighted average exercise price (dollars per share)

$ 24.18

$ 21.73

Options exercisable weighted average exercise price (dollars per share)

$ 19.20

Ending balance weighted average remaining contractual term (in years)

5 years 1 month 17 days

Options exercisable weighted average remaining contractual term (in years)

4 years 4 months 6 days

Ending balance aggregate intrinsic value

84.3

Options exercisable aggregate intrinsic value

82.9

Total intrinsic value of options exercised

6.7

17.1

29.8

Aggregate intrinsic value of units outstanding

5.8

Aggregate intrinsic value of RSUs and DSUs vested during the period

5.5

Total unrecognized stock-based compensation expense

13.5

9.2

3.5

0.8

Weighted Average Remaining Vesting Period (in years)

1 year 9 months 4 days

1 year 6 months 22 days

2 years 2 months 1 day

2 years 1 month 10 days

Cash received from exercise of stock options

$ 4.3

$ 8.7

$ 11.4

[1]	At the end of the performance period, the actual number of shares issuable can range from zero to 200.0% of the target shares granted, which is assumed to be 100.0%.
[2]	At the end of the performance period, the actual number of shares issuable can range from zero to 300.0% of the target shares granted, which is assumed to be 100.0%.

Commitments and Contingencies - Operating Leases (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Commitments and Contingencies Disclosure [Abstract]
Operating lease expenses	$ 32.3	$ 25.5	$ 9.5
Operating leases future minimum lease payments [Abstract]
2015	29.1
2016	27.0
2017	24.4
2018	21.3
2019	15.0
Thereafter	44.4
Total	$ 161.2

Commitments and Contingencies - Litigation and Environmental Contingencies (Details) (USD $) In Millions, unless otherwise specified	0 Months Ended		12 Months Ended			0 Months Ended
	Jun. 25, 2012 officer	Jun. 20, 2012 officer	Dec. 31, 2014	Dec. 31, 2014 New Jersey	Dec. 31, 2012 Connecticut	Jun. 27, 2013 Class Action Lawsuits Relating To Merger
Loss Contingencies [Line Items]
Loss contingency, number of defendants	2	2
Number of shares held by shareholders who sent notices to exercise rights as per merger agreement						3.1
Litigation required notice period						120 days
Accrual for environmental loss contingencies				$ 2.5	$ 0.1
Loss contingency, estimated litigation period			5 years

Income Taxes - Reconciliation of Statutory Tax Rate to Effective Tax Rate (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Reconciliation in dollars [Abstract]
Statutory U.S. federal income tax	$ 61.2	$ 44.8	$ 80.2
State income taxes, net of federal benefit	1.1	1.7	4.5
Foreign repatriation, net of foreign tax credits	13.5	(16.0)	48.1
Foreign tax differential	(12.6)	(12.3)	(9.7)
Change in valuation allowances	(17.7)	20.4	(2.8)
Uncertain tax positions	10.9	4.7	2.6
Subpart F income	1.9	1.5	4.1
Manufacturing deduction	(3.7)	0.1	(3.8)
Goodwill on disposal of business	7.5	0	0
Permanent and other	2.8	4.2	(0.8)
Effective income tax provision	$ 64.9	$ 49.1	$ 122.4
Reconciliation in percentages [Abstract]
Statutory U.S. federal income tax (percentage)	35.00%	35.00%	35.00%
State income taxes, net of federal benefit (percentage)	0.60%	1.30%	2.00%
Foreign repatriation, net of foreign tax credits (percentage)	7.70%	(12.60%)	21.00%
Foreign tax differential (percentage)	(7.20%)	(9.60%)	(4.20%)
Change in valuation allowance (percentage)	(10.00%)	15.90%	(1.20%)
Uncertain tax positions (percentage)	6.10%	3.70%	1.10%
Subpart F income (percentage)	1.10%	1.20%	1.80%
Manufacturing deduction (percentage)	(2.10%)	0.00%	(1.70%)
Goodwill on disposal of business (percentage)	4.20%	0.00%	0.00%
Permanent and other (percentage)	1.70%	3.50%	(0.40%)
Effective income tax provision (percentage)	37.10%	38.40%	53.40%

Income Taxes - Additional Information (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2012	Dec. 31, 2013
Income Tax Disclosure [Abstract]
Tax recognized on repatriation of earnings in connection with Sealy Acquisition		$ 48.1
Tax benefit recorded on repatriation of earnings	63.9
Royalty rate assessed on Danish earnings (percentage)	20.00%
Income tax assessment from Danish tax authority	215.1
Unrecognized tax benefits	47.6	12.9	26.1
Unrecognized tax benefits that would impact effective tax rate	44.6		22.2
Accrued interest and penalties	$ 10.3	$ 5.8	$ 11.0

Income Taxes - Pre-tax Income Attributable to Operating Segments (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Income before income taxes:
United States	$ 46.9	$ (4.5)	$ 126.2
Rest of the world	128.0	132.5	103.0
Income before income taxes	$ 174.9	$ 128.0	$ 229.2

Income Taxes - Unrecognized Tax Benefits (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Unrecognized tax benefits [Roll Forward]
Balance as of beginning of period	$ 26.1	$ 12.9
Additions attributable to Sealy on date of acquisition		9.2
Additions based on tax positions related to current period	24.3	2.3
Additions for tax positions of prior years	0.5	7.2
Expiration of statutes of limitations	(3.2)
Settlements of uncertain tax positions with tax authorities	(0.1)	(5.5)
Balance as of end of period	47.6	26.1	12.9
Unrecognized tax benefits that would impact effective tax rate	44.6	22.2
Interest and penalties related to unrecognized tax benefits recorded in income tax expense	1.9	1.8	3.0
Accrued interest and penalties	$ 10.3	$ 11.0	$ 5.8

Income Taxes - Operating Loss and Tax Credit Carryforwards (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Operating Loss Carryforwards [Line Items]
Charitable contribution carryover (CCCs)	$ 8.4	$ 0
US Federal
Operating Loss Carryforwards [Line Items]
Net operating losses	0	19.6
Tax credit carryforwards	7.8	20.4
US State
Operating Loss Carryforwards [Line Items]
Net operating losses	145.3	135.6
Tax credit carryforwards	1.6	0.7
Foreign
Operating Loss Carryforwards [Line Items]
Net operating losses	$ 44.2	$ 67.1

Income Taxes - Tax Provision Summary (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Current provision
Federal	$ 50.7	$ 48.6	$ 49.9
State	4.5	7.3	7.8
Foreign	36.9	42.3	26.3
Total current	92.1	98.2	84.0
Deferred provision
Federal	(25.2)	(47.0)	37.1
State	(1.2)	0.4	4.2
Foreign	(0.8)	(2.5)	(2.9)
Total deferred	(27.2)	(49.1)	38.4
Effective income tax provision	$ 64.9	$ 49.1	$ 122.4

Income Taxes - Deferred Tax Assets and Liabilities Recognized in the Consolidated Balance Sheets (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Deferred tax assets:
Stock-based compensation	$ 12.4	$ 10.0
Accrued expenses and other	57.9	53.7
Net operating losses, foreign tax credits and charitable contribution carryforward	30.6	55.3
Inventories	4.5	4.6
Intangible assets	14.5	9.0
Property, plant and equipment	4.0	3.9
Total deferred tax assets	123.9	136.5
Valuation allowances	(21.7)	(39.4)
Total net deferred tax assets	102.2	97.1
Deferred tax liabilities:
Transaction costs	(258.1)	(261.9)
Property, plant and equipment	(45.7)	(62.5)
Accrued expenses and other	(4.5)	(4.3)
Total deferred tax liabilities	(308.3)	(328.7)
Net deferred tax liabilities	$ (206.1)	$ (231.6)

Major Customers (Details)	12 Months Ended
Major Customers (Details)	Dec. 31, 2014 customer	Dec. 31, 2013 customer	Dec. 31, 2012 customer
Concentration Risk [Line Items]
Number of customers being disclosed	5	5	5
Mattress Firm Holding Corp. [Member]
Concentration Risk [Line Items]
Number of customers being disclosed	1
Customer Concentration Risk \| Sales Revenue, Goods, Net
Concentration Risk [Line Items]
Concentration risk, percentage (more than for 10.0%)	34.90%	27.50%	24.00%
Customer Concentration Risk \| Sales Revenue, Goods, Net \| Mattress Firm Holding Corp. [Member]
Concentration Risk [Line Items]
Concentration risk, percentage (more than for 10.0%)	10.00%
Credit Concentration Risk \| Accounts Receivable
Concentration Risk [Line Items]
Concentration risk, percentage (more than for 10.0%)	32.00%	26.40%

Redeemable Non-controlling Interest (Details) (Comfort Revolution)	12 Months Ended
	Dec. 31, 2014
Comfort Revolution
Redeemable Noncontrolling Interest
Percentage of noncontrolling interest from the acquisition	55.00%
Redemption value of put and call arrangement as a percentage of EBITDA	7.5
Period of EBITDA considered for redemption value	12 months

Earnings Per Common Share (Details) (USD $) In Millions, except Per Share data, unless otherwise specified	3 Months Ended								12 Months Ended
	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Numerator:
Net income attributable to Tempur Sealy International, Inc.	$ 46.6	$ 37.1	$ (2.2)	$ 27.4	$ 27.5	$ 40.2	$ (1.6)	$ 12.5	$ 108.9	$ 78.6	$ 106.8
Denominator:
Denominator for basic earnings per common share—weighted average shares									60.8	60.3	61.5
Effect of dilutive securities:
Employee stock based compensation (in shares)									1.3	1.3	1.4
Denominator for diluted earnings per common share—adjusted weighted average shares									62.1	61.6	62.9
Basic earnings per common share (in dollars per share)	$ 0.77	$ 0.61	$ (0.04)	$ 0.45	$ 0.45	$ 0.66	$ (0.03)	$ 0.21	$ 1.79	$ 1.30	$ 1.74
Diluted earnings per common share (in dollars per share)	$ 0.75	$ 0.60	$ (0.04)	$ 0.44	$ 0.45	$ 0.65	$ (0.03)	$ 0.20	$ 1.75	$ 1.28	$ 1.70
Shares excluded from diluted earnings per common share computation as anti-dilutive (in shares)									0.3	0.3	0.2

Business Segment Information (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended								12 Months Ended
	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2014 segment	Dec. 31, 2013	Dec. 31, 2012
Segment Reporting Information [Line Items]
Number of business segments									3
Segment information [Abstract]
Total assets	$ 2,662.6				$ 2,729.9				$ 2,662.6	$ 2,729.9
Long-lived assets	355.6				411.6				355.6	411.6
Net sales									2,989.8	2,464.3	1,402.9
Net sales	745.5	827.4	715.0	701.9	678.1	735.5	660.6	390.1	2,989.8	2,464.3	1,402.9
Gross profit	294.1	318.5	268.3	269.5	272.9	298.7	254.9	188.4	1,150.4	1,014.9	714.6
Operating income	76.5	87.1	50.3	62.4	74.1	81.2	44.0	44.5	276.3	243.8	248.3
Income before income taxes									174.9	128.0	229.2
Depreciation and amortization (including stock-based compensation amortization)									89.7	91.5	42.0
Intercompany royalties									0	0	0
Capital expenditures									47.5	40.0	50.5
United States
Segment information [Abstract]
Long-lived assets	287.3				335.9				287.3	335.9
Net sales									2,188.7	1,736.8	923.4
Canada
Segment information [Abstract]
Long-lived assets	8.0				9.3				8.0	9.3
Net sales									216.4	190.2	40.8
Other International
Segment information [Abstract]
Long-lived assets	60.3				66.4				60.3	66.4
Net sales									584.7	537.3	438.7
Total International
Segment information [Abstract]
Long-lived assets	68.3				75.7				68.3	75.7
Net sales									801.1	727.5	479.5
Tempur North America
Segment Reporting Information [Line Items]
Number of domestic manufacturing facilities									2
Operating expenses									75.5	83.0	58.0
Segment information [Abstract]
Net sales									993.2	910.0	964.3
Operating income									84.9	67.6	144.4
Income before income taxes									19.8	(33.8)	126.2
Depreciation and amortization (including stock-based compensation amortization)									31.7	42.0	30.6
Intercompany royalties									6.1	5.8	12.7
Capital expenditures									20.2	20.7	36.8
Tempur North America \| Bedding
Segment information [Abstract]
Net sales									930.5	830.4	882.3
Tempur North America \| Other products
Segment information [Abstract]
Net sales									62.7	79.6	82.0
Tempur International
Segment information [Abstract]
Net sales									472.0	439.6	438.6
Operating income									91.6	107.5	103.9
Income before income taxes									88.5	102.6	103.0
Depreciation and amortization (including stock-based compensation amortization)									13.7	12.8	11.4
Intercompany royalties									(6.1)	(5.8)	(12.7)
Capital expenditures									14.4	10.1	13.7
Tempur International \| Bedding
Segment information [Abstract]
Net sales									354.7	327.7	332.4
Tempur International \| Other products
Segment information [Abstract]
Net sales									117.3	111.9	106.2
Sealy
Segment Reporting Information [Line Items]
Operating expenses									22.0	26.9
Segment information [Abstract]
Net sales									1,524.6	1,114.7	0
Operating income									99.8	68.7	0
Income before income taxes									66.6	59.2	0
Depreciation and amortization (including stock-based compensation amortization)									44.3	36.7	0
Intercompany royalties									0	0	0
Capital expenditures									12.9	9.2	0
Sealy \| Bedding
Segment information [Abstract]
Net sales									1,441.3	1,040.3	0
Sealy \| Other products
Segment information [Abstract]
Net sales									83.3	74.4	0
Operating Segments
Segment information [Abstract]
Long-lived assets	355.6				411.6				355.6	411.6
Gross profit									1,150.4	1,014.9	714.6
Operating Segments \| Tempur North America
Segment information [Abstract]
Total assets	2,431.4				2,110.7				2,431.4	2,110.7
Long-lived assets	137.1				132.8				137.1	132.8
Gross profit									413.9	392.7	449.3
Operating Segments \| Tempur International
Segment information [Abstract]
Total assets	463.1				477.7				463.1	477.7
Long-lived assets	49.2				53.2				49.2	53.2
Gross profit									274.9	269.8	265.3
Operating Segments \| Sealy
Segment information [Abstract]
Total assets	2,000.6				1,956.6				2,000.6	1,956.6
Long-lived assets	169.3				225.6				169.3	225.6
Gross profit									461.6	352.4	0
Inter-segment eliminations
Segment information [Abstract]
Net sales									0	0	0
Inter-segment eliminations \| Tempur North America
Segment information [Abstract]
Net sales									3.8	0.2	0.9
Inter-segment eliminations \| Tempur International
Segment information [Abstract]
Net sales									0.6	0.6	1.5
Inter-segment eliminations \| Sealy
Segment information [Abstract]
Net sales									22.8	5.9	0
Inter-segment eliminations \| Intercompany eliminations
Segment information [Abstract]
Net sales									(27.2)	(6.7)	(2.4)
Inter-segment eliminations \| Inter-segment eliminations
Segment information [Abstract]
Total assets	$ (2,232.5)				$ (1,815.1)				$ (2,232.5)	$ (1,815.1)

Quarterly Financial Data (unaudited) (Details) (USD $) In Millions, except Per Share data, unless otherwise specified	3 Months Ended								12 Months Ended
	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Quarterly Financial Information Disclosure [Abstract]
Net sales	$ 745.5	$ 827.4	$ 715.0	$ 701.9	$ 678.1	$ 735.5	$ 660.6	$ 390.1	$ 2,989.8	$ 2,464.3	$ 1,402.9
Gross profit	294.1	318.5	268.3	269.5	272.9	298.7	254.9	188.4	1,150.4	1,014.9	714.6
Operating income	76.5	87.1	50.3	62.4	74.1	81.2	44.0	44.5	276.3	243.8	248.3
Net income	$ 46.6	$ 37.1	$ (2.2)	$ 27.4	$ 27.5	$ 40.2	$ (1.6)	$ 12.5	$ 108.9	$ 78.6	$ 106.8
Basic earnings (loss) per common share (in dollars per share)	$ 0.77	$ 0.61	$ (0.04)	$ 0.45	$ 0.45	$ 0.66	$ (0.03)	$ 0.21	$ 1.79	$ 1.30	$ 1.74
Diluted earnings (loss) per common share (in dollars per share)	$ 0.75	$ 0.60	$ (0.04)	$ 0.44	$ 0.45	$ 0.65	$ (0.03)	$ 0.20	$ 1.75	$ 1.28	$ 1.70

- Definition

The amount of net income (loss) for the period per each share of common stock or unit outstanding during the reporting period.

+ References+ Details

- Definition

The amount of net income (loss) for the period available to each share of common stock or common unit outstanding during the reporting period and to each share or unit that would have been outstanding assuming the issuance of common shares or units for all dilutive potential common shares or units outstanding during the reporting period.

+ References+ Details

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References+ Details

Guarantor/Non-Guarantor Financial Information - Schedule of Supplemental Condensed Consolidating Statements of Operations (Details) (USD $) In Millions, unless otherwise specified	3 Months Ended								12 Months Ended
	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Supplemental condensed consolidating statements of operations
Net sales									$ 2,989.8	$ 2,464.3	$ 1,402.9
Cost of sales									1,839.4	1,449.4	688.3
Gross profit	294.1	318.5	268.3	269.5	272.9	298.7	254.9	188.4	1,150.4	1,014.9	714.6
Selling and marketing expenses									619.9	522.9	319.1
General, administrative and other expenses									280.6	266.3	147.2
Equity income in earnings of unconsolidated affiliates									(8.3)	(4.4)	0
Royalty income, net of royalty expense									(18.1)	(13.7)	0
Operating income	76.5	87.1	50.3	62.4	74.1	81.2	44.0	44.5	276.3	243.8	248.3
Other expense, net:
Third party interest expense, net									91.9	110.8	18.8
Intercompany interest expense (income), net									0	0	0
Interest expense, net									91.9	110.8	18.8
Loss on disposal, net									23.2	0	0
Other (income) expense, net									(13.7)	5.0	0.3
Total other expense									101.4	115.8	19.1
Income from equity investees									0	0	0
Income before income taxes									174.9	128.0	229.2
Income tax provision									(64.9)	(49.1)	(122.4)
Net income before non-controlling interest									110.0	78.9	106.8
Less: net income attributable to non-controlling interest									1.1	0.3	0
Net income attributable to Tempur Sealy International, Inc.	46.6	37.1	(2.2)	27.4	27.5	40.2	(1.6)	12.5	108.9	78.6	106.8
Comprehensive income									66.9	72.5	113.9
Tempur Sealy International, Inc. (Ultimate Parent)
Guarantor/non-guarantor financial information
Percentage of interest held by parent									100.00%
Supplemental condensed consolidating statements of operations
Net sales									0	0	0
Cost of sales									0	0	0
Gross profit									0	0	0
Selling and marketing expenses									2.4	2.4	2.5
General, administrative and other expenses									13.4	17.1	4.9
Equity income in earnings of unconsolidated affiliates									0	0	0
Royalty income, net of royalty expense									0	0	0
Operating income									(15.8)	(19.5)	(7.4)
Other expense, net:
Third party interest expense, net									27.0	27.5	0
Intercompany interest expense (income), net									32.7	32.7	31.5
Interest expense, net									59.7	60.2	31.5
Loss on disposal, net									0
Other (income) expense, net									0	0	0
Total other expense									59.7	60.2	31.5
Income from equity investees									159.2	133.4	134.8
Income before income taxes									83.7	53.7	95.9
Income tax provision									26.3	25.2	10.9
Net income before non-controlling interest									110.0	78.9	106.8
Less: net income attributable to non-controlling interest									1.1	0.3	0
Net income attributable to Tempur Sealy International, Inc.									108.9	78.6	106.8
Comprehensive income									66.9	72.5	113.9
Combined Guarantor Subsidiaries
Supplemental condensed consolidating statements of operations
Net sales									2,229.5	1,758.2	947.8
Cost of sales									1,465.3	1,110.5	509.0
Gross profit									764.2	647.7	438.8
Selling and marketing expenses									431.2	358.1	191.9
General, administrative and other expenses									200.5	181.6	96.4
Equity income in earnings of unconsolidated affiliates									0	0	0
Royalty income, net of royalty expense									(18.1)	(13.7)	0
Operating income									150.6	121.7	150.5
Other expense, net:
Third party interest expense, net									62.4	81.5	18.3
Intercompany interest expense (income), net									(34.6)	(34.1)	(31.5)
Interest expense, net									27.8	47.4	(13.2)
Loss on disposal, net									23.2
Other (income) expense, net									(17.2)	(0.9)	0
Total other expense									33.8	46.5	(13.2)
Income from equity investees									98.7	93.6	81.0
Income before income taxes									215.5	168.8	244.7
Income tax provision									(56.3)	(35.4)	(109.9)
Net income before non-controlling interest									159.2	133.4	134.8
Less: net income attributable to non-controlling interest									1.1	0.3	0
Net income attributable to Tempur Sealy International, Inc.									158.1	133.1	134.8
Comprehensive income									163.3	133.8	136.9
Combined Non-Guarantor Subsidiaries
Supplemental condensed consolidating statements of operations
Net sales									802.9	728.1	481.0
Cost of sales									416.7	360.9	205.2
Gross profit									386.2	367.2	275.8
Selling and marketing expenses									186.3	162.4	124.7
General, administrative and other expenses									66.7	67.6	45.9
Equity income in earnings of unconsolidated affiliates									(8.3)	(4.4)	0
Royalty income, net of royalty expense									0	0	0
Operating income									141.5	141.6	105.2
Other expense, net:
Third party interest expense, net									2.5	1.8	0.5
Intercompany interest expense (income), net									1.9	1.4	0
Interest expense, net									4.4	3.2	0.5
Loss on disposal, net									0
Other (income) expense, net									3.5	5.9	0.3
Total other expense									7.9	9.1	0.8
Income from equity investees									0	0	0
Income before income taxes									133.6	132.5	104.4
Income tax provision									(34.9)	(38.9)	(23.4)
Net income before non-controlling interest									98.7	93.6	81.0
Less: net income attributable to non-controlling interest									0	0	0
Net income attributable to Tempur Sealy International, Inc.									98.7	93.6	81.0
Comprehensive income									60.3	86.2	86.0
Eliminations
Supplemental condensed consolidating statements of operations
Net sales									(42.6)	(22.0)	(25.9)
Cost of sales									(42.6)	(22.0)	(25.9)
Gross profit									0	0	0
Selling and marketing expenses									0	0	0
General, administrative and other expenses									0	0	0
Equity income in earnings of unconsolidated affiliates									0	0	0
Royalty income, net of royalty expense									0	0	0
Operating income									0	0	0
Other expense, net:
Third party interest expense, net									0	0	0
Intercompany interest expense (income), net									0	0	0
Interest expense, net									0	0	0
Loss on disposal, net									0
Other (income) expense, net									0	0	0
Total other expense									0	0	0
Income from equity investees									(257.9)	(227.0)	(215.8)
Income before income taxes									(257.9)	(227.0)	(215.8)
Income tax provision									0	0	0
Net income before non-controlling interest									(257.9)	(227.0)	(215.8)
Less: net income attributable to non-controlling interest									(1.1)	(0.3)	0
Net income attributable to Tempur Sealy International, Inc.									(256.8)	(226.7)	(215.8)
Comprehensive income									$ (223.6)	$ (220.0)	$ (222.9)

Guarantor/Non-Guarantor Financial Information - Schedule of Supplemental Condensed Consolidating Balance Sheets (Details) (USD $) In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Current Assets:
Cash and cash equivalents	$ 62.5	$ 81.0	$ 179.3	$ 111.4
Accounts receivable, net	385.8	349.2
Inventories	217.2	199.2
Income taxes payable	0	0
Prepaid expenses and other current assets	56.5	53.7
Deferred income taxes	44.4	44.4
Total Current Assets	766.4	727.5
Property, plant and equipment, net	355.6	411.6
Goodwill	736.5	759.6	216.1
Other intangible assets, net	727.1	750.1
Deferred tax asset	8.6	10.9
Other non-current assets	68.4	70.2
Net investment in subsidiaries	0	0
Due from affiliates	0	0
Total Assets	2,662.6	2,729.9
Current Liabilities:
Accounts payable	226.4	191.2
Accrued expenses and other current liabilities	233.3	208.4
Deferred income taxes	0.2	0.8
Income taxes payable	12.0	1.5
Current portion of long-term debt	66.4	39.6
Total Current Liabilities	538.3	441.5
Long-term debt	1,535.9	1,796.9
Deferred income taxes	258.8	286.1
Other non-current liabilities	114.3	75.3
Due to affiliates	0	0
Total Liabilities	2,447.3	2,599.8
Redeemable non-controlling interest	12.6	11.5
Total Stockholders’ Equity	202.7	118.6	22.3	30.8
Total Liabilities, Redeemable Non-Controlling Interest and Stockholders’ Equity	2,662.6	2,729.9
Tempur Sealy International, Inc. (Ultimate Parent)
Current Assets:
Cash and cash equivalents	0.4	0	0	0
Accounts receivable, net	0	0
Inventories	0	0
Income taxes payable	144.1	118.4
Prepaid expenses and other current assets	0	0
Deferred income taxes	12.4	10.0
Total Current Assets	156.9	128.4
Property, plant and equipment, net	0	0
Goodwill	0	0
Other intangible assets, net	0	0
Deferred tax asset	0	0
Other non-current assets	6.3	7.6
Net investment in subsidiaries	1,808.4	756.0
Due from affiliates	51.4	1,299.9
Total Assets	2,023.0	2,191.9
Current Liabilities:
Accounts payable	0	0
Accrued expenses and other current liabilities	1.4	1.4
Deferred income taxes	0	0
Income taxes payable	0	0
Current portion of long-term debt	0	0
Total Current Liabilities	1.4	1.4
Long-term debt	375.0	375.0
Deferred income taxes	0	0
Other non-current liabilities	0	0
Due to affiliates	1,431.3	1,685.4
Total Liabilities	1,807.7	2,061.8
Redeemable non-controlling interest	12.6	11.5
Total Stockholders’ Equity	202.7	118.6
Total Liabilities, Redeemable Non-Controlling Interest and Stockholders’ Equity	2,023.0	2,191.9
Combined Guarantor Subsidiaries
Current Assets:
Cash and cash equivalents	25.5	30.9	19.2	10.8
Accounts receivable, net	241.2	192.6
Inventories	158.3	147.5
Income taxes payable	0	0
Prepaid expenses and other current assets	28.2	26.3
Deferred income taxes	26.8	29.3
Total Current Assets	480.0	426.6
Property, plant and equipment, net	287.3	335.9
Goodwill	557.2	577.2
Other intangible assets, net	611.9	624.6
Deferred tax asset	0	0
Other non-current assets	46.4	47.0
Net investment in subsidiaries	0	0
Due from affiliates	2,226.0	2,306.5
Total Assets	4,208.8	4,317.8
Current Liabilities:
Accounts payable	170.4	140.5
Accrued expenses and other current liabilities	166.1	144.2
Deferred income taxes	0	0
Income taxes payable	163.0	115.2
Current portion of long-term debt	61.8	36.6
Total Current Liabilities	561.3	436.5
Long-term debt	1,160.9	1,421.9
Deferred income taxes	229.1	252.8
Other non-current liabilities	109.3	69.1
Due to affiliates	340.2	1,381.5
Total Liabilities	2,400.8	3,561.8
Redeemable non-controlling interest	12.6	11.5
Total Stockholders’ Equity	1,795.4	744.5
Total Liabilities, Redeemable Non-Controlling Interest and Stockholders’ Equity	4,208.8	4,317.8
Combined Non-Guarantor Subsidiaries
Current Assets:
Cash and cash equivalents	36.6	50.1	160.1	100.6
Accounts receivable, net	144.6	156.6
Inventories	58.9	51.7
Income taxes payable	0	0
Prepaid expenses and other current assets	28.3	27.4
Deferred income taxes	5.2	5.1
Total Current Assets	273.6	290.9
Property, plant and equipment, net	68.3	75.7
Goodwill	179.3	182.4
Other intangible assets, net	115.2	125.5
Deferred tax asset	8.6	10.9
Other non-current assets	15.7	15.6
Net investment in subsidiaries	0	0
Due from affiliates	5.3	0.9
Total Assets	666.0	701.9
Current Liabilities:
Accounts payable	56.0	50.7
Accrued expenses and other current liabilities	65.8	62.8
Deferred income taxes	0.2	0.8
Income taxes payable	(6.9)	4.7
Current portion of long-term debt	4.6	3.0
Total Current Liabilities	119.7	122.0
Long-term debt	0	0
Deferred income taxes	29.7	33.3
Other non-current liabilities	5.0	6.2
Due to affiliates	849.4	940.5
Total Liabilities	1,003.8	1,102.0
Redeemable non-controlling interest	0	0
Total Stockholders’ Equity	(337.8)	(400.1)
Total Liabilities, Redeemable Non-Controlling Interest and Stockholders’ Equity	666.0	701.9
Eliminations
Current Assets:
Cash and cash equivalents	0	0	0	0
Accounts receivable, net	0	0
Inventories	0	0
Income taxes payable	(144.1)	(118.4)
Prepaid expenses and other current assets	0	0
Deferred income taxes	0	0
Total Current Assets	(144.1)	(118.4)
Property, plant and equipment, net	0	0
Goodwill	0	0
Other intangible assets, net	0	0
Deferred tax asset	0	0
Other non-current assets	0	0
Net investment in subsidiaries	(1,808.4)	(756.0)
Due from affiliates	(2,282.7)	(3,607.3)
Total Assets	(4,235.2)	(4,481.7)
Current Liabilities:
Accounts payable	0	0
Accrued expenses and other current liabilities	0	0
Deferred income taxes	0	0
Income taxes payable	(144.1)	(118.4)
Current portion of long-term debt	0
Total Current Liabilities	(144.1)	(118.4)
Long-term debt	0	0
Deferred income taxes	0	0
Other non-current liabilities	0	0
Due to affiliates	(2,620.9)	(4,007.4)
Total Liabilities	(2,765.0)	(4,125.8)
Redeemable non-controlling interest	(12.6)	(11.5)
Total Stockholders’ Equity	(1,457.6)	(344.4)
Total Liabilities, Redeemable Non-Controlling Interest and Stockholders’ Equity	$ (4,235.2)	$ (4,481.7)

Guarantor/Non-Guarantor Financial Information - Schedule of Supplemental Condensed Consolidating Statements of Cash Flows (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Supplemental condensed consolidating statements of cash flows
Net cash (used in) provided by operating activities	$ 225.2	$ 98.5	$ 189.9
CASH FLOWS FROM INVESTING ACTIVITIES:
Acquisition of businesses, net of cash acquired	(8.5)	(1,172.9)	(4.5)
Proceeds from disposition of business	43.5	0	0
Purchases of property, plant and equipment	(47.5)	(40.0)	(50.5)
Other	2.1	(0.1)	0
Net cash used in investing activities	(10.4)	(1,213.0)	(55.0)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from 2012 credit agreement	271.5	2,992.6	0
Repayments of 2012 credit agreement	(510.9)	(1,658.3)	0
Proceeds from issuance of senior notes	0	375.0	0
Proceeds from 2011 credit facility	0	46.5	352.0
Repayments of 2011 credit facility	0	(696.5)	(287.0)
Net activity in investment in and advances (to) from subsidiaries and affiliates	0	0	0
Payments of deferred financing costs	(3.1)	(52.0)	(2.3)
Proceeds from exercise of stock options	4.3	8.7	11.4
Excess tax benefit from stock based compensation	1.7	5.4	10.5
Treasury shares repurchased	(2.2)	(7.0)	(152.6)
Other	0.6	(1.0)	(2.8)
Net cash (used in) provided by financing activities	(238.1)	1,013.4	(70.8)
NET EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	4.8	2.8	3.8
Increase (decrease) in cash and cash equivalents	(18.5)	(98.3)	67.9
CASH AND CASH EQUIVALENTS, beginning of period	81.0	179.3	111.4
CASH AND CASH EQUIVALENTS, end of period	62.5	81.0	179.3
Tempur Sealy International, Inc. (Ultimate Parent)
Supplemental condensed consolidating statements of cash flows
Net cash (used in) provided by operating activities	(62.7)	(66.1)	(43.6)
CASH FLOWS FROM INVESTING ACTIVITIES:
Acquisition of businesses, net of cash acquired	0	0	0
Proceeds from disposition of business	0
Purchases of property, plant and equipment	0	0	0
Other	0	0	0
Net cash used in investing activities	0	0	0
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from 2012 credit agreement	0	0	0
Repayments of 2012 credit agreement	0	0	0
Proceeds from issuance of senior notes		375.0
Proceeds from 2011 credit facility		0	0
Repayments of 2011 credit facility		0	0
Net activity in investment in and advances (to) from subsidiaries and affiliates	59.3	(772.8)	187.0
Payments of deferred financing costs	0	(8.4)	(2.2)
Proceeds from exercise of stock options	4.3	8.7	11.4
Excess tax benefit from stock based compensation	1.7	5.4	0
Treasury shares repurchased	(2.2)	458.2	(152.6)
Other	0	0	0
Net cash (used in) provided by financing activities	63.1	66.1	43.6
NET EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	0	0	0
Increase (decrease) in cash and cash equivalents	0.4	0	0
CASH AND CASH EQUIVALENTS, beginning of period	0	0	0
CASH AND CASH EQUIVALENTS, end of period	0.4	0	0
Combined Guarantor Subsidiaries
Supplemental condensed consolidating statements of cash flows
Net cash (used in) provided by operating activities	191.5	80.9	140.5
CASH FLOWS FROM INVESTING ACTIVITIES:
Acquisition of businesses, net of cash acquired	0	(1,035.3)	0
Proceeds from disposition of business	43.5
Purchases of property, plant and equipment	(31.3)	(28.3)	(36.7)
Other	3.0	(54.7)	(0.1)
Net cash used in investing activities	15.2	(1,118.3)	(36.8)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from 2012 credit agreement	271.5	2,992.6	0
Repayments of 2012 credit agreement	(510.9)	(1,658.3)	0
Proceeds from issuance of senior notes		0
Proceeds from 2011 credit facility		46.5	352.0
Repayments of 2011 credit facility		(696.5)	(287.0)
Net activity in investment in and advances (to) from subsidiaries and affiliates	32.1	874.9	(170.8)
Payments of deferred financing costs	(3.1)	(43.6)	0
Proceeds from exercise of stock options	0	0	0
Excess tax benefit from stock based compensation	0	0	10.5
Treasury shares repurchased	0	(465.2)	0
Other	(1.7)	(1.3)	0
Net cash (used in) provided by financing activities	(212.1)	1,049.1	(95.3)
NET EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	0	0	0
Increase (decrease) in cash and cash equivalents	(5.4)	11.7	8.4
CASH AND CASH EQUIVALENTS, beginning of period	30.9	19.2	10.8
CASH AND CASH EQUIVALENTS, end of period	25.5	30.9	19.2
Combined Non-Guarantor Subsidiaries
Supplemental condensed consolidating statements of cash flows
Net cash (used in) provided by operating activities	96.4	83.7	93.0
CASH FLOWS FROM INVESTING ACTIVITIES:
Acquisition of businesses, net of cash acquired	(8.5)	(137.6)	(4.5)
Proceeds from disposition of business	0
Purchases of property, plant and equipment	(16.2)	(11.7)	(13.8)
Other	(0.9)	54.6	0.1
Net cash used in investing activities	(25.6)	(94.7)	(18.2)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from 2012 credit agreement	0	0	0
Repayments of 2012 credit agreement	0	0	0
Proceeds from issuance of senior notes		0
Proceeds from 2011 credit facility		0	0
Repayments of 2011 credit facility		0	0
Net activity in investment in and advances (to) from subsidiaries and affiliates	(91.4)	(102.1)	(16.2)
Payments of deferred financing costs	0	0	(0.1)
Proceeds from exercise of stock options	0	0	0
Excess tax benefit from stock based compensation	0	0	0
Treasury shares repurchased	0	0	0
Other	2.3	0.3	(2.8)
Net cash (used in) provided by financing activities	(89.1)	(101.8)	(19.1)
NET EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	4.8	2.8	3.8
Increase (decrease) in cash and cash equivalents	(13.5)	(110.0)	59.5
CASH AND CASH EQUIVALENTS, beginning of period	50.1	160.1	100.6
CASH AND CASH EQUIVALENTS, end of period	36.6	50.1	160.1
Eliminations
Supplemental condensed consolidating statements of cash flows
Net cash (used in) provided by operating activities	0	0	0
CASH FLOWS FROM INVESTING ACTIVITIES:
Acquisition of businesses, net of cash acquired	0	0	0
Proceeds from disposition of business	0
Purchases of property, plant and equipment		0	0
Other	0	0	0
Net cash used in investing activities	0	0	0
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from 2012 credit agreement	0	0	0
Repayments of 2012 credit agreement	0	0	0
Proceeds from issuance of senior notes		0
Proceeds from 2011 credit facility		0	0
Repayments of 2011 credit facility		0	0
Net activity in investment in and advances (to) from subsidiaries and affiliates	0	0	0
Payments of deferred financing costs	0	0	0
Proceeds from exercise of stock options	0	0	0
Excess tax benefit from stock based compensation	0	0	0
Treasury shares repurchased	0	0	0
Other	0	0	0
Net cash (used in) provided by financing activities	0	0	0
NET EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS	0	0	0
Increase (decrease) in cash and cash equivalents	0	0	0
CASH AND CASH EQUIVALENTS, beginning of period	0	0	0
CASH AND CASH EQUIVALENTS, end of period	$ 0	$ 0	$ 0

VALUATION AND QUALIFYING ACCOUNTS SCHEDULE II (Details) (USD $) In Millions, unless otherwise specified	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Valuation and Qualifying Accounts Disclosure [Line Items]
Bad debt expense	$ 4.9	$ 1.3	$ 2.5
Allowance for Doubtful Accounts
Movement in Valuation Allowances and Reserves [Roll Forward]
Balance at Beginning of Period	19.3	8.2	6.8
Additions - Charges to Costs and Expenses	4.9	1.3	2.5
Additions - Charged to Other Accounts	0	0	0
Deductions	(4.7)	9.8	(1.1)
Balance at End of Period	19.5	19.3	8.2
Valuation Allowance of Deferred Tax Assets
Movement in Valuation Allowances and Reserves [Roll Forward]
Balance at Beginning of Period	39.4	0.1	2.9
Additions - Charges to Costs and Expenses	2.2	20.4	0
Additions - Charged to Other Accounts	0	18.9	0
Deductions	(19.9)	0	(2.8)
Balance at End of Period	$ 21.7	$ 39.4	$ 0.1