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Document and Entity Information - shares	3 Months Ended
Document and Entity Information - shares	Mar. 31, 2015	Apr. 14, 2015
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2015
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	Q1
Trading Symbol	ALSN
Entity Registrant Name	ALLISON TRANSMISSION HOLDINGS INC
Entity Central Index Key	0001411207
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		179,668,380

Condensed Consolidated Balance Sheets - USD ($) $ in Millions	Mar. 31, 2015	Dec. 31, 2014
Current Assets
Cash and cash equivalents	$ 265.1	$ 263.0
Accounts receivable - net of allowance for doubtful accounts of $0.4 and $0.3, respectively	231.3	207.4
Inventories	160.9	143.5
Deferred income taxes, net	113.0	119.7
Other current assets	25.0	24.4
Total Current Assets	795.3	758.0
Property, plant and equipment, net	495.6	514.6
Intangible assets, net	1,487.7	1,512.0
Goodwill	1,941.0	1,941.0
Deferred income taxes, net	1.3	1.3
Other non-current assets	68.6	77.3
TOTAL ASSETS	4,789.5	4,804.2
Current Liabilities
Accounts payable	157.1	151.7
Product warranty liability	23.7	24.0
Current portion of long-term debt	17.9	17.9
Deferred revenue	20.8	20.6
Other current liabilities	114.7	131.7
Total Current Liabilities	334.2	345.9
Product warranty liability	53.4	59.6
Deferred revenue	51.4	48.7
Long-term debt	2,450.9	2,502.6
Deferred income taxes	256.3	238.2
Other non-current liabilities	224.3	211.4
TOTAL LIABILITIES	3,370.5	3,406.4
Commitments and contingencies (see NOTE O)
STOCKHOLDERS' EQUITY
Preferred stock, $0.01 par value, 100,000,000 shares authorized, none issued and outstanding
Paid in capital	1,681.5	1,651.0
Accumulated deficit	(212.9)	(215.5)
Accumulated other comprehensive loss, net of tax	(51.4)	(39.5)
TOTAL STOCKHOLDERS' EQUITY	1,419.0	1,397.8
TOTAL LIABILITIES & STOCKHOLDERS' EQUITY	4,789.5	4,804.2
Voting Common Stock
STOCKHOLDERS' EQUITY
Common stock	$ 1.8	$ 1.8

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions	Mar. 31, 2015	Dec. 31, 2014
Allowance for doubtful accounts receivables	$ 0.4	$ 0.3
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	100,000,000	100,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Voting Common Stock
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	1,880,000,000	1,880,000,000
Common stock, shares issued	179,990,818	179,488,247
Common stock, shares outstanding	179,990,818	179,488,247
Non-voting Common Stock
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	20,000,000	20,000,000
Common stock, shares issued	0	0
Common stock, shares outstanding	0	0

Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Net sales	$ 503.6	$ 493.6
Cost of sales	264.4	271.1
Gross profit	239.2	222.5
Selling, general and administrative expenses	73.4	83.2
Engineering - research and development	22.2	24.5
Loss associated with impairment of long-lived assets	1.3
Operating income	142.3	114.8
Interest income	0.2	0.2
Interest expense	(37.1)	(35.3)
Other income (expense), net	2.8	(0.4)
Income before income taxes	108.2	79.3
Income tax expense	(39.8)	(27.2)
Net income	$ 68.4	$ 52.1
Basic earnings per share attributable to common stockholders	$ 0.38	$ 0.29
Diluted earnings per share attributable to common stockholders	0.38	0.28
Dividends declared per common share	$ 0.15	$ 0.12
Comprehensive income, net of tax	$ 56.5	$ 54.2

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$ 68.4	$ 52.1
Add (deduct) items included in net income not using (providing) cash:
Deferred income taxes	34.4	27.5
Amortization of intangible assets	24.3	24.7
Depreciation of property, plant and equipment	21.4	23.3
Unrealized loss (gain) on derivatives	8.0	(4.2)
Excess tax benefit from stock-based compensation	(7.8)	(5.0)
Stock-based compensation	2.1	3.3
Amortization of deferred financing costs	1.9	2.0
Loss associated with impairment of long-lived assets	1.3
Other	(2.1)	0.0
Changes in assets and liabilities:
Accounts receivable	(26.8)	(52.0)
Inventories	(20.1)	(14.9)
Accounts payable	5.7	22.9
Other assets and liabilities	(30.6)	18.9
Net cash provided by operating activities	80.1	98.6
CASH FLOWS FROM INVESTING ACTIVITIES:
Additions of long-lived assets	(1.3)	(11.1)
Investments in technology-related initiatives		(3.8)
Collateral for interest rate derivatives		(0.3)
Proceeds from disposal of assets	0.1	0.1
Net cash used for investing activities	(1.2)	(15.1)
CASH FLOWS FROM FINANCING ACTIVITIES:
Payments on long-term debt	(51.7)	(2.8)
Repurchase of common stock	(35.4)	(100.0)
Dividend payments	(27.0)	(21.7)
Proceeds from exercise of stock options	21.2	14.5
Excess tax benefit from stock-based compensation	7.8	5.0
Taxes paid related to net share settlement of equity awards	(0.5)
Debt financing fees		(0.7)
Net cash used for financing activities	(85.6)	(105.7)
Effect of exchange rate changes on cash	8.8	(2.6)
Net increase (decrease) in cash and cash equivalents	2.1	(24.8)
Cash and cash equivalents at beginning of period	263.0	184.7
Cash and cash equivalents at end of period	265.1	159.9
Supplemental disclosures:
Interest paid	18.5	29.4
Income taxes paid	$ 2.5	$ 2.1

OVERVIEW

3 Months Ended

Mar. 31, 2015

OVERVIEW

NOTE A. OVERVIEW

Overview

Allison Transmission Holdings, Inc. and its subsidiaries (“Allison,” the “Company” or “we”) design and manufacture commercial and defense fully-automatic transmissions. The business was founded in 1915 and has been headquartered in Indianapolis, Indiana since inception. Allison was an operating unit of General Motors Corporation from 1929 until 2007, when Allison once again became a stand-alone company. In March 2012, Allison began trading on the New York Stock Exchange under the symbol, “ALSN”.

We have approximately 2,700 employees and 13 different transmission product lines. Although approximately 80% of revenues were generated in North America in 2014, we have a global presence by serving customers in Europe, Asia, South America and Africa. We serve customers through an independent network of approximately 1,400 independent distributor and dealer locations worldwide.

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

3 Months Ended

Mar. 31, 2015

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

NOTE B. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation and Principles of Consolidation

The condensed consolidated financial statements as of and for the three months ended March 31, 2015 and 2014 have been prepared in accordance with accounting principles for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, the condensed consolidated financial statements do not include all information and footnotes required by accounting principles generally accepted in the United States of America (“GAAP”) for complete financial statements. The information herein reflects all normal recurring material adjustments, which are, in the opinion of management, necessary for the fair statements of the results for the periods presented. The condensed consolidated financial statements herein consist of all wholly-owned domestic and foreign subsidiaries with all significant intercompany transactions eliminated.

These condensed consolidated financial statements present the financial position, results of comprehensive income and cash flows of the Company. The condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements included in the Company’s Form 10-K for the year ended December 31, 2014 as filed with the Securities and Exchange Commission (“SEC”) on February 20, 2015. Certain immaterial reclassifications have been made in the condensed consolidated financial statements of prior periods to conform to the current period presentation. These reclassifications have no impact on previously reported net income, total stockholders’ equity or cash flows. The interim period financial results for the three month period presented are not necessarily indicative of results to be expected for any other interim period or for the entire year.

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities and the reported amounts of revenue and expenses. Significant estimates include, but are not limited to, allowance for doubtful accounts, sales allowances, government price adjustments, fair market values and future cash flows associated with goodwill, indefinite life intangibles, long-lived asset impairment tests, useful lives for depreciation and amortization, warranty liability, determination of discount and other assumptions for pension and other postretirement benefit expense, income taxes and deferred tax valuation allowances, derivative valuation, and contingencies. The Company’s accounting policies involve the application of judgments and assumptions made by management that include inherent risks and uncertainties. Actual results could differ materially from these estimates. Changes in estimates are recorded in results of operations in the period that the events or circumstances giving rise to such changes occur.

Recently Issued Accounting Pronouncements

In April 2015, the Financial Accounting Standards Board (“FASB”) issued authoritative accounting guidance to simplify the presentation of the debt issuance costs. The guidance requires that the debt issuance costs be presented in the balance sheet as a direct deduction from the carrying amount of debt liability, consistent with debt discounts or premiums. The recognition and measurement guidance for debt issuance costs are not affected. The guidance is effective for public entities for interim and annual reporting periods beginning after December 15, 2015, but can be early-adopted. Management is assessing the potential impact of the adoption of this guidance on the Company’s consolidated financial statements.

In August 2014, the FASB issued authoritative accounting guidance on the disclosure of uncertainties about an entity’s ability to continue as a going concern. The guidance requires management to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern within one year after the date that the financial statements are issued (or within one year after the date that financial statements are available to be issued when applicable) and to provide related footnote disclosures. The guidance is effective prospectively for interim and annual reporting periods beginning after December 15, 2016, but can be early-adopted. While the adoption of this guidance is not expected to have an effect on the Company’s consolidated financial statements, it could affect the disclosure applied under these circumstances in the future.

In May 2014, the FASB issued authoritative accounting guidance on a company’s accounting for revenue from contracts with customers. The guidance applies to all companies that enter into contracts with customers to transfer goods, service or nonfinancial assets. The guidance requires these companies to 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. The guidance also requires improved disclosures regarding the nature, timing, amount and uncertainty of revenue that is recognized. The FASB originally proposed the guidance was effective prospectively for interim and annual reporting periods beginning after December 15, 2016. On April 1, 2015, the FASB decided to propose a one-year deferral of the effective date. Under the proposal, the guidance would be effective for public entities for interim and annual reporting periods beginning after December 15, 2017. The proposal also would permit both public and nonpublic entities to adopt the guidance as early as the original public entity effective date. Early adoption prior to that date would not be permitted. Management is assessing the potential impact of the adoption of this guidance on the Company’s consolidated financial statements.

INVENTORIES

3 Months Ended

Mar. 31, 2015

INVENTORIES

NOTE C. INVENTORIES

Inventories consisted of the following components (dollars in millions):


	March 31, 2015		December 31, 2014
Purchased parts and raw materials	$	84.0	$	72.3
Work in progress		6.0		6.1
Service parts		47.6		46.5
Finished goods		23.3		18.6

Total inventories	$	160.9	$	143.5

Inventory components shipped to third parties, primarily cores, parts to re-manufacturers, and parts to contract manufacturers, which the Company has an obligation to buy back, are included in purchased parts and raw materials, with an offsetting liability in Other current liabilities. See NOTE K, “Other Current Liabilities” for more information.

GOODWILL AND OTHER INTANGIBLE ASSETS

3 Months Ended

Mar. 31, 2015

GOODWILL AND OTHER INTANGIBLE ASSETS

NOTE D. GOODWILL AND OTHER INTANGIBLE ASSETS

As of March 31, 2015 and December 31, 2014, the carrying amount of the Company’s Goodwill was $1,941.0 million. The following presents a summary of other intangible assets (dollars in millions):


	March 31, 2015							December 31, 2014
	Intangible assets, gross		Accumulated amortization			Intangible assets, net		Intangible assets, gross		Accumulated amortization			Intangible assets, net
Other intangible assets:
Trade name	$	870.0	$	—		$	870.0	$	870.0	$	—		$	870.0
Customer relationships — defense		62.3		(28.7	)		33.6		62.3		(27.9	)		34.4
Customer relationships — commercial		831.8		(439.5	)		392.3		831.8		(426.9	)		404.9
Proprietary technology		476.3		(291.5	)		184.8		476.3		(282.0	)		194.3
Non-compete agreement		17.3		(13.3	)		4.0		17.3		(12.8	)		4.5
Patented technology — defense		28.2		(25.4	)		2.8		28.2		(24.5	)		3.7
Tooling rights		4.5		(4.3	)		0.2		4.5		(4.3	)		0.2
Patented technology — commercial		260.6		(260.6	)		—		260.6		(260.6	)		—

Total	$	2,551.0	$	(1,063.3	)	$	1,487.7	$	2,551.0	$	(1,039.0	)	$	1,512.0

As of March 31, 2015 and December 31, 2014, the net carrying value of our Goodwill and other intangibles was $3,428.7 million and $3,453.0 million, respectively.

Amortization expense related to other intangible assets for the next five years and thereafter is expected to be (dollars in millions):


	2016		2017		2018		2019		2020		Thereafter
Amortization expense	$	92.4	$	89.7	$	87.2	$	85.7	$	49.3	$	140.6

- 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

FAIR VALUE OF FINANCIAL INSTRUMENTS

3 Months Ended

Mar. 31, 2015

FAIR VALUE OF FINANCIAL INSTRUMENTS

NOTE E. FAIR VALUE OF FINANCIAL INSTRUMENTS

In accordance with the FASB’s authoritative accounting guidance on fair value measurements, fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The Company utilizes market data or assumptions that market participants would use in pricing the asset or liability, including assumptions about risk and the risks inherent in the inputs to the valuation technique. These inputs can be readily observable, market corroborated, or generally unobservable. The Company primarily applies the market approach for recurring fair value measurements and utilizes the best available information that maximizes the use of observable inputs and minimizes the use of unobservable inputs. The Company is able to classify fair value balances based on the observability of those inputs. The accounting guidance establishes a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurement) and the lowest priority to unobservable inputs (Level 3 measurement). The three levels of the fair value hierarchy defined by the relevant guidance are as follows:

Level 1 — Quoted prices are available in active markets for identical assets or liabilities as of the reporting date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 1 primarily consists of financial instruments such as exchange-traded derivatives, listed equities and publicly traded bonds.

Level 2 — Pricing inputs are other than quoted prices in active markets included in Level 1, which are either directly or indirectly observable as of the reported date. Level 2 includes financial instruments that are valued using quoted prices in markets that are not active and those financial instruments that are valued using models or other valuation methodologies. These models are primarily industry standard models that consider various assumptions, including quoted forward prices for commodities, time value, volatility factors, and current market and contractual prices for the underlying instruments, as well as other relevant economic measures. Substantially all of these assumptions are observable in the marketplace throughout the full term of the instrument, can be derived from observable data or are supported by observable levels at which transactions are executed in the marketplace.

Level 3 — Pricing inputs include significant inputs that are generally less observable from objective sources. These inputs may be used with internally developed methodologies that result in management’s best estimate of fair value. At each balance sheet date, the Company performs an analysis of all instruments subject to authoritative accounting guidance and includes, in Level 3, all of those whose fair value is based on significant unobservable inputs. As of March 31, 2015 and December 31, 2014, the Company did not have any Level 3 financial assets or liabilities.

The Company’s assets and liabilities that are measured at fair value include cash and cash equivalents, available-for-sale securities, derivative instruments, assets held in a rabbi trust and a deferred compensation obligation. The Company’s cash equivalents consist of short-term U.S. government backed securities. The Company’s available-for-sale securities consist of ordinary shares of Torotrak plc (“Torotrak”) associated with a license and exclusivity agreement with Torotrak. Torotrak’s listed shares are traded on the London Stock Exchange under the ticker symbol “TRK.” The Company’s derivative instruments consist of interest rate swaps, foreign currency forward contracts and commodity swaps. The Company’s assets held in the rabbi trust consist principally of publicly available mutual funds and target date retirement funds. The Company’s deferred compensation obligation is directly related to the fair value of assets held in the rabbi trust.

The Company’s valuation techniques used to calculate the fair value of cash and cash equivalents, available-for-sale securities, assets held in the rabbi trust and the deferred compensation obligation represent a market approach in active markets for identical assets that qualify as Level 1 in the fair value hierarchy. The Company’s valuation techniques used to calculate the fair value of derivative instruments represent a market approach with observable inputs that qualify as Level 2 in the fair value hierarchy.

The foreign currency contracts consist of forward rate contracts which are intended to hedge exposure of transactions denominated in certain currencies and reduce the impact of currency price volatility on the Company’s financial results. The commodity contracts consist of forward rate contracts which are intended to hedge exposure of transactions involving purchases of component parts and energy to power our facilities, reducing the impact of commodity price volatility on the Company’s financial results.

For the fair value measurement of foreign currency derivatives, the Company uses forward foreign exchange rates received from the issuing financial institution. These rates are periodically corroborated by comparing to third-party broker quotes. The foreign currency hedges are accounted for within the authoritative accounting guidance set forth on accounting for derivative instruments and hedging activities and have been recorded at fair value based upon quoted market rates. The fair values are included in Other current and non-current assets and liabilities in the Condensed Consolidated Balance Sheets. The Company generally does not elect to apply hedge accounting for these foreign currency contracts, and as a result, unrealized fair value adjustments and realized gains and losses are recorded in Other expense, net in the Condensed Consolidated Statements of Comprehensive Income during the period of change.

For the fair value measurement of commodity derivatives, the Company uses forward prices received from the issuing financial institution. These rates are periodically corroborated by comparing to third-party broker quotes. The commodity derivatives are accounted for within the authoritative accounting guidance set forth on accounting for derivative instruments and hedging activities and have been recorded at fair value based upon quoted market rates. The fair values are included in Other current and non-current assets and liabilities in the Condensed Consolidated Balance Sheets. The Company has either not qualified for or not elected hedge accounting treatment for these commodity contracts, and as a result, unrealized fair value adjustments and realized gains and losses are recorded in Other expense, net in the Condensed Consolidated Statements of Comprehensive Income.

For the fair value measurement of interest rate derivatives, the Company uses valuations from the issuing financial institution. The Company corroborates the valuation through the use of third-party valuation services using a standard replacement valuation model. The floating-to-fixed interest rate swaps are based on the London Interbank Offered Rate (“LIBOR”) which is observable at commonly quoted intervals. The fair values are included in other current and non-current assets and liabilities in the Condensed Consolidated Balance Sheets. The Company has not qualified for hedge accounting treatment for the interest rate swaps and, as a result, fair value adjustments are charged directly to Interest expense in the Condensed Consolidated Statements of Comprehensive Income.

The following table summarizes the fair value of the Company’s financial assets and (liabilities) as of March 31, 2015 and December 31, 2014 (dollars in millions):


	Fair Value Measurements Using
	Quoted Prices in Active Markets for Identical Assets (Level 1)						Significant Other Observable Inputs (Level 2)						TOTAL
	March 31, 2015			December 31, 2014			March 31, 2015			December 31, 2014			March 31, 2015			December 31, 2014
Cash equivalents	$	101.0		$	55.0		$	—		$	—		$	101.0		$	55.0
Available-for-sale securities		4.8			8.6			—			—			4.8			8.6
Rabbi trust assets		4.5			2.9			—			—			4.5			2.9
Deferred compensation obligation		(4.5	)		(2.9	)		—			—			(4.5	)		(2.9	)
Derivative assets		—			—			—			0.0			—			0.0
Derivative liabilities		—			—			(23.7	)		(15.4	)		(23.7	)		(15.4	)

Total	$	105.8		$	63.6		$	(23.7	)	$	(15.4	)	$	82.1		$	48.2

- 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

DEBT

3 Months Ended

Mar. 31, 2015

DEBT

NOTE F. DEBT

Long-term debt and maturities are as follows (dollars in millions):


	March 31, 2015		December 31, 2014
Long-term debt:
Senior Secured Credit Facility Term B-2 Loan, variable, due 2017	$	236.2	$	283.6
Senior Secured Credit Facility Term B-3 Loan, variable, due 2019		1,761.3		1,765.6
Senior Notes, fixed 7.125%, due 2019		471.3		471.3

Total long-term debt	$	2,468.8	$	2,520.5
Less: current maturities of long-term debt		17.9		17.9

Total long-term debt less current portion	$	2,450.9	$	2,502.6

As of March 31, 2015, the Company had $236.2 million of indebtedness associated with Allison Transmission, Inc.’s (“ATI”), the Company’s wholly-owned subsidiary, Senior Secured Credit Facility Term B-2 Loan due 2017 (“Term B-2 Loan”) and $1,761.3 million of indebtedness associated with ATI’s Senior Secured Credit Facility Term B-3 Loan due 2019 (“Term B-3 Loan” and together with the Term B-2 Loan and revolving credit facility defined as the “Senior Secured Credit Facility”). The Company also had indebtedness of $471.3 million of ATI’s 7.125% senior cash pay notes due May 2019 (“7.125% Senior Notes”).

The fair value of the Company’s long-term debt obligations as of March 31, 2015 was $2,488.0 million. The fair value is based on quoted Level 2 market prices of the Company’s debt as of March 31, 2015. It is not expected that the Company would be able to repurchase a significant amount of its debt at these levels. The difference between the fair value and carrying value of the long-term debt is driven primarily by trends in the financial markets.

Senior Secured Credit Facility

The Senior Secured Credit Facility is collateralized by a lien on substantially all assets of the Company including all of ATI’s capital stock and all of the capital stock or other equity interest held by the Company, ATI and each of the Company’s existing and future U.S. subsidiary guarantors (subject to certain limitations for equity interests of foreign subsidiaries and other exceptions set forth in the terms of the Senior Secured Credit Facility). Interest on the Term B-2 Loan, as of March 31, 2015, is at the Company’s option, either (a) 2.75% over the LIBOR or (b) 1.75% over the greater of the prime lending rate provided by the British Banking Association or the federal funds effective rate published by the Federal Reserve Bank of New York plus 0.50%. Interest on the Term B-3 Loan, as of March 31, 2015, is equal to the LIBOR (which may not be less than 1.00%) plus 2.50% based on the Company’s total leverage ratio. As of March 31, 2015, these rates were approximately 2.93% and 3.50% on the Term B-2 Loan and Term B-3 Loan, respectively, and the weighted average rate on the Senior Secured Credit Facility was approximately 3.43%. The Senior Secured Credit Facility requires minimum quarterly principal payments on the Term B-2 Loan and Term B-3 Loan as well as prepayments from certain net cash proceeds of non-ordinary course asset sales and casualty and condemnation events and from a percentage of excess cash flow, if applicable. Due to voluntary prepayments, the Company has fulfilled all Term B-2 Loan required quarterly payments through its maturity date of 2017. During the first quarter of 2015, the Company made principal payments of $47.4 million on the Term B-2 loan, resulting in a loss of $0.2 million associated with the write off of related deferred debt issuance costs. The minimum required quarterly principal payment on the Term B-3 Loan is $4.4 million and remains through its maturity date of 2019. As of March 31, 2015, there had been no payments required for certain net cash proceeds of non-ordinary course asset sales and casualty and condemnation events. The remaining principal balance on each loan is due upon maturity.

The Senior Secured Credit Facility also provides for $465.0 million, net of an allowance for up to $75.0 million in outstanding letters of credit commitments. As of March 31, 2015, the Company had $455.1 million available under the revolving credit facility, net of $9.9 million in letters of credit. Revolving credit borrowings bear interest at a variable base rate plus an applicable margin based on the Company’s total leverage ratio. As of March 31, 2015, this rate would have been approximately 1.63%. In addition, there is an annual commitment fee, based on the Company’s total leverage ratio, which as of March 31, 2015, was equal to 0.25% of the average unused revolving credit borrowings available under the Senior Secured Credit Facility. Revolving credit borrowings are payable at the option of the Company throughout the term of the Senior Secured Credit Facility with the balance due in January 2019.

The revolving portion of the Senior Secured Credit Facility requires the Company to maintain a specified maximum total senior secured leverage ratio of 5.50x when revolving loan commitments remain outstanding at the end of a fiscal quarter. In March 2014, however, the revolving lenders holding a majority of the revolving loan commitments permanently waived and agreed that no event of default would result from any non-compliance so long as there were no revolving loans outstanding as of the last day of any fiscal quarter. As of March 31, 2015, the Company had no revolving loans outstanding; however, the Company would have been in compliance with the maximum total senior secured leverage ratio, achieving a 2.27x ratio. Additionally within the terms of the Senior Secured Credit Facility, a senior secured leverage ratio at or below 3.50x results in the elimination of excess cash flow payments on the Senior Secured Credit Facility for the applicable year. The Senior Secured Credit Facility also provides certain financial incentives based on our total leverage ratio. A total leverage ratio at or below 4.00x results in a 25 basis point reduction to the applicable margin on the revolving credit facility, and a total leverage ratio at or below 3.50x results in a 12.5 basis point reduction to the revolving credit facility commitment fee and an additional 25 basis point reduction to the applicable margin on the revolving credit facility. A total leverage ratio at or below 3.25x results in a 25 basis point reduction to the applicable margin on our Term B-3 Loan. These reductions would remain in effect as long as the Company achieves a total leverage ratio at or below the related threshold. As of March 31, 2015, the total leverage ratio was 2.89x.

In addition, the Senior Secured Credit Facility, among other things, includes customary restrictions (subject to certain exceptions) on the Company’s ability to incur certain indebtedness, grant certain liens, make certain investments, declare or pay certain dividends, or repurchase shares of the Company’s common stock. As of March 31, 2015, the Company is in compliance with all covenants under the Senior Secured Credit Facility.

On March 18, 2015, ATI commenced a cash tender offer to purchase its outstanding 7.125% Senior Notes (the “Offer”). In connection with the Offer, ATI solicited consents to enter into a supplemental indenture to eliminate substantially all of the restrictive covenants, certain events of default and related provisions contained in the indenture dated as of May 6, 2011 (the “Indenture”) governing the notes. On March 31, 2015, ATI received valid consents from holders with an aggregate principal amount of $420.9 million of the 7.125% Senior Notes. Accordingly, ATI entered into a first supplemental indenture to the Indenture contingent on the execution of an amendment with the term loan lenders under its Senior Secured Credit Facility.

DERIVATIVES

3 Months Ended

Mar. 31, 2015

DERIVATIVES

NOTE G. DERIVATIVES

The Company is exposed to certain financial risk from volatility in interest rates, foreign exchange rates and commodity prices. The risk is managed through the use of financial derivative instruments including interest rate swaps, foreign currency forward contracts and commodity swaps. The Company’s current derivative instruments are used strictly as an economic hedge and not for speculative purposes. As necessary, the Company adjusts the values of the derivative instruments for counter-party or credit risk.

Interest Rate

The Company is subject to interest rate risk related to the Senior Secured Credit Facility and enters into interest rate swap contracts that are based on the LIBOR to manage a portion of this exposure. The Company has not elected hedge accounting treatment for these derivatives, and as a result, fair value adjustments are charged directly to Interest expense in the Condensed Consolidated Statements of Comprehensive Income. A summary of the Company’s interest rate derivatives as of March 31, 2015 and December 31, 2014 follows (dollars in millions):


	March 31, 2015					December 31, 2014
	Notional Amount		Fair Value			Notional Amount		Fair Value
3.44% Interest Rate Swap L, Aug 2016 – Aug 2019*	$	75.0	$	(3.1	)	$	75.0	$	(2.3	)
3.43% Interest Rate Swap M, Aug 2016 – Aug 2019*		100.0		(4.1	)		100.0		(3.0	)
3.37% Interest Rate Swap N, Aug 2016 – Aug 2019*		75.0		(2.9	)		75.0		(2.1	)
3.19% Interest Rate Swap O, Aug 2016 – Aug 2019*		75.0		(2.6	)		75.0		(1.7	)
3.08% Interest Rate Swap P, Aug 2016 – Aug 2019*		75.0		(2.3	)		75.0		(1.5	)
2.99% Interest Rate Swap Q, Aug 2016 – Aug 2019*		50.0		(1.4	)		50.0		(0.9	)
2.98% Interest Rate Swap R, Aug 2016 – Aug 2019*		50.0		(1.4	)		50.0		(0.9	)
2.73% Interest Rate Swap S, Aug 2016 – Aug 2019*		50.0		(1.0	)		50.0		(0.5	)
2.74% Interest Rate Swap T, Aug 2016 – Aug 2019*		75.0		(1.5	)		75.0		(0.8	)
2.66% Interest Rate Swap U, Aug 2016 – Aug 2019*		50.0		(0.9	)		50.0		(0.4	)
2.60% Interest Rate Swap V, Aug 2016 – Aug 2019*		50.0		(0.8	)		50.0		(0.3	)
2.40% Interest Rate Swap W, Aug 2016 – Aug 2019*		25.0		(0.2	)		25.0		0.0
2.25% Interest Rate Swap X, Aug 2016 – Aug 2019*		50.0		(0.5	)		—		—

* includes LIBOR floor of 1.00%	$	800.0	$	(22.7	)	$	750.0	$	(14.4	)

Currency Exchange

The Company’s business is subject to foreign exchange rate risk. As a result, the Company enters into various forward rate contracts that qualify as derivatives under the authoritative accounting guidance to manage certain of these exposures. Forward contracts are used to hedge forecasted transactions and known exposure of payables denominated in a foreign currency. The Company generally has not elected to apply hedge accounting under the authoritative accounting guidance and recorded the unrealized fair value adjustments and realized gains and losses associated with these contracts in Other expense, net in the Condensed Consolidated Statements of Comprehensive Income during the period of change.

The following table summarizes the outstanding foreign currency forward contracts as of March 31, 2015 and December 31, 2014 (amounts in millions):


	March 31, 2015					December 31, 2014
	Notional Amount		Fair Value			Notional Amount		Fair Value
Japanese Yen (JPY)	¥	150.0	$	(0.2	)	¥	300.0	$	(0.3	)

			$	(0.2	)			$	(0.3	)

Commodity

The Company’s business is subject to commodity price risk, primarily with component suppliers. As a result, the Company enters into various commodity swap contracts that qualify as derivatives under the authoritative accounting guidance to manage certain of these exposures. Swap contracts are used to hedge forecasted transactions either of the commodity or of components containing the commodity. The Company has not qualified for hedge accounting treatment for these commodity contracts, and as a result, unrealized fair value adjustments and realized gains and losses associated with these contracts were charged directly to Other expense, net in the Condensed Consolidated Statements of Comprehensive Income during the period of change.

The following table summarizes the outstanding commodity swaps as of March 31, 2015 and December 31, 2014 (dollars in millions):


	March 31, 2015							December 31, 2014
	Notional Amount		Quantity		Fair Value			Notional Amount		Quantity	Fair Value
Aluminum	$	12.3		6,400 metric tons	$	(0.8	)	$	11.3	6,200 metric tons	$	(0.7	)
Natural Gas		N/A		N/A		—		$	0.2	60,000 MMBtu		0.0

					$	(0.8	)				$	(0.7	)

The following tabular disclosures further describe the Company’s derivative instruments and their impact on the financial condition of the Company (dollars in millions):


	March 31, 2015				December 31, 2014
	Balance Sheet Location	Fair Value			Balance Sheet Location	Fair Value
Derivatives not designated as hedging instruments
Foreign currency contracts	Other current liabilities	$	(0.2	)	Other current liabilities	$	(0.3	)
Commodity contracts	Other current and non-current liabilities		(0.8	)	Other current and non-current liabilities		(0.7	)
Interest rate contracts	Other non- current liabilities		(22.7	)	Other non- current liabilities		(14.4	)

Total derivatives not designated as hedging instruments		$	(23.7	)		$	(15.4	)

The fair values of the derivatives are recorded between Other current and non-current assets and Other current and non-current liabilities as appropriate in the Condensed Consolidated Balance Sheets. As of March 31, 2015, the amounts recorded to Other current and non-current liabilities for commodity contracts were ($0.7) million and ($0.1) million, respectively.

As of December 31, 2014, the amounts recorded to Other current and non-current liabilities for commodity contracts were ($0.6) million and ($0.1) million, respectively.

The impact on the Company’s Condensed Consolidated Statements of Comprehensive Income related to foreign currency and commodity contracts can be found in NOTE J, and the following tabular disclosure describes the location and impact on the Company’s results of operations related to unrealized (loss) gain on interest rate derivatives (dollars in millions):


	Three months ended March 31,
	2015			2014
Location of impact on results of operations
Interest Expense	$	(8.3	)	$	3.9

- 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 30
-Section 45
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6441202&loc=d3e80720-113993

Reference 2: 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

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
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-URI http://asc.fasb.org/extlink&oid=35706170&loc=d3e41620-113959

Reference 4: 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 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
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-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5579240-113959

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
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Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 30
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-URI http://asc.fasb.org/extlink&oid=35736893&loc=d3e80784-113994

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
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-Paragraph 1A
-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5579245-113959

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
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-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5624258-113959

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 30
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-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=35736893&loc=d3e80748-113994

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5708775-113959

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
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-Paragraph 4J
-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5708773-113959

Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
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-Section 50
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-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5618551-113959

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

Reference 17: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-URI http://asc.fasb.org/extlink&oid=6886632&loc=d3e76258-113986

Reference 18: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-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 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(n))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

+ Details

PRODUCT WARRANTY LIABILITIES

3 Months Ended

Mar. 31, 2015

PRODUCT WARRANTY LIABILITIES

NOTE H. PRODUCT WARRANTY LIABILITIES

Product warranty liability activities consist of the following (dollars in millions):


	Three months ended March 31,
	2015			2014
Beginning balance	$	83.6		$	90.5
Payments		(8.4	)		(8.4	)
Increase in liability (warranty issued during period)		5.9			6.3
Net adjustments to liability		(4.1	)		1.9
Accretion (for Predecessor liabilities)		0.1			0.1

Ending balance	$	77.1		$	90.4

As of March 31, 2015, the current and non-current product warranty liabilities were $23.7 million and $53.4 million, respectively. As of March 31, 2014, the current and non-current product warranty liabilities were $32.3 million and $58.1, respectively.

DEFERRED REVENUE

3 Months Ended

Mar. 31, 2015

DEFERRED REVENUE

NOTE I. DEFERRED REVENUE

As of March 31, 2015, the current and non-current deferred revenue for Extended Transmission Coverage (“ETC”) were $20.8 million and $51.4 million, respectively. As of March 31, 2014, the current and non-current deferred revenue for ETC were $20.1 million and $43.7 million, respectively.

Deferred revenue for ETC activity (dollars in millions):


	Three months ended March 31,
	2015			2014
Beginning balance	$	69.0		$	63.6
Increases		8.2			5.5
Revenue earned		(5.0	)		(5.3	)

Ending balance	$	72.2		$	63.8

Deferred revenue recorded in current liabilities related to unearned net sales for defense contracts as of March 31, 2015 and 2014 was approximately $0.0 million and $18.6 million, respectively.

OTHER INCOME (EXPENSE), NET

3 Months Ended

Mar. 31, 2015

OTHER INCOME (EXPENSE), NET

NOTE J. OTHER INCOME (EXPENSE), NET

Other income (expense), net consists of the following (dollars in millions):


	Three months ended March 31,
	2015			2014
Gain on intercompany foreign exchange	$	2.2		$	—
Gain (loss) on foreign exchange		1.1			(0.5	)
Realized loss on derivative contracts (see NOTE G)		(0.3	)		(0.6	)
Unrealized gain on derivative contracts (see NOTE G)		0.3			0.2
Loss on repayments and repurchases of long-term debt		(0.2	)		—
Public offering fees and expenses		—			(0.3	)
Grant program income		—			0.6
Other		(0.3	)		0.2

Total	$	2.8		$	(0.4	)

For the three months ended March 31, 2015, the Company recorded a gain of $2.2 million resulting from intercompany financing transactions related to investments in plant assets for the Company’s India facility.

OTHER CURRENT LIABILITIES

3 Months Ended

Mar. 31, 2015

OTHER CURRENT LIABILITIES

NOTE K. OTHER CURRENT LIABILITIES

Other current liabilities consist of the following (dollars in millions):


	As of March 31, 2015		As of December 31, 2014
Sales allowances	$	23.6	$	25.5
Payroll and related costs		23.0		50.9
Defense price reduction reserve		16.2		16.2
Accrued interest payable		13.5		5.2
Vendor buyback obligation		11.4		13.2
Taxes payable		10.4		8.5
Stock repurchase obligation		3.5		—
Derivative liabilities		0.4		0.8
Other accruals		12.7		11.4

Total	$	114.7	$	131.7

EMPLOYEE BENEFIT PLANS

3 Months Ended

Mar. 31, 2015

EMPLOYEE BENEFIT PLANS

NOTE L. EMPLOYEE BENEFIT PLANS

Components of net periodic benefit cost consist of the following (dollars in millions):


	Pension Plans						Post-retirement Benefits
	Three months ended March 31,						Three months ended March 31,
	2015			2014			2015			2014
Net periodic benefit cost:
Service cost	$	3.6		$	3.3		$	0.6		$	0.5
Interest cost		1.3			1.3			1.4			1.5
Expected return on assets		(2.1	)		(1.9	)		—			—
Prior service cost		0.0			0.0			(0.9	)		(0.9	)
Loss (gain)		0.0			—			—			(0.2	)

Net periodic benefit cost	$	2.8		$	2.7		$	1.1		$	0.9

INCOME TAXES

3 Months Ended

Mar. 31, 2015

INCOME TAXES

NOTE M. INCOME TAXES

For the three months ended March 31, 2015 and 2014, the Company recorded total tax expense of $39.8 million and $27.2 million, respectively. The effective tax rate for the three months ended March 31, 2015 and 2014 was 36.8 % and 34.3 %, respectively. The change in the effective rate is principally driven by discrete activity recorded in the first quarter of 2014 resulting in a favorable tax benefit.

The need to establish a valuation allowance against the deferred tax assets is assessed periodically based on a more-likely-than-not realization threshold, in accordance with authoritative accounting guidance. Appropriate consideration is given to all positive and negative evidence related to that realization. This assessment considers, among other matters, the nature, frequency and severity of recent losses, forecasts of future profitability, the duration of statutory carry forward periods, experience with tax attributes expiring unused, and tax planning alternatives. The weight given to these considerations depends upon the degree to which they can be objectively verified.

The Company has determined, based on the evaluation of both objective and subjective evidence available, that a domestic valuation allowance is not necessary and that it is more likely than not that the deferred tax assets are fully realizable. The Company has reached a sustained period of profitability and believes its objectively measured positive evidence outweighs the negative evidence. The Company continues to provide for a valuation allowance on certain of its foreign deferred tax assets.

In accordance with the FASB’s authoritative guidance on accounting for uncertainty in income taxes, the Company has recorded a liability for unrecognized tax benefits related to a 2010 Research & Development Credit as of March 31, 2015 and December 31, 2014. The accounting guidance prescribes a 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. For the year ended December 31, 2014, the return will remain subject to examination by the various taxing authorities for the duration of the applicable statute of limitations (generally three years from the later of the date of filing or the due date of the return).

ACCUMULATED OTHER COMPREHENSIVE LOSS

3 Months Ended

Mar. 31, 2015

ACCUMULATED OTHER COMPREHENSIVE LOSS

NOTE N. ACCUMULATED OTHER COMPREHENSIVE LOSS

The following tables reconcile changes in Accumulated other comprehensive loss (“AOCL”) by component (net of tax, dollars in millions):


	Three months ended
	Available-for- sale securities			Defined benefit pension items			Foreign currency items			Total
AOCL as of December 31, 2013	$	1.1		$	(7.9	)	$	(14.2	)	$	(21.0	)

Other comprehensive income before reclassifications		0.2			—			2.7			2.9
Amounts reclassified from AOCL		—			(1.1	)		—			(1.1	)
Income tax		(0.1	)		0.4			—			0.3

Net current period other comprehensive income	$	0.1		$	(0.7	)	$	2.7		$	2.1

AOCL as of March 31, 2014	$	1.2		$	(8.6	)	$	(11.5	)	$	(18.9	)

AOCL as of December 31, 2014	$	(0.9	)	$	(17.0	)	$	(21.6	)	$	(39.5	)

Other comprehensive loss before reclassifications		(3.8	)		—			(8.9	)		(12.7	)
Amounts reclassified from AOCL		—			(0.9	)		—			(0.9	)
Income tax		1.4			0.3			—			1.7

Net current period other comprehensive loss	$	(2.4	)	$	(0.6	)	$	(8.9	)	$	(11.9	)

AOCL as of March 31, 2015	$	(3.3	)	$	(17.6	)	$	(30.5	)	$	(51.4	)


	Amounts reclassified from AOCL						Affected line item in the Condensed Consolidated Statements of Comprehensive Income
AOCL Components	Three months ended March 31, 2015			Three months ended March 31, 2014
Amortization of defined benefit pension items:
Prior service cost	$	0.8		$	0.8		Cost of sales
		0.1			0.1		Selling, general and administrative
		0.0			0.0		Engineering – research and development
Actuarial loss		—			0.2		Cost of sales
		—			0.0		Selling, general and administrative
		—			0.0		Engineering – research and development

Total reclassifications, before tax	$	0.9			1.1		Income before income taxes
Income tax		(0.3	)		(0.4	)	Tax expense

Total reclassifications	$	0.6		$	0.7		Net of tax

Prior service cost and actuarial loss are included in the computation of the Company’s net periodic benefit cost. Please see NOTE L for additional details.

- Definition

The entire disclosure for comprehensive income, which includes, but is not limited to, 1) the amount of income tax expense or benefit allocated to each component of other comprehensive income, including reclassification adjustments, 2) the reclassification adjustments for each classification of other comprehensive income and 3) the ending accumulated balances for each component of comprehensive income.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 15
-URI http://asc.fasb.org/extlink&oid=36458714&loc=d3e689-108580

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
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-Topic 220
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-Section 45
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-URI http://asc.fasb.org/extlink&oid=36458714&loc=SL7669619-108580

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
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Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-URI http://asc.fasb.org/extlink&oid=36458714&loc=d3e716-108580

Reference 5: http://www.xbrl.org/2003/role/presentationRef
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-Paragraph 16
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-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
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-Paragraph 1
-Subparagraph (SX 210.3-04)
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-Name Accounting Standards Codification
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-Publisher FASB
-Name Accounting Standards Codification
-Glossary Reclassification Adjustments
-URI http://asc.fasb.org/extlink&oid=6522872

+ Details

COMMITMENTS AND CONTINGENCIES

3 Months Ended

Mar. 31, 2015

COMMITMENTS AND CONTINGENCIES

NOTE O. COMMITMENTS AND CONTINGENCIES

Claims, Disputes, and Litigation

The Company is party to various legal actions and administrative proceedings and subject to various claims arising in the ordinary course of business. These proceedings primarily involve commercial claims, product liability claims, personal injury claims and workers’ compensation claims. The Company believes that the ultimate liability, if any, in excess of amounts already provided for in the condensed consolidated financial statements or covered by insurance on the disposition of these matters will not have a material adverse effect on the financial position, results of operations or cash flows of the Company.

CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS	3 Months Ended
CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS	Mar. 31, 2015
CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS	NOTE P. CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS As of March 31, 2015, Lawrence E. Dewey, our Chairman, President and Chief Executive Officer, and David S. Graziosi, our Executive Vice President, Chief Financial Officer and Treasurer, held approximately $100,000 and $450,000, respectively, in aggregate principal amount of the 7.125% Senior Notes.

- Definition

The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.

+ References + Details

EARNINGS PER SHARE

3 Months Ended

Mar. 31, 2015

EARNINGS PER SHARE

NOTE Q. EARNINGS PER SHARE

The Company presents both basic and diluted earnings per share (“EPS”) amounts. Basic EPS is calculated by dividing net income by the weighted average number of common shares outstanding during the reporting period. Diluted EPS is calculated by dividing net income by the weighted average number of common shares and common equivalent shares outstanding during the reporting period that are calculated using the treasury stock method for stock-based awards. The treasury stock method assumes that the Company uses the proceeds from the exercise of awards to repurchase common stock at the average market price during the period. The assumed proceeds under the treasury stock method include the purchase price that the grantee will pay in the future, compensation cost for future service that the Company has not yet recognized and any tax benefits that would be credited to additional paid-in-capital when the award generates a tax deduction. If there would be a shortfall resulting in a charge to additional paid-in-capital, such an amount would be a reduction of the proceeds to the extent of the gains. The diluted weighted-average common shares outstanding exclude the anti-dilutive effect of certain stock options since such options had an exercise price in excess of the monthly average market value of our common stock. For the three months ended March 31, 2015, 0.2 million of outstanding stock options were not included in the diluted EPS computation because they were anti-dilutive.

The following table reconciles the numerators and denominators used to calculate basic EPS and diluted EPS (in millions, except per share data):


	Three months ended March 31,
	2015		2014
Net income	$	68.4	$	52.1

Weighted average shares of common stock outstanding		180.0		182.2
Dilutive effect stock-based awards		2.4		3.7

Diluted weighted average shares of common stock outstanding		182.4		185.9

Basic earnings per share attributable to common stockholders	$	0.38	$	0.29

Diluted earnings per share attributable to common stockholders	$	0.38	$	0.28

COMMON STOCK

3 Months Ended

Mar. 31, 2015

COMMON STOCK

NOTE R. COMMON STOCK

The Company’s current stock repurchase program was announced on October 30, 2014. The Board authorized management to repurchase up to $500.0 million of its common stock on the open market or through privately negotiated transactions through December 31, 2016. The timing and amount of stock purchases are subject to market conditions and corporate needs. This stock repurchase program may be extended, modified, suspended or discontinued at any time at the Company’s discretion. During the three months ended March 31, 2015, the Company repurchased approximately $38.9 million of its common stock under the repurchase program. As a result of timing between the repurchase transactions and the settlement of the repurchases, $35.4 million was settled in cash during the first quarter of 2015. The remaining $3.5 million was recorded to Other current liabilities in the Condensed Consolidated Balance Sheets for March 31, 2015 and settled the following month.

SUBSEQUENT EVENTS

3 Months Ended

Mar. 31, 2015

SUBSEQUENT EVENTS

NOTE S. SUBSEQUENT EVENTS

On April 7, 2015, ATI entered into an amendment with the term loan lenders under its Senior Secured Credit Facility to add up to an additional $470.0 million of Term B-3 Loan commitments and incur term loans in an aggregate principal amount of $470.0 million. The amendment also, among other things, (i) permits prepayment, repurchase or redemption of Allison’s 7.125% Senior Notes with the proceeds of the financing and (ii) resets the period for which a prepayment premium of 1.00% will apply in the event of a repricing transaction to the six-month anniversary of the closing date of the financing. With the exception of the items noted above, the terms (including maturity and pricing) of the financing are materially the same as the terms of the existing Term B-3 Loan outstanding. Immediately following the financing, ATI purchased the tendered 7.125% Senior Notes using the proceeds from the financing in a cash payment equal to $1,042 per $1,000 aggregate principal amount of the 7.125% Senior Notes plus accrued and unpaid interests. Upon the payment, the supplemental indenture to the Indenture discussed above in NOTE F became operative.

On April 15, 2015, ATI announced that the remaining proceeds from the financing and cash on hand will be used to fund the redemption of the remaining 7.125% Senior Notes with an outstanding principal of $50.4 million, at a redemption price equal to 103.563% of the principal amount plus any accrued and unpaid interest on May 15, 2015. Please see NOTE F for more information.

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	3 Months Ended
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	Mar. 31, 2015
Basis of Presentation and Principles of Consolidation	*Basis of Presentation and Principles of Consolidation* The condensed consolidated financial statements as of and for the three months ended March 31, 2015 and 2014 have been prepared in accordance with accounting principles for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, the condensed consolidated financial statements do not include all information and footnotes required by accounting principles generally accepted in the United States of America (“GAAP”) for complete financial statements. The information herein reflects all normal recurring material adjustments, which are, in the opinion of management, necessary for the fair statements of the results for the periods presented. The condensed consolidated financial statements herein consist of all wholly-owned domestic and foreign subsidiaries with all significant intercompany transactions eliminated. These condensed consolidated financial statements present the financial position, results of comprehensive income and cash flows of the Company. The condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements included in the Company’s Form 10-K for the year ended December 31, 2014 as filed with the Securities and Exchange Commission (“SEC”) on February 20, 2015. Certain immaterial reclassifications have been made in the condensed consolidated financial statements of prior periods to conform to the current period presentation. These reclassifications have no impact on previously reported net income, total stockholders’ equity or cash flows. The interim period financial results for the three month period presented are not necessarily indicative of results to be expected for any other interim period or for the entire year.
Use of Estimates	*Use of Estimates* The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities and the reported amounts of revenue and expenses. Significant estimates include, but are not limited to, allowance for doubtful accounts, sales allowances, government price adjustments, fair market values and future cash flows associated with goodwill, indefinite life intangibles, long-lived asset impairment tests, useful lives for depreciation and amortization, warranty liability, determination of discount and other assumptions for pension and other postretirement benefit expense, income taxes and deferred tax valuation allowances, derivative valuation, and contingencies. The Company’s accounting policies involve the application of judgments and assumptions made by management that include inherent risks and uncertainties. Actual results could differ materially from these estimates. Changes in estimates are recorded in results of operations in the period that the events or circumstances giving rise to such changes occur.
Recently Issued Accounting Pronouncements	*Recently Issued Accounting Pronouncements* In April 2015, the Financial Accounting Standards Board (“FASB”) issued authoritative accounting guidance to simplify the presentation of the debt issuance costs. The guidance requires that the debt issuance costs be presented in the balance sheet as a direct deduction from the carrying amount of debt liability, consistent with debt discounts or premiums. The recognition and measurement guidance for debt issuance costs are not affected. The guidance is effective for public entities for interim and annual reporting periods beginning after December 15, 2015, but can be early-adopted. Management is assessing the potential impact of the adoption of this guidance on the Company’s consolidated financial statements. In August 2014, the FASB issued authoritative accounting guidance on the disclosure of uncertainties about an entity’s ability to continue as a going concern. The guidance requires management to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern within one year after the date that the financial statements are issued (or within one year after the date that financial statements are available to be issued when applicable) and to provide related footnote disclosures. The guidance is effective prospectively for interim and annual reporting periods beginning after December 15, 2016, but can be early-adopted. While the adoption of this guidance is not expected to have an effect on the Company’s consolidated financial statements, it could affect the disclosure applied under these circumstances in the future. In May 2014, the FASB issued authoritative accounting guidance on a company’s accounting for revenue from contracts with customers. The guidance applies to all companies that enter into contracts with customers to transfer goods, service or nonfinancial assets. The guidance requires these companies to 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. The guidance also requires improved disclosures regarding the nature, timing, amount and uncertainty of revenue that is recognized. The FASB originally proposed the guidance was effective prospectively for interim and annual reporting periods beginning after December 15, 2016. On April 1, 2015, the FASB decided to propose a one-year deferral of the effective date. Under the proposal, the guidance would be effective for public entities for interim and annual reporting periods beginning after December 15, 2017. The proposal also would permit both public and nonpublic entities to adopt the guidance as early as the original public entity effective date. Early adoption prior to that date would not be permitted. Management is assessing the potential impact of the adoption of this guidance on the Company’s consolidated financial statements.

INVENTORIES (Tables)

3 Months Ended

Mar. 31, 2015

Components of Inventories

Inventories consisted of the following components (dollars in millions):


	March 31, 2015		December 31, 2014
Purchased parts and raw materials	$	84.0	$	72.3
Work in progress		6.0		6.1
Service parts		47.6		46.5
Finished goods		23.3		18.6

Total inventories	$	160.9	$	143.5

GOODWILL AND OTHER INTANGIBLE ASSETS (Tables)

3 Months Ended

Mar. 31, 2015

Summary of Other Intangible Assets

The following presents a summary of other intangible assets (dollars in millions):


	March 31, 2015							December 31, 2014
	Intangible assets, gross		Accumulated amortization			Intangible assets, net		Intangible assets, gross		Accumulated amortization			Intangible assets, net
Other intangible assets:
Trade name	$	870.0	$	—		$	870.0	$	870.0	$	—		$	870.0
Customer relationships — defense		62.3		(28.7	)		33.6		62.3		(27.9	)		34.4
Customer relationships — commercial		831.8		(439.5	)		392.3		831.8		(426.9	)		404.9
Proprietary technology		476.3		(291.5	)		184.8		476.3		(282.0	)		194.3
Non-compete agreement		17.3		(13.3	)		4.0		17.3		(12.8	)		4.5
Patented technology — defense		28.2		(25.4	)		2.8		28.2		(24.5	)		3.7
Tooling rights		4.5		(4.3	)		0.2		4.5		(4.3	)		0.2
Patented technology — commercial		260.6		(260.6	)		—		260.6		(260.6	)		—

Total	$	2,551.0	$	(1,063.3	)	$	1,487.7	$	2,551.0	$	(1,039.0	)	$	1,512.0

Amortization Expense Related to Other Intangible Assets for Next Five Years and Thereafter

Amortization expense related to other intangible assets for the next five years and thereafter is expected to be (dollars in millions):


	2016		2017		2018		2019		2020		Thereafter
Amortization expense	$	92.4	$	89.7	$	87.2	$	85.7	$	49.3	$	140.6

FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)

3 Months Ended

Mar. 31, 2015

Summary of Fair Value of Financial Assets and (Liabilities)

The following table summarizes the fair value of the Company’s financial assets and (liabilities) as of March 31, 2015 and December 31, 2014 (dollars in millions):


	Fair Value Measurements Using
	Quoted Prices in Active Markets for Identical Assets (Level 1)						Significant Other Observable Inputs (Level 2)						TOTAL
	March 31, 2015			December 31, 2014			March 31, 2015			December 31, 2014			March 31, 2015			December 31, 2014
Cash equivalents	$	101.0		$	55.0		$	—		$	—		$	101.0		$	55.0
Available-for-sale securities		4.8			8.6			—			—			4.8			8.6
Rabbi trust assets		4.5			2.9			—			—			4.5			2.9
Deferred compensation obligation		(4.5	)		(2.9	)		—			—			(4.5	)		(2.9	)
Derivative assets		—			—			—			0.0			—			0.0
Derivative liabilities		—			—			(23.7	)		(15.4	)		(23.7	)		(15.4	)

Total	$	105.8		$	63.6		$	(23.7	)	$	(15.4	)	$	82.1		$	48.2

DEBT (Tables)

3 Months Ended

Mar. 31, 2015

Summary of Long-Term Debt and Maturities

Long-term debt and maturities are as follows (dollars in millions):


	March 31, 2015		December 31, 2014
Long-term debt:
Senior Secured Credit Facility Term B-2 Loan, variable, due 2017	$	236.2	$	283.6
Senior Secured Credit Facility Term B-3 Loan, variable, due 2019		1,761.3		1,765.6
Senior Notes, fixed 7.125%, due 2019		471.3		471.3

Total long-term debt	$	2,468.8	$	2,520.5
Less: current maturities of long-term debt		17.9		17.9

Total long-term debt less current portion	$	2,450.9	$	2,502.6

- Definition

Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 02
-Paragraph 22
-Article 5

+ Details

DERIVATIVES (Tables)

3 Months Ended

Mar. 31, 2015

Summary of Company's Interest Rate Derivatives

A summary of the Company’s interest rate derivatives as of March 31, 2015 and December 31, 2014 follows (dollars in millions):


	March 31, 2015					December 31, 2014
	Notional Amount		Fair Value			Notional Amount		Fair Value
3.44% Interest Rate Swap L, Aug 2016 – Aug 2019*	$	75.0	$	(3.1	)	$	75.0	$	(2.3	)
3.43% Interest Rate Swap M, Aug 2016 – Aug 2019*		100.0		(4.1	)		100.0		(3.0	)
3.37% Interest Rate Swap N, Aug 2016 – Aug 2019*		75.0		(2.9	)		75.0		(2.1	)
3.19% Interest Rate Swap O, Aug 2016 – Aug 2019*		75.0		(2.6	)		75.0		(1.7	)
3.08% Interest Rate Swap P, Aug 2016 – Aug 2019*		75.0		(2.3	)		75.0		(1.5	)
2.99% Interest Rate Swap Q, Aug 2016 – Aug 2019*		50.0		(1.4	)		50.0		(0.9	)
2.98% Interest Rate Swap R, Aug 2016 – Aug 2019*		50.0		(1.4	)		50.0		(0.9	)
2.73% Interest Rate Swap S, Aug 2016 – Aug 2019*		50.0		(1.0	)		50.0		(0.5	)
2.74% Interest Rate Swap T, Aug 2016 – Aug 2019*		75.0		(1.5	)		75.0		(0.8	)
2.66% Interest Rate Swap U, Aug 2016 – Aug 2019*		50.0		(0.9	)		50.0		(0.4	)
2.60% Interest Rate Swap V, Aug 2016 – Aug 2019*		50.0		(0.8	)		50.0		(0.3	)
2.40% Interest Rate Swap W, Aug 2016 – Aug 2019*		25.0		(0.2	)		25.0		0.0
2.25% Interest Rate Swap X, Aug 2016 – Aug 2019*		50.0		(0.5	)		—		—

* includes LIBOR floor of 1.00%	$	800.0	$	(22.7	)	$	750.0	$	(14.4	)

Derivative Instruments and their Impact on the Financial Condition

The following tabular disclosures further describe the Company’s derivative instruments and their impact on the financial condition of the Company (dollars in millions):


	March 31, 2015				December 31, 2014
	Balance Sheet Location	Fair Value			Balance Sheet Location	Fair Value
Derivatives not designated as hedging instruments
Foreign currency contracts	Other current liabilities	$	(0.2	)	Other current liabilities	$	(0.3	)
Commodity contracts	Other current and non-current liabilities		(0.8	)	Other current and non-current liabilities		(0.7	)
Interest rate contracts	Other non- current liabilities		(22.7	)	Other non- current liabilities		(14.4	)

Total derivatives not designated as hedging instruments		$	(23.7	)		$	(15.4	)

Interest Rate Derivative Instruments and their Impact on the Results of Operations


	Three months ended March 31,
	2015			2014
Location of impact on results of operations
Interest Expense	$	(8.3	)	$	3.9

Foreign Currency Forward Contract

Notional Amount and Fair Value of Derivatives

The following table summarizes the outstanding foreign currency forward contracts as of March 31, 2015 and December 31, 2014 (amounts in millions):


	March 31, 2015					December 31, 2014
	Notional Amount		Fair Value			Notional Amount		Fair Value
Japanese Yen (JPY)	¥	150.0	$	(0.2	)	¥	300.0	$	(0.3	)

			$	(0.2	)			$	(0.3	)

Commodity contracts

Notional Amount and Fair Value of Derivatives

The following table summarizes the outstanding commodity swaps as of March 31, 2015 and December 31, 2014 (dollars in millions):


	March 31, 2015							December 31, 2014
	Notional Amount		Quantity		Fair Value			Notional Amount		Quantity	Fair Value
Aluminum	$	12.3		6,400 metric tons	$	(0.8	)	$	11.3	6,200 metric tons	$	(0.7	)
Natural Gas		N/A		N/A		—		$	0.2	60,000 MMBtu		0.0

					$	(0.8	)				$	(0.7	)

- Definition

Tabular disclosure of pertinent information about a derivative or group of derivatives on a disaggregated basis, such as for individual instruments, or small groups of similar instruments. May include a combination of the type of instrument, risks being hedged, notional amount, hedge designation, related hedged item, inception date, maturity date, or other relevant item.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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+ Details

PRODUCT WARRANTY LIABILITIES (Tables)

3 Months Ended

Mar. 31, 2015

Product Warranty Liability Activities

Product warranty liability activities consist of the following (dollars in millions):


	Three months ended March 31,
	2015			2014
Beginning balance	$	83.6		$	90.5
Payments		(8.4	)		(8.4	)
Increase in liability (warranty issued during period)		5.9			6.3
Net adjustments to liability		(4.1	)		1.9
Accretion (for Predecessor liabilities)		0.1			0.1

Ending balance	$	77.1		$	90.4

DEFERRED REVENUE (Tables)

3 Months Ended

Mar. 31, 2015

Deferred Revenue for Extended Transmission Coverage Activity

Deferred revenue for ETC activity (dollars in millions):


	Three months ended March 31,
	2015			2014
Beginning balance	$	69.0		$	63.6
Increases		8.2			5.5
Revenue earned		(5.0	)		(5.3	)

Ending balance	$	72.2		$	63.8

OTHER INCOME (EXPENSE), NET (Tables)

3 Months Ended

Mar. 31, 2015

Computation of Other Income (Expense), Net

Other income (expense), net consists of the following (dollars in millions):


	Three months ended March 31,
	2015			2014
Gain on intercompany foreign exchange	$	2.2		$	—
Gain (loss) on foreign exchange		1.1			(0.5	)
Realized loss on derivative contracts (see NOTE G)		(0.3	)		(0.6	)
Unrealized gain on derivative contracts (see NOTE G)		0.3			0.2
Loss on repayments and repurchases of long-term debt		(0.2	)		—
Public offering fees and expenses		—			(0.3	)
Grant program income		—			0.6
Other		(0.3	)		0.2

Total	$	2.8		$	(0.4	)

OTHER CURRENT LIABILITIES (Tables)

3 Months Ended

Mar. 31, 2015

Summary of Other Current Liabilities

Other current liabilities consist of the following (dollars in millions):


	As of March 31, 2015		As of December 31, 2014
Sales allowances	$	23.6	$	25.5
Payroll and related costs		23.0		50.9
Defense price reduction reserve		16.2		16.2
Accrued interest payable		13.5		5.2
Vendor buyback obligation		11.4		13.2
Taxes payable		10.4		8.5
Stock repurchase obligation		3.5		—
Derivative liabilities		0.4		0.8
Other accruals		12.7		11.4

Total	$	114.7	$	131.7

EMPLOYEE BENEFIT PLANS (Tables)

3 Months Ended

Mar. 31, 2015

Components of Net Periodic Benefit Cost

Components of net periodic benefit cost consist of the following (dollars in millions):


	Pension Plans						Post-retirement Benefits
	Three months ended March 31,						Three months ended March 31,
	2015			2014			2015			2014
Net periodic benefit cost:
Service cost	$	3.6		$	3.3		$	0.6		$	0.5
Interest cost		1.3			1.3			1.4			1.5
Expected return on assets		(2.1	)		(1.9	)		—			—
Prior service cost		0.0			0.0			(0.9	)		(0.9	)
Loss (gain)		0.0			—			—			(0.2	)

Net periodic benefit cost	$	2.8		$	2.7		$	1.1		$	0.9

ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables)

3 Months Ended

Mar. 31, 2015

Changes in Accumulated Other Comprehensive Loss by Component

The following tables reconcile changes in Accumulated other comprehensive loss (“AOCL”) by component (net of tax, dollars in millions):


	Three months ended
	Available-for- sale securities			Defined benefit pension items			Foreign currency items			Total
AOCL as of December 31, 2013	$	1.1		$	(7.9	)	$	(14.2	)	$	(21.0	)

Other comprehensive income before reclassifications		0.2			—			2.7			2.9
Amounts reclassified from AOCL		—			(1.1	)		—			(1.1	)
Income tax		(0.1	)		0.4			—			0.3

Net current period other comprehensive income	$	0.1		$	(0.7	)	$	2.7		$	2.1

AOCL as of March 31, 2014	$	1.2		$	(8.6	)	$	(11.5	)	$	(18.9	)

AOCL as of December 31, 2014	$	(0.9	)	$	(17.0	)	$	(21.6	)	$	(39.5	)

Other comprehensive loss before reclassifications		(3.8	)		—			(8.9	)		(12.7	)
Amounts reclassified from AOCL		—			(0.9	)		—			(0.9	)
Income tax		1.4			0.3			—			1.7

Net current period other comprehensive loss	$	(2.4	)	$	(0.6	)	$	(8.9	)	$	(11.9	)

AOCL as of March 31, 2015	$	(3.3	)	$	(17.6	)	$	(30.5	)	$	(51.4	)

Amounts reclassified from AOCL


	Amounts reclassified from AOCL						Affected line item in the Condensed Consolidated Statements of Comprehensive Income
AOCL Components	Three months ended March 31, 2015			Three months ended March 31, 2014
Amortization of defined benefit pension items:
Prior service cost	$	0.8		$	0.8		Cost of sales
		0.1			0.1		Selling, general and administrative
		0.0			0.0		Engineering – research and development
Actuarial loss		—			0.2		Cost of sales
		—			0.0		Selling, general and administrative
		—			0.0		Engineering – research and development

Total reclassifications, before tax	$	0.9			1.1		Income before income taxes
Income tax		(0.3	)		(0.4	)	Tax expense

Total reclassifications	$	0.6		$	0.7		Net of tax

EARNINGS PER SHARE (Tables)

3 Months Ended

Mar. 31, 2015

Reconciliation of Numerators and Denominators Used to Calculate Basic EPS and Diluted EPS

The following table reconciles the numerators and denominators used to calculate basic EPS and diluted EPS (in millions, except per share data):


	Three months ended March 31,
	2015		2014
Net income	$	68.4	$	52.1

Weighted average shares of common stock outstanding		180.0		182.2
Dilutive effect stock-based awards		2.4		3.7

Diluted weighted average shares of common stock outstanding		182.4		185.9

Basic earnings per share attributable to common stockholders	$	0.38	$	0.29

Diluted earnings per share attributable to common stockholders	$	0.38	$	0.28

Overview - Additional Information (Detail)	3 Months Ended
Overview - Additional Information (Detail)	Mar. 31, 2015 Customer Employee Product
Organization, Consolidation and Presentation of Financial Statements Disclosure [Line Items]
Transmission product lines \| Product	13
Worldwide independent distributor and dealer locations \| Customer	1,400
Number of employees \| Employee	2,700
Sales Revenue, Net \| North America \| Geographic Concentration Risk
Organization, Consolidation and Presentation of Financial Statements Disclosure [Line Items]
Concentration of risk, percentage	80.00%

Components of Inventories (Detail) - USD ($) $ in Millions	Mar. 31, 2015	Dec. 31, 2014
Inventory [Line Items]
Purchased parts and raw materials	$ 84.0	$ 72.3
Work in progress	6.0	6.1
Service parts	47.6	46.5
Finished goods	23.3	18.6
Total inventories	$ 160.9	$ 143.5

Goodwill and Other Intangible Assets - Additional Information (Detail) - USD ($) $ in Millions	Mar. 31, 2015	Dec. 31, 2014
Goodwill [Line Items]
Goodwill	$ 1,941.0	$ 1,941.0
Net carrying value of Goodwill and other intangible assets	$ 3,428.7	$ 3,453.0

Summary of Goodwill and Other Intangible Assets (Detail) - USD ($) $ in Millions	Mar. 31, 2015	Dec. 31, 2014
Goodwill and Intangible Assets Disclosure [Line Items]
Trade name	$ 870.0	$ 870.0
Intangible assets, gross	2,551.0	2,551.0
Accumulated amortization	(1,063.3)	(1,039.0)
Intangible assets, net	1,487.7	1,512.0
Customer relationships - defense
Goodwill and Intangible Assets Disclosure [Line Items]
Intangible assets, gross	62.3	62.3
Accumulated amortization	(28.7)	(27.9)
Intangible assets, net	33.6	34.4
Customer relationships - commercial
Goodwill and Intangible Assets Disclosure [Line Items]
Intangible assets, gross	831.8	831.8
Accumulated amortization	(439.5)	(426.9)
Intangible assets, net	392.3	404.9
Proprietary technology
Goodwill and Intangible Assets Disclosure [Line Items]
Intangible assets, gross	476.3	476.3
Accumulated amortization	(291.5)	(282.0)
Intangible assets, net	184.8	194.3
Non-compete agreement
Goodwill and Intangible Assets Disclosure [Line Items]
Intangible assets, gross	17.3	17.3
Accumulated amortization	(13.3)	(12.8)
Intangible assets, net	4.0	4.5
Patented technology - defense
Goodwill and Intangible Assets Disclosure [Line Items]
Intangible assets, gross	28.2	28.2
Accumulated amortization	(25.4)	(24.5)
Intangible assets, net	2.8	3.7
Tooling rights
Goodwill and Intangible Assets Disclosure [Line Items]
Intangible assets, gross	4.5	4.5
Accumulated amortization	(4.3)	(4.3)
Intangible assets, net	0.2	0.2
Patented technology - commercial
Goodwill and Intangible Assets Disclosure [Line Items]
Intangible assets, gross	260.6	260.6
Accumulated amortization	$ (260.6)	$ (260.6)

Expected Amortization Expense Related to Other Intangible Assets (Detail) $ in Millions	Mar. 31, 2015 USD ($)
Finite-Lived Intangible Assets
2016	$ 92.4
2017	89.7
2018	87.2
2019	85.7
2020	49.3
Thereafter	$ 140.6

Fair Value of Financial Assets and Liabilities (Detail) - USD ($) $ in Millions	Mar. 31, 2015	Dec. 31, 2014
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	$ 101.0	$ 55.0
Available-for-sale securities	4.8	8.6
Rabbi trust assets	4.5	2.9
Deferred compensation obligation	(4.5)	(2.9)
Derivative assets		0.0
Derivative liabilities	(23.7)	(15.4)
Total	82.1	48.2
Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	101.0	55.0
Available-for-sale securities	4.8	8.6
Rabbi trust assets	4.5	2.9
Deferred compensation obligation	(4.5)	(2.9)
Total	105.8	63.6
Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative assets		0.0
Derivative liabilities	(23.7)	(15.4)
Total	$ (23.7)	$ (15.4)

Long Term Debt and Maturities (Detail) - USD ($) $ in Millions	Mar. 31, 2015	Dec. 31, 2014
Debt Instrument [Line Items]
Total long-term debt	$ 2,468.8	$ 2,520.5
Less: current maturities of long-term debt	17.9	17.9
Total long-term debt less current portion	2,450.9	2,502.6
Total long-term debt	2,468.8	2,520.5
Senior Secured Credit Facility Term B-2 Loan, variable, due 2017
Debt Instrument [Line Items]
Total long-term debt	236.2	283.6
Total long-term debt	236.2	283.6
Senior Secured Credit Facility Term B-3 Loan, variable, due 2019
Debt Instrument [Line Items]
Total long-term debt	1,761.3	1,765.6
Total long-term debt	1,761.3	1,765.6
Senior Notes, fixed 7.125%, due 2019
Debt Instrument [Line Items]
Total long-term debt	471.3	471.3
Total long-term debt	$ 471.3	$ 471.3

Long Term Debt and Maturities (Parenthetical) (Detail)	3 Months Ended
Long Term Debt and Maturities (Parenthetical) (Detail)	Mar. 31, 2015
Senior Secured Credit Facility Term B-2 Loan, variable, due 2017
Debt Instrument [Line Items]
Debt instrument, due date	2017
Senior Secured Credit Facility Term B-3 Loan, variable, due 2019
Debt Instrument [Line Items]
Debt instrument, due date	2019
Senior Notes, fixed 7.125%, due 2019
Debt Instrument [Line Items]
Interest rate of Senior Notes	7.125%
Debt instrument, due date	2019

Debt - Additional Information (Detail) - USD ($) $ in Millions	1 Months Ended	3 Months Ended
	Apr. 30, 2014	Mar. 31, 2015	Mar. 31, 2014	Dec. 31, 2014
Debt Instrument [Line Items]
Total long-term debt		$ 2,468.8		$ 2,520.5
Fair value of long-term debt obligations		2,488.0
Long-term debt repayment		51.7	$ 2.8
Losses associated with deferred debt issuance costs on principal payments		$ 0.2
Total leverage ratio		289.00%
Line of Credit
Debt Instrument [Line Items]
Weighted average rate on the Senior Secured Credit Facility		3.43%
Revolving Credit Facility
Debt Instrument [Line Items]
Revolving credit borrowings				465.0
Maximum amount of letters of credit commitments available under the revolving credit facility				75.0
Available revolving credit facility		$ 455.1
Letters of Credit		$ 9.9
Revolving credit borrowings, interest rate		1.63%
Line of Credit Facility, commitment fee percentage		0.25%
Maturity date of revolving credit borrowings		2019-01
Required senior secured leverage ratio		550.00%
Achieved senior secured leverage ratio		227.00%
Minimum senior secured leverage ratio		350.00%
Basis point reduction to applicable margin, resulting from total leverage ratio below minimum		0.25%
Basis point reduction to commitment fee, resulting from total leverage ratio below minimum		0.125%
Senior Secured Credit Facility Term B-2 Loan, variable, due 2017
Debt Instrument [Line Items]
Total long-term debt		$ 236.2		283.6
Variable interest rate, description		Interest on the Term B-2 Loan, as of March 31, 2015, is at the Company's option, either (a) 2.75% over the LIBOR or (b) 1.75% over the greater of the prime lending rate provided by the British Banking Association or the federal funds effective rate published by the Federal Reserve Bank of New York plus 0.50%.
Total interest rate for term loan		2.93%
Debt instrument, due date		2017
Long-term debt repayment		$ 47.4
Losses associated with deferred debt issuance costs on principal payments		0.2
Senior Secured Credit Facility Term B-2 Loan, variable, due 2017 \| LIBOR
Debt Instrument [Line Items]
Applicable margin over base rate	2.75%
Senior Secured Credit Facility Term B-2 Loan, variable, due 2017 \| Prime Rate or Federal Funds Rate
Debt Instrument [Line Items]
Applicable margin over base rate	1.75%
Senior Secured Credit Facility Term B-2 Loan, variable, due 2017 \| Federal Funds Rate
Debt Instrument [Line Items]
Applicable margin over base rate	0.50%
Senior Secured Credit Facility Term B-3 Loan, variable, due 2019
Debt Instrument [Line Items]
Total long-term debt		$ 1,761.3		1,765.6
Variable interest rate, description		Interest on the Term B-3 Loan, as of March 31, 2015, is equal to the LIBOR (which may not be less than 1.00%) plus 2.50%
Total interest rate for term loan		3.50%
Principal payments on term loans		$ 4.4
Debt instrument, due date		2019
Basis point reduction to applicable margin, resulting from total leverage ratio below minimum		0.25%
Total leverage ratio		325.00%
Senior Notes, fixed 7.125%, due 2019
Debt Instrument [Line Items]
Total long-term debt		$ 471.3		$ 471.3
Interest rate of Senior Notes		7.125%
Debt instrument, due date		2019
Fixed 7.125% Senior Notes
Debt Instrument [Line Items]
Interest rate of Senior Notes		7.125%
Cash tender offer date to acquire outstanding senior notes		Mar. 18, 2015
Aggregate principal amount of senior notes		$ 420.9

Summary of Company's Interest Rate Derivatives (Detail) - Derivatives not designated as hedging instruments - USD ($)

Mar. 31, 2015

Dec. 31, 2014

Derivatives, Fair Value [Line Items]

Notional Amount

$ 800,000,000

$ 750,000,000

Fair Value

(22,700,000)

(14,400,000)

3.44% Interest Rate Swap L, Aug 2016 - Aug 2019

Derivatives, Fair Value [Line Items]

Notional Amount

^[1]

75,000,000

Fair Value

^[1]

(3,100,000)

(2,300,000)

3.43% Interest Rate Swap M, Aug 2016 - Aug 2019

Derivatives, Fair Value [Line Items]

Notional Amount

^[1]

100,000,000

Fair Value

^[1]

(4,100,000)

(3,000,000)

3.37% Interest Rate Swap N, Aug 2016 - Aug 2019

Derivatives, Fair Value [Line Items]

Notional Amount

^[1]

75,000,000

Fair Value

^[1]

(2,900,000)

(2,100,000)

3.19% Interest Rate Swap O, Aug 2016 - Aug 2019

Derivatives, Fair Value [Line Items]

Notional Amount

^[1]

75,000,000

Fair Value

^[1]

(2,600,000)

(1,700,000)

3.08% Interest Rate Swap P, Aug 2016 - Aug 2019

Derivatives, Fair Value [Line Items]

Notional Amount

^[1]

75,000,000

Fair Value

^[1]

(2,300,000)

(1,500,000)

2.99% Interest Rate Swap Q, Aug 2016 - Aug 2019

Derivatives, Fair Value [Line Items]

Notional Amount

^[1]

50,000,000

Fair Value

^[1]

(1,400,000)

(900,000)

2.98% Interest Rate Swap R, Aug 2016 - Aug 2019

Derivatives, Fair Value [Line Items]

Notional Amount

^[1]

50,000,000

Fair Value

^[1]

(1,400,000)

(900,000)

2.73% Interest Rate Swap S, Aug 2016 - Aug 2019

Derivatives, Fair Value [Line Items]

Notional Amount

^[1]

50,000,000

Fair Value

^[1]

(1,000,000)

(500,000)

2.74% Interest Rate Swap T, Aug 2016 - Aug 2019

Derivatives, Fair Value [Line Items]

Notional Amount

^[1]

75,000,000

Fair Value

^[1]

(1,500,000)

(800,000)

2.66% Interest Rate Swap U, Aug 2016 - Aug 2019

Derivatives, Fair Value [Line Items]

Notional Amount

^[1]

50,000,000

Fair Value

^[1]

(900,000)

(400,000)

2.60% Interest Rate Swap V, Aug 2016 - Aug 2019

Derivatives, Fair Value [Line Items]

Notional Amount

^[1]

50,000,000

Fair Value

^[1]

(800,000)

(300,000)

2.40% Interest Rate Swap W, Aug 2016 - Aug 2019

Derivatives, Fair Value [Line Items]

Notional Amount

^[1]

25,000,000

Fair Value

^[1]

(200,000)

$ 0

2.25% Interest Rate Swap X, Aug 2016 - Aug 2019

Derivatives, Fair Value [Line Items]

Notional Amount

^[1]

50,000,000

Fair Value

^[1]

$ (500,000)

[1]	includes LIBOR floor of 1.00%

Summary of Company's Interest Rate Derivatives (Parenthetical) (Detail) - Derivatives not designated as hedging instruments	Mar. 31, 2015	Dec. 31, 2014
LIBOR
Derivatives, Fair Value [Line Items]
LIBOR floor	1.00%	1.00%
3.44% Interest Rate Swap L, Aug 2016 - Aug 2019
Derivatives, Fair Value [Line Items]
Derivative, Fixed Interest Rate	3.44%	3.44%
3.43% Interest Rate Swap M, Aug 2016 - Aug 2019
Derivatives, Fair Value [Line Items]
Derivative, Fixed Interest Rate	3.43%	3.43%
3.37% Interest Rate Swap N, Aug 2016 - Aug 2019
Derivatives, Fair Value [Line Items]
Derivative, Fixed Interest Rate	3.37%	3.37%
3.19% Interest Rate Swap O, Aug 2016 - Aug 2019
Derivatives, Fair Value [Line Items]
Derivative, Fixed Interest Rate	3.19%	3.19%
3.08% Interest Rate Swap P, Aug 2016 - Aug 2019
Derivatives, Fair Value [Line Items]
Derivative, Fixed Interest Rate	3.08%	3.08%
2.99% Interest Rate Swap Q, Aug 2016 - Aug 2019
Derivatives, Fair Value [Line Items]
Derivative, Fixed Interest Rate	2.99%	2.99%
2.98% Interest Rate Swap R, Aug 2016 - Aug 2019
Derivatives, Fair Value [Line Items]
Derivative, Fixed Interest Rate	2.98%	2.98%
2.73% Interest Rate Swap S, Aug 2016 - Aug 2019
Derivatives, Fair Value [Line Items]
Derivative, Fixed Interest Rate	2.73%	2.73%
2.74% Interest Rate Swap T, Aug 2016 - Aug 2019
Derivatives, Fair Value [Line Items]
Derivative, Fixed Interest Rate	2.74%	2.74%
2.66% Interest Rate Swap U, Aug 2016 - Aug 2019
Derivatives, Fair Value [Line Items]
Derivative, Fixed Interest Rate	2.66%	2.66%
2.60% Interest Rate Swap V, Aug 2016 - Aug 2019
Derivatives, Fair Value [Line Items]
Derivative, Fixed Interest Rate	2.60%	2.60%
2.40% Interest Rate Swap W, Aug 2016 - Aug 2019
Derivatives, Fair Value [Line Items]
Derivative, Fixed Interest Rate	2.40%	2.40%
2.25% Interest Rate Swap X, Aug 2016 - Aug 2019
Derivatives, Fair Value [Line Items]
Derivative, Fixed Interest Rate	2.25%	2.25%

Summary of Outstanding Foreign Currency Forward Contracts (Detail) - Derivatives not designated as hedging instruments	Mar. 31, 2015 USD ($)	Mar. 31, 2015 JPY (¥)	Dec. 31, 2014 USD ($)	Dec. 31, 2014 JPY (¥)
Derivatives, Fair Value [Line Items]
Notional Amount	$ 800,000,000		$ 750,000,000
Foreign currency contracts
Derivatives, Fair Value [Line Items]
Assets Fair Value	(200,000)
Liabilities Fair Value			(300,000)
Foreign currency contracts \| Japanese Yen
Derivatives, Fair Value [Line Items]
Assets Fair Value	$ (200,000)
Liabilities Fair Value			$ (300,000)
Notional Amount \| ¥		¥ 150,000,000		¥ 300,000,000

Summary of Outstanding Commodity Swaps (Detail) - Derivatives not designated as hedging instruments	3 Months Ended	12 Months Ended
	Mar. 31, 2015 USD ($) t	Dec. 31, 2014 USD ($) MMBTU t
Derivative Instruments, Gain (Loss) [Line Items]
Notional Amount	$ 800,000,000	$ 750,000,000
Fair value	23,700,000	15,400,000
Commodity contracts
Derivative Instruments, Gain (Loss) [Line Items]
Fair value	(800,000)	(700,000)
Commodity contracts \| Aluminum
Derivative Instruments, Gain (Loss) [Line Items]
Notional Amount	$ 12,300,000	$ 11,300,000
Quantity \| t	6,400	6,200
Fair value	$ (800,000)	$ (700,000)
Commodity contracts \| Natural Gas
Derivative Instruments, Gain (Loss) [Line Items]
Notional Amount		$ 200,000
Quantity \| MMBTU		60,000
Fair value		$ 0

Company's Derivative Instruments and their Impact on Financial Condition of Company (Detail) - Derivatives not designated as hedging instruments - USD ($) $ in Millions	Mar. 31, 2015	Dec. 31, 2014
Derivative [Line Items]
Total derivatives not designated as hedging instruments	$ (23.7)	$ (15.4)
Foreign currency contracts \| Other current liabilities
Derivative [Line Items]
Derivative Liability, Fair Value	(0.2)	(0.3)
Commodity contracts
Derivative [Line Items]
Total derivatives not designated as hedging instruments	0.8	0.7
Commodity contracts \| Other current liabilities
Derivative [Line Items]
Derivative Liability, Fair Value	(0.7)	(0.6)
Commodity contracts \| Other current and non-current liabilities
Derivative [Line Items]
Derivative Liability, Fair Value	(0.8)	(0.7)
Commodity contracts \| Other non-current liabilities
Derivative [Line Items]
Derivative Liability, Fair Value	(0.1)	(0.1)
Interest rate contracts \| Other non-current liabilities
Derivative [Line Items]
Derivative Liability, Fair Value	$ (22.7)	$ (14.4)

Derivatives - Additional Information (Detail) - Derivatives not designated as hedging instruments - Commodity contracts - USD ($) $ in Millions	Mar. 31, 2015	Dec. 31, 2014
Other current liabilities
Derivative [Line Items]
Derivative Liability, Fair Value	$ (0.7)	$ (0.6)
Other non-current liabilities
Derivative [Line Items]
Derivative Liability, Fair Value	$ (0.1)	$ (0.1)

Impact on the Company's Results of Operations Related to Unrealized (Loss) Gain on Interest Rate Derivatives (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Derivative [Line Items]
Unrealized gain on derivatives	$ (8.0)	$ 4.2
Derivatives not designated as hedging instruments \| Interest rate contracts \| Interest expense
Derivative [Line Items]
Unrealized gain on derivatives	$ (8.3)	$ 3.9

Product Warranty Liability Activities (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Guarantor Obligations [Line Items]
Beginning balance	$ 83.6	$ 90.5
Payments	(8.4)	(8.4)
Increase in liability (warranty issued during period)	5.9	6.3
Net adjustments to liability	(4.1)	1.9
Accretion (for Predecessor liabilities)	0.1	0.1
Ending balance	$ 77.1	$ 90.4

Product Warranty Liabilities - Additional Information (Detail) - USD ($) $ in Millions	Mar. 31, 2015	Dec. 31, 2014	Mar. 31, 2014
Guarantor Obligations [Line Items]
Product warranty liability, current	$ 23.7	$ 24.0	$ 32.3
Product warranty liability, non-current	$ 53.4	$ 59.6	$ 58.1

Deferred Revenue - Additional Information (Detail) - USD ($) $ in Millions	Mar. 31, 2015	Dec. 31, 2014	Mar. 31, 2014
Deferred Revenue [Line Items]
Deferred revenue current liabilities	$ 20.8	$ 20.6
Deferred revenue non-current liabilities	51.4	$ 48.7
Extended Transmission Coverage
Deferred Revenue [Line Items]
Deferred revenue current liabilities	20.8		$ 20.1
Deferred revenue non-current liabilities	51.4		43.7
U S Government Contracts
Deferred Revenue [Line Items]
Deferred revenue current liabilities	$ 0.0		$ 18.6

Deferred Revenue for ETC Activity (Detail) - Extended Transmission Coverage - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Deferred Revenue [Line Items]
Beginning balance	$ 69.0	$ 63.6
Increases	8.2	5.5
Revenue earned	(5.0)	(5.3)
Ending balance	$ 72.2	$ 63.8

Other Income (Expense) Net (Detail) - USD ($) $ in Millions	3 Months Ended
Other Income (Expense) Net (Detail) - USD ($) $ in Millions	Mar. 31, 2015	Mar. 31, 2014
Components of Other Income (Expense) [Line Items]
Gain on intercompany foreign exchange	$ 2.2
Gain (loss) on foreign exchange	1.1	$ (0.5)
Realized loss on derivative contracts (see NOTE G)	(0.3)	(0.6)
Unrealized gain on derivative contracts (see NOTE G)	0.3	0.2
Loss on repayments and repurchases of long-term debt	(0.2)
Public offering fees and expenses		(0.3)
Grant program income		0.6
Other	(0.3)	0.2
Total	$ 2.8	$ (0.4)

Other Income (Expense), Net - Additional Information (Detail) $ in Millions	3 Months Ended
	Mar. 31, 2015 USD ($)
Other Income Expense [Line Items]
Gain on intercompany foreign exchange	$ 2.2

Other Current Liabilities (Detail) - USD ($) $ in Millions	Mar. 31, 2015	Dec. 31, 2014
Other Current Liabilities [Line Items]
Sales allowances	$ 23.6	$ 25.5
Payroll and related costs	23.0	50.9
Defense price reduction reserve	16.2	16.2
Accrued interest payable	13.5	5.2
Vendor buyback obligation	11.4	13.2
Taxes payable	10.4	8.5
Stock repurchase obligation	3.5
Derivative liabilities	0.4	0.8
Other accruals	12.7	11.4
Total	$ 114.7	$ 131.7

Employee Benefit Plans (Detail) - USD ($) $ in Millions	3 Months Ended
Employee Benefit Plans (Detail) - USD ($) $ in Millions	Mar. 31, 2015	Mar. 31, 2014
Pension Plans
Schedule of Employee Benefit Plans [Line Items]
Service cost	$ 3.6	$ 3.3
Interest cost	1.3	1.3
Expected return on assets	(2.1)	(1.9)
Prior service cost	0.0	0.0
Loss (gain)	0.0
Net periodic benefit cost	2.8	2.7
Post-retirement Benefits
Schedule of Employee Benefit Plans [Line Items]
Service cost	0.6	0.5
Interest cost	1.4	1.5
Prior service cost	(0.9)	(0.9)
Loss (gain)		(0.2)
Net periodic benefit cost	$ 1.1	$ 0.9

Income Taxes - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Income Taxes [Line Items]
Effective tax rate	36.80%	34.30%
Income tax expense	$ 39.8	$ 27.2
Income tax examination statute of limitations period	3 years

Changes in Accumulated Other Comprehensive Loss (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance of AOCL	$ (39.5)	$ (21.0)
Other comprehensive income before reclassifications	(12.7)	2.9
Amounts reclassified from AOCL	(0.9)	(1.1)
Income tax	1.7	0.3
Net current period other comprehensive income	(11.9)	2.1
Total AOCL	(51.4)	(18.9)
Accumulated Net Unrealized Investment Gain (Loss)
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance of AOCL	(0.9)	1.1
Other comprehensive income before reclassifications	(3.8)	0.2
Income tax	1.4	(0.1)
Net current period other comprehensive income	(2.4)	0.1
Total AOCL	(3.3)	1.2
Accumulated Defined Benefit Plans Adjustment
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance of AOCL	(17.0)	(7.9)
Amounts reclassified from AOCL	(0.9)	(1.1)
Income tax	0.3	0.4
Net current period other comprehensive income	(0.6)	(0.7)
Total AOCL	(17.6)	(8.6)
Accumulated Translation Adjustment
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance of AOCL	(21.6)	(14.2)
Other comprehensive income before reclassifications	(8.9)	2.7
Net current period other comprehensive income	(8.9)	2.7
Total AOCL	$ (30.5)	$ (11.5)

- 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

Amounts reclassified from AOCL (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Accumulated Other Comprehensive Income (Loss) [Line Items]
Cost of sales	$ (264.4)	$ (271.1)
Selling, general and administrative expenses	(73.4)	(83.2)
Engineering - research and development	(22.2)	(24.5)
Income before income taxes	108.2	79.3
Income tax (expense) benefit	(39.8)	(27.2)
Total reclassifications	68.4	52.1
Reclassified from AOCL \| Prior service cost
Accumulated Other Comprehensive Income (Loss) [Line Items]
Cost of sales	0.8	0.8
Selling, general and administrative expenses	0.1	0.1
Engineering - research and development	0.0	0.0
Reclassified from AOCL \| Actuarial loss
Accumulated Other Comprehensive Income (Loss) [Line Items]
Cost of sales		0.2
Selling, general and administrative expenses		0.0
Engineering - research and development		0.0
Reclassified from AOCL \| Accumulated Defined Benefit Plans Adjustment
Accumulated Other Comprehensive Income (Loss) [Line Items]
Income before income taxes	0.9	1.1
Income tax (expense) benefit	(0.3)	(0.4)
Total reclassifications	$ 0.6	$ 0.7

Certain Relationships and Related Party Transactions - Additional Information (Detail) - Fixed 7.125% Senior Notes	Mar. 31, 2015 USD ($)
Related Party Transaction [Line Items]
Senior Notes, stated interest rate	7.125%
Lawrence E. Dewey
Related Party Transaction [Line Items]
Senior notes held by executive officers	$ 100,000
David S. Graziosi
Related Party Transaction [Line Items]
Senior notes held by executive officers	$ 450,000

Earnings Per Share - Additional Information (Detail) shares in Millions	3 Months Ended
	Mar. 31, 2015 shares
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive stock options not included in the diluted EPS computation	0.2

Reconciliation of Numerators and Denominators Used to Calculate Basic EPS and Diluted EPS (Detail) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Computation of Earnings Per Share [Line Items]
Net income	$ 68.4	$ 52.1
Weighted average shares of common stock outstanding	180.0	182.2
Dilutive effect stock-based awards	2.4	3.7
Diluted weighted average shares of common stock outstanding	182.4	185.9
Basic earnings per share attributable to common stockholders	$ 0.38	$ 0.29
Diluted earnings per share attributable to common stockholders	$ 0.38	$ 0.28

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

+ References + Details

Common Stock - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Common Stock Disclosure [Line Items]
Common stock, repurchases authorized	$ 500.0
Common stock, remained available for stock repurchases	38.9
Repurchase of common stock	35.4	$ 100.0
Remaining of common stock repurchase amount	3.5
Other current liabilities
Common Stock Disclosure [Line Items]
Remaining of common stock repurchase amount	$ 3.5

Subsequent Events - Additional Information (Detail) - Subsequent Event $ in Millions	Apr. 15, 2015 USD ($)	Apr. 07, 2015 USD ($) $ / Note
Subsequent Event [Line Items]
Aggregate principal amount of senior notes	$ 50.4	$ 470.0
Line of credit facility amendment terms		The amendment also, among other things, (i) permits prepayment, repurchase or redemption of Allison's 7.125% Senior Notes with the proceeds of the financing and (ii) resets the period for which a prepayment premium of 1.00% will apply in the event of a repricing transaction to the six-month anniversary of the closing date of the financing.
Tendered notes consideration per $1000 \| $ / Note		1,042
Percentage of principal amount redeemed	103.563%
Senior Secured Credit Facility Term B-3 Loan, variable, due 2019
Subsequent Event [Line Items]
Senior Secured Credit Facility		$ 470.0