Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2012

Summary of Significant Accounting Policies [Abstract]

Inventories consist of the following (U.S. dollars in thousands):

	December 31,
	2011		2012

Raw materials	$	24,668	$	32,332
Finished goods		87,443		103,542
	$	112,111	$	135,874

Schedule of property and equipment estimated useful lives

Property and equipment are recorded at cost and depreciated using the straight-line method over the following estimated useful lives:

	Buildings		39 years
	Furniture and fixtures		5 - 7 years
	Computers and equipment		3 - 5 years
	Leasehold improvements		Shorter of estimated useful life or lease term
	Scanners		3 years
	Vehicles		3 - 5 years

Reconciliation of unrecognized tax benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits included in other liabilities is as follows (U.S. dollars in thousands):

Gross Balance at January 1, 2010	$	28,275
Decreases related to prior year tax positions		(1,206	)
Increases related to current year tax positions		2,236
Settlements	─
Decreases due to lapse of statutes of limitations		(15,395	)
Currency adjustments		911
Gross Balance at December 31, 2010	$	14,821

Gross Balance at January 1, 2011	$	14,821
Decreases related to prior year tax positions		(7,138	)
Increases related to current year tax positions		1,415
Settlements		(499	)
Decreases due to lapse of statutes of limitations		(1,255	)
Currency adjustments		43
Gross Balance at December 31, 2011	$	7,387

Gross Balance at January 1, 2012	$	7,387
Decreases related to prior year tax positions	─
Increases related to current year tax positions		2,430
Settlements	─
Decreases due to lapse of statutes of limitations		(854	)
Currency adjustments		82
Gross Balance at December 31, 2012	$	9,045

- Definition

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

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