Derivative Financial Instruments (Tables)

9 Months Ended

Sep. 30, 2023

Derivative Financial Instruments

Schedule of Notional Amounts of Outstanding Derivative Positions

The following summarizes the company’s significant futures contract commitments as of September 30, 2023:

Commodity Futures	Long/Short	Metric Tons
Aluminum	Long	5,100
Aluminum	Short	10,425
Copper	Long	20,933
Copper	Short	40,665

Schedule of Derivative Instruments Statements of Financial Performance and Financial Position

The following summarizes the location and amounts of the fair values reported on the company’s consolidated balance sheets as of September 30, 2023, and December 31, 2022, and gains and losses related to derivatives included in the company’s statement of income for each of the three and nine-month periods ended September 30, 2023 and 2022 (in thousands):

		Asset Derivatives				Liability Derivatives
	Balance sheet	Fair Value				Fair Value
	location	September 30, 2023		December 31, 2022		September 30, 2023		December 31, 2022
Derivative instruments designated as hedges
Commodity futures	Other current assets	$	1,591	$	2,169	$	1,775	$	2,119
Derivative instruments not designated as hedges
Commodity futures	Other current assets		5,075		2,102		4,082		5,269
Total derivative instruments		$	6,666	$	4,271	$	5,857	$	7,388

		Amount of gain (loss)						Amount of gain (loss)
		recognized in income					Location of gain (loss)	recognized in income
	Location of gain (loss)	on derivatives for the					recognized	on derivatives for the
	recognized	three-month periods				Hedged items in	in income on	three-month periods
	in income on	ended September 30,				fair value hedge	related hedged	ended September 30,
	derivatives	2023		2022		relationships	items	2023		2022
Derivatives in fair value hedging relationships
Commodity futures	Costs of goods sold	$	(684)	$	(7,663)	Firm commitments	Costs of goods sold	$	(536)	$	3,389
						Inventory	Costs of goods sold		(88)		4,941
								$	(624)	$	8,330
Derivatives not designated as hedging instruments
Commodity futures	Costs of goods sold	$	2,179	$	18,164

		Amount of gain (loss)						Amount of gain (loss)
		recognized in income					Location of gain	recognized in income
	Location of gain (loss)	on derivatives for the					(loss) recognized	on derivatives for the
	recognized	nine-month periods				Hedged items in	in income on	nine-month periods
	in income on	ended September 30,				fair value hedge	related hedged	ended September 30,
	derivatives	2023		2022		relationships	items	2023		2022
Derivatives in fair value hedging relationships
Commodity futures	Costs of goods sold	$	1,591	$	5,618	Firm commitments	Costs of goods sold	$	(423)	$	(2,146)
						Inventory	Costs of goods sold		(217)		(1,440)
								$	(640)	$	(3,586)
Derivatives not designated as hedging instruments
Commodity futures	Costs of goods sold	$	9,428	$	34,333