Fair Value of Financial Instruments

12 Months Ended

Dec. 31, 2011

Fair Value of Financial Instruments

Fair Value of Financial Instruments

Note 4—Fair Value of Financial Instruments

        The Company measures the following financial assets and liabilities at fair value on a recurring basis. The following table sets forth the Company's financial instruments and presents them within the fair value hierarchy using the lowest level of input that is significant to the fair value measurement at December 31, 2011 (in millions):

	Total		Quoted Prices in Active Markets Available (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets:
Cash equivalents	$	26.3	$	26.3	$	—	$	—
Restricted cash		2.2		2.2		—		—
Embedded derivatives in purchase and delivery contracts		0.6		—		0.6		—
Commodity contracts		0.5		—		0.5		—
Long-term restricted cash		3.9		3.9		—		—
Total assets recorded at fair value	$	33.5	$	32.4	$	1.1	$	—
Liabilities:
Interest rate swap contract	$	1.1	$	—	$	1.1	$	—
Foreign exchange contracts		4.2		—		4.2		—
Embedded derivatives in purchase and delivery contracts		0.4		—		0.4		—
Fixed price commodity contracts		0.5		—		0.5		—
Total liabilities recorded at fair value	$	6.2	$	—	$	6.2	$	—

        Derivative financial instruments are classified within level 2 because there is not an active market for each hedge contract however, the inputs used to calculate the value of the instruments are obtained from active markets.

        The Company measures eligible assets and liabilities at fair value with changes in fair value recognized in earnings. Fair value treatment may be elected either upon initial recognition of an eligible asset or liability or, for an existing asset or liability, if an event triggers a new basis of accounting. The Company did not elect to remeasure any of its existing financial assets or liabilities, and did not elect the fair value option for any financial assets and liabilities transacted in the year ended December 31, 2011 or 2010.