Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2015

Expected Useful Lives of Property, Plant and Equipment Recorded at Cost and Depreciated or Amortized

Long-lived assets - Property, plant and equipment are recorded at cost and depreciated or amortized using the straight-line method over the following expected useful lives:


Buildings and improvements		10 to 40 years
Machinery and equipment		5 to 14 years
Furniture and fixtures		5 to 10 years
Molds, cores and rings		2 to 10 years

Computation of Basic and Diluted Earnings per Share

The following table sets forth the computation of basic and diluted earnings per share:


(Number of shares and dollar amounts in thousands except per share amounts)
	2015		2014		2013
Numerator
Numerator for basic and diluted earnings per share - income from continuing operations available to common stockholders	$	212,766	$	213,578	$	111,013

Denominator
Denominator for basic earnings per share - weighted average shares outstanding		57,012		61,402		63,327

Effect of dilutive securities - stock options and other stock units		611		999		955


Denominator for diluted earnings per share - adjusted weighted average shares outstanding		57,623		62,401		64,282


Basic earnings per share:
Net income attributable to Cooper Tire & Rubber Company common stockholders	$	3.73	$	3.48	$	1.75


Diluted earnings per share:
Net income attributable to Cooper Tire & Rubber Company common stockholders	$	3.69	$	3.42	$	1.73

Summary of Activity in Product Warranty Liabilities

The following table summarizes the activity in the Company’s product warranty liabilities which are recorded in Accrued liabilities and Other long-term liabilities on the Company’s Consolidated Balance Sheets:


	Product Warranty
Reserve at December 31, 2012	$	30,139
Additions		19,677
Payments		(18,963	)

Reserve at December 31, 2013		30,853
Additions		17,413
Payments		(19,112	)
Decrease due to sale of interest in subsidiary		(15,149	)

Reserve at December 31, 2014		14,005
Additions		9,122
Payments		(10,788	)

Reserve at December 31, 2015	$	12,339