Fair Value Measurement

6 Months Ended

Jun. 30, 2011

Fair Value Measurement

Fair Value Measurement

16. Fair Value Measurement

Certain assets and liabilities are required to be recorded at fair value on a recurring basis. The Company's only assets and liabilities adjusted to fair value on a recurring basis are pension and other postretirement plan assets, foreign exchange forward contracts and interest rate swaps. See Note 15 for further discussion on the fair value of the Company's foreign exchange forward contracts and interest rate swaps as of June 30, 2011 and December 31, 2010.

In addition to assets and liabilities that are recorded at fair value on a recurring basis, the Company is required to record certain assets and liabilities at fair value on a nonrecurring basis, generally as a result of acquisitions or the remeasurement of assets resulting in impairment charges. See Note 2 for further discussion on the fair value of assets and liabilities associated with acquisitions. Assets measured at fair value on a nonrecurring basis subsequent to initial recognition and still held at June 30, 2011 are summarized below:

	Impairment Charge		Fair Value Measurement (Level 3)		June 30, 2011 Net Book Value
Long-lived assets held and used (1)	$	14.1	$	68.5	$	65.8
Long-lived assets held for sale or disposal (2)		18.2		1.3		1.3
Total	$	32.3	$	69.8	$	67.1

(1) Long-lived assets held and used with a carrying amount of $82.6 million were written down to their fair value of $68.5 million, resulting in an impairment charge of $14.1 million for the six months ended June 30, 2011. The fair values used for measuring impairment of land, buildings, machinery and equipment and leasehold improvements were determined using Level 3 inputs. These fair values were estimated based on discussions with real estate brokers, review of comparable properties, if available, discussions with machinery and equipment brokers, dealer quotes and internal expertise related to equipment and current marketplace conditions.

(2) Long-lived assets held for sale or disposal with a carrying amount of $19.5 million were written down to their fair value of $1.3 million, resulting in an impairment charge of $18.2 million. The fair values of the land, buildings and machinery and equipment classified as held for sale or disposal were determined using Level 3 inputs and estimated based on discussions with real estate brokers, review of comparable properties, if available, discussions with machinery and equipment brokers, dealer quotes and internal expertise related to equipment and current marketplace conditions.

 See Note 14 for the fair value of the Company's debt.