Acquisitions and Dispositions

6 Months Ended

Jun. 30, 2011

Acquisitions and Dispositions

Acquisitions and Dispositions

3.     Acquisitions and Dispositions

Acquisitions

Certain of the Company’s acquisitions in prior years included contingent consideration features for which defined goals needed to be met by the acquired business in order for payment of the consideration.  Each quarter until settlement of these contingencies, the Company assessed the likelihood that an acquired business would achieve the goals and the resulting fair value of the contingency.  In accordance with accounting standards for business combinations, these adjustments were recognized in operating income in the Condensed Consolidated Statements of Income as a component of the Other (income) expenses line item.  The Company’s assessment of these performance goals resulted in the following reductions to previously recognized contingent consideration liabilities for the three and six months ended June 30, 2011 and 2010:

	Three Months Ended June 30				Six Months Ended June 30
(In thousands)	2011		2010		2011		2010
Reduction of contingent consideration liabilities	$	—	$	1,367	$	3,966	$	9,631

All contingent consideration liabilities have been settled and there was no recorded contingent consideration liability as of June 30, 2011.  The recorded contingent consideration liability was $3.9 million at December 31, 2010.

Dispositions - Assets Held-for-Sale

Throughout the past several years and in conjunction with the Fourth Quarter 2010 restructuring of the Harsco Infrastructure Segment, management approved the sale of certain long-lived assets throughout the Company’s operations.  At December 31, 2010, assets held-for-sale of $24.8 million were recorded in Other current assets in the Condensed Consolidated Balance Sheet and represented the fair market value less the estimated cost to sell the assets related to two lines of business in the Harsco Infrastructure Segment.  In June 2011, the Company sold these two lines of business and realized a gain of $0.9 million in operating income in the Condensed Consolidated Statements of Income as a component of Other (income) expenses.  At June 30, 2011, the Company had $0.6 million of assets held-for-sale recorded in Other current assets in the Condensed Consolidated Balance Sheet.