|
Derivative Financial Instruments (Tables)
|
9 Months Ended |
|
Sep. 30, 2012
|
| Derivative Financial Instruments |
|
| Outstanding commodity and currency forward contracts that were entered into to hedge forecasted transactions |
|
|
|
|
Units Hedged |
|
|
|
|
|
|
Commodity |
|
September 30, 2012 |
|
December 31, 2011 |
|
|
|
Type |
|
|
Aluminum |
|
1,501 |
|
1,254 |
|
MT |
|
Cash Flow |
|
|
Copper |
|
513 |
|
684 |
|
MT |
|
Cash Flow |
|
|
Natural Gas |
|
227,127 |
|
346,902 |
|
MMBtu |
|
Cash Flow |
|
|
Steel |
|
10,758 |
|
8,231 |
|
Tons |
|
Cash Flow |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Units Hedged |
|
|
|
|
|
|
Short Currency |
|
September 30, 2012 |
|
December 31, 2011 |
|
Type |
|
|
|
|
Canadian Dollar |
|
7,681,869 |
|
25,083,644 |
|
Cash Flow |
|
|
|
|
European Euro |
|
80,882,410 |
|
67,565,453 |
|
Cash Flow |
|
|
|
|
South Korean Won |
|
2,552,218,195 |
|
3,224,015,436 |
|
Cash Flow |
|
|
|
|
Singapore Dollar |
|
4,800,000 |
|
4,800,000 |
|
Cash Flow |
|
|
|
|
United States Dollar |
|
2,701,939 |
|
5,538,777 |
|
Cash Flow |
|
|
|
|
Chinese Renminbi |
|
59,595,280 |
|
111,177,800 |
|
Cash Flow |
|
|
|
| |
|
| Schedule of currency forward contracts not designated as hedges and location of gain or loss in Statement of Operations |
|
|
|
|
Units Hedged |
|
|
|
|
|
|
Short Currency |
|
September 30,
2012 |
|
December 31,
2011 |
|
Recognized Location |
|
Purpose |
|
|
British Pound |
|
7,100,000 |
|
— |
|
Other income, net |
|
Accounts Payable and Receivable Settlement |
|
|
Euro |
|
35,378,670 |
|
33,150,213 |
|
Other income, net |
|
Accounts Payable and Receivable Settlement |
|
|
United States Dollar |
|
— |
|
6,000,000 |
|
Other income, net |
|
Accounts Payable and Receivable Settlement |
|
|
Australian Dollar |
|
1,988,000 |
|
7,569,912 |
|
Other income, net |
|
Accounts Payable and Receivable Settlement |
|
| |
|
| Schedule of the fair value of outstanding derivative contracts recorded as assets in the accompanying condensed consolidated balance sheet |
|
|
|
|
|
|
ASSET DERIVATIVES |
|
|
|
|
|
|
September 30, 2012 |
|
December 31, 2011 |
|
|
(in millions) |
|
Balance Sheet Location |
|
Fair Value |
|
|
Derivatives designated as hedging instruments |
|
|
|
|
|
|
|
|
Foreign exchange contracts |
|
Other current assets |
|
$ |
1.3 |
|
$ |
0.6 |
|
|
Commodity contracts |
|
Other current assets |
|
0.1 |
|
— |
|
|
Interest rate swap contracts: Fixed-to-float |
|
Other non-current assets |
|
— |
|
0.5 |
|
|
Interest rate cap contracts |
|
Other non-current assets |
|
0.7 |
|
0.3 |
|
|
Total derivatives designated as hedging instruments |
|
|
|
$ |
2.1 |
|
$ |
1.4 |
|
|
|
|
|
|
ASSET DERIVATIVES |
|
|
|
|
|
|
September 30, 2012 |
|
December 31, 2011 |
|
|
(in millions) |
|
Balance Sheet Location |
|
Fair Value |
|
|
Derivatives NOT designated as hedging instruments |
|
|
|
|
|
|
|
|
Foreign exchange contracts |
|
Other current assets |
|
$ |
0.4 |
|
$ |
0.1 |
|
|
Total derivatives NOT designated as hedging instruments |
|
|
|
$ |
0.4 |
|
$ |
0.1 |
|
|
|
|
|
|
|
|
|
|
|
Total asset derivatives |
|
|
|
$ |
2.5 |
|
$ |
1.5 |
|
| |
|
| Schedule of the fair value of outstanding derivative contracts recorded as liabilities in the accompanying condensed consolidated balance sheet |
|
|
|
|
|
|
LIABILITY DERIVATIVES |
|
|
|
|
|
|
September 30, 2012 |
|
December 31, 2011 |
|
|
(in millions) |
|
Balance Sheet Location |
|
Fair Value |
|
|
Derivatives designated as hedging instruments |
|
|
|
|
|
|
|
|
Foreign exchange contracts |
|
Accounts payable and accrued expenses |
|
$ |
1.7 |
|
$ |
5.2 |
|
|
Commodity contracts |
|
Accounts payable and accrued expenses |
|
1.3 |
|
2.5 |
|
|
Total derivatives designated as hedging instruments |
|
|
|
$ |
3.0 |
|
$ |
7.7 |
|
|
|
|
|
|
LIABILITY DERIVATIVES |
|
|
|
|
|
|
September 30, 2012 |
|
December 31, 2011 |
|
|
(in millions) |
|
Balance Sheet Location |
|
Fair Value |
|
|
Derivatives NOT designated as hedging instruments |
|
|
|
|
|
|
|
|
Foreign exchange contracts |
|
Accounts payable and accrued expenses |
|
$ |
0.2 |
|
$ |
1.6 |
|
|
Interest rate swap contracts: Float-to-fixed |
|
Accounts payable and accrued expenses |
|
2.5 |
|
9.5 |
|
|
Total derivatives NOT designated as hedging instruments |
|
|
|
$ |
2.7 |
|
$ |
11.1 |
|
|
|
|
|
|
|
|
|
|
|
Total liability derivatives |
|
|
|
$ |
5.7 |
|
$ |
18.8 |
|
| |
|
| Schedule of the effect of derivative instruments on the condensed consolidated statement of operations for gains or losses initially recognized in Other Comprehensive Income (OCI) in the Condensed Consolidated Balance Sheet |
|
|
|
|
Amount of Gain or (Loss) on Derivative
Recognized in OCI (Effective Portion,
net of tax) |
|
Location of Gain or (Loss)
Reclassified from
Accumulated |
|
Amount of Gain or (Loss) Reclassified
from Accumulated OCI into Income
(Effective Portion) |
|
|
Derivatives in Cash Flow Hedging
Relationships (in millions) |
|
September 30,
2012 |
|
September 30,
2011 |
|
OCI into Income
(Effective Portion) |
|
September 30,
2012 |
|
September 30,
2011 |
|
|
Foreign exchange contracts |
|
$ |
2.7 |
|
$ |
(6.1 |
) |
Cost of sales |
|
$ |
(3.6 |
) |
$ |
0.7 |
|
|
Interest rate swap & cap contracts |
|
— |
|
0.2 |
|
Interest expense |
|
— |
|
— |
|
|
Commodity contracts |
|
0.9 |
|
(2.0 |
) |
Cost of sales |
|
(0.8 |
) |
(0.1 |
) |
|
Total |
|
$ |
3.6 |
|
$ |
(7.9 |
) |
|
|
$ |
(4.4 |
) |
$ |
0.6 |
|
|
Derivatives |
|
Location of Gain or (Loss)
on Derivative Recognized in
Income (Ineffective Portion
and Amount Excluded from |
|
Amount of Gain or (Loss) on Derivative Recognized in
Income (Ineffective Portion and Amount Excluded
from
Effectiveness Testing) |
|
|
Relationships (in millions) |
|
Effectiveness Testing) |
|
September 30, 2012 |
|
September 30, 2011 |
|
|
Commodity contracts |
|
Cost of sales |
|
$ |
(0.1 |
) |
$ |
(0.1 |
) |
|
Total |
|
|
|
$ |
(0.1 |
) |
$ |
(0.1 |
) |
|
Derivatives Not Designated as |
|
Location of Gain or (Loss)
Recognized on Derivative in |
|
Amount of Gain or (Loss) on Derivative Recognized in
Income |
|
|
Hedging Instruments (in millions) |
|
Income |
|
September 30, 2012 |
|
September 30, 2011 |
|
|
Foreign exchange contracts |
|
Other income |
|
$ |
0.3 |
|
$ |
1.5 |
|
|
Interest rate swaps |
|
Other income |
|
2.3 |
|
2.4 |
|
|
Total |
|
|
|
$ |
2.6 |
|
$ |
3.9 |
|
|
|
|
Amount of Gain or (Loss) on Derivative
Recognized in OCI (Effective Portion,
net of tax) |
|
Location of Gain or (Loss)
Reclassified from
Accumulated |
|
Amount of Gain or (Loss) Reclassified
from Accumulated OCI into Income
(Effective Portion) |
|
|
Derivatives in Cash Flow Hedging
Relationships (in millions) |
|
September 30,
2012 |
|
September 30,
2011 |
|
OCI into Income
(Effective Portion) |
|
September 30,
2012 |
|
September 30,
2011 |
|
|
Foreign exchange contracts |
|
$ |
2.5 |
|
$ |
(4.2 |
) |
Cost of sales |
|
$ |
(6.9 |
) |
$ |
(4.2 |
) |
|
Interest rate swap & cap contracts |
|
(0.1 |
) |
1.3 |
|
Interest expense |
|
— |
|
(7.9 |
) |
|
Commodity contracts |
|
0.7 |
|
(2.3 |
) |
Cost of sales |
|
(2.2 |
) |
0.8 |
|
|
Total |
|
$ |
3.1 |
|
$ |
(5.2 |
) |
|
|
$ |
(9.1 |
) |
$ |
(11.3 |
) |
|
Derivatives |
|
Location of Gain or (Loss)
Recognized in Income on
Derivative (Ineffective
Portion and Amount
Excluded from |
|
Amount of Gain or (Loss) Recognized in Income on
Derivative (Ineffective Portion and Amount Excluded
from
Effectiveness Testing) |
|
|
Relationships (in millions) |
|
Effectiveness Testing) |
|
September 30, 2012 |
|
September 30, 2011 |
|
|
Commodity contracts |
|
Cost of sales |
|
$ |
(0.2 |
) |
$ |
(0.1 |
) |
|
Total |
|
|
|
$ |
(0.2 |
) |
$ |
(0.1 |
) |
|
Derivatives Not Designated as |
|
Location of Gain or (Loss)
Recognized
in Income on |
|
Amount of Gain or (Loss) Recognized in Income on
Derivative |
|
|
Hedging Instruments (in millions) |
|
Derivative |
|
September 30, 2012 |
|
September 30, 2011 |
|
|
Foreign exchange contracts |
|
Other income |
|
$ |
(1.2 |
) |
$ |
(1.2 |
) |
|
Interest rate swaps |
|
Other income |
|
6.9 |
|
$ |
2.4 |
|
|
Total |
|
|
|
$ |
5.7 |
|
$ |
1.2 |
|
| |
|
| Schedule of Fair Market Value designated derivative instruments on the condensed consolidated statement of operations for gains or losses recognized through income |
|
|
Derivatives Designated as Fair Market Value |
|
Location of Gain or (Loss)
on Derivative |
|
Amount of Gain or (Loss) on Derivative Recognized in
Income |
|
|
Instruments under ASC 815 (in millions) |
|
Recognized in Income |
|
September 30, 2012 |
|
September 30, 2011 |
|
|
Interest rate swap contracts |
|
Interest expense |
|
$ |
— |
|
$ |
7.1 |
|
|
Total |
|
|
|
$ |
— |
|
$ |
7.1 |
|
|
Derivatives Designated as Fair Market Value |
|
Location of Gain or (Loss)
on Derivative |
|
Amount of Gain or (Loss) on Derivative Recognized in
Income |
|
|
Instruments under ASC 815 (in millions) |
|
Recognized in Income |
|
September 30, 2012 |
|
September 30, 2011 |
|
|
Interest rate swap contracts |
|
Interest expense |
|
$ |
11.5 |
|
$ |
18.8 |
|
|
Total |
|
|
|
$ |
11.5 |
|
$ |
18.8 |
|
| |
|