Net Property, Plant and Equipment

12 Months Ended

Dec. 31, 2012

Net Property, Plant and Equipment

Net Property, Plant and Equipment

Note 3 — Net Property, Plant and Equipment

	December 31,
(In millions)	2012			2011
Land	$	41.9		$	35.4
Buildings	298.3			278.7
Equipment	783.4			732.0
Construction in progress	335.6			177.4
Property, plant and equipment	1,459.2			1,223.5
Less accumulated depreciation	(544.8		)	(501.4		)
Net property, plant and equipment	$	914.4		$	722.1

Depreciation expense related to property, plant and equipment for the years ended December 31, 2012, 2011 and 2010, was $57.2 million, $55.3 million, and $53.2 million, respectively.  Capitalized interest of $3.1 million and $2.0 million for 2012 and 2011, respectively, was included in construction in progress and is associated with our carbon fiber expansion programs.  Capitalized costs associated with software developed for internal use were $2.8 million and $1.1 million for 2012 and 2011, respectively.

  As of October 1, 2012 we reassessed the estimated useful lives of certain machinery and equipment.  We increased the useful lives of certain machinery and equipment from 20 years to 25 years, and increased the useful lives of certain other machinery and equipment from 10 years - 12 years to 20 years.  We determined that this adjustment to the useful lives of certain assets is a change in accounting estimate and we accounted for the change prospectively; i.e. the accounting change impacts the three months ended December 31, 2012 and future periods.  For the quarter and year ended December 31, 2012, the change in accounting estimate lowered depreciation expense by approximately $1.25 million (pre-tax), which was reflected in Gross Margin, or by approximately $0.01 earnings per basic and diluted common share.