Derivative Instruments

9 Months Ended

Sep. 27, 2014

Derivative Instruments [Abstract]

Derivative Instruments

NOTE 3.  Derivative Instruments  

The Company generates revenues in U.S. dollars but incurs a portion of its operating expenses in foreign currencies, primarily the Canadian dollar and Israeli Shekel.  To minimize the short-term impact of foreign currency fluctuations on the Company’s operating expenses, the Company purchases forward currency contracts.

As at September 27, 2014, the Company had 84 forward currency contracts (December 28, 2013 -27) outstanding, all with maturities of less than 12 months, which qualified and were designated as cash flow hedges.  As of September 27, 2014, the U.S. dollar notional amount of these contracts was $35.5million (December 28, 2013 - $27.7 million) and the contracts had an aggregate fair value loss of $0.2 million (September 28, 2013 – fair value loss of $0.3 million), which was recorded in Accumulated other comprehensive loss net of taxes of nil for the nine months ended September 27, 2014 and September 28, 2013.