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Fair Value Measurements (Tables)
 3 Months Ended
Mar. 31, 2016
Fair Value Disclosures [Abstract]  
Summary of assets and liabilities measured and recognized at fair value on a recurring basis
The following table presents our financial instruments, classified under the appropriate level of the fair value hierarchy, as of the period presented (in millions of dollars):
 
March 31, 2016
 
Level 1
 
Level 2
 
Level 3
 
Total
FINANCIAL ASSETS:
 
 
 
 
 
 
 
Derivative Instruments (Non-Designated Hedges):
 
 
 
 
 
 
 
Aluminum –
 
 
 
 
 
 
 
Call option purchase contracts
$
—

 
$
0.2

 
$
—

 
$
0.2

Fixed price purchase contracts
—

 
0.8

 
—

 
0.8

Midwest premium swap contracts
—

 
—

 
0.5

 
0.5

 
 
 
 
 
 
 
 
Natural Gas -
 
 
 
 
 
 
 
Fixed priced purchase contracts
—

 
0.1

 
—

 
0.1

 
 
 
 
 
 
 
 
All Other Financial Assets:
 
 
 
 
 
 
 
Cash and cash equivalents
34.5

 
36.2

 
—

 
70.7

Short-term investments
—

 
10.0

 
—

 
10.0

Deferred compensation plan assets
—

 
7.3

 
—

 
7.3

Total assets
$
34.5


$
54.6


$
0.5


$
89.6

 
 
 
 
 
 
 
 
FINANCIAL LIABILITIES:
 
 
 
 
 
 
 
Derivative Instruments (Non-Designated Hedges):
 
 
 
 
 
 
 
Aluminum –
 
 
 
 
 
 
 
Fixed price purchase contracts
$
—

 
$
(5.6
)
 
$
—

 
$
(5.6
)
Midwest premium swap contracts
—

 
—

 
(0.3
)
 
(0.3
)
Natural Gas – Fixed price purchase contracts
—

 
(6.1
)
 
—

 
(6.1
)
 
 
 
 
 
 
 
 
All Other Financial Liabilities:
 
 
 
 
 
 
 
Senior Notes
(205.7
)
 
—

 
—

 
(205.7
)
Total liabilities
$
(205.7
)
 
$
(11.7
)
 
$
(0.3
)
 
$
(217.7
)

The following table presents our financial instruments, classified under the appropriate level of the fair value hierarchy, as of the period presented (in millions of dollars):
 
December 31, 2015
 
Level 1
 
Level 2
 
Level 3
 
Total
FINANCIAL ASSETS:
 
 
 
 
 
 
 
Derivative Instruments (Non-Designated Hedges):
 
 
 
 
 
 
 
Aluminum –
 
 
 
 
 
 
 
Call option purchase contracts
$
—

 
$
0.2

 
$
—

 
$
0.2

Fixed price purchase contracts
—

 
0.3

 
—

 
0.3

Fixed price sales contracts
—

 
0.2

 
—

 
0.2

Midwest premium swap contracts
—

 
—

 
0.9

 
0.9

 
 
 
 
 
 
 
 
All Other Financial Assets:
 
 
 
 
 
 
 
Cash and cash equivalents
40.3

 
32.2

 
—

 
72.5

Short-term investments
—

 
30.0

 
—

 
30.0

Deferred compensation plan assets
—

 
7.3

 
—

 
7.3

Total assets
$
40.3

 
$
70.2

 
$
0.9

 
$
111.4

 
 
 
 
 
 
 
 
FINANCIAL LIABILITIES:
 
 
 
 
 
 
 
Derivative Instruments (Non-Designated Hedges):
 
 
 
 
 
 
 
Aluminum –
 
 
 
 
 
 
 
Fixed price purchase contracts
$
—

 
$
(8.9
)
 
$
—

 
$
(8.9
)
Fixed price sales contracts
—

 
(0.1
)
 
—

 
(0.1
)
Midwest premium swap contracts
—

 
—

 
(0.3
)
 
(0.3
)
Natural Gas – Fixed price purchase contracts
—

 
(6.7
)
 
—

 
(6.7
)
 
 
 
 
 
 
 
 
Derivative Instruments (Designated Hedges):
 
 
 
 
 
 
 
Foreign Currency – Euro forward purchase contracts
—

 
(0.2
)
 
—

 
(0.2
)
 
 
 
 
 
 
 
 
All Other Financial Liabilities:
 
 
 
 
 
 
 
Senior Notes
(207.3
)
 
—

 
—

 
(207.3
)
Total liabilities
$
(207.3
)
 
$
(15.9
)
 
$
(0.3
)
 
$
(223.5
)
Schedule of quantitative information for Level 3 Midwest premiums derivative contracts
quantitative information for Level 3 Midwest premium derivative contracts:
 
 
Fair Value at March 31, 2016 (in millions of dollars)
 
Valuation technique
 
Unobservable input
 
Settlement Period
 
Range ($ in unit price)
Assets:
 
 
 
 
 
 
 
 
 
 
Midwest premium contracts
 
$
0.5

 
Discounted fair value
 
Forward price curve
 
Apr-16 through Dec-17
 
$0.083 per metric ton to $0.084 per metric ton
Liabilities:
 
 
 
 
 
 
 
 
 
 
Midwest premium contracts
 
$
(0.3
)
 
Discounted fair value
 
Forward price curve
 
Apr-16 through Jun-17
 
$0.083 per metric ton to $0.084 per metric ton
Reconciliation of activity for financial instruments classified as Level 3
The following table presents a reconciliation of activity for the Midwest premium derivative contracts on a net basis (in millions of dollars):
 
Level 3
Fair value measurement at December 31, 2015
$
0.6

Total realized/unrealized (loss) included in:
 
Cost of goods sold excluding depreciation and amortization and other items and Unrealized loss on derivative instruments
—

Transactions involving Level 3 derivative contracts:
 
Purchases
(0.1
)
Sales
—

Issuances
—

Settlements
(0.3
)
Transactions involving Level 3 derivatives – net
(0.4
)
Transfers in and/or out of Level 3 valuation hierarchy
—

Fair value measurement at March 31, 2016
$
0.2

 
 
Total gain included in Unrealized (gain) loss on derivative instruments, attributable to the change in unrealized gain/loss relating to derivative contracts held at March 31, 2016:
$
(0.1
)