| Financial Assets and Liabilities that are Recorded at Fair Value and Classified Based on the Lowest Level of Input |
The following tables set forth by level within the fair value hierarchy the Company’s financial assets and liabilities that were accounted for at fair value on a recurring basis at September 30, 2012 and December 31, 2011, which are classified as “Cash and cash equivalents,” “Prepaid expenses and other current assets,” “Other noncurrent assets, net,” “Accrued liabilities,” and “Other noncurrent liabilities” in the consolidated balance sheets. Financial assets and liabilities that are recorded at fair value as of the balance sheet date are classified in their entirety based on the lowest level of input that is significant to the fair value measurement.
| | | | | | | | | | | | | | | | | | September 30, 2012 | (in thousands) | Total | | Level 1 | | Level 2 | | Level 3 | | | | | | | | | Assets | | | | | | | | Interest rate swaps | $ | 5,716 |
| | $ | — |
| | $ | 5,716 |
| | $ | — |
| Commodity contracts | 424 |
| | — |
| | 424 |
| | — |
| Cross currency basis swaps | 23,044 |
| | — |
| | 23,044 |
| | — |
| Foreign exchange forward contracts | 8,878 |
| | — |
| | 8,878 |
| | — |
| Corporate convertible bonds | 91,171 |
| | — |
| | — |
| | 91,171 |
| Total assets | $ | 129,233 |
| | $ | — |
| | $ | 38,062 |
| | $ | 91,171 |
| | | | | | | | | Liabilities | |
| | |
| | |
| | |
| Interest rate swaps | $ | 2,457 |
| | $ | — |
| | $ | 2,457 |
| | $ | — |
| Cross currency basis swaps | 186,576 |
| | — |
| | 186,576 |
| | — |
| Foreign exchange forward contracts | 6,209 |
| | — |
| | 6,209 |
| | — |
| Long term debt | 155,131 |
| | — |
| | 155,131 |
| | — |
| DIO equity option contracts | 191 |
| | — |
| | — |
| | 191 |
| Total liabilities | $ | 350,564 |
| | $ | — |
| | $ | 350,373 |
| | $ | 191 |
|
| | | | | | | | | | | | | | | | | | December 31, 2011 | (in thousands) | Total | | Level 1 | | Level 2 | | Level 3 | | | | | | | | | Assets | | | | | | | | Money market funds | $ | 10,516 |
| | $ | 10,516 |
| | $ | — |
| | $ | — |
| Interest rate swaps | 5,699 |
| | — |
| | 5,699 |
| | — |
| Commodity contracts | 15 |
| | — |
| | 15 |
| | — |
| Cross currency basis swaps | 19,838 |
| | — |
| | 19,838 |
| | — |
| Foreign exchange forward contracts | 8,303 |
| | — |
| | 8,303 |
| | — |
| Corporate convertible bonds | 47,850 |
| | — |
| | — |
| | 47,850 |
| Total assets | $ | 92,221 |
| | $ | 10,516 |
| | $ | 33,855 |
| | $ | 47,850 |
| | | | | | | | | Liabilities | |
| | |
| | |
| | |
| Interest rate swaps | $ | 1,631 |
| | $ | — |
| | $ | 1,631 |
| | $ | — |
| Commodity contracts | 259 |
| | — |
| | 259 |
| | — |
| Cross currency basis swaps | 199,454 |
| | — |
| | 199,454 |
| | — |
| Foreign exchange forward contracts | 3,898 |
| | — |
| | 3,898 |
| | — |
| Long term debt | 154,512 |
| | — |
| | 154,512 |
| | — |
| Contingent considerations on acquisitions | 2,917 |
| | — |
| | — |
| | 2,917 |
| DIO equity option contracts | 419 |
| | — |
| | — |
| | 419 |
| Total liabilities | $ | 363,090 |
| | $ | — |
| | $ | 359,754 |
| | $ | 3,336 |
|
|
| Reconciliation of the Company's Assets Measured at Fair Value on a Recurring Basis Using Unobservable Inputs (Level 3): |
The following table presents a reconciliation of the Company’s Level 3 holdings measured at fair value on a recurring basis using unobservable inputs: | | | | | | | | | | | | | (in thousands) | DIO Corporate Convertible Bonds | | DIO Equity Options Contracts | | Contingent Considerations | | | | | | | Balance at December 31, 2011 | $ | 47,850 |
| | $ | (424 | ) | | $ | 2,917 |
| Payments, gross | — |
| | — |
| | (2,493 | ) | Adjustments: | | | | | | Reported in selling, general and administrative expense | — |
| | — |
| | (412 | ) | Unrealized gain: | |
| | |
| | |
| Reported in AOCI | 43,871 |
| | — |
| | — |
| Unrealized loss: | |
| | |
| | |
| Reported in other expense (income), net | — |
| | 229 |
| | — |
| Effects of exchange rate changes | (550 | ) | | 2 |
| | (12 | ) | Balance at September 30, 2012 | $ | 91,171 |
| | $ | (193 | ) | | $ | — |
|
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