Note F - Financial Risk Management and Derivatives

12 Months Ended

Dec. 31, 2012

Derivative Instruments and Hedging Activities Disclosure [Text Block]

NOTE F - FINANCIAL RISK MANAGEMENT AND DERIVATIVES

At December 31, 2012 forward foreign exchange contracts with a notional value of $26,501,000 were outstanding to exchange various currencies with maturities ranging from January 2013 to September 2013, to sell the equivalent of approximately $4,401,000 in foreign currencies at contracted rates and to buy approximately $22,100,000 in foreign currencies at contracted rates.  These contracts have been designated as cash flow hedges.  At December 31, 2012, 2011 and 2010, the Company did not have any forward foreign exchange contracts that do not qualify as hedges.

The fair value of the Company’s derivatives at December 31 was as follows (in thousands):

	Asset Derivatives					Liability Derivatives
	Balance Sheet Location	2012		2011		Balance Sheet Location	2012		2011
		Fair Value		Fair Value			Fair Value		Fair Value
Derivatives Designated as Hedging Instruments
Foreign exchange contracts	Prepaid expenses and other current assets	$	171	$	1,321	Accrued liabilities	$	1,057	$	306

The effect of the Company’s derivatives on its Consolidated Statements of Earnings/Loss for years ended December 31 were as follows (in thousands):

Derivatives in Cash Flow	Amount of Gain/(Loss) Recognized in Other Comprehensive Earnings (“OCE”) on Derivative (Effective Portion)							Location of Gain/(Loss) Reclassified from OCE into Income	Amount of Gain/(Loss) Reclassified from OCE into Income (Effective Portion)								Location of Gain/(Loss) Recognized in Income on Derivative (Ineffective Portion and Amount Excluded  from	Amount of Gain/(Loss) Recognized in Income on Derivative (Ineffective Portion and Amount Excluded from Effectiveness Testing)
Hedging Relationships	2012			2011		2010		(Effective Portion)	2012		2011			2010			Effectiveness Testing)	2012			2011			2010
Foreign exchange contracts	$	(1,266	)	$	961	$	416	Cost of goods sold	$	84	$	(545	)	$	(326	)	Selling, general and administrative expenses	$	(44	)	$	(20	)	$	81