Derivative Instruments (Tables)

9 Months Ended

Sep. 27, 2014

Financial Information Related to Hedging of Net Assets Included in Consolidated Statement of Earnings

Summary financial information related to these activities included in our consolidated statement of earnings as other income (expense) is as follows (in thousands):

	Three Months Ended						Nine Months Ended
	September 27,			September 28,			September 27,			September 28,
	2014			2013			2014			2013
Change in gains (losses) from foreign exchange derivatives	$	3,211		$	(1,611	)	$	3,752		$	(892	)
Gain (loss) on net foreign currency assets		(3,294	)		1,438			(4,084	)		159
Foreign exchange loss	$	(83	)	$	(173	)	$	(332	)	$	(733	)

	As of
	September 27, 2014			December 31, 2013
Notional balance of outstanding contracts:
Pound/US dollar	£	2,942		£	0
Euro/US dollar	€	36,786		€	41,021
Net fair value of outstanding contracts	$	(135	)	$	33

Financial Information Related to Cash Flow Hedges

Summary financial information related to the cash flow hedges is as follows (in thousands):

	As of
	September 27, 2014		September 28, 2013
Unrealized gains on anticipated sales hedging:
Gross	$	8,196	$	448
Income tax expense		1,674		103
Net	$	6,522	$	345

Financial Information Related to Cash Flow Hedges of Future Revenues

Summary financial information related to the cash flow hedges of future revenues is as follows (in thousands, except percentages):

	As of
	September 27, 2014			December 31, 2013
Notional balance of outstanding contracts versus the dollar	€	91,860		€	85,627
Hedge effectiveness		100	%		100	%

	Three Months Ended					Nine Months Ended
	September 27, 2014		September 28, 2013			September 27, 2014			September 28, 2013
Net gains (losses) included in net sales	$	421	$	(1,135	)	$	(1,507	)	$	(3,082	)

Forward Contract Amounts Recorded in Consolidated Balance Sheet

The amounts recorded on our consolidated balance sheet are as follows (in thousands):

	As of
	September 27, 2014		December 31, 2013
Assets:
Prepaid expenses and other current assets	$	9,622	$	0
Total	$	9,622	$	0
Liabilities:
Accrued liabilities	$	0	$	2,743
Total	$	0	$	2,743

Schedule of Series of Forward Starting Swaps Each with a Term of One Year

Zebra entered into a series of forward starting swaps, each with a term of one year, with the following notional amounts per year (in thousands):

Year 2015	$	1,010,000
Year 2016	$	697,000
Year 2017	$	544,000
Year 2018	$	544,000
Year 2019	$	272,000
Year 2020	$	272,000
Notional balance of outstanding contracts	$	3,339,000

Forward Interest Rate Swap Contracts [Member]

Forward Contract Amounts Recorded in Consolidated Balance Sheet

The location of the forward interest rate swaps designated in a hedge relationship is as follows (in thousands):

	As of
	September 27, 2014		December 31, 2013
Liabilities:
Other long-term liabilities	$	3,472	$	0
Total	$	3,472	$	0

Schedule of Volume of Forward Interest Rate Swaps Designated in Hedge Relationship

The volume of the forward interest rate swaps designated in a hedge relationship is as follows (in thousands):

	As of
	September 27, 2014		December 31, 2013
Notional balance of outstanding contracts	$	3,339,000	$	0

Schedule of Gain (Loss) Recognized on Forward Interest Rate Swaps Not Designated in Hedge Relationship

The gain (loss) recognized on the forward interest rate swaps not designated in a hedge relationship is as follows (in thousands):

	Three Months Ended				Nine Months Ended
	September 27, 2014		September 28, 2013		September 27, 2014			September 28, 2013
Gain (loss) on forward interest-rate swaps	$	185	$	0	$	(2,248	)	$	0

Schedule of Gain (Loss) Recognized in Other Comprehensive Income (Loss) on Forward Interest Rate Swaps Designated in Hedging Relationship

The gain (loss) recognized in other comprehensive income (loss) on the forward interest rate swaps designated in a hedging relationship is as follows (in thousands):

	As of
	September 27, 2014			September 28, 2013
Unrealized loss on forward interest rate swap hedging:
Gross	$	(1,224	)	$	0
Income tax benefit		(443	)		0
Net	$	(781	)	$	0