Plant Turnarounds, net

9 Months Ended

Sep. 30, 2011

Plant Turnarounds, net.

Plant Turnarounds, net

10. Plant Turnarounds, net

        Scheduled inspections, replacements and overhauls of plant machinery and equipment at our continuous process manufacturing facility are referred to as plant turnarounds. The expenditures related to turnarounds are capitalized when incurred. The following is a summary of plant turnaround activity for the nine months ended September 30, 2011 and 2010.

		Nine months ended September 30,
		2011			2010
		(in millions)
Net capitalized turnaround costs:
	Beginning balance	$	13.4		$	8.4
	Additions		0.9			9.1
	Depreciation		(6.9	)		(3.5	)
	Ending balance	$	7.4		$	14.0

        Scheduled replacements and overhauls of plant and equipment include the dismantling, repair or replacement and installation of various components including piping, valves, motors, turbines, pumps, compressors, heat exchangers and the replacement of catalysts when a full plant shutdown occurs. Scheduled inspections are also conducted during full plant shutdowns, including required safety inspections which entail the disassembly of various components such as steam boilers, pressure vessels and other equipment requiring safety certifications. Internal employee costs and overhead are not considered turnaround costs and are not capitalized.