Fair Value Disclosure

The fair market values of the Company’s financial instruments are determined based on the fair value hierarchy as discussed in ASC 820 - Fair Value Measurements.

The Company carries derivative assets and liabilities (Level 2) and marketable equity securities (Level 1) held in the rabbi trust as part of the Company’s Deferred Compensation Plan at fair value. The fair values of derivative assets and liabilities traded in the over-the-counter market are determined using quantitative models that require the use of multiple market inputs including interest rates, prices and indices to generate pricing and volatility factors, which are used to value the position. The predominance of market inputs are actively quoted and can be validated through external sources, including brokers, market transactions and third-party pricing services. Marketable equity securities are recorded at fair value, which are based on quoted market prices.

Financial assets and liabilities measured at fair value on a recurring basis are summarized below (in millions).



	Fair Value Measurement
	December 31, 2014								December 31, 2013
(in millions)	Level 1		Level 2		Level 3		Fair Value		Level 1		Level 2		Level 3		Fair Value
Assets:
Derivative assets	$	—	$	5.4	$	—	$	5.4	$	—	$	7.2	$	—	$	7.2
Equity securities	22.1		—		—		22.1		22.2		—		—		22.2
Total Assets	$	22.1	$	5.4	$	—	$	27.5	$	22.2	$	7.2	$	—	$	29.4
Liabilities:
Derivative liabilities	$	—	$	8.1	$	—	$	8.1	$	—	$	9.3	$	—	$	9.3
Total liabilities	$	—	$	8.1	$	—	$	8.1	$	—	$	9.3	$	—	$	9.3

At December 31, 2014, there were no material financial assets or financial liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3).

During the first quarter of 2014, the Company recognized a goodwill impairment charge of $155.1 million and an impairment charge of $93.4 million for the indefinite-lived trade name associated with the PDIC reporting unit. In addition, the Company recognized asset-related charges of $29.3 million related to the Company long-lived assets in Venezuela, $117.5 million related to the July 2014 restructuring plan and $13.1 million for the closure of the Brazil aluminum rod mill manufacturing plant in the year ended December 31, 2014.

To determine the fair value for the above assets, the Company considered appraisals, including discounted cash flows expected to result from the use and eventual disposition of the assets, utilizing standard valuation approaches, which incorporate Level 3 inputs. To determine the fair value of the asset groups, the Company employed both income and market-based approaches. See Note 3 - Restructuring and Review of Strategic Alternatives and Operational Structure, Note 7 - Property, Plant and Equipment and Note 8 - Goodwill and Other Intangibles for additional details.

Similarly, there were no other nonfinancial assets or nonfinancial liabilities measured at fair value on a non-recurring basis.