Accounts Receivable Factoring

3 Months Ended

Mar. 31, 2012

Accounts Receivable Factoring [Abstract]

Transfers and Servicing of Financial Assets [Text Block]

Accounts Receivable Factoring

The Company has agreements with unrelated third-parties for the factoring of specific accounts receivable in Italy in order to reduce the amount of working capital required to fund such receivables. The Company's credit facility agreement permits the factoring of up to 15.0 million euros or, $20.0 million in U.S. dollars as of March 31, 2012, worth of receivables in operations outside of the United States. The factoring of accounts receivable under these agreements is accounted for as a sale in accordance with ASC 860, Transfers and Servicing, and accordingly, is accounted for as an off-balance sheet arrangement. Proceeds on the transfer reflect the face value of the account less a discount. The discount is recorded as a charge in "interest" in the consolidated statement of income in the period of the sale. Net funds received reduced accounts receivable outstanding while increasing cash. The Company has no significant retained interests or servicing liabilities related to the accounts receivable that have been sold in Italy.

As of March 31, 2012, the Company had sold $23.7 million of accounts receivable pursuant to these agreements, which represents the face amount of total outstanding receivable at that date. At December 31, 2011, the Company had sold $21.8 million of accounts receivable under these agreements. The related outstanding balances on these amounts were $7.9 and $10.0 million as of March 31, 2012 and December 31, 2011, respectively.