Market Concentrations and Risks

12 Months Ended

Dec. 31, 2011

Market Concentrations and Risks [Abstract]

Market Concentrations and Risks

Note 20:     Market Concentrations and Risks

Concentrations of Credit

We sell our products to many customers in several markets across multiple geographic areas. The ten largest customers, of which seven are distributors, constitute in aggregate approximately 36%, 33%, and 35% of revenues in 2011, 2010, and 2009, respectively.

Unconditional Copper Purchase Obligations

At December 31, 2011, we were committed to purchase approximately 7.0 million pounds of copper at an aggregate cost of $24.1 million. At December 31, 2011, the fixed cost of this purchase was $0.1 million over the market cost that would be incurred on a spot purchase of the same amount of copper. The aggregate market cost was based on the current market price of copper obtained from the New York Mercantile Exchange. These commitments will mature in 2012.

Labor

Approximately 14% of our labor force is covered by collective bargaining agreements at various locations around the world. Approximately 12% of our labor force is covered by collective bargaining agreements that we expect to renegotiate during 2012.

International Operations

The carrying amounts of net assets belonging to our international operations were as follows:

	December 31,
	2011		2010
	(In thousands)
Canada and Latin America	$	47,274	$	6,735
Europe, Africa and Middle East		69,302		23,530
Asia Pacific		221,040		228,018

Fair Value of Financial Instruments

Our financial instruments consist primarily of cash and cash equivalents, trade receivables, trade payables, and debt instruments. The carrying amounts of cash and cash equivalents, trade receivables, and trade payables at December 31, 2011 are considered representative of their respective fair values. The carrying amount of our debt instruments at December 31, 2011 was $550.9 million. The fair value of our debt instruments at December 31, 2011 was approximately $561.4 million based on sales prices of the debt instruments from recent trading activity. Included in this amount are estimated fair values of $347.4 million and $214.0 million for senior subordinated notes with respective carrying values of $350.0 million and $200.9 million.