Fair Value of Financial Instruments

3 Months Ended

Oct. 02, 2011

Fair Value of Financial Instruments [Abstract]

Fair Value of Financial Instruments

Fair Value of Financial Instruments

The fair value of our cash and cash equivalents, accounts receivable, accounts payable and loans from and to related parties approximated book value as of October 2, 2011 and September 26, 2010. Fair value is defined as the exchange price that would be received for an asset or paid for a liability in the principal or most advantageous market in an orderly transaction between market participants on the measurement date. The following table summarizes our financial assets and liabilities measured at fair value on a recurring basis as of October 2, 2011 (in thousands of dollars):

	Fair Value Inputs
	Quoted Prices		Observable Inputs Other		Unobservable
	In Active Markets		Than Market Prices		Inputs
Assets:
Rabbi Trust Assets	$	4,108	$	—	$	—
Mexican Peso Option Contracts		—		375		—
Total Assets at Fair Value	$	4,108	$	375	$	—
Liabilities:
Mexican Peso Option Contracts	$	—	$	2,435	$	—

The Rabbi Trust assets fund our supplemental executive retirement plan and are included in Other Current Assets in the accompanying Condensed Consolidated Balance Sheets. Assets held in the Trust include U.S. Treasury Securities and large, medium and small-cap stock index funds. The Rabbi Trust assets are classified as Level 1 assets. Refer to the discussion of Mexican peso option contracts under Derivative Instruments above. The fair value of the Mexican Peso option contracts are based on an option pricing model that considers the remaining term, current exchange rate and volatility of the underlying foreign currency base. There were no transfers between Level 1 and Level 2 assets during the three months ended October 2, 2011.