Fair Value of Financial Instruments (Tables)

9 Months Ended

Sep. 30, 2011

Notes to Financial Statements [Abstract]

Fair value of the Company's fixed rate debt

Fair value of the Company's fixed rate debt (based on level 1 quoted market rates) was (in millions):

	September 30, 2011				December 31, 2010
	Principal		Fair Value		Principal		Fair Value
Fixed rate Senior Notes	$	1,250.0	$	1,443.7	$	750.0	$	828.6
2.5% Convertible Debentures		–		–		500.0		724.4
	$	1,250.0	$	1,443.7	$	1,250.0	$	1,553.0

The change in the estimated fair value of the call options

Proceeds received and changes in the estimated fair value of the call options were as follows (in millions):

	Nine Months Ended September 30, 2011
Beginning balance	$	–
Premium paid		21.9
Proceeds received from settlement of options		(9.7	)
Change in estimated fair value		(12.2	)
Balance at September 30, 2011	$	–

Total gross volume bought (sold) by notional currency and maturity date on open derivative contracts

Total gross volume bought (sold) by notional currency and maturity date on open derivative contracts at September 30, 2011 was as follows (in millions):

Notional Amount Swaps

Notional Amount - Buy

Notional Amount - Sell

2011

2012

Total

2011

2012

2013

Total

2011

2012

2013

Total

FX Forward Contracts

Notional currency      in:

EUR

–

–

–

59.6

92.3

1.0

152.9

(1.5

)

(20.2

)

–

(21.7

)

GBP

–

–

–

0.1

34.0

–

34.1

(2.0

)

(11.7

)

–

(13.7

)

MYR

–

–

–

19.2

–

–

19.2

–

–

–

–

NOK

–

–

–

–

90.0

–

90.0

–

–

–

–

RON

–

–

–

–

–

–

–

(10.0

)

–

–

(10.0

)

SGD

–

–

–

13.8

3.2

–

17.0

–

–

–

–

USD

–

–

–

13.6

0.7

–

14.3

(52.0

)

(41.9

)

(0.1

)

(94.0

)

FX Options

EUR

–

–

–

30.1

–

–

30.1

–

–

–

–

Interest Rate Swaps

USD

–

800.0

800.0

–

–

–

–

–

–

–

–

The fair values of derivative financial instruments recorded

The fair values of derivative financial instruments recorded in the Company's Consolidated Condensed Balance Sheets at September 30, 2011 and December 31, 2010 were as follows:

	September 30, 2011				December 31, 2010
	Assets		Liabilities		Assets		Liabilities
Derivatives designated as hedges:
Foreign exchange contracts –
Current	$	0.8	$	6.3	$	0.7	$	1.8
Non-current		–		0.2		–		–
Total derivatives designated as hedges		0.8		6.5		0.7		1.8
Derivatives not designated as hedges:
Foreign exchange contracts –
Current		1.1		5.9		1.4		–
Non-current		0.1		4.2		–		–
Interest Rate Swaps –
Current		1.4		–		–		–
Non-current		–		–		4.8		–
Total derivatives not designated as hedges		2.6		10.1		6.2		–
Total derivatives	$	3.4	$	16.6	$	6.9	$	1.8

The effects of derivative financial instruments on the Company's consolidated condensed financial statements

The effects of derivative financial instruments on the Company's consolidated condensed financial statements for the three months ended September 30, 2011 and September 30, 2010 were as follows (in millions):

	Effective Portion									Ineffective Portion and Other
Derivatives in Cash Flow Hedging Relationships	Amount of Pre-Tax Gain (Loss) Recognized in OCI on Derivatives at September 30,				Location of Gain (Loss) Reclassified from Accumulated OCI into Income	Amount of Gain (Loss) Reclassified from Accumulated OCI into Income at September 30,				Location of Gain (Loss) Recognized in Income on Derivatives	Amount of Gain (Loss) Recognized in Income on Derivatives at September 30,
	2011		2010			2011		2010			2011		2010
Foreign exchange contracts	$	(7.1)	$	4.4	Revenues	$	0.6	$	(2.4)	Cost of sales   - ineffective portion	$	(0.3)	$	0.5
					Cost of sales		(1.7)		(3.6)
					Depreciation and amortization		−		−
Total	$	(7.1)	$	4.4		$	(1.1)	$	(6.0)		$	(0.3)	$	0.5

The effects of derivative financial instruments on the Company's consolidated condensed financial statements for the nine months ended September 30, 2011 and September 30, 2010 were as follows (in millions):

	Effective Portion									Ineffective Portion and Other
Derivatives in Cash Flow Hedging Relationships	Amount of Pre-Tax Gain (Loss) Recognized in OCI on Derivatives at September 30,				Location of Gain (Loss) Reclassified from Accumulated OCI into Income	Amount of Gain (Loss) Reclassified from Accumulated OCI into Income at September 30,				Location of Gain (Loss) Recognized in Income on Derivatives	Amount of Gain (Loss) Recognized in Income on Derivatives at September 30,
	2011		2010			2011		2010			2011			2010
Foreign exchange contracts	$	(4.2)	$	(8.5)	Revenues	$	2.5	$	(5.0)	Cost of sales   - ineffective portion	$	(0.7)		$	(1.5)
					Cost of sales		(8.2)		(9.7)
					Depreciation and amortization		(0.1)		(0.1)
Total	$	(4.2)	$	(8.5)		$	(5.8)	$	(14.8)		$	(0.7	)	$	(1.5)

The amount of gain (loss) recognized on derivatives not designated as hedging instruments

The amount of gain (loss) recognized on derivatives not designated as hedging instruments was (in millions):

	Three Months Ended September 30,						Nine Months Ended September 30,
	2011			2010			2011			2010
Foreign currency contracts:
Cost of sales	$	(1.4	)	$	(2.3	)	$	(2.2	)	$	0.5
Other costs		(6.4	)		–			(6.4	)		–
Interest rate swaps:
Interest, net		–			1.1			(0.2	)		7.2
Equity call options:
Other costs		(13.8	)		–			(12.2	)		–
Total	$	(21.6	)	$	(1.2	)	$	(21.0	)	$	7.7