Other Comprehensive Income (Loss)

3 Months Ended

Mar. 31, 2012

Other Comprehensive Income (Loss)

Other Comprehensive Income (Loss)

13. Other Comprehensive Income (Loss)

        The following tables present the pre-tax, tax, and after-tax components of Grace's other comprehensive income (loss) for the three months ended March 31, 2012 and 2011:

Three Months Ended March 31, 2012 (In millions)	Pre-Tax Amount			Tax Benefit/ (Expense)			After-Tax Amount
Defined benefit pension and other postretirement plans:
Amortization of net prior service cost included in net periodic benefit cost	$	0.2		$	(0.1	)	$	0.1
Amortization of net deferred actuarial loss included in net periodic benefit cost		10.0			(3.4	)		6.6
Other changes in funded status		7.5			(4.1	)		3.4
Benefit plans, net		17.7			(7.6	)		10.1
Currency translation adjustments		6.2			—			6.2
Gain (loss) from hedging activities		(0.2	)		0.1			(0.1	)
Other comprehensive income (loss) attributable to W. R. Grace & Co. shareholders	$	23.7		$	(7.5	)	$	16.2

Three Months Ended March 31, 2011 (In millions)	Pre-Tax Amount		Tax Benefit/ (Expense)			After-Tax Amount
Defined benefit pension and other postretirement plans:
Amortization of net prior service cost included in net periodic benefit cost	$	0.3	$	(0.1	)	$	0.2
Amortization of net deferred actuarial loss included in net periodic benefit cost		9.0		(3.1	)		5.9
Other changes in funded status		10.9		(3.8	)		7.1
Benefit plans, net		20.2		(7.0	)		13.2
Currency translation adjustments		1.8		—			1.8
Gain (loss) from hedging activities		1.1		(0.4	)		0.7
Other comprehensive income (loss) attributable to W. R. Grace & Co. shareholders	$	23.1	$	(7.4	)	$	15.7

        The following table presents the components of Grace's accumulated other comprehensive loss at March 31, 2012 and December 31, 2011:

Components of Accumulated Other Comprehensive Loss (In millions)	March 31, 2012			December 31, 2011
Defined benefit pension and other postretirement plans:
Net prior service cost (net of tax)	$	(1.7	)	$	(1.8	)
Net deferred actuarial loss (net of tax)		(593.4	)		(603.4	)
Benefit plans, net		(595.1	)		(605.2	)
Currency translation		36.4			30.2
Hedging activities, net of tax		(2.8	)		(2.7	)
Unrealized loss on investment		(0.8	)		(0.8	)
Accumulated other comprehensive loss	$	(562.3	)	$	(578.5	)

        Accumulated other comprehensive loss related to the defined benefit pension and other postretirement plans at March 31, 2012 and December 31, 2011, respectively, represents the accumulation of net deferred actuarial losses of $593.4 million and $603.4 million as well as net prior service costs of $1.7 million and $1.8 million. These amounts are net of tax and are amortized as a component of net periodic benefit cost. For the three months ended March 31, 2012 and 2011, the pre-tax expense recognized related to prior service costs was $0.2 million and $0.3 million, respectively, and the pre-tax expense recognized for amortization of accumulated actuarial losses was $10.0 million and $9.0 million, respectively. In addition, pre-tax income of $7.5 million and $10.9 million was recognized for changes in funded status during the three months ended March 31, 2012 and 2011, respectively.

        Grace is a global enterprise operating in over 40 countries with local currency generally deemed to be the functional currency for accounting purposes. The currency translation amount represents the adjustments necessary to translate the balance sheets valued in local currencies to the U.S. dollar as of the end of each period presented, and to translate revenues and expenses at average exchange rates for each period presented.

        See Note 6 for a discussion of hedging activities.