Marketable Securities

9 Months Ended

Sep. 30, 2022

Investments Debt And Equity Securities [Abstract]

Marketable Securities

Note 4 - Marketable securities:

Our marketable securities consist of investments in the publicly-traded shares of related parties: Valhi, NL and CompX International Inc. NL owns the majority of CompX’s outstanding common stock. All of our marketable securities are accounted for as available-for-sale securities, which are carried at fair value using quoted market prices in active markets for each marketable security and represent a Level 1 input within the fair value hierarchy. Any unrealized gains or losses on the securities are recognized in Other income (expense) - Marketable equity securities on our Condensed Consolidated Statements of Income.

	Fair value
	measurement	Market		Cost		Unrealized
Marketable security	level	value		basis		gain
		(In millions)
December 31, 2021:
Valhi common stock	1	$	4.1	$	3.2	$	.9
NL and CompX common stocks	1		.1		.1		-
Total		$	4.2	$	3.3	$	.9
September 30, 2022:
Valhi common stock	1	$	3.6	$	3.2	$	.4

At December 31, 2021 and September 30, 2022, we held approximately 144,000 shares of Valhi’s common stock. At the beginning of the second quarter of 2022 we held a nominal number of shares of NL and CompX common stocks. During the second quarter of 2022 we sold all of our shares of NL and CompX common stock to the respective issuer in two separate private transactions that were approved in advance by our independent directors (using a 10-day trailing average price per share to determine the purchase price) for an aggregate sales price of $.1 million. At December 31, 2021 and September 30, 2022, the per share quoted market price of Valhi’s common stock was $28.75 and $25.16, respectively.

The Valhi common stock we own is subject to restrictions on resale pursuant to certain provisions of SEC Rule 144. In addition, as a majority-owned subsidiary of Valhi we cannot vote our shares of Valhi common stock under Delaware General Corporation law, but we receive dividends from Valhi on these shares when declared and paid.