Asset Retirement Obligations

12 Months Ended

Dec. 31, 2011

Asset Retirement Obligations [Abstract]

Asset Retirement Obligations

(11)  Asset Retirement Obligations

Asset retirement obligations consist primarily of deinstallation costs of the Company's ATMs and the costs to restore the merchant's site to its original condition. In most cases, the Company is contractually required to perform this deinstallation and restoration work. For each group of ATMs, the Company has recognized the fair value of a liability for an asset retirement obligation and capitalized that cost as part of the cost basis of the related asset. The related assets are being depreciated on a straight-line basis over the estimated useful lives, and the related liabilities are being accreted to their full value over the same period of time.

The following is a summary of the changes in the Company's asset retirement obligation liability for the years ended December 31, 2011 and 2010:

	2011			2010
	(In thousands)
Asset retirement obligation as of beginning of period	$	26,657		$	24,003
Additional obligations		8,680			4,824
Accretion expense		2,246			2,598
Payments		(2,161	)		(3,262	)
Change in estimates		(647	)		(1,236	)
Foreign currency translation adjustments		(258	)		(270	)
Asset retirement obligation as of end of period	$	34,517		$	26,657

The change in estimate during 2011 was the result of updating certain cost assumptions based on the actual deinstallation costs experienced by the Company during the year. In the United States, recent actual costs incurred were lower than the previously-estimated costs, and as a result, the Company determined that the liability should be reduced by approximately $2.0 million to account for the lower costs incurred to date and to reduce estimated future costs. In the United Kingdom, actual recent costs were higher than the previously-estimated costs, and as a result, the Company determined that the liability should be increased by approximately $1.3 million to account for higher expected costs in the future. See Note 17, Fair Value Measurements for additional disclosures on the Company's asset retirement obligations with respect to its fair value measurements.