Accounts Receivable, Net of Allowance

12 Months Ended

Dec. 31, 2012

Receivables [Abstract]

Accounts Receivable, Net of Allowance

Accounts Receivable, Net of Allowance

Accounts receivable, net of allowance, which is classified as current, is composed of the following as of the dates indicated (in millions):

	December 31,
	2012			2011
Contract billings	$	522.0		$	395.7
Retainage	113.5			41.7
Costs and earnings in excess of billings	252.8			228.7
Accounts receivable, gross	$	888.3		$	666.1
Less allowance for doubtful accounts	(11.2		)	(7.6		)
Accounts receivable, net	$	877.1		$	658.5

Retainage, which has been billed, but is not due until completion of performance and acceptance by customers, is generally expected to be collected within one year. Receivables expected to be collected beyond one year are recorded in other long-term assets. The Company maintains an allowance for doubtful accounts for estimated losses, both for specific customers and as a reserve against other balances, resulting from the inability of customers to make required payments. Amounts charged against the allowance primarily represent the write-off of accounts which had been fully reserved previously. Activity in the allowance for doubtful accounts for our continuing operations business for the periods indicated is as follows (in millions):

	Years Ended December 31,
	2012			2011
Allowance for doubtful accounts at beginning of year	$	7.6		$	8.3
Provision for doubtful accounts	6.9			2.0
Amounts charged against the allowance	(3.3		)	(2.7		)
Allowance for doubtful accounts at end of year	$	11.2		$	7.6

The Company has trade receivables for certain “pay-when-paid” projects, which provide for payment through September 2016. These receivables, which are included within assets of discontinued operations in the consolidated financial statements, have been recorded at their respective net present values, with the non-current portion recorded within long-term assets of discontinued operations. Imputed interest is recognized as interest income as earned, and is reflected within the results of operations from discontinued operations. As of December 31, 2012 and 2011, $6.3 million and $6.8 million were outstanding, respectively, with $4.3 million and $4.8 million, respectively, recorded in long-term assets of discontinued operations.

Certain of the Company’s international subsidiaries included within discontinued operations utilized the factoring of accounts receivable as short-term financing mechanisms. The amount of related receivables sold during the periods ended, or outstanding as of both December 31, 2012 and 2011, was not material.