Summary Of Significant Accounting Polices (Policy)

3 Months Ended

Mar. 25, 2012

Summary Of Significant Accounting Polices [Abstract]

Restricted Cash

Restricted Cash

We classify restricted cash as cash that cannot be made readily available for use. Restrictions may include legally restricted deposits held as compensating balances against short-term borrowing arrangements, contracts entered into with others, or company statements of intention with regard to particular deposits. As of March 25, 2012, the unused portion of a grant from the Chinese government of $0.3 million (RMB 1.7 million) was recorded within restricted cash in the accompanying Consolidated Balance Sheets.

Internal-Use Software

Internal-Use Software

Included in fixed assets is the capitalized cost of internal-use software. We capitalize costs incurred during the application development stage of internal-use software and amortize these costs over their estimated useful lives, which generally range from three to five years. Costs incurred related to design or maintenance of internal-use software is expensed as incurred.

During 2009, we announced that we are in the initial stages of implementing a company-wide ERP system to handle the business and finance processes within our operations and corporate functions. The total amount of internal-use software costs capitalized since the beginning of the ERP implementation as of March 25, 2012 and December 25, 2011 were $22.3 million and $21.4 million, respectively. As of March 25, 2012, $18.1 million was recorded in machinery and equipment related to supporting software packages that were placed in service. The remaining costs of $4.2 million and $6.0 million as of March 25, 2012 and December 25, 2011, respectively, are capitalized as construction-in-progress until such time as the ERP system has been placed in service.

Noncontrolling Interests

Noncontrolling Interests

On May 16, 2011, Checkpoint Holland Holding B.V., a wholly-owned subsidiary of the Company, acquired 51% of the outstanding voting shares of Shore to Shore PVT Ltd. (Sri Lanka) in exchange for $1.7 million in cash. The fair value of the non-controlling interest was estimated by applying a market approach. Key assumptions include control premiums associated with guideline transactions of entities deemed to be similar to Shore to Shore PVT Ltd. (Sri Lanka), and adjustments because of the lack of control that market participants would consider when measuring the fair value of the non-controlling interest.

We have classified non-controlling interests as equity on our Consolidated Balance Sheets as of March 25, 2012 and December 25, 2011 and presented net income attributable to non-controlling interests separately on our Consolidated Statements of Operations for the three months ended March 25, 2012.

Warranty Reserves

Warranty Reserves

We provide product warranties for our various products. These warranties vary in length depending on product and geographical region. We establish our warranty reserves based on historical data of warranty transactions.

The following table sets forth the movement in the warranty reserve which is located in the Other Accrued Expenses section of our Consolidated Balance Sheets:

(amounts in thousands)

Quarter ended	March 25, 2012
Balance at beginning of year	$   5,857
Accruals for warranties issued, net	1,208
Settlements made	(1,230)
Foreign currency translation adjustment	52
Balance at end of period	$   5,887