Equity Method Investments

9 Months Ended

Sep. 30, 2011

Equity Method Investments [Abstract]

9. Equity Method Investments

As of September 30, 2011, we had investments in eight joint ventures (one located in each of Japan, Saudi Arabia, South Korea, and the United Arab Emirates and two located in each of China and India) that were accounted for using the equity method. Summarized below is combined income statement information, based on the most recent financial information (unaudited), for those investments:


	Three Months Ended September 30,
(Amounts in thousands)	2011			2010
Revenues	$	91,832		$	60,597
Gross profit		21,356			17,561
Income before provision for income taxes		14,772			12,494
Provision for income taxes		(4,189	)		(3,570	)

Net income	$	10,583		$	8,924


	Nine Months Ended September 30,
(Amounts in thousands)	2011			2010
Revenues	$	243,688		$	174,517
Gross profit		68,966			57,819
Income before provision for income taxes		47,607			42,237
Provision for income taxes		(14,237	)		(11,524	)

Net income	$	33,370		$	30,713

The provision for income taxes is based on the tax laws and rates in the countries in which our investees operate. The tax jurisdictions vary not only by their nominal rates, but also by the allowability of deductions, credits and other benefits. Our share of net income is reflected in our condensed consolidated statements of income.

- Definition

The entire disclosure for equity investment, or group of investments, for which combined disclosure is appropriate, including: (a) the name of each investee and percentage of ownership of common stock, (b) accounting policies for investments in common stock, (c) difference between the amount at which the investment is carried and the amount of underlying equity in net assets and the accounting treatment of the difference, (d) the total fair value of each identified investment for which a market value is available, (e) summarized information as to assets, liabilities, and results of operations of the investees (for investments in unconsolidated subsidiaries, common stock of joint ventures, or other investments using the equity method), and (f) material effects of possible conversions, exercises, or contingent issuances of the investee. Other disclosures include (a) the names of any investee in which the investor owns 20 percent or more of the voting stock and investment is not accounted for using the equity method, and the reasons why not, and (b) the names of any investee in which the investor owns less than 20 percent of the voting stock and the investment is accounted for using the equity method, and the reasons why it is.

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