Derivative Financial Instruments

3 Months Ended

Mar. 31, 2017

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Financial Instruments

Foreign Currency Exchange Rate Risk

In general, these gains and losses are offset in the Consolidated Statements of Income by the reciprocal gains and losses from cash settlement of the underlying assets or liabilities which originally gave rise to the exposure. The net amount of the gains and losses related to derivative instruments recorded in other income, net for the three months ended March 31, 2017 and 2016 were a loss of $4.3 million and gain of $7.0 million, respectively.

The table below presents the net notional amounts of the Company’s outstanding foreign currency forward contracts by currency (in thousands):

	March 31,		December 31,
	2017		2016
European euro	$	179,979	$	156,352
Swedish kroner	80,790		48,555
Canadian dollar	55,044		15,645
British pound sterling	21,255		33,862
Brazilian real	8,102		2,747
Japanese yen	2,896		3,251
Australian dollar	2,034		1,653
Other	271		—
	$	350,371	$	262,065

At March 31, 2017, the Company’s foreign currency forward contracts, in general, had maturities of three months or less.

The carrying amount of the foreign exchange contracts included in the Consolidated Balance Sheets are as follows (in thousands):

	March 31, 2017				December 31, 2016
	Prepaid Expenses and Other Current Assets		Other Current Liabilities		Prepaid Expenses and Other Current Assets		Other Current Liabilities
Foreign exchange contracts	$	636	$	1,585	$	2,369	$	75

Interest Rate Swap Contracts

At March 31, 2017, the effective interest rate on the borrowings made from the Company's revolving credit facility was 2.37 percent. As of March 31, 2017, the following interest rate swaps were outstanding:

Contract Date	Notional Amount (in millions)		Fixed Rate		Effective Date	Maturity Date
March 15, 2013	$	45.0	1.02	%	April 5, 2013	March 31, 2019
March 29, 2013	$	45.0	0.97	%	April 5, 2013	March 31, 2019

The net fair value carrying amount of the Company's interest rate swaps was $0.7 million, of which $0.2 million has been recorded to prepaid expenses and other current assets and $0.5 million has been recorded to other assets in the Consolidated Balance Sheet as of March 31, 2017.