Financial Derivatives and Hedging Activities (Tables)

9 Months Ended

Sep. 30, 2015

The following table summarizes the fair values of derivative instruments for the period indicated and the line items in the accompanying condensed consolidated balance sheets where the instruments are recorded:


In thousands	September 30 2015		December 31 2014		September 30 2015		December 31 2014
Balance sheet caption	Prepaid Expenses and Other Current Assets				Other Current Liabilities
*Designated as hedging:*
Forward foreign currency exchange contracts	$	693	$	3,106	$	1,676	$	394
*Not designated as hedging:*
Forward foreign currency exchange contracts	$	91.0	$	70	$	0	$	161

Income or (Loss) from Derivative Instruments Recognized in Results of Operations

The following table summarizes the amount of income or (loss) from derivative instruments recognized in our results of operations for the periods indicated and the line items in the accompanying condensed consolidated statements of income where the results are recorded:


	Three months ended September 30						Nine months ended September 30
In thousands	2015			2014			2015		2014
*Designated as hedging:*
Forward foreign currency exchange contracts:
Effective portion – cost of products sold	$	1,972		$	(137	)	$	4,595	$	(1,227	)
Ineffective portion – other – net		(184	)		81			104		181
*Not designated as hedging*:
Forward foreign currency exchange contracts:
Other – net	$	621		$	595		$	1,028	$	1,792

Fair Value Amounts Recorded as Component of Accumulated Other Comprehensive Income

A rollforward of fair value amounts recorded as a component of accumulated other comprehensive income is as follows:


In thousands	2015			2014
Balance at January 1,	$	3,282		$	(1,296	)
Deferred gains on cash flow hedges		1,100			2,223
Reclassified to earnings		(4,595	)		1,227

Balance at September 30,	$	(213	)	$	2,154

Designated as Hedging [Member]

Outstanding Derivatives Used to Hedge Foreign Exchange Risks

We had the following outstanding derivatives that were used to hedge foreign exchange risks associated with forecasted transactions and designated as hedging instruments:


In thousands	September 30 2015		December 31 2014
*Derivative*
Sell/Buy - sell notional
Euro / British Pound		9,189		4,592
Sell/Buy - buy notional
Euro / Philippine Peso		661,453		523,313
British Pound / Philippine Peso		471,607		260,535
Euro / U.S. Dollar		47,751		32,527
U.S. Dollar / Canadian Dollar		19,205		10,036

Not Designated as Hedging [Member]

Outstanding Derivatives Used to Hedge Foreign Exchange Risks

The following sets forth derivatives used to mitigate the impact changes in currency exchange rates have on balance sheet monetary assets and liabilities:


In thousands	September 30 2015		December 31 2014
*Derivative*
Sell/Buy - sell notional
U.S. Dollar / Euro		—		4,000
U.S. Dollar / British Pound		7,000		9,000
Euro / British Pound		—		2,000
British Pound / Euro		2,000		—
Sell/Buy - buy notional
Euro / U.S. Dollar		7,000		—
British Pound / Euro		15,500		3,000