Derivative Instruments, Hedging Activities and Fair Value (Tables)

9 Months Ended

Sep. 30, 2016

Derivative Instruments, Hedging Activities And Fair Value Disclosure [Abstract]

Schedule of fair value of outstanding derivative contracts

The fair value of outstanding derivative contracts recorded as assets and liabilities on the Condensed Consolidated Balance Sheets were as follows:

	Asset Derivatives			Liability Derivatives
(In thousands)	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
September 30, 2016
Derivatives designated as hedging instruments:
Foreign currency exchange forward contracts	Other current assets	$	60	Other current liabilities	$	97
Cross-currency interest rate swaps	Other assets	595			—
Total derivatives designated as hedging instruments		$	655		$	97
Derivatives not designated as hedging instruments:
Foreign currency exchange forward contracts	Other current assets	$	2,448	Other current liabilities	$	4,691

	Asset Derivatives			Liability Derivatives
(In thousands)	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
December 31, 2015
Derivatives designated as hedging instruments:
Foreign currency exchange forward contracts	Other current assets	$	1,640		$	—
Cross-currency interest rate swaps	Other assets	15,417			—
Total derivatives designated as hedging instruments		$	17,057		$	—
Derivatives not designated as hedging instruments:
Foreign currency exchange forward contracts	Other current assets	$	4,188	Other current liabilities	$	1,738

Schedule of effect of derivative instruments

The effect of derivative instruments on the Condensed Consolidated Statements of Operations and the Condensed Consolidated Statements of Comprehensive Loss was as follows:

Derivatives Designated as Hedging Instruments (a)

(In thousands)	Amount of  Gain (Loss) Recognized in Other Comprehensive Income  (“OCI”)  on Derivative - Effective  Portion		Location of Gain Reclassified from Accumulated OCI into Income - Effective Portion	Amount of Gain Reclassified  from Accumulated OCI into  Income - Effective  Portion		Location of Loss  Recognized  in Income on  Derivative - Ineffective Portion and Amount Excluded from Effectiveness Testing	Amount of  Loss  Recognized  in Income  on Derivative - Ineffective  Portion and  Amount Excluded from Effectiveness  Testing
Three Months Ended September 30, 2016:
Foreign currency exchange forward contracts	$	2,378		$	—		$	—
Cross-currency interest rate swaps	265			—		Cost of services and products sold	(232		)	(b)
	$	2,643		$	—		$	(232	)
Three Months Ended September 30, 2015:
Foreign currency exchange forward contracts	$	2,532	Cost of services and products sold	$	78		$	—
Cross-currency interest rate swaps	2,446			—		Cost of services and products sold	13,087			(b)
	$	4,978		$	78		$	13,087

(In thousands)	Amount of  Gain (Loss)Recognized in  OCI  on Derivative - Effective  Portion			Location of Gain Reclassified from Accumulated OCI into Income - Effective Portion	Amount of Gain Reclassified  from Accumulated  OCI into  Income - Effective  Portion		Location of Gain Recognized  in Income on  Derivative - Ineffective Portion and Amount Excluded from Effectiveness Testing	Amount of  Gain   Recognized  in Income  on Derivative - Ineffective  Portion and  Amount Excluded from Effectiveness  Testing
Nine Months Ended September 30, 2016:
Foreign currency forward exchange contracts	$	1,748		Product revenues / Cost of services and products sold	$	409		$	—
Cross currency interest rate swaps	(1,819		)		—		Cost of services and products sold	3,987		(b)
	$	(71	)		$	409		$	3,987
Nine Months Ended September 30, 2015:
Foreign currency forward exchange contracts	$	4,132		Cost of services and products sold	$	80		$	—
Cross currency interest rate swaps	8,531				—		Cost of services and products sold	24,739		(b)
	$	12,663			$	80		$	24,739

(a) Reflects only the activity of the Company and excludes derivative designated as hedging instruments held by the Company's equity method investments.

(b)  These gains offset foreign currency fluctuation effects on the debt principal.

Derivatives Not Designated as Hedging Instruments

	Location of Gain (Loss) Recognized in Income on Derivative	Amount of Gain Recognized in Income on Derivative for the Three Months Ended September 30 (c)
(In thousands)		2016		2015
Foreign currency exchange forward contracts	Cost of services and products sold	$	552	$	2,724

	Location of Gain (Loss) Recognized in Income on Derivative	Amount of Gain (Loss) Recognized in Income on Derivative for the Nine Months Ended September 30 (c)
(In thousands)		2016		2015
Foreign currency forward exchange contracts	Cost of services and products sold	$	2,292	$	(4,510	)

(c)  These gains (losses) offset amounts recognized in cost of services and products sold principally as a result of intercompany or third party foreign currency exposures.

Summary of notional amount of foreign currency exchange contracts and cross-currency interest rate swaps

The following table indicates the contractual amounts of the Company's CCIRs at September 30, 2016:

			Interest Rates
(In millions)	Contractual Amount		Receive	Pay
Maturing 2017	$	3.4	Floating U.S. dollar rate	Fixed rupee rate

The following tables summarize, by major currency, the contractual amounts of the Company’s foreign currency exchange forward contracts in U.S. dollars.  The “Buy” amounts represent the U.S. dollar equivalent of commitments to purchase foreign currencies, and the “Sell” amounts represent the U.S. dollar equivalent of commitments to sell foreign currencies.  The recognized gains and losses offset amounts recognized in cost of services and products sold principally as a result of intercompany or third party foreign currency exposures.

Contracted Amounts of Foreign Currency Exchange Forward Contracts Outstanding at September 30, 2016:

(In thousands)	Type	U.S. Dollar Equivalent		Maturity	Recognized Gain (Loss)
British pounds sterling	Sell	$	45,864	October 2016	$	513
British pounds sterling	Buy	1,088		October 2016 through December 2016	(9		)
Euros	Sell	310,174		October 2016 through December 2016	(3,265		)
Euros	Buy	155,478		October 2016 through January 2018	604
Other currencies	Sell	45,658		October 2016 through September 2017	(135		)
Other currencies	Buy	8,957		October 2016 through December 2016	11
Total		$	567,219		$	(2,281	)

Contracted Amounts of Foreign Currency Exchange Forward Contracts Outstanding at December 31, 2015:

(In thousands)	Type	U.S. Dollar Equivalent		Maturity	Recognized Gain (Loss)
British pounds sterling	Sell	$	43,511	January 2016	$	822
British pounds sterling	Buy	2,062		January 2016	(54		)
Euros	Sell	336,397		January 2016 through December 2016	547
Euros	Buy	167,037		January 2016 through August 2016	2,497
Other currencies	Sell	35,426		January 2016 through March 2016	316
Other currencies	Buy	7,981		January 2016	(38		)
Total		$	592,414		$	4,090

Schedule of fair value of financial instruments

The following table indicates the fair value hierarchy of the financial instruments of the Company:

Level 2 Fair Value Measurements (In thousands)	September 30 2016		December 31 2015
Assets
Foreign currency exchange forward contracts	$	2,508	$	5,828
Cross-currency interest rate swaps	595		15,417
Liabilities
Foreign currency exchange forward contracts	4,788		1,738

Schedule of the reconciliation of liabilities measured on a recurring basis using unobservable inputs

The following table reconciles the beginning and ending balances for liabilities measured on a recurring basis using unobservable inputs (Level 3):

Level 3 Liabilities—Unit Adjustment Liability (d) for the Nine Months Ended June 30 (In thousands)	Nine Months Ended
	September 30
	2016			2015
Balance at beginning of period	$	79,934		$	93,762
Reduction in the fair value related to election not to make 2016 payments	(19,145		)	—
Sale of equity interest in Brand	(65,461		)	—
Payments	—			(16,740		)
Change in fair value to the unit adjustment liability	4,672			6,492
Balance at end of period	$	—		$	83,514

(d) During the quarter ended March 31, 2016, the Company decided that it would not make the four quarterly payments to CD&R for 2016. This resulted in the Company revaluing the Unit Adjustment Liability. In September 2016, the Company sold its equity interest in Brand. See Note 4, Equity Method Investments, for additional information related to the unit adjustment liability.