Note 6 - Impairment of Long-lived Assets and Insurance Recoveries

The following table summarizes the impairment of long-lived assets by asset category for the periods presented in this Form 10-K:


	Years Ended December 31,
	2011		2010		2009

Land and buildings	$	--	$	--	$	1,305
Internal use software		--		--		--
Other fixed assets		40		680		61
Intangible assets, other than goodwill		--		8		75

Total	$	40	$	688	$	1,441

During 2011, $40 was recorded for the impairment of various fixed assets. The expense for these write-downs is included in Impairment of long-lived assets in the Consolidated Statements of Operations in the Americas operating segment. In addition, there were $287 of impairments, primarily for leasehold improvements related to the Company's cost reduction and capacity utilization initiatives which are included in Acquisition integration and restructuring expenses on the Consolidated Statements of Operations. These charges were principally incurred in the Americas operating segment. Refer to Note 3 – Acquisition Integration and Restructuring for further information.

During 2010, certain newly purchased and installed production equipment sustained water damage and became no longer operable. The Company recorded an impairment charge in the amount of $680, the net book value of the damaged equipment. The Company also recorded an impairment charge of $8 related to a non-compete agreement that was no longer believed to be recoverable. The expense for these write-downs is included in Impairment of long-lived assets in the Consolidated Statements of Operations in the Americas operating segment.

During 2009, the Company recorded a write-down of certain land and buildings in the amount of $1,305. The charge recorded in 2009 was an adjustment of a previous write-down recorded for the properties during the prior year and was based on updated appraisal values. There were $61 of other impairments recorded in 2009 related to fixed assets and $75 related to customer relationship intangible assets. The total impairment of $1,441 for 2009 is included in Impairment of long-lived assets on the Consolidated Statements of Operations principally in the Americas operating segment. Additionally, the Company incurred $210 of fixed asset impairments in 2009 relating to its cost reduction and capacity utilization initiatives, which are included in Acquisition integration and restructuring expense in the Consolidated Statements of Operations. These charges were principally incurred in the Asia Pacific operating segment.

The Company maintains insurance coverage for property loss, professional liability, business interruption, and directors and officers liability and records insurance recoveries in the period in which the insurance carrier validates the claim and confirms the amount of reimbursement to be paid. During 2011, the Company received insurance settlements in the amount of $204, related to the recovery of legal fees for employment related issues and a final settlement on a 2010 property loss. During 2010, the Company received insurance settlements of $680 related to the water-damaged equipment for which impairment was recorded during 2010 and $859 related to property damage during a 2009 flood at one of its Americas operations, as well as $119 for business interruption coverage related to the 2010 damaged production equipment. In addition, during 2010 the Company received a directors and officers liability insurance settlement in the amount of $1,196 representing reimbursement of certain expenses related to the Company's recently concluded SEC investigation. See Note 19 – Contingencies for further information related to the SEC investigation. During 2009, the Company recorded an insurance recovery of $835, related to professional liability coverage.

The table below summarizes where the insurance recoveries for the periods presented in this Form 10-K are reflected in the Consolidated Statements of Operations:

	Years Ended December 31,
	2011		2010		2009

Cost of sales:
Business interruption and professional liability coverages	$	--	$	119	$	835

Selling, general and administrative expenses:
Property and professional liability coverages		204		2,735		--

Total insurance recoveries	$	204	$	2,854	$	835