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,
	2012		2011		2010

Intangible assets, other than goodwill	$	3,763	$	--	$	8
Land and buildings		518		--		--
Other fixed assets		75		40		680

Total	$	4,356	$	40	$	688

For the year ended December 31, 2012, impairment charges of $4,356 are included in Impairment of long-lived assets on the Consolidated Statements of Comprehensive Income (Loss). The impairment of long-lived assets includes $3,763 related to impairments of intangible assets and $593 related to impairment of fixed assets. The intangible asset impairment charges are for customer relationship intangible assets at Company locations currently being restructured for which projected cash flows do not support the carrying values. The Company recorded the customer relationship impairment charges in the Americas and Europe operating segments in the amounts of $2,350 and $1,413, respectively. The fixed asset impairment charges are comprised of $518 related to Company-owned real estate in the Corporate segment which was written down to its estimated market value in anticipation of a sale expected to close in 2013 and $75 related to equipment in the Americas operating segment.

In addition, for the year ended December 31, 2012, impairment charges of $246 are included in Acquisition integration and restructuring expenses on the Consolidated Statements of Comprehensive Income (Loss). These impairment charges relate to building improvements at Company facilities in the Americas operating segment that are being combined with other operating facilities or shut-down and relate to the Company's ongoing restructuring and cost reduction initiatives. See Note 3 – Acquisition Integration and Restructuring for further information.

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 Comprehensive Income (Loss) 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 Comprehensive Income (Loss). 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 Comprehensive Income (Loss) in the Americas 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. The Company did not receive any insurance settlements during the year ended December 31, 2012. 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 SEC investigation which concluded during 2011. See Note 18 – Contingencies for further information related to the SEC investigation.

The table below summarizes where the insurance recoveries for the periods presented in this Form 10-K are reflected in the Consolidated Statements of Comprehensive Income (Loss):

	Years Ended December 31,
	2012		2011		2010

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

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

Total insurance recoveries	$	--	$	204	$	2,854