Related Person Transactions

3 Months Ended

Mar. 31, 2012

Related Person Transactions [Abstract]

Related Party Transactions [Text Block]

Related Person Transactions —

The Company can borrow up to $300,000 under a term loan and revolving credit facility with Danfoss A/S, the Company's majority stockholder. Two term loans of approximately $200,000 ($140,000 and 45,000 euro) were outstanding at March 31, 2012 and December 31, 2011. There were no principal amounts outstanding under the revolving credit facility at March 31, 2012 or December 31, 2011. The Company incurred interest expense of $4,608 and $5,786 for the three months ended March 31, 2012 and 2011, respectively, related to the debt with Danfoss A/S.

In August 2011, the Company entered into an Agreement with Danfoss A/S, the Company's majority stockholder, to loan excess cash to Danfoss A/S at the EURIBOR or LIBOR rate plus 0.25%. The cash deposited with Danfoss A/S was $199,100 and $168,450, at March 31, 2012 and December 31, 2011, respectively. The Company had four deposits of cash with Danfoss A/S at March 31, 2012 with a weighted average interest rate of 0.60% and terms ranging from 6 to 28 days. The Company recorded interest income of $351 during the three months ended March 31, 2012 related to this agreement.

In October 2010, the Company entered into an Agreement with Daikin Industries Ltd., a noncontrolling interest owner in an entity consolidated by the Company, to loan excess cash or borrow funds on a daily basis as needed. The cash deposited with Daikin was $11,793 and $10,277 at March 31, 2012 and December 31, 2011, respectively. Interest is earned based on short term financing rates and was $11 and $2 during the three months ended March 31, 2012 and 2011, respectively, related to this agreement.