INSURANCE SETTLEMENT RECEIVABLE

3 Months Ended

Mar. 31, 2017

INSURANCE SETTLEMENT RECEIVABLE

INSURANCE SETTLEMENT RECEIVABLE

Note 15 – INSURANCE SETTLEMENT RECEIVABLE

A fire caused damages to Aptar’s facility in Annecy, France in June 2016.  The fire was contained to one of three production units and there were no reported injuries. Aptar Annecy supplies anodized aluminum components for certain Aptar dispensing systems.  While repairs are underway, Aptar will source from its network of suppliers as well as from its anodizing facility in Brazil.  The Company is insured for the damages caused by the fire, including business interruption insurance, and it does not expect this incident to have a material impact on its financial results.  Costs related to the fire of $4.9 million were incurred during the three months ended March 31, 2017.  We have increased our insurance receivable from $0.8 million at December 31, 2016 to $4.4 million at March 31, 2017 for known losses for which insurance reimbursement is probable, which is included in Prepaid and Other in the Condensed Consolidated Balance Sheet.  In many cases, our insurance coverage exceeds the amount of these recognized losses. No gain contingencies have been recognized as our ability to realize those gains remains uncertain.  We  recognized net expenses of $1.3 million related to the Annecy fire during the first quarter of 2017.  These costs are included in the Beauty + Home segment.