Exit or Disposal Activities

3 Months Ended

Mar. 31, 2012

Exit or Disposal Activities [Abstract]

EXIT OR DISPOSAL ACTIVITIES

NOTE 6—EXIT OR DISPOSAL ACTIVITIES

Liabilities associated with exit or disposal activities are recognized as incurred in accordance with the Exit or Disposal Cost Obligations Topic of the ASC. Qualified exit costs primarily include post-closure rent expenses, incremental post-closure costs and costs of employee terminations. Adjustments may be made to liabilities accrued for qualified exit costs if information becomes available upon which more accurate amounts can be reasonably estimated. Concurrently, property, plant and equipment is tested for impairment in accordance with the Property, Plant and Equipment Topic of the ASC, and if impairment exists, the carrying value of the related assets is reduced to estimated fair value. Additional impairment may be recorded for subsequent revisions in estimated fair value.

In the three months ended March 31, 2012, 3 stores in the Paint Stores Group, 1 branch in the Global Finishes Group and 4 stores in the Latin America Coatings Group were closed due to lower demand or redundancy.

The following table summarizes the activity and remaining liabilities associated with qualified exit costs at March 31, 2012:

(Thousands of dollars)
Exit Plan	Balance at December 31, 2011		Actual expenditures charged to accrual			Adjustments to prior  provisions in Other general expense - net		Balance at March 31, 2012
Consumer Group manufacturing facilities shutdown in 2011:
Severance and related costs	$	197	$	(104	)			$	93
Paint Stores Group stores shutdown in 2011:
Other qualified exit costs		156		(77	)				79
Global Finishes Group branches shutdown in 2011:
Severance and related costs		129		(89	)				40
Other qualified exit costs		470		(45	)				425
Global Finishes Group branches shutdown in 2010:
Other qualified exit costs		955		(24	)				931
Other qualified exit costs for facilities shutdown prior to 2010		8,493		(758	)	$	53		7,788
Totals	$	10,400	$	(1,097	)	$	53	$	9,356

For further details on the Company’s exit or disposal activities, see Note 6 to the Consolidated Financial Statements in the Company’s Annual Report on Form 10-K for the year ended December 31, 2011.