Derivative Instruments and Hedging Activities (Notes)

6 Months Ended

Jun. 30, 2016

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivatives

DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES

The Company is exposed to certain risks arising from both its business operations and economic conditions. The primary risks that the Company manages through its derivative instruments from time to time are foreign currency exchange rate risk and commodity pricing risk. As of June 30, 2016, we do not currently hold any derivatives instruments. All derivatives outstanding at December 31, 2015 were not designated as hedging instruments and matured during the six months ended June 30, 2016.

Derivatives not designated as hedging instruments

Commodity options, foreign exchange forwards and forward exchange options are recorded in the consolidated balance sheet at fair value and the resulting gains or losses are recorded to other income in the consolidated statement of operations. The (gains) losses recognized for the three and six months ended June 30, are as follows (in thousands):

	Three Months Ended   June 30,						Six Months Ended   June 30,
Derivatives not designated as hedging instruments	2016			2015			2016			2015
Commodity options	$	—		$	(74	)	$	—		$	355
Foreign exchange forwards	(85		)	94			(14		)	94
Foreign exchange options	—			1,352			—			(2,817		)
Total non-designated derivative realized (gain) loss, net	$	(85	)	$	1,372		$	(14	)	$	(2,368	)

Summary of Derivatives

Derivatives consist of the following (in thousands):

		June 30, 2016		December 31, 2015
Derivatives not designated as hedging instruments	Classification	Fair Value		Fair Value
Foreign exchange options	Other current assets	$	—	$	1,792
Foreign exchange forwards	Accrued expenses	$	—	$	14