Derivative Instruments

6 Months Ended

Jun. 30, 2011

Derivative Instruments [Abstract]

Derivative Instruments

(7)    Derivative Instruments:

The fair value of our derivative instruments is set forth below. The fair value is determined based on quoted market prices and reflect the estimated amounts the Company would pay or receive to terminate the nickel swaps.

	Fair Value of Derivative Instruments
	Not Designated as Hedges
	As of June 30, 2011
	Assets				Liabilities
(in thousands)	Current		Fair value		Current		Fair value
Nickel swaps	$	—	$	—	$	3	$	3
Embedded customer derivatives		25		25		—		—
Total derivative fair value	$	25	$	25	$	3	$	3

The embedded customer derivatives are included in Accounts receivable, net and the nickel swaps are included in Other accrued liabilities on the Consolidated Balance Sheet at June 30, 2011.

As of June 30, 2011, we had paid $22 thousand of net derivative losses that we had not yet settled under the embedded customer derivative agreement. Settlement of these assets is expected to occur during the third quarter of 2011. There was no net impact of the derivatives to the Company’s Consolidated Statement of Operations for the three or six months ended June 30, 2011. The table below shows the impact of the derivatives for the three and six months ended June 30, 2011.

	Net Gain (Loss) Recognized
	Three Months Ended			Six Months Ended
(in thousands)	June 30, 2011			June 30, 2011
Nickel swaps	$	(16	)	$	72
Embedded customer derivatives		16			(72	)
Total	$	—		$	—

The fair value of the Company’s nickel swaps and embedded customer derivatives is determined by using Level 2 inputs. The inputs used include the price of nickel indexed to the London Metal Exchange. The following table presents information about the Company’s asset and liabilities that were measured at fair value on a recurring basis and indicates the fair value hierarchy of the valuation techniques utilized by the Company.

			Fair Value Measurements
			at June 30, 2011
(in thousands)	Level 1		Level 2			Level 3		Total
Nickel swaps	$	—	$	(3	)	$	—	$	(3	)
Embedded customer derivatives		—		25			—		25
	$	—	$	22		$	—	$	22