Derivative Instruments

12 Months Ended

Sep. 30, 2019

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Instruments

13.    Derivative Instruments

The Company has transactions and balances denominated in currencies other than the U.S. dollar. Most of these transactions or balances are denominated in Euros, British Pounds and a variety of Asian currencies. These transactions and balances, including short-term advances between the Company and its subsidiaries, subject the Company’s operations to exposure from exchange rate fluctuations. The impact of currency exchange rate movement can be positive or negative in any period. The Company mitigates the impact of potential currency transaction gains and losses on short-term intercompany advances through timely settlement of each transaction, generally within 30 days.

The Company also enters into foreign exchange contracts to reduce its exposure to currency fluctuations. Under forward contract arrangements, the Company typically agrees to purchase a fixed amount of one currency in exchange for a fixed amount of another currency on specified dates with maturities of three months or less. These transactions do not qualify for hedge accounting. Net gains and losses related to these contracts are recorded as a component of "Other expenses, net" in the accompanying Consolidated Statements of Operations and are as follows for the fiscal years ended September 30, 2019, 2018 and 2017 (in thousands):

	Fiscal Year Ended September 30,
	2019		2018		2017
Realized gains (losses) on derivatives not designated as hedging instruments	$	3,656	$	(330)	$	(545)

The fair value of derivative instruments are as follows at September 30, 2019 and 2018 (in thousands):

		Fair Value of Assets				Fair Value of Liabilities
As of September 30,		2019		2018		2019		2018
Derivatives not designated as hedging instruments
Foreign exchange contracts	$	17	$	170	$	(340)	$	(177)
Total	$	17	$	170	$	(340)	$	(177)

The fair values of the forward contracts described above are recorded in the Company’s accompanying Consolidated Balance Sheets as "Prepaid expenses and other current assets" and "Accrued expenses and other current liabilities".