Columbia Sportswear 2011 Annual Report Download - page 65

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COLUMBIA SPORTSWEAR COMPANY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
in 2009, all related to uncertain tax positions. The Company had $3,434,000 and $3,935,000 of accrued interest
and penalties related to uncertain tax positions at December 31, 2011 and 2010, respectively.
NOTE 11—OTHER LONG-TERM LIABILITIES
Other long-term liabilities consisted of the following (in thousands):
December 31,
2011 2010
Straight-line and deferred rent liabilities .................................. $18,028 $16,296
Asset retirement obligations ........................................... 1,565 1,122
Deferred compensation plan liability .................................... 2,521 1,670
Other ............................................................. 1,739 2,368
$23,853 $21,456
NOTE 12—RETIREMENT SAVINGS PLANS
401(k) Profit-Sharing Plan
The Company has a 401(k) profit-sharing plan, which covers substantially all U.S. employees. Participation
begins the first of the quarter following completion of thirty days of service. The Company may elect to make
discretionary matching and/or non-matching contributions. All Company contributions to the plan as determined
by the Board of Directors totaled $5,223,000, $4,443,000 and $2,610,000 for the years ended December 31,
2011, 2010 and 2009, respectively.
Deferred Compensation Plan
The Company sponsors a nonqualified retirement savings plan for certain senior management employees
whose contributions to the tax qualified 401(k) plan would be limited by provisions of the Internal Revenue
Code. This plan allows participants to defer receipt of a portion of their salary and incentive compensation and to
receive matching contributions for a portion of the deferred amounts. Company contributions to the plan totaled
$245,000, $155,000 and $108,000 for the years ended December 31, 2011, 2010 and 2009, respectively.
Participants earn a return on their deferred compensation based on investment earnings of participant-selected
mutual funds. Changes in the market value of the participants’ investment selections are recorded as an
adjustment to deferred compensation liabilities, with an offset to compensation expense. Deferred compensation,
including accumulated earnings on the participant-directed investment selections, is distributable in cash at
participant-specified dates or upon retirement, death, disability or termination of employment. At December 31,
2011 and 2010, the liability to participants under this plan was $2,521,000 and $1,670,000, respectively, and was
recorded in other long-term liabilities. The current portion of the participant liability at December 31, 2011 and
2010 was not material.
The Company has purchased specific mutual funds in the same amounts as the participant-directed
investment selections underlying the deferred compensation liabilities. These investment securities and earnings
thereon, held in an irrevocable trust, are intended to provide a source of funds to meet the deferred compensation
obligations, subject to claims of creditors in the event of the Company’s insolvency. The mutual funds are
recorded at fair value in other non-current assets. At December 31, 2011 and 2010, the fair value of the mutual
fund investments was $2,521,000 and $1,670,000, respectively. Realized and unrealized gains and losses on the
mutual fund investments are offset against gains and losses resulting from changes in corresponding deferred
compensation liabilities to participants.
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