Columbia Sportswear 2013 Annual Report Download - page 73

Download and view the complete annual report

Please find page 73 of the 2013 Columbia Sportswear annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 84

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84

COLUMBIA SPORTSWEAR COMPANY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
69
December 31,
Balance Sheet Classification 2013 2012
Derivative instruments designated as cash
flow hedges:
Derivative instruments in asset positions:
Currency forward contracts . . . . . . . . Prepaid expenses and other current assets $ 1,936 $ 2,147
Currency forward contracts . . . . . . . . Other non-current assets 24 489
Derivative instruments in liability
positions:
Currency forward contracts . . . . . . . . Accrued liabilities 872 579
Currency forward contracts . . . . . . . . Other long-term liabilities 95 —
Derivative instruments not designated as
hedges:
Derivative instruments in asset positions:
Currency forward contracts . . . . . . . . Prepaid expenses and other current assets 2,956 4,072
Derivative instruments in liability
positions:
Currency forward contracts . . . . . . . . Accrued liabilities 280 743
The following table presents the effect and classification of derivative instruments for the years ended December 31,
2013, 2012 and 2011 (in thousands):
For the Year Ended
December 31,
Statement Of Operations
Classification 2013 2012 2011
Currency Forward Contracts:
Derivative instruments designated as cash flow
hedges:
Gain recognized in other comprehensive
income, net of tax . . . . . . . . . . . . . . . . . . . — $2,779 $ 753 $3,489
Gain (loss) reclassified from accumulated
other comprehensive income to income
for the effective portion. . . . . . . . . . . . . . . Cost of sales 5,721 5,908 (6,862)
Gain reclassified from accumulated other
comprehensive income to income as a
result of cash flow hedge discontinuance . Cost of sales — 441 —
Loss recognized in income for amount
excluded from effectiveness testing and
for the ineffective portion . . . . . . . . . . . . . Cost of sales (71)(40)(1,889)
Derivative instruments not designated as hedges:
Gain recognized in income . . . . . . . . . . . . . . Other non-operating expense 8,824 — —
Gain (loss) recognized in income . . . . . . . . . Selling, general and
administrative expense —(1,841) 1,216
NOTE 21—FAIR VALUE MEASURES
Certain assets and liabilities are reported at fair value on either a recurring or nonrecurring basis. Fair value is defined
as an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly
transaction between market participants, under a three-tier fair value hierarchy that prioritizes the inputs used in measuring
fair value as follows:
Level 1 – observable inputs such as quoted prices for identical assets or liabilities in active liquid markets;