Rayovac 2012 Annual Report Download - page 102

SPECTRUM BRANDS HOLDINGS, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(CONTINUED)
(In thousands, except per share amounts)
currency translation adjustments, as earnings from international subsidiaries were considered to be permanently
reinvested. As of the beginning of Fiscal 2012, the Company is no longer permanently reinvested on current and
future earnings from international subsidiaries, except for locations precluded by certain restrictions from
repatriating earnings.
The following is a roll forward of the amounts recorded in AOCI:
Unrealized Gains
(Losses)
Adjustment of
minimum pension
liability
Translation
Adjustments Total
Balance at September 30, 2009 ..................... $ 851 $ (190) $ 5,907 $ 6,568
Gross change before reclassification adjustment ........ (15,621) (28,032) 11,511 (32,142)
Net reclassification adjustment for losses (gains) included
in earnings .................................... 6,356 1,355 — 7,711
Gross change after reclassification adjustment .......... $ (9,265) $(26,677) $ 11,511 $(24,431)
Deferred tax effect ................................ 2,775 8,904 1,085 12,764
Deferred tax valuation allowance .................... (116) (2,763) 481 (2,398)
Net adjustment to AOCI ........................... $ (6,606) $(20,536) $ 13,077 $(14,065)
Balance at September 30, 2010 ..................... $ (5,755) $(20,726) $ 18,984 $ (7,497)
Gross change before reclassification adjustment ........ (5,992) (6,344) (12,857) (25,193)
Net reclassification adjustment for losses (gains) included
in earnings .................................... 13,422 8 — 13,430
Gross change after reclassification adjustment .......... $ 7,430 $ (6,336) $(12,857) $(11,763)
Deferred tax effect ................................ (2,671) 2,037 2,742 2,108
Deferred tax valuation allowance .................... (331) 3,529 (492) 2,706
Net adjustment to AOCI ........................... $ 4,428 $ (770) $(10,607) $ (6,949)
Balance at September 30, 2011 ..................... $ (1,327) $(21,496) $ 8,377 $(14,446)
Gross change before reclassification adjustment ........ (1,824) (15,682) (8,602) (26,108)
Net reclassification adjustment for losses (gains) included
in earnings .................................... 3,097 900 — 3,997
Gross change after reclassification adjustment .......... $ 1,273 $(14,782) $ (8,602) $(22,111)
Deferred tax effect ................................ (636) 3,632 — 2,996
Deferred tax valuation allowance .................... 908 (782) — 126
Net adjustment to AOCI ........................... $ 1,545 $(11,932) $ (8,602) $(18,989)
Balance at September 30, 2012 ..................... $ 218 $(33,428) $ (225) $(33,435)
(u) Stock Compensation
The Company measures the cost of its stock-based compensation plans, which include restricted stock awards
and restricted stock units, based on the fair value of its employee stock awards at the date of grant and recognizes
these costs over the requisite service period of the awards.
In September 2009, SB Holdings’ board of directors (the “Board”) adopted the 2009 Spectrum Brands Inc.
Incentive Plan (the “2009 Plan”). In conjunction with the Merger the 2009 Plan was assumed by SB Holdings.
Prior to October 21, 2010, up to 3,333 shares of common stock, net of forfeitures and cancellations, could have
been issued under the 2009 Plan. After October 21, 2010, no further awards may be made under the 2009 Plan.
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