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Notes to Consolidated Financial Statements
Jarden Corporation Annual Report 2010 (Dollars in millions, except per share data and unless otherwise indicated)
The following table presents gain and loss activity (on a pretax basis) for 2010 and 2009 related to derivative financial instruments
designated as effective hedges:
The following table presents gain and loss activity (on a pretax basis) for 2010 and 2009 related to derivative financial instruments
not designated as effective hedges:
11. Commitments and Contingencies
Operating Leases
The Company conducts its operations in various leased facilities under leases that are classified as operating leases for financial
statement purposes. Certain leases provide for payment of real estate taxes, common area maintenance, insurance and certain
other expenses. Lease terms may have escalating rent provisions and rent holidays which are expensed on a straight-line basis over
the term of the lease, and expire at various dates through 2025. Also, certain equipment used in Company operations is leased
under operating leases.
2010 2009
Gain/(Loss) Gain/(Loss)
(In millions)
Recognized
in OCI(a)
(effective portion)
Reclassified
from AOCI
to Income
Recognized in
Income(b)
Recognized
in OCI(a)
(effective portion)
Reclassified
from AOCI
to Income
Recognized in
Income(b)
Derivatives designated as effective hedges:
Cash flow hedges:
Interest rate swaps $ 9.9 $ 1.9 $ — $ 14.1 $ 4.8 $ —
Foreign currency contracts (14.4) (10.2) (2.7) (10.1) 20.1 (7.6)
Total $ (4.5) $ (8.3) $ (2.7) $ 4.0 $ 24.9 $ (7.6)
Location of gain/(loss) in the consolidated results of operations:
Net sales $ (0.7) $ — $ 0.2 $ —
Cost of sales (9.5) — 19.9 —
SG&A — (2.7) — (7.6)
Interest expense 1.9 — 4.8 —
Total $ (8.3) $ (2.7) $ 24.9 $ (7.6)
(a) Represents effective portion recognized in Other Comprehensive Income (“OCI”).
(b) Represents portion excluded from effectiveness testing.
Gain/(Loss) Recognized in
Income(a)
(In millions) 2010 2009
Derivatives not designated as effective hedges:
Cash flow hedges:
Interest rate swaps $ 0.9 $ 1.2
Foreign currency contracts (10.5) 0.1
Commodity contracts 1.6 7.6
Subtotal (8.0) 8.9
Fair value hedges:
Interest rate swaps 18.6 (10.5)
Total $ 10.6 $ (1.6)
(a) Classified in SG&A
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