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Derivative and hedging instruments
 3 Months Ended
Mar. 31, 2015
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative and hedging instruments
Derivative and hedging instruments

Derivatives.  Our only current derivative contract is the E.ON contingent obligation.  See Note 4 Fair value measurements for additional information about the fair value measurements of our derivative instrument. The following table provides the fair value and balance sheet classification of our derivative:
Fair Value of Derivative Assets and Liabilities
 
Balance sheet location
March 31, 2015
December 31, 2014
E.ON contingent obligation – net (1)
Other liabilities
—

—


(1)
See Note 10 Debt for additional information about the E.ON contingent obligation.

Midwest premium contracts
We entered into a fixed-price forward contract that settled monthly from January 2014 to March 2014 based on the Midwest premium price published in the Platts Metals Week for the applicable period. Losses associated with the settlements of the U.S. Midwest premium contracts were recorded in net gain (loss) on forward and derivative contracts on the consolidated statement of operations.
Derivatives not designated as hedging instruments:
 
 
 
Gain (loss) recognized in income from derivatives
 
 
Three months ended March 31,
 
Location
2015
2014
E.ON contingent obligation – net
Net gain (loss) on forward and derivative contracts
$
353

$
353

Midwest premium contracts
Net gain (loss) on forward and derivative contracts
—

(1,080
)
E.ON contingent obligation – net
Interest expense
(353
)
(353
)

Counterparty credit risk. Forward financial contracts are subject to counterparty credit risk.  However, we only enter into forward financial contracts with counterparties we determine to be creditworthy at the time of entering into the contract.  If any counterparty failed to perform according to the terms of the contract, the impact would be limited to the difference between the contract price and the market price applied to the contract volume on the date of settlement.