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Derivative Financial Instruments and Related Hedging Programs (Tables) | 3 Months Ended
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Mar. 31, 2016
Derivative Instruments and Hedging Activities Disclosure [Abstract] |
Summary of realized and unrealized gains and losses | Realized and unrealized (losses) gains associated with all derivative contracts consisted of the following for each period presented (in millions of dollars):
| Quarter Ended
| March 31,
| 2016 |  | 2015
Included in Other Comprehensive Income (Loss): |  |  |
Unrealized gain: |  |  |
Foreign Currency | $ | 0.2 |  |  | $ | — |
Included in Statements of Consolidated Income (Loss): |  |  |
Realized loss 1: |  |  |
Aluminum | (2.7 | ) |  | (2.7 | )
Natural Gas | (1.7 | ) |  | (1.3 | )
Electricity | — |  |  | (0.7 | )
Total realized loss | $ | (4.4 | ) |  | $ | (4.7 | )
Unrealized gain (loss)2: |  |  |
Non-designated hedges of operational risk: |  |  |
Aluminum | $ | 3.2 |  |  | $ | (4.2 | )
Natural Gas | 0.8 |  |  | (0.7 | )
Electricity | — |  |  | 0.4 |
Total non-designated hedges of operational risk | 4.0 |  |  | (4.5 | )
Option Assets relating to the Convertible Notes 3 | — |  |  | 10.2 |
Bifurcated Conversion Feature of the Convertible Notes 3 | — |  |  | (10.2 | )
Total unrealized gain (loss) | $ | 4.0 |  |  | $ | (4.5 | )
______________________
1 | Realized loss on hedges of operational risk are recorded within Cost of products sold, excluding depreciation, amortization and other items.
2 | Unrealized gain (loss) on hedges of operational risk are recorded within Unrealized (gain) loss on derivative instruments.
3 | Unrealized gain (loss) on financial derivatives related to our 4.5% unsecured cash convertible senior notes ("Convertible Notes"), which settled in April 2015.
Summary of material derivative positions | The following table summarizes our material derivative positions at March 31, 2016:
Aluminum | Maturity Period (month/year) |  | Notional Amount of contracts (mmlbs)
Call option purchase contracts | 4/16 through 6/16 |  | 2.0 |
Fixed price purchase contracts | 4/16 through 12/17 |  | 128.4 |
Fixed price sales contracts | 4/16 through 12/17 |  | 2.2 |
Midwest premium swap contracts 1 | 4/16 through 12/17 |  | 92.0 |
Natural Gas 2 | Maturity Period (month/year) |  | Notional Amount of contracts (mmbtu)
Fixed price purchase contracts | 4/16 through 12/18 |  | 7,070,000 |
Euro | Maturity Period (month/year) |  | Notional Amount of contracts (euro)
Fixed price purchase contracts | 5/16 through 8/17 |  | 3,950,374 |
______________________
1 | Regional premiums represent the premium over the London Metal Exchange price for primary aluminum which is incurred on our purchases of primary aluminum.
2 | As of March 31, 2016, we had derivative and/or physical delivery commitments with energy companies in place to cover exposure to fluctuations in prices for approximately 79%, 73% and 72% of the expected natural gas purchases for the remainder of 2016, 2017 and 2018 respectively.
Summary of offsetting derivative assets by counterparty | The following tables present offsetting information regarding our derivatives by type of counterparty as of December 31, 2015 (in millions of dollars):
Derivative Assets and Collateral Held by Counterparty
|  |  |  |  |  |  | Gross Amounts Not Offset in the Consolidated Balance Sheets |  |
| Gross Amounts of Recognized Assets |  | Gross Amounts Offset in the Consolidated Balance Sheets |  | Net Amounts of Assets Presented in the Consolidated Balance Sheets |  | Financial Instruments |  | Cash Collateral Received |  | Net Amount
Counterparty (with netting agreements) | $ | 1.3 |  |  | $ | — |  |  | $ | 1.3 |  |  | $ | 1.3 |  |  | $ | — |  |  | $ | — |
Counterparty (with partial netting agreements) | 0.3 |  |  | — |  |  | 0.3 |  |  | 0.3 |  |  | — |  |  | — |
Total | $ | 1.6 |  |  | $ | — |  |  | $ | 1.6 |  |  | $ | 1.6 |  |  | $ | — |  |  | $ | — |
The following tables present offsetting information regarding our derivatives by type of counterparty as of March 31, 2016 (in millions of dollars):
Derivative Assets and Collateral Held by Counterparty
|  |  |  |  |  |  | Gross Amounts Not Offset in the Consolidated Balance Sheets |  |
| Gross Amounts of Recognized Assets |  | Gross Amounts Offset in the Consolidated Balance Sheets |  | Net Amounts of Assets Presented in the Consolidated Balance Sheets |  | Financial Instruments |  | Cash Collateral Received |  | Net Amount
Counterparty (with netting agreements) | $ | 1.0 |  |  | $ | — |  |  | $ | 1.0 |  |  | $ | 1.0 |  |  | $ | — |  |  | $ | — |
Counterparty (with partial netting agreements) | 0.6 |  |  | — |  |  | 0.6 |  |  | 0.6 |  |  | $ | — |  |  | $ | — |
Total | $ | 1.6 |  |  | $ | — |  |  | $ | 1.6 |  |  | $ | 1.6 |  |  | $ | — |  |  | $ | — |
Summary of offsetting derivative liabilities by counterparty |
Derivative Liabilities and Collateral Held by Counterparty
|  |  |  |  |  |  | Gross Amounts Not Offset in the Consolidated Balance Sheets |  |
| Gross Amounts of Recognized Liabilities |  | Gross Amounts Offset in the Consolidated Balance Sheets |  | Net Amounts of Liabilities Presented in the Consolidated Balance Sheets |  | Financial Instruments |  | Cash Collateral Pledged |  | Net Amount
Counterparty (with netting agreements) | $ | (8.5 | ) |  | $ | — |  |  | $ | (8.5 | ) |  | $ | (1.3 | ) |  | $ | — |  |  | $ | (7.2 | )
Counterparty (with partial netting agreements) | (7.7 | ) |  | — |  |  | (7.7 | ) |  | (0.3 | ) |  | — |  |  | (7.4 | )
Total | $ | (16.2 | ) |  | $ | — |  |  | $ | (16.2 | ) |  | $ | (1.6 | ) |  | $ | — |  |  | $ | (14.6 | )
Derivative Liabilities and Collateral Held by Counterparty
|  |  |  |  |  |  | Gross Amounts Not Offset in the Consolidated Balance Sheets |  |
| Gross Amounts of Recognized Liabilities |  | Gross Amounts Offset in the Consolidated Balance Sheets |  | Net Amounts of Liabilities Presented in the Consolidated Balance Sheets |  | Financial Instruments |  | Cash Collateral Pledged |  | Net Amount
Counterparty (with netting agreements) | $ | (6.3 | ) |  | $ | — |  |  | $ | (6.3 | ) |  | $ | (1.0 | ) |  | $ | — |  |  | $ | (5.3 | )
Counterparty (with partial netting agreements) | (5.7 | ) |  | — |  |  | (5.7 | ) |  | (0.6 | ) |  | — |  |  | (5.1 | )
Total | $ | (12.0 | ) |  | $ | — |  |  | $ | (12.0 | ) |  | $ | (1.6 | ) |  | $ | — |  |  | $ | (10.4 | )

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