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Asset Retirement Obligation
 12 Months Ended
Dec. 31, 2012
Asset Retirement Obligation [Abstract]  
ASSET RETIREMENT OBLIGATION
16. ASSET RETIREMENT OBLIGATION

During 2008, we recorded $11.5 million, net present value, of asset retirement obligations related to the legal requirement to close several lagoons at the Spring Grove, PA facility. Historically, lagoons were used to dispose of residual waste material. Closure of the lagoons, which is expected to be completed over the next four years, will be accomplished by filling the lagoons, installing a non-permeable liner which will be covered with soil to construct the required cap over the lagoons. The amount referred to above, in addition to upward revisions, were accrued with a corresponding increase in the carrying value of the property, equipment and timberlands caption on the consolidated balance sheet. The amount capitalized is being amortized as a charge to operations on the straight-line basis in relation to the expected closure period.

Following is a summary of the reserve for asset retirement obligations for the periods indicated:

 

                 

In thousands

     2012       2011  

Balance at Jan. 1,

   $ 9,679     $ 9,717  

Upward revision

     –       611  

Accretion

     458       550  

Payments

     (1,255 )      (1,199 ) 

Balance at Dec. 31,

   $ 8,882     $ 9,679  

At December 31, 2012 and 2011, $3.6 million and $1.5 million, respectively, is recorded in the accompanying consolidated balance sheets under the caption “Other current liabilities” and the balance is recorded under the caption “Other long-term liabilities.”