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Marketable securities
 3 Months Ended
Mar. 31, 2013
Investments Debt And Equity Securities [Abstract]  
Marketable securities

Note 5—Marketable securities:

 

     Fair value
measurement
level		      Market
value		      Cost
basis		      Unrealized
gains		  
            (In thousands)  

December 31, 2012:

            

Noncurrent assets

            

Valhi common stock

      1       $ 179,662       $ 24,347       $ 155,315   
     

 

 

     

 

 

     

 

 

  

March 31, 2013:

            

Noncurrent assets

            

Valhi common stock

      1       $ 230,686       $ 24,347       $ 206,339   
     

 

 

     

 

 

     

 

 

  

At December 31, 2012 and March 31, 2013, we held approximately 14.4 million shares of Valhi’s common stock with a market price of $12.50 and $16.05 per share, respectively. Contran, Mr. Harold Simmons and persons and other entities related to Mr. Simmons own a majority of Valhi’s outstanding common stock. We account for our investment in Valhi common stock as available-for-sale marketable equity securities and any unrealized gains or losses on the securities are recognized through other comprehensive income, net of deferred income taxes. Our marketable securities at December 31, 2012 and March 31, 2013 were carried at fair value based on quoted market prices, representing a Level 1 input within the fair value hierarchy.

The Valhi common stock we own is subject to the restrictions on resale pursuant to certain provisions of the SEC Rule 144. In addition, as a majority-owned subsidiary of Valhi, we cannot vote our shares of Valhi common stock under Delaware Corporation Law, but we do receive dividends from Valhi on these shares, when declared and paid.