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Document and Entity Information - USD ($)	12 Months Ended
Document and Entity Information - USD ($)	Mar. 31, 2011	May 27, 2011	Oct. 03, 2010
Document and Entity Information
Document Type	10-K
Amendment Flag	false
Document Period End Date	Mar. 31, 2011
Document Fiscal Year Focus	2011
Document Fiscal Period Focus	FY
Trading Symbol	ENS
Entity Registrant Name	EnerSys
Entity Central Index Key	0001289308
Current Fiscal Year End Date	--03-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		49,046,585
Entity Current Reporting Status	Yes
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Public Float			$ 1,149,080,278

Consolidated Balance Sheets - USD ($) $ in Thousands	12 Months Ended
Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2011	Mar. 31, 2010
Current assets:
Cash and cash equivalents	$ 108,869	$ 201,042
Accounts receivable, net of allowance for doubtful accounts (2011 - $10,547; 2010 - $9,879)	464,072	383,641
Inventories	335,003	254,371
Deferred taxes	19,801	16,378
Prepaid and other current assets	70,203	39,849
Total current assets	997,948	895,281
Property, plant, and equipment, net	344,385	315,141
Goodwill	343,666	317,265
Other intangible assets, net	98,819	90,136
Deferred taxes	15,785	10,744
Other assets	27,784	23,443
Total assets	1,828,387	1,652,010
Current liabilities:
Short-term debt	3,160	43
Current portion of long-term debt	43	26,045
Current portion of capital lease obligations	819	650
Accounts payable	251,814	198,345
Accrued expenses	204,488	190,004
Deferred taxes	3,248	4,426
Total current liabilities	463,572	419,513
Long-term debt	247,949	322,168
Capital lease obligations	1,429	1,580
Deferred taxes	79,589	70,023
Other liabilities	56,855	54,502
Total liabilities	$ 849,394	$ 867,786
Commitments and contingencies	—	—
Equity:
Series A Convertible Preferred Stock, $0.01 par value, 1,000,000 shares authorized, no shares issued or outstanding at March 31, 2011 and at March 31, 2010
Common Stock, $0.01 par value, 135,000,000 shares authorized, 51,834,353 shares issued and 50,034,353 shares outstanding at March 31, 2011; 50,381,832 shares issued and 48,581,832 shares outstanding at March 31, 2010	518	504
Additional paid-in capital	461,597	428,579
Treasury stock at cost, 1,800,000 shares held as of March 31, 2011 and 2010	(19,800)	(19,800)
Retained earnings	416,836	303,410
Accumulated other comprehensive income	115,180	67,204
Total EnerSys stockholders' equity	974,331	779,897
Non-controlling interest	4,662	4,327
Total equity	978,993	784,224
Total liabilities and stockholders' equity	$ 1,828,387	$ 1,652,010

Consolidated Statements of Income - USD ($) $ in Thousands	12 Months Ended
Consolidated Statements of Income - USD ($) $ in Thousands	Mar. 31, 2011	Mar. 31, 2010	Mar. 31, 2009
Consolidated Statements of Income
Net sales	$ 1,964,462	$ 1,579,385	$ 1,972,867
Cost of goods sold	1,514,618	1,218,481	1,559,433
Gross profit	449,844	360,904	413,434
Operating expenses	259,217	235,597	256,507
Restructuring charges	6,813	13,929	22,424
Bargain purchase gain		(2,919)
Gain on sales of facilities			(11,308)
Legal proceedings charge			3,366
Operating earnings	183,814	114,297	142,445
Interest expense	22,038	22,658	26,733
Charges related to refinancing	8,155		5,209
Other (income) expense, net	2,177	4,384	(8,597)
Earnings before income taxes	151,444	87,255	119,100
Income tax expense	38,018	24,951	37,170
Net earnings	$ 113,426	$ 62,304	$ 81,930
Net earnings per common share:
Basic	$ 2.30	$ 1.29	$ 1.68
Diluted	$ 2.27	$ 1.28	$ 1.66
Weighted-average shares of common stock outstanding:
Basic	49,376,132	48,122,207	48,824,434
Diluted	50,044,246	48,834,095	49,420,303

Consolidated Statements of Changes in Stockholders' Equity - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2011	Mar. 31, 2010	Mar. 31, 2009
Series A Convertible Preferred Stock [Member]
Statement [Line Items]
Balance
Stock-based compensation
Exercise of stock options (awards)
Tax benefit from stock options
Convertible Notes discount
Tax benefit from Convertible Notes discount
Increase in non-controlling interest
Purchase of common stock
Net earnings
Other comprehensive income:
Pension funded status adjustment, net of tax
Unrealized income on derivative instruments, net of tax
Foreign currency translation adjustment
Comprehensive income (loss)
Balance
Common Stock [Member]
Statement [Line Items]
Balance	504	498	491
Exercise of stock options (awards)	14	6	7
Other comprehensive income:
Balance	518	504	498
Paid-in Capital [Member]
Statement [Line Items]
Balance	428,579	414,292	368,963
Stock-based compensation	9,056	6,964	5,021
Exercise of stock options (awards)	17,880	5,036	5,788
Tax benefit from stock options	6,082	2,287	6,100
Convertible Notes discount			46,280
Tax benefit from Convertible Notes discount			(17,860)
Other comprehensive income:
Balance	461,597	428,579	414,292
Treasury Stock [Member]
Statement [Line Items]
Balance	(19,800)	(19,800)
Purchase of common stock			(19,800)
Other comprehensive income:
Balance	(19,800)	(19,800)	(19,800)
Retained Earnings [Member]
Statement [Line Items]
Balance	303,410	241,106	159,176
Net earnings	113,426	62,304	81,930
Other comprehensive income:
Balance	416,836	303,410	241,106
Accumulated Other Comprehensive Income [Member]
Statement [Line Items]
Balance	67,204	34,055	162,913
Other comprehensive income:
Pension funded status adjustment, net of tax	1,967	(685)	544
Unrealized income on derivative instruments, net of tax	9,470	2,626	1,250
Foreign currency translation adjustment	36,539	31,208	(130,652)
Balance	115,180	67,204	34,055
Total EnerSys Stockholders' Equity [Member]
Statement [Line Items]
Balance	779,897	670,151	691,543
Stock-based compensation	9,056	6,964	5,021
Exercise of stock options (awards)	17,894	5,042	5,795
Tax benefit from stock options	6,082	2,287	6,100
Convertible Notes discount			46,280
Tax benefit from Convertible Notes discount			(17,860)
Purchase of common stock			(19,800)
Net earnings	113,426	62,304	81,930
Other comprehensive income:
Pension funded status adjustment, net of tax	1,967	(685)	544
Unrealized income on derivative instruments, net of tax	9,470	2,626	1,250
Foreign currency translation adjustment	36,539	31,208	(130,652)
Comprehensive income (loss)	161,402	95,453	(46,928)
Balance	974,331	779,897	670,151
Non-Controlling Interest [Member]
Statement [Line Items]
Balance	4,327	4,242	4,242
Increase in non-controlling interest	335	85
Other comprehensive income:
Balance	4,662	4,327	4,242
Balance	784,224	674,393	695,785
Stock-based compensation	9,056	6,964	5,021
Exercise of stock options (awards)	17,894	5,042	5,795
Tax benefit from stock options	6,082	2,287	6,100
Convertible Notes discount			46,280
Tax benefit from Convertible Notes discount			(17,860)
Increase in non-controlling interest	335	85
Purchase of common stock			(19,800)
Net earnings	113,426	62,304	81,930
Pension funded status adjustment, net of tax	1,967	(685)	544
Unrealized income on derivative instruments, net of tax	9,470	2,626	1,250
Foreign currency translation adjustment	36,539	31,208	(130,652)
Comprehensive income (loss)	161,402	95,453	(46,928)
Balance	$ 978,993	$ 784,224	$ 674,393

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2011	Mar. 31, 2010	Mar. 31, 2009
Cash flows from operating activities
Net earnings	$ 113,426	$ 62,304	$ 81,930
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation and amortization	44,393	44,851	47,233
Write-off of deferred financing fees	2,308		3,963
Bargain purchase gain		(2,919)
Gain on sales of facilities			(11,308)
Provision for doubtful accounts	1,513	2,712	4,873
Deferred income taxes	(3,064)	6,975	8,828
Non-cash interest expense	7,776	7,163	5,994
Stock-based compensation	9,056	6,964	5,021
(Gain)/loss on disposal and impairment of fixed assets		(912)	6,219
Changes in assets and liabilities, net of effects of acquisitions:
Accounts receivable	(61,892)	(7,303)	85,915
Inventory	(67,250)	(23,445)	90,930
Prepaid expenses and other current assets	(15,658)	(1,075)	(1,509)
Other assets	(2,552)	(1,218)	142
Accounts payable	42,422	59,116	(109,712)
Accrued expenses	(3,822)	(5,816)	4,895
Other liabilities	9,803	(10,795)	(3,977)
Net cash provided by operating activities	76,459	136,602	219,437
Cash flows from investing activities
Capital expenditures	(59,940)	(45,111)	(57,143)
Purchase of businesses, net of cash acquired	(32,200)	(33,242)
Proceeds from disposal of property, plant, and equipment	479	1,109	10,333
Net cash used in investing activities	(91,661)	(77,244)	(46,810)
Cash flows from financing activities
Net increase (decrease) in short-term debt	3,084	(7,436)	(34,195)
Proceeds from the issuance of long-term debt	106,112		397,500
Deferred financing fees	(3,500)		(10,950)
Payments of long-term debt	(212,238)	(25,243)	(367,018)
Capital lease obligations and other	(111)	878	(628)
Exercise of stock options	17,894	5,042	5,795
Purchase of treasury stock			(19,800)
Tax benefits from exercise of stock options	6,082	2,287	6,100
Net cash used in financing activities	(82,677)	(24,472)	(23,196)
Effect of exchange rate changes on cash	5,706	2,995	(6,890)
Net (decrease) increase in cash and cash equivalents	(92,173)	37,881	142,541
Cash and cash equivalents at beginning of year	201,042	163,161	20,620
Cash and cash equivalents at end of year	$ 108,869	$ 201,042	$ 163,161

Summary of Significant Accounting Policies	12 Months Ended
Summary of Significant Accounting Policies	Mar. 31, 2011
Summary of Significant Accounting Policies
Summary of Significant Accounting Policies	1. Summary of Significant Accounting Policies *Description of Business* EnerSys and its predecessor companies have been manufacturers of industrial batteries for over 100 years. Morgan Stanley Capital Partners (currently Metalmark Capital) teamed with the management of Yuasa, Inc. in late 2000 to acquire from Yuasa Corporation its reserve power and motive power battery businesses in the Americas. The Company was incorporated in October 2000 for the purpose of completing the Yuasa, Inc. acquisition from Yuasa Corporation. The acquired businesses included the Exide, General Battery and Yuasa brands. On January 1, 2001, the Company changed its name from Yuasa, Inc. to EnerSys to reflect its focus on the energy systems nature of its businesses. In March 2002, the Company acquired the worldwide reserve power and motive power business of the Energy Storage Group (ESG), of Invensys plc (Invensys), whose principal brands were Hawker, PowerSafe and DataSafe. The Company has since made numerous other smaller acquisitions. *Principles of Consolidation* The consolidated financial statements include the accounts of the Company and its majority-owned and wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated. *Foreign Currency Translation* Results of foreign operations are translated into U.S. dollars using average exchange rates during the period. The assets and liabilities are translated into U.S. dollars using current rates as of the balance sheet date. Gains or losses resulting from translating the foreign currency financial statements are accumulated as a separate component of accumulated other comprehensive income ("AOCI") in EnerSys' stockholders' equity. Transaction gains and losses resulting from exchange rate changes on transactions denominated in currencies other than the functional currency of the applicable subsidiary are included in other (income) expense, net, in the year in which the change occurs. *Revenue Recognition* The Company recognizes revenue when the earnings process is complete. This occurs when the Company ships in accordance with terms of the underlying agreement, title transfers, collectability is reasonably assured and pricing is fixed and determinable. Shipment terms to our battery product customers are primarily shipping point or destination and do not differ significantly between the Company's business segments. Accordingly, revenue is recognized when title is transferred to the customer. Amounts invoiced to customers for shipping and handling are classified as revenue. Taxes on revenue producing transactions are not included in net sales. The Company recognizes revenue from the service of its reserve power and motive power products when the respective services are performed. Accruals are made at the time of sale for sales returns and other allowances based on the Company's historical experience. *Freight Expense* Amounts billed to customers for outbound freight costs are classified as sales in the consolidated statements of income. Costs incurred by the Company for outbound freight costs to customers, inbound and transfer freight are classified in cost of goods sold. *Warranties* Substantially all of the Company's products are warranted for a period of one to twenty years. The Company provides for estimated product warranty expenses when the related products are sold. *Cash and Cash Equivalents* Cash and cash equivalents include all highly liquid investments with an original maturity of three months or less when purchased. *Concentration of Credit Risk* Financial instruments that subject the Company to potential concentration of credit risk consist principally of short-term cash investments and trade accounts receivable. The Company invests its cash with various financial institutions and in various investment instruments limiting the amount of credit exposure to any one financial institution or entity. The Company has bank deposits that exceed federally-insured limits. In addition, certain cash investments may be made in U.S. and foreign government bonds, or other highly rated investments guaranteed by the U.S. or foreign governments. Concentration of credit risk with respect to trade receivables is limited by a large, diversified customer base and its geographic dispersion. The Company performs ongoing credit evaluations of its customers' financial condition and requires collateral, such as letters of credit, in certain circumstances. *Accounts Receivable* The Company maintains allowances for doubtful accounts for estimated losses resulting from the inability of customers to make required payments. The allowance is based on management's estimate of uncollectible accounts, analysis of historical data and trends, as well as reviews of all relevant factors concerning the financial capability of its customers. Accounts receivable are considered to be past due based on how payments are received compared to the customer's credit terms. Accounts are written off when management determines the account is uncollectible. *Inventories* Inventories are stated at the lower of cost or market. Cost is determined using the first-in, first-out (FIFO) method. The cost of inventory consists of material, labor, and associated overhead. *Property, Plant, and Equipment* Property, plant, and equipment are recorded at cost and include expenditures that substantially increase the useful lives of the assets. Depreciation is provided using the straight-line method over the estimated useful lives of the assets as follows: 10 to 33 years for buildings and improvements and 3 to 15 years for machinery and equipment. Maintenance and repairs are expensed as incurred. Interest on capital projects is capitalized during the construction period. *Goodwill and Other Intangible Assets* The Company records the excess of purchase price over the fair value of the tangible and identifiable intangible assets acquired as goodwill. Goodwill and indefinite-lived trade names are tested for impairment at least annually and whenever events or circumstances occur indicating that a possible impairment may have incurred. The Company utilizes financial projections of its business segments, certain cash flow measures, as well as its market capitalization in its determination of the fair value of these assets. Finite-lived assets such as purchased and licensed technology, patents and customer lists are amortized over their estimated useful lives, generally over periods ranging from 3 to 20 years. The Company reviews the carrying values of these assets for possible impairment whenever events or changes in circumstances indicate that the carrying value of an asset may not be recoverable based on undiscounted estimated cash flows expected to result from its use and eventual disposition. The Company continually evaluates the reasonableness of the useful lives of these assets. Once these assets are fully amortized, they are removed from the Consolidated Balance Sheets. *Impairment of Long-Lived Assets* The Company reviews the carrying values of its property and equipment for possible impairment whenever events or changes in circumstances indicate that the carrying value of an asset may not be recoverable based on undiscounted estimated cash flows expected to result from its use and eventual disposition. The factors considered by the Company in performing this assessment include current operating results, trends and other economic factors. In assessing the recoverability of the carrying value of the property and equipment, the Company must make assumptions regarding future cash flows and other factors. If these estimates or the related assumptions change in the future, the Company may be required to record an impairment loss for these assets. *Environmental Expenditures* The Company records a loss and establishes a reserve for environmental remediation liabilities when it is probable that an asset has been impaired or a liability exists and the amount of the liability can be reasonably estimated. Reasonable estimates involve judgments made by management after considering a broad range of information including: notifications, demands or settlements that have been received from a regulatory authority or private party, estimates performed by independent engineering companies and outside counsel, available facts existing and proposed technology, the identification of other potentially responsible parties, their ability to contribute and prior experience. These judgments are reviewed quarterly as more information is received and the amounts reserved are updated as necessary. However, the reserves may materially differ from ultimate actual liabilities if the loss contingency is difficult to estimate or if management's judgments turn out to be inaccurate. If management believes no best estimate exists, the minimum probable loss is accrued. *Fair Value of Financial Instruments* The fair value of the Company's cash and cash equivalents, accounts receivable and accounts payable approximate carrying value due to their short maturities. The fair value of the Company's new $350,000 senior secured revolving credit facility ("2011 Credit Facility"), the 75,000 Chinese Renminbi ("RMB") credit facility ("China Term Loan") and short-term debt approximate their carrying value, as they are variable rate debt and the current terms are comparable to market terms as of the balance sheet dates. The fair value amounts of the Company's $172,500 senior unsecured 3.375% convertible notes ("Convertible Notes") represent the trading values of the Convertible Notes which is based upon quoted market prices. The fair value of interest rate swap agreements is based on observable prices as quoted for receiving the variable three month London Interbank Offered Rates ("LIBOR") and paying fixed interest rates. The fair value of lead forward contracts is calculated using observable prices for lead as quoted on the London Metal Exchange ("LME"). The fair value for foreign currency forward contracts are based upon current quoted market prices. *Income Taxes* The Company accounts for income taxes in accordance with the Financial Accounting Standards Board ("FASB") guidance, which requires deferred tax assets and liabilities be recognized using enacted tax rates to measure the effect of temporary differences between book and tax bases on recorded assets and liabilities. FASB guidance also requires that deferred tax assets be reduced by a valuation allowance, if it is more likely than not some portion or all of the deferred tax assets will not be recognized. The Company evaluates on a quarterly basis its ability to realize deferred tax assets by assessing its valuation allowance and by adjusting the amount of such allowance, if necessary. The factors used to assess the likelihood of realization are forecasts of future taxable income and available tax planning strategies that could be implemented to realize the net deferred tax assets. In accordance with FASB guidance on accounting for uncertainty in income taxes, the Company evaluates tax positions to determine whether the benefits of tax positions are more likely than not of being sustained upon audit based on the technical merits of the tax position. For tax positions that are more likely than not of being sustained upon audit, the Company recognizes the largest amount of the benefit that is greater than 50% likely of being realized upon ultimate settlement. For tax positions that are not more likely than not of being sustained upon audit, the Company does not recognize any portion of the benefit. If the more likely than not threshold is not met in the period for which a tax position is taken, the Company may subsequently recognize the benefit of that tax position if the tax matter is effectively settled, the statute of limitations expires, or if the more likely than not threshold is met in a subsequent period. *Deferred Financing Fees* Debt issuance costs that are incurred by the Company in connection with the issuance of debt are deferred and amortized to interest expense over the life of the underlying indebtedness, adjusted to reflect any early repayments. *Derivative Financial Instruments* The Company utilizes derivative instruments to mitigate volatility related to interest rates, lead prices and foreign currency exposures. The Company does not hold or issue derivative financial instruments for trading or speculative purposes. The Company recognizes derivatives as either assets or liabilities in the accompanying balance sheet and measures those instruments at fair value. Changes in the fair value of those instruments are reported in AOCI if they qualify for hedge accounting or in earnings if they do not qualify for hedge accounting. Derivatives qualify for hedge accounting if they are designated as hedge instruments and if the hedge is highly effective in achieving offsetting changes in the fair value or cash flows of the asset or liability hedged. Effectiveness is measured on a regular basis using statistical analysis and by comparing the overall changes in the expected cash flows on the lead and foreign currency forward contracts with the changes in the expected all-in cash outflow required for the lead and foreign currency purchases. This analysis is performed on the initial purchases quarterly that cover the quantities hedged. Accordingly, gains and losses from changes in derivative fair value of effective hedges are deferred until the underlying transaction affects earnings. Interest expense on the debt is adjusted to include the payments made or received under such interest rate swap agreements. Cost of goods sold is adjusted to include the payments made or received under such lead and foreign currency forward contracts. *Retirement Plans* The Company accounts for retirement plans in accordance with FASB guidance on employers' accounting for defined benefit pension benefit plans, which requires an entity to recognize in its statement of financial position an asset for a defined benefit postretirement plan's overfunded status or a liability for a plan's underfunded status, and to measure a defined benefit postretirement plan's assets and obligation that determine its funded status as of the end of the balance sheet date. The Company uses certain assumptions in the calculation of the actuarial valuations of its defined benefit plans. These assumptions include the weighted average discount rate, rates of increase in compensation levels and expected long-term rates of return of plan assets. If actual results are less favorable than those projected by the Company, additional expense may be required. *Stock-Based Compensation Plans* The Company accounts for stock compensation in accordance with FASB guidance, which requires the Company to measure the cost of employee services received in exchange for the award of an equity instrument based on the grant-date fair value of the award, with such cost recognized over the applicable vesting period. In addition, the guidance requires an entity to provide certain disclosures in order to assist in understanding the nature of share-based payment transactions and the effects of those transactions on the financial statements. Market Share Units The fair value of the market share units is estimated at the date of grant using a binomial matrix-pricing model with the following assumptions: a risk-free interest rate, dividend yield, time to maturity and expected volatility. These units vest and are settled in common stock on the third anniversary of the date of grant. Market share units are converted into between zero and two shares of common stock for each unit granted at the end of a three-year performance cycle. The conversion ratio is calculated by dividing the average closing share price of the Company's common stock during the ninety calendar days immediately preceding the vesting date by the average closing share price of the Company's common stock during the ninety calendar days immediately preceding the grant date, with the resulting quotient capped at two. This quotient is then multiplied by the number of market share units granted to yield the number of shares of common stock to be delivered on the vesting date. The Company recognizes compensation expense using the straight-line method over the life of the market share units. Restricted Stock and Restricted Stock Units The fair value of restricted stock and restricted stock units are based on the closing market price of the Company's common stock on the date of grant. These awards generally vest, and are settled in common stock, at 25% per year, over a four-year period from the date of grant. The Company recognizes compensation expense using the straight-line method over the life of the restricted stock and restricted stock units. Stock Options The fair value of the options granted is estimated at the date of grant using the Black-Scholes option-pricing model utilizing assumptions based on historical data and current market data. The assumptions include expected term of the options, risk-free interest rate, expected volatility, and dividend yield. The expected term represents the expected amount of time that options granted are expected to be outstanding, based on historical and forecasted exercise behavior. The risk-free rate is based on the rate at grant date of zero-coupon U.S. Treasury Notes with a term equal to the expected term of the option. Expected volatility is estimated using historical volatility rates based on historical weekly price changes. The Company's dividend yield is based on historical data. The Company recognizes compensation expense using the straight-line method over the vesting period of the options. *Earnings Per Share* Basic earnings per common share ("EPS") are computed by dividing net earnings available to common stockholders by the weighted average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that would occur if securities or other contracts to issue common stock were exercised or converted into common stock. At March 31, 2011 and 2010, the Company had outstanding stock options, restricted stock, restricted stock units, market share units and Convertible Notes, which could potentially dilute basic earnings per share in the future. *Segment Reporting* FASB guidance defines that a segment for reporting purposes, is based on the financial performance measures that are regularly reviewed by the chief operating decision maker to assess segment performance and to make decisions about a public entity's allocation of resources. Based on this guidance, the Company reports its segment results based upon the three geographical regions of operations—Americas, Europe and Asia. *New Accounting Pronouncements* In December 2010, FASB issued an amendment related to the pro forma revenue and earnings disclosure requirements for business combinations. The guidance requires a public entity to disclose pro forma information for business combinations that occurred in the current reporting period as though the acquisition date for all business combinations that occurred during the year had been as of the beginning of the comparable prior annual reporting period. The guidance also expands the supplemental pro forma disclosures to include a description of the nature and amount of material, nonrecurring pro forma adjustments directly attributable to the business combination included in the reported pro forma revenue and earnings. The guidance is effective prospectively for business combinations for which the acquisition date is on or after the beginning of the first annual reporting period beginning on or after December 15, 2010. The Company expects that the adoption of the guidance will have an impact on its consolidated financial statements, in the event that the Company acquires companies significant to its operations in the future. *Use of Estimates* The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates.

Debt

12 Months Ended

Mar. 31, 2011

Debt

Debt

8. Debt

Summary of Long-Term Debt

The following summarizes the Company's long-term debt:


	March 31,
	2011		2010
3.375% Convertible Notes, net of discount, due 2038	$	141,837	$	135,920
2011 Credit Facility due 2016		100,000		—
2008 Credit Facility due 2014		—		201,094
China Term Loan due 2017		6,112		—
Euro Term Loan due 2011		—		11,158
Other		43		41

		247,992		348,213
Less current portion		43		26,045

Total long-term debt	$	247,949	$	322,168

2011 Senior Secured Revolving Credit Facility

On March 29, 2011, the Company entered into a new $350,000 senior secured revolving credit facility ("2011 Credit Facility"). At the time of closing, the Company borrowed $100,000 and used $88,400 of its available cash to repay and extinguish the existing Term A Loan and replace the existing undrawn $125,000 revolving credit facility, which comprised the 2008 Credit Facility. The 2011 Credit Facility matures on March 31, 2016. This facility includes an early termination provision under which the Company is required to meet a liquidity test in February 2015 related to its capacity to meet certain potential obligations related to the Convertible Notes in June 2015. Borrowings under the 2011 Credit Facility bear interest at a floating rate based, at the Company's option, upon (i) London Interbank Offered Rate ("LIBOR") plus an applicable percentage (currently 1.50%), (ii) the greater of the Federal Funds rate plus 0.50% or the prime rate, or one-month LIBOR plus 1.0%, plus an applicable percentage (currently 0.50%). There are no prepayment penalties on loans under the 2011 Credit Facility. The interest rate at the end of March 31, 2011 was 3.75%.

Obligations under the 2011 Credit Facility are secured by substantially all of the Company's existing and future acquired assets, including substantially all of the capital stock of the Company's United States subsidiaries that are guarantors under the new credit facility, and 65% of the capital stock of certain of the Company's foreign subsidiaries that are owned by the Company's United States companies.

China Term Loan

During the fourth quarter of fiscal 2011, the Company completed the financing of a 75,000 Chinese Renminbi (RMB) ($11,500) credit facility ("China Term Loan"). This is a six year term loan to provide a portion of the capital requirements for the Company's operations in China. At March 31, 2011, the Company had drawn RMB 40,000 ($6,112). This term loan currently bears interest at a rate of 7.26% per annum, adjusted annually, based on the official Peoples Bank of China Bank Rate and is payable in quarterly installments of RMB 2,000 ($305) commencing in April 2012.

Senior Unsecured 3.375% Convertible Notes

On May 28, 2008, the Company completed a registered offering of $172,500 aggregate principal amount of senior unsecured 3.375% Convertible Notes Due 2038 ("Convertible Notes") (see prospectus and supplemental indenture dated May 28, 2008). The Company received net proceeds of $168,200 after the deduction of commissions and offering expenses. The Company used all of the net proceeds to repay a portion of its then existing 2004 senior secured credit facility.

The Convertible Notes are general senior unsecured obligations and rank equally with the Company's existing and future senior unsecured obligations and are junior to any of the Company's future secured obligations to the extent of the value of the collateral securing such obligations. The Convertible Notes are not guaranteed, and are structurally subordinate in right of payment to, all of the (i) existing and future indebtedness and other liabilities of the Company's subsidiaries and (ii) preferred stock of the Company's subsidiaries to the extent of their respective liquidation preferences.

The Convertible Notes require the semi-annual payment of interest in arrears on June 1 and December 1 of each year beginning December 1, 2008, at 3.375% per annum on the principal amount outstanding. The Convertible Notes will accrete principal beginning on June 1, 2015 and will bear contingent interest, if any, beginning with the six-month interest period commencing on June 1, 2015 under certain circumstances. The Convertible Notes will mature on June 1, 2038. Prior to maturity the holders may convert their Convertible Notes into shares of the Company's common stock at any time after March 1, 2015 or prior to that date under certain circumstances. When issued, the initial conversion rate was 24.6305 shares per $1,000 principal amount of Convertible Notes, which was equivalent to an initial conversion price of $40.60 per share.

At any time after June 6, 2015, the Company may at its option redeem the Convertible Notes, in whole or in part, for cash, at a redemption price equal to 100% of the accreted principal amount of Convertible Notes to be redeemed, plus any accrued and unpaid interest. A holder of Convertible Notes may require the Company to repurchase some or all of the holder's Convertible Notes for cash upon the occurrence of a fundamental change as defined in the indenture and on each of June 1, 2015, 2018, 2023, 2028 and 2033 at a price equal to 100% of the accreted principal amount of the Convertible Notes being repurchased, plus accrued and unpaid interest, if any, in each case. It is the Company's current intent to settle the principal amount of any conversions in cash, and any additional conversion consideration in cash, shares of EnerSys common stock or a combination of cash and shares. The Convertible Notes will mature on June 1, 2038, unless earlier converted, redeemed or repurchased.

If applicable, the Company will pay a make-whole premium on Convertible Notes converted in connection with certain fundamental changes that occur prior to June 6, 2015. The amount of the make-whole premium, if any, will be based on the Company's stock price and the effective date of the fundamental change. The indenture contains a detailed description of how the make-whole premium will be determined and a table showing the make-whole premium that would apply at various stock prices. No make-whole premium would be paid if the price of the Common Stock on the effective date of the fundamental change is less than $29.00. Any make-whole premium will be payable in shares of Common Stock (or the consideration into which the Company's Common Stock has been exchanged in the fundamental change) on the conversion date for the Convertible Notes converted in connection with the fundamental change.

The Convertible Notes were issued in an offering registered under the Securities Act of 1933, as amended (Securities Act).

In accordance with FASB guidance on the accounting for convertible debt instruments that may be settled in cash upon conversion (including partial settlement), the liability and equity components are separated in a manner that will reflect the entity's non-convertible debt borrowing rate when interest expense is recognized in subsequent periods.

The following represents the principal amount of the liability component, the unamortized discount, and the net carrying amount of our Convertible Notes as of March 31, 2011 and March 31, 2010, respectively:


	March 31, 2011			March 31, 2010
Principal	$	172,500		$	172,500
Unamortized discount		(30,663	)		(36,580	)

Net carrying amount	$	141,837		$	135,920

As of March 31, 2011, the remaining discount will be amortized over a period of 50 months. The conversion price of the $172,500 in aggregate principal amount of the Convertible Notes is $40.60 per share and the number of shares on which the aggregate consideration to be delivered upon conversion is 4,248,761.

The effective interest rate on the liability component of the Convertible Notes was 8.50%. The amount of interest cost recognized for the amortization of the discount on the liability component of the Convertible Notes was $5,917 and $5,439, respectively, for the fiscal years ended March 31, 2011 and 2010.

2008 Senior Secured Credit Facility

In June 2008, the Company completed the refinancing of approximately $192,000 of the outstanding combined balance of the senior secured Term Loan B and its then existing revolving credit facility (2004 Credit Facility) with a $350,000 senior secured credit facility comprising a $225,000 Term A Loan and a $125,000 revolving credit facility (2008 Credit Facility).

The $225,000 senior secured Term A Loan, a component of the 2008 Credit Facility, was subject to a quarterly principal amortization of 1.25% in Year 1, 1.88% in Years 2-3, 2.50% in Year 4, 3.13% in Year 5 and 14.38% in Year 6 and was due to mature on June 27, 2014. The $125,000 revolving credit facility was due to mature on June 27, 2013. Borrowings under the credit agreements bore interest at a floating rate based, at the Company's option, upon (i) LIBOR plus an applicable percentage (1.25% at March 28, 2011), or (ii) the greater of the federal funds rate plus 0.50% or the prime rate, plus an applicable percentage (0.25% at March 28, 2011). There were no prepayment penalties on loans under the 2008 Credit Facility.

Euro Term Loan

On June 15, 2005, the Company entered in a Euro 25,000 Credit Facility Agreement among EnerSys Holdings (Luxembourg), S.a.r.l., San Paolo IMI S.p.A., as Facility Agent and lender, and Banca Intesa S.p.A., as lender (the "Euro Term Loan"). The proceeds from the Euro Term Loan were used to reduce the outstanding balance of the 2008 Credit Facility that was utilized as bridge financing for the June 1, 2005 acquisition of the motive power battery business of FIAMM S.p.A. The original maturity date of the Euro Term Loan was June 30, 2011, but the loan was repaid in full on September 30, 2010.

As of March 31, 2011 and 2010, the Company had available and undrawn, under all its lines of credit, $356,447 and $247,400, respectively. Included in the March 31, 2011 and 2010 amounts are $95,049 and $116,788, respectively, of uncommitted lines of credit.

The Company paid $16,101, $16,456 and $21,026, net of interest received, for interest during the fiscal years ended March 31, 2011, 2010 and 2009, respectively.

Aggregate maturities of long-term debt (including $30,663 of Convertible Notes discount) are as follows at March 31, 2011:


2012	$	43
2013		1,222
2014		1,222
2015		1,222
2016		273,722
Thereafter		1,224

	$	278,655

The Company's financing agreements contain various covenants, which, absent prepayment in full of the indebtedness and other obligations, or the receipt of waivers, would limit the Company's ability to conduct certain specified business transactions including incurring debt, mergers, consolidations or similar transactions, buying or selling assets out of the ordinary course of business, engaging in sale and leaseback transactions, paying dividends and certain other actions. The Company is in compliance with all such covenants.

As of March 31, 2011 and 2010, the Company had $1,150 of standby letters of credit outstanding that reduced the borrowings available under the 2008 and 2011 Credit Facilities. As of March 31, 2011 and 2010, the Company had no bank guarantees.

Deferred Financing Fees

In fiscal 2011, in connection with the refinancing under the 2011 Credit Facility, the Company wrote-off $2,308 of unamortized deferred financing fees associated with the 2008 Credit Facility, and incurred $3,500 in new deferred financing fees.

In fiscal 2009, in connection with the issuance of the Convertible Notes in May 2008 and the refinancing under the 2008 Credit Facility in June 2008, the Company wrote-off $3,963 of unamortized deferred financing fees associated with the 2004 Credit Facility, and incurred $10,950 in new deferred financing fees.

Deferred financing fees, net of accumulated amortization totaled $5,912 and $6,581 as of March 31, 2011 and 2010, respectively. Amortization expense included in interest expense was $1,861, $1,724, and $1,733 for the fiscal years ended March 31, 2011, 2010 and 2009, respectively.

Fair Value of Financial Instruments

12 Months Ended

Mar. 31, 2011

Fair Value of Financial Instruments

Fair Value of Financial Instruments

11. Fair Value Of Financial Instruments

FASB guidance defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. This guidance includes a fair value hierarchy that is intended to increase consistency and comparability in fair value measurements and related disclosures. The fair value hierarchy is based on inputs to valuation techniques that are used to measure fair value that are either observable or unobservable. Observable inputs reflect assumptions market participants would use in pricing an asset or liability based on market data obtained from independent sources while unobservable inputs reflect a reporting entity's pricing based upon their own market assumptions. The Company uses the following valuation techniques to measure fair value for its financial assets and financial liabilities:


Level 1		Inputs are unadjusted quoted prices in active markets for identical assets or liabilities.

Level 2		Inputs are quoted prices for similar assets or liabilities in an active market, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable and market-corroborated inputs which are derived principally from or corroborated by observable market data.

Level 3		Inputs are derived from valuation techniques in which one or more significant inputs or value drivers are unobservable.

The following tables represent the financial assets and (liabilities), measured at fair value on a recurring basis as of March 31, 2011 and March 31, 2010 and the basis for that measurement:


	Total Fair Value Measurement March 31, 2011			Quoted Price in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)			Significant Unobservable Inputs (Level 3)
Interest rate swap agreements	$	(5,847	)	$	—	$	(5,847	)	$	—
Lead forward contracts		9,575			—		9,575			—
Foreign currency forward contracts		(2,591	)		—		(2,591	)		—

Total derivatives	$	1,137		$	—	$	1,137		$	—


	Total Fair Value Measurement March 31, 2010			Quoted Price in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)			Significant Unobservable Inputs (Level 3)
Interest rate swap agreements	$	(9,710	)	$	—	$	(9,710	)	$	—
Lead forward contracts		62			—		62			—
Foreign currency forward contracts		1,911			—		1,911			—

Total derivatives	$	(7,737	)	$	—	$	(7,737	)	$	—

The fair value of interest rate swap agreements are based on observable prices as quoted for receiving the variable three month LIBOR and paying fixed interest rates and, therefore, were classified as Level 2.

The fair value of lead forward contracts are calculated using observable prices for lead as quoted on the London Metal Exchange ("LME") and, therefore, were classified as Level 2.

The fair value for foreign currency forward contracts are based upon current quoted market prices and are classified as Level 2 based on the nature of the underlying market in which these derivatives are traded.

Financial Instruments

The fair value of the Company's cash and cash equivalents, accounts receivable and accounts payable approximate carrying value due to their short maturities.

The fair value of the Company's 2011 Credit Facility, the China Term Loan and short-term debt approximate their carrying value, as they are variable rate debt and the current terms are comparable to market terms as of the balance sheet dates.

The fair value of the Company's senior secured credit facility approximates its carrying value, as it is variable rate debt. The Convertible Notes, with a face value of $172,500, were issued when the Company's stock price was trading at $30.19 per share. On March 31, 2011, the Company's stock price closed at $39.75 per share. The Convertible Notes have a conversion option at $40.60 per share, and due to current conditions in the financial markets, the Company's Convertible Notes were trading at 125% of face value on March 31, 2011, and 94% of face value on March 31, 2010. As of March 31, 2011 and 2010, the unamortized discount on the Convertible Notes was $30,663 and $36,580, respectively, and was included in the equity component of the Consolidated Balance Sheets in accordance with the accounting guidance (see Note 8 regarding Debt).

The carrying amounts and estimated fair values of the Company's derivatives and Convertible Notes at March 31, 2011 and 2010 were as follows:


	March 31, 2011						March 31, 2010
	Carrying Amount			Fair Value			Carrying Amount			Fair Value
Financial assets:
Derivatives⁽¹⁾	$	9,575		$	9,575		$	1,973		$	1,973

Financial liabilities:
Convertible Notes	$	141,837	⁽²⁾	$	215,625	⁽³⁾	$	135,920	⁽²⁾	$	161,978	⁽³⁾
Derivatives⁽¹⁾		8,438			8,438			9,710			9,710

(1)

Represents interest rate swap agreements, lead and foreign currency hedges (see Note 12 for asset and liability positions of the interest rate swap agreements, lead and foreign currency hedges at March 31, 2011 and March 31, 2010).

(2)

The carrying amounts of the Convertible Notes at March 31, 2011 and March 31, 2010 represent the $172,500 principal value, less the unamortized debt discount (see Note 8).

(3)

The fair value amounts of the Convertible Notes represent the trading values of the Convertible Notes with a principal value of $172,500 at March 31, 2011 and March 31, 2010.

Derivative Financial Instruments

12 Months Ended

Mar. 31, 2011

Derivative Financial Instruments

Derivative Financial Instruments

12. Derivative Financial Instruments

The Company utilizes derivative instruments to reduce its exposure to interest rate, commodity price and foreign exchange risks under established procedures and controls. The Company does not enter into derivative contracts for speculative purposes. The Company's agreements are with creditworthy financial institutions. Those contracts that result in a liability position at March 31, 2011 are $8,438 and therefore the Company believes there is no risk of nonperformance by the counterparties. Those contracts that result in an asset position at March 31, 2011 are $9,575. Although there is no collateral with these agreements, the associated risk of nonperformance is not considered material as the vast majority of these will settle within one year.

Interest Rate Swap Agreements

The Company is exposed to changes in variable interest rates on borrowings under the credit agreements. On a selective basis, from time to time, the Company enters into interest rate swap agreements to reduce the negative impact that increases in interest rates could have on its outstanding variable rate debt.

As of March 31, 2011, such agreements effectively converted $85,000, of the variable-rate debt to a fixed-rate basis, utilizing the three-month LIBOR, as a floating rate reference. Fluctuations in LIBOR and fixed rates affect both the Company's net financial investment position and the amount of cash to be paid or received by the Company under these agreements.

Cash flow hedges are discontinued if it is no longer probable that the original forecasted transaction will occur by the end of the originally specified time periods and any amount previously recorded in AOCI is reclassified to earnings. On March 29, 2011, the Company refinanced its 2008 Credit Facility that rendered the interest rate swaps ineligible for hedge accounting. Consequently, $5,847 that was previously recorded in AOCI relating to these instruments was charged to the income statement, under the caption "Charges related to refinancing." Changes in fair value of the instruments between March 29, 2011 and March 31, 2011 were deemed insignificant but all such future changes in the fair value will be recorded in the income statement under the caption "Other income (expense), net." As of March 31, 2011, the notional value of these derivatives was $85,000 and these agreements will expire between February – May 2013.

The Company recorded unrealized losses on interest rate swaps in AOCI, of $2,835, $3,141 and $5,667 for the fiscal years ended March 31, 2011, 2010 and 2009, respectively, when the swaps were effective. The estimated fair value of the Company's interest rate swap agreements was a liability of $5,847 and $9,710 at March 31, 2011 and 2010, respectively, based on quotes from market makers of these instruments. The Company recorded expense of $6,698, $7,059 and $3,632 in fiscal 2011, 2010 and 2009, respectively, which was recorded as an increase in interest expense.

Lead Hedge Contracts

During the fiscal years ending March 31, 2011, 2010 and 2009, the Company entered into lead hedge contracts to fix the price for lead purchases. Management considers the lead hedge contracts to be highly effective against changes in the cash flows of the underlying lead purchases based on the criteria under FASB guidance. The vast majority of such contracts are for a period not extending beyond one year. The Company recorded unrealized gains (losses) on lead hedge contracts of $15,930, $9,844 and ($44,863), for the fiscal years ended March 31, 2011, 2010 and 2009, respectively, which are included in AOCI. The estimated fair value of open lead hedge contracts at March 31, 2011 and 2010 was an asset position of $9,575 and $62, respectively. The realized net gain (loss) on the settlement of lead hedge contracts during fiscal 2011, 2010 and 2009, was $6,417, $11,973, and ($45,369), respectively, which was recorded as a decrease (increase) in cost of goods sold.

Foreign Currency Forward Contracts

On a selective basis the Company will enter into foreign currency forward contracts and option contracts to reduce the volatility from currency movements that affect the Company. The Company's largest exposure is from the purchase and conversion of U.S. dollar based lead costs into local currencies in Europe, China and Mexico and from intercompany loan and receivable transactions. To hedge these exposures the Company may enter into foreign currency forward contracts and option contracts with financial institutions. Each contract is for a period not extending beyond one year. As of March 31, 2011 and 2010, the Company had entered into a total of $82,829 and $64,234, respectively, foreign currency forward contracts. The Company recorded an unrealized (loss) gain on foreign currency forward contracts of ($4,031), $2,679 and $206 for the fiscal years ended March 31, 2011, 2010 and 2009 respectively, which is included in AOCI. The estimated fair value of open foreign currency forward contracts at March 31, 2011 and 2010 was a (liability) asset of ($2,591) and $1,911, respectively. The realized net gain (loss) on foreign currency hedge contracts during fiscal 2011, 2010 and 2009 was $471, $428 and ($3,255), respectively, which was recorded as a decrease (increase) in cost of goods sold.

Presented below in tabular form is information on the location and amounts of derivative fair values in the Consolidated Balance Sheets and derivative gains and losses in the Consolidated Statements of Income:

Fair Value of Derivative Instruments

March 31, 2011 and 2010


		Asset Derivatives				Balance Sheet Location	Liability Derivatives
Derivatives Designated as Hedging Instruments	Balance Sheet Location	March 31, 2011		March 31, 2010			March 31, 2011		March 31, 2010
Derivatives Designated as Hedging Instruments	Balance Sheet Location	Fair Value		Fair Value			Fair Value		Fair Value
Interest rate swap agreements	Other liabilities	$	—	$	—	Other liabilities	$	—	$	9,710
Lead hedge contracts	Prepaid and other current assets		9,575		62	Accrued expenses		—		—
Foreign currency forward contracts	Prepaid and other current assets		—		1,911	Accrued expenses		2,591		—

Total Derivatives Designated as Hedging Instruments		$	9,575	$	1,973		$	2,591	$	9,710

Fair Value of Derivative Instruments

March 31, 2011 and 2010


		Asset Derivatives				Balance Sheet Location	Liability Derivatives
Derivatives Not Designated as Hedging Instruments	Balance Sheet Location	March 31, 2011		March 31, 2010			March 31, 2011		March 31, 2010
Derivatives Not Designated as Hedging Instruments	Balance Sheet Location	Fair Value		Fair Value			Fair Value		Fair Value
Interest rate swap agreements	Other Assets	$	—	$	—	Other liabilities	$	5,847	$	—

Total Derivatives Not Designated as Hedging Instruments		$	—	$	—		$	5,847	$	—

The Effect of Derivative Instruments on the Consolidated Statements of Income

For the fiscal years ending March 31, 2011 and 2010


Derivatives in Cash Flow Hedging Relationships	Amount of Pretax Gain (Loss) Recognized in Accumulated OCI⁽¹⁾ on Derivatives (Effective Portion)						Location of Gain (Loss) Reclassified from Accumulated OCI⁽¹⁾ into Income (Effective Portion)	Amount of Pretax Gain (Loss) Reclassified from Accumulated OCI⁽¹⁾ into Income (Effective Portion)
	March 31, 2011			March 31, 2010				March 31, 2011			March 31, 2010
Interest rate swap agreements	$	(2,835	)	$	(3,141	)	Interest expense	$	(6,698	)	$	(7,059	)
Lead hedge contracts		15,930			9,844		Cost of goods sold		6,417			11,973
Foreign currency forward contracts		(4,031	)		2,679		Cost of goods sold		471			428

Total Derivatives Designated as Hedging Instruments	$	9,064		$	9,382			$	190		$	5,342


Derivatives Not Designated as Hedging Relationships	Amount of Pretax Gain (Loss) Recognized in Income on Derivatives (Ineffective Portion)					Location of Loss Recognized in Income on Derivatives (Ineffective Portion)
	March 31, 2011			March 31, 2010
Interest rate swap agreements	$	(5,847	)	$	—	Charges related to refinancing

Total Derivatives Not Designated as Hedging Instruments	$	(5,847	)	$	—

(1)

OCI = Other comprehensive income

In the coming twelve months, the Company anticipates that $6,118 of the current pretax gain will be reclassified from AOCI as part of cost of goods sold. This amount represents the current unrealized impact of hedging lead and foreign exchange rates, which will change as market rates change in the future, and will ultimately be realized in the income statement as an offset to the corresponding actual changes in lead cost to be realized in connection with the variable lead cost and foreign exchange being hedged.

Income Taxes

12 Months Ended

Mar. 31, 2011

Income Taxes

Income Taxes

13. Income Taxes

Income tax expense is composed of the following:


	Fiscal year ended March 31,
	2011			2010			2009
Current:
Federal	$	24,232		$	9,000		$	10,793
State		2,736			(981	)		2,673
Foreign		14,114			9,957			14,876

Total current		41,082			17,976			28,342
Deferred:
Federal		(1,358	)		4,678			7,730
State		2,010			852			311
Foreign		(3,716	)		1,445			787

Total deferred		(3,064	)		6,975			8,828

Income tax expense	$	38,018		$	24,951		$	37,170

Earnings before income taxes consists of the following:


	Fiscal year ended March 31,
	2011		2010		2009
United States	$	57,710	$	37,418	$	21,545
Foreign		93,734		49,837		97,555

Earnings before income taxes	$	151,444	$	87,255	$	119,100

Income taxes paid by the Company for the fiscal years ended March 31, 2011, 2010 and 2009 were $41,800, $22,553 and $21,214, respectively.

The following table sets forth the tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities:


	March 31,
	2011			2010
Deferred tax assets:
Accounts receivable	$	1,304		$	1,140
Inventories		6,669			4,626
Net operating loss carryforwards		78,236			69,469
Accrued liabilities and restructuring expenses		22,061			14,503
Other assets		9,200			9,189

Gross deferred tax assets		117,470			98,927
Less valuation allowance		(63,617	)		(58,382	)

Total deferred tax assets		53,853			40,545
Deferred tax liabilities:
Property, plant and equipment		31,945			28,288
Other intangible assets		43,440			38,363
Convertible Notes		20,727			19,363
Other liabilities		4,992			1,858

Total deferred tax liabilities		101,104			87,872

Net deferred tax liabilities	$	(47,251	)	$	(47,327	)

The Company has approximately $16,543 in United States federal net operating loss carryforwards, approximately $9,054 of which are limited by Section 382 of the Internal Revenue Code, that begin to expire in the year ending 2023. The Company has recorded a valuation allowance against approximately $8,515 of the losses limited by Section 382.

The net operating loss carryforwards at March 31, 2011 related to the Company's foreign subsidiaries are approximately $250,000. Some of these net operating loss carryforwards have an unlimited life, while others expire at various times over the next 20 years. In addition, the Company also had approximately $52,149 of net operating loss carryforwards for state tax purposes that expire at various times over the next 20 years. The Company has recorded a valuation allowance for net deferred tax assets in certain foreign and state tax jurisdictions, primarily related to net operating loss carryforwards, due to the significant losses incurred in these tax jurisdictions. As of March 31, 2011 and 2010, the valuation allowance associated with certain foreign and state tax jurisdictions was $55,738 and $50,698, respectively. During the fiscal years ended March 31, 2011 and 2010, the Company recorded tax benefits of $2,498 and $2,260, respectively, due to the utilization of net operating loss carryforwards in certain foreign subsidiaries.

A reconciliation of income taxes at the statutory rate to the income tax provision is as follows:


	Fiscal year ended March 31,
	2011			2010			2009
United States statutory income tax expense (at 35%)	$	53,005		$	30,539		$	41,685
Increase (decrease) resulting from:
State income taxes, net of federal effect		3,035			(116	)		1,942
Nondeductible expenses, domestic manufacturing deduction and other		(1,848	)		3,799			427
Effect of foreign operations		(14,841	)		(9,253	)		(9,374	)
Valuation allowance		(1,333	)		(18	)		2,490

Income tax expense	$	38,018		$	24,951		$	37,170

The effective income tax rate was 25.1 % in fiscal 2011, compared to 28.6 % in fiscal 2010 and 31.2 % in fiscal 2009. The fiscal 2011 tax expense includes a non-recurring tax benefit of approximately $3,145 attributable to the favorable settlement of foreign tax audits which reduced the effective tax rate by 2.1 percentage points. Similarly, the fiscal 2010 tax expense included a non-recurring tax benefit of approximately $2,141, attributable to the filing of amended tax returns which reduced the effective tax rate by 2.5 percentage points.

At March 31, 2011, the Company has not recorded United States income or foreign withholding taxes on approximately $374,000 of undistributed earnings of foreign subsidiaries that could be subject to taxation if remitted to the United States because the Company currently plans to keep these amounts permanently invested overseas.

The Company recognizes and measures uncertain tax positions taken, or expected to be taken, in a tax return in accordance with FASB guidance on accounting for uncertainty in income taxes.

A reconciliation of the beginning and ending amount of unrecognized tax benefits under FASB guidance is as follows:


March 31, 2008	$	13,310
Increases related to current year tax positions		6,509
Decreases related to prior year tax positions due to foreign currency translation		(724	)
Decreases related to prior year tax position settled		(4,886	)
Lapse of statute of limitations		(904	)

March 31, 2009	$	13,305
Increases related to current year tax positions		919
Increases related to prior year tax positions due to foreign currency translation		5
Decreases related to prior year tax position settled		(2,940	)
Lapse of statute of limitations		(539	)

March 31, 2010	$	10,750
Increases related to current year tax positions		2,896
Increases related to prior year tax positions		324
Increases related to prior year tax positions due to foreign currency translation		122
Decreases related to prior year tax position settled		(3,145	)
Lapse of statute of limitations		(302	)

March 31, 2011	$	10,645

All of the balance of unrecognized tax benefits at March 31, 2011, if recognized, would be included in the Company's Consolidated Statements of Income and have a favorable impact on both the Company's Statements of Income and effective tax rate.

The Company and its subsidiaries file income tax returns in the U.S. federal jurisdiction, and various states and foreign jurisdictions. With few exceptions, the Company is no longer subject to U.S. federal, state and local, or non-U.S. income tax examinations by tax authorities for years before 2004.

The Company anticipates that it is reasonably possible that a portion of the March 31, 2011 balance of the unrecognized tax benefits could be recognized within the next twelve months due to the expiration of the relevant statutes of limitations. An estimate of the range of the adjustments cannot be made at this time.

The Company recognizes tax related interest and penalties in income tax expense in its Consolidated Statements of Income. As of March 31, 2011, 2010 and 2009, the Company had an accrual of $675, $905 and $740, respectively, for interest and penalties.

Retirement Plans

12 Months Ended

Mar. 31, 2011

Retirement Plans

Retirement Plans

14. Retirement Plans

Defined Benefit Plans

The Company provides retirement benefits to substantially all eligible salaried and hourly employees.

Net periodic pension cost for fiscal 2011, 2010, and 2009, includes the following components:


	United States Plans									International Plans
	Fiscal Year Ended March 31,									Fiscal Year Ended March 31,
	2011			2010			2009			2011			2010			2009
Service cost	$	250		$	224		$	300		$	603		$	621		$	2,897
Interest cost		646			635			608			2,503			2,520			2,529
Expected return on plan assets		(624	)		(491	)		(639	)		(1,615	)		(1,256	)		(1,568	)
Amortization and deferral		248			458			208			53			(43	)		—

Net periodic benefit cost	$	520		$	826		$	477		$	1,544		$	1,842		$	3,858

The following table sets forth a reconciliation of the related benefit obligation, plan assets, and accrued benefit costs related to the pension benefits provided by the Company for those employees covered by defined benefit plans:


	United States Plans						International Plans
	March 31,						March 31,
	2011			2010			2011			2010
Change in projected benefit obligation
Benefit obligation at the beginning of the period	$	10,992		$	9,969		$	46,851		$	38,080
Service cost		250			224			603			621
Interest cost		646			635			2,503			2,520
Benefits paid, inclusive of plan expenses		(581	)		(588	)		(1,481	)		(2,299	)
Plan curtailments		—			—			—			(60	)
Plan amendments		108			—			817			—
Plan combinations (including newly material plans)		—			—			337			—
Experience (gain) loss		488			752			(3,366	)		6,575
Foreign currency translation adjustment		—			—			2,617			1,414

Benefit obligation at the end of the period	$	11,903		$	10,992		$	48,881		$	46,851


	United States Plans						International Plans
	March 31,						March 31,
	2011			2010			2011			2010
Change in plan assets
Fair value of plan assets at the beginning of the period	$	7,859		$	6,279		$	22,712		$	16,285
Actual return on plan assets		1,102			1,994			1,751			6,326
Employer contributions		366			174			1,424			1,659
Benefits paid, inclusive of plan expenses		(581	)		(588	)		(1,481	)		(2,299	)
Foreign currency translation adjustments		—			—			1,373			741

Fair value of plan assets at the end of the period	$	8,746		$	7,859		$	25,779		$	22,712

Funded status deficit	$	(3,157	)	$	(3,133	)	$	(23,102	)	$	(24,139	)

The Company uses a measurement date of March 31 for its pension plans. Accrued pension benefit liability is included in accrued expenses and other liabilities.

As required by FASB guidance, for pension plans for which the projected benefit obligation exceeds the fair value of plan assets, the Company has recognized in the Consolidated Balance Sheets at March 31, 2011 and 2010, the additional liability of the unfunded projected benefit obligation of $4,766 and $7,476, respectively, as current and long-term liabilities, with offsetting equity adjustments. The accumulated benefit obligation for all defined benefit pension plans was $58,128 and $55,282 at March 31, 2011 and 2010, respectively.

The accumulated benefit obligation related to all defined benefit pension plans and information related to unfunded and underfunded defined benefit pension plans at the end of each year follows:


	United States Plans				International Plans
	March 31,				March 31,
	2011		2010		2011		2010
All defined benefit plans:
Accumulated benefit obligation	$	11,903	$	10,992	$	46,225	$	44,290
Unfunded defined benefit plans:
Projected benefit obligation		—		—		25,533		23,367
Accumulated benefit obligation		—		—		24,413		22,557
Defined benefit plans with an accumulated benefit obligation in excess of the fair value of plan assets:
Projected benefit obligation		11,903		10,992		25,560		23,367
Accumulated benefit obligation		11,903		10,992		24,440		22,557
Fair value of plan assets		8,746		7,859		—		—

Assumptions

Significant assumptions used to determine the net periodic benefit cost for the US and International plans were as follows:


	United States Plans									International Plans
	March 31,									March 31,
	2011			2010			2009			2011			2010			2009
Discount rate		6.0	%		6.5	%		6.0	%		4.3-6.0	%		3.8-6.0	%		4.3-6.0	%
Expected return on plan assets		8.0			8.0			8.0			5.5-7.0			5.5-7.0			5.5-7.5
Rate of compensation increase		N/A			N/A			N/A			2.0-3.5			2.0-3.5			2.0-3.5

Significant assumptions used to determine the projected benefit obligations for the US and International plans were as follows:


	United States Plans						International Plans
	March 31,						March 31,
	2011			2010			2011			2010
Discount rate		5.7	%		6.0	%		4.0-5.5	%		4.3-6.0	%
Rate of compensation increase		N/A			N/A			2.0-4.0			2.0-3.5

NA = not applicable

The United States plans do not include compensation in the formula for determining the pension benefit as it is based solely on years of service.

The expected long-term rate of return for the Company's pension plan assets is based upon the target asset allocation and is determined using forward looking assumptions in the context of historical returns and volatilities for each asset class, as well as correlations among asset classes. The Company evaluates the rate of return assumptions for each of its plans on an annual basis.

Pension Plan Investment Strategy

The Company's investment policy emphasizes a balanced approach to investing in securities of high quality and ready marketability. Investment flexibility is encouraged so as not to exclude opportunities available through a diversified investment strategy.

Equity investments are maintained within a target range of 50%-70% of the total portfolio market value. Investments in debt securities include issues of various maturities, and the average quality rating of bonds should be investment grade with a minimum quality rating of "B" at the time of purchase.

The Company periodically reviews the asset allocation of its portfolio. The proportion committed to equities, debt securities and cash and cash equivalents is a function of the values available in each category and risk considerations. The plan's overall return will be compared to and expected to meet or exceed established benchmark funds and returns over a three to five year period.

The objectives of the Company's investment strategies are: (a) the achievement of a reasonable long-term rate of total return consistent with an emphasis on preservation of capital and purchasing power, (b) stability of annual returns through a portfolio risk level, which is appropriate to conservative accounts, and (c) reflective of the Company's willingness to forgo significantly above-average rewards in order to minimize above-average risks. These objectives may not be met each year but should be attained over a reasonable period of time.

In connection with a past acquisition, the Company had assumed defined benefit plans in Germany and France. These plans have no assets, while their benefit obligations were $21,706 and $20,266 as of March 31, 2011 and 2010, respectively. Other salary and hourly employees are provided benefits in accordance with governmental regulatory requirements.

The following table represents our pension plan investments measured at fair value as of March 31, 2011 and 2010 and the basis for that measurement:


	March 31, 2011
	United States Plans								International Plans
	Total Fair Value Measurement		Quoted Price In Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total Fair Value Measurement		Quoted Price In Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Asset Category:
Cash and Cash Equivalents	$	528	$	528	$	—	$	—	$	—	$	—	$	—	$	—
Equity Securities
US^(a)		4,839		4,839		—		—		2,521		2,521		—		—
International^(b)		840		840		—		—		13,600		13,600		—		—
Fixed Income^(c)		2,539		2,539		—		—		9,658		9,658		—		—

Total	$	8,746	$	8,746	$	—	$	—	$	25,779	$	25,779	$	—	$	—


	March 31, 2010
	United States Plans								International Plans
	Total Fair Value Measurement		Quoted Price In Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total Fair Value Measurement		Quoted Price In Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Asset Category:
Cash and Cash Equivalents	$	450	$	450	$	—	$	—	$	—	$	—	$	—	$	—
Equity Securities
US^(a)		4,058		4,058		—		—		2,196		2,196		—		—
International^(b)		819		819		—		—		13,053		13,053		—		—
Fixed Income^(c)		2,532		2,532		—		—		7,463		7,463		—		—

Total	$	7,859	$	7,859	$	—	$	—	$	22,712	$	22,712	$	—	$	—

The fair values presented above were determined based on valuation techniques categorized as follows:

•

Level one: The use of quoted prices in active markets for identical instruments.

•

Level two: The use of quoted prices for similar instruments in active markets or quoted prices for identical or similar instruments in markets that are not active or other inputs that are observable in the market or can be corroborated by observable market data.

•

Level three: The use of significantly unobservable inputs and that typically require the use of management's estimates of assumptions that market participants would use in pricing.

(a)

US equities include companies that are well diversified by industry sector and equity style (i.e., growth and value strategies). Active and passive management strategies are employed. Investments are primarily in large capitalization stocks and, to a lesser extent, mid- and small-cap stocks.

(b)

International equities are invested in companies that are traded on exchanges outside the U.S. and are well diversified by industry sector, country and equity style. Active and passive strategies are employed. The vast majority of the investments are made in companies in developed markets with a small percentage in emerging markets.

(c)

Fixed income consists primarily of investment grade bonds from diversified industries.

The Company expects to make cash contributions of approximately $2,336 to its pension plans in fiscal year 2012.

Estimated future benefit payments under the Company's pension plans are as follows:


	Pension Benefits
2012	$	2,113
2013		2,130
2014		2,548
2015		2,588
2016		2,849
Years 2017-2021		17,408

In accordance with FASB guidance, the Company recognizes the funded status of its retirement plans in its Consolidated Balance Sheet. The underfunded status of the retirement plans recorded as a liability on the Company's Consolidated Balance Sheets at March 31, 2011 and 2010 was approximately $26,259 and $27,272, respectively.

The amounts included in AOCI as of March 31, 2011 that are expected to be recognized as components of net periodic pension cost during the fiscal year ended March 31, 2012 are as follows:


Net loss	$	(173	)
Net prior service cost		(85	)

Net amount expected to be recognized	$	(258	)

Defined Contribution Plan

Effective January 1, 2004, the Company amended its Defined Contribution Plan (the "401(k) Plan"). The amended 401(k) Plan covers substantially all U.S. salaried and hourly employees except those covered by a union plan. All eligible employees of the amended 401(k) Plan receive a matching contribution of 100% of the first 4% of wages contributed and 50% of the next 2% of wages contributed for a total match of up to 5% by the Company.

Effective February 1, 2009, the Company amended the EnerSys United Kingdom Pension Scheme ("Amended U.K. Plan") that covers substantially all United Kingdom employees, both direct and salaried so that all members with defined benefit plan benefits at that date would be provided with defined contribution plan benefits for future service. The Company pays contributions to fund any accrued liabilities in excess of the assets in the defined benefit section of the Amended U.K. Plan as necessary. Active members of the Amended U.K. Plan as of February 1, 2009 receive a matching contribution from the Company up to 4% of Pensionable Salary and an enhanced Company contribution in excess of this in line with the rules of the plan. New eligible employees of the Amended U.K. Plan receive a matching contribution from the Company up to 5% of pensionable salary, at various rates as provided by the Plan.

Employer expenses for the 401(k) plan and the Amended U.K. Plan for the fiscal years ended March 31, 2011, 2010 and 2009 were $5,025, $3,909 and $2,394, respectively.

Stock-Based Compensation

12 Months Ended

Mar. 31, 2011

Stock-Based Compensation

Stock-Based Compensation

17. Stock-Based Compensation

In July 2010, the shareholders approved the EnerSys 2010 Equity Incentive Plan ("2010 EIP"). The 2010 EIP consolidated the Company's existing equity incentive plans, the 2000 Management Equity Plan, the 2004 Equity Incentive Plan and the 2006 Equity Incentive Plan, into one plan. The 2010 EIP reserves 3,177,477 shares of common stock for the grant of various classes of nonqualified stock options, restricted stock, restricted stock units, market share units and other forms of equity-based compensation. Shares subject to any awards that expire without being exercised or that are forfeited or settled in cash shall again be available for future grants of awards under the 2010 EIP. Shares subject to awards that have been retained by the Company in payment or satisfaction of the exercise price and any applicable tax withholding obligation of an award shall not count against the limit described above, and only the number of shares delivered in the settlement of stock appreciation rights shall count against the limit.

At March 31, 2011, 3,160,394 shares are available for future grants. The Company's management equity incentive plans are intended to provide an incentive to employees and non-employee directors of the Company to remain in the service of the Company and to increase their interest in the success of the Company in order to promote the long-term interests of the Company. The plans seek to promote the highest level of performance by providing an economic interest in the long-term performance of the Company. The Company settles employee share-based compensation awards with newly issued shares.

Stock Options

Non-qualified stock options have been granted to employees under the equity incentive plans at prices not less than the fair market value of the shares on the dates the options were granted. Options issued in fiscal 2010 vest over a three-year or six-month period and options issued in fiscal 2009 vest over a three-year period, and options issued in fiscal 2008 vest over a four-year period. Options become exercisable in equal installments over the vesting period. Options generally expire in 10 years, however options vesting in six months expire in 3 1/2 years.

The weighted average fair value of options granted in fiscal 2010 were $8.35 and $5.15 and $11.64 in fiscal 2009, and were determined using the following assumptions:


	2010			2010			2009
	10 Year Options			3.5 Year Options			10 Year Options
Exercise price	$	16.20		$	16.24		$	30.19
Risk-free interest rate		2.01	%		0.93	%		3.1	%
Dividend yield		0	%		0	%		0	%
Expected life		5 years			2 years			5 years
Expected volatility		56.6	%		56.6	%		38.6	%
Weighted average fair value	$	8.35		$	5.15		$	11.64

There were no options granted in fiscal 2011.

For fiscal 2011, 2010 and 2009, the Company recognized $2,333 ($1,844 net of taxes), $2,993 ($2,095 net of taxes) and $1,906 ($1,270 net of taxes), respectively, of stock-based compensation expense associated with the stock option grants.

The following table summarizes the Company's stock option activity in the years indicated:


	Number of Options			Weighted Average Remaining Contract Term (Years)		Weighted Average Exercise Price		Aggregate Intrinsic Value
Options outstanding as of March 31, 2008		3,534,935			4.4	$	15.27	$	30,617
Granted		264,206					30.19		—
Exercised		(983,991	)				15.30		13,544
Canceled		(171,975	)				15.97		—

Options outstanding as of March 31, 2009		2,643,175			4.2	$	16.70	$	1,752
Granted		539,506					16.21		—
Exercised		(667,862	)				12.22		7,125
Canceled		(83,586	)				21.43		522

Options outstanding as of March 31, 2010		2,431,233			4.0	$	17.69	$	19,191
Exercised		(1,415,391	)				15.34		18,482
Canceled		(155,063	)				29.32		9

Options outstanding as of March 31, 2011		860,779			6.2	$	19.52	$	17,129

Options exercisable as of March 31, 2011		502,876			5.1	$	19.51	$	10,014

Options expected to vest after March 31, 2011		357,903			7.6	$	19.54	$	7,115

The following table summarizes information regarding stock options outstanding and exercisable at March 31, 2011:


	Options Outstanding						Options Exercisable
Range of Exercise Prices	Number of Options		Weighted Average Remaining Contractual Life		Weighted Average Exercise Price		Number of Options		Weighted Average Exercise Price
$10.01-15.00		150,289		2.5	$	12.29		150,289	$	12.29
$15.01-20.00		454,928		7.5		16.82		173,465		17.09
$20.01-25.00		49,514		1.0		21.91		49,514		21.91
Over $25.00		206,048		7.1		30.19		129,608		30.19

		860,779		6.2	$	19.52		502,876	$	19.51

A summary of the status of the Company's non-vested options as of March 31, 2011, and changes during the year ended March 31, 2011, is presented below:


	Number of Options			Weighted Average Grant-Date Fair Value
Nonvested at March 31, 2010		614,607		$	9.08
Vested		(256,258	)		9.01
Forfeited		(446	)		8.00

Nonvested at March 31, 2011		357,903		$	8.70

Restricted Stock, Restricted Stock Units and Market Share Units

In fiscal 2011, the Company granted to non-employee directors 21,248 restricted stock units at the market price of $22.59 per restricted stock unit at the date of grant. In fiscal 2010, the Company granted to non-employee directors 23,723 restricted stock units in fiscal 2010, at the market price of $21.05 per restricted stock unit at the date of grant. These restricted stock units vest thirteen-months following the date of grant.

In fiscal 2011, the Company granted to management and other key employees 291,701 restricted stock units at the market price on that date of $25.67 per share and 124,091 market share units at the fair market value on that date of $34.45 per share. Restricted stock units are granted at the market price of the Company's common stock on the date of grant and vest and are settled in common stock 25% per year over a four-year period from the date of grant.

Market share units are granted at fair value on the date of grant and vest and are settled in common stock on the third anniversary of the date of grant. Market share units are converted into between zero and two shares of common stock for each unit granted at the end of a three-year performance cycle. The conversion ratio is calculated by dividing the average closing share price of the Company's common stock during the ninety calendar days immediately preceding the vesting date by the average closing share price of the Company's common stock during the ninety calendar days immediately preceding the grant date, with the resulting quotient capped at two. This quotient is then multiplied by the number of market share units granted to yield the number of shares of common stock to be delivered on the vesting date. The fair value of the market share units was estimated at the date of grant using a binomial matrix-pricing model with the following assumptions: a risk-free interest rate of 1.30 %, dividend yield of zero, time to maturity of 3 years and expected volatility of 43.0%.

The Company granted to management and other key employees 366,367 restricted stock units in fiscal 2010, at the fair market value on that date of $16.20 per share, and 227,214 restricted stock units in fiscal 2009, at an average fair market value on date of grants of $30.19 per share. These restricted stock units are granted at the fair market value of the Company's common stock on the date of grant and vest 25% per year over a four-year period from the date of grant.

No restricted stock awards were granted in fiscal 2011, 2010 and 2009.

Generally, restricted stock is granted at the fair market value of the Company's common stock on the date of grant and vest in annual installments of 25% over a four-year period from the date of grant.

A summary of the changes in restricted stock, restricted stock units and market share units awarded to employees and directors that were outstanding under the Company's equity compensation plans during fiscal 2011 is presented below:


	Restricted Stock					Restricted Stock Units (RSU)/ Market Share Units (MSU)
	Number of Restricted Shares			Weighted Average Grant Date Fair Value		Number of RSU and MSU			Weighted Average Grant Date Fair Value
Non-vested awards as of March 31, 2010		1,000		$	18.32		608,630		$	20.45
Granted		—			—		437,040			28.01
Vested		(1,000	)		18.32		(177,184	)		21.12
Canceled		—			—		(3,094	)		24.76

Non-vested awards as of March 31, 2011		—		$	—		865,392		$	23.97

The Company recognized equity-based compensation expense related to the vesting of restricted shares, restricted stock units and market share units of approximately $6,723, with a related tax benefit of $1,659 for fiscal 2011, approximately $3,968, with a related tax benefit of $1,190 for fiscal 2010, and approximately $3,115, with a related tax benefit of $1,045 for fiscal 2009.

All Award Plans

As of March 31, 2011, unrecognized compensation expense associated with the non-vested incentive awards outstanding was $15,403 and is expected to be recognized over a weighted average period of twenty months.

Commitments, Contingencies and Litigation	12 Months Ended
Commitments, Contingencies and Litigation	Mar. 31, 2011
Commitments, Contingencies and Litigation
Commitments, Contingencies and Litigation	19. Commitments, Contingencies and Litigation Litigation The Company is involved in litigation incidental to the conduct of its business, the results of which, in the opinion of management, are not likely to be material to the Company's financial condition, results of operations, or cash flows. Environmental Issues As a result of its operations, the Company is subject to various federal, state, local, and foreign environmental laws and regulations and is exposed to the costs and risks of registering, handling, processing, storing, transporting, and disposing of hazardous substances, especially lead and acid. The Company's operations are also subject to federal, state, local and foreign occupational safety and health regulations, including laws and regulations relating to exposure to lead in the workplace. The Company is responsible for certain cleanup obligations at the former Yuasa battery facility in Sumter, South Carolina that predates its ownership of this facility. This manufacturing facility was closed in 2001 and is separate from the Company's current metal fabrication facility in Sumter. The Company has established a reserve for this facility. As of March 31, 2011 and 2010, the reserves related to this facility totaled $3,279 and $3,682, respectively. Based on current information, the Company's management believes these reserves are adequate to satisfy the Company's environmental liabilities at this facility. Collective Bargaining At March 31, 2011, the Company had approximately 8,400 employees. Of these employees, approximately 40% were covered by collective bargaining agreements. The average term of these agreements is two years, with the longest term being four years. These agreements expire over the period from calendar years 2011 to 2014. The Company considers its employee relations to be good. Historically, the Company has not experienced any significant labor unrest or disruption of production. Lead Contracts In order to reduce the Company's exposure to significant increases in lead costs, the Company has entered into contracts with financial institutions to fix the price of lead. The vast majority of such contracts are for a period not extending beyond one year. Under these contracts, at March 31, 2011, the Company contracted to fix the price of approximately 63,396 pounds of lead for a total contract price of $68,212. At March 31, 2010, the Company contracted to fix the price of approximately 63,335 pounds of lead for a total contract price of $60,724. Foreign Currency Forward Contracts The Company quantifies and monitors its global foreign currency exposures. On a selective basis the Company will enter into foreign currency forward contracts and option contracts to reduce the volatility from currency movements that affect the Company. The Company's largest exposure is from the purchase and conversion of U.S. dollar based lead costs into local currencies in Europe and Mexico. Additionally, the Company has currency exposures from intercompany loans and trade transactions. To hedge these exposures the Company has entered into foreign currency forward contracts and purchased option contracts with financial institutions. Each contract is for a period not extending beyond one year. As of March 31, 2011 and 2010, the Company entered into a total of $82,829 and $64,234 foreign currency forward contracts. Interest Rate Swap Agreements The Company is exposed to changes in variable U.S. interest rates on borrowings under its credit agreements. On a selective basis, from time to time, the Company enters into interest rate swap agreements to reduce the negative impact that increases in interest rates could have on its outstanding variable rate debt. On March 31, 2011 and March 31, 2010, such agreements effectively converted $85,000 and $170,000, respectively, of variable-rate debt to a fixed-rate basis, utilizing the three-month London Interbank Offered Rate, or LIBOR, as a floating rate reference. Fluctuations in LIBOR and fixed rates affect both the Company's net financial investment position and the amount of cash to be paid or received by the Company under these agreements.

Restructuring Plans

12 Months Ended

Mar. 31, 2011

Restructuring Plans

Restructuring Plans

20. Restructuring Plans

The Company has acquisition related restructuring plans and non-acquisition related restructuring plans and bases its restructuring accounting and disclosures on the applicable accounting guidance. As a result, charges to net earnings were made in the periods in which restructuring plan liabilities were incurred.

Acquisition related restructuring plan

In fiscal 2010, the Company acquired the stock of OEB Traction Batteries and certain operating assets and liabilities of the reserve power battery business of Accu Holding AG and its Swedish sales subsidiary (all collectively referred to as "Oerlikon"). The Company completed the process of closing the two manufacturing facilities of Oerlikon during the third quarter of fiscal 2011 which resulted in the reduction of 105 employees. During fiscal 2010 and 2011, the Company recorded $1,269 and $2,546 in charges related to this plan. As of March 31, 2011, the reserve balance associated with these actions is $403. The Company expects to finalize the plan with an additional $600 of restructuring charges in fiscal 2012 in Europe.

A roll-forward of the acquisition related restructuring reserve is as follows:


	Employee Severance			Plant Closure and Other			Total
Balance at March 31, 2009	$	—		$	—		$	—
Accrued		1,269			—			1,269
Costs incurred		—			—			—
Foreign currency impact and other		23			—			23

Balance at March 31, 2010	$	1,292		$	—		$	1,292
Accrued		108			2,438			2,546
Costs incurred		(1,107	)		(2,313	)		(3,420	)
Foreign currency impact and other		(36	)		21			(15	)

Balance at March 31, 2011	$	257		$	146		$	403

Non-acquisition related restructuring plans

In February and May 2009, the Company announced a plan to restructure certain of its European and American operations, which will result in a reduction of approximately 515 employees upon completion across its operations. These actions are primarily in Europe, the most significant of which was the closure of its leased Italian manufacturing facility and the opening of a new Italian distribution center. The Company estimates that the total charges for these actions will amount to approximately $33,000, which includes cash expenses of approximately $24,000, primarily for employee severance-related payments, and a non-cash charge of approximately $9,000, primarily for impairment of fixed assets.

Based on commitments incurred to date, the Company recorded restructuring charges of $31,457 in fiscal 2009 and 2010 with $437 of additional charges during fiscal 2011. The Company incurred $5,629 of costs against the accrual during fiscal 2011. As of March 31, 2011, the reserve balance associated with these actions is $2,411. The Company expects to be committed to an additional $600 of restructuring charges in fiscal 2012 related to these actions.

During fiscal 2011, the Company announced a further restructuring of its European operations, which will result in the reduction of approximately 73 employees upon completion across its operations. The Company estimates that the total charges for these actions will amount to approximately $5,400, primarily from cash expenses for employee severance-related payments and site closure costs.

Based on commitments incurred to date, the Company recorded restructuring charges of $3,830 in fiscal 2011. The Company incurred $1,316 of costs against the accrual during fiscal 2011. As of March 31, 2011, the reserve balance associated with these actions is $2,509. The Company expects to be committed to an additional $2,200 of restructuring charges in fiscal 2012 related to these actions.

A roll-forward of the non-acquisition related restructuring reserve is as follows:


	Employee Severance			Plant Closure and Other			Total
Balance at March 31, 2008	$	—		$	—		$	—
Accrued		12,941			—			12,941
Costs incurred		(2,652	)		—			(2,652	)
Foreign currency impact and other		—			—			—

Balance at March 31, 2009	$	10,289		$	—		$	10,289
Accrued		10,107			2,263			12,370
Costs incurred		(13,276	)		(2,263	)		(15,539	)
Foreign currency impact and other		362			—			362

Balance at March 31, 2010	$	7,482		$	—		$	7,482
Accrued		4,267			—			4,267
Costs incurred		(6,945	)		—			(6,945	)
Foreign currency impact and other		116			—			116

Balance at March 31, 2011	$	4,920		$	—		$	4,920

Operations by Industry Segment and Geographic Area

12 Months Ended

Mar. 31, 2011

Operations by Industry Segment and Geographic Area

Operations by Industry Segment and Geographic Area

24. Operations by Industry Segment and Geographic Area

The Company has three reportable business segments based on geographic regions, defined as follows:

•

Americas, which includes North and South America, with the segment headquarters in Reading, Pennsylvania, USA,

•

Europe, which includes Europe, the Middle East and Africa, with the segment headquarters in Zurich, Switzerland, and

•

Asia, which includes Asia, Australia and Oceania, with the segment headquarters in Singapore.

Summarized financial information related to the Company's business segments at March 31, 2011, 2010 and 2009 and for each of the fiscal years then ended is shown below.


	Fiscal Years Ended March 31,
	2011			2010			2009
Net sales
Europe	$	890,313		$	741,975		$	987,178
Americas		896,629			700,297			831,251
Asia		177,520			137,113			154,438

Total net sales	$	1,964,462		$	1,579,385		$	1,972,867

Operating earnings
Europe	$	55,643		$	17,649		$	64,898
Americas		124,515			87,156			79,236
Asia		10,469			20,502			12,793
Restructuring charges (Europe)		(6,813	)		(13,212	)		(21,996	)
Bargain purchase gain (Europe)		—			2,919			—
Restructuring charges (Americas)		—			(717	)		(428	)
Legal proceedings charge (Europe)		—			—			(3,366	)
Gain on sale of facilities (Europe)		—			—			11,308

Total operating earnings	$	183,814		$	114,297		$	142,445

Property, plant and equipment, net
Europe	$	169,056		$	156,953		$	147,248
Americas		142,263			138,217			133,880
Asia		33,066			19,971			20,237

Total	$	344,385		$	315,141		$	301,365

Depreciation and Amortization
Europe	$	21,564		$	22,348		$	23,663
Americas		19,842			19,189			20,249
Asia		2,987			3,314			3,321

Total	$	44,393		$	44,851		$	47,233

The Company markets its products and services in over 100 countries. Sales are attributed to countries based on the location of sale approval and acceptance. The following represent the net sales to unaffiliated customers of the Company's country of domicile and the other top countries which collectively comprise approximately 70% the Company's consolidated net sales for the periods presented:


	Fiscal years ended
	March 31, 2011		March 31, 2010
United States	$	812,253	$	638,138
France		158,815		159,242
Germany		153,409		151,031
Switzerland		111,112		40,456
United Kingdom		100,879		91,355
Italy		86,564		83,893

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2011	Mar. 31, 2010
Consolidated Balance Sheets
Accounts receivable, allowance for doubtful accounts	$ 10,547	$ 9,879
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	1,000,000	1,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	135,000,000	135,000,000
Common stock, shares issued	51,834,353	50,381,832
Common stock, shares outstanding	50,034,353	48,581,832
Treasury stock, shares	1,800,000	1,800,000

Consolidated Statements of Changes in Stockholders' Equity (Parenthetical) - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2011	Mar. 31, 2010	Mar. 31, 2009
Consolidated Statements of Changes in Stockholders' Equity
Pension funded status adjustment, tax	$ (794)	$ (367)	$ 152
Unrealized income on derivative instruments, tax	$ (5,251)	$ (1,421)	$ (675)

Acquisitions	12 Months Ended
Acquisitions	Mar. 31, 2011
Acquisitions
Acquisitions	2. Acquisitions In fiscal 2011, the Company made three acquisitions, the most significant of which was the acquisition of the lithium-ion battery business, ABSL Power Solutions Ltd ("ABSL"), which was completed on February 28, 2011. These acquisitions are in line with the Company's strategy of diversifying its technology base and strengthening prior investments in new technology. The purchase price paid for these transactions, net of cash received, was $32,200 and was financed using cash on hand. The Company is in the process of finalizing purchase accounting for these acquisitions. The Company made initial allocations of the purchase prices at the date of the acquisitions based on the estimated fair value of the acquired assets and liabilities assumed. The Company obtained this information during due diligence and through other sources. The Company will finalize the estimates of fair value and the allocations of purchase prices will be adjusted. The Company acquired intangible assets, in connection with the ABSL acquisition, including trademarks, customer relationships, technology and goodwill. Trademarks were initially valued at $1,774, customer relationships at $3,547 and technology at $2,741. These were assigned finite useful lives and amortization is recorded over the economic life of the intangibles. Goodwill relating to the acquisition of ABSL was recorded at $14,967. In fiscal 2010, the Company made three acquisitions, the most significant of which was the acquisition of the industrial battery businesses of the Swiss company Accu Holding AG, which included the acquisition of the stock of OEB Traction Batteries and the operating assets and liabilities of Oerlikon Stationery Batteries and its Swedish sales subsidiary (all collectively referred to as "Oerlikon") during November 2009. The accounting for the Oerlikon acquisition resulted in the recognition of a bargain purchase gain of $2,919. The total purchase price for these transactions, net of cash received, was $33,242 and was financed using cash on hand. These acquisitions and the investment provide the Company with an additional range of well respected and designed products for use in high integrity applications in telecommunications, utilities, rail, material handling and mining, as well as other sectors. The results of these acquisitions have been included in the Company's results of operations from the dates of their respective acquisitions. Pro forma earnings per share computations have not been presented as these acquisitions are not considered material. In connection with certain of its acquisitions, the Company formulated restructuring plans for the integration of the acquired businesses. See Note 20 for additional information regarding these plans.

Secondary Offerings of Common Shares	12 Months Ended
Secondary Offerings of Common Shares	Mar. 31, 2011
Secondary Offerings of Common Shares
Secondary Offerings of Common Shares	16. Secondary Offerings of Common Shares In fiscal 2011 and 2010, certain of the Company's stockholders sold 2,845,869 and 3,200,000 shares, respectively, of the Company's common stock pursuant to an effective shelf registration statement filed with the Securities and Exchange Commission on May 19, 2008. The offered shares were sold by those stockholders of the Company, including affiliates of Metalmark Capital LLC and certain other institutional stockholders. The Company did not receive any proceeds from the common stock offerings; however, under the terms of its securityholder agreement, the Company did incur fees related to the offerings in fiscal 2011 and fiscal 2010 of $615 and $150, respectively.

Subsequent Event	12 Months Ended
Subsequent Event	Mar. 31, 2011
Subsequent Event
Subsequent Event	26. Subsequent Events On May 16, 2011, under the Company's 2010 Equity Incentive Plan, the Company granted 95,026 restricted stock units, which vest 25% each year over four-years from the date of grant, and 224,397 market share units, which vest three years from the date of grant. On May 26, 2011, the Company's Board of Directors authorized the Company to repurchase up to the number of shares exercised through previous stock option awards and common stock issued under the 2010 Equity Incentive Plan.