With operations in several countries, Baldwin maintains cash assets in several differ-
ent currencies: U.S. dollars (USD), the European Unions euro (EUR), Great Britains pound
(GBP), Hong Kong dollars (HKD), and Japanese yen (JPY). To meet the different cash flow
requirements associated with its operations around the world, Baldwin often must move
funds from one location (and currency) to another. For instance, to pay an unexpected
maintenance expense at its facility in Japan, Baldwin might need to convert some of its
holdings in U.S. dollars to Japanese yen