CMC Materials (CCMP) 10-Q 7 Feb 14 2014 Q1 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information (USD $)	3 Months Ended
	Dec. 31, 2013	Jan. 31, 2014	Mar. 31, 2013
Document and Entity Information [Abstract]	'	'	'
Entity Registrant Name	'CABOT MICROELECTRONICS CORP	'	'
Entity Central Index Key	'0001102934	'	'
Current Fiscal Year End Date	'--09-30	'	'
Entity Well-known Seasoned Issuer	'Yes	'	'
Entity Voluntary Filers	'No	'	'
Entity Current Reporting Status	'Yes	'	'
Entity Filer Category	'Large Accelerated Filer	'	'
Entity Public Float	'	'	$787,314,700
Entity Common Stock, Shares Outstanding	'	24,438,040	'
Document Fiscal Year Focus	'2014	'	'
Document Fiscal Period Focus	'Q1	'	'
Document Type	'10-Q	'	'
Amendment Flag	'false	'	'
Document Period End Date	31-Dec-13	'	'

CONSOLIDATED_STATEMENTS_OF_INC

CONSOLIDATED STATEMENTS OF INCOME (USD $)	3 Months Ended
In Thousands, except Share data, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
CONSOLIDATED STATEMENTS OF INCOME [Abstract]	'	'
Revenue	$100,515	$106,533
Cost of goods sold	52,801	56,494
Gross profit	47,714	50,039
Operating expenses:	'	'
Research, development and technical	14,571	15,316
Selling and marketing	6,707	7,109
General and administrative	10,726	10,954
Total operating expenses	32,004	33,379
Operating income	15,710	16,660
Interest expense	872	953
Other income (expense), net	617	854
Income before income taxes	15,455	16,561
Provision for income taxes	4,147	6,858
Net income	$11,308	$9,703
Basic earnings per share	$0.47	$0.42
Weighted average basic shares outstanding	23,589,627	22,844,896
Diluted earnings per share	$0.45	$0.41
Weighted average diluted shares outstanding	24,622,960	23,657,630

CONSOLIDATED_STATEMENTS_OF_COM

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME [Abstract]	'	'
Net income	$11,308	$9,703
Other comprehensive income:	'	'
Foreign currency translation adjustment	-4,760	-4,696
Unrealized Gain on Investment	151	0
Other comprehensive income, net of tax	-4,609	-4,696
Total comprehensive income	$6,699	$5,007

CONSOLIDATED_BALANCE_SHEETS

CONSOLIDATED BALANCE SHEETS (USD $)	Dec. 31, 2013	Sep. 30, 2013
In Thousands, unless otherwise specified
Current assets:	'	'
Cash and cash equivalents	$246,463	$226,029
Accounts receivable, less allowance for doubtful accounts of $1,370 at December 31, 2013, and $1,532 at September 30, 2013	52,078	54,640
Inventories	66,118	63,786
Prepaid expenses and other current assets	24,331	13,598
Deferred income taxes	7,746	7,659
Total current assets	396,736	365,712
Property, plant and equipment, net	109,514	111,985
Goodwill	43,801	44,306
Other intangible assets, net	9,060	9,785
Deferred income taxes	6,085	10,291
Other long-term assets	10,529	12,427
Total assets	575,725	554,506
Current liabilities:	'	'
Accounts payable	15,825	16,663
Current portion of long-term debt	12,031	10,938
Accrued expenses, income taxes payable and other current liabilities	28,503	39,899
Total current liabilities	56,359	67,500
Long-term debt, net of current portion	147,657	150,937
Deferred income taxes	1,397	1,559
Other long-term liabilities	7,706	7,433
Total liabilities	213,119	227,429
Commitments and contingencies (Note 9)	'	'
Stockholders' equity:	'	'
Common Stock: Authorized: 200,000,000 shares, $0.001 par value; Issued: 31,504,320 shares at December 31, 2013, and 30,213,577 shares at September 30, 2013	31	30
Capital in excess of par value of common stock	415,107	376,206
Retained earnings	192,134	180,826
Accumulated other comprehensive income	12,827	17,436
Treasury stock at cost, 7,097,960 shares at December 31, 2013, and 6,866,675 shares at September 30, 2013	-257,493	-247,421
Total stockholders' equity	362,606	327,077
Total liabilities and stockholders' equity	$575,725	$554,506

CONSOLIDATED_BALANCE_SHEETS_Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)	Dec. 31, 2013	Sep. 30, 2013
In Thousands, except Share data, unless otherwise specified
Current assets	'	'
Allowance for doubtful accounts	$1,370	$1,532
Stockholders' equity	'	'
Common stock: Authorized	200,000,000	200,000,000
Common stock: par value	$0.00	$0.00
Common stock: Issued	31,504,320	30,213,577
Treasury stock at cost, shares	7,097,960	6,866,675

CONSOLIDATED_STATEMENTS_OF_CAS

CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Cash flows from operating activities:	'	'
Net income	$11,308	$9,703
Adjustments to reconcile net income to net cash provided by operating activities:	'	'
Depreciation and amortization	5,009	5,555
Provision for doubtful accounts	-122	132
Share-based compensation expense	3,366	3,494
Deferred income tax expense	4,733	2,998
Non-cash foreign exchange (gain)/loss	-60	1,278
(Gain)/Loss on disposal of property, plant and equipment	-150	29
Other	-175	-905
Changes in operating assets and liabilities:	'	'
Accounts receivable	1,311	-12,350
Inventories	-3,817	1,693
Prepaid expenses and other assets	-10,292	2,881
Accounts payable	-363	-3,764
Accrued expenses, income taxes payable and other liabilities	-10,409	-4,541
Net cash provided by operating activities	339	6,203
Cash flows from investing activities:	'	'
Additions to property, plant and equipment	-3,690	-3,023
Proceeds from the sale of property, plant and equipment	160	0
Proceeds from the sale of investments	2,113	0
Net cash used in investing activities	-1,417	-3,023
Cash flows from financing activities:	'	'
Repayment of long-term debt	-2,187	-4,375
Repurchases of common stock	-10,072	-11,256
Net proceeds from issuance of stock	32,606	4,238
Tax benefits associated with share-based compensation expense	1,921	591
Principal payments under capital lease obligations	0	-21
Net cash provided by (used in) financing activities	22,268	-10,823
Effect of exchange rate changes on cash	-756	-1,197
Increase (decrease) in cash and cash equivalents	20,434	-8,840
Cash and cash equivalents at beginning of period	226,029	178,459
Cash and cash equivalents at end of period	246,463	169,619
Supplemental disclosure of non-cash investing and financing activities:	'	'
Purchases of property, plant and equipment in accrued liabilities and accounts payable at the end of the period	1,408	1,727
Issuance of restricted stock	$7,067	$5,358

BACKGROUND_AND_BASIS_OF_PRESEN

BACKGROUND AND BASIS OF PRESENTATION	3 Months Ended
	Dec. 31, 2013
BACKGROUND AND BASIS OF PRESENTATION [Abstract]	'
BACKGROUND AND BASIS OF PRESENTATION	'
	CABOT MICROELECTRONICS CORPORATION
	NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
	(Unaudited and in thousands, except share and per share amounts)
	1. BACKGROUND AND BASIS OF PRESENTATION
	Cabot Microelectronics Corporation ("Cabot Microelectronics'', "the Company'', "us'', "we'' or "our'') supplies high-performance polishing slurries and pads used in the manufacture of advanced integrated circuit (IC) devices within the semiconductor industry, in a process called chemical mechanical planarization (CMP).  CMP is a polishing process used by IC device manufacturers to planarize or flatten many of the multiple layers of material that are deposited upon silicon wafers in the production of advanced ICs.  Our products play a critical role in the production of advanced IC devices, thereby enabling our customers to produce smaller, faster and more complex IC devices with fewer defects.  We develop, produce and sell CMP slurries for polishing many of the conducting and insulating materials used in IC devices, and also for polishing the disk substrates and magnetic heads used in hard disk drives.  We also develop, manufacture and sell CMP polishing pads, which are used in conjunction with slurries in the CMP process.  We also pursue other demanding surface modification applications through our Engineered Surface Finishes (ESF) business where we believe we can leverage our expertise in CMP consumables for the semiconductor industry to develop products for demanding polishing applications in other industries. For additional information, refer to Part 1, Item 1, "Business", in our annual report on Form 10-K for the fiscal year ended September 30, 2013.
	The unaudited consolidated financial statements have been prepared by Cabot Microelectronics Corporation pursuant to the rules of the Securities and Exchange Commission (SEC) and accounting principles generally accepted in the United States of America.  In the opinion of management, these unaudited consolidated financial statements include all normal recurring adjustments necessary for the fair presentation of Cabot Microelectronics' financial position as of December 31, 2013, cash flows for the three months ended December 31, 2013, and December 31, 2012, and results of operations for the three months ended December 31, 2013, and December 31, 2012.  The results of operations for the three months ended December 31, 2013 may not be indicative of results to be expected for future periods, including the fiscal year ending September 30, 2014.  These unaudited consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes thereto included in Cabot Microelectronics' annual report on Form 10-K for the fiscal year ended September 30, 2013.
	The consolidated financial statements include the accounts of Cabot Microelectronics and its subsidiaries.  All intercompany transactions and balances between the companies have been eliminated as of December 31, 2013.
	Results of Operations
	With respect to the comparative period in fiscal 2013, as noted in our Form 10-Q for the quarter ended December 31, 2012, the results of operations included a foreign tax adjustment to correct prior period amounts, which we determined to be immaterial to the prior periods to which it related.  This adjustment reduced net income for the first quarter of fiscal 2013 by $1,686 and diluted earnings per share by approximately $0.07.  This adjustment related to the reversal of a deferred tax asset for cumulative net operating losses (NOLs) associated with our facility in South Korea since its opening in fiscal year 2011, as these NOLs are expected to be consumed during periods in which a tax holiday is in effect for this facility.

FAIR_VALUE_OF_FINANCIAL_INSTRU

FAIR VALUE OF FINANCIAL INSTRUMENTS	3 Months Ended
	Dec. 31, 2013
FAIR VALUE OF FINANCIAL INSTRUMENTS [Abstract]	'
FAIR VALUE OF FINANCIAL INSTRUMENTS	'
	2. FAIR VALUE OF FINANCIAL INSTRUMENTS
	Fair value is defined as the price that would be received from the sale of an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date.  The FASB established a three-level hierarchy for disclosure based on the extent and level of judgment used to estimate fair value.  Level 1 inputs consist of valuations based on quoted market prices in active markets for identical assets or liabilities.  Level 2 inputs consist of valuations based on quoted prices for similar assets or liabilities, quoted prices for identical assets or liabilities in an inactive market, or other observable inputs.  Level 3 inputs consist of valuations based on unobservable inputs that are supported by little or no market activity.
	The following table presents financial instruments, other than long-term debt, that we measured at fair value on a recurring basis at December 31, 2013 and September 30, 2013.  See Note 7 for a detailed discussion of our long-term debt.  We have chosen to not measure any of our other financial instruments at fair value as we believe their carrying value approximates their fair value.  We have classified the following assets in accordance with the fair value hierarchy set forth in the applicable standards.  In instances where the inputs used to measure the fair value of an asset fall into more than one level of the hierarchy, we have classified them based on the lowest level input that is significant to the determination of the fair value.
	31-Dec-13	Level 1			Level 2		Level 3		Total
									Fair Value
	Cash and cash equivalents	$	246,463		$	-	$	-	$	246,463
	Auction rate securities (ARS)		-			-		6,087		6,087
	Other long-term investments		1,636			-		-		1,636
	Total	$	248,099		$	-	$	6,087	$	254,186
	30-Sep-13	Level 1			Level 2		Level 3		Total
									Fair Value
	Cash and cash equivalents	$	226,029		$	-	$	-	$	226,029
	Auction rate securities (ARS)		-			-		7,966		7,966
	Other long-term investments		1,375			-		-		1,375
	Total	$	227,404		$	-	$	7,966	$	235,370
	Our cash and cash equivalents consist of various bank accounts used to support our operations and investments in institutional money-market funds which are traded in active markets.  The ARS and other long-term investments are included in other long-term assets on our Consolidated Balance Sheet.  The fair value of our long-term ARS is determined through two discounted cash flow analyses, one using a discount rate based on a market index comprised of tax exempt variable rate demand obligations and one using a discount rate based on the LIBOR swap curve, adding a risk factor to reflect current liquidity issues in the ARS market.  Our other long-term investments represent the fair value of investments under the Cabot Microelectronics Supplemental Employee Retirement Plan (SERP), which is a nonqualified supplemental savings plan.  The fair value of the investments is determined through quoted market prices within actively traded markets.  Although the investments are allocated to individual participants and investment decisions are made solely by those participants, the SERP is a nonqualified plan.  Consequently, the Company owns the assets and the related offsetting liability for disbursement until such time a participant makes a qualifying withdrawal.  The long-term asset was adjusted to $1,636 in the first quarter of fiscal 2014 to reflect its fair value as of December 31, 2013.
	We applied accounting standards regarding the classification and valuation of financial instruments to the valuation of our investment in ARS at December 31, 2013.  Our ARS investments at December 31, 2013 consisted of two tax exempt municipal debt securities with a total par value of $6,087.  The ARS market began to experience illiquidity in early 2008, and this illiquidity continues.  Despite this lack of liquidity, there have been no defaults in payment of the underlying securities and interest income on these holdings continues to be received on scheduled interest payment dates.  Our ARS, when purchased, were issued by A-rated municipalities.  Although the credit ratings of both municipalities have been downgraded since our original investment, one of the ARS is credit enhanced with bond insurance, and the other, as discussed below in this footnote, has become an obligation of the bond insurer. Both ARS currently carry a credit rating of AA- by Standard and Poors.
	Since an active market for ARS does not currently exist, we classify these investments as held-to-maturity and we determine the fair value of these investments using a Level 3 discounted cash flow analysis and also consider other factors such as the reduced liquidity in the ARS market and nature of the insurance backing.  Key inputs to our discounted cash flow model include projected cash flows from interest and principal payments and the weighted probabilities of improved liquidity or debt refinancing by the issuer.  We also incorporate certain Level 2 market indices into the discounted cash flow analysis, including published rates such as the LIBOR rate, the LIBOR swap curve and a municipal swap index published by the Securities Industry and Financial Markets Association.  The following table presents a reconciliation of the activity in fiscal 2014 for fair value measurements using level 3 inputs:
	Balance as of October 1, 2013	$	7,966
	Net sales of ARS		(2,113	)
	Reversal of temporary impairment		234
	Balance as of December 31, 2013	$	6,087
	Based on our fair value assessment, we determined that one ARS continued to be impaired as of September 30, 2013.  In November 2011, the muncipality that issued our impaird ARS filed for bankruptcy protection.  As a result of the approval of the municipality's reorganization plan, and our voting elections, we received 65.0 % of the par value outstanding, or $2,113, during the quarter ended December 31, 2013, and we reversed the $234 temporary impairment that we previously recorded.  We believe that this ARS is no longer impaired as of December 31, 2013 based on: (1) the successful monetization of 65% of the par value of the security in accordance with a bankruptcy plan during the quarter ended December 31, 2013; (2) the fact that the bond insurer is now responsible for servicing all future interest and principal payments; (3) the fact that all interest payments have been received; and (4) our intention not to sell the security nor be required to sell the security until the value is collected in full, which may be at maturity.  As of December 31, 2013, this security has a fair value equal to its par value of $1,137.  We determined that the fair value of the other ARS was not impaired as of December 31, 2013.  See Note 5 for more information on these investments.

INVENTORIES

INVENTORIES	3 Months Ended
	Dec. 31, 2013
INVENTORIES [Abstract]	'
INVENTORIES	'
	3. INVENTORIES
	Inventories consisted of the following:
		31-Dec-13		30-Sep-13
	Raw materials	$	38,479	$	38,004
	Work in process		3,962		5,001
	Finished goods		23,677		20,781
	Total	$	66,118	$	63,786

GOODWILL_AND_OTHER_INTANGIBLE_

GOODWILL AND OTHER INTANGIBLE ASSETS	3 Months Ended
	Dec. 31, 2013
GOODWILL AND OTHER INTANGIBLE ASSETS [Abstract]	'
GOODWILL AND OTHER INTANGIBLE ASSETS	'
	4. GOODWILL AND OTHER INTANGIBLE ASSETS
	Goodwill was $43,801 as of December 31, 2013, and $44,306 as of September 30, 2013.  The decrease in goodwill was due to foreign exchange fluctuations of the New Taiwan dollar.
	The components of other intangible assets are as follows:
		31-Dec-13				30-Sep-13
		Gross Carrying Amount		Accumulated Amortization		Gross Carrying		Accumulated Amortization
						Amount
	Other intangible assets subject to amortization:
	Product technology	$	8,326	$	6,069	$	8,362	$	5,853
	Acquired patents and licenses		8,270		7,301		8,270		7,196
	Trade secrets and know-how		2,550		2,550		2,550		2,550
	Distribution rights, customer lists and other		12,365		7,721		12,496		7,484
	Total other intangible assets subject to amortization		31,511		23,641		31,678		23,083
	Total other intangible assets not subject to amortization*		1,190				1,190
	Total other intangible assets	$	32,701	$	23,641	$	32,868	$	23,083
	*      Total other intangible assets not subject to amortization consist primarily of trade names.
	Amortization expense on our other intangible assets was $656 and $661  for the three months ended December 30, 2013 and 2012, respectively.  Estimated future amortization expense for the five succeeding fiscal years is as follows:
	Fiscal Year	Estimated Amortization Expense
	Remainder of 2014	$	1,826
	2015		2,409
	2016		1,993
	2017		1,164
	2018		460
	Goodwill and indefinite-lived intangible assets are tested for impairment annually in the fourth quarter of the fiscal year or more frequently if indicators of potential impairment exist, using a fair-value-based approach.  The recoverability of goodwill is measured at the reporting unit level, which is defined as either an operating segment or one level below an operating segment.  An entity has the option to assess the fair value of a reporting unit either using a qualitative analysis ("step zero") or a discounted cash flow analysis ("step one").  Similarly, an entity has the option to use a step zero or a step one approach to determine the recoverability of indefinite-lived intangible assets.  In fiscal 2012, we used a step zero approach to assess the fair value of our reporting units and the recoverability of indefinite-lived intangible assets.  In fiscal 2013, we chose to refresh our step one analysis for both goodwill impairment and for indefinite-lived intangible asset impairment.  Changes in economic and operating conditions that occur after the annual impairment analysis or an interim impairment analysis that impact these assumptions may result in future impairment charges.
	We completed our annual impairment test during our fourth quarter of fiscal 2013 and concluded that no impairment existed.  There were no indicators of potential impairment during the quarter ended December 31, 2013, so it was not necessary to perform an impairment review for goodwill and indefinite-lived intangible assets during the quarter.  There have been no cumulative impairment charges recorded on the goodwill for any of our reporting units.

OTHER_LONGTERM_ASSETS

OTHER LONG-TERM ASSETS	3 Months Ended
	Dec. 31, 2013
OTHER LONG-TERM ASSETS [Abstract]	'
OTHER LONG-TERM ASSETS	'
	5. OTHER LONG-TERM ASSETS
	Other long-term assets consisted of the following:
		31-Dec-13		30-Sep-13
	Auction rate securities	$	6,087	$	7,966
	Other long-term assets		2,806		3,086
	Other long-term investments		1,636		1,375
	Total	$	10,529	$	12,427
	As discussed in Note 2 of this Form 10-Q, the two ARS that we owned as of December 31, 2013 are classified as long-term investments.  One of the securities is credit enhanced with bond insurance and the other is now an obligation of the bond insurer, and all interest payments continue to be received on a timely basis.  Although we believe these securities will ultimately be collected in full, we believe that it is not likely that we will be able to monetize the securities in our next business cycle (which for us is generally one year).  As discussed in Note 2, we received 65.0 %of the par value outstanding of one of the ARS, or $2,113, during the quarter ended December 31, 2013, and we reversed the $234 pretax reduction ($151 net of tax) in fair value on that ARS that we first recognized in fiscal 2008.  We believe this security is no longer impaired based on: (1) the successful monetization of 65% of the par value of the security in accordance with a bankruptcy plan during the quarter ended December 31, 2013; (2) the fact that the bond insurer is now responsible for servicing all future interest and principal payments; (3) the fact that all interest payments have been received; and (4) our intention not to sell the security nor be required to sell the security until the value is collected in full, which may be at maturity.
	As discussed in Note 2 of this Form 10-Q, we recorded a long-term asset and a corresponding long-term liability of $1,636 representing the fair value of our SERP investments as of December 31, 2013.

ACCRUED_EXPENSES_INCOME_TAXES_

ACCRUED EXPENSES, INCOME TAXES PAYABLE AND OTHER CURRENT LIABILITIES	3 Months Ended
	Dec. 31, 2013
ACCRUED EXPENSES, INCOME TAXES PAYABLE AND OTHER CURRENT LIABILITIES [Abstract]	'
ACCRUED EXPENSES, INCOME TAXES PAYABLE AND OTHER CURRENT LIABILITIES	'
	6. ACCRUED EXPENSES, INCOME TAXES PAYABLE AND OTHER CURRENT LIABILITIES
	Accrued expenses, income taxes payable and other current liabilities consisted of the following:
		31-Dec-13		30-Sep-13
	Accrued compensation	$	12,080	$	24,601
	Goods and services received, not yet invoiced		3,396		4,681
	Deferred revenue and customer advances		549		458
	Warranty accrual		271		324
	Income taxes payable		8,063		6,931
	Taxes, other than income taxes		1,092		951
	Other		3,052		1,953
	Total	$	28,503	$	39,899
	The decrease in accrued compensation was primarily due to the payment of our annual incentive bonus program earned in fiscal 2013, partially offset by one quarter of accrual under our annual incentive bonus program related to fiscal 2014.

DEBT

DEBT	3 Months Ended
	Dec. 31, 2013
DEBT [Abstract]	'
DEBT	'
	7. DEBT
	On February 13, 2012, we entered into a credit agreement (the "Credit Agreement") among the Company, as Borrower, Bank of America, N.A., as administrative agent, swing line lender and an L/C issuer, Bank of America Merrill Lynch and J.P. Morgan Securities LLC, as joint lead arrangers and joint book managers, JPMorgan Chase Bank, N.A., as syndication agent, and Wells Fargo Bank, N.A. as documentation agent.  The Credit Agreement provided us with a $175,000 term loan (the "Term Loan"), which we drew on February 27, 2012 to fund approximately half of the special cash dividend we paid to our stockholders on March 1, 2012, and a $100,000 revolving credit facility (the "Revolving Credit Facility"), which remains undrawn, with sub-limits for multicurrency borrowings, letters of credit and swing-line loans.  The Term Loan and the Revolving Credit Facility are referred to as the "Credit Facilities."  The Credit Agreement provides for an uncommitted accordion feature that allows us to request the existing lenders or, if necessary, third-party financial institutions to provide additional capacity in the Revolving Credit Facility, in an amount not to exceed $75,000.  The Credit Facilities are scheduled to expire on February 13, 2017.
	Borrowings under the Credit Facilities (other than in respect of swing-line loans) bear interest at a rate per annum equal to the "Applicable Rate" (as defined below) plus, at our option, either (1) a LIBOR rate determined by reference to the cost of funds for deposits in the relevant currency for the interest period relevant to such borrowing or (2) the "Base Rate", which is the highest of (x) the prime rate of Bank of America, N.A., (y) the federal funds rate plus 1/2 of 1.00% and (z) the one-month LIBOR rate plus 1.00%. The initial Applicable Rate for borrowings under the Credit Facilities was 1.75% with respect to LIBOR borrowings and 0.25% with respect to Base Rate borrowings, with such Applicable Rate subject to adjustment based on our consolidated leverage ratio. Swing-line loans will bear interest at the Base Rate plus the Applicable Rate for Base Rate loans under the Revolving Credit Facility.  In addition to paying interest on outstanding principal under the Credit Agreement, we pay a commitment fee to the lenders under the Revolving Credit Facility in respect of the unutilized commitments thereunder at a rate ranging from 0.25% to 0.35%, based on our consolidated leverage ratio.  Interest expense and commitment fees are paid according to the relevant interest period and no less frequently than at the end of each calendar quarter.  We paid $2,658 in customary arrangement fees, upfront fees and administration fees, of which $531 and $1,141 remains in prepaid expenses and other current assets and other long-term assets, respectively, on our Consolidated Balance Sheet as of December 31, 2013.  We must also pay letter of credit fees as necessary.  The Term Loan has periodic scheduled repayments; however, we may voluntarily prepay the Credit Facilities without premium or penalty, subject to customary "breakage" fees and reemployment costs in the case of LIBOR borrowings.  All obligations under the Credit Agreement are guaranteed by each of our existing and future direct and indirect domestic subsidiaries.  The obligations under the Credit Agreement and guarantees of those obligations are secured, subject to certain exceptions, by first priority liens and security interests in the assets of the Company and its domestic subsidiaries.
	The Credit Agreement contains covenants that restrict the ability of the Company and its subsidiaries to take certain actions, including, among other things and subject to certain significant exceptions: creating liens, incurring indebtedness, making investments, engaging in mergers, selling property, paying dividends or amending organizational documents. The Credit Agreement requires us to comply with certain financial ratio maintenance covenants, including a maximum consolidated leverage ratio of 2.75 to 1.00 through June 30, 2014 and a minimum consolidated fixed charge coverage ratio of 1.25 to 1.00.  The maximum consolidated leverage ratio will decrease to 2.50 to 1.00 from July 1, 2014 through the termination fo the Credit Agreement.  As of December 31, 2013, our consolidated leverage ratio was 1.52 to 1.00 and our consolidated fixed charge coverage ratio was 4.72 to 1.00. The Credit Agreement also contains customary affirmative covenants and events of default. We believe we are in compliance with these covenants.
	At December 31, 2013, the fair value of the Term Loan, using level 2 inputs, approximates its carrying value of $159,688 as the loan bears a floating market rate of interest.  As of December 31, 2013, $12,031 of the debt outstanding is classified as short-term.
	Principal repayments of the Term Loan are generally made on the last calendar day of each quarter if that day is considered to be a business day.  As of December 31, 2013, scheduled principal repayments of the Term Loan were as follows:
	Fiscal Year	Principal Repayments
	Remainder of 2014	$	8,751
	2015		15,312
	2016		21,875
	2017		113,750
	Total	$	159,688

DERIVATIVE_FINANCIAL_INSTRUMEN

DERIVATIVE FINANCIAL INSTRUMENTS	3 Months Ended
	Dec. 31, 2013
DERIVATIVE FINANCIAL INSTRUMENTS [Abstract]	'
DERIVATIVE FINANCIAL INSTRUMENTS	'
	8. DERIVATIVE FINANCIAL INSTRUMENTS
	Periodically we enter into forward foreign exchange contracts in an effort to mitigate the risks associated with currency fluctuations on certain foreign currency balance sheet exposures.  Our foreign exchange contracts do not qualify for hedge accounting; therefore, the gains and losses resulting from the impact of currency exchange rate movements on our forward foreign exchange contracts are recognized as other income or expense in the accompanying consolidated income statements in the period in which the exchange rates change.  We do not use derivative financial instruments for trading or speculative purposes.  In addition, all derivatives, whether designated in hedging relationships or not, are required to be recorded on the balance sheet at fair value.  At December 31, 2013, we had one forward foreign exchange contract to sell Japanese yen related to intercompany notes with one of our subsidiaries in Japan and for the purpose of hedging the risk associated with a net transactional exposure in Japanese yen.
	The fair value of our derivative instrument included in the Consolidated Balance Sheet, which was determined using level 2 inputs, was as follows:
			Asset Derivatives							Liability Derivatives
		Balance Sheet Location	Fair Value at December 31, 2013				Fair Value at September 30, 2013			Fair Value at December 31, 2013			Fair Value at September 30, 2013
	Derivatives not designated as hedging instruments
	Foreign exchange contracts	Prepaid expenses and other current assets		$	-			$	60		$	-		$	-
	Accrued expenses and other current liabilities			$	-			$	-		$	122		$	-
	The following table summarizes the effect of our derivative instrument on our Consolidated Statement of Income for the three months ended December 31:
			Three Months Ended
		Statement of Income Location	31-Dec-13				31-Dec-12
	Derivatives not designated as hedging instruments
	Foreign exchange contracts	Other income (expense), net		$	(392	)		$	241

COMMITMENTS_AND_CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	3 Months Ended
	Dec. 31, 2013
COMMITMENTS AND CONTINGENCIES [Abstract]	'
COMMITMENTS AND CONTINGENCIES	'
	9. COMMITMENTS AND CONTINGENCIES
	LEGAL PROCEEDINGS
	While we are not involved in any legal proceedings that we believe will have a material impact on our consolidated financial position, results of operations or cash flows, we periodically become a party to legal proceedings in the ordinary course of business.
	Refer to Note 16 of "Notes to the Consolidated Financial Statements" in Item 8 of Part II of our annual report on Form 10-K for the fiscal year ended September 30, 2013, for additional information regarding commitments and contingencies.
	PRODUCT WARRANTIES
	We maintain a warranty reserve that reflects management's best estimate of the cost to replace product that does not meet our specifications and customer's performance requirements, and costs related to such replacement.  The warranty reserve is based upon a historical product replacement rate, adjusted for any specific known conditions or circumstances.  Additions and deductions to the warranty reserve are recorded in cost of goods sold.  Our warranty reserve activity during the first three months of fiscal 2014 was as follows:
	Balance as of September 30, 2013	$	324
	Reserve for product warranty during the reporting period		181
	Settlement of warranty		(234	)
	Balance as of December 31, 2013	$	271
	PURCHASE OBLIGATIONS
	Purchase obligations include our take-or-pay arrangements with suppliers, and purchase orders and other obligations entered into in the normal course of business regarding the purchase of goods and services.  We operate under a fumed silica supply agreement with Cabot Corporation, our former parent Company which is not a related party, which requires us to purchase certain minimum quantities of fumed silica each year of the agreement, and to pay a shortfall if we purchase less than the minimum.  The agreement became effective as of January 1, 2013 with an initial term of four years.  Purchase obligations include $102,996 of contractual commitments related to our Cabot Corporation agreement for fumed silica.
	POSTRETIREMENT OBLIGATIONS IN FOREIGN JURISDICTIONS
	We have unfunded defined benefit plans covering employees in certain foreign jurisdictions as required by local law.  Benefit costs, consisting primarily of service costs, are recorded as fringe benefit expense under cost of goods sold and operating expenses in our Consolidated Statements of Income.  The projected benefit obligations and accumulated benefit obligations under all such unfunded plans are updated annually during the fourth quarter of the fiscal year.  Benefit payments under all such unfunded plans to be paid over the next 10 years are expected to be immaterial.  For more information regarding these plans, refer to Note 16 of "Notes to the Consolidated Financial Statements" included in Item 8 of Part II of our annual report on Form 10-K for the fiscal year ended September 30, 2013.

SHAREBASED_COMPENSATION_PLANS

SHARE-BASED COMPENSATION PLANS	3 Months Ended
	Dec. 31, 2013
SHARE-BASED COMPENSATION PLANS [Abstract]	'
SHARE-BASED COMPENSATION PLANS	'
	10. SHARE-BASED COMPENSATION PLANS
	We issue share-based awards under the following programs: our Cabot Microelectronics Corporation 2012 Omnibus Incentive Plan (OIP), our Cabot Microelectronics Corporation 2007 Employee Stock Purchase Plan, as Amended and Restated January 1, 2010 (ESPP), and, pursuant to the OIP, our Directors' Deferred Compensation Plan, as amended September 23, 2008 (DDCP), and our 2001 Executive Officer Deposit Share Program (DSP).  Prior to March 2012, when our stockholders approved the OIP, we issued share-based payments under our Second Amended and Restated Cabot Microelectronics Corporation 2000 Equity Incentive Plan, as amended and restated September 23, 2008 (EIP); our ESPP, and, pursuant to the EIP, the DDCP and DSP.  For additional information regarding these programs, refer to Note 11 of "Notes to the Consolidated Financial Statements" included in Item 8 of Part II of our annual report on Form 10-K for the fiscal year ended September 30, 2013.  Other than the ESPP, all share-based payments granted beginning March 6, 2012 are being made from the OIP, and the EIP is no longer available for any awards.
	We record share-based compensation expense for all share-based awards, including stock option grants, restricted stock and restricted stock unit awards and employee stock purchase plan purchases.  We calculate share-based compensation expense using the straight-line approach based on awards ultimately expected to vest, which requires the use of an estimated forfeiture rate.  Our estimated forfeiture rate is primarily based on historical experience, but may be revised in future periods if actual forfeitures differ from the estimate.  We use the Black-Scholes option-pricing model to estimate the grant date fair value of our stock options and employee stock purchase plan purchases.  This model requires the input of highly subjective assumptions, including the price volatility of the underlying stock, the expected term of our stock options and the risk-free interest rate.  We estimate the expected volatility of our stock options based on a combination of our stock's historical volatility and the implied volatilities from actively-traded options on our stock.  We calculate the expected term of our stock options using historical stock option exercise data, and we add a slight premium to this expected term for employees who meet the definition of retirement eligible pursuant to their grants during the contractual term of the grant.  The risk-free rate is derived from the U.S. Treasury yield curve in effect at the time of grant.
	Share-based compensation expense for the three months ended December 31, 2013, and 2012, was as follows:
		Three Months Ended December 31,
		2013			2012
	Cost of goods sold	$	480		$	512
	Research, development and technical		366			366
	Selling and marketing		353			386
	General and administrative		2,167			2,230
	Total share-based compensation expense		3,366			3,494
	Tax benefit		(1,092	)		(1,186	)
	Total share-based compensation expense, net of tax	$	2,274		$	2,308
	For additional information regarding the estimation of fair value, refer to Note 11 of "Notes to the Consolidated Financial Statements" included in Item 8 of Part II of our annual report on Form 10-K for the fiscal year ended September 30, 2013.

OTHER_INCOME_EXPENSE_NET

OTHER INCOME (EXPENSE), NET	3 Months Ended
	Dec. 31, 2013
OTHER INCOME (EXPENSE), NET [Abstract]	'
OTHER INCOME (EXPENSE), NET	'
	11. OTHER INCOME, NET
	Other income, net, consisted of the following:
		Three Months Ended December 31,
		2013		2012
	Interest income	$	58	$	45
	Other income (expense)		559		809
	Total other income, net	$	617	$	854
	Other income (expense) primarily represents the gains and losses recorded on transactions denominated in foreign currencies.  The decrease in other income was primarily due to the impact of foreign currency fluctuations on monetary assets and liabilities denominated in currencies other than the functional currency, net of the gains and losses incurred on forward foreign exchange contracts discussed in Note 8 of this Form 10-Q.

INCOME_TAXES

INCOME TAXES	3 Months Ended
	Dec. 31, 2013
INCOME TAXES [Abstract]	'
INCOME TAXES	'
	12. INCOME TAXES
	Our effective income tax rate was 26.8 % for the three months ended December 31, 2013 compared to a 41.4 % effective income tax rate for the three months ended December 31, 2012.  The decrease in the effective tax rate during the first quarter of fiscal 2014 was primarily due to the absence of a $1,686 foreign tax adjustment, as discussed in Note 1 under the heading "Results of Operations", recorded in the first quarter of fiscal 2013, and lower income tax expense on foreign earnings resulting from our election to permanently reinvest the earnings of our foreign subsidiaries.  The Company was awarded a tax holiday in South Korea in conjunction with our investment in research, development and manufacturing facilities there.  Subject to certain conditions, which we believe we have met, this arrangement allows for a 0% tax in fiscal years 2013, 2014 and 2015, and a tax at 50% of the local statutory rate in effect for fiscal years 2016 and 2017.  This tax holiday reduced our income tax provision by approximately $755 in the first quarter of fiscal 2014.

EARNINGS_PER_SHARE

EARNINGS PER SHARE	3 Months Ended
	Dec. 31, 2013
EARNINGS PER SHARE [Abstract]	'
EARNINGS PER SHARE	'
	13. EARNINGS PER SHARE
	Basic earnings per share (EPS) is calculated by dividing net income available to common stockholders by the weighted-average number of common shares outstanding during the period, excluding the effects of unvested restricted stock awards with a right to receive non-forfeitable dividends, which are considered participating securities as prescribed by the two-class method under ASC 260.  Diluted EPS is calculated in a similar manner, but the weighted-average number of common shares outstanding during the period is increased to include the weighted-average dilutive effect of "in-the-money" stock options and unvested restricted stock shares using the treasury stock method.
	The standards of accounting for earnings per share require companies to provide a reconciliation of the numerator and denominator of the basic and diluted earnings per share computations.  Basic and diluted earnings per share were calculated as follows:
		Three Months Ended December 31,
		2013			2012
	Numerator:
	Net income		11,308			9,703
	Less: income attributable to participating securities		(127	)		-
	Earnings available to common shares	$	$11,181		$	$9,703
	Denominator:
	Weighted average common shares		23,589,627			22,844,896
	(Denominator for basic calculation)
	Weighted average effect of dilutive securities:
	Share-based compensation		1,033,333			812,734
	Diluted weighted average common shares		24,622,960			23,657,630
	(Denominator for diluted calculation)
	Earnings per share:
	Basic	$	$0.47		$	$0.42
	Diluted	$	$0.45		$	$0.41
	For the three months ended December 31, 2013 and 2012, approximately 0.5 million and 1.7 million shares, respectively, attributable to outstanding stock options were excluded from the calculation of diluted earnings per share because the exercise price of the options was greater than the average market price of our common stock and, therefore, their inclusion would have been anti-dilutive.

FINANCIAL_INFORMATION_BY_INDUS

FINANCIAL INFORMATION BY INDUSTRY SEGMENT, GEOGRAPHIC AREA AND PRODUCT LINE	3 Months Ended
	Dec. 31, 2013
FINANCIAL INFORMATION BY INDUSTRY SEGMENT, GEOGRAPHIC AREA AND PRODUCT LINE [Abstract]	'
FINANCIAL INFORMATION BY INDUSTRY SEGMENT, GEOGRAPHIC AREA AND PRODUCT LINE	'
	14. FINANCIAL INFORMATION BY INDUSTRY SEGMENT AND PRODUCT LINE
	We operate predominantly in one industry segment – the development, manufacture, and sale of CMP consumables.
	Revenue generated by product line for the three months ended December 31, 2013, and 2012, was as follows:
		Three Months Ended December 31,
	Revenue:	2013		2012
	Tungsten slurries	$	37,369	$	40,706
	Dielectric slurries		29,946		30,358
	Other Metals slurries		17,805		17,984
	Polishing pads		7,410		8,464
	Data storage slurries		4,982		5,062
	Engineered Surface Finishes		3,003		3,959
	Total revenue	$	100,515	$	106,533
	In past years, we have referred to "Other Metals slurries" as "Copper slurries", which included slurries for polishing copper, barrier and aluminum.  To more accurately reflect current development and changes within this product family, and in particular, growth in revenue for polishing aluminum, we now refer to this product family as "Other Metals slurries".

NEW_ACCOUNTING_PRONOUNCEMENTS

NEW ACCOUNTING PRONOUNCEMENTS	3 Months Ended
	Dec. 31, 2013
NEW ACCOUNTING PRONOUNCEMENTS [Abstract]	'
NEW ACCOUNTING PRONOUNCEMENTS	'
	15. NEW ACCOUNTING PRONOUNCEMENTS
	In July 2013, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2013-11, "Income Taxes (Topic 740) – Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists" (ASU 2013-11).  The provisions of ASU 2013-11 require an entity to present an unrecognized tax benefit, or a portion of an unrecognized tax benefit, as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward when the related deferred tax asset is available to be utilized.  ASU 2013-11 is effective for us beginning October 1, 2014.  We do not expect the adoption of ASU 2013-11 will have a material impact on our financial statements.

FAIR_VALUE_OF_FINANCIAL_INSTRU1

FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)	3 Months Ended
	Dec. 31, 2013
FAIR VALUE OF FINANCIAL INSTRUMENTS [Abstract]	'
Schedule of Fair Value of Financial Instruments	'
	The following table presents financial instruments, other than long-term debt, that we measured at fair value on a recurring basis at December 31, 2013 and September 30, 2013.  See Note 7 for a detailed discussion of our long-term debt.  We have chosen to not measure any of our other financial instruments at fair value as we believe their carrying value approximates their fair value.  We have classified the following assets in accordance with the fair value hierarchy set forth in the applicable standards.  In instances where the inputs used to measure the fair value of an asset fall into more than one level of the hierarchy, we have classified them based on the lowest level input that is significant to the determination of the fair value.
	31-Dec-13	Level 1			Level 2		Level 3		Total
									Fair Value
	Cash and cash equivalents	$	246,463		$	-	$	-	$	246,463
	Auction rate securities (ARS)		-			-		6,087		6,087
	Other long-term investments		1,636			-		-		1,636
	Total	$	248,099		$	-	$	6,087	$	254,186
	30-Sep-13	Level 1			Level 2		Level 3		Total
									Fair Value
	Cash and cash equivalents	$	226,029		$	-	$	-	$	226,029
	Auction rate securities (ARS)		-			-		7,966		7,966
	Other long-term investments		1,375			-		-		1,375
	Total	$	227,404		$	-	$	7,966	$	235,370
Schedule of Auction Rate Securities (ARS) Activity	'
	Since an active market for ARS does not currently exist, we classify these investments as held-to-maturity and we determine the fair value of these investments using a Level 3 discounted cash flow analysis and also consider other factors such as the reduced liquidity in the ARS market and nature of the insurance backing.  Key inputs to our discounted cash flow model include projected cash flows from interest and principal payments and the weighted probabilities of improved liquidity or debt refinancing by the issuer.  We also incorporate certain Level 2 market indices into the discounted cash flow analysis, including published rates such as the LIBOR rate, the LIBOR swap curve and a municipal swap index published by the Securities Industry and Financial Markets Association.  The following table presents a reconciliation of the activity in fiscal 2014 for fair value measurements using level 3 inputs:
	Balance as of October 1, 2013	$	7,966
	Net sales of ARS		(2,113	)
	Reversal of temporary impairment		234
	Balance as of December 31, 2013	$	6,087

INVENTORIES_Tables

INVENTORIES (Tables)	3 Months Ended
	Dec. 31, 2013
INVENTORIES [Abstract]	'
Schedule of inventories	'
	Inventories consisted of the following:
		31-Dec-13		30-Sep-13
	Raw materials	$	38,479	$	38,004
	Work in process		3,962		5,001
	Finished goods		23,677		20,781
	Total	$	66,118	$	63,786

GOODWILL_AND_OTHER_INTANGIBLE_1

GOODWILL AND OTHER INTANGIBLE ASSETS (Tables)	3 Months Ended
	Dec. 31, 2013
GOODWILL AND OTHER INTANGIBLE ASSETS [Abstract]	'
Components of other intangible assets	'
	The components of other intangible assets are as follows:
		31-Dec-13				30-Sep-13
		Gross Carrying Amount		Accumulated Amortization		Gross Carrying		Accumulated Amortization
						Amount
	Other intangible assets subject to amortization:
	Product technology	$	8,326	$	6,069	$	8,362	$	5,853
	Acquired patents and licenses		8,270		7,301		8,270		7,196
	Trade secrets and know-how		2,550		2,550		2,550		2,550
	Distribution rights, customer lists and other		12,365		7,721		12,496		7,484
	Total other intangible assets subject to amortization		31,511		23,641		31,678		23,083
	Total other intangible assets not subject to amortization*		1,190				1,190
	Total other intangible assets	$	32,701	$	23,641	$	32,868	$	23,083
	*      Total other intangible assets not subject to amortization consist primarily of trade names.
Estimated future amortization expense for the succeeding five fiscal years	'
	Amortization expense on our other intangible assets was $656 and $661  for the three months ended December 30, 2013 and 2012, respectively.  Estimated future amortization expense for the five succeeding fiscal years is as follows:
	Fiscal Year	Estimated Amortization Expense
	Remainder of 2014	$	1,826
	2015		2,409
	2016		1,993
	2017		1,164
	2018		460

OTHER_LONGTERM_ASSETS_Tables

OTHER LONG-TERM ASSETS (Tables)	3 Months Ended
	Dec. 31, 2013
OTHER LONG-TERM ASSETS [Abstract]	'
Schedule of other long term assets	'
	Other long-term assets consisted of the following:
		31-Dec-13		30-Sep-13
	Auction rate securities	$	6,087	$	7,966
	Other long-term assets		2,806		3,086
	Other long-term investments		1,636		1,375
	Total	$	10,529	$	12,427

ACCRUED_EXPENSES_INCOME_TAXES_1

ACCRUED EXPENSES, INCOME TAXES PAYABLE AND OTHER CURRENT LIABILITIES (Tables)	3 Months Ended
	Dec. 31, 2013
ACCRUED EXPENSES, INCOME TAXES PAYABLE AND OTHER CURRENT LIABILITIES [Abstract]	'
Schedule of accrued expenses, income taxes payable and other current liabilities	'
	Accrued expenses, income taxes payable and other current liabilities consisted of the following:
		31-Dec-13		30-Sep-13
	Accrued compensation	$	12,080	$	24,601
	Goods and services received, not yet invoiced		3,396		4,681
	Deferred revenue and customer advances		549		458
	Warranty accrual		271		324
	Income taxes payable		8,063		6,931
	Taxes, other than income taxes		1,092		951
	Other		3,052		1,953
	Total	$	28,503	$	39,899

DEBT_Tables

DEBT (Tables)	3 Months Ended
	Dec. 31, 2013
DEBT [Abstract]	'
Schedule of Maturities of Long-term Debt	'
	Principal repayments of the Term Loan are generally made on the last calendar day of each quarter if that day is considered to be a business day.  As of December 31, 2013, scheduled principal repayments of the Term Loan were as follows:
	Fiscal Year	Principal Repayments
	Remainder of 2014	$	8,751
	2015		15,312
	2016		21,875
	2017		113,750
	Total	$	159,688

DERIVATIVE_FINANCIAL_INSTRUMEN1

DERIVATIVE FINANCIAL INSTRUMENTS (Tables)	3 Months Ended
	Dec. 31, 2013
DERIVATIVE FINANCIAL INSTRUMENTS [Abstract]	'
Schedule of Fair Value of Derivative Instruments in the Consolidated Balance Sheet	'
	The fair value of our derivative instrument included in the Consolidated Balance Sheet, which was determined using level 2 inputs, was as follows:
			Asset Derivatives							Liability Derivatives
		Balance Sheet Location	Fair Value at December 31, 2013				Fair Value at September 30, 2013			Fair Value at December 31, 2013			Fair Value at September 30, 2013
	Derivatives not designated as hedging instruments
	Foreign exchange contracts	Prepaid expenses and other current assets		$	-			$	60		$	-		$	-
	Accrued expenses and other current liabilities			$	-			$	-		$	122		$	-
Schedule of the Effect of Derivative Instruments on the Consolidated Statement of Income	'
	The following table summarizes the effect of our derivative instrument on our Consolidated Statement of Income for the three months ended December 31:
			Three Months Ended
		Statement of Income Location	31-Dec-13				31-Dec-12
	Derivatives not designated as hedging instruments
	Foreign exchange contracts	Other income (expense), net		$	(392	)		$	241

COMMITMENTS_AND_CONTINGENCIES_

COMMITMENTS AND CONTINGENCIES (Tables)	3 Months Ended
	Dec. 31, 2013
COMMITMENTS AND CONTINGENCIES [Abstract]	'
Schedule of product warranty reserve activity	'
	We maintain a warranty reserve that reflects management's best estimate of the cost to replace product that does not meet our specifications and customer's performance requirements, and costs related to such replacement.  The warranty reserve is based upon a historical product replacement rate, adjusted for any specific known conditions or circumstances.  Additions and deductions to the warranty reserve are recorded in cost of goods sold.  Our warranty reserve activity during the first three months of fiscal 2014 was as follows:
	Balance as of September 30, 2013	$	324
	Reserve for product warranty during the reporting period		181
	Settlement of warranty		(234	)
	Balance as of December 31, 2013	$	271

SHAREBASED_COMPENSATION_PLANS_

SHARE-BASED COMPENSATION PLANS (Tables)	3 Months Ended
	Dec. 31, 2013
SHARE-BASED COMPENSATION PLANS [Abstract]	'
Share based compensation expense	'
	Share-based compensation expense for the three months ended December 31, 2013, and 2012, was as follows:
		Three Months Ended December 31,
		2013			2012
	Cost of goods sold	$	480		$	512
	Research, development and technical		366			366
	Selling and marketing		353			386
	General and administrative		2,167			2,230
	Total share-based compensation expense		3,366			3,494
	Tax benefit		(1,092	)		(1,186	)
	Total share-based compensation expense, net of tax	$	2,274		$	2,308

OTHER_INCOME_EXPENSE_NET_Table

OTHER INCOME (EXPENSE), NET (Tables)	3 Months Ended
	Dec. 31, 2013
OTHER INCOME (EXPENSE), NET [Abstract]	'
Other income (expense), net	'
	Other income, net, consisted of the following:
		Three Months Ended December 31,
		2013		2012
	Interest income	$	58	$	45
	Other income (expense)		559		809
	Total other income, net	$	617	$	854

EARNINGS_PER_SHARE_Tables

EARNINGS PER SHARE (Tables)	3 Months Ended
	Dec. 31, 2013
EARNINGS PER SHARE [Abstract]	'
Earnings Per Share	'
	The standards of accounting for earnings per share require companies to provide a reconciliation of the numerator and denominator of the basic and diluted earnings per share computations.  Basic and diluted earnings per share were calculated as follows:
		Three Months Ended December 31,
		2013			2012
	Numerator:
	Net income		11,308			9,703
	Less: income attributable to participating securities		(127	)		-
	Earnings available to common shares	$	$11,181		$	$9,703
	Denominator:
	Weighted average common shares		23,589,627			22,844,896
	(Denominator for basic calculation)
	Weighted average effect of dilutive securities:
	Share-based compensation		1,033,333			812,734
	Diluted weighted average common shares		24,622,960			23,657,630
	(Denominator for diluted calculation)
	Earnings per share:
	Basic	$	$0.47		$	$0.42
	Diluted	$	$0.45		$	$0.41

FINANCIAL_INFORMATION_BY_INDUS1

FINANCIAL INFORMATION BY INDUSTRY SEGMENT, GEOGRAPHIC AREA AND PRODUCT LINE (Tables)	3 Months Ended
	Dec. 31, 2013
FINANCIAL INFORMATION BY INDUSTRY SEGMENT, GEOGRAPHIC AREA AND PRODUCT LINE [Abstract]	'
Schedule of revenue by product line	'
	Revenue generated by product line for the three months ended December 31, 2013, and 2012, was as follows:
		Three Months Ended December 31,
	Revenue:	2013		2012
	Tungsten slurries	$	37,369	$	40,706
	Dielectric slurries		29,946		30,358
	Other Metals slurries		17,805		17,984
	Polishing pads		7,410		8,464
	Data storage slurries		4,982		5,062
	Engineered Surface Finishes		3,003		3,959
	Total revenue	$	100,515	$	106,533

BACKGROUND_AND_BASIS_OF_PRESEN1

BACKGROUND AND BASIS OF PRESENTATION (Details) (USD $)	3 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Dec. 31, 2012
BACKGROUND AND BASIS OF PRESENTATION [Abstract]	'
Foreign income tax adjustment	$1,686
Diluted earnings per share effect of foreign income tax adjustment	$0.07

FAIR_VALUE_OF_FINANCIAL_INSTRU2

FAIR VALUE OF FINANCIAL INSTRUMENTS (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013
FAIR VALUE OF FINANCIAL INSTRUMENTS [Abstract]	'
Other long-term investments, Supplemental Employee Retirement Plan (SERP)	$1,636
Corresponding SERP liability	1,636
Number of tax exempt municipal debt securities	2
Auction rate securities (ARS) par value	6,087
Fair value of formerly impaired security	1,137
Par value of formerly impaired security	1,137
Percentage of par value received from auction rate security settlement	65.00%
Monetized par value of impaired security	$2,113

FAIR_VALUE_OF_FINANCIAL_INSTRU3

FAIR VALUE OF FINANCIAL INSTRUMENTS, Schedule of Fair Value of Financial Instruments (Details) (Fair Value, Measurements, Recurring [Member], USD $)	Dec. 31, 2013	Sep. 30, 2013
In Thousands, unless otherwise specified
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Cash and cash equivalents	$246,463	$226,029
Auction rate securities (ARS)	6,087	7,966
Other long-term investments	1,636	1,375
Total	254,186	235,370
Level 1 [Member]	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Cash and cash equivalents	246,463	226,029
Auction rate securities (ARS)	0	0
Other long-term investments	1,636	1,375
Total	248,099	227,404
Level 2 [Member]	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Cash and cash equivalents	0	0
Auction rate securities (ARS)	0	0
Other long-term investments	0	0
Total	0	0
Level 3 [Member]	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Cash and cash equivalents	0	0
Auction rate securities (ARS)	6,087	7,966
Other long-term investments	0	0
Total	$6,087	$7,966

FAIR_VALUE_OF_FINANCIAL_INSTRU4

FAIR VALUE OF FINANCIAL INSTRUMENTS, Schedule of Auction Rate Securities (ARS) Activity (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]	'
Balance as of October 1, 2013	$7,966
Net sales of ARS	-2,113
Reversal of temporary impairment	234
Balance as of December 31, 2013	$6,087

INVENTORIES_Details

INVENTORIES (Details) (USD $)	Dec. 31, 2013	Sep. 30, 2013
In Thousands, unless otherwise specified
INVENTORIES [Abstract]	'	'
Raw materials	$38,479	$38,004
Work in process	3,962	5,001
Finished goods	23,677	20,781
Total	$66,118	$63,786

GOODWILL_AND_OTHER_INTANGIBLE_2

GOODWILL AND OTHER INTANGIBLE ASSETS (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012	Sep. 30, 2013
Goodwill [Roll Forward]	'	'	'
Beginning Balance	$44,306	'	'
Ending Balance	43,801	'	'
Finite-Lived Intangible Assets [Line Items]	'	'	'
Gross Carrying Amount subject to amortization	31,511	'	31,678
Accumulated Amortization	23,641	'	23,083
Other intangible assets [Abstract]	'	'	'
Amortization expense	656	661	'
Indefinite-lived Intangible Assets by Major Class [Line Items]	'	'	'
Gross Carrying Amount not subject to amortization	1,190	'	1,190
Estimated future amortization expense [Abstract]	'	'	'
Remainder of 2014	1,826	'	'
2015	2,409	'	'
2016	1,993	'	'
2017	1,164	'	'
2018	460	'	'
Total other intangible assets, gross carrying amount	32,701	'	32,868
Product Technology [Member]	'	'	'
Finite-Lived Intangible Assets [Line Items]	'	'	'
Gross Carrying Amount subject to amortization	8,326	'	8,362
Accumulated Amortization	6,069	'	5,853
Acquired Patents and Licenses [Member]	'	'	'
Finite-Lived Intangible Assets [Line Items]	'	'	'
Gross Carrying Amount subject to amortization	8,270	'	8,270
Accumulated Amortization	7,301	'	7,196
Trade Secrets [Member]	'	'	'
Finite-Lived Intangible Assets [Line Items]	'	'	'
Gross Carrying Amount subject to amortization	2,550	'	2,550
Accumulated Amortization	2,550	'	2,550
Distribution Rights, Customer relationships, and Other [Member]	'	'	'
Finite-Lived Intangible Assets [Line Items]	'	'	'
Gross Carrying Amount subject to amortization	12,365	'	12,496
Accumulated Amortization	$7,721	'	$7,484

OTHER_LONGTERM_ASSETS_Details

OTHER LONG-TERM ASSETS (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013	Sep. 30, 2013
OTHER LONG-TERM ASSETS [Abstract]	'	'
Auction rate securities	$6,087	$7,966
Other long-term assets	2,806	3,086
Other long-term investments	1,636	1,375
Total	10,529	12,427
Number of Auction rate securities	2	'
Monetization of Auction Rate Securities	2,113	'
Percentage of par value received from auction rate security settlement	65.00%	'
Reversal of temporary impairment	234	'
Reversal of temporary impairment net of tax	151	'
Long-term liability, SERP investments	$1,636	'

ACCRUED_EXPENSES_INCOME_TAXES_2

ACCRUED EXPENSES, INCOME TAXES PAYABLE AND OTHER CURRENT LIABILITIES (Details) (USD $)	Dec. 31, 2013	Sep. 30, 2013
In Thousands, unless otherwise specified
ACCRUED EXPENSES, INCOME TAXES PAYABLE AND OTHER CURRENT LIABILITIES [Abstract]	'	'
Accrued compensation	$12,080	$24,601
Goods and services received, not yet invoiced	3,396	4,681
Deferred revenue and customer advances	549	458
Warranty accrual	271	324
Income taxes payable	8,063	6,931
Taxes, other than income taxes	1,092	951
Other	3,052	1,953
Total	$28,503	$39,899

DEBT_Details

DEBT (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012	Sep. 30, 2013
DEBT [Abstract]	'	'	'
Debt Instrument, Face Amount	$175,000	'	'
Debt Instrument [Line Items]	'	'	'
Debt Instrument, Maturity Date	13-Feb-17	'	'
Debt issuance costs	'	2,658	'
Debt issuance costs, current	531	'	'
Debt issuance costs, noncurrent	1,141	'	'
Line of Credit Facility, Covenant Terms	'The Credit Agreement contains covenants that restrict the ability of the Company and its subsidiaries to take certain actions, including, among other things and subject to certain significant exceptions: creating liens, incurring indebtedness, making investments, engaging in mergers, selling property, paying dividends or amending organizational documents. The Credit Agreement requires us to comply with certain financial ratio maintenance covenants, including a maximum consolidated leverage ratio of 2.75 to 1.00 through June 30, 2014 and a minimum consolidated fixed charge coverage ratio of 1.25 to 1.00. The maximum consolidated leverage ratio will decrease to 2.50 to 1.00 from July 1, 2014 through the termination fo the Credit Agreement. As of December 31, 2013, our consolidated leverage ratio was 1.52 to 1.00 and our consolidated fixed charge coverage ratio was 4.72 to 1.00. The Credit Agreement also contains customary affirmative covenants and events of default. We believe we are in compliance with these covenants.	'	'
Long-term Debt, by Maturity [Abstract]	'	'	'
Remainder of 2014	8,751	'	'
2015	15,312	'	'
2016	21,875	'	'
2017	113,750	'	'
Long Term Debt	159,688	'	'
Current portion of long-term debt	12,031	'	10,938
Repayment of long-term debt	-2,187	-4,375	'
Revolving Credit Facility [Member]	'	'	'
Debt Instrument [Line Items]	'	'	'
Line of credit facility, borrowing capacity	100,000	'	'
Line of Credit Facility, Additional Borrowing Capacity	75,000	'	'
Line of Credit Facility, Interest Rate Description	'In addition to paying interest on outstanding principal under the Credit Agreement, we pay a commitment fee to the lenders under the Revolving Credit Facility in respect of the unutilized commitments thereunder at a rate ranging from 0.25% to 0.35%, based on our consolidated leverage ratio.	'	'
Line of Credit Facility Unused Capacity Commitment Fee Percentage Minimum	0.25%	'	'
Line of Credit Facility Unused Capacity Commitment Fee Percentage Maximum	0.35%	'	'
Term Loan [Member]	'	'	'
Debt Instrument [Line Items]	'	'	'
Line of Credit Facility, Interest Rate Description	'Borrowings under the Credit Facilities (other than in respect of swing-line loans) bear interest at a rate per annum equal to the "Applicable Rate" (as defined below) plus, at our option, either (1) a LIBOR rate determined by reference to the cost of funds for deposits in the relevant currency for the interest period relevant to such borrowing or (2) the "Base Rate", which is the highest of (x) the prime rate of Bank of America, N.A., (y) the federal funds rate plus 1/2 of 1.00% and (z) the one-month LIBOR rate plus 1.00%. The initial Applicable Rate for borrowings under the Credit Facilities was 1.75% with respect to LIBOR borrowings and 0.25% with respect to Base Rate borrowings, with such Applicable Rate subject to adjustment based on our consolidated leverage ratio. Swing-line loans will bear interest at the Base Rate plus the Applicable Rate for Base Rate loans under the Revolving Credit Facility.	'	'
Debt instrument, fair value	$159,688	'	'

DERIVATIVE_FINANCIAL_INSTRUMEN2

DERIVATIVE FINANCIAL INSTRUMENTS (Details)	Dec. 31, 2013
DERIVATIVE FINANCIAL INSTRUMENTS [Abstract]	'
Number of forward foreign exchange contracts held	1
Number of subsidiaries in Japan with intercompany notes	1

DERIVATIVE_FINANCIAL_INSTRUMEN3

DERIVATIVE FINANCIAL INSTRUMENTS, Schedule of Fair Value of Derivative Instruments in the Consolidated Balance Sheet (Details) (Foreign Exchange Contract [Member], Not Designated as Hedging Instrument [Member], USD $)	Dec. 31, 2013	Sep. 30, 2013
In Thousands, unless otherwise specified
Prepaid Expenses and Other Current Assets [Member]	'	'
Derivatives, Fair Value [Line Items]	'	'
Fair value of foreign exchange contract asset derivatives	$0	$60
Fair value of foreign exchange contract liability derivatives	0	0
Accrued Expenses and Other Current Liabilities [Member]	'	'
Derivatives, Fair Value [Line Items]	'	'
Fair value of foreign exchange contract asset derivatives	0	0
Fair value of foreign exchange contract liability derivatives	$122	$0

DERIVATIVE_FINANCIAL_INSTRUMEN4

DERIVATIVE FINANCIAL INSTRUMENTS, Schedule of the Effect of Derivative Instruments on the Consolidated Statement of Income (Details) (Foreign Exchange Contract [Member], Other Income (Expense), Net [Member], Not Designated as Hedging Instrument [Member], USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Foreign Exchange Contract [Member] | Other Income (Expense), Net [Member] | Not Designated as Hedging Instrument [Member]	'	'
Derivative Instruments, Gain (Loss) [Line Items]	'	'
Gain (loss) recognized in statement of income	($392)	$241

COMMITMENTS_AND_CONTINGENCIES_1

COMMITMENTS AND CONTINGENCIES (Details) (USD $)	3 Months Ended	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013	Sep. 30, 2012
Movement in standard product warranty accrual [Roll Forward]	'	'
Balance as of September 30, 2013	$324	'
Reserve for product warranty during the reporting period	181	'
Settlement of warranty	-234	'
Balance as of December 31, 2013	271	'
Purchase obligations [Abstract]	'	'
Contract term	'	'4 years
Contractual commitments for fumed silica under purchase obligations	$102,996	'

SHAREBASED_COMPENSATION_PLANS_1

SHARE-BASED COMPENSATION PLANS (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Omnibus Incentive Plan [Abstract]	'	'
Share based compensation expense	$3,366	$3,494
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'
Stock based compensation expense	3,366	3,494
Stock based compensation - tax benefit	-1,092	-1,186
Total share-based compensation expense, net of tax	2,274	2,308
Cost of Goods Sold [Member]	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'
Stock based compensation expense	480	512
Research, Development and technical [Member]	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'
Stock based compensation expense	366	366
Selling and Marketing [Member]	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'
Stock based compensation expense	353	386
General and Administrative [Member]	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'
Stock based compensation expense	$2,167	$2,230

OTHER_INCOME_EXPENSE_NET_Detai

OTHER INCOME (EXPENSE), NET (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Other Income (Expense) Net [Line Items]	'	'
Total other income (expense), net	$617	$854
Interest Income [Member]	'	'
Other Income (Expense) Net [Line Items]	'	'
Total other income (expense), net	58	45
Other Income (Expense) Net [Member]	'	'
Other Income (Expense) Net [Line Items]	'	'
Total other income (expense), net	$559	$809

INCOME_TAXES_1_Details

INCOME TAXES (1) (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Income (loss) from continuing operations before income taxes [Abstract]	'	'
Total	$15,455	$16,561
Total U.S. and foreign	4,147	6,858
Effective income tax rate reconciliation [Abstract]	'	'
Provision for income taxes (in hundredths)	26.80%	41.40%
Foreign income tax adjustment	'	1,686
Tax holiday rate percentage	0.00%	'
Percentage of local statutory rate in effect for 2016 and 2017	50.00%	'
Income Tax Holiday, Aggregate Dollar Amount	$755	'

EARNINGS_PER_SHARE_Details

EARNINGS PER SHARE (Details) (USD $)	3 Months Ended
In Thousands, except Share data, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Numerator:	'	'
Net income	$11,308	$9,703
Undistributed Earnings Allocated to Participating Securities	-127	0
Earnings available to common shares	$11,181	$9,703
Denominator:	'	'
Weighted average common shares (Denominator for basic calculation, in shares)	23,589,627	22,844,896
Weighted average effect of dilutive securities:	'	'
Share-based compensation (in shares)	1,033,333	812,734
Diluted weighted average common shares (Denominator for diluted calculation, in shares)	24,622,960	23,657,630
Earnings per share:	'	'
Basic (in dollars per share)	$0.47	$0.42
Diluted (in dollars per share)	$0.45	$0.41
Outstanding stock options excluded from diluted earnings (in shares)	500,000	1,700,000

FINANCIAL_INFORMATION_BY_INDUS2

FINANCIAL INFORMATION BY INDUSTRY SEGMENT, GEOGRAPHIC AREA AND PRODUCT LINE (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012	Sep. 30, 2013
Revenues from External Customers and Long-Lived Assets [Line Items]	'	'	'
Revenue	$100,515	$106,533	'
Property, plant and equipment, net	$109,514	'	$111,985

FINANCIAL_INFORMATION_BY_INDUS3

FINANCIAL INFORMATION BY INDUSTRY SEGMENT, GEOGRAPHIC AREA AND PRODUCT LINE, SEGMENT REPORTING INFORMATION BY PRODUCT TYPE (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Revenue from External Customer [Line Items]	'	'
Revenue	$100,515	$106,533
Tungsten slurry [Member]	'	'
Revenue from External Customer [Line Items]	'	'
Revenue	37,369	40,706
Dielectric slurry [Member]	'	'
Revenue from External Customer [Line Items]	'	'
Revenue	29,946	30,358
Other Metals slurries [Member]	'	'
Revenue from External Customer [Line Items]	'	'
Revenue	17,805	17,984
Polishing pads [Member]	'	'
Revenue from External Customer [Line Items]	'	'
Revenue	7,410	8,464
Data storage slurry [Member]	'	'
Revenue from External Customer [Line Items]	'	'
Revenue	4,982	5,062
Engineered Surface Finishes [Member]	'	'
Revenue from External Customer [Line Items]	'	'
Revenue	$3,003	$3,959