Quarterly report pursuant to Section 13 or 15(d)

Fair Value Measurements

v2.4.0.8
Fair Value Measurements
9 Months Ended
Sep. 30, 2013
Fair Value Disclosures [Abstract]  
Fair Value Measurements
Fair Value Measurements

Assets and liabilities recorded at fair value in the consolidated balance sheets are categorized based upon the extent to which the fair value estimates are based upon observable or unobservable inputs.  Level inputs are as follows:
 
Level Input:
 
Input Definition:
Level I
 
Inputs are unadjusted, quoted prices for identical assets or liabilities in active markets at the measurement date.
 
 
 
Level II
 
Inputs other than quoted prices included in Level I that are observable for the asset or liability through corroboration with market data at the measurement date.
 
 
 
Level III
 
Unobservable inputs that reflect management’s best estimate of what market participants would use in pricing the asset or liability at the measurement date.
 
The following table summarizes fair value measurements by level at September 30, 2013, for assets and liabilities measured at fair value on a recurring basis:  
 
Level I
 
Level II
 
Level III
 
Total
Assets
 
 
 
 
 
 
 
Cash and cash equivalents
$
741,281

 
$

 
$

 
$
741,281

Investments available for sale:
 

 
 

 
 

 
 

U.S. Treasury securities and obligations of U.S. government corporations and agencies
$
213,772

 
$
14,979

 
$

 
$
228,751

Corporate securities

 
329,548

 

 
329,548

Municipal securities:
 

 
 

 
 

 
 
General obligation

 
61,476

 

 
61,476

Pre-refunded

 
14,492

 

 
14,492

Revenue

 
76,749

 

 
76,749

Variable rate demand notes

 
65,955

 

 
65,955

Asset backed securities

 
128,743

 

 
128,743

Total investments
$
213,772

 
$
691,942

 
$

 
$
905,714

Restricted deposits available for sale:
 

 
 

 
 

 
 

Cash and cash equivalents
$
22,608

 
$

 
$

 
$
22,608

Certificates of deposit
5,891

 

 

 
5,891

U.S. Treasury securities and obligations of U.S. government corporations and agencies
12,412

 

 

 
12,412

Total restricted deposits
$
40,911

 
$

 
$

 
$
40,911

Other long-term assets: Interest rate swap contract
$

 
$
10,596

 
$

 
$
10,596

Total assets at fair value
$
995,964

 
$
702,538

 
$

 
$
1,698,502


The following table summarizes fair value measurements by level at December 31, 2012, for assets and liabilities measured at fair value on a recurring basis: 
 
Level I
 
Level II
 
Level III
 
Total
Assets
 
 
 
 
 
 
 
Cash and cash equivalents
$
843,952

 
$

 
$

 
$
843,952

Investments available for sale:
 

 
 

 
 

 
 

U.S. Treasury securities and obligations of U.S. government corporations and agencies
$
57,114

 
$
46,250

 
$

 
$
103,364

Corporate securities

 
320,710

 

 
320,710

Municipal securities:
 

 
 

 
 

 
 
General obligation

 
89,837

 

 
89,837

Pre-refunded

 
5,422

 

 
5,422

Revenue

 
86,027

 

 
86,027

Variable rate demand notes

 
37,685

 

 
37,685

Asset backed securities

 
84,475

 

 
84,475

Total investments
$
57,114

 
$
670,406

 
$

 
$
727,520

Restricted deposits available for sale:
 

 
 

 
 

 
 

Cash and cash equivalents
$
14,460

 
$

 
$

 
$
14,460

Certificates of deposit
5,890

 

 

 
5,890

U.S. Treasury securities and obligations of U.S. government corporations and agencies
14,443

 

 

 
14,443

Total restricted deposits
$
34,793

 
$

 
$

 
$
34,793

Other long-term assets: Interest rate swap contract
$

 
$
16,304

 
$

 
$
16,304

Total assets at fair value
$
935,859

 
$
686,710

 
$

 
$
1,622,569


 
The Company periodically transfers U.S. Treasury securities and obligations of U.S. government corporations and agencies between Level I and Level II fair value measurements dependent upon the level of trading activity for the specific securities at the measurement date.  The Company’s policy regarding the timing of transfers between Level I and Level II is to measure and record the transfers at the end of the reporting period.  At September 30, 2013, there were $101 transfers from Level I to Level II and $26,571 of transfers from Level II to Level I.  The Company utilizes matrix pricing services to estimate fair value for securities which are not actively traded on the measurement date.  The Company designates these securities as Level II fair value measurements.  The aggregate carrying amount of the Company’s life insurance contracts and other non-majority owned investments, which approximates fair value, was $33,827 and $26,321 as of September 30, 2013 and December 31, 2012, respectively.