Quarterly report pursuant to Section 13 or 15(d)

Fair Value Measurements

v2.4.0.8
Fair Value Measurements
6 Months Ended
Jun. 30, 2014
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 June 30, 2014, for assets and liabilities measured at fair value on a recurring basis:  
 
Level I
 
Level II
 
Level III
 
Total
Assets
 
 
 
 
 
 
 
Cash and cash equivalents
$
1,199,784

 
$

 
$

 
$
1,199,784

Investments available for sale:
 

 
 

 
 

 
 

U.S. Treasury securities and obligations of U.S. government corporations and agencies
$
288,546

 
$
19,189

 
$

 
$
307,735

Corporate securities

 
399,348

 

 
399,348

Municipal securities:
 

 
 

 
 

 
 
General obligation

 
39,408

 

 
39,408

Pre-refunded

 
8,535

 

 
8,535

Revenue

 
69,400

 

 
69,400

Variable rate demand notes

 
18,000

 

 
18,000

Asset backed securities

 
179,985

 

 
179,985

Mortgage backed securities

 
48,270

 

 
48,270

Total investments
$
288,546

 
$
782,135

 
$

 
$
1,070,681

Restricted deposits available for sale:
 

 
 

 
 

 
 

Cash and cash equivalents
$
57,608

 
$

 
$

 
$
57,608

Certificates of deposit
5,892

 

 

 
5,892

U.S. Treasury securities and obligations of U.S. government corporations and agencies
14,942

 

 

 
14,942

Total restricted deposits
$
78,442

 
$

 
$

 
$
78,442

Other long-term assets: Interest rate swap agreements
$

 
$
9,506

 
$

 
$
9,506

Total assets at fair value
$
1,566,772

 
$
791,641

 
$

 
$
2,358,413


The following table summarizes fair value measurements by level at December 31, 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
$
974,304

 
$

 
$

 
$
974,304

Investments available for sale:
 

 
 

 
 

 
 

U.S. Treasury securities and obligations of U.S. government corporations and agencies
$
212,185

 
$
12,238

 
$

 
$
224,423

Corporate securities

 
296,086

 

 
296,086

Municipal securities:
 

 
 

 
 

 
 
General obligation

 
54,422

 

 
54,422

Pre-refunded

 
10,917

 

 
10,917

Revenue

 
69,054

 

 
69,054

Variable rate demand notes

 
28,575

 

 
28,575

Asset backed securities

 
139,050

 

 
139,050

Mortgage backed securities

 
33,891

 

 
33,891

Total investments
$
212,185

 
$
644,233

 
$

 
$
856,418

Restricted deposits available for sale:
 

 
 

 
 

 
 

Cash and cash equivalents
$
26,642

 
$

 
$

 
$
26,642

Certificates of deposit
5,891

 

 

 
5,891

U.S. Treasury securities and obligations of U.S. government corporations and agencies
14,413

 

 

 
14,413

Total restricted deposits
$
46,946

 
$

 
$

 
$
46,946

Other long-term assets: Interest rate swap agreements
$

 
$
9,576

 
$

 
$
9,576

Total assets at fair value
$
1,233,435

 
$
653,809

 
$

 
$
1,887,244


 
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 June 30, 2014, there were $14,161 of transfers from Level I to Level II and $1,214 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 $53,632 and $37,608 as of June 30, 2014 and December 31, 2013, respectively.