Fair Value Measurements

12 Months Ended

Dec. 31, 2011

Fair Value Measurements [Abstract]

Fair Value Measurements

5. Fair Value Measurements

U.S. GAAP establishes a three-tier hierarchy, which prioritizes the inputs used in the valuation methodologies in measuring fair value.

Level 1: Quoted prices for identical assets or liabilities in active markets at the measurement date

Level 2: Observable market-based inputs or unobservable inputs that are corroborated by market data at the measurement date

Level 3: Unobservable inputs reflecting management's best estimate of what market participants would use in pricing the asset or liability at the measurement date

When applying the fair value principles in valuation of assets and liabilities, we are required to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value.

The following table summarizes fair value measurements by level at December 31, 2011 and 2010 for assets and liabilities measured at fair value on a recurring basis (dollars in thousands):

Description	Level 1				Level 2				Level 3				Total
	2011		2010		2011		2010		2011		2010		2011		2010
Assets:
Cash and cash equivalents	$	18,568	$	19,350	$	—	$	—	$	—	$	—	$	18,568	$	19,350
Investments		—		891		25,311		31,056		902		951		26,213		32,898
Total assets at fair value	$	18,568	$	20,241	$	25,311	$	31,056	$	902	$	951	$	44,781	$	52,248

Cash and cash equivalents are comprised of either bank deposits or amounts invested in money market funds, the fair value of which is based on quoted market prices. The fair values of some investment securities included within our investment portfolio are based on quoted market prices from various stock and bond exchanges. Certain of our debt securities are classified at fair value utilizing Level 2 inputs. For these securities, fair value is measured using observable market data that includes dealer quotes, live trading levels, trade execution data, credit information and the bond's terms and conditions. The fair values of our auction rate investment instruments are classified in Level 3 because they are valued using a trinomial discounted cash flow model (see Note 3).

There were no transfers between Level 1 and Level 2 measurements in 2011 or 2010. The following table sets forth a reconciliation of beginning and ending balances for each major category for assets measured at fair value using significant unobservable inputs (Level 3) during 2011 and 2010 (dollars in thousands).

	Years Ended December 31,
Description	2011			2010
Balance as of January 1	$	951		$	2,090
Assets acquired		—			—
Assets sold or redeemed		(25	)		(125	)
Transfers out of Level 3		—			(977	)
(Losses) gains included in earnings		(6	)		17
Losses included in other comprehensive loss		(18	)		(54	)
Balance as of December 31	$	902		$	951