DERIVATIVES (TABLES)

3 Months Ended

Mar. 31, 2017

DERIVATIVES [ABSTRACT]

Schedule of Cash Flow Hedges OCI Rollforward

The following table summarizes the aggregate unrealized net gain or loss in Accumulated other comprehensive income (loss) for the three months ended March 31, 2017 and 2016 (in thousands and net of tax):

	Three Months Ended  March 31,
	2017		2016
Aggregate unrealized net gain/(loss) at beginning of period	$	(32,393)	$	(26,885)
Add: Net gain/(loss) from change in fair value of cash flow hedges		12,320		9,032
Less: Net (gain)/loss reclassified to earnings from effective hedges		(4,136)		(3,553)
Aggregate unrealized net gain/(loss) at end of period	$	(24,209)	$	(21,406)

Schedule of Notional Amounts of Outstanding Cash Flow Hedges

The Company’s foreign exchange cash flow hedging instruments as of March 31, 2017 and December 31, 2016 are summarized as follows (amounts in thousands). All hedging instruments are forward contracts.

	Local
	Currency	U.S. Dollar			% Maturing		Contracts
	Notional	Notional			in the next		Maturing
As of March 31, 2017	Amount	Amount			12 months		Through
Philippine Peso	11,795,000		249,872	(1)	30.0	%	August 2021
Mexican Peso	1,924,000		117,978		17.2	%	May 2021
		$	367,850

	Local
	Currency	U.S. Dollar
	Notional	Notional
As of December 31, 2016	Amount	Amount
Philippine Peso	14,315,000		301,134	(1)
Mexican Peso	2,089,000		129,375
		$	430,509

⁽¹⁾ Includes contracts to purchase Philippine pesos in exchange for New Zealand dollars and Australian dollars, which are translated into equivalent U.S. dollars on March 31, 2017 and December 31, 2016.

Schedule of Interest Rate Swaps

						Contract	Contract
	Notional		Variable Rate	Fixed Rate		Commencement	Maturity
	Amount		Received	Paid		Date	Date
Swap 2	$	15 million	1 - month LIBOR	3.14	%	May 2012	May 2017
	$	15 million

Schedule of Derivatives Instruments on Balance Sheet

The Company’s derivatives as of March 31, 2017 and December 31, 2016 were as follows (in thousands):

	March 31, 2017
	Designated				Not Designated
	as Hedging				as Hedging
Designation:	Instruments				Instruments
	Foreign		Interest		Foreign
Derivative contract type:	Exchange		Rate		Exchange
Derivative classification:	Cash Flow		Cash Flow		Fair Value
Fair value and location of derivative in the Consolidated Balance Sheet:
Prepaids and other current assets	$	—	$	—	$	2,005
Other long-term assets		13		—		—
Other current liabilities		(19,240)		(57)		(61)
Other long-term liabilities		(20,926)		—		—
Total fair value of derivatives, net	$	(40,153)	$	(57)	$	1,944

	December 31, 2016
	Designated				Not Designated
	as Hedging				as Hedging
Designation:	Instruments				Instruments
	Foreign		Interest		Foreign
Derivative contract type:	Exchange		Rate		Exchange
Derivative classification:	Cash Flow		Cash Flow		Fair Value
Fair value and location of derivative in the Consolidated Balance Sheet:
Prepaids and other current assets	$	1,178	$	—	$	1,606
Other long-term assets		—		—		—
Other current liabilities		(23,503)		(147)		(866)
Other long-term liabilities		(31,714)		—		—
Total fair value of derivatives, net	$	(54,039)	$	(147)	$	740

Schedule of Derivative Impact on Statement of Comprehensive Income

The effects of derivative instruments on the Consolidated Statements of Comprehensive Income (Loss) for the three months ended March 31, 2017 and 2016 were as follows (in thousands):

	Three Months Ended March 31,
	2017				2016
	Designated as Hedging				Designated as Hedging
Designation:	Instruments				Instruments
	Foreign		Interest		Foreign		Interest
Derivative contract type:	Exchange		Rate		Exchange		Rate
Derivative classification:	Cash Flow		Cash Flow		Cash Flow		Cash Flow
Amount of gain or (loss) recognized in Other comprehensive income (loss) - effective portion, net of tax	$	(4,084)	$	(52)	$	(3,420)	$	(133)
Amount and location of net gain or (loss) reclassified from Accumulated OCI to income - effective portion:
Revenue	$	(6,806)	$	—	$	(5,897)	$	—
Interest expense		—		(89)		—		(229)

	Three Months Ended March 31,
	2017				2016
Designation:	Not Designated as  Hedging Instruments				Not Designated as  Hedging Instruments
Derivative contract type:	Foreign Exchange				Foreign Exchange
Derivative classification:	Forward Contracts		Fair Value		Forward Contracts		Fair Value
Amount and location of net gain or (loss) recognized in the Consolidated Statement of Comprehensive Income (Loss):
Costs of services	$	—	$	—	$	—	$	—
Other income (expense), net	$	—	$	(56)	$	—	$	3,992