Fair Value Measurements

12 Months Ended

Dec. 31, 2012

Fair Value Disclosures [Abstract]

Fair Value Measurements

Fair Value Measurements

We measure certain assets and liabilities at fair value on a recurring or nonrecurring basis. We categorize each of our fair value measurements into one of three levels as follows:

• Level 1: Inputs based on quoted market prices for identical assets or liabilities in active markets.

• Level 2: Observable market based inputs or unobservable inputs that are corroborated by market data.

• Level 3: Unobservable inputs that are not corroborated by market data and typically reflect management’s estimates of assumptions that market participants would use in pricing the asset. The fair values are then determined using model-based techniques.

Assets and Liabilities Measured at Fair Value on a Recurring Basis

Our financial assets and liabilities that are measured at fair value on a recurring basis consisted of the following as of December 31, 2012 (in thousands):

Financial Assets	Level 1		Level 2		Level 3		Fair Value at December 31, 2012
Money market funds	$	34,403	$	—	$	—	$	34,403
Stock	197		—		—		197
Derivative instruments - assets	—		1,493		—		1,493
Total assets at fair value	$	34,600	$	1,493	$	—	$	36,093

Financial Liabilities	Level 1		Level 2			Level 3		Fair Value at December 31, 2012
Derivative instruments - liabilities	$	—	$	(555	)	$	—	$	(555	)
Total liabilities at fair value	$	—	$	(555	)	$	—	$	(555	)

Our financial assets and liabilities that are measured at fair value on a recurring basis consisted of the following as of December 31, 2011 (in thousands):

Financial Assets	Level 1		Level 2		Level 3		Fair Value at December 31, 2011
Money market funds	$	15,275	$	—	$	—	$	15,275
Certificates of deposit	—		3,555		—		3,555
Stock	170		—		—		170
Derivative instruments - assets	—		985		—		985
Total assets at fair value	$	15,445	$	4,540	$	—	$	19,985

Financial Liabilities	Level 1		Level 2			Level 3		Fair Value at December 31, 2011
Derivative instruments - liabilities	$	—	$	(1,801	)	$	—	$	(1,801	)
Total liabilities at fair value	$	—	$	(1,801	)	$	—	$	(1,801	)

We had no transfers between Level 1 and Level 2 assets and liabilities for the years ended December 31, 2012 and 2011.

Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis

All other nonfinancial assets and liabilities measured at fair values in the consolidated financial statements on a nonrecurring basis are subject to fair value measurements and disclosures. Nonfinancial nonrecurring assets and liabilities included on our consolidated balance sheets include long-lived assets that are measured at fair value to test for and measure impairment, at least annually or when necessary. For the year ended December 31, 2011, we recorded a fair market value adjustment with a charge to earnings of approximately $0.9 million related to a real estate asset. At the time of the fair value adjustment, the fair value was measured using unobservable inputs (Level 3), reflecting our assessment of the assumptions market participants would use in valuing the asset, based on a valuation technique that is consistent with the market approach. The real estate asset was held for sale at December 31, 2011 and sold in August 2012. No other nonfinancial assets or liabilities were subject to fair value measurements at December 31, 2012 and 2011.

The estimated fair values of cash and cash equivalents, accounts receivable, accounts payable and accrued expenses, and payroll and related expenses at December 31, 2012 and 2011, approximate their carrying values due to their short-term nature. The fair value of long-term debt at December 31, 2012 approximates its carrying value.