Fair Value Measurements

6 Months Ended

Jun. 30, 2013

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; or

• 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 June 30, 2013 (in thousands):

	Level 1		Level 2		Level 3		Fair Value at June 30, 2013
Money market funds	$	36,055	$	—	$	—	$	36,055
Stock	258		—		—		258
Derivative instruments – assets	—		1,159		—		1,159
Total assets at fair value	$	36,313	$	1,159	$	—	$	37,472

	Level 1		Level 2			Level 3		Fair Value at June 30, 2013
Derivative instruments – liabilities	$	—	$	(1,589	)	$	—	$	(1,589	)
Total liabilities at fair value	$	—	$	(1,589	)	$	—	$	(1,589	)

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

	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

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

We had no transfers between Level 1 and Level 2 assets or liabilities at June 30, 2013 and December 31, 2012.

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. No nonfinancial assets or liabilities were subject to fair value measurements at June 30, 2013 and December 31, 2012.

The estimated fair values of cash and cash equivalents, accounts receivable, accounts payable, accrued expenses, and payroll and related expenses at June 30, 2013 and December 31, 2012 approximate their carrying values due to their short-term nature. The fair value of long-term debt at June 30, 2013 approximates its carrying value.