Derivative Financial Instruments (Tables)

9 Months Ended

Sep. 30, 2013

Impact of Cash Flow Hedges on Results of Operations, Comprehensive Income and Accumulated Other Comprehensive Loss

The fair values of derivative instruments designated as cash flow hedges as of September 30, 2013, were as follows:

Derivatives Designated as Cash	Asset Derivatives			Liability Derivatives
Flow Hedges	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
Interest rate swaps				Accrued liabilities(a)	$	(3,940	)
				Other long-term liabilities		(2,506	)
Fuel hedge	Prepaid expenses and other current assets(b)	$	701
	Other assets, net		972
Total derivatives designated as cash flow hedges		$	1,673		$	(6,446	)

(a) Represents the estimated amount of the existing unrealized losses on interest rate swaps as of September 30, 2013 (based on the interest rate yield curve at that date), included in AOCL expected to be reclassified into pre-tax earnings within the next 12 months. The actual amounts reclassified into earnings are dependent on future movements in interest rates.

(b) Represents the estimated amount of the existing unrealized gains on the fuel hedge as of September 30, 2013 (based on the forward DOE diesel fuel index curve at that date), included in AOCL expected to be reclassified into pre-tax earnings within the next 12 months. The actual amounts reclassified into earnings are dependent on future movements in diesel fuel prices.

The fair values of derivative instruments designated as cash flow hedges as of December 31, 2012, were as follows:

Derivatives Designated as Cash	Asset Derivatives			Liability Derivatives
Flow Hedges	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
Interest rate swaps				Accrued liabilities	$	(5,374	)
				Other long-term liabilities		(5,789	)
Fuel hedge	Other assets, net	$	1,187
Total derivatives designated as cash flow hedges		$	1,187		$	(11,163	)

Fair Values of Derivative Instruments Designated as Cash Flow Hedges

The following table summarizes the impact of the Company’s cash flow hedges on the results of operations, comprehensive income and AOCL for the three and nine months ended September 30, 2013 and 2012:

Derivatives Designated as Cash Flow Hedges	Amount of Gain or (Loss) Recognized as AOCL on Derivatives, Net of Tax (Effective Portion)(a)						Statement of Income Classification	Amount of (Gain) or Loss Reclassified from AOCL into Earnings, Net of Tax  (Effective Portion) (b),(c)
	Three Months Ended September 30,							Three Months Ended September 30,
	2013			2012				2013		2012
Interest rate swaps	$	(809	)	$	(1,497	)	Interest expense	$	879	$	855
Fuel hedge		271			1,105		Cost of operations		—		(678	)
Total	$	(538	)	$	(392	)		$	879	$	177

Derivatives Designated as Cash Flow Hedges	Amount of Gain or (Loss) Recognized as AOCL on Derivatives, Net of Tax (Effective  Portion)(a)					Statement of Income Classification	Amount of (Gain) or Loss Reclassified from AOCL into Earnings, Net of Tax  (Effective Portion) (b),(c)
	Nine Months Ended September 30,						Nine Months Ended September 30,
	2013		2012				2013		2012
Interest rate swaps	$	323	$	(4,469	)	Interest expense	$	2,595	$	2,409
Fuel hedge		300		1,522		Cost of operations		—		(2,062	)
Total	$	623	$	(2,947	)		$	2,595	$	347

(a) In accordance with the derivatives and hedging guidance, the effective portions of the changes in fair values of interest rate swaps and the fuel hedge have been recorded in equity as a component of AOCL. As the critical terms of the interest rate swaps match the underlying debt being hedged, no ineffectiveness is recognized on these swaps and, therefore, all unrealized changes in fair value are recorded in AOCL. Because changes in the actual price of diesel fuel and changes in the DOE index price do not offset exactly each reporting period, the Company assesses whether the fuel hedge is highly effective using the cumulative dollar offset approach.

(b) Amounts reclassified from AOCL into earnings related to realized gains and losses on interest rate swaps are recognized when interest payments or receipts occur related to the swap contracts, which correspond to when interest payments are made on the Company’s hedged debt.

(c) Amounts reclassified from AOCL into earnings related to realized gains and losses on the fuel hedge are recognized when settlement payments or receipts occur related to the hedge contract, which correspond to when the underlying fuel is consumed.

Interest Rate Swap

Company's Derivative Instruments

At September 30, 2013, the Company’s derivative instruments included three interest rate swap agreements as follows:

Date Entered	Notional Amount		Fixed Interest Rate Paid*			Variable Interest Rate Received		Effective Date		Expiration Date
March 2009	$	175,000		2.85	%		1-month LIBOR		February 2011		February 2014
August 2011	$	150,000		0.80	%		1-month LIBOR		April 2012		January 2015
December 2011	$	175,000		1.60	%		1-month LIBOR		February 2014		February 2017

* plus applicable margin.

Fuel Hedge Agreements

Company's Derivative Instruments

At September 30, 2013, the Company’s derivative instruments included one fuel hedge agreement as follows:

Date Entered	Notional Amount (in gallons per month)		Diesel Rate Paid Fixed (per gallon)		Diesel Rate Received Variable	Effective Date	Expiration Date
June 2012		300,000	$	3.60	DOE Diesel Fuel Index*	January 2014	December 2015

* If the national U.S. on-highway average price for a gallon of diesel fuel (“average price”), as published by the Department of Energy (“DOE”), exceeds the contract price per gallon, the Company receives the difference between the average price and the contract price (multiplied by the notional number of gallons) from the counterparty. If the average price is less than the contract price per gallon, the Company pays the difference to the counterparty.