The asset or liability’s fair value measurement level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. The valuation techniques used need to maximize the use of observable inputs and minimize the use of unobservable inputs. There have been no changes in the methodologies used at December 31, 2013. There were no transfers between levels during 2013 and 2012.



									2013
	Assets and Liabilities at Fair Value								Total
	as of December 31, 2013								Gains
	Total		(Level 1)		(Level 2)		(Level 3)		(Losses)
Recurring Fair Value Measurement:
Asset:
Interest rate derivatives (1)	$	18	$	—	$	18	$	—	$	—

Liabilities:
Interest rate derivatives (1)	$	392	$	—	$	392	$	—	$	—

Non-recurring Fair Value Measurements:
Asset:
Intangible assets, net (3,4)	$	55,465	$	—	$	—	$	55,465	$	(4,222	)
Goodwill (5)	$	113,223	$	—	$	—	$	113,223	$	(73,528	)
Liabilities
Contingent Consideration (2)	—		$	—	—		$	—	$	7,950
									$	(69,800	)



									2012
	Assets at Fair Value								Total
	as of December 31, 2012								Gains
	Total		(Level 1)		(Level 2)		(Level 3)		(Losses)
Recurring Fair Value Measurement:
Contingent Consideration (2)	$	7,950	$	—	$	—	$	7,950	$	—

Non-recurring Fair Value Measurements:
Intangible assets, net (4)	$	48,793	—		—		48,793		$	—
									—

(1) The fair values of interest rate derivatives are the amount the company would receive or pay to terminate the contracts, considering quoted market prices of comparable agreements. (Also see Note 10 to the Consolidated Financial Statements)

(2) The Monte Carlo simulation was used with a normal probability distribution of the best estimate of EBITDA for 2013 to approximate fair value. At June 30, 2013, the EBITDA target was not expected to occur and, as such, the $7,950 of contingent consideration was deemed unlikely to be paid, and a benefit was recorded on a separate line in the Condensed Consolidated Statements of Operations for the year ended December 31, 2013.

(3) During the second quarter of 2013, a triggering event occurred when the Company commenced an initiative to rebrand its core engineering business. Under this initiative, the D3 Technologies name became obsolete and the $4,222 indefinite lived intangible asset related to that trade name was deemed to be fully impaired and a loss was recorded in the Consolidated Statements of Operations for the year ended December 31, 2013

(4) The fair values of intangibles relating to the 2012 acquisitions of TASS and Valent were determined by third parties in connection with the purchase and recorded at those values.

(5) During the fourth quarter of 2013, the Company performed its annual impairment analysis of goodwill. As a result of this analysis, the goodwill related to the Valent acquisition was deemed impaired, and a $73,528 impairment charge was recorded in the Consolidated Statements of Operations for the year ended December 31, 2013.