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Fair Value
 9 Months Ended
Sep. 30, 2015
Fair Value Disclosures [Abstract]  
Fair Value
Fair Value

Recurring

Fair Value Methods and Assumptions - Financial Assets and Liabilities.

We used the following methods and assumptions in estimating fair value for our financial assets and liabilities:

•
Energy commodity derivatives contracts. These include NYMEX futures agreements related to petroleum products. These contracts are carried at fair value on our consolidated balance sheets and are valued based on quoted prices in active markets. See Note 8 – Derivative Financial Instruments for further disclosures regarding these contracts.

•
Interest rate contracts. These include forward-starting interest rate swap agreements to hedge against the risk of variability of interest payments on future debt. These contracts are carried at fair value on our consolidated balance sheets and are valued based on an assumed exchange, at the end of each period, in an orderly transaction with a market participant in the market in which the financial instrument is traded. The exchange value was calculated using present value techniques on estimated future cash flows based on forward interest rate curves. See Note 8 – Derivative Financial Instruments for further disclosures regarding these contracts.

•
Long-term receivables. These include lease payments receivable under a direct-financing leasing arrangement and insurance receivables. Fair value was determined by estimating the present value of future cash flows using current market rates.

•
Debt. The fair value of our publicly traded notes was based on the prices of those notes at December 31, 2014 and September 30, 2015; however, where recent observable market trades were not available, prices were determined using adjustments to the last traded value for that debt issuance or by adjustments to the prices of similar debt instruments of peer entities that are actively traded. The carrying amount of borrowings, if any, under our revolving credit facility and our commercial paper program approximates fair value due to the frequent repricing of these obligations.

Fair Value Measurements - Financial Assets and Liabilities

The following tables summarize the carrying amounts, fair values and recurring fair value measurements recorded or disclosed as of December 31, 2014 and September 30, 2015, based on the three levels established by ASC 820, Fair Value Measurements and Disclosures (in thousands):
 
 
As of December 31, 2014
Assets (Liabilities)
 
 
 
 
 
Fair Value Measurements using:
 
Carrying Amount
 
Fair Value
 
Quoted Prices  in Active Markets
for Identical
Assets
(Level 1)
 
Significant
Other
Observable
Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level 3)
Energy commodity derivatives contracts – assets
 
$
96,142

 
$
96,142

 
$
96,142

 
$
—

 
$
—

Interest rate contracts – liabilities
 
$
(26,478
)
 
$
(26,478
)
 
$
—

 
$
(26,478
)
 
$
—

Long-term receivables
 
$
28,611

 
$
30,200

 
$
—

 
$
—

 
$
30,200

Debt
 
$
(2,982,895
)
 
$
(3,212,462
)
 
$
—

 
$
(3,212,462
)
 
$
—


 
 
As of September 30, 2015
Assets (Liabilities)
 
 
 
 
 
Fair Value Measurements using:
 
Carrying Amount
 
Fair Value
 
Quoted Prices in Active Markets
for Identical
Assets
(Level 1)
 
Significant
Other
Observable
Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level 3)
Energy commodity derivatives contracts – assets
 
$
78,443

 
$
78,443

 
$
78,443

 
$
—

 
$
—

Interest rate contracts – liabilities
 
$
(508
)
 
$
(508
)
 
$
—

 
$
(508
)
 
$
—

Long-term receivables
 
$
22,055

 
$
21,681

 
$
—

 
$
—

 
$
21,681

Debt
 
$
(3,407,114
)
 
$
(3,420,351
)
 
$
—

 
$
(3,420,351
)
 
$
—