Fair Value:

Assets and Liabilities Measured at Fair Value:

The following guidance establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels:

Level 1: Quoted prices for identical instruments in active markets.

Level 2: Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-driven valuations whose inputs are observable or whose significant value drivers are observable.

Level 3: Significant inputs to the valuation model are unobservable.

The following table presents information about the Company’s financial assets and liabilities measured at fair value on a recurring basis as of June 29, 2014 and June 30, 2013 (in thousands):



			Fair Value Measurement Using
	June 29, 2014		Level 1		Level 2		Level 3
Assets:
Derivatives	$	431	$	—	$	431	$	—
Liabilities:
Derivatives	$	1,932	$	—	$	1,932	$	—



			Fair Value Measurement Using
	June 30, 2013		Level 1		Level 2		Level 3
Assets:
Derivatives	$	2,009	$	—	$	2,009	$	—
Liabilities:
Derivatives	$	5,413	$	—	$	5,413	$	—

The fair value for Level 2 measurements are based upon the respective quoted market prices for comparable instruments in active markets, which include current market pricing for forward purchases of commodities, foreign currency forwards, and current interest rates.

The Company has currently chosen not to elect the fair value option for any items that are not already required to be measured at fair value in accordance with accounting principles generally accepted in the United States.

Fair Value of Financial Instruments:

The Company believes that the carrying values of cash and cash equivalents, trade receivables, accounts payable and foreign lines of credit are reasonable estimates of their fair values at June 29, 2014 and June 30, 2013 due to the short-term nature of these instruments. The estimated fair value of the 6.875% Senior Notes due December 2020 is based on quoted market prices for similar instruments and is, therefore, classified as Level 2 within the valuation hierarchy.

The estimated fair market values of the Company’s Long-Term Debt is (in thousands):



	2014				2013
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Long-Term Debt
6.875% Senior Notes	$	225,000	$	251,438	$	225,000	$	250,875
Borrowings on Revolver	$	—	$	—	$	—	$	—