FINANCIAL INSTRUMENTS (Tables)

6 Months Ended

Jun. 19, 2015

Carrying Values and Estimated Fair Values of Financial Assets and Liabilities

The following table shows the carrying values and the estimated fair values of financial assets and liabilities that qualify as financial instruments, determined in accordance with the authoritative guidance for disclosures regarding the fair value of financial instruments. Considerable judgment is required in interpreting market data to develop estimates of fair value. The use of different market assumptions and/or estimation methodologies could have a material effect on the estimated fair value amounts. The table excludes Cash and cash equivalents, Restricted cash, Accounts and contracts receivable, Accounts payable, Advance deposits and Accrued liabilities, all of which had fair values approximating their carrying amounts due to the short maturities and liquidity of these instruments.

	At June 19, 2015				At January 2, 2015
($ in thousands)	Carrying Amount		Fair Value(1)		Carrying Amount		Fair Value(1)
Vacation ownership notes receivable
Securitized	$	547,158	$	664,646	$	750,680	$	909,391
Non-securitized		331,700		378,973		166,548		172,103
Total financial assets	$	878,858	$	1,043,619	$	917,228	$	1,081,494
Non-recourse debt associated with vacation ownership notes receivable securitizations, gross	$	(564,657)	$	(570,338)	$	(708,031)	$	(712,977)
Other debt, gross		(3,416)		(3,416)		(3,306)		(3,306)
Mandatorily redeemable preferred stock of consolidated subsidiary, gross		(40,000)		(42,924)		(40,000)		(43,837)
Liability for Marriott Rewards customer loyalty program		(79,939)		(70,926)		(89,285)		(80,448)
Other liabilities		(4,184)		(4,184)		(4,118)		(4,118)
Total financial liabilities	$	(692,196)	$	(691,788)	$	(844,740)	$	(844,686)

⁽¹⁾ Fair value of financial instruments has been determined using Level 3 inputs.

Non-Securitized Vacation Ownership Notes Receivable

Carrying Values and Estimated Fair Values of Financial Assets and Liabilities

The following table shows the bifurcation of our non-securitized vacation ownership notes receivable into those eligible and not eligible for securitization based upon the aforementioned eligibility criteria:

	At June 19, 2015				At January 2, 2015
($ in thousands)	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Vacation ownership notes receivable
Eligible for securitization	$	195,947	$	243,220	$	24,194	$	29,749
Not eligible for securitization		135,753		135,753		142,354		142,354
Total non-securitized	$	331,700	$	378,973	$	166,548	$	172,103