Fair Value Measurements

12 Months Ended

Jun. 30, 2015

Assets and liabilities measured and recorded at fair value on a recurring basis were as follows:



(In thousands)	Total		Level 1		Level 2		Level 3
June 30, 2016
Preferred stock(1)	$	25,591	$	21,976	$	3,615	$	—
Derivative instruments designated as cash flow hedges:
Coffee-related derivative assets(2)	$	6,346	$	—	$	6,346	$	—
Coffee-related derivative liabilities(2)	$	—	$	—	$	—	$	—
Derivative instruments not designated as accounting hedges:
Coffee-related derivative assets(2)	$	240	$	—	$	240	$	—
Coffee-related derivative liabilities(2)	$	—	$	—	$	—	$	—

	Total		Level 1		Level 2		Level 3
June 30, 2015
Preferred stock(1)	$	23,665	$	19,132	$	4,533	$	—
Derivative instruments designated as cash flow hedges:
Coffee-related derivative assets(2)	$	264	$	—	$	264	$	—
Coffee-related derivative liabilities(2)	$	4,290	$	—	$	4,290	$	—
Derivative instruments not designated as accounting hedges:
Coffee-related derivative assets(2)	$	27	$	—	$	27	$	—
Coffee-related derivative liabilities(2)	$	2	$	—	$	2	$	—

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(1)	Included in “Short-term investments” on the Company's consolidated balance sheets.


(2)	The Company's coffee derivative instruments are traded over-the-counter and, therefore, classified as Level 2.

During the fiscal year ended June 30, 2016, there was one transfer of preferred stock from Level 1 to Level 2, resulting from a decrease in the quantity and quality of information related to trading activity and broker quotes for that security. The Company's coffee derivative instruments that were previously classified as Level 1 were appropriately reclassified as Level 2 because they are traded over-the-counter.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

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