FAIR VALUE MEASUREMENTS

3 Months Ended

Jan. 31, 2012

Fair Value Disclosures [Abstract]

Fair Value Disclosures [Text Block]

7. FAIR VALUE MEASUREMENTS

The following tables sets forth by level within the fair value hierarchy, the Company’s assets and liabilities that were measured at fair value on a recurring basis (in thousands):

	As of January 31, 2012
	Quoted Prices		Significant		Significant
	in Active Markets		Other Observable		Unobservable
	for Identical Assets		Inputs		Inputs
	(Level 1)		(Level 2)		(Level 3)		Total
Assets:
Deferred compensation plans:
Corporate owned life insurance	$	—	$	33,615	$	—	$	33,615
Equity securities		1,151		—		—		1,151
Money market funds and cash		924		—		—		924
Mutual funds		1,058		—		—		1,058
Other		—		454		585		1,039
Total assets	$	3,133	$	34,069	$	585	$	37,787
Liabilities:	$	—	$	—	$	—	$	—

	As of October 31, 2011
	Quoted Prices		Significant		Significant
	in Active Markets		Other Observable		Unobservable
	for Identical Assets		Inputs		Inputs
	(Level 1)		(Level 2)		(Level 3)		Total
Assets:
Deferred compensation plans:
Corporate owned life insurance	$	—	$	26,989	$	—	$	26,989
Equity securities		1,150		—		—		1,150
Money market funds and cash		920		—		—		920
Mutual funds		1,004		—		—		1,004
Other		—		451		573		1,024
Total assets	$	3,074	$	27,440	$	573	$	31,087
Liabilities:	$	—	$	—	$	—	$	—

The Company maintains two non-qualified deferred compensation plans. The assets of the HEICO Corporation Leadership Compensation Plan (the “LCP”) principally represent cash surrender values of life insurance policies, which derive their fair values from investments in mutual funds that are managed by an insurance company and are classified within Level 2 and are valued using a market approach. Certain other assets of the LCP represent investments in money market funds that are classified within Level 1. The majority of the assets of the Company’s other deferred compensation plan are principally invested in equity securities, mutual funds and money market funds that are classified within Level 1. A portion of the assets within the other deferred compensation plan is currently invested in a fund that invests in future and forward contracts; most of which are privately negotiated with counterparties without going through a public exchange, and that use trading methods that are proprietary and confidential. These assets are therefore classified within Level 3 and are valued using a market approach with corresponding gains and losses reported within other income in the Company’s Condensed Consolidated Statements of Operations. The assets of both plans are held within irrevocable trusts and classified within other assets in the Company’s Condensed Consolidated Balance Sheets and have an aggregate value of $37.8 million as of January 31, 2012 and $31.1 million as of October 31, 2011, of which the LCP related assets were $33.6 million and $27.0 million as of January 31, 2012 and October 31, 2011, respectively. The related liabilities of the two deferred compensation plans are included within other long-term liabilities in the Company’s Condensed Consolidated Balance Sheets and have an aggregate value of $37.4 million as of January 31, 2012 and $30.8 million as of October 31, 2011, of which the LCP related liability was $33.2 million and $26.7 million as of January 31, 2012 and October 31, 2011, respectively.

Changes in the Company’s assets measured at fair value on a recurring basis using unobservable inputs (Level 3) for the three months ended January 31, 2012 are as follows (in thousands):

Balance as of October 31, 2011	$	573
Total unrealized gains		12
Balance as of January 31, 2012	$	585

The Company did not have any transfers between Level 1 and Level 2 fair value measurements during the three months ended January 31, 2012.

The carrying amounts of the Company’s cash and cash equivalents, accounts receivable, trade accounts payable and accrued expenses and other current liabilities approximate fair value as of January 31, 2012 due to the relatively short maturity of the respective instruments. The carrying amount of long-term debt approximates fair value due to its variable interest rates.