Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2012

Assets and liabilities measured at fair value on a recurring basis

The following table presents the Company’s assets and liabilities measured at fair value on a recurring basis at June 30, 2012, December 31, 2011 and June 30, 2011:



(in thousands)	June 30, 2012
Assets (liabilities)	Level 1		Level 2			Level 3		Total
Cash equivalents	$	104	$	—		$	—	$	104
Restricted cash	5,644		—			—		5,644
Commodity derivatives, net	48,558		48,078			—		96,636
Convertible preferred securities (b)	—		—			17,350		17,350
Other assets and liabilities (a)	7,182		(2,022		)	—		5,160
Total	$	61,488	$	46,056		$	17,350	$	124,894



(in thousands)	December 31, 2011
Assets (liabilities)	Level 1		Level 2		Level 3			Total
Cash equivalents	$	183	$	—	$	—		$	183
Restricted cash	18,651		—		—			18,651
Commodity derivatives, net	43,503		22,876		2,467			68,846
Convertible preferred securities (b)	—		—		20,360			20,360
Other assets and liabilities (a)	6,224		—		(2,178		)	4,046
Total	$	68,561	$	22,876	$	20,649		$	112,086



(in thousands)	June 30, 2011
Assets (liabilities)	Level 1		Level 2		Level 3			Total
Cash equivalents	$	182	$	—	$	—		$	182
Restricted cash	12,572		—		—			12,572
Commodity derivatives, net	89,769		71,296		8,794			169,859
Convertible preferred securities (b)	—		—		15,790			15,790
Other assets and liabilities (a)	6,345		—		(1,883		)	4,462
Total	$	108,868	$	71,296	$	22,701		$	202,865


(a)	Included in other assets and liabilities is interest rate and foreign currency derivatives, swaptions and deferred compensation assets.


(b)	Recorded in “Other noncurrent assets” on the Company’s Consolidated Balance Sheets

Beginning and ending balances for the Company's fair value measurements using Level 3 inputs

A reconciliation of beginning and ending balances for the Company’s fair value measurements using Level 3 inputs is as follows:



	2012									2011
(in thousands)	Interest rate derivatives and swaptions			Convertible preferred securities			Commodity derivatives, net			Interest rate derivatives and swaptions			Convertible preferred securities		Commodity derivatives, net
Asset (liability) at December 31,	$	(2,178	)	$	20,360		$	2,467		$	(2,156	)	$	15,790	$	12,406
Gains (losses) included in earnings:
New contracts	—			—			—			—			—		442
Change in market prices	—			—			—			(2		)	—		1,877
Settled contracts	—			—			—			—			—		(2,242		)
Unrealized gains (losses) included in other comprehensive income	—			—			—			149			—		—
New contracts entered into	—			—			—			507			—		—
Transfers to level 2	2,178			—			(2,467		)	—			—		—
Transfers from level 2	—			—			—			—			—		2,500
Asset (liability) at March 31,	$	—		$	20,360		$	—		$	(1,502	)	$	15,790	$	14,983
Gains (losses) included in earnings:
New contracts	—			—			—						—		(290		)
Change in market prices	—			—			—			(310		)	—		(5,179		)
Settled contracts	—			—			—						—		(929		)
Unrealized gains (losses) included in other comprehensive income	—			(3,010		)	—			(120		)	—		—
New contracts entered into	—			—			—			49			—		—
Transfers to level 2	—			—			—			—			—		—
Transfers from level 2	—			—			—			—			—		209
Asset (liability) at June 30,	$	—		$	17,350		$	—		$	(1,883	)	$	15,790	$	8,794

Fair value of long-term debt estimated using quoted market prices or discounted future cash flows



(in thousands)	June 30, 2012		December 31, 2011
Fair value of long-term debt	$	360,911	$	279,001
Fair value in excess of carrying value	13,615		7,908