Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2013

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 September 30, 2013, December 31, 2012 and September 30, 2012:



(in thousands)	September 30, 2013
Assets (liabilities)	Level 1		Level 2			Level 3		Total
Cash equivalents	$	90,093	$	—		$	—	$	90,093
Restricted cash	164		—			—		164
Commodity derivatives, net (c)	62,560		(55,035		)	—		7,525
Convertible preferred securities (b)	—		—			17,710		17,710
Other assets and liabilities (a)	9,539		(1,045		)	—		8,494
Total	$	162,356	$	(56,080	)	$	17,710	$	123,986



(in thousands)	December 31, 2012
Assets (liabilities)	Level 1		Level 2			Level 3		Total
Cash equivalents	$	78,674	$	—		$	—	$	78,674
Restricted cash	398		—			—		398
Commodity derivatives, net (c)	46,966		23,634			—		70,600
Convertible preferred securities (b)	—		—			17,220		17,220
Other assets and liabilities (a)	7,813		(2,109		)	—		5,704
Total	$	133,851	$	21,525		$	17,220	$	172,596



(in thousands)	September 30, 2012
Assets (liabilities)	Level 1		Level 2			Level 3		Total
Cash equivalents	$	39,904	$	—		$	—	$	39,904
Restricted cash	160		—			—		160
Commodity derivatives, net (c)	15,619		113,513			—		129,132
Convertible preferred securities (b)	—		—			17,350		17,350
Other assets and liabilities (a)	7,515		(1,966		)	—		5,549
Total	$	63,198	$	111,547		$	17,350	$	192,095


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


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


(c)	Includes associated cash posted/received as collateral

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:



	2013						2012
(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,	$	—	$	17,220	$	—	$	(2,178	)	$	20,360		$	2,467
Unrealized gains included in other comprehensive income	—		490		—		—			—			—
Transfers to level 2	—		—		—		2,178			—			(2,467		)
Asset at March 31,	$	—	$	17,710	$	—	$	—		$	20,360		$	—
Unrealized losses included in other comprehensive income	—		—		—		—			(3,010		)	—
Asset at June 30,	$	—	$	17,710	$	—	$	—		$	17,350		$	—
Unrealized gains (losses) included in other comprehensive income	—		—		—		—			—			—
Asset at September 30,	$	—	$	17,710	$	—	$	—		$	17,350		$	—

Fair Value Inputs, Assets, Quantitative Information

he following table summarizes information about the Company's Level 3 fair value measurements as of September 30, 2013:



Quantitative Information about Level 3 Fair Value Measurements
					Range
(in thousands)	Fair Value as of September 30, 2013		Valuation Method	Unobservable Input	Low		High		Weighted Average
Convertible Preferred Securities	$	17,710	Market Approach	EBITDA Multiples	5.50		7.00		6.60

			Income Approach	Discount Rate	17.0	%	17.0	%	17.0	%

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



(in thousands)	September 30, 2013		December 31, 2012
Fair value of long-term debt	$	428,726	$	459,397
Fair value in excess of carrying value	3,476		17,009