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Fair Value Measurements (Tables)
 6 Months Ended
Jun. 30, 2019
Fair Value Disclosures [Abstract]  
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, 2019, December 31, 2018 and June 30, 2018:
(in thousands)
June 30, 2019
Assets (liabilities)
Level 1
 
Level 2
 
Level 3
 
Total
Commodity derivatives, net (a)
$
103,350

 
$
62,473

 
$
—

 
$
165,823

Provisionally priced contracts (b)
(1,064
)
 
(38,215
)
 
—

 
(39,279
)
Convertible preferred securities (c)
—

 
—

 
8,404

 
8,404

Other assets and liabilities (d)
5,284

 
(10,750
)
 
—

 
(5,466
)
Total
$
107,570

 
$
13,508

 
$
8,404

 
$
129,482

(in thousands)
December 31, 2018
Assets (liabilities)
Level 1
 
Level 2
 
Level 3
 
Total
Commodity derivatives, net (a)
$
37,229

 
$
(18,864
)
 
$
—

 
$
18,365

Provisionally priced contracts (b)
(76,175
)
 
(58,566
)
 
—

 
(134,741
)
Convertible preferred securities (c)
—

 
—

 
7,154

 
7,154

Other assets and liabilities (d)
5,186

 
(353
)
 
—

 
4,833

Total
$
(33,760
)
 
$
(77,783
)
 
$
7,154

 
$
(104,389
)
(in thousands)
June 30, 2018
Assets (liabilities)
Level 1
 
Level 2
 
Level 3
 
Total
Commodity derivatives, net (a)
$
15,356

 
$
(48,451
)
 
$
—

 
$
(33,095
)
Provisionally priced contracts (b)
(37,787
)
 
(24,511
)
 
—

 
(62,298
)
Convertible preferred securities (c)
—

 
—

 
7,488

 
7,488

Other assets and liabilities (d)
4,136

 
(37
)
 
—

 
4,099

Total
$
(18,295
)
 
$
(72,999
)
 
$
7,488

 
$
(83,806
)
 
(a)
Includes associated cash posted/received as collateral
(b)
Included in "Provisionally priced contracts" are those instruments based only on underlying futures values (Level 1) and delayed price contracts (Level 2)
(c)
Recorded in “Other noncurrent assets” on the Company’s Condensed Consolidated Balance Sheets.
(d)
Included in other assets and liabilities are assets held in rabbi trusts to fund deferred compensation plans, ethanol risk management contracts, and foreign exchange derivative contracts (Level 1), and interest rate derivatives (Level 2).
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:
 
 
Convertible Preferred Securities
(in thousands)
 
2019
 
2018
Assets (liabilities) at January 1,
 
$
7,154

 
$
7,388

Additional Investments
 
250

 
—

Assets (liabilities) at March 31,
 
$
7,404

 
$
7,388

Additional investments
 
1,000

 
100

Asset (liabilities) at June 30,

$
8,404


$
7,488
Fair Value Inputs, Assets, Quantitative Information
The following tables summarize quantitative information about the Company's Level 3 fair value measurements as of June 30, 2019, December 31, 2018 and June 30, 2018:
 
Quantitative Information about Level 3 Fair Value Measurements
(in thousands)
Fair Value as of June 30, 2019
 
Valuation Method
 
Unobservable Input
 
Weighted Average
Convertible preferred securities (a)
$
8,404

 
Implied based on market prices
 
N/A
 
N/A
Real Property (b)
2,719

 
Market Approach
 
N/A
 
N/A
(in thousands)
Fair Value as of December 31, 2018
 
Valuation Method
 
Unobservable Input
 
Weighted Average
Convertible preferred securities (a)
$
7,154

 
Implied based on market prices
 
N/A
 
N/A
(in thousands)
Fair Value as of June 30, 2018
 
Valuation Method
 
Unobservable Input
 
Weighted Average
Convertible preferred securities (a)
$
7,488

 
Implied based on market prices
 
N/A
 
N/A
Real property (b)
1,300

 
Sale agreement
 
N/A
 
N/A
Rail car assets (c)
4,063

 
National scrap index less cost to sell
 
N/A
 
N/A

(a) The Company considers observable price changes and other additional market data available in order to estimate fair value, including additional capital raising, internal valuation models, progress towards key business milestones, and other relevant market data points.
(b) The Company recognized impairment charges on certain assets and measured the fair value using Level 3 inputs on a nonrecurring basis. The fair value of the assets was determined using prior transactions in the local market and a pending sale of grain assets held by the Company.
(c)The Company recognized impairment charges on rail assets during 2018 and measured fair value using Level 3 inputs on a nonrecurring basis. The fair value of the assets was determined based on a national scrap index less cost to sell.
Fair value of long-term debt estimated using quoted market prices or discounted future cash flows
The fair value of the Company’s long-term debt is estimated using quoted market prices or discounted future cash flows based on the Company’s current incremental borrowing rates for similar types of borrowing arrangements. As such, the Company has concluded that the fair value of long-term debt is considered Level 2 in the fair value hierarchy.
(in thousands)
June 30,
2019

December 31,
2018
 
June 30,
2018
Fair value of long-term debt, including current maturities
$
1,078,185

 
$
517,998

 
$
444,821

Fair value in excess of carrying value (a)
4,495

 
5,813

 
(8,063
)

(a) Carrying value used for this purpose excludes unamortized debt issuance costs.