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Fair Value of Financial Instruments
 12 Months Ended
Dec. 31, 2013
Fair Value of Financial Instruments  
Fair Value of Financial Instruments

NOTE 21—Fair Value of Financial Instruments

        Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. A three level hierarchy has been established for valuing assets and liabilities based on how transparent (observable) the inputs are that are used to determine fair value, with the inputs considered most observable categorized as Level 1 and those that are the least observable categorized as Level 3. Hierarchy levels are defined as follows:

Level 1:   Quoted prices in active markets for identical assets and liabilities;

Level 2:
 
Quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar instruments in markets that are not active; and

Level 3:
 
Unobservable inputs that are supported by little or no market data which require the reporting entity to develop its own assumptions.

        The following table presents information about the Company's assets and liabilities that are measured at fair value on a recurring basis as of December 31, 2013 and December 31, 2012 and indicate the fair value hierarchy of the valuation techniques utilized to determine such values. For some assets, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. When this is the case, the asset is categorized based on the level of the most significant input to the fair value measurement. The Company's assessment of the significance of a particular input to the fair value measurement requires judgment and considers factors specific to the assets being valued.

 
   December 31, 2013  
 
   Fair Value
Measurements Using		    
  
 
   Total Fair
Value		  
(in thousands)
  Level 1   Level 2   Level 3  

Assets:

                          

Interest rate cap

   $ —   $ 1   $ —   $ 1  
                   
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
                   

Liabilities:

                          

Interest rate swaps

   $ —   $ 3,080   $ —   $ 3,080  
                   
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
                   


 

 
   December 31, 2012  
 
   Fair Value
Measurements Using		    
  
 
   Total Fair
Value		  
(in thousands)
  Level 1   Level 2   Level 3  

Assets:

                          

Interest rate cap

   $ —   $ 12   $ —   $ 12  
                   
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
                   

Liabilities:

                          

Interest rate swaps

   $ —   $ 6,615   $ —   $ 6,615  
                   
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​
                   

        Below is a summary of the Company's valuation techniques for Level 1 and Level 2 financial assets and liabilities:

        Interest rate cap—The fair value of the interest rate cap was determined using quoted dealer prices for similar contracts in active over-the-counter markets.

        Interest rate swaps—The fair value of interest rate swaps were determined using quoted dealer prices for similar contracts in active over-the-counter markets.

        The following methods and assumptions were used to estimate the fair value for which the fair value option was not elected:

        Cash and cash equivalents, receivables and accounts payable—The carrying amounts reported in the balance sheet approximate fair value.

        Debt—All of the Company's outstanding debt is carried at cost. There were no borrowings outstanding under the Revolver at December 31, 2013 or December 31, 2012. The estimated fair value of the Company's debt is based upon observed prices in an active market when available or from valuation models using market information, which fall into Level 2 in the fair value hierarchy. The carrying amounts and fair values of the Company's debt are presented below (in thousands):

 
   December 31, 2013   December 31, 2012  
(in thousands)
  Carrying
Amount		   Fair Value   Carrying
Amount		   Fair Value  

2011 Term Loan A

   $ 401,052   $ 403,517   $ 756,974   $ 758,867  

2011 Term Loan B

   $ 968,581   $ 959,838   $ 1,127,770   $ 1,135,293  

9.875% Senior Notes

   $ 496,831   $ 431,250   $ 496,510   $ 500,000  

8.50% Senior Notes

   $ 450,000   $ 374,625   $ —   $ —  

9.50% Senior Secured Notes

   $ 447,492   $ 474,750   $ —   $ —