Fair Value of Financial Instruments

Fair Value Estimates

The fair value estimates of the following financial instruments have been determined using available market information and appropriate valuation methodologies. The carrying values of cash and cash equivalents, trade receivables, and trade payables approximate the fair values of those instruments due to the short-term nature of the instruments. The fair value of receivables on preneed contracts are impracticable to estimate because of the lack of a trading market and the diverse number of individual contracts with varying terms.

The fair value of our debt instruments at September 30, 2016 and December 31, 2015 was as follows:



	September 30, 2016		December 31, 2015
	(In thousands)
7.0% Senior Notes due June 2017	$	—	$	314,618
7.625% Senior Notes due October 2018	279,375		279,375
4.5% Senior Notes due November 2020	205,100		201,500
8.0% Senior Notes due November 2021	179,343		176,438
5.375% Senior Notes due January 2022	442,616		445,188
5.375% Senior Notes due May 2024	907,375		884,094
7.5% Senior Notes due April 2027	238,000		216,500
Term Loan due March 2021	682,500		—
Bank Credit Facility due March 2021	325,000		—
Term Loan due July 2018	—		310,000
Bank Credit Facility due July 2018	—		270,000
Mortgage notes and other debt, maturities through 2050	3,786		4,047
Total fair value of debt instruments	$	3,263,095	$	3,101,760

The fair value of our long-term, fixed-rate loans were estimated using market prices for those loans, and therefore they are classified within Level 2 of the fair value measurements hierarchy. The Term Loan, Bank Credit Facility agreement and the mortgage and other debt are classified within Level 3 of the fair value measurements hierarchy. The fair value of these instruments have been estimated using a discounted cash flow analysis based on our incremental borrowing rate for similar borrowing arrangements. An increase (decrease) in the inputs results in a directionally opposite change in the fair value of the instruments.