Fair Value Measurements

6 Months Ended

Jun. 30, 2015

9. Fair Value Measurements

The following table summarizes assets and liabilities that are measured at fair value on a recurring basis as of June 30, 2015 and December 31, 2014:


	June 30, 2015											December 31, 2014
	Fair Value Asset (Liability)											Fair Value Asset (Liability)
(in millions)	Level 1		Level 2			Level 3			Total			Level 1		Level 2			Level 3			Total
Derivatives:
Assets	$	—	$	30.9		$	—		$	30.9		$	—	$	29.3		$	—		$	29.3
Liabilities		—		(25.8	)		—			(25.8	)		—		(23.5	)		—			(23.5	)
Available-for-sale securities		—		—			—			—			—		1.5			—			1.5
Contingent consideration		—		—			(30.9	)		(30.9	)		—		—			(32.6	)		(32.6	)

Derivative assets and liabilities relate to interest rate swaps, foreign currency contracts and commodity contracts. Fair values are determined by the Company using market prices obtained from independent brokers or determined using valuation models that use as their basis readily observable market data that is actively quoted and can be validated through external sources, including independent pricing services, brokers and market transactions. Available-for-sale securities include inflation protected bonds and are valued based on quoted market prices.

The fair value measurement of the contingent consideration obligations arising from acquisitions is based upon Level 3 inputs including, in part, the estimate of future cash flows based upon the likelihood of achieving the various earn-out criteria. Changes in the fair value of the contingent consideration obligations are recorded in SG&A.

Changes in the fair value of the contingent consideration obligations for the six months ended June 30, 2015 were as follows:


(in millions)	2015
Contingent consideration at January 1,	$	32.6
Acquisitions		4.5
Payments		(0.6	)
Adjustments and foreign exchange		(5.6	)

Contingent consideration at June 30,	$	30.9