Fair Value Measurements

9 Months Ended

Dec. 30, 2011

Fair Value Measurements [Abstract]

FAIR VALUE MEASUREMENTS

The Company records and discloses certain financial and non-financial assets and liabilities at their fair value. The fair value of an asset is the price at which the asset could be sold in an orderly transaction between unrelated, knowledgeable and willing parties able to engage in the transaction. A liability's fair value is defined as the estimate amount that would be paid to transfer the liability to a new obligor in a transaction between such parties, not the amount that would be paid to settle the liability with the creditor.

Assets and liabilities recorded at fair value are measured using a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include:

Level 1: Inputs using unadjusted quoted prices for identical assets or liabilities in an active market that the Company has the ability to access.

Level 2: Inputs or other than quoted prices in markets that are observable for the asset or liability, either directly or indirectly.

Level 3: Inputs that are both significant to the fair value measurement and unobservable.

As of December 30, 2011, the fair value of the Company's financial assets and/or liabilities are measured using Level 1 or Level 3 inputs. The following table presents the Company's assets and liabilities which are measured at fair value on a recurring basis as of December 30, 2011, by level within the fair value hierarchy:

(in thousands)
December 30, 2011			Level 1		Level 3		Total
Assets:
	Conversion option on VIE convertible note (a)		$	-	$	739	$	739
Liabilities:
	Deferred compensation (b)		$	88,793	$	-	$	88,793
	Contingent consideration (c)			-		5,500		5,500
		Total liabilities	$	88,793	$	5,500	$	94,293
April 1, 2011			Level 1		Level 3		Total
Assets:
	Conversion option on VIE convertible note (a)		$	-	$	845	$	845
Liabilities:
	Deferred compensation (b)		$	84,165	$	-	$	84,165
	Contingent consideration (c)			-		10,155		10,155
		Total liabilities	$	84,165	$	10,155	$	94,320

• Represents the Company's conversion option to acquire 73% of the outstanding common stock in the Company's consolidated VIE, which is located in Other assets on the Company's Unaudited Condensed Consolidated Balance Sheets. See Footnote 3, Variable Interest Entity, for further information. The conversion option was calculated using an internal model that utilizes as its basis, unobservable inputs, including estimated interest rates based upon the estimated market interest rate which the VIE would have paid on a high-yield note in the open market. The remaining investment in Pathway has been eliminated in consolidation.
• Represents the Company's obligation to pay benefits under its non-qualified deferred compensation plans, which is included in Other noncurrent liabilities on the Company's Unaudited Condensed Consolidated Balance Sheets. The obligation to pay benefits is based on participants' allocation percentages to plan investments. The investments are measured using quoted market prices.
• Represents the estimated fair value of the additional cash consideration payable in connection with the Company's acquisitions that are contingent upon the achievement of certain performance milestones. The Company estimated the fair value using expectedfuture cash flows over the period in which the obligations are expected to be settled, and applied a discount rate that appropriately captures a market participant's view of the risk associated with the obligation. The liabilities are included in Other current liabilities and Other noncurrent liabilities on the Company's Unaudited Condensed Consolidated Balance Sheets, depending on the period of expected payout.

The following table summarizes the change in the fair value for Level 3 instruments for the nine months ended December 30, 2011:

(in thousands)		Level 3 Instruments
Assets:
Balance as of April 1, 2011		$	845
	Fair value adjustment included in earnings		(106)
Balance as of December 30, 2011		$	739

Liabilities:
Balance as of April 1, 2011		$	10,155
	Settlement of obligations		(4,000)
	Fair value adjustment included in earnings		(655)
Balance as of December 30, 2011		$	5,500

The carrying amounts of the Company's current financial instruments, including cash and cash equivalents, short-term trade receivables, and accounts payable, approximate their fair values due to the short-term nature of these assets and liabilities. The gross carrying value of the Company's 2008 Notesas ofDecember 30, 2011and April 1, 2011 was $230,000 and the fair value, which is estimated using a third party valuation model, was approximately $287,017and $323,800, respectively.