Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2013

Fair Value Measurements

Schedule of fair value hierarchy for assets measured at fair value on a non-recurring basis

The following table presents the fair value hierarchy for assets measured at fair value on a non-recurring basis (in thousands):

	Three and six months ended June 30, 2013
	Level 1		Level 2		Level 3		Total		Total Losses
Trademarks and trade names at the direct response segment	$	—	$	—	$	7,400	$	7,400	$	2,300

Quantitative information about level 3 inputs used in fair value measurements

Fair Value Measurement	Fair Value at June 30, 2013 (in thousands)		Valuation technique	Unobservable input	Range
Trademarks and trade names at the direct response segment	$	7,400	Discounted cash flow	Weighted-average cost of capital Long-term revenue growth rate	16.6% 1.0%
				Royalty rates	0.5% - 1.5%

Schedule of difference between the carrying value and estimated fair value of the entity's long-term debt

The following table presents the difference between the carrying amount and estimated fair value of our long-term debt (in thousands):

	June 30, 2013				December 31, 2012
	Carrying Amount		Estimated Fair Value		Carrying Amount		Estimated Fair Value
Guitar Center
Asset-based revolving credit facility	$	138,000	$	138,000	$	—	$	—
Senior secured term loan	619,125		612,160		621,762		600,000
Senior unsecured notes	394,890		408,288		394,890		418,579
Capital lease obligations	397		397		54		54
Total Guitar Center	1,152,412		1,158,845		1,016,706		1,018,633
Holdings
Senior unsecured PIK notes	434,889		462,636		564,673		596,965
Holdings consolidated	$	1,587,301	$	1,621,481	$	1,581,379	$	1,615,598