4.RESTRICTED CASH

The cash, cash equivalents, and restricted cash balances on the consolidated statement of cash flows consists of the following:



	As of		As of		As of
	December 31, 2017		December 31, 2016		December 31, 2015		Included on Balance Sheet

		(in thousands)
Cash and cash equivalents	$	68,783	$	146,109	$	118,039
Securitization escrow accounts		32,699		36,607		25,135	Restricted cash - current asset
Payment and performance bonds		225		179		218	Restricted cash - current asset
Surety bonds and workers compensation		2,588		3,075		3,227	Other assets - noncurrent
Total cash, cash equivalents, and restricted cash	$	104,295	$	185,970	$	146,619

Pursuant to the terms of the Tower Securities (see Note 12), the Company is required to establish a securitization escrow account, held by the indenture trustee, into which all rents and other sums due on the towers that secure the Tower Securities are directly deposited by the lessees. These restricted cash amounts are used to fund reserve accounts for the payment of (1) debt service costs, (2) ground rents, real estate and personal property taxes and insurance premiums related to towers, (3) trustee and servicing expenses, and (4) management fees. The restricted cash in the securitization escrow account in excess of required reserve balances is subsequently released to the Borrowers (as defined in Note 12) monthly, provided that the Borrowers are in compliance with their debt service coverage ratio and that no event of default has occurred. All monies held by the indenture trustee are classified as restricted cash on the Company’s Consolidated Balance Sheets.

Payment and performance bonds relate primarily to collateral requirements for tower construction currently in process by the Company. Cash is pledged as collateral related to surety bonds issued for the benefit of the Company or its affiliates in the ordinary course of business and primarily related to the Company’s tower removal obligations. As of December 31, 2017 and 2016, the Company had $39.5 million and $39.2 million in surety, payment and performance bonds, respectively, for which it is only required to post $0.5 million in collateral as of December 31, 2016. As of December 31, 2017, no collateral was required to be posted. The Company periodically evaluates the collateral posted for its bonds to ensure that it meets the minimum requirements. As of December 31, 2017 and 2016, the Company had also pledged $2.5 million as collateral related to its workers compensation policy.