FAIR VALUE MEASUREMENTS (Tables)

12 Months Ended

Dec. 31, 2017

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

Assets and liabilities measured at fair value on a recurring basis are summarized as follows (in thousands):



	Level 1		Level 2		Level 3		Total
December 31, 2017:
Cash and cash equivalents	$	14,603	$	—	$	—	$	—
Asset retirement obligations ⁽¹⁾ (note 10)	—		—		1,936		1,936

December 31, 2016:
Cash and cash equivalents	$	10,389	$	—	$	—	$	—
Foreign currency contracts (note 9)	—		195		—		195
Asset retirement obligations ⁽¹⁾ (note 10)	—		—		2,810		2,810


⁽¹⁾	We calculate the fair value of asset retirement obligations by discounting the estimated amount using the current Treasury bill rate adjusted for our credit non-performance.

Schedule of changes in asset retirement obligations

The following table provides a summary of changes in our Level 3 asset retirement obligations (in thousands):



	December 31,
	2017			2016			2015
Balance, January 1	$	2,810		$	2,803		$	2,471
Accretion ⁽¹⁾	197			207			262
Subsequent revision of estimated obligation	449			—			70
Payments	(1,520		)	(200		)	—
Balance, December 31	$	1,936		$	2,810		$	2,803


⁽¹⁾	Included in INAP COLO "Costs of sales and services" in the accompanying consolidated statements of operations and comprehensive loss.

Schedule of fair value of term loan and revolving credit facility

The fair values of our other Level 3 debt liabilities, estimated using discount cash flow analysis based on incremental borrowing rates for similar types of borrowing arrangements, are as follows (in thousands):



	December 31,
	2017				2016
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Term loan	$	298,500	$	301,485	$	291,000	$	267,700
Revolving credit facility	5,000		5,050		35,500		32,600