Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2017

Fair Value Measurements

Schedule of financial assets and financial liabilities measured at fair value on a recurring basis (in thousands)

	Fair Value at March 31, 2017
							Cash Collateral
	Level 1		Level 2		Level 3		Netting		Total
Assets:
Forward derivative contracts (1)	$	—	$	2,199	$	313	$	—	$	2,512
Swap agreements and options		—		208		—		—		208
Exchange-traded/cleared derivative instruments (2)		(12,128)		—		—		31,014		18,886
Pension plans		17,199		—		—		—		17,199
Total assets	$	5,071	$	2,407	$	313	$	31,014	$	38,805
Liabilities:
Forward derivative contracts (1)	$	—	$	(4,438)	$	(427)	$	—	$	(4,865)
Swap agreements and options		—		(121)		—		—		(121)
Interest rate swaps		—		(773)		—		—		(773)
Total liabilities	$	—	$	(5,332)	$	(427)	$	—	$	(5,759)

	Fair Value at December 31, 2016
							Cash Collateral
	Level 1		Level 2		Level 3		Netting		Total
Assets:
Forward derivative contracts (1)	$	—	$	18,972	$	1,683	$	—	$	20,655
Swap agreements and options		—		727		—		—		727
Exchange-traded/cleared derivative instruments (2)		(70,690)		—		—		98,344		27,654
Pension plans		16,777		—		—		—		16,777
Total assets	$	(53,913)	$	19,699	$	1,683	$	98,344	$	65,813
Liabilities:
Forward derivative contracts (1)	$	—	$	(25,097)	$	(2,054)	$	—	$	(27,151)
Swap agreements and options		—		(262)		—		—		(262)
Interest rate swaps		—		(1,170)		—		—		(1,170)
Total liabilities	$	—	$	(26,529)	$	(2,054)	$	—	$	(28,583)

(1) Forward derivative contracts include the Partnership’s petroleum and ethanol physical and financial forwards and OTC swaps.

(2) Amount includes the effect of cash balances on deposit with clearing brokers.

Carrying value and fair value of the Partnership’s senior notes (in thousands)

	March 31, 2017					December 31, 2016
	Face			Fair		Face		Fair
	Value			Value		Value		Value
6.25% senior notes		$	375,000	$	367,500	$	375,000	$	361,163
7.00% senior notes		$	300,000	$	297,000	$	300,000	$	289,500

Schedule of sensitivity of fair value measurement to changes in significant unobservable inputs

Significant			ImpactonFairValue
Unobservable Input	Position	ChangetoInput	Measurement
Location basis	Long	Increase(decrease)	Gain (loss)
Location basis	Short	Increase(decrease)	Loss (gain)
Transportation	Long	Increase(decrease)	Gain (loss)
Transportation	Short	Increase(decrease)	Loss (gain)
Throughput costs	Long	Increase(decrease)	Gain (loss)
Throughput costs	Short	Increase(decrease)	Loss(gain)

Summary of the changes in fair value of Level 3 financial assets and liabilities (in thousands)

Fair value at December 31, 2016	$	(371)
Derivatives entered into during the period		(192)
Derivatives sold during the period		183
Realized gains (losses) recorded in cost of sales		648
Unrealized gains (losses) recorded in cost of sales		(382)
Fair value at March 31, 2017	$	(114)