Risk Management and Use of Derivative Financial Instruments (Tables)

12 Months Ended

Dec. 31, 2014

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value

The following table sets forth certain information regarding our derivative instruments (in thousands):

Derivatives Designated as Hedging Instruments		Asset Derivatives Fair Value at  December 31,				Liability Derivatives Fair Value at December 31,
	Balance Sheet Location	2014		2013		2014			2013
Foreign currency forward contracts (a)	Other assets, net	$	24,051	$	2,002	$	—		$	—
Interest rate swaps	Other assets, net	71		1,895		—			—
Foreign currency collars	Other assets, net	—		429		—			—
Foreign currency forward contracts	Accounts payable, accrued expenses and other liabilities	—		—		—			(11,928		)
Interest rate swaps	Accounts payable, accrued expenses and other liabilities	—		—		(14,554		)	(12,911		)
Derivatives Not Designated as Hedging Instruments
Embedded derivatives (b)	Accounts payable, accrued expenses and other liabilities	—		—		—			(2,164		)
Embedded derivatives (b) (c)	Other assets, net	499		2,314		—			—
Stock warrants (d)	Other assets, net	1,848		1,782		—			—
Foreign currency    forward contracts (e)	Accounts payable, accrued expenses and other liabilities	—		—		(2,904		)	—
Foreign currency    forward contracts (a)(e)	Other assets, net	5,120		1,521		—			—
Swaption (f)	Other assets, net	505		1,205		—			—
Total derivatives		$	32,094	$	11,148	$	(17,458	)	$	(27,003	)

___________

(a) In connection with an investment in Japan, we entered into a foreign currency forward contract that protects against fluctuations in foreign currency rates related to the Japanese yen, but did not qualify for hedge accounting as of December 31, 2013. During the year ended December 31, 2014, this foreign currency forward contract was re-designated as a net investment hedge.

(b) In connection with the ADC Arrangement with IDL Wheel Tenant, LLC, we agreed to fund to the developer a portion of the loan in the euro and we locked the euro to U.S. dollar exchange rate at $1.278 at the time of the transaction (Note 7). This component of the loan is deemed to be an embedded derivative that requires separate measurement.

(c) In December 2013, there was an amendment to the loan commitment for the refinancing of Agrokor d.d., referred to as the Agrokor 4 portfolio, which provided for an effective net settlement provision. In December 2014, the embedded derivative matured.

(d) As part of the purchase of an interest in Hellweg 2 from CPA^®:14 in May 2011, we acquired warrants from CPA^®:14, which were granted by Hellweg 2 to CPA^®:14. These warrants give us participation rights to any distributions made by Hellweg 2 and we are entitled to a cash distribution that equals a certain percentage of the liquidity event price of Hellweg 2, should a liquidity event occur.

(e) In September 2014, a new forward contract was executed to offset an existing forward contract that has not yet reached its maturity. These two offsetting forward contracts will mature in July 2015.

(f) In connection with the non-recourse debt financing related to our Cuisine Solutions, Inc. investment, we executed a swap and purchased a swaption, which grants us the right to enter into a new swap with a predetermined fixed rate should there be an extension of the loan maturity date.

Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss)

The following tables present the impact of our derivative instruments in the consolidated financial statements (in thousands):

	Amount of Gain (Loss) Recognized in Other Comprehensive Income (Loss) on Derivatives (Effective Portion)
	Years Ended December 31,
Derivatives in Cash Flow Hedging Relationships	2014			2013			2012
Interest rate cap (a)	$	913		$	1,188		$	811
Interest rate swaps	(5,542		)	10,107			(11,046		)
Foreign currency collars	(290		)	(2,059		)	(2,951		)
Foreign currency forward contracts	29,313			(6,168		)	(3,030		)
Put options	—			—			192
Derivatives in Net Investment Hedging Relationships (b)
Foreign currency forward contracts	484			—			—
Derivatives Formerly in Net Investment Hedging Relationships (c)
Foreign currency forward contracts	4,511			(2,237		)	(1,014		)
Total	$	29,389		$	831		$	(17,038	)

		Amount of Gain (Loss) Reclassified from Other Comprehensive Income (Loss) into Income (Effective Portion)
	Location of Gain (Loss)	Years Ended December 31,
Derivatives in Cash Flow Hedging Relationships	Recognized in Income	2014			2013 (d)			2012 (d)
Foreign currency collars	Other income and (expenses)	$	751		$	1,215		$	1,918
Foreign currency forward contracts	Other income and (expenses)	1,145			909			366
Interest rate cap	Interest expense	(913		)	(1,189		)	(890		)
Interest rate swaps	Interest expense	(7,057		)	(7,268		)	(4,867		)
Total		$	(6,074	)	$	(6,333	)	$	(3,473	)

___________

(a) Includes a gain attributable to noncontrolling interests of $0.4 million, $0.5 million, and $0.4 million for the years ended December 31, 2014, 2013, and 2012, respectively.

(b) The effective portion of the change in fair value and the settlement of these contracts are reported in the foreign currency translation adjustment section of Other comprehensive (loss) income until the underlying investment is sold, at which time we reclassify the gain or loss to earnings.

(c) In September 2014, a new forward contract was executed to offset an existing forward contract that has not yet reached its maturity. As a result of this transaction, this existing forward contract was de-designated as a hedging instrument. However, the effective portion of the change in fair value, through the date of the de-designation, and the settlement of this contract are reported in the foreign currency translation adjustment section of Other comprehensive (loss) income until the underlying investment is sold, at which time we will reclassify the gain or loss to earnings.

(d) The amounts included in this column for the periods presented herein have been revised to reverse the signs that were incorrectly presented when originally filed. In addition, similar revisions will be made to the column for the quarter ended March 31, 2014 in the Form 10-Q for the quarter ended March 31, 2015 when filed.

Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance

		Amount of Gain (Loss) Recognized in Income on Derivatives
	Location of Gain (Loss)	Years Ended December 31,
Derivatives Not in Hedging Relationships	Recognized in Income	2014			2013		2012
Embedded credit derivatives	Other income and (expenses)	$	1,378		$	1,159	$	(1,141	)
Foreign currency forward contracts	Other income and (expenses)	364			1,266		254
Put options	Other income and (expenses)	—			—		(2		)
Stock warrants	Other income and (expenses)	66			297		66
Swaption	Other income and (expenses)	(700		)	428		—
Derivatives in Hedging Relationships
Interest rate swaps (a)	Interest expense	(88		)	212		(34		)
Total		$	1,020		$	3,362	$	(857	)

___________

(a) Relates to the ineffective portion of the hedging relationship.

Schedule of Derivative Instruments

The following table presents the foreign currency derivative contracts we had outstanding and their designations at December 31, 2014 (currency in thousands):

Foreign Currency Derivatives	Number of Instruments	Notional Amount		Fair Value at December 31, 2014 (a)
Designated as Cash Flow Hedging Instruments
Foreign currency forward contracts	97	EUR	195,354	$	19,479
Foreign currency forward contracts	12	JPY	563,608	2,211
Foreign currency forward contracts	17	NOK	12,239	16
Not Designated as Hedging Instruments
Foreign currency forward contracts	2	EUR	90,000	2,216
Designated as Net Investment Hedging Instruments
Foreign currency forward contracts	1	JPY	610,129	2,335
Foreign currency forward contracts	5	NOK	7,996	10
				$	26,267

___________

(a) Fair value amounts are based on the exchange rate of the euro, the Japanese yen, or the Norwegian krone, as applicable, at December 31, 2014.

The interest rate swaps and swaption that we had outstanding on our consolidated subsidiaries at December 31, 2014 are summarized as follows (currency in thousands):

Interest Rate Derivatives	Number of Instruments	Notional Amount		Fair Value at December 31, 2014(a)
Designated as Cash Flow Hedging Instruments
Interest rate swaps	6	EUR	185,796	$	(7,466	)
Interest rate swaps	13	USD	234,089	(7,017		)
Not Designated as Hedging Instrument
Swaption	1	USD	13,230	505
				$	(13,978	)

____________

(a) Fair value amount is based on the exchange rate of the euro at December 31, 2014, as applicable.

The interest rate swap that one of our unconsolidated jointly-owned investments had outstanding at December 31, 2014 and was designated as a cash flow hedge is summarized as follows (currency in thousands):

Interest Rate Derivative	Ownership Interest in Investee at December 31, 2014	Number of Instruments	Notional Amount		Fair Value at December 31, 2014 (a)
Interest rate swap	85%	1	EUR	11,701	$	(631	)

____________

(a) Fair value amount is based on the exchange rate of the euro at December 31, 2014.