Derivatives - Interest Rate Swap Agreements (Tables)

9 Months Ended

Sep. 30, 2012

Hedging Exposure Future Cash Flows for Forecasted Transactions

The table below shows the remaining term of the Company’s interest rate swaps as of September 30, 2012.

Maturity	Notional Amount		Remaining Term in Months		Weighted Average Fixed Interest Rate in Contract
12 months or less	$	900,000		7		2.00	%
Over 12 months to 24 months		1,600,000		20		1.92	%
Over 24 months to 36 months		4,000,000		31		1.70	%
Over 36 months to 48 months		2,400,000		42		1.10	%
Over 48 months to 60 months		2,000,000		53		0.88	%
Total	$	10,900,000		34		1.48	%

Schedule of Location of Derivatives on Balance Sheet

The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the balance sheets as of September 30, 2012 and December 31, 2011, respectively.

Asset Derivatives

Liability Derivatives

As of September 30, 2012

As of December 31, 2011

As of September 30, 2012

As of December 31, 2011

Balance Sheet

Fair Value

Balance Sheet

Fair Value

Balance Sheet

Fair Value

Balance Sheet

Fair Value

Interest rate hedge

Interest rate hedge asset

—

Interest rate hedge asset

—

Interest rate hedge liability

$

273,120

Interest rate hedge liability

$

219,167

Forward purchase commitment

Other assets

26,843

Other Assets

6,327

Account payable and other liabilities

—

Account payable and other liabilities

—

Schedule of Location of Derivatives on Income Statement

The table below presents the effect of the Company’s derivative financial instruments on the income statement for the three months ended September 30, 2012.

Derivative type for cash flow hedge	Amount of loss recognized in OCI on derivative (effective  portion)		Location of loss reclassified from accumulated OCI into income (effective portion)	Amount of loss reclassified from accumulated OCI into income  (effective portion)		Location of loss recognized in income on derivative (ineffective portion)	Amount of gain recognized in income on derivative (ineffective  portion)
Interest Rate	$	51,833	Interest Expense	$	29,679	Interest Expense	$	17

The table below presents the effect of the Company’s derivative financial instruments on the income statement for the three months ended September 30, 2011.

Derivative type for cash flow hedge	Amount of loss recognized in OCI on derivative (effective  portion)		Location of loss reclassified from accumulated OCI into income (effective portion)	Amount of loss reclassified from accumulated OCI into income  (effective portion)		Location of loss recognized in income on derivative (ineffective portion)	Amount of loss recognized in income on derivative (ineffective  portion)
Interest Rate	$	150,557	Interest Expense	$	30,694	Interest Expense	$	130

The table below presents the effect of the Company’s derivative financial instruments on the income statement for the nine months ended September 30, 2012.

Derivative type for cash flow hedge	Amount of loss recognized in OCI on derivative (effective  portion)		Location of loss reclassified from accumulated OCI into income (effective portion)	Amount of loss reclassified from accumulated OCI into income  (effective portion)		Location of gain recognized in income on derivative (ineffective portion)	Amount of loss recognized in income on derivative (ineffective  portion)
Interest Rate	$	139,474	Interest Expense	$	85,842	Interest Expense	$	321

The table below presents the effect of the Company’s derivative financial instruments on the income statement for the nine months ended September 30, 2011.

Derivative type for cash flow hedge	Amount of loss recognized in OCI on derivative (effective  portion)		Location of loss reclassified from accumulated OCI into income (effective portion)	Amount of loss reclassified from accumulated OCI into income  (effective portion)		Location of gain recognized in income on derivative (ineffective portion)	Amount of loss recognized in income on derivative (ineffective  portion)
Interest Rate	$	260,244	Interest Expense	$	75,106	Interest Expense	$	515

Interest Rate Swap

Schedule of Interest Rate Swap Agreements on Accumulated Other Comprehensive Income

The following table presents the impact of the Company’s interest rate swap agreements on the Company’s accumulated other comprehensive income for the nine months ended September 30, 2012 and the year ended December 31, 2011, respectively.

	September 30, 2012			December 31, 2011
Beginning balance	($	218,451	)	($	47,676	)
Unrealized loss on interest rate swaps		(139,474	)		(273,389	)
Reclassification of net losses included in income statement		85,842			102,614
Ending balance	$	(272,083	)	$	(218,451	)