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DERIVATIVE AND HEDGING INSTRUMENTS
 12 Months Ended
Dec. 31, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
DERIVATIVE AND HEDGING INSTRUMENTS DERIVATIVE AND HEDGING INSTRUMENTS
The Company is exposed to various market risks, including the potential loss arising from adverse changes in interest rates and foreign exchange rates. The Company enters into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the value of which are determined by interest rates and foreign exchange rates. The Company’s derivative financial instruments are used to manage differences in the amount of the Company’s known or expected cash receipts and its known or expected cash payments principally related to the Company’s investments and borrowings.
Certain of the Company’s foreign operations expose the Company to fluctuations of foreign interest rates and exchange rates. These fluctuations may impact the value in the Company’s functional currency, the U.S. dollar, of the Company’s investment in foreign operations, the cash receipts and payments related to these foreign operations and payments of interest and principal under Canadian dollar denominated debt. The Company enters into derivative financial instruments to protect the value of its foreign investments and fix a portion of the interest payments for certain debt obligations. The Company does not enter into derivatives for speculative purposes.
Cash Flow Hedges
The Company’s objectives in using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. To accomplish these objectives, the Company primarily uses interest rate swaps and collars as part of its interest rate risk management strategy. In September 2021, the Company terminated six forward starting interest rate swaps and five interest rate swaps, resulting in net proceeds totaling $3.0 million. The balance of the net gain in other comprehensive income will be reclassified to earnings through 2034. As of December 31, 2021, approximately $9.2 million of losses, which are included in accumulated other comprehensive income, are expected to be reclassified into earnings in the next 12 months.
Net Investment Hedges
The Company is exposed to fluctuations in foreign exchange rates on investments it holds in Canada. The Company uses cross currency interest rate swaps to hedge its exposure to changes in foreign exchange rates on these foreign investments.
The following presents the notional amount of derivative instruments as of the dates indicated (in thousands):  
As of December 31,
20212020
Derivatives designated as cash flow hedges:
Denominated in U.S. Dollars (1)
$436,250 $1,340,000 
Denominated in Canadian Dollars (2)
$125,000 $250,000 
Derivatives designated as net investment hedges:
Denominated in Canadian Dollars$50,859 $52,778 
Financial instrument designated as net investment hedge:
Denominated in Canadian Dollars$125,000 $125,000 
Derivatives not designated as net investment hedges:
Denominated in Canadian Dollars$5,441 $3,522 
(1)    Balance includes swaps with an aggregate notional amount of $175.0 million, which accretes to $262.5 million in January 2023. Balance as of December 31, 2020 includes six forward starting interest rate swaps with an effective date of May 2024 and an aggregate notional amount of $250.0 million, and two forward starting interest rate swaps and one forward starting interest rate collar with an effective date of January 2021and an aggregate notional amount of $245.0 million.
(2)    Balance as of December 31, 2020 includes two forward starting interest rate swaps with an effective date of January 2021 and an aggregate notional amount of CAD $125.0 million.
Derivative and Financial Instruments Designated as Hedging Instruments
The following is a summary of the derivative and financial instruments designated as hedging instruments held by the Company at December 31, 2021 and 2020 (dollars in thousands):    
Count as of December 31, 2021Fair ValueMaturity Dates
As of December 31,
TypeDesignation20212020Balance Sheet Location
Assets:
Interest rate swapsCash flow2 $1,481 $— 2024Accounts receivable, prepaid expenses and other assets, net
Forward starting interest rate swapsCash flow— — 10,652 2034Accounts receivable, prepaid expenses and other assets, net
Cross currency interest rate swapsNet investment2 1,849 2,150 2025Accounts receivable, prepaid expenses and other assets, net
$3,330 $12,802 
Liabilities:
Interest rate swapsCash flow4 $3,522 $23,849 2023- 2024Accounts payable and accrued liabilities
Interest rate collarsCash flow2 204 1,626 2024Accounts payable and accrued liabilities
Forward starting interest rate swapsCash flow— — 10,723 2024Accounts payable and accrued liabilities
Forward starting interest rate collarCash flow— — 820 2024Accounts payable and accrued liabilities
CAD term loanNet investment1 98,438 98,100 2024Term loans, net
$102,164 $135,118 
The following presents the effect of the Company’s derivative and financial instruments designated as hedging instruments on the consolidated statements of (loss) income and the consolidated statements of equity for the years ended December 31, 2021, 2020 and 2019 (in thousands):
Gain (Loss) Recognized in Other Comprehensive (Loss) Income(Loss) Gain Reclassified from Accumulated Other Comprehensive (Loss) Income
Into Income		Income Statement Location
For the year ended December 31,
202120202019202120202019
Cash Flow Hedges:
Interest rate products$17,408 $(35,320)$(19,932)$(12,774)$(8,072)$5,545 Interest expense
Net Investment Hedges:
Foreign currency products(272)(758)(772)— — — N/A
CAD term loan(338)(2,075)(4,325)— — — N/A
$16,798 $(38,153)$(25,029)$(12,774)$(8,072)$5,545 
During the years ended December 31, 2021, 2020 and 2019, no cash flow hedges were determined to be ineffective.
Derivatives Not Designated as Hedging Instruments
As of December 31, 2021, the Company had one outstanding cross currency interest rate swap, of which a portion was not designated as a hedging instrument, in an asset position with a fair value of $0.2 million and included this amount in accounts receivable, prepaid expenses and other assets, net on the consolidated balance sheets. During the years ended December 31, 2021, 2020 and 2019, the Company recorded $22,000 and $0.1 million of other expense and $5,000 of other income, respectively, related to the portion of derivatives not designated as hedging instruments.
Offsetting Derivatives
The Company enters into master netting arrangements, which reduce credit risk by permitting net settlement of transactions with the same counterparty. The table below presents a gross presentation, the effects of offsetting, and a net presentation of the Company’s derivatives as of December 31, 2021 and 2020 (in thousands):
As of December 31, 2021
Gross Amounts of Recognized Assets / LiabilitiesGross Amounts Offset in the Balance SheetNet Amounts of Assets / Liabilities presented in the Balance SheetGross Amounts Not Offset in the Balance Sheet
Financial InstrumentsCash Collateral ReceivedNet Amount
Offsetting Assets:
Derivatives$3,330 $— $3,330 $(930)$— $2,400 
Offsetting Liabilities:
Derivatives$3,726 $— $3,726 $(930)$— $2,796 
As of December 31, 2020
Gross Amounts of Recognized Assets / LiabilitiesGross Amounts Offset in the Balance SheetNet Amounts of Assets / Liabilities presented in the Balance SheetGross Amounts Not Offset in the Balance Sheet
Financial InstrumentsCash Collateral ReceivedNet Amount
Offsetting Assets:
Derivatives$12,802 $— $12,802 $(7,420)$— $5,382 
Offsetting Liabilities:
Derivatives$37,018 $— $37,018 $(7,420)$— $29,598 
Credit Risk-related Contingent Features
The Company has agreements with each of its derivative counterparties that contain a provision pursuant to which the Company could be declared in default on the derivative obligation if the Company defaults on any of its indebtedness, including a default where repayment of the indebtedness has not been accelerated by the lender. As of December 31, 2021, the fair value of derivatives in a net liability position, which includes accrued interest but excludes any adjustment for nonperformance risk, related to these agreements was $2.2 million. As of December 31, 2021, the Company has not posted any collateral related to these agreements. If the Company had breached any of these provisions at December 31, 2021, it could have been required to settle its obligations under the agreements at their termination value of $2.1 million.