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Derivative Instruments and Hedging Activities
 12 Months Ended
Dec. 31, 2019
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Instruments and Hedging Activities Derivative Instruments and Hedging Activities
The following table summarizes the fair value of derivative instruments recorded in our consolidated balance sheets at December 31:
 
Balance Sheet Location
 
2019
 
2018
Derivatives Designated as Hedging Instruments
 
 
 
 
 
2017 interest rate caps
Other assets

$
—


$
0.7

2017 interest rate caps
Accrued expenses
 
(2.4
)
 
—

2017 interest rate caps
Other long-term liabilities
 
(1.7
)
 
—

Derivatives Not Designated as Hedging Instruments

 


 


2016 interest rate caps
Prepaid expenses and other current assets

—


5.8

Total derivatives
 
 
$
(4.1
)
 
$
6.5


The Company has not offset fair value amounts recognized for its derivative instruments.
Interest Rate Caps
In November 2017, the Company entered into two interest rate cap agreements as cash flow hedges to hedge the risk of a rise in interest rates and associated cash flows on its variable rate debt. These interest rate caps become in the money when one month LIBOR rates exceed 2.25%. The Company has applied hedge accounting to the interest rate caps; therefore, changes in the fair value of the interest rate caps are recorded in other comprehensive (loss) income, net of tax in the consolidated statements of comprehensive (loss) income. The interest rate caps commence in 2019 and expire in 2021. The Company began paying the $4.9 premium on the caps in monthly installments in October 2019. The notional value of the contracts aggregated were $600.0 as of December 31, 2019 and will remain constant through maturity in 2021. The company recorded a realized loss related to the 2017 interest rate caps of $0.6 in interest expense in the consolidated statements of operations for fiscal 2019. The Company recorded an unrealized loss for the 2017 interest rate caps of $3.4 in change in fair value of interest rate caps, net of tax in the consolidated statements of comprehensive (loss) income for fiscal 2019. The Company recorded a gain related to the 2017 interest rate caps of $1.0 for fiscal 2018 of which the effective portion of $0.4 was recorded in change in fair value of interest rate caps, net of tax in the condensed consolidated statements of comprehensive (loss) income and the ineffective portion of $0.6 was recorded in other (expense) income, net in the condensed consolidated statement of operations. The Company recorded a loss related to the 2017 interest rate caps of $0.4 in change in fair value of interest rate caps, net of tax in the condensed consolidated statements of comprehensive (loss) income for fiscal 2017.

In May 2016, the Company entered into three interest rate cap agreements as economic hedges against the risk of a rise in interest rates and the associated cash flows on its variable rate debt. These interest rate caps become in the money when three month LIBOR rates exceed 1.5%. The Company began paying the $5.5 premium of the caps equally over eleven quarters beginning on March 31, 2017. The Company elected not to apply hedge accounting to these interest rate caps therefore changes in the fair value of the interest rate caps are recorded in other (expense) income, net in the consolidated statements of operations. The notional value of the contracts aggregated remained constant at $800.0 through maturity in September 2019.
The Company recorded a loss related to the 2016 interest rate caps of $0.8 in other (expense) income, net in the consolidated statements of operations for fiscal 2019. The Company recorded a gain related to the 2016 interest rate caps of $5.7 in other (expense) income, net in the consolidated statements of operations for fiscal 2018. The Company recorded a loss related to the 2016 interest rate caps of $0.5 in other (expense) income, net in the consolidated statements of operations for fiscal 2017.