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FAIR VALUE
3 Months Ended
Mar. 31, 2020
Fair Value Disclosures [Abstract]  
FAIR VALUE FAIR VALUE


Fair Value Measurements

The estimated fair value of remaining contingent consideration related to the Priority Payment Systems Tech Partners ("PPS Tech") and Priority Payment Systems Northeast ("PPS Northeast") business combinations were each based on a weighted payout probability for the contingent consideration at the original measurement date and each subsequent remeasurement date, which fall within Level 3 on the fair value hierarchy since these recurring fair value measurements are based on significant unobservable inputs. Both of these business combinations consummated during the third quarter of 2018. For PPS Tech and PPS Northeast, the probabilities used to estimate the payout probability of the contingent considerations ranged between 15% and 35% and between 5% and 80%, respectively. For PPS Tech and PPS Northeast, the estimated weighted average probability for payment of the contingent consideration was 21% and 70%, respectively, at March 31, 2020 and December 31, 2019, and 26% and 70%, respectively, at March 31, 2019. These weighted average probabilities are based on present value of estimated projections for financial metrics for the remaining earnout periods.

At March 31, 2020, the remaining maximum amounts of contingent consideration for the PPS Tech and the PPS Northeast business combinations were $500,000 and $250,000, respectively, and the measured fair values were $170,000 and $190,000, respectively. These fair value amounts did not change during the three months ended March 31, 2020 and 2019.

There were no transfers among the fair value levels during the three months ended March 31, 2020 and March 31, 2019. There were no unrealized gains or losses included in other comprehensive income for any reporting period, therefore there were no changes in unrealized gains and losses for any reporting period included in other comprehensive income for recurring Level 3 fair value measurements.


Fair Value Disclosures

Notes Receivable

Notes receivable are carried at amortized cost. Substantially all of the Company's notes receivable are secured, and the Company believes that all of its notes receivable are collectible. The fair value of the Company's notes receivable at March 31, 2020 and December 31, 2019 was approximately $6.6 million and $5.7 million, respectively. On the fair value hierarchy, Level 3 inputs are used to estimate the fair value of these notes receivable.
Debt Obligations

The Borrower's outstanding debt obligations (see Note 8, Debt Obligations) are reflected in the Company's consolidated balance sheets at carrying value since the Company did not elect to remeasure debt obligations to fair value at the end of each reporting period.

The fair value of the term loan facility under the Borrowers' Senior Credit Agreement at March 31, 2020 was approximately $327.7 million. The fair value of these notes with a notional value and carrying value (gross of deferred costs and discounts) of $387.8 million was estimated using binding and non-binding quoted prices in an active secondary market, which considers the Borrowers' credit risk and market related conditions, and is within Level 3 of the fair value hierarchy.
The carrying values of the Borrowers' other long-term debt obligations approximate fair value due to mechanisms in the credit agreements that adjust the applicable interest rates and the lack of an active market for these notes.