Fair Value

Fair value measurements on a recurring basis

The following tables present the Company’s assets and liabilities, excluding pension assets, that are measured at fair value on a recurring basis:



			Fair Value Hierarchy
(in millions)	Fair Value		Level 1		Level 2		Level 3
	December 30, 2016
Assets:
Money market funds and money market deposit accounts	$	327	$	327	$	—	$	—
Deferred purchase price receivable	311		—		—		311
Derivative instruments	25		—		25		—
Total assets	$	663	$	327	$	25	$	311

Liabilities:
Contingent consideration	$	6	$	—	$	—	$	6
Derivative instruments	35		—		35		—
Total liabilities	$	41	$	—	$	35	$	6



	April 1, 2016
Assets:
Money market funds and money market deposit accounts	$	348	$	348	$	—	$	—
Time deposits	1		1		—		—
Available for sale equity investments	66		66		—		—
Derivative instruments	15		—		15		—
Total assets	$	430	$	415	$	15	$	—

Liabilities:
Derivative instruments	$	11	$	—	$	11	$	—
Total liabilities	$	11	$	—	$	11	$	—

The Company's money market funds, money market deposit accounts and time deposits are reported in cash and cash equivalents; the deferred purchase price receivable (see Note 6 - Sale of Receivables) is included in receivables, net of allowance for doubtful accounts. Available for sale equity investments (which was the Company's investment in Xchanging prior to the completion its acquisition as described in Note 3 - Acquisitions) are included in prepaid expenses and other current assets on the accompanying unaudited Condensed Consolidated Balance Sheets. The balance sheet classifications of the Company's derivative instruments are presented in Note 8 - Derivative Instruments. The fair value of contingent consideration is related to the Company's acquisition of Aspediens (see Note 3 - Acquisitions) and is included in other liabilities. There were no transfers between any of the levels during the periods presented.

Fair value of the deferred purchase price receivable is based on the face amount of the receivables adjusted for anticipated credit losses which are Level 3 inputs.

Financial instruments not measured at fair value

The carrying amounts of the Company’s financial instruments with short-term maturities are deemed to approximate their market values. As of December 30, 2016, the carrying amount of the Company’s long-term debt, excluding capital leases, and the estimated fair value was $2.2 billion. The fair value of long-term debt is estimated based on current interest rates offered to the Company for instruments with similar terms and remaining maturities and classified as Level 2.

The Company is subject to counterparty risk in connection with its derivative instruments (see Note 8 - Derivative Instruments). With respect to its foreign currency derivatives, as of December 30, 2016 there were eight counterparties with concentration of credit risk. Based on gross fair value of these foreign currency derivative instruments, the maximum amount of loss that the Company could incur is approximately $20 million.

The Company’s credit risk is also affected by customers in bankruptcy proceedings; however, because most of these proceedings involve business reorganizations rather than liquidations and the nature of the Company’s services are often considered essential to the operational continuity of these customers, the Company is generally able to avoid or mitigate significant adverse financial impact in these cases. As of December 30, 2016, the Company had $9 million of accounts receivable and $8 million of related allowance for doubtful accounts with customers involved in bankruptcy proceedings.