Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2013

Carrying Amount and Estimated Fair Values of Financial Instruments


	March 31,				December 31,
	2013				2012
	Carrying		Fair		Carrying		Fair
	Amount		Value		Amount		Value
	(in thousands)

Cash and cash equivalents	$	17,508	$	17,508	$	53,583	$	53,583
Restricted cash	$	7,108	$	7,108	$	8,542	$	8,542
Unsecured revolving credit facility	$	35,100	$	35,100	$	–	$	–
Senior notes	$	1,669,503	$	1,885,523	$	1,669,473	$	1,917,005
Derivative instruments	$	104,554	$	104,554	$	287,878	$	287,878

Summary Assets and Liabilities Measured at Fair Value on Recurring Basis


	March 31, 2013
	Fair Value Measurements Using:
	Quoted Prices		Significant
	in Active		Other		Significant
	Markets		Observable Inputs		Unobservable Inputs		Assets (Liabilities)
	(Level 1)		(Level 2)		(Level 3)		at Fair Value
Derivative assets	$	–	$	165,961	$	1,400	$	167,361
Derivative liabilities		–		(1,260)		(61,547)		(62,807)
Total	$	–	$	164,701	$	(60,147)	$	104,554

	December 31, 2012
	Fair Value Measurements Using:
	Quoted Prices		Significant
	in Active		Other		Significant
	Markets		Observable Inputs		Unobservable Inputs		Assets (Liabilities)
	(Level 1)		(Level 2)		(Level 3)		at Fair Value
Derivative assets	$	–	$	287,993	$	4,151	$	292,144
Derivative liabilities		–		–		(4,266)		(4,266)
Total	$	–	$	287,993	$	(115)	$	287,878

Assets and Liabilities Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Level 3), Reconciliation


	For the three months ended
	March 31,
	2013		2012
	(in thousands)

Balance at beginning of period	$	(115)	$	182,119
Total gains or losses (realized/unrealized):
Included in earnings		(59,025)		58,462
Included in other comprehensive income		–		290
Purchases, issuances, and settlements:
Purchases		–		–
Issuances		–		–
Settlements		(1,007)		(56,328)
Transfers into/out of Level 3		–		–
Balance at end of period	$	(60,147)	$	184,543
Change in unrealized gains included in earnings relating to derivatives still held as of March 31	$	(60,032)	$	2,134

- Definition

Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset.

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