Fair Value of Financial Instruments (Tables)

9 Months Ended

Jul. 31, 2013

Fair Value of Financial Instruments

The following table presents the fair value hierarchy, carrying amounts, and fair values of our financial instruments that are measured on a recurring basis and other select significant financial instruments as of July 31, 2013 and October 31, 2012:

		July 31, 2013				October 31, 2012
(in thousands)	Fair Value Hierarchy	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Financial assets measured at fair value on a recurring basis
Assets held in funded deferred compensation plan (1)	1	$	5,219	$	5,219	$	5,029	$	5,029
Investments in auction rate securities (2)	3		12,994		12,994		17,780		17,780
Interest rate swaps (3)	2		413		413		—		—
			18,626		18,626		22,809		22,809
Other select financial asset
Cash and cash equivalents (4)	1		38,688		38,688		43,459		43,459
Total		$	57,314	$	57,314	$	66,268	$	66,268
Financial liability measured at fair value on a recurring basis
Interest rate swap (3)	2	$	98	$	98	$	214	$	214
Other select financial liability
Line of credit (5)	2		348,481		348,481		215,000		215,000
Total		$	348,579	$	348,579	$	215,214	$	215,214

(1) Represents investments held in a Rabbi Trust associated with our OneSource Deferred Compensation Plan, which we include in “Other assets” on the accompanying unaudited consolidated balance sheets. The fair value of the assets held in the funded deferred compensation plan is based on quoted market prices.

(2) For investments in auction rate securities, the fair values were based on discounted cash flow valuation models, primarily utilizing unobservable inputs. See Note 6, “Auction Rate Securities,” for the roll-forwards of assets measured at fair value using significant unobservable Level 3 inputs and the sensitivity analysis of significant inputs.

(3) Includes derivatives designated as hedging instruments. The fair values of the interest rate swaps are estimated based on the present value of the difference between expected cash flows calculated at the contracted interest rates and the expected cash flows at current market interest rates using observable benchmarks for LIBOR forward rates at the end of the period. See Note 8, “Line of Credit,” for more information.

(4) Cash and cash equivalents are stated at nominal value, which equals fair value.

(5) Represents outstanding borrowings under our $650.0 million five-year syndicated line of credit. Due to variable interest rates, the carrying value of outstanding borrowings under our line of credit approximates the fair value. See Note 8, “Line of Credit,” for more information.