Our assets and liabilities that are measured at fair value on a recurring basis include the following (in millions):


			Fair Value Measurements at June 30, 2014 Using
	Total		Quoted Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)(a)
Assets:
Money market funds	$	83	$	83	$	—	$	—
Fixed-income securities		37		—		37		—
Redeemable preferred stock		40		—		—		40
Foreign currency derivatives		1		—		1		—

Total assets	$	161	$	83	$	38	$	40

Liabilities:
Electricity commodity derivatives	$	1	$	—	$	1	$	—
Foreign currency derivatives		2		—		2		—

Total liabilities	$	3	$	—	$	3	$	—


			Fair Value Measurements at December 31, 2013 Using
	Total		Quoted Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)(a)
Assets:
Money market funds	$	99	$	99	$	—	$	—
Fixed-income securities		36		—		36		—
Redeemable preferred stock		25		—		—		25
Foreign currency derivatives		2		—		2		—

Total assets	$	162	$	99	$	38	$	25

Liabilities:
Interest rate derivatives	$	28	$	—	$	28	$	—
Electricity commodity derivatives		3		—		3		—

Total liabilities	$	31	$	—	$	31	$	—

(a)

Level 3 investments have been measured based on third-party investors’ recent or pending transactions in these securities, which are considered the best evidence of fair value currently available. When this evidence is not available, we use other valuation techniques as appropriate and available. These valuation methodologies may include transactions in similar instruments, discounted cash flow analysis, third-party appraisals or industry multiples and public comparables. The increase in the fair value of our redeemable preferred stock at June 30, 2014 compared to December 31, 2013 is related to $15 million of preferred stock acquired in conjunction with the sale of our Puerto Rico operations and certain other collection and landfill assets, which is discussed in Note 9. There has not been any significant change in the fair value of the redeemable preferred stock outstanding at December 31, 2013 since our assessment at that time.