Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2016

Financial assets and liabilities measured at fair value on a recurring basis

The following table presents the Company’s financial assets and liabilities that are measured at fair value on a recurring basis, categorized using the fair value hierarchy:



(Thousands of dollars)
			Quoted Prices
			in Active				Significant
	Fair Value at		Markets for		Significant Other		Unobservable
	June 30,		Identical Assets		Observable Inputs		Inputs
	2016		(Level 1)		(Level 2)		(Level 3)
Assets:
Deferred compensation plan asset ⁽¹⁾	$	25,415	$	3,056	$	22,359
Liabilities:
Interest rate lock liability ⁽²⁾	$	174,669			$	174,669
Deferred compensation plan liability ⁽³⁾	35,634		$	35,634
Total liabilities	$	210,303	$	35,634	$	174,669

⁽¹⁾

The deferred compensation plan asset consists of the investment funds maintained for the future payments under the Company’s executive deferred compensation plan, which is structured as a rabbi trust. The investments are marketable securities accounted for under the Debt and Equity Securities Topic of the ASC. The level 1 investments are valued using quoted market prices multiplied by the number of shares. The level 2 investments are valued based on vendor or broker models. The cost basis of the investment funds is $25,275.

⁽²⁾ The interest rate lock liability is measured at the present value of the expected future cash flows using market-based observable inputs. See Note 15.

⁽³⁾The deferred compensation plan liability is the Company’s liability under its executive deferred compensation plan. The liability represents the fair value of the participant shadow accounts, and the value is based on quoted market prices.