Quarterly report pursuant to Section 13 or 15(d)

Fair Value Measurements (Tables)

v3.8.0.1
Fair Value Measurements (Tables)
9 Months Ended
Sep. 30, 2017
Fair Value Disclosures [Abstract]  
Assets and Liabilities Recorded at Fair Value

Assets and liabilities recorded at fair value in the accompanying condensed consolidated balance sheets as of September 30, 2017 and December 31, 2016 are as follows:

 

 

Fair Value Based on

Significant Other Observable

Inputs (Level 2)

 

 

 

 

September 30, 2017

 

 

December 31, 2016

 

 

 

 

(In thousands)

 

 

Assets:

 

 

 

 

 

 

 

 

 

Cash surrender value of life insurance policies (1)

 

$

32,745

 

 

$

31,475

 

 

Cash flow swaps and interest rate caps designated as hedges (2)

 

 

4,290

 

 

 

2,772

 

 

Total assets

 

$

37,035

 

 

$

34,247

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities:

 

 

 

 

 

 

 

 

 

Cash flow swaps and interest rate caps designated as hedges (3)

 

$

2,903

 

 

$

6,135

 

 

Cash flow swaps not designated as hedges (4)

 

 

-

 

 

 

346

 

 

Deferred compensation plan (5)

 

 

17,216

 

 

 

14,824

 

 

Total liabilities

 

$

20,119

 

 

$

21,305

 

 

 

(1)

Included in other assets in the accompanying condensed consolidated balance sheets.

(2)

As of September 30, 2017, approximately $0.5 million and $3.8 million were included in other current assets and other assets, respectively, in the accompanying condensed consolidated balance sheets. As of December 31, 2016, approximately $2.8 million was included in other assets in the accompanying condensed consolidated balance sheets.

(3)

As of September 30, 2017, approximately $1.8 million and $1.1 million were included in other accrued liabilities and other long-term liabilities, respectively, in the accompanying condensed consolidated balance sheets. As of December 31, 2016, approximately $3.7 million and $2.4 million were included in other accrued liabilities and other long-term liabilities, respectively, in the accompanying condensed consolidated balance sheets.

(4)

Included in other accrued liabilities in the accompanying condensed consolidated balance sheets.

(5)

Included in other long-term liabilities in the accompanying condensed consolidated balance sheets.

Fair Value and Carrying Value of Significant Fixed Rate Long-Term Debt

At September 30, 2017 and December 31, 2016, the fair value and carrying value of Sonic’s significant fixed rate long-term debt were as follows:

 

 

September 30, 2017

 

 

December 31, 2016

 

 

 

Fair Value

 

 

Carrying Value

 

 

Fair Value

 

 

Carrying Value

 

 

 

(In thousands)

 

7.0% Notes (1)

 

$

-

 

 

$

-

 

 

$

211,000

 

 

$

198,871

 

5.0% Notes (1)

 

$

282,764

 

 

$

289,273

 

 

$

284,934

 

 

$

289,273

 

6.125% Notes (1)

 

$

256,875

 

 

$

250,000

 

 

$

-

 

 

$

-

 

Mortgage Notes (2)

 

$

200,614

 

 

$

197,053

 

 

$

185,979

 

 

$

176,369

 

Other (2)

 

$

3,836

 

 

$

4,031

 

 

$

4,057

 

 

$

4,280

 

 

(1)

As determined by market quotations as of September 30, 2017 and December 31, 2016, respectively (Level 1).

(2)

As determined by discounted cash flows (Level 3).