Quarterly report pursuant to Section 13 or 15(d)

Fair Value Measurements

v3.20.2
Fair Value Measurements
9 Months Ended
Sep. 30, 2020
Fair Value Disclosures [Abstract]  
Fair Value Measurements

Note 6. Fair Value Measurements

 

Short-term investments

 

A summary of the fair value of our short-term investments as of September 30, 2020 is shown in the table below.

 

 

September 30, 2020

 

Level 1

 

Level 2

 

Level 3

 

Certificates of deposit

$

55,000

 

$

 

$

55,000

 

$

 

U.S. government securities

 

75,367

 

 

75,367

 

 

 

 

 

Commercial paper

 

74,927

 

 

 

 

74,927

 

 

 

Total

$

205,294

 

$

75,367

 

$

129,927

 

$

 

Our certificates of deposit are measured at carrying value including accrued interest, which approximates fair value due to their short-term nature. Our commercial paper is valued using broker quotes that utilize observable market inputs.

 

Long-term debt

The carrying value of our total long-term debt, including current maturities, was $144.9 million and $45.0 million at September 30, 2020 and December 31, 2019, respectively. The estimated fair value of our total long-term debt, including current maturities, was $151.1 million and $46.1 million at September 30, 2020 and December 31, 2019, respectively. The fair value measurement of our senior notes was determined using a discounted cash flow analysis that factors in current market yields for comparable borrowing arrangements under our credit profile. Since this methodology is based upon market yields for comparable arrangements, the measurement is categorized as Level 2 under the three-level fair value hierarchy as established by the FASB.