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## Note 14. Fair Value Measurements and Derivatives 

In measuring the fair value of our assets and liabilities, we use market data or assumptions that we believe market participants would use in pricing an asset or liability including assumptions about risk when appropriate. Our valuation techniques include a combination of observable and unobservable inputs. 

Fair value measurements on a recurring basis  — Assets and liabilities that are carried in our balance sheet at fair value are as follows: 

<img src='content_image/213950.jpg'>

During January 2014, we sold our interest in a payment-in-kind callable note to a third party for $75. Accordingly, we reclassified the note to current assets and, with observable market value readily available, we reduced the unrealized gain and transferred the note from Level 3 to Level 2 at December 31, 2013. 

Fair value of financial instruments  — The financial instruments that are not carried in our balance sheet at fair value are as follows: 

<img src='content_image/213951.jpg'>

The fair value of our senior notes is estimated based upon a market approach (Level 2) while the fair value of our other indebtedness is based upon an income approach (Level 2). See Note 13 for additional information about financing arrangements. 

