Quarterly report pursuant to Section 13 or 15(d)

Derivatives (Tables)

v2.4.0.8
Derivatives (Tables)
3 Months Ended
Mar. 31, 2014
Derivatives  
Schedule of Swaps' outstanding notional balance and terms

The Swaps’ outstanding notional balance as of March 31, 2014 and terms are noted below:

 

Notional

 

Effective Date

 

Fixed
Rate Paid

 

Variable Rate Received

 

 

 

 

 

 

 

 

 

$

539,000,000

 

March 28, 2013

 

1.884

%

3 mo. USD-LIBOR-BBA, subject to a 1.00% floor (a)

 

142,825,000

 

March 28, 2013

 

1.384

%

3 mo. USD-LIBOR-BBA, subject to a 1.00% floor (a)

 

111,652,010

 

September 30, 2013

 

1.959

%

3 mo. USD-LIBOR-BBA, subject to a 1.00% floor

 

111,652,010

 

September 30, 2013

 

1.850

%

3 mo. USD-LIBOR-BBA, subject to a 1.00% floor

 

 

(a)         On March 25, 2013, the Company negotiated amendments to the terms of these interest rate swap agreements to coincide with the Repricing (the “Amended Swaps”).  The Amended Swaps are held with the same counterparties as the Existing Swap Agreements.  Upon entering into the Amended Swaps, the Company simultaneously dedesignated the Existing Swap Agreements and redesignated the Amended Swaps as cash flow hedges for the underlying change in the swap terms.  The amounts previously recognized in Accumulated other comprehensive loss relating to the dedesignation will be recognized in Interest expense over the remaining life of the Amended Swaps.

Schedule of impact of the derivatives designated as cash flow hedges on the condensed consolidated financial statements

The impact of the derivatives designated as cash flow hedges on the condensed consolidated financial statements is depicted below (amounts in thousands):

 

 

 

For the three months ended March 31,

 

 

 

2014

 

2013

 

 

 

 

 

 

 

Effective portion of gain (loss) recognized in Accumulated other comprehensive income (loss)

 

$

(3,371

)

(909

)

 

 

 

 

 

 

Effective portion of gain (loss) reclassified from Accumulated other comprehensive income (loss) into Net income (a)

 

$

(1,700

)

(1,168

)

 

 

 

 

 

 

Ineffective portion of amount of gain (loss) recognized into Net income (loss) on interest rate swaps (a)

 

$

(1

)

19

 

 

(a)         Amounts are included in Interest expense in the unaudited condensed consolidated statements of operations and comprehensive income (loss).