EFTA01367222.pdf

Amendment Page 793 of 868 22. Fair value of financial instruments As mdcated in Note 20 the Company's man financial instruments we comprised of cash. accounts recenatte. notes and loans payable accounts payable and accrued expenses, and derivative Manna' nstrurrients Management believes that the carryng values of cash. accounts receivable. and accounts payable approach their fair market value dUC to their short-term netts* Oeuvrerve finance] irstrumerts NIVe teen measured at fair value In considering the fair value of loans payable with variable interest rates the Comm , / has considered that LIBOR based tonovengs reset periodically ard the LIBOR speed on Wove outstanding approximate Mae ottained by alelestes in recent Inancings In evaluating the far value of loans payable at lured rates the Company has considered country risks, market conditions existing both at the date of the bans and those al the statement of financial position dates. and that there are not a significant number cf oomperatle financings in this rrerket As of December 31 2014 and 2013, the lair value of the loans, taking into account current market interest rates are the following (Level 3) Carrying amount Fair value ?OH 201) 20U ern Ex-1m Loan 1 $ 141,632.725 5 147,626,103 $ 143,337,646 149.5[0.382 Ex-Im Loan 2 23.091.723 23291,784 DABS Loan 1 47,587.689 50,075,642 4)216,006 50.787.070 DABS Loan 2 10682.368 13)20,137 226,993.995 5 197,701, 745 22)364,673 200,287 452 Fair value hierarchy The Company uses the following hierarchy for determinvg and disclosing the lair value of es financial instruments by valuation techncpe • Level 1 Quoted 0.ntidiusted) ernes in active markets br identical assets or liabilities • Level 2. Teens:pee tat use inputs deferent from Quoted Dotes that are oteervaNe for the asset or ',ability whether directly or indirectly • Level 3. Techecpes that use inputs that have a significant effect on the recorded fair value that are rot based on observable market data The inputs teed in the far value disclosure of 08111 payable are categon2ed within Level 3 of the lair value hierarchy As of Deattnber 31, 2014 and 2013 desists:Men al levels of instruments measured at law 'talus e as follows (Note 13) 2014 Level 1 Level 2 Level 3 Merest rate cap—asset 92034 S — $ 826,034 S - Nerest rate swap—liability 24)36,R1 — $4,636,671 S — 2013 Level 1 Level 2 Level 3 beaten rate cap—asset 5 2118788 S — $ 12118 788 — Interest rate swap--babilly 5,093,088 5 — $5093 068 S — F•473 http://cfdocs.btogo.com:27638/cf/drv7/pub/edgar/2015/07/20/0001193125-15-256461/d78... 7/20/2015 CONFIDENTIAL - PURSUANT TO FED. R. CRIM. P. 6(e) DB-SDNY-0058750 CONFIDENTIAL SDNY_GM_00204934 EFTA01367222