Frontier Communications 2014 Annual Report Download - page 105

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The following table represents the Plan’s Level 3 financial instruments for its interest in certain
limited partnerships and limited liability corporations, the valuation techniques used to measure the fair
value of those financial instruments as of December 31, 2014, and the significant unobservable inputs
and ranges of values for those inputs:
Instrument Property
Fair
Value
Principal
Valuation
Technique
Significant
Unobservable
Inputs
Significant
Input
Values
Interest in
Limited
Partnerships Direct Capitalization Capitalization Rate 8.50%
and Limited
Liability
Corporations
100 Comm Drive, LLC $8,689 Discounted
Cash Flow
Discount Rate
Duration (years)
8.00%
12
Direct Capitalization Capitalization Rate 8.50%
100 CTE Drive, LLC $6,942 Discounted
Cash Flow
Discount Rate
Duration (years)
8.00%
12
Direct Capitalization Capitalization Rate 8.50%
6430 Oakbrook Parkway, LLC $24,953 Discounted
Cash Flow
Discount Rate
Duration (years)
8.00%
12
Direct Capitalization Capitalization Rate 8.50%
8001 West Jefferson, LLC $29,553 Discounted
Cash Flow
Discount Rate
Duration (years)
8.00%
12
Direct Capitalization Capitalization Rate 8.85%
1500 MacCorkle Ave SE, LLC $16,219 Discounted
Cash Flow
Discount Rate
Duration (years)
8.00%
14
Direct Capitalization Capitalization Rate 10.50%
400 S. Pike Road West, LLC $1,093 Discounted
Cash Flow
Discount Rate
Duration (years)
8.00%
14
Direct Capitalization Capitalization Rate 10.00%
601 N US 131, LLC $1,062 Discounted
Cash Flow
Discount Rate
Duration (years)
8.00%
14
Direct Capitalization Capitalization Rate 9.00%
9260 E. Stockton Blvd., LLC $5,222 Discounted
Cash Flow
Discount Rate
Duration (years)
8.00%
14
The fair value of our OPEB plan assets, which are all measured using Level 1 inputs, was
$2 million as of December 31, 2013.
The following table summarizes the carrying amounts and estimated fair values for long-term debt
at December 31, 2014 and 2013. For the other financial instruments including cash, accounts
receivable, long-term debt due within one year, accounts payable and other current liabilities, the
carrying amounts approximate fair value due to the relatively short maturities of those instruments.
($ in thousands)
Carrying
Amount Fair Value
Carrying
Amount Fair Value
2014 2013
Long-term debt. . . . . . . . . . . . . . . . . . . . . . . . . . . . . $9,485,615 $10,034,096 $7,873,667 $8,191,744
The fair value of our long-term debt is estimated based upon quoted market prices at the reporting
date for those financial instruments.
(18) Commitments and Contingencies:
We anticipate total capital expenditures of approximately $650 million to $700 million for 2015,
excluding the expenditure of funds previously received from the Connect America Fund program.
Although we from time to time make short-term purchasing commitments to vendors with respect to
these expenditures, we generally do not enter into firm, written contracts for such activities.
F-44
FRONTIER COMMUNICATIONS CORPORATION AND SUBSIDIARIES
Notes to Consolidated Financial Statements