Hasbro 2014 Annual Report Download - page 93

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HASBRO, INC. AND SUBSIDIARIES
Notes to Consolidated Financial Statements — (Continued)
(Thousands of Dollars and Shares Except Per Share Data)
At December 28, 2014 and December 29, 2013, the Company had the following assets and liabilities
measured at fair value in its consolidated balance sheets:
Fair
Value
Fair Value Measurements Using
Quoted
Prices in
Active
Markets
for
Identical
Assets
(Level 1)
Significant
Other
Observable
Inputs
(Level 2)
Significant
Unobservable
Inputs
(Level 3)
December 28, 2014
Assets:
Available-for-sale securities .................. $28,042 4,482 17,773 5,787
Derivatives ................................ 69,148 — 69,148 —
Total assets ................................ $97,190 4,482 86,921 5,787
Liabilities:
Derivatives ................................ $ 2,591 — 2,591 —
Option agreement ........................... 25,340 — — 25,340
Total Liabilities ............................ $27,931 — 2,591 25,340
December 29, 2013
Assets:
Available-for-sale securities .................. $28,048 — 22,564 5,484
Derivatives ................................ 4,627 — 4,627 —
Total assets ................................ $32,675 — 27,191 5,484
Liabilities:
Derivatives ................................ $12,330 — 12,330 —
Total Liabilities ............................ $12,330 — 12,330 —
Available-for-sale securities include equity securities of one company quoted on an active public market as
well as certain investments valued at net asset values quoted on private markets that are not active. These net
asset values are predominantly based on underlying investments which are traded on an active market;
investments are redeemable within 45 days. At December 29, 2013 the Company also held an available-for-sale
investment in Brazil similar to a repurchase agreement; this investment was valued at the principal plus any
interest accrued on the instrument. Lastly, the Company holds an available-for-sale investment which invests in
hedge funds which contain financial instruments that are valued using certain estimates which are considered
unobservable in that they reflect the investment manager’s own assumptions about the inputs that market
participants would use in pricing the asset or liability. The Company believes that these estimates are the best
information available for use in the fair value of this investment. The Company’s derivatives consist primarily of
foreign currency forward contracts. At December 29, 2013, the Company also had forward-starting interest rate
swap contracts related to the anticipated issuance of the Notes Due 2021 and 2044. The Company used current
forward rates of the respective foreign currencies and U.S. treasury interest rates to measure the fair value of
these contracts. The option agreement included in other liabilities at December 28, 2014 is valued using an
option pricing model based on the fair value of the related investment. Inputs used in the option pricing model
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