Quarterly report pursuant to Section 13 or 15(d)

Fair Value of Financial Instruments (Tables)

v2.4.0.6
Fair Value of Financial Instruments (Tables)
 3 Months Ended
May 31, 2012
Fair Value Disclosures [Abstract]  
Carrying amount and estimated fair value of financial instruments
The carrying amount and estimated fair value of the Company’s financial instruments are summarized as follows:

 
May 31, 2012
 
February 29, 2012
  
Carrying
Amount
 
Fair
Value
 
Carrying
Amount
 
Fair
Value
(in millions)
 
 
 
 
 
 
 
Assets:
 
 
 
 
 
 
 
Cash and cash investments
$
69.1

 
$
69.1

 
$
85.8

 
$
85.8

Accounts receivable
$
457.8

 
$
457.8

 
$
436.0

 
$
436.0

Available-for-sale debt securities
$
27.4

 
$
27.4

 
$
28.5

 
$
28.5

Foreign currency contracts
$
9.9

 
$
9.9

 
$
13.2

 
$
13.2

Interest rate swap contracts
$
2.3

 
$
2.3

 
$
—

 
$
—

Notes receivable
$
—

 
$
—

 
$
1.6

 
$
1.6

 
 
 
 
 
 
 
 
Liabilities:
 
 
 
 
 
 
 
Notes payable to banks
$
97.9

 
$
98.7

 
$
377.9

 
$
377.6

Accounts payable
$
117.2

 
$
117.2

 
$
130.5

 
$
130.5

Long-term debt, including current portion
$
3,323.1

 
$
3,580.1

 
$
2,751.6

 
$
3,007.9

Foreign currency contracts
$
10.9

 
$
10.9

 
$
6.4

 
$
6.4

Interest rate swap contracts
$
49.5

 
$
49.5

 
$
45.7

 
$
45.7

Financial assets and liabilities measured at fair value on a recurring basis
The following table presents the Company’s financial assets and liabilities measured at fair value on a recurring basis.

 
Quoted
Prices in
Active
Markets
(Level 1)
 
Significant
Other
Observable
Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level 3)
 
Total
(in millions)
 
 
 
 
 
 
 
May 31, 2012
 
 
 
 
 
 
 
Assets:
 
 
 
 
 
 
 
AFS debt securities
$
—

 
$
—

 
$
27.4

 
$
27.4

Foreign currency contracts
$
—

 
$
9.9

 
$
—

 
$
9.9

Interest rate swap contracts
$
—

 
$
2.3

 
$
—

 
$
2.3

Liabilities:
 
 
 
 
 
 
 
Foreign currency contracts
$
—

 
$
10.9

 
$
—

 
$
10.9

Interest rate swap contracts
$
—

 
$
49.5

 
$
—

 
$
49.5

 
 
 
 
 
 
 
 
February 29, 2012
 
 
 
 
 
 
 
Assets:
 
 
 
 
 
 
 
AFS debt securities
$
—

 
$
—

 
$
28.5

 
$
28.5

Foreign currency contracts
$
—

 
$
13.2

 
$
—

 
$
13.2

Liabilities:
 
 
 
 
 
 
 
Foreign currency contracts
$
—

 
$
6.4

 
$
—

 
$
6.4

Interest rate swap contracts
$
—

 
$
45.7

 
$
—

 
$
45.7

Reconciliation of changes in fair value of financial instruments measured at fair value on a recurring basis using significant unobservable inputs
The following table represents a reconciliation of the changes in fair value of the Company's financial instruments measured at fair value on a recurring basis using significant unobservable inputs (Level 3).

 
May 31,
2012
 
May 31,
2011
(in millions)
 
 
 
AFS Debt Securities
 
 
 
Balance as of March 1
$
28.5

 
$
40.8

Total net gains (losses):
 
 
 
Included in earnings (interest expense, net)
1.2

 
1.5

Included in other comprehensive income (net unrealized losses on AFS debt securities)
(2.3
)
 
—

Included in other comprehensive income (foreign currency translation adjustments)
—

 
1.6

Total net (losses) gains
(1.1
)
 
3.1

Settlements
—

 
—

Transfers in and/or out of Level 3
—

 
—

Balance as of the end of the period
$
27.4

 
$
43.9