Amendment #4 Page 631 of 868 Nth. .:f between market participants at the measurement date. YVnen determinng the far value measurements for assets and liabilites required to be recorded at their fair values, rrenagement conaders the pnno pal or most advantageous market n vitae, it would transact and consder asamptons that market participants would use when pricing as assets or kablities, etch as nherent risk transfer restrictions and risk cf non-niformance ASC 820 estatilsfes a far value hierarchy that requires an entity to maximize the use of observable inputs at innanze the use of unobservable lints when measuring fair value Masser' or a kaladys categorization withn the far value retard's, s based upon the lowest level of input that s significant to the fair value measurement. ASC 820 establishes three levels d mpes that may be used to measure far value • Level 1 quoted won in mine markets for dentical assets or had dos. • Level 2 inputs other than Level I that are observable, either directly a indirectly. such as qxxed prices in active markets for similar assets or labilities quoted noes for identical a similar assetsor Rabbles in markets that are not achy, or other inputs that are observable a can be corroborated ty observable market data for gut:Steno:illy the ful term d the assets Or lerbilitieS, a • Level 3 unobservable man that are supported by line or no market sewn and wet are significant to the fair values of the assets or habits* The Operatng Entine' interest rate swaps are classified as Level 2 since all signicare inputs are observable for similar instruments The fair value is determined based on observable market prices for nearest rates The far value of interest rate swaps at the end of the reporting period is determined by discounting the Mute cash flows using Ire curves at the end of the reporting period and the credit nsk ntorent in the contract There were no transfers between Level 1 Level 2 and Level 3 financial instruments dung de