Preneed Trust Investments (Tables)

3 Months Ended

Mar. 31, 2013

Preneed Trust Investments [Abstract]

Components of preneed cemetery trust investments

The components of Preneed cemetery trust investments in our Consolidated Balance Sheets at December 31, 2012 and March 31, 2013 are as follows (in thousands):



	December 31, 2012			March 31, 2013
Preneed cemetery trust investments, at fair value	$	73,126		$	75,213
Less: allowance for contract cancellation	(2,166		)	(2,146		)
Preneed cemetery trust investments, net	$	70,960		$	73,067

Cost and fair market values associated with preneed cemetery trust investments

The cost and fair market values associated with preneed cemetery trust investments at March 31, 2013 are detailed below (in thousands):



	Fair Value Hierarchy Level	Cost		Unrealized Gains		Unrealized Losses			Fair Market Value
Cash and money market accounts	1	$	922	$	—	$	—		$	922
Fixed income securities:
Foreign	2	2,458		459		—			2,917
Corporate debt	2	39,164		1,453		(551		)	40,066
Preferred stock	2	19,142		1,394		—			20,536
Mortgage backed securities	2	1		—		—			1
Common stock	1	9,828		507		(907		)	9,428
Trust securities		$	71,515	$	3,813	$	(1,458	)	$	73,870
Accrued investment income		$	1,343						$	1,343
Preneed cemetery trust investments									$	75,213
Fair market value as a percentage of cost									103.3		%

The cost and fair market values associated with preneed cemetery trust investments at December 31, 2012 are detailed below (in thousands):



	Fair Value Hierarchy Level	Cost		Unrealized Gains		Unrealized Losses			Fair Market Value
Cash and money market accounts	1	$	758	$	—	$	—		$	758
Fixed income securities:
Foreign	2	2,008		450		—			2,458
Corporate debt	2	38,299		863		(507		)	38,655
Preferred stock	2	22,362		824		(294		)	22,892
Mortgage backed securities	2	1		—		—			1
Common stock	1	8,759		34		(1,526		)	7,267
Trust securities		$	72,187	$	2,171	$	(2,327	)	$	72,031
Accrued investment income		$	1,095						$	1,095
Preneed cemetery trust investments									$	73,126
Market value as a percentage of cost									99.8		%

Estimated maturities of fixed preneed cemetery trust income securities

The estimated maturities of the fixed income securities included above are as follows (in thousands):



Due in one year or less	$	—
Due in one to five years	9,949
Due in five to ten years	18,351
Thereafter	35,220
Total	$	63,520

Schedule of fair market value and unrealized loss on cemetery merchandise and service trust investments

Our cemetery merchandise and service trust investment unrealized losses, their associated fair market values, and the duration of unrealized losses as of March 31, 2013 and December 31, 2012, respectively, are shown in the following tables (in thousands):



	March 31, 2013
	In Loss Position Less than 12 months					In Loss Position Greater than 12 months					Total
	Fair market value		Unrealized Losses			Fair market value		Unrealized Losses			Fair market value		Unrealized Losses
Fixed income securities:
Corporate debt	$	6,975	$	(240	)	$	528	$	(311	)	$	7,503	$	(551	)
Common stock	2,687		(738		)	920		(169		)	3,607		(907		)
Total temporary impaired securities	$	9,662	$	(978	)	$	1,448	$	(480	)	$	11,110	$	(1,458	)



	December 31, 2012
	In Loss Position Less than 12 months					In Loss Position Greater than 12 months					Total
	Fair market value		Unrealized Losses			Fair market value		Unrealized Losses			Fair market value		Unrealized Losses
Fixed income securities:
Corporate debt	11,363		(325		)	622		(182		)	11,985		(507		)
Preferred stock	1,040		(54		)	2,284		(240		)	3,324		(294		)
Common stock	5,088		(934		)	957		(592		)	6,045		(1,526		)
Total temporary impaired securities	$	17,491	$	(1,313	)	$	3,863	$	(1,014	)	$	21,354	$	(2,327	)

Preneed cemetery trust investment security transactions

Preneed cemetery trust investment security transactions recorded in Interest income and other, net in the Consolidated Statements of Operations for the three months ended March 31, 2012 and 2013 are as follows (in thousands):



	For the three months ended March 31,
	2012			2013
Investment income	$	762		$	693
Realized gains	2,373			38
Realized losses	(115		)	(430		)
Expenses and taxes	(131		)	(381		)
Increase (decrease) in deferred preneed cemetery receipts held in trust	(2,889		)	80
	$	—		$	—

Purchases and sales of investments in preneed cemetary trusts

Purchases and sales of investments in the preneed cemetery trusts were as follows (in thousands):



	For the three months ended March 31,
	2012			2013
Purchases	$	(24,039	)	$	(4,161	)
Sales	24,088			5,009

Components of preneed funeral trust investments

The components of Preneed funeral trust investments in our Consolidated Balance Sheets at December 31, 2012 and March 31, 2013 are as follows (in thousands):



	December 31, 2012			March 31, 2013
Preneed funeral trust investments, at fair value	$	85,415		$	87,728
Less: allowance for contract cancellation	(2,519		)	(2,504		)
Preneed funeral trust investments, net	$	82,896		$	85,224

Estimated maturities of fixed preneed funeral trust income securities

The estimated maturities of the fixed income securities included above are as follows (in thousands):



Due in one year or less	$	639
Due in one to five years	8,164
Due in five to ten years	12,712
Thereafter	23,922
Total	$	45,437

Cost and fair market values associated with preneed funeral trust investments

The cost and fair market values associated with preneed funeral trust investments at December 31, 2012 are detailed below (in thousands):



	Fair Value Hierarchy Level	Cost		Unrealized Gains		Unrealized Losses			Fair Market Value
Cash and money market accounts	1	$	13,448	$	—	$	—		$	13,448
Fixed income securities:
U.S. treasury debt	1	3,001		75		—			3,076
U.S agency obligations	1	142		4		—			146
Foreign	2	1,217		273		—			1,490
Corporate debt	2	25,060		661		(331		)	25,390
Preferred stock	2	15,228		715		(193		)	15,750
Common stock	1	5,770		27		(996		)	4,801
Mutual funds:
Equity		11,843		487		(78		)	12,252
Fixed income	1	6,105		181		(40		)	6,246
Other investments	2	2,143		—		(15		)	2,128
Trust securities	2	$	83,957	$	2,423	$	(1,653	)	$	84,727
Accrued investment income		$	688						$	688
Preneed funeral trust investments									$	85,415
Market value as a percentage of cost									100.9		%

The cost and fair market values associated with preneed funeral trust investments at March 31, 2013 are detailed below (in thousands):



	Fair Value Hierarchy Level	Cost		Unrealized Gains		Unrealized Losses			Fair Market Value
Cash and money market accounts	1	$	13,613	$	—	$	—		$	13,613
Fixed income securities:
U.S. treasury debt	1	2,923		86		—			3,009
U.S. agency obligations	1	636		18		(36		)	618
Foreign	2	1,477		276		—			1,753
Corporate debt	2	25,292		1,039		(360		)	25,971
Preferred stock	2	12,985		1,100		—			14,085
Mortgage backed securities	2	1		—		—			1
Common stock	1	6,566		358		(588		)	6,336
Mutual funds:
Equity	1	11,559		1,474		(23		)	13,010
Fixed income	2	6,170		170		(68		)	6,272
Other investments	2	2,255		—		(14		)	2,241
Trust securities		$	83,477	$	4,521	$	(1,089	)	$	86,909
Accrued investment income		$	819						$	819
Preneed funeral trust investments									$	87,728
Fair market value as a percentage of cost									104.1		%

Schedule of fair market value and unrealized loss on preneed funeral trust investments

Our preneed funeral trust investment unrealized losses, their associated fair market values, and the duration of unrealized losses as of March 31, 2013 and December 31, 2012, respectively, are shown in the following tables (in thousands):



	March 31, 2013
	In Loss Position Less than 12 months					In Loss Position Greater than 12 months					Total
	Fair market value		Unrealized Losses			Fair market value		Unrealized Losses			Fair market value		Unrealized Losses
Fixed income securities:
U.S. agency obligations	$	12	$	—		$	231	$	(36	)	$	243	$	(36	)
Corporate debt	4,551		(157		)	344		(203		)	4,895		(360		)
Common stock	1,742		(479		)	597		(109		)	2,339		(588		)
Mutual funds:
Equity	17		—			570		(23		)	587		(23		)
Fixed income	2,909		(68		)	—		—			2,909		(68		)
Other investments	—		—			31		(14		)	31		(14		)
Total temporary impaired securities	$	9,231	$	(704	)	$	1,773	$	(385	)	$	11,004	$	(1,089	)



	December 31, 2012
	In Loss Position Less than 12 months					In Loss Position Greater than 12 months					Total
	Fair market value		Unrealized Losses			Fair market value		Unrealized Losses			Fair market value		Unrealized Losses
Fixed income securities:
Corporate debt	7,419		(212		)	406		(119		)	7,825		(331		)
Preferred stock	685		(35		)	1,504		(158		)	2,189		(193		)
Common stock	3,323		(609		)	625		(387		)	3,948		(996		)
Mutual funds:
Equity	1,613		(25		)	632		(53		)	2,245		(78		)
Fixed income	3,085		(40		)	—		—			3,085		(40		)
Other investments	—		—			30		(15		)	30		(15		)
Total temporary impaired securities	$	16,125	$	(921	)	$	3,197	$	(732	)	$	19,322	$	(1,653	)

Preneed funeral trust investment security transactions

Preneed funeral trust investment security transactions recorded in Interest income and other, net in the Consolidated Statements of Operations for the three months ended March 31, 2012 and 2013 are as follows (in thousands):



	For the three months ended March 31,
	2012			2013
Investment income	$	861		$	606
Realized gains	735			5,127
Realized losses	(449		)	(5,332		)
Expenses and taxes	(210		)	(248		)
Decrease in deferred preneed funeral receipts held in trust	(937		)	(153		)
	$	—		$	—

Purchases and sales of investments in preneed funeral trusts

Purchases and sales of investments in the preneed funeral trusts are as follows (in thousands):



	For the three months ended March 31,
	2012			2013
Purchases	$	(17,873	)	$	(3,186	)
Sales	18,174			3,915