ADVANCED ENERGY INDUSTRIES INC Fair Value Disclosure
NOTE 9. FAIR VALUE MEASUREMENTS
Refer to Note 12. Employee Retirement Plans and Post Retirement Benefits for information on fair value of our pension asset and liabilities. The following tables present information about our non-pension assets and liabilities measured at fair value on a recurring basis. We classify all items below within level 2 of the fair value hierarchy. See Note 7. Long-Term Debt for information regarding the fair value of our Convertible Notes.
December 31, | December 31, | |||||||
| | 2025 | | 2024 | ||||
Description | Balance Sheet Classification | (in millions) | ||||||
Certificates of deposit | Other current assets | $ | 0.2 | $ | 0.2 | |||
Foreign currency forward contracts | Other accrued expenses | $ | 0.1 | $ | 0.3 | |||
Investments | Other assets | $ | 13.5 | $ | 9.9 | |||
Deferred compensation liabilities | Other liabilities | $ | 13.4 | $ | 10.1 | |||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 13, 2026 | Showing above |
| 2024 | Feb 18, 2025 | |
| 2023 | Feb 20, 2024 | |
| 2022 | Feb 17, 2023 | |
| 2021 | Mar 16, 2022 | |
| 2020 | Feb 24, 2021 | |
| 2018 | Feb 21, 2019 | |
| 2015 | Feb 25, 2016 | |
About Fair Value Disclosures
Fair value disclosures classify all assets and liabilities measured at fair value into a three-level hierarchy: Level 1 (quoted market prices), Level 2 (observable inputs like yield curves), and Level 3 (unobservable inputs requiring management estimates). The proportion of Level 3 assets directly reflects how much of the balance sheet depends on internal models rather than market evidence.
Key signals: a growing Level 3 balance relative to total fair-value assets increases valuation uncertainty and earnings volatility risk. Watch for transfers between levels — assets moving from Level 2 to Level 3 often signal deteriorating market liquidity. Unrealized gains and losses on Level 3 positions flow through earnings or other comprehensive income, so large swings deserve scrutiny. For financial institutions, examine the sensitivity disclosures that show how Level 3 valuations change under alternative assumptions. Compare the fair value of debt against its carrying amount to gauge hidden leverage.