The fair value of financial assets and liabilities, together with the carrying amounts shown in the statement of financial position, are as follows: (h) Fair values versus carrying amounts The basis for determining fair values is disclosed in note 4. The interest rates used to discount estimated cash flows, for the unsecured senior notes, are based on the government yield curve at the reporting date plus an adequate credit. The table below summarizes financial instruments carried at fair value, by valuation method. The different levels have been defined as follows: Fair value hierarchy GLYPH<129> Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities GLYPH<129> Level 2: inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices) GLYPH<129> Level 3: inputs for the asset or liability that are not based on observable market data (unobservable inputs) CCL Industries Inc. 2011 Annual Report 81 Level 1 Level 2 Level 3 Total December 31, 2011 Available-for-sale financial assets $ — $ 10,790 $ — $ 10,790 Derivative financial assets — 820 — 820 — 11,610 — 11,610 Derivative financial liabilities — 2,530 — 2,530 $ — $ 9,080 $ — $ 9,080 Dec 31, 2011 Dec 31, 2010 Carrying amount Fair value Carrying amount Fair value Assets carried at fair value: Available-for-sale financial assets $ 10,790 $ 10,790 $ 14,852 $ 14,852 Interest rate swaps used for hedging 820 820 7,482 7,482 11,610 11,610 22,334 22,334 Assets carried at amortized cost: Loans and receivables 192,003 192,003 174,011 174,011 Cash and cash equivalents 140,698 140,698 173,197 173,197 332,701 332,701 347,208 347,208 Liabilities carried at fair value: Derivative financial liabilities 2,530 2,530 12,495 12,495 2,530 2,530 12,495 12,495 Liabilities carried at amortized cost: Secured bank loans 2,407 2,407 1,865 1,865 Unsecured senior notes 333,115 384,186 394,606 436,328 Finance lease liabilities 2,209 2,209 2,808 2,808 Unsecured bank loans 16,091 16,091 20,740 20,740 Trade and other payables 233,963 233,963 230,341 230,341 Bank overdraft — — 497 497 Other 146 146 1,383 1,383 $ 587,931 $ 639,002 $ 652,240 $ 693,962