available for issuance, subject to adjustment upon a merger, reorganization, stock split or other similar corporate change.
The Company filed a registration statement on Form?S-8 with the SEC with respect to the ESPP.
The common stock is offered for purchase through a series of successive offering periods.
Each offering period will be three months in duration and will begin on the first day of each calendar quarter, with the first?offering period having commenced on January?1, 2008.
The ESPP provides for eligible employees to purchase the common stock at a purchase price equal to 85% of the lesser of (1)?the market value of the common stock on the first day of the offering period or (2)?the market value of the common stock on the last day of the offering period.
The ESPP was approved by our stockholders at our 2008 annual meeting of stockholders.
As of December?31, 2017, 104,597?shares of our common stock had been issued under the ESPP.15.
ACCUMULATED OTHER COMPREHENSIVE INCOME The following tables set forth the changes in accumulated other comprehensive income (loss) by component as of December?31, 2017, 2016 and 2015 (in thousands):
## Table 0 ##
(1) Amount reclassified from accumulated other comprehensive income (loss) is included in interest expense in the respective consolidated statements of operations.
As of December?31, 2017 and 2016, the deferred net losses from these terminated hedges, which is included in accumulated other comprehensive loss relating to net unrealized loss on derivative instrument, was $3.2?million and $7.1?million, respectively.
(2) Amount reclassified from accumulated other comprehensive income (loss) is included in equity in net income from unconsolidated joint ventures in the respective consolidated statements of operations.16.
FAIR VALUE MEASUREMENTS We are required to disclose fair value information with regard to our financial instruments, whether or not recognized in the consolidated balance sheets, for which it is practical to estimate fair value.
The FASB guidance defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants on the measurement date.
We measure and/or disclose the estimated fair value of financial assets and liabilities based on a hierarchy that distinguishes between market participant assumptions based on market data obtained from sources independent of the reporting entity and the reporting entity’s own assumptions about market participant assumptions.
This hierarchy consists of three broad levels: Level?1—quoted prices (unadjusted) in active markets for identical assets or liabilities that the reporting entity can access at the measurement date; Level?2 — inputs other than quoted prices included within Level?1, that are observable for the asset or liability, either directly or indirectly; and Level?3—unobservable inputs for the asset or liability that are used when little or no market data is available.
We follow this hierarchy for our assets and liabilities measured at fair value on a recurring and nonrecurring basis.
In instances in which the determination of the fair value measurement is based on inputs from different levels of the fair value hierarchy, the level in the fair value hierarchy within which the entire fair value measurement falls is based on the lowest level of input that is significant to the fair value measurement in its entirety.
Our assessment of the significance of the particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset or liability.
The following table provides the carrying value and fair value of these financial instruments as of December?31, 2017 and December?31, 2016 (in thousands):
## Table 1 ##
(1) Amounts exclude net deferred financing costs.
(2) At December?31, 2017, debt and preferred equity investments had an estimated fair value ranging between $2.1?billion and $2.3?billion.
At December?31, 2016, debt and preferred equity investments had an estimated fair value ranging between $1.6?billion and $1.8?billion.
Disclosure about fair value of financial instruments was based on pertinent information available to us as of December?31, 2017 and 2016.
Although we are not aware of any factors that would significantly affect the reasonable fair value amounts, such amounts have not been comprehensively revalued for purposes of these financial statements since that date and current estimates of fair value may differ significantly from the amounts presented herein.17.
FINANCIAL INSTRUMENTS: DERIVATIVES AND HEDGING In the normal course of business, we use a variety of commonly used derivative instruments, such as interest rate swaps, caps, collar and floors, to manage, or hedge interest rate risk.
We hedge our exposure to variability in future cash flows for forecasted transactions in addition to anticipated future interest payments on existing debt.
We recognize all derivatives on the balance sheets at fair value.
Derivatives that are not hedges are adjusted to fair value through earnings.
If a derivative is a hedge, depending on the nature of the hedge, changes in the fair value of the derivative will either be offset against the change in fair value of the hedge asset, liability, or firm commitment through earnings, or recognized in other comprehensive income until the hedged item is recognized in earnings.
The ineffective portion of a derivative’s change in fair value will be immediately recognized in earnings.
Reported net income and equity may increase or decrease prospectively, depending on future levels of interest rates and other variables affecting the fair values of derivative instruments and hedged items, but will have no effect on cash flows.
Currently, all of our designated derivative instruments are effective hedging instruments.
The following table summarizes the notional value at inception and fair value of our consolidated derivative financial instruments at December?31, 2017 based on Level?2 information.
The notional value is an indication of the extent of our involvement in these instruments at that time, but does not represent exposure to credit, interest rate or market risks (amounts in thousands).
## Table 2 ##
During the years ended December?31, 2017, 2016, and 2015, we recorded a $0.5?million loss, a $0.5?million gain, and a $0.1?million gain, respectively, on the changes in the fair value, which is included in interest expense in the consolidated statements of operations.
The Company has agreements with each of its derivative counterparties that contain a provision where if the Company either defaults or is capable of being declared in default on any of its indebtedness, then the Company could also be declared in default on its derivative obligations.
As of December?31, 2017, the fair value of derivatives in a net liability position including accrued interest but excluding any adjustment for nonperformance risk related to these agreements was zero.
As of December?31, 2017, the Company has not posted any collateral related to these agreements and was not in breach of any agreement provisions.
If the Company had breached any of these provisions, it could have been required to settle its obligations under the agreements at their aggregate termination value of zero at December?31, 2017.
Plan trustees adopted a rehabilitation plan consistent with this requirement.
No surcharges have been paid to the Pension Plan as of December?31, 2017.
For the Pension Plan years ended June?30, 2017, 2016, and 2015, the plan received contributions from employers totaling $257.8?million, $249.5?million, and $221.9?million.
Our contributions to the Pension Plan represent less than 5.0% of total contributions to the plan.
The Health Plan was established under the terms of collective bargaining agreements between the Union, the Realty Advisory Board on Labor Relations, Inc.  and certain other employees.
The Health Plan provides health and other benefits to eligible participants employed in the building service industry who are covered under collective bargaining agreements, or other written agreements, with the Union.
The Health Plan is administered by a Board of Trustees with equal representation by the employers and the Union and operates under employer identification number?13-2928869.
The Health Plan receives contributions in accordance with collective bargaining agreements or participation agreements.
Generally, these agreements provide that the employers contribute to the Health Plan at a fixed rate on behalf of each covered employee.
For the Health Plan years ended, June?30, 2017, 2016, and 2015, the plan received contributions from employers totaling $1.3?billion, $1.2?billion and $1.1?billion, respectively.
Our contributions to the Health Plan represent less than 5.0% of total contributions to the plan.
Contributions we made to the multi-employer plans for the years ended December?31, 2017, 2016 and 2015 are included in the table below (in thousands):
## Table 3 ##
401(K) Plan In August?1997, we implemented a 401(K)?Savings/Retirement Plan, or the 401(K)?Plan, to cover eligible employees of ours, and any designated affiliate.
The 401(K)?Plan permits eligible employees to defer up to 15% of their annual compensation, subject to certain limitations imposed by the Code.
The employees’ elective deferrals are immediately vested and non-forfeitable upon contribution to the 401(K)?Plan.
During?2003, we amended our 401(K)?Plan to provide for discretionary matching contributions only.
For 2017, 2016 and 2015, a matching contribution equal to 50% of the first 6% of annual compensation was made.
For the year ended December?31, 2017, we made a matching contribution of $728,782.
For the years ended December?31, 2016 and 2015, we made matching contributions of $566,000 and $550,000, respectively.20.
COMMITMENTS AND CONTINGENCIES Legal Proceedings As of December?31, 2017, the Company and the Operating Partnership were not involved in any material litigation nor, to management’s knowledge, was any material litigation threatened against us or our portfolio which if adversely determined could have a material adverse impact on us.
Environmental Matters Our management believes that the properties are in compliance in all material respects with applicable Federal, state and local ordinances and regulations regarding environmental issues.
Management is not aware of any environmental liability that it believes would have a materially adverse impact on our financial position, results of operations or cash flows.
Management is unaware of any instances in which it would incur significant environmental cost if any of our properties were sold.
Employment Agreements We have entered into employment agreements with certain executives, which expire between December?2018 and February?2020.
The minimum cash-based compensation, including base salary and guaranteed bonus payments, associated with these employment agreements total $5.4?million for 2018.
In addition these employment agreements provide for deferred compensation awards based on our stock price and which were valued at $1.6?million on the grant date.
The value of these awards may change based on fluctuations in our stock price.
Insurance We maintain “all-risk” property and rental value coverage (including coverage regarding the perils of flood, earthquake and terrorism, excluding nuclear, biological, chemical, and radiological terrorism (“NBCR”)), within three property insurance programs and liability insurance.
Separate property and liability coverage may be purchased on a stand-alone basis for certain assets, such as the development of One Vanderbilt.
Additionally, our captive insurance company, Belmont Insurance Company, or Belmont, provides coverage for NBCR terrorist acts above a specified trigger, although if Belmont is required to pay a claim under our insurance policies, we would ultimately record the loss to the extent of Belmont’s required payment.
However, there is no assurance that in the future we will be able to procure coverage at a reasonable cost.
Further, if we experience losses that are uninsured or that exceed policy limits, we could lose the capital invested in the damaged properties as well as the anticipated future cash flows from those
RESTRICTIVE COVENANTS The terms of the 2017 credit facility and certain of our senior unsecured notes include certain restrictions and covenants which may limit, among other things, our ability to pay dividends, make certain types of investments, incur additional indebtedness, incur liens and enter into negative pledge agreements and dispose of assets, and which require compliance with financial ratios relating to the maximum ratio of total indebtedness to total asset value, a minimum ratio of EBITDA to fixed charges, a maximum ratio of secured indebtedness to total asset value and a maximum ratio of unsecured indebtedness to unencumbered asset value.
The dividend restriction referred to above provides that, we will not during any time when a default is continuing, make distributions with respect to common stock or other equity interests, except to enable the Company to continue to qualify as a REIT for Federal income tax purposes.
As of December?31, 2017 and 2016, we were in compliance with all such covenants.
JUNIOR SUBORDINATED DEFERRABLE INTEREST DEBENTURES In June?2005, the Company and the Operating Partnership issued $100.0?million in unsecured trust preferred securities through a newly formed trust, SL?Green Capital Trust I, or the Trust, which is a wholly-owned subsidiary of the Operating Partnership.
The securities mature in 2035 and bear interest at a floating rate of 125?basis points over the three-month LIBOR.
Interest payments may be deferred for a period of up to eight consecutive quarters if the Operating Partnership exercises its right to defer such payments.
The Trust preferred securities are redeemable at the option of the Operating Partnership, in whole or in part, with no prepayment premium.
We do not consolidate the Trust even though it is a variable interest entity as we are not the primary beneficiary.
Because the Trust is not consolidated, we have recorded the debt on our consolidated balance sheets and the related payments are classified as interest expense.
INTEREST RATE RISK We are exposed to changes in interest rates primarily from our variable rate debt.
Our exposure to interest rate fluctuations are managed through either the use of interest rate derivative instruments and/or through our variable rate debt and preferred equity investments.
A hypothetical 100?basis point increase in interest rates along the entire interest rate curve for?2017 would increase our consolidated annual interest cost, net of interest income from variable rate debt and preferred equity investments, by $2.7?million and would increase our share of joint venture annual interest cost by $17.2?million.
At December?31, 2017, 61.5% of our $2.1?billion debt and preferred equity portfolio is indexed to LIBOR.
We recognize most derivatives on the balance sheet at fair value.
Derivatives that are not hedges are adjusted to fair value through income.
If a derivative is considered a hedge, depending on the nature of the hedge, changes in the fair value of the derivative will either be offset against the change in fair value of the hedged asset, liability, or firm commitment through earnings, or recognized in other comprehensive income until the hedged item is recognized in earnings.
The ineffective portion of a derivative’s change in fair value is immediately recognized in?earnings.
Our long-term debt of $4.3?billion bears interest at fixed rates, and therefore the fair value of these instruments is affected by changes in the market interest rates.
Our variable rate debt and variable rate joint venture debt as of December?31, 2017 bore interest based on a spread of LIBOR plus 100?basis points to LIBOR plus 415?basis points.
CONTRACTUAL OBLIGATIONS The combined aggregate principal maturities of mortgages and other loans payable, the 2017 credit facility, senior unsecured notes (net of discount), trust preferred securities, our share of joint venture debt, including as-of-right extension options and put options, estimated interest expense, and our obligations under our capital lease and ground leases, as of December?31, 2017 are as follows (in?thousands):
## Table 4 ##

Tables referenced above, in order (Table 0 first):
<table><tr><td></td><td>Net unrealized gain on derivative instruments<sup>(</sup><sup>1</sup><sup>)</sup></td><td>SL Green’s share of joint venture net unrealized gain on derivative instruments<sup>(</sup><sup>2</sup><sup>)</sup></td><td>Net unrealized gain on marketable securities</td><td>Total</td></tr><tr><td>Balance at December 31, 2014</td><td>$-9,498</td><td>$-95</td><td>$2,613</td><td>$-6,980</td></tr><tr><td>Other comprehensive loss before reclassifications</td><td>-11,143</td><td>-1,714</td><td>-610</td><td>-13,467</td></tr><tr><td>Amounts reclassified from accumulated other comprehensive income</td><td>10,481</td><td>1,217</td><td>—</td><td>11,698</td></tr><tr><td>Balance at December 31, 2015</td><td>-10,160</td><td>-592</td><td>2,003</td><td>-8,749</td></tr><tr><td>Other comprehensive income before reclassifications</td><td>13,534</td><td>1,160</td><td>3,517</td><td>18,211</td></tr><tr><td>Amounts reclassified from accumulated other comprehensive income</td><td>9,222</td><td>3,453</td><td>—</td><td>12,675</td></tr><tr><td>Balance at December 31, 2016</td><td>12,596</td><td>4,021</td><td>5,520</td><td>22,137</td></tr><tr><td>Other comprehensive (loss) income before reclassifications</td><td>-1,618</td><td>233</td><td>-1,348</td><td>-2,733</td></tr><tr><td>Amounts reclassified from accumulated other comprehensive income</td><td>1,564</td><td>766</td><td>-3,130</td><td>-800</td></tr><tr><td>Balance at December 31, 2017</td><td>$12,542</td><td>$5,020</td><td>$1,042</td><td>$18,604</td></tr></table>
<table><tr><td></td><td colspan="2">December 31, 2017</td><td colspan="2">December 31, 2016</td></tr><tr><td></td><td>Carrying Value<sup>-1</sup></td><td>Fair Value</td><td>Carrying Value<sup>-1</sup></td><td>Fair Value</td></tr><tr><td>Debt and preferred equity investments</td><td>$2,114,041</td><td><sup>-2</sup></td><td>$1,640,412</td><td><sup>-2</sup></td></tr><tr><td>Fixed rate debt</td><td>$4,305,165</td><td>$4,421,866</td><td>$5,452,084</td><td>$5,722,494</td></tr><tr><td>Variable rate debt</td><td>1,605,431</td><td>1,612,224</td><td>1,105,585</td><td>1,110,110</td></tr><tr><td></td><td>$5,910,596</td><td>$6,034,090</td><td>$6,557,669</td><td>$6,832,604</td></tr></table>
<table><tr><td>Interest Rate Swap</td><td rowspan="6">NotionalValue $200,000 100,000 21,394 137,500 100,000 100,000</td><td rowspan="6">StrikeRate 1.131% 1.161% 12.000% 4.000% 1.928% 1.934%</td><td rowspan="6">EffectiveDate July 2016 July 2016 January 2017 September 2017 December 2017 December 2017</td><td rowspan="6">ExpirationDate July 2023 July 2023 January 2019 September 2019 November 2020 November 2020</td><td rowspan="6">Balance Sheet Location Other Assets Other Assets Other Assets Other Assets Other Assets Other Assets</td><td rowspan="6">FairValue $10,747 5,217 167 2 288 271</td></tr><tr><td>Interest Rate Swap</td></tr><tr><td>Interest Rate Swap</td></tr><tr><td>Interest Rate Cap</td></tr><tr><td>Interest Rate Swap</td></tr><tr><td>Interest Rate Swap</td></tr><tr><td></td><td></td><td></td><td></td><td></td><td></td><td>$16,692</td></tr></table>
<table><tr><td>Benefit Plan</td><td>2017</td><td>2016</td><td>2015</td></tr><tr><td>Pension Plan</td><td>$3,856</td><td>$3,979</td><td>$2,732</td></tr><tr><td>Health Plan</td><td>11,426</td><td>11,530</td><td>8,736</td></tr><tr><td>Other plans</td><td>1,463</td><td>1,583</td><td>5,716</td></tr><tr><td>Total plan contributions</td><td>$16,745</td><td>$17,092</td><td>$17,184</td></tr></table>
<table><tr><td></td><td>2018</td><td>2019</td><td>2020</td><td>2021</td><td>2022</td><td>Thereafter</td><td>Total</td></tr><tr><td>Property mortgages and other loans</td><td>$153,593</td><td>$42,289</td><td>$703,018</td><td>$11,656</td><td>$208,003</td><td>$1,656,623</td><td>$2,775,182</td></tr><tr><td>MRA facilities</td><td>90,809</td><td>—</td><td>—</td><td>—</td><td>—</td><td>—</td><td>90,809</td></tr><tr><td>Revolving credit facility</td><td>—</td><td>—</td><td>—</td><td>—</td><td>—</td><td>40,000</td><td>40,000</td></tr><tr><td>Unsecured term loans</td><td>—</td><td>—</td><td>—</td><td>—</td><td>—</td><td>1,500,000</td><td>1,500,000</td></tr><tr><td>Senior unsecured notes</td><td>250,000</td><td>—</td><td>250,000</td><td>—</td><td>800,000</td><td>100,000</td><td>1,400,000</td></tr><tr><td>Trust preferred securities</td><td>—</td><td>—</td><td>—</td><td>—</td><td>—</td><td>100,000</td><td>100,000</td></tr><tr><td>Capital lease</td><td>2,387</td><td>2,411</td><td>2,620</td><td>2,794</td><td>2,794</td><td>819,894</td><td>832,900</td></tr><tr><td>Ground leases</td><td>31,049</td><td>31,066</td><td>31,436</td><td>31,628</td><td>29,472</td><td>703,254</td><td>857,905</td></tr><tr><td>Estimated interest expense</td><td>226,815</td><td>218,019</td><td>184,376</td><td>163,648</td><td>155,398</td><td>281,694</td><td>1,229,950</td></tr><tr><td>Joint venture debt</td><td>200,250</td><td>717,682</td><td>473,809</td><td>449,740</td><td>223,330</td><td>2,119,481</td><td>4,184,292</td></tr><tr><td>Total</td><td>$954,903</td><td>$1,011,467</td><td>$1,645,259</td><td>$659,466</td><td>$1,418,997</td><td>$7,320,946</td><td>$13,011,038</td></tr></table>

Question: what was the 2019 rate of decrease in estimated interest expense payments?
Answer: 0.03878
Reasoning program: subtract(226815,218019), divide(#0,226815)