Financial Instruments and Fair Value Measurements (Tables)

6 Months Ended

Oct. 25, 2013

Summary of Investments

The following is a summary of our investments (in millions):

	October 25, 2013									April 26, 2013
			Gross Unrealized									Gross Unrealized
	Cost or Amortized Cost		Gains		Losses			Estimated Fair Value		Cost or Amortized Cost		Gains		Losses			Estimated Fair Value
Corporate bonds	$	2,558.6	$	10.8	$	(0.9	)	$	2,568.5	$	3,132.8	$	14.9	$	(0.6	)	$	3,147.1
U.S. Treasury and government debt securities		278.2		0.4		0.0			278.6		392.8		0.9		0.0			393.7
Commercial paper		151.7		0.0		0.0			151.7		178.5		0.0		0.0			178.5
Certificates of deposit		185.0		0.1		0.0			185.1		135.4		0.1		0.0			135.5
Money market funds		0.0		0.0		0.0			0.0		1,463.1		0.0		0.0			1,463.1
Auction rate securities		41.9		0.0		(2.4	)		39.5		44.2		0.5		(2.7	)		42.0
Equity funds		31.6		0.0		0.0			31.6		28.3		0.0		0.0			28.3
Total debt and equity securities	$	3,247.0	$	11.3	$	(3.3	)	$	3,255.0	$	5,375.1	$	16.4	$	(3.3	)	$	5,388.2

Contractual Maturities of Debt Investments

The following table presents the contractual maturities of our debt investments as of October 25, 2013 (in millions):

	Amortized Cost		Fair Value
Due in one year or less	$	1,130.1	$	1,131.9
Due in one through five years		1,871.7		1,880.3
Due after ten years*		41.9		39.5
	$	3,043.7	$	3,051.7

Summary of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis

The following table summarizes our financial assets and liabilities measured at fair value on a recurring basis as of October 25, 2013 (in millions):

			Fair Value Measurements at Reporting Date Using
	Total		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets
Corporate bonds	$	2,568.5	$	0.0	$	2,568.5	$	0.0
U.S. Treasury and government debt securities		278.6		176.4		102.2		0.0
Commercial paper		151.7		0.0		151.7		0.0
Certificates of deposit		185.1		0.0		185.1		0.0
Auction rate securities		39.5		0.0		0.0		39.5
Equity funds		31.6		31.6		0.0		0.0
Foreign currency contracts		1.2		0.0		1.2		0.0
Total	$	3,256.2	$	208.0	$	3,008.7	$	39.5
Liabilities
Foreign currency contracts	$	4.4	$	0.0	$	4.4	$	0.0

Assets and Liabilities Measured at Fair Value on Recurring Basis

The following table summarizes the balance sheet classifications of our financial assets and liabilities measured at fair value on a recurring basis as of October 25, 2013 (in millions):

			Fair Value Measurements at Reporting Date Using
	Total		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets
Cash equivalents	$	171.7	$	0.0	$	171.7	$	0.0
Short-term investments		3,012.2		176.4		2,835.8		0.0
Other current assets		5.1		3.9		1.2		0.0
Other non-current assets		67.2		27.7		0.0		39.5
Total	$	3,256.2	$	208.0	$	3,008.7	$	39.5
Liabilities
Other current liabilities	$	4.4	$	0.0	$	4.4	$	0.0

Quantitative Information About Level 3 Fair Value Measurements

Quantitative information about our Level 3 fair value measurements is as follows (fair value in millions):

	Estimated Fair Value as of October 25, 2013		Valuation Techniques	Unobservable Inputs	Range (Weighted  average)
ARS	$	39.5	Discounted cash flow	Time-to-economic maturity	6.7 yrs. – 10.9 yrs. (8.3 yrs.)
				Liquidity risk premium, market credit spread and other factors	1.7% - 3.6% (2.5%)
				Coupon rate	1.1% - 2.7% (1.9%)
			Market comparable securities	Discount rate	2.2% - 9.2% (5.4%)

Reconciliation of Beginning and Ending Balance of Level 3 Auction Rate Securities Measured at Fair Value on Recurring Basis

The table below provides a reconciliation of the beginning and ending balance of our Level 3 ARS measured at fair value on a recurring basis using significant unobservable inputs (in millions):

	Three Months Ended						Six Months Ended
	October 25, 2013			October 26, 2012			October 25, 2013			October 26, 2012
Balance at beginning of period	$	42.2		$	46.3		$	42.0		$	51.0
Total unrealized gains (losses), net included in other comprehensive income (loss)		(0.4	)		0.2			(0.2	)		0.5
Total realized gains included in earnings		0.7			0.0			0.7			0.0
Sales		(3.0	)		0.0			(3.0	)		0.0
Settlements		(0.0	)		(0.0	)		(0.0	)		(5.0	)
Balance at end of period	$	39.5		$	46.5		$	39.5		$	46.5