Note 7—Debt Securities

The following is a summary of marketable debt securities:

	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
	(in thousands)
Available-for-sale debt securities:
October 31, 2018:
U.S. Treasury notes	$	1,697	$	—	$	(2	)	$	1,695
Municipal bonds		543		—		(1	)		542
Total	$	2,240	$	—	$	(3	)	$	2,237
July 31, 2018:
Certificates of deposit*	$	3,032	$	—	$	—		$	3,032
U.S. Treasury notes		1,693		—		(1	)		1,692
Municipal bonds		888		—		—			888
Total	$	5,613	$	—	$	(1	)	$	5,612

Each of the Company’s certificates of deposit has a CUSIP, was purchased in the secondary market through a broker, and may be sold in the secondary market.

Equity securities with a fair value of $0.4 million at July 31, 2018 were reclassified to “Other current assets” to conform to the current year presentation (see Note 8).

Proceeds from maturities and sales of available-for-sale securities were $3.4 million and $19.6 million in the three months ended October 31, 2018 and 2017, respectively. The gross realized gains that were included in earnings as a result of sales were nil in the three months ended October 31, 2018 and $7,000 in the three months ended October 31, 2017. There were no gross realized losses that were included in earnings as a result of sales in the three months ended October 31, 2018 and 2017. The Company uses the specific identification method in computing the gross realized gains and gross realized losses on the sales of marketable securities.

The contractual maturities of the Company’s available-for-sale debt securities at October 31, 2018 were as follows:

	Fair Value
	(in thousands)
Within one year	$	2,237
After one year through five years		—
After five years through ten years		—
After ten years		—
Total	$	2,237

The following available-for-sale debt securities were in an unrealized loss position for which other-than-temporary impairments have not been recognized:

	Unrealized Losses		Fair Value
	(in thousands)
October 31, 2018:
U.S. Treasury notes	$	2	$	1,695
Municipal bonds		1		542
Total	$	3	$	2,237
July 31, 2018:
U.S. Treasury notes	$	1	$	1,692

At October 31, 2018 and July 31, 2018, there were no securities in a continuous unrealized loss position for 12 months or longer.