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Investments
 12 Months Ended
Apr. 24, 2015
Investments [Abstract]  
Investments
Investments
The Company holds investments consisting primarily of marketable debt and equity securities.
Information regarding the Company’s investments at April 24, 2015 is as follows:
(in millions)
Cost
 
Unrealized
Gains
 
Unrealized
Losses
 
Fair Value
Available-for-sale securities:
 

 
 

 
 

 
 

Corporate debt securities
$
6,283

 
$
105

 
$
(10
)
 
$
6,378

Auction rate securities
109

 
—

 
(4
)
 
105

Mortgage-backed securities
1,462

 
22

 
(6
)
 
1,478

U.S. government and agency securities
3,122

 
21

 
(4
)
 
3,139

Foreign government and agency securities
85

 
—

 
—

 
85

Certificates of deposit
44

 
—

 
—

 
44

Other asset-backed securities
504

 
3

 
—

 
507

Debt funds
3,061

 
19

 
(150
)
 
2,930

Marketable equity securities
64

 
35

 
(19
)
 
80

Trading securities:
 

 
 

 
 

 
 

Exchange-traded funds
58

 
19

 
—

 
77

Cost method, equity method, and other investments
520

 
—

 
—

 
NA

Total investments
$
15,312

 
$
224

 
$
(193
)
 
$
14,823


Information regarding the Company’s investments at April 25, 2014 is as follows:
(in millions)
Cost
 
Unrealized
Gains
 
Unrealized
Losses
 
Fair Value
Available-for-sale securities:
 

 
 

 
 

 
 

Corporate debt securities
$
5,504

 
$
55

 
$
(17
)
 
$
5,542

Auction rate securities
109

 
—

 
(12
)
 
97

Mortgage-backed securities
1,337

 
7

 
(8
)
 
1,336

U.S. government and agency securities
3,138

 
7

 
(29
)
 
3,116

Foreign government and agency securities
67

 
—

 
—

 
67

Certificates of deposit
54

 
—

 
—

 
54

Other asset-backed securities
540

 
2

 
—

 
542

Debt funds
2,143

 
9

 
(29
)
 
2,123

Marketable equity securities
47

 
15

 
(13
)
 
49

Trading securities:
 

 
 

 
 

 
 

Exchange-traded funds
54

 
13

 
—

 
67

Cost method, equity method, and other investments
666

 
—

 
—

 
NA

Total investments
$
13,659

 
$
108

 
$
(108
)
 
$
12,993


Information regarding the Company’s consolidated balance sheets presentation at April 24, 2015 and April 25, 2014 is as follows:
 
April 24, 2015
 
April 25, 2014
(in millions)
Investments
 
Other Assets
 
Investments
 
Other Assets
Available-for-sale securities
$
14,560

 
$
186

 
$
12,771

 
$
155

Trading securities
77

 
—

 
67

 
—

Cost method, equity method, and other investments
—

 
520

 
—

 
666

Total
$
14,637

 
$
706

 
$
12,838

 
$
821


The following tables show the gross unrealized losses and fair values of the Company’s available-for-sale securities that have been in a continuous unrealized loss position deemed to be temporary, aggregated by investment category as of April 24, 2015 and April 25, 2014:
 
April 24, 2015
 
Less than 12 Months
 
More than 12 Months
(in millions)
Fair Value
 
Unrealized
Losses
 
Fair Value
 
Unrealized
Losses
Corporate debt securities
$
944

 
$
(9
)
 
$
34

 
$
(1
)
Auction rate securities
—

 
—

 
105

 
(4
)
Mortgage-backed securities
346

 
(3
)
 
206

 
(3
)
U.S. government and agency securities
356

 
(1
)
 
267

 
(3
)
Debt funds
1,291

 
(109
)
 
559

 
(41
)
Marketable equity securities
4

 
(19
)
 
—

 
—

Total
$
2,941

 
$
(141
)
 
$
1,171

 
$
(52
)
 
April 25, 2014
 
Less than 12 Months
 
More than 12 Months
(in millions)
Fair Value
 
Unrealized
Losses
 
Fair Value
 
Unrealized
Losses
Corporate debt securities
$
1,601

 
$
(14
)
 
$
50

 
$
(3
)
Auction rate securities
—

 
—

 
97

 
(12
)
Mortgage-backed securities
682

 
(7
)
 
28

 
(1
)
U.S. government and agency securities
1,500

 
(27
)
 
46

 
(2
)
Debt funds
1,224

 
(29
)
 
—

 
—

Marketable equity securities
25

 
(13
)
 
—

 
—

Total
$
5,032

 
$
(90
)
 
$
221

 
$
(18
)

Activity related to the Company’s investment portfolio is as follows:
 
Fiscal Year
 
2015
 
2014
 
2013
(in millions)
Debt (a)
 
Equity (b) (c)
 
Debt (a)
 
Equity (b)
 
Debt (a)
 
Equity (b)
Proceeds from sales
$
5,640

 
$
250

 
$
7,991

 
$
120

 
$
10,350

 
$
161

Gross realized gains
$
33

 
$
164

 
$
15

 
$
69

 
$
59

 
$
94

Gross realized losses
$
(19
)
 
$
—

 
$
(12
)
 
$
—

 
$
(17
)
 
$
—

Impairment losses recognized
$
—

 
$
(29
)
 
$
(1
)
 
$
(9
)
 
$
—

 
$
(21
)
(a)
Includes available-for-sale debt securities.
(b)
Includes marketable equity securities, cost method, equity method, exchange-traded funds, and other investments.
(c)
As a result of certain acquisitions that occurred during fiscal year 2015, the Company recognized a non-cash realized gain of $41 million on its previously-held minority investments included in other expense, net on the consolidated statement of income. Also, a realized gain on an equity method investment totaling $97 million is included in special (gains) charges, net on the consolidated statement of income.
Credit losses represent the difference between the present value of cash flows expected to be collected on certain mortgage-backed securities and auction rate securities and the amortized cost of these securities. Based on the Company’s assessment of the credit quality of the underlying collateral and credit support available to each of the remaining securities in which invested, the Company believes it has recorded all necessary other-than-temporary impairments as the Company does not have the intent to sell, nor is it more likely than not that the Company will be required to sell, before recovery of the amortized cost.
As of April 24, 2015, the credit loss portion of other-than temporary impairments on debt securities was not significant. As of April 25, 2014 and April 26, 2013, the credit loss portion of other-than-temporary impairments on debt securities was $4 million and $9 million, respectively. The total reductions for available-for-sale debt securities sold for the fiscal years ended April 24, 2015 and April 25, 2014 were $4 million and $5 million, respectively. The total other-than-temporary impairment losses on available-for-sale debt securities for the fiscal years ended April 24, 2015 and April 25, 2014 were not significant.
The April 24, 2015 balance of available-for-sale debt securities, excluding debt funds which have no single maturity date, by contractual maturity is shown in the following table. Within the table, maturities of mortgage-backed securities have been allocated based upon timing of estimated cash flows, assuming no change in the current interest rate environment. Actual maturities may differ from contractual maturities because the issuers of the securities may have the right to prepay obligations without prepayment penalties.
(in millions)
April 24, 2015
Due in one year or less
$
1,812

Due after one year through five years
6,646

Due after five years through 10 years
3,097

Due after 10 years
182

Total debt securities
$
11,737


As of April 24, 2015 and April 25, 2014, the aggregate carrying amount of equity and other securities without a quoted market price and accounted for using the cost or equity method was $520 million and $666 million, respectively. The total carrying value of these investments is reviewed quarterly for changes in circumstance or the occurrence of events that suggest the Company’s investment may not be recoverable. The value of cost or equity method investments is not adjusted if there are no identified events or changes in circumstances that may have a material adverse effect on the fair value of the investment.
Gains and losses realized on trading securities and available-for-sale debt securities are recorded in interest expense, net in the consolidated statements of income. Gains and losses realized on marketable equity securities, cost method, equity method, and other investments are recorded in other expense, net in the consolidated statements of income. In addition, unrealized gains and losses on available-for-sale debt securities are recorded in other comprehensive loss in the consolidated statements of comprehensive income and unrealized gains and losses on trading securities are recorded in interest expense, net in the consolidated statements of income. Gains and losses from the sale of investments are calculated based on the specific identification method.