Fair Value Measurements (Tables)

9 Months Ended

Jan. 24, 2014

Information by Level for Assets and Liabilities that are Measured at Fair Value on a Recurring Basis

The following tables provide information by level for assets and liabilities that are measured at fair value on a recurring basis:



	Fair Value as of January 24, 2014		Fair Value Measurements Using Inputs Considered as
(in millions)	Fair Value as of January 24, 2014		Level 1		Level 2		Level 3
Assets:
Corporate debt securities	$	5,507	$	—	$	5,498	$	9
Auction rate securities	96		—		—		96
Mortgage-backed securities	1,390		—		1,390		—
U.S. government and agency securities	3,540		1,523		2,017		—
Foreign government and agency securities	44		—		44		—
Certificates of deposit	6		—		6		—
Other asset-backed securities	655		—		655		—
Debt funds	1,169		—		1,169		—
Marketable equity securities	88		88		—		—
Exchange-traded funds	65		65		—		—
Derivative assets	263		156		107		—
Total assets	$	12,823	$	1,832	$	10,886	$	105

Liabilities:
Derivative liabilities	$	111	$	97	$	14	$	—
Contingent consideration associated with acquisitions subsequent to April 24, 2009	66		—		—		66
Total liabilities	$	177	$	97	$	14	$	66



	Fair Value as of April 26, 2013		Fair Value Measurements Using Inputs Considered as
(in millions)	Fair Value as of April 26, 2013		Level 1		Level 2		Level 3
Assets:
Corporate debt securities	$	4,661	$	—	$	4,651	$	10
Auction rate securities	103		—		—		103
Mortgage-backed securities	1,053		—		1,039		14
U.S. government and agency securities	3,898		1,833		2,065		—
Foreign government and agency securities	38		—		38		—
Certificates of deposit	6		—		6		—
Other asset-backed securities	541		—		541		—
Marketable equity securities	155		155		—		—
Exchange-traded funds	50		50		—		—
Derivative assets	394		213		181		—
Total assets	$	10,899	$	2,251	$	8,521	$	127

Liabilities:
Derivative liabilities	$	58	$	40	$	18	$	—
Contingent consideration associated with acquisitions subsequent to April 24, 2009	142		—		—		142
Total liabilities	$	200	$	40	$	18	$	142

Fair Value Inputs, Assets, Quantitative Information

The following table represents the range of unobservable inputs utilized in the fair value measurement of auction rate securities classified as Level 3 as of January 24, 2014:



	Valuation Technique	Unobservable Input	Range (Weighted Average)
Auction rate securities	Discounted cash flow	Years to principal recovery	2 yrs. - 12 yrs. (3 yrs.)
Auction rate securities	Discounted cash flow	Illiquidity premium	6%

Reconciliation of Beginning and Ending Balances of Items Measured at Fair Value on a Recurring Basis that Used Significant Unobservable Inputs (Level 3)

The following tables provide a reconciliation of the beginning and ending balances of items measured at fair value on a recurring basis that used significant unobservable inputs (Level 3) for the three and nine months ended January 24, 2014 and January 25, 2013:



Three months ended January 24, 2014
(in millions)	Total Level 3 Investments			Corporate debt securities			Auction rate securities			Mortgage- backed securities			Other asset- backed securities
Balance as of October 25, 2013	$	118		$	9		$	105		$	4		$	—
Total realized losses and other-than-temporary impairment losses included in earnings	(3		)	—			(3		)	—			—
Total unrealized gains (losses) included in other comprehensive income	(3		)	—			(3		)	—			—
Settlements	(7		)	—			(3		)	(4		)	—
Balance as of January 24, 2014	$	105		$	9		$	96		$	—		$	—

Three months ended January 25, 2013
(in millions)	Total Level 3 Investments			Corporate debt securities			Auction rate securities			Mortgage- backed securities			Other asset- backed securities
Balance as of October 26, 2012	$	171		$	10		$	129		$	27		$	5
Total unrealized gains (losses) included in other comprehensive income	5			(1		)	5			—			1
Balance as of January 25, 2013	$	176		$	9		$	134		$	27		$	6

Nine months ended January 24, 2014
(in millions)	Total Level 3 Investments			Corporate debt securities			Auction rate securities			Mortgage- backed securities			Other asset- backed securities
Balance as of April 26, 2013	$	127		$	10		$	103		$	14		$	—
Total realized losses and other-than-temporary impairment losses included in earnings	(5		)	—			(5		)	—			—
Total unrealized gains (losses) included in other comprehensive income	3			—			2			1			—
Settlements	(20		)	(1		)	(4		)	(15		)	—
Balance as of January 24, 2014	$	105		$	9		$	96		$	—		$	—

Nine months ended January 25, 2013
(in millions)	Total Level 3 Investments			Corporate debt securities			Auction rate securities			Mortgage- backed securities			Other asset- backed securities
Balance as of April 27, 2012	$	172		$	10		$	127		$	29		$	6
Total unrealized gains (losses) included in other comprehensive income	6			(1		)	7			—			—
Settlements	(2		)	—			—			(2		)	—
Balance as of January 25, 2013	$	176		$	9		$	134		$	27		$	6

- Definition

Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset.

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