Note 8

Investments

Available- for -Sale Securities

All of the Company's cash equivalents and marketable securities are classified as “available-for-sale” securities. These securities are reported at fair value with the related unrealized gains and losses included in accumulated other comprehensive income, a component of stockholders' equity, net of tax.

Available-for-sale investments at January 1, 2012 were as follows:

(in thousands)	Cost			Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
U.S. government treasuries and agency securities	$	157,256		$	25	$	(2	)	$	157,279
Corporate commercial paper		8,494			---		---			8,494
Corporate bonds		38,123			36		(71	)		38,088
Money market funds		61,259			---		---			61,259
Bank deposits		22,133			---		---			22,133
Municipal bonds		578			2		---			580
Total available-for-sale investments		287,843			63		(73	)		287,833
Less amounts classified as cash equivalents		(83,638	)		---		5			(83,633	)
Short-term investments	$	204,205		$	63	$	(68	)	$	204,200

Available-for-sale investments at April 3, 2011 were as follows:

(in thousands)	Cost			Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
U.S. government treasuries and agency securities	$	119,917		$	17	$	(8	)	$	119,926
Corporate commercial paper		51,785			---		---			51,785
Corporate bonds		57,001			104		(18	)		57,087
Money market funds		32,203			---		---			32,203
Bank deposits		17,764			---		---			17,764
Municipal bonds		368			1		---			369
Total available-for-sale investments		279,038			122		(26	)		279,134
Less amounts classified as cash equivalents		(84,623	)		---		1			(84,622	)
Short-term investments	$	194,415		$	122	$	(25	)	$	194,512

The amortized cost and estimated fair value of available-for-sale securities at January 1, 2012, by contractual maturity, were as follows:

(in thousands)	Amortized Cost		Estimated Fair Value
Due in 1 year or less	$	272,059	$	272,083
Due in 1-2 years		13,798		13,775
Due in 2-5 years		1,986		1,975
Total investments in available-for-sale debt securities	$	287,843	$	287,833

The following table shows the gross unrealized losses and fair value of the Company's investments with unrealized losses as of January 1, 2012, aggregated by length of time that individual securities have been in a continuous loss position.

	Less Than 12 Months					12 Months or Greater				Total
(in thousands)	Fair Value		Unrealized Loss			Fair Value		Unrealized Loss		Fair Value		Unrealized Loss
Corporate bonds	$	16,146	$	(64	)	$	---	$	---	$	16,146	$	(64	)
U.S. government treasuries and agency securities		39,663		(10	)		---		---		39,663		(10	)
Total	$	55,809	$	(74	)	$	---	$	---	$	55,809	$	(74	)

The following table shows the gross unrealized losses and fair value of the Company's investments with unrealized losses as of April 3, 2011, aggregated by length of time that individual securities have been in a continuous loss position.

	Less Than 12 Months					12 Months or Greater				Total
(in thousands)	Fair Value		Unrealized Loss			Fair Value		Unrealized Loss		Fair Value		Unrealized Loss
Corporate bonds	$	24,176	$	(18	)	$	---	$	---	$	24,176	$	(18	)
U.S. government treasuries and agency securities		36,531		(8	)		---		---		36,531		(8	)
Total	$	60,707	$	(26	)	$	---	$	---	$	60,707	$	(26	)

A significant portion of the available-for-sale investments held by the Company are high grade instruments. As of January 1, 2012, the unrealized losses on the Company's available-for-sale investments represented an insignificant amount in relation to its total available-for-sale portfolio. Because the Company has the ability to hold these investments until a recovery of fair value, which may be maturity, the Company did not consider these investments to be other-than-temporarily impaired at January 1, 2012 and April 3, 2011.

Non-Marketable Equity Securities

The Company accounts for its equity investments in privately held companies under the cost method. These investments are subject to periodic impairment review and measured and recorded at fair value when they are deemed to be other-than-temporarily impaired. In determining whether a decline in value of its investment has occurred and is other than temporary, an assessment was made by considering available evidence, including the general market conditions, the investee's financial condition, near-term prospects, market comparables and subsequent rounds of financing. The valuation also takes into account the investee's capital structure, liquidation preferences for its capital and other economic variables. The valuation methodology for determining the decline in value of non-marketable equity securities is based on inputs that require management judgment. The aggregate carrying value of the Company's non-marketable equity securities was approximately $2.5 million and $8.5 million as of January 1, 2012 and April 3, 2011, respectively, and was classified within other assets on the Company's Consolidated Balance Sheets. During the quarter ended January 1, 2012, the company reduced the estimated fair value of one of its non-marketable private equity investments and recorded a $2.8 million other-than temporary impairment loss during the period. Also during the quarter, the Company sold a non-marketable equity security, which had been valued at $2.0 million, for $2.6 million and recorded a gain on sale of $0.6 million in the period.