| Financial Instruments |
Financial Instruments The following is a summary of cash equivalents and available-for-sale securities as of the end of the periods presented: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| June 30, 2012 |
| | March 31, 2012 | (In thousands) | Amortized Cost |
| Gross Unrealized Gains |
| Gross Unrealized Losses |
| Estimated Fair Value |
| | Amortized Cost |
| Gross Unrealized Gains |
| Gross Unrealized Losses |
| Estimated Fair Value | Money market funds | $ | 174,888 |
|
| $ | — |
|
| $ | — |
|
| $ | 174,888 |
|
| | $ | 232,017 |
|
| $ | — |
|
| $ | — |
|
| $ | 232,017 |
| Bank certificates of deposit | 189,914 |
|
| — |
|
| — |
|
| 189,914 |
|
| | 159,972 |
|
| — |
|
| — |
|
| 159,972 |
| Commercial paper | 489,826 |
|
| — |
|
| — |
|
| 489,826 |
|
| | 594,867 |
|
| 1 |
|
| (1 | ) |
| 594,867 |
| Corporate bonds | 207,372 |
|
| 3,713 |
|
| (213 | ) |
| 210,872 |
|
| | 186,455 |
|
| 3,401 |
|
| (184 | ) |
| 189,672 |
| Auction rate securities | 32,250 |
|
| — |
|
| (3,435 | ) |
| 28,815 |
|
| | 32,600 |
|
| — |
|
| (3,671 | ) |
| 28,929 |
| Municipal bonds | 19,598 |
|
| 677 |
|
| (61 | ) |
| 20,214 |
|
| | 25,454 |
|
| 734 |
|
| (28 | ) |
| 26,160 |
| U.S. government and |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| agency securities | 668,759 |
|
| 382 |
|
| (92 | ) |
| 669,049 |
|
| | 668,702 |
|
| 360 |
|
| (149 | ) |
| 668,913 |
| Foreign government and |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| agency securities | 228,947 |
|
| 1 |
|
| — |
|
| 228,948 |
|
| | 249,951 |
|
| — |
|
| — |
|
| 249,951 |
| Mortgage-backed securities | 1,008,823 |
|
| 17,580 |
|
| (2,193 | ) |
| 1,024,210 |
|
| | 878,842 |
|
| 15,094 |
|
| (1,160 | ) |
| 892,776 |
| Debt mutual fund | 40,500 |
|
| — |
|
| (260 | ) |
| 40,240 |
|
| | 20,000 |
|
| — |
|
| (219 | ) |
| 19,781 |
|
| $ | 3,060,877 |
|
| $ | 22,353 |
|
| $ | (6,254 | ) |
| $ | 3,076,976 |
|
| | $ | 3,048,860 |
|
| $ | 19,590 |
|
| $ | (5,412 | ) |
| $ | 3,063,038 |
|
The following tables show the fair values and gross unrealized losses of the Company’s investments, aggregated by investment category, for individual securities that have been in a continuous unrealized loss position for the length of time specified, as of June 30, 2012 and March 31, 2012:
| | | | | | | | | | | | | | | | | | | | | | | | |
| June 30, 2012 |
| Less Than 12 Months |
| 12 Months or Greater |
| Total | (In thousands) | Fair Value |
| Gross Unrealized Losses |
| Fair Value |
| Gross Unrealized Losses |
| Fair Value |
| Gross Unrealized Losses | Corporate bonds | $ | 30,040 |
|
| $ | (122 | ) |
| $ | 1,782 |
|
| $ | (92 | ) |
| $ | 31,822 |
|
| $ | (214 | ) | Auction rate securities | — |
|
| — |
|
| 28,814 |
|
| (3,436 | ) |
| 28,814 |
|
| (3,436 | ) | Municipal bonds | 2,271 |
|
| (56 | ) |
| 717 |
|
| (5 | ) |
| 2,988 |
|
| (61 | ) | U.S. government and |
|
|
|
|
|
|
|
|
|
|
|
|
| agency securities | 472,979 |
|
| (92 | ) |
| — |
|
| — |
|
| 472,979 |
|
| (92 | ) | Mortgage-backed securities | 224,250 |
|
| (2,016 | ) |
| 17,480 |
|
| (175 | ) |
| 241,730 |
|
| (2,191 | ) | Debt mutual fund | 40,240 |
|
| (260 | ) |
| — |
|
| — |
|
| 40,240 |
|
| (260 | ) |
| $ | 769,780 |
|
| $ | (2,546 | ) |
| $ | 48,793 |
|
| $ | (3,708 | ) |
| $ | 818,573 |
|
| $ | (6,254 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | |
| March 31, 2012 |
| Less Than 12 Months |
| 12 Months or Greater |
| Total | (In thousands) | Fair Value |
| Gross Unrealized Losses |
| Fair Value |
| Gross Unrealized Losses |
| Fair Value |
| Gross Unrealized Losses | Commercial paper | $ | 79,994 |
|
| $ | (1 | ) |
| $ | — |
|
| $ | — |
|
| $ | 79,994 |
|
| $ | (1 | ) | Corporate bonds | 21,111 |
|
| (184 | ) |
| — |
|
| — |
|
| 21,111 |
|
| $ | (184 | ) | Auction rate securities | — |
|
| — |
|
| 28,929 |
|
| (3,671 | ) |
| 28,929 |
|
| $ | (3,671 | ) | Municipal bonds | 2,173 |
|
| (24 | ) |
| 366 |
|
| (4 | ) |
| 2,539 |
|
| $ | (28 | ) | U.S. government and |
|
|
|
|
|
|
|
|
|
|
|
|
| agency securities | 460,735 |
|
| (149 | ) |
| — |
|
| — |
|
| 460,735 |
|
| $ | (149 | ) | Mortgage-backed securities | 147,726 |
|
| (1,040 | ) |
| 15,923 |
|
| (120 | ) |
| 163,649 |
|
| $ | (1,160 | ) | Debt mutual fund | 19,781 |
|
| (219 | ) |
| — |
|
| — |
|
| 19,781 |
|
| $ | (219 | ) |
| $ | 731,520 |
|
| $ | (1,617 | ) |
| $ | 45,218 |
|
| $ | (3,795 | ) |
| $ | 776,738 |
|
| $ | (5,412 | ) |
The gross unrealized losses on these investments were primarily related to failed auction rate securities, which was due to adverse conditions in the global credit markets during the past three years. The Company reviewed the investment portfolio and determined that the gross unrealized losses on these investments as of June 30, 2012 and March 31, 2012 were temporary in nature as evidenced by the fluctuations in the gross unrealized losses within the investment categories. Furthermore, the aggregate of individual unrealized losses that had been outstanding for 12 months or more was not significant as of June 30, 2012 and March 31, 2012. The Company neither intends to sell these investments nor concludes that it is more-likely-than-not that it will have to sell them until recovery of their carrying values. The Company also believes that it will be able to collect both principal and interest amounts due to the Company at maturity, given the high credit quality of these investments and any related underlying collateral. The amortized cost and estimated fair value of marketable debt securities (bank certificates of deposit, commercial paper, corporate bonds, auction rate securities, municipal bonds, U.S. and foreign government and agency securities and mortgage-backed securities), by contractual maturity, are shown below. Actual maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations without call or prepayment penalties. | | | | | | | | | | June 30, 2012 | (In thousands) | Amortized
Cost |
| Estimated
Fair Value | Due in one year or less | $ | 1,502,255 |
|
| $ | 1,502,405 |
| Due after one year through five years | 303,951 |
|
| 308,085 |
| Due after five years through ten years | 253,312 |
|
| 257,837 |
| Due after ten years | 785,970 |
|
| 793,521 |
|
| $ | 2,845,488 |
|
| $ | 2,861,848 |
|
Certain information related to available-for-sale securities is as follows: | | | | | | | | | | Three Months Ended | (In thousands) | June 30, 2012 |
| July 2, 2011 | Proceeds from sale of available-for-sale securities | $ | 97,571 |
|
| $ | 30,377 |
| Gross realized gains on sale of available-for-sale securities | $ | 787 |
|
| $ | 339 |
| Gross realized losses on sale of available-for-sale securities | (75 | ) |
| (5 | ) | Net realized gains on sale of available-for-sale securities | $ | 712 |
|
| $ | 334 |
| Amortization of premiums on available-for-sale securities | $ | 5,619 |
|
| $ | 2,313 |
|
The cost of securities matured or sold is based on the specific identification method. |