Auction Rate Securities

9 Months Ended

Jul. 31, 2014

Investments, Debt and Equity Securities [Abstract]

Auction Rate Securities

AUCTION RATE SECURITIES

At July 31, 2014, we held investments in auction rate securities from three different issuers having an aggregate original principal amount of $15.0 million and an amortized cost basis of $13.0 million. Our auction rate securities are debt instruments with stated maturities ranging from 2033 to 2050, for which the interest rate is designed to be reset through Dutch auctions approximately every 30 days. Auctions for these securities have not occurred since August 2007. We have classified all our auction rate security investments as noncurrent, as we do not reasonably expect to liquidate the securities for cash within the next 12 months.

The following table presents the significant assumptions used to determine the fair values of our auction rate securities at July 31, 2014 and October 31, 2013:

Assumption	July 31, 2014	October 31, 2013
Discount rates	L + 0.31% – L + 4.41%	L + 0.33% – L + 3.01%
Yields	2.15%, L + 2.00%	2.15%, L + 2.00%
Average expected lives	4 – 10 years	4 – 10 years

L - One Month LIBOR

The following table presents the changes in the cost basis and fair value of our auction rate securities as of October 31, 2013 and July 31, 2014:

(in millions)	Amortized Cost Basis			Fair Value (Level 3)
Balance at November 1, 2012	$	18.0		$	17.8
Unrealized gains included in accumulated other comprehensive loss	—			0.2
Redemption of security by issuer	(5.0		)	(5.0		)
Balance at October 31, 2013	$	13.0		$	13.0
Balance at July 31, 2014	$	13.0		$	13.0

At July 31, 2014 and October 31, 2013, there were no unrealized gains or losses for auction rate securities included in accumulated other comprehensive loss (“AOCL”), and the total amount of other-than-temporary impairment credit loss on our auction rate security investments included in our retained earnings was $2.0 million.