CASH, CASH EQUIVALENTS AND SHORT-TERM INVESTMENTS

Cash equivalents consist of instruments with remaining maturities of three months or less at the date of purchase. We classify all of our cash equivalents and short-term investments as “available-for-sale.” In general, these investments are free of trading restrictions. We carry these investments at fair value, based on quoted market prices or other readily available market information. Unrealized gains and losses, net of taxes, are included in accumulated other comprehensive income, which is reflected as a separate component of stockholders’ equity in our Condensed Consolidated Balance Sheets. Gains and losses are recognized when realized in our Condensed Consolidated Statements of Income. When we have determined that an other-than-temporary decline in fair value has occurred, the amount of the decline that is related to a credit loss is recognized in income. Gains and losses are determined using the specific identification method.

Cash, cash equivalents and short-term investments consisted of the following as of August 30, 2013 (in thousands):



	Amortized Cost		Unrealized Gains		Unrealized Losses			Estimated Fair Value
Current assets:
Cash	$	173,240	$	—	$	—		$	173,240
Cash equivalents:
Corporate bonds and commercial paper	2,500		—		—			2,500
Money market mutual funds	506,638		—		—			506,638
Time deposits	117,707		—		—			117,707
U.S. agency securities	14,999		1		—			15,000
U.S. Treasury securities	4,000		—		—			4,000
Total cash equivalents	645,844		1		—			645,845
Total cash and cash equivalents	819,084		1		—			819,085
Short-term fixed income securities:
Corporate bonds and commercial paper	1,283,045		4,685		(4,333		)	1,283,397
Foreign government securities	11,238		27		(27		)	11,238
Municipal securities	188,902		72		(329		)	188,645
U.S. agency securities	468,517		1,015		(939		)	468,593
U.S. Treasury securities	393,001		149		(981		)	392,169
Subtotal	2,344,703		5,948		(6,609		)	2,344,042
Marketable equity securities	184		626		—			810
Total short-term investments	2,344,887		6,574		(6,609		)	2,344,852
Total cash, cash equivalents and short-term investments	$	3,163,971	$	6,575	$	(6,609	)	$	3,163,937

Cash, cash equivalents and short-term investments consisted of the following as of November 30, 2012 (in thousands):



	Amortized Cost		Unrealized Gains		Unrealized Losses			Estimated Fair Value
Current assets:
Cash	$	200,771	$	—	$	—		$	200,771
Cash equivalents:
Corporate bonds and commercial paper	3,998		—		—			3,998
Money market mutual funds and repurchase agreements	1,171,270		—		—			1,171,270
Municipal securities	3,895		—		—			3,895
Time deposits	45,118		—		—			45,118
Total cash equivalents	1,224,281		—		—			1,224,281
Total cash and cash equivalents	1,425,052		—		—			1,425,052
Short-term fixed income securities:
Corporate bonds and commercial paper	1,059,158		11,415		(133		)	1,070,440
Foreign government securities	6,919		45		(12		)	6,952
Municipal securities	180,488		97		(60		)	180,525
Time deposits	20,113		—		—			20,113
U.S. agency securities	501,863		2,346		(18		)	504,191
U.S. Treasury securities	330,072		801		(37		)	330,836
Subtotal	2,098,613		14,704		(260		)	2,113,057
Marketable equity securities	237		7		—			244
Total short-term investments	2,098,850		14,711		(260		)	2,113,301
Total cash, cash equivalents and short-term investments	$	3,523,902	$	14,711	$	(260	)	$	3,538,353

See Note 4 for further information regarding the fair value of our financial instruments.

The following table summarizes the fair value and gross unrealized losses related to available-for-sale securities, aggregated by investment category, that have been in an unrealized loss position for less than twelve months, as of August 30, 2013 and November 30, 2012 (in thousands):



	2013					2012
	Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses
Corporate bonds and commercial paper	$	667,920	$	(4,334	)	$	95,489	$	(132	)
Foreign government securities	6,444		(27		)	2,105		(12		)
Municipal securities	74,804		(329		)	40,524		(60		)
U.S. Treasury and agency securities	431,040		(1,919		)	48,203		(55		)
Total	$	1,180,208	$	(6,609	)	$	186,321	$	(259	)

There were 535 securities and 65 securities that were in an unrealized loss position for less than twelve months at August 30, 2013 and at November 30, 2012, respectively.

The following table summarizes the fair value and gross unrealized losses related to available-for-sale securities, aggregated by investment category, that were in a continuous unrealized loss position for more than twelve months, as of November 30, 2012 (in thousands):



	2012
	Fair Value		Gross Unrealized Losses
Corporate bonds and commercial paper	$	2,999	$	(1	)
Total	$	2,999	$	(1	)

As of August 30, 2013, there were no securities in an unrealized loss position for more than twelve months. As of November 30, 2012, there was one security in an unrealized loss position for more than twelve months.

The following table summarizes the cost and estimated fair value of short-term fixed income securities classified as short-term investments based on stated effective maturities as of August 30, 2013 (in thousands):



	Amortized Cost		Estimated Fair Value
Due within one year	$	572,921	$	573,977
Due between one and two years	812,070		814,355
Due between two and three years	681,816		680,980
Due after three years	277,896		274,730
Total	$	2,344,703	$	2,344,042

We review our debt and marketable equity securities classified as short-term investments on a regular basis to evaluate whether or not any security has experienced an other-than-temporary decline in fair value. We consider factors such as the length of time and extent to which the market value has been less than the cost, the financial condition and near-term prospects of the issuer and our intent to sell, or whether it is more likely than not we will be required to sell the investment before recovery of the investment’s amortized cost basis. If we believe that an other-than-temporary decline exists in one of these securities, we write down these investments to fair value. For debt securities, the portion of the write-down related to credit loss would be recorded to interest and other income, net in our Condensed Consolidated Statements of Income. Any portion not related to credit loss would be recorded to accumulated other comprehensive income, which is reflected as a separate component of stockholders’ equity in our Condensed Consolidated Balance Sheets. For equity securities, the write-down would be recorded to investment gains (losses), net in our Condensed Consolidated Statements of Income. During the nine months ended August 30, 2013, we did not consider any of our investments to be other-than-temporarily impaired.