Fair Value Measurements

12 Months Ended

Nov. 29, 2019

Fair Value Disclosures [Abstract]

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS

Assets and Liabilities Measured and Recorded at Fair Value on a Recurring Basis 

We measure certain financial assets and liabilities at fair value on a recurring basis. There have been no transfers between fair value measurement levels during the year ended November 29, 2019.

The fair value of our financial assets and liabilities at November 29, 2019 was determined using the following inputs:

(in thousands)	Fair Value Measurements at Reporting Date Using
			Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs
	Total		(Level 1)		(Level 2)		(Level 3)
Assets:
Cash equivalents:
Corporate debt securities	$	45,704	$	—	$	45,704	$	—
Money market mutual funds	2,049,057		2,049,057		—		—
Time deposits	88,519		88,519		—		—
Short-term investments:
Asset-backed securities	88,721		—		88,721		—
Corporate debt securities	1,412,331		—		1,412,331		—
Municipal securities	17,709		—		17,709		—
U.S. Treasury securities	7,994		—		7,994		—
Prepaid expenses and other current assets:
Foreign currency derivatives	28,829		—		28,829		—
Other assets:
Deferred compensation plan assets	93,776		4,348		89,428		—
Total assets	$	3,832,640	$	2,141,924	$	1,690,716	$	—

    

Liabilities:
Accrued expenses:
Treasury lock derivatives	$	29,652	$	—	$	29,652	$	—
Foreign currency derivatives	2,671		—		2,671		—
Interest rate swap derivatives	208		—		208		—
Total liabilities	$	32,531	$	—	$	32,531	$	—

The fair value of our financial assets and liabilities at November 30, 2018 was determined using the following inputs:

(in thousands)	Fair Value Measurements at Reporting Date Using
			Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs
	Total		(Level 1)		(Level 2)		(Level 3)
Assets:
Cash equivalents:
Money market mutual funds	$	1,234,188	$	1,234,188	$	—	$	—
Time deposits	40,023		40,023		—		—
Short-term investments:
Asset-backed securities	41,508		—		41,508		—
Corporate debt securities	1,522,208		—		1,522,208		—
Foreign government securities	4,155		—		4,155		—
Municipal securities	18,316		—		18,316		—
Prepaid expenses and other current assets:
Foreign currency derivatives	44,259		—		44,259		—
Other assets:
Deferred compensation plan assets	68,988		3,895		65,093		—
Total assets	$	2,973,645	$	1,278,106	$	1,695,539	$	—

    

Liabilities:
Accrued expenses:
Foreign currency derivatives	$	816	$	—	$	816	$	—
Other liabilities:
Interest rate swap derivatives	9,744		—		9,744		—
Total liabilities	$	10,560	$	—	$	10,560	$	—

Our fixed income available-for-sale debt securities consist of high quality, investment grade securities from diverse issuers with a weighted average credit rating of A+. We value these securities based on pricing from independent pricing vendors who use matrix pricing valuation techniques including market approach methodologies that model information generated by market transactions involving identical or comparable assets, as well as discounted cash flow methodologies. Inputs include quoted prices in active markets for identical assets or inputs other than quoted prices that are observable either directly or indirectly in determining fair value, including benchmark yields, issuer spreads off benchmark yields, interest rates and U.S. Treasury or swap curves. We therefore classify all of our fixed income available-for-sale securities as Level 2. We perform routine procedures such as comparing prices obtained from multiple independent sources to ensure that appropriate fair values are recorded.

The fair values of our money market mutual funds and time deposits are based on the closing price of these assets as of the reporting date. We classify our money market mutual funds and time deposits as Level 1.

Our Level 2 over-the-counter foreign currency, Treasury lock and interest rate swap derivatives are valued using pricing models and discounted cash flow methodologies based on observable foreign exchange and interest rate data at the measurement date.

Our deferred compensation plan assets consist of money market mutual funds and other mutual funds.

Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis

The fair value of our senior notes was $1.96 billion as of November 29, 2019, based on observable market prices in less active markets and categorized as Level 2. See Note 17 for further details regarding our debt.