CASH, CASH EQUIVALENTS AND INVESTMENTS

Cadence’s cash, cash equivalents and short-term investments at fair value as of March 29, 2014 and December 28, 2013 were as follows:



	As of
	March 29, 2014		December 28, 2013
	(In thousands)
Cash and cash equivalents	$	532,761	$	536,260
Short-term investments	97,006		96,788
Cash, cash equivalents and short-term investments	$	629,767	$	633,048

Cash and Cash Equivalents

Cadence considers all highly liquid investments with original maturities of three months or less on the date of purchase to be cash equivalents. The amortized cost of Cadence’s cash equivalents approximates fair value. The following table summarizes Cadence’s cash and cash equivalents at fair value as of March 29, 2014 and December 28, 2013:



	As of
	March 29, 2014		December 28, 2013
	(In thousands)
Cash and interest bearing deposits	$	183,877	$	188,088
Money market funds	348,884		345,872
Bank certificates of deposit	—		2,300
Total cash and cash equivalents	$	532,761	$	536,260

Short-Term Investments

The following tables summarize Cadence’s short-term investments as of March 29, 2014 and December 28, 2013:



	As of March 29, 2014
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
	(In thousands)
Corporate debt securities	$	36,903	$	20	$	(17	)	$	36,906
Bank certificates of deposit	26,350		12		—			26,362
United States Treasury securities	18,921		24		(1		)	18,944
United States government agency securities	10,356		11		(1		)	10,366
Commercial paper	2,493		2		—			2,495
Marketable debt securities	95,023		69		(19		)	95,073
Marketable equity securities	1,817		116		—			1,933
Total short-term investments	$	96,840	$	185	$	(19	)	$	97,006



	As of December 28, 2013
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
	(In thousands)
Corporate debt securities	$	37,422	$	30	$	(11	)	$	37,441
Bank certificates of deposit	20,300		9		(1		)	20,308
United States Treasury securities	24,219		28		(1		)	24,246
United States government agency securities	10,212		11		—			10,223
Commercial paper	2,492		1		—			2,493
Marketable debt securities	94,645		79		(13		)	94,711
Marketable equity securities	1,817		260		—			2,077
Total short-term investments	$	96,462	$	339	$	(13	)	$	96,788

As of March 29, 2014, no securities held by Cadence had been in an unrealized loss position for greater than twelve months.

The amortized cost and estimated fair value of marketable debt securities included in short-term investments as of March 29, 2014, by contractual maturity, are shown in the table below. Actual maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations without penalties.



	Amortized Cost		Fair Value
	(In thousands)
Due in less than one year	$	42,803	$	42,823
Due in one to three years	52,220		52,250
Total marketable debt securities included in short-term investments	$	95,023	$	95,073

Realized gains and losses from the sale of marketable debt and equity securities are recorded in other income, net in the condensed consolidated income statements.

Non-Marketable Investments

Cadence’s non-marketable investments generally consist of voting preferred stock or convertible debt of privately held companies and are included in other assets on Cadence’s condensed consolidated balance sheets. If Cadence determines that it has the ability to exercise significant influence over the issuer, which may include considering whether the investments are in-substance common stock, the investment is accounted for using the equity method.

Cadence records in the condensed consolidated income statements as other income, net, realized gains and losses on non-marketable investments, write downs related to cost method investments due to other-than-temporary declines in value, and the proportional share of issuers’ gains or losses related to equity method investments.

The equity method income or loss recorded by Cadence is based on its percentage ownership in the issuer.

Cadence’s non-marketable investments as of March 29, 2014 and December 28, 2013 were as follows:



	As of
	March 29, 2014		December 28, 2013
	(In thousands)
Cost method	$	3,038	$	3,038
Equity method	5,163		3,639
Total non-marketable investments	$	8,201	$	6,677