Cash, Cash Equivalents and Investments (Tables)

9 Months Ended

Sep. 29, 2012

Cash, Cash Equivalents and Investments [Abstract]

Summary of cash, cash equivalents and short-term investments

Cadence's cash, cash equivalents and short-term investments at fair value as of September 29, 2012 and December 31, 2011 were as follows:

	As of
	September 29, 2012		December 31, 2011
	(In thousands)
Cash and cash equivalents	$	649,099	$	601,602
Short-term investments	95,819		3,037
Cash, cash equivalents and short-term investments	$	744,918	$	604,639

Summary of cash and cash equivalents

The following table summarizes Cadence’s cash and cash equivalents at fair value as of September 29, 2012 and December 31, 2011:

	As of
	September 29, 2012		December 31, 2011
	(In thousands)
Cash and interest bearing deposits	$	158,658	$	117,500
Money market funds	484,465		484,102
United States Treasury securities	3,975		—
Bank certificates of deposit	1,000		—
Corporate debt securities	501		—
Commercial paper	500		—
Total cash and cash equivalents	$	649,099	$	601,602

Summary of short-term investments

The following tables summarize Cadence’s short-term investments as of September 29, 2012 and December 31, 2011:

	As of September 29, 2012
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
	(In thousands)
Corporate debt securities	$	32,551	$	63	$	(1	)	$	32,613
Bank certificates of deposit	28,506		17		(1		)	28,522
United States Treasury securities	21,436		24		—			21,460
United States government agency securities	8,222		13		—			8,235
Commercial paper	2,986		2		—			2,988
Marketable equity securities	1,823		178		—			2,001
Total short-term investments	$	95,524	$	297	$	(2	)	$	95,819

	As of December 31, 2011
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
	(In thousands)
Marketable equity securities	$	1,830	$	1,207	$	—	$	3,037
Total short-term investments	$	1,830	$	1,207	$	—	$	3,037

Contractual maturity of marketable debt investments

The amortized cost and estimated fair value of marketable debt securities included in short-term investments as of September 29, 2012, 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 call or prepayment penalties.

	Amortized Cost		Fair Value
	(In thousands)
Due in less than one year	$	56,437	$	56,485
Due in one to three years	37,264		37,333
Total marketable debt securities included in short-term investments	$	93,701	$	93,818

Summary of realized gains from sale of available-for-sale securities

Realized gains from the sale of marketable debt and equity securities during three and nine months ended September 29, 2012 and October 1, 2011 were as follows:

	Three Months Ended				Nine Months Ended
	September 29, 2012		October 1, 2011		September 29, 2012		October 1, 2011
	(In thousands)				(In thousands)
Gains on sale of marketable debt and equity securities	$	8	$	—	$	125	$	8,052

Amortization of premium or discount related to marketable debt investments

Amortization of premium or discount related to Cadence’s marketable debt securities for the three and nine months ended September 29, 2012 and October 1, 2011 was as follows:

	Three Months Ended				Nine Months Ended
	September 29, 2012		October 1, 2011		September 29, 2012		October 1, 2011
	(In thousands)				(In thousands)
Amortization of premium (discount)	$	251	$	—	$	271	$	—

Carrying value of non-marketable securities

Cadence’s non-marketable investments as of September 29, 2012 and December 31, 2011 were as follows:

	As of
	September 29, 2012		December 31, 2011
	(In thousands)
Cost method	$	5,054	$	6,157
Equity method	4,283		4,303
Total non-marketable investments	$	9,337	$	10,460

Net Realized gains on the sale of non-marketable investments

Net realized gains on the sale of non-marketable investments during the three and nine months ended September 29, 2012 and October 1, 2011 were as follows:

	Three Months Ended				Nine Months Ended
	September 29, 2012		October 1, 2011		September 29, 2012		October 1, 2011
	(In thousands)				(In thousands)
Gains on sale of non-marketable investments	$	—	$	5,379	$	—	$	8,108