Marketable Securities, Available-for-sale

6 Months Ended

Jun. 30, 2015

Investments, Debt and Equity Securities [Abstract]

Marketable Securities, Available-for-sale

Marketable Securities, Available-for-sale

The Company’s investment portfolio includes U.S. Treasury securities, municipal debt securities and time deposits. As defined in ASC No. 320 (“ASC 320”), “Investments—Debt and Equity Securities,” the Company considers its investment portfolio to be available-for-sale. Accordingly, these investments are recorded at their fair values. The cost of securities sold is based on an average-cost basis. Unrealized gains on these investments were included in “Accumulated other comprehensive loss” within the Consolidated Balance Sheets.

The Company periodically reviews its available-for-sale securities for other-than-temporary declines in fair values that are below their cost bases, as well as whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. At June 30, 2015 and December 31, 2014, the Company believed that the cost bases for its available-for-sale securities were recoverable in all material respects.

For the three-month periods ended June 30, 2015 and 2014, net realized earnings associated with the Company’s investment portfolio, which included interest, dividends and net realized gains on sales of marketable securities, totaled $173,000 and $429,000, respectively. For the six-month periods ended June 30, 2015 and 2014, net realized earnings totaled $318,000 and $833,000, respectively. These earnings were included in “Gain from marketable securities, net” within the Consolidated Statements of Earnings. Realized gains or losses on the sales of marketable securities were included as reclassification adjustments, which are a component of other comprehensive income. (See Note 4, “Accumulated Other Comprehensive Loss.”)

The primary objectives of the Company’s investment portfolio are safety of principal and liquidity. Investments are made with the purpose of achieving the highest rate of return consistent with these two objectives. The Company’s investment policy limits investments to debt rated investment grade or better, as well as to bank and money market instruments and to issues by the U.S. government, U.S. government agencies and municipal or other institutions primarily with investment-grade credit ratings. Policy restrictions are placed on maturities, as well as on concentration by type and issuer.

The following table displays the fair values of marketable securities, available-for-sale, by type of security:

	JUNE 30, 2015
(in thousands)	AMORTIZED COST		GROSS UNREALIZED GAINS		ESTIMATED FAIR VALUE
Type of security:
U.S. Treasury securities	$	450	$	—	$	450
Municipal debt securities	9,766		49		9,815
Total debt securities	10,216		49		10,265
Time deposits	7,526		—		7,526
Total marketable securities, available-for-sale	$	17,742	$	49	$	17,791
	DECEMBER 31, 2014
Type of security:
U.S. Treasury securities	$	350	$	—	$	350
Municipal debt securities	9,766		218		9,984
Total debt securities	10,116		218		10,334
Time deposits	7,511		—		7,511
Total marketable securities, available-for-sale	$	17,627	$	218	$	17,845

The following table displays the fair values of marketable securities, available-for-sale, by contractual maturity:

(in thousands)	JUNE 30, 2015		DECEMBER 31, 2014
Contractual maturity:
Maturing in one year or less	$	7,976	$	7,861
Maturing after three years	9,815		9,984
Total marketable securities, available-for-sale	$	17,791	$	17,845