INVESTMENTS

Investments at December 31, 2013 primarily included corporate equity securities and an auction-rate security. During the three months ended March 31, 2014, the Company sold its investment in a corporate equity security which resulted into a realized gain of $0.4 million, recorded under interest and other income, net in the condensed consolidated statements of operations.

All marketable securities are deemed by management to be available-for-sale and are reported at fair value, with the exception of the auction-rate security as described below. Net unrealized gains and losses that are deemed to be temporary are reported within stockholders’ equity on the Company’s condensed consolidated balance sheets as a component of accumulated other comprehensive income. Unrealized losses that are deemed to be other-than-temporary are recorded in the condensed consolidated statements of operations in the period such determination is made. Gross realized gains or losses are recorded based on the specific identification method. For the three months ended March 31, 2014 and 2013, the Company did not have other realized gains or losses on short-term investment other than the $0.4 million gain discussed above. The Company’s investments are further detailed in the table below:



	March 31, 2014				December 31, 2013
	Adjusted Cost		Fair Value		Adjusted Cost			Fair Value
	(in thousands)
Corporate equity securities	$	—	$	—	$	2,687		$	2,181
Auction-rate security	983		1,066		983			1,066
	983		$	1,066	3,670			$	3,247
Unrealized gains	83				83
Unrealized losses	—				(506		)
Net unrealized (losses) gains	83				(423		)
Fair value	$	1,066			$	3,247
Amount included in short-term investments			$	—				$	2,181
Amount included in other assets			1,066					1,066
			$	1,066				$	3,247

For the three months ended March 31, 2014, auctions for the Company's sole auction-rate security continued to fail and as a result this security continues to be illiquid. The Company concluded that $1.1 million of its auction-rate security is unlikely to be liquidated within the next twelve months and classified this security as a long-term investment, which is included in other assets on the condensed consolidated balance sheets. The Company's only available-for-sale debt security had a contractual maturity greater than 10 years and totaled $1.0 million (at adjusted cost) as of March 31, 2014.

The Company has classified all investments with original maturity dates of 90 days or more as short-term as it has the ability and intent to liquidate them within the year, with the exception of the Company’s remaining auction-rate security, which has been classified as long-term investment and included in other assets on the condensed consolidated balance sheets.