Financial Assets and Liabilities Carried at Fair Value |
Financial assets and
liabilities carried at fair value as of March 30, 2013, are
classified below (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Level 1 |
|
|
Level 2 |
|
|
Level 3 |
|
|
Total |
|
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. government and agency
securities
|
|
$ |
91,228 |
|
|
$ |
13,634 |
|
|
$ |
0 |
|
|
$ |
104,862 |
|
Obligations of
government-sponsored enterprises (1)
|
|
|
0 |
|
|
|
11,046 |
|
|
|
0 |
|
|
|
11,046 |
|
State and municipal
bonds
|
|
|
0 |
|
|
|
111,559 |
|
|
|
0 |
|
|
|
111,559 |
|
Corporate
securities
|
|
|
0 |
|
|
|
137,881 |
|
|
|
2,588 |
|
|
|
140,469 |
|
Other
investments
|
|
|
0 |
|
|
|
36 |
|
|
|
0 |
|
|
|
36 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investments
subtotal
|
|
|
91,228 |
|
|
|
274,156 |
|
|
|
2,588 |
|
|
|
367,972 |
|
Forward contracts
(2)
|
|
|
1,575 |
|
|
|
1,003 |
|
|
|
0 |
|
|
|
2,578 |
|
Money market investments
related to the deferred compensation plan
|
|
|
3,917 |
|
|
|
0 |
|
|
|
0 |
|
|
|
3,917 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets at fair
value
|
|
$ |
96,720 |
|
|
$ |
275,159 |
|
|
$ |
2,588 |
|
|
$ |
374,467 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities related to the
deferred compensation plan
|
|
$ |
3,917 |
|
|
$ |
0 |
|
|
$ |
0 |
|
|
$ |
3,917 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total liabilities at fair
value
|
|
$ |
3,917 |
|
|
$ |
0 |
|
|
$ |
0 |
|
|
$ |
3,917 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financial assets and
liabilities carried at fair value as of December 31, 2012, are
classified below (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Level 1 |
|
|
Level 2 |
|
|
Level 3 |
|
|
Total |
|
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. government and agency
securities
|
|
$ |
83,532 |
|
|
$ |
13,455 |
|
|
$ |
0 |
|
|
$ |
96,987 |
|
Obligations of
government-sponsored enterprises (1)
|
|
|
0 |
|
|
|
4,840 |
|
|
|
0 |
|
|
|
4,840 |
|
State and municipal
bonds
|
|
|
0 |
|
|
|
96,516 |
|
|
|
0 |
|
|
|
96,516 |
|
Corporate
securities
|
|
|
0 |
|
|
|
128,368 |
|
|
|
2,588 |
|
|
|
130,956 |
|
Other
investments
|
|
|
0 |
|
|
|
36 |
|
|
|
0 |
|
|
|
36 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investments
subtotal
|
|
|
83,532 |
|
|
|
243,215 |
|
|
|
2,588 |
|
|
|
329,335 |
|
Money market investments
related to the deferred compensation plan
|
|
|
3,553 |
|
|
|
0 |
|
|
|
0 |
|
|
|
3,553 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets at fair
value
|
|
$ |
87,085 |
|
|
$ |
243,215 |
|
|
$ |
2,588 |
|
|
$ |
332,888 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Forward contracts
(2)
|
|
$ |
1,174 |
|
|
$ |
871 |
|
|
$ |
0 |
|
|
$ |
2,045 |
|
Liabilities related to the
deferred compensation plan
|
|
|
3,553 |
|
|
|
0 |
|
|
|
0 |
|
|
|
3,553 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total liabilities at fair
value
|
|
$ |
4,727 |
|
|
$ |
871 |
|
|
$ |
0 |
|
|
$ |
5,598 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1) |
Includes investments in
notes issued by the Federal Home Loan Mortgage Corporation, the
Federal National Mortgage Association, the Federal Farm Credit
Banks and the Federal Home Loan Bank. |
2) |
The fair value of forward
contracts are calculated as follows: |
|
a. |
Fair value of a collar or
put option contract associated with forecasted sales hedges are
calculated using bid and ask rates for similar
contracts. |
|
b. |
Fair value of regular
forward contracts associated with forecasted sales hedges are
calculated using the period-end exchange rate adjusted for current
forward points. |
|
c. |
Fair value of balance sheet
hedges are calculated at the period end exchange rate adjusted for
current forward points unless the hedge has been traded but not
settled at period end. If this is the case, the fair value is
calculated at the rate at which the hedge is being
settled. |
|
Assets Measured at Fair Value on Recurring Basis |
The following table
presents Zebra’s activity for assets measured at fair value
on a recurring basis using significant unobservable inputs, Level
3, for the following periods (in thousands):
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended |
|
|
|
March 30, 2013 |
|
|
March 31, 2012 |
|
Balance at beginning of the
year
|
|
$ |
2,588 |
|
|
$ |
2,588 |
|
Transfers to Level
3
|
|
|
0 |
|
|
|
0 |
|
Total losses (realized or
unrealized):
|
|
|
|
|
|
|
|
|
Included in
earnings
|
|
|
0 |
|
|
|
0 |
|
Included in other
comprehensive income (loss)
|
|
|
0 |
|
|
|
0 |
|
Purchases and settlements
(net)
|
|
|
0 |
|
|
|
0 |
|
|
|
|
|
|
|
|
|
|
Balance at end of
period
|
|
$ |
2,588 |
|
|
$ |
2,588 |
|
|
|
|
|
|
|
|
|
|
Total gains and (losses)
for the period included in earnings attributable to the change in
unrealized losses relating to assets still held at end of
period
|
|
$ |
0 |
|
|
$ |
0 |
|
|
|
|
|
|
|
|
|
|
|
Summary of Short-Term and Long-Term Investments |
The following is a summary
of short-term and long-term investments (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As of March 30,
2013 |
|
|
|
Amortized
Cost |
|
|
Gross
Unrealized
Gains |
|
|
Gross
Unrealized
Losses |
|
|
Estimated
Fair Value |
|
U.S. government and agency
securities
|
|
$ |
104,784 |
|
|
$ |
80 |
|
|
$ |
(2 |
) |
|
$ |
104,862 |
|
Obligations of
government-sponsored enterprises
|
|
|
11,035 |
|
|
|
11 |
|
|
|
0 |
|
|
|
11,046 |
|
State and municipal
bonds
|
|
|
111,383 |
|
|
|
199 |
|
|
|
(23 |
) |
|
|
111,559 |
|
Corporate
securities
|
|
|
140,302 |
|
|
|
643 |
|
|
|
(476 |
) |
|
|
140,469 |
|
Other
investments
|
|
|
36 |
|
|
|
0 |
|
|
|
0 |
|
|
|
36 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
investments
|
|
$ |
367,540 |
|
|
$ |
933 |
|
|
$ |
(501 |
) |
|
$ |
367,972 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As of December 31,
2012 |
|
|
|
Amortized
Cost |
|
|
Gross
Unrealized
Gains |
|
|
Gross
Unrealized
Losses |
|
|
Estimated
Fair Value |
|
U.S. government and agency
securities
|
|
$ |
96,913 |
|
|
$ |
77 |
|
|
$ |
(3 |
) |
|
$ |
96,987 |
|
Obligations of
government-sponsored enterprises
|
|
|
4,830 |
|
|
|
10 |
|
|
|
0 |
|
|
|
4,840 |
|
State and municipal
bonds
|
|
|
96,383 |
|
|
|
161 |
|
|
|
(28 |
) |
|
|
96,516 |
|
Corporate
securities
|
|
|
130,634 |
|
|
|
790 |
|
|
|
(468 |
) |
|
|
130,956 |
|
Other
investments
|
|
|
36 |
|
|
|
0 |
|
|
|
0 |
|
|
|
36 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
investments
|
|
$ |
328,796 |
|
|
$ |
1,038 |
|
|
$ |
(499 |
) |
|
$ |
329,335 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Maturity Dates of Investments |
The maturity dates of
investments are as follows (in thousands):
|
|
|
|
|
|
|
|
|
|
|
As of March 30,
2013 |
|
|
|
Amortized Cost |
|
|
Estimated Fair Value |
|
Less than 1 year
|
|
$ |
168,127 |
|
|
$ |
168,361 |
|
1 to 5 years
|
|
|
195,556 |
|
|
|
196,168 |
|
6 to 10 years
|
|
|
3,857 |
|
|
|
3,443 |
|
Thereafter
|
|
|
0 |
|
|
|
0 |
|
|
|
|
|
|
|
|
|
|
Total
|
|
$ |
367,540 |
|
|
$ |
367,972 |
|
|