SHORT-TERM AND LONG-TERM DEBT (Tables)

9 Months Ended

Jul. 31, 2017

Schedule of carrying values and estimated fair values of convertible notes

The net carrying values of Ciena's term loans were comprised of the following for the fiscal periods indicated (in thousands):



	July 31, 2017		October 31, 2016
Term Loan Payable due July 15, 2019	$	—	$	241,359
Term Loan Payable due April 25, 2021	—		244,944
Term Loan Payable due January 30, 2022	393,674		—
	$	393,674	$	486,303

The following table sets forth the carrying value and the estimated fair value of Ciena's 2022 Term Loan (in thousands):



	July 31, 2017
	Carrying Value⁽¹⁾		Fair Value⁽²⁾
Term Loan Payable due January 30, 2022	$	393,674	$	401,993

The net carrying values of Ciena's outstanding convertible notes payable was comprised of the following for the fiscal periods indicated (in thousands):



	July 31, 2017		October 31, 2016
0.875% Convertible Senior Notes due June 15, 2017	$	—	$	231,240
3.75% Convertible Senior Notes due October 15, 2018	348,557		347,630
4.0% Convertible Senior Notes due December 15, 2020	193,071		188,509
	$	541,628	$	767,379

The following table sets forth, in thousands, the net carrying value and the estimated fair value of Ciena’s outstanding issues of convertible notes as of July 31, 2017:



	July 31, 2017
	Net Carrying Value ⁽¹⁾		Fair Value⁽²⁾
3.75% Convertible Senior Notes due October 15, 2018	348,557		482,825
4.0% Convertible Senior Notes due December 15, 2020	193,071		269,719
	$	541,628	$	752,544


(1)	Includes unamortized debt discount, accretion of principal and deferred debt issuance costs.


(2)	The convertible notes are categorized as Level 2 in the fair value hierarchy. Ciena estimated the fair value of its outstanding convertible notes using a market approach based upon observable inputs, such as current market transactions involving comparable securities.

Schedule of details of convertible notes

The principal balance, unamortized debt discount, deferred debt issuance costs and net carrying value of the liability components of Ciena's 2022 Term Loan were as follows as of July 31, 2017 (in thousands):




	Principal Balance		Unamortized Discount			Deferred Debt Issuance Costs			Net Carrying Value
Term Loan Payable due January 30, 2022	$	399,000	$	(2,038	)	$	(3,288	)	$393,674

The principal balance, unamortized debt discount, deferred debt issuance costs and net carrying value of the liability and equity components of Ciena's outstanding issues of convertible notes were as follows as of July 31, 2017 (in thousands):



	Liability Component										Equity Component
	Principal Balance		Unamortized Debt Discount			Deferred Debt Issuance Costs			Net Carrying Value		Net Carrying Value
3.75% Convertible Senior Notes due October 15, 2018	$	350,000	$	—		$	(1,443	)	$	348,557	$	—
4.0% Convertible Senior Notes due December 15, 2020	$	203,996	$	(9,893	)	$	(1,032	)	$	193,071	$	43,131