Short-Term and Long-Term Debt (Tables)

3 Months Ended

Jan. 31, 2018

Schedule of Carrying Values and Estimated Fair Values of Convertible Notes

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



	January 31, 2018		October 31, 2017
3.75% Convertible Senior Notes due October 15, 2018 (Original)	$	61,125	$	61,071
3.75% Convertible Senior Notes due October 15, 2018 (New)	287,627		287,221
4.0% Convertible Senior Notes due December 15, 2020	196,333		194,717
	$	545,085	$	543,009

The net carrying value of Ciena's Term Loan due January 30, 2022 (the "2022 Term Loan") was comprised of the following for the fiscal periods indicated (in thousands):



	January 31, 2018		October 31, 2017
Term Loan Payable due January 30, 2022	$	392,269	$	392,972

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 January 31, 2018:



	January 31, 2018
	Net Carrying Value		Fair Value⁽¹⁾
3.75% Convertible Senior Notes, due October 15, 2018 (Original)	$	61,125	$	71,778
3.75% Convertible Senior Notes, due October 15, 2018 (New)	287,627		338,247
4.0% Convertible Senior Notes due December 15, 2020	196,333		246,281
	$	545,085	$	656,306


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

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



	January 31, 2018
	Carrying Value		Fair Value⁽¹⁾
Term Loan Payable due January 30, 2022	$	392,269	$	397,993


(1)	Ciena's term loan is categorized as Level 2 in the fair value hierarchy. Ciena estimated the fair value of its 2022 Term Loan using a market approach based upon observable inputs, such as current market transactions involving comparable securities.

Schedule of Debt Details

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 January 31, 2018 (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 (Original)	$	61,270	$	—		$	(145	)	$	61,125	$	—
3.75% Convertible Senior Notes, due October 15, 2018 (New)	$	288,730	$	(423	)	$	(680	)	$	287,627	$	—
4.0% Convertible Senior Notes due December 15, 2020 ⁽¹⁾	$	205,906	$	(8,692	)	$	(881	)	$	196,333	$	43,131


(1)	Includes accretion of principal at a rate of 1.85% per year

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 January 31, 2018 (in thousands):




	Principal Balance		Unamortized Debt Discount			Deferred Debt Issuance Costs			Net Carrying Value
Term Loan Payable due January 30, 2022	$	397,000	$	(1,808	)	$	(2,923	)	$392,269