Quarterly report pursuant to Section 13 or 15(d)

Cash, Cash Equivalents, and Short-Term Investments

v3.7.0.1
Cash, Cash Equivalents, and Short-Term Investments
6 Months Ended
Jun. 30, 2017
Investments, Debt and Equity Securities [Abstract]  
Cash, Cash Equivalents, and Short-Term Investments
Cash, Cash Equivalents, and Short-Term Investments
The Company has invested its excess cash in highly liquid marketable securities such as corporate debt instruments, U.S. government agency securities and asset-backed securities. Investments with maturities greater than one year are classified as current because management considers all investments to be available for current operations.

The Company's investments are designed to provide liquidity, preserve capital and maximize total return on invested assets with a focus on high credit-quality securities.

The Company's investments have been classified and accounted for as available-for-sale. Such investments are recorded at fair value and unrealized holding gains and losses are reported as a separate component of accumulated other comprehensive income (loss) in the stockholders' equity until realized. Realized gains and losses on sales of investments, if any, are determined on the specific identification method and are reclassified from accumulated other comprehensive income (loss) to results of operations as other income (expense).

The Company, to date, has not determined that any of the unrealized losses on its investments are considered to be other-than-temporary. The Company reviews its investment portfolio to determine if any security is other-than-temporarily impaired, which would require the Company to record an impairment charge in the period any such determination is made. In making this judgment, the Company evaluates, among other things: the duration and extent to which the fair value of a security is less than its cost; the financial condition of the issuer and any changes thereto; and the Company's intent and ability to hold its investment for a period of time sufficient to allow for any anticipated recovery in market value, or whether the Company will more likely than not be required to sell the security before recovery of its aggregated cost basis. The Company has evaluated its investments as of June 30, 2017 and has determined that no investments with unrealized losses are other-than-temporarily impaired. No investments have been in a continuous loss position greater than one year.     

Cash, cash equivalents and short-term investments consisted of the following (in thousands):

 
June 30, 2017
 
December 31, 2016
Cash and cash equivalents:
 
 
 
Cash
$
80,303

 
$
213,551

Short-term investments:
 
 
 
U.S. investment grade bonds

 
24,477

Foreign investment grade bonds

 
9,542

Total short-term investments

 
34,019

Total cash, cash equivalents and short-term investments
$
80,303

 
$
247,570



Short-term investments by investment type are as follows (in thousands):
  
 
June 30, 2017
 
December 31, 2016
 
Aggregated Cost Basis
 
Gross Unrealized Gains
 
Gross Unrealized Losses
 
Aggregated Fair Value
 
Aggregated Cost Basis
 
Gross Unrealized Gains
 
Gross Unrealized Losses
 
Aggregated Fair Value
U.S. investment grade bonds

 

 

 

 
24,531

 

 
(54
)
 
24,477

Foreign investment grade bonds

 

 

 

 
9,567

 

 
(25
)
 
9,542

Total short-term investments
$

 
$

 
$

 
$

 
$
34,098

 
$

 
$
(79
)
 
$
34,019



Short-term investments by contractual maturity are as follows (in thousands):

 
June 30, 2017
 
December 31, 2016
 
Investments
 
Investments
Due in one year or less
$

 
$
21,655

Due after one year through five years

 
12,364

Total short-term investment
$

 
$
34,019



See Note 16 to these Condensed Consolidated Financial Statements for additional discussion regarding the fair value of the Company's short-term investments.