Investments in Marketable Securities

9 Months Ended

Mar. 30, 2013

Investments In Marketable Securities [Abstract]

INVESTMENTS IN MARKETABLE SECURITIES

15. INVESTMENTS IN MARKETABLE SECURITIES

The Company’s policy is to invest in instruments with investment grade credit ratings. The Company classifies its short-term investments as “available-for-sale” securities and the Company bases the cost of securities sold using the specific identification method. The Company accounts for unrealized gains and losses on its available-for-sale securities as a separate component of shareholders’ equity in the consolidated balance sheets in the period in which the gain or loss occurs. The Company classifies its available-for-sale securities as current or noncurrent based on each security’s attributes. At March 30, 2013, a summary of investments by major security type is as follows:

	As of March 30, 2013
(in thousands)	Amortized Cost		Unrealized Gains		Unrealized Losses			Net Unrealized Gains (Losses)		Fair Market Value
Available-for-Sale Securities
Time deposits	$	12,916	$	—	$	—		$	—	$	12,916
US Treasury securities		373		1		—			1		374
National government and agency securities		5,184		136		—			136		5,320
State and municipal bond obligations		3,175		19		(1	)		18		3,193
Corporate bonds and notes		50,780		414		(69	)		345		51,125
Asset backed securities		10,805		42		(15	)		27		10,832
Mortgage backed securities		8,203		78		(43	)		35		8,238
Total	$	91,436	$	690	$	(128	)	$	562	$	91,998

At June 30, 2012 a summary of investments by major security type is as follows:

	As of June 30, 2012
(in thousands)	Amortized Cost		Unrealized Gains		Unrealized Losses			Net Unrealized Gains (Losses)			Fair Value
Available-for-Sale Securities
Time deposits	$	10,344	$	—	$	—		$	—		$	10,344
US Treasury securities		3,639		—		(5	)		(5	)		3,634
National government and agency securities		6,582		167		—			167			6,749
State and municipal bond obligations		1,772		1		(1	)		—			1,772
Corporate bonds and notes		61,374		461		(197	)		264			61,638
Asset backed securities		10,148		19		(86	)		(67	)		10,081
Mortgage backed securities		9,313		98		(77	)		21			9,334
Total	$	103,172	$	746	$	(366	)	$	380		$	103,552

The above investments are included in short-term and long-term investments in marketable securities on the Company’s condensed consolidated balance sheets.

The following tables show the unrealized losses and fair market values of the Company’s investments that have unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, at March 30, 2013 and June 30, 2012:

	Continuous Unrealized Losses at March 30, 2013
	Less Than 12 Months					12 Months or Longer						Total
(In thousands)	Fair Market Value		Unrealized Losses			Fair Market Value			Unrealized Losses			Fair Market Value			Unrealized Losses
National government and agency securities	$	141		$	—		$	—		$	—		$	141		$	—
State and municipal bond obligations		1,186			1			—			—			1,186			1
Corporate bonds and notes		7,782			22			2,338			47			10,120			69
Asset backed securities		4,578			8			730			7			5,308			15
Mortgage backed securities		2,190			6			228			37			2,418			43
	$	15,877		$	37		$	3,296		$	91		$	19,173		$	128
	Continuous Unrealized Losses at June 30, 2012
	Less Than 12 Months						12 Months or Longer						Total
(in thousands)	Fair Value			Unrealized Losses			Fair Value			Unrealized Losses			Fair Value			Unrealized Losses
US Treasury securities	$	3,434		$	5		$	—		$	—		$	3,434		$	5
National government and agency securities		327			—			—			—			327			—
State and municipal bond obligations		1,033			1			—			—			1,033			1
Corporate bonds and notes		12,117			85			3,782			112			15,899			197
Asset backed securities		1,784			15			1,595			71			3,379			86
Mortgage backed securities		659			—			403			77			1,062			77
	$	19,354		$	106		$	5,780		$	260		$	25,134		$	366

The unrealized losses are of a temporary nature due to the Company’s intent and ability to hold the investments until maturity or until the cost is recoverable. The unrealized losses are primarily due to fluctuations in market interest rates. The Company reports unrealized gains and losses on its “available-for-sale” securities in accumulated other comprehensive income in shareholders’ equity.

The Company records gains or losses realized on sales of available-for-sale securities in interest and other income, net on its condensed consolidated statements of operations. The cost of securities sold is based on the specific identification of the security and its amortized cost. For the nine months ended March 30, 2013 and March 31, 2012, proceeds from sales and maturities of available-for-sale securities were $89.1 million and $76.7 million, respectively, and realized gains were $852,000 and $556,000, respectively.

The following table lists the fair market value of the Company’s short- and long-term investments by length of time to maturity as of March 30, 2013. Securities with maturities over multiple dates are mortgage-backed (“MBS”) or asset-backed securities (“ABS”) featuring periodic principle paydowns through 2052.

(in thousands)	March 30, 2013
Contractual Maturities
Less than 12 months	$	8,600
One to three years		30,464
Over three years		43,889
Multiple dates		9,045
Total	$	91,998