Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2013

Fair value measurement of financial assets and liabilities on recurring basis

	As of June 30, 2013
	(In thousands)
	As reflected on the balance sheet		Level 1		Level 2		Level 3		Total
Assets:
Money market	$	24,029	$	24,029	$	—	$	—	$	24,029
Corporate and financial institutions debt	299,863		—		299,863		—		$	299,863
Auction rate securities	5,451		—		—		5,451		$	5,451
Asset-backed securities	6,945		—		6,945		—		$	6,945
Municipal bonds	61,693		—		61,693		—		$	61,693
U.S. government agencies	76,189		—		76,189		—		$	76,189
U.S. treasury bills	49,224		49,224		—		—		$	49,224
Total	$	523,394	$	73,253	$	444,690	$	5,451	$	523,394

Liabilities:
Liability for contingent consideration, current and non-current	$	155,115	$	—	$	—	$	155,115	$	155,115
Convertible senior notes due 2016 (face value $230,000)	180,700		—		520,456		—		520,456
Total	$	335,815	$	—	$	520,456	$	155,115	$	675,571

	As of December 31, 2012
	(In thousands)
	As reflected on the balance sheet		Level 1		Level 2		Level 3		Total
Assets:
Money market	$	19,297	$	19,297	$	—	$	—	$	19,297
Corporate and financial institutions debt	229,053		—		229,053		—		229,053
Auction rate securities	8,323		—		—		8,323		8,323
U.S. government agencies	88,514		—		88,514		—		88,514
U.S. treasury bills	29,222		29,222		—		—		29,222
Total	$	374,409	$	48,519	$	317,567	$	8,323	$	374,409

Liabilities:
Liability for contingent consideration, current and non-current	$	149,163	$	—	$	—	$	149,163	$	149,163
Convertible senior notes due 2016 (face value $230,000)	174,404		—		468,533		—		468,533
Total	$	323,567	$	—	$	468,533	$	149,163	$	617,696

Summary of changes in fair value of the auction rate securities

	Auction Rate Securities					Auction Rate Securities
	Three Months Ended June 30,					Six Months Ended June 30,
	2013			2012		2013			2012
	(In thousands)
Fair value at beginning of period	$	8,178		$	22,384	$	8,323		$	22,102
Redemptions	(2,700		)	—		(2,900		)	—
Change in valuation	(27		)	565		28			847
Fair value at end of period	$	5,451		$	22,949	$	5,451		$	22,949

Summary of the changes in the fair value of the liability for contingent consideration

	Liability for Contingent Consideration				Liability for Contingent Consideration
	Three Months Ended June 30,				Six Months Ended June 30,
	2013		2012		2013		2012
	(In thousands)
Fair value at beginning of period	$	152,093	$	163,168	$	149,163	$	159,990
Change in valuation	3,022		53,214		5,952		56,392
Fair value at end of period	$	155,115	$	216,382	$	155,115	$	216,382

- Definition

Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset.

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- Definition

Tabular disclosure of the fair value measurement of liabilities using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets), and gains or losses recognized in other comprehensive income (loss) and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs) by class of liability.

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