Cash Equivalents and Investments

6 Months Ended

Jun. 30, 2021

Cash Equivalents and Investments [Abstract]

Note 3. Cash Equivalents and Investments

Investments in Available-for-Sale Debt Securities

The following table summarizes the Company's unrealized gains and losses and fair value of investments designated as available-for-sale debt securities as of June 30, 2021 and December 31, 2020 (in millions):


	As of June 30, 2021								As of December 31, 2020
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value		Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
Fixed income securities:
Asset-backed securities	$	90.8	$	0.1	$	(0.1)	$	90.8	$	76.5	$	0.2	$	—	$	76.7
Certificates of deposit	15.3		—		—		15.3		32.9		—		—		32.9
Commercial paper	78.2		—		—		78.2		89.3		—		—		89.3
Corporate debt securities	482.8		2.8		(0.2)		485.4		632.0		5.5		(0.1)		637.4
Foreign government debt securities	7.6		—		—		7.6		4.6		—		—		4.6
Time deposits	64.2		—		—		64.2		255.6		—		—		255.6
U.S. government agency securities	26.6		0.1		—		26.7		65.3		0.2		—		65.5
U.S. government securities	146.6		0.4		—		147.0		232.8		1.0		—		233.8
Total fixed income securities	912.1		3.4		(0.3)		915.2		1,389.0		6.9		(0.1)		1,395.8
Privately-held debt and redeemable preferred stock securities	21.2		39.9		—		61.1		18.3		37.4		—		55.7
Total available-for-sale debt securities	$	933.3	$	43.3	$	(0.3)	$	976.3	$	1,407.3	$	44.3	$	(0.1)	$	1,451.5

Reported as:
Cash equivalents	$	93.7	$	—	$	—	$	93.7	$	333.7	$	—	$	—	$	333.7
Short-term investments	327.2		1.1		—		328.3		404.3		1.2		—		405.5
Long-term investments	491.2		2.3		(0.3)		493.2		651.0		5.7		(0.1)		656.6
Other long-term assets	21.2		39.9		—		61.1		18.3		37.4		—		55.7
Total	$	933.3	$	43.3	$	(0.3)	$	976.3	$	1,407.3	$	44.3	$	(0.1)	$	1,451.5

The following table presents the contractual maturities of the Company's total fixed income securities as of June 30, 2021 (in millions):


	Amortized Cost		Estimated Fair Value
Due in less than one year	$	420.9	$	422.0
Due between one and five years	491.2		493.2
Total	$	912.1	$	915.2

For available-for-sale debt securities that have unrealized losses, the Company assesses impairment by evaluating various factors, including whether (i) it has the intention to sell any of these investments and (ii) whether it is more likely than not that it will be required to sell any of these investments before recovery of the entire amortized cost basis. The Company periodically assesses performance indicators of the investment by evaluating various factors such as (i) changes in the credit ratings and (ii) review of the issuer. As of June 30, 2021, the Company's unrealized loss of $0.3 million resulted from 147 investments that

were in an unrealized loss position for less than 12 months. The gross unrealized losses related to these investments were primarily due to changes in market interest rates. The Company anticipates that it will recover the entire amortized cost basis of such available-for-sale debt securities and has determined that no allowance for credit losses was required to be recognized during the three and six months ended June 30, 2021 and June 30, 2020.

During the three and six months ended June 30, 2021 and June 30, 2020, there were no material gross realized gains or losses from available-for-sale debt securities.

Investments in Equity Securities

The following table presents the Company's investments in equity securities as of June 30, 2021 and December 31, 2020 (in millions):


	As of
	June 30, 2021		December 31, 2020
Equity investments with readily determinable fair value:
Money market funds	$	387.1	$	536.6
Mutual funds	31.9		29.3
Publicly-traded equity securities	7.2		6.6
Equity investments without readily determinable fair value:	145.1		146.2
Total equity securities	$	571.3	$	718.7

Reported as:
Cash equivalents	$	370.3	$	519.8
Short-term investments	7.2		6.6
Prepaid expenses and other current assets	10.4		9.9
Other long-term assets	183.4		182.4
Total	$	571.3	$	718.7

For the three and six months ended June 30, 2021 and June 30, 2020, there were no material unrealized gains or losses recognized for equity investments.

Restricted Cash and Investments

The Company has restricted cash and investments for: (i) amounts held in escrow accounts, as required in connection with certain acquisitions completed primarily in 2020 and 2021; (ii) amounts held under the Company's short-term disability plan in California; and (iii) amounts under the Company's non-qualified deferred compensation plan for senior-level employees. Restricted investments consist of equity investments. As of June 30, 2021, the carrying value of restricted cash and investments was $71.3 million, of which $29.4 million was included in prepaid expenses and other current assets, and $41.9 million was included in other long-term assets on the Condensed Consolidated Balance Sheet.

The following table provides a reconciliation of cash, cash equivalents, and restricted cash included in the Condensed Consolidated Balance Sheets as of June 30, 2021 and December 31, 2020 (in millions):


	As of
	June 30, 2021		December 31, 2020
Cash and cash equivalents	$	986.7	$	1,361.9
Restricted cash included in Prepaid expenses and other current assets	19.0		19.2
Restricted cash included in Other long-term assets	3.7		1.9
Total cash, cash equivalents, and restricted cash	$	1,009.4	$	1,383.0