Cash, Cash Equivalents and Investments

3 Months Ended

Mar. 31, 2020

Cash and Cash Equivalents [Abstract]

Cash, Cash Equivalents and Investments

3. Cash, Cash Equivalents and Investments

The following tables summarize our cash, cash equivalents, and held-to-maturity investments at March 31, 2020 and December 31, 2019 (in thousands):

	As of March 31, 2020
			Gross		Gross				Cash and
	Amortized		Unrealized		Unrealized				Cash		Short-Term		Long-Term
	Cost		Gains		Losses		Fair Value		Equivalents		Investments		Investments
Cash	$	73,560	$	—	$	—	$	73,560	$	73,560	$	—	$	—
Level 1:
Money market funds		3,536		—		—		3,536		3,536		—		—
Agency bonds		40,340		91		(2)		40,429		2,000		12,738		25,602
Treasury bills		17,983		15				17,998		10,995		6,988
Subtotal		61,859		106		(2)		61,963		16,531		19,726		25,602
Level 2:
State and municipal obligations		32,185		34		(27)		32,192		1,991		29,687		507
Certificates of deposit		1,900		—		—		1,900		—		1,400		500
Corporate bonds		145,022		79		(959)		144,142		4,987		119,654		20,381
U.S. Treasury repurchase agreements		49,400		—		—		49,400		49,400		—		—
Treasury inflation-protected securities		3,247		—		(47)		3,200		—		—		3,247
Commercial paper		28,364		—		—		28,364		10,072		18,292		—
Subtotal		260,118		113		(1,033)		259,198		66,450		169,033		24,635
Total	$	395,537	$	219	$	(1,035)	$	394,721	$	156,541	$	188,759	$	50,237

As of March 31, 2020, the balances reflected above were offset by a payable of $13.5 million related to unsettled investment purchases, which was settled in early April. We believe unrealized losses on our investments are due to interest rate fluctuations.

We adopted Topic 326 on January 1, 2020, and applied the credit loss guidance related to held-to-maturity securities prospectively. Because we do not have any history of losses for our held-to-maturity investments, our expected loss allowance methodology for held-to-maturity investments is developed using published or estimated credit default rates for similar investments and current and future economic and market conditions. At both January 1 and March 31, 2020, our credit loss reserve for held-to-maturity investments was approximately $0.1 million. During the three months ended March 31, 2020, we increased the frequency of review for our investment portfolio in order to more closely monitor potential impacts of the COVID-19 pandemic.

	As of December 31, 2019
			Gross		Gross				Cash and
	Amortized		Unrealized		Unrealized				Cash		Short-Term		Long-Term
	Cost		Gains		Losses		Fair Value		Equivalents		Investments		Investments
Cash	$	103,319	$	—	$	—	$	103,319	$	103,319	$	—	$	—
Level 1:
Money market funds		8,845		—		—		8,845		8,845		—		—
Agency bonds		32,869		14		(4)		32,879		—		15,131		17,738
Subtotal		41,714		14		(4)		41,724		8,845		15,131		17,738
Level 2:
State and municipal obligations		25,038		8		—		25,046		—		21,560		3,478
Certificates of deposit		1,400		—		—		1,400		—		1,400		—
Corporate bonds		135,175		71		(30)		135,216		886		113,241		21,048
U.S. Treasury repurchase agreements		57,200		—		—		57,200		57,200		—		—
Treasury inflation-protected securities		3,235		14		—		3,249		—		—		3,235
Commercial paper		29,202		—		—		29,202		2,000		27,202		—
Subtotal		251,250		93		(30)		251,313		60,086		163,403		27,761
Total	$	396,283	$	107	$	(34)	$	396,356	$	172,250	$	178,534	$	45,499