INVESTMENTS

9 Months Ended

Apr. 30, 2014

INVESTMENTS

INVESTMENTS

3. INVESTMENTS

        Investments in debt and equity securities held by our insurance subsidiaries are reported as other assets in the accompanying consolidated balance sheets. Investments are recorded at fair value based on quoted market prices for identical or similar securities. All investments are classified as available-for-sale.

        Our investments consist of the following (in thousands):

	April 30, 2014				April 30, 2013
	Cost		Fair Value		Cost		Fair Value
U.S. Treasury securities	$	9,257	$	9,941	$	18,145	$	19,572
U.S. government agency securities		1,975		2,044		2,632		2,800
Corporate bonds and notes		6,722		6,841		773		866
Corporate equity securities		1,701		2,486		3,501		4,700
	$	19,655	$	21,312	$	25,051	$	27,938

        At April 30, 2014 and 2013, the carrying value of investments included a net unrealized gain of $1.7 million and $2.9 million, respectively, which is included in accumulated other comprehensive income. Realized gains and losses on investments are determined on the specific identification basis. There were no material net realized gains or losses during the three and nine months ended April 30, 2014 and 2013. Investments with a carrying value of $7.4 million were on deposit with various state insurance departments at April 30, 2014 and 2013, respectively, as required by law.

        Debt securities outstanding as of April 30, 2014 mature as follows (in thousands):

	Cost		Fair Value
Less than one year	$	6,155	$	6,191
Year two through year five		5,193		5,482
Year six through year ten		6,448		6,959
After ten years		158		194
	$	17,954	$	18,826