Investments

9 Months Ended

Sep. 30, 2023

Investments

Investments

16. Investments

The fair values of the Company’s investments are based upon prices provided by an independent pricing service provider. Management has assessed and concluded that these prices are reasonable and has not adjusted any prices received from the independent pricing service provider.

The amortized cost, gross unrealized gains and losses, fair value of those investments classified as available-for-sale, and allowance for credit losses at September 30, 2023 are summarized as follows (in thousands):

	September 30, 2023
	Amortized		Gross		Gross		Fair		Allowance for
	Cost		Unrealized Gains		Unrealized Losses		Value		Credit Losses
Corporate bonds	$	128,111	$	—	$	—	$	128,111		—
U.S. Treasuries		260,657		—		—		260,657		—
Total	$	388,768	$	—	$	—	$	388,768	$	—

The amortized cost, gross unrealized gains and losses, fair value of those investments classified as available-for-sale, and allowance for credit losses at December 31, 2022 are summarized as follows (in thousands):

	December 31, 2022
	Amortized		Gross		Gross		Fair		Allowance for
	Cost		Unrealized Gains		Unrealized Losses		Value		Credit Losses
Corporate bonds	$	200,735	$	7	$	(7,109)	$	193,633		—
U.S. Treasuries		1,154,879		111		(15,680)		1,139,310		—
Total	$	1,355,614	$	118	$	(22,789)	$	1,332,943	$	—

We regularly review available-for-sale securities for declines in fair values that we determine to be credit related. In order to determine whether an allowance for credit losses was required, we considered factors such as whether amounts related to securities have become uncollectible, whether we intend to sell a security, and whether it is more likely than not that we will be required to sell a security prior to recovery. The Company also reviewed the declines in fair value related to our available-for-sale securities and determined that these declines were due to fluctuations in interest rates. As of September 30, 2023, the Company did not have an allowance for credit losses related to available-for-sale securities.

Additionally we regularly review whether available-for-sale securities are other-than-temporarily impaired (“OTTI”). Available-for-sale securities with unrealized losses are considered OTTI if the Company intends to sell the

security or if the Company will be required to sell the security prior to any anticipated recovery. If the Company determines that a security is OTTI under these circumstances, the impairment recognized in earnings is measured as the difference between the amortized cost and the current fair value. The Company recorded an other-than-temporary impairment of $10.8 million for available-for-sale debt securities in an unrealized loss position due to a change in the Company’s ability and intent to retain these investments for a period of time sufficient to allow for any anticipated recovery in the fair value. The Company no longer has available-for-sale securities that are in a loss position as of September 30, 2023.

The cost, gross unrealized gains and losses, and fair value of those investments classified as equity securities at September 30, 2023 are summarized as follows (in thousands):

	September 30, 2023
			Gross		Gross		Fair
	Cost		Unrealized Gains		Unrealized Losses		Value
Fixed income mutual funds	$	70,257	$	—	$	(2,434)	$	67,823
Total	$	70,257	$	—	$	(2,434)	$	67,823

The cost, gross unrealized gains and losses, and fair value of those investments classified as equity securities at December 31, 2022 are summarized as follows (in thousands):

	December 31, 2022
			Gross		Gross		Fair
	Cost		Unrealized Gains		Unrealized Losses		Value
Fixed income mutual funds	$	70,257	$	—	$	(2,620)	$	67,637
Exchange traded mutual funds		75,999		—		(8,800)		67,199
Total	$	146,256	$	—	$	(11,420)	$	134,836

A summary of the amortized cost and fair value of investments classified as available-for-sale, by contractual maturity, as of September 30, 2023 and December 31, 2022 was as follows (in thousands):

	September 30, 2023				December 31, 2022
	Amortized		Fair		Amortized		Fair
Maturity:	Cost		Value		Cost		Value
Less than 12 months	$	281,748	$	281,748	$	1,045,120	$	1,039,333
12 months or greater		107,020		107,020		310,494		293,610
Total	$	388,768	$	388,768	$	1,355,614	$	1,332,943

Accrued interest income was $2.1 million and $3.0 million at September 30, 2023 and December 31, 2022, respectively, and included within the balance for prepaid expenses and other current assets in the unaudited interim condensed consolidated balance sheets.

Equity Method Investments

As of September 30, 2023 and December 31, 2022, the Company accounted for the following investments in the investee’s common stock under the equity method, which are included in the investments in non-consolidated entities and non-marketable equity securities on the interim unaudited condensed consolidated balance sheets (amounts in thousands):

		As of September 30, 2023			As of December 31, 2022
	Formation	Common Stock	Carrying		Common Stock	Carrying
Investee	Date	Ownership %	Value		Ownership %	Value
HyVia	Q2 2021	50%	$	14,876	50%	$	11,281
AccionaPlug S.L.	Q4 2021	50%		3,821	50%		2,225
SK Plug Hyverse	Q1 2022	49%		42,559	49%		8,937
			$	61,256		$	22,443