REDEMPTION SETTLEMENT ASSETS

12 Months Ended

Dec. 31, 2019

REDEMPTION SETTLEMENT ASSETS

REDEMPTION SETTLEMENT ASSETS

10. REDEMPTION SETTLEMENT ASSETS

Redemption settlement assets consist of restricted cash and securities available-for-sale and are designated for settling redemptions by collectors of the AIR MILES Reward Program in Canada under certain contractual relationships with sponsors of the AIR MILES Reward Program. The principal components of redemption settlement assets, which are carried at fair value, are as follows:

	December 31, 2019								December 31, 2018
		Amortized	Unrealized		Unrealized					Amortized	Unrealized		Unrealized
	Cost		Gains		Losses		Fair Value		Cost		Gains		Losses		Fair Value
	(in millions)
Restricted cash	$	39.3	$	—	$	—	$	39.3	$	43.9	$	—	$	—	$	43.9
Mutual funds		25.1		—		—		25.1		23.2		—		—		23.2
Corporate bonds		536.0		2.4		(2.0)		536.4		497.5		0.1		(6.1)		491.5
Total	$	600.4	$	2.4	$	(2.0)	$	600.8	$	564.6	$	0.1	$	(6.1)	$	558.6

The following tables show the unrealized losses and fair value for those investments that were in an unrealized loss position as of December 31, 2019 and 2018, respectively, aggregated by investment category and the length of time that individual securities have been in a continuous loss position:

	December 31, 2019
	Less than 12 months				12 Months or Greater				Total
			Unrealized				Unrealized				Unrealized
	Fair Value		Losses		Fair Value		Losses		Fair Value		Losses
	(in millions)
Corporate bonds	$	166.6	$	(1.3)	$	155.1	$	(0.7)	$	321.7	$	(2.0)
Total	$	166.6	$	(1.3)	$	155.1	$	(0.7)	$	321.7	$	(2.0)

	December 31, 2018
	Less than 12 months				12 Months or Greater				Total
			Unrealized				Unrealized				Unrealized
	Fair Value		Losses		Fair Value		Losses		Fair Value		Losses
	(in millions)
Corporate bonds	$	31.2	$	(0.1)	$	414.4	$	(6.0)	$	445.6	$	(6.1)
Total	$	31.2	$	(0.1)	$	414.4	$	(6.0)	$	445.6	$	(6.1)

The amortized cost and estimated fair value of the securities at December 31, 2019 by contractual maturity are as follows:

	Amortized		Estimated
	Cost		Fair Value
	(in millions)
Due in one year or less	$	129.5	$	129.4
Due after one year through five years		427.8		428.2
Due after five year through ten years		3.8		3.9
Total	$	561.1	$	561.5

Market values were determined for each individual security in the investment portfolio. When evaluating the investments for other-than-temporary impairment, the Company reviews factors such as the length of time and extent to which fair value has been below cost basis, the financial condition of the security’s issuer, and the Company’s intent to sell the security and whether it is more likely than not that the Company will be required to sell the security before recovery of its amortized cost basis. The Company typically invests in highly-rated securities with low probabilities of default and has the intent and ability to hold the investments until maturity. As of December 31, 2019, the Company does not consider the investments to be other-than-temporarily impaired.

For the years ended December 31, 2019, 2018, and 2017, realized gains and losses from the sale of investment securities were de minimis.