Fair Value Measurements (Tables)

3 Months Ended

Sep. 26, 2015

Fair Value Measurements of Assets and Liabilities

The following table shows the fair value measurements of the Company’s financial assets and liabilities at September 26, 2015 and June 27, 2015 (in millions):



	Level 1				Level 2				Level 3
	September 26, 2015		June 27, 2015		September 26, 2015		June 27, 2015		September 26, 2015		June 27, 2015
Assets:
Cash equivalents⁽¹⁾	$	266.9	$	485.0	$	2.0	$	14.7	$	—	$	—
Short-term investments:
Commercial paper⁽²⁾	—		—		23.4		—		—		—
Government securities - U.S.⁽²⁾	62.1		42.8		1.7		—		—		—
Corporate debt securities - U.S.⁽²⁾	—		—		123.1		110.0		—		—
Corporate debt securities - non U.S.⁽²⁾	—		—		99.5		74.6		—		—
Long-term investments:
Government securities - U.S.⁽³⁾	9.3		9.3		—		—		—		—
Corporate debt securities - U.S.⁽³⁾	—		—		56.4		42.6		—		—
Corporate debt securities - non U.S.⁽³⁾	—		—		43.1		33.9		—		—
Derivative Assets:
Inventory-related instruments⁽⁴⁾	—		—		0.9		3.3		—		—
Intercompany loan hedges⁽⁴⁾	—		—		0.1		0.1		—		—
Liabilities:
Contingent earnout obligation⁽⁵⁾	$	—	$	—	$	—	$	—	$	21.6	$	19.4
Derivative liabilities:
Inventory-related instruments⁽⁴⁾	—		—		0.6		0.2		—		—


⁽¹⁾	Cash equivalents consist of money market funds and time deposits with maturities of three months or less at the date of purchase. Due to their short term maturity, management believes that their carrying value approximates fair value.


⁽²⁾	Short-term available-for-sale investments are recorded at fair value, which approximates their carrying value, and are primarily based upon quoted vendor or broker priced securities in active markets. Short-term held to maturity investments are recorded at amortized cost, which approximates fair value.


⁽³⁾	Fair value is primarily determined using vendor or broker priced securities in active markets. These securities have maturity dates between calendar years 2015 and 2017.


⁽⁴⁾	The fair value of these hedges is primarily based on the forward curves of the specific indices upon which settlement is based and includes an adjustment for the counterparty’s or Company’s credit risk.


⁽⁵⁾	Refer to Note 5, "Acquisitions," for further information.

Summary of Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block]

The following table presents a reconciliation of the liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the three months ended September 26, 2015 and June 27, 2015. Level 3 liabilities consisted of the contingent earnout obligation related to the Stuart Weitzman acquisition.



	September 26, 2015		June 27, 2015
	(millions)
Balance, beginning of period	$	19.4	$	—
Contingent earnout obligation recorded in purchase accounting	—		17.8
Increase to contingent earnout obligation	2.2		1.6
Balance, end of period	$	21.6	$	19.4