Fair Value Measurements

12 Months Ended

Dec. 31, 2015

3. Fair Value Measurements

The tables below present information about the Company's assets that are measured at fair value on a recurring basis at December 31, 2015 and December 31, 2014, and indicate the fair value hierarchy of the valuation techniques the Company utilized to determine such fair value, which is described further within Note 2, Summary of Significant Accounting Policies.

Financial assets measured at fair value on a recurring basis at December 31, 2015 and December 31, 2014 are summarized as follows (in thousands):

Description	Balance as of December 31, 2015		Quoted Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Other Unobservable Inputs (Level 3)
Assets:
Cash equivalents:
Money market funds and overnight repurchase agreements	$	54,077	$	30,077	$	24,000	$	—
Marketable securities:
U.S. government-sponsored enterprise securities		24,290		—		24,290		—
Corporate debt securities		73,651		—		73,651		—
Commercial paper obligations		125,805		—		125,805		—
Asset-backed securities		64,837		—		64,837		—

Total	$	342,660	$	30,077	$	312,583	$	—

Description	Balance as of December 31, 2014		Quoted Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Other Unobservable Inputs (Level 3)
Assets:
Cash equivalents:
Money market funds	$	55,283	$	55,283	$	—	$	—
Corporate debt securities		980		—		980		—
Marketable securities:
Corporate debt securities		70,668		—		70,668		—
Commercial paper obligations		15,250		—		15,250		—
Foreign government bonds		18,520		—		18,520		—
Asset-backed securities		25,742		—		25,742		—

Total	$	186,443	$	55,283	$	131,160	$	—

As of December 31, 2015, the Company held $24.0 million in overnight repurchase agreements. Overnight purchase agreements yields are comparable to money market funds. Principal and interest on the instruments is due the next day. The instruments are classified as Level 2 due to the collateral including both U.S. government-sponsored enterprise securities and treasury instruments. For the years ended December 31, 2015 and 2014, there were no transfers between Level 1 and Level 2 financial assets. The Company did not have any non-recurring fair value measurements on any assets or liabilities at December 31, 2015 and December 31, 2014.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details