Cash, Cash Equivalents And Short-Term Investments

6 Months Ended

Jun. 30, 2011

Cash, Cash Equivalents And Short-Term Investments

Cash, Cash Equivalents And Short-Term Investments

Note 2 — Cash, cash equivalents and short-term investments

Cash equivalents consist of highly liquid fixed-income investments with original maturities of three months or less at the time of purchase, including money market funds. Short-term investments consist of readily marketable securities with a remaining maturity of more than three months from time of purchase. We classify all of our cash equivalents and short-term investments as "available for sale," as these investments are free of trading restrictions. These marketable securities are carried at fair value, with the unrealized gains and losses, net of tax, reported as accumulated other comprehensive income and included as a separate component of stockholders' equity. Gains and losses are recognized when realized. When the Company determines that an other-than-temporary decline in fair value has occurred, the amount of the decline that is related to a credit loss is recognized in earnings. Gains and losses are determined using the specific identification method. We had no realized gains or losses in the three and six months ended June 30, 2011 and 2010.

Cash and cash equivalents and short-term investments consisted of the following as of June 30, 2011 (in thousands):

	Amortized Cost		Unrealized Gains		Unrealized Losses			Estimated Fair Value
Cash	$	23,605	$	—	$	—		$	23,605
Cash equivalents:
Money market mutual funds		5,466		—		—			5,466
Municipal securities		2,300		—		—			2,300
Total cash equivalents		7,766		—		—			7,766
Total cash and cash equivalents		31,371		—		—			31,371
Short-term investments:
Certificate of deposit		750		—		—			750
Municipal securities		29,309		7		(19	)		29,297
Commercial paper		7,185		5		—			7,190
Corporate bonds		4,828		3		(2	)		4,829
Total short-term investments		42,072		15		(21	)		42,066
Cash, cash equivalents and short-term investments	$	73,443	$	15	$	(21	)	$	73,437

The following table summarizes the cost and estimated fair value of short-term fixed income securities classified as short-term investments based on stated maturities as of June 30, 2011:

	Amortized Cost		Estimated Fair Value
Less than 1 year	$	21,955	$	21,953
Due in 1 to 3 years		20,117		20,113
Total	$	42,072	$	42,066

As of June 30, 2011, we did not consider any of our investments to be other-than-temporarily impaired.