Cash, Cash Equivalents and Short-term Investments

9 Months Ended

Sep. 30, 2012

Cash, Cash Equivalents and Short-term Investments [Abstract]

Cash, Cash Equivalents and Short-term Investments

Note 3 — 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. The Company classifies all of its 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. The Company’s realized gains and losses in the three and nine months ended September 30, 2012 and 2011 were insignificant.

Cash and cash equivalents and short-term investments consisted of the following as of September 30, 2012 and December 31, 2011 (in thousands):

September 30, 2012

	Amortized Cost		Unrealized Gains		Unrealized Losses		Estimated Fair Value
Cash	$	59,845	$	—	$	—	$	59,845
Cash equivalents:
Money market mutual funds		50,432		—		—		50,432
Total cash and cash equivalents	$	110,277		—		—	$	110,277

December 31, 2011

	Amortized Cost		Unrealized Gains		Unrealized Losses			Estimated Fair Value
Cash	$	59,033	$	—	$	—		$	59,033
Cash equivalents:
Money market mutual funds		4,201		—		—			4,201
Commercial paper		2,749		—		—			2,749
Total cash equivalents		6,950		—		—			6,950
Total cash and cash equivalents		65,983		—		—			65,983
Short-term investments:
Certificate of deposit		750		—		(4	)		746
Municipal securities		33,568		30		(6	)		33,592
Commercial paper		3,645		1		(1	)		3,645
Corporate bonds		4,910		3		(14	)		4,899
Total short-term investments		42,873		34		(25	)		42,882
Cash, cash equivalents and short-term investments	$	108,856	$	34	$	(25	)	$	108,865

As of September 30, 2012, the Company did not consider any of its investments to be other-than-temporarily impaired.