Cash, Cash Equivalents and Available-for-sale Securities

12 Months Ended

Dec. 31, 2015

Cash, Cash Equivalents and Available-for-sale Securities

Cash, Cash Equivalents and Available-for-sale Securities

4. Cash, Cash Equivalents and Available-for-sale Securities

All highly liquid investments with maturities of three months or less at the date of purchase are classified as cash equivalents. As of December 31, 2015 and December 31, 2014, the amount of cash and cash equivalents was $61.7 million and $146.5 million, respectively and consists of checking accounts and short-term money market mutual funds held at U.S. commercial banks. Our bank balances were in excess of the FDIC insurance limit.

The Company’s available-for-sale securities as of December 31, 2015 and December 31, 2014 consist of $50.1 million and $49.9 million, respectively, in U.S. Treasury securities with maturities of less than one year and U.S. government sponsored entity securities, and have been classified and accounted for as available-for-sale. Management determines the appropriate classification of its investments at the time of purchase and reevaluates the available-for-sale designations as of each balance sheet date. As of December 31, 2015 and 2014, there were no unrealized losses on available-for-sale securities.