Fair Value Disclosure

12 Months Ended

Jun. 30, 2012

Fair Value Disclosures [Abstract]

Fair Value Disclosure

Fair Value Disclosure

The financial assets of the Company measured at fair value on a recurring basis are included in cash equivalents and long-term investments. The Company’s money market funds are classified within Level 1 of the fair value hierarchy which is based on quoted market prices for the identical underlying securities in active markets. The Company’s long-term auction rate securities investments are classified within Level 3 of the fair value hierarchy which did not have observable inputs for its auction rate securities as of June 30, 2012 and 2011. Refer to Note 1 of Notes to Consolidated Financial Statements for a discussion of the Company’s policies regarding the fair value hierarchy. The Company’s methodology for valuing these investments is the discounted cash flow model and is described in Note 5 of Notes to Consolidated Financial Statements.

The following table sets forth the Company’s cash equivalents and long-term investments as of June 30, 2012 and 2011 which are measured at fair value on a recurring basis by level within the fair value hierarchy. These are classified based on the lowest level of input that is significant to the fair value measurement, (in thousands):

June 30, 2012	Level 1		Level 2		Level 3		Asset at Fair Value
Money market funds	$	411	$	—	$	—	$	411
Auction rate securities	—		—		2,923		2,923
Total	$	411	$	—	$	2,923	$	3,334
June 30, 2011	Level 1		Level 2		Level 3		Asset at Fair Value
Money market funds	$	4,287	$	—	$	—	$	4,287
Auction rate securities	—		—		5,188		5,188
Total	$	4,287	$	—	$	5,188	$	9,475

The above table excludes $80,415,000 and $65,656,000 of cash and $500,000 and $468,000 of certificates of deposit held by the Company as of June 30, 2012 and 2011, respectively. There were no transfers between Level 1, Level 2 or Level 3 securities in fiscal year 2012 and 2011.

The following table provides a reconciliation of the Company’s financial assets measured at fair value on a recurring basis, consisting of long-term auction rate securities, using significant unobservable inputs (Level 3) for fiscal year 2012 and 2011 (in thousands):

	June 30,
	2012			2011
Balance as of beginning of year	$	5,188		$	6,688
Total realized gains or (losses) included in net income	—			—
Total unrealized gains or (losses) included in other comprehensive income	210			—
Sales and settlements at par	(2,475		)	(1,500		)
Transfers in and/or out of Level 3	—			—
Balance as of end of year	$	2,923		$	5,188

The Company's short-term certificates of deposit as of June 30, 2012 and 2011 were $59,000 and are grouped in prepaid expense and other assets.

The following is a summary of the Company’s long-term investments as of June 30, 2012 and 2011 (in thousands):

	June 30, 2012
	Amortized Cost		Gross Unrealized Holding Gains		Gross Unrealized Holding Losses			Fair Value
Auction rate securities	$	3,050	$	—	$	(127	)	$	2,923
	June 30, 2011
	Amortized Cost		Gross Unrealized Holding Gains		Gross Unrealized Holding Losses			Fair Value
Auction rate securities	$	5,525	$	—	$	(337	)	$	5,188

The Company measures the fair value of outstanding debts for disclosure purposes on a recurring basis. As of June 30, 2012, short-term debt of $10,562,000 is reported at amortized cost. As of June 30, 2012 and 2011, long-term debt of $22,195,000 and $28,151,000, respectively, are reported at amortized cost. These outstanding debts are classified at Level 2 as they are not actively traded and are valued using a discounted cash flow model that uses observable market inputs. Based on the discounted cash flow model, the fair value of the outstanding debts approximates amortized cost.