Note 6 - Marketable Securities

9 Months Ended

Sep. 30, 2019

Notes to Financial Statements

Investment [Text Block]

Note 6 – Marketable Securities

The Company invests in short-term and long-term agency, municipal, corporate and other debt securities. The securities are categorized as held-to-maturity and are recorded at amortized cost. Categorization as held-to-maturity is based on the Company’s ability and intent to hold these securities to maturity. The following table summarizes information regarding the Company’s short-term and long-term marketable securities as of September 30, 2019 and December 31, 2018:

	September 30, 2019
(in thousands)	Cost		Unrealized Gains		Unrealized Losses			Fair Value
U.S. municipal securities	$	5,612	$	11	$	(3	)	$	5,620
Corporate debt securities		16,503		100		(1	)		16,602
U.S. government agency securities		8,340		1		(10	)		8,331
Certificates of deposit/time deposits		1,479		22		(1	)		1,500
Commercial paper		1,491		-		(1	)		1,490
Total marketable securities	$	33,425	$	134	$	(16	)	$	33,543

	December 31, 2018
(in thousands)	Cost		Unrealized Gains		Unrealized Losses			Fair Value
U.S. municipal securities	$	17,509	$	1	$	(33	)	$	17,477
Corporate debt securities		31,769		-		(96	)		31,673
U.S. government agency securities		16,843		-		(88	)		16,755
Certificates of deposit/time deposits		4,208		-		(25	)		4,183
Total marketable securities	$	70,329	$	1	$	(242	)	$	70,088

Fair values for the corporate debt securities are primarily determined based on quoted market prices (Level 1). Fair values for the U.S. municipal securities, U.S. government agency securities, certificates of deposit and U.S. treasury securities are primarily determined using dealer quotes or quoted market prices for similar securities (Level 2).

The Company tests for other-than-temporary losses on a quarterly basis and has considered the unrealized losses indicated above to be temporary in nature. In reaching this conclusion, the Company considered the credit quality of the issuers of the debt securities as well as the Company’s intent to hold the investments to maturity and recover the full principal.

Classification of marketable securities as current or non-current is based upon the security’s maturity date as of the date of these financial statements.

The September 30, 2019 balance of held-to-maturity debt securities by contractual maturity is shown in the following table at amortized cost. Actual maturities may differ from contractual maturities because the issuers of the securities may have the right to prepay obligations without prepayment penalties.

	September 30,
(in thousands)	2019
Due in one year or less	$	23,642
Due after one year through five years		9,783
Total marketable securities	$	33,425