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Investments (Tables)

3 Months Ended

Jun. 27, 2020

Investments, Debt and Equity Securities [Abstract]

Investments consisted of the following (in thousands):


	June 27, 2020		March 28, 2020
Available-for-sale debt securities	$	13,975	$	14,774
Marketable equity securities	11,611		9,829
Non-marketable equity investments	21,294		21,536
	$	46,880	$	46,139

The Company's investments in marketable equity securities consist of investments in the common stock of industrial and other companies.

As of June 27, 2020 and March 28, 2020, non-marketable equity investments included contributions of $15.0 million to equity-method investments in community-based initiatives that buy and sell the Company's homes and provide home-only financing to residents of certain manufactured home communities. Other non-marketable equity investments included investments in other distribution operations.

The Company records investments in fixed maturity securities classified as available-for-sale at fair value and records the difference between fair value and cost in Accumulated other comprehensive income.

The following tables summarize the Company's available-for-sale debt securities, gross unrealized gains and losses and fair value, aggregated by investment category (in thousands):


	June 27, 2020
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
Residential mortgage-backed securities	$	4,637	$	65	$	(31)	$	4,671
State and political subdivision debt securities	4,426		155		—		4,581
Corporate debt securities	4,713		24		(14)		4,723
	$	13,776	$	244	$	(45)	$	13,975


	March 28, 2020
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
Residential mortgage-backed securities	$	5,400	$	69	$	(26)	$	5,443
State and political subdivision debt securities	4,239		134		(3)		4,370
Corporate debt securities	5,021		5		(65)		4,961

	$	14,660	$	208	$	(94)	$	14,774

The following tables show gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities had been in a continuous unrealized loss position (in thousands):


	June 27, 2020
	Less than 12 Months						12 Months or Longer						Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
Residential mortgage-backed securities	$	721	$	(11)	$	951	$	(20)	$	1,672	$	(31)
State and political subdivision debt securities	300		—		—		—		300		—
Corporate debt securities	787		(14)		—		—		787		(14)
	$	1,808	$	(25)	$	951	$	(20)	$	2,759	$	(45)


	March 28, 2020
	Less than 12 Months						12 Months or Longer						Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
Residential mortgage-backed securities	$	133	$	—	$	1,779	$	(26)	$	1,912	$	(26)
State and political subdivision debt securities	601		(2)		101		(1)		702		(3)
Corporate debt securities	3,747		(65)		—		—		3,747		(65)
	$	4,481	$	(67)	$	1,880	$	(27)	$	6,361	$	(94)

The Company is not aware of any changes to the securities or issuers that would indicate the losses above are indicative of credit impairment as of June 27, 2020, and the Company does not intend to sell the investments and it is not more likely than not that the Company will be required to sell the investments before recovery of their amortized cost base.

The amortized cost and fair value of the Company's investments in available-for-sale debt securities, by contractual maturity, are shown in the table below (in thousands). Expected maturities differ from contractual maturities as borrowers may have the right to call or prepay obligations, with or without penalties.


	June 27, 2020
	Amortized Cost		Fair Value
Due in less than one year	$	4,414	$	4,431
Due after one year through five years	2,376		2,389
Due after five years through ten years	773		840
Due after ten years	1,576		1,644
Mortgage-backed securities	4,637		4,671
	$	13,776	$	13,975

The Company recognizes investment gains and losses on available-for-sale debt securities when it sells or otherwise disposes of securities using the specific identification method. There were no gross gains or losses realized on the sale of available-for-sale debt securities during the three months ended June 27, 2020 or June 29, 2019.

The Company recognizes unrealized gains and losses on marketable equity securities from changes in market prices during the period as a component of earnings in the Consolidated Statements of Comprehensive Income. Net investment gains and losses on marketable equity securities for the three months ended June 27, 2020 and June 29, 2019 were as follows (in thousands):


	Three Months Ended
	June 27, 2020		June 29, 2019
Marketable equity securities:
Net gains on securities held	$	1,997	$	952
Net gains (losses) on securities sold	33		(1)
Total net gain on marketable equity securities	$	2,030	$	951

Schedule of Investments

Investments consisted of the following (in thousands):


	June 27, 2020		March 28, 2020
Available-for-sale debt securities	$	13,975	$	14,774
Marketable equity securities	11,611		9,829
Non-marketable equity investments	21,294		21,536
	$	46,880	$	46,139

Available-for-Sale Securities by Investment Category

The following tables summarize the Company's available-for-sale debt securities, gross unrealized gains and losses and fair value, aggregated by investment category (in thousands):


	June 27, 2020
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
Residential mortgage-backed securities	$	4,637	$	65	$	(31)	$	4,671
State and political subdivision debt securities	4,426		155		—		4,581
Corporate debt securities	4,713		24		(14)		4,723
	$	13,776	$	244	$	(45)	$	13,975


	March 28, 2020
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
Residential mortgage-backed securities	$	5,400	$	69	$	(26)	$	5,443
State and political subdivision debt securities	4,239		134		(3)		4,370
Corporate debt securities	5,021		5		(65)		4,961

	$	14,660	$	208	$	(94)	$	14,774

Investment Securities in a Continuous Unrealized Loss Position


	June 27, 2020
	Less than 12 Months						12 Months or Longer						Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
Residential mortgage-backed securities	$	721	$	(11)	$	951	$	(20)	$	1,672	$	(31)
State and political subdivision debt securities	300		—		—		—		300		—
Corporate debt securities	787		(14)		—		—		787		(14)
	$	1,808	$	(25)	$	951	$	(20)	$	2,759	$	(45)


	March 28, 2020
	Less than 12 Months						12 Months or Longer						Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
Residential mortgage-backed securities	$	133	$	—	$	1,779	$	(26)	$	1,912	$	(26)
State and political subdivision debt securities	601		(2)		101		(1)		702		(3)
Corporate debt securities	3,747		(65)		—		—		3,747		(65)
	$	4,481	$	(67)	$	1,880	$	(27)	$	6,361	$	(94)

Contractual Maturity of Investment Securities


	June 27, 2020
	Amortized Cost		Fair Value
Due in less than one year	$	4,414	$	4,431
Due after one year through five years	2,376		2,389
Due after five years through ten years	773		840
Due after ten years	1,576		1,644
Mortgage-backed securities	4,637		4,671
	$	13,776	$	13,975

Gain (Loss) on Securities


	Three Months Ended
	June 27, 2020		June 29, 2019
Marketable equity securities:
Net gains on securities held	$	1,997	$	952
Net gains (losses) on securities sold	33		(1)
Total net gain on marketable equity securities	$	2,030	$	951