Accumulated Other Comprehensive Income (Loss)

9 Months Ended

Jul. 30, 2016

Statement of Comprehensive Income [Abstract]

Accumulated Other Comprehensive Income

Accumulated Other Comprehensive Income (Loss)

The following table provides the changes in accumulated other comprehensive income (loss) (OCI) by component and the related tax effects during the first nine months of fiscal 2016.

	Foreign currency translation adjustment			Unrealized holding gains on available for sale securities classified as short-term investments			Unrealized holding (losses) on available for sale securities classified as short-term investments			Unrealized holding gains (losses) on derivatives			Pension plans			Total
October 31, 2015	$	(18,057	)	$	216		$	(544	)	$	(17,692	)	$	(14,774	)	$	(50,851	)
Other comprehensive income (loss) before reclassifications	(2,923		)	139			133			(109		)	869			(1,891		)
Amounts reclassified out of other comprehensive income (loss)	—			—			—			3,631			523			4,154
Tax effects	—			(24		)	(25		)	(767		)	(152		)	(968		)
Other comprehensive income (loss)	(2,923		)	115			108			2,755			1,240			1,295
July 30, 2016	$	(20,980	)	$	331		$	(436	)	$	(14,937	)	$	(13,534	)	$	(49,556	)

The amounts reclassified out of accumulated other comprehensive income (loss) with presentation location during each period were as follows:

	Three Months Ended						Nine Months Ended
Comprehensive Income Component	July 30, 2016			August 1, 2015			July 30, 2016			August 1, 2015			Location
Unrealized holding losses (gains) on derivatives
Currency forwards	$	46		$	2,384		$	1,672		$	7,726		Cost of sales
	93			1,350			783			4,586			Research and development
	(577		)	2,153			(231		)	7,446			Selling, marketing, general and administrative
	—			—			—			(1,466		)	(a)
Treasury rate lock	(274		)	(274		)	(822		)	(822		)	Interest expense
Swap rate lock	836			—			2,229			—			Interest expense
	124			5,613			3,631			17,470			Total before tax
	(141		)	(444		)	(807		)	(1,842		)	Tax
	$	(17	)	$	5,169		$	2,824		$	15,628		Net of tax
Amortization of pension components
Transition obligation	$	4		$	5		$	12		$	15		(b)
Prior service credit	—			(61		)	—			(185		)	(b)
Actuarial losses	168			1,899			511			5,761			(b)
	172			1,843			523			5,591			Total before tax
	(50		)	(275		)	(152		)	(838		)	Tax
	$	122		$	1,568		$	371		$	4,753		Net of tax
Total amounts reclassified out of accumulated other comprehensive income (loss), net of tax	$	105		$	6,737		$	3,195		$	20,381

______________

a) The gain related to a fixed asset purchase was reclassified out of accumulated other comprehensive income (loss) to fixed assets which will depreciate into earnings over its expected useful life.

b) The amortization of pension components is included in the computation of net periodic pension cost. For further information see Note 13, Retirement Plans, contained in Item 8 of the Annual Report on Form 10-K for the fiscal year ended October 31, 2015.

The Company estimates $0.2 million of forward foreign currency derivative instruments included in OCI will be reclassified into earnings within the next twelve months. There was no ineffectiveness related to designated forward foreign currency derivative instruments in the three- and nine-month periods ended July 30, 2016 and August 1, 2015.

Gross unrealized gains and losses on available-for-sale securities classified as short-term investments at July 30, 2016 and October 31, 2015 are as follows:

	July 30, 2016			October 31, 2015
Unrealized gains on securities classified as short-term investments	$	372		$	233
Unrealized losses on securities classified as short-term investments	(451		)	(584		)
Net unrealized losses on securities classified as short-term investments	$	(79	)	$	(351	)

As of July 30, 2016, the Company held 92 investment securities, 32 of which were in an unrealized loss position with gross unrealized losses of $0.5 million and an aggregate fair value of $1.2 billion. As of October 31, 2015, the Company held 76 investment securities, 23 of which were in an unrealized loss position with gross unrealized losses of $0.6 million and an aggregate fair value of $823.4 million. These unrealized losses were primarily related to corporate obligations that earn lower interest rates than current market rates. None of these investments have been in a loss position for more than twelve months. As the Company does not intend to sell these investments and it is unlikely that the Company will be required to sell the investments before recovery of their amortized basis, which will be at maturity, the Company does not consider those investments to be other-than-temporarily impaired at July 30, 2016 and October 31, 2015.

Realized gains or losses on investments are determined based on the specific identification basis and are recognized in nonoperating expense (income). There were no material net realized gains or losses from the sales of available-for-sale investments during any of the fiscal periods presented.