Marketable Securities

9 Months Ended

Sep. 30, 2013

Marketable Securities

Marketable Securities

Note 6 — Marketable Securities

Marketable securities at September 30, 2013 consisted of municipal bonds and certificates of deposits, and are classified as held-to-maturity due to our ability and intent to hold these securities until maturity or the call date as the case may be.  Held-to-maturity securities are recorded at amortized cost, adjusted for the amortization or accretion of premiums or discounts.  A decline in the market value of any held-to-maturity security below the amortized cost basis that is deemed other than temporary is charged to income, resulting in the establishment of a new cost basis for the security.  There was no other than temporary impairment during the nine-month periods ended September 30, 2013 and 2012; therefore, no adjustment to the amortized cost basis was made.  Currently, all of the Company’s marketable securities mature within three months.

The fair value of the marketable securities above was determined using Level 2 inputs.  There were no gross realized gains or losses for the three and nine-month periods ended September 30, 2013 and 2012.

The amortized cost and fair value for held-to-maturity securities by major security type at September 30, 2013 and December 31, 2012 were as follows:

	September 30, 2013
	Amortized Cost		Gross Unrealized Holding Gains		Gross Unrealized Holding Losses		Fair Value
Certificates of deposit	$	245,000	$	118	$	—	$	245,118
Municipal bonds	206,357		1,053		—		207,410
	$	451,357	$	1,171	$	—	$	452,528

	December 31, 2012
	Amortized Cost		Gross Unrealized Holding Gains		Gross Unrealized Holding Losses			Fair Value
Certificates of deposit	$	2,802,993	$	8,684	$	—		$	2,811,677
Municipal bonds	2,903,003		5,057		(30		)	2,908,030
	$	5,705,996	$	13,741	$	(30	)	$	5,719,707