Fair Value Measurement

9 Months Ended

Dec. 30, 2012

Fair Value Disclosures [Abstract]

Fair Value Measurement

Fair Value Measurement

The following table summarizes the Company’s financial assets and liabilities measured at fair value on a recurring basis as of December 30, 2012:

	Fair Value at Reporting Date Using:
(in thousands)	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total Balance
Cash Equivalents and Short-Term investments:
US government treasuries and agencies securities	$	148,879	$	—	$	—	$	148,879
Money market funds	61,894		—		—		61,894
Corporate bonds	—		13,228		—		13,228
International government bonds	—		3,084		—		3,084
Corporate commercial paper	—		1,000		—		1,000
Bank deposits	—		15,211		—		15,211
Total assets measured at fair value	$	210,773	$	32,523	$	—	$	243,296
Liabilities:
Fair value of contingent consideration	—		—		6,400		6,400
Fair value of pension liabilities	—		—		895		895
Total liabilities measured at fair value	$	—	$	—	$	7,295	$	7,295

The following table summarizes the Company’s financial assets and liabilities measured at fair value on a recurring basis as of April 1, 2012:

	Fair Value at Reporting Date Using
(in thousands)	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Cash Equivalents and Short-Term investments:
US government treasuries and agencies securities	$	156,315	$	—	$	—	$	156,315
Money market funds	104,596		—		—		104,596
Corporate bonds	—		21,538		—		21,538
International government bonds	—		4,648		—		4,648
Corporate commercial paper	—		3,148		—		3,148
Bank deposits	—		11,633		—		11,633
Municipal bonds	—		653		—		653
Total assets measured at fair value	$	260,911	$	41,620	$	—	$	302,531

U.S. government treasuries and U.S. government agency securities as of December 30, 2012 and April 1, 2012 do not include any U.S. government guaranteed bank issued paper. Corporate bonds include bank-issued securities that are guaranteed by the Federal Deposit Insurance Corporation (FDIC).

The securities in Level 1 are highly liquid and actively traded in exchange markets or over-the-counter markets. Level 2 fixed income securities are priced using quoted market prices for similar instruments, non-binding market prices that are corroborated by observable market data.

In connection with the acquisition of Fox Enterprises and Alvand Technologies (See "Note 3- Business Combinations"), liabilities were recognized for the Company’s estimate of the fair value of contingent consideration on the acquisition dates based on probability-based forecasted revenues, gross profits and attainment of product development milestones. These fair value measurements are based on significant inputs not observed in the market and thus represent a Level 3 measurement, which reflect the Company’s own assumptions concerning future revenues, gross profit and product development milestones of the acquired businesses in measuring fair value. During the third quarter of fiscal 2013, the fair value of the contingent consideration was re-measured based on a revised forecast for the business and as a result, the fair value of the contingent consideration increased by $0.4 million. This change in the fair value of the contingent consideration was recorded in selling and administrative expenses in the third quarter of fiscal 2013.

In connection with the acquisition of NXP B.V.'s Data Converter Business, the Company assumed certain pension and post employment related liabilities (see "Note 15 - Employee Benefit Plans"). The fair value of these pension benefits were determined based on actuarial calculations.

The following table summarizes the change in the fair value of the contingent consideration measured using significant unobservable inputs (Level 3) for the nine months ended December 30, 2012:

(in thousands)	Estimated Fair Value
Balance as of April 1, 2012	$	—
Additions	7,295
Deletions	—
Balance as of December 30, 2012	$	7,295

All of the Company’s available-for-sale investments are subject to a periodic impairment review. Investments are considered to be impaired when a decline in fair value is judged to be other-than-temporary. The Company did not record any impairment charges related to its available-for-sale investments in the nine months ended December 30, 2012 and January 1, 2012.