FINANCIAL INSTRUMENTS (Tables)

9 Months Ended

Mar. 31, 2019

Fair Value Disclosures [Abstract]

Cash, Cash Equivalents, Investments, Restricted Cash and Investments and Other Assets Measured at Fair Value on Recurring Basis

The following table sets forth the Company’s cash, cash equivalents, investments, restricted cash and investments, and other assets measured at fair value on a recurring basis as of March 31, 2019, and June 24, 2018:

	March 31, 2019
										(Reported Within)
	Cost		Unrealized Gain		Unrealized (Loss)			Fair Value		Cash and Cash Equivalents		Investments		Restricted Cash & Investments		Other Assets
	(in thousands)
Cash	$	577,420	$	—	$	—		$	577,420	$	571,673	$	—	$	5,747	$	—
Time deposit	1,872,626		—		—			1,872,626		1,622,599		—		250,027		—
Level 1:
Money market funds	2,024,322		—		—			2,024,322		2,024,322		—		—		—
U.S. Treasury and agencies	668,405		74		(69		)	668,410		380,623		287,787		—		—
Mutual funds	77,127		1,025		(183		)	77,969		—		—		—		77,969
Level 1 Total	2,769,854		1,099		(252		)	2,770,701		2,404,945		287,787		—		77,969
Level 2:
Government-sponsored enterprises	11,029		—		(97		)	10,932		—		10,932		—		—
Foreign government bonds	10,111		4		—			10,115		—		10,115		—		—
Corporate notes and bonds	1,176,117		523		(426		)	1,176,214		324,951		851,263		—		—
Mortgage backed securities — residential	17,397		2		—			17,399		7,443		9,956		—		—
Mortgage backed securities — commercial	39,236		40		(14		)	39,262		—		39,262		—		—
Level 2 Total	1,253,890		569		(537		)	1,253,922		332,394		921,528		—		—
Total	$	6,473,790	$	1,668	$	(789	)	$	6,474,669	$	4,931,611	$	1,209,315	$	255,774	$	77,969

	June 24, 2018
										(Reported Within)
	Cost		Unrealized Gain		Unrealized (Loss)			Fair Value		Cash and Cash Equivalents		Investments		Restricted Cash & Investments		Other Assets
	(in thousands)
Cash	$	708,364	$	—	$	—		$	708,364	$	702,090	$	—	$	6,274	$	—
Time deposit	999,666		—		—			999,666		749,639		—		250,027		—
Level 1:
Money market funds	2,341,807		—		—			2,341,807		2,341,807		—		—		—
U.S. Treasury and agencies	356,679		—		(170		)	356,509		333,721		22,788		—		—
Mutual funds	68,568		516		(142		)	68,942		—		—		—		68,942
Level 1 Total	2,767,054		516		(312		)	2,767,258		2,675,528		22,788		—		68,942
Level 2:
Municipal notes and bonds	152,378		37		(279		)	152,136		—		152,136		—		—
Government-sponsored enterprises	110,963		—		(201		)	110,762		99,934		10,828		—		—
Foreign government bonds	19,986		—		(1		)	19,985		19,985		—		—		—
Corporate notes and bonds	516,955		95		(1,184		)	515,866		265,081		250,785		—		—
Mortgage backed securities — residential	804		—		(3		)	801		—		801		—		—
Level 2 Total	801,086		132		(1,668		)	799,550		385,000		414,550		—		—
Total	$	5,276,170	$	648	$	(1,980	)	$	5,274,838	$	4,512,257	$	437,338	$	256,301	$	68,942

Schedule of Cash, Cash Equivalents, Investments and Restricted Cash and Investments in Unrealized Loss Positions

The following is an analysis of the Company’s cash, cash equivalents, investments, and restricted cash and investments in unrealized loss positions:

	March 31, 2019
	Unrealized Losses Less than 12 Months					Unrealized Losses 12 Months or Greater					Total
	Fair Value		Gross Unrealized Loss			Fair Value		Gross Unrealized Loss			Fair Value		Gross Unrealized Loss
	(in thousands)
U.S. Treasury and agencies	$	179,766	$	(2	)	$	8,121	$	(67	)	$	187,887	$	(69	)
Mutual funds	—		—			6,563		(183		)	6,563		(183		)
Government-sponsored enterprises	—		—			10,895		(97		)	10,895		(97		)
Corporate notes and bonds	365,003		(161		)	46,939		(265		)	411,942		(426		)
Mortgage backed securities — commercial	15,406		(14		)	—		—			15,406		(14		)
	$	560,175	$	(177	)	$	72,518	$	(612	)	$	632,693	$	(789	)

Schedule of Amortized Cost and Fair Value of Cash Equivalents, Investments, Restricted Cash and Investments with Contractual Maturities

The amortized cost and fair value of cash equivalents, investments, and restricted investments with contractual maturities are as follows as of March 31, 2019:

	Cost		Estimated Fair Value
	(in thousands)
Due in one year or less	$	5,391,453	$	5,391,323
Due after one year through five years	380,219		380,361
Due in more than five years	47,571		47,596
	$	5,819,243	$	5,819,280

Schedule of Outstanding Foreign Currency Forward Contracts

As of March 31, 2019, the Company had the following outstanding foreign currency contracts that were entered into under its cash flow and balance sheet hedge programs:

	Notional Value
	Derivatives Designated as Hedging Instruments:				Derivatives Not Designated as Hedging Instruments:
	(in thousands)
Foreign currency forward contracts
	Buy Contracts		Sell Contracts		Buy Contracts		Sell Contracts
Japanese yen	$	—	$	171,192	$	35,801	$	129,820
Euro	71,946		—		50,752		—
Korean won	23,234		—		23,817		—
British pound sterling	—		—		39,687		—
Taiwan dollar	—		—		25,953		—
Swiss franc	—		—		22,180		—
Chinese renminbi	—		—		13,213		—
Singapore dollar	—		—		5,904		—
Indian rupee	—		—		8,521		—
	$	95,180	$	171,192	$	225,828	$	129,820
Foreign currency option contracts
	Buy Put		Sell Call		Buy Put		Sell Call
Japanese yen (1)	$	—	$	—	$	8,849	$	9,403

⁽¹⁾ The local currency notional amounts of these foreign currency option contracts are equal to each other.

Schedule of Fair Value of Derivatives Instruments

The fair value of derivative instruments in the Company’s Condensed Consolidated Balance Sheets as of March 31, 2019, and June 24, 2018 were as follows:

	March 31, 2019						June 24, 2018
	Fair Value of Derivative Instruments (Level 2)						Fair Value of Derivative Instruments (Level 2)
	Derivative Assets			Derivative Liabilities			Derivative Assets			Derivative Liabilities
	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
	(in thousands)
Derivatives designated as hedging instruments:
Foreign exchange contracts	Prepaid expense and other assets	$	1,730	Accrued expenses and other current liabilities	$	2,897	Prepaid expense and other assets	$	7,581	Accrued expenses and other current liabilities	$	8,866
Interest rate contracts, short-term		—		Accrued expenses and other current liabilities	3,551			—		Accrued expenses and other current liabilities	7,468
Interest rate contracts, long-term		—		Other long-term liabilities	11,366			—		Other long-term liabilities	23,720
Derivatives not designated as hedging instruments:
Foreign exchange contracts	Prepaid expense and other assets	752		Accrued expenses and other current liabilities	354		Prepaid expense and other assets	111		Accrued expenses and other current liabilities	32
Total Derivatives		$	2,482		$	18,168		$	7,692		$	40,086

Schedule of Derivative Instruments Designated as Cash Flow Hedges in Statements of Operations

The effect of derivative instruments designated as cash flow hedges on the Company’s Condensed Consolidated Statements of Operations, including accumulated other comprehensive income (“AOCI”) was as follows:

		Three Months Ended March 31, 2019						Nine Months Ended March 31, 2019
	Location of  Gain or (Loss) Recognized in or Reclassified into Income	(Loss) Gain Recognized in AOCI			Gain (Loss) Reclassified from AOCI into Income			Gain (Loss) Recognized in AOCI			Gain (Loss) Reclassified from AOCI into Income
Derivatives in Cash Flow Hedging Relationships		(in thousands)
Foreign Exchange Contracts	Revenue	$	(7,203	)	$	206		$	9,467		$	8,693
Foreign Exchange Contracts	Cost of goods sold	(1,395		)	(2,097		)	(3,484		)	(4,505		)
Foreign Exchange Contracts	Selling, general, and administrative	(475		)	(600		)	(1,353		)	(1,778		)
Interest Rate Contracts	Other expense, net	—			(34		)	—			(100		)
		$	(9,073	)	$	(2,525	)	$	4,630		$	2,310

		Three Months Ended March 25, 2018						Nine Months Ended March 25, 2018
	Location of  Gain or (Loss) Recognized in or Reclassified into Income	(Loss) Gain Recognized in AOCI			(Loss) Gain Reclassified from AOCI into Income			(Loss) Gain Recognized in AOCI			(Loss) Gain Reclassified from AOCI into Income
Derivatives in Cash Flow Hedging Relationships		(in thousands)
Foreign Exchange Contracts	Revenue	$	(44,399	)	$	(7,375	)	$	(36,214	)	$	(7,410	)
Foreign Exchange Contracts	Cost of goods sold	2,735			1,084			4,928			3,556
Foreign Exchange Contracts	Selling, general, and administrative	690			501			1,840			2,227
Interest Rate Contracts	Other expense, net	—			(32		)	—			(94		)
		$	(40,974	)	$	(5,822	)	$	(29,446	)	$	(1,721	)

The effect of derivative instruments not designated as cash flow hedges on the Company’s Condensed Consolidated Statements of Operations was as follows:

		Three Months Ended					Nine Months Ended
		March 31, 2019			March 25, 2018		March 31, 2019		March 25, 2018
Derivatives Not Designated as Hedging Instruments:	Location  of Gain (Loss) Recognized  in Income	Loss Recognized in Income			Gain Recognized in Income		Gain Recognized in Income		Gain Recognized in Income
		(in thousands)
Foreign Exchange Contracts	Other income	$	(6,747	)	$	1,198	$	4,142	$	6,482

The following table presents the effect of the fair value cash flow hedge accounting on the Statement of Financial Performance as well as presents the location and amount of gain/(loss) recognized in Income on fair value and cash flow hedging relationships:

	Three Months Ended											Nine Months Ended
	March 31, 2019											March 31, 2019
	Revenue		Cost of Goods Sold			Selling, General and Admini-strative			Other Income (Expense)			Revenue		Cost of Goods Sold			Selling, General and Admini-strative			Other Income (Expense)
	(in thousands)
Total amounts of income and expense line items presented in the statement of financial performance in which the effects of fair value or cash flow hedges are recorded:
	$	2,439,048	$1,364,711			$	190,306		$	20,532		$	7,292,412	$	4,014,844		$	534,179		$	(10,494	)
The effects of fair value and cash flow hedging:
Gain or (loss) on fair value hedging relationships in Subtopic 815-20:
Interest contracts:
Hedged items	$	—	$	—		$	—		$	(10,395	)	$	—	$	—		$	—		$	(16,272	)
Derivatives designated as hedging instruments	$	—	$	—		$	—		$	10,395		$	—	$	—		$	—		$	16,272
Gain or (loss) on cash flow hedging relationships in Subtopic 815-20:
Foreign exchange contracts:
Amount of gain or (loss) reclassified from accumulated other comprehensive income into income	$	206	$	(2,097	)	$	(600	)	$	—		$	8,693	$	(4,505	)	$	(1,778	)	$	—
Interest rate contracts:
Amount of loss reclassified from accumulated other comprehensive income into income	$	—	$	—		$	—		$	(34	)	$	—	$	—		$	—		$	(100	)