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FINANCIAL INSTRUMENTS (Tables)
 6 Months Ended
Dec. 29, 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 December 29, 2019, and June 30, 2019:
 
December 29, 2019
 
 
 
 
 
 
 
 
 
(Reported Within)
 
Cost
 
Unrealized
Gain
 
Unrealized
(Loss)
 
Fair Value
 
Cash and
Cash
Equivalents
 
Investments
 
Restricted
Cash &
Investments
 
Other
Assets
 
(in thousands)
Cash
$
580,318

 
$
—

 
$
—

 
$
580,318

 
$
576,439

 
$
—

 
$
3,879

 
$
—

Time deposit
1,606,528

 
—

 
—

 
1,606,528

 
1,356,500

 
—

 
250,028

 
—

Level 1:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Money market funds
977,274

 
—

 
—

 
977,274

 
977,274

 
—

 
—

 
—

U.S. Treasury and agencies
476,406

 
116

 
(54
)
 
476,468

 
—

 
476,468

 
—

 
—

Mutual funds
75,244

 
5,792

 
(452
)
 
80,584

 
—

 
—

 
—

 
80,584

Level 1 Total
1,528,924

 
5,908

 
(506
)
 
1,534,326

 
977,274

 
476,468

 
—

 
80,584

Level 2:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Government-sponsored enterprises
9,819

 
—

 
(3
)
 
9,816

 
2,799

 
7,017

 
—

 
—

Foreign government bonds
30,507

 
2

 
(6
)
 
30,503

 
—

 
30,503

 
—

 
—

Corporate notes and bonds
1,225,526

 
742

 
(444
)
 
1,225,824

 
122,875

 
1,102,949

 
—

 
—

Mortgage backed securities — residential
4,172

 
8

 
—

 
4,180

 
—

 
4,180

 
—

 
—

Mortgage backed securities — commercial
26,751

 
34

 
(35
)
 
26,750

 
—

 
26,750

 
—

 
—

Level 2 Total
1,296,775

 
786

 
(488
)
 
1,297,073

 
125,674

 
1,171,399

 
—

 
—

Total
$
5,012,545

 
$
6,694

 
$
(994
)
 
$
5,018,245

 
$
3,035,887

 
$
1,647,867

 
$
253,907

 
$
80,584

 
 
June 30, 2019
 
 
 
 
 
 
 
 
 
(Reported Within)
 
Cost
 
Unrealized
Gain
 
Unrealized
(Loss)
 
Fair Value
 
Cash and
Cash
Equivalents
 
Investments
 
Restricted
Cash &
Investments
 
Other
Assets
 
(in thousands)
Cash
$
467,460

 
$
—

 
$
—

 
$
467,460

 
$
462,310

 
$
—

 
$
5,150

 
$
—

Time deposit
1,563,686

 
—

 
—

 
1,563,686

 
1,313,659

 
—

 
250,027

 
—

Level 1:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Money market funds
1,644,659

 
—

 
—

 
1,644,659

 
1,644,659

 
—

 
—

 
—

U.S. Treasury and agencies
465,655

 
283

 
(24
)
 
465,914

 
86,981

 
378,933

 
—

 
—

Mutual funds
76,961

 
1,063

 
(283
)
 
77,741

 
—

 
—

 
—

 
77,741

Level 1 Total
2,187,275

 
1,346

 
(307
)
 
2,188,314

 
1,731,640

 
378,933

 
—

 
77,741

Level 2:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Government-sponsored enterprises
16,005

 
5

 
(41
)
 
15,969

 
—

 
15,969

 
—

 
—

Foreign government bonds
24,408

 
35

 
—

 
24,443

 
—

 
24,443

 
—

 
—

Corporate notes and bonds
1,466,167

 
2,310

 
(99
)
 
1,468,378

 
150,610

 
1,317,768

 
—

 
—

Mortgage backed securities — residential
6,148

 
—

 
(4
)
 
6,144

 
—

 
6,144

 
—

 
—

Mortgage backed securities — commercial
29,587

 
140

 
—

 
29,727

 
—

 
29,727

 
—

 
—

Level 2 Total
1,542,315

 
2,490

 
(144
)
 
1,544,661

 
150,610

 
1,394,051

 
—

 
—

Total
$
5,760,736

 
$
3,836

 
$
(451
)
 
$
5,764,121

 
$
3,658,219

 
$
1,772,984

 
$
255,177

 
$
77,741
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:
 
December 29, 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
$
325,502

 
$
(54
)
 
$
—

 
$
—

 
$
325,502

 
$
(54
)
Mutual funds
2,925

 
(195
)
 
7,955

 
(257
)
 
10,880

 
(452
)
Government-sponsored enterprises
—

 
—

 
6,995

 
(3
)
 
6,995

 
(3
)
Foreign government bonds
29,420

 
(6
)
 
—

 
—

 
29,420

 
(6
)
Corporate notes and bonds
703,002

 
(441
)
 
6,780

 
(3
)
 
709,782

 
(444
)
Mortgage backed securities — commercial
16,805

 
(35
)
 
—

 
—

 
16,805

 
(35
)
 
$
1,077,654

 
$
(731
)
 
$
21,730

 
$
(263
)
 
$
1,099,384

 
$
(994
)
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 December 29, 2019:
 
Cost
 
Estimated
Fair
Value
 
(in thousands)
Due in one year or less
$
3,889,431

 
$
3,889,377

Due after one year through five years
444,558

 
444,950

Due in more than five years
22,994

 
23,016

 
$
4,356,983

 
$
4,357,343
Schedule of Outstanding Foreign Currency Forward Contracts
As of December 29, 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
$
—

 
$
100,830

 
$
61,301

 
$
—

Euro
61,007

 
—

 
42,371

 
—

Korean won
15,401

 
—

 
—

 
4,294

British pound sterling
—

 
—

 
48,439

 
—

Taiwan dollar
—

 
—

 
33,328

 
—

Chinese renminbi
—

 
—

 
31,683

 
—

Swiss franc
—

 
—

 
22,493

 
—

Singapore dollar
—

 
—

 
21,409

 
—

Indian rupee
—

 
—

 
7,855

 
—

 
$
76,408

 
$
100,830

 
$
268,879

 
$
4,294
Schedule of Fair Value of Derivatives Instruments
The fair value of derivative instruments in the Company’s Condensed Consolidated Balance Sheet as of December 29, 2019, and June 30, 2019 were as follows:
 
December 29, 2019
 
June 30, 2019
 
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
 
$
2,437

 
Accrued expenses and other current liabilities
 
$
16

 
Prepaid expense
and other assets
 
$
119

 
Accrued expenses and other current liabilities
 
$
2,756

Interest rate contracts, short-term
 
 
—

 
Accrued expenses and other current liabilities
 
2,746

 
 
 
—

 
Accrued expenses and other current liabilities
 
5,149

Interest rate contracts, long-term
Other assets
 
3,605

 

 
—

 
Other assets
 
1,537

 

 
—

Derivatives not designated as hedging instruments:
 
 
 
 
 
 
 
 
Foreign exchange contracts
Prepaid expense
and other assets
 
21

 
Accrued expenses and other current liabilities
 
200

 
Prepaid expense
and other assets
 
1,249

 
Accrued expenses and other current liabilities
 
748

Total Derivatives
 
 
$
6,063

 
 
 
$
2,962

 
 
 
$
2,905

 
 
 
$
8,653
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
 
Six Months Ended
 
December 29, 2019
 
December 29, 2019
 
Location of 
Gain or (Loss)
Recognized in or Reclassified into Income
Gain
Recognized
in AOCI
 
Loss
Reclassified
from AOCI
into Income
 
Gain (Loss)
Recognized
in AOCI
 
Loss
Reclassified
from AOCI
into Income
Derivatives in Cash Flow Hedging Relationships
(in thousands)
Foreign Exchange Contracts
Revenue
$
2,264

 
$
(172
)
 
$
3,198

 
$
(506
)
Foreign Exchange Contracts
Cost of goods sold
196

 
(1,090
)
 
(1,067
)
 
(1,900
)
Foreign Exchange Contracts
Selling, general, and administrative
130

 
(417
)
 
(465
)
 
(893
)
Interest Rate Contracts
Other expense, net
2,394

 
(35
)
 
2,394

 
(70
)
 
 
$
4,984

 
$
(1,714
)
 
$
4,060

 
$
(3,369
)
 
 
Three Months Ended
 
Six Months Ended
 
December 23, 2018
 
December 23, 2018
 
Location of 
Gain or (Loss)
Recognized in or Reclassified into Income
Gain (Loss)
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
$
8,229

 
$
7,813

 
$
16,670

 
$
8,487

Foreign Exchange Contracts
Cost of goods sold
(1,965
)
 
(851
)
 
(2,089
)
 
(2,408
)
Foreign Exchange Contracts
Selling, general, and administrative
(674
)
 
(651
)
 
(878
)
 
(1,178
)
Interest Rate Contracts
Other expense, net
—

 
(33
)
 
—

 
(66
)
 
 
$
5,590

 
$
6,278

 
$
13,703

 
$
4,835

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
 
Six Months Ended
 
 
December 29,
2019
 
December 23,
2018
 
December 29,
2019
 
December 23,
2018
Derivatives Not Designated as Hedging Instruments:
Location 
of Gain (Loss) Recognized 
in Income
Gain
Recognized
in Income
 
Gain
Recognized
in Income
 
Loss
Recognized
in Income
 
Gain
Recognized
in Income
 
 
(in thousands)
Foreign Exchange Contracts
Other income
$
3,571

 
$
301

 
$
(1,930
)
 
$
10,889



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
 
Six Months Ended
 
December 29, 2019
 
December 29, 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:
 
$
2,583,501

 
$1,403,857
 
$
174,272

 
$
(13,924
)
 
$
4,749,247

 
$
2,587,893

 
$
331,700

 
$
(26,652
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
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
$
—

 
$
—

 
$
—

 
$
2,342

 
$
—

 
$
—

 
$
—

 
$
(5,092
)
Derivatives designated as hedging instruments
$
—

 
$
—

 
$
—

 
$
(2,342
)
 
$
—

 
$
—

 
$
—

 
$
5,092

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Gain or (loss) on cash flow hedging relationships in Subtopic 815-20:
 
 
 
 
 
 
 
 
Foreign exchange contracts:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Amount of loss reclassified from accumulated other comprehensive income into income
$
(172
)
 
$
(1,090
)
 
$
(417
)
 
$
—

 
$
(506
)
 
$
(1,900
)
 
$
(893
)
 
$
—

Interest rate contracts:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Amount of loss reclassified from accumulated other comprehensive income into income
$
—

 
$
—

 
$
—

 
$
(35
)
 
$
—

 
$
—

 
$
—

 
$
(70
)