Marketable Securities And Cash Equivalents

9 Months Ended

Mar. 31, 2012

Marketable Securities And Cash Equivalents

Marketable Securities And Cash Equivalents

Note 6. Marketable Securities and Cash Equivalents

				Unrealized		Unrealized			Fair
	Cost			Gains		Losses			Value
	(In millions)
March 31, 2012
United States government obligations
Maturity less than 1 year		$	438	$	–	$	–		$	438
Maturity 1 to 5 years			91		–		–			91
Government–sponsored enterprise obligations
Maturity 1 to 5 years			1		–		–			1
Corporate debt securities
Maturity 1 to 5 years			48		–		–			48
Other debt securities
Maturity less than 1 year			422		–		–			422
Maturity 1 to 5 years			3		–		–			3
Equity securities
Available-for-sale			136		19		(4	)		151
Trading			26		–		–			26
		$	1,165	$	19	$	(4	)	$	1,180

				Unrealized		Unrealized			Fair
	Cost			Gains		Losses			Value
		(In millions)
June 30, 2011
United States government obligations
Maturity less than 1 year		$	753	$	–	$	–		$	753
Maturity 1 to 5 years			72		1		–			73
Government–sponsored enterprise obligations
Maturity less than 1 year			20		–		–			20
Maturity 1 to 5 years			54		–		–			54
Maturity 5 to 10 years			5		–		–			5
Maturity greater than 10 years			218		8		–			226
Corporate debt securities
Maturity less than 1 year			1		–		–			1
Maturity 1 to 5 years			35		1		–			36
Other debt securities
Maturity less than 1 year			215		–		–			215
Maturity 1 to 5 years			3		–		–			3
Maturity 5 to 10 years			7		–		–			7
Equity securities
Available-for-sale			159		83		(4	)		238
Trading			24		–		–			24
		$	1,566	$	93	$	(4	)	$	1,655

All of the $4 million in unrealized losses at March 31, 2012 arose within the last 12 months and are related to the Company's investment in one security.  The market value of the available-for-sale equity security that has been in an unrealized loss position for less than 12 months is $30 million.  The Company evaluated the near-term prospects of the issuer in relation to the severity and duration of the impairment.  Based on that evaluation and the Company's ability and intent to hold this investment for a reasonable period of time sufficient for a forecasted recovery of fair value, the Company does not consider this investment to be other-than-temporarily impaired at March 31, 2012.

In December 2011, the Company recorded a $13 million other-than-temporary impairment related to its available-for-sale equity security investment in Metabolix, Inc. (see Note 15 for additional information).  The impairment charge is included in asset impairment, exit, and restructuring costs in the consolidated statements of earnings.