Fair Value Measurements

3 Months Ended

Jun. 29, 2013

Fair Value Disclosures [Abstract]

Fair Value Measurements

Fair Value Measurements

Financial Assets Measured at Fair Value

ASC Topic 820 establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include the following:

• Level 1, defined as observable inputs such as quoted prices in active markets for identical assets or liabilities;

• Level 2, defined as inputs that are observable either directly or indirectly such as quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active and other inputs that can be corroborated by observable market data; and

• Level 3, defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions.

The Company’s fair value hierarchy for its financial assets measured at fair value on a recurring basis as of June 29, 2013 and March 30, 2013 was as follows (in thousands):

June 29, 2013	Level 1		Level 2			Level 3		Total
Money market securities	$	9,861	$	—		$	—	$	9,861
Commercial paper	—		24,998			—		24,998
Corporate Bonds	—		21,781			—		21,781
Municipal bonds	—		19,113			—		19,113
Government agencies	—		15,583			—		15,583
Forward purchase or (sale) contracts:
Japanese Yen	—		100			—		100
Korean Won	—		(39		)	—		(39		)
Euro	—		(27		)	—		(27		)
British Pound	—		6			—		6

March 30, 2013	Level 1		Level 2			Level 3		Total
Money market securities	$	9,457	$	—		$	—	$	9,457
Commercial paper	—		51,443			—		51,443
Government agencies	—		29,646			—		29,646
Corporate bonds	—		18,396			—		18,396
Municipal bonds	—		3,389			—		3,389
Forward purchase or (sale) contracts:
Japanese Yen	—		176			—		176
New Taiwan Dollar	—		(10		)	—		(10		)
Korean Won	—		(46		)	—		(46		)
Euro	—		100			—		100
British Pound	—		38			—		38
Chinese Renminbi	—		(1		)	—		(1		)
Singapore Dollar	—		(12		)	—		(12		)

For Level 1 assets, the Company utilized quoted prices in active markets for identical assets.

For Level 2 assets, exclusive of forward contracts, the Company utilized quoted prices in active markets for similar assets. For forward contracts, spot prices at June 29, 2013 and March 30, 2013 were utilized to calculate fair values.

During the first quarter of 2014, there were no transfers between Level 1 and Level 2 assets.

As of June 29, 2013, the Company had $6.0 million invested in Series D Preferred Stock and $3.0 million invested in Series E Preferred Stock of OmniGuide, Inc., representing an 11% interest. At each reporting period end, the Company determines whether events or circumstances have occurred that are likely to have a significant adverse effect on the fair value of these investments. If there are no events or circumstances identified that would adversely affect the fair value of the investments, the fair values of the investments are not calculated as it is not practicable to do so. As of June 29, 2013 and March 30, 2013, management had not identified any events or circumstances that indicated the investments were impaired; therefore, as presented in Note 8 “Other Assets”, the full carrying value of $9.0 million was included in Other assets on the Condensed Consolidated Balance Sheets at June 29, 2013 and March 30, 2013.

Investments

Certain information regarding the Company’s investments at June 29, 2013 and March 30, 2013 was as follows (in thousands):

			Unrealized
June 29, 2013	Cost		Gain		Loss			Fair Value
Available-for-sale securities (current):
Commercial paper	$	24,998	$	—	$	—		$	24,998
Corporate Bonds	17,459		—		(5		)	17,454
Government agencies	15,578		5		—			15,583
Municipal Bonds	11,140		1		—			11,141
	$	69,175	$	6	$	(5	)	$	69,176
Available-for-sale securities (non-current):
Municipal Bonds	$	7,974	$	—	$	(2	)	$	7,972
Corporate Bonds	4,336		—		(9		)	4,327
	$	12,310	$	—	$	(11	)	$	12,299
			Unrealized
March 30, 2013	Cost		Gain		Loss			Fair Value
Available-for-sale securities (current):
Commercial paper	$	51,443	$	—	$	—		$	51,443
Government agencies	26,556		8		—			26,564
Corporate Bonds	10,473		7		—			10,480
Municipal Bonds	2,058		—		—			2,058
	$	90,530	$	15	$	—		$	90,545
Available-for-sale securities (non-current):
Corporate Bonds	$	7,923	$	—	$	(7	)	$	7,916
Government agencies	3,082		—		—			3,082
Municipal Bonds	1,330		1		—			1,331
	$	12,335	$	1	$	(7	)	$	12,329

For purposes of determining gross realized gains and losses and reclassification out of accumulated other comprehensive income (loss), the cost of securities sold is based on specific identification. Net unrealized holding gains and losses on current available-for-sale securities included in accumulated other comprehensive income (loss) were insignificant as of June 29, 2013 and March 30, 2013.

Underlying maturities of investments at June 29, 2013 were $69.2 million within one year and $12.3 million between one to five years.