Financial Instruments

9 Months Ended

Dec. 30, 2011

Financial Instruments [Abstract]

Financial Instruments

Note 2.  Financial Instruments

Short-term investments at December 30, 2011 and March 25, 2011 consisted of the following:

(in thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
December 30, 2011
U.S. Treasury notes	$	3,324	$	3	$	(4	)	$	3,323
U.S. government agencies		6,400		12		(4	)		6,408
Corporate notes and bonds		14,798		13		(35	)		14,776
Asset backed securities		5,581		14		(3	)		5,592
Other debt securities		1,005		-		-			1,005
	$	31,108	$	42	$	(46	)	$	31,104
March 25, 2011
U.S. Treasury notes	$	3,222	$	10	$	(1	)	$	3,231
U.S. government agencies		17,297		34		(15	)		17,316
Corporate notes and bonds		20,507		66		(13	)		20,560
Asset backed securities		14,187		61		(21	)		14,227
Other debt securities		1,523		4		(1	)		1,526
	$	56,736	$	175	$	(51	)	$	56,860

The maturities of short-term investments at December 30, 2011 are as follows:

(in thousands)	Amortized Cost		Estimated Market Value
Maturing in one year	$	7,299	$	7,291
Maturing in one to five years		23,809		23,813
Total	$	31,108	$	31,104

The following table summarizes the financial assets of the Company measured at fair value on a recurring basis:

(in thousands)			Fair Value Measurements at  December 30, 2011, using
	Balance as of December 30, 2011		Level 1		Level 2
Assets:
U.S. Treasury notes(1)	$	3,323	$	3,323	$	-
U.S. government agencies(1)		6,408		-		6,408
Corporate notes and bonds(1)		14,776		-		14,776
Asset backed securities(1)		5,592		-		5,592
Foreign debt issues(1)		1,005		-		1,005
Total	$	31,104	$	3,323	$	27,781

(in thousands)			Fair Value Measurements at  March 25, 2011, using
	Balance as of March 25, 2011		Level 1		Level 2
Assets:
U.S. Treasury notes(1)	$	3,231	$	3,231	$	-
U.S. government agencies(1)		17,316		-		17,316
Corporate notes and bonds(1)		20,560		-		20,560
Asset backed securities(1)		14,227		-		14,227
Foreign debt issues(1)		1,526		-		1,526
		56,860		3,231		53,629
Foreign currency derivatives(2)		31		-		31
Total	$	56,891	$	3,231	$	53,660

(1)  Included in short-term investments on the Company's condensed consolidated balance sheet.

(2)  Included in accounts receivable on the Company's condensed consolidated balance sheet.

The three levels of the fair value hierarchy are:

Level 1: Quoted prices (unadjusted) in active markets that are accessible at the measurement date for identical assets or liabilities. The fair value hierarchy gives the highest priority to Level 1 inputs.

Level 2: Observable inputs other than quoted prices included within Level 1, including 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 inputs other than quoted prices that are observable or are derived principally from, or corroborated by, observable market data by correlation or other means.

Level 3: Unobservable inputs are used when little or no market data is available. The fair value hierarchy gives the lowest priority to Level 3 inputs.

A financial instrument's level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement.

Derivative financial instruments are limited to foreign exchange contracts which the Company enters into to hedge certain balance sheet exposures and intercompany balances against future movement in foreign exchange rates. The Company's primary net foreign currency exposures are in Japanese yen, Euros, and British pounds. The fair value of the Company's derivative instruments is determined using pricing models based on current market rates. Gains and losses on foreign exchange contracts are included in other income and expense, net, and were not material for any period presented. As of December 30, 2011, the Company had no outstanding foreign exchange contracts.