Auction Rate Securities

3 Months Ended

Jan. 31, 2016

Investments, Debt and Equity Securities [Abstract]

Auction Rate Securities

AUCTION RATE SECURITIES

At January 31, 2016 and October 31, 2015, we held investments in auction rate securities from three different issuers having an aggregate original principal amount of $15.0 million and an amortized cost basis of $13.0 million. At January 31, 2016 and October 31, 2015, the fair value of these securities was $13.0 million. Our auction rate securities are debt instruments with stated maturities ranging from 2033 to 2050, for which the interest rate is designed to be reset through Dutch auctions approximately every thirty days. Auctions for these securities have not occurred since August 2007. On March 3, 2016, one of our auction rate securities was redeemed by the issuer at its par value of $5.0 million. As of January 31, 2016 and the redemption date, this security was valued at $5.0 million, therefore, no gain or loss was recognized upon its redemption.

At January 31, 2016 and October 31, 2015, there were no unrealized gains or losses on our auction rate securities included in accumulated other comprehensive loss (“AOCL”), and the total amount of other-than-temporary impairment credit loss on our auction rate security investments included in our retained earnings was $2.0 million.

Significant Assumptions Used to Determine the Fair Values of Our Auction Rate Securities

Assumption	January 31, 2016	October 31, 2015
Discount rates	L – L + 1.94%	L + 0.38% – L + 2.13%
Yields	2.15%, L + 2.00%	2.15%, L + 2.00%
Average expected lives	4 – 10 years	4 – 10 years

L – One Month LIBOR