NOTE 4 — INVESTMENTS

Investment Components

The components of investments, including associated derivatives, but excluding held-to-maturity investments, were as follows:


(In millions)	Cost Basis		Unrealized Gains		Unrealized Losses			Recorded Basis		Cash and Cash Equivalents		Short-term Investments		Equity and Other Investments


December 31, 2015

Cash	$	3,480	$	0	$	0		$	3,480	$	3,480	$	0	$	0
Mutual funds		1,428		0		0			1,428		1,428		0		0
Commercial paper		790		0		0			790		790		0		0
Certificates of deposit		1,062		0		0			1,062		921		141		0
U.S. government and agency securities		79,113		11		(232	)		78,892		350		78,542		0
Foreign government bonds		4,973		3		(39	)		4,937		216		4,721		0
Mortgage- and asset-backed securities		4,849		17		(9	)		4,857		0		4,857		0
Corporate notes and bonds		6,914		65		(106	)		6,873		0		6,873		0
Municipal securities		285		36		0			321		0		321		0
Common and preferred stock		6,395		4,862		(333	)		10,924		0		0		10,924
Other investments		565		0		0			565		0		0		565

Total	$	109,854	$	4,994	$	(719	)	$	114,129	$	7,185	$	95,455	$	11,489


(In millions)	Cost Basis		Unrealized Gains		Unrealized Losses			Recorded Basis		Cash and Cash Equivalents		Short-term Investments		Equity and Other Investments


June 30, 2015

Cash	$	3,679	$	0	$	0		$	3,679	$	3,679	$	0	$	0
Mutual funds		1,100		0		0			1,100		1,100		0		0
Commercial paper		1		0		0			1		1		0		0
Certificates of deposit		906		0		0			906		776		130		0
U.S. government and agency securities		72,843		76		(30	)		72,889		39		72,850		0
Foreign government bonds		5,477		3		(24	)		5,456		0		5,456		0
Mortgage- and asset-backed securities		4,899		23		(6	)		4,916		0		4,916		0
Corporate notes and bonds		7,192		97		(37	)		7,252		0		7,252		0
Municipal securities		285		35		(1	)		319		0		319		0
Common and preferred stock		6,668		4,986		(215	)		11,439		0		0		11,439
Other investments		597		0		0			597		0		8		589

Total	$	103,647	$	5,220	$	(313	)	$	108,554	$	5,595	$	90,931	$	12,028

As of December 31, 2015 and June 30, 2015, the recorded bases of common and preferred stock that are restricted for more than one year or are not publicly traded were $727 million and $561 million, respectively. These investments are carried at cost and are reviewed quarterly for indicators of other-than-temporary impairment. It is not practicable for us to reliably estimate the fair value of these investments.

We lend certain fixed-income and equity securities to increase investment returns. These transactions are accounted for as secured borrowings and the loaned securities continue to be carried as investments on our consolidated balance sheet. Cash and/or security interests are received as collateral for the loaned securities with the amount determined based upon the underlying security lent and the creditworthiness of the borrower. As of December 31, 2015, the collateral received under these agreements totaled $439 million which is primarily comprised of U.S. government and agency securities.

Unrealized Losses on Investments

Investments with continuous unrealized losses for less than 12 months and 12 months or greater and their related fair values were as follows:


	Less than 12 Months					12 Months or Greater							Total Unrealized Losses

(In millions)	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Total Fair Value


December 31, 2015

U.S. government and agency securities	$	72,914	$	(202	)	$	566	$	(30	)	$	73,480	$	(232	)
Foreign government bonds		3,635		(9	)		52		(30	)		3,687		(39	)
Mortgage- and asset-backed securities		3,428		(9	)		329		0			3,757		(9	)
Corporate notes and bonds		4,168		(68	)		377		(38	)		4,545		(106	)
Common and preferred stock		1,329		(225	)		440		(108	)		1,769		(333	)

Total	$	85,474	$	(513	)	$	1,764	$	(206	)	$	87,238	$	(719	)


	Less than 12 Months					12 Months or Greater							Total Unrealized Losses

(In millions)	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Total Fair Value


June 30, 2015

U.S. government and agency securities	$	6,636	$	(9	)	$	421	$	(21	)	$	7,057	$	(30	)
Foreign government bonds		4,611		(12	)		18		(12	)		4,629		(24	)
Mortgage- and asset-backed securities		3,171		(5	)		28		(1	)		3,199		(6	)
Corporate notes and bonds		2,946		(29	)		104		(8	)		3,050		(37	)
Municipal securities		36		(1	)		0		0			36		(1	)
Common and preferred stock		1,389		(180	)		148		(35	)		1,537		(215	)

Total	$	18,789	$	(236	)	$	719	$	(77	)	$	19,508	$	(313	)

Unrealized losses from fixed-income securities are primarily attributable to changes in interest rates. Unrealized losses from domestic and international equities are due to market price movements. Management does not believe any remaining unrealized losses represent other-than-temporary impairments based on our evaluation of available evidence.

Debt Investment Maturities


(In millions)	Cost Basis		Estimated Fair Value


December 31, 2015

Due in one year or less	$	36,522	$	36,479
Due after one year through five years		57,639		57,461
Due after five years through 10 years		2,519		2,441
Due after 10 years		1,306		1,351

Total	$	97,986	$	97,732