Investments

The following table reports the cost and carrying value of available-for-sale investments at September 30, 2012 and December 31, 2011 (in thousands):



September 30, 2012	Cost		Gross Unrealized Gains		Gross Unrealized Losses			Carrying Value
Fixed maturities:
Corporate bonds	$	11,385	$	381	$	(60	)	$	11,706
Marketable equity securities	34,962		7,518		(840		)	41,640
Total	$	46,347	$	7,899	$	(900	)	$	53,346



December 31, 2011	Cost		Gross Unrealized Gains		Gross Unrealized Losses			Carrying Value
Fixed maturities:
U.S. Treasury securities	$	831						$	831
Corporate bonds	13,871		$	559	$	(56	)	14,374
	14,702		559		(56		)	15,205
Marketable equity securities	26,575		2,440		(1,114		)	27,901
Total	$	41,277	$	2,999	$	(1,170	)	$	43,106

The following tables summarize the fair value and the gross unrealized loss for periods less than or greater than 12 months (in thousands):



	September 30, 2012				December 31, 2011
Less than 12 months	Fair Value		Gross Unrealized Loss		Fair Value		Gross Unrealized Loss
Fixed maturities:
Corporate bonds					$	66	$	1
Marketable equity securities	$	1,886	$	234	6,510		354
Total	$	1,886	$	234	$	6,576	$	355



	September 30, 2012				December 31, 2011
Greater than 12 months	Fair Value		Gross Unrealized Loss		Fair Value		Gross Unrealized Loss
Fixed maturities:
Corporate bonds	$	2,187	$	60	$	2,818	$	55
Marketable equity securities	5,580		606		2,757		760
Total	$	7,767	$	666	$	5,575	$	815

Marketable Equity Securities: The Company’s $41.6 million in marketable equity securities at September 30, 2012, consisted of common stock of publicly traded small-capitalization companies in the U.S. and select foreign markets. At September 30, 2012, the Company reviewed each equity security in an unrealized loss position and concluded certain of such securities were not other-than-temporarily impaired as the declines were not of sufficient duration and severity, and publicly-available financial information collectively did not indicate impairment. The primary cause of the loss on those securities was normal market volatility. The Company did however, record a loss on the securities that were other-than-temporarily impaired of zero and $917,000 for the three and nine months ended September 30, 2012, respectively and $14,000 for the three and nine months ended September 30, 2011.

Debt Securities: The Company owns primarily corporate bonds in its fixed maturity portfolio which are purchased based on the maturity and yield-to-maturity of the bond, and an analysis of the fundamental characteristics of the issuer. At September 30, 2012, there were unrealized losses on certain bonds in the portfolio. The Company does not consider those bonds to be other-than-temporarily impaired because the Company expects to hold, and will not be required to sell, these particular bonds, and it expects to recover the entire amortized cost basis at maturity. During the three and nine months ended September 30, 2012, and 2011, the Company did not record any impairment charges on investments in debt securities.

Discontinued Operations: At September 30, 2012, discontinued operations held $14.8 million of debt securities with a cost of $14.7 million, and gross unrealized gains of $147,000. At December 31, 2011, discontinued operations held $21.4 million of debt securities (primarily corporate bonds) with a cost of $20.8 million, gross unrealized gains of $629,000, and gross unrealized losses of $68,000. At December 31, 2011, discontinued operations held $13.8 million of marketable equity securities with a cost of $9 million, gross unrealized gains of $4.9 million, and gross unrealized losses of $96,000.

Investment in Unconsolidated Affiliate (Spigit Inc.):

The total losses recorded on the investment in Spigit reduced the carrying value to zero at December 31, 2011. Consequently, the Company will not accrue any additional losses reported by Spigit unless the Company decides to invest more capital into the operations, or certain events transpire at Spigit. There are no plans or obligations to invest additional equity capital at this time.