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Investments
 3 Months Ended
Mar. 31, 2022
Investments [Abstract]  
Investments
3.  Investments


The following table summarizes the contract maturity of the available-for-sale securities we held as of March 31, 2022:

One year or less
    
63
%
After one year but within two years
    
30
%
After two years but within three and a half years
    
7
%
Total
    
100
%


As illustrated above, at March 31, 2022, 93 percent of our available-for-sale securities had a maturity of less than two years.


All of our available-for-sale securities are available to us for use in our current operations. As a result, we categorize all of these securities as current assets even though the stated maturity of some individual securities may be one year or more beyond the balance sheet date.


We invest in available-for-sale securities with strong credit ratings and an investment grade rating at or above A-1, P-1 or F-1 by Standard & Poor’s, or S&P, Moody’s or Fitch, respectively.


At March 31, 2022, we had an ownership interest of less than 20 percent in seven private companies and three public companies with which we conduct business. The privately held companies are Aro Biotherapeutics, Atlantic Pharmaceuticals Limited, Dynacure SAS, Empirico, Inc., Flamingo Therapeutics BV, YourBio Health, Inc. and Suzhou-Ribo Life Science Co, Ltd. The publicly traded companies are Antisense Therapeutics Ltd., Bicycle and ProQR.


The following is a summary of our investments (in thousands):

  
Amortized
    
Gross Unrealized
    
Estimated
  
March 31, 2022
  
Cost
    
Gains
    
Losses
    
Fair Value
  
Available-for-sale securities:
                        
Corporate debt securities (1)
  
$
420,081
    
$
131
    
$
(1,766
)
  
$
418,446
  
Debt securities issued by U.S. government agencies
    
34,407
      
—
      
(49
)
    
34,358
  
Debt securities issued by the U.S. Treasury (1)
    
330,358
      
1
      
(1,133
)
    
329,226
  
Debt securities issued by states of the U.S. and political subdivisions of the states
    
158,548
      
1
      
(376
)
    
158,173
  
Other municipal debt securities
    
6,419
      
—
      
(99
)
    
6,320
  
Total securities with a maturity of one year or less
    
949,813
      
133
      
(3,423
)
    
946,523
  
Corporate debt securities
    
345,813
      
24
      
(10,275
)
    
335,562
  
Debt securities issued by U.S. government agencies
    
72,844
      
—
      
(1,974
)
    
70,870
  
Debt securities issued by the U.S. Treasury
    
164,040
      
70
      
(2,544
)
    
161,566
  
Debt securities issued by states of the U.S. and political subdivisions of the states
    
34,995
      
—
      
(818
)
    
34,177
  
Total securities with a maturity of more than one year
    
617,692
      
94
      
(15,611
)
    
602,175
  
Total available-for-sale securities
  
$
1,567,505
    
$
227
    
$
(19,034
)
  
$
1,548,698
  
Equity securities:
                                
Total equity securities included in other current assets (2)
  
$
11,897
    
$
3,946
    
$
(4,274
)
  
$
11,569
  
Total equity securities included in deposits and other assets (3)
    
23,115
      
16,707
      
—
      
39,822
  
Total equity securities
    
35,012
      
20,653
      
(4,274
)
    
51,391
  
Total available-for-sale and equity securities
  
$
1,602,517
    
$
20,880
    
$
(23,308
)
  
$
1,600,089
  

 
Amortized
    
Gross Unrealized
    
Estimated
  
December 31, 2021
  
Cost
    
Gains
    
Losses
    
Fair Value
  
Available-for-sale securities:
                        
Corporate debt securities (1)
  
$
383,870
    
$
728
    
$
(226
)
  
$
384,372
  
Debt securities issued by U.S. government agencies
    
48,493
      
19
      
(18
)
    
48,494
  
Debt securities issued by the U.S. Treasury (1)
    
45,424
      
—
      
(64
)
    
45,360
  
Debt securities issued by states of the U.S. and political subdivisions of the states
    
134,770
      
45
      
(37
)
    
134,778
  
Total securities with a maturity of one year or less
    
612,557
      
792
      
(345
)
    
613,004
  
Corporate debt securities
    
382,000
      
331
      
(2,644
)
    
379,687
  
Debt securities issued by U.S. government agencies
    
72,935
      
—
      
(561
)
    
72,374
  
Debt securities issued by the U.S. Treasury
    
137,635
      
139
      
(500
)
    
137,274
  
Debt securities issued by states of the U.S. and political subdivisions of the states
    
39,909
      
1
      
(224
)
    
39,686
  
Other municipal debt securities
    
6,136
      
—
      
(37
)
    
6,099
  
Total securities with a maturity of more than one year
    
638,615
      
471
      
(3,966
)
    
635,120
  
Total available-for-sale securities
  
$
1,251,172
    
$
1,263
    
$
(4,311
)
  
$
1,248,124
  
Equity securities:
                                
Total equity securities included in other current assets (2)
  
$
11,897
    
$
7,145
    
$
(837
)
  
$
18,205
  
Total equity securities included in deposits and other assets (3)
    
15,615
      
16,707
      
—
      
32,322
  
Total equity securities
    
27,512
      
23,852
      
(837
)
    
50,527
  
Total available-for-sale and equity securities
  
$
1,278,684
    
$
25,115
    
$
(5,148
)
  
$
1,298,651
  

(1)
Includes investments classified as cash equivalents on our condensed consolidated balance sheet.

(2)
Our equity securities included in other current assets consisted of our investments in two publicly traded companies, ProQR and Bicycle, which we classify as Level 1 and Level 3 investments, respectively. We recognize publicly traded equity securities at fair value. In the three months ended March 31, 2022, we recognized a $3.4 million and a $3.2 million unrealized loss on our condensed consolidated statement of operations related to our investments in ProQR and Bicycle, respectively. In the three months ended March 31, 2021, our equity securities included in other current assets only consisted of ProQR.

(3)
Our equity securities included in deposits and other assets consisted of our investments in privately held companies. We recognize our private company equity securities at cost minus impairments, plus or minus changes resulting from observable price changes in orderly transactions for the identical or similar investment of the same issuer.


The following is a summary of our investments we consider to be temporarily impaired at March 31, 2022 (in thousands, except for number of investments). We believe that the decline in value of these securities is temporary and is primarily related to the change in market interest rates since purchase. We believe it is more likely than not that we will be able to hold our debt securities to maturity. Therefore, we anticipate full recovery of our debt securities’ amortized cost basis at maturity.

        
Less than 12 Months of
Temporary Impairment
    
More than 12 Months of
Temporary Impairment
    
Total Temporary
Impairment
  
   
Number of
Investments
    
Estimated
Fair Value
    
Unrealized
Losses
    
Estimated
Fair Value
    
Unrealized
Losses
    
Estimated
Fair Value
    
Unrealized
Losses
  
Corporate debt securities
    
337
    
$
647,390
    
$
(11,694
)
  
$
11,300
    
$
(347
)
  
$
658,690
    
$
(12,041
)
Debt securities issued by U.S. government agencies
    
14
      
95,543
      
(1,697
)
    
9,685
      
(326
)
    
105,228
      
(2,023
)
Debt securities issued by the U.S. Treasury
    
44
      
406,747
      
(3,539
)
    
4,860
      
(138
)
    
411,607
      
(3,677
)
Debt securities issued by states of the U.S. and political subdivisions of the states
    
619
      
173,537
      
(1,096
)
    
5,455
      
(98
)
    
178,992
      
(1,194
)
Other municipal debt securities
    
3
      
1,315
      
(16
)
    
5,005
      
(83
)
    
6,320
      
(99
)
Total temporarily impaired securities
    
1,017
    
$
1,324,532
    
$
(18,042
)
  
$
36,305
    
$
(992
)
  
$
1,360,837
    
$
(19,034
)