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Investments
 6 Months Ended
Jun. 30, 2019
Investments [Abstract]  
Investments

3.  Investments


As of June 30, 2019, we had invested our excess cash primarily in debt instruments of the U.S. Treasury, financial institutions, corporations, and U.S. government agencies with strong credit ratings and an investment grade rating at or above A-1, P-1 or F-1 by Moody’s, Standard & Poor’s, or S&P, or Fitch, respectively. We have established guidelines relative to diversification and maturities that maintain safety and liquidity. We periodically review and modify these guidelines to maximize trends in yields and interest rates without compromising safety and liquidity.


The following table summarizes the contract maturity of the available-for-sale securities we held as of June 30, 2019:

One year or less
    
76
%
After one year but within two years
    
19
%
After two years but within three years
    
5
%
Total
    
100
%


As illustrated above, at June 30, 2019, 95 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.


At June 30, 2019, we had an ownership interest of less than 20 percent in four private companies and two public companies with which we conduct business. The privately-held companies are Atlantic Pharmaceuticals Limited, Dynacure SAS, Seventh Sense Biosystems and Suzhou Ribo Life Science Co, Ltd. The publicly-traded companies are ProQR and ATL.


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

     
Gross Unrealized
      
June 30, 2019
  
Cost (1)
    
Gains
    
Losses
    
Estimated Fair Value
  
Available-for-sale securities:
                        
Corporate debt securities (2)
  
$
938,816
    
$
1,186
    
$
(280
)
  
$
939,722
  
Debt securities issued by U.S. government agencies
    
135,286
      
152
      
(17
)
    
135,421
  
Debt securities issued by the U.S. Treasury (2)
    
312,299
      
332
      
(4
)
    
312,627
  
Debt securities issued by states of the U.S. and political subdivisions of the states
    
61,882
      
16
      
(91
)
    
61,807
  
Other municipal debt securities
    
2,939
      
3
      
—
      
2,942
  
Total securities with a maturity of one year or less
    
1,451,222
      
1,689
      
(392
)
    
1,452,519
  
Corporate debt securities
    
395,728
      
2,686
      
(179
)
    
398,235
  
Debt securities issued by U.S. government agencies
    
129,498
      
428
      
(106
)
    
129,820
  
Debt securities issued by the U.S. Treasury
    
25,607
      
46
      
(23
)
    
25,630
  
Debt securities issued by states of the U.S. and political subdivisions of the states
    
8,817
      
19
      
(12
)
    
8,824
  
Total securities with a maturity of more than one year
    
559,650
      
3,179
      
(320
)
    
562,509
  
Total available-for-sale securities
  
$
2,010,872
    
$
4,868
    
$
(712
)
  
$
2,015,028
  
Equity securities:
                                
Total equity securities included in other current assets (3)
  
$
1,212
    
$
—
    
$
(316
)
  
$
896
  
Total available-for-sale and equity securities
  
$
2,012,084
    
$
4,868
    
$
(1,028
)
  
$
2,015,924
  

     
Gross Unrealized
      
December 31, 2018
  
Cost (1)
    
Gains
    
Losses
    
Estimated Fair Value
  
Available-for-sale securities:
                        
Corporate debt securities
  
$
956,879
    
$
13
    
$
(1,858
)
  
$
955,034
  
Debt securities issued by U.S. government agencies
    
168,839
      
3
      
(104
)
    
168,738
  
Debt securities issued by the U.S. Treasury
    
244,640
      
15
      
(77
)
    
244,578
  
Debt securities issued by states of the U.S. and political subdivisions of the states (2)
    
63,572
      
—
      
(323
)
    
63,249
  
Total securities with a maturity of one year or less
    
1,433,930
      
31
      
(2,362
)
    
1,431,599
  
Corporate debt securities
    
299,018
      
194
      
(1,286
)
    
297,926
  
Debt securities issued by U.S. government agencies
    
107,789
      
194
      
(109
)
    
107,874
  
Debt securities issued by the U.S. Treasury
    
15,600
      
—
      
(24
)
    
15,576
  
Debt securities issued by states of the U.S. and political subdivisions of the states
    
16,980
      
—
      
(287
)
    
16,693
  
Total securities with a maturity of more than one year
    
439,387
      
388
      
(1,706
)
    
438,069
  
Total available-for-sale securities
  
$
1,873,317
    
$
419
    
$
(4,068
)
  
$
1,869,668
  
Equity securities:
                                
Total equity securities included in other current assets (3)
    
1,212
      
137
      
—
      
1,349
  
Total available-for-sale and equity securities
  
$
1,874,529
    
$
556
    
$
(4,068
)
  
$
1,871,017
  

(1)
Our available-for-sale securities are held at amortized cost.


(2)
Includes investments classified as cash equivalents on our condensed consolidated balance sheet.


(3)
We recognize our 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 on our condensed consolidated balance sheet.


The following is a summary of our investments we consider to be temporarily impaired at June 30, 2019. 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
  
 (In thousands)
  
Number of
Investments
    
Estimated
Fair Value
    
Unrealized
Losses
    
Estimated
Fair Value
    
Unrealized
Losses
    
Estimated
Fair Value
    
Unrealized
Losses
  
Corporate debt securities
    
145
    
$
340,153
    
$
(302
)
  
$
63,109
    
$
(157
)
  
$
403,262
    
$
(459
)
Debt securities issued by U.S. government agencies
    
14
      
89,023
      
(105
)
    
2,980
      
(18
)
    
92,003
      
(123
)
Debt securities issued by the U.S. Treasury
    
3
      
47,104
      
(27
)
    
—
      
—
      
47,104
      
(27
)
Debt securities issued by states of the U.S. and political subdivisions of the states
    
23
      
—
      
—
      
40,717
      
(103
)
    
40,717
      
(103
)
Total temporarily impaired securities
    
185
    
$
476,280
    
$
(434
)
  
$
106,806
    
$
(278
)
  
$
583,086
    
$
(712
)