Investments

6 Months Ended

May 31, 2011

Investments [Abstract]

Investments

Note 5: Investments

A summary of our cash, cash equivalents and available-for-sale investments at May 31, 2011 is as follows:

(In thousands)
	Cost		Unrealized		Unrealized			Fair
Security Type	Basis		Gains		Losses			Value
Cash	$	180,732	$	—	$	—		$	180,732
Money market funds		117,778		—		—			117,778
State and municipal bond obligations		78,747		189		(12	)		78,924
Auction rate securities — municipal bonds		27,200		—		(3,468	)		23,732
Auction rate securities — student loans		12,800		—		(1,748	)		11,052
Corporate bonds		11,547		—		(3	)		11,544
Total	$	428,804	$	189	$	(5,231	)	$	423,762

Such amounts are classified on our balance sheet at May 31, 2011 as follows:

(In thousands)
	Cash and		Short-term		Long-term
Security Type	Equivalents		Investments		Investments
Cash	$	180,732	$	—	$	—
Money market funds		117,778		—		—
State and municipal bond obligations		11,932		66,992		—
Auction rate securities — municipal bonds		—		—		23,732
Auction rate securities — student loans		—		—		11,052
Corporate bonds		—		11,544		—
Total	$	310,442	$	78,536	$	34,784

For each of the auction rate securities (ARS), we evaluated the risks related to the structure, collateral and liquidity of the investment, and forecasted the probability of issuer default, auction failure and a successful auction at par or a redemption at par for each future auction period. The weighted average cash flow for each period was then discounted back to present value for each security. Based on this methodology, we determined that the fair value of our non-current ARS investments is $34.8 million, and the temporary impairment charge recorded as of May 31, 2011 in accumulated other comprehensive loss to reduce the value of our available-for-sale ARS investments was $5.2 million.

We will not be able to access these remaining funds until a future auction for these ARS is successful, we sell the securities in a secondary market, or they are redeemed by the issuer. As such, these remaining investments currently lack short-term liquidity and are therefore classified as long-term investments on the balance sheet at May 31, 2011. However, based on our cash and short-term investments balance of $389.0 million and expected operating cash flows, we do not anticipate the lack of liquidity associated with these ARS to adversely affect our ability to conduct business and believe we have the ability to hold the affected securities throughout the currently estimated recovery period. Therefore, the impairment on these securities is considered only temporary in nature. If the credit rating of either the security issuer or the third-party insurer underlying the investments deteriorates significantly, we may be required to adjust the carrying value of the ARS through an other-than-temporary impairment charge to earnings.

A summary of our cash, cash equivalents and available-for-sale investments at November 30, 2010 is as follows:

(In thousands)
	Cost		Unrealized		Unrealized			Fair
Security Type	Basis		Gains		Losses			Value
Cash	$	154,718	$	—	$	—		$	154,718
Money market funds		122,415		—		—			122,415
State and municipal bond obligations		25,484		207		(10	)		25,681
US government and agency securities		10,000		—		—			10,000
Auction rate securities — municipal bonds		27,200		—		(3,560	)		23,640
Auction rate securities — student loans		19,000		—		(2,997	)		16,003
Corporate bonds		9,418		—		(21	)		9,397
Certificates of deposit		185		—		—			185
Total	$	368,420	$	207	$	(6,588	)	$	362,039

Such amounts are classified on our balance sheet at November 30, 2010 as follows:

(In thousands)
	Cash and		Short-term		Long-term
Security Type	Equivalents		Investments		Investments
Cash	$	154,718	$	—	$	—
Money market funds		122,415		—		—
State and municipal bond obligations		1,926		23,755		—
US government and agency securities		7,500		2,500		—
Auction rate securities — municipal bonds		—		—		23,640
Auction rate securities — student loans		—		—		16,003
Corporate bonds		—		9,397		—
Certificates of deposit		—		185		—
Total	$	286,559	$	35,837	$	39,643

The fair value of debt securities at May 31, 2011 and November 30, 2010, by contractual maturity, is as follows:

(In thousands)
	May 31, 2011		Nov. 30, 2010
Due in one year or less (1)	$	100,540	$	70,285
Due after one year		24,712		14,621
Total	$	125,252	$	84,906

(1) Includes ARS which are tendered for interest-rate setting purposes periodically throughout the year. Beginning in February 2008, auctions for these securities began to fail, and therefore these investments currently lack short-term liquidity. The remaining contractual maturities of these securities range from 13 to 31 years.

Investments with continuous unrealized losses for less than twelve months and twelve months or greater and their related fair values are as follows at May 31, 2011:

(In thousands)
			Less Than					12 Months
			12 Months					or Greater			Total		Total
	Fair		Unrealized			Fair		Unrealized			Fair		Unrealized
Security Type	Value		Losses			Value		Losses			Value		Losses
State and municipal bond obligations	$	27,756	$	(12	)	$	—	$	—		$	27,756	$	(12	)
Auction rate securities — municipal bonds		—		—			23,732		(3,468	)		23,732		(3,468	)
Auction rate securities — student loans		—		—			11,052		(1,748	)		11,052		(1,748	)
Corporate bonds		6,136		(3	)		—		—			6,136		(3	)
Total	$	33,892	$	(15	)	$	34,784	$	(5,216	)	$	68,676	$	(5,231	)

Investments with continuous unrealized losses for less than twelve months and twelve months or greater and their related fair values are as follows at November 30, 2010:

(In thousands)
			Less Than					12 Months
			12 Months					or Greater			Total		Total
	Fair		Unrealized			Fair		Unrealized			Fair		Unrealized
Security Type	Value		Losses			Value		Losses			Value		Losses
State and municipal bond obligations	$	6,506	$	(10	)	$	—	$	—		$	6,506	$	(10	)
Auction rate securities — municipal bonds		—		—			23,640		(3,560	)		23,640		(3,560	)
Auction rate securities — student loans		—		—			16,003		(2,997	)		16,003		(2,997	)
Corporate bonds		9,397		(21	)		—		—			9,397		(21	)
Total	$	15,903	$	(31	)	$	39,643	$	(6,557	)	$	55,546	$	(6,588	)

The unrealized losses associated with state and municipal obligations and corporate bonds and notes are attributable to changes in interest rates. The unrealized losses associated with ARS are discussed above. Management does not believe any unrealized losses represent other-than-temporary impairments based on our evaluation of available evidence as of May 31, 2011.