Note 3 — Available for Sale Investments

The following is a summary of available-for-sale investments (in thousands):


		December 31, 2012
						Unrealized
						Losses for
		Amortized		Unrealized		More Than		Estimated
		Cost		Gains		12 Months		Fair Value
Certificate of deposit	$	75	$	—	$	—	$	75
Money market funds		43,505		—		—		43,505
Restricted Italian state bonds maturing
in 2013		451		—		(67)		384
Total available-for-sale investments	$	44,031	$	—	$	(67)	$	43,964


		December 31, 2011
						Unrealized
						Losses for
		Amortized		Unrealized		More Than		Estimated
		Cost		Gains		12 Months		Fair Value
Money market funds	$	31,849	$	—	$	—	$	31,849
Restricted Italian state bonds maturing
in 2013		450		—		(86)		364
Total available-for-sale investments	$	32,299	$	—	$	(86)	$	32,213

The cost of securities sold is based on the specific identification method.

The Company’s restricted Italian state bonds secure its Italian value added tax filing arrangements. The unrealized losses on the bonds mainly relate to loss on foreign currency translation. The Company has concluded that it has the ability and it is more likely than not that it will hold its restricted Italian state bond investments until maturity or recovery of its cost basis.

The Company’s certificate of deposit for $0.1 million at December 31, 2012 secures the Company’s letter of credit required under its European value added tax filing arrangements.

The Company’s money market funds at December 31, 2012 include $2.3 million of cash in a restricted account to secure a letter of credit associated with its loan agreement with Shanghai Pudong Development Bank Co. Ltd. Refer also to Note 11 for further information regarding the Company’s loan agreement.