Investments

The Company considers all money market funds and debt instruments, including certificates of deposit and commercial paper, purchased with an original maturity of three months or less to be cash equivalents, unless the assets are restricted. The carrying value of cash and cash equivalents approximates its fair value.

The Company’s investments as of December 31, 2014 consisted of a number of financial securities including certificates of deposit, shares in mutual funds invested in short term bonds and a 10% ownership interest in a former subsidiary now treated as a cost investment. The Company accounts for its investments in debt and equity instruments in accordance with ASC 320, “Investments – Debt & Equity Securities.” The Company accounts for its cost investments in accordance with ASC 325, “Investments – Other.”

The following table summarizes, by major security type, the amortized costs and fair value of the Company’s investments:



	December 31, 2014							December 31, 2013
(In thousands)	Cost Basis⁽¹⁾		Fair Value		Net unrealized loss in AOCI(2)			Cost Basis⁽¹⁾		Fair Value		Net unrealized loss in AOCI
Short-term bond mutual funds	$	19,092	$	18,961	$	(131	)	$	8,000	$	7,985	$	(15	)
Certificates of deposit	1,101		1,101		—			1,070		1,070		—
Investment in ViSalus	6,850		6,850		—			—		—		—
Total investments	$	27,043	$	26,912	$	(131	)	$	9,070	$	9,055	$	(15	)

(1) The cost basis represents the actual amount paid less any permanent impairment of that asset.

(2) The Company believes these short-term losses are temporary in nature and that, therefore, no permanent impairment is required.

As of December 31, 2014 and 2013, the Company held $19.0 million and $8.0 million, respectively, of short-term bond mutual funds, which are classified as short-term available for sale investments. Unrealized losses on these investments that are considered temporary are recorded in AOCI. These securities are valued based on quoted prices in active markets. As of December 31, 2014 and 2013, the Company recorded $0.1 million and insignificant unrealized losses, net of tax, respectively.

Also included in long-term investments are certificates of deposit that are held as collateral for the Company’s outstanding standby letters of credit and for foreign operations of $1.1 million December 31, 2014 and 2013, respectively. These investments are recorded at fair value which approximates cost and interest earned on these is recorded in Interest income in the Consolidated Statements of Earnings.

The Company accounts for its noncontrolling interest in ViSalus on a cost basis under ASC 325. This investment was evaluated for impairment at December 31, 2014 and, as a result, a $2.9 million impairment charge was recorded to the ViSalus investment bringing the ending investment value to $6.9 million. These transactions involve related parties as discussed in Note 15 to the Consolidated Financial Statements.

In addition to the investments noted above, the Company holds mutual funds as part of a deferred compensation plan which are classified as available for sale. As of December 31, 2014 and 2013, the fair value of these securities was $1.0 million. These securities are valued based on quoted prices in an active market. Unrealized gains and losses on these securities are recorded in AOCI. These mutual funds are included in Other assets in the Consolidated Balance Sheets.

The following table summarizes the proceeds and realized gains and losses on the sale of available for sale investments recorded in Foreign exchange and other within the Consolidated Statements of Earnings for the years ended December 31, 2014 and 2013. Gains and losses reclassified from AOCI, net to foreign exchange, in the Consolidated Statement of Earnings are calculated using the specific identification method.



(In thousands)	December 31, 2014			December 31, 2013
Net proceeds	$	8,900		$	44,655
Realized losses	$	(8	)	$	(304	)