Symantec 2007 Annual Report Download - page 99

As of March 31, 2007, the unrealized losses in the above table relate to short-term investment securities for
which the fair value is less than the cost basis. We expect to receive the full principal and interest on these securities.
When evaluating our investments for possible impairment, we review factors such as the length of time and extent to
which fair value has been below cost basis, credit quality, the financial condition of the investee, and our ability and
intent to hold the investment for a period of time which may be sufficient for anticipated recovery in market value.
The gross unrealized losses related to investments are primarily due to a decrease in the fair market value of fixed-
rate debt securities as a result of increases in interest rates. The changes in the values in the above securities are
considered to be temporary in nature and, accordingly, we do not believe that the values of these securities are
impaired as of March 31, 2007. Unrealized gains and losses on available-for-sale securities are reported as a
component of Stockholders’ equity in the Consolidated Balance Sheets. We recognized net realized losses of an
insignificant amount in fiscal 2007, $5 million in fiscal 2006, and an insignificant amount in fiscal 2005. These net
realized losses were included in Interest income.
The estimated fair value of cash equivalents and short-term investments by contractual maturity as of March 31,
2007 is as follows:
(In thousands)
Due in one year or less ............................................... $2,146,069
Due after one year and through 5 years ................................... 253,909
$2,399,978
The following table provides the gross unrealized losses and the fair market value of our investments with
unrealized losses that are not deemed to be other-than-temporarily impaired, aggregated by investment category and
length of time that individual securities have been in a continuous unrealized loss position as of March 31, 2007:
Fair Value
Gross Unrealized
Losses Fair Value
Gross Unrealized
Losses Fair Value
Gross Unrealized
Losses
In Loss Position for Less Than
12 Months
In Loss Position for 12 Months
or Greater Total
(In thousands)
Asset-backed debt
securities .......... $55,131 $ 54 $ 18,823 $ 47 $ 73,954 $ 101
Corporate debt
securities .......... 22,048 32 75,692 843 97,740 875
Government and
government-sponsored
debt securities . . ..... 17,374 21 111,865 1,116 129,239 1,137
$94,553 $107 $206,380 $2,006 $300,933 $2,113
Equity investments in privately-held companies
As of March 31, 2007 and 2006, we held equity investments with a carrying value of $8 million and
$11 million, respectively, in several privately-held companies. These investments are recorded at cost as we do not
have significant influence over the investees and are included in Other long-term assets in the Consolidated Balance
Sheets. We regularly review our equity investment portfolio according to EITF No. 03-1, The Meaning of
Other-Than-Temporary Impairment and Its Application to Certain Investments. We identify and evaluate equity
investments that have indications of possible impairment. Factors considered in determining whether a loss is
temporary include: the length of time and extent to which the fair market value has been lower than the cost basis,
the financial condition and near-term prospects of the investee, credit quality, and our ability to hold the investment
for a period of time sufficient to allow for any anticipated recovery in fair market value. In fiscal 2007, 2006 and
2005, we recognized declines in value of these investments that were determined to be other-than-temporary of
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SYMANTEC CORPORATION
Notes to Consolidated Financial Statements — (Continued)