eBay 2015 Annual Report Download - page 98

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eBay Inc.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)
Our fixed-income investment portfolio consists of predominantly investment grade corporate debt securities
and government and agency securities that have a maximum maturity of 8 years. The corporate debt and
government and agency securities that we invest in are generally deemed to be low risk based on their credit
ratings from the major rating agencies. The longer the duration of these securities, the more susceptible they are
to changes in market interest rates and bond yields. As interest rates increase, those securities purchased at a
lower yield show a mark-to-market unrealized loss. The unrealized losses are due primarily to changes in credit
spreads and interest rates. We regularly review investment securities for other-than-temporary impairment using
both qualitative and quantitative criteria. We presently do not intend to sell any of the securities in an unrealized
loss position and expect to realize the full value of all these investments upon maturity or sale. Restricted cash is
held primarily in interest bearing accounts for letters of credit related primarily to our global sabbatical program
and various lease arrangements.
The estimated fair values of our short-term and long-term investments classified as available for sale by date
of contractual maturity at December 31, 2015 are as follows:
December 31,
2015
(In millions)
One year or less (including restricted cash of $28) $3,370
One year through two years 1,190
Two years through three years 1,464
Three years through four years 547
Four years through five years 59
Five years through six years —
Six years through seven years —
Seven years through eight years 6
Eight years through nine years —
Nine years through ten years —
$6,636
Equity and cost method investments
We have made multiple equity and cost method investments which are reported in long-term investments on
our consolidated balance sheet. As of December 31, 2015 and 2014, our equity and cost method investments
totaled $124 million and $184 million, respectively. During the second quarter of 2015, we sold our equity
interest in craigslist, Inc. During the third quarter of 2015, we sold a portion of our equity interest in Jasper
Infotech Private Limited (Snapdeal) and our entire interest in Baixing Holdings Limited. The resulting gains are
recorded in interest and other, net on our consolidated statement of income.
F-24