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8. Investments
(a) Summary of Available-for-Sale Investments
The following tables summarize the Company’s available-for-sale investments (in millions):
July 25, 2015
Amortized
Cost
Gross
Unrealized
Gains
Gross
Unrealized
Losses
Fair
Value
Fixed income securities:
U.S. government securities ............................ $ 29,904 $ 41 $ (6) $ 29,939
U.S. government agency securities .................... 3,662 2 (1) 3,663
Non-U.S. government and agency securities .......... 1,128 1 (1) 1,128
Corporate debt securities ............................. 15,802 34 (53) 15,783
U.S. agency mortgage-backed securities .............. 1,456 8 (3) 1,461
Total fixed income securities ..................... 51,952 86 (64) 51,974
Publicly traded equity securities ........................... 1,092 480 (7) 1,565
Total ......................................... $ 53,044 $ 566 $ (71) $ 53,539
July 26, 2014
Amortized
Cost
Gross
Unrealized
Gains
Gross
Unrealized
Losses
Fair
Value
Fixed income securities:
U.S. government securities ............................. $ 31,717 $ 29 $ (12) $ 31,734
U.S. government agency securities ...................... 1,062 1 — 1,063
Non-U.S. government and agency securities ............ 860 2 (1) 861
Corporate debt securities ............................... 9,092 74 (7) 9,159
U.S. agency mortgage-backed securities ................ 574 5 — 579
Total fixed income securities ...................... 43,305 111 (20) 43,396
Publicly traded equity securities ............................. 1,314 648 (10) 1,952
Total ......................................... $ 44,619 $ 759 $ (30) $ 45,348
Non-U.S. government and agency securities include agency and corporate debt securities that are guaranteed by non-U.S.
governments.
(b) Gains and Losses on Available-for-Sale Investments
The following table presents the gross realized gains and gross realized losses related to the Company’s available-for-sale
investments (in millions):
Years Ended July 25, 2015 July 26, 2014 July 27, 2013
Gross realized gains ........................................................ $ 221 $ 341 $ 264
Gross realized losses ....................................................... (64) (41) (216)
Total .................................................................. $ 157 $ 300 $ 48
The following table presents the realized net gains related to the Company’s available-for-sale investments by security type (in
millions):
Years Ended July 25, 2015 July 26, 2014 July 27, 2013
Net gains on investments in publicly traded equity securities ................ $ 116 $ 253 $ 17
Net gains on investments in fixed income securities ......................... 41 47 31
Total .................................................................. $ 157 $ 300 $ 48
There were no impairment charges on available-for-sale investments for fiscal 2015. For fiscal 2014, the realized net gains related
to the Company’s available-for-sale investments included impairment charges of $11 million. These impairment charges related
to publicly traded equity securities and were due to a decline in the fair value of those securities below their cost basis that were
determined to be other than temporary. There were no impairment charges on available-for-sale investments for fiscal 2013.
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