Tyson Foods 2015 Annual Report Download - page 71
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Please find page 71 of the 2015 Tyson Foods annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.Thefollowingtableprovidesareconciliationbetweenthebeginningandendingbalanceofdebtsecuritiesmeasuredatfairvalueonarecurringbasisinthetable
abovethatusedsignificantunobservableinputs(Level3):
inmillions
October3,2015
September27,2014
Balanceatbeginningofyear $ 67
$ 65
Totalrealizedandunrealizedgains(losses):
Includedinearnings —
—
Includedinothercomprehensiveincome(loss) —
—
Purchases 20
25
Issuances —
—
Settlements (26)
(23)
Balanceatendofyear $ 61
$ 67
Totalgains(losses)fortheperiodsincludedinearningsattributabletothechangeinunrealized
gains(losses)relatingtoassetsandliabilitiesstillheldatendofyear $ —
$ —
Thefollowingmethodsandassumptionswereusedtoestimatethefairvalueofeachclassoffinancialinstrument:
Derivative Assets and Liabilities: Ourderivativefinancialinstrumentsprimarilyincludeexchange-tradedandover-the-countercontractswhicharefurther
describedinNote12:DerivativeFinancialInstruments.Werecordourderivativefinancialinstrumentsatfairvalueusingquotedmarketpricesadjustedforcredit
andnon-performanceriskandinternalmodelsthatuseastheirbasisreadilyobservablemarketinputsincludingcurrentandforwardmarketprices.Weclassify
theseinstrumentsinLevel2whenquotedmarketpricescanbecorroboratedutilizingobservablecurrentandforwardcommoditymarketpricesonactive
exchangesorobservablemarkettransactions.
Available for Sale Securities: Ourinvestmentsinmarketabledebtsecuritiesareclassifiedasavailable-for-saleandarereportedatfairvaluebasedonpricing
modelsandquotedmarketpricesadjustedforcreditandnon-performancerisk.Short-terminvestmentswithmaturitiesoflessthan12monthsareincludedinOther
currentassetsintheConsolidatedBalanceSheetsandprimarilyincludecertificatesofdepositandcommercialpaper.Allothermarketabledebtsecuritiesare
includedinOtherAssetsintheConsolidatedBalanceSheetsandhavematuritiesrangingupto35years.WeclassifyourinvestmentsinUnitedStatesgovernment,
UnitedStatesagency,certificatesofdepositandcommercialpaperdebtsecuritiesasLevel2asfairvalueisgenerallyestimatedusingdiscountedcashflowmodels
thatareprimarilyindustry-standardmodelsthatconsidervariousassumptions,includingtimevalueandyieldcurveaswellasotherreadilyavailablerelevant
economicmeasures.Weclassifycertaincorporate,asset-backedandotherdebtsecuritiesasLevel3asthereislimitedactivityorlessobservableinputsinto
valuationmodels,includingcurrentinterestratesandestimatedprepayment,defaultandrecoveryratesontheunderlyingportfolioorstructuredinvestment
vehicle.SignificantchangestoassumptionsorunobservableinputsinthevaluationofourLevel3instrumentswouldnothaveasignificantimpacttoour
consolidatedfinancialstatements.
inmillions
October3,2015
September27,2014
Amortized
CostBasis
Fair
Value
Unrealized
Gain/(Loss)
Amortized
CostBasis
Fair
Value
Unrealized
Gain/(Loss)
AvailableforSaleSecurities:
DebtSecurities:
UnitedStatesTreasuryandAgency $ 33
$ 34
$ 1
$ 25
$ 25
$ —
CorporateandAsset-Backed 60
61
1
65
67
2
EquitySecurities:
CommonStockandWarrants(a) —
—
—
1
1
—
(a) AtOctober3,2015,andSeptember27,2014,theamortizedcostbasisforEquitySecuritieshadbeenreducedbyaccumulatedotherthantemporary
impairmentofapproximatelyniland$2million,respectively.
69