Garmin 2005 Annual Report Download - page 91

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61
financial statements of a voluntary change in accounting principle unless it is impracticable. Statement 154 is
effective for the accounting changes and corrections of errors made in fiscal years beginning after December 15,
2005. The adoption of SFAS No. 154 is not expected to have a material effect on the Company’s consolidated
financial statements.
3. Marketable Securities
The following is a summary of the Company’s marketable securities classified as available-for-sale
securities at December 31, 2005:
Estimated Fair
Gross Unrealized Value (Net
Amortized Cost Gains/Losses Carrying Amount)
Mortgage-backed securities $278,932 ($4,611) $274,321
Obligations of states and political
subdivisions 33,425 (456) 32,969
U.S. corporate bonds 45,718 (731) 44,987
Other 23,450 996 24,446
Total $381,525 ($4,802) $376,723
The following is a summary of the Company’s marketable securities classified as available-for-sale
securities at December 25, 2004:
Estimated Fair
Gross Unrealized Value (Net
Amortized Cost Gains/Losses Carrying Amount)
Mortgage-backed securities $194,422 ($1,237) $193,185
Obligations of states and political
subdivisions 58,764 (409) 58,355
U.S. corporate bonds 41,861 (260) 41,601
Other 29,077 (3) 29,074
Total $324,124 ($1,909) $322,215
The amortized cost and estimated fair value of marketable securities at December 31, 2005, by contractual
maturity, are shown below. Expected maturities will differ from contractual maturities because the issuers of the
securities may have the right to prepay obligations without prepayment penalties.
Estimated
Cost Fair Value
Due in one year or less (2006) $37,629 $38,571
Due after one year through five years (2007-2011) 203,572 199,996
Due after five years through ten years (2012-2016) 117,878 116,169
Due after ten years (2017 and thereafter) 22,446 21,987
$381,525 $376,723
The Company invests in auction rate securities which effectively mature every 28 days. Upon maturity,
the proceeds are reinvested in the same security.