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Financial Statement Details | 9 Months Ended
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Sep. 30, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract] |
Financial Statement Details | Financial Statement Details (in millions) Short-Term Marketable Securities Short-term marketable securities, consisting of equity and debt securities, were as follows:
| September 30, 2018
| Cost or Amortized Cost |  | Gross Unrealized Gains |  | Gross Unrealized Losses |  | Estimated Market Value
Equity investment in Tandem Diabetes Care, Inc | $ | 2.0 |  |  | $ | 40.8 |  |  | $ | — |  |  | $ | 42.8 |
Debt securities, available for sale |  |  |  |  |  |  |
U.S. government agencies | $ | 189.7 |  |  | $ | — |  |  | $ | (0.1 | ) |  | $ | 189.6 |
Commercial paper | 67.9 |  |  | — |  |  | — |  |  | 67.9 |
Corporate debt | 1.0 |  |  | — |  |  | — |  |  | 1.0 |
Total available-for-sale debt securities | $ | 258.6 |  |  | $ | — |  |  | $ | (0.1 | ) |  | $ | 258.5 |
Total marketable securities | $ | 260.6 |  |  | $ | 40.8 |  |  | $ | (0.1 | ) |  | $ | 301.3 |
| December 31, 2017
| Amortized Cost |  | Gross Unrealized Gains |  | Gross Unrealized Losses |  | Estimated Market Value
U.S. government agencies | $ | 87.5 |  |  | $ | — |  |  | $ | (0.2 | ) |  | $ | 87.3 |
Corporate debt | 14.7 |  |  | — |  |  | — |  |  | 14.7 |
Commercial paper | 5.1 |  |  | — |  |  | — |  |  | 5.1 |
Total marketable securities | $ | 107.3 |  |  | $ | — |  |  | $ | (0.2 | ) |  | $ | 107.1 |
As of September 30, 2018, we do not have any marketable securities with contractual maturities longer than 12 months. We do not generally intend to sell the investments and it is not more likely than not that we will be required to sell the investments before recovery of their amortized cost bases, which may be at maturity. The following table reconciles the net gain recognized on equity securities during the three and nine months ended September 30, 2018 and 2017 to the unrealized gain recognized during the periods on equity securities still held at the reporting date.
| Three Months Ended September 30, |  | Nine Months Ended September 30,
| 2018 |  | 2017 |  | 2018 |  | 2017
Net gains recognized during the period on equity securities | $ | 34.9 |  |  | $ | — |  |  | $ | 85.0 |  |  | $ | — |
Less: Net gains recognized during the period on equity securities sold during the period | (14.1 | ) |  | — |  |  | (44.2 | ) |  | — |
Unrealized gains recognized during the reporting period on equity securities still held at the reporting date | $ | 20.8 |  |  | $ | — |  |  | $ | 40.8 |  |  | $ | — |
Inventory
| September 30, 2018 |  | December 31, 2017
Raw materials | $ | 21.8 |  |  | $ | 20.0 |
Work-in-process | 10.6 |  |  | 8.2 |
Finished goods | 22.8 |  |  | 17.0 |
Total | $ | 55.2 |  |  | $ | 45.2 |
During the three and nine months ended September 30, 2018 we recorded excess and obsolete inventory charges of $0.6 million and $6.1 million, respectively, in cost of goods sold primarily related to the approval and launch of our G6 System and the continuous improvement and innovation of our products. Property and Equipment
| September 30, 2018 |  | December 31, 2017
Building (1) | $ | 6.0 |  |  | $ | 6.0 |
Furniture and fixtures | 8.5 |  |  | 5.7 |
Computer equipment | 28.6 |  |  | 25.6 |
Machinery and equipment | 67.6 |  |  | 33.8 |
Leasehold improvements | 78.1 |  |  | 41.7 |
Construction in progress | 53.1 |  |  | 87.6 |
Total | 241.9 |  |  | 200.4 |
Accumulated depreciation and amortization | (72.3 | ) |  | (54.8 | )
Property and equipment, net | $ | 169.6 |  |  | $ | 145.6 |
(1) As described in Footnote 6 “Commitments and Contingencies,” although we do not legally own these premises, we were deemed the owner of the construction project during the construction period of our new manufacturing facility in Mesa, Arizona under a build-to-suit lease arrangement. Accounts Payable and Accrued Liabilities
| September 30, 2018 |  | December 31, 2017
Accounts payable trade | $ | 57.7 |  |  | $ | 46.7 |
Accrued tax, audit, and legal fees | 18.3 |  |  | 7.1 |
Accrued rebates | 34.7 |  |  | 13.9 |
Accrued warranty | 6.4 |  |  | 8.8 |
Accrued other | 18.3 |  |  | 10.7 |
Total | $ | 135.4 |  |  | $ | 87.2 |
Accrued Warranty Warranty costs are reflected in the consolidated statements of operations as product cost of sales. A reconciliation of our accrued warranty costs for the three and nine months ended September 30, 2018 and 2017 were as follows:
| Three Months Ended September 30, |  | Nine Months Ended September 30,
| 2018 |  | 2017 |  | 2018 |  | 2017
Beginning balance | $ | 7.5 |  |  | $ | 8.3 |  |  | $ | 8.8 |  |  | $ | 9.8 |
Charges to costs and expenses | 3.9 |  |  | 5.4 |  |  | 11.8 |  |  | 13.9 |
Costs incurred | (5.0 | ) |  | (5.0 | ) |  | (14.2 | ) |  | (15.0 | )
Ending balance | $ | 6.4 |  |  | $ | 8.7 |  |  | $ | 6.4 |  |  | $ | 8.7 |
Other Liabilities
| September 30, 2018 |  | December 31, 2017
Financing lease obligations | $ | 7.3 |  |  | $ | 6.7 |
Deferred rent | 7.5 |  |  | 8.7 |
Other | 4.6 |  |  | 2.8 |
Total | $ | 19.4 |  |  | $ | 18.2 |

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