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3. Fair Value Measurements (Tables)
 6 Months Ended
Jun. 30, 2013
Fair Value Measurements [Abstract]  
Schedule of financial assets and liabilities carried at fair value on a recurring basis

Financial assets and liabilities carried at fair value and measured on a recurring basis as of June 30, 2013 are classified in the hierarchy as follows (in millions):

 
Level 1
 
Level 2
 
Level 3
 
Total
Financial Assets Carried at Fair Value:
 
 
 
 
 
 
 
Cash equivalents (a):
 
 
 
 
 
 
 
Commercial paper
$
—

 
$
43.9

 
$
—

 
$
43.9

Foreign government obligations
—

 
4.5

 
—

 
4.5

Foreign time deposits
10.0

 
—

 
—

 
10.0

Money market funds
4.8

 
—

 
—

 
4.8

Total cash equivalents
14.8

 
48.4

 
—

 
63.2

Available-for-sale investments (b):
 
 
 
 
 
 
 
Corporate debt securities
—

 
236.7

 
—

 
236.7

Foreign brokered certificates of deposit
—

 
9.3

 
—

 
9.3

U.S. government sponsored agencies
—

 
84.2

 
—

 
84.2

Foreign government obligations
—

 
9.5

 
—

 
9.5

Municipal obligations
—

 
14.3

 
—

 
14.3

Marketable equity securities
290.6

 
—

 
—

 
290.6

Asset-backed securities
—

 
86.0

 
—

 
86.0

Total available-for-sale investments
290.6

 
440.0

 
—

 
730.6

Forward foreign exchange contracts (c)
—

 
1.3

 
—

 
1.3

Total financial assets carried at fair value
$
305.4

 
$
489.7

 
$
—

 
$
795.1

 
 
 
 
 
 
 
 
Financial Liabilities Carried at Fair Value:
 
 
 
 
 
 
 
Forward foreign exchange contracts (d)
$
—

 
$
1.2

 
$
—

 
$
1.2

Contingent consideration (e)
—

 
—

 
37.8

 
37.8

Total financial liabilities carried at fair value
$
—

 
$
1.2

 
$
37.8

 
$
39.0



Financial assets and liabilities carried at fair value and measured on a recurring basis as of December 31, 2012 are classified in the hierarchy as follows (in millions):

 
Level 1
 
Level 2
 
Level 3
 
Total
Financial Assets Carried at Fair Value:
 
 
 
 
 
 
 
Cash equivalents (a):
 
 
 
 
 
 
 
Commercial paper
$
—

 
$
52.8

 
$
—

 
$
52.8

Foreign time deposits
10.1

 
—

 
—

 
10.1

U.S. government sponsored agencies
—

 
1.3

 
—

 
1.3

Money market funds
5.5

 
—

 
—

 
5.5

Total cash equivalents
15.6

 
54.1

 
—

 
69.7

Available-for-sale investments (b):
 
 
 
 
 
 
 
Corporate debt securities
—

 
240.6

 
—

 
240.6

Foreign brokered certificates of deposit
—

 
0.4

 
—

 
0.4

U.S. government sponsored agencies
—

 
92.7

 
—

 
92.7

Foreign government obligations
—

 
5.6

 
—

 
5.6

Municipal obligations
—

 
12.1

 
—

 
12.1

Marketable equity securities
242.1

 
—

 
—

 
242.1

Asset-backed securities
—

 
82.2

 
—

 
82.2

Total available-for-sale investments
242.1

 
433.6

 
—

 
675.7

Forward foreign exchange contracts (c)
—

 
1.1

 
—

 
1.1

Total financial assets carried at fair value
$
257.7

 
$
488.8

 
$
—

 
$
746.5

 
 
 
 
 
 
 
 
Financial Liabilities Carried at Fair Value:
 
 
 
 
 
 
 
Forward foreign exchange contracts (d)
$
—

 
$
0.8

 
$
—

 
$
0.8

Contingent consideration (e)
—

 
—

 
52.6

 
52.6

Total financial liabilities carried at fair value
$
—

 
$
0.8

 
$
52.6

 
$
53.4



(a)
Cash equivalents are included in Cash and cash equivalents in the Condensed Consolidated Balance Sheets.

(b)
Available-for-sale investments are included in the following accounts in the Condensed Consolidated Balance Sheets (in millions):
 
June 30, 2013
 
December 31, 2012
Short-term investments
$
467.4

 
$
457.7

Other assets
263.2

 
218.0

Total
$
730.6

 
$
675.7



(c)
Forward foreign exchange contracts in an asset position are included in Prepaid expenses, taxes and other current assets in the Condensed Consolidated Balance Sheets.

(d)
Forward foreign exchange contracts in a liability position are included in Other current liabilities in the Condensed Consolidated Balance Sheets.

(e)
Contingent consideration liability is included in the following accounts in the Condensed Consolidated Balance Sheets (in millions):

 
June 30, 2013
 
December 31, 2012
Other current liabilities
$
13.1

 
$
27.3

Other long-term liabilities
24.7

 
25.3

   Total
$
37.8

 
$
52.6
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block]
The following table provides a reconciliation of the Level 3 contingent consideration liabilities measured at estimated fair value based on original third party valuations and updated quarterly for the six months ended June 30, 2013 (in millions):

January 1
$
52.6

Payment of development milestone - QuantaLife
(6.0
)
Payment of development milestone - Cell sorting system
(7.5
)
Decrease in estimated fair value of contingent consideration included in Selling, general and administrative expense - QuantaLife
(1.3
)
June 30
$
37.8
Fair Value Inputs, Liabilities, Quantitative Information [Table Text Block]
The following table provides quantitative information about Level 3 inputs for fair value measurement of our contingent consideration liabilities as of June 30, 2013. Significant increases or decreases in these inputs in isolation could result in a significantly lower or higher fair value measurement.
 
 
 
Range
 
Valuation Technique
Unobservable Input
From
To
QuantaLife
Probability-weighted income approach
Sales milestones:
 
 
 
 
Credit adjusted discount rates
0.67%
1.03%
 
 
Probability of achieving sales
25.0%
75.0%
Cell sorting system
Probability-weighted income approach
Sales milestones:
 
 
 
 
Credit adjusted discount rates
1.0%
1.7%
 
 
Projected volatility of sales
18.0%
N/A
 
 
Market price of risk
1.4%
N/A
 
 
Development milestones:
 
 
 
 
Probability
100%
N/A
 
 
Risk-adjusted discount rate
1.0%
N/A
Discussion of current derivative risk management
The following is a summary of our forward foreign currency exchange contracts (in millions):
 
June 30,
 
2013
 
 
Contracts maturing in July through September 2013 to sell foreign currency:
 
Notional value
$
88.3

Unrealized gain
$
0.5

Contracts maturing in July through September 2013 to purchase foreign currency:
 
Notional value
$
408.1

Unrealized loss
$
(0.4
)
Schedule of available-for-sale investments

Available-for-sale investments consist of the following (in millions):

 
June 30, 2013
 
Amortized
Cost
 
Unrealized
Gains
 
Unrealized
Losses
 
Estimated
Fair
Value
Short-term investments:
 
 
 
 
 
 
 
Corporate debt securities
$
237.1

 
$
0.5

 
$
(0.9
)
 
$
236.7

Foreign brokered certificates of deposit
9.3

 
—

 
—

 
9.3

Municipal obligations
14.5

 
—

 
(0.2
)
 
14.3

Asset-backed securities
86.1

 
0.1

 
(0.5
)
 
85.7

U.S. government sponsored agencies
84.2

 
0.1

 
(0.1
)
 
84.2

Foreign government obligations
9.5

 
—

 
—

 
9.5

Marketable equity securities
25.0

 
2.8

 
(0.1
)
 
27.7

 
465.7

 
3.5

 
(1.8
)
 
467.4

Long-term investments:
 
 
 
 
 
 
 
Marketable equity securities
54.5

 
208.5

 
(0.1
)
 
262.9

Asset-backed securities
0.4

 
—

 
(0.1
)
 
0.3

 
54.9

 
208.5

 
(0.2
)
 
263.2

Total
$
520.6

 
$
212.0

 
$
(2.0
)
 
$
730.6



 
December 31, 2012
 
Amortized
Cost
 
Unrealized
Gains
 
Unrealized
Losses
 
Estimated
Fair
Value
Short-term investments:
 
 
 
 
 
 
 
Corporate debt securities
$
239.3

 
$
1.4

 
$
(0.1
)
 
$
240.6

Foreign brokered certificates of deposit
0.4

 
—

 
—

 
0.4

Municipal obligations
12.0

 
0.1

 
—

 
12.1

Asset-backed securities
81.6

 
0.4

 
(0.1
)
 
81.9

U.S. government sponsored agencies
92.5

 
0.3

 
(0.1
)
 
92.7

Foreign government obligations
5.4

 
—

 
—

 
5.4

Marketable equity securities
24.1

 
0.7

 
(0.2
)
 
24.6

 
455.3

 
2.9

 
(0.5
)
 
457.7

Long-term investments:
 
 
 
 
 
 
 
Marketable equity securities
54.5

 
163.0

 
—

 
217.5

Asset-backed securities
0.4

 
—

 
(0.1
)
 
0.3

Foreign government obligations
0.2

 
—

 
—

 
0.2

 
55.1

 
163.0

 
(0.1
)
 
218.0

Total
$
510.4

 
$
165.9

 
$
(0.6
)
 
$
675.7
Summary of fair value of gross unrealized losses for investments with unrealized losses
The following is a summary of investments with gross unrealized losses and the associated fair value (in millions):

 
June 30, 2013
 
December 31, 2012
Fair value of investments in a loss position 12 months or more
$
1.4

 
$
0.3

Fair value of investments in a loss position less than 12 months
$
179.0

 
$
99.0

Gross unrealized losses for investments in a loss position 12 months or more
$
0.1

 
$
0.1

Gross unrealized losses for investments in a loss position less than 12 months
$
1.9

 
$
0.5
Summary of amortized cost and estimated fair value of debt securities by contractual maturity date

The following is a summary of the amortized cost and estimated fair value of our debt securities at June 30, 2013 by contractual maturity date (in millions):

 
Amortized
Cost
 
Estimated Fair
Value
Mature in less than one year
$
172.8

 
$
172.9

Mature in one to five years
194.8

 
194.7

Mature in more than five years
73.5

 
72.4

Total
$
441.1

 
$
440.0
Estimated fair value of financial instruments

The estimated fair value of our financial instruments and the level of the fair value hierarchy within which the fair value measurement is categorized are as follows (in millions):

 
June 30, 2013
 
December 31, 2012
 
Carrying 
Amount 
 
Estimated 
Fair 
Value 
 
Fair Value Hierarchy Level
 
Carrying 
Amount 
 
Estimated 
Fair 
Value 
 
Fair Value Hierarchy Level
Other assets
$
342.7

 
$
638.1

 
1
 
$
293.6

 
$
497.8

 
1
Total long-term debt, excluding leases and current maturities
$
720.4

 
$
731.7

 
2
 
$
720.0

 
$
778.4

 
2