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Investments
12 Months Ended
Dec. 31, 2022
Schedule Of Investments [Abstract]  
Investments

4. Investments

Cash Equivalents — Cash equivalents consist of highly liquid investments with original or remaining maturities of 90 days or less at the time of purchase that are readily convertible into cash. As of December 31, 2022 and 2021, the Company held $69.8 million and $124.2 million, respectively, of cash and cash equivalents.

Available-for-Sale Investment — The Thirona convertible note is classified as an available-for-sale security and is included in other assets in the consolidated balance sheet. Available-for-sale investments are subsequently measured at fair value. Unrealized holding gains and losses are excluded from earnings and reported in other comprehensive income until realized. The Company determines fair value of its available-for-sale investments using level 3 inputs. As of December 31, 2022, the Company evaluated the fair value of its investment in Thirona using a Monte Carlo simulation which resulted in a fair value of $7.1 million. In addition, the Company determined that there was a related credit loss of $0.9 million on the investment which was recognized in the consolidated statements of operations for the year ended December 31, 2022.

Held-to-Maturity Investments — Investments consist of highly liquid investments that are intended to facilitate liquidity and capital preservation. As of December 31, 2022, the Company held $101.1 million of short-term investments and $2.0 million of long-term investments. As of December 31, 2021, the Company held $79.9 million of short-term investments and $56.6 million of long-term investments. The amortization or accretion of the Company’s investments is recognized as interest income in the consolidated statements of operations and was approximately $0.7 million and $0.5 million for the years ended December 31, 2022 and 2021, respectively. No allowance for credit losses on held-to-maturity securities was required as of December 31, 2022 or 2021.

The contractual maturities of the Company’s held to maturity investments as of December 31, 2022 and 2021 are summarized below (in thousands):

 

 

December 31, 2022

 

 

December 31, 2021

 

 

 

Amortized

Cost Basis

 

 

Aggregate

Fair Value

 

 

Amortized

Cost Basis

 

 

Aggregate

Fair Value

 

Due in one year or less(1)

 

 

152,862

 

 

 

156,976

 

 

$

103,733

 

 

$

103,669

 

Due after one year through five years

 

 

1,961

 

 

 

1,948

 

 

 

56,619

 

 

 

56,433

 

Total

 

 

154,823

 

 

 

158,924

 

 

$

160,352

 

 

$

160,102

 

___________________________

(1)

The investments due in one year or less include cash equivalents of $51.8 million as of December 31, 2022 and $23.8 million as of December 31, 2021.

The fair value of the cash equivalents, long-term and short-term investments are disclosed below (in millions):

 

 

 

December 31, 2022

 

 

 

Investment Level

 

Amortized Cost

(Carrying Value)

 

 

Gross Unrealized

Holding Losses

 

 

Estimated

Fair Value

 

Commercial bonds and paper

 

Level 2

 

$

66.8

 

 

$

(0.6

)

 

$

66.2

 

Money market funds

 

Level 1

 

 

51.8

 

 

 

 

 

$

51.8

 

U.S. Treasuries

 

Level 2

 

 

36.3

 

 

 

(0.6

)

 

$

35.7

 

Total cash equivalents and investments

 

 

 

$

154.9

 

 

$

(1.2

)

 

$

153.7

 

Less cash equivalents

 

 

 

 

(51.8

)

 

 

 

 

 

(51.8

)

Total Investments

 

 

 

$

103.1

 

 

$

(1.2

)

 

$

101.9

 

 

 

 

December 31, 2021

 

 

 

Investment Level

 

Amortized Cost

(Carrying Value)

 

 

Gross Unrealized

Holding Losses

 

 

Estimated

Fair Value

 

Commercial bonds and paper

 

Level 2

 

$

115.2

 

 

$

0.2

 

 

$

115.0

 

Money market funds

 

Level 1

 

 

21.3

 

 

 

 

 

 

21.3

 

U.S. Treasuries

 

Level 2

 

 

23.9

 

 

 

0.1

 

 

 

23.8

 

Total cash equivalents and investments

 

 

 

$

160.4

 

 

$

0.3

 

 

$

160.1

 

Less cash equivalents

 

 

 

 

(23.8

)

 

 

 

 

 

(23.8

)

Total Investments

 

 

 

$

136.6

 

 

$

0.3

 

 

$

136.3

 

As of December 31, 2022, there was $0.6 million of accrued interest receivable and $5.1 million of amount receivable on matured investment recognized as prepaid expense and other current assets in our consolidated balance sheets. As of December 31, 2021, there was $0.3 million of accrued interest receivable recognized as other assets in our consolidated balance sheets.