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Marketable Securities and Fair Value Measurements
 6 Months Ended
Jun. 30, 2016
Fair Value Disclosures [Abstract]  
Marketable Securities and Fair Value Measurements
Marketable Securities and Fair Value Measurements

Marketable Securities

As of June 30, 2016, the estimated fair value of our marketable securities, classified as available for sale, are as follows (in thousands):

 
 
Amortized Cost
 
Gross Unrealized Gains
 
Gross Unrealized Losses
 
Fair Value
Certificates of deposit
 
$
9,000

 
$
2

 
$
(1
)
 
$
9,001

Corporate securities
 
35,870

 
103

 
(7
)
 
35,966

Commercial paper
 
23,392

 
9

 
—

 
23,401

Asset-backed securities
 
16,671

 
30

 
—

 
16,701


 
$
84,933

 
$
144

 
$
(8
)
 
$
85,069



For the three and six months ended June 30, 2016, realized gains were immaterial. During the three and six months ended June 30, 2016, we did not reclassify any amount to earnings from accumulated other comprehensive income related to unrealized gains or losses. We did not have any marketable securities as of December 31, 2015.

The following table summarizes the contractual maturities of our marketable securities as of June 30, 2016 (in thousands):

 
Amortized Cost
 
Fair Value
Due in one year or less
$
46,847

 
$
46,875

Due between one year to three years
38,086

 
38,194

Total available for sale marketable securities
$
84,933

 
$
85,069



All available-for-sale securities have been classified as current, based on management's ability to use the funds in current operations.

Marketable securities in an unrealized loss position as of June 30, 2016 consisted of the following (in thousands):

 
Fair Value
 
Unrealized Losses
Certificates of deposit
$
3,499

 
$
(1
)
Corporate securities
4,179

 
(7
)
 
$
7,678

 
$
(8
)


As of June 30, 2016, no marketable securities were in a continuous unrealized loss position for more than twelve months. We do not intend to sell any of these investments, and it is not more likely than not, that we would be required to sell these investments before recovery of their amortized cost basis, which may be at maturity. As a result, there is no other-than-temporary impairment for these marketable securities as of June 30, 2016.

Fair Value Measurements

Our financial instruments consist of cash, cash equivalents, marketable securities, accounts receivable, accounts payable and accrued liabilities. Our cash equivalents, which include money market funds, are measured and recorded at fair value on a recurring basis. Marketable Securities are comprised of Certificates of Deposit, Corporate Securities, Commercial Paper and Asset-backed securities and we measure the fair value at the measurement date using the three-tier fair value hierarchy as described below. Accounts receivable, accounts payable and accrued liabilities are stated at their carrying value, which approximates fair value due to the short time to the expected receipt or payment.

Assets and liabilities recorded at fair value on a recurring basis in the Condensed Consolidated Balance Sheets are categorized based upon the level of judgment associated with the inputs used to measure their fair values. Fair value is defined as the exchange price that would be received for an asset or an exit price that would be paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. The authoritative guidance on fair value measurements establishes a three-tier fair value hierarchy for disclosure of fair value measurements as follows:

Level I—Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date;

Our Level I assets consist of highly liquid money market funds that are included in cash and cash equivalents.

Level II—Inputs are observable, unadjusted quoted prices in active markets for similar assets or liabilities, unadjusted quoted prices for identical or similar assets or liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the related assets or liabilities;

Our Level II assets consist of Certificates of Deposit, Corporate Securities, Commercial Paper and Asset-backed securities.

Level III—Unobservable inputs that are significant to the measurement of the fair value of the assets or liabilities that are supported by little or no market data.

We did not have any Level III assets or liabilities as of June 30, 2016 and December 31, 2015.

The following table sets forth the fair value of our cash, cash equivalents and marketable securities on a recurring basis, by level, within the fair value hierarchy (in thousands):

 
 
June 30, 2016
 
December 31, 2015
 
 
Cash and Cash Equivalents
 
Marketable Securities
 
Total
 
Cash and Cash Equivalents
 
Marketable Securities
 
Total
Cash
 
$
27,302

 
 
 
$
27,302

 
$
27,036

 
 
 
$
27,036

Level I
 
 
 
 
 
 
 
 
 
 
 
 
Money market funds
 
$
1,330

 
$
—

 
$
1,330

 
$
71,081

 
$
—

 
$
71,081

 
 
1,330

 
—

 
1,330

 
71,081

 
—

 
71,081

Level II
 
 
 
 
 
 
 
 
 
 
 
 
Certificates of deposit
 
—

 
9,001

 
9,001

 
—

 
—

 
—

Corporate securities
 
—

 
35,966

 
35,966

 
—

 
—

 
—

Commercial paper
 
—

 
23,401

 
23,401

 
—

 
—

 
—

Asset-backed securities
 
—

 
16,701

 
16,701

 
—

 
—

 
—

 
 
—

 
85,069

 
85,069

 
—

 
—

 
—

Total
 
$
28,632

 
$
85,069

 
$
113,701

 
$
98,117

 
$
—

 
$
98,117