QUALCOMM Incorporated Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Fair Value Measurements (Tables)

Fair Value Measurements (Tables)

6 Months Ended

Mar. 31, 2013

Notes to Financial Statements [Abstract]

Fair value hierarchy for assets and liabilities measured at fair value on a recurring basis

The following table presents the Company’s fair value hierarchy for assets and liabilities measured at fair value on a recurring basis at March 31, 2013 (in millions):



	Level 1		Level 2		Level 3		Total
Assets
Cash equivalents (1)	$	1,722	$	1,799	$	—	$	3,521
Marketable securities
U.S. Treasury securities and government-related securities	770		592		—		1,362
Corporate bonds and notes	—		14,095		—		14,095
Mortgage- and asset-backed securities	—		1,328		312		1,640
Auction rate securities	—		—		84		84
Common and preferred stock	1,394		897		—		2,291
Equity funds	1,173		—		—		1,173
Debt funds	2,372		3,429		—		5,801
Total marketable securities	5,709		20,341		396		26,446
Derivative instruments	—		59		—		59
Other investments	225		—		—		225
Total assets measured at fair value	$	7,656	$	22,199	$	396	$	30,251
Liabilities
Derivative instruments	$	—	$	10	$	—	$	10
Other liabilities	225		—		—		225
Total liabilities measured at fair value	$	225	$	10	$	—	$	235

(1) Includes cash equivalents of $24 million that were classified as held for sale at March 31, 2013.

Activity for marketable securities classified within Level 3 of the valuation hierarchy

The following table includes the activity for marketable securities and other liabilities classified within Level 3 of the valuation hierarchy (in millions):



	Six Months Ended March 31, 2013						Six Months Ended March 25, 2012
	Auction Rate Securities			Other Marketable Securities			Auction Rate Securities			Other Marketable Securities			Other Liabilities
Beginning balance of Level 3	$	118		$	203		$	124		$	27		$	7
Total realized and unrealized gains or losses:
Included in investment income, net	—			3			—			1			(2		)
Included in other comprehensive income	1			3			—			2			—
Purchases	—			127			—			88			—
Sales	—			(6		)	—			—			—
Settlements	(35		)	(36		)	(4		)	(8		)	—
Transfers into Level 3	—			18			—			5			—
Ending balance of Level 3	$	84		$	312		$	120		$	115		$	5

Activity for other liabilities classified within Level 3 of the valuation hierarchy

The following table includes the activity for marketable securities and other liabilities classified within Level 3 of the valuation hierarchy (in millions):



	Six Months Ended March 31, 2013						Six Months Ended March 25, 2012
	Auction Rate Securities			Other Marketable Securities			Auction Rate Securities			Other Marketable Securities			Other Liabilities
Beginning balance of Level 3	$	118		$	203		$	124		$	27		$	7
Total realized and unrealized gains or losses:
Included in investment income, net	—			3			—			1			(2		)
Included in other comprehensive income	1			3			—			2			—
Purchases	—			127			—			88			—
Sales	—			(6		)	—			—			—
Settlements	(35		)	(36		)	(4		)	(8		)	—
Transfers into Level 3	—			18			—			5			—
Ending balance of Level 3	$	84		$	312		$	120		$	115		$	5

- Definition

Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset.

+ References + Details

- Definition

Tabular disclosure of the fair value measurement of liabilities using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets), and gains or losses recognized in other comprehensive income (loss) and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs) by class of liability.

+ References + Details