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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 10-Q 
(Mark one)
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2019 or

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from             to             
Commission File Number: 0-10235
GENTEX CORPORATION
(Exact name of registrant as specified in its charter)
Michigan
38-2030505
(State or other jurisdiction of
incorporation or organization)
(I.R.S. Employer
Identification No.)
600 N. Centennial
Zeeland
Michigan49464 
(Address of principal executive offices)
(Zip Code)
(616) 772-1800
(Registrant’s telephone number, including area code)
________________________________________________________

(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common Stock, par value $0.06 per shareGNTXNASDAQ Global Select Market
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes:  þ No:  o 
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).  Yes:  þ No:  o 
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer”, “accelerated filer”, “smaller reporting company”, and "emerging growth company" in Rule 12b-2 of the Exchange Act.
Large accelerated filer
Accelerated filer
Non-accelerated filer
Smaller reporting company
Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o

Indicate by a check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  Yes:    No:   þ
APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY PROCEEDINGS DURING THE PRECEEDING FIVE YEARS:
Indicate by check mark whether the registrant has filed all documents and reports required to be filed by Sections 12, 13 or 15(d) of the Securities Exchange Act of 1934 subsequent to the distribution of securities under a plan confirmed by a court. Yes:  o No:  o
APPLICABLE ONLY TO CORPORATE ISSUERS:
Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.
Class
Shares Outstanding, July 19, 2019
Common Stock, $.06 Par Value
254,775,618 

1


GENTEX CORPORATION AND SUBSIDIARIES
For the Three and Six Months Ended June 30, 2019
FORM 10-Q
Index

Part I - Financial Information
Page
Item 1.
Item 2.
Item 3.
Item 4.
Part II - Other Information
Item 1A.
Item 2.
Item 6.


2


PART I —FINANCIAL INFORMATION
Item 1. Unaudited Consolidated Financial Statements.
GENTEX CORPORATION AND SUBSIDIARIES
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
As of June 30, 2019 and December 31, 2018
June 30, 2019
December 31, 2018
(Note)
ASSETS
CURRENT ASSETS
Cash and cash equivalents$260,332,892 $217,025,278 
Short-term investments190,565,065 169,412,999 
Accounts receivable, net226,426,332 213,537,799 
Inventories225,094,463 225,281,599 
Prepaid expenses and other27,984,155 25,672,579 
Total current assets930,402,907 850,930,254 
PLANT AND EQUIPMENT—NET501,398,382 498,473,766 
OTHER ASSETS
Goodwill307,365,845 307,365,845 
Long-term investments121,061,221 137,979,082 
Intangible assets, net260,025,000 269,675,000 
Patents and other assets, net22,549,518 21,010,121 
Total other assets711,001,584 736,030,048 
Total assets$2,142,802,873 $2,085,434,068 
LIABILITIES AND SHAREHOLDERS’ INVESTMENT
CURRENT LIABILITIES
Accounts payable$90,041,087 $92,810,316 
Accrued liabilities87,519,710 76,350,603 
Total current liabilities177,560,797 169,160,919 
OTHER NON-CURRENT LIABILITIES6,190,219  
DEFERRED INCOME TAXES54,717,622 54,521,489 
Total liabilities238,468,638 223,682,408 
SHAREHOLDERS’ INVESTMENT
Common stock15,286,747 15,559,717 
Additional paid-in capital777,238,253 745,324,144 
Retained earnings1,111,310,014 1,102,468,137 
Accumulated other comprehensive income (loss)499,221 (1,600,338)
Total shareholders’ investment1,904,334,235 1,861,751,660 
Total liabilities and shareholders’ investment$2,142,802,873 $2,085,434,068 

Note: The condensed consolidated balance sheet at December 31, 2018 has been derived from the audited financial statements at that date but does not include all of the information and footnotes required by accounting principles generally accepted in the United States for complete financial statements.
3


GENTEX CORPORATION AND SUBSIDIARIES
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF INCOME
For the Three and Six Months Ended June 30, 2019 and 2018
 
Three Months Ended June 30,Six Months Ended June 30,
2019201820192018
NET SALES
$468,711,354 $454,981,440 $937,300,351 $920,401,545 
COST OF GOODS SOLD
292,173,750 282,176,968 591,118,243 574,968,672 
Gross profit176,537,604 172,804,472 346,182,108 345,432,873 
OPERATING EXPENSES:
Engineering, research and development28,359,343 27,200,465 56,448,524 53,249,723 
Selling, general & administrative20,273,295 18,921,003 40,232,286 36,984,813 
Total operating expenses48,632,638 46,121,468 96,680,810 90,234,536 
Income from operations127,904,966 126,683,004 249,501,298 255,198,337 
OTHER INCOME (LOSS)
Investment income2,140,387 2,844,133 5,403,128 4,881,738 
Other income (loss), net237,191 (554,359)286,660 652,634 
Total other income2,377,578 2,289,774 5,689,788 5,534,372 
INCOME BEFORE PROVISION FOR INCOME TAXES130,282,544 128,972,778 255,191,086 260,732,709 
PROVISION FOR INCOME TAXES21,323,919 19,948,796 41,952,050 40,459,984 
NET INCOME$108,958,625 $109,023,982 $213,239,036 $220,272,725 
EARNINGS PER SHARE: (1)
Basic$0.42 $0.40 $0.82 $0.81 
Diluted$0.42 $0.40 $0.82 $0.80 
Cash Dividends Declared per Share$0.115 $0.110 $0.230 $0.220 
(1) Earnings Per Share has been adjusted to exclude the portion of net income allocated to participating securities as a result of share-based payment awards.

4


GENTEX CORPORATION AND SUBSIDIARIES
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
For the Three and Six Months Ended June 30, 2019 and 2018
Three Months Ended June 30,Six Months Ended June 30,
2019201820192018
Net Income
$108,958,625 $109,023,982 $213,239,036 $220,272,725 
Other comprehensive income (loss) before tax:
Foreign currency translation adjustments(475,686)(2,465,603)(176,687)(839,425)
Unrealized gains on derivatives 15,556  82,604 
Unrealized gains (losses) on debt securities, net1,583,089 (302,252)2,881,325 (323,532)
Other comprehensive income (loss), before tax1,107,403 (2,752,299)2,704,638 (1,080,353)
Income tax impact related to components of other comprehensive income332,448 (60,206)605,079 (50,594)
Other comprehensive income (loss), net of tax774,955 (2,692,093)2,099,559 (1,029,759)
Comprehensive Income
$109,733,580 $106,331,889 $215,338,595 $219,242,966 

5


GENTEX CORPORATION AND SUBSIDIARIES
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' INVESTMENT
For the Six Months Ended June 30, 2019
Common 
Stock
Shares
Common 
Stock
Amount
Additional 
Paid-In
Capital
Retained 
Earnings
Accumulated 
Other
Comprehensive
Income (Loss)
Total 
Shareholders’
Investment
BALANCE AS OF JANUARY 1, 2019259,328,613 $15,559,717 $745,324,144 $1,102,468,137 $(1,600,338)$1,861,751,660 
Issuance of common stock from stock plan transactions980,670 58,840 10,455,714 — — 10,514,554 
Repurchases of common stock(4,724,938)(283,497)(12,001,344)(83,982,388)— (96,267,229)
Stock-based compensation expense related to stock options, employee stock purchases and restricted stock— — 4,862,947 — — 4,862,947 
Dividends declared ($.115 per share)— — — (29,392,200)— (29,392,200)
Net income— — — 104,280,411 — 104,280,411 
Other comprehensive income— — — — 1,324,6041,324,604 
BALANCE AS OF MARCH 31, 2019255,584,345 $15,335,060 $748,641,461 $1,093,373,960 $(275,734)$1,857,074,747 
Issuance of common stock from stock plan transactions2,269,483136,17031,284,090— — 31,420,260 
Repurchases of common stock(3,074,709)(184,483)(7,963,499)(61,723,161)— (69,871,143)
Stock-based compensation expense related to stock options, employee stock purchases and restricted stock— — 5,276,201 — — 5,276,201 
Dividends declared ($.115 per share)— — — (29,299,410)— (29,299,410)
Net income— — — 108,958,625 — 108,958,625 
Other comprehensive income (loss)— — — — 774,955774,955 
BALANCE AS OF JUNE 30, 2019254,779,119 $15,286,747 $777,238,253 $1,111,310,014 $499,221 $1,904,334,235 



6


GENTEX CORPORATION AND SUBSIDIARIES
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' INVESTMENT
For the Six Months Ended June 30, 2018
Common 
Stock
Shares
Common 
Stock
Amount
Additional 
Paid-In
Capital
Retained 
Earnings
Accumulated 
Other
Comprehensive
Income (Loss)
Total 
Shareholders’
Investment
BALANCE AS OF JANUARY 1, 2018280,281,321 $16,816,879 $723,510,672 $1,301,997,327 $7,193,383 $2,049,518,261 
Issuance of common stock from stock plan transactions2,904,555 174,274 36,092,773 — — 36,267,047 
Repurchases of common stock(9,331,499)(559,890)(21,089,188)(180,923,300)— (202,572,378)
Stock-based compensation expense related to stock options, employee stock purchases and restricted stock— — 3,977,471 — — 3,977,471 
Impact of ASU 2016-01 Adoption6,642,727 (6,642,727) 
Dividends declared ($.110 per share)— — — (30,123,981)— (30,123,981)
Net income— — — 111,248,743 — 111,248,743 
Other comprehensive income— — — — 1,662,333 1,662,333 
BALANCE AS OF MARCH 31, 2018273,854,377 $16,431,263 $742,491,728 $1,208,841,516 $2,212,989 $1,969,977,496 
Issuance of common stock from stock plan transactions1,353,561 81,213 16,648,333 — — 16,729,546 
Repurchases of common stock(6,284,817)(377,089)(15,020,714)(131,235,740)— (146,633,543)
Stock-based compensation expense related to stock options, employee stock purchases and restricted stock— — 4,675,468 — — 4,675,468 
Dividends declared ($.110 per share)— — — (29,581,544)— (29,581,544)
Net income— — — 109,023,982 — 109,023,982 
Other comprehensive income— — — — (2,692,093)(2,692,093)
BALANCE AS OF JUNE 30, 2018268,923,121 $16,135,387 $748,794,815 $1,157,048,214 $(479,104)$1,921,499,312 

7


GENTEX CORPORATION AND SUBSIDIARIES
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
For the Six Months Ended June 30, 2019 and 2018
 
20192018
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income$213,239,036 $220,272,725 
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization53,296,388 55,908,679 
(Gain) on disposal of assets(95,658)(130,647)
Loss on disposal of assets340,070 10,544 
(Gain) on sale of investments(218,981)(1,245,359)
Loss on sale of investments 529,484 
Deferred income taxes196,133 (2,743,537)
Stock-based compensation expense related to employee stock options, employee stock purchases and restricted stock10,139,148 8,652,939 
Change in operating assets and liabilities:
Accounts receivable, net(12,888,533)(8,284,592)
Inventories187,136 4,389,930 
Prepaid expenses and other(2,311,576)(9,171,506)
Accounts payable(2,769,229)16,885,979 
Accrued liabilities, excluding dividends declared and short-term debt14,353,360 7,309,915 
Net cash provided by operating activities273,467,294 292,384,554 
CASH FLOWS (USED FOR) INVESTING ACTIVITIES:
Activity in available-for-sale securities:
Sales proceeds28,845,319 53,822,336 
Maturities and calls9,714,000 21,884,000 
Purchases(40,298,297)(177,243,275)
Plant and equipment additions(45,504,667)(51,860,448)
Proceeds from sale of plant and equipment227,738 179,700 
Decrease in other assets(1,022,057)(2,965,781)
Net cash (used for) investing activities(48,037,964)(156,183,468)
CASH FLOWS (USED FOR) FINANCING ACTIVITIES:
Repayment of debt (54,875,000)
Issuance of common stock from stock plan transactions41,934,814 52,996,593 
Cash dividends paid(57,918,158)(58,152,113)
Repurchases of common stock(166,138,372)(349,205,921)
Net cash (used for) financing activities(182,121,716)(409,236,441)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS43,307,614 (273,035,355)
CASH AND CASH EQUIVALENTS, beginning of period217,025,278 569,734,496 
CASH AND CASH EQUIVALENTS, end of period$260,332,892 $296,699,141 


8


GENTEX CORPORATION AND SUBSIDIARIES

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)



(1) Basis of Presentation

The unaudited condensed consolidated financial statements included herein have been prepared by the Company, pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States have been condensed or omitted pursuant to such rules and regulations, although the Company believes that the disclosures are adequate to make the information presented not misleading. It is suggested that these unaudited condensed consolidated financial statements be read in conjunction with the financial statements and notes thereto included in the Company's 2018 annual report on Form 10-K. In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments, consisting of only a normal and recurring nature, necessary to present fairly the financial position of the Company as of June 30, 2019, and the results of operations and cash flows for the interim periods presented.

(2) Adoption of New Accounting Pronouncements

New Accounting Pronouncements Adopted in Fiscal Year 2019

Effective January 1, 2019, the Company adopted Accounting Standards Update ("ASU") 2016-02, Leases, which provides guidance for lease accounting. The new guidance contained in the ASU stipulates that lessees will need to recognize a right-of-use ("ROU") asset and a lease liability for substantially all leases (other than leases that meet the definition of a short-term lease). The liability will be equal to the present value of lease payments. Treatment in the consolidated statements of income will be similar to the historical treatment of operating and capital leases. The adoption of this standard did not have a material impact on the Company's consolidated balance sheet or consolidated income statement. Disclosures are now required to meet the objective of enabling users of financial statements to assess the amount, timing, and uncertainty of cash flows arising from leases.

New Accounting Pronouncements Not Yet Adopted

In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments. The standard requires a change in the measurement approach for credit losses on financial assets measured on an amortized cost basis from an incurred loss method to an expected loss method, thereby eliminating the requirement that a credit loss be considered probable to impact the valuation of a financial asset measured on an amortized cost basis. The standard requires the measurement of expected credit losses to be based on relevant information about past events, including historical experience, current conditions, and a reasonable and supportable forecast that affects the collectability of the related financial asset. The Company will be required to adopt ASU 2016-13 as of January 1, 2020. Early adoption is permitted. The Company is currently evaluating the impact of ASU 2016-13 on the Company’s consolidated financial statements.


(3) Goodwill and Other Intangible Assets

Goodwill represents the cost of an acquisition in excess of the fair values assigned to identifiable net assets acquired. The Company recorded Goodwill of $307.4 million as part of the HomeLink® acquisition. The carrying value of Goodwill as of both December 31, 2018 and June 30, 2019 was $307.4 million.

In addition to annual impairment testing, which is performed as of the first day of the fourth quarter, the Company continuously monitors for events and circumstances that could negatively impact the key assumptions in determining fair value thus resulting in the need for interim impairment testing, including long-term revenue growth projections, profitability, discount rates, recent market valuations from transactions by comparable companies, volatility in the Company's market capitalization, and general
9


GENTEX CORPORATION AND SUBSIDIARIES

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)


industry, market and macroeconomic conditions. No such events or circumstances in the most recently completed quarter indicated the need for interim impairment testing.

The patents and intangible assets and related change in carrying values are set forth in the tables below:

As of June 30, 2019:
Other Intangible AssetsGrossAccumulated AmortizationNetAssumed Useful Life
Gentex Patents$37,307,011 $(22,002,673)$15,304,338 Various
Other Intangible Assets
HomeLink® Trade Names and Trademarks
$52,000,000 $— $52,000,000 Indefinite
HomeLink® Technology
180,000,000 (86,250,000)93,750,000 12 years
Existing Customer Platforms43,000,000 (24,725,000)18,275,000 10 years
Exclusive Licensing Agreement96,000,000 — 96,000,000 Indefinite
Total Other Intangible Assets$371,000,000 $(110,975,000)$260,025,000 
Total Patents & Other Intangible Assets$408,307,011 $(132,977,673)$275,329,338 


As of December 31, 2018:

Other Intangible Assets
Gross
Accumulated Amortization
Net
Assumed Useful Life
Gentex Patents
$36,737,434 $(21,014,168)$15,723,266 Various
Other Intangible Assets
HomeLink® Trade Names and Trademarks
$52,000,000 $— $52,000,000 Indefinite
HomeLink® Technology
180,000,000 (78,750,000)101,250,000 12 years
Existing Customer Platforms43,000,000 (22,575,000)20,425,000 10 years
Exclusive Licensing Agreement
96,000,000 — 96,000,000 Indefinite
Total Other Intangible Assets$371,000,000 $(101,325,000)$269,675,000 
Total Patents & Other Intangible Assets$407,737,434 $(122,339,168)$285,398,266 

Amortization expense on patents and intangible assets was approximately $5.6 million and $11.2 million during the three and six months ended June 30, 2019, respectively, compared to approximately $5.6 million and $11.3 million for the same periods ended June 30, 2018, respectively.

Excluding the impact of any future acquisitions, the Company continues to estimate amortization expense for each of the years ended December 31, 2019, 2020, and 2021 to be approximately $22 million annually, approximately $21 million for 2022, and approximately $19 million for the year ended December 31, 2023.

(4) Investments
The Company follows the provisions of Accounting Standards Codification ("ASC") 820, Fair Value Measurements and Disclosures, for its financial assets and liabilities, and for its non-financial assets and liabilities subject to fair value measurements. ASC 820 provides a framework for measuring the fair value of assets and liabilities. This framework is intended to provide increased consistency in how fair value
10


GENTEX CORPORATION AND SUBSIDIARIES

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)


determinations are made under various existing accounting standards that permit, or in some cases, require estimates of fair-market value. This standard also expanded financial statement disclosure requirements about a company’s use of fair-value measurements, including the effect of such measurement on earnings. The cost of securities sold is based on the specific identification method.
The Company determines the fair value of its government securities, municipal bonds, and corporate bonds by utilizing monthly valuation statements that are provided by its broker. The broker determines the investment valuation by utilizing the bid price in the market and also refers to third party sources to validate valuations, and as such are classified as Level 2 assets.
The Company's certificates of deposit have remaining maturities of less than one year and are considered as Level 1 assets. These investments are carried at cost, which approximates fair value.

The Company will also periodically make technology investments in certain non-consolidated third-parties. These equity investments are accounted for in accordance with ASC 321, Investments - Equity Securities. Equity investments that do not have readily determinable fair values, and where the Company has not identified any observable events that would cause adjustment of the valuation to date, such equity investments are held at cost. These technology investments totaled $7.6 million and $3.85 million as of June 30, 2019 and December 31, 2018, respectively. These investments are classified within Long-Term Investments in the consolidated balance sheet. 
Assets or liabilities that have recurring fair value measurements are shown below as of June 30, 2019 and December 31, 2018:
As of June 30, 2019:
Fair Value Measurements at Reporting Date Using
Total as of
Quoted Prices in
Active Markets for
Identical Assets
Significant Other
Observable
Inputs
Significant
Unobservable
Inputs
Description
June 30, 2019(Level 1)(Level 2)(Level 3)
Cash & Cash Equivalents
$260,332,892 $260,332,892 $ $ 
Short-Term Investments:
Certificate of Deposit150,299,384 150,299,384   
Government Securities23,953,999  23,953,999  
Corporate Bonds15,027,102  15,027,102  
Other1,284,580 1,284,580   
Long-Term Investments:
Corporate Bonds62,317,048  62,317,048  
Municipal Bonds28,131,587  28,131,587  
Government Securities23,012,586  23,012,586  
Total$564,359,178 $411,916,856 $152,442,322 $ 











11


GENTEX CORPORATION AND SUBSIDIARIES

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)


As of December 31, 2018:
Fair Value Measurements at Reporting Date Using
Total as of
Quoted Prices in
Active Markets for
Identical Assets
Significant Other
Observable
Inputs
Significant
Unobservable
Inputs
Description
December 31, 2018(Level 1)(Level 2)(Level 3)
Cash & Cash Equivalents
$217,025,278 $217,025,278 $ $ 
Short-Term Investments:
Certificate of Deposit150,299,384 150,299,384   
Government Securities9,176,227  9,176,227  
Corporate Bonds6,967,700  6,967,700  
Other2,219,688 2,219,688   
Long-Term Investments:
Corporate Bonds60,369,930  60,369,930  
Municipal Bonds18,025,432  18,025,432  
Government Securities56,483,720  56,483,720  
Total$520,567,359 $369,544,350 $151,023,009 $ 

The amortized cost, unrealized gains and losses, and market value of investment securities are shown as of June 30, 2019 and December 31, 2018:

As of June 30, 2019:
Unrealized
Cost
Gains
Losses
Market Value
Short-Term Investments:
Certificate of Deposit$150,299,384 $ $ $150,299,384 
Government Securities23,895,390 59,368 (759)23,953,999 
Corporate Bonds14,968,562 58,540  15,027,102 
Other1,284,580   1,284,580 
Long-Term Investments:
Corporate Bonds61,354,213 996,062 (33,227)62,317,048 
Municipal Bonds27,088,064 1,050,416 (6,893)28,131,587 
Government Securities22,785,296 227,290  23,012,586 
Total$301,675,489 $2,391,676 $(40,879)$304,026,286 













12


GENTEX CORPORATION AND SUBSIDIARIES

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)



As of December 31, 2018: 
Unrealized
CostGainsLossesMarket Value
Short-Term Investments:
Certificate of Deposit$150,299,384 $ $ $150,299,384 
Government Securities9,186,586  (10,359)9,176,227 
Corporate Bonds6,981,305  (13,605)6,967,700 
Other2,219,688   2,219,688 
Long-Term Investments:
Corporate Bonds60,659,498 50,340 (339,908)60,369,930 
Municipal Bonds17,840,518 184,914  18,025,432 
Government Securities56,280,552 205,553 (2,385)56,483,720 
Total$303,467,531 $440,807 $(366,257)$303,542,081 

Unrealized losses on investments as of June 30, 2019, are as follows:
Aggregate Unrealized LossesAggregate Fair Value
Less than one year
$40,879 $5,823,459 
Greater than one year
  
       Total
$40,879 $5,823,459 

Unrealized losses on investments as of December 31, 2018, are as follows: 
Aggregate Unrealized Losses
Aggregate Fair Value
Less than one year
$365,824 $68,722,980 
Greater than one year
433 3,000,000 
       Total
$366,257 $71,722,980 

ASC 320, Accounting for Certain Investments in Debt and Equity Securities, as amended, provides guidance on determining when an investment is other than temporarily impaired. No investment losses were considered to be other than temporary during the periods presented. The Company has the intention and current ability to hold its debt investments until the amortized cost basis has been recovered.
Fixed income securities as of June 30, 2019 have contractual maturities as follows:
Due within one year
$189,280,485 
Due between one and five years
91,584,216 
Due over five years
21,877,006 
$302,741,707 





13


GENTEX CORPORATION AND SUBSIDIARIES

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)


(5) Inventories
Inventories consisted of the following at the respective balance sheet dates:
June 30, 2019December 31, 2018
Raw materials
$146,975,452 $