Exhibit 99.1
Final
UTStarcom Releases Third and Fourth Quarter and Full Year 2006 Financial Results
Announces Completion of the China Sales Investigation
Provides Details of Restructuring Plan
ALAMEDA, Calif., October 10, 2007 — UTStarcom, Inc. (Nasdaq: UTSI), a global leader in IP-based, end-to-end networking solutions and services, today reported financial results for the third and fourth quarters of 2006 and for the full year ended 2006. The Company also announced the completion of the China sales investigation.
Net sales for the third quarter 2006 were $601 million. Gross margins for the third quarter 2006 were 12.4% and net loss for the quarter was $43 million, or a loss of ($0.36) per share.
Net sales for the fourth quarter 2006 were $704 million. Gross margins for the fourth quarter 2006 were 11.1% and net loss for the quarter was $42 million, or a loss of ($0.35) per share.
Net sales for the full year 2006 were $2.5 billion. Gross margins for the full year 2006 were 15.7% and net loss for the year was $117.3 million, or a loss of ($0.97) per share.
Restructuring Plan
On October 2, 2007, the Company’s Board of Directors approved a restructuring plan to reduce operating costs. The initial phase of this plan includes a worldwide reduction of approximately 11% of the Company’s headcount, or approximately 700 employees. The workforce reduction will be based primarily in the United States and China and, to a lesser degree, other international locations. Management expects the headcount reduction phase of the restructuring plan will be completed in the fourth quarter of 2007. As such,
the Company expects to incur a restructuring charge in the fourth quarter in connection with the headcount reduction of approximately $10 million. As a result of these headcount reductions, the Company expects to realize annual cost savings in salary and compensation-related expenses of approximately $21 million on an annualized basis.
“The restructuring plan is closely aligned with our overall strategy of becoming a more focused and operationally efficient company,” said Peter Blackmore, chief operating officer of UTStarcom. “Headcount reductions are always difficult; however, they are essential as we strive to attain consistent profitability and improve our cash flows. We have already started to implement the plan and expect to achieve the full benefit by the first quarter of 2008.”
Conference Call
The Company will conduct a conference call, which is open to the public, to discuss these results. The call will take place today, October 10, 2007 at 2:00 p.m. (PST). The conference call dial-in numbers are as follows: United States — 888-398-3046; International — 706-902-1962. The conference ID number is 19776282.
A replay of the call will be available for 30 days. The conference call replay numbers are as follows: United States — 800-642-1687; International — 706-645-9291. The Access Code is 19776282.
Investors will also have the opportunity to listen to the conference call and the replay over the Internet through UTStarcom’s Web site at: http://www.utstar.com
About UTStarcom, Inc.
UTStarcom is a global leader in IP-based, end-to-end networking solutions and international service and support. The company sells its broadband, wireless, and handset solutions to operators in both emerging and established telecommunications markets around the world. UTStarcom enables its customers to rapidly deploy revenue-generating access services using their existing infrastructure, while providing a migration path to cost-efficient, end-to-end IP networks. Founded in 1991 and headquartered in Alameda, California,
the company has research and design operations in the United States, China, Korea and India. UTStarcom is a FORTUNE 1000 company.
For more information about UTStarcom, visit the company’s Web site at www.utstar.com.
Forward-Looking Statements
This release includes forward-looking statements, including the foregoing statements regarding the anticipated timing, scope, costs, benefits and other operational impact of the Company’s restructuring plan. These statements are forward-looking in nature and subject to risks and uncertainties that may cause actual results to differ materially. These risk factors include the ability of the Company to capitalize on any cost-savings to improve the operational performance of the Company, rapidly changing technology, the changing nature of global telecommunications markets, the termination of significant contracts, the direction and results of future research and development efforts, evolving product and applications standards, reduction or delays in system deployments, product transitions, changes in demand for and acceptance of the Company’s products, general adverse economic conditions, and trends and uncertainties such as changes in government regulation and licensing requirements. The Company also refers readers to the risk factors identified in its latest Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K, as filed with the Securities and Exchange Commission.
Company Contact
Chesha Kamieniecki
Director of Investor Relations
UTStarcom, Inc.
(510) 749-1560
UTStarcom, Inc.
Condensed Consolidated Balance Sheets
(in thousands)
|
| September 30, |
| December 31, |
| ||
|
| 2006 |
| 2005 |
| ||
|
| (Unaudited) |
| (As restated) |
| ||
ASSETS |
|
|
|
|
| ||
Current assets: |
|
|
|
|
| ||
Cash, cash equivalents and short-term investments |
| $ | 616,740 |
| $ | 658,837 |
|
Accounts receivable, net |
| 429,086 |
| 522,964 |
| ||
Notes receivable |
| 8,532 |
| 2,065 |
| ||
Inventories |
| 463,390 |
| 425,955 |
| ||
Deferred costs |
| 209,230 |
| 239,876 |
| ||
Prepaids and other current assets |
| 126,179 |
| 99,062 |
| ||
Short-term restricted cash and investments |
| 23,835 |
| 53,680 |
| ||
Total current assets |
| 1,876,992 |
| 2,002,439 |
| ||
Property, plant and equipment, net |
| 212,093 |
| 233,403 |
| ||
Long-term investments |
| 44,954 |
| 26,023 |
| ||
Goodwill |
| 3,063 |
| 3,063 |
| ||
Intangible assets, net |
| 60,747 |
| 75,313 |
| ||
Long-term deferred costs |
| 177,007 |
| 185,279 |
| ||
Other long-term assets |
| 27,817 |
| 25,811 |
| ||
Total assets |
| $ | 2,402,673 |
| $ | 2,551,331 |
|
|
|
|
|
|
| ||
LIABILITIES, MINORITY INTEREST AND STOCKHOLDERS’ EQUITY |
|
|
|
|
| ||
Current liabilities: |
|
|
|
|
| ||
Accounts payable |
| $ | 308,189 |
| $ | 320,677 |
|
Short-term debt |
| 105,010 |
| 198,826 |
| ||
Income taxes payable |
| 31,147 |
| 34,229 |
| ||
Customer advances |
| 286,630 |
| 221,301 |
| ||
Deferred revenue |
| 95,786 |
| 101,912 |
| ||
Other current liabilities |
| 234,621 |
| 291,368 |
| ||
Total current liabilities |
| 1,061,383 |
| 1,168,313 |
| ||
|
|
|
|
|
| ||
Long-term deferred revenue |
| 255,714 |
| 273,131 |
| ||
Long-term debt |
| 274,900 |
| 274,900 |
| ||
Other long-term liabilities |
| 13,843 |
| — |
| ||
Total liabilities |
| 1,605,840 |
| 1,716,344 |
| ||
|
|
|
|
|
| ||
Minority interest in consolidated subsidiaries |
| 7,500 |
| 8,338 |
| ||
Stockholders’ equity: |
|
|
|
|
| ||
Common stock: $0.00125 par value; authorized: 750,000,000 shares; issued and outstanding: 121,284,976 and 121,018,036 at September 30, 2006 and December 31, 2005, respectively |
| 152 |
| 152 |
| ||
Additional paid-in capital |
| 1,202,072 |
| 1,192,201 |
| ||
Deferred stock-based compensation |
| — |
| (3,591 | ) | ||
Accumulated deficit |
| (452,214 | ) | (376,899 | ) | ||
Accumulated other comprehensive income |
| 39,323 |
| 14,786 |
| ||
Total stockholders’ equity |
| 789,333 |
| 826,649 |
| ||
Total liabilities, minority interest and stockholders’ equity |
| $ | 2,402,673 |
| $ | 2,551,331 |
|
UTStarcom, Inc.
Consolidated Statement of Operations
(in thousands, except per share amounts)
(Unaudited)
|
| Three months ended September 30, |
| Nine months ended September 30, |
| ||||||||
|
| 2006 |
| 2005 |
| 2006 |
| 2005 |
| ||||
|
|
|
| (As restated) |
|
|
| (As restated) |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Net sales |
| $ | 600,899 |
| $ | 597,435 |
| $ | 1,754,406 |
| $ | 2,190,018 |
|
Cost of net sales |
| 526,098 |
| 559,548 |
| 1,446,864 |
| 1,816,837 |
| ||||
Gross profit |
| 74,801 |
| 37,887 |
| 307,542 |
| 373,181 |
| ||||
Operating expenses: |
|
|
|
|
|
|
|
|
| ||||
Selling, general and administrative |
| 80,076 |
| 86,414 |
| 246,908 |
| 297,390 |
| ||||
Research and development |
| 46,305 |
| 60,817 |
| 139,310 |
| 192,297 |
| ||||
Amortization of intangible assets |
| 4,821 |
| 6,643 |
| 14,567 |
| 20,391 |
| ||||
Gain on sale of semiconductor design assets |
| (12,291 | ) | — |
| (12,291 | ) | — |
| ||||
Impairment of long-lived assets |
| — |
| 218,094 |
| — |
| 218,094 |
| ||||
Restructuring |
| — |
| 3,378 |
| — |
| 18,505 |
| ||||
In-process research and development |
| — |
| — |
| — |
| 660 |
| ||||
Total operating expenses |
| 118,911 |
| 375,346 |
| 388,494 |
| 747,337 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Operating loss |
| (44,110 | ) | (337,459 | ) | (80,952 | ) | (374,156 | ) | ||||
|
|
|
|
|
|
|
|
|
| ||||
Interest income (expense), net |
| 594 |
| (2,203 | ) | 1,406 |
| (8,390 | ) | ||||
Gain on extinguishment of subordinated notes |
| — |
| 20,297 |
| — |
| 31,392 |
| ||||
Other income (expense), net |
| 1,835 |
| 7,352 |
| 12,289 |
| (1,723 | ) | ||||
|
|
|
|
|
|
|
|
|
| ||||
Loss before income taxes, minority interest and equity in loss of affiliated companies |
| (41,681 | ) | (312,013 | ) | (67,257 | ) | (352,877 | ) | ||||
Income tax expense |
| (1,459 | ) | (125,222 | ) | (8,966 | ) | (134,041 | ) | ||||
Minority interest in losses of consolidated subsidiaries |
| 92 |
| 3 |
| 907 |
| 94 |
| ||||
Equity in loss of affiliated companies |
| — |
| (786 | ) | — |
| (1,818 | ) | ||||
Net loss |
| $ | (43,048 | ) | $ | (438,018 | ) | $ | (75,316 | ) | $ | (488,642 | ) |
|
|
|
|
|
|
|
|
|
| ||||
Loss per share - Basic and diluted |
| $ | (0.36 | ) | $ | (3.70 | ) | $ | (0.62 | ) | $ | (4.22 | ) |
|
|
|
|
|
|
|
|
|
| ||||
Weighted average shares used in per-share calculation: |
|
|
|
|
|
|
|
|
| ||||
-Basic and diluted |
| 120,676 |
| 118,262 |
| 120,628 |
| 115,902 |
|
UTStarcom, Inc.
Condensed Consolidated Statement of Cash Flows
(in thousands)
(Unaudited)
|
| Nine months ended September 30, |
| ||||
|
| 2006 |
| 2005 |
| ||
|
|
|
| (As restated) |
| ||
CASH FLOWS FROM OPERATING ACTIVITIES: |
|
|
|
|
| ||
Net loss |
| $ | (75,316 | ) | $ | (488,642 | ) |
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: |
|
|
|
|
| ||
Depreciation and amortization |
| 51,547 |
| 78,489 |
| ||
Gain on sale of semiconductor design assets |
| (12,291 | ) | — |
| ||
Net loss on sale of assets |
| 2,183 |
| 3,870 |
| ||
Loss on asset impairment |
| — |
| 218,094 |
| ||
Non-cash restructuring charges |
| — |
| 12,389 |
| ||
Stock-based compensation expense |
| 13,143 |
| 191 |
| ||
(Recovery of) provision for doubtful accounts |
| (6,948 | ) | 38,115 |
| ||
(Recovery of) provision for deferred costs reserves |
| (5,103 | ) | 14,564 |
| ||
Deferred income taxes |
| (671 | ) | 192,383 |
| ||
Gain on extinguishment of debt |
| — |
| (31,392 | ) | ||
Other |
| (102 | ) | 3,164 |
| ||
Changes in operating assets and liabilities: |
|
|
|
|
| ||
Accounts receivable |
| 105,466 |
| 202,650 |
| ||
Inventories |
| (35,659 | ) | 116,028 |
| ||
Deferred costs |
| 51,324 |
| (55,974 | ) | ||
Other assets |
| (15,585 | ) | 84,956 |
| ||
Accounts payable |
| (16,027 | ) | (120,472 | ) | ||
Income taxes payable |
| (3,408 | ) | (118,615 | ) | ||
Customer advances |
| 61,761 |
| (164,814 | ) | ||
Deferred revenue |
| (24,740 | ) | 93,138 |
| ||
Other current liabilities |
| (71,452 | ) | 5,504 |
| ||
Net cash provided by operating activities |
| 18,122 |
| 83,626 |
| ||
|
|
|
|
|
| ||
CASH FLOWS FROM INVESTING ACTIVITIES: |
|
|
|
|
| ||
Additions to property, plant and equipment |
| (17,176 | ) | (60,904 | ) | ||
Investment in affiliates, net of cash acquired |
| (302 | ) | (3,550 | ) | ||
Purchase of business, net of cash acquired |
| — |
| (24,326 | ) | ||
Proceeds from sale of semiconductor design assets |
| 19,965 |
| — |
| ||
Proceeds from disposal of property |
| 136 |
| 695 |
| ||
Change in restricted cash and long-term investments |
| 26,536 |
| 176 |
| ||
Purchase of short-term investments |
| (40,182 | ) | (149,469 | ) | ||
Proceeds from sale of short-term investments |
| 42,121 |
| 270,672 |
| ||
Other |
| 1,538 |
| (750 | ) | ||
Net cash provided by investing activities |
| 32,636 |
| 32,544 |
| ||
|
|
|
|
|
| ||
CASH FLOWS FROM FINANCING ACTIVITIES: |
|
|
|
|
| ||
Issuance of stock, net of expenses |
| 319 |
| 4,327 |
| ||
Proceeds from borrowing |
| 63,259 |
| 346,284 |
| ||
Payments on borrowings |
| (159,251 | ) | (478,081 | ) | ||
Cash paid to extinguish debt |
| — |
| (57,136 | ) | ||
Other |
| (683 | ) | 1,801 |
| ||
Net cash used in financing activities |
| (96,356 | ) | (182,805 | ) | ||
Effect of exchange rate changes on cash and cash equivalents |
| 4,437 |
| 229 |
| ||
Net decrease in cash and cash equivalents |
| (41,161 | ) | (66,406 | ) | ||
Cash and cash equivalents at beginning of period |
| 645,571 |
| 562,532 |
| ||
Cash and cash equivalents at end of period |
| $ | 604,410 |
| $ | 496,126 |
|
|
|
|
|
|
| ||
Supplemental disclosure of cash flow information: |
|
|
|
|
| ||
Cash paid: |
|
|
|
|
| ||
Interest |
| $ | 8,542 |
| $ | 11,294 |
|
Income taxes |
| $ | 7,839 |
| $ | 10,872 |
|
Non-cash operating activity |
|
|
|
|
| ||
Accounts receivable transferred to notes receivable |
| $ | 19,023 |
| $ | 40,210 |
|
Property, plant and equipment exchanged for long-term investment |
| $ | 5,550 |
| $ | — |
|
|
|
|
|
|
|
UTStarcom, Inc.
Condensed Consolidated Balance Sheets
(in thousands)
|
| December 31, |
| ||||
|
| 2006 |
| 2005 |
| ||
|
|
|
| (As restated) |
| ||
ASSETS |
|
|
|
|
| ||
Current assets: |
|
|
|
|
| ||
Cash, cash equivalents and short-term investments |
| $ | 671,169 |
| $ | 658,837 |
|
Accounts receivable, net |
| 406,080 |
| 522,964 |
| ||
Notes receivable |
| 5,060 |
| 2,065 |
| ||
Inventories |
| 440,445 |
| 425,955 |
| ||
Deferred costs |
| 195,393 |
| 239,876 |
| ||
Prepaids and other current assets |
| 101,795 |
| 99,062 |
| ||
Short-term restricted cash and investments |
| 16,666 |
| 53,680 |
| ||
Total current assets |
| 1,836,608 |
| 2,002,439 |
| ||
Property, plant and equipment, net |
| 213,155 |
| 233,403 |
| ||
Long-term investments |
| 47,809 |
| 26,023 |
| ||
Goodwill |
| 3,063 |
| 3,063 |
| ||
Intangible assets, net |
| 56,443 |
| 75,313 |
| ||
Long-term deferred costs |
| 176,649 |
| 185,279 |
| ||
Other long-term assets |
| 40,223 |
| 25,811 |
| ||
Total assets |
| $ | 2,373,950 |
| $ | 2,551,331 |
|
|
|
|
|
|
| ||
LIABILITIES, MINORITY INTEREST AND STOCKHOLDERS’ EQUITY |
|
|
|
|
| ||
Current liabilities: |
|
|
|
|
| ||
Accounts payable |
| $ | 304,869 |
| $ | 320,677 |
|
Short-term debt |
| 102,758 |
| 198,826 |
| ||
Income taxes payable |
| 2,483 |
| 34,229 |
| ||
Customer advances |
| 265,812 |
| 221,301 |
| ||
Deferred revenue |
| 95,742 |
| 101,912 |
| ||
Other current liabilities |
| 271,400 |
| 291,368 |
| ||
Total current liabilities |
| 1,043,064 |
| 1,168,313 |
| ||
|
|
|
|
|
| ||
Long-term deferred revenue |
| 261,014 |
| 273,131 |
| ||
Long-term debt |
| 275,161 |
| 274,900 |
| ||
Other long-term liabilities |
| 13,858 |
| — |
| ||
Total liabilities |
| 1,593,097 |
| 1,716,344 |
| ||
|
|
|
|
|
| ||
Minority interest in consolidated subsidiaries |
|
|
|
|
| ||
Stockholders’ equity: |
| 6,493 |
| 8,338 |
| ||
Common stock: $0.00125 par value; 750,000,000 authorized shares; 121,299,113 issued and 121,294,645 outstanding at December 31, 2006; 121,018,036 issued and outstanding at December 31, 2005 |
| 152 |
| 152 |
| ||
Additional paid-in capital |
| 1,205,553 |
| 1,192,201 |
| ||
Deferred stock compensation |
| — |
| (3,591 | ) | ||
Accumulated deficit |
| (494,244 | ) | (376,899 | ) | ||
Accumulated other comprehensive income |
| 62,899 |
| 14,786 |
| ||
Total stockholders’ equity |
| 774,360 |
| 826,649 |
| ||
Total liabilities, minority interest and stockholders’ equity |
| $ | 2,373,950 |
| $ | 2,551,331 |
|
UTStarcom, Inc.
Consolidated Statement of Operations
(in thousands, except per share amounts)
|
| Three months ended December 31, |
| Year ended December 31, |
| ||||||||
|
| 2006 |
| 2005 |
| 2006 |
| 2005 |
| ||||
|
| (Unaudited) |
|
|
|
|
| ||||||
|
|
|
| (As restated) |
|
|
| (As restated) |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Net sales |
| $ | 704,456 |
| $ | 681,092 |
| $ | 2,458,861 |
| $ | 2,871,110 |
|
Cost of net sales |
| 626,253 |
| 618,437 |
| 2,073,117 |
| 2,435,274 |
| ||||
Operating expenses (income): |
| 78,203 |
| 62,655 |
| 385,744 |
| 435,836 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Selling, general and administrative |
| 87,547 |
| 74,073 |
| 334,455 |
| 371,461 |
| ||||
Research and development |
| 43,559 |
| 54,515 |
| 182,869 |
| 246,813 |
| ||||
Amortization of intangible assets |
| 4,304 |
| 5,462 |
| 18,871 |
| 25,853 |
| ||||
Gain on sale of semiconductor design assets |
| — |
| — |
| (12,291 | ) | — |
| ||||
Impairment of long-lived assets |
| — |
| 11,164 |
| — |
| 218,094 |
| ||||
Restructuring |
| — |
| — |
| — |
| 29,669 |
| ||||
In-process research and development |
| — |
| — |
| — |
| 660 |
| ||||
Total net operating expenses |
| 135,410 |
| 145,214 |
| 523,904 |
| 892,550 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Operating (loss) income |
| (57,207 | ) | (82,559 | ) | (138,160 | ) | (456,714 | ) | ||||
|
|
|
|
|
|
|
|
|
| ||||
Interest income (expense), net |
| 1,734 |
| (1,283 | ) | 3,141 |
| (9,673 | ) | ||||
Gain on extinguishment of subordinated notes |
| — |
| — |
| — |
| 31,392 |
| ||||
Other income, net |
| (11,198 | ) | 45,388 |
| 1,092 |
| 43,665 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
(Loss) income before income taxes, minority interest and equity in loss of affiliated companies |
| (66,671 | ) | (38,454 | ) | (133,927 | ) | (391,330 | ) | ||||
Income tax benefit (expense) |
| 23,991 |
| (2,501 | ) | 15,024 |
| (136,544 | ) | ||||
Minority interest in losses of consolidated subsidiaries |
| 651 |
| 598 |
| 1,558 |
| 692 |
| ||||
Equity in loss of affiliated companies |
| — |
| (3,645 | ) | — |
| (5,463 | ) | ||||
Net (loss) income |
| $ | (42,029 | ) | $ | (44,002 | ) | $ | (117,345 | ) | $ | (532,645 | ) |
|
|
|
|
|
|
|
|
|
| ||||
(Loss) earnings per share - Basic and diluted |
| $ | (0.35 | ) | $ | (0.37 | ) | $ | (0.97 | ) | $ | (4.55 | ) |
|
|
|
|
|
|
|
|
|
| ||||
Weighted average shares used in per-share calculation: |
| 120,676 |
| 120,391 |
| 120,657 |
| 117,034 |
| ||||
-Basic and diluted |
|
|
|
|
|
|
|
|
|
UTStarcom, Inc.
Condensed Consolidated Statement of Cash Flows
(in thousands)
|
| Year ended December 31, |
| ||||
|
| 2006 |
| 2005 |
| ||
|
|
|
| (As restated) |
| ||
CASH FLOWS FROM OPERATING ACTIVITIES: |
|
|
|
|
| ||
Net (loss) income |
| $ | (117,345 | ) | $ | (532,645 | ) |
Adjustments to reconcile net (loss) income to net cash provided by (used in) operating activities: |
|
|
|
|
| ||
Depreciation and amortization |
| 68,039 |
| 98,550 |
| ||
Gain on sale of semiconductor design assets |
| (12,291 | ) | — |
| ||
Net loss on sale of assets |
| 2,715 |
| 2,559 |
| ||
Impairment of long-lived assets |
| — |
| 218,094 |
| ||
Impairment of long-term investments |
| 13,500 |
| — |
| ||
Stock-based compensation expense |
| 16,592 |
| 863 |
| ||
Non-cash settlement of restructuring charges |
| — |
| 17,250 |
| ||
In-process research and development |
| — |
| 660 |
| ||
Gain on sale of investment |
| — |
| (46,576 | ) | ||
Provision (recovery) for doubtful accounts |
| (9,347 | ) | 18,210 |
| ||
Provision for deferred costs |
| 2,730 |
| 12,868 |
| ||
Gain on extinguishment of subordinated notes |
| — |
| (31,392 | ) | ||
Deferred income taxes |
| (1,223 | ) | 190,658 |
| ||
Other |
| (36 | ) | 15,897 |
| ||
Changes in operating assets and liabilities: |
| — |
| — |
| ||
Accounts receivable |
| 133,052 |
| 268,167 |
| ||
Inventories |
| (5,571 | ) | 165,923 |
| ||
Deferred costs |
| 52,478 |
| (49,376 | ) | ||
Other assets |
| (7,490 | ) | 95,802 |
| ||
Accounts payable |
| (22,296 | ) | (87,811 | ) | ||
Income taxes payable |
| (28,946 | ) | (110,209 | ) | ||
Customer advances |
| 38,423 |
| (150,313 | ) | ||
Deferred revenue |
| (29,328 | ) | 80,676 |
| ||
Other current liabilities |
| (27,577 | ) | 40,528 |
| ||
Net cash provided by (used in) operating activities |
| 66,079 |
| 218,383 |
| ||
CASH FLOWS FROM INVESTING ACTIVITIES: |
|
|
|
|
| ||
Additions to property, plant and equipment |
| (26,274 | ) | (64,396 | ) | ||
Proceeds from sale of semiconductor design assets |
| 35,965 |
| — |
| ||
Proceeds from disposition of investment interest |
| 775 |
| — |
| ||
Investment in affiliates |
| (302 | ) | (3,550 | ) | ||
Purchase of businesses, net of cash acquired |
| — |
| (24,326 | ) | ||
Purchase of intangible assets |
| (658 | ) | (750 | ) | ||
Change in restricted cash and long-term investments |
| 20,882 |
| (18,418 | ) | ||
Purchase of short-term investments |
| (42,400 | ) | (165,284 | ) | ||
Proceeds from sale of short-term investments |
| 46,428 |
| 346,966 |
| ||
Other |
| 1,649 |
| (105 | ) | ||
Net cash provided by (used in) investing activities |
| 36,065 |
| 70,137 |
| ||
CASH FLOWS FROM FINANCING ACTIVITIES: |
|
|
|
|
| ||
Issuance of stock, net of expenses |
| 390 |
| 6,952 |
| ||
Proceeds from borrowings |
| 100,629 |
| 436,678 |
| ||
Payments on borrowings |
| (200,742 | ) | (653,123 | ) | ||
Repurchase of stock |
| (39 | ) | — |
| ||
Proceeds from equity offering |
| — |
| — |
| ||
Other |
| 253 |
| 6,689 |
| ||
Net cash provided by (used in) financing activities |
| (99,509 | ) | (202,804 | ) | ||
Effect of exchange rate changes on cash and cash equivalents |
| 13,417 |
| (2,677 | ) | ||
Net increase in cash and cash equivalents |
| 16,052 |
| 83,039 |
| ||
Cash and cash equivalents at beginning of year |
| 645,571 |
| 562,532 |
| ||
Cash and cash equivalents at end of year |
| $ | 661,623 |
| $ | 645,571 |
|
|
|
|
|
|
| ||
Supplemental disclosure of cash flow information: |
|
|
|
|
| ||
Cash paid: |
|
|
|
|
| ||
Interest |
| $ | 9,773 |
| $ | 14,197 |
|
Income taxes |
| $ | 13,574 |
| $ | 11,265 |
|
Non-cash operating activities |
|
|
|
|
| ||
Accounts receivable transferred to notes receivable |
| $ | 22,921 |
| $ | 55,065 |
|
Property, plant and equipment exchanged for long-term investment |
| $ | 5,500 |
| $ | — |
|
Non-cash financing activities |
|
|
|
|
| ||
Common stock issued in conjunction with debt extinguishment |
| $ | — |
| $ | 37,568 |
|