Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 28, 2013 | Jan. 21, 2014 | Jun. 28, 2013 | |
Document and Entity Information | ' | ' | ' |
Entity Registrant Name | 'SILICON LABORATORIES INC | ' | ' |
Entity Central Index Key | '0001038074 | ' | ' |
Document Type | '10-K | ' | ' |
Document Period End Date | 28-Dec-13 | ' | ' |
Amendment Flag | 'false | ' | ' |
Current Fiscal Year End Date | '--12-28 | ' | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Filer Category | 'Large Accelerated Filer | ' | ' |
Entity Public Float | ' | ' | $1,639,157,249 |
Entity Common Stock, Shares Outstanding | ' | 42,826,583 | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 28, 2013 | Dec. 29, 2012 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $95,800 | $105,426 |
Short-term investments | 179,593 | 176,565 |
Accounts receivable, net of allowances for doubtful accounts of $797 at December 28, 2013 and $670 at December 29, 2012 | 72,124 | 78,023 |
Inventories | 45,271 | 49,579 |
Deferred income taxes | 18,878 | 16,652 |
Prepaid expenses and other current assets | 47,651 | 41,437 |
Total current assets | 459,317 | 467,682 |
Long-term investments | 10,632 | 11,369 |
Property and equipment, net | 132,445 | 135,271 |
Goodwill | 228,781 | 130,265 |
Other intangible assets, net | 131,593 | 90,750 |
Other assets, net | 28,382 | 36,629 |
Total assets | 991,150 | 871,966 |
Current liabilities: | ' | ' |
Accounts payable | 22,126 | 29,622 |
Current portion of long-term debt | 7,500 | 5,000 |
Accrued expenses | 45,975 | 40,410 |
Deferred income on shipments to distributors | 30,853 | 30,259 |
Income taxes | 2,693 | 1,087 |
Total current liabilities | 109,147 | 106,378 |
Long-term debt | 87,500 | 95,000 |
Other non-current liabilities | 55,941 | 20,615 |
Total liabilities | 252,588 | 221,993 |
Commitments and contingencies | ' | ' |
Stockholders' equity: | ' | ' |
Preferred stock - $0.0001 par value; 10,000 shares authorized; no shares issued and outstanding | ' | ' |
Common stock - $0.0001 par value; 250,000 shares authorized; 42,779 and 41,879 shares issued and outstanding at December 28, 2013 and December 29, 2012, respectively | 4 | 4 |
Additional paid-in capital | 48,630 | 10,122 |
Retained earnings | 690,612 | 640,793 |
Accumulated other comprehensive loss | -684 | -946 |
Total stockholders' equity | 738,562 | 649,973 |
Total liabilities and stockholders' equity | $991,150 | $871,966 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Dec. 28, 2013 | Dec. 29, 2012 |
In Thousands, except Per Share data, unless otherwise specified | ||
Consolidated Balance Sheets | ' | ' |
Accounts receivable, allowances for doubtful accounts (in dollars) | $797 | $670 |
Preferred stock, par value (in dollars per share) | $0.00 | $0.00 |
Preferred stock, shares authorized | 10,000 | 10,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value (in dollars per share) | $0.00 | $0.00 |
Common stock, shares authorized | 250,000 | 250,000 |
Common stock, shares issued | 42,779 | 41,879 |
Common stock, shares outstanding | 42,779 | 41,879 |
Consolidated_Statements_of_Inc
Consolidated Statements of Income (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Consolidated Statements of Income | ' | ' | ' |
Revenues | $580,087 | $563,294 | $491,625 |
Cost of revenues | 227,183 | 225,277 | 193,179 |
Gross margin | 352,904 | 338,017 | 298,446 |
Operating expenses: | ' | ' | ' |
Research and development | 157,799 | 137,952 | 135,953 |
Selling, general and administrative | 130,795 | 114,390 | 112,419 |
Operating expenses | 288,594 | 252,342 | 248,372 |
Operating income | 64,310 | 85,675 | 50,074 |
Other income (expense): | ' | ' | ' |
Interest income | 853 | 1,338 | 1,859 |
Interest expense | -3,293 | -1,149 | -37 |
Other income (expense), net | 157 | 484 | 444 |
Income before income taxes | 62,027 | 86,348 | 52,340 |
Provision for income taxes | 12,208 | 22,800 | 16,868 |
Net income | $49,819 | $63,548 | $35,472 |
Earnings per share: | ' | ' | ' |
Basic (in dollars per share) | $1.17 | $1.51 | $0.82 |
Diluted (in dollars per share) | $1.14 | $1.47 | $0.79 |
Weighted-average common shares outstanding: | ' | ' | ' |
Basic (in shares) | 42,715 | 42,136 | 43,421 |
Diluted (in shares) | 43,537 | 43,106 | 44,832 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Consolidated Statements of Comprehensive Income | ' | ' | ' |
Net income | $49,819 | $63,548 | $35,472 |
Net changes to available-for-sale securities: | ' | ' | ' |
Unrealized gains (losses) arising during the period | -535 | 1,000 | 4 |
Reclassification for gains included in net income | -232 | ' | ' |
Net changes to cash flow hedges: | ' | ' | ' |
Unrealized gains (losses) arising during the period | 611 | -956 | -424 |
Reclassification for losses included in net income | 560 | 2,295 | 2,237 |
Other comprehensive income, before tax | 404 | 2,339 | 1,817 |
Provision for income taxes | 142 | 818 | 636 |
Other comprehensive income | 262 | 1,521 | 1,181 |
Comprehensive income | $50,081 | $65,069 | $36,653 |
Consolidated_Statements_of_Cha
Consolidated Statements of Changes in Stockholders' Equity (USD $) | Total | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Loss |
In Thousands, unless otherwise specified | |||||
Balance at Jan. 01, 2011 | $625,430 | $4 | $49,947 | $579,127 | ($3,648) |
Balance (in shares) at Jan. 01, 2011 | ' | 43,933 | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' |
Net income | 35,472 | ' | ' | 35,472 | ' |
Other comprehensive income | 1,181 | ' | ' | ' | 1,181 |
Stock issuances under employee plans, net of shares withheld for taxes | 7,660 | ' | 7,660 | ' | ' |
Stock issuances under employee plans, net of shares withheld for taxes (in shares) | ' | 1,290 | ' | ' | ' |
Income tax benefit (detriment) from employee stock-based awards | 2,707 | ' | 2,707 | ' | ' |
Repurchases of common stock | -110,063 | ' | -82,117 | -27,946 | ' |
Repurchases of common stock (in shares) | -3,200 | -3,155 | ' | ' | ' |
Stock-based compensation | 36,552 | ' | 36,552 | ' | ' |
Balance at Dec. 31, 2011 | 598,939 | 4 | 14,749 | 586,653 | -2,467 |
Balance (in shares) at Dec. 31, 2011 | ' | 42,068 | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' |
Net income | 63,548 | ' | ' | 63,548 | ' |
Other comprehensive income | 1,521 | ' | ' | ' | 1,521 |
Stock issuances under employee plans, net of shares withheld for taxes | 15,148 | ' | 15,148 | ' | ' |
Stock issuances under employee plans, net of shares withheld for taxes (in shares) | ' | 1,560 | ' | ' | ' |
Income tax benefit (detriment) from employee stock-based awards | 1,675 | ' | 1,675 | ' | ' |
Repurchases of common stock | -62,019 | ' | -52,611 | -9,408 | ' |
Repurchases of common stock (in shares) | -1,700 | -1,749 | ' | ' | ' |
Stock-based compensation | 31,161 | ' | 31,161 | ' | ' |
Balance at Dec. 29, 2012 | 649,973 | 4 | 10,122 | 640,793 | -946 |
Balance (in shares) at Dec. 29, 2012 | 41,879 | 41,879 | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' |
Net income | 49,819 | ' | ' | 49,819 | ' |
Other comprehensive income | 262 | ' | ' | ' | 262 |
Stock issuances under employee plans, net of shares withheld for taxes | 15,301 | ' | 15,301 | ' | ' |
Stock issuances under employee plans, net of shares withheld for taxes (in shares) | ' | 1,057 | ' | ' | ' |
Income tax benefit (detriment) from employee stock-based awards | -772 | ' | -772 | ' | ' |
Repurchases of common stock | -26,022 | ' | -26,022 | ' | ' |
Repurchases of common stock (in shares) | -700 | -661 | ' | ' | ' |
Stock-based compensation | 30,753 | ' | 30,753 | ' | ' |
Stock issued in business combination | 19,248 | ' | 19,248 | ' | ' |
Stock issued in business combination (in shares) | 500 | 504 | ' | ' | ' |
Balance at Dec. 28, 2013 | $738,562 | $4 | $48,630 | $690,612 | ($684) |
Balance (in shares) at Dec. 28, 2013 | 42,779 | 42,779 | ' | ' | ' |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Operating Activities | ' | ' | ' |
Net income | $49,819 | $63,548 | $35,472 |
Adjustments to reconcile net income to cash provided by operating activities: | ' | ' | ' |
Depreciation of property and equipment | 13,491 | 13,621 | 13,570 |
Net gain on the purchase of property and equipment | ' | -8,457 | ' |
Amortization of other intangible assets and other assets | 15,911 | 14,154 | 11,030 |
Impairment of long-lived assets | ' | 708 | 1,322 |
Stock-based compensation expense | 30,800 | 31,176 | 36,115 |
Income tax benefit (detriment) from employee stock-based awards | -606 | 1,827 | 2,814 |
Excess income tax benefit from employee stock-based awards | -290 | -1,294 | -2,404 |
Deferred income taxes | 3,319 | 4,725 | -445 |
Changes in operating assets and liabilities: | ' | ' | ' |
Accounts receivable | 8,972 | -20,743 | -8,562 |
Inventories | 5,588 | -13,056 | 5,334 |
Prepaid expenses and other assets | -2,514 | 10,629 | -5,948 |
Accounts payable | -3,979 | 7,217 | -2,176 |
Accrued expenses | -3,169 | -3,812 | -1,320 |
Deferred income on shipments to distributors | -2,381 | 4,623 | -1,915 |
Income taxes | 5,189 | -7,816 | 5,855 |
Net cash provided by operating activities | 120,150 | 97,050 | 88,742 |
Investing Activities | ' | ' | ' |
Purchases of available-for-sale investments | -213,883 | -192,450 | -178,676 |
Proceeds from sales and maturities of available-for-sale investments | 210,824 | 235,517 | 193,474 |
Purchases of property and equipment | -10,472 | -102,043 | -8,690 |
Purchases of other assets | -5,939 | -8,508 | -4,018 |
Acquisitions of businesses, net of cash acquired | -86,441 | -71,852 | -27,262 |
Net cash used in investing activities | -105,911 | -139,336 | -25,172 |
Financing Activities | ' | ' | ' |
Proceeds from issuance of common stock, net of shares withheld for taxes | 15,301 | 15,148 | 7,660 |
Excess income tax benefit from employee stock-based awards | 290 | 1,294 | 2,404 |
Repurchases of common stock | -26,022 | -62,019 | -110,063 |
Proceeds from issuance of long-term debt, net | ' | 98,325 | ' |
Payments on debt | -13,434 | ' | -7,174 |
Net cash provided by (used in) financing activities | -23,865 | 52,748 | -107,173 |
Increase (decrease) in cash and cash equivalents | -9,626 | 10,462 | -43,603 |
Cash and cash equivalents at beginning of period | 105,426 | 94,964 | 138,567 |
Cash and cash equivalents at end of period | 95,800 | 105,426 | 94,964 |
Supplemental Disclosure of Cash Flow Information: | ' | ' | ' |
Interest paid | 2,925 | 677 | 35 |
Income taxes paid | 3,838 | 23,564 | 8,241 |
Supplemental Disclosure of Non-Cash Activity: | ' | ' | ' |
Stock issued in business combination | $19,248 | ' | ' |
Description_of_Business
Description of Business | 12 Months Ended |
Dec. 28, 2013 | |
Description of Business | ' |
Description of Business | ' |
1. Description of Business | |
Silicon Laboratories Inc. (the "Company"), a Delaware corporation, develops and markets mixed-signal analog intensive integrated circuits (ICs) for a broad range of applications for global markets. Within the semiconductor industry, the Company is known as a "fabless" company meaning that the ICs are manufactured by third-party foundry semiconductor companies. | |
Significant_Accounting_Policie
Significant Accounting Policies | 12 Months Ended |
Dec. 28, 2013 | |
Significant Accounting Policies | ' |
Significant Accounting Policies | ' |
2. Significant Accounting Policies | |
Basis of Presentation and Principles of Consolidation | |
The Company prepares financial statements on a 52- or 53-week fiscal year that ends on the Saturday closest to December 31. Fiscal 2013, 2012 and 2011 were 52-week years and ended on December 28, 2013, December 29, 2012 and December 31, 2011, respectively. The accompanying Consolidated Financial Statements include the accounts of the Company and its wholly owned subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. | |
Foreign Currency Transactions | |
The Company's foreign subsidiaries are considered to be extensions of the U.S. Company. The functional currency of the foreign subsidiaries is the U.S. dollar. Accordingly, gains and losses resulting from remeasuring transactions denominated in currencies other than U.S. dollars are included in other income (expense), net in the Consolidated Statements of Income. | |
Use of Estimates | |
The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Among the significant estimates affecting the financial statements are those related to inventories, stock-based compensation, investments in auction-rate securities, acquired intangible assets, goodwill, long-lived assets and income taxes. Actual results could differ from those estimates, and such differences could be material to the financial statements. | |
Reclassifications | |
Certain reclassifications have been made to prior year financial statements to conform to current year presentation. | |
Fair Value of Financial Instruments | |
The fair values of the Company's financial instruments are recorded using a hierarchal disclosure framework based upon the level of subjectivity of the inputs used in measuring assets and liabilities. The three levels are described below: | |
Level 1—Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date. | |
Level 2—Inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. | |
Level 3—Inputs are unobservable for the asset or liability and are developed based on the best information available in the circumstances, which might include the Company's own data. | |
Cash and Cash Equivalents | |
Cash and cash equivalents consist of cash deposits, money market funds and investments in debt securities with original maturities of ninety days or less when purchased. | |
Investments | |
The Company's investments typically have original maturities greater than ninety days as of the date of purchase and are classified as either available-for-sale or trading securities. Investments in available-for-sale securities are reported at fair value, with unrealized gains and losses, net of tax, recorded as a component of accumulated other comprehensive loss in the Consolidated Balance Sheet. Investments in trading securities are reported at fair value, with both realized and unrealized gains and losses recorded in other income (expense), net in the Consolidated Statement of Income. Investments in which the Company has the ability and intent, if necessary, to liquidate in order to support its current operations (including those with contractual maturities greater than one year from the date of purchase) are classified as short-term. | |
The Company reviews its available-for-sale investments as of the end of each reporting period for other-than-temporary declines in fair value based on the specific identification method. The Company considers various factors in determining whether an impairment is other-than-temporary, including the severity and duration of the impairment, changes in underlying credit ratings, forecasted recovery, its intent to sell or the likelihood that it would be required to sell the investment before its anticipated recovery in market value and the probability that the scheduled cash payments will continue to be made. When the Company concludes that an other-than-temporary impairment has occurred, the Company assesses whether it intends to sell the security or if it is more likely than not that it will be required to sell the security before recovery. If either of these two conditions is met, the Company recognizes a charge in earnings equal to the entire difference between the security's amortized cost basis and its fair value. If the Company does not intend to sell a security and it is not more likely than not that it will be required to sell the security before recovery, the unrealized loss is separated into an amount representing the credit loss, which is recognized in earnings, and the amount related to all other factors, which is recorded in accumulated other comprehensive loss. | |
Derivative Financial Instruments | |
The Company uses derivative financial instruments to manage certain exposures to the variability of interest rates. The Company's objective is to offset increases and decreases in expenses resulting from changes in interest rates with gains and losses on the derivative contracts, thereby reducing volatility of earnings. The Company does not use derivative contracts for speculative purposes. The effective portion of the gain or loss on interest rate swaps is recorded in accumulated other comprehensive loss as a separate component of stockholders' equity and is subsequently recognized in earnings when the hedged exposure affects earnings. Cash flows from derivatives are classified according to the nature of the cash receipt or payment in the Consolidated Statement of Cash Flows. | |
Inventories | |
Inventories are stated at the lower of cost, determined using the first-in, first-out method, or market. The Company writes down the carrying value of inventory to net realizable value for estimated obsolescence or unmarketable inventory based upon assumptions about the age of inventory, future demand and market conditions. Inventory impairment charges establish a new cost basis for inventory and charges are not subsequently reversed to income even if circumstances later suggest that increased carrying amounts are recoverable. | |
Property and Equipment | |
Property and equipment are stated at cost, net of accumulated depreciation. Depreciation is computed using the straight-line method over the useful lives of the assets ranging from three to seven years. Leasehold improvements are depreciated over the contractual lease period or their useful life, whichever is shorter. | |
In fiscal 2012, the Company purchased the facilities it had previously leased for its headquarters in Austin, Texas. The buildings are located on land which is leased through 2099 from a third party. The rents for these ground leases were prepaid for the term of the leases by the previous lessee. The buildings and leasehold interest in ground leases are being depreciated on a straight-line basis over their estimated useful lives of 40 years and 86 years, respectively. | |
Business Combinations | |
The Company records business combinations using the acquisition method of accounting and accordingly, allocates the fair value of purchase consideration to the assets acquired and liabilities assumed based on their fair values at the acquisition date. The excess of the fair value of purchase consideration over the fair value of the assets acquired and liabilities assumed is recorded as goodwill. The results of operations of the businesses acquired are included in the Company's consolidated results of operations beginning on the date of the acquisition. | |
Long-Lived Assets | |
Purchased intangible assets are stated at cost, net of accumulated amortization, and are amortized using the straight-line method over their estimated useful lives, ranging from six to twelve years. Fair values are determined primarily using the income approach, in which the Company projects future expected cash flows and applies an appropriate discount rate. | |
Long-lived assets "held and used" by the Company are reviewed for impairment whenever events or changes in circumstances indicate that their net book value may not be recoverable. When such factors and circumstances exist, the Company compares the projected undiscounted future cash flows associated with the related asset or group of assets over their estimated useful lives, against their respective carrying amounts. Impairment, if any, is based on the excess of the carrying amount over the fair value of those assets and is recorded in the period in which the determination was made. | |
The carrying value of goodwill is reviewed at least annually by the Company for possible impairment. The goodwill impairment test is a two-step process. The first step of the impairment analysis compares the fair value of the reporting unit to the net book value of the reporting unit. In determining fair value, several valuation methodologies are allowed, although quoted market prices are the best evidence of fair value. If the results of the first step demonstrate that the net book value is greater than the fair value, the Company must proceed to step two of the analysis. Step two of the analysis compares the implied fair value of goodwill to its carrying amount. If the carrying amount of goodwill exceeds its implied fair value, an impairment loss is recognized equal to that excess. The Company tests goodwill for impairment annually as of the first day of its fourth fiscal quarter and in interim periods if events occur that would indicate that the carrying value of goodwill may be impaired. | |
Revenue Recognition | |
Revenues are generated almost exclusively by sales of the Company's ICs. The Company recognizes revenue when all of the following criteria are met: 1) there is persuasive evidence that an arrangement exists, 2) delivery of goods has occurred, 3) the sales price is fixed or determinable, and 4) collectibility is reasonably assured. Generally, revenue from product sales to direct customers and contract manufacturers is recognized upon shipment. | |
A portion of the Company's sales are made to distributors under agreements allowing certain rights of return and price protection related to the final selling price to the end customers. Accordingly, the Company defers revenue and cost of revenue on such sales until the distributors sell the product to the end customers. The net balance of deferred revenue less deferred cost of revenue associated with inventory shipped to a distributor but not yet sold to an end customer is recorded in the deferred income on shipments to distributors liability on the Consolidated Balance Sheet. Such net deferred income balance reflects the Company's estimate of the impact of rights of return and price protection. | |
Shipping and Handling | |
Shipping and handling costs are classified as a component of cost of revenues in the Consolidated Statements of Income. | |
Stock-Based Compensation | |
The Company has stock-based compensation plans, which are more fully described in Note 13, Stock-Based Compensation. The Company accounts for those plans using a fair-value method and recognizes the expense in its Consolidated Statement of Income. | |
Research and Development | |
Research and development costs are expensed as incurred. Research and development expense consists primarily of personnel-related expenses, including stock-based compensation, as well as new product masks, external consulting and services costs, equipment tooling, equipment depreciation, amortization of intangible assets, and an allocated portion of our occupancy costs. Assets purchased to support the Company's ongoing research and development activities are capitalized when related to products which have achieved technological feasibility or have an alternative future use, and are amortized over their estimated useful lives. | |
Advertising | |
Advertising costs are expensed as incurred. Advertising expenses were $2.0 million, $1.7 million and $1.6 million in fiscal 2013, 2012 and 2011, respectively. | |
Income Taxes | |
The Company accounts for income taxes using the asset and liability method whereby deferred tax asset and liability account balances are determined based on differences between financial reporting and the tax bases of assets and liabilities and are measured using the enacted tax laws and related rates that will be in effect when the differences are expected to reverse. These differences result in deferred tax assets and liabilities, which are included in the Company's Consolidated Balance Sheet. The Company then assesses the likelihood that the deferred tax assets will be realized. A valuation allowance is established against deferred tax assets to the extent the Company believes that it is more likely than not that the deferred tax assets will not be realized, taking into consideration the level of historical taxable income and projections for future taxable income over the periods in which the temporary differences are deductible. | |
Uncertain tax positions must meet a more-likely-than-not threshold to be recognized in the financial statements and the tax benefits recognized are measured based on the largest benefit that has a greater than 50% likelihood of being realized upon final settlement. See Note 17, Income Taxes, for additional information. | |
Recent Accounting Pronouncements | |
In February 2013, the Financial Accounting Standards Board (FASB) issued FASB Accounting Standards Update (ASU) No. 2013-02, Comprehensive Income (Topic 220)—Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. ASU 2013-02 requires an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component. In addition, an entity is required to present, either on the face of the financial statements or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income, but only if the amount reclassified is required under U.S. GAAP to be reclassified to net income in its entirety in the same reporting period. For amounts that are not required to be reclassified in their entirety to net income, an entity is required to cross-reference to other disclosures that provide additional details about those amounts. ASU 2013-02 is effective prospectively for reporting periods beginning after December 15, 2012. The adoption of this ASU did not have an impact on the Company's financial statements, but did amend the disclosures for accumulated other comprehensive loss. | |
Earnings_Per_Share
Earnings Per Share | 12 Months Ended | ||||||||||
Dec. 28, 2013 | |||||||||||
Earnings Per Share | ' | ||||||||||
Earnings Per Share | ' | ||||||||||
3. Earnings Per Share | |||||||||||
The following table sets forth the computation of basic and diluted earnings per share (in thousands, except per share data): | |||||||||||
Year Ended | |||||||||||
December 28, | December 29, | December 31, | |||||||||
2013 | 2012 | 2011 | |||||||||
Net income | $ | 49,819 | $ | 63,548 | $ | 35,472 | |||||
Shares used in computing basic earnings per share | 42,715 | 42,136 | 43,421 | ||||||||
Effect of dilutive securities: | |||||||||||
Stock options and other stock-based awards | 822 | 970 | 1,411 | ||||||||
Shares used in computing diluted earnings per share | 43,537 | 43,106 | 44,832 | ||||||||
Earnings per share: | |||||||||||
Basic | $ | 1.17 | $ | 1.51 | $ | 0.82 | |||||
Diluted | $ | 1.14 | $ | 1.47 | $ | 0.79 | |||||
For fiscal years ended December 28, 2013, December 29, 2012 and December 31, 2011, approximately 0.4 million, 0.5 million and 0.4 million shares, respectively, were not included in the diluted earnings per share calculation since the shares were anti-dilutive. | |||||||||||
Cash_Cash_Equivalents_and_Inve
Cash, Cash Equivalents and Investments | 12 Months Ended | |||||||||||||||||||
Dec. 28, 2013 | ||||||||||||||||||||
Cash, Cash Equivalents and Investments | ' | |||||||||||||||||||
Cash, Cash Equivalents and Investments | ' | |||||||||||||||||||
4. Cash, Cash Equivalents and Investments | ||||||||||||||||||||
The Company's cash equivalents and short-term investments as of December 28, 2013 consisted of municipal bonds, money market funds, variable-rate demand notes, corporate bonds, certificates of deposit, commercial paper and asset backed securities. The Company's long-term investments consisted of auction-rate securities. In fiscal 2008, auctions for many of the Company's auction-rate securities failed because sell orders exceeded buy orders. As of December 28, 2013, the Company held $12.4 million par value auction-rate securities, all of which have experienced failed auctions. The underlying assets of the securities consisted of student loans and municipal bonds, of which $10.4 million were guaranteed by the U.S. government and the remaining $2.0 million were privately insured. As of December 28, 2013, $6.0 million had credit ratings of AA, $2.0 million had a credit rating of A and $4.4 million of the auction-rate securities had credit ratings of BBB. These securities have contractual maturity dates ranging from 2033 to 2046 at December 28, 2013. The Company is receiving the underlying cash flows on all of its auction-rate securities. The principal amounts associated with failed auctions are not expected to be accessible until a successful auction occurs, the issuer redeems the securities, a buyer is found outside of the auction process or the underlying securities mature. The Company is unable to predict if these funds will become available before their maturity dates. | ||||||||||||||||||||
The Company does not expect to need access to the capital represented by any of its auction-rate securities prior to their maturities. The Company does not intend to sell, and believes it is not more likely than not that it will be required to sell, its auction-rate securities before their anticipated recovery in market value or final settlement at the underlying par value. The Company believes that the credit ratings and credit support of the security issuers indicate that they have the ability to settle the securities at par value. As such, the Company has determined that no other-than-temporary impairment losses existed as of December 28, 2013. | ||||||||||||||||||||
The Company's cash, cash equivalents and investments consisted of the following (in thousands): | ||||||||||||||||||||
December 28, 2013 | ||||||||||||||||||||
Cost | Gross | Gross | Fair Value | |||||||||||||||||
Unrealized | Unrealized | |||||||||||||||||||
Losses | Gains | |||||||||||||||||||
Cash and Cash Equivalents: | ||||||||||||||||||||
Cash on hand | $ | 45,544 | $ | — | $ | — | $ | 45,544 | ||||||||||||
Available-for-sale securities: | ||||||||||||||||||||
Money market funds | 39,538 | — | — | 39,538 | ||||||||||||||||
Certificates of deposit | 7,768 | — | — | 7,768 | ||||||||||||||||
Commercial paper | 2,499 | — | — | 2,499 | ||||||||||||||||
Municipal bonds | 451 | — | — | 451 | ||||||||||||||||
Total available-for-sale securities | 50,256 | — | — | 50,256 | ||||||||||||||||
Total cash and cash equivalents | $ | 95,800 | $ | — | $ | — | $ | 95,800 | ||||||||||||
Short-term Investments: | ||||||||||||||||||||
Available-for-sale securities: | ||||||||||||||||||||
Municipal bonds | $ | 119,289 | $ | (11 | ) | $ | 182 | $ | 119,460 | |||||||||||
Variable-rate demand notes | 38,025 | — | — | 38,025 | ||||||||||||||||
Corporate bonds | 17,788 | (4 | ) | 60 | 17,844 | |||||||||||||||
Commercial paper | 3,748 | — | — | 3,748 | ||||||||||||||||
Asset-backed securities | 515 | — | 1 | 516 | ||||||||||||||||
Total short-term investments | $ | 179,365 | $ | (15 | ) | $ | 243 | $ | 179,593 | |||||||||||
Long-term Investments: | ||||||||||||||||||||
Available-for-sale securities: | ||||||||||||||||||||
Auction rate securities | $ | 12,425 | $ | (1,793 | ) | $ | — | $ | 10,632 | |||||||||||
Total long-term investments | $ | 12,425 | $ | (1,793 | ) | $ | — | $ | 10,632 | |||||||||||
December 29, 2012 | ||||||||||||||||||||
Cost | Gross | Gross | Fair Value | |||||||||||||||||
Unrealized | Unrealized | |||||||||||||||||||
Losses | Gains | |||||||||||||||||||
Cash and Cash Equivalents: | ||||||||||||||||||||
Cash on hand | $ | 56,690 | $ | — | $ | — | $ | 56,690 | ||||||||||||
Available-for-sale securities: | ||||||||||||||||||||
U.S. Treasury bills | 25,049 | — | 1 | 25,050 | ||||||||||||||||
Money market funds | 22,685 | — | 1 | 22,686 | ||||||||||||||||
Municipal bonds | 1,000 | — | — | 1,000 | ||||||||||||||||
Total available-for-sale securities | 48,734 | — | 2 | 48,736 | ||||||||||||||||
Total cash and cash equivalents | $ | 105,424 | $ | — | $ | 2 | $ | 105,426 | ||||||||||||
Short-term Investments: | ||||||||||||||||||||
Available-for-sale securities: | ||||||||||||||||||||
Corporate bonds | $ | 59,089 | $ | (5 | ) | $ | 267 | $ | 59,351 | |||||||||||
Municipal bonds | 45,646 | (7 | ) | 50 | 45,689 | |||||||||||||||
Variable-rate demand notes | 41,785 | — | — | 41,785 | ||||||||||||||||
Asset-backed securities | 15,058 | — | 11 | 15,069 | ||||||||||||||||
U.S. government bonds | 12,638 | — | 25 | 12,663 | ||||||||||||||||
International government bonds | 1,991 | — | 17 | 2,008 | ||||||||||||||||
Total short-term investments | $ | 176,207 | $ | (12 | ) | $ | 370 | $ | 176,565 | |||||||||||
Long-term Investments: | ||||||||||||||||||||
Available-for-sale securities: | ||||||||||||||||||||
Auction rate securities | $ | 12,525 | $ | (1,156 | ) | $ | — | $ | 11,369 | |||||||||||
Total long-term investments | $ | 12,525 | $ | (1,156 | ) | $ | — | $ | 11,369 | |||||||||||
The available-for-sale investments that were in a continuous unrealized loss position, aggregated by length of time that individual securities have been in a continuous loss position, were as follows (in thousands): | ||||||||||||||||||||
Less Than 12 Months | 12 Months or Greater | Total | ||||||||||||||||||
As of December 28, 2013 | Fair | Gross | Fair | Gross | Fair | Gross | ||||||||||||||
Value | Unrealized | Value | Unrealized | Value | Unrealized | |||||||||||||||
Losses | Losses | Losses | ||||||||||||||||||
Municipal bonds | $ | 11,079 | $ | (11 | ) | $ | — | $ | — | $ | 11,079 | $ | (11 | ) | ||||||
Auction rate securities | — | — | 10,632 | (1,793 | ) | 10,632 | (1,793 | ) | ||||||||||||
Corporate bonds | 2,605 | (4 | ) | — | — | 2,605 | (4 | ) | ||||||||||||
$ | 13,684 | $ | (15 | ) | $ | 10,632 | $ | (1,793 | ) | $ | 24,316 | $ | (1,808 | ) | ||||||
Less Than 12 Months | 12 Months or Greater | Total | ||||||||||||||||||
As of December 29, 2012 | Fair | Gross | Fair | Gross | Fair | Gross | ||||||||||||||
Value | Unrealized | Value | Unrealized Losses | Value | Unrealized | |||||||||||||||
Losses | Losses | |||||||||||||||||||
Municipal bonds | $ | 17,152 | $ | (7 | ) | $ | — | $ | — | $ | 17,152 | $ | (7 | ) | ||||||
Auction rate securities | — | — | 11,369 | (1,156 | ) | 11,369 | (1,156 | ) | ||||||||||||
Corporate bonds | 9,543 | (5 | ) | — | — | 9,543 | (5 | ) | ||||||||||||
$ | 26,695 | $ | (12 | ) | $ | 11,369 | $ | (1,156 | ) | $ | 38,064 | $ | (1,168 | ) | ||||||
The gross unrealized losses as of December 28, 2013 and December 29, 2012 were due primarily to the illiquidity of the Company's auction-rate securities and, to a lesser extent, to changes in market interest rates. | ||||||||||||||||||||
The following summarizes the contractual underlying maturities of the Company's available-for-sale investments at December 28, 2013 (in thousands): | ||||||||||||||||||||
Cost | Fair | |||||||||||||||||||
Value | ||||||||||||||||||||
Due in one year or less | $ | 115,109 | $ | 115,177 | ||||||||||||||||
Due after one year through ten years | 80,987 | 81,147 | ||||||||||||||||||
Due after ten years | 45,950 | 44,157 | ||||||||||||||||||
$ | 242,046 | $ | 240,481 | |||||||||||||||||
Derivative_Financial_Instrumen
Derivative Financial Instruments | 12 Months Ended | |||||||||||||||||||||
Dec. 28, 2013 | ||||||||||||||||||||||
Derivative Financial Instruments | ' | |||||||||||||||||||||
Derivative Financial Instruments | ' | |||||||||||||||||||||
5. Derivative Financial Instruments | ||||||||||||||||||||||
The Company is exposed to interest rate fluctuations in the normal course of its business, including through its Credit Facilities. The interest payments on the facility are calculated using a variable-rate of interest. The Company has entered into an interest rate swap agreement with an original notional value of $100 million (equal to the full amount borrowed under the Term Loan Facility) and, effectively, converted the LIBOR portion of the variable-rate interest payments to fixed-rate interest payments through July 2017 (the maturity date of the Term Loan Facility). The Company's interest rate swap agreement is designated and qualifies as a cash flow hedge. | ||||||||||||||||||||||
The Company's previous swap agreement with a notional value of $50.1 million was terminated in fiscal 2012 in connection with the Company's purchase of its corporate headquarters facilities. See Note 9, Acquisitions, for additional information. | ||||||||||||||||||||||
The Company estimates the fair values of derivatives based on quoted prices and market observable data of similar instruments. If the Term Loan Facility or the interest rate swap agreement is terminated prior to maturity, the fair value of the interest rate swap recorded in accumulated other comprehensive loss may be recognized in the Consolidated Statement of Income based on an assessment of the agreements at the time of termination. The termination of the Company's swap agreement with a notional value of $50.1 million resulted in its remaining fair value of $0.9 million that was previously recorded in accumulated other comprehensive loss to be reclassified into earnings during fiscal 2012. The Company did not discontinue any other cash flow hedges in the periods presented. | ||||||||||||||||||||||
The Company measures the effectiveness of its cash flow hedge by comparing the change in fair value of the hedged variable interest payments with the change in fair value of the interest rate swap. The Company recognizes ineffective portions of the hedge, as well as amounts not included in the assessment of effectiveness, in the Consolidated Statement of Income. As of December 28, 2013, no portion of the gains or losses from the Company's hedging instrument was excluded from the assessment of effectiveness. Hedge ineffectiveness was not material for any of the periods presented. | ||||||||||||||||||||||
The Company's derivative financial instrument consisted of the following (in thousands): | ||||||||||||||||||||||
Fair Value | ||||||||||||||||||||||
Balance Sheet Location | December 28, | December 29, | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||
Interest rate swap | Other assets, net | $ | 513 | $ | — | |||||||||||||||||
Other non-current liabilities | — | 658 | ||||||||||||||||||||
The before-tax effect of derivative instruments in cash flow hedging relationships was as follows (in thousands): | ||||||||||||||||||||||
Gain (Loss) Recognized in | Location | Loss Reclassified | ||||||||||||||||||||
OCI on Derivatives | of Loss | from Accumulated | ||||||||||||||||||||
(Effective Portion) | Reclassified | OCI into Income | ||||||||||||||||||||
during the Year Ended | into Income | (Effective Portion) | ||||||||||||||||||||
during the Year Ended | ||||||||||||||||||||||
December 28, | December 29, | December 31, | December 28, | December 29, | December 31, | |||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||
Interest rate swaps | $ | 611 | $ | (956 | ) | $ | (424 | ) | Rent expense | $ | — | $ | (2,197 | ) | $ | (2,237 | ) | |||||
Interest expense | (560 | ) | (98 | ) | — | |||||||||||||||||
The Company expects to reclassify $0.5 million of its interest rate swap losses included in accumulated other comprehensive loss as of December 28, 2013 into earnings in the next 12 months, which would be offset by lower interest payments. | ||||||||||||||||||||||
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 12 Months Ended | |||||||||||||
Dec. 28, 2013 | ||||||||||||||
Fair Value of Financial Instruments | ' | |||||||||||||
Fair Value of Financial Instruments | ' | |||||||||||||
6. Fair Value of Financial Instruments | ||||||||||||||
The following summarizes the valuation of the Company's financial instruments (in thousands). The tables do not include either cash on hand or assets and liabilities that are measured at historical cost or any basis other than fair value. | ||||||||||||||
Fair Value Measurements | ||||||||||||||
at December 28, 2013 Using | ||||||||||||||
Description | Quoted Prices in | Significant Other | Significant | Total | ||||||||||
Active Markets for | Observable | Unobservable | ||||||||||||
Identical Assets | Inputs | Inputs | ||||||||||||
(Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets: | ||||||||||||||
Cash Equivalents: | ||||||||||||||
Money market funds | $ | 39,538 | $ | — | $ | — | $ | 39,538 | ||||||
Certificates of deposit | — | 7,768 | — | 7,768 | ||||||||||
Commercial paper | — | 2,499 | — | 2,499 | ||||||||||
Municipal bonds | — | 451 | — | 451 | ||||||||||
Total cash equivalents | $ | 39,538 | $ | 10,718 | $ | — | $ | 50,256 | ||||||
Short-term Investments: | ||||||||||||||
Municipal bonds | $ | — | $ | 119,460 | $ | — | $ | 119,460 | ||||||
Variable-rate demand notes | — | 38,025 | — | 38,025 | ||||||||||
Corporate bonds | — | 17,844 | — | 17,844 | ||||||||||
Commercial paper | — | 3,748 | — | 3,748 | ||||||||||
Asset-backed securities | — | 516 | — | 516 | ||||||||||
Total short-term investments | $ | — | $ | 179,593 | $ | — | $ | 179,593 | ||||||
Long-term Investments: | ||||||||||||||
Auction rate securities | $ | — | $ | — | $ | 10,632 | $ | 10,632 | ||||||
Total long-term investments | $ | — | $ | — | $ | 10,632 | $ | 10,632 | ||||||
Other assets, net: | ||||||||||||||
Derivative instruments | $ | — | $ | 513 | $ | — | $ | 513 | ||||||
Total | $ | — | $ | 513 | $ | — | $ | 513 | ||||||
Total | $ | 39,538 | $ | 190,824 | $ | 10,632 | $ | 240,994 | ||||||
Other non-current liabilities: | ||||||||||||||
Contingent consideration | $ | — | $ | — | $ | 12,919 | $ | 12,919 | ||||||
Total | $ | — | $ | — | $ | 12,919 | $ | 12,919 | ||||||
Fair Value Measurements | ||||||||||||||
at December 29, 2012 Using | ||||||||||||||
Description | Quoted Prices in | Significant Other | Significant | Total | ||||||||||
Active Markets for | Observable | Unobservable | ||||||||||||
Identical Assets | Inputs | Inputs | ||||||||||||
(Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets: | ||||||||||||||
Cash Equivalents: | ||||||||||||||
U.S. Treasury bills | $ | 25,050 | $ | — | $ | — | $ | 25,050 | ||||||
Money market funds | 22,686 | — | — | 22,686 | ||||||||||
Municipal bonds | — | 1,000 | — | 1,000 | ||||||||||
Total cash equivalents | $ | 47,736 | $ | 1,000 | $ | — | $ | 48,736 | ||||||
Short-term Investments: | ||||||||||||||
Corporate bonds | $ | — | $ | 59,351 | $ | — | $ | 59,351 | ||||||
Municipal bonds | — | 45,689 | — | 45,689 | ||||||||||
Variable-rate demand notes | — | 41,785 | — | 41,785 | ||||||||||
Asset-backed securities | — | 15,069 | — | 15,069 | ||||||||||
U.S. government bonds | 12,663 | — | — | 12,663 | ||||||||||
International government bonds | — | 2,008 | — | 2,008 | ||||||||||
Total short-term investments | $ | 12,663 | $ | 163,902 | $ | — | $ | 176,565 | ||||||
Long-term Investments: | ||||||||||||||
Auction rate securities | $ | — | $ | — | $ | 11,369 | $ | 11,369 | ||||||
Total long-term investments | $ | — | $ | — | $ | 11,369 | $ | 11,369 | ||||||
Total | $ | 60,399 | $ | 164,902 | $ | 11,369 | $ | 236,670 | ||||||
Liabilities: | ||||||||||||||
Derivative instruments | $ | — | $ | 658 | $ | — | $ | 658 | ||||||
Contingent consideration | — | — | 2,750 | 2,750 | ||||||||||
Total | $ | — | $ | 658 | $ | 2,750 | $ | 3,408 | ||||||
The Company's cash equivalents and short-term investments that are classified as Level 1 are valued using quoted prices and other relevant information generated by market transactions involving identical assets. Cash equivalents and short-term investments classified as Level 2 are valued using non-binding market consensus prices that are corroborated with observable market data; quoted market prices for similar instruments in active markets; or pricing models, such as a discounted cash flow model, with all significant inputs derived from or corroborated with observable market data. Investments classified as Level 3 are valued using a discounted cash flow model. The assumptions used in preparing the discounted cash flow model include estimates for interest rates, amount of cash flows, expected holding periods of the securities and a discount to reflect the Company's inability to liquidate the securities. The Company's derivative instruments are valued using a discounted cash flow model. The assumptions used in preparing the discounted cash flow model include quoted interest swap rates and market observable data of similar instruments. | ||||||||||||||
The Company's contingent consideration is valued using a Monte Carlo simulation model or a probability weighted discounted cash flow model. The assumptions used in preparing the Monte Carlo simulation model include estimates for revenue growth rates, revenue volatility, contractual terms and discount rates. The assumptions used in preparing the discounted cash flow model include estimates for outcomes if milestone goals are achieved, the probability of achieving each outcome and discount rates. | ||||||||||||||
The following summarizes quantitative information about Level 3 fair value measurements. | ||||||||||||||
Auction rate securities | ||||||||||||||
Fair Value at | Valuation Technique | Unobservable Input | Weighted | |||||||||||
December 28, 2013 | Average | |||||||||||||
(000s) | ||||||||||||||
$10,632 | Discounted cash flow | Estimated yield | 1.11% | |||||||||||
Expected holding period | 10 years | |||||||||||||
Estimated discount rate | 4.05% | |||||||||||||
The Company has followed an established internal control procedure used in valuing auction rate securities. The procedure involves the analysis of valuation techniques and evaluation of unobservable inputs commonly used by market participants to price similar instruments, and which have been demonstrated to provide reasonable estimates of prices obtained in actual market transactions. Outputs from the valuation process are assessed against various market sources when they are available, including marketplace quotes, recent trades of similar illiquid securities, benchmark indices and independent pricing services. The technique and unobservable input parameters may be recalibrated periodically to achieve an appropriate estimation of the fair value of the securities. | ||||||||||||||
Significant changes in any of the unobservable inputs used in the fair value measurement of auction rate securities in isolation could result in a significantly lower or higher fair value measurement. An increase in expected yield would result in a higher fair value measurement, whereas an increase in expected holding period or estimated discount rate would result in a lower fair value measurement. Generally, a change in the assumptions used for expected holding period is accompanied by a directionally similar change in the assumptions used for estimated yield and discount rate. | ||||||||||||||
Contingent consideration | ||||||||||||||
Fair Value at | Valuation Technique | Unobservable Input | Range | |||||||||||
December 28, 2013 | ||||||||||||||
(000s) | ||||||||||||||
$12,919 | Monte Carlo simulation | Expected revenue growth rate | 26.2% - 51.9% | |||||||||||
Expected revenue volatility | 20.00% | |||||||||||||
Expected term | 1.0 - 5.0 years | |||||||||||||
Estimated discount rate | 0.1% - 1.6% | |||||||||||||
The Company has followed an established internal control procedure used in valuing contingent consideration. The valuation of contingent consideration for the Energy Micro acquisition is based on a Monte Carlo simulation model. The fair value of this valuation is estimated on a quarterly basis through a collaborative effort by the Company's sales, marketing and finance departments. | ||||||||||||||
Significant changes in any of the unobservable inputs used in the fair value measurement of contingent consideration in isolation could result in a significantly lower or higher fair value. A change in projected revenue growth rates would be accompanied by a directionally similar change in fair value. A change in discount rate would be accompanied by a directionally opposite change in fair value. | ||||||||||||||
The following summarizes the activity in Level 3 financial instruments for the years ended December 28, 2013 and December 29, 2012 (in thousands): | ||||||||||||||
Assets | ||||||||||||||
Year Ended | ||||||||||||||
Auction Rate Securities | December 28, | December 29, | ||||||||||||
2013 | 2012 | |||||||||||||
Beginning balance | $ | 11,369 | $ | 17,477 | ||||||||||
Settlements | (100 | ) | (6,700 | ) | ||||||||||
Gain (loss) included in other comprehensive income | (637 | ) | 592 | |||||||||||
Ending balance | $ | 10,632 | $ | 11,369 | ||||||||||
Liabilities | ||||||||||||||
Year Ended | ||||||||||||||
Contingent Consideration (1) | December 28, | December 29, | ||||||||||||
2013 | 2012 | |||||||||||||
Beginning balance | $ | 2,750 | $ | 876 | ||||||||||
Issues | 13,964 | 4,004 | ||||||||||||
Gain recognized in earnings (2) | (3,795 | ) | (2,130 | ) | ||||||||||
Ending balance | $ | 12,919 | $ | 2,750 | ||||||||||
Net gain for the period included in earnings attributable to contingent consideration held at the end of the period: | $ | 1,045 | $ | 1,254 | ||||||||||
-1 | ||||||||||||||
In connection with the acquisition of Energy Micro, Ember and ChipSensors, the Company recorded contingent consideration based upon the expected achievement of certain milestone goals. Changes to the fair value of contingent consideration due to changes in assumptions used in preparing the valuation model are recorded in selling, general and administrative expenses in the Consolidated Statements of Income. | ||||||||||||||
-2 | ||||||||||||||
The Company reduced the estimated fair value of contingent consideration because certain milestone goals were either not achieved or were expected to be achieved at a lower outcome. | ||||||||||||||
Fair values of other financial instruments | ||||||||||||||
The Company's Term Loan Facility bears interest at LIBOR plus an applicable margin. The fair value of the Company's Term Loan Facility approximates its carrying values as of December 28, 2013 and December 29, 2012, based on the estimated margin observed for loans to companies under similar terms and credit profiles. The Company's other financial instruments, including cash, accounts receivable and accounts payable, are recorded at amounts that approximate their fair values due to their short maturities. | ||||||||||||||
Balance_Sheet_Details
Balance Sheet Details | 12 Months Ended | |||||||
Dec. 28, 2013 | ||||||||
Balance Sheet Details | ' | |||||||
Balance Sheet Details | ' | |||||||
7. Balance Sheet Details | ||||||||
The following tables show the details of selected Consolidated Balance Sheet items (in thousands): | ||||||||
Inventories | ||||||||
December 28, | December 29, | |||||||
2013 | 2012 | |||||||
Work in progress | $ | 34,503 | $ | 42,103 | ||||
Finished goods | 10,768 | 7,476 | ||||||
$ | 45,271 | $ | 49,579 | |||||
Prepaid Expenses and Other Current Assets | ||||||||
December 28, | December 29, | |||||||
2013 | 2012 | |||||||
Distributor advances | $ | 31,839 | $ | 21,260 | ||||
Other | 15,812 | 20,177 | ||||||
$ | 47,651 | $ | 41,437 | |||||
Property and Equipment | ||||||||
December 28, | December 29, | |||||||
2013 | 2012 | |||||||
Buildings and improvements | $ | 94,221 | $ | 90,900 | ||||
Equipment | 51,071 | 48,219 | ||||||
Computers and purchased software | 25,556 | 27,294 | ||||||
Leasehold interest in ground leases | 23,840 | 23,840 | ||||||
Furniture and fixtures | 3,496 | 3,129 | ||||||
Leasehold improvements | 7,784 | 7,587 | ||||||
205,968 | 200,969 | |||||||
Accumulated depreciation | (73,523 | ) | (65,698 | ) | ||||
$ | 132,445 | $ | 135,271 | |||||
Accrued Expenses | ||||||||
December 28, | December 29, | |||||||
2013 | 2012 | |||||||
Accrued compensation and benefits | $ | 24,896 | $ | 22,298 | ||||
Other | 21,079 | 18,112 | ||||||
$ | 45,975 | $ | 40,410 | |||||
Other Non-current Liabilities | ||||||||
December 28, | December 29, | |||||||
2013 | 2012 | |||||||
Acquisition-related escrow | $ | 20,010 | $ | — | ||||
Contingent consideration | 12,919 | — | ||||||
Acquired unfavorable leases | 11,268 | 11,794 | ||||||
Other | 11,744 | 8,821 | ||||||
$ | 55,941 | $ | 20,615 | |||||
Risks_and_Uncertainties
Risks and Uncertainties | 12 Months Ended | ||||||||||
Dec. 28, 2013 | |||||||||||
Risks and Uncertainties | ' | ||||||||||
Risks and Uncertainties | ' | ||||||||||
8. Risks and Uncertainties | |||||||||||
Financial Instruments | |||||||||||
Financial instruments that potentially subject the Company to significant concentrations of credit risk consist primarily of cash equivalents, investments, accounts receivable and derivatives. The Company places its cash equivalents and investments primarily in municipal bonds, money market funds, variable-rate demand notes, corporate bonds, auction-rate securities, certificates of deposit, commercial paper and asset backed securities. Concentrations of credit risk with respect to accounts receivable are primarily due to customers with large outstanding balances. The Company's customers that accounted for greater than 10% of accounts receivable consisted of the following: | |||||||||||
December 28, | December 29, | ||||||||||
2013 | 2012 | ||||||||||
Edom Technology | 26 | % | 23 | % | |||||||
Arrow Electronics | 10 | % | ** | ||||||||
Avnet | ** | 12 | % | ||||||||
** | |||||||||||
Less than 10% of accounts receivable | |||||||||||
The Company performs periodic credit evaluations of its customers' financial condition and generally requires no collateral from its customers. The Company provides an allowance for potential credit losses based upon the expected collectibility of such receivables. Losses have not been significant for any of the periods presented. | |||||||||||
Distributor Advances | |||||||||||
On sales to distributors, the Company's payment terms often require the distributor to initially pay amounts owed to the Company for an amount in excess of their ultimate cost. The Company's sales price to its distributors may be higher than the amount that the distributors will ultimately owe the Company because distributors often negotiate price reductions after purchasing the product from the Company and such reductions are often significant. These negotiated price discounts are not granted until the distributor sells the product to the end customer, which may occur after the distributor has paid the original invoice amount to the Company. Payment of invoices prior to receiving an associated discount can have an adverse impact on the working capital of the Company's distributors. Accordingly, the Company has entered into agreements with certain distributors whereby it advances cash to the distributors to reduce the distributor's working capital requirements. The advance amounts are based on the distributor's inventory balance, and are adjusted quarterly. Such amounts are recorded in prepaid expenses and other current assets in the Consolidated Balance Sheet. The terms of these advances are set forth in binding legal agreements and are unsecured, bear no interest on unsettled balances and are due upon demand. The agreements governing these advances can be cancelled by the Company at any time. | |||||||||||
Suppliers | |||||||||||
A significant portion of the Company's products are fabricated by Taiwan Semiconductor Manufacturing Co. (TSMC) or its affiliates. The inability of TSMC to deliver wafers to the Company on a timely basis could impact the production of the Company's products for a substantial period of time, which could have a material adverse effect on the Company's business, financial condition and results of operations. | |||||||||||
Customers | |||||||||||
The Company sells directly to end customers, distributors and contract manufacturers. Although the Company actually sells the products to, and is paid by, distributors and contract manufacturers, the Company refers to the end customer as its customer. None of the Company's contract manufacturers accounted for greater than 10% of revenue during fiscal 2013, 2012 or 2011. The Company's end customers and distributors that accounted for greater than 10% of revenue consisted of the following: | |||||||||||
Year Ended | |||||||||||
December 28, | December 29, | December 31, | |||||||||
2013 | 2012 | 2011 | |||||||||
End Customers | |||||||||||
Samsung* | 15 | % | 19 | % | 13 | % | |||||
Distributors | |||||||||||
Edom Technology | 21 | % | 22 | % | 24 | % | |||||
Avnet | 11 | % | 11 | % | 12 | % | |||||
Macnica | ** | ** | 10 | % | |||||||
* | |||||||||||
Samsung's purchases were across a variety of product areas. | |||||||||||
** | |||||||||||
Less than 10% of revenue | |||||||||||
Acquisitions
Acquisitions | 12 Months Ended | |||||||
Dec. 28, 2013 | ||||||||
Acquisitions | ' | |||||||
Acquisitions | ' | |||||||
9. Acquisitions | ||||||||
Energy Micro | ||||||||
On July 1, 2013, the Company acquired Energy Micro AS, a late-stage private company. Energy Micro designed and developed energy-efficient 32-bit microcontrollers based on ARM Cortex-M architecture. Energy Micro's energy-friendly solutions are designed to enable a broad range of power-sensitive applications for the Internet of Things (IoT), including smart energy, home automation, security and portable electronics markets. | ||||||||
The Company acquired Energy Micro for approximately $140.6 million, including: 1) Initial consideration of $107.4 million; 2) Deferred consideration in the form of a promissory note with an estimated fair value of $19.2 million at the date of acquisition (the promissory note was subsequently exchanged for approximately 0.5 million shares of the Company's restricted stock after a mandatory two-month creditor notice.); and 3) Contingent consideration (the "Earn-Out") with an estimated fair value of $14.0 million at the date of acquisition. The Earn-Out is payable up to approximately $33.3 million based on the extent to which the annual revenue growth rate from certain Energy Micro and Silicon Laboratories products (the "Earn-Out Products") exceeds 25% per year, over a five-year period from fiscal 2014 through 2018 (the "Earn-Out Period"). The Earn-Out is payable on an annual basis and in no event shall exceed $6,666,666 per year, unless revenue from the Earn-Out Products exceeds $400 million in a single fiscal year during the Earn-Out Period (in which case, the entire Earn-Out amount less any amounts previously paid will become payable). Approximately $20.3 million of the initial consideration was held in escrow by the Company as security for breaches of representations and warranties and certain other expressly enumerated matters. The escrow obligation was recorded in other non-current liabilities in the Consolidated Balance Sheet. | ||||||||
A portion of the Earn-Out (28.76%) is contingent on the continued employment of certain key employees for the three years following the acquisition date (the "Departure Percentage"). The Departure Percentage was accounted for as a transaction separate from the business combination based on its economic substance and will be recorded as post-combination compensation expense in the Company's financial statements during the Earn-Out period. | ||||||||
The Company believes that this strategic acquisition will accelerate its deployment of energy-friendly solutions across the IoT industries, while further scaling the Company's engineering team. These factors contributed to a purchase price that was in excess of the fair value of the net assets acquired and, as a result, the Company recorded goodwill. The goodwill is not deductible for tax purposes. The purchase price was allocated as follows (in thousands): | ||||||||
Amount | Weighted-Average | |||||||
Amortization Period | ||||||||
(Years) | ||||||||
Intangible assets: | ||||||||
In-process research and development | $ | 18,600 | Not amortized | |||||
Core and developed technology | 29,100 | 7 | ||||||
Customer relationships | 6,400 | 8 | ||||||
Trademarks | 1,300 | 8 | ||||||
55,400 | ||||||||
Cash and cash equivalents | 919 | |||||||
Other current assets | 6,486 | |||||||
Goodwill | 98,515 | |||||||
Other non-current assets | 3,117 | |||||||
Current liabilities | (8,000 | ) | ||||||
Non-current deferred tax liabilities, net | (6,288 | ) | ||||||
Long-term debt | (8,434 | ) | ||||||
Other non-current liabilities | (1,133 | ) | ||||||
Total purchase price | $ | 140,582 | ||||||
The allocation of the purchase price is preliminary and subject to change, based on finalization of certain income tax matters. Accordingly, adjustments may be made to the values of the assets acquired and liabilities assumed as additional information is obtained about the facts and circumstances that existed at the valuation date. | ||||||||
In-process research and development (IPR&D) represents acquired technology that had not achieved technological feasibility as of the acquisition date and had no alternative future use. The IPR&D recorded in connection with the acquisition of Energy Micro consisted of a multi-protocol wireless RF solution. The fair value of this technology was determined using the income approach. The discount rate applicable to the cash flows was 13.0%. The remaining research and development efforts include additional design, integration and testing. The significant risks associated with the successful completion of this project include the Company's potential inability to finish the product designs, produce working models and gain customer acceptance. | ||||||||
Pro forma information related to this acquisition has not been presented because it would not be materially different from amounts reported. The Company recorded approximately $2.4 million of acquisition-related costs in selling, general and administrative expenses during fiscal 2013. | ||||||||
Ember | ||||||||
On July 3, 2012, the Company acquired Ember Corporation, a privately held company. Ember's products integrate high-performance, low-power 2.4 GHz wireless ICs with reliable and scalable software into a flexible and robust networking platform. The Company acquired Ember for approximately $79.0 million, including contingent consideration with an estimated fair value of $4.0 million at the date of acquisition. | ||||||||
The Company believes that this strategic acquisition provides it with the technology and software expertise required to enable the low-power mesh sensor networks being deployed today in a wide range of residential, commercial and industrial applications. These factors contributed to a purchase price that was in excess of the fair value of the net assets acquired and, as a result, the Company recorded goodwill. The goodwill is not deductible for tax purposes. The purchase price was allocated as follows (in thousands): | ||||||||
Amount | Weighted-Average | |||||||
Amortization Period | ||||||||
(Years) | ||||||||
Intangible assets: | ||||||||
In-process research and development | $ | 14,810 | Not amortized | |||||
Developed technology | 17,800 | 11 | ||||||
Customer relationships | 5,620 | 9 | ||||||
Trademarks | 910 | 12 | ||||||
39,140 | ||||||||
Cash and cash equivalents | 3,115 | |||||||
Accounts receivable | 1,928 | |||||||
Inventories | 4,749 | |||||||
Other current assets | 324 | |||||||
Goodwill | 14,777 | |||||||
Non-current deferred tax assets, net | 16,449 | |||||||
Other non-current assets | 1,776 | |||||||
Current liabilities | (3,287 | ) | ||||||
Total purchase price | $ | 78,971 | ||||||
The IPR&D recorded in connection with the acquisition of Ember consisted of a low-power RF transceiver. The fair value of this technology was determined using the income approach. The discount rate applicable to the cash flows was 12.5%. | ||||||||
Pro forma information related to this acquisition has not been presented because it would not be materially different from amounts reported. Acquisition-related costs were not significant. | ||||||||
Corporate Headquarters Buildings | ||||||||
The Company leased facilities at 400 W. Cesar Chavez ("400 WCC") and 200 W. Cesar Chavez ("200 WCC") in Austin, Texas for its corporate headquarters. During the terms of the leases, the Company had options to purchase the buildings for approximately $44.3 million for 400 WCC and $50.1 million for 200 WCC. In September 2012, the Company exercised such options and purchased the facilities. | ||||||||
The buildings are located on land which is leased through 2099 from a third party. The rents for these ground leases were prepaid for the term of the leases by the previous lessee. The first floor of each building was leased to the same third party for the term of the ground leases. The base rents for the first floor leases were prepaid to the previous owner of the buildings. Portions of the remaining floors were also leased to other tenants. | ||||||||
The Company determined that the purchase of the facilities represented a business combination. Under the acquisition method of accounting, the assets acquired and liabilities assumed were recorded at their fair values as of the date of the acquisition. The purchase price was allocated as follows (in thousands): | ||||||||
Amount | ||||||||
Buildings | $ | 90,900 | ||||||
Leasehold interest in ground leases | 23,840 | |||||||
Acquired unfavorable leases | (11,925 | ) | ||||||
Lease-related charges | (8 | ) | ||||||
Net gain on purchase | (8,457 | ) | ||||||
Total purchase price | $ | 94,350 | ||||||
The buildings and leasehold interest in ground leases will be depreciated on a straight-line basis over their estimated useful lives of 40 years and 86 years, respectively. Acquired unfavorable leases represent the difference between contractual minimum rental payments due under previously-existing leases in each building and the market rates of those same leases. This amount was recorded in other non-current liabilities in the Consolidated Balance Sheet and will be amortized to rental income over the estimated terms of the leases. | ||||||||
The purchase of the facilities resulted in a net gain of approximately $8.5 million, which was recorded in selling, general and administrative expenses in the Consolidated Statement of Income. The gain resulted primarily because the assets acquired and liabilities assumed were recorded at their fair values as of the date of the acquisition, which was substantially higher than the purchase prices of the facilities. The purchase prices were fixed at the beginning of the two leases in March 2006 and March 2008. While market prices for such facilities increased over the terms of the leases, the purchase prices remained the same. | ||||||||
Spectra Linear | ||||||||
On January 25, 2011, the Company acquired Spectra Linear, Inc., a late-stage private company offering integrated timing solutions. The Company acquired Spectra Linear for approximately $28.6 million, including contingent consideration with an estimated fair value of $1.0 million at the date of acquisition. In addition, the Company assumed approximately $8.0 million of Spectra Linear net liabilities in connection with the acquisition. | ||||||||
The Company paid an additional approximately $4.5 million of consideration to certain Spectra Linear employees in connection with an agreement between the employees and Spectra Linear. This agreement provided that upon the sale of Spectra Linear, a portion of the proceeds would be paid to such employees as bonuses. The agreement was accounted for as a transaction separate from the business combination based on its economic substance and was recorded as post-combination compensation expense in the Company's financial statements during fiscal 2011. | ||||||||
The Company believes that the acquisition adds a broad family of timing ICs that will enable it to accelerate penetration in high-volume applications, while further scaling the Company's engineering team. These factors contributed to a purchase price that was in excess of the fair value of the net assets acquired and, as a result, the Company recorded goodwill. The goodwill is not deductible for tax purposes. The purchase price was allocated as follows (in thousands): | ||||||||
Amount | Weighted-Average | |||||||
Amortization Period | ||||||||
(Years) | ||||||||
Intangible assets: | ||||||||
Core and developed technology | $ | 16,560 | 10 | |||||
Customer relationships | 1,400 | 10 | ||||||
17,960 | ||||||||
Accounts receivable | 1,759 | |||||||
Inventories | 1,199 | |||||||
Other current assets | 1,658 | |||||||
Goodwill | 4,097 | |||||||
Deferred tax assets—non-current | 12,316 | |||||||
Other non-current assets | 597 | |||||||
Notes payable—current portion | (4,641 | ) | ||||||
Current liabilities | (3,112 | ) | ||||||
Non-current liabilities | (3,254 | ) | ||||||
Total purchase price | $ | 28,579 | ||||||
Pro forma information related to this acquisition has not been presented because it would not be materially different from amounts reported. Acquisition-related costs were not significant. | ||||||||
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets | 12 Months Ended | |||||||||||||||
Dec. 28, 2013 | ||||||||||||||||
Goodwill and Other Intangible Assets | ' | |||||||||||||||
Goodwill and Other Intangible Assets | ' | |||||||||||||||
10. Goodwill and Other Intangible Assets | ||||||||||||||||
Goodwill | ||||||||||||||||
The following summarizes the activity in goodwill for the years ended December 28, 2013 and December 29, 2012 (in thousands): | ||||||||||||||||
Year Ended | ||||||||||||||||
December 28, | December 29, | |||||||||||||||
2013 | 2012 | |||||||||||||||
Beginning balance | $ | 130,265 | $ | 115,489 | ||||||||||||
Additions due to business combinations | 98,516 | 14,776 | ||||||||||||||
Ending balance | $ | 228,781 | $ | 130,265 | ||||||||||||
Other Intangible Assets | ||||||||||||||||
The gross carrying amount and accumulated amortization of other intangible assets are as follows (in thousands): | ||||||||||||||||
December 28, 2013 | December 29, 2012 | |||||||||||||||
Weighted-Average | ||||||||||||||||
Amortization | ||||||||||||||||
Period | ||||||||||||||||
(Years) | Gross | Accumulated | Gross | Accumulated | ||||||||||||
Amount | Amortization | Amount | Amortization | |||||||||||||
Intangible assets: | ||||||||||||||||
Subject to amortization: | ||||||||||||||||
Core and developed technology | 9 | $ | 138,340 | $ | (41,782 | ) | $ | 95,420 | $ | (30,145 | ) | |||||
Customer relationships | 9 | 14,500 | (2,330 | ) | 8,100 | (1,057 | ) | |||||||||
Patents | 6 | 3,000 | (750 | ) | 3,000 | (250 | ) | |||||||||
Trademarks | 10 | 2,210 | (195 | ) | 910 | (38 | ) | |||||||||
9 | 158,050 | (45,057 | ) | 107,430 | (31,490 | ) | ||||||||||
Not subject to amortization: | ||||||||||||||||
In-process research and development | Not amortized | 18,600 | — | 14,810 | — | |||||||||||
Total intangible assets | $ | 176,650 | $ | (45,057 | ) | $ | 122,240 | $ | (31,490 | ) | ||||||
Gross intangible assets increased $55.4 million in fiscal 2013 due to the acquisition of Energy Micro. This increase was offset by the removal of $1.0 million of fully amortized assets. | ||||||||||||||||
Amortization expense related to intangible assets for fiscal 2013, 2012 and 2011 was $14.6 million, $10.7 million and $9.9 million, respectively. The estimated aggregate amortization expense for intangible assets subject to amortization for each of the five succeeding fiscal years is as follows (in thousands): | ||||||||||||||||
Fiscal Year | ||||||||||||||||
2014 | $ | 17,060 | ||||||||||||||
2015 | 16,669 | |||||||||||||||
2016 | 16,019 | |||||||||||||||
2017 | 15,052 | |||||||||||||||
2018 | 14,309 |
Debt
Debt | 12 Months Ended | ||||
Dec. 28, 2013 | |||||
Debt | ' | ||||
Debt | ' | ||||
11. Debt | |||||
On July 31, 2012, the Company and certain of its domestic subsidiaries (the "Guarantors") entered into a $230 million five-year Credit Agreement (the "Agreement"). The Agreement consists of a $100 million Term Loan Facility and a $130 million Revolving Credit Facility (collectively, the "Credit Facilities"). | |||||
The Term Loan Facility provides for quarterly principal amortization (equal to 5% of the principal in each of the first two years and 10% of the principal in each of the next three years) with the remaining balance payable upon the maturity date. The Revolving Credit Facility includes a $25 million letter of credit sublimit and a $10 million swingline loan sublimit. The Company has an option to increase the size of the Revolving Credit Facility by up to an aggregate of $50 million in additional commitments, subject to certain conditions. On September 27, 2012, the Company borrowed $100 million under the Term Loan Facility. To date, the Company has not borrowed under the Revolving Credit Facility. | |||||
The Term Loan Facility and Revolving Credit Facility, other than swingline loans, will bear interest at LIBOR plus an applicable margin or, at the option of the Company, a base rate (defined as the highest of the Bank of America prime rate, the Federal Funds rate plus 0.50% and a daily rate equal to one-month LIBOR plus 1.00%) plus an applicable margin. Swingline loans accrue interest at a per annum rate based on the base rate plus the applicable margin for base rate loans. The applicable margins for the LIBOR rate loans range from 1.50% to 2.50% and for base rate loans range from 0.50% to 1.50%, depending in each case, on the leverage ratio as defined in the Agreement. The Company also pays a commitment fee on the unused amount of the Revolving Credit Facility. | |||||
In connection with the closing of the Credit Agreement, the Company entered into a security and pledge agreement. Under the security and pledge agreement, the Company pledged equity securities of certain of its subsidiaries, subject to exceptions and limitations. The Credit Facilities contain various conditions, covenants and representations with which the Company must be in compliance in order to borrow funds and to avoid an event of default, including financial covenants that the Company must maintain a leverage ratio (funded debt/EBITDA) of no more than 2.5 to 1 and a minimum fixed charge coverage ratio (EBITDA/debt payments, income taxes and capital expenditures) of no less than 1.50 to 1. As of December 28, 2013, the Company was in compliance with all covenants of the Credit Facilities. | |||||
As of December 28, 2013, the remaining contractual maturities of the Term Loan Facility were as follows (in thousands): | |||||
Fiscal Year | |||||
2014 | $ | 7,500 | |||
2015 | 10,000 | ||||
2016 | 10,000 | ||||
2017 | 67,500 | ||||
Total | $ | 95,000 | |||
Interest Rate Swap Agreement | |||||
In connection with the $100 million borrowed under the Term Loan Facility, the Company entered into an interest rate swap agreement as a hedge against the LIBOR portion of such variable interest payments. Under the terms of the swap agreement, the Company effectively converted the LIBOR portion of the interest on the Term Loan Facility to a fixed interest rate of 0.764% through the maturity date. As of December 28, 2013, the combined interest rate on the Term Loan Facility (which includes an applicable margin) was 2.514%. See Note 5, Derivative Financial Instruments, for additional information. | |||||
Stockholders_Equity
Stockholders' Equity | 12 Months Ended | ||||||||||
Dec. 28, 2013 | |||||||||||
Stockholders' Equity | ' | ||||||||||
Stockholders' Equity | ' | ||||||||||
12. Stockholders' Equity | |||||||||||
Common Stock | |||||||||||
The Company issued 1.6 million shares of common stock during fiscal 2013, including approximately 0.5 million shares issued in connection with the acquisition of Energy Micro. | |||||||||||
Share Repurchase Programs | |||||||||||
The Board of Directors authorized the following share repurchase programs (in thousands): | |||||||||||
Program Authorization Date | Program | Program | |||||||||
Termination | Amount | ||||||||||
Date | |||||||||||
Jan-14 | Jan-15 | $ | 100,000 | ||||||||
Jan-13 | Jan-14 | $ | 50,000 | ||||||||
Apr-12 | Jan-13 | $ | 100,000 | ||||||||
Oct-11 | Apr-12 | $ | 50,000 | ||||||||
Jul-10 | Aug-11 | $ | 150,000 | ||||||||
These programs allow for repurchases to be made in the open market or in private transactions, including structured or accelerated transactions, subject to applicable legal requirements and market conditions. The Company repurchased 0.7 million shares, 1.7 million shares and 3.2 million shares of its common stock for $26.0 million, $62.0 million and $110.1 million during fiscal 2013, 2012 and 2011, respectively. These shares were retired upon repurchase. | |||||||||||
Accumulated Other Comprehensive Loss | |||||||||||
The components of accumulated other comprehensive loss, net of taxes, were as follows (in thousands): | |||||||||||
Unrealized Gain | Net Unrealized | Total | |||||||||
(Loss) on Cash | Losses on Available- | ||||||||||
Flow Hedge | For-Sale Securities | ||||||||||
Balance at January 1, 2011 | $ | (2,477 | ) | $ | (1,171 | ) | $ | (3,648 | ) | ||
Other comprehensive income (loss) before reclassifications | (276 | ) | 3 | (273 | ) | ||||||
Amount reclassified from accumulated other comprehensive loss | 1,454 | — | 1,454 | ||||||||
Net change for the period | 1,178 | 3 | 1,181 | ||||||||
Balance at December 31, 2011 | (1,299 | ) | (1,168 | ) | (2,467 | ) | |||||
Other comprehensive income (loss) before reclassifications | (621 | ) | 650 | 29 | |||||||
Amount reclassified from accumulated other comprehensive loss | 1,492 | — | 1,492 | ||||||||
Net change for the period | 871 | 650 | 1,521 | ||||||||
Balance at December 29, 2012 | (428 | ) | (518 | ) | (946 | ) | |||||
Other comprehensive income (loss) before reclassifications | 397 | (348 | ) | 49 | |||||||
Amount reclassified from accumulated other comprehensive loss | 364 | (151 | ) | 213 | |||||||
Net change for the period | 761 | (499 | ) | 262 | |||||||
Balance at December 28, 2013 | $ | 333 | $ | (1,017 | ) | $ | (684 | ) | |||
Reclassifications From Accumulated Other Comprehensive Loss | |||||||||||
Year ended | |||||||||||
Reclassification (in thousands) | December 28, | December 29, | December 31, | ||||||||
2013 | 2012 | 2011 | |||||||||
Losses on cash flow hedges to: | |||||||||||
Rent expense | $ | — | $ | (2,295 | ) | $ | (2,237 | ) | |||
Interest expense | (560 | ) | — | — | |||||||
Gains on available-for-sales securities to: | |||||||||||
Interest income | 232 | — | — | ||||||||
(328 | ) | (2,295 | ) | (2,237 | ) | ||||||
Income tax benefit | 115 | 803 | 783 | ||||||||
Total reclassifications | $ | (213 | ) | $ | (1,492 | ) | $ | (1,454 | ) | ||
Income Tax Allocated to the Components of Other Comprehensive Income | |||||||||||
The income tax effects of the components of other comprehensive income were as follows (in thousands): | |||||||||||
Year ended | |||||||||||
Income tax (expense) benefit on: | December 28, | December 29, | December 31, | ||||||||
2013 | 2012 | 2011 | |||||||||
Net changes to available-for-sale securities: | |||||||||||
Unrealized gains (losses) arising during the period | $ | 187 | $ | (350 | ) | $ | (1 | ) | |||
Reclassification for gains included in net income | 81 | — | — | ||||||||
Net changes to cash flow hedges: | |||||||||||
Unrealized gains (losses) arising during the period | (214 | ) | 335 | 148 | |||||||
Reclassification for losses included in net income | (196 | ) | (803 | ) | (783 | ) | |||||
Other comprehensive income | $ | (142 | ) | $ | (818 | ) | $ | (636 | ) | ||
StockBased_Compensation
Stock-Based Compensation | 12 Months Ended | |||||||||||||
Dec. 28, 2013 | ||||||||||||||
Stock-Based Compensation | ' | |||||||||||||
Stock-Based Compensation | ' | |||||||||||||
13. Stock-Based Compensation | ||||||||||||||
In fiscal 2009, the stockholders of the Company approved the 2009 Stock Incentive Plan (the "2009 Plan") and the 2009 Employee Stock Purchase Plan (the "2009 Purchase Plan"). The 2009 Plan is currently effective, and has a term of 10 years from the shareholders' approval date. The 2009 Purchase Plan became effective on April 30, 2010. | ||||||||||||||
2009 Stock Incentive Plan | ||||||||||||||
Under the 2009 Plan, the following may be granted: stock options, stock appreciation rights, performance shares, performance stock units, restricted stock units (RSUs), restricted stock awards (RSAs), performance-based awards and other awards (collectively, all such grants are referred to as "awards"). Awards of stock options and stock appreciation rights each deduct one share from the 2009 Plan shares available for issuance for each share granted, and full value awards (awards other than for which the participant is required to pay at least the fair market value of the underlying shares on the date of grant) deduct 1.55 shares from the 2009 Plan shares available for issuance for each share granted. Awards granted under the 2009 Plan generally contain vesting provisions ranging from three to four years. The exercise price of stock options offered under the 2009 Plan may not be less than 100% of the fair market value of a share of our common stock on the date of grant. To the extent awards granted under the 2009 Plan terminate, expire or lapse for any reason, or are settled in cash, shares subject to such awards will again be available for grant. | ||||||||||||||
2000 Stock Incentive Plan | ||||||||||||||
In fiscal 2000, the Company's Board of Directors and stockholders approved the 2000 Plan. The 2000 Plan contains programs for (i) the discretionary granting of stock options to employees, non-employee board members and consultants for the purchase of shares of the Company's common stock, (ii) the discretionary issuance of common stock directly (as granted under direct issuance shares in RSAs and RSUs), (iii) the granting of special below-market stock options to executive officers and other highly compensated employees of the Company for which the exercise price can be paid using payroll deductions and (iv) the automatic issuance of stock options to non-employee board members. The discretionary issuance of common stock, RSUs and stock options generally contain vesting provisions ranging from three to eight years. If permitted by the Company, stock options can be exercised immediately and, similar to the direct issuance shares, are subject to repurchase rights which generally lapse in accordance with the vesting schedule. The repurchase rights provide that upon certain defined events, the Company can repurchase unvested shares at the price paid per share. The term of each stock option is no more than ten years from the date of grant. | ||||||||||||||
Stock Grants and Modifications | ||||||||||||||
The Company granted to its employees 1.1 million, 0.8 million and 0.8 million shares of full value awards and no stock options from the 2009 Plan during fiscal 2013, 2012 and 2011, respectively. | ||||||||||||||
The Company recorded $1.9 million in selling, general and administrative expense during fiscal 2012 in connection with modifications to certain stock awards. The Company accelerated the vesting of certain RSUs and Market Stock Units (MSUs) and extended the exercise period of stock options pursuant to a separation agreement between the Company and its former Chief Executive Officer (CEO). There were no other significant modifications made to any stock grants during fiscal 2013, 2012 or 2011. | ||||||||||||||
Included in the full value awards granted under the 2009 Plan in fiscal 2013, 2012 and 2011 were a total of 132 thousand, 110 thousand and 55 thousand market-based stock awards, respectively. The awards, also known as MSUs, provide the rights to acquire a number of shares of common stock for no cash consideration based upon achievement of specified levels of market conditions. The requisite service period for these MSUs is also the vesting period, which is generally three years. The performance criteria of the MSUs measure the difference between the total stockholders' return of the Company against that of the Philadelphia Semiconductor Sector Total Return Index. | ||||||||||||||
2009 Employee Stock Purchase Plan | ||||||||||||||
The rights to purchase common stock granted under the 2009 Purchase Plan are intended to be treated as either (i) purchase rights granted under an "employee stock purchase plan," as that term is defined in Section 423(b) of the Internal Revenue Code (the "423(b) Plan"), or (ii) purchase rights granted under an employee stock purchase plan that is not subject to the terms and conditions of Section 423(b) of the Internal Revenue Code (the "Non-423(b) Plan"). The Company will retain the discretion to grant purchase rights under either the 423(b) Plan or the Non-423(b) Plan. Eligible employees may purchase a limited number of shares of the Company's common stock at no less than 85% of the fair market value of a share of common stock at prescribed purchase intervals during an offering period. Each offering period will be comprised of a series of one or more successive and/or overlapping purchase intervals and has a maximum term of 24 months. During fiscal 2013, 2012 and 2011, the Company issued 190 thousand, 181 thousand and 169 thousand shares, respectively, under the 2009 Purchase Plan to its employees. The weighted-average fair value for purchase rights granted in fiscal 2013 under the 2009 Purchase Plan was $9.34 per share. | ||||||||||||||
Accounting for Stock-Based Compensation | ||||||||||||||
Stock-based compensation costs are based on the fair values on the date of grant for stock options and on the date of enrollment for the employee stock purchase plans, estimated by using the Black-Scholes option-pricing model. The fair values of stock awards and RSUs equal their intrinsic value on the date of grant. The fair values of market-based performance awards generally are estimated using a Monte Carlo simulation based on the date of grant. | ||||||||||||||
The Black-Scholes valuation calculation requires the Company to estimate key assumptions such as future stock price volatility, expected terms, risk-free rates and dividend yield. Expected stock price volatility is based upon a combination of both historical volatility and implied volatility derived from traded options on the Company's stock in the marketplace. Expected term is derived from an analysis of historical exercises and remaining contractual life of options. The risk-free rate is based on the U.S. Treasury yield curve in effect at the time of grant. The Company has never paid cash dividends and does not currently intend to pay cash dividends, thus it has assumed a 0% dividend yield. | ||||||||||||||
The Monte Carlo simulation used to calculate the fair value of the MSUs simulates the present value of the potential outcomes of future stock prices of the Company and the Philadelphia Semiconductor Sector Total Return Index over the requisite service period. The projection of stock prices are based on the risk-free rate of return, the volatilities of the stock price of the Company and the Index, and the correlation of the stock price of the Company with the Index. | ||||||||||||||
The Company must estimate potential forfeitures of stock grants and adjust compensation cost recorded accordingly. The estimate of forfeitures will be adjusted over the requisite service period to the extent that actual forfeitures differ, or are expected to differ, from such estimates. Changes in estimated forfeitures are recognized through a cumulative catch-up adjustment in the period of change and will also impact the amount of stock-based compensation expense to be recognized in future periods. | ||||||||||||||
The fair values of stock options and RSUs are amortized as compensation expense on a straight-line basis over the vesting period of the grants. The fair values of RSAs are fully expensed in the period of grant, when shares are immediately issued with no vesting restrictions. The fair values of MSUs are amortized as compensation expense on a straight-line basis over the performance and service periods of the grants. Compensation expense recognized is shown in the operating activities section of the Consolidated Statements of Cash Flows. | ||||||||||||||
The fair values estimated from the Black-Scholes option-pricing model were calculated using the following assumptions: | ||||||||||||||
Year Ended | ||||||||||||||
December 28, | December 29, | December 31, | ||||||||||||
2013 | 2012 | 2011 | ||||||||||||
2009 Employee Stock Purchase Plan: | ||||||||||||||
Expected volatility | 27 | % | 38 | % | 27 | % | ||||||||
Risk-free interest rate % | 0.1 | % | 0.2 | % | 0.2 | % | ||||||||
Expected term (in months) | 7 | 15 | 11 | |||||||||||
Dividend yield | — | — | — | |||||||||||
A summary of stock-based compensation activity with respect to fiscal 2013 follows: | ||||||||||||||
Stock Options | Shares | Weighted- | Weighted-Average | Aggregate | ||||||||||
(000s) | Average | Remaining | Intrinsic | |||||||||||
Exercise | Contractual Term | Value | ||||||||||||
Price | (In Years) | (000s) | ||||||||||||
Outstanding at December 29, 2012 | 1,696 | $ | 35.86 | |||||||||||
Exercised | (480 | ) | $ | 34.72 | ||||||||||
Cancelled or expired | (127 | ) | $ | 46.87 | ||||||||||
Outstanding at December 28, 2013 | 1,089 | $ | 35.09 | 1.96 | $ | 9,688 | ||||||||
Vested at December 28, 2013 and expected to vest | 1,089 | $ | 35.09 | 1.96 | $ | 9,688 | ||||||||
Exercisable at December 28, 2013 | 1,089 | $ | 35.09 | 1.96 | $ | 9,688 | ||||||||
RSAs, RSUs and MSUs | Shares | Weighted- | Weighted-Average | Aggregate | ||||||||||
(000s) | Average | Remaining | Intrinsic | |||||||||||
Purchase | Vesting Term | Value | ||||||||||||
Price | (In Years) | (000s) | ||||||||||||
Outstanding at December 29, 2012 | 1,708 | $ | — | |||||||||||
Granted | 1,118 | $ | — | |||||||||||
Issued | (553 | ) | $ | — | ||||||||||
Cancelled or expired | (192 | ) | $ | — | ||||||||||
Outstanding at December 28, 2013 | 2,081 | $ | — | 1.25 | $ | 88,135 | ||||||||
Outstanding at December 28, 2013 and expected to vest | 1,900 | $ | — | 1.25 | $ | 80,471 | ||||||||
The following summarizes the Company's weighted average fair value at the date of grant: | ||||||||||||||
Year Ended | ||||||||||||||
December 28, | December 29, | December 31, | ||||||||||||
2013 | 2012 | 2011 | ||||||||||||
Per grant of RSAs, RSUs and MSUs | $ | 41.69 | $ | 43.82 | $ | 44.73 | ||||||||
The following summarizes the Company's stock-based payment and stock option values (in thousands): | ||||||||||||||
Year Ended | ||||||||||||||
December 28, | December 29, | December 31, | ||||||||||||
2013 | 2012 | 2011 | ||||||||||||
Intrinsic value of stock options exercised | $ | 4,198 | $ | 9,064 | $ | 8,622 | ||||||||
Intrinsic value of RSAs and RSUs that vested | $ | 23,649 | $ | 40,105 | $ | 38,769 | ||||||||
Grant date fair value of RSAs and RSUs that vested | $ | 24,026 | $ | 31,215 | $ | 29,488 | ||||||||
The Company had approximately $51.2 million of total unrecognized compensation costs related to stock awards at December 28, 2013 that are expected to be recognized over a weighted-average period of 2.1 years. There were no significant stock-based compensation costs capitalized into assets in any of the periods presented. | ||||||||||||||
The Company received cash of $15.3 million for the issuance of common stock, net of shares withheld for taxes, during fiscal 2013. The Company issues shares from the shares reserved under its stock plans upon the exercise of stock options, issuance of RSAs, vesting of RSUs and MSUs, and purchases through employee stock purchase plans. The Company does not currently expect to repurchase shares from any source to satisfy such obligation. | ||||||||||||||
The following table presents details of stock-based compensation costs recognized in the Consolidated Statements of Income (in thousands): | ||||||||||||||
Year Ended | ||||||||||||||
December 28, | December 29, | December 31, | ||||||||||||
2013 | 2012 | 2011 | ||||||||||||
Cost of revenues | $ | 952 | $ | 1,206 | $ | 1,319 | ||||||||
Research and development | 14,530 | 12,602 | 14,872 | |||||||||||
Selling, general and administrative | 15,318 | 17,368 | 19,924 | |||||||||||
30,800 | 31,176 | 36,115 | ||||||||||||
Income tax benefit | 2,633 | 4,911 | 3,957 | |||||||||||
$ | 28,167 | $ | 26,265 | $ | 32,158 | |||||||||
As of December 28, 2013, the Company had reserved shares of common stock for future issuance as follows (in thousands): | ||||||||||||||
2000 Stock Incentive Plan | 1,092 | |||||||||||||
2009 Stock Incentive Plan | 4,913 | |||||||||||||
2009 Employee Stock Purchase Plan | 636 | |||||||||||||
Total shares reserved | 6,641 | |||||||||||||
Employee_Benefit_Plan
Employee Benefit Plan | 12 Months Ended |
Dec. 28, 2013 | |
Employee Benefit Plan | ' |
Employee Benefit Plan | ' |
14. Employee Benefit Plan | |
The Company maintains a defined contribution or 401(k) Plan for its qualified U.S. employees. Participants may contribute a percentage of their compensation on a pre-tax basis, subject to a maximum annual contribution imposed by the Internal Revenue Code. The Company may make discretionary matching contributions as well as discretionary profit-sharing contributions to the 401(k) Plan. The Company contributed $3.0 million, $2.9 million and $2.7 million to the 401(k) Plan during fiscal 2013, 2012 and 2011, respectively. | |
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended | ||||
Dec. 28, 2013 | |||||
Commitments and Contingencies | ' | ||||
Commitments and Contingencies | ' | ||||
15. Commitments and Contingencies | |||||
Operating Leases | |||||
The Company leases certain facilities under operating lease agreements that expire at various dates through 2022. Some of these arrangements contain renewal options and require the Company to pay taxes, insurance and maintenance costs. | |||||
Rent expense under operating leases was $4.2 million, $4.4 million and $4.5 million for fiscal 2013, 2012 and 2011, respectively. The minimum annual future rentals under the terms of these leases as of December 28, 2013 are as follows (in thousands): | |||||
Fiscal Year | |||||
2014 | $ | 4,232 | |||
2015 | 3,704 | ||||
2016 | 3,058 | ||||
2017 | 2,350 | ||||
2018 | 1,449 | ||||
Thereafter | 682 | ||||
Total minimum lease payments | $ | 15,475 | |||
Litigation | |||||
Patent Litigation | |||||
On January 21, 2014, Cresta Technology Corporation ("Cresta Technology"), a Delaware corporation, filed a lawsuit against the Company, Samsung Electronics Co., Ltd., Samsung Electronics America, Inc., LG Electronics Inc. and LG Electronics U.S.A., Inc. in the United States District Court in the District of Delaware, alleging infringement of United States Patent Nos. 7,075,585, 7,265,792 and 7,251,466. The lawsuit relates to the Company's family of television tuner products. Cresta Technology seeks unspecified compensatory and enhanced damages, attorney fees and a permanent injunction. On January 28, 2014, Cresta Technology also filed a complaint with the United States International Trade Commission alleging infringement of the same patents against the Company, Samsung and LG Electronics and seeking to prevent the importation and sale of allegedly infringing products in the United States. The Company intends to vigorously defend against these allegations. At this time, the Company cannot predict the outcome of these matters or the resulting financial impact to it, if any. | |||||
In 2012, MaxLinear, Inc., a Delaware corporation, and the Company engaged one another in three patent infringement lawsuits filed in the United States District Court for the Southern District of California, San Diego Division, and in the United States District Court for the Western District of Texas, Austin Division. The Texas Court determined that the dispute concerning MaxLinear's patents would proceed in the California Court. On May 16, 2013, MaxLinear filed an additional patent infringement lawsuit against the Company in the United States District Court for the Southern District of California. On October 3, 2013, the Company and MaxLinear executed a Settlement Agreement resolving all of the lawsuits between them. MaxLinear granted the Company a license to its patent portfolio for the accused Company products, and the Company granted MaxLinear a license to its patent portfolio for the accused MaxLinear products. As part of the settlement, MaxLinear made a one-time payment of $1.25 million to the Company. The Company and MaxLinear also entered into a 3-year covenant not to sue and agreed to dismiss all of the pending cases. | |||||
Other | |||||
The Company is involved in various other legal proceedings that have arisen in the normal course of business. While the ultimate results of these matters cannot be predicted with certainty, the Company does not expect them to have a material adverse effect on its consolidated financial statements. | |||||
Related_Party_Transactions
Related Party Transactions | 12 Months Ended |
Dec. 28, 2013 | |
Related Party Transactions | ' |
Related Party Transactions | ' |
16. Related Party Transactions | |
On March 26, 2013, the Company entered into an agreement to purchase consulting services in connection with the acquisition of Energy Micro. The fees for such services were $1.5 million during fiscal 2013. Mr. Bock, the Company's President, is also an independent contractor with the consulting entity. Mr. Bock is not providing consulting services to the Company on behalf of the entity. Mr. Bock and the entity have agreed that Mr. Bock will receive no compensation in conjunction with the agreement. Mr. Bock abstained from the negotiations with respect to the agreement between the Company and the entity. | |
On July 1, 2013, Geir Førre joined the Company as senior vice president and general manager of microcontroller products. Mr. Førre was chief executive officer of Energy Micro, until it was acquired by the Company. Mr. Førre was the beneficial owner of approximately 32% of the Energy Micro equity and accordingly (a) received approximately $35 million of the initial consideration of $107.4 million, (b) may receive an additional approximately $6.5 million out of the $20.3 million holdback related to potential indemnification claims and (c) may receive up to approximately $10.5 million of the $33.3 million earn-out. | |
On October 17, 2013, the Company appointed Alf-Egil Bogen to its board of directors. Mr. Bogen was chief marketing officer of Energy Micro, until it was acquired by the Company. Mr. Bogen was the beneficial owner of approximately 2% of the Energy Micro equity and accordingly (a) received approximately $0.9 million of the initial consideration of $107.4 million, (b) may receive an additional approximately $0.4 million out of the $20.3 million holdback related to potential indemnification claims and (c) may receive up to approximately $0.7 million of the $33.3 million earn-out. Mr. Bogen had invested approximately $0.8 million in Energy Micro prior to the acquisition. | |
Income_Taxes
Income Taxes | 12 Months Ended | ||||||||||
Dec. 28, 2013 | |||||||||||
Income Taxes | ' | ||||||||||
Income Taxes | ' | ||||||||||
17. Income Taxes | |||||||||||
Significant components of the provision for income taxes are as follows (in thousands): | |||||||||||
Year Ended | |||||||||||
December 28, | December 29, | December 31, | |||||||||
2013 | 2012 | 2011 | |||||||||
Current: | |||||||||||
Domestic | $ | 4,796 | $ | 21,084 | $ | 14,468 | |||||
International | 4,093 | (3,009 | ) | 2,845 | |||||||
Total Current | 8,889 | 18,075 | 17,313 | ||||||||
Deferred: | |||||||||||
Domestic | 5,591 | 5,444 | (70 | ) | |||||||
International | (2,272 | ) | (719 | ) | (375 | ) | |||||
Total Deferred | 3,319 | 4,725 | (445 | ) | |||||||
$ | 12,208 | $ | 22,800 | $ | 16,868 | ||||||
The Company's provision for income taxes differs from the expected tax expense amount computed by applying the statutory federal income tax rate to income before income taxes as a result of the following: | |||||||||||
Year Ended | |||||||||||
December 28, | December 29, | December 31, | |||||||||
2013 | 2012 | 2011 | |||||||||
Federal statutory rate | 35 | % | 35 | % | 35 | % | |||||
Foreign tax rate benefit | (8.2 | ) | (11.8 | ) | (11.0 | ) | |||||
Research and development tax credits | (14.6 | ) | (0.5 | ) | (8.5 | ) | |||||
Release of prior year unrecognized tax benefits | — | (8.4 | ) | — | |||||||
Intercompany technology license | — | 11.8 | 10.4 | ||||||||
Excess officer compensation | 1.9 | 1 | 3.2 | ||||||||
Valuation allowance | 3.8 | — | — | ||||||||
Nondeductible acquisition costs | 0.2 | 0.1 | 2.9 | ||||||||
Other | 1.6 | (0.8 | ) | 0.2 | |||||||
19.7 | % | 26.4 | % | 32.2 | % | ||||||
The effective tax rate for fiscal 2013 decreased from the prior period, primarily due to the prior period tax charge related to the intercompany license of certain technology associated with the acquisition of Ember during 2012 and the recognition of the fiscal 2012 and fiscal 2013 federal research and development tax credits in fiscal 2013 as a result of the enactment of the American Taxpayer Relief Act of 2012 (the "Act") on January 2, 2013. The decrease in the effective tax rate for fiscal 2013 was partially offset by the release during the prior period of unrecognized tax benefits that were determined to be effectively settled during 2012. | |||||||||||
The effective tax rate for fiscal 2012 decreased from the prior period, primarily due to the release of prior year unrecognized tax benefits that were determined to be effectively settled during fiscal 2012, along with one-time nondeductible costs associated with the acquisition of Spectra Linear in fiscal 2011. The impact of these items was partially offset by the non-renewal of the federal research and development tax credit in fiscal 2012. | |||||||||||
Income before income taxes included the following components (in thousands): | |||||||||||
Year Ended | |||||||||||
December 28, | December 29, | December 31, | |||||||||
2013 | 2012 | 2011 | |||||||||
Domestic | $ | 41,849 | $ | 80,494 | $ | 48,282 | |||||
Foreign | 20,178 | 5,854 | 4,058 | ||||||||
$ | 62,027 | $ | 86,348 | $ | 52,340 | ||||||
Foreign income before income taxes increased from fiscal 2012 to fiscal 2013 predominantly due to intercompany technology license payments made by a foreign subsidiary in 2012. Foreign income before income taxes increased from fiscal 2011 to fiscal 2012 predominantly due to increases in product sales, offset in part by an increase in the intercompany technology license payments made by a foreign subsidiary. | |||||||||||
Deferred tax assets and liabilities are recorded for the estimated tax impact of temporary differences between the tax basis and book basis of assets and liabilities. A valuation allowance is established against a deferred tax asset when it is more likely than not that the deferred tax asset will not be realized. The Company recorded a valuation allowance of $1.7 million in fiscal 2013 related to certain state loss and research and development tax credit carryforwards. This figure is net of a valuation allowance release of $0.4 million, which was due to the expiration of certain state net operating loss carryforwards, and a reduction of $0.2 million related to an adjustment of certain acquired state net operating losses and research and development tax credit carryforwards which were fully valued, both of which were offset by changes in deferred tax assets rather than a charge to income tax expense. The Company has determined that it is more likely than not that a portion of the carryforwards will expire or go unutilized because the Company no longer expects to recognize sufficient income in the jurisdictions in which the attributes were created. No valuation allowance was recorded against other deferred tax assets for fiscal 2013 or 2012. Management believes that the Company's results of future operations will generate sufficient taxable income such that it is more likely than not that the remaining deferred tax assets will be realized. | |||||||||||
Significant components of the Company's deferred taxes as of December 28, 2013 and December 29, 2012 are as follows (in thousands): | |||||||||||
December 28, | December 29, | ||||||||||
2013 | 2012 | ||||||||||
Deferred tax assets: | |||||||||||
Net operating loss carryforwards | $ | 38,399 | $ | 35,847 | |||||||
Research and development tax credit carryforwards | 9,276 | 8,447 | |||||||||
Stock-based compensation | 6,757 | 8,133 | |||||||||
Capitalized research and development | 8,999 | 9,708 | |||||||||
Deferred income on shipments to distributors | 5,733 | 3,933 | |||||||||
Accrued liabilities and other | 8,302 | 7,503 | |||||||||
77,466 | 73,571 | ||||||||||
Less: Valuation allowance | (3,775 | ) | (2,114 | ) | |||||||
73,691 | 71,457 | ||||||||||
Deferred tax liabilities: | |||||||||||
Acquired intangibles | 38,444 | 28,653 | |||||||||
Depreciation and amortization | 2,022 | 1,076 | |||||||||
Prepaid expenses and other | 1,889 | 1,447 | |||||||||
42,355 | 31,176 | ||||||||||
Net deferred tax assets | $ | 31,336 | $ | 40,281 | |||||||
During fiscal 2013, the Company recorded a net deferred tax liability of approximately $5.3 million related to the acquisition of Energy Micro due to differences between book and tax bases of acquired assets and assumed liabilities. | |||||||||||
As of December 28, 2013, the Company had federal net operating loss and research and development credit carryforwards of approximately $77.5 million and $2.1 million, respectively, as a result of the Cygnal Integrated Products, Silicon Clocks, Spectra Linear and Ember acquisitions. These carryforwards expire in fiscal years 2019 through 2032. Recognition of these loss and credit carryforwards is subject to an annual limit, which may cause them to expire before they are used. | |||||||||||
As of December 28, 2013, the Company had foreign net operating loss carryforwards of approximately $29.6 million as a result of the Energy Micro acquisition. These loss carryforwards do not expire and recognition is not subject to an annual limit. | |||||||||||
The Company also had state loss and research and development credit carryforwards of approximately $63.9 million and $11.0 million, respectively. A portion of these loss and credit carryforwards was generated by the Company and a portion was acquired through the Integration Associates, Silicon Clocks, Spectra Linear and Ember acquisitions. Certain of these carryforwards expire in fiscal years 2013 through 2033 and others do not expire. Recognition of some of these loss and credit carryforwards is subject to an annual limit, which may cause them to expire before they are used. | |||||||||||
At the end of fiscal 2013, undistributed earnings of the Company's foreign subsidiaries of approximately $292.3 million are intended to be permanently reinvested outside the U.S. Accordingly, no provision for U.S. federal and state income taxes associated with a distribution of these earnings has been made. Determination of the amount of the unrecognized deferred tax liability on these unremitted earnings is not practicable. | |||||||||||
The Company's operations in Singapore are subject to reduced tax rates through 2019, as long as certain conditions are met. The income tax benefit (expense) from the reduced Singapore tax rate reflected in earnings was approximately $2.2 million (representing $0.05 per diluted share) in fiscal 2013, approximately $(13.3) million (representing $(0.31) per diluted share) in fiscal 2012 and approximately $2.5 million (representing $0.06 per diluted share) in fiscal 2011. The impact of the reduced Singapore tax rate in fiscal 2012 reflects the recognition of prior year unrecognized tax benefits. | |||||||||||
The following table reflects changes in the unrecognized tax benefits (in thousands): | |||||||||||
Year Ended | |||||||||||
December 28, | December 29, | December 31, | |||||||||
2013 | 2012 | 2011 | |||||||||
Beginning balance | $ | 4,364 | $ | 10,943 | $ | 10,789 | |||||
Additions based on tax positions related to current year | 316 | 1,818 | 757 | ||||||||
Additions based on tax positions related to prior years | 318 | — | — | ||||||||
Reductions for tax positions related to prior years | — | (8,397 | ) | (603 | ) | ||||||
Ending balance | $ | 4,998 | $ | 4,364 | $ | 10,943 | |||||
As of December 28, 2013, December 29, 2012 and December 31, 2011, the Company had gross unrecognized tax benefits of $5.0 million, $4.4 million and $10.9 million, respectively, of which $4.8 million, $4.1 million and $9.9 million, respectively, would affect the effective tax rate if recognized. During fiscal 2013, the Company had gross increases of $0.6 million. During fiscal 2012, the Company had gross increases of $1.8 million to its current year unrecognized tax benefits, as well as a gross decrease of $8.4 million to its prior year unrecognized tax benefits related to an uncertain tax position that was determined to be effectively settled. A portion of these amounts in fiscal 2012 represents foreign currency remeasurement adjustments and was recognized in other income (expense), net. | |||||||||||
The Company recognizes interest and penalties related to unrecognized tax benefits in the provision for income taxes. The Company recognized less than $0.1 million of interest in the provision for income taxes in fiscal 2013. The Company did not recognize interest in the provision of income taxes in fiscal 2012 and 2011. The Company has an accrual of less than $0.1 million for the payment of interest related to unrecognized tax positions at the end of fiscal 2013, with no such accrual at the end of fiscal 2012 and 2011. | |||||||||||
The Company believes it is reasonably possible that the gross unrecognized tax benefits will decrease by approximately $1.5 million in the next 12 months due to the lapse of the statute of limitations applicable to a tax deduction claimed on a prior year foreign tax return. | |||||||||||
The tax years 2006 through 2013 remain open to examination by the major taxing jurisdictions to which the Company is subject. The examination of the Company's 2009 through 2011 federal income tax returns by the U.S. Internal Revenue Service was completed during the third quarter of 2013 with no material impact on the Company's financial statements. The Company is not currently under audit in any other major taxing jurisdiction. | |||||||||||
Segment_Information
Segment Information | 12 Months Ended | ||||||||||
Dec. 28, 2013 | |||||||||||
Segment Information | ' | ||||||||||
Segment Information | ' | ||||||||||
18. Segment Information | |||||||||||
The Company has one operating segment, mixed-signal analog intensive ICs, consisting of numerous product areas. The Company's chief operating decision maker is considered to be its Chief Executive Officer. The chief operating decision maker allocates resources and assesses performance of the business and other activities at the operating segment level. | |||||||||||
The Company groups its products into three categories, based on the markets and applications in which its ICs may be used. The following summarizes the Company's revenue by product category (in thousands): | |||||||||||
Year Ended | |||||||||||
December 28, | December 29, | December 31, | |||||||||
2013 | 2012 | 2011 | |||||||||
Broad-based | $ | 281,777 | $ | 270,098 | $ | 208,697 | |||||
Broadcast | 199,837 | 186,067 | 169,548 | ||||||||
Access | 98,473 | 107,129 | 113,380 | ||||||||
Revenues | $ | 580,087 | $ | 563,294 | $ | 491,625 | |||||
Revenue is attributed to a geographic area based on the shipped-to location. The following summarizes the Company's revenue by geographic area (in thousands): | |||||||||||
Year Ended | |||||||||||
December 28, | December 29, | December 31, | |||||||||
2013 | 2012 | 2011 | |||||||||
United States | $ | 68,566 | $ | 64,856 | $ | 67,432 | |||||
China | 253,261 | 219,400 | 152,533 | ||||||||
Taiwan | 55,036 | 64,150 | 59,208 | ||||||||
Japan | 32,557 | 31,315 | 50,270 | ||||||||
South Korea | 21,303 | 57,910 | 70,252 | ||||||||
Rest of world | 149,364 | 125,663 | 91,930 | ||||||||
Total | $ | 580,087 | $ | 563,294 | $ | 491,625 | |||||
The following summarizes the Company's property and equipment, net by geographic area (in thousands): | |||||||||||
December 28, | December 29, | ||||||||||
2013 | 2012 | ||||||||||
United States | $ | 126,263 | $ | 127,716 | |||||||
Rest of world | 6,182 | 7,555 | |||||||||
Total | $ | 132,445 | $ | 135,271 | |||||||
SCHEDULE_II_VALUATION_AND_QUAL
SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS | 12 Months Ended | ||||||||||||||||
Dec. 28, 2013 | |||||||||||||||||
SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS | ' | ||||||||||||||||
SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS | ' | ||||||||||||||||
SILICON LABORATORIES INC. | |||||||||||||||||
VALUATION AND QUALIFYING ACCOUNTS | |||||||||||||||||
Additions | |||||||||||||||||
Valuation Allowance for | Balance at | Charged to | Charged to | Deductions (1) | Balance at | ||||||||||||
Deferred Tax Assets | Beginning of | Expenses | Goodwill | End of Period | |||||||||||||
Period | |||||||||||||||||
(in thousands) | |||||||||||||||||
Year ended December 28, 2013 | $ | 2,114 | $ | 2,335 | $ | — | $ | (674 | ) | $ | 3,775 | ||||||
Year ended December 29, 2012 | $ | — | $ | — | $ | 2,114 | $ | — | $ | 2,114 | |||||||
-1 | |||||||||||||||||
Represents adjustments to deferred tax assets | |||||||||||||||||
Significant_Accounting_Policie1
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 28, 2013 | |
Significant Accounting Policies | ' |
Foreign Currency Transactions | ' |
Foreign Currency Transactions | |
The Company's foreign subsidiaries are considered to be extensions of the U.S. Company. The functional currency of the foreign subsidiaries is the U.S. dollar. Accordingly, gains and losses resulting from remeasuring transactions denominated in currencies other than U.S. dollars are included in other income (expense), net in the Consolidated Statements of Income. | |
Use of Estimates | ' |
Use of Estimates | |
The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Among the significant estimates affecting the financial statements are those related to inventories, stock-based compensation, investments in auction-rate securities, acquired intangible assets, goodwill, long-lived assets and income taxes. Actual results could differ from those estimates, and such differences could be material to the financial statements. | |
Reclassifications | ' |
Reclassifications | |
Certain reclassifications have been made to prior year financial statements to conform to current year presentation. | |
Fair Value of Financial Instruments | ' |
Fair Value of Financial Instruments | |
The fair values of the Company's financial instruments are recorded using a hierarchal disclosure framework based upon the level of subjectivity of the inputs used in measuring assets and liabilities. The three levels are described below: | |
Level 1—Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date. | |
Level 2—Inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. | |
Level 3—Inputs are unobservable for the asset or liability and are developed based on the best information available in the circumstances, which might include the Company's own data. | |
Cash and Cash Equivalents | ' |
Cash and Cash Equivalents | |
Cash and cash equivalents consist of cash deposits, money market funds and investments in debt securities with original maturities of ninety days or less when purchased. | |
Investments | ' |
Investments | |
The Company's investments typically have original maturities greater than ninety days as of the date of purchase and are classified as either available-for-sale or trading securities. Investments in available-for-sale securities are reported at fair value, with unrealized gains and losses, net of tax, recorded as a component of accumulated other comprehensive loss in the Consolidated Balance Sheet. Investments in trading securities are reported at fair value, with both realized and unrealized gains and losses recorded in other income (expense), net in the Consolidated Statement of Income. Investments in which the Company has the ability and intent, if necessary, to liquidate in order to support its current operations (including those with contractual maturities greater than one year from the date of purchase) are classified as short-term. | |
The Company reviews its available-for-sale investments as of the end of each reporting period for other-than-temporary declines in fair value based on the specific identification method. The Company considers various factors in determining whether an impairment is other-than-temporary, including the severity and duration of the impairment, changes in underlying credit ratings, forecasted recovery, its intent to sell or the likelihood that it would be required to sell the investment before its anticipated recovery in market value and the probability that the scheduled cash payments will continue to be made. When the Company concludes that an other-than-temporary impairment has occurred, the Company assesses whether it intends to sell the security or if it is more likely than not that it will be required to sell the security before recovery. If either of these two conditions is met, the Company recognizes a charge in earnings equal to the entire difference between the security's amortized cost basis and its fair value. If the Company does not intend to sell a security and it is not more likely than not that it will be required to sell the security before recovery, the unrealized loss is separated into an amount representing the credit loss, which is recognized in earnings, and the amount related to all other factors, which is recorded in accumulated other comprehensive loss. | |
Derivative Financial Instruments | ' |
Derivative Financial Instruments | |
The Company uses derivative financial instruments to manage certain exposures to the variability of interest rates. The Company's objective is to offset increases and decreases in expenses resulting from changes in interest rates with gains and losses on the derivative contracts, thereby reducing volatility of earnings. The Company does not use derivative contracts for speculative purposes. The effective portion of the gain or loss on interest rate swaps is recorded in accumulated other comprehensive loss as a separate component of stockholders' equity and is subsequently recognized in earnings when the hedged exposure affects earnings. Cash flows from derivatives are classified according to the nature of the cash receipt or payment in the Consolidated Statement of Cash Flows. | |
Inventories | ' |
Inventories | |
Inventories are stated at the lower of cost, determined using the first-in, first-out method, or market. The Company writes down the carrying value of inventory to net realizable value for estimated obsolescence or unmarketable inventory based upon assumptions about the age of inventory, future demand and market conditions. Inventory impairment charges establish a new cost basis for inventory and charges are not subsequently reversed to income even if circumstances later suggest that increased carrying amounts are recoverable. | |
Property and Equipment | ' |
Property and Equipment | |
Property and equipment are stated at cost, net of accumulated depreciation. Depreciation is computed using the straight-line method over the useful lives of the assets ranging from three to seven years. Leasehold improvements are depreciated over the contractual lease period or their useful life, whichever is shorter. | |
In fiscal 2012, the Company purchased the facilities it had previously leased for its headquarters in Austin, Texas. The buildings are located on land which is leased through 2099 from a third party. The rents for these ground leases were prepaid for the term of the leases by the previous lessee. The buildings and leasehold interest in ground leases are being depreciated on a straight-line basis over their estimated useful lives of 40 years and 86 years, respectively. | |
Business Combinations | ' |
Business Combinations | |
The Company records business combinations using the acquisition method of accounting and accordingly, allocates the fair value of purchase consideration to the assets acquired and liabilities assumed based on their fair values at the acquisition date. The excess of the fair value of purchase consideration over the fair value of the assets acquired and liabilities assumed is recorded as goodwill. The results of operations of the businesses acquired are included in the Company's consolidated results of operations beginning on the date of the acquisition. | |
Long-Lived Assets | ' |
Long-Lived Assets | |
Purchased intangible assets are stated at cost, net of accumulated amortization, and are amortized using the straight-line method over their estimated useful lives, ranging from six to twelve years. Fair values are determined primarily using the income approach, in which the Company projects future expected cash flows and applies an appropriate discount rate. | |
Long-lived assets "held and used" by the Company are reviewed for impairment whenever events or changes in circumstances indicate that their net book value may not be recoverable. When such factors and circumstances exist, the Company compares the projected undiscounted future cash flows associated with the related asset or group of assets over their estimated useful lives, against their respective carrying amounts. Impairment, if any, is based on the excess of the carrying amount over the fair value of those assets and is recorded in the period in which the determination was made. | |
The carrying value of goodwill is reviewed at least annually by the Company for possible impairment. The goodwill impairment test is a two-step process. The first step of the impairment analysis compares the fair value of the reporting unit to the net book value of the reporting unit. In determining fair value, several valuation methodologies are allowed, although quoted market prices are the best evidence of fair value. If the results of the first step demonstrate that the net book value is greater than the fair value, the Company must proceed to step two of the analysis. Step two of the analysis compares the implied fair value of goodwill to its carrying amount. If the carrying amount of goodwill exceeds its implied fair value, an impairment loss is recognized equal to that excess. The Company tests goodwill for impairment annually as of the first day of its fourth fiscal quarter and in interim periods if events occur that would indicate that the carrying value of goodwill may be impaired. | |
Revenue Recognition | ' |
Revenue Recognition | |
Revenues are generated almost exclusively by sales of the Company's ICs. The Company recognizes revenue when all of the following criteria are met: 1) there is persuasive evidence that an arrangement exists, 2) delivery of goods has occurred, 3) the sales price is fixed or determinable, and 4) collectibility is reasonably assured. Generally, revenue from product sales to direct customers and contract manufacturers is recognized upon shipment. | |
A portion of the Company's sales are made to distributors under agreements allowing certain rights of return and price protection related to the final selling price to the end customers. Accordingly, the Company defers revenue and cost of revenue on such sales until the distributors sell the product to the end customers. The net balance of deferred revenue less deferred cost of revenue associated with inventory shipped to a distributor but not yet sold to an end customer is recorded in the deferred income on shipments to distributors liability on the Consolidated Balance Sheet. Such net deferred income balance reflects the Company's estimate of the impact of rights of return and price protection. | |
Shipping and Handling | ' |
Shipping and Handling | |
Shipping and handling costs are classified as a component of cost of revenues in the Consolidated Statements of Income. | |
Stock-Based Compensation | ' |
Stock-Based Compensation | |
The Company has stock-based compensation plans, which are more fully described in Note 13, Stock-Based Compensation. The Company accounts for those plans using a fair-value method and recognizes the expense in its Consolidated Statement of Income. | |
Research and Development | ' |
Research and Development | |
Research and development costs are expensed as incurred. Research and development expense consists primarily of personnel-related expenses, including stock-based compensation, as well as new product masks, external consulting and services costs, equipment tooling, equipment depreciation, amortization of intangible assets, and an allocated portion of our occupancy costs. Assets purchased to support the Company's ongoing research and development activities are capitalized when related to products which have achieved technological feasibility or have an alternative future use, and are amortized over their estimated useful lives. | |
Advertising | ' |
Advertising | |
Advertising costs are expensed as incurred. Advertising expenses were $2.0 million, $1.7 million and $1.6 million in fiscal 2013, 2012 and 2011, respectively. | |
Income Taxes | ' |
Income Taxes | |
The Company accounts for income taxes using the asset and liability method whereby deferred tax asset and liability account balances are determined based on differences between financial reporting and the tax bases of assets and liabilities and are measured using the enacted tax laws and related rates that will be in effect when the differences are expected to reverse. These differences result in deferred tax assets and liabilities, which are included in the Company's Consolidated Balance Sheet. The Company then assesses the likelihood that the deferred tax assets will be realized. A valuation allowance is established against deferred tax assets to the extent the Company believes that it is more likely than not that the deferred tax assets will not be realized, taking into consideration the level of historical taxable income and projections for future taxable income over the periods in which the temporary differences are deductible. | |
Uncertain tax positions must meet a more-likely-than-not threshold to be recognized in the financial statements and the tax benefits recognized are measured based on the largest benefit that has a greater than 50% likelihood of being realized upon final settlement. See Note 17, Income Taxes, for additional information. | |
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 12 Months Ended | ||||||||||
Dec. 28, 2013 | |||||||||||
Earnings Per Share | ' | ||||||||||
Schedule of computation of basic and diluted earnings per share | ' | ||||||||||
The following table sets forth the computation of basic and diluted earnings per share (in thousands, except per share data): | |||||||||||
Year Ended | |||||||||||
December 28, | December 29, | December 31, | |||||||||
2013 | 2012 | 2011 | |||||||||
Net income | $ | 49,819 | $ | 63,548 | $ | 35,472 | |||||
Shares used in computing basic earnings per share | 42,715 | 42,136 | 43,421 | ||||||||
Effect of dilutive securities: | |||||||||||
Stock options and other stock-based awards | 822 | 970 | 1,411 | ||||||||
Shares used in computing diluted earnings per share | 43,537 | 43,106 | 44,832 | ||||||||
Earnings per share: | |||||||||||
Basic | $ | 1.17 | $ | 1.51 | $ | 0.82 | |||||
Diluted | $ | 1.14 | $ | 1.47 | $ | 0.79 | |||||
Cash_Cash_Equivalents_and_Inve1
Cash, Cash Equivalents and Investments (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 28, 2013 | ||||||||||||||||||||
Cash, Cash Equivalents and Investments | ' | |||||||||||||||||||
Schedule of cash, cash equivalents, and investments | ' | |||||||||||||||||||
The Company's cash, cash equivalents and investments consisted of the following (in thousands): | ||||||||||||||||||||
December 28, 2013 | ||||||||||||||||||||
Cost | Gross | Gross | Fair Value | |||||||||||||||||
Unrealized | Unrealized | |||||||||||||||||||
Losses | Gains | |||||||||||||||||||
Cash and Cash Equivalents: | ||||||||||||||||||||
Cash on hand | $ | 45,544 | $ | — | $ | — | $ | 45,544 | ||||||||||||
Available-for-sale securities: | ||||||||||||||||||||
Money market funds | 39,538 | — | — | 39,538 | ||||||||||||||||
Certificates of deposit | 7,768 | — | — | 7,768 | ||||||||||||||||
Commercial paper | 2,499 | — | — | 2,499 | ||||||||||||||||
Municipal bonds | 451 | — | — | 451 | ||||||||||||||||
Total available-for-sale securities | 50,256 | — | — | 50,256 | ||||||||||||||||
Total cash and cash equivalents | $ | 95,800 | $ | — | $ | — | $ | 95,800 | ||||||||||||
Short-term Investments: | ||||||||||||||||||||
Available-for-sale securities: | ||||||||||||||||||||
Municipal bonds | $ | 119,289 | $ | (11 | ) | $ | 182 | $ | 119,460 | |||||||||||
Variable-rate demand notes | 38,025 | — | — | 38,025 | ||||||||||||||||
Corporate bonds | 17,788 | (4 | ) | 60 | 17,844 | |||||||||||||||
Commercial paper | 3,748 | — | — | 3,748 | ||||||||||||||||
Asset-backed securities | 515 | — | 1 | 516 | ||||||||||||||||
Total short-term investments | $ | 179,365 | $ | (15 | ) | $ | 243 | $ | 179,593 | |||||||||||
Long-term Investments: | ||||||||||||||||||||
Available-for-sale securities: | ||||||||||||||||||||
Auction rate securities | $ | 12,425 | $ | (1,793 | ) | $ | — | $ | 10,632 | |||||||||||
Total long-term investments | $ | 12,425 | $ | (1,793 | ) | $ | — | $ | 10,632 | |||||||||||
December 29, 2012 | ||||||||||||||||||||
Cost | Gross | Gross | Fair Value | |||||||||||||||||
Unrealized | Unrealized | |||||||||||||||||||
Losses | Gains | |||||||||||||||||||
Cash and Cash Equivalents: | ||||||||||||||||||||
Cash on hand | $ | 56,690 | $ | — | $ | — | $ | 56,690 | ||||||||||||
Available-for-sale securities: | ||||||||||||||||||||
U.S. Treasury bills | 25,049 | — | 1 | 25,050 | ||||||||||||||||
Money market funds | 22,685 | — | 1 | 22,686 | ||||||||||||||||
Municipal bonds | 1,000 | — | — | 1,000 | ||||||||||||||||
Total available-for-sale securities | 48,734 | — | 2 | 48,736 | ||||||||||||||||
Total cash and cash equivalents | $ | 105,424 | $ | — | $ | 2 | $ | 105,426 | ||||||||||||
Short-term Investments: | ||||||||||||||||||||
Available-for-sale securities: | ||||||||||||||||||||
Corporate bonds | $ | 59,089 | $ | (5 | ) | $ | 267 | $ | 59,351 | |||||||||||
Municipal bonds | 45,646 | (7 | ) | 50 | 45,689 | |||||||||||||||
Variable-rate demand notes | 41,785 | — | — | 41,785 | ||||||||||||||||
Asset-backed securities | 15,058 | — | 11 | 15,069 | ||||||||||||||||
U.S. government bonds | 12,638 | — | 25 | 12,663 | ||||||||||||||||
International government bonds | 1,991 | — | 17 | 2,008 | ||||||||||||||||
Total short-term investments | $ | 176,207 | $ | (12 | ) | $ | 370 | $ | 176,565 | |||||||||||
Long-term Investments: | ||||||||||||||||||||
Available-for-sale securities: | ||||||||||||||||||||
Auction rate securities | $ | 12,525 | $ | (1,156 | ) | $ | — | $ | 11,369 | |||||||||||
Total long-term investments | $ | 12,525 | $ | (1,156 | ) | $ | — | $ | 11,369 | |||||||||||
Schedule of available-for-sale investments in continuous unrealized loss position by length of time | ' | |||||||||||||||||||
The available-for-sale investments that were in a continuous unrealized loss position, aggregated by length of time that individual securities have been in a continuous loss position, were as follows (in thousands): | ||||||||||||||||||||
Less Than 12 Months | 12 Months or Greater | Total | ||||||||||||||||||
As of December 28, 2013 | Fair | Gross | Fair | Gross | Fair | Gross | ||||||||||||||
Value | Unrealized | Value | Unrealized | Value | Unrealized | |||||||||||||||
Losses | Losses | Losses | ||||||||||||||||||
Municipal bonds | $ | 11,079 | $ | (11 | ) | $ | — | $ | — | $ | 11,079 | $ | (11 | ) | ||||||
Auction rate securities | — | — | 10,632 | (1,793 | ) | 10,632 | (1,793 | ) | ||||||||||||
Corporate bonds | 2,605 | (4 | ) | — | — | 2,605 | (4 | ) | ||||||||||||
$ | 13,684 | $ | (15 | ) | $ | 10,632 | $ | (1,793 | ) | $ | 24,316 | $ | (1,808 | ) | ||||||
Less Than 12 Months | 12 Months or Greater | Total | ||||||||||||||||||
As of December 29, 2012 | Fair | Gross | Fair | Gross | Fair | Gross | ||||||||||||||
Value | Unrealized | Value | Unrealized Losses | Value | Unrealized | |||||||||||||||
Losses | Losses | |||||||||||||||||||
Municipal bonds | $ | 17,152 | $ | (7 | ) | $ | — | $ | — | $ | 17,152 | $ | (7 | ) | ||||||
Auction rate securities | — | — | 11,369 | (1,156 | ) | 11,369 | (1,156 | ) | ||||||||||||
Corporate bonds | 9,543 | (5 | ) | — | — | 9,543 | (5 | ) | ||||||||||||
$ | 26,695 | $ | (12 | ) | $ | 11,369 | $ | (1,156 | ) | $ | 38,064 | $ | (1,168 | ) | ||||||
Summarization of contractual underlying maturities of available-for-sale investments | ' | |||||||||||||||||||
The following summarizes the contractual underlying maturities of the Company's available-for-sale investments at December 28, 2013 (in thousands): | ||||||||||||||||||||
Cost | Fair | |||||||||||||||||||
Value | ||||||||||||||||||||
Due in one year or less | $ | 115,109 | $ | 115,177 | ||||||||||||||||
Due after one year through ten years | 80,987 | 81,147 | ||||||||||||||||||
Due after ten years | 45,950 | 44,157 | ||||||||||||||||||
$ | 242,046 | $ | 240,481 | |||||||||||||||||
Derivative_Financial_Instrumen1
Derivative Financial Instruments (Tables) | 12 Months Ended | |||||||||||||||||||||
Dec. 28, 2013 | ||||||||||||||||||||||
Derivative Financial Instruments | ' | |||||||||||||||||||||
Schedule of derivative financial instrument | ' | |||||||||||||||||||||
The Company's derivative financial instrument consisted of the following (in thousands): | ||||||||||||||||||||||
Fair Value | ||||||||||||||||||||||
Balance Sheet Location | December 28, | December 29, | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||
Interest rate swap | Other assets, net | $ | 513 | $ | — | |||||||||||||||||
Other non-current liabilities | — | 658 | ||||||||||||||||||||
Schedule of before-tax effect of derivative instruments in cash flow hedging relationships | ' | |||||||||||||||||||||
The before-tax effect of derivative instruments in cash flow hedging relationships was as follows (in thousands): | ||||||||||||||||||||||
Gain (Loss) Recognized in | Location | Loss Reclassified | ||||||||||||||||||||
OCI on Derivatives | of Loss | from Accumulated | ||||||||||||||||||||
(Effective Portion) | Reclassified | OCI into Income | ||||||||||||||||||||
during the Year Ended | into Income | (Effective Portion) | ||||||||||||||||||||
during the Year Ended | ||||||||||||||||||||||
December 28, | December 29, | December 31, | December 28, | December 29, | December 31, | |||||||||||||||||
2013 | 2012 | 2011 | 2013 | 2012 | 2011 | |||||||||||||||||
Interest rate swaps | $ | 611 | $ | (956 | ) | $ | (424 | ) | Rent expense | $ | — | $ | (2,197 | ) | $ | (2,237 | ) | |||||
Interest expense | (560 | ) | (98 | ) | — | |||||||||||||||||
Fair_Value_of_Financial_Instru1
Fair Value of Financial Instruments (Tables) | 12 Months Ended | |||||||||||||
Dec. 28, 2013 | ||||||||||||||
Fair Value of Financial Instruments | ' | |||||||||||||
Financial assets and liabilities measured at fair value on a recurring basis | ' | |||||||||||||
The following summarizes the valuation of the Company's financial instruments (in thousands). | ||||||||||||||
Fair Value Measurements | ||||||||||||||
at December 28, 2013 Using | ||||||||||||||
Description | Quoted Prices in | Significant Other | Significant | Total | ||||||||||
Active Markets for | Observable | Unobservable | ||||||||||||
Identical Assets | Inputs | Inputs | ||||||||||||
(Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets: | ||||||||||||||
Cash Equivalents: | ||||||||||||||
Money market funds | $ | 39,538 | $ | — | $ | — | $ | 39,538 | ||||||
Certificates of deposit | — | 7,768 | — | 7,768 | ||||||||||
Commercial paper | — | 2,499 | — | 2,499 | ||||||||||
Municipal bonds | — | 451 | — | 451 | ||||||||||
Total cash equivalents | $ | 39,538 | $ | 10,718 | $ | — | $ | 50,256 | ||||||
Short-term Investments: | ||||||||||||||
Municipal bonds | $ | — | $ | 119,460 | $ | — | $ | 119,460 | ||||||
Variable-rate demand notes | — | 38,025 | — | 38,025 | ||||||||||
Corporate bonds | — | 17,844 | — | 17,844 | ||||||||||
Commercial paper | — | 3,748 | — | 3,748 | ||||||||||
Asset-backed securities | — | 516 | — | 516 | ||||||||||
Total short-term investments | $ | — | $ | 179,593 | $ | — | $ | 179,593 | ||||||
Long-term Investments: | ||||||||||||||
Auction rate securities | $ | — | $ | — | $ | 10,632 | $ | 10,632 | ||||||
Total long-term investments | $ | — | $ | — | $ | 10,632 | $ | 10,632 | ||||||
Other assets, net: | ||||||||||||||
Derivative instruments | $ | — | $ | 513 | $ | — | $ | 513 | ||||||
Total | $ | — | $ | 513 | $ | — | $ | 513 | ||||||
Total | $ | 39,538 | $ | 190,824 | $ | 10,632 | $ | 240,994 | ||||||
Other non-current liabilities: | ||||||||||||||
Contingent consideration | $ | — | $ | — | $ | 12,919 | $ | 12,919 | ||||||
Total | $ | — | $ | — | $ | 12,919 | $ | 12,919 | ||||||
Fair Value Measurements | ||||||||||||||
at December 29, 2012 Using | ||||||||||||||
Description | Quoted Prices in | Significant Other | Significant | Total | ||||||||||
Active Markets for | Observable | Unobservable | ||||||||||||
Identical Assets | Inputs | Inputs | ||||||||||||
(Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets: | ||||||||||||||
Cash Equivalents: | ||||||||||||||
U.S. Treasury bills | $ | 25,050 | $ | — | $ | — | $ | 25,050 | ||||||
Money market funds | 22,686 | — | — | 22,686 | ||||||||||
Municipal bonds | — | 1,000 | — | 1,000 | ||||||||||
Total cash equivalents | $ | 47,736 | $ | 1,000 | $ | — | $ | 48,736 | ||||||
Short-term Investments: | ||||||||||||||
Corporate bonds | $ | — | $ | 59,351 | $ | — | $ | 59,351 | ||||||
Municipal bonds | — | 45,689 | — | 45,689 | ||||||||||
Variable-rate demand notes | — | 41,785 | — | 41,785 | ||||||||||
Asset-backed securities | — | 15,069 | — | 15,069 | ||||||||||
U.S. government bonds | 12,663 | — | — | 12,663 | ||||||||||
International government bonds | — | 2,008 | — | 2,008 | ||||||||||
Total short-term investments | $ | 12,663 | $ | 163,902 | $ | — | $ | 176,565 | ||||||
Long-term Investments: | ||||||||||||||
Auction rate securities | $ | — | $ | — | $ | 11,369 | $ | 11,369 | ||||||
Total long-term investments | $ | — | $ | — | $ | 11,369 | $ | 11,369 | ||||||
Total | $ | 60,399 | $ | 164,902 | $ | 11,369 | $ | 236,670 | ||||||
Liabilities: | ||||||||||||||
Derivative instruments | $ | — | $ | 658 | $ | — | $ | 658 | ||||||
Contingent consideration | — | — | 2,750 | 2,750 | ||||||||||
Total | $ | — | $ | 658 | $ | 2,750 | $ | 3,408 | ||||||
Summary of quantitative information about level 3 asset fair value measurements | ' | |||||||||||||
Fair Value at | Valuation Technique | Unobservable Input | Weighted | |||||||||||
December 28, 2013 | Average | |||||||||||||
(000s) | ||||||||||||||
$10,632 | Discounted cash flow | Estimated yield | 1.11% | |||||||||||
Expected holding period | 10 years | |||||||||||||
Estimated discount rate | 4.05% | |||||||||||||
Summary of quantitative information about level 3 liability fair value measurements | ' | |||||||||||||
Fair Value at | Valuation Technique | Unobservable Input | Range | |||||||||||
December 28, 2013 | ||||||||||||||
(000s) | ||||||||||||||
$12,919 | Monte Carlo simulation | Expected revenue growth rate | 26.2% - 51.9% | |||||||||||
Expected revenue volatility | 20.00% | |||||||||||||
Expected term | 1.0 - 5.0 years | |||||||||||||
Estimated discount rate | 0.1% - 1.6% | |||||||||||||
Summary of activity in Level 3 financial instruments | ' | |||||||||||||
The following summarizes the activity in Level 3 financial instruments for the years ended December 28, 2013 and December 29, 2012 (in thousands): | ||||||||||||||
Assets | ||||||||||||||
Year Ended | ||||||||||||||
Auction Rate Securities | December 28, | December 29, | ||||||||||||
2013 | 2012 | |||||||||||||
Beginning balance | $ | 11,369 | $ | 17,477 | ||||||||||
Settlements | (100 | ) | (6,700 | ) | ||||||||||
Gain (loss) included in other comprehensive income | (637 | ) | 592 | |||||||||||
Ending balance | $ | 10,632 | $ | 11,369 | ||||||||||
Liabilities | ||||||||||||||
Year Ended | ||||||||||||||
Contingent Consideration (1) | December 28, | December 29, | ||||||||||||
2013 | 2012 | |||||||||||||
Beginning balance | $ | 2,750 | $ | 876 | ||||||||||
Issues | 13,964 | 4,004 | ||||||||||||
Gain recognized in earnings (2) | (3,795 | ) | (2,130 | ) | ||||||||||
Ending balance | $ | 12,919 | $ | 2,750 | ||||||||||
Net gain for the period included in earnings attributable to contingent consideration held at the end of the period: | $ | 1,045 | $ | 1,254 | ||||||||||
-1 | ||||||||||||||
In connection with the acquisition of Energy Micro, Ember and ChipSensors, the Company recorded contingent consideration based upon the expected achievement of certain milestone goals. Changes to the fair value of contingent consideration due to changes in assumptions used in preparing the valuation model are recorded in selling, general and administrative expenses in the Consolidated Statements of Income. | ||||||||||||||
-2 | ||||||||||||||
The Company reduced the estimated fair value of contingent consideration because certain milestone goals were either not achieved or were expected to be achieved at a lower outcome. | ||||||||||||||
Balance_Sheet_Details_Tables
Balance Sheet Details (Tables) | 12 Months Ended | |||||||
Dec. 28, 2013 | ||||||||
Balance Sheet Details | ' | |||||||
Inventories | ' | |||||||
The following table show the details of selected Consolidated Balance Sheet items (in thousands): | ||||||||
Inventories | ||||||||
December 28, | December 29, | |||||||
2013 | 2012 | |||||||
Work in progress | $ | 34,503 | $ | 42,103 | ||||
Finished goods | 10,768 | 7,476 | ||||||
$ | 45,271 | $ | 49,579 | |||||
Prepaid Expenses and Other Current Assets | ' | |||||||
The following table show the details of selected Consolidated Balance Sheet items (in thousands): | ||||||||
Prepaid Expenses and Other Current Assets | ||||||||
December 28, | December 29, | |||||||
2013 | 2012 | |||||||
Distributor advances | $ | 31,839 | $ | 21,260 | ||||
Other | 15,812 | 20,177 | ||||||
$ | 47,651 | $ | 41,437 | |||||
Property and Equipment | ' | |||||||
The following table show the details of selected Consolidated Balance Sheet items (in thousands): | ||||||||
Property and Equipment | ||||||||
December 28, | December 29, | |||||||
2013 | 2012 | |||||||
Buildings and improvements | $ | 94,221 | $ | 90,900 | ||||
Equipment | 51,071 | 48,219 | ||||||
Computers and purchased software | 25,556 | 27,294 | ||||||
Leasehold interest in ground leases | 23,840 | 23,840 | ||||||
Furniture and fixtures | 3,496 | 3,129 | ||||||
Leasehold improvements | 7,784 | 7,587 | ||||||
205,968 | 200,969 | |||||||
Accumulated depreciation | (73,523 | ) | (65,698 | ) | ||||
$ | 132,445 | $ | 135,271 | |||||
Accrued Expenses | ' | |||||||
The following table show the details of selected Consolidated Balance Sheet items (in thousands): | ||||||||
Accrued Expenses | ||||||||
December 28, | December 29, | |||||||
2013 | 2012 | |||||||
Accrued compensation and benefits | $ | 24,896 | $ | 22,298 | ||||
Other | 21,079 | 18,112 | ||||||
$ | 45,975 | $ | 40,410 | |||||
Other Non-current Liabilities | ' | |||||||
The following table show the details of selected Consolidated Balance Sheet items (in thousands): | ||||||||
Other Non-current Liabilities | ||||||||
December 28, | December 29, | |||||||
2013 | 2012 | |||||||
Acquisition-related escrow | $ | 20,010 | $ | — | ||||
Contingent consideration | 12,919 | — | ||||||
Acquired unfavorable leases | 11,268 | 11,794 | ||||||
Other | 11,744 | 8,821 | ||||||
$ | 55,941 | $ | 20,615 | |||||
Risks_and_Uncertainties_Tables
Risks and Uncertainties (Tables) (Customers) | 12 Months Ended | ||||||||||
Dec. 28, 2013 | |||||||||||
Accounts receivable | ' | ||||||||||
Risks and uncertainties | ' | ||||||||||
Schedule of concentration risk | ' | ||||||||||
December 28, | December 29, | ||||||||||
2013 | 2012 | ||||||||||
Edom Technology | 26 | % | 23 | % | |||||||
Arrow Electronics | 10 | % | ** | ||||||||
Avnet | ** | 12 | % | ||||||||
** | |||||||||||
Less than 10% of accounts receivable | |||||||||||
Revenue | ' | ||||||||||
Risks and uncertainties | ' | ||||||||||
Schedule of concentration risk | ' | ||||||||||
Year Ended | |||||||||||
December 28, | December 29, | December 31, | |||||||||
2013 | 2012 | 2011 | |||||||||
End Customers | |||||||||||
Samsung* | 15 | % | 19 | % | 13 | % | |||||
Distributors | |||||||||||
Edom Technology | 21 | % | 22 | % | 24 | % | |||||
Avnet | 11 | % | 11 | % | 12 | % | |||||
Macnica | ** | ** | 10 | % | |||||||
* | |||||||||||
Samsung's purchases were across a variety of product areas. | |||||||||||
** | |||||||||||
Less than 10% of revenue | |||||||||||
Acquisitions_Tables
Acquisitions (Tables) | 12 Months Ended | |||||||
Dec. 28, 2013 | ||||||||
Energy Micro | ' | |||||||
Business acquisition | ' | |||||||
Schedule of purchase price allocation | ' | |||||||
The purchase price was allocated as follows (in thousands): | ||||||||
Amount | Weighted-Average | |||||||
Amortization Period | ||||||||
(Years) | ||||||||
Intangible assets: | ||||||||
In-process research and development | $ | 18,600 | Not amortized | |||||
Core and developed technology | 29,100 | 7 | ||||||
Customer relationships | 6,400 | 8 | ||||||
Trademarks | 1,300 | 8 | ||||||
55,400 | ||||||||
Cash and cash equivalents | 919 | |||||||
Other current assets | 6,486 | |||||||
Goodwill | 98,515 | |||||||
Other non-current assets | 3,117 | |||||||
Current liabilities | (8,000 | ) | ||||||
Non-current deferred tax liabilities, net | (6,288 | ) | ||||||
Long-term debt | (8,434 | ) | ||||||
Other non-current liabilities | (1,133 | ) | ||||||
Total purchase price | $ | 140,582 | ||||||
Ember | ' | |||||||
Business acquisition | ' | |||||||
Schedule of purchase price allocation | ' | |||||||
The purchase price was allocated as follows (in thousands): | ||||||||
Amount | Weighted-Average | |||||||
Amortization Period | ||||||||
(Years) | ||||||||
Intangible assets: | ||||||||
In-process research and development | $ | 14,810 | Not amortized | |||||
Developed technology | 17,800 | 11 | ||||||
Customer relationships | 5,620 | 9 | ||||||
Trademarks | 910 | 12 | ||||||
39,140 | ||||||||
Cash and cash equivalents | 3,115 | |||||||
Accounts receivable | 1,928 | |||||||
Inventories | 4,749 | |||||||
Other current assets | 324 | |||||||
Goodwill | 14,777 | |||||||
Non-current deferred tax assets, net | 16,449 | |||||||
Other non-current assets | 1,776 | |||||||
Current liabilities | (3,287 | ) | ||||||
Total purchase price | $ | 78,971 | ||||||
Corporate Headquarters Buildings | ' | |||||||
Business acquisition | ' | |||||||
Schedule of purchase price allocation | ' | |||||||
The purchase price was allocated as follows (in thousands): | ||||||||
Amount | ||||||||
Buildings | $ | 90,900 | ||||||
Leasehold interest in ground leases | 23,840 | |||||||
Acquired unfavorable leases | (11,925 | ) | ||||||
Lease-related charges | (8 | ) | ||||||
Net gain on purchase | (8,457 | ) | ||||||
Total purchase price | $ | 94,350 | ||||||
Spectra Linear | ' | |||||||
Business acquisition | ' | |||||||
Schedule of purchase price allocation | ' | |||||||
The purchase price was allocated as follows (in thousands): | ||||||||
Amount | Weighted-Average | |||||||
Amortization Period | ||||||||
(Years) | ||||||||
Intangible assets: | ||||||||
Core and developed technology | $ | 16,560 | 10 | |||||
Customer relationships | 1,400 | 10 | ||||||
17,960 | ||||||||
Accounts receivable | 1,759 | |||||||
Inventories | 1,199 | |||||||
Other current assets | 1,658 | |||||||
Goodwill | 4,097 | |||||||
Deferred tax assets—non-current | 12,316 | |||||||
Other non-current assets | 597 | |||||||
Notes payable—current portion | (4,641 | ) | ||||||
Current liabilities | (3,112 | ) | ||||||
Non-current liabilities | (3,254 | ) | ||||||
Total purchase price | $ | 28,579 | ||||||
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended | |||||||||||||||
Dec. 28, 2013 | ||||||||||||||||
Goodwill and Other Intangible Assets | ' | |||||||||||||||
Summary of goodwill activity | ' | |||||||||||||||
The following summarizes the activity in goodwill for the years ended December 28, 2013 and December 29, 2012 (in thousands): | ||||||||||||||||
Year Ended | ||||||||||||||||
December 28, | December 29, | |||||||||||||||
2013 | 2012 | |||||||||||||||
Beginning balance | $ | 130,265 | $ | 115,489 | ||||||||||||
Additions due to business combinations | 98,516 | 14,776 | ||||||||||||||
Ending balance | $ | 228,781 | $ | 130,265 | ||||||||||||
Schedule of gross carrying amount and accumulated amortization of other intangible assets | ' | |||||||||||||||
The gross carrying amount and accumulated amortization of other intangible assets are as follows (in thousands): | ||||||||||||||||
December 28, 2013 | December 29, 2012 | |||||||||||||||
Weighted-Average | ||||||||||||||||
Amortization | ||||||||||||||||
Period | ||||||||||||||||
(Years) | Gross | Accumulated | Gross | Accumulated | ||||||||||||
Amount | Amortization | Amount | Amortization | |||||||||||||
Intangible assets: | ||||||||||||||||
Subject to amortization: | ||||||||||||||||
Core and developed technology | 9 | $ | 138,340 | $ | (41,782 | ) | $ | 95,420 | $ | (30,145 | ) | |||||
Customer relationships | 9 | 14,500 | (2,330 | ) | 8,100 | (1,057 | ) | |||||||||
Patents | 6 | 3,000 | (750 | ) | 3,000 | (250 | ) | |||||||||
Trademarks | 10 | 2,210 | (195 | ) | 910 | (38 | ) | |||||||||
9 | 158,050 | (45,057 | ) | 107,430 | (31,490 | ) | ||||||||||
Not subject to amortization: | ||||||||||||||||
In-process research and development | Not amortized | 18,600 | — | 14,810 | — | |||||||||||
Total intangible assets | $ | 176,650 | $ | (45,057 | ) | $ | 122,240 | $ | (31,490 | ) | ||||||
Schedule of estimated aggregate amortization expense for intangible assets subject to amortization for each of the five succeeding fiscal years | ' | |||||||||||||||
The estimated aggregate amortization expense for intangible assets subject to amortization for each of the five succeeding fiscal years is as follows (in thousands): | ||||||||||||||||
Fiscal Year | ||||||||||||||||
2014 | $ | 17,060 | ||||||||||||||
2015 | 16,669 | |||||||||||||||
2016 | 16,019 | |||||||||||||||
2017 | 15,052 | |||||||||||||||
2018 | 14,309 |
Debt_Tables
Debt (Tables) | 12 Months Ended | ||||
Dec. 28, 2013 | |||||
Debt | ' | ||||
Schedule of remaining contractual maturities of the Term Loan Facility | ' | ||||
As of December 28, 2013, the remaining contractual maturities of the Term Loan Facility were as follows (in thousands): | |||||
Fiscal Year | |||||
2014 | $ | 7,500 | |||
2015 | 10,000 | ||||
2016 | 10,000 | ||||
2017 | 67,500 | ||||
Total | $ | 95,000 | |||
Stockholders_Equity_Tables
Stockholders' Equity (Tables) | 12 Months Ended | ||||||||||
Dec. 28, 2013 | |||||||||||
Stockholders' Equity | ' | ||||||||||
Schedule of share repurchase programs | ' | ||||||||||
The Board of Directors authorized the following share repurchase programs (in thousands): | |||||||||||
Program Authorization Date | Program | Program | |||||||||
Termination | Amount | ||||||||||
Date | |||||||||||
Jan-14 | Jan-15 | $ | 100,000 | ||||||||
Jan-13 | Jan-14 | $ | 50,000 | ||||||||
Apr-12 | Jan-13 | $ | 100,000 | ||||||||
Oct-11 | Apr-12 | $ | 50,000 | ||||||||
Jul-10 | Aug-11 | $ | 150,000 | ||||||||
Schedule of components of accumulated other comprehensive loss, net of taxes | ' | ||||||||||
The components of accumulated other comprehensive loss, net of taxes, were as follows (in thousands): | |||||||||||
Unrealized Gain | Net Unrealized | Total | |||||||||
(Loss) on Cash | Losses on Available- | ||||||||||
Flow Hedge | For-Sale Securities | ||||||||||
Balance at January 1, 2011 | $ | (2,477 | ) | $ | (1,171 | ) | $ | (3,648 | ) | ||
Other comprehensive income (loss) before reclassifications | (276 | ) | 3 | (273 | ) | ||||||
Amount reclassified from accumulated other comprehensive loss | 1,454 | — | 1,454 | ||||||||
Net change for the period | 1,178 | 3 | 1,181 | ||||||||
Balance at December 31, 2011 | (1,299 | ) | (1,168 | ) | (2,467 | ) | |||||
Other comprehensive income (loss) before reclassifications | (621 | ) | 650 | 29 | |||||||
Amount reclassified from accumulated other comprehensive loss | 1,492 | — | 1,492 | ||||||||
Net change for the period | 871 | 650 | 1,521 | ||||||||
Balance at December 29, 2012 | (428 | ) | (518 | ) | (946 | ) | |||||
Other comprehensive income (loss) before reclassifications | 397 | (348 | ) | 49 | |||||||
Amount reclassified from accumulated other comprehensive loss | 364 | (151 | ) | 213 | |||||||
Net change for the period | 761 | (499 | ) | 262 | |||||||
Balance at December 28, 2013 | $ | 333 | $ | (1,017 | ) | $ | (684 | ) | |||
Schedule of Reclassifications From Accumulated Other Comprehensive Loss | ' | ||||||||||
Year ended | |||||||||||
Reclassification (in thousands) | December 28, | December 29, | December 31, | ||||||||
2013 | 2012 | 2011 | |||||||||
Losses on cash flow hedges to: | |||||||||||
Rent expense | $ | — | $ | (2,295 | ) | $ | (2,237 | ) | |||
Interest expense | (560 | ) | — | — | |||||||
Gains on available-for-sales securities to: | |||||||||||
Interest income | 232 | — | — | ||||||||
(328 | ) | (2,295 | ) | (2,237 | ) | ||||||
Income tax benefit | 115 | 803 | 783 | ||||||||
Total reclassifications | $ | (213 | ) | $ | (1,492 | ) | $ | (1,454 | ) | ||
Schedule of changes in the components of comprehensive income, tax effects | ' | ||||||||||
The income tax effects of the components of other comprehensive income were as follows (in thousands): | |||||||||||
Year ended | |||||||||||
Income tax (expense) benefit on: | December 28, | December 29, | December 31, | ||||||||
2013 | 2012 | 2011 | |||||||||
Net changes to available-for-sale securities: | |||||||||||
Unrealized gains (losses) arising during the period | $ | 187 | $ | (350 | ) | $ | (1 | ) | |||
Reclassification for gains included in net income | 81 | — | — | ||||||||
Net changes to cash flow hedges: | |||||||||||
Unrealized gains (losses) arising during the period | (214 | ) | 335 | 148 | |||||||
Reclassification for losses included in net income | (196 | ) | (803 | ) | (783 | ) | |||||
Other comprehensive income | $ | (142 | ) | $ | (818 | ) | $ | (636 | ) | ||
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 12 Months Ended | |||||||||||||
Dec. 28, 2013 | ||||||||||||||
Stock-Based Compensation | ' | |||||||||||||
Schedule of assumptions used to estimate fair values using Black-Scholes option-pricing model | ' | |||||||||||||
Year Ended | ||||||||||||||
December 28, | December 29, | December 31, | ||||||||||||
2013 | 2012 | 2011 | ||||||||||||
2009 Employee Stock Purchase Plan: | ||||||||||||||
Expected volatility | 27 | % | 38 | % | 27 | % | ||||||||
Risk-free interest rate % | 0.1 | % | 0.2 | % | 0.2 | % | ||||||||
Expected term (in months) | 7 | 15 | 11 | |||||||||||
Dividend yield | — | — | — | |||||||||||
Summary of Stock Options activity | ' | |||||||||||||
Stock Options | Shares | Weighted- | Weighted-Average | Aggregate | ||||||||||
(000s) | Average | Remaining | Intrinsic | |||||||||||
Exercise | Contractual Term | Value | ||||||||||||
Price | (In Years) | (000s) | ||||||||||||
Outstanding at December 29, 2012 | 1,696 | $ | 35.86 | |||||||||||
Exercised | (480 | ) | $ | 34.72 | ||||||||||
Cancelled or expired | (127 | ) | $ | 46.87 | ||||||||||
Outstanding at December 28, 2013 | 1,089 | $ | 35.09 | 1.96 | $ | 9,688 | ||||||||
Vested at December 28, 2013 and expected to vest | 1,089 | $ | 35.09 | 1.96 | $ | 9,688 | ||||||||
Exercisable at December 28, 2013 | 1,089 | $ | 35.09 | 1.96 | $ | 9,688 | ||||||||
Summary of RSAs, RSUs and MSUs Activity | ' | |||||||||||||
RSAs, RSUs and MSUs | Shares | Weighted- | Weighted-Average | Aggregate | ||||||||||
(000s) | Average | Remaining | Intrinsic | |||||||||||
Purchase | Vesting Term | Value | ||||||||||||
Price | (In Years) | (000s) | ||||||||||||
Outstanding at December 29, 2012 | 1,708 | $ | — | |||||||||||
Granted | 1,118 | $ | — | |||||||||||
Issued | (553 | ) | $ | — | ||||||||||
Cancelled or expired | (192 | ) | $ | — | ||||||||||
Outstanding at December 28, 2013 | 2,081 | $ | — | 1.25 | $ | 88,135 | ||||||||
Outstanding at December 28, 2013 and expected to vest | 1,900 | $ | — | 1.25 | $ | 80,471 | ||||||||
Summary of weighted average fair value at the date of grant | ' | |||||||||||||
Year Ended | ||||||||||||||
December 28, | December 29, | December 31, | ||||||||||||
2013 | 2012 | 2011 | ||||||||||||
Per grant of RSAs, RSUs and MSUs | $ | 41.69 | $ | 43.82 | $ | 44.73 | ||||||||
Summary of stock-based payment and stock option values | ' | |||||||||||||
The following summarizes the Company's stock-based payment and stock option values (in thousands): | ||||||||||||||
Year Ended | ||||||||||||||
December 28, | December 29, | December 31, | ||||||||||||
2013 | 2012 | 2011 | ||||||||||||
Intrinsic value of stock options exercised | $ | 4,198 | $ | 9,064 | $ | 8,622 | ||||||||
Intrinsic value of RSAs and RSUs that vested | $ | 23,649 | $ | 40,105 | $ | 38,769 | ||||||||
Grant date fair value of RSAs and RSUs that vested | $ | 24,026 | $ | 31,215 | $ | 29,488 | ||||||||
Schedule of stock-based compensation costs recognized in the Consolidated Statements of Income | ' | |||||||||||||
The following table presents details of stock-based compensation costs recognized in the Consolidated Statements of Income (in thousands): | ||||||||||||||
Year Ended | ||||||||||||||
December 28, | December 29, | December 31, | ||||||||||||
2013 | 2012 | 2011 | ||||||||||||
Cost of revenues | $ | 952 | $ | 1,206 | $ | 1,319 | ||||||||
Research and development | 14,530 | 12,602 | 14,872 | |||||||||||
Selling, general and administrative | 15,318 | 17,368 | 19,924 | |||||||||||
30,800 | 31,176 | 36,115 | ||||||||||||
Income tax benefit | 2,633 | 4,911 | 3,957 | |||||||||||
$ | 28,167 | $ | 26,265 | $ | 32,158 | |||||||||
Summary of shares reserved of common stock for future issuance | ' | |||||||||||||
As of December 28, 2013, the Company had reserved shares of common stock for future issuance as follows (in thousands): | ||||||||||||||
2000 Stock Incentive Plan | 1,092 | |||||||||||||
2009 Stock Incentive Plan | 4,913 | |||||||||||||
2009 Employee Stock Purchase Plan | 636 | |||||||||||||
Total shares reserved | 6,641 | |||||||||||||
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 12 Months Ended | ||||
Dec. 28, 2013 | |||||
Commitments and Contingencies | ' | ||||
Schedule of minimum annual future rentals | ' | ||||
The minimum annual future rentals under the terms of these leases as of December 28, 2013 are as follows (in thousands): | |||||
Fiscal Year | |||||
2014 | $ | 4,232 | |||
2015 | 3,704 | ||||
2016 | 3,058 | ||||
2017 | 2,350 | ||||
2018 | 1,449 | ||||
Thereafter | 682 | ||||
Total minimum lease payments | $ | 15,475 | |||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||||
Dec. 28, 2013 | |||||||||||
Income Taxes | ' | ||||||||||
Components of the provision (benefit) for income taxes | ' | ||||||||||
Significant components of the provision for income taxes are as follows (in thousands): | |||||||||||
Year Ended | |||||||||||
December 28, | December 29, | December 31, | |||||||||
2013 | 2012 | 2011 | |||||||||
Current: | |||||||||||
Domestic | $ | 4,796 | $ | 21,084 | $ | 14,468 | |||||
International | 4,093 | (3,009 | ) | 2,845 | |||||||
Total Current | 8,889 | 18,075 | 17,313 | ||||||||
Deferred: | |||||||||||
Domestic | 5,591 | 5,444 | (70 | ) | |||||||
International | (2,272 | ) | (719 | ) | (375 | ) | |||||
Total Deferred | 3,319 | 4,725 | (445 | ) | |||||||
$ | 12,208 | $ | 22,800 | $ | 16,868 | ||||||
Summary of effective income tax rate reconciliation | ' | ||||||||||
Year Ended | |||||||||||
December 28, | December 29, | December 31, | |||||||||
2013 | 2012 | 2011 | |||||||||
Federal statutory rate | 35 | % | 35 | % | 35 | % | |||||
Foreign tax rate benefit | (8.2 | ) | (11.8 | ) | (11.0 | ) | |||||
Research and development tax credits | (14.6 | ) | (0.5 | ) | (8.5 | ) | |||||
Release of prior year unrecognized tax benefits | — | (8.4 | ) | — | |||||||
Intercompany technology license | — | 11.8 | 10.4 | ||||||||
Excess officer compensation | 1.9 | 1 | 3.2 | ||||||||
Valuation allowance | 3.8 | — | — | ||||||||
Nondeductible acquisition costs | 0.2 | 0.1 | 2.9 | ||||||||
Other | 1.6 | (0.8 | ) | 0.2 | |||||||
19.7 | % | 26.4 | % | 32.2 | % | ||||||
Schedule of components of income before income taxes | ' | ||||||||||
Income before income taxes included the following components (in thousands): | |||||||||||
Year Ended | |||||||||||
December 28, | December 29, | December 31, | |||||||||
2013 | 2012 | 2011 | |||||||||
Domestic | $ | 41,849 | $ | 80,494 | $ | 48,282 | |||||
Foreign | 20,178 | 5,854 | 4,058 | ||||||||
$ | 62,027 | $ | 86,348 | $ | 52,340 | ||||||
Significant components of the Company's deferred taxes | ' | ||||||||||
Significant components of the Company's deferred taxes as of December 28, 2013 and December 29, 2012 are as follows (in thousands): | |||||||||||
December 28, | December 29, | ||||||||||
2013 | 2012 | ||||||||||
Deferred tax assets: | |||||||||||
Net operating loss carryforwards | $ | 38,399 | $ | 35,847 | |||||||
Research and development tax credit carryforwards | 9,276 | 8,447 | |||||||||
Stock-based compensation | 6,757 | 8,133 | |||||||||
Capitalized research and development | 8,999 | 9,708 | |||||||||
Deferred income on shipments to distributors | 5,733 | 3,933 | |||||||||
Accrued liabilities and other | 8,302 | 7,503 | |||||||||
77,466 | 73,571 | ||||||||||
Less: Valuation allowance | (3,775 | ) | (2,114 | ) | |||||||
73,691 | 71,457 | ||||||||||
Deferred tax liabilities: | |||||||||||
Acquired intangibles | 38,444 | 28,653 | |||||||||
Depreciation and amortization | 2,022 | 1,076 | |||||||||
Prepaid expenses and other | 1,889 | 1,447 | |||||||||
42,355 | 31,176 | ||||||||||
Net deferred tax assets | $ | 31,336 | $ | 40,281 | |||||||
Schedule of changes in the unrecognized tax benefits | ' | ||||||||||
The following table reflects changes in the unrecognized tax benefits (in thousands): | |||||||||||
Year Ended | |||||||||||
December 28, | December 29, | December 31, | |||||||||
2013 | 2012 | 2011 | |||||||||
Beginning balance | $ | 4,364 | $ | 10,943 | $ | 10,789 | |||||
Additions based on tax positions related to current year | 316 | 1,818 | 757 | ||||||||
Additions based on tax positions related to prior years | 318 | — | — | ||||||||
Reductions for tax positions related to prior years | — | (8,397 | ) | (603 | ) | ||||||
Ending balance | $ | 4,998 | $ | 4,364 | $ | 10,943 | |||||
Segment_Information_Tables
Segment Information (Tables) | 12 Months Ended | ||||||||||
Dec. 28, 2013 | |||||||||||
Segment Information | ' | ||||||||||
Summary of the Company's revenue by product category | ' | ||||||||||
The following summarizes the Company's revenue by product category (in thousands): | |||||||||||
Year Ended | |||||||||||
December 28, | December 29, | December 31, | |||||||||
2013 | 2012 | 2011 | |||||||||
Broad-based | $ | 281,777 | $ | 270,098 | $ | 208,697 | |||||
Broadcast | 199,837 | 186,067 | 169,548 | ||||||||
Access | 98,473 | 107,129 | 113,380 | ||||||||
Revenues | $ | 580,087 | $ | 563,294 | $ | 491,625 | |||||
Schedule of revenue attributed to geographic area based on the end customer's shipped-to location | ' | ||||||||||
The following summarizes the Company's revenue by geographic area (in thousands): | |||||||||||
Year Ended | |||||||||||
December 28, | December 29, | December 31, | |||||||||
2013 | 2012 | 2011 | |||||||||
United States | $ | 68,566 | $ | 64,856 | $ | 67,432 | |||||
China | 253,261 | 219,400 | 152,533 | ||||||||
Taiwan | 55,036 | 64,150 | 59,208 | ||||||||
Japan | 32,557 | 31,315 | 50,270 | ||||||||
South Korea | 21,303 | 57,910 | 70,252 | ||||||||
Rest of world | 149,364 | 125,663 | 91,930 | ||||||||
Total | $ | 580,087 | $ | 563,294 | $ | 491,625 | |||||
Schedule of property and equipment, net by geographic area | ' | ||||||||||
The following summarizes the Company's property and equipment, net by geographic area (in thousands): | |||||||||||
December 28, | December 29, | ||||||||||
2013 | 2012 | ||||||||||
United States | $ | 126,263 | $ | 127,716 | |||||||
Rest of world | 6,182 | 7,555 | |||||||||
Total | $ | 132,445 | $ | 135,271 | |||||||
Significant_Accounting_Policie2
Significant Accounting Policies (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Basis of Presentation and Principles of Consolidation | ' | ' | ' |
Length of fiscal year | '364 days | '364 days | '364 days |
Advertising | ' | ' | ' |
Advertising expenses | $2 | $1.70 | $1.60 |
Buildings | ' | ' | ' |
Property and Equipment | ' | ' | ' |
Useful life | ' | '40 years | ' |
Leasehold interest in ground leases | ' | ' | ' |
Property and Equipment | ' | ' | ' |
Useful life | ' | '86 years | ' |
Minimum | ' | ' | ' |
Basis of Presentation and Principles of Consolidation | ' | ' | ' |
Length of fiscal year | '364 days | '364 days | '364 days |
Property and Equipment | ' | ' | ' |
Useful life | '3 years | ' | ' |
Long-Lived Assets | ' | ' | ' |
Useful live of purchased intangible assets | '6 years | ' | ' |
Maximum | ' | ' | ' |
Basis of Presentation and Principles of Consolidation | ' | ' | ' |
Length of fiscal year | '371 days | '371 days | '371 days |
Property and Equipment | ' | ' | ' |
Useful life | '7 years | ' | ' |
Long-Lived Assets | ' | ' | ' |
Useful live of purchased intangible assets | '12 years | ' | ' |
Earnings_Per_Share_Details
Earnings Per Share (Details) (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Earnings Per Share | ' | ' | ' |
Net income | $49,819 | $63,548 | $35,472 |
Shares used in computing basic earnings per share | 42,715,000 | 42,136,000 | 43,421,000 |
Effect of dilutive securities: | ' | ' | ' |
Stock options and other stock-based awards (in shares) | 822,000 | 970,000 | 1,411,000 |
Shares used in computing diluted earnings per share | 43,537,000 | 43,106,000 | 44,832,000 |
Earnings per share: | ' | ' | ' |
Basic (in dollars per share) | $1.17 | $1.51 | $0.82 |
Diluted (in dollars per share) | $1.14 | $1.47 | $0.79 |
Shares excluded from computation of diluted earning per share | 400,000 | 500,000 | 400,000 |
Cash_Cash_Equivalents_and_Inve2
Cash, Cash Equivalents and Investments (Details) (USD $) | 12 Months Ended | |
Dec. 28, 2013 | Dec. 29, 2012 | |
Cash, Cash Equivalents and Investments | ' | ' |
Auction-rate securities guaranteed by the U.S. government | $10,400,000 | ' |
Auction-rate securities privately insured | 2,000,000 | ' |
Auction-rate securities having credit rating 'AA' | 6,000,000 | ' |
Auction-rate securities having credit rating 'A' | 2,000,000 | ' |
Auction-rate securities having credit rating 'BBB' | 4,400,000 | ' |
Other-than-temporary impairment losses | 0 | ' |
Cash on hand, Cost | 45,544,000 | 56,690,000 |
Cash on hand, Fair Value | 45,544,000 | 56,690,000 |
Cash and cash equivalents, Cost | 95,800,000 | 105,424,000 |
Cash and cash equivalents, Gross Unrealized Gains | ' | 2,000 |
Cash and cash equivalents, Fair Value | 95,800,000 | 105,426,000 |
Cash Equivalents: | ' | ' |
Available-for-sale securities | ' | ' |
Available-for-sale securities, Cost | 50,256,000 | 48,734,000 |
Available-for-sale securities, Gross Unrealized Gains | ' | 2,000 |
Available-for-sale securities, Fair Value | 50,256,000 | 48,736,000 |
Short-term Investments: | ' | ' |
Available-for-sale securities | ' | ' |
Available-for-sale securities, Cost | 179,365,000 | 176,207,000 |
Available-for-sale securities, Gross Unrealized Losses | -15,000 | -12,000 |
Available-for-sale securities, Gross Unrealized Gains | 243,000 | 370,000 |
Available-for-sale securities, Fair Value | 179,593,000 | 176,565,000 |
Long-term Investments: | ' | ' |
Available-for-sale securities | ' | ' |
Available-for-sale securities, Cost | 12,425,000 | 12,525,000 |
Available-for-sale securities, Gross Unrealized Losses | -1,793,000 | -1,156,000 |
Available-for-sale securities, Fair Value | 10,632,000 | 11,369,000 |
U.S. Treasury bills | Cash Equivalents: | ' | ' |
Available-for-sale securities | ' | ' |
Available-for-sale securities, Cost | ' | 25,049,000 |
Available-for-sale securities, Gross Unrealized Gains | ' | 1,000 |
Available-for-sale securities, Fair Value | ' | 25,050,000 |
Money market funds | Cash Equivalents: | ' | ' |
Available-for-sale securities | ' | ' |
Available-for-sale securities, Cost | 39,538,000 | 22,685,000 |
Available-for-sale securities, Gross Unrealized Gains | ' | 1,000 |
Available-for-sale securities, Fair Value | 39,538,000 | 22,686,000 |
Certificates of deposit | Cash Equivalents: | ' | ' |
Available-for-sale securities | ' | ' |
Available-for-sale securities, Cost | 7,768,000 | ' |
Available-for-sale securities, Fair Value | 7,768,000 | ' |
Commercial paper | Cash Equivalents: | ' | ' |
Available-for-sale securities | ' | ' |
Available-for-sale securities, Cost | 2,499,000 | ' |
Available-for-sale securities, Fair Value | 2,499,000 | ' |
Commercial paper | Short-term Investments: | ' | ' |
Available-for-sale securities | ' | ' |
Available-for-sale securities, Cost | 3,748,000 | ' |
Available-for-sale securities, Fair Value | 3,748,000 | ' |
Municipal bonds | Cash Equivalents: | ' | ' |
Available-for-sale securities | ' | ' |
Available-for-sale securities, Cost | 451,000 | 1,000,000 |
Available-for-sale securities, Fair Value | 451,000 | 1,000,000 |
Municipal bonds | Short-term Investments: | ' | ' |
Available-for-sale securities | ' | ' |
Available-for-sale securities, Cost | 119,289,000 | 45,646,000 |
Available-for-sale securities, Gross Unrealized Losses | -11,000 | -7,000 |
Available-for-sale securities, Gross Unrealized Gains | 182,000 | 50,000 |
Available-for-sale securities, Fair Value | 119,460,000 | 45,689,000 |
Corporate bonds | Short-term Investments: | ' | ' |
Available-for-sale securities | ' | ' |
Available-for-sale securities, Cost | 17,788,000 | 59,089,000 |
Available-for-sale securities, Gross Unrealized Losses | -4,000 | -5,000 |
Available-for-sale securities, Gross Unrealized Gains | 60,000 | 267,000 |
Available-for-sale securities, Fair Value | 17,844,000 | 59,351,000 |
Variable-rate demand notes | Short-term Investments: | ' | ' |
Available-for-sale securities | ' | ' |
Available-for-sale securities, Cost | 38,025,000 | 41,785,000 |
Available-for-sale securities, Fair Value | 38,025,000 | 41,785,000 |
Asset-backed securities | Short-term Investments: | ' | ' |
Available-for-sale securities | ' | ' |
Available-for-sale securities, Cost | 515,000 | 15,058,000 |
Available-for-sale securities, Gross Unrealized Gains | 1,000 | 11,000 |
Available-for-sale securities, Fair Value | 516,000 | 15,069,000 |
U.S. government bonds | Short-term Investments: | ' | ' |
Available-for-sale securities | ' | ' |
Available-for-sale securities, Cost | ' | 12,638,000 |
Available-for-sale securities, Gross Unrealized Gains | ' | 25,000 |
Available-for-sale securities, Fair Value | ' | 12,663,000 |
International government bonds | Short-term Investments: | ' | ' |
Available-for-sale securities | ' | ' |
Available-for-sale securities, Cost | ' | 1,991,000 |
Available-for-sale securities, Gross Unrealized Gains | ' | 17,000 |
Available-for-sale securities, Fair Value | ' | 2,008,000 |
Auction rate securities | Long-term Investments: | ' | ' |
Available-for-sale securities | ' | ' |
Available-for-sale securities, Cost | 12,425,000 | 12,525,000 |
Available-for-sale securities, Gross Unrealized Losses | -1,793,000 | -1,156,000 |
Available-for-sale securities, Fair Value | $10,632,000 | $11,369,000 |
Cash_Cash_Equivalents_and_Inve3
Cash, Cash Equivalents and Investments (Details 2) (USD $) | Dec. 28, 2013 | Dec. 29, 2012 |
In Thousands, unless otherwise specified | ||
Continuous unrealized loss position, Fair Value | ' | ' |
Fair value of available-for-sale securities, continuous loss position for less than twelve months | $13,684 | $26,695 |
Fair value of available-for-sale securities, continuous loss position for twelve months or longer | 10,632 | 11,369 |
Total fair value of available-for-sale securities, continuous loss position | 24,316 | 38,064 |
Continuous unrealized loss position, Gross Unrealized Losses | ' | ' |
Available-for-sale securities, continuous loss position for less than 12 months, gross unrealized losses | -15 | -12 |
Available-for-sale securities, continuous loss position for 12 months or greater, gross unrealized losses | -1,793 | -1,156 |
Available-for-sale securities, total gross unrealized losses | -1,808 | -1,168 |
Cost | ' | ' |
Due in one year or less, Cost | 115,109 | ' |
Due after one year through ten years, Cost | 80,987 | ' |
Due after ten years, Cost | 45,950 | ' |
Total Cost | 242,046 | ' |
Fair Value | ' | ' |
Due in one year or less, Fair Value | 115,177 | ' |
Due after one year through ten years, Fair Value | 81,147 | ' |
Due after ten years, Fair Value | 44,157 | ' |
Total Fair Value | 240,481 | ' |
Municipal bonds | ' | ' |
Continuous unrealized loss position, Fair Value | ' | ' |
Fair value of available-for-sale securities, continuous loss position for less than twelve months | 11,079 | 17,152 |
Total fair value of available-for-sale securities, continuous loss position | 11,079 | 17,152 |
Continuous unrealized loss position, Gross Unrealized Losses | ' | ' |
Available-for-sale securities, continuous loss position for less than 12 months, gross unrealized losses | -11 | -7 |
Available-for-sale securities, total gross unrealized losses | -11 | -7 |
Auction rate securities | ' | ' |
Continuous unrealized loss position, Fair Value | ' | ' |
Fair value of available-for-sale securities, continuous loss position for twelve months or longer | 10,632 | 11,369 |
Total fair value of available-for-sale securities, continuous loss position | 10,632 | 11,369 |
Continuous unrealized loss position, Gross Unrealized Losses | ' | ' |
Available-for-sale securities, continuous loss position for 12 months or greater, gross unrealized losses | -1,793 | -1,156 |
Available-for-sale securities, total gross unrealized losses | -1,793 | -1,156 |
Corporate bonds | ' | ' |
Continuous unrealized loss position, Fair Value | ' | ' |
Fair value of available-for-sale securities, continuous loss position for less than twelve months | 2,605 | 9,543 |
Total fair value of available-for-sale securities, continuous loss position | 2,605 | 9,543 |
Continuous unrealized loss position, Gross Unrealized Losses | ' | ' |
Available-for-sale securities, continuous loss position for less than 12 months, gross unrealized losses | -4 | -5 |
Available-for-sale securities, total gross unrealized losses | ($4) | ($5) |
Derivative_Financial_Instrumen2
Derivative Financial Instruments (Details) (Cash flow hedges, Interest rate swaps, USD $) | Dec. 28, 2013 |
In Millions, unless otherwise specified | |
Cash flow hedges | Interest rate swaps | ' |
Notional amount | ' |
Original notional value | $100 |
Derivative_Financial_Instrumen3
Derivative Financial Instruments (Details 2) (USD $) | 12 Months Ended | |
Dec. 28, 2013 | Dec. 29, 2012 | |
Derivative Financial Instruments | ' | ' |
Description of variable rate | 'LIBOR | ' |
Notional value of interest rate swap agreement hedging headquarters lease | ' | $50,100,000 |
Loss Reclassified from Accumulated OCI into Income (Effective Portion), included in rent and interest expense during period | ' | 900,000 |
Gains or losses from the hedging instrument which was excluded from the assessment of effectiveness | 0 | ' |
Other assets, net | ' | ' |
Derivative financial instrument | ' | ' |
Fair value of interest rate swap | 513,000 | ' |
Other non-current liabilities | ' | ' |
Derivative financial instrument | ' | ' |
Fair value of interest rate swap | ' | $658,000 |
Derivative_Financial_Instrumen4
Derivative Financial Instruments (Details 3) (USD $) | 12 Months Ended | ||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
Derivative Instruments, Gain (Loss) | ' | ' | ' |
Loss Reclassified from Accumulated OCI into Income (Effective Portion), included in rent and interest expense during period | ' | $900,000 | ' |
Reclassification of interest rate swap losses included in accumulated other comprehensive loss into earnings in the next 12 months | 500,000 | ' | ' |
Cash flow hedges | Interest rate swaps | ' | ' | ' |
Derivative Instruments, Gain (Loss) | ' | ' | ' |
Gain (Loss) Recognized in OCI on Derivatives (Effective Portion) during period | 611,000 | -956,000 | -424,000 |
Cash flow hedges | Interest rate swaps | Rent expenses | ' | ' | ' |
Derivative Instruments, Gain (Loss) | ' | ' | ' |
Loss Reclassified from Accumulated OCI into Income (Effective Portion), included in rent and interest expense during period | ' | -2,197,000 | -2,237,000 |
Cash flow hedges | Interest rate swaps | Interest expense | ' | ' | ' |
Derivative Instruments, Gain (Loss) | ' | ' | ' |
Loss Reclassified from Accumulated OCI into Income (Effective Portion), included in rent and interest expense during period | ($560,000) | ($98,000) | ' |
Fair_Value_of_Financial_Instru2
Fair Value of Financial Instruments (Details) (USD $) | Dec. 28, 2013 | Dec. 29, 2012 |
In Thousands, unless otherwise specified | ||
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total cash equivalents | $95,800 | $105,426 |
Total short-term investments | 179,593 | 176,565 |
Total long-term investments | 10,632 | 11,369 |
Assets and liabilities measured at fair value on recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total cash equivalents | 39,538 | 47,736 |
Total short-term investments | ' | 12,663 |
Total assets at fair value | 39,538 | 60,399 |
Assets and liabilities measured at fair value on recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. Treasury bills | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total cash equivalents | ' | 25,050 |
Assets and liabilities measured at fair value on recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Money market funds | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total cash equivalents | 39,538 | 22,686 |
Assets and liabilities measured at fair value on recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. government bonds | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total short-term investments | ' | 12,663 |
Assets and liabilities measured at fair value on recurring basis | Significant Other Observable Inputs (Level 2) | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total cash equivalents | 10,718 | 1,000 |
Total short-term investments | 179,593 | 163,902 |
Derivative instruments | 513 | ' |
Other assets, net | 513 | ' |
Total assets at fair value | 190,824 | 164,902 |
Derivative instruments | ' | 658 |
Total liabilities at fair value | ' | 658 |
Assets and liabilities measured at fair value on recurring basis | Significant Other Observable Inputs (Level 2) | Certificates of deposit | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total cash equivalents | 7,768 | ' |
Assets and liabilities measured at fair value on recurring basis | Significant Other Observable Inputs (Level 2) | Commercial paper | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total cash equivalents | 2,499 | ' |
Total short-term investments | 3,748 | ' |
Assets and liabilities measured at fair value on recurring basis | Significant Other Observable Inputs (Level 2) | Municipal bonds | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total cash equivalents | 451 | 1,000 |
Total short-term investments | 119,460 | 45,689 |
Assets and liabilities measured at fair value on recurring basis | Significant Other Observable Inputs (Level 2) | Variable-rate demand notes | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total short-term investments | 38,025 | 41,785 |
Assets and liabilities measured at fair value on recurring basis | Significant Other Observable Inputs (Level 2) | Corporate bonds | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total short-term investments | 17,844 | 59,351 |
Assets and liabilities measured at fair value on recurring basis | Significant Other Observable Inputs (Level 2) | Asset-backed securities | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total short-term investments | 516 | 15,069 |
Assets and liabilities measured at fair value on recurring basis | Significant Other Observable Inputs (Level 2) | International government bonds | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total short-term investments | ' | 2,008 |
Assets and liabilities measured at fair value on recurring basis | Significant Unobservable Inputs (Level 3) | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total long-term investments | 10,632 | 11,369 |
Total assets at fair value | 10,632 | 11,369 |
Contingent consideration | 12,919 | 2,750 |
Total liabilities at fair value | 12,919 | 2,750 |
Assets and liabilities measured at fair value on recurring basis | Significant Unobservable Inputs (Level 3) | Auction rate securities | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total long-term investments | 10,632 | 11,369 |
Assets and liabilities measured at fair value on recurring basis | Fair Value | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total cash equivalents | 50,256 | 48,736 |
Total short-term investments | 179,593 | 176,565 |
Total long-term investments | 10,632 | 11,369 |
Derivative instruments | 513 | ' |
Other assets, net | 513 | ' |
Total assets at fair value | 240,994 | 236,670 |
Derivative instruments | ' | 658 |
Contingent consideration | 12,919 | 2,750 |
Total liabilities at fair value | 12,919 | 3,408 |
Assets and liabilities measured at fair value on recurring basis | Fair Value | U.S. Treasury bills | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total cash equivalents | ' | 25,050 |
Assets and liabilities measured at fair value on recurring basis | Fair Value | Money market funds | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total cash equivalents | 39,538 | 22,686 |
Assets and liabilities measured at fair value on recurring basis | Fair Value | Certificates of deposit | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total cash equivalents | 7,768 | ' |
Assets and liabilities measured at fair value on recurring basis | Fair Value | Commercial paper | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total cash equivalents | 2,499 | ' |
Total short-term investments | 3,748 | ' |
Assets and liabilities measured at fair value on recurring basis | Fair Value | Municipal bonds | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total cash equivalents | 451 | 1,000 |
Total short-term investments | 119,460 | 45,689 |
Assets and liabilities measured at fair value on recurring basis | Fair Value | Variable-rate demand notes | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total short-term investments | 38,025 | 41,785 |
Assets and liabilities measured at fair value on recurring basis | Fair Value | Corporate bonds | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total short-term investments | 17,844 | 59,351 |
Assets and liabilities measured at fair value on recurring basis | Fair Value | Asset-backed securities | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total short-term investments | 516 | 15,069 |
Assets and liabilities measured at fair value on recurring basis | Fair Value | U.S. government bonds | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total short-term investments | ' | 12,663 |
Assets and liabilities measured at fair value on recurring basis | Fair Value | International government bonds | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total short-term investments | ' | 2,008 |
Assets and liabilities measured at fair value on recurring basis | Fair Value | Auction rate securities | ' | ' |
Financial assets and liabilities measured at fair value on a recurring basis | ' | ' |
Total long-term investments | $10,632 | $11,369 |
Fair_Value_of_Financial_Instru3
Fair Value of Financial Instruments (Details 2) (Auction rate securities, Weighted Average, Discounted cash flow) | 12 Months Ended |
Dec. 28, 2013 | |
Auction rate securities | Weighted Average | Discounted cash flow | ' |
Quantitative information for Level 3 Fair Value Measurements Assets | ' |
Estimated yield (as a percent) | 1.11% |
Expected holding period | '10 years |
Estimated discount rate (as a percent) | 4.05% |
Fair_Value_of_Financial_Instru4
Fair Value of Financial Instruments (Details 3) (Contingent consideration, Monte Carlo simulation) | 12 Months Ended |
Dec. 28, 2013 | |
Quantitative information for Level 3 fair value measurements liabilities | ' |
Expected revenue volatility (as a percent) | 20.00% |
Low end of range | ' |
Quantitative information for Level 3 fair value measurements liabilities | ' |
Expected revenue growth rate (as a percent) | 26.20% |
Expected term | '1 year |
Estimated discount rate (as a percent) | 0.10% |
High end of range | ' |
Quantitative information for Level 3 fair value measurements liabilities | ' |
Expected revenue growth rate (as a percent) | 51.90% |
Expected term | '5 years |
Estimated discount rate (as a percent) | 1.60% |
Fair_Value_of_Financial_Instru5
Fair Value of Financial Instruments (Details 4) (Assets and liabilities measured at fair value on recurring basis, Auction rate securities, USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 |
Assets and liabilities measured at fair value on recurring basis | Auction rate securities | ' | ' |
Fair value assets reconciliation of changes | ' | ' |
Balance at the beginning of the period | $11,369 | $17,477 |
Settlements | -100 | -6,700 |
Gain (loss) included in other comprehensive income | -637 | 592 |
Balance at the end of the period | $10,632 | $11,369 |
Fair_Value_of_Financial_Instru6
Fair Value of Financial Instruments (Details 5) (Assets and liabilities measured at fair value on recurring basis, Contingent consideration, USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 |
Assets and liabilities measured at fair value on recurring basis | Contingent consideration | ' | ' |
Fair value liabilities reconciliation of changes | ' | ' |
Balance at the beginning of the period | $2,750 | $876 |
Issues | 13,964 | 4,004 |
Gain recognized in earnings | -3,795 | -2,130 |
Balance at the end of the period | 12,919 | 2,750 |
Net gain for the period included in earnings attributable to contingent consideration held at the end of the period: | $1,045 | $1,254 |
Balance_Sheet_Details_Details
Balance Sheet Details (Details) (USD $) | Dec. 28, 2013 | Dec. 29, 2012 |
In Thousands, unless otherwise specified | ||
Inventories | ' | ' |
Work in progress | $34,503 | $42,103 |
Finished goods | 10,768 | 7,476 |
Total inventories | 45,271 | 49,579 |
Prepaid Expenses and Other Current Assets | ' | ' |
Distributor Advances | 31,839 | 21,260 |
Other | 15,812 | 20,177 |
Prepaid expenses and other current assets | 47,651 | 41,437 |
Property and Equipment | ' | ' |
Property and equipment, gross | 205,968 | 200,969 |
Accumulated depreciation | -73,523 | -65,698 |
Property and equipment, net | 132,445 | 135,271 |
Accrued Expenses | ' | ' |
Accrued compensation and benefits | 24,896 | 22,298 |
Other | 21,079 | 18,112 |
Accrued expenses | 45,975 | 40,410 |
Other Non-current Liabilities | ' | ' |
Acquisition-related escrow | 20,010 | ' |
Contingent consideration | 12,919 | ' |
Acquired unfavorable leases | 11,268 | 11,794 |
Other | 11,744 | 8,821 |
Other Non-current Liabilities | 55,941 | 20,615 |
Buildings and improvements | ' | ' |
Property and Equipment | ' | ' |
Property and equipment, gross | 94,221 | 90,900 |
Equipment | ' | ' |
Property and Equipment | ' | ' |
Property and equipment, gross | 51,071 | 48,219 |
Computers and purchased software | ' | ' |
Property and Equipment | ' | ' |
Property and equipment, gross | 25,556 | 27,294 |
Leasehold interest in ground leases | ' | ' |
Property and Equipment | ' | ' |
Property and equipment, gross | 23,840 | 23,840 |
Furniture and fixtures | ' | ' |
Property and Equipment | ' | ' |
Property and equipment, gross | 3,496 | 3,129 |
Leasehold improvements | ' | ' |
Property and Equipment | ' | ' |
Property and equipment, gross | $7,784 | $7,587 |
Risks_and_Uncertainties_Detail
Risks and Uncertainties (Details) | 12 Months Ended | ||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
Risks and uncertainties | ' | ' | ' |
Interest rate on unsettled balances due upon demand (as a percent) | 0.00% | ' | ' |
Accounts receivable | Customers | Edom Technology | ' | ' | ' |
Risks and uncertainties | ' | ' | ' |
Concentrations of credit risk (as a percent) | 26.00% | 23.00% | ' |
Accounts receivable | Customers | Arrow Electronics | ' | ' | ' |
Risks and uncertainties | ' | ' | ' |
Concentrations of credit risk (as a percent) | 10.00% | ' | ' |
Accounts receivable | Customers | Arrow Electronics | High end of range | ' | ' | ' |
Risks and uncertainties | ' | ' | ' |
Concentrations of credit risk (as a percent) | ' | 10.00% | ' |
Accounts receivable | Customers | Avnet | ' | ' | ' |
Risks and uncertainties | ' | ' | ' |
Concentrations of credit risk (as a percent) | ' | 12.00% | ' |
Accounts receivable | Customers | Avnet | High end of range | ' | ' | ' |
Risks and uncertainties | ' | ' | ' |
Concentrations of credit risk (as a percent) | 10.00% | ' | ' |
Revenue | Edom Technology | ' | ' | ' |
Risks and uncertainties | ' | ' | ' |
Concentrations of credit risk (as a percent) | 21.00% | 22.00% | 24.00% |
Revenue | Avnet | ' | ' | ' |
Risks and uncertainties | ' | ' | ' |
Concentrations of credit risk (as a percent) | 11.00% | 11.00% | 12.00% |
Revenue | Macnica | ' | ' | ' |
Risks and uncertainties | ' | ' | ' |
Concentrations of credit risk (as a percent) | ' | ' | 10.00% |
Revenue | Macnica | High end of range | ' | ' | ' |
Risks and uncertainties | ' | ' | ' |
Concentrations of credit risk (as a percent) | 10.00% | 10.00% | ' |
Revenue | Customers | Samsung | ' | ' | ' |
Risks and uncertainties | ' | ' | ' |
Concentrations of credit risk (as a percent) | 15.00% | 19.00% | 13.00% |
Acquisitions_Details
Acquisitions (Details) (USD $) | 12 Months Ended | 12 Months Ended | 0 Months Ended | 0 Months Ended | 12 Months Ended | 0 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 0 Months Ended | ||||||||||||||||
Share data in Millions, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 28, 2013 | Oct. 17, 2013 | Jul. 01, 2013 | Dec. 28, 2013 | Jul. 01, 2013 | Jul. 01, 2013 | Jul. 01, 2013 | Dec. 28, 2013 | Jul. 01, 2013 | Jul. 03, 2012 | Jul. 03, 2012 | Jul. 03, 2012 | Jul. 03, 2012 | Dec. 28, 2013 | Jul. 03, 2012 | Sep. 30, 2012 | Sep. 30, 2012 | Sep. 30, 2012 | Dec. 31, 2011 | Jan. 25, 2011 | Jan. 25, 2011 | Jan. 25, 2011 |
Customer relationships | Trademarks | Energy Micro | Energy Micro | Energy Micro | Energy Micro | Energy Micro | Energy Micro | Energy Micro | Energy Micro | Ember | Ember | Ember | Ember | Ember | Ember | Corporate Headquarters Buildings | 400 WCC | 200 WCC | Spectra Linear | Spectra Linear | Spectra Linear | Spectra Linear | ||||
Core and developed technology | Customer relationships | Trademarks | In-process research and development | In-process research and development | Developed technology | Customer relationships | Trademarks | In-process research and development | In-process research and development | item | Core and developed technology | Customer relationships | ||||||||||||||
Acquisition | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase price of acquisition | ' | ' | ' | ' | ' | ' | $140,600,000 | ' | ' | ' | ' | ' | ' | $79,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Estimated fair value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,000,000 | ' | ' |
Initial consideration | ' | ' | ' | ' | ' | 107,400,000 | 107,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Deferred consideration in the form of a promissory note, fair value | ' | ' | ' | ' | ' | ' | 19,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restricted stock exchanged of promissory note in form of deferred consideration on acquisition | ' | ' | ' | ' | ' | ' | 0.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Mandatory period of creditor notice after which the deferred consideration in the form of a promissory note will be exchanged for the entity's restricted stock | ' | ' | ' | ' | ' | ' | '2 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Earn-Out, fair value | 12,919,000 | ' | ' | ' | ' | ' | 14,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Additional consideration on acquisition | ' | ' | ' | ' | ' | 33,300,000 | 33,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Minimum annual revenue growth for additional consideration (as a percent) | ' | ' | ' | ' | ' | ' | 25.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Earn out period | ' | ' | ' | ' | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum annual Earn-Out payment | ' | ' | ' | ' | ' | ' | 6,666,666 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Minimum revenue in single fiscal year from Earn-Out products required to make the entire Earn-Out amount payable | ' | ' | ' | ' | ' | ' | 400,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount of initial consideration held in escrow by the company as security for breaches of representations and warranties and certain other expressly enumerated matters | ' | ' | ' | ' | ' | 20,300,000 | 20,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of Earn-Out contingent on the continued employment of certain key employees | ' | ' | ' | ' | ' | ' | 28.76% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Period of continued employment of key employees for calculating Earn-out portion following acquisition date | ' | ' | ' | ' | ' | ' | '3 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net liabilities assumed | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8,000,000 | ' | ' |
Post combination expenses, additional compensation paid to employees of acquired entity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4,500,000 | ' | ' | ' |
Purchase price allocation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Intangible assets | ' | ' | ' | ' | ' | ' | 55,400,000 | ' | 29,100,000 | 6,400,000 | 1,300,000 | ' | 18,600,000 | 39,140,000 | 17,800,000 | 5,620,000 | 910,000 | ' | 14,810,000 | ' | ' | ' | ' | 17,960,000 | 16,560,000 | 1,400,000 |
Cash and cash equivalents | ' | ' | ' | ' | ' | ' | 919,000 | ' | ' | ' | ' | ' | ' | 3,115,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accounts receivable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,928,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,759,000 | ' | ' |
Inventories | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4,749,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,199,000 | ' | ' |
Other current assets | ' | ' | ' | ' | ' | ' | 6,486,000 | ' | ' | ' | ' | ' | ' | 324,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,658,000 | ' | ' |
Goodwill | 228,781,000 | 130,265,000 | 115,489,000 | ' | ' | ' | 98,515,000 | ' | ' | ' | ' | ' | ' | 14,777,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4,097,000 | ' | ' |
Deferred tax assets - non-current | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 16,449,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 12,316,000 | ' | ' |
Other non-current assets | ' | ' | ' | ' | ' | ' | 3,117,000 | ' | ' | ' | ' | ' | ' | 1,776,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 597,000 | ' | ' |
Notes payable - current portion | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -4,641,000 | ' | ' |
Current liabilities | ' | ' | ' | ' | ' | ' | -8,000,000 | ' | ' | ' | ' | ' | ' | -3,287,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | -3,112,000 | ' | ' |
Non-current deferred tax liabilities, net | ' | ' | ' | ' | ' | ' | -6,288,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term debt | ' | ' | ' | ' | ' | ' | -8,434,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other non-current liabilities | ' | ' | ' | ' | ' | ' | -1,133,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Non-current liabilities | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -3,254,000 | ' | ' |
Total purchase price | ' | ' | ' | ' | ' | ' | 140,582,000 | ' | ' | ' | ' | ' | ' | 78,971,000 | ' | ' | ' | ' | ' | 94,350,000 | ' | ' | ' | 28,579,000 | ' | ' |
Acquisition-related costs recorded in selling, general and administrative expenses | ' | ' | ' | ' | ' | ' | ' | 2,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted-Average Amortization Period | '9 years | ' | ' | '9 years | '10 years | ' | ' | ' | '7 years | '8 years | '8 years | ' | ' | ' | '11 years | '9 years | '12 years | ' | ' | ' | ' | ' | ' | ' | '10 years | '10 years |
Discount rate applicable to the cash flows (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 13.00% | ' | ' | ' | ' | ' | 12.50% | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase option price for buildings | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 44,300,000 | 50,100,000 | ' | ' | ' | ' |
Buildings | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 90,900,000 | ' | ' | ' | ' | ' | ' |
Leasehold interest in ground leases | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 23,840,000 | ' | ' | ' | ' | ' | ' |
Acquired unfavorable leases | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -11,925,000 | ' | ' | ' | ' | ' | ' |
Lease-related charges | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -8,000 | ' | ' | ' | ' | ' | ' |
Net gain on purchase | ' | ($8,457,000) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ($8,457,000) | ' | ' | ' | ' | ' | ' |
Useful life of building | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '40 years | ' | ' | ' | ' | ' | ' |
Useful life of leasehold interest in ground leases | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '86 years | ' | ' | ' | ' | ' | ' |
Number of leases for which purchase prices were fixed | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2 | ' | ' | ' | ' | ' | ' |
Goodwill_and_Other_Intangible_2
Goodwill and Other Intangible Assets (Details) (USD $) | 12 Months Ended | ||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
Goodwill | ' | ' | ' |
Balance at the beginning of the period | $130,265,000 | $115,489,000 | ' |
Additions due to business combinations | 98,516,000 | 14,776,000 | ' |
Balance at the end of the period | 228,781,000 | 130,265,000 | 115,489,000 |
Gross carrying amount and accumulated amortization of other intangible assets | ' | ' | ' |
Weighted-Average Amortization Period | '9 years | ' | ' |
Intangible assets subject to amortization, Gross Amount | 158,050,000 | 107,430,000 | ' |
Intangible assets subject to amortization, Accumulated Amortization | -45,057,000 | -31,490,000 | ' |
Total intangible assets, Gross Amount | 176,650,000 | 122,240,000 | ' |
Intangible assets acquired in acquisition of Energy Micro | 55,400,000 | ' | ' |
Fully amortized intangible assets, gross | 1,000,000 | ' | ' |
Amortization expense related to intangible assets | 14,600,000 | 10,700,000 | 9,900,000 |
Estimated aggregate amortization expense for intangible assets subject to amortization for each of the five succeeding fiscal years | ' | ' | ' |
2014 | 17,060,000 | ' | ' |
2015 | 16,669,000 | ' | ' |
2016 | 16,019,000 | ' | ' |
2017 | 15,052,000 | ' | ' |
2018 | 14,309,000 | ' | ' |
In-process research and development | ' | ' | ' |
Gross carrying amount and accumulated amortization of other intangible assets | ' | ' | ' |
Intangible assets not subject to amortization, Gross and Net Amount | 18,600,000 | 14,810,000 | ' |
Core and developed technology | ' | ' | ' |
Gross carrying amount and accumulated amortization of other intangible assets | ' | ' | ' |
Weighted-Average Amortization Period | '9 years | ' | ' |
Intangible assets subject to amortization, Gross Amount | 138,340,000 | 95,420,000 | ' |
Intangible assets subject to amortization, Accumulated Amortization | -41,782,000 | -30,145,000 | ' |
Customer relationships | ' | ' | ' |
Gross carrying amount and accumulated amortization of other intangible assets | ' | ' | ' |
Weighted-Average Amortization Period | '9 years | ' | ' |
Intangible assets subject to amortization, Gross Amount | 14,500,000 | 8,100,000 | ' |
Intangible assets subject to amortization, Accumulated Amortization | -2,330,000 | -1,057,000 | ' |
Patents | ' | ' | ' |
Gross carrying amount and accumulated amortization of other intangible assets | ' | ' | ' |
Weighted-Average Amortization Period | '6 years | ' | ' |
Intangible assets subject to amortization, Gross Amount | 3,000,000 | 3,000,000 | ' |
Intangible assets subject to amortization, Accumulated Amortization | -750,000 | -250,000 | ' |
Trademarks | ' | ' | ' |
Gross carrying amount and accumulated amortization of other intangible assets | ' | ' | ' |
Weighted-Average Amortization Period | '10 years | ' | ' |
Intangible assets subject to amortization, Gross Amount | 2,210,000 | 910,000 | ' |
Intangible assets subject to amortization, Accumulated Amortization | ($195,000) | ($38,000) | ' |
Debt_Details
Debt (Details) (USD $) | 1 Months Ended | 1 Months Ended | 12 Months Ended | 12 Months Ended | |||||||||||
Jul. 31, 2012 | Dec. 28, 2013 | Sep. 27, 2012 | Jul. 31, 2012 | Dec. 28, 2013 | Jul. 31, 2012 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | |
Term Loan Facility | Term Loan Facility | Term Loan Facility | Agreement | Agreement | Revolving Credit Facility | Term loan facility and revolving credit facility, other than swingline loans | Term loan facility and revolving credit facility, other than swingline loans | Term loan facility and revolving credit facility, other than swingline loans | Term loan facility and revolving credit facility, other than swingline loans | Term loan facility and revolving credit facility, other than swingline loans | Term loan facility and revolving credit facility, other than swingline loans | Term loan facility, revolving credit facility, swingline and other loans | Term loan facility, revolving credit facility, swingline and other loans | Term loan facility, revolving credit facility, swingline and other loans | |
LIBOR | LIBOR | LIBOR | Prime Rate | Federal Funds | one-month LIBOR | Base rate | Base rate | Base rate | |||||||
Low end of range | High end of range | Low end of range | High end of range | ||||||||||||
Debt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity | $100,000,000 | ' | ' | $230,000,000 | ' | $130,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Term of debt instrument | ' | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of principal amortization in each of the first two years | 5.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of years for which the percentage of principal amortization is five percent | '2 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of principal amortization in each of the next three years | 10.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of years for which the percentage of principal amortization is ten percent | '3 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sublimit on letters of credit | ' | ' | ' | ' | ' | 25,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sublimit on swingline loan | ' | ' | ' | ' | ' | 10,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Additional increase in borrowing capacity of the line of credit available at the entity's option | ' | ' | ' | ' | ' | 50,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount borrowed under the term loan facility | ' | ' | 100,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt Instrument Base rate | ' | ' | ' | ' | ' | ' | 'LIBOR | ' | ' | 'Bank of America prime rate | 'Federal Funds rate | 'one-month LIBOR | 'base rate | ' | ' |
Interest rate added to the base rate (as a percent) | ' | ' | ' | ' | ' | ' | ' | 1.50% | 2.50% | ' | 0.50% | 1.00% | ' | 0.50% | 1.50% |
Maximum leverage ratio | ' | ' | ' | ' | 2.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Minimum fixed charge coverage ratio | ' | ' | ' | ' | 1.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fixed interest rate percentage | ' | 0.76% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Combined interest rate percentage | ' | 2.51% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Term Loan Facility | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2014 | ' | 7,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2015 | ' | 10,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2016 | ' | 10,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2017 | ' | 67,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total debt | ' | $95,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stockholders_Equity_Details
Stockholders' Equity (Details) (USD $) | 12 Months Ended | 1 Months Ended | ||||||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Jan. 31, 2014 | Jan. 31, 2013 | Apr. 30, 2012 | Oct. 31, 2011 | Jul. 31, 2010 |
Unrealized Gain (Loss) on Cash Flow Hedge | Unrealized Gain (Loss) on Cash Flow Hedge | Unrealized Gain (Loss) on Cash Flow Hedge | Net Unrealized Losses on Available-For-Sale Securities | Net Unrealized Losses on Available-For-Sale Securities | Net Unrealized Losses on Available-For-Sale Securities | Maximum | Maximum | Maximum | Maximum | Maximum | ||||
Stockholders' Equity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares of common stock issued | 1,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares issued in connection with the acquisition of Energy Micro | 500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stockholders' Equity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Program Amount authorized to repurchase | ' | ' | ' | ' | ' | ' | ' | ' | ' | $100,000 | $50,000 | $100,000 | $50,000 | $150,000 |
Components of accumulated other comprehensive loss, net of taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Balance at beginning of the period | -946 | -2,467 | -3,648 | -428 | -1,299 | -2,477 | -518 | -1,168 | -1,171 | ' | ' | ' | ' | ' |
Other comprehensive income (loss) before reclassifications | 49 | 29 | -273 | 397 | -621 | -276 | -348 | 650 | 3 | ' | ' | ' | ' | ' |
Amounts reclassified from accumulated other comprehensive loss | 213 | 1,492 | 1,454 | 364 | 1,492 | 1,454 | -151 | ' | ' | ' | ' | ' | ' | ' |
Other comprehensive income | 262 | 1,521 | 1,181 | 761 | 871 | 1,178 | -499 | 650 | 3 | ' | ' | ' | ' | ' |
Balance at end of the period | -684 | -946 | -2,467 | 333 | -428 | -1,299 | -1,017 | -518 | -1,168 | ' | ' | ' | ' | ' |
Repurchase of common stock (in shares) | 700,000 | 1,700,000 | 3,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Repurchase of common stock | $26,022 | $62,019 | $110,063 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stockholders_Equity_Details_2
Stockholders' Equity (Details 2) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Amounts Reclassified from AOCI | ' | ' | ' |
Rent expense | ($4,200) | ($4,400) | ($4,500) |
Interest expense | -3,293 | -1,149 | -37 |
Interest income | 853 | 1,338 | 1,859 |
Income before income taxes | 62,027 | 86,348 | 52,340 |
Income tax benefit | -12,208 | -22,800 | -16,868 |
Net income | 49,819 | 63,548 | 35,472 |
Net changes to available-for-sale securities: | ' | ' | ' |
Unrealized gains (losses) arising during the period | 187 | -350 | -1 |
Reclassification for gains included in net income | 81 | ' | ' |
Net changes to cash flow hedges | ' | ' | ' |
Unrealized gains (losses) arising during the period | -214 | 335 | 148 |
Reclassification for losses included in net income | -196 | -803 | -783 |
Other comprehensive income | -142 | -818 | -636 |
Reclassifications From Accumulated Other Comprehensive Loss | ' | ' | ' |
Amounts Reclassified from AOCI | ' | ' | ' |
Income before income taxes | -328 | -2,295 | -2,237 |
Income tax benefit | 115 | 803 | 783 |
Net income | -213 | -1,492 | -1,454 |
Losses on cash flow hedge | Reclassifications From Accumulated Other Comprehensive Loss | ' | ' | ' |
Amounts Reclassified from AOCI | ' | ' | ' |
Rent expense | ' | -2,295 | -2,237 |
Interest expense | -560 | ' | ' |
Gains on available-for-sales securities | Reclassifications From Accumulated Other Comprehensive Loss | ' | ' | ' |
Amounts Reclassified from AOCI | ' | ' | ' |
Interest income | $232 | ' | ' |
StockBased_Compensation_Detail
Stock-Based Compensation (Details) (USD $) | 12 Months Ended | ||||||||||||||||||||
Dec. 29, 2012 | Dec. 28, 2013 | Dec. 31, 2009 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
Market Stock Units | 2009 Stock Incentive Plan | 2009 Stock Incentive Plan | 2009 Stock Incentive Plan | 2009 Stock Incentive Plan | 2009 Stock Incentive Plan | 2009 Stock Incentive Plan | 2009 Stock Incentive Plan | 2009 Stock Incentive Plan | 2009 Stock Incentive Plan | 2009 Stock Incentive Plan | 2009 Stock Incentive Plan | 2009 Stock Incentive Plan | 2009 Stock Incentive Plan | 2000 Stock Incentive Plan | 2000 Stock Incentive Plan | 2000 Stock Incentive Plan | 2009 Employee Stock Purchase Plan | 2009 Employee Stock Purchase Plan | 2009 Employee Stock Purchase Plan | ||
Low end of range | High end of range | Stock options and stock appreciation rights | Stock options | Stock options | Stock options | Full value awards | Full value awards | Full value awards | Market Stock Units | Market Stock Units | Market Stock Units | Low end of range | High end of range | Stock options | |||||||
High end of range | |||||||||||||||||||||
Stock-based compensation costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Term of plan | ' | ' | '10 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares deducted for each share granted under 2009 Stock Incentive Plan | ' | ' | ' | ' | ' | 1 | ' | ' | ' | 1.55 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Award vesting period | ' | ' | ' | '3 years | '4 years | ' | ' | ' | ' | ' | ' | ' | '3 years | ' | ' | '3 years | '8 years | ' | ' | ' | ' |
Minimum exercise price as percentage of fair market value of shares on the date of grant | ' | ' | ' | ' | ' | ' | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 85.00% | ' | ' |
Maximum term of offering | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '24 months | ' | ' |
Term of award | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '10 years | ' | ' | ' |
Number of shares granted | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,100,000 | 800,000 | 800,000 | 132,000 | 110,000 | 55,000 | ' | ' | ' | ' | ' | ' |
Stock options granted (in shares) | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares issued | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 190,000 | 181,000 | 169,000 |
Net reduction in selling, general and administrative expense | $1,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted-average fair value for purchase rights granted (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $9.34 | ' | ' |
Fair value assumptions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expected volatility (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 27.00% | 38.00% | 27.00% |
Risk-free interest rate % | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.10% | 0.20% | 0.20% |
Expected term | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '7 months | '15 months | '11 months |
Cash consideration based upon achievement of specified levels of market conditions | ' | $0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
StockBased_Compensation_Detail1
Stock-Based Compensation (Details 2) (USD $) | 12 Months Ended | ||
Share data in Thousands, except Per Share data, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Summary of stock-based payment and stock option values | ' | ' | ' |
Total unrecognized compensation costs related to awards | $51,200,000 | ' | ' |
Weighted-average period of recognition of unrecognized compensation costs | '2 years 1 month 6 days | ' | ' |
Cash received for the issuance of common stock, net of shares withheld for taxes | 15,300,000 | ' | ' |
Stock options | ' | ' | ' |
Stock options activity | ' | ' | ' |
Outstanding at the beginning of the year (in shares) | 1,696 | ' | ' |
Exercised (in shares) | -480 | ' | ' |
Cancelled or expired (in shares) | -127 | ' | ' |
Outstanding at the end of the period (in shares) | 1,089 | 1,696 | ' |
Vested and expected to vest at the end of the period (in shares) | 1,089 | ' | ' |
Exercisable at the end of the period (in shares) | 1,089 | ' | ' |
Weighted-Average Exercise Price | ' | ' | ' |
Outstanding at the beginning of the year (in dollars per share) | $35.86 | ' | ' |
Exercised (in dollars per share) | $34.72 | ' | ' |
Cancelled or expired (in dollars per share) | $46.87 | ' | ' |
Outstanding at the end of the year (in dollars per share) | $35.09 | $35.86 | ' |
Vested and expected to vest at the end of the period (in dollars per share) | $35.09 | ' | ' |
Exercisable at the end of the period (in dollars per share) | $35.09 | ' | ' |
Weighted-Average Remaining Contractual Term | ' | ' | ' |
Outstanding at the end of the period | '1 year 11 months 16 days | ' | ' |
Vested and expected to vest at the end of the period | '1 year 11 months 16 days | ' | ' |
Exercisable at the end of the period | '1 year 11 months 16 days | ' | ' |
Aggregate Intrinsic Value | ' | ' | ' |
Outstanding at the end of the period (in dollars) | 9,688,000 | ' | ' |
Vested and expected to vest at the end of the period (in dollars) | 9,688,000 | ' | ' |
Options exercisable at the end of the period (in dollars) | 9,688,000 | ' | ' |
Summary of stock-based payment and stock option values | ' | ' | ' |
Intrinsic value of stock options exercised | 4,198,000 | 9,064,000 | 8,622,000 |
RSAs and RSUs | ' | ' | ' |
Summary of stock-based payment and stock option values | ' | ' | ' |
Intrinsic value of RSAs and RSUs that vested | 23,649,000 | 40,105,000 | 38,769,000 |
Grant date fair value of RSAs and RSUs that vested | 24,026,000 | 31,215,000 | 29,488,000 |
RSAs, RSUs and MSUs | ' | ' | ' |
Summary of restricted stock awards and restricted stock units | ' | ' | ' |
Outstanding at the beginning the of year (in shares) | 1,708 | ' | ' |
Granted (in shares) | 1,118 | ' | ' |
Issued (in shares) | -553 | ' | ' |
Cancelled or expired (in shares) | -192 | ' | ' |
Outstanding at the end of the period (in shares) | 2,081 | 1,708 | ' |
Outstanding at the end of the period and expected to vest (in shares) | 1,900 | ' | ' |
Weighted-Average Remaining Vesting Term | ' | ' | ' |
Outstanding at the end of period | '1 year 3 months | ' | ' |
Outstanding at the end of period and expected to vest | '1 year 3 months | ' | ' |
Aggregate Intrinsic Value | ' | ' | ' |
Outstanding at the end of the period (in dollars) | 88,135,000 | ' | ' |
Outstanding at the end of the period and expected to vest (in dollars) | $80,471,000 | ' | ' |
Weighted-average grant date fair value | ' | ' | ' |
Per grant of RSAs, RSUs and MSUs (in dollars per share) | $41.69 | $43.82 | $44.73 |
StockBased_Compensation_Detail2
Stock-Based Compensation (Details 3) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Stock-based compensation costs | ' | ' | ' |
Share based compensation cost before tax | $30,800 | $31,176 | $36,115 |
Income tax benefit | 2,633 | 4,911 | 3,957 |
Share based compensation cost after tax | 28,167 | 26,265 | 32,158 |
Cost of revenues | ' | ' | ' |
Stock-based compensation costs | ' | ' | ' |
Share based compensation cost before tax | 952 | 1,206 | 1,319 |
Research and development | ' | ' | ' |
Stock-based compensation costs | ' | ' | ' |
Share based compensation cost before tax | 14,530 | 12,602 | 14,872 |
Selling, general and administrative | ' | ' | ' |
Stock-based compensation costs | ' | ' | ' |
Share based compensation cost before tax | $15,318 | $17,368 | $19,924 |
StockBased_Compensation_Detail3
Stock-Based Compensation (Details 4) | Dec. 28, 2013 |
In Thousands, unless otherwise specified | |
Stock-Based Compensation | ' |
Reserved shares of common stock for future issuance | 6,641 |
2000 Stock Incentive Plan | ' |
Stock-Based Compensation | ' |
Reserved shares of common stock for future issuance | 1,092 |
2009 Stock Incentive Plan | ' |
Stock-Based Compensation | ' |
Reserved shares of common stock for future issuance | 4,913 |
2009 Employee Stock Purchase Plan | ' |
Stock-Based Compensation | ' |
Reserved shares of common stock for future issuance | 636 |
Employee_Benefit_Plan_Details
Employee Benefit Plan (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Employee Benefit Plan | ' | ' | ' |
Contribution made to the 401 (k) Plan | $3 | $2.90 | $2.70 |
Commitments_and_Contingencies_1
Commitments and Contingencies (Details) (USD $) | 12 Months Ended | 0 Months Ended | 12 Months Ended | ||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Oct. 03, 2013 | Dec. 29, 2012 | |
MaxLinear | MaxLinear | ||||
item | |||||
Commitments and Contingencies | ' | ' | ' | ' | ' |
Rent expense under operating leases | $4,200,000 | $4,400,000 | $4,500,000 | ' | ' |
Minimum annual future rentals | ' | ' | ' | ' | ' |
2014 | 4,232,000 | ' | ' | ' | ' |
2015 | 3,704,000 | ' | ' | ' | ' |
2016 | 3,058,000 | ' | ' | ' | ' |
2017 | 2,350,000 | ' | ' | ' | ' |
2018 | 1,449,000 | ' | ' | ' | ' |
Thereafter | 682,000 | ' | ' | ' | ' |
Total minimum lease payments | 15,475,000 | ' | ' | ' | ' |
Patent Litigation | ' | ' | ' | ' | ' |
Number of patent infringement lawsuits filed | ' | ' | ' | ' | 3 |
One-time payment receivable under the Settlement Agreement | ' | ' | ' | $1,250,000 | ' |
Covenant period related to not to sue | ' | ' | ' | '3 years | ' |
Related_Party_Transactions_Det
Related Party Transactions (Details) (USD $) | 12 Months Ended | 0 Months Ended | 12 Months Ended | 0 Months Ended | ||
Dec. 28, 2013 | Oct. 17, 2013 | Jul. 01, 2013 | Dec. 28, 2013 | Jul. 01, 2013 | Oct. 17, 2013 | |
Energy Micro | Energy Micro | Mr. Bock | Mr. Forre | Mr. Bogen | ||
Energy Micro | Energy Micro | |||||
Related Party Transaction | ' | ' | ' | ' | ' | ' |
Amount paid to related party | $1,500,000 | ' | ' | $0 | ' | ' |
Beneficial ownership percentage | ' | ' | ' | ' | 32.00% | 2.00% |
Initial consideration | ' | 107,400,000 | 107,400,000 | ' | 35,000,000 | 900,000 |
Holdback amount related to potential indemnification claims | ' | 20,300,000 | 20,300,000 | ' | 6,500,000 | 400,000 |
Contingent consideration | ' | 33,300,000 | 33,300,000 | ' | 10,500,000 | 700,000 |
Investment in acquired entity by related party prior to the acquisition | ' | ' | ' | ' | ' | $800,000 |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 12 Months Ended | ||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
Current: | ' | ' | ' |
Domestic | $4,796,000 | $21,084,000 | $14,468,000 |
International | 4,093,000 | -3,009,000 | 2,845,000 |
Total Current | 8,889,000 | 18,075,000 | 17,313,000 |
Deferred: | ' | ' | ' |
Domestic | 5,591,000 | 5,444,000 | -70,000 |
International | -2,272,000 | -719,000 | -375,000 |
Total Deferred | 3,319,000 | 4,725,000 | -445,000 |
Provision for income taxes | 12,208,000 | 22,800,000 | 16,868,000 |
Effective income tax rate reconciliation | ' | ' | ' |
Federal statutory rate (as a percent) | 35.00% | 35.00% | 35.00% |
Foreign tax rate benefit (as a percent) | -8.20% | -11.80% | -11.00% |
Research and development tax credits (as a percent) | -14.60% | -0.50% | -8.50% |
Release of prior year unrecognized tax benefits (as a percent) | ' | -8.40% | ' |
Intercompany technology license (as a percent) | ' | 11.80% | 10.40% |
Excess officer compensation (as a percent) | 1.90% | 1.00% | 3.20% |
Valuation allowance | 3.80% | ' | ' |
Nondeductible acquisition costs (as a percent) | 0.20% | 0.10% | 2.90% |
Other (as a percent) | 1.60% | -0.80% | 0.20% |
Effective income tax rate (as a percent) | 19.70% | 26.40% | 32.20% |
Undistributed earnings of foreign subsidiaries | 292,300,000 | ' | ' |
Income before income taxes | ' | ' | ' |
Domestic | 41,849,000 | 80,494,000 | 48,282,000 |
Foreign | 20,178,000 | 5,854,000 | 4,058,000 |
Income before income taxes | 62,027,000 | 86,348,000 | 52,340,000 |
Valuation allowance related to certain state loss and research and development tax credit carryforwards | 1,700,000 | ' | ' |
Release of valuation allowance due to the expiration of certain state net operating loss carryforwards | 400,000 | ' | ' |
Reduction of valuation allowance related to an adjustment of certain acquired state net operating losses and research and development tax credit carryforwards | 200,000 | ' | ' |
Deferred tax assets: | ' | ' | ' |
Net operating loss carryforwards | 38,399,000 | 35,847,000 | ' |
Research and development tax credit carryforwards | 9,276,000 | 8,447,000 | ' |
Stock-based compensation | 6,757,000 | 8,133,000 | ' |
Capitalized research and development | 8,999,000 | 9,708,000 | ' |
Deferred income on shipments to distributors | 5,733,000 | 3,933,000 | ' |
Accrued liabilities and other | 8,302,000 | 7,503,000 | ' |
Deferred tax assets | 77,466,000 | 73,571,000 | ' |
Less: Valuation allowance | -3,775,000 | -2,114,000 | ' |
Deferred tax assets, net | 73,691,000 | 71,457,000 | ' |
Deferred tax liabilities: | ' | ' | ' |
Acquired intangibles | 38,444,000 | 28,653,000 | ' |
Depreciation and amortization | 2,022,000 | 1,076,000 | ' |
Prepaid expenses and other | 1,889,000 | 1,447,000 | ' |
Deferred tax liabilities | 42,355,000 | 31,176,000 | ' |
Net deferred tax assets | $31,336,000 | $40,281,000 | ' |
Income_Taxes_Details_2
Income Taxes (Details 2) (USD $) | 12 Months Ended | ||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
Operating loss and tax credit carryforwards | ' | ' | ' |
Net deferred tax assets (Liabilities) | $31,336,000 | $40,281,000 | ' |
Provision for U.S. federal and state income taxes | 0 | ' | ' |
Income tax benefit reflected in earnings | -12,208,000 | -22,800,000 | -16,868,000 |
Singapore | ' | ' | ' |
Operating loss and tax credit carryforwards | ' | ' | ' |
Income tax benefit reflected in earnings | 2,200,000 | -13,300,000 | 2,500,000 |
The income tax benefit per diluted share (in dollars per share) | $0.05 | ($0.31) | $0.06 |
State | ' | ' | ' |
Operating loss and tax credit carryforwards | ' | ' | ' |
Operating loss carryforwards | 63,900,000 | ' | ' |
Research and development credit carryforwards | 11,000,000 | ' | ' |
Cygnal Integrated Products, Silicon Clocks, Spectra Linear and Ember | Federal | ' | ' | ' |
Operating loss and tax credit carryforwards | ' | ' | ' |
Operating loss carryforwards | 77,500,000 | ' | ' |
Research and development credit carryforwards | 2,100,000 | ' | ' |
Energy Micro | ' | ' | ' |
Operating loss and tax credit carryforwards | ' | ' | ' |
Net deferred tax assets (Liabilities) | 5,300,000 | ' | ' |
Energy Micro | Foreign | ' | ' | ' |
Operating loss and tax credit carryforwards | ' | ' | ' |
Operating loss carryforwards | $29,600,000 | ' | ' |
Income_Taxes_Details_3
Income Taxes (Details 3) (USD $) | 12 Months Ended | ||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
Changes in unrecognized tax benefits | ' | ' | ' |
Unrecognized tax benefits, balance at the beginning of the period | $4,364,000 | $10,943,000 | $10,789,000 |
Additions based on tax positions related to current year | 316,000 | 1,818,000 | 757,000 |
Additions based on tax positions related to prior years | 318,000 | ' | ' |
Reductions for tax positions related to prior years | ' | -8,397,000 | -603,000 |
Unrecognized tax benefits, balance at the end of the period | 4,998,000 | 4,364,000 | 10,943,000 |
Gross unrecognized tax benefits which would affect the effective tax rate if recognized | 4,800,000 | 4,100,000 | 9,900,000 |
Gross increases in unrecognized tax benefits | 600,000 | ' | ' |
Reasonably possible change in unrecognized tax position end in next twelve months | ' | ' | ' |
Significant Change in Unrecognized Tax Benefits is Reasonably Possible, Amount of Unrecorded Benefit | 1,500,000 | ' | ' |
Income Taxes | ' | ' | ' |
Accrual for the payment of interest related to unrecognized tax positions | ' | 0 | 0 |
Maximum | ' | ' | ' |
Income Taxes | ' | ' | ' |
Interest in the provision for income taxes recognized | 100,000 | ' | ' |
Accrual for the payment of interest related to unrecognized tax positions | $100,000 | ' | ' |
Segment_Information_Details
Segment Information (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
product | |||
segment | |||
Segment Information | ' | ' | ' |
Number of operating segments | 1 | ' | ' |
Number of product categories | 3 | ' | ' |
Revenue and property and equipment, net by geographic area | ' | ' | ' |
Revenues | $580,087 | $563,294 | $491,625 |
Property and equipment, net | 132,445 | 135,271 | ' |
United States | ' | ' | ' |
Revenue and property and equipment, net by geographic area | ' | ' | ' |
Revenues | 68,566 | 64,856 | 67,432 |
Property and equipment, net | 126,263 | 127,716 | ' |
China | ' | ' | ' |
Revenue and property and equipment, net by geographic area | ' | ' | ' |
Revenues | 253,261 | 219,400 | 152,533 |
Taiwan | ' | ' | ' |
Revenue and property and equipment, net by geographic area | ' | ' | ' |
Revenues | 55,036 | 64,150 | 59,208 |
Japan | ' | ' | ' |
Revenue and property and equipment, net by geographic area | ' | ' | ' |
Revenues | 32,557 | 31,315 | 50,270 |
South Korea | ' | ' | ' |
Revenue and property and equipment, net by geographic area | ' | ' | ' |
Revenues | 21,303 | 57,910 | 70,252 |
Rest of world | ' | ' | ' |
Revenue and property and equipment, net by geographic area | ' | ' | ' |
Revenues | 149,364 | 125,663 | 91,930 |
Property and equipment, net | 6,182 | 7,555 | ' |
Broad-based | ' | ' | ' |
Revenue and property and equipment, net by geographic area | ' | ' | ' |
Revenues | 281,777 | 270,098 | 208,697 |
Broadcast | ' | ' | ' |
Revenue and property and equipment, net by geographic area | ' | ' | ' |
Revenues | 199,837 | 186,067 | 169,548 |
Access | ' | ' | ' |
Revenue and property and equipment, net by geographic area | ' | ' | ' |
Revenues | $98,473 | $107,129 | $113,380 |
SCHEDULE_II_VALUATION_AND_QUAL1
SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS (Details) (Valuation Allowance for Deferred Tax Assets, USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 |
Valuation Allowance for Deferred Tax Assets | ' | ' |
Valuation Allowance | ' | ' |
Balance at Beginning of Period | $2,114 | ' |
Charged to Expenses | 2,335 | ' |
Charged to Goodwill | ' | 2,114 |
Deductions | -674 | ' |
Balance at End of Period | $3,775 | $2,114 |