Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Feb. 24, 2014 | Jun. 30, 2013 | |
Document and Entity Information | ' | ' | ' |
Entity Registrant Name | 'AXCELIS TECHNOLOGIES INC | ' | ' |
Entity Central Index Key | '0001113232 | ' | ' |
Document Type | '10-K | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
Amendment Flag | 'false | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Filer Category | 'Accelerated Filer | ' | ' |
Entity Public Float | ' | ' | $194,738,957 |
Entity Common Stock, Shares Outstanding | ' | 110,711,182 | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Revenue | ' | ' | ' |
Product | $169,587 | $174,309 | $287,324 |
Services | 26,045 | 29,076 | 32,092 |
Total revenue | 195,632 | 203,385 | 319,416 |
Cost of revenue | ' | ' | ' |
Product | 106,678 | 123,593 | 181,241 |
Services | 21,019 | 21,621 | 23,438 |
Total cost of revenue | 127,697 | 145,214 | 204,679 |
Gross profit | 67,935 | 58,171 | 114,737 |
Operating expenses | ' | ' | ' |
Research and development | 34,756 | 40,401 | 47,176 |
Sales and marketing | 21,159 | 25,889 | 29,255 |
General and administrative | 25,471 | 26,554 | 31,174 |
Gain on sale of dry strip assets and intellectual property | -1,167 | -7,904 | ' |
Restructuring charges | 2,334 | 4,169 | ' |
Total operating expenses | 82,553 | 89,109 | 107,605 |
Income (loss) from operations | -14,618 | -30,938 | 7,132 |
Other income (expense) | ' | ' | ' |
Interest income | 44 | 45 | 42 |
Interest expense | -457 | ' | ' |
Other, net | -1,073 | -1,495 | 297 |
Total other income (expense) | -1,486 | -1,450 | 339 |
Income (loss) before income taxes | -16,104 | -32,388 | 7,471 |
Income taxes | 1,040 | 1,646 | 2,394 |
Net income (loss) | ($17,144) | ($34,034) | $5,077 |
Net income (loss) per share | ' | ' | ' |
Basic (in dollars per share) | ($0.16) | ($0.32) | $0.05 |
Diluted (in dollars per share) | ($0.16) | ($0.32) | $0.05 |
Shares used in computing net income (loss) per share | ' | ' | ' |
Basic (in shares) | 108,869 | 107,619 | 106,234 |
Diluted (in shares) | 108,869 | 107,619 | 109,098 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (Loss) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Consolidated Statements of Comprehensive Income (Loss) | ' | ' | ' |
Net income (loss) | ($17,144) | ($34,034) | $5,077 |
Other comprehensive income: | ' | ' | ' |
Foreign currency translation adjustments | 695 | 642 | -1,465 |
Actuarial net (loss) gain from pension plan, net of benefit (taxes) of ($15), $178 and ($4) | 24 | -399 | 10 |
Comprehensive income (loss) | ($16,425) | ($33,791) | $3,622 |
Consolidated_Statements_of_Com1
Consolidated Statements of Comprehensive Income (Loss) (Parenthetical) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Consolidated Statements of Comprehensive Income (Loss) | ' | ' | ' |
Actuarial net (loss) gain from pension plan, benefit (taxes) | ($15) | $178 | ($4) |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Current assets | ' | ' |
Cash and cash equivalents | $46,290 | $44,986 |
Accounts receivable, net | 36,587 | 24,843 |
Inventories, net | 95,789 | 100,234 |
Restricted cash | ' | 106 |
Prepaid expenses and other current assets | 6,242 | 5,056 |
Total current assets | 184,908 | 175,225 |
Property, plant and equipment, net | 32,006 | 34,413 |
Long-term restricted cash | 825 | ' |
Other assets | 15,810 | 12,520 |
Total assets | 233,549 | 222,158 |
Current liabilities | ' | ' |
Accounts payable | 19,451 | 10,166 |
Accrued compensation | 4,845 | 7,283 |
Warranty | 1,316 | 1,700 |
Income taxes | 417 | 278 |
Deferred revenue | 4,387 | 6,423 |
Current portion of long-term debt | 471 | ' |
Other current liabilities | 4,573 | 3,932 |
Total current liabilities | 35,460 | 29,782 |
Long-term debt | 14,529 | ' |
Long-term deferred revenue | 322 | 456 |
Other long-term liabilities | 7,236 | 5,844 |
Total liabilities | 57,547 | 36,082 |
Commitments and contingencies (Note 16) | ' | ' |
Stockholders' equity | ' | ' |
Preferred stock, $0.001 par value, 30,000 shares authorized; none issued or outstanding | ' | ' |
Common stock, $0.001 par value, 300,000 shares authorized; 110,225 shares issued and 110,105 shares outstanding at December 31, 2013; 108,293 shares issued and 108,173 shares outstanding at December 31, 2012 | 110 | 108 |
Additional paid-in capital | 510,992 | 504,643 |
Treasury stock, at cost, 120 shares at December 31, 2013 and 2012 | -1,218 | -1,218 |
Accumulated deficit | -339,621 | -322,477 |
Accumulated other comprehensive income | 5,739 | 5,020 |
Total stockholders' equity | 176,002 | 186,076 |
Total liabilities and stockholders' equity | $233,549 | $222,158 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, except Per Share data, unless otherwise specified | ||
Consolidated Balance Sheets | ' | ' |
Preferred stock, par value (in dollars per share) | $0.00 | $0.00 |
Preferred stock, shares authorized | 30,000 | 30,000 |
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 | 300,000 | 300,000 |
Common stock, shares issued | 110,225 | 108,293 |
Common stock, shares outstanding | 110,105 | 108,173 |
Treasury stock, shares | 120 | 120 |
Consolidated_Statements_of_Sto
Consolidated Statements of Stockholders' Equity (USD $) | Total | Common Stock | Additional Paid-in Capital | Treasury Stock | Accumulated Deficit | Accumulated Other Comprehensive Income (Loss) |
In Thousands, unless otherwise specified | ||||||
Balance at Dec. 31, 2010 | $205,567 | $106 | $493,967 | ($1,218) | ($293,520) | $6,232 |
Balance (in shares) at Dec. 31, 2010 | ' | 105,906 | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' | ' |
Net income (loss) | 5,077 | ' | ' | ' | 5,077 | ' |
Foreign currency translation adjustments | -1,465 | ' | ' | ' | ' | -1,465 |
Change in pension | 10 | ' | ' | ' | ' | 10 |
Exercise of stock options | 288 | ' | 288 | ' | ' | ' |
Exercise of stock options (in shares) | ' | 372 | ' | ' | ' | ' |
Issuance of shares under Employee Stock Purchase Plan | 503 | 1 | 502 | ' | ' | ' |
Issuance of shares under Employee Stock Purchase Plan (in shares) | ' | 398 | ' | ' | ' | ' |
Issuance of restricted common shares | -112 | ' | -112 | ' | ' | ' |
Issuance of restricted common shares (in shares) | ' | 133 | ' | ' | ' | ' |
Stock-based compensation expense | 4,687 | ' | 4,687 | ' | ' | ' |
Balance at Dec. 31, 2011 | 214,555 | 107 | 499,332 | -1,218 | -288,443 | 4,777 |
Balance (in shares) at Dec. 31, 2011 | ' | 106,809 | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' | ' |
Net income (loss) | -34,034 | ' | ' | ' | -34,034 | ' |
Foreign currency translation adjustments | 642 | ' | ' | ' | ' | 642 |
Change in pension | -399 | ' | ' | ' | ' | -399 |
Exercise of stock options | 968 | 1 | 967 | ' | ' | ' |
Exercise of stock options (in shares) | ' | 1,148 | ' | ' | ' | ' |
Issuance of shares under Employee Stock Purchase Plan | 390 | ' | 390 | ' | ' | ' |
Issuance of shares under Employee Stock Purchase Plan (in shares) | ' | 306 | ' | ' | ' | ' |
Issuance of restricted common shares | -22 | ' | -22 | ' | ' | ' |
Issuance of restricted common shares (in shares) | ' | 30 | ' | ' | ' | ' |
Stock-based compensation expense | 3,976 | ' | 3,976 | ' | ' | ' |
Balance at Dec. 31, 2012 | 186,076 | 108 | 504,643 | -1,218 | -322,477 | 5,020 |
Balance (in shares) at Dec. 31, 2012 | ' | 108,293 | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' | ' |
Net income (loss) | -17,144 | ' | ' | ' | -17,144 | ' |
Foreign currency translation adjustments | 695 | ' | ' | ' | ' | 695 |
Change in pension | 24 | ' | ' | ' | ' | 24 |
Exercise of stock options | 1,669 | 2 | 1,667 | ' | ' | ' |
Exercise of stock options (in shares) | ' | 1,511 | ' | ' | ' | ' |
Issuance of shares under Employee Stock Purchase Plan | 436 | ' | 436 | ' | ' | ' |
Issuance of shares under Employee Stock Purchase Plan (in shares) | ' | 206 | ' | ' | ' | ' |
Issuance of restricted common shares | -26 | ' | -26 | ' | ' | ' |
Issuance of restricted common shares (in shares) | ' | 215 | ' | ' | ' | ' |
Stock-based compensation expense | 4,272 | ' | 4,272 | ' | ' | ' |
Balance at Dec. 31, 2013 | $176,002 | $110 | $510,992 | ($1,218) | ($339,621) | $5,739 |
Balance (in shares) at Dec. 31, 2013 | ' | 110,225 | ' | ' | ' | ' |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Cash flows from operating activities | ' | ' | ' |
Net income (loss) | ($17,144) | ($34,034) | $5,077 |
Adjustments to reconcile net income (loss) to net cash (used for) provided by operating activities: | ' | ' | ' |
Depreciation and amortization | 5,075 | 6,877 | 8,497 |
Gain on sale of dry strip assets and intellectual property | -1,167 | -7,904 | ' |
Deferred taxes | -1,465 | 826 | 585 |
Other | ' | 186 | 28 |
Stock-based compensation expense | 4,337 | 3,976 | 4,687 |
Provision for excess inventory | 2,562 | 14,492 | 1,015 |
Changes in operating assets & liabilities | ' | ' | ' |
Accounts receivable | -11,528 | 10,478 | 22,692 |
Inventories | 2,209 | 5,903 | -11,870 |
Prepaid expenses and other current assets | 125 | 4,386 | 3,049 |
Accounts payable and other current liabilities | 7,308 | -13,490 | -17,940 |
Deferred revenue | -2,181 | -5,396 | -4,006 |
Income taxes | 133 | -225 | 507 |
Other assets and liabilities | -3,306 | 3,328 | -8,788 |
Net cash (used for) provided by operating activities | -15,042 | -10,597 | 3,533 |
Cash flows from investing activities | ' | ' | ' |
Proceeds from sale of dry strip assets and intellectual property | 1,200 | 8,716 | ' |
Expenditures for property, plant, and equipment | -821 | -591 | -2,124 |
Decrease (increase) in restricted cash | 106 | -2 | 3 |
Net cash provided by (used for) investing activities | 485 | 8,123 | -2,121 |
Cash flows from financing activities | ' | ' | ' |
Increase in restricted cash | -825 | ' | ' |
Financing fees and other expenses | -560 | ' | -200 |
Proceeds from exercise of stock options | 1,669 | 968 | 288 |
Proceeds from Employee Stock Purchase Plan | 436 | 331 | 503 |
Proceeds from issuance of Term Loan | 15,000 | ' | ' |
Net cash provided by financing activities | 15,720 | 1,299 | 591 |
Effect of exchange rate changes on cash | 141 | -716 | -869 |
Net increase (decrease) in cash and cash equivalents | 1,304 | -1,891 | 1,134 |
Cash and cash equivalents at beginning of period | 44,986 | 46,877 | 45,743 |
Cash and cash equivalents at end of period | 46,290 | 44,986 | 46,877 |
Cash paid for: | ' | ' | ' |
Income taxes | 737 | 848 | 515 |
Interest paid | $409 | ' | ' |
Nature_of_Business
Nature of Business | 12 Months Ended |
Dec. 31, 2013 | |
Nature of Business | ' |
Nature of Business | ' |
Note 1. Nature of Business | |
Axcelis Technologies, Inc. ("Axcelis" or the "Company") was incorporated in Delaware in 1995, and is a worldwide producer of ion implantation, dry strip and other processing equipment used in the fabrication of semiconductor chips in the United States, Europe and Asia. In addition, the Company provides extensive aftermarket service and support, including spare parts, equipment upgrades, used equipment and maintenance services to the semiconductor industry. | |
In December 2012, the Company sold its intellectual property rights and certain assets relating to the Company's dry strip product line for cash proceeds of $8.7 million. These amounts were partially offset by additional costs associated with the lab system purchased by Lam. As a result of this transaction, the Company ceased the sale of 300mm dry strip wafer processing equipment in September 2013. The Company will be able to continue to sell dry strip systems for smaller wafers until December 2015 and to support its installed base of all dry strip systems indefinitely. A portion of the purchase consideration (up to $2.0 million) was contingent upon the Company achieving certain milestones by June 30, 2013. The Company recorded $1.2 million for the proceeds received based on its achievement of milestones during 2013. See Note 3 for additional information relating to the accounting for the sale of the dry strip assets and intellectual property. | |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Summary of Significant Accounting Policies | ' | ||||||||||
Summary of Significant Accounting Policies | ' | ||||||||||
Note 2. Summary of Significant Accounting Policies | |||||||||||
The accompanying consolidated financial statements reflect the application of certain significant accounting policies as described in this note and elsewhere in the footnotes. | |||||||||||
(a) Basis of Presentation | |||||||||||
The accompanying consolidated financial statements include the accounts of the Company and its wholly-owned, controlled subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. | |||||||||||
Events occurring subsequent to December 31, 2013 have been evaluated for potential recognition or disclosure in the consolidated financial statements. | |||||||||||
(b) Use of Estimates | |||||||||||
The preparation of these consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the dates of the financial statements and the reported amounts of revenue and expenses during the reporting periods. On an ongoing basis, the Company evaluates its estimates and judgments, including those related to revenue recognition, the realizable value of inventories, valuing share-based compensation instruments and valuation allowances for deferred tax assets. Actual amounts could differ from these estimates. Changes in estimates are recorded in the period in which they become known. | |||||||||||
(c) Foreign Currency | |||||||||||
The Company has determined the functional currency for substantially all operations outside the United States is the local currency. Financial statements for these operations are translated into United States dollars at year-end rates as to assets and liabilities and average exchange rates during the year as to revenue and expenses. The resulting translation adjustments are recorded in stockholders' equity as an element of accumulated other comprehensive income (loss). Foreign currency transaction gains and losses are included in other income (expense) in the Consolidated Statements of Operations. | |||||||||||
For the year ended December 31, 2013 the Company realized $0.3 million of foreign exchange losses. For the year ended December 31, 2012 the Company realized $0.9 million of foreign exchange losses. For the year ended December 31, 2011 the Company realized $1.2 million of foreign exchange gains. | |||||||||||
(d) Cash and Cash Equivalents | |||||||||||
Cash and cash equivalents consist of cash on hand and highly liquid investments with original maturities of ninety days or less. Cash equivalents consist primarily of money market securities and certificates of deposit. Cash equivalents are carried on the balance sheet at fair market value. | |||||||||||
(e) Inventories | |||||||||||
Inventories are carried at lower of cost, determined using the first-in, first-out ("FIFO") method, or market. The Company periodically reviews its inventories and makes provisions as necessary for estimated obsolescence or damaged goods to ensure values approximate lower of cost or market. The amount of such markdowns is equal to the difference between cost of inventory and the estimated market value based upon assumptions about future demands, selling prices, and market conditions. | |||||||||||
The Company records an allowance for estimated excess inventory. The allowance is determined using management's assumptions of materials usage, based on estimates of demand and market conditions. If actual market conditions become less favorable than those projected by management, additional inventory write-downs may be required. | |||||||||||
(f) Property, Plant and Equipment | |||||||||||
Property and equipment are stated at cost, less accumulated depreciation and amortization. | |||||||||||
Depreciation and amortization are recorded using the straight-line method over the estimated useful lives of the related assets as follows: | |||||||||||
Asset Classification | Estimated Useful Life | ||||||||||
Buildings | 40 years | ||||||||||
Machinery and equipment | 3 to 10 years | ||||||||||
Repairs and maintenance costs are expensed as incurred. Expenditures for renewals and betterments are capitalized. | |||||||||||
(g) Impairment of Long-Lived Assets | |||||||||||
The Company records impairment losses on long-lived assets when events and circumstances indicate that these assets might not be recoverable. Recoverability is measured by a comparison of the assets' carrying amount to their expected future undiscounted net cash flows. If such assets are considered to be impaired, the impairment is measured based on the amount by which the carrying value exceeds its fair value. | |||||||||||
The Company completed a test for recoverability due to indicators of impairment present during interim periods in 2013. There were no indicators present at December 31, 2013 and therefore no test for recoverability was performed as of December 31, 2013. Results of tests for recoverability performed in 2013 indicated that the carrying value of the asset group was recoverable. | |||||||||||
The Company completed a test for recoverability due to indicators present at December 31, 2012; specifically the carrying value of its net assets exceeded its current market capitalization. As of December 31, 2012, the undiscounted cash flows used in the analysis significantly exceeded the carrying value of the Company's assets. As a result no impairment was recorded. The undiscounted cash flows used in the analysis were derived from the Company's long-term strategic plan. | |||||||||||
The Company did not record an impairment charge for the years ended December 31, 2013, 2012, or 2011. | |||||||||||
Future actual performance could be materially different from our current forecasts, which could impact future estimates of undiscounted cash flows and may result in the impairment of the carrying amount of the long-lived assets in the future. This could be caused by strategic decisions made in response to economic and competitive conditions, the impact of the economic environment on our customer base, or a material adverse change in the Company's relationships with significant customers. The Company performs an impairment analysis when circumstances or events warrant. | |||||||||||
(h) Concentration of Risk and Off-Balance Sheet Risk | |||||||||||
Financial instruments that potentially subject the Company to concentrations of credit risk are principally cash equivalents and accounts receivable. The Company's cash equivalents are principally maintained in an investment grade money-market fund. | |||||||||||
The Company has no significant off-balance-sheet risk such as foreign exchange contracts, option contracts or other foreign hedging arrangements. | |||||||||||
The Company exposure to market risk for changes in interest rates relates primarily to cash equivalents. The primary objective of the Company's investment activities is to preserve principal while maximizing yields without significantly increasing risk. This is accomplished by investing in marketable high investment grade securities. The Company does not use derivative financial instruments to manage its investment portfolio and does not expect operating results or cash flows to be affected to any significant degree by any change in market interest rates. | |||||||||||
The Company performs ongoing credit evaluations of its customers' financial condition and generally requires no collateral to secure accounts receivable. For selected overseas sales, the Company requires customers to obtain letters of credit before product is shipped. The Company maintains an allowance for doubtful accounts based on its assessment of the collectability of accounts receivable. The Company reviews the allowance for doubtful accounts monthly. The Company does not have any off-balance sheet credit exposure related to its customers. | |||||||||||
The Company's customers consist of semiconductor manufacturers located throughout the world and net sales to its ten largest customers accounted for 69.1%, 70.6% and 68.6% of revenue in 2013, 2012 and 2011, respectively. | |||||||||||
For the years ended December 31, 2013, 2012 and 2011, the Company had one customer represent 15.5%, 18.2% and 21.2% of total revenues, respectively, for each of the periods presented. | |||||||||||
For the year ended December 31, 2013, the Company had three customers account for 23.2%, 14.2% and 13.6% of consolidated accounts receivable, respectively. For the year ended December 31, 2012, the Company had two customers account for 11.9% and 11.5% of consolidated accounts receivable, respectively. | |||||||||||
Some of the components and sub-assemblies included in the Company's products are obtained either from a sole source or a limited group of suppliers. Disruption to the Company's supply source, resulting either from depressed economic conditions or other factors, could affect its ability to deliver products to its customers. | |||||||||||
(i) Revenue Recognition | |||||||||||
The Company's revenue recognition policy involves significant judgment by management. As described below, the Company considers a broad array of facts and circumstances in determining when to recognize revenue, including contractual obligations to the customer, the complexity of the customer's post-delivery acceptance provisions, payment history, customer creditworthiness and the installation process. In the future, if the post-delivery acceptance provisions and installation process become more complex or result in a materially lower rate of acceptance, the Company may have to revise its revenue recognition policy, which could delay the timing of revenue recognition. | |||||||||||
The Company's system sales transactions are made up of multiple elements, including the system itself and elements that are not delivered simultaneously with the system. These undelivered elements might include a combination of installation services, extended warranty and support and spare parts, all of which are covered generally by a single sales price. | |||||||||||
The Company's system revenue arrangements with multiple elements are divided into separate units of accounting if specified criteria are met, including whether the delivered element has stand-alone value to the customer. If the criteria are met, then the consideration received is allocated among the separate units based on their relative selling price, and the revenue is recognized separately for each of the separate units. | |||||||||||
The Company determines selling price for each unit of accounting (element) using vendor specific objective evidence (VSOE) or third-party evidence (TPE), if they exist, otherwise, the Company uses best estimated selling price (BESP). The Company generally expects that it will not be able to establish TPE due to the nature of its products, and, as such, the Company typically will determine selling price using VSOE or BESP. | |||||||||||
Where required, the Company determines BESP for an individual element based on consideration of both market and Company-specific factors, including the selling price and profit margin for similar products, the cost to produce the deliverable and the anticipated margin on that deliverable and the characteristics of the varying markets in which the deliverable is sold. | |||||||||||
Systems are not sold separately and VSOE or TPE is not available for the systems element. Therefore the selling price associated with systems is based on BESP. The allocated value for installation in the arrangement includes the greater of (i) the relative selling price of the installation or (ii) the portion of the sales price that will not be received until the installation is completed (the "retention"). The selling price of installation is based upon the fair value of the service performed, including labor, which is based upon the estimated time to complete the installation at hourly rates, and material components, both of which are sold separately. The selling price of all other elements (extended warranty for support, spare parts, and labor) is based upon the price charged when these elements are sold separately, or VSOE. | |||||||||||
Product revenue for products which have demonstrated market acceptance, is generally recognized upon shipment provided title and risk of loss has passed to the customer, evidence of an arrangement exists, prices are contractually fixed or determinable, collectability is reasonably assured through historical collection results and regular credit evaluations, and there are no uncertainties regarding customer acceptance. Revenue from installation services is recognized at the time acceptance has occurred, as defined in the sales documentation or, for certain customers, when both acceptance has occurred and retention payment has been received. Revenue for other elements is recognized at the time products are shipped or the related services are performed. | |||||||||||
The Company generally recognizes revenue for products which have demonstrated market acceptance at the time of shipment because the customer's post-delivery acceptance provisions and installation process have been established to be routine, commercially inconsequential and perfunctory. The Company believes the risk of failure to complete a system installation is remote. | |||||||||||
For initial shipments of systems with new technologies or in the small number of instances where the Company is unsure of meeting the customer's specifications or obtaining customer acceptance upon shipment of the system, it will defer the recognition of systems revenue and related costs until written customer acceptance of the system is obtained. This deferral period is generally within twelve months of shipment. | |||||||||||
Revenue related to maintenance and service contracts is recognized ratably over the duration of the contracts, or based on parts usage, where appropriate. Revenue related to service hours is recognized when the services are performed. | |||||||||||
Product revenue includes revenue from system sales, sales of spare parts, the spare parts component of maintenance and service contracts and product upgrades. Service revenue includes the labor component of maintenance and service contract amounts charged for on-site service personnel. | |||||||||||
(j) Shipping and Handling Costs | |||||||||||
Shipping and handling costs are included in cost of revenue. | |||||||||||
(k) Stock-Based Compensation | |||||||||||
The Company generally recognizes compensation expense for all share-based payments to employees and directors, including grants of employee stock options, based on the grant-date fair value of those share-based payments using the Black-Scholes option pricing model, adjusted for expected forfeitures. Other valuation models may be utilized in the limited circumstances where awards with performance-based vesting considerations such as the price of the Company's common stock are granted. Stock-based compensation expense is recognized ratably over the requisite service period. | |||||||||||
See Note 13 for additional information relating to stock-based compensation. | |||||||||||
(l) Income Taxes | |||||||||||
The Company records income taxes using the asset and liability method. Deferred income tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective income tax bases, and operating loss and tax credit carryforwards. | |||||||||||
The Company's consolidated financial statements contain certain deferred tax assets which have arisen primarily as a result of operating losses, as well as other temporary differences between financial and tax accounting. The Company establishes a valuation allowance if the likelihood of realization of the deferred tax assets is reduced based on an evaluation of objective verifiable evidence. Significant management judgment is required in determining the Company's provision for income taxes, the Company's deferred tax assets and liabilities and any valuation allowance recorded against those net deferred tax assets. The Company evaluates the weight of all available evidence to determine whether it is more likely than not that some portion or all of the net deferred income tax assets will not be realized. | |||||||||||
Income taxes include the largest amount of tax benefit for an uncertain tax position that is more likely than not to be sustained upon audit based on the technical merits of the tax position. Settlements with tax authorities, the expiration of statutes of limitations for particular tax positions, or obtaining new information on particular tax positions may cause a change to the effective tax rate. The Company recognizes accrued interest related to unrecognized tax benefits as interest expense and penalties as operating expense in the consolidated statements of operations. | |||||||||||
(m) Computation of Net Income (Loss) per Share | |||||||||||
Basic earnings per share is computed by dividing income available to common stockholders (the numerator) by the weighted-average number of common shares outstanding (the denominator) for the period. The computation of diluted earnings per share is similar to basic earnings per share, except that the denominator is increased to include the number of additional common shares that would have been outstanding if the potentially dilutive common shares had been issued, calculated using the treasury stock method. | |||||||||||
The Company incurred net losses for the years ended December 31, 2013 and December 31, 2012, and has excluded 3,547,578 and 1,563,417 incremental shares attributable to outstanding stock options, restricted stock and restricted stock units from the calculation of net loss per share because the effect would have been anti-dilutive. | |||||||||||
The components of net income (loss) per share are as follows: | |||||||||||
Years Ended December 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
(in thousands, except per share data) | |||||||||||
Income (loss) available to common stockholders | $ | (17,144 | ) | $ | (34,034 | ) | $ | 5,077 | |||
| | | | | | | | | | | |
| | | | | | | | | | | |
Weighted average common shares outstanding used in computing basic net income (loss) per share | 108,869 | 107,619 | 106,234 | ||||||||
Incremental shares | — | — | 2,864 | ||||||||
| | | | | | | | | | | |
Weighted average common shares outstanding used in computing diluted net income (loss) per share | 108,869 | 107,619 | 109,098 | ||||||||
| | | | | | | | | | | |
| | | | | | | | | | | |
Net income (loss) per share | |||||||||||
Basic | $ | (0.16 | ) | $ | (0.32 | ) | $ | 0.05 | |||
Diluted | $ | (0.16 | ) | $ | (0.32 | ) | $ | 0.05 | |||
(n) Accumulated Other Comprehensive Income | |||||||||||
The following table presents the changes in accumulated other comprehensive income, net of tax, by component for the year ended December 31, 2013: | |||||||||||
Foreign | Defined benefit | Total | |||||||||
currency | pension plan | ||||||||||
(in thousands) | |||||||||||
Balance at December 31, 2012 | $ | 5,375 | $ | (355 | ) | $ | 5,020 | ||||
Other comprehensive loss before reclassifications | 695 | — | 695 | ||||||||
Amounts reclassified from accumulated other comprehensive income(1) | — | 24 | 24 | ||||||||
| | | | | | | | | | | |
Net current-period other comprehensive income | 695 | 24 | 719 | ||||||||
| | | | | | | | | | | |
Balance at December 31, 2013 | $ | 6,070 | $ | (331 | ) | $ | 5,739 | ||||
| | | | | | | | | | | |
| | | | | | | | | | | |
-1 | |||||||||||
Amount presented before taxes as the tax effect is not material to the consolidated financial statements. | |||||||||||
(o) Recent Accounting Guidance | |||||||||||
Accounting Standards or Updates Recently Adopted | |||||||||||
On February 5, 2013, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update No. 2013-02, Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. The update requires that companies present either in a single note or parenthetically on the face of the financial statements, the effect of significant amounts reclassified from each component of accumulated other comprehensive income based on its source and the income statement line items affected by the reclassification. If a component is not required to be reclassified to net income in its entirety, companies would instead cross reference to the related footnote for additional information. This update is effective prospectively for annual and interim reporting periods beginning after December 15, 2012. As this update only requires enhanced disclosure, the adoption of this update will not impact our financial position or results of operations. | |||||||||||
Accounting Standards or Updates Not Yet Effective | |||||||||||
In July 2013, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exist. ASU 2013-11 amends the presentation requirements of ASC 740, Income Taxes, and requires an unrecognized tax benefit to be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, similar tax loss, or a tax credit carryforward. To the extent the tax benefit is not available at the reporting date under the governing tax law or if the entity does not intend to use the deferred tax asset for such purpose, the unrecognized tax benefit should be presented as a liability and not combined with deferred tax assets. The ASU is effective for annual periods, and interim periods within those years, beginning after December 15, 2013, which is fiscal 2014 for the Company. The amendments are to be applied to all unrecognized tax benefits that exist as of the effective date and may be applied retrospectively to each prior reporting period presented. The Company is currently evaluating the impact of the adoption of ASU 2013-11 on its consolidated financial statements. We do not expect the adoption of this standard to have a significant impact on our consolidated financial statements. | |||||||||||
Gain_on_Sale_of_Dry_Strip_Asse
Gain on Sale of Dry Strip Assets and Intellectual Property | 12 Months Ended |
Dec. 31, 2013 | |
Gain on Sale of Dry Strip Assets and Intellectual Property | ' |
Gain on Sale of Dry Strip Assets and Intellectual Property | ' |
Note 3. Gain on Sale of Dry Strip Assets and Intellectual Property | |
On December 3, 2012, the Company entered into a purchase agreement with Lam Research Corporation ("Lam"). As part of the agreement, the Company sold its dry strip system assets and intellectual property to Lam. The purchase price was $10.7 million, of which $2.0 million was contingent upon reaching certain milestones. | |
Lam granted the Company a worldwide, non-exclusive, non-transferable, royalty free license to use the intellectual property rights sold by the Company under the Asset Purchase Agreement. The perpetual license allowed the Company to make and sell 300mm dry strip wafer processing equipment for semiconductor applications through September 2013, make and sell 200mm products through December 2015 and to support the Company's installed base of all dry strip equipment on a perpetual basis. As a result of this continuing involvement, the transaction has been recorded in continuing operations. | |
The $1.2 million gain on sale of dry strip assets and intellectual property for the year ended December 31, 2013 relates to the achievement of certain milestones met during 2013. No further milestones are expected to be met. | |
During 2012, the $7.9 million gain on sale of dry strip assets and intellectual property was comprised of the $8.7 million proceeds received for the sale, offset by approximately $0.8 million of product and material costs related to the lab system and other components purchased by Lam during 2012. | |
Restricted_Cash
Restricted Cash | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Restricted Cash | ' | |||||||
Restricted Cash | ' | |||||||
Note 4. Restricted Cash | ||||||||
The components of restricted cash are as follows: | ||||||||
December 31, | ||||||||
2013 | 2012 | |||||||
(in thousands) | ||||||||
Statutory liability deposit | $ | — | $ | 106 | ||||
Interest reserve escrow | 825 | — | ||||||
The $0.8 million interest reserve at December 31, 2013 was established in connection with the Company's outstanding Term Loan. The $0.1 million statutory liability deposit at December 31, 2012 expired during the year and was subsequently released from restricted cash. | ||||||||
The Company has surety bonds related to value added tax claims and refunds in Europe of approximately $1.4 million at December 31, 2013 ($1.8 million at December 31, 2012) and two standby letters of credit issued under the Silicon Valley Bank credit facility of $2.5 million ($3.6 million at December 31, 2012). | ||||||||
Accounts_Receivable_net
Accounts Receivable, net | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Accounts Receivable, net | ' | |||||||
Accounts Receivable, net | ' | |||||||
Note 5. Accounts Receivable, net | ||||||||
The components of accounts receivable are as follows: | ||||||||
December 31, | ||||||||
2013 | 2012 | |||||||
(in thousands) | ||||||||
Trade receivables | $ | 36,991 | $ | 25,148 | ||||
Allowance for doubtful accounts | (404 | ) | (305 | ) | ||||
| | | | | | | | |
$ | 36,587 | $ | 24,843 | |||||
| | | | | | | | |
| | | | | | | | |
Inventories_net
Inventories, net | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Inventories, net | ' | |||||||
Inventories, net | ' | |||||||
Note 6. Inventories, net | ||||||||
The components of inventories are as follows: | ||||||||
December 31, | ||||||||
2013 | 2012 | |||||||
(in thousands) | ||||||||
Raw materials | $ | 56,942 | $ | 72,013 | ||||
Work in process | 27,462 | 12,253 | ||||||
Finished goods (completed systems) | 11,385 | 15,968 | ||||||
| | | | | | | | |
$ | 95,789 | $ | 100,234 | |||||
| | | | | | | | |
| | | | | | | | |
When recorded, inventory reserves are intended to reduce the carrying value of inventories to their net realizable value. The Company establishes inventory reserves when conditions exist that indicate inventory may be in excess of anticipated demand or is obsolete based upon assumptions about future demand for the Company's products or market conditions. The Company regularly evaluates the ability to realize the value of inventories based on a combination of factors including the following: forecasted sales or usage, estimated product end of life dates, estimated current and future market value and new product introductions. Purchasing and usage alternatives are also explored to mitigate inventory exposure. As of December 31, 2013 and 2012, inventories are stated net of inventory reserves of $25.1 million and $33.6 million respectively. | ||||||||
In 2013, the Company recorded a $2.6 million increase to its excess inventory reserves. During the three months ended March 31, 2013, the Company recorded a charge to cost of sales of $2.1 million for 300mm dry strip components. Under the terms of the agreement with Lam, the Company was permitted to manufacture and sell dry strip products through September 2013. Due to changes in the forecasted sales of the Company's dry strip products that become known in the current period, a portion of the dry strip inventory components were determined to be non-recoverable. During the three months ended December 31, 2013, after reviewing all excess inventory levels, the Company disposed of $8.7 million of previously reserved for inventory. | ||||||||
During 2013, the Company recorded a charge to cost of sales of $0.6 million due to production levels below normal capacity. During 2012, the Company recorded a similar charge to cost of sales of $2.6 million due to production levels below normal capacity. | ||||||||
Property_Plant_and_Equipment_n
Property, Plant and Equipment, net | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Property, Plant and Equipment, net | ' | |||||||
Property, Plant and Equipment, net | ' | |||||||
Note 7. Property, Plant and Equipment, net | ||||||||
The components of property, plant and equipment are as follows: | ||||||||
December 31, | ||||||||
2013 | 2012 | |||||||
(in thousands) | ||||||||
Land and buildings | $ | 79,076 | $ | 78,954 | ||||
Machinery and equipment | 7,774 | 7,118 | ||||||
Construction in process | 356 | 455 | ||||||
| | | | | | | | |
Total cost | 87,206 | 86,527 | ||||||
Accumulated depreciation | (55,200 | ) | (52,114 | ) | ||||
| | | | | | | | |
Property, plant and equipment, net | $ | 32,006 | $ | 34,413 | ||||
| | | | | | | | |
| | | | | | | | |
Depreciation expense was $3.2 million, $3.3 million, and $3.5 million, for the years ended December 31, 2013, 2012, and 2011, respectively. | ||||||||
Assets_Manufactured_for_Intern
Assets Manufactured for Internal Use | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Assets Manufactured for Internal Use | ' | |||||||
Assets Manufactured for Internal Use | ' | |||||||
Note 8. Assets Manufactured for Internal Use | ||||||||
The components of assets manufactured for internal use, included in amounts reported as other assets, are as follows: | ||||||||
December 31, | ||||||||
2013 | 2012 | |||||||
(in thousands) | ||||||||
Internal use assets | $ | 23,409 | $ | 21,904 | ||||
Construction in progress | 5,263 | 1,823 | ||||||
| | | | | | | | |
Total cost | 28,672 | 23,727 | ||||||
Accumulated depreciation | (15,774 | ) | (13,948 | ) | ||||
| | | | | | | | |
Assets manufactured for internal use | $ | 12,898 | $ | 9,779 | ||||
| | | | | | | | |
| | | | | | | | |
These products are used in-house for research and development, training, and customer demonstration purposes. | ||||||||
Effective October 1, 2013, the Company changed its estimate of the useful life of its assets manufactured for internal use (which are amortized on a straight-line basis) from five years to ten years. This change in estimate resulted from the evaluation of the life cycle of our assets manufactured for internal use and the conclusion, that based on recent experience these products consistently have a longer life than previously estimated. The change in useful life has been accounted for as a change in accounting estimate, and will be effective on new assets manufactured for internal use, on a prospective basis beginning October 1, 2013. | ||||||||
As a result of the change in the estimated life of assets manufactured for internal use, profit before tax and net profit were approximately $0.1 million higher, for both the fourth quarter and the full year ended December 31, 2013. The change in estimated useful life of assets did not have an impact on the earnings per share disclosed in the Consolidated Statements of Operations. | ||||||||
Depreciation expense was $1.8 million, $3.4 million, and $4.9 million, for the years ended December 31, 2013, 2012, and 2011, respectively. | ||||||||
Restructuring_Charges
Restructuring Charges | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Restructuring Charges. | ' | ||||
Restructuring Charges | ' | ||||
Note 9. Restructuring Charges | |||||
The Company initiated reductions in force early in 2013 to control costs and improve the focus of its operations in order to sustain future profitability and conserve cash. As a result, the Company recorded a total restructuring charge of approximately $2.3 million, for severance and related costs all of which was paid in 2013. The Company also incurred restructuring charges of $4.2 million in 2012, most of which was paid in 2012. The Company did not incur restructuring charges for the year ended December 31, 2011. | |||||
The Company's restructuring liability for the years ended December 31, 2013, 2012 and 2011 are as follows: | |||||
Severance | |||||
(In thousands) | |||||
Balance at December 31, 2010 | $ | 171 | |||
Cash payments | — | ||||
| | | | | |
Balance at December 31, 2011 | 171 | ||||
Severance and related costs | 4,169 | ||||
Cash payments | (3,551 | ) | |||
Non-cash items | (130 | ) | |||
| | | | | |
Balance at December 31, 2012 | 659 | ||||
Severance and related costs | 2,334 | ||||
Cash payments | (2,950 | ) | |||
| | | | | |
Balance at December 31, 2013 | $ | 43 | |||
| | | | | |
| | | | | |
Product_Warranty
Product Warranty | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Product Warranty | ' | ||||||||||
Product Warranty | ' | ||||||||||
Note 10. Product Warranty | |||||||||||
The Company generally offers a one year warranty for all of its systems, the terms and conditions of which vary depending upon the product sold. For all systems sold, the Company accrues a liability for the estimated cost of standard warranty at the time of system shipment and defers the portion of systems revenue attributable to the fair value of non-standard warranty. Costs for non-standard warranty are expensed as incurred. Factors that affect the Company's warranty liability include the number of installed units, historical and anticipated product failure rates, material usage and service labor costs. The Company periodically assesses the adequacy of its recorded liability and adjusts the amount as necessary. | |||||||||||
The changes in the Company's product warranty liability are as follows: | |||||||||||
Years Ended December 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
(in thousands) | |||||||||||
Balance at January 1 (beginning of year) | $ | 1,801 | $ | 3,697 | $ | 2,713 | |||||
Warranties issued during the period | 2,240 | 3,042 | 4,772 | ||||||||
Settlements made during the period | (1,515 | ) | (3,010 | ) | (5,275 | ) | |||||
Changes in estimate of liability for pre-existing warranties during the period | (1,098 | ) | (1,928 | ) | 1,487 | ||||||
| | | | | | | | | | | |
Balance at December 31 (end of year) | $ | 1,428 | $ | 1,801 | $ | 3,697 | |||||
| | | | | | | | | | | |
Amount classified as current | $ | 1,316 | $ | 1,700 | $ | 3,556 | |||||
Amount classified as long-term | 112 | 101 | 141 | ||||||||
| | | | | | | | | | | |
Total Warranty Liability | $ | 1,428 | $ | 1,801 | $ | 3,697 | |||||
| | | | | | | | | | | |
| | | | | | | | | | | |
Financing_Arrangements
Financing Arrangements | 12 Months Ended |
Dec. 31, 2013 | |
Financing Arrangements | ' |
Financing Arrangements | ' |
Note 11. Financing Arrangements | |
Term Loan | |
During the third quarter of 2013, the Company entered into a Business Loan Agreement with Northern Bank & Trust Company which provides for a three year term loan of $15.0 million secured by the Company's real estate in Beverly, Massachusetts. $0.8 million of the loan proceeds are held in a restricted interest reserve escrow account as shown under cash flows from financing activities in our Consolidated Statements of Cash Flows. The Bank will also maintain a reserve on the Company's loan account with the Bank for quarterly real estate taxes on the mortgaged property. The loan bears interest at 5.5% per annum, with payments of principal beginning August 5, 2014. Interest is payable monthly. All outstanding principal and interest is due and payable on July 5, 2016. | |
The Company's term loan contains certain customary covenants which limit the Company's ability, with certain exceptions, to dispose of assets, engage in a new line of business, make material changes to our executive management team, effect a change of control, acquire another business, incur additional indebtedness, incur liens, pay dividends and make other distributions, and make investments. | |
Furthermore, under the term loan, the Company is required to comply with certain financial covenants, including a Debt Service Ratio, Net Worth, and Liquidity. The Company was in compliance with all covenants associated with the term loan for the year-ended December 31, 2013. | |
The Company is subject to a 3% early termination fee on amounts prepaid prior to July 5, 2014, a 2% fee on amounts prepaid between July 5, 2014 and July 5, 2015 and a 1% fee on amounts prepaid between July 5, 2015 and July 5, 2016. | |
In the event of a default, the Company's interest rate will automatically increase 5% above the otherwise applicable rate. | |
Credit Facility | |
During the third quarter of 2013, the Company terminated its revolving credit facility with Silicon Valley Bank, which had provided for borrowings of up to $30.0 million due to the closing of the Term Loan with Northern Bank & Trust Company. With the termination of this facility, the Company cash collateralized two letters of credit issued by Silicon Valley Bank in the aggregate amount of $1.5 million. The Company paid a $0.3 million early termination fee to Silicon Valley Bank. | |
During the fourth quarter of 2013, the Company reinstated a new revolving credit facility with Silicon Valley Bank. Under this new revolving credit facility, the Company has the ability to borrow up to $10.0 million on a revolving basis during its two year term. The Company's ability to borrow under this line of credit is limited to 80% of the then current amount of qualified accounts receivable. The agreement will terminate on October 31, 2015. At December 31, 2013, our available borrowing capacity under the revolving credit facility was $7.5 million. | |
The Company has not drawn down on the line of credit, although a portion of the availability is being used to support outstanding letters of credit in the amount of $2.5 million in lieu of cash collateralization. The obligations under the credit facility are guaranteed by a domestic subsidiary of Axcelis and are secured by substantially all of the personal property of the Company and the guarantying subsidiary, as well as by all or a portion of the capital stock of its domestic and foreign subsidiaries. The principal amount outstanding under this credit facility will bear interest at a rate equal to the prime plus 1.00%. The Company will also incur a monthly fee equal to 0.375% per annum on any unused portion of the credit facility. | |
The credit facility contains customary negative covenants which limit the Company's ability, with certain exceptions, to dispose of assets, engage in a new line of business, make material changes to our executive management team, effect a change of control, acquire another business, incur additional indebtedness, incur liens, pay dividends and make other distributions, make investments, make payments on subordinated debt and engage in transactions with affiliates other than transactions in the ordinary course of business on terms no less favorable than would be obtained in an arms-length transaction. | |
Additionally, the credit facility has certain financial covenants requiring the Company to maintain minimum levels of operating results and liquidity. The Company was in compliance with all covenants associated with the credit facility for the year ended December 31, 2013. | |
The Company is subject to a $0.1 million early termination fee if it decides to terminate the credit facility prior to the maturity date or if Silicon Valley Bank terminates the credit facility in the event of a default. | |
In the event of a default, the interest rate will automatically increase 3.5% above the otherwise applicable rate. | |
Employee_Benefit_Plans
Employee Benefit Plans | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Employee Benefit Plans | ' | |||||||
Employee Benefit Plans | ' | |||||||
Note 12. Employee Benefit Plans | ||||||||
(a) Defined Contribution Plan | ||||||||
The Company maintains the Axcelis Long-Term Investment Plan, a defined contribution plan. All regular employees are eligible to participate and may contribute up to 35% of their compensation on a before-tax basis subject to Internal Revenue Service ("IRS") limitations. Highly compensated employees may contribute up to 16% of their compensation on a before-tax basis subject to IRS limitations. The Company does not match contributions; therefore, no expense was recorded for this plan in 2013, 2012 or 2011. | ||||||||
(b) Other Compensation Plans | ||||||||
The Company operates in foreign jurisdictions that require lump sum benefits, payable based on statutory regulations, for voluntary or involuntary termination. Where required, an annual actuarial valuation of the benefit plans is obtained. | ||||||||
The Company has recorded an unfunded liability of $4.1 million and $4.5 million at December 31, 2013 and 2012, respectively, for costs associated with these compensation plans in foreign jurisdictions. The following table presents the classification of these liabilities in the Consolidated Balance Sheets: | ||||||||
Year Ended | ||||||||
December 31, | ||||||||
2013 | 2012 | |||||||
(in thousands) | ||||||||
Current: | ||||||||
Accrued compensation | $ | 638 | $ | 1,475 | ||||
| | | | | | | | |
Total current liabilities | $ | 638 | $ | 1,475 | ||||
Long-term: | ||||||||
Other long-term liabilities | $ | 3,416 | $ | 3,042 | ||||
| | | | | | | | |
Total liabilities | $ | 4,054 | $ | 4,517 | ||||
| | | | | | | | |
| | | | | | | | |
The expense recorded in connection with these plans was $0.6 million, $0.6 million and $0.7 million during the years ended December 31, 2013, 2012 and 2011, respectively. | ||||||||
Stock_Award_Plans_and_Stock_Ba
Stock Award Plans and Stock Based Compensation | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Stock Award Plans and Stock Based Compensation | ' | |||||||||||||
Stock Award Plans and Stock Based Compensation | ' | |||||||||||||
Note 13. Stock Award Plans and Stock Based Compensation | ||||||||||||||
(a) Equity Incentive Plans | ||||||||||||||
The Company maintains the Axcelis Technologies, Inc. 2012 Equity Incentive Plan (the "2012 Equity Plan"), which became effective on May 2, 2012. Our 2000 Stock Plan (the "2000 Stock Plan"), expired on May 1, 2012 and no new grants may be made under that plan after that date. However, awards granted under the 2000 Stock Plan prior to the expiration remain outstanding and subject to the terms of the 2000 Stock Plan. | ||||||||||||||
The 2012 Equity Plan reserves 7.1 million shares of common stock, $0.001 par value for grant and permits the issuance of options, stock appreciation rights, restricted stock, restricted stock units, stock equivalents, and awards of shares of common stock that are not subject to restrictions or forfeiture to selected employees, directors and consultants of the Company. Shares that are not issued under an award (because such award expires, is terminated unexercised or is forfeited) that were outstanding under the 2000 Stock Plan as of the May 2, 2012 increase the reserve of shares available for grant under the 2012 Equity Plan. | ||||||||||||||
The term of stock options granted under these plans is specified in the award agreements. Unless a lesser term is otherwise specified by the Company's Compensation Committee of the Board of Directors, awards under the 2012 Equity Plan will expire seven years from the date of grant. In general, all awards issued under the 2000 Stock Plan expire ten years from the date of grant. Under the terms of these stock plans, the exercise price of a stock option may not be less than the fair market value of a share of the Company's common stock on the date of grant. Under the 2012 Equity Plan, fair market value is defined as the last reported sale price of a share of the common stock on a national securities exchange as of any applicable date, as long as the Company's shares are traded on such exchange. | ||||||||||||||
Stock options granted to employees generally vest over a period of four years, while stock options granted to non-employee members of the Company's Board of Directors generally vest over a period of 6 months and, once vested, are not affected by the director's termination of service to the Company. In limited circumstances, the Company may grant stock option awards with performance-based vesting conditions, such as, the Company's common stock price. Termination of service by an employee will cause options to cease vesting as of the date of termination, and in most cases, employees will have 90 days after termination to exercise options that were vested as of the termination of employment. In general, retiring employees will have one year after termination of employment to exercise vested options. The Company settles stock option exercises with newly issued common shares. | ||||||||||||||
Restricted stock units granted to employees during 2013, 2012 and 2011 had both time-based vesting provisions and performance-based vesting provisions. Generally, unvested restricted stock unit awards expire upon termination of service to the Company. The Company settles restricted stock units upon vesting with newly issued common shares. No restricted stock was granted under either stock plan during the three year period. | ||||||||||||||
As of December 31, 2013, there were 3.6 million shares available for grant under the 2012 Equity Plan. No shares are available for grant under the 2000 Stock Plan. | ||||||||||||||
As of December 31, 2013, there were 22.3 million options outstanding under the 2012 Equity Plan and the 2000 Stock Plan, collectively, and less than 0.1 million unvested restricted stock units outstanding under the 2000 Stock Plan. | ||||||||||||||
(b) Employee Stock Purchase Plan | ||||||||||||||
The Employee Stock Purchase Plan (the "Purchase Plan") provides effectively all of the Company's employees the opportunity to purchase common stock of the Company at less than market prices. Purchases are made through payroll deductions of up to 10% of the employee's salary as elected by the participant, subject to certain caps set forth in the Purchase Plan. Employees may purchase its common stock at 85% of the market value of the Company's common stock on the day the stock is purchased. | ||||||||||||||
The Purchase Plan is considered compensatory and as such, compensation expense has been recognized based on the benefit of the discounted stock price, amortized to compensation expense over each offering period of six months. Compensation expense was $0.1 million for each of the years ended December 31, 2013, 2012, and 2011. | ||||||||||||||
As of December 31, 2013, there were a total of 1.8 million shares reserved for issuance and available for purchase under the Purchase Plan. There were 0.2 million, 0.3 million and 0.4 million shares purchased under the Purchase Plan for the years ended December 31, 2013, 2012, and 2011, respectively. | ||||||||||||||
(c) Valuation of Stock Options | ||||||||||||||
For the purpose of valuing stock options with service conditions, the Company uses the Black-Scholes option pricing model to calculate the grant-date fair value of an award. The fair values of options granted were calculated using the following estimated weighted-average assumptions: | ||||||||||||||
Years ended December 31, | ||||||||||||||
2013 | 2012 | 2011 | ||||||||||||
Weighted-average expected volatility | 98.1 | % | 97.8%-113.55 | % | 97.8 | % | ||||||||
Weighted-average expected term | 4.7 years | 3.8-6.1 years | 6.1 years | |||||||||||
Risk-free interest rate | 0.7%-1.4 | % | 0.45%-1.37 | % | 1.1%-2.4 | % | ||||||||
Expected dividend yield | 0 | % | 0 | % | 0 | % | ||||||||
Expected volatility—The Company is responsible for estimating volatility and has considered a number of factors when estimating volatility. The Company's method of estimating expected volatility for all stock options granted relies on a combination of historical and implied volatility. The Company believes that this blended volatility results in a more accurate estimate of the grant-date fair value of employee stock options because it more appropriately reflects the market's current expectations of future volatility. | ||||||||||||||
Expected term—The Company calculated the weighted average expected term for stock options granted prior to July 1, 2012, using a forward looking lattice model of the Company's stock price incorporating a suboptimal exercise factor and a projected post-vest forfeiture rate. For stock options granted after July 1, 2012 to employees and to non-employee members of the Company's Board of Directors, the Company used the simplified method for estimating the expected life of "plain vanilla" options because it did not have sufficient exercise history. The Company expects that it will use a lattice model once sufficient exercise history has been established.. The change in the expected life from 10 years to 7 years reflects the fact that options granted after May 1, 2012 were granted under the 2012 Equity Incentive Plan, which limits option terms to seven years. | ||||||||||||||
Risk-free interest rate—The yield on zero-coupon U.S. Treasury securities for a period that is commensurate with the expected term assumption is used as the risk-free interest rate. | ||||||||||||||
Expected dividend yield—Expected dividend yield was not considered in the option pricing formula since the Company does not pay dividends and has no current plans to do so in the future. | ||||||||||||||
In limited circumstances, the Company also issues stock option grants with vesting based on performance conditions, such as the Company's common stock price, or, a combination of time or performance conditions. The fair values and derived service periods for all grants that have vesting based on these performance conditions are estimated using the Monte Carlo valuation method. For each stock option grant with vesting based on a combination of time or performance conditions where vesting will occur if either condition is met, the related compensation costs are recognized over the shorter of the explicit service period or the derived service period. | ||||||||||||||
(d) Summary of Share-Based Compensation Expense | ||||||||||||||
The Company estimates the fair value of stock options with time-based conditions using the Black-Scholes valuation model and estimates the fair value of stock options with performance-based vesting conditions such as the price of the Company's common stock, using the Monte Carlo valuation model. The fair value of the Company's restricted stock and restricted stock units is calculated based upon the fair market value of the Company's stock at the date of grant. | ||||||||||||||
The Company uses the straight-line attribution method to recognize expense for stock-based awards such that the expense associated with awards is evenly recognized throughout the period. | ||||||||||||||
The amount of stock-based compensation recognized is based on the value of the portion of the awards that are ultimately expected to vest. The Company estimates forfeitures at the time of grant and revises them, if necessary, in subsequent periods if actual forfeitures differ from those estimates. The term "forfeitures" is distinct from "cancellations" or "expirations" and represents only the unvested portion of the surrendered stock-based award. Based on a historical analysis, a forfeiture rate of 5% per year, including executive officer awards, was applied to stock-based awards for the years ended December 31, 2013, 2012 and 2011. | ||||||||||||||
The Company recognized stock-based compensation expense of $4.3 million, $3.9 million and $4.7 million for the years ended December 31, 2013, 2012 and 2011, respectively. For 2013, 2012 and 2011, the Company primarily used stock options in its annual equity compensation program. | ||||||||||||||
The benefits of tax deductions in excess of recognized compensation cost is reported as a financing cash flow, rather than as an operating cash flow. Because the Company does not recognize the benefit of tax deductions in excess of recognized compensation cost due to its cumulative net operating loss position, this had no impact on the Company's consolidated statement of cash flows as of and for the years ended December 31, 2013, 2012 or 2011. | ||||||||||||||
(e) Stock Option Awards | ||||||||||||||
The following table summarizes the stock option activity for the year ended December 31, 2013: | ||||||||||||||
Options | Weighted | Weighted | Aggregate | |||||||||||
Average | Average | Intrinsic | ||||||||||||
Exercise | Remaining | Value | ||||||||||||
Price | Contractual | |||||||||||||
Term | ||||||||||||||
(in thousands) | (years) | (in thousands) | ||||||||||||
Outstanding at December 31, 2012 | 21,260 | $ | 2.24 | |||||||||||
Granted | 5,409 | 1.95 | ||||||||||||
Exercised | (1,511 | ) | 1.1 | |||||||||||
Canceled | (1,138 | ) | 1.39 | |||||||||||
Expired | (1,721 | ) | 7.26 | |||||||||||
| | | | | | | | | | | | | | |
Outstanding at December 31, 2013 | 22,299 | $ | 1.89 | 5.95 | $ | 21,017 | ||||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
Exercisable at December 31, 2013 | 12,075 | $ | 2.1 | 5.53 | $ | 12,705 | ||||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
Options Vested or Expected to Vest at December 31, 2013(1) | 21,515 | $ | 1.89 | 6.02 | $ | 12,609 | ||||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
-1 | ||||||||||||||
In addition to the vested options, the Company expects a portion of the unvested options to vest at some point in the future. Options expected to vest is calculated by applying an estimated forfeiture rate to the unvested options. | ||||||||||||||
Of the options outstanding at December 31, 2013, 12.1 million were vested and exercisable with a weighted average exercise price of $2.10. The total intrinsic value, which is defined as the difference between the market price at exercise and the price paid by the employee to exercise the options, for options exercised during the years ended December 31, 2013, 2012 and 2011 was $1.4 million, $0.9 million and $0.7 million, respectively. | ||||||||||||||
The total fair value of stock options vested during the years ended December 31, 2013, 2012 and 2011 were $3.8 million, $4.1 million and $3.3 million respectively. As of December 31, 2013, there was $9.4 million of total forfeiture- adjusted unrecognized compensation cost related to non-vested stock options granted under the 2012 Equity Incentive Plan and the 2000 Stock Plan. That cost is expected to be recognized over a weighted-average period of 2.9 years. | ||||||||||||||
(f) Restricted Stock and Restricted Stock Units | ||||||||||||||
Restricted stock units ("RSUs") represent the Company's unfunded and unsecured promise to issue shares of the common stock at a future date, subject to the terms of the RSU Award Agreement and either the 2012 Equity Incentive Plan or the 2000 Stock Plan. The purpose of these awards is to assist in attracting and retaining highly competent employees and directors and to act as an incentive in motivating selected employees and directors to achieve long-term corporate objectives. RSU awards granted in 2013, 2012 and 2011 included both time vested awards and performance vested awards for employees and executive officers. No restricted stock awards were granted, or vested, during the period. The fair value of a restricted stock unit and restricted stock awards is charged to expense ratably over the applicable service period. | ||||||||||||||
Changes in the Company's non-vested restricted stock units for the year ended December 31, 2013 is as follows: | ||||||||||||||
Shares/units | Weighted-Average | |||||||||||||
Grant Date Fair | ||||||||||||||
Value per Share | ||||||||||||||
(in thousands) | ||||||||||||||
Outstanding at December 31, 2012 | 961 | $ | 1.73 | |||||||||||
Granted | 195 | 1.27 | ||||||||||||
Vested | (231 | ) | 1.56 | |||||||||||
Forfeited | (902 | ) | 1.68 | |||||||||||
| | | | | | | | |||||||
Outstanding at December 31, 2013 | 23 | $ | 1.39 | |||||||||||
| | | | | | | | |||||||
| | | | | | | | |||||||
Some restricted stock units provide for a net share settlement program to offset the personal income tax obligations of the employee's restricted stock unit vesting. Vesting activity above reflects shares vested before net share settlement. The total forfeiture adjusted unrecognized compensation cost related to performance based restricted stock units that had not vested as of December 31, 2013 was not significant. | ||||||||||||||
Stockholders_Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2013 | |
Stockholders' Equity | ' |
Stockholders' Equity | ' |
Note 14. Stockholders' Equity | |
Preferred Stock | |
The Company may issue up to 30 million shares of preferred stock in one or more series. The Board of Directors is authorized to fix the rights and terms for any series of preferred stock without additional shareholder approval. As of December 31, 2013 and 2012, there were no outstanding shares of preferred stock. | |
Fair_Value_Measurements
Fair Value Measurements | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Fair Value Measurements | ' | |||||||||||||
Fair Value Measurements | ' | |||||||||||||
Note 15. Fair Value Measurements | ||||||||||||||
Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. | ||||||||||||||
(a) Fair Value Hierarchy | ||||||||||||||
The accounting guidance for fair value measurement requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard establishes a fair value hierarchy based on the level of independent, objective evidence surrounding the inputs used to measure fair value. A financial instrument's categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The fair value hierarchy is as follows: | ||||||||||||||
Level 1 applies to assets or liabilities for which there are quoted prices in active markets for identical assets or liabilities. | ||||||||||||||
Level 2 applies to assets or liabilities for which there are inputs other than quoted prices that are observable for the asset or liability, such as quoted prices for similar assets or liabilities in active markets; quoted prices for identical assets or liabilities in markets with insufficient volume or infrequent transactions (less active markets); or model-derived valuations in which significant inputs are observable or can be derived principally from, or corroborated by, observable market data. | ||||||||||||||
Level 3 applies to assets or liabilities for which there are unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of the assets or liabilities. | ||||||||||||||
(b) Assets Measured at Fair Value | ||||||||||||||
The Company's money market funds are included in cash and cash equivalents in the Consolidated Balance Sheets, and are considered a level 1 investment as they are valued at quoted market prices in active markets. The Company's Term Loan is carried at amortized cost which approximates fair value based on current market pricing of similar debt instruments and is categorized as level 2 within the fair value hierarchy. | ||||||||||||||
The following table sets forth Company's assets which are measured at fair value by level within the fair value hierarchy. | ||||||||||||||
December 31, 2013 | ||||||||||||||
Fair Value Measurements | ||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||
(in thousands) | ||||||||||||||
Assets | ||||||||||||||
Cash equivalents: | ||||||||||||||
Money market funds | $ | 10,504 | $ | — | $ | — | $ | 10,504 | ||||||
Liabilites | ||||||||||||||
Term loan | $ | — | $ | 15,000 | $ | — | $ | 15,000 | ||||||
December 31, 2012 | ||||||||||||||
Fair Value Measurements | ||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||
(in thousands) | ||||||||||||||
Assets | ||||||||||||||
Cash equivalents: | ||||||||||||||
Money market funds | $ | 29,179 | $ | — | $ | — | $ | 29,179 | ||||||
(c) Other Financial Instruments | ||||||||||||||
The carrying amounts reflected in the consolidated balance sheets for cash and cash equivalents (which are comprised primarily of deposit and overnight sweep accounts), accounts receivable, prepaid expenses and other current and non-current assets, restricted cash, accounts payable and accrued expenses approximate fair value due to their short-term maturities. | ||||||||||||||
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Commitments and Contingencies | ' | ||||
Commitments and Contingencies | ' | ||||
Note 16. Commitments and Contingencies | |||||
(a) Lease Commitments | |||||
The Company leases manufacturing and office facilities and certain equipment under operating leases that expire through 2016. Rental expense was $4.0 million, $4.3 million, and $4.6 million under operating leases for the years ended December 31, 2013, 2012, and 2011, respectively. | |||||
Future minimum lease commitments on non-cancelable operating leases for the year ended December 31, 2013 are as follows: | |||||
Operating | |||||
Leases | |||||
(in thousands) | |||||
2014 | $ | 2,762 | |||
2015 | 1,458 | ||||
2016 | 312 | ||||
2017 | 42 | ||||
| | | | | |
$ | 4,574 | ||||
| | | | | |
| | | | | |
(b) Purchase Commitments | |||||
The Company has non-cancelable contracts and purchase orders for inventory of $24.5 million at December 31, 2013. | |||||
(c) Litigation | |||||
The Company is not presently a party to any litigation that it believes might have a material adverse effect on its business operations. The Company is, from time to time, a party to litigation that arises in the normal course of its business operations. | |||||
(d) Indemnifications | |||||
The Company's system sales agreements typically include provisions under which the Company agrees to take certain actions, provide certain remedies and defend its customers against third-party claims of intellectual property infringement under specified conditions and to indemnify customers against any damage and costs awarded in connection with such claims. The Company has not incurred any material costs as a result of such indemnifications and has not accrued any liabilities related to such obligations in the accompanying consolidated financial statements. | |||||
Business_Segment_and_Geographi
Business Segment and Geographic Region Information | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Business Segment and Geographic Region Information | ' | ||||||||||
Business Segment and Geographic Region Information | ' | ||||||||||
Note 17. Business Segment and Geographic Region Information | |||||||||||
The Company operates in one business segment, which is the manufacture of capital equipment for the semiconductor manufacturing industry. The principal market for semiconductor manufacturing equipment is semiconductor manufacturers. Substantially all sales are made directly by the Company to its customers located in the United States, Europe and Asia Pacific. | |||||||||||
The Company's ion implantation systems product line includes high current, medium current and high energy implanters. Other products include dry strip equipment, curing systems, and thermal processing systems. In addition to new equipment, the Company provides post-sales equipment service and support, including spare parts, equipment upgrades, used equipment, maintenance services and customer training. | |||||||||||
Revenue by product lines is as follows: | |||||||||||
Years ended December 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
(in thousands) | |||||||||||
Ion implantation systems, services, and royalties | $ | 164,030 | $ | 156,090 | $ | 237,857 | |||||
Other systems and services | 31,602 | 47,295 | 81,559 | ||||||||
| | | | | | | | | | | |
$ | 195,632 | $ | 203,385 | $ | 319,416 | ||||||
| | | | | | | | | | | |
| | | | | | | | | | | |
Revenue and long-lived assets by geographic region, based on the physical location of the operation recording the sale or the asset, are as follows: | |||||||||||
Revenue | Long-Lived | ||||||||||
Assets | |||||||||||
(in thousands) | |||||||||||
2013 | |||||||||||
United States | $ | 116,969 | $ | 44,424 | |||||||
Europe | 27,933 | — | |||||||||
Asia Pacific | 50,730 | 480 | |||||||||
| | | | | | | | ||||
195,632 | $ | 44,904 | |||||||||
| | | | | | | | ||||
| | | | | | | | ||||
2012 | |||||||||||
United States | $ | 132,159 | $ | 43,440 | |||||||
Europe | 27,636 | — | |||||||||
Asia Pacific | 43,590 | 752 | |||||||||
| | | | | | | | ||||
$ | 203,385 | $ | 44,192 | ||||||||
| | | | | | | | ||||
| | | | | | | | ||||
2011 | |||||||||||
United States | $ | 234,123 | $ | 54,472 | |||||||
Europe | 31,505 | — | |||||||||
Asia Pacific | 53,779 | 996 | |||||||||
| | | | | | | | ||||
$ | 319,416 | $ | 55,468 | ||||||||
| | | | | | | | ||||
| | | | | | | | ||||
Long-lived assets consist of property, plant and equipment, net and assets manufactured for internal use. Operations in Europe and Asia Pacific consist of sales and service organizations. | |||||||||||
International revenue, including export sales from U.S. manufacturing facilities to foreign customers, sales by foreign subsidiaries and branches was $149.4 million (76.4% of total revenue) in 2013, $142.8 million (70.2% of total revenue) in 2012, and $231.0 million (72.3% of total revenue) in 2011. | |||||||||||
Income_Taxes
Income Taxes | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Income Taxes | ' | |||||||||||||
Income Taxes | ' | |||||||||||||
Note 18. Income Taxes | ||||||||||||||
Income (loss) before income taxes are as follows: | ||||||||||||||
Years ended December 31, | ||||||||||||||
2013 | 2012 | 2011 | ||||||||||||
(in thousands) | ||||||||||||||
United States | $ | (18,998 | ) | $ | (37,682 | ) | $ | 2,622 | ||||||
Foreign | 2,894 | 5,294 | 4,849 | |||||||||||
| | | | | | | | | | | ||||
Income (loss) before income taxes | $ | (16,104 | ) | $ | (32,388 | ) | $ | 7,471 | ||||||
| | | | | | | | | | | ||||
| | | | | | | | | | | ||||
Income taxes (Benefits) are as follows: | ||||||||||||||
Years ended December 31, | ||||||||||||||
2013 | 2012 | 2011 | ||||||||||||
(in thousands) | ||||||||||||||
Current: | ||||||||||||||
United States | ||||||||||||||
Federal | $ | — | $ | — | $ | — | ||||||||
State | 84 | 82 | 163 | |||||||||||
Foreign | 641 | 738 | 1,646 | |||||||||||
| | | | | | | | | | | ||||
Total current | 725 | 820 | 1,809 | |||||||||||
| | | | | | | | | | | ||||
Deferred: | ||||||||||||||
Foreign | 315 | 826 | 585 | |||||||||||
| | | | | | | | | | | ||||
Total deferred | 315 | 826 | 585 | |||||||||||
| | | | | | | | | | | ||||
Income taxes | $ | 1,040 | $ | 1,646 | $ | 2,394 | ||||||||
| | | | | | | | | | | ||||
| | | | | | | | | | | ||||
Reconciliations of income taxes at the United States Federal statutory rate to the effective income tax rate are as follows: | ||||||||||||||
Years ended December 31, | ||||||||||||||
2013 | 2012 | 2011 | ||||||||||||
(in thousands) | ||||||||||||||
Income tax (benefits) at the United States statutory rate | $ | (5,636 | ) | $ | (11,336 | ) | $ | 2,615 | ||||||
State income taxes | 55 | 53 | 31 | |||||||||||
Unrecognized tax benefits | (293 | ) | (832 | ) | 899 | |||||||||
Effect of change in valuation allowance | 5,975 | 12,662 | (3,160 | ) | ||||||||||
Foreign income tax rate differentials | (1,244 | ) | (788 | ) | (365 | ) | ||||||||
Restoration of foreign deferred tax assets | 961 | — | — | |||||||||||
Foreign dividend | — | 383 | — | |||||||||||
Stock options | 450 | 1,298 | — | |||||||||||
Deemed distribution from foreign subsidiaries | 316 | 149 | 1,533 | |||||||||||
Other, net | 456 | 57 | 841 | |||||||||||
| | | | | | | | | | | ||||
Income taxes | $ | 1,040 | $ | 1,646 | $ | 2,394 | ||||||||
| | | | | | | | | | | ||||
| | | | | | | | | | | ||||
Significant components of current and long-term deferred income taxes are as follows: | ||||||||||||||
As of December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||
Current | Long Term | Current | Long Term | |||||||||||
(in thousands) | ||||||||||||||
Federal net operating loss carryforwards | $ | — | $ | 104,370 | $ | — | $ | 88,088 | ||||||
State net operating loss carryforwards | — | 2,250 | — | 1,181 | ||||||||||
Foreign net operating loss carryforwards | — | 1,421 | — | 1,853 | ||||||||||
Federal tax credit carryforwards | — | 17,814 | — | 17,814 | ||||||||||
State tax credit carryforwards | — | 5,543 | — | 9,051 | ||||||||||
Unremitted earnings of foreign subsidiaries | — | (9,661 | ) | — | (8,580 | ) | ||||||||
Intangible assets | — | 532 | — | 661 | ||||||||||
Property, plant and equipment | — | 4,796 | — | 5,925 | ||||||||||
Accrued compensation | 43 | 352 | 368 | |||||||||||
Inventories | 16,540 | 22,582 | (215 | ) | ||||||||||
Stock compensation | — | 4,896 | — | 4,378 | ||||||||||
Warranty | 591 | (56 | ) | 612 | 36 | |||||||||
Other | 2,671 | (2,406 | ) | 1,820 | 917 | |||||||||
| | | | | | | | | | | | | | |
Deferred taxes, gross | 19,845 | 129,499 | 25,366 | 121,477 | ||||||||||
| | | | | | | | | | | | | | |
Valuation allowance | (18,059 | ) | (129,409 | ) | (25,062 | ) | (119,605 | ) | ||||||
| | | | | | | | | | | | | | |
Deferred taxes, net | $ | 1,786 | $ | 90 | $ | 304 | $ | 1,872 | ||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
At December 31, 2013, the Company had $149.3 million of deferred tax assets relating to net operating loss carryforwards, tax credit carryforwards and other temporary differences, which are available to reduce income taxes in future years. A valuation allowance must be established when it is "more likely than not" that all or a portion of deferred tax assets will not be realized. A review of all available positive and negative evidence needs to be considered, including a company's performance, the market environment in which the company operates, length of carryback and carryforward periods, existing sales backlog, and projections of future operating results. Where there are cumulative losses in recent years there is a strong presumption that a valuation allowance is needed. This presumption can be overcome in very limited circumstances. | ||||||||||||||
The Company is in a three year cumulative loss position in the United States. As a result, the Company maintains a 100% valuation allowance for entities in those tax jurisdictions to reduce the carrying value of deferred tax assets to zero. The Company will continue to maintain a full valuation allowance for those tax assets until sustainable future levels of profitability are evident. Changes in the valuation allowance in 2013 and 2012 were attributable to changes in the composition of temporary differences and changes in net operating loss carryforwards. | ||||||||||||||
At December 31, 2013, the Company has federal and state net operating loss carryforwards of approximately $345.3 million and foreign net operating loss carryforwards of approximately $5.1 million expiring principally between 2014 and 2032. | ||||||||||||||
The Company has research and development and other tax credit carryforwards of approximately $25.8 million at December 31, 2013 that can be used to reduce future federal and state income tax liabilities. These tax credit carryforwards expire principally between 2014 and 2028. In addition, the Company has foreign tax credit carryforwards of approximately $5 million at December 31, 2013 that are available to reduce future U.S. income tax liabilities subject to certain limitations. These foreign tax credit carryforwards expire between 2014 and 2016. | ||||||||||||||
It is Company policy to provide taxes for the total anticipated tax impact of the undistributed earnings of our wholly-owned foreign subsidiaries', as such earnings are not expected to be reinvested indefinitely. The Company anticipates that U.S. tax resulting from remitting such earnings will be off-set by net operating loss or credit carryforwards to the extent available. In addition, the Company does not anticipate incurring a foreign withholding tax on remitting such earnings since it does not intend to remit the earnings as dividends. | ||||||||||||||
The Company and its subsidiaries file income tax returns in the U.S. federal jurisdiction and various states and foreign jurisdictions. The Company and most foreign subsidiaries are subject to income tax examinations by tax authorities for all years dating back to 2003. The Company's policy is to recognize interest related to unrecognized tax benefits as interest expense and penalties as operating expenses. The Company believes that it has appropriate support for the income tax positions taken and to be taken on its tax returns and that its accruals for tax liabilities are adequate for all open years based on an assessment of many factors including past experience and interpretations of tax law applied to the facts of each matter. | ||||||||||||||
At December 31, 2013, the Company had unrecognized tax benefits of approximately $7.6 million, of which approximately $5.3 million reduced the Company's deferred tax assets and the offsetting valuation allowance and $2.3 million was recorded in other long-term liabilities. The Company does not expect any significant changes in unrecognized tax benefits in 2014. | ||||||||||||||
A reconciliation of the beginning and ending balance of unrecognized tax benefits are as follows: | ||||||||||||||
2013 | 2012 | |||||||||||||
(in thousands) | ||||||||||||||
Balance at beginning of year | $ | 7,719 | $ | 8,089 | ||||||||||
Increases in unrecognized tax benefits as a result of tax positions taken during a prior period | 324 | 646 | ||||||||||||
Decreases in unrecognized tax benefits related to settlements with tax authorities | — | (880 | ) | |||||||||||
Increases in unrecognized tax benefits as a result of tax positions taken during the current period | — | 663 | ||||||||||||
Reductions to unrecognized tax benefits as a result of a lapse of the applicable statute of limitations | (398 | ) | (799 | ) | ||||||||||
| | | | | | | | |||||||
Balance at end of year | $ | 7,645 | $ | 7,719 | ||||||||||
| | | | | | | | |||||||
Recorded as other long-term liability | $ | 2,343 | $ | 2,646 | ||||||||||
Recorded as a decrease in deferred tax assets and offsetting valuation allowance | 5,302 | 5,073 | ||||||||||||
| | | | | | | | |||||||
$ | 7,645 | $ | 7,719 | |||||||||||
| | | | | | | | |||||||
| | | | | | | | |||||||
Quarterly_Results_of_Operation
Quarterly Results of Operations (unaudited) | 12 Months Ended | |||||||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||||||
Quarterly Results of Operations (unaudited) | ' | |||||||||||||||||||||||||
Quarterly Results of Operations (unaudited) | ' | |||||||||||||||||||||||||
Note 19. Quarterly Results of Operations (unaudited) | ||||||||||||||||||||||||||
Dec. 31, | Sept. 30, | June 30, | March 31, | Dec. 31, | Sept. 30, | June 30, | March 31, | |||||||||||||||||||
2013(1) | 2013(2) | 2013(3) | 2013(4) | 2012(5) | 2012(6) | 2012(7) | 2012(8) | |||||||||||||||||||
(in thousands, except per share data) | ||||||||||||||||||||||||||
Revenue | $ | 58,574 | $ | 48,831 | $ | 47,501 | $ | 40,726 | $ | 44,624 | $ | 44,640 | $ | 59,114 | $ | 55,007 | ||||||||||
Gross profit | 21,280 | 16,976 | 16,737 | 12,943 | 480 | 14,367 | 22,788 | 20,536 | ||||||||||||||||||
Net income (loss) | 614 | (4,750 | ) | (4,019 | ) | (8,988 | ) | (14,818 | ) | (8,718 | ) | (471 | ) | (10,027 | ) | |||||||||||
Net income (loss) per share basic and diluted | $ | 0.01 | $ | (0.04 | ) | $ | (0.04 | ) | $ | (0.08 | ) | $ | (0.14 | ) | $ | (0.08 | ) | $ | (0.00 | ) | $ | (0.09 | ) | |||
-1 | ||||||||||||||||||||||||||
Net income includes $0.4 million of income related to the expiration of an uncertain tax position in a foreign jurisdiction. | ||||||||||||||||||||||||||
-2 | ||||||||||||||||||||||||||
Net loss includes $0.4 million related to the write off of certain deferred tax assets in foreign jurisdictions. | ||||||||||||||||||||||||||
-3 | ||||||||||||||||||||||||||
Net loss includes $0.4 million in restructuring charges, and $0.8 million from the gain on sale of dry strip assets and intellectual property. | ||||||||||||||||||||||||||
-4 | ||||||||||||||||||||||||||
Gross profit and net loss includes a $2.1 million charge to excess and obsolete inventory. Net loss includes, $1.8 million in restructuring charges, and $0.4 million from the gain on sale of dry strip assets and intellectual property. | ||||||||||||||||||||||||||
-5 | ||||||||||||||||||||||||||
Gross profit and net loss includes a $13.4 million provision for excess inventory related to the Company's comprehensive review of its worldwide inventory levels. Net loss includes a $7.9 million gain on sale of the Company's dry strip assets and intellectual property to Lam Research; restructuring charges of $0.6 million; and a $2.1 million one-time marketing expense associated with the Company's evaluation programs. | ||||||||||||||||||||||||||
-6 | ||||||||||||||||||||||||||
Net loss includes restructuring charges of $0.6 million. | ||||||||||||||||||||||||||
-7 | ||||||||||||||||||||||||||
Net loss includes restructuring charges of $0.1 million and a tax expense of $0.8 million related to an uncertain tax position in a certain foreign jurisdiction. | ||||||||||||||||||||||||||
-8 | ||||||||||||||||||||||||||
Net loss includes restructuring charges of $2.9 million | ||||||||||||||||||||||||||
Schedule_IIValuation_and_Quali
Schedule II-Valuation and Qualifying Accounts | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Schedule II-Valuation and Qualifying Accounts | ' | ||||||||||||||||
Schedule II-Valuation and Qualifying Accounts | ' | ||||||||||||||||
Schedule II—Valuation and Qualifying Accounts | |||||||||||||||||
Axcelis Technologies, Inc. | |||||||||||||||||
(In thousands) | |||||||||||||||||
Balance at | Charged to | Deductions | Other(*) | Balance at | |||||||||||||
Beginning of | Costs and | End of | |||||||||||||||
Period | Expenses | Period | |||||||||||||||
Year Ended December 31, 2013 | |||||||||||||||||
Allowance for doubtful accounts and returns | $ | 305 | $ | 96 | $ | — | $ | 3 | $ | 404 | |||||||
Reserve for excess and obsolete inventory(**) | 33,601 | 2,562 | (10,913 | ) | (159 | ) | 25,091 | ||||||||||
Year Ended December 31, 2012 | |||||||||||||||||
Allowance for doubtful accounts and returns | $ | 411 | $ | — | $ | (112 | ) | $ | 6 | $ | 305 | ||||||
Reserve for excess and obsolete inventory | 22,778 | 14,492 | (4,819 | ) | 1,150 | 33,601 | |||||||||||
Year Ended December 31, 2011 | |||||||||||||||||
Allowance for doubtful accounts and returns | $ | 1,357 | $ | (535 | ) | $ | (449 | ) | $ | 38 | $ | 411 | |||||
Reserve for excess and obsolete inventory | 27,517 | 1,015 | (5,583 | ) | (171 | ) | 22,778 | ||||||||||
(*) | |||||||||||||||||
Represents foreign currency translation adjustments. | |||||||||||||||||
(**) | |||||||||||||||||
Deductions include the disposal of fully reserved inventory | |||||||||||||||||
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Summary of Significant Accounting Policies | ' | ||||||||||
Basis of Presentation | ' | ||||||||||
(a) Basis of Presentation | |||||||||||
The accompanying consolidated financial statements include the accounts of the Company and its wholly-owned, controlled subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. | |||||||||||
Events occurring subsequent to December 31, 2013 have been evaluated for potential recognition or disclosure in the consolidated financial statements. | |||||||||||
Use of Estimates | ' | ||||||||||
(b) Use of Estimates | |||||||||||
The preparation of these consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the dates of the financial statements and the reported amounts of revenue and expenses during the reporting periods. On an ongoing basis, the Company evaluates its estimates and judgments, including those related to revenue recognition, the realizable value of inventories, valuing share-based compensation instruments and valuation allowances for deferred tax assets. Actual amounts could differ from these estimates. Changes in estimates are recorded in the period in which they become known. | |||||||||||
Foreign Currency | ' | ||||||||||
(c) Foreign Currency | |||||||||||
The Company has determined the functional currency for substantially all operations outside the United States is the local currency. Financial statements for these operations are translated into United States dollars at year-end rates as to assets and liabilities and average exchange rates during the year as to revenue and expenses. The resulting translation adjustments are recorded in stockholders' equity as an element of accumulated other comprehensive income (loss). Foreign currency transaction gains and losses are included in other income (expense) in the Consolidated Statements of Operations. | |||||||||||
For the year ended December 31, 2013 the Company realized $0.3 million of foreign exchange losses. For the year ended December 31, 2012 the Company realized $0.9 million of foreign exchange losses. For the year ended December 31, 2011 the Company realized $1.2 million of foreign exchange gains. | |||||||||||
Cash and Cash Equivalents | ' | ||||||||||
(d) Cash and Cash Equivalents | |||||||||||
Cash and cash equivalents consist of cash on hand and highly liquid investments with original maturities of ninety days or less. Cash equivalents consist primarily of money market securities and certificates of deposit. Cash equivalents are carried on the balance sheet at fair market value. | |||||||||||
Inventories | ' | ||||||||||
(e) Inventories | |||||||||||
Inventories are carried at lower of cost, determined using the first-in, first-out ("FIFO") method, or market. The Company periodically reviews its inventories and makes provisions as necessary for estimated obsolescence or damaged goods to ensure values approximate lower of cost or market. The amount of such markdowns is equal to the difference between cost of inventory and the estimated market value based upon assumptions about future demands, selling prices, and market conditions. | |||||||||||
The Company records an allowance for estimated excess inventory. The allowance is determined using management's assumptions of materials usage, based on estimates of demand and market conditions. If actual market conditions become less favorable than those projected by management, additional inventory write-downs may be required. | |||||||||||
Property, Plant and Equipment | ' | ||||||||||
(f) Property, Plant and Equipment | |||||||||||
Property and equipment are stated at cost, less accumulated depreciation and amortization. | |||||||||||
Depreciation and amortization are recorded using the straight-line method over the estimated useful lives of the related assets as follows: | |||||||||||
Asset Classification | Estimated Useful Life | ||||||||||
Buildings | 40 years | ||||||||||
Machinery and equipment | 3 to 10 years | ||||||||||
Repairs and maintenance costs are expensed as incurred. Expenditures for renewals and betterments are capitalized. | |||||||||||
Impairment of Long-Lived Assets | ' | ||||||||||
(g) Impairment of Long-Lived Assets | |||||||||||
The Company records impairment losses on long-lived assets when events and circumstances indicate that these assets might not be recoverable. Recoverability is measured by a comparison of the assets' carrying amount to their expected future undiscounted net cash flows. If such assets are considered to be impaired, the impairment is measured based on the amount by which the carrying value exceeds its fair value. | |||||||||||
The Company completed a test for recoverability due to indicators of impairment present during interim periods in 2013. There were no indicators present at December 31, 2013 and therefore no test for recoverability was performed as of December 31, 2013. Results of tests for recoverability performed in 2013 indicated that the carrying value of the asset group was recoverable. | |||||||||||
The Company completed a test for recoverability due to indicators present at December 31, 2012; specifically the carrying value of its net assets exceeded its current market capitalization. As of December 31, 2012, the undiscounted cash flows used in the analysis significantly exceeded the carrying value of the Company's assets. As a result no impairment was recorded. The undiscounted cash flows used in the analysis were derived from the Company's long-term strategic plan. | |||||||||||
The Company did not record an impairment charge for the years ended December 31, 2013, 2012, or 2011. | |||||||||||
Future actual performance could be materially different from our current forecasts, which could impact future estimates of undiscounted cash flows and may result in the impairment of the carrying amount of the long-lived assets in the future. This could be caused by strategic decisions made in response to economic and competitive conditions, the impact of the economic environment on our customer base, or a material adverse change in the Company's relationships with significant customers. The Company performs an impairment analysis when circumstances or events warrant. | |||||||||||
Concentration of Risk and Off-Balance Sheet Risk | ' | ||||||||||
(h) Concentration of Risk and Off-Balance Sheet Risk | |||||||||||
Financial instruments that potentially subject the Company to concentrations of credit risk are principally cash equivalents and accounts receivable. The Company's cash equivalents are principally maintained in an investment grade money-market fund. | |||||||||||
The Company has no significant off-balance-sheet risk such as foreign exchange contracts, option contracts or other foreign hedging arrangements. | |||||||||||
The Company exposure to market risk for changes in interest rates relates primarily to cash equivalents. The primary objective of the Company's investment activities is to preserve principal while maximizing yields without significantly increasing risk. This is accomplished by investing in marketable high investment grade securities. The Company does not use derivative financial instruments to manage its investment portfolio and does not expect operating results or cash flows to be affected to any significant degree by any change in market interest rates. | |||||||||||
The Company performs ongoing credit evaluations of its customers' financial condition and generally requires no collateral to secure accounts receivable. For selected overseas sales, the Company requires customers to obtain letters of credit before product is shipped. The Company maintains an allowance for doubtful accounts based on its assessment of the collectability of accounts receivable. The Company reviews the allowance for doubtful accounts monthly. The Company does not have any off-balance sheet credit exposure related to its customers. | |||||||||||
The Company's customers consist of semiconductor manufacturers located throughout the world and net sales to its ten largest customers accounted for 69.1%, 70.6% and 68.6% of revenue in 2013, 2012 and 2011, respectively. | |||||||||||
For the years ended December 31, 2013, 2012 and 2011, the Company had one customer represent 15.5%, 18.2% and 21.2% of total revenues, respectively, for each of the periods presented. | |||||||||||
For the year ended December 31, 2013, the Company had three customers account for 23.2%, 14.2% and 13.6% of consolidated accounts receivable, respectively. For the year ended December 31, 2012, the Company had two customers account for 11.9% and 11.5% of consolidated accounts receivable, respectively. | |||||||||||
Some of the components and sub-assemblies included in the Company's products are obtained either from a sole source or a limited group of suppliers. Disruption to the Company's supply source, resulting either from depressed economic conditions or other factors, could affect its ability to deliver products to its customers. | |||||||||||
Revenue Recognition | ' | ||||||||||
(i) Revenue Recognition | |||||||||||
The Company's revenue recognition policy involves significant judgment by management. As described below, the Company considers a broad array of facts and circumstances in determining when to recognize revenue, including contractual obligations to the customer, the complexity of the customer's post-delivery acceptance provisions, payment history, customer creditworthiness and the installation process. In the future, if the post-delivery acceptance provisions and installation process become more complex or result in a materially lower rate of acceptance, the Company may have to revise its revenue recognition policy, which could delay the timing of revenue recognition. | |||||||||||
The Company's system sales transactions are made up of multiple elements, including the system itself and elements that are not delivered simultaneously with the system. These undelivered elements might include a combination of installation services, extended warranty and support and spare parts, all of which are covered generally by a single sales price. | |||||||||||
The Company's system revenue arrangements with multiple elements are divided into separate units of accounting if specified criteria are met, including whether the delivered element has stand-alone value to the customer. If the criteria are met, then the consideration received is allocated among the separate units based on their relative selling price, and the revenue is recognized separately for each of the separate units. | |||||||||||
The Company determines selling price for each unit of accounting (element) using vendor specific objective evidence (VSOE) or third-party evidence (TPE), if they exist, otherwise, the Company uses best estimated selling price (BESP). The Company generally expects that it will not be able to establish TPE due to the nature of its products, and, as such, the Company typically will determine selling price using VSOE or BESP. | |||||||||||
Where required, the Company determines BESP for an individual element based on consideration of both market and Company-specific factors, including the selling price and profit margin for similar products, the cost to produce the deliverable and the anticipated margin on that deliverable and the characteristics of the varying markets in which the deliverable is sold. | |||||||||||
Systems are not sold separately and VSOE or TPE is not available for the systems element. Therefore the selling price associated with systems is based on BESP. The allocated value for installation in the arrangement includes the greater of (i) the relative selling price of the installation or (ii) the portion of the sales price that will not be received until the installation is completed (the "retention"). The selling price of installation is based upon the fair value of the service performed, including labor, which is based upon the estimated time to complete the installation at hourly rates, and material components, both of which are sold separately. The selling price of all other elements (extended warranty for support, spare parts, and labor) is based upon the price charged when these elements are sold separately, or VSOE. | |||||||||||
Product revenue for products which have demonstrated market acceptance, is generally recognized upon shipment provided title and risk of loss has passed to the customer, evidence of an arrangement exists, prices are contractually fixed or determinable, collectability is reasonably assured through historical collection results and regular credit evaluations, and there are no uncertainties regarding customer acceptance. Revenue from installation services is recognized at the time acceptance has occurred, as defined in the sales documentation or, for certain customers, when both acceptance has occurred and retention payment has been received. Revenue for other elements is recognized at the time products are shipped or the related services are performed. | |||||||||||
The Company generally recognizes revenue for products which have demonstrated market acceptance at the time of shipment because the customer's post-delivery acceptance provisions and installation process have been established to be routine, commercially inconsequential and perfunctory. The Company believes the risk of failure to complete a system installation is remote. | |||||||||||
For initial shipments of systems with new technologies or in the small number of instances where the Company is unsure of meeting the customer's specifications or obtaining customer acceptance upon shipment of the system, it will defer the recognition of systems revenue and related costs until written customer acceptance of the system is obtained. This deferral period is generally within twelve months of shipment. | |||||||||||
Revenue related to maintenance and service contracts is recognized ratably over the duration of the contracts, or based on parts usage, where appropriate. Revenue related to service hours is recognized when the services are performed. | |||||||||||
Product revenue includes revenue from system sales, sales of spare parts, the spare parts component of maintenance and service contracts and product upgrades. Service revenue includes the labor component of maintenance and service contract amounts charged for on-site service personnel. | |||||||||||
Shipping and Handling Costs | ' | ||||||||||
(j) Shipping and Handling Costs | |||||||||||
Shipping and handling costs are included in cost of revenue. | |||||||||||
Stock-Based Compensation | ' | ||||||||||
(k) Stock-Based Compensation | |||||||||||
The Company generally recognizes compensation expense for all share-based payments to employees and directors, including grants of employee stock options, based on the grant-date fair value of those share-based payments using the Black-Scholes option pricing model, adjusted for expected forfeitures. Other valuation models may be utilized in the limited circumstances where awards with performance-based vesting considerations such as the price of the Company's common stock are granted. Stock-based compensation expense is recognized ratably over the requisite service period. | |||||||||||
See Note 13 for additional information relating to stock-based compensation. | |||||||||||
Income Taxes | ' | ||||||||||
(l) Income Taxes | |||||||||||
The Company records income taxes using the asset and liability method. Deferred income tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective income tax bases, and operating loss and tax credit carryforwards. | |||||||||||
The Company's consolidated financial statements contain certain deferred tax assets which have arisen primarily as a result of operating losses, as well as other temporary differences between financial and tax accounting. The Company establishes a valuation allowance if the likelihood of realization of the deferred tax assets is reduced based on an evaluation of objective verifiable evidence. Significant management judgment is required in determining the Company's provision for income taxes, the Company's deferred tax assets and liabilities and any valuation allowance recorded against those net deferred tax assets. The Company evaluates the weight of all available evidence to determine whether it is more likely than not that some portion or all of the net deferred income tax assets will not be realized. | |||||||||||
Income taxes include the largest amount of tax benefit for an uncertain tax position that is more likely than not to be sustained upon audit based on the technical merits of the tax position. Settlements with tax authorities, the expiration of statutes of limitations for particular tax positions, or obtaining new information on particular tax positions may cause a change to the effective tax rate. The Company recognizes accrued interest related to unrecognized tax benefits as interest expense and penalties as operating expense in the consolidated statements of operations. | |||||||||||
Computation of Net Income (Loss) per Share | ' | ||||||||||
(m) Computation of Net Income (Loss) per Share | |||||||||||
Basic earnings per share is computed by dividing income available to common stockholders (the numerator) by the weighted-average number of common shares outstanding (the denominator) for the period. The computation of diluted earnings per share is similar to basic earnings per share, except that the denominator is increased to include the number of additional common shares that would have been outstanding if the potentially dilutive common shares had been issued, calculated using the treasury stock method. | |||||||||||
The Company incurred net losses for the years ended December 31, 2013 and December 31, 2012, and has excluded 3,547,578 and 1,563,417 incremental shares attributable to outstanding stock options, restricted stock and restricted stock units from the calculation of net loss per share because the effect would have been anti-dilutive. | |||||||||||
The components of net income (loss) per share are as follows: | |||||||||||
Years Ended December 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
(in thousands, except per share data) | |||||||||||
Income (loss) available to common stockholders | $ | (17,144 | ) | $ | (34,034 | ) | $ | 5,077 | |||
| | | | | | | | | | | |
| | | | | | | | | | | |
Weighted average common shares outstanding used in computing basic net income (loss) per share | 108,869 | 107,619 | 106,234 | ||||||||
Incremental shares | — | — | 2,864 | ||||||||
| | | | | | | | | | | |
Weighted average common shares outstanding used in computing diluted net income (loss) per share | 108,869 | 107,619 | 109,098 | ||||||||
| | | | | | | | | | | |
| | | | | | | | | | | |
Net income (loss) per share | |||||||||||
Basic | $ | (0.16 | ) | $ | (0.32 | ) | $ | 0.05 | |||
Diluted | $ | (0.16 | ) | $ | (0.32 | ) | $ | 0.05 | |||
Accumulated Other Comprehensive Income | ' | ||||||||||
(n) Accumulated Other Comprehensive Income | |||||||||||
The following table presents the changes in accumulated other comprehensive income, net of tax, by component for the year ended December 31, 2013: | |||||||||||
Foreign | Defined benefit | Total | |||||||||
currency | pension plan | ||||||||||
(in thousands) | |||||||||||
Balance at December 31, 2012 | $ | 5,375 | $ | (355 | ) | $ | 5,020 | ||||
Other comprehensive loss before reclassifications | 695 | — | 695 | ||||||||
Amounts reclassified from accumulated other comprehensive income(1) | — | 24 | 24 | ||||||||
| | | | | | | | | | | |
Net current-period other comprehensive income | 695 | 24 | 719 | ||||||||
| | | | | | | | | | | |
Balance at December 31, 2013 | $ | 6,070 | $ | (331 | ) | $ | 5,739 | ||||
| | | | | | | | | | | |
| | | | | | | | | | | |
-1 | |||||||||||
Amount presented before taxes as the tax effect is not material to the consolidated financial statements. | |||||||||||
Recent Accounting Guidance | ' | ||||||||||
(o) Recent Accounting Guidance | |||||||||||
Accounting Standards or Updates Recently Adopted | |||||||||||
On February 5, 2013, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update No. 2013-02, Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. The update requires that companies present either in a single note or parenthetically on the face of the financial statements, the effect of significant amounts reclassified from each component of accumulated other comprehensive income based on its source and the income statement line items affected by the reclassification. If a component is not required to be reclassified to net income in its entirety, companies would instead cross reference to the related footnote for additional information. This update is effective prospectively for annual and interim reporting periods beginning after December 15, 2012. As this update only requires enhanced disclosure, the adoption of this update will not impact our financial position or results of operations. | |||||||||||
Accounting Standards or Updates Not Yet Effective | |||||||||||
In July 2013, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exist. ASU 2013-11 amends the presentation requirements of ASC 740, Income Taxes, and requires an unrecognized tax benefit to be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, similar tax loss, or a tax credit carryforward. To the extent the tax benefit is not available at the reporting date under the governing tax law or if the entity does not intend to use the deferred tax asset for such purpose, the unrecognized tax benefit should be presented as a liability and not combined with deferred tax assets. The ASU is effective for annual periods, and interim periods within those years, beginning after December 15, 2013, which is fiscal 2014 for the Company. The amendments are to be applied to all unrecognized tax benefits that exist as of the effective date and may be applied retrospectively to each prior reporting period presented. The Company is currently evaluating the impact of the adoption of ASU 2013-11 on its consolidated financial statements. We do not expect the adoption of this standard to have a significant impact on our consolidated financial statements. | |||||||||||
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Summary of Significant Accounting Policies | ' | ||||||||||
Schedule of estimated useful lives of the related assets | ' | ||||||||||
Asset Classification | Estimated Useful Life | ||||||||||
Buildings | 40 years | ||||||||||
Machinery and equipment | 3 to 10 years | ||||||||||
Schedule of components of net income (loss) per share | ' | ||||||||||
Years Ended December 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
(in thousands, except per share data) | |||||||||||
Income (loss) available to common stockholders | $ | (17,144 | ) | $ | (34,034 | ) | $ | 5,077 | |||
| | | | | | | | | | | |
| | | | | | | | | | | |
Weighted average common shares outstanding used in computing basic net income (loss) per share | 108,869 | 107,619 | 106,234 | ||||||||
Incremental shares | — | — | 2,864 | ||||||||
| | | | | | | | | | | |
Weighted average common shares outstanding used in computing diluted net income (loss) per share | 108,869 | 107,619 | 109,098 | ||||||||
| | | | | | | | | | | |
| | | | | | | | | | | |
Net income (loss) per share | |||||||||||
Basic | $ | (0.16 | ) | $ | (0.32 | ) | $ | 0.05 | |||
Diluted | $ | (0.16 | ) | $ | (0.32 | ) | $ | 0.05 | |||
Schedule of changes in accumulated other comprehensive income, net of tax | ' | ||||||||||
Foreign | Defined benefit | Total | |||||||||
currency | pension plan | ||||||||||
(in thousands) | |||||||||||
Balance at December 31, 2012 | $ | 5,375 | $ | (355 | ) | $ | 5,020 | ||||
Other comprehensive loss before reclassifications | 695 | — | 695 | ||||||||
Amounts reclassified from accumulated other comprehensive income(1) | — | 24 | 24 | ||||||||
| | | | | | | | | | | |
Net current-period other comprehensive income | 695 | 24 | 719 | ||||||||
| | | | | | | | | | | |
Balance at December 31, 2013 | $ | 6,070 | $ | (331 | ) | $ | 5,739 | ||||
| | | | | | | | | | | |
| | | | | | | | | | | |
-1 | |||||||||||
Amount presented before taxes as the tax effect is not material to the consolidated financial statements. | |||||||||||
Restricted_Cash_Tables
Restricted Cash (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Restricted Cash | ' | |||||||
Schedule of components of restricted cash | ' | |||||||
December 31, | ||||||||
2013 | 2012 | |||||||
(in thousands) | ||||||||
Statutory liability deposit | $ | — | $ | 106 | ||||
Interest reserve escrow | 825 | — |
Accounts_Receivable_net_Tables
Accounts Receivable, net (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Accounts Receivable, net | ' | |||||||
Schedule of components of accounts receivable | ' | |||||||
December 31, | ||||||||
2013 | 2012 | |||||||
(in thousands) | ||||||||
Trade receivables | $ | 36,991 | $ | 25,148 | ||||
Allowance for doubtful accounts | (404 | ) | (305 | ) | ||||
| | | | | | | | |
$ | 36,587 | $ | 24,843 | |||||
| | | | | | | | |
| | | | | | | | |
Inventories_net_Tables
Inventories, net (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Inventories, net | ' | |||||||
Schedule of components of inventories | ' | |||||||
December 31, | ||||||||
2013 | 2012 | |||||||
(in thousands) | ||||||||
Raw materials | $ | 56,942 | $ | 72,013 | ||||
Work in process | 27,462 | 12,253 | ||||||
Finished goods (completed systems) | 11,385 | 15,968 | ||||||
| | | | | | | | |
$ | 95,789 | $ | 100,234 | |||||
| | | | | | | | |
| | | | | | | | |
Property_Plant_and_Equipment_n1
Property, Plant and Equipment, net (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Property, Plant and Equipment, net | ' | |||||||
Schedule of components of property, plant and equipment | ' | |||||||
December 31, | ||||||||
2013 | 2012 | |||||||
(in thousands) | ||||||||
Land and buildings | $ | 79,076 | $ | 78,954 | ||||
Machinery and equipment | 7,774 | 7,118 | ||||||
Construction in process | 356 | 455 | ||||||
| | | | | | | | |
Total cost | 87,206 | 86,527 | ||||||
Accumulated depreciation | (55,200 | ) | (52,114 | ) | ||||
| | | | | | | | |
Property, plant and equipment, net | $ | 32,006 | $ | 34,413 | ||||
| | | | | | | | |
| | | | | | | | |
Assets_Manufactured_for_Intern1
Assets Manufactured for Internal Use (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Assets Manufactured for Internal Use | ' | |||||||
Schedule of components of assets manufactured for internal use | ' | |||||||
December 31, | ||||||||
2013 | 2012 | |||||||
(in thousands) | ||||||||
Internal use assets | $ | 23,409 | $ | 21,904 | ||||
Construction in progress | 5,263 | 1,823 | ||||||
| | | | | | | | |
Total cost | 28,672 | 23,727 | ||||||
Accumulated depreciation | (15,774 | ) | (13,948 | ) | ||||
| | | | | | | | |
Assets manufactured for internal use | $ | 12,898 | $ | 9,779 | ||||
| | | | | | | | |
| | | | | | | | |
Restructuring_Charges_Tables
Restructuring Charges (Tables) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Restructuring Charges. | ' | ||||
Schedule of changes in restructuring liability | ' | ||||
Severance | |||||
(In thousands) | |||||
Balance at December 31, 2010 | $ | 171 | |||
Cash payments | — | ||||
| | | | | |
Balance at December 31, 2011 | 171 | ||||
Severance and related costs | 4,169 | ||||
Cash payments | (3,551 | ) | |||
Non-cash items | (130 | ) | |||
| | | | | |
Balance at December 31, 2012 | 659 | ||||
Severance and related costs | 2,334 | ||||
Cash payments | (2,950 | ) | |||
| | | | | |
Balance at December 31, 2013 | $ | 43 | |||
| | | | | |
| | | | | |
Product_Warranty_Tables
Product Warranty (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Product Warranty | ' | ||||||||||
Schedule of product warranty | ' | ||||||||||
Years Ended December 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
(in thousands) | |||||||||||
Balance at January 1 (beginning of year) | $ | 1,801 | $ | 3,697 | $ | 2,713 | |||||
Warranties issued during the period | 2,240 | 3,042 | 4,772 | ||||||||
Settlements made during the period | (1,515 | ) | (3,010 | ) | (5,275 | ) | |||||
Changes in estimate of liability for pre-existing warranties during the period | (1,098 | ) | (1,928 | ) | 1,487 | ||||||
| | | | | | | | | | | |
Balance at December 31 (end of year) | $ | 1,428 | $ | 1,801 | $ | 3,697 | |||||
| | | | | | | | | | | |
Amount classified as current | $ | 1,316 | $ | 1,700 | $ | 3,556 | |||||
Amount classified as long-term | 112 | 101 | 141 | ||||||||
| | | | | | | | | | | |
Total Warranty Liability | $ | 1,428 | $ | 1,801 | $ | 3,697 | |||||
| | | | | | | | | | | |
| | | | | | | | | | | |
Employee_Benefit_Plans_Tables
Employee Benefit Plans (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Employee Benefit Plans | ' | |||||||
Schedule of classification of liabilities in consolidated balance sheets | ' | |||||||
Year Ended | ||||||||
December 31, | ||||||||
2013 | 2012 | |||||||
(in thousands) | ||||||||
Current: | ||||||||
Accrued compensation | $ | 638 | $ | 1,475 | ||||
| | | | | | | | |
Total current liabilities | $ | 638 | $ | 1,475 | ||||
Long-term: | ||||||||
Other long-term liabilities | $ | 3,416 | $ | 3,042 | ||||
| | | | | | | | |
Total liabilities | $ | 4,054 | $ | 4,517 | ||||
| | | | | | | | |
| | | | | | | | |
Stock_Award_Plans_and_Stock_Ba1
Stock Award Plans and Stock Based Compensation (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Stock Award Plans and Stock Based Compensation | ' | |||||||||||||
Schedule of estimated weighted-average assumptions used in calculation of fair value of options granted | ' | |||||||||||||
Years ended December 31, | ||||||||||||||
2013 | 2012 | 2011 | ||||||||||||
Weighted-average expected volatility | 98.1 | % | 97.8%-113.55 | % | 97.8 | % | ||||||||
Weighted-average expected term | 4.7 years | 3.8-6.1 years | 6.1 years | |||||||||||
Risk-free interest rate | 0.7%-1.4 | % | 0.45%-1.37 | % | 1.1%-2.4 | % | ||||||||
Expected dividend yield | 0 | % | 0 | % | 0 | % | ||||||||
Summary of stock option activity | ' | |||||||||||||
Options | Weighted | Weighted | Aggregate | |||||||||||
Average | Average | Intrinsic | ||||||||||||
Exercise | Remaining | Value | ||||||||||||
Price | Contractual | |||||||||||||
Term | ||||||||||||||
(in thousands) | (years) | (in thousands) | ||||||||||||
Outstanding at December 31, 2012 | 21,260 | $ | 2.24 | |||||||||||
Granted | 5,409 | 1.95 | ||||||||||||
Exercised | (1,511 | ) | 1.1 | |||||||||||
Canceled | (1,138 | ) | 1.39 | |||||||||||
Expired | (1,721 | ) | 7.26 | |||||||||||
| | | | | | | | | | | | | | |
Outstanding at December 31, 2013 | 22,299 | $ | 1.89 | 5.95 | $ | 21,017 | ||||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
Exercisable at December 31, 2013 | 12,075 | $ | 2.1 | 5.53 | $ | 12,705 | ||||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
Options Vested or Expected to Vest at December 31, 2013(1) | 21,515 | $ | 1.89 | 6.02 | $ | 12,609 | ||||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
-1 | ||||||||||||||
In addition to the vested options, the Company expects a portion of the unvested options to vest at some point in the future. Options expected to vest is calculated by applying an estimated forfeiture rate to the unvested options. | ||||||||||||||
Schedule of changes in the Company's non-vested restricted stock units | ' | |||||||||||||
Shares/units | Weighted-Average | |||||||||||||
Grant Date Fair | ||||||||||||||
Value per Share | ||||||||||||||
(in thousands) | ||||||||||||||
Outstanding at December 31, 2012 | 961 | $ | 1.73 | |||||||||||
Granted | 195 | 1.27 | ||||||||||||
Vested | (231 | ) | 1.56 | |||||||||||
Forfeited | (902 | ) | 1.68 | |||||||||||
| | | | | | | | |||||||
Outstanding at December 31, 2013 | 23 | $ | 1.39 | |||||||||||
| | | | | | | | |||||||
| | | | | | | | |||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Fair Value Measurements | ' | |||||||||||||
Schedule of assets measured at fair value | ' | |||||||||||||
December 31, 2013 | ||||||||||||||
Fair Value Measurements | ||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||
(in thousands) | ||||||||||||||
Assets | ||||||||||||||
Cash equivalents: | ||||||||||||||
Money market funds | $ | 10,504 | $ | — | $ | — | $ | 10,504 | ||||||
Liabilites | ||||||||||||||
Term loan | $ | — | $ | 15,000 | $ | — | $ | 15,000 | ||||||
December 31, 2012 | ||||||||||||||
Fair Value Measurements | ||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||
(in thousands) | ||||||||||||||
Assets | ||||||||||||||
Cash equivalents: | ||||||||||||||
Money market funds | $ | 29,179 | $ | — | $ | — | $ | 29,179 |
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Commitments and Contingencies | ' | ||||
Schedule of future minimum lease commitments on non-cancelable operating leases | ' | ||||
Operating | |||||
Leases | |||||
(in thousands) | |||||
2014 | $ | 2,762 | |||
2015 | 1,458 | ||||
2016 | 312 | ||||
2017 | 42 | ||||
| | | | | |
$ | 4,574 | ||||
| | | | | |
| | | | | |
Business_Segment_and_Geographi1
Business Segment and Geographic Region Information (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Business Segment and Geographic Region Information | ' | ||||||||||
Schedule of revenue by product lines | ' | ||||||||||
Years ended December 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
(in thousands) | |||||||||||
Ion implantation systems, services, and royalties | $ | 164,030 | $ | 156,090 | $ | 237,857 | |||||
Other systems and services | 31,602 | 47,295 | 81,559 | ||||||||
| | | | | | | | | | | |
$ | 195,632 | $ | 203,385 | $ | 319,416 | ||||||
| | | | | | | | | | | |
| | | | | | | | | | | |
Schedule of revenue and long-lived assets by geographic region | ' | ||||||||||
Revenue | Long-Lived | ||||||||||
Assets | |||||||||||
(in thousands) | |||||||||||
2013 | |||||||||||
United States | $ | 116,969 | $ | 44,424 | |||||||
Europe | 27,933 | — | |||||||||
Asia Pacific | 50,730 | 480 | |||||||||
| | | | | | | | ||||
195,632 | $ | 44,904 | |||||||||
| | | | | | | | ||||
| | | | | | | | ||||
2012 | |||||||||||
United States | $ | 132,159 | $ | 43,440 | |||||||
Europe | 27,636 | — | |||||||||
Asia Pacific | 43,590 | 752 | |||||||||
| | | | | | | | ||||
$ | 203,385 | $ | 44,192 | ||||||||
| | | | | | | | ||||
| | | | | | | | ||||
2011 | |||||||||||
United States | $ | 234,123 | $ | 54,472 | |||||||
Europe | 31,505 | — | |||||||||
Asia Pacific | 53,779 | 996 | |||||||||
| | | | | | | | ||||
$ | 319,416 | $ | 55,468 | ||||||||
| | | | | | | | ||||
| | | | | | | | ||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Income Taxes | ' | |||||||||||||
Schedule of income (loss) before income taxes | ' | |||||||||||||
Years ended December 31, | ||||||||||||||
2013 | 2012 | 2011 | ||||||||||||
(in thousands) | ||||||||||||||
United States | $ | (18,998 | ) | $ | (37,682 | ) | $ | 2,622 | ||||||
Foreign | 2,894 | 5,294 | 4,849 | |||||||||||
| | | | | | | | | | | ||||
Income (loss) before income taxes | $ | (16,104 | ) | $ | (32,388 | ) | $ | 7,471 | ||||||
| | | | | | | | | | | ||||
| | | | | | | | | | | ||||
Schedule of components of income taxes (benefits) | ' | |||||||||||||
Years ended December 31, | ||||||||||||||
2013 | 2012 | 2011 | ||||||||||||
(in thousands) | ||||||||||||||
Current: | ||||||||||||||
United States | ||||||||||||||
Federal | $ | — | $ | — | $ | — | ||||||||
State | 84 | 82 | 163 | |||||||||||
Foreign | 641 | 738 | 1,646 | |||||||||||
| | | | | | | | | | | ||||
Total current | 725 | 820 | 1,809 | |||||||||||
| | | | | | | | | | | ||||
Deferred: | ||||||||||||||
Foreign | 315 | 826 | 585 | |||||||||||
| | | | | | | | | | | ||||
Total deferred | 315 | 826 | 585 | |||||||||||
| | | | | | | | | | | ||||
Income taxes | $ | 1,040 | $ | 1,646 | $ | 2,394 | ||||||||
| | | | | | | | | | | ||||
| | | | | | | | | | | ||||
Schedule of reconciliations of income taxes at the United States Federal statutory rate to the effective income tax rate | ' | |||||||||||||
Years ended December 31, | ||||||||||||||
2013 | 2012 | 2011 | ||||||||||||
(in thousands) | ||||||||||||||
Income tax (benefits) at the United States statutory rate | $ | (5,636 | ) | $ | (11,336 | ) | $ | 2,615 | ||||||
State income taxes | 55 | 53 | 31 | |||||||||||
Unrecognized tax benefits | (293 | ) | (832 | ) | 899 | |||||||||
Effect of change in valuation allowance | 5,975 | 12,662 | (3,160 | ) | ||||||||||
Foreign income tax rate differentials | (1,244 | ) | (788 | ) | (365 | ) | ||||||||
Restoration of foreign deferred tax assets | 961 | — | — | |||||||||||
Foreign dividend | — | 383 | — | |||||||||||
Stock options | 450 | 1,298 | — | |||||||||||
Deemed distribution from foreign subsidiaries | 316 | 149 | 1,533 | |||||||||||
Other, net | 456 | 57 | 841 | |||||||||||
| | | | | | | | | | | ||||
Income taxes | $ | 1,040 | $ | 1,646 | $ | 2,394 | ||||||||
| | | | | | | | | | | ||||
| | | | | | | | | | | ||||
Schedule of significant components of current and long-term deferred income taxes | ' | |||||||||||||
As of December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||
Current | Long Term | Current | Long Term | |||||||||||
(in thousands) | ||||||||||||||
Federal net operating loss carryforwards | $ | — | $ | 104,370 | $ | — | $ | 88,088 | ||||||
State net operating loss carryforwards | — | 2,250 | — | 1,181 | ||||||||||
Foreign net operating loss carryforwards | — | 1,421 | — | 1,853 | ||||||||||
Federal tax credit carryforwards | — | 17,814 | — | 17,814 | ||||||||||
State tax credit carryforwards | — | 5,543 | — | 9,051 | ||||||||||
Unremitted earnings of foreign subsidiaries | — | (9,661 | ) | — | (8,580 | ) | ||||||||
Intangible assets | — | 532 | — | 661 | ||||||||||
Property, plant and equipment | — | 4,796 | — | 5,925 | ||||||||||
Accrued compensation | 43 | 352 | 368 | |||||||||||
Inventories | 16,540 | 22,582 | (215 | ) | ||||||||||
Stock compensation | — | 4,896 | — | 4,378 | ||||||||||
Warranty | 591 | (56 | ) | 612 | 36 | |||||||||
Other | 2,671 | (2,406 | ) | 1,820 | 917 | |||||||||
| | | | | | | | | | | | | | |
Deferred taxes, gross | 19,845 | 129,499 | 25,366 | 121,477 | ||||||||||
| | | | | | | | | | | | | | |
Valuation allowance | (18,059 | ) | (129,409 | ) | (25,062 | ) | (119,605 | ) | ||||||
| | | | | | | | | | | | | | |
Deferred taxes, net | $ | 1,786 | $ | 90 | $ | 304 | $ | 1,872 | ||||||
| | | | | | | | | | | | | | |
| | | | | | | | | | | | | | |
Schedule of reconciliation of the beginning and ending balance of unrecognized tax benefits | ' | |||||||||||||
2013 | 2012 | |||||||||||||
(in thousands) | ||||||||||||||
Balance at beginning of year | $ | 7,719 | $ | 8,089 | ||||||||||
Increases in unrecognized tax benefits as a result of tax positions taken during a prior period | 324 | 646 | ||||||||||||
Decreases in unrecognized tax benefits related to settlements with tax authorities | — | (880 | ) | |||||||||||
Increases in unrecognized tax benefits as a result of tax positions taken during the current period | — | 663 | ||||||||||||
Reductions to unrecognized tax benefits as a result of a lapse of the applicable statute of limitations | (398 | ) | (799 | ) | ||||||||||
| | | | | | | | |||||||
Balance at end of year | $ | 7,645 | $ | 7,719 | ||||||||||
| | | | | | | | |||||||
Recorded as other long-term liability | $ | 2,343 | $ | 2,646 | ||||||||||
Recorded as a decrease in deferred tax assets and offsetting valuation allowance | 5,302 | 5,073 | ||||||||||||
| | | | | | | | |||||||
$ | 7,645 | $ | 7,719 | |||||||||||
| | | | | | | | |||||||
| | | | | | | | |||||||
Quarterly_Results_of_Operation1
Quarterly Results of Operations (unaudited) (Tables) | 12 Months Ended | |||||||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||||||
Quarterly Results of Operations (unaudited) | ' | |||||||||||||||||||||||||
Schedule of quarterly results of operations | ' | |||||||||||||||||||||||||
Dec. 31, | Sept. 30, | June 30, | March 31, | Dec. 31, | Sept. 30, | June 30, | March 31, | |||||||||||||||||||
2013(1) | 2013(2) | 2013(3) | 2013(4) | 2012(5) | 2012(6) | 2012(7) | 2012(8) | |||||||||||||||||||
(in thousands, except per share data) | ||||||||||||||||||||||||||
Revenue | $ | 58,574 | $ | 48,831 | $ | 47,501 | $ | 40,726 | $ | 44,624 | $ | 44,640 | $ | 59,114 | $ | 55,007 | ||||||||||
Gross profit | 21,280 | 16,976 | 16,737 | 12,943 | 480 | 14,367 | 22,788 | 20,536 | ||||||||||||||||||
Net income (loss) | 614 | (4,750 | ) | (4,019 | ) | (8,988 | ) | (14,818 | ) | (8,718 | ) | (471 | ) | (10,027 | ) | |||||||||||
Net income (loss) per share basic and diluted | $ | 0.01 | $ | (0.04 | ) | $ | (0.04 | ) | $ | (0.08 | ) | $ | (0.14 | ) | $ | (0.08 | ) | $ | (0.00 | ) | $ | (0.09 | ) | |||
-1 | ||||||||||||||||||||||||||
Net income includes $0.4 million of income related to the expiration of an uncertain tax position in a foreign jurisdiction. | ||||||||||||||||||||||||||
-2 | ||||||||||||||||||||||||||
Net loss includes $0.4 million related to the write off of certain deferred tax assets in foreign jurisdictions. | ||||||||||||||||||||||||||
-3 | ||||||||||||||||||||||||||
Net loss includes $0.4 million in restructuring charges, and $0.8 million from the gain on sale of dry strip assets and intellectual property. | ||||||||||||||||||||||||||
-4 | ||||||||||||||||||||||||||
Gross profit and net loss includes a $2.1 million charge to excess and obsolete inventory. Net loss includes, $1.8 million in restructuring charges, and $0.4 million from the gain on sale of dry strip assets and intellectual property. | ||||||||||||||||||||||||||
-5 | ||||||||||||||||||||||||||
Gross profit and net loss includes a $13.4 million provision for excess inventory related to the Company's comprehensive review of its worldwide inventory levels. Net loss includes a $7.9 million gain on sale of the Company's dry strip assets and intellectual property to Lam Research; restructuring charges of $0.6 million; and a $2.1 million one-time marketing expense associated with the Company's evaluation programs. | ||||||||||||||||||||||||||
-6 | ||||||||||||||||||||||||||
Net loss includes restructuring charges of $0.6 million. | ||||||||||||||||||||||||||
-7 | ||||||||||||||||||||||||||
Net loss includes restructuring charges of $0.1 million and a tax expense of $0.8 million related to an uncertain tax position in a certain foreign jurisdiction. | ||||||||||||||||||||||||||
-8 | ||||||||||||||||||||||||||
Net loss includes restructuring charges of $2.9 million | ||||||||||||||||||||||||||
Nature_of_Business_Details
Nature of Business (Details) (USD $) | 1 Months Ended | 12 Months Ended | |||
Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 03, 2012 | Jun. 30, 2013 | |
mm | Dry strip product line, intellectual property rights and certain assets | Maximum | |||
Sale of assets | ' | ' | ' | ' | ' |
Proceeds from sale of dry strip assets and intellectual property | ' | $1,200,000 | $8,716,000 | ' | ' |
Size of dry strip wafer processing equipment (in millimeters) | 300 | ' | ' | ' | ' |
Contingent purchase price | ' | ' | ' | $2,000,000 | $2,000,000 |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Foreign Currency | ' | ' | ' |
Foreign exchange gains (losses) realized | ($0.30) | ($0.90) | $1.20 |
Buildings | ' | ' | ' |
Property, plant and equipment | ' | ' | ' |
Useful life | '40 years | ' | ' |
Machinery and equipment | Minimum | ' | ' | ' |
Property, plant and equipment | ' | ' | ' |
Useful life | '3 years | ' | ' |
Machinery and equipment | Maximum | ' | ' | ' |
Property, plant and equipment | ' | ' | ' |
Useful life | '10 years | ' | ' |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies (Details 2) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
item | item | item | |
Revenue | Customer concentration risk | One customer | ' | ' | ' |
Concentration of risk | ' | ' | ' |
Number of customers | 1 | 1 | 1 |
Percentage of concentration risk | 15.50% | 18.20% | 21.20% |
Revenue | Customer concentration risk | Ten largest customers | ' | ' | ' |
Concentration of risk | ' | ' | ' |
Number of customers | 10 | 10 | 10 |
Percentage of concentration risk | 69.10% | 70.60% | 68.60% |
Consolidated accounts receivable | Credit concentration risk | ' | ' | ' |
Concentration of risk | ' | ' | ' |
Number of customers | 3 | 2 | ' |
Consolidated accounts receivable | Credit concentration risk | One customer | ' | ' | ' |
Concentration of risk | ' | ' | ' |
Percentage of concentration risk | 23.20% | 11.90% | ' |
Consolidated accounts receivable | Credit concentration risk | Second customer | ' | ' | ' |
Concentration of risk | ' | ' | ' |
Percentage of concentration risk | 14.20% | 11.50% | ' |
Consolidated accounts receivable | Credit concentration risk | Third customer | ' | ' | ' |
Concentration of risk | ' | ' | ' |
Percentage of concentration risk | 13.60% | ' | ' |
Summary_of_Significant_Account5
Summary of Significant Accounting Policies (Details 3) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Revenue recognition | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum deferral period from shipment for recognition of systems revenue and related costs | ' | ' | ' | ' | ' | ' | ' | ' | '12 months | ' | ' |
Anti-dilutive shares excluded from calculation of net loss per share | ' | ' | ' | ' | ' | ' | ' | ' | 3,547,578 | 1,563,417 | ' |
Net income (loss) per share | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income (loss) available to common stockholders (in dollars) | $614 | ($4,750) | ($4,019) | ($8,988) | ($14,818) | ($8,718) | ($471) | ($10,027) | ($17,144) | ($34,034) | $5,077 |
Weighted average common shares outstanding used in computing basic net income (loss) per share | ' | ' | ' | ' | ' | ' | ' | ' | 108,869,000 | 107,619,000 | 106,234,000 |
Incremental shares | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,864,000 |
Weighted average common shares outstanding used in computing diluted net income (loss) per share | ' | ' | ' | ' | ' | ' | ' | ' | 108,869,000 | 107,619,000 | 109,098,000 |
Net income (loss) per share | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Basic (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ($0.16) | ($0.32) | $0.05 |
Diluted (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ($0.16) | ($0.32) | $0.05 |
Summary_of_Significant_Account6
Summary of Significant Accounting Policies (Details 4) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2013 |
Changes in accumulated other comprehensive income, net of tax | ' |
Balance at the beginning of period | $5,020 |
Other comprehensive loss before reclassifications | 695 |
Amounts reclassified from accumulated other comprehensive income | 24 |
Net current-period other comprehensive income | 719 |
Balance at the end of period | 5,739 |
Foreign currency | ' |
Changes in accumulated other comprehensive income, net of tax | ' |
Balance at the beginning of period | 5,375 |
Other comprehensive loss before reclassifications | 695 |
Net current-period other comprehensive income | 695 |
Balance at the end of period | 6,070 |
Defined benefit pension plan | ' |
Changes in accumulated other comprehensive income, net of tax | ' |
Balance at the beginning of period | -355 |
Amounts reclassified from accumulated other comprehensive income | 24 |
Net current-period other comprehensive income | 24 |
Balance at the end of period | ($331) |
Gain_on_Sale_of_Dry_Strip_Asse1
Gain on Sale of Dry Strip Assets and Intellectual Property (Details) (USD $) | 3 Months Ended | 12 Months Ended | 12 Months Ended | ||||||
Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 03, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | |
mm | Dry strip product line, intellectual property rights and certain assets | Dry strip product line, intellectual property rights and certain assets | Dry strip product line, intellectual property rights and certain assets | Dry strip product line, intellectual property rights and certain assets | Dry strip product line, intellectual property rights and certain assets | ||||
Period through September 2013 | Period through December 2015 | ||||||||
mm | mm | ||||||||
Sale of assets | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase price | ' | ' | ' | ' | ' | ' | $10,700,000 | ' | ' |
Contingent purchase price | ' | ' | ' | ' | ' | ' | 2,000,000 | ' | ' |
Gain on sale of dry strip assets and intellectual property | 800,000 | 400,000 | 1,167,000 | 7,904,000 | 1,200,000 | 7,900,000 | ' | ' | ' |
Proceeds | ' | ' | 1,200,000 | 8,716,000 | ' | ' | ' | ' | ' |
Offset against proceeds, product and material costs relating to assets sold | ' | ' | ' | ' | ' | $800,000 | ' | ' | ' |
Size of dry strip wafer equipment and products, Company license to make and sell (in millimeters) | ' | 300 | ' | ' | ' | ' | ' | 300 | 200 |
Restricted_Cash_Details
Restricted Cash (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
item | ||
Restricted Cash | ' | ' |
Statutory liability deposit | ' | $106,000 |
Interest reserve escrow | 825,000 | ' |
Surety bonds | 1,400,000 | 1,800,000 |
Standby letters of credit issued under the Silicon Valley Bank credit facility | $2,500,000 | $3,600,000 |
Number of standby letters of credit | 2 | ' |
Accounts_Receivable_net_Detail
Accounts Receivable, net (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Accounts Receivable, net | ' | ' |
Trade receivables | $36,991 | $25,148 |
Allowance for doubtful accounts | -404 | -305 |
Accounts receivable, net | $36,587 | $24,843 |
Inventories_net_Details
Inventories, net (Details) (USD $) | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | ||||
Mar. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
mm | Inventory reserves | Inventory reserves | Inventory reserves | Inventory reserves | Inventory reserves | |||
Inventories, net | ' | ' | ' | ' | ' | ' | ' | ' |
Raw materials | ' | $56,942,000 | $72,013,000 | ' | ' | ' | ' | ' |
Work in process | ' | 27,462,000 | 12,253,000 | ' | ' | ' | ' | ' |
Finished goods (completed systems) | ' | 11,385,000 | 15,968,000 | ' | ' | ' | ' | ' |
Inventories, net | ' | 95,789,000 | 100,234,000 | ' | ' | ' | ' | ' |
Inventory reserves | 2,100,000 | 25,100,000 | 33,600,000 | ' | ' | ' | ' | ' |
Size of dry strip wafer equipment and products, Company license to make and sell (in millimeters) | 300 | ' | ' | ' | ' | ' | ' | ' |
Valuation and Qualifying Accounts | ' | ' | ' | ' | ' | ' | ' | ' |
Increase in inventory reserves | ' | ' | ' | ' | 13,400,000 | 2,562,000 | 14,492,000 | 1,015,000 |
Cost of sales due to below normal production capacity | ' | 600,000 | 2,600,000 | ' | ' | ' | ' | ' |
Decrease in inventory reserves | ' | ' | ' | $8,700,000 | ' | $10,913,000 | $4,819,000 | $5,583,000 |
Property_Plant_and_Equipment_n2
Property, Plant and Equipment, net (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Property, plant and equipment, net | ' | ' | ' |
Gross | $87,206,000 | $86,527,000 | ' |
Accumulated depreciation | -55,200,000 | -52,114,000 | ' |
Net | 32,006,000 | 34,413,000 | ' |
Depreciation expense | 3,200,000 | 3,300,000 | 3,500,000 |
Land and buildings | ' | ' | ' |
Property, plant and equipment, net | ' | ' | ' |
Gross | 79,076,000 | 78,954,000 | ' |
Machinery and equipment | ' | ' | ' |
Property, plant and equipment, net | ' | ' | ' |
Gross | 7,774,000 | 7,118,000 | ' |
Construction in process | ' | ' | ' |
Property, plant and equipment, net | ' | ' | ' |
Gross | $356,000 | $455,000 | ' |
Assets_Manufactured_for_Intern2
Assets Manufactured for Internal Use (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Assets manufactured for internal use | ' | ' | ' |
Cost | $87,206,000 | $86,527,000 | ' |
Accumulated depreciation | -55,200,000 | -52,114,000 | ' |
Net | 32,006,000 | 34,413,000 | ' |
Depreciation expense | 3,200,000 | 3,300,000 | 3,500,000 |
Assets Manufactured for Internal Use | ' | ' | ' |
Assets manufactured for internal use | ' | ' | ' |
Cost | 28,672,000 | 23,727,000 | ' |
Accumulated depreciation | -15,774,000 | -13,948,000 | ' |
Net | 12,898,000 | 9,779,000 | ' |
Depreciation expense | 1,800,000 | 3,400,000 | 4,900,000 |
Assets Manufactured for Internal Use | Internal use assets | ' | ' | ' |
Assets manufactured for internal use | ' | ' | ' |
Cost | 23,409,000 | 21,904,000 | ' |
Assets Manufactured for Internal Use | Construction in process | ' | ' | ' |
Assets manufactured for internal use | ' | ' | ' |
Cost | $5,263,000 | $1,823,000 | ' |
Assets_Manufactured_for_Intern3
Assets Manufactured for Internal Use (Details 2) (USD $) | 3 Months Ended | 12 Months Ended | 3 Months Ended | 9 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Sep. 30, 2013 |
Assets Manufactured for Internal Use | Assets Manufactured for Internal Use | ||||||||||||
Useful life of assets manufactured for internal use | Useful life of assets manufactured for internal use | ||||||||||||
Adjustment | Adjustment | ||||||||||||
Change in estimate of useful life of assets manufactured for internal use | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Useful life | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '10 years | '5 years |
Profit before tax | ' | ' | ' | ' | ' | ' | ' | ' | ($16,104) | ($32,388) | $7,471 | $100 | ' |
Net profit | $614 | ($4,750) | ($4,019) | ($8,988) | ($14,818) | ($8,718) | ($471) | ($10,027) | ($17,144) | ($34,034) | $5,077 | $100 | ' |
Restructuring_Charges_Details
Restructuring Charges (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2010 |
Severance | Severance | Severance | |||||||||
Changes in restructuring liability | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Balance at the beginning of the period | ' | ' | ' | ' | ' | ' | ' | ' | $659 | $171 | $171 |
Severance and related costs | 400 | 1,800 | 600 | 600 | 100 | 2,900 | 2,334 | 4,169 | 2,334 | 4,169 | ' |
Cash payments | ' | ' | ' | ' | ' | ' | ' | ' | -2,950 | -3,551 | ' |
Non-cash items | ' | ' | ' | ' | ' | ' | ' | ' | ' | -130 | ' |
Balance at the end of the period | ' | ' | ' | ' | ' | ' | ' | ' | $43 | $659 | $171 |
Product_Warranty_Details
Product Warranty (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Product Warranty | ' | ' | ' |
Product warranty period | '1 year | ' | ' |
Changes in product warranty liability | ' | ' | ' |
Balance at the beginning of the period | $1,801 | $3,697 | $2,713 |
Warranties issued during the period | 2,240 | 3,042 | 4,772 |
Settlements made during the period | -1,515 | -3,010 | -5,275 |
Changes in estimate of liability for pre-existing warranties during the period | -1,098 | -1,928 | 1,487 |
Balance at the end of the period | 1,428 | 1,801 | 3,697 |
Product warranty classification | ' | ' | ' |
Amount classified as current | 1,316 | 1,700 | 3,556 |
Amount classified as long-term | 112 | 101 | 141 |
Total Warranty liability | $1,428 | $1,801 | $3,697 |
Financing_Arrangements_Details
Financing Arrangements (Details) (USD $) | 3 Months Ended | 12 Months Ended | |
Dec. 31, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | |
item | |||
Financial Arrangements | ' | ' | ' |
Increase in restricted cash | ' | ' | ($825,000) |
Revolving credit facility | ' | ' | ' |
Financial Arrangements | ' | ' | ' |
Term | '2 years | ' | ' |
Maximum borrowing capacity under the credit facility | 10,000,000 | 30,000,000 | 10,000,000 |
Percentage increase over applicable interest rate, upon an event of default | ' | ' | 3.50% |
Number of letters of credit cash collateralized | ' | 2 | ' |
Amount of letters of credit cash collateralized | 2,500,000 | 1,500,000 | 2,500,000 |
Early termination fee | ' | 300,000 | 100,000 |
Available borrowing capacity under the credit facility | 7,500,000 | ' | 7,500,000 |
Reference rate | ' | ' | 'prime |
Basis spread (as a percent) | ' | ' | 1.00% |
Fee on unused portion of credit facility (as a percent) | ' | ' | 0.38% |
Revolving credit facility | Maximum | ' | ' | ' |
Financial Arrangements | ' | ' | ' |
Limitation on ability to borrow expressed as a percentage of the then current amount of qualified accounts receivable | 80.00% | ' | 80.00% |
Term Loan | ' | ' | ' |
Financial Arrangements | ' | ' | ' |
Term | ' | '3 years | ' |
Amount of borrowings | ' | 15,000,000 | ' |
Increase in restricted cash | ' | $800,000 | ' |
Interest rate per annum (as a percent) | 5.50% | ' | 5.50% |
Percentage increase over applicable interest rate, upon an event of default | ' | ' | 5.00% |
Term Loan | Prior to July 5, 2014 | ' | ' | ' |
Financial Arrangements | ' | ' | ' |
Early termination fee on amounts prepaid (as a percent) | 3.00% | ' | 3.00% |
Term Loan | Between July 5, 2014 and July 5, 2015 | ' | ' | ' |
Financial Arrangements | ' | ' | ' |
Early termination fee on amounts prepaid (as a percent) | 2.00% | ' | 2.00% |
Term Loan | Between July 5, 2015 and July 5, 2016 | ' | ' | ' |
Financial Arrangements | ' | ' | ' |
Early termination fee on amounts prepaid (as a percent) | 1.00% | ' | 1.00% |
Employee_Benefit_Plans_Details
Employee Benefit Plans (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Defined Contribution Plan | ' | ' | ' |
Defined contribution plan expenses | $0 | $0 | $0 |
Regular employees | ' | ' | ' |
Defined Contribution Plan | ' | ' | ' |
Maximum contribution per employee under the Axcelis Long-Term Investment Plan (as a percent) | 35.00% | ' | ' |
Highly compensated employees | ' | ' | ' |
Defined Contribution Plan | ' | ' | ' |
Maximum contribution per employee under the Axcelis Long-Term Investment Plan (as a percent) | 16.00% | ' | ' |
Employee_Benefit_Plans_Details1
Employee Benefit Plans (Details 2) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Classification of liabilities in the Consolidated Balance Sheets | ' | ' | ' |
Current liabilities | $638,000 | $1,475,000 | ' |
Total liabilities | 4,054,000 | 4,517,000 | ' |
Plan expenses | 600,000 | 600,000 | 700,000 |
Accrued compensation | ' | ' | ' |
Classification of liabilities in the Consolidated Balance Sheets | ' | ' | ' |
Current liabilities | 638,000 | 1,475,000 | ' |
Other liabilities | ' | ' | ' |
Classification of liabilities in the Consolidated Balance Sheets | ' | ' | ' |
Long-term liabilities | $3,416,000 | $3,042,000 | ' |
Stock_Award_Plans_and_Stock_Ba2
Stock Award Plans and Stock Based Compensation (Details) (USD $) | 12 Months Ended | 12 Months Ended | 12 Months Ended | ||||||||||||||||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | 2-May-12 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | |
Restricted stock and restricted stock units | Restricted stock and restricted stock units | Stock Options | Stock Options | Stock Options | Stock Options | Stock Options | Stock Options | Stock Options | Restricted stock | 2000 Stock Plan | 2000 Stock Plan | Employee stock purchase plan | Employee stock purchase plan | Employee stock purchase plan | Employee stock purchase plan | 2012 Equity Incentive Plan | 2012 Equity Incentive Plan | 2012 Equity Incentive Plan | 2012 Equity Incentive Plan | 2012 Equity Incentive Plan | 2012 Equity Incentive Plan | ||||
Maximum | Minimum | Maximum | Employees | Board of Directors (nonemployees) | Stock Options | Maximum | Stock Options | Restricted stock | Restricted stock | Restricted stock | |||||||||||||||
Maximum | |||||||||||||||||||||||||
Stock award plans and stock-based compensation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Awards granted (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares of common stock originally reserved for future grant | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7,100,000 | ' | ' | ' | ' |
Common stock, par value (in dollars per share) | $0.00 | $0.00 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expiration period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '10 years | ' | ' | ' | ' | ' | ' | '7 years | ' | ' | ' |
Vesting period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '4 years | '6 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Period after termination to exercise awards that were vested | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '90 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Period after termination to retiring employees to exercise vested awards | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '1 year | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares of common stock available for future grant | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | ' | 1,800,000 | ' | ' | ' | 3,600,000 | ' | ' | ' | ' | ' |
Employee Stock Purchase Plan | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payroll deductions as a percentage of employee's salary | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10.00% | ' | ' | ' | ' | ' | ' |
Purchase price as a percentage of the market value of a common stock on the day the stock is purchased | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 85.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Offering period over which compensation expense is amortized | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '6 months | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares purchased under the plan | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 200,000 | 300,000 | 400,000 | ' | ' | ' | ' | ' | ' | ' |
Estimated weighted-average assumptions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted-average expected volatility (as a percent) | ' | ' | ' | ' | ' | 98.10% | ' | 97.80% | 97.80% | 113.55% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted-average expected term | ' | ' | ' | ' | ' | '4 years 8 months 12 days | ' | '6 years 1 month 6 days | '3 years 9 months 18 days | '6 years 1 month 6 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | '7 years | ' | ' | ' | ' | ' |
Risk-free interest rate, minimum (as a percent) | ' | ' | ' | ' | ' | 0.70% | 0.45% | 1.10% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Risk-free interest rate, maximum (as a percent) | ' | ' | ' | ' | ' | 1.40% | 1.37% | 2.40% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expected dividend yield (as a percent) | ' | ' | ' | ' | ' | 0.00% | 0.00% | 0.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock-Based Compensation Expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Forfeiture rate (as a percent) | 5.00% | 5.00% | 5.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock-based compensation expense (in dollars) | $4,300,000 | $3,900,000 | $4,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $100,000 | $100,000 | $100,000 | ' | ' | ' | ' | ' | ' | ' |
Options | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the beginning of the period (in shares) | ' | ' | ' | ' | ' | 21,260,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in shares) | ' | ' | ' | ' | ' | 5,409,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercised (in shares) | ' | ' | ' | ' | ' | -1,511,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Canceled (in shares) | ' | ' | ' | ' | ' | -1,138,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expired (in shares) | ' | ' | ' | ' | ' | -1,721,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the end of the period (in shares) | ' | ' | ' | ' | ' | 22,299,000 | 21,260,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vested and exercisable (in shares) | ' | ' | ' | ' | ' | 12,075,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options Vested or Expected to Vest at the end of the period (in shares) | ' | ' | ' | ' | ' | 21,515,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted Average Exercise Price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the beginning of the period (in dollars per share) | ' | ' | ' | ' | ' | $2.24 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in dollars per share) | ' | ' | ' | ' | ' | $1.95 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercised (in dollars per share) | ' | ' | ' | ' | ' | $1.10 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Canceled (in dollars per share) | ' | ' | ' | ' | ' | $1.39 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expired (in dollars per share) | ' | ' | ' | ' | ' | $7.26 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the end of the period (in dollars per share) | ' | ' | ' | ' | ' | $1.89 | $2.24 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercisable at the end of the period (in dollars per share) | ' | ' | ' | ' | ' | $2.10 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options Vested or Expected to Vest at the end of the period (in dollars per share) | ' | ' | ' | ' | ' | $1.89 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted Average Remaining Contractual Term | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the end of the period | ' | ' | ' | ' | ' | '5 years 11 months 12 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercisable at the end of the period | ' | ' | ' | ' | ' | '5 years 6 months 11 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options Vested or Expected to Vest at the end of the period | ' | ' | ' | ' | ' | '6 years 7 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate Intrinsic Value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the end of the period (in dollars) | ' | ' | ' | ' | ' | 21,017,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercisable at the end of the period (in dollars) | ' | ' | ' | ' | ' | 12,705,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options Vested or Expected to Vest at the end of the period (in dollars) | ' | ' | ' | ' | ' | 12,609,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Additional disclosure | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total intrinsic value of options exercised (in dollars) | ' | ' | ' | ' | ' | 1,400,000 | 900,000 | 700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total fair value of stock options vested (in dollars) | ' | ' | ' | ' | ' | 3,800,000 | 4,100,000 | 3,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total forfeiture adjusted unrecognized compensation cost (in dollars) | ' | ' | ' | ' | ' | $9,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted-average period over which unrecognized compensation cost is expected to be recognized | ' | ' | ' | ' | ' | '2 years 10 months 24 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares/units | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the beginning of the period (in shares) | ' | ' | ' | 961,000 | 100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in shares) | ' | ' | ' | 195,000 | ' | ' | ' | ' | ' | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Vested (in shares) | ' | ' | ' | -231,000 | ' | ' | ' | ' | ' | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Forfeited (in shares) | ' | ' | ' | -902,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the end of the period (in shares) | ' | ' | ' | 23,000 | 100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted-Average Grant Date Fair Value per Share | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the beginning of the period (in dollars per share) | ' | ' | ' | $1.73 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in dollars per share) | ' | ' | ' | $1.27 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vested (in dollars per share) | ' | ' | ' | $1.56 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Forfeited (in dollars per share) | ' | ' | ' | $1.68 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding at the end of the period (in dollars per share) | ' | ' | ' | $1.39 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stockholders_Equity_Details
Stockholders' Equity (Details) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Stockholders' Equity | ' | ' |
Number of shares of preferred stock that the entity is authorized to issue | 30,000 | 30,000 |
Preferred stock, shares outstanding | 0 | 0 |
Maximum | ' | ' |
Stockholders' Equity | ' | ' |
Number of shares of preferred stock that the entity is authorized to issue | 30,000 | ' |
Fair_Value_Measurements_Detail
Fair Value Measurements (Details) (Recurring, USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Level 1 | Money market funds | ' | ' |
Fair Value Measurements | ' | ' |
Money market funds | $10,504 | $29,179 |
Level 2 | Term Loan | ' | ' |
Fair Value Measurements | ' | ' |
Term loan | 15,000 | ' |
Total | Term Loan | ' | ' |
Fair Value Measurements | ' | ' |
Term loan | 15,000 | ' |
Total | Money market funds | ' | ' |
Fair Value Measurements | ' | ' |
Money market funds | $10,504 | $29,179 |
Commitments_and_Contingencies_1
Commitments and Contingencies (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Lease Commitments | ' | ' | ' |
Rental expense under operating leases | $4,000,000 | $4,300,000 | $4,600,000 |
Future minimum lease commitments on non-cancelable operating leases | ' | ' | ' |
2014 | 2,762,000 | ' | ' |
2015 | 1,458,000 | ' | ' |
2016 | 312,000 | ' | ' |
2017 | 42,000 | ' | ' |
Total | 4,574,000 | ' | ' |
Purchase Commitments | ' | ' | ' |
Non-cancelable contracts and purchase orders for inventory | $24,500,000 | ' | ' |
Business_Segment_and_Geographi2
Business Segment and Geographic Region Information (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
item | |||||||||||
Business Segment and Geographic Region Information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of business segments | ' | ' | ' | ' | ' | ' | ' | ' | 1 | ' | ' |
Revenue by product lines | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenue | $58,574 | $48,831 | $47,501 | $40,726 | $44,624 | $44,640 | $59,114 | $55,007 | $195,632 | $203,385 | $319,416 |
Ion implantation systems, services, and royalties | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenue by product lines | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenue | ' | ' | ' | ' | ' | ' | ' | ' | 164,030 | 156,090 | 237,857 |
Other systems and services | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenue by product lines | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenue | ' | ' | ' | ' | ' | ' | ' | ' | $31,602 | $47,295 | $81,559 |
Business_Segment_and_Geographi3
Business Segment and Geographic Region Information (Details 2) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Revenue and long-lived assets by geographic region | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenue | $58,574 | $48,831 | $47,501 | $40,726 | $44,624 | $44,640 | $59,114 | $55,007 | $195,632 | $203,385 | $319,416 |
Long-Lived Assets | 44,904 | ' | ' | ' | 44,192 | ' | ' | ' | 44,904 | 44,192 | 55,468 |
United States | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenue and long-lived assets by geographic region | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenue | ' | ' | ' | ' | ' | ' | ' | ' | 116,969 | 132,159 | 234,123 |
Long-Lived Assets | 44,424 | ' | ' | ' | 43,440 | ' | ' | ' | 44,424 | 43,440 | 54,472 |
Europe | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenue and long-lived assets by geographic region | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenue | ' | ' | ' | ' | ' | ' | ' | ' | 27,933 | 27,636 | 31,505 |
Asia Pacific | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenue and long-lived assets by geographic region | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenue | ' | ' | ' | ' | ' | ' | ' | ' | 50,730 | 43,590 | 53,779 |
Long-Lived Assets | 480 | ' | ' | ' | 752 | ' | ' | ' | 480 | 752 | 996 |
International | Revenue | Geographic concentration risk | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenue and long-lived assets by geographic region | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenue | ' | ' | ' | ' | ' | ' | ' | ' | $149,400 | $142,800 | $231,000 |
Percentage of revenue | ' | ' | ' | ' | ' | ' | ' | ' | 76.40% | 70.20% | 72.30% |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Income (loss) before income taxes | ' | ' | ' |
United States | ($18,998,000) | ($37,682,000) | $2,622,000 |
Foreign | 2,894,000 | 5,294,000 | 4,849,000 |
Income (loss) before income taxes | -16,104,000 | -32,388,000 | 7,471,000 |
Current: | ' | ' | ' |
United States, State | 84,000 | 82,000 | 163,000 |
Foreign | 641,000 | 738,000 | 1,646,000 |
Total current | 725,000 | 820,000 | 1,809,000 |
Deferred: | ' | ' | ' |
Foreign | 315,000 | 826,000 | 585,000 |
Total deferred | 315,000 | 826,000 | 585,000 |
Income taxes | 1,040,000 | 1,646,000 | 2,394,000 |
Reconciliations of income taxes at the United States Federal statutory rate to the effective income tax rate | ' | ' | ' |
Income tax (benefits) at the United States statutory rate | -5,636,000 | -11,336,000 | 2,615,000 |
State income taxes | 55,000 | 53,000 | 31,000 |
Unrecognized tax benefits | -293,000 | -832,000 | 899,000 |
Effect of change in valuation allowance | 5,975,000 | 12,662,000 | -3,160,000 |
Foreign income tax rate differentials | -1,244,000 | -788,000 | -365,000 |
Restoration of foreign deferred tax assets | 961,000 | ' | ' |
Foreign dividend | ' | 383,000 | ' |
Stock options | 450,000 | 1,298,000 | ' |
Deemed distribution from foreign subsidiaries | 316,000 | 149,000 | 1,533,000 |
Other, net | 456,000 | 57,000 | 841,000 |
Income taxes | 1,040,000 | 1,646,000 | 2,394,000 |
Significant components of current deferred income taxes | ' | ' | ' |
Accrued compensation | 43,000 | 352,000 | ' |
Inventories | 16,540,000 | 22,582,000 | ' |
Warranty | 591,000 | 612,000 | ' |
Other | 2,671,000 | 1,820,000 | ' |
Deferred taxes, gross | 19,845,000 | 25,366,000 | ' |
Valuation allowance | -18,059,000 | -25,062,000 | ' |
Deferred taxes, net | 1,786,000 | 304,000 | ' |
Significant components of long-term deferred income taxes | ' | ' | ' |
Federal net operating loss carryforwards | 104,370,000 | 88,088,000 | ' |
State net operating loss carryforwards | 2,250,000 | 1,181,000 | ' |
Foreign net operating loss carryforwards | 1,421,000 | 1,853,000 | ' |
Unremitted earnings of foreign subsidiaries | -9,661,000 | -8,580,000 | ' |
Intangible assets | 532,000 | 661,000 | ' |
Property, plant and equipment | 4,796,000 | 5,925,000 | ' |
Accrued compensation | ' | 368,000 | ' |
Inventories | ' | -215,000 | ' |
Stock compensation | 4,896,000 | 4,378,000 | ' |
Warranty | -56,000 | 36,000 | ' |
Other | -2,406,000 | 917,000 | ' |
Deferred taxes, gross | 129,499,000 | 121,477,000 | ' |
Valuation allowance | -129,409,000 | -119,605,000 | ' |
Deferred taxes, net | 90,000 | 1,872,000 | ' |
Deferred tax assets | 149,300,000 | ' | ' |
Federal | ' | ' | ' |
Tax credit carryforwards | ' | ' | ' |
Tax credit carryforwards | 17,814,000 | 17,814,000 | ' |
State | ' | ' | ' |
Tax credit carryforwards | ' | ' | ' |
Tax credit carryforwards | $5,543,000 | $9,051,000 | ' |
Income_Taxes_Details_2
Income Taxes (Details 2) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Valuation allowance | ' |
Deferred tax assets, net of valuation allowance | 0 |
United States | ' |
Valuation allowance | ' |
Period of cumulative loss position | '3 years |
Percentage of valuation allowance | 100.00% |
Income_Taxes_Details_3
Income Taxes (Details 3) (USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Federal and state | ' |
Operating loss carryforwards | ' |
Net operating loss carryforwards | $345.30 |
Foreign | ' |
Operating loss carryforwards | ' |
Net operating loss carryforwards | $5.10 |
Income_Taxes_Details_4
Income Taxes (Details 4) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Reconciliation of the beginning and ending balance of unrecognized tax benefits | ' | ' |
Balance at beginning of year | $7,719,000 | $8,089,000 |
Increases in unrecognized tax benefits as a result of tax positions taken during a prior period | 324,000 | 646,000 |
Decreases in unrecognized tax benefits related to settlements with tax authorities | ' | -880,000 |
Increases in unrecognized tax benefits as a result of tax positions taken during the current period | ' | 663,000 |
Reductions to unrecognized tax benefits as a result of a lapse of the applicable statute of limitations | -398,000 | -799,000 |
Balance at end of year | 7,645,000 | 7,719,000 |
Recorded as other long-term liability | 2,343,000 | 2,646,000 |
Recorded as a decrease in deferred tax assets and offsetting valuation allowance | 5,302,000 | 5,073,000 |
Unrecognized tax benefits | 7,645,000 | 7,719,000 |
Research and development and other tax credit carryforwards | ' | ' |
Tax credit carryforwards | ' | ' |
Tax credit carryforwards | 25,800,000 | ' |
Foreign | ' | ' |
Tax credit carryforwards | ' | ' |
Tax credit carryforwards | $5,000,000 | ' |
Quarterly_Results_of_Operation2
Quarterly Results of Operations (unaudited) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Quarterly Results of Operations (unaudited) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenue | $58,574,000 | $48,831,000 | $47,501,000 | $40,726,000 | $44,624,000 | $44,640,000 | $59,114,000 | $55,007,000 | $195,632,000 | $203,385,000 | $319,416,000 |
Gross profit | 21,280,000 | 16,976,000 | 16,737,000 | 12,943,000 | 480,000 | 14,367,000 | 22,788,000 | 20,536,000 | 67,935,000 | 58,171,000 | 114,737,000 |
Net income (loss) | 614,000 | -4,750,000 | -4,019,000 | -8,988,000 | -14,818,000 | -8,718,000 | -471,000 | -10,027,000 | -17,144,000 | -34,034,000 | 5,077,000 |
Net income (loss) per share basic and diluted (in dollars per share) | $0.01 | ($0.04) | ($0.04) | ($0.08) | ($0.14) | ($0.08) | $0 | ($0.09) | ' | ' | ' |
Tax expense related to an uncertain tax position in a certain foreign jurisdiction | 400,000 | ' | ' | ' | 400,000 | ' | 800,000 | ' | ' | ' | ' |
Write off of deferred tax assets in foreign jurisdictions | ' | 400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges | ' | ' | 400,000 | 1,800,000 | 600,000 | 600,000 | 100,000 | 2,900,000 | 2,334,000 | 4,169,000 | ' |
Gain on sale of dry strip assets and intellectual property | ' | ' | 800,000 | 400,000 | ' | ' | ' | ' | 1,167,000 | 7,904,000 | ' |
Charge to excess and obsolete inventory | ' | ' | ' | 2,100,000 | ' | ' | ' | ' | 2,562,000 | 14,492,000 | 1,015,000 |
Quarterly charges and expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Gain on sale of dry strip assets and intellectual property | ' | ' | 800,000 | 400,000 | ' | ' | ' | ' | 1,167,000 | 7,904,000 | ' |
Restructuring charges | ' | ' | 400,000 | 1,800,000 | 600,000 | 600,000 | 100,000 | 2,900,000 | 2,334,000 | 4,169,000 | ' |
One-time marketing expense | ' | ' | ' | ' | 2,100,000 | ' | ' | ' | ' | ' | ' |
Dry strip product line, intellectual property rights and certain assets | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Quarterly Results of Operations (unaudited) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Gain on sale of dry strip assets and intellectual property | ' | ' | ' | ' | ' | ' | ' | ' | 1,200,000 | 7,900,000 | ' |
Quarterly charges and expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Gain on sale of dry strip assets and intellectual property | ' | ' | ' | ' | ' | ' | ' | ' | 1,200,000 | 7,900,000 | ' |
Inventory reserves | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Quarterly Results of Operations (unaudited) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Gain on sale of dry strip assets and intellectual property | ' | ' | ' | ' | 7,900,000 | ' | ' | ' | ' | ' | ' |
Quarterly charges and expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Provision for excess inventory | ' | ' | ' | ' | 13,400,000 | ' | ' | ' | 2,562,000 | 14,492,000 | 1,015,000 |
Gain on sale of dry strip assets and intellectual property | ' | ' | ' | ' | $7,900,000 | ' | ' | ' | ' | ' | ' |
Schedule_IIValuation_and_Quali1
Schedule II-Valuation and Qualifying Accounts (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Allowance for doubtful accounts and returns | ' | ' | ' | ' | ' |
Changes in Valuation and Qualifying Accounts | ' | ' | ' | ' | ' |
Balance at Beginning of Period | ' | ' | $305 | $411 | $1,357 |
Charged to Costs and Expenses | ' | ' | 96 | ' | -535 |
Deductions | ' | ' | ' | -112 | -449 |
Other | ' | ' | 2 | 6 | 38 |
Balance at End of Period | 403 | 305 | 403 | 305 | 411 |
Reserve for excess and obsolete inventory | ' | ' | ' | ' | ' |
Changes in Valuation and Qualifying Accounts | ' | ' | ' | ' | ' |
Balance at Beginning of Period | ' | ' | 33,601 | 22,778 | 27,517 |
Charged to Costs and Expenses | ' | 13,400 | 2,562 | 14,492 | 1,015 |
Deductions | -8,700 | ' | -10,913 | -4,819 | -5,583 |
Other | ' | ' | -159 | 1,150 | -171 |
Balance at End of Period | $25,091 | $33,601 | $25,091 | $33,601 | $22,778 |