Axcelis (ACLS) 10-Q 8 Aug 14 2014 Q2 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	6 Months Ended
	Jun. 30, 2014	Jul. 29, 2014
Document and Entity Information	'	'
Entity Registrant Name	'AXCELIS TECHNOLOGIES INC	'
Entity Central Index Key	'0001113232	'
Document Type	'10-Q	'
Document Period End Date	30-Jun-14	'
Amendment Flag	'false	'
Current Fiscal Year End Date	'--12-31	'
Entity Current Reporting Status	'Yes	'
Entity Filer Category	'Accelerated Filer	'
Entity Common Stock, Shares Outstanding	'	111,586,627
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q2	'

Consolidated_Statements_of_Ope

Consolidated Statements of Operations (USD $)	3 Months Ended		6 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Revenue:	'	'	'	'
Product	$34,795	$40,769	$89,810	$75,220
Services	6,355	6,732	12,180	13,006
Total revenue	41,150	47,501	101,990	88,226
Cost of revenue:	'	'	'	'
Product	21,021	25,457	54,823	47,638
Services	5,645	5,307	10,943	10,910
Total cost of revenue	26,666	30,764	65,766	58,548
Gross profit	14,484	16,737	36,224	29,678
Operating expenses:	'	'	'	'
Research and development	8,845	8,503	18,102	17,709
Sales and marketing	5,037	5,594	10,513	10,796
General and administrative	6,494	6,412	12,975	13,001
Gain on sale of dry strip assets and intellectual property	'	-799	'	-1,167
Restructuring charges	160	421	360	2,222
Total operating expenses	20,536	20,131	41,950	42,561
Loss from operations	-6,052	-3,394	-5,726	-12,883
Other income (expense):	'	'	'	'
Interest income	2	3	4	6
Interest expense	-257	-51	-508	-115
Other, net	-362	-314	-70	580
Total other income (expense)	-617	-362	-574	471
Loss before income taxes	-6,669	-3,756	-6,300	-12,412
Income taxes	231	263	426	596
Net loss	($6,900)	($4,019)	($6,726)	($13,008)
Net loss per share	'	'	'	'
Basic and Diluted (in dollars per share)	($0.06)	($0.04)	($0.06)	($0.12)
Shares used in computing net loss per share:	'	'	'	'
Basic and diluted weighted average common shares (in shares)	111,212	108,409	110,932	108,319

Consolidated_Statements_of_Com

Consolidated Statements of Comprehensive Income (Loss) (USD $)	3 Months Ended		6 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Consolidated Statements of Comprehensive Income (Loss)	'	'	'	'
Net loss	($6,900)	($4,019)	($6,726)	($13,008)
Other comprehensive income (loss):	'	'	'	'
Foreign currency translation adjustments	759	119	82	-1,959
Amortization of actuarial gains from pension plan	6	8	12	16
Total other comprehensive income (loss)	765	127	94	-1,943
Comprehensive loss	($6,135)	($3,892)	($6,632)	($14,951)

Consolidated_Balance_Sheets

Consolidated Balance Sheets (USD $)	Jun. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Current assets:	'	'
Cash and cash equivalents	$35,588	$46,290
Accounts receivable, net	32,067	36,587
Inventories, net	106,650	95,789
Prepaid expenses and other current assets	7,572	6,242
Total current assets	181,877	184,908
Property, plant and equipment, net	31,340	32,006
Long-term restricted cash	825	825
Other assets	12,539	15,810
Total assets	226,581	233,549
Current liabilities:	'	'
Accounts payable	17,379	19,451
Accrued compensation	3,975	4,845
Warranty	1,326	1,316
Income taxes	430	417
Deferred revenue	4,227	4,387
Current portion of long-term debt	1,054	471
Other current liabilities	3,681	4,573
Total current liabilities	32,072	35,460
Long-term debt	13,946	14,529
Long-term deferred revenue	101	322
Other long-term liabilities	7,136	7,236
Total liabilities	53,255	57,547
Commitments and contingencies (Note 13)	'	'
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; 111,643 shares issued and 111,523 shares outstanding at June 30, 2014; 110,225 shares issued and 110,105 shares outstanding at December 31, 2013	112	110
Additional paid-in capital	514,946	510,992
Treasury stock, at cost, 120 shares at June 30, 2014 and December 31, 2013	-1,218	-1,218
Accumulated deficit	-346,347	-339,621
Accumulated other comprehensive income	5,833	5,739
Total stockholders' equity	173,326	176,002
Total liabilities and stockholders' equity	$226,581	$233,549

Consolidated_Balance_Sheets_Pa

Consolidated Balance Sheets (Parenthetical) (USD $)	Jun. 30, 2014	Dec. 31, 2013
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	111,643	110,225
Common stock, shares outstanding	111,523	110,105
Treasury stock, shares	120	120

Consolidated_Statements_of_Cas

Consolidated Statements of Cash Flows (USD $)	6 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013
Cash flows from operating activities	'	'
Net loss	($6,726)	($13,008)
Adjustments to reconcile net loss to net cash used for operating activities:	'	'
Depreciation and amortization	2,299	2,719
Gain on sale of dry strip assets and intellectual property	'	-1,167
Deferred taxes	334	52
Stock-based compensation expense	2,182	1,644
Provision for excess and obsolete inventory	244	2,370
Changes in operating assets & liabilities:	'	'
Accounts receivable	4,493	-5,587
Inventories	-10,917	431
Prepaid expenses and other current assets	-1,334	-1,049
Accounts payable and other current liabilities	-3,860	5,642
Deferred revenue	-377	-891
Income taxes	13	-48
Other assets and liabilities	1,794	-1,905
Net cash used for operating activities	-11,855	-10,797
Cash flows from investing activities	'	'
Proceeds from sale of dry strip assets and intellectual property	'	1,200
Purchases of property, plant, and equipment	-567	-336
Decrease in restricted cash	'	2
Net cash (used for) provided by investing activities	-567	866
Cash flows from financing activities	'	'
Proceeds from exercise of stock options	1,583	206
Proceeds from Employee Stock Purchase Plan	227	197
Net cash provided by financing activities	1,810	403
Effect of exchange rate changes on cash and cash equivalents	-90	-819
Net decrease in cash and cash equivalents	-10,702	-10,347
Cash and cash equivalents at beginning of period	46,290	44,986
Cash and cash equivalents at end of period	$35,588	$34,639

Nature_of_Business

Nature of Business	6 Months Ended
	Jun. 30, 2014
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 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, and maintenance services to the semiconductor industry.
	The accompanying unaudited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments which are of a normal recurring nature and considered necessary for a fair presentation of these financial statements have been included. Operating results for the interim periods presented are not necessarily indicative of the results that may be expected for other interim periods or for the year as a whole.
	The balance sheet at December 31, 2013 has been derived from the audited financial statements at that date but does not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. For further information, refer to the consolidated financial statements and footnotes thereto included in Axcelis Technologies, Inc.’s Annual Report on Form 10-K for the year ended December 31, 2013.

StockBased_Compensation

Stock-Based Compensation	6 Months Ended
	Jun. 30, 2014
Stock-Based Compensation	'
Stock-Based Compensation	'
	Note 2.Stock-Based Compensation
	The Company maintains the Axcelis Technologies, Inc. 2012 Equity Incentive Plan (the “2012 Equity Plan”), which became effective on May 2, 2012, and permits the issuance of options, restricted stock, restricted stock units and performance awards to selected employees, directors and consultants of the Company. The Company’s 2000 Stock Plan (the “2000 Stock Plan”), expired on May 1, 2012 and no new grants may be made under that plan after this 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 Company also maintains the Axcelis Technologies, Inc. Employee Stock Purchase Plan (the “ESPP”), an Internal Revenue Code Section 423 plan.
	The 2012 Equity Plan and the ESPP are more fully described in Note 13 to the consolidated financial statements in the Company’s 2013 Annual Report on Form 10-K.
	The Company recognized stock-based compensation expense of $1.0 million and $0.8 million for the three-month periods ended June 30, 2014 and 2013, respectively.  The Company recognized stock-based compensation expense of $2.2 million and $1.6 million for the six-month periods ended June 30, 2014 and 2013, respectively.  These amounts include compensation expense related to restricted stock units, non-qualified stock options and stock to be issued to participants under the ESPP.

Gain_on_Sale_of_Dry_Strip_Asse

Gain on Sale of Dry Strip Assets and Intellectual Property	6 Months Ended
	Jun. 30, 2014
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
	In December 2012, the Company sold certain of its dry strip assets and all of its dry strip intellectual property to Lam Research Corporation (“Lam”). A portion of the purchase consideration (up to $2.0 million) was contingent upon the Company achieving certain milestones. The Company recorded $0.8 million and $1.2 million for the proceeds received based on its achievement of milestones during the three and six months ended June 30, 2013, respectively. These amounts were partially offset by additional costs associated with the lab system purchased by Lam.

Computation_of_Net_Loss_per_Sh

Computation of Net Loss per Share	6 Months Ended
	Jun. 30, 2014
Computation of Net Loss per Share	'
Computation of Net Loss per Share	'
	Note 4.Computation of Net Loss per Share
	Basic earnings (loss) per share is computed by dividing income (loss) 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 (loss) 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 components of net loss per share are as follows:
		Three months ended						Six months ended
		June 30,						June 30,
		2014			2013			2014			2013
		(in thousands, except per share data)
	Net loss attributable to common stockholders	$	(6,900	)	$	(4,019	)	$	(6,726	)	$	(13,008	)
	Weighted average common shares outstanding used in computing basic and diluted net loss per share	111,212			108,409			110,932			108,319
	Net loss per share
	Basic and Diluted	$	(0.06	)	$	(0.04	)	$	(0.06	)	$	(0.12	)
	The Company incurred net losses for the three and six-month periods ended June 30, 2014 and June 30, 2013, and has excluded the 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 following table sets forth the number of incremental shares excluded from the calculation above:
		Three months ended				Six months ended
		June 30,				June 30,
		2014		2013		2014		2013
		(in thousands)
	Incremental shares excluded from the calculation of net loss per share	4,047		2,183		4,625		2,159

Accumulated_Other_Comprehensiv

Accumulated Other Comprehensive Income	6 Months Ended
	Jun. 30, 2014
Accumulated Other Comprehensive Income	'
Accumulated Other Comprehensive Income	'
	Note 5.Accumulated Other Comprehensive Income
	The following table presents the changes in accumulated other comprehensive income, net of tax, by component for the six months ended June 30, 2014:
		Foreign		Defined benefit			Total
		currency		pension plan
		(in thousands)
	Balance at December 31, 2013	$	6,070	$	(331	)	$	5,739
	Other comprehensive income before reclassifications	82		—			82
	Amounts reclassified from accumulated other comprehensive income (1)	—		12			12
	Net current-period other comprehensive income	82		12			94
	Balance at June 30, 2014	$	6,152	$	(319	)	$	5,833
	(1)Amount presented before taxes as the tax effect is not material to the consolidated financial statements.

Inventories_net

Inventories, net	6 Months Ended
	Jun. 30, 2014
Inventories, net	'
Inventories, net	'
	Note 6.Inventories, net
	The components of inventories are as follows:
		June 30,		December 31,
		2014		2013
		(in thousands)
	Raw materials	$	63,103	$	56,942
	Work in process	31,893		27,462
	Finished goods (completed systems)	11,654		11,385
		$	106,650	$	95,789
	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 June 30, 2014 and December 31, 2013, inventories are stated net of inventory reserves of $24.3 million and $25.1 million, respectively.
	During the three and six months ended June 30, 2013, the Company recorded a charge to cost of sales of $0 and $2.1 million, respectively, for 300mm dry strip components. Under the terms of the agreement with Lam, the Company was permitted to manufacture and sell 300 mm dry strip products through September 2013.  Due to changes in the forecasted sales of the Company’s dry strip products that became known during the six months ended June 30, 2013, a portion of the dry strip inventory components was determined to be non-recoverable.

Restructuring_Charges

Restructuring Charges	6 Months Ended
	Jun. 30, 2014
Restructuring Charges.	'
Restructuring Charges	'
	Note 7.Restructuring Charges
	During 2013, the Company initiated reductions in force to control costs and improve the focus of its operations in order to achieve future profitability and conserve cash. As of December 31, 2013, less than $0.1 million of these costs were accrued and unpaid.
	During the six months ended June 30, 2014, the Company implemented further actions, which resulted in restructuring charges for severance and related costs of $0.4 million. The liability at June 30, 2014 of $0.1 million is expected to be paid primarily in the third quarter of 2014.
	Changes in the Company’s restructuring liability, which consist primarily of severance and related costs, included in amounts reported as other current liabilities, are as follows:
		(in thousands)
	Balance at December 31, 2013	$	43
	Severance and related costs	360
	Cash payments	(318		)
	Balance at June 30, 2014	$	85

Product_Warranty

Product Warranty	6 Months Ended
	Jun. 30, 2014
Product Warranty	'
Product Warranty	'
	Note 8.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 standard product warranty liability are as follows:
		Six months ended
		June 30,
		2014			2013
		(in thousands)
	Balance at January 1 (beginning of year)	$	1,428		$	1,801
	Warranties issued during the period	832			925
	Settlements made during the period	(978		)	(705		)
	Changes in estimate of liability for pre-existing warranties during the period	79			(536		)
	Balance at June 30 (end of period)	$	1,361		$	1,485
	Amount classified as current	$	1,326		$	1,419
	Amount classified as long-term	35			66
	Total warranty liability	$	1,361		$	1,485

Fair_Value_Measurements

Fair Value Measurements	6 Months Ended
	Jun. 30, 2014
Fair Value Measurements	'
Fair Value Measurements	'
	Note 9.Fair Value Measurements
	Certain of the assets and liabilities on the Company’s consolidated balance sheets are reported at their “Fair Value”.  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 on a Recurring Basis
	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 the Company’s assets and liabilities by level within the fair value hierarchy.
		June 30, 2014
		Fair Value Measurements
		Level 1		Level 2		Level 3		Total
		(in thousands)
	Assets
	Cash equivalents:
	Money market funds	$	6,153	$	—	$	—	$	6,153
	Liabilities
	Term loan	$	—	$	15,000	$	—	$	15,000
		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
	Liabilities
	Term loan	$	—	$	15,000	$	—	$	15,000
	(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 investment 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.

Financing_Arrangements

Financing Arrangements	6 Months Ended
	Jun. 30, 2014
Financing Arrangements	'
Financing Arrangements	'
	Note 10.Financing Arrangements
	Term Loan
	The Company has a Business Loan Agreement dated July 5, 2013 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.  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 on the term loan is due and payable on July 5, 2016.  The Business Loan Agreement was amended in May 2014 to defer to September 30, 2014, the effectiveness of a covenant establishing a minimum ratio of net income to debt service expense, waiving the Company’s non-compliance with that covenant at March 31, 2014. The Company was in compliance with all covenants associated with the term loan during the second quarter of 2014.
	Credit Facility
	The Company has a revolving credit facility with Silicon Valley Bank dated October 31, 2013 and amended on August 1, 2014 with a Waiver and Amendment Agreement.  Under this 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.  At June 30, 2014, our available borrowing capacity under the credit facility was $8.9 million.  There were no borrowings against this facility during the six months ended June 30, 2014.  The Company was in compliance with all covenants related to the credit facility, with the exception of the Minimum Adjusted Net Income covenant, which was waived under the Waiver and Amendment Agreement.

Income_Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2014
Income Taxes	'
Income Taxes	'
	Note 11.Income Taxes
	Income tax expense relates principally to operating results of foreign entities in jurisdictions, primarily in Europe and Asia, where the Company earns taxable income. The Company has significant net operating losses in the United States and certain other tax jurisdictions and, as a result, does not pay significant income taxes in those jurisdictions.
	As of December 31, 2013, the Company’s valuation allowance related to income taxes was approximately $147.5 million.  The Company is in a three year cumulative loss position in the United States.  As a result, the Company maintains a 100% valuation allowance to reduce the carrying value of the related 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.

Concentration_of_Risk

Concentration of Risk	6 Months Ended
	Jun. 30, 2014
Concentration of Risk	'
Concentration of Risk	'
	Note 12.Concentration of Risk
	For the three months ended June 30, 2014, two customers accounted for approximately 15.9% and 11.1% of consolidated revenue. For the six months ended June 30, 2014, two customers accounted for approximately 24.5% and 12.5% of consolidated revenue.
	For the three months ended June 30, 2013, three customers accounted for approximately 15.1%, 14.7%, and 10.6% of consolidated revenue. For the six months ended June 30, 2013, one customer accounted for approximately 10.6% of consolidated revenue.
	At June 30, 2014, three customers accounted for 15.0%, 13.4%, and 12.7% of consolidated accounts receivable. At December 31, 2013, the Company had three customers which accounted for 23.2%, 14.2% and 13.6% of consolidated accounts receivable.

Contingencies

Contingencies	6 Months Ended
	Jun. 30, 2014
Contingencies	'
Contingencies	'
	Note 13.Contingencies
	(a)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.
	(b)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.

Recent_Accounting_Guidance

Recent Accounting Guidance	6 Months Ended
	Jun. 30, 2014
Recent Accounting Guidance	'
Recent Accounting Guidance	'
	Note 14.Recent Accounting Guidance
	Effective January 1, 2014, the Company adopted 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 amended the presentation requirements of ASC 740, Income Taxes, and requires that a reserve for an unrecognized tax benefit 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 became 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 adoption of this standard did not have a material impact on our consolidated financial statements.
	Accounting Standards or Updates Not Yet Effective
	In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, “Revenue from Contracts with Customers,” which provides guidance for revenue recognition. The standard’s core principle is that a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. The new guidance is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. Early application is not permitted. The Company is currently assessing the potential impact of ASU No.  2014-09 on its financial statements.

Subsequent_Events

Subsequent Events	6 Months Ended
	Jun. 30, 2014
Subsequent Event	'
Subsequent Event	'
	Note 15.Subsequent Event
	In order to align manufacturing and operating expense levels to changing business conditions, the Company is implementing a headcount reduction in the third quarter of 2014. The Company anticipates recording employee termination benefits and other related costs of approximately $2.0 million during the third quarter of 2014.

Computation_of_Net_Loss_per_Sh1

Computation of Net Loss per Share (Tables)	6 Months Ended
	Jun. 30, 2014
Computation of Net Loss per Share	'
Schedule of components of net loss per share	'
		Three months ended						Six months ended
		June 30,						June 30,
		2014			2013			2014			2013
		(in thousands, except per share data)
	Net loss attributable to common stockholders	$	(6,900	)	$	(4,019	)	$	(6,726	)	$	(13,008	)
	Weighted average common shares outstanding used in computing basic and diluted net loss per share	111,212			108,409			110,932			108,319
	Net loss per share
	Basic and Diluted	$	(0.06	)	$	(0.04	)	$	(0.06	)	$	(0.12	)
Schedule of the number of incremental shares excluded from the calculation of net loss per share	'
		Three months ended				Six months ended
		June 30,				June 30,
		2014		2013		2014		2013
		(in thousands)
	Incremental shares excluded from the calculation of net loss per share	4,047		2,183		4,625		2,159

Accumulated_Other_Comprehensiv1

Accumulated Other Comprehensive Income (Tables)	6 Months Ended
	Jun. 30, 2014
Accumulated Other Comprehensive Income	'
Schedule of changes in accumulated other comprehensive income, net of tax	'
		Foreign		Defined benefit			Total
		currency		pension plan
		(in thousands)
	Balance at December 31, 2013	$	6,070	$	(331	)	$	5,739
	Other comprehensive income before reclassifications	82		—			82
	Amounts reclassified from accumulated other comprehensive income (1)	—		12			12
	Net current-period other comprehensive income	82		12			94
	Balance at June 30, 2014	$	6,152	$	(319	)	$	5,833
	(1)Amount presented before taxes as the tax effect is not material to the consolidated financial statements.

Inventories_net_Tables

Inventories, net (Tables)	6 Months Ended
	Jun. 30, 2014
Inventories, net	'
Schedule of components of inventories	'
		June 30,		December 31,
		2014		2013
		(in thousands)
	Raw materials	$	63,103	$	56,942
	Work in process	31,893		27,462
	Finished goods (completed systems)	11,654		11,385
		$	106,650	$	95,789

Restructuring_Charges_Tables

Restructuring Charges (Tables)	6 Months Ended
	Jun. 30, 2014
Restructuring Charges.	'
Schedule of changes in restructuring liability	'
		(in thousands)
	Balance at December 31, 2013	$	43
	Severance and related costs	360
	Cash payments	(318		)
	Balance at June 30, 2014	$	85

Product_Warranty_Tables

Product Warranty (Tables)	6 Months Ended
	Jun. 30, 2014
Product Warranty	'
Schedule of standard product warranty	'
		Six months ended
		June 30,
		2014			2013
		(in thousands)
	Balance at January 1 (beginning of year)	$	1,428		$	1,801
	Warranties issued during the period	832			925
	Settlements made during the period	(978		)	(705		)
	Changes in estimate of liability for pre-existing warranties during the period	79			(536		)
	Balance at June 30 (end of period)	$	1,361		$	1,485
	Amount classified as current	$	1,326		$	1,419
	Amount classified as long-term	35			66
	Total warranty liability	$	1,361		$	1,485

Fair_Value_Measurements_Tables

Fair Value Measurements (Tables)	6 Months Ended
	Jun. 30, 2014
Fair Value Measurements	'
Schedule of assets measured at fair value on recurring basis	'
		June 30, 2014
		Fair Value Measurements
		Level 1		Level 2		Level 3		Total
		(in thousands)
	Assets
	Cash equivalents:
	Money market funds	$	6,153	$	—	$	—	$	6,153
	Liabilities
	Term loan	$	—	$	15,000	$	—	$	15,000
		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
	Liabilities
	Term loan	$	—	$	15,000	$	—	$	15,000

StockBased_Compensation_Detail

Stock-Based Compensation (Details) (USD $)	3 Months Ended		6 Months Ended
In Millions, except Share data, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Stock-Based Compensation	'	'	'	'
Stock-based compensation expense (in dollars)	$1	$0.80	$2.20	$1.60
Stock Plan2000 [Member]	'	'	'	'
Stock award plans and stock-based compensation	'	'	'	'
Number of shares of common stock available for future grant	0	'	0	'

Gain_on_Sale_of_Dry_Strip_Asse1

Gain on Sale of Dry Strip Assets and Intellectual Property (Details) (USD $)	3 Months Ended	6 Months Ended	3 Months Ended	6 Months Ended
	Jun. 30, 2013	Jun. 30, 2013	Jun. 30, 2013	Jun. 30, 2013	Dec. 31, 2012
			Dry Strip Product Line [Member]	Dry Strip Product Line [Member]	Maximum [Member]
					Dry Strip Product Line [Member]
Sale of assets	'	'	'	'	'
Contingent purchase price	'	'	'	'	$2,000,000
Gain on sale of dry strip assets and intellectual property	$799,000	$1,167,000	$800,000	$1,200,000	'

Computation_of_Net_Loss_per_Sh2

Computation of Net Loss per Share (Details) (USD $)	3 Months Ended		6 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Computation of Net Loss per Share	'	'	'	'
Net loss attributable to common stockholders (in dollars)	($6,900)	($4,019)	($6,726)	($13,008)
Weighted average common shares outstanding used in computing basic and diluted net loss per share	111,212	108,409	110,932	108,319
Net loss per share	'	'	'	'
Basic and Diluted (in dollars per share)	($0.06)	($0.04)	($0.06)	($0.12)
Incremental shares excluded from the calculation of net loss per share (in shares)	4,047	2,183	4,625	2,159

Accumulated_Other_Comprehensiv2

Accumulated Other Comprehensive Income (Details) (USD $)	6 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2014
Changes in accumulated other comprehensive income, net of tax	'
Balance at the beginning of period	$5,739
Other comprehensive income before reclassifications	82
Amounts reclassified from accumulated other comprehensive income	12
Net current-period other comprehensive income	94
Balance at the end of period	5,833
Accumulated Translation Adjustment [Member]	'
Changes in accumulated other comprehensive income, net of tax	'
Balance at the beginning of period	6,070
Other comprehensive income before reclassifications	82
Net current-period other comprehensive income	82
Balance at the end of period	6,152
Accumulated Defined Benefit Plans Adjustment [Member]	'
Changes in accumulated other comprehensive income, net of tax	'
Balance at the beginning of period	-331
Amounts reclassified from accumulated other comprehensive income	12
Net current-period other comprehensive income	12
Balance at the end of period	($319)

Inventories_net_Details

Inventories, net (Details) (USD $)	6 Months Ended			3 Months Ended	6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013	Jun. 30, 2013	Jun. 30, 2013
				Dry Strip Product Line [Member]	Dry Strip Product Line [Member]
					mm
Inventories, net	'	'	'	'	'
Raw materials	$63,103,000	'	$56,942,000	'	'
Work in process	31,893,000	'	27,462,000	'	'
Finished goods (completed systems)	11,654,000	'	11,385,000	'	'
Inventories, net	106,650,000	'	95,789,000	'	'
Inventory reserves	24,300,000	'	25,100,000	'	'
Inventories, net	'	'	'	'	'
Charge to cost of sales relating to inventory	$244,000	$2,370,000	'	$0	$2,100,000
Size of dry strip wafer equipment and products, Company license to make and sell (in millimeters)	'	'	'	'	300

Restructuring_Charges_Details

Restructuring Charges (Details) (USD $)	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Dec. 31, 2013
					Employee Severance [Member]	Employee Severance [Member]
						Maximum [Member]
Restructuring charges	'	'	'	'	'	'
Restructuring costs accrued and unpaid	'	'	'	'	'	$100,000
Changes in restructuring liability	'	'	'	'	'	'
Balance at the beginning of the period	'	'	'	'	43,000	'
Severance and related costs	160,000	421,000	360,000	2,222,000	360,000	'
Cash payments	'	'	'	'	-318,000	'
Balance at the end of the period	'	'	'	'	$85,000	'

Product_Warranty_Details

Product Warranty (Details) (USD $)	6 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013
Product Warranty	'	'	'
Product warranty period	'1 year	'	'
Changes in product warranty liability	'	'	'
Balance at the beginning of the period	$1,428	$1,801	'
Warranties issued during the period	832	925	'
Settlements made during the period	-978	-705	'
Changes in estimate of liability for pre-existing warranties during the period	79	-536	'
Balance at the end of the period	1,361	1,485	'
Product warranty classification	'	'	'
Amount classified as current	1,326	1,419	1,316
Amount classified as long-term	35	66	'
Total Warranty liability	$1,361	$1,485	'

Fair_Value_Measurements_Detail

Fair Value Measurements (Details) (Fair Value Measurements Recurring [Member], USD $)	Jun. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Fair Value Inputs Level1 [Member] | Money Market Funds [Member]	'	'
Fair Value Measurements	'	'
Money market funds	$6,153	$10,504
Fair Value Inputs Level2 [Member] | Secured Debt [Member]	'	'
Fair Value Measurements	'	'
Term loan	15,000	15,000
Estimate Of Fair Value Fair Value Disclosure [Member] | Secured Debt [Member]	'	'
Fair Value Measurements	'	'
Term loan	15,000	15,000
Estimate Of Fair Value Fair Value Disclosure [Member] | Money Market Funds [Member]	'	'
Fair Value Measurements	'	'
Money market funds	$6,153	$10,504

Financing_Arrangements_Details

Financing Arrangements (Details) (USD $)	0 Months Ended				0 Months Ended
In Millions, unless otherwise specified	Oct. 31, 2013	Jun. 30, 2014	Oct. 31, 2013	Oct. 31, 2013	Jul. 05, 2013
	Revolving Credit Facility [Member]	Revolving Credit Facility [Member]	Revolving Credit Facility [Member]	Revolving Credit Facility [Member]	Secured Debt [Member]
				Maximum [Member]
Financial Arrangements	'	'	'	'	'
Term	'2 years	'	'	'	'3 years
Amount of loan	'	'	'	'	$15
Interest rate per annum (as a percent)	'	'	'	'	5.50%
Maximum borrowing capacity under the credit facility	'	'	10	'	'
Limitation on ability to borrow expressed as a percentage of the then current amount of qualified accounts receivable	'	'	'	80.00%	'
Available borrowing capacity under the credit facility	'	8.9	'	'	'
Borrowings against credit facility	'	$0	'	'	'

Income_Taxes_10Q_Details

Income Taxes 10-Q (Details) (USD $)	Jun. 30, 2014	Dec. 31, 2013	Jun. 30, 2014
In Millions, unless otherwise specified			Internal Revenue Service I R S [Member]
Valuation Allowance [Line Items]	'	'	'
Deferred tax assets valuation allowance	'	$147.50	'
Period of Cumulative Loss Position	'	'	'3 years
Percentage of valuation allowance	'	'	100.00%
Deferred tax assets, net of valuation allowance	$0	'	'

Concentration_of_Risk_Details

Concentration of Risk (Details)

3 Months Ended

6 Months Ended

3 Months Ended

6 Months Ended

3 Months Ended

6 Months Ended

3 Months Ended

6 Months Ended

12 Months Ended

6 Months Ended

12 Months Ended

6 Months Ended

12 Months Ended

6 Months Ended

12 Months Ended

Jun. 30, 2014

Jun. 30, 2013

Jun. 30, 2014

Jun. 30, 2013

Jun. 30, 2014

Jun. 30, 2013

Jun. 30, 2014

Jun. 30, 2013

Jun. 30, 2014

Jun. 30, 2013

Jun. 30, 2014

Jun. 30, 2013

Jun. 30, 2014

Dec. 31, 2013

Jun. 30, 2014

Dec. 31, 2013

Jun. 30, 2014

Dec. 31, 2013

Jun. 30, 2014

Dec. 31, 2013

Sales Revenue Net [Member]

Sales Revenue Net [Member]

Sales Revenue Net [Member]

Sales Revenue Net [Member]

Sales Revenue Net [Member]

Sales Revenue Net [Member]

Sales Revenue Net [Member]

Sales Revenue Net [Member]

Sales Revenue Net [Member]

Sales Revenue Net [Member]

Sales Revenue Net [Member]

Sales Revenue Net [Member]

Accounts Receivable [Member]

Accounts Receivable [Member]

Accounts Receivable [Member]

Accounts Receivable [Member]

Accounts Receivable [Member]

Accounts Receivable [Member]

Accounts Receivable [Member]

Accounts Receivable [Member]

Customer Concentration Risk [Member]

Customer Concentration Risk [Member]

Customer Concentration Risk [Member]

Customer Concentration Risk [Member]

Customer Concentration Risk [Member]

Customer Concentration Risk [Member]

Customer Concentration Risk [Member]

Customer Concentration Risk [Member]

Customer Concentration Risk [Member]

Customer Concentration Risk [Member]

Customer Concentration Risk [Member]

Customer Concentration Risk [Member]

Credit Concentration Risk [Member]

Credit Concentration Risk [Member]

Credit Concentration Risk [Member]

Credit Concentration Risk [Member]

Credit Concentration Risk [Member]

Credit Concentration Risk [Member]

Credit Concentration Risk [Member]

Credit Concentration Risk [Member]

item

item

item

item

Largest Customer [Member]

Largest Customer [Member]

Largest Customer [Member]

Largest Customer [Member]

Second Largest Customer [Member]

Second Largest Customer [Member]

Second Largest Customer [Member]

Third Largest Customer [Member]

item

item

Largest Customer [Member]

Largest Customer [Member]

Second Largest Customer [Member]

Second Largest Customer [Member]

Third Largest Customer [Member]

Third Largest Customer [Member]

Concentration of risk

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Number of customers

2

3

2

1

'

'

'

'

'

'

'

'

3

3

'

'

'

'

'

'

Percentage of concentration risk

'

'

'

'

15.90%

15.10%

24.50%

10.60%

11.10%

14.70%

12.50%

10.60%

'

'

15.00%

23.20%

13.40%

14.20%

12.70%

13.60%

Subsequent_Events_Details

Subsequent Events (Details) (Subsequent Event [Member], Scenario, Forecast [Member], USD $)	3 Months Ended
In Millions, unless otherwise specified	Sep. 30, 2014
Subsequent Event [Member] | Scenario, Forecast [Member]	'
Subsequent events	'
Employee termination benefits and other related costs	$2