Document_And_Entity_Informatio
Document And Entity Information (USD $) | 12 Months Ended | |||
In Billions, except Share data, unless otherwise specified | Sep. 27, 2013 | Mar. 29, 2013 | Oct. 25, 2013 | Oct. 25, 2013 |
Class A Common Stock [Member] | Class B Common Stock [Member] | |||
Entity Registrant Name | 'Dolby Laboratories, Inc. | ' | ' | ' |
Entity Central Index Key | '0001308547 | ' | ' | ' |
Current Fiscal Year End Date | '--09-27 | ' | ' | ' |
Entity Filer Category | 'Large Accelerated Filer | ' | ' | ' |
Document Type | '10-K | ' | ' | ' |
Document Period End Date | 27-Sep-13 | ' | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' | ' |
Amendment Flag | 'false | ' | ' | ' |
Entity Common Stock, Shares Outstanding | ' | ' | 47,290,710 | 54,471,875 |
Entity Well-known Seasoned Issuer | 'Yes | ' | ' | ' |
Entity Voluntary Filers | 'No | ' | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' | ' |
Entity Public Float | ' | $1.20 | ' | ' |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Sep. 27, 2013 | Sep. 28, 2012 | ||
In Thousands, unless otherwise specified | ||||
Current assets: | ' | ' | ||
Cash and cash equivalents | $454,397 | $492,600 | ||
Short-term investments | 140,267 | 302,693 | ||
Accounts receivable, net of allowance of $514 at September 27, 2013 and $956 at September 28, 2012 | 97,460 | 43,495 | ||
Inventories | 10,093 | 16,700 | ||
Deferred taxes | 78,381 | 80,966 | ||
Prepaid expenses and other current assets | 32,124 | 33,832 | ||
Total current assets | 812,722 | 970,286 | ||
Long-term investments | 306,338 | [1] | 361,614 | [1] |
Property, plant and equipment, net | 242,917 | 254,676 | ||
Intangible assets, net | 41,315 | 56,526 | ||
Goodwill | 279,724 | 281,375 | ||
Deferred taxes | 43,291 | 22,634 | ||
Other non-current assets | 11,638 | 13,687 | ||
Total assets | 1,737,945 | 1,960,798 | ||
Current liabilities: | ' | ' | ||
Accounts payable | 10,695 | 14,831 | ||
Accrued liabilities | 137,795 | 116,092 | ||
Income taxes payable | 3,394 | 2,424 | ||
Deferred revenue | 20,931 | 23,493 | ||
Total current liabilities | 172,815 | 156,840 | ||
Long-term deferred revenue | 19,663 | 18,192 | ||
Deferred taxes | 0 | 2,696 | ||
Other non-current liabilities | 45,441 | 39,837 | ||
Total liabilities | 237,919 | 217,565 | ||
Stockholders' equity: | ' | ' | ||
Additional paid-in capital | 18,812 | 0 | ||
Retained earnings | 1,454,382 | 1,709,479 | ||
Accumulated other comprehensive income | 7,814 | 10,687 | ||
Total stockholdersb equity b Dolby Laboratories, Inc. | 1,481,110 | 1,720,269 | ||
Controlling interest | 18,916 | 22,964 | ||
Total stockholdersb equity | 1,500,026 | 1,743,233 | ||
Total liabilities and stockholdersb equity | 1,737,945 | 1,960,798 | ||
Class A Common Stock [Member] | ' | ' | ||
Stockholders' equity: | ' | ' | ||
Common stock | 47 | 46 | ||
Class B Common Stock [Member] | ' | ' | ||
Stockholders' equity: | ' | ' | ||
Common stock | $55 | $57 | ||
[1] | Our long-term investments have maturities that range from one to three years. |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Sep. 27, 2013 | Sep. 28, 2012 |
In Thousands, except Share data, unless otherwise specified | ||
Allowance for doubtful accounts | ($514) | ' |
Allowance for Doubtful Accounts Receivable | $514 | $956 |
Class A Common Stock [Member] | ' | ' |
Common stock, par value (usd per share) | $0.00 | $0.00 |
Common stock voting right per share (votes per share) | 1 | 1 |
Common stock, shares authorized (shares) | 500,000,000 | 500,000,000 |
Common stock, shares issued (shares) | 46,862,893 | 46,496,635 |
Common stock, shares outstanding (shares) | 46,862,893 | 46,496,635 |
Class B Common Stock [Member] | ' | ' |
Common stock, par value (usd per share) | $0.00 | $0.00 |
Common stock voting right per share (votes per share) | 10 | 10 |
Common stock, shares authorized (shares) | 500,000,000 | 500,000,000 |
Common stock, shares issued (shares) | 54,876,494 | 56,598,829 |
Common stock, shares outstanding (shares) | 54,876,494 | 56,598,829 |
Consolidated_Statements_Of_Ope
Consolidated Statements Of Operations (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 |
Revenue: | ' | ' | ' |
Licensing | $807,081 | $801,313 | $795,900 |
Products | 80,603 | 103,388 | 131,611 |
Services | 21,990 | 28,313 | 33,554 |
Total revenue | 909,674 | 933,014 | 961,065 |
Cost of revenue: | ' | ' | ' |
Cost of licensing | 16,856 | 12,924 | 17,620 |
Cost of products | 64,270 | 66,325 | 81,328 |
Cost of services | 15,593 | 12,778 | 12,223 |
Total cost of revenue | 96,719 | 92,027 | 111,171 |
Gross margin | 812,955 | 840,987 | 849,894 |
Operating expenses: | ' | ' | ' |
Research and development | 168,746 | 140,143 | 123,920 |
Sales and marketing | 231,103 | 188,486 | 155,202 |
General and administrative | 161,970 | 149,175 | 137,633 |
Restructuring charges, net | 5,874 | 1,191 | 3,406 |
Total operating expenses | 567,693 | 478,995 | 420,161 |
Operating income | 245,262 | 361,992 | 429,733 |
Interest income | 3,848 | 6,411 | 8,976 |
Interest expense | -575 | -196 | 1,027 |
Other income, net | 2,111 | 784 | 907 |
Income before provision for income taxes | 250,646 | 368,991 | 440,643 |
Provision for income taxes | -60,344 | -103,857 | -130,061 |
Net income including controlling interest | 190,302 | 265,134 | 310,582 |
Less: net (income) / loss attributable to controlling interest | -1,031 | -832 | -1,315 |
Net income attributable to Dolby Laboratories, Inc. | 189,271 | 264,302 | 309,267 |
Basic | $1.86 | $2.47 | $2.78 |
Diluted | $1.84 | $2.46 | $2.75 |
Basic | 101,879 | 106,926 | 111,444 |
Diluted | 102,788 | 107,541 | 112,554 |
Related party rent expense included in general and administrative expenses | 2,526 | 1,372 | 1,372 |
Related party rent expense included in net income attributable to controlling interest | $3,636 | $3,270 | $3,098 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income Statement (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 |
Statement of Comprehensive Income [Abstract] | ' | ' | ' |
Net income including controlling interest | $190,302 | $265,134 | $310,582 |
Other comprehensive income/(loss): | ' | ' | ' |
Foreign currency translation adjustments, net of tax | -2,037 | 3,082 | 509 |
Unrealized gains/(losses) on available-for-sale securities, net of tax | -876 | 380 | -907 |
Comprehensive income | 187,389 | 268,596 | 310,184 |
Less: comprehensive (income) attributable to controlling interest | -991 | -1,140 | -1,185 |
Comprehensive income attributable to Dolby Laboratories, Inc. | $186,398 | $267,456 | $308,999 |
Consolidated_Statements_Of_Sto
Consolidated Statements Of Stockholders' Equity (USD $) | Total | Class A Common Stock [Member] | Class B Common Stock [Member] | Additional Paid-In Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income [Member] | Total Dolby Laboratories,Inc.[Member] | Controlling Interest [Member] | |
In Thousands, except Share data | |||||||||
Beginning balance, value at Sep. 24, 2010 | $1,494,679 | $53 | $59 | $329,902 | $1,135,922 | $7,801 | $1,473,737 | $20,942 | |
Beginning balance, shares at Sep. 24, 2010 | ' | 52,856,000 | 59,228,000 | ' | ' | ' | ' | ' | |
Net income | 310,582 | ' | ' | ' | 309,267 | ' | 309,267 | 1,315 | |
Translation adjustments, net of taxes | 509 | ' | ' | ' | ' | 639 | 639 | -130 | |
Unrealized gains/(losses) on available-for-sale securities, net of tax | -907 | ' | ' | ' | ' | -907 | -907 | ' | |
Distributions to controlling interest | -290 | ' | ' | ' | ' | ' | ' | -290 | |
Stock-based compensation expense | 43,218 | ' | ' | 43,218 | ' | ' | 43,218 | ' | |
Capitalized stock-based compensation expense | 635 | ' | ' | 635 | ' | ' | 635 | ' | |
Repurchase of common stock | -192,410 | -4 | ' | -192,406 | ' | ' | -192,410 | ' | |
Repurchase of common stock, shares | ' | -4,135,000 | ' | ' | ' | ' | ' | ' | |
Tax benefit/(deficiency) from the stock incentive plans | 6,015 | ' | ' | 6,015 | ' | ' | 6,015 | ' | |
Class A common stock issued under employee stock plans, shares | ' | 1,079,000 | ' | ' | ' | ' | ' | ' | |
Class A common stock issued under employee stock plans, value | 26,787 | 1 | ' | 26,786 | ' | ' | 26,787 | ' | |
Shares repurchased for tax witholdings on vesting of restricted stock, shares | ' | -86,000 | ' | ' | ' | ' | ' | ' | |
Shares repurchased for tax witholdings on vesting of restricted stock, value | -4,599 | 0 | ' | -4,599 | ' | ' | -4,599 | ' | |
Transfer of Class B common stock to Class A common stock, shares | ' | 2,147,000 | -2,147,000 | ' | ' | ' | ' | ' | |
Transfer of Class B common stock to Class A common stock, value | ' | 2 | -2 | ' | ' | ' | ' | ' | |
Exercise of Class B stock options, shares | ' | ' | 479,000 | ' | ' | ' | ' | ' | |
Exercise of Class B stock options, value | 1,131 | ' | 1 | 1,130 | ' | ' | 1,131 | ' | |
Ending balance, value at Sep. 30, 2011 | 1,685,350 | 52 | 58 | 210,681 | 1,445,189 | 7,533 | 1,663,513 | 21,837 | |
Ending balance, shares at Sep. 30, 2011 | ' | 51,861,000 | 57,560,000 | ' | ' | ' | ' | ' | |
Net income | 265,134 | ' | ' | ' | 264,302 | ' | 264,302 | 832 | |
Translation adjustments, net of taxes | 3,082 | ' | ' | ' | ' | 2,774 | 2,774 | 308 | |
Unrealized gains/(losses) on available-for-sale securities, net of tax | 380 | ' | ' | ' | ' | 380 | 380 | ' | |
Distributions to controlling interest | -13 | ' | ' | ' | ' | ' | ' | -13 | |
Stock-based compensation expense | 47,184 | ' | ' | 47,184 | ' | ' | 47,184 | ' | |
Capitalized stock-based compensation expense | 352 | ' | ' | 352 | ' | ' | 352 | ' | |
Repurchase of common stock | -268,203 | -7 | ' | -268,184 | -12 | ' | -268,203 | ' | |
Repurchase of common stock, shares | ' | -7,213,000 | ' | ' | ' | ' | ' | ' | |
Tax benefit/(deficiency) from the stock incentive plans | -3,585 | ' | ' | -3,585 | ' | ' | -3,585 | ' | |
Class A common stock issued under employee stock plans, shares | ' | 911,000 | ' | ' | ' | ' | ' | ' | |
Class A common stock issued under employee stock plans, value | 17,279 | 0 | ' | 17,279 | ' | ' | 17,279 | ' | |
Shares repurchased for tax witholdings on vesting of restricted stock, shares | ' | -106,000 | ' | ' | ' | ' | ' | ' | |
Shares repurchased for tax witholdings on vesting of restricted stock, value | -3,835 | 0 | ' | -3,835 | ' | ' | -3,835 | ' | |
Transfer of Class B common stock to Class A common stock, shares | ' | 1,044,000 | -1,044,000 | ' | ' | ' | ' | ' | |
Transfer of Class B common stock to Class A common stock, value | ' | 1 | -1 | ' | ' | ' | ' | ' | |
Exercise of Class B stock options, shares | ' | ' | 83,000 | ' | ' | ' | ' | ' | |
Exercise of Class B stock options, value | 108 | ' | 0 | 108 | ' | ' | 108 | ' | |
Ending balance, value at Sep. 28, 2012 | 1,743,233 | 46 | 57 | 0 | 1,709,479 | 10,687 | 1,720,269 | 22,964 | |
Ending balance, shares at Sep. 28, 2012 | ' | 46,497,000 | 56,599,000 | ' | ' | ' | ' | ' | |
Net income | 190,302 | ' | ' | ' | 189,271 | ' | 189,271 | 1,031 | |
Translation adjustments, net of taxes | -2,037 | ' | ' | ' | ' | -1,997 | -1,997 | -40 | |
Unrealized gains/(losses) on available-for-sale securities, net of tax | -876 | ' | ' | ' | ' | -876 | -876 | ' | |
Distributions to controlling interest | -5,039 | ' | ' | ' | ' | ' | ' | -5,039 | |
Stock-based compensation expense | 64,328 | ' | ' | 64,328 | ' | ' | 64,328 | ' | |
Repurchase of common stock | -82,245 | [1] | -2 | ' | -46,081 | -36,162 | ' | -82,245 | ' |
Cash dividends declared and paid on common stock | -408,206 | ' | ' | ' | -408,206 | ' | -408,206 | ' | |
Repurchase of common stock, shares | -2,557,129 | -2,557,000 | ' | ' | ' | ' | ' | ' | |
Tax benefit/(deficiency) from the stock incentive plans | -6,564 | ' | ' | -6,564 | ' | ' | -6,564 | ' | |
Class A common stock issued under employee stock plans, shares | ' | 1,380,000 | ' | ' | ' | ' | ' | ' | |
Class A common stock issued under employee stock plans, value | 15,602 | 1 | ' | 15,601 | ' | ' | 15,602 | ' | |
Shares repurchased for tax witholdings on vesting of restricted stock, shares | ' | 263,000 | ' | ' | ' | ' | ' | ' | |
Shares repurchased for tax witholdings on vesting of restricted stock, value | -8,828 | ' | ' | -8,828 | ' | ' | -8,828 | ' | |
Transfer of Class B common stock to Class A common stock, shares | ' | 1,806,000 | -1,806,000 | ' | ' | ' | ' | ' | |
Transfer of Class B common stock to Class A common stock, value | ' | 2 | -2 | ' | ' | ' | ' | ' | |
Exercise of Class B stock options, shares | 412,000 | ' | 83,000 | ' | ' | ' | ' | ' | |
Exercise of Class B stock options, value | 356 | ' | ' | 356 | ' | ' | 356 | ' | |
Ending balance, value at Sep. 27, 2013 | $1,500,026 | $47 | $55 | $18,812 | $1,454,382 | $7,814 | $1,481,110 | $18,916 | |
Ending balance, shares at Sep. 27, 2013 | ' | 46,863,000 | 54,876,000 | ' | ' | ' | ' | ' | |
[1] | Cost of share repurchases includes the price paid per share and applicable commissions. |
Consolidated_Statements_Of_Sto1
Consolidated Statements Of Stockholders' Equity And Comprehensive Income (Parenthetical) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 |
Statement of Stockholders' Equity [Abstract] | ' | ' | ' |
Foreign currency translation tax | $497 | $30 | $2 |
Unrealized gains(losses) on available-for-sale securities, tax | $493 | ($210) | $599 |
Consolidated_Statements_Of_Cas
Consolidated Statements Of Cash Flows (USD $) | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 | |||
Operating activities: | ' | ' | ' | |||
Net income including controlling interest | $190,302 | $265,134 | $310,582 | |||
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' | ' | |||
Depreciation and amortization | 53,245 | 43,876 | 43,994 | |||
Stock-based compensation | 64,328 | [1] | 47,581 | [1] | 43,665 | [1] |
Amortization of premium on investments | 10,234 | 17,140 | 17,088 | |||
Excess tax benefit from exercise of stock options | -475 | -852 | -6,593 | |||
Provision for doubtful accounts | -174 | -379 | 772 | |||
Deferred income taxes | -19,642 | 1,208 | 6,784 | |||
Loss on impairment of long-lived assets | 0 | 275 | 226 | |||
Payment on litigation settlement | ' | 0 | -3,000 | |||
Other non-cash items affecting net income | -1,026 | 95 | 532 | |||
Changes in operating assets and liabilities: | ' | ' | ' | |||
Accounts receivable | -53,639 | 18,831 | -8,514 | |||
Inventories | 9,166 | 3,051 | 2,105 | |||
Prepaid expenses and other assets | 3,891 | -4,108 | -10,305 | |||
Accounts payable and other liabilities | 21,890 | -6,641 | -16,952 | |||
Income taxes, net | 2,314 | 3,866 | 708 | |||
Deferred revenue | -1,076 | -498 | 19,800 | |||
Other non-current liabilities | -4,677 | 1,218 | 2,796 | |||
Net cash provided by operating activities | 274,661 | 389,797 | 403,688 | |||
Investing activities: | ' | ' | ' | |||
Purchases of available-for-sale securities | -482,370 | -611,211 | -619,238 | |||
Proceeds from sales of available-for-sale securities | 548,739 | 358,142 | 225,977 | |||
Proceeds from maturities of available-for-sale securities | 143,754 | 236,535 | 203,704 | |||
Purchases of property, plant and equipment | -26,711 | -167,349 | -47,362 | |||
Acquisitions, net of cash acquired | 0 | -12,521 | -3,350 | |||
Other investments | -3,000 | 0 | 0 | |||
Purchases of intangible assets | -4,050 | -350 | 0 | |||
Proceeds from sales of property, plant and equipment and assets held for sale | 503 | 2,075 | 3,567 | |||
Net cash provided by/(used in) investing activities | 176,865 | -194,679 | -236,702 | |||
Financing activities: | ' | ' | ' | |||
Payments on debt | -79 | -518 | 0 | |||
Proceeds from issuance of common stock | 15,958 | 17,386 | 27,918 | |||
Repurchase of common stock | -82,245 | [2] | -268,203 | -192,410 | ||
Payment of cash dividend | -408,206 | 0 | 0 | |||
Payments of Ordinary Dividends, Noncontrolling Interest | -5,039 | 0 | 0 | |||
Excess tax benefit from the exercise of stock options | 475 | 852 | 6,593 | |||
Shares repurchased for tax withholdings on vesting of restricted stock | -8,828 | -3,835 | -4,599 | |||
Net cash used in financing activities | -487,964 | -254,318 | -162,498 | |||
Effect of foreign exchange rate changes on cash and cash equivalents | -1,765 | 288 | 1,163 | |||
Net increase/(decrease) in cash and cash equivalents | -38,203 | -58,912 | 5,651 | |||
Cash and cash equivalents at beginning of period | 492,600 | 551,512 | 545,861 | |||
Cash and cash equivalents at end of period | 454,397 | 492,600 | 551,512 | |||
Supplemental disclosure: | ' | ' | ' | |||
Cash paid for income taxes, net of refunds received | 77,701 | 98,497 | 122,531 | |||
Cash paid for interest | 66 | 133 | 375 | |||
Non-cash investing activities: | ' | ' | ' | |||
Purchase consideration payable for acquisition | $0 | $6,038 | $0 | |||
[1] | We also recognize a tax benefit from certain exercises of incentive stock options and shares issued under our ESPP which are not included in the table above. This benefit was $0.4 million, $0.2 million and $0.3 million in fiscal 2013, 2012 and 2011, respectively. | |||||
[2] | Cost of share repurchases includes the price paid per share and applicable commissions. |
Basis_Of_Presentation
Basis Of Presentation | 12 Months Ended |
Sep. 27, 2013 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Basis Of Presentation | ' |
Basis of Presentation | |
Principles of Consolidation | |
The consolidated financial statements include the accounts of Dolby Laboratories and our wholly owned subsidiaries. In addition, we have consolidated the financial results of jointly owned affiliated companies in which our principal stockholder has a controlling interest. We report these controlling interests as a separate line in our consolidated statements of operations as net income attributable to controlling interest and in our consolidated balance sheets as a controlling interest. We eliminate all intercompany accounts and transactions upon consolidation. | |
Use of Estimates | |
The preparation of the consolidated financial statements in accordance with accounting principles generally accepted in the United States (“GAAP”) requires management to make certain estimates and assumptions that affect the amounts reported and disclosed in our consolidated financial statements and accompanying notes. Significant items subject to such estimates and assumptions include estimated selling prices for elements sold in multiple-element revenue arrangements; valuation allowances for accounts receivable; carrying values of inventories and certain property, plant, and equipment, goodwill and intangible assets; fair values of investments, accrued liabilities including liabilities for unrecognized tax benefits, deferred income tax assets and stock-based compensation. Actual results could differ from our estimates. | |
Fiscal Year | |
Our fiscal year is a 52 or 53 week period ending on the last Friday in September. The fiscal years presented herein include the 52 week periods ended September 27, 2013 (fiscal 2013) and September 28, 2012 (fiscal 2012), and the 53 week period ended September 30, 2011 (fiscal 2011). | |
Reclassifications | |
Beginning in the first quarter of fiscal 2013, we have recorded settlements from implementation licensees as licensing revenue rather than as an offset to sales and marketing expense. In order to conform to the current period's presentation, we have reclassified these settlements for the prior periods presented within our consolidated statements of operations. For fiscal 2012 and 2011, licensing revenue now includes amounts recognized under settlement agreements of $6.8 million and $5.6 million, respectively. The reclassification did not impact our previously reported operating income, operating cash flows, net income, or earnings per share. | |
In addition to the reclassification mentioned above, we have reclassified certain prior period amounts within our consolidated financial statements and accompanying notes to conform to our current period presentation. These reclassifications did not affect total revenue, operating income, operating cash flows or net income. |
Summary_Of_Significant_Account
Summary Of Significant Accounting Policies | 12 Months Ended | |||
Sep. 27, 2013 | ||||
Summary of Significant Accounting Policies [Abstract] | ' | |||
Summary of Significant Accounting Policies | ' | |||
Summary of Significant Accounting Policies | ||||
Concentration of Credit Risk | ||||
Our financial instruments that are exposed to concentrations of credit risk principally consist of cash, cash equivalents, investments, and accounts receivable. Our investment portfolio consists of investment grade securities diversified amongst security types, industries, and issuers. All our securities are held in custody by a recognized financial institution. Our policy limits the amount of credit exposure to a maximum of 5% to any one issuer, except for the U.S. Treasury, and we believe no significant concentration risk exists with respect to these investments. Our products are sold to businesses primarily in the Americas and Europe, and the majority of our licensing revenue is generated from customers outside of the U.S. We manage this risk by evaluating in advance the financial condition and creditworthiness of our products and services customers and performing regular evaluations of the creditworthiness of our licensing customers. In fiscal 2013, one customer accounted for approximately 12% of our total revenue, while in fiscal 2012 and 2011, a different customer accounted for approximately 14% and 13% of our total revenue, respectively. | ||||
Cash and Cash Equivalents | ||||
We consider all short-term highly liquid investments with original maturities of 90 days or less from the date of purchase to be cash equivalents. Cash and cash equivalents primarily consist of funds held in general checking accounts, money market accounts, commercial paper, and U.S. agency notes. | ||||
Investments | ||||
All of our investments are classified as available-for-sale securities, with the exception of our mutual fund investments held in our supplemental retirement plan, which are classified as trading securities. Investments that have an original maturity of 91 days or more at the date of purchase and a current maturity of less than one year are classified as short-term investments, while investments with a current maturity of more than one year are classified as long-term investments. Our investments are recorded at fair value in our consolidated balance sheets. Unrealized gains and losses on our available-for-sale securities are reported as a component of accumulated other comprehensive income ("AOCI"), while realized gains and losses, other-than-temporary impairments, and credit losses are reported as a component of net income. Upon sale, gains and losses are reclassified from AOCI into earnings, and are determined based on specific identification of securities sold. | ||||
We evaluate our investment portfolio for credit losses and other-than-temporary impairments by comparing the fair value with the cost basis for each of our investment securities. An investment is impaired if the fair value is less than its cost basis. If any portion of the impairment is deemed to be the result of a credit loss, the credit loss portion of the impairment is included as a component of net income. If we deem it probable that we will not recover the full cost basis of the security, the security is other-than-temporarily impaired and the impairment loss is recognized as a component of net income. | ||||
Allowance for Doubtful Accounts | ||||
We continually monitor customer payments and maintain a reserve for estimated losses resulting from our customers’ inability to make required payments. In determining the reserve, we evaluate the collectibility of our accounts receivable based upon a variety of factors. In cases where we are aware of circumstances that may impair a specific customer’s ability to meet its financial obligations, we record a specific allowance against amounts due, and thereby reduce the net recognized receivable to the amount reasonably believed to be collectible. For all other customers, we recognize allowances for doubtful accounts based on our actual historical write-off experience in conjunction with the length of time the receivables are past due, the creditworthiness of the customer, geographic risk and the current business environment. Actual future losses from uncollectible accounts may differ from our estimates. | ||||
Inventories | ||||
Inventories are stated at the lower of cost (first-in, first-out) or market (net realizable value). We evaluate our ending inventories for estimated excess quantities and obsolescence. Our evaluation includes the analysis of future sales demand by product within specific time horizons. Inventories in excess of projected future demand are written down to their net realizable value. In addition, we assess the impact of changing technology on our inventory balances and write-off inventories that are considered obsolete. Write-downs and write-offs of inventory are recorded as a cost of products in our consolidated statements of operations. We classify inventory that we do not expect to sell within twelve months as other non-current assets in our consolidated balance sheets. | ||||
Property, Plant and Equipment | ||||
Property, plant and equipment ("PP&E") are stated at cost less accumulated depreciation. Depreciation expense is recognized on a straight-line basis according to estimated useful lives assigned to each of our different categories of PP&E as summarized within the following table: | ||||
PP&E Category | Useful Life (Depreciable Base) | |||
Systems and software | 3 to 5 years | |||
Machinery and equipment | 3 to 8 years | |||
Furniture and fixtures | 5 to 8 years | |||
Leasehold improvements | Lesser of useful life or related lease term | |||
Buildings | Up to 40 years | |||
We capitalize certain costs incurred during the construction phase of a project or asset into construction-in-progress ("CIP") until the construction process is complete. Once the related asset is placed into service, we transfer its carrying value into the appropriate fixed asset category and depreciate the value over its useful life. As of September 27, 2013, CIP included the book value and related construction costs for the 1275 Market Street Building that we purchased in fiscal 2012 as we continue to make certain improvements in order to prepare the building for use as our worldwide headquarters in fiscal 2014. | ||||
Internal Use Software | ||||
We account for the costs of computer software developed for internal use by capitalizing costs of materials, consultants, personnel and personnel-related costs. These costs are included in PP&E, net on the accompanying consolidated balance sheets. Costs incurred during the preliminary project and post-implementation stages are charged to expense. Our capitalized internal use software costs are typically amortized on a straight-line basis over estimated useful lives of three to five years. | ||||
Goodwill, Intangible Assets, and Long-Lived Assets | ||||
We test goodwill for impairment annually during our third fiscal quarter and whenever events or changes in circumstances indicate that the carrying amount may be impaired. Beginning in the third quarter of fiscal 2012, we adopted the provisions of the FASB's recently issued accounting standard (ASU 2011-08) which permits the execution of a qualitative assessment as a determinant for whether the two-step annual goodwill impairment test should be performed. | ||||
In performing the qualitative assessment, we consider events and circumstances, including but not limited to, macroeconomic conditions, industry and market considerations, cost factors, overall financial performance, changes in management or key personnel, changes in strategy, changes in customers, changes in the composition or carrying amount of a reporting unit's net assets and changes in the price of our common stock. If, after assessing the totality of events or circumstances, we determine that it is more likely than not that the fair value of a reporting unit is greater than its carrying amount, then the two-step goodwill impairment test is not performed. | ||||
If the two-step goodwill test is performed, we evaluate and test our goodwill for impairment at a reporting-unit level using expected future cash flows to be generated by the reporting unit. If the carrying amount of a reporting unit exceeds its fair value, an impairment loss is recognized for any excess of the carrying amount of the reporting unit's goodwill over the calculated fair value of the goodwill. A reporting unit is an operating segment or one level below. Our operating segments are aligned with the management principles of our business. | ||||
We completed our annual goodwill impairment assessment for fiscal 2013 in the fiscal quarter ended June 28, 2013 at which time the consolidated balance of goodwill totaled $278.7 million. We determined, after assessing the totality of the events and circumstances described above, that it is more likely than not that the fair value of each reporting unit is greater than its carrying amount. Accordingly, there was no indication of impairment and the two-step goodwill impairment test was not performed. We did not recognize any goodwill impairment losses in fiscal 2013, 2012, or 2011. | ||||
Intangible assets with definite lives are amortized over their estimated useful lives. Our intangible assets principally consist of acquired technology, patents, trademarks, customer relationships and contracts, which are amortized on a straight-line basis over their useful lives ranging from three to seventeen years. | ||||
We review long-lived assets, including intangible assets, for impairment whenever events or a change in circumstances indicate an asset’s carrying value may not be recoverable. Recoverability of an asset is measured by comparing its carrying value to the total future undiscounted cash flows that the asset is expected to generate. If it is determined that an asset is not recoverable, an impairment loss is recorded in the amount by which the carrying value of the asset exceeds its estimated fair value. | ||||
Revenue Recognition | ||||
We enter into revenue arrangements with our customers to license technologies, trademarks and know-how and to sell products and services. We recognize revenue when all of the following criteria are met: persuasive evidence of an arrangement exists, delivery has occurred or services have been completed, the seller's price to the buyer is fixed or determinable and collectability is probable. | ||||
Multiple Element Arrangements. Some of our revenue arrangements include multiple elements (“MEs”), such as hardware, software, maintenance and other services. We evaluate each element in a multiple-element arrangement to determine whether it represents a separate unit of accounting. An element constitutes a separate unit of accounting when it has standalone value and delivery of an undelivered element is both probable and within our control. When these criteria are not met, the delivered and undelivered elements are combined and the arrangement fees are allocated to this combined single unit. If the unit separation criteria are met, we account for each element within a ME arrangement (such as hardware, software, maintenance and other services) separately, whereby the total arrangement fees are allocated to each element based on its relative selling price, which we establish using a selling price hierarchy. We determine the selling price of each element based on its vendor specific objective evidence (“VSOE”), if available, third party evidence (“TPE”), if VSOE is not available, or estimated selling price (“ESP”), if neither VSOE nor TPE is available. | ||||
For some arrangements, customers receive certain elements over a period of time, after delivery of the initial product. These elements may include support and maintenance and/or the right to receive upgrades. Revenue allocated to the undelivered element is recognized either over its estimated service period or when the upgrade is delivered. We do not recognize revenue that is contingent upon the future delivery of products or services or upon future performance obligations. We recognize revenue for delivered elements only when we have completed all contractual obligations. | ||||
We determine our ESP for an individual element within a ME revenue arrangement using the same methods used to determine the selling price of an element sold on a standalone basis. If we sell the element on a standalone basis, we estimate the selling price by considering actual sales prices. Otherwise, we estimate the selling price by considering internal factors such as pricing practices and margin objectives. Consideration is also given to market conditions such as competitor pricing strategies, customer demands and industry technology lifecycles. Management applies judgment to establish margin objectives, pricing strategies and technology lifecycles. | ||||
We account for the majority of our digital cinema server and processor sales as ME arrangements that may include up to four separate units, or elements, of accounting. | ||||
▪ | The first element consists of our digital cinema server hardware and the accompanying software, which is essential to the functionality of the hardware. This element is typically delivered at the time of sale. | |||
▪ | The second element is the right to receive support and maintenance, which is included with the purchase of the hardware element and is typically delivered over a service period subsequent to the initial sale. | |||
▪ | The third element is the right to receive specified upgrades, which is included with the purchase of the hardware element and is typically delivered when a specified upgrade is available, subsequent to the initial sale. Under revenue recognition accounting standards, sales of our digital cinema servers typically result in the allocation of a substantial majority of the arrangement fees to the delivered hardware element based on its ESP, which we recognize as revenue at the time of sale once delivery has occurred. A small portion of the arrangement fee is allocated to the undelivered support and maintenance element, and in some cases, to the undelivered specified upgrade element based on the VSOE or ESP of each element. The portion of the arrangement fees allocated to the support and maintenance element are recognized as revenue ratably over the estimated service period, and the portion of the arrangement fees allocated to specified upgrades are recognized as revenue upon delivery of the upgrade. | |||
▪ | The fourth element is the right to receive commissioning services performed solely in connection with our digital servers necessary for the installation of Dolby Atmos-enabled theatres. These services consist of the review of venue designs specifying proposed speaker placement, as well as calibration services performed for installed speakers to ensure optimal playback. A small portion of the arrangement fee is allocated to these services based on their ESP which we recognize as revenue once the services have been completed. | |||
Software Arrangements. Revenue recognition for transactions that involve software, such as fees we earn from certain system licensees, may include multiple elements. For some of our ME arrangements, customers receive certain elements over a period of time or after delivery of the initial software. These elements may include support and maintenance. The fair values of these elements are recognized over the estimated period for which these elements will be delivered, which is sometimes the estimated life of the software. If we do not have VSOE of fair value for any undelivered element included in these ME arrangements for software, we defer revenue until all elements are delivered and/or services have been performed, or until we have VSOE of fair value for all remaining undelivered elements. If the undelivered element is support and we do not have fair value for the support element, revenue for the entire arrangement is bundled and recognized ratably over the support period. | ||||
In certain cases, our arrangements require the licensee to pay a fixed fee for units they may distribute in the future. These fees are generally recognized upon contract execution, unless the arrangement includes contingency terms or is considered a ME arrangement. | ||||
Licensing. Our licensing revenue is primarily derived from royalties paid to us by licensees of our intellectual property rights, including patents, trademarks, and know-how. Royalties are recognized when all revenue recognition criteria have been met. We determine that there is persuasive evidence of an arrangement upon the execution of a license agreement or upon the receipt of a licensee’s royalty report and payment. Royalties are deemed fixed or determinable upon verification of a licensee’s royalty report in accordance with the terms of the underlying executed agreement, or in certain circumstances, receipt of a licensee’s royalty report. We determine collectibility based on an evaluation of the licensee’s recent payment history, the existence of a standby letter-of-credit between the licensee’s financial institution and our financial institution, and other factors. If we cannot determine that collectibility is probable, we recognize revenue upon receipt of cash, provided that all other revenue recognition criteria have been met. Corrective royalty statements generally comprise less than 1% of our net licensing revenue and are recognized when received, or earlier if a reliable estimate can be made of an anticipated reduction in revenue from a prior royalty statement. An estimate of anticipated reduction in revenue based on historical negative correction royalty statements is also recorded. Deferred revenue represents amounts that we have already collected that are ultimately expected to be recognized as revenue, but for which not all revenue recognition criteria have been met. Licensing revenue also includes fees we earn for administering joint patent licensing programs (“patent pools”) containing patents owned by us and/or other companies. Royalties related to patent pools are recorded net of royalties payable to third party patent pool members and are recognized when all revenue recognition criteria have been met. | ||||
We generate the majority of our licensing revenue through our licensing contracts with original equipment manufacturers (system licensees) and implementation licensees. Our revenue recognition policies for each of these arrangements are summarized below. | ||||
Licensing to system licensees. We license our technologies to system licensees who manufacture consumer electronics products and, in return, the system licensee pays us a royalty generally for each unit shipped that incorporates our technologies. Royalties from system licensees are generally recognized upon receipt of a royalty report from the licensee and when all other revenue recognition criteria have been met. In certain cases, our arrangements require the licensee to pay up-front, non-refundable royalties for units they may distribute in the future. These up-front fees are generally recognized upon contract execution, unless the arrangement includes extended payment terms or is considered a multiple element arrangement. In addition, in some cases we receive initial license fees for our technologies and provide post-contract support. In these cases we recognize the initial fees ratably over the expected support term. | ||||
Licensing to software vendors. We license our technologies for resale to software vendors and, in return, the software vendor pays us a royalty for each unit of software distributed that incorporates our technologies. Royalties from software vendors are generally recognized upon receipt of a royalty report from the licensee and when all other revenue recognition criteria have been met. In addition, in some cases we receive initial license fees for our technologies and provide post-contract upgrades and support. In these cases, we recognize the initial fees ratably over the expected support term, as VSOE of fair value typically does not exist for the upgrade and support elements of the contract. | ||||
Product Sales. Revenue from the sale of products is recognized when the risk of ownership has transferred to our customer, as provided under the terms of the governing purchase agreement, and when all other revenue recognition criteria have been met. Generally, these purchase agreements provide that the risk of ownership is transferred to the customer when the product is shipped, except in specific instances in which certain foreign regulations stipulate that the risk of ownership is transferred to the customer upon their receipt of the shipment. In these instances, we recognize revenue when the product is received by the customer. | ||||
Services. Services revenue is recognized as completed and when all other revenue recognition criteria have been met. | ||||
Cost of Revenue | ||||
Cost of licensing. Cost of licensing primarily consists of amortization expenses associated with purchased intangible assets and intangible assets acquired in business combinations. Cost of licensing also includes royalty obligations to third parties for the licensing of intellectual property rights that we sublicense as part of our licensing arrangements with our customers. | ||||
Cost of products. Cost of products primarily consists of the cost of materials related to products sold, applied labor, and manufacturing overhead. Our cost of products also includes third party royalty obligations paid to license intellectual property that we include in our products. | ||||
Cost of services. Cost of services primarily consists of the personnel and personnel-related costs of employees performing our professional services, the cost of outside consultants, and reimbursable expenses incurred on behalf of customers. | ||||
Stock-Based Compensation | ||||
We measure expenses associated with all employee stock-based compensation awards using a fair-value method and record such expense in our consolidated financial statements on a straight-line basis over the requisite service period. | ||||
Advertising and Promotional Costs | ||||
Advertising and promotional costs are charged to sales and marketing expense as incurred. Our advertising and promotional costs were as follows (in thousands): | ||||
Fiscal Year Ended | ||||
September 27, | September 28, | September 30, | ||
2013 | 2012 | 2011 | ||
Advertising and promotional costs | $32,834 | $19,971 | $13,600 | |
Foreign Currency Activities | ||||
Foreign Currency Translation | ||||
We maintain business operations in foreign countries. We translate the assets and liabilities of our international subsidiaries, the majority of which are denominated in non-U.S. dollar functional currencies, into U.S. dollars using exchange rates in effect at the end of each period. Revenues and expenses of these subsidiaries are translated using the average rates for the period. Gains and losses from these translations are included in AOCI within stockholders’ equity. | ||||
Foreign Currency Transaction | ||||
Certain of our foreign subsidiaries transact in currencies other than their functional currency. Therefore, we re-measure non-functional currency assets and liabilities of these subsidiaries using exchange rates at the end of each period. As a result, we recognize foreign currency transaction and re-measurement gains and losses, which are recorded within other income, net in our consolidated statements of operations. These gains/(losses) were as follows (in thousands): | ||||
Fiscal Year Ended | ||||
September 27, | September 28, | September 30, | ||
2013 | 2012 | 2011 | ||
Foreign currency transaction gains | $73 | $193 | $267 | |
Foreign Currency Exchange Risk | ||||
We enter into foreign currency forward contracts to hedge against assets and liabilities for which we have foreign currency exchange rate exposure, in an effort to reduce the risk that our earnings will be adversely affected by foreign currency exchange rate fluctuations. These derivative instruments are carried at fair value with changes in the fair value recorded to other income, net, in our consolidated statements of operations. While not designated as hedging instruments, these foreign currency forward contracts are used to reduce the exchange rate risk associated primarily with intercompany receivables and payables. These contracts do not subject us to material balance sheet risk due to exchange rate movements as gains and losses on these derivatives are intended to offset gains and losses on the related receivables and payables for which we have foreign currency exchange rate exposure. As of September 27, 2013 and September 28, 2012, the outstanding derivative instruments had maturities of 30 days or less and the total notional amounts of outstanding contracts were $11.6 million and $5.0 million, respectively. The fair values of these contracts were nominal as of September 27, 2013 and September 28, 2012, and were included within prepaid expenses and other current assets and within accrued liabilities in our consolidated balance sheets. | ||||
Income Taxes | ||||
We use the asset and liability method, under which deferred income tax assets and liabilities are determined based upon the difference between the financial statement carrying amounts and the tax bases of assets and liabilities and net operating loss carryforwards are measured using the enacted tax rate expected to apply to taxable income in the years in which the differences are expected to be reversed. In assessing the realizability of deferred tax assets, we consider whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The realization of deferred tax assets is additionally dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. We consider the scheduled reversal of deferred tax liabilities and projected future taxable income in making this assessment. We record a valuation allowance to reduce our deferred tax assets when uncertainty regarding their realizability exists. | ||||
We record an unrecognized tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained upon examination by the tax authorities. We include interest and penalties related to gross unrecognized tax benefits within our provision for income taxes. To the extent accrued interest and penalties do not ultimately become payable, amounts accrued are reduced in the period that such determination is made and are reflected as a reduction of the overall income tax provision. | ||||
Repatriation of Undistributed Foreign Earnings | ||||
Beginning in fiscal 2010, we initiated a policy election to indefinitely reinvest a portion of the undistributed earnings of certain foreign subsidiaries with operations outside of the United States. We consider the earnings of these foreign subsidiaries to be indefinitely invested outside the U.S. on the basis of estimates that future domestic cash generation will be sufficient to meet future domestic cash needs and our specific plans for reinvestment of those subsidiary earnings. A majority of the amounts held outside of the U.S. are generally utilized to support non-U.S. liquidity needs in order to fund operations and other growth of our foreign subsidiaries and acquisitions. | ||||
Sales Tax | ||||
We account for sales tax on a net basis by excluding sales tax from our revenue. | ||||
Recently Issued Accounting Standards | ||||
We continually assess any new accounting pronouncements issued by the Financial Accounting Standards Board ("FASB") to determine their applicability and impact on us. Where it is determined that a new accounting pronouncement will result in a change to our financial reporting, we take the appropriate steps to ensure that such changes are properly reflected on our consolidated financial statements or notes thereto. | ||||
Adopted Standards | ||||
Comprehensive Income. In June 2011, the FASB issued Accounting Standards Update No. 2011-05, Comprehensive Income (Topic 220): Presentation of Comprehensive Income. The objective of the standard, which we adopted in the first quarter of fiscal 2013, is to improve the comparability, consistency and transparency of financial reporting and to increase the prominence of items reported in other comprehensive income ("OCI"). Under the standard, we elected the two-statement approach whereby our consolidated statements of comprehensive income are presented in a separate statement immediately following our consolidated statements of operations. | ||||
The adoption of new accounting pronouncements has not had a significant impact on our consolidated financial statements or notes thereto, and has not resulted in a change to our significant accounting policies. Furthermore, there have not been any changes to our significant accounting policies from those that were described in our Form 10-K for the prior fiscal year ended September 28, 2012. | ||||
Standards Not Yet Adopted | ||||
Accumulated Other Comprehensive Income. In February 2013, the FASB issued Accounting Standards Update No. 2013-02, Comprehensive Income (Topic 220): Reporting of Amounts Reclassified out of Accumulated Other Comprehensive Income. This standard adds new disclosure requirements for items reclassified out of AOCI with the intent of helping entities improve the transparency of changes in OCI and items reclassified out of AOCI in their financial statements. The standard requires registrants to disclose either in a single note, or parenthetically on the face of the financial statements, the effect of significant amounts reclassified from each component of AOCI based on its source and the income statement line items affected by the reclassification. Required adoption of new guidance for public entities becomes effective for annual reporting periods beginning on or after December 15, 2012, and interim periods within those annual periods, and is to be applied on a retrospective basis. Thus, our effective date of adoption is the first quarter of fiscal 2014. As this new standard only requires enhanced disclosure and does not amend any existing requirements for reporting net income or OCI in the financial statements, the adoption of this guidance will likely only result in changes in our financial statement presentation and not impact our financial position or results of operations. |
Composition_Of_Certain_Financi
Composition Of Certain Financial Statement Captions | 12 Months Ended | |||||||
Sep. 27, 2013 | ||||||||
Composition Of Certain Financial Statement Captions [Abstract] | ' | |||||||
Composition Of Certain Financial Statement Captions | ' | |||||||
Composition of Certain Financial Statement Captions | ||||||||
Cash, Cash Equivalents, and Investments | ||||||||
Cash, cash equivalents, and investments consist of the following (in thousands): | ||||||||
September 27, | September 28, | |||||||
2013 | 2012 | |||||||
Cash and cash equivalents: | ||||||||
Cash | $420,069 | $468,622 | ||||||
Cash equivalents: | ||||||||
Money market funds | 16,193 | 17,090 | ||||||
U.S. agency securities | 13,135 | — | ||||||
Commercial paper | 5,000 | 4,885 | ||||||
Municipal debt securities | — | 2,003 | ||||||
Total cash and cash equivalents | 454,397 | 492,600 | ||||||
Short-term investments: | ||||||||
U.S. agency securities | 6,007 | 3,999 | ||||||
Commercial paper | 5,991 | 19,414 | ||||||
Corporate bonds | 43,847 | 107,243 | ||||||
Municipal debt securities | 84,422 | 172,037 | ||||||
Total short-term investments | 140,267 | 302,693 | ||||||
Long-term investments (1): | ||||||||
U.S. agency securities | 40,924 | 21,013 | ||||||
Corporate bonds | 90,391 | 112,993 | ||||||
Municipal debt securities | 172,023 | 227,608 | ||||||
Other long-term investments (2) | 3,000 | — | ||||||
Total long-term investments | 306,338 | 361,614 | ||||||
Total cash, cash equivalents and investments | $901,002 | $1,156,907 | ||||||
-1 | Our long-term investments have maturities that range from one to three years. | |||||||
-2 | Other long-term investments include a $3.0 million investment, which is accounted for under the cost method of accounting. After conducting an impairment assessment, we concluded that no indicators of other-than-temporary impairment exist as of September 27, 2013. | |||||||
Our investment portfolio, which is recorded as cash equivalents and both short-term and long-term investments, consists of the following (in thousands): | ||||||||
September 27, 2013 | ||||||||
Cost | Unrealized | Unrealized | Estimated Fair | |||||
Gains | Losses | Value | ||||||
Money market funds | $16,193 | $— | $— | $16,193 | ||||
U.S. agency securities | 60,126 | 16 | -76 | 60,066 | ||||
Commercial paper | 10,991 | — | — | 10,991 | ||||
Corporate bonds | 134,097 | 315 | -174 | 134,238 | ||||
Municipal debt securities | 256,218 | 384 | -157 | 256,445 | ||||
Cash equivalents and investments (1) | $477,625 | $715 | ($407) | $477,933 | ||||
-1 | Our investment portfolio of cash equivalents and investments excludes our $3.0 million cost method investment. | |||||||
September 28, 2012 | ||||||||
Cost | Unrealized | Unrealized | Estimated Fair | |||||
Gains | Losses | Value | ||||||
Money market funds | $17,090 | $— | $— | $17,090 | ||||
U.S. agency securities | 24,997 | 18 | -3 | 25,012 | ||||
Commercial paper | 24,299 | — | — | 24,299 | ||||
Corporate bonds | 219,265 | 990 | -19 | 220,236 | ||||
Municipal debt securities | 400,958 | 728 | -38 | 401,648 | ||||
Cash equivalents and investments | $686,609 | $1,736 | ($60) | $688,285 | ||||
The following tables show the gross unrealized losses and the fair value for those available-for-sale securities that were in an unrealized loss position (in thousands): | ||||||||
September 27, 2013 | ||||||||
Less than 12 months | 12 months or greater | Total | ||||||
Fair Value | Gross Unrealized Losses | Fair Value | Gross Unrealized Losses | Fair Value | Gross Unrealized Losses | |||
U.S. agency securities | $21,407 | ($76) | $— | $— | $21,407 | ($76) | ||
Corporate bonds | 53,350 | -174 | — | — | 53,350 | -174 | ||
Municipal debt securities | 72,485 | -157 | — | — | 72,485 | -157 | ||
Total | $147,242 | ($407) | $— | $— | $147,242 | ($407) | ||
September 28, 2012 | ||||||||
Less than 12 months | 12 months or greater | Total | ||||||
Fair Value | Gross Unrealized | Fair Value | Gross Unrealized | Fair Value | Gross Unrealized | |||
Losses | Losses | Losses | ||||||
U.S. agency securities | $6,999 | ($3) | $— | $— | $6,999 | ($3) | ||
Corporate bonds | 25,277 | -19 | — | — | 25,277 | -19 | ||
Municipal debt securities | 87,705 | -37 | 5,565 | -1 | 93,270 | -38 | ||
Total | $119,981 | ($59) | $5,565 | ($1) | $125,546 | ($60) | ||
The unrealized losses on our available-for-sale securities were primarily a result of unfavorable changes in interest rates subsequent to the initial purchase of these securities. As of September 27, 2013, we had certain securities that were in an unrealized loss position, however we do not intend to, nor do we currently anticipate a need to sell these securities prior to recovering the associated unrealized losses. We expect to recover the full carrying value of these securities. As a result, we do not consider any portion of the unrealized losses at September 27, 2013 or September 28, 2012 to be an other-than-temporary impairment, nor do we consider any of the unrealized losses to be credit losses. | ||||||||
The following table summarizes the amortized cost and estimated fair value of the available-for-sale securities within our investment portfolio based on stated maturities as of September 27, 2013 and September 28, 2012, which are recorded within cash equivalents and both short-term and long-term investments in our consolidated balance sheets (in thousands): | ||||||||
September 27, 2013 | September 28, 2012 | |||||||
Amortized Cost | Fair Value | Amortized Cost | Fair Value | |||||
Due within 1 year | $158,275 | $158,402 | $302,154 | $302,693 | ||||
Due in 1 to 2 years | 172,993 | 173,373 | 209,302 | 209,871 | ||||
Due in 2 to 3 years | 130,164 | 129,965 | 151,174 | 151,743 | ||||
Total | $461,432 | $461,740 | $662,630 | $664,307 | ||||
Accounts Receivable | ||||||||
Accounts receivable consists of the following (in thousands): | ||||||||
September 27, | September 28, | |||||||
2013 | 2012 | |||||||
Trade accounts receivable | $86,823 | $43,565 | ||||||
Accounts receivable related to patent administration program | 11,151 | 886 | ||||||
Accounts receivable, gross | 97,974 | 44,451 | ||||||
Less: allowance for doubtful accounts | -514 | -956 | ||||||
Accounts receivable, net | $97,460 | $43,495 | ||||||
Allowance for Doubtful Accounts | Balance at | Charged to | Deductions | Balance at | ||||
Beginning of | Operations | End of | ||||||
Fiscal Year | Fiscal Year | |||||||
For fiscal year ended September 30, 2011 | $2,040 | $772 | ($346) | $2,466 | ||||
For fiscal year ended September 28, 2012 | 2,466 | -379 | -1,131 | 956 | ||||
For fiscal year ended September 27, 2013 | 956 | -174 | -268 | 514 | ||||
Inventories | ||||||||
Inventories are stated at the lower of cost (first-in, first-out) or market and consist of the following (in thousands): | ||||||||
September 27, | September 28, | |||||||
2013 | 2012 | |||||||
Raw materials | $2,050 | $4,403 | ||||||
Finished goods | 8,043 | 12,297 | ||||||
Inventories | $10,093 | $16,700 | ||||||
Inventory with a consumption period expected to exceed twelve months is recorded within other non-current assets in our consolidated balance sheets. We have included $4.0 million and $6.5 million of raw materials inventory within other non-current assets in our consolidated balance sheets as of September 27, 2013 and September 28, 2012, respectively. The majority of the inventory included in non-current assets was purchased in bulk in fiscal 2012 to obtain a significant volume discount, and is expected to be consumed over a period that exceeds twelve months. Based on anticipated inventory consumption rates, and aside from existing write-downs due to excess inventory, we do not believe that material risk of obsolescence exists prior to ultimate sale. | ||||||||
Prepaid Expenses and Other Current Assets | ||||||||
Prepaid expenses and other current assets consist of the following (in thousands): | ||||||||
September 27, | September 28, | |||||||
2013 | 2012 | |||||||
Prepaid expenses | $10,195 | $14,955 | ||||||
Other current assets | 14,038 | 13,165 | ||||||
Income tax receivable | 7,891 | 5,712 | ||||||
Prepaid expenses and other current assets | $32,124 | $33,832 | ||||||
As of September 27, 2013, other current assets include the carrying value of $2.7 million of land and building that is currently held for sale. Management has committed to a plan to sell the property. Based on current estimated selling prices, we have determined that no indicators of potential impairment exist. | ||||||||
Property, Plant and Equipment | ||||||||
Property, plant and equipment are recorded at cost and consist of the following (in thousands): | ||||||||
September 27, | September 28, | |||||||
2013 | 2012 | |||||||
Land | $46,049 | $48,227 | ||||||
Buildings | 32,305 | 27,266 | ||||||
Leasehold improvements | 64,991 | 68,352 | ||||||
Machinery and equipment | 38,408 | 29,070 | ||||||
Computer systems and software | 91,939 | 86,266 | ||||||
Furniture and fixtures | 13,490 | 13,158 | ||||||
Construction in progress | 88,872 | 79,965 | ||||||
376,054 | 352,304 | |||||||
Less: accumulated depreciation | -133,137 | -97,628 | ||||||
Property, plant and equipment, net | $242,917 | $254,676 | ||||||
Depreciation expense for our property, plant and equipment was $37.4 million, $30.6 million and $24.1 million in fiscal 2013, 2012 and 2011, respectively, and is included in cost of licensing, cost of products, cost of services, research and development expenses, sales and marketing expenses and general and administrative expenses in our consolidated statements of operations. | ||||||||
In fiscal 2012, we purchased an approximately 354,000 square foot property in San Francisco, California for approximately $109.8 million. We allocated $35.5 million of the purchase price of the property to land and $74.3 million to building, based on a fair value analysis. This fair value analysis utilized a combination of an income approach and a cost approach in conjunction with a consideration of comparable transactions in the San Francisco marketplace. After making certain improvements to the property to prepare the building for our use, we intend to use the space as our worldwide headquarters in fiscal 2014. As of September 27, 2013, construction in progress includes the book value of the building and related costs of construction. | ||||||||
Goodwill and Intangible Assets | ||||||||
The following table outlines changes to the carrying amount of goodwill (in thousands): | ||||||||
Goodwill | ||||||||
Balance at September 30, 2011 | $263,260 | |||||||
Acquired goodwill | 15,988 | |||||||
Translation adjustments | 2,127 | |||||||
Balance at September 28, 2012 | $281,375 | |||||||
Translation adjustments | -1,651 | |||||||
Balance at September 27 2013 | $279,724 | |||||||
Intangible assets consist of the following (in thousands): | ||||||||
September 27, 2013 | September 28, 2012 | |||||||
Cost | Accumulated | Net | Cost | Accumulated | Net | |||
Amortization | Amortization | |||||||
Intangible assets subject to amortization: | ||||||||
Acquired patents and technology | $79,925 | ($51,267) | $28,658 | $79,213 | ($40,071) | $39,142 | ||
Customer relationships | 30,723 | -19,592 | 11,131 | 30,679 | -16,386 | 14,293 | ||
Other intangibles | 20,992 | -19,466 | 1,526 | 20,925 | -17,834 | 3,091 | ||
Intangible assets, net | $131,640 | ($90,325) | $41,315 | $130,817 | ($74,291) | $56,526 | ||
Amortization expense for our intangible assets was $15.8 million, $13.2 million and $19.8 million in fiscal 2013, 2012 and 2011, respectively, and is included in cost of licensing, cost of products, research and development and sales and marketing expenses in our consolidated statements of operations. As of September 27, 2013, expected amortization expense of our intangible assets in future periods is as follows (in thousands): | ||||||||
Fiscal Year | Amortization Expense | |||||||
2014 | $13,735 | |||||||
2015 | 11,275 | |||||||
2016 | 9,095 | |||||||
2017 | 5,958 | |||||||
2018 | 758 | |||||||
Thereafter | 494 | |||||||
Total | $41,315 | |||||||
Accrued Liabilities | ||||||||
Accrued liabilities consist of the following (in thousands): | ||||||||
September 27, | September 28, | |||||||
2013 | 2012 | |||||||
Accrued royalties | $6,075 | $2,391 | ||||||
Amounts payable to joint licensing program partners | 40,091 | 35,492 | ||||||
Accrued compensation and benefits | 54,423 | 47,331 | ||||||
Accrued professional fees | 4,402 | 4,893 | ||||||
Other accrued liabilities | 32,804 | 25,985 | ||||||
Accrued liabilities | $137,795 | $116,092 | ||||||
Other Non-Current Liabilities | ||||||||
Other non-current liabilities consist of the following (in thousands): | ||||||||
September 27, | September 28, | |||||||
2013 | 2012 | |||||||
Supplemental retirement plan obligations | $2,144 | $2,042 | ||||||
Non-current tax liabilities | 30,986 | 20,862 | ||||||
Other liabilities | 12,311 | 16,933 | ||||||
Other non-current liabilities | $45,441 | $39,837 | ||||||
Refer to Note 8 “Income Taxes” for additional information related to tax liabilities. | ||||||||
Accumulated Other Comprehensive Income | ||||||||
Accumulated other comprehensive income consists of the following (in thousands): | ||||||||
Fiscal Year Ended | ||||||||
September 27, | September 28, | |||||||
2013 | 2012 | |||||||
Foreign currency translation gains, net of tax of ($2,126) and ($2,623) | $7,611 | $9,608 | ||||||
Unrealized gains on available-for-sale securities, net of tax of ($104) and ($597) | 203 | 1,079 | ||||||
Total accumulated other comprehensive income | $7,814 | $10,687 | ||||||
Revenue from Significant Customers | ||||||||
In fiscal 2013, revenue from Samsung represented approximately 12% of our total revenue, and consisted primarily of licensing revenue from our mobile and broadcast markets. Revenue from Samsung did not exceed 10% of our total revenue in fiscal 2012 or fiscal 2011. Although revenue from Microsoft did not exceed 10% of our total revenue in fiscal 2013, revenue from Microsoft did represent approximately 14% and 13% of our total revenue in fiscal 2012 and 2011, respectively. |
Acquisitions
Acquisitions | 12 Months Ended | |
Sep. 27, 2013 | ||
Business Combinations [Abstract] | ' | |
Acquisitions | ' | |
Acquisitions | ||
In fiscal 2012, we acquired all outstanding shares of IMM Sound, S.A. (“IMM Sound”), a privately held company based in Barcelona, Spain, that develops and markets enhanced 3D sound for the digital film industry. We believe that this technology complements our Atmos technology released a year ago. We accounted for the IMM Sound acquisition using the acquisition method of accounting for business combinations. We completed the acquisition for a gross purchase price of $26.5 million, which included cash payments of $18.4 million, debt repayment of $0.6 million, and the assumption of net liabilities of $7.5 million. Purchase consideration, net of cash acquired of $0.4 million, was $18.0 million. | ||
Pursuant to the purchase agreement, we are retaining $6.0 million of the total purchase consideration for a period of twenty four months following the closing of the acquisition. This amount, which does not accrue interest, will be released upon the satisfaction of certain indemnification obligations of IMM Sound's shareholders, which is expected to occur during fiscal 2014. As such, this amount has been recorded as a current liability in the accompanying consolidated balance sheets as of September 27, 2013. | ||
The following table summarizes the allocation of the total purchase consideration to the total fair values of assets acquired and liabilities assumed on the acquisition date (in thousands): | ||
Purchase Price Allocation | ||
Current assets | $1,289 | |
Property, plant and equipment, net | 264 | |
Intangible assets, net | ||
Developed technology | 12,649 | |
Trade name | 590 | |
Goodwill | 15,988 | |
Current liabilities | -9,674 | |
Deferred taxes, net | -2,721 | |
Non-current liabilities | -22 | |
Total purchase price | $18,363 | |
The fair value of assets acquired and liabilities assumed were determined by management based on information available at the date of acquisition. We are amortizing the acquired intangible assets over their estimated useful lives, which is 5 years for the developed technology and 1 year for the trade name. For tax purposes, a deferred tax liability of $3.2 million was recorded on the acquisition date for the difference between the book and tax basis of the acquired intangible assets. The value of acquired intangibles was determined based on the present value of estimated future cash flows. The goodwill acquired as part of the acquisition, which is non tax-deductible, is representative of our expectation of the benefits and synergies from the integration of IMM Sound technology with our existing technology. We incurred acquisition-related transaction costs of $0.4 million in fiscal 2012, which were included in general and administrative expenses in the consolidated statements of operations. |
Fair_Value_Measurements
Fair Value Measurements | 12 Months Ended | ||||
Sep. 27, 2013 | |||||
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | ' | ||||
Fair Value Measurements | ' | ||||
Fair Value Measurements | |||||
Under our investment management strategy, we use cash holdings to purchase investment grade securities that are diversified among security types, industries and issuers. Each of the investments within our investment portfolio is measured at fair value, and is recorded within cash equivalents, short-term investments, and long-term investments in our consolidated balance sheets. | |||||
With the exception of our mutual fund investments held in our supplemental retirement plan, all of our investments are classified as available-for-sale securities. Investments held in our supplemental retirement plan are classified as trading securities. Our investments primarily consist of municipal debt securities, commercial paper, corporate bonds and United States agency securities. In addition to the security types noted above, our cash and cash equivalents also consist of highly-liquid money market funds. Consistent with our investment policy, none of the municipal debt investments that we hold are supported by letters of credit or standby purchase agreements. | |||||
Fair value is the exchange price that would be received for an asset or paid to transfer a liability in the principal or most advantageous market for the asset or liability, in an orderly transaction between market participants at the measurement date. We minimize the use of unobservable inputs and use observable market data, if available, when determining fair value. We classify our inputs to measure fair value using the following three-level hierarchy: | |||||
Level 1: Quoted prices in active markets at the measurement date for identical assets and liabilities. | |||||
Level 2: Prices may be based upon quoted prices in active markets or inputs not quoted on active markets but are corroborated by market data. | |||||
Level 3: Unobservable inputs are used when little or no market data is available and reflect management’s estimates of assumptions that market participants would use in pricing the asset or liability. | |||||
Financial assets and liabilities carried at fair value are classified below (in thousands): | |||||
September 27, 2013 | |||||
Level 1 | Level 2 | Level 3 | Total | ||
Assets: | |||||
Investments held in supplemental retirement plan (1) | $2,242 | $— | $— | $2,242 | |
Money market funds (2) | 16,193 | — | — | 16,193 | |
U.S. agency securities (2), (3), (4) | 60,066 | — | — | 60,066 | |
Commercial paper (2), (3) | — | 10,991 | — | 10,991 | |
Corporate bonds (3), (4) | — | 134,238 | — | 134,238 | |
Municipal debt securities (3), (4) | — | 256,445 | — | 256,445 | |
Total | $78,501 | $401,674 | $— | $480,175 | |
Liabilities: | |||||
Investments held in supplemental retirement plan (5) | $2,242 | $— | $— | $2,242 | |
Total | $2,242 | $— | $— | $2,242 | |
September 28, 2012 | |||||
Level 1 | Level 2 | Level 3 | Total | ||
Assets: | |||||
Investments held in supplemental retirement plan (1) | $2,140 | $— | $— | $2,140 | |
Money market funds (2) | 17,090 | — | — | 17,090 | |
U.S. agency securities (3), (4) | 25,012 | — | — | 25,012 | |
Commercial paper (2), (3) | — | 24,299 | — | 24,299 | |
Corporate bonds (3), (4) | — | 220,236 | — | 220,236 | |
Municipal debt securities (2), (3), (4) | — | 401,648 | — | 401,648 | |
Total | $44,242 | $646,183 | $— | $690,425 | |
Liabilities: | |||||
Investments held in supplemental retirement plan (5) | $2,140 | $— | $— | $2,140 | |
Total | $2,140 | $— | $— | $2,140 | |
-1 | These assets are included within prepaid expenses and other current assets and within other non-current assets. | ||||
-2 | These assets are included within cash and cash equivalents. | ||||
-3 | These assets are included within short-term investments. | ||||
-4 | These assets are included within long-term investments. | ||||
-5 | These liabilities are included within accrued liabilities and within other non-current liabilities. | ||||
We base the fair value of our Level 1 financial instruments, which are traded in active markets, using quoted market prices for identical instruments. | |||||
We obtain the fair value of our Level 2 financial instruments from a professional pricing service, which may use quoted market prices for identical or comparable instruments, or model driven valuations using observable market data or inputs corroborated by observable market data. | |||||
To validate the fair value determination provided by our primary pricing service, we perform quality controls over values received which include comparing our pricing service provider’s assessment of the fair values of our investment securities against the fair values of our investment securities obtained from another independent source, reviewing the pricing movement in the context of overall market trends, and reviewing trading information from our investment managers. In addition, we assess the inputs and methods used in determining the fair value in order to determine the classification of securities in the fair value hierarchy. | |||||
We did not own any Level 3 financial assets or liabilities as of September 27, 2013 or September 28, 2012. |
Stockholders_Equity_And_StockB
Stockholders' Equity And Stock-Based Compensation | 12 Months Ended | ||||||
Sep. 27, 2013 | |||||||
Stockholders' Equity And Stock-Based Compensation [Abstract] | ' | ||||||
Stockholders' Equity And Stock-Based Compensation | ' | ||||||
Stockholders’ Equity and Stock-Based Compensation | |||||||
We provide stock-based awards as a form of compensation for employees, officers and directors. We have issued stock-based awards in the form of stock options, restricted stock units ("RSUs") and stock appreciation rights under our equity incentive plans, as well as shares under our Employee Stock Purchase Plan (“ESPP”). | |||||||
Common Stock - Class A and Class B | |||||||
Our Board of Directors has authorized two classes of common stock, Class A and Class B. At September 27, 2013, we had authorized 500,000,000 Class A shares and 500,000,000 Class B shares. At September 27, 2013, we had 46,862,893 shares of Class A common stock and 54,876,494 shares of Class B common stock issued and outstanding. Holders of our Class A and Class B common stock have identical rights, except that holders of our Class A common stock are entitled to one vote per share and holders of our Class B common stock are entitled to ten votes per share. Shares of Class B common stock can be converted to shares of Class A common stock at any time at the option of the stockholder and automatically convert upon sale or transfer, except for certain transfers specified in our amended and restated certificate of incorporation. | |||||||
Stock Incentive Plans | |||||||
2000 Stock Incentive Plan. Effective October 2000, we adopted the 2000 Stock Incentive Plan. The 2000 Stock Incentive Plan, as amended, provides for the issuance of incentive and non-qualified stock options to employees, directors, and consultants of Dolby Laboratories to purchase up to 15.1 million shares of Class B common stock. Under the terms of this plan, options became exercisable as established by the Board of Directors (ratably over four years), and expire ten years after the date of the grant. Options granted under the plan were granted at not less than fair market value at the date of grant. | |||||||
As of September 27, 2013, there were options outstanding to purchase 0.1 million shares of Class B common stock, of which all were vested and exercisable. The options outstanding have a remaining weighted-average contractual life of 0.8 years. Subsequent to fiscal 2005, no further options were granted under this plan. The 2000 Stock Incentive Plan terminated on October 1, 2010 and no shares of our common stock remained available for future issuance under that plan other than pursuant to outstanding options. | |||||||
2005 Stock Plan. In January 2005, our stockholders approved our 2005 Stock Plan, which our Board of Directors adopted in November 2004. The 2005 Stock Plan became effective on February 16, 2005, the day prior to the completion of our initial public offering. Our 2005 Stock Plan, as amended and restated, provides for the ability to grant incentive stock options, nonstatutory stock options, restricted stock, restricted stock units, stock appreciation rights, deferred stock units, performance units, performance bonus awards and performance shares. A total of 21.0 million shares of our Class A common stock is authorized for issuance under the 2005 Stock Plan. For any awards granted prior to February 2011, any shares subject to an award with a per share price less than the fair market value of our Class A common stock on the date of grant and any shares subject to an outstanding restricted stock unit award will be counted against the authorized share reserve as two shares for every one share subject to the award, and if returned to the 2005 Stock Plan, such shares will be counted as two shares for every one share returned. For those awards granted from February 2011 onward, any shares subject to an award with a per share price less than the fair market value of our Class A common stock on the date of grant and any shares subject to an outstanding restricted stock unit award will be counted against the authorized share reserve as 1.6 shares for every one share subject to the award, and if returned to the 2005 Stock Plan, such shares will be counted as 1.6 shares for every one share returned. | |||||||
As of September 27, 2013, there were options outstanding to purchase 6.3 million shares of Class A common stock, of which 2.7 million were vested and exercisable. The options outstanding have a remaining weighted-average contractual life of 7.6 years. | |||||||
Stock Options. Stock options are generally granted at fair market value on the date of grant. Options granted to employees and officers prior to June 2008 generally vest over four years, with equal annual cliff-vesting and expire on the earlier of 10 years after the date of grant or 3 months after termination of service. Options granted to employees and officers from June 2008 onward generally vest over four years, with 25% of the shares subject to the option becoming exercisable on the one-year anniversary of the date of grant and the balance of the shares vesting in equal monthly installments over the following 36 months. These options expire on the earlier of 10 years after the date of grant or 3 months after termination of service. All options granted vest over the requisite service period and upon the exercise of stock options, we issue new shares of Class B common stock under the 2000 Stock Incentive Plan and new shares of Class A common stock under the 2005 Stock Plan. Our 2005 Stock Plan also allows us to grant stock awards which vest based on the satisfaction of specific performance criteria. | |||||||
We use the Black-Scholes option pricing model to determine the fair value of employee stock options at the date of grant. To determine an estimate for the expected term of our stock options, we evaluated historical exercise patterns of our employees and made an assumption regarding future exercise patterns. To determine an estimate for the expected stock price volatility, we used a blend of the historical volatility for our common stock since our initial public offering and our implied volatility. To determine an estimate for the risk-free interest rate we used an average interest rate based on United States Treasury instruments having terms consistent with the expected term of our awards. | |||||||
As described within Part II, Item 5 "Market For Registrant's Common Equity, Related Stockholder Matters And Issuer Purchases Of Equity Securities", our dividend policy remains unchanged following the declaration and payment of a cash dividend in fiscal 2013 as this special dividend is considered a one-time occurrence and not indicative of future expected dividend payments. Thus, our dividend yield assumption also remains unchanged following the granting of the dividend, and continues to reflect our dividend policy under which no dividends were declared nor paid prior to fiscal 2013. | |||||||
The fair value of our stock options was estimated using the following weighted-average assumptions: | |||||||
Fiscal Year Ended | |||||||
September 27, | September 28, | September 30, | |||||
2013 | 2012 | 2011 | |||||
Expected life (in years) | 4.37 | 4.53 | 4.4 | ||||
Risk-free interest rate | 0.50% | 0.70% | 1.50% | ||||
Expected stock price volatility | 40.10% | 43.80% | 41.40% | ||||
Dividend yield | — | — | — | ||||
The following table summarizes the weighted-average fair value of stock options granted and the total intrinsic value of stock options exercised (in thousands): | |||||||
Fiscal Year Ended | |||||||
September 27, | September 28, | September 30, | |||||
2013 | 2012 | 2011 | |||||
Stock options granted - weighted-average grant date fair value | $10.23 | $12.23 | $22.31 | ||||
Stock options exercised - intrinsic value | 3,781 | 6,188 | 46,649 | ||||
The following table summarizes information about stock options issued to officers, directors, and employees under our 2000 Stock Incentive Plan and 2005 Stock Plan: | |||||||
Shares | Weighted-Average | Weighted-Average | Aggregate | ||||
Exercise Price | Remaining | Intrinsic | |||||
Contractual Life | Value (2) | ||||||
(in thousands) | (in years) | (in thousands) | |||||
Options outstanding at September 28, 2012 | 4,622 | $32.50 | |||||
Grants (1) | 2,398 | 30.37 | |||||
Exercises | -412 | 22.69 | |||||
Forfeitures and cancellations | -223 | 39.56 | |||||
Options outstanding at September 27, 2013 | 6,385 | 29.82 | 7.4 | 33,985 | |||
Options vested and expected to vest at September 27, 2013 | 6,136 | 29.79 | 7.4 | 32,882 | |||
Options exercisable at September 27, 2013 | 2,769 | 28.76 | 5.6 | 18,941 | |||
-1 | Includes the additional shares of our common stock issuable upon the exercise of those options subject to the equity award modification that occurred in the first quarter of fiscal 2013 in connection with the special cash dividend. | ||||||
-2 | Aggregate intrinsic value is based on the closing price of our common stock on September 27, 2013 of $34.39 and excludes the impact of options that were not in-the-money. | ||||||
The following table summarizes information about stock options outstanding and exercisable at September 27, 2013: | |||||||
Outstanding Options | Options Exercisable | ||||||
Range of Exercise Price | Shares | Weighted-Average | Weighted-Average | Shares | Weighted-Average | ||
Remaining Contractual Life | Exercise Price | Exercise Price | |||||
(in thousands) | (in years) | (in thousands) | (in years) | ||||
$0.01 - $2.07 | 74 | 0.6 | $1.87 | 74 | $1.87 | ||
$2.08 - $6.28 | 40 | 1.1 | 5.65 | 40 | 5.65 | ||
$6.29 - $19.21 | 183 | 1.8 | 17.31 | 183 | 17.31 | ||
$19.22 - 28.12 | 464 | 4.6 | 25.21 | 396 | 25.12 | ||
$28.13 - $38.20 | 5,213 | 8.1 | 30.15 | 1,781 | 29.79 | ||
$38.21 - $48.14 | 354 | 6.7 | 42.09 | 249 | 42.64 | ||
$48.15 - $51.18 | 18 | 4.5 | 48.2 | 18 | 48.19 | ||
$51.19 and above | 39 | 7.1 | 58.31 | 28 | 58.15 | ||
6,385 | 2,769 | ||||||
Restricted Stock Units. We grant RSUs to certain employees, officers and directors under our 2005 Stock Plan. Awards granted to employees and officers generally vest over four years, with equal annual cliff-vesting. Awards granted to directors prior to November 2010 generally vest over three years, with equal annual cliff-vesting. Awards granted after November 2010 to new directors vest over approximately two years, with 50% vesting per year, while awards granted from November 2010 onwards to ongoing directors vest over approximately one year. Our 2005 Stock Plan also allows us to grant RSUs which vest based on the satisfaction of specific performance criteria, although no such awards have been granted as of September 27, 2013. At each vesting date, the holder of the award is issued shares of our Class A common stock. Compensation expense from these awards is equal to the fair market value of our common stock on the date of grant and is recognized on a straight-line basis over the requisite service period. No RSUs were granted prior to fiscal 2008. | |||||||
The fair value as of the respective vesting dates of RSUs was as follows (in thousands): | |||||||
Fiscal Year Ended | |||||||
September 27, | September 28, | September 30, | |||||
2013 | 2012 | 2011 | |||||
Restricted stock units - vest date fair value | $27,013 | $14,239 | $15,453 | ||||
The following table summarizes information about RSUs issued to employees, officers and directors under our 2005 Stock Plan: | |||||||
Shares | Weighted-Average | ||||||
Grant Date | |||||||
Fair Value | |||||||
(in thousands) | |||||||
Non-vested at September 28, 2012 | 2,572 | $37.98 | |||||
Granted | 1,270 | 31.12 | |||||
Vested | -805 | 39.17 | |||||
Forfeitures | -184 | 36.89 | |||||
Non-vested at September 27, 2013 | 2,853 | 34.66 | |||||
Stock Appreciation Rights. We have granted stock appreciation rights to certain of our foreign employees. These awards are settled in cash rather than stock, and are classified as liability awards. | |||||||
Employee Stock Purchase Plan. Prior to May 2012, our ESPP allowed eligible employees to have up to 10 percent of their eligible compensation withheld and used to purchase Class A common stock, subject to a maximum of $25,000 worth of stock purchased in a calendar year or no more than 1,000 shares in an offering period, whichever is less. The plan provided for a discount equal to 15 percent of the closing price on the New York Stock Exchange on the last day of the purchase period. | |||||||
As of May 15, 2012, the compensation committee of our Board of Directors amended the ESPP to provide for overlapping one-year offering periods composed of successive six-month purchase periods, with a look back feature to the Company's stock price at the commencement of a one-year offering period. The amended plan also includes an automatic reset feature that provides for an offering period to be reset and recommenced to a new lower-priced offering if the offering price of a new offering period is less than that of the immediately preceding offering period. The amended plan continues to allow eligible employees to have up to 10 percent of their eligible compensation withheld and used to purchase Class A common stock, subject to a maximum of $25,000 worth of stock purchased in a calendar year or no more than 1,000 shares in an offering period, whichever is less. The amendment is effective for the ESPP offering period which commenced in May 2012. The adoption of the amendment to the ESPP did not have a material impact on our results of operations. | |||||||
Stock-Based Compensation | |||||||
Stock-based compensation expense for equity awards granted to employees is determined by estimating their fair value on the date of grant, and recognizing that value as an expense on a straight-line basis over the requisite service period in which our employees earn the awards. Compensation expense related to these equity awards is recognized net of estimated forfeitures. We determine our estimated forfeiture rate based on an evaluation of historical forfeitures and revise our estimate, if necessary, in subsequent periods if actual forfeitures differ from our estimate. The estimated forfeiture rate used for awards granted was as follows: | |||||||
Fiscal Year Ended | |||||||
September 27, | September 28, | September 30, | |||||
2013 | 2012 | 2011 | |||||
Estimated forfeiture rate | 6.13% | 6.13% | 6.10% | ||||
Stock-based compensation expense recorded in our consolidated statements of operations was as follows (in thousands): | |||||||
Fiscal Year Ended | |||||||
September 27, | September 28, | September 30, | |||||
2013 (2) | 2012 (2) | 2011 (2) | |||||
Stock-based compensation: | |||||||
Stock options (1) | $21,334 | $23,550 | $24,788 | ||||
Restricted stock units | 39,644 | 22,952 | 18,339 | ||||
Employee stock purchase plan | 3,350 | 1,029 | 842 | ||||
Stock appreciation rights | — | 50 | -304 | ||||
Total stock-based compensation | 64,328 | 47,581 | 43,665 | ||||
Benefit from income taxes | -19,316 | -14,930 | -14,744 | ||||
Total stock-based compensation, net of tax | $45,012 | $32,651 | $28,921 | ||||
-1 | Expense excludes $0.4 million and $0.6 million in fiscal 2012 and 2011 related to stock-based compensation which was capitalized to property, plant and equipment. No compensation cost was capitalized to property, plant and equipment in fiscal 2013. | ||||||
-2 | We also recognize a tax benefit from certain exercises of incentive stock options and shares issued under our ESPP which are not included in the table above. This benefit was $0.4 million, $0.2 million and $0.3 million in fiscal 2013, 2012 and 2011, respectively. | ||||||
Fiscal Year Ended | |||||||
September 27, | September 28, | September 30, | |||||
2013 | 2012 | 2011 | |||||
Stock-based compensation expense was classified as follows: | |||||||
Cost of products | $765 | $675 | $642 | ||||
Cost of services | 387 | 239 | 182 | ||||
Research and development | 17,117 | 11,553 | 10,157 | ||||
Sales and marketing | 21,507 | 16,233 | 13,184 | ||||
General and administrative | 22,685 | 18,881 | 19,500 | ||||
Restructuring | 1,867 | — | — | ||||
Total stock-based compensation expense | $64,328 | $47,581 | $43,665 | ||||
At September 27, 2013, total unrecorded stock-based compensation expense associated with employee stock options expected to vest was approximately $36.6 million, which is expected to be recognized over a weighted-average period of 2.6 years. At September 27, 2013, total unrecorded stock-based compensation expense associated with RSUs expected to vest was approximately $69.2 million, which is expected to be recognized over a weighted-average period of 2.5 years. | |||||||
Option Exchange Program | |||||||
During our Annual Stockholder's Meeting held on February 7, 2012, our stockholders approved a one-time Employee Stock Option Exchange Program ("Program") pursuant to which eligible employees were provided an opportunity to exchange, on a grant-by-grant basis, eligible outstanding stock options for a lesser number of new RSUs, to be granted under our 2005 Stock Plan, as amended and restated. Options eligible for the Program are those that were granted prior to the 12-month period preceding the start of the Program offering period, and have exercise prices per share that are greater than $45.83, which approximates the 52-week high of our per share stock price as of the start of the offering period. The Program offering period commenced on July 16, 2012 and closed on August 10, 2012, at which time, a total of 705 eligible option holder participants exchanged 2,665,986 outstanding stock options for 783,443 RSUs. | |||||||
The Program was launched to restore the intended retention and incentive value of employee equity awards, reduce the potential dilutive effect of our equity incentive program, and reduce pressure to grant additional equity awards to employees in the short term. Participation in the Program was made available to all eligible employees and executive officers in eligible countries. The exchange of options under the Program resulted in a total incremental charge to compensation expense of $2.1 million, of which approximately $1.2 million was recognized in fiscal 2013. This incremental charge is being recognized over the vesting periods of the new RSUs, determined on a grant-by-grant basis, based on the extent to which the surrendered stock options were vested at the time of the exchange. These vesting periods range from one to four years beginning on the first anniversary of the grant. | |||||||
Common Stock Repurchase Program | |||||||
In November 2009, we announced a stock repurchase program, providing for the repurchase of up to $250.0 million of our Class A common stock. Our Board of Directors approved an additional $300.0 million for our stock repurchase program in July 2010, $250.0 million in July 2011, and an additional $100.0 million in February 2012, for a total authorization of up to $900.0 million in stock repurchases. Stock repurchases under this program may be made through open market transactions, negotiated purchases, or otherwise, at times and in amounts that we consider appropriate. The timing of repurchases and the number of shares repurchased depend upon a variety of factors, including price, regulatory requirements, the rate of dilution from our equity compensation programs and other market conditions. We may limit, suspend or terminate the stock repurchase program at any time without prior notice. This program does not have a specified expiration date. Shares repurchased under the program will be returned to the status of authorized but unissued shares of Class A common stock. As of September 27, 2013, the remaining authorization to purchase additional shares is $116.1 million. | |||||||
Stock repurchase activity under the stock repurchase program during fiscal 2013 is summarized as follows (in thousands): | |||||||
Quarterly Repurchase Activity | Shares | Cost (1) | Average Price Paid per Share (2) | ||||
Repurchased | |||||||
Q1 - Quarter ended December 28, 2012 | 1,674,648 | $53,956 | $32.20 | ||||
Q2 - Quarter ended March 29, 2013 | 382,481 | 11,477 | 29.99 | ||||
Q3 - Quarter ended June 28, 2013 | 250,000 | 8,709 | 34.82 | ||||
Q4 - Quarter ended September 27, 2013 | 250,000 | 8,103 | 32.4 | ||||
Total | 2,557,129 | $82,245 | |||||
-1 | Cost of share repurchases includes the price paid per share and applicable commissions. | ||||||
-2 | Average price paid per share excludes commission costs. | ||||||
Special Dividend and Equity Award Modification | |||||||
On December 11, 2012, our Board of Directors declared a special dividend in the amount of $4.00 per share on our Class A and Class B Common Stock. Payment of the special dividend was made on December 27, 2012 to all stockholders of record as of the close of business on December 21, 2012 ("Record Date"). Based on the 102,051,386 shares of Class A and Class B Common Stock outstanding as of the record date, the total special dividend payment was $408.2 million. | |||||||
In connection with the declaration of this special dividend in the first quarter of fiscal 2013, we adjusted the number and exercise price of certain eligible outstanding stock options and stock appreciation rights granted under our 2005 Stock Plan and 2000 Stock Incentive Plan in a manner intended to preserve the pre-cash dividend economic value of these awards. Eligible awards include stock options and stock appreciation rights that were granted prior to December 2012 and were outstanding as of the day following the record date, with the exception of stock options held by employees in Australia which were not adjusted due to tax considerations. The modification of these existing awards at the dividend declaration date resulted in a total net incremental compensation cost of approximately $7.9 million, of which approximately $4.6 million was recognized in fiscal 2013. This incremental charge is being recognized over the vesting periods of the original awards, determined on a grant-by-grant basis, based on the extent to which the awards were vested as of the date of modification. The incremental charge related to all fully-vested awards as of the modification date was recognized in the first quarter of fiscal 2013. The vesting period for those awards not fully-vested at the time of modification range from one to four years. | |||||||
Additionally, all outstanding RSUs under the 2005 Stock Plan that were unvested on the day following the record date, including RSUs that were granted on the record date, were modified to allow for the granting of a dividend equivalent (as such term is defined in the 2005 Stock Plan) with respect to each share of our Class A Common Stock underlying the unvested RSU. The dividend equivalent is payable in cash in a per share amount equal to the per share cash dividend on the same date that the related underlying RSU shares vest. The granting of the dividend equivalent for all outstanding RSUs resulted in a total net incremental compensation cost of approximately $11.9 million, of which approximately $4.3 million was recognized in fiscal 2013. This incremental charge is being recognized over the remaining vesting periods of the RSUs at the date of modification, determined on a grant-by-grant basis. These vesting periods range from one to four years beginning on the first anniversary of the grant. |
Restructuring
Restructuring | 12 Months Ended | |||||
Sep. 27, 2013 | ||||||
Restructuring Charges [Abstract] | ' | |||||
Restructuring | ' | |||||
Restructuring | ||||||
Fiscal 2013 Restructuring Program | ||||||
In April 2013, we implemented a plan to reorganize certain activities and personnel within our marketing function under a strategic restructuring program, and as a result, recognized approximately $5.9 million in restructuring costs during fiscal 2013. This charge included $2.8 million in severance and other related benefits offered to approximately 36 employees that were affected as a result of this action and $1.9 million of stock-based compensation expense for previously awarded grants that will vest through the second quarter of fiscal 2014 pursuant to their original vesting schedule. Expenses of $1.2 million associated with the exit of a facility are also included in restructuring charges in the accompanying consolidated statements of operations. | ||||||
Changes in restructuring accruals under the fiscal 2013 restructuring program were as follows (in thousands): | ||||||
Severance and associated | Facilities and | Total | ||||
costs | contract | |||||
termination costs | ||||||
Restructuring charges | $4,723 | $1,151 | $5,874 | |||
Cash payments | -2,097 | -108 | -2,205 | |||
Non-cash restructuring charges | -1,832 | — | -1,832 | |||
Balance at September 27, 2013 | $794 | $1,043 | $1,837 | |||
Fiscal 2011 Restructuring Program | ||||||
In fiscal 2011, we informed approximately 55 employees of our plans to reorganize certain aspects of our business under a strategic restructuring program. As a result of this action, we offered severance benefits to the affected employees. We recognized total severance and other associated costs of $0.4 million and $2.5 million for these affected employees in fiscal 2012 and fiscal 2011, respectively. In addition, we recognized $0.4 million in facilities and contract termination costs in fiscal 2012. We also recognized $0.4 million and $0.2 million in fixed asset write-off costs related to this restructuring program in fiscal 2012 and 2011, respectively. These expenses were recognized in restructuring charges in the accompanying consolidated statements of operations. | ||||||
Changes in restructuring accruals under the fiscal 2011 restructuring program were as follows (in thousands): | ||||||
Severance | Facilities and | Fixed assets | Other associated | Total | ||
contract | write-off | costs | ||||
termination costs | ||||||
Balance at September 24, 2010 | $2,804 | $— | $— | $230 | $3,034 | |
Restructuring charges | 3,185 | — | 199 | 22 | 3,406 | |
Cash payments | -3,716 | — | — | -131 | -3,847 | |
Non-cash charges | -23 | — | -199 | -1 | -223 | |
Balance at September 30, 2011 | $2,250 | $— | $— | $120 | $2,370 | |
Restructuring charges | 318 | 352 | 424 | 97 | 1,191 | |
Cash payments | -2,572 | -185 | — | -201 | -2,958 | |
Non-cash charges/(credits) | 4 | 164 | -424 | -14 | -270 | |
Balance at September 28, 2012 | $— | $331 | $— | $2 | $333 | |
Restructuring charges | — | — | — | — | — | |
Cash payments | — | -322 | — | -2 | -324 | |
Non-cash charges | — | — | — | — | — | |
Balance at September 27, 2013 | $— | $9 | $— | $— | $9 | |
Accruals for restructuring charges are included within accrued liabilities in the accompanying consolidated balance sheets while restructuring charges are included within restructuring charges in the accompanying consolidated statements of operations. |
Income_Taxes
Income Taxes | 12 Months Ended | |||
Sep. 27, 2013 | ||||
Income Tax Disclosure [Abstract] | ' | |||
Income Taxes | ' | |||
Income Taxes | ||||
Our income tax expense, deferred tax assets and liabilities, and reserves for unrecognized tax benefits reflect management's best assessment of estimated current and future taxes to be paid. We are subject to income taxes in both the United States and numerous foreign jurisdictions. Significant judgments and estimates are required in determining the consolidated income tax expense. | ||||
The components of our income before provision for income taxes were as follows (in thousands): | ||||
Fiscal Year Ended | ||||
September 27, | September 28, | September 30, | ||
2013 | 2012 | 2011 | ||
United States | $155,777 | $258,684 | $350,189 | |
Foreign | 94,869 | 110,307 | 90,454 | |
Total | $250,646 | $368,991 | $440,643 | |
The provision for income taxes consists of the following (in thousands): | ||||
Fiscal Year Ended | ||||
September 27, | September 28, | September 30, | ||
2013 | 2012 | 2011 | ||
Current: | ||||
Federal | $30,428 | $56,105 | $71,336 | |
State | 691 | 2,922 | 18,069 | |
Foreign | 49,003 | 43,659 | 33,567 | |
Total current | 80,122 | 102,686 | 122,972 | |
Deferred: | ||||
Federal | -11,353 | 904 | 3,638 | |
State | -4,748 | 521 | 9,756 | |
Foreign | -3,677 | -254 | -6,305 | |
Total deferred | -19,778 | 1,171 | 7,089 | |
Provision for income taxes | $60,344 | $103,857 | $130,061 | |
Repatriation of Undistributed Foreign Earnings | ||||
Beginning in fiscal 2010, we initiated a policy election to indefinitely reinvest a portion of the undistributed earnings of certain foreign subsidiaries with operations outside of the United States. We consider the earnings of these foreign subsidiaries to be indefinitely invested outside the U.S. on the basis of estimates that future domestic cash generation will be sufficient to meet future domestic cash needs and our specific plans for reinvestment of those subsidiary earnings. A majority of the amounts held outside of the U.S. are generally utilized to support non-U.S. liquidity needs in order to fund operations and other growth of our foreign subsidiaries and acquisitions. | ||||
As a result, we have not recorded a deferred tax liability on undistributed earnings of foreign subsidiaries of approximately $229.3 million, which are permanently reinvested outside the U.S. If these undistributed earnings held by foreign subsidiaries are repatriated to the U.S., they may be subject to federal and state income taxes, less any applicable foreign tax credits and withholding taxes, estimated at approximately $54.5 million as of September 27, 2013. Accordingly, if a determination is made to repatriate these foreign earnings, we would need to adjust our income tax provision in the period that the determination is made to accrue for taxes payable on earnings that will no longer be indefinitely invested outside the U.S. | ||||
Withholding Taxes | ||||
We recognize licensing revenue gross of withholding taxes, which our licensees remit directly to their local tax authorities, and for which we receive a related foreign tax credit in our income tax provision. The foreign current tax includes this withholding tax expense and the appropriate foreign tax credit benefit is included in the current federal and foreign taxes. Withholding taxes were as follows (in thousands): | ||||
Fiscal Year Ended | ||||
September 27, | September 28, | September 30, | ||
2013 | 2012 | 2011 | ||
Withholding Taxes | $42,567 | $38,531 | $32,200 | |
Deferred Income Taxes | ||||
Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes, using enacted tax rates in effect for the year in which the differences are expected to reverse. Based upon the level of historical taxable income and projections for future taxable income over periods in which the deferred tax assets are deductible, we believe it is more likely than not that the benefits of these deductible differences will be realized; therefore, a valuation allowance is not required. A summary of the tax effects of the temporary differences is as follows (in thousands): | ||||
Fiscal Year Ended | ||||
September 27, | September 28, | |||
2013 | 2012 | |||
Deferred income tax assets: | ||||
Investments | $2,115 | $2,096 | ||
Accounts receivable | 128 | 182 | ||
Inventories | 4,255 | 3,678 | ||
Net operating loss | 3,297 | 2,863 | ||
U.S. state taxes | 225 | 177 | ||
Accrued expenses | 11,985 | 10,140 | ||
Stock-based compensation | 29,428 | 25,720 | ||
Revenue recognition | 59,505 | 63,843 | ||
Research and development credits | 4,002 | — | ||
Foreign tax credits | 3,512 | 3,410 | ||
Other | 7,503 | 7,348 | ||
Total gross deferred income tax assets | 125,955 | 119,447 | ||
Less: valuation allowance | — | — | ||
Total deferred income tax assets | 125,955 | 119,447 | ||
Deferred income tax liabilities: | ||||
Translation adjustment | -880 | -904 | ||
Intangibles | -318 | -3,746 | ||
International earnings | -1,782 | -6,373 | ||
Depreciation and amortization | -1,028 | -6,761 | ||
Unrealized gain on investments | -275 | -768 | ||
Deferred income tax assets, net | $121,672 | $100,895 | ||
The above deferred income tax assets, net have been classified in the accompanying consolidated balance sheets as follows: | ||||
Current deferred income tax assets | $78,381 | $80,966 | ||
Long-term deferred income tax assets, net | 43,291 | 19,939 | ||
Deferred income tax assets, net | $121,672 | $100,895 | ||
Net Operating Loss ("NOL") and Tax Credit Carryforwards | ||||
As part of our acquisition of IMM Sound in fiscal 2012, we acquired a NOL carryforward for Spanish tax purposes of $1.7 million. During fiscal 2013, we finalized our merger of IMM Sound into Dolby Iberia under Spanish tax laws, which resulted in a discrete benefit of $3.9 million in our current tax provision for fiscal 2013. The discrete benefit reflects both the release of the $3.2 million deferred tax liability recorded on the acquisition date as a result of a step-up in the basis of IMM Sound’s tax assets to fair market value and an adjustment to our deferred tax assets by $0.7 million following a change in our estimated utilization of NOL carryforwards. As of September 27, 2013, our NOL carryforward was $4.3 million, and will expire in fiscal 2030 if unused. | ||||
As part of an acquisition in fiscal 2009, we acquired a NOL carryforward for federal and California tax purposes of $9.7 million and $9.6 million, respectively. The losses carried forward for federal and California tax purposes as of September 27, 2013 were $5.6 million and $9.6 million, respectively, and will expire in fiscal 2029 if unused. | ||||
Effective Tax Rate | ||||
Each period, the combination of multiple different factors can impact our effective tax rate. These factors include both recurring items such as tax rates and the relative amount of income earned in foreign jurisdictions, as well as discrete items that may occur in, but are not necessarily consistent between periods. A reconciliation of the federal statutory tax rate to our effective tax rate on income from continuing operations is as follows: | ||||
Fiscal Year Ended | ||||
27-Sep-13 | 28-Sep-12 | 30-Sep-11 | ||
Federal statutory rate | 35.00% | 35.00% | 35.00% | |
State income taxes, net of federal effect | 0.6 | 1.1 | 4.7 | |
Stock-based compensation expense rate | 1.3 | 0.5 | 0.3 | |
Research and development tax credits | -3.1 | -1.1 | -1.6 | |
Tax exempt interest | -0.2 | -0.3 | -0.3 | |
U.S. manufacturing tax incentives | -2.3 | -2.1 | -1.9 | |
Foreign rate differential | -4.5 | -5.3 | -4.6 | |
Foreign reversal of deferred tax liabilities | -3 | — | -2.5 | |
Other | 0.3 | 0.3 | 0.4 | |
Effective tax rate | 24.10% | 28.10% | 29.50% | |
Our effective tax rate decreased from 28.1% in fiscal 2012 to 24.1% in fiscal 2013. During the second quarter of fiscal 2013, a change in the tax law retroactively reinstated the federal research and development tax credits for a portion of fiscal year 2012. As a result, we recognized an increase in federal research and development tax credits for fiscal 2013, as compared to fiscal 2012, thereby lowering our effective tax rate. Additionally, in fiscal 2013, we reorganized the operations of certain foreign subsidiaries associated with previous acquisitions. The reorganizations resulted in the release of $7.4 million in deferred tax liabilities representing accrued domestic taxes and amortization of intangible assets, which benefited our effective tax rate for fiscal 2013 by 3%. | ||||
Our effective tax rate decreased from 29.5% in fiscal 2011 to 28.1% in fiscal 2012. Our effective tax rate reflects additional benefits from our election to indefinitely reinvest a portion of our undistributed earnings in certain foreign subsidiaries. We also benefited from a change in the State of California apportionment sourcing rules, which began to affect our current California taxes beginning in the first quarter of fiscal 2012. These benefits were partially offset by the expiration of the federal research and development tax credits, beginning January 1, 2012, which resulted in an increase in our effective tax rate. Our policy to indefinitely reinvest a portion of our undistributed earnings in certain foreign subsidiaries with tax rates lower than those in the U.S. resulted in a reduction to our fiscal 2012 tax rate. In the first quarter of fiscal 2011 we obtained a tax ruling that will reduce our foreign tax liability for the current and future years. The tax ruling resulted in a release of certain deferred tax liabilities associated with a prior year acquisition in our foreign operations. In fiscal 2011, we expected a reduction in our California tax rate. As a result, we reduced certain deferred tax assets in fiscal 2011 which led to an increase in our tax rate. | ||||
Uncertain Tax Positions | ||||
Our gross unrecognized tax benefit is reduced by a liability recorded to reduce our unrecognized tax benefit to the amount that we ultimately expect to be realized. As of September 27, 2013, the total amount of gross unrecognized tax benefits was $32.5 million, of which $21.8 million, if recognized, would reduce our effective tax rate. We estimate that our unrecognized tax benefits could be reduced by $4.5 million in the next twelve months as a result of the expected settlement of currently ongoing audit and the expiration of certain statute of limitations. Our net liability for unrecognized tax benefits is classified within other non-current liabilities in our consolidated balance sheets. | ||||
The aggregate changes in the balance of gross unrecognized tax benefits, excluding interest and penalties, were as follows (in thousands): | ||||
Fiscal Year Ended | ||||
September 27, 2013 | September 28, 2012 | September 30, 2011 | ||
Balance at beginning of year | $16,880 | $8,683 | $16,558 | |
Gross increases - tax positions taken during prior years | 16,865 | 3,156 | 1,006 | |
Gross decreases - tax positions taken during prior years | — | -493 | -8,083 | |
Increases in balances related to tax positions taken during current year | 2,639 | 6,770 | 299 | |
Lapse of statute of limitations | -3,064 | -1,236 | -1,097 | |
Settlements | -852 | — | — | |
Balance at end of year | $32,468 | $16,880 | $8,683 | |
Classification of Interest and Penalties | ||||
We include interest and penalties related to gross unrecognized tax benefits within our provision for income taxes. To the extent accrued interest and penalties do not ultimately become payable, amounts accrued are reduced in the period that such determination is made and are reflected as a reduction of the overall income tax provision. In fiscal 2013, our current tax provision was increased by interest expense of $0.4 million and reduced by penalties of $0.4 million. Accrued interest and penalties are included within the related tax liability line item in our consolidated balance sheets. Our accrued interest and penalties on unrecognized tax benefits as of September 27, 2013 and September 28, 2012 were as follows (in thousands): | ||||
September 27, | September 28, | |||
2013 | 2012 | |||
Accrued interest | $1,680 | $2,046 | ||
Accrued penalties | 1,536 | 1,937 | ||
Total | $3,216 | $3,983 | ||
We continue to monitor the progress of ongoing income tax controversies and the impact, if any, of the expected tolling of the statute of limitations in various taxing jurisdictions. Considering these facts, we do not currently believe there is a reasonable possibility of any significant change to our total unrecognized tax benefits within the next twelve months. | ||||
We file income tax returns in the United States on a federal basis and in several U.S. state and foreign jurisdictions. Our most significant tax jurisdictions are the U.S., the United Kingdom ("U.K."), Australia, the Netherlands and the states of New York and California. Our tax filings remain subject to examination by applicable tax authorities for a certain length of time following the tax year to which those filings relate. We are no longer subject to examinations by the Internal Revenue Service through the 2009 fiscal year, for U.S. federal tax purposes, and through the 2006 fiscal year by the appropriate governmental agencies for U.K. tax purposes. In addition, we are no longer subject to examination by the state of New York through the 2011 fiscal year for income tax purposes. Our California filings are no longer subject to examination through the 2005 fiscal year by the appropriate California agency. Other significant jurisdictions include Australia, Sweden and Canada, and they are no longer subject to examinations through the years 2006, 2006 and 2009, respectively. We do not believe that the outcome of any ongoing examination will have a material impact on our financial statements. | ||||
Release of Value-Added Tax (“VAT”) Reserves | ||||
During fiscal 2011, we completed our analysis of recent VAT law changes enacted in the European Union and other foreign jurisdictions. Based on this analysis, we released $3.2 million of VAT reserves and related estimated penalties which were recorded as reductions of general and administrative expense. Additionally, we released $1.4 million of VAT-related interest reserves, which was recorded as a reduction of interest expense. These liabilities were previously included in other accrued liabilities in our consolidated balance sheets. |
Retirement_Plans
Retirement Plans | 12 Months Ended | |||
Sep. 27, 2013 | ||||
Pension and Other Postretirement Benefit Expense [Abstract] | ' | |||
Retirement Plans | ' | |||
Retirement Plans | ||||
We maintain a tax-qualified Section 401(k) retirement plan for employees in the United States and similar plans in foreign jurisdictions. Under the plan, employees are eligible to receive matching contributions and profit-sharing contributions from the Company. | ||||
We also maintain a Supplemental Executive Retirement Plan ("SERP"), a non-qualified, employer-funded retirement plan for certain senior executives employed in the United States. The plan was adopted in October 2004 prior to our initial public offering and was terminated in fiscal 2005. We have not made any contributions to the SERP since fiscal 2006. The purpose of the plan was to provide these executives with the opportunity to receive retirement income benefits in addition to the benefits generally available to all employees. The benefits provided to participants were based on defined contributions that we made to the plan and the gains and losses on the investment of those contributions. At September 27, 2013, the balance in the SERP account represents amounts contributed prior to the plan's termination, with the underlying plan investments consisting primarily of mutual fund investments. SERP assets are included within prepaid expenses and other current assets and within other non-current assets, while SERP liabilities are included within accrued liabilities and within other non-current liabilities in our consolidated balance sheets. | ||||
Retirement plan expenses, which are included in cost of products, cost of services, research and development, sales and marketing and general and administrative expense in our consolidated statements of operations, are as follows (in thousands): | ||||
Fiscal Year Ended | ||||
September 27, | September 28, | September 30, | ||
2013 | 2012 | 2011 | ||
Retirement plan expenses | $15,810 | $12,909 | $11,300 |
Commitments_And_Contingencies
Commitments And Contingencies | 12 Months Ended | |||||||
Sep. 27, 2013 | ||||||||
Commitments and Contingencies Disclosure [Abstract] | ' | |||||||
Commitments And Contingencies | ' | |||||||
Commitments and Contingencies | ||||||||
The following table presents a summary of our contractual obligations and commitments as of September 27, 2013 (in thousands): | ||||||||
Payments Due By Fiscal Period | ||||||||
Fiscal | Fiscal | Fiscal | Fiscal | Fiscal | Thereafter | Total | ||
2014 | 2015 | 2016 | 2017 | 2018 | ||||
Naming rights | $7,341 | $7,432 | $7,525 | $7,619 | $7,715 | $118,699 | $156,331 | |
Operating leases | 17,094 | 9,443 | 6,087 | 4,399 | 2,877 | 3,028 | 42,928 | |
Purchase obligations | 4,261 | 1,387 | 155 | 39 | — | — | 5,842 | |
Total | $28,696 | $18,262 | $13,767 | $12,057 | $10,592 | $121,727 | $205,101 | |
Naming rights. In fiscal 2012, we entered into an agreement for naming rights and related benefits with respect to the Dolby Theatre in Hollywood, California, the location of the Academy Awards®. The term of the agreement is 20 years, over which we will make payments on a semi-annual basis. Our payment obligations are conditioned in part on the Academy Awards® being held and broadcast from the Dolby Theatre. | ||||||||
Operating leases. Operating lease payments include future minimum rental commitments, including those payable to our principal stockholder and portions attributable to the controlling interests in our wholly owned subsidiaries, for non-cancelable operating leases of office space as of September 27, 2013. The following table summarizes information about our total rental expenses under operating leases, including rent payable to our principal stockholder (in thousands): | ||||||||
Fiscal Year Ended | ||||||||
September 27, | September 28, | September 30, | ||||||
2013 | 2012 | 2011 | ||||||
Rent expense | $13,092 | $13,463 | $12,600 | |||||
Rent payable to principal stockholder | 1,375 | 1,372 | 1,400 | |||||
Purchase obligations. Our purchase obligations consist of agreements to purchase goods and services, entered into in the ordinary course of business. These represent non-cancelable commitments for which a penalty would be imposed if the agreement was canceled for any reason other than an event of default as described by the agreement. | ||||||||
We are party to certain contractual agreements under which we have agreed to provide indemnifications of varying scope and duration to the other party relating to our licensed intellectual property. Historically, we have not made any payments for these indemnification obligations and no amounts have been accrued in our consolidated financial statements with respect to these obligations. Due to their varying terms and conditions, we are unable to make a reasonable estimate of the maximum potential amount we could be required to pay. |
Geographic_Data
Geographic Data | 12 Months Ended | |||
Sep. 27, 2013 | ||||
Segments, Geographical Areas [Abstract] | ' | |||
Geographic Data | ' | |||
Geographic Data | ||||
Revenue by geographic region, which was determined based on the location of our licensees for licensing revenue, the location of our direct customers or distributors for products revenue, and the location where we perform our services for services revenue, was as follows (in thousands): | ||||
Fiscal Year Ended | ||||
September 27, | September 28, | September 30, | ||
2013 | 2012 | 2011 | ||
United States | $255,956 | $299,992 | $302,218 | |
International | 653,718 | 633,022 | 658,847 | |
Total revenue | $909,674 | $933,014 | $961,065 | |
The concentration of our revenue from individual geographic regions was as follows: | ||||
Fiscal Year Ended | ||||
September 27, | September 28, | September 30, | ||
2013 | 2012 | 2011 | ||
United States | 28% | 32% | 32% | |
Japan | 18% | 18% | 20% | |
Europe | 13% | 15% | 15% | |
Taiwan | 5% | 7% | 8% | |
South Korea | 20% | 17% | 13% | |
China | 9% | 6% | 6% | |
Other | 7% | 5% | 6% | |
Total | 100% | 100% | 100% | |
Long-lived tangible assets, net of accumulated depreciation, by geographic region were as follows (in thousands): | ||||
September 27, | September 28, | |||
2013 | 2012 | |||
United States | $188,580 | $211,647 | ||
International | 54,337 | 43,029 | ||
Total long-lived tangible assets, net of accumulated depreciation | $242,917 | $254,676 |
Operating_Segments
Operating Segments | 12 Months Ended |
Sep. 27, 2013 | |
Segment Reporting [Abstract] | ' |
Operating Segments | ' |
Operating Segments | |
Operating segments are defined as components of an enterprise for which separate financial information is available, and which are evaluated regularly by the chief operating decision maker, or decision-making group, in deciding how to allocate resources and assess performance. Our chief operating decision-maker ("CODM") is our Chief Executive Officer. Reportable segments are operating segments exceeding specified revenue, profit or loss, or asset thresholds for which separate disclosure of information is necessary. | |
We operate as a single reporting segment. This reflects the fact that our CODM evaluates the Company’s financial information and resources, and assesses the performance of these resources on a consolidated basis. Since the Company operates as one reporting segment, all required financial segment information is included in the consolidated financial statements. |
Earnings_Per_Share
Earnings Per Share | 12 Months Ended | |||
Sep. 27, 2013 | ||||
Earnings Per Share [Abstract] | ' | |||
Earnings Per Share | ' | |||
Earnings Per Share | ||||
We compute basic earnings per share ("EPS") by dividing net income attributable to Dolby Laboratories, Inc. by the weighted-average number of shares of Class A and Class B common stock outstanding during the period. For diluted EPS, we divide net income attributable to Dolby Laboratories, Inc. by the sum of the weighted-average number of shares of Class A and Class B common stock outstanding and the potential number of dilutive shares of Class A and Class B common stock outstanding during the period. | ||||
Note that basic and diluted EPS are computed independently for each fiscal quarter and year-to-date periods presented, which involves the use of different weighted-average share count figures relating to quarterly and annual periods. As a result, and after factoring the effect of rounding to the nearest cent per share, the sum of all four quarter-to-date EPS figures may not necessarily equal the full-year EPS. | ||||
The following table sets forth the computation of basic and diluted EPS attributable to Dolby Laboratories, Inc.: | ||||
Fiscal Year Ended | ||||
September 27, 2013 | September 28, 2012 | September 30, 2011 | ||
(in thousands, except per share amounts) | ||||
Numerator: | ||||
Net income attributable to Dolby Laboratories, Inc. | $189,271 | $264,302 | $309,267 | |
Denominator: | ||||
Weighted-average shares outstanding—basic | 101,879 | 106,926 | 111,444 | |
Potential common shares from options to purchase Class A and Class B common stock | 287 | 493 | 941 | |
Potential common shares from restricted stock units | 622 | 122 | 169 | |
Weighted-average shares outstanding—diluted | 102,788 | 107,541 | 112,554 | |
Net income per share attributable to Dolby Laboratories, Inc.—basic | $1.86 | $2.47 | $2.78 | |
Net income per share attributable to Dolby Laboratories, Inc.—diluted | $1.84 | $2.46 | $2.75 | |
Antidilutive options excluded from calculation | 5,348 | 6,496 | 3,289 | |
Antidilutive restricted stock units excluded from calculation | 1,817 | 2,550 | 535 |
Selected_Quarterly_Financial_D
Selected Quarterly Financial Data (unaudited) | 12 Months Ended | |||||||||
Sep. 27, 2013 | ||||||||||
Quarterly Financial Data [Abstract] | ' | |||||||||
Selected Quarterly Financial Data (unaudited) | ' | |||||||||
Selected Quarterly Financial Data (Unaudited) | ||||||||||
Fiscal Year 2013 | Fiscal Year 2012 | |||||||||
Q4 | Q3 | Q2 | Q1 | Q4 | Q3 | Q2 | Q1 | |||
(in thousands, except per share amounts) | ||||||||||
Revenue: | ||||||||||
Licensing | $191,043 | $184,707 | $226,455 | $204,876 | $192,154 | $180,886 | $227,849 | $200,424 | ||
Products | 19,998 | 17,381 | 17,726 | 25,498 | 27,628 | 22,132 | 27,228 | 26,400 | ||
Services | 5,611 | 4,986 | 5,165 | 6,228 | 5,973 | 7,304 | 7,682 | 7,354 | ||
Total revenue | 216,652 | 207,074 | 249,346 | 236,602 | 225,755 | 210,322 | 262,759 | 234,178 | ||
Cost of revenue | 23,491 | 24,340 | 23,283 | 25,605 | 26,994 | 21,031 | 23,592 | 20,410 | ||
Gross margin | 193,161 | 182,734 | 226,063 | 210,997 | 198,761 | 189,291 | 239,167 | 213,768 | ||
Income before taxes and controlling interest | 58,868 | 37,847 | 84,872 | 69,059 | 72,951 | 70,321 | 122,515 | 103,204 | ||
Net income attributable to Dolby Laboratories | $45,795 | $30,216 | $61,911 | $51,349 | $51,494 | $51,529 | $88,120 | $73,159 | ||
Earnings per share: | ||||||||||
Basic | $0.45 | $0.30 | $0.61 | $0.50 | $0.49 | $0.48 | $0.81 | $0.67 | ||
Diluted | $0.44 | $0.29 | $0.60 | $0.50 | $0.49 | $0.48 | $0.81 | $0.67 | ||
Weighted-average shares outstanding: | ||||||||||
Basic | 101,768 | 101,751 | 101,638 | 102,361 | 104,079 | 106,328 | 108,415 | 108,884 | ||
Diluted | 102,976 | 103,031 | 102,680 | 103,523 | 104,915 | 107,202 | 109,170 | 109,443 |
Related_Party_Transactions
Related Party Transactions | 12 Months Ended | |||
Sep. 27, 2013 | ||||
Related Party Transactions [Abstract] | ' | |||
Related Party Transactions | ' | |||
Related Party Transactions | ||||
We are the managing member or general partner in entities which own and lease commercial property in the United States and United Kingdom. Our principal stockholder is the limited member or limited partner, but with a majority economic interest, in each of these entities. These entities were established for the purposes of purchasing and leasing commercial property primarily for our use, and the debt service used to finance the purchase of these properties was paid in full during fiscal 2010. While a portion of the property is leased to third parties, we occupy a majority of the space. Therefore, since these affiliated entities are an integrated part of our operations, we have consolidated the entities’ assets and liabilities and results of operations in our consolidated financial statements. The share of earnings and net assets of the entities attributable to the limited member or limited partner, as the case may be, is reflected as controlling interest in the accompanying consolidated financial statements. | ||||
Our ownership interest in the consolidated affiliated entities as of September 27, 2013 is as follows: | ||||
Company Name | Ownership interest | |||
Dolby Properties, LLC | 37.50% | |||
Dolby Properties Brisbane, LLC | 49.00% | |||
Dolby Properties Burbank, LLC | 49.00% | |||
Dolby Properties United Kingdom, LLC | 49.00% | |||
Dolby Properties, LP | 10.00% | |||
We lease our primary San Francisco, California corporate offices from our principal stockholder. The current lease expires on April 30, 2014, but we have the option to renew the lease for two additional five-year terms. Related party rent expense included in operating expenses in our consolidated statements of operations was as follows (in thousands): | ||||
Fiscal Year Ended | ||||
September 27, | September 28, | September 30, | ||
2013 | 2012 | 2011 | ||
Related party rent expense included in operating expenses | $2,526 | $1,372 | $1,372 | |
Distributions made by these entities to our principal stockholder were as follows (in millions): | ||||
Fiscal Year Ended | ||||
September 27, | September 28, | September 30, | ||
2013 | 2012 | 2011 | ||
Distributions to principal stockholder | $5.00 | $0.10 | $0.30 |
Legal_Proceedings
Legal Proceedings | 12 Months Ended |
Sep. 27, 2013 | |
Loss Contingency, Information about Litigation Matters [Abstract] | ' |
Legal Proceedings | ' |
Legal Proceedings | |
During the fiscal quarter ended July 1, 2011, we filed patent infringement lawsuits in the United States and in Germany against Research in Motion Ltd. (“RIM”), a previously unlicensed user of certain of our patented technologies. In July 2011, RIM signed a license agreement with Via Licensing Corporation (“Via”), our wholly owned subsidiary and the licensing administrator for the patent pool which includes Dolby’s essential advanced audio coding ("AAC") patents, which entitled us to back royalties for Dolby technologies used in RIM’s products. Based on this license agreement, we recognized revenue of $15.2 million during fiscal 2011 for back royalties related to the Dolby patents and Via administration fees, including $11.3 million attributable to periods prior to fiscal 2011. We also received interest related to these back royalties of $2.2 million, which was recognized as interest income in fiscal 2011. | |
We are involved in various legal proceedings from time to time arising from the normal course of business activities, including claims of alleged infringement of intellectual property rights, commercial, employment and other matters. In our opinion, resolution of these proceedings is not expected to have a material adverse impact on our operating results or financial condition. Given the unpredictable nature of legal proceedings, it is possible that an unfavorable resolution of one or more such proceedings could materially affect our future operating results or financial condition in a particular period; however, based on the information known by us as of the date of this filing and the rules and regulations applicable to the preparation of our financial statements, any such amount is either immaterial or it is not possible to provide an estimated amount of any such potential loss. |
Summary_Of_Significant_Account1
Summary Of Significant Accounting Policies (Policy) | 12 Months Ended | |
Sep. 27, 2013 | ||
Accounting Policies [Abstract] | ' | |
Principles Of Consolidation | ' | |
Principles of Consolidation | ||
The consolidated financial statements include the accounts of Dolby Laboratories and our wholly owned subsidiaries. In addition, we have consolidated the financial results of jointly owned affiliated companies in which our principal stockholder has a controlling interest. We report these controlling interests as a separate line in our consolidated statements of operations as net income attributable to controlling interest and in our consolidated balance sheets as a controlling interest. We eliminate all intercompany accounts and transactions upon consolidation. | ||
Use of Estimates | ' | |
Use of Estimates | ||
The preparation of the consolidated financial statements in accordance with accounting principles generally accepted in the United States (“GAAP”) requires management to make certain estimates and assumptions that affect the amounts reported and disclosed in our consolidated financial statements and accompanying notes. Significant items subject to such estimates and assumptions include estimated selling prices for elements sold in multiple-element revenue arrangements; valuation allowances for accounts receivable; carrying values of inventories and certain property, plant, and equipment, goodwill and intangible assets; fair values of investments, accrued liabilities including liabilities for unrecognized tax benefits, deferred income tax assets and stock-based compensation. Actual results could differ from our estimates. | ||
Fiscal Year | ' | |
Fiscal Year | ||
Our fiscal year is a 52 or 53 week period ending on the last Friday in September. The fiscal years presented herein include the 52 week periods ended September 27, 2013 (fiscal 2013) and September 28, 2012 (fiscal 2012), and the 53 week period ended September 30, 2011 (fiscal 2011). | ||
Reclassifications | ' | |
Reclassifications | ||
Beginning in the first quarter of fiscal 2013, we have recorded settlements from implementation licensees as licensing revenue rather than as an offset to sales and marketing expense. In order to conform to the current period's presentation, we have reclassified these settlements for the prior periods presented within our consolidated statements of operations. For fiscal 2012 and 2011, licensing revenue now includes amounts recognized under settlement agreements of $6.8 million and $5.6 million, respectively. The reclassification did not impact our previously reported operating income, operating cash flows, net income, or earnings per share. | ||
In addition to the reclassification mentioned above, we have reclassified certain prior period amounts within our consolidated financial statements and accompanying notes to conform to our current period presentation. These reclassifications did not affect total revenue, operating income, operating cash flows or net income. | ||
Concentration of Credit Risk | ' | |
Concentration of Credit Risk | ||
Our financial instruments that are exposed to concentrations of credit risk principally consist of cash, cash equivalents, investments, and accounts receivable. Our investment portfolio consists of investment grade securities diversified amongst security types, industries, and issuers. All our securities are held in custody by a recognized financial institution. Our policy limits the amount of credit exposure to a maximum of 5% to any one issuer, except for the U.S. Treasury, and we believe no significant concentration risk exists with respect to these investments. Our products are sold to businesses primarily in the Americas and Europe, and the majority of our licensing revenue is generated from customers outside of the U.S. We manage this risk by evaluating in advance the financial condition and creditworthiness of our products and services customers and performing regular evaluations of the creditworthiness of our licensing customers. In fiscal 2013, one customer accounted for approximately 12% of our total revenue, while in fiscal 2012 and 2011, a different customer accounted for approximately 14% and 13% of our total revenue, respectively. | ||
Cash and Cash Equivalents | ' | |
Cash and Cash Equivalents | ||
We consider all short-term highly liquid investments with original maturities of 90 days or less from the date of purchase to be cash equivalents. Cash and cash equivalents primarily consist of funds held in general checking accounts, money market accounts, commercial paper, and U.S. agency notes. | ||
Investments | ' | |
Investments | ||
All of our investments are classified as available-for-sale securities, with the exception of our mutual fund investments held in our supplemental retirement plan, which are classified as trading securities. Investments that have an original maturity of 91 days or more at the date of purchase and a current maturity of less than one year are classified as short-term investments, while investments with a current maturity of more than one year are classified as long-term investments. Our investments are recorded at fair value in our consolidated balance sheets. Unrealized gains and losses on our available-for-sale securities are reported as a component of accumulated other comprehensive income ("AOCI"), while realized gains and losses, other-than-temporary impairments, and credit losses are reported as a component of net income. Upon sale, gains and losses are reclassified from AOCI into earnings, and are determined based on specific identification of securities sold. | ||
We evaluate our investment portfolio for credit losses and other-than-temporary impairments by comparing the fair value with the cost basis for each of our investment securities. An investment is impaired if the fair value is less than its cost basis. If any portion of the impairment is deemed to be the result of a credit loss, the credit loss portion of the impairment is included as a component of net income. If we deem it probable that we will not recover the full cost basis of the security, the security is other-than-temporarily impaired and the impairment loss is recognized as a component of net income. | ||
Allowance for Doubtful Accounts | ' | |
Allowance for Doubtful Accounts | ||
We continually monitor customer payments and maintain a reserve for estimated losses resulting from our customers’ inability to make required payments. In determining the reserve, we evaluate the collectibility of our accounts receivable based upon a variety of factors. In cases where we are aware of circumstances that may impair a specific customer’s ability to meet its financial obligations, we record a specific allowance against amounts due, and thereby reduce the net recognized receivable to the amount reasonably believed to be collectible. For all other customers, we recognize allowances for doubtful accounts based on our actual historical write-off experience in conjunction with the length of time the receivables are past due, the creditworthiness of the customer, geographic risk and the current business environment. Actual future losses from uncollectible accounts may differ from our estimates. | ||
Inventories | ' | |
Inventories | ||
Inventories are stated at the lower of cost (first-in, first-out) or market (net realizable value). We evaluate our ending inventories for estimated excess quantities and obsolescence. Our evaluation includes the analysis of future sales demand by product within specific time horizons. Inventories in excess of projected future demand are written down to their net realizable value. In addition, we assess the impact of changing technology on our inventory balances and write-off inventories that are considered obsolete. Write-downs and write-offs of inventory are recorded as a cost of products in our consolidated statements of operations. We classify inventory that we do not expect to sell within twelve months as other non-current assets in our consolidated balance sheets. | ||
Property, Plant, and Equipment | ' | |
Property, Plant and Equipment | ||
Property, plant and equipment ("PP&E") are stated at cost less accumulated depreciation. Depreciation expense is recognized on a straight-line basis according to estimated useful lives assigned to each of our different categories of PP&E as summarized within the following table: | ||
PP&E Category | Useful Life (Depreciable Base) | |
Systems and software | 3 to 5 years | |
Machinery and equipment | 3 to 8 years | |
Furniture and fixtures | 5 to 8 years | |
Leasehold improvements | Lesser of useful life or related lease term | |
Buildings | Up to 40 years | |
We capitalize certain costs incurred during the construction phase of a project or asset into construction-in-progress ("CIP") until the construction process is complete. Once the related asset is placed into service, we transfer its carrying value into the appropriate fixed asset category and depreciate the value over its useful life. | ||
Internal Use Software | ' | |
Internal Use Software | ||
We account for the costs of computer software developed for internal use by capitalizing costs of materials, consultants, personnel and personnel-related costs. These costs are included in PP&E, net on the accompanying consolidated balance sheets. Costs incurred during the preliminary project and post-implementation stages are charged to expense. Our capitalized internal use software costs are typically amortized on a straight-line basis over estimated useful lives of three to five years. | ||
Goodwill, Intangible Assets, and Long-Lived Assets | ' | |
Goodwill, Intangible Assets, and Long-Lived Assets | ||
We test goodwill for impairment annually during our third fiscal quarter and whenever events or changes in circumstances indicate that the carrying amount may be impaired. Beginning in the third quarter of fiscal 2012, we adopted the provisions of the FASB's recently issued accounting standard (ASU 2011-08) which permits the execution of a qualitative assessment as a determinant for whether the two-step annual goodwill impairment test should be performed. | ||
In performing the qualitative assessment, we consider events and circumstances, including but not limited to, macroeconomic conditions, industry and market considerations, cost factors, overall financial performance, changes in management or key personnel, changes in strategy, changes in customers, changes in the composition or carrying amount of a reporting unit's net assets and changes in the price of our common stock. If, after assessing the totality of events or circumstances, we determine that it is more likely than not that the fair value of a reporting unit is greater than its carrying amount, then the two-step goodwill impairment test is not performed. | ||
If the two-step goodwill test is performed, we evaluate and test our goodwill for impairment at a reporting-unit level using expected future cash flows to be generated by the reporting unit. If the carrying amount of a reporting unit exceeds its fair value, an impairment loss is recognized for any excess of the carrying amount of the reporting unit's goodwill over the calculated fair value of the goodwill. A reporting unit is an operating segment or one level below. Our operating segments are aligned with the management principles of our business. | ||
Revenue Recognition | ' | |
Revenue Recognition | ||
We enter into revenue arrangements with our customers to license technologies, trademarks and know-how and to sell products and services. We recognize revenue when all of the following criteria are met: persuasive evidence of an arrangement exists, delivery has occurred or services have been completed, the seller's price to the buyer is fixed or determinable and collectability is probable. | ||
Multiple Element Arrangements. Some of our revenue arrangements include multiple elements (“MEs”), such as hardware, software, maintenance and other services. We evaluate each element in a multiple-element arrangement to determine whether it represents a separate unit of accounting. An element constitutes a separate unit of accounting when it has standalone value and delivery of an undelivered element is both probable and within our control. When these criteria are not met, the delivered and undelivered elements are combined and the arrangement fees are allocated to this combined single unit. If the unit separation criteria are met, we account for each element within a ME arrangement (such as hardware, software, maintenance and other services) separately, whereby the total arrangement fees are allocated to each element based on its relative selling price, which we establish using a selling price hierarchy. We determine the selling price of each element based on its vendor specific objective evidence (“VSOE”), if available, third party evidence (“TPE”), if VSOE is not available, or estimated selling price (“ESP”), if neither VSOE nor TPE is available. | ||
For some arrangements, customers receive certain elements over a period of time, after delivery of the initial product. These elements may include support and maintenance and/or the right to receive upgrades. Revenue allocated to the undelivered element is recognized either over its estimated service period or when the upgrade is delivered. We do not recognize revenue that is contingent upon the future delivery of products or services or upon future performance obligations. We recognize revenue for delivered elements only when we have completed all contractual obligations. | ||
We determine our ESP for an individual element within a ME revenue arrangement using the same methods used to determine the selling price of an element sold on a standalone basis. If we sell the element on a standalone basis, we estimate the selling price by considering actual sales prices. Otherwise, we estimate the selling price by considering internal factors such as pricing practices and margin objectives. Consideration is also given to market conditions such as competitor pricing strategies, customer demands and industry technology lifecycles. Management applies judgment to establish margin objectives, pricing strategies and technology lifecycles. | ||
We account for the majority of our digital cinema server and processor sales as ME arrangements that may include up to four separate units, or elements, of accounting. | ||
▪ | The first element consists of our digital cinema server hardware and the accompanying software, which is essential to the functionality of the hardware. This element is typically delivered at the time of sale. | |
▪ | The second element is the right to receive support and maintenance, which is included with the purchase of the hardware element and is typically delivered over a service period subsequent to the initial sale. | |
▪ | The third element is the right to receive specified upgrades, which is included with the purchase of the hardware element and is typically delivered when a specified upgrade is available, subsequent to the initial sale. Under revenue recognition accounting standards, sales of our digital cinema servers typically result in the allocation of a substantial majority of the arrangement fees to the delivered hardware element based on its ESP, which we recognize as revenue at the time of sale once delivery has occurred. A small portion of the arrangement fee is allocated to the undelivered support and maintenance element, and in some cases, to the undelivered specified upgrade element based on the VSOE or ESP of each element. The portion of the arrangement fees allocated to the support and maintenance element are recognized as revenue ratably over the estimated service period, and the portion of the arrangement fees allocated to specified upgrades are recognized as revenue upon delivery of the upgrade. | |
▪ | The fourth element is the right to receive commissioning services performed solely in connection with our digital servers necessary for the installation of Dolby Atmos-enabled theatres. These services consist of the review of venue designs specifying proposed speaker placement, as well as calibration services performed for installed speakers to ensure optimal playback. A small portion of the arrangement fee is allocated to these services based on their ESP which we recognize as revenue once the services have been completed. | |
Software Arrangements. Revenue recognition for transactions that involve software, such as fees we earn from certain system licensees, may include multiple elements. For some of our ME arrangements, customers receive certain elements over a period of time or after delivery of the initial software. These elements may include support and maintenance. The fair values of these elements are recognized over the estimated period for which these elements will be delivered, which is sometimes the estimated life of the software. If we do not have VSOE of fair value for any undelivered element included in these ME arrangements for software, we defer revenue until all elements are delivered and/or services have been performed, or until we have VSOE of fair value for all remaining undelivered elements. If the undelivered element is support and we do not have fair value for the support element, revenue for the entire arrangement is bundled and recognized ratably over the support period. | ||
In certain cases, our arrangements require the licensee to pay a fixed fee for units they may distribute in the future. These fees are generally recognized upon contract execution, unless the arrangement includes contingency terms or is considered a ME arrangement. | ||
Licensing. Our licensing revenue is primarily derived from royalties paid to us by licensees of our intellectual property rights, including patents, trademarks, and know-how. Royalties are recognized when all revenue recognition criteria have been met. We determine that there is persuasive evidence of an arrangement upon the execution of a license agreement or upon the receipt of a licensee’s royalty report and payment. Royalties are deemed fixed or determinable upon verification of a licensee’s royalty report in accordance with the terms of the underlying executed agreement, or in certain circumstances, receipt of a licensee’s royalty report. We determine collectibility based on an evaluation of the licensee’s recent payment history, the existence of a standby letter-of-credit between the licensee’s financial institution and our financial institution, and other factors. If we cannot determine that collectibility is probable, we recognize revenue upon receipt of cash, provided that all other revenue recognition criteria have been met. Corrective royalty statements generally comprise less than 1% of our net licensing revenue and are recognized when received, or earlier if a reliable estimate can be made of an anticipated reduction in revenue from a prior royalty statement. An estimate of anticipated reduction in revenue based on historical negative correction royalty statements is also recorded. Deferred revenue represents amounts that we have already collected that are ultimately expected to be recognized as revenue, but for which not all revenue recognition criteria have been met. Licensing revenue also includes fees we earn for administering joint patent licensing programs (“patent pools”) containing patents owned by us and/or other companies. Royalties related to patent pools are recorded net of royalties payable to third party patent pool members and are recognized when all revenue recognition criteria have been met. | ||
We generate the majority of our licensing revenue through our licensing contracts with original equipment manufacturers (system licensees) and implementation licensees. Our revenue recognition policies for each of these arrangements are summarized below. | ||
Licensing to system licensees. We license our technologies to system licensees who manufacture consumer electronics products and, in return, the system licensee pays us a royalty generally for each unit shipped that incorporates our technologies. Royalties from system licensees are generally recognized upon receipt of a royalty report from the licensee and when all other revenue recognition criteria have been met. In certain cases, our arrangements require the licensee to pay up-front, non-refundable royalties for units they may distribute in the future. These up-front fees are generally recognized upon contract execution, unless the arrangement includes extended payment terms or is considered a multiple element arrangement. In addition, in some cases we receive initial license fees for our technologies and provide post-contract support. In these cases we recognize the initial fees ratably over the expected support term. | ||
Licensing to software vendors. We license our technologies for resale to software vendors and, in return, the software vendor pays us a royalty for each unit of software distributed that incorporates our technologies. Royalties from software vendors are generally recognized upon receipt of a royalty report from the licensee and when all other revenue recognition criteria have been met. In addition, in some cases we receive initial license fees for our technologies and provide post-contract upgrades and support. In these cases, we recognize the initial fees ratably over the expected support term, as VSOE of fair value typically does not exist for the upgrade and support elements of the contract. | ||
Product Sales. Revenue from the sale of products is recognized when the risk of ownership has transferred to our customer, as provided under the terms of the governing purchase agreement, and when all other revenue recognition criteria have been met. Generally, these purchase agreements provide that the risk of ownership is transferred to the customer when the product is shipped, except in specific instances in which certain foreign regulations stipulate that the risk of ownership is transferred to the customer upon their receipt of the shipment. In these instances, we recognize revenue when the product is received by the customer. | ||
Services. Services revenue is recognized as completed and when all other revenue recognition criteria have been met. | ||
Cost of Revenue | ' | |
Cost of Revenue | ||
Cost of licensing. Cost of licensing primarily consists of amortization expenses associated with purchased intangible assets and intangible assets acquired in business combinations. Cost of licensing also includes royalty obligations to third parties for the licensing of intellectual property rights that we sublicense as part of our licensing arrangements with our customers. | ||
Cost of products. Cost of products primarily consists of the cost of materials related to products sold, applied labor, and manufacturing overhead. Our cost of products also includes third party royalty obligations paid to license intellectual property that we include in our products. | ||
Cost of services. Cost of services primarily consists of the personnel and personnel-related costs of employees performing our professional services, the cost of outside consultants, and reimbursable expenses incurred on behalf of customers. | ||
Stock-Based Compensation | ' | |
Stock-Based Compensation | ||
We measure expenses associated with all employee stock-based compensation awards using a fair-value method and record such expense in our consolidated financial statements on a straight-line basis over the requisite service period. | ||
Advertising and Promotional Costs | ' | |
Advertising and Promotional Costs | ||
Advertising and promotional costs are charged to sales and marketing expense as incurred. | ||
Foreign Currency Translation | ' | |
Foreign Currency Activities | ||
Foreign Currency Translation | ||
We maintain business operations in foreign countries. We translate the assets and liabilities of our international subsidiaries, the majority of which are denominated in non-U.S. dollar functional currencies, into U.S. dollars using exchange rates in effect at the end of each period. Revenues and expenses of these subsidiaries are translated using the average rates for the period. Gains and losses from these translations are included in AOCI within stockholders’ equity. | ||
Foreign Currency Transaction | ||
Certain of our foreign subsidiaries transact in currencies other than their functional currency. Therefore, we re-measure non-functional currency assets and liabilities of these subsidiaries using exchange rates at the end of each period. As a result, we recognize foreign currency transaction and re-measurement gains and losses, which are recorded within other income, net in our consolidated statements of operations. | ||
Foreign Currency Exchange Risk | ||
We enter into foreign currency forward contracts to hedge against assets and liabilities for which we have foreign currency exchange rate exposure, in an effort to reduce the risk that our earnings will be adversely affected by foreign currency exchange rate fluctuations. These derivative instruments are carried at fair value with changes in the fair value recorded to other income, net, in our consolidated statements of operations. While not designated as hedging instruments, these foreign currency forward contracts are used to reduce the exchange rate risk associated primarily with intercompany receivables and payables. These contracts do not subject us to material balance sheet risk due to exchange rate movements as gains and losses on these derivatives are intended to offset gains and losses on the related receivables and payables for which we have foreign currency exchange rate exposure. | ||
Income Taxes | ' | |
Income Taxes | ||
We use the asset and liability method, under which deferred income tax assets and liabilities are determined based upon the difference between the financial statement carrying amounts and the tax bases of assets and liabilities and net operating loss carryforwards are measured using the enacted tax rate expected to apply to taxable income in the years in which the differences are expected to be reversed. In assessing the realizability of deferred tax assets, we consider whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The realization of deferred tax assets is additionally dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. We consider the scheduled reversal of deferred tax liabilities and projected future taxable income in making this assessment. We record a valuation allowance to reduce our deferred tax assets when uncertainty regarding their realizability exists. | ||
We record an unrecognized tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained upon examination by the tax authorities. We include interest and penalties related to gross unrecognized tax benefits within our provision for income taxes. To the extent accrued interest and penalties do not ultimately become payable, amounts accrued are reduced in the period that such determination is made and are reflected as a reduction of the overall income tax provision. | ||
Repatriation of Undistributed Foreign Earnings | ||
Beginning in fiscal 2010, we initiated a policy election to indefinitely reinvest a portion of the undistributed earnings of certain foreign subsidiaries with operations outside of the United States. We consider the earnings of these foreign subsidiaries to be indefinitely invested outside the U.S. on the basis of estimates that future domestic cash generation will be sufficient to meet future domestic cash needs and our specific plans for reinvestment of those subsidiary earnings. A majority of the amounts held outside of the U.S. are generally utilized to support non-U.S. liquidity needs in order to fund operations and other growth of our foreign subsidiaries and acquisitions. | ||
Sales Tax | ||
We account for sales tax on a net basis by excluding sales tax from our revenue. |
Summary_Of_Significant_Account2
Summary Of Significant Accounting Policies (Tables) | 12 Months Ended | |||
Sep. 27, 2013 | ||||
Accounting Policies [Abstract] | ' | |||
Schedule Of Property, Plant, And Equipment, Estimated Useful Life | ' | |||
Property, plant and equipment ("PP&E") are stated at cost less accumulated depreciation. Depreciation expense is recognized on a straight-line basis according to estimated useful lives assigned to each of our different categories of PP&E as summarized within the following table: | ||||
PP&E Category | Useful Life (Depreciable Base) | |||
Systems and software | 3 to 5 years | |||
Machinery and equipment | 3 to 8 years | |||
Furniture and fixtures | 5 to 8 years | |||
Leasehold improvements | Lesser of useful life or related lease term | |||
Buildings | Up to 40 years | |||
Advertising and Promotional Costs | ' | |||
Advertising and promotional costs are charged to sales and marketing expense as incurred. Our advertising and promotional costs were as follows (in thousands): | ||||
Fiscal Year Ended | ||||
September 27, | September 28, | September 30, | ||
2013 | 2012 | 2011 | ||
Advertising and promotional costs | $32,834 | $19,971 | $13,600 | |
Schedule of Foreign Currency Translation Gains (Losses) | ' | |||
These gains/(losses) were as follows (in thousands): | ||||
Fiscal Year Ended | ||||
September 27, | September 28, | September 30, | ||
2013 | 2012 | 2011 | ||
Foreign currency transaction gains | $73 | $193 | $267 |
Composition_Of_Certain_Financi1
Composition Of Certain Financial Statement Captions (Tables) | 12 Months Ended | |||||||
Sep. 27, 2013 | ||||||||
Composition Of Certain Financial Statement Captions [Abstract] | ' | |||||||
Schedule Of Cash, Cash Equivalents, And Investments | ' | |||||||
Cash, cash equivalents, and investments consist of the following (in thousands): | ||||||||
September 27, | September 28, | |||||||
2013 | 2012 | |||||||
Cash and cash equivalents: | ||||||||
Cash | $420,069 | $468,622 | ||||||
Cash equivalents: | ||||||||
Money market funds | 16,193 | 17,090 | ||||||
U.S. agency securities | 13,135 | — | ||||||
Commercial paper | 5,000 | 4,885 | ||||||
Municipal debt securities | — | 2,003 | ||||||
Total cash and cash equivalents | 454,397 | 492,600 | ||||||
Short-term investments: | ||||||||
U.S. agency securities | 6,007 | 3,999 | ||||||
Commercial paper | 5,991 | 19,414 | ||||||
Corporate bonds | 43,847 | 107,243 | ||||||
Municipal debt securities | 84,422 | 172,037 | ||||||
Total short-term investments | 140,267 | 302,693 | ||||||
Long-term investments (1): | ||||||||
U.S. agency securities | 40,924 | 21,013 | ||||||
Corporate bonds | 90,391 | 112,993 | ||||||
Municipal debt securities | 172,023 | 227,608 | ||||||
Other long-term investments (2) | 3,000 | — | ||||||
Total long-term investments | 306,338 | 361,614 | ||||||
Total cash, cash equivalents and investments | $901,002 | $1,156,907 | ||||||
-1 | Our long-term investments have maturities that range from one to three years. | |||||||
-2 | Other long-term investments include a $3.0 million investment, which is accounted for under the cost method of accounting. After conducting an impairment assessment, we concluded that no indicators of other-than-temporary impairment exist as of September 27, 2013. | |||||||
Schedule Of Investment Portfolio Recorded As Cash Equivalents, Short-Term Investments, And Long-Term Investments | ' | |||||||
Our investment portfolio, which is recorded as cash equivalents and both short-term and long-term investments, consists of the following (in thousands): | ||||||||
September 27, 2013 | ||||||||
Cost | Unrealized | Unrealized | Estimated Fair | |||||
Gains | Losses | Value | ||||||
Money market funds | $16,193 | $— | $— | $16,193 | ||||
U.S. agency securities | 60,126 | 16 | -76 | 60,066 | ||||
Commercial paper | 10,991 | — | — | 10,991 | ||||
Corporate bonds | 134,097 | 315 | -174 | 134,238 | ||||
Municipal debt securities | 256,218 | 384 | -157 | 256,445 | ||||
Cash equivalents and investments (1) | $477,625 | $715 | ($407) | $477,933 | ||||
-1 | Our investment portfolio of cash equivalents and investments excludes our $3.0 million cost method investment. | |||||||
September 28, 2012 | ||||||||
Cost | Unrealized | Unrealized | Estimated Fair | |||||
Gains | Losses | Value | ||||||
Money market funds | $17,090 | $— | $— | $17,090 | ||||
U.S. agency securities | 24,997 | 18 | -3 | 25,012 | ||||
Commercial paper | 24,299 | — | — | 24,299 | ||||
Corporate bonds | 219,265 | 990 | -19 | 220,236 | ||||
Municipal debt securities | 400,958 | 728 | -38 | 401,648 | ||||
Cash equivalents and investments | $686,609 | $1,736 | ($60) | $688,285 | ||||
Schedule Of Gross Unrealized Losses And The Fair Value For Available-For-Sale Securities | ' | |||||||
The following tables show the gross unrealized losses and the fair value for those available-for-sale securities that were in an unrealized loss position (in thousands): | ||||||||
September 27, 2013 | ||||||||
Less than 12 months | 12 months or greater | Total | ||||||
Fair Value | Gross Unrealized Losses | Fair Value | Gross Unrealized Losses | Fair Value | Gross Unrealized Losses | |||
U.S. agency securities | $21,407 | ($76) | $— | $— | $21,407 | ($76) | ||
Corporate bonds | 53,350 | -174 | — | — | 53,350 | -174 | ||
Municipal debt securities | 72,485 | -157 | — | — | 72,485 | -157 | ||
Total | $147,242 | ($407) | $— | $— | $147,242 | ($407) | ||
September 28, 2012 | ||||||||
Less than 12 months | 12 months or greater | Total | ||||||
Fair Value | Gross Unrealized | Fair Value | Gross Unrealized | Fair Value | Gross Unrealized | |||
Losses | Losses | Losses | ||||||
U.S. agency securities | $6,999 | ($3) | $— | $— | $6,999 | ($3) | ||
Corporate bonds | 25,277 | -19 | — | — | 25,277 | -19 | ||
Municipal debt securities | 87,705 | -37 | 5,565 | -1 | 93,270 | -38 | ||
Total | $119,981 | ($59) | $5,565 | ($1) | $125,546 | ($60) | ||
Schedule Of Amortized Cost And Estimated Fair Value Of Short-Term And Long-Term Available-For-Sale Investments Based On Stated Maturities | ' | |||||||
The following table summarizes the amortized cost and estimated fair value of the available-for-sale securities within our investment portfolio based on stated maturities as of September 27, 2013 and September 28, 2012, which are recorded within cash equivalents and both short-term and long-term investments in our consolidated balance sheets (in thousands): | ||||||||
September 27, 2013 | September 28, 2012 | |||||||
Amortized Cost | Fair Value | Amortized Cost | Fair Value | |||||
Due within 1 year | $158,275 | $158,402 | $302,154 | $302,693 | ||||
Due in 1 to 2 years | 172,993 | 173,373 | 209,302 | 209,871 | ||||
Due in 2 to 3 years | 130,164 | 129,965 | 151,174 | 151,743 | ||||
Total | $461,432 | $461,740 | $662,630 | $664,307 | ||||
Schedule Of Accounts Receivable | ' | |||||||
Accounts receivable consists of the following (in thousands): | ||||||||
September 27, | September 28, | |||||||
2013 | 2012 | |||||||
Trade accounts receivable | $86,823 | $43,565 | ||||||
Accounts receivable related to patent administration program | 11,151 | 886 | ||||||
Accounts receivable, gross | 97,974 | 44,451 | ||||||
Less: allowance for doubtful accounts | -514 | -956 | ||||||
Accounts receivable, net | $97,460 | $43,495 | ||||||
Schedule Of Allowance For Doubtful Accounts | ' | |||||||
Allowance for Doubtful Accounts | Balance at | Charged to | Deductions | Balance at | ||||
Beginning of | Operations | End of | ||||||
Fiscal Year | Fiscal Year | |||||||
For fiscal year ended September 30, 2011 | $2,040 | $772 | ($346) | $2,466 | ||||
For fiscal year ended September 28, 2012 | 2,466 | -379 | -1,131 | 956 | ||||
For fiscal year ended September 27, 2013 | 956 | -174 | -268 | 514 | ||||
Schedule Of Inventories | ' | |||||||
Inventories are stated at the lower of cost (first-in, first-out) or market and consist of the following (in thousands): | ||||||||
September 27, | September 28, | |||||||
2013 | 2012 | |||||||
Raw materials | $2,050 | $4,403 | ||||||
Finished goods | 8,043 | 12,297 | ||||||
Inventories | $10,093 | $16,700 | ||||||
Schedule Of Prepaid Expenses And Other Current Assets | ' | |||||||
Prepaid expenses and other current assets consist of the following (in thousands): | ||||||||
September 27, | September 28, | |||||||
2013 | 2012 | |||||||
Prepaid expenses | $10,195 | $14,955 | ||||||
Other current assets | 14,038 | 13,165 | ||||||
Income tax receivable | 7,891 | 5,712 | ||||||
Prepaid expenses and other current assets | $32,124 | $33,832 | ||||||
Schedule Of Property, Plant And Equipment | ' | |||||||
Property, plant and equipment are recorded at cost and consist of the following (in thousands): | ||||||||
September 27, | September 28, | |||||||
2013 | 2012 | |||||||
Land | $46,049 | $48,227 | ||||||
Buildings | 32,305 | 27,266 | ||||||
Leasehold improvements | 64,991 | 68,352 | ||||||
Machinery and equipment | 38,408 | 29,070 | ||||||
Computer systems and software | 91,939 | 86,266 | ||||||
Furniture and fixtures | 13,490 | 13,158 | ||||||
Construction in progress | 88,872 | 79,965 | ||||||
376,054 | 352,304 | |||||||
Less: accumulated depreciation | -133,137 | -97,628 | ||||||
Property, plant and equipment, net | $242,917 | $254,676 | ||||||
Schedule Of Goodwill | ' | |||||||
The following table outlines changes to the carrying amount of goodwill (in thousands): | ||||||||
Goodwill | ||||||||
Balance at September 30, 2011 | $263,260 | |||||||
Acquired goodwill | 15,988 | |||||||
Translation adjustments | 2,127 | |||||||
Balance at September 28, 2012 | $281,375 | |||||||
Translation adjustments | -1,651 | |||||||
Balance at September 27 2013 | $279,724 | |||||||
Schedule Of Intangible Assets | ' | |||||||
Intangible assets consist of the following (in thousands): | ||||||||
September 27, 2013 | September 28, 2012 | |||||||
Cost | Accumulated | Net | Cost | Accumulated | Net | |||
Amortization | Amortization | |||||||
Intangible assets subject to amortization: | ||||||||
Acquired patents and technology | $79,925 | ($51,267) | $28,658 | $79,213 | ($40,071) | $39,142 | ||
Customer relationships | 30,723 | -19,592 | 11,131 | 30,679 | -16,386 | 14,293 | ||
Other intangibles | 20,992 | -19,466 | 1,526 | 20,925 | -17,834 | 3,091 | ||
Intangible assets, net | $131,640 | ($90,325) | $41,315 | $130,817 | ($74,291) | $56,526 | ||
Schedule Of Future Amortization Expense | ' | |||||||
As of September 27, 2013, expected amortization expense of our intangible assets in future periods is as follows (in thousands): | ||||||||
Fiscal Year | Amortization Expense | |||||||
2014 | $13,735 | |||||||
2015 | 11,275 | |||||||
2016 | 9,095 | |||||||
2017 | 5,958 | |||||||
2018 | 758 | |||||||
Thereafter | 494 | |||||||
Total | $41,315 | |||||||
Schedule Of Accrued Liabilities | ' | |||||||
Accrued liabilities consist of the following (in thousands): | ||||||||
September 27, | September 28, | |||||||
2013 | 2012 | |||||||
Accrued royalties | $6,075 | $2,391 | ||||||
Amounts payable to joint licensing program partners | 40,091 | 35,492 | ||||||
Accrued compensation and benefits | 54,423 | 47,331 | ||||||
Accrued professional fees | 4,402 | 4,893 | ||||||
Other accrued liabilities | 32,804 | 25,985 | ||||||
Accrued liabilities | $137,795 | $116,092 | ||||||
Schedule Of Other Non-Current Liabilities | ' | |||||||
Other non-current liabilities consist of the following (in thousands): | ||||||||
September 27, | September 28, | |||||||
2013 | 2012 | |||||||
Supplemental retirement plan obligations | $2,144 | $2,042 | ||||||
Non-current tax liabilities | 30,986 | 20,862 | ||||||
Other liabilities | 12,311 | 16,933 | ||||||
Other non-current liabilities | $45,441 | $39,837 | ||||||
Schedule of Accumulated Other Comprehensive Income (Loss) | ' | |||||||
Accumulated other comprehensive income consists of the following (in thousands): | ||||||||
Fiscal Year Ended | ||||||||
September 27, | September 28, | |||||||
2013 | 2012 | |||||||
Foreign currency translation gains, net of tax of ($2,126) and ($2,623) | $7,611 | $9,608 | ||||||
Unrealized gains on available-for-sale securities, net of tax of ($104) and ($597) | 203 | 1,079 | ||||||
Total accumulated other comprehensive income | $7,814 | $10,687 |
Acquisitions_Tables
Acquisitions (Tables) | 12 Months Ended | |
Sep. 27, 2013 | ||
Business Combinations [Abstract] | ' | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | ' | |
The following table summarizes the allocation of the total purchase consideration to the total fair values of assets acquired and liabilities assumed on the acquisition date (in thousands): | ||
Purchase Price Allocation | ||
Current assets | $1,289 | |
Property, plant and equipment, net | 264 | |
Intangible assets, net | ||
Developed technology | 12,649 | |
Trade name | 590 | |
Goodwill | 15,988 | |
Current liabilities | -9,674 | |
Deferred taxes, net | -2,721 | |
Non-current liabilities | -22 | |
Total purchase price | $18,363 |
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 12 Months Ended | ||||
Sep. 27, 2013 | |||||
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | ' | ||||
Schedule Of Financial Assets and Liabilities Carried At Fair Value | ' | ||||
Financial assets and liabilities carried at fair value are classified below (in thousands): | |||||
September 27, 2013 | |||||
Level 1 | Level 2 | Level 3 | Total | ||
Assets: | |||||
Investments held in supplemental retirement plan (1) | $2,242 | $— | $— | $2,242 | |
Money market funds (2) | 16,193 | — | — | 16,193 | |
U.S. agency securities (2), (3), (4) | 60,066 | — | — | 60,066 | |
Commercial paper (2), (3) | — | 10,991 | — | 10,991 | |
Corporate bonds (3), (4) | — | 134,238 | — | 134,238 | |
Municipal debt securities (3), (4) | — | 256,445 | — | 256,445 | |
Total | $78,501 | $401,674 | $— | $480,175 | |
Liabilities: | |||||
Investments held in supplemental retirement plan (5) | $2,242 | $— | $— | $2,242 | |
Total | $2,242 | $— | $— | $2,242 | |
September 28, 2012 | |||||
Level 1 | Level 2 | Level 3 | Total | ||
Assets: | |||||
Investments held in supplemental retirement plan (1) | $2,140 | $— | $— | $2,140 | |
Money market funds (2) | 17,090 | — | — | 17,090 | |
U.S. agency securities (3), (4) | 25,012 | — | — | 25,012 | |
Commercial paper (2), (3) | — | 24,299 | — | 24,299 | |
Corporate bonds (3), (4) | — | 220,236 | — | 220,236 | |
Municipal debt securities (2), (3), (4) | — | 401,648 | — | 401,648 | |
Total | $44,242 | $646,183 | $— | $690,425 | |
Liabilities: | |||||
Investments held in supplemental retirement plan (5) | $2,140 | $— | $— | $2,140 | |
Total | $2,140 | $— | $— | $2,140 | |
-1 | These assets are included within prepaid expenses and other current assets and within other non-current assets. | ||||
-2 | These assets are included within cash and cash equivalents. | ||||
-3 | These assets are included within short-term investments. | ||||
-4 | These assets are included within long-term investments. | ||||
-5 | These liabilities are included within accrued liabilities and within other non-current liabilities. |
Stockholders_Equity_And_StockB1
Stockholders' Equity And Stock-Based Compensation (Tables) | 12 Months Ended | ||||||
Sep. 27, 2013 | |||||||
Stockholders' Equity And Stock-Based Compensation [Abstract] | ' | ||||||
Schedule Of Fair Value Of Stock-Based Awards Estimated Using Weighted-Average Assumptions | ' | ||||||
The fair value of our stock options was estimated using the following weighted-average assumptions: | |||||||
Fiscal Year Ended | |||||||
September 27, | September 28, | September 30, | |||||
2013 | 2012 | 2011 | |||||
Expected life (in years) | 4.37 | 4.53 | 4.4 | ||||
Risk-free interest rate | 0.50% | 0.70% | 1.50% | ||||
Expected stock price volatility | 40.10% | 43.80% | 41.40% | ||||
Dividend yield | — | — | — | ||||
Summary Of Weighted-Average Fair Value Of Stock Options Granted And Total Intrinsic Value Of Stock Options Exercised | ' | ||||||
The following table summarizes the weighted-average fair value of stock options granted and the total intrinsic value of stock options exercised (in thousands): | |||||||
Fiscal Year Ended | |||||||
September 27, | September 28, | September 30, | |||||
2013 | 2012 | 2011 | |||||
Stock options granted - weighted-average grant date fair value | $10.23 | $12.23 | $22.31 | ||||
Stock options exercised - intrinsic value | 3,781 | 6,188 | 46,649 | ||||
Summary Of Stock Options Issued To Officers, Directors, And Employees Under 2000 Stock Incentive Plan And 2005 Stock Plan | ' | ||||||
The following table summarizes information about stock options issued to officers, directors, and employees under our 2000 Stock Incentive Plan and 2005 Stock Plan: | |||||||
Shares | Weighted-Average | Weighted-Average | Aggregate | ||||
Exercise Price | Remaining | Intrinsic | |||||
Contractual Life | Value (2) | ||||||
(in thousands) | (in years) | (in thousands) | |||||
Options outstanding at September 28, 2012 | 4,622 | $32.50 | |||||
Grants (1) | 2,398 | 30.37 | |||||
Exercises | -412 | 22.69 | |||||
Forfeitures and cancellations | -223 | 39.56 | |||||
Options outstanding at September 27, 2013 | 6,385 | 29.82 | 7.4 | 33,985 | |||
Options vested and expected to vest at September 27, 2013 | 6,136 | 29.79 | 7.4 | 32,882 | |||
Options exercisable at September 27, 2013 | 2,769 | 28.76 | 5.6 | 18,941 | |||
-1 | Includes the additional shares of our common stock issuable upon the exercise of those options subject to the equity award modification that occurred in the first quarter of fiscal 2013 in connection with the special cash dividend. | ||||||
-2 | Aggregate intrinsic value is based on the closing price of our common stock on September 27, 2013 of $34.39 and excludes the impact of options that were not in-the-money. | ||||||
Summary Of Stock Options Outstanding And Exercisable | ' | ||||||
The following table summarizes information about stock options outstanding and exercisable at September 27, 2013: | |||||||
Outstanding Options | Options Exercisable | ||||||
Range of Exercise Price | Shares | Weighted-Average | Weighted-Average | Shares | Weighted-Average | ||
Remaining Contractual Life | Exercise Price | Exercise Price | |||||
(in thousands) | (in years) | (in thousands) | (in years) | ||||
$0.01 - $2.07 | 74 | 0.6 | $1.87 | 74 | $1.87 | ||
$2.08 - $6.28 | 40 | 1.1 | 5.65 | 40 | 5.65 | ||
$6.29 - $19.21 | 183 | 1.8 | 17.31 | 183 | 17.31 | ||
$19.22 - 28.12 | 464 | 4.6 | 25.21 | 396 | 25.12 | ||
$28.13 - $38.20 | 5,213 | 8.1 | 30.15 | 1,781 | 29.79 | ||
$38.21 - $48.14 | 354 | 6.7 | 42.09 | 249 | 42.64 | ||
$48.15 - $51.18 | 18 | 4.5 | 48.2 | 18 | 48.19 | ||
$51.19 and above | 39 | 7.1 | 58.31 | 28 | 58.15 | ||
6,385 | 2,769 | ||||||
Schedule of Share-Based Payment Fair Value by Vesting Date | ' | ||||||
The fair value as of the respective vesting dates of RSUs was as follows (in thousands): | |||||||
Fiscal Year Ended | |||||||
September 27, | September 28, | September 30, | |||||
2013 | 2012 | 2011 | |||||
Restricted stock units - vest date fair value | $27,013 | $14,239 | $15,453 | ||||
Summary Of Restricted Stock Units Issued To Officers, Directors And Employees Under 2005 Stock Incentive Plan | ' | ||||||
The following table summarizes information about RSUs issued to employees, officers and directors under our 2005 Stock Plan: | |||||||
Shares | Weighted-Average | ||||||
Grant Date | |||||||
Fair Value | |||||||
(in thousands) | |||||||
Non-vested at September 28, 2012 | 2,572 | $37.98 | |||||
Granted | 1,270 | 31.12 | |||||
Vested | -805 | 39.17 | |||||
Forfeitures | -184 | 36.89 | |||||
Non-vested at September 27, 2013 | 2,853 | 34.66 | |||||
Schedule of Estimated Forfeiture Rate | ' | ||||||
The estimated forfeiture rate used for awards granted was as follows: | |||||||
Fiscal Year Ended | |||||||
September 27, | September 28, | September 30, | |||||
2013 | 2012 | 2011 | |||||
Estimated forfeiture rate | 6.13% | 6.13% | 6.10% | ||||
Schedule Of Stock-Based Compensation Expense By Plan | ' | ||||||
Stock-based compensation expense recorded in our consolidated statements of operations was as follows (in thousands): | |||||||
Fiscal Year Ended | |||||||
September 27, | September 28, | September 30, | |||||
2013 (2) | 2012 (2) | 2011 (2) | |||||
Stock-based compensation: | |||||||
Stock options (1) | $21,334 | $23,550 | $24,788 | ||||
Restricted stock units | 39,644 | 22,952 | 18,339 | ||||
Employee stock purchase plan | 3,350 | 1,029 | 842 | ||||
Stock appreciation rights | — | 50 | -304 | ||||
Total stock-based compensation | 64,328 | 47,581 | 43,665 | ||||
Benefit from income taxes | -19,316 | -14,930 | -14,744 | ||||
Total stock-based compensation, net of tax | $45,012 | $32,651 | $28,921 | ||||
-1 | Expense excludes $0.4 million and $0.6 million in fiscal 2012 and 2011 related to stock-based compensation which was capitalized to property, plant and equipment. No compensation cost was capitalized to property, plant and equipment in fiscal 2013. | ||||||
-2 | We also recognize a tax benefit from certain exercises of incentive stock options and shares issued under our ESPP which are not included in the table above. This benefit was $0.4 million, $0.2 million and $0.3 million in fiscal 2013, 2012 and 2011, respectively. | ||||||
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs | ' | ||||||
Fiscal Year Ended | |||||||
September 27, | September 28, | September 30, | |||||
2013 | 2012 | 2011 | |||||
Stock-based compensation expense was classified as follows: | |||||||
Cost of products | $765 | $675 | $642 | ||||
Cost of services | 387 | 239 | 182 | ||||
Research and development | 17,117 | 11,553 | 10,157 | ||||
Sales and marketing | 21,507 | 16,233 | 13,184 | ||||
General and administrative | 22,685 | 18,881 | 19,500 | ||||
Restructuring | 1,867 | — | — | ||||
Total stock-based compensation expense | $64,328 | $47,581 | $43,665 | ||||
Schedule of Stock Repurchase Activity | ' | ||||||
Stock repurchase activity under the stock repurchase program during fiscal 2013 is summarized as follows (in thousands): | |||||||
Quarterly Repurchase Activity | Shares | Cost (1) | Average Price Paid per Share (2) | ||||
Repurchased | |||||||
Q1 - Quarter ended December 28, 2012 | 1,674,648 | $53,956 | $32.20 | ||||
Q2 - Quarter ended March 29, 2013 | 382,481 | 11,477 | 29.99 | ||||
Q3 - Quarter ended June 28, 2013 | 250,000 | 8,709 | 34.82 | ||||
Q4 - Quarter ended September 27, 2013 | 250,000 | 8,103 | 32.4 | ||||
Total | 2,557,129 | $82,245 | |||||
-1 | Cost of share repurchases includes the price paid per share and applicable commissions. | ||||||
-2 | Average price paid per share excludes commission costs. |
Restructuring_Tables
Restructuring (Tables) | 12 Months Ended | |||||
Sep. 27, 2013 | ||||||
Restructuring Charges [Abstract] | ' | |||||
Schedule Of Changes In Restructuring Accruals | ' | |||||
Changes in restructuring accruals under the fiscal 2011 restructuring program were as follows (in thousands): | ||||||
Severance | Facilities and | Fixed assets | Other associated | Total | ||
contract | write-off | costs | ||||
termination costs | ||||||
Balance at September 24, 2010 | $2,804 | $— | $— | $230 | $3,034 | |
Restructuring charges | 3,185 | — | 199 | 22 | 3,406 | |
Cash payments | -3,716 | — | — | -131 | -3,847 | |
Non-cash charges | -23 | — | -199 | -1 | -223 | |
Balance at September 30, 2011 | $2,250 | $— | $— | $120 | $2,370 | |
Restructuring charges | 318 | 352 | 424 | 97 | 1,191 | |
Cash payments | -2,572 | -185 | — | -201 | -2,958 | |
Non-cash charges/(credits) | 4 | 164 | -424 | -14 | -270 | |
Balance at September 28, 2012 | $— | $331 | $— | $2 | $333 | |
Restructuring charges | — | — | — | — | — | |
Cash payments | — | -322 | — | -2 | -324 | |
Non-cash charges | — | — | — | — | — | |
Balance at September 27, 2013 | $— | $9 | $— | $— | $9 | |
Accruals for restructuring charges are included within accrued liabilities in the accompanying consolidated balance sheets while restructuring charges are included within restructuring charges in the accompanying consolidated statements of operations. | ||||||
Changes in restructuring accruals under the fiscal 2013 restructuring program were as follows (in thousands): | ||||||
Severance and associated | Facilities and | Total | ||||
costs | contract | |||||
termination costs | ||||||
Restructuring charges | $4,723 | $1,151 | $5,874 | |||
Cash payments | -2,097 | -108 | -2,205 | |||
Non-cash restructuring charges | -1,832 | — | -1,832 | |||
Balance at September 27, 2013 | $794 | $1,043 | $1,837 |
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | |||
Sep. 27, 2013 | ||||
Income Tax Disclosure [Abstract] | ' | |||
Components Of Income Before Provision For Income Taxes | ' | |||
The components of our income before provision for income taxes were as follows (in thousands): | ||||
Fiscal Year Ended | ||||
September 27, | September 28, | September 30, | ||
2013 | 2012 | 2011 | ||
United States | $155,777 | $258,684 | $350,189 | |
Foreign | 94,869 | 110,307 | 90,454 | |
Total | $250,646 | $368,991 | $440,643 | |
Schedule Of Provision For Income Taxes | ' | |||
The provision for income taxes consists of the following (in thousands): | ||||
Fiscal Year Ended | ||||
September 27, | September 28, | September 30, | ||
2013 | 2012 | 2011 | ||
Current: | ||||
Federal | $30,428 | $56,105 | $71,336 | |
State | 691 | 2,922 | 18,069 | |
Foreign | 49,003 | 43,659 | 33,567 | |
Total current | 80,122 | 102,686 | 122,972 | |
Deferred: | ||||
Federal | -11,353 | 904 | 3,638 | |
State | -4,748 | 521 | 9,756 | |
Foreign | -3,677 | -254 | -6,305 | |
Total deferred | -19,778 | 1,171 | 7,089 | |
Provision for income taxes | $60,344 | $103,857 | $130,061 | |
Schedule of Withholding Taxes | ' | |||
The foreign current tax includes this withholding tax expense and the appropriate foreign tax credit benefit is included in the current federal and foreign taxes. Withholding taxes were as follows (in thousands): | ||||
Fiscal Year Ended | ||||
September 27, | September 28, | September 30, | ||
2013 | 2012 | 2011 | ||
Withholding Taxes | $42,567 | $38,531 | $32,200 | |
Summary Of Tax Effects Of The Temporary Differences Between Carrying Amounts And Amounts Used For Tax | ' | |||
A summary of the tax effects of the temporary differences is as follows (in thousands): | ||||
Fiscal Year Ended | ||||
September 27, | September 28, | |||
2013 | 2012 | |||
Deferred income tax assets: | ||||
Investments | $2,115 | $2,096 | ||
Accounts receivable | 128 | 182 | ||
Inventories | 4,255 | 3,678 | ||
Net operating loss | 3,297 | 2,863 | ||
U.S. state taxes | 225 | 177 | ||
Accrued expenses | 11,985 | 10,140 | ||
Stock-based compensation | 29,428 | 25,720 | ||
Revenue recognition | 59,505 | 63,843 | ||
Research and development credits | 4,002 | — | ||
Foreign tax credits | 3,512 | 3,410 | ||
Other | 7,503 | 7,348 | ||
Total gross deferred income tax assets | 125,955 | 119,447 | ||
Less: valuation allowance | — | — | ||
Total deferred income tax assets | 125,955 | 119,447 | ||
Deferred income tax liabilities: | ||||
Translation adjustment | -880 | -904 | ||
Intangibles | -318 | -3,746 | ||
International earnings | -1,782 | -6,373 | ||
Depreciation and amortization | -1,028 | -6,761 | ||
Unrealized gain on investments | -275 | -768 | ||
Deferred income tax assets, net | $121,672 | $100,895 | ||
The above deferred income tax assets, net have been classified in the accompanying consolidated balance sheets as follows: | ||||
Current deferred income tax assets | $78,381 | $80,966 | ||
Long-term deferred income tax assets, net | 43,291 | 19,939 | ||
Deferred income tax assets, net | $121,672 | $100,895 | ||
Reconciliation Of Federal Statutory Tax Rate To Our Effective Tax Rate | ' | |||
A reconciliation of the federal statutory tax rate to our effective tax rate on income from continuing operations is as follows: | ||||
Fiscal Year Ended | ||||
27-Sep-13 | 28-Sep-12 | 30-Sep-11 | ||
Federal statutory rate | 35.00% | 35.00% | 35.00% | |
State income taxes, net of federal effect | 0.6 | 1.1 | 4.7 | |
Stock-based compensation expense rate | 1.3 | 0.5 | 0.3 | |
Research and development tax credits | -3.1 | -1.1 | -1.6 | |
Tax exempt interest | -0.2 | -0.3 | -0.3 | |
U.S. manufacturing tax incentives | -2.3 | -2.1 | -1.9 | |
Foreign rate differential | -4.5 | -5.3 | -4.6 | |
Foreign reversal of deferred tax liabilities | -3 | — | -2.5 | |
Other | 0.3 | 0.3 | 0.4 | |
Effective tax rate | 24.10% | 28.10% | 29.50% | |
Aggregate Changes In Balance Of Gross Unrecognized Tax Benefits, Excluding Interest And Penalties | ' | |||
The aggregate changes in the balance of gross unrecognized tax benefits, excluding interest and penalties, were as follows (in thousands): | ||||
Fiscal Year Ended | ||||
September 27, 2013 | September 28, 2012 | September 30, 2011 | ||
Balance at beginning of year | $16,880 | $8,683 | $16,558 | |
Gross increases - tax positions taken during prior years | 16,865 | 3,156 | 1,006 | |
Gross decreases - tax positions taken during prior years | — | -493 | -8,083 | |
Increases in balances related to tax positions taken during current year | 2,639 | 6,770 | 299 | |
Lapse of statute of limitations | -3,064 | -1,236 | -1,097 | |
Settlements | -852 | — | — | |
Balance at end of year | $32,468 | $16,880 | $8,683 | |
Schedule of Accrued Interest and Penalties on Unrecognized Tax Benefits | ' | |||
Our accrued interest and penalties on unrecognized tax benefits as of September 27, 2013 and September 28, 2012 were as follows (in thousands): | ||||
September 27, | September 28, | |||
2013 | 2012 | |||
Accrued interest | $1,680 | $2,046 | ||
Accrued penalties | 1,536 | 1,937 | ||
Total | $3,216 | $3,983 |
Commitments_And_Contingencies_
Commitments And Contingencies (Tables) | 12 Months Ended |
Sep. 27, 2013 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Schedule Of Contractual Obligations And Commitments | ' |
The following table presents a summary of our contractual obligations and commitments as of September 27, 2013 (in thousands): |
Geographic_Data_Tables
Geographic Data (Tables) | 12 Months Ended | |||
Sep. 27, 2013 | ||||
Segments, Geographical Areas [Abstract] | ' | |||
Revenue By Geographic Region | ' | |||
Revenue by geographic region, which was determined based on the location of our licensees for licensing revenue, the location of our direct customers or distributors for products revenue, and the location where we perform our services for services revenue, was as follows (in thousands): | ||||
Fiscal Year Ended | ||||
September 27, | September 28, | September 30, | ||
2013 | 2012 | 2011 | ||
United States | $255,956 | $299,992 | $302,218 | |
International | 653,718 | 633,022 | 658,847 | |
Total revenue | $909,674 | $933,014 | $961,065 | |
Schedule Of Concentration Of Revenue From Individual Geographic Regions | ' | |||
The concentration of our revenue from individual geographic regions was as follows: | ||||
Fiscal Year Ended | ||||
September 27, | September 28, | September 30, | ||
2013 | 2012 | 2011 | ||
United States | 28% | 32% | 32% | |
Japan | 18% | 18% | 20% | |
Europe | 13% | 15% | 15% | |
Taiwan | 5% | 7% | 8% | |
South Korea | 20% | 17% | 13% | |
China | 9% | 6% | 6% | |
Other | 7% | 5% | 6% | |
Total | 100% | 100% | 100% | |
Schedule Of Long-Lived Tangible Assets, Net Of Accumulated Depreciation, By Geographic Region | ' | |||
Long-lived tangible assets, net of accumulated depreciation, by geographic region were as follows (in thousands): | ||||
September 27, | September 28, | |||
2013 | 2012 | |||
United States | $188,580 | $211,647 | ||
International | 54,337 | 43,029 | ||
Total long-lived tangible assets, net of accumulated depreciation | $242,917 | $254,676 |
Per_Share_Data_Tables
Per Share Data (Tables) | 12 Months Ended | |||
Sep. 27, 2013 | ||||
Earnings Per Share [Abstract] | ' | |||
Schedule of Earnings Per Share, Basic and Diluted | ' | |||
We compute basic earnings per share ("EPS") by dividing net income attributable to Dolby Laboratories, Inc. by the weighted-average number of shares of Class A and Class B common stock outstanding during the period. For diluted EPS, we divide net income attributable to Dolby Laboratories, Inc. by the sum of the weighted-average number of shares of Class A and Class B common stock outstanding and the potential number of dilutive shares of Class A and Class B common stock outstanding during the period. | ||||
Note that basic and diluted EPS are computed independently for each fiscal quarter and year-to-date periods presented, which involves the use of different weighted-average share count figures relating to quarterly and annual periods. As a result, and after factoring the effect of rounding to the nearest cent per share, the sum of all four quarter-to-date EPS figures may not necessarily equal the full-year EPS. | ||||
The following table sets forth the computation of basic and diluted EPS attributable to Dolby Laboratories, Inc.: | ||||
Fiscal Year Ended | ||||
September 27, 2013 | September 28, 2012 | September 30, 2011 | ||
(in thousands, except per share amounts) | ||||
Numerator: | ||||
Net income attributable to Dolby Laboratories, Inc. | $189,271 | $264,302 | $309,267 | |
Denominator: | ||||
Weighted-average shares outstanding—basic | 101,879 | 106,926 | 111,444 | |
Potential common shares from options to purchase Class A and Class B common stock | 287 | 493 | 941 | |
Potential common shares from restricted stock units | 622 | 122 | 169 | |
Weighted-average shares outstanding—diluted | 102,788 | 107,541 | 112,554 | |
Net income per share attributable to Dolby Laboratories, Inc.—basic | $1.86 | $2.47 | $2.78 | |
Net income per share attributable to Dolby Laboratories, Inc.—diluted | $1.84 | $2.46 | $2.75 | |
Antidilutive options excluded from calculation | 5,348 | 6,496 | 3,289 | |
Antidilutive restricted stock units excluded from calculation | 1,817 | 2,550 | 535 |
Selected_Quarterly_Financial_D1
Selected Quarterly Financial Data (unaudited) (Tables) | 12 Months Ended | |||||||||
Sep. 27, 2013 | ||||||||||
Quarterly Financial Data [Abstract] | ' | |||||||||
Schedule Of Selected Quarterly Financial Data | ' | |||||||||
Selected Quarterly Financial Data (Unaudited) | ||||||||||
Fiscal Year 2013 | Fiscal Year 2012 | |||||||||
Q4 | Q3 | Q2 | Q1 | Q4 | Q3 | Q2 | Q1 | |||
(in thousands, except per share amounts) | ||||||||||
Revenue: | ||||||||||
Licensing | $191,043 | $184,707 | $226,455 | $204,876 | $192,154 | $180,886 | $227,849 | $200,424 | ||
Products | 19,998 | 17,381 | 17,726 | 25,498 | 27,628 | 22,132 | 27,228 | 26,400 | ||
Services | 5,611 | 4,986 | 5,165 | 6,228 | 5,973 | 7,304 | 7,682 | 7,354 | ||
Total revenue | 216,652 | 207,074 | 249,346 | 236,602 | 225,755 | 210,322 | 262,759 | 234,178 | ||
Cost of revenue | 23,491 | 24,340 | 23,283 | 25,605 | 26,994 | 21,031 | 23,592 | 20,410 | ||
Gross margin | 193,161 | 182,734 | 226,063 | 210,997 | 198,761 | 189,291 | 239,167 | 213,768 | ||
Income before taxes and controlling interest | 58,868 | 37,847 | 84,872 | 69,059 | 72,951 | 70,321 | 122,515 | 103,204 | ||
Net income attributable to Dolby Laboratories | $45,795 | $30,216 | $61,911 | $51,349 | $51,494 | $51,529 | $88,120 | $73,159 | ||
Earnings per share: | ||||||||||
Basic | $0.45 | $0.30 | $0.61 | $0.50 | $0.49 | $0.48 | $0.81 | $0.67 | ||
Diluted | $0.44 | $0.29 | $0.60 | $0.50 | $0.49 | $0.48 | $0.81 | $0.67 | ||
Weighted-average shares outstanding: | ||||||||||
Basic | 101,768 | 101,751 | 101,638 | 102,361 | 104,079 | 106,328 | 108,415 | 108,884 | ||
Diluted | 102,976 | 103,031 | 102,680 | 103,523 | 104,915 | 107,202 | 109,170 | 109,443 |
Related_Party_Transactions_Tab
Related Party Transactions (Tables) | 12 Months Ended | |||
Sep. 27, 2013 | ||||
Related Party Transactions [Abstract] | ' | |||
Schedule Of Ownership Interest In The Consolidated Affiliated Entities | ' | |||
Our ownership interest in the consolidated affiliated entities as of September 27, 2013 is as follows: | ||||
Company Name | Ownership interest | |||
Dolby Properties, LLC | 37.50% | |||
Dolby Properties Brisbane, LLC | 49.00% | |||
Dolby Properties Burbank, LLC | 49.00% | |||
Dolby Properties United Kingdom, LLC | 49.00% | |||
Dolby Properties, LP | 10.00% | |||
We lease our primary San Francisco, California corporate offices from our principal stockholder. The current lease expires on April 30, 2014, but we have the option to renew the lease for two additional five-year terms. Related party rent expense included in operating expenses in our consolidated statements of operations was as follows (in thousands): | ||||
Fiscal Year Ended | ||||
September 27, | September 28, | September 30, | ||
2013 | 2012 | 2011 | ||
Related party rent expense included in operating expenses | $2,526 | $1,372 | $1,372 | |
Distributions made by these entities to our principal stockholder were as follows (in millions): | ||||
Fiscal Year Ended | ||||
September 27, | September 28, | September 30, | ||
2013 | 2012 | 2011 | ||
Distributions to principal stockholder | $5.00 | $0.10 | $0.30 |
Basis_Of_Presentation_Details
Basis Of Presentation (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 |
week | week | week | |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Number of weeks in fiscal year | 52 | 52 | 0 |
Prior period reclassification adjustment | ' | $6.80 | $5.60 |
Minimum [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Number of weeks in fiscal year | ' | ' | 52 |
Maximum [Member] | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' |
Number of weeks in fiscal year | ' | 53 | ' |
Summary_Of_Significant_Account3
Summary Of Significant Accounting Policies (Narrative) (Details) (USD $) | 12 Months Ended | 12 Months Ended | ||||||||
Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 | Jun. 28, 2013 | Sep. 27, 2013 | Sep. 27, 2013 | Sep. 27, 2013 | Sep. 27, 2013 | Sep. 27, 2013 | Sep. 28, 2012 | |
Dolby Entertainment Technology [Member] | Minimum [Member] | Minimum [Member] | Maximum [Member] | Maximum [Member] | Foreign Exchange Forward [Member] | Foreign Exchange Forward [Member] | ||||
Internal Use Software [Member] | Internal Use Software [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum credit exposure (percent) | 5.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percent of revenue from significant customer (percent) | ' | 14.00% | ' | ' | ' | ' | ' | ' | ' | ' |
Intangible assets with definite lives, useful life, minimum years | ' | ' | ' | ' | '3 years | '3 years | '17 years | '5 years | ' | ' |
Goodwill | $279,724,000 | $281,375,000 | $263,260,000 | $278,700,000 | ' | ' | ' | ' | ' | ' |
Corrective royalties, percentage of license revenue (percent) | ' | ' | ' | ' | ' | ' | 1.00% | ' | ' | ' |
Advertising expense | 32,800,000 | 20,000,000 | 13,600,000 | ' | ' | ' | ' | ' | ' | ' |
Transaction and re-measurement gains/losses | 100,000 | 200,000 | 300,000 | ' | ' | ' | ' | ' | ' | ' |
Notional amount of derivative | ' | ' | ' | ' | ' | ' | ' | ' | $11,600,000 | $5,000,000 |
Summary_Of_Significant_Account4
Summary Of Significant Accounting Policies (Schedule Of Property, Plant, And Equipment, Estimated Useful Life) (Details) | 12 Months Ended |
Sep. 27, 2013 | |
Minimum [Member] | Systems And Software [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, plant, and equipment, useful life, minimum, years | '3 years |
Minimum [Member] | Machinery And Equipment [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, plant, and equipment, useful life, minimum, years | '3 years |
Minimum [Member] | Furniture And Fixtures [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, plant, and equipment, useful life, minimum, years | '5 years |
Maximum [Member] | Systems And Software [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, plant, and equipment, useful life, minimum, years | '5 years |
Maximum [Member] | Machinery And Equipment [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, plant, and equipment, useful life, minimum, years | '8 years |
Maximum [Member] | Furniture And Fixtures [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, plant, and equipment, useful life, minimum, years | '8 years |
Maximum [Member] | Buildings [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, plant, and equipment, useful life, minimum, years | '40 years |
Composition_Of_Certain_Financi2
Composition Of Certain Financial Statement Captions (Narrative) (Details) (USD $) | 12 Months Ended | ||
Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 | |
sqft | |||
Composition Of Certain Financial Statement Captions [Line Items] | ' | ' | ' |
Raw materials | $2,050,000 | $4,403,000 | ' |
Assets held for sale | ' | 2,700,000 | ' |
Depreciation | 37,400,000 | 30,600,000 | 24,100,000 |
Square Footage of real estate property (sqft) | ' | 354,000 | ' |
Purchase price of property | ' | 109,800,000 | ' |
Amortization expense for intangible assets | 15,800,000 | 13,200,000 | 19,800,000 |
Percent of revenue from significant customer (percent) | ' | 14.00% | ' |
Land [Member] | ' | ' | ' |
Composition Of Certain Financial Statement Captions [Line Items] | ' | ' | ' |
Purchase price of property | ' | 35,500,000 | ' |
Buildings [Member] | ' | ' | ' |
Composition Of Certain Financial Statement Captions [Line Items] | ' | ' | ' |
Purchase price of property | ' | 74,300,000 | ' |
Other Noncurrent Assets [Member] | ' | ' | ' |
Composition Of Certain Financial Statement Captions [Line Items] | ' | ' | ' |
Raw materials | $4,000,000 | $6,500,000 | ' |
Sales Revenue, Goods, Net [Member] | Customer Concentration Risk [Member] | ' | ' | ' |
Composition Of Certain Financial Statement Captions [Line Items] | ' | ' | ' |
Percent of revenue from significant customer (percent) | 12.00% | 14.00% | 13.00% |
Composition_Of_Certain_Financi3
Composition Of Certain Financial Statement Captions (Schedule Of Cash, Cash Equivalents, And Investments) (Details) (USD $) | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 | Sep. 24, 2010 | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 27, 2013 | Sep. 27, 2013 | ||||||||||
In Thousands, unless otherwise specified | Agency Securities [Member] | Agency Securities [Member] | Commercial Paper [Member] | Commercial Paper [Member] | Corporate Bonds [Member] | Corporate Bonds [Member] | Municipal Bonds [Member] | Municipal Bonds [Member] | Other Long-term Investments [Member] | Other Long-term Investments [Member] | Money Market Funds [Member] | Money Market Funds [Member] | Agency Securities [Member] | Agency Securities [Member] | Commercial Paper [Member] | Commercial Paper [Member] | Municipal Bonds [Member] | Municipal Bonds [Member] | Minimum [Member] | Maximum [Member] | ||||||||||||||
Composition Of Certain Financial Statement Captions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Cash | $420,069 | $468,622 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Cash equivalents | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 16,193 | 17,090 | 13,135 | 0 | 5,000 | 4,885 | 0 | 2,003 | ' | ' | ||||||||||
Cash and cash equivalents | 454,397 | 492,600 | 551,512 | 545,861 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Short-term investments | 140,267 | 302,693 | ' | ' | 6,007 | 3,999 | 5,991 | 19,414 | 43,847 | 107,243 | 84,422 | 172,037 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Long-term investments | 306,338 | [1] | 361,614 | [1] | ' | ' | 40,924 | [1] | 21,013 | [1] | ' | ' | 90,391 | [1] | 112,993 | [1] | 172,023 | [1] | 227,608 | [1] | 3,000 | [1],[2] | 0 | [1],[2] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total cash, cash equivalents and investments | $901,002 | $1,156,907 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Long-Term Investments, Maturities | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '1 year | '3 years | ||||||||||
[1] | Our long-term investments have maturities that range from one to three years. | |||||||||||||||||||||||||||||||||
[2] | Other long-term investments include a $3.0 million investment, which is accounted for under the cost method of accounting. After conducting an impairment assessment, we concluded that no indicators of other-than-temporary impairment exist as of SeptemberB 27, 2013. |
Composition_Of_Certain_Financi4
Composition Of Certain Financial Statement Captions (Schedule Of Investment Portfolio Recorded As Cash Equivalents, Short-Term Investments, And Long-Term Investments) (Details) (USD $) | Sep. 27, 2013 | Sep. 28, 2012 | |
In Thousands, unless otherwise specified | |||
Investment Holdings [Line Items] | ' | ' | |
Cost | $477,625 | [1] | $686,609 |
Unrealized Gain | 715 | [1] | 1,736 |
Unrealized Loss | -407 | [1] | -60 |
Estimated Fair Value | 477,933 | [1] | 688,285 |
U.S. Agency Securities [Member] | ' | ' | |
Investment Holdings [Line Items] | ' | ' | |
Cost | 60,126 | 24,997 | |
Unrealized Gain | 16 | 18 | |
Unrealized Loss | -76 | -3 | |
Estimated Fair Value | 60,066 | 25,012 | |
Commercial Paper [Member] | ' | ' | |
Investment Holdings [Line Items] | ' | ' | |
Cost | 10,991 | 24,299 | |
Unrealized Gain | 0 | 0 | |
Unrealized Loss | 0 | 0 | |
Estimated Fair Value | 10,991 | 24,299 | |
Corporate Bonds [Member] | ' | ' | |
Investment Holdings [Line Items] | ' | ' | |
Cost | 134,097 | 219,265 | |
Unrealized Gain | 315 | 990 | |
Unrealized Loss | -174 | -19 | |
Estimated Fair Value | 134,238 | 220,236 | |
Municipal Bonds [Member] | ' | ' | |
Investment Holdings [Line Items] | ' | ' | |
Cost | 256,218 | 400,958 | |
Unrealized Gain | 384 | 728 | |
Unrealized Loss | -157 | -38 | |
Estimated Fair Value | 256,445 | 401,648 | |
Money Market Funds [Member] | ' | ' | |
Investment Holdings [Line Items] | ' | ' | |
Cost | 16,193 | 17,090 | |
Unrealized Gain | 0 | 0 | |
Unrealized Loss | 0 | 0 | |
Estimated Fair Value | $16,193 | $17,090 | |
[1] | Our investment portfolio of cash equivalents and investments excludes our $3.0 million cost method investment. |
Composition_Of_Certain_Financi5
Composition Of Certain Financial Statement Captions (Schedule Of Gross Unrealized Losses And The Fair Value For Available-For-Sale Securities) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Sep. 27, 2013 | Sep. 28, 2012 |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than 12 months | $147,242 | $119,981 |
Gross Unrealized Losses, Less than 12 months | -407 | -59 |
Fair Value, 12 months or greater | 0 | 5,565 |
Gross Unrealized Losses, 12 months or greater | 0 | -1 |
Fair Value | 147,242 | 125,546 |
Gross Unrealized Losses | -407 | -60 |
Agency Securities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than 12 months | 21,407 | ' |
Gross Unrealized Losses, Less than 12 months | -76 | ' |
Fair Value | 21,407 | ' |
Gross Unrealized Losses | -76 | ' |
Corporate Bonds [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than 12 months | 53,350 | ' |
Gross Unrealized Losses, Less than 12 months | -174 | ' |
Gross Unrealized Losses, 12 months or greater | 0 | ' |
Fair Value | 53,350 | ' |
Gross Unrealized Losses | -174 | ' |
Municipal Bonds [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than 12 months | 72,485 | ' |
Gross Unrealized Losses, Less than 12 months | -157 | ' |
Fair Value, 12 months or greater | 0 | ' |
Gross Unrealized Losses, 12 months or greater | 0 | ' |
Fair Value | 72,485 | ' |
Gross Unrealized Losses | -157 | ' |
Municipal Bonds [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than 12 months | ' | 87,705 |
Gross Unrealized Losses, Less than 12 months | ' | -37 |
Fair Value, 12 months or greater | ' | 5,565 |
Gross Unrealized Losses, 12 months or greater | ' | -1 |
Fair Value | ' | 93,270 |
Gross Unrealized Losses | ' | -38 |
Corporate Debt Securities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than 12 months | ' | 25,277 |
Gross Unrealized Losses, Less than 12 months | ' | -19 |
Fair Value | ' | 25,277 |
Gross Unrealized Losses | ' | -19 |
Agency Securities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than 12 months | ' | 6,999 |
Gross Unrealized Losses, Less than 12 months | ' | -3 |
Fair Value | ' | 6,999 |
Gross Unrealized Losses | ' | ($3) |
Composition_Of_Certain_Financi6
Composition Of Certain Financial Statement Captions (Schedule Of Amortized Cost And Estimated Fair Value Of Short-Term And Long-Term Available-For-Sale Investments Based On Stated Maturities) (Details) (USD $) | Sep. 27, 2013 | Sep. 28, 2012 |
In Thousands, unless otherwise specified | ||
Composition Of Certain Financial Statement Captions [Abstract] | ' | ' |
Amortized Cost, due within 1 year | $158,275 | $302,154 |
Amortized Cost, due in 1 to 2 years | 172,993 | 209,302 |
Amortized Cost, due in 2 to 3 years | 130,164 | 151,174 |
Amortized Cost, total | 461,432 | 662,630 |
Fair Value, due within 1 year | 158,402 | 302,693 |
Fair Value, due in 1 to 2 years | 173,373 | 209,871 |
Fair Value, due in 2 to 3 years | 129,965 | 151,743 |
Fair Value, total | $461,740 | $664,307 |
Composition_Of_Certain_Financi7
Composition Of Certain Financial Statement Captions (Schedule Of Accounts Receivable) (Details) (USD $) | Sep. 27, 2013 | Sep. 28, 2012 |
In Thousands, unless otherwise specified | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Accounts receivable, gross | $97,974 | $44,451 |
Less: allowance for doubtful accounts | -514 | -956 |
Accounts receivable, net | 97,460 | 43,495 |
Trade Accounts Receivable [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Trade accounts receivable | 86,823 | 43,565 |
Patent Administration Program [Member] | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' |
Accounts receivable related to patent administration program | $11,151 | $886 |
Composition_Of_Certain_Financi8
Composition Of Certain Financial Statement Captions (Schedule Of Allowance For Doubtful Accounts) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 |
Movement in Valuation Allowances and Reserves [Roll Forward] | ' | ' | ' |
Balance at Beginning of Fiscal Year | $956 | $2,466 | $2,040 |
Charged to Operations | -174 | -379 | 772 |
Deductions | -268 | -1,131 | -346 |
Balance at End of Fiscal Year | $514 | $956 | $2,466 |
Composition_Of_Certain_Financi9
Composition Of Certain Financial Statement Captions (Schedule Of Inventories) (Details) (USD $) | Sep. 27, 2013 | Sep. 28, 2012 |
In Thousands, unless otherwise specified | ||
Composition Of Certain Financial Statement Captions [Abstract] | ' | ' |
Raw materials | $2,050 | $4,403 |
Finished goods | 8,043 | 12,297 |
Inventories | $10,093 | $16,700 |
Recovered_Sheet1
Composition Of Certain Financial Statement Captions (Schedule Of Prepaid Expenses And Other Current Assets) (Details) (USD $) | Sep. 27, 2013 | Sep. 28, 2012 |
In Thousands, unless otherwise specified | ||
Composition Of Certain Financial Statement Captions [Abstract] | ' | ' |
Prepaid assets | $10,195 | $14,955 |
Other current assets | 14,038 | 13,165 |
Income tax receivable | 7,891 | 5,712 |
Prepaid expenses and other current assets | $32,124 | $33,832 |
Recovered_Sheet2
Composition Of Certain Financial Statement Captions (Schedule Of Property, Plant And Equipment) (Details) (USD $) | Sep. 27, 2013 | Sep. 28, 2012 |
In Thousands, unless otherwise specified | ||
Composition Of Certain Financial Statement Captions [Abstract] | ' | ' |
Land | $46,049 | $48,227 |
Buildings | 32,305 | 27,266 |
Leasehold improvements | 64,991 | 68,352 |
Machinery and equipment | 38,408 | 29,070 |
Computer systems and software | 91,939 | 86,266 |
Furniture and fixtures | 13,490 | 13,158 |
Construction in progress | 88,872 | 79,965 |
Property, plant and equipment, gross | 376,054 | 352,304 |
Less: accumulated depreciation | -133,137 | -97,628 |
Total long-lived tangible assets, net of accumulated depreciation | $242,917 | $254,676 |
Recovered_Sheet3
Composition Of Certain Financial Statement Captions (Schedule Of Goodwill) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Sep. 27, 2013 | Sep. 28, 2012 |
Goodwill [Roll Forward] | ' | ' |
Beginning balance | $281,375 | $263,260 |
Acquired goodwill | ' | 15,988 |
Translation adjustments and other | -1,651 | 2,127 |
Ending balance | $279,724 | $281,375 |
Recovered_Sheet4
Composition Of Certain Financial Statement Captions (Schedule Of Intangible Assets) (Details) (USD $) | Sep. 27, 2013 | Sep. 28, 2012 |
In Thousands, unless otherwise specified | ||
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Cost | $131,640 | $130,817 |
Accumulated Amortization | -90,325 | -74,291 |
Total | 41,315 | 56,526 |
Acquired Patents And Technology [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Cost | 79,925 | 79,213 |
Accumulated Amortization | -51,267 | -40,071 |
Total | 28,658 | 39,142 |
Customer Relationships [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Cost | 30,723 | 30,679 |
Accumulated Amortization | -19,592 | -16,386 |
Total | 11,131 | 14,293 |
Other Intangibles [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Cost | 20,992 | 20,925 |
Accumulated Amortization | -19,466 | -17,834 |
Total | $1,526 | $3,091 |
Recovered_Sheet5
Composition Of Certain Financial Statement Captions (Schedule Of Future Amortization Expense) (Details) (USD $) | Sep. 27, 2013 | Sep. 28, 2012 |
In Thousands, unless otherwise specified | ||
Composition Of Certain Financial Statement Captions [Abstract] | ' | ' |
2014 | $13,735 | ' |
2015 | 11,275 | ' |
2016 | 9,095 | ' |
2017 | 5,958 | ' |
2018 | 758 | ' |
Thereafter | 494 | ' |
Total | $41,315 | $56,526 |
Recovered_Sheet6
Composition Of Certain Financial Statement Captions (Schedule Of Accrued Liabilities) (Details) (USD $) | Sep. 27, 2013 | Sep. 28, 2012 |
In Thousands, unless otherwise specified | ||
Composition Of Certain Financial Statement Captions [Abstract] | ' | ' |
Accrued royalties | $6,075 | $2,391 |
Amounts payable to joint licensing program partners | 40,091 | 35,492 |
Accrued compensation and benefits | 54,423 | 47,331 |
Accrued professional fees | 4,402 | 4,893 |
Other accrued liabilities | 32,804 | 25,985 |
Accrued liabilities | $137,795 | $116,092 |
Recovered_Sheet7
Composition Of Certain Financial Statement Captions (Schedule Of Other Non-Current Liabilities) (Details) (USD $) | Sep. 27, 2013 | Sep. 28, 2012 |
In Thousands, unless otherwise specified | ||
Composition Of Certain Financial Statement Captions [Abstract] | ' | ' |
Supplemental retirement plan obligations | $2,144 | $2,042 |
Non-current tax liabilities | 30,986 | 20,862 |
Other liabilities | 12,311 | 16,933 |
Other non-current liabilities | $45,441 | $39,837 |
Recovered_Sheet8
Composition of Certain Financial Statement Captions (Derivatives) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Sep. 27, 2013 | Sep. 28, 2012 |
Composition Of Certail Financial Statement Captions [Abstract] | ' | ' |
Foreign currency translation adjustment, net of tax | $7,611 | $9,608 |
Unrealized gains on available-for-sale securities, net of tax | 203 | 1,079 |
Total accumulated other comprehensive income | 7,814 | 10,687 |
Foreign currency translation tax | 2,126 | 2,623 |
Unrealized gain on available for sale security tax | $104 | $597 |
Acquisitions_Details
Acquisitions (Details) (IMM Sound, S.A. [Member], USD $) | 12 Months Ended |
Sep. 28, 2012 | |
Business Acquisition [Line Items] | ' |
Gross purchase price | $26,500,000 |
Cash consideration | 18,363,000 |
Net tangible liabilities assumed | 600,000 |
Net liabilities assumed | 7,500,000 |
Cash acquired | 400,000 |
Cash payment | 18,000,000 |
Indemnification assets amount | 6,000,000 |
Deferred tax liability for acquired intangible assets | 3,200,000 |
Acquisition-related transaction costs | $400,000 |
Developed Technology Rights [Member] | ' |
Business Acquisition [Line Items] | ' |
Estimated useful life | '5 years |
Trade Names [Member] | ' |
Business Acquisition [Line Items] | ' |
Estimated useful life | '1 year |
Acquisitions_Purchase_Price_Al
Acquisitions (Purchase Price Allocation) (Details) (USD $) | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 |
In Thousands, unless otherwise specified | |||
Business Acquisition [Line Items] | ' | ' | ' |
Goodwill | $279,724 | $281,375 | $263,260 |
IMM Sound, S.A. [Member] | ' | ' | ' |
Business Acquisition [Line Items] | ' | ' | ' |
Current assets | ' | 1,289 | ' |
Property, plant and equipment, net | ' | 264 | ' |
Developed technology | ' | 12,649 | ' |
Trade name | ' | 590 | ' |
Goodwill | ' | 15,988 | ' |
Current liabilities | ' | -9,674 | ' |
Deferred taxes, net | ' | -2,721 | ' |
Non-current liabilities | ' | -22 | ' |
Total purchase price | ' | $18,363 | ' |
Fair_Value_Measurements_Schedu
Fair Value Measurements (Schedule Of Financial Assets Carried At Fair Value) (Details) (USD $) | Sep. 27, 2013 | Sep. 28, 2012 | ||
In Thousands, unless otherwise specified | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | $480,175 | $690,425 | ||
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 2,242 | [1] | 2,140 | |
Level 1 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 78,501 | 44,242 | ||
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 2,242 | [1] | 2,140 | |
Level 2 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 401,674 | 646,183 | ||
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 0 | [1] | 0 | |
Level 3 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 0 | 0 | ||
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 0 | [1] | 0 | |
Money Market Funds [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 16,193 | [2] | 17,090 | [2] |
Money Market Funds [Member] | Level 1 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 16,193 | [2] | 17,090 | [2] |
Money Market Funds [Member] | Level 2 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 0 | [2] | 0 | [2] |
Money Market Funds [Member] | Level 3 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 0 | [2] | 0 | [2] |
Investments Held In Supplemental Retirement Plan [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 2,242 | [3] | 2,140 | [3] |
Financial and Nonfinancial Liabilities, Fair Value Disclosure | ' | 2,140 | [1] | |
Investments Held In Supplemental Retirement Plan [Member] | Level 1 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 2,242 | [3] | 2,140 | [3] |
Financial and Nonfinancial Liabilities, Fair Value Disclosure | ' | 2,140 | [1] | |
Investments Held In Supplemental Retirement Plan [Member] | Level 2 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 0 | [3] | 0 | [3] |
Financial and Nonfinancial Liabilities, Fair Value Disclosure | ' | 0 | [1] | |
Investments Held In Supplemental Retirement Plan [Member] | Level 3 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 0 | [3] | 0 | [3] |
Financial and Nonfinancial Liabilities, Fair Value Disclosure | ' | 0 | [1] | |
U.S. Agency Securities [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 60,066 | [2],[4],[5] | 25,012 | [4],[5] |
U.S. Agency Securities [Member] | Level 1 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 60,066 | [2],[4],[5] | 25,012 | [4],[5] |
U.S. Agency Securities [Member] | Level 2 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 0 | [2],[4],[5] | 0 | [4],[5] |
U.S. Agency Securities [Member] | Level 3 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 0 | [2],[4],[5] | 0 | [4],[5] |
Commercial Paper [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 10,991 | [2],[5] | 24,299 | [2],[5] |
Commercial Paper [Member] | Level 1 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 0 | [2],[5] | 0 | [2],[5] |
Commercial Paper [Member] | Level 2 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 10,991 | [2],[5] | 24,299 | [2],[5] |
Commercial Paper [Member] | Level 3 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 0 | [2],[5] | 0 | [2],[5] |
Corporate Bonds [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 134,238 | [4],[5] | 220,236 | [2],[5] |
Corporate Bonds [Member] | Level 1 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 0 | [4],[5] | 0 | [2],[5] |
Corporate Bonds [Member] | Level 2 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 134,238 | [4],[5] | 220,236 | [2],[5] |
Corporate Bonds [Member] | Level 3 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 0 | [4],[5] | 0 | [2],[5] |
Municipal Debt Securities [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 256,445 | [4],[5] | 401,648 | [2],[4],[5] |
Municipal Debt Securities [Member] | Level 1 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 0 | [4],[5] | 0 | [2],[4],[5] |
Municipal Debt Securities [Member] | Level 2 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | 256,445 | [4],[5] | 401,648 | [2],[4],[5] |
Municipal Debt Securities [Member] | Level 3 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Financial assets carried at fair value | $0 | [4],[5] | $0 | [2],[4],[5] |
[1] | These liabilities are included within accrued liabilities and within other non-current liabilities. | |||
[2] | These assets are included within cash and cash equivalents. | |||
[3] | These assets are included within prepaid expenses and other current assets and within other non-current assets. | |||
[4] | These assets are included within long-term investments. | |||
[5] | These assets are included within short-term investments. |
Fair_Value_Measurements_Schedu1
Fair Value Measurements (Schedule Of Financial Liabilities Carried At Fair Value) (Details) (USD $) | Sep. 27, 2013 | Sep. 28, 2012 | ||
In Thousands, unless otherwise specified | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | $480,175 | $690,425 | ||
Financial liabilities carried at fair value | 2,242 | [1] | 2,140 | |
Level 1 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 78,501 | 44,242 | ||
Financial liabilities carried at fair value | 2,242 | [1] | 2,140 | |
Level 2 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 401,674 | 646,183 | ||
Financial liabilities carried at fair value | 0 | [1] | 0 | |
Level 3 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 0 | 0 | ||
Financial liabilities carried at fair value | 0 | [1] | 0 | |
Investments Held In Supplemental Retirement Plan [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 2,242 | [2] | 2,140 | [2] |
Financial liabilities carried at fair value | ' | 2,140 | [1] | |
Investments Held In Supplemental Retirement Plan [Member] | Level 1 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 2,242 | [2] | 2,140 | [2] |
Financial liabilities carried at fair value | ' | 2,140 | [1] | |
Investments Held In Supplemental Retirement Plan [Member] | Level 2 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 0 | [2] | 0 | [2] |
Financial liabilities carried at fair value | ' | 0 | [1] | |
Investments Held In Supplemental Retirement Plan [Member] | Level 3 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 0 | [2] | 0 | [2] |
Financial liabilities carried at fair value | ' | 0 | [1] | |
U.S. Agency Securities [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 60,066 | [3],[4],[5] | 25,012 | [3],[4] |
U.S. Agency Securities [Member] | Level 1 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 60,066 | [3],[4],[5] | 25,012 | [3],[4] |
U.S. Agency Securities [Member] | Level 2 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 0 | [3],[4],[5] | 0 | [3],[4] |
U.S. Agency Securities [Member] | Level 3 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 0 | [3],[4],[5] | 0 | [3],[4] |
Commercial Paper [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 10,991 | [4],[5] | 24,299 | [4],[5] |
Commercial Paper [Member] | Level 1 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 0 | [4],[5] | 0 | [4],[5] |
Commercial Paper [Member] | Level 2 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 10,991 | [4],[5] | 24,299 | [4],[5] |
Commercial Paper [Member] | Level 3 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 0 | [4],[5] | 0 | [4],[5] |
Corporate Debt Securities [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 134,238 | [3],[4] | 220,236 | [4],[5] |
Corporate Debt Securities [Member] | Level 1 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 0 | [3],[4] | 0 | [4],[5] |
Corporate Debt Securities [Member] | Level 2 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 134,238 | [3],[4] | 220,236 | [4],[5] |
Corporate Debt Securities [Member] | Level 3 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 0 | [3],[4] | 0 | [4],[5] |
Municipal Notes And Bonds [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 256,445 | [3],[4] | 401,648 | [3],[4],[5] |
Municipal Notes And Bonds [Member] | Level 1 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 0 | [3],[4] | 0 | [3],[4],[5] |
Municipal Notes And Bonds [Member] | Level 2 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 256,445 | [3],[4] | 401,648 | [3],[4],[5] |
Municipal Notes And Bonds [Member] | Level 3 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 0 | [3],[4] | 0 | [3],[4],[5] |
Money Market Funds [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 16,193 | [5] | 17,090 | [5] |
Money Market Funds [Member] | Level 1 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 16,193 | [5] | 17,090 | [5] |
Money Market Funds [Member] | Level 2 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | 0 | [5] | 0 | [5] |
Money Market Funds [Member] | Level 3 [Member] | ' | ' | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ||
Assets, Fair Value Disclosure | $0 | [5] | $0 | [5] |
[1] | These liabilities are included within accrued liabilities and within other non-current liabilities. | |||
[2] | These assets are included within prepaid expenses and other current assets and within other non-current assets. | |||
[3] | These assets are included within long-term investments. | |||
[4] | These assets are included within short-term investments. | |||
[5] | These assets are included within cash and cash equivalents. |
Stockholders_Equity_And_StockB2
Stockholders' Equity And Stock-Based Compensation (Narrative) (Details) (USD $) | 1 Months Ended | 12 Months Ended | 12 Months Ended | 4 Months Ended | 7 Months Ended | 9 Months Ended | 12 Months Ended | 4 Months Ended | 7 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 0 Months Ended | 12 Months Ended | 7 Months Ended | 12 Months Ended | |||||||||||||||||||||||||||||||||||||||||
Nov. 30, 2009 | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 27, 2013 | Sep. 27, 2013 | Sep. 27, 2013 | Sep. 27, 2013 | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 | Sep. 28, 2012 | 14-May-12 | Jun. 29, 2012 | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 | Sep. 28, 2012 | 14-May-12 | Sep. 27, 2013 | Sep. 27, 2013 | Sep. 27, 2013 | Sep. 28, 2012 | Aug. 10, 2012 | Sep. 27, 2013 | Feb. 29, 2012 | Jul. 31, 2011 | Jul. 31, 2010 | Dec. 21, 2012 | Dec. 11, 2012 | Sep. 27, 2013 | Sep. 27, 2013 | Sep. 27, 2013 | Sep. 27, 2013 | Sep. 27, 2013 | 14-May-12 | Sep. 27, 2013 | Sep. 27, 2013 | Sep. 27, 2013 | |||||||||||||
Class A Common Stock [Member] | Class A Common Stock [Member] | Class B Common Stock [Member] | Class B Common Stock [Member] | 2000 Stock Incentive Plan. [Member] | 2005 Stock Plan. [Member] | Awards Granted Under 2005 Stock Plan Prior To February 2011 [Member] | Awards Granted Under 2005 Stock Plan From February 2011 [Member] | Stock Appreciation Rights (SARs) [Member] | Stock Appreciation Rights (SARs) [Member] | Stock Appreciation Rights (SARs) [Member] | Restricted Stock Units [Member] | Restricted Stock Units [Member] | Restricted Stock Units [Member] | Employee Stock Purchase Plan [Member] | Employee Stock Purchase Plan [Member] | Employee Stock Purchase Plan [Member] | Employee Stock Purchase Plan [Member] | Employee Stock Purchase Plan [Member] | Employee Stock Purchase Plan [Member] | Employee Stock Purchase Plan [Member] | Employee Stock Purchase Plan [Member] | Employee Stock Option [Member] | Employee Stock Option [Member] | Employee Stock Option [Member] | Employee Stock Option [Member] | Option Exchange Program [Member] | Option Exchange Program [Member] | Additional Stock Approved [Member] | Additional Stock Approved [Member] | Additional Stock Approved [Member] | Equity Award Modification [Member] | Equity Award Modification [Member] | Equity Award Modification [Member] | Equity Award Modification Restricted Stock Units [Member] | Minimum [Member] | Minimum [Member] | Minimum [Member] | Maximum [Member] | Maximum [Member] | Maximum [Member] | Maximum [Member] | |||||||||||||||||
Class B Common Stock [Member] | Class A Common Stock [Member] | Class A Common Stock [Member] | Class A Common Stock [Member] | Options Granted Prior To June 2008 [Member] | Options Granted From June 2008 [Member] | Options Granted From June 2008 [Member] | option_holder | Option Exchange Program [Member] | Equity Award Modification [Member] | Equity Award Modification Restricted Stock Units [Member] | Employee Stock Purchase Plan [Member] | Option Exchange Program [Member] | Equity Award Modification [Member] | Equity Award Modification Restricted Stock Units [Member] | ||||||||||||||||||||||||||||||||||||||||||||
Class A Common Stock [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Equity And Stock-Based Compensation [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Stock-based compensation expense | ' | ' | $400,000 | $600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Common stock, shares authorized (shares) | ' | ' | ' | ' | 500,000,000 | 500,000,000 | 500,000,000 | 500,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Common stock, shares issued (shares) | ' | ' | ' | ' | 46,862,893 | 46,496,635 | 54,876,494 | 56,598,829 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Common stock, shares outstanding (shares) | ' | ' | ' | ' | 46,862,893 | 46,496,635 | 54,876,494 | 56,598,829 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 102,051,386 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Shares authorized under plan | ' | ' | ' | ' | ' | ' | ' | ' | 15,100,000 | 21,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Options granted under the plan | ' | 2,398,000 | [1] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Options outstanding to purchase | ' | 6,385,000 | 4,622,000 | ' | ' | ' | ' | ' | 100,000 | 6,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Weighted Average Remaining Contractual Life, Options outstanding | ' | '7 years 4 months 24 days | ' | ' | ' | ' | ' | ' | '0 years 9 months 18 days | '7 years 7 months 6 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Terms for issuance of stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2 | 1.6 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Options vested and exercisable | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Capitalized stock-based compensation expense | ' | ' | -352,000 | -635,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Recognized tax benefit from the exercise of ISO and ESPP | ' | 400,000 | 200,000 | 300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Options vesting period | ' | ' | ' | ' | ' | ' | ' | ' | '4 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '4 years | '36 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | '1 year | '1 year | '1 year | ' | '4 years | '4 years | '4 years | ||||||||||||
Options expiration period | ' | ' | ' | ' | ' | ' | ' | ' | '10 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '10 years | '10 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Percentage of vesting per year | ' | 50.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Expiration period after termination of service, months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '3 months | '3 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Percentage of stock option becoming exercisable subjected to date of grant | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Options maximum vesting period, months | ' | ' | ' | ' | ' | ' | ' | ' | '4 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '4 years | '36 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | '1 year | '1 year | '1 year | ' | '4 years | '4 years | '4 years | ||||||||||||
Share based compensation expense | ' | 64,328,000 | [2] | 47,581,000 | [2] | 43,665,000 | [2] | ' | ' | ' | ' | ' | ' | ' | ' | 0 | [2] | 50,000 | [2] | -304,000 | [2] | 39,644,000 | [2],[3] | 22,952,000 | [2],[3] | 18,339,000 | [2],[3] | ' | ' | ' | 3,350,000 | [2] | 1,029,000 | [2] | 842,000 | [2] | ' | ' | ' | ' | ' | ' | ' | 2,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock options expected to vest | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 69,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 36,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Fair value of restricted stock units vested | ' | 27,013,000 | 14,239,000 | 15,453,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Employee stock options expected to be recognized over a weighted-average period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2 years 6 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2 years 7 months 6 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Year end stock price | ' | $34.39 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Grants in period | ' | 1,270,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 783,443 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Employee stock options expected to be recognized over a weighted-average period | ' | '7 years 4 months 24 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Percentage of compensation withheld by employees to purchase common stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10.00% | 10.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Maximum value of common stock available for eligible employees | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25,000 | 25,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Maximum number of common stock available for eligible employees | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,000 | ' | ' | ' | ||||||||||||
Common stock purchase price determined over percentage of closing price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Accrued liabilities included in employee withholdings. | ' | 137,795,000 | 116,092,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Range of exercise price lower limit | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $45.83 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Number of eligible option holder participants | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 705 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Outstanding stock options exchanged | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,665,986 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Recorded incremental charge related to exchange | ' | 64,328,000 | 47,581,000 | 43,665,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Stock authorized for repurchase | 250,000,000 | 900,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100,000,000 | 250,000,000 | 300,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Remaining authorization to purchase additional shares | ' | 116,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Common stock, dividends declared (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $4 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Dividends, amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 408,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Share-based Compensation Expense, Total Incremental Charge | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7,900,000 | 11,900,000 | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Compensation Expense, Total Incremental Charge | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $4,600,000 | $4,300,000 | ' | ' | ' | ' | ' | ' | ' | ||||||||||||
[1] | Includes the additional shares of our common stock issuable upon the exercise of those options subject to the equity award modification that occurred in the first quarter of fiscal 2013 in connection with the special cash dividend. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[2] | We also recognize a tax benefit from certain exercises of incentive stock options and shares issued under our ESPP which are not included in the table above. This benefit was $0.4 million, $0.2 million and $0.3 million in fiscal 2013, 2012 and 2011, respectively. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[3] | Expense excludes $0.4 million and $0.6 million in fiscal 2012 and 2011 related to stock-based compensation which was capitalized to property, plant and equipment. No compensation cost was capitalized to property, plant and equipment in fiscal 2013. |
Stockholders_Equity_And_StockB3
Stockholders' Equity And Stock-Based Compensation (Schedule Of Fair Value Of Stock-Based Awards Estimated Using Weighted-Average Assumptions) (Details) | 12 Months Ended | ||
Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 | |
Stockholders' Equity And Stock-Based Compensation [Abstract] | ' | ' | ' |
Expected life (in years) | '4 years 4 months 13 days | '4 years 6 months 11 days | '4 years 4 months 24 days |
Risk-free interest rate | 0.50% | 0.70% | 1.50% |
Expected stock price volatility | 40.10% | 43.80% | 41.40% |
Dividend yield | 0.00% | 0.00% | 0.00% |
Stockholders_Equity_And_StockB4
Stockholders' Equity And Stock-Based Compensation (Summary Of Weighted-Average Fair Value Of Stock Options Granted And Total Intrinsic Value Of Stock Options Exercised) (Details) (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 |
Stockholders' Equity And Stock-Based Compensation [Abstract] | ' | ' | ' |
Weighted-average fair value at date of grant | $10.23 | $12.23 | $22.31 |
Intrinsic value of options exercised | $3,781 | $6,188 | $46,649 |
Stockholders_Equity_And_StockB5
Stockholders' Equity And Stock-Based Compensation (Summary Of Stock Options Issued To Officers, Directors, And Employees Under 2000 Stock Incentive Plan And 2005 Stock Plan) (Details) (USD $) | 12 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Sep. 27, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ' | |
Shares, Options outstanding | 4,622 | |
Shares, Grants | 2,398 | [1] |
Shares, Exercises | -412 | |
Shares, Forfeitures | -223 | |
Shares, Options outstanding | 6,385 | |
Shares, Options vested and expected to vest | 6,136 | |
Shares, Options exercisable | 2,769 | |
Weighted Average Exercise Price, Options outstanding | $32.50 | |
Weighted Average Exercise Price, Grants | $30.37 | [1] |
Weighted Average Exercise Price, Exercises | $22.69 | |
Weighted Average Exercise Price, Forfeitures | $39.56 | |
Weighted Average Exercise Price, Options outstanding | $29.82 | |
Weighted Average Exercise Price, Options vested and expected to vest | $29.79 | |
Weighted Average Exercise Price, Options exercisable | $28.76 | |
Weighted Average Remaining Contractual Life, Options outstanding | '7 years 4 months 24 days | |
Weighted Average Remaining Contractual Life, Options vested and expected to vest at September 28, 2012 | '7 years 4 months 24 days | |
Weighted Average Remaining Contractual Life, Options exercisable | '5 years 7 months 6 days | |
Aggregate Intrinsic Value, Options outstanding | $33,985 | [2] |
Aggregate Intrinsic Value, Options vested and expected to vest | 32,882 | [2] |
Aggregate Intrinsic Value, Options exercisable | $18,941 | [2] |
[1] | Includes the additional shares of our common stock issuable upon the exercise of those options subject to the equity award modification that occurred in the first quarter of fiscal 2013 in connection with the special cash dividend. | |
[2] | Aggregate intrinsic value is based on the closing price of our common stock on SeptemberB 27, 2013 of $34.39 and excludes the impact of options that were not in-the-money. |
Stockholders_Equity_And_StockB6
Stockholders' Equity And Stock-Based Compensation (Summary Of Stock Options Outstanding And Exercisable) (Details) (USD $) | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 27, 2013 | Sep. 27, 2013 | Sep. 27, 2013 | Sep. 27, 2013 | Sep. 27, 2013 | Sep. 27, 2013 | Sep. 27, 2013 | Sep. 27, 2013 |
In Thousands, except Per Share data, unless otherwise specified | $0.01 - $2.07 [Member] | $2.08 - $6.28 [Member] | $6.29 - $19.21 [Member] | $19.22 - 28.12 [Member] | $28.13 - $38.20 [Member] | $38.21 - $48.14 [Member] | $48.15 - $51.18 [Member] | $51.19 And Above [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares, Outstanding Options | 6,385 | ' | 74 | 40 | 183 | 464 | 5,213 | 354 | 18 | 39 |
Weighted Average Remaining Contractual Life (in years), Outstanding Options | ' | ' | '0 years 7 months 6 days | '1 year 1 month 6 days | '1 year 9 months 17 days | '4 years 7 months 6 days | '8 years 1 month 6 days | '6 years 8 months 12 days | '4 years 6 months | '7 years 1 month 6 days |
Weighted Average Exercise Price, Outstanding Options | $29.82 | $32.50 | $1.87 | $5.65 | $17.31 | $25.21 | $30.15 | $42.09 | $48.20 | $58.31 |
Shares, Options Exercisable | 2,769 | ' | 74 | 40 | 183 | 396 | 1,781 | 249 | 18 | 28 |
Weighted Average Exercise Price, Options Exercisable | ' | ' | $1.87 | $5.65 | $17.31 | $25.12 | $29.79 | $42.64 | $48.19 | $58.15 |
Stockholders_Equity_And_StockB7
Stockholders' Equity And Stock-Based Compensation (RSU Vest Date Fair Value) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 |
Stockholders' Equity And Stock-Based Compensation [Abstract] | ' | ' | ' |
Restricted stock units - vest date fair value | $27,013 | $14,239 | $15,453 |
Stockholders_Equity_And_StockB8
Stockholders' Equity And Stock-Based Compensation (Summary Of Restricted Stock Units Issued To Officers, Directors, And Employees Under 2005 Stock Incentive Plan) (Details) (USD $) | 12 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Sep. 27, 2013 |
Stockholders' Equity And Stock-Based Compensation [Abstract] | ' |
Shares, Non-vested at beginning of period | 2,572 |
Shares, Granted | 1,270 |
Shares, Vested | -805 |
Shares, Forfeitures | -184 |
Shares, Non-vested at end of period | 2,853 |
Weighted Average Fair Value, Non-vested at beginning of period | $37.98 |
Weighted Average Fair Value, Granted | $31.12 |
Weighted Average Fair Value, Vested | $39.17 |
Weighted Average Fair Value, Forfeitures | $36.89 |
Weighted Average Fair Value, Non-vested at end of period | $34.66 |
Stockholders_Equity_And_StockB9
Stockholders' Equity And Stock-Based Compensation (Forfeiture Rates) (Details) | 12 Months Ended | ||
Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 | |
Stockholders' Equity And Stock-Based Compensation [Abstract] | ' | ' | ' |
Expected forfeiture rate | 6.13% | 6.13% | 6.10% |
Recovered_Sheet9
Stockholders' Equity And Stock-Based Compensation (Schedule Of Stock-Based Compensation Expense By Plan) (Details) (USD $) | 12 Months Ended | |||||
Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 | ||||
Stockholders' Equity And Stock-Based Compensation [Line Items] | ' | ' | ' | |||
Share based compensation expense | $64,328,000 | [1] | $47,581,000 | [1] | $43,665,000 | [1] |
Benefit from income taxes | -19,316,000 | [1] | -14,930,000 | [1] | -14,744,000 | [1] |
Total stock-based compensation, net of tax | 45,012,000 | [1] | 32,651,000 | [1] | 28,921,000 | [1] |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs, Capitalized Amount | ' | 400,000 | 600,000 | |||
Employee Service Share-based Compensation, Tax Benefit Realized from Exercise of Stock Options | 400,000 | 200,000 | 300,000 | |||
Stock Option [Member] | ' | ' | ' | |||
Stockholders' Equity And Stock-Based Compensation [Line Items] | ' | ' | ' | |||
Share based compensation expense | 21,334,000 | [1] | 23,550,000 | [1] | 24,788,000 | [1] |
Restricted Stock Units [Member] | ' | ' | ' | |||
Stockholders' Equity And Stock-Based Compensation [Line Items] | ' | ' | ' | |||
Share based compensation expense | 39,644,000 | [1],[2] | 22,952,000 | [1],[2] | 18,339,000 | [1],[2] |
Employee Stock Purchase Plan [Member] | ' | ' | ' | |||
Stockholders' Equity And Stock-Based Compensation [Line Items] | ' | ' | ' | |||
Share based compensation expense | 3,350,000 | [1] | 1,029,000 | [1] | 842,000 | [1] |
Stock Appreciation Rights (SARs) [Member] | ' | ' | ' | |||
Stockholders' Equity And Stock-Based Compensation [Line Items] | ' | ' | ' | |||
Share based compensation expense | $0 | [1] | $50,000 | [1] | ($304,000) | [1] |
[1] | We also recognize a tax benefit from certain exercises of incentive stock options and shares issued under our ESPP which are not included in the table above. This benefit was $0.4 million, $0.2 million and $0.3 million in fiscal 2013, 2012 and 2011, respectively. | |||||
[2] | Expense excludes $0.4 million and $0.6 million in fiscal 2012 and 2011 related to stock-based compensation which was capitalized to property, plant and equipment. No compensation cost was capitalized to property, plant and equipment in fiscal 2013. |
Recovered_Sheet10
Stockholders' Equity And Stock-Based Compensation (Schedule of Stock-Based Compensation By Classification) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Stock-based compensation expense | $64,328 | $47,581 | $43,665 |
Cost of products [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Stock-based compensation expense | 765 | 675 | 642 |
Cost of services [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Stock-based compensation expense | 387 | 239 | 182 |
Research and development [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Stock-based compensation expense | 17,117 | 11,553 | 10,157 |
Sales and marketing [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Stock-based compensation expense | 21,507 | 16,233 | 13,184 |
General and administrative [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Stock-based compensation expense | 22,685 | 18,881 | 19,500 |
Restructuring Charges [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Stock-based compensation expense | $1,867 | $0 | $0 |
Recovered_Sheet11
Stockholders' Equity And Stock-Based Compensation (Stock Repurchase) (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||
In Thousands, except Share data, unless otherwise specified | Sep. 24, 2013 | Jun. 28, 2013 | Mar. 29, 2013 | Dec. 28, 2012 | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 | |||||
Stockholders' Equity And Stock-Based Compensation [Abstract] | ' | ' | ' | ' | ' | ' | ' | |||||
Shares repurchased (in shares) | 250,000 | 250,000 | 382,481 | 1,674,648 | 2,557,129 | ' | ' | |||||
Cost | $8,103 | [1] | $8,709 | [1] | $11,477 | [1] | $53,956 | [1] | $82,245 | [1] | $268,203 | $192,410 |
Average Price Paid per Share (in dollars per share) | ' | $34.82 | [2] | $29.99 | [2] | $32.20 | [2] | $32.40 | [2] | ' | ' | |
[1] | Cost of share repurchases includes the price paid per share and applicable commissions. | |||||||||||
[2] | AverageB price paidB perB share excludes commission costs. |
Restructuring_Details
Restructuring (Details) (USD $) | 12 Months Ended | |||||
Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 | ||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | |||
Share based compensation expense | ($64,328,000) | [1] | ($47,581,000) | [1] | ($43,665,000) | [1] |
Restructuring Reserve [Roll Forward] | ' | ' | ' | |||
Restructuring charges | 5,874,000 | 1,191,000 | 3,406,000 | |||
2013 Restructuring Program [Member] | ' | ' | ' | |||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | |||
Number of positions eliminated | 36 | ' | ' | |||
Share based compensation expense | -1,900,000 | ' | ' | |||
Restructuring Reserve [Roll Forward] | ' | ' | ' | |||
Restructuring charges | 5,874,000 | ' | ' | |||
Cash payments | 2,205,000 | ' | ' | |||
Non-cash charges | 1,832,000 | ' | ' | |||
Restructuring reserve, ending balance | 1,837,000 | ' | ' | |||
2013 Restructuring Program [Member] | Severance And Other Associated Costs [Member] | ' | ' | ' | |||
Restructuring Reserve [Roll Forward] | ' | ' | ' | |||
Restructuring charges | 4,723,000 | ' | ' | |||
Cash payments | 2,097,000 | ' | ' | |||
Non-cash charges | 1,832,000 | ' | ' | |||
Restructuring reserve, ending balance | 794,000 | ' | ' | |||
2013 Restructuring Program [Member] | Facilities And Contract Termination Costs [Member] | ' | ' | ' | |||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | |||
Asset impairment charges | 1,151,000 | ' | ' | |||
Restructuring Reserve [Roll Forward] | ' | ' | ' | |||
Cash payments | 108,000 | ' | ' | |||
Non-cash charges | 0 | ' | ' | |||
Restructuring reserve, ending balance | 1,043,000 | ' | ' | |||
2013 Restructuring Program [Member] | Severance [Member] | ' | ' | ' | |||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | |||
Recorded severance and other associated costs | 2,800,000 | ' | ' | |||
2013 Restructuring Program [Member] | Restructuring Charges [Member] | ' | ' | ' | |||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | |||
Asset impairment charges | ' | ' | 1,151,000 | |||
2011 Restructuring Program [Member] | ' | ' | ' | |||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | |||
Number of positions eliminated | ' | 55 | ' | |||
Restructuring Reserve [Roll Forward] | ' | ' | ' | |||
Restructuring reserve, beginning balance | 333,000 | 2,370,000 | 3,034,000 | |||
Restructuring charges | 0 | 1,191,000 | 3,406,000 | |||
Cash payments | -324,000 | -2,958,000 | -3,847,000 | |||
Non-cash charges | 0 | -270,000 | -223,000 | |||
Restructuring reserve, ending balance | 9,000 | 333,000 | 2,370,000 | |||
2011 Restructuring Program [Member] | Facilities And Contract Termination Costs [Member] | ' | ' | ' | |||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | |||
Restructuring charges | ' | 400,000 | ' | |||
Restructuring Reserve [Roll Forward] | ' | ' | ' | |||
Restructuring reserve, beginning balance | 331,000 | 0 | 0 | |||
Restructuring charges | 0 | 352,000 | 0 | |||
Cash payments | -322,000 | -185,000 | 0 | |||
Non-cash charges | 0 | 164,000 | 0 | |||
Restructuring reserve, ending balance | 9,000 | 331,000 | 0 | |||
2011 Restructuring Program [Member] | Severance [Member] | ' | ' | ' | |||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | |||
Recorded severance and other associated costs | ' | 400,000 | 2,500,000 | |||
Restructuring Reserve [Roll Forward] | ' | ' | ' | |||
Restructuring reserve, beginning balance | 0 | 2,250,000 | 2,804,000 | |||
Restructuring charges | 0 | 318,000 | 3,185,000 | |||
Cash payments | 0 | -2,572,000 | -3,716,000 | |||
Non-cash charges | 0 | 4,000 | -23,000 | |||
Restructuring reserve, ending balance | 0 | 0 | 2,250,000 | |||
2011 Restructuring Program [Member] | Fixed Assets Write-Off [Member] | ' | ' | ' | |||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | |||
Asset impairment charges | ' | 400,000 | 200,000 | |||
Restructuring Reserve [Roll Forward] | ' | ' | ' | |||
Restructuring reserve, beginning balance | 0 | 0 | 0 | |||
Restructuring charges | 0 | 424,000 | 199,000 | |||
Cash payments | 0 | 0 | 0 | |||
Non-cash charges | 0 | -424,000 | -199,000 | |||
Restructuring reserve, ending balance | 0 | 0 | 0 | |||
2011 Restructuring Program [Member] | Other Associated Costs [Member] | ' | ' | ' | |||
Restructuring Reserve [Roll Forward] | ' | ' | ' | |||
Restructuring reserve, beginning balance | 2,000 | 120,000 | 230,000 | |||
Restructuring charges | 0 | 97,000 | 22,000 | |||
Cash payments | -2,000 | -201,000 | -131,000 | |||
Non-cash charges | 0 | -14,000 | -1,000 | |||
Restructuring reserve, ending balance | $0 | $2,000 | $120,000 | |||
[1] | We also recognize a tax benefit from certain exercises of incentive stock options and shares issued under our ESPP which are not included in the table above. This benefit was $0.4 million, $0.2 million and $0.3 million in fiscal 2013, 2012 and 2011, respectively. |
Income_Taxes_Narrative_Details
Income Taxes (Narrative) (Details) (USD $) | 12 Months Ended | ||||
Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 | Sep. 24, 2010 | Sep. 25, 2009 | |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' | ' |
Deferred income tax withholding tax foreign earnings | $229,300,000 | ' | ' | ' | ' |
U.S. income taxes, adjusted for any foreign tax credits, and withholding taxes | 54,500,000 | ' | ' | ' | ' |
Net operating loss carryover for Spain | ' | 1,700,000 | ' | ' | ' |
Discrete tax benefit | 3,900,000 | ' | ' | ' | ' |
Discrete tax benefit, change in deferred tax liability | 3,200,000 | ' | ' | ' | ' |
Discrete tax benefit, utilization of net operating loss carryforwards | 700,000 | ' | ' | ' | ' |
Operating loss carryforwards | 4,300,000 | ' | ' | ' | ' |
Net operating loss carryovers for Federal tax purposes | 5,600,000 | ' | ' | ' | 9,700,000 |
Net operating loss carryovers for California tax purposes | 9,600,000 | ' | ' | ' | 9,600,000 |
Effective tax rate | 24.10% | 28.10% | 29.50% | ' | ' |
Deferred tax liability related to the amortization of intangible asset | 7,400,000 | ' | ' | ' | ' |
Effective tax rate benefit, amortization of intangible assets | 3.00% | ' | ' | ' | ' |
Unrecognized tax benefits, gross | 32,468,000 | 16,880,000 | 8,683,000 | 16,558,000 | ' |
Unrecognized tax benefits if recognized, would affect our effective tax rate | 21,800,000 | ' | ' | ' | ' |
Unrecognized tax benefits, expected reduction as a result of settlement | 4,500,000 | ' | ' | ' | ' |
Increase in interest expense for current tax provision | -400,000 | ' | ' | ' | ' |
Reduction in penalties for current tax provision | -400,000 | ' | ' | ' | ' |
Release of VAT reserve, recorded as reduction to general and administrative expense | ' | ' | 3,200,000 | ' | ' |
Release of VAT reserve, recorded as reduction in interest expense | ' | ' | $1,400,000 | ' | ' |
Income_Taxes_Components_Of_Inc
Income Taxes (Components Of Income Before Provision For Income Taxes) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Sep. 24, 2013 | Jun. 28, 2013 | Mar. 29, 2013 | Dec. 28, 2012 | Sep. 28, 2012 | Jun. 29, 2012 | Mar. 30, 2012 | Dec. 30, 2011 | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
U.S. | ' | ' | ' | ' | ' | ' | ' | ' | $155,777 | $258,684 | $350,189 |
Foreign | ' | ' | ' | ' | ' | ' | ' | ' | 94,869 | 110,307 | 90,454 |
Income before provision for income taxes | $58,868 | $37,847 | $84,872 | $69,059 | $72,951 | $70,321 | $122,515 | $103,204 | $250,646 | $368,991 | $440,643 |
Income_Taxes_Schedule_Of_Provi
Income Taxes (Schedule Of Provision For Income Taxes ) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 |
Current: | ' | ' | ' |
Federal | $30,428 | $56,105 | $71,336 |
State | 691 | 2,922 | 18,069 |
Foreign | 49,003 | 43,659 | 33,567 |
Total current | 80,122 | 102,686 | 122,972 |
Deferred: | ' | ' | ' |
Federal | -11,353 | 904 | 3,638 |
State | -4,748 | 521 | 9,756 |
Foreign | -3,677 | -254 | -6,305 |
Total deferred | -19,778 | 1,171 | 7,089 |
Provision for income taxes | $60,344 | $103,857 | $130,061 |
Income_Taxes_Withholding_Taxes
Income Taxes (Withholding Taxes) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 |
Income Tax Disclosure [Abstract] | ' | ' | ' |
Withholding taxes | $42,567 | $38,531 | $32,200 |
Income_Taxes_Summary_Of_Tax_Ef
Income Taxes (Summary Of Tax Effects Of The Temporary Differences Between Carrying Amounts And Amounts Used For Tax) (Details) (USD $) | Sep. 27, 2013 | Sep. 28, 2012 |
In Thousands, unless otherwise specified | ||
Income Tax Disclosure [Abstract] | ' | ' |
Investments | $2,115 | $2,096 |
Accounts receivable | 128 | 182 |
Inventories | 4,255 | 3,678 |
Net operating loss | 3,297 | 2,863 |
U.S. state taxes | 225 | 177 |
Accrued expenses | 11,985 | 10,140 |
Stock-based compensation | 29,428 | 25,720 |
Revenue recognition | 59,505 | 63,843 |
Research and development credits | 4,002 | 0 |
Foreign tax credits | 3,512 | 3,410 |
Other | 7,503 | 7,348 |
Total gross deferred income tax assets | 125,955 | 119,447 |
Less: valuation allowance | 0 | 0 |
Total deferred income tax assets | 125,955 | 119,447 |
Translation adjustment | -880 | -904 |
Intangibles | -318 | -3,746 |
International earnings | -1,782 | -6,373 |
Depreciation and amortization | -1,028 | -6,761 |
Unrealized gain on investments | -275 | -768 |
Deferred income tax assets, net | 121,672 | 100,895 |
Current deferred income tax assets | 78,381 | 80,966 |
Long-term deferred income tax assets, net | $43,291 | $19,939 |
Income_Taxes_Reconciliation_Of
Income Taxes (Reconciliation Of Federal Statutory Tax Rate To Our Effective Tax Rate) (Details) (USD $) | 12 Months Ended | |||
Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 | Sep. 24, 2010 | |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' |
Federal statutory rate | 35.00% | 35.00% | 35.00% | ' |
State income taxes, net of federal effect | 0.60% | 1.10% | 4.70% | ' |
Stock-based compensation expense rate | -1.30% | -0.50% | -0.30% | ' |
Research and development tax credits | -3.10% | -1.10% | -1.60% | ' |
Tax exempt interest | -0.20% | -0.30% | -0.30% | ' |
U.S. manufacturing tax incentives | -2.30% | -2.10% | -1.90% | ' |
Foreign rate differential | 4.50% | 5.30% | 4.60% | ' |
Foreign reversal of deferred tax liabilities | 3.00% | 0.00% | 2.50% | ' |
Other | 0.30% | 0.30% | 0.40% | ' |
Effective tax rate | 24.10% | 28.10% | 29.50% | ' |
Unrecognized Tax Benefits | $32,468,000 | $16,880,000 | $8,683,000 | $16,558,000 |
Unrecognized Tax Benefits that Would Impact Effective Tax Rate | $21,800,000 | ' | ' | ' |
Income_Taxes_Aggregate_Changes
Income Taxes (Aggregate Changes In Balance Of Gross Unrecognized Tax Benefits, Excluding Interest And Penalties) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ' | ' | ' |
Unrecognized Tax Benefits, Beginning Balance | $16,880 | $8,683 | $16,558 |
Increases in balances related to tax positions taken during prior years | 16,865 | 3,156 | 1,006 |
Decreases in balances related to tax positions taken during prior years | 0 | -493 | -8,083 |
Increases in balances related to tax positions taken during the current year | 2,639 | 6,770 | 299 |
Lapse of statute of limitations | -3,064 | -1,236 | -1,097 |
Settlements | -852 | 0 | 0 |
Unrecognized Tax Benefits, Ending Balance | $32,468 | $16,880 | $8,683 |
Income_Taxes_Interest_and_Pena
Income Taxes (Interest and Penalties on Unrecognized Tax Benefits) (Details) (USD $) | Sep. 27, 2013 | Sep. 28, 2012 |
In Thousands, unless otherwise specified | ||
Income Tax Disclosure [Abstract] | ' | ' |
Accrued interest | $1,680 | $2,046 |
Accrued penalties | 1,536 | 1,937 |
Total | $3,216 | $3,983 |
Retirement_Plans_Details
Retirement Plans (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 |
Pension and Other Postretirement Benefit Expense [Abstract] | ' | ' | ' |
Retirement plan expenses | $15.80 | $12.90 | $11.30 |
Commitments_And_Contingencies_1
Commitments And Contingencies (Narrative) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 |
Commitments and Contingencies Disclosure [Abstract] | ' | ' | ' |
Term of agreement | ' | '20 years | ' |
Rental expenses under operating leases | $13.10 | $13.50 | $12.60 |
Expense for rent paid to principal stockholder | $1.40 | $1.40 | $1.40 |
Commitments_And_Contingencies_2
Commitments And Contingencies (Schedule Of Contractual Obligations And Commitments) (Details) (USD $) | Sep. 27, 2013 |
In Thousands, unless otherwise specified | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Naming rights, Fiscal 2014 | $7,341 |
Naming rights, Fiscal 2015 | 7,432 |
Naming rights, Fiscal 2016 | 7,525 |
Naming rights, Fiscal 2017 | 7,619 |
Naming rights, Fiscal 2018 | 7,715 |
Naming rights, Thereafter | 118,699 |
Naming rights, Total | 156,331 |
Operating leases, Fiscal 2014 | 17,094 |
Operating leases, Fiscal 2015 | 9,443 |
Operating leases, Fiscal 2016 | 6,087 |
Operating leases, Fiscal 2017 | 4,399 |
Operating leases, Fiscal 2018 | 2,877 |
Operating leases, Thereafter | 3,028 |
Operating leases, Total | 42,928 |
Purchase obligation, Fiscal 2014 | 4,261 |
Purchase obligation, Fiscal 2015 | 1,387 |
Purchase obligation, Fiscal 2016 | 155 |
Purchase Obligation, Fiscal 2017 | 39 |
Purchase obligation, Total | 5,842 |
Total, due in Fiscal 2014 | 28,696 |
Total, due in Fiscal 2015 | 18,262 |
Total, due in Fiscal 2016 | 13,767 |
Total, due in Fiscal 2017 | 12,057 |
Total, due in Fiscal 2018 | 10,592 |
Total, due Thereafter | 121,727 |
Total due | $205,101 |
Geographic_Data_Revenue_By_Geo
Geographic Data (Revenue By Geographic Region) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Sep. 24, 2013 | Jun. 28, 2013 | Mar. 29, 2013 | Dec. 28, 2012 | Sep. 28, 2012 | Jun. 29, 2012 | Mar. 30, 2012 | Dec. 30, 2011 | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 |
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total revenue | $216,652 | $207,074 | $249,346 | $236,602 | $225,755 | $210,322 | $262,759 | $234,178 | $909,674 | $933,014 | $961,065 |
U.S. [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total revenue | ' | ' | ' | ' | ' | ' | ' | ' | 255,956 | 299,992 | 302,218 |
International | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total revenue | ' | ' | ' | ' | ' | ' | ' | ' | $653,718 | $633,022 | $658,847 |
Geographic_Data_Schedule_Of_Co
Geographic Data (Schedule Of Concentration Of Revenue From Individual Geographic Regions) (Details) | 12 Months Ended | ||
Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 | |
Revenue From External Customer [Line Items] | ' | ' | ' |
Concentration of revenue from individual geographic regions | 100.00% | 100.00% | 100.00% |
U.S. [Member] | ' | ' | ' |
Revenue From External Customer [Line Items] | ' | ' | ' |
Concentration of revenue from individual geographic regions | 28.00% | 32.00% | 32.00% |
Japan [Member] | ' | ' | ' |
Revenue From External Customer [Line Items] | ' | ' | ' |
Concentration of revenue from individual geographic regions | 18.00% | 18.00% | 20.00% |
Europe [Member] | ' | ' | ' |
Revenue From External Customer [Line Items] | ' | ' | ' |
Concentration of revenue from individual geographic regions | 13.00% | 15.00% | 15.00% |
Taiwan [Member] | ' | ' | ' |
Revenue From External Customer [Line Items] | ' | ' | ' |
Concentration of revenue from individual geographic regions | 5.00% | 7.00% | 8.00% |
South Korea [Member] | ' | ' | ' |
Revenue From External Customer [Line Items] | ' | ' | ' |
Concentration of revenue from individual geographic regions | 20.00% | 17.00% | 13.00% |
China [Member] | ' | ' | ' |
Revenue From External Customer [Line Items] | ' | ' | ' |
Concentration of revenue from individual geographic regions | 9.00% | 6.00% | 6.00% |
Other [Member] | ' | ' | ' |
Revenue From External Customer [Line Items] | ' | ' | ' |
Concentration of revenue from individual geographic regions | 7.00% | 5.00% | 6.00% |
Geographic_Data_Schedule_Of_Lo
Geographic Data (Schedule Of Long-Lived Assets, Net Of Accumulated Depreciation, By Geographic Region) (Details) (USD $) | Sep. 27, 2013 | Sep. 28, 2012 |
In Thousands, unless otherwise specified | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Total long-lived tangible assets, net of accumulated depreciation | $242,917 | $254,676 |
United States | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long-lived assets | 188,580 | 211,647 |
International | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long-lived assets | $54,337 | $43,029 |
Per_Share_Data_Details
Per Share Data (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Sep. 24, 2013 | Jun. 28, 2013 | Mar. 29, 2013 | Dec. 28, 2012 | Sep. 28, 2012 | Jun. 29, 2012 | Mar. 30, 2012 | Dec. 30, 2011 | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 |
Schedule Of Earnings Per Share Basic And Diluted [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income attributable to Dolby Laboratories, Inc. | $45,795 | $30,216 | $61,911 | $51,349 | $51,494 | $51,529 | $88,120 | $73,159 | $189,271 | $264,302 | $309,267 |
Weighted average shares outstanding-basic | 101,768 | 101,751 | 101,638 | 102,361 | 104,079 | 106,328 | 108,415 | 108,884 | 101,879 | 106,926 | 111,444 |
Potential common shares from options to purchase Class A and Class B common stock | ' | ' | ' | ' | ' | ' | ' | ' | 287 | 493 | 941 |
Potential common shares from restricted stock units | ' | ' | ' | ' | ' | ' | ' | ' | 622 | 122 | 169 |
Weighted average shares outstanding-diluted | 102,976 | 103,031 | 102,680 | 103,523 | 104,915 | 107,202 | 109,170 | 109,443 | 102,788 | 107,541 | 112,554 |
Net income per share attributable to Dolby Laboratories, Inc. - Basic | $0.45 | $0.30 | $0.61 | $0.50 | $0.49 | $0.48 | $0.81 | $0.67 | $1.86 | $2.47 | $2.78 |
Net income per share attributable to Dolby Laboratories, Inc. - Diluted | $0.44 | $0.29 | $0.60 | $0.50 | $0.49 | $0.48 | $0.81 | $0.67 | $1.84 | $2.46 | $2.75 |
Stock Options [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Schedule Of Earnings Per Share Basic And Diluted [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Anti-dilutive securities, excluded from calculations | ' | ' | ' | ' | ' | ' | ' | ' | 5,348 | 6,496 | 3,289 |
Restricted Stock Units [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Schedule Of Earnings Per Share Basic And Diluted [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Anti-dilutive securities, excluded from calculations | ' | ' | ' | ' | ' | ' | ' | ' | 1,817 | 2,550 | 535 |
Selected_Quarterly_Financial_D2
Selected Quarterly Financial Data (unaudited) (Schedule Of Selected Quarterly Financial Data) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Sep. 24, 2013 | Jun. 28, 2013 | Mar. 29, 2013 | Dec. 28, 2012 | Sep. 28, 2012 | Jun. 29, 2012 | Mar. 30, 2012 | Dec. 30, 2011 | Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 |
Quarterly Financial Data [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Licensing | $191,043 | $184,707 | $226,455 | $204,876 | $192,154 | $180,886 | $227,849 | $200,424 | $807,081 | $801,313 | $795,900 |
Products | 19,998 | 17,381 | 17,726 | 25,498 | 27,628 | 22,132 | 27,228 | 26,400 | 80,603 | 103,388 | 131,611 |
Services | 5,611 | 4,986 | 5,165 | 6,228 | 5,973 | 7,304 | 7,682 | 7,354 | 21,990 | 28,313 | 33,554 |
Total revenue | 216,652 | 207,074 | 249,346 | 236,602 | 225,755 | 210,322 | 262,759 | 234,178 | 909,674 | 933,014 | 961,065 |
Cost of revenue | 23,491 | 24,340 | 23,283 | 25,605 | 26,994 | 21,031 | 23,592 | 20,410 | 96,719 | 92,027 | 111,171 |
Gross margin | 193,161 | 182,734 | 226,063 | 210,997 | 198,761 | 189,291 | 239,167 | 213,768 | 812,955 | 840,987 | 849,894 |
Income before taxes and controlling interest | 58,868 | 37,847 | 84,872 | 69,059 | 72,951 | 70,321 | 122,515 | 103,204 | 250,646 | 368,991 | 440,643 |
Net income attributable to Dolby Laboratories, Inc. | $45,795 | $30,216 | $61,911 | $51,349 | $51,494 | $51,529 | $88,120 | $73,159 | $189,271 | $264,302 | $309,267 |
Earnings Per Share, Basic | $0.45 | $0.30 | $0.61 | $0.50 | $0.49 | $0.48 | $0.81 | $0.67 | $1.86 | $2.47 | $2.78 |
Earnings Per Share, Diluted | $0.44 | $0.29 | $0.60 | $0.50 | $0.49 | $0.48 | $0.81 | $0.67 | $1.84 | $2.46 | $2.75 |
Shares outstanding-basic | 101,768 | 101,751 | 101,638 | 102,361 | 104,079 | 106,328 | 108,415 | 108,884 | 101,879 | 106,926 | 111,444 |
Shares outstanding-diluted | 102,976 | 103,031 | 102,680 | 103,523 | 104,915 | 107,202 | 109,170 | 109,443 | 102,788 | 107,541 | 112,554 |
Related_Party_Transactions_Det
Related Party Transactions (Details) (USD $) | 12 Months Ended | ||
Sep. 27, 2013 | Sep. 28, 2012 | Sep. 30, 2011 | |
Distribution Made to Limited Liability Company (LLC) Member, Cash Distributions Paid | $5,000,000 | $100,000 | $300,000 |
Related party rent expense included in general and administrative expenses | $2,526,000 | $1,372,000 | $1,372,000 |
Dolby Properties, LLC [Member] | ' | ' | ' |
Ownership interest | 38.00% | ' | ' |
Dolby Properties Brisbane, LLC [Member] | ' | ' | ' |
Ownership interest | 49.00% | ' | ' |
Dolby Properties Burbank, LLC [Member] | ' | ' | ' |
Ownership interest | 49.00% | ' | ' |
Dolby Properties United Kingdom, LLC [Member] | ' | ' | ' |
Ownership interest | 49.00% | ' | ' |
Dolby Properties, LP [Member] | ' | ' | ' |
Ownership interest | 10.00% | ' | ' |
Legal_Proceedings_Details
Legal Proceedings (Details) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2011 |
Legal Proceedings [Line Items] | ' |
Back royalties recognized as revenue | $15.20 |
Amount received as interest related to back royalties | 2.2 |
Royalties Prior to Fiscal 2011 [Member] | ' |
Legal Proceedings [Line Items] | ' |
Back royalties recognized as revenue | $11.30 |