DOCUMENT_AND_ENTITY_INFORMATIO
DOCUMENT AND ENTITY INFORMATION (USD $) | 12 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Sep. 28, 2013 | Nov. 09, 2013 | Mar. 30, 2013 |
Document and Entity Information [Abstract] | ' | ' | ' |
Entity Registrant Name | 'KULICKE & SOFFA INDUSTRIES INC | ' | ' |
Entity Central Index Key | '0000056978 | ' | ' |
Current Fiscal Year End Date | '--09-28 | ' | ' |
Entity Filer Category | 'Large Accelerated Filer | ' | ' |
Trading Symbol | 'klic | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 75,969,839 | ' |
Document Type | '10-K | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 28-Sep-13 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Public Float | ' | ' | $869.10 |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Sep. 28, 2013 | Sep. 29, 2012 | ||
In Thousands, unless otherwise specified | ||||
Current assets: | ' | ' | ||
Cash and cash equivalents | $521,788 | $440,244 | ||
Short-term Investments | 3,252 | [1] | 0 | [1] |
Accounts and notes receivable, net of allowance for doubtful accounts of $504 and $937, respectively | 162,714 | 188,986 | ||
Inventories, net | 38,135 | 58,994 | ||
Prepaid expenses and other current assets | 24,012 | 21,577 | ||
Deferred income taxes | 4,487 | 3,515 | ||
Total current assets | 754,388 | 713,316 | ||
Property, plant and equipment, net | 47,541 | 28,441 | ||
Goodwill | 41,546 | 41,546 | ||
Intangible assets, net | 11,209 | 20,387 | ||
Other assets | 8,310 | 11,919 | ||
TOTAL ASSETS | 862,994 | 815,609 | ||
Current liabilities: | ' | ' | ||
Accounts payable | 37,030 | 57,231 | ||
Accrued expenses and other current liabilities | 38,868 | 57,946 | ||
Income taxes payable | 1,504 | 8,192 | ||
Total current liabilities | 77,402 | 123,369 | ||
Built-to-suit liability | 19,396 | 0 | ||
Deferred income taxes | 40,709 | 37,875 | ||
Other liabilities | 8,822 | 10,698 | ||
TOTAL LIABILITIES | 146,329 | 171,942 | ||
Commitments and contingent liabilities (Note 12) | ' | ' | ||
SHAREHOLDERS' EQUITY: | ' | ' | ||
Preferred stock, without par value: Authorized 5,000 shares; issued - none | 0 | 0 | ||
Authorized 200,000 shares; issued 80,237 and 79,099, respectively; outstanding 75,283 and 74,145 shares, respectively | 467,525 | 455,122 | ||
Treasury stock, at cost, 4,954 shares | -46,356 | -46,356 | ||
Accumulated income | 291,878 | 232,520 | ||
Accumulated other comprehensive income | 3,618 | 2,381 | ||
TOTAL SHAREHOLDERS' EQUITY | 716,665 | 643,667 | ||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $862,994 | $815,609 | ||
[1] | All short-term investments were classified as available-for-sale and were measured at fair value based on level one measurement, or quoted market prices, as defined by ASC 820. As of September 28, 2013, fair value approximated the cost basis for short-term investments. The Company did not recognize any realized gains or losses on the sale of investments during fiscal 2013. |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Sep. 28, 2013 | Sep. 29, 2012 |
In Thousands, except Per Share data, unless otherwise specified | ||
Consolidated Balance Sheets Parenthetical [Abstract] | ' | ' |
Allowance for doubtful accounts and notes receivable | $504 | $937 |
Preferred stock, without par value (usd per share) | $0 | $0 |
Preferred stock, shares authorized | 5,000 | 5,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, no par value (usd per share) | $0 | $0 |
Common stock, shares authorized | 200,000 | 200,000 |
Common stock, shares issued | 80,237 | 79,099 |
Common stock, shares outstanding | 75,283 | 74,145 |
Treasury stock, shares | 4,954 | 4,954 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) | 12 Months Ended | |||||
In Thousands, except Per Share data, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 | |||
Income Statement [Abstract] | ' | ' | ' | |||
Net revenue | $534,938 | $791,023 | $830,401 | |||
Cost of sales | 287,993 | 423,633 | 442,492 | |||
Gross profit | 246,945 | 367,390 | 387,909 | |||
Selling, general and administrative | 119,519 | 124,718 | 152,714 | |||
Research and development | 61,620 | 63,446 | 65,135 | |||
Operating expenses | 181,139 | 188,164 | 217,849 | |||
Income from operations | 65,806 | 179,226 | 170,060 | |||
Interest income | 883 | 833 | 648 | |||
Interest expense | -21 | -5,808 | -8,280 | |||
Income from operations before income taxes | 66,668 | 174,251 | 162,428 | |||
Provision for income taxes | 7,310 | 13,671 | 34,818 | |||
Net income | $59,358 | $160,580 | $127,610 | |||
Net income per share: | ' | ' | ' | |||
Basic (in dollars per share) | $0.79 | [1] | $2.17 | $1.77 | ||
Diluted (in dollars per share) | $0.78 | [1] | $2.13 | $1.73 | ||
Weighted average shares outstanding: | ' | ' | ' | |||
Basic (in shares) | 75,132 | 73,887 | 71,820 | |||
Diluted (in shares) | 76,190 | [2] | 75,502 | [2] | 73,341 | [2] |
[1] | EPS for the year may not equal the sum of quarterly EPS due to changes in weighted share calculations. | |||||
[2] | There were no potentially dilutive shares excluded for fiscal 2013. Fiscal 2012 and 2011 exclude 0.1 million and 0.4 million dilutive participating securities, respectively, as the income attributable to these shares was not included in EPS. |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 |
Statement of Other Comprehensive Income [Abstract] | ' | ' | ' |
Net income | $59,358 | $160,580 | $127,610 |
Other comprehensive income: | ' | ' | ' |
Foreign currency translation adjustment | 1,186 | 207 | 1,022 |
Unrecognized actuarial gain, Switzerland pension plan, net of tax | 51 | -370 | 731 |
Total other comprehensive income (loss) | 1,237 | -163 | 1,753 |
Comprehensive income | $60,595 | $160,417 | $129,363 |
CONSOLIDATED_STATEMENTS_OF_CHA
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (USD $) | Total | Common stock [Member] | Treasury Stock [Member] | Accumulated Income (Deficit) [Member] | Accumulated Other Comprehensive Income [Member] |
In Thousands, unless otherwise specified | |||||
Beginning Balance at Oct. 02, 2010 | $322,480 | $423,715 | ($46,356) | ($55,670) | $791 |
Beginning Balance, shares at Oct. 02, 2010 | ' | 70,475 | ' | ' | ' |
Employer contribution to the Company's 401(k) plan | 279 | 279 | ' | ' | ' |
Employer contribution to the Company's 401(k) plan, shares | ' | 42 | ' | ' | ' |
Issuance of stock for services rendered | 720 | 720 | ' | ' | ' |
Issuance of stock for services rendered, shares | ' | 90 | ' | ' | ' |
Exercise of stock options | 9,296 | 9,296 | ' | ' | ' |
Exercise of stock options, shares | -1,216 | 1,245 | ' | ' | ' |
Issuance of shares for market-based restricted stock and time-based restricted stock | 0 | 0 | ' | ' | ' |
Issuance of shares for market-based restricted stock and time-based restricted stock, shares | ' | 927 | ' | ' | ' |
Excess tax benefits from stock based compensation | 2,099 | 2,099 | ' | ' | ' |
Equity-based compensation expense | 5,640 | 5,640 | ' | ' | ' |
Components of comprehensive income: | ' | ' | ' | ' | ' |
Net income | 127,610 | ' | ' | 127,610 | ' |
Translation adjustment | 1,022 | ' | ' | ' | 1,022 |
Unamortized pension costs | 731 | ' | ' | ' | 731 |
Comprehensive income | 129,363 | ' | ' | 127,610 | 1,753 |
Ending Balance at Oct. 01, 2011 | 469,877 | 441,749 | -46,356 | 71,940 | 2,544 |
Ending Balance, shares at Oct. 01, 2011 | ' | 72,779 | ' | ' | ' |
Issuance of stock for services rendered | 720 | 720 | ' | ' | ' |
Issuance of stock for services rendered, shares | ' | 78 | ' | ' | ' |
Exercise of stock options | 3,325 | 3,325 | ' | ' | ' |
Exercise of stock options, shares | -374 | 436 | ' | ' | ' |
Issuance of shares for market-based restricted stock and time-based restricted stock | 0 | 0 | ' | ' | ' |
Issuance of shares for market-based restricted stock and time-based restricted stock, shares | ' | 852 | ' | ' | ' |
Excess tax benefits from stock based compensation | 1,537 | 1,537 | ' | ' | ' |
Equity-based compensation expense | 7,791 | 7,791 | ' | ' | ' |
Components of comprehensive income: | ' | ' | ' | ' | ' |
Net income | 160,580 | ' | ' | 160,580 | ' |
Translation adjustment | 207 | ' | ' | ' | 207 |
Unamortized pension costs | -370 | ' | ' | ' | -370 |
Comprehensive income | 160,417 | ' | ' | 160,580 | -163 |
Ending Balance at Sep. 29, 2012 | 643,667 | 455,122 | -46,356 | 232,520 | 2,381 |
Ending Balance, shares at Sep. 29, 2012 | ' | 74,145 | ' | ' | ' |
Issuance of stock for services rendered | 840 | 840 | ' | ' | ' |
Issuance of stock for services rendered, shares | ' | 74 | ' | ' | ' |
Exercise of stock options | 908 | 908 | ' | ' | ' |
Exercise of stock options, shares | -101 | 101 | ' | ' | ' |
Issuance of shares for market-based restricted stock and time-based restricted stock | 0 | 0 | ' | ' | ' |
Issuance of shares for market-based restricted stock and time-based restricted stock, shares | ' | 963 | ' | ' | ' |
Excess tax benefits from stock based compensation | 825 | 825 | ' | ' | ' |
Equity-based compensation expense | 9,830 | 9,830 | ' | ' | ' |
Components of comprehensive income: | ' | ' | ' | ' | ' |
Net income | 59,358 | ' | ' | 59,358 | ' |
Translation adjustment | 1,186 | ' | ' | ' | 1,186 |
Unamortized pension costs | 51 | ' | ' | ' | 51 |
Comprehensive income | 60,595 | ' | ' | 59,358 | 1,237 |
Ending Balance at Sep. 28, 2013 | $716,665 | $467,525 | ($46,356) | $291,878 | $3,618 |
Ending Balance, shares at Sep. 28, 2013 | ' | 75,283 | ' | ' | ' |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 |
CASH FLOWS FROM OPERATING ACTIVITIES: | ' | ' | ' |
Net income | $59,358 | $160,580 | $127,610 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' | ' |
Depreciation and amortization | 18,489 | 17,265 | 17,761 |
Amortization of debt discount and debt issuance costs | 0 | 5,174 | 7,315 |
Equity-based compensation | 10,670 | 8,511 | 7,496 |
Excess tax benefits from stock based compensation | -825 | -1,537 | 0 |
Adjustment for doubtful accounts | 371 | -1,239 | 1,219 |
Adjustment for inventory valuation | 3,561 | 6,060 | 6,701 |
Deferred taxes | 5,901 | 3,964 | 19,773 |
Impairment of buildings and building improvements | 0 | 206 | 3,002 |
Switzerland pension plan curtailment gain | -2,100 | -1,690 | 0 |
Gain on disposal of building | -147 | 0 | 0 |
Asset retirement obligation | -368 | 0 | 0 |
Changes in operating assets and liabilities, net of businesses acquired or sold: | ' | ' | ' |
Accounts and notes receivable | 26,408 | -49,111 | 55,313 |
Inventory | 17,056 | 8,144 | -6,122 |
Prepaid expenses and other current assets | -2,421 | -46 | -5,621 |
Accounts payable, accrued expenses and other current liabilities | -36,066 | 33,550 | -43,449 |
Income taxes payable | -6,832 | -6,071 | 13,063 |
Other, net | 1,769 | 209 | -1,804 |
Net cash provided by continuing operations | 94,824 | 183,969 | 202,257 |
Net cash used in discontinued operations | 0 | -1,498 | -1,861 |
Net cash provided by operating activities | 94,824 | 182,471 | 200,396 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' | ' |
Purchases of property, plant and equipment | -17,172 | -6,902 | -7,688 |
Proceeds from sales of property, plant and equipment | 5,310 | 0 | 0 |
Purchases of short term investment | -3,252 | 0 | 0 |
Sales (purchase) of investments classified as available-for-sale | 0 | 6,364 | -3,655 |
Earnout payment related to prior acquisition | 0 | -14,848 | 0 |
Changes in restricted cash, net | 0 | 0 | 237 |
Net cash used in investing activities | -15,114 | -15,386 | -11,106 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' | ' |
Payments on debt | 0 | -110,000 | 0 |
Proceeds from exercise of common stock options | 908 | 3,325 | 9,296 |
Excess tax benefits from stock-based compensation arrangements | 825 | 1,537 | 0 |
Net cash provided by(used in) financing activities | 1,733 | -105,138 | 9,296 |
Effect of exchange rate changes on cash and cash equivalents | 101 | 109 | 1,490 |
Changes in cash and cash equivalents | 81,544 | 62,056 | 200,076 |
Cash and cash equivalents at beginning of period | 440,244 | 378,188 | 178,112 |
Cash and cash equivalents at end of period | 521,788 | 440,244 | 378,188 |
CASH PAID FOR: | ' | ' | ' |
Interest | 0 | 633 | 963 |
Income taxes | $8,382 | $10,854 | $11,466 |
BASIS_OF_PRESENTATION
BASIS OF PRESENTATION | 12 Months Ended |
Sep. 28, 2013 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
BASIS OF PRESENTATION | ' |
BASIS OF PRESENTATION | |
These consolidated financial statements include the accounts of Kulicke and Soffa Industries, Inc. and its subsidiaries (the “Company”), with appropriate elimination of intercompany balances and transactions. | |
Fiscal Year | |
Each of the Company's first three fiscal quarters ends on the Saturday that is 13 weeks after the end of the immediately preceding fiscal quarter. The fourth quarter of each fiscal year ends on the Saturday closest to September 30th. In fiscal years consisting of 53 weeks, the fourth quarter will consist of 14 weeks. The fiscal year end for 2013, 2012, and 2011 ended on September 28, 2013, September 29, 2012 and October 1, 2011, respectively. | |
Nature of Business | |
The Company designs, manufactures and sells capital equipment and expendable tools as well as services, maintains, repairs and upgrades equipment, all used to assemble semiconductor devices. The Company's operating results depend upon the capital and operating expenditures of semiconductor manufacturers and outsourced semiconductor assembly and test providers (“OSATs”) worldwide which, in turn, depend on the current and anticipated market demand for semiconductors and products utilizing semiconductors. The semiconductor industry is highly volatile and experiences downturns and slowdowns which can have a severe negative effect on the semiconductor industry's demand for semiconductor capital equipment, including assembly equipment manufactured and sold by the Company and, to a lesser extent, expendable tools, including those sold by the Company. These downturns and slowdowns have in the past adversely affected the Company's operating results. The Company believes such volatility will continue to characterize the industry and the Company's operations in the future. | |
Use of Estimates | |
The preparation of consolidated financial statements requires management to make assumptions, estimates and judgments that affect the reported amounts of assets and liabilities, net revenue and expenses during the reporting periods, and disclosures of contingent assets and liabilities as of the date of the consolidated financial statements. On an ongoing basis, management evaluates estimates, including but not limited to, those related to accounts receivable, reserves for excess and obsolete inventory, carrying value and lives of fixed assets, goodwill and intangible assets, valuation allowances for deferred tax assets and deferred tax liabilities, repatriation of un-remitted foreign subsidiary earnings, equity-based compensation expense, restructuring, and warranties. Management bases its estimates on historical experience and on various other assumptions believed to be reasonable. As a result, management makes judgments regarding the carrying values of its assets and liabilities that are not readily apparent from other sources. Authoritative pronouncements, historical experience and assumptions are used as the basis for making estimates, and on an ongoing basis, management evaluates these estimates. Actual results may differ from these estimates under different assumptions or conditions. | |
Vulnerability to Certain Concentrations | |
Financial instruments which may subject the Company to concentrations of credit risk as of September 28, 2013 and September 29, 2012 consisted primarily of short-term investments and trade receivables. The Company manages credit risk associated with investments by investing its excess cash in highly rated debt instruments of the U.S. Government and its agencies, financial institutions, and corporations. The Company has established investment guidelines relative to diversification and maturities designed to maintain safety and liquidity. These guidelines are periodically reviewed and modified as appropriate. The Company does not have any exposure to sub-prime financial instruments or auction rate securities. | |
The Company's trade receivables result primarily from the sale of semiconductor equipment, related accessories and replacement parts, and expendable tools to a relatively small number of large manufacturers in a highly concentrated industry. Write-offs of uncollectible accounts have historically not been significant; however, the Company closely monitors its customers' financial strength to reduce the risk of loss. | |
The Company's products are complex and require raw materials, components and subassemblies having a high degree of reliability, accuracy and performance. The Company relies on subcontractors to manufacture many of these components and subassemblies and it relies on sole source suppliers for some important components and raw material inventory. | |
The Company's international operations are exposed to changes in foreign currency exchange rates due to transactions denominated in currencies other than the location's functional currency. The Company is also exposed to foreign currency fluctuations that impact the remeasurement of net monetary assets of those operations whose functional currency, the U.S. dollar, differs from their respective local currencies, most notably in Israel, Malaysia, Singapore and Switzerland. In addition to net monetary remeasurement, the Company has exposures related to the translation of subsidiary financial statements from their functional currency, the local currency, into its reporting currency, the U.S. dollar, most notably in China, Taiwan, Japan and Germany. The Company's U.S. operations also have foreign currency exposure due to net monetary assets denominated in currencies other than the U.S. dollar. | |
Foreign Currency Translation | |
The majority of the Company's business is transacted in U.S. dollars; however, the functional currencies of some of the Company's subsidiaries are their local currencies. In accordance with ASC No. 830, Foreign Currency Matters (“ASC 830”), for a subsidiary of the Company that has a functional currency other than the U.S. dollar, gains and losses resulting from the translation of the functional currency into U.S. dollars for financial statement presentation are not included in determining net income, but are accumulated in the cumulative translation adjustment account as a separate component of shareholders' equity (accumulated other comprehensive income (loss)). Under ASC 830, cumulative translation adjustments are not adjusted for income taxes as they relate to indefinite investments in non-U.S. subsidiaries. Gains and losses resulting from foreign currency transactions are included in the determination of net income. | |
Cash Equivalents | |
The Company considers all highly liquid investments with original maturities of three months or less when purchased to be cash equivalents. Cash equivalents are measured at fair value based on level one measurement, or quoted market prices, as defined by ASC No. 820, Fair Value Measurements and Disclosures. As of September 28, 2013 and September 29, 2012, fair value approximated the cost basis for cash equivalents. | |
Investments | |
Investments, other than cash equivalents, are classified as “trading,” “available-for-sale” or “held-to-maturity,” in accordance with ASC No. 320, Investments-Debt & Equity Securities, and depending upon the nature of the investment, its ultimate maturity date in the case of debt securities, and management's intentions with respect to holding the securities. Investments classified as “trading” are reported at fair market value, with unrealized gains or losses included in earnings. Investments classified as “available-for-sale” are reported at fair market value, with net unrealized gains or losses reflected as a separate component of shareholders' equity (accumulated other comprehensive income (loss)). The fair market value of trading and available-for-sale securities is determined using quoted market prices at the balance sheet date. Investments classified as held-to-maturity are reported at amortized cost. Realized gains and losses are determined on the basis of specific identification of the securities sold. | |
Allowance for Doubtful Accounts | |
The Company maintains allowances for doubtful accounts for estimated losses resulting from its customers' failure to make required payments. If the financial condition of the Company's customers were to deteriorate, resulting in an impairment of their ability to make payments, additional allowances may be required. The Company is also subject to concentrations of customers and sales to a few geographic locations, which could also impact the collectability of certain receivables. If global economic conditions deteriorate or political conditions were to change in some of the countries where the Company does business, it could have a significant impact on the results of operations, and the Company's ability to realize the full value of its accounts receivable. | |
Inventories | |
Inventories are stated at the lower of cost (on a first-in first-out basis) or market value. The Company generally provides reserves for obsolete inventory and for inventory considered to be in excess of demand. Demand is generally defined as 18 months future consumption for equipment, 24 months consumption for all spare parts, and 12 months consumption for expendable tools. Forecasted demand is based upon internal projections, historical sales volumes, customer order activity and a review of consumable inventory levels at customers' facilities. The Company communicates forecasts of its future demand to its suppliers and adjusts commitments to those suppliers accordingly. If required, the Company reserves the difference between the carrying value of its inventory and the lower of cost or market value, based upon assumptions about future demand, and market conditions. If actual market conditions are less favorable than projections, additional inventory reserves may be required. | |
Property, Plant and Equipment | |
Property, plant and equipment are carried at cost. The cost of additions and those improvements which increase the capacity or lengthen the useful lives of assets are capitalized while repair and maintenance costs are expensed as incurred. Depreciation and amortization are provided on a straight-line basis over the estimated useful lives as follows: buildings 25 years; machinery and equipment 3 to 10 years; and leasehold improvements are based on the shorter of the life of lease or life of asset. Purchased computer software costs related to business and financial systems are amortized over a five-year period on a straight-line basis. | |
Valuation of Long-Lived Assets | |
In accordance with ASC No. 360, Property, Plant & Equipment ("ASC 360"), the Company's property, plant and equipment is tested for impairment based on undiscounted cash flows when triggering events occur, and if impaired, written-down to fair value based on either discounted cash flows or appraised values. ASC 360 also provides a single accounting model for long-lived assets to be disposed of by sale and establishes additional criteria that would have to be met to classify an asset as held for sale. The carrying amount of an asset or asset group is not recoverable to the extent it exceeds the sum of the undiscounted cash flows expected to result from the use and eventual disposition of the asset or asset group. Estimates of future cash flows used to test the recoverability of a long-lived asset or asset group must incorporate the entity's own assumptions about its use of the asset or asset group and must factor in all available evidence. | |
ASC 360 requires that long-lived assets be tested for recoverability whenever events or changes in circumstances indicate that their carrying amount may not be recoverable. Such events include significant under-performance relative to the expected historical or projected future operating results; significant changes in the manner of use of the assets; significant negative industry or economic trends; and significant changes in market capitalization. During the fiscal year ended September 28, 2013, no triggering events occurred. | |
Accounting for Impairment of Goodwill | |
The Company operates two reportable segments: Equipment and Expendable Tools. Goodwill was recorded in 2009 for the acquisition of Orthodyne Electronics Corporation ("Orthodyne"), which added wedge bonder products (also known as "reporting unit") to the Equipment business. | |
Accounting Standard Update 2011-08, Testing Goodwill for Impairment (“ASU 2011-08”), provides companies with the option to assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying value. If, after assessing the qualitative factors, a company determines that it is not more likely than not that the fair value of a reporting unit is less than its carrying value, then performing the two-step impairment test is unnecessary. However, if a company concludes otherwise, then it is required to perform the first step of the two-step goodwill impairment test. If the carrying value of a reporting unit exceeds its fair value, then a company is required to perform the second step of the two-step goodwill impairment test. | |
The Company chose to skip the qualitative assessment and proceed directly to performing the quantitative evaluation of the fair value of the goodwill of the reporting unit, to compare against the carrying value of the goodwill recorded in the books. If the fair value exceeds the carrying value, there is no impairment. Any excess carrying value is equal to the goodwill impairment charge. | |
As part of the annual evaluation, the Company performs an impairment test of its goodwill in the fourth quarter of each fiscal year to coincide with the completion of its annual forecasting and refreshing of its business outlook processes. On an ongoing basis, the Company monitors if a “triggering” event has occurred that may have the effect of reducing the fair value of a reporting unit below its respective carrying value. Adverse changes in expected operating results and/or unfavorable changes in other economic factors used to estimate fair values could result in a non-cash impairment charge in the future. | |
As of September 28, 2013, the Company concluded that the fair value of the reporting unit exceeded book value, and management does not believe that an impairment is probable at this time. The near term profitability forecast of the wedge bonder business unit is expected to be higher than that experienced in the prior year, and the expected improvement in profitability in future periods will sustain its carrying value. However, if the performance of the business unit does not meet or exceed those expectations, a future impairment could result for a portion or all of the goodwill valued at $41.5 million as of September 28, 2013. The quantification of any impairment would be dependent on the performance of the business unit, which inherently involves judgment as to assumptions about expected future cash flows and the impact of market conditions on those assumptions. Future events and changing market conditions may impact the assumptions as to prices, costs, growth rates or other factors that may result in changes in the estimates of future cash flows. Although the Company believes the assumptions that it has used in testing for impairment are reasonable, significant changes in any one of the assumptions could produce a significantly different result. Indicators of potential impairment that may lead the Company to perform interim goodwill impairment assessments include significant and unforeseen customer losses, a significant adverse change in the business climate, unanticipated competition or unforeseen changes in technology. | |
For further information on goodwill and other intangible assets, see Note 3 below. | |
Revenue Recognition | |
In accordance with ASC No. 605, Revenue Recognition, the Company recognizes revenue when persuasive evidence of an arrangement exists, delivery has occurred or services have been rendered, the price is fixed or determinable, the collectability is reasonably assured, and equipment installation obligations have been completed and customer acceptance, when applicable, has been received or otherwise released from installation or customer acceptance obligations. If terms of the sale provide for a customer acceptance period, revenue is recognized upon the expiration of the acceptance period or customer acceptance, whichever occurs first. The Company’s standard terms are ex works (the Company’s factory), with title transferring to its customer at the Company’s loading dock or upon embarkation. The Company has a small percentage of sales with other terms, and revenue is recognized in accordance with the terms of the related customer purchase order. Revenue related to services is recognized upon performance of the services requested by a customer order. Revenue for extended maintenance service contracts with a term more than one month is recognized on a prorated straight-line basis over the term of the contract. | |
Shipping and handling costs billed to customers are recognized in net revenue. Shipping and handling costs paid by the Company are included in cost of sales. | |
Research and Development | |
The Company charges research and development costs associated with the development of new products to expense when incurred. In certain circumstances, pre-production machines which the Company intends to sell are carried as inventory until sold. | |
Income Taxes | |
In accordance with ASC No. 740, Income Taxes, deferred income taxes are determined using the liability method. The Company records a valuation allowance to reduce its deferred tax assets to the amount it expects is more likely than not to be realized. While the Company has considered future taxable income and its ongoing tax planning strategies in assessing the need for the valuation allowance, if it were to determine that it would be able to realize its deferred tax assets in the future in excess of its net recorded amount, an adjustment to the deferred tax asset would increase income in the period such determination was made. Likewise, should the Company determine it would not be able to realize all or part of its net deferred tax assets in the future, an adjustment to the deferred tax asset would decrease income in the period such determination was made. | |
In accordance with ASC No. 740 Topic 10, Income Taxes, General (“ASC 740.10”), the Company accounts for uncertain tax positions taken or expected to be taken in its income tax return. Under ASC 740.10, the Company utilizes a two-step approach for evaluating uncertain tax positions. Step one, or recognition, requires a company to determine if the weight of available evidence indicates a tax position is more likely than not to be sustained upon audit, including resolution of related appeals or litigation processes, if any. Step two, or measurement, is based on the largest amount of benefit, which is more likely than not to be realized on settlement with the taxing authority. | |
Equity-Based Compensation | |
The Company accounts for equity-based compensation under the provisions of ASC No. 718, Compensation - Stock Compensation (“ASC 718”). ASC 718 requires the recognition of the fair value of the equity-based compensation in net income. Compensation expense associated with market-based restricted stock is determined using a Monte-Carlo valuation model, and compensation expense associated with time-based and performance-based restricted stock is determined based on the number of shares granted and the fair value on the date of grant. The fair value of the Company's stock option awards are estimated using a Black-Scholes option valuation model. In addition, the calculation of equity-based compensation costs requires that the Company estimate the number of awards that will be forfeited during the vesting period. The fair value of equity-based awards is amortized over the vesting period of the award and the Company elected to use the straight-line method for awards granted after the adoption of ASC 718. | |
Earnings per Share | |
Earnings per share (“EPS”) are calculated in accordance with ASC No. 260, Earnings per Share. Basic EPS include only the weighted average number of common shares outstanding during the period. Diluted EPS includes the weighted average number of common shares and the dilutive effect of stock options, restricted stock and share unit awards and convertible subordinated notes outstanding during the period, when such instruments are dilutive. | |
In accordance with ASC No. 260.10.55, Earnings per Share - Implementation & Guidance, the Company treats all outstanding unvested share-based payment awards that contain rights to nonforfeitable dividends as participating in undistributed earnings with common shareholders. Awards of this nature are considered participating securities and the two-class method of computing basic and diluted EPS must be applied. | |
Prior Period Adjustment | |
During the three months ended December 29, 2012, the Company identified a prior period adjustment of $1.1 million relating to the recognition of government grants that resulted in increased R&D expenses and a reduction of grants receivable. This error was corrected during the quarter ended December 29, 2012 and management deemed that the adjustment was not material to the previous fiscal year ended September 29, 2012. This amount impacted the operating results for the fiscal year ended September 28, 2013. | |
Recent Accounting Pronouncements | |
In January 2013, the Financial Accounting Standards Board (“FASB”) issued ASU 2013-01, Balance Sheet (Topic 210): Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities (“ASU 2013-01”). ASU 2013-01 contains no amendments to disclosure requirements. The amendments clarify that the scope of ASU 2011-11, Disclosures about Offsetting Assets and Liabilities, which introduced new disclosure requirements, applies to derivatives accounted for in accordance with Topic 815, Derivatives and Hedging, including bifurcated embedded derivatives, repurchase agreements and reverse repurchase agreements, and securities borrowing and securities lending transactions that are either offset in accordance with Section 210-20-45 or Section 815-10-45 or subject to an enforceable master netting arrangement or similar agreement. ASU 2013-01 is effective for fiscal years beginning on or after January 1, 2013 and interim periods within those annual periods. The Company believes adoption of this new guidance will not have a material impact on the Company's financial statements as these updates have an impact on presentation only. | |
In February 2013, the FASB issued ASU 2013-02, Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income (“ASU 2013-02”). ASU 2013-02 amended certain paragraphs in Comprehensive Income (Topic 220), the amendments require an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component. In addition, an entity is required to present, either on the face of the statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income but only if the amount reclassified is required under GAAP to be reclassified to net income in its entirety in the same reporting period. For other amounts that are not required under GAAP to be reclassified in their entirety to net income, an entity is required to cross-reference to other disclosures required under GAAP that provide additional detail about those amounts. ASU 2013-02 is effective prospectively for reporting periods beginning after December 15, 2012. The Company believes adoption of this new guidance will not have a material impact on the Company’s financial statements as these updates have an impact on presentation only. |
BALANCE_SHEET_COMPONENTS
BALANCE SHEET COMPONENTS | 12 Months Ended | ||||||||
Sep. 28, 2013 | |||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ||||||||
BALANCE SHEET COMPONENTS | ' | ||||||||
BALANCE SHEET COMPONENTS | |||||||||
The following tables reflect the components of significant balance sheet accounts as of September 28, 2013 and September 29, 2012: | |||||||||
As of | |||||||||
(in thousands) | September 28, 2013 | September 29, 2012 | |||||||
Short term investments, available-for-sale: | |||||||||
Deposits maturing within one year (1) | $ | 3,252 | $ | — | |||||
Inventories, net: | |||||||||
Raw materials and supplies | $ | 19,703 | $ | 26,660 | |||||
Work in process | 12,219 | 23,352 | |||||||
Finished goods | 20,333 | 27,599 | |||||||
52,255 | 77,611 | ||||||||
Inventory reserves | (14,120 | ) | (18,617 | ) | |||||
$ | 38,135 | $ | 58,994 | ||||||
Property, plant and equipment, net: | |||||||||
Land | $ | — | $ | 2,086 | |||||
Buildings and building improvements | 3,060 | 4,830 | |||||||
Leasehold improvements | 15,763 | 16,005 | |||||||
Data processing equipment and software | 24,549 | 23,819 | |||||||
Machinery, equipment, furniture and fixtures | 48,998 | 40,580 | |||||||
Construction in progress (2) | 19,396 | 3,219 | |||||||
111,766 | 90,539 | ||||||||
Accumulated depreciation (3) | (64,225 | ) | (62,098 | ) | |||||
$ | 47,541 | $ | 28,441 | ||||||
Accrued expenses and other current liabilities: | |||||||||
Wages and benefits | $ | 19,779 | $ | 18,734 | |||||
Accrued customer obligations (4) | 8,270 | 22,984 | |||||||
Commissions and professional fees | 2,640 | 2,776 | |||||||
Severance | 1,468 | 2,840 | |||||||
Other | 6,711 | 10,612 | |||||||
$ | 38,868 | $ | 57,946 | ||||||
-1 | All short-term investments were classified as available-for-sale and were measured at fair value based on level one measurement, or quoted market prices, as defined by ASC 820. As of September 28, 2013, fair value approximated the cost basis for short-term investments. The Company did not recognize any realized gains or losses on the sale of investments during fiscal 2013. | ||||||||
-2 | Pursuant to ASC No. 840, Leases, the Company is considered the owner of the building during the construction phase for the Agreement to Develop and Lease (the “ADL”) facility being developed by Mapletree Industrial Trust (the “Landlord”) in Singapore—see Note 12 below. The estimated construction costs incurred to date in relation to the relevant proportion of the Company's lease is recognized on the Consolidated Balance Sheet as at September 28, 2013 and September 29, 2012. Applicable ground lease expense of $0.5 million was accrued as of September 28, 2013. | ||||||||
-3 | The depreciation expense for the years ended September 28, 2013 and September 29, 2012 are $9.3 million and $8.1 million respectively. | ||||||||
-4 | Represents customer advance payments, customer credit program, accrued warranty expense and accrued retrofit costs. |
GOODWILL_AND_INTANGIBLE_ASSETS
GOODWILL AND INTANGIBLE ASSETS | 12 Months Ended | ||||||||||
Sep. 28, 2013 | |||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||
GOODWILL AND INTANGIBLE ASSETS | ' | ||||||||||
GOODWILL AND INTANGIBLE ASSETS | |||||||||||
Goodwill | |||||||||||
Intangible assets classified as goodwill are not amortized. The Company performs an annual impairment test of its goodwill during the fourth quarter of each fiscal year, which coincides with the completion of its annual forecasting and refreshing of its business outlook processes. The Company performed its annual impairment test in the fourth quarter of fiscal 2013 and concluded that no impairment charge was required. The Company also tests for impairment if a “triggering” event occurs that may have the effect of reducing the fair value of a reporting unit below its respective carrying value. | |||||||||||
On October 3, 2008, the Company completed the acquisition of Orthodyne and agreed to pay Orthodyne an additional amount in the future based upon the gross profit realized by the acquired business over a three year period from date of acquisition pursuant to an Earnout Agreement entered into in connection with the acquisition. At the end of fiscal 2011, the Company accrued $14.8 million as an earnout payment related to the Orthodyne acquisition to goodwill which was paid during the first quarter of fiscal 2012. Following the acquisition of Orthodyne, wedge bonder products were added to the Equipment business. | |||||||||||
Intangible Assets | |||||||||||
Intangible assets with determinable lives are amortized over their estimated useful lives. The Company's intangible assets consist primarily of wedge bonder developed technology and customer relationships. | |||||||||||
The following table reflects net intangible assets as of September 28, 2013 and September 29, 2012: | |||||||||||
As of | Average estimated | ||||||||||
(dollar amounts in thousands) | September 28, 2013 | September 29, 2012 | useful lives (in years) | ||||||||
Wedge bonder developed technology | $ | 33,200 | $ | 33,200 | 7 | ||||||
Accumulated amortization | (23,715 | ) | (18,973 | ) | |||||||
Net wedge bonder developed technology | 9,485 | 14,227 | |||||||||
Wedge bonder customer relationships | 19,300 | 19,300 | 5 | ||||||||
Accumulated amortization | (19,300 | ) | (15,440 | ) | |||||||
Net wedge bonder customer relationships | — | 3,860 | |||||||||
Wedge bonder trade name | 4,600 | 4,600 | 8 | ||||||||
Accumulated amortization | (2,876 | ) | (2,300 | ) | |||||||
Net wedge bonder trade name | 1,724 | 2,300 | |||||||||
Wedge bonder other intangible assets | 2,500 | 2,500 | 1.9 | ||||||||
Accumulated amortization | (2,500 | ) | (2,500 | ) | |||||||
Net wedge bonder other intangible assets | — | — | |||||||||
Net intangible assets | $ | 11,209 | $ | 20,387 | |||||||
The following table reflects estimated annual amortization expense related to intangible assets as of September 28, 2013: | |||||||||||
As of | |||||||||||
(in thousands) | September 28, 2013 | ||||||||||
Fiscal 2014 | $ | 5,318 | |||||||||
Fiscal 2015 | 5,318 | ||||||||||
Fiscal 2016 | 573 | ||||||||||
Total amortization expense | $ | 11,209 | |||||||||
CASH_AND_CASH_EQUIVALENTS
CASH AND CASH EQUIVALENTS | 12 Months Ended | |||||||||||||||
Sep. 28, 2013 | ||||||||||||||||
Cash and Cash Equivalents [Abstract] | ' | |||||||||||||||
CASH AND CASH EQUIVALENTS | ' | |||||||||||||||
CASH AND CASH EQUIVALENTS | ||||||||||||||||
Cash equivalents consist of instruments with remaining maturities of three months or less at the date of purchase. In general, these investments are free of trading restrictions. We carry these investments at fair value, based on quoted market prices or other readily available market information. | ||||||||||||||||
Cash and cash equivalents consisted of the following as of September 28, 2013: | ||||||||||||||||
(dollar amounts in thousands) | Amortized | Unrealized | Unrealized | Estimated | ||||||||||||
Cost | Gains | Losses | Fair Value | |||||||||||||
Current assets: | ||||||||||||||||
Cash | $ | 113,295 | $ | — | $ | — | $ | 113,295 | ||||||||
Cash equivalents | ||||||||||||||||
Money market funds | 226,272 | — | — | 226,272 | ||||||||||||
Time deposits | 182,221 | — | — | 182,221 | ||||||||||||
Total cash and cash equivalents | 521,788 | — | — | 521,788 | ||||||||||||
Short-term investments | ||||||||||||||||
Time deposits | 3,252 | — | — | 3,252 | ||||||||||||
Total short-term investments | 3,252 | — | — | 3,252 | ||||||||||||
Total cash, cash equivalents and short-term investments | $ | 525,040 | $ | — | $ | — | $ | 525,040 | ||||||||
Cash and cash equivalents consisted of the following as of September 29, 2012: | ||||||||||||||||
(dollar amounts in thousands) | Amortized | Unrealized | Unrealized | Estimated | ||||||||||||
Cost | Gains | Losses | Fair Value | |||||||||||||
Current assets: | ||||||||||||||||
Cash | $ | 100,853 | $ | — | $ | — | $ | 100,853 | ||||||||
Cash equivalents | ||||||||||||||||
Money market funds | 279,940 | — | — | 279,940 | ||||||||||||
Time deposits | 59,451 | — | — | 59,451 | ||||||||||||
Total cash and cash equivalents | $ | 440,244 | $ | — | $ | — | $ | 440,244 | ||||||||
FAIR_VALUE_MEASUREMENTS
FAIR VALUE MEASUREMENTS | 12 Months Ended | |||||||||||||||
Sep. 28, 2013 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
FAIR VALUE MEASURMENTS | ' | |||||||||||||||
FAIR VALUE MEASURMENTS | ||||||||||||||||
Accounting standards establish three levels of inputs that may be used to measure fair value: quoted prices in active markets for identical assets or liabilities (referred to as Level 1), inputs other than Level 1 that are observable for the asset or liability either directly or indirectly (referred to as Level 2) and unobservable inputs to the valuation methodology that are significant to the measurement of fair value of assets or liabilities (referred to as Level 3). | ||||||||||||||||
Assets and Liabilities Measured and Recorded at Fair Value on a Recurring Basis | ||||||||||||||||
We measure certain financial assets and liabilities at fair value on a recurring basis. There have been no transfers between fair value measurement levels during the year ended September 28, 2013. | ||||||||||||||||
Fair Value Measurements on a Nonrecurring Basis | ||||||||||||||||
Our non-financial assets such as property and property, plant equipment are carried at cost unless impairment is deemed to have occurred. | ||||||||||||||||
Fair Value of Financial Instruments | ||||||||||||||||
Amounts reported as cash and equivalents, short-term investments receivables, accounts payable and accrued expenses approximate fair value. | ||||||||||||||||
The fair value of our financial assets and liabilities at September 28, 2013 were determined using the following inputs: | ||||||||||||||||
(dollar amounts in thousands) | Fair Value Measurements at Reporting Date Using | |||||||||||||||
Quoted Prices | Significant | Significant | ||||||||||||||
in Active | Other | Unobservable | ||||||||||||||
Markets for | Observable | Inputs | ||||||||||||||
Identical Assets | Inputs | |||||||||||||||
Total | (Level 1) | (Level 2) | (Level 3) | |||||||||||||
Assets: | ||||||||||||||||
Cash | $ | 113,295 | $ | 113,295 | $ | — | $ | — | ||||||||
Cash equivalents | ||||||||||||||||
Money market funds | 226,272 | 226,272 | — | — | ||||||||||||
Time deposits | 182,221 | 182,221 | — | — | ||||||||||||
Short-term investments | ||||||||||||||||
Time deposits | 3,252 | 3,252 | — | — | ||||||||||||
Total assets | $ | 525,040 | $ | 525,040 | $ | — | $ | — | ||||||||
The fair value of our financial assets and liabilities at September 29, 2012 were determined using the following inputs: | ||||||||||||||||
(dollar amounts in thousands) | Fair Value Measurements at Reporting Date Using | |||||||||||||||
Quoted Prices | Significant | Significant | ||||||||||||||
in Active | Other | Unobservable | ||||||||||||||
Markets for | Observable | Inputs | ||||||||||||||
Identical Assets | Inputs | |||||||||||||||
Total | (Level 1) | (Level 2) | (Level 3) | |||||||||||||
Assets: | ||||||||||||||||
Cash | $ | 100,853 | $ | 100,853 | $ | — | $ | — | ||||||||
Cash equivalents | ||||||||||||||||
Money market funds | 279,940 | 279,940 | — | — | ||||||||||||
Time deposits | 59,451 | 59,451 | — | — | ||||||||||||
Total assets | $ | 440,244 | $ | 440,244 | $ | — | $ | — | ||||||||
DEBT_AND_OTHER_OBLIGATIONS
DEBT AND OTHER OBLIGATIONS | 12 Months Ended |
Sep. 28, 2013 | |
Debt Disclosure [Abstract] | ' |
DEBT AND OTHER OBLIGATIONS | ' |
DEBT AND OTHER OBLIGATIONS | |
Bank Guarantee | |
On May 9, 2012, Kulicke & Soffa Pte Ltd. (“Pte”), the Company's wholly owned subsidiary, obtained a bank guarantee (“Bank Guarantee”) from DBS Bank Ltd. in the amount of $3.4 million Singapore dollars. Pte furnished the Bank Guarantee to the Landlord in lieu of a cash deposit in connection with building and leasing of a new facility in Singapore (See Note 12). | |
On May 9, 2013, the Bank Guarantee expired and Pte replaced the Bank Guarantee with a cash deposit to the landlord of an equivalent amount, which is included in the Consolidated Balance Sheet as part of prepaid expenses and other current assets. | |
0.875% Convertible Subordinated Notes | |
The Company previously held 0.875% Convertible Subordinated Notes (the “Notes”) which matured on June 1, 2012. Prior to maturity, holders of the Notes were entitled to convert their Notes based on an initial conversion rate of approximately 69.6621 shares per $1,000 principal amount of Notes (equal to an initial conversion price of approximately $14.355 per share, subject to adjustment for certain events) only under specific circumstances. The Company had the option to elect to satisfy the conversion obligations in cash, common stock or a combination thereof. The Company repaid the entire principal balance of the Notes of $110.0 million plus interest of $0.5 million in cash in fiscal 2012. No common shares were issued in connection with repayment of the Notes. | |
For the fiscal years ended September 29, 2012 and October 1, 2011, $0.4 million and $0.6 million of amortization expense was incurred, respectively, relating to the Notes. There was no amortization expense for the fiscal year ended September 28, 2013. | |
The Company adopted ASC 470.20, Debt, Debt with Conversion Options, which requires that issuers of convertible debt that may be settled in cash upon conversion record the liability and equity components of the convertible debt separately. The liability component of the Company's Notes was classified as debt and the equity component of the Notes was classified as common stock on the Company's Consolidated Balance Sheets. | |
Agreement to Develop and Lease | |
On May 7, 2012, Kulicke & Soffa Pte Ltd. (“Pte”), the Company’s wholly owned subsidiary Pte entered into the ADL with DBS Trustee Limited as trustee of Mapletree Industrial Trust (the “Landlord”). Pursuant to the ADL, the Landlord agreed to develop a building at Lot 17622A Pt Mukim 18 at Serangoon North Avenue 5 (the “Building”) and Pte expects to lease from the Landlord 198,134 square feet (the “Initial Premises”), representing approximately 69% of the Building. The Building is estimated to be completed and ready for occupancy in the first quarter of 2014. | |
The facility is currently being constructed. In accordance with ASC No. 840, Leases ("ASC 840"), we are considered to be the owner of the building during the construction phase due to our involvement in the asset construction. Since the Company is considered the owner of the building during the construction period, a sale and leaseback of the building will occur when construction is completed and the lease term begins. As a result of the Company's continued involvement, the Company will be unable to use sale-leaseback accounting under ASC 840. Therefore, at completion, the building will remain on the Consolidated Balance Sheet, and the corresponding financing obligation will be reclassified to long-term liability. | |
The estimated construction costs incurred to date in relation to the relevant proportion of our lease recognized as of September 28, 2013 is $19.4 million. |
SHAREHOLDERS_EQUITY_AND_EMPLOY
SHAREHOLDERS' EQUITY AND EMPLOYEE BENEFIT PLANS | 12 Months Ended | ||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||||||
SHAREHOLDERSb EQUITY AND EMPLOYEE BENEFIT PLANS | ' | ||||||||||||||||
SHAREHOLDERS’ EQUITY AND EMPLOYEE BENEFIT PLANS | |||||||||||||||||
Common Stock and 401(k) Retirement Income Plan | |||||||||||||||||
The Company has a 401(k) retirement income plan (the “Plan”) for its employees. Historically, the Company's matching contributions to the Plan were made in the form of issued and contributed shares of Company common stock; however, beginning January 2, 2011, matching contributions to the Plan are made in cash instead of stock. The Plan allows for employee contributions and matching Company contributions up to 4% or 6% of the employee's contributed amount based upon years of service. | |||||||||||||||||
The following table reflects the Company’s matching contributions to the Plan during fiscal 2013 and 2012: | |||||||||||||||||
Fiscal | |||||||||||||||||
(in thousands) | 2013 | 2012 | |||||||||||||||
Cash | $ | 1,478 | $ | 1,707 | |||||||||||||
Accumulated Other Comprehensive Income | |||||||||||||||||
The following table reflects accumulated other comprehensive income reflected on the Consolidated Balance Sheets as of September 28, 2013 and September 29, 2012: | |||||||||||||||||
As of | |||||||||||||||||
(in thousands) | September 28, 2013 | September 29, 2012 | |||||||||||||||
Gain from foreign currency translation adjustments | $ | 4,182 | $ | 2,996 | |||||||||||||
Unrecognized actuarial gain, Switzerland pension plan, net of tax | (227 | ) | (227 | ) | |||||||||||||
Switzerland pension plan curtailment | (337 | ) | (388 | ) | |||||||||||||
Accumulated other comprehensive income | $ | 3,618 | $ | 2,381 | |||||||||||||
Equity-Based Compensation | |||||||||||||||||
As of September 28, 2013, the Company had seven equity-based employee compensation plans (the “Employee Plans”) and three director compensation plans (the “Director Plans”) (collectively, the “Plans”). Under these Plans, market-based share awards (collectively, “market-based restricted stock”), time-based share awards (collectively, “time-based restricted stock”), performance-based share awards (collectively, “performance-based restricted stock”), stock options, or common stock have been granted at 100% of the market price of the Company's common stock on the date of grant. As of September 28, 2013, the Company’s one active plan, the 2009 Equity Plan, had 4.6 million shares of common stock available for grant to its employees and directors. | |||||||||||||||||
• | Market-based restricted stock entitles the employee to receive common shares of the Company on the award vesting date if market performance objectives which measure relative total shareholder return (“TSR”) are attained. Relative TSR is calculated based upon the 90-calendar day average price of the Company's stock as compared to specific peer companies that comprise the Philadelphia Semiconductor Index. TSR is measured for the Company and each peer company over a performance period, which is generally three years. Vesting percentages range from 0% to 200% of awards granted. The provisions of the market-based restricted stock are reflected in the grant date fair value of the award; therefore, compensation expense is recognized regardless of whether or not the market condition is ultimately satisfied. Compensation expense is reversed if the award is forfeited prior to the vesting date. | ||||||||||||||||
• | In general, stock options and time-based restricted stock awarded to employees vest annually over a three-year period provided the employee remains employed by the Company. The Company follows the non-substantive vesting method for stock options and recognizes compensation expense immediately for awards granted to retirement-eligible employees, or over the period from the grant date to the date retirement eligibility is achieved. | ||||||||||||||||
• | In general, performance-based restricted stock (“PSU”) entitles the employee to receive common shares of the Company on the three-year anniversary of the grant date (if employed by the Company) if return on invested capital and revenue growth targets set by the Management Development and Compensation Committee (“MDCC”) of the Board of Directors on the date of grant are met. If return on invested capital and revenue growth targets are not met, performance-based restricted stock does not vest. Certain PSUs vest based on achievement of strategic goals over a certain time period or periods set by the MDCC. If the strategic goals are not achieved, the PSUs do not vest. | ||||||||||||||||
Equity-based compensation expense recognized in the Consolidated Statements of Operations for fiscal 2013, 2012 and 2011 was based upon awards ultimately expected to vest. In accordance with ASC No. 718, Stock Based Compensation, forfeitures have been estimated at the time of grant and were based upon historical experience. The Company reviews the forfeiture rates periodically and makes adjustments as necessary. | |||||||||||||||||
The following table reflects total equity-based compensation expense, which includes restricted stock, stock options and common stock, included in the Consolidated Statements of Operations for fiscal 2013, 2012, and 2011: | |||||||||||||||||
Fiscal | |||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||||||
Cost of sales | $ | 295 | $ | 312 | $ | 213 | |||||||||||
Selling, general and administrative | 8,457 | 6,602 | 5,671 | ||||||||||||||
Research and development | 1,918 | 1,777 | 1,328 | ||||||||||||||
Total equity-based compensation expense | $ | 10,670 | $ | 8,691 | $ | 7,212 | |||||||||||
The following table reflects equity-based compensation expense, by type of award, for fiscal 2013, 2012, and 2011: | |||||||||||||||||
Fiscal | |||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||||||
Market-based restricted stock | $ | 4,135 | $ | 2,929 | $ | 1,961 | |||||||||||
Time-based restricted stock | 5,545 | 4,732 | 4,003 | ||||||||||||||
Performance-based restricted stock | 107 | 269 | 442 | ||||||||||||||
Stock options | 43 | 41 | 86 | ||||||||||||||
Common stock | 840 | 720 | 720 | ||||||||||||||
Total equity-based compensation expense | $ | 10,670 | $ | 8,691 | $ | 7,212 | |||||||||||
Equity-Based Compensation: employee market-based restricted stock | |||||||||||||||||
The following table reflects employee market-based restricted stock activity for fiscal 2013, 2012, and 2011: | |||||||||||||||||
Number of shares (in thousands) | Unrecognized compensation expense (in thousands) | Average remaining service period (in years) | Weighted average grant date fair value per share | ||||||||||||||
Market-based restricted stock outstanding as of October 2, 2010 | 314 | $ | 667 | 1.3 | |||||||||||||
Granted | 442 | $ | 11.32 | ||||||||||||||
Forfeited or expired | (165 | ) | |||||||||||||||
Vested | (104 | ) | |||||||||||||||
Market-based restricted stock outstanding as of October 2, 2011 | 487 | $ | 3,674 | 1.9 | |||||||||||||
Granted | 437 | $ | 12.56 | ||||||||||||||
Forfeited or expired | (10 | ) | |||||||||||||||
Market-based restricted stock outstanding as of September 29, 2012 | 914 | 6,175 | 1.5 | ||||||||||||||
Granted | 344 | $ | 13.89 | ||||||||||||||
Forfeited or expired | (49 | ) | |||||||||||||||
Vested | (124 | ) | |||||||||||||||
Market-based restricted stock outstanding as of September 28, 2013 | 1,085 | $ | 5,913 | 1.1 | |||||||||||||
Equity-Based Compensation: employee time-based restricted stock | |||||||||||||||||
The following table reflects employee time-based restricted stock activity for fiscal 2013, 2012, and 2011: | |||||||||||||||||
Number of shares (in thousands) | Unrecognized compensation expense (in thousands) | Average remaining service period (in years) | Weighted average grant date fair value per share | ||||||||||||||
Time-based restricted stock outstanding as of October 2, 2010 | 1,707 | $ | 5,683 | 1.4 | |||||||||||||
Granted | 714 | $ | 6.56 | ||||||||||||||
Forfeited or expired | (259 | ) | |||||||||||||||
Vested | (563 | ) | |||||||||||||||
Time-based restricted stock outstanding as of October 1, 2011 | 1,599 | $ | 6,096 | 1.7 | |||||||||||||
Granted | 695 | $ | 9.15 | ||||||||||||||
Forfeited or expired | (76 | ) | |||||||||||||||
Vested | (686 | ) | |||||||||||||||
Time-based restricted stock outstanding as of September 29, 2012 | 1,532 | $ | 7,070 | 1.4 | |||||||||||||
Granted | 620 | $ | 10.59 | ||||||||||||||
Forfeited or expired | (132 | ) | |||||||||||||||
Vested | (804 | ) | |||||||||||||||
Time-based restricted stock outstanding as of September 28, 2013 | 1,216 | $ | 6,028 | 1.2 | |||||||||||||
Equity-Based Compensation: employee performance-based restricted stock | |||||||||||||||||
No performance-based restricted stock was issued during fiscal 2012 or 2011. | |||||||||||||||||
The following table reflects employee performance-based restricted stock activity for fiscal 2013, 2012, and 2011: | |||||||||||||||||
Number of shares (in thousands) | Unrecognized compensation expense (in thousands) | Average remaining service period (in years) | |||||||||||||||
Performance-based restricted stock outstanding as of October 2, 2010 | 626 | 228 | 0.2 | ||||||||||||||
Forfeited or expired | (275 | ) | |||||||||||||||
Vested | (182 | ) | |||||||||||||||
Performance-based restricted stock outstanding as of October 1, 2011 | 169 | — | — | ||||||||||||||
Vested | (169 | ) | |||||||||||||||
Performance-based restricted stock outstanding as of September 29, 2012 | — | — | — | ||||||||||||||
Granted | 57 | ||||||||||||||||
Performance-based restricted stock outstanding as of September 28, 2013 | 57 | 550 | 2.2 | ||||||||||||||
The following table reflects employee stock option activity for fiscal 2013, 2012, and 2011: | |||||||||||||||||
Number of shares (in thousands) | Weighted average exercise price | Average remaining contractual life (in years) | Aggregate intrinsic value (in thousands) | ||||||||||||||
Options outstanding as of October 2, 2010 | 3,310 | 9.8 | |||||||||||||||
Granted | — | — | |||||||||||||||
Exercised | (1,216 | ) | 7.5 | 3,498 | |||||||||||||
Forfeited or expired | (585 | ) | 13.79 | ||||||||||||||
Options outstanding as of October 1, 2011 | 1,509 | 10.11 | |||||||||||||||
Granted | — | — | |||||||||||||||
Exercised | (374 | ) | 7.7 | 829 | |||||||||||||
Forfeited or expired | (432 | ) | 13.35 | ||||||||||||||
Options outstanding as of September 29, 2012 | 703 | $ | 9.4 | ||||||||||||||
Exercised | (101 | ) | 292 | ||||||||||||||
Forfeited or expired | (40 | ) | |||||||||||||||
Options outstanding as of September 28, 2013 | 562 | ||||||||||||||||
Options vested and expected to vest as of September 28, 2013 | 560 | $ | 9.57 | 1.9 | 1,210 | ||||||||||||
Options exercisable as of September 28, 2013 | 555 | $ | 9.6 | 1.9 | |||||||||||||
In the money exercisable options as of September 28, 2013 | 339 | $ | 1,189 | ||||||||||||||
Since 2007, on average, 14.5% of stock options granted by the Company become vested each year, and on average, 21% of stock options granted by the Company are forfeited each year. Intrinsic value of stock options exercised is determined by calculating the difference between the market value of the Company's stock price at the time an option is exercised and the exercise price, multiplied by the number of shares. The intrinsic value of stock options outstanding and stock options exercisable is determined by calculating the difference between the Company's closing stock price on the last trading day of fiscal 2013 and the exercise price of in-the-money stock options, multiplied by the number of underlying shares. During fiscal 2013, the Company received $0.9 million in cash from the exercise of employee and non-employee director stock options. | |||||||||||||||||
As of September 28, 2013, total unrecognized compensation cost related to unvested employee stock options was $20,600, which will be amortized over the weighted average remaining service period of approximately 1 year. | |||||||||||||||||
The following table reflects outstanding and exercisable employee stock options as of September 28, 2013: | |||||||||||||||||
Options Outstanding | Options Exercisable | ||||||||||||||||
Range of exercise prices | Options outstanding (in thousands) | Weighted average remaining contractual life (in years) | Weighted average exercise price | Options exercisable (in thousands) | Weighted average exercise price | ||||||||||||
3.06 - 7.08 | 29 | 5.75 | $ | 5.48 | 24 | $ | 5.29 | ||||||||||
7.14 - 7.31 | 85 | 1.1 | 7.14 | 85 | 7.14 | ||||||||||||
8.43 - 8.74 | 230 | 3.62 | 8.63 | 228 | 8.63 | ||||||||||||
9.64 - 12.05 | 218 | 0.05 | 12.03 | 218 | 12.03 | ||||||||||||
562 | 1.97 | $ | 9.56 | 555 | $ | 9.6 | |||||||||||
Equity-Based Compensation: non-employee directors | |||||||||||||||||
The 2009 Equity Plan provides for the grant of common shares to each non-employee director upon initial election to the board and on the first business day of each calendar quarter while serving on the board. The grant to a non-employee director upon initial election to the board is that number of common shares closest in value to, without exceeding, $120,000. The quarterly grant to a non-employee director upon the first business day of each calendar year quarter is that number of common shares closest in value to, without exceeding, $30,000. | |||||||||||||||||
The following table reflects shares of common stock issued to non-employee directors and the corresponding fair value for fiscal 2013, 2012, and 2011: | |||||||||||||||||
Fiscal | |||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||||||
Number of commons shares issued | 74 | 78 | 89 | ||||||||||||||
Fair value based upon market price at time of issue | $ | 908 | $ | 720 | $ | 720 | |||||||||||
The following table reflects non-employee director stock option activity for fiscal 2013, 2012, and 2011: | |||||||||||||||||
Number of shares (in thousands) | Weighted average exercise price | Average remaining contractual life (in years) | Aggregate intrinsic value (in thousands) | ||||||||||||||
Options outstanding as of October 2, 2010 | 348 | 11.25 | |||||||||||||||
Exercised | (30 | ) | 6.16 | 170 | |||||||||||||
Forfeited or expired | (60 | ) | 11.5 | ||||||||||||||
Options outstanding as of October 1, 2011 | 258 | 11.78 | |||||||||||||||
Exercised | (63 | ) | 6.89 | 300 | |||||||||||||
Forfeited or expired | (60 | ) | 17.62 | ||||||||||||||
Options outstanding as of September 29, 2012 | 135 | $ | 11.45 | ||||||||||||||
Options outstanding as of September 28, 2013 | 135 | $ | 11.45 | 1.3 | $ | 76 | |||||||||||
Options vested and expected to vest as of September 28, 2013 | 135 | $ | 11.45 | 1.3 | $ | 76 | |||||||||||
Options exercisable as of September 28, 2013 | 135 | $ | 11.45 | 1.3 | |||||||||||||
In the money exercisable options as of September 28, 2013 | 65 | 76 | |||||||||||||||
No non-employee director stock options were granted during fiscal 2013, 2012, and 2011. | |||||||||||||||||
Pension Plan | |||||||||||||||||
The following table reflects the Company's defined benefits pension obligations as of September 28, 2013 and September 29, 2012 : | |||||||||||||||||
As of | |||||||||||||||||
(in thousands) | September 28, 2013 | September 29, 2012 | |||||||||||||||
Switzerland pension obligation | $ | 388 | $ | 2,506 | |||||||||||||
Taiwan pension obligation | 1,323 | 1,323 | |||||||||||||||
Total pension obligation | $ | 1,711 | $ | 3,829 | |||||||||||||
In accordance with regulations in Switzerland, the Company sponsors a Switzerland pension plan covering active employees whose minimum benefits are guaranteed. During fiscal 2012, the Company announced the intention to reduce its Switzerland workforce by approximately 41 employees, which triggered a further curtailment of the Switzerland pension plan under ASC No. 715, Topic 30, Compensation - Retirement Benefits, Defined Benefit Plans. As a result, the Company recognized a pretax curtailment and settlement gain of $1.7 million and $2.1 million in fiscal 2012 and 2013, respectively. | |||||||||||||||||
Other Plans | |||||||||||||||||
Some of the Company's other foreign subsidiaries have retirement plans that are integrated with and supplement the benefits provided by laws of the various countries. These other plans are not required to report nor do they determine the actuarial present value of accumulated benefits or net assets available for plan benefits as they are defined contribution plans. |
EARNINGS_PER_SHARE
EARNINGS PER SHARE | 12 Months Ended | ||||||||||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||||||||||
EARNINGS PER SHARE | ' | ||||||||||||||||||||||||
EARNINGS PER SHARE | |||||||||||||||||||||||||
Basic income (loss) per share is calculated using the weighted average number of shares of common stock outstanding during the period. In addition, net income applicable to participating securities and the related participating securities are excluded from the computation of basic income per share. | |||||||||||||||||||||||||
Diluted income per share is calculated using the weighted average number of shares of common stock outstanding during the period and, if there is net income during the period, the dilutive impact of common stock equivalents outstanding during the period. In computing diluted income per share, if convertible debt is assumed to be converted to common shares, the after-tax amount of interest expense recognized in the period associated with the convertible debt is added back to net income. | |||||||||||||||||||||||||
As of October 1, 2011, the Company determined that the Notes would not result in the issuance of any dilutive shares, since the conversion option was not “in the money” as of October 1, 2011. The Notes matured on June 1, 2012. The Company repaid the entire principal balance of the Notes of $110.0 million plus interest of $0.5 million in cash in fiscal 2012. No common shares were issued in connection with repayment of the Notes. Accordingly, diluted EPS excludes the effect of the conversion of the Notes. | |||||||||||||||||||||||||
The following tables reflect a reconciliation of the shares used in the basic and diluted net income per share computation for fiscal 2013, 2012, and 2011: | |||||||||||||||||||||||||
Fiscal | |||||||||||||||||||||||||
(in thousands, except per share) | 2013 | 2012 | 2011 | ||||||||||||||||||||||
Basic | Diluted | Basic | Diluted | Basic | Diluted | ||||||||||||||||||||
NUMERATOR: | |||||||||||||||||||||||||
Net income | $ | 59,358 | $ | 59,358 | $ | 160,580 | $ | 160,580 | $ | 127,610 | $ | 127,610 | |||||||||||||
Less: income applicable to participating securities | — | — | (5 | ) | (5 | ) | (716 | ) | (716 | ) | |||||||||||||||
Net income applicable to common shareholders | $ | 59,358 | $ | 59,358 | $ | 160,575 | $ | 160,575 | $ | 126,894 | $ | 126,894 | |||||||||||||
DENOMINATOR: | |||||||||||||||||||||||||
Weighted average shares outstanding - Basic | 75,132 | 75,132 | 73,887 | 73,887 | 71,820 | 71,820 | |||||||||||||||||||
Stock options | 110 | 660 | 442 | ||||||||||||||||||||||
Time-based restricted stock | 512 | 813 | 846 | ||||||||||||||||||||||
Market-based restricted stock | 436 | 142 | 233 | ||||||||||||||||||||||
Weighted average shares outstanding - Diluted (1) | 76,190 | 75,502 | 73,341 | ||||||||||||||||||||||
EPS: | |||||||||||||||||||||||||
Net income per share - Basic | $ | 0.79 | $ | 0.79 | $ | 2.17 | $ | 2.17 | $ | 1.77 | $ | 1.77 | |||||||||||||
Effect of dilutive shares | (0.01 | ) | $ | (0.04 | ) | $ | (0.04 | ) | |||||||||||||||||
Net income per share - Diluted | $ | 0.78 | $ | 2.13 | $ | 1.73 | |||||||||||||||||||
-1 | There were no potentially dilutive shares excluded for fiscal 2013. Fiscal 2012 and 2011 exclude 0.1 million and 0.4 million dilutive participating securities, respectively, as the income attributable to these shares was not included in EPS. |
INCOME_TAXES
INCOME TAXES | 12 Months Ended | ||||||||||||
Sep. 28, 2013 | |||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||
INCOME TAXES | ' | ||||||||||||
INCOME TAXES | |||||||||||||
The following table reflects income from continuing operations by location, the provision (benefit) for income taxes and the effective tax rate for fiscal 2013, 2012, and 2011: | |||||||||||||
Fiscal | |||||||||||||
(dollar amounts in thousands) | 2013 | 2012 | 2011 | ||||||||||
United States operations | $ | (4,340 | ) | $ | (6,111 | ) | $ | 33,531 | |||||
Foreign operations | 71,008 | 180,362 | 128,897 | ||||||||||
Income from operations before tax | 66,668 | 174,251 | 162,428 | ||||||||||
Provision for income taxes | 7,310 | 13,671 | 34,818 | ||||||||||
Net income | $ | 59,358 | $ | 160,580 | $ | 127,610 | |||||||
Effective tax rate | 11 | % | 7.8 | % | 21.4 | % | |||||||
The following table reflects the provision for income taxes from continuing operations for fiscal 2013, 2012, and 2011: | |||||||||||||
Fiscal | |||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||
Current: | |||||||||||||
Federal | $ | (212 | ) | $ | 4,103 | $ | (90 | ) | |||||
State | 291 | 942 | 1,099 | ||||||||||
Foreign | 1,732 | 5,497 | 14,764 | ||||||||||
Deferred: | |||||||||||||
Federal | 985 | 4,169 | 17,463 | ||||||||||
State | 5 | 48 | 8 | ||||||||||
Foreign | 4,509 | (1,088 | ) | 1,574 | |||||||||
Provision for income taxes | $ | 7,310 | $ | 13,671 | $ | 34,818 | |||||||
The following table reflects the difference between the provision for income taxes and the amount computed by applying the statutory federal income tax rate for fiscal 2013, 2012, and 2011: | |||||||||||||
Fiscal | |||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||
Computed income tax expense based on U.S. statutory rate | $ | 23,334 | $ | 60,988 | $ | 56,850 | |||||||
Effect of earnings of foreign subsidiaries subject to different tax rates | (11,193 | ) | (30,067 | ) | (17,300 | ) | |||||||
Benefits from foreign approved enterprise zones | (9,626 | ) | (22,138 | ) | (21,079 | ) | |||||||
Effect of permanent items | 664 | 152 | 669 | ||||||||||
Changes in valuation allowance | 1,429 | 1,261 | (962 | ) | |||||||||
Foreign operations (withholding taxes, deferred taxes on unremitted earnings, US taxation of foreign earnings) | 1,789 | 12,604 | 6,917 | ||||||||||
Reserve for uncertain tax positions | 683 | (7,626 | ) | 7,406 | |||||||||
State income tax expense | (734 | ) | (394 | ) | 1,230 | ||||||||
Other, net | 964 | (1,109 | ) | 1,087 | |||||||||
Provision for income taxes | $ | 7,310 | $ | 13,671 | $ | 34,818 | |||||||
Income tax expense for the current year includes approximately $0.3 million, $3.0 million and $4.4 million of taxes payable for deemed distributions from earnings for the years ended September 28, 2013, September 29, 2012 and October 1, 2011, respectively. | |||||||||||||
Undistributed earnings of certain foreign subsidiaries for which taxes have not been provided were approximately $411.4 million as of September 28, 2013. Such undistributed earnings are considered to be indefinitely reinvested in foreign operations. Determination of the amount of unrecognized deferred tax liability related to these earnings is not practicable. | |||||||||||||
Undistributed earnings of approximately $85.5 million are not considered to be indefinitely reinvested in foreign operations. As of September 28, 2013, the Company has provided a deferred tax liability of approximately $17.5 million for withholding taxes associated with future repatriation of earnings for certain subsidiaries. | |||||||||||||
The following table reflects the net deferred tax balance, composed of the tax effects of cumulative temporary differences for fiscal 2013 and 2012: | |||||||||||||
Fiscal | |||||||||||||
(in thousands) | 2013 | 2012 | |||||||||||
Inventory reserves | $ | 1,127 | $ | 2,933 | |||||||||
Other accruals and reserves | 3,349 | 3,343 | |||||||||||
Net operating loss carryforwards | 779 | — | |||||||||||
Valuation allowance | (768 | ) | (2,761 | ) | |||||||||
Total short-term deferred tax asset | $ | 4,487 | $ | 3,515 | |||||||||
Total short-term deferred tax liability | 221 | — | |||||||||||
Net short-term deferred tax asset | $ | 4,266 | $ | 3,515 | |||||||||
Domestic tax credit carryforwards | $ | 1,611 | $ | 628 | |||||||||
Net operating loss carryforwards | 28,138 | 29,384 | |||||||||||
Stock options | 1,299 | 1,322 | |||||||||||
Other | 926 | 769 | |||||||||||
31,974 | 32,103 | ||||||||||||
Valuation allowance | (25,676 | ) | (22,254 | ) | |||||||||
Total long-term deferred tax asset (1) | $ | 6,298 | $ | 9,849 | |||||||||
Repatriation of foreign earnings, including foreign withholding taxes | $ | 41,322 | $ | 40,770 | |||||||||
Depreciable assets | 1,887 | (58 | ) | ||||||||||
Prepaid expenses and other | — | — | |||||||||||
Total long-term deferred tax liability | $ | 43,209 | $ | 40,712 | |||||||||
Net long-term deferred tax liability | $ | 36,911 | $ | 30,863 | |||||||||
Total net deferred tax liability | $ | 32,645 | $ | 27,348 | |||||||||
-1 | Included in other assets on the Consolidated Balance Sheets are deferred tax assets of $3.8 million and $7.0 million as of September 28, 2013 and September 29, 2012, respectively. | ||||||||||||
As of September 28, 2013, the Company has foreign net operating loss carryforwards of $80.6 million, domestic state net operating loss carryforwards of $200.2 million, and tax credit carryforwards of $1.6 million that will reduce future taxable income. These carryforwards can be utilized in the future, prior to expiration of certain carryforwards in fiscal years 2014 through 2033 with the exception of certain credits and foreign net operating losses that have no expiration date. Pennsylvania tax law limits the time during which carryforwards may be applied against future taxes and Pennsylvania tax law limits the utilization of domestic state net operating loss carryforwards to as little as $3.0 million annually, but recent tax law changes will increase this amount in future years. | |||||||||||||
As of September 28, 2013 and September 29, 2012, approximately $0.8 million and $1.5 million were recorded as common stock (additional paid in capital) in shareholders' equity on the Consolidated Balance Sheets attributable to stock option exercises and restricted stock vesting. | |||||||||||||
The Company continues to evaluate the realizability of all of its net deferred tax assets at each reporting date and records a benefit for deferred tax assets to the extent it has deferred tax liabilities that provide a source of income to benefit the deferred tax asset. As a result of this analysis, the Company continues to maintain a valuation allowance against a majority of its state deferred tax assets as the realization of these assets is not more likely than not given uncertainty of future earnings in these jurisdictions. | |||||||||||||
The beginning and ending balances of the Company's unrecognized tax benefits are reconciled below for fiscal 2013, 2012, and 2011: | |||||||||||||
Fiscal | |||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||
Unrecognized tax benefit, beginning of year | $ | 6,186 | $ | 13,702 | $ | 6,413 | |||||||
Additions for tax positions, current year | — | — | — | ||||||||||
Additions for tax positions, prior year | 2,485 | 110 | 7,585 | ||||||||||
Reductions for tax positions, prior year | (1,802 | ) | (7,626 | ) | (296 | ) | |||||||
Unrecognized tax benefit, end of year | $ | 6,869 | $ | 6,186 | $ | 13,702 | |||||||
If recognized, the $6.9 million of unrecognized tax benefit as of September 28, 2013 would impact the Company's effective tax rate. | |||||||||||||
In fiscal 2013, the Company recognized a benefit of $1.7 million related to the reversal of a reserve for uncertain tax positions based on administrative practices in a foreign jurisdiction and an additional $0.1 million related to a position effectively settled upon audit in a different foreign jurisdiction. The Company has also taken a position on a tax return in a foreign jurisdiction that does meet the recognition and measurement criteria under ASC 740 and as a result it has provided a reserve for uncertain tax position of $2.1 million. | |||||||||||||
In fiscal 2011, a tax application filed with a foreign jurisdiction was rejected by that country's tax authority and the Company filed an appeal. As a result of the rejection of the application, the Company reconsidered its position and determined the benefit taken on its previously filed tax returns no longer met the recognition standard required under ASC 740. Therefore, during fiscal 2011, the Company provided a current liability of $7.5 million related to this certain unrecognized tax position, including penalties. No interest was accrued, as it is not provided for under the tax laws of the foreign jurisdiction. During the fourth quarter of fiscal 2012, the Company reached a favorable settlement with the tax authorities of a foreign jurisdiction. As a result, the current liability of $7.5 million is no longer necessary and an income tax benefit was recorded to remove the liability in fiscal 2012. | |||||||||||||
The Company recognizes interest and penalties accrued related to unrecognized tax benefits as a component of income tax expense. There were no additional accruals of interest expense on various uncertain tax positions during fiscal 2013 for matters involving jurisdictions where interest is not assessed. | |||||||||||||
It is reasonably possible that the amount of the unrecognized tax benefit with respect to certain unrecognized tax positions will increase or decrease during the next 12 months; however, the Company does not expect the change to have a material effect on its results of operations or its financial position. | |||||||||||||
The Company files U.S. federal income tax return, as well as income tax returns in various state and foreign jurisdictions. For the U.S. federal income tax returns and most state tax returns, tax years following fiscal 2001 remain subject to examination as a result of the generation of net operating loss carry-forwards. The statutes of limitations with respect to the foreign jurisdictions in which the Company files vary from jurisdiction to jurisdiction and range from 4 to 6 years. | |||||||||||||
As a result of committing to certain capital investments and employment levels, income from operations in Singapore and Malaysia is subject to reduced tax rates, and in some cases income from operations in Malaysia is wholly exempt from taxes. Malaysia, is wholly tax exempt. In connection with Singapore operations, the Company has been granted a decreased effective tax rate of five percent in that jurisdiction until February 1, 2020 subject to the fulfillment of certain continuing conditions. In fiscal 2013, 2012, and 2011, the preferential rate reduced income tax expense by approximately $9.6 million or $0.13 per share, $22.1 million or $0.30 per share and $21.1 million or $0.29 per share, respectively. |
OTHER_FINANCIAL_DATA_Notes
OTHER FINANCIAL DATA (Notes) (USD $) | 12 Months Ended | ||||||||||||||||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 | ||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' | ' | ||||||||||||||
Selling, General and Administrative Incentive Compensation Expense | $17,194 | [1] | $21,988 | [1] | $24,264 | [1] | |||||||||||
OTHER FINANCIAL DATA | ' | ' | ' | ||||||||||||||
OTHER FINANCIAL DATA | |||||||||||||||||
The following table reflects other financial data for fiscal 2013, 2012, and 2011: | |||||||||||||||||
Fiscal | |||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||||||
Selling, general and administrative incentive compensation expense (1) | $ | 17,194 | $ | 21,988 | $ | 24,264 | |||||||||||
Rent expense | $ | 7,765 | $ | 7,202 | $ | 7,729 | |||||||||||
Warranty and retrofit expense | $ | 711 | $ | 3,726 | $ | 3,720 | |||||||||||
(1) Incentive compensation expense is based upon applicable fiscal year operating income. | |||||||||||||||||
Operating Leases, Rent Expense | 7,765 | 7,202 | 7,729 | ||||||||||||||
Warranty and Retrofit Expense | $711 | $3,726 | $3,720 | ||||||||||||||
[1] | Incentive compensation expense is based upon applicable fiscal year operating income. |
SEGMENT_INFORMATION
SEGMENT INFORMATION | 12 Months Ended | ||||||||||||
Sep. 28, 2013 | |||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||
SEGMENT INFORMATION | ' | ||||||||||||
SEGMENT INFORMATION | |||||||||||||
The Company operates two reportable segments: Equipment and Expendable Tools. The Equipment segment manufactures and sells a line of ball bonders and heavy wire wedge bonders that are sold to semiconductor device manufacturers, their outsourced semiconductor assembly and test subcontractors, other electronics manufacturers and automotive electronics suppliers. The Company also services, maintains, repairs and upgrades its equipment. The Expendable Tools segment manufactures and sells a variety of expendable tools for a broad range of semiconductor packaging applications. | |||||||||||||
The following table reflects operating information by segment for fiscal 2013, 2012, and 2011: | |||||||||||||
Fiscal | |||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||
Net revenue: | |||||||||||||
Equipment | $ | 472,567 | $ | 727,082 | $ | 759,331 | |||||||
Expendable Tools | 62,371 | 63,941 | 71,070 | ||||||||||
Net revenue | 534,938 | 791,023 | 830,401 | ||||||||||
Cost of sales : | |||||||||||||
Equipment | 261,270 | 397,210 | 412,914 | ||||||||||
Expendable Tools | 26,723 | 26,423 | 29,578 | ||||||||||
Cost of sales | 287,993 | 423,633 | 442,492 | ||||||||||
Gross profit : | |||||||||||||
Equipment | 211,297 | 329,872 | 346,417 | ||||||||||
Expendable Tools | 35,648 | 37,518 | 41,492 | ||||||||||
Gross profit | 246,945 | 367,390 | 387,909 | ||||||||||
Operating expenses: | |||||||||||||
Equipment | 158,306 | 164,081 | 189,631 | ||||||||||
Expendable Tools | 22,833 | 24,083 | 28,218 | ||||||||||
Operating expenses | 181,139 | 188,164 | 217,849 | ||||||||||
Income from operations: | |||||||||||||
Equipment | 52,991 | 165,791 | 156,786 | ||||||||||
Expendable Tools | 12,815 | 13,435 | 13,274 | ||||||||||
Income from operations | $ | 65,806 | $ | 179,226 | $ | 170,060 | |||||||
The following tables reflect assets by segment, capital expenditures and depreciation expense as of and for fiscal 2013, 2012, and 2011: | |||||||||||||
As of | |||||||||||||
(in thousands) | September 28, 2013 | September 29, 2012 | October 1, 2011 | ||||||||||
Segment assets: | |||||||||||||
Equipment (1) | $ | 764,793 | $ | 746,636 | $ | 639,149 | |||||||
Expendable Tools (1) | 98,201 | 68,973 | 89,242 | ||||||||||
Total assets | $ | 862,994 | $ | 815,609 | $ | 728,391 | |||||||
-1 | Increase in the Company's Equipment segment and increase in Expendable Tools from fiscal 2012 to 2013 were due to allocation, based upon fiscal year net revenue, of non-segment specific corporate assets. Corporate assets include: cash, cash equivalents, restricted cash, short-term investments, deferred income tax assets and other assets. | ||||||||||||
Fiscal | |||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||
Capital expenditures: | |||||||||||||
Equipment | $ | 11,704 | $ | 5,318 | $ | 4,229 | |||||||
Expendable Tools | 5,468 | 1,584 | 3,459 | ||||||||||
Capital expenditures | $ | 17,172 | $ | 6,902 | $ | 7,688 | |||||||
Fiscal | |||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||
Depreciation expense | |||||||||||||
Equipment | $ | 6,936 | $ | 5,745 | $ | 5,955 | |||||||
Expendable Tools | 2,375 | 2,342 | 2,257 | ||||||||||
Depreciation expense | $ | 9,311 | $ | 8,087 | $ | 8,212 | |||||||
Geographic information | |||||||||||||
The following tables reflect destination sales to unaffiliated customers by country and long-lived assets by country for fiscal 2013, 2012, and 2011: | |||||||||||||
Fiscal | |||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||
Destination sales to unaffiliated customers: | |||||||||||||
Taiwan | $ | 150,271 | $ | 251,128 | $ | 240,390 | |||||||
China | 124,272 | 160,573 | 132,933 | ||||||||||
Korea | 36,949 | 71,552 | 114,130 | ||||||||||
Singapore | 35,833 | 23,045 | 33,503 | ||||||||||
Philippines | 30,257 | 33,715 | 16,806 | ||||||||||
Hong Kong | 28,911 | 76,964 | 104,481 | ||||||||||
Malaysia | 23,799 | 39,447 | 46,831 | ||||||||||
Japan | 17,680 | 24,755 | 28,747 | ||||||||||
United States | 14,652 | 13,433 | 17,955 | ||||||||||
Malta | 9,552 | 6,089 | 10,009 | ||||||||||
Thailand | 9,143 | 21,828 | 19,539 | ||||||||||
Germany | 5,822 | 7,319 | 9,217 | ||||||||||
Vietnam | 4,639 | 10,019 | 5,715 | ||||||||||
All other | 43,158 | 51,156 | 50,145 | ||||||||||
Total destination sales to unaffiliated customers | $ | 534,938 | $ | 791,023 | $ | 830,401 | |||||||
Fiscal | |||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||
Long-lived assets: | |||||||||||||
Singapore | $ | 87,104 | $ | 67,060 | $ | 74,130 | |||||||
United States | 7,525 | 14,193 | 13,043 | ||||||||||
China | 6,718 | 4,438 | 4,470 | ||||||||||
Israel | 5,674 | 8,078 | 7,887 | ||||||||||
Switzerland | 252 | 6,101 | 6,522 | ||||||||||
All other | 1,333 | 2,423 | 2,498 | ||||||||||
Total long-lived assets | $ | 108,606 | $ | 102,293 | $ | 108,550 | |||||||
COMMITMENTS_CONTINGENCIES_AND_
COMMITMENTS, CONTINGENCIES AND CONCENTRATIONS (Notes) | 12 Months Ended | ||||||||||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ' | ||||||||||||||||||||||||
COMMITMENTS, CONTINGENCIES AND CONCENTRATIONS | ' | ||||||||||||||||||||||||
COMMITMENTS, CONTINGENCIES AND CONCENTRATIONS | |||||||||||||||||||||||||
Agreement to Develop and Lease | |||||||||||||||||||||||||
On May 7, 2012, Pte entered into the ADL and a Lease Agreement with DBS Trustee Limited as trustee of the Landlord. Pursuant to the ADL, the Landlord agreed to develop a building at Lot 17622A Pt Mukim 18 at Serangoon North Avenue 5 (the “Building”) and Pte agreed to lease from the Landlord 198,134 square feet (the “Initial Premises”), representing approximately 69% of the Building. The Building is expected to be completed and ready for occupancy in the first quarter of fiscal 2014. | |||||||||||||||||||||||||
Warranty Expense | |||||||||||||||||||||||||
The Company's equipment is generally shipped with a one-year warranty against manufacturing defects. The Company establishes reserves for estimated warranty expense when revenue for the related equipment is recognized. The reserve for estimated warranty expense is based upon historical experience and management's estimate of future warranty costs. | |||||||||||||||||||||||||
The following table reflects the reserve for product warranty activity for fiscal 2013, 2012, and 2011: | |||||||||||||||||||||||||
Fiscal | |||||||||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||||||||||||||
Reserve for product warranty, beginning of period | $ | 2,412 | $ | 2,245 | $ | 2,657 | |||||||||||||||||||
Provision for product warranty | 1,093 | 3,521 | 2,914 | ||||||||||||||||||||||
Product warranty costs paid | (2,311 | ) | (3,354 | ) | (3,326 | ) | |||||||||||||||||||
Reserve for product warranty, end of period | $ | 1,194 | $ | 2,412 | $ | 2,245 | |||||||||||||||||||
Other Commitments and Contingencies | |||||||||||||||||||||||||
The following table reflects obligations not reflected on the Consolidated Balance Sheet as of September 28, 2013: | |||||||||||||||||||||||||
Payments due by fiscal year | |||||||||||||||||||||||||
(in thousands) | Total | 2014 | 2015 | 2016 | 2017 | thereafter | |||||||||||||||||||
Inventory purchase obligation (1) | $ | 57,229 | $ | 57,229 | $ | — | $ | — | $ | — | $ | — | |||||||||||||
Operating lease obligations (2) | 31,211 | 3,700 | 3,380 | 2,761 | 2,364 | 19,006 | |||||||||||||||||||
Total | $ | 88,440 | $ | 60,929 | $ | 3,380 | $ | 2,761 | $ | 2,364 | $ | 19,006 | |||||||||||||
-1 | The Company orders inventory components in the normal course of its business. A portion of these orders are non-cancelable and a portion may have varying penalties and charges in the event of cancellation. | ||||||||||||||||||||||||
-2 | The Company has minimum rental commitments under various leases (excluding taxes, insurance, maintenance and repairs, which are also paid by the Company) primarily for various facility and equipment leases, which expire periodically through 2023 (not including lease extension options, if applicable). | ||||||||||||||||||||||||
Pursuant to ASC No. 840, Leases, for lessee's involvement in asset construction, the Company is considered the owner of the Building during the construction phase of the ADL. As of September 28, 2013, the Company has recorded a financing obligation of $19.4 million related to the Building and is expected to record an additional $0.6 million over the construction term, which is expected to be completed in the next twelve months. This financing obligation is not reflected in the table above. | |||||||||||||||||||||||||
Under the lease agreement contemplated by the ADL, (the “Lease Agreement”), the term for the rental of the Initial Premises is expected to be 10 years (the “Initial Term”). Pte will have the option to renew for two additional ten-year terms. The combined annual rent and service charge for the Initial Term will range between approximately $4.0 to $5.0 million Singapore dollars. Subject to renting a minimum amount of space, Pte will have a right of first refusal for all space that becomes available in the Building, and the Landlord has agreed to make available a certain amount of additional space for rental at Pte's option which may be exercised at certain points during the second half of the Initial Term. Subject to renting a minimum amount of space for a certain period, Pte will have partial surrender rights. In addition, Pte will have termination rights after renting the Initial Premises for a certain period of time. The Lease Agreement is not in effect as of the date of this report and is not reflected in the above table. | |||||||||||||||||||||||||
Concentrations | |||||||||||||||||||||||||
The following tables reflect significant customer concentrations as a percentage of net revenue for fiscal 2013, 2012, and 2011: | |||||||||||||||||||||||||
Fiscal | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Siliconware Precision Industries Ltd. | 11 | % | 14.9 | % | * | ||||||||||||||||||||
Advanced Semiconductor Engineering | * | 22.4 | % | 21.8 | % | ||||||||||||||||||||
* Represents less than 10% of net revenue | |||||||||||||||||||||||||
The following table reflects significant customer concentrations as a percentage of total accounts receivable as of September 28, 2013 and September 29, 2012: | |||||||||||||||||||||||||
As of | |||||||||||||||||||||||||
September 28, 2013 | September 29, 2012 | ||||||||||||||||||||||||
Siliconware Precision Industries Ltd. | 19.5 | % | 31 | % | |||||||||||||||||||||
STATS ChipPAC Ltd | 14.5 | % | * | ||||||||||||||||||||||
Haoseng Industrial Co., Ltd | 11.9 | % | 15 | % | |||||||||||||||||||||
* Represents less than 10% of total accounts receivable |
SELECTED_QUARTERLY_FINANCIAL_R
SELECTED QUARTERLY FINANCIAL RESULTS (Notes) | 12 Months Ended | |||||||||||||||||||
Sep. 28, 2013 | ||||||||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | |||||||||||||||||||
SELECTED QUARTERLY FINANCIAL RESULTS | ' | |||||||||||||||||||
SELECTED QUARTERLY FINANCIAL DATA (unaudited) | ||||||||||||||||||||
The following table reflects selected quarterly financial data for fiscal 2013 and 2012: | ||||||||||||||||||||
Fiscal 2013 for the Quarter Ended | ||||||||||||||||||||
(in thousands, except per share amounts) | 29-Dec | 30-Mar | 29-Jun | 28-Sep | Fiscal 2013 | |||||||||||||||
Net revenue | $ | 114,039 | $ | 106,110 | $ | 141,181 | $ | 173,608 | $ | 534,938 | ||||||||||
Gross profit | 51,525 | 48,820 | 65,914 | 80,686 | 246,945 | |||||||||||||||
Income from operations | 4,205 | 8,190 | 18,867 | 34,544 | 65,806 | |||||||||||||||
Provision for income taxes | 775 | 1,041 | 247 | 5,247 | 7,310 | |||||||||||||||
Net income | $ | 3,604 | $ | 7,336 | $ | 18,887 | $ | 29,531 | $ | 59,358 | ||||||||||
Net income per share (1): | ||||||||||||||||||||
Basic | $ | 0.05 | $ | 0.1 | $ | 0.25 | $ | 0.39 | $ | 0.79 | ||||||||||
Diluted | $ | 0.05 | $ | 0.1 | $ | 0.25 | $ | 0.39 | $ | 0.78 | ||||||||||
Weighted average shares outstanding: | ||||||||||||||||||||
Basic | 74,852 | 75,166 | 75,231 | 75,279 | 75,132 | |||||||||||||||
Diluted | 76,209 | 76,553 | 76,473 | 76,565 | 76,190 | |||||||||||||||
Fiscal 2012 for the Quarter Ended | ||||||||||||||||||||
(in thousands, except per share amounts) | 31-Dec | 31-Mar | 30-Jun | September 29 (2) | Fiscal 2012 | |||||||||||||||
Net revenue | $ | 120,024 | $ | 146,308 | $ | 255,525 | $ | 269,166 | $ | 791,023 | ||||||||||
Gross profit | 55,276 | 66,687 | 122,443 | 122,984 | 367,390 | |||||||||||||||
Income from operations | 12,376 | 20,242 | 76,276 | 70,332 | 179,226 | |||||||||||||||
Provision for income taxes | 1,977 | 1,616 | 6,847 | 3,231 | 13,671 | |||||||||||||||
Net income | $ | 8,507 | $ | 16,617 | $ | 68,174 | $ | 67,282 | $ | 160,580 | ||||||||||
Net income per share (1): | ||||||||||||||||||||
Basic | $ | 0.12 | $ | 0.23 | $ | 0.92 | $ | 0.91 | $ | 2.17 | ||||||||||
Diluted | $ | 0.11 | $ | 0.22 | $ | 0.9 | $ | 0.89 | $ | 2.13 | ||||||||||
Weighted average shares outstanding: | ||||||||||||||||||||
Basic | 73,540 | 73,825 | 74,067 | 74,116 | 73,887 | |||||||||||||||
Diluted | 74,628 | 75,553 | 75,994 | 75,942 | 75,502 | |||||||||||||||
-1 | EPS for the year may not equal the sum of quarterly EPS due to changes in weighted share calculations. | |||||||||||||||||||
-2 | Includes approximately $7.5 million of income tax expense associated with additional tax exposure in Asia which was subsequently reversed in September 2012. |
Schedule_IIValuation_and_Quali
Schedule II-Valuation and Qualifying Accounts | 12 Months Ended | ||||||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||||||
Valuation and Qualifying Accounts [Abstract] | ' | ||||||||||||||||||||
Schedule II-Valuation and Qualifying Accounts | ' | ||||||||||||||||||||
KULICKE AND SOFFA INDUSTRIES, INC. | |||||||||||||||||||||
Schedule II-Valuation and Qualifying Accounts | |||||||||||||||||||||
Fiscal 2013: | Beginning of period | Charged to Costs and Expenses | Other Additions | Other Deductions | End of period | ||||||||||||||||
Allowance for doubtful accounts | $ | 937 | $ | (371 | ) | $ | — | $ | (62 | ) | -1 | $ | 504 | ||||||||
Inventory reserve | $ | 18,617 | $ | 3,561 | $ | — | $ | (8,058 | ) | -2 | $ | 14,120 | |||||||||
Valuation allowance for deferred taxes | $ | 25,015 | $ | 1,429 | -3 | $ | — | $ | — | $ | 26,444 | ||||||||||
Fiscal 2012: | |||||||||||||||||||||
Allowance for doubtful accounts | $ | 2,194 | $ | (1,239 | ) | $ | — | $ | (18 | ) | -1 | $ | 937 | ||||||||
Inventory reserve | $ | 15,099 | $ | 6,060 | $ | — | $ | (2,542 | ) | -2 | $ | 18,617 | |||||||||
Valuation allowance for deferred taxes | $ | 23,777 | $ | 1,261 | $ | — | $ | (23 | ) | $ | 25,015 | ||||||||||
Fiscal 2011: | |||||||||||||||||||||
Allowance for doubtful accounts | $ | 980 | $ | 1,219 | $ | — | $ | (5 | ) | -1 | $ | 2,194 | |||||||||
Inventory reserve | $ | 10,140 | $ | 6,701 | $ | — | $ | (1,742 | ) | -2 | $ | 15,099 | |||||||||
Valuation allowance for deferred taxes | $ | 27,856 | $ | (1,980 | ) | -3 | $ | (2,099 | ) | -4 | — | $ | 23,777 | ||||||||
-1 | Represents write-offs of specific accounts receivable. | ||||||||||||||||||||
-2 | Sale or scrap of previously reserved inventory. | ||||||||||||||||||||
-3 | Reflects increase/decrease in the valuation allowance primarily associated with the Company's U.S. and foreign net operating losses and other deferred tax assets. | ||||||||||||||||||||
-4 | Release of valuation allowance related to prior stock option exercises recorded to additional paid in capital. |
BASIS_OF_PRESENTATION_Policies
BASIS OF PRESENTATION (Policies) | 12 Months Ended |
Sep. 28, 2013 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Consolidation | ' |
These consolidated financial statements include the accounts of Kulicke and Soffa Industries, Inc. and its subsidiaries (the “Company”), with appropriate elimination of intercompany balances and transactions. | |
Fiscal Year | ' |
Fiscal Year | |
Each of the Company's first three fiscal quarters ends on the Saturday that is 13 weeks after the end of the immediately preceding fiscal quarter. The fourth quarter of each fiscal year ends on the Saturday closest to September 30th. In fiscal years consisting of 53 weeks, the fourth quarter will consist of 14 weeks. | |
Nature of Business | ' |
Nature of Business | |
The Company designs, manufactures and sells capital equipment and expendable tools as well as services, maintains, repairs and upgrades equipment, all used to assemble semiconductor devices. The Company's operating results depend upon the capital and operating expenditures of semiconductor manufacturers and outsourced semiconductor assembly and test providers (“OSATs”) worldwide which, in turn, depend on the current and anticipated market demand for semiconductors and products utilizing semiconductors. The semiconductor industry is highly volatile and experiences downturns and slowdowns which can have a severe negative effect on the semiconductor industry's demand for semiconductor capital equipment, including assembly equipment manufactured and sold by the Company and, to a lesser extent, expendable tools, including those sold by the Company. These downturns and slowdowns have in the past adversely affected the Company's operating results. The Company believes such volatility will continue to characterize the industry and the Company's operations in the future. | |
Use of Estimates | ' |
Use of Estimates | |
The preparation of consolidated financial statements requires management to make assumptions, estimates and judgments that affect the reported amounts of assets and liabilities, net revenue and expenses during the reporting periods, and disclosures of contingent assets and liabilities as of the date of the consolidated financial statements. On an ongoing basis, management evaluates estimates, including but not limited to, those related to accounts receivable, reserves for excess and obsolete inventory, carrying value and lives of fixed assets, goodwill and intangible assets, valuation allowances for deferred tax assets and deferred tax liabilities, repatriation of un-remitted foreign subsidiary earnings, equity-based compensation expense, restructuring, and warranties. Management bases its estimates on historical experience and on various other assumptions believed to be reasonable. As a result, management makes judgments regarding the carrying values of its assets and liabilities that are not readily apparent from other sources. Authoritative pronouncements, historical experience and assumptions are used as the basis for making estimates, and on an ongoing basis, management evaluates these estimates. Actual results may differ from these estimates under different assumptions or conditions. | |
Vulnerability to Certain Concentrations | ' |
Vulnerability to Certain Concentrations | |
Financial instruments which may subject the Company to concentrations of credit risk as of September 28, 2013 and September 29, 2012 consisted primarily of short-term investments and trade receivables. The Company manages credit risk associated with investments by investing its excess cash in highly rated debt instruments of the U.S. Government and its agencies, financial institutions, and corporations. The Company has established investment guidelines relative to diversification and maturities designed to maintain safety and liquidity. These guidelines are periodically reviewed and modified as appropriate. The Company does not have any exposure to sub-prime financial instruments or auction rate securities. | |
The Company's trade receivables result primarily from the sale of semiconductor equipment, related accessories and replacement parts, and expendable tools to a relatively small number of large manufacturers in a highly concentrated industry. Write-offs of uncollectible accounts have historically not been significant; however, the Company closely monitors its customers' financial strength to reduce the risk of loss. | |
The Company's products are complex and require raw materials, components and subassemblies having a high degree of reliability, accuracy and performance. The Company relies on subcontractors to manufacture many of these components and subassemblies and it relies on sole source suppliers for some important components and raw material inventory. | |
The Company's international operations are exposed to changes in foreign currency exchange rates due to transactions denominated in currencies other than the location's functional currency. The Company is also exposed to foreign currency fluctuations that impact the remeasurement of net monetary assets of those operations whose functional currency, the U.S. dollar, differs from their respective local currencies, most notably in Israel, Malaysia, Singapore and Switzerland. In addition to net monetary remeasurement, the Company has exposures related to the translation of subsidiary financial statements from their functional currency, the local currency, into its reporting currency, the U.S. dollar, most notably in China, Taiwan, Japan and Germany. The Company's U.S. operations also have foreign currency exposure due to net monetary assets denominated in currencies other than the U.S. dollar. | |
Foreign Currency Translation | ' |
Foreign Currency Translation | |
The majority of the Company's business is transacted in U.S. dollars; however, the functional currencies of some of the Company's subsidiaries are their local currencies. In accordance with ASC No. 830, Foreign Currency Matters (“ASC 830”), for a subsidiary of the Company that has a functional currency other than the U.S. dollar, gains and losses resulting from the translation of the functional currency into U.S. dollars for financial statement presentation are not included in determining net income, but are accumulated in the cumulative translation adjustment account as a separate component of shareholders' equity (accumulated other comprehensive income (loss)). Under ASC 830, cumulative translation adjustments are not adjusted for income taxes as they relate to indefinite investments in non-U.S. subsidiaries. Gains and losses resulting from foreign currency transactions are included in the determination of net income. | |
Cash Equivalents | ' |
Cash Equivalents | |
The Company considers all highly liquid investments with original maturities of three months or less when purchased to be cash equivalents. Cash equivalents are measured at fair value based on level one measurement, or quoted market prices, as defined by ASC No. 820, Fair Value Measurements and Disclosures. As of September 28, 2013 and September 29, 2012, fair value approximated the cost basis for cash equivalents. | |
Investments | ' |
Investments | |
Investments, other than cash equivalents, are classified as “trading,” “available-for-sale” or “held-to-maturity,” in accordance with ASC No. 320, Investments-Debt & Equity Securities, and depending upon the nature of the investment, its ultimate maturity date in the case of debt securities, and management's intentions with respect to holding the securities. Investments classified as “trading” are reported at fair market value, with unrealized gains or losses included in earnings. Investments classified as “available-for-sale” are reported at fair market value, with net unrealized gains or losses reflected as a separate component of shareholders' equity (accumulated other comprehensive income (loss)). The fair market value of trading and available-for-sale securities is determined using quoted market prices at the balance sheet date. Investments classified as held-to-maturity are reported at amortized cost. Realized gains and losses are determined on the basis of specific identification of the securities sold. | |
Allowance for Doubtful Accounts | ' |
Allowance for Doubtful Accounts | |
The Company maintains allowances for doubtful accounts for estimated losses resulting from its customers' failure to make required payments. If the financial condition of the Company's customers were to deteriorate, resulting in an impairment of their ability to make payments, additional allowances may be required. The Company is also subject to concentrations of customers and sales to a few geographic locations, which could also impact the collectability of certain receivables. If global economic conditions deteriorate or political conditions were to change in some of the countries where the Company does business, it could have a significant impact on the results of operations, and the Company's ability to realize the full value of its accounts receivable. | |
Inventories | ' |
Inventories | |
Inventories are stated at the lower of cost (on a first-in first-out basis) or market value. The Company generally provides reserves for obsolete inventory and for inventory considered to be in excess of demand. Demand is generally defined as 18 months future consumption for equipment, 24 months consumption for all spare parts, and 12 months consumption for expendable tools. Forecasted demand is based upon internal projections, historical sales volumes, customer order activity and a review of consumable inventory levels at customers' facilities. The Company communicates forecasts of its future demand to its suppliers and adjusts commitments to those suppliers accordingly. If required, the Company reserves the difference between the carrying value of its inventory and the lower of cost or market value, based upon assumptions about future demand, and market conditions. If actual market conditions are less favorable than projections, additional inventory reserves may be required. | |
Property, Plant and Equipment | ' |
Property, Plant and Equipment | |
Property, plant and equipment are carried at cost. The cost of additions and those improvements which increase the capacity or lengthen the useful lives of assets are capitalized while repair and maintenance costs are expensed as incurred. Depreciation and amortization are provided on a straight-line basis over the estimated useful lives as follows: buildings 25 years; machinery and equipment 3 to 10 years; and leasehold improvements are based on the shorter of the life of lease or life of asset. Purchased computer software costs related to business and financial systems are amortized over a five-year period on a straight-line basis. | |
Valuation of Long-Lived Assets | ' |
Valuation of Long-Lived Assets | |
In accordance with ASC No. 360, Property, Plant & Equipment ("ASC 360"), the Company's property, plant and equipment is tested for impairment based on undiscounted cash flows when triggering events occur, and if impaired, written-down to fair value based on either discounted cash flows or appraised values. ASC 360 also provides a single accounting model for long-lived assets to be disposed of by sale and establishes additional criteria that would have to be met to classify an asset as held for sale. The carrying amount of an asset or asset group is not recoverable to the extent it exceeds the sum of the undiscounted cash flows expected to result from the use and eventual disposition of the asset or asset group. Estimates of future cash flows used to test the recoverability of a long-lived asset or asset group must incorporate the entity's own assumptions about its use of the asset or asset group and must factor in all available evidence. | |
ASC 360 requires that long-lived assets be tested for recoverability whenever events or changes in circumstances indicate that their carrying amount may not be recoverable. Such events include significant under-performance relative to the expected historical or projected future operating results; significant changes in the manner of use of the assets; significant negative industry or economic trends; and significant changes in market capitalization. During the fiscal year ended September 28, 2013, no triggering events occurred. | |
Accounting for Impairment of Goodwill | ' |
Accounting for Impairment of Goodwill | |
The Company operates two reportable segments: Equipment and Expendable Tools. Goodwill was recorded in 2009 for the acquisition of Orthodyne Electronics Corporation ("Orthodyne"), which added wedge bonder products (also known as "reporting unit") to the Equipment business. | |
Accounting Standard Update 2011-08, Testing Goodwill for Impairment (“ASU 2011-08”), provides companies with the option to assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying value. If, after assessing the qualitative factors, a company determines that it is not more likely than not that the fair value of a reporting unit is less than its carrying value, then performing the two-step impairment test is unnecessary. However, if a company concludes otherwise, then it is required to perform the first step of the two-step goodwill impairment test. If the carrying value of a reporting unit exceeds its fair value, then a company is required to perform the second step of the two-step goodwill impairment test. | |
The Company chose to skip the qualitative assessment and proceed directly to performing the quantitative evaluation of the fair value of the goodwill of the reporting unit, to compare against the carrying value of the goodwill recorded in the books. If the fair value exceeds the carrying value, there is no impairment. Any excess carrying value is equal to the goodwill impairment charge. | |
As part of the annual evaluation, the Company performs an impairment test of its goodwill in the fourth quarter of each fiscal year to coincide with the completion of its annual forecasting and refreshing of its business outlook processes. On an ongoing basis, the Company monitors if a “triggering” event has occurred that may have the effect of reducing the fair value of a reporting unit below its respective carrying value. Adverse changes in expected operating results and/or unfavorable changes in other economic factors used to estimate fair values could result in a non-cash impairment charge in the future. | |
As of September 28, 2013, the Company concluded that the fair value of the reporting unit exceeded book value, and management does not believe that an impairment is probable at this time. The near term profitability forecast of the wedge bonder business unit is expected to be higher than that experienced in the prior year, and the expected improvement in profitability in future periods will sustain its carrying value. However, if the performance of the business unit does not meet or exceed those expectations, a future impairment could result for a portion or all of the goodwill valued at $41.5 million as of September 28, 2013. The quantification of any impairment would be dependent on the performance of the business unit, which inherently involves judgment as to assumptions about expected future cash flows and the impact of market conditions on those assumptions. Future events and changing market conditions may impact the assumptions as to prices, costs, growth rates or other factors that may result in changes in the estimates of future cash flows. Although the Company believes the assumptions that it has used in testing for impairment are reasonable, significant changes in any one of the assumptions could produce a significantly different result. Indicators of potential impairment that may lead the Company to perform interim goodwill impairment assessments include significant and unforeseen customer losses, a significant adverse change in the business climate, unanticipated competition or unforeseen changes in technology. | |
For further information on goodwill and other intangible assets, see Note 3 below. | |
Revenue Recognition | ' |
Revenue Recognition | |
In accordance with ASC No. 605, Revenue Recognition, the Company recognizes revenue when persuasive evidence of an arrangement exists, delivery has occurred or services have been rendered, the price is fixed or determinable, the collectability is reasonably assured, and equipment installation obligations have been completed and customer acceptance, when applicable, has been received or otherwise released from installation or customer acceptance obligations. If terms of the sale provide for a customer acceptance period, revenue is recognized upon the expiration of the acceptance period or customer acceptance, whichever occurs first. The Company’s standard terms are ex works (the Company’s factory), with title transferring to its customer at the Company’s loading dock or upon embarkation. The Company has a small percentage of sales with other terms, and revenue is recognized in accordance with the terms of the related customer purchase order. Revenue related to services is recognized upon performance of the services requested by a customer order. Revenue for extended maintenance service contracts with a term more than one month is recognized on a prorated straight-line basis over the term of the contract. | |
Shipping and handling costs billed to customers are recognized in net revenue. Shipping and handling costs paid by the Company are included in cost of sales. | |
Research and Development | ' |
Research and Development | |
The Company charges research and development costs associated with the development of new products to expense when incurred. In certain circumstances, pre-production machines which the Company intends to sell are carried as inventory until sold. | |
Income Taxes | ' |
Income Taxes | |
In accordance with ASC No. 740, Income Taxes, deferred income taxes are determined using the liability method. The Company records a valuation allowance to reduce its deferred tax assets to the amount it expects is more likely than not to be realized. While the Company has considered future taxable income and its ongoing tax planning strategies in assessing the need for the valuation allowance, if it were to determine that it would be able to realize its deferred tax assets in the future in excess of its net recorded amount, an adjustment to the deferred tax asset would increase income in the period such determination was made. Likewise, should the Company determine it would not be able to realize all or part of its net deferred tax assets in the future, an adjustment to the deferred tax asset would decrease income in the period such determination was made. | |
In accordance with ASC No. 740 Topic 10, Income Taxes, General (“ASC 740.10”), the Company accounts for uncertain tax positions taken or expected to be taken in its income tax return. Under ASC 740.10, the Company utilizes a two-step approach for evaluating uncertain tax positions. Step one, or recognition, requires a company to determine if the weight of available evidence indicates a tax position is more likely than not to be sustained upon audit, including resolution of related appeals or litigation processes, if any. Step two, or measurement, is based on the largest amount of benefit, which is more likely than not to be realized on settlement with the taxing authority. | |
Equity-Based Compensation | ' |
Equity-Based Compensation | |
The Company accounts for equity-based compensation under the provisions of ASC No. 718, Compensation - Stock Compensation (“ASC 718”). ASC 718 requires the recognition of the fair value of the equity-based compensation in net income. Compensation expense associated with market-based restricted stock is determined using a Monte-Carlo valuation model, and compensation expense associated with time-based and performance-based restricted stock is determined based on the number of shares granted and the fair value on the date of grant. The fair value of the Company's stock option awards are estimated using a Black-Scholes option valuation model. In addition, the calculation of equity-based compensation costs requires that the Company estimate the number of awards that will be forfeited during the vesting period. The fair value of equity-based awards is amortized over the vesting period of the award and the Company elected to use the straight-line method for awards granted after the adoption of ASC 718. | |
Earnings per Share | ' |
Earnings per Share | |
Earnings per share (“EPS”) are calculated in accordance with ASC No. 260, Earnings per Share. Basic EPS include only the weighted average number of common shares outstanding during the period. Diluted EPS includes the weighted average number of common shares and the dilutive effect of stock options, restricted stock and share unit awards and convertible subordinated notes outstanding during the period, when such instruments are dilutive. | |
In accordance with ASC No. 260.10.55, Earnings per Share - Implementation & Guidance, the Company treats all outstanding unvested share-based payment awards that contain rights to nonforfeitable dividends as participating in undistributed earnings with common shareholders. Awards of this nature are considered participating securities and the two-class method of computing basic and diluted EPS must be applied. | |
Prior Period Adjustment | ' |
Prior Period Adjustment | |
During the three months ended December 29, 2012, the Company identified a prior period adjustment of $1.1 million relating to the recognition of government grants that resulted in increased R&D expenses and a reduction of grants receivable. This error was corrected during the quarter ended December 29, 2012 and management deemed that the adjustment was not material to the previous fiscal year ended September 29, 2012. This amount impacted the operating results for the fiscal year ended September 28, 2013. | |
Recent Accounting Pronouncements | ' |
Recent Accounting Pronouncements | |
In January 2013, the Financial Accounting Standards Board (“FASB”) issued ASU 2013-01, Balance Sheet (Topic 210): Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities (“ASU 2013-01”). ASU 2013-01 contains no amendments to disclosure requirements. The amendments clarify that the scope of ASU 2011-11, Disclosures about Offsetting Assets and Liabilities, which introduced new disclosure requirements, applies to derivatives accounted for in accordance with Topic 815, Derivatives and Hedging, including bifurcated embedded derivatives, repurchase agreements and reverse repurchase agreements, and securities borrowing and securities lending transactions that are either offset in accordance with Section 210-20-45 or Section 815-10-45 or subject to an enforceable master netting arrangement or similar agreement. ASU 2013-01 is effective for fiscal years beginning on or after January 1, 2013 and interim periods within those annual periods. The Company believes adoption of this new guidance will not have a material impact on the Company's financial statements as these updates have an impact on presentation only. | |
In February 2013, the FASB issued ASU 2013-02, Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income (“ASU 2013-02”). ASU 2013-02 amended certain paragraphs in Comprehensive Income (Topic 220), the amendments require an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component. In addition, an entity is required to present, either on the face of the statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income but only if the amount reclassified is required under GAAP to be reclassified to net income in its entirety in the same reporting period. For other amounts that are not required under GAAP to be reclassified in their entirety to net income, an entity is required to cross-reference to other disclosures required under GAAP that provide additional detail about those amounts. ASU 2013-02 is effective prospectively for reporting periods beginning after December 15, 2012. The Company believes adoption of this new guidance will not have a material impact on the Company’s financial statements as these updates have an impact on presentation only. |
BALANCE_SHEET_COMPONENTS_Table
BALANCE SHEET COMPONENTS (Tables) | 12 Months Ended | ||||||||
Sep. 28, 2013 | |||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ||||||||
Components of significant balance sheet accounts | ' | ||||||||
The following tables reflect the components of significant balance sheet accounts as of September 28, 2013 and September 29, 2012: | |||||||||
As of | |||||||||
(in thousands) | September 28, 2013 | September 29, 2012 | |||||||
Short term investments, available-for-sale: | |||||||||
Deposits maturing within one year (1) | $ | 3,252 | $ | — | |||||
Inventories, net: | |||||||||
Raw materials and supplies | $ | 19,703 | $ | 26,660 | |||||
Work in process | 12,219 | 23,352 | |||||||
Finished goods | 20,333 | 27,599 | |||||||
52,255 | 77,611 | ||||||||
Inventory reserves | (14,120 | ) | (18,617 | ) | |||||
$ | 38,135 | $ | 58,994 | ||||||
Property, plant and equipment, net: | |||||||||
Land | $ | — | $ | 2,086 | |||||
Buildings and building improvements | 3,060 | 4,830 | |||||||
Leasehold improvements | 15,763 | 16,005 | |||||||
Data processing equipment and software | 24,549 | 23,819 | |||||||
Machinery, equipment, furniture and fixtures | 48,998 | 40,580 | |||||||
Construction in progress (2) | 19,396 | 3,219 | |||||||
111,766 | 90,539 | ||||||||
Accumulated depreciation (3) | (64,225 | ) | (62,098 | ) | |||||
$ | 47,541 | $ | 28,441 | ||||||
Accrued expenses and other current liabilities: | |||||||||
Wages and benefits | $ | 19,779 | $ | 18,734 | |||||
Accrued customer obligations (4) | 8,270 | 22,984 | |||||||
Commissions and professional fees | 2,640 | 2,776 | |||||||
Severance | 1,468 | 2,840 | |||||||
Other | 6,711 | 10,612 | |||||||
$ | 38,868 | $ | 57,946 | ||||||
-1 | All short-term investments were classified as available-for-sale and were measured at fair value based on level one measurement, or quoted market prices, as defined by ASC 820. As of September 28, 2013, fair value approximated the cost basis for short-term investments. The Company did not recognize any realized gains or losses on the sale of investments during fiscal 2013. | ||||||||
-2 | Pursuant to ASC No. 840, Leases, the Company is considered the owner of the building during the construction phase for the Agreement to Develop and Lease (the “ADL”) facility being developed by Mapletree Industrial Trust (the “Landlord”) in Singapore—see Note 12 below. The estimated construction costs incurred to date in relation to the relevant proportion of the Company's lease is recognized on the Consolidated Balance Sheet as at September 28, 2013 and September 29, 2012. Applicable ground lease expense of $0.5 million was accrued as of September 28, 2013. | ||||||||
-3 | The depreciation expense for the years ended September 28, 2013 and September 29, 2012 are $9.3 million and $8.1 million respectively. | ||||||||
-4 | Represents customer advance payments, customer credit program, accrued warranty expense and accrued retrofit costs. |
GOODWILL_AND_INTANGIBLE_ASSETS1
GOODWILL AND INTANGIBLE ASSETS (Tables) | 12 Months Ended | ||||||||||
Sep. 28, 2013 | |||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||
Net intangible assets | ' | ||||||||||
The following table reflects net intangible assets as of September 28, 2013 and September 29, 2012: | |||||||||||
As of | Average estimated | ||||||||||
(dollar amounts in thousands) | September 28, 2013 | September 29, 2012 | useful lives (in years) | ||||||||
Wedge bonder developed technology | $ | 33,200 | $ | 33,200 | 7 | ||||||
Accumulated amortization | (23,715 | ) | (18,973 | ) | |||||||
Net wedge bonder developed technology | 9,485 | 14,227 | |||||||||
Wedge bonder customer relationships | 19,300 | 19,300 | 5 | ||||||||
Accumulated amortization | (19,300 | ) | (15,440 | ) | |||||||
Net wedge bonder customer relationships | — | 3,860 | |||||||||
Wedge bonder trade name | 4,600 | 4,600 | 8 | ||||||||
Accumulated amortization | (2,876 | ) | (2,300 | ) | |||||||
Net wedge bonder trade name | 1,724 | 2,300 | |||||||||
Wedge bonder other intangible assets | 2,500 | 2,500 | 1.9 | ||||||||
Accumulated amortization | (2,500 | ) | (2,500 | ) | |||||||
Net wedge bonder other intangible assets | — | — | |||||||||
Net intangible assets | $ | 11,209 | $ | 20,387 | |||||||
Estimated annual amortization expense related to intangible assets | ' | ||||||||||
The following table reflects estimated annual amortization expense related to intangible assets as of September 28, 2013: | |||||||||||
As of | |||||||||||
(in thousands) | September 28, 2013 | ||||||||||
Fiscal 2014 | $ | 5,318 | |||||||||
Fiscal 2015 | 5,318 | ||||||||||
Fiscal 2016 | 573 | ||||||||||
Total amortization expense | $ | 11,209 | |||||||||
CASH_AND_CASH_EQUIVALENTS_Tabl
CASH AND CASH EQUIVALENTS (Tables) | 12 Months Ended | |||||||||||||||
Sep. 28, 2013 | ||||||||||||||||
Cash and Cash Equivalents [Abstract] | ' | |||||||||||||||
Cash, cash equivalents and short-term investments [Table Text Block] | ' | |||||||||||||||
Cash and cash equivalents consisted of the following as of September 28, 2013: | ||||||||||||||||
(dollar amounts in thousands) | Amortized | Unrealized | Unrealized | Estimated | ||||||||||||
Cost | Gains | Losses | Fair Value | |||||||||||||
Current assets: | ||||||||||||||||
Cash | $ | 113,295 | $ | — | $ | — | $ | 113,295 | ||||||||
Cash equivalents | ||||||||||||||||
Money market funds | 226,272 | — | — | 226,272 | ||||||||||||
Time deposits | 182,221 | — | — | 182,221 | ||||||||||||
Total cash and cash equivalents | 521,788 | — | — | 521,788 | ||||||||||||
Short-term investments | ||||||||||||||||
Time deposits | 3,252 | — | — | 3,252 | ||||||||||||
Total short-term investments | 3,252 | — | — | 3,252 | ||||||||||||
Total cash, cash equivalents and short-term investments | $ | 525,040 | $ | — | $ | — | $ | 525,040 | ||||||||
Cash and cash equivalents consisted of the following as of September 29, 2012: | ||||||||||||||||
(dollar amounts in thousands) | Amortized | Unrealized | Unrealized | Estimated | ||||||||||||
Cost | Gains | Losses | Fair Value | |||||||||||||
Current assets: | ||||||||||||||||
Cash | $ | 100,853 | $ | — | $ | — | $ | 100,853 | ||||||||
Cash equivalents | ||||||||||||||||
Money market funds | 279,940 | — | — | 279,940 | ||||||||||||
Time deposits | 59,451 | — | — | 59,451 | ||||||||||||
Total cash and cash equivalents | $ | 440,244 | $ | — | $ | — | $ | 440,244 | ||||||||
FAIR_VALUE_MEASUREMENTS_Tables
FAIR VALUE MEASUREMENTS (Tables) | 12 Months Ended | |||||||||||||||
Sep. 28, 2013 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
Fair value of financial assets and liabilities | ' | |||||||||||||||
The fair value of our financial assets and liabilities at September 28, 2013 were determined using the following inputs: | ||||||||||||||||
(dollar amounts in thousands) | Fair Value Measurements at Reporting Date Using | |||||||||||||||
Quoted Prices | Significant | Significant | ||||||||||||||
in Active | Other | Unobservable | ||||||||||||||
Markets for | Observable | Inputs | ||||||||||||||
Identical Assets | Inputs | |||||||||||||||
Total | (Level 1) | (Level 2) | (Level 3) | |||||||||||||
Assets: | ||||||||||||||||
Cash | $ | 113,295 | $ | 113,295 | $ | — | $ | — | ||||||||
Cash equivalents | ||||||||||||||||
Money market funds | 226,272 | 226,272 | — | — | ||||||||||||
Time deposits | 182,221 | 182,221 | — | — | ||||||||||||
Short-term investments | ||||||||||||||||
Time deposits | 3,252 | 3,252 | — | — | ||||||||||||
Total assets | $ | 525,040 | $ | 525,040 | $ | — | $ | — | ||||||||
The fair value of our financial assets and liabilities at September 29, 2012 were determined using the following inputs: | ||||||||||||||||
(dollar amounts in thousands) | Fair Value Measurements at Reporting Date Using | |||||||||||||||
Quoted Prices | Significant | Significant | ||||||||||||||
in Active | Other | Unobservable | ||||||||||||||
Markets for | Observable | Inputs | ||||||||||||||
Identical Assets | Inputs | |||||||||||||||
Total | (Level 1) | (Level 2) | (Level 3) | |||||||||||||
Assets: | ||||||||||||||||
Cash | $ | 100,853 | $ | 100,853 | $ | — | $ | — | ||||||||
Cash equivalents | ||||||||||||||||
Money market funds | 279,940 | 279,940 | — | — | ||||||||||||
Time deposits | 59,451 | 59,451 | — | — | ||||||||||||
Total assets | $ | 440,244 | $ | 440,244 | $ | — | $ | — | ||||||||
SHAREHOLDERS_EQUITY_AND_EMPLOY1
SHAREHOLDERS' EQUITY AND EMPLOYEE BENEFIT PLANS (Tables) | 12 Months Ended | ||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||||||
Companybs matching contributions to the Plan | ' | ||||||||||||||||
The following table reflects the Company’s matching contributions to the Plan during fiscal 2013 and 2012: | |||||||||||||||||
Fiscal | |||||||||||||||||
(in thousands) | 2013 | 2012 | |||||||||||||||
Cash | $ | 1,478 | $ | 1,707 | |||||||||||||
Accumulated other comprehensive income reflected on the Consolidated Balance Sheets | ' | ||||||||||||||||
The following table reflects accumulated other comprehensive income reflected on the Consolidated Balance Sheets as of September 28, 2013 and September 29, 2012: | |||||||||||||||||
As of | |||||||||||||||||
(in thousands) | September 28, 2013 | September 29, 2012 | |||||||||||||||
Gain from foreign currency translation adjustments | $ | 4,182 | $ | 2,996 | |||||||||||||
Unrecognized actuarial gain, Switzerland pension plan, net of tax | (227 | ) | (227 | ) | |||||||||||||
Switzerland pension plan curtailment | (337 | ) | (388 | ) | |||||||||||||
Accumulated other comprehensive income | $ | 3,618 | $ | 2,381 | |||||||||||||
Equity-based compensation expense | ' | ||||||||||||||||
The following table reflects total equity-based compensation expense, which includes restricted stock, stock options and common stock, included in the Consolidated Statements of Operations for fiscal 2013, 2012, and 2011: | |||||||||||||||||
Fiscal | |||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||||||
Cost of sales | $ | 295 | $ | 312 | $ | 213 | |||||||||||
Selling, general and administrative | 8,457 | 6,602 | 5,671 | ||||||||||||||
Research and development | 1,918 | 1,777 | 1,328 | ||||||||||||||
Total equity-based compensation expense | $ | 10,670 | $ | 8,691 | $ | 7,212 | |||||||||||
The following table reflects equity-based compensation expense, by type of award, for fiscal 2013, 2012, and 2011: | |||||||||||||||||
Fiscal | |||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||||||
Market-based restricted stock | $ | 4,135 | $ | 2,929 | $ | 1,961 | |||||||||||
Time-based restricted stock | 5,545 | 4,732 | 4,003 | ||||||||||||||
Performance-based restricted stock | 107 | 269 | 442 | ||||||||||||||
Stock options | 43 | 41 | 86 | ||||||||||||||
Common stock | 840 | 720 | 720 | ||||||||||||||
Total equity-based compensation expense | $ | 10,670 | $ | 8,691 | $ | 7,212 | |||||||||||
Employee market-based restricted stock activity | ' | ||||||||||||||||
The following table reflects employee market-based restricted stock activity for fiscal 2013, 2012, and 2011: | |||||||||||||||||
Number of shares (in thousands) | Unrecognized compensation expense (in thousands) | Average remaining service period (in years) | Weighted average grant date fair value per share | ||||||||||||||
Market-based restricted stock outstanding as of October 2, 2010 | 314 | $ | 667 | 1.3 | |||||||||||||
Granted | 442 | $ | 11.32 | ||||||||||||||
Forfeited or expired | (165 | ) | |||||||||||||||
Vested | (104 | ) | |||||||||||||||
Market-based restricted stock outstanding as of October 2, 2011 | 487 | $ | 3,674 | 1.9 | |||||||||||||
Granted | 437 | $ | 12.56 | ||||||||||||||
Forfeited or expired | (10 | ) | |||||||||||||||
Market-based restricted stock outstanding as of September 29, 2012 | 914 | 6,175 | 1.5 | ||||||||||||||
Granted | 344 | $ | 13.89 | ||||||||||||||
Forfeited or expired | (49 | ) | |||||||||||||||
Vested | (124 | ) | |||||||||||||||
Market-based restricted stock outstanding as of September 28, 2013 | 1,085 | $ | 5,913 | 1.1 | |||||||||||||
Employee time-based restricted stock activity | ' | ||||||||||||||||
The following table reflects employee time-based restricted stock activity for fiscal 2013, 2012, and 2011: | |||||||||||||||||
Number of shares (in thousands) | Unrecognized compensation expense (in thousands) | Average remaining service period (in years) | Weighted average grant date fair value per share | ||||||||||||||
Time-based restricted stock outstanding as of October 2, 2010 | 1,707 | $ | 5,683 | 1.4 | |||||||||||||
Granted | 714 | $ | 6.56 | ||||||||||||||
Forfeited or expired | (259 | ) | |||||||||||||||
Vested | (563 | ) | |||||||||||||||
Time-based restricted stock outstanding as of October 1, 2011 | 1,599 | $ | 6,096 | 1.7 | |||||||||||||
Granted | 695 | $ | 9.15 | ||||||||||||||
Forfeited or expired | (76 | ) | |||||||||||||||
Vested | (686 | ) | |||||||||||||||
Time-based restricted stock outstanding as of September 29, 2012 | 1,532 | $ | 7,070 | 1.4 | |||||||||||||
Granted | 620 | $ | 10.59 | ||||||||||||||
Forfeited or expired | (132 | ) | |||||||||||||||
Vested | (804 | ) | |||||||||||||||
Time-based restricted stock outstanding as of September 28, 2013 | 1,216 | $ | 6,028 | 1.2 | |||||||||||||
Schedule Of Performance Based Restricted Stock Activity [Table Text Block] | ' | ||||||||||||||||
The following table reflects employee performance-based restricted stock activity for fiscal 2013, 2012, and 2011: | |||||||||||||||||
Number of shares (in thousands) | Unrecognized compensation expense (in thousands) | Average remaining service period (in years) | |||||||||||||||
Performance-based restricted stock outstanding as of October 2, 2010 | 626 | 228 | 0.2 | ||||||||||||||
Forfeited or expired | (275 | ) | |||||||||||||||
Vested | (182 | ) | |||||||||||||||
Performance-based restricted stock outstanding as of October 1, 2011 | 169 | — | — | ||||||||||||||
Vested | (169 | ) | |||||||||||||||
Performance-based restricted stock outstanding as of September 29, 2012 | — | — | — | ||||||||||||||
Granted | 57 | ||||||||||||||||
Performance-based restricted stock outstanding as of September 28, 2013 | 57 | 550 | 2.2 | ||||||||||||||
Employee stock option activity | ' | ||||||||||||||||
The following table reflects employee stock option activity for fiscal 2013, 2012, and 2011: | |||||||||||||||||
Number of shares (in thousands) | Weighted average exercise price | Average remaining contractual life (in years) | Aggregate intrinsic value (in thousands) | ||||||||||||||
Options outstanding as of October 2, 2010 | 3,310 | 9.8 | |||||||||||||||
Granted | — | — | |||||||||||||||
Exercised | (1,216 | ) | 7.5 | 3,498 | |||||||||||||
Forfeited or expired | (585 | ) | 13.79 | ||||||||||||||
Options outstanding as of October 1, 2011 | 1,509 | 10.11 | |||||||||||||||
Granted | — | — | |||||||||||||||
Exercised | (374 | ) | 7.7 | 829 | |||||||||||||
Forfeited or expired | (432 | ) | 13.35 | ||||||||||||||
Options outstanding as of September 29, 2012 | 703 | $ | 9.4 | ||||||||||||||
Exercised | (101 | ) | 292 | ||||||||||||||
Forfeited or expired | (40 | ) | |||||||||||||||
Options outstanding as of September 28, 2013 | 562 | ||||||||||||||||
Options vested and expected to vest as of September 28, 2013 | 560 | $ | 9.57 | 1.9 | 1,210 | ||||||||||||
Options exercisable as of September 28, 2013 | 555 | $ | 9.6 | 1.9 | |||||||||||||
In the money exercisable options as of September 28, 2013 | 339 | $ | 1,189 | ||||||||||||||
Outstanding and exercisable employee stock options | ' | ||||||||||||||||
The following table reflects outstanding and exercisable employee stock options as of September 28, 2013: | |||||||||||||||||
Options Outstanding | Options Exercisable | ||||||||||||||||
Range of exercise prices | Options outstanding (in thousands) | Weighted average remaining contractual life (in years) | Weighted average exercise price | Options exercisable (in thousands) | Weighted average exercise price | ||||||||||||
3.06 - 7.08 | 29 | 5.75 | $ | 5.48 | 24 | $ | 5.29 | ||||||||||
7.14 - 7.31 | 85 | 1.1 | 7.14 | 85 | 7.14 | ||||||||||||
8.43 - 8.74 | 230 | 3.62 | 8.63 | 228 | 8.63 | ||||||||||||
9.64 - 12.05 | 218 | 0.05 | 12.03 | 218 | 12.03 | ||||||||||||
562 | 1.97 | $ | 9.56 | 555 | $ | 9.6 | |||||||||||
Common stock issued to non-employee directors | ' | ||||||||||||||||
The following table reflects shares of common stock issued to non-employee directors and the corresponding fair value for fiscal 2013, 2012, and 2011: | |||||||||||||||||
Fiscal | |||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||||||
Number of commons shares issued | 74 | 78 | 89 | ||||||||||||||
Fair value based upon market price at time of issue | $ | 908 | $ | 720 | $ | 720 | |||||||||||
Non-employee director stock option activity | ' | ||||||||||||||||
The following table reflects non-employee director stock option activity for fiscal 2013, 2012, and 2011: | |||||||||||||||||
Number of shares (in thousands) | Weighted average exercise price | Average remaining contractual life (in years) | Aggregate intrinsic value (in thousands) | ||||||||||||||
Options outstanding as of October 2, 2010 | 348 | 11.25 | |||||||||||||||
Exercised | (30 | ) | 6.16 | 170 | |||||||||||||
Forfeited or expired | (60 | ) | 11.5 | ||||||||||||||
Options outstanding as of October 1, 2011 | 258 | 11.78 | |||||||||||||||
Exercised | (63 | ) | 6.89 | 300 | |||||||||||||
Forfeited or expired | (60 | ) | 17.62 | ||||||||||||||
Options outstanding as of September 29, 2012 | 135 | $ | 11.45 | ||||||||||||||
Options outstanding as of September 28, 2013 | 135 | $ | 11.45 | 1.3 | $ | 76 | |||||||||||
Options vested and expected to vest as of September 28, 2013 | 135 | $ | 11.45 | 1.3 | $ | 76 | |||||||||||
Options exercisable as of September 28, 2013 | 135 | $ | 11.45 | 1.3 | |||||||||||||
In the money exercisable options as of September 28, 2013 | 65 | 76 | |||||||||||||||
Defined benefits pension obligations and pension expenses | ' | ||||||||||||||||
The following table reflects the Company's defined benefits pension obligations as of September 28, 2013 and September 29, 2012 : | |||||||||||||||||
As of | |||||||||||||||||
(in thousands) | September 28, 2013 | September 29, 2012 | |||||||||||||||
Switzerland pension obligation | $ | 388 | $ | 2,506 | |||||||||||||
Taiwan pension obligation | 1,323 | 1,323 | |||||||||||||||
Total pension obligation | $ | 1,711 | $ | 3,829 | |||||||||||||
EARNINGS_PER_SHARE_Tables
EARNINGS PER SHARE (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||||||||||
Reconciliation of shares used in the basic and diluted net income per share computation | ' | ||||||||||||||||||||||||
The following tables reflect a reconciliation of the shares used in the basic and diluted net income per share computation for fiscal 2013, 2012, and 2011: | |||||||||||||||||||||||||
Fiscal | |||||||||||||||||||||||||
(in thousands, except per share) | 2013 | 2012 | 2011 | ||||||||||||||||||||||
Basic | Diluted | Basic | Diluted | Basic | Diluted | ||||||||||||||||||||
NUMERATOR: | |||||||||||||||||||||||||
Net income | $ | 59,358 | $ | 59,358 | $ | 160,580 | $ | 160,580 | $ | 127,610 | $ | 127,610 | |||||||||||||
Less: income applicable to participating securities | — | — | (5 | ) | (5 | ) | (716 | ) | (716 | ) | |||||||||||||||
Net income applicable to common shareholders | $ | 59,358 | $ | 59,358 | $ | 160,575 | $ | 160,575 | $ | 126,894 | $ | 126,894 | |||||||||||||
DENOMINATOR: | |||||||||||||||||||||||||
Weighted average shares outstanding - Basic | 75,132 | 75,132 | 73,887 | 73,887 | 71,820 | 71,820 | |||||||||||||||||||
Stock options | 110 | 660 | 442 | ||||||||||||||||||||||
Time-based restricted stock | 512 | 813 | 846 | ||||||||||||||||||||||
Market-based restricted stock | 436 | 142 | 233 | ||||||||||||||||||||||
Weighted average shares outstanding - Diluted (1) | 76,190 | 75,502 | 73,341 | ||||||||||||||||||||||
EPS: | |||||||||||||||||||||||||
Net income per share - Basic | $ | 0.79 | $ | 0.79 | $ | 2.17 | $ | 2.17 | $ | 1.77 | $ | 1.77 | |||||||||||||
Effect of dilutive shares | (0.01 | ) | $ | (0.04 | ) | $ | (0.04 | ) | |||||||||||||||||
Net income per share - Diluted | $ | 0.78 | $ | 2.13 | $ | 1.73 | |||||||||||||||||||
-1 | There were no potentially dilutive shares excluded for fiscal 2013. Fiscal 2012 and 2011 exclude 0.1 million and 0.4 million dilutive participating securities, respectively, as the income attributable to these shares was not included in EPS. |
INCOME_TAXES_Tables
INCOME TAXES (Tables) | 12 Months Ended | ||||||||||||
Sep. 28, 2013 | |||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||
Income from continuing operations by location, the provision (benefit) for income taxes and the effective tax rate | ' | ||||||||||||
The following table reflects income from continuing operations by location, the provision (benefit) for income taxes and the effective tax rate for fiscal 2013, 2012, and 2011: | |||||||||||||
Fiscal | |||||||||||||
(dollar amounts in thousands) | 2013 | 2012 | 2011 | ||||||||||
United States operations | $ | (4,340 | ) | $ | (6,111 | ) | $ | 33,531 | |||||
Foreign operations | 71,008 | 180,362 | 128,897 | ||||||||||
Income from operations before tax | 66,668 | 174,251 | 162,428 | ||||||||||
Provision for income taxes | 7,310 | 13,671 | 34,818 | ||||||||||
Net income | $ | 59,358 | $ | 160,580 | $ | 127,610 | |||||||
Effective tax rate | 11 | % | 7.8 | % | 21.4 | % | |||||||
Provision (benefit) for income taxes from continuing operations | ' | ||||||||||||
The following table reflects the provision for income taxes from continuing operations for fiscal 2013, 2012, and 2011: | |||||||||||||
Fiscal | |||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||
Current: | |||||||||||||
Federal | $ | (212 | ) | $ | 4,103 | $ | (90 | ) | |||||
State | 291 | 942 | 1,099 | ||||||||||
Foreign | 1,732 | 5,497 | 14,764 | ||||||||||
Deferred: | |||||||||||||
Federal | 985 | 4,169 | 17,463 | ||||||||||
State | 5 | 48 | 8 | ||||||||||
Foreign | 4,509 | (1,088 | ) | 1,574 | |||||||||
Provision for income taxes | $ | 7,310 | $ | 13,671 | $ | 34,818 | |||||||
Effective income tax rate reconciliation | ' | ||||||||||||
The following table reflects the difference between the provision for income taxes and the amount computed by applying the statutory federal income tax rate for fiscal 2013, 2012, and 2011: | |||||||||||||
Fiscal | |||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||
Computed income tax expense based on U.S. statutory rate | $ | 23,334 | $ | 60,988 | $ | 56,850 | |||||||
Effect of earnings of foreign subsidiaries subject to different tax rates | (11,193 | ) | (30,067 | ) | (17,300 | ) | |||||||
Benefits from foreign approved enterprise zones | (9,626 | ) | (22,138 | ) | (21,079 | ) | |||||||
Effect of permanent items | 664 | 152 | 669 | ||||||||||
Changes in valuation allowance | 1,429 | 1,261 | (962 | ) | |||||||||
Foreign operations (withholding taxes, deferred taxes on unremitted earnings, US taxation of foreign earnings) | 1,789 | 12,604 | 6,917 | ||||||||||
Reserve for uncertain tax positions | 683 | (7,626 | ) | 7,406 | |||||||||
State income tax expense | (734 | ) | (394 | ) | 1,230 | ||||||||
Other, net | 964 | (1,109 | ) | 1,087 | |||||||||
Provision for income taxes | $ | 7,310 | $ | 13,671 | $ | 34,818 | |||||||
Net deferred tax balance | ' | ||||||||||||
The following table reflects the net deferred tax balance, composed of the tax effects of cumulative temporary differences for fiscal 2013 and 2012: | |||||||||||||
Fiscal | |||||||||||||
(in thousands) | 2013 | 2012 | |||||||||||
Inventory reserves | $ | 1,127 | $ | 2,933 | |||||||||
Other accruals and reserves | 3,349 | 3,343 | |||||||||||
Net operating loss carryforwards | 779 | — | |||||||||||
Valuation allowance | (768 | ) | (2,761 | ) | |||||||||
Total short-term deferred tax asset | $ | 4,487 | $ | 3,515 | |||||||||
Total short-term deferred tax liability | 221 | — | |||||||||||
Net short-term deferred tax asset | $ | 4,266 | $ | 3,515 | |||||||||
Domestic tax credit carryforwards | $ | 1,611 | $ | 628 | |||||||||
Net operating loss carryforwards | 28,138 | 29,384 | |||||||||||
Stock options | 1,299 | 1,322 | |||||||||||
Other | 926 | 769 | |||||||||||
31,974 | 32,103 | ||||||||||||
Valuation allowance | (25,676 | ) | (22,254 | ) | |||||||||
Total long-term deferred tax asset (1) | $ | 6,298 | $ | 9,849 | |||||||||
Repatriation of foreign earnings, including foreign withholding taxes | $ | 41,322 | $ | 40,770 | |||||||||
Depreciable assets | 1,887 | (58 | ) | ||||||||||
Prepaid expenses and other | — | — | |||||||||||
Total long-term deferred tax liability | $ | 43,209 | $ | 40,712 | |||||||||
Net long-term deferred tax liability | $ | 36,911 | $ | 30,863 | |||||||||
Total net deferred tax liability | $ | 32,645 | $ | 27,348 | |||||||||
-1 | Included in other assets on the Consolidated Balance Sheets are deferred tax assets of $3.8 million and $7.0 million as of September 28, 2013 and September 29, 2012, respectively. | ||||||||||||
Unrecognized tax benefits | ' | ||||||||||||
The beginning and ending balances of the Company's unrecognized tax benefits are reconciled below for fiscal 2013, 2012, and 2011: | |||||||||||||
Fiscal | |||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||
Unrecognized tax benefit, beginning of year | $ | 6,186 | $ | 13,702 | $ | 6,413 | |||||||
Additions for tax positions, current year | — | — | — | ||||||||||
Additions for tax positions, prior year | 2,485 | 110 | 7,585 | ||||||||||
Reductions for tax positions, prior year | (1,802 | ) | (7,626 | ) | (296 | ) | |||||||
Unrecognized tax benefit, end of year | $ | 6,869 | $ | 6,186 | $ | 13,702 | |||||||
OTHER_FINANCIAL_DATA_Tables
OTHER FINANCIAL DATA (Tables) | 12 Months Ended | |||||||||||
Sep. 28, 2013 | ||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | |||||||||||
Additional Financial Information Disclosure [Table Text Block] | ' | |||||||||||
The following table reflects other financial data for fiscal 2013, 2012, and 2011: | ||||||||||||
Fiscal | ||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||
Selling, general and administrative incentive compensation expense (1) | $ | 17,194 | $ | 21,988 | $ | 24,264 | ||||||
Rent expense | $ | 7,765 | $ | 7,202 | $ | 7,729 | ||||||
Warranty and retrofit expense | $ | 711 | $ | 3,726 | $ | 3,720 | ||||||
(1) Incentive compensation expense is based upon applicable fiscal year operating income. |
SEGMENT_INFORMATION_Tables
SEGMENT INFORMATION (Tables) | 12 Months Ended | ||||||||||||
Sep. 28, 2013 | |||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||
Operating information by segment | ' | ||||||||||||
The following table reflects operating information by segment for fiscal 2013, 2012, and 2011: | |||||||||||||
Fiscal | |||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||
Net revenue: | |||||||||||||
Equipment | $ | 472,567 | $ | 727,082 | $ | 759,331 | |||||||
Expendable Tools | 62,371 | 63,941 | 71,070 | ||||||||||
Net revenue | 534,938 | 791,023 | 830,401 | ||||||||||
Cost of sales : | |||||||||||||
Equipment | 261,270 | 397,210 | 412,914 | ||||||||||
Expendable Tools | 26,723 | 26,423 | 29,578 | ||||||||||
Cost of sales | 287,993 | 423,633 | 442,492 | ||||||||||
Gross profit : | |||||||||||||
Equipment | 211,297 | 329,872 | 346,417 | ||||||||||
Expendable Tools | 35,648 | 37,518 | 41,492 | ||||||||||
Gross profit | 246,945 | 367,390 | 387,909 | ||||||||||
Operating expenses: | |||||||||||||
Equipment | 158,306 | 164,081 | 189,631 | ||||||||||
Expendable Tools | 22,833 | 24,083 | 28,218 | ||||||||||
Operating expenses | 181,139 | 188,164 | 217,849 | ||||||||||
Income from operations: | |||||||||||||
Equipment | 52,991 | 165,791 | 156,786 | ||||||||||
Expendable Tools | 12,815 | 13,435 | 13,274 | ||||||||||
Income from operations | $ | 65,806 | $ | 179,226 | $ | 170,060 | |||||||
Assets by segment | ' | ||||||||||||
As of | |||||||||||||
(in thousands) | September 28, 2013 | September 29, 2012 | October 1, 2011 | ||||||||||
Segment assets: | |||||||||||||
Equipment (1) | $ | 764,793 | $ | 746,636 | $ | 639,149 | |||||||
Expendable Tools (1) | 98,201 | 68,973 | 89,242 | ||||||||||
Total assets | $ | 862,994 | $ | 815,609 | $ | 728,391 | |||||||
-1 | Increase in the Company's Equipment segment and increase in Expendable Tools from fiscal 2012 to 2013 were due to allocation, based upon fiscal year net revenue, of non-segment specific corporate assets. Corporate assets include: cash, cash equivalents, restricted cash, short-term investments, deferred income tax assets and other assets. | ||||||||||||
Capital expenditures and depreciation expense | ' | ||||||||||||
Fiscal | |||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||
Capital expenditures: | |||||||||||||
Equipment | $ | 11,704 | $ | 5,318 | $ | 4,229 | |||||||
Expendable Tools | 5,468 | 1,584 | 3,459 | ||||||||||
Capital expenditures | $ | 17,172 | $ | 6,902 | $ | 7,688 | |||||||
SEGMENT_INFORMATION_Revenue_by
SEGMENT INFORMATION Revenue by country (Tables) | 12 Months Ended | |||||||||||
Sep. 28, 2013 | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | |||||||||||
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas [Table Text Block] | ' | |||||||||||
2013, 2012, and 2011: | ||||||||||||
Fiscal | ||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||
Destination sales to unaffiliated customers: | ||||||||||||
Taiwan | $ | 150,271 | $ | 251,128 | $ | 240,390 | ||||||
China | 124,272 | 160,573 | 132,933 | |||||||||
Korea | 36,949 | 71,552 | 114,130 | |||||||||
Singapore | 35,833 | 23,045 | 33,503 | |||||||||
Philippines | 30,257 | 33,715 | 16,806 | |||||||||
Hong Kong | 28,911 | 76,964 | 104,481 | |||||||||
Malaysia | 23,799 | 39,447 | 46,831 | |||||||||
Japan | 17,680 | 24,755 | 28,747 | |||||||||
United States | 14,652 | 13,433 | 17,955 | |||||||||
Malta | 9,552 | 6,089 | 10,009 | |||||||||
Thailand | 9,143 | 21,828 | 19,539 | |||||||||
Germany | 5,822 | 7,319 | 9,217 | |||||||||
Vietnam | 4,639 | 10,019 | 5,715 | |||||||||
All other | 43,158 | 51,156 | 50,145 | |||||||||
Total destination sales to unaffiliated customers | $ | 534,938 | $ | 791,023 | $ | 830,401 | ||||||
Fiscal | ||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||
Long-lived assets: | ||||||||||||
Singapore | $ | 87,104 | $ | 67,060 | $ | 74,130 | ||||||
United States | 7,525 | 14,193 | 13,043 | |||||||||
China | 6,718 | 4,438 | 4,470 | |||||||||
Israel | 5,674 | 8,078 | 7,887 | |||||||||
Switzerland | 252 | 6,101 | 6,522 | |||||||||
All other | 1,333 | 2,423 | 2,498 | |||||||||
Total long-lived assets | $ | 108,606 | $ | 102,293 | $ | 108,550 | ||||||
COMMITMENTS_CONTINGENCIES_AND_1
COMMITMENTS, CONTINGENCIES AND CONCENTRATIONS (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Sep. 28, 2013 | |||||||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ' | ||||||||||||||||||||||||
Reserve for product warranty activity | ' | ||||||||||||||||||||||||
The following table reflects the reserve for product warranty activity for fiscal 2013, 2012, and 2011: | |||||||||||||||||||||||||
Fiscal | |||||||||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||||||||||||||
Reserve for product warranty, beginning of period | $ | 2,412 | $ | 2,245 | $ | 2,657 | |||||||||||||||||||
Provision for product warranty | 1,093 | 3,521 | 2,914 | ||||||||||||||||||||||
Product warranty costs paid | (2,311 | ) | (3,354 | ) | (3,326 | ) | |||||||||||||||||||
Reserve for product warranty, end of period | $ | 1,194 | $ | 2,412 | $ | 2,245 | |||||||||||||||||||
Obligations not reflected on the Consolidated Balance Sheet | ' | ||||||||||||||||||||||||
The following table reflects obligations not reflected on the Consolidated Balance Sheet as of September 28, 2013: | |||||||||||||||||||||||||
Payments due by fiscal year | |||||||||||||||||||||||||
(in thousands) | Total | 2014 | 2015 | 2016 | 2017 | thereafter | |||||||||||||||||||
Inventory purchase obligation (1) | $ | 57,229 | $ | 57,229 | $ | — | $ | — | $ | — | $ | — | |||||||||||||
Operating lease obligations (2) | 31,211 | 3,700 | 3,380 | 2,761 | 2,364 | 19,006 | |||||||||||||||||||
Total | $ | 88,440 | $ | 60,929 | $ | 3,380 | $ | 2,761 | $ | 2,364 | $ | 19,006 | |||||||||||||
-1 | The Company orders inventory components in the normal course of its business. A portion of these orders are non-cancelable and a portion may have varying penalties and charges in the event of cancellation. | ||||||||||||||||||||||||
-2 | The Company has minimum rental commitments under various leases (excluding taxes, insurance, maintenance and repairs, which are also paid by the Company) primarily for various facility and equipment leases, which expire periodically through 2023 (not including lease extension options, if applicable). | ||||||||||||||||||||||||
Pursuant to ASC No. 840, Leases, for lessee's involvement in asset construction, the Company is considered the owner of the Building during the construction phase of the ADL. As of September 28, 2013, the Company has recorded a financing obligation of $19.4 million related to the Building and is expected to record an additional $0.6 million over the construction term, which is expected to be completed in the next twelve months. This financing obligation is not reflected in the table above. | |||||||||||||||||||||||||
Under the lease agreement contemplated by the ADL, (the “Lease Agreement”), the term for the rental of the Initial Premises is expected to be 10 years (the “Initial Term”). Pte will have the option to renew for two additional ten-year terms. The combined annual rent and service charge for the Initial Term will range between approximately $4.0 to $5.0 million Singapore dollars. Subject to renting a minimum amount of space, Pte will have a right of first refusal for all space that becomes available in the Building, and the Landlord has agreed to make available a certain amount of additional space for rental at Pte's option which may be exercised at certain points during the second half of the Initial Term. Subject to renting a minimum amount of space for a certain period, Pte will have partial surrender rights. In addition, Pte will have termination rights after renting the Initial Premises for a certain period of time. The Lease Agreement is not in effect as of the date of this report and is not reflected in the above table. | |||||||||||||||||||||||||
Significant customer concentrations as a percentage of net revenue | ' | ||||||||||||||||||||||||
The following tables reflect significant customer concentrations as a percentage of net revenue for fiscal 2013, 2012, and 2011: | |||||||||||||||||||||||||
Fiscal | |||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||
Siliconware Precision Industries Ltd. | 11 | % | 14.9 | % | * | ||||||||||||||||||||
Advanced Semiconductor Engineering | * | 22.4 | % | 21.8 | % | ||||||||||||||||||||
* Represents less than 10% of net revenue | |||||||||||||||||||||||||
Significant customer concentrations as a percentage of total accounts receivable | ' | ||||||||||||||||||||||||
The following table reflects significant customer concentrations as a percentage of total accounts receivable as of September 28, 2013 and September 29, 2012: | |||||||||||||||||||||||||
As of | |||||||||||||||||||||||||
September 28, 2013 | September 29, 2012 | ||||||||||||||||||||||||
Siliconware Precision Industries Ltd. | 19.5 | % | 31 | % | |||||||||||||||||||||
STATS ChipPAC Ltd | 14.5 | % | * | ||||||||||||||||||||||
Haoseng Industrial Co., Ltd | 11.9 | % | 15 | % | |||||||||||||||||||||
* Represents less than 10% of total accounts receivable |
SELECTED_QUARTERLY_FINANCIAL_R1
SELECTED QUARTERLY FINANCIAL RESULTS (Tables) | 12 Months Ended | |||||||||||||||||||
Sep. 28, 2013 | ||||||||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | |||||||||||||||||||
Schedule of Quarterly Financial Information | ' | |||||||||||||||||||
The following table reflects selected quarterly financial data for fiscal 2013 and 2012: | ||||||||||||||||||||
Fiscal 2013 for the Quarter Ended | ||||||||||||||||||||
(in thousands, except per share amounts) | 29-Dec | 30-Mar | 29-Jun | 28-Sep | Fiscal 2013 | |||||||||||||||
Net revenue | $ | 114,039 | $ | 106,110 | $ | 141,181 | $ | 173,608 | $ | 534,938 | ||||||||||
Gross profit | 51,525 | 48,820 | 65,914 | 80,686 | 246,945 | |||||||||||||||
Income from operations | 4,205 | 8,190 | 18,867 | 34,544 | 65,806 | |||||||||||||||
Provision for income taxes | 775 | 1,041 | 247 | 5,247 | 7,310 | |||||||||||||||
Net income | $ | 3,604 | $ | 7,336 | $ | 18,887 | $ | 29,531 | $ | 59,358 | ||||||||||
Net income per share (1): | ||||||||||||||||||||
Basic | $ | 0.05 | $ | 0.1 | $ | 0.25 | $ | 0.39 | $ | 0.79 | ||||||||||
Diluted | $ | 0.05 | $ | 0.1 | $ | 0.25 | $ | 0.39 | $ | 0.78 | ||||||||||
Weighted average shares outstanding: | ||||||||||||||||||||
Basic | 74,852 | 75,166 | 75,231 | 75,279 | 75,132 | |||||||||||||||
Diluted | 76,209 | 76,553 | 76,473 | 76,565 | 76,190 | |||||||||||||||
Fiscal 2012 for the Quarter Ended | ||||||||||||||||||||
(in thousands, except per share amounts) | 31-Dec | 31-Mar | 30-Jun | September 29 (2) | Fiscal 2012 | |||||||||||||||
Net revenue | $ | 120,024 | $ | 146,308 | $ | 255,525 | $ | 269,166 | $ | 791,023 | ||||||||||
Gross profit | 55,276 | 66,687 | 122,443 | 122,984 | 367,390 | |||||||||||||||
Income from operations | 12,376 | 20,242 | 76,276 | 70,332 | 179,226 | |||||||||||||||
Provision for income taxes | 1,977 | 1,616 | 6,847 | 3,231 | 13,671 | |||||||||||||||
Net income | $ | 8,507 | $ | 16,617 | $ | 68,174 | $ | 67,282 | $ | 160,580 | ||||||||||
Net income per share (1): | ||||||||||||||||||||
Basic | $ | 0.12 | $ | 0.23 | $ | 0.92 | $ | 0.91 | $ | 2.17 | ||||||||||
Diluted | $ | 0.11 | $ | 0.22 | $ | 0.9 | $ | 0.89 | $ | 2.13 | ||||||||||
Weighted average shares outstanding: | ||||||||||||||||||||
Basic | 73,540 | 73,825 | 74,067 | 74,116 | 73,887 | |||||||||||||||
Diluted | 74,628 | 75,553 | 75,994 | 75,942 | 75,502 | |||||||||||||||
-1 | EPS for the year may not equal the sum of quarterly EPS due to changes in weighted share calculations. | |||||||||||||||||||
-2 | Includes approximately $7.5 million of income tax expense associated with additional tax exposure in Asia which was subsequently reversed in September 2012. |
BASIS_OF_PRESENTATION_Inventor
BASIS OF PRESENTATION (Inventories) (Narrative) (Details) | 12 Months Ended |
Sep. 28, 2013 | |
Equipment [Member] | ' |
Inventory [Line Items] | ' |
Reserves For Inventory In Excess Of Demand Inventory Future Consumption Period | '18 months |
Spare Parts [Member] | ' |
Inventory [Line Items] | ' |
Reserves For Inventory In Excess Of Demand Inventory Future Consumption Period | '24 months |
Expendable Tools [Member] | ' |
Inventory [Line Items] | ' |
Reserves For Inventory In Excess Of Demand Inventory Future Consumption Period | '12 months |
BASIS_OF_PRESENTATION_Property
BASIS OF PRESENTATION (Property, Plant and Equipment) (Narrative) (Details) | 12 Months Ended |
Sep. 28, 2013 | |
Building [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, Plant and Equipment, Useful Life | '25 years |
Leaseholds and Leasehold Improvements [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, Plant and Equipment, Estimated Useful Lives | 'based on the shorter of the life of lease or life of asset |
Software and Software Development Costs [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, Plant and Equipment, Useful Life | '5 years |
Minimum [Member] | Machinery and Equipment [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, Plant and Equipment, Useful Life | '3 years |
Maximum [Member] | Machinery and Equipment [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, Plant and Equipment, Useful Life | '10 years |
BASIS_OF_PRESENTATION_Prior_Pe
BASIS OF PRESENTATION (Prior Period Adjustment) (Narrative) (Details) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Sep. 28, 2013 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Prior Period Reclassification Adjustment | $1.10 |
BASIS_OF_PRESENTATION_Goodwill
BASIS OF PRESENTATION Goodwill (Details) (USD $) | Sep. 28, 2013 | Sep. 29, 2012 |
In Thousands, unless otherwise specified | ||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ' |
Goodwill | $41,546 | $41,546 |
BALANCE_SHEET_COMPONENTS_Compo
BALANCE SHEET COMPONENTS (Components of significant balance sheet accounts) (Details) (USD $) | 12 Months Ended | ||||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' | ' | ||
Depreciation | $9,311 | $8,087 | $8,212 | ||
Short-term Investments | 3,252 | [1] | 0 | [1] | ' |
Inventories, net: | ' | ' | ' | ||
Raw materials and supplies | 19,703 | 26,660 | ' | ||
Work in process | 12,219 | 23,352 | ' | ||
Finished goods | 20,333 | 27,599 | ' | ||
Inventory, gross | 52,255 | 77,611 | ' | ||
Inventory reserves | -14,120 | -18,617 | ' | ||
Inventories, net | 38,135 | 58,994 | ' | ||
Property, plant and equipment, net: | ' | ' | ' | ||
Land | 0 | 2,086 | ' | ||
Buildings and building improvements | 3,060 | 4,830 | ' | ||
Leasehold improvements | 15,763 | 16,005 | ' | ||
Data processing equipment and software | 24,549 | 23,819 | ' | ||
Machinery, equipment, furniture and fixtures | 48,998 | 40,580 | ' | ||
Construction in progress (2) | 19,396 | [2] | 3,219 | [2] | ' |
Property, plant and equipment, gross | 111,766 | 90,539 | ' | ||
Accumulated depreciation (3) | -64,225 | [3] | -62,098 | [3] | ' |
Property, plant and equipment, net | 47,541 | 28,441 | ' | ||
Accrued expenses and other current liabilities: | ' | ' | ' | ||
Wages and benefits | 19,779 | 18,734 | ' | ||
Accrued customer obligations (4) | 8,270 | [4] | 22,984 | [4] | ' |
Commissions and professional fees | 2,640 | 2,776 | ' | ||
Severance | 1,468 | 2,840 | ' | ||
Other | 6,711 | 10,612 | ' | ||
Accrued expenses and other current liabilities | $38,868 | $57,946 | ' | ||
[1] | All short-term investments were classified as available-for-sale and were measured at fair value based on level one measurement, or quoted market prices, as defined by ASC 820. As of September 28, 2013, fair value approximated the cost basis for short-term investments. The Company did not recognize any realized gains or losses on the sale of investments during fiscal 2013. | ||||
[2] | Pursuant to ASC No. 840, Leases, the Company is considered the owner of the building during the construction phase for the Agreement to Develop and Lease (the bADLb) facility being developed by Mapletree Industrial Trust (the bLandlordb) in Singaporebsee Note 12 below.B The estimated construction costs incurred to date in relation to the relevant proportion of the Company's lease is recognized on the Consolidated Balance Sheet as at SeptemberB 28, 2013 and SeptemberB 29, 2012. Applicable ground lease expense of $0.5 million was accrued as of SeptemberB 28, 2013. | ||||
[3] | The depreciation expense for the years ended SeptemberB 28, 2013 and SeptemberB 29, 2012 are $9.3 million and $8.1 million respectively. | ||||
[4] | Represents customer advance payments, customer credit program, accrued warranty expense and accrued retrofit costs. |
BALANCE_SHEET_COMPONENTS_Narra
BALANCE SHEET COMPONENTS (Narrative) (Details) (USD $) | Sep. 28, 2013 |
In Millions, unless otherwise specified | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Ground Leases, Lease Expense | $0.50 |
GOODWILL_AND_INTANGIBLE_ASSETS2
GOODWILL AND INTANGIBLE ASSETS (Net intangible assets) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Net intangible assets | $11,209 | $20,387 |
Wedge bonder developed technology [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross intangible assets | 33,200 | 33,200 |
Accumulated amortization | -23,715 | -18,973 |
Net intangible assets | 9,485 | 14,227 |
Average estimated useful lives (in years) | '7 years | ' |
Wedge bonder customer relationships [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross intangible assets | 19,300 | 19,300 |
Accumulated amortization | -19,300 | -15,440 |
Net intangible assets | 0 | 3,860 |
Average estimated useful lives (in years) | '5 years | ' |
Wedge bonder trade name [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross intangible assets | 4,600 | 4,600 |
Accumulated amortization | -2,876 | -2,300 |
Net intangible assets | 1,724 | 2,300 |
Average estimated useful lives (in years) | '8 years | ' |
Wedge bonder other intangible assets [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross intangible assets | 2,500 | 2,500 |
Accumulated amortization | -2,500 | -2,500 |
Net intangible assets | $0 | $0 |
Average estimated useful lives (in years) | '1 year 10 months 24 days | ' |
GOODWILL_AND_INTANGIBLE_ASSETS3
GOODWILL AND INTANGIBLE ASSETS (Estimated annual amortization expense) (Details) (USD $) | Sep. 28, 2013 |
In Thousands, unless otherwise specified | |
Goodwill and Intangible Assets Disclosure [Abstract] | ' |
Fiscal 2014 | $5,318 |
Fiscal 2015 | 5,318 |
Fiscal 2016 | 573 |
Total amortization expense | $11,209 |
GOODWILL_AND_INTANGIBLE_ASSETS4
GOODWILL AND INTANGIBLE ASSETS (Narrative) (Details) (USD $) | 0 Months Ended | 3 Months Ended | 12 Months Ended | 36 Months Ended | ||
Oct. 03, 2008 | Dec. 31, 2011 | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 | Oct. 01, 2011 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ' | ' | ' | ' | ' |
Additional Earn Out Payment Term | '3 years | ' | ' | ' | ' | ' |
Goodwill Adjustment Related To Acquisitions | ' | ' | ' | ' | ' | $14,800,000 |
Payments to Acquire Businesses, Net of Cash Acquired | ' | $14,848,000 | $0 | $14,848,000 | $0 | ' |
CASH_AND_CASH_EQUIVALENTS_Deta
CASH AND CASH EQUIVALENTS (Details) (USD $) | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 | Oct. 02, 2010 |
In Thousands, unless otherwise specified | ||||
Cash and Cash Equivalents [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents, Amortized Cost | $521,788 | $440,244 | $378,188 | $178,112 |
Cash and cash equivalents, Estimated Fair Value | 521,788 | 440,244 | ' | ' |
Short-term investments, Amortized Cost | 3,252 | ' | ' | ' |
Short-term investments, Estimated Fair Value | 3,252 | ' | ' | ' |
Total cash, cash equivalents and short-term investments, Amortized Cost | 525,040 | ' | ' | ' |
Total cash, cash equivalents and short-term investments, Estimated Fair Value | 525,040 | ' | ' | ' |
Cash [Member] | ' | ' | ' | ' |
Cash and Cash Equivalents [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents, Amortized Cost | 113,295 | 100,853 | ' | ' |
Cash and cash equivalents, Estimated Fair Value | 113,295 | 100,853 | ' | ' |
Cash equivalents, Money market funds [Member] | ' | ' | ' | ' |
Cash and Cash Equivalents [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents, Amortized Cost | 226,272 | 279,940 | ' | ' |
Cash and cash equivalents, Estimated Fair Value | 226,272 | 279,940 | ' | ' |
Cash equivalents, Time deposits [Member] | ' | ' | ' | ' |
Cash and Cash Equivalents [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents, Amortized Cost | 182,221 | 59,451 | ' | ' |
Cash and cash equivalents, Estimated Fair Value | 182,221 | 59,451 | ' | ' |
Short-term investments, Time deposits [Member] | ' | ' | ' | ' |
Cash and Cash Equivalents [Line Items] | ' | ' | ' | ' |
Short-term investments, Amortized Cost | 3,252 | ' | ' | ' |
Short-term investments, Estimated Fair Value | $3,252 | ' | ' | ' |
FAIR_VALUE_MEASUREMENTS_Fair_v
FAIR VALUE MEASUREMENTS (Fair value of financial assets and liabilities) (Details) (USD $) | Sep. 28, 2013 | Sep. 29, 2012 |
In Thousands, unless otherwise specified | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Cash and Cash Equivalents | $521,788 | $440,244 |
Investments | 3,252 | ' |
Total Assets | 525,040 | ' |
Fair Value, Measurements, Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Total Assets | 525,040 | 440,244 |
Fair Value, Measurements, Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Total Assets | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Total Assets | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Total [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Total Assets | 525,040 | 440,244 |
Fair Value, Measurements, Recurring [Member] | Cash [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Cash and Cash Equivalents | 113,295 | 100,853 |
Fair Value, Measurements, Recurring [Member] | Cash [Member] | Significant Other Observable Inputs (Level 2) [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Cash and Cash Equivalents | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Cash [Member] | Significant Unobservable Inputs (Level 3) [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Cash and Cash Equivalents | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Cash [Member] | Total [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Cash and Cash Equivalents | 113,295 | 100,853 |
Fair Value, Measurements, Recurring [Member] | Cash equivalents, Money market funds [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Cash and Cash Equivalents | 226,272 | 279,940 |
Fair Value, Measurements, Recurring [Member] | Cash equivalents, Money market funds [Member] | Significant Other Observable Inputs (Level 2) [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Cash and Cash Equivalents | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Cash equivalents, Money market funds [Member] | Significant Unobservable Inputs (Level 3) [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Cash and Cash Equivalents | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Cash equivalents, Money market funds [Member] | Total [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Cash and Cash Equivalents | 226,272 | 279,940 |
Fair Value, Measurements, Recurring [Member] | Cash equivalents, Time deposits [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Cash and Cash Equivalents | 182,221 | 59,451 |
Fair Value, Measurements, Recurring [Member] | Cash equivalents, Time deposits [Member] | Significant Other Observable Inputs (Level 2) [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Cash and Cash Equivalents | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Cash equivalents, Time deposits [Member] | Significant Unobservable Inputs (Level 3) [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Cash and Cash Equivalents | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Cash equivalents, Time deposits [Member] | Total [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Cash and Cash Equivalents | 182,221 | 59,451 |
Fair Value, Measurements, Recurring [Member] | Short-term investments, Time deposits [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Investments | 3,252 | ' |
Fair Value, Measurements, Recurring [Member] | Short-term investments, Time deposits [Member] | Significant Other Observable Inputs (Level 2) [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Investments | 0 | ' |
Fair Value, Measurements, Recurring [Member] | Short-term investments, Time deposits [Member] | Significant Unobservable Inputs (Level 3) [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Investments | 0 | ' |
Fair Value, Measurements, Recurring [Member] | Short-term investments, Time deposits [Member] | Total [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Investments | $3,252 | ' |
DEBT_AND_OTHER_OBLIGATIONS_Nar
DEBT AND OTHER OBLIGATIONS (Narrative) (Details) | Sep. 28, 2013 | Sep. 29, 2012 | 9-May-12 | 31-May-12 | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 |
In Thousands, except Per Share data, unless otherwise specified | USD ($) | USD ($) | SGD | Convertible Notes Payable [Member] | Convertible Notes Payable [Member] | Convertible Notes Payable [Member] | Convertible Notes Payable [Member] |
Convertible Subordinated Notes, 8.75% [Member] | Convertible Subordinated Notes, 8.75% [Member] | Convertible Subordinated Notes, 8.75% [Member] | Convertible Subordinated Notes, 8.75% [Member] | ||||
USD ($) | USD ($) | USD ($) | USD ($) | ||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Debt Instrument, Convertible, Effective Interest Rate | ' | ' | ' | 0.88% | ' | ' | ' |
Maturity date | ' | ' | ' | 1-Jun-12 | ' | ' | ' |
Debt Instrument, Convertible, Conversion Ratio | ' | ' | ' | 0.0696621 | ' | ' | ' |
Conversion price | ' | ' | ' | $14.36 | ' | ' | ' |
Line Of Credit Facility Principal Repaid | ' | ' | ' | ' | ' | $110,000 | ' |
Line Of Credit Facility Interest | ' | ' | ' | ' | ' | 500 | ' |
Amortization expense related to issue costs | ' | ' | ' | ' | 0 | 400 | 600 |
Built-to-suit liability | 19,396 | 0 | ' | ' | ' | ' | ' |
Bank Guarantee Of Non Controlling Interest | ' | ' | 3,400 | ' | ' | ' | ' |
SHAREHOLDERS_EQUITY_AND_EMPLOY2
SHAREHOLDERS' EQUITY AND EMPLOYEE BENEFIT PLANS (Matching contributions to the Plan) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ' |
Cash | $1,478 | $1,707 |
SHAREHOLDERS_EQUITY_AND_EMPLOY3
SHAREHOLDERS' EQUITY AND EMPLOYEE BENEFIT PLANS (Accumulated other comprehensive income) (Details) (USD $) | Sep. 28, 2013 | Sep. 29, 2012 |
In Thousands, unless otherwise specified | ||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ' |
Gain from foreign currency translation adjustments | $4,182 | $2,996 |
Unrecognized actuarial gain, Switzerland pension plan, net of tax | -227 | -227 |
Switzerland pension plan curtailment | -337 | -388 |
Accumulated other comprehensive income | $3,618 | $2,381 |
SHAREHOLDERS_EQUITY_AND_EMPLOY4
SHAREHOLDERS' EQUITY AND EMPLOYEE BENEFIT PLANS (Total equity-based compensation expense) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Total equity-based compensation expense | $10,670 | $8,691 | $7,212 |
Market-based restricted stock [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Total equity-based compensation expense | 4,135 | 2,929 | 1,961 |
Time-based restricted stock [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Total equity-based compensation expense | 5,545 | 4,732 | 4,003 |
Performance-based restricted stock | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Total equity-based compensation expense | 107 | 269 | 442 |
Stock options [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Total equity-based compensation expense | 43 | 41 | 86 |
Common stock [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Total equity-based compensation expense | 840 | 720 | 720 |
Cost of sales [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Total equity-based compensation expense | 295 | 312 | 213 |
Selling, general and administrative (1) [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Total equity-based compensation expense | 8,457 | 6,602 | 5,671 |
Research and development [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Total equity-based compensation expense | $1,918 | $1,777 | $1,328 |
SHAREHOLDERS_EQUITY_AND_EMPLOY5
SHAREHOLDERS' EQUITY AND EMPLOYEE BENEFIT PLANS (Employee market-based restricted stock activity) (Details) (Market-based restricted stock [Member], USD $) | 12 Months Ended | |||
In Thousands, except Per Share data, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 | Oct. 02, 2010 |
Market-based restricted stock [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ' | ' | ' | ' |
Number of shares, Restricted stock outstanding, beginning balance (in shares) | 914 | 487 | 314 | ' |
Number of shares, Granted (in shares) | 344 | 437 | 442 | ' |
Number of shares, Forfeited or expired (in shares) | -49 | -10 | -165 | ' |
Number of shares, Vested (in shares) | ' | ' | -104 | ' |
Number of shares, Restricted stock outstanding, ending balance (in shares) | 1,085 | 914 | 487 | 314 |
Unrecognized compensation expense | $5,913 | $6,175 | $3,674 | $667 |
Average remaining service period (in years) | '1 year 1 month 6 days | '1 year 6 months | '1 year 10 months 24 days | '1 year 3 months 18 days |
Weighted average grant date fair value per share | $13.89 | $12.56 | $11.32 | ' |
SHAREHOLDERS_EQUITY_AND_EMPLOY6
SHAREHOLDERS' EQUITY AND EMPLOYEE BENEFIT PLANS (Employee time-based restricted stock activity) (Details) (Time-based restricted stock [Member], USD $) | 12 Months Ended | |||
In Thousands, except Per Share data, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 | Oct. 02, 2010 |
Time-based restricted stock [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ' | ' | ' | ' |
Number of shares, Restricted stock outstanding, beginning balance (in shares) | 1,532 | 1,599 | 1,707 | ' |
Number of shares, Granted (in shares) | 620 | 695 | 714 | ' |
Number of shares, Forfeited or expired (in shares) | -132 | -76 | -259 | ' |
Number of shares, Vested (in shares) | -804 | -686 | -563 | ' |
Number of shares, Restricted stock outstanding, ending balance (in shares) | 1,216 | 1,532 | 1,599 | 1,707 |
Unrecognized compensation expense | $6,028 | $7,070 | $6,096 | $5,683 |
Average remaining service period (in years) | '1 year 2 months 12 days | '1 year 4 months 24 days | '1 year 8 months 12 days | '1 year 4 months 24 days |
Weighted average grant date fair value per share | $10.59 | $9.15 | $6.56 | ' |
SHAREHOLDERS_EQUITY_AND_EMPLOY7
SHAREHOLDERS' EQUITY AND EMPLOYEE BENEFIT PLANS (Employee performance-based restricted stock activity) (Details) (Performance-based restricted stock [Member], USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 | Oct. 02, 2010 |
Performance-based restricted stock [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ' | ' | ' | ' |
Number of shares, Restricted stock outstanding, beginning balance (in shares) | 0 | 169 | 626 | ' |
Number of shares, Granted (in shares) | 57 | ' | ' | ' |
Number of shares, Forfeited or expired (in shares) | ' | ' | -275 | ' |
Number of shares, Vested (in shares) | ' | -169 | -182 | ' |
Number of shares, Restricted stock outstanding, ending balance (in shares) | 57 | 0 | 169 | 626 |
Unrecognized compensation expense | $550 | $0 | $0 | $228 |
Average remaining service period (in years) | '2 years 2 months 12 days | '0 years | '0 years | '2 months 12 days |
SHAREHOLDERS_EQUITY_AND_EMPLOY8
SHAREHOLDERS' EQUITY AND EMPLOYEE BENEFIT PLANS (Employee stock option activity) (Details) (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ' | ' | ' |
Number of shares, Options outstanding, beginning balance (in shares) | 703 | 1,509 | 3,310 |
Number of shares, Granted (in shares) | ' | 0 | 0 |
Number of shares, Exercised (in shares) | -101 | -374 | -1,216 |
Number of shares, Forfeited or expired (in shares) | -40 | -432 | -585 |
Number of shares, Options outstanding, ending balance (in shares) | 562 | 703 | 1,509 |
Number of shares, Options vested and expected to vest (in shares) | 560 | ' | ' |
Number of shares, Options exercisable (in shares) | 555 | ' | ' |
Number of shares, In the money exercisable options (in shares) | 339 | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Roll Forward] | ' | ' | ' |
Weighted average exercise price, Options outstanding, beginning balance (in dollars per share) | $9.40 | $10.11 | $9.80 |
Weighted average exercise price, Granted (in dollars per share) | ' | $0 | $0 |
Weighted average exercise price, Exercised (in dollars per share) | ' | $7.70 | $7.50 |
Weighted average exercise price, Forfeited or expired (in dollars per share) | ' | $13.35 | $13.79 |
Weighted average exercise price, Options outstanding, ending balance (in dollars per share) | ' | $9.40 | $10.11 |
Weighted average exercise price, Options vested and expected to vest (in dollars per share) | $9.57 | ' | ' |
Weighted average exercise price, Options exercisable (in dollars per share) | $9.60 | ' | ' |
Average remaining contractual life, Options outstanding (in years) | ' | ' | ' |
Average remaining contractual life, Options vested and expected to vest (in years) | '1 year 11 months 8 days | ' | ' |
Average remaining contractual life, Options exercisable (in years) | '1 year 10 months 24 days | ' | ' |
Aggregate intrinsic value, Exercised | $292 | $829 | $3,498 |
Aggregate intrinsic value, Options outstanding | ' | ' | ' |
Aggregate intrinsic value, Options vested and expected to vest | 1,210 | ' | ' |
Aggregate intrinsic value, In the money exercisable options | $1,189 | ' | ' |
SHAREHOLDERS_EQUITY_AND_EMPLOY9
SHAREHOLDERS' EQUITY AND EMPLOYEE BENEFIT PLANS (Outstanding and exercisable employee stock options) (Details) (USD $) | 12 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Sep. 28, 2013 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Options Outstanding | 562 |
Options Outstanding, Weighted average remaining contractual life (in years) | '1 year 11 months 19 days |
Options Outstanding, Weighted average exercise price | $9.56 |
Options Exercisable | 555 |
Options Exercisable, Weighted average exercise price | $9.60 |
Stock Options One [Member] | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Options Outstanding | 29 |
Options Outstanding, Weighted average remaining contractual life (in years) | '5 years 9 months |
Options Outstanding, Weighted average exercise price | $5.48 |
Options Exercisable | 24 |
Options Exercisable, Weighted average exercise price | $5.29 |
Stock Options Two [Member] | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Range of exercise prices, lower limit | $3.06 |
Range of exercise prices, upper limit | $7.08 |
Options Outstanding | 85 |
Options Outstanding, Weighted average remaining contractual life (in years) | '1 year 1 month 6 days |
Options Outstanding, Weighted average exercise price | $7.14 |
Options Exercisable | 85 |
Options Exercisable, Weighted average exercise price | $7.14 |
Stock Options Three [Member] | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Range of exercise prices, lower limit | $7.14 |
Range of exercise prices, upper limit | $7.31 |
Options Outstanding | 230 |
Options Outstanding, Weighted average remaining contractual life (in years) | '3 years 7 months 13 days |
Options Outstanding, Weighted average exercise price | $8.63 |
Options Exercisable | 228 |
Options Exercisable, Weighted average exercise price | $8.63 |
Stock Options Four [Member] | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Range of exercise prices, lower limit | $8.43 |
Range of exercise prices, upper limit | $8.74 |
Options Outstanding | 218 |
Options Outstanding, Weighted average remaining contractual life (in years) | '18 days |
Options Outstanding, Weighted average exercise price | $12.03 |
Options Exercisable | 218 |
Options Exercisable, Weighted average exercise price | $12.03 |
Stock Options Five [Member] | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Range of exercise prices, lower limit | $9.64 |
Range of exercise prices, upper limit | $12.05 |
Recovered_Sheet1
SHAREHOLDERS' EQUITY AND EMPLOYEE BENEFIT PLANS (Common stock issued to non-employee directors) (Details) (Non Employee Director [Member], USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 |
Non Employee Director [Member] | ' | ' | ' |
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ' | ' | ' |
Number of commons shares issued | 74 | 78 | 89 |
Fair value based upon market price at time of issue | $908 | $720 | $720 |
Recovered_Sheet2
SHAREHOLDERS' EQUITY AND EMPLOYEE BENEFIT PLANS (Non-employee director stock option activity) (Details) (USD $) | 12 Months Ended | ||||
In Thousands, except Per Share data, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 | Sep. 28, 2013 | Oct. 02, 2010 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ' | ' | ' | ' | ' |
Number of shares, Options outstanding, beginning balance (in shares) | 703 | 1,509 | 3,310 | 562 | ' |
Number of shares, Exercised (in shares) | -101 | -374 | -1,216 | ' | ' |
Number of shares, Forfeited or expired (in shares) | -40 | -432 | -585 | ' | ' |
Number of shares, Options vested and expected to vest (in shares) | 560 | ' | ' | ' | ' |
Number of shares, Options exercisable (in shares) | 555 | ' | ' | ' | ' |
Number of shares, In the money exercisable options (in shares) | 339 | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Roll Forward] | ' | ' | ' | ' | ' |
Weighted average exercise price, Options outstanding, ending balance (in dollars per share) | ' | $9.40 | $10.11 | ' | $9.80 |
Weighted average exercise price, Exercised (in dollars per share) | ' | $7.70 | $7.50 | ' | ' |
Weighted average exercise price, Forfeited or expired (in dollars per share) | ' | $13.35 | $13.79 | ' | ' |
Weighted average exercise price, Options vested and expected to vest (in dollars per share) | $9.57 | ' | ' | ' | ' |
Weighted average exercise price, Options exercisable (in dollars per share) | $9.60 | ' | ' | ' | ' |
Average remaining contractual life, Options outstanding (in years) | ' | ' | ' | ' | ' |
Average remaining contractual life, Options vested and expected to vest (in years) | '1 year 11 months 8 days | ' | ' | ' | ' |
Average remaining contractual life, Options exercisable (in years) | '1 year 10 months 24 days | ' | ' | ' | ' |
Aggregate intrinsic value, Exercised | $292 | $829 | $3,498 | ' | ' |
Aggregate intrinsic value, Options outstanding | ' | ' | ' | ' | ' |
Aggregate intrinsic value, Options vested and expected to vest | 1,210 | ' | ' | ' | ' |
Aggregate intrinsic value, In the money exercisable options | 1,189 | ' | ' | ' | ' |
Non Employee Director [Member] | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ' | ' | ' | ' | ' |
Number of shares, Options outstanding, beginning balance (in shares) | 135 | 258 | 348 | 135 | ' |
Number of shares, Exercised (in shares) | ' | -63 | -30 | ' | ' |
Number of shares, Forfeited or expired (in shares) | ' | -60 | -60 | ' | ' |
Number of shares, Options vested and expected to vest (in shares) | 135 | ' | ' | ' | ' |
Number of shares, Options exercisable (in shares) | 135 | ' | ' | ' | ' |
Number of shares, In the money exercisable options (in shares) | 65 | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Roll Forward] | ' | ' | ' | ' | ' |
Weighted average exercise price, Options outstanding, ending balance (in dollars per share) | $11.45 | $11.45 | $11.78 | ' | $11.25 |
Weighted average exercise price, Exercised (in dollars per share) | ' | $6.89 | $6.16 | ' | ' |
Weighted average exercise price, Forfeited or expired (in dollars per share) | ' | $17.62 | $11.50 | ' | ' |
Weighted average exercise price, Options vested and expected to vest (in dollars per share) | $11.45 | ' | ' | ' | ' |
Weighted average exercise price, Options exercisable (in dollars per share) | $11.45 | ' | ' | ' | ' |
Average remaining contractual life, Options outstanding (in years) | '1 year 3 months 18 days | ' | ' | ' | ' |
Average remaining contractual life, Options vested and expected to vest (in years) | '1 year 3 months 18 days | ' | ' | ' | ' |
Average remaining contractual life, Options exercisable (in years) | '1 year 3 months 18 days | ' | ' | ' | ' |
Aggregate intrinsic value, Exercised | ' | 300 | 170 | ' | ' |
Aggregate intrinsic value, Options outstanding | 76 | ' | ' | ' | ' |
Aggregate intrinsic value, Options vested and expected to vest | 76 | ' | ' | ' | ' |
Aggregate intrinsic value, In the money exercisable options | $76 | ' | ' | ' | ' |
Recovered_Sheet3
SHAREHOLDERS' EQUITY AND EMPLOYEE BENEFIT PLANS (Defined benefits pension obligations and pension expenses) (Details) (USD $) | Sep. 28, 2013 | Sep. 29, 2012 |
In Thousands, unless otherwise specified | ||
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Pension obligation | $1,711 | $3,829 |
Switzerland [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Pension obligation | 388 | 2,506 |
Taiwan [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Pension obligation | $1,323 | $1,323 |
Recovered_Sheet4
SHAREHOLDERS' EQUITY AND EMPLOYEE BENEFIT PLANS (Narrative) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |
Share data in Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 28, 2013 | Sep. 29, 2012 |
employee | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Description Of Maximum Percentage Of Employee Contributions and Matching Contributions Based Upon Years Of Service | ' | 'employee contributions and matching Company contributions up to 4% or 6% | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Discount from Market Price, Offering Date | ' | 100.00% | ' |
Relative Total Shareholder Return Average Stock Price Calculation Period | ' | '90 days | ' |
Total Shareholder Return Award Performance Measurement Period | ' | '3 years | ' |
Share Based Compensation Arrangement By Share Based Payment Award Option Granted Vesting Percentage | ' | 14.00% | ' |
Share Based Compensation Arrangement By Share Based Payment Award Option Forfeited Vesting Percentage | ' | 21.00% | ' |
Employee Service Share-based Compensation, Cash Received from Exercise of Stock Options | ' | $900,000 | ' |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | 20,600 | 20,600 | ' |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Period for Recognition | ' | '1 year | ' |
Grant To Non Employee Director | 30,000 | 120,000 | ' |
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Settlements and Curtailments | ' | $2,100,000 | $1,700,000 |
Number Of Employees Included In Workforce Reduction Plan | ' | ' | 41 |
Minimum [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Defined Contribution Plan, Employer Matching Contribution, Percent | ' | 4.00% | ' |
Share Based Compensation Arrangement By Share Based Payment Award Vesting Percentage | 0.00% | 0.00% | ' |
Maximum [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Defined Contribution Plan, Employer Matching Contribution, Percent | ' | 6.00% | ' |
Share Based Compensation Arrangement By Share Based Payment Award Vesting Percentage | 200.00% | 200.00% | ' |
Equity Incentive Plan 2009 [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 4,600 | 4,600 | ' |
EARNINGS_PER_SHARE_Reconciliat
EARNINGS PER SHARE (Reconciliation of the shares used in the basic and diluted net income per share computation) (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||||||||||
In Thousands, except Share data, unless otherwise specified | Sep. 28, 2013 | Jun. 29, 2013 | Mar. 30, 2013 | Dec. 29, 2012 | Sep. 29, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 | |||||||||||
Earnings Per Share [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 100,000 | 400,000 | |||||||||||
NUMERATOR: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Net income | $29,531 | $18,887 | $7,336 | $3,604 | $67,282 | [1] | $68,174 | $16,617 | $8,507 | $59,358 | $160,580 | $127,610 | ||||||||||
Less: income applicable to participating securities | ' | ' | ' | ' | ' | ' | ' | ' | 0 | -5 | -716 | |||||||||||
Net income applicable to common shareholders - Basic | ' | ' | ' | ' | ' | ' | ' | ' | 59,358 | 160,575 | 126,894 | |||||||||||
Net income applicable to common shareholders - Diluted | ' | ' | ' | ' | ' | ' | ' | ' | $59,358 | $160,575 | $126,894 | |||||||||||
DENOMINATOR: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Weighted average shares outstanding - Basic (in shares) | 75,279,000 | 75,231,000 | 75,166,000 | 74,852,000 | 74,116,000 | [1] | 74,067,000 | 73,825,000 | 74,000 | 75,132,000 | 73,887,000 | 71,820,000 | ||||||||||
Stock options (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 110,000 | 660,000 | 442,000 | |||||||||||
Time-based restricted stock (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 512,000 | 813,000 | 846,000 | |||||||||||
Market-based restricted stock (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 436,000 | 142,000 | 233,000 | |||||||||||
Weighted average shares outstanding - Diluted (1) | 76,565,000 | 76,473,000 | 76,553,000 | 76,209,000 | 75,942,000 | [1] | 75,994,000 | 75,553,000 | 75,000 | 76,190,000 | [2] | 75,502,000 | [2] | 73,341,000 | [2] | |||||||
EPS: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Net income per share - Basic (in dollars per share) | $0.39 | [3] | $0.25 | [3] | $0.10 | [3] | $0.05 | [3] | $0.91 | [1],[3] | $0.92 | [3] | $0.23 | [3] | $0.12 | [3] | $0.79 | [3] | $2.17 | $1.77 | ||
Effect of dilutive shares (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ($0.01) | ($0.04) | ($0.04) | |||||||||||
Net income per share - Diluted (in dollars per share) | $0.39 | [3] | $0.25 | [3] | $0.10 | [3] | $0.05 | [3] | $0.89 | [1],[3] | $0.90 | [3] | $0.22 | [3] | $0.11 | [3] | $0.78 | [3] | $2.13 | $1.73 | ||
[1] | Includes approximately $7.5 million of income tax expense associated with additional tax exposure in Asia which was subsequently reversed in September 2012. | |||||||||||||||||||||
[2] | There were no potentially dilutive shares excluded for fiscal 2013. Fiscal 2012 and 2011 exclude 0.1 million and 0.4 million dilutive participating securities, respectively, as the income attributable to these shares was not included in EPS. | |||||||||||||||||||||
[3] | EPS for the year may not equal the sum of quarterly EPS due to changes in weighted share calculations. |
EARNINGS_PER_SHARE_Narrative_D
EARNINGS PER SHARE (Narrative) (Details) (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 |
Debt Instrument [Line Items] | ' | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 0 | 100,000 | 400,000 |
Convertible Notes Payable [Member] | Convertible Subordinated Notes, 8.75% [Member] | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' |
Line Of Credit Facility Principal Repaid | ' | 110,000 | ' |
Line Of Credit Facility Interest | ' | 500 | ' |
INCOME_TAXES_Income_from_conti
INCOME TAXES (Income from continuing operations by location, the provision (benefit) for income taxes and the effective tax rate) (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Jun. 29, 2013 | Mar. 30, 2013 | Dec. 29, 2012 | Sep. 29, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 | |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
United States operations | ' | ' | ' | ' | ' | ' | ' | ' | ($4,340) | ($6,111) | $33,531 | |
Foreign operations | ' | ' | ' | ' | ' | ' | ' | ' | 71,008 | 180,362 | 128,897 | |
Income from operations before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 66,668 | 174,251 | 162,428 | |
Provision for income taxes | 5,247 | 247 | 1,041 | 775 | 3,231 | [1] | 6,847 | 1,616 | 1,977 | 7,310 | 13,671 | 34,818 |
Net income | $29,531 | $18,887 | $7,336 | $3,604 | $67,282 | [1] | $68,174 | $16,617 | $8,507 | $59,358 | $160,580 | $127,610 |
Effective tax rate | ' | ' | ' | ' | ' | ' | ' | ' | 11.00% | 7.80% | 21.40% | |
[1] | Includes approximately $7.5 million of income tax expense associated with additional tax exposure in Asia which was subsequently reversed in September 2012. |
INCOME_TAXES_Provision_benefit
INCOME TAXES (Provision (benefit) for income taxes from continuing operations) (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Jun. 29, 2013 | Mar. 30, 2013 | Dec. 29, 2012 | Sep. 29, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 | |
Current: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Federal | ' | ' | ' | ' | ' | ' | ' | ' | ($212) | $4,103 | ($90) | |
State | ' | ' | ' | ' | ' | ' | ' | ' | 291 | 942 | 1,099 | |
Foreign | ' | ' | ' | ' | ' | ' | ' | ' | 1,732 | 5,497 | 14,764 | |
Deferred: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Federal | ' | ' | ' | ' | ' | ' | ' | ' | 985 | 4,169 | 17,463 | |
State | ' | ' | ' | ' | ' | ' | ' | ' | 5 | 48 | 8 | |
Foreign | ' | ' | ' | ' | ' | ' | ' | ' | 4,509 | -1,088 | 1,574 | |
Provision for income taxes | $5,247 | $247 | $1,041 | $775 | $3,231 | [1] | $6,847 | $1,616 | $1,977 | $7,310 | $13,671 | $34,818 |
[1] | Includes approximately $7.5 million of income tax expense associated with additional tax exposure in Asia which was subsequently reversed in September 2012. |
INCOME_TAXES_Effective_income_
INCOME TAXES (Effective income tax rate reconciliation) (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Jun. 29, 2013 | Mar. 30, 2013 | Dec. 29, 2012 | Sep. 29, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 | |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Computed income tax expense based on U.S. statutory rate | ' | ' | ' | ' | ' | ' | ' | ' | $23,334 | $60,988 | $56,850 | |
Effect of earnings of foreign subsidiaries subject to different tax rates | ' | ' | ' | ' | ' | ' | ' | ' | -11,193 | -30,067 | -17,300 | |
Benefits from foreign approved enterprise zones | ' | ' | ' | ' | ' | ' | ' | ' | -9,626 | -22,138 | -21,079 | |
Effect of permanent items | ' | ' | ' | ' | ' | ' | ' | ' | 664 | 152 | 669 | |
Change in valuation allowance | ' | ' | ' | ' | ' | ' | ' | ' | 1,429 | 1,261 | -962 | |
Foreign operations (withholding taxes, deferred taxes on unremitted earnings, US taxation of foreign earnings) | ' | ' | ' | ' | ' | ' | ' | ' | 1,789 | 12,604 | 6,917 | |
Reserve for uncertain tax positions | 2,100 | ' | ' | ' | ' | ' | ' | ' | 683 | -7,626 | 7,406 | |
State income tax expense | ' | ' | ' | ' | ' | ' | ' | ' | -734 | -394 | 1,230 | |
Other, net | ' | ' | ' | ' | ' | ' | ' | ' | 964 | -1,109 | 1,087 | |
Provision for income taxes | $5,247 | $247 | $1,041 | $775 | $3,231 | [1] | $6,847 | $1,616 | $1,977 | $7,310 | $13,671 | $34,818 |
[1] | Includes approximately $7.5 million of income tax expense associated with additional tax exposure in Asia which was subsequently reversed in September 2012. |
INCOME_TAXES_Net_deferred_tax_
INCOME TAXES (Net deferred tax balance) (Details) (USD $) | Sep. 28, 2013 | Sep. 29, 2012 |
In Thousands, unless otherwise specified | ||
Income Tax Disclosure [Abstract] | ' | ' |
Inventory reserves | $1,127 | $2,933 |
Other accruals and reserves | 3,349 | 3,343 |
Net operating loss carryforwards | 779 | 0 |
Valuation allowance | -768 | -2,761 |
Total short-term deferred tax asset | 4,487 | 3,515 |
Total short-term deferred tax liability | 221 | 0 |
Net short-term deferred tax asset | 4,266 | 3,515 |
Domestic tax credit carryforwards | 1,611 | 628 |
Net operating loss carryforwards | 28,138 | 29,384 |
Stock options | 1,299 | 1,322 |
Other | 926 | 769 |
Deferred Tax Assets, Gross | 31,974 | 32,103 |
Valuation allowance | -25,676 | -22,254 |
Total long-term deferred tax asset (1) | 6,298 | 9,849 |
Repatriation of foreign earnings, including foreign withholding taxes | 41,322 | 40,770 |
Depreciable assets | 1,887 | -58 |
Prepaid expenses and other | 0 | 0 |
Total long-term deferred tax liability | 43,209 | 40,712 |
Net long-term deferred tax liability | 36,911 | 30,863 |
Total net deferred tax liability | $32,645 | $27,348 |
INCOME_TAXES_Unrecognized_tax_
INCOME TAXES (Unrecognized tax benefits) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ' | ' | ' |
Unrecognized tax benefit, beginning of year | $6,186 | $13,702 | $6,413 |
Additions for tax positions, current year | 0 | 0 | 0 |
Additions for tax positions, prior year | 2,485 | 110 | 7,585 |
Reductions for tax positions, prior year | -1,802 | -7,626 | -296 |
Unrecognized tax benefit, end of year | $6,869 | $6,186 | $13,702 |
INCOME_TAXES_Narrative_Details
INCOME TAXES (Narrative) (Details) (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 |
Income Tax Disclosure [Abstract] | ' | ' | ' |
Tax Expense Related To Distributions From Earnings | $300 | $3,000 | $4,400 |
Effect of earnings of foreign subsidiaries subject to different tax rates | 411,400 | ' | ' |
Undistributed Earnings Not Reinvested In Foreign Operations | 85,500 | ' | ' |
Foreign Earnings Repatriated | 17,500 | ' | ' |
Deferred Tax Assets, Gross, Noncurrent | 3,800 | 7,000 | ' |
Deferred Tax Assets, Operating Loss Carryforwards, Foreign | 80,600 | ' | ' |
Deferred Tax Assets, Tax Credit Carryforwards | 1,600 | ' | ' |
Unrecognized Tax Benefits that Would Impact Effective Tax Rate | 6,900 | ' | ' |
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense | ' | 8,000 | 7,500 |
Excess tax benefits from stock based compensation | 825 | 1,537 | 2,099 |
Operating Loss Carryforwards [Line Items] | ' | ' | ' |
Unrecognized Tax Benefits, Decreases Resulting from Prior Period Tax Positions | -1,802 | -7,626 | -296 |
Unrecognized Tax Benefits, Decreases Resulting from Settlements with Taxing Authorities | ' | 7,500 | ' |
Deferred Tax Assets, Operating Loss Carryforwards, State and Local | 200,200 | ' | ' |
Operations In Singapore And Malaysia [Member] | ' | ' | ' |
Operating Loss Carryforwards [Line Items] | ' | ' | ' |
Income Tax Reconciliation, Tax Exempt Income | 9,600 | 22,100 | 21,100 |
Income Tax Reconciliation Foreign Income Tax Rate Differential Per Share | $0.13 | $0.30 | $0.29 |
Minimum [Member] | ' | ' | ' |
Operating Loss Carryforwards [Line Items] | ' | ' | ' |
Operating Loss Carryforward, Foreign, Statute Of Limitions | '4 years | ' | ' |
Minimum [Member] | Operations In Singapore And Malaysia [Member] | ' | ' | ' |
Operating Loss Carryforwards [Line Items] | ' | ' | ' |
Effective Income Tax Rate Reconciliation, Foreign Income Tax Rate Differential | ' | 0.00% | ' |
Maximum [Member] | ' | ' | ' |
Operating Loss Carryforwards [Line Items] | ' | ' | ' |
Operating Loss Carryforward, Foreign, Statute Of Limitions | '6 years | ' | ' |
Maximum [Member] | Operations In Singapore And Malaysia [Member] | ' | ' | ' |
Operating Loss Carryforwards [Line Items] | ' | ' | ' |
Effective Income Tax Rate Reconciliation, Foreign Income Tax Rate Differential | 5.00% | ' | ' |
Pennsylvania Tax Law [Member] | ' | ' | ' |
Operating Loss Carryforwards [Line Items] | ' | ' | ' |
Deferred Tax Assets, Operating Loss Carryforwards, State and Local | 3,000 | 3,000 | 3,000 |
Foreign Tax Authority [Member] | ' | ' | ' |
Operating Loss Carryforwards [Line Items] | ' | ' | ' |
Unrecognized Tax Benefits, Decreases Resulting from Prior Period Tax Positions | 1,700 | ' | ' |
Unrecognized Tax Benefits, Decreases Resulting from Settlements with Taxing Authorities | $100 | ' | ' |
OTHER_FINANCIAL_DATA_Other_Fin
OTHER FINANCIAL DATA Other Financial Data (Details) (USD $) | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 | |||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' | ' | |||
Selling, General and Administrative Incentive Compensation Expense | $17,194 | [1] | $21,988 | [1] | $24,264 | [1] |
[1] | Incentive compensation expense is based upon applicable fiscal year operating income. |
SEGMENT_INFORMATION_Operating_
SEGMENT INFORMATION (Operating information by segment) (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Jun. 29, 2013 | Mar. 30, 2013 | Dec. 29, 2012 | Sep. 29, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 | |
Net revenue: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Net revenue | $173,608 | $141,181 | $106,110 | $114,039 | $269,166 | [1] | $255,525 | $146,308 | $120,024 | $534,938 | $791,023 | $830,401 |
Cost of sales : | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Cost of sales | ' | ' | ' | ' | ' | ' | ' | ' | 287,993 | 423,633 | 442,492 | |
Gross profit : | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Gross profit | 80,686 | 65,914 | 48,820 | 51,525 | 122,984 | [1] | 122,443 | 66,687 | 55,276 | 246,945 | 367,390 | 387,909 |
Operating expenses: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Operating expenses | ' | ' | ' | ' | ' | ' | ' | ' | 181,139 | 188,164 | 217,849 | |
Income from operations: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Income from operations | 34,544 | 18,867 | 8,190 | 4,205 | 70,332 | [1] | 76,276 | 20,242 | 12,376 | 65,806 | 179,226 | 170,060 |
Equipment [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Net revenue: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Net revenue | ' | ' | ' | ' | ' | ' | ' | ' | 472,567 | 727,082 | 759,331 | |
Cost of sales : | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Cost of sales | ' | ' | ' | ' | ' | ' | ' | ' | 261,270 | 397,210 | 412,914 | |
Gross profit : | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Gross profit | ' | ' | ' | ' | ' | ' | ' | ' | 211,297 | 329,872 | 346,417 | |
Operating expenses: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Operating expenses | ' | ' | ' | ' | ' | ' | ' | ' | 158,306 | 164,081 | 189,631 | |
Income from operations: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Income from operations | ' | ' | ' | ' | ' | ' | ' | ' | 52,991 | 165,791 | 156,786 | |
Expendable Tools [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Net revenue: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Net revenue | ' | ' | ' | ' | ' | ' | ' | ' | 62,371 | 63,941 | 71,070 | |
Cost of sales : | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Cost of sales | ' | ' | ' | ' | ' | ' | ' | ' | 26,723 | 26,423 | 29,578 | |
Gross profit : | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Gross profit | ' | ' | ' | ' | ' | ' | ' | ' | 35,648 | 37,518 | 41,492 | |
Operating expenses: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Operating expenses | ' | ' | ' | ' | ' | ' | ' | ' | 22,833 | 24,083 | 28,218 | |
Income from operations: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Income from operations | ' | ' | ' | ' | ' | ' | ' | ' | $12,815 | $13,435 | $13,274 | |
[1] | Includes approximately $7.5 million of income tax expense associated with additional tax exposure in Asia which was subsequently reversed in September 2012. |
SEGMENT_INFORMATION_Assets_by_
SEGMENT INFORMATION (Assets by segment) (Details) (USD $) | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 | |||
In Thousands, unless otherwise specified | ||||||
Segment assets: | ' | ' | ' | |||
Total assets | $862,994 | $815,609 | $728,391 | |||
Equipment [Member] | ' | ' | ' | |||
Segment assets: | ' | ' | ' | |||
Total assets | 764,793 | [1] | 746,636 | [1] | 639,149 | [1] |
Expendable Tools [Member] | ' | ' | ' | |||
Segment assets: | ' | ' | ' | |||
Total assets | $98,201 | [1] | $68,973 | [1] | $89,242 | [1] |
[1] | Increase in the Company's Equipment segment and increase in Expendable Tools from fiscal 2012 to 2013 were due to allocation, based upon fiscal year net revenue, of non-segment specific corporate assets. Corporate assets include: cash, cash equivalents, restricted cash, short-term investments, deferred income tax assets and other assets. |
SEGMENT_INFORMATION_Capital_ex
SEGMENT INFORMATION (Capital expenditures and depreciation expense by segment) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 |
Capital expenditures: | ' | ' | ' |
Capital expenditures | $17,172 | $6,902 | $7,688 |
Depreciation expense: | ' | ' | ' |
Depreciation expense | 9,311 | 8,087 | 8,212 |
Equipment [Member] | ' | ' | ' |
Capital expenditures: | ' | ' | ' |
Capital expenditures | 11,704 | 5,318 | 4,229 |
Depreciation expense: | ' | ' | ' |
Depreciation expense | 6,936 | 5,745 | 5,955 |
Expendable Tools [Member] | ' | ' | ' |
Capital expenditures: | ' | ' | ' |
Capital expenditures | 5,468 | 1,584 | 3,459 |
Depreciation expense: | ' | ' | ' |
Depreciation expense | $2,375 | $2,342 | $2,257 |
SEGMENT_INFORMATION_Narrative_
SEGMENT INFORMATION (Narrative) (Details) | 12 Months Ended |
Sep. 28, 2013 | |
segment | |
Segment Reporting [Abstract] | ' |
Number of reportable segments | 2 |
SEGMENT_INFORMATION_Sales_by_c
SEGMENT INFORMATION Sales by country (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Jun. 29, 2013 | Mar. 30, 2013 | Dec. 29, 2012 | Sep. 29, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenue, Net | $173,608 | $141,181 | $106,110 | $114,039 | $269,166 | [1] | $255,525 | $146,308 | $120,024 | $534,938 | $791,023 | $830,401 |
Taiwan [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenue, Net | ' | ' | ' | ' | ' | ' | ' | ' | 150,271 | 251,128 | 240,390 | |
China [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenue, Net | ' | ' | ' | ' | ' | ' | ' | ' | 124,272 | 160,573 | 132,933 | |
Hong Kong [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenue, Net | ' | ' | ' | ' | ' | ' | ' | ' | 28,911 | 76,964 | 104,481 | |
Korea [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenue, Net | ' | ' | ' | ' | ' | ' | ' | ' | 36,949 | 71,552 | 114,130 | |
Malaysia [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenue, Net | ' | ' | ' | ' | ' | ' | ' | ' | 23,799 | 39,447 | 46,831 | |
Philippines [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenue, Net | ' | ' | ' | ' | ' | ' | ' | ' | 30,257 | 33,715 | 16,806 | |
Japan [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenue, Net | ' | ' | ' | ' | ' | ' | ' | ' | 17,680 | 24,755 | 28,747 | |
Singapore [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenue, Net | ' | ' | ' | ' | ' | ' | ' | ' | 35,833 | 23,045 | 33,503 | |
Thailand [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenue, Net | ' | ' | ' | ' | ' | ' | ' | ' | 9,143 | 21,828 | 19,539 | |
GERMANY | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenue, Net | ' | ' | ' | ' | ' | ' | ' | ' | 5,822 | 7,319 | 9,217 | |
VIET NAM | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenue, Net | ' | ' | ' | ' | ' | ' | ' | ' | 4,639 | 10,019 | 5,715 | |
United States [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenue, Net | ' | ' | ' | ' | ' | ' | ' | ' | 14,652 | 13,433 | 17,955 | |
MALTA | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenue, Net | ' | ' | ' | ' | ' | ' | ' | ' | 9,552 | 6,089 | 10,009 | |
All Other Segments [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenue, Net | ' | ' | ' | ' | ' | ' | ' | ' | $43,158 | $51,156 | $50,145 | |
[1] | Includes approximately $7.5 million of income tax expense associated with additional tax exposure in Asia which was subsequently reversed in September 2012. |
SEGMENT_INFORMATION_Longlived_
SEGMENT INFORMATION Long-lived assets by countries (Details) (USD $) | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 |
In Thousands, unless otherwise specified | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Long-Lived Assets | $108,606 | $102,293 | $108,550 |
Singapore [Member] | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Long-Lived Assets | 87,104 | 67,060 | 74,130 |
United States [Member] | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Long-Lived Assets | 7,525 | 14,193 | 13,043 |
Israel [Member] | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Long-Lived Assets | 5,674 | 8,078 | 7,887 |
Switzerland [Member] | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Long-Lived Assets | 252 | 6,101 | 6,522 |
China [Member] | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Long-Lived Assets | 6,718 | 4,438 | 4,470 |
All Other Segments [Member] | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Long-Lived Assets | $1,333 | $2,423 | $2,498 |
COMMITMENTS_CONTINGENCIES_AND_2
COMMITMENTS, CONTINGENCIES AND CONCENTRATIONS (Reserve for product warranty activity) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 |
Movement in Standard and Extended Product Warranty, Increase (Decrease) [Roll Forward] | ' | ' | ' |
Reserve for product warranty, beginning of period | $2,412 | $2,245 | $2,657 |
Provision for product warranty | 1,093 | 3,521 | 2,914 |
Product warranty costs paid | 2,311 | 3,354 | 3,326 |
Reserve for product warranty, end of period | $1,194 | $2,412 | $2,245 |
COMMITMENTS_CONTINGENCIES_AND_3
COMMITMENTS, CONTINGENCIES AND CONCENTRATIONS (Obligations not reflected on the Consolidated Balance Sheet) (Details) (USD $) | Sep. 28, 2013 | |
In Thousands, unless otherwise specified | ||
Commitments and Contingencies Disclosure [Abstract] | ' | |
Inventory purchase obligation | $57,229 | [1] |
Inventory purchase obligation, Payments due by fiscal year 2013 | 57,229 | [1] |
Inventory purchase obligation, Payments due by fiscal year 2014 | 0 | [1] |
Inventory purchase obligation, Payments due by fiscal year 2015 | 0 | [1] |
Inventory purchase obligation, Payments due by fiscal year 2016 | 0 | [1] |
Inventory purchase obligation, Payments due by fiscal year thereafter | 0 | [1] |
Operating lease obligations | 31,211 | [2] |
Operating lease obligations, Payments due by fiscal year 2013 | 3,700 | [2] |
Operating lease obligations, Payments due by fiscal year 2014 | 3,380 | [2] |
Operating lease obligations, Payments due by fiscal year 2015 | 2,761 | [2] |
Operating lease obligations, Payments due by fiscal year 2016 | 2,364 | [2] |
Operating lease obligations, Payments due by fiscal year thereafter | 19,006 | [2] |
Total | 88,440 | |
Total, Payments due by fiscal year 2013 | 60,929 | |
Total, Payments due by fiscal year 2014 | 3,380 | |
Total, Payments due by fiscal year 2015 | 2,761 | |
Total, Payments due by fiscal year 2016 | 2,364 | |
Total, Payments due by fiscal year thereafter | $19,006 | |
[1] | The Company orders inventory components in the normal course of its business. A portion of these orders are non-cancelable and a portion may have varying penalties and charges in the event of cancellation. | |
[2] | The Company has minimum rental commitments under various leases (excluding taxes, insurance, maintenance and repairs, which are also paid by the Company) primarily for various facility and equipment leases, which expire periodically through 2023 (not including lease extension options, if applicable). Pursuant to ASC No. 840, Leases, for lessee's involvement in asset construction, the Company is considered the owner of the Building during the construction phase of the ADL. As of SeptemberB 28, 2013, the Company has recorded a financing obligation of $19.4 million related to the Building and is expected to record an additional $0.6 million over the construction term, which is expected to be completed in the next twelve months. This financing obligation is not reflected in the table above. Under the lease agreement contemplated by the ADL, (the bLease Agreementb), the term for the rental of the Initial Premises is expected to be 10 years (the bInitial Termb). Pte will have the option to renew for two additional ten-year terms. The combined annual rent and service charge for the Initial Term will range between approximately $4.0 to $5.0 million Singapore dollars. Subject to renting a minimum amount of space, Pte will have a right of first refusal for all space that becomes available in the Building, and the Landlord has agreed to make available a certain amount of additional space for rental at Pte's option which may be exercised at certain points during the second half of the Initial Term. Subject to renting a minimum amount of space for a certain period, Pte will have partial surrender rights. In addition, Pte will have termination rights after renting the Initial Premises for a certain period of time. The Lease Agreement is not in effect as of the date of this report and is not reflected in the above table. |
COMMITMENTS_CONTINGENCIES_AND_4
COMMITMENTS, CONTINGENCIES AND CONCENTRATIONS (Significant customer concentrations as a percentage of net revenue) (Details) (Sales Revenue Net [Member], Customer Concentration Risk [Member]) | 12 Months Ended | |||
Sep. 29, 2012 | Oct. 01, 2011 | Sep. 28, 2013 | Sep. 29, 2012 | |
Advanced Semiconductor Engineering [Member] | Advanced Semiconductor Engineering [Member] | Siliconware Precision Industries Co. Limited [Member] | Siliconware Precision Industries Co. Limited [Member] | |
Concentration Risk [Line Items] | ' | ' | ' | ' |
Customer concentrations risk percentage | 22.40% | 21.80% | 11.00% | 14.90% |
COMMITMENTS_CONTINGENCIES_AND_5
COMMITMENTS, CONTINGENCIES AND CONCENTRATIONS (Significant customer concentrations as a percentage of total accounts receivable) (Details) (Accounts Receivable [Member], Customer Concentration Risk [Member]) | 12 Months Ended | |
Sep. 28, 2013 | Sep. 29, 2012 | |
Siliconware Precision Industries Ltd [Member] | ' | ' |
Concentration Risk [Line Items] | ' | ' |
Customer concentrations risk percentage | 19.50% | ' |
STATS ChipPAC Ltd [Member] | ' | ' |
Concentration Risk [Line Items] | ' | ' |
Customer concentrations risk percentage | 14.50% | ' |
Haoseng Industrial Co., Ltd [Member] | ' | ' |
Concentration Risk [Line Items] | ' | ' |
Customer concentrations risk percentage | 11.90% | 15.00% |
Siliconware Precision Industries Co. Limited [Member] | ' | ' |
Concentration Risk [Line Items] | ' | ' |
Customer concentrations risk percentage | ' | 31.00% |
COMMITMENTS_CONTINGENCIES_AND_6
COMMITMENTS, CONTINGENCIES AND CONCENTRATIONS (Narrative) (Details) | 12 Months Ended | |||
Sep. 28, 2013 | Sep. 28, 2013 | Sep. 29, 2012 | 7-May-12 | |
SGD | USD ($) | USD ($) | sqft | |
renewal_option | ||||
Commitments and Contingencies Disclosure [Abstract] | ' | ' | ' | ' |
Area of Land | ' | ' | ' | 198,134 |
Percentage Of Building Area Agreed To Lease From Landlord | ' | ' | ' | 69.00% |
Period Of Warranty For Manufacturing Defects | '1 year | ' | ' | ' |
Lease Expiration Year | '2023 | ' | ' | ' |
Built-to-suit liability | ' | $19,396,000 | $0 | ' |
Lease Contractual Obligation Expected | ' | 600,000 | ' | ' |
Sale Of Building, Completion Period | '12 months | ' | ' | ' |
Lease Agreement Term | '10 years | ' | ' | ' |
Lessee Leasing Arrangements, Operating Leases, Number of Renewal Options | 2 | ' | ' | ' |
Pte Renewed Two Additional Terms | '10 years | ' | ' | ' |
Annual Rent And Service Charge Minimum Range | 4,000,000 | ' | ' | ' |
Annual Rent And Service Charge Maximum Range | 5,000,000 | ' | ' | ' |
SELECTED_QUARTERLY_FINANCIAL_R2
SELECTED QUARTERLY FINANCIAL RESULTS (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||||||||||
In Thousands, except Per Share data, unless otherwise specified | Sep. 28, 2013 | Jun. 29, 2013 | Mar. 30, 2013 | Dec. 29, 2012 | Sep. 29, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 | |||||||||||
SELECTED QUARTERLY FINANCIAL RESULTS [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | $8,000 | $7,500 | |||||||||||
Revenue, Net | 173,608 | 141,181 | 106,110 | 114,039 | 269,166 | [1] | 255,525 | 146,308 | 120,024 | 534,938 | 791,023 | 830,401 | ||||||||||
Gross Profit | 80,686 | 65,914 | 48,820 | 51,525 | 122,984 | [1] | 122,443 | 66,687 | 55,276 | 246,945 | 367,390 | 387,909 | ||||||||||
Operating Income (Loss) | 34,544 | 18,867 | 8,190 | 4,205 | 70,332 | [1] | 76,276 | 20,242 | 12,376 | 65,806 | 179,226 | 170,060 | ||||||||||
Income Tax Expense (Benefit) | 5,247 | 247 | 1,041 | 775 | 3,231 | [1] | 6,847 | 1,616 | 1,977 | 7,310 | 13,671 | 34,818 | ||||||||||
Net income | $29,531 | $18,887 | $7,336 | $3,604 | $67,282 | [1] | $68,174 | $16,617 | $8,507 | $59,358 | $160,580 | $127,610 | ||||||||||
Basic (in dollars per share) | $0.39 | [2] | $0.25 | [2] | $0.10 | [2] | $0.05 | [2] | $0.91 | [1],[2] | $0.92 | [2] | $0.23 | [2] | $0.12 | [2] | $0.79 | [2] | $2.17 | $1.77 | ||
Earnings Per Share, Diluted | $0.39 | [2] | $0.25 | [2] | $0.10 | [2] | $0.05 | [2] | $0.89 | [1],[2] | $0.90 | [2] | $0.22 | [2] | $0.11 | [2] | $0.78 | [2] | $2.13 | $1.73 | ||
Weighted average shares outstanding - Basic (in shares) | 75,279 | 75,231 | 75,166 | 74,852 | 74,116 | [1] | 74,067 | 73,825 | 74 | 75,132 | 73,887 | 71,820 | ||||||||||
Weighted Average Number of Shares Outstanding, Diluted | 76,565 | 76,473 | 76,553 | 76,209 | 75,942 | [1] | 75,994 | 75,553 | 75 | 76,190 | [3] | 75,502 | [3] | 73,341 | [3] | |||||||
[1] | Includes approximately $7.5 million of income tax expense associated with additional tax exposure in Asia which was subsequently reversed in September 2012. | |||||||||||||||||||||
[2] | EPS for the year may not equal the sum of quarterly EPS due to changes in weighted share calculations. | |||||||||||||||||||||
[3] | There were no potentially dilutive shares excluded for fiscal 2013. Fiscal 2012 and 2011 exclude 0.1 million and 0.4 million dilutive participating securities, respectively, as the income attributable to these shares was not included in EPS. |
Schedule_IIValuation_and_Quali1
Schedule II-Valuation and Qualifying Accounts (Details) (USD $) | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Sep. 28, 2013 | Sep. 29, 2012 | Oct. 01, 2011 | |||
Allowance for doubtful accounts [Member] | ' | ' | ' | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | ' | ' | ' | |||
Beginning of period | $937 | $2,194 | $980 | |||
Charged to Costs and Expenses | -371 | -1,239 | 1,219 | |||
Other Additions | 0 | 0 | 0 | |||
Other Deductions | -62 | [1] | -18 | [1] | -5 | [1] |
End of period | 504 | 937 | 2,194 | |||
Inventory reserve [Member] | ' | ' | ' | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | ' | ' | ' | |||
Beginning of period | 18,617 | 15,099 | 10,140 | |||
Charged to Costs and Expenses | 3,561 | 6,060 | 6,701 | |||
Other Additions | 0 | 0 | 0 | |||
Other Deductions | -8,058 | [2] | -2,542 | [2] | -1,742 | [2] |
End of period | 14,120 | 18,617 | 15,099 | |||
Valuation allowance for deferred taxes [Member] | ' | ' | ' | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | ' | ' | ' | |||
Beginning of period | 25,015 | 23,777 | 27,856 | |||
Charged to Costs and Expenses | 1,429 | [3] | 1,261 | -1,980 | [3] | |
Other Additions | 0 | 0 | -2,099 | [4] | ||
Other Deductions | 0 | -23 | 0 | |||
End of period | $26,444 | $25,015 | $23,777 | |||
[1] | Represents write-offs of specific accounts receivable. | |||||
[2] | Sale or scrap of previously reserved inventory. | |||||
[3] | Reflects increase/decrease in the valuation allowance primarily associated with the Company's U.S. and foreign net operating losses and other deferred tax assets. | |||||
[4] | Release of valuation allowance related to prior stock option exercises recorded to additional paid in capital. |