Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Dec. 31, 2015 | Jan. 29, 2016 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | QUANTUM CORP /DE/ | |
Entity Central Index Key | 709,283 | |
Current Fiscal Year End Date | --03-31 | |
Entity Filer Category | Accelerated Filer | |
Trading Symbol | QTM | |
Document Type | 10-Q | |
Document Period End Date | Dec. 31, 2015 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 264,233,646 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2015 | Mar. 31, 2015 |
Current assets: | ||
Cash and cash equivalents | $ 32,919 | $ 67,948 |
Restricted cash | 2,763 | 2,621 |
Accounts receivable, net of allowance for doubtful accounts of $22 and $27, respectively | 101,269 | 124,159 |
Manufacturing inventories | 33,569 | 50,274 |
Service parts inventories | 22,367 | 24,640 |
Other current assets | 11,578 | 11,942 |
Total current assets | 204,465 | 281,584 |
Long-term assets: | ||
Property and equipment, less accumulated depreciation | 13,893 | 14,653 |
Intangible assets, less accumulated amortization | 498 | 731 |
Goodwill | 55,613 | 55,613 |
Other long-term assets | 3,732 | 4,577 |
Total long-term assets | 73,736 | 75,574 |
Total Assets | 278,201 | 357,158 |
Current liabilities: | ||
Accounts payable | 41,666 | 54,367 |
Accrued warranty | 3,422 | 4,219 |
Deferred revenue, current | 86,416 | 95,899 |
Accrued restructuring charges, current | 1,757 | 3,855 |
Convertible subordinated debt, current, net of unamortized debt issuance costs of $390 at March 31, 2015 | 0 | 83,345 |
Accrued compensation | 24,680 | 35,414 |
Other accrued liabilities | 13,317 | 20,740 |
Total current liabilities | 171,258 | 297,839 |
Long-term liabilities: | ||
Deferred revenue, long-term | 34,182 | 39,532 |
Accrued restructuring charges, long-term | 831 | 991 |
Long-term debt | 68,920 | 0 |
Convertible subordinated debt, long-term, net of unamortized debt issuance costs of $862 and $1,207, respectively | 69,138 | 68,793 |
Other long-term liabilities | 10,738 | 10,441 |
Total long-term liabilities | 183,809 | 119,757 |
Stockholders' deficit: | ||
Common stock, $0.01 par value; 1,000,000 shares authorized; 264,140 and 258,208 shares issued and outstanding at December 31, 2015 and March 31, 2015, respectively | 2,641 | 2,582 |
Capital in excess of par | 462,351 | 456,411 |
Accumulated deficit | (545,592) | (523,311) |
Accumulated other comprehensive income | 3,734 | 3,880 |
Total stockholders’ deficit | (76,866) | (60,438) |
Total liabilities and stockholders' deficit | $ 278,201 | $ 357,158 |
CONDENSED CONSOLIDATED BALANCE3
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2015 | Mar. 31, 2015 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts | $ 22 | $ 27 |
Unamortized debt issuance costs, current | 0 | 390 |
Unamortized debt issuance costs, long-term | $ 862 | $ 1,207 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 1,000,000,000 | 1,000,000,000 |
Common stock, shares issued | 264,140,000 | 258,208,000 |
Common stock, shares outstanding | 264,140,000 | 258,208,000 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Statement [Abstract] | ||||
Product revenue | $ 79,672 | $ 92,166 | $ 213,448 | $ 257,576 |
Service revenue | 37,099 | 39,191 | 112,285 | 116,848 |
Royalty revenue | 11,277 | 10,706 | 30,196 | 30,873 |
Total revenue | 128,048 | 142,063 | 355,929 | 405,297 |
Cost of product revenue | 56,323 | 59,772 | 156,360 | 170,273 |
Cost of service revenue | 15,028 | 17,224 | 49,590 | 52,502 |
Total cost of revenue | 71,351 | 76,996 | 205,950 | 222,775 |
Gross margin | 56,697 | 65,067 | 149,979 | 182,522 |
Operating expenses: | ||||
Research and development | 11,148 | 13,969 | 37,841 | 43,680 |
Sales and marketing | 28,212 | 27,494 | 83,860 | 83,417 |
General and administrative | 13,488 | 13,815 | 41,610 | 42,271 |
Restructuring charges | 1,895 | 187 | 2,540 | 1,676 |
Total operating expenses | 54,743 | 55,465 | 165,851 | 171,044 |
Gain on sale of assets | 0 | 0 | 0 | 462 |
Income (loss) from operations | 1,954 | 9,602 | (15,872) | 11,940 |
Other income and expense | (22) | 125 | 406 | 215 |
Interest expense | (1,406) | (2,460) | (5,304) | (7,360) |
Loss on debt extinguishment | (394) | 0 | (394) | 0 |
Income (loss) before income taxes | 132 | 7,267 | (21,164) | 4,795 |
Income tax provision | 431 | 336 | 1,117 | 940 |
Net income (loss) | $ (299) | $ 6,931 | $ (22,281) | $ 3,855 |
Basic net income (loss) per share (usd per share) | $ 0 | $ 0.03 | $ (0.09) | $ 0.02 |
Diluted net income (loss) per share (usd per share) | $ 0 | $ 0.03 | $ (0.09) | $ 0.01 |
Weighted average shares: Basic (in shares) | 264,003 | 255,860 | 261,849 | 253,773 |
Weighted average shares: Diluted (in shares) | 264,003 | 302,855 | 261,849 | 257,807 |
CONDENSED CONSOLIDATED STATEME5
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income (loss) | $ (299) | $ 6,931 | $ (22,281) | $ 3,855 |
Other comprehensive income (loss), net of taxes: | ||||
Foreign currency translation adjustments | (244) | (969) | (143) | (2,061) |
Net unrealized gain (loss) on revaluation of long-term intercompany balances | (124) | 148 | (3) | 431 |
Total other comprehensive loss | (368) | (821) | (146) | (1,630) |
Total comprehensive income (loss) | $ (667) | $ 6,110 | $ (22,427) | $ 2,225 |
CONDENSED CONSOLIDATED STATEME6
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 9 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Cash flows from operating activities: | ||
Net income (loss) | $ (22,281) | $ 3,855 |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | ||
Depreciation | 4,945 | 6,364 |
Amortization of intangible assets | 233 | 3,537 |
Amortization and write-off of debt issuance costs | 894 | 1,246 |
Service parts lower of cost or market adjustment | 4,640 | 2,690 |
Gain on sale of assets | 0 | (462) |
Deferred income taxes | (1) | (11) |
Share-based compensation | 7,339 | 8,655 |
Changes in assets and liabilities, net of effect of acquisition: | ||
Accounts receivable | 22,890 | (9,023) |
Manufacturing inventories | 13,503 | (6,145) |
Service parts inventories | (547) | (686) |
Accounts payable | (12,708) | 9,325 |
Accrued warranty | (797) | (1,328) |
Deferred revenue | (14,833) | (8,928) |
Accrued restructuring charges | (2,258) | (2,197) |
Accrued compensation | (10,711) | 6,774 |
Other assets and liabilities | (6,222) | (2,549) |
Net cash provided by (used in) operating activities | (15,914) | 11,117 |
Cash flows from investing activities: | ||
Purchases of property and equipment | (2,800) | (2,882) |
Proceeds from sale of assets | 0 | 462 |
Change in restricted cash | (142) | (139) |
Purchases of other investments | 0 | (22) |
Return of principal from other investments | 0 | 104 |
Payment for business acquisition, net of cash acquired | 0 | (517) |
Net cash used in investing activities | (2,942) | (2,994) |
Cash flows from financing activities: | ||
Borrowings of long-term debt, net | 68,920 | 0 |
Repayments of convertible subordinated debt | (83,735) | 0 |
Payment of taxes due upon vesting of restricted stock | (3,112) | (2,212) |
Proceeds from issuance of common stock | 1,772 | 2,060 |
Net cash used in financing activities | (16,155) | (152) |
Effect of exchange rate changes on cash and cash equivalents | (18) | (113) |
Net increase (decrease) in cash and cash equivalents | (35,029) | 7,858 |
Cash and cash equivalents at beginning of period | 67,948 | 99,125 |
Cash and cash equivalents at end of period | 32,919 | 106,983 |
Supplemental disclosure of cash flow information: | ||
Purchases of property and equipment included in accounts payable | $ 430 | $ 90 |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 9 Months Ended |
Dec. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
BASIS OF PRESENTATION | BASIS OF PRESENTATION Quantum Corporation (“Quantum”, the “Company”, “us” or “we”) is a leading expert in scale-out storage, archive and data protection, providing solutions for capturing, sharing, transforming and preserving digital assets over the entire data lifecycle. Our customers, ranging from small businesses to large/multi-national enterprises, trust us to address their most demanding content workflow challenges. We provide solutions for storing and protecting information in physical, virtual and cloud environments that are designed to help customers Be Certain ™ that they have an end-to-end storage foundation to maximize the value of their data by making it accessible whenever and wherever needed, retaining it indefinitely and reducing total cost and complexity. We work closely with a broad network of distributors, value-added resellers (“VARs”), direct marketing resellers (“DMRs”), original equipment manufacturers (“OEMs”) and other suppliers to meet customers’ evolving needs. Our stock is traded on the New York Stock Exchange under the symbol QTM. The accompanying unaudited Condensed Consolidated Financial Statements include the accounts of Quantum and our wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated. In the Condensed Consolidated Balance Sheets, prior period convertible subordinated debt, current and long-term, have been presented net of debt issuance costs to conform to current period presentation. The interim financial statements reflect all adjustments, consisting of normal recurring adjustments that, in the opinion of management, are necessary for a fair statement of the results for the periods shown. The results of operations for such periods are not necessarily indicative of the results expected for the full fiscal year. The Condensed Consolidated Balance Sheet as of March 31, 2015 has been derived from the audited financial statements at that date, but it does not include all disclosures required by accounting principles generally accepted in the United States for complete financial statements. The accompanying financial statements should be read in conjunction with the audited Consolidated Financial Statements for the fiscal year ended March 31, 2015 included in our Annual Report on Form 10-K, as filed with the Securities and Exchange Commission on June 12, 2015. Recently Adopted Accounting Pronouncements In April 2015, the FASB issued ASU No. 2015-03, Interest - Imputation of Interest (Topic 835-30): Simplifying the Presentation of Debt Issuance Costs ("ASU 2015-03"). ASU 2015-03 requires that debt issuance costs related to a recognized debt liability be presented on the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The recognition and measurement guidance for debt issuance costs is not affected by ASU 2015-03. ASU 2015-03 is effective for financial statements issued for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. Early adoption is permitted. We adopted ASU 2015-03 in the first quarter of fiscal 2016 and reclassified debt issuance costs from other current and long-term assets to convertible subordinated debt on the Condensed Consolidated Balance Sheets. Adoption did not otherwise impact our statements of financial position or results of operations. In August 2015, the FASB issued ASU No. 2015-15, Interest - Imputation of Interest (Topic 835-30): Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements ("ASU 2015-15"). ASU 2015-15 states that given the absence of authoritative guidance within ASU 2015-03, which does not address for debt issuance costs related to line-of-credit arrangements, the SEC staff would not object to an entity deferring and presenting debt issuance costs as an asset and subsequently amortizing the deferred costs ratably over the term of the line-of-credit arrangement regardless of whether there are any outstanding borrowings on the line-of-credit arrangement. We adopted ASU 2015-15 in the second quarter of fiscal 2016 and present debt issuance costs related to our line-of-credit arrangements as an asset. Adoption did not impact our statements of financial position or results of operations. Recent Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) (“ASU 2014-09”). ASU 2014-09 requires entities to recognize revenue through the application of a five-step model, which includes identification of the contract, identification of the performance obligations, determination of the transaction price, allocation of the transaction price to the performance obligations and recognition of revenue as the entity satisfies the performance obligations. ASU 2014-09 will become effective for us beginning April 1, 2018, or fiscal 2019. We are currently evaluating the guidance to determine the potential impact on our financial condition, results of operations, cash flows and financial statement disclosures. In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements – Going Concern (Topic 205-40): Disclosure of Uncertainties about an Entity's Ability to Continue as a Going Concern (“ASU 2014-15”). ASU 2014-15 requires that management assess an entity’s ability to continue as a going concern by incorporating and expanding upon certain principles that are currently in U.S. auditing standards. ASU 2014-15 is effective for annual periods ending after December 15, 2016, and for annual periods and interim periods thereafter. We plan to adopt ASU 2014-15 as of the end of our fiscal year ending March 31, 2017 and do not anticipate adoption will impact our statements of financial position or results of operations. In April 2015, the FASB issued ASU No. 2015-05, Customer's Accounting for Fees Paid in a Cloud Computing Arrangement ("ASU 2015-05"). ASU 2015-05 requires that customers apply the same criteria as vendors to determine whether a cloud computing arrangement ("CCA") contains a software license or is solely a service contract. Under ASU 2015-05, fees paid by a customer in a CCA will be within the scope of internal-use software guidance if both of the following criteria are met: 1) the customer has the contractual right to take possession of the software at any time without significant penalty, and 2) it is feasible for the customer to run the software on its own hardware (or to contract with another party to host the software). ASU 2015-05 will be effective for us beginning April 1, 2016, or fiscal 2017. We do not anticipate adoption will impact our statements of financial position or results of operations. In July 2015, the FASB issued ASU No. 2015-11, Inventory (Topic 330) ("ASU 2015-11"). ASU 2015-11 requires that an entity measure all inventory at the lower of cost and net realizable value, except for inventory that is measured using last-in, first-out (LIFO) or the retail inventory method. ASU 2015-11 will become effective for us beginning April 1, 2017, or fiscal 2018. We are currently evaluating the guidance to determine the potential impact on our financial condition, results of operations, cash flows and financial statement disclosures. In November 2015, the FASB issued ASU No. 2015-17, Income Taxes (Topic 740) Balance Sheet Classification of Deferred Taxes ("ASU 2015-17"). ASU 2015-17 requires that deferred tax liabilities and assets be classified as non-current in a classified statement of financial positions. ASU 2015-17 will become effective for us beginning April 1, 2017, or fiscal 2018. We are currently evaluating the guidance to determine the potential impact on our financial condition, results of operations, cash flows and financial statement disclosures. In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments - Overall (Topic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities ("ASU 2016-01"). ASU 2016-01 addresses certain aspects of recognition, measurement, presentation and disclosures of financial instruments. ASU 2016-01 will become effective for us beginning April 1, 2018, or fiscal 2019. We are currently evaluating the guidance to determine the potential impact on our financial condition, results of operations, cash flows and financial statement disclosures. |
ACQUISITION
ACQUISITION | 9 Months Ended |
Dec. 31, 2015 | |
Business Combinations [Abstract] | |
ACQUISITION | ACQUISITION On July 29, 2014, we acquired a majority of the assets of Symform, Inc., a Washington corporation, for cash of approximately $0.5 million . The assets, consisting primarily of Symform technology, were recorded as purchased technology and are expected to enhance our cloud software capabilities and service offerings for data protection and scale-out storage. This acquisition was recorded as a business combination and the effect was not material to our financial position, results of operations or cash flows. |
FAIR VALUE
FAIR VALUE | 9 Months Ended |
Dec. 31, 2015 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE | FAIR VALUE Our assets measured and recorded at fair value on a recurring basis consist of money market funds, which are included in cash and cash equivalents in our Condensed Consolidated Balance Sheets and are valued using quoted market prices (level 1 fair value measurements) at the respective balance sheet dates (in thousands): As of December 31, 2015 March 31, 2015 Money market funds $ 6,241 $ 34,278 We did not record impairments to any non-financial assets in the third quarter or first nine months of fiscal 2016 or 2015 . We do not have any non-financial liabilities measured and recorded at fair value on a non-recurring basis. Our financial liabilities were comprised primarily of convertible subordinated debt and long-term debt at December 31, 2015 and convertible subordinated debt at March 31, 2015 . The carrying value and fair value of our subordinated debt and our long-term debt were as follows (in thousands): As of December 31, 2015 March 31, 2015 Carrying Value Fair Value Carrying Value Fair Value Convertible subordinated debt (1) $ 69,138 $ 64,197 $ 152,138 $ 166,551 Long-term debt (2) $ 68,920 $ 68,882 $ — $ — (1) Fair value based on quoted market prices in less active markets (level 2). (2) Fair value based on outstanding borrowings and market interest rates (level 2) |
INVENTORIES
INVENTORIES | 9 Months Ended |
Dec. 31, 2015 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | INVENTORIES Manufacturing inventories and service parts inventories consisted of the following (in thousands): As of December 31, 2015 March 31, 2015 Manufacturing inventories: Finished goods $ 18,969 $ 28,022 Work in process 84 58 Materials and purchased parts 14,516 22,194 $ 33,569 $ 50,274 As of December 31, 2015 March 31, 2015 Service parts inventories: Finished goods $ 16,968 $ 18,143 Component parts 5,399 6,497 $ 22,367 $ 24,640 |
INTANGIBLE ASSETS AND GOODWILL
INTANGIBLE ASSETS AND GOODWILL | 9 Months Ended |
Dec. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
INTANGIBLE ASSETS AND GOODWILL | INTANGIBLE ASSETS AND GOODWILL We evaluate our amortizable and indefinite-lived intangible assets (“long-lived assets”) for impairment whenever indicators of impairment exist. We concluded the carrying amount of our long-lived assets was recoverable and there was no impairment in the third quarter or first nine months of fiscal 2016 or 2015 . The following provides a summary of the carrying value of intangible assets (in thousands): As of December 31, 2015 March 31, 2015 Gross Amount Accumulated Amortization Net Amount Gross Amount Accumulated Amortization Net Amount Purchased technology $ 179,992 $ (179,494 ) $ 498 $ 179,992 $ (179,261 ) $ 731 Trademarks 3,900 (3,900 ) — 3,900 (3,900 ) — Customer lists 66,219 (66,219 ) — 66,219 (66,219 ) — $ 250,111 $ (249,613 ) $ 498 $ 250,111 $ (249,380 ) $ 731 We evaluate goodwill for impairment annually during the fourth quarter of our fiscal year, or more frequently when indicators of impairment are present. There were no changes to goodwill balances during the third quarter or first nine months of fiscal 2016 . The following table provides a summary of the goodwill balance at both December 31, 2015 and March 31, 2015 (in thousands): Goodwill Accumulated Impairment Losses Net Amount Balance $ 394,613 $ (339,000 ) $ 55,613 |
ACCRUED WARRANTY
ACCRUED WARRANTY | 9 Months Ended |
Dec. 31, 2015 | |
Product Warranties Disclosures [Abstract] | |
ACCRUED WARRANTY | ACCRUED WARRANTY The changes in the accrued warranty balance were (in thousands): Three Months Ended Nine Months Ended December 31, 2015 December 31, 2014 December 31, 2015 December 31, 2014 Beginning balance $ 3,473 $ 5,290 $ 4,219 $ 6,116 Additional warranties issued 1,550 1,596 4,680 4,843 Adjustments for warranties issued in prior fiscal years 228 (319 ) 159 (179 ) Settlements (1,829 ) (1,779 ) (5,636 ) (5,992 ) Ending balance $ 3,422 $ 4,788 $ 3,422 $ 4,788 We warrant our products against certain defects for one to three years. A provision for estimated future costs and estimated returns for repair or replacement relating to warranty is recorded when products are shipped and revenue recognized. Our estimate of future costs to satisfy warranty obligations is primarily based on historical trends and, if believed to be significantly different from historical trends, estimates of future failure rates and future costs of repair. Future costs of repair include materials consumed in the repair, labor and overhead amounts necessary to perform the repair. If we determine in a future period that either actual failure rates or actual costs of repair were to differ from our estimates, we record the impact of those differences in that future period. |
DEBT
DEBT | 9 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
DEBT | DEBT On October 5, 2015, we entered into a private transaction with a note holder to purchase $81.0 million of aggregate principal amount of our 3.50% convertible subordinated notes due November 15, 2015 ("3.50% notes") for $82.4 million , which included $1.1 million of accrued interest. In connection with this transaction, we recorded a loss on debt extinguishment of $0.4 million comprised of a loss of $0.3 million from the notes purchased and $0.1 million of unamortized debt issuance costs related to the purchased notes. We used a combination of $66.1 million of proceeds from our credit agreement with Wells Fargo ("WF credit agreement") and $16.3 million of restricted cash to fund the purchase and pay the accrued interest. On November 15, 2015, we paid and purchased the remaining $2.8 million 3.50% notes and funded this payment using proceeds from the WF credit agreement. On August 7, 2015, the WF credit agreement was amended to modify the maturity date, increase the amount of foreign accounts receivable and intellectual property assets included in our borrowing base and add an additional liquidity covenant. Under the WF credit agreement, we have the ability to borrow the lesser of $75 million or the amount of the monthly borrowing base under a senior secured revolving credit facility, which matures March 29, 2017. As of December 31, 2015 , we had a $ 68.9 million outstanding balance on the line of credit at a weighted average interest rate of 3.24% . In addition, we have letters of credit totaling $1.0 million , reducing the amount available to borrow to $5.1 million at December 31, 2015. Quarterly , we are required to pay a 0.375% commitment fee on undrawn amounts under the revolving credit facility. As of December 31, 2015 , and during the third quarter and first nine months of fiscal 2016, we were in compliance with all covenants. The WF credit agreement contains financial covenants and customary events of default for such securities, including cross-payment default and cross-acceleration to other material indebtedness for borrowed money which require notice from the trustee or holders of at least 25% of the notes and are subject to a cure period upon receipt of such notice. Average liquidity must exceed $15 million each month, and at all times we must maintain minimum liquidity of $10 million , at least $5 million of which must be excess availability under the WF revolving credit facility. The fixed charge coverage ratio is required to be greater than 1.2 for the 12 month period ending on the last day of any month in which the covenant is applicable. This covenant is applicable only in months in which borrowings exceed $5 million at any time during the month. To avoid triggering mandatory field audits and Wells Fargo controlling our cash receipts, we must maintain liquidity of at least $20 million at all times. The fixed charge coverage ratio, average liquidity, liquidity and excess availability are each defined in the WF credit agreement and/or amendments thereto. Certain schedules in the compliance certificate must be filed monthly if borrowings exceed $5 million ; otherwise they are to be filed quarterly. |
RESTRUCTURING CHARGES
RESTRUCTURING CHARGES | 9 Months Ended |
Dec. 31, 2015 | |
Restructuring and Related Activities [Abstract] | |
RESTRUCTURING CHARGES | RESTRUCTURING CHARGES Fiscal 2016 Restructuring Plan In November 2015, we approved a plan ("Fiscal 2016 Restructuring Plan") to eliminate approximately 65 positions in the U.S. and internationally, primarily in research and development and sales and marketing functions, in order to improve our cost structure and align spending with continuing operations plans. These actions are expected to be completed by March 31, 2016, with the majority having occured by December 31, 2015. The costs associated with these actions consist of restructuring charges related to severance and benefits. We expect to incur aggregate restructuring charges of approximately $2.0 million under this plan. For the third quarter and first nine months of fiscal 2016, we incurred $1.7 million of restructuring charges under this plan, of which $1.2 million was paid. The ending balance for accrued restructuring charges for the Fiscal 2016 Restructuring Plan is $0.5 million as of December 31, 2015. Summary of Restructuring Expense The types of restructuring expense for the three and nine months ended December 31, 2015 and December 31, 2014 were (in thousands): Three Months Ended Nine Months Ended December 31, 2015 December 31, 2014 December 31, 2015 December 31, 2014 Severance and benefits $ 1,685 $ 279 $ 1,912 $ 384 Facilities 210 (92 ) 628 1,282 Other — — — 10 Total $ 1,895 $ 187 $ 2,540 $ 1,676 For the third quarter and first nine months of fiscal 2016, restructuring charges were largely due to $1.7 million of severance and benefits costs incurred as a result of the Fiscal 2016 Restructuring Plan. Additionally, for the first nine months of fiscal 2016, we incurred restructuring charges related to facilities costs as a result of further consolidating our facilities in the U.S. For the first nine months of fiscal 2015, restructuring charges were primarily due to facilities costs as a result of further consolidating our facilities in the U.S. Accrued Restructuring The following tables show the activity and the estimated timing of future payouts for accrued restructuring (in thousands): Three Months Ended December 31, 2015 Severance and Benefits Facilities Total Balance as of September 30, 2015 $ 257 $ 2,572 $ 2,829 Restructuring costs 1,690 210 1,900 Adjustment of prior estimates (5 ) — (5 ) Cash payments (1,171 ) (1,022 ) (2,193 ) Other non-cash — 57 57 Balance as of December 31, 2015 $ 771 $ 1,817 $ 2,588 Nine Months Ended December 31, 2015 Severance Facilities Total Balance as of March 31, 2015 $ 189 $ 4,657 $ 4,846 Restructuring costs 1,913 604 2,517 Adjustment of prior estimates (1 ) 24 23 Cash payments (1,330 ) (3,568 ) (4,898 ) Other non-cash — 100 100 Balance as of December 31, 2015 $ 771 $ 1,817 $ 2,588 As of December 31, 2015 Severance and Benefits Facilities Total Estimated timing of future payouts: Next twelve months $ 639 $ 1,118 $ 1,757 January 2017 through December 2021 132 699 831 $ 771 $ 1,817 $ 2,588 Facility restructuring accruals will be paid in accordance with the respective facility lease terms and amounts above are net of estimated sublease amounts. |
STOCK INCENTIVE PLANS AND SHARE
STOCK INCENTIVE PLANS AND SHARE-BASED COMPENSATION | 9 Months Ended |
Dec. 31, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
STOCK INCENTIVE PLANS AND SHARE-BASED COMPENSATION | STOCK INCENTIVE PLANS AND SHARE-BASED COMPENSATION Share-Based Compensation The following table summarizes share-based compensation (in thousands): Three Months Ended Nine Months Ended December 31, 2015 December 31, 2014 December 31, 2015 December 31, 2014 Share-based compensation: Cost of revenue $ 313 $ 362 $ 1,006 $ 1,109 Research and development 488 600 1,529 1,983 Sales and marketing 658 830 2,367 2,627 General and administrative 780 1,126 2,437 2,936 $ 2,239 $ 2,918 $ 7,339 $ 8,655 Share-based compensation by type of award: Stock options $ — $ 153 $ 2 $ 464 Restricted stock 1,955 2,584 6,552 7,597 Stock purchase plan 284 181 785 594 $ 2,239 $ 2,918 $ 7,339 $ 8,655 Stock Incentive Plans - Grants and Fair Value Stock Options No stock options were granted during the third quarter or first nine months of fiscal 2016 or 2015 . The Black-Scholes option pricing model is used to estimate the fair value of stock options. Restricted Stock Units The fair value of restricted stock units (“RSUs”) granted is the intrinsic value as of the respective grant date since the RSUs are granted at no cost to the employee. The weighted-average grant date fair values of RSUs granted during the third quarter and first nine months of 2016 were $0.82 and $1.64 per share, respectively. The weighted-average grant date fair values of RSUs granted during the third quarter and first nine months of fiscal 2015 were $1.13 and $1.24 per share, respectively. During the second quarter of fiscal 2015, we granted 2.4 million RSUs with performance conditions (“2015 performance RSUs”) and the total fair value of 2015 performance RSUs at the grant date was $3.0 million . These RSUs became eligible for vesting based on Quantum achieving certain revenue and operating income targets through the end of fiscal 2015. During the third quarter and first nine months of fiscal 2016 , shared-based compensation expense of less than $0.1 million and $0.2 million , respectively, was recognized for 2015 performance RSUs. During the third quarter and first nine months of fiscal 2015, share-based compensation expense of $0.2 million was recognized for these RSUs. During the second quarter of fiscal 2016, we granted 1.5 million RSUs with performance conditions (“2016 performance RSUs”) and the total fair value of 2016 performance RSUs at the grant date was $2.6 million . These RSUs will become eligible for vesting based on Quantum achieving certain revenue and operating income targets through the end of fiscal 2016. Share-based compensation expense for 2016 performance RSUs is recognized when it is probable that the performance conditions will be achieved. As of December 31, 2015, no share-based compensation expense was recognized for these performance RSUs. Stock Purchase Plan Under the Stock Purchase Plan, rights to purchase shares are typically granted during the second and fourth quarter of each fiscal year. The value of rights to purchase shares granted in the first nine months of fiscal 2016 and fiscal 2015, respectively, was estimated at the date of grant using the Black-Scholes option pricing model. The weighted-average grant date fair values and the assumptions used in calculating fair values for the nine month periods ended December 31, 2015 and 2014 were as follows: Nine Months Ended December 31, 2015 December 31, 2014 Option life (in years) 0.5 0.5 Risk-free interest rate 0.09 % 0.06 % Stock price volatility 64.61 % 32.19 % Weighted-average grant date fair value per share $ 0.38 $ 0.30 Stock Incentive Plans - Activity Stock Options A summary of activity relating to our stock options follows (options and aggregate intrinsic value in thousands): Options Weighted- Average Exercise Price Weighted- Average Remaining Contractual Term Aggregate Intrinsic Value Outstanding as of March 31, 2015 4,944 $ 1.47 Exercised (294 ) 1.01 Forfeited (45 ) 0.94 Expired (188 ) 1.74 Outstanding as of December 31, 2015 4,417 $ 1.49 1.04 $ 13 Vested and expected to vest at December 31, 2015 4,417 $ 1.49 1.04 $ 13 Exercisable as of December 31, 2015 4,417 $ 1.49 1.04 $ 13 Restricted Stock Units A summary of activity relating to our restricted stock units follows (shares in thousands): Shares Weighted-Average Grant Date Fair Value Per Share Nonvested at March 31, 2015 13,791 $ 1.34 Granted 6,574 1.64 Vested (6,033 ) 1.45 Forfeited (983 ) 1.37 Nonvested at December 31, 2015 13,349 $ 1.44 |
INCOME TAXES
INCOME TAXES | 9 Months Ended |
Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES Income tax provisions for the third quarter and first nine months of fiscal 2016 were $0.4 million and $1.1 million , respectively. Income tax provisions for the third quarter and first nine months of fiscal 2015 were $0.3 million and $0.9 million , respectively. Income tax provisions for each of these periods reflect expenses for foreign income taxes and state taxes. We have provided a full valuation allowance against our U.S. net deferred tax assets due to our history of net losses, difficulty in predicting future results and our conclusion that we cannot rely on projections of future taxable income to realize the deferred tax assets. Significant management judgment is required in determining our deferred tax assets and liabilities and valuation allowances for purposes of assessing our ability to realize any future benefit from our net deferred tax assets. We intend to maintain this valuation allowance until sufficient positive evidence exists to support a reversal or decrease in this allowance. Future income tax expense will be reduced to the extent that we have sufficient positive evidence to support a reversal of, or decrease in, our valuation allowance. |
NET INCOME (LOSS) PER SHARE
NET INCOME (LOSS) PER SHARE | 9 Months Ended |
Dec. 31, 2015 | |
Earnings Per Share [Abstract] | |
NET INCOME (LOSS) PER SHARE | NET INCOME (LOSS) PER SHARE The following is the computation of basic and diluted income (loss) per share (in thousands, except per share data): Three Months Ended Nine Months Ended December 31, 2015 December 31, 2014 December 31, 2015 December 31, 2014 Numerator: Net income (loss) $ (299 ) $ 6,931 $ (22,281 ) $ 3,855 Adjustment for interest expense on convertible subordinated notes, net of taxes — 902 — — Income (loss) for purposes of computing income (loss) per diluted share $ (299 ) $ 7,833 $ (22,281 ) $ 3,855 Denominator: Weighted average shares: Basic 264,003 255,860 261,849 253,773 Dilutive shares from stock plans — 4,493 — 4,034 Dilutive shares from convertible subordinated notes — 42,502 — — Diluted 264,003 302,855 261,849 257,807 Basic net income (loss) per share $ (0.00) $ 0.03 $ (0.09 ) $ 0.02 Diluted net income (loss) per share $ (0.00) $ 0.03 $ (0.09 ) $ 0.01 Dilutive and potentially dilutive common shares from the Stock Incentive Plans are determined by applying the treasury stock method to the assumed exercise of outstanding options and the assumed vesting of outstanding restricted stock units. The dilutive impact related to our convertible subordinated notes is determined by applying the if-converted method, which includes adding the related weighted average shares to the denominator and the related interest expense to net income. The computations of diluted net income (loss) per share for the periods presented exclude the following because the effect would have been anti-dilutive: • For the third quarter of fiscal 2016 and first nine months of fiscal 2016 and 2015, 42.5 million weighted average shares related to our 4.50% convertible subordinated notes were excluded. For the third quarter of fiscal 2016, $0.9 million of related interest expense was excluded. For the first nine months of fiscal 2016 and 2015, $2.7 million of related interest expense was excluded. • For the third quarter and first nine months of fiscal 2016, 1.3 million and 13.3 million , respectively, weighted average shares related to our 3.50% convertible subordinated notes were excluded. For the third quarter and first nine months of fiscal 2015, 30.9 million weighted average shares related to these notes were excluded. For the third quarter and first nine months of fiscal 2016, $0.1 million and $1.8 million , respectively, of related interest expense was excluded. For the third quarter and first nine months of fiscal 2015, $1.4 million and $ 4.3 million , respectively, of related interest expense was excluded. • For the third quarter and first nine months of fiscal 2016 , options to purchase 4.4 million and 4.6 million , respectively, weighted average shares were excluded. For the third quarter and first nine months of fiscal 2015, options to purchase 1.8 million and 2.6 million , respectively, weighted average shares were excluded. • For the third quarter and first nine months of fiscal 2016 , unvested RSUs of 12.0 million and 12.4 million , respectively, weighted average shares were excluded. For the third quarter and first nine months of fiscal 2015, unvested RSUs of 0.1 million weighted average shares were excluded. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 9 Months Ended |
Dec. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES Lease Commitments During the second quarter of fiscal 2016, we negotiated a five year extension of an operating lease on a building in Irvine, California, which increased our future minimum lease payments under non-cancelable lease agreements by $3.7 million . Commitments to Purchase Inventory We use contract manufacturers for our manufacturing operations. Under these arrangements, the contract manufacturer procures inventory to manufacture products based upon our forecast of customer demand. We have similar arrangements with certain other suppliers. We are responsible for the financial impact on the supplier or contract manufacturer of any reduction or product mix shift in the forecast relative to materials that the third party had already purchased under a prior forecast. Such a variance in forecasted demand could require a cash payment for inventory in excess of current customer demand or for costs of excess or obsolete inventory. As of December 31, 2015 and March 31, 2015, we had issued non-cancelable commitments for $37.0 million and $46.0 million , respectively, to purchase inventory from our contract manufacturers and suppliers. Legal Proceedings On February 18, 2014, Crossroads Systems, Inc. (“Crossroads”) filed a patent infringement lawsuit against Quantum in the U.S. District Court for the Western District of Texas, alleging infringement of U.S. patents 6,425,035 and 7,934,041. An amended complaint filed on April 15, 2014 also alleged infringement of U.S. patent 7,051,147. Crossroads asserts that we have incorporated Crossroads' patented technology into our StorNext QX and Q-Series lines of disk array products and into our Scalar libraries. Crossroads seeks unspecified monetary damages and injunctive relief. Crossroads has already dismissed all claims of infringement with respect to the StorNext QX and Q-Series products. In July and September of 2014, we filed for Inter Partes Review of all three asserted Crossroads patents before the Patent Trial and Appeal Board and a review was initiated for all claims. On June 16, 2015, the U.S. District Court, Western District of Texas stayed the Crossroads trial proceedings pending resolution of the Inter Partes Review proceedings. On January 29, 2016 the Patent Trial and Appeal Board issued decisions on the Inter Partes Reviews for U.S. 6,425,035 and 7,051,147, ordering all claims of both patents to be unpatentable. The decision for U.S. 7,934,041 is expected prior to March 17, 2016. We believe the probability that this lawsuit will have a material adverse effect on our business, operating results or financial condition is remote. On September 23, 2014, we filed a lawsuit against Crossroads in the U.S. District Court for the Northern District of California alleging patent infringement of our patent 6,766,412 by Crossroads' StrongBox VSeries Library Solution product. We are seeking injunctive relief and the recovery of monetary damages. On December 4, 2014, we amended our complaint alleging infringement of a second patent, 5,940,849, related to Crossroads' SPHiNX product line. On December 16, 2014, we withdrew the amended complaint alleging infringement of the second patent, 5,940,849. On November 23, 2015, we dismissed the lawsuit alleging patent infringement of U.S. Pat. No. 6,766,412 pursuant to a confidential settlement agreement. |
BASIS OF PRESENTATION New Accou
BASIS OF PRESENTATION New Accounting Pronouncements (Policies) | 9 Months Ended |
Dec. 31, 2015 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Recent Accounting Pronouncements | Recently Adopted Accounting Pronouncements In April 2015, the FASB issued ASU No. 2015-03, Interest - Imputation of Interest (Topic 835-30): Simplifying the Presentation of Debt Issuance Costs ("ASU 2015-03"). ASU 2015-03 requires that debt issuance costs related to a recognized debt liability be presented on the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The recognition and measurement guidance for debt issuance costs is not affected by ASU 2015-03. ASU 2015-03 is effective for financial statements issued for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. Early adoption is permitted. We adopted ASU 2015-03 in the first quarter of fiscal 2016 and reclassified debt issuance costs from other current and long-term assets to convertible subordinated debt on the Condensed Consolidated Balance Sheets. Adoption did not otherwise impact our statements of financial position or results of operations. In August 2015, the FASB issued ASU No. 2015-15, Interest - Imputation of Interest (Topic 835-30): Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements ("ASU 2015-15"). ASU 2015-15 states that given the absence of authoritative guidance within ASU 2015-03, which does not address for debt issuance costs related to line-of-credit arrangements, the SEC staff would not object to an entity deferring and presenting debt issuance costs as an asset and subsequently amortizing the deferred costs ratably over the term of the line-of-credit arrangement regardless of whether there are any outstanding borrowings on the line-of-credit arrangement. We adopted ASU 2015-15 in the second quarter of fiscal 2016 and present debt issuance costs related to our line-of-credit arrangements as an asset. Adoption did not impact our statements of financial position or results of operations. Recent Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) (“ASU 2014-09”). ASU 2014-09 requires entities to recognize revenue through the application of a five-step model, which includes identification of the contract, identification of the performance obligations, determination of the transaction price, allocation of the transaction price to the performance obligations and recognition of revenue as the entity satisfies the performance obligations. ASU 2014-09 will become effective for us beginning April 1, 2018, or fiscal 2019. We are currently evaluating the guidance to determine the potential impact on our financial condition, results of operations, cash flows and financial statement disclosures. In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements – Going Concern (Topic 205-40): Disclosure of Uncertainties about an Entity's Ability to Continue as a Going Concern (“ASU 2014-15”). ASU 2014-15 requires that management assess an entity’s ability to continue as a going concern by incorporating and expanding upon certain principles that are currently in U.S. auditing standards. ASU 2014-15 is effective for annual periods ending after December 15, 2016, and for annual periods and interim periods thereafter. We plan to adopt ASU 2014-15 as of the end of our fiscal year ending March 31, 2017 and do not anticipate adoption will impact our statements of financial position or results of operations. In April 2015, the FASB issued ASU No. 2015-05, Customer's Accounting for Fees Paid in a Cloud Computing Arrangement ("ASU 2015-05"). ASU 2015-05 requires that customers apply the same criteria as vendors to determine whether a cloud computing arrangement ("CCA") contains a software license or is solely a service contract. Under ASU 2015-05, fees paid by a customer in a CCA will be within the scope of internal-use software guidance if both of the following criteria are met: 1) the customer has the contractual right to take possession of the software at any time without significant penalty, and 2) it is feasible for the customer to run the software on its own hardware (or to contract with another party to host the software). ASU 2015-05 will be effective for us beginning April 1, 2016, or fiscal 2017. We do not anticipate adoption will impact our statements of financial position or results of operations. In July 2015, the FASB issued ASU No. 2015-11, Inventory (Topic 330) ("ASU 2015-11"). ASU 2015-11 requires that an entity measure all inventory at the lower of cost and net realizable value, except for inventory that is measured using last-in, first-out (LIFO) or the retail inventory method. ASU 2015-11 will become effective for us beginning April 1, 2017, or fiscal 2018. We are currently evaluating the guidance to determine the potential impact on our financial condition, results of operations, cash flows and financial statement disclosures. In November 2015, the FASB issued ASU No. 2015-17, Income Taxes (Topic 740) Balance Sheet Classification of Deferred Taxes ("ASU 2015-17"). ASU 2015-17 requires that deferred tax liabilities and assets be classified as non-current in a classified statement of financial positions. ASU 2015-17 will become effective for us beginning April 1, 2017, or fiscal 2018. We are currently evaluating the guidance to determine the potential impact on our financial condition, results of operations, cash flows and financial statement disclosures. In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments - Overall (Topic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities ("ASU 2016-01"). ASU 2016-01 addresses certain aspects of recognition, measurement, presentation and disclosures of financial instruments. ASU 2016-01 will become effective for us beginning April 1, 2018, or fiscal 2019. We are currently evaluating the guidance to determine the potential impact on our financial condition, results of operations, cash flows and financial statement disclosures. |
FAIR VALUE (Tables)
FAIR VALUE (Tables) | 9 Months Ended |
Dec. 31, 2015 | |
Fair Value Disclosures [Abstract] | |
Schedule of assets measured and recorded at fair value on a recurring basis | Our assets measured and recorded at fair value on a recurring basis consist of money market funds, which are included in cash and cash equivalents in our Condensed Consolidated Balance Sheets and are valued using quoted market prices (level 1 fair value measurements) at the respective balance sheet dates (in thousands): As of December 31, 2015 March 31, 2015 Money market funds $ 6,241 $ 34,278 |
Schedule of carrying value and fair value of financial liabilities | The carrying value and fair value of our subordinated debt and our long-term debt were as follows (in thousands): As of December 31, 2015 March 31, 2015 Carrying Value Fair Value Carrying Value Fair Value Convertible subordinated debt (1) $ 69,138 $ 64,197 $ 152,138 $ 166,551 Long-term debt (2) $ 68,920 $ 68,882 $ — $ — (1) Fair value based on quoted market prices in less active markets (level 2). (2) Fair value based on outstanding borrowings and market interest rates (level 2) |
INVENTORIES (Tables)
INVENTORIES (Tables) | 9 Months Ended |
Dec. 31, 2015 | |
Inventory Disclosure [Abstract] | |
Schedule of manufacturing inventories | Manufacturing inventories and service parts inventories consisted of the following (in thousands): As of December 31, 2015 March 31, 2015 Manufacturing inventories: Finished goods $ 18,969 $ 28,022 Work in process 84 58 Materials and purchased parts 14,516 22,194 $ 33,569 $ 50,274 |
Schedule of service parts inventories | As of December 31, 2015 March 31, 2015 Service parts inventories: Finished goods $ 16,968 $ 18,143 Component parts 5,399 6,497 $ 22,367 $ 24,640 |
INTANGIBLE ASSETS AND GOODWILL
INTANGIBLE ASSETS AND GOODWILL (Tables) | 9 Months Ended |
Dec. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Summary of carrying value of intangible assets | The following provides a summary of the carrying value of intangible assets (in thousands): As of December 31, 2015 March 31, 2015 Gross Amount Accumulated Amortization Net Amount Gross Amount Accumulated Amortization Net Amount Purchased technology $ 179,992 $ (179,494 ) $ 498 $ 179,992 $ (179,261 ) $ 731 Trademarks 3,900 (3,900 ) — 3,900 (3,900 ) — Customer lists 66,219 (66,219 ) — 66,219 (66,219 ) — $ 250,111 $ (249,613 ) $ 498 $ 250,111 $ (249,380 ) $ 731 |
Summary of goodwill balance | The following table provides a summary of the goodwill balance at both December 31, 2015 and March 31, 2015 (in thousands): Goodwill Accumulated Impairment Losses Net Amount Balance $ 394,613 $ (339,000 ) $ 55,613 |
ACCRUED WARRANTY (Tables)
ACCRUED WARRANTY (Tables) | 9 Months Ended |
Dec. 31, 2015 | |
Product Warranties Disclosures [Abstract] | |
Schedule of changes in the accrued warranty balance | The changes in the accrued warranty balance were (in thousands): Three Months Ended Nine Months Ended December 31, 2015 December 31, 2014 December 31, 2015 December 31, 2014 Beginning balance $ 3,473 $ 5,290 $ 4,219 $ 6,116 Additional warranties issued 1,550 1,596 4,680 4,843 Adjustments for warranties issued in prior fiscal years 228 (319 ) 159 (179 ) Settlements (1,829 ) (1,779 ) (5,636 ) (5,992 ) Ending balance $ 3,422 $ 4,788 $ 3,422 $ 4,788 |
RESTRUCTURING CHARGES (Tables)
RESTRUCTURING CHARGES (Tables) | 9 Months Ended |
Dec. 31, 2015 | |
Restructuring and Related Activities [Abstract] | |
Types of restructuring expense | The types of restructuring expense for the three and nine months ended December 31, 2015 and December 31, 2014 were (in thousands): Three Months Ended Nine Months Ended December 31, 2015 December 31, 2014 December 31, 2015 December 31, 2014 Severance and benefits $ 1,685 $ 279 $ 1,912 $ 384 Facilities 210 (92 ) 628 1,282 Other — — — 10 Total $ 1,895 $ 187 $ 2,540 $ 1,676 |
Activity for accrued restructuring | The following tables show the activity and the estimated timing of future payouts for accrued restructuring (in thousands): Three Months Ended December 31, 2015 Severance and Benefits Facilities Total Balance as of September 30, 2015 $ 257 $ 2,572 $ 2,829 Restructuring costs 1,690 210 1,900 Adjustment of prior estimates (5 ) — (5 ) Cash payments (1,171 ) (1,022 ) (2,193 ) Other non-cash — 57 57 Balance as of December 31, 2015 $ 771 $ 1,817 $ 2,588 Nine Months Ended December 31, 2015 Severance Facilities Total Balance as of March 31, 2015 $ 189 $ 4,657 $ 4,846 Restructuring costs 1,913 604 2,517 Adjustment of prior estimates (1 ) 24 23 Cash payments (1,330 ) (3,568 ) (4,898 ) Other non-cash — 100 100 Balance as of December 31, 2015 $ 771 $ 1,817 $ 2,588 |
Estimated timing of future payouts for accrued restructuring | As of December 31, 2015 Severance and Benefits Facilities Total Estimated timing of future payouts: Next twelve months $ 639 $ 1,118 $ 1,757 January 2017 through December 2021 132 699 831 $ 771 $ 1,817 $ 2,588 |
STOCK INCENTIVE PLANS AND SHA25
STOCK INCENTIVE PLANS AND SHARE-BASED COMPENSATION (Tables) | 9 Months Ended |
Dec. 31, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Summary of share-based compensation | The following table summarizes share-based compensation (in thousands): Three Months Ended Nine Months Ended December 31, 2015 December 31, 2014 December 31, 2015 December 31, 2014 Share-based compensation: Cost of revenue $ 313 $ 362 $ 1,006 $ 1,109 Research and development 488 600 1,529 1,983 Sales and marketing 658 830 2,367 2,627 General and administrative 780 1,126 2,437 2,936 $ 2,239 $ 2,918 $ 7,339 $ 8,655 Share-based compensation by type of award: Stock options $ — $ 153 $ 2 $ 464 Restricted stock 1,955 2,584 6,552 7,597 Stock purchase plan 284 181 785 594 $ 2,239 $ 2,918 $ 7,339 $ 8,655 |
Schedule of assumptions used in calculating fair values | The weighted-average grant date fair values and the assumptions used in calculating fair values for the nine month periods ended December 31, 2015 and 2014 were as follows: Nine Months Ended December 31, 2015 December 31, 2014 Option life (in years) 0.5 0.5 Risk-free interest rate 0.09 % 0.06 % Stock price volatility 64.61 % 32.19 % Weighted-average grant date fair value per share $ 0.38 $ 0.30 |
Summary of activity relating to stock options | A summary of activity relating to our stock options follows (options and aggregate intrinsic value in thousands): Options Weighted- Average Exercise Price Weighted- Average Remaining Contractual Term Aggregate Intrinsic Value Outstanding as of March 31, 2015 4,944 $ 1.47 Exercised (294 ) 1.01 Forfeited (45 ) 0.94 Expired (188 ) 1.74 Outstanding as of December 31, 2015 4,417 $ 1.49 1.04 $ 13 Vested and expected to vest at December 31, 2015 4,417 $ 1.49 1.04 $ 13 Exercisable as of December 31, 2015 4,417 $ 1.49 1.04 $ 13 |
Summary of activity relating to restricted stock | A summary of activity relating to our restricted stock units follows (shares in thousands): Shares Weighted-Average Grant Date Fair Value Per Share Nonvested at March 31, 2015 13,791 $ 1.34 Granted 6,574 1.64 Vested (6,033 ) 1.45 Forfeited (983 ) 1.37 Nonvested at December 31, 2015 13,349 $ 1.44 |
NET INCOME (LOSS) PER SHARE (Ta
NET INCOME (LOSS) PER SHARE (Tables) | 9 Months Ended |
Dec. 31, 2015 | |
Earnings Per Share [Abstract] | |
Computation of basic and diluted income (loss) per share | The following is the computation of basic and diluted income (loss) per share (in thousands, except per share data): Three Months Ended Nine Months Ended December 31, 2015 December 31, 2014 December 31, 2015 December 31, 2014 Numerator: Net income (loss) $ (299 ) $ 6,931 $ (22,281 ) $ 3,855 Adjustment for interest expense on convertible subordinated notes, net of taxes — 902 — — Income (loss) for purposes of computing income (loss) per diluted share $ (299 ) $ 7,833 $ (22,281 ) $ 3,855 Denominator: Weighted average shares: Basic 264,003 255,860 261,849 253,773 Dilutive shares from stock plans — 4,493 — 4,034 Dilutive shares from convertible subordinated notes — 42,502 — — Diluted 264,003 302,855 261,849 257,807 Basic net income (loss) per share $ (0.00) $ 0.03 $ (0.09 ) $ 0.02 Diluted net income (loss) per share $ (0.00) $ 0.03 $ (0.09 ) $ 0.01 |
ACQUISITION (Details)
ACQUISITION (Details) - USD ($) $ in Thousands | Jul. 29, 2014 | Dec. 31, 2015 | Dec. 31, 2014 |
Business Acquisition [Line Items] | |||
Payment for business acquisition | $ 0 | $ 517 | |
Symform, Inc. | |||
Business Acquisition [Line Items] | |||
Payment for business acquisition | $ 500 |
FAIR VALUE - Schedule of Fair V
FAIR VALUE - Schedule of Fair Value of Money Market Funds (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Mar. 31, 2015 |
Level 1 fair value measurements | Money market funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Money market funds | $ 6,241 | $ 34,278 |
FAIR VALUE - Schedule of Carryi
FAIR VALUE - Schedule of Carrying Value and Fair Value of Financial Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Mar. 31, 2015 |
Convertible subordinated debt | ||
Fair Value Inputs, Liabilities, Quantitative Information [Line Items] | ||
Carrying Value | $ 69,138 | $ 152,138 |
Long-term debt | ||
Fair Value Inputs, Liabilities, Quantitative Information [Line Items] | ||
Carrying Value | 68,920 | 0 |
Level 2 fair value measurements | Convertible subordinated debt | ||
Fair Value Inputs, Liabilities, Quantitative Information [Line Items] | ||
Fair Value | 64,197 | 166,551 |
Level 2 fair value measurements | Long-term debt | ||
Fair Value Inputs, Liabilities, Quantitative Information [Line Items] | ||
Fair Value | $ 68,882 | $ 0 |
INVENTORIES - Schedule of Manuf
INVENTORIES - Schedule of Manufacturing Inventories (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Mar. 31, 2015 |
Manufacturing inventories: | ||
Finished goods | $ 18,969 | $ 28,022 |
Work in process | 84 | 58 |
Materials and purchased parts | 14,516 | 22,194 |
Total manufacturing inventories | $ 33,569 | $ 50,274 |
INVENTORIES - Schedule of Servi
INVENTORIES - Schedule of Service Parts Inventories (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Mar. 31, 2015 |
Service parts inventories: | ||
Finished goods | $ 16,968 | $ 18,143 |
Component parts | 5,399 | 6,497 |
Total service parts inventories | $ 22,367 | $ 24,640 |
INTANGIBLE ASSETS AND GOODWIL32
INTANGIBLE ASSETS AND GOODWILL - Summary of Carrying Value of Intangible Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Mar. 31, 2015 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | $ 250,111 | $ 250,111 |
Accumulated Amortization | (249,613) | (249,380) |
Net Amount | 498 | 731 |
Purchased technology | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | 179,992 | 179,992 |
Accumulated Amortization | (179,494) | (179,261) |
Net Amount | 498 | 731 |
Trademarks | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | 3,900 | 3,900 |
Accumulated Amortization | (3,900) | (3,900) |
Net Amount | 0 | 0 |
Customer lists | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | 66,219 | 66,219 |
Accumulated Amortization | (66,219) | (66,219) |
Net Amount | $ 0 | $ 0 |
INTANGIBLE ASSETS AND GOODWIL33
INTANGIBLE ASSETS AND GOODWILL - Summary of Goodwill Balance (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Mar. 31, 2015 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Goodwill | $ 394,613 | $ 394,613 |
Accumulated Impairment Losses | (339,000) | (339,000) |
Net Amount | $ 55,613 | $ 55,613 |
ACCRUED WARRANTY (Details)
ACCRUED WARRANTY (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | |
Movement in Standard Product Warranty Accrual [Roll Forward] | ||||
Beginning balance | $ 3,473 | $ 5,290 | $ 4,219 | $ 6,116 |
Additional warranties issued | 1,550 | 1,596 | 4,680 | 4,843 |
Adjustments for warranties issued in prior fiscal years | 228 | (319) | 159 | (179) |
Settlements | (1,829) | (1,779) | (5,636) | (5,992) |
Ending balance | $ 3,422 | $ 4,788 | $ 3,422 | $ 4,788 |
Minimum | ||||
Product Warranty Term [Line Items] | ||||
Product warranty term (in years) | 1 year | |||
Maximum | ||||
Product Warranty Term [Line Items] | ||||
Product warranty term (in years) | 3 years |
DEBT (Details)
DEBT (Details) | Oct. 05, 2015USD ($) | Dec. 31, 2015USD ($)Rate | Dec. 31, 2014USD ($) | Dec. 31, 2015USD ($)Rate | Dec. 31, 2014USD ($) | Nov. 15, 2015USD ($) |
Debt Instrument [Line Items] | ||||||
Loss on debt extinguishment | $ (394,000) | $ 0 | $ (394,000) | $ 0 | ||
Repayments of convertible subordinated debt | 83,735,000 | $ 0 | ||||
Wells Fargo Credit Agreement | ||||||
Debt Instrument [Line Items] | ||||||
Line of credit facility, maximum borrowing amount | 75,000,000 | 75,000,000 | ||||
Outstanding balance on letters of credit | $ 68,900,000 | $ 68,900,000 | ||||
Weighted average interest rate | Rate | 3.24% | 3.24% | ||||
Line of Credit Facility, Maximum Borrowing After Letters of Credit | $ 5,100,000 | $ 5,100,000 | ||||
Line of credit facility, frequency of commitment fee payment | Quarterly | |||||
Line of credit facility, percent commitment fee on undrawn amounts | 0.375% | |||||
Minimum percent of debt holders required to give written notice of default | 25.00% | |||||
Line of credit facility, average liquidity when covenant is applied | 15,000,000 | $ 15,000,000 | ||||
Line of credit, minimum liquidity at all times when covenant is applied | 10,000,000 | 10,000,000 | ||||
Line of credit, liquidity amount that must be excess availability | $ 5,000,000 | $ 5,000,000 | ||||
Line of credit facility, fixed charge coverage ratio | 1.2 | 1.2 | ||||
Line of credit facility, fixed charge coverage ratio, period when covenant is applied | 12 months | |||||
Amount of borrowings, if exceeded, increase the filing of compliance certificates to monthly rather than quarterly | $ 5,000,000 | $ 5,000,000 | ||||
Line of credit facility, amount of liquidity required to avoid audits | 20,000,000 | 20,000,000 | ||||
Wells Fargo Credit Agreement | Letter of Credit | ||||||
Debt Instrument [Line Items] | ||||||
Line of credit facility, letters of credit outstanding | $ 1,000,000 | $ 1,000,000 | ||||
3.50% convertible subordinated notes | ||||||
Debt Instrument [Line Items] | ||||||
Aggregate principal of repurchased senior notes | $ 81,000,000 | $ 2,800,000 | ||||
Interest rate, per annum on the principal amount | 3.50% | 3.50% | 3.50% | 3.50% | ||
Repurchase amount of repurchased senior notes | 82,400,000 | |||||
Payment of accrued interest on repurchased senior notes | 1,100,000 | |||||
Loss on debt extinguishment | 400,000 | |||||
Extinguishment of debt, loss on notes repurchased | 300,000 | |||||
Write off of unamortized debt issuance costs | 100,000 | |||||
Repayments of convertible subordinated debt | 66,100,000 | |||||
3.50% convertible subordinated notes | Cash | ||||||
Debt Instrument [Line Items] | ||||||
Repayments of convertible subordinated debt | $ 16,300,000 |
RESTRUCTURING CHARGES - Types o
RESTRUCTURING CHARGES - Types of Restructuring Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | |
Restructuring Cost and Reserve [Line Items] | ||||
Total | $ 1,895 | $ 187 | $ 2,540 | $ 1,676 |
Severance and Benefits | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Total | 1,685 | 279 | 1,912 | 384 |
Facilities | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Total | 210 | (92) | 628 | 1,282 |
Other Restructuring | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Total | $ 0 | $ 0 | $ 0 | $ 10 |
RESTRUCTURING CHARGES - Activit
RESTRUCTURING CHARGES - Activity for Accrued Restructuring (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Dec. 31, 2015 | Dec. 31, 2015 | |
Restructuring Reserve [Roll Forward] | ||
Balance as of beginning of period | $ 2,829 | $ 4,846 |
Restructuring costs | 1,900 | 2,517 |
Adjustment of prior estimates | (5) | 23 |
Cash payments | (2,193) | (4,898) |
Other non-cash | 57 | 100 |
Balance as of end of period | 2,588 | 2,588 |
Severance and Benefits | ||
Restructuring Reserve [Roll Forward] | ||
Balance as of beginning of period | 257 | 189 |
Restructuring costs | 1,690 | 1,913 |
Adjustment of prior estimates | (5) | (1) |
Cash payments | (1,171) | (1,330) |
Other non-cash | 0 | 0 |
Balance as of end of period | 771 | 771 |
Facilities | ||
Restructuring Reserve [Roll Forward] | ||
Balance as of beginning of period | 2,572 | 4,657 |
Restructuring costs | 210 | 604 |
Adjustment of prior estimates | 0 | 24 |
Cash payments | (1,022) | (3,568) |
Other non-cash | 57 | 100 |
Balance as of end of period | $ 1,817 | $ 1,817 |
RESTRUCTURING CHARGES - Estimat
RESTRUCTURING CHARGES - Estimated Timing of Future Payouts (Details) $ in Thousands | 9 Months Ended |
Dec. 31, 2015USD ($) | |
Restructuring Cost and Reserve [Line Items] | |
Estimated timing of future payouts | $ 2,588 |
Next twelve months | |
Restructuring Cost and Reserve [Line Items] | |
Estimated timing of future payouts | 1,757 |
January 2017 through December 2021 | |
Restructuring Cost and Reserve [Line Items] | |
Estimated timing of future payouts | 831 |
Severance and Benefits | |
Restructuring Cost and Reserve [Line Items] | |
Estimated timing of future payouts | 771 |
Severance and Benefits | Next twelve months | |
Restructuring Cost and Reserve [Line Items] | |
Estimated timing of future payouts | 639 |
Severance and Benefits | January 2017 through December 2021 | |
Restructuring Cost and Reserve [Line Items] | |
Estimated timing of future payouts | 132 |
Facilities | |
Restructuring Cost and Reserve [Line Items] | |
Estimated timing of future payouts | 1,817 |
Facilities | Next twelve months | |
Restructuring Cost and Reserve [Line Items] | |
Estimated timing of future payouts | 1,118 |
Facilities | January 2017 through December 2021 | |
Restructuring Cost and Reserve [Line Items] | |
Estimated timing of future payouts | $ 699 |
RESTRUCTURING CHARGES (Details)
RESTRUCTURING CHARGES (Details) $ in Thousands | 3 Months Ended | 9 Months Ended |
Dec. 31, 2015USD ($) | Dec. 31, 2015USD ($)employee | |
Restructuring Cost and Reserve [Line Items] | ||
Payments for Restructuring | $ 2,193 | $ 4,898 |
Fiscal 2016 Restructuring Plan | ||
Restructuring Cost and Reserve [Line Items] | ||
Expected number of positions to be eliminated | employee | 65 | |
Expected restructuring cost | 2,000 | $ 2,000 |
Severance Costs | 1,700 | 1,700 |
Payments for Restructuring | 1,200 | |
Remaining accrued restructuring charges | $ 500 | $ 500 |
STOCK INCENTIVE PLANS AND SHA40
STOCK INCENTIVE PLANS AND SHARE-BASED COMPENSATION - Narratives (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Dec. 31, 2015 | Sep. 30, 2015 | Dec. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Total share-based Compensation | $ 2,239 | $ 2,918 | $ 7,339 | $ 8,655 | |
Restricted stock | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Weighted Average Grant Date Fair Value, Granted (usd per share) | $ 0.82 | $ 1.13 | $ 1.64 | $ 1.24 | |
Number of shares granted, stock awards | 6,574 | ||||
Total share-based Compensation | $ 1,955 | $ 2,584 | $ 6,552 | $ 7,597 | |
Performance Restricted Stock Units RSU | 2015 | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of shares granted, stock awards | 2,400 | ||||
Fair value of RSUs at the grant date | $ 3,000 | ||||
Total share-based Compensation | $ 100 | $ 200 | $ 200 | $ 200 | |
Performance Restricted Stock Units RSU | 2016 | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of shares granted, stock awards | 1,500 | ||||
Fair value of RSUs at the grant date | $ 2,600 |
STOCK INCENTIVE PLANS AND SHA41
STOCK INCENTIVE PLANS AND SHARE-BASED COMPENSATION - Summary of Share-based Compensation (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based compensation expense | ||||
Share-based compensation | $ 2,239 | $ 2,918 | $ 7,339 | $ 8,655 |
Stock options | ||||
Share-based compensation expense | ||||
Share-based compensation | 0 | 153 | 2 | 464 |
Restricted stock | ||||
Share-based compensation expense | ||||
Share-based compensation | 1,955 | 2,584 | 6,552 | 7,597 |
Stock purchase plan | ||||
Share-based compensation expense | ||||
Share-based compensation | 284 | 181 | 785 | 594 |
Cost of revenue | ||||
Share-based compensation expense | ||||
Share-based compensation | 313 | 362 | 1,006 | 1,109 |
Research and development | ||||
Share-based compensation expense | ||||
Share-based compensation | 488 | 600 | 1,529 | 1,983 |
Sales and marketing | ||||
Share-based compensation expense | ||||
Share-based compensation | 658 | 830 | 2,367 | 2,627 |
General and administrative | ||||
Share-based compensation expense | ||||
Share-based compensation | $ 780 | $ 1,126 | $ 2,437 | $ 2,936 |
STOCK INCENTIVE PLANS AND SHA42
STOCK INCENTIVE PLANS AND SHARE-BASED COMPENSATION - Schedule of Assumptions Used to Valuing Stock Purchase Plan (Details) - Stock purchase plan - $ / shares | 9 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Option life (in years) | 6 months | 6 months |
Risk-free interest rate | 0.09% | 0.06% |
Stock price volatility, percent | 64.61% | 32.19% |
Weighted-average grant date fair value per share | $ 0.38 | $ 0.30 |
STOCK INCENTIVE PLANS AND SHA43
STOCK INCENTIVE PLANS AND SHARE-BASED COMPENSATION - Summary of Activity Relating to Stock Options (Details) $ / shares in Units, shares in Thousands, $ in Thousands | 9 Months Ended |
Dec. 31, 2015USD ($)$ / sharesshares | |
Options | |
Options, Outstanding, beginning balance (in shares) | shares | 4,944 |
Options, Exercised (in shares) | shares | (294) |
Options, Forfeited (in shares) | shares | (45) |
Options, Expired (in shares) | shares | (188) |
Options, Outstanding, ending balance (in shares) | shares | 4,417 |
Options, Vested and expected to vest at end of period (in shares) | shares | 4,417 |
Options, Exercisable at end of period (in shares) | shares | 4,417 |
Weighted- Average Exercise Price | |
Weighted-Average Exercise Price, Outstanding, beginning balance (usd per share) | $ / shares | $ 1.47 |
Weighted-Average Exercise Price, Exercised (usd per share) | $ / shares | 1.01 |
Weighted-Average Exercise Price, Forfeited (usd per share) | $ / shares | 0.94 |
Weighted-Average Exercise Price, Expired (usd per share) | $ / shares | 1.74 |
Weighted-Average Exercise Price, Outstanding, ending balance (usd per share) | $ / shares | 1.49 |
Weighted-Average Exercise Price, Vested and expected to vest at end of period (usd per share) | $ / shares | 1.49 |
Weighted-Average Exercise Price, Exercisable at end of period (usd per share) | $ / shares | $ 1.49 |
Weighted- Average Remaining Contractual Term | |
Weighted-Average Remaining Contractual Term, Outstanding | 1 year 16 days |
Weighted-Average Remaining Contractual Term, Vested and expected to vest | 1 year 16 days |
Weighted-Average Remaining Contractual Term, Exercisable | 1 year 16 days |
Aggregate Intrinsic Value | |
Aggregate Intrinsic Value, Outstanding | $ | $ 13 |
Aggregate Intrinsic Value, Vested and expected to vest | $ | 13 |
Aggregate Intrinsic Value, Exercisable | $ | $ 13 |
STOCK INCENTIVE PLANS AND SHA44
STOCK INCENTIVE PLANS AND SHARE-BASED COMPENSATION - Summary of Activity Relating to Restricted Stock Units (Details) - Restricted stock - $ / shares shares in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | |
Shares | ||||
Shares, Nonvested, beginning balance (in shares) | 13,791 | |||
Shares, Granted (in shares) | 6,574 | |||
Shares, Vested (in shares) | (6,033) | |||
Shares, Forfeited (in shares) | (983) | |||
Shares, Nonvested, ending balance (in shares) | 13,349 | 13,349 | ||
Weighted-Average Grant Date Fair Value Per Share | ||||
Weighted Average Grant Date Fair Value, Nonvested, beginning balance (usd per share) | $ 1.34 | |||
Weighted Average Grant Date Fair Value, Granted (usd per share) | $ 0.82 | $ 1.13 | 1.64 | $ 1.24 |
Weighted Average Grant Date Fair Value, Vested (usd per share) | 1.45 | |||
Weighted Average Grant Date Fair Value, Forfeited (usd per share) | 1.37 | |||
Weighted Average Grant Date Fair Value, Nonvested, ending balance (usd per share) | $ 1.44 | $ 1.44 |
INCOME TAXES (Details)
INCOME TAXES (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | ||||
Income tax provision | $ 431 | $ 336 | $ 1,117 | $ 940 |
NET INCOME (LOSS) PER SHARE - C
NET INCOME (LOSS) PER SHARE - Computation of Net Income (Loss) Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | |
Numerator: | ||||
Net income (loss) | $ (299) | $ 6,931 | $ (22,281) | $ 3,855 |
Adjustment for interest expense on convertible subordinated notes, net of taxes | 0 | 902 | 0 | 0 |
Income (loss) for purposes of computing income (loss) per diluted share | $ (299) | $ 7,833 | $ (22,281) | $ 3,855 |
Denominator: | ||||
Weighted average shares: Basic (in shares) | 264,003 | 255,860 | 261,849 | 253,773 |
Dilutive shares from stock plans (in shares) | 0 | 4,493 | 0 | 4,034 |
Dilutive shares from convertible subordinated notes (in shares) | 0 | 42,502 | 0 | 0 |
Weighted average shares: Diluted (in shares) | 264,003 | 302,855 | 261,849 | 257,807 |
Basic net income (loss) per share (usd per share) | $ 0 | $ 0.03 | $ (0.09) | $ 0.02 |
Diluted net income (loss) per share (usd per share) | $ 0 | $ 0.03 | $ (0.09) | $ 0.01 |
NET INCOME (LOSS) PER SHARE - N
NET INCOME (LOSS) PER SHARE - Narrative (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Earnings Per Share, Basic | $ 0 | $ 0.03 | $ (0.09) | $ 0.02 |
Earnings Per Share, Diluted | $ 0 | $ 0.03 | $ (0.09) | $ 0.01 |
Stock options | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share | 4.4 | 1.8 | 4.6 | 2.6 |
Restricted stock | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share | 12 | 0.1 | 12.4 | 0.1 |
4.50% convertible subordinated notes | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share | 42.5 | 0 | 42.5 | 42.5 |
Interest rate, per annum on the principal amount | 4.50% | 4.50% | 4.50% | 4.50% |
Antidilutive income excluded from computation of earnings per share | $ 0.9 | $ 2.7 | $ 2.7 | |
3.50% convertible subordinated notes | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share | 1.3 | 30.9 | 13.3 | 30.9 |
Interest rate, per annum on the principal amount | 3.50% | 3.50% | 3.50% | 3.50% |
Antidilutive income excluded from computation of earnings per share | $ 0.1 | $ 1.4 | $ 1.8 | $ 4.3 |
COMMITMENTS AND CONTINGENCIES N
COMMITMENTS AND CONTINGENCIES Narratives (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Sep. 30, 2015 | Dec. 31, 2015 | Mar. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |||
Lease Extension Term | 5 years | ||
Increase In future minimum lease payments | $ 3.7 | ||
Remaining purchase commitments | $ 37 | $ 46 |