Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 28, 2013 | Mar. 07, 2014 | Jun. 28, 2013 | |
Document and Entity Information [Abstract] | ' | ' | ' |
Entity Registrant Name | 'LATTICE SEMICONDUCTOR CORP | ' | ' |
Entity Central Index Key | '0000855658 | ' | ' |
Document Type | '10-K | ' | ' |
Document Period End Date | 28-Dec-13 | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Current Fiscal Year End Date | '--12-28 | ' | ' |
Entity Filer Category | 'Accelerated Filer | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 117,108,240 | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Public Float | ' | ' | $330,493,725 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 28, 2013 | Dec. 29, 2012 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $114,310 | $118,536 |
Short-term marketable securities | 101,505 | 64,865 |
Accounts receivable, net | 50,085 | 46,947 |
Inventories | 46,222 | 44,194 |
Prepaid expenses and other current assets | 13,679 | 12,527 |
Total current assets | 325,801 | 287,069 |
Property and equipment, less accumulated depreciation | 41,719 | 40,384 |
Long-term marketable securities | 5,241 | 4,717 |
Other long-term assets | 6,120 | 6,854 |
Intangible assets, net of amortization | 12,484 | 15,430 |
Goodwill | 44,808 | 44,808 |
Deferred income taxes | 11,703 | 15,357 |
Total assets | 447,876 | 414,619 |
Current liabilities: | ' | ' |
Accounts payable and accrued expenses | 37,454 | 36,391 |
Accrued payroll obligations | 13,659 | 6,149 |
Deferred income and allowances on sales to sell-through distributors | 7,495 | 10,553 |
Total current liabilities | 58,608 | 53,093 |
Long-term liabilities | 3,588 | 3,976 |
Total liabilities | 62,196 | 57,069 |
Commitments and contingencies | ' | ' |
Stockholders' equity: | ' | ' |
Preferred stock, $.01 par value, 10,000,000 shares authorized, none issued and outstanding | 0 | 0 |
Common stock, $.01 par value, 300,000,000 shares authorized, 115,671,000 and 115,500,000 shares issued and outstanding | 1,157 | 1,155 |
Paid-in capital | 626,861 | 621,170 |
Accumulated other comprehensive loss | -145 | -261 |
Accumulated deficit | -242,193 | -264,514 |
Total stockholders' equity | 385,680 | 357,550 |
Total liabilities and stockholders' equity | $447,876 | $414,619 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets Parentheticals (USD $) | Dec. 28, 2013 | Dec. 29, 2012 |
Statement of Financial Position [Abstract] | ' | ' |
Preferred stock, par value per share | $0.01 | $0.01 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value per share | $0.01 | $0.01 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares issued | 115,671,000 | 115,500,000 |
Common stock, shares outstanding | 115,671,000 | 115,500,000 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Revenue | $332,525 | $279,256 | $318,366 |
Costs and expenses: | ' | ' | ' |
Cost of products sold | 154,281 | 128,499 | 129,769 |
Research and development | 80,966 | 77,610 | 71,855 |
Selling, general and administrative | 67,144 | 72,317 | 68,838 |
Acquisition related charges, including amortization of intangible assets | 2,960 | 4,178 | 536 |
Restructuring charges | 388 | 6,018 | 6,079 |
Costs and expenses | 305,739 | 288,622 | 277,077 |
Income (loss) from operations | 26,786 | -9,366 | 41,289 |
Other (expense) income, net | -300 | 505 | 1,434 |
Income (loss) before income taxes | 26,486 | -8,861 | 42,723 |
Provision (benefit) for income taxes | 4,165 | 20,745 | -35,509 |
Net income (loss) | $22,321 | ($29,606) | $78,232 |
Net (loss) income per share: | ' | ' | ' |
Basic (in dollars per share) | $0.19 | ($0.25) | $0.66 |
Diluted (in dollars per share) | $0.19 | ($0.25) | $0.65 |
Shares used in per share calculations: | ' | ' | ' |
Basic (in shares) | 115,701 | 117,194 | 117,875 |
Diluted (in shares) | 117,081 | 117,194 | 121,139 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (Loss) Statement (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Statement of Comprehensive Income [Abstract] | ' | ' | ' |
Net income (loss) | $22,321 | ($29,606) | $78,232 |
Unrealized gain (loss) related to marketable securities, net | 284 | -57 | -526 |
Reclassification adjustment for losses (gains) included in net income (loss) | 337 | -78 | -133 |
Translation adjustment | -505 | 219 | -185 |
Comprehensive income (loss) | $22,437 | ($29,522) | $77,388 |
Consolidated_Statements_of_Cha
Consolidated Statements of Changes in Stockholders' Equity (USD $) | Total | Common stock | Paid-in capital | Treasury stock | Accumulated deficit | Accumulated other comprehensive loss |
In Thousands, except Share data | ||||||
Balances at Jan. 01, 2011 | $318,722 | $1,179 | $630,184 | $0 | ($313,140) | $499 |
Balances (shares) at Jan. 01, 2011 | ' | 117,971,000 | ' | ' | ' | ' |
Net income (loss) | 78,232 | ' | ' | ' | 78,232 | ' |
Unrealized gain (loss) related to marketable securities, net | -526 | ' | ' | ' | ' | -526 |
Less: reclassification adjustment for losses (gains) included in other income, net | -133 | ' | ' | ' | ' | -133 |
Translation adjustments | -185 | ' | ' | ' | ' | -185 |
Common stock issued in connection with the exercise of stock options, ESPP and vested RSUs (net of taxes) (shares) | ' | 2,145,000 | ' | ' | ' | ' |
Common stock issued in connection with the exercise of stock options, ESPP and vested RSUs (net of taxes) | 5,531 | 23 | 5,508 | ' | ' | ' |
Stock repurchase (shares) | ' | -2,441,000 | ' | ' | ' | ' |
Stock repurchase | -14,436 | -25 | ' | -14,411 | ' | ' |
Retirement of treasury stock (shares) | ' | 0 | ' | ' | ' | ' |
Retirement of treasury stock | 0 | 0 | -14,411 | 14,411 | ' | ' |
Stock-based compensation expense related to stock options, ESPP and RSUs | 6,356 | ' | 6,356 | ' | ' | ' |
Balances at Dec. 31, 2011 | 393,561 | 1,177 | 627,637 | 0 | -234,908 | -345 |
Balances (shares) at Dec. 31, 2011 | ' | 117,675,000 | ' | ' | ' | ' |
Net income (loss) | -29,606 | ' | ' | ' | -29,606 | ' |
Unrealized gain (loss) related to marketable securities, net | -57 | ' | ' | ' | ' | -57 |
Less: reclassification adjustment for losses (gains) included in other income, net | -78 | ' | ' | ' | ' | -78 |
Translation adjustments | 219 | ' | ' | ' | ' | 219 |
Common stock issued in connection with the exercise of stock options, ESPP and vested RSUs (net of taxes) (shares) | ' | 1,896,000 | ' | ' | ' | ' |
Common stock issued in connection with the exercise of stock options, ESPP and vested RSUs (net of taxes) | 3,550 | 19 | 3,531 | ' | ' | ' |
Stock repurchase (shares) | ' | 0 | ' | ' | ' | ' |
Stock repurchase | -17,549 | 0 | ' | -17,549 | ' | ' |
Retirement of treasury stock (shares) | ' | -4,071,000 | ' | ' | ' | ' |
Retirement of treasury stock | 0 | -41 | -17,508 | 17,549 | ' | ' |
Stock-based compensation expense related to stock options, ESPP and RSUs | 7,510 | ' | 7,510 | ' | ' | ' |
Balances at Dec. 29, 2012 | 357,550 | 1,155 | 621,170 | 0 | -264,514 | -261 |
Balances (shares) at Dec. 29, 2012 | 115,500,000 | 115,500,000 | ' | ' | ' | ' |
Net income (loss) | 22,321 | ' | ' | ' | 22,321 | ' |
Unrealized gain (loss) related to marketable securities, net | 284 | ' | ' | ' | ' | 284 |
Less: reclassification adjustment for losses (gains) included in other income, net | 337 | ' | ' | ' | ' | 337 |
Translation adjustments | -505 | ' | ' | ' | ' | -505 |
Common stock issued in connection with the exercise of stock options, ESPP and vested RSUs (net of taxes) (shares) | ' | 1,580,000 | ' | ' | ' | ' |
Common stock issued in connection with the exercise of stock options, ESPP and vested RSUs (net of taxes) | 2,332 | 16 | 2,316 | ' | ' | ' |
Stock repurchase (shares) | ' | 0 | ' | ' | ' | ' |
Stock repurchase | -6,161 | 0 | ' | -6,161 | ' | ' |
Retirement of treasury stock (shares) | ' | -1,409,000 | ' | ' | ' | ' |
Retirement of treasury stock | 0 | -14 | -6,147 | 6,161 | ' | ' |
Stock-based compensation expense related to stock options, ESPP and RSUs | 9,522 | ' | 9,522 | ' | ' | ' |
Balances at Dec. 28, 2013 | $385,680 | $1,157 | $626,861 | $0 | ($242,193) | ($145) |
Balances (shares) at Dec. 28, 2013 | 115,671,000 | 115,671,000 | ' | ' | ' | ' |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Cash flows from operating activities: | ' | ' | ' |
Net income (loss) | $22,321 | ($29,606) | $78,232 |
Adjustments to reconcile net (loss) income to net cash provided by operating activities: | ' | ' | ' |
Depreciation and amortization | 20,807 | 22,149 | 16,666 |
Change in deferred income tax provision (benefit) | 2,358 | 19,224 | -49,376 |
Gain on sale or maturity of marketable securities, net | 0 | -393 | -303 |
Stock-based compensation | 9,522 | 7,510 | 6,356 |
Changes in assets and liabilities: net of acquisitions | ' | ' | ' |
Accounts receivable, net | -3,138 | -9,954 | 4,553 |
Inventories | -2,028 | -6,916 | 2,618 |
Prepaid expenses and other assets | -1,339 | 387 | -1,367 |
Accounts payable and accrued expenses (includes restructuring) | 3,591 | 5,306 | -1,059 |
Accrued payroll obligations | 7,510 | -3,224 | -2,281 |
Deferred income and allowances on sales to sell-through distributors | -3,058 | -208 | -4,931 |
Other assets | -42 | 1 | 13,253 |
Net cash provided by operating activities | 56,504 | 4,276 | 62,361 |
Cash flows from investing activities: | ' | ' | ' |
Proceeds from sales or maturities of marketable securities | 67,318 | 56,408 | 81,313 |
Purchase of marketable securities | -103,861 | -50,076 | -83,259 |
Acquisitions net of cash acquired | 0 | 0 | -45,645 |
Payment for purchase of intangible assets | 0 | 0 | -18,500 |
Capital expenditures | -12,500 | -13,593 | -13,001 |
Other investing activities, primarily time-based software licenses | -7,353 | -6,122 | -7,140 |
Net cash used in investing activities | -56,396 | -13,383 | -86,232 |
Cash flows from financing activities: | ' | ' | ' |
Net share settlement upon issuance of RSUs | -744 | -832 | -642 |
Purchase of treasury stock | -6,161 | -17,549 | -14,436 |
Net proceeds from issuance of common stock | 3,076 | 4,382 | 6,173 |
Net cash used in financing activities | -3,829 | -13,999 | -8,905 |
Effect of exchange rate change on cash | -505 | 219 | -185 |
Net decrease in cash and cash equivalents | -4,226 | -22,887 | -32,961 |
Beginning cash and cash equivalents | 118,536 | 141,423 | 174,384 |
Ending cash and cash equivalents | 114,310 | 118,536 | 141,423 |
Supplemental disclosures of non-cash investing and financing activites: | ' | ' | ' |
Unrealized gain (loss) related to marketable securities, net, included in Accumulated other comprehensive loss | 284 | -57 | -526 |
Distribution of deferred compensation from trust assets | 70 | 263 | 341 |
Income taxes paid, net of refunds | $1,370 | $908 | $1,824 |
Nature_of_Operations_and_Signi
Nature of Operations and Significant Accounting Policies | 12 Months Ended | |||||||||||
Dec. 28, 2013 | ||||||||||||
Accounting Policies [Abstract] | ' | |||||||||||
Nature of Operations and Significant Accounting Policies | ' | |||||||||||
Nature of Operations and Significant Accounting Policies: | ||||||||||||
Nature of Operations | ||||||||||||
Lattice Semiconductor Corporation (“Lattice,” the “Company,” “we,” “us,” or “our”) designs, develops and markets programmable logic products and related software. Programmable logic products are widely used semiconductor components that can be configured by end customers as specific logic circuits, enabling shorter design cycle times and reduced development costs. Our end customers are primarily original equipment manufacturers (“OEMs”) in the communications, industrial scientific and medical, consumer and computing end markets. | ||||||||||||
We do not manufacture our own silicon wafers. We maintain strategic relationships with large semiconductor foundries to source our finished silicon wafers in Asia. In addition, all of our assembly operations and most of our test and logistics operations are performed by outside suppliers in Asia. We perform certain test operations and reliability and quality assurance processes internally. | ||||||||||||
We place substantial emphasis on new product development and believe that continued investment in this area is required to maintain and improve our competitive position. Our product development activities emphasize new proprietary products, advanced packaging, enhancement of existing products and process technologies, and improvement of software development tools. Product development activities occur primarily in: Hillsboro, Oregon; San Jose, California; Shanghai, China; Bangalore, India; and Alabang, Philippines. | ||||||||||||
Fiscal Reporting Period | ||||||||||||
We report based on a 52 or 53-week fiscal year ending on the Saturday closest to December 31. Our fiscal year 2013, 2012 and 2011 had 52 weeks and ended on December 28, 2013, December 29, 2012 and December 31, 2011, respectively. Our fiscal 2014 will be a 53-week year and will end on January 3, 2015. All references to quarterly or yearly financial results are references to the results for the relevant fiscal period. | ||||||||||||
Principles of Consolidation | ||||||||||||
The accompanying Consolidated Financial Statements include the accounts of Lattice and its subsidiaries, all of which are wholly owned, after the elimination of all intercompany balances and transactions. Certain balances in prior fiscal years have been reclassified to conform to the presentation adopted in the current year. | ||||||||||||
Cash Equivalents and Marketable Securities | ||||||||||||
We consider all investments that are readily convertible into cash and have original maturities of three months or less, to be cash equivalents. Cash equivalents consist primarily of highly liquid investments in time deposits or money market accounts and are carried at cost. We account for marketable securities as available for sale with unrealized gains or losses recorded to Accumulated other comprehensive loss, unless losses are considered other-than-temporary, in which case, losses are charged to the Consolidated Statements of Operations. | ||||||||||||
Fair Value of Financial Instruments | ||||||||||||
We invest in various financial instruments including corporate and government bonds, notes, commercial paper and auction rate securities. The Company values these instruments at fair value and monitors their portfolio for impairment on a periodic basis. In the event that the carrying value of an investment exceeds its fair value and the decline in value is determined to be other-than-temporary, the Company records an impairment charge and establishes a new carrying value. We assess other-than-temporary impairment of marketable securities in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 820, “Fair Value Measurements and Disclosures.” The framework under the provisions of ASC 820 establishes three levels of inputs that may be used to measure fair value. Each level of input has different levels of subjectivity and difficulty involved in determining fair value. | ||||||||||||
Level 1 instruments are characterized generally by quoted prices for identical assets or liabilities in active markets. Therefore, determining fair value for Level 1 instruments generally does not require significant management judgment, and the estimation is not difficult. | ||||||||||||
Level 2 instruments include inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices for identical instruments in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. | ||||||||||||
Level 3 instruments include unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Our auction rate securities are classified as Level 3 instruments. Management uses a combination of the market and income approach to derive the fair value of auction rate securities, which include third party valuation results, investment broker provided market information and available information on the credit quality of the underlying collateral. As a result, the determination of fair value for Level 3 instruments requires significant management judgment and subjectivity. Our Level 3 instruments are classified as Long-term marketable securities on our Consolidated Balance Sheet and are entirely made up of auction rate securities that consist of student loan asset-backed notes. Such loans are insured by the federal government or guaranteed by the Federal Family Educational Loan Program ("FFELP"). Fair value measurement may be sensitive to various unobservable inputs such as the ability of students to repay their loans, or change in the provision of government guarantees policy toward guaranteeing loan repayment. If students are unable to pay back their loans or the government changes its policy, our investments may be further impaired. | ||||||||||||
Foreign Exchange and Translation of Foreign Currencies | ||||||||||||
We have international subsidiary and branch operations. In addition, a portion of our silicon wafer and other purchases are denominated in Japanese yen, we bill certain Japanese customers in yen and collect a Japanese consumption tax refund in yen. Gains or losses from foreign exchange rate fluctuations on balances denominated in foreign currencies are reflected in Other (expense) income, net. Realized and unrealized gains or losses on foreign currency transactions were not significant for the periods presented. We translate accounts denominated in foreign currencies in accordance with ASC 830, “Foreign Currency Matters,” using the current rate method under which asset and liability accounts are translated at the current rate, while stockholders' equity accounts are translated at the appropriate historical rates, and revenue and expense accounts are translated at average monthly exchange rates. Translation adjustments related to the consolidation of foreign subsidiary financial statements are reflected in Accumulated other comprehensive loss in Stockholders' equity. | ||||||||||||
Derivative Financial Instruments | ||||||||||||
At December 28, 2013 and December 29, 2012, we had open foreign exchange contracts of 240,000,000 JPY and 150,000,000 JPY, respectively. One contract outstanding at December 28, 2013 settled in January 2014 and a second contract will settle in June 2014. The contract outstanding at December 29, 2012 settled in January 2013. Although such hedges mitigate our foreign currency exchange rate exposure from an economic perspective they were not designated as "effective" hedges for accounting purposes and are adjusted to fair value through earnings, with an impact of less than $0.1 million for the periods reported. We do not hold or issue derivative financial instruments for trading or speculative purposes. | ||||||||||||
Concentration Risk | ||||||||||||
Potential exposure to concentration risk consists primarily of revenue concentration, cash and cash equivalents, marketable securities, trade receivables and supply of wafers for our new products. One OEM end customer accounted for 22% of revenue in fiscal 2013. No end customer accounted for more than 10% of revenue in fiscal 2012 or 2011. We place our investments primarily through three financial institutions and mitigate the concentration of credit risk by limiting the maximum portion of the investment portfolio which may be invested in any one instrument. The Company's investment policy defines approved credit ratings for investment securities. Investments on-hand consisted primarily of money market instruments, “AA” or better corporate notes and bonds and commercial paper, and U.S. government agency obligations. See Note 4 for a discussion of the liquidity attributes of our marketable securities. | ||||||||||||
Concentration of credit risk with respect to trade receivables are mitigated by a diverse customer base and our credit and collection process. Accounts receivable are recorded at the invoice amount, do not bear interest, and are shown net of allowances for doubtful accounts of $0.9 million and $1.1 million at December 28, 2013 and December 29, 2012, respectively. We perform credit evaluations for essentially all customers and secure transactions with letters of credit or advance payments where appropriate. We regularly review our allowance for doubtful accounts and the aging of our accounts receivable. Write-offs for uncollected trade receivables have not been significant to date. | ||||||||||||
We rely on a limited number of foundries for our wafer purchases including: Fujitsu Limited, Seiko Epson Corporation Taiwan Semiconductor Manufacturing Company, Ltd, United Microelectronics Corporation, and GLOBALFOUNDRIES. | ||||||||||||
Revenue Recognition and Deferred Income | ||||||||||||
We sell our products directly to end customers or through a network of independent manufacturers' representatives and indirectly through a network of independent sell-in and sell-through distributors. Distributors provide periodic data regarding the product, price, quantity, and end customer when products are resold, as well as the quantities of our products they still have in stock. | ||||||||||||
Revenue from sales to original equipment manufacturers ("OEMs") or sell-in distributors is recognized upon shipment. Revenue from sales by our sell-through distributors is recognized at the time of reported resale. Under both types of revenue recognition, persuasive evidence of an arrangement exists, the price is fixed or determinable, title has transferred, collection of resulting receivables is reasonably assured, and there are no remaining customer acceptance requirements and no remaining significant performance obligations. | ||||||||||||
Orders from our sell-through distributors are initially recorded at published list prices; however, for a majority of our sales, the final selling price is determined at the time of resale and in accordance with a distributor price agreement. In certain circumstances, we allow sell-through distributors to return unsold products. At times, we protect our sell-through distributors against reductions in published list prices. For these reasons, we do not recognize revenue until products are resold by sell-through distributors to an end customer. | ||||||||||||
For sell-through distributors, at the time of shipment to distributors, we (a) record Accounts receivable at published list price since there is a legally enforceable obligation from the distributor to pay us currently for product delivered, (b) relieve inventory for the carrying value of goods shipped since legal title has passed to the distributor, and (c) record deferred revenue and deferred cost of sales in Deferred income and allowances on sales to sell-through distributors in the liability section of our Consolidated Balance Sheets. The final price is set at the time of resale and is determined in accordance with a distributor price agreement. Revenue and cost of products sold to sell-through distributors are deferred until either the product is resold by the distributor or, in certain cases, return privileges terminate, at which time Revenue and Cost of products sold are reflected in Net Income (loss), and Accounts receivable are adjusted to reflect the final selling price. | ||||||||||||
The components of Deferred income and allowances on sales to sell-through distributors are presented in the following table (in thousands): | ||||||||||||
December 28, | December 29, | |||||||||||
2013 | 2012 | |||||||||||
Inventory valued at published list price and held by sell-through distributors with right of return | $ | 36,056 | $ | 38,623 | ||||||||
Allowance for distributor advances | (24,090 | ) | (22,450 | ) | ||||||||
Deferred cost of sales related to inventory held by sell-through distributors | (4,471 | ) | (5,620 | ) | ||||||||
Total Deferred income and allowances on sales to sell-through distributors | $ | 7,495 | $ | 10,553 | ||||||||
A significant portion of our revenue in fiscal 2013 was from sell-through distributors. For the fiscal years 2013, 2012 and 2011, resale of products by sell-through distributors as a percentage of our total revenue was 45%, 55% and 61%, respectively. | ||||||||||||
We must use estimates and apply judgment to reconcile sell-through distributors' reported inventories to their activities. Errors in our estimates or judgments could result in inaccurate reporting of our Revenue, Cost of products sold, Deferred income and allowances on sales to sell-through distributors, and Net Income (loss). | ||||||||||||
Inventories | ||||||||||||
Inventories are recorded at the lower of actual cost determined on a first-in-first-out basis or market. We establish provisions for inventory if it is in excess of projected customer demand, and the creation of such provisions result in a write-down of inventory to net realizable value and a charge to cost of products sold. | ||||||||||||
Property and Equipment | ||||||||||||
Property and equipment are stated at cost. Depreciation and amortization are computed using the straight-line method for financial reporting purposes over the estimated useful lives of the related assets, generally three to five years for equipment and software, one to three years for tooling and thirty years for buildings. Upon disposal of property and equipment, the accounts are relieved of the costs and related accumulated depreciation and amortization, and resulting gains or losses are reflected in operations. Repair and maintenance costs are expensed as incurred. | ||||||||||||
Asset Impairments | ||||||||||||
Long-lived assets, including amortizable intangible assets, are carried on our financial statements based on their cost less accumulated depreciation or amortization. We monitor the carrying value of our long-lived assets for potential impairment and test the recoverability of such assets whenever events or changes in circumstances indicate that their carrying amounts may not be recoverable. These events or changes in circumstances, including management decisions pertaining to such assets, are referred to as impairment indicators. If an impairment indicator occurs, we perform a test of recoverability by comparing the carrying value of the asset group to its undiscounted expected future cash flows. If the carrying values are in excess of undiscounted expected future cash flows, we measure any impairment by comparing the fair value of the asset group to its carrying value. Fair value is generally determined by considering (i) internally developed discounted projected cash flow analysis of the asset group; (ii) actual third-party valuations; and/or (iii) information available regarding the current market for similar asset groups. If the fair value of the asset group is determined to be less than the carrying amount of the asset group, an impairment in the amount of the difference is recorded in the period that the impairment indicator occurs and is included in our Consolidated Statement of Operations. Estimating future cash flows requires significant judgment and projections may vary from the cash flows eventually realized, which could impact our ability to accurately assess whether an asset has been impaired. No impairment charges were recorded for the fiscal year ended 2013. | ||||||||||||
Valuation of Goodwill | ||||||||||||
Goodwill is an asset representing the future economic benefits arising from other assets acquired in a business combination that are not individually identified and separately recognized. The Company reviews goodwill for impairment annually during the fourth quarter and whenever events or changes in circumstances indicate the carrying value of goodwill may not be recoverable. When evaluating whether goodwill is impaired, the Company makes a qualitative assessment to determine if it is more likely than not that its fair value is less than its carrying amount. If the qualitative assessment determines that it is more likely than not that its fair value is less than its carrying amount, the fair value of the reporting unit is compared with its carrying value (including goodwill). If the fair value of the reporting unit is less than its carrying value, an indication of goodwill impairment exists for the reporting unit and the Company must measure the impairment loss. The impairment loss, if any, is recognized for any excess of the carrying amount of the reporting unit's goodwill over the implied fair value of the goodwill. The implied fair value of goodwill is determined by allocating the fair value of the reporting unit in a manner similar to purchase price allocation and the residual fair value after this allocation is the implied fair value of the reporting unit goodwill. Fair value of the reporting unit is determined using a discounted cash flow analysis. If the fair value of the reporting unit exceeds its carrying value, no further impairment analysis is needed. For purposes of testing goodwill for impairment, the Company operates as a single reporting unit. No goodwill impairment charges were recorded for the fiscal year ended 2013. | ||||||||||||
Leases | ||||||||||||
We lease office space and classify our leases as either operating or capital lease arrangements in accordance with the criteria of ASC 840, “Leases.” Certain of our office space operating leases contain provisions under which monthly rent escalates over time and certain leases may also contain provisions for reimbursement of a specified amount of leasehold improvements. When lease agreements contain escalating rent clauses, we recognize expense on a straight-line basis over the term of the lease. When lease agreements provide allowances for leasehold improvements, we capitalize the leasehold improvement assets and amortize them on a straight-line basis over the lesser of the lease term or the estimated useful life of the asset, and reduce rent expense on a straight-line basis over the term of the lease by the amount of the asset capitalized. | ||||||||||||
Restructuring Charges | ||||||||||||
Expenses associated with exit or disposal activities are recognized when incurred under ASC 420, “Exit or Disposal Cost Obligations,” for everything but severance. Because the Company has a history of paying severance benefits, the cost of severance benefits associated with a restructuring plan is recorded when such costs are probable and the amount can be reasonably estimated in accordance with ASC 712, “Compensation - Nonretirement Postemployment Benefits.” For leased facilities that were ceased to be used, an amount equal to the total future lease obligations from the date of vacating the premises through the expiration of the lease, net of any future sublease income, was recorded as a part of restructuring charges. | ||||||||||||
Research and Development | ||||||||||||
Research and development costs are expensed as incurred. | ||||||||||||
Accounting for Income Taxes | ||||||||||||
The Company’s provision for income tax is comprised of its current tax liability and change in deferred tax assets and liabilities. Deferred tax assets and liabilities are recognized for the expected tax consequences of temporary differences between the tax bases of assets and liabilities and their reported amounts in the financial statements using enacted tax rates and laws that will be in effect when the difference is expected to reverse. Valuation allowances are provided to reduce deferred tax assets to an amount that in management’s judgment is more-likely-than-not to be recoverable against future taxable income. At December 28, 2013, U.S. income taxes were not provided on approximately $3.4 million of the undistributed earnings of our Chinese subsidiary as we intend to reinvest these earnings indefinitely. If these earnings were distributed to the U.S. in the form of dividends or otherwise, we would be subject to additional U.S. income taxes. | ||||||||||||
The Company’s income tax calculations are based on application of the respective U.S. federal, state or foreign tax law. The Company’s tax filings, however, are subject to audit by the relevant tax authorities. Accordingly, the Company recognizes tax liabilities based upon its estimate of whether, and the extent to which, additional taxes will be due when such estimates are more-likely-than-not to be sustained. An uncertain income tax position will not be recognized if it has less than a 50% likelihood of being sustained. To the extent the final tax liabilities are different than the amounts originally accrued, the increases or decreases are recorded as income tax expense or benefit in the Consolidated Statements of Operations. | ||||||||||||
In assessing the ability to realize deferred tax assets, the Company evaluates both positive and negative evidence that may exist and consider whether it is more-likely-than-not that some portion or all of the deferred tax assets will be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. | ||||||||||||
Any adjustment to the net deferred tax asset valuation allowance is recorded in the Consolidated Statements of Operations for the period that the adjustment is determined to be required. | ||||||||||||
Stock-Based Compensation | ||||||||||||
The Company records stock-based compensation expense related to employee and director stock options, restricted stock units (“RSUs”), and the Employee Stock Purchase Plan (“ESPP”) in accordance with ASC 718, “Compensation - Stock Compensation.” In addition, the Company records compensation expense over the offering period in connection with shares issuable under the ESPP. | ||||||||||||
Net Income (Loss) Per Share | ||||||||||||
We compute basic income (loss) per share by dividing Net Income (loss) available to common stockholders by the weighted average number of common shares outstanding during the period. To determine diluted share count, we apply the treasury stock method to determine the dilutive effect of outstanding stock option shares, RSUs and ESPP shares. Our application of the treasury stock method includes as assumed proceeds, the average unamortized stock-based compensation expense for the period and the impact of the pro forma net deferred tax benefit or cost associated with stock-based compensation expense. | ||||||||||||
A reconciliation of basic and diluted Net Income (loss) per share is presented below (in thousands, except per share data): | ||||||||||||
Year Ended | ||||||||||||
December 28, | December 29, | December 31, | ||||||||||
2013 | 2012 | 2011 | ||||||||||
Basic and diluted Net income (loss) | $ | 22,321 | $ | (29,606 | ) | $ | 78,232 | |||||
Shares used in basic Net income (loss) per share | 115,701 | 117,194 | 117,875 | |||||||||
Dilutive effect of stock options, RSUs and ESPP shares | 1,380 | — | 3,264 | |||||||||
Shares used in diluted Net income (loss) per share | 117,081 | 117,194 | 121,139 | |||||||||
Basic Net income (loss) per share | $ | 0.19 | $ | (0.25 | ) | $ | 0.66 | |||||
Diluted Net income (loss) per share | $ | 0.19 | $ | (0.25 | ) | $ | 0.65 | |||||
The computation of diluted Net Income (loss) per share for fiscal years 2013 and 2011, respectively, includes the effects of stock options, RSUs and ESPP shares aggregating approximately 1.4 million and 3.3 million, respectively, as they are dilutive, and excludes the effects of stock options, RSUs and ESPP shares aggregating approximately 7.8 million, 10.6 million and 3.9 million shares, for fiscal years 2013, 2012 and 2011, respectively, as they are antidilutive. Stock options, RSUs and ESPP shares are considered antidilutive when the aggregate of exercise price, unrecognized stock-based compensation expense and excess tax benefit are greater than the average market price for our common stock during the period or when the Company is in a net loss position, as the effects would reduce the loss per share. Stock options and RSUs that are antidilutive at December 28, 2013 could become dilutive in the future. | ||||||||||||
Supplemental Cash Flow | ||||||||||||
Income taxes paid approximated $1.4 million, $0.9 million and $1.8 million in fiscal years 2013, 2012 and 2011, respectively. Interest paid was insignificant for all periods presented. | ||||||||||||
Use of Estimates | ||||||||||||
The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts and classification of assets, such as marketable securities, accounts receivable, inventory, auction rate securities, goodwill - including the assessment of reporting unit, intangible assets, current and deferred income taxes, accrued liabilities - including restructuring charges and bonus arrangements, deferred income and allowances on sales to sell-through distributors, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the fiscal periods presented. Actual results could differ from those estimates. |
New_Accounting_Pronouncements
New Accounting Pronouncements | 12 Months Ended |
Dec. 28, 2013 | |
Accounting Changes and Error Corrections [Abstract] | ' |
New Accounting Pronouncements | ' |
New Accounting Pronouncements: | |
In June 2013, the Emerging Issues Task Force reached consensus on ASU 2013-11 Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists. The consensus requires companies to present the unrecognized tax benefit as a reduction of the Deferred tax asset for a Net Operating Loss ("NOL") or similar tax loss, or tax credit carryforward rather than as a liability when the uncertain tax position would reduce the NOL or other carryforward under the tax law. We adopted this requirement in June 2013 with retrospective application as permitted by the standard. Amounts presented in prior periods have been reclassified to conform. This resulted in both long-term taxes payable and deferred tax assets declining by approximately $14 million for all periods presented. |
Business_Combinations_and_Good
Business Combinations and Goodwill | 12 Months Ended |
Dec. 28, 2013 | |
Business Combinations [Abstract] | ' |
Business Combinations and Goodwill | ' |
Business Combinations and Goodwill: | |
In December 2011, we acquired SiliconBlue Technologies Ltd., ("SiliconBlue"), for $63.2 million in cash. Of the total purchase price, $43.9 million was allocated to goodwill, $18.5 million was allocated to intangible assets, and the remaining to net tangible assets acquired. The goodwill and identifiable intangible assets are not deductible for tax purposes. SiliconBlue was consolidated into our financial statements beginning in December 2011. | |
Inventories were recorded at their estimated fair value ("step-up"), which represented an amount equivalent to estimated selling prices less fulfillment costs and a normative selling profit. The step-up of $0.3 million was charged to Acquisition related costs in the six months ended June 30, 2012, approximating the estimated inventory turn-over for this particular product. | |
In July 2011, the Company acquired substantially all of the assets of Rise Technology Development Limited ("Rise"), for $1.0 million in cash. Of the purchase price, $0.9 million was allocated to Goodwill and the remaining to net tangible assets acquired. | |
No impairment charges relating to goodwill and intangible assets were recorded for the fiscal years 2013 or 2012. |
Marketable_Securities
Marketable Securities | 12 Months Ended | |||||||||||||||||||
Dec. 28, 2013 | ||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | ' | |||||||||||||||||||
Marketable Securities | ' | |||||||||||||||||||
Marketable Securities: | ||||||||||||||||||||
The following table summarizes the contractual maturities of our marketable securities (at fair value and in thousands): | ||||||||||||||||||||
December 28, | December 29, | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Short-term marketable securities: | ||||||||||||||||||||
Maturities of less than five years | $ | 101,505 | $ | 64,865 | ||||||||||||||||
Long-term marketable securities: | ||||||||||||||||||||
Maturities of more than ten years | 5,241 | 4,717 | ||||||||||||||||||
Total marketable securities | $ | 106,746 | $ | 69,582 | ||||||||||||||||
The following table summarizes the composition of our marketable securities (at fair value and in thousands): | ||||||||||||||||||||
December 28, | December 29, | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Short-term marketable securities: | ||||||||||||||||||||
Corporate and government bonds and notes and commercial paper | $ | 101,505 | $ | 64,865 | ||||||||||||||||
Long-term marketable securities: | ||||||||||||||||||||
Federally-insured or FFELP guaranteed student loans | 5,241 | 4,717 | ||||||||||||||||||
Total marketable securities | $ | 106,746 | $ | 69,582 | ||||||||||||||||
The following table summarizes the composition of our auction rate securities (in thousands): | ||||||||||||||||||||
December 28, 2013 | December 29, 2012 | |||||||||||||||||||
Par Value | Fair Value | S&P | Par Value | Fair Value | S&P | |||||||||||||||
Credit | Credit | |||||||||||||||||||
rating | rating | |||||||||||||||||||
Long-term marketable securities: | ||||||||||||||||||||
Federally-insured or FFELP guaranteed student loans | $ | 5,700 | $ | 5,241 | AA+ | $ | 5,700 | $ | 4,717 | AA+ | ||||||||||
On May 22, 2012, a student loan auction rate security with a par value of $2.6 million and an estimated fair value of $2.3 million was redeemed by the issuer for $2.6 million. As a result, the Company reported a gain of $0.4 million and relieved $0.1 million of previously unrecognized gain in Accumulated other comprehensive loss. On March 29, 2011, the Company sold student loan auction rate securities, with a par value of $3.3 million and an estimated fair value of $2.8 million, for $3.3 million, reported a gain of $0.6 million and relieved $0.1 million of previously unrecognized gain in Accumulated other comprehensive loss, in the first quarter of fiscal 2011. At December 28, 2013, due to continued multiple failed auctions and a determination of illiquidity, the auction rate securities held by the Company are classified as Long-term marketable securities. These auction rate securities are exposed to risks associated with student loan asset-backed notes. Such loans are insured by the federal government or guaranteed by the Federal Family Educational Loan Program ("FFELP"). The Company intends to sell its auction rate securities as markets for these securities resume or reasonable offers become available. |
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 12 Months Ended | |||||||||||||||||||||||||||||||
Dec. 28, 2013 | ||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||||||||||||||||||
Fair Value of Financial Instruments | ' | |||||||||||||||||||||||||||||||
Fair Value of Financial Instruments (in thousands): | ||||||||||||||||||||||||||||||||
Fair value measurements as of | Fair value measurements as of | |||||||||||||||||||||||||||||||
28-Dec-13 | December 29, 2012 | |||||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||||
Short-term marketable securities | $ | 101,505 | $ | 101,505 | $ | — | $ | — | $ | 64,865 | $ | 64,865 | $ | — | $ | — | ||||||||||||||||
Long-term marketable securities | 5,241 | — | — | 5,241 | 4,717 | — | — | 4,717 | ||||||||||||||||||||||||
Foreign currency forward exchange contracts | 48 | — | 48 | — | (5 | ) | — | (5 | ) | — | ||||||||||||||||||||||
Total fair value of financial instruments | $ | 106,794 | $ | 101,505 | $ | 48 | $ | 5,241 | $ | 69,577 | $ | 64,865 | $ | (5 | ) | $ | 4,717 | |||||||||||||||
We invest in various financial instruments including corporate and government bonds and notes, commercial paper and auction rate securities. In addition, we enter into foreign currency forward exchange contracts to mitigate our foreign currency exchange rate exposure. The Company carries these instruments at their fair value in accordance with ASC 820. The framework under the provisions of ASC 820 establishes three levels of inputs that may be used to measure fair value. Each level of input has different levels of subjectivity and difficulty involved in determining fair value. | ||||||||||||||||||||||||||||||||
Level 1 instruments generally represent quoted prices for identical assets or liabilities in active markets. Therefore, determining fair value for Level 1 instruments generally does not require significant management judgment, and the estimation is not difficult. Our Level 1 instruments consist of federal agency, corporate notes and bonds, and commercial paper that are traded in active markets and are classified as Short-term marketable securities on our Consolidated Balance Sheet. | ||||||||||||||||||||||||||||||||
Level 2 instruments include inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices for identical instruments in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. | ||||||||||||||||||||||||||||||||
Level 3 instruments include unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Our auction rate securities are classified as Level 3 instruments. Management uses a combination of the market and income approach to derive the fair value of auction rate securities, which includes third party valuation results, investment broker provided market information and available information on the credit quality of the underlying collateral. As a result, the determination of fair value for Level 3 instruments requires significant management judgment and subjectivity. Our Level 3 instruments are classified as Long-term marketable securities on our Consolidated Balance Sheet and are entirely made up of auction rate securities that consist of student loan asset-backed notes. Such loans are insured by the federal government or guaranteed by FFELP. Fair value measurement may be sensitive to various unobservable inputs such as the ability of students to repay their loans, or change in the provision of government guarantees policy toward guaranteeing loan repayment. If students are unable to pay back their loans or the government changes its policy, our investments may be further impaired. | ||||||||||||||||||||||||||||||||
There were no transfers between Levels 1 and 2 during fiscal 2013, 2012 and 2011. There were no transfers into or out of Level 3 during fiscal 2013, 2012 and 2011. | ||||||||||||||||||||||||||||||||
During the fiscal years ended December 28, 2013 and December 29, 2012, the following changes occurred in our Level 3 instruments (in thousands): | ||||||||||||||||||||||||||||||||
Year Ended | ||||||||||||||||||||||||||||||||
December 28, | December 29, | |||||||||||||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||||||||||||
Beginning fair value of Long-term marketable securities | $ | 4,717 | $ | 6,946 | ||||||||||||||||||||||||||||
Fair value of securities sold or redeemed | — | (2,285 | ) | |||||||||||||||||||||||||||||
Temporary fluctuations in fair value | 524 | 56 | ||||||||||||||||||||||||||||||
Ending fair value of Long-term marketable securities | $ | 5,241 | $ | 4,717 | ||||||||||||||||||||||||||||
In accordance with ASC 320, “Investments-Debt and Equity Securities,” the Company recorded an unrealized gain of $0.1 million during the fiscal year ended December 28, 2013 and an unrealized loss of $0.1 million during the fiscal year ended December 29, 2012, on certain Short-term marketable securities (Level 1 instruments), which have been recorded in Accumulated other comprehensive loss. Future fluctuations in fair value related to these instruments that the Company deems to be temporary, including any recoveries of previous write-downs, would be recorded to Accumulated other comprehensive loss. In addition, during the fiscal year ended December 29, 2012, the Company realized a gain of $0.4 million related to the sale of a portion of its Long-term marketable securities portfolio. No sale activity for Long-term marketable securities occurred during the fiscal year ended December 28, 2013. If the Company were to determine in the future that any further decline in fair value is other-than-temporary, we would record an impairment charge, which could have a materially detrimental impact on our operating results. If we were to liquidate our position in these securities, it is likely that the amount of any future realized gain or loss would be different from the unrealized gain or loss reported in Accumulated other comprehensive loss or the previously reported other-than-temporary impairment charge. |
Inventories
Inventories | 12 Months Ended | |||||||
Dec. 28, 2013 | ||||||||
Inventory, Net [Abstract] | ' | |||||||
Inventories | ' | |||||||
Inventories (in thousands): | ||||||||
December 28, | December 29, | |||||||
2013 | 2012 | |||||||
Work in progress | $ | 32,111 | $ | 27,915 | ||||
Finished goods | 14,111 | 16,279 | ||||||
Total inventories | $ | 46,222 | $ | 44,194 | ||||
Property_and_Equipment
Property and Equipment | 12 Months Ended | |||||||
Dec. 28, 2013 | ||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||
Property and Equipment | ' | |||||||
Property and Equipment (in thousands): | ||||||||
December 28, | December 29, | |||||||
2013 | 2012 | |||||||
Land | $ | 1,456 | $ | 1,456 | ||||
Buildings | 27,827 | 27,827 | ||||||
Computer and test equipment | 154,508 | 154,809 | ||||||
Office furniture and equipment | 9,122 | 8,755 | ||||||
Leasehold and building improvements | 16,695 | 16,460 | ||||||
209,608 | 209,307 | |||||||
Accumulated depreciation and amortization | (167,889 | ) | (168,923 | ) | ||||
$ | 41,719 | $ | 40,384 | |||||
Depreciation expense was $11.2 million, $13.6 million and $12.2 million for fiscal years 2013, 2012 and 2011, respectively. |
Intangible_Assets_and_Acquisit
Intangible Assets and Acquisition Related Charges | 12 Months Ended | ||||||||||||||
Dec. 28, 2013 | |||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||
Intangible Assets and Acquisition Related Charges | ' | ||||||||||||||
Intangible Assets and Acquisition Related Charges: | |||||||||||||||
In connection with our acquisition of SiliconBlue in December 2011, we recorded identifiable intangible assets related to developed technology and customer relationships based on guidance for determining fair value under the provisions of ASC 820. The following table summarizes the details of the Company’s total purchased intangible assets (in thousands): | |||||||||||||||
Weighted Average Amortization Period | Gross | Accumulated Amortization | Intangible assets, net of amortization | ||||||||||||
(in years) | December 28, 2013 | ||||||||||||||
Developed technology | 7 | $ | 10,700 | $ | (3,121 | ) | $ | 7,579 | |||||||
Customer relationships | 5.5 | 7,800 | (2,895 | ) | 4,905 | ||||||||||
Total | 6.3 | $ | 18,500 | $ | (6,016 | ) | $ | 12,484 | |||||||
Amortization expense associated with these intangible assets is reported as Acquisition related charges, including amortization of intangible assets in the Consolidated Statements of Operations and amounted to $2.9 million, $2.9 million, and $0.1 million in 2013, 2012, and 2011, respectively. We expect amortization expense related to these intangible assets to approximate $2.9 million in 2014, 2015 and 2016. We expect amortization expense related to these intangible assets to approximate $2.2 million in 2017 and $1.5 million in 2018. | |||||||||||||||
Acquisition related charges, including amortization of intangible assets in the Consolidated Statements of Operations also include severance and professional fees related to the acquisition, as well as the amortization of the stepped up value of inventory collectively amounting to less than $0.1 million, $1.2 million, and $0.4 million in 2013, 2012, and 2011, respectively. |
Lease_Obligations
Lease Obligations | 12 Months Ended | ||||
Dec. 28, 2013 | |||||
Leases [Abstract] | ' | ||||
Lease Obligations | ' | ||||
Lease Obligations: | |||||
Certain of our facilities are leased under operating leases, which expire at various times through 2026. Rental expense under the operating leases was $4.6 million, $3.7 million, and $3.3 million for fiscal years 2013, 2012 and 2011, respectively. Future minimum lease commitments at December 28, 2013 are as follows (in thousands): | |||||
Fiscal year | Amount | ||||
2014 | $ | 3,408 | |||
2015 | 2,933 | ||||
2016 | 2,769 | ||||
2017 | 2,469 | ||||
2018 | 2,440 | ||||
Thereafter | 21,166 | ||||
$ | 35,185 | ||||
Income_Taxes
Income Taxes | 12 Months Ended | ||||||||||||
Dec. 28, 2013 | |||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||
Income Taxes | ' | ||||||||||||
Income Taxes: | |||||||||||||
The domestic and foreign components of Income (loss) before income taxes were as follows (in thousands): | |||||||||||||
Year Ended | |||||||||||||
December 28, 2013 | December 29, 2012 | December 31, 2011 | |||||||||||
Domestic | $ | 6,293 | $ | 51,859 | $ | 42,619 | |||||||
Foreign | 20,193 | (60,720 | ) | 104 | |||||||||
Income (loss) before income taxes | $ | 26,486 | $ | (8,861 | ) | $ | 42,723 | ||||||
The components of the income tax provision (benefit) are as follows (in thousands): | |||||||||||||
Year Ended | |||||||||||||
December 28, | December 29, | December 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||||
Current: | |||||||||||||
Federal | $ | 251 | $ | (344 | ) | $ | 13,463 | ||||||
State | (527 | ) | 36 | (137 | ) | ||||||||
Foreign | 1,616 | 1,498 | 541 | ||||||||||
1,340 | 1,190 | 13,867 | |||||||||||
Deferred: | |||||||||||||
Federal | 2,549 | 18,000 | (45,423 | ) | |||||||||
State | 342 | 1,487 | (3,894 | ) | |||||||||
Foreign | (66 | ) | 68 | (59 | ) | ||||||||
2,825 | 19,555 | (49,376 | ) | ||||||||||
Provision (benefit) for income taxes | $ | 4,165 | $ | 20,745 | $ | (35,509 | ) | ||||||
The provision (benefit) for income taxes differs from the amount of income tax determined by applying the applicable U.S. statutory federal income tax rate to pretax income as a result of the following differences: | |||||||||||||
Year Ended | |||||||||||||
December 28, 2013 | December 29, 2012 | December 31, 2011 | |||||||||||
% | % | % | |||||||||||
Statutory federal rate | 35 | 35 | 35 | ||||||||||
Adjustments for tax effects of: | |||||||||||||
State taxes, net | 2 | -2 | 2 | ||||||||||
Intellectual property sale | — | — | 144 | ||||||||||
Research and development credits | -11 | -1 | -3 | ||||||||||
Stock compensation | 3 | -3 | 1 | ||||||||||
Foreign rate differential | -20 | -252 | 2 | ||||||||||
Foreign dividends | — | 3 | 1 | ||||||||||
Capital loss expiration | 2 | — | — | ||||||||||
Valuation allowance | 6 | -19 | -289 | ||||||||||
Change in uncertain tax benefit accrual | -1 | 3 | 31 | ||||||||||
Tax rate change | -1 | — | -7 | ||||||||||
Other | 1 | 2 | — | ||||||||||
Effective income tax rate | 16 | -234 | -83 | ||||||||||
ASC 740, “Income Taxes”, provides for the recognition of deferred tax assets if realization of these assets is more-likely-than-not. We evaluate both positive and negative evidence to determine if some or all of our deferred tax assets should be recognized on a quarterly basis. | |||||||||||||
On December 31, 2011, we began to implement a global tax structure to more effectively align the Company's corporate structure with the geographic business operations including responsibility for sales and manufacturing activities. As part of this tax restructuring, we created new and realigned existing legal entities, completed intercompany sales of rights to intellectual property, inventory and fixed assets across different tax jurisdictions, and implemented cost-sharing and intellectual property licensing and royalty agreements between our U.S. and foreign entities. The intercompany sales of rights to intellectual property resulted in a gain for tax purposes, for which we recorded a $76.8 million tax provision in the fourth quarter of fiscal 2011, which was fully offset by the release of a portion of valuation allowance on deferred tax assets. | |||||||||||||
The global tax structure was completed during the first quarter of 2012 upon the intercompany sale of inventory and fixed assets. During 2012, this inventory was sold to end customers in the ordinary course of business resulting in income before taxes in the U.S. and a loss before taxes in foreign jurisdictions. Because these foreign jurisdictions have 0% income tax rates, we received no tax benefit associated with the losses resulting in a significant foreign rate differential. Taxes have been applied to the gain on sale based on U.S. statutory tax rates, offset by deferred tax assets. This resulted in an increase to the effective tax rate and a net income tax provision of $13.7 million during 2012. | |||||||||||||
Also during the fourth quarter of 2011, we concluded that it was more-likely-than-not that we would be able to realize the benefit of a portion of our remaining deferred tax assets, resulting in a tax benefit of $35.2 million and a net deferred tax asset of $49.7 million. We based this conclusion on improved operating results over the past two years and our expectations about generating taxable income in the foreseeable future including the implementation of a global tax structure discussed above. We exercised significant judgment and considered estimates about our ability to generate revenue, gross profits, operating income and taxable income in future periods under our new tax structure in reaching this decision. As of December 28, 2013 we have recognized approximately $12.8 million of federal and state deferred tax assets. We will continue to evaluate both positive and negative evidence in future periods to determine if additional deferred tax assets should be recognized. We do not have a valuation allowance in any foreign jurisdictions as it has been concluded it is more-likely-than-not that we will realize the net deferred tax assets in future periods. The net increase in the total valuation allowance affecting the effective tax rate for the year ended December 28, 2013 was approximately $1.6 million. | |||||||||||||
The components of our net deferred tax assets are as follows (in thousands): | |||||||||||||
December 28, | December 29, | ||||||||||||
2013 | 2012 | ||||||||||||
Deferred tax assets: | |||||||||||||
Accrued expenses and reserves | $ | 4,959 | $ | 1,791 | |||||||||
Stock-based and deferred compensation | 4,986 | 4,164 | |||||||||||
Intangible assets | 8,456 | 8,187 | |||||||||||
Fixed assets | 828 | — | |||||||||||
Net operating loss carry forwards | 101,144 | 113,259 | |||||||||||
Tax credit carry forwards | 36,644 | 32,446 | |||||||||||
Capital loss carry forwards | 6,698 | 6,926 | |||||||||||
Unrealized loss on securities | 758 | 758 | |||||||||||
Other | 143 | 121 | |||||||||||
164,616 | 167,652 | ||||||||||||
Less: valuation allowance | (150,528 | ) | (149,209 | ) | |||||||||
Net deferred tax assets | 14,088 | 18,443 | |||||||||||
Deferred tax liabilities: | |||||||||||||
Fixed Assets | — | 1,897 | |||||||||||
Other | 969 | 608 | |||||||||||
Total deferred tax liabilities | 969 | 2,505 | |||||||||||
Net deferred tax assets | $ | 13,119 | $ | 15,938 | |||||||||
Of the total Net deferred tax assets, $1.4 million and $0.6 million are considered current and included in Prepaid expenses and other current assets on the Consolidated Balance Sheets as of December 28, 2013 and December 29, 2012, respectively. | |||||||||||||
At December 28, 2013, we have federal net operating loss carryforwards (pretax) of approximately $308.6 million that expire at various dates between 2023 and 2032. We have state net operating loss carryforwards (pretax) of approximately $147.0 million that expire at various dates from 2014 through 2032. We also have federal and state credit carryforwards of $18.0 million and $26.3 million of which $24.4 million do not expire. The remaining credits expire at various dates from 2014 through 2033. | |||||||||||||
Future utilization of federal and state net operating losses and tax credit carry forwards may be limited if cumulative changes to ownership exceed 50% within any three-year period, which has not occurred through fiscal 2013. However, if there is a significant change in ownership the future utilization may be limited and the deferred tax asset would be reduced to the amount available. | |||||||||||||
At December 28, 2013, U.S. income taxes were not provided for approximately $3.4 million of the undistributed earnings of our Chinese subsidiary. We intend to reinvest these earnings indefinitely. If these earnings were distributed to the U.S. in the form of dividends or otherwise, we would be subject to additional U.S. income taxes and foreign withholding taxes. | |||||||||||||
At December 28, 2013, our unrecognized tax benefits associated with uncertain tax positions were $22.6 million, of which $21.4 million, if recognized, would affect the effective tax rate, subject to valuation allowance. As of December 28, 2013, interest and penalties associated with unrecognized tax benefits were $0.1 million. | |||||||||||||
The following table summarizes the changes to unrecognized tax benefits for fiscal years 2013, 2012 and 2011 (in thousands): | |||||||||||||
Unrecognized tax benefit | Amount | ||||||||||||
Balance at January 1, 2011 | 7,741 | ||||||||||||
Additions based on tax positions related to the current year | 15,005 | ||||||||||||
Additions based on tax positions of prior years | — | ||||||||||||
Additions for acquisition of SiliconBlue | 298 | ||||||||||||
Reduction for tax positions of prior years | (106 | ) | |||||||||||
Settlements | (1,248 | ) | |||||||||||
Reduction as a result of lapse of applicable statute of limitations | (138 | ) | |||||||||||
Balance at December 31, 2011 | 21,552 | ||||||||||||
Additions based on tax positions related to the current year | 384 | ||||||||||||
Additions based on tax positions of prior years | 192 | ||||||||||||
Reduction for tax positions of prior years | (26 | ) | |||||||||||
Settlements | (30 | ) | |||||||||||
Reduction as a result of lapse of applicable statute of limitations | (392 | ) | |||||||||||
Balance at December 29, 2012 | $ | 21,680 | |||||||||||
Additions based on tax positions related to the current year | 1,600 | ||||||||||||
Additions based on tax positions of prior years | 68 | ||||||||||||
Reduction for tax positions of prior years | — | ||||||||||||
Settlements | (338 | ) | |||||||||||
Reduction as a result of lapse of applicable statute of limitations | (367 | ) | |||||||||||
Balance at December 28, 2013 | 22,643 | ||||||||||||
At December 28, 2013, it is reasonably possible that $0.1 million of unrecognized tax benefits and less than $0.1 million of associated interest and penalties could significantly change during the next twelve months. The $0.1 million potential change would represent a decrease in unrecognized tax benefits, comprised of items related to tax filings for years that will no longer be subject to examination under expiring statutes of limitations. | |||||||||||||
The Internal Revenue Service has examined our income tax returns for 2001 and 2002, and issued proposed adjustments of $1.4 million, plus interest. These adjustments relate to the treatment of acquisition costs and a tax accounting method change for prepaid expenses. We reached an agreement regarding the acquisition costs during the three months ended March 29, 2008. We made a payment of $0.3 million related to this settlement agreement. On May 23, 2008, we filed a petition with the Tax Court seeking a redetermination of the prepaid expense adjustment. On May 9, 2011 the United States Tax Court ruled that the IRS did not err in denying our request to change our accounting method with respect to prepaid expenses and held that we were not allowed a deduction for prepaid expenses on our 2002 tax return. During the quarter ended October 1, 2011, we decided not to pursue further litigation with regard to the prepaid expense adjustment and paid the adjustments to the IRS. As a result, we paid $1.0 million in October 2011 related to disallowed prepaid expense deductions and the corresponding carry back of those deductions to the 1999 and 2000 tax returns through a net operating loss carry back. The amount paid was fully reserved. A benefit of approximately $0.9 million was recognized in the three months ended October 1, 2011 for the reversal of uncertain tax positions and related interest for the years effectively settled. | |||||||||||||
Our 2011 and 2012 federal income tax returns are currently under examination. We are not under examination in any state jurisdictions. Additionally, we have been notified that our 2011 and 2012 French tax returns have been selected for examination. We are not under examination in any other foreign jurisdictions. | |||||||||||||
We are subject to federal and state income tax as well as income tax in the various foreign jurisdictions in which we operate. Additionally, the years that remain subject to examination are 2010 for federal income taxes, 2009 for state income taxes, and 2007 for foreign income taxes, including years ending thereafter. However, to the extent allowed by law, the tax authorities may have the right to examine prior periods where net operating losses or tax credits were generated and carried forward, and make adjustments up to the amount of the net operating losses or credit carryforward amount. | |||||||||||||
The American Taxpayer Relief Act of 2012, which reinstated the United States federal research and development tax credit retroactively from January 1, 2012 through December 31, 2013, was not enacted into law until the first quarter of 2013. The tax benefit resulting from the reinstatement of the federal research and development tax credit was offset by a valuation allowance and therefore did not impact our annual effective tax rate. |
Restructuring
Restructuring | 12 Months Ended | |||||||||||||||
Dec. 28, 2013 | ||||||||||||||||
Restructuring and Related Activities [Abstract] | ' | |||||||||||||||
Restructuring | ' | |||||||||||||||
Restructuring: | ||||||||||||||||
In October, 2012, the Company's Board of Directors adopted the "2012 restructuring plan." In connection with this restructuring plan, the Company reduced its headcount by approximately 110 employees and eliminated certain sites, including its sites in Pennsylvania and Illinois. In connection with this action, the Company recorded restructuring charges of approximately $0.4 million during 2013. The Company recorded restructuring charges of $5.4 million in the fourth quarter of fiscal 2012 and additionally incurred approximately $0.7 million related to the 2011 restructuring plan which was completed during the second quarter of 2012. | ||||||||||||||||
In 2011, the Company adopted the "2011 restructuring plan" to more efficiently implement its product development cycle and streamline supply chain activities. During 2011, the company incurred approximately $7.0 million, primarily related to severance costs. In addition, the company re-occupied leased space which had previously been restructured, resulting in a benefit of $0.8 million. | ||||||||||||||||
The following table displays the activity related to the restructuring plans described above (in thousands): | ||||||||||||||||
Severance and related | Lease termination | Other | Total | |||||||||||||
Balance at January 1, 2011 | $ | 175 | $ | 1,014 | $ | 13 | $ | 1,202 | ||||||||
Restructuring charges | 6,503 | 11 | 830 | 7,344 | ||||||||||||
Non-cash adjustments | (269 | ) | — | — | (269 | ) | ||||||||||
Cash payments | (4,678 | ) | (178 | ) | (843 | ) | (5,699 | ) | ||||||||
Adjustments to prior restructuring costs | (175 | ) | (821 | ) | — | (996 | ) | |||||||||
Balance at December 31, 2011 | 1,556 | 26 | — | 1,582 | ||||||||||||
Restructuring charges | 4,277 | 1,083 | 776 | 6,136 | ||||||||||||
Cash payments | (3,356 | ) | (302 | ) | (518 | ) | (4,176 | ) | ||||||||
Adjustments to prior restructuring costs | (104 | ) | (14 | ) | — | (118 | ) | |||||||||
Balance at December 29, 2012 | 2,373 | 793 | 258 | 3,424 | ||||||||||||
Restructuring charges | 109 | 224 | 253 | 586 | ||||||||||||
Cash payments | (2,315 | ) | (740 | ) | (225 | ) | (3,280 | ) | ||||||||
Adjustments to prior restructuring costs | (150 | ) | 91 | (139 | ) | (198 | ) | |||||||||
Balance at December 28, 2013 | $ | 17 | $ | 368 | $ | 147 | $ | 532 | ||||||||
We cannot be certain as to the actual amount of any remaining restructuring charges or the timing of their recognition for financial reporting purposes. |
Common_Stock_Repurchase_Progra
Common Stock Repurchase Program | 12 Months Ended |
Dec. 28, 2013 | |
Equity [Abstract] | ' |
Common Stock Repurchase Program | ' |
Common Stock Repurchase Program: | |
On February 27, 2013, the Company's Board of Directors approved a stock repurchase program pursuant to which up to $20.0 million of outstanding common stock may be repurchased from time to time. The duration of the repurchase program is twelve months. During fiscal 2013, approximately 0.8 million shares were repurchased at $3.7 million. At December 28, 2013, we have approximately $16.3 million remaining under the approved program. All shares repurchased under this program were retired by December 28, 2013. All repurchases have been and will continue to be open market transactions funded from available working capital. | |
In February 2014, the Company's Board of Directors approved a stock repurchase program pursuant to which up to $20.0 million of outstanding common stock may be repurchased from time to time. The duration of the repurchase program is twelve months. All repurchases will be open market transactions funded from available working capital. | |
On February 24, 2012, the Company's Board of Directors approved a stock repurchase program pursuant to which up to $20.0 million of outstanding common stock may be repurchased from time to time. The duration of the repurchase program is twelve months. During fiscal 2012, approximately 4.1 million shares were repurchased at $17.5 million. At December 29, 2012, we had approximately $2.5 million remaining under the approved program which completed in the first quarter of 2013 with the repurchase of approximately 0.6 million shares for $2.5 million. All shares repurchased under this program in fiscal 2012 were retired by December 29, 2012. All repurchases were open market transactions funded from available working capital. | |
On October 21, 2010, the Company's Board of Directors approved a stock repurchase program pursuant to which up to $20.0 million of outstanding common stock could have been repurchased. The duration of the repurchase program was twelve months from adoption. During fiscal 2011, approximately 2.4 million shares were repurchased for $14.4 million. All shares repurchased under this program were retired by December 31, 2011. All repurchases were open market transactions and were funded from available working capital. The program ended by its terms in October 2011. |
Stockholders_Equity
Stockholders' Equity | 12 Months Ended | ||||||||||||
Dec. 28, 2013 | |||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||
Stockholders' Equity | ' | ||||||||||||
Stockholders' Equity: | |||||||||||||
Employee and Director Stock Options, Restricted Stock and ESPP | |||||||||||||
The Company's employee stock option plans include principal plans adopted in 2013 and 2001 (“Principal Option Plans”). We have authorized an aggregate of 7,237,702 and 9,000,000 shares of common stock for issuance to officers and employees under the 2013 plan and 2001 plan, respectively. The Principal Option Plans provide for grants of options to employees to purchase common stock at the fair market value of such shares on the grant date. The options generally vest quarterly over a four-year period beginning on the grant date. Options granted under the Principal Option Plans are generally non-qualified stock options but the Principal Option Plans permit some options granted to qualify as “incentive stock options” under the U.S. Internal Revenue Code. The contractual term of options granted prior to January 31, 2006 was generally ten years, while the contractual term of options granted subsequent to January 31, 2006 is generally seven years. | |||||||||||||
Restricted stock unit (“RSUs”) grants are part of the Company's equity compensation practices for employees who receive equity grants. RSUs granted to employees generally vest quarterly over a four-year period beginning on the grant date. | |||||||||||||
In May 2011, the shareholders of the Company approved the 2011 Non-Employee Director Equity Incentive Plan. The Plan provides that non-employee members of our Board of Directors receive non-qualified option grants and restricted stock units in set amounts and at set times, at option prices equal to the fair market value on the date of grant. Originally 750,000 shares of common stock were authorized for issuance under the plan. In May 2013, the shareholders of the Company approved an amendment to the plan authorizing an additional 360,000 shares available for issuance, aggregating 1,110,000 shares available in total. Vesting periods for options and RSUs granted to Directors is over three years and one year respectively. The contractual term of all non-employee director options is ten years. | |||||||||||||
In May 2012, the Company's stockholders approved the 2012 Employee Stock Purchase Plan ("2012 ESPP"). The Plan authorizes the issuance of 3,000,000 shares of common stock to eligible employees to purchase shares of common stock through payroll deduction. Payroll deductions are not to exceed 10% of an employee's compensation. The purchase price of the shares is the lower of 85% of the fair market of the stock at the beginning of each six-month offering period or 85% of the fair market value at the end of such period. Employees are required to hold purchased shares for six months. We have treated the 2012 ESPP as a compensatory plan, and recorded compensation expense related to the 2012 ESPP of $0.2 million and less than $0.1 million for fiscal 2013 and fiscal 2012, respectively. | |||||||||||||
The Company's ESPP, which was amended and approved by our stockholders in May 2007 ("2007 ESPP"), permits eligible employees to purchase shares of common stock through payroll deductions, not to exceed 10% of an employee's compensation. The purchase price of the shares is the lower of 85% of the fair market value of the stock at the beginning of each six-month offering period or 85% of the fair market value at the end of such period, but in no event less than the book value per share at the mid-point of each offering period. An aggregate of 5,500,000 shares of common stock have been authorized for issuance under the plan. We have treated the 2007 ESPP as a compensatory plan and recorded compensation expense related to the 2007 ESPP of $0.1 million and $0.5 million for fiscal 2012 and fiscal 2011, respectively. The 2007 ESPP was replaced with the 2012 ESPP in May 2012. | |||||||||||||
Stock-Based Compensation | |||||||||||||
Total stock-based compensation expense included in our Consolidated Statements of Operations was as follows (in thousands): | |||||||||||||
Year Ended | |||||||||||||
December 28, | December 29, | December 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||||
Line item: | |||||||||||||
Cost of products sold | $ | 627 | $ | 525 | $ | 461 | |||||||
Research and development | 3,916 | 3,009 | 2,697 | ||||||||||
Selling, general and administrative | 4,979 | 3,976 | 3,095 | ||||||||||
Restructuring charges | — | — | 103 | ||||||||||
Total stock-based compensation | $ | 9,522 | $ | 7,510 | $ | 6,356 | |||||||
ASC 718, “Compensation-Stock Compensation (“ASC 718”),” requires that we recognize compensation expense for only the portion of employee and director options and ESPP rights that are expected to vest. | |||||||||||||
The fair value of each option award is estimated on the date of grant using the Black-Scholes valuation model and the assumptions noted in the following table. Beginning January 1, 2006, in connection with the adoption of ASC 718, the Company examined the historical pattern of option exercises in an effort to determine if there were any discernible activity patterns based on certain employee populations. From this analysis, the Company identified two employee populations. Prior to January 3, 2009, the Company used the simplified method as prescribed by the SEC's Staff Accounting Bulletin No. 107. The Company now believes that it has sufficient internal historical data to refine the expected term assumption. As such, the expected term computation is based on historical vested option exercises and includes an estimate of the expected term for options that were fully vested and outstanding at January 3, 2009 for each of the two populations identified. The expected volatility of both stock options and ESPP shares is based on the daily historical volatility of our stock price, measured over the expected term of the option or the ESPP purchase period. The risk-free interest rate is based on the implied yield on a U.S. Treasury zero-coupon issue with a remaining term closest to the expected term of the option. The dividend yield reflects that we have not paid any cash dividends since inception and do not intend to pay any cash dividends in the foreseeable future. | |||||||||||||
Year Ended | |||||||||||||
December 28, | December 29, | December 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||||
Employee and Director Stock Options | |||||||||||||
Expected volatility (%) | 51.4 to 54.3 | 58.1 to 59.5 | 57.4 to 61.9 | ||||||||||
Risk-free interest rate (%) | .007 to .01 | .006 to .01 | .003 to .02 | ||||||||||
Expected term (in years) | 4.09 to 4.53 | 4.09 to 4.47 | 4.05 to 4.37 | ||||||||||
Dividend yield | —% | —% | —% | ||||||||||
Employee Stock Purchase Plan | |||||||||||||
Weighted average expected volatility (%) | 48 | 50 | 48.1 | ||||||||||
Weighted average risk-free interest rate (%) | 0.11 | 0.12 | 0.14 | ||||||||||
Expected term (in years) | 0.5 | 0.5 | 0.5 | ||||||||||
Dividend yield | —% | —% | —% | ||||||||||
At December 28, 2013, there was $10.9 million of total unrecognized compensation cost related to unvested employee and director stock options, which is expected to be recognized over a weighted average period of 4.8 years. Our current practice is to issue new shares to satisfy option exercises. Compensation expense for all stock-based compensation awards is recognized using the straight-line method. | |||||||||||||
The following table summarizes our stock option activity and related information for the year ended December 28, 2013 (shares and aggregate intrinsic value in thousands): | |||||||||||||
Shares | Weighted | Weighted average | Aggregate | ||||||||||
average | remaining | Intrinsic Value | |||||||||||
exercise price | contractual term | ||||||||||||
(years) | |||||||||||||
Balance, December 29, 2012 | 9,528 | $ | 4.74 | ||||||||||
Granted | 3,167 | 5.01 | |||||||||||
Exercised | (990 | ) | 2.38 | ||||||||||
Forfeited or expired | (1,264 | ) | 6.09 | ||||||||||
Balance, December 28, 2013 | 10,441 | $ | 4.88 | ||||||||||
Vested and expected to vest at December 28, 2013 | 10,441 | $ | 4.88 | 4.8 | $ | 8,220 | |||||||
Exercisable, December 28, 2013 | 5,323 | $ | 4.46 | 3.81 | $ | 6,450 | |||||||
The aggregate intrinsic value in the table above represents the total pretax intrinsic value (the difference between the Company's closing stock price on the last trading day of the fiscal year and the exercise price, multiplied by the number of in-the-money options) that would have been received by the option holders had all option holders exercised their options on that day. This amount changes based on the fair market value of the Company's stock. Total intrinsic value of options exercised for fiscal 2013, 2012 and 2011, and was $2.5 million, $3.4 million and $6.6 million, respectively. The total fair value of options and RSUs vested and expensed in fiscal 2013, 2012 and 2011 and was $9.3 million, $7.4 million and $6.0 million, respectively. | |||||||||||||
The resultant grant date weighted-average fair values calculated using the Black-Scholes option pricing model and the noted assumptions for stock options granted were $2.10, $2.74 and $2.92 for fiscal years 2013, 2012 and 2011, respectively. The weighted average fair values calculated using the Black-Scholes option pricing model for the ESPP were $1.29, $1.35, $1.80 for fiscal years 2013, 2012 and 2011, respectively. | |||||||||||||
The following table summarizes our RSU activity for the year ended December 28, 2013 (shares in thousands): | |||||||||||||
Shares | Weighted | ||||||||||||
average grant | |||||||||||||
date fair value | |||||||||||||
Balance at December 29, 2012 | 1,078 | $ | 6.15 | ||||||||||
Granted | 1,735 | 5.22 | |||||||||||
Vested | (524 | ) | 5.91 | ||||||||||
Forfeited | (99 | ) | 5.68 | ||||||||||
Balance at December 28, 2013 | 2,190 | $ | 5.49 | ||||||||||
At December 28, 2013, there was $9.5 million of total unrecognized compensation cost related to unvested RSUs. Our current practice is to issue new shares when RSUs vest. Compensation expense for RSUs is recognized using the straight-line method over the related vesting period. | |||||||||||||
At December 28, 2013, a total of 6.8 million shares of our common stock were available for future grants under our stock option plans. Shares subject to stock option grants that expire or are canceled without delivery of such shares generally become available for re-issuance under these plans. At December 28, 2013, a total of 2.8 million shares of our common stock were available for future purchases under our ESPP. |
Employee_Benefit_Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 28, 2013 | |
Compensation Related Costs [Abstract] | ' |
Employee Benefit Plans | ' |
Employee Benefit Plans: | |
Qualified Investment Plan | |
In 1990, we adopted a 401(k) plan, which provides participants with an opportunity to accumulate funds for retirement. The plan does not allow investments in the Company's common stock. The plan allows for the Company to make discretionary matching contributions in cash. The Company recorded no matching contributions in fiscal 2013, but matched contributions for a total of $0.8 million in fiscal 2012 and $0.8 million in fiscal 2011. | |
Executive Deferred Compensation Plan | |
We initiated an Executive Deferred Compensation Plan effective August 1997. Under the provisions of this plan, as approved by the Board of Directors, certain senior executives may annually defer up to 75% of their salary and up to 100% of their incentive compensation. The return on deferred funds is based upon the performance of designated mutual funds. There is no guaranteed return or matching contribution. We paid out $0.1 million, $0.3 million and $0.3 million of the deferred compensation balance in fiscal 2013, 2012 and 2011, respectively. Balances at December 28, 2013 and December 29, 2012 of $0.1 million and $0.1 million, respectively, are reflected in Long-term liabilities in our accompanying Consolidated Balance Sheets and the related assets are included in Other long-term assets in our accompanying Consolidated Balance Sheets. The deferred compensation amounts are unsecured obligations, but we have made corresponding contributions to a trust fund owned by the Company for the benefit of deferred compensation plan participants. The trust fund invests in mutual funds in the manner directed by participants pursuant to provisions of the plan. The mutual funds are accounted for as trading securities and are marked to market. | |
2011 Cash Incentive Plan | |
On February 1, 2011, upon the recommendation of the Compensation Committee, the Board of Directors of the Company approved the FY2011 Cash Incentive Plan (the “2011 Plan”). The Chief Executive Officer, other executive officers, and other members of senior management, including vice presidents and director-level employees, together with all other employees of the Company not on the Company's sales incentive plan, were eligible to participate in the 2011 Plan. Under the 2011 Plan, individual cash incentive payments for the Chief Executive Officer and other executive officers would be based both on Company performance, as measured by achievement of operating income (before incentive plan accruals) and revenue goals within specified ranges established by the Compensation Committee, and individual performance, as measured by the achievement of personal management objectives, with each of these components representing one-third of the potential cash incentive award. On February 6, 2012, the Compensation Committee approved $2.6 million under the provisions of the 2011 Plan, which was paid in February of 2012. | |
2012 Incentive Plan | |
On February 7, 2012, upon the recommendation of the Compensation Committee, the Board of Directors of the Company approved the FY2012 Incentive Plan (the “2012 Plan”). The chief executive officer and other executive officers are eligible to participate in the 2012 Plan. Under the 2012 Plan, individual cash incentive payments and restricted stock unit grants for the chief executive officer and other executive officers will be based both on Company financial performance, as measured by achievement of operating income (before incentive plan accruals) and revenue goals within specified ranges established by the Compensation Committee, and Company performance, as measured by the achievement of personal management objectives. The Compensation Committee will determine the performance of the chief executive officer, the chief financial officer and other participants based on the achievement of the management objectives established by the committee during the first fiscal quarter of 2012. There was no expense recorded under this plan during fiscal 2012. | |
2013 Incentive Plan | |
On February 4, 2013, upon the recommendation of the Compensation Committee, the Board of Directors of the Company approved the 2013 Cash Incentive Plan (the “2013 Plan”). The chief executive officer and other executive officers are eligible to participate in the 2013 Plan. Under the 2013 Plan, individual cash incentive payments and restricted stock unit grants for the chief executive officer and other executive officers will be based both on Company financial performance, as measured by achievement of operating income (before incentive plan accruals) and revenue goals within specified ranges established by the Compensation Committee, and Company performance, as measured by the achievement of personal management objectives. The Compensation Committee will determine the performance of the chief executive officer, the chief financial officer and other participants based on the achievement of the management objectives established by the committee during the first fiscal quarter of 2013. There was $11.3 million of expense recorded under this plan in fiscal 2013. |
Legal_Matters
Legal Matters | 12 Months Ended |
Dec. 28, 2013 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Legal Matters | ' |
Legal Matters: | |
On June 11, 2007, a patent infringement lawsuit was filed by Lizy K. John (“John”) against us in the U.S. District Court for the Eastern District of Texas, Marshall Division. In the complaint, John seeks an injunction, unspecified damages, and attorneys' fees and expenses. We filed a request for re-examination of the patent by the U.S. Patent and Trademark Office (“PTO”), which was granted by the PTO. The litigation was stayed pending the results of the re-examination. After the re-examination concluded, the stay was lifted on January 1, 2012, and the lawsuit was transferred by consent of the parties to the Northern District of California. We also filed a request for a second re-examination of the patent, which was granted but is currently on appeal at the Patent Trial and Appeal Board. Discovery is open and proceeding. On February 14, 2014, the District Court held a claim construction hearing and a hearing on the Company's motion for summary judgment of invalidity. The court has not yet ruled on the issues raised at the hearings. Trial is scheduled for December 8, 2014. At this stage of the proceedings, we do not have an estimate of the likelihood or the amount of any potential exposure to us. We believe we possess defenses to these claims and intend to vigorously defend this litigation. It is reasonably possible that the actual losses may exceed our accrued liabilities, however, we cannot currently estimate such amount. | |
We are also exposed to certain other asserted and unasserted potential claims. There can be no assurance that, with respect to potential claims made against us, we could resolve such claims under terms and conditions that would not have a material adverse effect on our business, our liquidity or our financial results. Periodically, we review the status of each significant matter and assess its potential financial exposure. If the potential loss from any claim or legal proceeding is considered probable and a range of possible losses can be estimated, we then accrue a liability for the estimated loss based on the provisions of FASB ASC 450, “Contingencies" (“ASC 450”). Legal proceedings are subject to uncertainties, and the outcomes are difficult to predict. Because of such uncertainties, accruals are based only on the best information available at the time. As additional information becomes available, we reassess the potential liability related to pending claims and litigation and may revise estimates. Presently, no accrual has been estimated under ASC 450 for potential losses that may or may not arise from the current lawsuits in which we are involved. |
Valuation_and_Qualifying_Accou
Valuation and Qualifying Accounts (Notes) | 12 Months Ended | |||||||||||||||||||
Dec. 28, 2013 | ||||||||||||||||||||
Valuation and Qualifying Accounts [Abstract] | ' | |||||||||||||||||||
Schedule of Valuation and Qualifying Accounts Disclosure | ' | |||||||||||||||||||
Valuation and Qualifying Accounts: | ||||||||||||||||||||
The following table displays the activity related to changes in our valuation and qualifying accounts (in thousands): | ||||||||||||||||||||
Classification | Balance at | Charged (Credit) to | Charged to | Write-offs | Balance at end | |||||||||||||||
beginning of | costs and | other accounts | net of | of period | ||||||||||||||||
period | expenses | recoveries | ||||||||||||||||||
Fiscal year ended December 28, 2013: | ||||||||||||||||||||
Allowance for deferred taxes | 149,209 | 1,636 | (317 | ) | — | 150,528 | ||||||||||||||
Allowance for doubtful accounts | 1,122 | 41 | — | (285 | ) | 878 | ||||||||||||||
Allowance for warranty expense | — | — | — | — | — | |||||||||||||||
150,331 | 1,677 | (317 | ) | (285 | ) | 151,406 | ||||||||||||||
Fiscal year ended December 29, 2012: | ||||||||||||||||||||
Allowance for deferred taxes | $ | 147,499 | $ | 1,652 | $ | 58 | $ | — | $ | 149,209 | ||||||||||
Allowance for doubtful accounts | 939 | 286 | — | (103 | ) | 1,122 | ||||||||||||||
Allowance for warranty expense | — | — | — | — | — | |||||||||||||||
$ | 148,438 | $ | 1,938 | $ | 58 | $ | (103 | ) | $ | 150,331 | ||||||||||
Fiscal year ended December 31, 2011: | ||||||||||||||||||||
Allowance for deferred taxes | $ | 271,208 | $ | (123,709 | ) | $ | — | $ | — | $ | 147,499 | |||||||||
Allowance for doubtful accounts | 866 | 73 | — | — | 939 | |||||||||||||||
Allowance for warranty expense | 99 | — | — | (99 | ) | — | ||||||||||||||
$ | 272,173 | $ | (123,636 | ) | $ | — | $ | (99 | ) | $ | 148,438 | |||||||||
Segment_and_Geographic_Informa
Segment and Geographic Information | 12 Months Ended | |||||||||||||||||||||
Dec. 28, 2013 | ||||||||||||||||||||||
Segment Reporting Information, Additional Information [Abstract] | ' | |||||||||||||||||||||
Segment and Geographic Information | ' | |||||||||||||||||||||
Segment and Geographic Information: | ||||||||||||||||||||||
We operate in one industry segment comprising the design, development, manufacture and marketing of high performance programmable logic devices. Our revenue by major geographic area based on ship-to location was as follows (dollars in thousands): | ||||||||||||||||||||||
Year Ended | ||||||||||||||||||||||
December 28, 2013 | December 29, 2012 | December 31, 2011 | ||||||||||||||||||||
United States: | $ | 28,506 | 9 | % | $ | 34,172 | 12 | % | 44,847 | 14 | % | |||||||||||
China | 148,018 | 45 | 113,585 | 41 | 123,124 | 39 | ||||||||||||||||
Europe | 47,459 | 14 | 48,202 | 17 | 66,319 | 21 | ||||||||||||||||
Japan | 26,538 | 8 | 35,696 | 13 | 36,961 | 11 | ||||||||||||||||
Taiwan | 6,708 | 2 | 8,276 | 3 | 8,346 | 3 | ||||||||||||||||
Other Asia | 64,425 | 19 | 32,254 | 11 | 32,687 | 10 | ||||||||||||||||
Other Americas | 10,871 | 3 | 7,071 | 3 | 6,082 | 2 | ||||||||||||||||
Total foreign revenue | 304,019 | 91 | 245,084 | 88 | 273,519 | 86 | ||||||||||||||||
Total revenue | $ | 332,525 | 100 | % | $ | 279,256 | 100 | % | $ | 318,366 | 100 | % | ||||||||||
We assign revenue to geographies based on the customer ship-to address at the point where revenue is recognized. In the case of sell-in distributors and OEM customers, revenue is typically recognized, and geography is assigned, when products are shipped to our distributor or customer. In the case of sell-through distributors, revenue is recognized when resale occurs and geography is assigned based on the customer location on the resale reports provided by the distributor. | ||||||||||||||||||||||
Revenue by Distributors | ||||||||||||||||||||||
Our largest customers are often distributors and sales through distributors have historically made up a significant portion of our total revenue. Revenue attributable to resales of products by our primary distributors are as follows: | ||||||||||||||||||||||
% of Total Revenue | ||||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||||
Arrow Electronics Inc. (including Nu Horizons Electronics) | 25 | % | 33 | % | 22 | % | ||||||||||||||||
Weikeng Group | 12 | 14 | 14 | |||||||||||||||||||
All others | 8 | 8 | 25 | |||||||||||||||||||
All sell-through distributors | 45 | % | 55 | % | 61 | % | ||||||||||||||||
Orders from our sell-through distributors are initially recorded at published list prices; however, for a majority of our sales, the final selling price is determined at the time of resale and in accordance with a distributor price agreement. In certain circumstances, we allow sell-through distributors to return unsold products. At times, we protect our sell-through distributors against reductions in published list prices. For these reasons, we do not recognize revenue until products are resold by sell-through distributors to an end customer. |
Quarterly_Financial_Data_Unaud
Quarterly Financial Data (Unaudited) | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 28, 2013 | |||||||||||||||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | ||||||||||||||||||||||||||||||||
Quarterly Financial Data (Unaudited) | ' | ||||||||||||||||||||||||||||||||
Quarterly Financial Data (Unaudited): | |||||||||||||||||||||||||||||||||
A summary of the Company's consolidated quarterly results of operations is as follows (in thousands, except per share data): | |||||||||||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||||||||||
Q4 | Q3 | Q2 | Q1 | Q4 | Q3 | Q2 | Q1 | ||||||||||||||||||||||||||
Revenue | $ | 89,519 | $ | 87,154 | $ | 84,694 | $ | 71,158 | $ | 65,875 | $ | 70,889 | $ | 70,792 | $ | 71,700 | |||||||||||||||||
Gross margin | $ | 48,603 | $ | 46,376 | $ | 45,110 | $ | 38,155 | $ | 35,673 | $ | 38,548 | $ | 37,051 | $ | 39,485 | |||||||||||||||||
Restructuring charges (adjustment) | $ | 131 | $ | 85 | $ | 19 | $ | 153 | $ | 5,375 | $ | — | $ | 87 | $ | 556 | |||||||||||||||||
Net income (loss) | $ | 6,547 | $ | 8,844 | $ | 5,040 | $ | 1,890 | $ | (7,175 | ) | $ | (2,175 | ) | $ | (12,542 | ) | $ | (7,714 | ) | |||||||||||||
Basic net income (loss) per share | $ | 0.06 | $ | 0.08 | $ | 0.04 | $ | 0.02 | $ | (0.06 | ) | $ | (0.02 | ) | $ | (0.11 | ) | $ | (0.07 | ) | |||||||||||||
Diluted net income (loss) per share | $ | 0.06 | $ | 0.08 | $ | 0.04 | $ | 0.02 | $ | (0.06 | ) | $ | (0.02 | ) | $ | (0.11 | ) | $ | (0.07 | ) | |||||||||||||
Nature_of_Operations_and_Signi1
Nature of Operations and Significant Accounting Policies (Policies) | 12 Months Ended | ||||||||
Dec. 28, 2013 | |||||||||
Accounting Policies [Abstract] | ' | ||||||||
Fiscal Reporting Period | ' | ||||||||
Fiscal Reporting Period | |||||||||
We report based on a 52 or 53-week fiscal year ending on the Saturday closest to December 31. Our fiscal year 2013, 2012 and 2011 had 52 weeks and ended on December 28, 2013, December 29, 2012 and December 31, 2011, respectively. Our fiscal 2014 will be a 53-week year and will end on January 3, 2015. All references to quarterly or yearly financial results are references to the results for the relevant fiscal period. | |||||||||
Principles of Consolidation | ' | ||||||||
Principles of Consolidation | |||||||||
The accompanying Consolidated Financial Statements include the accounts of Lattice and its subsidiaries, all of which are wholly owned, after the elimination of all intercompany balances and transactions. Certain balances in prior fiscal years have been reclassified to conform to the presentation adopted in the current year. | |||||||||
Cash Equivalents | ' | ||||||||
Cash Equivalents and Marketable Securities | |||||||||
We consider all investments that are readily convertible into cash and have original maturities of three months or less, to be cash equivalents. Cash equivalents consist primarily of highly liquid investments in time deposits or money market accounts and are carried at cost. | |||||||||
Marketable Securities | ' | ||||||||
We account for marketable securities as available for sale with unrealized gains or losses recorded to Accumulated other comprehensive loss, unless losses are considered other-than-temporary, in which case, losses are charged to the Consolidated Statements of Operations. | |||||||||
Fair Value of Financial Instruments | ' | ||||||||
Fair Value of Financial Instruments | |||||||||
We invest in various financial instruments including corporate and government bonds, notes, commercial paper and auction rate securities. The Company values these instruments at fair value and monitors their portfolio for impairment on a periodic basis. In the event that the carrying value of an investment exceeds its fair value and the decline in value is determined to be other-than-temporary, the Company records an impairment charge and establishes a new carrying value. We assess other-than-temporary impairment of marketable securities in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 820, “Fair Value Measurements and Disclosures.” The framework under the provisions of ASC 820 establishes three levels of inputs that may be used to measure fair value. Each level of input has different levels of subjectivity and difficulty involved in determining fair value. | |||||||||
Level 1 instruments are characterized generally by quoted prices for identical assets or liabilities in active markets. Therefore, determining fair value for Level 1 instruments generally does not require significant management judgment, and the estimation is not difficult. | |||||||||
Level 2 instruments include inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices for identical instruments in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. | |||||||||
Level 3 instruments include unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Our auction rate securities are classified as Level 3 instruments. Management uses a combination of the market and income approach to derive the fair value of auction rate securities, which include third party valuation results, investment broker provided market information and available information on the credit quality of the underlying collateral. As a result, the determination of fair value for Level 3 instruments requires significant management judgment and subjectivity. Our Level 3 instruments are classified as Long-term marketable securities on our Consolidated Balance Sheet and are entirely made up of auction rate securities that consist of student loan asset-backed notes. Such loans are insured by the federal government or guaranteed by the Federal Family Educational Loan Program ("FFELP"). Fair value measurement may be sensitive to various unobservable inputs such as the ability of students to repay their loans, or change in the provision of government guarantees policy toward guaranteeing loan repayment. If students are unable to pay back their loans or the government changes its policy, our investments may be further impaired. | |||||||||
Foreign Exchange and Translation of Foreign Currencies | ' | ||||||||
Foreign Exchange and Translation of Foreign Currencies | |||||||||
We have international subsidiary and branch operations. In addition, a portion of our silicon wafer and other purchases are denominated in Japanese yen, we bill certain Japanese customers in yen and collect a Japanese consumption tax refund in yen. Gains or losses from foreign exchange rate fluctuations on balances denominated in foreign currencies are reflected in Other (expense) income, net. Realized and unrealized gains or losses on foreign currency transactions were not significant for the periods presented. We translate accounts denominated in foreign currencies in accordance with ASC 830, “Foreign Currency Matters,” using the current rate method under which asset and liability accounts are translated at the current rate, while stockholders' equity accounts are translated at the appropriate historical rates, and revenue and expense accounts are translated at average monthly exchange rates. Translation adjustments related to the consolidation of foreign subsidiary financial statements are reflected in Accumulated other comprehensive loss in Stockholders' equity. | |||||||||
Derivative Financial Instruments | ' | ||||||||
Derivative Financial Instruments | |||||||||
At December 28, 2013 and December 29, 2012, we had open foreign exchange contracts of 240,000,000 JPY and 150,000,000 JPY, respectively. One contract outstanding at December 28, 2013 settled in January 2014 and a second contract will settle in June 2014. The contract outstanding at December 29, 2012 settled in January 2013. Although such hedges mitigate our foreign currency exchange rate exposure from an economic perspective they were not designated as "effective" hedges for accounting purposes and are adjusted to fair value through earnings, with an impact of less than $0.1 million for the periods reported. We do not hold or issue derivative financial instruments for trading or speculative purposes. | |||||||||
Concentration Risk | ' | ||||||||
Concentration Risk | |||||||||
Potential exposure to concentration risk consists primarily of revenue concentration, cash and cash equivalents, marketable securities, trade receivables and supply of wafers for our new products. One OEM end customer accounted for 22% of revenue in fiscal 2013. No end customer accounted for more than 10% of revenue in fiscal 2012 or 2011. We place our investments primarily through three financial institutions and mitigate the concentration of credit risk by limiting the maximum portion of the investment portfolio which may be invested in any one instrument. The Company's investment policy defines approved credit ratings for investment securities. Investments on-hand consisted primarily of money market instruments, “AA” or better corporate notes and bonds and commercial paper, and U.S. government agency obligations. See Note 4 for a discussion of the liquidity attributes of our marketable securities. | |||||||||
Concentration of credit risk with respect to trade receivables are mitigated by a diverse customer base and our credit and collection process. Accounts receivable are recorded at the invoice amount, do not bear interest, and are shown net of allowances for doubtful accounts of $0.9 million and $1.1 million at December 28, 2013 and December 29, 2012, respectively. We perform credit evaluations for essentially all customers and secure transactions with letters of credit or advance payments where appropriate. We regularly review our allowance for doubtful accounts and the aging of our accounts receivable. Write-offs for uncollected trade receivables have not been significant to date. | |||||||||
We rely on a limited number of foundries for our wafer purchases including: Fujitsu Limited, Seiko Epson Corporation Taiwan Semiconductor Manufacturing Company, Ltd, United Microelectronics Corporation, and GLOBALFOUNDRIES. | |||||||||
Revenue Recognition and Deferred Income | ' | ||||||||
Revenue Recognition and Deferred Income | |||||||||
We sell our products directly to end customers or through a network of independent manufacturers' representatives and indirectly through a network of independent sell-in and sell-through distributors. Distributors provide periodic data regarding the product, price, quantity, and end customer when products are resold, as well as the quantities of our products they still have in stock. | |||||||||
Revenue from sales to original equipment manufacturers ("OEMs") or sell-in distributors is recognized upon shipment. Revenue from sales by our sell-through distributors is recognized at the time of reported resale. Under both types of revenue recognition, persuasive evidence of an arrangement exists, the price is fixed or determinable, title has transferred, collection of resulting receivables is reasonably assured, and there are no remaining customer acceptance requirements and no remaining significant performance obligations. | |||||||||
Orders from our sell-through distributors are initially recorded at published list prices; however, for a majority of our sales, the final selling price is determined at the time of resale and in accordance with a distributor price agreement. In certain circumstances, we allow sell-through distributors to return unsold products. At times, we protect our sell-through distributors against reductions in published list prices. For these reasons, we do not recognize revenue until products are resold by sell-through distributors to an end customer. | |||||||||
For sell-through distributors, at the time of shipment to distributors, we (a) record Accounts receivable at published list price since there is a legally enforceable obligation from the distributor to pay us currently for product delivered, (b) relieve inventory for the carrying value of goods shipped since legal title has passed to the distributor, and (c) record deferred revenue and deferred cost of sales in Deferred income and allowances on sales to sell-through distributors in the liability section of our Consolidated Balance Sheets. The final price is set at the time of resale and is determined in accordance with a distributor price agreement. Revenue and cost of products sold to sell-through distributors are deferred until either the product is resold by the distributor or, in certain cases, return privileges terminate, at which time Revenue and Cost of products sold are reflected in Net Income (loss), and Accounts receivable are adjusted to reflect the final selling price. | |||||||||
The components of Deferred income and allowances on sales to sell-through distributors are presented in the following table (in thousands): | |||||||||
December 28, | December 29, | ||||||||
2013 | 2012 | ||||||||
Inventory valued at published list price and held by sell-through distributors with right of return | $ | 36,056 | $ | 38,623 | |||||
Allowance for distributor advances | (24,090 | ) | (22,450 | ) | |||||
Deferred cost of sales related to inventory held by sell-through distributors | (4,471 | ) | (5,620 | ) | |||||
Total Deferred income and allowances on sales to sell-through distributors | $ | 7,495 | $ | 10,553 | |||||
A significant portion of our revenue in fiscal 2013 was from sell-through distributors. For the fiscal years 2013, 2012 and 2011, resale of products by sell-through distributors as a percentage of our total revenue was 45%, 55% and 61%, respectively. | |||||||||
We must use estimates and apply judgment to reconcile sell-through distributors' reported inventories to their activities. Errors in our estimates or judgments could result in inaccurate reporting of our Revenue, Cost of products sold, Deferred income and allowances on sales to sell-through distributors, and Net Income (loss). | |||||||||
Inventories | ' | ||||||||
Inventories | |||||||||
Inventories are recorded at the lower of actual cost determined on a first-in-first-out basis or market. We establish provisions for inventory if it is in excess of projected customer demand, and the creation of such provisions result in a write-down of inventory to net realizable value and a charge to cost of products sold. | |||||||||
Property and Equipment | ' | ||||||||
Property and Equipment | |||||||||
Property and equipment are stated at cost. Depreciation and amortization are computed using the straight-line method for financial reporting purposes over the estimated useful lives of the related assets, generally three to five years for equipment and software, one to three years for tooling and thirty years for buildings. Upon disposal of property and equipment, the accounts are relieved of the costs and related accumulated depreciation and amortization, and resulting gains or losses are reflected in operations. Repair and maintenance costs are expensed as incurred. | |||||||||
Asset Impairments, Valuation of Goodwill | ' | ||||||||
Asset Impairments | |||||||||
Long-lived assets, including amortizable intangible assets, are carried on our financial statements based on their cost less accumulated depreciation or amortization. We monitor the carrying value of our long-lived assets for potential impairment and test the recoverability of such assets whenever events or changes in circumstances indicate that their carrying amounts may not be recoverable. These events or changes in circumstances, including management decisions pertaining to such assets, are referred to as impairment indicators. If an impairment indicator occurs, we perform a test of recoverability by comparing the carrying value of the asset group to its undiscounted expected future cash flows. If the carrying values are in excess of undiscounted expected future cash flows, we measure any impairment by comparing the fair value of the asset group to its carrying value. Fair value is generally determined by considering (i) internally developed discounted projected cash flow analysis of the asset group; (ii) actual third-party valuations; and/or (iii) information available regarding the current market for similar asset groups. If the fair value of the asset group is determined to be less than the carrying amount of the asset group, an impairment in the amount of the difference is recorded in the period that the impairment indicator occurs and is included in our Consolidated Statement of Operations. Estimating future cash flows requires significant judgment and projections may vary from the cash flows eventually realized, which could impact our ability to accurately assess whether an asset has been impaired. No impairment charges were recorded for the fiscal year ended 2013. | |||||||||
Valuation of Goodwill | |||||||||
Goodwill is an asset representing the future economic benefits arising from other assets acquired in a business combination that are not individually identified and separately recognized. The Company reviews goodwill for impairment annually during the fourth quarter and whenever events or changes in circumstances indicate the carrying value of goodwill may not be recoverable. When evaluating whether goodwill is impaired, the Company makes a qualitative assessment to determine if it is more likely than not that its fair value is less than its carrying amount. If the qualitative assessment determines that it is more likely than not that its fair value is less than its carrying amount, the fair value of the reporting unit is compared with its carrying value (including goodwill). If the fair value of the reporting unit is less than its carrying value, an indication of goodwill impairment exists for the reporting unit and the Company must measure the impairment loss. The impairment loss, if any, is recognized for any excess of the carrying amount of the reporting unit's goodwill over the implied fair value of the goodwill. The implied fair value of goodwill is determined by allocating the fair value of the reporting unit in a manner similar to purchase price allocation and the residual fair value after this allocation is the implied fair value of the reporting unit goodwill. Fair value of the reporting unit is determined using a discounted cash flow analysis. If the fair value of the reporting unit exceeds its carrying value, no further impairment analysis is needed. For purposes of testing goodwill for impairment, the Company operates as a single reporting unit. No goodwill impairment charges were recorded for the fiscal year ended 2013. | |||||||||
Leases | ' | ||||||||
Leases | |||||||||
We lease office space and classify our leases as either operating or capital lease arrangements in accordance with the criteria of ASC 840, “Leases.” Certain of our office space operating leases contain provisions under which monthly rent escalates over time and certain leases may also contain provisions for reimbursement of a specified amount of leasehold improvements. When lease agreements contain escalating rent clauses, we recognize expense on a straight-line basis over the term of the lease. When lease agreements provide allowances for leasehold improvements, we capitalize the leasehold improvement assets and amortize them on a straight-line basis over the lesser of the lease term or the estimated useful life of the asset, and reduce rent expense on a straight-line basis over the term of the lease by the amount of the asset capitalized. | |||||||||
Restructuring Charges | ' | ||||||||
Restructuring Charges | |||||||||
Expenses associated with exit or disposal activities are recognized when incurred under ASC 420, “Exit or Disposal Cost Obligations,” for everything but severance. Because the Company has a history of paying severance benefits, the cost of severance benefits associated with a restructuring plan is recorded when such costs are probable and the amount can be reasonably estimated in accordance with ASC 712, “Compensation - Nonretirement Postemployment Benefits.” For leased facilities that were ceased to be used, an amount equal to the total future lease obligations from the date of vacating the premises through the expiration of the lease, net of any future sublease income, was recorded as a part of restructuring charges. | |||||||||
Research and Development | ' | ||||||||
Research and Development | |||||||||
Research and development costs are expensed as incurred. | |||||||||
Accounting for Income Taxes | ' | ||||||||
Accounting for Income Taxes | |||||||||
The Company’s provision for income tax is comprised of its current tax liability and change in deferred tax assets and liabilities. Deferred tax assets and liabilities are recognized for the expected tax consequences of temporary differences between the tax bases of assets and liabilities and their reported amounts in the financial statements using enacted tax rates and laws that will be in effect when the difference is expected to reverse. Valuation allowances are provided to reduce deferred tax assets to an amount that in management’s judgment is more-likely-than-not to be recoverable against future taxable income. At December 28, 2013, U.S. income taxes were not provided on approximately $3.4 million of the undistributed earnings of our Chinese subsidiary as we intend to reinvest these earnings indefinitely. If these earnings were distributed to the U.S. in the form of dividends or otherwise, we would be subject to additional U.S. income taxes. | |||||||||
The Company’s income tax calculations are based on application of the respective U.S. federal, state or foreign tax law. The Company’s tax filings, however, are subject to audit by the relevant tax authorities. Accordingly, the Company recognizes tax liabilities based upon its estimate of whether, and the extent to which, additional taxes will be due when such estimates are more-likely-than-not to be sustained. An uncertain income tax position will not be recognized if it has less than a 50% likelihood of being sustained. To the extent the final tax liabilities are different than the amounts originally accrued, the increases or decreases are recorded as income tax expense or benefit in the Consolidated Statements of Operations. | |||||||||
In assessing the ability to realize deferred tax assets, the Company evaluates both positive and negative evidence that may exist and consider whether it is more-likely-than-not that some portion or all of the deferred tax assets will be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. | |||||||||
Any adjustment to the net deferred tax asset valuation allowance is recorded in the Consolidated Statements of Operations for the period that the adjustment is determined to be required. | |||||||||
Share-Based Compensation | ' | ||||||||
Stock-Based Compensation | |||||||||
The Company records stock-based compensation expense related to employee and director stock options, restricted stock units (“RSUs”), and the Employee Stock Purchase Plan (“ESPP”) in accordance with ASC 718, “Compensation - Stock Compensation.” In addition, the Company records compensation expense over the offering period in connection with shares issuable under the ESPP. | |||||||||
Net (Loss) Income Per Share | ' | ||||||||
Net Income (Loss) Per Share | |||||||||
We compute basic income (loss) per share by dividing Net Income (loss) available to common stockholders by the weighted average number of common shares outstanding during the period. To determine diluted share count, we apply the treasury stock method to determine the dilutive effect of outstanding stock option shares, RSUs and ESPP shares. Our application of the treasury stock method includes as assumed proceeds, the average unamortized stock-based compensation expense for the period and the impact of the pro forma net deferred tax benefit or cost associated with stock-based compensation expense. | |||||||||
Use of Estimates | ' | ||||||||
Use of Estimates | |||||||||
The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts and classification of assets, such as marketable securities, accounts receivable, inventory, auction rate securities, goodwill - including the assessment of reporting unit, intangible assets, current and deferred income taxes, accrued liabilities - including restructuring charges and bonus arrangements, deferred income and allowances on sales to sell-through distributors, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the fiscal periods presented. Actual results could differ from those estimates. |
Nature_of_Operations_and_Signi2
Nature of Operations and Significant Accounting Policies (Tables) | 12 Months Ended | |||||||||||
Dec. 28, 2013 | ||||||||||||
Accounting Policies [Abstract] | ' | |||||||||||
Schedule of Components of Deferred Income and Allowances on Sales to Sell-Through Distributors | ' | |||||||||||
The components of Deferred income and allowances on sales to sell-through distributors are presented in the following table (in thousands): | ||||||||||||
December 28, | December 29, | |||||||||||
2013 | 2012 | |||||||||||
Inventory valued at published list price and held by sell-through distributors with right of return | $ | 36,056 | $ | 38,623 | ||||||||
Allowance for distributor advances | (24,090 | ) | (22,450 | ) | ||||||||
Deferred cost of sales related to inventory held by sell-through distributors | (4,471 | ) | (5,620 | ) | ||||||||
Total Deferred income and allowances on sales to sell-through distributors | $ | 7,495 | $ | 10,553 | ||||||||
Schedule of Earnings Per Share Reconciliation | ' | |||||||||||
A reconciliation of basic and diluted Net Income (loss) per share is presented below (in thousands, except per share data): | ||||||||||||
Year Ended | ||||||||||||
December 28, | December 29, | December 31, | ||||||||||
2013 | 2012 | 2011 | ||||||||||
Basic and diluted Net income (loss) | $ | 22,321 | $ | (29,606 | ) | $ | 78,232 | |||||
Shares used in basic Net income (loss) per share | 115,701 | 117,194 | 117,875 | |||||||||
Dilutive effect of stock options, RSUs and ESPP shares | 1,380 | — | 3,264 | |||||||||
Shares used in diluted Net income (loss) per share | 117,081 | 117,194 | 121,139 | |||||||||
Basic Net income (loss) per share | $ | 0.19 | $ | (0.25 | ) | $ | 0.66 | |||||
Diluted Net income (loss) per share | $ | 0.19 | $ | (0.25 | ) | $ | 0.65 | |||||
Marketable_Securities_Tables
Marketable Securities (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 28, 2013 | ||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | ' | |||||||||||||||||||
Schedule of Contractual Maturities of Marketable Securities | ' | |||||||||||||||||||
The following table summarizes the contractual maturities of our marketable securities (at fair value and in thousands): | ||||||||||||||||||||
December 28, | December 29, | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Short-term marketable securities: | ||||||||||||||||||||
Maturities of less than five years | $ | 101,505 | $ | 64,865 | ||||||||||||||||
Long-term marketable securities: | ||||||||||||||||||||
Maturities of more than ten years | 5,241 | 4,717 | ||||||||||||||||||
Total marketable securities | $ | 106,746 | $ | 69,582 | ||||||||||||||||
Schedule of Composition of Marketable Securities | ' | |||||||||||||||||||
The following table summarizes the composition of our marketable securities (at fair value and in thousands): | ||||||||||||||||||||
December 28, | December 29, | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Short-term marketable securities: | ||||||||||||||||||||
Corporate and government bonds and notes and commercial paper | $ | 101,505 | $ | 64,865 | ||||||||||||||||
Long-term marketable securities: | ||||||||||||||||||||
Federally-insured or FFELP guaranteed student loans | 5,241 | 4,717 | ||||||||||||||||||
Total marketable securities | $ | 106,746 | $ | 69,582 | ||||||||||||||||
Schedule of Composition of Auction Rate Securities | ' | |||||||||||||||||||
The following table summarizes the composition of our auction rate securities (in thousands): | ||||||||||||||||||||
December 28, 2013 | December 29, 2012 | |||||||||||||||||||
Par Value | Fair Value | S&P | Par Value | Fair Value | S&P | |||||||||||||||
Credit | Credit | |||||||||||||||||||
rating | rating | |||||||||||||||||||
Long-term marketable securities: | ||||||||||||||||||||
Federally-insured or FFELP guaranteed student loans | $ | 5,700 | $ | 5,241 | AA+ | $ | 5,700 | $ | 4,717 | AA+ | ||||||||||
Fair_Value_of_Financial_Instru1
Fair Value of Financial Instruments (Tables) | 12 Months Ended | |||||||||||||||||||||||||||||||
Dec. 28, 2013 | ||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||||||||||||||||||
Schedule of Fair Value of Financial Instruments | ' | |||||||||||||||||||||||||||||||
Fair Value of Financial Instruments (in thousands): | ||||||||||||||||||||||||||||||||
Fair value measurements as of | Fair value measurements as of | |||||||||||||||||||||||||||||||
28-Dec-13 | December 29, 2012 | |||||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||||
Short-term marketable securities | $ | 101,505 | $ | 101,505 | $ | — | $ | — | $ | 64,865 | $ | 64,865 | $ | — | $ | — | ||||||||||||||||
Long-term marketable securities | 5,241 | — | — | 5,241 | 4,717 | — | — | 4,717 | ||||||||||||||||||||||||
Foreign currency forward exchange contracts | 48 | — | 48 | — | (5 | ) | — | (5 | ) | — | ||||||||||||||||||||||
Total fair value of financial instruments | $ | 106,794 | $ | 101,505 | $ | 48 | $ | 5,241 | $ | 69,577 | $ | 64,865 | $ | (5 | ) | $ | 4,717 | |||||||||||||||
Schedule of Changes In Level 3 Instruments | ' | |||||||||||||||||||||||||||||||
During the fiscal years ended December 28, 2013 and December 29, 2012, the following changes occurred in our Level 3 instruments (in thousands): | ||||||||||||||||||||||||||||||||
Year Ended | ||||||||||||||||||||||||||||||||
December 28, | December 29, | |||||||||||||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||||||||||||||
Beginning fair value of Long-term marketable securities | $ | 4,717 | $ | 6,946 | ||||||||||||||||||||||||||||
Fair value of securities sold or redeemed | — | (2,285 | ) | |||||||||||||||||||||||||||||
Temporary fluctuations in fair value | 524 | 56 | ||||||||||||||||||||||||||||||
Ending fair value of Long-term marketable securities | $ | 5,241 | $ | 4,717 | ||||||||||||||||||||||||||||
Inventories_Tables
Inventories (Tables) | 12 Months Ended | |||||||
Dec. 28, 2013 | ||||||||
Inventory Disclosure [Abstract] | ' | |||||||
Schedule of Inventories | ' | |||||||
December 28, | December 29, | |||||||
2013 | 2012 | |||||||
Work in progress | $ | 32,111 | $ | 27,915 | ||||
Finished goods | 14,111 | 16,279 | ||||||
Total inventories | $ | 46,222 | $ | 44,194 | ||||
Property_and_Equipment_Tables
Property and Equipment (Tables) | 12 Months Ended | |||||||
Dec. 28, 2013 | ||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||
Property and Equipment | ' | |||||||
Property and Equipment (in thousands): | ||||||||
December 28, | December 29, | |||||||
2013 | 2012 | |||||||
Land | $ | 1,456 | $ | 1,456 | ||||
Buildings | 27,827 | 27,827 | ||||||
Computer and test equipment | 154,508 | 154,809 | ||||||
Office furniture and equipment | 9,122 | 8,755 | ||||||
Leasehold and building improvements | 16,695 | 16,460 | ||||||
209,608 | 209,307 | |||||||
Accumulated depreciation and amortization | (167,889 | ) | (168,923 | ) | ||||
$ | 41,719 | $ | 40,384 | |||||
Intangible_Assets_and_Acquisit1
Intangible Assets and Acquisition Related Charges (Tables) | 12 Months Ended | ||||||||||||||
Dec. 28, 2013 | |||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||
Schedule of Finite-Lived Intangible Assets | ' | ||||||||||||||
The following table summarizes the details of the Company’s total purchased intangible assets (in thousands): | |||||||||||||||
Weighted Average Amortization Period | Gross | Accumulated Amortization | Intangible assets, net of amortization | ||||||||||||
(in years) | December 28, 2013 | ||||||||||||||
Developed technology | 7 | $ | 10,700 | $ | (3,121 | ) | $ | 7,579 | |||||||
Customer relationships | 5.5 | 7,800 | (2,895 | ) | 4,905 | ||||||||||
Total | 6.3 | $ | 18,500 | $ | (6,016 | ) | $ | 12,484 | |||||||
Lease_Obligations_Tables
Lease Obligations (Tables) | 12 Months Ended | ||||
Dec. 28, 2013 | |||||
Leases [Abstract] | ' | ||||
Operating Leases of Lessee Disclosure | ' | ||||
Future minimum lease commitments at December 28, 2013 are as follows (in thousands): | |||||
Fiscal year | Amount | ||||
2014 | $ | 3,408 | |||
2015 | 2,933 | ||||
2016 | 2,769 | ||||
2017 | 2,469 | ||||
2018 | 2,440 | ||||
Thereafter | 21,166 | ||||
$ | 35,185 | ||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||||||
Dec. 28, 2013 | |||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||
Schedule of Income before Income Tax, Domestic and Foreign | ' | ||||||||||||
The domestic and foreign components of Income (loss) before income taxes were as follows (in thousands): | |||||||||||||
Year Ended | |||||||||||||
December 28, 2013 | December 29, 2012 | December 31, 2011 | |||||||||||
Domestic | $ | 6,293 | $ | 51,859 | $ | 42,619 | |||||||
Foreign | 20,193 | (60,720 | ) | 104 | |||||||||
Income (loss) before income taxes | $ | 26,486 | $ | (8,861 | ) | $ | 42,723 | ||||||
Schedule of Components of Income Tax Expense (Benefit) | ' | ||||||||||||
The components of the income tax provision (benefit) are as follows (in thousands): | |||||||||||||
Year Ended | |||||||||||||
December 28, | December 29, | December 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||||
Current: | |||||||||||||
Federal | $ | 251 | $ | (344 | ) | $ | 13,463 | ||||||
State | (527 | ) | 36 | (137 | ) | ||||||||
Foreign | 1,616 | 1,498 | 541 | ||||||||||
1,340 | 1,190 | 13,867 | |||||||||||
Deferred: | |||||||||||||
Federal | 2,549 | 18,000 | (45,423 | ) | |||||||||
State | 342 | 1,487 | (3,894 | ) | |||||||||
Foreign | (66 | ) | 68 | (59 | ) | ||||||||
2,825 | 19,555 | (49,376 | ) | ||||||||||
Provision (benefit) for income taxes | $ | 4,165 | $ | 20,745 | $ | (35,509 | ) | ||||||
Schedule of Effective Income Tax Rate Reconciliation | ' | ||||||||||||
The provision (benefit) for income taxes differs from the amount of income tax determined by applying the applicable U.S. statutory federal income tax rate to pretax income as a result of the following differences: | |||||||||||||
Year Ended | |||||||||||||
December 28, 2013 | December 29, 2012 | December 31, 2011 | |||||||||||
% | % | % | |||||||||||
Statutory federal rate | 35 | 35 | 35 | ||||||||||
Adjustments for tax effects of: | |||||||||||||
State taxes, net | 2 | -2 | 2 | ||||||||||
Intellectual property sale | — | — | 144 | ||||||||||
Research and development credits | -11 | -1 | -3 | ||||||||||
Stock compensation | 3 | -3 | 1 | ||||||||||
Foreign rate differential | -20 | -252 | 2 | ||||||||||
Foreign dividends | — | 3 | 1 | ||||||||||
Capital loss expiration | 2 | — | — | ||||||||||
Valuation allowance | 6 | -19 | -289 | ||||||||||
Change in uncertain tax benefit accrual | -1 | 3 | 31 | ||||||||||
Tax rate change | -1 | — | -7 | ||||||||||
Other | 1 | 2 | — | ||||||||||
Effective income tax rate | 16 | -234 | -83 | ||||||||||
Schedule of Deferred Tax Assets and Liabilities | ' | ||||||||||||
The components of our net deferred tax assets are as follows (in thousands): | |||||||||||||
December 28, | December 29, | ||||||||||||
2013 | 2012 | ||||||||||||
Deferred tax assets: | |||||||||||||
Accrued expenses and reserves | $ | 4,959 | $ | 1,791 | |||||||||
Stock-based and deferred compensation | 4,986 | 4,164 | |||||||||||
Intangible assets | 8,456 | 8,187 | |||||||||||
Fixed assets | 828 | — | |||||||||||
Net operating loss carry forwards | 101,144 | 113,259 | |||||||||||
Tax credit carry forwards | 36,644 | 32,446 | |||||||||||
Capital loss carry forwards | 6,698 | 6,926 | |||||||||||
Unrealized loss on securities | 758 | 758 | |||||||||||
Other | 143 | 121 | |||||||||||
164,616 | 167,652 | ||||||||||||
Less: valuation allowance | (150,528 | ) | (149,209 | ) | |||||||||
Net deferred tax assets | 14,088 | 18,443 | |||||||||||
Deferred tax liabilities: | |||||||||||||
Fixed Assets | — | 1,897 | |||||||||||
Other | 969 | 608 | |||||||||||
Total deferred tax liabilities | 969 | 2,505 | |||||||||||
Net deferred tax assets | $ | 13,119 | $ | 15,938 | |||||||||
Schedule of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns Roll Forward | ' | ||||||||||||
The following table summarizes the changes to unrecognized tax benefits for fiscal years 2013, 2012 and 2011 (in thousands): | |||||||||||||
Unrecognized tax benefit | Amount | ||||||||||||
Balance at January 1, 2011 | 7,741 | ||||||||||||
Additions based on tax positions related to the current year | 15,005 | ||||||||||||
Additions based on tax positions of prior years | — | ||||||||||||
Additions for acquisition of SiliconBlue | 298 | ||||||||||||
Reduction for tax positions of prior years | (106 | ) | |||||||||||
Settlements | (1,248 | ) | |||||||||||
Reduction as a result of lapse of applicable statute of limitations | (138 | ) | |||||||||||
Balance at December 31, 2011 | 21,552 | ||||||||||||
Additions based on tax positions related to the current year | 384 | ||||||||||||
Additions based on tax positions of prior years | 192 | ||||||||||||
Reduction for tax positions of prior years | (26 | ) | |||||||||||
Settlements | (30 | ) | |||||||||||
Reduction as a result of lapse of applicable statute of limitations | (392 | ) | |||||||||||
Balance at December 29, 2012 | $ | 21,680 | |||||||||||
Additions based on tax positions related to the current year | 1,600 | ||||||||||||
Additions based on tax positions of prior years | 68 | ||||||||||||
Reduction for tax positions of prior years | — | ||||||||||||
Settlements | (338 | ) | |||||||||||
Reduction as a result of lapse of applicable statute of limitations | (367 | ) | |||||||||||
Balance at December 28, 2013 | 22,643 | ||||||||||||
Restructuring_Tables
Restructuring (Tables) | 12 Months Ended | |||||||||||||||
Dec. 28, 2013 | ||||||||||||||||
Restructuring and Related Activities [Abstract] | ' | |||||||||||||||
Schedule of Restructuring Reserve by Type of Cost | ' | |||||||||||||||
The following table displays the activity related to the restructuring plans described above (in thousands): | ||||||||||||||||
Severance and related | Lease termination | Other | Total | |||||||||||||
Balance at January 1, 2011 | $ | 175 | $ | 1,014 | $ | 13 | $ | 1,202 | ||||||||
Restructuring charges | 6,503 | 11 | 830 | 7,344 | ||||||||||||
Non-cash adjustments | (269 | ) | — | — | (269 | ) | ||||||||||
Cash payments | (4,678 | ) | (178 | ) | (843 | ) | (5,699 | ) | ||||||||
Adjustments to prior restructuring costs | (175 | ) | (821 | ) | — | (996 | ) | |||||||||
Balance at December 31, 2011 | 1,556 | 26 | — | 1,582 | ||||||||||||
Restructuring charges | 4,277 | 1,083 | 776 | 6,136 | ||||||||||||
Cash payments | (3,356 | ) | (302 | ) | (518 | ) | (4,176 | ) | ||||||||
Adjustments to prior restructuring costs | (104 | ) | (14 | ) | — | (118 | ) | |||||||||
Balance at December 29, 2012 | 2,373 | 793 | 258 | 3,424 | ||||||||||||
Restructuring charges | 109 | 224 | 253 | 586 | ||||||||||||
Cash payments | (2,315 | ) | (740 | ) | (225 | ) | (3,280 | ) | ||||||||
Adjustments to prior restructuring costs | (150 | ) | 91 | (139 | ) | (198 | ) | |||||||||
Balance at December 28, 2013 | $ | 17 | $ | 368 | $ | 147 | $ | 532 | ||||||||
Stockholders_Equity_Tables
Stockholders' Equity (Tables) | 12 Months Ended | ||||||||||||
Dec. 28, 2013 | |||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||
Schedule of Stock-Based Compensation Expense | ' | ||||||||||||
Total stock-based compensation expense included in our Consolidated Statements of Operations was as follows (in thousands): | |||||||||||||
Year Ended | |||||||||||||
December 28, | December 29, | December 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||||
Line item: | |||||||||||||
Cost of products sold | $ | 627 | $ | 525 | $ | 461 | |||||||
Research and development | 3,916 | 3,009 | 2,697 | ||||||||||
Selling, general and administrative | 4,979 | 3,976 | 3,095 | ||||||||||
Restructuring charges | — | — | 103 | ||||||||||
Total stock-based compensation | $ | 9,522 | $ | 7,510 | $ | 6,356 | |||||||
Schedule of Share-based Payment Award, Stock Options and Employee Stock Purchase Plan, Valuation Assumptions | ' | ||||||||||||
Year Ended | |||||||||||||
December 28, | December 29, | December 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||||
Employee and Director Stock Options | |||||||||||||
Expected volatility (%) | 51.4 to 54.3 | 58.1 to 59.5 | 57.4 to 61.9 | ||||||||||
Risk-free interest rate (%) | .007 to .01 | .006 to .01 | .003 to .02 | ||||||||||
Expected term (in years) | 4.09 to 4.53 | 4.09 to 4.47 | 4.05 to 4.37 | ||||||||||
Dividend yield | —% | —% | —% | ||||||||||
Employee Stock Purchase Plan | |||||||||||||
Weighted average expected volatility (%) | 48 | 50 | 48.1 | ||||||||||
Weighted average risk-free interest rate (%) | 0.11 | 0.12 | 0.14 | ||||||||||
Expected term (in years) | 0.5 | 0.5 | 0.5 | ||||||||||
Dividend yield | —% | —% | —% | ||||||||||
Schedule of Share-based Compensation, Stock Options, Activity | ' | ||||||||||||
The following table summarizes our stock option activity and related information for the year ended December 28, 2013 (shares and aggregate intrinsic value in thousands): | |||||||||||||
Shares | Weighted | Weighted average | Aggregate | ||||||||||
average | remaining | Intrinsic Value | |||||||||||
exercise price | contractual term | ||||||||||||
(years) | |||||||||||||
Balance, December 29, 2012 | 9,528 | $ | 4.74 | ||||||||||
Granted | 3,167 | 5.01 | |||||||||||
Exercised | (990 | ) | 2.38 | ||||||||||
Forfeited or expired | (1,264 | ) | 6.09 | ||||||||||
Balance, December 28, 2013 | 10,441 | $ | 4.88 | ||||||||||
Vested and expected to vest at December 28, 2013 | 10,441 | $ | 4.88 | 4.8 | $ | 8,220 | |||||||
Exercisable, December 28, 2013 | 5,323 | $ | 4.46 | 3.81 | $ | 6,450 | |||||||
Schedule of Nonvested Restricted Stock Units Activity | ' | ||||||||||||
The following table summarizes our RSU activity for the year ended December 28, 2013 (shares in thousands): | |||||||||||||
Shares | Weighted | ||||||||||||
average grant | |||||||||||||
date fair value | |||||||||||||
Balance at December 29, 2012 | 1,078 | $ | 6.15 | ||||||||||
Granted | 1,735 | 5.22 | |||||||||||
Vested | (524 | ) | 5.91 | ||||||||||
Forfeited | (99 | ) | 5.68 | ||||||||||
Balance at December 28, 2013 | 2,190 | $ | 5.49 | ||||||||||
Valuation_and_Qualifying_Accou1
Valuation and Qualifying Accounts (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 28, 2013 | ||||||||||||||||||||
Valuation and Qualifying Accounts [Abstract] | ' | |||||||||||||||||||
Valuation and Qualifying Accounts | ' | |||||||||||||||||||
The following table displays the activity related to changes in our valuation and qualifying accounts (in thousands): | ||||||||||||||||||||
Classification | Balance at | Charged (Credit) to | Charged to | Write-offs | Balance at end | |||||||||||||||
beginning of | costs and | other accounts | net of | of period | ||||||||||||||||
period | expenses | recoveries | ||||||||||||||||||
Fiscal year ended December 28, 2013: | ||||||||||||||||||||
Allowance for deferred taxes | 149,209 | 1,636 | (317 | ) | — | 150,528 | ||||||||||||||
Allowance for doubtful accounts | 1,122 | 41 | — | (285 | ) | 878 | ||||||||||||||
Allowance for warranty expense | — | — | — | — | — | |||||||||||||||
150,331 | 1,677 | (317 | ) | (285 | ) | 151,406 | ||||||||||||||
Fiscal year ended December 29, 2012: | ||||||||||||||||||||
Allowance for deferred taxes | $ | 147,499 | $ | 1,652 | $ | 58 | $ | — | $ | 149,209 | ||||||||||
Allowance for doubtful accounts | 939 | 286 | — | (103 | ) | 1,122 | ||||||||||||||
Allowance for warranty expense | — | — | — | — | — | |||||||||||||||
$ | 148,438 | $ | 1,938 | $ | 58 | $ | (103 | ) | $ | 150,331 | ||||||||||
Fiscal year ended December 31, 2011: | ||||||||||||||||||||
Allowance for deferred taxes | $ | 271,208 | $ | (123,709 | ) | $ | — | $ | — | $ | 147,499 | |||||||||
Allowance for doubtful accounts | 866 | 73 | — | — | 939 | |||||||||||||||
Allowance for warranty expense | 99 | — | — | (99 | ) | — | ||||||||||||||
$ | 272,173 | $ | (123,636 | ) | $ | — | $ | (99 | ) | $ | 148,438 | |||||||||
Segment_and_Geographic_Informa1
Segment and Geographic Information (Tables) | 12 Months Ended | |||||||||||||||||||||
Dec. 28, 2013 | ||||||||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||||||||
Schedule of Revenue by Major Geographic Area | ' | |||||||||||||||||||||
Our revenue by major geographic area based on ship-to location was as follows (dollars in thousands): | ||||||||||||||||||||||
Year Ended | ||||||||||||||||||||||
December 28, 2013 | December 29, 2012 | December 31, 2011 | ||||||||||||||||||||
United States: | $ | 28,506 | 9 | % | $ | 34,172 | 12 | % | 44,847 | 14 | % | |||||||||||
China | 148,018 | 45 | 113,585 | 41 | 123,124 | 39 | ||||||||||||||||
Europe | 47,459 | 14 | 48,202 | 17 | 66,319 | 21 | ||||||||||||||||
Japan | 26,538 | 8 | 35,696 | 13 | 36,961 | 11 | ||||||||||||||||
Taiwan | 6,708 | 2 | 8,276 | 3 | 8,346 | 3 | ||||||||||||||||
Other Asia | 64,425 | 19 | 32,254 | 11 | 32,687 | 10 | ||||||||||||||||
Other Americas | 10,871 | 3 | 7,071 | 3 | 6,082 | 2 | ||||||||||||||||
Total foreign revenue | 304,019 | 91 | 245,084 | 88 | 273,519 | 86 | ||||||||||||||||
Total revenue | $ | 332,525 | 100 | % | $ | 279,256 | 100 | % | $ | 318,366 | 100 | % | ||||||||||
Schedule of Revenue by Major Customers by Reporting Segments | ' | |||||||||||||||||||||
Revenue attributable to resales of products by our primary distributors are as follows: | ||||||||||||||||||||||
% of Total Revenue | ||||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||||
Arrow Electronics Inc. (including Nu Horizons Electronics) | 25 | % | 33 | % | 22 | % | ||||||||||||||||
Weikeng Group | 12 | 14 | 14 | |||||||||||||||||||
All others | 8 | 8 | 25 | |||||||||||||||||||
All sell-through distributors | 45 | % | 55 | % | 61 | % |
Quarterly_Financial_Data_Unaud1
Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 28, 2013 | |||||||||||||||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | ||||||||||||||||||||||||||||||||
Schedule of Quarterly Financial Information | ' | ||||||||||||||||||||||||||||||||
A summary of the Company's consolidated quarterly results of operations is as follows (in thousands, except per share data): | |||||||||||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||||||||||
Q4 | Q3 | Q2 | Q1 | Q4 | Q3 | Q2 | Q1 | ||||||||||||||||||||||||||
Revenue | $ | 89,519 | $ | 87,154 | $ | 84,694 | $ | 71,158 | $ | 65,875 | $ | 70,889 | $ | 70,792 | $ | 71,700 | |||||||||||||||||
Gross margin | $ | 48,603 | $ | 46,376 | $ | 45,110 | $ | 38,155 | $ | 35,673 | $ | 38,548 | $ | 37,051 | $ | 39,485 | |||||||||||||||||
Restructuring charges (adjustment) | $ | 131 | $ | 85 | $ | 19 | $ | 153 | $ | 5,375 | $ | — | $ | 87 | $ | 556 | |||||||||||||||||
Net income (loss) | $ | 6,547 | $ | 8,844 | $ | 5,040 | $ | 1,890 | $ | (7,175 | ) | $ | (2,175 | ) | $ | (12,542 | ) | $ | (7,714 | ) | |||||||||||||
Basic net income (loss) per share | $ | 0.06 | $ | 0.08 | $ | 0.04 | $ | 0.02 | $ | (0.06 | ) | $ | (0.02 | ) | $ | (0.11 | ) | $ | (0.07 | ) | |||||||||||||
Diluted net income (loss) per share | $ | 0.06 | $ | 0.08 | $ | 0.04 | $ | 0.02 | $ | (0.06 | ) | $ | (0.02 | ) | $ | (0.11 | ) | $ | (0.07 | ) | |||||||||||||
Nature_of_Operations_and_Signi3
Nature of Operations and Significant Accounting Policies (Details) | 3 Months Ended | 12 Months Ended | 12 Months Ended | |||||||||||||||||||||||||
Dec. 28, 2013 | Sep. 28, 2013 | Jun. 29, 2013 | Mar. 30, 2013 | Dec. 29, 2012 | Sep. 29, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | |
USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | Stock options, RSU's and ESPP shares | Stock options, RSU's and ESPP shares | Stock options, RSU's and ESPP shares | Building | Sales Revenue | Sales Revenue | Sales Revenue | Minimum | Minimum | Minimum | Maximum | Maximum | Maximum | Maximum | Not designated as hedges for accounting purposes | Not designated as hedges for accounting purposes | Next fiscal year - 2014 | |
Sell-Through Distributors | Sell-Through Distributors | Sell-Through Distributors | Equipment and software | Tooling | USD ($) | USD ($) | Equipment and software | Tooling | Foreign exchange contracts | Foreign exchange contracts | ||||||||||||||||||
JPY (¥) | JPY (¥) | |||||||||||||||||||||||||||
Basis of Presentation and Significant Accounting Policies [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fiscal year duration | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '364 days | ' | ' | '371 days | ' | ' | ' | ' | ' | '364 days |
General Discussion of Derivative Instruments and Hedging Activities [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Foreign exchange contracts outstanding | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ¥ 240,000,000 | ¥ 150,000,000 | ' |
Fair value adjustment through earnings on foreign exchange contracts not designated as hedges | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100,000 | 100,000 | ' | ' | ' | ' | ' |
Risks and Uncertainties [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Allowance for doubtful accounts | 900,000 | ' | ' | ' | 1,100,000 | ' | ' | ' | 900,000 | 1,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Deferred Revenue and Credits [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Inventory valued at published list price and held by sell-through distributors with right of return | 36,056,000 | ' | ' | ' | 38,623,000 | ' | ' | ' | 36,056,000 | 38,623,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Allowance for distributor advances | -24,090,000 | ' | ' | ' | -22,450,000 | ' | ' | ' | -24,090,000 | -22,450,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Deferred cost of sales related to inventory held by sell-through distributors | -4,471,000 | ' | ' | ' | -5,620,000 | ' | ' | ' | -4,471,000 | -5,620,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total Deferred income and allowances on sales to sell-through distributors | 7,495,000 | ' | ' | ' | 10,553,000 | ' | ' | ' | 7,495,000 | 10,553,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Resale of product by sell-through distributors as a percentage of total revenue | ' | ' | ' | ' | ' | ' | ' | ' | 45.00% | 55.00% | 61.00% | ' | ' | ' | ' | 45.00% | 55.00% | 61.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Property, Plant and Equipment [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Estimated useful lives of PP&E | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '30 years | ' | ' | ' | ' | '3 years | '1 year | ' | ' | '5 years | '3 years | ' | ' | ' |
Undistributed earnings of our Chinese subsidiary | 3,400,000 | ' | ' | ' | ' | ' | ' | ' | 3,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Earnings Per Share [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income (loss) | 6,547,000 | 8,844,000 | 5,040,000 | 1,890,000 | -7,175,000 | -2,175,000 | -12,542,000 | -7,714,000 | 22,321,000 | -29,606,000 | 78,232,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares used in basic Net (loss) income per share | ' | ' | ' | ' | ' | ' | ' | ' | 115,701,000 | 117,194,000 | 117,875,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Dilutive effect of stock options, RSUs and ESPP shares | ' | ' | ' | ' | ' | ' | ' | ' | 1,380,000 | 0 | 3,264,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares used in diluted Net (loss) income per share | ' | ' | ' | ' | ' | ' | ' | ' | 117,081,000 | 117,194,000 | 121,139,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Basic Net (loss) income per share | $0.06 | $0.08 | $0.04 | $0.02 | ($0.06) | ($0.02) | ($0.11) | ($0.07) | $0.19 | ($0.25) | $0.66 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Diluted Net (loss) income per share (in dollars per share) | $0.06 | $0.08 | $0.04 | $0.02 | ($0.06) | ($0.02) | ($0.11) | ($0.07) | $0.19 | ($0.25) | $0.65 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate antidilutive shares excluded from computation of diluted net (loss) income per share | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7,800,000 | 10,600,000 | 3,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income taxes paid | ' | ' | ' | ' | ' | ' | ' | ' | $1,400,000 | $900,000 | $1,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
New_Accounting_Pronouncements_
New Accounting Pronouncements New Accounting Pronouncements (Details) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 |
Accounting Policies [Abstract] | ' | ' |
Decrease in long-term income taxes payable | $14 | $14 |
Business_Combinations_and_Good1
Business Combinations and Goodwill (Details) (USD $) | 12 Months Ended | 1 Months Ended | 6 Months Ended | 1 Months Ended | |
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Jun. 30, 2012 | Jul. 31, 2011 | |
SiliconBlue Technologies Ltd. | SiliconBlue Technologies Ltd. | Rise Technology Development Limited | |||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' |
Consideration in cash | ' | ' | $63,200,000 | ' | $1,000,000 |
Goodwill | 44,808,000 | 44,808,000 | 43,900,000 | ' | 900,000 |
Intangible assets | ' | ' | 18,500,000 | ' | ' |
Step-up in inventory | ' | ' | ' | 300,000 | ' |
Goodwill and intangible asset impairment | $0 | $0 | ' | ' | ' |
Marketable_Securities_Composit
Marketable Securities Composition (Details) (USD $) | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | 22-May-12 | Mar. 29, 2011 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Dec. 29, 2012 |
In Thousands, unless otherwise specified | Federally-insured or FFELP guaranteed student loan auction rate securities | Federally-insured or FFELP guaranteed student loan auction rate securities | Federally-insured or FFELP guaranteed student loan auction rate securities | Short-term marketable securities | Short-term marketable securities | Long-term marketable securities | Long-term marketable securities | ||
Corporate and government bonds and notes and commercial paper | Corporate and government bonds and notes and commercial paper | Federally-insured or FFELP guaranteed student loan auction rate securities | Federally-insured or FFELP guaranteed student loan auction rate securities | ||||||
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Available-for-sale Securities | $106,746 | $69,582 | $5,241 | $2,300 | $2,800 | $101,505 | $64,865 | $5,241 | $4,717 |
Marketable_Securities_Auction_
Marketable Securities Auction Rate (Details) (USD $) | 12 Months Ended | 0 Months Ended | 3 Months Ended | ||||||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 29, 2012 | 22-May-12 | Mar. 29, 2011 | Apr. 02, 2011 | Dec. 28, 2013 | Dec. 29, 2012 | |
Total auction rate securities | Federally-insured or FFELP guaranteed student loan auction rate securities | Federally-insured or FFELP guaranteed student loan auction rate securities | Federally-insured or FFELP guaranteed student loan auction rate securities | Federally-insured or FFELP guaranteed student loan auction rate securities | Federally-insured or FFELP guaranteed student loan auction rate securities | ||||
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Par Value | ' | ' | ' | ' | $2,600,000 | $3,300,000 | ' | $5,700,000 | $5,700,000 |
Fair value of marketable securities | 106,746,000 | 69,582,000 | ' | 4,717,000 | 2,300,000 | 2,800,000 | ' | 5,241,000 | ' |
Sale proceeds from student loan auction rate securities sold at par | ' | ' | ' | ' | 2,600,000 | 3,300,000 | ' | ' | ' |
Realized gain on sale of securities | ' | ' | ' | ' | 400,000 | ' | 600,000 | ' | ' |
Previously unrecognized gain relieved on sale of student loan auction rate securities | ($337,000) | $78,000 | $133,000 | ' | $100,000 | ' | $100,000 | ' | ' |
Fair_Value_of_Financial_Instru2
Fair Value of Financial Instruments (Details) (USD $) | Dec. 28, 2013 | Dec. 29, 2012 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Fair value of marketable securities | $106,746 | $69,582 |
Level 1 | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Total fair value of financial instruments | 101,505 | 64,865 |
Level 1 | Short Term | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Fair value of marketable securities | 101,505 | 64,865 |
Level 2 | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Foreign currency forward exchange contracts | 48 | -5 |
Total fair value of financial instruments | 48 | -5 |
Level 3 | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Total fair value of financial instruments | 5,241 | 4,717 |
Level 3 | Long Term | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Fair value of marketable securities | 5,241 | 4,717 |
Total | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Foreign currency forward exchange contracts | 48 | -5 |
Total fair value of financial instruments | 106,794 | 69,577 |
Total | Short Term | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Fair value of marketable securities | 101,505 | 64,865 |
Total | Long Term | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Fair value of marketable securities | $5,241 | $4,717 |
Fair_Value_of_Financial_Instru3
Fair Value of Financial Instruments Unobservable Inputs (Details) (USD $) | 12 Months Ended | |
Dec. 28, 2013 | Dec. 29, 2012 | |
Long Term | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ' | ' |
Realized gain on sale of securities | $400,000 | ' |
Level 1 | Short Term | Maximum | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ' | ' |
Unrealized loss | 100,000 | 100,000 |
Level 3 | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ' | ' |
Beginning fair value of Long-term marketable securities | 4,717,000 | 6,946,000 |
Fair value of securities sold or redeemed | 0 | 2,285,000 |
Temporary fluctuations in fair value | 524,000 | 56,000 |
Ending fair value of Long-term marketable securities | $5,241,000 | $4,717,000 |
Inventories_Details
Inventories (Details) (USD $) | Dec. 28, 2013 | Dec. 29, 2012 |
In Thousands, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ' | ' |
Work in progress | $32,111 | $27,915 |
Finished goods | 14,111 | 16,279 |
Total inventories | $46,222 | $44,194 |
Property_and_Equipment_Details
Property and Equipment (Details) (USD $) | 12 Months Ended | ||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Property and equipment, gross | $209,608,000 | $209,307,000 | ' |
Accumulated depreciation and amortization | -167,889,000 | -168,923,000 | ' |
Property and equipment, net | 41,719,000 | 40,384,000 | ' |
Depreciation expense | 11,200,000 | 13,600,000 | 12,200,000 |
Land | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Property and equipment, gross | 1,456,000 | 1,456,000 | ' |
Buildings | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Property and equipment, gross | 27,827,000 | 27,827,000 | ' |
Computer and test equipment | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Property and equipment, gross | 154,508,000 | 154,809,000 | ' |
Office furniture and equipment | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Property and equipment, gross | 9,122,000 | 8,755,000 | ' |
Leasehold and building improvements | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Property and equipment, gross | $16,695,000 | $16,460,000 | ' |
Intangible_Assets_and_Acquisit2
Intangible Assets and Acquisition Related Charges (Details) (USD $) | 12 Months Ended | 12 Months Ended | 12 Months Ended | ||||||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Sep. 28, 2013 | Dec. 28, 2013 | Sep. 28, 2013 | Dec. 28, 2013 | Sep. 28, 2013 | |
SiliconBlue Technologies Ltd. | SiliconBlue Technologies Ltd. | SiliconBlue Technologies Ltd. | SiliconBlue Technologies Ltd. | SiliconBlue Technologies Ltd. | SiliconBlue Technologies Ltd. | ||||
Developed technology | Developed technology | Customer relationships | Customer relationships | ||||||
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted Average Amortization Period (in years) | ' | ' | ' | '6 years 3 months 18 days | ' | '7 years | ' | '5 years 6 months | ' |
Gross | ' | ' | ' | $18,500,000 | ' | $10,700,000 | ' | $7,800,000 | ' |
Accumulated Amortization | ' | ' | ' | ' | -6,016,000 | ' | -3,121,000 | ' | -2,895,000 |
Intangible assets, net of amortization | ' | ' | ' | ' | 12,484,000 | ' | 7,579,000 | ' | 4,905,000 |
Amortization of acquired intangible assets | 2,900,000 | 2,900,000 | 100,000 | ' | ' | ' | ' | ' | ' |
Expected acquired intangible assets amortization expense, 2013 | ' | ' | ' | 2,900,000 | ' | ' | ' | ' | ' |
Expected acquired intangible assets amortization expense, 2014 | ' | ' | ' | 2,900,000 | ' | ' | ' | ' | ' |
Expected acquired intangible assets amortization expense, 2015 | ' | ' | ' | 2,900,000 | ' | ' | ' | ' | ' |
Expected acquired intangible assets amortization expense, 2017 | ' | ' | ' | 2,200,000 | ' | ' | ' | ' | ' |
Expected acquired intangible assets amortization expense, 2018 | ' | ' | ' | 1,500,000 | ' | ' | ' | ' | ' |
Acquisition related charges | $100,000 | $1,200,000 | $400,000 | ' | ' | ' | ' | ' | ' |
Lease_Obligations_Details
Lease Obligations (Details) (USD $) | 12 Months Ended | ||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
Leases [Abstract] | ' | ' | ' |
Rental expense under operating leases | $4,600,000 | $3,700,000 | $3,300,000 |
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | ' | ' | ' |
2014 | 3,408,000 | ' | ' |
2015 | 2,933,000 | ' | ' |
2016 | 2,769,000 | ' | ' |
2017 | 2,469,000 | ' | ' |
2018 | 2,440,000 | ' | ' |
Thereafter | 21,166,000 | ' | ' |
Total future minimum lease commitments | $35,185,000 | ' | ' |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Results of Operations, Income before Income Taxes [Abstract] | ' | ' | ' |
Domestic | $6,293 | $51,859 | $42,619 |
Foreign | 20,193 | -60,720 | 104 |
Income (loss) before income taxes | 26,486 | -8,861 | 42,723 |
Current: | ' | ' | ' |
Federal | 251 | -344 | 13,463 |
State | -527 | 36 | -137 |
Foreign | 1,616 | 1,498 | 541 |
Current income tax (provision) benefit | 1,340 | 1,190 | 13,867 |
Deferred: | ' | ' | ' |
Federal | 2,549 | 18,000 | -45,423 |
State | 342 | 1,487 | -3,894 |
Foreign | -66 | 68 | -59 |
Deferred income tax (provision) benefit | 2,825 | 19,555 | -49,376 |
Provision (benefit) for income taxes | $4,165 | $20,745 | ($35,509) |
Effective Income Tax Rate, Continuing Operations, Tax Rate Reconciliation [Abstract] | ' | ' | ' |
Statutory federal rate | 35.00% | 35.00% | 35.00% |
State taxes, net | 2.00% | -2.00% | 2.00% |
Intellectual property sale | 0.00% | 0.00% | 144.00% |
Research and development credits | -11.00% | -1.00% | -3.00% |
Stock compensation | 3.00% | -3.00% | 1.00% |
Foreign rate differential | -20.00% | -252.00% | 2.00% |
Foreign dividends | 0.00% | 3.00% | 1.00% |
Capital loss expiration | 2.00% | 0.00% | 0.00% |
Valuation allowance | 6.00% | -19.00% | -289.00% |
Change in uncertain tax benefit accrual | -1.00% | 3.00% | 31.00% |
Tax rate change | -1.00% | 0.00% | -7.00% |
Other | 1.00% | 2.00% | 0.00% |
Effective income tax rate | 16.00% | -234.00% | -83.00% |
Income_Taxes_Discussion_of_Val
Income Taxes (Discussion of Valuation Allowance and Net Deferred Tax Assets) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |
Dec. 31, 2011 | Dec. 28, 2013 | Dec. 29, 2012 | |
Valuation Allowance [Line Items] | ' | ' | ' |
Tax provision related to intercompany sales of rights to intellectual property | $76,800,000 | ' | ' |
Tax provision related to the intercompany sale of inventory | ' | ' | 13,700,000 |
Resulting tax benefit from realization of the benefit of a portion of remaining deferred tax assets | 35,200,000 | ' | ' |
Resulting net deferred tax asset | 49,700,000 | ' | ' |
Federal and state deferred tax assets | ' | 12,800,000 | ' |
Increase (decrease) in valuation allowance | ' | 1,600,000 | ' |
Deferred tax assets: | ' | ' | ' |
Accrued expenses and reserves | ' | 4,959,000 | 1,791,000 |
Stock-based and deferred compensation | ' | 4,986,000 | 4,164,000 |
Intangible assets | ' | 8,456,000 | 8,187,000 |
Fixed assets | ' | 828,000 | 0 |
Net operating loss carry forwards | ' | 101,144,000 | 113,259,000 |
Tax credit carry forwards | ' | 36,644,000 | 32,446,000 |
Capital loss carry forwards | ' | 6,698,000 | 6,926,000 |
Unrealized loss on securities | ' | 758,000 | 758,000 |
Other | ' | 143,000 | 121,000 |
Gross deferred tax assets | ' | 164,616,000 | 167,652,000 |
Less: valuation allowance | ' | -150,528,000 | -149,209,000 |
Net deferred tax assets | ' | 14,088,000 | 18,443,000 |
Deferred tax liabilities | ' | ' | ' |
Fixed assets | ' | 0 | 1,897,000 |
Other | ' | 969,000 | 608,000 |
Total deferred tax liabilities | ' | 969,000 | 2,505,000 |
Net deferred tax assets | ' | 13,119,000 | 15,938,000 |
Undistributed earnings of our Chinese subsidiary | ' | 3,400,000 | ' |
Do not expire | ' | ' | ' |
Valuation Allowance [Line Items] | ' | ' | ' |
Tax credit carryforwards | ' | 24,400,000 | ' |
Prepaid expenses and other current assets | ' | ' | ' |
Valuation Allowance [Line Items] | ' | ' | ' |
Net deferred tax assets, current | ' | 1,400,000 | 600,000 |
Federal | ' | ' | ' |
Valuation Allowance [Line Items] | ' | ' | ' |
Operating loss carryforwards | ' | 308,600,000 | ' |
Tax credit carryforwards | ' | 18,000,000 | ' |
State | ' | ' | ' |
Valuation Allowance [Line Items] | ' | ' | ' |
Operating loss carryforwards | ' | 147,000,000 | ' |
Tax credit carryforwards | ' | $26,300,000 | ' |
Income_Taxes_Discussion_of_Unr
Income Taxes (Discussion of Unrecognized Tax Benefits) (Details) (USD $) | 12 Months Ended | ||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
Income Tax Contingency [Line Items] | ' | ' | ' |
Unrecognized tax benefits associated with uncertain tax positions | $22,643,000 | $21,680,000 | $21,552,000 |
Unrecognized tax benefits associated with uncertain tax positions that, if recognized, would affect the effective tax rate | 21,400,000 | ' | ' |
Interest and penalties associated with unrecognized tax benefits | 100,000 | ' | ' |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ' | ' | ' |
Beginning balance | 21,680,000 | 21,552,000 | 7,741,000 |
Additions based on tax positions related to the current year | 1,600,000 | 384,000 | 15,005,000 |
Additions based on tax positions of prior years | 68,000 | 192,000 | 0 |
Additions for acquisition of SiliconBlue | ' | ' | 298,000 |
Reduction for tax positions of prior years | 0 | -26,000 | -106,000 |
Settlements | -338,000 | -30,000 | -1,248,000 |
Reduction as a result of lapse of applicable statute of limitations | -367,000 | -392,000 | -138,000 |
Ending balance | 22,643,000 | 21,680,000 | 21,552,000 |
Expiration of statutes of limitations | Foreign tax filings | ' | ' | ' |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ' | ' | ' |
Amount of unrecognized tax benefits that could significantly change during the next twelve months | 100,000 | ' | ' |
Expiration of statutes of limitations | Foreign tax filings | Maximum | ' | ' | ' |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ' | ' | ' |
Amount of associated interest and penalties that could significantly change within the next twelve months | $100,000 | ' | ' |
Income_Taxes_Discussion_of_Exa
Income Taxes (Discussion of Examinations by Tax Authorities) (Details) (USD $) | 1 Months Ended | 3 Months Ended | |
In Millions, unless otherwise specified | Oct. 31, 2011 | Oct. 01, 2011 | Mar. 29, 2008 |
Income Tax Examination [Line Items] | ' | ' | ' |
Amount paid to settle with taxing authority | $1 | ' | $0.30 |
Benefit recognized for the reversal of uncertain tax positions and related interest and penalties for the years effectively settled | ' | 0.9 | ' |
Internal Revenue Service (IRS) | ' | ' | ' |
Income Tax Examination [Line Items] | ' | ' | ' |
Income Tax Examination, Liability (Refund) Adjustment from Settlement with Taxing Authority | ' | ' | $1.40 |
Restructuring_Details
Restructuring (Details) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | 9 Months Ended | 12 Months Ended | 9 Months Ended | 12 Months Ended | 9 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 6 Months Ended | 12 Months Ended | ||||||||||||||||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Sep. 28, 2013 | Jun. 29, 2013 | Mar. 30, 2013 | Dec. 29, 2012 | Sep. 29, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Sep. 28, 2013 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Sep. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Sep. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Sep. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 28, 2013 | Oct. 31, 2012 | Jun. 30, 2012 | Dec. 31, 2011 |
Severance and related | Severance and related | Severance and related | Severance and related | Lease termination | Lease termination | Lease termination | Lease termination | Other | Other | Other | Other | 2012 Restructuring Plan | 2012 Restructuring Plan | 2012 Restructuring Plan | 2011 Restructuring Plan | 2011 Restructuring Plan | |||||||||||||
employee | |||||||||||||||||||||||||||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Approximate reduction in headcount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 110 | ' | ' |
Restructuring charges | $131 | $85 | $19 | $153 | $5,375 | $0 | $87 | $556 | ' | $388 | $6,018 | $6,079 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $5,400 | $400 | ' | $700 | $7,000 |
Benefit related to re-occupying leased space which had previously been restructured | ' | ' | ' | ' | ' | ' | ' | ' | 198 | ' | 118 | 996 | 150 | 104 | 175 | ' | -91 | 14 | 821 | ' | 139 | 0 | 0 | ' | ' | ' | ' | ' | 800 |
Restructuring Reserve [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning Balance | ' | ' | ' | 3,424 | ' | ' | ' | 1,582 | 3,424 | 3,424 | 1,582 | 1,202 | 2,373 | 1,556 | 175 | 17 | 793 | 26 | 1,014 | 368 | 258 | 0 | 13 | 147 | ' | ' | ' | ' | ' |
Restructuring charges | ' | ' | ' | ' | ' | ' | ' | ' | 586 | ' | 6,136 | 7,344 | 109 | 4,277 | 6,503 | ' | 224 | 1,083 | 11 | ' | 253 | 776 | 830 | ' | ' | ' | ' | ' | ' |
Non-cash adjustments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -269 | ' | ' | -269 | ' | ' | ' | 0 | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' |
Cash payments | ' | ' | ' | ' | ' | ' | ' | ' | -3,280 | ' | -4,176 | -5,699 | -2,315 | -3,356 | -4,678 | ' | -740 | -302 | -178 | ' | -225 | -518 | -843 | ' | ' | ' | ' | ' | ' |
Adjustments to prior restructuring costs | ' | ' | ' | ' | ' | ' | ' | ' | -198 | ' | -118 | -996 | -150 | -104 | -175 | ' | 91 | -14 | -821 | ' | -139 | 0 | 0 | ' | ' | ' | ' | ' | -800 |
Ending Balance | $532 | ' | ' | ' | $3,424 | ' | ' | ' | ' | $532 | $3,424 | $1,582 | ' | $2,373 | $1,556 | $17 | ' | $793 | $26 | $368 | ' | $258 | $0 | $147 | ' | ' | ' | ' | ' |
Common_Stock_Repurchase_Progra1
Common Stock Repurchase Program (Details) (USD $) | 0 Months Ended | 12 Months Ended | 0 Months Ended | 3 Months Ended | 12 Months Ended | 0 Months Ended | 12 Months Ended | 0 Months Ended |
Share data in Millions, unless otherwise specified | Feb. 27, 2013 | Dec. 28, 2013 | Feb. 24, 2012 | Mar. 30, 2013 | Dec. 29, 2012 | Oct. 21, 2010 | Dec. 31, 2011 | Feb. 14, 2014 |
Stock repurchase program authorized on February 27, 2013 | Stock repurchase program authorized on February 27, 2013 | Stock repurchase program authorized on February 24, 2012 | Stock repurchase program authorized on February 24, 2012 | Stock repurchase program authorized on February 24, 2012 | Share repurchase program authorized on October 21, 2010 | Share repurchase program authorized on October 21, 2010 | Subsequent Event [Member] | |
Stock repurchase program authorized on February 24, 2012 | ||||||||
Equity, Class of Treasury Stock [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Stock repurchase program, authorized amount | $20,000,000 | ' | $20,000,000 | ' | ' | $20,000,000 | ' | $20,000,000 |
Period in force | ' | ' | '12 months | ' | ' | '12 months | ' | ' |
Number of shares repurchased | ' | 0.8 | ' | 0.6 | 4.1 | ' | 2.4 | ' |
Value of shares repurchased | ' | 3,700,000 | ' | ' | 17,500,000 | ' | 14,400,000 | ' |
Remaining amount under the approved program | ' | $16,300,000 | ' | $2,500,000 | $2,500,000 | ' | ' | ' |
Stockholders_Equity_Employee_a
Stockholders' Equity (Employee and Director Stock Options, Restricted Stock and ESPP) (Details) (USD $) | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | ||||||||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Dec. 28, 2013 | 31-May-12 | 31-May-07 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 | 31-May-13 | 31-May-11 | 31-May-11 | 31-May-11 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 29, 2012 | Dec. 31, 2011 |
Restricted Stock Units (RSUs) | ESPP | ESPP | Principal option plans | Principal option plans | Principal option plans | 2001 Plan | 2013 Plan [Member] | 2011 Non-Employee Director Equity Incentive Plan | 2011 Non-Employee Director Equity Incentive Plan | 2011 Non-Employee Director Equity Incentive Plan | 2011 Non-Employee Director Equity Incentive Plan | 2012 ESPP | 2012 ESPP | 2007 ESPP | 2007 ESPP | ||||
Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Restricted Stock Units (RSUs) | ESPP | ESPP | ESPP | ESPP | |||||||||
Issued prior to January 31, 2006 | Issued subsequent to January 31, 2006 | Maximum | Maximum | ||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares authorized | ' | ' | ' | ' | 3,000,000 | 5,500,000 | ' | ' | ' | 9,000,000 | 7,237,702 | 360,000 | 750,000 | ' | ' | ' | ' | ' | ' |
Award vesting period | ' | ' | ' | '4 years | ' | ' | '4 years | ' | ' | ' | ' | ' | ' | '3 years | '1 year | ' | ' | ' | ' |
Contractual term of award | ' | ' | ' | ' | ' | ' | ' | '10 years | '7 years | ' | ' | ' | ' | '10 years | ' | ' | ' | ' | ' |
Percentage of employee's compensation maximum for employee share purchases | ' | ' | ' | ' | 10.00% | 10.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase price of shares as percentage of fair market value | ' | ' | ' | ' | 85.00% | 85.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Compensation expense | $9,522 | $7,510 | $6,356 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $200 | $100 | $100 | $500 |
Stockholders_Equity_Total_Stoc
Stockholders' Equity (Total Stock-based Compensation Expense) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Total stock-based compensation | $9,522 | $7,510 | $6,356 |
Cost of products sold | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Total stock-based compensation | 627 | 525 | 461 |
Research and development | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Total stock-based compensation | 3,916 | 3,009 | 2,697 |
Selling, general and administrative | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Total stock-based compensation | 4,979 | 3,976 | 3,095 |
Restructuring charges | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Total stock-based compensation | $0 | $0 | $103 |
Stockholders_Equity_Employee_a1
Stockholders' Equity (Employee and Director Stock Options, Restricted Stock and ESPP) (Details 2) (USD $) | 12 Months Ended | ||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
population | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Number of employee populations for fair value assumptions | 2 | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | ' | ' | ' |
Total unrecognized compensation cost related to unvested employee and director stock options | $10,900,000 | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ' | ' | ' |
Beginning balance | 9,528,000 | ' | ' |
Granted | 3,167,000 | ' | ' |
Exercised | -990,000 | ' | ' |
Forfeited or expired | -1,264,000 | ' | ' |
Ending balance | 10,441,000 | 9,528,000 | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Roll Forward] | ' | ' | ' |
Beginning balance | $4.74 | ' | ' |
Granted | $5.01 | ' | ' |
Exercised | $2.38 | ' | ' |
Forfeited or expired | $6.09 | ' | ' |
Ending balance | $4.88 | $4.74 | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest [Abstract] | ' | ' | ' |
Vested and expected to vest at end of period, Shares | 10,441,000 | ' | ' |
Vested and expected to vest at end of period, Weighted average exercise price | $4.88 | ' | ' |
Vested and expected to vest at end of period, Weighted average remaining contractual term | '4 years 9 months 18 days | ' | ' |
Vested and expected to vest at end of period, aggregate intrinsic value | 8,220,000 | ' | ' |
Exercisable at end of period, Shares | 5,323,000 | ' | ' |
Exercisable at end of period, Weighted average exercise price | $4.46 | ' | ' |
Exercisable at end of period, Weighted average remaining contractual term | '3 years 9 months 22 days | ' | ' |
Exercisable at end of period, aggregate intrinsic value | 6,450,000 | ' | ' |
Total intrinsic value of options exercised | 2,500,000 | 3,400,000 | 6,600,000 |
Total fair value of options and RSU's vested and expensed | 9,300,000 | 7,400,000 | 6,000,000 |
Grant date weighted average fair values based on fair value assumptions, options | $2.10 | $2.74 | $2.92 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | ' | ' | ' |
Shares of common stock available for future purchases under ESPP | 2,800,000 | ' | ' |
Stock options | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | ' | ' | ' |
Expected volatility, percent, minimum | 51.40% | 58.10% | 57.40% |
Expected volatility, percent, maximum | 54.30% | 59.50% | 61.90% |
Risk-free interest rate, percent, minimum | 0.01% | 0.01% | 0.00% |
Risk-free interest rate, percent, maximum | 0.01% | 0.01% | 0.02% |
Dividend yield | 0.00% | 0.00% | 0.00% |
Weighted average period for recognition | '4 years 10 months | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | ' | ' | ' |
Shares of common stock available for future grants | 6,800,000 | ' | ' |
Stock options | Minimum | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | ' | ' | ' |
Expected term | '4 years 1 month 2 days | '4 years 1 month 2 days | '4 years 0 months 18 days |
Stock options | Maximum | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | ' | ' | ' |
Expected term | ' | '4 years 5 months 19 days | '4 years 4 months 13 days |
ESPP | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | ' | ' | ' |
Expected term | '6 months | '6 months | '6 months |
Dividend yield | 0.00% | 0.00% | 0.00% |
Weighted average expected volatility rate (percent) | 48.00% | 50.00% | 48.10% |
Weighted average risk-free interest rate (percent) | 0.11% | 0.12% | 0.14% |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest [Abstract] | ' | ' | ' |
Grant date weighted average fair values based on fair assumptions, non-options | $1.29 | $1.35 | $1.80 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | ' | ' | ' |
Granted, Weighted average grant date fair value | $1.29 | $1.35 | $1.80 |
Restricted Stock Units (RSUs) | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest [Abstract] | ' | ' | ' |
Grant date weighted average fair values based on fair assumptions, non-options | $5.22 | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ' | ' | ' |
Balance at the beginning of period, Shares | 1,078,000 | ' | ' |
Granted, Shares | 1,735,000 | ' | ' |
Vested, Shares | -524,000 | ' | ' |
Forfeited, Shares | -99,000 | ' | ' |
Balance at the end of period, Shares | 2,190,000 | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | ' | ' | ' |
Balance at the beginning of period, Weighted average grant date fair value | $6.15 | ' | ' |
Granted, Weighted average grant date fair value | $5.22 | ' | ' |
Vested, Weighted average grant date fair value | $5.91 | ' | ' |
Forfeited, Weighted average grant date fair value | $5.68 | ' | ' |
Balance at the end of period, Weighted average grant date fair value | $5.49 | ' | ' |
Unrecognized compensation expense related to unvested RSU's | $9,500,000 | ' | ' |
Employee_Benefit_Plans_Details
Employee Benefit Plans (Details) (USD $) | 12 Months Ended | 1 Months Ended | 12 Months Ended | ||||
In Millions, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Feb. 29, 2012 | Dec. 28, 2013 | Dec. 28, 2013 | Dec. 28, 2013 |
2011 Cash Incentive Plan | Deferred salary | Deferred bonus | 2013 Plan [Member] | ||||
Compensation Related Costs [Abstract] | ' | ' | ' | ' | ' | ' | ' |
Employer matching contribution to a 401(k) plan | $0 | $0.80 | $0.80 | ' | ' | ' | ' |
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Percentage of compensation that may be deferred | ' | ' | ' | ' | 75.00% | 100.00% | ' |
Amount of deferred compensation paid out | 0.1 | 0.3 | 0.3 | ' | ' | ' | ' |
Deferred compensation liability | 0.1 | 0.1 | ' | ' | ' | ' | ' |
Charge related to incentive compensation | ' | ' | ' | $2.60 | ' | ' | $11.30 |
Valuation_and_Qualifying_Accou2
Valuation and Qualifying Accounts (Details) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | Jan. 01, 2011 |
Valuation and Qualifying Accounts Disclosure [Line Items] | ' | ' | ' | ' |
Valuation Allowances and Reserves, Write-offs, Net Of Recoveries | ($285) | ($103) | ($99) | ' |
Valuation Allowances and Reserves, Balance | 151,406 | 150,331 | 148,438 | 272,173 |
Valuation Allowances and Reserves, Charged to Cost and Expense | 1,677 | 1,938 | -123,636 | ' |
Valuation Allowances and Reserves, Charged to Other Accounts | -317 | 58 | 0 | ' |
Valuation Allowance of Deferred Tax Assets [Member] | ' | ' | ' | ' |
Valuation and Qualifying Accounts Disclosure [Line Items] | ' | ' | ' | ' |
Valuation Allowances and Reserves, Write-offs, Net Of Recoveries | ' | 0 | 0 | ' |
Valuation Allowances and Reserves, Balance | 150,528 | 149,209 | 147,499 | 271,208 |
Valuation Allowances and Reserves, Charged to Cost and Expense | 1,636 | 1,652 | -123,709 | ' |
Valuation Allowances and Reserves, Charged to Other Accounts | -317 | 58 | 0 | ' |
Allowance for Doubtful Accounts [Member] | ' | ' | ' | ' |
Valuation and Qualifying Accounts Disclosure [Line Items] | ' | ' | ' | ' |
Valuation Allowances and Reserves, Write-offs, Net Of Recoveries | -285 | -103 | 0 | ' |
Valuation Allowances and Reserves, Balance | 878 | 1,122 | 939 | 866 |
Valuation Allowances and Reserves, Charged to Cost and Expense | 41 | 286 | 73 | ' |
Valuation Allowances and Reserves, Charged to Other Accounts | ' | 0 | 0 | ' |
Warranty Reserves [Member] | ' | ' | ' | ' |
Valuation and Qualifying Accounts Disclosure [Line Items] | ' | ' | ' | ' |
Valuation Allowances and Reserves, Write-offs, Net Of Recoveries | 0 | 0 | -99 | ' |
Valuation Allowances and Reserves, Balance | 0 | 0 | 0 | 99 |
Valuation Allowances and Reserves, Charged to Cost and Expense | 0 | 0 | 0 | ' |
Valuation Allowances and Reserves, Charged to Other Accounts | $0 | $0 | $0 | ' |
Segment_and_Geographic_Informa2
Segment and Geographic Information (Revenue by Major Geographic Area) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
segment | |||
Segment Reporting [Abstract] | ' | ' | ' |
Number of industry segments | 1 | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Total revenue | $332,525 | $279,256 | $318,366 |
Total revenue, percent | 100.00% | 100.00% | 100.00% |
United States | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Total revenue | 28,506 | 34,172 | 44,847 |
Total revenue, percent | 9.00% | 12.00% | 14.00% |
Total foreign revenue | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Total revenue | 304,019 | 245,084 | 273,519 |
Total revenue, percent | 91.00% | 88.00% | 86.00% |
China | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Total revenue | 148,018 | 113,585 | 123,124 |
Total revenue, percent | 45.00% | 41.00% | 39.00% |
Europe | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Total revenue | 47,459 | 48,202 | 66,319 |
Total revenue, percent | 14.00% | 17.00% | 21.00% |
Japan | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Total revenue | 26,538 | 35,696 | 36,961 |
Total revenue, percent | 8.00% | 13.00% | 11.00% |
Taiwan | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Total revenue | 6,708 | 8,276 | 8,346 |
Total revenue, percent | 2.00% | 3.00% | 3.00% |
Other Asia | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Total revenue | 64,425 | 32,254 | 32,687 |
Total revenue, percent | 19.00% | 11.00% | 10.00% |
Other Americas | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Total revenue | $10,871 | $7,071 | $6,082 |
Total revenue, percent | 3.00% | 3.00% | 2.00% |
Segment_and_Geographic_Informa3
Segment and Geographic Information (Revenue by Primary Distributor) (Details) | 12 Months Ended | ||
Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 | |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Revenue from all sell-through distributors | 45.00% | 55.00% | 61.00% |
Nu Horizons Electronics Corp. (including Arrow Electronics) | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Revenue from all sell-through distributors | 25.00% | 33.00% | 22.00% |
Weikeng Group | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Revenue from all sell-through distributors | 12.00% | 14.00% | 14.00% |
All Others | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Revenue from all sell-through distributors | 8.00% | 8.00% | 25.00% |
Quarterly_Financial_Data_Unaud2
Quarterly Financial Data (Unaudited) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 28, 2013 | Sep. 28, 2013 | Jun. 29, 2013 | Mar. 30, 2013 | Dec. 29, 2012 | Sep. 29, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 28, 2013 | Dec. 29, 2012 | Dec. 31, 2011 |
Quarterly Financial Information Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenue | $89,519 | $87,154 | $84,694 | $71,158 | $65,875 | $70,889 | $70,792 | $71,700 | $332,525 | $279,256 | $318,366 |
Gross margin | 48,603 | 46,376 | 45,110 | 38,155 | 35,673 | 38,548 | 37,051 | 39,485 | ' | ' | ' |
Restructuring charges (adjustment) | 131 | 85 | 19 | 153 | 5,375 | 0 | 87 | 556 | 388 | 6,018 | 6,079 |
Net income (loss) | $6,547 | $8,844 | $5,040 | $1,890 | ($7,175) | ($2,175) | ($12,542) | ($7,714) | $22,321 | ($29,606) | $78,232 |
Basic net (loss) income per share (in dollars per share) | $0.06 | $0.08 | $0.04 | $0.02 | ($0.06) | ($0.02) | ($0.11) | ($0.07) | $0.19 | ($0.25) | $0.66 |
Diluted net (loss) income per share (in dollars per share) | $0.06 | $0.08 | $0.04 | $0.02 | ($0.06) | ($0.02) | ($0.11) | ($0.07) | $0.19 | ($0.25) | $0.65 |