Document and Entity Information
Document and Entity Information Document - USD ($) $ in Millions | 6 Months Ended | ||
Jul. 03, 2016 | Aug. 05, 2016 | Jun. 28, 2015 | |
Entity Information [Line Items] | |||
Document Type | 10-Q | ||
Amendment Flag | false | ||
Document Period End Date | Jul. 3, 2016 | ||
Entity Registrant Name | SUNPOWER CORP | ||
Entity Central Index Key | 867,773 | ||
Current Fiscal Year End Date | --01-01 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Public Float | $ 1,720 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | Q2 | ||
Common Stock, Shares, Outstanding | 138,150,656 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jul. 03, 2016 | Jan. 03, 2016 | ||
Current assets: | ||||
Cash and cash equivalents | $ 590,091 | $ 954,528 | ||
Restricted cash and cash equivalents, current portion | 23,091 | 24,488 | ||
Accounts receivable, net | 211,753 | [1] | 190,448 | |
Costs and estimated earnings in excess of billings | 32,677 | [1] | 38,685 | |
Inventories | 467,914 | 382,390 | ||
Advances to suppliers, current portion | 72,061 | 85,012 | ||
Project assets - plants and land, current portion1 | 904,429 | [1] | 479,452 | |
Prepaid expenses and other current assets | 306,616 | [1] | 359,517 | |
Total current assets | 2,608,632 | 2,514,520 | ||
Restricted cash and cash equivalents, net of current portion | 45,891 | 41,748 | ||
Restricted long-term marketable securities | 6,362 | 6,475 | ||
Property, plant and equipment, net | 818,711 | [2] | 731,230 | |
Solar power systems leased and to be leased, net | [3],[4] | 594,266 | 531,520 | |
Project assets - plants and land, net of current portion | 26,282 | 5,072 | ||
Advances to suppliers, net of current portion | 246,468 | 274,085 | ||
Long-term financing receivables, net | 429,910 | 334,791 | ||
Goodwill and other intangible assets, net | 107,547 | 119,577 | ||
Other long-term assets | 317,095 | [1] | 297,975 | |
Total assets | 5,201,164 | 4,856,993 | ||
Current liabilities: | ||||
Accounts payable | 518,598 | [1] | 514,654 | |
Accrued liabilities1 | 373,874 | [1] | 313,497 | |
Billings in excess of costs and estimated earnings | 92,295 | 115,739 | ||
Short-term debt | 350,764 | 21,041 | ||
Customer advances, current portion | 41,544 | [1] | 33,671 | |
Total current liabilities | 1,377,075 | 998,602 | ||
Long-term debt | 578,231 | 478,948 | ||
Convertible debt, net of current portion | 1,112,127 | [1] | 1,110,960 | |
Customer advances, net of current portion | 112,663 | [1] | 126,183 | |
Other long-term liabilities1 | 578,917 | [1] | 564,557 | |
Total liabilities | 3,759,013 | 3,279,250 | ||
Commitments and contingencies (Note 8) | ||||
Redeemable noncontrolling interests in subsidiaries | 90,551 | 69,104 | ||
Equity: | ||||
Preferred stock, $0.001 par value; 10,000,000 shares authorized; none issued and outstanding as of both July 3, 2016 and January 3, 2016 | 0 | 0 | ||
Common stock, $0.001 par value, 367,500,000 shares authorized; 147,509,133 shares issued, and 138,134,648 outstanding as of July 3, 2016; 145,242,705 shares issued, and 136,712,339 outstanding as of January 3, 2016 | 138 | 137 | ||
Additional paid-in capital | 2,391,912 | 2,359,917 | ||
Accumulated deficit | (903,018) | (747,617) | ||
Accumulated other comprehensive loss | (12,601) | (8,023) | ||
Treasury stock, at cost; 9,374,485 shares of common stock as of July 3, 2016; 8,530,366 shares of common stock as of January 3, 2016 | (174,937) | (155,265) | ||
Total stockholders' equity | 1,301,494 | 1,449,149 | ||
Noncontrolling interests in subsidiaries | 50,106 | 59,490 | ||
Total equity | 1,351,600 | 1,508,639 | ||
Total liabilities and equity | $ 5,201,164 | $ 4,856,993 | ||
[1] | The Company has related-party balances for transactions made with Total S.A. and its affiliates as well as unconsolidated entities in which the Company has a direct equity investment. These related-party balances are recorded within the "Accounts Receivable, net," "Costs and estimated earnings in excess of billings," "Project assets - plants and land, current portion," "Prepaid expenses and other current assets," "Other long-term assets," "Accounts payable," "Accrued Liabilities", "Customer advances, current portion," "Convertible debt, net of current portion," and "Customer advances, net of current portion" financial statement line items in the Consolidated Balance Sheets (see Note 2, Note 6, Note 9, Note 10, and Note 11). | |||
[2] | Property, plant and equipment, net by geography is based on the physical location of the assets. | |||
[3] | 2 As of July 3, 2016 and January 3, 2016, the Company had pledged solar assets with an aggregate book value of $95.3 million and zero, respectively, to third-party investors as security for the Company's contractual obligations. | |||
[4] | Solar power systems leased and to be leased, net are physically located exclusively in the United States. |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - $ / shares | Jul. 03, 2016 | Jan. 03, 2016 |
Preferred stock, par value | $ 0.001 | $ 0.001 |
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 | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 367,500,000 | 367,500,000 |
Common stock, shares issued | 147,509,133 | 145,242,705 |
Common Stock, Shares, Outstanding | 138,134,648 | 136,712,339 |
Common stock held in treasury | 9,374,485 | 8,530,366 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 03, 2016 | Jun. 28, 2015 | Jul. 03, 2016 | Jun. 28, 2015 | |
Solar power systems, components, and other | $ 356,011 | $ 330,552 | $ 684,711 | $ 731,765 |
Residential leasing | 64,441 | 50,468 | 120,616 | 90,126 |
Revenue | 420,452 | 381,020 | 805,327 | 821,891 |
Solar power systems, components, and other | 331,194 | 274,148 | 621,435 | 593,796 |
Residential leasing | 47,964 | 35,991 | 91,061 | 66,396 |
Cost of revenue | 379,158 | 310,139 | 712,496 | 660,192 |
Gross margin | 41,294 | 70,881 | 92,831 | 161,699 |
Operating expenses: | ||||
Research and development1 | 31,411 | 20,560 | 64,117 | 41,728 |
Sales, general and administrative1 | 84,683 | 81,520 | 182,474 | 158,734 |
Restructuring charges | 117 | 1,749 | 213 | 5,330 |
Total operating expenses | 116,211 | 103,829 | 246,804 | 205,792 |
Operating loss | (74,917) | (32,948) | (153,973) | (44,093) |
Other income (expense), net: | ||||
Interest income | 806 | 494 | 1,503 | 1,050 |
Interest expense1 | (13,950) | (8,517) | (26,831) | (24,198) |
Other, net | (5,822) | 14,982 | (12,054) | 12,362 |
Other income (expense), net | (18,966) | 6,959 | (37,382) | (10,786) |
Income (loss) before income taxes and equity in earnings (loss) of unconsolidated investees | (93,883) | (25,989) | (191,355) | (54,879) |
Benefit from (provision for) income taxes | (6,648) | 659 | (9,829) | (1,692) |
Equity in earnings of unconsolidated investees | 8,350 | 1,864 | 7,586 | 4,055 |
Net loss | (92,181) | (23,466) | (193,598) | (52,516) |
Net loss attributable to noncontrolling interests and redeemable noncontrolling interests | 22,189 | 29,975 | 38,197 | 49,444 |
Net income (loss) attributable to stockholders | $ (69,992) | $ 6,509 | $ (155,401) | $ (3,072) |
Net income (loss) per share attributable to stockholders: | ||||
Basic (in dollars per share) | $ (0.51) | $ 0.05 | $ (1.13) | $ (0.02) |
Diluted (in dollars per share) | $ (0.51) | $ 0.04 | $ (1.13) | $ (0.02) |
Weighted-average shares: | ||||
Basic (in shares) | 138,084 | 134,376 | 137,644 | 133,205 |
Diluted (in shares) | 138,084 | 156,995 | 137,644 | 133,205 |
Consolidated Statement of Compr
Consolidated Statement of Comprehensive Income (Loss) Statement - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 03, 2016 | Jun. 28, 2015 | Jul. 03, 2016 | Jun. 28, 2015 | |
Statement of Comprehensive Income [Abstract] | ||||
Net loss | $ (92,181) | $ (23,466) | $ (193,598) | $ (52,516) |
Components of comprehensive loss: | ||||
Translation adjustment | 138 | 242 | 1,557 | (1,761) |
Net change in derivatives (Note 11) | (136) | 4,996 | (6,881) | 808 |
Net gain (loss) on long-term pension liability adjustment | 0 | |||
Income taxes | (4) | 346 | 746 | 457 |
Net change in accumulated other comprehensive income (loss) | (2) | 5,584 | (4,578) | (496) |
Total comprehensive loss | (92,183) | (17,882) | (198,176) | (53,012) |
Comprehensive loss attributable to noncontrolling interests and redeemable noncontrolling interests | 22,189 | 29,975 | 38,197 | 49,444 |
Comprehensive income (loss) attributable to stockholders | $ (69,994) | $ 12,093 | $ (159,979) | $ (3,568) |
Consolidated Statements of Equi
Consolidated Statements of Equity - 6 months ended Jul. 03, 2016 - USD ($) shares in Thousands, $ in Thousands | Total | Redeemable Noncontrolling Interest [Member] | Parent [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Treasury Stock [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Retained Earnings [Member] | Noncontrolling Interest [Member] |
Shares issued, beginning of period at Jan. 03, 2016 | 136,711 | ||||||||
Stockholders' equity, beginning of period at Jan. 03, 2016 | $ 1,508,639 | $ 69,104 | $ 1,449,149 | $ 137 | $ 2,359,917 | $ (155,265) | $ (8,023) | $ (747,617) | $ 59,490 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net loss | (193,598) | ||||||||
Net loss | (158,101) | (35,497) | (155,401) | (2,700) | |||||
Net Income (Loss) Attributable to Parent | (155,401) | (155,401) | |||||||
Other comprehensive income (loss) | (4,578) | (4,578) | (4,578) | ||||||
Issuance of restricted stock to employees, net of cancellations (in shares) | 2,266 | ||||||||
Issuance of restricted stock to employees, net of cancellations | 2 | 2 | $ 2 | 0 | |||||
Stock-based compensation expense | 31,995 | 31,995 | 31,995 | ||||||
Contributions from noncontrolling interests | (2,201) | 59,366 | (2,201) | ||||||
Contributions from noncontrolling interests and redeemable noncontrolling interests | 57,165 | ||||||||
Distributions to noncontrolling interests | (4,483) | (2,422) | (4,483) | ||||||
Purchases of treasury stock (in shares) | (845) | ||||||||
Purchases of treasury stock | (19,673) | (19,673) | $ 1 | (19,672) | |||||
Shares issued, end of period at Jul. 03, 2016 | 138,132 | ||||||||
Stockholders' equity, end of period at Jul. 03, 2016 | $ 1,351,600 | $ 90,551 | $ 1,301,494 | $ 138 | $ 2,391,912 | $ (174,937) | $ (12,601) | $ (903,018) | $ 50,106 |
Consolidated Statements of Equ7
Consolidated Statements of Equity (Parentheticals) | Dec. 28, 2014 |
Bond Hedge [Member] | |
Interest rate | 4.75% |
Warrant (Under the CSO2014) [Member] | |
Interest rate | 4.75% |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Jul. 03, 2016 | Jun. 28, 2015 | |
Statement of Cash Flows [Abstract] | ||
Net loss | $ (193,598) | $ (52,516) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and amortization | 83,015 | 60,005 |
Stock-based compensation | 32,995 | 27,586 |
Non-cash interest expense | 655 | 5,251 |
Equity in earnings of unconsolidated investees | (7,586) | (4,055) |
Excess tax benefit from stock-based compensation | 0 | (6,727) |
Deferred income taxes | 849 | (367) |
Gain on sale of residential lease portfolio to 8point3 Energy Partners LP | 0 | (27,915) |
Other, net | 1,799 | 1,377 |
Changes in operating assets and liabilities, net of effect of acquisitions: | ||
Accounts receivable | (23,295) | 65,202 |
Costs and estimated earnings in excess of billings | 6,301 | 138,638 |
Inventories | (115,047) | (130,726) |
Project assets | (433,383) | (311,774) |
Prepaid expenses and other assets | 48,709 | 29,425 |
Long-term financing receivables, net | (95,119) | (69,258) |
Advances to suppliers | 40,569 | 25,094 |
Accounts payable and other accrued liabilities | 12,077 | (71,529) |
Billings in excess of costs and estimated earnings | (23,049) | 9,330 |
Customer advances | (5,884) | (12,482) |
Net cash used in operating activities | (669,992) | (325,441) |
Cash flows from investing activities: | ||
Increase in restricted cash and cash equivalents | (2,747) | (28,407) |
Purchases of property, plant and equipment | (93,324) | (68,778) |
Cash paid for solar power systems, leased and to be leased | (46,156) | (41,832) |
Cash paid for solar power systems | (2,282) | (10,007) |
Proceeds from 8point3 Energy Partners LP attributable to real estate projects and residential lease portfolio | (9,838) | 341,174 |
Cash paid for investments in unconsolidated investees | (10,309) | (7,092) |
Payments to Acquire Intangible Assets | 0 | (526) |
Net cash used in investing activities | (164,656) | 184,532 |
Cash flows from financing activities: | ||
Cash paid for repurchase of convertible debt | 0 | (324,273) |
Proceeds from settlement of 4.50% Bond Hedge | 0 | 74,628 |
Payments to settle 4.50% Warrants | 0 | (574) |
Proceeds from issuance of non-recourse residential financing, net of issuance costs | 53,228 | 54,830 |
Repayment of non-recourse residential financing | (2,166) | (40,802) |
Proceeds from (Repayments of) Debt | 433,492 | 207,710 |
Repayment of bank loans, project loans and other debt | (7,887) | (15,819) |
Repayment of non-recourse power plant and commercial financing | (37,352) | (226,578) |
Proceeds from 8point3 Energy Partners LP attributable to operating leases and unguaranteed sales-type lease residual values | 0 | 29,300 |
Contributions from noncontrolling interests and redeemable noncontrolling interests | 57,165 | 91,936 |
Distributions to noncontrolling interests and redeemable noncontrolling interests | (6,905) | (4,567) |
Proceeds from exercise of stock options | 0 | 178 |
Excess tax benefit from stock-based compensation | 0 | 6,727 |
Purchases of stock for tax withholding obligations on vested restricted stock | (19,671) | (40,326) |
Net cash provided by (used in) financing activities | 469,904 | (187,630) |
Effect of exchange rate changes on cash and cash equivalents | 307 | (4,593) |
Net decrease in cash and cash equivalents | (364,437) | (333,132) |
Cash and cash equivalents, beginning of period | 954,528 | 956,175 |
Cash and cash equivalents, end of period | 590,091 | 623,043 |
Non-cash transactions: | ||
Assignment of residential lease receivables to third parties | 2,476 | 1,689 |
Costs of solar power systems, leased and to be leased, sourced from existing inventory | 29,891 | 30,428 |
Costs of solar power systems, leased and to be leased, funded by liabilities | 6,282 | 3,971 |
Costs of solar power systems under sale-leaseback financing arrangements, sourced from project assets | 7,375 | 6,076 |
Property, plant and equipment acquisitions funded by liabilities | 73,247 | 37,017 |
Exchange of receivables for an investment in an unconsolidated investee | 2,890 | 0 |
Sale of residential lease portfolio in exchange for non-controlling equity interests in the 8point3 Group | 0 | 68,273 |
Net reclassification of cash proceeds offset by project assets in connection with the deconsolidation of assets sold to the 8point3 Group | $ 8,726 | $ 0 |
Consolidated Statements of Cas9
Consolidated Statements of Cash Flows (Parentheticals) | Jul. 03, 2016 | Dec. 28, 2014 |
4.75% debentures due 2014 [Member] | Bond Hedge [Member] | ||
Interest rate | 4.75% | |
4.50% debentures due 2015 [Member] | ||
Interest rate | 4.50% | |
4.50% debentures due 2015 [Member] | Bond Hedge [Member] | ||
Interest rate | 4.50% | |
Warrant (Under the CSO2014) [Member] | ||
Interest rate | 4.75% |
The Company and Summary of Sign
The Company and Summary of Significant Accounting Policies | 6 Months Ended |
Jul. 03, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
The Company and Summary of Significant Accounting Policies | THE COMPANY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The Company SunPower Corporation (together with its subsidiaries, the "Company" or "SunPower") is a leading global energy company that delivers complete solar solutions to residential, commercial, and power plant customers worldwide through an array of hardware, software, and financing options and through utility-scale solar power system construction and development capabilities, operations and maintenance ("O&M") services, and "Smart Energy" solutions. SunPower's Smart Energy initiative is designed to add layers of intelligent control to homes, buildings and grids—all personalized through easy-to-use customer interfaces. Of all the solar cells commercially available to the mass market, the Company believes its solar cells have the highest conversion efficiency, a measurement of the amount of sunlight converted by the solar cell into electricity. SunPower Corporation is a majority owned subsidiary of Total Energies Nouvelles Activités USA ("Total"), a subsidiary of Total S.A. ("Total S.A.") (see Note 2 ). The Company's President and Chief Executive Officer, as the chief operating decision maker ("CODM"), has organized the Company, manages resource allocations and measures performance of the Company's activities among three end-customer segments: (i) Residential Segment, (ii) Commercial Segment and (iii) Power Plant Segment. The Residential and Commercial Segments combined are referred to as Distributed Generation. The Company’s Residential Segment refers to sales of solar energy solutions to residential end customers through a variety of means, including cash sales and long-term leases directly to end customers, sales to resellers, including the Company's third-party global dealer network, and sales of the Company's O&M services. The Company’s Commercial Segment refers to sales of solar energy solutions to commercial and public entity end customers through a variety of means, including direct sales of turn-key engineering, procurement and construction ("EPC") services, sales to the Company's third-party global dealer network, sales of energy under power purchase agreements ("PPAs"), and sales of the Company's O&M services. The Power Plant Segment refers to the Company's large-scale solar products and systems business, which includes power plant project development and project sales, EPC services for power plant construction, power plant O&M services and component sales for power plants developed by third parties, sometimes on a multi-year, firm commitment basis. Basis of Presentation and Preparation Principles of Consolidation The consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States of America ("United States" or "U.S.") and include the accounts of the Company, all of its subsidiaries and special purpose entities, as appropriate under consolidation accounting guidelines. Intercompany transactions and balances have been eliminated in consolidation. The assets of the special purpose entities that the Company establishes in connection with certain project financing arrangements for customers are not designed to be available to service the general liabilities and obligations of the Company. Reclassifications Certain prior period balances have been reclassified to conform to the current period presentation in the Company's consolidated financial statements and the accompanying notes. Such reclassifications had no effect on previously reported results of operations or accumulated deficit. Fiscal Years The Company has a 52-to-53-week fiscal year that ends on the Sunday closest to December 31. Accordingly, every fifth or sixth year will be a 53-week fiscal year. The current fiscal year, fiscal 2016, is a 52-week fiscal year, while fiscal year 2015 was a 53-week fiscal year and had a 14-week fourth fiscal quarter. The second quarter of fiscal 2016 ended on July 3, 2016 , while the second quarter of fiscal 2015 ended on June 28, 2015 . The second quarters of fiscal 2016 and fiscal 2015 were both 13-week quarters. Management Estimates The preparation of the consolidated financial statements in conformity with U.S. generally accepted accounting principles ("U.S. GAAP") requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Significant estimates in these consolidated financial statements include percentage-of-completion for construction projects; allowances for doubtful accounts receivable and sales returns; inventory and project asset write-downs; stock-based compensation; estimates for future cash flows and economic useful lives of property, plant and equipment, goodwill, valuations for business combinations, other intangible assets, investments, and other long-term assets; the fair value and residual value of solar power systems; fair value of financial instruments; valuation of contingencies and certain accrued liabilities such as accrued warranty; and income taxes and tax valuation allowances and indemnities. Actual results could materially differ from those estimates. Summary of Significant Accounting Policies Long-Lived Assets The Company evaluates its long-lived assets, including property, plant and equipment, solar power systems leased and to be leased, and other intangible assets with finite lives, for impairment whenever events or changes in circumstances indicate that the carrying value of such assets may not be recoverable. Factors considered important that could result in an impairment review include significant under-performance relative to expected historical or projected future operating results, significant changes in the manner of use of acquired assets, and significant negative industry or economic trends. The Company's impairment evaluation of long-lived assets includes an analysis of estimated future undiscounted net cash flows expected to be generated by the assets over their remaining estimated useful lives. If the Company's estimate of future undiscounted net cash flows is insufficient to recover the carrying value of the assets over the remaining estimated useful lives, it records an impairment loss in the amount by which the carrying value of the assets exceeds the fair value. Fair value is generally measured based on either quoted market prices, if available, or discounted cash flow analysis. Project Assets - Plant and Land Project assets consist primarily of capitalized costs relating to solar power system projects in various stages of development that the Company incurs prior to the sale of the solar power system to a third-party. These costs include costs for land and costs for developing and constructing a solar power system. Development costs can include legal, consulting, permitting, and other similar costs. Once the Company enters into a definitive sales agreement, it reclassifies these project asset costs to deferred project costs within "Prepaid expenses and other current assets" in its Consolidated Balance Sheet until the Company has met the criteria to recognize the sale of the project asset or solar power project as revenue. The Company releases these project costs to cost of revenue as each respective project asset or solar power system is sold to a customer, since the project is constructed for a customer (matching the underlying revenue recognition method). The Company evaluates the realizability of project assets whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. The Company considers the project to be recoverable if it is anticipated to be sellable for a profit once it is either fully developed or fully constructed or if costs incurred to date may be recovered via other means, such as a sale prior to the completion of the development cycle. The Company examines a number of factors to determine if the project will be profitable, including whether there are any environmental, ecological, permitting, or regulatory conditions that have changed for the project since the start of development. In addition, the company must anticipate market conditions, such as the future cost of energy and changes in the factors that its future customers use to value its project assets in sale arrangements, including the internal rate of return that customers expect. Changes in such conditions could cause the cost of the project to increase or the selling price of the project to decrease. Due to the development, construction, and sale timeframe of the Company's larger solar projects, it classifies project assets which are not expected to be sold within the next 12 months as "Project assets - plants and land, net of current portion" on the Consolidated Balance Sheets. Once specific milestones have been achieved, the Company determines if the sale of the project assets will occur within the next 12 months from a given balance sheet date and, if so, it then reclassifies the project assets as current. Inventories Inventories are valued at the lower of cost or market value. The Company evaluates the realizability of its inventories, including purchase commitments under fixed-price long-term supply agreements, based on assumptions about expected demand and market conditions. The Company’s assumption of expected demand is developed based on its analysis of bookings, sales backlog, sales pipeline, market forecast, and competitive intelligence. The Company’s assumption of expected demand is compared to available inventory, production capacity, future polysilicon purchase commitments, available third-party inventory, and growth plans. The Company’s factory production plans, which drive materials requirement planning, are established based on its assumptions of expected demand. The Company responds to reductions in expected demand by temporarily reducing manufacturing output and adjusting expected valuation assumptions as necessary. In addition, expected demand by geography has changed historically due to changes in the availability and size of government mandates and economic incentives. The Company evaluates the terms of its long-term inventory purchase agreements with suppliers, including joint ventures, for the procurement of polysilicon, ingots, wafers, and solar cells and establishes accruals for estimated losses on adverse purchase commitments as necessary, such as lower of cost or market value adjustments, forfeiture of advanced deposits and liquidated damages. Obligations related to non-cancellable purchase orders for inventories match current and forecasted sales orders that will consume these ordered materials and actual consumption of these ordered materials are compared to expected demand regularly. The Company anticipates total obligations related to long-term supply agreements for inventories will be realized because quantities are less than management's expected demand for its solar power products. Other market conditions that could affect the realizable value of the Company's inventories and are periodically evaluated by management include historical inventory turnover ratio, anticipated sales price, new product development schedules, the effect new products might have on the sale of existing products, product obsolescence, customer concentrations, the current market price of polysilicon as compared to the price in the Company's fixed-price arrangements, and product merchantability, among other factors. If, based on assumptions about expected demand and market conditions, the Company determines that the cost of inventories exceeds its net realizable value or inventory is excess or obsolete, the Company records a write-down or accrual, which may be material, equal to the difference between the cost of inventories and the estimated net realizable value. If actual market conditions are more favorable, the Company may have higher gross margin when products that have been previously written down are sold in the normal course of business. Recent Accounting Pronouncements In June 2016, the Financial Accounting Standards Board (“FASB”) issued an update to the standards to amend the methodology for measuring credit losses on financial instruments and the timing of when such losses are recorded. The new guidance is effective for the Company no later than the first quarter of fiscal 2020. Early adoption is permitted beginning in the first quarter of fiscal 2019. The Company is evaluating the potential impact of this standard on its consolidated financial statements and disclosures. In March 2016, the FASB issued an update to the standards to simplify the accounting for employee share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. The new guidance is effective for the Company no later than the first quarter of fiscal 2017. Early adoption is permitted. The Company is evaluating the potential impact of this standard on its consolidated financial statements and disclosures. In February 2016, the FASB issued an update to the standards to require lessees to recognize a lease liability and a right-of-use asset for all leases (lease terms of more than 12 months) at the commencement date. The new guidance is effective for the Company no later than the first quarter of fiscal 2019 and requires a modified retrospective approach to adoption. Early adoption is permitted. The Company is evaluating the potential impact of this standard on its consolidated financial statements and disclosures. In January 2016, the FASB issued an update to the standards to require equity investments to be measured at fair value with changes in the fair value recognized through net income (other than those accounted for under the equity method of accounting or those that result in consolidation of the investee). The new guidance is effective for the Company no later than the first quarter of fiscal 2018 and upon adoption, an entity should apply the amendments by means of a cumulative-effect adjustment to the balance sheet at the beginning of the first reporting period in which the guidance is effective. Early adoption is permitted for the accounting guidance on financial liabilities under the fair value option. The Company is evaluating the potential impact of this standard on its consolidated financial statements and disclosures. In July 2015, the FASB issued an update to the standards to simplify the measurement of inventory. The updated standard more closely aligns the measurement of inventory with that of International Financial Reporting Standards (“IFRS”) and amends the measurement standard from lower of cost or market to lower of cost or net realizable value. The new guidance is effective for the Company no later than the first quarter of fiscal 2017 and requires a prospective approach to adoption. The Company elected early adoption of the updated accounting standard, effective in the second quarter of fiscal 2016. The adoption of this updated accounting standard did not result in a significant impact to the Company’s consolidated financial statements. In April 2015, the FASB issued an update to the standards to provide a practical expedient for the measurement date of defined benefit obligation and plan assets for reporting entities with fiscal year-ends that do not coincide with a month-end. The updated standard allows such entities to measure defined benefit plan assets and obligations using the month-end that is closest to the entity's fiscal year-end and apply that practical expedient consistently from year to year and to all plans, if an entity has more than one plan. The Company elected early adoption of the updated accounting standard, effective in the fourth quarter of fiscal 2015, and measured its defined benefit plan assets and obligations as of December 31, 2015, the calendar month-end closest to the Company’s fiscal year-end. The adoption of this updated accounting standard did not have a significant impact to the Company’s consolidated financial statements. In February 2015, the FASB issued a new standard that modifies existing consolidation guidance for reporting organizations that are required to evaluate whether they should consolidate certain legal entities. The Company adopted the new accounting standard, effective in the first quarter of fiscal 2016. Adoption of the new accounting standard did not have a material impact to the Company's consolidated financial statements. In August 2014, the FASB issued an update to the standards to require management to evaluate whether there are conditions and events that raise substantial doubt about the Company’s ability to continue as a going concern within one year after the date the financial statements are issued and provide related disclosures. The new guidance is effective for the Company no later than the fourth quarter of fiscal 2016. Early adoption is permitted. The Company is evaluating the potential impact of this standard on its consolidated financial statements and disclosures. In May 2014, the FASB issued a new revenue recognition standard based on the principle that revenue is recognized to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods and services. The FASB has issued several updates to the standard which i) clarify the application of the principal versus agent guidance; ii) clarify the guidance relating to performance obligations and licensing; and iii) clarify assessment of the collectability criterion, presentation of sales taxes, measurement date for noncash consideration and completed contracts at transaction. The new revenue recognition standard, amended by the updates, becomes effective for the Company in the first quarter of fiscal 2018 and is to be applied retrospectively using one of two prescribed methods. Early adoption is permitted. The Company is evaluating the available methods and the potential impact of this standard on its consolidated financial statements and disclosures. Other than as described above, there has been no issued accounting guidance not yet adopted by the Company that it believes is material or potentially material to its consolidated financial statements. |
Transactions with Total and Tot
Transactions with Total and Total S.A. | 6 Months Ended |
Jul. 03, 2016 | |
Related Party Transactions [Abstract] | |
Transactions with Total and Total S.A. | TRANSACTIONS WITH TOTAL AND TOTAL S.A. In June 2011, Total completed a cash tender offer to acquire 60% of the Company's then outstanding shares of common stock at a price of $23.25 per share, for a total cost of approximately $1.4 billion . In December 2011, the Company entered into a Private Placement Agreement with Total, under which Total purchased, and the Company issued and sold, 18.6 million shares of the Company's common stock for a purchase price of $8.80 per share, thereby increasing Total's ownership to approximately 66% of the Company's outstanding common stock as of that date. As of July 3, 2016 , through the increase of the Company's total outstanding common stock due to the exercise of warrants and issuance of restricted and performance stock units, Total's ownership of the Company's outstanding common stock has decreased to approximately 57% . Amended and Restated Credit Support Agreement In June 2016, the Company and Total S.A. entered into an Amended and Restated Credit Support Agreement (the "Credit Support Agreement") which amended and restated the Credit Support Agreement dated April 28, 2011 by and between the Company and Total S.A., as amended. Under the Credit Support Agreement, Total S.A. agreed to enter into one or more guarantee agreements (each a "Guaranty") with banks providing letter of credit facilities to the Company. At any time until December 31, 2018, Total S.A. will, at the Company's request, guarantee the payment to the applicable issuing bank of the Company's obligation to reimburse a draw on a letter of credit and pay interest thereon in accordance with the letter of credit facility between such bank and the Company. Such letters of credit must be issued no later than December 31, 2018 and expire no later than March 31, 2020. Total is required to issue and enter into the Guaranty requested by the Company, subject to certain terms and conditions. In addition, Total will not be required to enter into the Guaranty if, after giving effect to the Company’s request for a Guaranty, the sum of (a) the aggregate amount available to be drawn under all guaranteed letter of credit facilities, (b) the amount of letters of credit available to be issued under any guaranteed facility, and (c) the aggregate amount of draws (including accrued but unpaid interest) on any letters of credit issued under any guaranteed facility that have not yet been reimbursed by the Company, would exceed $500 million in the aggregate. Such maximum amounts of credit support available to the Company can be reduced upon the occurrence of specified events. In consideration for the commitments of Total S.A. pursuant to the Credit Support Agreement, the Company is required to pay Total S.A. a guaranty fee for each letter of credit that is the subject of a Guaranty under the Credit Support Agreement and was outstanding for all or part of the preceding calendar quarter. The Credit Support Agreement will terminate following December 31, 2018, after the later of the satisfaction of all obligations thereunder and the termination or expiration of each Guaranty provided thereunder. Affiliation Agreement The Company and Total have entered into an Affiliation Agreement that governs the relationship between Total and the Company (the "Affiliation Agreement"). Until the expiration of a standstill period specified in the Affiliation Agreement (the "Standstill Period"), and subject to certain exceptions, Total, Total S.A., any of their respective affiliates and certain other related parties (collectively the "Total Group") may not effect, seek, or enter into discussions with any third-party regarding any transaction that would result in the Total Group beneficially owning shares of the Company in excess of certain thresholds, or request the Company or the Company's independent directors, officers or employees, to amend or waive any of the standstill restrictions applicable to the Total Group. The Affiliation Agreement imposes certain limitations on the Total Group's ability to seek to effect a tender offer or merger to acquire 100% of the outstanding voting power of the Company and imposes certain limitations on the Total Group's ability to transfer 40% or more of the outstanding shares or voting power of the Company to a single person or group that is not a direct or indirect subsidiary of Total S.A. During the Standstill Period, no member of the Total Group may, among other things, solicit proxies or become a participant in an election contest relating to the election of directors to the Company's Board of Directors. The Affiliation Agreement provides Total with the right to maintain its percentage ownership in connection with any new securities issued by the Company, and Total may also purchase shares on the open market or in private transactions with disinterested stockholders, subject in each case to certain restrictions. The Affiliation Agreement also imposes certain restrictions with respect to the Company's and its Board of Directors' ability to take certain actions, including specifying certain actions that require approval by the directors other than the directors appointed by Total and other actions that require stockholder approval by Total. Research & Collaboration Agreement Total and the Company have entered into a Research & Collaboration Agreement (the "R&D Agreement") that establishes a framework under which the parties engage in long-term research and development collaboration ("R&D Collaboration"). The R&D Collaboration encompasses a number of different projects, with a focus on advancing the Company's technology position in the crystalline silicon domain, as well as ensuring the Company's industrial competitiveness. The R&D Agreement enables a joint committee to identify, plan and manage the R&D Collaboration. Upfront Warrant In February 2012, the Company issued a warrant (the "Upfront Warrant") to Total S.A. to purchase 9,531,677 shares of the Company's common stock with an exercise price of $7.8685 , subject to adjustment for customary anti-dilution and other events. The Upfront Warrant, which is governed by the Private Placement Agreement and a Compensation and Funding Agreement, is exercisable at any time for seven years after its issuance, provided that, so long as at least $25.0 million in aggregate of the Company's convertible debt remains outstanding, such exercise will not cause "any person," including Total S.A., to, directly or indirectly, including through one or more wholly-owned subsidiaries, become the "beneficial owner" (as such terms are defined in Rule 13d-3 and Rule 13d-5 under the Securities Exchange Act of 1934, as amended), of more than 74.99% of the voting power of the Company's common stock at such time, a circumstance which would trigger the repurchase or conversion of the Company's existing convertible debt. 0.75% Debentures Due 2018 In May 2013, the Company issued $300.0 million in principal amount of its 0.75% senior convertible debentures due 2018 (the "0.75% debentures due 2018"). $200.0 million in aggregate principal amount of the 0.75% debentures due 2018 were acquired by Total. The 0.75% debentures due 2018 are convertible into shares of the Company's common stock at any time based on an initial conversion price equal to $24.95 per share, which provides Total the right to acquire up to 8,017,420 shares of the Company's common stock. The applicable conversion rate may adjust in certain circumstances, including a fundamental change, as described in the indenture governing the 0.75% debentures due 2018. 0.875% Debentures Due 2021 In June 2014, the Company issued $400.0 million in principal amount of its 0.875% senior convertible debentures due 2021 (the "0.875% debentures due 2021"). An aggregate principal amount of $250.0 million of the 0.875% debentures due 2021 were acquired by Total. The 0.875% debentures due 2021 are convertible into shares of the Company's common stock at any time based on an initial conversion price equal to $48.76 per share, which provides Total the right to acquire up to 5,126,775 shares of the Company's common stock. The applicable conversion rate may adjust in certain circumstances, including a fundamental change, as described in the indenture governing the 0.875% debentures due 2021. 4.00% Debentures Due 2023 In December 2015, the Company issued $425.0 million in principal amount of its 4.00% senior convertible debentures due 2023 (the "4.00% debentures due 2023"). An aggregate principal amount of $100.0 million of the 4.00% debentures due 2023 were acquired by Total. The 4.00% debentures due 2023 are convertible into shares of the Company's common stock at any time based on an initial conversion price equal to $30.53 per share, which provides Total the right to acquire up to 3,275,680 shares of the Company's common stock. The applicable conversion rate may adjust in certain circumstances, including a fundamental change, as described in the indenture governing the 4.00% debentures due 2023. Joint Projects with Total and its Affiliates: The Company enters into various EPC and O&M agreements relating to solar projects, including EPC and O&M services agreements relating to projects owned or partially owned by Total and its affiliates. As of July 3, 2016 , the Company had $13.3 million of "Costs and estimated earnings in excess of billings" and $1.4 million of "Accounts receivable, net" on its Consolidated Balance Sheets related to projects in which Total and its affiliates have a direct or indirect material interest. Related-Party Transactions with Total and its Affiliates: Three Months Ended Six Months Ended (In thousands) July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Revenue: EPC, O&M, and components revenue under joint projects $ 20,613 $ 2,208 $ 61,529 $ 2,963 Research and development expense: Offsetting contributions received under the R&D Agreement $ (421 ) $ (395 ) $ (421 ) $ (817 ) Interest expense: Guarantee fees incurred under the Credit Support Agreement $ 1,622 $ 2,272 $ 3,268 $ 4,998 Interest expense incurred on the 0.75% debentures due 2018 $ 375 $ 375 $ 750 $ 750 Interest expense incurred on the 0.875% debentures due 2021 $ 547 $ 547 $ 1,094 $ 1,094 Interest expense incurred on the 4.00% debentures due 2023 $ 1,000 n/a $ 2,000 n/a |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 6 Months Ended |
Jul. 03, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | GOODWILL AND OTHER INTANGIBLE ASSETS Goodwill The following table presents the changes in the carrying amount of goodwill under the Company's reportable business segments: (In thousands) Residential Commercial Power Plant Total As of January 3, 2016 $ 32,180 $ 10,314 $ 15,641 $ 58,135 Adjustments to goodwill — (570 ) — (570 ) As of July 3, 2016 $ 32,180 $ 9,744 $ 15,641 $ 57,565 Other Intangible Assets The following tables present details of the Company's acquired other intangible assets: (In thousands) Gross Accumulated Amortization Net As of July 3, 2016 Patents and purchased technology $ 48,619 $ (10,645 ) $ 37,974 Project pipeline assets 9,446 (902 ) 8,544 Purchased in-process research and development 3,700 (236 ) 3,464 Other 500 (500 ) — $ 62,265 $ (12,283 ) $ 49,982 As of January 3, 2016 Patents and purchased technology $ 53,499 $ (5,328 ) $ 48,171 Project pipeline assets 9,446 — 9,446 Purchased in-process research and development 3,700 — 3,700 Other 500 (375 ) 125 $ 67,145 $ (5,703 ) $ 61,442 During the three and six months ended July 3, 2016 , aggregate amortization expense for intangible assets totaled $3.2 million and $11.5 million , respectively. During the three and six months ended June 28, 2015 , aggregate amortization expense for intangible assets totaled $0.6 million and $1.1 million , respectively. As of July 3, 2016 , the estimated future amortization expense related to intangible assets with finite useful lives is as follows: (In thousands) Amount Fiscal Year 2016 (remaining six months) $ 9,676 2017 11,854 2018 12,014 2019 8,902 2020 6,317 $ 48,763 |
Balance Sheet Components
Balance Sheet Components | 6 Months Ended |
Jul. 03, 2016 | |
Balance Sheet Related Disclosures [Abstract] | |
Balance Sheet Components | BALANCE SHEET COMPONENTS As of (In thousands) July 3, 2016 January 3, 2016 Accounts receivable, net: Accounts receivable, gross 1,2 $ 232,688 $ 207,860 Less: allowance for doubtful accounts (19,274 ) (15,505 ) Less: allowance for sales returns (1,661 ) (1,907 ) $ 211,753 $ 190,448 1 Includes short-term financing receivables associated with solar power systems leased of $16.3 million and $12.5 million as of July 3, 2016 and January 3, 2016 , respectively (see Note 5 ). 2 Includes short-term retainage of $14.5 million and $11.8 million as of July 3, 2016 and January 3, 2016 , respectively. Retainage refers to the earned, but unbilled, portion of a construction and development project for which payment is deferred by the customer until certain contractual milestones are met. As of (In thousands) July 3, 2016 January 3, 2016 Inventories: Raw materials $ 164,244 $ 124,297 Work-in-process 139,022 131,258 Finished goods 164,648 126,835 $ 467,914 $ 382,390 As of (In thousands) July 3, 2016 January 3, 2016 Prepaid expenses and other current assets: Deferred project costs $ 78,149 $ 67,479 VAT receivables, current portion 10,574 14,697 Deferred costs for solar power systems to be leased 38,522 40,988 Derivative financial instruments 5,172 8,734 Prepaid inventory — 50,615 Other receivables 69,862 78,824 Prepaid taxes 70,116 71,529 Other prepaid expenses 34,141 26,651 Other current assets 80 — $ 306,616 $ 359,517 As of (In thousands) July 3, 2016 January 3, 2016 Project assets - plants and land: Project assets — plants $ 926,263 $ 479,108 Project assets — land 4,448 5,416 $ 930,711 $ 484,524 Project assets - plants and land, current portion $ 904,429 $ 479,452 Project assets - plants and land, net of current portion $ 26,282 $ 5,072 As of (In thousands) July 3, 2016 January 3, 2016 Property, plant and equipment, net: Manufacturing equipment 1 $ 665,567 $ 556,963 Land and buildings 32,134 32,090 Leasehold improvements 394,447 244,098 Solar power systems 2 151,735 141,075 Computer equipment 115,443 103,443 Furniture and fixtures 11,414 10,640 Construction-in-process 90,963 247,511 1,461,703 1,335,820 Less: accumulated depreciation (642,992 ) (604,590 ) $ 818,711 $ 731,230 1 The Company's mortgage loan agreement with International Finance Corporation ("IFC") is collateralized by certain manufacturing equipment with a net book value of $70.1 million and $85.1 million as of July 3, 2016 and January 3, 2016 , respectively. 2 Includes $120.1 million and $110.4 million of solar power systems associated with sale-leaseback transactions under the financing method as of July 3, 2016 and January 3, 2016 , respectively, which are depreciated using the straight-line method to their estimated residual values over the lease terms of up to 20 years (see Note 5 ). As of (In thousands) July 3, 2016 January 3, 2016 Property, plant and equipment, net by geography 1 : Philippines $ 516,961 $ 460,420 United States 219,312 201,419 Mexico 58,783 44,164 Europe 22,588 22,962 Other 1,067 2,265 $ 818,711 $ 731,230 1 Property, plant and equipment, net by geography is based on the physical location of the assets. As of (In thousands) July 3, 2016 January 3, 2016 Other long-term assets: Equity method investments $ 186,172 $ 186,405 Cost method investments 48,485 36,369 Other 82,438 75,201 $ 317,095 $ 297,975 As of (In thousands) July 3, 2016 January 3, 2016 Accrued liabilities: Employee compensation and employee benefits $ 57,974 $ 59,476 Deferred revenue 25,389 19,887 Short-term residential lease financing 19,783 7,395 Interest payable 15,318 8,165 Short-term warranty reserves 7,522 16,639 Restructuring reserve 1,065 1,823 VAT payables 6,243 4,225 Derivative financial instruments 10,522 2,316 Inventory payable — 50,615 Liability due to 8point3 Energy Partners — 9,952 Proceeds from 8point3 Energy Partners attributable to pre-COD projects 11,239 — Contributions from noncontrolling interests attributable to pre-COD projects 52,494 — Taxes payable 38,370 36,824 Other 127,955 96,180 $ 373,874 $ 313,497 As of (In thousands) July 3, 2016 January 3, 2016 Other long-term liabilities: Deferred revenue $ 179,321 $ 179,779 Long-term warranty reserves 157,262 147,488 Long-term sale-leaseback financing 138,871 125,286 Long-term residential lease financing with 8point3 Energy Partners 29,407 29,389 Unrecognized tax benefits 44,131 43,297 Long-term pension liability 13,703 12,014 Derivative financial instruments 1,962 1,033 Other 14,260 26,271 $ 578,917 $ 564,557 As of (In thousands) July 3, 2016 January 3, 2016 Accumulated other comprehensive loss: Cumulative translation adjustment $ (9,607 ) $ (11,164 ) Net unrealized gain (loss) on derivatives (939 ) 5,942 Net loss on long-term pension liability adjustment (2,055 ) (2,055 ) Deferred taxes — (746 ) $ (12,601 ) $ (8,023 ) |
Leasing
Leasing | 6 Months Ended |
Jul. 03, 2016 | |
Leases [Abstract] | |
Leasing | LEASING Residential Lease Program The Company offers a solar lease program, which provides U.S. residential customers with SunPower systems under 20 -year lease agreements that include system maintenance and warranty coverage. Leases are classified as either operating or sales-type leases in accordance with the relevant accounting guidelines. Operating Leases The following table summarizes "Solar power systems leased and to be leased, net" under operating leases on the Company's Consolidated Balance Sheets as of July 3, 2016 and January 3, 2016 : As of (In thousands) July 3, 2016 January 3, 2016 Solar power systems leased and to be leased, net 1,2 : Solar power systems leased $ 619,311 $ 543,358 Solar power systems to be leased 32,936 34,319 652,247 577,677 Less: accumulated depreciation (57,981 ) (46,157 ) $ 594,266 $ 531,520 1 Solar power systems leased and to be leased, net are physically located exclusively in the United States. 2 As of July 3, 2016 and January 3, 2016 , the Company had pledged solar assets with an aggregate book value of $95.3 million and zero , respectively, to third-party investors as security for the Company's contractual obligations. The following table presents the Company's minimum future rental receipts on operating leases placed in service as of July 3, 2016 : (In thousands) Fiscal 2016 (remaining six months) Fiscal 2017 Fiscal 2018 Fiscal 2019 Fiscal 2020 Thereafter Total Minimum future rentals on operating leases placed in service 1 $ 9,508 20,425 20,465 20,505 20,546 292,630 $ 384,079 1 Minimum future rentals on operating leases placed in service does not include contingent rentals that may be received from customers under agreements that include performance-based incentives nor does it include rent receivables on operating leases sold to the 8point3 Group. Sales-Type Leases As of July 3, 2016 and January 3, 2016 , the Company's net investment in sales-type leases presented in "Accounts receivable, net" and "Long-term financing receivables, net" on the Company's Consolidated Balance Sheets was as follows: As of (In thousands) July 3, 2016 January 3, 2016 Financing receivables 1 : Minimum lease payments receivable 2 $ 474,023 $ 366,759 Unguaranteed residual value 61,516 50,722 Unearned income (89,362 ) (70,155 ) Net financing receivables $ 446,177 $ 347,326 Current $ 16,267 $ 12,535 Long-term $ 429,910 $ 334,791 1 As of July 3, 2016 and January 3, 2016 , the Company had pledged financing receivables of $99.2 million and zero , respectively, to third-party investors as security for the Company's contractual obligations. 2 Net of allowance for doubtful accounts. As of July 3, 2016 , future maturities of net financing receivables for sales-type leases are as follows: (In thousands) Fiscal 2016 (remaining six months) Fiscal 2017 Fiscal 2018 Fiscal 2019 Fiscal 2020 Thereafter Total Scheduled maturities of minimum lease payments receivable 1 $ 11,956 23,599 23,794 23,997 24,205 366,472 $ 474,023 1 Minimum future rentals on sales-type leases placed in service does not include contingent rentals that may be received from customers under agreements that include performance-based incentives. Sale-Leaseback Arrangements The Company enters into sale-leaseback arrangements under which solar power systems are sold to third parties and subsequently leased back by the Company over minimum lease terms of up to 25 years . Separately, the Company enters into PPAs with end customers, who host the leased solar power systems and buy the electricity directly from the Company under PPAs with terms of up to 25 years . At the end of the lease term, the Company has the option to purchase the systems at fair value or may be required to remove the systems and return them to the third parties. The Company has classified its sale-leaseback arrangements of solar power systems not involving integral equipment as operating leases. The deferred profit on the sale of these systems is recognized over the term of the lease. As of July 3, 2016 , future minimum lease obligations associated with these systems were $82.2 million , which will be recognized over the minimum lease terms. Future minimum payments to be received from customers under PPAs associated with the solar power systems under sale-leaseback arrangements classified as operating leases will be recognized over the lease terms of up to 20 years and are contingent upon the amounts of energy produced by the solar power systems. The Company enters into certain sale-leaseback arrangements under which the systems subject to the sale-leaseback arrangements have been determined to be integral equipment as defined under the accounting guidance for such transactions. The Company has continuing involvement with the solar power systems throughout the lease due to purchase option rights in the arrangements. As a result of such continuing involvement, the Company accounts for each of these transactions as a financing. Under the financing method, the proceeds received from the sale of the solar power systems are recorded by the Company as financing liabilities. The financing liabilities are subsequently reduced by the Company's payments to lease back the solar power systems, less interest expense calculated based on the Company's incremental borrowing rate adjusted to the rate required to prevent negative amortization. The solar power systems under the sale-leaseback arrangements remain on the Company's balance sheet and are classified within "Property, plant and equipment, net" (see Note 4 ). As of July 3, 2016 , future minimum lease obligations for the sale-leaseback arrangements accounted for under the financing method were $116.7 million , which will be recognized over the lease terms of up to 25 years. During both the three and six months ended July 3, 2016 , the Company had net financing proceeds of $15.7 million , in connection with these sale-leaseback arrangements. During the three and six months ended June 28, 2015 the Company had net financing proceeds of $14.3 million and $15.0 million , respectively, in connection with these sale-leaseback arrangements. As of July 3, 2016 and January 3, 2016 the carrying amount of the sale-leaseback financing liabilities, presented in "Other long-term liabilities" on the Company's Consolidated Balance Sheets, was $138.9 million and $125.3 million , respectively (see Note 4 ). |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jul. 03, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | FAIR VALUE MEASUREMENTS Fair value is estimated by applying the following hierarchy, which prioritizes the inputs used to measure fair value into three levels and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement (observable inputs are the preferred basis of valuation): • Level 1 — Quoted prices in active markets for identical assets or liabilities. • Level 2 — Measurements are inputs that are observable for assets or liabilities, either directly or indirectly, other than quoted prices included within Level 1. • Level 3 — Prices or valuations that require management inputs that are both significant to the fair value measurement and unobservable. Assets and Liabilities Measured at Fair Value on a Recurring Basis The Company measures certain assets and liabilities at fair value on a recurring basis. There were no transfers between fair value measurement levels during any presented period. The Company did not have any assets or liabilities measured at fair value on a recurring basis requiring Level 3 inputs as of July 3, 2016 or January 3, 2016 . The following table summarizes the Company's assets and liabilities measured and recorded at fair value on a recurring basis as of July 3, 2016 and January 3, 2016 : July 3, 2016 January 3, 2016 (In thousands) Total Level 1 Level 2 Total Level 1 Level 2 Assets Cash and cash equivalents 1 : Money market funds $ 112,624 $ 112,624 $ — $ 540,000 $ 540,000 $ — Prepaid expenses and other current assets: Derivative financial instruments (Note 11) 5,172 — 5,172 8,734 — 8,734 Other long-term assets: Derivative financial instruments (Note 11) 474 — 474 — — — Total assets $ 118,270 $ 112,624 $ 5,646 $ 548,734 $ 540,000 $ 8,734 Liabilities Accrued liabilities: Derivative financial instruments (Note 11) 10,522 — 10,522 2,316 — 2,316 Other long-term liabilities: Derivative financial instruments (Note 11) 1,962 — 1,962 1,033 — 1,033 Total liabilities $ 12,484 $ — $ 12,484 $ 3,349 $ — $ 3,349 1 The Company's cash equivalents consist of money market fund instruments and commercial paper that are classified as available-for-sale and are highly liquid investments with original maturities of 90 days or less. The Company's money market fund instruments are categorized within Level 1 of the fair value hierarchy because they are valued using quoted market prices for identical instruments in active markets. Other financial instruments, including the Company's accounts receivable, accounts payable and accrued liabilities, are carried at cost, which generally approximates fair value due to the short-term nature of these instruments. Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis The Company measures certain investments and non-financial assets (including property, plant and equipment, and other intangible assets) at fair value on a non-recurring basis in periods after initial measurement in circumstances when the fair value of such asset is impaired below its recorded cost. Held-to-Maturity Debt Securities The Company's debt securities, classified as held-to-maturity, are Philippine government bonds that the Company maintains as collateral for business transactions within the Philippines. These bonds have various maturity dates and are classified as "Restricted long-term marketable securities" on the Company's Consolidated Balance Sheets. As of July 3, 2016 and January 3, 2016 these bonds had a carrying value of $6.4 million and $6.5 million , respectively. The Company records such held-to-maturity investments at amortized cost based on its ability and intent to hold the securities until maturity. The Company monitors for changes in circumstances and events that would affect its ability and intent to hold such securities until the recorded amortized costs are recovered. No other-than-temporary impairment loss was incurred during any presented period. The held-to-maturity debt securities were categorized in Level 2 of the fair value hierarchy. Equity and Cost Method Investments The Company holds equity investments in non-consolidated entities that are accounted for under both the equity and cost method. The Company monitors these investments, which are included in "Other long-term assets" in its Consolidated Balance Sheets, for impairment and records reductions in the carrying values when necessary. Circumstances that indicate an other-than-temporary decline include Level 2 and Level 3 measurements such as the valuation ascribed to the issuing company in subsequent financing rounds, decreases in quoted market prices, and declines in the results of operations of the issuer. As of July 3, 2016 and January 3, 2016 , the Company had $186.2 million and $186.4 million , respectively, in investments accounted for under the equity method (see Note 9 ). As of July 3, 2016 and January 3, 2016 , the Company had $48.5 million and $36.4 million respectively, in investments accounted for under the cost method. |
Restructuring
Restructuring | 6 Months Ended |
Jul. 03, 2016 | |
Restructuring and Related Activities [Abstract] | |
Restructuring | RESTRUCTURING During fiscal 2011, 2012 and 2014, the Company implemented approved restructuring plans, related to all segments, to align with changes in the global solar market which included the consolidation of the Company's Philippine manufacturing operations as well as actions to accelerate operating cost reduction and improve overall operating efficiency. These restructuring activities were substantially complete as of July 3, 2016 ; however, the Company expects to continue to incur costs as it finalizes previous estimates and actions in connection with these plans, primarily due to other costs, such as legal services. The following table summarizes the restructuring charges recognized in the Company's Consolidated Statements of Operations: Six Months Ended (In thousands) July 3, 2016 June 28, 2015 Cumulative To Date Non-cash impairment charges $ — $ 5 $ 61,320 Severance and benefits 350 3,178 61,949 Lease and related termination costs (280 ) — 6,704 Other costs 1 143 2,147 13,680 Total restructuring charges $ 213 $ 5,330 $ 143,653 1 Other costs primarily represent associated legal services and costs of relocating employees. The following table summarizes the restructuring reserve activity during the six months ended July 3, 2016 : Six Months Ended (In thousands) January 3, 2016 Charges (Benefits) Payments July 3, 2016 Severance and benefits $ 395 $ 350 $ (157 ) $ 588 Lease and related termination costs 743 (280 ) (203 ) 260 Other costs 1 685 143 (611 ) 217 Total restructuring liability $ 1,823 $ 213 $ (971 ) $ 1,065 1 Other costs primarily represent associated legal services and costs of relocating employees. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jul. 03, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIES Facility and Equipment Lease Commitments The Company leases certain facilities under non-cancellable operating leases from unaffiliated third parties. As of July 3, 2016 , future minimum lease payments for facilities under operating leases were $44.9 million , to be paid over the remaining contractual terms of up to 8 years . The Company also leases certain buildings, machinery and equipment under non-cancellable capital leases. As of July 3, 2016 , future minimum lease payments for assets under capital leases were $5.3 million , to be paid over the remaining contractual terms of up to 7 years . Purchase Commitments The Company purchases raw materials for inventory and manufacturing equipment from a variety of vendors. During the normal course of business, in order to manage manufacturing lead times and help assure adequate supply, the Company enters into agreements with contract manufacturers and suppliers that either allow them to procure goods and services based on specifications defined by the Company, or that establish parameters defining the Company's requirements. In certain instances, these agreements allow the Company the option to cancel, reschedule or adjust the Company's requirements based on its business needs before firm orders are placed. Consequently, not all of the Company's disclosed purchase commitments arising from these agreements are firm, non-cancellable, and unconditional commitments. The Company also has agreements with several suppliers, including some of its non-consolidated investees, for the procurement of polysilicon, ingots, wafers, and Solar Renewable Energy Credits, among others, which specify future quantities and pricing of products to be supplied by the vendors for periods up to 8 years and provide for certain consequences, such as forfeiture of advanced deposits and liquidated damages relating to previous purchases, in the event that the Company terminates the arrangements. Future purchase obligations under non-cancellable purchase orders and long-term supply agreements as of July 3, 2016 are as follows: (In thousands) Fiscal 2016 (remaining six months) Fiscal 2017 Fiscal 2018 Fiscal 2019 Fiscal 2020 Thereafter Total 1,2 Future purchase obligations $ 763,595 354,224 200,165 175,730 161,847 3,000 $ 1,658,561 1 Total future purchase obligations as of July 3, 2016 include $206.3 million to related parties. 2 Total future purchase obligations were composed of $244.9 million related to non-cancellable purchase orders and $1.4 billion related to long-term supply agreements. The Company expects that all obligations related to non-cancellable purchase orders for manufacturing equipment will be recovered through future cash flows of the solar cell manufacturing lines and solar panel assembly lines when such long-lived assets are placed in service. Factors considered important that could result in an impairment review include significant under-performance relative to expected historical or projected future operating results, significant changes in the manner of use of acquired assets, and significant negative industry or economic trends. Obligations related to non-cancellable purchase orders for inventories match current and forecasted sales orders that will consume these ordered materials and actual consumption of these ordered materials are compared to expected demand regularly. The Company anticipates total obligations related to long-term supply agreements for inventories will be recovered because quantities are less than management's expected demand for its solar power products. The terms of the long-term supply agreements are reviewed by management and the Company assesses the need for any accruals for estimated losses on adverse purchase commitments, such as lower of cost or market value adjustments that will not be recovered by future sales prices, forfeiture of advanced deposits and liquidated damages, as necessary. Advances to Suppliers As noted above, the Company has entered into agreements with various vendors, some of which are structured as "take or pay" contracts, that specify future quantities and pricing of products to be supplied. Certain agreements also provide for penalties or forfeiture of advanced deposits in the event the Company terminates the arrangements. Under certain agreements, the Company was required to make prepayments to the vendors over the terms of the arrangements. As of July 3, 2016 and January 3, 2016 , advances to suppliers totaled $318.5 million and $359.1 million , respectively, of which $72.1 million and $85.0 million , respectively, is classified as short-term in the Company's Consolidated Balance Sheets. Two suppliers accounted for 85% and 15% of total advances to suppliers, respectively, as of July 3, 2016 , and 82% and 16% , respectively, as of January 3, 2016 . Advances from Customers The Company has entered into other agreements with customers who have made advance payments for solar power products and systems. These advances will be applied as shipments of product occur or upon completion of certain project milestones. The estimated utilization of advances from customers as of July 3, 2016 is as follows: (In thousands) Fiscal 2016 (remaining six months) Fiscal 2017 Fiscal 2018 Fiscal 2019 Fiscal 2020 Thereafter Total Estimated utilization of advances from customers $ 13,621 41,442 27,039 28,842 43,263 — $ 154,207 In fiscal 2010, the Company and its joint venture, AUO SunPower Sdn. Bhd. ("AUOSP"), entered into an agreement under which the Company resells to AUOSP polysilicon purchased from a third-party supplier. Advance payments provided by AUOSP related to such polysilicon are then made by the Company to the third-party supplier. These advance payments are applied as a credit against AUOSP’s polysilicon purchases from the Company. Such polysilicon is used by AUOSP to manufacture solar cells that are sold to the Company on a "cost-plus" basis. The outstanding advance payments received from AUOSP are included in the table above and as of July 3, 2016 and January 3, 2016 , totaled $137.5 million and $148.9 million , respectively, of which $24.8 million and $22.7 million , respectively, was classified as short-term in the Company's Consolidated Balance Sheets, based on projected product shipment dates. Product Warranties The following table summarizes accrued warranty activity for the three and six months ended July 3, 2016 and June 28, 2015 , respectively: Three Months Ended Six Months Ended (In thousands) July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Balance at the beginning of the period $ 166,440 $ 154,098 $ 164,127 $ 154,648 Accruals for warranties issued during the period 3,235 4,181 9,114 12,342 Settlements and adjustments during the period (4,891 ) (1,748 ) (8,457 ) (10,459 ) Balance at the end of the period $ 164,784 $ 156,531 $ 164,784 $ 156,531 Contingent Obligations Project agreements entered into with the Company's Commercial and Power Plant customers often require the Company to undertake obligations including: (i) system output performance warranties; (ii) system maintenance; (iii) penalty payments or customer termination rights if the system the Company is constructing is not commissioned within specified timeframes or other milestones are not achieved; and (iv) system put-rights whereby the Company could be required to buy back a customer's system at fair value on specified future dates if certain minimum performance thresholds are not met for specified periods. Historically, the Company's systems have performed significantly above the performance warranty thresholds, and there have been no cases in which the Company has had to buy back a system. Future Financing Commitments The Company is required to provide certain funding under the joint venture agreement with AU Optronics Singapore Pte. Ltd. ("AUO") and other unconsolidated investees, subject to certain conditions (see Note 9 ). As of July 3, 2016 , the Company's financing obligations related to these agreements are as follows: (In thousands) Amount Year 2016 (remaining six months) $ 176,742 2017 2,366 $ 179,108 Liabilities Associated with Uncertain Tax Positions Total liabilities associated with uncertain tax positions were $44.1 million and $43.3 million as of July 3, 2016 and January 3, 2016 , respectively. These amounts are included in "Other long-term liabilities" in the Company's Consolidated Balance Sheets in their respective periods as they are not expected to be paid within the next 12 months. Due to the complexity and uncertainty associated with its tax positions, the Company cannot make a reasonably reliable estimate of the period in which cash settlement, if any, would be made for its liabilities associated with uncertain tax positions in other long-term liabilities. Indemnifications The Company is a party to a variety of agreements under which it may be obligated to indemnify the counterparty with respect to certain matters. Typically, these obligations arise in connection with contracts and license agreements or the sale of assets, under which the Company customarily agrees to hold the other party harmless against losses arising from a breach of warranties, representations and covenants related to such matters as title to assets sold, negligent acts, damage to property, validity of certain intellectual property rights, non-infringement of third-party rights, and certain tax related matters including indemnification to customers under §48(c) solar commercial investment tax credit ("ITC") and U.S. Treasury Department ("Treasury Department") grant payments under Section 1603 of the American Recovery and Reinvestment Act (each a "Cash Grant"). In each of these circumstances, payment by the Company is typically subject to the other party making a claim to the Company that is contemplated by and valid under the indemnification provisions of the particular contract, which provisions are typically contract-specific, as well as bringing the claim under the procedures specified in the particular contract. These procedures usually allow the Company to challenge the other party's claims or, in case of breach of intellectual property representations or covenants, to control the defense or settlement of any third party claims brought against the other party. Further, the Company's obligations under these agreements may be limited in terms of activity (typically to replace or correct the products or terminate the agreement with a refund to the other party), duration and/or amounts. In some instances, the Company may have recourse against third parties and/or insurance covering certain payments made by the Company. In certain circumstances, the Company has provided indemnification to customers and investors under which the Company is contractually obligated to compensate these parties for losses they may suffer as a result of reductions in benefits received under ITC and Treasury Cash Grant programs. The Company applies for ITC and Cash Grant incentives based on guidance provided by the Internal Revenue Service ("IRS") and the Treasury Department, which include assumptions regarding the fair value of the qualified solar power systems, among others. Certain of the Company’s development agreements, sale-leaseback arrangements, and financing arrangements with tax equity investors, incorporate assumptions regarding the future level of incentives to be received, which in some instances may be claimed directly by its customers and investors. Generally, such obligations would arise as a result of reductions to the value of the underlying solar power systems as assessed by the IRS. At each balance sheet date, the Company assesses and recognizes, when applicable, the potential exposure from these obligations based on all the information available at that time, including any audits undertaken by the IRS. The maximum potential future payments that the Company could have to make under this obligation would depend on the difference between the eligible basis claimed on the tax filing for the solar energy systems sold or transferred to indemnified parties and the values that the IRS may redetermine as the eligible basis for the systems for purposes of claiming ITCs or U.S. Treasury grants. The Company uses the eligible basis for tax filing purposes determined with the assistance of independent third-party appraisals to determine the ITCs that are passed-through to and claimed by the indemnified parties. Since the Company cannot determine future revisions to Treasury Department guidelines governing system values, how the IRS will evaluate system values used in claiming ITCs, or U.S. Treasury grants, or how its customers and investors have utilized these benefits in their own filings, the Company is unable to reliably estimate the maximum potential future payments that it could have to make under the Company’s contractual investor obligation as of each reporting date. Defined Benefit Pension Plans The Company maintains defined benefit pension plans for the majority of its non-U.S. employees. Benefits under these plans are generally based on an employee’s years of service and compensation. Funding requirements are determined on an individual country and plan basis and are subject to local country practices and market circumstances. The funded status of the pension plans, which represents the difference between the benefit obligation and fair value of plan assets, is calculated on a plan-by-plan basis. The benefit obligation and related funded status are determined using assumptions as of the end of each fiscal year. The Company recognizes the overfunded or underfunded status of its pension plans as an asset or liability on its Consolidated Balance Sheets. As of July 3, 2016 and January 3, 2016 , the underfunded status of the Company’s pension plans, presented in "Other long-term liabilities" on the Company’s Consolidated Balance Sheets, was $13.7 million and $12.0 million , respectively. The impact of transition assets and obligations and actuarial gains and losses are recorded in "Accumulated other comprehensive loss", and are generally amortized as a component of net periodic cost over the average remaining service period of participating employees. Total other comprehensive gain related to the Company’s benefit plans was zero for the three and six months ended July 3, 2016 . Legal Matters Tax Benefit Indemnification Litigation On March 19, 2014, a lawsuit was filed by NRG Solar LLC, now known as NRG Renew LLC (“NRG”), against SunPower Corporation, Systems, a wholly-owned subsidiary of the Company (“SunPower Systems”), in the Superior Court of Contra Costa County, California. The complaint asserts that, according to the indemnification provisions in the contract pertaining to SunPower Systems’ sale of a large California solar project to NRG, SunPower Systems owes NRG $75.0 million in connection with certain tax benefits associated with the project that were approved by the Treasury Department for an amount that was less than expected. The Company does not believe that the facts support NRG’s claim under the operative indemnification provisions and is vigorously contesting the claim. Additionally, SunPower Systems filed a cross-complaint against NRG seeking damages in excess of $7.5 million for breach of contract and related claims arising from NRG’s failure to fulfill its obligations under the contract, including its obligation to take “reasonable, available steps” to engage the Treasury Department. The Company is currently unable to determine if the resolution of this matter will have a material effect on the Company's consolidated financial statements. First Philec Arbitration On January 28, 2015, an arbitral tribunal of the International Court of Arbitration of the International Chamber of Commerce issued a first partial award in the matter of an arbitration between First Philippine Electric Corporation ("FPEC") and First Philippine Solar Corporation ("FPSC") against SunPower Philippines Manufacturing, Ltd. ("SPML"), our wholly-owned subsidiary. FPSC was a joint venture of FPEC and SPML for the purpose of slicing silicon wafers from ingots. The tribunal found SPML in breach of its obligations under its supply agreement with FPSC, and in breach of its joint venture agreement with FPEC. In its first partial award, the tribunal ordered that (i) SPML must purchase FPEC’s interests in FPSC for an aggregate of $30.3 million , and (ii) after completing the purchase of FPEC’s controlling interest in FPSC, SPML must pay FPSC damages in the amount of $25.2 million . The arbitral tribunal issued its second partial award dated July 14, 2015, which ordered that (i) the price payable by SPML to FPEC for its interests in FPSC be reduced from $30.3 million to $23.2 million , (ii) FPEC’s request for interest is refused, and (iii) the payment and transfer of shares between FPEC and SPML is to take place in accordance with the procedure agreed between the parties. The tribunal issued its final award dated September 30, 2015, which ordered that (i) each side should bear its own costs and attorneys' fees, and (ii) the arbitration costs should be split between the parties evenly. SPML had filed a challenge to both the first and second partial awards, as well as the final award, with the High Court in Hong Kong. SPML had also filed applications to the Court in the Philippines to: (i) prevent FPSC or FPEC from enforcing the awards pending the outcome of the challenge in Hong Kong; and (ii) gain access to FPSC’s books and records. The application for access was granted, and the application to prevent enforcement of the award had not been ruled on as of July 3, 2016 . On July 22, 2016, SPML entered into an agreement (the “Compromise Agreement”) with FPEC and FPSC to settle all claims, counterclaims, disputes, and proceedings between FPEC and FPSC on the one hand, and SPML on the other hand. The parties have filed the appropriate Consent Orders and motions in order to discontinue, terminate, or dismiss (as the case may be) all the legal proceedings that are pending between them in Hong Kong and in the Philippines. Pursuant to the terms of the Compromise Agreement, on July 22, 2016, SPML paid a total of $50.5 million to FPSC and FPEC in settlement of all claims between the parties. Also pursuant to the Compromise Agreement, SPML will transfer all of its shares in FPSC to FPEC. As of July 3, 2016 , the Company recorded an accrual of $50.5 million related to this matter. AUO Arbitration On April 17, 2015, SunPower Technology Ltd. ("SPTL"), a wholly-owned subsidiary, commenced an arbitration before the ICC International Court of Arbitration against AUO and AU Optronics Corporation, the ultimate parent company of AUO ("AUO Corp.," and together with AUO, the “AUO Group”), for breaches of the AUOSP Joint Venture Agreement and associated agreements (the "JVA"). SPTL’s claim alleges that, among other things, the AUO Group has sold solar modules containing cells manufactured by AUOSP in violation of provisions in the JVA that set geographical restrictions on sales activities as well as provisions that restrict each party’s use of the other’s confidential information. SPTL seeks approximately $23.0 million in damages, as well as the right to purchase AUO's shares in SPTL at 70% of “fair market value” determined as provided under the JVA. On June 23, 2015, the AUO Group filed and served its formal Memorial of Claim and Counterclaims against SPTL and the Company (collectively, the "SunPower Group"). In its counterclaim, the AUO Group alleges breach of contract, breach of covenant of good faith and fair dealing, several tort causes of action, and improper use of the AUO Group’s proprietary manufacturing expertise. The AUO Group seeks $20.0 million in lost profits and $48.0 million in disgorgement from the SunPower Group, and an order requiring SPTL to purchase AUO’s shares in SPTL at 150% of “fair market value” determined as provided under the JVA. The hearing for the arbitration has not been set. Depending upon the outcome of this matter and other related factors, it is possible that SPTL's investment in AUOSP may not be fully recoverable. Based on the significant uncertainties that currently exist, the Company is currently unable to determine whether the resolution of this matter will have a material effect on the Company’s consolidated financial statements. Other Litigation The Company is also a party to various other litigation matters and claims that arise from time to time in the ordinary course of its business. While the Company believes that the ultimate outcome of such matters will not have a material adverse effect on the Company, their outcomes are not determinable and negative outcomes may adversely affect the Company's financial position, liquidity or results of operations. |
Equity Method Investments
Equity Method Investments | 6 Months Ended |
Jul. 03, 2016 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity Method Investments | EQUITY METHOD INVESTMENTS As of July 3, 2016 and January 3, 2016 , the Company's carrying value of its equity method investments totaled $186.2 million and $186.4 million , respectively, and is classified as "Other long-term assets" in its Consolidated Balance Sheets. The Company's share of its earnings (loss) from equity method investments is reflected as "Equity in earnings of unconsolidated investees" in its Consolidated Statements of Operations. Equity Investment and Joint Venture with AUOSP In fiscal 2010, the Company, AUO and AUO Corp. formed the joint venture AUOSP. The Company and AUO each own 50% of AUOSP. AUOSP owns a solar cell manufacturing facility in Malaysia and manufactures solar cells and sells them on a "cost-plus" basis to the Company and AUO. In connection with the joint venture agreement, the Company and AUO also entered into licensing and joint development, supply, and other ancillary transaction agreements. Through the licensing agreement, the Company and AUO licensed to AUOSP, on a non-exclusive, royalty-free basis, certain background intellectual property related to solar cell manufacturing (in the case of the Company) and manufacturing processes (in the case of AUO). Under the seven-year supply agreement with AUOSP, renewable by the Company for one-year periods thereafter, the Company is committed to purchase 80% of AUOSP's total annual output allocated on a monthly basis to the Company. The Company and AUO have the right to reallocate supplies from time to time under a written agreement. In fiscal 2010, the Company and AUOSP entered into an agreement under which the Company will resell to AUOSP polysilicon purchased from a third-party supplier and AUOSP will provide prepayments to the Company related to such polysilicon, which prepayment will then be made by the Company to the third-party supplier. The Company and AUO are not permitted to transfer any of AUOSP's shares held by them, except to each other. The Company and AUO agreed to each contribute additional amounts through fiscal 2016 amounting to $169.0 million , or such lesser amount as the parties may mutually agree. In addition, if AUOSP, the Company or AUO requests additional equity financing to AUOSP, then the Company and AUO will each be required to make additional cash contributions of up to $50.0 million in the aggregate. The Company has concluded that it is not the primary beneficiary of AUOSP since, although the Company and AUO are both obligated to absorb losses or have the right to receive benefits, the Company alone does not have the power to direct the activities of AUOSP that most significantly impact its economic performance. In making this determination the Company considered the shared power arrangement, including equal board governance for significant decisions, elective appointment, and the fact that both parties contribute to the activities that most significantly impact the joint venture's economic performance. The Company accounts for its investment in AUOSP using the equity method as a result of the shared power arrangement. As of July 3, 2016 , the Company's maximum exposure to loss as a result of its equity investment in AUOSP is limited to the carrying value of the investment. As of July 3, 2016 and January 3, 2016 , the Company's investment in AUOSP had a carrying value of $208.2 million and $202.3 million , respectively. Equity Investment in Huaxia CPV (Inner Mongolia) Power Co., Ltd. ("CCPV") In December 2012, the Company entered into an agreement with Tianjin Zhonghuan Semiconductor Co. Ltd., Inner Mongolia Power Group Co. Ltd. and Hohhot Jinqiao City Development Company Co., Ltd. to form CCPV, a jointly owned entity to manufacture and deploy the Company's LCPV concentrator technology in Inner Mongolia and other regions in China. CCPV is based in Hohhot, Inner Mongolia. The establishment of the entity was subject to approval of the Chinese government, which was received in the fourth quarter of fiscal 2013. In December 2013, the Company made a $16.4 million equity investment in CCPV, for a 25% equity ownership. The Company has concluded that it is not the primary beneficiary of CCPV since, although the Company is obligated to absorb losses and has the right to receive benefits, the Company alone does not have the power to direct the activities of CCPV that most significantly impact its economic performance. The Company accounts for its investment in CCPV using the equity method since the Company is able to exercise significant influence over CCPV due to its board position. Equity Investment in Diamond Energy Pty Ltd. ("Diamond Energy") In October 2012, the Company made a $3.0 million equity investment in Diamond Energy, an alternative energy project developer and clean electricity retailer headquartered in Melbourne, Australia, in exchange for a 25% equity ownership. The Company has concluded that it is not the primary beneficiary of Diamond Energy since, although the Company is obligated to absorb losses and has the right to receive benefits, the Company alone does not have the power to direct the activities of Diamond that most significantly impact its economic performance. The Company accounts for its investment in Diamond using the equity method since the Company is able to exercise significant influence over Diamond due to its board position. Equity Investment in 8point3 Energy Partners In June 2015, 8point3 Energy Partners, a joint YieldCo vehicle formed by the Company and First Solar, Inc. ("First Solar" and, together with the Company, the "Sponsors") to own, operate and acquire solar energy generation assets, consummated its initial public offering ("IPO") and its Class A shares are now listed on the NASDAQ Global Select Market under the trading symbol “CAFD”. Immediately after the IPO, the Company contributed a portfolio of solar generation assets (the "SPWR Projects") to 8point3 Operating Company, LLC ("OpCo"), 8point3 Energy Partners' primary operating subsidiary. In exchange for the SPWR Projects, the Company received cash proceeds of $371 million as well as equity interests in several 8point3 Energy Partners affiliated entities: primarily common and subordinated units representing a 40.7% stake in OpCo and a 50.0% economic and management stake in 8point3 Holding Company, LLC (“Holdings”), the parent company of the general partner of 8point3 Energy Partners and the owner of incentive distribution rights (“IDRs”) in OpCo. Holdings, OpCo, 8point3 Energy Partners and their respective subsidiaries are referred to herein as the “8point3 Group.” Additionally, pursuant to a Right of First Offer Agreement between the Company and OpCo, the 8point3 Group has rights of first offer on interests in an additional portfolio of the Company’s solar energy projects that are currently contracted or are expected to be contracted before being sold by the Company to other parties (the “ROFO Projects”). In connection with the IPO, the Company also entered into O&M, asset management and management services agreements with the 8point3 Group. The services the Company provides under these agreements are priced consistently with market rates for such services and the agreements are terminable by the 8point3 Group for convenience. The Company has concluded that it is not the primary beneficiary of the 8point3 Group or any of its individual subsidiaries since, although the Sponsors are both obligated to absorb losses or have the right to receive benefits, the Company alone does not have the power to direct the activities of the 8point3 Group that most significantly impact its economic performance. In making this determination the Company considered, among other factors, the equal division between the Sponsors of management rights in the 8point3 Group and the corresponding equal influence over its significant decisions, the role and influence of the independent directors on the board of directors of the general partner of 8point3 Energy Partners, and how both Sponsors contribute to the activities that most significantly impact the 8point3 Group's economic performance. The Company accounts for its investment in the 8point3 Group using the equity method because the Company determined that, notwithstanding the division of management and ownership interests between the Sponsors, the Company exercises significant influence over the operations of the 8point3 Group. Future quarterly distributions from OpCo are subject to certain forbearance and subordination periods. During the forbearance period, the Sponsors have agreed to forego any distributions declared on their common and subordinated units. The forbearance period will end when, on or after March 1, 2016, the board of directors of the general partner of 8point3 Energy Partners, with the concurrence of its conflicts committee, determines that OpCo will be able to earn and pay at least the minimum quarterly distribution on each of its outstanding common and subordinated units for such quarter and the successive quarter. As of July 3, 2016 , the forbearance period remained in effect. During the subordination period, holders of the subordinated units are not entitled to receive any distributions until the common units have received their minimum quarterly distribution plus any arrearages in the payment of minimum distributions from prior quarters. Approximately 70% of the Company’s OpCo units are subject to subordination. The subordination period will end after OpCo has earned and paid minimum quarterly distributions for three years ending on or after August 31, 2018 and there are no outstanding arrearages on common units. Notwithstanding the foregoing, the subordination period could end after OpCo has earned and paid 150% of minimum quarterly distributions, plus the related distribution on the incentive distribution rights, for one year ending on or after August 31, 2016 and there are no outstanding arrearages on common units. At the end of the subordination period, all subordinated units will convert to common units on a one-for-one basis. The Company also, through its interests in Holdings, holds IDRs in OpCo, which represent rights to incremental distributions after certain distribution thresholds are met. In June 2015, OpCo entered into a $525.0 million senior secured credit facility, consisting of a $300.0 million term loan facility, a $25.0 million delayed draw term loan facility, and a $200.0 million revolving credit facility (the “8point3 Credit Facility”). Proceeds from the term loan were used to make initial distributions to the Sponsors. The 8point3 Credit Facility is secured by a pledge of the Sponsors’ equity interests in OpCo. Under relevant guidance for leasing transactions, the Company treated the portion of the sale of the residential lease portfolio originally sold to the 8point3 Group in connection with the IPO transaction, composed of operating leases and unguaranteed sales-type lease residual values, as a borrowing and reflected the cash proceeds attributable to this portion of the residential lease portfolio as liabilities recorded within “Accrued liabilities” and “Other long-term liabilities” in the Consolidated Balance Sheets (see Note 4 ). As of July 3, 2016 and January 3, 2016 the operating leases and the unguaranteed sales-type lease residual values which were sold to the 8point3 Group had an aggregate carrying value of $76 million and $78 million , respectively, on the Company's Consolidated Balance Sheets. During the first quarter of fiscal 2016, the Company sold its first two ROFO Projects to 8point3 Energy Partners, comprised of the 60 MW Hooper utility-scale power plant in Colorado and a 20 MW commercial project. The Company accounted for the sale of Hooper as a partial sale of real estate and recognized revenue equal to its total project costs. No profit on the sale of Hooper was recognized as unconditional cash proceeds did not exceed total project costs, and the derecognition resulted in a net $8.7 million reduction in the carrying value of the Company’s investments in the 8point3 Group. The remaining project has not yet reached its commercial operations date and therefore, the Company continues to record the project on its Consolidated Balance Sheet as of July 3, 2016 . Please refer to the treatment outlined in "Item 1. Financial Statements—Notes to Consolidated Financial Statements—Note 3. 8point3 Energy Partners LP" in our Annual Report on Form 10-K for the fiscal year ended January 3, 2016 for further information related to the Company's accounting for transactions with the 8point3 Group. The net cash proceeds from the sales of these projects to the 8point3 Group as well as related proceeds from tax equity investors were classified as operating cash inflows in the Consolidated Statement of Cash Flows. As of July 3, 2016 and January 3, 2016 , the Company's investment in the 8point3 Group had a negative carrying value of $34.2 million and $30.9 million , respectively, resulting from the continued deferral of profit recognition for projects sold to the 8point3 Group that included the sale or lease of real estate. Related-Party Transactions with Investees: As of (In thousands) July 3, 2016 January 3, 2016 Accounts receivable $ 18,071 $ 32,389 Other long-term assets $ 1,497 $ 1,455 Accounts payable $ 31,441 $ 42,080 Accrued liabilities $ 11,239 $ 9,952 Customer advances $ 1,332 $ 710 Other long-term liabilities $ 29,407 $ 29,389 Three Months Ended Six Months Ended (In thousands) July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Payments made to investees for products/services $ 115,879 $ 108,853 $ 239,509 $ 228,030 Revenues and fees received from investees for products/services 1 $ 17,404 $ 21,199 $ 132,049 $ 26,802 1 Includes a portion of proceeds received from tax equity investors in connection with 8point3 transactions. Cost Method Investment in Tendril Networks, Inc. In November 2014, the Company purchased $20.0 million of preferred stock constituting a minority stake in Tendril Networks, Inc. ("Tendril"), accounted for under the cost method because the preferred stock was deemed not to be in-substance common stock. In connection with the investment, the Company acquired warrants to purchase up to approximately 14 million shares of Tendril common stock exercisable through November 23, 2024. The number of shares of Tendril common stock that may be purchased pursuant to the warrants is subject to the Company's and Tendril's achievement of certain financial and operational milestones and other conditions. In connection with the initial investment in Tendril, the Company also entered into commercial agreements with Tendril under a Master Services Agreement and related Statements of Work. Under these commercial agreements, Tendril will use up to $13.0 million of the Company's initial investment to develop, jointly with the Company, certain solar software solution products. |
Debt and Credit Sources
Debt and Credit Sources | 6 Months Ended |
Jul. 03, 2016 | |
Debt Disclosure [Abstract] | |
Debt and Credit Sources | DEBT AND CREDIT SOURCES The following table summarizes the Company's outstanding debt on its Consolidated Balance Sheets: July 3, 2016 January 3, 2016 (In thousands) Face Value Short-term Long-term Total Face Value Short-term Long-term Total Convertible debt: 4.00% debentures due 2023 $ 425,000 $ — $ 416,831 $ 416,831 $ 425,000 $ — $ 416,369 $ 416,369 0.875% debentures due 2021 400,000 — 396,749 396,749 400,000 — 396,424 396,424 0.75% debentures due 2018 300,000 — 298,547 298,547 300,000 — 298,167 298,167 IFC mortgage loan 25,000 14,994 9,452 24,446 32,500 14,994 16,778 31,772 CEDA loan 30,000 — 28,002 28,002 30,000 — 27,778 27,778 Non-recourse financing and other debt 1 876,801 334,703 536,520 871,223 435,963 4,642 429,981 434,623 $ 2,056,801 $ 349,697 $ 1,686,101 $ 2,035,798 $ 1,623,463 $ 19,636 $ 1,585,497 $ 1,605,133 1 Other debt excludes payments related to capital leases, which are disclosed in Note 8 . As of July 3, 2016 , the aggregate future contractual maturities of the Company's outstanding debt, at face value, were as follows: (In thousands) Fiscal 2016 (remaining six months) Fiscal 2017 Fiscal 2018 Fiscal 2019 Fiscal 2020 Thereafter Total Aggregate future maturities of outstanding debt $ 225,212 143,909 365,468 23,362 34,423 1,264,427 $ 2,056,801 Convertible Debt The following table summarizes the Company's outstanding convertible debt: July 3, 2016 January 3, 2016 (In thousands) Carrying Value Face Value Fair Value 1 Carrying Value Face Value Fair Value 1 Convertible debt: 4.00% debentures due 2023 $ 416,831 $ 425,000 $ 373,907 $ 416,369 $ 425,000 $ 515,903 0.875% debentures due 2021 396,749 400,000 324,000 396,424 400,000 340,500 0.75% debentures due 2018 298,547 300,000 283,875 298,167 300,000 396,792 $ 1,112,127 $ 1,125,000 $ 981,782 $ 1,110,960 $ 1,125,000 $ 1,253,195 1 The fair value of the convertible debt was determined using Level 2 inputs based on quarterly market prices as reported by an independent pricing source. The Company's outstanding convertible debentures are senior, unsecured obligations of the Company, ranking equally with all existing and future senior unsecured indebtedness of the Company. 4.00% Debentures Due 2023 In December 2015, the Company issued $425.0 million in principal amount of its 4.00% debentures due 2023. Interest is payable semi-annually, beginning on July 15, 2016. Holders may exercise their right to convert the debentures at any time into shares of the Company's common stock at an initial conversion price approximately equal to $30.53 per share, subject to adjustment in certain circumstances. If not earlier repurchased or converted, the 4.00% debentures due 2023 mature on January 15, 2023. 0.875% Debentures Due 2021 In June 2014, the Company issued $400.0 million in principal amount of its 0.875% debentures due 2021. Interest is payable semi-annually, beginning on December 1, 2014. Holders may exercise their right to convert the debentures at any time into shares of the Company's common stock at an initial conversion price approximately equal to $48.76 per share, subject to adjustment in certain circumstances. If not earlier repurchased or converted, the 0.875% debentures due 2021 mature on June 1, 2021. 0.75% Debentures Due 2018 In May 2013, the Company issued $300.0 million in principal amount of its 0.75% debentures due 2018. Interest is payable semi-annually, beginning on December 1, 2013. Holders may exercise their right to convert the debentures at any time into shares of the Company's common stock at an initial conversion price approximately equal to $24.95 per share, subject to adjustment in certain circumstances. If not earlier repurchased or converted, the 0.75% debentures due 2018 mature on June 1, 2018. 4.50% Debentures Due 2015 In 2010, the Company issued $250.0 million in principal amount of its 4.50% senior cash convertible debentures ("4.50% debentures due 2015"). Interest was payable semi-annually, beginning on September 15, 2010. The 4.50% debentures due 2015 were convertible only into cash, and not into shares of the Company's common stock (or any other securities) at a conversion price of $22.53 per share. The 4.50% debentures due 2015 matured on March 15, 2015. During March 2015, the Company paid holders an aggregate of $324.3 million in cash in connection with the settlement of the outstanding 4.50% debentures due 2015. No 4.50% debentures due 2015 remained outstanding after the maturity date. The embedded cash conversion option was a derivative instrument (derivative liability) that was required to be separated from the 4.50% debentures due 2015. The fair value of the derivative liability is classified within "Other long-term liabilities" on the Company's Consolidated Balance Sheets. Changes in the fair value of the derivative liability were reported in the Company's Consolidated Statements of Operations until the 4.50% debentures due 2015 matured in March 2015. During the three and six months ended June 28, 2015 , the Company recognized a non-cash loss of zero and $52.0 million , respectively, recorded in "Other, net" in the Company's Consolidated Statements of Operations to recognize the change in fair value prior to the expiration of the embedded cash conversion option. Call Spread Overlay with Respect to 4.50% Debentures Concurrently with the issuance of the 4.50% debentures due 2015, the Company entered into privately-negotiated convertible debenture hedge transactions (collectively, the "4.50% Bond Hedge") and warrant transactions (collectively, the "4.50% Warrants" and together with the 4.50% Bond Hedge, the “CSO2015” transactions), with certain of the initial purchasers of the 4.50% debentures due 2015 or their affiliates. The CSO2015 transactions represented a call spread overlay with respect to the 4.50% debentures due 2015, whereby the cost of the 4.50% Bond Hedge purchased by the Company to cover the cash outlay upon conversion of the debentures is reduced by the sales prices of the 4.50% Warrants. The transactions effectively reduced the Company's potential payout over the principal amount on the 4.50% debentures due 2015 upon conversion of the 4.50% debentures due 2015. Under the terms of the 4.50% Bond Hedge, the Company bought options to acquire, at an exercise price of $22.53 per share, subject to customary adjustments for anti-dilution and other events, cash in an amount equal to the market value of up to 11.1 million shares of the Company's common stock. Each 4.50% Bond Hedge was a separate transaction, entered into by the Company with each counterparty, and was not part of the terms of the 4.50% debentures due 2015. The 4.50% Bond Hedge, which was indexed to the Company's common stock, was a derivative instrument that required mark-to-market accounting treatment due to the cash settlement features until the 4.50% Bond Hedge settled in March 2015. During March 2015, the Company exercised its rights under the 4.50% Bond Hedge, resulting in a payment to the Company of $74.6 million . During the three and six months ended June 28, 2015 , the Company recognized a non-cash gain of zero and $52.0 million , respectively, recorded in "Other, net" in the Company's Consolidated Statements of Operations related to recognize the change in fair value before settlement of the 4.50% Bond Hedge. In connection with the 4.50% Warrants, the Company entered into warrant confirmations (collectively, and as amended from time to time, the “2015 Warrant Confirms”) with Deutsche Bank AG, London Branch, Bank of America, N.A., Barclays Bank PLC and Credit Suisse International providing for the acquisition, subject to anti-dilution adjustments, of up to approximately 11.1 million shares of the Company's common stock via net share settlement. Each 4.50% Warrant transaction was a separate transaction, entered into by the Company with each counterparty, and was not part of the terms of the 4.50% debentures due 2015. During the second quarter of fiscal 2015, the Company entered into separate partial unwind agreements with each of Deutsche Bank AG, London Branch; Bank of America, N.A.; Barclays Bank PLC; and Credit Suisse International in order to reduce the number of warrants issued pursuant to the 2015 Warrant Confirms. Pursuant to the terms of these partial unwind agreements, the Company issued an aggregate of approximately 3.0 million shares of common stock to settle all of the warrants under the 2015 Warrant Confirms. Accordingly, as of July 3, 2016 , no 4.50% Warrants remained outstanding. Other Debt and Credit Sources Mortgage Loan Agreement with IFC In May 2010, the Company entered into a mortgage loan agreement with IFC. Under the loan agreement, the Company borrowed $75.0 million and is required to repay the amount borrowed starting two years after the date of borrowing, in 10 equal semi-annual installments. The Company is required to pay interest of LIBOR plus 3% per annum on outstanding borrowings; a front-end fee of 1% on the principal amount of borrowings at the time of borrowing; and a commitment fee of 0.5% per annum on funds available for borrowing and not borrowed. The Company may prepay all or a part of the outstanding principal, subject to a 1% prepayment premium. The Company has pledged certain assets as collateral supporting its repayment obligations (see Note 4 ). As of both July 3, 2016 and January 3, 2016 , the Company had restricted cash and cash equivalents of $9.2 million related to the IFC debt service reserve, which is the amount, as determined by IFC, equal to the aggregate principal and interest due on the next succeeding interest payment date. Loan Agreement with California Enterprise Development Authority ("CEDA") In 2010, the Company borrowed the proceeds of the $30.0 million aggregate principal amount of CEDA's tax-exempt Recovery Zone Facility Revenue Bonds (SunPower Corporation - Headquarters Project) Series 2010 (the "Bonds") maturing April 1, 2031 under a loan agreement with CEDA. The Bonds mature on April 1, 2031, bear interest at a fixed rate of 8.50% through maturity, and include customary covenants and other restrictions on the Company. Revolving Credit Facility with Credit Agricole In July 2013, the Company entered into a revolving credit facility with Credit Agricole, as administrative agent, and certain financial institutions, under which the Company may borrow up to $250.0 million . On August 26, 2014, the Company entered into an amendment to the revolving credit facility that, among other things, extends the maturity date of the facility from July 3, 2016 to August 26, 2019 (the "Maturity Date"). Amounts borrowed may be repaid and reborrowed until the Maturity Date. On February 17, 2016, the Company entered into an amendment to the credit agreement, expanding the available borrowings under the revolving credit facility to $300.0 million and adding a $200.0 million letter of credit subfacility, subject to the satisfaction of certain conditions. The revolving credit facility includes representations, covenants, and events of default customary for financing transactions of this type. The revolving credit facility was entered into in conjunction with the delivery by Total S.A. of a guarantee of the Company's obligations under the related facility. On January 31, 2014, as contemplated by the facility, (i) the Company's obligations under the facility became secured by a pledge of certain accounts receivable and inventory; (ii) certain of the Company's subsidiaries entered into guarantees of the facility; and (iii) Total S.A.'s guarantee of the Company's obligations under the facility expired. After January 31, 2014, the Company is required to pay interest on outstanding borrowings and fees of (a) with respect to any LIBOR rate loan, an amount ranging from 1.50% to 2.00% (depending on the Company's leverage ratio from time to time) plus the LIBOR rate divided by a percentage equal to one minus the stated maximum rate of all reserves required to be maintained against "Eurocurrency liabilities" as specified in Regulation D; (b) with respect to any alternate base rate loan, an amount ranging from 0.50% to 1.00% (depending on the Company's leverage ratio from time to time) plus the greater of (1) the prime rate, (2) the Federal Funds rate plus 0.50% , and (3) the one-month LIBOR rate plus 1% ; and (c) a commitment fee ranging from 0.25% to 0.35% (depending on the Company's leverage ratio from time to time) per annum on funds available for borrowing and not borrowed. The Company will be required to pay interest on letters of credit under the agreement of (a) with respect to any performance letter of credit, an amount ranging from 0.90% to 1.20% (depending on the Company’s leverage ratio from time to time); and (b) with respect to any other letter of credit, an amount ranging from 1.50% to 2.00% (depending on the Company’s leverage ratio from time to time). As of July 3, 2016 , the Company had $18.2 million of outstanding borrowings under the revolving credit facility, all of which were related to letters of credit. The Company had no outstanding borrowings under the revolving credit facility as of January 3, 2016 . 2016 Letter of Credit Facility Agreements In June 2016, the Company entered into a Continuing Agreement for Standby Letters of Credit and Demand Guarantees with Deutsche Bank and Deutsche Bank Trust (the “2016 Non-Guaranteed LC Facility”) which provides for the issuance, upon request by the Company, of letters of credit to support the Company’s obligations in an aggregate amount not to exceed $50.0 million . The 2016 Non-Guaranteed LC Facility will terminate on June 29, 2018. As of July 3, 2016 and January 3, 2016, letters of credit issued and outstanding under the 2016 Non-Guaranteed LC Facility totaled $46.8 million and zero , respectively. In June 2016, the Company entered into bilateral letter of credit facility agreements (the “2016 Guaranteed LC Facilities”) with The Bank of Tokyo-Mitsubishi UFJ, Credit Agricole, and HSBC. Each letter of credit facility agreement provides for the issuance, upon the Company’s request, of letters of credit by the issuing bank thereunder in order to support certain of the Company’s obligations until December 31, 2018. Payment of obligations under each of the letter of credit facilities are guaranteed by Total S.A. pursuant to the Credit Support Agreement. Aggregate letter of credit amounts may be increased upon the agreement of the respective parties but, otherwise, may not exceed $75.0 million with The Bank of Tokyo-Mitsubishi UFJ, $75.0 million with Credit Agricole and $175.0 million with HSBC. Each letter of credit issued under one of the letter of credit facilities generally must have an expiration date, subject to certain exceptions, no later than the earlier of (a) two years from completion of the applicable project and (b) March 31, 2020. In June 2016, in connection with the 2016 Guaranteed LC Facilities, the Company entered into a transfer agreement to transfer to the 2016 Guaranteed LC Facilities all existing outstanding letters of credit issued under the Company’s letter of credit facility agreement with Deutsche Bank, as administrative agent, and certain financial institutions, entered into in August 2011 and amended from time to time. In connection with the transfer of the existing outstanding letters of credit, the aggregate commitment amount under the August 2011 letter of credit facility was permanently reduced to zero on June 29, 2016. As of July 3, 2016 and January 3, 2016 , letters of credit issued and outstanding under the August 2011 letter of credit facility with Deutsche Bank totaled zero and $294.5 million , respectively. As of July 3, 2016 and January 3, 2016 , letters of credit issued and outstanding under the 2016 Guaranteed LC Facilities totaled $246.0 million and zero , respectively. September 2011 Letter of Credit Facility with Deutsche Bank and Deutsche Bank Trust Company Americas (together, "Deutsche Bank Trust") In September 2011, the Company entered into a letter of credit facility with Deutsche Bank Trust which provides for the issuance, upon request by the Company, of letters of credit to support obligations of the Company in an aggregate amount not to exceed $200.0 million . Each letter of credit issued under the facility is fully cash-collateralized and the Company has entered into a security agreement with Deutsche Bank Trust, granting them a security interest in a cash collateral account established for this purpose. As of July 3, 2016 and January 3, 2016 , letters of credit issued and outstanding under the Deutsche Bank Trust facility totaled $4.3 million and $8.6 million , respectively, which were fully collateralized with restricted cash on the Consolidated Balance Sheets. Revolving Credit Facility with Mizuho and Goldman Sachs On May 4, 2016, the Company entered into a revolving credit facility (the “Construction Revolver”) with Mizuho Bank Ltd., as administrative agent, and Goldman Sachs Bank USA, under which the Company may borrow up to $200 million . The Construction Revolver also includes a $100 million accordion feature. Amounts borrowed under the facility may be repaid and reborrowed in support of the Company’s commercial and small scale utility projects in the United States until the May 4, 2021 maturity date. The facility includes representations, covenants, and events of default customary for financing transactions of this type. Borrowings under the Construction Revolver bear interest at the applicable LIBOR rate plus 1.50% for the first two years, with the final year at LIBOR plus 1.75% . All outstanding indebtedness under the facility may be voluntarily prepaid in whole or in part without premium or penalty (with certain limitations to partial repayments), other than customary breakage costs. The facility is secured by the assets of, and equity in, the various project companies to which the borrowings relate, but is otherwise non-recourse to the Company and its other affiliates. As of July 3, 2016 and January 3, 2016 , the aggregate carrying value of the Construction Revolver totaled $12.3 million and zero , respectively. Non-recourse Financing and Other Debt In order to facilitate the construction, sale or ongoing operation of certain solar projects, including the Company's residential leasing program, the Company regularly obtains project-level financing. These financings are secured either by the assets of the specific project being financed or by the Company's equity in the relevant project entity and the lenders do not have recourse to the general assets of the Company for repayment of such debt obligations, and hence the financings are referred to as non-recourse. Non-recourse financing is typically in the form of loans from third-party financial institutions, but also takes other forms, including "partnership flip" structures, sale-leaseback arrangements, or other forms commonly used in the solar or similar industries. The Company may seek non-recourse financing covering solely the construction period of the solar project or may also seek financing covering part or all of the operating life of the solar project. The Company classifies non-recourse financings in the Consolidated Balance Sheets in accordance with their terms; however, in certain circumstances, the Company may repay or refinance these financings prior to stated maturity dates in connection with the sale of the related project or similar such circumstances. In addition, in certain instances, the customer may assume the loans at the time that the project entity is sold to the customer. In these instances, subsequent debt assumption is reflected as a financing outflow and operating inflow in the Consolidated Statements of Cash Flows to reflect the substance of the assumption as a facilitation of customer financing from a third party. The following presents a summary of the Company's non-recourse financing arrangements, including arrangements that are not classified as debt: Aggregate Carrying Value (In thousands) July 3, 2016 January 3, 2016 Balance Sheet Classification Residential Lease Program Bridge loans $ 33,827 $ — Short-term debt and Long-term debt Long-term loans 174,062 171,752 Short-term debt and Long-term debt Financing arrangements with third parties 49,190 36,784 Accrued liabilities and Other long-term liabilities Tax equity partnership flip facilities 140,657 128,594 Redeemable non-controlling interests in subsidiaries and non-controlling interests in subsidiaries Power Plant and Commercial Projects Stanford and Turlock credit facility $ 201,563 $ — Short-term debt and Long-term debt Henrietta credit facility 216,691 216,691 Short-term debt and Long-term debt Boulder credit facility 117,825 — Short-term debt and Long-term debt Rio Bravo credit facility 80,086 — Short-term debt Wildwood credit facility 26,088 — Short-term debt Hooper credit facility — 37,269 Short-term debt and Long-term debt Construction Revolver 12,301 — Long-term debt Arizona loan 8,030 8,113 Short-term debt and Long-term debt For the Company’s residential lease program, non-recourse financing is typically accomplished by aggregating an agreed-upon volume of solar power systems and leases with residential customers into a specific project entity. The Company has entered into the following non-recourse financings with respect to its residential lease program: In fiscal 2016, the Company entered into bridge loans to finance solar power systems and leases under its residential lease program. The loans are repaid over terms ranging from two to seven years. Some loans may be prepaid without penalties at the Company's option at any time, while other loans may be prepaid, subject to a prepayment fee, after one year. During the three and six months ended July 3, 2016 , the Company had net proceeds of $17.1 million and $34.1 million , respectively, in connection with these loans. As of July 3, 2016 , the aggregate carrying amount of these loans, presented in "Short-term debt" and "Long-term debt" on the Company's Consolidated Balance Sheets, was $33.8 million . In fiscal 2014 and 2015 the Company entered into long-term loans to finance solar power systems and leases under its residential lease program. The loans are repaid over their terms of between 17 and 18 years, and may be prepaid without penalty at the Company’s option beginning seven years after the original issuance of the loan. During the three and six months ended July 3, 2016 , the Company had net proceeds (repayments) of $(1.1) million and $2.1 million , respectively, in connection with these loans. During the three and six months ended June 28, 2015 , the Company had net proceeds of $54.4 million and $54.0 million , respectively, in connection with these loans. As of July 3, 2016 , and January 3, 2016 , the aggregate carrying amount of these loans, presented in "Short-term debt" and "Long-term debt" on the Company's Consolidated Balance Sheets, was $174.1 million and $171.8 million , respectively. The Company has entered into multiple arrangements under which solar power systems are financed by third-party investors or customers, including by a legal sale of the underlying asset that is accounted for as a borrowing under relevant accounting guidelines as the requirements to recognize the transfer of the asset were not met. Under the terms of these arrangements, the third parties make an upfront payment to the Company, which the Company recognizes as a liability that will be reduced over the term of the arrangement as lease receivables and government incentives are received by the third party. As the liability is reduced, the Company makes a corresponding reduction in receivables. During the three and six months ended July 3, 2016 , the Company had net proceeds of $7.8 million and $14.9 million , respectively, in connection with these facilities. During the three and six months ended June 28, 2015 , the Company had net repayments of $29.4 million and $40.0 million , respectively. As of July 3, 2016 , and January 3, 2016 , the aggregate carrying amount of these facilities, presented in "Accrued liabilities" and "Other long-term liabilities" on the Company's Consolidated Balance Sheets, was $49.2 million and $36.8 million , respectively (see Note 4 ). The Company also enters into facilities with third-party tax equity investors under which the investors invest in a structure known as a partnership flip. The Company holds controlling interests in these less-than-wholly-owned entities and therefore fully consolidates these entities. The Company accounts for the portion of net assets in the consolidated entities attributable to the investors as noncontrolling interests in its consolidated financial statements. Noncontrolling interests in subsidiaries that are redeemable at the option of the noncontrolling interest holder are classified accordingly as redeemable, between liabilities and equity on the Company's Consolidated Balance Sheets. During the three and six months ended July 3, 2016 , the Company had net contributions of $31.5 million and $50.3 million , respectively, under these facilities and attributed losses of $20.2 million and $36.8 million , respectively, to the non-controlling interests corresponding principally to certain assets, including tax credits, that were allocated to the non-controlling interests during the periods. During the three and six months ended June 28, 2015 , the Company had net contributions of $43.7 million and $87.4 million , respectively, under these facilities and attributed losses of $30.1 million and $49.7 million , respectively, to the non-controlling interests corresponding principally to certain assets, including tax credits, that were allocated to the non-controlling interests during the periods. As of July 3, 2016 and January 3, 2016 , the aggregate carrying amount of these facilities, presented in “Redeemable non-controlling interests in subsidiaries” and “Non-controlling interests in subsidiaries” on the Company’s Consolidated Balance Sheets, was $140.7 million and $128.6 million , respectively. For the Company’s power plant and commercial solar projects, non-recourse financing is typically accomplished using an individual solar power system or a series of solar power systems with a common end customer, in each case owned by a specific project entity. The Company has entered into the following non-recourse financings with respect to its power plant and commercial projects: In fiscal 2016, the Company entered into the Construction Revolver credit facility to support the construction of the Company’s commercial and small scale utility projects in the United States. As of July 3, 2016, the aggregate carrying amount of the Construction Revolver, presented in "Long-term debt" on the Company's Consolidated Balance Sheets, was $12.3 million . In fiscal 2016, the Company entered into a long-term credit facility to finance the 125 MW utility-scale Boulder power plant project in Nevada. During both the three and six months ended July 3, 2016 , the Company had net proceeds of $110.9 million in connection with the facility. As of July 3, 2016 , the aggregate carrying amount of this facility, presented in "Short-term debt" and "Long-term debt" on the Company's Consolidated Balance Sheets, was $117.8 million . In fiscal 2016, the Company entered into a short-term credit facility to finance the utility-scale Rio Bravo power plant projects in California, with an aggregate size of approximately 50 MW. During both the three and six months ended July 3, 2016 , the Company had net proceeds of $77.3 million in connection with the facility. As of July 3, 2016 , the aggregate carrying amount of this facility, presented in "Short-term debt" on the Company's Consolidated Balance Sheets, was $80.1 million . In fiscal 2016, the Company entered into a short-term credit facility to finance the 20 MW utility-scale Wildwood power plant project in California. During both the three and six months ended July 3, 2016 , the Company had net proceeds of $25.0 million in connection with the facility. As of July 3, 2016 , the aggregate carrying amount of this facility, presented in "Short-term debt" on the Company's Consolidated Balance Sheets, was $26.1 million . In fiscal 2016, the Company entered into a long-term credit facility to finance several related utility-scale power plant projects in California, including the Stanford and Turlock projects, with an aggregate size of approximately 350 MW. During the three and six months ended July 3, 2016 , the Company had net proceeds of $112.8 million and $192.2 million , respectively, in connection with the facility. As of July 3, 2016 , the aggregate carrying amount of this facility, presented in "Short-term debt" and "Long-term debt" on the Company's Consolidated Balance Sheets, was 201.6 million . In fiscal 2015, the Company entered into a long-term credit facility to finance the 128 MW utility-scale Henrietta power plant in California. As of both July 3, 2016 and January 3, 2016 , the aggregate carrying amount of this loan, presented in "Short-term debt" and "Long-term debt" on the Company's Consolidated Balance Sheets, was $216.7 million . In fiscal 2015, the Company entered into a long-term credit facility to finance the 60 MW Hooper utility-scale power plant in Colorado. In fiscal 2016, the Company repaid the full amount outstanding. During both the three and six months ended July 3, 2016 , the Company had net repayments of $37.4 million , in connection with the facility. As of January 3, 2016 , the carrying amount of this facility, presented in "Long-term debt" on the Company's Consolidated Balance Sheets, was $37.3 million . In fiscal 2013, the Company entered into a long-term loan agreement to finance a 5.4 MW utility and power plant operating in Arizona. As of both July 3, 2016 , and January 3, 2016 , the aggregate carrying amount under this loan, presented in "Short-term debt" and "Long-term debt" on the Company's Consolidated Balance Sheets, was $8.0 million . Other debt is further composed of non-recourse project loans in EMEA, which are scheduled to mature through 2028. See Note 5 for discussion of the Company’s sale-leasebacks accounted for under the financing method. |
Derivative Financial Instrument
Derivative Financial Instruments | 6 Months Ended |
Jul. 03, 2016 | |
Foreign Currency Derivatives [Abstract] | |
Derivative Financial Instruments | DERIVATIVE FINANCIAL INSTRUMENTS The following tables present information about the Company's hedge instruments measured at fair value on a recurring basis as of July 3, 2016 and January 3, 2016 , all of which utilize Level 2 inputs under the fair value hierarchy: (In thousands) Balance Sheet Classification July 3, 2016 January 3, 2016 Assets: Derivatives designated as hedging instruments: Foreign currency option contracts Prepaid expenses and other current assets $ 1,022 $ — Foreign currency option contracts Other long-term assets 474 — $ 1,496 $ — Derivatives not designated as hedging instruments: Foreign currency option contracts Prepaid expenses and other current assets $ 1,163 $ — Foreign currency forward exchange contracts Prepaid expenses and other current assets 2,987 8,734 $ 4,150 $ 8,734 Liabilities: Derivatives designated as hedging instruments: Foreign currency option contracts Accrued liabilities $ 1,459 $ — Foreign currency forward exchange contracts Accrued liabilities — 141 Foreign currency option contracts Other long-term liabilities 569 — Interest rate contracts Other long-term liabilities 886 583 $ 2,914 $ 724 Derivatives not designated as hedging instruments: Foreign currency option contracts Accrued liabilities $ 1,214 $ — Foreign currency forward exchange contracts Accrued liabilities 7,849 2,175 Interest rate contracts Other long-term liabilities 507 450 $ 9,570 $ 2,625 July 3, 2016 Gross Amounts Not Offset in the Consolidated Balance Sheets, but Have Rights to Offset (In thousands) Gross Amounts Recognized Gross Amounts Offset Net Amounts Presented Financial Instruments Cash Collateral Net Amounts Derivative assets $ 5,646 $ — $ 5,646 $ 5,646 $ — $ — Derivative liabilities $ 12,484 $ — $ 12,484 $ 5,646 $ — $ 6,838 January 3, 2016 Gross Amounts Not Offset in the Consolidated Balance Sheets, but Have Rights to Offset (In thousands) Gross Amounts Recognized Gross Amounts Offset Net Amounts Presented Financial Instruments Cash Collateral Net Amounts Derivative assets $ 8,734 $ — $ 8,734 $ 2,316 $ — $ 6,418 Derivative liabilities $ 3,349 $ — $ 3,349 $ 2,316 $ — $ 1,033 The following table summarizes the pre-tax amount of unrealized gain or loss recognized in "Accumulated other comprehensive income" ("OCI") in "Stockholders' equity" in the Consolidated Balance Sheets: Three Months Ended Six Months Ended (In thousands) July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Derivatives designated as cash flow hedges: Gain (loss) in OCI at the beginning of the period $ (803 ) $ (5,631 ) $ 5,942 $ (1,443 ) Unrealized gain (loss) recognized in OCI (effective portion) (326 ) 7,343 (11 ) 4,635 Less: Gain reclassified from OCI to revenue (effective portion) 190 (2,347 ) (6,870 ) (3,827 ) Net change in derivatives $ (136 ) $ 4,996 $ (6,881 ) $ 808 Loss in OCI at the end of the period $ (939 ) $ (635 ) $ (939 ) $ (635 ) The following table summarizes the amount of gain or loss recognized in "Other, net" in the Consolidated Statements of Operations in the three and six months ended July 3, 2016 , and June 28, 2015 : Three Months Ended Six Months Ended (In thousands) July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Derivatives designated as cash flow hedges: Loss recognized in "Other, net" on derivatives (ineffective portion and amount excluded from effectiveness testing) $ (1,211 ) $ (1,968 ) $ (1,671 ) $ (5,223 ) Derivatives not designated as hedging instruments: Gain (loss) recognized in "Other, net" $ (5,394 ) $ (8,417 ) $ (11,709 ) $ (902 ) Foreign Currency Exchange Risk Designated Derivatives Hedging Cash Flow Exposure The Company's cash flow exposure primarily relates to anticipated third-party foreign currency revenues and expenses and interest rate fluctuations. To protect financial performance, the Company enters into foreign currency forward and option contracts designated as cash flow hedges to hedge certain forecasted revenue transactions denominated in currencies other than their functional currencies. As of July 3, 2016 , the Company had designated outstanding cash flow hedge option contracts with an aggregate notional value of $91.0 million . As of January 3, 2016 , the Company had designated outstanding cash flow hedge forward contracts with an aggregate notional value of $23.6 million . The Company designates either gross external or intercompany revenue up to its net economic exposure. These derivatives have a maturity of 15 months or less and consist of foreign currency option and forward contracts. The effective portion of these cash flow hedges is reclassified into revenue when third-party revenue is recognized in the Consolidated Statements of Operations. Non-Designated Derivatives Hedging Transaction Exposure Derivatives not designated as hedging instruments consist of forward and option contracts used to hedge re-measurement of foreign currency denominated monetary assets and liabilities primarily for intercompany transactions, receivables from customers, and payables to third parties. Changes in exchange rates between the Company's subsidiaries' functional currencies and the currencies in which these assets and liabilities are denominated can create fluctuations in the Company's reported consolidated financial position, results of operations and cash flows. As of July 3, 2016 , to hedge balance sheet exposure, the Company held options contracts and forward contracts with an aggregate notional value of $2.7 million and $5.1 million , respectively. The maturity dates of these contracts range from July 2016 to October 2016. As of January 3, 2016 , to hedge balance sheet exposure, the Company held forward contracts with an aggregate notional value of $12.1 million . The maturity dates of these contracts ranged from December 2015 to April 2016. Interest Rate Risk The Company also enters into interest rate swap agreements to reduce the impact of changes in interest rates on its project specific non-recourse floating rate debt. As of both July 3, 2016 and January 3, 2016 , the Company had interest rate swap agreements designated as cash flow hedges with an aggregate notional value of $8.0 million and interest rate swap agreements not designated as cash flow hedges with an aggregate notional value of $32.4 million . These swap agreements allow the Company to effectively convert floating-rate payments into fixed rate payments periodically over the life of the agreements. These derivatives have a maturity of more than 12 months. The effective portion of these swap agreements designated as cash flow hedges is reclassified into interest expense when the hedged transactions are recognized in the Consolidated Statements of Operations. The Company analyzes its designated interest rate swaps quarterly to determine if the hedge transaction remains effective or ineffective. The Company may discontinue hedge accounting for interest rate swaps prospectively if certain criteria are no longer met, the interest rate swap is terminated or exercised, or if the Company elects to remove the cash flow hedge designation. If hedge accounting is discontinued, and the forecasted hedged transaction is considered possible to occur, the previously recognized gain or loss on the interest rate swaps will remain in accumulated other comprehensive loss and will be reclassified into earnings during the same period the forecasted hedged transaction affects earnings or is otherwise deemed improbable to occur. All changes in the fair value of non-designated interest rate swap agreements are recognized immediately in current period earnings. Credit Risk The Company's option and forward contracts do not contain any credit-risk-related contingent features. The Company is exposed to credit losses in the event of nonperformance by the counterparties to these option and forward contracts. The Company enters into derivative contracts with high-quality financial institutions and limits the amount of credit exposure to any single counterparty. In addition, the Company continuously evaluates the credit standing of its counterparties. |
Income Taxes
Income Taxes | 6 Months Ended |
Jul. 03, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 12 . INCOME TAXES In the three and six months ended July 3, 2016 , the Company's income tax provision of $6.6 million and $9.8 million on a loss before income taxes and equity in earnings of unconsolidated investees of $93.9 million and $191.4 million , respectively, was primarily due to projected tax expense in profitable jurisdictions, the recognition of U.S. prepaid income tax due to intercompany transactions, and provision-to-return adjustments in U.S. and foreign jurisdictions. In the three and six months ended June 28, 2015 , the Company's income tax benefit of $0.7 million and income tax provision of $1.7 million , respectively, on a loss before income taxes and equity in earnings of unconsolidated investees of $26.0 million and $54.9 million , respectively, was primarily due to projected tax expense, partially offset by discrete benefits pertaining to tax settlements in certain foreign jurisdictions. For the reporting period ended July 3, 2016 , in accordance with FASB guidance for interim reporting of income tax, the Company has computed its provision for income taxes based on a projected annual effective tax rate while excluding loss jurisdictions which cannot be benefitted. |
Net Income (Loss) Per Share
Net Income (Loss) Per Share | 6 Months Ended |
Jul. 03, 2016 | |
Earnings Per Share [Abstract] | |
Net Income (Loss) Per Share | NET INCOME (LOSS) PER SHARE The Company calculates net income (loss) per share by dividing earnings allocated to common stockholders by the weighted average number of common shares outstanding for the period. Diluted weighted average shares is computed using basic weighted average shares plus any potentially dilutive securities outstanding during the period using the treasury-stock-type method and the if-converted method, except when their effect is anti-dilutive. Potentially dilutive securities include stock options, restricted stock units, the Upfront Warrants held by Total, warrants associated with the CSO2015, and the outstanding senior convertible debentures. The following table presents the calculation of basic and diluted net income (loss) per share: Three Months Ended Six Months Ended (In thousands, except per share amounts) July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Basic net income (loss) per share: Numerator Net income (loss) attributable to stockholders $ (69,992 ) $ 6,509 $ (155,401 ) $ (3,072 ) Denominator Basic weighted-average common shares 138,084 134,376 137,644 133,205 Basic net income (loss) per share $ (0.51 ) $ 0.05 $ (1.13 ) $ (0.02 ) Diluted net income (loss) per share: Numerator Net income (loss) attributable to stockholders $ (69,992 ) $ 6,509 $ (155,401 ) $ (3,072 ) Add: Interest expense incurred on the 4.00% debentures due 2023, net of tax — n/a — n/a Add: Interest expense incurred on the 0.75% debentures due 2018, net of tax — 512 — — Add: Interest expense incurred on the 0.875% debentures due 2021, net of tax — — — — Net income (loss) available to common stockholders $ (69,992 ) $ 7,021 $ (155,401 ) $ (3,072 ) Denominator Basic weighted-average common shares 138,084 134,376 137,644 133,205 Effect of dilutive securities: Stock options — 36 — — Restricted stock units — 1,483 — — Upfront Warrants (held by Total) — 7,201 — — Warrants (under the CSO2015) n/a 1,873 n/a — 4.00% debentures due 2023 — n/a — — 0.75% debentures due 2018 — 12,026 — — 0.875% debentures due 2021 — — — — Dilutive weighted-average common shares 138,084 156,995 137,644 133,205 Diluted net income (loss) per share $ (0.51 ) $ 0.04 $ (1.13 ) $ (0.02 ) The Upfront Warrants allow Total to acquire up to 9,531,677 shares of the Company's common stock at an exercise price of $7.8685 . The warrants under the CSO2015, when such warrants were still outstanding, entitled holders to acquire up to 11.1 million shares of the Company's common stock at an exercise price of $24.00 . During the second quarter of fiscal 2015, the Company entered into unwind agreements pursuant to which the Company issued common stock to settle all of the outstanding warrants relating to the CSO2015 (refer to "Note 12. Debt and Credit Sources" in our Annual Report on Form 10-K for the fiscal year ended January 3, 2016). Holders of the Company's 4.00% debentures due 2023, 0.875% debentures due 2021, and 0.75% debentures due 2018 can convert the debentures into shares of the Company's common stock, at the applicable conversion rate, at any time on or before maturity. These debentures are included in the calculation of diluted net income per share if they were outstanding during the period presented and if their inclusion is dilutive under the if-converted method. Holders of the Company's 4.50% debentures due 2015 could, under certain circumstances at their option and before maturity, convert the debentures into cash, and not into shares of the Company's common stock (or any other securities). Therefore, the 4.50% debentures due 2015 are excluded from the net income per share calculation. In March 2015, the 4.50% debentures due 2015 matured and were settled in cash (refer to "Note 12. Debt and Credit Sources" in our Annual Report on Form 10-K for the fiscal year ended January 3, 2016). The following is a summary of outstanding anti-dilutive potential common stock that was excluded from income (loss) per diluted share in the following periods: Three Months Ended Six Months Ended (In thousands) July 3, 2016 1 June 28, 2015 July 3, 2016 1 June 28, 2015 1 Stock options 147 149 147 185 Restricted stock units 5,502 293 5,502 1,776 Upfront Warrants (held by Total) 5,338 — 5,853 7,055 Warrants (under the CSO2015) n/a — n/a 1,827 4.00% debentures due 2023 13,922 n/a 13,922 n/a 0.75% debentures due 2018 12,026 — 12,026 12,026 0.875% debentures due 2021 8,203 8,203 8,203 8,203 1 As a result of the net loss per share for the three and six months ended July 3, 2016 and the six months ended June 28, 2015 , the inclusion of all potentially dilutive stock options, restricted stock units, and common shares under noted warrants and convertible debt would be anti-dilutive. Therefore, those stock options, restricted stock units and shares were excluded from the computation of the weighted-average shares for diluted net loss per share for such periods. |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Jul. 03, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation | 14 . STOCK-BASED COMPENSATION The following table summarizes the consolidated stock-based compensation expense by line item in the Consolidated Statements of Operations: Three Months Ended Six Months Ended (In thousands) July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Cost of Residential revenue $ 1,652 $ 1,212 $ 2,479 $ 2,134 Cost of Commercial revenue 745 531 1,397 919 Cost of Power Plant revenue 3,066 1,517 5,712 2,773 Research and development 2,966 2,380 5,998 4,653 Sales, general and administrative 8,046 8,400 17,409 17,107 Total stock-based compensation expense $ 16,475 $ 14,040 $ 32,995 $ 27,586 The following table summarizes the consolidated stock-based compensation expense by type of award: Three Months Ended Six Months Ended (In thousands) July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Restricted stock units $ 15,734 $ 14,885 $ 33,167 $ 29,389 Change in stock-based compensation capitalized in inventory 741 (845 ) (172 ) (1,803 ) Total stock-based compensation expense $ 16,475 $ 14,040 $ 32,995 $ 27,586 |
Segment Information
Segment Information | 6 Months Ended |
Jul. 03, 2016 | |
Segment Reporting [Abstract] | |
Segment Information | SEGMENT AND GEOGRAPHICAL INFORMATION The Company's President and Chief Executive Officer, as the CODM, has organized the Company, manages resource allocations and measures performance of the Company's activities among three end-customer segments: (i) Residential Segment, (ii) Commercial Segment and (iii) Power Plant Segment (see Note 1 ). The Residential and Commercial Segments combined are referred to as Distributed Generation. The CODM assesses the performance of the three end-customer segments using information about their revenue, gross margin, and earnings before interest, taxes, depreciation and amortization ("EBITDA") after certain adjustments such as those related to 8point3 Energy Partners, utility and power plant projects and the sale of operating lease assets, and adding back certain expenses such as stock-based compensation expense and IPO-related costs, as well as other items. Additionally, for purposes of calculating EBITDA, the calculation excludes cash interest expense, net of interest income, provision for income taxes, and depreciation. The CODM does not review asset information by segment. The following tables present information by end-customer segment including revenue, gross margin, and EBITDA, each as reviewed by the CODM, as well as information about significant customers and revenue by geography, based on the destination of the shipments. Three Months Ended Six Months Ended (In thousands): July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Revenue Distributed Generation Residential Solar power systems, components, and others $ 113,274 $ 101,737 $ 208,906 $ 217,403 Residential leasing 64,441 50,468 120,616 90,126 Commercial 97,846 62,984 150,087 112,047 Power Plant 144,891 165,831 325,718 402,315 Total revenue $ 420,452 $ 381,020 $ 805,327 $ 821,891 Cost of revenue Distributed Generation Residential Solar power systems, components, and others $ 90,995 $ 80,988 $ 166,058 $ 173,355 Residential leasing 47,964 35,991 91,061 66,396 Commercial 89,523 58,842 134,749 105,722 Power Plant 150,676 134,318 320,628 314,719 Total cost of revenue $ 379,158 $ 310,139 $ 712,496 $ 660,192 Gross margin Distributed Generation Residential Solar power systems, components, and others $ 22,279 $ 20,749 $ 42,848 $ 44,048 Residential leasing 16,477 14,477 29,555 23,730 Commercial 8,323 4,142 15,338 6,325 Power Plant (5,785 ) 31,513 5,090 87,596 Total gross margin $ 41,294 $ 70,881 $ 92,831 $ 161,699 |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jul. 03, 2016 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 16 . SUBSEQUENT EVENTS August 2016 Restructuring Plan On August 9, 2016 , the Company adopted and began implementing initiatives to realign the Company’s downstream investments, optimize the Company’s supply chain and reduce operating expenses, in response to expected near-term challenges primarily relating to the Company’s power plant segment. In connection with the realignment, which is expected to be completed by the end of fiscal 2017, the Company expects approximately 1,200 employees to be affected, primarily in the Philippines, representing approximately 15% of the Company’s global workforce. The Company expects to incur restructuring charges totaling approximately $30 million to $45 million , consisting primarily of severance benefits, asset impairments, lease and related termination costs, and other associated costs. A substantial portion of such charges are expected to be incurred in the third quarter of fiscal 2016, and the Company expects more than 50% of total charges to be cash. The actual timing and costs of the plan may differ from the Company’s current expectations and estimates. |
The Company and Summary of Si26
The Company and Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jul. 03, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States of America ("United States" or "U.S.") and include the accounts of the Company, all of its subsidiaries and special purpose entities, as appropriate under consolidation accounting guidelines. Intercompany transactions and balances have been eliminated in consolidation. The assets of the special purpose entities that the Company establishes in connection with certain project financing arrangements for customers are not designed to be available to service the general liabilities and obligations of the Company. |
Reclassifications | Reclassifications Certain prior period balances have been reclassified to conform to the current period presentation in the Company's consolidated financial statements and the accompanying notes. Such reclassifications had no effect on previously reported results of operations or accumulated deficit. |
Fiscal Years | Fiscal Years The Company has a 52-to-53-week fiscal year that ends on the Sunday closest to December 31. Accordingly, every fifth or sixth year will be a 53-week fiscal year. The current fiscal year, fiscal 2016, is a 52-week fiscal year, while fiscal year 2015 was a 53-week fiscal year and had a 14-week fourth fiscal quarter. The second quarter of fiscal 2016 ended on July 3, 2016 , while the second quarter of fiscal 2015 ended on June 28, 2015 . The second quarters of fiscal 2016 and fiscal 2015 were both 13-week quarters. |
Management Estimates | Management Estimates The preparation of the consolidated financial statements in conformity with U.S. generally accepted accounting principles ("U.S. GAAP") requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Significant estimates in these consolidated financial statements include percentage-of-completion for construction projects; allowances for doubtful accounts receivable and sales returns; inventory and project asset write-downs; stock-based compensation; estimates for future cash flows and economic useful lives of property, plant and equipment, goodwill, valuations for business combinations, other intangible assets, investments, and other long-term assets; the fair value and residual value of solar power systems; fair value of financial instruments; valuation of contingencies and certain accrued liabilities such as accrued warranty; and income taxes and tax valuation allowances and indemnities. Actual results could materially differ from those estimates. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In June 2016, the Financial Accounting Standards Board (“FASB”) issued an update to the standards to amend the methodology for measuring credit losses on financial instruments and the timing of when such losses are recorded. The new guidance is effective for the Company no later than the first quarter of fiscal 2020. Early adoption is permitted beginning in the first quarter of fiscal 2019. The Company is evaluating the potential impact of this standard on its consolidated financial statements and disclosures. In March 2016, the FASB issued an update to the standards to simplify the accounting for employee share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. The new guidance is effective for the Company no later than the first quarter of fiscal 2017. Early adoption is permitted. The Company is evaluating the potential impact of this standard on its consolidated financial statements and disclosures. In February 2016, the FASB issued an update to the standards to require lessees to recognize a lease liability and a right-of-use asset for all leases (lease terms of more than 12 months) at the commencement date. The new guidance is effective for the Company no later than the first quarter of fiscal 2019 and requires a modified retrospective approach to adoption. Early adoption is permitted. The Company is evaluating the potential impact of this standard on its consolidated financial statements and disclosures. In January 2016, the FASB issued an update to the standards to require equity investments to be measured at fair value with changes in the fair value recognized through net income (other than those accounted for under the equity method of accounting or those that result in consolidation of the investee). The new guidance is effective for the Company no later than the first quarter of fiscal 2018 and upon adoption, an entity should apply the amendments by means of a cumulative-effect adjustment to the balance sheet at the beginning of the first reporting period in which the guidance is effective. Early adoption is permitted for the accounting guidance on financial liabilities under the fair value option. The Company is evaluating the potential impact of this standard on its consolidated financial statements and disclosures. In July 2015, the FASB issued an update to the standards to simplify the measurement of inventory. The updated standard more closely aligns the measurement of inventory with that of International Financial Reporting Standards (“IFRS”) and amends the measurement standard from lower of cost or market to lower of cost or net realizable value. The new guidance is effective for the Company no later than the first quarter of fiscal 2017 and requires a prospective approach to adoption. The Company elected early adoption of the updated accounting standard, effective in the second quarter of fiscal 2016. The adoption of this updated accounting standard did not result in a significant impact to the Company’s consolidated financial statements. In April 2015, the FASB issued an update to the standards to provide a practical expedient for the measurement date of defined benefit obligation and plan assets for reporting entities with fiscal year-ends that do not coincide with a month-end. The updated standard allows such entities to measure defined benefit plan assets and obligations using the month-end that is closest to the entity's fiscal year-end and apply that practical expedient consistently from year to year and to all plans, if an entity has more than one plan. The Company elected early adoption of the updated accounting standard, effective in the fourth quarter of fiscal 2015, and measured its defined benefit plan assets and obligations as of December 31, 2015, the calendar month-end closest to the Company’s fiscal year-end. The adoption of this updated accounting standard did not have a significant impact to the Company’s consolidated financial statements. In February 2015, the FASB issued a new standard that modifies existing consolidation guidance for reporting organizations that are required to evaluate whether they should consolidate certain legal entities. The Company adopted the new accounting standard, effective in the first quarter of fiscal 2016. Adoption of the new accounting standard did not have a material impact to the Company's consolidated financial statements. In August 2014, the FASB issued an update to the standards to require management to evaluate whether there are conditions and events that raise substantial doubt about the Company’s ability to continue as a going concern within one year after the date the financial statements are issued and provide related disclosures. The new guidance is effective for the Company no later than the fourth quarter of fiscal 2016. Early adoption is permitted. The Company is evaluating the potential impact of this standard on its consolidated financial statements and disclosures. In May 2014, the FASB issued a new revenue recognition standard based on the principle that revenue is recognized to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods and services. The FASB has issued several updates to the standard which i) clarify the application of the principal versus agent guidance; ii) clarify the guidance relating to performance obligations and licensing; and iii) clarify assessment of the collectability criterion, presentation of sales taxes, measurement date for noncash consideration and completed contracts at transaction. The new revenue recognition standard, amended by the updates, becomes effective for the Company in the first quarter of fiscal 2018 and is to be applied retrospectively using one of two prescribed methods. Early adoption is permitted. The Company is evaluating the available methods and the potential impact of this standard on its consolidated financial statements and disclosures. |
The Company and Summary of Si27
The Company and Summary of Significant Accounting Policies (Tables) | 6 Months Ended |
Jul. 03, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Property, Plant and Equipment | As of (In thousands) July 3, 2016 January 3, 2016 Property, plant and equipment, net: Manufacturing equipment 1 $ 665,567 $ 556,963 Land and buildings 32,134 32,090 Leasehold improvements 394,447 244,098 Solar power systems 2 151,735 141,075 Computer equipment 115,443 103,443 Furniture and fixtures 11,414 10,640 Construction-in-process 90,963 247,511 1,461,703 1,335,820 Less: accumulated depreciation (642,992 ) (604,590 ) $ 818,711 $ 731,230 1 The Company's mortgage loan agreement with International Finance Corporation ("IFC") is collateralized by certain manufacturing equipment with a net book value of $70.1 million and $85.1 million as of July 3, 2016 and January 3, 2016 , respectively. 2 Includes $120.1 million and $110.4 million of solar power systems associated with sale-leaseback transactions under the financing method as of July 3, 2016 and January 3, 2016 , respectively, which are depreciated using the straight-line method to their estimated residual values over the lease terms of up to 20 years (see Note 5 ). |
Transactions with Total and T28
Transactions with Total and Total S.A. (Tables) | 6 Months Ended |
Jul. 03, 2016 | |
Related Party Transactions [Abstract] | |
Schedule of related party transactions | Related-Party Transactions with Total and its Affiliates: Three Months Ended Six Months Ended (In thousands) July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Revenue: EPC, O&M, and components revenue under joint projects $ 20,613 $ 2,208 $ 61,529 $ 2,963 Research and development expense: Offsetting contributions received under the R&D Agreement $ (421 ) $ (395 ) $ (421 ) $ (817 ) Interest expense: Guarantee fees incurred under the Credit Support Agreement $ 1,622 $ 2,272 $ 3,268 $ 4,998 Interest expense incurred on the 0.75% debentures due 2018 $ 375 $ 375 $ 750 $ 750 Interest expense incurred on the 0.875% debentures due 2021 $ 547 $ 547 $ 1,094 $ 1,094 Interest expense incurred on the 4.00% debentures due 2023 $ 1,000 n/a $ 2,000 n/a As of (In thousands) July 3, 2016 January 3, 2016 Accounts receivable $ 18,071 $ 32,389 Other long-term assets $ 1,497 $ 1,455 Accounts payable $ 31,441 $ 42,080 Accrued liabilities $ 11,239 $ 9,952 Customer advances $ 1,332 $ 710 Other long-term liabilities $ 29,407 $ 29,389 Three Months Ended Six Months Ended (In thousands) July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Payments made to investees for products/services $ 115,879 $ 108,853 $ 239,509 $ 228,030 Revenues and fees received from investees for products/services 1 $ 17,404 $ 21,199 $ 132,049 $ 26,802 |
Goodwill and Other Intangible29
Goodwill and Other Intangible Assets (Tables) | 6 Months Ended |
Jul. 03, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | Goodwill The following table presents the changes in the carrying amount of goodwill under the Company's reportable business segments: (In thousands) Residential Commercial Power Plant Total As of January 3, 2016 $ 32,180 $ 10,314 $ 15,641 $ 58,135 Adjustments to goodwill — (570 ) — (570 ) As of July 3, 2016 $ 32,180 $ 9,744 $ 15,641 $ 57,565 |
Schedule of Other Intangible Assets | The following tables present details of the Company's acquired other intangible assets: (In thousands) Gross Accumulated Amortization Net As of July 3, 2016 Patents and purchased technology $ 48,619 $ (10,645 ) $ 37,974 Project pipeline assets 9,446 (902 ) 8,544 Purchased in-process research and development 3,700 (236 ) 3,464 Other 500 (500 ) — $ 62,265 $ (12,283 ) $ 49,982 As of January 3, 2016 Patents and purchased technology $ 53,499 $ (5,328 ) $ 48,171 Project pipeline assets 9,446 — 9,446 Purchased in-process research and development 3,700 — 3,700 Other 500 (375 ) 125 $ 67,145 $ (5,703 ) $ 61,442 |
Schedule of Other Intangible Assets Future Amortization Expense | As of July 3, 2016 , the estimated future amortization expense related to intangible assets with finite useful lives is as follows: (In thousands) Amount Fiscal Year 2016 (remaining six months) $ 9,676 2017 11,854 2018 12,014 2019 8,902 2020 6,317 $ 48,763 |
Balance Sheet Components (Table
Balance Sheet Components (Tables) | 6 Months Ended |
Jul. 03, 2016 | |
Balance Sheet Related Disclosures [Abstract] | |
Schedule of Accounts Receivable | As of (In thousands) July 3, 2016 January 3, 2016 Accounts receivable, net: Accounts receivable, gross 1,2 $ 232,688 $ 207,860 Less: allowance for doubtful accounts (19,274 ) (15,505 ) Less: allowance for sales returns (1,661 ) (1,907 ) $ 211,753 $ 190,448 1 Includes short-term financing receivables associated with solar power systems leased of $16.3 million and $12.5 million as of July 3, 2016 and January 3, 2016 , respectively (see Note 5 ). 2 Includes short-term retainage of $14.5 million and $11.8 million as of July 3, 2016 and January 3, 2016 , respectively. Retainage refers to the earned, but unbilled, portion of a construction and development project for which payment is deferred by the customer until certain contractual milestones are met. |
Schedule of Inventory | As of (In thousands) July 3, 2016 January 3, 2016 Inventories: Raw materials $ 164,244 $ 124,297 Work-in-process 139,022 131,258 Finished goods 164,648 126,835 $ 467,914 $ 382,390 |
Schedule of Prepaid Expenses and Other Current Assets | As of (In thousands) July 3, 2016 January 3, 2016 Prepaid expenses and other current assets: Deferred project costs $ 78,149 $ 67,479 VAT receivables, current portion 10,574 14,697 Deferred costs for solar power systems to be leased 38,522 40,988 Derivative financial instruments 5,172 8,734 Prepaid inventory — 50,615 Other receivables 69,862 78,824 Prepaid taxes 70,116 71,529 Other prepaid expenses 34,141 26,651 Other current assets 80 — $ 306,616 $ 359,517 |
Schedule Investments In Power And Distribution Projects | As of (In thousands) July 3, 2016 January 3, 2016 Project assets - plants and land: Project assets — plants $ 926,263 $ 479,108 Project assets — land 4,448 5,416 $ 930,711 $ 484,524 Project assets - plants and land, current portion $ 904,429 $ 479,452 Project assets - plants and land, net of current portion $ 26,282 $ 5,072 |
Schedule of Property, Plant and Equipment | As of (In thousands) July 3, 2016 January 3, 2016 Property, plant and equipment, net: Manufacturing equipment 1 $ 665,567 $ 556,963 Land and buildings 32,134 32,090 Leasehold improvements 394,447 244,098 Solar power systems 2 151,735 141,075 Computer equipment 115,443 103,443 Furniture and fixtures 11,414 10,640 Construction-in-process 90,963 247,511 1,461,703 1,335,820 Less: accumulated depreciation (642,992 ) (604,590 ) $ 818,711 $ 731,230 1 The Company's mortgage loan agreement with International Finance Corporation ("IFC") is collateralized by certain manufacturing equipment with a net book value of $70.1 million and $85.1 million as of July 3, 2016 and January 3, 2016 , respectively. 2 Includes $120.1 million and $110.4 million of solar power systems associated with sale-leaseback transactions under the financing method as of July 3, 2016 and January 3, 2016 , respectively, which are depreciated using the straight-line method to their estimated residual values over the lease terms of up to 20 years (see Note 5 ). |
Schedule of Property, Plant and Equipment by Geographic Region | As of (In thousands) July 3, 2016 January 3, 2016 Property, plant and equipment, net by geography 1 : Philippines $ 516,961 $ 460,420 United States 219,312 201,419 Mexico 58,783 44,164 Europe 22,588 22,962 Other 1,067 2,265 $ 818,711 $ 731,230 1 Property, plant and equipment, net by geography is based on the physical location of the assets. |
Schedule of Other Long-Term Assets | As of (In thousands) July 3, 2016 January 3, 2016 Other long-term assets: Equity method investments $ 186,172 $ 186,405 Cost method investments 48,485 36,369 Other 82,438 75,201 $ 317,095 $ 297,975 |
Schedule of Accrued Liabilities | As of (In thousands) July 3, 2016 January 3, 2016 Accrued liabilities: Employee compensation and employee benefits $ 57,974 $ 59,476 Deferred revenue 25,389 19,887 Short-term residential lease financing 19,783 7,395 Interest payable 15,318 8,165 Short-term warranty reserves 7,522 16,639 Restructuring reserve 1,065 1,823 VAT payables 6,243 4,225 Derivative financial instruments 10,522 2,316 Inventory payable — 50,615 Liability due to 8point3 Energy Partners — 9,952 Proceeds from 8point3 Energy Partners attributable to pre-COD projects 11,239 — Contributions from noncontrolling interests attributable to pre-COD projects 52,494 — Taxes payable 38,370 36,824 Other 127,955 96,180 $ 373,874 $ 313,497 |
Schedule of Other Long-Term Liabilities | As of (In thousands) July 3, 2016 January 3, 2016 Other long-term liabilities: Deferred revenue $ 179,321 $ 179,779 Long-term warranty reserves 157,262 147,488 Long-term sale-leaseback financing 138,871 125,286 Long-term residential lease financing with 8point3 Energy Partners 29,407 29,389 Unrecognized tax benefits 44,131 43,297 Long-term pension liability 13,703 12,014 Derivative financial instruments 1,962 1,033 Other 14,260 26,271 $ 578,917 $ 564,557 |
Schedule of Accumulated Other Comprehensive Income (Loss) | As of (In thousands) July 3, 2016 January 3, 2016 Accumulated other comprehensive loss: Cumulative translation adjustment $ (9,607 ) $ (11,164 ) Net unrealized gain (loss) on derivatives (939 ) 5,942 Net loss on long-term pension liability adjustment (2,055 ) (2,055 ) Deferred taxes — (746 ) $ (12,601 ) $ (8,023 ) |
Leasing (Tables)
Leasing (Tables) | 6 Months Ended |
Jul. 03, 2016 | |
Leases [Abstract] | |
Schedule of property subject to or available for operating lease | The following table summarizes "Solar power systems leased and to be leased, net" under operating leases on the Company's Consolidated Balance Sheets as of July 3, 2016 and January 3, 2016 : As of (In thousands) July 3, 2016 January 3, 2016 Solar power systems leased and to be leased, net 1,2 : Solar power systems leased $ 619,311 $ 543,358 Solar power systems to be leased 32,936 34,319 652,247 577,677 Less: accumulated depreciation (57,981 ) (46,157 ) $ 594,266 $ 531,520 1 Solar power systems leased and to be leased, net are physically located exclusively in the United States. 2 As of July 3, 2016 and January 3, 2016 , the Company had pledged solar assets with an aggregate book value of $95.3 million and zero , respectively, to third-party investors as security for the Company's contractual obligations. |
Schedule of minimum future rental receipts on operating leases placed in service | The following table presents the Company's minimum future rental receipts on operating leases placed in service as of July 3, 2016 : (In thousands) Fiscal 2016 (remaining six months) Fiscal 2017 Fiscal 2018 Fiscal 2019 Fiscal 2020 Thereafter Total Minimum future rentals on operating leases placed in service 1 $ 9,508 20,425 20,465 20,505 20,546 292,630 $ 384,079 1 Minimum future rentals on operating leases placed in service does not include contingent rentals that may be received from customers under agreements that include performance-based incentives nor does it include rent receivables on operating leases sold to the 8point3 Group. |
Schedule of accounts, notes, loans and financing receivable | As of July 3, 2016 and January 3, 2016 , the Company's net investment in sales-type leases presented in "Accounts receivable, net" and "Long-term financing receivables, net" on the Company's Consolidated Balance Sheets was as follows: As of (In thousands) July 3, 2016 January 3, 2016 Financing receivables 1 : Minimum lease payments receivable 2 $ 474,023 $ 366,759 Unguaranteed residual value 61,516 50,722 Unearned income (89,362 ) (70,155 ) Net financing receivables $ 446,177 $ 347,326 Current $ 16,267 $ 12,535 Long-term $ 429,910 $ 334,791 |
Schedule of future maturities of net financing receivables | As of July 3, 2016 , future maturities of net financing receivables for sales-type leases are as follows: (In thousands) Fiscal 2016 (remaining six months) Fiscal 2017 Fiscal 2018 Fiscal 2019 Fiscal 2020 Thereafter Total Scheduled maturities of minimum lease payments receivable 1 $ 11,956 23,599 23,794 23,997 24,205 366,472 $ 474,023 1 Minimum future rentals on sales-type leases placed in service does not include contingent rentals that may be received from customers under agreements that include performance-based incentives. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jul. 03, 2016 | |
Fair Value Disclosures [Abstract] | |
Summary of assets and liabilities measured and recorded at fair value on a recurring basis | The following table summarizes the Company's assets and liabilities measured and recorded at fair value on a recurring basis as of July 3, 2016 and January 3, 2016 : July 3, 2016 January 3, 2016 (In thousands) Total Level 1 Level 2 Total Level 1 Level 2 Assets Cash and cash equivalents 1 : Money market funds $ 112,624 $ 112,624 $ — $ 540,000 $ 540,000 $ — Prepaid expenses and other current assets: Derivative financial instruments (Note 11) 5,172 — 5,172 8,734 — 8,734 Other long-term assets: Derivative financial instruments (Note 11) 474 — 474 — — — Total assets $ 118,270 $ 112,624 $ 5,646 $ 548,734 $ 540,000 $ 8,734 Liabilities Accrued liabilities: Derivative financial instruments (Note 11) 10,522 — 10,522 2,316 — 2,316 Other long-term liabilities: Derivative financial instruments (Note 11) 1,962 — 1,962 1,033 — 1,033 Total liabilities $ 12,484 $ — $ 12,484 $ 3,349 $ — $ 3,349 1 The Company's cash equivalents consist of money market fund instruments and commercial paper that are classified as available-for-sale and are highly liquid investments with original maturities of 90 days or less. The Company's money market fund instruments are categorized within Level 1 of the fair value hierarchy because they are valued using quoted market prices for identical instruments in active markets. |
Summary of fair value on derivative instruments | |
Schedule of related party transactions | Related-Party Transactions with Total and its Affiliates: Three Months Ended Six Months Ended (In thousands) July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Revenue: EPC, O&M, and components revenue under joint projects $ 20,613 $ 2,208 $ 61,529 $ 2,963 Research and development expense: Offsetting contributions received under the R&D Agreement $ (421 ) $ (395 ) $ (421 ) $ (817 ) Interest expense: Guarantee fees incurred under the Credit Support Agreement $ 1,622 $ 2,272 $ 3,268 $ 4,998 Interest expense incurred on the 0.75% debentures due 2018 $ 375 $ 375 $ 750 $ 750 Interest expense incurred on the 0.875% debentures due 2021 $ 547 $ 547 $ 1,094 $ 1,094 Interest expense incurred on the 4.00% debentures due 2023 $ 1,000 n/a $ 2,000 n/a As of (In thousands) July 3, 2016 January 3, 2016 Accounts receivable $ 18,071 $ 32,389 Other long-term assets $ 1,497 $ 1,455 Accounts payable $ 31,441 $ 42,080 Accrued liabilities $ 11,239 $ 9,952 Customer advances $ 1,332 $ 710 Other long-term liabilities $ 29,407 $ 29,389 Three Months Ended Six Months Ended (In thousands) July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Payments made to investees for products/services $ 115,879 $ 108,853 $ 239,509 $ 228,030 Revenues and fees received from investees for products/services 1 $ 17,404 $ 21,199 $ 132,049 $ 26,802 |
Restructuring (Tables)
Restructuring (Tables) | 6 Months Ended |
Jul. 03, 2016 | |
Restructuring and Related Activities [Abstract] | |
Summary of restructuring and related costs | The following table summarizes the restructuring charges recognized in the Company's Consolidated Statements of Operations: Six Months Ended (In thousands) July 3, 2016 June 28, 2015 Cumulative To Date Non-cash impairment charges $ — $ 5 $ 61,320 Severance and benefits 350 3,178 61,949 Lease and related termination costs (280 ) — 6,704 Other costs 1 143 2,147 13,680 Total restructuring charges $ 213 $ 5,330 $ 143,653 |
Schedule of restructuring reserve | 1 Other costs primarily represent associated legal services and costs of relocating employees. The following table summarizes the restructuring reserve activity during the six months ended July 3, 2016 : Six Months Ended (In thousands) January 3, 2016 Charges (Benefits) Payments July 3, 2016 Severance and benefits $ 395 $ 350 $ (157 ) $ 588 Lease and related termination costs 743 (280 ) (203 ) 260 Other costs 1 685 143 (611 ) 217 Total restructuring liability $ 1,823 $ 213 $ (971 ) $ 1,065 1 Other costs primarily represent associated legal services and costs of relocating employees. |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 6 Months Ended |
Jul. 03, 2016 | |
Future Financing Commitments [Line Items] | |
Commitments Disclosure [Text Block] | The Company is required to provide certain funding under the joint venture agreement with AU Optronics Singapore Pte. Ltd. ("AUO") and other unconsolidated investees, subject to certain conditions (see Note 9 ). As of July 3, 2016 , the Company's financing obligations related to these agreements are as follows: (In thousands) Amount Year 2016 (remaining six months) $ 176,742 2017 2,366 $ 179,108 |
Summary of unrecorded unconditional purchase obligations | Future purchase obligations under non-cancellable purchase orders and long-term supply agreements as of July 3, 2016 are as follows: (In thousands) Fiscal 2016 (remaining six months) Fiscal 2017 Fiscal 2018 Fiscal 2019 Fiscal 2020 Thereafter Total 1,2 Future purchase obligations $ 763,595 354,224 200,165 175,730 161,847 3,000 $ 1,658,561 1 Total future purchase obligations as of July 3, 2016 include $206.3 million to related parties. 2 Total future purchase obligations were composed of $244.9 million related to non-cancellable purchase orders and $1.4 billion related to long-term supply agreements. |
Schedule of estimated utilization of advances from customers | The estimated utilization of advances from customers as of July 3, 2016 is as follows: (In thousands) Fiscal 2016 (remaining six months) Fiscal 2017 Fiscal 2018 Fiscal 2019 Fiscal 2020 Thereafter Total Estimated utilization of advances from customers $ 13,621 41,442 27,039 28,842 43,263 — $ 154,207 |
Schedule of product warranty liability | The following table summarizes accrued warranty activity for the three and six months ended July 3, 2016 and June 28, 2015 , respectively: Three Months Ended Six Months Ended (In thousands) July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Balance at the beginning of the period $ 166,440 $ 154,098 $ 164,127 $ 154,648 Accruals for warranties issued during the period 3,235 4,181 9,114 12,342 Settlements and adjustments during the period (4,891 ) (1,748 ) (8,457 ) (10,459 ) Balance at the end of the period $ 164,784 $ 156,531 $ 164,784 $ 156,531 |
Equity Method Investments Sched
Equity Method Investments Schedule of Related Party Transactions (Tables) | 6 Months Ended |
Jul. 03, 2016 | |
Related Party Transaction [Line Items] | |
Schedule of related party transactions | Related-Party Transactions with Total and its Affiliates: Three Months Ended Six Months Ended (In thousands) July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Revenue: EPC, O&M, and components revenue under joint projects $ 20,613 $ 2,208 $ 61,529 $ 2,963 Research and development expense: Offsetting contributions received under the R&D Agreement $ (421 ) $ (395 ) $ (421 ) $ (817 ) Interest expense: Guarantee fees incurred under the Credit Support Agreement $ 1,622 $ 2,272 $ 3,268 $ 4,998 Interest expense incurred on the 0.75% debentures due 2018 $ 375 $ 375 $ 750 $ 750 Interest expense incurred on the 0.875% debentures due 2021 $ 547 $ 547 $ 1,094 $ 1,094 Interest expense incurred on the 4.00% debentures due 2023 $ 1,000 n/a $ 2,000 n/a As of (In thousands) July 3, 2016 January 3, 2016 Accounts receivable $ 18,071 $ 32,389 Other long-term assets $ 1,497 $ 1,455 Accounts payable $ 31,441 $ 42,080 Accrued liabilities $ 11,239 $ 9,952 Customer advances $ 1,332 $ 710 Other long-term liabilities $ 29,407 $ 29,389 Three Months Ended Six Months Ended (In thousands) July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Payments made to investees for products/services $ 115,879 $ 108,853 $ 239,509 $ 228,030 Revenues and fees received from investees for products/services 1 $ 17,404 $ 21,199 $ 132,049 $ 26,802 |
Debt and Credit Sources (Tables
Debt and Credit Sources (Tables) | 6 Months Ended |
Jul. 03, 2016 | |
Debt Disclosure [Abstract] | |
Schedule of debt | The following presents a summary of the Company's non-recourse financing arrangements, including arrangements that are not classified as debt: Aggregate Carrying Value (In thousands) July 3, 2016 January 3, 2016 Balance Sheet Classification Residential Lease Program Bridge loans $ 33,827 $ — Short-term debt and Long-term debt Long-term loans 174,062 171,752 Short-term debt and Long-term debt Financing arrangements with third parties 49,190 36,784 Accrued liabilities and Other long-term liabilities Tax equity partnership flip facilities 140,657 128,594 Redeemable non-controlling interests in subsidiaries and non-controlling interests in subsidiaries Power Plant and Commercial Projects Stanford and Turlock credit facility $ 201,563 $ — Short-term debt and Long-term debt Henrietta credit facility 216,691 216,691 Short-term debt and Long-term debt Boulder credit facility 117,825 — Short-term debt and Long-term debt Rio Bravo credit facility 80,086 — Short-term debt Wildwood credit facility 26,088 — Short-term debt Hooper credit facility — 37,269 Short-term debt and Long-term debt Construction Revolver 12,301 — Long-term debt Arizona loan 8,030 8,113 Short-term debt and Long-term debt The following table summarizes the Company's outstanding debt on its Consolidated Balance Sheets: July 3, 2016 January 3, 2016 (In thousands) Face Value Short-term Long-term Total Face Value Short-term Long-term Total Convertible debt: 4.00% debentures due 2023 $ 425,000 $ — $ 416,831 $ 416,831 $ 425,000 $ — $ 416,369 $ 416,369 0.875% debentures due 2021 400,000 — 396,749 396,749 400,000 — 396,424 396,424 0.75% debentures due 2018 300,000 — 298,547 298,547 300,000 — 298,167 298,167 IFC mortgage loan 25,000 14,994 9,452 24,446 32,500 14,994 16,778 31,772 CEDA loan 30,000 — 28,002 28,002 30,000 — 27,778 27,778 Non-recourse financing and other debt 1 876,801 334,703 536,520 871,223 435,963 4,642 429,981 434,623 $ 2,056,801 $ 349,697 $ 1,686,101 $ 2,035,798 $ 1,623,463 $ 19,636 $ 1,585,497 $ 1,605,133 1 Other debt excludes payments related to capital leases, which are disclosed in Note 8 . |
Schedule of maturities of debt | As of July 3, 2016 , the aggregate future contractual maturities of the Company's outstanding debt, at face value, were as follows: (In thousands) Fiscal 2016 (remaining six months) Fiscal 2017 Fiscal 2018 Fiscal 2019 Fiscal 2020 Thereafter Total Aggregate future maturities of outstanding debt $ 225,212 143,909 365,468 23,362 34,423 1,264,427 $ 2,056,801 |
Schedule of long-term convertible debt instruments | The following table summarizes the Company's outstanding convertible debt: July 3, 2016 January 3, 2016 (In thousands) Carrying Value Face Value Fair Value 1 Carrying Value Face Value Fair Value 1 Convertible debt: 4.00% debentures due 2023 $ 416,831 $ 425,000 $ 373,907 $ 416,369 $ 425,000 $ 515,903 0.875% debentures due 2021 396,749 400,000 324,000 396,424 400,000 340,500 0.75% debentures due 2018 298,547 300,000 283,875 298,167 300,000 396,792 $ 1,112,127 $ 1,125,000 $ 981,782 $ 1,110,960 $ 1,125,000 $ 1,253,195 1 The fair value of the convertible debt was determined using Level 2 inputs based on quarterly market prices as reported by an independent pricing source. |
Derivative Financial Instrume37
Derivative Financial Instruments (Tables) | 6 Months Ended |
Jul. 03, 2016 | |
Foreign Currency Derivatives [Abstract] | |
Schedule of hedge instruments measured at fair value on a recurring basis | The following tables present information about the Company's hedge instruments measured at fair value on a recurring basis as of July 3, 2016 and January 3, 2016 , all of which utilize Level 2 inputs under the fair value hierarchy: (In thousands) Balance Sheet Classification July 3, 2016 January 3, 2016 Assets: Derivatives designated as hedging instruments: Foreign currency option contracts Prepaid expenses and other current assets $ 1,022 $ — Foreign currency option contracts Other long-term assets 474 — $ 1,496 $ — Derivatives not designated as hedging instruments: Foreign currency option contracts Prepaid expenses and other current assets $ 1,163 $ — Foreign currency forward exchange contracts Prepaid expenses and other current assets 2,987 8,734 $ 4,150 $ 8,734 Liabilities: Derivatives designated as hedging instruments: Foreign currency option contracts Accrued liabilities $ 1,459 $ — Foreign currency forward exchange contracts Accrued liabilities — 141 Foreign currency option contracts Other long-term liabilities 569 — Interest rate contracts Other long-term liabilities 886 583 $ 2,914 $ 724 Derivatives not designated as hedging instruments: Foreign currency option contracts Accrued liabilities $ 1,214 $ — Foreign currency forward exchange contracts Accrued liabilities 7,849 2,175 Interest rate contracts Other long-term liabilities 507 450 $ 9,570 $ 2,625 |
Schedule of offsetting assets and liabilities | July 3, 2016 Gross Amounts Not Offset in the Consolidated Balance Sheets, but Have Rights to Offset (In thousands) Gross Amounts Recognized Gross Amounts Offset Net Amounts Presented Financial Instruments Cash Collateral Net Amounts Derivative assets $ 5,646 $ — $ 5,646 $ 5,646 $ — $ — Derivative liabilities $ 12,484 $ — $ 12,484 $ 5,646 $ — $ 6,838 January 3, 2016 Gross Amounts Not Offset in the Consolidated Balance Sheets, but Have Rights to Offset (In thousands) Gross Amounts Recognized Gross Amounts Offset Net Amounts Presented Financial Instruments Cash Collateral Net Amounts Derivative assets $ 8,734 $ — $ 8,734 $ 2,316 $ — $ 6,418 Derivative liabilities $ 3,349 $ — $ 3,349 $ 2,316 $ — $ 1,033 |
Schedule of derivative instruments, effect on other comprehensive income (loss) | The following table summarizes the pre-tax amount of unrealized gain or loss recognized in "Accumulated other comprehensive income" ("OCI") in "Stockholders' equity" in the Consolidated Balance Sheets: Three Months Ended Six Months Ended (In thousands) July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Derivatives designated as cash flow hedges: Gain (loss) in OCI at the beginning of the period $ (803 ) $ (5,631 ) $ 5,942 $ (1,443 ) Unrealized gain (loss) recognized in OCI (effective portion) (326 ) 7,343 (11 ) 4,635 Less: Gain reclassified from OCI to revenue (effective portion) 190 (2,347 ) (6,870 ) (3,827 ) Net change in derivatives $ (136 ) $ 4,996 $ (6,881 ) $ 808 Loss in OCI at the end of the period $ (939 ) $ (635 ) $ (939 ) $ (635 ) |
Schedule of gain or loss recognized in Statement of Operations | The following table summarizes the amount of gain or loss recognized in "Other, net" in the Consolidated Statements of Operations in the three and six months ended July 3, 2016 , and June 28, 2015 : Three Months Ended Six Months Ended (In thousands) July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Derivatives designated as cash flow hedges: Loss recognized in "Other, net" on derivatives (ineffective portion and amount excluded from effectiveness testing) $ (1,211 ) $ (1,968 ) $ (1,671 ) $ (5,223 ) Derivatives not designated as hedging instruments: Gain (loss) recognized in "Other, net" $ (5,394 ) $ (8,417 ) $ (11,709 ) $ (902 ) |
Net Income (Loss) Per Share (Ta
Net Income (Loss) Per Share (Tables) | 6 Months Ended |
Jul. 03, 2016 | |
Earnings Per Share [Abstract] | |
Schedule of income (loss) per share | The following table presents the calculation of basic and diluted net income (loss) per share: Three Months Ended Six Months Ended (In thousands, except per share amounts) July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Basic net income (loss) per share: Numerator Net income (loss) attributable to stockholders $ (69,992 ) $ 6,509 $ (155,401 ) $ (3,072 ) Denominator Basic weighted-average common shares 138,084 134,376 137,644 133,205 Basic net income (loss) per share $ (0.51 ) $ 0.05 $ (1.13 ) $ (0.02 ) Diluted net income (loss) per share: Numerator Net income (loss) attributable to stockholders $ (69,992 ) $ 6,509 $ (155,401 ) $ (3,072 ) Add: Interest expense incurred on the 4.00% debentures due 2023, net of tax — n/a — n/a Add: Interest expense incurred on the 0.75% debentures due 2018, net of tax — 512 — — Add: Interest expense incurred on the 0.875% debentures due 2021, net of tax — — — — Net income (loss) available to common stockholders $ (69,992 ) $ 7,021 $ (155,401 ) $ (3,072 ) Denominator Basic weighted-average common shares 138,084 134,376 137,644 133,205 Effect of dilutive securities: Stock options — 36 — — Restricted stock units — 1,483 — — Upfront Warrants (held by Total) — 7,201 — — Warrants (under the CSO2015) n/a 1,873 n/a — 4.00% debentures due 2023 — n/a — — 0.75% debentures due 2018 — 12,026 — — 0.875% debentures due 2021 — — — — Dilutive weighted-average common shares 138,084 156,995 137,644 133,205 Diluted net income (loss) per share $ (0.51 ) $ 0.04 $ (1.13 ) $ (0.02 ) |
Schedule of outstanding anti-dilutive potential common stock excluded from income per share | The following is a summary of outstanding anti-dilutive potential common stock that was excluded from income (loss) per diluted share in the following periods: Three Months Ended Six Months Ended (In thousands) July 3, 2016 1 June 28, 2015 July 3, 2016 1 June 28, 2015 1 Stock options 147 149 147 185 Restricted stock units 5,502 293 5,502 1,776 Upfront Warrants (held by Total) 5,338 — 5,853 7,055 Warrants (under the CSO2015) n/a — n/a 1,827 4.00% debentures due 2023 13,922 n/a 13,922 n/a 0.75% debentures due 2018 12,026 — 12,026 12,026 0.875% debentures due 2021 8,203 8,203 8,203 8,203 1 As a result of the net loss per share for the three and six months ended July 3, 2016 and the six months ended June 28, 2015 , the inclusion of all potentially dilutive stock options, restricted stock units, and common shares under noted warrants and convertible debt would be anti-dilutive. Therefore, those stock options, restricted stock units and shares were excluded from the computation of the weighted-average shares for diluted net loss per share for such periods. |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 6 Months Ended |
Jul. 03, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Summary of stock-based compensation expense by line item on the Statement of Operations | The following table summarizes the consolidated stock-based compensation expense by line item in the Consolidated Statements of Operations: Three Months Ended Six Months Ended (In thousands) July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Cost of Residential revenue $ 1,652 $ 1,212 $ 2,479 $ 2,134 Cost of Commercial revenue 745 531 1,397 919 Cost of Power Plant revenue 3,066 1,517 5,712 2,773 Research and development 2,966 2,380 5,998 4,653 Sales, general and administrative 8,046 8,400 17,409 17,107 Total stock-based compensation expense $ 16,475 $ 14,040 $ 32,995 $ 27,586 |
Summary of stock-based compensation expense by type of award | The following table summarizes the consolidated stock-based compensation expense by type of award: Three Months Ended Six Months Ended (In thousands) July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Restricted stock units $ 15,734 $ 14,885 $ 33,167 $ 29,389 Change in stock-based compensation capitalized in inventory 741 (845 ) (172 ) (1,803 ) Total stock-based compensation expense $ 16,475 $ 14,040 $ 32,995 $ 27,586 |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Jul. 03, 2016 | |
Segment Reporting [Abstract] | |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Table Text Block] | Three Months Ended Six Months Ended (In thousands): July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 EBITDA as reviewed by CODM Distributed Generation Residential $ 37,092 $ 75,082 $ 66,670 $ 107,706 Commercial 244 (2,088 ) (2,196 ) (8,988 ) Power Plant (15,922 ) 20,796 (24,800 ) 51,973 Corporate and unallocated 8,490 (30,235 ) (3,464 ) (28,305 ) Total EBITDA as reviewed by CODM $ 29,904 $ 63,555 $ 36,210 $ 122,386 Reconciliation to Consolidated Statements of Income (Loss) 8point3 Energy Partners (18,039 ) 4,688 (28,758 ) 4,688 Utility and power plant projects (4,128 ) 4,328 (7,685 ) 15,579 Sale of operating lease assets (2,979 ) — (6,099 ) — Sale-leaseback transactions (2,988 ) — (2,988 ) — Stock-based compensation (16,475 ) (14,040 ) (32,995 ) (27,586 ) Other 2,235 (13,838 ) (6,373 ) (37,908 ) Cash interest expense, net of interest income (13,144 ) (8,023 ) (25,328 ) (19,115 ) Benefit from (provision for) income taxes (6,648 ) 659 (9,829 ) (1,692 ) Depreciation (37,730 ) (30,820 ) (71,556 ) (59,424 ) Net loss attributable to stockholders $ (69,992 ) $ 6,509 $ (155,401 ) $ (3,072 ) |
Schedule of segment reporting information | The following tables present information by end-customer segment including revenue, gross margin, and EBITDA, each as reviewed by the CODM, as well as information about significant customers and revenue by geography, based on the destination of the shipments. Three Months Ended Six Months Ended (In thousands): July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Revenue Distributed Generation Residential Solar power systems, components, and others $ 113,274 $ 101,737 $ 208,906 $ 217,403 Residential leasing 64,441 50,468 120,616 90,126 Commercial 97,846 62,984 150,087 112,047 Power Plant 144,891 165,831 325,718 402,315 Total revenue $ 420,452 $ 381,020 $ 805,327 $ 821,891 Cost of revenue Distributed Generation Residential Solar power systems, components, and others $ 90,995 $ 80,988 $ 166,058 $ 173,355 Residential leasing 47,964 35,991 91,061 66,396 Commercial 89,523 58,842 134,749 105,722 Power Plant 150,676 134,318 320,628 314,719 Total cost of revenue $ 379,158 $ 310,139 $ 712,496 $ 660,192 Gross margin Distributed Generation Residential Solar power systems, components, and others $ 22,279 $ 20,749 $ 42,848 $ 44,048 Residential leasing 16,477 14,477 29,555 23,730 Commercial 8,323 4,142 15,338 6,325 Power Plant (5,785 ) 31,513 5,090 87,596 Total gross margin $ 41,294 $ 70,881 $ 92,831 $ 161,699 |
Schedule of revenue by major customers | Three Months Ended Six Months Ended (As a percentage of total revenue): July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Significant Customers: Business Segment 8point3 Energy Partners Power Plant * * 14 % * MidAmerican Energy Holdings Company Power Plant * 15 % * 25 % Customer C Power Plant 19 % * 10 % * |
Revenue from significant category | Three Months Ended Six Months Ended (As a percentage of total revenue): July 3, 2016 June 28, 2015 July 3, 2016 June 28, 2015 Revenue by geography: United States 79 % 62 % 78 % 66 % Japan 6 % 15 % 5 % 15 % Rest of World 15 % 23 % 17 % 19 % 100 % 100 % 100 % 100 % |
Reconciliation of segment revenue and gross margin | Three Months Ended July 3, 2016 Revenue Gross margin Revenue and Gross margin by segment (in thousands, except percentages): Residential Commercial Power Plant Residential Commercial Power Plant As reviewed by CODM $ 186,611 $ 110,492 $ 104,693 $ 42,249 22.6 % $ 11,973 10.8 % $ (1,630 ) (1.6 )% 8point3 Energy Partners 1,287 — 113 419 (179 ) (30 ) Utility and power plant projects — — 40,085 — — (4,128 ) Sale of operating lease assets (10,183 ) — — (2,966 ) — — Sale-leaseback transactions — (12,646 ) — — (2,988 ) — Stock-based compensation — — — (1,652 ) (745 ) (3,067 ) Other — — — 706 262 3,070 GAAP $ 177,715 $ 97,846 $ 144,891 $ 38,756 21.8 % $ 8,323 8.5 % $ (5,785 ) (4.0 )% Three Months Ended June 28, 2015 Revenue Gross margin Revenue and Gross margin by segment (in thousands, except percentages): Residential Commercial Power Plant Residential Commercial Power Plant As reviewed by CODM $ 152,205 $ 62,984 $ 161,518 $ 35,410 23.3 % $ 4,016 6.4 % $ 26,717 16.5 % Utility and power plant projects — — 4,313 — — 4,328 Stock-based compensation — — — (1,212 ) (531 ) (1,516 ) Other — — — 1,028 657 1,984 GAAP $ 152,205 $ 62,984 $ 165,831 $ 35,226 23.1 % $ 4,142 6.6 % $ 31,513 19.0 % Six Months Ended July 3, 2016 Revenue Gross margin Revenue and Gross margin by segment (in thousands, except percentages): Residential Commercial Power Plant Residential Commercial Power Plant As reviewed by CODM $ 347,509 $ 162,733 $ 325,196 $ 79,832 23.0 % $ 20,305 12.5 % $ 11,477 3.5 % 8point3 Energy Partners 2,599 — 13,975 904 (179 ) 4,127 Utility and power plant projects — — (13,453 ) — — (7,685 ) Sale of operating lease assets (20,586 ) — — (6,078 ) — — Sale-leaseback transactions — (12,646 ) — — (2,988 ) — Stock-based compensation — — — (2,479 ) (1,397 ) (5,713 ) Other — — — 224 (403 ) 2,884 GAAP $ 329,522 $ 150,087 $ 325,718 $ 72,403 22.0 % $ 15,338 10.2 % $ 5,090 1.6 % Six Months Ended June 28, 2015 Revenue Gross margin Revenue and Gross margin by segment (in thousands, except percentages): Residential Commercial Power Plant Residential Commercial Power Plant As reviewed by CODM $ 307,529 $ 112,047 $ 387,732 $ 70,688 23.0 % $ 7,041 6.3 % $ 76,575 19.7 % Utility and power plant projects — — 14,583 — — 15,579 Stock-based compensation — — — (2,134 ) (919 ) (2,772 ) Other — — — (776 ) 203 (1,786 ) GAAP $ 307,529 $ 112,047 $ 402,315 $ 67,778 22.0 % $ 6,325 5.6 % $ 87,596 21.8 % |
The Company and Summary of Si41
The Company and Summary of Significant Accounting Policies Property, Plant & Equipment, Estimated Useful Life (Details) | 12 Months Ended |
Dec. 28, 2014 | |
Building [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 20 years |
Leasehold Improvements [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 20 years |
Leasehold Improvements [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 1 year |
Machinery and Equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 15 years |
Machinery and Equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 8 years |
Computer Equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 7 years |
Computer Equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 2 years |
Solar power systems [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 30 years |
Furniture and Fixtures [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 5 years |
Furniture and Fixtures [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 3 years |
The Company and Summary of Si42
The Company and Summary of Significant Accounting Policies (Details) | 6 Months Ended |
Jul. 03, 2016 | |
Concentration Risk [Line Items] | |
Operating lease, term | 20 years |
Sale leaseback transactions, lease term | 25 years |
Capital leases, maximum term | 20 years |
Transactions with Total and T43
Transactions with Total and Total S.A. (Details) | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||||||||
Jan. 03, 2016USD ($)shares | Jun. 29, 2014USD ($)shares | May 31, 2013USD ($)shares$ / shares | Feb. 28, 2012USD ($)$ / sharesshares | Dec. 31, 2011$ / sharesshares | Jun. 30, 2011USD ($)$ / shares | Jul. 03, 2016USD ($)$ / shares | Jun. 28, 2015USD ($) | Jul. 03, 2016USD ($)$ / shares | Jun. 28, 2015USD ($) | Apr. 03, 2016USD ($) | |
Related Party Transaction [Line Items] | |||||||||||
Debt instrument, face value | $ 1,623,463,000 | $ 2,056,801,000 | $ 2,056,801,000 | ||||||||
Accounts receivable | 32,389,000 | 18,071,000 | $ 18,071,000 | ||||||||
EPC, O&M, and components revenue under joint projects | 20,613,000 | $ 2,208,000 | |||||||||
Offsetting contributions received under the R&D Agreement | $ 421,000 | 395,000 | |||||||||
0.75% debentures due 2018 [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Interest rate | 0.75% | 0.75% | 0.75% | ||||||||
Debt instrument, face value | 300,000,000 | $ 300,000,000 | $ 300,000,000 | $ 300,000,000 | |||||||
Debt instrument, convertible, conversion price (in dollars per share) | $ / shares | $ 24.95 | $ 24.95 | $ 24.95 | ||||||||
0.875% debentures due 2021 [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Interest rate | 0.875% | 0.875% | 0.875% | ||||||||
Debt instrument, face value | $ 400,000,000 | $ 400,000,000 | $ 400,000,000 | $ 400,000,000 | |||||||
Debt instrument, convertible, conversion price (in dollars per share) | $ / shares | $ 48.76 | $ 48.76 | |||||||||
4.00% debentures due 2023 [Member] [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Interest rate | 4.00% | 4.00% | 4.00% | ||||||||
Debt instrument, face value | $ 425,000,000 | $ 425,000,000 | $ 425,000,000 | ||||||||
Debt instrument, convertible, conversion price (in dollars per share) | $ / shares | $ 30.53 | $ 30.53 | |||||||||
Total [Member] | Construction Revolver [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Liquidity support facility, maximum capacity | $ 500,000,000 | $ 500,000,000 | |||||||||
Total [Member] | 0.875% debentures due 2021 [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Debt instrument, face value | $ 250,000,000 | ||||||||||
Total [Member] | 4.00% debentures due 2023 [Member] [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Debt instrument, face value | $ 100,000,000 | ||||||||||
Total [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Ownership after sale of stock, percentage | 57.00% | ||||||||||
Liquidity support facility, warrant, maximum ownership percentage allowed | 74.99% | ||||||||||
Total [Member] | 0.75% debentures due 2018 [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Debt instrument, face value | $ 200,000,000 | ||||||||||
Debt Instrument, Convertible, Number of Equity Instruments | shares | 8,017,420 | ||||||||||
Total [Member] | 0.875% debentures due 2021 [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Debt Instrument, Convertible, Number of Equity Instruments | shares | 5,126,775 | ||||||||||
Total [Member] | 4.00% debentures due 2023 [Member] [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Debt Instrument, Convertible, Number of Equity Instruments | shares | 3,275,680 | ||||||||||
Total [Member] | Tender Offer Agreement [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Ownership after sale of stock, percentage | 60.00% | ||||||||||
Consideration received in cash tender offer (in dollars per share) | $ / shares | $ 23.25 | ||||||||||
Cash tender offer | $ 1,400,000,000 | ||||||||||
Total [Member] | Private Placement [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Ownership after sale of stock, percentage | 66.00% | ||||||||||
Consideration received in cash tender offer (in dollars per share) | $ / shares | $ 8.80 | ||||||||||
Sale of Stock, Number of Shares Issued in Transaction | shares | 18,600,000 | ||||||||||
Total [Member] | Upfront Warrants (held by Total) [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Warrant or right, number of securities called by each warrant or right (in shares) | shares | 9,531,677 | ||||||||||
Class of warrant or right, exercise price of warrants or rights (in dollars per share) | $ / shares | $ 7.8685 | ||||||||||
Class of warrant or right, term | 7 years | ||||||||||
Liquidity support facility, warrant, minimum amount of outstanding convertible debt required to be outstanding | $ 25,000,000 | ||||||||||
Total [Member] | Interest Expense [Member] | Credit Agricole [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Interest Expense, Related Party | 1,622,000 | 2,272,000 | |||||||||
Total [Member] | Interest Expense [Member] | Credit Support Agreement [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Interest Expense, Related Party | $ 3,268,000 | $ 4,998,000 | |||||||||
Total [Member] | Interest Expense [Member] | 0.75% debentures due 2018 [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Interest Expense, Related Party | 375,000 | 375,000 | 750,000 | 750,000 | |||||||
Total [Member] | Interest Expense [Member] | 0.875% debentures due 2021 [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Interest Expense, Related Party | 547,000 | $ 547,000 | 1,094,000 | 1,094,000 | |||||||
Total [Member] | Interest Expense [Member] | 4.00% debentures due 2023 [Member] [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Interest Expense, Related Party | 1,000,000 | 2,000,000 | |||||||||
Total [Member] | Research and Development Expense [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Offsetting contributions received under the R&D Agreement | (421,000) | 817,000 | |||||||||
Total [Member] | Sales [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
EPC, O&M, and components revenue under joint projects | 61,529,000 | $ 2,963,000 | |||||||||
Total [Member] | Costs and Estimated Earnings in Excess of Billings [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Costs and estimated earnings in excess of billings | 13,300,000 | 13,300,000 | |||||||||
Total [Member] | Accounts Receivable [Member] | |||||||||||
Related Party Transaction [Line Items] | |||||||||||
Accounts receivable | $ 1,400,000 | $ 1,400,000 |
8point3 Energy Partners LP (Det
8point3 Energy Partners LP (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 28, 2015 | Jul. 03, 2016 | Jun. 28, 2015 | Jan. 03, 2016 | |
Schedule of Equity Method Investments [Line Items] | ||||
Equity method investments | $ 186,172 | $ 186,405 | ||
Proceeds from Equity Method Investment, Dividends or Distributions, Return of Capital | $ 371,000 | |||
Equity distributions received related to OpCo from 8point3 | 40.00% | |||
Economic and management stake in 8point3 Holding Company, LLC | 50.00% | |||
Proceeds from 8point3 Energy Partners IPO attributable to pre-COD projects | $ 11,239 | 0 | ||
Pledged Solar Assets, carrying value | 76,000 | 78,000 | ||
Proceeds from 8point3 Energy Partners LP attributable to real estate projects and residential lease portfolio | 9,838 | $ (341,174) | ||
Derecognition of Equity Method Investment | 8,700 | |||
8Point3 Energy [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Equity method investments | $ (34,200) | $ (30,900) |
Business Combinations (Details)
Business Combinations (Details) - USD ($) $ in Thousands | Jul. 03, 2016 | Jan. 03, 2016 |
Business Acquisition [Line Items] | ||
Goodwill | $ 57,565 | $ 58,135 |
Goodwill and Other Intangible46
Goodwill and Other Intangible Assets - Goodwill RollForward (Details) $ in Thousands | 6 Months Ended |
Jul. 03, 2016USD ($) | |
Goodwill [Line Items] | |
Adjustments to goodwill | $ (570) |
Goodwill [Roll Forward] | |
Goodwill, beginning of period | 58,135 |
Goodwill, end of period | 57,565 |
Commercial [Member] | |
Goodwill [Line Items] | |
Adjustments to goodwill | (570) |
Goodwill [Roll Forward] | |
Goodwill, beginning of period | 10,314 |
Goodwill, end of period | 9,744 |
Residential leases [Member] | |
Goodwill [Line Items] | |
Adjustments to goodwill | 0 |
Goodwill [Roll Forward] | |
Goodwill, beginning of period | 32,180 |
Goodwill, end of period | 32,180 |
Power Plant [Member] | |
Goodwill [Line Items] | |
Adjustments to goodwill | 0 |
Goodwill [Roll Forward] | |
Goodwill, beginning of period | 15,641 |
Goodwill, end of period | $ 15,641 |
Goodwill and Other Intangible47
Goodwill and Other Intangible Assets - Intangible Assets (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jul. 03, 2016 | Jun. 28, 2015 | Jul. 03, 2016 | Jun. 28, 2015 | Jan. 03, 2016 | |
Acquired Finite-Lived Intangible Assets [Line Items] | |||||
Amortization of Intangible Assets | $ 3,200 | $ 600 | $ 11,500 | $ 1,100 | |
Other intangible assets, accumulated amortization | 12,283 | 12,283 | $ 5,703 | ||
Intangible Assets, Net (Excluding Goodwill) | 49,982 | 49,982 | 61,442 | ||
Other intangible assets, net | 48,763 | 48,763 | |||
Intangible Assets, Gross (Excluding Goodwill) | 62,265 | 62,265 | 67,145 | ||
Patents and Purchased Technology [Member] | |||||
Acquired Finite-Lived Intangible Assets [Line Items] | |||||
Other intangible assets, gross | 48,619 | 48,619 | 53,499 | ||
Other intangible assets, accumulated amortization | (10,645) | (10,645) | (5,328) | ||
Other intangible assets, net | 37,974 | 37,974 | 48,171 | ||
Project Pipeline Asset [Member] | |||||
Acquired Finite-Lived Intangible Assets [Line Items] | |||||
Other intangible assets, gross | 9,446 | 9,446 | 9,446 | ||
Other intangible assets, accumulated amortization | (902) | (902) | 0 | ||
Other intangible assets, net | 8,544 | 8,544 | 9,446 | ||
In Process Research and Development [Member] | |||||
Acquired Finite-Lived Intangible Assets [Line Items] | |||||
Other intangible assets, gross | 3,700 | 3,700 | 3,700 | ||
Other intangible assets, accumulated amortization | (236) | (236) | 0 | ||
Other intangible assets, net | 3,464 | 3,464 | 3,700 | ||
Other Intangible Assets [Member] | |||||
Acquired Finite-Lived Intangible Assets [Line Items] | |||||
Other intangible assets, gross | 500 | 500 | 500 | ||
Other intangible assets, accumulated amortization | (500) | (500) | (375) | ||
Other intangible assets, net | $ 0 | $ 0 | $ 125 |
Goodwill and Other Intangible48
Goodwill and Other Intangible Assets - Future Amortization (Details) - USD ($) $ in Thousands | Jul. 03, 2016 | Jan. 03, 2016 |
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Other intangible assets, net | $ 48,763 | |
Patents and Purchased Technology [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
2,015 | 9,676 | |
2,016 | 11,854 | |
2,017 | 12,014 | |
2,018 | 8,902 | |
2,019 | 6,317 | |
Other intangible assets, net | $ 37,974 | $ 48,171 |
Goodwill and Other Intangible49
Goodwill and Other Intangible Assets - Narrative (Details) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jul. 03, 2016 | Jun. 28, 2015 | Jul. 03, 2016 | Jun. 28, 2015 | Dec. 28, 2014 | Dec. 29, 2013 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||||
Goodwill, impairment loss | $ 0 | $ 0 | ||||
Amortization of Intangible Assets | $ 3,200,000 | $ 600,000 | $ 11,500,000 | $ 1,100,000 |
Balance Sheet Components (Detai
Balance Sheet Components (Details) - USD ($) $ in Thousands | 6 Months Ended | ||||||
Jul. 03, 2016 | Apr. 03, 2016 | Jan. 03, 2016 | Jun. 28, 2015 | Mar. 29, 2015 | Dec. 28, 2014 | ||
Accounts receivable, net: | |||||||
Accounts receivable, gross | $ 232,688 | [1],[2] | $ 207,860 | ||||
Less: allowance for doubtful accounts | (19,274) | (15,505) | |||||
Less: allowance for sales returns | (1,661) | (1,907) | |||||
Accounts receivable, net | 211,753 | [3] | 190,448 | ||||
Short-term financing receivable | (16,267) | (12,535) | |||||
Short-term retainage | 14,500 | 11,800 | |||||
Inventory Disclosure [Abstract] | |||||||
Raw materials | 164,244 | 124,297 | |||||
Work-in-process | 139,022 | 131,258 | |||||
Finished goods | 164,648 | 126,835 | |||||
Inventories | 467,914 | 382,390 | |||||
Prepaid Expense and Other Assets, Current [Abstract] | |||||||
Deferred project costs | 78,149 | 67,479 | |||||
VAT receivables, current portion | 10,574 | 14,697 | |||||
Deferred costs for solar power systems to be leased | 38,522 | 40,988 | |||||
Derivative financial instruments | 5,172 | 8,734 | |||||
Prepaid inventory | 0 | 50,615 | |||||
Other receivables | 69,862 | 78,824 | |||||
Prepaid taxes | 70,116 | 71,529 | |||||
Other prepaid expenses | 34,141 | 26,651 | |||||
Other current assets | 80 | 0 | |||||
Prepaid expenses and other current assets | 306,616 | [3] | 359,517 | ||||
Project Assets [Abstract] | |||||||
Project assets — plants | 926,263 | 479,108 | |||||
Project assets — land | 4,448 | 5,416 | |||||
Project assets - plants and land | 930,711 | 484,524 | |||||
Project assets - plants and land, current portion1 | 904,429 | [3] | 479,452 | ||||
Project assets - plants and land, net of current portion | 26,282 | 5,072 | |||||
Property, plant and equipment, net: | |||||||
Manufacturing equipment | 665,567 | [4] | 556,963 | ||||
Land and buildings | 32,134 | 32,090 | |||||
Leasehold improvements | 394,447 | 244,098 | |||||
Solar power systems | 151,735 | [5] | 141,075 | ||||
Computer equipment | 115,443 | 103,443 | |||||
Furniture and fixtures | 11,414 | 10,640 | |||||
Construction-in-process | 90,963 | 247,511 | |||||
Property, plant and equipment, gross | 1,461,703 | 1,335,820 | |||||
Less: accumulated depreciation | (642,992) | (604,590) | |||||
Property, plant and equipment, net | 818,711 | [6] | 731,230 | ||||
Pledged Assets, Other, Not Separately Reported on Statement of Financial Position [Abstract] | |||||||
Solar power systems, sale leaseback | 120,100 | 110,400 | |||||
Property, plant and equipment, net by geography: | |||||||
Property, plant and equipment, net | 818,711 | [6] | 731,230 | ||||
Other Assets, Noncurrent [Abstract] | |||||||
Equity method investments | 186,172 | 186,405 | |||||
Cost method investments | 48,485 | 36,369 | |||||
Other | 82,438 | 75,201 | |||||
Other long-term assets | 317,095 | [3] | 297,975 | ||||
Accrued Liabilities, Current [Abstract] | |||||||
Employee compensation and employee benefits | 57,974 | 59,476 | |||||
Deferred revenue | 25,389 | 19,887 | |||||
Short-term residential lease financing | 19,783 | 7,395 | |||||
Interest payable | 15,318 | 8,165 | |||||
Short-term warranty reserves | 7,522 | 16,639 | |||||
Restructuring reserve | 1,065 | 1,823 | |||||
VAT payables | 6,243 | 4,225 | |||||
Derivative financial instruments | 10,522 | 2,316 | |||||
Inventory payable | 0 | 50,615 | |||||
Proceeds from 8point3 Energy Partners IPO attributable to pre-COD projects | 11,239 | 0 | |||||
Contributions from noncontrolling interests attributable to pre-COD projects | 52,494 | 0 | |||||
Taxes payable | 38,370 | 36,824 | |||||
Liability due to 8point3 Energy Partners | 0 | 9,952 | |||||
Other | 127,955 | 96,180 | |||||
Accrued liabilities | 373,874 | [3] | 313,497 | ||||
Other Liabilities, Noncurrent [Abstract] | |||||||
Deferred revenue | 179,321 | 179,779 | |||||
Long-term warranty reserves | 157,262 | 147,488 | |||||
Long-term sale-leaseback financing | 138,871 | 125,286 | |||||
Long-term residential lease financing with 8point3 Energy Partners | 29,407 | 29,389 | |||||
Unrecognized tax benefits | 44,131 | 43,297 | |||||
Long-term pension liability | 13,703 | 12,014 | |||||
Derivative financial instruments | 1,962 | 1,033 | |||||
Other | 14,260 | 26,271 | |||||
Other long-term liabilities | 578,917 | [3] | 564,557 | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |||||||
Cumulative translation adjustment | (9,607) | (11,164) | |||||
Net unrealized gain (loss) on derivatives | (939) | $ (803) | 5,942 | $ (635) | $ (5,631) | $ (1,443) | |
Net loss on long-term pension liability adjustment | (2,055) | (2,055) | |||||
Deferred taxes | 0 | (746) | |||||
Accumulated other comprehensive loss | $ (12,601) | (8,023) | |||||
Residential Lease, Lease Agreement, Maximum Term | 20 years | ||||||
IFC Mortgage Loan [Member] | |||||||
Pledged Assets, Other, Not Separately Reported on Statement of Financial Position [Abstract] | |||||||
Collateralized Equipment | $ 70,100 | 85,100 | |||||
UNITED STATES | |||||||
Property, plant and equipment, net: | |||||||
Property, plant and equipment, net | 219,312 | [6] | 201,419 | ||||
Property, plant and equipment, net by geography: | |||||||
Property, plant and equipment, net | 219,312 | [6] | 201,419 | ||||
PHILIPPINES | |||||||
Property, plant and equipment, net: | |||||||
Property, plant and equipment, net | 516,961 | [6] | 460,420 | ||||
Property, plant and equipment, net by geography: | |||||||
Property, plant and equipment, net | 516,961 | [6] | 460,420 | ||||
MEXICO | |||||||
Property, plant and equipment, net: | |||||||
Property, plant and equipment, net | 58,783 | [6] | 44,164 | ||||
Property, plant and equipment, net by geography: | |||||||
Property, plant and equipment, net | 58,783 | [6] | 44,164 | ||||
Europe [Member] | |||||||
Property, plant and equipment, net: | |||||||
Property, plant and equipment, net | 22,588 | [6] | 22,962 | ||||
Property, plant and equipment, net by geography: | |||||||
Property, plant and equipment, net | 22,588 | [6] | 22,962 | ||||
UNKNOWN COUNTRY | |||||||
Property, plant and equipment, net: | |||||||
Property, plant and equipment, net | 1,067 | [6] | 2,265 | ||||
Property, plant and equipment, net by geography: | |||||||
Property, plant and equipment, net | $ 1,067 | [6] | $ 2,265 | ||||
[1] | Includes short-term financing receivables associated with solar power systems leased of $16.3 million and $12.5 million as of July 3, 2016 and January 3, 2016, respectively (see Note 5). | ||||||
[2] | Includes short-term retainage of $14.5 million and $11.8 million as of July 3, 2016 and January 3, 2016, respectively. Retainage refers to the earned, but unbilled, portion of a construction and development project for which payment is deferred by the customer until certain contractual milestones are met. | ||||||
[3] | The Company has related-party balances for transactions made with Total S.A. and its affiliates as well as unconsolidated entities in which the Company has a direct equity investment. These related-party balances are recorded within the "Accounts Receivable, net," "Costs and estimated earnings in excess of billings," "Project assets - plants and land, current portion," "Prepaid expenses and other current assets," "Other long-term assets," "Accounts payable," "Accrued Liabilities", "Customer advances, current portion," "Convertible debt, net of current portion," and "Customer advances, net of current portion" financial statement line items in the Consolidated Balance Sheets (see Note 2, Note 6, Note 9, Note 10, and Note 11). | ||||||
[4] | 1 The Company's mortgage loan agreement with International Finance Corporation ("IFC") is collateralized by certain manufacturing equipment with a net book value of $70.1 million and $85.1 million as of July 3, 2016 and January 3, 2016, respectively. | ||||||
[5] | Includes $120.1 million and $110.4 million of solar power systems associated with sale-leaseback transactions under the financing method as of July 3, 2016 and January 3, 2016, respectively, which are depreciated using the straight-line method to their estimated residual values over the lease terms of up to 20 years (see Note 5). | ||||||
[6] | Property, plant and equipment, net by geography is based on the physical location of the assets. |
Leasing (Details)
Leasing (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||||
Jul. 03, 2016 | Jun. 28, 2015 | Jul. 03, 2016 | Jun. 28, 2015 | Jan. 03, 2016 | ||||
Leasing [Line Items] | ||||||||
Pledged Assets, Not Separately Reported, Finance Receivables | $ 99,200 | $ 99,200 | $ 0 | |||||
Capital leases, maximum term | 20 years | |||||||
Solar power systems leased and to be leased [Abstract] | ||||||||
Solar power systems leased, gross | [1],[2] | 619,311 | $ 619,311 | 543,358 | ||||
Solar power systems to be leased, gross | [1],[2] | 32,936 | 32,936 | 34,319 | ||||
Solar Power Systems Leased And To Be Leased, Gross | [1],[2] | 652,247 | 652,247 | 577,677 | ||||
Accumulated depreciation - residential lease | [1],[2] | (57,981) | (57,981) | (46,157) | ||||
Solar Power Systems Leased And To Be Leased, Net | [1],[2] | 594,266 | 594,266 | 531,520 | ||||
Pledged Solar Assets, book value | 95,300 | 95,300 | 0 | |||||
Operating Leases, Future Minimum Payments Receivable [Abstract] | ||||||||
2,015 | [3] | 9,508 | 9,508 | |||||
2,016 | [3] | 20,425 | 20,425 | |||||
2,017 | [3] | 20,465 | 20,465 | |||||
2,018 | [3] | 20,505 | 20,505 | |||||
2,019 | [3] | 20,546 | 20,546 | |||||
Thereafter | [3] | 292,630 | 292,630 | |||||
Minimum future rental receipts | [3] | 384,079 | 384,079 | |||||
Financing receivables: | ||||||||
Financing receivable, gross | [5] | 474,023 | [4] | 474,023 | [4] | 366,759 | ||
Unguaranteed residual value | 61,516 | 61,516 | 50,722 | |||||
Unearned income | (89,362) | (89,362) | (70,155) | |||||
Net financing receivables | 446,177 | 446,177 | 347,326 | |||||
Current | 16,267 | 16,267 | 12,535 | |||||
Long-term | 429,910 | 429,910 | 334,791 | |||||
Capital Leases, Future Minimum Payments Receivable, Fiscal Year Maturity [Abstract] | ||||||||
2,015 | [4] | 11,956 | 11,956 | |||||
2,016 | [4] | 23,599 | 23,599 | |||||
2,017 | [4] | 23,794 | 23,794 | |||||
2,018 | [4] | 23,997 | 23,997 | |||||
2,019 | [4] | 24,205 | 24,205 | |||||
Thereafter | [4] | 366,472 | 366,472 | |||||
Financing receivable, gross | [5] | 474,023 | [4] | 474,023 | [4] | 366,759 | ||
Third-Party Financing Arrangements [Abstract] | ||||||||
Short-term residential lease financing | 19,783 | 19,783 | 7,395 | |||||
Contributions from noncontrolling interests and redeemable noncontrolling interests | 57,165 | $ 91,936 | ||||||
Net income (loss) attributable to noncontrolling interest - leasing operations | 20,200 | $ 30,100 | 36,800 | 49,700 | ||||
Net loss attributable to noncontrolling interests and redeemable noncontrolling interests | 22,189 | 29,975 | $ 38,197 | 49,444 | ||||
Sale-Leaseback [Abstract] | ||||||||
Sale leaseback transactions, lease term | 25 years | |||||||
Sale Leaseback, Residential customers lease term | 25 years | |||||||
Future minimum lease obligations | 82,200 | $ 82,200 | ||||||
Operating lease, term | 20 years | |||||||
Sale leaseback, minimum lease obligation | 116,700 | $ 116,700 | ||||||
Sale Leaseback Transaction, Net Proceeds, Financing Activities | $ 14,300 | 15,700 | $ 15,000 | |||||
Long-term sale-leaseback financing | $ 138,871 | $ 138,871 | $ 125,286 | |||||
[1] | 2 As of July 3, 2016 and January 3, 2016, the Company had pledged solar assets with an aggregate book value of $95.3 million and zero, respectively, to third-party investors as security for the Company's contractual obligations. | |||||||
[2] | Solar power systems leased and to be leased, net are physically located exclusively in the United States. | |||||||
[3] | Minimum future rentals on operating leases placed in service does not include contingent rentals that may be received from customers under agreements that include performance-based incentives nor does it include rent receivables on operating leases sold to the 8point3 Group. | |||||||
[4] | Minimum future rentals on sales-type leases placed in service does not include contingent rentals that may be received from customers under agreements that include performance-based incentives. | |||||||
[5] | {F|ahBzfndlYmZpbGluZ3MtaHJkcmoLEgZYTUxEb2MiXlhCUkxEb2NHZW5JbmZvOjM3Zjc2MTE5MGFjZjQ5ZjhhMGZiNDdhYWE1OGVmNDI3fFRleHRTZWxlY3Rpb246OTFENUY4NkIyRTBFRjBCQjFGQUVDQkE0NENDMDVDOUEM} |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - USD ($) shares in Millions | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||||
Nov. 30, 2014 | Jul. 03, 2016 | Jun. 28, 2015 | Jul. 03, 2016 | Jun. 28, 2015 | Jan. 03, 2016 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||
Other than Temporary Impairment Losses, Investments | $ 0 | ||||||
Customer Advances and Deposits, Related Party | $ 1,332,000 | 1,332,000 | $ 710,000 | ||||
Accrued liabilities: | |||||||
Derivative financial instruments (Note 11) | 10,522,000 | 10,522,000 | 2,316,000 | ||||
Other long-term liabilities: | |||||||
Derivative financial instruments (Note 11) | 1,962,000 | 1,962,000 | 1,033,000 | ||||
Related Party Transactions [Abstract] | |||||||
Accounts receivable | 18,071,000 | 18,071,000 | 32,389,000 | ||||
Accounts payable | 31,441,000 | 31,441,000 | 42,080,000 | ||||
Other long-term liabilities | 1,497,000 | 1,497,000 | 1,455,000 | ||||
Notes Payable, Related Parties | 29,407,000 | 29,407,000 | 29,389,000 | ||||
Payments made to investees for products/services | 115,879,000 | $ 108,853,000 | 239,509,000 | $ 228,030,000 | |||
Restricted long-term marketable securities | 6,362,000 | 6,362,000 | 6,475,000 | ||||
Restricted long-term marketable securities | 6,362,000 | 6,362,000 | 6,475,000 | ||||
Equity method investments | 186,172,000 | 186,172,000 | 186,405,000 | ||||
Cost method investments | 48,485,000 | 48,485,000 | 36,369,000 | ||||
Accrued liabilities, related party | 11,239,000 | 11,239,000 | 9,952,000 | ||||
Revenue from sales to investees of products/services | 17,404,000 | $ 21,199,000 | 132,049,000 | $ 26,802,000 | |||
Fair Value, Measurements, Recurring [Member] | |||||||
Cash and cash equivalents: | |||||||
Money market funds | [1] | 112,624,000 | 112,624,000 | 540,000,000 | |||
Prepaid expenses and other current assets: | |||||||
Derivative financial instruments (Note 11) | 5,172,000 | 5,172,000 | 8,734,000 | ||||
Derivative Asset | 474,000 | 474,000 | |||||
Other long-term assets: | |||||||
Total assets | 118,270,000 | 118,270,000 | 548,734,000 | ||||
Accrued liabilities: | |||||||
Derivative financial instruments (Note 11) | 10,522,000 | 10,522,000 | 2,316,000 | ||||
Other long-term liabilities: | |||||||
Derivative financial instruments (Note 11) | 1,962,000 | 1,962,000 | 1,033,000 | ||||
Total liabilities | 12,484,000 | 12,484,000 | 3,349,000 | ||||
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | |||||||
Cash and cash equivalents: | |||||||
Money market funds | [1] | 112,624,000 | 112,624,000 | 540,000,000 | |||
Prepaid expenses and other current assets: | |||||||
Derivative financial instruments (Note 11) | 0 | 0 | 0 | ||||
Other long-term assets: | |||||||
Total assets | 112,624,000 | 112,624,000 | 540,000,000 | ||||
Accrued liabilities: | |||||||
Derivative financial instruments (Note 11) | 0 | 0 | 0 | ||||
Other long-term liabilities: | |||||||
Derivative financial instruments (Note 11) | 0 | 0 | 0 | ||||
Total liabilities | 0 | 0 | 0 | ||||
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | |||||||
Cash and cash equivalents: | |||||||
Money market funds | [1] | 0 | 0 | 0 | |||
Prepaid expenses and other current assets: | |||||||
Derivative financial instruments (Note 11) | 5,172,000 | 5,172,000 | 8,734,000 | ||||
Derivative Asset | 474,000 | 474,000 | |||||
Other long-term assets: | |||||||
Total assets | 5,646,000 | 5,646,000 | 8,734,000 | ||||
Accrued liabilities: | |||||||
Derivative financial instruments (Note 11) | 10,522,000 | 10,522,000 | 2,316,000 | ||||
Other long-term liabilities: | |||||||
Derivative financial instruments (Note 11) | 1,962,000 | 1,962,000 | 1,033,000 | ||||
Total liabilities | $ 12,484,000 | $ 12,484,000 | $ 3,349,000 | ||||
4.50% debentures due 2015 [Member] | |||||||
Other long-term liabilities: | |||||||
Interest rate | 4.50% | 4.50% | |||||
Tendril Networks Inc [Member] | Preferred Stock [Member] | |||||||
Fair Value Inputs, Quantitative Information [Abstract] | |||||||
Cost method investment, original cost | $ 20,000,000 | ||||||
Tendril Networks Inc [Member] | Common Stock [Member] | |||||||
Fair Value Inputs, Quantitative Information [Abstract] | |||||||
Cost method investment, agreement to purchase additional interest (in shares) | 14 | ||||||
SunPower Inc [Member] | Tendril Networks Inc [Member] | Master Services Agreement and Statement of Works [Member] | |||||||
Fair Value Inputs, Quantitative Information [Abstract] | |||||||
Cost method investments, joint investment in development project | $ 13,000,000 | ||||||
[1] | 1 The Company's cash equivalents consist of money market fund instruments and commercial paper that are classified as available-for-sale and are highly liquid investments with original maturities of 90 days or less. The Company's money market fund instruments are categorized within Level 1 of the fair value hierarchy because they are valued using quoted market prices for identical instruments in active markets. |
Restructuring (Details)
Restructuring (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 03, 2016 | Jun. 28, 2015 | Jul. 03, 2016 | Jun. 28, 2015 | |
Restructuring Charges [Abstract] | ||||
Restructuring charges | $ 5,330 | |||
Restructuring cost incurred to date | $ 143,653 | $ 143,653 | ||
Restructuring Reserve [Roll Forward] | ||||
Restructuring Reserve, beginning | 1,823 | |||
Restructuring charges | 117 | $ 1,749 | 213 | 5,330 |
Restructuring reserve, payments | 971 | |||
Restructuring Reserve, end | 1,065 | 1,065 | ||
Employee Severance [Member] | November 2014 Plan [Member] | ||||
Restructuring Charges [Abstract] | ||||
Restructuring charges | 3,178 | |||
Restructuring cost incurred to date | 61,949 | 61,949 | ||
Restructuring Reserve [Roll Forward] | ||||
Restructuring Reserve, beginning | 395 | |||
Restructuring charges | 350 | |||
Restructuring reserve, payments | 157 | |||
Restructuring Reserve, end | 588 | 588 | ||
Facility Closing [Member] | November 2014 Plan [Member] | ||||
Restructuring Charges [Abstract] | ||||
Restructuring charges | (280) | 0 | ||
Restructuring cost incurred to date | 6,704 | 6,704 | ||
Restructuring Reserve [Roll Forward] | ||||
Restructuring Reserve, beginning | 743 | |||
Restructuring reserve, payments | 203 | |||
Restructuring Reserve, end | 260 | 260 | ||
Other Restructuring [Member] | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring charges | 213 | |||
Other Restructuring [Member] | November 2014 Plan [Member] | ||||
Restructuring Charges [Abstract] | ||||
Restructuring charges | 2,147 | |||
Restructuring cost incurred to date | 13,680 | 13,680 | ||
Restructuring Reserve [Roll Forward] | ||||
Restructuring Reserve, beginning | 685 | |||
Restructuring charges | 143 | |||
Restructuring reserve, payments | 611 | |||
Restructuring Reserve, end | 217 | 217 | ||
Non-cash impairment charges [Member] | November 2014 Plan [Member] | ||||
Restructuring Charges [Abstract] | ||||
Restructuring charges | 0 | $ 5 | ||
Restructuring cost incurred to date | $ 61,320 | $ 61,320 |
Commitments and Contingencies54
Commitments and Contingencies (Details) - USD ($) | Jul. 14, 2015 | Apr. 17, 2015 | Jan. 28, 2015 | Mar. 19, 2014 | Jul. 03, 2016 | Jun. 28, 2015 | Jul. 03, 2016 | Jun. 28, 2015 | Jan. 03, 2016 | |||
Leases, Operating [Abstract] | ||||||||||||
Operating leases, future minimum payments due | $ 44,900,000 | $ 44,900,000 | ||||||||||
Operating lease, term | 8 years | |||||||||||
Capital Lease Obligations [Abstract] | ||||||||||||
Capital lease obligations | 5,300,000 | $ 5,300,000 | ||||||||||
Capital leases, maximum term | 7 years | |||||||||||
Purchase commitments supply and price, term | 8 years | |||||||||||
Purchase Obligation, Fiscal Year Maturity [Abstract] | ||||||||||||
2,015 | 763,595,000 | $ 763,595,000 | ||||||||||
2,016 | 354,224,000 | 354,224,000 | ||||||||||
2,017 | 200,165,000 | 200,165,000 | ||||||||||
2,018 | 175,730,000 | 175,730,000 | ||||||||||
2,019 | 161,847,000 | 161,847,000 | ||||||||||
Thereafter | 3,000,000 | 3,000,000 | ||||||||||
Total | [1],[2] | 1,658,561,000 | 1,658,561,000 | |||||||||
Future purchase obligations to related parties | 206,300,000 | 206,300,000 | ||||||||||
Future purchase obligations related to non-cancellable purchase orders | 244,900,000 | 244,900,000 | ||||||||||
Future purchase obligations related to long-term supply agreements | 1,400,000,000 | |||||||||||
Prepaid inventory | 0 | 0 | $ 50,615,000 | |||||||||
Advances to Suppliers [Abstract] | ||||||||||||
Advances to suppliers | 318,500,000 | 318,500,000 | 359,100,000 | |||||||||
Advances to suppliers, current portion | 72,061,000 | 72,061,000 | 85,012,000 | |||||||||
Advances From Customer, Maturity Profile [Abstract] | ||||||||||||
2,015 | 13,621,000 | 13,621,000 | ||||||||||
2,016 | 41,442,000 | 41,442,000 | ||||||||||
2,017 | 27,039,000 | 27,039,000 | ||||||||||
2,018 | 28,842,000 | 28,842,000 | ||||||||||
2,019 | 43,263,000 | 43,263,000 | ||||||||||
Thereafter | 0 | 0 | ||||||||||
Total | 154,207,000 | 154,207,000 | ||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Customer advances, current portion | 41,544,000 | [3] | 41,544,000 | [3] | 33,671,000 | |||||||
Movement in Standard Product Warranty Accrual [Roll Forward] | ||||||||||||
Product Warranties, beginning | 166,440,000 | $ 154,098,000 | 164,127,000 | $ 154,648,000 | 154,648,000 | |||||||
Accruals for warranties issued during the period | 3,235,000 | 4,181,000 | 9,114,000 | 12,342,000 | ||||||||
Settlements and adjustments during the period | (4,891,000) | (1,748,000) | (8,457,000) | 10,459,000 | ||||||||
Product Warranties, end | 164,784,000 | $ 156,531,000 | 164,784,000 | $ 156,531,000 | 164,127,000 | |||||||
Future Financing Commitments [Line Items] | ||||||||||||
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued | 44,131,000 | 44,131,000 | 43,297,000 | |||||||||
Unrecognized Tax Benefits Including Income Tax Penalties And Interest Accrued | 44,131,000 | 44,131,000 | 43,297,000 | |||||||||
Long-term pension liability | 13,703,000 | 13,703,000 | 12,014,000 | |||||||||
Liabilities Associated with Uncertain Tax Positions [Abstract] | ||||||||||||
Net gain (loss) on long-term pension liability adjustment | 0 | |||||||||||
Loss Contingency [Abstract] | ||||||||||||
Gain Contingency, Unrecorded Amount | 7,500,000 | 7,500,000 | ||||||||||
Future Financing Obligation | 179,108,000 | 179,108,000 | ||||||||||
First Philec Arbitration [Member] | ||||||||||||
Loss Contingency [Abstract] | ||||||||||||
Loss contingency accrual recorded | 50,500,000 | 50,500,000 | ||||||||||
Solar power systems [Member] | NRG Solar Inc. [Member] | Pending Litigation [Member] | ||||||||||||
Loss Contingency [Abstract] | ||||||||||||
Damages sought | $ 75,000,000 | |||||||||||
Sunpower Technology Ltd [Member] | AUO Group [Member] | Pending Litigation [Member] | ||||||||||||
Loss Contingency [Abstract] | ||||||||||||
Damages sought | $ 20,000,000 | |||||||||||
Gain Contingency, Unrecorded Amount | 23,000,000 | 23,000,000 | ||||||||||
Claim for disgorgement | $ 48,000,000 | |||||||||||
First Philippine Solar Corporation [Member] | SunPower Philippines Manufacturing LTD [Member] | First Philec Arbitration [Member] | Judicial Ruling [Member] | ||||||||||||
Loss Contingency [Abstract] | ||||||||||||
Court required payments to third party to buyout minority interests, amount | $ 23,200,000 | $ 30,300,000 | ||||||||||
Damages awarded | $ 25,200,000 | |||||||||||
other unconsolidated investees [Member] | ||||||||||||
Loss Contingency [Abstract] | ||||||||||||
Future Financing Obligations, Year two | 2,366,000 | 2,366,000 | ||||||||||
AUOSP [Member] | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Customer advances and deposits | 137,500,000 | 137,500,000 | 148,900,000 | |||||||||
Customer advances, current portion | 24,800,000 | 24,800,000 | $ 22,700,000 | |||||||||
Future Financing Commitments [Line Items] | ||||||||||||
Future financing obligation, year one | $ 176,742,000 | $ 176,742,000 | ||||||||||
Supplier Concentration Risk [Member] | Supplier One [Member] | ||||||||||||
Concentration Risk [Line Items] | ||||||||||||
Concentration risk, percentage | 85.00% | 82.00% | ||||||||||
Supplier Concentration Risk [Member] | Supplier Two [Member] | ||||||||||||
Concentration Risk [Line Items] | ||||||||||||
Concentration risk, percentage | 15.00% | 16.00% | ||||||||||
[1] | Total future purchase obligations were composed of $244.9 million related to non-cancellable purchase orders and $1.4 billion related to long-term supply agreements. | |||||||||||
[2] | otal future purchase obligations as of July 3, 2016 include $206.3 million to related parties. | |||||||||||
[3] | The Company has related-party balances for transactions made with Total S.A. and its affiliates as well as unconsolidated entities in which the Company has a direct equity investment. These related-party balances are recorded within the "Accounts Receivable, net," "Costs and estimated earnings in excess of billings," "Project assets - plants and land, current portion," "Prepaid expenses and other current assets," "Other long-term assets," "Accounts payable," "Accrued Liabilities", "Customer advances, current portion," "Convertible debt, net of current portion," and "Customer advances, net of current portion" financial statement line items in the Consolidated Balance Sheets (see Note 2, Note 6, Note 9, Note 10, and Note 11). |
Equity Method Investments (Deta
Equity Method Investments (Details) - USD ($) shares in Millions | 1 Months Ended | 3 Months Ended | 6 Months Ended | |||||
Nov. 30, 2014 | Oct. 31, 2012 | Dec. 31, 2011 | Jul. 03, 2016 | Jun. 28, 2015 | Jul. 03, 2016 | Jun. 28, 2015 | Jan. 03, 2016 | |
Schedule of Equity Method Investments [Line Items] | ||||||||
Related Party Transaction, Expenses from Transactions with Related Party | $ 115,879,000 | $ 108,853,000 | $ 239,509,000 | $ 228,030,000 | ||||
Accounts Receivable, Related Parties | 18,071,000 | 18,071,000 | $ 32,389,000 | |||||
Equity method investments | 186,172,000 | $ 186,172,000 | 186,405,000 | |||||
Proceeds from Equity Method Investment, Dividends or Distributions, Return of Capital | 371,000,000 | |||||||
Equity distributions received related to OpCo from 8point3 | 40.00% | |||||||
Economic and management stake in 8point3 Holding Company, LLC | 50.00% | |||||||
Pledged Solar Assets, carrying value | 76,000,000 | $ 76,000,000 | 78,000,000 | |||||
Derecognition of Equity Method Investment | 8,700,000 | 8,700,000 | ||||||
Notes Receivable, Related Parties | 1,497,000 | 1,497,000 | 1,455,000 | |||||
Accounts Payable, Related Parties | 31,441,000 | 31,441,000 | 42,080,000 | |||||
Accrued liabilities, related party | 11,239,000 | 11,239,000 | 9,952,000 | |||||
Customer Advances and Deposits, Related Party | 1,332,000 | 1,332,000 | 710,000 | |||||
Notes Payable, Related Parties | 29,407,000 | 29,407,000 | 29,389,000 | |||||
Revenue from sales to investees of products/services | $ 17,404,000 | $ 21,199,000 | $ 132,049,000 | $ 26,802,000 | ||||
CCPV [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Equity method investment, ownership percentage | 25.00% | 25.00% | ||||||
Payments to acquire equity method investments | $ 16,400,000 | |||||||
Diamond Energy [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Equity method investment, ownership percentage | 25.00% | |||||||
Payments to acquire equity method investments | $ 3,000,000 | |||||||
AUOSP [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Equity method investments | $ 208,200,000 | $ 208,200,000 | 202,300,000 | |||||
Equity method investment, ownership percentage | 50.00% | 50.00% | ||||||
Joint venture, energy output committed to purchase, percentage | 80.00% | |||||||
Future financing obligation, year one | $ 169,000,000 | $ 169,000,000 | ||||||
Additional cash contributions | 50,000,000 | 50,000,000 | ||||||
8Point3 Energy [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Equity method investments | (34,200,000) | (34,200,000) | $ (30,900,000) | |||||
Common Stock [Member] | Tendril Networks Inc [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Cost method investment, agreement to purchase additional interest (in shares) | 14 | |||||||
Preferred Stock [Member] | Tendril Networks Inc [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Cost method investment, original cost | $ 20,000,000 | |||||||
Tendril Networks Inc [Member] | SunPower Inc [Member] | Master Services Agreement and Statement of Works [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Cost method investments, joint investment in development project | $ 13,000,000 | |||||||
Letter of Credit [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Line of Credit Facility, Maximum Borrowing Capacity | 525,000,000 | 525,000,000 | ||||||
Letter of Credit [Member] | Long-term Debt [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Line of Credit Facility, Maximum Borrowing Capacity | 300,000,000 | 300,000,000 | ||||||
Letter of Credit [Member] | Credit Facility [Domain] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Line of Credit Facility, Maximum Borrowing Capacity | 25,000,000 | 25,000,000 | ||||||
Letter of Credit [Member] | Revolving Credit Facility [Member] | ||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 200,000,000 | $ 200,000,000 |
Debt and Credit Sources (Detail
Debt and Credit Sources (Details) | 1 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||||||||||||
Jan. 03, 2016USD ($)shares | Jun. 29, 2014USD ($)shares | May 31, 2013USD ($)shares$ / shares | May 31, 2010USD ($)installment | Jul. 03, 2016USD ($)$ / shares | Jun. 28, 2015USD ($)shares | Mar. 29, 2015USD ($) | Jan. 02, 2011USD ($)$ / shares | Jul. 03, 2016USD ($)$ / shares | Jun. 28, 2015USD ($)shares | Jan. 03, 2016USD ($) | Dec. 28, 2014$ / shares | Apr. 03, 2016USD ($) | Feb. 28, 2012$ / sharesshares | ||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instrument, face value | $ 1,623,463,000 | $ 2,056,801,000 | $ 2,056,801,000 | $ 1,623,463,000 | |||||||||||||
Short-term | 19,636,000 | 349,697,000 | 349,697,000 | 19,636,000 | |||||||||||||
Long-term | 1,585,497,000 | 1,686,101,000 | 1,686,101,000 | 1,585,497,000 | |||||||||||||
Debt instruments, carrying value | 1,605,133,000 | 2,035,798,000 | 2,035,798,000 | 1,605,133,000 | |||||||||||||
Net Contributions from non-controlling interests | 31,500,000 | $ 43,700,000 | 50,300,000 | $ 87,400,000 | |||||||||||||
Sale Leaseback Transaction, Other Payments Required | 37,352,000 | 226,578,000 | |||||||||||||||
Long-term Debt, Fiscal Year Maturity [Abstract] | |||||||||||||||||
2,015 | 225,212,000 | 225,212,000 | |||||||||||||||
2,016 | 143,909,000 | 143,909,000 | |||||||||||||||
2,017 | 365,468,000 | 365,468,000 | |||||||||||||||
2,018 | 23,362,000 | 23,362,000 | |||||||||||||||
2,019 | 34,423,000 | 34,423,000 | |||||||||||||||
Thereafter | 1,264,427,000 | 1,264,427,000 | |||||||||||||||
Debt instrument, face value | 1,623,463,000 | 2,056,801,000 | 2,056,801,000 | 1,623,463,000 | |||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Convertible Debt, Noncurrent | 1,110,960,000 | 1,112,127,000 | [1] | 1,112,127,000 | [1] | 1,110,960,000 | |||||||||||
Debt instrument, face value | 1,623,463,000 | 2,056,801,000 | 2,056,801,000 | $ 1,623,463,000 | |||||||||||||
Repayments of Convertible Debt | $ 324,273,000 | 0 | 324,273,000 | ||||||||||||||
Non-cash interest expense | 655,000 | 5,251,000 | |||||||||||||||
Proceeds from settlement of 4.50% Bond Hedge | $ 74,628,000 | $ 0 | 74,628,000 | ||||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Line of Credit Facility, Increase (Decrease) for Period, Description | 18,194 | 0 | |||||||||||||||
Proceeds from issuance of non-recourse residential financing, net of issuance costs | $ 53,228,000 | 54,830,000 | |||||||||||||||
Proceeds from (Repayments of) Debt | 433,492,000 | 207,710,000 | |||||||||||||||
Net income (loss) attributable to noncontrolling interest - leasing operations | (20,200,000) | (30,100,000) | (36,800,000) | (49,700,000) | |||||||||||||
Noncontrolling interests | 128,594,000 | 140,657,000 | 140,657,000 | $ 128,594,000 | |||||||||||||
Letter of Credit [Member] | |||||||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Liquidity support facility, maximum capacity | $ 525,000,000 | $ 525,000,000 | |||||||||||||||
CEDA Loan [Member] | |||||||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Interest rate | 8.50% | 8.50% | |||||||||||||||
Long-term Debt [Member] | Letter of Credit [Member] | |||||||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Liquidity support facility, maximum capacity | $ 300,000,000 | $ 300,000,000 | |||||||||||||||
California power plant [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instruments, carrying value | 0 | 201,600,000 | 201,600,000 | 0 | |||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Proceeds from (Repayments of) Debt | 112,800,000 | 192,200,000 | |||||||||||||||
California Henrietta power plant [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instruments, carrying value | 216,700,000 | 216,700,000 | 216,700,000 | 216,700,000 | |||||||||||||
Construction Revolver [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instruments, carrying value | 0 | 12,300,000 | 12,300,000 | 0 | |||||||||||||
Construction Revolver [Member] | Mizuho and Goldman Sachs [Member] | |||||||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Liquidity support facility, maximum capacity | 200,000,000 | 200,000,000 | |||||||||||||||
Letter of Credit, Additional Borrowing Capacity | 100,000,000 | $ 100,000,000 | |||||||||||||||
Line of credit facility, basis spread on libor rate, period two | 1.75% | ||||||||||||||||
Line of credit facility, basis spread on libor rate | 1.50% | ||||||||||||||||
Residential Lease Program [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instruments, carrying value | 171,800,000 | 174,100,000 | $ 174,100,000 | 171,800,000 | |||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Proceeds from (Repayments of) Debt | (1,100,000) | 54,400,000 | 2,100,000 | 54,000,000 | |||||||||||||
Colorado power plant [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instruments, carrying value | 37,300,000 | 0 | 0 | 37,300,000 | |||||||||||||
Unsecured Debt [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instrument, face value | 8,113,000 | 8,030,000 | 8,030,000 | 8,113,000 | |||||||||||||
Long-term Debt, Fiscal Year Maturity [Abstract] | |||||||||||||||||
Debt instrument, face value | 8,113,000 | 8,030,000 | 8,030,000 | 8,113,000 | |||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Debt instrument, face value | 8,113,000 | 8,030,000 | 8,030,000 | 8,113,000 | |||||||||||||
0.875% debentures due 2021 [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instrument, face value | 400,000,000 | $ 400,000,000 | 400,000,000 | 400,000,000 | 400,000,000 | ||||||||||||
Short-term | 0 | 0 | 0 | 0 | |||||||||||||
Long-term | 396,424,000 | 396,749,000 | 396,749,000 | 396,424,000 | |||||||||||||
Debt instruments, carrying value | 396,424,000 | 396,749,000 | 396,749,000 | 396,424,000 | |||||||||||||
Long-term Debt, Fiscal Year Maturity [Abstract] | |||||||||||||||||
Debt instrument, face value | 400,000,000 | 400,000,000 | 400,000,000 | 400,000,000 | 400,000,000 | ||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Debt instrument, face value | 400,000,000 | $ 400,000,000 | $ 400,000,000 | $ 400,000,000 | 400,000,000 | ||||||||||||
Interest rate | 0.875% | 0.875% | 0.875% | ||||||||||||||
Debt instrument, convertible, conversion price (in dollars per share) | $ / shares | $ 48.76 | $ 48.76 | |||||||||||||||
4.00% debentures due 2023 [Member] [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instrument, face value | 425,000,000 | $ 425,000,000 | $ 425,000,000 | 425,000,000 | |||||||||||||
Short-term | 0 | 0 | 0 | 0 | |||||||||||||
Long-term | 416,369,000 | 416,831,000 | 416,831,000 | 416,369,000 | |||||||||||||
Debt instruments, carrying value | 416,369,000 | 416,831,000 | 416,831,000 | 416,369,000 | |||||||||||||
Long-term Debt, Fiscal Year Maturity [Abstract] | |||||||||||||||||
Debt instrument, face value | 425,000,000 | 425,000,000 | 425,000,000 | 425,000,000 | |||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Debt instrument, face value | $ 425,000,000 | $ 425,000,000 | $ 425,000,000 | $ 425,000,000 | |||||||||||||
Interest rate | 4.00% | 4.00% | 4.00% | 4.00% | |||||||||||||
Debt instrument, convertible, conversion price (in dollars per share) | $ / shares | $ 30.53 | $ 30.53 | |||||||||||||||
0.75% debentures due 2018 [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instrument, face value | $ 300,000,000 | $ 300,000,000 | $ 300,000,000 | $ 300,000,000 | $ 300,000,000 | ||||||||||||
Short-term | 0 | 0 | 0 | 0 | |||||||||||||
Long-term | 298,167,000 | 298,547,000 | 298,547,000 | 298,167,000 | |||||||||||||
Debt instruments, carrying value | 298,167,000 | 298,547,000 | 298,547,000 | 298,167,000 | |||||||||||||
Long-term Debt, Fiscal Year Maturity [Abstract] | |||||||||||||||||
Debt instrument, face value | 300,000,000 | 300,000,000 | 300,000,000 | 300,000,000 | 300,000,000 | ||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Debt instrument, face value | 300,000,000 | $ 300,000,000 | $ 300,000,000 | $ 300,000,000 | 300,000,000 | ||||||||||||
Interest rate | 0.75% | 0.75% | 0.75% | ||||||||||||||
Debt instrument, convertible, conversion price (in dollars per share) | $ / shares | $ 24.95 | $ 24.95 | $ 24.95 | ||||||||||||||
4.50% debentures due 2015 [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instrument, face value | $ 250,000,000 | ||||||||||||||||
Long-term Debt, Fiscal Year Maturity [Abstract] | |||||||||||||||||
Debt instrument, face value | 250,000,000 | ||||||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Debt instrument, face value | $ 250,000,000 | ||||||||||||||||
Interest rate | 4.50% | 4.50% | |||||||||||||||
4.50% debentures due 2015 [Member] | Cash Conversion Option [Member] | |||||||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Exercise price (in dollars per share) | $ / shares | [2] | $ 22.53 | |||||||||||||||
4.50% debentures due 2015 [Member] | Bond Hedge [Member] | |||||||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Interest rate | 4.50% | ||||||||||||||||
Exercise price (in dollars per share) | $ / shares | $ 22.53 | ||||||||||||||||
Recognized non-cash loss | 0 | (52,000,000) | |||||||||||||||
4.50% debentures due 2015 [Member] | Warrants (Under the CSO2015) [Member] | |||||||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Recognized non-cash loss | $ 0 | $ 52,000,000 | |||||||||||||||
4.75% debentures due 2014 [Member] | Bond Hedge [Member] | |||||||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Interest rate | 4.75% | ||||||||||||||||
4.75% debentures due 2014 [Member] | Bond Hedge [Member] | Maximum [Member] | |||||||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Warrant or right, number of securities called by each warrant or right (in shares) | shares | 11,100,000 | 11,100,000 | |||||||||||||||
IFC Mortgage Loan [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instrument, face value | 32,500,000 | $ 75,000,000 | $ 25,000,000 | $ 25,000,000 | 32,500,000 | ||||||||||||
Short-term | 14,994,000 | 14,994,000 | 14,994,000 | 14,994,000 | |||||||||||||
Long-term | 16,778,000 | 9,452,000 | 9,452,000 | 16,778,000 | |||||||||||||
Debt instruments, carrying value | 31,772,000 | 24,446,000 | 24,446,000 | 31,772,000 | |||||||||||||
Long-term Debt, Fiscal Year Maturity [Abstract] | |||||||||||||||||
Debt instrument, face value | 32,500,000 | 75,000,000 | 25,000,000 | 25,000,000 | 32,500,000 | ||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Debt instrument, face value | 32,500,000 | $ 75,000,000 | 25,000,000 | 25,000,000 | 32,500,000 | ||||||||||||
Debt instrument, delayed repayment, deferment term | 2 years | ||||||||||||||||
Debt instrument, number of installment payments | installment | 10 | ||||||||||||||||
Debt instrument, borrowing fee, percent of principal | 1.00% | ||||||||||||||||
Debt instrument, commitment fee | 0.50% | ||||||||||||||||
Debt instrument, prepayment premium | 1.00% | ||||||||||||||||
Restricted cash and cash equivalents | 9,200,000 | 9,200,000 | 9,200,000 | 9,200,000 | |||||||||||||
Debt instrument, basis spread on variable rate | 3.00% | ||||||||||||||||
CEDA Loan [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instrument, face value | 30,000,000 | 30,000,000 | 30,000,000 | 30,000,000 | |||||||||||||
Short-term | 0 | 0 | 0 | 0 | |||||||||||||
Long-term | 27,778,000 | 28,002,000 | 28,002,000 | 27,778,000 | |||||||||||||
Debt instruments, carrying value | 27,778,000 | 28,002,000 | 28,002,000 | 27,778,000 | |||||||||||||
Long-term Debt, Fiscal Year Maturity [Abstract] | |||||||||||||||||
Debt instrument, face value | 30,000,000 | 30,000,000 | 30,000,000 | 30,000,000 | |||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Debt instrument, face value | 30,000,000 | 30,000,000 | 30,000,000 | 30,000,000 | |||||||||||||
Other Debt [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instrument, face value | [3] | 435,963,000 | 876,801,000 | 876,801,000 | 435,963,000 | ||||||||||||
Short-term | [3] | 4,642,000 | 334,703,000 | 334,703,000 | 4,642,000 | ||||||||||||
Long-term | [3] | 429,981,000 | 536,520,000 | 536,520,000 | 429,981,000 | ||||||||||||
Debt instruments, carrying value | [3] | 434,623,000 | 871,223,000 | 871,223,000 | 434,623,000 | ||||||||||||
Long-term Debt, Fiscal Year Maturity [Abstract] | |||||||||||||||||
Debt instrument, face value | [3] | 435,963,000 | 876,801,000 | 876,801,000 | 435,963,000 | ||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Debt instrument, face value | [3] | 435,963,000 | 876,801,000 | 876,801,000 | 435,963,000 | ||||||||||||
July 2013 Credit Agricole Syndicated Revolver [Member] | Letter of Credit [Member] | Credit Agricole [Member] | |||||||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Liquidity support facility, maximum capacity | 200,000,000 | 200,000,000 | |||||||||||||||
July 2013 Credit Agricole Syndicated Revolver [Member] | Line of Credit [Member] | Credit Agricole [Member] | |||||||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Line of credit facility, current borrowing capacity | 250,000,000 | 250,000,000 | |||||||||||||||
Liquidity support facility, maximum capacity | 300,000,000 | $ 300,000,000 | |||||||||||||||
Line of credit facility, basis spread on federal funds rate, period two | 0.50% | ||||||||||||||||
Line of credit facility, basis spread on libor rate, period two | 1.00% | ||||||||||||||||
July 2013 Credit Agricole Syndicated Revolver [Member] | Minimum [Member] | Line of Credit [Member] | Credit Agricole [Member] | |||||||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Line of credit facility, basis spread on base loan, period two | 0.50% | ||||||||||||||||
Line of credit facility, unused capacity, commitment fee percentage, period two | 0.25% | ||||||||||||||||
Line of credit facility, basis spread, period two | 1.50% | ||||||||||||||||
July 2013 Credit Agricole Syndicated Revolver [Member] | Maximum [Member] | Line of Credit [Member] | Credit Agricole [Member] | |||||||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Line of credit facility, basis spread on base loan, period two | 1.00% | ||||||||||||||||
Line of credit facility, unused capacity, commitment fee percentage, period two | 0.35% | ||||||||||||||||
Line of credit facility, basis spread, period two | 2.00% | ||||||||||||||||
June 2016 Letter of Credit [Member] | Letter of Credit [Member] | |||||||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Letters of Credit outstanding, amount | 0 | 246,000,000 | $ 246,000,000 | 0 | |||||||||||||
June 2016 Letter of Credit [Member] | Letter of Credit [Member] | Credit Agricole [Member] | |||||||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Liquidity support facility, maximum capacity | 75,000,000 | 75,000,000 | |||||||||||||||
June 2016 Letter of Credit [Member] | Letter of Credit [Member] | Deutsche Bank [Member] | |||||||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Liquidity support facility, maximum capacity | 50,000,000 | 50,000,000 | |||||||||||||||
Letters of Credit outstanding, amount | 0 | 46,800,000 | 46,800,000 | 0 | |||||||||||||
June 2016 Letter of Credit [Member] | Letter of Credit [Member] | Bank of Tokyo Mitsubishi [Member] | |||||||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Liquidity support facility, maximum capacity | 75,000,000 | 75,000,000 | |||||||||||||||
June 2016 Letter of Credit [Member] | Letter of Credit [Member] | HSBC [Member] | |||||||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Liquidity support facility, maximum capacity | 175,000,000 | 175,000,000 | |||||||||||||||
August 2011 Letter of Credit [Member] | Letter of Credit [Member] | Deutsche Bank [Member] | |||||||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Letters of Credit outstanding, amount | 294,500,000 | 0 | 0 | 294,500,000 | |||||||||||||
September 2011 Letter of Credit [Member] | Letter of Credit [Member] | Deutsche Bank [Member] | |||||||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Liquidity support facility, maximum capacity | 200,000,000 | 200,000,000 | |||||||||||||||
Letters of Credit outstanding, amount | 8,600,000 | 4,300,000 | 4,300,000 | 8,600,000 | |||||||||||||
Bridge Loans [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instruments, carrying value | 0 | 33,800,000 | 33,800,000 | 0 | |||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Proceeds from (Repayments of) Debt | 17,100,000 | 34,100,000 | |||||||||||||||
Residential Lease Program [Member] [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instruments, carrying value | 36,784,000 | 49,190,000 | 49,190,000 | 36,784,000 | |||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Proceeds from (Repayments of) Debt | 7,800,000 | $ (29,400,000) | 14,900,000 | $ (40,000,000) | |||||||||||||
Boulder power plant [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instruments, carrying value | 0 | 117,800,000 | 117,800,000 | 0 | |||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Proceeds from (Repayments of) Debt | 110,900,000 | ||||||||||||||||
Rio Bravo power plant [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instruments, carrying value | 0 | 80,100,000 | 80,100,000 | 0 | |||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Proceeds from (Repayments of) Debt | 77,300,000 | ||||||||||||||||
Wildwood power plant [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instruments, carrying value | $ 0 | 26,100,000 | 26,100,000 | $ 0 | |||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Proceeds from (Repayments of) Debt | 25,000,000 | ||||||||||||||||
Total [Member] | 0.875% debentures due 2021 [Member] | |||||||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Debt Instrument, Convertible, Number of Equity Instruments | shares | 5,126,775 | ||||||||||||||||
Total [Member] | 4.00% debentures due 2023 [Member] [Member] | |||||||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Debt Instrument, Convertible, Number of Equity Instruments | shares | 3,275,680 | ||||||||||||||||
Total [Member] | 0.75% debentures due 2018 [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instrument, face value | $ 200,000,000 | ||||||||||||||||
Long-term Debt, Fiscal Year Maturity [Abstract] | |||||||||||||||||
Debt instrument, face value | 200,000,000 | ||||||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Debt instrument, face value | $ 200,000,000 | ||||||||||||||||
Line of Credit Facility [Abstract] | |||||||||||||||||
Debt Instrument, Convertible, Number of Equity Instruments | shares | 8,017,420 | ||||||||||||||||
Warrant (Under the CSO2014) [Member] | |||||||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Class of warrant or right, exercise price of warrants or rights (in dollars per share) | $ / shares | $ 24 | ||||||||||||||||
Interest rate | 4.75% | ||||||||||||||||
Warrants (Under the CSO2015) [Member] | |||||||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Interest rate | 4.50% | 4.50% | |||||||||||||||
Upfront Warrants (held by Total) [Member] | Total [Member] | |||||||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Warrant or right, number of securities called by each warrant or right (in shares) | shares | 9,531,677 | ||||||||||||||||
Class of warrant or right, exercise price of warrants or rights (in dollars per share) | $ / shares | $ 7.8685 | ||||||||||||||||
Convertible Debt [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instrument, face value | $ 1,125,000,000 | 1,125,000,000 | 1,125,000,000 | $ 1,125,000,000 | |||||||||||||
Long-term Debt, Fiscal Year Maturity [Abstract] | |||||||||||||||||
Debt instrument, face value | 1,125,000,000 | 1,125,000,000 | 1,125,000,000 | 1,125,000,000 | |||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Convertible Debt, Noncurrent | 1,110,960,000 | 1,112,127,000 | 1,112,127,000 | 1,110,960,000 | |||||||||||||
Debt instrument, face value | 1,125,000,000 | 1,125,000,000 | 1,125,000,000 | 1,125,000,000 | |||||||||||||
Fair Value | [4] | 1,253,195,000 | 981,782,000 | 981,782,000 | 1,253,195,000 | ||||||||||||
Convertible Debt [Member] | 0.875% debentures due 2021 [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instrument, face value | 400,000,000 | 400,000,000 | 400,000,000 | 400,000,000 | |||||||||||||
Long-term Debt, Fiscal Year Maturity [Abstract] | |||||||||||||||||
Debt instrument, face value | 400,000,000 | 400,000,000 | 400,000,000 | 400,000,000 | |||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Convertible Debt, Noncurrent | 396,424,000 | 396,749,000 | 396,749,000 | 396,424,000 | |||||||||||||
Debt instrument, face value | 400,000,000 | 400,000,000 | 400,000,000 | 400,000,000 | |||||||||||||
Fair Value | [4] | 340,500,000 | 324,000,000 | 324,000,000 | 340,500,000 | ||||||||||||
Convertible Debt [Member] | 4.00% debentures due 2023 [Member] [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instrument, face value | 425,000,000 | 425,000,000 | 425,000,000 | 425,000,000 | |||||||||||||
Long-term Debt, Fiscal Year Maturity [Abstract] | |||||||||||||||||
Debt instrument, face value | 425,000,000 | 425,000,000 | 425,000,000 | 425,000,000 | |||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Convertible Debt, Noncurrent | 416,369,000 | 416,831,000 | 416,831,000 | 416,369,000 | |||||||||||||
Debt instrument, face value | 425,000,000 | 425,000,000 | 425,000,000 | 425,000,000 | |||||||||||||
Fair Value | [4] | 515,903,000 | 373,907,000 | 373,907,000 | 515,903,000 | ||||||||||||
Convertible Debt [Member] | 0.75% debentures due 2018 [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instrument, face value | 300,000,000 | 300,000,000 | 300,000,000 | 300,000,000 | |||||||||||||
Long-term Debt, Fiscal Year Maturity [Abstract] | |||||||||||||||||
Debt instrument, face value | 300,000,000 | 300,000,000 | 300,000,000 | 300,000,000 | |||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Convertible Debt, Noncurrent | 298,167,000 | 298,547,000 | 298,547,000 | 298,167,000 | |||||||||||||
Debt instrument, face value | 300,000,000 | 300,000,000 | 300,000,000 | 300,000,000 | |||||||||||||
Fair Value | [4] | $ 396,792,000 | $ 283,875,000 | $ 283,875,000 | $ 396,792,000 | ||||||||||||
Total [Member] | 0.875% debentures due 2021 [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instrument, face value | $ 250,000,000 | ||||||||||||||||
Long-term Debt, Fiscal Year Maturity [Abstract] | |||||||||||||||||
Debt instrument, face value | 250,000,000 | ||||||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Debt instrument, face value | $ 250,000,000 | ||||||||||||||||
Total [Member] | 4.00% debentures due 2023 [Member] [Member] | |||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||
Debt instrument, face value | $ 100,000,000 | ||||||||||||||||
Long-term Debt, Fiscal Year Maturity [Abstract] | |||||||||||||||||
Debt instrument, face value | 100,000,000 | ||||||||||||||||
Convertible Debt [Abstract] | |||||||||||||||||
Debt instrument, face value | $ 100,000,000 | ||||||||||||||||
[1] | The Company has related-party balances for transactions made with Total S.A. and its affiliates as well as unconsolidated entities in which the Company has a direct equity investment. These related-party balances are recorded within the "Accounts Receivable, net," "Costs and estimated earnings in excess of billings," "Project assets - plants and land, current portion," "Prepaid expenses and other current assets," "Other long-term assets," "Accounts payable," "Accrued Liabilities", "Customer advances, current portion," "Convertible debt, net of current portion," and "Customer advances, net of current portion" financial statement line items in the Consolidated Balance Sheets (see Note 2, Note 6, Note 9, Note 10, and Note 11). | ||||||||||||||||
[2] | {F|ahBzfndlYmZpbGluZ3MtaHJkcmoLEgZYTUxEb2MiXlhCUkxEb2NHZW5JbmZvOjM3Zjc2MTE5MGFjZjQ5ZjhhMGZiNDdhYWE1OGVmNDI3fFRleHRTZWxlY3Rpb246NTlBQzVCQjY0OTc0NjZFNTFFRURDQkE0NEMzMzVERjYM} | ||||||||||||||||
[3] | Other debt excludes payments related to capital leases, which are disclosed in Note 8. | ||||||||||||||||
[4] | The fair value of the convertible debt was determined using Level 2 inputs based on quarterly market prices as reported by an independent pricing source. |
Derivative Financial Instrume57
Derivative Financial Instruments (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jul. 03, 2016 | Jun. 28, 2015 | Jul. 03, 2016 | Jun. 28, 2015 | Jan. 03, 2016 | |
Derivatives, Fair Value [Line Items] | |||||
Derivative financial instruments | $ 10,522 | $ 10,522 | $ 2,316 | ||
Derivative financial instruments | 1,962 | 1,962 | 1,033 | ||
Derivative assets, gross amounts recognized | 5,646 | 5,646 | 8,734 | ||
Derivative assets, financial instruments | 5,646 | 5,646 | 2,316 | ||
Derivative assets, net amounts | 0 | 0 | 6,418 | ||
Derivative liabilities, gross amounts recognized | 12,484 | 12,484 | 3,349 | ||
Derivative liabilities, financial instruments | 5,646 | 5,646 | 2,316 | ||
Derivative liabilities, net amounts | 6,838 | 6,838 | 1,033 | ||
Accumulated Other Comprehensive Income [Roll Forward] | |||||
Gain (loss) in OCI at the beginning of the period | (803) | $ (5,631) | 5,942 | $ (1,443) | |
Unrealized gain (loss) recognized in OCI (effective portion) | (326) | 7,343 | (11) | 4,635 | |
Less: Gain reclassified from OCI to revenue (effective portion) | 190 | (2,347) | (6,870) | (3,827) | |
Net change in derivatives | (136) | 4,996 | (6,881) | 808 | |
Gain (loss) in OCI at the end of the period | (939) | (635) | (939) | (635) | |
Derivative Instruments, Gain (Loss) Recognized in Income, Ineffective Portion and Amount Excluded from Effectiveness Testing, Net [Abstract] | |||||
Loss recognized in Other, net on derivatives (ineffective portion and amount excluded from effectiveness testing) | 1,211 | 1,968 | (1,671) | 5,223 | |
Gain (loss) recognized in Other, net | (5,394) | $ (8,417) | (11,709) | $ (902) | |
Derivatives designated as hedging instruments [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative Asset | 1,496 | 1,496 | 0 | ||
Derivative Liability | 2,914 | 2,914 | 724 | ||
Derivatives designated as hedging instruments [Member] | Foreign currency forward exchange contracts [Member] | |||||
Notional Disclosures [Abstract] | |||||
Derivative asset, notional amount | 23,600 | ||||
Derivatives designated as hedging instruments [Member] | Foreign currency option contracts [Member] | |||||
Notional Disclosures [Abstract] | |||||
Derivative asset, notional amount | 91,000 | 91,000 | |||
Derivatives designated as hedging instruments [Member] | Interest Rate Swap [Member] | |||||
Notional Disclosures [Abstract] | |||||
Derivative asset, notional amount | 8,000 | 8,000 | 32,400 | ||
Derivatives not designated as hedging instruments [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative Asset | 4,150 | 4,150 | 8,734 | ||
Derivative Liability | 9,570 | 9,570 | 2,625 | ||
Derivatives not designated as hedging instruments [Member] | Foreign currency forward exchange contracts [Member] | |||||
Notional Disclosures [Abstract] | |||||
Derivative asset, notional amount | 5,100 | 5,100 | 12,100 | ||
Derivatives not designated as hedging instruments [Member] | Foreign currency option contracts [Member] | |||||
Notional Disclosures [Abstract] | |||||
Derivative asset, notional amount | 2,700 | 2,700 | |||
Prepaid expenses and other current assets [Member] | Derivatives designated as hedging instruments [Member] | Foreign currency option contracts [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Current derivative assets | 1,022 | 1,022 | 0 | ||
Prepaid expenses and other current assets [Member] | Derivatives not designated as hedging instruments [Member] | Foreign currency forward exchange contracts [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Current derivative assets | 2,987 | 2,987 | 8,734 | ||
Prepaid expenses and other current assets [Member] | Derivatives not designated as hedging instruments [Member] | Foreign currency option contracts [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Current derivative assets | 1,163 | 1,163 | 0 | ||
Other long-term assets [Member] | Derivatives designated as hedging instruments [Member] | Foreign currency option contracts [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Noncurrent derivative assets | 474 | 474 | 0 | ||
Accrued liabilities [Member] | Derivatives designated as hedging instruments [Member] | Foreign currency forward exchange contracts [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative financial instruments | 0 | 0 | 141 | ||
Accrued liabilities [Member] | Derivatives designated as hedging instruments [Member] | Foreign currency option contracts [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative financial instruments | 1,459 | 1,459 | 0 | ||
Accrued liabilities [Member] | Derivatives not designated as hedging instruments [Member] | Foreign currency forward exchange contracts [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative financial instruments | 7,849 | 7,849 | 2,175 | ||
Accrued liabilities [Member] | Derivatives not designated as hedging instruments [Member] | Foreign currency option contracts [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative financial instruments | 1,214 | 1,214 | 0 | ||
Other long-term liabilities [Member] | Derivatives designated as hedging instruments [Member] | Foreign currency forward exchange contracts [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Current derivative liabilities | 450 | ||||
Other long-term liabilities [Member] | Derivatives designated as hedging instruments [Member] | Foreign currency option contracts [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Current derivative liabilities | 569 | 569 | 0 | ||
Other long-term liabilities [Member] | Derivatives designated as hedging instruments [Member] | Interest Rate Contract [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Current derivative liabilities | 886 | 886 | $ 583 | ||
Other long-term liabilities [Member] | Derivatives not designated as hedging instruments [Member] | Interest Rate Contract [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Derivative financial instruments | $ 507 | $ 507 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jul. 03, 2016 | Jun. 28, 2015 | Jul. 03, 2016 | Jun. 28, 2015 | Jan. 03, 2016 | |
Geographic distribution of income (loss) from continuing operations before income taxes and equity in earnings of unconsolidated investees: | |||||
Income (loss) before income taxes and equity in earnings (loss) of unconsolidated investees | $ (93,883) | $ (25,989) | $ (191,355) | $ (54,879) | |
Deferred tax benefit (expense) | |||||
Benefit from (provision for) income taxes | (6,648) | $ 659 | (9,829) | $ (1,692) | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||||
Unrecognized tax benefits | $ 44,131 | $ 44,131 | $ 43,297 |
Net Income (Loss) Per Share (De
Net Income (Loss) Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jul. 03, 2016 | Jun. 28, 2015 | Jul. 03, 2016 | Jun. 28, 2015 | Dec. 28, 2014 | Feb. 28, 2012 | |
Net Income (Loss) Available to Common Stockholders, Diluted [Abstract] | ||||||
Net income (loss) attributable to stockholders | $ (69,992) | $ 6,509 | $ (155,401) | $ (3,072) | ||
Basic weighted-average common shares (in shares) | 138,084,000 | 134,376,000 | 137,644,000 | 133,205,000 | ||
Basic (in dollars per share) | $ (0.51) | $ 0.05 | $ (1.13) | $ (0.02) | ||
Interest expense incurred on debentures | $ 0 | |||||
Net income (loss) available to common stockholders | $ (69,992) | $ 7,021 | $ (155,401) | $ (3,072) | ||
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ||||||
Restricted stock units | 0 | |||||
Warrants | 0 | |||||
Debentures due | 0 | |||||
Diluted weighted-average common shares | (138,084,000) | (156,995,000) | (137,644,000) | (133,205,000) | ||
Dilutive net income (loss) per share | $ (0.51) | $ 0.04 | $ (1.13) | $ (0.02) | ||
4.00% debentures due 2023 [Member] [Member] | ||||||
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ||||||
Outstanding anti-dilutive potential common stock excluded from income (loss) per diluted share | 13,922,000 | 13,922,000 | ||||
Stock options [Member] | ||||||
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ||||||
Outstanding anti-dilutive potential common stock excluded from income (loss) per diluted share | 147,000 | 149,000 | 147,000 | 185,000 | ||
Restricted stock units [Member] | ||||||
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ||||||
Outstanding anti-dilutive potential common stock excluded from income (loss) per diluted share | 5,502,000 | 293,000 | 5,502,000 | 1,776,000 | ||
Upfront Warrants (held by Total) [Member] | ||||||
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ||||||
Outstanding anti-dilutive potential common stock excluded from income (loss) per diluted share | 5,338,000 | 0 | 5,853,000 | 7,055,000 | ||
Warrants (Under the CSO2015) [Member] | ||||||
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ||||||
Outstanding anti-dilutive potential common stock excluded from income (loss) per diluted share | 0 | 1,827,000 | ||||
0.75% debentures due 2018 [Member] | ||||||
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ||||||
Outstanding anti-dilutive potential common stock excluded from income (loss) per diluted share | 12,026,000 | 0 | 12,026,000 | 12,026,000 | ||
0.875% debentures due 2021 [Member] | ||||||
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ||||||
Outstanding anti-dilutive potential common stock excluded from income (loss) per diluted share | 8,203,000 | 8,203,000 | 8,203,000 | 8,203,000 | ||
Warrants (Under the CSO2015) [Member] | ||||||
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ||||||
Debentures due | 1,873,000 | 0 | ||||
4.00% debentures due 2023 [Member] [Member] | ||||||
Net Income (Loss) Available to Common Stockholders, Diluted [Abstract] | ||||||
Interest expense incurred on debentures | $ 0 | $ 0 | ||||
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ||||||
Debentures due | 0 | 0 | ||||
0.75% debentures due 2018 [Member] | ||||||
Net Income (Loss) Available to Common Stockholders, Diluted [Abstract] | ||||||
Interest expense incurred on debentures | $ 512 | $ 0 | $ 0 | |||
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ||||||
Debentures due | 12,026,000 | 0 | 0 | |||
0.875% debentures due 2021 [Member] | ||||||
Net Income (Loss) Available to Common Stockholders, Diluted [Abstract] | ||||||
Interest expense incurred on debentures | $ 0 | $ 0 | $ 0 | $ 0 | ||
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ||||||
Debentures due | 0 | 0 | 0 | |||
4.75% debentures due 2014 [Member] | Maximum [Member] | Bond Hedge [Member] | ||||||
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ||||||
Warrant or right, number of securities called by each warrant or right (in shares) | 11,100,000 | 11,100,000 | ||||
Upfront Warrants (held by Total) [Member] | ||||||
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ||||||
Warrants | 7,201,000 | 0 | 0 | |||
Upfront Warrants (held by Total) [Member] | Total [Member] | ||||||
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ||||||
Warrant or right, number of securities called by each warrant or right (in shares) | 9,531,677 | |||||
Class of warrant or right, exercise price of warrants or rights (in dollars per share) | $ 7.8685 | |||||
Warrant (Under the CSO2014) [Member] | ||||||
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ||||||
Class of warrant or right, exercise price of warrants or rights (in dollars per share) | $ 24 | |||||
Stock options [Member] | ||||||
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ||||||
Restricted stock units | 36,000 | 0 | 0 | |||
Restricted stock units [Member] | ||||||
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | ||||||
Restricted stock units | 1,483,000 | 0 | 0 |
Stock-Based Compensation (Detai
Stock-Based Compensation (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 03, 2016 | Jun. 28, 2015 | Jul. 03, 2016 | Jun. 28, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | $ 16,475 | $ 14,040 | $ 32,995 | $ 27,586 |
Restricted stock units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | 15,734 | 14,885 | 33,167 | 29,389 |
Change in stock-based compensation capitalized in inventory [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | 741 | (845) | (172) | (1,803) |
Cost of revenue [Member] | Residential leases [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | 1,652 | 1,212 | 2,479 | 2,134 |
Cost of revenue [Member] | Commercial [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | 745 | 531 | 1,397 | 919 |
Cost of revenue [Member] | Power Plant [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | 3,066 | 1,517 | 5,712 | 2,773 |
Research and development [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | 2,966 | 2,380 | 5,998 | 4,653 |
Selling, general and administrative [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | $ 8,046 | $ 8,400 | $ 17,409 | $ 17,107 |
Segment Information (Details)
Segment Information (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jul. 03, 2016USD ($) | Jun. 28, 2015USD ($) | Jul. 03, 2016USD ($)Rate | Jun. 28, 2015USD ($) | Jan. 03, 2016segments | Dec. 28, 2014 | |
Segment Reporting Information [Line Items] | ||||||
Reconciliation of Operating Profit (Loss) from Segments to Consolidated | 29,904 | 63,555 | 36,210 | 122,386 | ||
Number of Reportable Segments | segments | 3 | |||||
Cost of revenue | $ 379,158 | $ 310,139 | $ 712,496 | $ 660,192 | ||
Gross margin | 41,294 | 70,881 | 92,831 | 161,699 | ||
Depreciation and amortization | (37,730) | (30,820) | (71,556) | (59,424) | ||
Revenue | 420,452 | 381,020 | 805,327 | 821,891 | ||
Stock-based compensation expense | 16,475 | 14,040 | 32,995 | 27,586 | ||
Stock-based compensation | 32,995 | 27,586 | ||||
Non-cash interest expense | (655) | (5,251) | ||||
Cash Interest Expense, Net of Interest Income | (13,144) | (8,023) | (25,328) | (19,115) | ||
Benefit from (provision for) income taxes | (6,648) | 659 | (9,829) | (1,692) | ||
Net income (loss) attributable to stockholders | $ (69,992) | $ 6,509 | $ (155,401) | $ (3,072) | ||
Corporate and Other [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Reconciliation of Operating Profit (Loss) from Segments to Consolidated | 8,490 | (30,235) | (3,464) | (28,305) | ||
Solar power systems [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Cost of revenue | $ 90,995 | $ 80,988 | $ 166,058 | $ 173,355 | ||
Gross margin | 22,279 | 20,749 | 42,848 | 44,048 | ||
Revenue | $ 113,274 | $ 101,737 | $ 208,906 | $ 217,403 | ||
Residential leases [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Reconciliation of Operating Profit (Loss) from Segments to Consolidated | 37,092 | 75,082 | 66,670 | 107,706 | ||
Cost of revenue | $ 47,964 | $ 35,991 | $ 91,061 | $ 66,396 | ||
Gross margin | 16,477 | $ 14,477 | 29,555 | 23,730 | ||
Revenue | $ 64,441 | $ 120,616 | $ 90,126 | |||
Commercial [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Reconciliation of Operating Profit (Loss) from Segments to Consolidated | 244 | (2,088) | (2,196) | (8,988) | ||
Cost of revenue | $ 89,523 | $ 58,842 | $ 134,749 | $ 105,722 | ||
Gross margin | 8,323 | 4,142 | 15,338 | 6,325 | ||
Revenue | $ 97,846 | $ 62,984 | $ 150,087 | $ 112,047 | ||
Power Plant [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Reconciliation of Operating Profit (Loss) from Segments to Consolidated | (15,922) | 20,796 | (24,800) | 51,973 | ||
Cost of revenue | $ 150,676 | $ 134,318 | $ 320,628 | $ 314,719 | ||
Gross margin | (5,785) | 31,513 | 5,090 | 87,596 | ||
Revenue | $ 144,891 | $ 165,831 | $ 325,718 | $ 402,315 | ||
Power Plant [Member] | 8point3 [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Segment Reporting, Disclosure of Major Customers | * | * | 0.13537 | * | ||
Power Plant [Member] | Mid American Energy Holdings Company [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Segment Reporting, Disclosure of Major Customers | * | 0.15 | * | 0.25 | ||
Power Plant [Member] | NRG Solar Inc. [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue As Percentage Of Total Revenues | 0.00% | |||||
Power Plant [Member] | Customer C [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Segment Reporting, Disclosure of Major Customers | .1913 | * | .1 | * | ||
Revenue [Member] | Segment Reconciling Items [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
8point3 Energy Partners | $ (18,039) | $ 4,688 | $ (28,758) | $ 4,688 | ||
Profit, Operating Lease | (2,979) | 0 | (6,099) | 0 | ||
Stock-based compensation | (16,475) | (14,040) | (32,995) | (27,586) | ||
Revenue, Other | 2,235 | (13,838) | (6,373) | (37,908) | ||
Gross margin [Member] | Residential leases [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Gross margin | $ 38,756 | $ 35,226 | $ 72,403 | $ 67,778 | ||
Gross margin, As a percentage of total revenues | 21.80795% | 23.10% | 22.00% | 22.03955% | ||
Gross margin, As reviewed by CODM | $ 42,249 | $ 35,410 | $ 79,832 | $ 70,688 | ||
Gross margin, As a percentage of total revenues (As reviewed by CODM) | 22.64014% | 23.30% | 23.00% | 22.9858% | ||
Gross margin [Member] | Commercial [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Gross margin | $ 8,323 | $ 4,142 | $ 15,338 | $ 6,325 | ||
Gross margin, As a percentage of total revenues | 8.50622% | 6.60% | 10.20% | 5.64495% | ||
Gross margin, As reviewed by CODM | $ 11,973 | $ 4,016 | $ 20,305 | $ 7,041 | ||
Gross margin, As a percentage of total revenues (As reviewed by CODM) | 10.83608% | 6.40% | 12.50% | 6.28397% | ||
Gross margin [Member] | Power Plant [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Gross margin | $ (5,785) | $ 31,513 | $ 5,090 | $ 87,596 | ||
Gross margin, As a percentage of total revenues | (3.99266%) | 19.00% | 1.60% | 21.77299% | ||
Gross margin, As reviewed by CODM | $ (1,630) | $ 26,717 | $ 11,477 | $ 76,575 | ||
Gross margin, As a percentage of total revenues (As reviewed by CODM) | (1.55693%) | 16.50% | 3.50% | 19.74947% | ||
8point3 Energy Partners | $ (30) | $ 4,127 | ||||
Gross margin [Member] | Segment Reconciling Items [Member] | Residential leases [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
8point3 Energy Partners | 419 | 904 | ||||
Gross margin, Utility and power plant projects | 0 | 0 | $ 0 | |||
Profit, Operating Lease | (2,966) | (6,078) | ||||
Sale-leaseback trasaction | 0 | 0 | ||||
Stock-based compensation expense | (1,652) | $ (1,212) | 2,479 | (2,134) | ||
Gross margin, Other | (706) | (1,028) | 224 | 776 | ||
Gross margin [Member] | Segment Reconciling Items [Member] | Commercial [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
8point3 Energy Partners | (179) | (179) | ||||
Gross margin, Utility and power plant projects | 0 | 0 | 0 | |||
Profit, Operating Lease | 0 | 0 | ||||
Sale-leaseback trasaction | (2,988) | 0 | (2,988) | 0 | ||
Stock-based compensation expense | (745) | (531) | 1,397 | (919) | ||
Gross margin, Other | (262) | (657) | (403) | (203) | ||
Gross margin [Member] | Segment Reconciling Items [Member] | Power Plant [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Gross margin, Utility and power plant projects | (4,128) | 4,328 | (7,685) | 15,579 | ||
Profit, Operating Lease | 0 | 0 | ||||
Sale-leaseback trasaction | 0 | 0 | ||||
Stock-based compensation expense | (3,067) | (1,516) | 5,713 | (2,772) | ||
Gross margin, Other | (3,070) | (1,984) | 2,884 | 1,786 | ||
Sales [Member] | Residential leases [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 177,715 | 152,205 | 329,522 | 307,529 | ||
Revenue, As reviewed by CODM | 186,611 | 152,205 | 347,509 | 307,529 | ||
Sales [Member] | Commercial [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 97,846 | 62,984 | 150,087 | 112,047 | ||
Revenue, As reviewed by CODM | 110,492 | 62,984 | 162,733 | 112,047 | ||
Sales [Member] | Power Plant [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 144,891 | 165,831 | 325,718 | 402,315 | ||
Revenue, As reviewed by CODM | 104,693 | 161,518 | 325,196 | 387,732 | ||
Sales [Member] | Segment Reconciling Items [Member] | Residential leases [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
8point3 Energy Partners | 1,287 | 2,599 | ||||
Revenue, Utility and power plant project | 0 | 0 | 0 | |||
revenue, net, operating lease | (10,183) | (20,586) | ||||
Sale-leaseback trasaction | 0 | 0 | ||||
Stock-based compensation expense | 0 | 0 | 0 | |||
Revenue, Other | 0 | 0 | 0 | |||
Sales [Member] | Segment Reconciling Items [Member] | Commercial [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
8point3 Energy Partners | 0 | 0 | ||||
Revenue, Utility and power plant project | 0 | 0 | 0 | |||
revenue, net, operating lease | 0 | 0 | ||||
Sale-leaseback trasaction | (12,646) | (12,646) | ||||
Stock-based compensation expense | 0 | 0 | 0 | |||
Revenue, Other | 0 | 0 | 0 | |||
Sales [Member] | Segment Reconciling Items [Member] | Power Plant [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
8point3 Energy Partners | 113 | 13,975 | ||||
Revenue, Utility and power plant project | 40,085 | $ 4,313 | (13,453) | 14,583 | ||
revenue, net, operating lease | 0 | 0 | ||||
Sale-leaseback trasaction | 0 | 0 | ||||
Stock-based compensation expense | 0 | 0 | 0 | |||
Revenue, Other | $ 0 | $ 0 | $ 0 | |||
JAPAN | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue As Percentage Of Total Revenues | 6.00% | 15.00% | 5.00% | 15.00% | ||
REST OF WORLD [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue As Percentage Of Total Revenues | 15.00% | 23.00% | 17.00% | 19.00% | ||
All Countries [Domain] | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue As Percentage Of Total Revenues | 100.00% | 100.00% | 100.00% | 100.00% | ||
UNITED STATES | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue As Percentage Of Total Revenues | 79.00% | 62.00% | 78.00% | 66.00% | ||
August 2016 Plan [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Expected percentage of Positions to be eliminated | Rate | 15.00% |
Subsequent Events (Details)
Subsequent Events (Details) | Jul. 14, 2015USD ($) | Jan. 28, 2015USD ($) | Jul. 03, 2016USD ($) | Jun. 28, 2015USD ($) | Jul. 03, 2016USD ($)employeesRate | Jun. 28, 2015USD ($) |
Subsequent Event [Line Items] | ||||||
Restructuring charges | $ 117,000 | $ 1,749,000 | $ 213,000 | $ 5,330,000 | ||
First Philec Arbitration [Member] | ||||||
Subsequent Event [Line Items] | ||||||
Loss contingency accrual recorded | 50,500,000 | 50,500,000 | ||||
SunPower Philippines Manufacturing LTD [Member] | First Philippine Solar Corporation [Member] | First Philec Arbitration [Member] | Judicial Ruling [Member] | ||||||
Subsequent Event [Line Items] | ||||||
Court required payments to third party to buyout minority interests, amount | $ 23,200,000 | $ 30,300,000 | ||||
Damages awarded | $ 25,200,000 | |||||
Credit Agricole [Member] | Line of Credit [Member] | July 2013 Credit Agricole Syndicated Revolver [Member] | ||||||
Subsequent Event [Line Items] | ||||||
Line of credit facility, current borrowing capacity | $ 250,000,000 | $ 250,000,000 | ||||
August 2016 Plan [Member] | ||||||
Subsequent Event [Line Items] | ||||||
Restructuring and Related Activities, Initiation Date | Aug. 9, 2016 | |||||
Reorganization, number of jobs affected | employees | 1,200 | |||||
Expected percentage of Positions to be eliminated | Rate | 15.00% | |||||
Restructuring charges | $ 30,000,000 | |||||
Percent of restructuring charges in cash | Rate | 50.00% | |||||
August 2016 Plan [Member] | Maximum [Member] | ||||||
Subsequent Event [Line Items] | ||||||
Restructuring charges | $ 45,000,000 |