Teradyne (TER) 10-Q12 Aug 162016 Q2 Quarterly reportFinancial data

Company Profile

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
Document and Entity Information - shares	Jul. 03, 2016	Aug. 05, 2016
Document Information
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jul. 3, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q2
Trading Symbol	TER
Entity Registrant Name	TERADYNE, INC
Entity Central Index Key	97,210
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		202,330,816

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jul. 03, 2016		Dec. 31, 2015
Current assets:
Cash and cash equivalents	$ 381,095		$ 264,705
Marketable securities	442,154		477,696
Accounts receivable, less allowance for doubtful accounts of $2,384 and $2,407 at July 3, 2016 and December 31, 2015, respectively	349,547		211,293
Inventories, net:
Parts	57,745		73,117
Assemblies in process	32,536		32,825
Finished goods	38,997		47,646
Inventory, Net, Total	129,278		153,588
Deferred tax assets			54,973
Prepayments	103,131		91,519
Other current assets	7,681		6,194
Total current assets	1,412,886		1,259,968
Property, plant and equipment, net	264,555		273,414
Marketable securities	282,545		265,928
Deferred tax assets	72,708		7,404
Other assets	13,074		13,080
Retirement plans assets	2,811		636
Intangible assets, net	122,069		239,831
Goodwill	237,210		488,413
Total assets	2,407,858	[1]	2,548,674
Current liabilities:
Accounts payable	103,090		92,358
Accrued employees' compensation and withholdings	89,167		113,994
Deferred revenue and customer advances	190,920		85,527
Other accrued liabilities	47,150		43,727
Contingent consideration	1,050		15,500
Accrued income taxes	23,972		21,751
Total current liabilities	455,349		372,857
Long-term deferred revenue and customer advances	26,927		25,745
Retirement plans liabilities	106,618		103,531
Deferred tax liabilities	16,110		26,663
Long-term other accrued liabilities	33,411		32,156
Long-term contingent consideration	23,864		21,936
Total liabilities	662,279		582,888
Commitments and contingencies (See Note P)
SHAREHOLDERS' EQUITY
Common stock, $0.125 par value, 1,000,000 shares authorized; 202,841 and 203,641 shares issued and outstanding at July 3, 2016 and December 31, 2015, respectively	25,355		25,455
Additional paid-in capital	1,505,863		1,480,647
Accumulated other comprehensive income (loss)	2,293		(8,144)
Retained earnings	212,068		467,828
Total shareholders' equity	1,745,579		1,965,786
Total liabilities and shareholders' equity	$ 2,407,858		$ 2,548,674

[1]	Total business assets are directly attributable to each business. Corporate assets consist of cash and cash equivalents, marketable securities and certain other assets.

CONDENSED CONSOLIDATED BALANCE3

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Jul. 03, 2016	Dec. 31, 2015
Accounts receivable, less allowance for doubtful accounts	$ 2,384	$ 2,407
Common stock, par value	$ 0.125	$ 0.125
Common stock, shares authorized	1,000,000,000	1,000,000,000
Common stock, shares issued	202,841,000	203,641,000
Common stock, shares outstanding	202,841,000	203,641,000

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015
Revenues:
Products	$ 456,832	$ 437,243	$ 814,972	$ 709,568
Services	74,960	75,496	147,815	145,572
Total revenues	531,792	512,739	962,787	855,140
Cost of revenues:
Cost of products	215,795	181,491	383,350	300,487
Cost of services	33,127	32,680	66,234	63,662
Total cost of revenues (exclusive of acquired intangible assets amortization shown separately below)	248,922	214,171	449,584	364,149
Gross profit	282,870	298,568	513,203	490,991
Operating expenses:
Engineering and development	76,109	75,832	149,573	147,282
Selling and administrative	81,425	77,073	160,599	149,114
Acquired intangible assets amortization	16,244	15,258	36,238	29,066
Acquired intangible assets impairment	83,339		83,339
Goodwill impairment	254,946		254,946
Restructuring and other	2,608	(385)	4,195	(385)
Total operating expenses	514,671	167,778	688,890	325,077
(Loss) income from operations	(231,801)	130,790	(175,687)	165,914
Non-operating (income) expense:
Interest income	(1,666)	(1,674)	(3,308)	(3,490)
Interest expense	691	444	1,401	606
Other (income) expense, net	(9)	(116)	(155)	(5,776)
(Loss) income before income taxes	(230,817)	132,136	(173,625)	174,574
Income tax (benefit) provision	(7,271)	29,257	(65)	38,908
Net (loss) income	$ (223,546)	$ 102,879	$ (173,560)	$ 135,666
Net (loss) income per common share:
Basic	$ (1.10)	$ 0.48	$ (0.85)	$ 0.63
Diluted	$ (1.10)	$ 0.48	$ (0.85)	$ 0.62
Weighted average common shares-basic	203,018	213,845	203,645	215,516
Weighted average common shares-diluted	203,018	215,496	203,645	217,154
Cash dividend declared per common share	$ 0.06	$ 0.06	$ 0.12	$ 0.12

CONDENSED CONSOLIDATED STATEME5

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015
Net (loss) income	$ (223,546)	$ 102,879	$ (173,560)	$ 135,666
Other comprehensive (loss) income, net of tax:
Foreign currency translation adjustments, net of tax of $0, $0, $0, $0	(5,041)	(6,267)	5,229	(6,267)
Available-for-sale marketable securities:
Unrealized gains (losses) on marketable securities arising during period, net of tax of $1,102, $(1,648), $2,354, $(944), respectively	2,375	(2,675)	5,446	(876)
Less: Reclassification adjustment for gains included in net income, net of tax of $(13), $(40), $(2), $(209), respectively	(51)	(231)	(134)	(561)
Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax, Total	2,324	(2,906)	5,312	(1,437)
Defined benefit pension and post-retirement plans:
Amortization of prior service income included in net periodic pension and post-retirement cost/income, net of tax of $(47), $(42), $(93), $(85), respectively	(83)	(74)	(163)	(147)
Prior service income arising during period, net of tax of $34, $0, $34, $0, respectively	59		59
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax	(24)	(74)	(104)	(147)
Other comprehensive (loss) income	(2,741)	(9,247)	10,437	(7,851)
Comprehensive (loss) income	$ (226,287)	$ 93,632	$ (163,123)	$ 127,815

CONDENSED CONSOLIDATED STATEME6

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015
Foreign currency translation adjustments, tax	$ 0	$ 0	$ 0	$ 0
Unrealized gains (losses) on marketable securities arising during period, tax	1,102	(1,648)	2,354	(944)
Reclassification adjustment for gains included in net income, tax	(13)	(40)	(2)	(209)
Amortization of prior service (credit) cost included in net periodic pension and post-retirement expense/income, tax	(47)	(42)	(93)	(85)
Prior service credit, tax	$ 34	$ 0	$ 34	$ 0

CONDENSED CONSOLIDATED STATEME7

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015
Cash flows from operating activities:
Net (loss) income	$ (173,560)	$ 135,666
Adjustments to reconcile net (loss) income to net cash provided by operating activities:
Depreciation	32,168	36,230
Amortization	37,180	31,395
Stock-based compensation	15,457	15,405
Provision for excess and obsolete inventory	12,115	15,881
Goodwill impairment	254,946
Intangible assets impairment	83,339
Deferred taxes	(21,458)	(10,371)
Contingent consideration adjustment	2,478	(1,600)
Impairment of fixed assets	4,179
Property insurance recovery	(5,051)
Retirement plans actuarial gains	(1,862)
Gain from the sale of an equity investment		(5,406)
Non-cash charge for the sale of inventories revalued at date of acquisition		595
Tax benefit related to employee stock compensation awards		(892)
Other	576	1,154
Changes in operating assets and liabilities, net of business acquired:
Accounts receivable	(138,230)	(142,493)
Inventories	30,222	23,500
Prepayments and other assets	(13,657)	14,054
Accounts payable and other accrued expenses	(15,192)	53,392
Deferred revenue and customer advances	106,072	5,685
Retirement plans contributions	(2,298)	(1,999)
Income taxes	6	23,261
Net cash provided by operating activities	207,430	193,457
Cash flows from investing activities:
Purchases of property, plant and equipment	(46,593)	(46,110)
Purchases of available-for-sale marketable securities	(437,311)	(590,250)
Proceeds from sales of available-for-sale marketable securities	334,798	631,400
Proceeds from maturities of available-for-sale marketable securities	128,024	231,416
Proceeds from property insurance	5,051
Acquisition of business, net of cash acquired		(282,332)
Proceeds from the sale of an equity investment		5,406
Proceeds from life insurance		1,098
Net cash used for investing activities	(16,031)	(49,372)
Cash flows from financing activities:
Issuance of common stock under employee stock purchase and stock option plans	17,896	17,878
Repurchase of common stock	(56,783)	(128,316)
Dividend payments	(24,425)	(25,857)
Payment of contingent consideration	(11,697)
Tax benefit related to employee stock compensation awards		892
Payment of revolving credit facility costs		(2,253)
Net cash used for financing activities	(75,009)	(137,656)
Increase in cash and cash equivalents	116,390	6,429
Cash and cash equivalents at beginning of period	264,705	294,256
Cash and cash equivalents at end of period	$ 381,095	$ 300,685

The Company

The Company	6 Months Ended
The Company	Jul. 03, 2016
The Company	A. The Company Teradyne, Inc. (“Teradyne”) is a leading global supplier of automation equipment for test and industrial applications. Teradyne designs, develops, manufactures and sells automatic test systems used to test semiconductors, wireless products, data storage and complex electronics systems in the consumer electronics, wireless, automotive, industrial, computing, communications, and aerospace and defense industries. Teradyne’s industrial automation products include collaborative robots used by global manufacturing and light industrial customers to improve quality, increase manufacturing efficiency and decrease manufacturing costs. Teradyne’s automatic test equipment and industrial automation products and services include: • semiconductor test (“Semiconductor Test”) systems; • defense/aerospace (“Defense/Aerospace”) test instrumentation and systems, storage test (“Storage Test”) systems, and circuit-board test and inspection (“Production Board Test”) systems (collectively these products represent “System Test”); • wireless test (“Wireless Test”) systems; and • industrial automation (“Industrial Automation”) products.

Accounting Policies

Accounting Policies	6 Months Ended
Accounting Policies	Jul. 03, 2016
Accounting Policies	B. Accounting Policies Basis of Presentation The consolidated interim financial statements include the accounts of Teradyne and its wholly-owned subsidiaries. All significant intercompany balances and transactions have been eliminated. These interim financial statements are unaudited and reflect all normal recurring adjustments that are, in the opinion of management, necessary for the fair statement of such interim financial statements. Certain prior year amounts were reclassified to conform to the current year presentation. The December 31, 2015 condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States of America. The accompanying financial information should be read in conjunction with the consolidated financial statements and notes thereto contained in Teradyne’s Annual Report on Form 10-K, filed with the U.S. Securities and Exchange Commission (“SEC”) on February 29, 2016, for the year ended December 31, 2015. Preparation of Financial Statements and Use of Estimates The preparation of consolidated financial statements requires management to make estimates and judgments that affect the amounts reported in the financial statements. Actual results may differ significantly from these estimates.

Recently Issued Accounting Pron

Recently Issued Accounting Pronouncements	6 Months Ended
Recently Issued Accounting Pronouncements	Jul. 03, 2016
Recently Issued Accounting Pronouncements	C. Recently Issued Accounting Pronouncements On March 31, 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) ASU 2016-09, “Compensation-Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting.” In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842).” “Leases.” In January 2016, the FASB issued ASU 2016-01, “Financial Instruments—Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities ” In November 2015, the FASB issued ASU 2015-17, “Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes ” In April 2015, the FASB issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs,” “Interest—Imputation of Interest (Subtopic 835-30)” In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers (Topic 606),”

Acquisitions

Acquisitions	6 Months Ended
Acquisitions	Jul. 03, 2016
Acquisitions	D. Acquisitions Universal Robots On June 11, 2015, Teradyne acquired all of the outstanding equity of Universal Robots located in Odense, Denmark. Universal Robots is the leading supplier of collaborative robots, which are low-cost, easy-to-deploy and simple-to-program robots that work side by side with production workers to improve quality, increase manufacturing efficiency and decrease manufacturing costs. Universal Robots is a separate operating and reportable segment, Industrial Automation. The total purchase price of $315.4 million consisted of $283.8 million of cash paid and $31.6 million of contingent consideration, measured at fair value. The contingent consideration was valued using a Monte Carlo simulation based on the following key inputs: (1) forecasted revenue; (2) forecast for earnings before income taxes, depreciation and amortization (“EBITDA”); (3) revenue volatility; (4) EBITDA volatility; and (5) discount rate. The contingent consideration is payable upon the achievement of certain thresholds and targets for EBITDA for calendar year 2015, revenue for the period from July 1, 2015 to December 31, 2017 and revenue for the period from July 1, 2015 to December 31, 2018. The maximum amount of contingent consideration that could be paid is $65 million. Based on Universal Robots’ calendar year 2015 EBITDA results, in the first quarter of 2016, Teradyne paid $15 million or 100% of the eligible EBITDA contingent consideration amount. In the fourth quarter of 2015, Teradyne finalized the valuation and purchase price allocation for the acquisition, which resulted in a $5.4 million decrease in goodwill as a result of a $2.2 million decrease in the fair value of contingent consideration, a $1.6 million increase in intangible assets and a $1.6 million decrease in acquired liabilities. The Universal Robots acquisition was accounted for as a business combination and, accordingly, the results have been included in Teradyne’s consolidated results of operations from the date of acquisition. The allocation of the total purchase price to Universal Robots’ net tangible liabilities and identifiable intangible assets was based on their estimated fair values as of the acquisition date. The excess of the purchase price over the identifiable intangible assets and net tangible liabilities in the amount of $221.1 million was allocated to goodwill, which is not deductible for tax purposes. The following table represents the final allocation of the purchase price: Purchase Price Allocation (in thousands) Goodwill $ 221,128 Intangible assets 121,590 Tangible assets acquired and liabilities assumed: Current assets 10,853 Non-current assets 3,415 Accounts payable and current liabilities (11,976 ) Long-term deferred tax liabilities (26,653 ) Long-term other liabilities (2,920 ) Total purchase price $ 315,437 Teradyne estimated the fair value of intangible assets using the income and cost approaches. Acquired intangible assets are amortized on a straight-line basis over their estimated useful lives. Components of these intangible assets and their estimated useful lives at the acquisition date are as follows: Fair Value Estimated Useful Life (in thousands) (in years) Developed technology $ 89,240 4.9 Trademarks and tradenames 22,920 10.0 Customer relationships 9,430 2.0 Total intangible assets $ 121,590 5.6 For the period from June 12, 2015 to July 5, 2015, Universal Robots contributed $3.7 million of revenues and had a $(1.7) million loss from operations before income taxes. The following unaudited pro forma information gives effect to the acquisition of Universal Robots as if the acquisition occurred on January 1, 2014. The unaudited pro forma results are not necessarily indicative of what actually would have occurred had the acquisition been in effect for the periods presented: For the Three Months For the Six Months July 5, 2015 July 5, 2015 Revenue $ 520,217 $ 873,188 Net income 99,719 126,644 Net income per common share: Basic $ 0.47 $ 0.54 Diluted $ 0.46 $ 0.58 Pro forma results for the three and six months ended July 5, 2015 were adjusted to exclude $1.0 million of acquisition related costs incurred in 2015, and $0.6 million of non-recurring expense related to the fair value adjustment to acquisition-date inventory.

Financial Instruments and Deriv

Financial Instruments and Derivatives	6 Months Ended
Financial Instruments and Derivatives	Jul. 03, 2016
Financial Instruments and Derivatives	E. Financial Instruments and Derivatives Cash Equivalents Teradyne considers all highly liquid investments with maturities of three months or less at the date of acquisition to be cash equivalents. Marketable Securities Teradyne accounts for its investments in debt and equity securities in accordance with the provisions of ASC 320-10, “ Investments—Debt and Equity Securities. On a quarterly basis, Teradyne reviews its investments to identify and evaluate those that have an indication of a potential other-than-temporary impairment. Factors considered in determining whether a loss is other-than-temporary include: • The length of time and the extent to which the market value has been less than cost; • The financial condition and near-term prospects of the issuer; and • The intent and ability to retain the investment in the issuer for a period of time sufficient to allow for any anticipated recovery in market value. Teradyne uses the market and income approach techniques to value its financial instruments and there were no changes in valuation techniques during the three and six months ended July 3, 2016. As defined in ASC 820-10, “ Fair Value Measurements and Disclosures, Level 1: Quoted prices in active markets for identical assets as of the reporting date; Level 2: Inputs other than Level 1, that are observable either directly or indirectly as of the reporting date. For example, a common approach for valuing fixed income securities is the use of matrix pricing. Matrix pricing is a mathematical technique used to value securities by relying on the securities’ relationship to other benchmark quoted prices, and is considered a Level 2 input; or Level 3: Unobservable inputs that are not supported by market data. Unobservable inputs are developed based on the best information available, which might include Teradyne’s own data. Teradyne’s available-for-sale debt and equity securities are classified as Level 1 and Level 2. Acquisition-related contingent consideration is classified as Level 3. Teradyne’s contingent consideration is valued using a Monte Carlo simulation model or a probability weighted discounted cash flow model. The majority of Level 2 securities are fixed income securities priced by third party pricing vendors. These pricing vendors utilize the most recent observable market information in pricing these securities or, if specific prices are not available, use other observable inputs like market transactions involving identical or comparable securities. Realized gains recorded in the three and six months ended July 3, 2016 were $0.3 million and $0.4 million, respectively. Realized losses recorded in the three and six months ended July 3, 2016 were $0.2 million and $0.3 million, respectively. Realized gains recorded in the three and six months ended July 5, 2015 were $0.4 million and $1.0 million, respectively. Realized losses recorded in the three and six months ended July 5, 2015 were $0.1 million and $0.1 million, respectively. Realized gains are included in interest income and realized losses are included in interest expense. Unrealized gains and losses are included in accumulated other comprehensive income (loss). The cost of securities sold is based on the specific identification method. During the three and six months ended July 3, 2016 and July 5, 2015, there were no transfers in or out of Level 1, Level 2 or Level 3 financial instruments. The following table sets forth by fair value hierarchy Teradyne’s financial assets and liabilities that were measured at fair value on a recurring basis as of July 3, 2016 and December 31, 2015. July 3, 2016 Quoted Prices in Active Markets for Identical Instruments (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total (in thousands) Assets Cash $ 196,155 $ — $ — $ 196,155 Cash equivalents 125,314 59,626 — 184,940 Available-for-sale securities: U.S. Treasury securities — 475,631 — 475,631 Corporate debt securities — 143,598 — 143,598 Commercial paper — 32,978 — 32,978 Certificates of deposit and time deposits — 27,974 — 27,974 U.S. government agency securities — 27,218 — 27,218 Equity and debt mutual funds 16,674 — — 16,674 Non-U.S. government securities — 626 — 626 Total 338,143 767,651 — 1,105,794 Derivative assets — 5 — 5 Total $ 338,143 $ 767,656 $ — $ 1,105,799 Liabilities Contingent consideration $ — $ — $ 24,914 $ 24,914 Derivative liabilities — 93 — 93 Total $ — $ 93 $ 24,914 $ 25,007 Reported as follows: (Level 1) (Level 2) (Level 3) Total (in thousands) Assets Cash and cash equivalents $ 321,469 $ 59,626 $ — $ 381,095 Marketable securities — 442,154 — 442,154 Long-term marketable securities 16,674 265,871 — 282,545 Prepayments — 5 — 5 $ 338,143 $ 767,656 $ — $ 1,105,799 Liabilities . Other accrued liabilities $ — $ 93 $ — $ 93 Contingent consideration — — 1,050 1,050 Long-term contingent consideration — — 23,864 23,864 $ — $ 93 $ 24,914 $ 25,007 December 31, 2015 Quoted Prices in Active Markets for Identical Instruments (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total (in thousands) Assets Cash $ 213,336 $ — $ — $ 213,336 Cash equivalents 49,241 2,128 — 51,369 Available for sale securities: U.S. Treasury securities — 419,958 — 419,958 Corporate debt securities — 161,634 — 161,634 U.S. government agency securities — 83,952 — 83,952 Certificates of deposit and time deposits — 43,394 — 43,394 Commercial paper — 20,308 — 20,308 Equity and debt mutual funds 13,954 — — 13,954 Non-U.S. government securities — 424 — 424 Total $ 276,531 $ 731,798 $ — $ 1,008,329 Derivative assets — 109 — 109 Total $ 276,531 $ 731,907 $ — $ 1,008,438 Liabilities Contingent consideration $ — $ — $ 37,436 $ 37,436 Derivative liabilities — 146 — 146 Total $ — $ 146 $ 37,436 $ 37,582 Reported as follows: (Level 1) (Level 2) (Level 3) Total (in thousands) Assets Cash and cash equivalents $ 262,577 $ 2,128 $ — $ 264,705 Marketable securities — 477,696 — 477,696 Long-term marketable securities 13,954 251,974 — 265,928 Prepayments — 109 — 109 $ 276,531 $ 731,907 $ — $ 1,008,438 Liabilities Other accrued liabilities $ — $ 146 $ — $ 146 Contingent consideration — — 15,500 15,500 Long-term contingent consideration — — 21,936 21,936 $ — $ 146 $ 37,436 $ 37,582 Changes in the fair value of Level 3 contingent consideration for the three and six months ended July 3, 2016 and July 5, 2015 were as follows: For the Three Months Ended For the Six Months Ended July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands) Balance at beginning of period $ 23,609 $ 3,350 $ 37,436 $ 3,350 Acquisition of Universal Robots — 33,845 — 33,845 Payments (a) — — (15,000 ) — Fair value adjustment (b)(c)(d) 1,305 (1,600 ) 2,478 (1,600 ) Balance at end of period $ 24,914 $ 35,595 $ 24,914 $ 35,595 (a) In the six months ended July 3, 2016, based on Universal Robots’ calendar year 2015 EBITDA results, Teradyne paid $15 million or 100% of the eligible EBITDA contingent consideration amount. (b) In the three and six months ended July 3, 2016, the fair value of contingent consideration for the earn-out in connection with the acquisition of Universal Robots was increased by $0.8 million and $1.9 million, respectively, primarily due to a decrease in the discount rate. (c) In the three and six months ended July 3, 2016, the fair value of contingent consideration for the earn-out in connection with the acquisition of Avionics Interface Technology, LLC (“AIT”) was increased by $0.6 million due to an increase in forecasted revenue. (d) In the three and six months ended July 5, 2015, the fair value measurement of the contingent consideration for the earn-out in connection with the acquisition of ZTEC Instruments, Inc. (“ZTEC”) was reduced to $0 because Teradyne and the Securityholder Representative, on behalf of the ZTEC securityholders, agreed to terminate the earn-out prior to the end of the December 31, 2015 earn-out period, with no payout in connection with the resolution of indemnity claims asserted by both Teradyne and the Securityholder Representative. The following table provides quantitative information associated with the fair value measurement of Teradyne’s Level 3 financial instruments: Liability July 3, 2016 Fair Value Valuation Technique Unobservable Inputs Weighted Average (in thousands) Contingent consideration (Universal Robots) $16,922 Monte Carlo Simulation Revenue for the period July 1, 2015—December 31, 2017 volatility 15.6% Discount Rate 4.0% $6,942 Monte Carlo Revenue for the period July 1, 2015—December 31, 2018 volatility 15.6% Discount Rate 4.0% Contingent consideration (AIT) $1,050 Income approach- discounted cash flow Revenue for calendar year 2016 probability Discount Rate 100% 4.0% As of July 3, 2016, the significant unobservable inputs used in the Monte Carlo simulation to fair value the Universal Robots contingent consideration include forecasted revenue, revenue volatility and discount rate. Increases or decreases in the inputs would result in a higher or lower fair value measurement. The maximum payment for each of the two Universal Robots revenue earn-outs is $25.0 million. The significant unobservable inputs used in the AIT fair value measurement of contingent consideration are the probabilities of successful achievement of calendar year 2016 revenue threshold and target, and a discount rate. Increases or decreases in the revenue probabilities would result in a higher or lower fair value measurement. The maximum payment for the AIT earn-out is $1.1 million. The carrying amounts and fair values of Teradyne’s financial instruments at July 3, 2016 and December 31, 2015 were as follows: July 3, 2016 December 31, 2015 Carrying Value Fair Value Carrying Value Fair Value (in thousands) Assets Cash and cash equivalents $ 381,095 $ 381,095 $ 264,705 $ 264,705 Marketable securities 724,699 724,699 743,624 743,624 Derivative assets 5 5 109 109 Liabilities Contingent consideration 24,914 24,914 37,436 37,436 Derivative liabilities 93 93 146 146 The fair values of accounts receivable, net and accounts payable approximate the carrying value due to the short-term nature of these instruments. The following tables summarize the composition of available-for-sale marketable securities at July 3, 2016 and December 31, 2015: July 3, 2016 Available-for-Sale Fair Market Value of Investments with Unrealized Losses Cost Unrealized Gain Unrealized (Loss) Fair Value (in thousands) U.S. Treasury securities $ 473,958 $ 1,684 $ (11 ) $ 475,631 $ 118,777 Corporate debt securities 140,995 3,060 (457 ) 143,598 40,862 Commercial paper 32,959 19 — 32,978 — Certificates of deposit and time deposits 27,958 16 — 27,974 — U.S. government agency securities 27,151 67 — 27,218 2,421 Equity and debt mutual funds 15,278 1,424 (28 ) 16,674 937 Non-U.S. government securities 610 16 — 626 — $ 718,909 $ 6,286 $ (496 ) $ 724,699 $ 162,997 Reported as follows: Cost Unrealized Gain Unrealized (Loss) Fair Market Value Fair Market Value of Investments with Unrealized Losses (in thousands) Marketable securities $ 441,840 $ 336 $ (22 ) $ 442,154 $ 89,416 Long-term marketable securities 277,069 5,950 (474 ) 282,545 73,581 $ 718,909 $ 6,286 $ (496 ) $ 724,699 $ 162,997 December 31, 2015 Available-for-Sale Fair Market Value of Investments with Unrealized Losses Cost Unrealized Gain Unrealized (Loss) Fair Value (in thousands) U.S. Treasury securities $ 421,060 $ 65 $ (1,167 ) $ 419,958 $ 379,434 Corporate debt securities 163,297 902 (2,565 ) 161,634 145,373 U.S. government agency securities 84,032 42 (122 ) 83,952 55,120 Certificates of deposit and time deposits 43,391 6 (3 ) 43,394 10,527 Commercial paper 20,298 11 (1 ) 20,308 8,646 Equity and debt mutual funds 12,996 1,119 (161 ) 13,954 2,560 Non-U.S. government securities 424 — — 424 — $ 745,498 $ 2,145 $ (4,019 ) $ 743,624 $ 601,660 Reported as follows: Cost Unrealized Gain Unrealized (Loss) Fair Value Fair Market Value of Investments with Unrealized Losses (in thousands) Marketable securities $ 478,306 $ 38 $ (648 ) $ 477,696 $ 374,785 Long-term marketable securities 267,192 2,107 (3,371 ) 265,928 226,875 $ 745,498 $ 2,145 $ (4,019 ) $ 743,624 $ 601,660 As of July 3, 2016, the fair market value of investments with unrealized losses totaled $163.0 million. Of this value, $4.0 million had unrealized losses of $0.4 million for greater than one year and $159.0 million had unrealized losses of $0.1 million for less than one year. As of December 31, 2015, the fair market value of investments with unrealized losses totaled $601.7 million. Of this value, $0.9 million had unrealized losses of $0.5 million for greater than one year and $600.8 million had unrealized losses of $3.6 million for less than one year. Teradyne reviews its investments to identify and evaluate investments that have an indication of possible impairment. Based on this review, Teradyne determined that the unrealized losses related to these investments, at July 3, 2016 and December 31, 2015, were temporary. The contractual maturities of investments held at July 3, 2016 were as follows: July 3, 2016 Cost Fair Market Value (in thousands) Due within one year $ 441,840 $ 442,154 Due after 1 year through 5 years 218,350 218,769 Due after 5 years through 10 years 4,699 4,962 Due after 10 years 38,742 42,140 Total $ 703,631 $ 708,025 Contractual maturities of investments held at July 3, 2016 exclude equity and debt mutual funds as they do not have contractual maturity dates. Derivatives Teradyne conducts business in a number of foreign countries, with certain transactions denominated in local currencies. The purpose of Teradyne’s foreign currency management is to minimize the effect of exchange rate fluctuations on certain foreign currency denominated monetary assets and liabilities. Teradyne does not use derivative financial instruments for trading or speculative purposes. To minimize the effect of exchange rate fluctuations associated with the remeasurement of monetary assets and liabilities denominated in foreign currencies, Teradyne enters into foreign currency forward contracts. The change in fair value of these derivatives is recorded directly in earnings, and is used to offset the change in value of monetary assets and liabilities denominated in foreign currencies. The notional amount of foreign currency forward contracts was $117.7 million and $114.1 million at July 3, 2016 and December 31, 2015, respectively. The fair value of the outstanding contracts was a loss of $0.1 million and $0.0 million at July 3, 2016 and December 31, 2015, respectively. For the three and six months ended July 3, 2016, Teradyne recorded net realized losses of $6.9 million and $10.2 million, respectively, related to foreign currency forward contracts hedging net monetary positions. For the three months ended July 5, 2015, Teradyne recorded a net realized gain of $1.6 million related to foreign currency forward contracts hedging net monetary positions. For the six months ended July 5, 2015, Teradyne recorded a net realized loss of $1.9 million related to foreign currency forward contracts hedging net monetary positions. The following table summarizes the fair value of derivative instruments at July 3, 2016 and December 31, 2015: Balance Sheet Location July 3, 2016 December 31, 2015 (in thousands) Derivatives not designated as hedging instruments: Foreign exchange contracts assets Prepayments $ 5 $ 109 Foreign exchange contracts liabilities Other current liabilities (93 ) (146 ) Total derivatives $ (88 ) $ (37 ) Teradyne’s foreign exchange contracts are subject to master netting agreements. The following table summarizes the effect of derivative instruments recognized in the statement of operations during the three and six months ended July 3, 2016 and July 5, 2015. Location of (Gains) Losses Recognized in Statement of Operations For the Three Months Ended For the Six Months Ended July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands) Derivatives not designated as hedging instruments: Foreign exchange contracts Other (income) expense, net $ 6,901 $ (1,547 ) $ 10,199 $ 1,878 Total Derivatives $ 6,901 $ (1,547 ) $ 10,199 $ 1,878 The table above does not reflect the corresponding gains and losses from the remeasurement of monetary assets and liabilities denominated in foreign currencies recorded in other (income) expense, net. For the three and six months ended July 3, 2016, net gains from the remeasurement of monetary assets and liabilities denominated in foreign currencies were $6.9 million and $10.4 million, respectively. For the three months ended July 5, 2015, net losses from the remeasurement of monetary assets and liabilities denominated in foreign currencies were $2.1 million. For the six months ended July 5, 2015, net gains from the remeasurement of monetary assets and liabilities denominated in foreign currencies were $2.2 million.

Debt

Debt	6 Months Ended
Debt	Jul. 03, 2016
Debt	F. Debt Revolving Credit Facility On April 27, 2015, Teradyne entered into a Credit Agreement (the “Credit Agreement”) with Barclays Bank PLC, as administrative agent and collateral agent, and the lenders party thereto. The Credit Agreement provides for a five-year, senior secured revolving credit facility of up to $350 million (the “Credit Facility”). The Credit Agreement further provides that, subject to customary conditions, Teradyne may seek to obtain from existing or new lenders incremental commitments under the Credit Facility in an aggregate principal amount not to exceed $150 million. Proceeds from the Credit Facility may be used for general corporate purposes and working capital. Teradyne incurred $2.3 million in costs related to the revolving credit facility. These costs are being amortized over the five-year term of the revolving credit facility and are included in interest expense in the statement of operations. As of August 12, 2016, Teradyne has not borrowed any funds under the Credit Facility. The interest rates applicable to loans under the Credit Facility are, at Teradyne’s option, equal to either a base rate plus a margin ranging from 0.00% to 1.00% per annum or LIBOR plus a margin ranging from 1.00% to 2.00% per annum, based on the Consolidated Leverage Ratio of Teradyne and its Restricted Subsidiaries. In addition, Teradyne will pay a commitment fee on the unused portion of the commitments under the Credit Facility ranging from 0.125% to 0.350% per annum, based on the then applicable Consolidated Leverage Ratio. Teradyne is not required to repay any loans under the Credit Facility prior to maturity, subject to certain customary exceptions. Teradyne is permitted to prepay all or any portion of the loans under the Credit Facility prior to maturity without premium or penalty, other than customary LIBOR breakage costs. The Credit Agreement contains customary events of default, representations, warranties and affirmative and negative covenants that, among other things, limit Teradyne’s and its Restricted Subsidiaries’ ability to sell assets, grant liens on assets, incur other secured indebtedness and make certain investments and restricted payments, all subject to exceptions set forth in the Credit Agreement. The Credit Agreement also requires Teradyne to satisfy two financial ratios measured as of the end of each fiscal quarter: a consolidated leverage ratio and an interest coverage ratio. As of August 12, 2016, Teradyne was in compliance with all covenants. The Credit Facility is guaranteed by certain of Teradyne’s domestic subsidiaries and collateralized by assets of Teradyne and such subsidiaries, including a pledge of 65% of the capital stock of certain foreign subsidiaries.

Prepayments

Prepayments	6 Months Ended
Prepayments	Jul. 03, 2016
Prepayments	G. Prepayments Prepayments consist of the following and are included in prepayments on the balance sheet: July 3, 2016 December 31, 2015 (in thousands) Contract manufacturer prepayments $ 77,009 $ 66,283 Prepaid maintenance and other services 7,623 8,481 Prepaid taxes 5,119 3,781 Other prepayments 13,380 12,974 Total prepayments $ 103,131 $ 91,519

Deferred Revenue and Customer A

Deferred Revenue and Customer Advances	6 Months Ended
Deferred Revenue and Customer Advances	Jul. 03, 2016
Deferred Revenue and Customer Advances	H. Deferred Revenue and Customer Advances Deferred revenue and customer advances consist of the following and are included in short and long-term deferred revenue and customer advances on the balance sheet: July 3, 2016 December 31, 2015 (in thousands) Extended warranty $ 47,723 $ 46,499 Product maintenance and training 38,030 30,616 Customer advances 3,486 17,456 Undelivered elements and other 128,608 16,701 Total deferred revenue and customer advances $ 217,847 $ 111,272

Product Warranty

Product Warranty	6 Months Ended
Product Warranty	Jul. 03, 2016
Product Warranty	I. Product Warranty Teradyne generally provides a one-year warranty on its products, commencing upon installation, acceptance, delivery or shipment. A provision is recorded upon revenue recognition to cost of revenues for estimated warranty expense based on historical experience. Related costs are charged to the warranty accrual as incurred. The warranty balance below is included in other accrued liabilities on the balance sheet. For the Three Ended For the Six Months Ended July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands) Balance at beginning of period $ 7,496 $ 7,423 $ 6,925 $ 8,942 Acquisition — 372 — 372 Accruals for warranties issued during the period 4,888 3,926 8,378 6,287 Adjustments related to pre-existing warranties (420 ) (797 ) (177 ) (1,828 ) Settlements made during the period (3,180 ) (2,696 ) (6,342 ) (5,545 ) Balance at end of period $ 8,784 $ 8,228 $ 8,784 $ 8,228 When Teradyne receives revenue for extended warranties beyond one year, it is deferred and recognized on a straight-line basis over the contract period. Related costs are expensed as incurred. The extended warranty balance below is included in short and long-term deferred revenue and customer advances on the balance sheet. For the Three Months Ended For the Six Months Ended July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands) Balance at beginning of period $ 46,115 $ 40,704 $ 46,499 $ 43,300 Acquisition — 699 — 699 Deferral of new extended warranty revenue 8,898 8,172 15,725 12,376 Recognition of extended warranty deferred revenue (7,290 ) (6,276 ) (14,501 ) (13,076 ) Balance at end of period $ 47,723 $ 43,299 $ 47,723 $ 43,299

Stock-Based Compensation

Stock-Based Compensation	6 Months Ended
Stock-Based Compensation	Jul. 03, 2016
Stock-Based Compensation	J. Stock-Based Compensation Under Teradyne’s stock compensation plans, Teradyne grants stock options, restricted stock units and performance-based restricted stock units, and employees are eligible to purchase Teradyne’s common stock through its Employee Stock Purchase Plan (“ESPP”). Teradyne grants performance-based restricted stock units (“PRSUs”) to its executive officers with a performance metric based on relative total shareholder return (“TSR”). For TSR grants issued in 2014 and 2015, Teradyne’s three-year TSR performance is measured against the Philadelphia Semiconductor Index. For TSR grants issued in January 2016, Teradyne’s three-year TSR performance will be measured against the New York Stock Exchange (“NYSE”) Composite Index. The final number of TSR PRSUs that vest will vary based upon the level of performance achieved from 200% to 0% of the target shares. The TSR PRSUs will vest upon the three-year anniversary of the grant date. The TSR PRSUs are valued using a Monte Carlo simulation model. The number of units expected to be earned, based upon the achievement of the TSR market condition, is factored into the grant date Monte Carlo valuation. Compensation expense is recognized on a straight-line basis over the three-year service period. Compensation expense is recognized regardless of the eventual number of units that are earned based upon the market condition, provided the executive officer remains an employee at the end of the three-year period. Compensation expense is reversed if at any time during the three-year service period the executive officer is no longer an employee, subject to the retirement and termination eligibility provisions noted below. In January 2016, Teradyne granted PRSUs to its executive officers with a performance metric based on three-year cumulative non-GAAP profit before interest and tax (“PBIT”). Non-GAAP PBIT is a financial measure equal to GAAP income from operations less restructuring and other, net; amortization of acquired intangible assets; acquisition and divestiture related charges or credits; pension actuarial gains and losses; and other non-recurring gains and charges. The final number of PBIT PRSUs that vest will vary based upon the level of performance achieved from 200% to 0% of the target shares. The PBIT PRSUs will vest upon the three-year anniversary of the grant date. Compensation expense is recognized on a straight-line basis over the three-year service period. Compensation expense is recognized based on the number of units that are earned based upon the three-year Teradyne PBIT as a percent of Teradyne’s revenue, provided the executive officer remains an employee at the end of the three-year period subject to the retirement and termination eligibility provisions noted below. Beginning with PRSUs granted in January 2014, if the recipient’s employment ends prior to the determination of the performance percentage due to (1) permanent disability or death or (2) retirement or termination other than for cause, after attaining both at least age sixty and at least ten years of service, then all or a portion of the recipient’s PRSUs (based on the actual performance percentage achieved on the determination date) will vest on the date the performance percentage is determined. Except as set forth in the preceding sentence, no PRSUs will vest if the executive officer is no longer an employee at the end of the three-year period. During the six months ended July 3, 2016 and July 5, 2015, Teradyne granted 0.1 million and 0.2 million TSR PRSUs, respectively, with a grant date fair value of $20.29 and $18.21, respectively. The fair value was estimated using the Monte Carlo simulation model with the following assumptions: For the Six Months Ended July 3, 2016 July 5, 2015 Risk-free interest rate 0.97 % 0.77 % Teradyne volatility-historical 27.0 % 28.2 % NYSE Composite Index volatility-historical 13.1 % — Philadelphia Semiconductor Index volatility-historical — 19.7 % Dividend yield 1.24 % 1.33 % Expected volatility was based on the historical volatility of Teradyne’s stock and the NYSE Composite Index for the 2016 grant and Philadelphia Semiconductor Index for the 2015 grant, over the most recent three year period. The risk-free interest rate was determined using the U.S. Treasury yield curve in effect at the time of grant. Dividend yield was based upon an estimated annual dividend amount of $0.24 per share divided by Teradyne’s stock price on the grant date of $19.43 for the 2016 grant and $18.10 for the 2015 grant. During the six months ended July 3, 2016, Teradyne granted 0.1 million PBIT PRSUs with a grant date fair value of $18.71. During the six months ended July 3, 2016, Teradyne granted 1.2 million of service-based restricted stock unit awards to employees at a weighted average grant date fair value of $18.49, 0.1 million of service-based restricted stock unit awards to non-employee directors at a weighted average grant date fair value of $18.71 and 0.1 million of service-based stock options to executive officers at a weighted average grant date fair value of $5.30. During the six months ended July 5, 2015, Teradyne granted 1.4 million of service-based restricted stock unit awards to employees at a weighted average grant date fair value of $17.15, 0.1 million of service-based restricted stock unit awards to non-employee directors at a weighted average grant date fair value of $20.21 and 0.1 million of service-based stock options to executive officers at a weighted average grant date fair value of $4.43. Restricted stock unit awards granted to employees vest in equal annual installments over four years. Restricted stock unit awards granted to non-employee directors vest after a one year period, with 100% of the award vesting on the first anniversary of the grant date. Stock options vest in equal annual installments over four years and have a term of seven years from the date of grant. The fair value of stock options was estimated using the Black-Scholes option-pricing model with the following assumptions: For the Six Months Ended July 3, 2016 July 5, 2015 Expected life (years) 5.0 4.0 Risk-free interest rate 1.4 % 1.1 % Volatility-historical 32.9 % 33.4 % Dividend yield 1.24 % 1.33 % Teradyne determined the stock options’ expected life based upon historical exercise data for executive officers, the age of the executive officers and the terms of the stock option grant. Volatility was determined using historical volatility for a period equal to the expected life. The risk-free interest rate was determined using the U.S. Treasury yield curve in effect at the time of grant. Dividend yield was based upon an estimated annual dividend amount of $0.24 per share divided by Teradyne’s stock price on the grant date, of $19.43 for the 2016 grant and $18.10 for the 2015 grant.

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income	6 Months Ended
Accumulated Other Comprehensive Income	Jul. 03, 2016
Accumulated Other Comprehensive Income	K. Accumulated Other Comprehensive Income Changes in accumulated other comprehensive income, which is presented net of tax, consist of the following: For the Six Months Ended July 3, 2016 Foreign Currency Translation Adjustment Unrealized Gains (Losses) on Marketable Securities Retirement Plans Prior Service Credit Total (in thousands) Balance at December 31, 2015, net of tax of $0, $(459), $(622) $ (8,759 ) $ (1,414 ) $ 2,029 $ (8,144 ) Other comprehensive income before reclassifications, net of tax of $0, $2,354 5,229 5,446 — 10,675 Amounts reclassified from accumulated other comprehensive income (loss), net of tax of $(2), $(59) — (134 ) (104 ) (238 ) Net current period other comprehensive income (loss), net of tax of $0, $2,352, $(59) 5,229 5,312 (104 ) 10,437 Balance at July 3, 2016, net of tax of $0, $1,893, $(681) $ (3,530 ) $ 3,898 $ 1,925 $ 2,293 For the Six Months Ended July 5, 2015 Foreign Currency Translation Adjustments Unrealized Gains (Losses) on Marketable Securities Retirement Plans Prior Service Credit Total (in thousands) Balance at December 31, 2014, net of tax of $1,598, $(453) $ — $ 2,365 $ 2,324 $ 4,689 Other comprehensive loss before reclassifications, net of tax of $0, $(944) (6,267 ) (876 ) — (7,143 ) Amounts reclassified from accumulated other comprehensive income, net of tax of $(209), $(85) — (561 ) (147 ) (708 ) Net current period other comprehensive loss, net of tax of $0, $(1,153), $(85) (6,267 ) (1,437 ) (147 ) (7,851 ) Balance at July 5, 2015, net of tax of $0, $445, $(538) $ (6,267 ) $ 928 $ 2,177 $ (3,162 ) Reclassifications out of accumulated other comprehensive income to the statement of operations for the three and six months ended July 3, 2016 and July 5, 2015 were as follows: Details about Accumulated Other Comprehensive Income Components For the Three Months Ended For the Six Months Ended Affected Line Item in the Statements of Operations July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands) Available-for-sale marketable securities: Unrealized gains, net of tax of $13, $40, $2, $209 $ 51 $ 231 $ 134 $ 561 Interest income Defined benefit pension and postretirement plans: Amortization of prior service income, net of tax of $47, $42, $93, $85 83 74 163 147 (a) Prior service income arising during period, net of tax of $(34), $0, $(34), $0 (59 ) — (59 ) — 24 74 104 147 Total reclassifications, net of tax of $26, $82, $61, $294 $ 75 $ 305 $ 238 $ 708 Net income (a) The amortization of prior service income is included in the computation of net periodic pension cost and postretirement benefit; see Note O: “Retirement Plans.”

Goodwill and Intangible Assets

Goodwill and Intangible Assets	6 Months Ended
Goodwill and Intangible Assets	Jul. 03, 2016
Goodwill and Intangible Assets	L. Goodwill and Intangible Assets Goodwill Teradyne performs its annual goodwill impairment test as required under the provisions of ASC 350-10, “Intangibles—Goodwill and Other” In the second quarter of 2016, the Wireless Test reporting unit (which is Teradyne’s Wireless Test operating and reportable segment) reduced headcount by 11% as a result of a sharp decline in projected demand attributable to an estimated smaller future wireless test market. The decrease in projected demand was due to lower forecasted buying from Teradyne’s largest Wireless Test segment customer (who has contributed between 51% and 73% of annual Wireless Test sales since the LitePoint acquisition in 2011) as a result of the customer’s numerous operational efficiencies; slower smartphone growth rates; and a slowdown of new wireless technology adoption. Teradyne considered the headcount reduction and sharp decline in projected demand to be a triggering event for an interim goodwill impairment test. Teradyne used the income and market approaches to determine the fair value of the Wireless Test reporting unit for step 1 of the goodwill impairment test. With respect to the income approach, Teradyne used the discounted cash flow method, which included seven year future cash flow projections and an estimated terminal value. The cash flow projections were prepared using Teradyne’s forecast, which was based upon underlying estimates of the total market size, and Teradyne’s market share in the wireless test market developed using Teradyne and independent third party data. The estimated terminal value was calculated using the Gordon Growth model. The market approach used a revenue multiple to develop an estimate of fair value. The revenue multiple was estimated using enterprise value as a ratio of next twelve months revenue for comparable companies. Teradyne equally weighted the income and market approaches to determine the fair value of the Wireless Test reporting unit. The carrying amount of the Wireless Test reporting unit exceeded its fair value; therefore, the second step of the goodwill impairment test was performed to calculate implied goodwill and to measure the amount of the impairment loss. Teradyne allocated the fair value of the Wireless Test reporting unit to all of its assets and liabilities (including unrecognized intangible assets). The net book value of raw materials inventory was estimated as an approximation of current replacement costs. The fair value of finished goods inventory was estimated at the present value of selling price less direct selling costs and profit on the selling effort. The selling price used in the inventory fair values was based upon the product gross margins included in Teradyne’s forecast. The fair value of the deferred revenue liability was estimated by assessing the costs required to service the obligation plus a reasonable profit margin. The fair value for personal property assets, which consisted of furniture and fixtures, machinery and equipment, computer equipment, software and leasehold improvements, was estimated using the replacement cost approach, which approximated carrying value. The fair value of intangible assets was estimated using the income approach and, in particular, developed technology and trademarks/trade names were valued using the relief-from-royalty method and customer relationships and customer backlog were valued using the discounted cash flow method. Royalty rates were estimated using rates applicable to wireless testing equipment and other similar technologies. Based upon this allocation, Teradyne determined that goodwill is valued at $8.0 million and recorded an impairment loss of $255 million in the second quarter of 2016. The changes in the carrying amount of goodwill by reportable segments for the six months ended July 3, 2016, were as follows: Wireless Test Industrial Automation System Test Semiconductor Test Total (in thousands) Balance at December 31, 2015: Goodwill $ 361,819 $ 214,975 $ 158,699 $ 260,540 $ 996,033 Accumulated impairment losses (98,897 ) — (148,183 ) (260,540 ) (507,620 ) 262,922 214,975 10,516 — 488,413 Foreign currency translation adjustment — 3,743 — — 3,743 Goodwill impairment loss (254,946 ) — — — (254,946 ) Balance at July 3, 2016: Goodwill 361,819 218,718 158,699 260,540 999,776 Accumulated impairment losses (353,843 ) — (148,183 ) (260,540 ) (762,566 ) $ 7,976 $ 218,718 $ 10,516 $ — $ 237,210 Intangible Assets Teradyne reviews long-lived assets for impairment whenever events or changes in business circumstances indicate that the carrying amount of the assets may not be fully recoverable or that the useful lives of these assets are no longer appropriate. As a result of the Wireless Test segment goodwill impairment review in the second quarter of 2016, Teradyne performed an impairment test of the Wireless Test segment’s intangible and long-lived assets. The impairment test is based on a comparison of the estimated undiscounted cash flows to the carrying value of the asset group. If undiscounted cash flows for the asset group are less than the carrying amount, the asset group is written down to its estimated fair value based on a discounted cash flow analysis. The cash flow estimates used to determine the impairment contain management’s best estimates using appropriate assumptions and projections at that time. The fair value of intangible assets was estimated using the income approach and, in particular, developed technology and trademarks/trade names were valued using the relief-from-royalty method and customer relationships were valued using the discounted cash flow method. Royalty rates were estimated using rates applicable to wireless testing equipment and other similar technologies. As a result of the analysis, Teradyne recorded an $83 million impairment charge in the second quarter of 2016 in acquired intangible assets impairment on the statement of operations. Amortizable intangible assets consist of the following and are included in intangible assets, net on the balance sheet: July 3, 2016 Gross Carrying Amount (1) Accumulated Amortization (1)(2) Foreign Adjustment Net Carrying Amount Weighted Average Useful (in thousands) Developed technology $ 333,421 $ 259,364 (1,138 ) $ 72,919 6.0 years Customer relationships 110,602 89,674 (119 ) 20,809 7.9 years Tradenames and trademarks 53,034 24,581 (292 ) 28,161 9.5 years Non-compete agreement 320 140 — 180 4.0 years Customer backlog 170 170 — — 0.3 years Total intangible assets $ 497,547 $ 373,929 (1,549 ) $ 122,069 6.8 years (1) In 2016, $48 million of amortizable intangible assets became fully amortized and have been eliminated from the gross carrying amount and accumulated amortization. (2) Includes an $83 million impairment of Wireless Test amortizable intangible assets. December 31, 2015 Gross Carrying Amount Accumulated Amortization Foreign Net Carrying Amount Weighted Average Useful Life (in thousands) Developed technology $ 382,262 $ 220,346 (2,444 ) $ 159,472 6.0 years Customer relationships 110,602 63,722 (258 ) 46,622 7.9 years Tradenames and trademarks 53,034 18,889 (628 ) 33,517 9.5 years Non-compete agreement 320 100 — 220 4.0 years Customer backlog 170 170 — — 0.3 years Total intangible assets $ 546,388 $ 303,227 (3,330 ) $ 239,831 6.7 years Aggregate intangible asset amortization expense was $16.2 million and $36.2 million, respectively, for the three and six months ended July 3, 2016 and $15.3 million and $29.1 million, respectively, for the three and six months ended July 5, 2015. Estimated intangible asset amortization expense for each of the five succeeding fiscal years is as follows: Year Amortization Expense (in thousands) 2016 (remainder) $ 16,519 2017 30,410 2018 28,142 2019 24,244 2020 10,626 Thereafter 12,128

Net Income per Common Share

Net Income per Common Share	6 Months Ended
Net Income per Common Share	Jul. 03, 2016
Net Income per Common Share	M. Net Income per Common Share The following table sets forth the computation of basic and diluted net income per common share: For the Three Months Ended For the Six Months Ended July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands, except per share amounts) Net (loss) income for basic and diluted net income per share $ (223,546 ) $ 102,879 $ (173,560 ) $ 135,666 Weighted average common shares-basic 203,018 213,845 203,645 215,516 Effect of dilutive potential common shares: Restricted stock units — 978 — 940 Stock options — 603 — 649 Employee stock purchase plan — 70 — 49 Dilutive potential common shares — 1,651 — 1,638 Weighted average common shares-diluted 203,018 215,496 203,645 217,154 Net (loss) income per common share-basic $ (1.10 ) $ 0.48 $ (0.85 ) $ 0.63 Net (loss) income per common share-diluted $ (1.10 ) $ 0.48 $ (0.85 ) $ 0.62 The computation of diluted net income per common share for the three and six months ended July 3, 2016 excludes the effect of the potential exercise of all outstanding stock options and restricted stock units because Teradyne had a net loss and inclusion would be anti-dilutive. The computation of diluted net income per common share for the three and six months ended July 5, 2015 excludes the effect of the potential exercise of stock options to purchase approximately 0.2 million shares because the effect would have been anti-dilutive.

Restructuring and Other

Restructuring and Other	6 Months Ended
Restructuring and Other	Jul. 03, 2016
Restructuring and Other	N. Restructuring and Other Other On April 16, 2016, an earthquake in Kumamoto, Japan damaged Teradyne’s main facility at that location. The Teradyne owned facility, which was used for engineering, production, and support operations, was damaged beyond repair and has no remaining utility to Teradyne. In the three and six months ended July 3, 2016, Teradyne wrote off the building’s carrying value of $4.2 million and also recorded $0.9 million of earthquake related expenses. Teradyne has $10 million of earthquake insurance with a deductible of approximately $2.5 million for the location. The $5.1 million of total charges were offset by $5.1 million of proceeds received in the second quarter of 2016 under the insurance policy. The charges and proceeds were recognized in restructuring and other in the statement of operations. Teradyne has temporarily transferred some operations to other facilities in Japan and elsewhere while its Kumamoto operations are restored. Teradyne is still in the process of assessing the total impact of the damage. During the three months ended July 3, 2016, Teradyne recorded an expense of $1.3 million for the increase in the fair value of contingent consideration liability, of which $0.8 million was related to Universal Robots and $0.6 million was related to AIT. During the six months ended July 3, 2016, Teradyne recorded an expense of $2.5 million for the increase in the fair value of contingent consideration liability, of which $1.9 million was related to Universal Robots and $0.6 million was related to AIT. During the three and six months ended July 5, 2015, Teradyne recorded a $1.6 million gain from the decrease in the fair value of the ZTEC contingent consideration liability, partially offset by $1.0 million of acquisition costs related to Universal Robots. Restructuring During the three months ended July 3, 2016, Teradyne recorded $1.3 million of severance charges related to headcount reductions of 62 people, of which 47 people were in Wireless Test and 15 people were in Semiconductor Test. During the six months ended July 3, 2016, Teradyne recorded $1.7 million of severance charges related to headcount reductions of 74 people, of which 47 people were in Wireless Test and 27 people were in Semiconductor Test. During the three and six months ended July 5, 2015, Teradyne recorded $0.3 million of severance charges related to headcount reductions of 4 people, primarily in Semiconductor Test.

Retirement Plans

Retirement Plans	6 Months Ended
Retirement Plans	Jul. 03, 2016
Retirement Plans	O. Retirement Plans ASC 715, “Compensation—Retirement Benefits” Defined Benefit Pension Plans Teradyne has defined benefit pension plans covering a portion of domestic employees and employees of certain non-U.S. subsidiaries. Benefits under these plans are based on employees’ years of service and compensation. Teradyne’s funding policy is to make contributions to these plans in accordance with local laws and to the extent that such contributions are tax deductible. The assets of these plans consist primarily of fixed income and equity securities. In addition, Teradyne has an unfunded supplemental executive defined benefit plan in the United States to provide retirement benefits in excess of levels allowed by the Employment Retirement Income Security Act (“ERISA”) and the Internal Revenue Code (“IRC”), as well as unfunded foreign plans. In the six months ended July 3, 2016, Teradyne contributed $1.3 million to the U.S. supplemental executive defined benefit pension plan and $0.7 million to certain qualified plans for non-U.S. subsidiaries. For the three and six months ended July 3, 2016 and July 5, 2015, Teradyne’s net periodic pension (income) cost was comprised of the following: For the Three Months Ended July 3, 2016 July 5, 2015 United Foreign United Foreign (in thousands) Service cost $ 575 $ 199 $ 615 $ 263 Interest cost 3,401 199 3,289 385 Expected return on plan assets (3,472 ) (5 ) (3,634 ) (215 ) Amortization of prior service cost 24 — 34 — Actuarial gain (654 ) — (3 ) — Total net periodic pension (income) cost $ (126 ) $ 393 $ 301 $ 433 For the Six Months Ended July 3, 2016 July 5, 2015 United Foreign United Foreign (in thousands) Service cost $ 1,151 $ 406 $ 1,231 $ 510 Interest cost 6,815 405 6,571 744 Expected return on plan assets (6,915 ) (11 ) (7,259 ) (410 ) Amortization of prior service cost 48 — 67 — Actuarial gain (1,848 ) — (3 ) — Settlement — (238 ) — — Total net periodic pension (income) cost $ (749 ) $ 562 $ 607 $ 844 Postretirement Benefit Plan In addition to receiving pension benefits, U.S. Teradyne employees who meet early retirement eligibility requirements as of their termination dates may participate in Teradyne’s Welfare Plan, which includes medical and dental benefits up to age 65. Death benefits provide a fixed sum to retirees’ survivors and are available to all retirees. Substantially all of Teradyne’s current U.S. employees could become eligible for these benefits, and the existing benefit obligation relates primarily to those employees. For the three months and six months ended July 3, 2016 and July 5, 2015, Teradyne’s net periodic postretirement income was comprised of the following: For the Three Months Ended For the Six July 3, July 5, July 3, July 5, (in thousands) Service cost $ 9 $ 12 $ 19 $ 24 Interest cost 53 59 109 118 Amortization of prior service income (154 ) (150 ) (304 ) (299 ) Actuarial gain (15 ) (19 ) (15 ) (19 ) Total net periodic post-retirement benefit $ (107 ) $ (98 ) $ (191 ) $ (176 )

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
Commitments and Contingencies	Jul. 03, 2016
Commitments and Contingencies	P. Commitments and Contingencies Purchase Commitments As of July 3, 2016, Teradyne had entered into purchase commitments for certain components and materials. The purchase commitments covered by the agreements aggregate to approximately $201.1 million, of which $200.0 million is for less than one year. Legal Claims Teradyne is subject to various legal proceedings and claims which have arisen in the ordinary course of business. In the opinion of management, the ultimate disposition of these matters will not have a material adverse effect on Teradyne’s results of operations, financial condition or cash flows.

Income Taxes

Income Taxes	6 Months Ended
Income Taxes	Jul. 03, 2016
Income Taxes	Q. Income Taxes The effective tax rate for the three months ended July 3, 2016 and July 5, 2015 was 3.2% and 22.1%, respectively. The effective tax rate for the six months ended July 3, 2016 and July 5, 2015 was 0.0% and 22.3%, respectively. The effective tax rates for the three and six months ended July 3, 2016 differed from the expected federal statutory rate of 35% as a result of a non-deductible goodwill impairment charge, which reduced the benefit of the U.S. loss before income taxes, and increases in uncertain tax positions for transfer pricing, offset by the effect of lower statutory rates applicable to income earned outside the U.S., the benefit of U.S. research and development tax credits, and discrete tax benefits. Discrete tax benefits recorded in the three and six months ended July 3, 2016 amounted to $4.4 million and $6.9 million respectively. The $4.4 million of discrete tax benefits recorded in the three months ended July 3, 2016 was composed of $2.6 million of tax reserve releases resulting from the settlement of a U.S. tax audit and $2.2 million from non-taxable foreign exchange gains net of $0.4 million of expense from other discrete tax items. The $6.9 million of discrete tax benefits recorded in the six months ended July 3, 2016 was composed of $3.4 million from non-taxable foreign exchange gains, $2.6 million of tax reserve releases resulting from the settlement of a U.S. tax audit, and $0.9 million related to marketable securities. The effective tax rates for three and six months ended July 5, 2015 differed from the expected federal statutory rate of 35% primarily because of the favorable effect of statutory rates applicable to income earned outside the U.S. The tax rate for the six months ended July 5, 2015 was increased by additions to the uncertain tax positions for transfer pricing included in the projected annual effective tax rate, partially offset by $1.7 million of discrete tax benefits composed of $0.7 million from disqualifying dispositions of incentive stock options and employee stock purchase plan shares and $1.0 million from other discrete tax benefits. On a quarterly basis, Teradyne evaluates the realizability of the deferred tax assets by jurisdiction and assesses the need for a valuation allowance. As of July 3, 2016, Teradyne believes that it will ultimately realize the deferred tax assets recorded on the condensed consolidated balance sheet. However, should Teradyne believe that it is more-likely-than-not that the deferred tax assets would not be realized, the tax provision would increase in the period in which Teradyne determined that the realizability was not likely. Teradyne considers the probability of future taxable income and historical profitability, among other factors, in assessing the realizability of the deferred tax assets. As of July 3, 2016 and December 31, 2015, Teradyne had $32.8 million and $33.7 million, respectively, of reserves for uncertain tax positions. The $0.9 million net decrease in reserves for uncertain tax positions is composed of tax reserve releases resulting from the settlement of a U.S. tax audit, partially offset by additions related to transfer pricing exposures. As of July 3, 2016, Teradyne estimates that it is reasonably possible that the balance of unrecognized tax benefits may decrease approximately $3.6 million in the next twelve months, as a result of a lapse of statutes of limitation. The estimated decrease is composed primarily of reserves relating to transfer pricing. Teradyne recognizes interest and penalties related to income tax matters in income tax expense. As of July 3, 2016 and December 31, 2015, $0.8 million and $0.5 million, respectively, of interest and penalties were included in the reserve for uncertain tax positions. For the six months ended July 3, 2016, an expense of $0.3 million was recorded for interest and penalties related to income tax items. For the six months ended July 5, 2015, an expense of $0.1 million was recorded for interest and penalties related to income tax items. Teradyne qualifies for a tax holiday in Singapore by fulfilling the requirements of an agreement with the Singapore Economic Development Board under which certain headcount and spending requirements must be met. The tax savings due to the tax holiday for the six months ended July 3, 2016 was $30.7 million, or $0.15 per diluted share. The tax savings due to the tax holiday for the six months ended July 5, 2015 was $6.2 million, or $0.03 per diluted share. The tax holiday is scheduled to expire on December 31, 2020.

Segment Information

Segment Information	6 Months Ended
Segment Information	Jul. 03, 2016
Segment Information	R. Segment Information Teradyne has four operating segments (Semiconductor Test, System Test, Wireless Test, and Industrial Automation), which are its reportable segments. The Semiconductor Test segment includes operations related to the design, manufacturing and marketing of semiconductor test products and services. The System Test segment includes operations related to the design, manufacturing and marketing of products and services for defense/aerospace instrumentation test, storage test and circuit-board test. The Wireless Test segment includes operations related to the design, manufacturing and marketing of wireless test products and services. The Industrial Automation segment includes operations related to the design, manufacturing and marketing of collaborative robots. Each operating segment has a segment manager who is directly accountable to and maintains regular contact with Teradyne’s chief operating decision maker (Teradyne’s chief executive officer) to discuss operating activities, financial results, forecasts, and plans for the segment. Teradyne evaluates performance based on several factors, of which the primary financial measure is business segment income before income taxes. The accounting policies of the business segments in effect are described in Note B: “Accounting Policies” in Teradyne’s Annual Report on Form 10-K for the year ended December 31, 2015. Segment information for the three months and six months ended July 3, 2016 and July 5, 2015 is as follows: Semiconductor Test System Test Wireless Test Industrial Automation Corporate and Eliminations Consolidated (in thousands) Three months ended July 3, 2016: Revenues $ 435,323 $ 48,940 $ 22,427 $ 25,102 $ — $ 531,792 Income (loss) before income taxes (1)(2) 121,163 8,992 (356,505 ) (4,501 ) 34 (230,817 ) Total assets (3) 731,394 91,374 61,618 346,290 1,177,182 2,407,858 Three months ended July 5, 2015: Revenues $ 400,315 $ 45,822 $ 62,879 $ 3,723 $ — $ 512,739 Income (loss) before income taxes (1)(2) 129,546 (4,333 ) 6,841 (1,700 ) 1,782 132,136 Total assets (3) 649,087 95,544 485,857 358,276 1,104,043 2,692,807 Six months ended July 3, 2016: Revenues $ 775,588 $ 102,610 $ 42,741 $ 41,848 $ — $ 962,787 Income (loss) before income taxes (1)(2) 194,417 18,484 (376,645 ) (11,669 ) 1,788 (173,625 ) Total assets (3) 731,394 91,374 61,618 346,290 1,177,182 2,407,858 Six months ended July 5, 2015: Revenues $ 671,232 $ 83,258 $ 96,927 $ 3,723 $ — $ 855,140 Income (loss) before income taxes (1)(2) 172,671 (3,328 ) (3,600 ) (1,700 ) 10,531 174,574 Total assets (3) 649,087 95,544 485,857 358,276 1,104,043 2,692,807 (1) Interest income, interest expense, and other (income) expense, net are included in Corporate and Eliminations. (2) Included in the income (loss) before income taxes for each of the segments are charges related to inventory and other. (3) Total business assets are directly attributable to each business. Corporate assets consist of cash and cash equivalents, marketable securities and certain other assets. Included in the Semiconductor Test segment are charges in the following line items in the statements of operations: For the Three Months Ended For the Six Months Ended July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands) Cost of revenues—inventory charge $ 2,234 $ 6,409 $ 5,919 $ 6,940 Restructuring and other 337 305 751 305 Total $ 2,571 $ 6,714 $ 6,670 $ 7,245 Included in the System Test segment are charges in the following line items in the statements of operations: For the Three Months Ended For the Six Months Ended July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands) Cost of revenues—inventory charge $ 237 $ 7,702 $ 320 $ 7,765 Included in the Wireless Test segment are charges in the following line items in the statements of operations: For the Three Months Ended For the Six Months Ended July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands) Goodwill impairment $ 254,946 $ — $ 254,946 $ — Acquired intangible assets impairment 83,339 — 83,339 — Cost of revenues—inventory charge 5,271 330 5,876 1,176 Restructuring and other 967 — 967 — Total $ 344,523 $ 330 $ 345,128 $ 1,176 Included in the Industrial Automation segment are charges in the following line item in the statements of operations: For the Three Months Ended For the Six Months Ended July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands) Cost of revenues—inventory step-up (1) $ — $ 595 $ — $ 595 (1) Included in the cost of revenues for the three and six months ended July 5, 2015 is the cost for purchase accounting inventory step-up. Included in Corporate and Eliminations are charges and credits in the following line items in the statements of operations: For the Three Months Ended For the Six Months Ended July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands) Restructuring and other—Impairment of fixed assets and expenses related to the Japan earthquake $ 5,051 $ — $ 5,051 $ — Restructuring and other—Property insurance recovery and proceeds (5,051 ) — (5,051 ) — Restructuring and other—Universal Robots contingent consideration adjustment 755 — 1,928 — Restructuring and other—AIT contingent consideration adjustment 550 — 550 — Restructuring and other—ZTEC contingent consideration adjustment — (1,600 ) — (1,600 ) Other (income) expense, net—gain from the sale of an equity investment — (624 ) — (5,406 ) Restructuring and other—Universal Robots acquisition costs — 960 — 960 Total $ 1,305 $ (1,264 ) $ 2,478 $ (6,046 )

Shareholders' Equity

Shareholders' Equity	6 Months Ended
Shareholders' Equity	Jul. 03, 2016
Shareholders' Equity	S. Shareholders’ Equity Stock Repurchase Program In January 2015, the Board of Directors authorized Teradyne to repurchase up to $500 million of common stock, of which $300 million was repurchased in 2015. In 2016, Teradyne intends to repurchase between $100 million and $200 million of common stock. During the six months ended July 3, 2016, Teradyne repurchased 2.9 million shares of common stock at an average price per share of $19.29, for a total cost of $56.8 million. Cumulative repurchases as of July 3, 2016 totaled 18.6 million shares of common stock for a total purchase price of $356.7 million at an average price per share of $19.22. The total price includes commissions and is recorded as a reduction to retained earnings. Dividend Holders of Teradyne’s common stock are entitled to receive dividends when they are declared by Teradyne’s Board of Directors. In January 2016 and May 2016, Teradyne’s Board of Directors declared a quarterly cash dividend of $0.06 per share. Dividend payments for the three and six months ended July 3, 2016 were $12.2 million and $24.4 million, respectively. In January 2015 and May 2015, Teradyne’s Board of Directors declared a quarterly cash dividend of $0.06 per share. Dividend payments for the three and six months ended July 5, 2015 were $12.8 million and $25.9 million, respectively. While Teradyne declared a quarterly cash dividend and authorized a share repurchase program, it may reduce or eliminate the cash dividend or share repurchase program in the future. Future cash dividends and stock repurchases are subject to the discretion of Teradyne’s Board of Directors which will consider, among other things, Teradyne’s earnings, capital requirements and financial condition.

Accounting Policies (Policies)

Accounting Policies (Policies)	6 Months Ended
Accounting Policies (Policies)	Jul. 03, 2016
Basis of Presentation	Basis of Presentation The consolidated interim financial statements include the accounts of Teradyne and its wholly-owned subsidiaries. All significant intercompany balances and transactions have been eliminated. These interim financial statements are unaudited and reflect all normal recurring adjustments that are, in the opinion of management, necessary for the fair statement of such interim financial statements. Certain prior year amounts were reclassified to conform to the current year presentation. The December 31, 2015 condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States of America. The accompanying financial information should be read in conjunction with the consolidated financial statements and notes thereto contained in Teradyne’s Annual Report on Form 10-K, filed with the U.S. Securities and Exchange Commission (“SEC”) on February 29, 2016, for the year ended December 31, 2015.
Preparation of Financial Statements and Use of Estimates	Preparation of Financial Statements and Use of Estimates The preparation of consolidated financial statements requires management to make estimates and judgments that affect the amounts reported in the financial statements. Actual results may differ significantly from these estimates.

Acquisitions (Tables)

Acquisitions (Tables) - Universal Robots	6 Months Ended
Acquisitions (Tables) - Universal Robots	Jul. 03, 2016
Final Allocation of the Purchase Price	The following table represents the final allocation of the purchase price: Purchase Price Allocation (in thousands) Goodwill $ 221,128 Intangible assets 121,590 Tangible assets acquired and liabilities assumed: Current assets 10,853 Non-current assets 3,415 Accounts payable and current liabilities (11,976 ) Long-term deferred tax liabilities (26,653 ) Long-term other liabilities (2,920 ) Total purchase price $ 315,437
Components of Intangible Assets and Their Estimated Useful Lives at Acquisition Date	Components of these intangible assets and their estimated useful lives at the acquisition date are as follows: Fair Value Estimated Useful Life (in thousands) (in years) Developed technology $ 89,240 4.9 Trademarks and tradenames 22,920 10.0 Customer relationships 9,430 2.0 Total intangible assets $ 121,590 5.6
Pro Forma Results Under Acquisitions	The unaudited pro forma results are not necessarily indicative of what actually would have occurred had the acquisition been in effect for the periods presented: For the Three Months For the Six Months July 5, 2015 July 5, 2015 Revenue $ 520,217 $ 873,188 Net income 99,719 126,644 Net income per common share: Basic $ 0.47 $ 0.54 Diluted $ 0.46 $ 0.58

Financial Instruments and Der29

Financial Instruments and Derivatives (Tables)	6 Months Ended
Financial Instruments and Derivatives (Tables)	Jul. 03, 2016
Schedule of Fair Value of Financial Assets and Liabilities Measured on Recurring Basis	The following table sets forth by fair value hierarchy Teradyne’s financial assets and liabilities that were measured at fair value on a recurring basis as of July 3, 2016 and December 31, 2015. July 3, 2016 Quoted Prices in Active Markets for Identical Instruments (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total (in thousands) Assets Cash $ 196,155 $ — $ — $ 196,155 Cash equivalents 125,314 59,626 — 184,940 Available-for-sale securities: U.S. Treasury securities — 475,631 — 475,631 Corporate debt securities — 143,598 — 143,598 Commercial paper — 32,978 — 32,978 Certificates of deposit and time deposits — 27,974 — 27,974 U.S. government agency securities — 27,218 — 27,218 Equity and debt mutual funds 16,674 — — 16,674 Non-U.S. government securities — 626 — 626 Total 338,143 767,651 — 1,105,794 Derivative assets — 5 — 5 Total $ 338,143 $ 767,656 $ — $ 1,105,799 Liabilities Contingent consideration $ — $ — $ 24,914 $ 24,914 Derivative liabilities — 93 — 93 Total $ — $ 93 $ 24,914 $ 25,007 Reported as follows: (Level 1) (Level 2) (Level 3) Total (in thousands) Assets Cash and cash equivalents $ 321,469 $ 59,626 $ — $ 381,095 Marketable securities — 442,154 — 442,154 Long-term marketable securities 16,674 265,871 — 282,545 Prepayments — 5 — 5 $ 338,143 $ 767,656 $ — $ 1,105,799 Liabilities . Other accrued liabilities $ — $ 93 $ — $ 93 Contingent consideration — — 1,050 1,050 Long-term contingent consideration — — 23,864 23,864 $ — $ 93 $ 24,914 $ 25,007 December 31, 2015 Quoted Prices in Active Markets for Identical Instruments (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total (in thousands) Assets Cash $ 213,336 $ — $ — $ 213,336 Cash equivalents 49,241 2,128 — 51,369 Available for sale securities: U.S. Treasury securities — 419,958 — 419,958 Corporate debt securities — 161,634 — 161,634 U.S. government agency securities — 83,952 — 83,952 Certificates of deposit and time deposits — 43,394 — 43,394 Commercial paper — 20,308 — 20,308 Equity and debt mutual funds 13,954 — — 13,954 Non-U.S. government securities — 424 — 424 Total $ 276,531 $ 731,798 $ — $ 1,008,329 Derivative assets — 109 — 109 Total $ 276,531 $ 731,907 $ — $ 1,008,438 Liabilities Contingent consideration $ — $ — $ 37,436 $ 37,436 Derivative liabilities — 146 — 146 Total $ — $ 146 $ 37,436 $ 37,582 Reported as follows: (Level 1) (Level 2) (Level 3) Total (in thousands) Assets Cash and cash equivalents $ 262,577 $ 2,128 $ — $ 264,705 Marketable securities — 477,696 — 477,696 Long-term marketable securities 13,954 251,974 — 265,928 Prepayments — 109 — 109 $ 276,531 $ 731,907 $ — $ 1,008,438 Liabilities Other accrued liabilities $ — $ 146 $ — $ 146 Contingent consideration — — 15,500 15,500 Long-term contingent consideration — — 21,936 21,936 $ — $ 146 $ 37,436 $ 37,582
Schedule of Changes in Fair Value of Level 3 Contingent Consideration	Changes in the fair value of Level 3 contingent consideration for the three and six months ended July 3, 2016 and July 5, 2015 were as follows: For the Three Months Ended For the Six Months Ended July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands) Balance at beginning of period $ 23,609 $ 3,350 $ 37,436 $ 3,350 Acquisition of Universal Robots — 33,845 — 33,845 Payments (a) — — (15,000 ) — Fair value adjustment (b)(c)(d) 1,305 (1,600 ) 2,478 (1,600 ) Balance at end of period $ 24,914 $ 35,595 $ 24,914 $ 35,595 (a) In the six months ended July 3, 2016, based on Universal Robots’ calendar year 2015 EBITDA results, Teradyne paid $15 million or 100% of the eligible EBITDA contingent consideration amount. (b) In the three and six months ended July 3, 2016, the fair value of contingent consideration for the earn-out in connection with the acquisition of Universal Robots was increased by $0.8 million and $1.9 million, respectively, primarily due to a decrease in the discount rate. (c) In the three and six months ended July 3, 2016, the fair value of contingent consideration for the earn-out in connection with the acquisition of Avionics Interface Technology, LLC (“AIT”) was increased by $0.6 million due to an increase in forecasted revenue. (d) In the three and six months ended July 5, 2015, the fair value measurement of the contingent consideration for the earn-out in connection with the acquisition of ZTEC Instruments, Inc. (“ZTEC”) was reduced to $0 because Teradyne and the Securityholder Representative, on behalf of the ZTEC securityholders, agreed to terminate the earn-out prior to the end of the December 31, 2015 earn-out period, with no payout in connection with the resolution of indemnity claims asserted by both Teradyne and the Securityholder Representative.
Quantitative Information Associated With Fair Value Measurement of Level 3 Financial Instrument	The following table provides quantitative information associated with the fair value measurement of Teradyne’s Level 3 financial instruments: Liability July 3, 2016 Fair Value Valuation Technique Unobservable Inputs Weighted Average (in thousands) Contingent consideration (Universal Robots) $16,922 Monte Carlo Simulation Revenue for the period July 1, 2015—December 31, 2017 volatility 15.6% Discount Rate 4.0% $6,942 Monte Carlo Revenue for the period July 1, 2015—December 31, 2018 volatility 15.6% Discount Rate 4.0% Contingent consideration (AIT) $1,050 Income approach- discounted cash flow Revenue for calendar year 2016 probability Discount Rate 100% 4.0%
Schedule of Carrying Amounts and Fair Values of Financial Instruments	The carrying amounts and fair values of Teradyne’s financial instruments at July 3, 2016 and December 31, 2015 were as follows: July 3, 2016 December 31, 2015 Carrying Value Fair Value Carrying Value Fair Value (in thousands) Assets Cash and cash equivalents $ 381,095 $ 381,095 $ 264,705 $ 264,705 Marketable securities 724,699 724,699 743,624 743,624 Derivative assets 5 5 109 109 Liabilities Contingent consideration 24,914 24,914 37,436 37,436 Derivative liabilities 93 93 146 146
Schedule of Available-for-Sale Marketable Securities	The following tables summarize the composition of available-for-sale marketable securities at July 3, 2016 and December 31, 2015: July 3, 2016 Available-for-Sale Fair Market Value of Investments with Unrealized Losses Cost Unrealized Gain Unrealized (Loss) Fair Value (in thousands) U.S. Treasury securities $ 473,958 $ 1,684 $ (11 ) $ 475,631 $ 118,777 Corporate debt securities 140,995 3,060 (457 ) 143,598 40,862 Commercial paper 32,959 19 — 32,978 — Certificates of deposit and time deposits 27,958 16 — 27,974 — U.S. government agency securities 27,151 67 — 27,218 2,421 Equity and debt mutual funds 15,278 1,424 (28 ) 16,674 937 Non-U.S. government securities 610 16 — 626 — $ 718,909 $ 6,286 $ (496 ) $ 724,699 $ 162,997 Reported as follows: Cost Unrealized Gain Unrealized (Loss) Fair Market Value Fair Market Value of Investments with Unrealized Losses (in thousands) Marketable securities $ 441,840 $ 336 $ (22 ) $ 442,154 $ 89,416 Long-term marketable securities 277,069 5,950 (474 ) 282,545 73,581 $ 718,909 $ 6,286 $ (496 ) $ 724,699 $ 162,997 December 31, 2015 Available-for-Sale Fair Market Value of Investments with Unrealized Losses Cost Unrealized Gain Unrealized (Loss) Fair Value (in thousands) U.S. Treasury securities $ 421,060 $ 65 $ (1,167 ) $ 419,958 $ 379,434 Corporate debt securities 163,297 902 (2,565 ) 161,634 145,373 U.S. government agency securities 84,032 42 (122 ) 83,952 55,120 Certificates of deposit and time deposits 43,391 6 (3 ) 43,394 10,527 Commercial paper 20,298 11 (1 ) 20,308 8,646 Equity and debt mutual funds 12,996 1,119 (161 ) 13,954 2,560 Non-U.S. government securities 424 — — 424 — $ 745,498 $ 2,145 $ (4,019 ) $ 743,624 $ 601,660 Reported as follows: Cost Unrealized Gain Unrealized (Loss) Fair Value Fair Market Value of Investments with Unrealized Losses (in thousands) Marketable securities $ 478,306 $ 38 $ (648 ) $ 477,696 $ 374,785 Long-term marketable securities 267,192 2,107 (3,371 ) 265,928 226,875 $ 745,498 $ 2,145 $ (4,019 ) $ 743,624 $ 601,660
Contractual Maturities of Investments Held	The contractual maturities of investments held at July 3, 2016 were as follows: July 3, 2016 Cost Fair Market Value (in thousands) Due within one year $ 441,840 $ 442,154 Due after 1 year through 5 years 218,350 218,769 Due after 5 years through 10 years 4,699 4,962 Due after 10 years 38,742 42,140 Total $ 703,631 $ 708,025
Schedule of Derivative Instruments in Statement of Financial Position at Fair Value	The following table summarizes the fair value of derivative instruments at July 3, 2016 and December 31, 2015: Balance Sheet Location July 3, 2016 December 31, 2015 (in thousands) Derivatives not designated as hedging instruments: Foreign exchange contracts assets Prepayments $ 5 $ 109 Foreign exchange contracts liabilities Other current liabilities (93 ) (146 ) Total derivatives $ (88 ) $ (37 )
Schedule of Effect of Derivative Instruments on Statement of Operations Recognized	The following table summarizes the effect of derivative instruments recognized in the statement of operations during the three and six months ended July 3, 2016 and July 5, 2015. Location of (Gains) Losses Recognized in Statement of Operations For the Three Months Ended For the Six Months Ended July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands) Derivatives not designated as hedging instruments: Foreign exchange contracts Other (income) expense, net $ 6,901 $ (1,547 ) $ 10,199 $ 1,878 Total Derivatives $ 6,901 $ (1,547 ) $ 10,199 $ 1,878

Prepayments (Tables)

Prepayments (Tables)	6 Months Ended
Prepayments (Tables)	Jul. 03, 2016
Schedule of Prepayments	Prepayments consist of the following and are included in prepayments on the balance sheet: July 3, 2016 December 31, 2015 (in thousands) Contract manufacturer prepayments $ 77,009 $ 66,283 Prepaid maintenance and other services 7,623 8,481 Prepaid taxes 5,119 3,781 Other prepayments 13,380 12,974 Total prepayments $ 103,131 $ 91,519

Deferred Revenue and Customer31

Deferred Revenue and Customer Advances (Tables)	6 Months Ended
Deferred Revenue and Customer Advances (Tables)	Jul. 03, 2016
Deferred Revenue and Customer Advances	Deferred revenue and customer advances consist of the following and are included in short and long-term deferred revenue and customer advances on the balance sheet: July 3, 2016 December 31, 2015 (in thousands) Extended warranty $ 47,723 $ 46,499 Product maintenance and training 38,030 30,616 Customer advances 3,486 17,456 Undelivered elements and other 128,608 16,701 Total deferred revenue and customer advances $ 217,847 $ 111,272

Product Warranty (Tables)

Product Warranty (Tables)	6 Months Ended
Product Warranty (Tables)	Jul. 03, 2016
Other Accrued Liabilities	The warranty balance below is included in other accrued liabilities on the balance sheet. For the Three Ended For the Six Months Ended July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands) Balance at beginning of period $ 7,496 $ 7,423 $ 6,925 $ 8,942 Acquisition — 372 — 372 Accruals for warranties issued during the period 4,888 3,926 8,378 6,287 Adjustments related to pre-existing warranties (420 ) (797 ) (177 ) (1,828 ) Settlements made during the period (3,180 ) (2,696 ) (6,342 ) (5,545 ) Balance at end of period $ 8,784 $ 8,228 $ 8,784 $ 8,228
Extended Product Warranty of Short and Long-Term Deferred Revenue and Customer Advances	The extended warranty balance below is included in short and long-term deferred revenue and customer advances on the balance sheet. For the Three Months Ended For the Six Months Ended July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands) Balance at beginning of period $ 46,115 $ 40,704 $ 46,499 $ 43,300 Acquisition — 699 — 699 Deferral of new extended warranty revenue 8,898 8,172 15,725 12,376 Recognition of extended warranty deferred revenue (7,290 ) (6,276 ) (14,501 ) (13,076 ) Balance at end of period $ 47,723 $ 43,299 $ 47,723 $ 43,299

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	6 Months Ended
Stock-Based Compensation (Tables)	Jul. 03, 2016
Schedule of Estimated Fair Value of TSR Performance-Based Restricted Stock Unit Awards Assumptions	The fair value was estimated using the Monte Carlo simulation model with the following assumptions: For the Six Months Ended July 3, 2016 July 5, 2015 Risk-free interest rate 0.97 % 0.77 % Teradyne volatility-historical 27.0 % 28.2 % NYSE Composite Index volatility-historical 13.1 % — Philadelphia Semiconductor Index volatility-historical — 19.7 % Dividend yield 1.24 % 1.33 %
Stock Options
Fair Value of Stock Options Using Assumptions	The fair value of stock options was estimated using the Black-Scholes option-pricing model with the following assumptions: For the Six Months Ended July 3, 2016 July 5, 2015 Expected life (years) 5.0 4.0 Risk-free interest rate 1.4 % 1.1 % Volatility-historical 32.9 % 33.4 % Dividend yield 1.24 % 1.33 %

Accumulated Other Comprehensi34

Accumulated Other Comprehensive Income (Tables)	6 Months Ended
Accumulated Other Comprehensive Income (Tables)	Jul. 03, 2016
Changes in accumulated other comprehensive income	Changes in accumulated other comprehensive income, which is presented net of tax, consist of the following: For the Six Months Ended July 3, 2016 Foreign Currency Translation Adjustment Unrealized Gains (Losses) on Marketable Securities Retirement Plans Prior Service Credit Total (in thousands) Balance at December 31, 2015, net of tax of $0, $(459), $(622) $ (8,759 ) $ (1,414 ) $ 2,029 $ (8,144 ) Other comprehensive income before reclassifications, net of tax of $0, $2,354 5,229 5,446 — 10,675 Amounts reclassified from accumulated other comprehensive income (loss), net of tax of $(2), $(59) — (134 ) (104 ) (238 ) Net current period other comprehensive income (loss), net of tax of $0, $2,352, $(59) 5,229 5,312 (104 ) 10,437 Balance at July 3, 2016, net of tax of $0, $1,893, $(681) $ (3,530 ) $ 3,898 $ 1,925 $ 2,293 For the Six Months Ended July 5, 2015 Foreign Currency Translation Adjustments Unrealized Gains (Losses) on Marketable Securities Retirement Plans Prior Service Credit Total (in thousands) Balance at December 31, 2014, net of tax of $1,598, $(453) $ — $ 2,365 $ 2,324 $ 4,689 Other comprehensive loss before reclassifications, net of tax of $0, $(944) (6,267 ) (876 ) — (7,143 ) Amounts reclassified from accumulated other comprehensive income, net of tax of $(209), $(85) — (561 ) (147 ) (708 ) Net current period other comprehensive loss, net of tax of $0, $(1,153), $(85) (6,267 ) (1,437 ) (147 ) (7,851 ) Balance at July 5, 2015, net of tax of $0, $445, $(538) $ (6,267 ) $ 928 $ 2,177 $ (3,162 )
Reclassifications Out of Accumulated Other Comprehensive Income to Statement of Operations	Reclassifications out of accumulated other comprehensive income to the statement of operations for the three and six months ended July 3, 2016 and July 5, 2015 were as follows: Details about Accumulated Other Comprehensive Income Components For the Three Months Ended For the Six Months Ended Affected Line Item in the Statements of Operations July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands) Available-for-sale marketable securities: Unrealized gains, net of tax of $13, $40, $2, $209 $ 51 $ 231 $ 134 $ 561 Interest income Defined benefit pension and postretirement plans: Amortization of prior service income, net of tax of $47, $42, $93, $85 83 74 163 147 (a) Prior service income arising during period, net of tax of $(34), $0, $(34), $0 (59 ) — (59 ) — 24 74 104 147 Total reclassifications, net of tax of $26, $82, $61, $294 $ 75 $ 305 $ 238 $ 708 Net income (a) The amortization of prior service income is included in the computation of net periodic pension cost and postretirement benefit; see Note O: “Retirement Plans.”

Goodwill and Intangible Assets

Goodwill and Intangible Assets (Tables)	6 Months Ended
Goodwill and Intangible Assets (Tables)	Jul. 03, 2016
Changes in Carrying Amount of Goodwill by Segment	The changes in the carrying amount of goodwill by reportable segments for the six months ended July 3, 2016, were as follows: Wireless Test Industrial Automation System Test Semiconductor Test Total (in thousands) Balance at December 31, 2015: Goodwill $ 361,819 $ 214,975 $ 158,699 $ 260,540 $ 996,033 Accumulated impairment losses (98,897 ) — (148,183 ) (260,540 ) (507,620 ) 262,922 214,975 10,516 — 488,413 Foreign currency translation adjustment — 3,743 — — 3,743 Goodwill impairment loss (254,946 ) — — — (254,946 ) Balance at July 3, 2016: Goodwill 361,819 218,718 158,699 260,540 999,776 Accumulated impairment losses (353,843 ) — (148,183 ) (260,540 ) (762,566 ) $ 7,976 $ 218,718 $ 10,516 $ — $ 237,210
Schedule of Amortizable Intangible Assets	Amortizable intangible assets consist of the following and are included in intangible assets, net on the balance sheet: July 3, 2016 Gross Carrying Amount (1) Accumulated Amortization (1)(2) Foreign Adjustment Net Carrying Amount Weighted Average Useful (in thousands) Developed technology $ 333,421 $ 259,364 (1,138 ) $ 72,919 6.0 years Customer relationships 110,602 89,674 (119 ) 20,809 7.9 years Tradenames and trademarks 53,034 24,581 (292 ) 28,161 9.5 years Non-compete agreement 320 140 — 180 4.0 years Customer backlog 170 170 — — 0.3 years Total intangible assets $ 497,547 $ 373,929 (1,549 ) $ 122,069 6.8 years (1) In 2016, $48 million of amortizable intangible assets became fully amortized and have been eliminated from the gross carrying amount and accumulated amortization. (2) Includes an $83 million impairment of Wireless Test amortizable intangible assets. December 31, 2015 Gross Carrying Amount Accumulated Amortization Foreign Net Carrying Amount Weighted Average Useful Life (in thousands) Developed technology $ 382,262 $ 220,346 (2,444 ) $ 159,472 6.0 years Customer relationships 110,602 63,722 (258 ) 46,622 7.9 years Tradenames and trademarks 53,034 18,889 (628 ) 33,517 9.5 years Non-compete agreement 320 100 — 220 4.0 years Customer backlog 170 170 — — 0.3 years Total intangible assets $ 546,388 $ 303,227 (3,330 ) $ 239,831 6.7 years
Schedule of Estimated Intangible Asset Amortization Expense	Estimated intangible asset amortization expense for each of the five succeeding fiscal years is as follows: Year Amortization Expense (in thousands) 2016 (remainder) $ 16,519 2017 30,410 2018 28,142 2019 24,244 2020 10,626 Thereafter 12,128

Net Income per Common Share (Ta

Net Income per Common Share (Tables)	6 Months Ended
Net Income per Common Share (Tables)	Jul. 03, 2016
Computation of Basic and Diluted Net Income Per Common Share	The following table sets forth the computation of basic and diluted net income per common share: For the Three Months Ended For the Six Months Ended July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands, except per share amounts) Net (loss) income for basic and diluted net income per share $ (223,546 ) $ 102,879 $ (173,560 ) $ 135,666 Weighted average common shares-basic 203,018 213,845 203,645 215,516 Effect of dilutive potential common shares: Restricted stock units — 978 — 940 Stock options — 603 — 649 Employee stock purchase plan — 70 — 49 Dilutive potential common shares — 1,651 — 1,638 Weighted average common shares-diluted 203,018 215,496 203,645 217,154 Net (loss) income per common share-basic $ (1.10 ) $ 0.48 $ (0.85 ) $ 0.63 Net (loss) income per common share-diluted $ (1.10 ) $ 0.48 $ (0.85 ) $ 0.62

Retirement Plans (Tables)

Retirement Plans (Tables)	6 Months Ended
Retirement Plans (Tables)	Jul. 03, 2016
Defined Benefit Pension Plans
Net Periodic Pension and Postretirement (Income) Cost	For the three and six months ended July 3, 2016 and July 5, 2015, Teradyne’s net periodic pension (income) cost was comprised of the following: For the Three Months Ended July 3, 2016 July 5, 2015 United Foreign United Foreign (in thousands) Service cost $ 575 $ 199 $ 615 $ 263 Interest cost 3,401 199 3,289 385 Expected return on plan assets (3,472 ) (5 ) (3,634 ) (215 ) Amortization of prior service cost 24 — 34 — Actuarial gain (654 ) — (3 ) — Total net periodic pension (income) cost $ (126 ) $ 393 $ 301 $ 433 For the Six Months Ended July 3, 2016 July 5, 2015 United Foreign United Foreign (in thousands) Service cost $ 1,151 $ 406 $ 1,231 $ 510 Interest cost 6,815 405 6,571 744 Expected return on plan assets (6,915 ) (11 ) (7,259 ) (410 ) Amortization of prior service cost 48 — 67 — Actuarial gain (1,848 ) — (3 ) — Settlement — (238 ) — — Total net periodic pension (income) cost $ (749 ) $ 562 $ 607 $ 844
Postretirement Benefit Plans
Net Periodic Pension and Postretirement (Income) Cost	For the three months and six months ended July 3, 2016 and July 5, 2015, Teradyne’s net periodic postretirement income was comprised of the following: For the Three Months Ended For the Six July 3, July 5, July 3, July 5, (in thousands) Service cost $ 9 $ 12 $ 19 $ 24 Interest cost 53 59 109 118 Amortization of prior service income (154 ) (150 ) (304 ) (299 ) Actuarial gain (15 ) (19 ) (15 ) (19 ) Total net periodic post-retirement benefit $ (107 ) $ (98 ) $ (191 ) $ (176 )

Segment Information (Tables)

Segment Information (Tables)	6 Months Ended
Segment Information (Tables)	Jul. 03, 2016
Segment Information	Segment information for the three months and six months ended July 3, 2016 and July 5, 2015 is as follows: Semiconductor Test System Test Wireless Test Industrial Automation Corporate and Eliminations Consolidated (in thousands) Three months ended July 3, 2016: Revenues $ 435,323 $ 48,940 $ 22,427 $ 25,102 $ — $ 531,792 Income (loss) before income taxes (1)(2) 121,163 8,992 (356,505 ) (4,501 ) 34 (230,817 ) Total assets (3) 731,394 91,374 61,618 346,290 1,177,182 2,407,858 Three months ended July 5, 2015: Revenues $ 400,315 $ 45,822 $ 62,879 $ 3,723 $ — $ 512,739 Income (loss) before income taxes (1)(2) 129,546 (4,333 ) 6,841 (1,700 ) 1,782 132,136 Total assets (3) 649,087 95,544 485,857 358,276 1,104,043 2,692,807 Six months ended July 3, 2016: Revenues $ 775,588 $ 102,610 $ 42,741 $ 41,848 $ — $ 962,787 Income (loss) before income taxes (1)(2) 194,417 18,484 (376,645 ) (11,669 ) 1,788 (173,625 ) Total assets (3) 731,394 91,374 61,618 346,290 1,177,182 2,407,858 Six months ended July 5, 2015: Revenues $ 671,232 $ 83,258 $ 96,927 $ 3,723 $ — $ 855,140 Income (loss) before income taxes (1)(2) 172,671 (3,328 ) (3,600 ) (1,700 ) 10,531 174,574 Total assets (3) 649,087 95,544 485,857 358,276 1,104,043 2,692,807 (1) Interest income, interest expense, and other (income) expense, net are included in Corporate and Eliminations. (2) Included in the income (loss) before income taxes for each of the segments are charges related to inventory and other. (3) Total business assets are directly attributable to each business. Corporate assets consist of cash and cash equivalents, marketable securities and certain other assets.
Semiconductor Test
Schedule of Segment Reporting Information by Segment Charges	Included in the Semiconductor Test segment are charges in the following line items in the statements of operations: For the Three Months Ended For the Six Months Ended July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands) Cost of revenues—inventory charge $ 2,234 $ 6,409 $ 5,919 $ 6,940 Restructuring and other 337 305 751 305 Total $ 2,571 $ 6,714 $ 6,670 $ 7,245
Wireless Test
Schedule of Segment Reporting Information by Segment Charges	Included in the Wireless Test segment are charges in the following line items in the statements of operations: For the Three Months Ended For the Six Months Ended July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands) Goodwill impairment $ 254,946 $ — $ 254,946 $ — Acquired intangible assets impairment 83,339 — 83,339 — Cost of revenues—inventory charge 5,271 330 5,876 1,176 Restructuring and other 967 — 967 — Total $ 344,523 $ 330 $ 345,128 $ 1,176
Industrial Automation
Schedule of Segment Reporting Information by Segment Charges	Included in the Industrial Automation segment are charges in the following line item in the statements of operations: For the Three Months Ended For the Six Months Ended July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands) Cost of revenues—inventory step-up (1) $ — $ 595 $ — $ 595 (1) Included in the cost of revenues for the three and six months ended July 5, 2015 is the cost for purchase accounting inventory step-up.
System Test
Schedule of Segment Reporting Information by Segment Charges	Included in the System Test segment are charges in the following line items in the statements of operations: For the Three Months Ended For the Six Months Ended July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands) Cost of revenues—inventory charge $ 237 $ 7,702 $ 320 $ 7,765
Corporate And Eliminations
Schedule of Segment Reporting Information by Segment Charges	Included in Corporate and Eliminations are charges and credits in the following line items in the statements of operations: For the Three Months Ended For the Six Months Ended July 3, 2016 July 5, 2015 July 3, 2016 July 5, 2015 (in thousands) Restructuring and other—Impairment of fixed assets and expenses related to the Japan earthquake $ 5,051 $ — $ 5,051 $ — Restructuring and other—Property insurance recovery and proceeds (5,051 ) — (5,051 ) — Restructuring and other—Universal Robots contingent consideration adjustment 755 — 1,928 — Restructuring and other—AIT contingent consideration adjustment 550 — 550 — Restructuring and other—ZTEC contingent consideration adjustment — (1,600 ) — (1,600 ) Other (income) expense, net—gain from the sale of an equity investment — (624 ) — (5,406 ) Restructuring and other—Universal Robots acquisition costs — 960 — 960 Total $ 1,305 $ (1,264 ) $ 2,478 $ (6,046 )

Acquisitions - Additional Infor

Acquisitions - Additional Information (Detail) - USD ($)	Jun. 11, 2015	Jul. 05, 2015	Dec. 31, 2015	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015
Business Acquisition [Line Items]
Payments of contingent consideration					$ 11,697,000
Universal Robots
Business Acquisition [Line Items]
Total purchase price	$ 315,437,000
Cash paid to acquire outstanding common and preferred stock	283,800,000
Contingent consideration	31,600,000
Arrangement range of outcomes value high	65,000,000
Payments of contingent consideration					$ 15,000,000
EBITDA contingent consideration amount, percentage					100.00%
Decrease in goodwill			$ (5,400,000)
Contingent consideration adjustment			(2,200,000)
Increase in intangible assets			1,600,000
Decrease in acquired liabilities			$ (1,600,000)
Goodwill, not deductible for tax purposes	$ 221,100,000
Revenues		$ 3,700,000
Income (loss) before income taxes		$ (1,700,000)
Net income				$ 99,719,000		$ 126,644,000
Universal Robots \| Fair Value Adjustment to Inventory
Business Acquisition [Line Items]
Net income				600,000		600,000
Universal Robots \| Acquisition Related Costs
Business Acquisition [Line Items]
Net income				$ 1,000,000		$ 1,000,000

Allocation of Final Purchase Pr

Allocation of Final Purchase Price (Detail) - USD ($) $ in Thousands	Jul. 03, 2016	Dec. 31, 2015	Jun. 11, 2015
Business Acquisition [Line Items]
Goodwill	$ 237,210	$ 488,413
Universal Robots
Business Acquisition [Line Items]
Goodwill			$ 221,128
Intangible assets			121,590
Current assets			10,853
Non-current assets			3,415
Accounts payable and current liabilities			(11,976)
Long-term deferred tax liabilities			(26,653)
Long-term other liabilities			(2,920)
Total purchase price			$ 315,437

Components of Intangible Assets

Components of Intangible Assets and Their Estimated Useful Lives at Acquisition Date (Detail) - Universal Robots $ in Thousands	Jun. 11, 2015USD ($)
Business Acquisition [Line Items]
Total intangible assets, fair value	$ 121,590
Total intangible assets, estimated useful life, years	5 years 7 months 6 days
Developed technology
Business Acquisition [Line Items]
Total intangible assets, fair value	$ 89,240
Total intangible assets, estimated useful life, years	4 years 10 months 24 days
Customer Relationships
Business Acquisition [Line Items]
Total intangible assets, fair value	$ 9,430
Total intangible assets, estimated useful life, years	2 years
Trademarks and tradenames
Business Acquisition [Line Items]
Total intangible assets, fair value	$ 22,920
Total intangible assets, estimated useful life, years	10 years

Pro Forma Results Under Acquisi

Pro Forma Results Under Acquisition (Detail) - Universal Robots - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended	6 Months Ended
	Jul. 05, 2015	Jul. 05, 2015
Business Acquisition [Line Items]
Revenue	$ 520,217	$ 873,188
Net income	$ 99,719	$ 126,644
Net income per common share, basic	$ 0.47	$ 0.54
Net income per common share, diluted	$ 0.46	$ 0.58

Financial Instruments - Additio

Financial Instruments - Additional Information (Detail) - USD ($)	3 Months Ended		6 Months Ended		12 Months Ended
	Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015	Dec. 31, 2015
Financial Instruments and Fair Value [Line Items]
Available-for-sale securities, realized loss	$ 200,000	$ 100,000	$ 300,000	$ 100,000
Available-for-sale securities, realized gain	300,000	400,000	400,000	1,000,000
Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses	162,997,000		162,997,000		$ 601,660,000
Fair market value of investments with unrealized losses greater than one year	4,000,000		4,000,000		900,000
Aggregate loss of investments with unrealized losses greater than one year			400,000		500,000
Fair market value of investments with unrealized losses less than one year	159,000,000		159,000,000		600,800,000
Aggregate loss of investments with unrealized losses less than one year			100,000		3,600,000
Gains (losses) on foreign currency transactions	6,900,000	(2,100,000)	10,400,000	2,200,000
Realized gain(loss) on foreign currency contracts	(6,900,000)	$ 1,600,000	(10,200,000)	$ (1,900,000)
Universal Robots
Financial Instruments and Fair Value [Line Items]
Maximum payment per earn-out			25,000,000
Avionics Interface Technologies, LLC
Financial Instruments and Fair Value [Line Items]
Maximum payment per earn-out			1,100,000
Foreign Currency Forward Contracts
Financial Instruments and Fair Value [Line Items]
Notional amount of foreign currency forward contracts	$ 117,700,000		117,700,000		114,100,000
Gains (losses) on foreign currency transactions			$ 100,000		$ 0

Schedule of Fair Value of Finan

Schedule of Fair Value of Financial Assets and Liabilities Measured on Recurring Basis (Detail) - USD ($) $ in Thousands	Jul. 03, 2016	Dec. 31, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	$ 724,699	$ 743,624
U.S. Treasury Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	475,631	419,958
Corporate Debt Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	143,598	161,634
U.S. Government Agency Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	27,218	83,952
Certificates of Deposit and Time Deposits
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	27,974	43,394
Commercial Paper
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	32,978	20,308
Equity And Debt Mutual Funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	16,674	13,954
Non-U.S. Government Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	626	424
Fair Value, Measurements, Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Total	1,105,794	1,008,329
Derivative assets	5	109
Total	1,105,799	1,008,438
Contingent consideration	24,914	37,436
Derivative liabilities	93	146
Total	25,007	37,582
Fair Value, Measurements, Recurring \| Cash
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash and cash equivalents	196,155	213,336
Fair Value, Measurements, Recurring \| Cash Equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash and cash equivalents	184,940	51,369
Fair Value, Measurements, Recurring \| U.S. Treasury Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	475,631	419,958
Fair Value, Measurements, Recurring \| Corporate Debt Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	143,598	161,634
Fair Value, Measurements, Recurring \| U.S. Government Agency Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	27,218	83,952
Fair Value, Measurements, Recurring \| Certificates of Deposit and Time Deposits
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	27,974	43,394
Fair Value, Measurements, Recurring \| Commercial Paper
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	32,978	20,308
Fair Value, Measurements, Recurring \| Equity And Debt Mutual Funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	16,674	13,954
Fair Value, Measurements, Recurring \| Non-U.S. Government Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	626	424
Quoted Prices in Active Markets for Identical Instruments (Level 1) \| Fair Value, Measurements, Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Total	338,143	276,531
Total	338,143	276,531
Quoted Prices in Active Markets for Identical Instruments (Level 1) \| Fair Value, Measurements, Recurring \| Cash
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash and cash equivalents	196,155	213,336
Quoted Prices in Active Markets for Identical Instruments (Level 1) \| Fair Value, Measurements, Recurring \| Cash Equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash and cash equivalents	125,314	49,241
Quoted Prices in Active Markets for Identical Instruments (Level 1) \| Fair Value, Measurements, Recurring \| Equity And Debt Mutual Funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	16,674	13,954
Significant Other Observable Inputs (Level 2) \| Fair Value, Measurements, Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Total	767,651	731,798
Derivative assets	5	109
Total	767,656	731,907
Derivative liabilities	93	146
Total	93	146
Significant Other Observable Inputs (Level 2) \| Fair Value, Measurements, Recurring \| Cash Equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash and cash equivalents	59,626	2,128
Significant Other Observable Inputs (Level 2) \| Fair Value, Measurements, Recurring \| U.S. Treasury Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	475,631	419,958
Significant Other Observable Inputs (Level 2) \| Fair Value, Measurements, Recurring \| Corporate Debt Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	143,598	161,634
Significant Other Observable Inputs (Level 2) \| Fair Value, Measurements, Recurring \| U.S. Government Agency Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	27,218	83,952
Significant Other Observable Inputs (Level 2) \| Fair Value, Measurements, Recurring \| Certificates of Deposit and Time Deposits
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	27,974	43,394
Significant Other Observable Inputs (Level 2) \| Fair Value, Measurements, Recurring \| Commercial Paper
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	32,978	20,308
Significant Other Observable Inputs (Level 2) \| Fair Value, Measurements, Recurring \| Non-U.S. Government Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Available for sale securities	626	424
Significant Unobservable Inputs (Level 3) \| Fair Value, Measurements, Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Contingent consideration	24,914	37,436
Total	$ 24,914	$ 37,436

Schedule of Reported Financial

Schedule of Reported Financial Assets and Liabilities (Detail) - Fair Value, Measurements, Recurring - USD ($) $ in Thousands	Jul. 03, 2016	Dec. 31, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets	$ 1,105,799	$ 1,008,438
Liabilities	25,007	37,582
Other Accrued Liabilities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Liabilities	93	146
Cash and Cash Equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets	381,095	264,705
Marketable securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets	442,154	477,696
Long-term marketable securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets	282,545	265,928
Prepayments
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets	5	109
Contingent Consideration
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Liabilities	1,050	15,500
Long Term Contingent Consideration
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Liabilities	23,864	21,936
Quoted Prices in Active Markets for Identical Instruments (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets	338,143	276,531
Quoted Prices in Active Markets for Identical Instruments (Level 1) \| Cash and Cash Equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets	321,469	262,577
Quoted Prices in Active Markets for Identical Instruments (Level 1) \| Long-term marketable securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets	16,674	13,954
Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets	767,656	731,907
Liabilities	93	146
Significant Other Observable Inputs (Level 2) \| Other Accrued Liabilities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Liabilities	93	146
Significant Other Observable Inputs (Level 2) \| Cash and Cash Equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets	59,626	2,128
Significant Other Observable Inputs (Level 2) \| Marketable securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets	442,154	477,696
Significant Other Observable Inputs (Level 2) \| Long-term marketable securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets	265,871	251,974
Significant Other Observable Inputs (Level 2) \| Prepayments
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Assets	5	109
Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Liabilities	24,914	37,436
Significant Unobservable Inputs (Level 3) \| Contingent Consideration
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Liabilities	1,050	15,500
Significant Unobservable Inputs (Level 3) \| Long Term Contingent Consideration
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Liabilities	$ 23,864	$ 21,936

Schedule of Changes in Fair Val

Schedule of Changes in Fair Value of Level 3 Contingent Consideration (Detail) - USD ($) $ in Thousands		3 Months Ended		6 Months Ended
		Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Balance at beginning of period		$ 23,609	$ 3,350	$ 37,436	$ 3,350
Payments	[1]			(15,000)
Fair value adjustment	[2],[3],[4]	1,305	(1,600)	2,478	(1,600)
Ending Balance		$ 24,914	35,595	$ 24,914	35,595
Universal Robots
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Acquisition			$ 33,845		$ 33,845

[1]	In the six months ended July 3, 2016, based on Universal Robots' calendar year 2015 EBITDA results, Teradyne paid $15 million or 100% of the eligible EBITDA contingent consideration amount.
[2]	In the three and six months ended July 3, 2016, the fair value of contingent consideration for the earn-out in connection with the acquisition of Avionics Interface Technology, LLC ("AIT") was increased by $0.6 million due to an increase in forecasted revenue.
[3]	In the three and six months ended July 3, 2016, the fair value of contingent consideration for the earn-out in connection with the acquisition of Universal Robots was increased by $0.8 million and $1.9 million, respectively, primarily due to a decrease in the discount rate.
[4]	In the three and six months ended July 5, 2015, the fair value measurement of the contingent consideration for the earn-out in connection with the acquisition of ZTEC Instruments, Inc. ("ZTEC") was reduced to $0 because Teradyne and the Securityholder Representative, on behalf of the ZTEC securityholders, agreed to terminate the earn-out prior to the end of the December 31, 2015 earn-out period, with no payout in connection with the resolution of indemnity claims asserted by both Teradyne and the Securityholder Representative.

Schedule of Changes in Fair V47

Schedule of Changes in Fair Value of Level 3 Contingent Consideration (Parenthetical) (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Payments of contingent consideration			$ 11,697
Increase in contingent consideration	$ 1,300		2,478	$ (1,600)
Universal Robots
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Payments of contingent consideration			$ 15,000
EBITDA contingent consideration amount, percentage	100.00%		100.00%
Increase in contingent consideration	$ 800		$ 1,900
ZTEC Instruments, Inc.
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Increase in contingent consideration		$ (1,600)		(1,600)
Avionics Interface Technologies, LLC
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Increase in contingent consideration	$ 600		$ 600
Contingent Consideration \| ZTEC Instruments, Inc.
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Increase in contingent consideration		$ 0		$ 0

Quantitative Information Associ

Quantitative Information Associated With Fair Value Measurement of Level 3 Financial Instrument (Detail) - USD ($) $ in Thousands	6 Months Ended
	Jul. 03, 2016	Jun. 11, 2015
Universal Robots
Fair Value Inputs, Liabilities, Quantitative Information [Line Items]
Contingent consideration		$ 31,600
Monte Carlo simulation model \| Revenue for the period July 1, 2015-December 31, 2017 \| Universal Robots
Fair Value Inputs, Liabilities, Quantitative Information [Line Items]
Target achievement, volatility	15.60%
Discount Rate	4.00%
Monte Carlo simulation model \| Revenue for the period July 1, 2015-December 31, 2018 \| Universal Robots
Fair Value Inputs, Liabilities, Quantitative Information [Line Items]
Target achievement, volatility	15.60%
Discount Rate	4.00%
Monte Carlo simulation model \| Significant Unobservable Inputs (Level 3)
Fair Value Inputs, Liabilities, Quantitative Information [Line Items]
Contingent consideration	$ 6,942
Monte Carlo simulation model \| Significant Unobservable Inputs (Level 3) \| Universal Robots
Fair Value Inputs, Liabilities, Quantitative Information [Line Items]
Contingent consideration	$ 16,922
Income Approach Valuation Technique \| Revenue for calendar year 2016 \| Avionics Interface Technologies, LLC
Fair Value Inputs, Liabilities, Quantitative Information [Line Items]
Discount Rate	4.00%
Target achievement, probability	100.00%
Income Approach Valuation Technique \| Significant Unobservable Inputs (Level 3) \| Avionics Interface Technologies, LLC
Fair Value Inputs, Liabilities, Quantitative Information [Line Items]
Contingent consideration	$ 1,050

Schedule of Carrying Amounts an

Schedule of Carrying Amounts and Fair Values of Financial Instruments (Detail) - USD ($) $ in Thousands	Jul. 03, 2016	Dec. 31, 2015
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Marketable securities	$ 724,699	$ 743,624
Carrying Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Cash and cash equivalents	381,095	264,705
Marketable securities	724,699	743,624
Derivative assets	5	109
Contingent consideration	24,914	37,436
Derivative liabilities	93	146
Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Cash and cash equivalents	381,095	264,705
Marketable securities	724,699	743,624
Derivative assets	5	109
Contingent consideration	24,914	37,436
Derivative liabilities	$ 93	$ 146

Schedule of Available for Sale

Schedule of Available for Sale Marketable Securities (Detail) - USD ($) $ in Thousands	Jul. 03, 2016	Dec. 31, 2015
Schedule of Available-for-sale Securities
Available-for-sale marketable securities, Cost	$ 718,909	$ 745,498
Available-for-sale marketable securities, Unrealized Gain	6,286	2,145
Available-for-sale marketable securities, Unrealized (Loss)	(496)	(4,019)
Available-for-sale marketable securities, Fair Market Value	724,699	743,624
Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses	162,997	601,660
U.S. Treasury Securities
Schedule of Available-for-sale Securities
Available-for-sale marketable securities, Cost	473,958	421,060
Available-for-sale marketable securities, Unrealized Gain	1,684	65
Available-for-sale marketable securities, Unrealized (Loss)	(11)	(1,167)
Available-for-sale marketable securities, Fair Market Value	475,631	419,958
Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses	118,777	379,434
Corporate Debt Securities
Schedule of Available-for-sale Securities
Available-for-sale marketable securities, Cost	140,995	163,297
Available-for-sale marketable securities, Unrealized Gain	3,060	902
Available-for-sale marketable securities, Unrealized (Loss)	(457)	(2,565)
Available-for-sale marketable securities, Fair Market Value	143,598	161,634
Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses	40,862	145,373
U.S. Government Agency Securities
Schedule of Available-for-sale Securities
Available-for-sale marketable securities, Cost	27,151	84,032
Available-for-sale marketable securities, Unrealized Gain	67	42
Available-for-sale marketable securities, Unrealized (Loss)		(122)
Available-for-sale marketable securities, Fair Market Value	27,218	83,952
Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses	2,421	55,120
Certificates of Deposit and Time Deposits
Schedule of Available-for-sale Securities
Available-for-sale marketable securities, Cost	27,958	43,391
Available-for-sale marketable securities, Unrealized Gain	16	6
Available-for-sale marketable securities, Unrealized (Loss)		(3)
Available-for-sale marketable securities, Fair Market Value	27,974	43,394
Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses		10,527
Commercial Paper
Schedule of Available-for-sale Securities
Available-for-sale marketable securities, Cost	32,959	20,298
Available-for-sale marketable securities, Unrealized Gain	19	11
Available-for-sale marketable securities, Unrealized (Loss)		(1)
Available-for-sale marketable securities, Fair Market Value	32,978	20,308
Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses		8,646
Equity And Debt Mutual Funds
Schedule of Available-for-sale Securities
Available-for-sale marketable securities, Cost	15,278	12,996
Available-for-sale marketable securities, Unrealized Gain	1,424	1,119
Available-for-sale marketable securities, Unrealized (Loss)	(28)	(161)
Available-for-sale marketable securities, Fair Market Value	16,674	13,954
Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses	937	2,560
Non-U.S. Government Securities
Schedule of Available-for-sale Securities
Available-for-sale marketable securities, Cost	610	424
Available-for-sale marketable securities, Unrealized Gain	16
Available-for-sale marketable securities, Fair Market Value	$ 626	$ 424

Schedule of Reported Available

Schedule of Reported Available for Sale Marketable Securities (Detail) - USD ($) $ in Thousands	Jul. 03, 2016	Dec. 31, 2015
Schedule of Available-for-sale Securities
Available-for-sale marketable securities, Cost	$ 718,909	$ 745,498
Available-for-sale marketable securities, Unrealized Gain	6,286	2,145
Available-for-sale marketable securities, Unrealized (Loss)	(496)	(4,019)
Available-for-sale marketable securities, Fair Market Value	724,699	743,624
Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses	162,997	601,660
Marketable securities
Schedule of Available-for-sale Securities
Available-for-sale marketable securities, Cost	441,840	478,306
Available-for-sale marketable securities, Unrealized Gain	336	38
Available-for-sale marketable securities, Unrealized (Loss)	(22)	(648)
Available-for-sale marketable securities, Fair Market Value	442,154	477,696
Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses	89,416	374,785
Long-term marketable securities
Schedule of Available-for-sale Securities
Available-for-sale marketable securities, Cost	277,069	267,192
Available-for-sale marketable securities, Unrealized Gain	5,950	2,107
Available-for-sale marketable securities, Unrealized (Loss)	(474)	(3,371)
Available-for-sale marketable securities, Fair Market Value	282,545	265,928
Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses	$ 73,581	$ 226,875

Contractual Maturities of Inves

Contractual Maturities of Investments Held (Detail) $ in Thousands	Jul. 03, 2016USD ($)
Schedule of Available-for-sale Securities
Due within one year, cost	$ 441,840
Due after 1 year through 5 years, cost	218,350
Due after 5 years through 10 years, cost	4,699
Due after 10 years, cost	38,742
Total, cost	703,631
Due within one year, fair value	442,154
Due after 1 year through 5 years, fair value	218,769
Due after 5 years through 10 years, fair value	4,962
Due after 10 years, fair value	42,140
Total, fair value	$ 708,025

Schedule of Derivative Instrume

Schedule of Derivative Instruments in Statement of Financial Position at Fair Value (Detail) - USD ($) $ in Thousands	Jul. 03, 2016	Dec. 31, 2015
Derivatives, Fair Value [Line Items]
Derivative assets (liabilities), net	$ (88)	$ (37)
Not Designated as Hedging Instrument \| Foreign Currency Forward Contracts \| Prepayments
Derivatives, Fair Value [Line Items]
Derivative assets	5	109
Not Designated as Hedging Instrument \| Foreign Currency Forward Contracts \| Other Current Liabilities
Derivatives, Fair Value [Line Items]
Derivative liabilities	$ (93)	$ (146)

Schedule of Effect of Derivativ

Schedule of Effect of Derivative Instruments in Statement of Operations Recognized (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015
Derivative Instruments, Gain (Loss) [Line Items]
Foreign exchange contracts derivatives not designated as hedging instruments, Gains (Losses) Recognized in Statement of Operations	$ 6,901	$ (1,547)	$ 10,199	$ 1,878
Other (income) expense, net
Derivative Instruments, Gain (Loss) [Line Items]
Foreign exchange contracts derivatives not designated as hedging instruments, Gains (Losses) Recognized in Statement of Operations	$ 6,901	$ (1,547)	$ 10,199	$ 1,878

Debt - Additional Information (

Debt - Additional Information (Detail) - USD ($)	Apr. 27, 2015	Jul. 03, 2016
Debt Instrument
Term of loan, years	5 years
Pledge percentage of capital stock	65.00%
Maximum
Debt Instrument
Aggregate principal amount	$ 150,000,000
Commitment fee percentage of unused portion of credit facility	0.35%
Minimum
Debt Instrument
Commitment fee percentage of unused portion of credit facility	0.125%
Base Rate \| Maximum
Debt Instrument
Debt instrument, basis spread on variable rate	1.00%
Base Rate \| Minimum
Debt Instrument
Debt instrument, basis spread on variable rate	0.00%
London Interbank Offered Rate (LIBOR) \| Maximum
Debt Instrument
Debt instrument, basis spread on variable rate	2.00%
London Interbank Offered Rate (LIBOR) \| Minimum
Debt Instrument
Debt instrument, basis spread on variable rate	1.00%
Revolving Credit Facility
Debt Instrument
Financing cost		$ 2,300,000
Financing cost, amortization term		5 years
Revolving Credit Facility \| Maximum
Debt Instrument
Credit facility, borrowing capacity	$ 350,000,000

Schedule of Prepayments (Detail

Schedule of Prepayments (Detail) - USD ($) $ in Thousands	Jul. 03, 2016	Dec. 31, 2015
Prepaid And Other Current Assets [Line Items]
Contract manufacturer prepayments	$ 77,009	$ 66,283
Prepaid maintenance and other services	7,623	8,481
Prepaid taxes	5,119	3,781
Other prepayments	13,380	12,974
Total prepayments	$ 103,131	$ 91,519

Deferred Revenue and Customer57

Deferred Revenue and Customer Advances (Detail) - USD ($) $ in Thousands	Jul. 03, 2016	Apr. 03, 2016	Dec. 31, 2015	Jul. 05, 2015	Apr. 05, 2015	Dec. 31, 2014
Deferred Revenue Arrangement
Extended warranty	$ 47,723	$ 46,115	$ 46,499	$ 43,299	$ 40,704	$ 43,300
Product maintenance and training	38,030		30,616
Customer advances	3,486		17,456
Undelivered elements and other	128,608		16,701
Total deferred revenue and customer advances	$ 217,847		$ 111,272

Warranty Accrual Included in Ot

Warranty Accrual Included in Other Accrued Liabilities (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015
Product Warranty Liability [Line Items]
Balance at beginning of period	$ 7,496	$ 7,423	$ 6,925	$ 8,942
Acquisition		372		372
Accruals for warranties issued during the period	4,888	3,926	8,378	6,287
Adjustments related to pre-existing warranties	(420)	(797)	(177)	(1,828)
Settlements made during the period	(3,180)	(2,696)	(6,342)	(5,545)
Balance at end of period	$ 8,784	$ 8,228	$ 8,784	$ 8,228

Extended Product Warranty Inclu

Extended Product Warranty Included in Short and Long-Term Deferred Revenue and Customer Advances (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015
Product Warranty Liability [Line Items]
Balance at beginning of period	$ 46,115	$ 40,704	$ 46,499	$ 43,300
Acquisition		699		699
Deferral of new extended warranty revenue	8,898	8,172	15,725	12,376
Recognition of extended warranty deferred revenue	(7,290)	(6,276)	(14,501)	(13,076)
Balance at end of period	$ 47,723	$ 43,299	$ 47,723	$ 43,299

Stock Based Compensation - Addi

Stock Based Compensation - Additional Information (Detail) - $ / shares shares in Millions	1 Months Ended		6 Months Ended
	Jan. 31, 2016	Jan. 31, 2014	Jul. 03, 2016	Jul. 05, 2015
Share-based Compensation Arrangement by Share-based Payment Award
Stock options term			7 years
Service-Based Restricted Stock Units \| Employees
Share-based Compensation Arrangement by Share-based Payment Award
Restricted stock unit awards granted			1.2	1.4
Weighted average grant date fair value of restricted stock units granted			$ 18.49	$ 17.15
Service-Based Restricted Stock Units \| Director
Share-based Compensation Arrangement by Share-based Payment Award
Restricted stock unit awards granted			0.1	0.1
Weighted average grant date fair value of restricted stock units granted			$ 18.71	$ 20.21
Service-Based Restricted Stock Units \| Executive Officer
Share-based Compensation Arrangement by Share-based Payment Award
Number of service-based stock options granted to executive officers			0.1	0.1
Weighted average grant date fair value of stock options granted to executive officers			$ 5.30	$ 4.43
Restricted Stock Units \| Employees
Share-based Compensation Arrangement by Share-based Payment Award
Period of stock granted to employees and executive officers vest in equal installments			4 years
Restricted Stock Units \| Director
Share-based Compensation Arrangement by Share-based Payment Award
Period of stock granted to employees and executive officers vest in equal installments			1 year
Percentage of awards vesting on the first anniversary of grant date			100.00%
Stock Options
Share-based Compensation Arrangement by Share-based Payment Award
Period of stock granted to employees and executive officers vest in equal installments			4 years
TSR Performance-Based Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award
Total shareholder return performance measurement period	3 years
Minimum age of retirement to be eligible for PRSUs		60 years
Minimum years of service for retirement to be eligible for PRSUs		10 years
Restricted stock unit awards granted			0.1	0.2
Weighted average grant date fair value of restricted stock units granted			$ 20.29	$ 18.21
Estimated annual dividend amount per share			0.24
Stock price			$ 19.43	$ 18.10
TSR Performance-Based Restricted Stock Units \| Share-based Compensation Award, Tranche One
Share-based Compensation Arrangement by Share-based Payment Award
Percentage of vesting of target shares upon performance achieved	200.00%
TSR Performance-Based Restricted Stock Units \| Share-based Compensation Award, Tranche Two
Share-based Compensation Arrangement by Share-based Payment Award
Percentage of vesting of target shares upon performance achieved	0.00%
PBIT PRSUs
Share-based Compensation Arrangement by Share-based Payment Award
Total shareholder return performance measurement period	3 years
Restricted stock unit awards granted			0.1
Weighted average grant date fair value of restricted stock units granted			$ 18.71
PBIT PRSUs \| Share-based Compensation Award, Tranche One
Share-based Compensation Arrangement by Share-based Payment Award
Percentage of vesting of target shares upon performance achieved	200.00%
PBIT PRSUs \| Share-based Compensation Award, Tranche Two
Share-based Compensation Arrangement by Share-based Payment Award
Percentage of vesting of target shares upon performance achieved	0.00%

Schedule of Estimated Fair Valu

Schedule of Estimated Fair Value of TSR Performance-Based Restricted Stock Unit Awards Assumptions (Detail) - TSR Performance-Based Restricted Stock Units	6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015
Share-based Compensation Arrangement by Share-based Payment Award
Risk-free interest rate	0.97%	0.77%
Expected historical volatility	27.00%	28.20%
Dividend yield	1.24%	1.33%
New York Stock Exchange Composite Index
Share-based Compensation Arrangement by Share-based Payment Award
Expected historical volatility	13.10%
Philadelphia Semiconductor Index
Share-based Compensation Arrangement by Share-based Payment Award
Expected historical volatility		19.70%

Schedule of Estimated Fair Va62

Schedule of Estimated Fair Value of Stock Options Grant Using Black Scholes Option Pricing Model (Detail) - Stock Options	6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015
Share-based Compensation Arrangement by Share-based Payment Award
Expected life (years)	5 years	4 years
Risk-free interest rate	1.40%	1.10%
Volatility-historical	32.90%	33.40%
Dividend yield	1.24%	1.33%

Changes in Accumulated Other Co

Changes in Accumulated Other Comprehensive Income Balances (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance			$ 1,965,786
Other comprehensive income (loss) before reclassifications, net of tax			10,675	$ (7,143)
Amounts reclassified from accumulated other comprehensive income (loss) net of tax	$ (75)	$ (305)	(238)	(708)
Other comprehensive income (loss), net of tax	(2,741)	(9,247)	10,437	(7,851)
Ending balance	1,745,579		1,745,579
Foreign currency translation reclassification adjustments
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance			(8,759)
Other comprehensive income (loss) before reclassifications, net of tax			5,229	(6,267)
Other comprehensive income (loss), net of tax			5,229	(6,267)
Ending balance	(3,530)	(6,267)	(3,530)	(6,267)
Unrealized Gains (Losses) on Marketable Securities
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance			(1,414)	2,365
Other comprehensive income (loss) before reclassifications, net of tax			5,446	(876)
Amounts reclassified from accumulated other comprehensive income (loss) net of tax			134	561
Other comprehensive income (loss), net of tax			5,312	(1,437)
Ending balance	3,898	928	3,898	928
Retirement Plans Prior Service Credit
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance			2,029	2,324
Amounts reclassified from accumulated other comprehensive income (loss) net of tax			104	147
Other comprehensive income (loss), net of tax			(104)	(147)
Ending balance	1,925	2,177	1,925	2,177
Accumulated Other Comprehensive Income (Loss)
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance			(8,144)	4,689
Ending balance	$ 2,293	$ (3,162)	$ 2,293	$ (3,162)

Changes in Accumulated Other 64

Changes in Accumulated Other Comprehensive Income Balances (Parenthetical) (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015	Dec. 31, 2015	Dec. 31, 2014
Accumulated Other Comprehensive Income (Loss) [Line Items]
Amounts reclassified from accumulated other comprehensive income (loss), tax	$ (26)	$ (82)	$ (61)	$ (294)
Foreign currency translation adjustments, tax	0	0	0	0	$ 0
Unrealized gains on marketable securities, tax	1,893	445	1,893	445	(459)	$ 1,598
Retirement plans prior service benefit, tax	(681)	(538)	(681)	(538)	$ (622)	$ (453)
Foreign currency translation reclassification adjustments
Accumulated Other Comprehensive Income (Loss) [Line Items]
Other comprehensive income (loss) before reclassifications, tax			0	0
Other comprehensive income (loss), tax			0	0
Unrealized Gains (Losses) on Marketable Securities
Accumulated Other Comprehensive Income (Loss) [Line Items]
Other comprehensive income (loss) before reclassifications, tax			2,354	(944)
Amounts reclassified from accumulated other comprehensive income (loss), tax	$ (13)	$ (40)	(2)	(209)
Other comprehensive income (loss), tax			2,352	(1,153)
Retirement Plans Prior Service Credit
Accumulated Other Comprehensive Income (Loss) [Line Items]
Amounts reclassified from accumulated other comprehensive income (loss), tax			(59)	(85)
Other comprehensive income (loss), tax			$ (59)	$ (85)

Reclassification Out of Accumul

Reclassification Out of Accumulated Other Comprehensive Income to Statement of Operations (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Interest income	$ 1,666	$ 1,674	$ 3,308	$ 3,490
Reclassifications, net of tax	75	305	238	708
Unrealized Gains (Losses) on Marketable Securities
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Reclassifications, net of tax			(134)	(561)
Accumulated Defined Benefit Plans Adjustment, Net Prior Service Attributable to Parent
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Reclassifications, net of tax	83	74	163	147
Accumulated Defined Benefit Plans Adjustment, Net Prior Services Attributable to Parent
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Reclassifications, net of tax	(59)		(59)
Defined Benefit Pension and Postretirement Plans, Net Gain (Loss)
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Reclassifications, net of tax	24	74	104	147
Reclassification out of Accumulated Other Comprehensive Income [Member] \| Unrealized Gains (Losses) on Marketable Securities
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Interest income	$ 51	$ 231	$ 134	$ 561

Reclassification Out of Accum66

Reclassification Out of Accumulated Other Comprehensive Income to Statement of Operations (Parenthetical) (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Reclassifications, tax	$ 26	$ 82	$ 61	$ 294
Unrealized Gains (Losses) on Marketable Securities
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Reclassifications, tax	13	40	2	209
Accumulated Defined Benefit Plans Adjustment, Net Prior Service Attributable to Parent
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Reclassifications, tax	(47)	(42)	(93)	(85)
Accumulated Defined Benefit Plans Adjustment, Net Prior Services Attributable to Parent
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Reclassifications, tax	$ 34	$ 0	$ 34	$ 0

Goodwill and Intangible Asset67

Goodwill and Intangible Assets - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015	Dec. 31, 2015
Goodwill and Intangible Assets Disclosure [Line Items]
Goodwill impairment	$ 254,946		$ 254,946
Goodwill	237,210		237,210		$ 488,413
Intangible assets impairment	83,339		83,339
Acquired intangible asset amortization	$ 16,244	$ 15,258	36,238	$ 29,066
Wireless Test
Goodwill and Intangible Assets Disclosure [Line Items]
Employee reduction, percentage	11.00%
Goodwill impairment	$ 254,946		254,946
Goodwill	7,976		7,976		$ 262,922
Intangible assets impairment	$ 83,339		$ 83,339
Wireless Test \| Sales Revenue, Segment \| Customer Concentration Risk \| Minimum
Goodwill and Intangible Assets Disclosure [Line Items]
Concentration risk, percentage	51.00%
Wireless Test \| Sales Revenue, Segment \| Customer Concentration Risk \| Maximum
Goodwill and Intangible Assets Disclosure [Line Items]
Concentration risk, percentage	73.00%

Changes in Carrying Amount of G

Changes in Carrying Amount of Goodwill by Segment (Detail) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jul. 03, 2016	Jul. 03, 2016	Dec. 31, 2015
Goodwill [Line Items]
Foreign currency translation adjustment		$ 3,743
Goodwill impairment loss	$ 254,946	254,946
Goodwill	999,776	999,776	$ 996,033
Accumulated impairment losses	(762,566)	(762,566)	(507,620)
Goodwill	237,210	237,210	488,413
Semiconductor Test
Goodwill [Line Items]
Goodwill	260,540	260,540	260,540
Accumulated impairment losses	(260,540)	(260,540)	(260,540)
Industrial Automation
Goodwill [Line Items]
Foreign currency translation adjustment		3,743
Goodwill	218,718	218,718	214,975
Goodwill	218,718	218,718	214,975
System Test
Goodwill [Line Items]
Goodwill	158,699	158,699	158,699
Accumulated impairment losses	(148,183)	(148,183)	(148,183)
Goodwill	10,516	10,516	10,516
Wireless Test
Goodwill [Line Items]
Goodwill impairment loss	254,946	254,946
Goodwill	361,819	361,819	361,819
Accumulated impairment losses	(353,843)	(353,843)	(98,897)
Goodwill	$ 7,976	$ 7,976	$ 262,922

Schedule of Amortizable Intangi

Schedule of Amortizable Intangible Assets (Detail) - USD ($) $ in Thousands	6 Months Ended		12 Months Ended
	Jul. 03, 2016		Dec. 31, 2015
Finite-Lived Intangible Assets
Gross Carrying Amount	$ 497,547	[1]	$ 546,388
Accumulated Amortization	373,929	[1],[2]	303,227
Foreign Currency Translation Adjustment	(1,549)		(3,330)
Net Carrying Amount	$ 122,069		$ 239,831
Weighted Average Useful Life, years	6 years 9 months 18 days		6 years 8 months 12 days
Developed technology
Finite-Lived Intangible Assets
Gross Carrying Amount	$ 333,421	[1]	$ 382,262
Accumulated Amortization	259,364	[1],[2]	220,346
Foreign Currency Translation Adjustment	(1,138)		(2,444)
Net Carrying Amount	$ 72,919		$ 159,472
Weighted Average Useful Life, years	6 years		6 years
Customer Relationships
Finite-Lived Intangible Assets
Gross Carrying Amount	$ 110,602	[1]	$ 110,602
Accumulated Amortization	89,674	[1],[2]	63,722
Foreign Currency Translation Adjustment	(119)		(258)
Net Carrying Amount	$ 20,809		$ 46,622
Weighted Average Useful Life, years	7 years 10 months 24 days		7 years 10 months 24 days
Trademarks and tradenames
Finite-Lived Intangible Assets
Gross Carrying Amount	$ 53,034	[1]	$ 53,034
Accumulated Amortization	24,581	[1],[2]	18,889
Foreign Currency Translation Adjustment	(292)		(628)
Net Carrying Amount	$ 28,161		$ 33,517
Weighted Average Useful Life, years	9 years 6 months		9 years 6 months
Non-compete agreements
Finite-Lived Intangible Assets
Gross Carrying Amount	$ 320	[1]	$ 320
Accumulated Amortization	140	[1],[2]	100
Net Carrying Amount	$ 180		$ 220
Weighted Average Useful Life, years	4 years		4 years
Customer backlog
Finite-Lived Intangible Assets
Gross Carrying Amount	$ 170	[1]	$ 170
Accumulated Amortization	$ 170	[1],[2]	$ 170
Weighted Average Useful Life, years	3 months 18 days		3 months 18 days

[1]	In 2016, $48 million of amortizable intangible assets became fully amortized and have been eliminated from the gross carrying amount and accumulated amortization.
[2]	Includes an $83 million impairment of Wireless Test amortizable intangible assets.

Schedule of Amortizable Intan70

Schedule of Amortizable Intangible Assets (Parenthetical) (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 03, 2016		Jul. 03, 2016		Dec. 31, 2015
Finite-Lived Intangible Assets
Gross Carrying Amount	$ 497,547	[1]	$ 497,547	[1]	$ 546,388
Accumulated Amortization	373,929	[1],[2]	373,929	[1],[2]	303,227
Net Carrying Amount	122,069		122,069		$ 239,831
Intangible assets impairment	83,339		83,339
Wireless Test
Finite-Lived Intangible Assets
Intangible assets impairment	83,339		83,339
Fully Amortized Intangibles
Finite-Lived Intangible Assets
Gross Carrying Amount	48,000		48,000
Accumulated Amortization	48,000		48,000
Net Carrying Amount	$ 0		$ 0

[1]	In 2016, $48 million of amortizable intangible assets became fully amortized and have been eliminated from the gross carrying amount and accumulated amortization.
[2]	Includes an $83 million impairment of Wireless Test amortizable intangible assets.

Schedule of Estimated Intangibl

Schedule of Estimated Intangible Asset Amortization Expense (Detail) $ in Thousands	Jul. 03, 2016USD ($)
Finite-Lived Intangible Assets
2016 (remainder)	$ 16,519
2,017	30,410
2,018	28,142
2,019	24,244
2,020	10,626
Thereafter	$ 12,128

Computation of Basic and Dilute

Computation of Basic and Diluted Net Income Per Common Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015
Net Income Loss Per Common Share
Net (loss) income for basic and diluted net income per share	$ (223,546)	$ 102,879	$ (173,560)	$ 135,666
Weighted average common shares-basic	203,018	213,845	203,645	215,516
Employee stock purchase plan		70		49
Dilutive potential common shares		1,651		1,638
Weighted average common shares-diluted	203,018	215,496	203,645	217,154
Net (loss) income per common share-basic	$ (1.10)	$ 0.48	$ (0.85)	$ 0.63
Net (loss) income per common share-diluted	$ (1.10)	$ 0.48	$ (0.85)	$ 0.62
Restricted Stock Units
Net Income Loss Per Common Share
Incremental shares attributable to share based payment arrangements		978		940
Stock Options
Net Income Loss Per Common Share
Incremental shares attributable to share based payment arrangements		603		649

Net Income Per Common Share - A

Net Income Per Common Share - Additional Information (Detail) - shares shares in Millions	3 Months Ended	6 Months Ended
	Jul. 05, 2015	Jul. 05, 2015
Net Income Loss Per Common Share
Exercise of stock options	0.2	0.2

Restructuring and Other - Addit

Restructuring and Other - Additional Information (Detail) $ in Thousands	Apr. 16, 2016USD ($)Utility	Jul. 03, 2016USD ($)Employee	Jul. 05, 2015USD ($)Employee	Jul. 03, 2016USD ($)Employee	Jul. 05, 2015USD ($)Employee
Restructuring Cost and Reserve
Property insurance recovery and proceeds		$ 5,051		$ 5,051
Contingent consideration adjustment		1,300		2,478	$ (1,600)
Impairment of fixed assets and expenses related to the Japan earthquake
Restructuring Cost and Reserve
Number of remaining utilities \| Utility	0
Building impairment and other expenses		5,100		5,100
Impairment of fixed assets and expenses related to the Japan earthquake \| Earthquake Related Expenses [Member]
Restructuring Cost and Reserve
Building impairment and other expenses		900		900
Impairment of fixed assets and expenses related to the Japan earthquake \| Buildings
Restructuring Cost and Reserve
Building impairment and other expenses		$ 4,200		$ 4,200
Earthquake
Restructuring Cost and Reserve
Earthquake insurance	$ 10,000
Insurance deductible	$ 2,500
Semiconductor Test
Restructuring Cost and Reserve
Severance benefit and charges			$ 300		$ 300
Reduction in employees headcount \| Employee		15	4	27	4
Semiconductor Test and Wireless Test
Restructuring Cost and Reserve
Severance benefit and charges		$ 1,300		$ 1,700
Reduction in employees headcount \| Employee		62		74
Wireless Test
Restructuring Cost and Reserve
Reduction in employees headcount \| Employee		47		47
ZTEC Instruments, Inc.
Restructuring Cost and Reserve
Contingent consideration adjustment			$ (1,600)		$ (1,600)
Universal Robots
Restructuring Cost and Reserve
Contingent consideration adjustment		$ 800		$ 1,900
Acquisition related costs					$ 1,000
Avionics Interface Technologies, LLC
Restructuring Cost and Reserve
Contingent consideration adjustment		$ 600		$ 600

Retirement Plans - Additional I

Retirement Plans - Additional Information (Detail) $ in Millions	6 Months Ended
	Jul. 03, 2016USD ($)
U.S. Supplemental Executive Defined Benefit Pension Plan
Defined Benefit Plan Disclosure
Contribution to defined benefit pension plans	$ 1.3
Foreign Pension Plans, Defined Benefit
Defined Benefit Plan Disclosure
Contribution to defined benefit pension plans	$ 0.7

Schedule of Net Periodic Pensio

Schedule of Net Periodic Pension and Postretirement Benefit (Income) Cost (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015
United States Pension Plans, Defined Benefit
Defined Benefit Plan Disclosure
Service cost	$ 575	$ 615	$ 1,151	$ 1,231
Interest cost	3,401	3,289	6,815	6,571
Expected return on plan assets	(3,472)	(3,634)	(6,915)	(7,259)
Amortization of prior service cost	24	34	48	67
Actuarial gain	(654)	(3)	(1,848)	(3)
Total net periodic	(126)	301	(749)	607
Foreign Pension Plans, Defined Benefit
Defined Benefit Plan Disclosure
Service cost	199	263	406	510
Interest cost	199	385	405	744
Expected return on plan assets	(5)	(215)	(11)	(410)
Settlement			(238)
Total net periodic	$ 393	$ 433	$ 562	$ 844

Schedule of Net Periodic Pens77

Schedule of Net Periodic Pension and Postretirement (Income) Cost (Detail) - Postretirement Benefit Plans - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015
Defined Benefit Plan Disclosure
Service cost	$ 9	$ 12	$ 19	$ 24
Interest cost	53	59	109	118
Amortization of prior service income	(154)	(150)	(304)	(299)
Actuarial gain	(15)	(19)	(15)	(19)
Total net periodic	$ (107)	$ (98)	$ (191)	$ (176)

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Detail) $ in Millions	Jul. 03, 2016USD ($)
Purchase Commitment, Excluding Long-term Commitment
Aggregate purchase commitments	$ 201.1
Purchase commitments less than one year	$ 200

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		6 Months Ended
	Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015	Dec. 31, 2015
Income Taxes [Line Items]
Effective tax rate	3.20%	22.10%	0.00%	22.30%
U.S. statutory federal tax rate	35.00%	35.00%	35.00%	35.00%
Discrete tax benefits	$ 4.4		$ 6.9	$ 1.7
Gains on non-taxable foreign exchange	2.2		3.4
Other discrete tax benefits	0.4			1
Marketable securities			0.9
Tax reserve releases resulting from the settlement of a U.S. tax audit	2.6		2.6
Discrete tax benefit related to disqualifying dispositions of incentive stock options and employee stock purchase plan shares				0.7
Uncertain tax positions	32.8		32.8		$ 33.7
Net Decrease in uncertain tax positions			(0.9)
Decrease in unrecognized tax benefits			3.6
Accrued interest and penalties	$ 0.8		0.8		$ 0.5
Interest and penalties related to income tax			0.3	0.1
Tax savings due to the tax holiday			$ 30.7	$ 6.2
Tax savings due to the tax holiday, per share			$ 0.15	$ 0.03
Tax holiday expiration date			December 31, 2020

Segment Information - Additiona

Segment Information - Additional Information (Detail)	6 Months Ended
Segment Information - Additional Information (Detail)	Jul. 03, 2016Segment
Segment Reporting Information [Line Items]
Operating segments	4

Schedule of Segment Information

Schedule of Segment Information (Detail) - USD ($) $ in Thousands		3 Months Ended				6 Months Ended
		Jul. 03, 2016		Jul. 05, 2015		Jul. 03, 2016		Jul. 05, 2015		Dec. 31, 2015
Segment Reporting Information [Line Items]
Revenues		$ 531,792		$ 512,739		$ 962,787		$ 855,140
Income (loss) before income taxes	[1],[2]	(230,817)		132,136		(173,625)		174,574
Total assets		2,407,858	[3]	2,692,807	[3]	2,407,858	[3]	2,692,807	[3]	$ 2,548,674
Semiconductor Test
Segment Reporting Information [Line Items]
Revenues		435,323		400,315		775,588		671,232
Income (loss) before income taxes	[1],[2]	121,163		129,546		194,417		172,671
Total assets	[3]	731,394		649,087		731,394		649,087
Wireless Test
Segment Reporting Information [Line Items]
Revenues		22,427		62,879		42,741		96,927
Income (loss) before income taxes	[1],[2]	(356,505)		6,841		(376,645)		(3,600)
Total assets	[3]	61,618		485,857		61,618		485,857
System Test
Segment Reporting Information [Line Items]
Revenues		48,940		45,822		102,610		83,258
Income (loss) before income taxes	[1],[2]	8,992		(4,333)		18,484		(3,328)
Total assets	[3]	91,374		95,544		91,374		95,544
Corporate And Eliminations
Segment Reporting Information [Line Items]
Income (loss) before income taxes	[1],[2]	34		1,782		1,788		10,531
Total assets	[3]	1,177,182		1,104,043		1,177,182		1,104,043
Industrial Automation
Segment Reporting Information [Line Items]
Revenues		25,102		3,723		41,848		3,723
Income (loss) before income taxes	[1],[2]	(4,501)		(1,700)		(11,669)		(1,700)
Total assets	[3]	$ 346,290		$ 358,276		$ 346,290		$ 358,276

[1]	Included in the income (loss) before income taxes for each of the segments are charges related to inventory and other.
[2]	Interest income, interest expense, and other (income) expense, net are included in Corporate and Eliminations.
[3]	Total business assets are directly attributable to each business. Corporate assets consist of cash and cash equivalents, marketable securities and certain other assets.

Schedule of Segment Reporting I

Schedule of Segment Reporting Information by Segment Charges (Detail) - USD ($) $ in Thousands		3 Months Ended		6 Months Ended
		Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015
Segment Reporting Information [Line Items]
Goodwill impairment		$ 254,946		$ 254,946
Acquired intangible assets impairment		83,339		83,339
Restructuring and other		2,608	$ (385)	4,195	$ (385)
Property insurance recovery and proceeds		(5,051)		(5,051)
Contingent consideration adjustment		1,300		2,478	(1,600)
Gain from the sale of an equity investment					(5,406)
Universal Robots
Segment Reporting Information [Line Items]
Contingent consideration adjustment		800		1,900
Acquisition related costs					1,000
Avionics Interface Technologies, LLC
Segment Reporting Information [Line Items]
Contingent consideration adjustment		600		600
ZTEC Instruments, Inc.
Segment Reporting Information [Line Items]
Contingent consideration adjustment			(1,600)		(1,600)
Semiconductor Test
Segment Reporting Information [Line Items]
Cost of revenues-inventory charge		2,234	6,409	5,919	6,940
Restructuring and other		337	305	751	305
Total		2,571	6,714	6,670	7,245
Corporate And Eliminations
Segment Reporting Information [Line Items]
Total		1,305	(1,264)	2,478	(6,046)
Corporate And Eliminations \| Restructuring and other
Segment Reporting Information [Line Items]
Property insurance recovery and proceeds		(5,051)		(5,051)
Corporate And Eliminations \| Other (income) expense, net
Segment Reporting Information [Line Items]
Gain from the sale of an equity investment			(624)		(5,406)
Corporate And Eliminations \| Impairment of fixed assets and expenses related to the Japan earthquake \| Restructuring and other
Segment Reporting Information [Line Items]
Building impairment and other expenses		5,051		5,051
Corporate And Eliminations \| Universal Robots \| Restructuring and other
Segment Reporting Information [Line Items]
Contingent consideration adjustment		755		1,928
Acquisition related costs			960		960
Corporate And Eliminations \| Avionics Interface Technologies, LLC \| Restructuring and other
Segment Reporting Information [Line Items]
Contingent consideration adjustment		550		550
Corporate And Eliminations \| ZTEC Instruments, Inc. \| Restructuring and other
Segment Reporting Information [Line Items]
Contingent consideration adjustment			(1,600)		(1,600)
Industrial Automation
Segment Reporting Information [Line Items]
Cost of revenues-inventory step-up	[1]		595		595
Wireless Test
Segment Reporting Information [Line Items]
Goodwill impairment		254,946		254,946
Acquired intangible assets impairment		83,339		83,339
Cost of revenues-inventory charge		5,271	330	5,876	1,176
Restructuring and other		967		967
Total		344,523	330	345,128	1,176
System Test
Segment Reporting Information [Line Items]
Cost of revenues-inventory charge		$ 237	$ 7,702	$ 320	$ 7,765

[1]	Included in the cost of revenues for the three and six months ended July 5, 2015 is the cost for purchase accounting inventory step-up.

Shareholders' Equity - Addition

Shareholders' Equity - Additional Information (Detail) - USD ($) $ / shares in Units, shares in Millions	3 Months Ended		6 Months Ended		12 Months Ended		18 Months Ended
	Jul. 03, 2016	Jul. 05, 2015	Jul. 03, 2016	Jul. 05, 2015	Dec. 31, 2016	Dec. 31, 2015	Jul. 03, 2016	May 31, 2016	Jan. 31, 2016	May 31, 2015	Jan. 31, 2015
Stockholders Equity Note Disclosure [Line Items]
Repurchase of stock, value			$ 56,800,000			$ 300,000,000
Repurchase of stock, shares			2.9
Cumulative repurchases, shares	18.6		18.6				18.6
Cumulative repurchases, value	$ 356,700,000		$ 356,700,000				$ 356,700,000
Common stock average price			$ 19.29				$ 19.22
Dividends payable, amount per share								$ 0.06	$ 0.06	$ 0.06	$ 0.06
Dividend payment	$ 12,200,000	$ 12,800,000	$ 24,425,000	$ 25,857,000
Maximum
Stockholders Equity Note Disclosure [Line Items]
Stock repurchase program, authorized amount											$ 500,000,000
Maximum \| Scenario, Forecast
Stockholders Equity Note Disclosure [Line Items]
Repurchase of stock, value					$ 200,000,000
Minimum \| Scenario, Forecast
Stockholders Equity Note Disclosure [Line Items]
Repurchase of stock, value					$ 100,000,000