XML 71 R57.htm IDEA: XBRL DOCUMENT v3.21.2

INCOME TAXES (Tables)

12 Months Ended

Oct. 30, 2021

Income Tax Disclosure [Abstract]

Provision (benefit) for income taxes

For the periods indicated, the provision (benefit) for income taxes consists of the following (in thousands):

			Year Ended
			October 30, 2021						October 31, 2020						November 2, 2019
Provision (benefit) for income taxes:
Current:
Federal			$	72,603					$	4,363					$	13,143
State			21,400						13,328						16,945
Foreign			25,021						12,640						9,816
Total current			119,024						30,331						39,904
Deferred:
Federal			(21,942)						60,679						31,872
State			(11,546)						4,607						(9,159)
Foreign			(122,981)						(947)						(2,861)
Total deferred			(156,469)						64,339						19,852
Provision (benefit) for income taxes			$	(37,445)					$	94,670					$	59,756

Income before provision (benefit) for income taxes

For the periods indicated, income before provision (benefit) for income taxes consists of the following (in thousands):

			Year Ended
			October 30, 2021						October 31, 2020						November 2, 2019
United States			$	298,514					$	387,697					$	256,461
Foreign			164,237						68,264						56,729
Total			$	462,751					$	455,961					$	313,190

Tax provision (benefit) reconciles to the amount computed by multiplying income or loss before income taxes by the U.S. federal statutory rate of 35%

For the periods indicated, the tax provision reconciles to the amount computed by multiplying income before income taxes by the U.S. federal statutory rate of 21% for fiscal 2021, fiscal 2020 and fiscal 2019 as follows:

			Year Ended
			October 30, 2021						October 31, 2020						November 2, 2019
Provision at statutory rate			21.00		%				21.00		%				21.00		%
Intercompany IP Restructuring Transaction			(25.85)		%				—		%				—		%
Base Erosion and Anti-Abuse Tax			—		%				(1.02)		%				3.60		%
State taxes			3.73		%				2.21		%				2.18		%
Foreign taxes			2.76		%				0.51		%				(0.37)		%
Research and development credit			(7.99)		%				(7.74)		%				(7.53)		%
Non-deductible compensation			1.68		%				1.79		%				1.01		%
Foreign Derived Intangible Income			(1.82)		%				(2.07)		%				—		%
Transition tax			—		%				0.02		%				0.29		%
Rate Change			(4.33)		%				3.04		%				(0.41)		%
Valuation allowance			1.77		%				3.58		%				(2.13)		%
Other			0.96		%				(0.56)		%				1.44		%
Effective income tax rate			(8.09)		%				20.76		%				19.08		%

Significant components of deferred tax assets and liabilities

The significant components of DTA are as follows (in thousands):

			Year Ended
			October 30, 2021						October 31, 2020
Deferred tax assets:
Reserves and accrued liabilities			$	69,950					$	73,825
Depreciation and amortization			677,729						504,233
NOL and credit carry forward			165,087						188,157
Other			47,048						33,017
Gross deferred tax assets			959,814						799,232
Valuation allowance			(159,634)						(151,427)
Deferred tax asset, net of valuation allowance			$	800,180					$	647,805

Reconciliation of the beginning and ending amount of unrecognized tax benefits, excluding interest and penalties

A reconciliation of the beginning and ending amount of unrecognized tax benefits, excluding interest and penalties, is as follows (in thousands):

			Amount
Unrecognized tax benefits at November 3, 2018			$	96,363
Increase related to positions taken in current period			1,959
Reductions related to settlements with taxing authorities			(1,224)
Reductions related to expiration of statute of limitations			(2,494)
Unrecognized tax benefits at November 2, 2019			94,604
Increase related to positions taken in prior period			653
Increase related to positions taken in current period			1,151
Reductions related to expiration of statute of limitations			(660)
Unrecognized tax benefits at October 31, 2020			95,748
Decrease related to positions taken in prior period			(22,854)
Reductions related to settlements with taxing authorities			(654)
Increase related to positions taken in current period			5,510
Reductions related to expiration of statute of limitations			(659)
Unrecognized tax benefits at October 30, 2021			$	77,091

Summary of valuation allowance against the gross deferred tax assets

The following table summarizes the activity in Ciena’s valuation allowance against its gross deferred tax assets (in thousands):

Year Ended						Beginning Balance						Additions						Deductions						Ending Balance
November 2, 2019						$	142,650					$	27,459					$	34,131					$	135,978
October 31, 2020						$	135,978					$	25,749					$	10,300					$	151,427
October 30, 2021						$	151,427					$	17,897					$	9,690					$	159,634

X

- References

No definition available.

+ Details

Name:	us-gaap_IncomeTaxDisclosureAbstract
Namespace Prefix:	us-gaap_
Data Type:	xbrli:stringItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the components of income tax expense attributable to continuing operations for each year presented including, but not limited to: current tax expense (benefit), deferred tax expense (benefit), investment tax credits, government grants, the benefits of operating loss carryforwards, tax expense that results from allocating certain tax benefits either directly to contributed capital or to reduce goodwill or other noncurrent intangible assets of an acquired entity, adjustments of a deferred tax liability or asset for enacted changes in tax laws or rates or a change in the tax status of the entity, and adjustments of the beginning-of-the-year balances of a valuation allowance because of a change in circumstances that causes a change in judgment about the realizability of the related deferred tax asset in future years.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 9
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32639-109319

+ Details

Name:	us-gaap_ScheduleOfComponentsOfIncomeTaxExpenseBenefitTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the components of net deferred tax asset or liability recognized in an entity's statement of financial position, including the following: the total of all deferred tax liabilities, the total of all deferred tax assets, the total valuation allowance recognized for deferred tax assets.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32537-109319

+ Details

Name:	us-gaap_ScheduleOfDeferredTaxAssetsAndLiabilitiesTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the reconciliation using percentage or dollar amounts of the reported amount of income tax expense attributable to continuing operations for the year to the amount of income tax expense that would result from applying domestic federal statutory tax rates to pretax income from continuing operations.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 12
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32687-109319

+ Details

Name:	us-gaap_ScheduleOfEffectiveIncomeTaxRateReconciliationTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of income before income tax between domestic and foreign jurisdictions.

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(h)(1)(Note 1))
-URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

+ Details

Name:	us-gaap_ScheduleOfIncomeBeforeIncomeTaxDomesticAndForeignTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure for tax positions taken in the tax returns filed or to be filed for which it is more likely than not that the tax position will not be sustained upon examination by taxing authorities and other income tax contingencies. Includes, but is not limited to, interest and penalties, reconciliation of unrecognized tax benefits, unrecognized tax benefits that would affect the effective tax rate, tax years that remain subject to examination by tax jurisdictions, and information about positions for which it is reasonably possible that amounts unrecognized will significantly change within 12 months.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 15A
-URI http://asc.fasb.org/extlink&oid=121826272&loc=SL6600010-109319

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 15
-Subparagraph (d)
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32718-109319

Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 19
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32840-109319

+ Details

Name:	us-gaap_SummaryOfIncomeTaxContingenciesTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of valuation allowances to reduce deferred tax assets to net realizable value, including identification of the deferred tax asset more likely than not will not be fully realized and the corresponding amount of the valuation allowance.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=121826272&loc=d3e32537-109319

+ Details

Name:	us-gaap_SummaryOfValuationAllowanceTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration