XML 60 R11.htm IDEA: XBRL DOCUMENT
v2.4.0.6

Related Party Transactions | 12 Months Ended
--- | ---
Dec. 31, 2012
Related Party Transactions [Abstract] |
Related Party Transactions | Note 4. Related Party Transactions In August 2011, our consolidated joint venture, Beijing JiYa Semiconductor Material Co., Ltd (JiYa), entered into a non-interest bearing note agreement in the amount of $1.7 million (Rmb 10,485,200) with one of its equity investment entities. Under the loan agreement, JiYa loaned $785,000 (Rmb 4,959,000) to its equity investment entity in August 2011 and the remaining amount of $875,000 (Rmb 5,526,200) was loaned during the three months ended March 31, 2012. The original term of the loan is two years and ten months and the loan is payable to JiYa in three installments with the first installment of $415,000 (Rmb 2,620,000) due in December 2012, the second installment of $829,000 (Rmb 5,240,000) due in December 2013, and the last installment of $416,000 (Rmb 2,625,200) due in May 2014. During the three months ended December 31, 2012, an addendum was signed to agree to delay the first installment of $415,000 (Rmb 2,620,000) to June 2013. As of December 31, 2012, we included $1.2 million (Rmb 7,860,000) in "related party notes receivable – short term" and $416,000 (Rmb 2,625,200) in "Related party notes receivable – long term" in the consolidated balance sheets. In August 2011, our consolidated joint venture, Nanjing Jin Mei Gallium Co., Ltd. (Jin Mei) loaned $792,000 (Rmb 5,000,000) to its equity investment entity for construction purposes. As of December 31, 2012, this balance was included in "related party notes receivable - short term" in the consolidated balance sheets. During the three months ended December 31, 2012, they signed a note agreement retroactively with the terms for the loan. The loan bears interest at 6.7% per annum and the principal is due on December 31, 2013. Interest income of 76,000 (Rmb 478,000), including retroactive interest income of $23,000 (Rmb 144,000) for 2011, was included in "other income (expense), net" for the year ended December 31, 2012 in the statement of operations. Beginning in 2012, JiYa is contractually obligated under an agency sales agreement to sell raw material on behalf of one of its equity investment entities. Jiya bills to the customers and remits the receipts, net of its portions of sales commission, to this equity investment entity. For the year ended December 31, 2012, JiYa has recorded $70,000 income from agency sales, which was included in "other income (expense), net" in the consolidated statements of operations. As of December 31, 2012, payable of $257,000 (Rmb 1,625,000) to this equity investment entity for delivery in transit was included in "accrued liabilities" in the consolidated balance sheets. JiYa also purchases raw materials from one of its equity investment entities for production in the ordinary course of business. As of December 31, 2012, payable of $1.1 million was included in "accounts payable" in the consolidated balance sheets. Beginning in 2012, Jin Mei is contractually obligated under an agency sales agreement to sell raw material on behalf of its equity investment entity. Jin Mei bills to the customers and remits the receipts, net of its portions of sales commission, to this equity investment entity. For the year ended December 31, 2012, Jin Mei has recorded $144,000 income from agency sales, which was included in "other income (expense), net" in the consolidated statements of operations. In March 2012, our wholly-owned subsidiary, Beijing Tongmei Xtal Technology (Tongmei), entered into an operating lease for the land it owns with our consolidated joint venture Beijing BoYu Semiconductor Vessel Craftwork Technology Co., Ltd. The lease agreement for the land with approximately 22,081 square feet commenced on January 1, 2012 for a term of 10 years with annual lease payments of $24,000 (Rmb 150,000) subject to 5% increase at each third year anniversary. The annual lease payment is due by January 31 of each year. During the three months ended September 30, 2012, Tongmei paid $117,000 (Rmb 740,924) on behalf of Dongfang to purchase materials. As of December 31, 2012, this balance was included in "Prepaid expenses and other current assets" in the consolidated balance sheets. Our Related Party Transactions Policy seeks to prohibit all conflicts of interest in transactions between related parties and us, unless they have been approved by our Board of Directors. This policy applies to all of our employees and directors, our subsidiaries and our joint ventures. Our executive officers retain board seats on the Board of Directors of the companies in which we have invested in our China joint ventures. See Note 6 for further details.

X
- Details
Name: | us-gaap_RelatedPartyTransactionsAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 850 -SubTopic 10 -Section 50 -Paragraph 6 -URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39691-107864 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 850 -SubTopic 10 -Section 50 -Paragraph 4 -URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39622-107864 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 850 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39549-107864 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 57 -Paragraph 1-4 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 850 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39603-107864 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 850 -SubTopic 10 -Section 50 -Paragraph 5 -URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39678-107864 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08.(k)) -URI http://asc.fasb.org/extlink&oid=6881521&loc=d3e23780-122690 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Section 04 -Paragraph b -Article 3A Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Section 08 -Paragraph k -Article 4 + Details
Name: | us-gaap_RelatedPartyTransactionsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration