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v2.3.0.11

Income Taxes (Tables) | 12 Months Ended
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Jun. 26, 2011 | Jun. 27, 2010
Income Taxes |  |
Components of Income from Continuing Operations Before Income Taxes |
|  | Fiscal Years Ended |
|  | June 26, 2011 |  |  | June 27, 2010 |  |  | June 28, 2009 |
Domestic |  | $ | 110,959 |  |  | $ | 153,848 |  |  | $ | 811 |
Foreign |  |  | 67,268 |  |  |  | 51,624 |  |  |  | 38,856 |
Total |  | $ | 178,227 |  |  | $ | 205,472 |  |  | $ | 39,667 |
Components of Income Tax Expense from Continuing Operations |
|  | Fiscal Years Ended |
|  | June 26, 2011 |  |  | June 27, 2010 |  |  | June 28, 2009 |
Current: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  | $ | 31,503 |  |  | $ | 45,005 |  |  | $ | 12,363 |
Foreign |  |  | 13,796 |  |  |  | 12,963 |  |  |  | 6,605 |
State |  |  | 2,736 |  |  |  | 6,260 |  |  |  | 811 |
Total Current |  |  | 48,035 |  |  |  | 64,228 |  |  |  | 19,779 |
Deferred: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  |  | (5,008 | ) |  |  | (8,180 | ) |  |  | (6,831 | )
Foreign |  |  | (10,825 | ) |  |  | (2,837 | ) |  |  | (3,209 | )
State |  |  | (475 | ) |  |  | (29 | ) |  |  | (722 | )
Total Deferred |  |  | (16,308 | ) |  |  | (11,046 | ) |  |  | (10,762 | )
Income tax expense |  | $ | 31,727 |  |  | $ | 53,182 |  |  | $ | 9,017 |
Schedule of Effective Income Tax Rate and Amount Reconciliation |
|  | Fiscal Years Ended |
|  | June 26, 2011 |  |  | % of Income |  |  | June 27, 2010 |  |  | % of Income |  |  | June 28, 2009 |  |  | % of Income |
Federal income tax provision at statutory rate |  | $ | 62,378 |  |  |  | 35 | % |  | $ | 71,916 |  |  |  | 35 | % |  | $ | 13,883 |  |  |  | 35 | %
Increase (decrease) in income tax expense resulting from: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
State tax provision, net of federal benefit |  |  | 2,169 |  |  |  | 1 | % |  |  | 4,135 |  |  |  | 2 | % |  |  | 88 |  |  |  | 0 | %
Tax exempt interest |  |  | (1,646 | ) |  | – | 1 | % |  |  | (1,089 | ) |  | – | 1 | % |  |  | (669 | ) |  | – | 2 | %
Exam settlements |  |  | — |  |  |  | 0 | % |  |  | 1,645 |  |  |  | 1 | % |  |  | 494 |  |  |  | 1 | %
48C investment tax credit |  |  | (4,023 | ) |  | – | 2 | % |  |  | (1,401 | ) |  | – | 1 | % |  |  | — |  |  |  | 0 | %
Increase (decrease) in tax reserve |  |  | (2,175 | ) |  | – | 1 | % |  |  | (3,462 | ) |  | – | 2 | % |  |  | 4,720 |  |  |  | 12 | %
Research and development credits |  |  | (3,619 | ) |  | – | 2 | % |  |  | (1,092 | ) |  | – | 1 | % |  |  | (580 | ) |  | – | 1 | %
Qualified production activities deduction |  |  | (2,714 | ) |  | – | 1 | % |  |  | (3,945 | ) |  | – | 2 | % |  |  | (560 | ) |  | – | 1 | %
Statutory rate differences |  |  | (16,117 | ) |  | – | 9 | % |  |  | (14,939 | ) |  | – | 7 | % |  |  | (8,249 | ) |  | – | 21 | %
Effect of tax rate change |  |  | (2,998 | ) |  | – | 2 | % |  |  | (707 | ) |  |  | 0 | % |  |  | (202 | ) |  | – | 1 | %
Other |  |  | 472 |  |  |  | 0 | % |  |  | 2,121 |  |  |  | 1 | % |  |  | 92 |  |  |  | 0 | %
Income tax expense |  | $ | 31,727 |  |  |  | 18 | % |  | $ | 53,182 |  |  |  | 26 | % |  | $ | 9,017 |  |  |  | 23 | %
Schedule of Tax Effects of Temporary Differences that Give Rise to Significant Portions of Deferred Tax Assets and Liabilities |
|  | June 26, 2011 |  |  | June 27, 2010 |
Deferred tax assets: |  |  |  |  |  |  |  |
Compensation |  | $ | 1,494 |  |  | $ | 5,067 |
Inventory |  |  | 10,132 |  |  |  | 3,204 |
Sales return reserve and allowance for bad debts |  |  | 4,160 |  |  |  | 8,151 |
Federal and state net operating loss carryforwards |  |  | 1,010 |  |  |  | 532 |
State credits |  |  | 3,688 |  |  |  | 480 |
48C investment tax credits |  |  | 11,176 |  |  |  | — |
Investments |  |  | 970 |  |  |  | 976 |
Stock-based compensation |  |  | 16,731 |  |  |  | 10,109 |
Other |  |  | 2,071 |  |  |  | — |
Deferred revenue |  |  | — |  |  |  | 1,921 |
Total gross deferred assets |  |  | 51,432 |  |  |  | 30,440 |
Less valuation allowance |  |  | (1,620 | ) |  |  | (1,437 | )
Deferred tax assets, net |  |  | 49,812 |  |  |  | 29,003 |
Deferred tax liabilities: |  |  |  |  |  |  |  |
Property and equipment |  |  | (19,590 | ) |  |  | (17,643 | )
Intangible assets |  |  | (29,952 | ) |  |  | (28,810 | )
Available-for-sale securities |  |  | (2,629 | ) |  |  | (2,072 | )
Prepaid taxes and other |  |  | (890 | ) |  |  | (1,053 | )
Total gross deferred liability |  |  | (53,061 | ) |  |  | (49,578 | )
Deferred tax liability, net |  | $ | (3,249 | ) |  | $ | (20,575 | )
Components Giving Rise to Net Deferred Tax Assets (Liabilities) Included in Accompanying Consolidated Balance Sheet |
|  | As of June 26, 2011 |
|  | Asset |  |  | Liabilities |
|  | Current |  |  | Noncurrent |  |  | Current |  |  | Noncurrent |
U.S. federal income taxes |  | $ | 10,072 |  |  | $ | — |  |  | $ | — |  |  | $ | (21,902 | )
Hong Kong and other income taxes |  |  | 7,785 |  |  |  | 796 | * |  |  | — |  |  |  | — |
|  | $ | 17,857 |  |  | $ | 796 |  |  | $ | — |  |  | $ | (21,902 | )
| * | This amount is included in Other Assets on the Consolidated Balance Sheets.
|  | As of June 27, 2010 |
|  | Asset |  |  | Liabilities |
|  | Current |  |  | Noncurrent |  |  | Current |  |  | Noncurrent |
U.S. federal income taxes |  | $ | 18,258 |  |  | $ | — |  |  | $ | — |  |  | $ | (38,058 | )
Hong Kong and other income taxes |  |  | 565 |  |  |  | — |  |  |  | — |  |  |  | (1,340 | )
|  | $ | 18,823 |  |  | $ | — |  |  | $ | — |  |  | $ | (39,398 | )
Reconciliation of Company's Change in Uncertain Tax Positions |
|  | June 26, 2011 |  |  | June 27, 2010 |
Beginning Balance |  | $ | 7,602 |  |  | $ | 10,878 |
Increases related to current year tax positions |  |  | — |  |  |  | — |
Increases related to prior year tax positions |  |  | 741 |  |  |  | 72 |
Decreases related to prior year tax positions |  |  | — |  |  |  | — |
Expiration of statute of limitations for assessment of taxes |  |  | (1,356 | ) |  |  | (427 | )
Settlement of tax positions |  |  | — |  |  |  | (2,921 | )
Ending Balance |  | $ | 6,987 |  |  | $ | 7,602 |

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- 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://www.xbrl.org/2003/role/presentationRef -Topic 740 -SubTopic 10 -Publisher FASB -Number -Article -Subparagraph -Name Accounting Standards Codification -Paragraph 9 -Section 50 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32639-109319 + Details
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- Definition Tabular disclosure of 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 (i.e., uncertain tax positions) and other types of income tax contingencies, including: (1) the policy on classification of interest and penalties; (2) a tabular reconciliation of the total amounts of unrecognized tax benefits at the beginning and end of the period; the total amount(s) of: (3) unrecognized tax benefits that, if recognized, would affect the effective tax rate, and (4) interest and penalties recognized in each of the income statement and balance sheet; (5) for positions for which it is reasonably possible that the total amounts unrecognized will significantly change within 12 months of the reporting date the: (i) nature of the uncertainty, (ii) nature of the event that could occur that would cause the change, and (iii) an estimate of the range of the reasonably possible change or a statement that an estimate of the range cannot be made; and (6) a description of tax years that remain subject to examination by major tax jurisdictions. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name FASB Interpretation (FIN) -Number 48 -Paragraph 21 -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 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32718-109319 + Details
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