ANALYSIS OF GAAP VERSUS GAAP EXCLUDING SPECIAL EXPENSE ITEMS DISCLOSURES | ||||||
(Unaudited) | ||||||
| ||||||
|
|
Three Months Ended | ||||
|
|
March 31, |
|
December 31, |
|
March 26, |
|
|
2012 |
|
2011 |
|
2011 |
|
|
(in thousands, except per share data) | ||||
Reconciliation of GAAP gross profit to GAAP gross profit excluding special expense items: |
|
|
|
|
|
|
GAAP gross profit |
|
$ 335,430 |
|
$ 347,960 |
|
$ 372,650 |
GAAP gross profit % |
|
58.7% |
|
58.8% |
|
61.4% |
|
|
|
|
|
|
|
Special expense items: |
|
|
|
|
|
|
Intangible asset amortization (1) |
|
9,787 |
|
8,080 |
|
7,919 |
Acquisition related inventory write up (2) |
|
- |
|
1,801 |
|
- |
Total special expense items |
|
9,787 |
|
9,881 |
|
7,919 |
GAAP gross profit excluding special expense items |
|
$ 345,217 |
|
$ 357,841 |
|
$ 380,569 |
GAAP gross profit % excluding special expense items |
|
60.4% |
|
60.5% |
|
62.7% |
|
|
|
|
|
|
|
Reconciliation of GAAP operating expenses to GAAP operating expenses excluding special expense items: |
|
|
|
|
|
|
GAAP operating expenses |
|
$ 223,544 |
|
$ 233,450 |
|
$ 208,655 |
|
|
|
|
|
|
|
Special expense (income) items: |
|
|
|
|
|
|
Intangible asset amortization (1) |
|
4,029 |
|
4,338 |
|
4,092 |
Impairment of long-lived assets (3) |
|
7,712 |
|
- |
|
- |
Severance and restructuring |
|
228 |
|
6,047 |
|
16 |
Other operating (income) expenses, net (4) |
|
(2,511) |
|
155 |
|
(25) |
Total special expense items |
|
9,458 |
|
10,540 |
|
4,083 |
GAAP operating expenses excluding special expense items |
|
$ 214,086 |
|
$ 222,910 |
|
$ 204,572 |
|
|
|
|
|
|
|
Reconciliation of GAAP net income to GAAP net income excluding special expense items: |
|
|
|
|
|
|
GAAP net income |
|
$ 54,517 |
|
$ 88,130 |
|
$ 136,276 |
|
|
|
|
|
|
|
Special expense (income) items: |
|
|
|
|
|
|
Intangible asset amortization (1) |
|
13,816 |
|
12,418 |
|
12,011 |
Acquisition related inventory write up (2) |
|
- |
|
1,801 |
|
- |
Impairment of long-lived assets (3) |
|
7,712 |
|
- |
|
- |
Severance and restructuring |
|
228 |
|
6,047 |
|
16 |
Other operating expenses (income), net (4) |
|
(2,511) |
|
155 |
|
(25) |
Interest and other (income), net (5) |
|
- |
|
(1,776) |
|
- |
Pre-tax total special expense items |
|
19,245 |
|
18,645 |
|
12,002 |
Tax effect of special items |
|
(5,445) |
|
(6,102) |
|
(4,233) |
Reversal of tax reserves (6) |
|
(2,272) |
|
- |
|
(37,324) |
International restructuring (7) |
|
65,293 |
|
- |
|
15,010 |
Discontinued operations, net of tax (8) |
|
(31,809) |
|
- |
|
- |
GAAP net income excluding special expense items |
|
$ 99,529 |
|
$ 100,673 |
|
$ 121,731 |
|
|
|
|
|
|
|
GAAP net income per share excluding special expense items: |
|
|
|
|
|
|
Basic |
|
$ 0.34 |
|
$ 0.34 |
|
$ 0.41 |
Diluted |
|
$ 0.33 |
|
$ 0.34 |
|
$ 0.40 |
|
|
|
|
|
|
|
Shares used in the calculation of earnings per share excluding special expense items: |
|
|
|
|
| |
Basic |
|
292,276 |
|
291,824 |
|
296,511 |
Diluted |
|
300,221 |
|
299,290 |
|
304,515 |
|
|
|
|
|
|
|
(1) Includes intangible asset amortization related to acquisitions. | ||||||
(2) Includes expense related to fair value write up of inventory acquired as part of acquisitions. | ||||||
(3) Includes impairment charges relating to wafer fab and end of line manufacturing equipment. | ||||||
(4) Other operating (income) expenses, net are primarily for gain on sale of land and buildings, stock option related litigation, certain payroll taxes, interest and penalties and in-process research and development written off. | ||||||
(5) Includes gain on sale of equity investment. | ||||||
(6) Reversal of tax reserves related to audit completion and expiration of statute of limitations. | ||||||
(7) Includes impact due to implementation of international restructuring. | ||||||
(8) Includes gain on sale, net of tax relating to certain businesses divested. | ||||||
|