The following table illustrates the net effect of deferred revenues and costs associated with products that include lifetime maps, connected services and premium traffic. These revenues and costs are being amortized over the estimated economic lives of the products. Additional details are available in the Quarterly Report on Form 10-Q for the quarter ended March 26, 2011 that will be filed by Garmin with the Securities and Exchange Commission (Commission file number 0-31983) today.
| Garmin Ltd. And Subsidiaries | |||||||||||||
| Net Deferred Revenue Impact (Unaudited) | |||||||||||||
| (In thousands, except per share information) | |||||||||||||
| 13-Weeks Ended | |||||||||||||
| March 26, | March 27, | ||||||||||||
| 2011 | 2010 | ||||||||||||
| Net sales | $ | (21,826) | $ | (15,009) | |||||||||
| Cost of goods sold | (3,905) | (2,782) | |||||||||||
| Gross profit | (17,921) | (12,227) | |||||||||||
| Operating income | (17,921) | (12,227) | |||||||||||
| Income tax provision | (267) | (2,201) | |||||||||||
| Net income | $ | (17,654) | $ | (10,026) | |||||||||
| Net income per share: | |||||||||||||
| Basic | $ | (0.09) | $ | (0.05) | |||||||||
| Diluted | $ | (0.09) | $ | (0.05) | |||||||||
