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RELATED PARTIES
 9 Months Ended
Sep. 30, 2012
RELATED PARTIES  
RELATED PARTIES

NOTE 12—RELATED PARTIES

        The Company maintains minority ownership in a joint venture located in China. The joint venture is accounted for and recorded on the consolidated condensed balance sheet as other assets under the equity method. During the three and nine months ended September 30, 2012, the Company recorded approximately $0.1 million earnings and $0.3 million loss, respectively, related to the company's equity share in the joint venture. During the three and nine months ended October 2, 2011, the Company recorded equity in earnings in joint venture of less than $0.1 million and $0.6 million, respectively.

        The joint venture may purchase raw components and other goods from the Company and may sell finished goods to the Company as well as to other third parties. The Company records revenue on sales to the joint venture only when the components and goods are sold to third parties. When the joint venture purchases components that will be assembled and sold back to the Company, no revenue is recorded. The Company also has significant and similar relationships with contract manufacturers. These contract manufacturers may purchase raw components from and sell finished goods back to the Company. No revenue is recognized for these transactions. Revenue is recognized only when the products are sold to third parties. No revenue was recognized related to the joint venture during the three and nine months ended September 30, 2012 or October 2, 2011.

        The Company paid $2.8 million and $6.1 million for inventory purchased from the joint venture during the three months ended September 30, 2012 and October 2, 2011, respectively, and $7.0 million and $15.6 million for inventory purchased from the joint venture during the nine months ended September 30, 2012 and October 2, 2011, respectively. At September 30, 2012 and January 1, 2012, the Company owed the joint venture approximately $4.3 million and $2.3 million, respectively.