Stockholders' Equity

6 Months Ended

Dec. 31, 2011

Stockholders' Equity [Abstract]

STOCKHOLDERS' EQUITY

NOTE 10. STOCKHOLDERS’ EQUITY

Comprehensive Income (Loss)

For the three and six months ended December 31, 2011 and January 1, 2011, comprehensive income (loss) is primarily comprised of our net income (loss), changes in the unrealized gain (loss) on currency instruments designated as cash flow hedges, unrealized loss on marketable securities and currency translation adjustments. The components of comprehensive income (loss) were as follows for the periods indicated:

	Three Months Ended						Six Months Ended
	December 31,			January 1,			December 31,			January 1,
	2011			2011			2011			2011
	(Thousands)
Net income (loss)	$	(31,096	)	$	(213	)		(41,272	)	$	143
Other comprehensive income (loss):
Unrealized gain (loss) on currency instruments designated as cash flow hedges		13			(288	)		(66	)		35
Currency translation adjustments		(2,682	)		1,779			(7,168	)		7,392
Unrealized loss on marketable securities		(53	)		—			(61	)		—
Comprehensive income (loss)	$	(33,818	)	$	1,278		$	(48,567	)	$	7,570

Warrants

The following table summarizes activity relating to warrants to purchase our common stock for the six months ended December 31, 2011:

				Weighted-
	Warrants			Average
	Outstanding			Exercise Price
	(Thousands)
Balance at July 2, 2011		1,398		$	16.18
Expired on September 1, 2011		(580	)		20.00
Balance at December 31, 2011		818		$	13.48

Common Stock

In December 2009, we acquired Xtellus, Inc. (Xtellus). As part of the consideration, we were obligated to pay $7.0 million in consideration to the former Xtellus stockholders after an 18 month escrow period. During the three months ended October 1, 2011, we settled the $7.0 million liability with the former Xtellus stockholders by transferring approximately 0.9 million shares of common stock held in escrow, valued at $7.0 million. The transfer of the shares resulted in a $7.0 million increase to our additional paid-in capital and a corresponding decrease to our accrued expenses and other liabilities. The balance of 0.1 million shares of common stock held in escrow were returned to us, retired and returned to the status of authorized but unissued common stock in September 2011.

In connection with our July 2010 acquisition of Mintera, we paid $0.5 million in cash and issued 0.8 million shares of our common stock valued at $2.8 million to settle our 12 month earnout obligation in October 2011. The transfer of the shares resulted in a $2.8 million increase to our additional paid-in capital and a corresponding decrease to our accrued expenses and other liabilities.

Employee Stock Purchase Plan

On October 26, 2011, our 2011 Employee Stock Purchase Plan (ESPP) was approved by our stockholders. Under the ESPP, we have reserved 1.7 million shares of our common stock for issuance. The ESPP will be effective as of January 24, 2012.