The following table presents the impact of the restatement adjustments on the Company’s previously reported consolidated statement of operations for the three months ended June 30, 2013:


	Three Months Ended June 30, 2013
				Restatement Adjustments
	As Previously Reported			Revenue Recognition			Inventory Reserves			Understated Employee Benefits			Settlement Obligations			Tax Matters			Maintenance cost			Cost Center Allocation			Account Classification			Other Adjustments			Total Adjustments			As Restated
Net sales	$	215,289		$	(21,199	)	$	—		$	—		$	—		$	—		$	—		$	—		$	(557	)	$	—		$	(21,756	)	$	193,533
Cost of sales		144,241			(12,871	)		6,336			50			11,561			—			893			(881	)		(608	)		(429	)		4,051			148,292

Gross profit		71,048			(8,328	)		(6,336	)		(50	)		(11,561	)		—			(893	)		881			51			429			(25,807	)		45,241

Selling, general and administrative expenses		19,709			(160	)		—			27			—			444			—			897			—			34			1,242			20,951
Research and development expenses		21,131			—			—			22			—			—			16			(16	)		608			(136	)		494			21,625

Operating income		30,208			(8,168	)		(6,336	)		(99	)		(11,561	)		(444	)		(909	)		—			(557	)		531			(27,543	)		2,665

Other income (expenses)
Interest expense, net		(5,879	)		—			—			—			—			—			—			—			—			—			—			(5,879	)
Foreign currency loss, net		(20,978	)		(1,182	)		—			—			—			—			—			—			—			15			(1,167	)		(22,145	)
Others		(230	)		—			—			—			—			—			—			—			557			—			557			327

		(27,087	)		(1,182	)		—			—			—			—			—			—			557			15			(610	)		(27,697	)

Income (loss) before income benefits		3,121			(9,350	)		(6,336	)		(99	)		(11,561	)		(444	)		(909	)		—			—			546			(28,153	)		(25,032	)

Income tax benefits		(1,315	)		—			—			—			—			951			—			—			—			—			951			(364	)

Net income (loss)	$	4,436		$	(9,350	)	$	(6,336	)	$	(99	)	$	(11,561	)	$	(1,395	)	$	(909	)	$	—		$	—		$	546		$	(29,104	)	$	(24,668	)

Earnings (loss) per common share—
Basic	$	0.13																																$	(0.70	)
Diluted	$	0.12																																$	(0.70	)

Weighted average number of shares—
Basic		35,474,001																																	35,474,001
Diluted		37,125,005																																	35,474,001

The following table presents the impact of the restatement adjustments on the Company’s previously reported consolidated statement of operations for the six months ended June 30, 2013:


	Six Months Ended June 30, 2013
				Restatement Adjustments
	As Previously Reported			Revenue Recognition			Inventory Reserves			Understated Employee Benefits			Settlement Obligations			Tax Matters			Maintenance cost			Cost Center Allocation			Account Classification			Other Adjustments			Total Adjustments			As Restated
Net sales	$	420,587		$	(31,615	)	$	—		$	—		$	—		$	—		$	—		$	—		$	(1,117	)	$	—		$	(32,732	)	$	387,855
Cost of sales		283,796			(21,518	)		10,196			182			11,561			—			3,325			(1,725	)		(1,012	)		(426	)		583			284,379

Gross profit		136,791			(10,097	)		(10,196	)		(182	)		(11,561	)		—			(3,325	)		1,725			(105	)		426			(33,315	)		103,476

Selling, general and administrative expenses		39,500			(249	)		—			46			—			624			—			1,757			—			81			2,259			41,759
Research and development expenses		41,713			—			—			73			—			—			71			(32	)		1,012			(197	)		927			42,640
Restructuring and impairment charges		2,446			—			—			—			—			—			—			—			—			—			—			2,446

Operating income		53,132			(9,848	)		(10,196	)		(301	)		(11,561	)		(624	)		(3,396	)		—			(1,117	)		542			(36,501	)		16,631

Other income (expenses)
Interest expense, net		(11,728	)		—			—			—			—			—			—			—			—			—			—			(11,728	)
Foreign currency loss, net		(43,536	)		(2,089	)		—			—			—			—			—			—			—			22			(2,067	)		(45,603	)
Others		(490	)		53			—			—			—			—			—			—			1,117			—			1,170			680

		(55,754	)		(2,036	)		—			—			—			—			—			—			1,117			22			(897	)		(56,651	)

Loss before income taxes		(2,622	)		(11,884	)		(10,196	)		(301	)		(11,561	)		(624	)		(3,396	)		—			—			564			(37,398	)		(40,020	)

Income tax expenses		347			—			—			—			—			1,890			—			—			—			—			1,890			2,237

Net loss	$	(2,969	)	$	(11,884	)	$	(10,196	)	$	(301	)	$	(11,561	)	$	(2,514	)	$	(3,396	)	$	—		$	—		$	564		$	(39,288	)	$	(42,257	)

Loss per common share—
Basic	$	(0.08	)																															$	(1.19	)
Diluted	$	(0.08	)																															$	(1.19	)

Weighted average number of shares—
Basic		35,506,527																																	35,506,527
Diluted		35,506,527																																	35,506,527

Statement of Cash Flows

The following table presents the impact of the restatement adjustments on the Company’s consolidated statement of cash flows for the six months ended June 30, 2013:


Six Months Ended June 30, 2013
	As Previously Reported			Restatement Adjustments			As Restated
Cash flows from operating activities
Net loss	$	(2,969	)	$	(39,288	)	$	(42,257	)
Adjustments to reconcile net loss to net cash provided by operating activities
Depreciation and amortization		16,881			(288	)		16,593
Provision for severance benefits		10,686			82			10,768
Bad debt expenses		134			(125	)		9
Amortization of debt issuance costs and original issue discount		568			—			568
Loss on foreign currency translation, net		55,008			2,066			57,074
Restructuring and impairment charges		618			—			618
Stock-based compensation		913			114			1,027
Other		1,252			—			1,252
Changes in operating assets and liabilities
Accounts receivable		(29,486	)		31,531			2,045
Inventories, net		6,760			(7,175	)		(415	)
Other receivables		600			(14	)		586
Other current assets		7,425			(379	)		7,046
Deferred tax assets		(995	)		2,267			1,272
Accounts payable		853			(456	)		397
Other accounts payable		(7,522	)		203			(7,319	)
Accrued expenses		(7,003	)		2,924			(4,079	)
Other current liabilities		(1,097	)		(4,347	)		(5,444	)
Other non-current liabilities		(735	)		9,912			9,177
Payment of severance benefits		(2,939	)		—			(2,939	)
Other		(372	)		1			(371	)

Net cash provided by operating activities		48,580			(2,972	)		45,608

Cash flows from investing activities
Purchase of plant, property and equipment		(39,890	)		2,816			(37,074	)
Payment for intellectual property registration		(243	)		—			(243	)
Payment of guarantee deposits		(939	)		—			(939	)
Other		277			—			277

Net cash used in investing activities		(40,795	)		2,816			(37,979	)

Cash flows from financing activities
Proceeds from issuance of common stock		4,581			—			4,581
Acquisition of treasury stock		(6,000	)		—			(6,000	)

Net cash used in financing activities		(1,419	)		—			(1,419	)
Effect of exchange rates on cash and cash equivalents		4,037			156			4,193

Net increase in cash and cash equivalents		10,403			—			10,403

Cash and cash equivalents
Beginning of the period		182,238			—			182,238

End of the period	$	192,641		$	—		$	192,641

Supplemental cash flow information
Cash paid for interest	$	10,694		$	—		$	10,694

Cash paid for income taxes	$	6,345		$	(180	)	$	6,165

Non-cash investing activities
Property, plant and equipment additions in other accounts payable	$	—		$	1,528		$	1,528

Comprehensive Income

The following table presents the impact of the restatement adjustments on the Company’s previously reported consolidated statements of comprehensive income for the three and six months ended June 30, 2013:


	Three Months Ended June 30, 2013						Six Months Ended June 30, 2013
	As Previously Reported			As Restated			As Previously Reported			As Restated
Net income (loss)	$	4,436		$	(24,668	)	$	(2,969	)	$	(42,257	)
Other comprehensive income (loss):
Foreign currency translation adjustments		9,674			14,473			18,807			28,206
Derivative adjustments
Fair valuation of derivatives		(5,063	)		(6,339	)		(9,270	)		(11,821	)
Reclassification adjustment for gain on derivatives included in net income (loss)		(5	)		(5	)		(309	)		(255	)
Unrealized gain on investments		137			175			365			495

Total comprehensive income (loss)	$	9,179		$	(16,364	)	$	6,624		$	(25,632	)