Accrued Expenses

3 Months Ended

Mar. 31, 2015

6. Accrued Expenses

Accrued expenses as of March 31, 2015 and December 31, 2014 are as follows:


	March 31, 2015		December 31, 2014
Payroll, benefits and related taxes, excluding severance benefits	$	20,888	$	18,654
Withholding tax levied on intercompany interest income		28,329		27,497
Interest on senior notes		3,148		7,040
Settlement obligations		7,264		8,976
Outside service fees		7,064		10,640
Others		7,880		8,253

Accrued expenses	$	74,573	$	81,060

Settlement obligations included in the table above relate to claims involving the Company’s products that may have caused a failure in the customer’s product. Although the Company does not agree with the claim, as its product met the customer’s specifications, the Company considered a number of factors and decided not to dispute the claim but make certain in-kind payments as demanded by the customer. These settlement obligations are accrued when they are deemed probable and can be reasonably estimated.