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   &lt;div align="left" style="font-size: 10pt; margin-top: 12pt"&gt;&lt;b&gt;Note 12 &amp;#8212; Related Party Transactions&lt;/b&gt;
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   &lt;div align="left" style="font-size: 10pt; margin-top: 6pt"&gt;&amp;#160;&amp;#160;&amp;#160;&amp;#160;&amp;#160;A member of the Company&amp;#8217;s board of directors is also a member of the board of directors of
   Seagate Technology. The Company sells semiconductors used in storage product applications to
   Seagate Technology for prices comparable to those charged to an unrelated third party. The Company
   also purchases drives used in its storage systems from Seagate Technology for prices comparable to
   those paid to other vendors for similar products. Revenues from sales to Seagate Technology were
   $88.8&amp;#160;million and $184.9&amp;#160;million for the three and six months ended July&amp;#160;4, 2010, respectively.
   Revenues from sales to Seagate Technology were $82.4&amp;#160;million and $162.4&amp;#160;million for the three and
   six months ended July&amp;#160;5, 2009, respectively. Purchases from Seagate Technology were $17.3&amp;#160;million
   and $28.9&amp;#160;million for the three and six months ended July&amp;#160;4, 2010, respectively. Purchases from
   Seagate Technology were $7.6&amp;#160;million and $18.4&amp;#160;million for the three and six months ended July&amp;#160;5,
   2009, respectively. The Company had accounts receivable from Seagate Technology of $51.3&amp;#160;million
   and $53.6&amp;#160;million as of July&amp;#160;4, 2010 and December&amp;#160;31, 2009, respectively.
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   &lt;div align="left" style="font-size: 10pt; margin-top: 6pt"&gt;&amp;#160;&amp;#160;&amp;#160;&amp;#160;&amp;#160;The Company has an equity interest in a joint venture, Silicon Manufacturing Partners Pte Ltd.
   (&amp;#8220;SMP&amp;#8221;), with GLOBALFOUNDRIES, a manufacturing foundry for integrated circuits. SMP operates an
   integrated circuit manufacturing facility in Singapore. The Company owns a 51% equity interest in
   this joint venture, and GLOBALFOUNDRIES owns the remaining 49% equity interest. The Company&amp;#8217;s 51%
   interest in SMP is accounted for under the equity method because the Company is effectively
   precluded from unilaterally taking any significant action in the management of SMP due to
   GLOBALFOUNDRIES&amp;#8217; significant participatory rights under the joint venture agreement. Because of
   GLOBALFOUNDRIES&amp;#8217; approval rights, the Company cannot make any significant decisions regarding SMP
   without GLOBALFOUNDRIES&amp;#8217; approval, despite the 51% equity interest. In addition, the General
   Manager, who is responsible for the day-to-day management of SMP, is appointed by GLOBALFOUNDRIES,
   and GLOBALFOUNDRIES provides day-to-day operational support to SMP.
   &lt;/div&gt;
   &lt;div align="left" style="font-size: 10pt; margin-top: 6pt"&gt;&amp;#160;&amp;#160;&amp;#160;&amp;#160;&amp;#160;The Company purchased $12.0&amp;#160;million and $24.0&amp;#160;million of inventory from SMP for the three and
   six months ended July&amp;#160;4, 2010, respectively. The Company purchased $10.9&amp;#160;million and $22.0&amp;#160;million
   of inventory from SMP for the three and six months ended July&amp;#160;5, 2009, respectively. As of July&amp;#160;4,
   2010 and December&amp;#160;31, 2009, the amounts of inventory on hand that were purchased from SMP were $6.7
   million and $4.1&amp;#160;million, respectively, and the amounts payable to SMP were $5.7&amp;#160;million and $3.8
   million, respectively.
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 -Publisher SEC
 -Name Regulation S-X (SX)
 -Number 210
 -Section 04
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Reference 2: http://www.xbrl.org/2003/role/presentationRef
 -Publisher SEC
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 -Number 210
 -Section 08
 -Paragraph k
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Reference 3: http://www.xbrl.org/2003/role/presentationRef
 -Publisher FASB
 -Name Statement of Financial Accounting Standard (FAS)
 -Number 57
 -Paragraph 1-4

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