Commitments And Contingencies

12 Months Ended

Mar. 30, 2013

Commitments And Contingencies [Abstract]

Commitments And Contingencies

12.      Commitments and Contingencies

Facilities and Equipment Under Operating Lease Agreements

With the exception of our corporate headquarters and select surrounding properties, we lease our facilities and certain equipment under operating lease agreements, some of which have renewal options.  Certain of these arrangements provide for lease payment increases based upon future fair market rates.  As of May 1, 2013, our principal facilities are located in Austin, Texas. 

The Company closed operations in Tucson, Arizona during fiscal year 2013, which included 28,000 square feet of leased office space which was primarily occupied by engineering personnel.  The term of this lease extends through May 2015.

The aggregate minimum future rental commitments under all operating leases, net of sublease income, for the following fiscal years are (in thousands): 

		Facilities		Subleases		Net Facilities Commitments		Equipment Commitments		Total Commitments
2014	$	2,974	$	112	$	2,862	$	11	$	2,873
2015		2,919		76		2,843		5		2,848
2016		2,271		-		2,271		2		2,273
2017		2,208		-		2,208		0		2,208
2018		543		-		543		-		543
Thereafter		69		-		69		-		69
Total minimum lease payment	$	10,984	$	188	$	10,796	$	18	$	10,814

Total rent expense was approximately $3.2 million, $4.7 million, and $4.6 million, for fiscal years 2013, 2012, and 2011, respectively.  Sublease rental income was $0.1 million, $0.4 million, $1.1 million, for fiscal years 2013, 2012, and 2011, respectively. 

Wafer, Assembly and Test Purchase Commitments

We rely primarily on third-party foundries for our wafer manufacturing needs.  As of March 30, 2013, we had agreements with multiple foundries for the manufacture of wafers.  On December 22, 2011, the Company entered into a $10 million Capacity Investment and Loading Agreement with STATS ChipPAC Ltd (Supplier Agreement) in order to secure assembly and test capacity for certain products.  An initial $5 million payment was made on January 24, 2012, with the remaining $5 million paid July 2, 2012, after certain capacity expansion commitments had been achieved by STATS ChipPAC.  This liability was recorded on the consolidated balance sheet as of March 31, 2012, under the caption “Supplier Agreement”.  As part of the agreement, we are eligible to receive rebates on our purchases up to the full amount of the specified $10 million in the Supplier Agreement upon our meeting certain purchase volume milestones.  Based on our current projections, we expect to receive the full amount of our $10 million payments back in rebates during the term of the agreement.  We have utilized $4.3 million during fiscal year 2013 related to the agreement.  Other than the previously mentioned agreement, our foundry agreements do not have volume purchase commitments or "take or pay" clauses and provide for purchase commitments based on purchase orders.  Cancellation fees or other charges may apply and are generally dependent upon whether wafers have been started or the stage of the manufacturing process at which the notice of cancellation is given.  As of March 30, 2013, we had foundry commitments of $31.0million. 

In addition to our wafer supply arrangements, we contract with third-party assembly vendors to package the wafer die into finished products.  Assembly vendors provide fixed-cost-per-unit pricing, as is common in the semiconductor industry.  We had non-cancelable assembly purchase orders with numerous vendors totaling $2.3million at March 30, 2013.

Test vendors provide fixed-cost-per-unit pricing, as is common in the semiconductor industry.  Our total non-cancelable commitment for outside test services as of March 30, 2013 was $1.1 million.

Other open purchase orders as of March 30, 2013 are insignificant in nature.