Commitments and Contingencies

12 Months Ended

Mar. 26, 2016

Commitments and Contingencies [Abstract]

Commitments and Contingencies

12.      Commitments and Contingencies

Facilities and Equipment Under Operating and Capital Lease Agreements

We currently own our corporate headquartersand select surrounding properties, and our UK headquarters office.  We lease certain of our other 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, 2016, our principal facilities are located in Austin, Texas and Edinburgh, Scotland, United Kingdom. 

Total rent expense under operating leases was approximately $5.2 million, $4.0 million, and $2.8 million, for fiscal years 2016, 2015, and 2014, respectively.  Sublease rental income was $0.3 million,  $0.1 million, and $0.1 million, for fiscal years 2016, 2015, and 2014, respectively. 

As of March 26, 2016, there was equipment held under a capital lease with a cost basis of  $1.0  million.  The Company has recorded accumulated depreciation related to this equipment of $0.3 million as of March 26, 2016.  The future minimum rental commitments under the capital lease are approximately, $234 thousand for fiscal year 2017, $234 thousand for fiscal year 2018 and $234 thousand for fiscal year 2019.

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

		Facilities		Subleases		Net Facilities Commitments		Equipment Commitments		Total Commitments
2017	$	4,913	$	383	$	4,530	$	58	$	4,588
2018		5,407		387		5,020		70		5,090
2019		8,095		391		7,704		64		7,768
2020		7,266		266		7,000		60		7,060
2021		6,997		245		6,752		59		6,811
Thereafter		38,653		1,110		37,543		59		37,602
Total minimum lease payment	$	71,331	$	2,782	$	68,549	$	370	$	68,919

Wafer, Assembly, Test and Other Purchase Commitments

We rely primarily on third-party foundries for our wafer manufacturing needs.  Generally, our foundry agreements do not have volume purchase commitments and primarily provide for purchase commitments based on purchase orders, with the exception  ofa few "take or pay" clauses included in vendor contracts that are immaterial at March 26, 2016.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 26, 2016, we had foundry commitments of $98.2million. 

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 $4.8million at March 26, 2016.

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 26, 2016 was $9.7 million.

Other purchase commitments primarily relate to multi-year tool commitments, and were $29.8 million at March 26, 2016.