Note 9 - Employee Benefits	3 Months Ended
Apr. 29, 2017
Notes to Financial Statements
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	9. Employee benefits 401 (k) tax deferred savings plan We maintain a 401 (k) tax deferred savings plan for the benefit of qualified employees who are based in the United States. Under the 401 (k) tax deferred savings plan, U.S. based employees may elect to reduce their current annual taxable compensation up to the statutorily prescribed limit, which is $18,000 in calendar year 2017. Employees age 50 or over may elect to contribute an additional $6,000. We made matching contributions to the 401 (k) tax deferred savings plan of $0.2 million for each of the three months ended April 29, 2017 and April 30, 2016. Endowment insurance pension plan Related to our acquisition of our DTV business in May 2012, we added operations in Shanghai, China. It is required by the “Procedures of Shanghai Municipality on Endowment Insurance for Town Employees” to provide pension insurance for Shanghai employees. The mandatory plan is managed by the local authority. Under the current plan, an employee will contribute 8.0% of the annual base to the plan and the employer will match 20% of the annual base. From April 2016 to March 2017, the annual base is capped at RMB 17,817 per employee and from April 2017 to March 2018, the annual base is capped at RMB 19,512 per employee . We made matching contributions of $0.6 million for both the three months ended April 29, 2017 and April 30, 2016. Retirement pension plans We maintain retirement pension plans for the benefit of qualified employees in Denmark, Taiwan, The Netherlands, and Germany. We made matching contributions under these plans of $0.2 million for each of the three months ended April 29, 2017 and April 30, 2016. Severance plan We maintain a severance plan for several Israeli employees pursuant to Israel's Severance Pay Law based on the most recent salary of the employees multiplied by the number of years of employment. Upon termination of employment, employees are entitled to one month salary for each year of employment or a portion thereof. As of April 29, 2017, we have an accrued severance liability of $0.9 million partially offset by an asset of $0.8 million of severance employee funds. We made contributions of less than $0.1 million for each of the three months ended April 29, 2017 and April 30, 2016. Employee termination benefits Termination benefits are payable when an employee is involuntarily terminated, or whenever an employee accepts voluntary termination in exchange for termination benefits. For the accounting treatment and timing recognition of involuntarily termination benefits, the Company distinguishes between one -time termination benefit arrangements and ongoing termination benefit arrangements. A one -time termination benefit arrangement is established by a termination plan and applies to a specified termination event. One-time involuntary termination benefits are recognized as a liability when the termination plan meets certain criteria and has been communicated to employees. If employees are required to render future service in order to receive these one -time termination benefits, the liability is recognized ratably over the future service period. Termination benefits other than one -time termination benefits are termination benefits for which the communication criterion is not met but that are committed to by management, or termination obligations that are not specifically determined in a new and single plan. These termination benefits include all legal, contractual and past practice termination obligations to be paid to employees in case of involuntary termination. These termination benefits are accrued for when commitment creates a present obligation to our employees for the benefits expected to be paid, when it is probable that employees will be entitled to the benefits and the amount can be reasonably estimated. As discussed in Note 7, during the first quarter of fiscal 2018, we recorded a restructuring charge of $0.4 million, which includes termination benefits of $0.2 million, reflected in general and administrative expenses in the accompanying condensed consolidated statements of operations. Employee s tock p urchase p lan During the first quarter of fiscal 2016, we discovered that we inadvertently sold shares of our common stock to our employees during fiscal 2015 in excess of the shares of common stock authorized to be issued under our 2010 Employee Stock Purchase Plan ( “2010 ESPP”). As a result, we may have failed to comply with the registration or qualification requirements of the federal securities law. Certain purchasers of the shares that were issued in excess of the shares authorized under our 2010 ESPP may have the right to rescind their purchases from us for an amount equal to the purchase price paid for shares, plus interest from the date of purchase. These shares were treated as issued and outstanding for financial reporting purposes as of the original date of issuance. We intend to make a registered rescission offer in fiscal 2018 to eligible participants who purchased shares during the impacted offering periods in fiscal 2015. As of April 29, 2017, there were approximately 40,582 shares issued to participants in the 2010 ESPP during the impacted offering periods that continued to be held by the original purchasers of such shares which may be subject to the rescission rights referenced above. All of these shares were originally purchased for $3.89 per share. We have not classified the shares themselves outside of permanent equity as these shares are legally outstanding with all rights and privileges therein. We also may be subject to civil and other penalties by regulatory authorities as a result of the failure to register these shares with the Securities and Exchange Commission. We do not believe that the failure to register the shares or the planned rescission offer will have a material impact on our condensed consolidated financial statements. On August 22, 2016, we reached a closing agreement with the Internal Revenue Service on behalf of our employees for issuing shares in excess of the number of shares reserved under our 2010 ESPP and in March 2017, we settled with the relevant state tax authorities.

Employee benefits

401

(k) tax deferred savings plan

We maintain a

401

(k) tax deferred savings plan for the benefit of qualified employees who are based in the United States. Under the

401

(k) tax deferred savings plan, U.S. based employees

may

elect to reduce their current annual taxable compensation up to the statutorily prescribed limit, which is

$18,000

in calendar year

2017.

Employees age

or over

may

elect to contribute an additional

$6,000.

We made matching contributions to the

401

(k) tax deferred savings plan of

$0.2

million for each of the

three

months ended

April 29, 2017

and

April 30, 2016.

Endowment insurance pension plan

Related to our acquisition of our DTV business in

May 2012,

we added operations in Shanghai, China. It is required by the “Procedures of Shanghai Municipality on Endowment Insurance for Town Employees” to provide pension insurance for Shanghai employees. The mandatory plan is managed by the local authority. Under the current plan, an employee will contribute

8.0%

of the annual base to the plan and the employer will match

20%

of the annual base. From

April 2016

March 2017,

the annual base is capped at RMB

17,817

per employee and from

April 2017

March 2018,

the annual base is capped at RMB

19,512

per employee

. We made matching contributions of

$0.6

million for both the

three

months ended

April 29, 2017

and

April 30, 2016.

Retirement pension plans

We maintain retirement pension plans for the benefit of qualified employees in Denmark, Taiwan, The Netherlands, and Germany. We made matching contributions under these plans of

$0.2

million for each of the

three

months ended

April 29, 2017

and

April 30, 2016.

Severance plan

We maintain a severance plan for several Israeli employees pursuant to Israel's Severance Pay Law based on the most recent salary of the employees multiplied by the number of years of employment. Upon termination of employment, employees are entitled to

one

month salary for each year of employment or a portion thereof. As of

April 29, 2017,

we have an accrued severance liability of

$0.9

million partially offset by an asset of

$0.8

million of severance employee funds. We made contributions of less than

$0.1

million for each of the

three

months ended

April 29, 2017

and

April 30, 2016.

Employee termination benefits

Termination benefits are payable when an employee is involuntarily terminated, or whenever an employee accepts voluntary termination in exchange for termination benefits. For the accounting treatment and timing recognition of involuntarily termination benefits, the Company distinguishes between

one

-time termination benefit arrangements and ongoing termination benefit arrangements. A

one

-time termination benefit arrangement is established by a termination plan and applies to a specified termination event. One-time involuntary termination benefits are recognized as a liability when the termination plan meets certain criteria and has been communicated to employees. If employees are required to render future service in order to receive these

one

-time termination benefits, the liability is recognized ratably over the future service period. Termination benefits other than

one

-time termination benefits are termination benefits for which the communication criterion is

not

met but that are committed to by management, or termination obligations that are

not

specifically determined in a new and single plan. These termination benefits include all legal, contractual and past practice termination obligations to be paid to employees in case of involuntary termination. These termination benefits are accrued for when commitment creates a present obligation to our employees for the benefits expected to be paid, when it is probable that employees will be entitled to the benefits and the amount can be reasonably estimated.

As discussed in Note

during the

first

quarter of fiscal

2018,

we recorded a restructuring charge of

$0.4

million, which includes termination benefits of

$0.2

million, reflected in general and administrative expenses in the accompanying condensed consolidated statements of operations.

Employee

tock

urchase

lan

During the

first

quarter of fiscal

2016,

we discovered that we inadvertently sold shares of our common stock to our employees during fiscal

2015

in excess of the shares of common stock authorized to be issued under our

2010

Employee Stock Purchase Plan (

“2010

ESPP”). As a result, we

may

have failed to comply with the registration or qualification requirements of the federal securities law. Certain purchasers of the shares that were issued in excess of the shares authorized under our

2010

ESPP

may

have the right to rescind their purchases from us for an amount equal to the purchase price paid for shares, plus interest from the date of purchase. These shares were treated as issued and outstanding for financial reporting purposes as of the original date of issuance. We intend to make a registered rescission offer in fiscal

2018

to eligible participants who purchased shares during the impacted offering periods in fiscal

2015.

As of

April 29, 2017,

there were approximately

40,582

shares issued to participants in the

2010

ESPP during the impacted offering periods that continued to be held by the original purchasers of such shares which

may

be subject to the rescission rights referenced above. All of these shares were originally purchased for

$3.89

per share. We have

not

classified the shares themselves outside of permanent equity as these shares are legally outstanding with all rights and privileges therein. We also

may

be subject to civil and other penalties by regulatory authorities as a result of the failure to register these shares with the Securities and Exchange Commission. We do

not

believe that the failure to register the shares or the planned rescission offer will have a material impact on our condensed consolidated financial statements.

August 22, 2016,

we reached a closing agreement with the Internal Revenue Service on behalf of our employees for issuing shares in excess of the number of shares reserved under our

2010

ESPP and in

March 2017,

we settled with the relevant state tax authorities.