DISCONTINUED OPERATIONS

9 Months Ended

Dec. 31, 2012

DISCONTINUED OPERATIONS

DISCONTINUED OPERATIONS

14.  DISCONTINUED OPERATIONS

During the third quarter of fiscal 2013, the Company finalized the sale of a non-core business.  Proceeds received from the sale were $3.2 million, net of $1.0 million of cash sold.  The Company recognized a loss of $7.4 million, which is included in the results from discontinued operations during the nine-month period ended December 31, 2012. 

During the first quarter of fiscal 2013, the Company finalized the sale of certain assets of its Vista Point Technologies camera modules business, including intellectual property and the China-based manufacturing operations to Tessera Technologies and DigitalOptics Corporation, a wholly-owned subsidiary of Tessera Technologies.  Total proceeds received from the sale were $19.4 million and the Company recognized a loss on sale of $4.7 million, which is included in the results from discontinued operations during the nine-month period ended December 31, 2012. 

In accordance with the accounting guidance, these non-core businesses qualify as discontinued operations, and accordingly, the Company has reported the results of operations and financial position of these businesses in discontinued operations within the condensed consolidated statements of operations and the condensed consolidated balance sheets for all periods presented as applicable. 

The results from discontinued operations were as follows: 

	Three-Month Periods Ended						Nine-Month Periods Ended
	December 31, 2012			December 31, 2011			December 31, 2012			December 31, 2011
	(In thousands)
Net sales	$	8,581		$	23,376		$	40,593		$	111,752
Cost of sales	8,487			27,269			42,793			113,332
Gross profit (loss)	94			(3,893		)	(2,200		)	(1,580		)
Selling, general and administrative expenses	3			(920		)	1,930			6,866
Intangibles amortization	—			1,031			11,000			5,294
Interest and other expense, net	7,333			80			11,280			54
Loss before income taxes	(7,242		)	(4,084		)	(26,410		)	(13,794		)
Provision for (benefit from) income taxes	6			(55		)	(959		)	(365		)
Net loss of discontinued operations	$	(7,248	)	$	(4,029	)	$	(25,451	)	$	(13,429	)

Interest and other expense, net include the loss on sale of the businesses discussed above.

The current and non-current assets and liabilities of discontinued operations were as follows:

	As of
	March 31, 2012
	(In thousands)
Accounts receivable, net	$	9,222
Inventories	11,002
Other current assets	1,418
Total current assets of discontinued operations	$	21,642
Property and equipment, net	$	30,377
Goodwill and other intangibles, net	11,000
Other assets	40
Total non-current assets of discontinued operations	$	41,417
Accounts payable	$	14,455
Other current liabilities	10,399
Total current liabilities of discontinued operations	$	24,854

As of December 31, 2012, there were no significant assets or liabilities attributable to discontinued operations.