Financial Statement Details

9 Months Ended

Mar. 29, 2020

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Accounts Receivable, net

Accounts receivable, net consisted of the following:


(in millions of U.S. Dollars)	March 29, 2020	June 30, 2019
Billed trade receivables	$156.7	$125.8
Unbilled contract receivables	1.0	0.7
Royalties	3.7	2.8
	161.4	129.3

Allowance for bad debts	(0.4)	(0.4)
Accounts receivable, net	$161.0	$128.9

Inventories

Inventories consisted of the following:


(in millions of U.S. Dollars)	March 29, 2020	June 30, 2019
Raw material	$45.0	$42.4
Work-in-progress	92.0	101.1
Finished goods	33.1	43.9
Inventories	$170.1	$187.4

Accounts Payable and Accrued Expenses

Accounts payable and accrued expenses consisted of the following:


(in millions of U.S. Dollars)	March 29, 2020	June 30, 2019
Accounts payable, trade	$90.8	$90.7
Accrued salaries and wages	59.1	70.9
Accrued expenses	31.2	34.0
Other	3.7	5.3
Accounts payable and accrued expenses	$184.8	$200.9

Other Operating Expense

Other operating expense consisted of the following:


	Three months ended			Nine months ended
(in millions of U.S. Dollars)	March 29, 2020	March 31, 2019	March 29, 2020	March 31, 2019
Factory optimization restructuring	$1.1	$—	$3.5	$—

Severance and other restructuring	—	—	0.8	2.6
Total restructuring costs	1.1	—	4.3	2.6
Project, transformation and transaction costs	7.0	10.1	20.4	10.7
Factory optimization start-up costs	2.1	—	5.0	—

Non-restructuring related executive severance	0.6	1.0	2.1	1.0

Other operating expense	$10.8	$11.1	$31.8	$14.3

Accumulated Other Comprehensive Income, net of taxes

Accumulated other comprehensive income, net of taxes, consisted of the following:


(in millions of U.S. Dollars)	March 29, 2020	June 30, 2019
Currency translation gain	$9.5	$9.5
Net unrealized loss on available-for-sale securities	(1.7)	—
Accumulated other comprehensive income, net of taxes	$7.8	$9.5

Reclassifications Out of Accumulated Other Comprehensive Income

The Company reclassified a net gain of $1.2 million and $1.3 million out of accumulated other comprehensive income for the three and nine months ended March 29, 2020 and reclassified a net loss of $0.0 million and $0.1 million out of accumulated other comprehensive income for the three and nine months ended March 31, 2019. Amounts were reclassified to non-operating expense, net on the consolidated statements of operations.

Non-Operating Expense, net

The following table summarizes the components of non-operating expense, net:


	Three months ended			Nine months ended
(in millions of U.S. Dollars)	March 29, 2020	March 31, 2019	March 29, 2020	March 31, 2019
Foreign currency loss (gain), net	$0.3	$0.5	($0.8)	$1.1
(Gain) loss on sale of investments, net	(1.2)	—	(1.3)	0.1
Gain on arbitration proceeding	(8.0)	—	(8.0)	—
Loss on equity investment, net	19.1	3.8	9.2	12.4
Interest expense	7.5	7.4	22.6	18.8
Interest income	(3.1)	(3.6)	(13.5)	(9.0)
Other, net	(0.1)	0.3	(0.4)	0.3
Non-operating expense, net	$14.5	$8.4	$7.8	$23.7

The change in loss on equity investment, net is due to the increase in the Lextar Electronics Corporation (Lextar) stock price. The gain on arbitration proceeding is due to an award from an arbitration proceeding related to defective inventory.

Statements of Cash Flows - non-cash activities


	Nine months ended
Non-cash operating activities	March 29, 2020	March 31, 2019
Lease asset and liability additions ⁽¹⁾	$15.8	$—
Lease asset and liability modifications, net	4.4	—

⁽¹⁾ $12.2 million relates to the increase of right-of-use assets and matching lease liabilities as a result of adopting ASC 842. See Note 4, "Leases", for further information.

Accrued property and equipment as of March 29, 2020 and March 31, 2019 was $6.8 million and $15.2 million, respectively.