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Commitments
12 Months Ended
Dec. 31, 2011
Commitments  
Commitments

 

Note 12. Commitments

        The minimum payments under our operating leases for each of the five succeeding fiscal years are as follows (in thousands):

2012

  $ 4,220  

2013

    3,669  

2014

    3,812  

2015

    3,743  

2016

    3,672  

Thereafter

    23,718  
       

Total

  $ 42,834  
       

        Commitments under operating leases relate primarily to leasehold property and office equipment. For 2011, we had $0.5 million of non-cancellable sublease income. Rent expense totaled $3.3 million, $3.6 million and $3.5 million for the years ended December 31, 2011, 2010 and 2009, respectively.

        In October 2011, we entered into a lease agreement for approximately 100,000 square feet of office space. Pursuant to the lease agreement, the landlord will construct a single, three-story building of rentable space located at 590 Middlefield Road in Mountain View, California which we will subsequently lease and which will serve as our headquarters. The term of the lease agreement is for a period of 120 months, expected to commence November 2012, with a base lease commitment of approximately $40.0 million. We have two options to extend the term of the lease agreement at market rates; both extensions are for an additional 60 month term.

        We purchase components from a variety of suppliers and use contract manufacturers to provide manufacturing services for our products. During the normal course of business, we issue purchase orders with estimates of our requirements several months ahead of the delivery dates. Our near-term commitments to our contract manufacturers and suppliers totaled $4.6 million as of December 31, 2011.

        At December 31, 2011, we have recorded $1.2 million for uncertain tax positions under long term liabilities, in accordance with US GAAP, summarized under Note 1 "Organization and Summary of Significant Accounting Policies." As these liabilities do not reflect actual tax assessments, the timing and amount of payments we might be required to make will depend upon a number of factors. Accordingly, as the timing and amount of payment cannot be estimated, the $1.2 million of uncertain tax position liabilities has not been included in the table of commitments above.