Related Parties and Related Commitments and Contingencies (Tables)

3 Months Ended

Oct. 04, 2019

Commitments and Contingencies Disclosure [Abstract]

Notes Receivable and Investments in Related Parties

The following table presents the notes receivable from, and equity investments in, Flash Ventures as of October 4, 2019 and June 28, 2019:

	October 4, 2019		June 28, 2019
	(in millions)
Notes receivable, Flash Partners	$	482	$	551
Notes receivable, Flash Alliance	905		878
Notes receivable, Flash Forward	617		743
Investment in Flash Partners	202		200
Investment in Flash Alliance	299		296
Investment in Flash Forward	124		123
Total notes receivable and investments in Flash Ventures	$	2,629	$	2,791

Variable Interest Entity Maximum Loss Exposure

The Company’s maximum reasonably estimable loss exposure (excluding lost profits) as a result of its involvement with Flash Ventures, based upon the Japanese yen to U.S. dollar exchange rate at October 4, 2019, is presented below. Investments in Flash Ventures are denominated in Japanese yen, and the maximum estimable loss exposure excludes any cumulative translation adjustment due to revaluation from the Japanese yen to the U.S. dollar.

	October 4, 2019
Notes receivable	$	2,004
Equity investments	625
Operating lease guarantees	1,694
Inventory and prepayments	359
Maximum estimable loss exposure	$	4,682

Schedule of Guarantor Obligations

The following table presents the Company’s portion of the remaining guarantee obligations under the Flash Ventures’ lease facilities in both Japanese yen and U.S. dollar-equivalent, based upon the Japanese yen to U.S. dollar exchange rate as of October 4, 2019.

	Lease Amounts
	(Japanese yen, in billions)		(U.S. dollar, in millions)
Total guarantee obligations	¥	181	$	1,694

Remaining Guarantee Obligations

The following table details the breakdown of the Company’s remaining guarantee obligations between the principal amortization and the purchase option exercise price at the end of the term of the Flash Ventures lease agreements, in annual installments as of October 4, 2019 in U.S. dollars, based upon the Japanese yen to U.S. dollar exchange rate as of October 4, 2019:

Annual Installments	Payment of Principal Amortization		Purchase Option Exercise Price at Final Lease Terms		Guarantee Amount
	(in millions)
Remaining nine months of 2020	$	343	$	56	$	399
2021	369		110		479
2022	284		50		334
2023	177		67		244
2024	74		121		195
Thereafter	4		39		43
Total guarantee obligations	$	1,251	$	443	$	1,694