|
Stockholders' Equity (Tables)
|
9 Months Ended |
|
Sep. 29, 2012
|
| Summary of Company's Equity Award Activity - Options |
Equity award
activity as of September 29, 2012 and changes during the nine
months ended September 29, 2012 were as follows (in thousands,
except per share data):
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Number of
Options |
|
|
Average
Exercise
Price
Per Share |
|
|
Aggregate
Intrinsic
Value |
|
|
Outstanding at
December 31, 2011
|
|
|
9,873 |
|
|
$ |
7.03 |
|
|
$ |
7,924 |
|
|
Options granted
|
|
|
127 |
|
|
$ |
7.18 |
|
|
|
|
|
|
Options
exercised
|
|
|
(428 |
) |
|
$ |
5.26 |
|
|
$ |
1,025 |
|
|
Options canceled
|
|
|
(224 |
) |
|
$ |
8.64 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Outstanding at
September 29, 2012
|
|
|
9,348 |
|
|
$ |
7.07 |
|
|
$ |
5,763 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Vested and expected to
vest at September 29, 2012
|
|
|
9,298 |
|
|
|
|
|
|
$ |
5,763 |
|
|
Exercisable at
September 29, 2012
|
|
|
7,177 |
|
|
$ |
6.74 |
|
|
$ |
5,763 |
|
|
|
|
|
|
| Summary of Company's Equity Award Activity - RSUs |
|
|
|
|
| |
|
Number of
Restricted
Stock Units |
|
|
Weighted-
Average
Grant Date
Fair Value
Per Share |
|
|
Aggregate
Intrinsic
Value |
|
|
Outstanding at
December 31, 2011
|
|
|
5,957 |
|
|
$ |
8.77 |
|
|
$ |
37,407 |
|
|
RSUs granted
|
|
|
3,463 |
|
|
$ |
7.60 |
|
|
|
|
|
|
RSUs released
|
|
|
(2,304 |
) |
|
$ |
9.08 |
|
|
$ |
16,763 |
|
|
RSUs canceled
|
|
|
(298 |
) |
|
$ |
8.36 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Outstanding at September
29, 2012
|
|
|
6,818 |
|
|
$ |
8.10 |
|
|
$ |
37,363 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Expected to release at
September 29, 2012
|
|
|
6,616 |
|
|
|
|
|
|
$ |
36,257 |
|
|
|
|
|
| Summary of Company's Equity Award Activity - PSUs |
|
|
|
|
| |
|
Number of
Performance
Stock Units |
|
|
Weighted-
Average
Grant Date
Fair Value
Per Share |
|
|
Aggregate
Intrinsic
Value |
|
|
Outstanding at
December 31, 2011
|
|
|
2,595 |
|
|
$ |
10.51 |
|
|
$ |
16,304 |
|
|
PSUs granted
|
|
|
515 |
|
|
$ |
7.85 |
|
|
|
|
|
|
PSUs released
|
|
|
(884 |
) |
|
$ |
9.40 |
|
|
$ |
5,448 |
|
|
PSUs canceled
|
|
|
(821 |
) |
|
$ |
9.97 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Outstanding at September
29, 2012
|
|
|
1,405 |
|
|
$ |
10.56 |
|
|
$ |
7,701 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Expected to vest at
September 29, 2012
|
|
|
1,396 |
|
|
|
|
|
|
$ |
7,649 |
|
|
| Total Stock Based Compensation Cost for Instruments Granted but Not Yet Amortized |
The following
table presents total stock-based compensation cost for instruments
granted but not yet amortized, net of estimated forfeitures, of the
Company’s equity compensation plans as of September 29,
2012. These costs are expected to be amortized on a straight-line
basis over the following weighted-average periods (in thousands,
except for weighted-average period):
|
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|
|
|
|
|
|
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| |
|
Unrecognized
Compensation
Expense, Net |
|
|
Weighted-
Average Period
(in years) |
|
|
Stock options
|
|
$ |
5,546 |
|
|
|
1.3 |
|
|
RSUs
|
|
$ |
37,310 |
|
|
|
2.0 |
|
|
PSUs
|
|
$ |
2,103 |
|
|
|
0.9 |
|
|
| Ranges of Estimated Values of Stock Options and Performance Based Stock Options Granted |
The ranges of
estimated values of stock options and performance-based stock
options granted, as well as ranges of assumptions used in
calculating these values were based on estimates as
follows:
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| |
|
Three Months
Ended |
|
Nine Months
Ended |
| |
|
September 29,
2012 |
|
September 24,
2011 |
|
September 29,
2012 |
|
September 24,
2011 |
|
Volatility
|
|
N/A |
|
60% |
|
65% - 68% |
|
58% - 62% |
|
Risk-free interest
rate
|
|
N/A |
|
1.80% |
|
0.7% - 1.0% |
|
1.70% - 2.60% |
|
Expected life
|
|
N/A |
|
5.3 years |
|
4.0 - 5.3 years |
|
4.6 - 5.5 years |
|
Estimated fair
value
|
|
N/A |
|
$3.85 |
|
$3.75 - $3.76 |
|
$3.47 - $4.63 |
|
Stock-based compensation
expense (in thousands)
|
|
$2,553 |
|
$3,085 |
|
$7,121 |
|
$9,585 |
| N/A |
- not applicable because
the Company did not grant any options to employees during the three
months ended September 29, 2012. |
|
| Estimated Fair Value of ESPP Shares |
The fair value
of the ESPP shares was estimated at the date of grant using the
following assumptions:
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| |
|
Three Months
Ended |
|
Nine Months
Ended |
| |
|
September 29,
2012 |
|
September 24,
2011 |
|
September 29,
2012 |
|
September 24,
2011 |
|
Volatility
|
|
54% |
|
51% |
|
54% - 57% |
|
51% - 66% |
|
Risk-free interest
rate
|
|
0.17% |
|
0.12% |
|
0.16% - 0.17% |
|
0.12% - 0.20% |
|
Expected life
|
|
0.5 years |
|
0.5 years |
|
0.5 years |
|
0.5 years |
|
Estimated fair
value
|
|
$1.73 |
|
$2.09 |
|
$1.73 - $2.63 |
|
$2.09 - $2.70 |
|
Stock-based compensation
expense (in thousands)
|
|
$895 |
|
$715 |
|
$2,653 |
|
$2,648 |
|
| Summary of the Effects of Stock Based Compensation on Company's Balance Sheets and Statements of Operations |
The following
tables summarize the effects of stock-based compensation on the
Company’s condensed consolidated balance sheets and
statements of operations for the periods presented (in
thousands):
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|
September 29,
2012 |
|
|
December 31,
2011 |
|
|
Stock-based compensation
effects in inventory
|
|
|
|
|
|
|
|
|
|
$ |
4,333 |
|
|
$ |
3,479 |
|
|
Stock-based compensation
effects in deferred inventory cost
|
|
|
|
|
|
|
|
|
|
$ |
74 |
|
|
$ |
179 |
|
|
Stock-based compensation
effects in fixed assets
|
|
|
|
|
|
|
|
|
|
$ |
5 |
|
|
$ |
36 |
|
|
|
|
| |
|
Three Months
Ended |
|
|
Nine Months
Ended |
|
| |
|
September 29,
2012 |
|
|
September 24,
2011 |
|
|
September 29,
2012 |
|
|
September 24,
2011 |
|
|
Stock-based compensation
effects in net loss before income taxes
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of revenue
|
|
$ |
683 |
|
|
$ |
722 |
|
|
$ |
1,975 |
|
|
$ |
2,213 |
|
|
Research and
development
|
|
|
3,439 |
|
|
|
3,745 |
|
|
|
10,454 |
|
|
|
11,075 |
|
|
Sales and
marketing
|
|
|
2,685 |
|
|
|
2,216 |
|
|
|
7,648 |
|
|
|
6,501 |
|
|
General and
administration
|
|
|
2,804 |
|
|
|
4,410 |
|
|
|
7,732 |
|
|
|
14,021 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
9,611 |
|
|
|
11,093 |
|
|
|
27,809 |
|
|
|
33,810 |
|
|
Cost of revenue -
amortization from balance sheet (1)
|
|
|
1,706 |
|
|
|
1,487 |
|
|
|
3,875 |
|
|
|
3,617 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total stock-based
compensation expense
|
|
$ |
11,317 |
|
|
$ |
12,580 |
|
|
$ |
31,684 |
|
|
$ |
37,427 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (1) |
Stock-based compensation expense deferred to inventory and
deferred inventory costs in prior periods and recognized in the
current period.
|
|