FINANCIAL STATEMENT COMPONENTS

9 Months Ended

Mar. 31, 2021

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Condensed Consolidated Balance Sheets


	As of		As of
(In thousands)	March 31, 2021		June 30, 2020
Accounts receivable, net:
Accounts receivable, gross	$	1,219,302	$	1,119,235
Allowance for credit losses	(17,311)		(11,822)
	$	1,201,991	$	1,107,413
Inventories:
Raw materials	$	528,338	$	478,594
Customer service parts	354,090		338,608
Work-in-process	394,584		334,965
Finished goods	173,576		158,818
	$	1,450,588	$	1,310,985
Other current assets:
Contract assets	$	99,707	$	99,876
Prepaid expenses	59,687		74,955
Deferred costs of revenue	68,617		77,219
Prepaid income and other taxes	53,752		56,809
Other current assets	28,098		15,816
	$	309,861	$	324,675
Land, property and equipment, net:
Land	$	67,865	$	67,858
Buildings and leasehold improvements	451,314		405,238
Machinery and equipment	736,624		677,627
Office furniture and fixtures	32,824		29,964
Construction-in-process	149,587		93,736
	1,438,214		1,274,423
Less: accumulated depreciation	(809,776)		(754,599)
	$	628,438	$	519,824
Other non-current assets:
Executive Deferred Savings Plan(1)	$	253,849	$	213,487

Operating lease right of use assets	101,699		100,790
Other non-current assets	60,491		48,702
	$	416,039	$	362,979
Other current liabilities:
Compensation and benefits	$	353,099	$	251,379
Executive Deferred Savings Plan	254,929		215,167
Customer credits and advances	222,493		114,896
Other accrued expenses	155,718		183,435

Income taxes payable	76,489		35,640
Interest payable	34,854		36,265
Operating lease liabilities	31,485		28,994
	$	1,129,067	$	865,776
Other non-current liabilities:
Income taxes payable	$	366,258	$	383,447
Pension liabilities	80,053		78,911
Operating lease liabilities	70,657		70,885
Other non-current liabilities	141,047		139,041
	$	658,015	$	672,284

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(1)We have a non-qualified deferred compensation plan (known as “Executive Deferred Savings Plan” or “EDSP”) under which certain employees and non-employee directors may defer a portion of their compensation. The expense (benefit) associated with changes in the EDSP liability included in selling, general and administrative expense was $5.7 million and $(29.4) million during the three months ended March 31, 2021 and 2020, respectively, and was $41.0 million and $(15.5) million during the nine months ended March 31, 2021 and 2020, respectively. The amount of net gains (losses) associated with changes in the EDSP assets included in selling, general and administrative expense was $5.8 million and $(29.4) million during the three months ended March 31, 2021 and 2020, respectively, and was $41.3 million and $(15.3) million during the nine months ended March 31, 2021 and 2020, respectively. For additional details, refer to Note 1 “Description of Business and Summary of Significant Accounting Policies” of the Notes to the Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended June 30, 2020.

Accumulated Other Comprehensive Income (Loss)

The components of accumulated other comprehensive income (loss) (“OCI”) as of the dates indicated below were as follows:


(In thousands)	Currency Translation Adjustments		Unrealized Gains (Losses) on Available-for-Sale Securities		Unrealized Gains (Losses) on Derivatives		Unrealized Gains (Losses) on Defined Benefit Plans		Total
Balance as of March 31, 2021	$	(33,302)	$	1,038	$	(19,333)	$	(18,876)	$	(70,473)

Balance as of June 30, 2020	$	(43,957)	$	3,683	$	(23,250)	$	(16,250)	$	(79,774)

The effects on net income (loss) of amounts reclassified from accumulated OCI to the Condensed Consolidated Statements of Operations for the indicated period were as follows (in thousands):


		Three Months Ended				Nine Months Ended
	Location in the Condensed Consolidated	March 31,				March 31,
Accumulated OCI Components	Statements of Operations	2021		2020		2021		2020
Unrealized gains (losses) on cash flow hedges from foreign exchange and interest rate contracts	Revenues	$	(583)	$	3,051	$	(1,511)	$	3,416
	Costs of revenues and operating expenses	187		12		612		(1,806)
	Interest expense	(279)		(159)		(837)		(358)

	Net gains (losses) reclassified from accumulated OCI	$	(675)	$	2,904	$	(1,736)	$	1,252
Unrealized gains (losses) on available-for-sale securities	Other expense (income), net	$	25	$	432	$	238	$	346

The amounts reclassified out of accumulated OCI related to our defined benefit pension plans, which were recognized as a component of net periodic cost for the three months ended March 31, 2021 and 2020 were $0.3 million and $0.2 million, respectively, and for the nine months ended March 31, 2021 and 2020 were $0.8 million and $0.7 million, respectively. For additional details, refer to Note 13 “Employee Benefit Plans” of the Notes to the Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended June 30, 2020.