XML 94 R23.htm IDEA: XBRL DOCUMENT v2.4.1.9
Special Charges
12 Months Ended
Jan. 31, 2015
Restructuring and Related Activities [Abstract]  
Special Charges
Special Charges
The following is a summary of the components of the special charges:
 
Year ended January 31,
2015
 
2014
 
2013
Litigation costs
$
18,408

 
$
11,597

 
$
3,632

Employee severance and related costs
3,535

 
4,392

 
4,016

Other
1,547

 
940

 
2,298

Total special charges
$
23,490

 
$
16,929

 
$
9,946



Special charges includes expenses incurred related to certain litigation costs, employee severance, acquisitions, excess facility costs, and asset related charges.
Litigation costs consist of professional service fees for services rendered, related to patent litigation involving us, EVE, and Synopsys regarding emulation technology.

Employee severance and related costs include severance benefits, notice pay, and outplacement services. These rebalance charges generally represent the aggregate of numerous unrelated rebalance plans which impact several employee groups, none of which is individually material to our financial position or results of operations. We determine termination benefit amounts based on employee status, years of service, and local statutory requirements. We communicate termination benefits to the affected employees prior to the end of the quarter in which we record the charge.
Approximately 90% of the employee severance and related costs for fiscal 2015 were paid during fiscal 2015. We expect to pay the remainder during fiscal 2016. Approximately 80% of the employee severance and related costs for fiscal 2014 were paid during fiscal 2014. Costs remaining as of January 31, 2014 were paid in fiscal 2015. Approximately 60% of the employee severance and related costs for fiscal 2013 were paid during fiscal 2013. Costs remaining as of January 31, 2013 were paid in fiscal 2014. There have been no significant modifications to the amount of these charges.
Accrued special charges are included in accrued and other liabilities and other long-term liabilities in the consolidated balance sheet. The following table shows changes in accrued special charges during the year ended January 31, 2015:
 
 
Accrued special
charges as of
 
Charges during
the year ended
 
Payments during
the year ended
 
Accrued special
charges as of
 
 
January 31, 2014
 
January 31, 2015
 
January 31, 2015
 
January 31, 2015
(1) 
Litigation costs
$
4,855

 
$
18,408

 
$
(19,857
)
 
$
3,406

 
Employee severance and related costs
1,004

 
3,535

 
(4,169
)
 
370

 
Other costs
1,987

 
1,547

 
(2,793
)
 
741

 
Accrued special charges
$
7,846

 
$
23,490

 
$
(26,819
)
 
$
4,517

 
 
(1) 
Of the $4,517 total accrued special charges as of January 31, 2015, $252 represents the long-term portion, which primarily includes accrued lease termination fees and other facility costs, net of sublease income and other long-term costs. The remaining balance of $4,265 represents the short-term portion of accrued special charges.

The following table shows changes in accrued special charges during the year ended January 31, 2014:
 
 
Accrued special
charges as of
 
Charges during
the year ended
 
Payments during
the year ended
 
Accrued special
charges as of
 
 
January 31, 2013
 
January 31, 2014
 
January 31, 2014
 
January 31, 2014
(1) 
Litigation costs
$
624

 
$
11,597

 
$
(7,366
)
 
$
4,855

 
Employee severance and related costs
2,028

 
4,392

 
(5,416
)
 
1,004

 
Other costs
2,889

 
940

 
(1,842
)
 
1,987

 
Accrued special charges
$
5,541

 
$
16,929

 
$
(14,624
)
 
$
7,846

 
 
(1) 
Of the $7,846 total accrued special charges as of January 31, 2014, $587 represents the long-term portion, which primarily includes accrued lease termination fees and other facility costs, net of sublease income. The remaining balance of $7,259 represents the short-term portion of accrued special charges.

The following table shows changes in accrued special charges during the year ended January 31, 2013:
 
 
Accrued special
charges as of
 
Charges during
the year ended
 
Payments during
the year ended
 
Accrued special
charges as of
 
 
January 31, 2012
 
January 31, 2013
 
January 31, 2013
 
January 31, 2013
(1) 
Litigation costs
$

 
$
3,632

 
$
(3,008
)
 
$
624

 
Employee severance and related costs
3,668

 
4,016

 
(5,656
)
 
2,028

 
Other costs
2,811

 
2,298

 
(2,220
)
 
2,889

 
Accrued special charges
$
6,479

 
$
9,946

 
$
(10,884
)
 
$
5,541

 
 
(1) 
Of the $5,541 total accrued special charges as of January 31, 2013, $2,213 represents the long-term portion, which primarily includes accrued lease termination fees and other facility costs, net of sublease income. The remaining balance of $3,328 represents the short-term portion of accrued special charges.