SCHEDULE II

NANOMETRICS INCORPORATED

(a) VALUATION AND QUALIFYING ACCOUNTS

Our allowance for doubtful accounts receivable consists of the following (in thousands):



Year Ended	Balance at beginning of period		Charged to costs and expenses			Deductions – write-offs of accounts			Balance at end of period
December 31, 2011	$	63	$	81		$	(27	)	$	117
January 1, 2011	$	241	$	(131	)	$	47		$	63

Our valuation allowance for deferred tax assets consists of the following (in thousands):



Year Ended	Balance at beginning of period		Charged to costs and expenses			Deductions – write-offs of accounts		Balance at end of period
December 31, 2011	$	7,002	$	1,140		$	—	$	8,142
January 1, 2011	$	39,145	$	(32,143	)	$	—	$	7,002

(b) VALUATION AND QUALIFYING ACCOUNTS

Our allowance for doubtful accounts receivable consists of the following (in thousands):



Year Ended	Balance at beginning of period		Charged to costs and expenses	Deductions – write-offs of accounts		Balance at end of period
January 2, 2010	$	309	381	$	449	$	241

Our valuation allowance for deferred tax assets consists of the following (in thousands):



Year Ended	Balance at beginning of period		Charged to costs and expenses		Deductions – write-offs of accounts		Balance at end of period
January 2, 2010	$	34,902	$	4,243	$	—	$	39,145