Certain Financial Statement Information (Tables)

6 Months Ended

Sep. 30, 2013

Certain Financial Statement Information [Abstract]

Schedule of Accounts receivable

Accounts receivable:

	September 30, 2013			March 31, 2013
	(In thousands)
Accounts receivable	$	27,165		$	25,278
Less: allowance for bad debts	(458		)	(703		)
	$	26,707		$	24,575

Schedule of Inventories

Inventories:

	September 30, 2013		March 31, 2013
	(In thousands)
Finished goods	$	5,802	$	7,247
Work in process	4,778		4,098
Raw materials	2,215		1,555
	$	12,795	$	12,900

Schedule of Other current assets

Other current assets:

	September 30, 2013		March 31, 2013
	(In thousands)
Prepaid expenses	$	12,321	$	13,762
Executive deferred compensation assets	1,075		693
Deposits	652		828
Receivable from sale of strategic investment and TPack	3,353		1,331
Other	1,994		1,384
	$	19,395	$	17,998

Schedule of Property and equipment

Property and equipment:

	Useful Life	September 30, 2013			March 31, 2013
	(In years)	(In thousands)
Machinery and equipment *	5-7	$	44,900		$	40,063
Leasehold improvements	1-15	11,480			14,202
Computers, office furniture and equipment	3-7	43,845			43,485
Buildings	31.5	2,756			2,756
Land	—	9,800			9,800
		112,781			110,306
Less: accumulated depreciation and amortization		(78,789		)	(75,915		)
		$	33,992		$	34,391

* Includes capitalized mask costs.

Schedule of Goodwill

Goodwill is as follows:

	September 30, 2013		March 31, 2013
	(In thousands)
Goodwill	$	11,425	$	13,183

Schedule of Purchased intangible assets

Purchase-related intangibles were as follows:

	September 30, 2013								March 31, 2013
	Gross		Accumulated Amortization and Impairments			Net		Weighted average remaining useful life	Gross		Accumulated Amortization and Impairments			Net		Weighted average remaining useful life
	(In thousands)							(In years)	(In thousands)							(In years)
Developed technology/in-process research and development	$	425,000	$	(425,000	)	$	—	—	$	441,300	$	(431,771	)	$	9,529	3.5
Customer relationships	6,330		(6,101		)	229		0.9	12,830		(10,507		)	2,323		2.1
Patents/core technology rights/tradename	62,306		(62,306		)	—		—	63,206		(63,067		)	139		0.3
	$	493,636	$	(493,407	)	$	229		$	517,336	$	(505,345	)	$	11,991

During the quarter ended June 30, 2013, $11.4 million of purchased intangibles were written off pursuant to the sale of TPack. Please refer to Note 8, Sale of TPack A/S, to the Condensed Consolidated Financial Statements for further discussion.

Schedule of Estimated future amortization expense of purchased intangible assets

As of September 30, 2013, the estimated future amortization expense of purchased intangible assets to be charged to operating expenses was as follows (in thousands):

	Operating Expenses
Fiscal Years Ending March 31,
2014 (remainder of year)	$	125
2015	104
2016 and thereafter	—
Total	$	229

Schedule of Other assets

Other assets:

	September 30, 2013		March 31, 2013
	(In thousands)
Non-current portion of prepaid expenses	$	5,650	$	7,866
Strategic investments	3,000		3,000
	$	8,650	$	10,866

Schedule of Other accrued liabilities

Other accrued liabilities:

	September 30, 2013		March 31, 2013
	(In thousands)
Employee related liabilities	$	2,168	$	2,236
Executive deferred compensation	1,310		1,284
Income taxes	1,127		903
Professional fees	3,977		3,840
Other	4,482		2,467
	$	13,064	$	10,730

Schedule of Cash, cash equivalents and available-for-sale investments by type of instruments

The following is a summary of cash, cash equivalents and available-for-sale investments by type of instrument (in thousands):

	September 30, 2013								March 31, 2013
	Amortized Cost		Gross Unrealized				Estimated Fair Value		Amortized Cost		Gross Unrealized				Estimated Fair Value
			Gains		Losses						Gains		Losses
Cash	$	20,652	$	—	$	—	$	20,652	$	8,529	$	—	$	—	$	8,529
Cash equivalents	7,256		—		—		7,256		10,536		—		—		10,536
U.S. Treasury securities and agency bonds	12,400		12		2		12,410		12,363		10		—		12,373
Corporate bonds	11,927		45		1		11,971		15,567		63		2		15,628
Mortgage-backed and asset-backed securities*	4,144		339		25		4,458		3,655		355		7		4,003
Closed-end bond funds	14,374		2,120		530		15,964		21,914		5,340		39		27,215
Preferred stock	2,406		851		—		3,257		4,878		2,314		—		7,192
	$	73,159	$	3,367	$	558	$	75,968	$	77,442	$	8,082	$	48	$	85,476
Reported as:
Cash and cash equivalents							$	27,908							$	19,065
Short-term investments available-for-sale							48,060								66,411
							$	75,968							$	85,476

* At September 30, 2013 and March 31, 2013, approximately $1.2 million and $1.4 million of the estimated fair value presented were mortgage-backed securities, respectively.

Schedule of Cash, cash equivalents and available-for-sale investments by type of instruments measured at fair value on recurring basis

The following is a summary of cash, cash equivalents and available-for-sale investments by type of instrument measured at fair value on a recurring basis (in thousands):

	September 30, 2013								March 31, 2013
	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Cash	$	20,652	$	—	$	—	$	20,652	$	8,529	$	—	$	—	$	8,529
Cash equivalents	7,156		100		—		7,256		9,508		1,028		—		10,536
U.S. Treasury securities and agency bonds	11,951		459		—		12,410		12,373		—		—		12,373
Corporate bonds	—		11,971		—		11,971		—		15,628		—		15,628
Mortgage-backed and asset-backed securities	—		4,458		—		4,458		—		4,003		—		4,003
Closed-end bond funds	15,964		—		—		15,964		27,215		—		—		27,215
Preferred stock	—		3,257		—		3,257		—		7,192		—		7,192
	$	55,723	$	20,245	$	—	$	75,968	$	57,625	$	27,851	$	—	$	85,476

Schedule of Cost and estimated fair values of available-for-sale securities with stated maturities by contractual maturity

The following is a summary of the cost and estimated fair values of available-for-sale securities with stated maturities, which include U.S. Treasury securities and agency bonds, corporate bonds and mortgage-backed and asset-backed securities, by contractual maturity (in thousands):

	September 30, 2013				March 31, 2013
	Cost		Fair Value		Cost		Fair Value
Less than 1 year	$	7,867	$	8,040	$	9,205	$	9,217
Mature in 1 – 2 years	19,341		19,386		19,843		20,040
Mature in 3 – 5 years	353		446		1,575		1,649
Mature after 5 years	910		967		962		1,098
	$	28,471	$	28,839	$	31,585	$	32,004

Schedule of Gross unrealized losses

The following is a summary of gross unrealized losses as of (in thousands):

	Less Than 12 Months of Unrealized Losses					12 Months or More of Unrealized Losses					Total
As of September 30, 2013	Estimated Fair Value		Gross Unrealized Losses			Estimated Fair Value		Gross Unrealized Losses			Estimated Fair Value		Gross Unrealized Losses
U.S. Treasury securities and agency bonds	$	1,468	$	(2	)	$	—	$	—		$	1,468	$	(2	)
Corporate bonds	1,654		(1		)	—		—			1,654		(1		)
Mortgage-backed and asset-backed securities	1,675		(25		)	12		—			1,687		(25		)
Closed-end bond funds	4,705		(448		)	391		(82		)	5,096		(530		)
	$	9,502	$	(476	)	$	403	$	(82	)	$	9,905	$	(558	)

	Less Than 12 Months of Unrealized Losses					12 Months or More of Unrealized Losses					Total
As of March 31, 2013	Estimated Fair Value		Gross Unrealized Losses			Estimated Fair Value		Gross Unrealized Losses			Estimated Fair Value		Gross Unrealized Losses
U.S. Treasury securities and agency bonds	$	300	$	—		$	—	$	—		$	300	$	—
Corporate bonds	2,276		(2		)	113		—			2,389		(2		)
Mortgage-backed and asset-backed securities	647		(3		)	—		(4		)	647		(7		)
Closed-end bond funds	—		—			6,991		(39		)	6,991		(39		)
	$	3,223	$	(5	)	$	7,104	$	(43	)	$	10,327	$	(48	)

Schedule of Warranty reserve activity

The following table summarizes warranty reserve activity (in thousands):

	Three Months Ended						Six months ended
	September 30,						September 30,
	2013			2012			2013			2012
Beginning balance	$	203		$	447		$	220		$	454
Charged to costs of revenues	(11		)	85			(26		)	215
Cost incurred	(5		)	(162		)	(7		)	(299		)
Ending balance	$	187		$	370		$	187		$	370

Schedule of Interest income, net

Interest income (expense), net (in thousands):

	Three Months Ended				Six months ended
	September 30,				September 30,
	2013		2012		2013		2012
Interest income	$	402	$	568	$	870	$	1,230
Net realized gain on short-term investments	86		177		3,284		1,194
	$	488	$	745	$	4,154	$	2,424

Schedule of Reconciliation of shares used to calculate basic and diluted net loss per share

The reconciliation of shares used to calculate basic and diluted net loss per share consists of the following (in thousands, except per share data):

	Three Months Ended						Six months ended
	September 30,						September 30,
	2013			2012			2013			2012
Net loss	$	(32,383	)	$	(21,557	)	$	(21,526	)	$	(44,947	)
Shares used in net loss per share computation:
Weighted average common shares outstanding, basic	72,610			64,947			70,985			63,678
Net effect of dilutive common share equivalents	—			—			—			—
Weighted average common shares outstanding, diluted	72,610			64,947			70,985			63,678
Basic and diluted net loss per share	$	(0.45	)	$	(0.33	)	$	(0.30	)	$	(0.71	)