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Legal Proceedings
6 Months Ended
Sep. 29, 2012
Legal Proceedings

15. Legal Proceedings

All Ring Patent Infringement Prosecution

The Company’s proceedings against All Ring Tech Co., Ltd (All Ring) in Taiwan for alleged patent infringement are ongoing. As a part of these proceedings, the Company established three letters of credit for approximately $19.5 million in July 2009, September 2009 and June 2011, which are collateralized by $22.3 million of restricted cash. The total restricted cash balance was included in Restricted cash on the Condensed Consolidated Balance Sheets as of September 29, 2012.

In June 2011, the Kaohsiung District Court of Taiwan orally announced its judgment, finding that the Capacitor Tester Model RK-T6600, as well as All Ring’s RK-T2000 and RK-L50 systems, had infringed the 207469 patent, ordering All Ring to pay the Company approximately $24.0 million in damages, plus interest accrued from November 4, 2005 through the payment date at a rate of 5%, and enjoining All Ring from selling any system infringing the 207469 patent. On June 16, 2011, All Ring posted a cash bond for approximately $24.0 million to prevent the provisional execution of the judgment. All Ring appealed this judgment to the Intellectual Property Court on June 28, 2011 and on October 31, 2011, the Company filed its response to All Ring’s appeal. All Ring and the Company have each filed additional briefs with the Intellectual Property Court. See the Company’s Form 10-K for the year ended March 31, 2012 for further background and additional information related to these proceedings.

In the ordinary course of business, the Company is involved in various other legal matters, either asserted or unasserted, and investigations. In the opinion of management, ultimate resolution of these matters will not have a material effect on the Company’s consolidated financial position, results of operations or cash flows.