BALANCE SHEET COMPONENTS

Inventories consist of:



	June 25, 2016		June 27, 2015
Inventories:	(in thousands)
Raw materials	$	6,505	$	12,932
Work-in-process	148,762		199,716
Finished goods	72,662		75,826
	$	227,929	$	288,474

The reduction of inventory from the period ended June 27, 2015 to June 25, 2016 was primarily driven by the Company's manufacturing transformation during fiscal year 2016 resulting in a higher composition of inventory manufacturing being outsourced to third party foundries, as well as reduction in inventory resulting from the inventory sold in connection with the disposal of the San Antonio facility of $12.3 million.

Property, plant and equipment, net, consist of:



	June 25, 2016			June 27, 2015
Property, plant and equipment:	(in thousands)
Land	$	18,952		$	45,040
Buildings and building improvements	240,507			338,394
Machinery and equipment	1,370,322			1,970,819
	1,629,781			2,354,253
Less: accumulated depreciation and amortization	(937,230		)	(1,263,514		)
	$	692,551		$	1,090,739

The Company recorded $177.2 million, $209.0 million and $160.7 million of depreciation expense in fiscal years 2016, 2015 and 2014, respectively. Included in depreciation expense was $54.6 million, $51.5 million and $0.0 million of accelerated depreciation expense in fiscal years 2016, 2015, and 2014, respectively, resulting from the change in estimated useful lives of certain long lived assets included in restructuring plans. The reduction of property, plant and equipment from the period ended June 27, 2015 to June 25, 2016 was primarily driven by the selling of the Company's wafer fabrication facilities in San Jose, California and San Antonio, Texas, and the Company’s wafer bump facility in Dallas, Texas during fiscal year 2016.

Accrued salary and related expenses consist of:



	June 25, 2016		June 27, 2015
Accrued salary and related expenses:	(in thousands)
Accrued bonus	$	90,638	$	86,506
Accrued vacation	30,753		36,906
Accrued salaries	14,320		16,572
Accrued severance and post-employment benefits	14,230		25,136
Accrued fringe	4,748		6,007
Other	12,009		10,233
	$	166,698	$	181,360