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Income Taxes (Tables)

12 Months Ended

Jun. 25, 2011

Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]

The provision for income taxes consisted of the following:



	For the Year Ended
	June 25, 2011		June 26, 2010			June 27, 2009
	(in thousands)
Federal
Current	$	44,579	$	151,786		$	30,237
Deferred	118,351		12,340			(7,447		)
State
Current	781		4,092			(2,056		)
Deferred	4,204		(1,464		)	(681		)
Foreign
Current	2,810		14,345			2,995
Deferred	1,937		(6,175		)	1,116
	$	172,662	$	174,924		$	24,164

Schedule of Effective Income Tax Rate Reconciliation [Table Text Block]

The provision for income taxes differs from the amount computed by applying the statutory rate as follows:



	For the Year Ended
	June 25, 2011		June 26, 2010		June 27, 2009

Federal statutory rate	35.0	%	35.0	%	35.0	%
State tax, net of federal benefit	0.7		0.4		(10.8	)
General business credits	(1.5	)	(1.2	)	(25.6	)
Domestic production deduction benefit	(0.1	)	(2.1	)	(16.1	)
Foreign earnings and losses taxed or benefitted at different rates	(4.6	)	21.0		76.5
Stock-based compensation	1.3		3.0		8.4
Acquired in process R&D	—		—		3.9
Executive compensation	0.1		0.1		(11.2	)
Release of unrecognized tax benefits	(4.1	)	—		—
Interest accrual for unrecognized tax benefits	(1.6	)	0.9		9.9
Other	0.9		1.2		(0.2	)

Income tax rate	26.1	%	58.3	%	69.8	%

Schedule of Deferred Tax Assets and Liabilities [Table Text Block]

The components of the Company's deferred tax assets and liabilities are as follows:



	For the Year Ended
	June 25, 2011			June 26, 2010
	(in thousands)
Deferred tax assets:
Inventory valuation and reserves	$	11,768		$	66,087
Distributor related accruals and sales return and allowance accruals	21,334			14,168
Deferred revenue	2,233			3,187
Accrued compensation	56,467			47,500
Stock-based compensation	73,295			84,225
Net operating loss carryovers	20,827			31,450
Tax credit carryovers	43,285			46,025
Other reserves and accruals not currently deductible for tax purposes	10,608			75,782
Other	8,940			18,437

Total deferred tax assets	248,757			386,861

Deferred tax liabilities:
Fixed assets cost recovery, net	(257,647		)	(240,463		)
Other	(12,168		)	(10,524		)

Net deferred tax assets /(liabilities) before valuation allowance	(21,058		)	135,874
Valuation allowance	(44,562		)	(47,006		)

Net deferred tax assets/(liabilities)	$	(65,620	)	$	88,868

Summary of Income Tax Contingencies [Table Text Block]

A reconciliation of the change in gross unrecognized tax benefits, excluding interest, penalties and the federal benefit for state unrecognized tax benefits, is as follows:



	For the Year Ended
	June 25, 2011			June 26, 2010
	(in thousands)
Balance as of beginning of year	$	151,464		$	137,298
Tax positions related to current year:
Addition	59,345			31,491
Tax positions related to prior year:
Addition	7,935			5,696
Reduction	(21,399		)	(190		)
Settlements	(16,636		)	(22,831		)
Lapses in statutes of limitations	(63,296		)	—

Balance as of end of year	$	117,413		$	151,464

Summary of Income Tax Examinations [Table Text Block]

A summary of the fiscal tax years that remain subject to examination, as of June 25, 2011, for the Company's major tax jurisdictions are:



United States - Federal	2008 - forward
United States - Various States	2007 - forward
Japan	2006 - forward
Philippines	2008 - forward
Thailand	2009 - forward
United Kingdom	2008 - forward

- Definition

Tabular disclosure of tax positions taken in the tax returns filed or to be filed for which it is more likely than not that the tax position will not be sustained upon examination by taxing authorities (i.e., uncertain tax positions) and other types of income tax contingencies, including: (1) the policy on classification of interest and penalties; (2) a tabular reconciliation of the total amounts of unrecognized tax benefits at the beginning and end of the period; the total amount(s) of: (3) unrecognized tax benefits that, if recognized, would affect the effective tax rate, and (4) interest and penalties recognized in each of the income statement and balance sheet; (5) for positions for which it is reasonably possible that the total amounts unrecognized will significantly change within 12 months of the reporting date the: (i) nature of the uncertainty, (ii) nature of the event that could occur that would cause the change, and (iii) an estimate of the range of the reasonably possible change or a statement that an estimate of the range cannot be made; and (6) a description of tax years that remain subject to examination by major tax jurisdictions.

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- Definition

Tabular disclosure of income tax examinations that an enterprise is currently subject to or that have been completed in the current period typically including a description of the examination, the jurisdiction conducting the examination, the tax year(s) under examination, the likelihood of an unfavorable settlement, the range of possible losses, the liability recorded, the increase or decrease in the liability from the prior period, and any penalties and interest that have been recorded.

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