Long-Term Investment

12 Months Ended

Apr. 01, 2012

Long-Term Investment [Abstract]

Long-Term Investment

NOTE 8.    LONG-TERM INVESTMENT

Our long-term investment consists of our investment in Skypoint Telecom Fund II (US), L.P. (“Skypoint Fund”). Skypoint Fund is a venture capital fund that invests primarily in private companies in the telecommunications and/or networking industries. We account for this non-marketable equity investment under the cost method. We periodically review and determine whether the investment is other-than-temporarily impaired, in which case the investment is written down to its impaired value.

The following table summarizes the activities in the Skypoint fund (in thousands):

	Fiscal Years Ended
	April 1, 2012			March 27, 2011			March 28, 2010
Beginning balance	$	1,563		$	1,440		$	1,660
Contributions		114			186			41
Capital distributions		(404	)		(63	)		(36	)
Other-than-temporary impairment expense		—			—			(225	)
Ending balance	$	1,273		$	1,563		$	1,440

The carrying amount of $1.3 million as of April 1, 2012 reflects the net of the capital contributions, capital distributions and cumulative impairment charges. We have made $4.8 million in capital contributions to Skypoint Fund since we became a limited partner in July 2001. After the remaining capital commitment to the Skypoint Fund lapsed on July 27, 2011, in the second quarter of fiscal year 2012, the limited partners of the Skypoint Fund agreed to extend the term of the Skypoint Fund for one additional year.

In the third quarter of fiscal year 2012, Skypoint Fund informed us of the sale of one of the portfolio companies in the fund. Our distribution from the sale is approximately $404,000, of which $76,000 will be held in escrow until May 18, 2013. In the second quarter of fiscal year 2011, Skypoint Fund made partial distributions from the sale of three of the portfolio companies in the fund. Our distribution from these sales was approximately $63,000. In the third quarter of fiscal year 2010, Skypoint Fund made a partial distribution from the sale of one of the portfolio companies in the fund. Our distribution from the sale was approximately $36,000. In accordance with the standard related to accounting for cost method investments, we recorded the distributions on the cost basis and reduced the carrying value of our investment in the Skypoint Fund.

We analyzed the fair value of the underlying investments of Skypoint Fund and concluded portions of the carrying value were not other than-temporary impaired for fiscal year 2012 and 2011. We recorded $0.2 million of other-than-temporary impairment expenses for fiscal year 2010.