Accrued Expenses and Other Current Liabilities

The components of accrued expenses and other current liabilities consisted of the following:



(in thousands)	As of		As of
	March 31, 2012		September 30, 2011
Compensation	$	3,905	$	4,222
Warranty	4,186		4,158
Termination fee	2,775		2,775
Professional fees	764		489
Royalty	1,557		1,627
Advanced payments	12,164		2,753
Self insurance	1,223		1,048
Capital lease obligations	3		1,279
Income and other taxes	1,090		1,269
Loss on sale contracts	375		480
Severance and restructuring accruals	351		405
Loss on inventory purchase commitments	1,343		—
Litigation settlements	—		1,445
Other	580		369
Accrued expenses and other current liabilities	$	30,316	$	22,319

Advanced payments - We signed agreements with certain customers related to our Fiber Optics segment pursuant to which they have received an allocation of our finished goods inventory that was not damaged by the Thailand flood, as well as receive a percentage of future output from our new production lines being placed into service during fiscal 2012. As consideration, we received $6.8 million as partial prepayments for future product shipments, of which $5.2 million is outstanding as of March 31, 2012. These advanced payments are being used to support our working capital requirements and purchases of manufacturing equipment. In December 2011, we also received a $3.3 million deposit from our Suncore joint venture related to an order for terrestrial CPV solar cells, of which $2.8 million is outstanding as of March 31, 2012.

Capital lease obligations - Equipment under capital lease was damaged by the Thailand flood and written off against our outstanding capital lease obligation.

Severance and restructuring accruals - Our restructuring-related accrual specifically relates to non-cancelable obligations associated with an abandoned leased facility. Expense related to severance and restructuring accruals is included in sales, general, and administrative expense on our statement of operations. The following table summarizes the changes in the severance and restructuring-related accrual accounts:



Severance and Restructuring Accruals (in thousands)	Severance-related accruals			Restructuring-related accruals			Total
Balance as of September 30, 2011	$	5		$	400		$	405
Expense charge to accrual	112			32			144
Payments on accrual	(95		)	(103		)	(198		)
Balance as of March 31, 2012	$	22		$	329		$	351

Loss on inventory purchase commitments - Management identified certain inventory on order related to manufacturing product lines that were destroyed by the Thailand flood and will not be replaced. This expense, which totaled $0.4 million and $1.3 million for the three and six months ended March 31, 2012, respectively, was recorded within cost of revenue on our statement of operations.

See Footnote 9 - Flood-related Losses for additional disclosures related to the impact of the Thailand flood on our operations.