Debt (Tables)

12 Months Ended

Dec. 28, 2013

Debt Disclosure [Abstract]

Summary of debt outstanding

Cadence's outstanding debt as of December 28, 2013 and December 29, 2012 was as follows:

	December 28, 2013							December 29, 2012
	(In thousands)
	Principal		Unamortized Discount			Carrying Value		Principal		Unamortized Discount			Carrying Value
2015 Notes	$	350,000	$	(25,174	)	$	324,826	$	350,000	$	(41,181	)	$	308,819
2013 Notes	—		—			—		144,461		(6,447		)	138,014
2023 Notes	—		—			—		178		—			178
Revolving credit facility	—		—			—		—		—			—
Total outstanding debt	$	350,000	$	(25,174	)	$	324,826	$	494,639	$	(47,628	)	$	447,011

Summary of key terms of 2015 notes and 2013 notes

A summary of key terms of the 2015 Notes is as follows:

	2015 Notes
	(In thousands, except percentages)
Outstanding principal maturity value – at December 28, 2013	$350,000
Contractual interest rate	2.625%
Contractual maturity date	June 1, 2015
Initial conversion rate	132.5205 shares of common stock per $1,000 principal amount of notes, which is equivalent to a conversion price of approximately $7.55 per share of Cadence common stock.
Conversion feature (in addition to principal amount payable in cash)	Cash to the extent Cadence's stock price exceeds approximately $7.55 per share, calculated based on the applicable conversion rate multiplied by the volume weighted average price of Cadence common stock over a specified period.
Early conversion conditions (or the Early Conversion Conditions)	• Closing stock price greater than $9.81 for at least 20 of the last 30 trading days in a fiscal quarter (convertible only for subsequent quarter); • Specified corporate transactions; or • Note trading price falls below a calculated minimum.
Conversion immediately preceding maturity	From March 1, 2015 until the second trading day immediately preceding the maturity date, holders may convert their 2015 Notes at any time into cash as described above under "Conversion feature."
Redemption at Cadence's option prior to maturity	None.
Fundamental change put right	Upon certain fundamental corporate changes prior to maturity, the 2015 Note holders could require Cadence to repurchase their notes for cash equal to the principal amount of the notes plus accrued interest.
Make-whole premium	Upon certain fundamental changes prior to maturity, if Cadence's stock price were between $6.16 and $40.00 per share at that time, the holders of the notes would be entitled to an increase to the conversion rate. This is referred to as a "make-whole premium."
Financial covenants	None.

Effective interest rate and components of interest expense of 2015 notes

The effective interest rate and components of interest expense of the 2015 Notes for fiscal 2013, 2012 and 2011 were as follows:

	2013			2012			2011
	(In thousands, except percentages)
Effective interest rate	8.1		%	8.1		%	8.1		%
Contractual interest expense	$	9,157		$	9,157		$	9,157
Amortization of debt discount	16,007			14,758			13,665
Total interest expense	$	25,164		$	23,915		$	22,822

Effective interest rate and components of interest expense of 2013 notes and 2011 notes

The effective interest rate and components of interest expense of the 2013 Notes for fiscal 2013 and 2012 and of the 2013 Notes and 2011 Notes for fiscal 2011, were as follows:

	2013			2012			2011
	(In thousands, except percentages)
Effective interest rate	6.4		%	6.4		%	6.3		%
Contractual interest expense	$	2,082		$	2,159		$	4,119
Amortization of debt discount	6,447			6,272			12,654
Total interest expense	$	8,529		$	8,431		$	16,773

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