Note 2—Balance Sheet Components

Inventories consist of the following:


	June 30, 2013		July 1, 2012
	(In thousands)

Raw materials	$	19,007	$	21,003
Work-in-process		11,025		10,440
Finished goods		14,484		16,175

Inventories	$	44,516	$	47,618

Certain inventories, not expected to be consumed within the next 12 months, are included in the consolidated balance sheet as non-current other assets (within “Deferred Taxes and Other Assets”). These inventories consist of raw materials and finished goods and totaled $1.3 million and $2.6 million, as of June 30, 2013 and July 1, 2012, respectively.

Property, plant and equipment, net consist of the following:


	June 30, 2013			July 1, 2012
	(In thousands)
Property, plant and equipment, net:
Land	$	200		$	200
Buildings and improvements		19,164			16,119
Machinery and equipment		29,203			27,610
Computer software		12,673			12,384
Leasehold improvements		19,409			18,923

		80,649			75,236
Accumulated depreciation and amortization		(56,780	)		(52,534	)

	$	23,869		$	22,702

During fiscal years 2013, 2012, and 2011, depreciation expense was $5.3 million, $5.0 million, and $5.3 million, respectively.

Other accrued liabilities consist of the following:


	June 30, 2013		July 1, 2012
	(In thousands)

Other accrued liabilities:
Deferred revenue	$	6,093	$	6,996
Accrued expenses		4,497		2,717
Manufacturer sales representative commissions payable		843		1,303
Lease loss accrual, net		1,050		668
Income taxes payable		—		157

Total	$	12,483	$	11,841

Long-term obligations consist of the following:


	June 30, 2013		July 1, 2012
	(In thousands)

Long-term obligations:
Deferred revenue	$	1,979	$	2,254
Lease loss accrual, net		1,579		1,240
Rent accrual		713		1,102
Post-retirement benefits		186		173
Income tax		216		216
Contingent consideration for acquired business		591		487

Total	$	5,264	$	5,472