Income Taxes (Tables)

12 Months Ended

Dec. 28, 2013

Schedule of Income before Income Tax, Domestic and Foreign

The domestic and foreign components of Income (loss) before income taxes were as follows (in thousands):



	Year Ended
	December 28, 2013		December 29, 2012			December 31, 2011
Domestic	$	6,293	$	51,859		$	42,619
Foreign	20,193		(60,720		)	104
Income (loss) before income taxes	$	26,486	$	(8,861	)	$	42,723

Schedule of Components of Income Tax Expense (Benefit)

The components of the income tax provision (benefit) are as follows (in thousands):



	Year Ended
	December 28, 2013			December 29, 2012			December 31, 2011
Current:
Federal	$	251		$	(344	)	$	13,463
State	(527		)	36			(137		)
Foreign	1,616			1,498			541
	1,340			1,190			13,867
Deferred:
Federal	2,549			18,000			(45,423		)
State	342			1,487			(3,894		)
Foreign	(66		)	68			(59		)
	2,825			19,555			(49,376		)
Provision (benefit) for income taxes	$	4,165		$	20,745		$	(35,509	)

Schedule of Effective Income Tax Rate Reconciliation

The provision (benefit) for income taxes differs from the amount of income tax determined by applying the applicable U.S. statutory federal income tax rate to pretax income as a result of the following differences:



	Year Ended
	December 28, 2013	December 29, 2012	December 31, 2011
	%	%	%
Statutory federal rate	35	35	35
Adjustments for tax effects of:
State taxes, net	2	(2)	2
Intellectual property sale	—	—	144
Research and development credits	(11)	(1)	(3)
Stock compensation	3	(3)	1
Foreign rate differential	(20)	(252)	2
Foreign dividends	—	3	1
Capital loss expiration	2	—	—
Valuation allowance	6	(19)	(289)
Change in uncertain tax benefit accrual	(1)	3	31
Tax rate change	(1)	—	(7)
Other	1	2	—
Effective income tax rate	16	(234)	(83)

Schedule of Deferred Tax Assets and Liabilities

The components of our net deferred tax assets are as follows (in thousands):



	December 28, 2013			December 29, 2012
Deferred tax assets:
Accrued expenses and reserves	$	4,959		$	1,791
Stock-based and deferred compensation	4,986			4,164
Intangible assets	8,456			8,187
Fixed assets	828			—
Net operating loss carry forwards	101,144			113,259
Tax credit carry forwards	36,644			32,446
Capital loss carry forwards	6,698			6,926
Unrealized loss on securities	758			758
Other	143			121
	164,616			167,652
Less: valuation allowance	(150,528		)	(149,209		)
Net deferred tax assets	14,088			18,443
Deferred tax liabilities:
Fixed Assets	—			1,897
Other	969			608
Total deferred tax liabilities	969			2,505
Net deferred tax assets	$	13,119		$	15,938

Schedule of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns Roll Forward

The following table summarizes the changes to unrecognized tax benefits for fiscal years 2013, 2012 and 2011 (in thousands):



Unrecognized tax benefit	Amount
Balance at January 1, 2011	7,741
Additions based on tax positions related to the current year	15,005
Additions based on tax positions of prior years	—
Additions for acquisition of SiliconBlue	298
Reduction for tax positions of prior years	(106		)
Settlements	(1,248		)
Reduction as a result of lapse of applicable statute of limitations	(138		)
Balance at December 31, 2011	21,552
Additions based on tax positions related to the current year	384
Additions based on tax positions of prior years	192
Reduction for tax positions of prior years	(26		)
Settlements	(30		)
Reduction as a result of lapse of applicable statute of limitations	(392		)
Balance at December 29, 2012	$	21,680
Additions based on tax positions related to the current year	1,600
Additions based on tax positions of prior years	68
Reduction for tax positions of prior years	—
Settlements	(338		)
Reduction as a result of lapse of applicable statute of limitations	(367		)
Balance at December 28, 2013	22,643