Derivative Financial Instruments (Tables)

3 Months Ended

Dec. 31, 2016

Jan. 02, 2016

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Notional Amounts of Outstanding Forward Contracts

As of December 31, 2016 and September 30, 2016, we had outstanding forward contracts with notional amounts equivalent to the following:

Currency Hedged	December 31, 2016		September 30, 2016
	(in thousands)
Canadian / U.S. Dollar	$	8,460	$	14,685
Swiss Franc / Euro	4,897		—
Chinese Yuan offshore / Euro	9,487		—
Euro / U.S. Dollar	206,717		174,120
Japanese Yen / Euro	36,907		32,782
Israeli Shekel / U.S. Dollar	5,704		7,271
Japanese Yen / U.S. Dollar	4,649		6,716
Swedish Krona / Euro	8,618		—
Swedish Krona / U.S. Dollar	4,644		3,852
Singapore Dollar / U.S. Dollar	75,429		1,448
All other	8,571		8,660
Total	$	374,083	$	249,534

As of December 31, 2016 and September 30, 2016, we had outstanding forward contracts designated as cash flow hedges with notional amounts equivalent to the following:

Currency Hedged	December 31, 2016		September 30, 2016
	(in thousands)
Euro / U.S. Dollar	$	32,893	$	26,181
Japanese Yen / U.S. Dollar	13,733		8,800
SEK / U.S. Dollar	2,165		4,078
Total	$	48,791	$	39,059

Net Gains and Losses on Foreign Currency Exposures

The following table shows the effect of the our derivative instruments designated as cash flow hedges in the Consolidated Statements of Operations for the three months ended December 31, 2016 and January 2, 2016 (in thousands):

Derivatives Designated as Hedging Instruments	Gain or (Loss) Recognized in OCI-Effective Portion				Location of Gain or (Loss) Reclassified from OCI into Income-Effective Portion	Gain or (Loss) Reclassified from OCI into Income-Effective Portion				Location of Gain or (Loss) Recognized-Ineffective Portion	Gain or (Loss) Recognized-Ineffective Portion
	Three Months Ended					Three Months Ended					Three Months Ended
	December 31, 2016		January 2, 2016			December 31, 2016		January 2, 2016			December 31, 2016		January 2, 2016
Forward Contracts	$	3,471	$	1,643	Software revenue	$	407	$	846	Interest and other expense, net	$	10	$	—

The following table shows the effect of our non-designated hedges in the Consolidated Statements of Operations for the three months ended December 31, 2016 and January 2, 2016:

Derivatives Not Designated as Hedging Instruments	Location of Gain or (Loss) Recognized in Income	Net realized and unrealized gain or (loss) (excluding the underlying foreign currency exposure being hedged)
		Three months ended
		December 31, 2016			January 2, 2016
		(in thousands)
Forward Contracts	Interest and other expense, net	$	(8,329	)	$	(1,014	)

In the three months ended December 31, 2016 and January 2, 2016, the foreign currency losses, net were $1.5 million and $0.0 million, respectively.

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value

The following table shows our derivative instruments measured at gross fair value as reflected in the Consolidated Balance Sheets:

	Fair Value of Derivatives Designated As Hedging Instruments				Fair Value of Derivatives Not Designated As Hedging Instruments
	December 31, 2016		September 30, 2016		December 31, 2016		September 30, 2016
	(in thousands)				(in thousands)
Derivative assets (1):
Forward Contracts	$	1,655	$	44	$	2,850	$	216
Derivative liabilities (2):
Forward Contracts	$	14	$	1,477	$	615	$	1,693
(1) As of December 31, 2016, $4,420 thousand current derivative assets are recorded in other current assets, and $85 thousand long term derivative assets are recorded in other assets in the Consolidated Balance Sheets. As of September 30, 2016, all derivative assets were recorded in other current assets in the Consolidated Balance Sheet.
(2) As of December 31, 2016, $628 thousand current derivative liabilities are recorded in accrued expenses and other current liabilities, and $1 thousand long term derivative liabilities are recorded in other liabilities in the Consolidated Balance Sheets. As of September 30, 2016, all derivative liabilities were recorded in accrued expenses and other current liabilities in the Consolidated Balance Sheets.

Offsetting Assets

The following table sets forth the offsetting of derivative assets as of December 31, 2016:

	Gross Amounts Offset in the Consolidated Balance Sheets						Gross Amounts Not Offset in the Consolidated Balance Sheets
As of December 31, 2016	Gross Amount of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheets		Net Amounts of Assets Presented in the Consolidated Balance Sheets		Financial Instruments			Cash Collateral Received		Net Amount
	(in thousands)
Forward Contracts	$	4,505	$	—	$	4,505	$	(629	)	$	—	$	3,876

Offsetting Liabilities

The following table sets forth the offsetting of derivative liabilities as of December 31, 2016:

	Gross Amounts Offset in the Consolidated Balance Sheets						Gross Amounts Not Offset in the Consolidated Balance Sheets
As of December 31, 2016	Gross Amount of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheets		Net Amounts of Liabilities Presented in the Consolidated Balance Sheets		Financial Instruments			Cash Collateral Pledged		Net Amount
	(in thousands)
Forward Contracts	$	629	$	—	$	629	$	(629	)	$	—	$	—