NOTE 7. CERTAIN BALANCE SHEET COMPONENTS

Inventories, net consisted of the following:


As of	September 30, 2011		December 31, 2010
(Dollars in thousands)
Raw materials	$	83,910	$	79,057
Work-in-process		8,026		5,672
Finished goods		123,745		108,123

Total inventories, net	$	215,681	$	192,852

Deferred costs of revenue are included within finished goods and were $19.7 million at September 30, 2011 and $14.0 million at December 31, 2010.

Other non-current liabilities consisted of the following:


As of	September 30, 2011		December 31, 2010
(Dollars in thousands)
Deferred compensation	$	9,620	$	9,736
Unrecognized tax benefits		16,935		17,830
Other non-current liabilities		20,662		15,277

Total other non-current liabilities	$	47,217	$	42,843

As of September 30, 2011 and December 31, 2010, the Company has $16.9 million and $17.8 million, respectively, of unrecognized tax benefits included in Other non-current liabilities that, if recognized, would favorably affect the effective income tax rate and interest and/or penalties related to income tax matters in future periods.