10-Q

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 10-Q

(Mark One)

ý QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 25, 2015

Or

o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from                   to                  

Commission file number 0-23354

FLEXTRONICS INTERNATIONAL LTD.

(Exact name of registrant as specified in its charter)

Singapore	Not Applicable
(State or other jurisdiction of	(I.R.S. Employer
incorporation or organization)	Identification No.)

2 Changi South Lane,
Singapore	486123
(Address of registrant’s principal executive offices)	(Zip Code)

 Registrant’s telephone number, including area code

(65) 6876-9899

Indicate by check mark whether the Registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ý No o

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes ý No o

Indicate by check mark whether the Registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer ý	Accelerated filer o
Non-accelerated filer o	Smaller reporting company o
(Do not check if a smaller reporting company)

Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes o No ý

Indicate the number of shares outstanding of each of the registrant’s classes of common stock, as of the latest practicable date.

Class	Outstanding at October 20, 2015
Ordinary Shares, No Par Value	556,305,165

FLEXTRONICS INTERNATIONAL LTD.

INDEX

		Page
PART I. FINANCIAL INFORMATION
Item 1.	Financial Statements	3
	Report of Independent Registered Public Accounting Firm	3
	Condensed Consolidated Balance Sheets (unaudited) — September 25, 2015 and March 31, 2015	4
	Condensed Consolidated Statements of Operations (unaudited) — Three-Month and Six-Month Periods Ended September 25, 2015 and September 26, 2014	5
	Condensed Consolidated Statements of Comprehensive Income (unaudited) — Three-Month and Six-Month Periods Ended September 25, 2015 and September 26, 2014	6
	Condensed Consolidated Statements of Cash Flows (unaudited) — Six-Month Periods Ended September 25, 2015 and September 26, 2014	7
	Notes to Condensed Consolidated Financial Statements (unaudited)	8
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	34
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	43
Item 4.	Controls and Procedures	43
PART II. OTHER INFORMATION
Item 1.	Legal Proceedings	43
Item 1A.	Risk Factors	43
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	44
Item 3.	Defaults Upon Senior Securities	45
Item 4.	Mine Safety Disclosures	45
Item 5.	Other Information	45
Item 6.	Exhibits	45
Signatures		46

2

PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Directors and Shareholders of

Flextronics International Ltd.

Singapore

We have reviewed the accompanying condensed consolidated balance sheet of Flextronics International Ltd. and subsidiaries (the “Company”) as of September 25, 2015, and the related condensed consolidated statements of operations and of comprehensive income for the three-month and six-month periods ended September 25, 2015, and September 26, 2014, and the condensed consolidated statements of cash flows for the six-month periods ended September 25, 2015 and September 26, 2014. These interim financial statements are the responsibility of the Company’s management.

We conducted our reviews in accordance with the standards of the Public Company Accounting Oversight Board (United States). A review of interim financial information consists principally of applying analytical procedures and making inquiries of persons responsible for financial and accounting matters. It is substantially less in scope than an audit conducted in accordance with the standards of the Public Company Accounting Oversight Board (United States), the objective of which is the expression of an opinion regarding the financial statements taken as a whole. Accordingly, we do not express such an opinion.

Based on our reviews, we are not aware of any material modifications that should be made to such condensed consolidated interim financial statements for them to be in conformity with accounting principles generally accepted in the United States of America.

We have previously audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States), the consolidated balance sheet of Flextronics International Ltd. and subsidiaries as of March 31, 2015, and the related consolidated statements of operations, comprehensive income, shareholders’ equity, and cash flows for the year then ended (not presented herein); and in our report dated May 20, 2015, we expressed an unqualified opinion on those consolidated financial statements. In our opinion, the information set forth in the accompanying condensed consolidated balance sheet as of March 31, 2015 is fairly stated, in all material respects, in relation to the consolidated balance sheet from which it has been derived.

/s/ DELOITTE & TOUCHE LLP

San Jose, California

October 26, 2015

3

FLEXTRONICS INTERNATIONAL LTD.

CONDENSED CONSOLIDATED BALANCE SHEETS

	As of    September 25, 2015			As of    March 31, 2015
	(In thousands, except share amounts) (Unaudited)
ASSETS
Current assets:
Cash and cash equivalents	$	1,668,427		$	1,628,408
Accounts receivable, net of allowance for doubtful accounts	2,546,810			2,337,515
Inventories	3,561,326			3,488,752
Other current assets	1,208,931			1,286,225
Total current assets	8,985,494			8,740,900
Property and equipment, net	2,218,030			2,092,167
Goodwill and other intangible assets, net	981,838			415,175
Other assets	474,977			417,382
Total assets	$	12,660,339		$	11,665,624
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Bank borrowings and current portion of long-term debt	$	47,972		$	46,162
Accounts payable	4,787,941			4,561,194
Accrued payroll	401,000			339,739
Other current liabilities	1,795,867			1,809,128
Total current liabilities	7,032,780			6,756,223
Long-term debt, net of current portion	2,618,178			2,037,571
Other liabilities	553,806			475,580
Commitments and contingencies (Note 13)
Shareholders’ equity
Flextronics International Ltd. shareholders’ equity
Ordinary shares, no par value; 607,536,479 and 613,562,761 issued, and 557,297,124 and 563,323,406 outstanding as of September 25, 2015 and March 31, 2015, respectively	7,111,513			7,265,827
Treasury stock, at cost; 50,239,355 shares as of September 25, 2015 and March 31, 2015	(388,215		)	(388,215		)
Accumulated deficit	(4,102,466		)	(4,336,293		)
Accumulated other comprehensive loss	(200,704		)	(180,505		)
Total Flextronics International Ltd. shareholders’ equity	2,420,128			2,360,814
Noncontrolling interests	35,447			35,436
Total shareholders’ equity	2,455,575			2,396,250
Total liabilities and shareholders’ equity	$	12,660,339		$	11,665,624

The accompanying notes are an integral part of these condensed consolidated financial statements.

4

FLEXTRONICS INTERNATIONAL LTD.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

	Three-Month Periods Ended					Six-Month Periods Ended
	September 25, 2015		September 26, 2014			September 25, 2015		September 26, 2014
	(In thousands, except per share amounts) (Unaudited)
Net sales	$	6,316,762	$	6,528,517		$	11,883,010	$	13,171,262
Cost of sales	5,919,846		6,151,436			11,133,753		12,413,396
Gross profit	396,916		377,081			749,257		757,866
Selling, general and administrative expenses	216,796		204,590			426,181		413,867
Intangible amortization	16,127		8,232			23,798		15,183
Interest and other, net	22,035		12,506			38,540		31,143
Other charges (income), net	1,678		(2,584		)	1,842		(46,593		)
Income before income taxes	140,280		154,337			258,896		344,266
Provision for income taxes	17,303		15,434			25,069		31,476
Net income	$	122,977	$	138,903		$	233,827	$	312,790
Earnings per share
Basic	$	0.22	$	0.24		$	0.41	$	0.53
Diluted	$	0.22	$	0.23		$	0.41	$	0.52
Weighted-average shares used in computing per share amounts:
Basic	563,333		585,760			564,417		586,497
Diluted	569,655		595,871			573,288		598,586

The accompanying notes are an integral part of these condensed consolidated financial statements.

5

FLEXTRONICS INTERNATIONAL LTD.

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

	Three-Month Periods Ended						Six-Month Periods Ended
	September 25, 2015			September 26, 2014			September 25, 2015			September 26, 2014
	(In thousands) (Unaudited)
Net income	$	122,977		$	138,903		$	233,827		$	312,790
Other comprehensive income (loss):
Foreign currency translation adjustments, net of zero tax	(30,267		)	(5,683		)	(27,484		)	(9,828		)
Unrealized gain (loss) on derivative instruments and other, net of zero tax	(5,544		)	(2,433		)	7,285			8,292
Comprehensive income	$	87,166		$	130,787		$	213,628		$	311,254

The accompanying notes are an integral part of these condensed consolidated financial statements.

6

FLEXTRONICS INTERNATIONAL LTD.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

	Six-Month Periods Ended
	September 25, 2015			September 26, 2014
	(In thousands) (Unaudited)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$	233,827		$	312,790
Depreciation, amortization and other impairment charges	230,894			260,328
Changes in working capital and other	197,274			(266,873		)
Net cash provided by operating activities	661,995			306,245
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property and equipment	(296,401		)	(167,204		)
Proceeds from the disposition of property and equipment	2,383			28,809
Acquisition and divestiture of businesses, net of cash acquired and cash held in divested business	(641,913		)	(38,082		)
Other investing activities, net	(10,516		)	(28,855		)
Net cash used in investing activities	(946,447		)	(205,332		)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from bank borrowings and long-term debt	595,553			11,387
Repayments of bank borrowings and long-term debt	(21,090		)	(9,185		)
Payments for repurchases of ordinary shares	(241,978		)	(206,771		)
Net proceeds from issuance of ordinary shares	49,074			11,412
Other financing activities, net	(37,872		)	3,382
Net cash provided by (used in) financing activities	343,687			(189,775		)
Effect of exchange rates on cash and cash equivalents	(19,216		)	9,486
Net increase (decrease) in cash and cash equivalents	40,019			(79,376		)
Cash and cash equivalents, beginning of period	1,628,408			1,593,728
Cash and cash equivalents, end of period	$	1,668,427		$	1,514,352
Non-cash investing activity:
Unpaid purchases of property and equipment	$	99,178		$	51,814

The accompanying notes are an integral part of these condensed consolidated financial statements.

7

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

1.  ORGANIZATION OF THE COMPANY AND BASIS OF PRESENTATION

Organization of the Company

Flextronics International Ltd. ("Flex", or the "Company") was incorporated in the Republic of Singapore in May 1990. The Company's operations have expanded over the years through a combination of organic growth and acquisitions. The Company is a globally-recognized leading provider of innovative design, engineering, manufacturing, and supply chain services and solutions that span from sketch to scale; from conceptual sketch to full-scale production. The Company designs, builds, ships and services complete packaged consumer electronics and industrial products for original equipment manufacturers ("OEMs"), through its activities in the following reportable segments: High Reliability Solutions ("HRS"), which is comprised of medical business including medical equipment, disposables, drug delivery, and diagnostics; our automotive business, including automotive electronics, automotive lighting, and power electronics; and defense and aerospace businesses focused on defense, civil aviation, and homeland security; Consumer Technology Group ("CTG"), which includes mobile devices business, including smart phones; consumer electronics business, including connected living, wearable electronics, digital health, game consoles, and connectivity devices; and high-volume computing business, including various supply chain solutions for notebook personal computing, tablets, and printers; Industrial and Emerging Industries ("IEI"), which is comprised of semiconductor and capital equipment, office solutions, household industrial and lifestyle, industrial automation and kiosks, energy and metering, and lighting; and Integrated Network Solutions ("INS"), which includes radio access base stations, remote radio heads, and small cells for wireless infrastructure; optical, routing, broadcasting and switching products for the data and video network; server and storage platforms for both enterprise and cloud based deployments; next generation storage and security appliance products; and rack level solutions, converged infrastructure and software defined product solutions. The Company's strategy is to provide customers with a full range of cost competitive, vertically integrated global supply chain solutions through which the Company can design, build, ship and service a complete packaged product for its OEM customers. This enables our OEM customers to leverage the Company's supply chain solutions to meet their product requirements throughout the entire product life cycle.

        The Company's service offerings include a comprehensive range of value-added design and engineering services that are tailored to the various markets and needs of its customers. Other focused service offerings relate to manufacturing (including enclosures, metals, plastic injection molding, precision plastics, machining, and mechanicals), system integration and assembly and test services, materials procurement, inventory management, logistics and after-sales services (including product repair, warranty services, re-manufacturing and maintenance) and supply chain management software solutions and component product offerings (including rigid and flexible printed circuit boards and power adapters and chargers).

Basis of Presentation

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP” or “GAAP”) for interim financial information and in accordance with the requirements of Rule 10-01 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements, and should be read in conjunction with the Company’s audited consolidated financial statements as of and for the fiscal year ended March 31, 2015 contained in the Company’s Annual Report on Form 10-K. In the opinion of management, all adjustments (consisting only of normal recurring adjustments) considered necessary for a fair presentation have been included. Operating results for the three-month and six-month periods ended September 25, 2015 are not necessarily indicative of the results that may be expected for the fiscal year ending March 31, 2016.

The first quarters for fiscal year 2016 and fiscal year 2015 ended on June 26, 2015 and June 27, 2014, respectively. The second quarters for fiscal year 2016 and fiscal year 2015 ended on September 25, 2015 and September 26, 2014, respectively.

The accompanying unaudited condensed consolidated financial statements include the financial position and results of operations of a majority-owned subsidiary of the Company. Noncontrolling interests are presented as a separate component of total shareholders' equity in the condensed consolidated balance sheets. The operating results of the subsidiary attributable to the noncontrolling interests are immaterial for all of the periods presented, and are included in other charges (income), net in the condensed consolidated statements of operations.

Recent Accounting Pronouncement

8

In September 2015, the Financial Accounting Standards Board (“FASB”) issued new guidance to simplify the accounting for adjustments made to provisional amounts recognized in a business combination. Under previous guidance, the acquirer retrospectively adjusted the provisional amounts recognized at the acquisition date with a corresponding adjustment to goodwill, and would have to revise comparative information for prior periods presented in financial statements as needed. The update requires an entity to present separately on the face of the income statement or disclose in the notes the portion of the amount recorded in current-period earnings by line item that would have been recorded in previous reporting periods if the adjustment to the provisional amounts had been recognized as of the acquisition date. The new guidance is effective for the Company beginning fiscal year 2017, with early application permitted. The Company is currently assessing the impact of this update and the timing of adoption.

In July 2015, the FASB issued new guidance to simplify the measurement of inventory, by requiring that inventory be measured at the lower of cost and net realizable value. Prior to the issuance of the new guidance, inventory was measured at the lower of cost or market. This guidance is effective for the Company beginning in the first quarter of fiscal year 2018, with early application permitted as of the beginning of an interim or annual reporting period. The Company is currently assessing the impact of this update and the timing of adoption.

In May 2014, the FASB issued new guidance which requires an entity to recognize revenue relating to contracts with customers that depicts the transfer of promised goods or services to customers in an amount reflecting the consideration to which the entity expects to be entitled in exchange for such goods or services. In order to meet this requirement, the entity must apply the following steps: (i) identify the contracts with the customers; (ii) identify performance obligations in the contracts; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations per the contracts; and (v) recognize revenue when (or as) the entity satisfies a performance obligation. Additionally, disclosures required for revenue recognition will include qualitative and quantitative information about contracts with customers, significant judgments and changes in judgments, and assets recognized from costs to obtain or fulfill a contract. In July 2015, the FASB deferred the effective date of the standard by a year. This guidance is effective for the Company beginning in the first quarter of fiscal year 2019. The Company is in the process of assessing the impact on its consolidated financial statements.

2.  BALANCE SHEET ITEMS

Inventories

The components of inventories, net of applicable lower of cost or market write-downs, were as follows:

	As of    September 25, 2015		As of    March 31, 2015
	(In thousands)
Raw materials	$	2,265,927	$	2,330,428
Work-in-progress	669,280		557,786
Finished goods	626,119		600,538
	$	3,561,326	$	3,488,752

Goodwill and Other Intangible Assets

The following table summarizes the activity in the Company’s goodwill account for each of its four segments during the six-month period endedSeptember 25, 2015:

9

		HRS			CTG		IEI		INS		Amount
	(In thousands)
Balance, beginning of the year		$	93,138		$	68,234	$	64,221	$	108,038	$	333,631
Additions (1)		292,608			—		2,982		3,575		299,165
Purchase accounting adjustments (2)		125			—		—		—		125
Foreign currency translation adjustments		(5,562		)	—		—		—		(5,562		)
Balance, end of the period		$	380,309		$	68,234	$	67,203	$	111,613	$	627,359

(1) The goodwill generated from the Company’s business combinations completed during the six-month period endedSeptember 25, 2015 is primarily related to value placed on the acquired employee workforces, service offerings and capabilities of the acquired businesses. The goodwill is not deductible for income tax purposes. See note 12 for additional information.

(2) Includes adjustments based on management's estimates resulting from their review and finalization of the valuation of assets and liabilities acquired through certain business combinations completed in a period subsequent to the respective acquisition. These adjustments were not individually, nor in the aggregate, significant to the Company.

The components of acquired intangible assets are as follows:

	As of September 25, 2015							As of March 31, 2015
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
	(In thousands)
Intangible assets:
Customer-related intangibles	$	279,204	$	(93,401	)	$	185,803	$	133,853	$	(80,506	)	$	53,347
Licenses and other intangibles	190,742		(22,066		)	168,676		39,985		(11,788		)	28,197
Total	$	469,946	$	(115,467	)	$	354,479	$	173,838	$	(92,294	)	$	81,544

The gross carrying amounts of intangible assets are removed when the recorded amounts have been fully amortized.  During the six-month period endedSeptember 25, 2015, the total value of intangibles assets increased primarily in connection with the Company's acquisition of Mirror Controls International ("MCi"). This acquisition contributed an additional $131.4 million in customer-related intangible assets, and $148.6 million in licenses and other intangibles assets. See note 12 for additional information. The estimated future annual amortization expense for intangible assets is as follows:

Fiscal Year Ending March 31,	Amount
	(In thousands)
2016 (1)	$	30,583
2017	54,734
2018	48,934
2019	44,593
2020	39,971
Thereafter	135,664
Total amortization expense	$	354,479

____________________________________________________________

(1) Represents estimated amortization for the remaining six-month period ending March 31, 2016.

Other Current Assets

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Other current assets includes approximately $537.6 million and $600.7 million as of September 25, 2015 and March 31, 2015, respectively, for the deferred purchase price receivable from the Company's Global and North American Asset-Backed Securitization programs. See note 10 for additional information.

In connection with a prior acquisition, the Company entered into an agreement with a customer and a third party banking institution to procure certain manufacturing equipment that was financed by the third party banking institution, acting as an agent of the customer.  The manufacturing equipment was used exclusively for the benefit of this customer.  The Company cannot be required to pay cash by either the customer or the third party banking institution. 

During fiscal year 2015, the Company ceased manufacturing of the product related to the financed equipment.  As a result, the Company as an agent on behalf of the customer is in the process of dispositioning the equipment and forwarding the proceeds to the third party banking institution reducing the outstanding obligation. Included in other current assets is the value of the certain assets purchased on behalf of a customer and financed by a third party banking institution in the amounts of $83.7 million and $169.2 million as of September 25, 2015 and March 31, 2015, respectively. Additionally, other current assets as of September 25, 2015 includes an amount of $73.6 million relating to these assets that have been sold to third parties but not yet collected.

During the six-month period endedSeptember 25, 2015, the Company disposed of all of the assets and the remaining amount of $83.7 million reflects the shortfall between the original purchase price of these assets and the amount recovered by selling them to third parties. The Company expects this amount to be funded by the customer, which in turn would be paid back to the third party banking institution.

Other Current Liabilities

Other current liabilities includes customer working capital advances of $147.1 million and $189.6 million, customer-related accruals of $506.2 million and $454.8 million, and deferred revenue of $278.4 million and $272.6 million as of September 25, 2015 and March 31, 2015, respectively. The customer working capital advances are not interest-bearing, do not have fixed repayment dates and are generally reduced as the underlying working capital is consumed in production. Other current liabilities also includes the outstanding balance due to the third party banking institution related to the financed equipment discussed above, that amounted to $161.5 million and $197.7 million as of September 25, 2015 and March 31, 2015, respectively.

3.  SHARE-BASED COMPENSATION

The following table summarizes the Company’s share-based compensation expense:

	Three-Month Periods Ended				Six-Month Periods Ended
	September 25, 2015		September 26, 2014		September 25, 2015		September 26, 2014
	(In thousands)
Cost of sales	$	2,015	$	1,868	$	4,033	$	3,478
Selling, general and administrative expenses	14,185		9,051		28,293		19,122
Total share-based compensation expense	$	16,200	$	10,919	$	32,326	$	22,600

Total unrecognized compensation expense related to share options is not significant. As of September 25, 2015, the number of options outstanding and exercisable was 5.8 million at a weighted-average exercise price of $5.44 per share.

During the six-month period endedSeptember 25, 2015, the Company granted 6.1 million unvested share bonus awards under the Company's 2010 Equity Incentive Plan. Of this amount, approximately 5.2 million unvested share bonus awards have an average grant date price of $11.97 per share. Further, approximately 0.7 million of these unvested shares represents the target amount of grants made to certain key employees whereby vesting is contingent on certain market conditions. The average grant date fair value of these awards contingent on certain market conditions was estimated to be $14.96 per award and was calculated using a Monte Carlo simulation. The remaining 0.2 million of unvested shares bonus awards have an average grant date price of $12.10 per share and represents the target amount of grants made to certain executive officers whereby vesting is contingent on meeting certain free cash flow targets. The number of shares contingent on market conditions that ultimately will

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vest range from zero up to a maximum of 1.4 million based on a measurement of the percentile rank of the Company’s total shareholder return over a certain specified period against the Standard and Poor’s (“S&P”) 500 Composite Index and will cliff vest after a period of three years, if such market conditions have been met. The number of shares contingent on free cash flow targets that ultimately will vest range from zero up to a maximum of 0.4 million of the target payment based on a measurement of cumulative three-year increase of free cash flow from operations of the Company, and will cliff vest after a period of three years.

As of September 25, 2015, approximately 17.3 million unvested share bonus awards were outstanding, of which vesting for a targeted amount of 3.7 million is contingent primarily on meeting certain market conditions. The number of shares that will ultimately be issued can range from zero to 7.4 million based on the achievement levels of the respective conditions. During the six-month period ended September 25, 2015, 2.2 million shares vested in connection with the share bonus awards with market conditions granted in fiscal year 2013, and 0.5 million shares vested in connection with the share bonus awards with market conditions granted in fiscal year 2012.

As of September 25, 2015, total unrecognized compensation expense related to unvested share bonus awards is $122.5 million, net of estimated forfeitures, and will be recognized over a weighted-average remaining vesting period of 2.76 years. Approximately $20.0 million of the total unrecognized compensation cost, net of estimated forfeitures, is related to awards whereby vesting is contingent on meeting certain market conditions.

Subsequent to September 25, 2015, in conjunction with the acquisition of NEXTracker Inc. ("NEXTracker"), the Company agreed to assume all of the outstanding, unvested restricted stock units and outstanding, unvested options to purchase shares of common stock of NEXTracker.

4.  EARNINGS PER SHARE

The following table reflects the basic weighted-average ordinary shares outstanding and diluted weighted-average ordinary share equivalents used to calculate basic and diluted earnings per share attributable to the shareholders of Flextronics International Ltd.:

	Three-Month Periods Ended				Six-Month Periods Ended
	September 25, 2015		September 26, 2014		September 25, 2015		September 26, 2014
	(In thousands, except per share amounts)
Net income	$	122,977	$	138,903	$	233,827	$	312,790
Shares used in computation:
Weighted-average ordinary shares outstanding	563,333		585,760		564,417		586,497
Basic earnings per share	0.22		0.24		0.41		0.53
Diluted earnings per share:
Net income	$	122,977	$	138,903	$	233,827	$	312,790
Shares used in computation:
Weighted-average ordinary shares outstanding	563,333		585,760		564,417		586,497
Weighted-average ordinary share equivalents from stock options and awards (1) (2)	6,322		10,111		8,871		12,089
Weighted-average ordinary shares and ordinary share equivalents outstanding	569,655		595,871		573,288		598,586
Diluted earnings per share	0.22		0.23		0.41		0.52

____________________________________________________________

(1)  Options to purchase ordinary shares of 1.1 million and 7.0 million during the three-month periods ended September 25, 2015 and September 26, 2014, respectively, and share bonus awards of 5.3 million and 0.8 million for the three-month periods ended September 25, 2015 and September 26, 2014, respectively, were excluded from the computation of diluted earnings per share due to their anti-dilutive impact on the weighted-average ordinary share equivalents.

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(2)  Options to purchase ordinary shares of 1.2 million and 12.1 million during the six-month periods endedSeptember 25, 2015 and September 26, 2014, respectively, and share bonus awards of 2.9 million and 0.4 million for the six-month periods ended September 25, 2015 and September 26, 2014, respectively, were excluded from the computation of diluted earnings per share due to their anti-dilutive impact on the weighted-average ordinary share equivalents.

5.  BANK BORROWINGS AND LONG TERM DEBT

Bank borrowings and long-term debt are as follows:

	As of September 25, 2015		As of March 31, 2015
	(In thousands)
Term Loan, including current portion, due in installments through August 2018	$	588,750	$	592,500
Term Loan, including current portion, due in installments through March 2019	468,750		475,000
4.625% Notes due February 2020	500,000		500,000
5.000% Notes due February 2023	500,000		500,000
4.750% Notes due June 2025	595,402		—
Other	13,248		16,233
Total	$	2,666,150	$	2,083,733

The weighted-average interest rates for the Company’s long-term debt were 3.5% and 3.2% as of September 25, 2015 and March 31, 2015, respectively,

On June 8, 2015, the Company issued $600 million of 4.750% Notes ("Notes") due June 15, 2025 in a private offering pursuant to Rule 144A and Regulation S under the Securities Act, at a discount of 99.213%, and an effective rate of approximately 4.850%. The Company received net proceeds of approximately $595.3 million from the issuance which will be used for general corporate purposes.

The Company incurred approximately $7.9 million of costs in conjunction with the issuance of the Notes. The issuance costs were capitalized and will be amortized over the life of the Notes.

Interest on the Notes is payable semi-annually, commencing on December 15, 2015. The Notes are senior unsecured obligations of the Company, rank equally with all of the Company's other existing and future senior and unsecured debt obligations, and are guaranteed, jointly and severally, fully and unconditionally on an unsecured basis, by each of the Company's 100% owned subsidiaries that guarantees indebtedness under, or is a borrower under, the Company's Term Loan Agreement and Revolving Line of Credit.

At any time prior to March 15, 2025, the Company may redeem some or all of the Notes at a redemption price equal to 100% of the principal amount of the Notes redeemed, plus an applicable premium and accrued and unpaid interest, if any, to the applicable redemption date. Upon the occurrence of a change of control repurchase event (as defined in the Notes indenture), the Company must offer to repurchase the Notes at a repurchase price equal to 101% of the principal amount of the Notes repurchased, plus accrued and unpaid interest, if any, to the applicable repurchase date.

The indenture governing the Notes contains covenants that, among other things, restrict the ability of the Company and certain of the Company's subsidiaries to create liens; enter into sale-leaseback transactions; create, incur, issue, assume or guarantee any funded debt; and consolidate or merge with, or convey, transfer or lease all or substantially all of the Company's assets to, another person, or permit any other person to consolidate, merge, combine or amalgamate with or into the Company. These covenants are subject to a number of significant limitations and exceptions set forth in the indenture. The indenture also provides for customary events of default, including, but not limited to, cross defaults to certain specified other debt of the Company and its subsidiaries. In the case of an event of default arising from specified events of bankruptcy or insolvency, all outstanding Notes will become due and payable immediately without further action or notice. If any other event of default under the agreement occurs or is continuing, the applicable trustee or holders of at least 25% in aggregate principal amount of the then outstanding Notes may declare all of the Notes to be due and payable immediately, but upon certain conditions such

13

declaration and its consequences may be rescinded and annulled by the holders of a majority in principal amount of the Notes. As of September 25, 2015, the Company was in compliance with the covenants in the indenture governing the Notes.

In connection with the issuance of the Notes, the Company entered into a registration rights agreement under which it has agreed to consummate an offer registered with the Securities and Exchange Commission to issue new notes having terms substantially identical to the Notes (except that the new notes will not be subject to restrictions on transfer) in exchange for outstanding Notes. In some circumstances, the Company may be required to file a shelf registration statement to cover resale of the Notes. If the Company fails to satisfy these obligations, the Company may be required to pay additional interest to holders of the Notes under certain circumstances.

Repayment of the Company’s long term debt outstanding as of September 25, 2015 is as follows:

Fiscal Year Ending March 31,	Amount
	(In thousands)
2016 (1)	$	30,000
2017	52,500
2018	52,500
2019	922,500
2020	500,000
Thereafter	1,108,650
Total	$	2,666,150

____________________________________________________________

(1) Represents scheduled repayment for the remaining six-month period ending March 31, 2016.

On September 30, 2015, the Company amended its $2.0 billion credit facility to increase the $500 million term loan maturing in March 2019 by an additional borrowing of $100.0 million. All other terms remained unchanged.

On October 1, 2015, the Company entered into a €50 million (approximately $56.0 million as of September 25, 2015), 5-year, unsecured, term-loan agreement due September 30, 2020.

6.  INTEREST AND OTHER, NET

During the three-month and six-month periods endedSeptember 25, 2015, the Company recognized interest expense of $25.1 million and $45.2 million, respectively, on its debt obligations outstanding during the periods.During the three-month and six-month periods endedSeptember 26, 2014, the Company recognized interest expense of $19.0 million and $37.5 million, respectively.

During the three-month and six-month periods endedSeptember 25, 2015, the Company recognized interest income of $4.3 million and $7.8 million, respectively. During the three-month and six-month periods endedSeptember 26, 2014, the Company recognized interest income of $4.8 million and $10.1 million, respectively. 

During the three-month and six-month periods endedSeptember 25, 2015, the Company recognized gains on foreign exchange transactions of $12.4 million and $14.6 million, respectively.  During the three-month and six-month periods endedSeptember 26, 2014, the Company recognized gains on foreign exchange transactions of $6.8 million and $5.4 million, respectively.

During the three-month and six-month periods ended September 25, 2015, the Company incurred $8.1 million of acquisition-related costs.

7.  OTHER CHARGES (INCOME), NET

During the three-month and six-month periods ended September 25, 2015, the Company incurred expenses of $1.6 million related to a refund in connection with the disposition of a certain manufacturing facility in Western Europe.

During the six-month period ended September 26, 2014, an amendment to a customer contract to reimburse a customer for certain performance provisions was executed which included the removal of a $55.0 million contractual obligation recognized

14

during fiscal year 2014. Accordingly, the Company reversed the charge recognized in fiscal year 2014 with a corresponding credit to other charges (income), net in the consolidated statement of operations.

Further, during the six-month period ended September 26, 2014, the Company recognized a loss of $11.0 million in connection with the disposition of a manufacturing facility in Western Europe. The Company received $11.5 million in cash for the sale of $27.2 million in net assets of the facility. The loss also includes $4.6 million of transaction costs, partially offset by a credit of $9.3 million for the release of cumulative foreign translation gains triggered by the disposition.

8.  FINANCIAL INSTRUMENTS

Foreign Currency Contracts

The Company primarily enters into forward contracts and foreign currency swap contracts to manage the foreign currency risk associated with monetary accounts and anticipated foreign currency denominated transactions. The Company hedges committed exposures and does not engage in speculative transactions. As of September 25, 2015, the aggregate notional amount of the Company’s outstanding foreign currency contracts was $4.9 billion as summarized below:

	Foreign Currency Amount		Notional Contract Value in USD
Currency	Buy	Sell	Buy		Sell
	(In thousands)
Cash Flow Hedges
CNY	1,543,000	—	$	241,709	$	—
EUR	4,790	60,780	5,367		69,534
HUF	13,758,000	—	49,370		—
ILS	176,700	—	44,759		—
MXN	1,414,000	—	82,580		—
MYR	196,000	—	45,094		—
Other	N/A	N/A	52,524		500
			521,403		70,034
Other Foreign Currency Contracts
BRL	—	686,000	—		165,929
CAD	19,200	12,500	14,403		9,377
CHF	16,919	43,701	17,320		44,712
CNY	4,719,018	3,236,303	738,966		512,000
DKK	197,200	155,700	29,614		23,382
EUR	597,631	1,007,752	670,293		1,130,041
GBP	32,393	59,840	49,449		91,382
HUF	20,332,000	20,408,000	72,961		73,234
ILS	62,000	85,100	15,705		21,556
JPY	2,256,614	1,700,061	18,807		14,079
MXN	1,473,560	331,830	86,059		19,380
MYR	384,331	94,650	88,423		21,776
SEK	474,290	886,483	56,315		105,026
SGD	43,268	8,348	30,353		5,856
Other	N/A	N/A	91,499		52,884
			1,980,167		2,290,614
Total Notional Contract Value in USD			$	2,501,570	$	2,360,648

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As of September 25, 2015, the fair value of the Company’s short-term foreign currency contracts was not material and is included in other current assets or other current liabilities, as applicable, in the condensed consolidated balance sheets. Certain of these contracts are designed to economically hedge the Company’s exposure to monetary assets and liabilities denominated in a non-functional currency and are not accounted for as hedges under the accounting standards. Accordingly, changes in the fair value of these instruments are recognized in earnings during the period of change as a component of interest and other, net in the condensed consolidated statements of operations. As of September 25, 2015 and March 31, 2015, the Company also has included net deferred losses in accumulated other comprehensive loss, a component of shareholders’ equity in the condensed consolidated balance sheets, relating to the effective portion of changes in fair value of its foreign currency contracts that are accounted for as cash flow hedges. These deferred losses totaled $9.7 million as of September 25, 2015, and are expected to be recognized primarily as a component of cost of sales in the condensed consolidated statements of operations primarily over the next twelve-month period. The gains and losses recognized in earnings due to hedge ineffectiveness were not material for all fiscal periods presented and are included as a component of interest and other, net in the condensed consolidated statements of operations.

The following table presents the fair value of the Company’s derivative instruments utilized for foreign currency risk management purposes:

	Fair Values of Derivative Instruments
	Asset Derivatives					Liability Derivatives
		Fair Value					Fair Value
	Balance Sheet Location	September 25, 2015		March 31, 2015		Balance Sheet Location	September 25, 2015		March 31, 2015
	(In thousands)
Derivatives designated as hedging instruments
Foreign currency contracts	Other current assets	$	2,507	$	2,896	Other current liabilities	$	11,923	$	19,729
Derivatives not designated as hedging instruments
Foreign currency contracts	Other current assets	$	17,119	$	22,933	Other current liabilities	$	14,581	$	11,328

The Company has financial instruments subject to master netting arrangements, which provides for the net settlement of all contracts with a single counterparty. The Company does not offset fair value amounts for assets and liabilities recognized for derivative instruments under these arrangements, and as such, the asset and liability balances presented in the table above reflect the gross amounts of derivatives in the condensed consolidated balance sheets. The impact of netting derivative assets and liabilities is not material to the Company’s financial position for any period presented.

9.  ACCUMULATED OTHER COMPREHENSIVE LOSS

The changes in accumulated other comprehensive loss by component, net of tax, are as follows:

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	Three-Month Periods Ended
	September 25, 2015									September 26, 2014
	Unrealized gain (loss) on derivative instruments and other			Foreign currency translation adjustments			Total			Unrealized gain (loss) on derivative instruments and other			Foreign currency translation adjustments			Total
	(In thousands)
Beginning balance	$	(55,437	)	$	(109,456	)	$	(164,893	)	$	(22,124	)	$	(97,452	)	$	(119,576	)
Other comprehensive loss before reclassifications	(13,818		)	(30,267		)	(44,085		)	(2,965		)	(3,099		)	(6,064		)
Net (gains) losses reclassified from accumulated other comprehensive loss	8,274			—			8,274			532			(2,584		)	(2,052		)
Net current-period other comprehensive loss	(5,544		)	(30,267		)	(35,811		)	(2,433		)	(5,683		)	(8,116		)
Ending balance	$	(60,981	)	$	(139,723	)	$	(200,704	)	$	(24,557	)	$	(103,135	)	$	(127,692	)

	Six-Month Periods Ended
	September 25, 2015									September 26, 2014
	Unrealized gain (loss) on derivative instruments and other			Foreign currency translation adjustments			Total			Unrealized gain (loss) on derivative instruments and other			Foreign currency translation adjustments			Total
	(In thousands)
Beginning balance	$	(68,266	)	$	(112,239	)	$	(180,505	)	$	(32,849	)	$	(93,307	)	$	(126,156	)
Other comprehensive gain (loss) before reclassifications	(14,419		)	(27,636		)	(42,055		)	(1,965		)	2,008			43
Net (gains) losses reclassified from accumulated other comprehensive loss	21,704			152			21,856			10,257			(11,836		)	(1,579		)
Net current-period other comprehensive gain (loss)	7,285			(27,484		)	(20,199		)	8,292			(9,828		)	(1,536		)
Ending balance	$	(60,981	)	$	(139,723	)	$	(200,704	)	$	(24,557	)	$	(103,135	)	$	(127,692	)

Net losses reclassified from accumulated other comprehensive loss during the six-month period ended September 25, 2015 relating to derivative instruments and other includes $20.7 million attributable to the Company’s cash flow hedge instruments which were recognized as a component of cost of sales in the condensed consolidated statement of operations.

During the six-month period ended September 26, 2014, the Company recognized a loss of $11.0 million in connection with the disposition of a manufacturing facility in Western Europe. This loss includes the settlement of unrealized losses of $4.2 million on an insignificant defined benefit plan associated with the disposed facility offset by the release of cumulative foreign currency translation gains of $9.3 million, both of which have been reclassified from accumulated other comprehensive loss during the period. The loss on sale is included in other charges (income), net in the condensed consolidated statement of operations.

Additionally, net gains reclassified from accumulated other comprehensive loss during the six-month period endedSeptember 26, 2014 includes $2.6 million in connection with cumulative translation gains related to the liquidation of a foreign entity, which is included in other charges (income), net in the condensed consolidated statement of operations.

Substantially all unrealized losses relating to derivative instruments and other, reclassified from accumulated other comprehensive loss for the three-month and six-month periods endedSeptember 26, 2014, was recognized as a component of

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cost of sales in the condensed consolidated statement of operations, which primarily relate to the Company’s foreign currency contracts accounted for as cash flow hedges.

10.  TRADE RECEIVABLES SECURITIZATION

The Company sells trade receivables under two asset-backed securitization programs and under an accounts receivable factoring program.

Asset-Backed Securitization Programs

The Company continuously sells designated pools of trade receivables under its Global Asset-Backed Securitization Agreement (the “Global Program”) and its North American Asset-Backed Securitization Agreement (the “North American Program,” collectively, the “ABS Programs”) to affiliated special purpose entities, each of which in turn sells 100% of the receivables to unaffiliated financial institutions. These programs allow the operating subsidiaries to receive a cash payment and a deferred purchase price receivable for sold receivables. Following the transfer of the receivables to the special purpose entities, the transferred receivables are isolated from the Company and its affiliates, and upon the sale of the receivables from the special purpose entities to the unaffiliated financial institutions, effective control of the transferred receivables is passed to the unaffiliated financial institutions, which has the right to pledge or sell the receivables. Although the special purpose entities are consolidated by the Company, they are separate corporate entities and their assets are available first to satisfy the claims of their creditors. The investment limits set by the financial institutions are $700.0 million for the Global Program, of which $600.0 million is committed and $100.0 million is uncommitted, and $265.0 million for the North American Program, of which $225.0 million is committed and $40.0 million is uncommitted. Both programs require a minimum level of deferred purchase price receivable to be retained by the Company in connection with the sales.

The Company services, administers and collects the receivables on behalf of the special purpose entities and receives a servicing fee of 0.1% to 0.5% of serviced receivables per annum. Servicing fees recognized during the three-month and six-month periods endedSeptember 25, 2015 and September 26, 2014 were not material and are included in interest and other, net within the condensed consolidated statements of operations. As the Company estimates the fee it receives in return for its obligation to service these receivables is at fair value, no servicing assets and liabilities are recognized.

As of September 25, 2015, approximately $1.4 billion of accounts receivable had been sold to the special purpose entities under the ABS Programs for which the Company had received net cash proceeds of approximately $890.0 million and deferred purchase price receivables of approximately $537.6 million. As of March 31, 2015, approximately $1.3 billion of accounts receivable had been sold to the special purpose entities for which the Company had received net cash proceeds of $740.7 million and deferred purchase price receivables of approximately $600.7 million. The portion of the purchase price for the receivables which is not paid by the unaffiliated financial institutions in cash is a deferred purchase price receivable, which is paid to the special purpose entity as payments on the receivables are collected from account debtors. The deferred purchase price receivable represents a beneficial interest in the transferred financial assets and is recognized at fair value as part of the sale transaction. The deferred purchase price receivables are included in other current assets as of September 25, 2015 and March 31, 2015, and were carried at the expected recovery amount of the related receivables. The difference between the carrying amount of the receivables sold under these programs and the sum of the cash and fair value of the deferred purchase price receivables received at time of transfer is recognized as a loss on sale of the related receivables and recorded in interest and other, net in the condensed consolidated statements of operations and were immaterial for all periods presented.

As of September 25, 2015 and March 31, 2015, the accounts receivable balances that were sold under the ABS Programs were removed from the condensed consolidated balance sheets and the net cash proceeds received by the Company were included as cash provided by operating activities in the condensed consolidated statements of cash flows.

For the six-month periods endedSeptember 25, 2015 and September 26, 2014, cash flows from sales of receivables under the ABS Programs consisted of approximately $2.4 billion and $2.1 billion, for transfers of receivables, respectively (of which approximately $255.3 million and $76.5 million, respectively, represented new transfers and the remainder proceeds from collections reinvested in revolving-period transfers).

The following table summarizes the activity in the deferred purchase price receivables account:

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	Three-Month Periods Ended						Six-Month Periods Ended
	September 25, 2015			September 26, 2014			September 25, 2015			September 26, 2014
	(In thousands)
Beginning balance	$	516,287		$	463,124		$	600,672		$	470,908
Transfers of receivables	983,677			720,921			1,750,725			1,499,781
Collections	(962,345		)	(757,988		)	(1,813,778		)	(1,544,632		)
Ending balance	$	537,619		$	426,057		$	537,619		$	426,057

Trade Accounts Receivable Sale Programs

The Company also sold accounts receivables to certain third-party banking institutions. The outstanding balance of receivables sold and not yet collected was approximately $339.1 million and $485.6 million as of September 25, 2015 and March 31, 2015, respectively. For the six-month periods endedSeptember 25, 2015 and September 26, 2014, total accounts receivable sold to certain third party banking institutions was approximately $1.2 billion and $2.3 billion, respectively. The receivables that were sold were removed from the condensed consolidated balance sheets and the cash received is reflected as cash provided by operating activities in the condensed consolidated statements of cash flows.

11.  FAIR VALUE MEASUREMENT OF ASSETS AND LIABILITIES

Fair value is defined as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required or permitted to be recorded at fair value, the Company considers the principal or most advantageous market in which it would transact, and it considers assumptions that market participants would use when pricing the asset or liability. The accounting guidance for fair value establishes a fair value hierarchy based on the level of independent, objective evidence surrounding the inputs used to measure fair value. A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The fair value hierarchy is as follows:

Level 1 - Applies to assets or liabilities for which there are quoted prices in active markets for identical assets or liabilities.

The Company has deferred compensation plans for its officers and certain other employees. Amounts deferred under the plans are invested in hypothetical investments selected by the participant or the participant’s investment manager. The Company’s deferred compensation plan assets are for the most part included in other noncurrent assets on the condensed consolidated balance sheets and primarily include investments in equity securities that are valued using active market prices.

Level 2 - Applies to assets or liabilities for which there are inputs other than quoted prices included within level 1 that are observable for the asset or liability such as quoted prices for similar assets or liabilities in active markets; quoted prices for identical assets or liabilities in markets with insufficient volume or infrequent transactions (less active markets) such as cash and cash equivalents and money market funds; or model-derived valuations in which significant inputs are observable or can be derived principally from, or corroborated by, observable market data.

The Company values foreign exchange forward contracts using level 2 observable inputs which primarily consist of an income approach based on the present value of the forward rate less the contract rate multiplied by the notional amount.

The Company’s cash equivalents are comprised of bank deposits and money market funds, which are valued using level 2 inputs, such as interest rates and maturity periods. Due to their short-term nature, their carrying amount approximates fair value.

The Company’s deferred compensation plan assets also include money market funds, mutual funds, corporate and government bonds and certain convertible securities that are valued using prices obtained from various pricing sources. These sources price these investments using certain market indices and the performance of these investments in relation to these indices. As a result, the Company has classified these investments as level 2 in the fair value hierarchy.

Level 3 - Applies to assets or liabilities for which there are unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of the assets or liabilities.

During the three-month period ended September 26, 2014, the Company accrued for certain contingent consideration in connection with its business acquisitions, which is measured at fair value based on internal cash flow models and other inputs.

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During the six-month period ended September 25, 2015, no additions to accrual, payments or fair value adjustments were incurred. The following table summarizes the activities related to contingent consideration:

	Three-Month Periods Ended				Six-Month Periods Ended
	September 25, 2015		September 26, 2014		September 25, 2015		September 26, 2014
	(In thousands)
Beginning balance	$	4,500	$	11,300	$	4,500	$	11,300
Additions to accrual	—		4,500		—		4,500
Payments	—		—		—		—
Fair value adjustments	—		—		—		—
Ending balance	$	4,500	$	15,800	$	4,500	$	15,800

The Company values deferred purchase price receivables relating to its asset-backed securitization program based on a discounted cash flow analysis using unobservable inputs (i.e., level 3 inputs), which are primarily risk free interest rates adjusted for the credit quality of the underlying creditor. Due to its high credit quality and short term maturity the fair value approximates carrying value. Significant increases in either of the major unobservable inputs (credit spread, risk free interest rate) in isolation would result in lower fair value estimates, however the impact is not meaningful. The interrelationship between these inputs is also insignificant. Refer to note 10 for a reconciliation of the change in the deferred purchase price receivable during the three-month and six-month periods endedSeptember 25, 2015 and September 26, 2014.

There were no transfers between levels in the fair value hierarchy during the three-month and six-month periods endedSeptember 25, 2015 and September 26, 2014.

Financial Instruments Measured at Fair Value on a Recurring Basis

The following table presents the Company’s assets and liabilities measured at fair value on a recurring basis:

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	Fair Value Measurements as of September 25, 2015
	Level 1		Level 2			Level 3			Total
	(In thousands)
Assets:
Money market funds and time deposits (included in cash and cash equivalents of the condensed consolidated balance sheet)	$	—	$	447,217		$	—		$	447,217
Deferred purchase price receivable (Note 10)	—		—			537,619			537,619
Foreign exchange contracts (Note 8)	—		19,626			—			19,626
Deferred compensation plan assets:									0
Mutual funds, money market accounts and equity securities	8,939		37,676			—			46,615
Liabilities:									0
Foreign exchange contracts (Note 8)	$	—	$	(26,504	)	$	—		$	(26,504	)
Contingent consideration in connection with business acquisitions	—		—			(4,500		)	(4,500		)
	Fair Value Measurements as of March 31, 2015
	Level 1		Level 2			Level 3			Total
	(In thousands)
Assets:
Money market funds and time deposits (included in cash and cash equivalents of the condensed consolidated balance sheet)	$	—	$	674,859		$	—		$	674,859
Deferred purchase price receivable (Note 10)	—		—			600,672			600,672
Foreign exchange contracts (Note 8)	—		25,829			—			25,829
Deferred compensation plan assets:									0
Mutual funds, money market accounts and equity securities	9,068		37,041			—			46,109
Liabilities:									0
Foreign exchange contracts (Note 8)	$	—	$	(31,057	)	$	—		$	(31,057	)
Contingent consideration in connection with business acquisitions	—		—			(4,500		)	(4,500		)

Other financial instruments

The following table presents the Company’s debt not carried at fair value:

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	As of September 25, 2015				As of March 31, 2015
	Carrying Amount		Fair Value		Carrying Amount		Fair Value		Fair Value Hierarchy
	(In thousands)
Term Loan, including current portion, due in installments through August 2018	$	588,750	$	586,177	$	592,500	$	582,131	Level 1
Term Loan, including current portion, due in installments through March 2019	468,750		466,992		475,000		465,500		Level 1
4.625% Notes due February 2020	500,000		520,625		500,000		523,750		Level 1
5.000% Notes due February 2023	500,000		502,750		500,000		543,150		Level 1
4.750% Notes due June 2025	595,402		585,000		—		—		Level 1
Total	$	2,652,902	$	2,661,544	$	2,067,500	$	2,114,531

The term loans and Notes due February 2020, February 2023 and June 2025 are valued based on broker trading prices in active markets.

12. BUSINESS AND ASSETS ACQUISITIONS

Acquisition of Mirror Controls International

On June 29, 2015, the Company completed its acquisition of MCi, and paid approximately $555.2 million, net of $27.7 million of cash acquired. This acquisition expanded the Company's capabilities in the automotive market, and was included in the HRS segment. The allocation of the purchase price to the tangible and identifiable intangible assets acquired and liabilities assumed was based on their estimated fair values as of the date of acquisition. The excess of the purchase price over the tangible and identifiable intangible assets acquired and liabilities assumed has been allocated to goodwill.

The following represents the Company's preliminary allocation of the total purchase price to the acquired assets and liabilities of MCi (in thousands):

Current assets:
Accounts receivable	$	41,392
Inventories	19,169
Other current assets	2,790
Total current assets	63,351
Property and equipment, net	39,256
Other assets	942
Intangibles	280,000
Goodwill	290,478
Total assets	$	674,027
Current liabilities:
Accounts payable	$	28,002
Accrued liabilities & other current liabilities	20,677
Total current liabilities	48,679
Other liabilities	70,190
Total aggregate purchase price	$	555,158

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The intangible assets of $280.0 million is comprised of customer relationships of $131.4 million and licenses and other intangibles assets of $148.6 million. Customer relationships are amortized over a weighted-average estimated useful life of 8 years and licenses and other intangibles assets are amortized over a weighted-average estimated useful life of 10 years. In addition to accounts receivable and inventories, the Company acquired $39.3 million of machinery and equipment and assumed $70.2 million of other liabilities primarily comprised of deferred tax liabilities. The Company incurred $6.7 million in acquisition-related costs related to the acquisition of MCi during the three-month period ended September 25, 2015.

Acquisition of a facility from Alcatel-Lucent

On July 1, 2015, the Company acquired an optical transport facility from Alcatel-Lucent for approximately $67.5 million, which expanded its capabilities in the telecom market and was included in the INS segment. The Company acquired primarily $55.0 million of inventory, $10.0 million of property and equipment primarily comprised of a building and land, and recorded goodwill and intangible assets for a customer relationship of $3.6 million and $2.1 million, respectively, and assumed $3.2 million in other net liabilities in connection with this acquisition. The customer relationship intangible will amortize over a weighted-average estimated useful life of 5 years. Acquisition-related costs for this acquisition were immaterial.

Other business acquisitions

Additionally, during the six-month period endedSeptember 25, 2015, the Company completed three acquisitions that were not individually, nor in the aggregate, significant to the consolidated financial position, results of operations and cash flows of the Company.  Two of the acquired businesses expanded the Company’s capabilities in the medical devices market, particularly precision plastics and molding within the HRS segment, and the other strengthened capabilities in the household industrial market within the IEI segment. The Company paid $15.3 million, net of $0.1 million of cash held by the acquirees. The Company primarily acquired $2.0 million of property and equipment, assumed liabilities of $0.6 million and recorded goodwill and intangibles of $18.9 million. 

The results of operations for each of the acquisitions in fiscal year 2016 were included in the Company’s consolidated financial results beginning on the date of each acquisition, and the amount of revenue and earnings of the acquisitions, collectively, were immaterial to the Company’s consolidated financial results for all periods presented. Proforma results of operations for the acquisitions in fiscal year 2016 have not been presented because the effects of the acquisitions, collectively, were immaterial to the Company’s consolidated financial results for all periods presented.

The Company is in the process of evaluating the fair value of the assets and liabilities related to business combinations completed during the recent periods. Additional information, which existed as of the acquisition date, may become known to the Company during the remainder of the measurement period, a period not to exceed 12 months from the date of acquisition. Changes to amounts recorded as assets and liabilities may result in a corresponding adjustment to goodwill during the respective measurement periods.

On September 28, 2015, the Company completed the acquisition of NEXTracker and paid approximately $245.0 million net of cash acquired, with potential contingent consideration of up to a maximum of $97.2 million upon achievement of future revenue performance targets. The financial results of NEXTracker will be included in the consolidated financial statements of the Company as part of the IEI segment beginning in the third quarter of fiscal year 2016.

13.  COMMITMENTS AND CONTINGENCIES

Litigation and other legal matters

On December 11, 2013, Xilinx, Inc. (plaintiff) filed a lawsuit in Santa Clara County, California, Superior Court against Flextronics International Ltd.; Flextronics International USA, Inc.; and Flextronics Corporation (Case No. 113CV257431). The complaint asserted various claims, including fraud, negligent misrepresentation, breach of contract, and unfair competition, based on specific alleged incidents concerning our purchases and sales of Xilinx products. The plaintiff sought an unspecified amount of compensatory, statutory, punitive, and other forms of damages, injunctive relief, and attorneys' fees and costs. The parties settled this action in August 2015 and it has been dismissed; the terms of the settlement were not material to the Company’s financial statements as a whole.

During the fourth quarter of fiscal year 2014, one of the Company's Brazilian subsidiaries received an assessment for certain sales and import taxes. The tax assessment notice is for nine months of calendar year 2010 for an alleged amount of 50 million Brazilian reals (approximately $12 million based on the exchange rate as of September 25, 2015) plus interest. This assessment is in the second stage of the review process at the administrative level, and the Company plans to continue to

23

vigorously oppose it as well as any future assessments. The Company is, however, unable to determine the likelihood of an unfavorable outcome of these assessments against our Brazilian subsidiary. While the Company believes there is no legal basis for the alleged liabilities, due to the complexities and uncertainty surrounding the administrative-review and judicial processes in Brazil and the nature of the claims, it is unable to reasonably estimate a range of loss for this assessment or any future assessments that are reasonably possible. The Company does not expect final judicial determination on these matters for several years.

During fiscal year 2015, one of the Company's non-operating Brazilian subsidiaries received an assessment of approximately $100 million related to income and social contribution taxes, interest and penalties. The Company believes there is no legal basis for the assessment and expects that any losses are remote. The Company plans to vigorously defend itself through the administrative and judicial processes.

In addition, from time to time, the Company is subject to legal proceedings, claims, and litigation arising in the ordinary course of business. The Company defends itself vigorously against any such claims. Although the outcome of these matters is currently not determinable, management expects that any losses that are probable or reasonably possible of being incurred as a result of these matters, which are in excess of amounts already accrued in the Company’s condensed consolidated balance sheets, would not be material to the financial statements as a whole.

14.  SHARE REPURCHASES

During the three-month and six-month periods endedSeptember 25, 2015, the Company repurchased 12.8 million shares at an aggregate purchase price of $138.0 million, and 20.6 million shares at an aggregate purchase price of $232.4 million, respectively, and retired all of these shares.

Under the Company’s current share repurchase program, the Board of Directors authorized repurchases of its outstanding ordinary shares for up to $500 million in accordance with the share repurchase mandate approved by the Company’s shareholders at the date of the most recent Extraordinary General Meeting held on August 20, 2015. As of September 25, 2015, shares in the aggregate amount of $422.5 million were available to be repurchased under the current plan.

15.  SEGMENT REPORTING

The Company has four reportable segments: HRS, CTG, IEI, and INS. These segments are determined based on several factors, including the nature of products and services, the nature of production processes, customer base, delivery channels and similar economic characteristics. Refer to note 1 for a description of the various product categories manufactured under each of these segments.

An operating segment's performance is evaluated based on its pre-tax operating contribution, or segment income. Segment income is defined as net sales less cost of sales, and segment selling, general and administrative expenses, and does not include amortization of intangibles, stock-based compensation, other charges (income), net and interest and other, net.

Selected financial information by segment is as follows:

24

	Three-Month Periods Ended						Six-Month Periods Ended
	September 25, 2015			September 26, 2014			September 25, 2015			September 26, 2014
	(In thousands)
Net sales:
Integrated Network Solutions	$	2,204,966		$	2,340,707		$	4,171,528		$	4,781,133
Consumer Technology Group	2,011,089			2,209,543			3,576,052			4,431,683
Industrial & Emerging Industries	1,145,842			1,097,202			2,275,981			2,221,668
High Reliability Solutions	954,865			881,065			1,859,449			1,736,778
	$	6,316,762		$	6,528,517		$	11,883,010		$	13,171,262
Segment income and reconciliation of income before tax:
Integrated Network Solutions	$	65,758		$	57,643		$	122,822		$	130,354
Consumer Technology Group	41,170			53,336			80,013			83,200
Industrial & Emerging Industries	32,268			35,582			61,268			82,906
High Reliability Solutions	71,199			48,801			131,085			102,944
Corporate and Other	(14,075		)	(11,952		)	(39,786		)	(32,805		)
Total segment income	196,320			183,410			355,402			366,599
Reconciling items:
Intangible amortization	16,127			8,232			23,798			15,183
Stock-based compensation	16,200			10,919			32,326			22,600
Other charges (income), net	1,678			(2,584		)	1,842			(46,593		)
Interest and other, net	22,035			12,506			38,540			31,143
Income before income taxes	$	140,280		$	154,337		$	258,896		$	344,266

Asset information on a segment basis is not disclosed, as property and equipment is not allocated to each segment.

Corporate and other primarily includes corporate services costs that are not included in the assessment of the performance of each of the identified reporting segments.

16.  SUPPLEMENTAL GUARANTOR AND NON-GUARANTOR CONDENSED CONSOLIDATING FINANCIAL STATEMENTS

Flextronics International Ltd. (“Parent”) has three tranches of Notes of $500 million, $500 million, and $600 million, respectively, each outstanding, which mature on February 15, 2020, February 15, 2023 and June 15, 2025, respectively. These Notes are senior unsecured obligations, and are guaranteed, fully and unconditionally, jointly and severally, on an unsecured basis, by certain of the Company’s 100% owned subsidiaries (the “guarantor subsidiaries”). These subsidiary guarantees will terminate upon 1) a sale or other disposition of the guarantor or the sale or disposition of all or substantially all the assets of the guarantor (other than to the Parent or a subsidiary); 2) such guarantor ceasing to be a guarantor or a borrower under the Company’s Term Loan Agreement and the Revolving Line of Credit; 3) defeasance or discharge of the Notes, as provided in the Notes indenture; or 4) if at any time the Notes are rated investment grade.

In lieu of providing separate financial statements for the guarantor subsidiaries, the Company has included the accompanying condensed consolidating financial statements, which are presented using the equity method of accounting. The principal elimination entries relate to investment in subsidiaries and intercompany balances and transactions, including transactions with the Company’s non-guarantor subsidiaries. During the three-month period ended September 25, 2015, and in conjunction with the new $600 million Notes, a new entity was added as a guarantor subsidiary for all three tranches of the Notes. Accordingly, the Company recast the condensed consolidating financial statements presented below to reflect this change.

25

Condensed Consolidating Balance Sheets as of September 25, 2015

	Parent		Guarantor Subsidiaries			Non-Guarantor Subsidiaries		Eliminations			Consolidated
	(in thousands)
ASSETS
Current assets:
Cash and cash equivalents	$	517,631	$	226,469		$	924,327	$	—		$	1,668,427
Accounts receivable	—		1,352,781			1,194,029		—			2,546,810
Inventories	—		1,494,305			2,067,021		—			3,561,326
Inter company receivable	8,919,282		5,578,552			12,359,980		(26,857,814		)	—
Other current assets	3,749		202,794			1,002,388		—			1,208,931
Total current assets	9,440,662		8,854,901			17,547,745		(26,857,814		)	8,985,494
Property and equipment, net	—		506,394			1,711,636		—			2,218,030
Goodwill and other intangible assets, net	325		62,580			918,933		—			981,838
Other assets	2,259,454		198,711			2,139,936		(4,123,124		)	474,977
Investment in subsidiaries	1,654,260		2,412,432			16,883,121		(20,949,813		)	—
Total assets	$	13,354,701	$	12,035,018		$	39,201,371	$	(51,930,751	)	$	12,660,339
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Bank borrowings and current portion of long-term debt	$	43,125	$	941		$	3,906	$	—		$	47,972
Accounts payable	—		1,514,042			3,273,899		—			4,787,941
Accrued payroll	—		121,059			279,941		—			401,000
Inter company payable	8,213,861		8,993,273			9,650,680		(26,857,814		)	—
Other current liabilities	30,642		855,909			909,316		—			1,795,867
Total current liabilities	8,287,628		11,485,224			14,117,742		(26,857,814		)	7,032,780
Long term liabilities	2,646,945		2,109,106			2,539,057		(4,123,124		)	3,171,984
Flextronics International Ltd. shareholders’ equity (deficit)	2,420,128		(1,559,312		)	22,509,125		(20,949,813		)	2,420,128
Noncontrolling interests	—		—			35,447		—			35,447
Total shareholders’ equity (deficit)	2,420,128		(1,559,312		)	22,544,572		(20,949,813		)	2,455,575
Total liabilities and shareholders’ equity	$	13,354,701	$	12,035,018		$	39,201,371	$	(51,930,751	)	$	12,660,339

26

Condensed Consolidating Balance Sheets as of March 31, 2015

	Parent		Guarantor Subsidiaries			Non-Guarantor Subsidiaries		Eliminations			Consolidated
	(in thousands)
ASSETS
Current assets:
Cash and cash equivalents	$	608,971	$	168,272		$	851,165	$	—		$	1,628,408
Accounts receivable	—		1,208,632			1,128,883		—			2,337,515
Inventories	—		1,729,593			1,759,159		—			3,488,752
Inter company receivable	6,417,410		4,759,062			10,099,057		(21,275,529		)	—
Other current assets	8,143		202,161			1,075,921		—			1,286,225
Total current assets	7,034,524		8,067,720			14,914,185		(21,275,529		)	8,740,900
Property and equipment, net	—		471,052			1,621,115		—			2,092,167
Goodwill and other intangible assets, net	475		64,831			349,869		—			415,175
Other assets	2,223,402		155,172			2,131,523		(4,092,715		)	417,382
Investment in subsidiaries	1,799,956		1,681,521			16,641,212		(20,122,689		)	—
Total assets	$	11,058,357	$	10,440,296		$	35,657,904	$	(45,490,933	)	$	11,665,624
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Bank borrowings and current portion of long-term debt	$	40,000	$	917		$	5,245	$	—		$	46,162
Accounts payable	—		1,758,305			2,802,889		—			4,561,194
Accrued payroll	—		112,692			227,047		—			339,739
Inter company payable	6,559,569		7,250,235			7,465,725		(21,275,529		)	—
Other current liabilities	30,553		845,156			933,419		—			1,809,128
Total current liabilities	6,630,122		9,967,305			11,434,325		(21,275,529		)	6,756,223
Long term liabilities	2,067,421		2,102,483			2,435,962		(4,092,715		)	2,513,151
Flextronics International Ltd. shareholders’ equity (deficit)	2,360,814		(1,629,492		)	21,752,181		(20,122,689		)	2,360,814
Noncontrolling interests	—		—			35,436		—			35,436
Total shareholders’ equity (deficit)	2,360,814		(1,629,492		)	21,787,617		(20,122,689		)	2,396,250
Total liabilities and shareholders’ equity	$	11,058,357	$	10,440,296		$	35,657,904	$	(45,490,933	)	$	11,665,624

27

Condensed Consolidating Statements of Operations for the Three-Month Period Ended September 25, 2015

	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
	(in thousands)
Net sales	$	—		$	4,482,213		$	5,514,535		$	(3,679,986	)	$	6,316,762
Cost of sales	—			4,141,254			5,458,578			(3,679,986		)	5,919,846
Gross profit	—			340,959			55,957			—			396,916
Selling, general and administrative expenses	—			66,682			150,114			—			216,796
Intangible amortization	75			960			15,092			—			16,127
Interest and other, net	(132,637		)	277,355			(121,005		)	—			23,713
Income (loss) from continuing operations before income taxes	132,562			(4,038		)	11,756			—			140,280
Provision for income taxes	—			(5,658		)	22,961			—			17,303
Equity in earnings in subsidiaries	(9,585		)	(33,969		)	16,621			26,933			—
Net income (loss)	$	122,977		$	(32,349	)	$	5,416		$	26,933		$	122,977

Condensed Consolidating Statements of Operations for the Three-Month Period Ended September 26, 2014

	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
	(in thousands)
Net sales	$	—		$	4,732,749		$	5,184,889		$	(3,389,121	)	$	6,528,517
Cost of sales	—			4,403,702			5,136,855			(3,389,121		)	6,151,436
Gross profit	—			329,047			48,034			—			377,081
Selling, general and administrative expenses	—			62,825			141,765			—			204,590
Intangible amortization	75			834			7,323			—			8,232
Interest and other, net	(68,309		)	288,590			(210,359		)	—			9,922
Income (loss) from continuing operations before income taxes	68,234			(23,202		)	109,305			—			154,337
Provision for income taxes	—			8,142			7,292			—			15,434
Equity in earnings in subsidiaries	70,669			(50,729		)	50,147			(70,087		)	—
Net income (loss)	$	138,903		$	(82,073	)	$	152,160		$	(70,087	)	$	138,903

Condensed Consolidating Statements of Operations for the Six-Month Period EndedSeptember 25, 2015

28

	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
	(in thousands)
Net sales	$	—		$	8,528,598		$	9,450,050		$	(6,095,638	)	$	11,883,010
Cost of sales	—			7,785,313			9,444,078			(6,095,638		)	11,133,753
Gross profit	—			743,285			5,972			—			749,257
Selling, general and administrative expenses	—			130,238			295,943			—			426,181
Intangible amortization	150			1,921			21,727			—			23,798
Interest and other, net	(398,020		)	613,767			(175,365		)	—			40,382
Income (loss) from continuing operations before income taxes	397,870			(2,641		)	(136,333		)	—			258,896
Provision for income taxes	—			3,441			21,628			—			25,069
Equity in earnings in subsidiaries	(164,043		)	(52,516		)	52,584			163,975			—
Net income (loss)	$	233,827		$	(58,598	)	$	(105,377	)	$	163,975		$	233,827

Condensed Consolidating Statements of Operations for the Six-Month Period EndedSeptember 26, 2014

	Parent			Guarantor Subsidiaries		Non-Guarantor Subsidiaries			Eliminations			Consolidated
	(in thousands)
Net sales	$	—		$	9,537,544	$	9,961,077		$	(6,327,359	)	$	13,171,262
Cost of sales	—			8,859,138		9,881,617			(6,327,359		)	12,413,396
Gross profit	—			678,406		79,460			—			757,866
Selling, general and administrative expenses	—			124,627		289,240			—			413,867
Intangible amortization	150			1,687		13,346			—			15,183
Interest and other, net	(51,777		)	547,193		(510,866		)	—			(15,450		)
Income from continuing operations before income taxes	51,627			4,899		287,740			—			344,266
Provision for income taxes	—			14,789		16,687			—			31,476
Equity in earnings in subsidiaries	261,163			13,647		86,579			(361,389		)	—
Net income	$	312,790		$	3,757	$	357,632		$	(361,389	)	$	312,790

29

Condensed Consolidating Statements of Comprehensive Income (Loss) for the Three-Month Period Ended September 25, 2015

	Parent			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations		Consolidated
	(in thousands)
Net income (loss)	$	122,977		$	(32,349	)	$	5,416		$	26,933	$	122,977
Other comprehensive income (loss):
Foreign currency translation adjustments, net of zero tax	(30,267		)	(33,696		)	(30,633		)	64,329		(30,267		)
Unrealized gain (loss) on derivative instruments and other, net of zero tax	(5,544		)	1,160			(5,544		)	4,384		(5,544		)
Comprehensive income (loss)	$	87,166		$	(64,885	)	$	(30,761	)	$	95,646	$	87,166

Condensed Consolidating Statements of Comprehensive Income (Loss) for the Three-Month Period Ended September 26, 2014

	Parent			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(in thousands)
Net income (loss)	$	138,903		$	(82,073	)	$	152,160		$	(70,087	)	$	138,903
Other comprehensive income (loss):
Foreign currency translation adjustments, net of zero tax	(5,683		)	77,712			65,611			(143,323		)	(5,683		)
Unrealized loss on derivative instruments and other, net of zero tax	(2,433		)	(2,058		)	(2,433		)	4,491			(2,433		)
Comprehensive income (loss)	$	130,787		$	(6,419	)	$	215,338		$	(208,919	)	$	130,787

Condensed Consolidating Statements of Comprehensive Income (Loss) for the Six-Month Period EndedSeptember 25, 2015

	Parent			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(in thousands)
Net income (loss)	$	233,827		$	(58,598	)	$	(105,377	)	$	163,975		$	233,827
Other comprehensive income (loss):	0
Foreign currency translation adjustments, net of zero tax	(27,484		)	(57,186		)	(51,530		)	108,716			(27,484		)
Unrealized gain on derivative instruments and other, net of zero tax	7,285			5,785			7,285			(13,070		)	7,285
Comprehensive income (loss)	$	213,628		$	(109,999	)	$	(149,622	)	$	259,621		$	213,628

30

Condensed Consolidating Statements of Comprehensive Income (Loss) for the Six-Month Period EndedSeptember 26, 2014

	Parent			Guarantor Subsidiaries			Non- Guarantor Subsidiaries		Eliminations			Consolidated
	(in thousands)
Net income	$	312,790		$	3,757		$	357,632	$	(361,389	)	$	312,790
Other comprehensive income (loss):
Foreign currency translation adjustments, net of zero tax	(9,828		)	93,662			71,337		(164,999		)	(9,828		)
Unrealized gain (loss) on derivative instruments and other, net of zero tax	8,292			(228		)	8,292		(8,064		)	8,292
Comprehensive income	$	311,254		$	97,191		$	437,261	$	(534,452	)	$	311,254

31

Condensed Consolidating Statements of Cash Flows for the Six-Month Period EndedSeptember 25, 2015

	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
Net cash provided by (used in) operating activities	$	389,949		$	(247,462	)	$	519,508		$	—		$	661,995
Cash flows from investing activities:
Purchases of property and equipment, net of proceeds from disposal	—			(88,699		)	(205,330		)	11			(294,018		)
Acquisition and divestiture of businesses, net of cash acquired and cash held in divested business	—			(559,442		)	(82,471		)	—			(641,913		)
Investing cash flows to affiliates	(1,326,493		)	(836,415		)	(1,193,747		)	3,356,655			—
Other investing activities, net	—			(22,822		)	12,306			—			(10,516		)
Net cash used in investing activities	(1,326,493		)	(1,507,378		)	(1,469,242		)	3,356,666			(946,447		)
Cash flows from financing activities:
Proceeds from bank borrowings and long-term debt	595,309			209			35			—			595,553
Repayments of bank borrowings, long-term debt and capital lease obligations	(17,507		)	(1,039		)	(2,544		)	—			(21,090		)
Payments for repurchases of ordinary shares	(241,978		)	—			—			—			(241,978		)
Net proceeds from issuance of ordinary shares	49,074			—			—			—			49,074
Financing cash flows from affiliates	435,540			1,810,912			1,110,214			(3,356,666		)	—
Other financing activities, net	—			—			(37,872		)	—			(37,872		)
Net cash provided by financing activities	820,438			1,810,082			1,069,833			(3,356,666		)	343,687
Effect of exchange rates on cash and cash equivalents	24,766			2,955			(46,937		)	—			(19,216		)
Net increase (decrease) in cash and cash equivalents	(91,340		)	58,197			73,162			—			40,019
Cash and cash equivalents, beginning of period	608,971			168,272			851,165			—			1,628,408
Cash and cash equivalents, end of period	$	517,631		$	226,469		$	924,327		$	—		$	1,668,427

32

Condensed Consolidating Statements of Cash Flows for the Six-Month Period EndedSeptember 26, 2014

	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
Net cash provided by (used in) operating activities	$	24,949		$	(200,703	)	$	481,999		$	—		$	306,245
Cash flows from investing activities:
Purchases of property and equipment, net of proceeds from disposal	—			(73,455		)	(64,929		)	(11		)	(138,395		)
Acquisition and divestiture of businesses, net of cash acquired and cash held in divested business	—			—			(38,082		)	—			(38,082		)
Investing cash flows from (to) affiliates	(833,951		)	(924,184		)	255,111			1,503,024			—
Other investing activities, net	—			(6,134		)	(22,721		)	—			(28,855		)
Net cash provided by (used in) investing activities	(833,951		)	(1,003,773		)	129,379			1,503,013			(205,332		)
Cash flows from financing activities:
Proceeds from bank borrowings and long-term debt	—			—			11,387			—			11,387
Repayments of bank borrowings, long-term debt and capital lease obligations	(6,250		)	(888		)	(2,047		)	—			(9,185		)
Payments for repurchases of ordinary shares	(206,771		)	—			—			—			(206,771		)
Net proceeds from issuance of ordinary shares	11,412			—			—			—			11,412
Financing cash flows from (to) affiliates	925,410			1,317,706			(740,103		)	(1,503,013		)	—
Other financing activities, net	—			—			3,382			—			3,382
Net cash provided by (used in) financing activities	723,801			1,316,818			(727,381		)	(1,503,013		)	(189,775		)
Effect of exchange rates on cash and cash equivalents	(83,374		)	(1,139		)	93,999			—			9,486
Net decrease (increase) in cash and cash equivalents	(168,575		)	111,203			(22,004		)	—			(79,376		)
Cash and cash equivalents, beginning of period	638,714			210,462			744,552			—			1,593,728
Cash and cash equivalents, end of period	$	470,139		$	321,665		$	722,548		$	—		$	1,514,352

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ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Unless otherwise specifically stated, references in this report to “Flex,” “the Company,” “we,” “us,” “our” and similar terms mean Flextronics International Ltd. and its subsidiaries.

This report on Form 10-Q contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended. The words “expects,” “anticipates,” “believes,” “intends,” “plans” and similar expressions identify forward-looking statements. In addition, any statements which refer to expectations, projections or other characterizations of future events or circumstances are forward-looking statements. We undertake no obligation to publicly disclose any revisions to these forward-looking statements to reflect events or circumstances occurring subsequent to filing this Form 10-Q with the Securities and Exchange Commission. These forward-looking statements are subject to risks and uncertainties, including, without limitation, those risks and uncertainties discussed in this section, as well as any risks and uncertainties discussed in Part II, Item 1A, “Risk Factors” of this report on Form 10-Q, and in Part I, Item 1A, “Risk Factors” and in Part II, Item 7, “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our Annual Report on Form 10-K for the year ended March 31, 2015. In addition, new risks emerge from time to time and it is not possible for management to predict all such risk factors or to assess the impact of such risk factors on our business. Accordingly, our future results may differ materially from historical results or from those discussed or implied by these forward-looking statements. Given these risks and uncertainties, the reader should not place undue reliance on these forward-looking statements.

OVERVIEW

We are a globally-recognized leading provider of innovative design, engineering, manufacturing, and supply chain services and solutions that span from sketch to scale; from conceptual sketch to full-scale production. We design, build, ship, and service complete packaged consumer electronics and industrial products for original equipment manufacturers (“OEMs”), through our activities in the following segments: High Reliability Solutions (“HRS”), which is comprised of our medical business including medical equipment, disposables, drug delivery, and diagnostics; our automotive business, including automotive electronics, automotive lighting, and power electronics; and our defense and aerospace businesses focused on defense, civil aviation, and homeland security; Consumer Technology Group (“CTG”), which includes our mobile devices business, including smart phones; our consumer electronics business, including connected living, wearable electronics, digital health, game consoles, and connectivity devices; and our high-volume computing business, including various supply chain solutions for notebook personal computing, tablets and printers; Industrial and Emerging Industries (“IEI”), which is comprised of semiconductor and capital equipment, office solutions, household industrial and lifestyle, industrial automation and kiosks, energy and metering, and lighting; and Integrated Network Solutions (“INS”), which includes radio access base stations, remote radio heads, and small cells for wireless infrastructure; optical, routing, broadcasting, and switching products for the data and video network; server and storage platforms for both enterprise and cloud based deployments; next generation storage and security appliance products and rack level solutions, converged infrastructure and software-defined product solutions.

On July 23, 2015, we introduced our new brand and website to help us more efficiently manage our business opportunities and explain our new product and service offerings. We are shortening our name from Flextronics to “Flex” to signify that our business continues to evolve past the boundaries and confines of electronics alone. Our new tag line, “Live Smarter” highlights our belief that all devices are becoming intelligent and that value will ultimately be created in the “intelligence of things” and the convergence of technologies and digitization of products across multiple industries and market segments.

Our strategy is to provide customers with a full range of cost competitive, vertically-integrated global supply chain solutions through which we can design, build, ship, and service a complete packaged product for our OEM customers. This enables our OEM customers to leverage our supply chain solutions to meet their product requirements throughout the entire product life cycle.

Over the past few years, we have seen an increased level of diversification by many companies, primarily in the technology sector. Some companies that have historically identified themselves as software providers, internet service providers or e-commerce retailers have entered the highly competitive and rapidly evolving technology hardware markets, such as mobile devices, home entertainment and wearable devices. This trend has resulted in a significant change in the manufacturing and supply chain solutions requirements of such companies. While the products have become more complex, the supply chain solutions required by such companies have become more customized and demanding, and it has changed the manufacturing and supply chain landscape significantly.

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We use a portfolio approach to manage our extensive service offerings. As our OEM customers change the way they go to market, we are able to reorganize and rebalance our business portfolio in order to align with our customers' needs and requirements in an effort to optimize operating results. The objective of our business model is to allow us to be flexible and redeploy and reposition our assets and resources as necessary to meet a specific customer's supply chain solutions needs across all of the markets we serve and earn a return on our invested capital above the weighted-average cost of that capital.

During the past few years we have made significant efforts to evolve our long-term portfolio towards a higher mix of businesses which possess longer product life cycles and higher segment operating margins such as reflected in our IEI and HRS businesses. During the last two fiscal years we launched several programs broadly across our portfolio of services and in some instances we deployed certain new technologies. Some of these programs have started to yield better results, as demonstrated by our segment operating margin improvement while our sales decreased compared to the prior year. We continue to invest in innovation and we have expanded our design and engineering relationships through our product innovation centers.

We believe that our business transformation has strategically positioned us to take advantage of the long-term, future growth prospects for outsourcing of advanced manufacturing capabilities, design and engineering services and after-market services, which remain strong.

We are one of the world's largest providers of global supply chain solutions, with revenues of $11.9 billion for the six-month period ended September 25, 2015 and $26.1 billion in fiscal year 2015. The following tables set forth the relative percentages and dollar amounts of net sales and net property and equipment, by country, based on the location of our manufacturing sites:

	Three-Month Periods Ended								Six-Month Periods Ended
Net sales:	September 25, 2015				September 26, 2014				September 25, 2015				September 26, 2014
	(In thousands)
China	$	2,340,475	37	%	$	2,476,736	38	%	$	4,176,663	35	%	$	5,026,967	38	%
Mexico	943,624		15	%	876,339		13	%	1,850,503		16	%	1,725,937		13	%
U.S.	627,757		10	%	689,737		11	%	1,270,346		11	%	1,444,457		11	%
Malaysia	566,919		9	%	560,849		9	%	1,112,289		9	%	1,101,961		8	%
Brazil	498,697		8	%	545,384		8	%	982,827		8	%	1,142,031		9	%
Other	1,339,290		21	%	1,379,472		21	%	2,490,382		21	%	2,729,909		21	%
	$	6,316,762			$	6,528,517			$	11,883,010			$	13,171,262

	As of				As of
Property and equipment, net:	September 25, 2015				March 31, 2015
	(In thousands)
China	$	810,340	37	%	$	776,914	37	%
Mexico	390,167		18	%	364,435		17	%
U.S	316,337		14	%	314,613		15	%
Malaysia	162,560		7	%	165,779		8	%
Brazil	108,577		5	%	103,496		5	%
Other	430,049		19	%	366,930		18	%
	$	2,218,030			$	2,092,167

We believe that the combination of our extensive open innovation platform solutions, design and engineering services, advanced supply chain management solutions and services, significant scale and global presence, and industrial campuses in low-cost geographic areas provide us with a competitive advantage and strong differentiation in the market for designing, manufacturing and servicing consumer electronics and industrial products for leading multinational and regional OEMs. Specifically, we have launched multiple product innovation centers ("PIC") focused exclusively on offering our customers the ability to simplify their global product development, manufacturing process, and after sales services, and enable them to meaningfully accelerate their time to market and cost savings.

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Our operating results are affected by a number of factors, including the following:

• changes in the macro-economic environment and related changes in consumer demand;

• the mix of the manufacturing services we are providing, the number and size of new manufacturing programs, the degree to which we utilize our manufacturing capacity, seasonal demand, shortages of components and other factors;

• the effects on our business when our customers are not successful in marketing their products, or when their products do not gain widespread commercial acceptance;

• our ability to achieve commercially viable production yields and to manufacture components in commercial quantities to the performance specifications demanded by our OEM customers;

• the effects on our business due to our customers’ products having short product life cycles;

• our customers’ ability to cancel or delay orders or change production quantities;

• our customers’ decision to choose internal manufacturing instead of outsourcing for their product requirements;

• our exposure to financially troubled customers;

• integration of acquired businesses and facilities;

• increased labor costs due to adverse labor conditions in the markets we operate; and

• changes in tax legislation.

CRITICAL ACCOUNTING POLICIES AND ESTIMATES

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP” or “GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results may differ from those estimates and assumptions.

Refer to the accounting policies under Item 7, “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our Annual Report on Form 10-K for the fiscal year ended March 31, 2015, where we discuss our more significant judgments and estimates used in the preparation of the condensed consolidated financial statements.

RESULTS OF OPERATIONS

The following table sets forth, for the periods indicated, certain statements of operations data expressed as a percentage of net sales. The financial information and the discussion below should be read in conjunction with the condensed consolidated financial statements and notes thereto included in this document. In addition, reference should be made to our audited consolidated financial statements and notes thereto and related Management’s Discussion and Analysis of Financial Condition and Results of Operations included in our 2015 Annual Report on Form 10-K.

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	Three-Month Periods Ended				Six-Month Periods Ended
	September 25, 2015		September 26, 2014		September 25, 2015		September 26, 2014
Net sales	100.0	%	100.0	%	100.0	%	100.0	%
Cost of sales	93.7		94.2		93.7		94.2
Gross profit	6.3		5.8		6.3		5.8
Selling, general and administrative expenses	3.4		3.1		3.6		3.1
Intangible amortization	0.3		0.1		0.2		0.1
Interest and other, net	0.3		0.2		0.3		0.2
Other charges (income), net	0.0		0.0		0.0		(0.3	)
Income before income taxes	2.3		2.4		2.2		2.7
Provision for income taxes	0.3		0.2		0.2		0.2
Net income	2.0	%	2.2	%	2.0	%	2.5	%

Net sales

The following table sets forth our net sales by segment and their relative percentages. Historical information has been recast to reflect realignment of customers and/or products between segments to ensure comparability:

	Three-Month Periods Ended								Six-Month Periods Ended
Segments:	September 25, 2015				September 26, 2014				September 25, 2015				September 26, 2014
	(In thousands)
INS	$	2,204,966	35	%	$	2,340,707	36	%	$	4,171,528	35	%	$	4,781,133	36	%
CTG	2,011,089		32	%	2,209,543		34	%	3,576,052		30	%	4,431,683		34	%
IEI	1,145,842		18	%	1,097,202		17	%	2,275,981		19	%	2,221,668		17	%
HRS	954,865		15	%	881,065		13	%	1,859,449		16	%	1,736,778		13	%
	$	6,316,762			$	6,528,517			$	11,883,010			$	13,171,262

Net sales during the three-month period ended September 25, 2015 totaled $6.3 billion, representing a decrease of approximately $0.2 billion, or 3.2% from $6.5 billion during the three-month period ended September 26, 2014. The decline in net sales was primarily due to $0.2 billion and $0.1 billion decreases in our CTG and INS segments, respectively. The decline in CTG was due to a decline in demand from our largest customer in our mobile business. The decline in INS was the result of broad declines in our server and storage, as well as our telecom and networking businesses. These decreases were offset by small increases of $73.8 million in our HRS segment and $48.6 million in our IEI segment, attributable to higher sales to our automotive, medical, appliances and energy customers. Net sales decreased$0.1 billion to $3.2 billion in Asia, $47.3 million to $2.1 billion in the Americas and $25.1 million to $1.1 billion in Europe, respectively.

Net sales during the six-month period ended September 25, 2015 totaled $11.9 billion, representing a decrease of approximately $1.3 billion, or 9.8% from $13.2 billion during the six-month period ended September 26, 2014. The decline in net sales was primarily due to softness in demand from our CTG and INS segments, primarily as a result of the same drivers listed above. These decreases were offset by increases in our HRS and IEI segments attributable to an increase across multiple product categories and customers, most notably in our medical, automotive, energy, and household businesses. Net sales decreased$0.9 billion to $5.8 billion in Asia, $0.2 billion to $4.1 billion in the Americas and $0.2 billion to $2.0 billion in Europe, respectively.

Our ten largest customers, during the three-month and six-month periods ended September 25, 2015, accounted for approximately 47% and 46% of net sales, respectively. Motorola Mobility (including net sales from its parent Lenovo) accounted for more than 10% of net sales during the three and six-month periods ended September 25, 2015.

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Our ten largest customers, during the three-month and six-month periods ended September 26, 2014, accounted for approximately 51% and 52% of net sales, respectively. Motorola Mobility (including net sales from its former parent Google at that time) accounted for more than 10% of net sales during the three-month and six-month periods ended September 26, 2014.

Gross profit

Gross profit is affected by a number of factors, including the number and size of new manufacturing programs, product mix, component costs and availability, product life cycles, unit volumes, pricing, competition, new product introductions, capacity utilization and the expansion and consolidation of manufacturing facilities. The flexible design of our manufacturing processes allows us to build a broad range of products in our facilities and better utilize our manufacturing capacity. In the cases of new programs, profitability normally lags revenue growth due to product start-up costs, lower manufacturing program volumes in the start-up phase, operational inefficiencies, and under-absorbed overhead. Gross margin for these programs often improves over time as manufacturing volumes increase, as our utilization rates and overhead absorption improve, and as we increase the level of manufacturing services content. As a result of these various factors, our gross margin varies from period to period.

Gross profit during the three-month period ended September 25, 2015increased$19.8 million to $396.9 million, or 6.3% of net sales, from $377.1 million, or 5.8% of net sales, during the three-month period ended September 26, 2014. Gross profit during the six-month period ended September 25, 2015decreased$8.6 million to $749.3 million, or 6.3% of net sales from $757.9 million, or 5.8% of net sales, during the six-month period ended September 26, 2014. The decline in net sales due to the reduced demand from our CTG and INS segments for both the three-month and six-month periods ended September 25, 2015, noted above negatively impacted gross profit, however this decline was offset by overall higher margins due to mix shifts in our business as further explained below.

Gross margins improved50 basis points in both the three-month and six-month periods ended September 25, 2015 compared to that of the three-month and six-month periods ended September 26, 2014. Our overall improved margins are the result of our strategic objective to move our long-term portfolio towards a greater mix of businesses that have longer product lifecycles and higher margins across all our segments. The increase from the prior three and six month periods are due primarily to increased profitability in our HRS and INS segments. See below for further discussion on segment profitability.

Segment Income

An operating segment’s performance is evaluated based on its pre-tax operating contribution, or segment income. Segment income is defined as net sales less cost of sales, and segment selling, general and administrative expenses, and does not include amortization of intangibles, stock‑based compensation, other charges (income), net and interest and other, net. A portion of amortization and depreciation is allocated to the respective segment together with other general corporate research and development and administrative expenses.

The following table sets forth segment income and margins. Historical information has been recast to reflect realignment of customers and/or products between segments:

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	Three-Month Periods Ended										Six-Month Periods Ended
	September 25, 2015					September 26, 2014					September 25, 2015					September 26, 2014
	(In thousands)
Segment income & margin:
INS	$	65,758		3.0	%	$	57,643		2.5	%	$	122,822		2.9	%	$	130,354		2.7	%
CTG	41,170			2.0	%	53,336			2.4	%	80,013			2.2	%	83,200			1.9	%
IEI	32,268			2.8	%	35,582			3.2	%	61,268			2.7	%	82,906			3.7	%
HRS	71,199			7.5	%	48,801			5.5	%	131,085			7.0	%	102,944			5.9	%
Corporate and Other	(14,075		)			(11,952		)			(39,786		)			(32,805		)
Total segment income	196,320			3.1	%	183,410			2.8	%	355,402			3.0	%	366,599			2.8	%
Reconciling items:
Intangible amortization	16,127					8,232					23,798					15,183
Stock-based compensation	16,200					10,919					32,326					22,600
Other charges (income), net	1,678					(2,584		)			1,842					(46,593		)
Interest and other, net	22,035					12,506					38,540					31,143
Income before income taxes	$	140,280				$	154,337				$	258,896				$	344,266

INS segment margin increased50 and 20 basis points, respectively, for the three-month and six-month periods ended September 25, 2015, from 2.5% and 2.7% during the three-month and six-month periods ended September 26, 2014, respectively. The improvements are driven by improved operational execution and higher utilization levels across multiple customers and facilities.

CTG segment margin decreased40 basis points for the three-month period ended September 25, 2015, from 2.4% during the three-month period ended September 26, 2014, primarily driven by change in product mix as well as cost incurred for certain new program ramps in the consumer electronics market and further impacted by charges related to a distressed customer. CTG segment margin increased30 basis points for the six-month period ended September 25, 2015, from 1.9% during the six-month period ended September 26, 2014, due to a portfolio shift within the CTG product mix focusing on higher margin consumer electronic products including wearables, coupled with operational efficiencies due to better execution in programs, offset by a charge related to a distressed customer and lower contribution from our mobile business.

IEI segment margin decreased40 and 100 basis points, respectively, for the three-month and six-month periods ended September 25, 2015, from 3.2% and 3.7% during the three-month and six-month periods ended September 26, 2014, respectively. The decreases are due to underperformance of certain customer programs, delayed and inefficient ramps for new programs, and to a lesser extent product mix changes.

HRS segment margin increased200 and 110 basis points, respectively, for the three-month and six-month periods ended September 25, 2015, from 5.5% and 5.9% during the three-month and six-month periods ended September 26, 2014, respectively. The improvements are primarily due to the contribution from our recent acquisition of MCi, and improved operational execution as the first six months of fiscal year 2015 saw comparatively higher ramp costs for new programs.

Selling, general and administrative expenses

Selling, general and administrative expenses (“SG&A”) amounted to $216.8 million, or 3.4% of net sales, during the three-month period ended September 25, 2015, increasing$12.2 million from $204.6 million, or 3.1% of net sales, during the three-month period ended September 26, 2014. SG&A was $426.2 million, or 3.6% of net sales, during the six-month period ended September 25, 2015, increasing$12.3 million from $413.9 million, or 3.1% of net sales, during the six-month period ended September 26, 2014. The increase in SG&A expenses compared to the prior year is primarily due to increases in stock-based compensation expense, incremental costs associated with our MCi acquisition, and to a lesser extent charges related to a distressed customer.

We expect SG&A to increase in subsequent periods as we integrate new acquisitions.

Intangible amortization

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Amortization of intangible assets increased by $7.9 million during the three-month period ended September 25, 2015 to $16.1 million from $8.2 million for the three-month period ended September 26, 2014, and increased by $8.6 million during the six-month period ended September 25, 2015 to $23.8 million from $15.2 million during the six-month period ended September 26, 2014. The increase is primarily due to incremental amortization expense on intangible assets relating to our acquisitions completed during the first part of fiscal year 2016.

We expect intangible amortization to increase in subsequent periods as we integrate new acquisitions.

Interest and other, net

Interest and other, net was $22.0 million during the three-month period ended September 25, 2015 compared to $12.5 million during the three-month period ended September 26, 2014. The increase in interest and other, net of $9.5 million was primarily due to $8.1 million of acquisition-related costs incurred during the current period, primarily for MCi, and $6.1 million of interest expense primarily from the new 4.750% Notes due June 15, 2025 as further discussed in note 5 to the condensed consolidated financial statements. These were offset by an increase in foreign currency gains in the current period of $5.6 million.

Interest and other, net was $38.5 million during the six-month period ended September 25, 2015 compared to $31.1 million during the six-month period ended September 26, 2014. The increase in interest and other, net of $7.4 million was primarily as a result of the same factors listed above.

Other charges (income), net

Other charges (income), net was $46.6 million of other income during the six-month period ended September 26, 2014 principally as a result of the reversal of a contractual obligation with a certain customer recognized during the fourth quarter of fiscal year 2014 in the amount of $55.0 million. This was partially offset by an $11.0 million loss in connection with the disposition of a manufacturing facility in Western Europe.

Income taxes

Certain of our subsidiaries have, at various times, been granted tax relief in their respective countries, resulting in lower income taxes than would otherwise be the case under ordinary tax rates. Refer to note 13, “Income Taxes” of the notes to the consolidated financial statements in our Annual Report on Form 10-K for the fiscal year ended March 31, 2015 for further discussion.

Our policy is to provide a valuation allowance against deferred tax assets that in our estimation are not more likely than not to be realized.

The consolidated effective tax rate was 12.3% and 9.7% for the three-month and six-month periods ended September 25, 2015, and 10.0% and 9.1% for the three-month and six-month periods ended September 26, 2014, respectively, and varies from the Singapore statutory rate of 17.0% as a result of recognition of earnings in different jurisdictions, operating loss carryforwards, income tax credits, previously established valuation allowances for deferred tax assets, liabilities for uncertain tax positions, as well as the effect of certain tax holidays and incentives granted to our subsidiaries primarily in China, Malaysia and Israel. We generate most of our revenues and profits from operations outside of Singapore. The effective tax rate for the six-month period ended September 25, 2015 of 9.7% was relatively consistent with the effective tax rate for the six-month period ended September 26, 2014 of 9.1%. The slight increase of 0.6% was primarily due to the MCi acquisition and impacts from foreign currency which increased the effective rate in fiscal year 2016. Additionally, the effective tax rate in fiscal year 2015 was lower as it included other income of $55.0 million for which no tax expense was recorded due to the nature of the income.

LIQUIDITY AND CAPITAL RESOURCES

As of September 25, 2015, we had cash and cash equivalents of approximately $1.7 billion and bank and other borrowings of approximately $2.7 billion. We have a $1.5 billion revolving credit facility that expires in March 2019, under which there were no borrowings outstanding as of the end of the quarter. As of September 25, 2015, we were in compliance with the covenants under each of our existing credit facilities and indentures.

Cash provided by operating activities was $662.0 million during the six-month period ended September 25, 2015. This resulted primarily from $233.8 million of net income for the period plus adjustments for $230.9 million of non-cash charges

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such as depreciation, amortization, and other impairment charges, and $197.3 million from changes in our operating assets and liabilities. These changes were mainly related to an increase in accounts payable due to timing of payments to suppliers, offset by an increase in accounts receivable driven by the increase in sales activity.

For the quarterly periods indicated, certain key liquidity metrics were as follows:

	Three-Month Periods Ended
	September 25, 2015	March 31, 2015	September 26, 2014
Days in trade accounts receivable	41 days	46 days	44 days
Days in inventory	54 days	58 days	53 days
Days in accounts payable	70 days	77 days	70 days
Cash conversion cycle	25 days	27 days	27 days

Days in trade accounts receivable was calculated as average accounts receivable for the current and prior quarters, adding back the reduction in accounts receivable resulting from non-cash accounts receivable sales, divided by annualized sales for the current quarter by day. During the three-month period ended September 25, 2015, days in trade accounts receivable decreased by 3 days compared to the three-month period ended September 26, 2014 largely due to timing of invoicing customers during the current period. Non-cash accounts receivable sales or deferred purchase price receivables included for the purposes of the calculation were $537.6 million, $600.7 million, and $426.1 million for the quarters ended September 25, 2015, March 31, 2015 and September 26, 2014, respectively. Deferred purchase price receivables are recorded in other current assets in the condensed consolidated balance sheets. For further information regarding deferred purchase price receivables see note 10 to the condensed consolidated financial statements.

Days in inventory was calculated as the average inventory for the current and prior quarters divided by annualized cost of sales for the respective quarter by day. Days in inventory increased by 1 day during the three-month period ended September 25, 2015 compared to the three-month period ended September 26, 2014 primarily as a result of lower sales activity in the current quarter.

Days in accounts payable was calculated as the average accounts payable for the current and prior quarters divided by annualized cost of sales for the respective quarter by day. Days in accounts payable remained constant at 70 days during the three-month period ended September 25, 2015, compared to the three-month period ended September 26, 2014.

Our cash conversion cycle was calculated as the sum of days of inventory and days of accounts receivables outstanding less days payable outstanding. Our cash conversion cycle decreased by 2 days during the three-month period ended September 25, 2015, compared to the three-month period ended September 26, 2014, due to the factors for each of the components in the calculation discussed above.

Cash used in investing activities amounted to $946.4 million during the six-month period ended September 25, 2015. This resulted primarily from $640.1 million paid for the acquisition of five businesses completed during the six-month period ended September 25, 2015, including approximately $555.2 million, net of cash acquired, related to the acquisition of MCi, and approximately $67.5 million to acquire an optical transport facility from Alcatel-Lucent. Investing activities also reflects $294.0 million of net capital expenditures for property and equipment to support certain programs. Other investing activities includes $35.4 million paid for the purchase of certain investments, offset by $23.7 million of proceeds from the sale of certain assets that were purchased on behalf of a customer and financed by a third party banking institution.

We believe free cash flow is an important liquidity metric because it measures, during a given period, the amount of cash generated that is available to repay debt obligations, make investments, fund acquisitions, repurchase company shares and for certain other activities. Our free cash flow is calculated as cash from operations less net purchases of property and equipment. Our free cash flows for the six-month period ended September 25, 2015 was $368.0 million compared to $167.9 million for the six-month period ended September 26, 2014. Free cash flow is not a measure of liquidity under U.S. GAAP, and may not be defined and calculated by other companies in the same manner. Free cash flow should not be considered in isolation or as an alternative to net cash provided by operating activities. Free cash flows reconcile to the most directly comparable GAAP financial measure of cash flows from operations as follows:

41

	Six-Month Periods Ended
	September 25, 2015			September 26, 2014
	(In thousands)
Net cash provided by operating activities	$	661,995		$	306,245
Purchases of property and equipment	(296,401		)	(167,204		)
Proceeds from the disposition of property and equipment	2,383			28,809
Free cash flow	$	367,977		$	167,850

Cash provided by financing activities was $343.7 million during the six-month period ended September 25, 2015, which was primarily for net proceeds from bank borrowings and long-term debt of $595.6 million mainly resulting from our new debt issuance discussed further in note 5 to the condensed consolidated financial statements, and $49.1 million from the issuance of our shares for option exercises. These cash inflows were partially offset by cash paid for the repurchase of our ordinary shares in the amount of $242.0 million.

Our cash balances are held in numerous locations throughout the world. Liquidity is affected by many factors, some of which are based on normal ongoing operations of the business and some of which arise from fluctuations related to global economics and markets. Local government regulations may restrict our ability to move cash balances to meet cash needs under certain circumstances; however, any current restrictions are not material. We do not currently expect such regulations and restrictions to impact our ability to pay vendors and conduct operations throughout the global organization. We believe that our existing cash balances, together with anticipated cash flows from operations and borrowings available under our credit facilities, will be sufficient to fund our operations through at least the next twelve months. As of September 25, 2015 and March 31, 2015, over half of our cash and cash equivalents was held by foreign subsidiaries outside of Singapore. Although substantially all of the amounts held outside of Singapore could be repatriated, under current laws, a significant amount could be subject to income tax withholdings. We provide for tax liabilities on these amounts for financial statement purposes, except for certain of our foreign earnings that are considered indefinitely reinvested outside of Singapore (approximately $800.0 million as of March 31, 2015). Repatriation could result in an additional income tax payment, however, our intent is to permanently reinvest these funds outside of Singapore and our current plans do not demonstrate a need to repatriate them to fund our operations in jurisdictions outside of where they are held. Where local restrictions prevent an efficient intercompany transfer of funds, our intent is that cash balances would remain outside of Singapore and we would meet our liquidity needs through ongoing cash flows, external borrowings, or both.

Future liquidity needs will depend on fluctuations in levels of inventory, accounts receivable and accounts payable, the timing of capital expenditures for new equipment, the extent to which we utilize operating leases for new facilities and equipment, the levels of shipments and changes in the volumes of customer orders, and our targeted business and asset acquisitions.

Historically, we have funded operations from cash and cash equivalents generated from operations, proceeds from public offerings of equity and debt securities, bank debt and lease financings. We also sell a designated pool of trade receivables under asset-backed securitization programs and sell certain trade receivables, which are in addition to the trade receivables sold in connection with these securitization agreements.

We anticipate that we will enter into debt and equity financings, sales of accounts receivable and lease transactions to fund acquisitions and growth. The sale or issuance of equity or convertible debt securities could result in dilution to current shareholders. Further, we may issue debt securities that have rights and privileges senior to those of holders of ordinary shares, and the terms of this debt could impose restrictions on operations and could increase debt service obligations. This increased indebtedness could limit our flexibility as a result of debt service requirements and restrictive covenants, potentially affect our credit ratings, and may limit our ability to access additional capital or execute our business strategy. Any downgrades in credit ratings could adversely affect our ability to borrow as a result of more restrictive borrowing terms. We continue to assess our capital structure and evaluate the merits of redeploying available cash to reduce existing debt or repurchase ordinary shares.

Under our current share repurchase program, our Board of Directors authorized repurchases of our outstanding ordinary shares for up to $500 million in accordance with the share purchase mandate approved by our shareholders at the date of the most recent Extraordinary General Meeting which was held on August 20, 2015. During the six-month period ended September 25, 2015, we paid $242.0 million to repurchase shares (under the current and prior repurchase plans) at an average price of $11.35 per share. As of September 25, 2015, shares in the aggregate amount of $422.5 million were available to be repurchased under the current plan.

42

CONTRACTUAL OBLIGATIONS AND COMMITMENTS

Information regarding our long-term debt payments, operating lease payments, capital lease payments and other commitments is provided in Item 7, “Management’s Discussion and Analysis of Financial Condition and Results of Operations” of our Annual Report on our Form 10-K for the fiscal year ended March 31, 2015. There have been no material changes in our contractual obligations and commitments since March 31, 2015.

OFF-BALANCE SHEET ARRANGEMENTS

We sell designated pools of trade receivables to unaffiliated financial institutions under our ABS programs, and in addition to cash, we receive a deferred purchase price receivable for each pool of the receivables sold. Each of these deferred purchase price receivables serves as additional credit support to the financial institutions and is recorded at its estimated fair value. As of September 25, 2015 and March 31, 2015, the fair values of our deferred purchase price receivable were approximately $537.6 million and $600.7 million, respectively. As of September 25, 2015 and March 31, 2015, the outstanding balances on receivables sold for cash were $1.4 billion and $1.3 billion, respectively, under all our accounts receivable sales programs, which are not included in our condensed consolidated balance sheets. For further information see note 10 to the condensed consolidated financial statements.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

There were no material changes in our exposure to market risks for changes in interest and foreign currency exchange rates for the six-month period ended September 25, 2015 as compared to the fiscal year ended March 31, 2015.

ITEM 4. CONTROLS AND PROCEDURES

(a) Evaluation of Disclosure Controls and Procedures

Under the supervision and with the participation of our management, including our Chief Executive Officer and Chief Financial Officer, we have evaluated the effectiveness of our disclosure controls and procedures (as defined in Rule 13a-15(e) of the Exchange Act) as of September 25, 2015, the end of the quarterly fiscal period covered by this quarterly report. Based on that evaluation, our Chief Executive Officer and Chief Financial Officer concluded that, as of September 25, 2015 such disclosure controls and procedures were effective in ensuring that information required to be disclosed by us in reports that we file or submit under the Securities Exchange Act of 1934, as amended, is (i) recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission’s rules and forms and (ii) accumulated and communicated to our management, including our principal executive officer and principal financial officer, as appropriate to allow timely decisions regarding required disclosure.

(b) Changes in Internal Control Over Financial Reporting

There were no changes in our internal controls over financial reporting that occurred during our second quarter of fiscal year 2016 that have materially affected, or are reasonably likely to materially affect, our internal controls over financial reporting.

PART II. OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

For a description of our material legal proceedings, see note 13 “Commitments and Contingencies” in the notes to the condensed consolidated financial statements, which is incorporated herein by reference.

ITEM 1A. RISK FACTORS

In addition to the other information set forth in this report, you should carefully consider the risks and uncertainties discussed in Part I, “Item 1A. Risk Factors” in our Annual Report on Form 10-K for the year ended March 31, 2015, which could materially affect our business, financial condition or future results.  The risks described in our Annual Report on Form 10-K are not the only risks facing our Company. Additional risks and uncertainties not currently known to us or that we currently deem to be not material also may materially and adversely affect our business, financial condition and/or operating results.

43

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

Issuer Purchases of Equity Securities

The following table provides information regarding purchases of our ordinary shares made by us for the period from June 27, 2015 through September 25, 2015:

Period	Total Number of Shares Purchased (1)	Average Price Paid per Share		Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs	Approximate Dollar Value of Shares that May Yet Be Purchased Under the Plans or Programs
June 27 - July 31, 2015 (2)	2,316,568	$	10.99	2,316,568	$	118,513,026
August 1 - August 28, 2015 (2) (3)	5,635,729	$	10.74	5,635,729	$	474,474,788
August 29 - September 25, 2015 (3)	4,889,522	$	10.63	4,889,522	$	422,499,977
Total	12,841,819			12,841,819

____________________________________________________________

(1) During the period from June 27, 2015 through September 25, 2015, all purchases were made pursuant to the programs discussed below in open market transactions.  All purchases were made in accordance with Rule 10b-18 under the Securities Exchange Act of 1934.

(2) On August 28, 2014, our Board of Directors authorized the repurchase of our outstanding ordinary shares for up to $500 million.  This is in accordance with the share purchase mandate whereby our shareholders approved a repurchase limit of 20% of our issued ordinary shares outstanding at the Extraordinary General Meeting held on the same date as the Board authorization. As of June 26, 2015, we had 86.0 million shares available to be repurchased under this plan, of which 5.5 million shares were repurchased prior to August 20, 2015 (after which authorization under this plan terminated).

(3) On August 20, 2015, our Board of Directors authorized the repurchase of our outstanding ordinary shares for up to $500 million.  This is in accordance with the share purchase mandate whereby our shareholders approved a repurchase limit of 20% of our issued ordinary shares outstanding at the Extraordinary General Meeting held on the same date as the Board authorization. As of September 25, 2015, shares in the aggregate amount of $422.5 million were available to be repurchased under the current plan.

44

ITEM 3. DEFAULTS UPON SENIOR SECURITIES

None

ITEM 4. MINE SAFETY DISCLOSURES

Not applicable

ITEM 5. OTHER INFORMATION

None

ITEM 6. EXHIBITS

Exhibits— See Index to Exhibits below.

45

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

		FLEXTRONICS INTERNATIONAL LTD.
		(Registrant)
		/s/ Michael M. McNamara
		Michael M. McNamara
		Chief Executive Officer
		(Principal Executive Officer)
Date:	October 26, 2015
		/s/ Christopher Collier
		Christopher Collier
		Chief Financial Officer
		(Principal Financial Officer)
Date:	October 26, 2015

46

EXHIBIT INDEX

			Incorporated by Reference			Filed
Exhibit No.	Exhibit	Form	File No.	Filing Date	Exhibit No.	Herewith
4.01	First Supplemental Indenture, dated as of September 11, 2015, among the Company, the Guarantor party thereto and U.S. Bank National Association, as Trustee, related to the Company’s 4.750% Notes due 2025.	S-4	333-207067	9/22/2015	4.04
4.02	Third Supplemental Indenture, dated as of September 11, 2015, among the Company, the Guarantor party thereto and U.S. Bank National Association, as Trustee, related to the Company’s 4.625% Notes due 2020 and 5.000% Notes due 2023.	S-4	333-207067	9/22/2015	4.11
10.01	Nextracker Inc. 2014 Equity Incentive Plan	S-8	333-207325	10/7/2015	99.01
10.02	Form of Elementum Holding Ltd. Restricted Share Purchase Agreement					X
15.01	Letter in lieu of consent of Deloitte & Touche LLP.					X
31.01	Certification of Principal Executive Officer pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.					X
31.02	Certification of Principal Financial Officer pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.					X
32.01	Certification of Chief Executive Officer and Chief Financial Officer pursuant to Rule 13a-14(b) under the Securities Exchange Act of 1934 and 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.*					X
101.INS	XBRL Instance Document					X
101.SCH	XBRL Taxonomy Extension Schema Document					X
101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document					X
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document					X
101.LAB	XBRL Taxonomy Extension Label Linkbase Document					X
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document					X

* This exhibit is furnished with this Quarterly Report on Form 10-Q, is not deemed filed with the Securities and Exchange Commission, and is not incorporated by reference into any filing of Flextronics International Ltd. under the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended, whether made before or after the date hereof and irrespective of any general incorporation language contained in such filing.

47

EX-10.02

EXHIBIT 10.01

FORM OF

ELEMENTUM HOLDING LTD.

RESTRICTED SHARE PURCHASE AGREEMENT

This Restricted Share Purchase Agreement (the “Agreement”) is made as of [insert date] by and between Elementum Holding Ltd., an exempted company incorporated in the Cayman Islands (the “Company”), and [insert name] (the “Executive”).

AGREEMENT

In consideration of the mutual covenants and representations set forth below, the Company and the Executive agree as follows:

1.Issue of Restricted Shares. Upon the date of this Agreement (the “Issue Date”), the Company will issue to Executive, and Executive will accept and subscribe for from the Company, [_______] Class B Shares in the capital of the Company (the “Shares”) in consideration for services performed or to be performed by the Executive for the Flextronics Group. For the avoidance of doubt, such services shall include services to the Company or for the benefit of the Company. The Shares are issued subject to the provisions of the Second Amended and Restated Memorandum and Articles of Association of the Company, as the same may be amended (the “M&AA”) and subject to the vesting terms set forth in Section 7 below and the terms governing the treatment of the Shares as set forth in Section 8 below. The Shares issued hereunder are not intended to be treated as a capital interest and instead are intended to be treated as a profits interest in a partnership within the meaning of U.S. Internal Revenue Service Revenue Procedures 93-27 and 2001-43 as of the date that the Shares are issued. The Floor Amount (as such term is defined in the M&AA) is $[______________].

2.Delivery of Share Certificate. If required by the Executive, the Company will issue, as promptly hereafter as practicable, a share certificate, registered in the name of the Executive, reflecting the Shares and will arrange for the Company's Register of Members to be updated accordingly.

3.Limitation on Payments. In the event that any of the benefits provided for in this Agreement or otherwise payable to the Executive (i) constitute “parachute payments” within the meaning of Section 280G of the U.S. Internal Revenue Code, as amended (the “Code”), and (ii) would be subject to the excise tax imposed by Section 4999 of the Code (the “Excise Tax”), then the Executive’s benefits under this Agreement shall be either

(1)delivered in full, or

(2)delivered as to such lesser extent which would result in no portion of such benefits being subject to the Excise Tax,

whichever of the foregoing amounts, taking into account the applicable federal, state and local income taxes and the Excise Tax, results in the receipt by the Executive on an after-tax basis, of the greatest amount of benefits, notwithstanding that all or some portion of such benefits may be taxable under Section 4999 of the Code. Any reduction in payments and/or benefits required by this Section 3 will occur in the following order: (1) reduction of cash payments; (2) reduction of vesting acceleration of equity awards; and (3) reduction of other benefits paid or provided to Executive. In the event that acceleration of vesting of equity awards is to be reduced, such acceleration of vesting will be cancelled in the reverse order of the date of grant for Executive’s equity awards. If two or more equity awards are granted on the same date, each award will be reduced on a pro-rata basis. In no event will Executive exercise any discretion with respect to the ordering of any reductions of payments or benefits under this Section 3.

Unless the Company and the Executive otherwise agree in writing, any determination required under this Section 3 shall be made in writing by the Company’s independent public accountants or a national “Big Four” accounting firm selected by the Company (the “Accountants”), whose determination shall be conclusive and binding upon the Executive and the Company for all purposes. For purposes of making the calculations required by this Section 3, the Accountants may make reasonable assumptions and approximations concerning applicable taxes and may rely on reasonable, good faith interpretations concerning the application of Section 280G and 4999 of the Code. The Company and the Executive shall furnish to the Accountants such information and documents as the Accountants may reasonably request in order to make a determination under this Section 3. The Company shall bear all costs the Accountants may reasonably incur in connection with any calculations contemplated by this Section 3.

4.Tax Matters.

(a)Executive has reviewed with Executive’s own tax advisors the federal, state, local and foreign tax consequences of the transactions contemplated by this Agreement. Executive is relying solely on such advisors and not on any statements or representations of the Company or any of its agents. Executive understands that Executive (and not the Company) shall be responsible for Executive’s own tax liability that may arise as a result of the transactions contemplated by this Agreement. Executive acknowledges and agrees that the Company makes no guarantee with respect to the treatment of the Shares hereunder, including whether they in fact qualify as “profits interests” within the meaning of Revenue Procedures 93-27 and 2001-43. Executive understands that Executive may file an election under Section 83(b) of the Code with the IRS within thirty (30) days from the date of transfer. The form for making this election is attached as Exhibit A-3 hereto. EXECUTIVE ACKNOWLEDGES THAT IT IS EXECUTIVE’S SOLE RESPONSIBILITY AND NOT THE COMPANY’S TO FILE TIMELY THE ELECTION UNDER SECTION 83(b), EVEN IF EXECUTIVE REQUESTS THE COMPANY OR ITS REPRESENTATIVES TO MAKE THIS FILING ON THE EXECUTIVE’S BEHALF.

(b)Pursuant to such procedures as the Administrator may specify from time to time, the Company shall withhold the minimum amount required to be withheld by applicable law for the payment of income, employment and other taxes which the Company determines may be required to be withheld (such amount, the “Withholding Taxes”) with respect to the grant of Shares hereunder and/or the vesting of the Shares: (i) withholding the amount of such Withholding Taxes from Executive’s paycheck(s), (ii) requiring Executive to make appropriate arrangements with the Company (or the member of the Flextronics Group employing or retaining Executive) for the satisfaction of such Withholding Taxes, or (iii) a combination of the foregoing. The Company shall not retain fractional Shares to satisfy any portion of the Withholding Taxes. Accordingly, if any withholding is performed through the withholding of Shares, Executive shall pay to the Company an amount in cash or a cash equivalent that is sufficient to satisfy the remaining portion of the Withholding Taxes due and payable as a result of the Company not retaining fractional Shares. Should the Company be unable to procure such cash amounts from Executive, Executive agrees and acknowledges that Executive is giving the Company permission to withhold from Executive’s paycheck(s) an amount equal to the remaining portion of the Withholding Taxes due and payable as a result of the Company not retaining fractional Shares.

5.No Guarantee of Continued Service. EXECUTIVE ACKNOWLEDGES AND AGREES THAT THE VESTING OF THE SHARES PURSUANT TO THE VESTING SCHEDULE HEREOF IS EARNED ONLY BY CONTINUING AS A SERVICE PROVIDER AT THE WILL OF THE COMPANY (OR THE PARENT OR SUBSIDIARY EMPLOYING OR RETAINING EXECUTIVE) AND NOT THROUGH THE ACT OF BEING HIRED OR PURCHASING SHARES HEREUNDER. EXECUTIVE FURTHER ACKNOWLEDGES AND AGREES THAT THIS AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREUNDER AND THE VESTING SCHEDULE SET FORTH HEREIN DO NOT CONSTITUTE AN EXPRESS OR IMPLIED PROMISE OF CONTINUED ENGAGEMENT AS A SERVICE PROVIDER FOR THE VESTING PERIOD, FOR ANY PERIOD, OR AT ALL, AND SHALL NOT INTERFERE IN ANY WAY WITH EXECUTIVE’S RIGHT OR THE RIGHT OF THE COMPANY (OR THE PARENT OR SUBSIDIARY EMPLOYING OR RETAINING EXECUTIVE) TO TERMINATE EXECUTIVE’S RELATIONSHIP AS A SERVICE PROVIDER AT ANY TIME, WITH OR WITHOUT CAUSE.

6.Forfeiture.

(a)Termination for Cause.In the event Executive’s continuous status as a Service Provider terminates for Cause, all Shares shall be immediately and automatically forfeited by Executive and re-purchased at their par value, $0.0005 per Share, as it may be adjusted pursuant to the M&AA, by the Company from the Executive and the Register of Members of the Company shall be updated accordingly to reflect such re-purchase.

(b)Termination other than for Cause. In the event Executive ceases to be a Service Provider, for any reason other than termination for Cause, including, without limitation, by reason of Executive’s death or disability, (i) any Unreleased Shares shall be immediately and automatically forfeited by Executive and re-purchased at their par value, $0.0005 per Share, as it may be adjusted pursuant to the M&AA, by the Company from the Executive and the Register of Members of the Company shall be updated accordingly to reflect such re-purchase and (ii) the Company shall have the right, but not the obligation (the “Repurchase Option”) to repurchase any Released Shares at a price per share equal to the fair market value of the shares at the time the Repurchase Option is exercised, as determined by the Administrator in its sole discretion (the “Repurchase Price”). The Repurchase Option shall be exercised within 90 days of the Executive’s termination date by the Company by delivering written notice to the Executive, or in the event of Executive’s death, the Executive’s executor and, at the Company’s option (i) by delivering to the Executive or the Executive’s executor a check in the amount of the aggregate Repurchase Price. Upon delivery of such notice, the payment of the aggregate Repurchase Price and the updating of the Register of Members of the Company to reflect the same, the Company shall become the legal and beneficial owner of the Repurchased Shares being repurchased and all rights and interests therein or relating thereto, and the Company shall have the right to retain and transfer to its own name the number of Repurchased Shares being repurchased by the Company.

7.Vesting. Following the Issue Date, 25% of the Shares subject to this Agreement shall vest on the one year anniversary of [_________________] (the “Vesting Commencement Date”) and an additional 25% of the Shares subject to this Agreement shall vest yearly on the anniversary of the Vesting Commencement Date (and if there is no corresponding day, on the last day of the month), subject to Executive continuing to be a Service Provider through each such date.

Any of the Shares that vest pursuant to the terms and conditions of this Section 7 are referred herein as “Released Shares.” Any of the Shares that do not vest pursuant to the terms and conditions of this Section 7 are referred to herein as “Unreleased Shares.”

8.Treatment of Shares upon Deemed Liquidation Event or Initial Public Offering. In the event of a Deemed Liquidation Event (as defined in the Second Amended and Restated Memorandum of Association of Elementum SCM Cayman Ltd. (“Elementum”)) or upon any initial public offering of Elementum (“Initial Public Offering”), all Shares will be treated as the Administrator determines in its sole discretion, without Executive’s consent. In connection with any distribution that may be made in the sole discretion of the Administrator following a Deemed Liquidation Event or Initial Public Offering, Executive hereby agrees to execute and deliver to the Company all agreements as may required by the Administrator, in its sole discretion, including but not limited to any lock-up agreements or agreements regarding transfer restrictions.

9.Restriction on Transfer. Except for the escrow described in Section 10, none of the Shares or any beneficial interest therein shall be transferred, encumbered or otherwise disposed of in any way other than by will or the laws of descent and distribution, unless otherwise determined by the Administrator, who may, in their absolute discretion, decline to register any transfer of Shares without giving any reason. Any distribution or delivery to be made to Executive under this Agreement shall, if Executive is then deceased, be made to Executive’s designated beneficiary, or if no beneficiary survives Executive, to the administrator or executor of Executive’s estate. Any such transferee must furnish the Company with (a) written notice of his or her status as transferee, and (b) evidence satisfactory to the Company to establish the validity of the transfer and compliance with any laws or regulations pertaining to said transfer.

10.Escrow of Shares.

(a)Executive will, upon execution of this Agreement, deliver and deposit with Flextronics International Ltd. (or such other escrow holder that may be designated by the Company) (the “Escrow Holder”) the share certificates representing the Unreleased Shares, together with the Share Transfer Form (the “Share Assignment”) duly endorsed in blank, attached hereto as Exhibit A-1. The Unreleased Shares and Share Assignment shall be held by the Escrow Holder, pursuant to the Joint Escrow Instructions of the Company and Executive attached as Exhibit A-2 hereto, until such time as the Shares vest pursuant to this Agreement.

(b)The Escrow Holder shall not be liable for any act it may do or omit to do with respect to holding the Unreleased Shares in escrow and while acting in good faith and in the exercise of its judgment.

(c)Upon forfeiture of Unreleased Shares by Executive and related re-purchase of Shares by the Company as set out in section 6 (Forfeiture) above, the Escrow Holder shall return the certificate or certificates evidencing such Unreleased Shares to the Company and the Company shall arrange for the Company's Register of Members to be updated accordingly.

(d)If a portion of the Shares has vested, upon Executive’s request the Escrow Holder shall promptly cause a new certificate to be issued for such released Shares and shall deliver such certificate to the Company or Executive, as the case may be.

(e)Executive shall not have any rights to receive any payments or distributions with respect to any portion of the Shares that have not vested as of the time of such payments or distributions, in accordance with the terms of the M&AA and this Agreement.

(f)In the event of any merger, reorganization, consolidation, recapitalization, separation, liquidation, stock or share dividend, split-up, share combination, or other change in the corporate structure of the Company affecting the Shares, the Shares shall be increased, reduced or otherwise changed, and by virtue of any such change Executive shall in his or her capacity as owner of Unreleased Shares that have been awarded to him or her be entitled to new or additional or different shares in the capital of the Company or securities (other than rights or warrants to purchase securities); such new or additional or different shares or securities shall thereupon be considered to be “Unreleased Shares” and shall be subject to all of the conditions and restrictions which were applicable to the Unreleased Shares pursuant to this Agreement. If Executive receives rights or warrants with respect to any Unreleased Shares, such rights or warrants may be held or exercised by Executive, provided that until such exercise any such rights or warrants and after such exercise any shares or other securities acquired by the exercise of such rights or warrants shall be considered to be Unreleased Shares and shall be subject to all of the conditions and restrictions which were applicable to the Unreleased Shares pursuant to this Agreement. The Administrator in its absolute discretion at any time may accelerate the vesting of all or any portion of such new or additional shares or securities, rights or warrants to purchase securities or shares or other securities acquired by the exercise of such rights or warrants.

11.Restrictive Legends and Stop-Transfer Orders.

(a)Legends. Executive understands and agrees that the Company shall cause the legends set forth below or legends substantially equivalent thereto, to be placed upon any certificate(s) evidencing ownership of the Shares together with any other legends that may be required by the Company or by state or federal securities laws:

THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933 (THE “ACT”) AND MAY NOT BE OFFERED, SOLD OR OTHERWISE TRANSFERRED, PLEDGED OR HYPOTHECATED UNLESS AND UNTIL REGISTERED UNDER THE ACT OR, IN THE OPINION OF COUNSEL SATISFACTORY TO THE ISSUER OF THESE SECURITIES, SUCH OFFER, SALE OR TRANSFER, PLEDGE OR HYPOTHECATION IS IN COMPLIANCE THEREWITH.

THE SHARES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO CERTAIN RESTRICTIONS ON TRANSFER AND FORFEITURE RIGHTS HELD BY OR IN FAVOR OF THE ISSUER OR ITS ASSIGNEE(S) AS SET FORTH IN THE FOUNDER RESTRICTED STOCK PURCHASE AGREEMENT BETWEEN THE ISSUER AND THE ORIGINAL HOLDER OF THESE SHARES, A COPY OF WHICH MAY BE OBTAINED AT THE PRINCIPAL OFFICE OF THE ISSUER. SUCH TRANSFER RESTRICTIONS AND FORFEITURE TERMS ARE BINDING ON TRANSFEREES OF THESE SHARES.

(b)Stop-Transfer Notices. Executive agrees that, in order to ensure compliance with the restrictions referred to herein, the Company may issue appropriate “stop transfer” instructions to its transfer agent, if any, and that, if the Company transfers its own securities, it may make appropriate notations to the same effect in its own records, including in its Register of Members.

(c)Refusal to Transfer. The Company shall not be required (i) to enter the transfer in its Register of Members of any Shares that have been sold or otherwise transferred in violation of any of the provisions of this Agreement or (ii) to treat as a member of the Company or as owner of such Shares or to accord the right to vote or pay dividends to any Executive or other transferee to whom such Shares shall have been so transferred.

12.Notices. Any notice, demand or request required or permitted to be given by either the Company or Executive pursuant to the terms of this Agreement shall be in writing and shall be deemed given when delivered personally or deposited in the U.S. mail, First Class with postage prepaid, and addressed to the parties at the addresses of the parties set forth at the end of this Agreement or such other address as a party may request by notifying the other in writing.

Any notice to the Escrow Holder shall be sent to the Company’s address with a copy to the other party not sending the notice.

13.No Waiver. Either party’s failure to enforce any provision or provisions of this Agreement shall not in any way be construed as a waiver of any such provision or provisions, nor prevent that party from thereafter enforcing each and every other provision of this Agreement. The rights granted both parties herein are cumulative and shall not constitute a waiver of either party’s right to assert all other legal remedies available to it under the circumstances.

14.Successors and Assigns. The Company may assign any of its rights under this Agreement to single or multiple assignees, and this Agreement shall inure to the benefit of the successors and assigns of the Company. Subject to the restrictions on transfer herein set forth, this Agreement shall be binding upon Executive and his or her

heirs, executors, administrators, successors and assigns. The rights and obligations of Executive under this Agreement may only be assigned with the prior written consent of the Company.

15.Interpretation. Any dispute regarding the interpretation of this Agreement shall be submitted by Executive or by the Company forthwith to the Administrator, which shall review such dispute at its next regular meeting. The resolution of such a dispute by the Administrator shall be final and binding on all parties.

16.Additional Documents. Executive agrees upon request to execute any further documents or instruments necessary or desirable to carry out the purposes or intent of this Agreement.

17.Controlling Law; Dispute Resolution; Waiver of Jury Trial.

(a)This Agreement shall be governed by and interpreted in accordance with the laws of the State of California, exclusive of conflict or choice-of-law rules, and the parties hereby consent to the personal and exclusive jurisdiction and venue of the California state courts and the federal courts located in Santa Clara County, California.

(b)Notwithstanding the foregoing, except with respect to enforcing claims for injunctive or equitable relief, any dispute, claim or controversy arising out of or relating in any way to this Agreement or the interpretation, application, enforcement, breach, termination or validity thereof (including any claim of inducement of this Agreement by fraud and including determination of the scope or applicability of this agreement to arbitrate) or its subject matter (collectively, “Disputes”) shall be determined by binding arbitration before one arbitrator. The arbitration shall be administered by JAMS conducted in accordance with the expedited procedures set forth in the JAMS Comprehensive Arbitration Rules and Procedures as those Rules exist on the effective date of this Agreement, including Rules 16.1 and 16.2 of those Rules. Notwithstanding anything to the contrary in this Agreement, the Federal Arbitration Act shall govern the arbitrability of all Disputes. The arbitration shall be held in Santa Clara County, California, and it shall be conducted in the English language. The parties shall maintain the confidential nature of the arbitration proceeding and any award, including the hearing, except as may be necessary to prepare for or conduct the arbitration hearing on the merits, or except as may be necessary in connection with a court application for a preliminary remedy, a judicial challenge to an award or its enforcement, or unless otherwise required by law or judicial decision. The arbitrator shall have authority to award compensatory damages only and shall not award any punitive, exemplary, or multiple damages, and the parties waive any right to recover any such damages. Judgment on any award in arbitration may be entered in any court of competent jurisdiction. Notwithstanding the above, each party shall have recourse to any court of competent jurisdiction to enforce claims for injunctive and other equitable relief.

(c)IN THE EVENT OF ANY DISPUTE BETWEEN THE PARTIES, WHETHER IT RESULTS IN PROCEEDINGS IN ANY COURT IN ANY JURISDICTION OR IN ARBITRATION, THE PARTIES HEREBY KNOWINGLY AND VOLUNTARILY, AND HAVING HAD AN OPPORTUNITY TO CONSULT WITH COUNSEL, WAIVE ALL RIGHTS TO TRIAL BY JURY, AND AGREE THAT ANY AND ALL MATTERS SHALL BE DECIDED BY A JUDGE OR ARBITRATOR WITHOUT A JURY TO THE FULLEST EXTENT PERMISSIBLE UNDER APPLICABLE LAW. To the extent applicable, in the event of any lawsuit between the parties arising out of or related to this Agreement, the parties agree to prepare and to timely file in the applicable court a mutual consent to waive any statutory or other requirements for a trial by jury.

18.Entire Agreement. This Agreement (including the exhibits referenced herein) and the M&AA constitute the entire agreement of the parties with respect to the subject matter hereof and supersede in their entirety all prior undertakings and agreements of the Company and Executive with respect to the subject matter hereof, and may not be modified adversely to the Executive’s interest except by means of a writing signed by the Company and Executive.

19.Defined Terms. Terms not defined in this Agreement are defined in Exhibit B attached hereto.

[Remainder of Page Intentionally Left Blank]

Executive has reviewed this Agreement and the M&AA in its entirety, has had an opportunity to obtain the advice of counsel prior to executing this Agreement and fully understands all provisions of this Agreement. Executive hereby agrees to accept as binding, conclusive and final all decisions or interpretations of the Administrator upon any questions arising under this Agreement. Executive further agrees to notify the Company upon any change in the residence address indicated below.

EXECUTIVE	ELEMENTUM HOLDING LTD.
Signature	By
Print Name	Print Name
	Title
Residence Address

EX-15.01

Exhibit 15.01

LETTER IN LIEU OF CONSENT OF DELOITTE & TOUCHE LLP

October 26, 2015

Flextronics International Ltd.

2 Changi South Lane

Singapore 486123

We have reviewed, in accordance with the standards of the Public Company Accounting Oversight Board (United States), the unaudited interim financial information of Flextronics International Ltd. and subsidiaries for the periods ended September 25, 2015 and September 26, 2014, as indicated in our report dated October 26, 2015; because we did not perform an audit, we expressed no opinion on that information.

We are aware that our report referred to above, which is included in your Quarterly Report on Form 10-Q for the quarter ended September 25, 2015, is incorporated by reference in Registration Statement Nos. 333‑207067 on Form S‑4, 333-207325, 333‑157210, 333‑146549, 333‑146548, 333‑143331, 333‑143330, 333‑126419, 333‑121302, 333‑120056, 333‑119387, 333‑103189, 333‑75526 and 333‑170710 on Form S-8.

We also are aware that the aforementioned report, pursuant to Rule 436(c) under the Securities Act of 1933, is not considered a part of the Registration Statement prepared or certified by an accountant or a report prepared or certified by an accountant within the meaning of Sections 7 and 11 of that Act.

/s/ DELOITTE & TOUCHE LLP

San Jose, California

EX-31.01

EXHIBIT 31.01

CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER PURSUANT TO

SECTION 302

OF THE SARBANES-OXLEY ACT OF 2002

I, Michael M. McNamara, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Flextronics International Ltd.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a. Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b. Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c. Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d. Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a. All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b. Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date:  October 26, 2015

/s/ Michael M. McNamara

Michael M. McNamara

Chief Executive Officer

EX-31.02

EXHIBIT 31.02

CERTIFICATION OF PRINCIPAL FINANCIAL OFFICER PURSUANT TO

SECTION 302

OF THE SARBANES-OXLEY ACT OF 2002

I, Christopher Collier, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Flextronics International Ltd.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a. Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b. Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c. Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d. Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a. All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b. Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date:  October 26, 2015

/s/ Christopher Collier

Christopher Collier

Chief Financial Officer

EX-32.01

EXHIBIT 32.01

CERTIFICATION OF CHIEF EXECUTIVE OFFICER AND CHIEF FINANCIAL OFFICER PURSUANT TO

18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO SECTION 906

OF THE SARBANES-OXLEY ACT OF 2002

We, Michael M. McNamara and Christopher Collier, Chief Executive Officer and Chief Financial Officer, respectively, of Flextronics International Ltd. (the “Company”), hereby certify, to the best of our knowledge, pursuant to 18 U.S.C. § 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

• the Quarterly Report on Form 10-Q of the Company for the period ended September 25, 2015, as filed with the Securities and Exchange Commission (the “Report”), fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

• the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

A signed original of this written statement has been provided to Flextronics International Ltd. and will be retained by it and furnished to the Securities and Exchange Commission or its staff upon request.

Date:	October 26, 2015	/s/ Michael M. McNamara
		Michael M. McNamara
		Chief Executive Officer
		(Principal Executive Officer)
Date:	October 26, 2015	/s/ Christopher Collier
		Christopher Collier
		Chief Financial Officer
		(Principal Financial Officer)

XML

SHARE-BASED COMPENSATION (Details 2) $ / shares in Units, $ in Millions	6 Months Ended
	Sep. 25, 2015 USD ($) $ / shares shares
Share options
Share-based compensation
Share options outstanding (in shares)	5,800,000
Options outstanding, weighted average exercise price (in dollars per share) | $ / shares	$ 5.44
Options exercisable (shares)	5,800,000
Weighted average exercise price of exercisable shares (in dollars per share) | $ / shares	$ 5.44
Restricted Stock Units, Share Bonus Awards with Market Conditions, and Share Bonus Awards With Free Cash Flow Targets
Share-based compensation
Unvested share bonus awards granted	6,100,000
Number of shares outstanding	17,300,000
Unrecognized compensation expense | $	$ 122.5
Share weighted-average remaining vesting period	2 years 9 months 4 days
Share bonus awards
Share-based compensation
Unvested share bonus awards granted	5,200,000
Average grant date price of unvested share bonus awards (in dollars per share) | $ / shares	$ 11.97
Share Bonus Awards with Market Conditions
Share-based compensation
Number of shares outstanding	3,700,000
Unrecognized compensation expense | $	$ 20.0
Share Bonus Awards with Market Conditions | Fiscal 2013
Share-based compensation
Shares vested	2,200,000
Share Bonus Awards with Market Conditions | Minimum
Share-based compensation
Number of shares that may be issued	0
Share Bonus Awards with Market Conditions | Maximum
Share-based compensation
Number of shares that may be issued	7,400,000
Share Bonus Awards with Market Conditions | Key employees
Share-based compensation
Unvested share bonus awards granted	700,000
Vesting period	3 years
Share Bonus Awards with Market Conditions | Key employees | Minimum
Share-based compensation
Unvested share bonus awards granted	0
Share Bonus Awards with Market Conditions | Key employees | Maximum
Share-based compensation
Unvested share bonus awards granted	1,400,000
Share Bonus Awards with Market Conditions | Certain executive officers
Share-based compensation
Vesting period	3 years
Measurement period	3 years
Share Bonus Awards with Market Conditions | Certain executive officers | Minimum
Share-based compensation
Unvested share bonus awards granted	0
Share Bonus Awards with Market Conditions | Certain executive officers | Maximum
Share-based compensation
Unvested share bonus awards granted	400,000
Share Bonus Awards With Free Cash Flow Targets | Certain executive officers
Share-based compensation
Unvested share bonus awards granted	200,000
Average grant date price of unvested share bonus awards (in dollars per share) | $ / shares	$ 14.96
Nonvested average grant date price (in dollars per share) | $ / shares	$ 12.10
Half of the share bonus awards with market conditions | Fiscal 2012
Share-based compensation
Shares vested	500,000

XML

FAIR VALUE MEASUREMENT OF ASSETS AND LIABILITIES (Details 2) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 25, 2015	Sep. 26, 2014	Sep. 25, 2015	Sep. 26, 2014
Contingent Consideration Liability [Roll Forward]
Beginning balance	$ 4,500	$ 11,300	$ 4,500	$ 11,300
Additions to accrual	0	4,500	0	4,500
Payments	0	0	0	0
Fair value adjustments	0	0	0	0
Ending balance	$ 4,500	$ 15,800	$ 4,500	$ 15,800

XML

FINANCIAL INSTRUMENTS (Details) - 6 months ended Sep. 25, 2015 € in Thousands, ₪ in Thousands, ¥ in Thousands, ¥ in Thousands, £ in Thousands, SGD in Thousands, SFr in Thousands, SEK in Thousands, MYR in Thousands, MXN in Thousands, HUF in Thousands, DKK in Thousands, CAD in Thousands, BRL in Thousands, $ in Thousands	USD ($)	SGD	GBP (£)	MYR	BRL	ILS (₪)	SEK	HUF	CAD	USD ($)	JPY (¥)	EUR (€)	CHF (SFr)	MXN	CNY (¥)	DKK
Notional amount
Deferred losses	$ 9,700
Forward and Swap Contracts
Notional amount
Notional Contract Value										$ 4,900,000
Forward and Swap Contracts | Buy
Notional amount
Notional Contract Value										2,501,570
Forward and Swap Contracts | Sell
Notional amount
Notional Contract Value										2,360,648
Forward and Swap Contracts | Derivatives designated as hedging instruments | Cash Flow Hedges | Buy
Notional amount
Notional Contract Value										521,403
Forward and Swap Contracts | Derivatives designated as hedging instruments | Cash Flow Hedges | Buy | CNY
Notional amount
Notional Contract Value										241,709					¥ 1,543,000
Forward and Swap Contracts | Derivatives designated as hedging instruments | Cash Flow Hedges | Buy | EUR
Notional amount
Notional Contract Value										5,367					4,790
Forward and Swap Contracts | Derivatives designated as hedging instruments | Cash Flow Hedges | Buy | HUF
Notional amount
Notional Contract Value								HUF 13,758,000		49,370
Forward and Swap Contracts | Derivatives designated as hedging instruments | Cash Flow Hedges | Buy | ILS
Notional amount
Notional Contract Value						₪ 176,700				44,759
Forward and Swap Contracts | Derivatives designated as hedging instruments | Cash Flow Hedges | Buy | MXN
Notional amount
Notional Contract Value										82,580				MXN 1,414,000
Forward and Swap Contracts | Derivatives designated as hedging instruments | Cash Flow Hedges | Buy | MYR
Notional amount
Notional Contract Value				MYR 196,000						45,094
Forward and Swap Contracts | Derivatives designated as hedging instruments | Cash Flow Hedges | Buy | Other
Notional amount
Notional Contract Value										52,524
Forward and Swap Contracts | Derivatives designated as hedging instruments | Cash Flow Hedges | Sell
Notional amount
Notional Contract Value										70,034
Forward and Swap Contracts | Derivatives designated as hedging instruments | Cash Flow Hedges | Sell | CNY
Notional amount
Notional Contract Value										0					0
Forward and Swap Contracts | Derivatives designated as hedging instruments | Cash Flow Hedges | Sell | EUR
Notional amount
Notional Contract Value										69,534					60,780
Forward and Swap Contracts | Derivatives designated as hedging instruments | Cash Flow Hedges | Sell | HUF
Notional amount
Notional Contract Value								0		0
Forward and Swap Contracts | Derivatives designated as hedging instruments | Cash Flow Hedges | Sell | ILS
Notional amount
Notional Contract Value						0				0
Forward and Swap Contracts | Derivatives designated as hedging instruments | Cash Flow Hedges | Sell | MXN
Notional amount
Notional Contract Value										0				0
Forward and Swap Contracts | Derivatives designated as hedging instruments | Cash Flow Hedges | Sell | MYR
Notional amount
Notional Contract Value				0						0
Forward and Swap Contracts | Derivatives designated as hedging instruments | Cash Flow Hedges | Sell | Other
Notional amount
Notional Contract Value										500
Forward and Swap Contracts | Economic hedges | Buy
Notional amount
Notional Contract Value										1,980,167
Forward and Swap Contracts | Economic hedges | Buy | BRL
Notional amount
Notional Contract Value					BRL 0					0
Forward and Swap Contracts | Economic hedges | Buy | CAD
Notional amount
Notional Contract Value									CAD 19,200	14,403
Forward and Swap Contracts | Economic hedges | Buy | CHF
Notional amount
Notional Contract Value										17,320			SFr 16,919
Forward and Swap Contracts | Economic hedges | Buy | CNY
Notional amount
Notional Contract Value										738,966					4,719,018
Forward and Swap Contracts | Economic hedges | Buy | DKK
Notional amount
Notional Contract Value										29,614						DKK 197,200
Forward and Swap Contracts | Economic hedges | Buy | EUR
Notional amount
Notional Contract Value										670,293		€ 597,631
Forward and Swap Contracts | Economic hedges | Buy | GBP
Notional amount
Notional Contract Value			£ 32,393							49,449
Forward and Swap Contracts | Economic hedges | Buy | HUF
Notional amount
Notional Contract Value								20,332,000		72,961
Forward and Swap Contracts | Economic hedges | Buy | ILS
Notional amount
Notional Contract Value						62,000				15,705
Forward and Swap Contracts | Economic hedges | Buy | JPY
Notional amount
Notional Contract Value										18,807	¥ 2,256,614
Forward and Swap Contracts | Economic hedges | Buy | MXN
Notional amount
Notional Contract Value										86,059				1,473,560
Forward and Swap Contracts | Economic hedges | Buy | MYR
Notional amount
Notional Contract Value				384,331						88,423
Forward and Swap Contracts | Economic hedges | Buy | SEK
Notional amount
Notional Contract Value							SEK 474,290			56,315
Forward and Swap Contracts | Economic hedges | Buy | SGD
Notional amount
Notional Contract Value		SGD 43,268								30,353
Forward and Swap Contracts | Economic hedges | Buy | Other
Notional amount
Notional Contract Value										91,499
Forward and Swap Contracts | Economic hedges | Sell
Notional amount
Notional Contract Value										2,290,614
Forward and Swap Contracts | Economic hedges | Sell | BRL
Notional amount
Notional Contract Value					BRL 686,000					165,929
Forward and Swap Contracts | Economic hedges | Sell | CAD
Notional amount
Notional Contract Value									CAD 12,500	9,377
Forward and Swap Contracts | Economic hedges | Sell | CHF
Notional amount
Notional Contract Value										44,712			SFr 43,701
Forward and Swap Contracts | Economic hedges | Sell | CNY
Notional amount
Notional Contract Value										512,000					¥ 3,236,303
Forward and Swap Contracts | Economic hedges | Sell | DKK
Notional amount
Notional Contract Value										23,382						DKK 155,700
Forward and Swap Contracts | Economic hedges | Sell | EUR
Notional amount
Notional Contract Value										1,130,041		€ 1,007,752
Forward and Swap Contracts | Economic hedges | Sell | GBP
Notional amount
Notional Contract Value			£ 59,840							91,382
Forward and Swap Contracts | Economic hedges | Sell | HUF
Notional amount
Notional Contract Value								HUF 20,408,000		73,234
Forward and Swap Contracts | Economic hedges | Sell | ILS
Notional amount
Notional Contract Value						₪ 85,100				21,556
Forward and Swap Contracts | Economic hedges | Sell | JPY
Notional amount
Notional Contract Value										14,079	¥ 1,700,061
Forward and Swap Contracts | Economic hedges | Sell | MXN
Notional amount
Notional Contract Value										19,380				MXN 331,830
Forward and Swap Contracts | Economic hedges | Sell | MYR
Notional amount
Notional Contract Value				MYR 94,650						21,776
Forward and Swap Contracts | Economic hedges | Sell | SEK
Notional amount
Notional Contract Value							SEK 886,483			105,026
Forward and Swap Contracts | Economic hedges | Sell | SGD
Notional amount
Notional Contract Value		SGD 8,348								5,856
Forward and Swap Contracts | Economic hedges | Sell | Other
Notional amount
Notional Contract Value										$ 52,884

XML

FAIR VALUE MEASUREMENT OF ASSETS AND LIABILITIES (Details 3) - Recurring Basis - USD ($) $ in Thousands	Sep. 25, 2015	Mar. 31, 2015
Money market funds and time deposits
Financial Instruments Measured at Fair Value on a Recurring Basis and Nonrecurring Basis
Total Assets	$ 447,217	$ 674,859
Deferred purchase price receivable (Note 10)
Financial Instruments Measured at Fair Value on a Recurring Basis and Nonrecurring Basis
Total Assets	537,619	600,672
Foreign exchange contracts (Note 8)
Financial Instruments Measured at Fair Value on a Recurring Basis and Nonrecurring Basis
Total Assets	19,626	25,829
Total Liabilities	(26,504)	(31,057)
Deferred compensation plan assets: Mutual funds, money market accounts and equity securities
Financial Instruments Measured at Fair Value on a Recurring Basis and Nonrecurring Basis
Total Assets	46,615	46,109
Contingent consideration in connection with business acquisitions
Financial Instruments Measured at Fair Value on a Recurring Basis and Nonrecurring Basis
Total Liabilities	(4,500)	(4,500)
Level 1 | Money market funds and time deposits
Financial Instruments Measured at Fair Value on a Recurring Basis and Nonrecurring Basis
Total Assets	0	0
Level 1 | Deferred purchase price receivable (Note 10)
Financial Instruments Measured at Fair Value on a Recurring Basis and Nonrecurring Basis
Total Assets	0	0
Level 1 | Foreign exchange contracts (Note 8)
Financial Instruments Measured at Fair Value on a Recurring Basis and Nonrecurring Basis
Total Assets	0	0
Total Liabilities	0	0
Level 1 | Deferred compensation plan assets: Mutual funds, money market accounts and equity securities
Financial Instruments Measured at Fair Value on a Recurring Basis and Nonrecurring Basis
Total Assets	8,939	9,068
Level 1 | Contingent consideration in connection with business acquisitions
Financial Instruments Measured at Fair Value on a Recurring Basis and Nonrecurring Basis
Total Liabilities	0	0
Level 2 | Money market funds and time deposits
Financial Instruments Measured at Fair Value on a Recurring Basis and Nonrecurring Basis
Total Assets	447,217	674,859
Level 2 | Deferred purchase price receivable (Note 10)
Financial Instruments Measured at Fair Value on a Recurring Basis and Nonrecurring Basis
Total Assets	0	0
Level 2 | Foreign exchange contracts (Note 8)
Financial Instruments Measured at Fair Value on a Recurring Basis and Nonrecurring Basis
Total Assets	19,626	25,829
Total Liabilities	(26,504)	(31,057)
Level 2 | Deferred compensation plan assets: Mutual funds, money market accounts and equity securities
Financial Instruments Measured at Fair Value on a Recurring Basis and Nonrecurring Basis
Total Assets	37,676	37,041
Level 2 | Contingent consideration in connection with business acquisitions
Financial Instruments Measured at Fair Value on a Recurring Basis and Nonrecurring Basis
Total Liabilities	0	0
Level 3 | Money market funds and time deposits
Financial Instruments Measured at Fair Value on a Recurring Basis and Nonrecurring Basis
Total Assets	0	0
Level 3 | Deferred purchase price receivable (Note 10)
Financial Instruments Measured at Fair Value on a Recurring Basis and Nonrecurring Basis
Total Assets	537,619	600,672
Level 3 | Foreign exchange contracts (Note 8)
Financial Instruments Measured at Fair Value on a Recurring Basis and Nonrecurring Basis
Total Assets	0	0
Total Liabilities	0	0
Level 3 | Deferred compensation plan assets: Mutual funds, money market accounts and equity securities
Financial Instruments Measured at Fair Value on a Recurring Basis and Nonrecurring Basis
Total Assets	0	0
Level 3 | Contingent consideration in connection with business acquisitions
Financial Instruments Measured at Fair Value on a Recurring Basis and Nonrecurring Basis
Total Liabilities	$ (4,500)	$ (4,500)

XML

OTHER CHARGES (INCOME), NET (Details) - USD ($) $ in Millions	3 Months Ended	6 Months Ended
	Sep. 25, 2015	Sep. 25, 2015	Sep. 26, 2014
Commitments
Refund given on disposition of assets	$ 1.6	$ 1.6
Supply commitment
Commitments
Other charges (income), net			$ 55.0

XML

SEGMENT REPORTING (Tables)

6 Months Ended

Sep. 25, 2015

Segment Reporting [Abstract]

Schedule of segment reporting information by operating segment

Selected financial information by segment is as follows:

	Three-Month Periods Ended						Six-Month Periods Ended
	September 25, 2015			September 26, 2014			September 25, 2015			September 26, 2014
	(In thousands)
Net sales:
Integrated Network Solutions	$	2,204,966		$	2,340,707		$	4,171,528		$	4,781,133
Consumer Technology Group	2,011,089			2,209,543			3,576,052			4,431,683
Industrial & Emerging Industries	1,145,842			1,097,202			2,275,981			2,221,668
High Reliability Solutions	954,865			881,065			1,859,449			1,736,778
	$	6,316,762		$	6,528,517		$	11,883,010		$	13,171,262
Segment income and reconciliation of income before tax:
Integrated Network Solutions	$	65,758		$	57,643		$	122,822		$	130,354
Consumer Technology Group	41,170			53,336			80,013			83,200
Industrial & Emerging Industries	32,268			35,582			61,268			82,906
High Reliability Solutions	71,199			48,801			131,085			102,944
Corporate and Other	(14,075		)	(11,952		)	(39,786		)	(32,805		)
Total segment income	196,320			183,410			355,402			366,599
Reconciling items:
Intangible amortization	16,127			8,232			23,798			15,183
Stock-based compensation	16,200			10,919			32,326			22,600
Other charges (income), net	1,678			(2,584		)	1,842			(46,593		)
Interest and other, net	22,035			12,506			38,540			31,143
Income before income taxes	$	140,280		$	154,337		$	258,896		$	344,266

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BUSINESS AND ASSETS ACQUISITIONS (Details) $ in Thousands			3 Months Ended	6 Months Ended
	Sep. 28, 2015 USD ($)	Jun. 29, 2015 USD ($)	Sep. 25, 2015 USD ($)	Sep. 25, 2015 USD ($) acquisition	Sep. 26, 2014 USD ($)	Jun. 26, 2015 USD ($)	Mar. 31, 2015 USD ($)	Jun. 27, 2014 USD ($)	Mar. 31, 2014 USD ($)
Business Acquisitions
Acquisition of businesses, net of cash acquired				$ 641,913	$ 38,082
Current assets:
Goodwill			$ 627,359	627,359			$ 333,631
Current liabilities:
Acquisition related costs			8,100	8,100
Gross Carrying Amount			469,946	469,946			173,838
Goodwill and intangibles			981,838	981,838			415,175
Potential contingent consideration			$ 4,500	4,500	$ 15,800	$ 4,500	4,500	$ 11,300	$ 11,300
Maximum time to complete final allocation of purchase price			12 months
Alcatel-Lucent
Business Acquisitions
Acquisition of businesses, net of cash acquired			$ 67,500
Current assets:
Inventories			55,000	55,000
Property and equipment, net			10,000	10,000
Intangibles			2,100	2,100
Goodwill			3,600	3,600
Current liabilities:
Net liabilities assumed in acquisition			3,200	3,200
Series of Individually Immaterial Business Acquisitions
Business Acquisitions
Purchase consideration net cash				$ 15,300
Number of acquisitions completed | acquisition				3
Cash acquired from acquisitions				$ 100
Current assets:
Property and equipment, net			2,000	2,000
Current liabilities:
Assumed liabilities			600	600
Goodwill and intangibles			18,900	18,900
Mirror Controls International
Business Acquisitions
Acquisition of businesses, net of cash acquired		$ 555,200
Cash acquired		$ 27,700
Current assets:
Accounts receivable			41,392	41,392
Inventories			19,169	19,169
Other current assets			2,790	2,790
Total current assets			63,351	63,351
Property and equipment, net			39,256	39,256
Other assets			942	942
Intangibles			280,000	280,000
Goodwill			290,478	290,478
Total assets			674,027	674,027
Current liabilities:
Accounts payable			28,002	28,002
Accrued liabilities & other current liabilities			20,677	20,677
Total current liabilities			48,679	48,679
Other liabilities			70,190	70,190
Total aggregate purchase price			555,158	555,158
Acquisition related costs			6,700
Subsequent Event | Nextracker
Business Acquisitions
Acquisition of businesses, net of cash acquired	$ 245,000
Current liabilities:
Potential contingent consideration	$ 97,200
Customer-related intangibles
Current liabilities:
Gross Carrying Amount			279,204	$ 279,204			133,853
Customer-related intangibles | Alcatel-Lucent
Current liabilities:
Weighted average useful life				5 years
Customer-related intangibles | Mirror Controls International
Current liabilities:
Gross Carrying Amount			131,400	$ 131,400
Weighted average useful life				8 years
Licenses and other intangibles
Current liabilities:
Gross Carrying Amount			190,742	$ 190,742			$ 39,985
Licenses and other intangibles | Mirror Controls International
Current liabilities:
Gross Carrying Amount			$ 148,600	$ 148,600
Weighted average useful life				10 years

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SHARE-BASED COMPENSATION (Tables)

6 Months Ended

Sep. 25, 2015

Share-based Compensation, Allocation and Classification in Financial Statements [Abstract]

Schedule of share-based compensation expense

The following table summarizes the Company’s share-based compensation expense:

	Three-Month Periods Ended				Six-Month Periods Ended
	September 25, 2015		September 26, 2014		September 25, 2015		September 26, 2014
	(In thousands)
Cost of sales	$	2,015	$	1,868	$	4,033	$	3,478
Selling, general and administrative expenses	14,185		9,051		28,293		19,122
Total share-based compensation expense	$	16,200	$	10,919	$	32,326	$	22,600

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ACCUMULATED OTHER COMPREHENSIVE LOSS (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 25, 2015	Sep. 26, 2014	Sep. 25, 2015	Sep. 26, 2014
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	$ (164,893)	$ (119,576)	$ (180,505)	$ (126,156)
Other comprehensive loss before reclassifications	(44,085)	(6,064)	(42,055)	43
Net (gains) losses reclassified from accumulated other comprehensive loss	8,274	(2,052)	21,856	(1,579)
Net current-period other comprehensive gain (loss)	(35,811)	(8,116)	(20,199)	(1,536)
Ending balance	(200,704)	(127,692)	(200,704)	(127,692)
Unrealized gain (loss) on derivative instruments and other
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	(55,437)	(22,124)	(68,266)	(32,849)
Other comprehensive loss before reclassifications	(13,818)	(2,965)	(14,419)	(1,965)
Net (gains) losses reclassified from accumulated other comprehensive loss	8,274	532	21,704	10,257
Net current-period other comprehensive gain (loss)	(5,544)	(2,433)	7,285	8,292
Ending balance	(60,981)	(24,557)	(60,981)	(24,557)
Foreign currency translation adjustments
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	(109,456)	(97,452)	(112,239)	(93,307)
Other comprehensive loss before reclassifications	(30,267)	(3,099)	(27,636)	2,008
Net (gains) losses reclassified from accumulated other comprehensive loss	0	(2,584)	152	(11,836)
Net current-period other comprehensive gain (loss)	(30,267)	(5,683)	(27,484)	(9,828)
Ending balance	$ (139,723)	$ (103,135)	$ (139,723)	$ (103,135)

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BANK BORROWINGS AND LONG TERM DEBT (Details) - USD ($) $ in Thousands	Sep. 25, 2015	Jun. 08, 2015	Mar. 31, 2015
Debt Instrument [Line Items]
Total	$ 2,666,150		$ 2,083,733
Term Loan, including current portion, due in installments through August 2018
Debt Instrument [Line Items]
Total	588,750		592,500
Term Loan, including current portion, due in installments through March 2019
Debt Instrument [Line Items]
Total	468,750		475,000
4.625% Notes due February 2020
Debt Instrument [Line Items]
Total	$ 500,000		$ 500,000
Debt instrument interest rate (as a percent)	4.625%		4.625%
5.000% Notes due February 2023
Debt Instrument [Line Items]
Total	$ 500,000		$ 500,000
Debt instrument interest rate (as a percent)	5.00%		5.00%
4.750% Notes due June 2025
Debt Instrument [Line Items]
Total	$ 595,402	$ 595,300	$ 0
Debt instrument interest rate (as a percent)	4.75%	4.75%	4.75%
Other
Debt Instrument [Line Items]
Total	$ 13,248		$ 16,233

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BALANCE SHEET ITEMS (Details 3) - USD ($) $ in Thousands	Sep. 25, 2015	Jun. 26, 2015	Mar. 31, 2015	Sep. 26, 2014	Jun. 27, 2014	Mar. 31, 2014
Estimated future annual amortization expense for acquired intangible assets
2016	$ 30,583
2017	54,734
2018	48,934
2019	44,593
2020	39,971
Thereafter	135,664
Total amortization expense	354,479		$ 81,544
Other current assets related to purchase of assets on behalf of customer financed by a third party banking institution	83,700		169,200
Other receivables relating to assets sold to third parties but not yet collected	73,600
Customer working capital advances	147,100		189,600
Customer related accruals	506,200		454,800
Deferred revenue	278,400		272,600
Other current liability for purchase of assets on behalf of customer financed by a third party banking institution	161,500		197,700
Asset-Backed Securitization Programs
Estimated future annual amortization expense for acquired intangible assets
Transferor's interests in transferred financial assets, fair value	$ 537,619	$ 516,287	$ 600,672	$ 426,057	$ 463,124	$ 470,908

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TRADE RECEIVABLES SECURITIZATION (Details)	3 Months Ended		6 Months Ended
	Sep. 25, 2015 USD ($)	Sep. 26, 2014 USD ($)	Sep. 25, 2015 USD ($) program	Sep. 26, 2014 USD ($)	Mar. 31, 2015 USD ($)
Trade Receivables Securitization disclosures
Servicing assets	$ 0	$ 0	$ 0	$ 0
Servicing Liability	0	0	$ 0	0
Asset-Backed Securitization Programs
Trade Receivables Securitization disclosures
Number of asset-backed securitization programs | program			2
Percentage of receivables sold to unaffiliated institutions			100.00%
Company's accounts receivables sold to third-party	1,400,000,000		$ 1,400,000,000		$ 1,300,000,000
Amount received from accounts receivable sold to third-party	890,000,000		890,000,000		740,700,000
Cash proceeds from sale of accounts receivable			2,400,000,000	2,100,000,000
Cash flows from new transfers of receivables			255,300,000	76,500,000
Activity in the deferred purchase price receivables account
Beginning balance	516,287,000	463,124,000	600,672,000	470,908,000
Transfers of receivables	983,677,000	720,921,000	1,750,725,000	1,499,781,000
Collections	(962,345,000)	(757,988,000)	(1,813,778,000)	(1,544,632,000)
Ending balance	$ 537,619,000	426,057,000	$ 537,619,000	426,057,000
Asset-Backed Securitization Programs | Minimum
Trade Receivables Securitization disclosures
Service fee received, percent	0.10%		0.10%
Asset-Backed Securitization Programs | Maximum
Trade Receivables Securitization disclosures
Service fee received, percent	0.50%		0.50%
Global Program
Trade Receivables Securitization disclosures
Investment limits with financial institution	$ 700,000,000		$ 700,000,000
Global Program | Committed
Trade Receivables Securitization disclosures
Investment limits with financial institution	600,000,000		600,000,000
Global Program | Uncommitted
Trade Receivables Securitization disclosures
Investment limits with financial institution	100,000,000		100,000,000
North American Program
Trade Receivables Securitization disclosures
Investment limits with financial institution	265,000,000		265,000,000
North American Program | Committed
Trade Receivables Securitization disclosures
Investment limits with financial institution	225,000,000		225,000,000
North American Program | Uncommitted
Trade Receivables Securitization disclosures
Investment limits with financial institution	40,000,000		40,000,000
Sales of Receivables to Third Party Banks
Trade Receivables Securitization disclosures
Company's accounts receivables sold to third-party	1,200,000,000	$ 2,300,000,000	1,200,000,000	$ 2,300,000,000
Receivables sold but not yet collected from banking institutions	$ 339,100,000		$ 339,100,000		$ 485,600,000

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SUPPLEMENTAL GUARANTOR AND NON-GUARANTOR CONDENSED CONSOLIDATING FINANCIAL STATEMENTS (Details) $ in Millions	6 Months Ended
	Sep. 25, 2015 USD ($) tranche
Bank borrowings and long-term debt
Number of tranches | tranche	3
Percentage of ownership interest owned in subsidiaries that guarantees indebtedness	100.00%
4.625% Notes due February 2020
Bank borrowings and long-term debt
Maximum borrowing capacity	$ 500
5.000% Notes due February 2023
Bank borrowings and long-term debt
Maximum borrowing capacity	500
4.750% Notes due June 2025
Bank borrowings and long-term debt
Maximum borrowing capacity	$ 600

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OTHER CHARGES (INCOME), NET (Details 2) - USD ($) $ in Thousands	6 Months Ended
	Sep. 25, 2015	Sep. 26, 2014
Other charges (income), net
Proceeds from sale of facility	$ 2,383	$ 28,809
Certain manufacturing facilities
Other charges (income), net
Recognized loss in connection with disposition of a manufacturing facility	$ 11,000	11,000
Proceeds from sale of facility		11,500
Net assets sold		27,200
Transactions costs in connection with a disposition of a manufacturing facility		4,600
Foreign currency translation gain		$ 9,300

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BALANCE SHEET ITEMS

6 Months Ended

Sep. 25, 2015

Balance Sheet Related Disclosures [Abstract]

BALANCE SHEET ITEMS

BALANCE SHEET ITEMS

Inventories

The components of inventories, net of applicable lower of cost or market write-downs, were as follows:

	As of    September 25, 2015		As of    March 31, 2015
	(In thousands)
Raw materials	$	2,265,927	$	2,330,428
Work-in-progress	669,280		557,786
Finished goods	626,119		600,538
	$	3,561,326	$	3,488,752

Goodwill and Other Intangible Assets

The following table summarizes the activity in the Company’s goodwill account for each of its four segments during the six-month period endedSeptember 25, 2015:

		HRS			CTG		IEI		INS		Amount
	(In thousands)
Balance, beginning of the year		$	93,138		$	68,234	$	64,221	$	108,038	$	333,631
Additions (1)		292,608			—		2,982		3,575		299,165
Purchase accounting adjustments (2)		125			—		—		—		125
Foreign currency translation adjustments		(5,562		)	—		—		—		(5,562		)
Balance, end of the period		$	380,309		$	68,234	$	67,203	$	111,613	$	627,359

(1) The goodwill generated from the Company’s business combinations completed during the six-month period endedSeptember 25, 2015 is primarily related to value placed on the acquired employee workforces, service offerings and capabilities of the acquired businesses. The goodwill is not deductible for income tax purposes. See note 12 for additional information.

(2) Includes adjustments based on management's estimates resulting from their review and finalization of the valuation of assets and liabilities acquired through certain business combinations completed in a period subsequent to the respective acquisition. These adjustments were not individually, nor in the aggregate, significant to the Company.

The components of acquired intangible assets are as follows:

	As of September 25, 2015							As of March 31, 2015
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
	(In thousands)
Intangible assets:
Customer-related intangibles	$	279,204	$	(93,401	)	$	185,803	$	133,853	$	(80,506	)	$	53,347
Licenses and other intangibles	190,742		(22,066		)	168,676		39,985		(11,788		)	28,197
Total	$	469,946	$	(115,467	)	$	354,479	$	173,838	$	(92,294	)	$	81,544

The gross carrying amounts of intangible assets are removed when the recorded amounts have been fully amortized.  During the six-month period endedSeptember 25, 2015, the total value of intangibles assets increased primarily in connection with the Company's acquisition of Mirror Controls International ("MCi"). This acquisition contributed an additional $131.4 million in customer-related intangible assets, and $148.6 million in licenses and other intangibles assets. See note 12 for additional information. The estimated future annual amortization expense for intangible assets is as follows:

Fiscal Year Ending March 31,	Amount
	(In thousands)
2016 (1)	$	30,583
2017	54,734
2018	48,934
2019	44,593
2020	39,971
Thereafter	135,664
Total amortization expense	$	354,479

____________________________________________________________

(1) Represents estimated amortization for the remaining six-month period ending March 31, 2016.

Other Current Assets

Other current assets includes approximately $537.6 million and $600.7 million as of September 25, 2015 and March 31, 2015, respectively, for the deferred purchase price receivable from the Company's Global and North American Asset-Backed Securitization programs. See note 10 for additional information.

In connection with a prior acquisition, the Company entered into an agreement with a customer and a third party banking institution to procure certain manufacturing equipment that was financed by the third party banking institution, acting as an agent of the customer.  The manufacturing equipment was used exclusively for the benefit of this customer.  The Company cannot be required to pay cash by either the customer or the third party banking institution. 

During fiscal year 2015, the Company ceased manufacturing of the product related to the financed equipment.  As a result, the Company as an agent on behalf of the customer is in the process of dispositioning the equipment and forwarding the proceeds to the third party banking institution reducing the outstanding obligation. Included in other current assets is the value of the certain assets purchased on behalf of a customer and financed by a third party banking institution in the amounts of $83.7 million and $169.2 million as of September 25, 2015 and March 31, 2015, respectively. Additionally, other current assets as of September 25, 2015 includes an amount of $73.6 million relating to these assets that have been sold to third parties but not yet collected.

During the six-month period endedSeptember 25, 2015, the Company disposed of all of the assets and the remaining amount of $83.7 million reflects the shortfall between the original purchase price of these assets and the amount recovered by selling them to third parties. The Company expects this amount to be funded by the customer, which in turn would be paid back to the third party banking institution.

Other Current Liabilities

Other current liabilities includes customer working capital advances of $147.1 million and $189.6 million, customer-related accruals of $506.2 million and $454.8 million, and deferred revenue of $278.4 million and $272.6 million as of September 25, 2015 and March 31, 2015, respectively. The customer working capital advances are not interest-bearing, do not have fixed repayment dates and are generally reduced as the underlying working capital is consumed in production. Other current liabilities also includes the outstanding balance due to the third party banking institution related to the financed equipment discussed above, that amounted to $161.5 million and $197.7 million as of September 25, 2015 and March 31, 2015, respectively.

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SUPPLEMENTAL GUARANTOR AND NON-GUARANTOR CONDENSED CONSOLIDATING FINANCIAL STATEMENTS (Details 2) - USD ($) $ in Thousands	Sep. 25, 2015	Mar. 31, 2015	Sep. 26, 2014	Mar. 31, 2014
Current assets:
Cash and cash equivalents	$ 1,668,427	$ 1,628,408	$ 1,514,352	$ 1,593,728
Accounts receivable	2,546,810	2,337,515
Inventories	3,561,326	3,488,752
Inter company receivable	0	0
Other current assets	1,208,931	1,286,225
Total current assets	8,985,494	8,740,900
Property and equipment, net	2,218,030	2,092,167
Goodwill and other intangible assets, net	981,838	415,175
Other assets	474,977	417,382
Investment in subsidiaries	0	0
Total assets	12,660,339	11,665,624
Current liabilities:
Bank borrowings and current portion of long-term debt	47,972	46,162
Accounts payable	4,787,941	4,561,194
Accrued payroll	401,000	339,739
Inter company payable	0	0
Other current liabilities	1,795,867	1,809,128
Total current liabilities	7,032,780	6,756,223
Long term liabilities	3,171,984	2,513,151
Flextronics International Ltd. shareholders’ equity (deficit)	2,420,128	2,360,814
Noncontrolling interests	35,447	35,436
Total shareholders’ equity	2,455,575	2,396,250
Total liabilities and shareholders’ equity	12,660,339	11,665,624
Reportable legal entities | Parent
Current assets:
Cash and cash equivalents	517,631	608,971	470,139	638,714
Accounts receivable	0	0
Inventories	0	0
Inter company receivable	8,919,282	6,417,410
Other current assets	3,749	8,143
Total current assets	9,440,662	7,034,524
Property and equipment, net	0	0
Goodwill and other intangible assets, net	325	475
Other assets	2,259,454	2,223,402
Investment in subsidiaries	1,654,260	1,799,956
Total assets	13,354,701	11,058,357
Current liabilities:
Bank borrowings and current portion of long-term debt	43,125	40,000
Accounts payable	0	0
Accrued payroll	0	0
Inter company payable	8,213,861	6,559,569
Other current liabilities	30,642	30,553
Total current liabilities	8,287,628	6,630,122
Long term liabilities	2,646,945	2,067,421
Flextronics International Ltd. shareholders’ equity (deficit)	2,420,128	2,360,814
Noncontrolling interests	0	0
Total shareholders’ equity	2,420,128	2,360,814
Total liabilities and shareholders’ equity	13,354,701	11,058,357
Reportable legal entities | Guarantor Subsidiaries
Current assets:
Cash and cash equivalents	226,469	168,272	321,665	210,462
Accounts receivable	1,352,781	1,208,632
Inventories	1,494,305	1,729,593
Inter company receivable	5,578,552	4,759,062
Other current assets	202,794	202,161
Total current assets	8,854,901	8,067,720
Property and equipment, net	506,394	471,052
Goodwill and other intangible assets, net	62,580	64,831
Other assets	198,711	155,172
Investment in subsidiaries	2,412,432	1,681,521
Total assets	12,035,018	10,440,296
Current liabilities:
Bank borrowings and current portion of long-term debt	941	917
Accounts payable	1,514,042	1,758,305
Accrued payroll	121,059	112,692
Inter company payable	8,993,273	7,250,235
Other current liabilities	855,909	845,156
Total current liabilities	11,485,224	9,967,305
Long term liabilities	2,109,106	2,102,483
Flextronics International Ltd. shareholders’ equity (deficit)	(1,559,312)	(1,629,492)
Noncontrolling interests	0	0
Total shareholders’ equity	(1,559,312)	(1,629,492)
Total liabilities and shareholders’ equity	12,035,018	10,440,296
Reportable legal entities | Non-Guarantor Subsidiaries
Current assets:
Cash and cash equivalents	924,327	851,165	722,548	744,552
Accounts receivable	1,194,029	1,128,883
Inventories	2,067,021	1,759,159
Inter company receivable	12,359,980	10,099,057
Other current assets	1,002,388	1,075,921
Total current assets	17,547,745	14,914,185
Property and equipment, net	1,711,636	1,621,115
Goodwill and other intangible assets, net	918,933	349,869
Other assets	2,139,936	2,131,523
Investment in subsidiaries	16,883,121	16,641,212
Total assets	39,201,371	35,657,904
Current liabilities:
Bank borrowings and current portion of long-term debt	3,906	5,245
Accounts payable	3,273,899	2,802,889
Accrued payroll	279,941	227,047
Inter company payable	9,650,680	7,465,725
Other current liabilities	909,316	933,419
Total current liabilities	14,117,742	11,434,325
Long term liabilities	2,539,057	2,435,962
Flextronics International Ltd. shareholders’ equity (deficit)	22,509,125	21,752,181
Noncontrolling interests	35,447	35,436
Total shareholders’ equity	22,544,572	21,787,617
Total liabilities and shareholders’ equity	39,201,371	35,657,904
Eliminations
Current assets:
Cash and cash equivalents	0	0	$ 0	$ 0
Accounts receivable	0	0
Inventories	0	0
Inter company receivable	(26,857,814)	(21,275,529)
Other current assets	0	0
Total current assets	(26,857,814)	(21,275,529)
Property and equipment, net	0	0
Goodwill and other intangible assets, net	0	0
Other assets	(4,123,124)	(4,092,715)
Investment in subsidiaries	(20,949,813)	(20,122,689)
Total assets	(51,930,751)	(45,490,933)
Current liabilities:
Bank borrowings and current portion of long-term debt	0	0
Accounts payable	0	0
Accrued payroll	0	0
Inter company payable	(26,857,814)	(21,275,529)
Other current liabilities	0	0
Total current liabilities	(26,857,814)	(21,275,529)
Long term liabilities	(4,123,124)	(4,092,715)
Flextronics International Ltd. shareholders’ equity (deficit)	(20,949,813)	(20,122,689)
Noncontrolling interests	0	0
Total shareholders’ equity	(20,949,813)	(20,122,689)
Total liabilities and shareholders’ equity	$ (51,930,751)	$ (45,490,933)

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BANK BORROWINGS AND LONG TERM DEBT (Details 2) - USD ($) $ in Thousands	Sep. 25, 2015	Mar. 31, 2015
Debt Disclosure [Abstract]
2016	$ 30,000
2017	52,500
2018	52,500
2019	922,500
2020	500,000
Thereafter	1,108,650
Total	$ 2,666,150	$ 2,083,733

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ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables)

6 Months Ended

Sep. 25, 2015

Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract]

Schedule of changes in accumulated other comprehensive loss by component, net of tax

The changes in accumulated other comprehensive loss by component, net of tax, are as follows:

	Three-Month Periods Ended
	September 25, 2015									September 26, 2014
	Unrealized gain (loss) on derivative instruments and other			Foreign currency translation adjustments			Total			Unrealized gain (loss) on derivative instruments and other			Foreign currency translation adjustments			Total
	(In thousands)
Beginning balance	$	(55,437	)	$	(109,456	)	$	(164,893	)	$	(22,124	)	$	(97,452	)	$	(119,576	)
Other comprehensive loss before reclassifications	(13,818		)	(30,267		)	(44,085		)	(2,965		)	(3,099		)	(6,064		)
Net (gains) losses reclassified from accumulated other comprehensive loss	8,274			—			8,274			532			(2,584		)	(2,052		)
Net current-period other comprehensive loss	(5,544		)	(30,267		)	(35,811		)	(2,433		)	(5,683		)	(8,116		)
Ending balance	$	(60,981	)	$	(139,723	)	$	(200,704	)	$	(24,557	)	$	(103,135	)	$	(127,692	)

	Six-Month Periods Ended
	September 25, 2015									September 26, 2014
	Unrealized gain (loss) on derivative instruments and other			Foreign currency translation adjustments			Total			Unrealized gain (loss) on derivative instruments and other			Foreign currency translation adjustments			Total
	(In thousands)
Beginning balance	$	(68,266	)	$	(112,239	)	$	(180,505	)	$	(32,849	)	$	(93,307	)	$	(126,156	)
Other comprehensive gain (loss) before reclassifications	(14,419		)	(27,636		)	(42,055		)	(1,965		)	2,008			43
Net (gains) losses reclassified from accumulated other comprehensive loss	21,704			152			21,856			10,257			(11,836		)	(1,579		)
Net current-period other comprehensive gain (loss)	7,285			(27,484		)	(20,199		)	8,292			(9,828		)	(1,536		)
Ending balance	$	(60,981	)	$	(139,723	)	$	(200,704	)	$	(24,557	)	$	(103,135	)	$	(127,692	)

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FINANCIAL INSTRUMENTS (Tables)

6 Months Ended

Sep. 25, 2015

Derivative Instruments and Hedges, Assets [Abstract]

Summary of aggregate notional amount of the Company's outstanding foreign currency forward and swap contracts

As of September 25, 2015, the aggregate notional amount of the Company’s outstanding foreign currency contracts was $4.9 billion as summarized below:

	Foreign Currency Amount		Notional Contract Value in USD
Currency	Buy	Sell	Buy		Sell
	(In thousands)
Cash Flow Hedges
CNY	1,543,000	—	$	241,709	$	—
EUR	4,790	60,780	5,367		69,534
HUF	13,758,000	—	49,370		—
ILS	176,700	—	44,759		—
MXN	1,414,000	—	82,580		—
MYR	196,000	—	45,094		—
Other	N/A	N/A	52,524		500
			521,403		70,034
Other Foreign Currency Contracts
BRL	—	686,000	—		165,929
CAD	19,200	12,500	14,403		9,377
CHF	16,919	43,701	17,320		44,712
CNY	4,719,018	3,236,303	738,966		512,000
DKK	197,200	155,700	29,614		23,382
EUR	597,631	1,007,752	670,293		1,130,041
GBP	32,393	59,840	49,449		91,382
HUF	20,332,000	20,408,000	72,961		73,234
ILS	62,000	85,100	15,705		21,556
JPY	2,256,614	1,700,061	18,807		14,079
MXN	1,473,560	331,830	86,059		19,380
MYR	384,331	94,650	88,423		21,776
SEK	474,290	886,483	56,315		105,026
SGD	43,268	8,348	30,353		5,856
Other	N/A	N/A	91,499		52,884
			1,980,167		2,290,614
Total Notional Contract Value in USD			$	2,501,570	$	2,360,648

Schedule of fair value of the derivative instruments utilized for foreign currency risk management purposes

The following table presents the fair value of the Company’s derivative instruments utilized for foreign currency risk management purposes:

	Fair Values of Derivative Instruments
	Asset Derivatives					Liability Derivatives
		Fair Value					Fair Value
	Balance Sheet Location	September 25, 2015		March 31, 2015		Balance Sheet Location	September 25, 2015		March 31, 2015
	(In thousands)
Derivatives designated as hedging instruments
Foreign currency contracts	Other current assets	$	2,507	$	2,896	Other current liabilities	$	11,923	$	19,729
Derivatives not designated as hedging instruments
Foreign currency contracts	Other current assets	$	17,119	$	22,933	Other current liabilities	$	14,581	$	11,328

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FAIR VALUE MEASUREMENT OF ASSETS AND LIABILITIES (Details 4) - USD ($) $ in Thousands	Sep. 25, 2015	Jun. 08, 2015	Mar. 31, 2015
4.625% Notes due February 2020
Other financial instruments
Debt instrument interest rate (as a percent)	4.625%		4.625%
5.000% Notes due February 2023
Other financial instruments
Debt instrument interest rate (as a percent)	5.00%		5.00%
4.750% Notes due June 2025
Other financial instruments
Debt instrument interest rate (as a percent)	4.75%	4.75%	4.75%
Level 1 | 4.625% Notes due February 2020
Other financial instruments
Debt instrument interest rate (as a percent)	4.625%		4.625%
Level 1 | 5.000% Notes due February 2023
Other financial instruments
Debt instrument interest rate (as a percent)	5.00%		5.00%
Level 1 | 4.750% Notes due June 2025
Other financial instruments
Debt instrument interest rate (as a percent)	4.75%
Carrying Amount
Other financial instruments
Fair Value	$ 2,652,902		$ 2,067,500
Carrying Amount | Level 1 | Term Loan, including current portion, due in installments through August 2018
Other financial instruments
Fair Value	588,750		592,500
Carrying Amount | Level 1 | Term Loan, including current portion, due in installments through March 2019
Other financial instruments
Fair Value	468,750		475,000
Carrying Amount | Level 1 | 4.625% Notes due February 2020
Other financial instruments
Fair Value	500,000		500,000
Carrying Amount | Level 1 | 5.000% Notes due February 2023
Other financial instruments
Fair Value	500,000		500,000
Carrying Amount | Level 1 | 4.750% Notes due June 2025
Other financial instruments
Fair Value	595,402		0
Fair Value
Other financial instruments
Fair Value	2,661,544		2,114,531
Fair Value | Level 1 | Term Loan, including current portion, due in installments through August 2018
Other financial instruments
Fair Value	586,177		582,131
Fair Value | Level 1 | Term Loan, including current portion, due in installments through March 2019
Other financial instruments
Fair Value	466,992		465,500
Fair Value | Level 1 | 4.625% Notes due February 2020
Other financial instruments
Fair Value	520,625		523,750
Fair Value | Level 1 | 5.000% Notes due February 2023
Other financial instruments
Fair Value	502,750		543,150
Fair Value | Level 1 | 4.750% Notes due June 2025
Other financial instruments
Fair Value	$ 585,000		$ 0

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BANK BORROWINGS AND LONG TERM DEBT (Details 3)				6 Months Ended
	Oct. 01, 2015 USD ($)	Sep. 30, 2015 USD ($)	Jun. 08, 2015 USD ($)	Sep. 25, 2015 USD ($)	Oct. 01, 2015 EUR (€)	Mar. 31, 2015 USD ($)
Debt Instrument [Line Items]
Long-term debt, weighted average interest rate				3.50%		3.20%
Long-term debt				$ 2,666,150,000		$ 2,083,733,000
4.750% Notes due June 2025
Debt Instrument [Line Items]
Debt instrument, face amount			$ 600,000,000.0
Debt instrument interest rate (as a percent)			4.75%	4.75%		4.75%
Debt instrument, redemption price (as a percent)			99.213%
Effective interest rate			4.85%
Long-term debt			$ 595,300,000	$ 595,402,000		$ 0
Debt issuance cost			$ 7,900,000
Redemption price as a percentage of principal amount				100.00%
Percentage of Notes principal that may be redeemed upon occurrence of a change of control repurchase event				101.00%
4.750% Notes due June 2025 | Minimum
Debt Instrument [Line Items]
Percentage of principal amount of the then outstanding Notes due and payable				25.00%
Subsequent Event
Debt Instrument [Line Items]
Debt instrument, face amount		$ 500,000,000
Line of credit borrowing capacity		2,000,000,000.0
Increase in debt instrument		$ 100,000,000
Mirror Controls International | Subsequent Event
Debt Instrument [Line Items]
Debt instrument, face amount	$ 56,000,000				€ 50,000,000
Term of Debt instrument	5 years

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TRADE RECEIVABLES SECURITIZATION (Tables)

6 Months Ended

Sep. 25, 2015

Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]

Summary of deferred purchase price receivables

The following table summarizes the activity in the deferred purchase price receivables account:

	Three-Month Periods Ended						Six-Month Periods Ended
	September 25, 2015			September 26, 2014			September 25, 2015			September 26, 2014
	(In thousands)
Beginning balance	$	516,287		$	463,124		$	600,672		$	470,908
Transfers of receivables	983,677			720,921			1,750,725			1,499,781
Collections	(962,345		)	(757,988		)	(1,813,778		)	(1,544,632		)
Ending balance	$	537,619		$	426,057		$	537,619		$	426,057

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FAIR VALUE MEASUREMENT OF ASSETS AND LIABILITIES (Tables)

6 Months Ended

Sep. 25, 2015

Fair Value Disclosures [Abstract]

Schedule of business acquisitions by acquisition, contingent consideration

he following table summarizes the activities related to contingent consideration:

	Three-Month Periods Ended				Six-Month Periods Ended
	September 25, 2015		September 26, 2014		September 25, 2015		September 26, 2014
	(In thousands)
Beginning balance	$	4,500	$	11,300	$	4,500	$	11,300
Additions to accrual	—		4,500		—		4,500
Payments	—		—		—		—
Fair value adjustments	—		—		—		—
Ending balance	$	4,500	$	15,800	$	4,500	$	15,800

Schedule of financial assets and liabilities measured at fair value on a recurring basis

The following table presents the Company’s assets and liabilities measured at fair value on a recurring basis:

	Fair Value Measurements as of September 25, 2015
	Level 1		Level 2			Level 3			Total
	(In thousands)
Assets:
Money market funds and time deposits (included in cash and cash equivalents of the condensed consolidated balance sheet)	$	—	$	447,217		$	—		$	447,217
Deferred purchase price receivable (Note 10)	—		—			537,619			537,619
Foreign exchange contracts (Note 8)	—		19,626			—			19,626
Deferred compensation plan assets:									0
Mutual funds, money market accounts and equity securities	8,939		37,676			—			46,615
Liabilities:									0
Foreign exchange contracts (Note 8)	$	—	$	(26,504	)	$	—		$	(26,504	)
Contingent consideration in connection with business acquisitions	—		—			(4,500		)	(4,500		)
	Fair Value Measurements as of March 31, 2015
	Level 1		Level 2			Level 3			Total
	(In thousands)
Assets:
Money market funds and time deposits (included in cash and cash equivalents of the condensed consolidated balance sheet)	$	—	$	674,859		$	—		$	674,859
Deferred purchase price receivable (Note 10)	—		—			600,672			600,672
Foreign exchange contracts (Note 8)	—		25,829			—			25,829
Deferred compensation plan assets:									0
Mutual funds, money market accounts and equity securities	9,068		37,041			—			46,109
Liabilities:									0
Foreign exchange contracts (Note 8)	$	—	$	(31,057	)	$	—		$	(31,057	)
Contingent consideration in connection with business acquisitions	—		—			(4,500		)	(4,500		)

Schedule of debt not carried at fair value

The following table presents the Company’s debt not carried at fair value:

	As of September 25, 2015				As of March 31, 2015
	Carrying Amount		Fair Value		Carrying Amount		Fair Value		Fair Value Hierarchy
	(In thousands)
Term Loan, including current portion, due in installments through August 2018	$	588,750	$	586,177	$	592,500	$	582,131	Level 1
Term Loan, including current portion, due in installments through March 2019	468,750		466,992		475,000		465,500		Level 1
4.625% Notes due February 2020	500,000		520,625		500,000		523,750		Level 1
5.000% Notes due February 2023	500,000		502,750		500,000		543,150		Level 1
4.750% Notes due June 2025	595,402		585,000		—		—		Level 1
Total	$	2,652,902	$	2,661,544	$	2,067,500	$	2,114,531

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ORGANIZATION OF THE COMPANY AND BASIS OF PRESENTATION

6 Months Ended

Sep. 25, 2015

Organization, Consolidation and Presentation of Financial Statements [Abstract]

ORGANIZATION OF THE COMPANY AND BASIS OF PRESENTATION

ORGANIZATION OF THE COMPANY AND BASIS OF PRESENTATION

Organization of the Company

Flextronics International Ltd. ("Flex", or the "Company") was incorporated in the Republic of Singapore in May 1990. The Company's operations have expanded over the years through a combination of organic growth and acquisitions. The Company is a globally-recognized leading provider of innovative design, engineering, manufacturing, and supply chain services and solutions that span from sketch to scale; from conceptual sketch to full-scale production. The Company designs, builds, ships and services complete packaged consumer electronics and industrial products for original equipment manufacturers ("OEMs"), through its activities in the following reportable segments: High Reliability Solutions ("HRS"), which is comprised of medical business including medical equipment, disposables, drug delivery, and diagnostics; our automotive business, including automotive electronics, automotive lighting, and power electronics; and defense and aerospace businesses focused on defense, civil aviation, and homeland security; Consumer Technology Group ("CTG"), which includes mobile devices business, including smart phones; consumer electronics business, including connected living, wearable electronics, digital health, game consoles, and connectivity devices; and high-volume computing business, including various supply chain solutions for notebook personal computing, tablets, and printers; Industrial and Emerging Industries ("IEI"), which is comprised of semiconductor and capital equipment, office solutions, household industrial and lifestyle, industrial automation and kiosks, energy and metering, and lighting; and Integrated Network Solutions ("INS"), which includes radio access base stations, remote radio heads, and small cells for wireless infrastructure; optical, routing, broadcasting and switching products for the data and video network; server and storage platforms for both enterprise and cloud based deployments; next generation storage and security appliance products; and rack level solutions, converged infrastructure and software defined product solutions. The Company's strategy is to provide customers with a full range of cost competitive, vertically integrated global supply chain solutions through which the Company can design, build, ship and service a complete packaged product for its OEM customers. This enables our OEM customers to leverage the Company's supply chain solutions to meet their product requirements throughout the entire product life cycle.

        The Company's service offerings include a comprehensive range of value-added design and engineering services that are tailored to the various markets and needs of its customers. Other focused service offerings relate to manufacturing (including enclosures, metals, plastic injection molding, precision plastics, machining, and mechanicals), system integration and assembly and test services, materials procurement, inventory management, logistics and after-sales services (including product repair, warranty services, re-manufacturing and maintenance) and supply chain management software solutions and component product offerings (including rigid and flexible printed circuit boards and power adapters and chargers).

Basis of Presentation

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP” or “GAAP”) for interim financial information and in accordance with the requirements of Rule 10-01 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements, and should be read in conjunction with the Company’s audited consolidated financial statements as of and for the fiscal year ended March 31, 2015 contained in the Company’s Annual Report on Form 10-K. In the opinion of management, all adjustments (consisting only of normal recurring adjustments) considered necessary for a fair presentation have been included. Operating results for the three-month and six-month periods ended September 25, 2015 are not necessarily indicative of the results that may be expected for the fiscal year ending March 31, 2016.

The first quarters for fiscal year 2016 and fiscal year 2015 ended on June 26, 2015 and June 27, 2014, respectively. The second quarters for fiscal year 2016 and fiscal year 2015 ended on September 25, 2015 and September 26, 2014, respectively.

The accompanying unaudited condensed consolidated financial statements include the financial position and results of operations of a majority-owned subsidiary of the Company. Noncontrolling interests are presented as a separate component of total shareholders' equity in the condensed consolidated balance sheets. The operating results of the subsidiary attributable to the noncontrolling interests are immaterial for all of the periods presented, and are included in other charges (income), net in the condensed consolidated statements of operations.

Recent Accounting Pronouncement

In September 2015, the Financial Accounting Standards Board (“FASB”) issued new guidance to simplify the accounting for adjustments made to provisional amounts recognized in a business combination. Under previous guidance, the acquirer retrospectively adjusted the provisional amounts recognized at the acquisition date with a corresponding adjustment to goodwill, and would have to revise comparative information for prior periods presented in financial statements as needed. The update requires an entity to present separately on the face of the income statement or disclose in the notes the portion of the amount recorded in current-period earnings by line item that would have been recorded in previous reporting periods if the adjustment to the provisional amounts had been recognized as of the acquisition date. The new guidance is effective for the Company beginning fiscal year 2017, with early application permitted. The Company is currently assessing the impact of this update and the timing of adoption.

In July 2015, the FASB issued new guidance to simplify the measurement of inventory, by requiring that inventory be measured at the lower of cost and net realizable value. Prior to the issuance of the new guidance, inventory was measured at the lower of cost or market. This guidance is effective for the Company beginning in the first quarter of fiscal year 2018, with early application permitted as of the beginning of an interim or annual reporting period. The Company is currently assessing the impact of this update and the timing of adoption.

In May 2014, the FASB issued new guidance which requires an entity to recognize revenue relating to contracts with customers that depicts the transfer of promised goods or services to customers in an amount reflecting the consideration to which the entity expects to be entitled in exchange for such goods or services. In order to meet this requirement, the entity must apply the following steps: (i) identify the contracts with the customers; (ii) identify performance obligations in the contracts; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations per the contracts; and (v) recognize revenue when (or as) the entity satisfies a performance obligation. Additionally, disclosures required for revenue recognition will include qualitative and quantitative information about contracts with customers, significant judgments and changes in judgments, and assets recognized from costs to obtain or fulfill a contract. In July 2015, the FASB deferred the effective date of the standard by a year. This guidance is effective for the Company beginning in the first quarter of fiscal year 2019. The Company is in the process of assessing the impact on its consolidated financial statements.

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BUSINESS AND ASSETS ACQUISITIONS BUSINESS AND ASSETS ACQUISITIONS (Tables)

6 Months Ended

Sep. 25, 2015

Business Combinations [Abstract]

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed

The following represents the Company's preliminary allocation of the total purchase price to the acquired assets and liabilities of MCi (in thousands):

Current assets:
Accounts receivable	$	41,392
Inventories	19,169
Other current assets	2,790
Total current assets	63,351
Property and equipment, net	39,256
Other assets	942
Intangibles	280,000
Goodwill	290,478
Total assets	$	674,027
Current liabilities:
Accounts payable	$	28,002
Accrued liabilities & other current liabilities	20,677
Total current liabilities	48,679
Other liabilities	70,190
Total aggregate purchase price	$	555,158

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EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 25, 2015	Sep. 26, 2014	Sep. 25, 2015	Sep. 26, 2014
Basic earnings per share:
Net income	$ 122,977	$ 138,903	$ 233,827	$ 312,790
Shares used in computation:
Weighted-average ordinary shares outstanding (in shares)	563,333	585,760	564,417	586,497
Basic earnings per share (in dollars per share)	$ 0.22	$ 0.24	$ 0.41	$ 0.53
Diluted earnings per share:
Net income	$ 122,977	$ 138,903	$ 233,827	$ 312,790
Shares used in computation:
Weighted-average ordinary shares outstanding (in shares)	563,333	585,760	564,417	586,497
Weighted-average ordinary share equivalents from stock options and awards (in shares)	6,322	10,111	8,871	12,089
Weighted-average ordinary shares and ordinary share equivalents outstanding (in shares)	569,655	595,871	573,288	598,586
Diluted earnings per share (in dollars per share)	$ 0.22	$ 0.23	$ 0.41	$ 0.52

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FAIR VALUE MEASUREMENT OF ASSETS AND LIABILITIES (Details) - USD ($)	Sep. 25, 2015	Sep. 26, 2014
Fair Value Disclosures [Abstract]
Transfers out of Level 1 and into Level 2 related to assets and liabilities measured on a recurring and nonrecurring basis	$ 0	$ 0
Transfers out of Level 2 and into Level 1 related to assets and liabilities measured on a recurring and nonrecurring basis	0	0
Transfers out of Level 1 and into Level 2 related to liabilities measured on a recurring and nonrecurring basis	0	0
Transfers out of Level 2 and into Level 1 related to liabilities measured on a recurring and nonrecurring basis	$ 0	$ 0

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CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 25, 2015	Mar. 31, 2015
Current assets:
Cash and cash equivalents	$ 1,668,427	$ 1,628,408
Accounts receivable, net of allowance for doubtful accounts	2,546,810	2,337,515
Inventories	3,561,326	3,488,752
Other current assets	1,208,931	1,286,225
Total current assets	8,985,494	8,740,900
Property and equipment, net	2,218,030	2,092,167
Goodwill and other intangible assets, net	981,838	415,175
Other assets	474,977	417,382
Total assets	12,660,339	11,665,624
Current liabilities:
Bank borrowings and current portion of long-term debt	47,972	46,162
Accounts payable	4,787,941	4,561,194
Accrued payroll	401,000	339,739
Other current liabilities	1,795,867	1,809,128
Total current liabilities	7,032,780	6,756,223
Long-term debt, net of current portion	2,618,178	2,037,571
Other liabilities	$ 553,806	$ 475,580
Commitments and contingencies (Note 13)
Flextronics International Ltd. shareholders’ equity
Ordinary shares, no par value; 607,536,479 and 613,562,761 issued, and 557,297,124 and 563,323,406 outstanding as of September 25, 2015 and March 31, 2015, respectively	$ 7,111,513	$ 7,265,827
Treasury stock, at cost; 50,239,355 shares as of September 25, 2015 and March 31, 2015	(388,215)	(388,215)
Accumulated deficit	(4,102,466)	(4,336,293)
Accumulated other comprehensive loss	(200,704)	(180,505)
Total Flextronics International Ltd. shareholders’ equity	2,420,128	2,360,814
Noncontrolling interests	35,447	35,436
Total shareholders’ equity	2,455,575	2,396,250
Total liabilities and shareholders’ equity	$ 12,660,339	$ 11,665,624

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INTEREST AND OTHER, NET (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Sep. 25, 2015	Sep. 26, 2014	Sep. 25, 2015	Sep. 26, 2014
Business Acquisitions
Interest expense	$ 25.1	$ 19.0	$ 45.2	$ 37.5
Interest income	4.3	4.8	7.8	10.1
Recognized gains on foreign exchange transactions	12.4	$ 6.8	14.6	$ 5.4
Acquisition related costs	8.1		$ 8.1
Mirror Controls International
Business Acquisitions
Acquisition related costs	$ 6.7

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CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($)	3 Months Ended		6 Months Ended
	Sep. 25, 2015	Sep. 26, 2014	Sep. 25, 2015	Sep. 26, 2014
Statement of Comprehensive Income [Abstract]
Foreign currency translation adjustments, tax	$ 0	$ 0	$ 0	$ 0
Unrealized gain (loss) on derivative instruments and other, tax	$ 0	$ 0	$ 0	$ 0

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SHARE REPURCHASES (Details) - USD ($) shares in Millions	3 Months Ended	6 Months Ended
	Sep. 25, 2015	Sep. 25, 2015	Aug. 20, 2015
Treasury Stock, Number of Shares and Restriction Disclosures [Abstract]
Aggregate shares repurchased (in shares)	12.8	20.6
Aggregate purchase value of shares repurchased	$ 138,000,000	$ 232,400,000
Authorized amount of stock repurchase program			$ 500,000,000
Amount remaining to be repurchased under the plans	$ 422,500,000	$ 422,500,000

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BALANCE SHEET ITEMS (Details) - USD ($) $ in Thousands	Sep. 25, 2015	Mar. 31, 2015
Inventories
Raw materials	$ 2,265,927	$ 2,330,428
Work-in-progress	669,280	557,786
Finished goods	626,119	600,538
Inventories, total	$ 3,561,326	$ 3,488,752

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SUPPLEMENTAL GUARANTOR AND NON-GUARANTOR CONDENSED CONSOLIDATING FINANCIAL STATEMENTS (Details 5) - USD ($) $ in Thousands	6 Months Ended
	Sep. 25, 2015	Sep. 26, 2014
Condensed consolidating statements of cash flows
Net cash provided by (used in) operating activities	$ 661,995	$ 306,245
Cash flows from investing activities:
Purchases of property and equipment, net of proceeds from disposal	(294,018)	(138,395)
Acquisition and divestiture of businesses, net of cash acquired and cash held in divested business	(641,913)	(38,082)
Investing cash flows to affiliates	0	0
Other investing activities, net	(10,516)	(28,855)
Net cash used in investing activities	(946,447)	(205,332)
Cash flows from financing activities:
Proceeds from bank borrowings and long-term debt	595,553	11,387
Repayments of bank borrowings and long-term debt	(21,090)	(9,185)
Payments for repurchases of ordinary shares	(241,978)	(206,771)
Net proceeds from issuance of ordinary shares	49,074	11,412
Financing cash flows from (to) affiliates	0	0
Other financing activities, net	(37,872)	3,382
Net cash provided by (used in) financing activities	343,687	(189,775)
Effect of exchange rates on cash and cash equivalents	(19,216)	9,486
Net increase (decrease) in cash and cash equivalents	40,019	(79,376)
Cash and cash equivalents, beginning of period	1,628,408	1,593,728
Cash and cash equivalents, end of period	1,668,427	1,514,352
Reportable legal entities | Parent
Condensed consolidating statements of cash flows
Net cash provided by (used in) operating activities	389,949	24,949
Cash flows from investing activities:
Purchases of property and equipment, net of proceeds from disposal	0	0
Acquisition and divestiture of businesses, net of cash acquired and cash held in divested business	0	0
Investing cash flows to affiliates	(1,326,493)	(833,951)
Other investing activities, net	0	0
Net cash used in investing activities	(1,326,493)	(833,951)
Cash flows from financing activities:
Proceeds from bank borrowings and long-term debt	595,309	0
Repayments of bank borrowings and long-term debt	(17,507)	(6,250)
Payments for repurchases of ordinary shares	(241,978)	(206,771)
Net proceeds from issuance of ordinary shares	49,074	11,412
Financing cash flows from (to) affiliates	435,540	925,410
Other financing activities, net	0	0
Net cash provided by (used in) financing activities	820,438	723,801
Effect of exchange rates on cash and cash equivalents	24,766	(83,374)
Net increase (decrease) in cash and cash equivalents	(91,340)	(168,575)
Cash and cash equivalents, beginning of period	608,971	638,714
Cash and cash equivalents, end of period	517,631	470,139
Reportable legal entities | Guarantor Subsidiaries
Condensed consolidating statements of cash flows
Net cash provided by (used in) operating activities	(247,462)	(200,703)
Cash flows from investing activities:
Purchases of property and equipment, net of proceeds from disposal	(88,699)	(73,455)
Acquisition and divestiture of businesses, net of cash acquired and cash held in divested business	(559,442)	0
Investing cash flows to affiliates	(836,415)	(924,184)
Other investing activities, net	(22,822)	(6,134)
Net cash used in investing activities	(1,507,378)	(1,003,773)
Cash flows from financing activities:
Proceeds from bank borrowings and long-term debt	209	0
Repayments of bank borrowings and long-term debt	(1,039)	(888)
Payments for repurchases of ordinary shares	0	0
Net proceeds from issuance of ordinary shares	0	0
Financing cash flows from (to) affiliates	1,810,912	1,317,706
Other financing activities, net	0	0
Net cash provided by (used in) financing activities	1,810,082	1,316,818
Effect of exchange rates on cash and cash equivalents	2,955	(1,139)
Net increase (decrease) in cash and cash equivalents	58,197	111,203
Cash and cash equivalents, beginning of period	168,272	210,462
Cash and cash equivalents, end of period	226,469	321,665
Reportable legal entities | Non-Guarantor Subsidiaries
Condensed consolidating statements of cash flows
Net cash provided by (used in) operating activities	519,508	481,999
Cash flows from investing activities:
Purchases of property and equipment, net of proceeds from disposal	(205,330)	(64,929)
Acquisition and divestiture of businesses, net of cash acquired and cash held in divested business	(82,471)	(38,082)
Investing cash flows to affiliates	(1,193,747)	255,111
Other investing activities, net	12,306	(22,721)
Net cash used in investing activities	(1,469,242)	129,379
Cash flows from financing activities:
Proceeds from bank borrowings and long-term debt	35	11,387
Repayments of bank borrowings and long-term debt	(2,544)	(2,047)
Payments for repurchases of ordinary shares	0	0
Net proceeds from issuance of ordinary shares	0	0
Financing cash flows from (to) affiliates	1,110,214	(740,103)
Other financing activities, net	(37,872)	3,382
Net cash provided by (used in) financing activities	1,069,833	(727,381)
Effect of exchange rates on cash and cash equivalents	(46,937)	93,999
Net increase (decrease) in cash and cash equivalents	73,162	(22,004)
Cash and cash equivalents, beginning of period	851,165	744,552
Cash and cash equivalents, end of period	924,327	722,548
Eliminations
Condensed consolidating statements of cash flows
Net cash provided by (used in) operating activities	0	0
Cash flows from investing activities:
Purchases of property and equipment, net of proceeds from disposal	11	(11)
Acquisition and divestiture of businesses, net of cash acquired and cash held in divested business	0	0
Investing cash flows to affiliates	3,356,655	1,503,024
Other investing activities, net	0	0
Net cash used in investing activities	3,356,666	1,503,013
Cash flows from financing activities:
Proceeds from bank borrowings and long-term debt	0	0
Repayments of bank borrowings and long-term debt	0	0
Payments for repurchases of ordinary shares	0	0
Net proceeds from issuance of ordinary shares	0	0
Financing cash flows from (to) affiliates	(3,356,666)	(1,503,013)
Other financing activities, net	0	0
Net cash provided by (used in) financing activities	(3,356,666)	(1,503,013)
Effect of exchange rates on cash and cash equivalents	0	0
Net increase (decrease) in cash and cash equivalents	0	0
Cash and cash equivalents, beginning of period	0	0
Cash and cash equivalents, end of period	$ 0	$ 0

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SEGMENT REPORTING

6 Months Ended

Sep. 25, 2015

Segment Reporting [Abstract]

SEGMENT REPORTING

SEGMENT REPORTING

The Company has four reportable segments: HRS, CTG, IEI, and INS. These segments are determined based on several factors, including the nature of products and services, the nature of production processes, customer base, delivery channels and similar economic characteristics. Refer to note 1 for a description of the various product categories manufactured under each of these segments.

An operating segment's performance is evaluated based on its pre-tax operating contribution, or segment income. Segment income is defined as net sales less cost of sales, and segment selling, general and administrative expenses, and does not include amortization of intangibles, stock-based compensation, other charges (income), net and interest and other, net.

Selected financial information by segment is as follows:

	Three-Month Periods Ended						Six-Month Periods Ended
	September 25, 2015			September 26, 2014			September 25, 2015			September 26, 2014
	(In thousands)
Net sales:
Integrated Network Solutions	$	2,204,966		$	2,340,707		$	4,171,528		$	4,781,133
Consumer Technology Group	2,011,089			2,209,543			3,576,052			4,431,683
Industrial & Emerging Industries	1,145,842			1,097,202			2,275,981			2,221,668
High Reliability Solutions	954,865			881,065			1,859,449			1,736,778
	$	6,316,762		$	6,528,517		$	11,883,010		$	13,171,262
Segment income and reconciliation of income before tax:
Integrated Network Solutions	$	65,758		$	57,643		$	122,822		$	130,354
Consumer Technology Group	41,170			53,336			80,013			83,200
Industrial & Emerging Industries	32,268			35,582			61,268			82,906
High Reliability Solutions	71,199			48,801			131,085			102,944
Corporate and Other	(14,075		)	(11,952		)	(39,786		)	(32,805		)
Total segment income	196,320			183,410			355,402			366,599
Reconciling items:
Intangible amortization	16,127			8,232			23,798			15,183
Stock-based compensation	16,200			10,919			32,326			22,600
Other charges (income), net	1,678			(2,584		)	1,842			(46,593		)
Interest and other, net	22,035			12,506			38,540			31,143
Income before income taxes	$	140,280		$	154,337		$	258,896		$	344,266

Asset information on a segment basis is not disclosed, as property and equipment is not allocated to each segment.

Corporate and other primarily includes corporate services costs that are not included in the assessment of the performance of each of the identified reporting segments.

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BALANCE SHEET ITEMS (Details 2) $ in Thousands	6 Months Ended
	Sep. 25, 2015 USD ($) segment	Mar. 31, 2015 USD ($)
Goodwill [Line Items]
Number of operating segments | segment	4
Activity in goodwill account
Balance, beginning of the year	$ 333,631
Additions	299,165
Purchase accounting adjustments	125
Foreign currency translation adjustments	(5,562)
Balance, end of the period	627,359
Gross Carrying Amount	469,946	$ 173,838
Accumulated Amortization	(115,467)	(92,294)
Total amortization expense	354,479	81,544
HRS
Activity in goodwill account
Balance, beginning of the year	93,138
Additions	292,608
Purchase accounting adjustments	125
Foreign currency translation adjustments	(5,562)
Balance, end of the period	380,309
CTG
Activity in goodwill account
Balance, beginning of the year	68,234
Additions	0
Purchase accounting adjustments	0
Foreign currency translation adjustments	0
Balance, end of the period	68,234
IEI
Activity in goodwill account
Balance, beginning of the year	64,221
Additions	2,982
Purchase accounting adjustments	0
Foreign currency translation adjustments	0
Balance, end of the period	67,203
INS
Activity in goodwill account
Balance, beginning of the year	108,038
Additions	3,575
Purchase accounting adjustments	0
Foreign currency translation adjustments	0
Balance, end of the period	111,613
Customer-related intangibles
Activity in goodwill account
Gross Carrying Amount	279,204	133,853
Accumulated Amortization	(93,401)	(80,506)
Total amortization expense	185,803	53,347
Licenses and other intangibles
Activity in goodwill account
Gross Carrying Amount	190,742	39,985
Accumulated Amortization	(22,066)	(11,788)
Total amortization expense	168,676	$ 28,197
Mirror Controls International
Activity in goodwill account
Balance, end of the period	290,478
Mirror Controls International | Customer-related intangibles
Activity in goodwill account
Gross Carrying Amount	131,400
Mirror Controls International | Licenses and other intangibles
Activity in goodwill account
Gross Carrying Amount	$ 148,600

XML

BALANCE SHEET ITEMS (Tables)

6 Months Ended

Sep. 25, 2015

Balance Sheet Related Disclosures [Abstract]

Schedule of components of inventories

The components of inventories, net of applicable lower of cost or market write-downs, were as follows:

	As of    September 25, 2015		As of    March 31, 2015
	(In thousands)
Raw materials	$	2,265,927	$	2,330,428
Work-in-progress	669,280		557,786
Finished goods	626,119		600,538
	$	3,561,326	$	3,488,752

Schedule of goodwill

The following table summarizes the activity in the Company’s goodwill account for each of its four segments during the six-month period endedSeptember 25, 2015:

		HRS			CTG		IEI		INS		Amount
	(In thousands)
Balance, beginning of the year		$	93,138		$	68,234	$	64,221	$	108,038	$	333,631
Additions (1)		292,608			—		2,982		3,575		299,165
Purchase accounting adjustments (2)		125			—		—		—		125
Foreign currency translation adjustments		(5,562		)	—		—		—		(5,562		)
Balance, end of the period		$	380,309		$	68,234	$	67,203	$	111,613	$	627,359

(1) The goodwill generated from the Company’s business combinations completed during the six-month period endedSeptember 25, 2015 is primarily related to value placed on the acquired employee workforces, service offerings and capabilities of the acquired businesses. The goodwill is not deductible for income tax purposes. See note 12 for additional information.

(2) Includes adjustments based on management's estimates resulting from their review and finalization of the valuation of assets and liabilities acquired through certain business combinations completed in a period subsequent to the respective acquisition. These adjustments were not individually, nor in the aggregate, significant to the Company.

Schedule of components of acquired intangible assets

The components of acquired intangible assets are as follows:

	As of September 25, 2015							As of March 31, 2015
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
	(In thousands)
Intangible assets:
Customer-related intangibles	$	279,204	$	(93,401	)	$	185,803	$	133,853	$	(80,506	)	$	53,347
Licenses and other intangibles	190,742		(22,066		)	168,676		39,985		(11,788		)	28,197
Total	$	469,946	$	(115,467	)	$	354,479	$	173,838	$	(92,294	)	$	81,544

Schedule of estimated future annual amortization expense for intangible assets

The estimated future annual amortization expense for intangible assets is as follows:

Fiscal Year Ending March 31,	Amount
	(In thousands)
2016 (1)	$	30,583
2017	54,734
2018	48,934
2019	44,593
2020	39,971
Thereafter	135,664
Total amortization expense	$	354,479

____________________________________________________________

(1) Represents estimated amortization for the remaining six-month period ending March 31, 2016.

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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Sep. 25, 2015	Sep. 26, 2014
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$ 233,827	$ 312,790
Depreciation, amortization and other impairment charges	230,894	260,328
Changes in working capital and other	197,274	(266,873)
Net cash provided by operating activities	661,995	306,245
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property and equipment	(296,401)	(167,204)
Proceeds from the disposition of property and equipment	2,383	28,809
Acquisition and divestiture of businesses, net of cash acquired and cash held in divested business	(641,913)	(38,082)
Other investing activities, net	(10,516)	(28,855)
Net cash used in investing activities	(946,447)	(205,332)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from bank borrowings and long-term debt	595,553	11,387
Repayments of bank borrowings and long-term debt	(21,090)	(9,185)
Payments for repurchases of ordinary shares	(241,978)	(206,771)
Net proceeds from issuance of ordinary shares	49,074	11,412
Other financing activities, net	(37,872)	3,382
Net cash provided by (used in) financing activities	343,687	(189,775)
Effect of exchange rates on cash and cash equivalents	(19,216)	9,486
Net increase (decrease) in cash and cash equivalents	40,019	(79,376)
Cash and cash equivalents, beginning of period	1,628,408	1,593,728
Cash and cash equivalents, end of period	1,668,427	1,514,352
Non-cash investing activity:
Unpaid purchases of property and equipment	$ 99,178	$ 51,814

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CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Sep. 25, 2015	Mar. 31, 2015
Statement of Financial Position [Abstract]
Ordinary shares, par value (in dollars per share)	$ 0	$ 0
Ordinary shares, issued	607,536,479	613,562,761
Ordinary shares, outstanding	557,297,124	563,323,406
Treasury stock, shares	50,239,355	50,239,355

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TRADE RECEIVABLES SECURITIZATION

6 Months Ended

Sep. 25, 2015

Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract]

TRADE RECEIVABLES SECURITIZATION

TRADE RECEIVABLES SECURITIZATION

The Company sells trade receivables under two asset-backed securitization programs and under an accounts receivable factoring program.

Asset-Backed Securitization Programs

The Company continuously sells designated pools of trade receivables under its Global Asset-Backed Securitization Agreement (the “Global Program”) and its North American Asset-Backed Securitization Agreement (the “North American Program,” collectively, the “ABS Programs”) to affiliated special purpose entities, each of which in turn sells 100% of the receivables to unaffiliated financial institutions. These programs allow the operating subsidiaries to receive a cash payment and a deferred purchase price receivable for sold receivables. Following the transfer of the receivables to the special purpose entities, the transferred receivables are isolated from the Company and its affiliates, and upon the sale of the receivables from the special purpose entities to the unaffiliated financial institutions, effective control of the transferred receivables is passed to the unaffiliated financial institutions, which has the right to pledge or sell the receivables. Although the special purpose entities are consolidated by the Company, they are separate corporate entities and their assets are available first to satisfy the claims of their creditors. The investment limits set by the financial institutions are $700.0 million for the Global Program, of which $600.0 million is committed and $100.0 million is uncommitted, and $265.0 million for the North American Program, of which $225.0 million is committed and $40.0 million is uncommitted. Both programs require a minimum level of deferred purchase price receivable to be retained by the Company in connection with the sales.

The Company services, administers and collects the receivables on behalf of the special purpose entities and receives a servicing fee of 0.1% to 0.5% of serviced receivables per annum. Servicing fees recognized during the three-month and six-month periods endedSeptember 25, 2015 and September 26, 2014 were not material and are included in interest and other, net within the condensed consolidated statements of operations. As the Company estimates the fee it receives in return for its obligation to service these receivables is at fair value, no servicing assets and liabilities are recognized.

As of September 25, 2015, approximately $1.4 billion of accounts receivable had been sold to the special purpose entities under the ABS Programs for which the Company had received net cash proceeds of approximately $890.0 million and deferred purchase price receivables of approximately $537.6 million. As of March 31, 2015, approximately $1.3 billion of accounts receivable had been sold to the special purpose entities for which the Company had received net cash proceeds of $740.7 million and deferred purchase price receivables of approximately $600.7 million. The portion of the purchase price for the receivables which is not paid by the unaffiliated financial institutions in cash is a deferred purchase price receivable, which is paid to the special purpose entity as payments on the receivables are collected from account debtors. The deferred purchase price receivable represents a beneficial interest in the transferred financial assets and is recognized at fair value as part of the sale transaction. The deferred purchase price receivables are included in other current assets as of September 25, 2015 and March 31, 2015, and were carried at the expected recovery amount of the related receivables. The difference between the carrying amount of the receivables sold under these programs and the sum of the cash and fair value of the deferred purchase price receivables received at time of transfer is recognized as a loss on sale of the related receivables and recorded in interest and other, net in the condensed consolidated statements of operations and were immaterial for all periods presented.

As of September 25, 2015 and March 31, 2015, the accounts receivable balances that were sold under the ABS Programs were removed from the condensed consolidated balance sheets and the net cash proceeds received by the Company were included as cash provided by operating activities in the condensed consolidated statements of cash flows.

For the six-month periods endedSeptember 25, 2015 and September 26, 2014, cash flows from sales of receivables under the ABS Programs consisted of approximately $2.4 billion and $2.1 billion, for transfers of receivables, respectively (of which approximately $255.3 million and $76.5 million, respectively, represented new transfers and the remainder proceeds from collections reinvested in revolving-period transfers).

The following table summarizes the activity in the deferred purchase price receivables account:

	Three-Month Periods Ended						Six-Month Periods Ended
	September 25, 2015			September 26, 2014			September 25, 2015			September 26, 2014
	(In thousands)
Beginning balance	$	516,287		$	463,124		$	600,672		$	470,908
Transfers of receivables	983,677			720,921			1,750,725			1,499,781
Collections	(962,345		)	(757,988		)	(1,813,778		)	(1,544,632		)
Ending balance	$	537,619		$	426,057		$	537,619		$	426,057

Trade Accounts Receivable Sale Programs

The Company also sold accounts receivables to certain third-party banking institutions. The outstanding balance of receivables sold and not yet collected was approximately $339.1 million and $485.6 million as of September 25, 2015 and March 31, 2015, respectively. For the six-month periods endedSeptember 25, 2015 and September 26, 2014, total accounts receivable sold to certain third party banking institutions was approximately $1.2 billion and $2.3 billion, respectively. The receivables that were sold were removed from the condensed consolidated balance sheets and the cash received is reflected as cash provided by operating activities in the condensed consolidated statements of cash flows.

XML

Document and Entity Information - shares	6 Months Ended
	Sep. 25, 2015	Oct. 20, 2015
Document and Entity Information
Entity Registrant Name	FLEXTRONICS INTERNATIONAL LTD.
Entity Central Index Key	0000866374
Document Type	10-Q
Document Period End Date	Sep. 25, 2015
Amendment Flag	false
Current Fiscal Year End Date	--03-31
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		556,305,165
Document Fiscal Year Focus	2016
Document Fiscal Period Focus	Q2

XML

FAIR VALUE MEASUREMENT OF ASSETS AND LIABILITIES

6 Months Ended

Sep. 25, 2015

Fair Value Disclosures [Abstract]

FAIR VALUE MEASUREMENT OF ASSETS AND LIABILITIES

FAIR VALUE MEASUREMENT OF ASSETS AND LIABILITIES

Fair value is defined as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required or permitted to be recorded at fair value, the Company considers the principal or most advantageous market in which it would transact, and it considers assumptions that market participants would use when pricing the asset or liability. The accounting guidance for fair value establishes a fair value hierarchy based on the level of independent, objective evidence surrounding the inputs used to measure fair value. A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The fair value hierarchy is as follows:

Level 1 - Applies to assets or liabilities for which there are quoted prices in active markets for identical assets or liabilities.

The Company has deferred compensation plans for its officers and certain other employees. Amounts deferred under the plans are invested in hypothetical investments selected by the participant or the participant’s investment manager. The Company’s deferred compensation plan assets are for the most part included in other noncurrent assets on the condensed consolidated balance sheets and primarily include investments in equity securities that are valued using active market prices.

Level 2 - Applies to assets or liabilities for which there are inputs other than quoted prices included within level 1 that are observable for the asset or liability such as quoted prices for similar assets or liabilities in active markets; quoted prices for identical assets or liabilities in markets with insufficient volume or infrequent transactions (less active markets) such as cash and cash equivalents and money market funds; or model-derived valuations in which significant inputs are observable or can be derived principally from, or corroborated by, observable market data.

The Company values foreign exchange forward contracts using level 2 observable inputs which primarily consist of an income approach based on the present value of the forward rate less the contract rate multiplied by the notional amount.

The Company’s cash equivalents are comprised of bank deposits and money market funds, which are valued using level 2 inputs, such as interest rates and maturity periods. Due to their short-term nature, their carrying amount approximates fair value.

The Company’s deferred compensation plan assets also include money market funds, mutual funds, corporate and government bonds and certain convertible securities that are valued using prices obtained from various pricing sources. These sources price these investments using certain market indices and the performance of these investments in relation to these indices. As a result, the Company has classified these investments as level 2 in the fair value hierarchy.

Level 3 - Applies to assets or liabilities for which there are unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of the assets or liabilities.

During the three-month period ended September 26, 2014, the Company accrued for certain contingent consideration in connection with its business acquisitions, which is measured at fair value based on internal cash flow models and other inputs. During the six-month period ended September 25, 2015, no additions to accrual, payments or fair value adjustments were incurred. The following table summarizes the activities related to contingent consideration:

	Three-Month Periods Ended				Six-Month Periods Ended
	September 25, 2015		September 26, 2014		September 25, 2015		September 26, 2014
	(In thousands)
Beginning balance	$	4,500	$	11,300	$	4,500	$	11,300
Additions to accrual	—		4,500		—		4,500
Payments	—		—		—		—
Fair value adjustments	—		—		—		—
Ending balance	$	4,500	$	15,800	$	4,500	$	15,800

The Company values deferred purchase price receivables relating to its asset-backed securitization program based on a discounted cash flow analysis using unobservable inputs (i.e., level 3 inputs), which are primarily risk free interest rates adjusted for the credit quality of the underlying creditor. Due to its high credit quality and short term maturity the fair value approximates carrying value. Significant increases in either of the major unobservable inputs (credit spread, risk free interest rate) in isolation would result in lower fair value estimates, however the impact is not meaningful. The interrelationship between these inputs is also insignificant. Refer to note 10 for a reconciliation of the change in the deferred purchase price receivable during the three-month and six-month periods endedSeptember 25, 2015 and September 26, 2014.

There were no transfers between levels in the fair value hierarchy during the three-month and six-month periods endedSeptember 25, 2015 and September 26, 2014.

Financial Instruments Measured at Fair Value on a Recurring Basis

The following table presents the Company’s assets and liabilities measured at fair value on a recurring basis:

	Fair Value Measurements as of September 25, 2015
	Level 1		Level 2			Level 3			Total
	(In thousands)
Assets:
Money market funds and time deposits (included in cash and cash equivalents of the condensed consolidated balance sheet)	$	—	$	447,217		$	—		$	447,217
Deferred purchase price receivable (Note 10)	—		—			537,619			537,619
Foreign exchange contracts (Note 8)	—		19,626			—			19,626
Deferred compensation plan assets:									0
Mutual funds, money market accounts and equity securities	8,939		37,676			—			46,615
Liabilities:									0
Foreign exchange contracts (Note 8)	$	—	$	(26,504	)	$	—		$	(26,504	)
Contingent consideration in connection with business acquisitions	—		—			(4,500		)	(4,500		)
	Fair Value Measurements as of March 31, 2015
	Level 1		Level 2			Level 3			Total
	(In thousands)
Assets:
Money market funds and time deposits (included in cash and cash equivalents of the condensed consolidated balance sheet)	$	—	$	674,859		$	—		$	674,859
Deferred purchase price receivable (Note 10)	—		—			600,672			600,672
Foreign exchange contracts (Note 8)	—		25,829			—			25,829
Deferred compensation plan assets:									0
Mutual funds, money market accounts and equity securities	9,068		37,041			—			46,109
Liabilities:									0
Foreign exchange contracts (Note 8)	$	—	$	(31,057	)	$	—		$	(31,057	)
Contingent consideration in connection with business acquisitions	—		—			(4,500		)	(4,500		)

Other financial instruments

The following table presents the Company’s debt not carried at fair value:

	As of September 25, 2015				As of March 31, 2015
	Carrying Amount		Fair Value		Carrying Amount		Fair Value		Fair Value Hierarchy
	(In thousands)
Term Loan, including current portion, due in installments through August 2018	$	588,750	$	586,177	$	592,500	$	582,131	Level 1
Term Loan, including current portion, due in installments through March 2019	468,750		466,992		475,000		465,500		Level 1
4.625% Notes due February 2020	500,000		520,625		500,000		523,750		Level 1
5.000% Notes due February 2023	500,000		502,750		500,000		543,150		Level 1
4.750% Notes due June 2025	595,402		585,000		—		—		Level 1
Total	$	2,652,902	$	2,661,544	$	2,067,500	$	2,114,531

The term loans and Notes due February 2020, February 2023 and June 2025 are valued based on broker trading prices in active markets.

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CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 25, 2015	Sep. 26, 2014	Sep. 25, 2015	Sep. 26, 2014
Income Statement [Abstract]
Net sales	$ 6,316,762	$ 6,528,517	$ 11,883,010	$ 13,171,262
Cost of sales	5,919,846	6,151,436	11,133,753	12,413,396
Gross profit	396,916	377,081	749,257	757,866
Selling, general and administrative expenses	216,796	204,590	426,181	413,867
Intangible amortization	16,127	8,232	23,798	15,183
Interest and other, net	22,035	12,506	38,540	31,143
Other charges (income), net	1,678	(2,584)	1,842	(46,593)
Income before income taxes	140,280	154,337	258,896	344,266
Provision for income taxes	17,303	15,434	25,069	31,476
Net income	$ 122,977	$ 138,903	$ 233,827	$ 312,790
Earnings per share
Basic (in dollars per share)	$ 0.22	$ 0.24	$ 0.41	$ 0.53
Diluted (in dollars per share)	$ 0.22	$ 0.23	$ 0.41	$ 0.52
Weighted-average shares used in computing per share amounts:
Basic (in shares)	563,333	585,760	564,417	586,497
Diluted (in shares)	569,655	595,871	573,288	598,586

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BANK BORROWINGS AND LONG TERM DEBT

6 Months Ended

Sep. 25, 2015

Debt Disclosure [Abstract]

BANK BORROWINGS AND LONG TERM DEBT

BANK BORROWINGS AND LONG TERM DEBT

Bank borrowings and long-term debt are as follows:

	As of September 25, 2015		As of March 31, 2015
	(In thousands)
Term Loan, including current portion, due in installments through August 2018	$	588,750	$	592,500
Term Loan, including current portion, due in installments through March 2019	468,750		475,000
4.625% Notes due February 2020	500,000		500,000
5.000% Notes due February 2023	500,000		500,000
4.750% Notes due June 2025	595,402		—
Other	13,248		16,233
Total	$	2,666,150	$	2,083,733

The weighted-average interest rates for the Company’s long-term debt were 3.5% and 3.2% as of September 25, 2015 and March 31, 2015, respectively,

On June 8, 2015, the Company issued $600 million of 4.750% Notes ("Notes") due June 15, 2025 in a private offering pursuant to Rule 144A and Regulation S under the Securities Act, at a discount of 99.213%, and an effective rate of approximately 4.850%. The Company received net proceeds of approximately $595.3 million from the issuance which will be used for general corporate purposes.

The Company incurred approximately $7.9 million of costs in conjunction with the issuance of the Notes. The issuance costs were capitalized and will be amortized over the life of the Notes.

Interest on the Notes is payable semi-annually, commencing on December 15, 2015. The Notes are senior unsecured obligations of the Company, rank equally with all of the Company's other existing and future senior and unsecured debt obligations, and are guaranteed, jointly and severally, fully and unconditionally on an unsecured basis, by each of the Company's 100% owned subsidiaries that guarantees indebtedness under, or is a borrower under, the Company's Term Loan Agreement and Revolving Line of Credit.

At any time prior to March 15, 2025, the Company may redeem some or all of the Notes at a redemption price equal to 100% of the principal amount of the Notes redeemed, plus an applicable premium and accrued and unpaid interest, if any, to the applicable redemption date. Upon the occurrence of a change of control repurchase event (as defined in the Notes indenture), the Company must offer to repurchase the Notes at a repurchase price equal to 101% of the principal amount of the Notes repurchased, plus accrued and unpaid interest, if any, to the applicable repurchase date.

The indenture governing the Notes contains covenants that, among other things, restrict the ability of the Company and certain of the Company's subsidiaries to create liens; enter into sale-leaseback transactions; create, incur, issue, assume or guarantee any funded debt; and consolidate or merge with, or convey, transfer or lease all or substantially all of the Company's assets to, another person, or permit any other person to consolidate, merge, combine or amalgamate with or into the Company. These covenants are subject to a number of significant limitations and exceptions set forth in the indenture. The indenture also provides for customary events of default, including, but not limited to, cross defaults to certain specified other debt of the Company and its subsidiaries. In the case of an event of default arising from specified events of bankruptcy or insolvency, all outstanding Notes will become due and payable immediately without further action or notice. If any other event of default under the agreement occurs or is continuing, the applicable trustee or holders of at least 25% in aggregate principal amount of the then outstanding Notes may declare all of the Notes to be due and payable immediately, but upon certain conditions such declaration and its consequences may be rescinded and annulled by the holders of a majority in principal amount of the Notes. As of September 25, 2015, the Company was in compliance with the covenants in the indenture governing the Notes.

In connection with the issuance of the Notes, the Company entered into a registration rights agreement under which it has agreed to consummate an offer registered with the Securities and Exchange Commission to issue new notes having terms substantially identical to the Notes (except that the new notes will not be subject to restrictions on transfer) in exchange for outstanding Notes. In some circumstances, the Company may be required to file a shelf registration statement to cover resale of the Notes. If the Company fails to satisfy these obligations, the Company may be required to pay additional interest to holders of the Notes under certain circumstances.

Repayment of the Company’s long term debt outstanding as of September 25, 2015 is as follows:

Fiscal Year Ending March 31,	Amount
	(In thousands)
2016 (1)	$	30,000
2017	52,500
2018	52,500
2019	922,500
2020	500,000
Thereafter	1,108,650
Total	$	2,666,150

____________________________________________________________

(1) Represents scheduled repayment for the remaining six-month period ending March 31, 2016.

On September 30, 2015, the Company amended its $2.0 billion credit facility to increase the $500 million term loan maturing in March 2019 by an additional borrowing of $100.0 million. All other terms remained unchanged.

On October 1, 2015, the Company entered into a €50 million (approximately $56.0 million as of September 25, 2015), 5-year, unsecured, term-loan agreement due September 30, 2020.

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EARNINGS PER SHARE

6 Months Ended

Sep. 25, 2015

Earnings Per Share [Abstract]

EARNINGS PER SHARE

EARNINGS PER SHARE

The following table reflects the basic weighted-average ordinary shares outstanding and diluted weighted-average ordinary share equivalents used to calculate basic and diluted earnings per share attributable to the shareholders of Flextronics International Ltd.:

	Three-Month Periods Ended				Six-Month Periods Ended
	September 25, 2015		September 26, 2014		September 25, 2015		September 26, 2014
	(In thousands, except per share amounts)
Net income	$	122,977	$	138,903	$	233,827	$	312,790
Shares used in computation:
Weighted-average ordinary shares outstanding	563,333		585,760		564,417		586,497
Basic earnings per share	0.22		0.24		0.41		0.53
Diluted earnings per share:
Net income	$	122,977	$	138,903	$	233,827	$	312,790
Shares used in computation:
Weighted-average ordinary shares outstanding	563,333		585,760		564,417		586,497
Weighted-average ordinary share equivalents from stock options and awards (1) (2)	6,322		10,111		8,871		12,089
Weighted-average ordinary shares and ordinary share equivalents outstanding	569,655		595,871		573,288		598,586
Diluted earnings per share	0.22		0.23		0.41		0.52

____________________________________________________________

(1)  Options to purchase ordinary shares of 1.1 million and 7.0 million during the three-month periods ended September 25, 2015 and September 26, 2014, respectively, and share bonus awards of 5.3 million and 0.8 million for the three-month periods ended September 25, 2015 and September 26, 2014, respectively, were excluded from the computation of diluted earnings per share due to their anti-dilutive impact on the weighted-average ordinary share equivalents.

(2)  Options to purchase ordinary shares of 1.2 million and 12.1 million during the six-month periods endedSeptember 25, 2015 and September 26, 2014, respectively, and share bonus awards of 2.9 million and 0.4 million for the six-month periods ended September 25, 2015 and September 26, 2014, respectively, were excluded from the computation of diluted earnings per share due to their anti-dilutive impact on the weighted-average ordinary share equivalents.

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SUPPLEMENTAL GUARANTOR AND NON-GUARANTOR CONDENSED CONSOLIDATING FINANCIAL STATEMENTS

6 Months Ended

Sep. 25, 2015

SUPPLEMENTAL GUARANTOR AND NON-GUARANTOR CONDENSED CONSOLIDATING FINANCIAL STATEMENTS

SUPPLEMENTAL GUARANTOR AND NON-GUARANTOR CONDENSED CONSOLIDATING FINANCIAL STATEMENTS

SUPPLEMENTAL GUARANTOR AND NON-GUARANTOR CONDENSED CONSOLIDATING FINANCIAL STATEMENTS

Flextronics International Ltd. (“Parent”) has three tranches of Notes of $500 million, $500 million, and $600 million, respectively, each outstanding, which mature on February 15, 2020, February 15, 2023 and June 15, 2025, respectively. These Notes are senior unsecured obligations, and are guaranteed, fully and unconditionally, jointly and severally, on an unsecured basis, by certain of the Company’s 100% owned subsidiaries (the “guarantor subsidiaries”). These subsidiary guarantees will terminate upon 1) a sale or other disposition of the guarantor or the sale or disposition of all or substantially all the assets of the guarantor (other than to the Parent or a subsidiary); 2) such guarantor ceasing to be a guarantor or a borrower under the Company’s Term Loan Agreement and the Revolving Line of Credit; 3) defeasance or discharge of the Notes, as provided in the Notes indenture; or 4) if at any time the Notes are rated investment grade.

In lieu of providing separate financial statements for the guarantor subsidiaries, the Company has included the accompanying condensed consolidating financial statements, which are presented using the equity method of accounting. The principal elimination entries relate to investment in subsidiaries and intercompany balances and transactions, including transactions with the Company’s non-guarantor subsidiaries. During the three-month period ended September 25, 2015, and in conjunction with the new $600 million Notes, a new entity was added as a guarantor subsidiary for all three tranches of the Notes. Accordingly, the Company recast the condensed consolidating financial statements presented below to reflect this change.

Condensed Consolidating Balance Sheets as of September 25, 2015

	Parent		Guarantor Subsidiaries			Non-Guarantor Subsidiaries		Eliminations			Consolidated
	(in thousands)
ASSETS
Current assets:
Cash and cash equivalents	$	517,631	$	226,469		$	924,327	$	—		$	1,668,427
Accounts receivable	—		1,352,781			1,194,029		—			2,546,810
Inventories	—		1,494,305			2,067,021		—			3,561,326
Inter company receivable	8,919,282		5,578,552			12,359,980		(26,857,814		)	—
Other current assets	3,749		202,794			1,002,388		—			1,208,931
Total current assets	9,440,662		8,854,901			17,547,745		(26,857,814		)	8,985,494
Property and equipment, net	—		506,394			1,711,636		—			2,218,030
Goodwill and other intangible assets, net	325		62,580			918,933		—			981,838
Other assets	2,259,454		198,711			2,139,936		(4,123,124		)	474,977
Investment in subsidiaries	1,654,260		2,412,432			16,883,121		(20,949,813		)	—
Total assets	$	13,354,701	$	12,035,018		$	39,201,371	$	(51,930,751	)	$	12,660,339
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Bank borrowings and current portion of long-term debt	$	43,125	$	941		$	3,906	$	—		$	47,972
Accounts payable	—		1,514,042			3,273,899		—			4,787,941
Accrued payroll	—		121,059			279,941		—			401,000
Inter company payable	8,213,861		8,993,273			9,650,680		(26,857,814		)	—
Other current liabilities	30,642		855,909			909,316		—			1,795,867
Total current liabilities	8,287,628		11,485,224			14,117,742		(26,857,814		)	7,032,780
Long term liabilities	2,646,945		2,109,106			2,539,057		(4,123,124		)	3,171,984
Flextronics International Ltd. shareholders’ equity (deficit)	2,420,128		(1,559,312		)	22,509,125		(20,949,813		)	2,420,128
Noncontrolling interests	—		—			35,447		—			35,447
Total shareholders’ equity (deficit)	2,420,128		(1,559,312		)	22,544,572		(20,949,813		)	2,455,575
Total liabilities and shareholders’ equity	$	13,354,701	$	12,035,018		$	39,201,371	$	(51,930,751	)	$	12,660,339

Condensed Consolidating Balance Sheets as of March 31, 2015

	Parent		Guarantor Subsidiaries			Non-Guarantor Subsidiaries		Eliminations			Consolidated
	(in thousands)
ASSETS
Current assets:
Cash and cash equivalents	$	608,971	$	168,272		$	851,165	$	—		$	1,628,408
Accounts receivable	—		1,208,632			1,128,883		—			2,337,515
Inventories	—		1,729,593			1,759,159		—			3,488,752
Inter company receivable	6,417,410		4,759,062			10,099,057		(21,275,529		)	—
Other current assets	8,143		202,161			1,075,921		—			1,286,225
Total current assets	7,034,524		8,067,720			14,914,185		(21,275,529		)	8,740,900
Property and equipment, net	—		471,052			1,621,115		—			2,092,167
Goodwill and other intangible assets, net	475		64,831			349,869		—			415,175
Other assets	2,223,402		155,172			2,131,523		(4,092,715		)	417,382
Investment in subsidiaries	1,799,956		1,681,521			16,641,212		(20,122,689		)	—
Total assets	$	11,058,357	$	10,440,296		$	35,657,904	$	(45,490,933	)	$	11,665,624
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Bank borrowings and current portion of long-term debt	$	40,000	$	917		$	5,245	$	—		$	46,162
Accounts payable	—		1,758,305			2,802,889		—			4,561,194
Accrued payroll	—		112,692			227,047		—			339,739
Inter company payable	6,559,569		7,250,235			7,465,725		(21,275,529		)	—
Other current liabilities	30,553		845,156			933,419		—			1,809,128
Total current liabilities	6,630,122		9,967,305			11,434,325		(21,275,529		)	6,756,223
Long term liabilities	2,067,421		2,102,483			2,435,962		(4,092,715		)	2,513,151
Flextronics International Ltd. shareholders’ equity (deficit)	2,360,814		(1,629,492		)	21,752,181		(20,122,689		)	2,360,814
Noncontrolling interests	—		—			35,436		—			35,436
Total shareholders’ equity (deficit)	2,360,814		(1,629,492		)	21,787,617		(20,122,689		)	2,396,250
Total liabilities and shareholders’ equity	$	11,058,357	$	10,440,296		$	35,657,904	$	(45,490,933	)	$	11,665,624

Condensed Consolidating Statements of Operations for the Three-Month Period Ended September 25, 2015

	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
	(in thousands)
Net sales	$	—		$	4,482,213		$	5,514,535		$	(3,679,986	)	$	6,316,762
Cost of sales	—			4,141,254			5,458,578			(3,679,986		)	5,919,846
Gross profit	—			340,959			55,957			—			396,916
Selling, general and administrative expenses	—			66,682			150,114			—			216,796
Intangible amortization	75			960			15,092			—			16,127
Interest and other, net	(132,637		)	277,355			(121,005		)	—			23,713
Income (loss) from continuing operations before income taxes	132,562			(4,038		)	11,756			—			140,280
Provision for income taxes	—			(5,658		)	22,961			—			17,303
Equity in earnings in subsidiaries	(9,585		)	(33,969		)	16,621			26,933			—
Net income (loss)	$	122,977		$	(32,349	)	$	5,416		$	26,933		$	122,977

Condensed Consolidating Statements of Operations for the Three-Month Period Ended September 26, 2014

	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
	(in thousands)
Net sales	$	—		$	4,732,749		$	5,184,889		$	(3,389,121	)	$	6,528,517
Cost of sales	—			4,403,702			5,136,855			(3,389,121		)	6,151,436
Gross profit	—			329,047			48,034			—			377,081
Selling, general and administrative expenses	—			62,825			141,765			—			204,590
Intangible amortization	75			834			7,323			—			8,232
Interest and other, net	(68,309		)	288,590			(210,359		)	—			9,922
Income (loss) from continuing operations before income taxes	68,234			(23,202		)	109,305			—			154,337
Provision for income taxes	—			8,142			7,292			—			15,434
Equity in earnings in subsidiaries	70,669			(50,729		)	50,147			(70,087		)	—
Net income (loss)	$	138,903		$	(82,073	)	$	152,160		$	(70,087	)	$	138,903

Condensed Consolidating Statements of Operations for the Six-Month Period EndedSeptember 25, 2015

	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
	(in thousands)
Net sales	$	—		$	8,528,598		$	9,450,050		$	(6,095,638	)	$	11,883,010
Cost of sales	—			7,785,313			9,444,078			(6,095,638		)	11,133,753
Gross profit	—			743,285			5,972			—			749,257
Selling, general and administrative expenses	—			130,238			295,943			—			426,181
Intangible amortization	150			1,921			21,727			—			23,798
Interest and other, net	(398,020		)	613,767			(175,365		)	—			40,382
Income (loss) from continuing operations before income taxes	397,870			(2,641		)	(136,333		)	—			258,896
Provision for income taxes	—			3,441			21,628			—			25,069
Equity in earnings in subsidiaries	(164,043		)	(52,516		)	52,584			163,975			—
Net income (loss)	$	233,827		$	(58,598	)	$	(105,377	)	$	163,975		$	233,827

Condensed Consolidating Statements of Operations for the Six-Month Period EndedSeptember 26, 2014

	Parent			Guarantor Subsidiaries		Non-Guarantor Subsidiaries			Eliminations			Consolidated
	(in thousands)
Net sales	$	—		$	9,537,544	$	9,961,077		$	(6,327,359	)	$	13,171,262
Cost of sales	—			8,859,138		9,881,617			(6,327,359		)	12,413,396
Gross profit	—			678,406		79,460			—			757,866
Selling, general and administrative expenses	—			124,627		289,240			—			413,867
Intangible amortization	150			1,687		13,346			—			15,183
Interest and other, net	(51,777		)	547,193		(510,866		)	—			(15,450		)
Income from continuing operations before income taxes	51,627			4,899		287,740			—			344,266
Provision for income taxes	—			14,789		16,687			—			31,476
Equity in earnings in subsidiaries	261,163			13,647		86,579			(361,389		)	—
Net income	$	312,790		$	3,757	$	357,632		$	(361,389	)	$	312,790

Condensed Consolidating Statements of Comprehensive Income (Loss) for the Three-Month Period Ended September 25, 2015

	Parent			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations		Consolidated
	(in thousands)
Net income (loss)	$	122,977		$	(32,349	)	$	5,416		$	26,933	$	122,977
Other comprehensive income (loss):
Foreign currency translation adjustments, net of zero tax	(30,267		)	(33,696		)	(30,633		)	64,329		(30,267		)
Unrealized gain (loss) on derivative instruments and other, net of zero tax	(5,544		)	1,160			(5,544		)	4,384		(5,544		)
Comprehensive income (loss)	$	87,166		$	(64,885	)	$	(30,761	)	$	95,646	$	87,166

Condensed Consolidating Statements of Comprehensive Income (Loss) for the Three-Month Period Ended September 26, 2014

	Parent			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(in thousands)
Net income (loss)	$	138,903		$	(82,073	)	$	152,160		$	(70,087	)	$	138,903
Other comprehensive income (loss):
Foreign currency translation adjustments, net of zero tax	(5,683		)	77,712			65,611			(143,323		)	(5,683		)
Unrealized loss on derivative instruments and other, net of zero tax	(2,433		)	(2,058		)	(2,433		)	4,491			(2,433		)
Comprehensive income (loss)	$	130,787		$	(6,419	)	$	215,338		$	(208,919	)	$	130,787

Condensed Consolidating Statements of Comprehensive Income (Loss) for the Six-Month Period EndedSeptember 25, 2015

	Parent			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(in thousands)
Net income (loss)	$	233,827		$	(58,598	)	$	(105,377	)	$	163,975		$	233,827
Other comprehensive income (loss):	0
Foreign currency translation adjustments, net of zero tax	(27,484		)	(57,186		)	(51,530		)	108,716			(27,484		)
Unrealized gain on derivative instruments and other, net of zero tax	7,285			5,785			7,285			(13,070		)	7,285
Comprehensive income (loss)	$	213,628		$	(109,999	)	$	(149,622	)	$	259,621		$	213,628

Condensed Consolidating Statements of Comprehensive Income (Loss) for the Six-Month Period EndedSeptember 26, 2014

	Parent			Guarantor Subsidiaries			Non- Guarantor Subsidiaries		Eliminations			Consolidated
	(in thousands)
Net income	$	312,790		$	3,757		$	357,632	$	(361,389	)	$	312,790
Other comprehensive income (loss):
Foreign currency translation adjustments, net of zero tax	(9,828		)	93,662			71,337		(164,999		)	(9,828		)
Unrealized gain (loss) on derivative instruments and other, net of zero tax	8,292			(228		)	8,292		(8,064		)	8,292
Comprehensive income	$	311,254		$	97,191		$	437,261	$	(534,452	)	$	311,254

Condensed Consolidating Statements of Cash Flows for the Six-Month Period EndedSeptember 25, 2015

	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
Net cash provided by (used in) operating activities	$	389,949		$	(247,462	)	$	519,508		$	—		$	661,995
Cash flows from investing activities:
Purchases of property and equipment, net of proceeds from disposal	—			(88,699		)	(205,330		)	11			(294,018		)
Acquisition and divestiture of businesses, net of cash acquired and cash held in divested business	—			(559,442		)	(82,471		)	—			(641,913		)
Investing cash flows to affiliates	(1,326,493		)	(836,415		)	(1,193,747		)	3,356,655			—
Other investing activities, net	—			(22,822		)	12,306			—			(10,516		)
Net cash used in investing activities	(1,326,493		)	(1,507,378		)	(1,469,242		)	3,356,666			(946,447		)
Cash flows from financing activities:
Proceeds from bank borrowings and long-term debt	595,309			209			35			—			595,553
Repayments of bank borrowings, long-term debt and capital lease obligations	(17,507		)	(1,039		)	(2,544		)	—			(21,090		)
Payments for repurchases of ordinary shares	(241,978		)	—			—			—			(241,978		)
Net proceeds from issuance of ordinary shares	49,074			—			—			—			49,074
Financing cash flows from affiliates	435,540			1,810,912			1,110,214			(3,356,666		)	—
Other financing activities, net	—			—			(37,872		)	—			(37,872		)
Net cash provided by financing activities	820,438			1,810,082			1,069,833			(3,356,666		)	343,687
Effect of exchange rates on cash and cash equivalents	24,766			2,955			(46,937		)	—			(19,216		)
Net increase (decrease) in cash and cash equivalents	(91,340		)	58,197			73,162			—			40,019
Cash and cash equivalents, beginning of period	608,971			168,272			851,165			—			1,628,408
Cash and cash equivalents, end of period	$	517,631		$	226,469		$	924,327		$	—		$	1,668,427

Condensed Consolidating Statements of Cash Flows for the Six-Month Period EndedSeptember 26, 2014

	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
Net cash provided by (used in) operating activities	$	24,949		$	(200,703	)	$	481,999		$	—		$	306,245
Cash flows from investing activities:
Purchases of property and equipment, net of proceeds from disposal	—			(73,455		)	(64,929		)	(11		)	(138,395		)
Acquisition and divestiture of businesses, net of cash acquired and cash held in divested business	—			—			(38,082		)	—			(38,082		)
Investing cash flows from (to) affiliates	(833,951		)	(924,184		)	255,111			1,503,024			—
Other investing activities, net	—			(6,134		)	(22,721		)	—			(28,855		)
Net cash provided by (used in) investing activities	(833,951		)	(1,003,773		)	129,379			1,503,013			(205,332		)
Cash flows from financing activities:
Proceeds from bank borrowings and long-term debt	—			—			11,387			—			11,387
Repayments of bank borrowings, long-term debt and capital lease obligations	(6,250		)	(888		)	(2,047		)	—			(9,185		)
Payments for repurchases of ordinary shares	(206,771		)	—			—			—			(206,771		)
Net proceeds from issuance of ordinary shares	11,412			—			—			—			11,412
Financing cash flows from (to) affiliates	925,410			1,317,706			(740,103		)	(1,503,013		)	—
Other financing activities, net	—			—			3,382			—			3,382
Net cash provided by (used in) financing activities	723,801			1,316,818			(727,381		)	(1,503,013		)	(189,775		)
Effect of exchange rates on cash and cash equivalents	(83,374		)	(1,139		)	93,999			—			9,486
Net decrease (increase) in cash and cash equivalents	(168,575		)	111,203			(22,004		)	—			(79,376		)
Cash and cash equivalents, beginning of period	638,714			210,462			744,552			—			1,593,728
Cash and cash equivalents, end of period	$	470,139		$	321,665		$	722,548		$	—		$	1,514,352

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BUSINESS AND ASSETS ACQUISITIONS

6 Months Ended

Sep. 25, 2015

Business Combinations [Abstract]

BUSINESS AND ASSETS ACQUISITIONS

BUSINESS AND ASSETS ACQUISITIONS

Acquisition of Mirror Controls International

On June 29, 2015, the Company completed its acquisition of MCi, and paid approximately $555.2 million, net of $27.7 million of cash acquired. This acquisition expanded the Company's capabilities in the automotive market, and was included in the HRS segment. The allocation of the purchase price to the tangible and identifiable intangible assets acquired and liabilities assumed was based on their estimated fair values as of the date of acquisition. The excess of the purchase price over the tangible and identifiable intangible assets acquired and liabilities assumed has been allocated to goodwill.

The following represents the Company's preliminary allocation of the total purchase price to the acquired assets and liabilities of MCi (in thousands):

Current assets:
Accounts receivable	$	41,392
Inventories	19,169
Other current assets	2,790
Total current assets	63,351
Property and equipment, net	39,256
Other assets	942
Intangibles	280,000
Goodwill	290,478
Total assets	$	674,027
Current liabilities:
Accounts payable	$	28,002
Accrued liabilities & other current liabilities	20,677
Total current liabilities	48,679
Other liabilities	70,190
Total aggregate purchase price	$	555,158

The intangible assets of $280.0 million is comprised of customer relationships of $131.4 million and licenses and other intangibles assets of $148.6 million. Customer relationships are amortized over a weighted-average estimated useful life of 8 years and licenses and other intangibles assets are amortized over a weighted-average estimated useful life of 10 years. In addition to accounts receivable and inventories, the Company acquired $39.3 million of machinery and equipment and assumed $70.2 million of other liabilities primarily comprised of deferred tax liabilities. The Company incurred $6.7 million in acquisition-related costs related to the acquisition of MCi during the three-month period ended September 25, 2015.

Acquisition of a facility from Alcatel-Lucent

On July 1, 2015, the Company acquired an optical transport facility from Alcatel-Lucent for approximately $67.5 million, which expanded its capabilities in the telecom market and was included in the INS segment. The Company acquired primarily $55.0 million of inventory, $10.0 million of property and equipment primarily comprised of a building and land, and recorded goodwill and intangible assets for a customer relationship of $3.6 million and $2.1 million, respectively, and assumed $3.2 million in other net liabilities in connection with this acquisition. The customer relationship intangible will amortize over a weighted-average estimated useful life of 5 years. Acquisition-related costs for this acquisition were immaterial.

Other business acquisitions

Additionally, during the six-month period endedSeptember 25, 2015, the Company completed three acquisitions that were not individually, nor in the aggregate, significant to the consolidated financial position, results of operations and cash flows of the Company.  Two of the acquired businesses expanded the Company’s capabilities in the medical devices market, particularly precision plastics and molding within the HRS segment, and the other strengthened capabilities in the household industrial market within the IEI segment. The Company paid $15.3 million, net of $0.1 million of cash held by the acquirees. The Company primarily acquired $2.0 million of property and equipment, assumed liabilities of $0.6 million and recorded goodwill and intangibles of $18.9 million. 

The results of operations for each of the acquisitions in fiscal year 2016 were included in the Company’s consolidated financial results beginning on the date of each acquisition, and the amount of revenue and earnings of the acquisitions, collectively, were immaterial to the Company’s consolidated financial results for all periods presented. Proforma results of operations for the acquisitions in fiscal year 2016 have not been presented because the effects of the acquisitions, collectively, were immaterial to the Company’s consolidated financial results for all periods presented.

The Company is in the process of evaluating the fair value of the assets and liabilities related to business combinations completed during the recent periods. Additional information, which existed as of the acquisition date, may become known to the Company during the remainder of the measurement period, a period not to exceed 12 months from the date of acquisition. Changes to amounts recorded as assets and liabilities may result in a corresponding adjustment to goodwill during the respective measurement periods.

On September 28, 2015, the Company completed the acquisition of NEXTracker and paid approximately $245.0 million net of cash acquired, with potential contingent consideration of up to a maximum of $97.2 million upon achievement of future revenue performance targets. The financial results of NEXTracker will be included in the consolidated financial statements of the Company as part of the IEI segment beginning in the third quarter of fiscal year 2016.

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FINANCIAL INSTRUMENTS

6 Months Ended

Sep. 25, 2015

Derivative Instruments and Hedges, Assets [Abstract]

FINANCIAL INSTRUMENTS

FINANCIAL INSTRUMENTS

Foreign Currency Contracts

The Company primarily enters into forward contracts and foreign currency swap contracts to manage the foreign currency risk associated with monetary accounts and anticipated foreign currency denominated transactions. The Company hedges committed exposures and does not engage in speculative transactions. As of September 25, 2015, the aggregate notional amount of the Company’s outstanding foreign currency contracts was $4.9 billion as summarized below:

	Foreign Currency Amount		Notional Contract Value in USD
Currency	Buy	Sell	Buy		Sell
	(In thousands)
Cash Flow Hedges
CNY	1,543,000	—	$	241,709	$	—
EUR	4,790	60,780	5,367		69,534
HUF	13,758,000	—	49,370		—
ILS	176,700	—	44,759		—
MXN	1,414,000	—	82,580		—
MYR	196,000	—	45,094		—
Other	N/A	N/A	52,524		500
			521,403		70,034
Other Foreign Currency Contracts
BRL	—	686,000	—		165,929
CAD	19,200	12,500	14,403		9,377
CHF	16,919	43,701	17,320		44,712
CNY	4,719,018	3,236,303	738,966		512,000
DKK	197,200	155,700	29,614		23,382
EUR	597,631	1,007,752	670,293		1,130,041
GBP	32,393	59,840	49,449		91,382
HUF	20,332,000	20,408,000	72,961		73,234
ILS	62,000	85,100	15,705		21,556
JPY	2,256,614	1,700,061	18,807		14,079
MXN	1,473,560	331,830	86,059		19,380
MYR	384,331	94,650	88,423		21,776
SEK	474,290	886,483	56,315		105,026
SGD	43,268	8,348	30,353		5,856
Other	N/A	N/A	91,499		52,884
			1,980,167		2,290,614
Total Notional Contract Value in USD			$	2,501,570	$	2,360,648

As of September 25, 2015, the fair value of the Company’s short-term foreign currency contracts was not material and is included in other current assets or other current liabilities, as applicable, in the condensed consolidated balance sheets. Certain of these contracts are designed to economically hedge the Company’s exposure to monetary assets and liabilities denominated in a non-functional currency and are not accounted for as hedges under the accounting standards. Accordingly, changes in the fair value of these instruments are recognized in earnings during the period of change as a component of interest and other, net in the condensed consolidated statements of operations. As of September 25, 2015 and March 31, 2015, the Company also has included net deferred losses in accumulated other comprehensive loss, a component of shareholders’ equity in the condensed consolidated balance sheets, relating to the effective portion of changes in fair value of its foreign currency contracts that are accounted for as cash flow hedges. These deferred losses totaled $9.7 million as of September 25, 2015, and are expected to be recognized primarily as a component of cost of sales in the condensed consolidated statements of operations primarily over the next twelve-month period. The gains and losses recognized in earnings due to hedge ineffectiveness were not material for all fiscal periods presented and are included as a component of interest and other, net in the condensed consolidated statements of operations.

The following table presents the fair value of the Company’s derivative instruments utilized for foreign currency risk management purposes:

	Fair Values of Derivative Instruments
	Asset Derivatives					Liability Derivatives
		Fair Value					Fair Value
	Balance Sheet Location	September 25, 2015		March 31, 2015		Balance Sheet Location	September 25, 2015		March 31, 2015
	(In thousands)
Derivatives designated as hedging instruments
Foreign currency contracts	Other current assets	$	2,507	$	2,896	Other current liabilities	$	11,923	$	19,729
Derivatives not designated as hedging instruments
Foreign currency contracts	Other current assets	$	17,119	$	22,933	Other current liabilities	$	14,581	$	11,328

The Company has financial instruments subject to master netting arrangements, which provides for the net settlement of all contracts with a single counterparty. The Company does not offset fair value amounts for assets and liabilities recognized for derivative instruments under these arrangements, and as such, the asset and liability balances presented in the table above reflect the gross amounts of derivatives in the condensed consolidated balance sheets. The impact of netting derivative assets and liabilities is not material to the Company’s financial position for any period presented.

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SEGMENT REPORTING (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 25, 2015 USD ($)	Sep. 26, 2014 USD ($)	Sep. 25, 2015 USD ($) segment	Sep. 26, 2014 USD ($)
Segment Reporting Information [Line Items]
Number of operating segments | segment			4
Net sales	$ 6,316,762	$ 6,528,517	$ 11,883,010	$ 13,171,262
Intangible amortization	16,127	8,232	23,798	15,183
Stock-based compensation	16,200	10,919	32,326	22,600
Other charges (income), net	1,678	(2,584)	1,842	(46,593)
Interest and other, net	22,035	12,506	38,540	31,143
Income before income taxes	140,280	154,337	258,896	344,266
Operating Segments
Segment Reporting Information [Line Items]
Net sales	6,316,762	6,528,517	11,883,010	13,171,262
Total segment income	196,320	183,410	355,402	366,599
Operating Segments | Integrated Network Solutions
Segment Reporting Information [Line Items]
Net sales	2,204,966	2,340,707	4,171,528	4,781,133
Total segment income	65,758	57,643	122,822	130,354
Operating Segments | Consumer Technology Group
Segment Reporting Information [Line Items]
Net sales	2,011,089	2,209,543	3,576,052	4,431,683
Total segment income	41,170	53,336	80,013	83,200
Operating Segments | Industrial & Emerging Industries
Segment Reporting Information [Line Items]
Net sales	1,145,842	1,097,202	2,275,981	2,221,668
Total segment income	32,268	35,582	61,268	82,906
Operating Segments | High Reliability Solutions
Segment Reporting Information [Line Items]
Net sales	954,865	881,065	1,859,449	1,736,778
Total segment income	71,199	48,801	131,085	102,944
Operating Segments | Corporate and Other
Segment Reporting Information [Line Items]
Total segment income	$ (14,075)	$ (11,952)	$ (39,786)	$ (32,805)

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INTEREST AND OTHER, NET

6 Months Ended

Sep. 25, 2015

INTEREST AND OTHER, NET

INTEREST AND OTHER, NET

INTEREST AND OTHER, NET

During the three-month and six-month periods endedSeptember 25, 2015, the Company recognized interest expense of $25.1 million and $45.2 million, respectively, on its debt obligations outstanding during the periods.During the three-month and six-month periods endedSeptember 26, 2014, the Company recognized interest expense of $19.0 million and $37.5 million, respectively.

During the three-month and six-month periods endedSeptember 25, 2015, the Company recognized interest income of $4.3 million and $7.8 million, respectively. During the three-month and six-month periods endedSeptember 26, 2014, the Company recognized interest income of $4.8 million and $10.1 million, respectively. 

During the three-month and six-month periods endedSeptember 25, 2015, the Company recognized gains on foreign exchange transactions of $12.4 million and $14.6 million, respectively.  During the three-month and six-month periods endedSeptember 26, 2014, the Company recognized gains on foreign exchange transactions of $6.8 million and $5.4 million, respectively.

During the three-month and six-month periods ended September 25, 2015, the Company incurred $8.1 million of acquisition-related costs.

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OTHER CHARGES (INCOME), NET

6 Months Ended

Sep. 25, 2015

Other Income and Expenses [Abstract]

OTHER CHARGES (INCOME), NET

OTHER CHARGES (INCOME), NET

During the three-month and six-month periods ended September 25, 2015, the Company incurred expenses of $1.6 million related to a refund in connection with the disposition of a certain manufacturing facility in Western Europe.

During the six-month period ended September 26, 2014, an amendment to a customer contract to reimburse a customer for certain performance provisions was executed which included the removal of a $55.0 million contractual obligation recognized during fiscal year 2014. Accordingly, the Company reversed the charge recognized in fiscal year 2014 with a corresponding credit to other charges (income), net in the consolidated statement of operations.

Further, during the six-month period ended September 26, 2014, the Company recognized a loss of $11.0 million in connection with the disposition of a manufacturing facility in Western Europe. The Company received $11.5 million in cash for the sale of $27.2 million in net assets of the facility. The loss also includes $4.6 million of transaction costs, partially offset by a credit of $9.3 million for the release of cumulative foreign translation gains triggered by the disposition.

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ACCUMULATED OTHER COMPREHENSIVE LOSS

6 Months Ended

Sep. 25, 2015

Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract]

ACCUMULATED OTHER COMPREHENSIVE LOSS

ACCUMULATED OTHER COMPREHENSIVE LOSS

The changes in accumulated other comprehensive loss by component, net of tax, are as follows:

	Three-Month Periods Ended
	September 25, 2015									September 26, 2014
	Unrealized gain (loss) on derivative instruments and other			Foreign currency translation adjustments			Total			Unrealized gain (loss) on derivative instruments and other			Foreign currency translation adjustments			Total
	(In thousands)
Beginning balance	$	(55,437	)	$	(109,456	)	$	(164,893	)	$	(22,124	)	$	(97,452	)	$	(119,576	)
Other comprehensive loss before reclassifications	(13,818		)	(30,267		)	(44,085		)	(2,965		)	(3,099		)	(6,064		)
Net (gains) losses reclassified from accumulated other comprehensive loss	8,274			—			8,274			532			(2,584		)	(2,052		)
Net current-period other comprehensive loss	(5,544		)	(30,267		)	(35,811		)	(2,433		)	(5,683		)	(8,116		)
Ending balance	$	(60,981	)	$	(139,723	)	$	(200,704	)	$	(24,557	)	$	(103,135	)	$	(127,692	)

	Six-Month Periods Ended
	September 25, 2015									September 26, 2014
	Unrealized gain (loss) on derivative instruments and other			Foreign currency translation adjustments			Total			Unrealized gain (loss) on derivative instruments and other			Foreign currency translation adjustments			Total
	(In thousands)
Beginning balance	$	(68,266	)	$	(112,239	)	$	(180,505	)	$	(32,849	)	$	(93,307	)	$	(126,156	)
Other comprehensive gain (loss) before reclassifications	(14,419		)	(27,636		)	(42,055		)	(1,965		)	2,008			43
Net (gains) losses reclassified from accumulated other comprehensive loss	21,704			152			21,856			10,257			(11,836		)	(1,579		)
Net current-period other comprehensive gain (loss)	7,285			(27,484		)	(20,199		)	8,292			(9,828		)	(1,536		)
Ending balance	$	(60,981	)	$	(139,723	)	$	(200,704	)	$	(24,557	)	$	(103,135	)	$	(127,692	)

Net losses reclassified from accumulated other comprehensive loss during the six-month period ended September 25, 2015 relating to derivative instruments and other includes $20.7 million attributable to the Company’s cash flow hedge instruments which were recognized as a component of cost of sales in the condensed consolidated statement of operations.

During the six-month period ended September 26, 2014, the Company recognized a loss of $11.0 million in connection with the disposition of a manufacturing facility in Western Europe. This loss includes the settlement of unrealized losses of $4.2 million on an insignificant defined benefit plan associated with the disposed facility offset by the release of cumulative foreign currency translation gains of $9.3 million, both of which have been reclassified from accumulated other comprehensive loss during the period. The loss on sale is included in other charges (income), net in the condensed consolidated statement of operations.

Additionally, net gains reclassified from accumulated other comprehensive loss during the six-month period endedSeptember 26, 2014 includes $2.6 million in connection with cumulative translation gains related to the liquidation of a foreign entity, which is included in other charges (income), net in the condensed consolidated statement of operations.

Substantially all unrealized losses relating to derivative instruments and other, reclassified from accumulated other comprehensive loss for the three-month and six-month periods endedSeptember 26, 2014, was recognized as a component of cost of sales in the condensed consolidated statement of operations, which primarily relate to the Company’s foreign currency contracts accounted for as cash flow hedges.

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SUPPLEMENTAL GUARANTOR AND NON-GUARANTOR CONDENSED CONSOLIDATING FINANCIAL STATEMENTS (Details 4) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 25, 2015	Sep. 26, 2014	Sep. 25, 2015	Sep. 26, 2014
Condensed consolidating statements of comprehensive income (loss)
Net income (loss)	$ 122,977	$ 138,903	$ 233,827	$ 312,790
Other comprehensive income (loss):
Foreign currency translation adjustments, net of zero tax	(30,267)	(5,683)	(27,484)	(9,828)
Unrealized gain (loss) on derivative instruments and other, net of zero tax	(5,544)	(2,433)	7,285	8,292
Comprehensive income	87,166	130,787	213,628	311,254
Reportable legal entities | Parent
Condensed consolidating statements of comprehensive income (loss)
Net income (loss)	122,977	138,903	233,827	312,790
Other comprehensive income (loss):
Foreign currency translation adjustments, net of zero tax	(30,267)	(5,683)	(27,484)	(9,828)
Unrealized gain (loss) on derivative instruments and other, net of zero tax	(5,544)	(2,433)	7,285	8,292
Comprehensive income	87,166	130,787	213,628	311,254
Reportable legal entities | Guarantor Subsidiaries
Condensed consolidating statements of comprehensive income (loss)
Net income (loss)	(32,349)	(82,073)	(58,598)	3,757
Other comprehensive income (loss):
Foreign currency translation adjustments, net of zero tax	(33,696)	77,712	(57,186)	93,662
Unrealized gain (loss) on derivative instruments and other, net of zero tax	1,160	(2,058)	5,785	(228)
Comprehensive income	(64,885)	(6,419)	(109,999)	97,191
Reportable legal entities | Non-Guarantor Subsidiaries
Condensed consolidating statements of comprehensive income (loss)
Net income (loss)	5,416	152,160	(105,377)	357,632
Other comprehensive income (loss):
Foreign currency translation adjustments, net of zero tax	(30,633)	65,611	(51,530)	71,337
Unrealized gain (loss) on derivative instruments and other, net of zero tax	(5,544)	(2,433)	7,285	8,292
Comprehensive income	(30,761)	215,338	(149,622)	437,261
Eliminations
Condensed consolidating statements of comprehensive income (loss)
Net income (loss)	26,933	(70,087)	163,975	(361,389)
Other comprehensive income (loss):
Foreign currency translation adjustments, net of zero tax	64,329	(143,323)	108,716	(164,999)
Unrealized gain (loss) on derivative instruments and other, net of zero tax	4,384	4,491	(13,070)	(8,064)
Comprehensive income	$ 95,646	$ (208,919)	$ 259,621	$ (534,452)

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SUPPLEMENTAL GUARANTOR AND NON-GUARANTOR CONDENSED CONSOLIDATING FINANCIAL STATEMENTS (Details 3) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 25, 2015	Sep. 26, 2014	Sep. 25, 2015	Sep. 26, 2014
Condensed consolidating statements of operations
Net sales	$ 6,316,762	$ 6,528,517	$ 11,883,010	$ 13,171,262
Cost of sales	5,919,846	6,151,436	11,133,753	12,413,396
Gross profit	396,916	377,081	749,257	757,866
Selling, general and administrative expenses	216,796	204,590	426,181	413,867
Intangible amortization	16,127	8,232	23,798	15,183
Interest and other, net	23,713	9,922	40,382	(15,450)
Income before income taxes	140,280	154,337	258,896	344,266
Provision for income taxes	17,303	15,434	25,069	31,476
Equity in earnings in subsidiaries	0	0	0	0
Net income	122,977	138,903	233,827	312,790
Reportable legal entities | Parent
Condensed consolidating statements of operations
Net sales	0	0	0	0
Cost of sales	0	0	0	0
Gross profit	0	0	0	0
Selling, general and administrative expenses	0	0	0	0
Intangible amortization	75	75	150	150
Interest and other, net	(132,637)	(68,309)	(398,020)	(51,777)
Income before income taxes	132,562	68,234	397,870	51,627
Provision for income taxes	0	0	0	0
Equity in earnings in subsidiaries	(9,585)	70,669	(164,043)	261,163
Net income	122,977	138,903	233,827	312,790
Reportable legal entities | Guarantor Subsidiaries
Condensed consolidating statements of operations
Net sales	4,482,213	4,732,749	8,528,598	9,537,544
Cost of sales	4,141,254	4,403,702	7,785,313	8,859,138
Gross profit	340,959	329,047	743,285	678,406
Selling, general and administrative expenses	66,682	62,825	130,238	124,627
Intangible amortization	960	834	1,921	1,687
Interest and other, net	277,355	288,590	613,767	547,193
Income before income taxes	(4,038)	(23,202)	(2,641)	4,899
Provision for income taxes	(5,658)	8,142	3,441	14,789
Equity in earnings in subsidiaries	(33,969)	(50,729)	(52,516)	13,647
Net income	(32,349)	(82,073)	(58,598)	3,757
Reportable legal entities | Non-Guarantor Subsidiaries
Condensed consolidating statements of operations
Net sales	5,514,535	5,184,889	9,450,050	9,961,077
Cost of sales	5,458,578	5,136,855	9,444,078	9,881,617
Gross profit	55,957	48,034	5,972	79,460
Selling, general and administrative expenses	150,114	141,765	295,943	289,240
Intangible amortization	15,092	7,323	21,727	13,346
Interest and other, net	(121,005)	(210,359)	(175,365)	(510,866)
Income before income taxes	11,756	109,305	(136,333)	287,740
Provision for income taxes	22,961	7,292	21,628	16,687
Equity in earnings in subsidiaries	16,621	50,147	52,584	86,579
Net income	5,416	152,160	(105,377)	357,632
Eliminations
Condensed consolidating statements of operations
Net sales	(3,679,986)	(3,389,121)	(6,095,638)	(6,327,359)
Cost of sales	(3,679,986)	(3,389,121)	(6,095,638)	(6,327,359)
Gross profit	0	0	0	0
Selling, general and administrative expenses	0	0	0	0
Intangible amortization	0	0	0	0
Interest and other, net	0	0	0	0
Income before income taxes	0	0	0	0
Provision for income taxes	0	0	0	0
Equity in earnings in subsidiaries	26,933	(70,087)	163,975	(361,389)
Net income	$ 26,933	$ (70,087)	$ 163,975	$ (361,389)

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SUPPLEMENTAL GUARANTOR AND NON-GUARANTOR CONDENSED CONSOLIDATING FINANCIAL STATEMENTS (Tables)

6 Months Ended

Sep. 25, 2015

SUPPLEMENTAL GUARANTOR AND NON-GUARANTOR CONDENSED CONSOLIDATING FINANCIAL STATEMENTS

Schedule of condensed consolidating balance sheets

Condensed Consolidating Balance Sheets as of September 25, 2015

	Parent		Guarantor Subsidiaries			Non-Guarantor Subsidiaries		Eliminations			Consolidated
	(in thousands)
ASSETS
Current assets:
Cash and cash equivalents	$	517,631	$	226,469		$	924,327	$	—		$	1,668,427
Accounts receivable	—		1,352,781			1,194,029		—			2,546,810
Inventories	—		1,494,305			2,067,021		—			3,561,326
Inter company receivable	8,919,282		5,578,552			12,359,980		(26,857,814		)	—
Other current assets	3,749		202,794			1,002,388		—			1,208,931
Total current assets	9,440,662		8,854,901			17,547,745		(26,857,814		)	8,985,494
Property and equipment, net	—		506,394			1,711,636		—			2,218,030
Goodwill and other intangible assets, net	325		62,580			918,933		—			981,838
Other assets	2,259,454		198,711			2,139,936		(4,123,124		)	474,977
Investment in subsidiaries	1,654,260		2,412,432			16,883,121		(20,949,813		)	—
Total assets	$	13,354,701	$	12,035,018		$	39,201,371	$	(51,930,751	)	$	12,660,339
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Bank borrowings and current portion of long-term debt	$	43,125	$	941		$	3,906	$	—		$	47,972
Accounts payable	—		1,514,042			3,273,899		—			4,787,941
Accrued payroll	—		121,059			279,941		—			401,000
Inter company payable	8,213,861		8,993,273			9,650,680		(26,857,814		)	—
Other current liabilities	30,642		855,909			909,316		—			1,795,867
Total current liabilities	8,287,628		11,485,224			14,117,742		(26,857,814		)	7,032,780
Long term liabilities	2,646,945		2,109,106			2,539,057		(4,123,124		)	3,171,984
Flextronics International Ltd. shareholders’ equity (deficit)	2,420,128		(1,559,312		)	22,509,125		(20,949,813		)	2,420,128
Noncontrolling interests	—		—			35,447		—			35,447
Total shareholders’ equity (deficit)	2,420,128		(1,559,312		)	22,544,572		(20,949,813		)	2,455,575
Total liabilities and shareholders’ equity	$	13,354,701	$	12,035,018		$	39,201,371	$	(51,930,751	)	$	12,660,339

Condensed Consolidating Balance Sheets as of March 31, 2015

	Parent		Guarantor Subsidiaries			Non-Guarantor Subsidiaries		Eliminations			Consolidated
	(in thousands)
ASSETS
Current assets:
Cash and cash equivalents	$	608,971	$	168,272		$	851,165	$	—		$	1,628,408
Accounts receivable	—		1,208,632			1,128,883		—			2,337,515
Inventories	—		1,729,593			1,759,159		—			3,488,752
Inter company receivable	6,417,410		4,759,062			10,099,057		(21,275,529		)	—
Other current assets	8,143		202,161			1,075,921		—			1,286,225
Total current assets	7,034,524		8,067,720			14,914,185		(21,275,529		)	8,740,900
Property and equipment, net	—		471,052			1,621,115		—			2,092,167
Goodwill and other intangible assets, net	475		64,831			349,869		—			415,175
Other assets	2,223,402		155,172			2,131,523		(4,092,715		)	417,382
Investment in subsidiaries	1,799,956		1,681,521			16,641,212		(20,122,689		)	—
Total assets	$	11,058,357	$	10,440,296		$	35,657,904	$	(45,490,933	)	$	11,665,624
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Bank borrowings and current portion of long-term debt	$	40,000	$	917		$	5,245	$	—		$	46,162
Accounts payable	—		1,758,305			2,802,889		—			4,561,194
Accrued payroll	—		112,692			227,047		—			339,739
Inter company payable	6,559,569		7,250,235			7,465,725		(21,275,529		)	—
Other current liabilities	30,553		845,156			933,419		—			1,809,128
Total current liabilities	6,630,122		9,967,305			11,434,325		(21,275,529		)	6,756,223
Long term liabilities	2,067,421		2,102,483			2,435,962		(4,092,715		)	2,513,151
Flextronics International Ltd. shareholders’ equity (deficit)	2,360,814		(1,629,492		)	21,752,181		(20,122,689		)	2,360,814
Noncontrolling interests	—		—			35,436		—			35,436
Total shareholders’ equity (deficit)	2,360,814		(1,629,492		)	21,787,617		(20,122,689		)	2,396,250
Total liabilities and shareholders’ equity	$	11,058,357	$	10,440,296		$	35,657,904	$	(45,490,933	)	$	11,665,624

Schedule of condensed consolidating statements of operations

Condensed Consolidating Statements of Operations for the Three-Month Period Ended September 25, 2015

	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
	(in thousands)
Net sales	$	—		$	4,482,213		$	5,514,535		$	(3,679,986	)	$	6,316,762
Cost of sales	—			4,141,254			5,458,578			(3,679,986		)	5,919,846
Gross profit	—			340,959			55,957			—			396,916
Selling, general and administrative expenses	—			66,682			150,114			—			216,796
Intangible amortization	75			960			15,092			—			16,127
Interest and other, net	(132,637		)	277,355			(121,005		)	—			23,713
Income (loss) from continuing operations before income taxes	132,562			(4,038		)	11,756			—			140,280
Provision for income taxes	—			(5,658		)	22,961			—			17,303
Equity in earnings in subsidiaries	(9,585		)	(33,969		)	16,621			26,933			—
Net income (loss)	$	122,977		$	(32,349	)	$	5,416		$	26,933		$	122,977

Condensed Consolidating Statements of Operations for the Three-Month Period Ended September 26, 2014

	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
	(in thousands)
Net sales	$	—		$	4,732,749		$	5,184,889		$	(3,389,121	)	$	6,528,517
Cost of sales	—			4,403,702			5,136,855			(3,389,121		)	6,151,436
Gross profit	—			329,047			48,034			—			377,081
Selling, general and administrative expenses	—			62,825			141,765			—			204,590
Intangible amortization	75			834			7,323			—			8,232
Interest and other, net	(68,309		)	288,590			(210,359		)	—			9,922
Income (loss) from continuing operations before income taxes	68,234			(23,202		)	109,305			—			154,337
Provision for income taxes	—			8,142			7,292			—			15,434
Equity in earnings in subsidiaries	70,669			(50,729		)	50,147			(70,087		)	—
Net income (loss)	$	138,903		$	(82,073	)	$	152,160		$	(70,087	)	$	138,903

Condensed Consolidating Statements of Operations for the Six-Month Period EndedSeptember 25, 2015

	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
	(in thousands)
Net sales	$	—		$	8,528,598		$	9,450,050		$	(6,095,638	)	$	11,883,010
Cost of sales	—			7,785,313			9,444,078			(6,095,638		)	11,133,753
Gross profit	—			743,285			5,972			—			749,257
Selling, general and administrative expenses	—			130,238			295,943			—			426,181
Intangible amortization	150			1,921			21,727			—			23,798
Interest and other, net	(398,020		)	613,767			(175,365		)	—			40,382
Income (loss) from continuing operations before income taxes	397,870			(2,641		)	(136,333		)	—			258,896
Provision for income taxes	—			3,441			21,628			—			25,069
Equity in earnings in subsidiaries	(164,043		)	(52,516		)	52,584			163,975			—
Net income (loss)	$	233,827		$	(58,598	)	$	(105,377	)	$	163,975		$	233,827

Condensed Consolidating Statements of Operations for the Six-Month Period EndedSeptember 26, 2014

	Parent			Guarantor Subsidiaries		Non-Guarantor Subsidiaries			Eliminations			Consolidated
	(in thousands)
Net sales	$	—		$	9,537,544	$	9,961,077		$	(6,327,359	)	$	13,171,262
Cost of sales	—			8,859,138		9,881,617			(6,327,359		)	12,413,396
Gross profit	—			678,406		79,460			—			757,866
Selling, general and administrative expenses	—			124,627		289,240			—			413,867
Intangible amortization	150			1,687		13,346			—			15,183
Interest and other, net	(51,777		)	547,193		(510,866		)	—			(15,450		)
Income from continuing operations before income taxes	51,627			4,899		287,740			—			344,266
Provision for income taxes	—			14,789		16,687			—			31,476
Equity in earnings in subsidiaries	261,163			13,647		86,579			(361,389		)	—
Net income	$	312,790		$	3,757	$	357,632		$	(361,389	)	$	312,790

Schedule of condensed consolidating statements of comprehensive income (loss)

Condensed Consolidating Statements of Comprehensive Income (Loss) for the Six-Month Period EndedSeptember 25, 2015

	Parent			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(in thousands)
Net income (loss)	$	233,827		$	(58,598	)	$	(105,377	)	$	163,975		$	233,827
Other comprehensive income (loss):	0
Foreign currency translation adjustments, net of zero tax	(27,484		)	(57,186		)	(51,530		)	108,716			(27,484		)
Unrealized gain on derivative instruments and other, net of zero tax	7,285			5,785			7,285			(13,070		)	7,285
Comprehensive income (loss)	$	213,628		$	(109,999	)	$	(149,622	)	$	259,621		$	213,628

Condensed Consolidating Statements of Comprehensive Income (Loss) for the Six-Month Period EndedSeptember 26, 2014

	Parent			Guarantor Subsidiaries			Non- Guarantor Subsidiaries		Eliminations			Consolidated
	(in thousands)
Net income	$	312,790		$	3,757		$	357,632	$	(361,389	)	$	312,790
Other comprehensive income (loss):
Foreign currency translation adjustments, net of zero tax	(9,828		)	93,662			71,337		(164,999		)	(9,828		)
Unrealized gain (loss) on derivative instruments and other, net of zero tax	8,292			(228		)	8,292		(8,064		)	8,292
Comprehensive income	$	311,254		$	97,191		$	437,261	$	(534,452	)	$	311,254

Condensed Consolidating Statements of Comprehensive Income (Loss) for the Three-Month Period Ended September 25, 2015

	Parent			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations		Consolidated
	(in thousands)
Net income (loss)	$	122,977		$	(32,349	)	$	5,416		$	26,933	$	122,977
Other comprehensive income (loss):
Foreign currency translation adjustments, net of zero tax	(30,267		)	(33,696		)	(30,633		)	64,329		(30,267		)
Unrealized gain (loss) on derivative instruments and other, net of zero tax	(5,544		)	1,160			(5,544		)	4,384		(5,544		)
Comprehensive income (loss)	$	87,166		$	(64,885	)	$	(30,761	)	$	95,646	$	87,166

Condensed Consolidating Statements of Comprehensive Income (Loss) for the Three-Month Period Ended September 26, 2014

	Parent			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(in thousands)
Net income (loss)	$	138,903		$	(82,073	)	$	152,160		$	(70,087	)	$	138,903
Other comprehensive income (loss):
Foreign currency translation adjustments, net of zero tax	(5,683		)	77,712			65,611			(143,323		)	(5,683		)
Unrealized loss on derivative instruments and other, net of zero tax	(2,433		)	(2,058		)	(2,433		)	4,491			(2,433		)
Comprehensive income (loss)	$	130,787		$	(6,419	)	$	215,338		$	(208,919	)	$	130,787

Schedule of condensed consolidating statements of cash flows

Condensed Consolidating Statements of Cash Flows for the Six-Month Period EndedSeptember 25, 2015

	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
Net cash provided by (used in) operating activities	$	389,949		$	(247,462	)	$	519,508		$	—		$	661,995
Cash flows from investing activities:
Purchases of property and equipment, net of proceeds from disposal	—			(88,699		)	(205,330		)	11			(294,018		)
Acquisition and divestiture of businesses, net of cash acquired and cash held in divested business	—			(559,442		)	(82,471		)	—			(641,913		)
Investing cash flows to affiliates	(1,326,493		)	(836,415		)	(1,193,747		)	3,356,655			—
Other investing activities, net	—			(22,822		)	12,306			—			(10,516		)
Net cash used in investing activities	(1,326,493		)	(1,507,378		)	(1,469,242		)	3,356,666			(946,447		)
Cash flows from financing activities:
Proceeds from bank borrowings and long-term debt	595,309			209			35			—			595,553
Repayments of bank borrowings, long-term debt and capital lease obligations	(17,507		)	(1,039		)	(2,544		)	—			(21,090		)
Payments for repurchases of ordinary shares	(241,978		)	—			—			—			(241,978		)
Net proceeds from issuance of ordinary shares	49,074			—			—			—			49,074
Financing cash flows from affiliates	435,540			1,810,912			1,110,214			(3,356,666		)	—
Other financing activities, net	—			—			(37,872		)	—			(37,872		)
Net cash provided by financing activities	820,438			1,810,082			1,069,833			(3,356,666		)	343,687
Effect of exchange rates on cash and cash equivalents	24,766			2,955			(46,937		)	—			(19,216		)
Net increase (decrease) in cash and cash equivalents	(91,340		)	58,197			73,162			—			40,019
Cash and cash equivalents, beginning of period	608,971			168,272			851,165			—			1,628,408
Cash and cash equivalents, end of period	$	517,631		$	226,469		$	924,327		$	—		$	1,668,427

Condensed Consolidating Statements of Cash Flows for the Six-Month Period EndedSeptember 26, 2014

	Parent			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
Net cash provided by (used in) operating activities	$	24,949		$	(200,703	)	$	481,999		$	—		$	306,245
Cash flows from investing activities:
Purchases of property and equipment, net of proceeds from disposal	—			(73,455		)	(64,929		)	(11		)	(138,395		)
Acquisition and divestiture of businesses, net of cash acquired and cash held in divested business	—			—			(38,082		)	—			(38,082		)
Investing cash flows from (to) affiliates	(833,951		)	(924,184		)	255,111			1,503,024			—
Other investing activities, net	—			(6,134		)	(22,721		)	—			(28,855		)
Net cash provided by (used in) investing activities	(833,951		)	(1,003,773		)	129,379			1,503,013			(205,332		)
Cash flows from financing activities:
Proceeds from bank borrowings and long-term debt	—			—			11,387			—			11,387
Repayments of bank borrowings, long-term debt and capital lease obligations	(6,250		)	(888		)	(2,047		)	—			(9,185		)
Payments for repurchases of ordinary shares	(206,771		)	—			—			—			(206,771		)
Net proceeds from issuance of ordinary shares	11,412			—			—			—			11,412
Financing cash flows from (to) affiliates	925,410			1,317,706			(740,103		)	(1,503,013		)	—
Other financing activities, net	—			—			3,382			—			3,382
Net cash provided by (used in) financing activities	723,801			1,316,818			(727,381		)	(1,503,013		)	(189,775		)
Effect of exchange rates on cash and cash equivalents	(83,374		)	(1,139		)	93,999			—			9,486
Net decrease (increase) in cash and cash equivalents	(168,575		)	111,203			(22,004		)	—			(79,376		)
Cash and cash equivalents, beginning of period	638,714			210,462			744,552			—			1,593,728
Cash and cash equivalents, end of period	$	470,139		$	321,665		$	722,548		$	—		$	1,514,352

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ACCUMULATED OTHER COMPREHENSIVE LOSS (Details 2) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 25, 2015	Sep. 26, 2014	Sep. 25, 2015	Sep. 26, 2014
Reclassification
Other charges (income), net	$ (22,035)	$ (12,506)	$ (38,540)	$ (31,143)
Net gains reclassified from AOCI	(8,274)	2,052	(21,856)	1,579
Certain manufacturing facilities
Reclassification
Recognized loss in connection with disposition of a manufacturing facility			11,000	11,000
Unrealized gain (loss) on derivative instruments and other
Reclassification
Net gains reclassified from AOCI	$ (8,274)	$ (532)	(21,704)	(10,257)
Unrealized gain (loss) on derivative instruments and other | Reclassification out of accumulated other comprehensive income
Reclassification
Cost of sales			20,700
Other charges (income), net			4,200
Foreign currency transaction and translation adjustment net of tax | Reclassification out of accumulated other comprehensive income
Reclassification
Net gains reclassified from AOCI				$ 2,600
Foreign currency transaction and translation adjustment net of tax | Reclassification out of accumulated other comprehensive income | Certain manufacturing facilities
Reclassification
Other charges (income), net			$ 9,300

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SHARE REPURCHASES

6 Months Ended

Sep. 25, 2015

Treasury Stock, Number of Shares and Restriction Disclosures [Abstract]

SHARE REPURCHASES

SHARE REPURCHASES

During the three-month and six-month periods endedSeptember 25, 2015, the Company repurchased 12.8 million shares at an aggregate purchase price of $138.0 million, and 20.6 million shares at an aggregate purchase price of $232.4 million, respectively, and retired all of these shares.

Under the Company’s current share repurchase program, the Board of Directors authorized repurchases of its outstanding ordinary shares for up to $500 million in accordance with the share repurchase mandate approved by the Company’s shareholders at the date of the most recent Extraordinary General Meeting held on August 20, 2015. As of September 25, 2015, shares in the aggregate amount of $422.5 million were available to be repurchased under the current plan.

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EARNINGS PER SHARE (Tables)

6 Months Ended

Sep. 25, 2015

Earnings Per Share [Abstract]

Schedule of basic weighted-average ordinary shares outstanding and diluted weighted-average ordinary share equivalents used to calculate basic and diluted earnings per share

The following table reflects the basic weighted-average ordinary shares outstanding and diluted weighted-average ordinary share equivalents used to calculate basic and diluted earnings per share attributable to the shareholders of Flextronics International Ltd.:

	Three-Month Periods Ended				Six-Month Periods Ended
	September 25, 2015		September 26, 2014		September 25, 2015		September 26, 2014
	(In thousands, except per share amounts)
Net income	$	122,977	$	138,903	$	233,827	$	312,790
Shares used in computation:
Weighted-average ordinary shares outstanding	563,333		585,760		564,417		586,497
Basic earnings per share	0.22		0.24		0.41		0.53
Diluted earnings per share:
Net income	$	122,977	$	138,903	$	233,827	$	312,790
Shares used in computation:
Weighted-average ordinary shares outstanding	563,333		585,760		564,417		586,497
Weighted-average ordinary share equivalents from stock options and awards (1) (2)	6,322		10,111		8,871		12,089
Weighted-average ordinary shares and ordinary share equivalents outstanding	569,655		595,871		573,288		598,586
Diluted earnings per share	0.22		0.23		0.41		0.52

____________________________________________________________

(1)  Options to purchase ordinary shares of 1.1 million and 7.0 million during the three-month periods ended September 25, 2015 and September 26, 2014, respectively, and share bonus awards of 5.3 million and 0.8 million for the three-month periods ended September 25, 2015 and September 26, 2014, respectively, were excluded from the computation of diluted earnings per share due to their anti-dilutive impact on the weighted-average ordinary share equivalents.

(2)  Options to purchase ordinary shares of 1.2 million and 12.1 million during the six-month periods endedSeptember 25, 2015 and September 26, 2014, respectively, and share bonus awards of 2.9 million and 0.4 million for the six-month periods ended September 25, 2015 and September 26, 2014, respectively, were excluded from the computation of diluted earnings per share due to their anti-dilutive impact on the weighted-average ordinary share equivalents.

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FINANCIAL INSTRUMENTS (Details 2) - Foreign currency contracts - USD ($) $ in Thousands	Sep. 25, 2015	Mar. 31, 2015
Other current assets | Derivatives designated as hedging instruments
Fair Values of Derivative Instruments
Asset Derivatives	$ 2,507	$ 2,896
Other current assets | Economic hedges
Fair Values of Derivative Instruments
Asset Derivatives	17,119	22,933
Other current liabilities | Derivatives designated as hedging instruments
Fair Values of Derivative Instruments
Liability Derivatives	11,923	19,729
Other current liabilities | Economic hedges
Fair Values of Derivative Instruments
Liability Derivatives	$ 14,581	$ 11,328

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EARNINGS PER SHARE (Details 2) - shares shares in Millions	3 Months Ended		6 Months Ended
	Sep. 25, 2015	Sep. 26, 2014	Sep. 25, 2015	Sep. 26, 2014
Options
Anti-diluted securities excluded from the computation of diluted earnings per share
Ordinary shares excluded from the computation of diluted earnings per share	1.1	7.0	1.2	12.1
Share bonus awards
Anti-diluted securities excluded from the computation of diluted earnings per share
Ordinary shares excluded from the computation of diluted earnings per share	5.3	0.8	2.9	0.4

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CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 25, 2015	Sep. 26, 2014	Sep. 25, 2015	Sep. 26, 2014
Statement of Comprehensive Income [Abstract]
Net income	$ 122,977	$ 138,903	$ 233,827	$ 312,790
Other comprehensive income (loss):
Foreign currency translation adjustments, net of zero tax	(30,267)	(5,683)	(27,484)	(9,828)
Unrealized gain (loss) on derivative instruments and other, net of zero tax	(5,544)	(2,433)	7,285	8,292
Comprehensive income	$ 87,166	$ 130,787	$ 213,628	$ 311,254

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SHARE-BASED COMPENSATION

6 Months Ended

Sep. 25, 2015

Share-based Compensation, Allocation and Classification in Financial Statements [Abstract]

SHARE-BASED COMPENSATION

SHARE-BASED COMPENSATION

The following table summarizes the Company’s share-based compensation expense:

	Three-Month Periods Ended				Six-Month Periods Ended
	September 25, 2015		September 26, 2014		September 25, 2015		September 26, 2014
	(In thousands)
Cost of sales	$	2,015	$	1,868	$	4,033	$	3,478
Selling, general and administrative expenses	14,185		9,051		28,293		19,122
Total share-based compensation expense	$	16,200	$	10,919	$	32,326	$	22,600

Total unrecognized compensation expense related to share options is not significant. As of September 25, 2015, the number of options outstanding and exercisable was 5.8 million at a weighted-average exercise price of $5.44 per share.

During the six-month period endedSeptember 25, 2015, the Company granted 6.1 million unvested share bonus awards under the Company's 2010 Equity Incentive Plan. Of this amount, approximately 5.2 million unvested share bonus awards have an average grant date price of $11.97 per share. Further, approximately 0.7 million of these unvested shares represents the target amount of grants made to certain key employees whereby vesting is contingent on certain market conditions. The average grant date fair value of these awards contingent on certain market conditions was estimated to be $14.96 per award and was calculated using a Monte Carlo simulation. The remaining 0.2 million of unvested shares bonus awards have an average grant date price of $12.10 per share and represents the target amount of grants made to certain executive officers whereby vesting is contingent on meeting certain free cash flow targets. The number of shares contingent on market conditions that ultimately will vest range from zero up to a maximum of 1.4 million based on a measurement of the percentile rank of the Company’s total shareholder return over a certain specified period against the Standard and Poor’s (“S&P”) 500 Composite Index and will cliff vest after a period of three years, if such market conditions have been met. The number of shares contingent on free cash flow targets that ultimately will vest range from zero up to a maximum of 0.4 million of the target payment based on a measurement of cumulative three-year increase of free cash flow from operations of the Company, and will cliff vest after a period of three years.

As of September 25, 2015, approximately 17.3 million unvested share bonus awards were outstanding, of which vesting for a targeted amount of 3.7 million is contingent primarily on meeting certain market conditions. The number of shares that will ultimately be issued can range from zero to 7.4 million based on the achievement levels of the respective conditions. During the six-month period ended September 25, 2015, 2.2 million shares vested in connection with the share bonus awards with market conditions granted in fiscal year 2013, and 0.5 million shares vested in connection with the share bonus awards with market conditions granted in fiscal year 2012.

As of September 25, 2015, total unrecognized compensation expense related to unvested share bonus awards is $122.5 million, net of estimated forfeitures, and will be recognized over a weighted-average remaining vesting period of 2.76 years. Approximately $20.0 million of the total unrecognized compensation cost, net of estimated forfeitures, is related to awards whereby vesting is contingent on meeting certain market conditions.

Subsequent to September 25, 2015, in conjunction with the acquisition of NEXTracker Inc. ("NEXTracker"), the Company agreed to assume all of the outstanding, unvested restricted stock units and outstanding, unvested options to purchase shares of common stock of NEXTracker.

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COMMITMENTS AND CONTINGENCIES (Details) - 6 months ended Sep. 25, 2015 BRL in Millions, $ in Millions	BRL	USD ($)
Commitments and Contingencies Disclosure [Abstract]
Income tax examination, estimate of possible loss	BRL 50	$ 12
Amount of assessment related to income and social contribution taxes interest and penalties received		$ 100

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BANK BORROWINGS AND LONG TERM DEBT (Tables)

6 Months Ended

Sep. 25, 2015

Debt Disclosure [Abstract]

Schedule of bank borrowings and long-term debt

Bank borrowings and long-term debt are as follows:

	As of September 25, 2015		As of March 31, 2015
	(In thousands)
Term Loan, including current portion, due in installments through August 2018	$	588,750	$	592,500
Term Loan, including current portion, due in installments through March 2019	468,750		475,000
4.625% Notes due February 2020	500,000		500,000
5.000% Notes due February 2023	500,000		500,000
4.750% Notes due June 2025	595,402		—
Other	13,248		16,233
Total	$	2,666,150	$	2,083,733

Schedule of the Company's repayments of long-term debt

Repayment of the Company’s long term debt outstanding as of September 25, 2015 is as follows:

Fiscal Year Ending March 31,	Amount
	(In thousands)
2016 (1)	$	30,000
2017	52,500
2018	52,500
2019	922,500
2020	500,000
Thereafter	1,108,650
Total	$	2,666,150

____________________________________________________________

(1) Represents scheduled repayment for the remaining six-month period ending March 31, 2016.

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SHARE-BASED COMPENSATION (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 25, 2015	Sep. 26, 2014	Sep. 25, 2015	Sep. 26, 2014
Share-based compensation
Share-based compensation expense	$ 16,200	$ 10,919	$ 32,326	$ 22,600
Cost of sales
Share-based compensation
Share-based compensation expense	2,015	1,868	4,033	3,478
Selling, general and administrative expenses
Share-based compensation
Share-based compensation expense	$ 14,185	$ 9,051	$ 28,293	$ 19,122

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COMMITMENTS AND CONTINGENCIES

6 Months Ended

Sep. 25, 2015

Commitments and Contingencies Disclosure [Abstract]

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES

Litigation and other legal matters

On December 11, 2013, Xilinx, Inc. (plaintiff) filed a lawsuit in Santa Clara County, California, Superior Court against Flextronics International Ltd.; Flextronics International USA, Inc.; and Flextronics Corporation (Case No. 113CV257431). The complaint asserted various claims, including fraud, negligent misrepresentation, breach of contract, and unfair competition, based on specific alleged incidents concerning our purchases and sales of Xilinx products. The plaintiff sought an unspecified amount of compensatory, statutory, punitive, and other forms of damages, injunctive relief, and attorneys' fees and costs. The parties settled this action in August 2015 and it has been dismissed; the terms of the settlement were not material to the Company’s financial statements as a whole.

During the fourth quarter of fiscal year 2014, one of the Company's Brazilian subsidiaries received an assessment for certain sales and import taxes. The tax assessment notice is for nine months of calendar year 2010 for an alleged amount of 50 million Brazilian reals (approximately $12 million based on the exchange rate as of September 25, 2015) plus interest. This assessment is in the second stage of the review process at the administrative level, and the Company plans to continue to vigorously oppose it as well as any future assessments. The Company is, however, unable to determine the likelihood of an unfavorable outcome of these assessments against our Brazilian subsidiary. While the Company believes there is no legal basis for the alleged liabilities, due to the complexities and uncertainty surrounding the administrative-review and judicial processes in Brazil and the nature of the claims, it is unable to reasonably estimate a range of loss for this assessment or any future assessments that are reasonably possible. The Company does not expect final judicial determination on these matters for several years.

During fiscal year 2015, one of the Company's non-operating Brazilian subsidiaries received an assessment of approximately $100 million related to income and social contribution taxes, interest and penalties. The Company believes there is no legal basis for the assessment and expects that any losses are remote. The Company plans to vigorously defend itself through the administrative and judicial processes.

In addition, from time to time, the Company is subject to legal proceedings, claims, and litigation arising in the ordinary course of business. The Company defends itself vigorously against any such claims. Although the outcome of these matters is currently not determinable, management expects that any losses that are probable or reasonably possible of being incurred as a result of these matters, which are in excess of amounts already accrued in the Company’s condensed consolidated balance sheets, would not be material to the financial statements as a whole.