BALANCE SHEET DETAILS

Inventories are comprised of the following:



	December 31, 2013		December 31, 2012
	(in thousands)
Raw materials and purchased parts	$	9,547	$	19,963
Work-in-progress	200,434		231,614
Finished goods	64,986		96,696
	$	274,967	$	348,273

Prepaids and other current assets consist of the following:



	December 31, 2013		December 31, 2012
	(in thousands)
Deferred income tax assets	$	35,493	$	53,105
Income tax receivable	8,668		6,346
Prepaid income taxes	2,938		13,113
Value-added tax receivable	2,734		7,144
Other	42,401		45,311
	$	92,234	$	125,019

Other assets consist of the following:



	December 31, 2013		December 31, 2012
	(in thousands)
Deferred income tax assets, net of current portion	$	134,365	$	102,315
Investments in privately-held companies	8,128		8,493
Auction-rate securities	1,066		1,066
Other	34,608		11,091
	$	178,167	$	122,965

Accrued and other liabilities consist of the following:



	December 31, 2013		December 31, 2012
	(in thousands)
Accrued salaries and benefits and other employee related	$	67,486	$	54,993
Accrued restructuring	25,441		16,222
Royalties and licenses	8,204		4,295
Advance payments from customer	4,668		10,000
Warranty accruals and accrued returns	4,406		10,411
Income taxes payable	3,219		7,863
Grants to be repaid	579		5,054
Deferred income tax liability, current portion	208		304
Current portion of market price adjustment to supply agreement	—		20,953
Other	41,195		73,415
	$	155,406	$	203,510

Other long-term liabilities consist of the following:



	December 31, 2013		December 31, 2012
	(in thousands)
Income taxes payable	$	50,334	$	26,744
Accrued pension liability	38,418		40,087
Long-term debt and capital lease obligations, less current portion	7,010		5,602
Long-term technology license payable	3,568		—
Advance payments from customer	—		4,668
Other	21,397		23,078
	$	120,727	$	100,179

Advance payments from customer relate to an agreement that the Company entered into with a specific customer in fiscal 2000. The agreement calls for the Company to supply either a minimum quantity of the Company's products or make minimum repayments. The minimum payment required to be made annually is the greater of 15% of the value of product shipped to the customer or $10.0 million, until such time that the advances have been fully repaid. The Company repaid $10.0 million in each of the years ended December 31, 2013, 2012 and 2011 under this agreement. As of December 31, 2013, the Company had remaining$4.7 million which was recorded in accrued and other liabilities.

Included in other long-term liabilities is a note payable to an entity in which the Company has an equity investment to further its strategic objectives. The total outstanding amount due was $3.6 million, of which $2.9 million is included in other long-term liabilities and $0.7 million is included in accounts payable at December 31, 2013, and $7.5 million at December 31, 2012, of which $6.6 million is included in other long-term liabilities and $0.9 million is included in accounts payable. In addition, the Company paid $6.7 million, $6.6 million and $3.7 million to this entity for the years ended December 31, 2013, 2012 and 2011, respectively, relating to a cost sharing arrangement for facility services at its Heilbronn, Germany facility.

Included in accrued and other liabilities as of December 31, 2012 is a liability related to a manufacturing services agreement entered into with LFoundry Rousset S.A.S. (“LFoundry Rousset”). In connection with the sale of the Company’s Rousset manufacturing operations to LFoundry GmbH (“LFoundry GmbH”) in June 2010, subsidiaries of the Company entered into certain other ancillary agreements, including a manufacturing services agreement (“MSA”) in which the subsidiaries agreed to purchase wafers following the closing on a “take-or-pay” basis. The present value of the liability was reduced over the term of the MSA as the wafers were purchased. The MSA liability was reduced by $21.0 million, $34.5 million, $31.9 million for the wafers purchased in the years ended December 31, 2013, 2012 and 2011, respectively. The Company recorded $0.3 million, $2.3 million and $4.5 million in interest expense relating to the MSA liability for the years ended December 31, 2013, 2012 and 2011, respectively.