10-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D. C. 20549

FORM 10-K

FOR ANNUAL AND TRANSITION REPORTS

PURSUANT TO SECTIONS 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

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

For the fiscal year ended December 31, 2013

OR

¨ 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 000-19406

Zebra Technologies Corporation

(Exact name of registrant as specified in its charter)

Delaware	36-2675536
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

475 Half Day Road, Suite 500, Lincolnshire, IL 60069

(Address of principal executive offices)            (Zip Code)

Registrant’s telephone number, including area code:     (847) 634-6700

Securities registered pursuant to Section 12(b) of the Act:

Title of Each Class	Name of Exchange on which Registered
Class A Common Stock, par value $.01 per share	The NASDAQ Stock Market, LLC

Securities registered pursuant to Section 12(g) of the Act: None

Indicate by check mark if the registrant is a well-known seasoned issuer (as defined in Rule 405 of the Securities Act).   Yes X No         

Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Securities Act. Yes          No X

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 X No         

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 (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes X No         

Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K is not contained herein, and will not be contained, to the best of the registrant’s knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. [ X ]

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 “accelerated filer,” “large accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Securities Act) (Check one):

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

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Securities Act). Yes          No X

As of June 29, 2013, the aggregate market value of each of the registrant’s Class A Common held by non-affiliates was approximately $2,102,525,626. The closing price of the Class A Common Stock on June 28, 2013, as reported on the Nasdaq Stock Market, was $43.44 per share.

As of February 7, 2014, 50,369,005 shares of Class A Common Stock, par value $.01 per share, were outstanding.

Documents Incorporated by Reference

Certain sections of the registrant’s Notice of Annual Meeting of Stockholders and Proxy Statement for its Annual Meeting of Stockholders to be held on May 15, 2014, are incorporated by reference into Part III of this report.

ZEBRA TECHNOLOGIES CORPORATION AND SUBSIDIARIES

INDEX

		PAGE
PART I
Item 1.	Business	4
Item 1A.	Risk Factors	12
Item 1B.	Unresolved Staff Comments	16
Item 2.	Properties	17
Item 3.	Legal Proceedings	18
Item 4.	Mine Safety Disclosures	18
PART II
Item 5.	Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities	19
Item 6.	Selected Financial Data	20
Item 7.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	21
Item 7A.	Quantitative and Qualitative Disclosures About Market Risk	35
Item 8.	Financial Statements and Supplementary Data	36
Item 9.	Changes in and Disagreements with Accountants on Accounting and Financial Disclosures	36
Item 9A.	Controls and Procedures	36
Item 9B.	Other Information	39
PART III
Item 10.	Directors, Executive Officers and Corporate Governance	40
Item 11.	Executive Compensation	40
Item 12.	Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters	40
Item 13.	Certain Relationships and Related Transactions, and Director Independence	40
Item 14.	Principal Accounting Fees and Services	40
PART IV
Item 15.	Exhibits, Financial Statement Schedules	41
SIGNATURES
Signatures		42
CONSOLIDATED FINANCIAL STATEMENTS AND SCHEDULE
Index to Consolidated Financial Statements and Schedule		F-1
EXHIBITS
Index to Exhibits

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PART I

References in this document to “Zebra,” “we,” “us,” or “our” refer to Zebra Technologies Corporation and its subsidiaries, unless the context specifically indicates otherwise.

Safe Harbor

Forward-looking statements contained in this filing are subject to the safe harbor created by the Private Securities Litigation Reform Act of 1995 and are highly dependent upon a variety of important factors which could cause actual results to differ materially from those expressed or implied in such forward looking statements. When used in this document and documents referenced, the words “anticipate,” “believe,” “intend,” “estimate,” “will” and “expect” and similar expressions as they relate to Zebra or its management are intended to identify such forward-looking statements, but are not the exclusive means of identifying these statements. The forward-looking statements include, but are not limited to, Zebra’s financial outlook for the first quarter and full year of 2014. These forward-looking statements are based on current expectations, forecasts and assumptions and are subject to the risks and uncertainties inherent in Zebra’s industry, market conditions, general domestic and international economic conditions, and other factors. These factors include:

• Market acceptance of Zebra’s printer and software products and competitors’ product offerings and the potential effects of technological changes,

• The effect of global market conditions, including North America, Latin America, Asia Pacific, Europe, Middle East and Africa and other regions in which we do business,

• Our ability to control manufacturing and operating costs,

• Risks related to the manufacturing of Zebra’s products in foreign countries as well as business operations in foreign countries including the risk of depending on key suppliers who are also in foreign countries,

• Zebra’s ability to purchase sufficient materials, parts and components to meet customer demand, particularly in light of global economic conditions,

• The availability of credit and the volatility of capital markets, which may affect our suppliers and customers,

• Success of integrating acquisitions, including the Hart Systems business we acquired in December 2013,

• Interest rate and financial market conditions because of our large investment portfolio,

• The impact of the percentage of cash and cash equivalents held outside the United States,

• The effect of natural disasters on our business,

• The impact of changes in foreign and domestic governmental policies, laws or regulations

• Foreign exchange rates due to the large percentage of our international sales and operations,

• The outcome of litigation in which Zebra is involved, particularly litigation or claims related to infringement of third-party intellectual property rights and,

• The outcome of any future tax matters.

We encourage readers of this report to review Item 1A, “Risk Factors,” in this report for further discussion of issues that could affect Zebra’s future results. Zebra undertakes no obligation, other than as may be required by law, to publicly update or revise any forward-looking statements, whether as a result of new information, future events, changed circumstances or any other reason after the date of this report.

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Item 1. Business

The Company

Zebra is a global leader respected for innovation and reliability which offers products and solutions that enable organizations to gain greater insight into their operations. Improved visibility allows our customers to create value by managing their assets, transactions and people better.

Zebra’s extensive portfolio of marking, tracking and printing technologies, which include barcode, RFID and sensoring, captures physical events in digital form to give operational events a virtual voice. This capture enables organizations to know in real-time the location, condition, timing and accuracy of events occurring throughout their value chain. Once the events are seen, organizations can create new value from what is already there.

We design, manufacture and sell specialty printing devices that print variable information on demand at the point of issuance. These devices are used worldwide by manufacturers, service and retail organizations and governments for automatic identification, data collection and personal identification in applications that improve productivity, deliver better customer service and provide more effective security. Our product range consists of direct thermal and thermal transfer label and receipt printers, passive radio frequency identification (RFID) printer/encoders and dye sublimation card printers. We also sell a comprehensive range of specialty supplies consisting of self-adhesive labels, thermal transfer ribbons, thermal printheads, batteries and other accessories, including software for label design, application development and printer network management.

Zebra also designs and sells solutions incorporating active RFID and ultra wideband radio (UWB) technologies. These solutions help businesses locate and or track assets and people in real time. They use battery-powered wireless tags, fixed-position antennae, transponder modules and application software. We also provide consulting services, maintenance contracts and software licenses related to these solutions.

In July of 2012, Zebra acquired LaserBand LLC (a Missouri limited liability company). LaserBand is a leader in patient identification wristbands and related products. LaserBand strengthens Zebra’s product and patent portfolio and enables Zebra to offer a wider array of products to hospitals, other healthcare organizations and other customers that use wristbands in their operations.

In December of 2012, Zebra acquired StepOne Systems. StepOne is a mobility software company that empowers store associates by giving them access to product details as well as store and company inventories to better serve their customers. StepOne’s retail application platform is incorporated into Zebra’s fully integrated mobile point-of-sale (POS) offering, which retail customers use to create a more personal customer engagement and improve the overall shopping experience.

In December 2013, Zebra acquired Hart Systems, a leading provider of self-directed physical inventory management solutions to the retail industry. Hart has distinguished itself in the market by offering retailers high ROI, self-managed inventory solutions. This acquisition enables us to expand our presence in the retail market segment by offering additional inventory management services as part of Zebra’s dedicated retail solutions. It adds software as a service (SaaS) to Zebra’s product portfolio.

Discontinued Operations

Sale of Navis, LLC - On March 18, 2011, we sold our Navis marine terminal solutions business and the related WhereNet marine terminal solutions product line of our ZES business to Cargotec Corporation.

Sale of proveo AG - On August 3, 2011, we entered into a Share Purchase Agreement with F Two NV (a Belgium company) and sold all of our interest in Zebra Enterprise Solutions GmbH (formerly proveo AG) business.

Beginning in the first quarter of 2011, Zebra reported the results of these businesses as discontinued operations. The amounts presented in Zebra’s financial statements for discontinued operations include Navis and proveo assets and liabilities, and the operating results of these businesses for 2012, 2011 and 2010. With the sale of Navis, we integrated the remaining ZES business into our Location Solutions operations.

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Continuing Operations

Zebra’s continuing operations include our printers, supplies and services businesses and our Location Solutions operations.

Zebra’s printer operations

We design our printer products to produce high-quality labels, wristbands, tickets, receipts, and plastic cards on demand. The exceptional diversity of applications using our printer products for barcoding and personal identification includes routing and tracking, patient safety, transaction processing, and identification and authentication. These applications require high levels of data accuracy, where speed, reliability and durability are critical. They also include specialty printing for receipts and tickets for improved customer service and productivity gains. Plastic cards are used for secure, reliable personal identification (state identification cards and drivers licenses), access control and financial cards (credit, debit and ATM cards) by financial institutions.

Applications for our printing solutions span most industries and geographies. They include inventory control, small package delivery, baggage handling, automated warehousing, just-in-time (JIT) manufacturing, employee time and attendance records, file management systems, patient barcode wrist banding, medical specimen labeling, shop floor control, in-store product labeling, employee ID cards, driver’s licenses, and access control systems.

We believe competitive forces on businesses worldwide drive them to strengthen security, reduce costs, more effectively manage assets, improve quality, deliver better customer service, and increase productivity which support the adoption of the printing and automatic identification applications Zebra provides. These solutions deliver significant and predictable economic benefits. Many of Zebra’s applications enhance the use of enterprise resource planning (ERP) and other process improvement systems in manufacturing and service organizations. Greater emphasis on supply chain management and the drive to reduce errors in healthcare are also increasing the use of automatic identification systems. Still other applications are taking advantage of recent advances in wireless and hand-held computing technologies.

Concern for safety and security and personal identification contribute to demand for our card printer products. This concern has heightened interest in systems that provide personal identification and access control, including secure ID systems for driver’s licenses, employee and visitor badges, national identification cards, event passes, club membership cards and keyless entry systems. Financial institutions utilize card printers for credit, debit and ATM cards.

Our printers are used to print barcode labels, receipts, plastic identification cards, wristbands, and tags and to encode passive RFID “smart” labels and cards.

We also sell related specialty labeling materials, thermal ink ribbons, and barcode label design and network management software. These products are used to support barcode labeling, personal identification and specialty printing solutions principally in the manufacturing supply chain, retail, healthcare and government sectors of the economy.

We produce the industry’s broadest range of rugged, on-demand thermal transfer and direct thermal printers. Our printing systems include hundreds of optional configurations that can be selected to meet particular customer needs. We believe this breadth of product offering is a unique and significant competitive strength.

Of the major printing technologies, which include ink jet, laser and impact dot matrix, we believe that direct thermal and thermal transfer technologies are best suited for most barcode labeling and other on-demand printing applications. Thermal transfer printing produces durable dark, solid blacks and sharply defined lines that are important for printing readily scannable barcodes. These images can be printed on a wide variety of labeling materials, which enable users to affix barcode labels to virtually any object. This capability is very important in the industrial and service sectors Zebra serves. Direct thermal printing is best suited where ease of use, smaller size and cost are important factors in the application. Accordingly, this technology is found principally in Zebra’s mobile and desktop units.

We work closely with distributors, value-added resellers, kiosk manufacturers and end users of our products to design and implement printing solutions that meet their technical demands. To achieve this flexibility, we provide our customers with a broad selection of printer models, each of which can be configured for specific applications. Additionally, we will select and, if necessary, create appropriate labeling stock, ink ribbons and adhesives to suit a particular application. In-house engineering personnel in software, mechanical, electronic and chemical engineering participate in the creation and development of unique printing solutions for particular applications.

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As of December 31, 2013, we offered 57 thermal printer models with numerous variations, in seven categories as follows:

• Tabletop printers for applications requiring continuous operation in high output, mission-critical and industrial settings as well as demanding commercial applications.

• Desktop printers to deliver value and performance in applications with lower volume or space restrictions.

• Mobile printers to meet the printing needs of mobile workers in a broad range of industries.

• Print engines, which are sold to manufacturers and integrators of high-speed automatic label applicator systems and are available with or without RFID smart label capabilities.

• Kiosk and ticket printers for use in kiosks and other unattended printing applications.

• Card printers, which print and encode national identity cards, driver’s licenses, employee identification badges, gift cards, personalized cards and financial cards (credit, debit and ATM cards).

• RFID printer/encoders for passive high frequency and ultra-high frequency radio frequency identification in the retail supply chain, for defense logistics, and other applications. These units are used to print and encode “smart labels” in a single pass. Smart labels are printable labels embedded with an ultra-thin radio frequency transponder. Information encoded in these transponders can then be read and modified by a radio frequency reader.

In addition to their use in on-demand automatic identification applications, our thermal printers can also be used for on-site batch production of custom barcode labels and other graphics. This capability results in shorter lead times, reduced inventory and more flexibility than can be provided with traditional off-site printing.

Zebra’s Location Solutions

Zebra offers a range of solutions and services that enable businesses to have visibility into the location and movement of its personnel and assets with real-time locating systems.

Zebra’s Location Solutions incorporate active RFID technology. Our software and hardware locate, track, manage, and maximize the utilization of high-value assets, equipment, and people. Whether tracking pallets through a supply chain, the flow of work in process, optimizing product fulfillment, analyzing movement of professional athletes, or providing wide-area asset traceability, our real-time location solutions provide constant visibility and accurate location.

Zebra provides asset tags, call tags, sensors, exciters and application software. Each tag contains a unique ID that users can associate to a specific asset, part, workstation or person. The complementary technologies in our location solutions work seamlessly together to provide customers with asset visibility, tracking, and motion monitoring.

Applications for our location solutions span a broad array of industries where tracking assets, transactions and people are critical. Our location solutions are deployed primarily in industrial manufacturing, process industries, aerospace, transportation and logistics and healthcare environments.

Printer supplies

Supplies products consist of stock and customized thermal labels, wristbands, plastic cards, card laminates and thermal transfer ribbons. Zebra promotes the use of genuine Zebra branded supplies with its printing equipment.

We fully support our printers, resellers and end users with an extensive line of superior quality, high-performance supplies optimized to a particular user’s needs. Supplies are chosen in consultation with the reseller and end-user based on the specific application, printer and environment in which the labeling system must perform. These printing solutions frequently include proprietary ribbon and label formulations that are designed to optimize image resolution and printer performance while meeting the most demanding end-user application performance criteria. Factors such as adhesion, resistance to scratches, smudges and abrasion, and chemical and environmental exposures are all taken into account when selecting the type of ribbon and labeling materials. The use of supplies that are not carefully matched to specific printers can degrade image quality, and decrease the life of key printer components such as printheads.

Zebra also provides a family of self-laminating wristbands for use in laser printers. These wristbands are marketed under the LaserBand name.

Printer related software

Zebra’s software products give assets a Digital Voice - enabling them to deliver Meaningful Data that leads to Smarter Decisions. The Zebra Digital Voice Solutions are Link-OS, Zatar, Zebra Commerce and Motion Works. These solutions create value for end users by enhancing process efficiency and by delivering insights about their business. The Digital Voice solutions enable our Partners to sell new devices, replace existing devices and deliver value over the life of those devices, via software & hardware service contracts, device management and analytics products. We leverage connectivity, mobility and Internet of Things technologies delivered via packaged, on premise software products, as well as through SaaS, PaaS and HaaS models.

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Our solutions enable high levels of functionality to all major computer network and software systems. Zebra has specialized printer management, label design, printer drivers and application development solutions to help unlock the full potential of Zebra printers. Our Link-OS™ suite of networking and software system offerings, makes Zebra’s printers easy to use and integrate into small, medium and enterprise-wide environments. Zebra connectivity solutions include support for Ethernet, 802.11a/b/g/n, and Bluetooth^®. Integration with multiple device operating systems, such as Microsoft^® Windows^® , Android ™, iOS, UNIX and Linux, are supported.

We also offer design and integration software specifically designed to optimize the performance of Zebra label and card printers. Our suite of tools includes CardStudio™, ZebraDesigner™, ZebraDesigner™ Pro, ZebraDesigner™ for XML, and ZebraDesigner™ Label Design Software for use with mySAP™ Business Suite. Zebra’s Enterprise Connector Solution for Oracle^® Business Intelligence Publisher™, deliver seamless integration between Oracle and Zebra printers, creating a versatile, easily managed, cost-effective printing platform. Our Profile Manager printer management system allows networked Link-OS™ printers to be managed from the cloud.

Printer maintenance and services

Zebra provides maintenance and repair services at our repair centers located in Vernon Hills, Illinois, United States; Etobicoke, Ontario, Canada; Mexico City, Mexico; Preston, United Kingdom; Singapore; Shanghai, China; Heerenveen, Netherlands; Sydney, Australia; and Sao Paulo, Brazil. Zebra Authorized Service Providers (ZASP) also provide repair services for most Zebra products at their locations. In addition, Zebra offers on-site repair services for tabletop printers in the United States. Outside of the United States, Zebra’s resellers may provide maintenance service, either directly as ZASPs or through independent service agents. Zebra also provides technical support from in-house support personnel located in the United States, the United Kingdom and Singapore. For most Zebra products, Zebra provides interactive technical support via the Internet at www.zebra.com, 24 hours per day, seven days per week.

Printer warranties

In general, Zebra provides one year of warranty coverage on our printers against defects in material and workmanship.

Thermal printheads are warranted for six months and batteries are warranted for one year. Battery-based products, such as location tags, are covered by a 90 day warranty. Zebra supplies are warranted against defects in material and workmanship for their stated shelf life or twelve months, whichever ends first. Defective equipment and supplies may be returned for repair or replacement during the applicable warranty periods.

Zebra’s technology

Our customers rely on Zebra to provide products and systems to help identify, authenticate, track or route both items and people, and then process the related transactions. These products and systems use technologies that provide specific benefits in each application.

All Zebra printers and print engines incorporate thermal printing technology, either direct thermal printing, thermal transfer printing or dye-sublimation printing. This technology creates an image by heating certain pixels of an electrical printhead to selectively image a ribbon or heat-sensitive substrate.

Direct thermal printers apply the heat directly to a thermally-sensitive label, wristband, or receipt to create an image. This form of thermal printing technology benefits applications requiring simple and reliable operations such as shelf labeling, patient identification, and kiosk receipts. Some desktop label printers, mobile printers and kiosk printers support only direct thermal printing.

Thermal transfer printers apply heat to a ribbon to release ink onto labels or tags. This form of thermal printing technology allows a wider range of specialty label materials and associated inks to be used for applications such as circuit board labels, chemical identification and product labels that require resistance to chemicals, extreme temperatures, abrasion, or labels requiring a long shelf life. Most of our printers in our high performance, midrange, print engine, desktop and mobile categories use thermal transfer printing but can also support direct thermal printing.

Dye-sublimation card printers apply heat to a ribbon to release a dye that is absorbed into a plastic card, retransfer film or treated paper. This process creates full-color, photographic quality images that are well-suited for driver’s licenses, access and identification cards, transaction cards, on-demand photographs, and financial cards (credit, debit and ATM cards).

Direct thermal and thermal transfer printers create crisp images at high speeds, making them ideal for printing easily readable text and machine readable barcodes. Dye sublimation thermal printers quickly create full-color images with visual characteristics more similar to halide-based film than to pixel-based ink jet or laser printers, making them ideal for high quality photographs and personalized plastic cards. Some printers also include HF (13.56 MHz) or UHF (860-960 MHz) RFID technology that can encode data into passive RFID transponders embedded in a label, card, or wristband.

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Zebra’s printers integrate company-designed mechanisms, electrical systems and printer operating systems. Enclosures of metal or high-impact plastic ensure the durability of our printers. Special mechanisms optimize handling of labels, ribbons, and plastic cards. Fast, high-current electrical systems provide consistent image quality. Mobile printers use NiMH or LiIon batteries to optimize print quality over an extended operating shift. Our printer operating systems support serial, parallel, Ethernet, USB, infrared, Bluetooth, or 802.11a/b/g/n wireless communications with appropriate security protocols. Printing instructions can be received as a proprietary language such as the Zebra Programming Language II (ZPL II^®), as a print driver-provided image, or as user-defined XML. These features make our printers easy to integrate into virtually all common computer systems including those operating on UNIX, Linux, or Microsoft^® Windows^® operating systems. Some independent software vendors, including Adobe, Oracle and SAP, have included Zebra printing support in applications for healthcare, warehouse management, manufacturing, passenger transportation and retailing.

Printer sales and marketing

Sales. We sell our printer products primarily through distributors, value-added resellers (VARs), direct marketers, and original equipment manufacturers (OEMs). We also sell our printer products directly to a select number of named customer accounts. For media and consumables, we sell directly to end users through the Internet and inside operations. Distributors and VARs purchase, stock and sell a variety of automatic identification components from different manufacturers and customize systems for end-user applications using their systems and application integration expertise. Because these sales channels provide specific software, configuration, installation, integration and support services required by end users within various market segments, these relationships allow us to reach end users throughout the world in a wide variety of industries. We experience a minor amount of seasonality in sales, depending on the geographic region and industry served.

We functionally classify our direct VARs as Premier Partners, Advanced Partners, or Associate Partners, depending on their business competencies, depth and breadth of their sales teams, customer support capabilities, contributions to Zebra’s strategic goals and sales commitment to Zebra. In addition, we offer VARs the opportunity to earn certifications for mobile/wireless printers, supplies, services and RFID products in specific industries. We also sell through distributors, which in turn sell to an extended VAR community. All VARs, as well as OEMs and systems integrators, provide customers with a variety of automatic identification components including scanners, accessories, applications software and systems integration expertise, and, in the case of some OEMs, resell the Zebra-manufactured products under their own brands as part of their own product offering. We believe that the breadth of this indirect channel network, both in terms of variety and geographic scope, enhances our ability to compete and more effectively offer our solutions to a greater number of end users.

In some instances, we have designated a customer as a strategic account when the customer is in a targeted high-growth industry with applications using Zebra solutions that span multiple product categories. Zebra sales personnel, either alone or together with our channel partners, manage these strategic accounts to ensure their needs are being met.

The sales function also encompasses a team that manages three global alliances. They direct the business development strategies for third-party relationships that are strategic to new demand creation for specific vertical markets and/or specific applications.

Marketing. Marketing operations encompass global corporate marketing, field marketing, product marketing, industry marketing, market research and channel marketing functions. Corporate marketing manages our Zebra brand globally, corporate public relations, internal communications and our web site. Corporate marketing is also responsible for market research and planning and industry marketing. Product marketing focuses on market analysis, positioning, product launch support and analyzes Zebra’s competitive position. Field marketing encompasses demand generation, channel program management and marketing and sales enablement.

Printer production and manufacturing

We design our products to optimize product performance, quality, reliability, durability and versatility. These designs combine cost-efficient materials, sourcing and assembly methods with high standards of workmanship.

Final assembly of our printer products is performed by Jabil Circuit, Inc., a third-party electronics manufacturer. Jabil produces our printers to our design specifications in the quantities we order. We maintain control over portions of the supply chain including supplier selection and price negotiations of key components. Jabil is responsible for the procurement of the components and subassemblies used in the Zebra printers it produces. Zebra has a subsidiary located in Guangzhou, China, and has an office located near the Jabil facility in China where our products are assembled. This office is staffed with our sourcing, engineering and quality personnel to help ensure that we receive optimal raw material pricing, manufacturing process controls are maintained and the final printers meet our quality standards. The majority of our printers manufactured by Jabil are shipped to our regional distribution centers. A portion of products are reconfigured at Zebra’s distribution centers through firmware downloads, packaging and customer specific customization before they are shipped to customers. In addition, certain products are manufactured in accordance with Federal procurement regulations and various international trade agreements, and remain eligible for sale to the United States government.

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Competition

Many companies are engaged in the design, manufacture and marketing of barcode label printers, RFID printer/encoders, card personalization and active RFID/Real Time Locating System (RTLS) solutions.

We consider our direct competition in barcode label and receipt printing to be producers of on-demand thermal transfer and direct thermal label printing systems, printer/encoders, mobile printers and supplies. We also compete with companies engaged in the design, manufacture and marketing of printing systems that use alternative technologies, such as ink-jet and laser printing. Many of these companies are substantially larger than Zebra.

Dye sublimation, the technology used in our card printers, is only one of several commercially available processes used to personalize cards. We also compete with companies that produce identification cards using alternative technologies, which include ink-jet, thermal transfer, embossing, film-based systems, encoders, laser engraving and large-scale dye sublimation printers. These card personalization technologies offer viable alternatives to Zebra’s card printers and provide effective competition from a variety of companies, many of which are substantially larger than us. In addition, service bureaus compete for end-user business and provide an alternative to the purchase of our card printing equipment and supplies.

We compete with a diverse group of small companies marketing RTLS solutions.

Our ability to compete effectively depends on a number of factors. These factors include the reliability, quality and reputation of the manufacturer and its products; hardware and software innovations and specifications; breadth of product offerings; information systems connectivity; price; level of technical support; supplies and applications support offered; available distribution channels; and financial resources to support new product design and innovation. We believe that Zebra presently competes favorably with respect to these factors.

We face competition in our printing business from many printer companies, including the following (listed in alphabetical order): Argox; Avery Dennison; Bixolon; Blue Bamboo; Boca Systems; Brother International; Canon; CIM; Citizen; Cognitive TPG; Custom; Danaher; Datacard; Datamax-O’Neil, a unit of Dover Corporation; Dymo, a Newell Rubbermaid Company; Epson; Evolis; Fargo Electronics, a unit of HID Global; Godex; Hewlett-Packard; Hitachi; Honeywell International Inc.; Lexmark International; MagiCard; Matica; Microcom; Mitsubishi; NBS Technologies; Nisca; Oki Data; Olympus; Practical Automation; Printronix; Sato; Seiko Instruments; Song Woo Electronics; Sony; Star Micronics; Taiwan Semiconductor; Toshiba TEC; Victor Data Systems; Woosim; and Xerox.

The supplies business is highly fragmented and competition is comprised of numerous competitors of various sizes depending on the geographic area.

Zebra’s competitors in the location solutions products include Aeroscout, Ekahau and Ubisense.

Alternative printing technologies

We believe thermal printing will be the preferred label, card and receipt printer technology in Zebra’s target applications for the foreseeable future. Among the many advantages of direct thermal and thermal transfer printing is the ability to print high-resolution, durable images on a wide variety of label materials at relatively low costs and high speeds compared with alternative printing technologies. We view passive RFID smart label encoding and active RFID location systems as complementary technologies to barcoded printing, offering growth opportunities for Zebra as the technologies become more widely adopted.

If other technologies were to evolve or become available, it is possible that those technologies would be incorporated into our products. Alternatively, if such technologies were to evolve or become available to our competitors, our products may become obsolete. This obsolescence would have a significant negative effect on our business, financial position, results of operations and cash flows.

Therefore, we continually assess competitive and complementary methods of barcode printing and other means of automatic identification. Alternative print technologies include ink jet, laser and direct marking. While we cannot be certain that a new technology will not supplant thermal printing for labels, cards and receipts, we are not aware of any developing technology that offers the advantages of thermal printing for our targeted applications. We continually monitor and evaluate new RFID technologies, support standards development and rapidly adopt RFID into new Zebra products and systems as new markets and applications emerge.

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Customers

Zebra had three customers that accounted for 10% or more of its sales. All three of these customers are distributors and not end users. Our net sales to significant customers as a percentage of total net sales were as follows:

	Year Ended December 31,
	2013			2012			2011
Customer A		16.8	%		20.4	%		20.7	%
Customer B		13.1	%		11.4	%		10.5	%
Customer C		12.3	%		10.3	%		8.9	%

No other customer accounted for 10% or more of total net sales during these years.

Sales

Net sales by product category for the last three years were (in thousands):

	Year Ended December 31,
Product Category	2013		2012		2011
Hardware	$	735,123	$	730,489	$	743,308
Supplies		243,965		212,499		187,457
Service and software		53,627		47,941		47,206
Subtotal		1,032,715		990,929		977,971
Shipping and handling		5,444		5,239		5,517
Total net sales	$	1,038,159	$	996,168	$	983,488

Net sales to international customers, as a percent of total net sales, were as follows:

	Year Ended December 31,
	2013			2012			2011
Percent of net sales		55.6	%		56.2	%		58.4	%

The percentage of international sales decreased in 2012 and 2013 due to the Laserband acquisition in July of 2012, which principally sells in North America. However, organically, international sales are likely to increase faster than domestic sales because of the lower penetration of automatic identification applications outside North America and Western Europe as well as generally higher economic growth rates in developing countries. As a result, Zebra has invested resources to support our international growth and currently operates facilities and sales offices, or has representation, in 30 different countries.

Research and Development

Zebra’s research and development expenditures for the last three years were as follows (in thousands, except percentages):

	Year Ended December 31,
	2013			2012			2011
Research and development expenses	$	91,147		$	87,364		$	89,926
Percent of net sales		8.8	%		8.8	%		9.1	%

We devote significant resources to developing new innovative solutions for our target markets and ensuring that our products and solutions maintain high levels of reliability and value to our customers.

Intellectual Property Rights

Zebra relies on a combination of trade secrets, patents, trademarks, copyrights and contractual rights to establish and protect its innovations. We hold over 200 domestic and international trademarks. We hold over 700 United States and foreign patents and patent applications. The expiration of any individual patent would not have a significant negative impact on our business.

10

Despite our efforts to protect our intellectual property rights, it may be possible for unauthorized third parties to copy portions of our products or to reverse engineer or otherwise obtain and use some technology and information that we regard as proprietary. Moreover, the laws of some countries do not afford Zebra the same protection to proprietary rights, as do United States laws. There can be no assurance that legal protections relied upon by Zebra to protect its proprietary position will be adequate. While Zebra’s intellectual property is valuable and provides certain competitive advantages, we do not believe that the legal protections afforded to our intellectual property are fundamental to our success.

Other trademarks mentioned in this report are the property of their respective holders and include UNIX, a registered trademark of UNIX Systems Laboratories; MS/DOS and Windows, registered trademarks of Microsoft; SAP, a registered trademark of SAP AG; and Linux, a registered trademark of Linus Torvalds. Bluetooth is a trademark owned by Bluetooth SIG and used by Zebra under license.

Employees

As of January 25, 2014, Zebra employed approximately 2,583 persons, of which 265 were corporate employees. None of our employees are members of a union. Some portions of our business, primarily in Europe and China, are subject to labor laws that differ significantly from those in the United States. For example, in Europe, it is common for a works council to represent employees when discussing matters such as compensation, benefits or terminations of employment. We consider our employee relations to be very good.

Contact Information

Zebra Technologies Corporation is a Delaware corporation. Our principal offices are located at 475 Half Day Road, Suite 500, Lincolnshire, Illinois 60069. Our main telephone number is (847) 634-6700 and our primary Internet web site address is www.zebra.com. You can find all of Zebra’s filings with the SEC free of charge through the investor page on this web site, immediately upon filing.

Additional Information

For financial information regarding Zebra, see Zebra’s Consolidated Financial Statements and the related Notes, which are included in this Annual Report on Form 10-K.

11

Item 1A. Risk Factors

Investors should carefully consider the risks, uncertainties and other factors described below, as well as other disclosures in Management’s Discussion and Analysis of Financial Condition and Results of Operations, because they could have a material adverse effect on Zebra’s business, financial condition, operating results, cash flows and growth prospects.

Final assembly of our thermal printers and most of our Location Solutions products is performed by Jabil Circuit, a third-party electronics manufacturer. We are dependent on Jabil as a sole-source of supply for the manufacture of such products. A failure by Jabil to provide manufacturing services to Zebra as Zebra requires, or any disruption in such manufacturing services, may adversely affect Zebra’s business results. Because we rely on a third-party provider such as Jabil to manufacture our products, Zebra may incur increased business continuity risks. Zebra is not able to exercise direct control over the assembly or related operations of its thermal printers and Location Solutions products. If Jabil experiences business difficulties or fails to meet Zebra’s manufacturing needs, then Zebra may be unable to satisfy customer product demands, lose sales and be unable to maintain customer relationships. Longer production lead times may result in shortages of certain products and inadequate inventories during periods of unanticipated higher demand. Without Jabil’s continuing manufacture of Zebra’s products, Zebra will have no other means of final assembly of its thermal printers and Location Solutions products until Zebra is able to secure the manufacturing capability at another facility or develop an alternative manufacturing facility. This transition could be costly and time consuming.

Although Zebra carries business interruption insurance to cover lost sales and profits in an amount it considers adequate, in the event of supply disruption, this insurance does not cover all possible situations. In addition, the business interruption insurance would not compensate Zebra for the loss of opportunity and potential adverse impact, both short-term and long-term, on relations with our existing customers going forward.

Zebra has significant operations outside the United States and sells a significant portion of its products internationally and purchases important components, including final products, from foreign suppliers. Zebra has significant operations outside of the United States which create significant risks. In addition, Zebra sells a substantial amount of its products to customers outside of the United States. Shipments to international customers are expected to continue to account for a material portion of net sales. Zebra also expects to continue the use of third-party contract manufacturing services with overseas production and assembly operations for our products.

Risks associated with operations, sales and purchases outside the United States include:

• Fluctuating foreign currency rates could restrict sales or increase costs of purchasing in foreign countries;

• Volatility in foreign credit markets may affect the financial well-being of our customers and suppliers;

• Adverse changes in, or uncertainty of, local business laws or practices, including the following:

• Foreign governments may impose burdensome tariffs, quotas, taxes, trade barriers or capital flow restrictions;

• Restrictions on the export or import of technology may reduce or eliminate the ability to sell in or purchase from certain markets;

• Political and economic instability may reduce demand for our products or put our foreign assets at risk;

• Potentially limited intellectual property protection in certain countries may limit recourse against infringing on our products or cause Zebra to refrain from selling in certain geographic territories;

• Staffing may be difficult and turnover higher at international operations;

• A government controlled exchange rate and limitations on the convertibility of the Chinese yuan;

• Transportation delays that may affect production and distribution of Zebra’s products; and

• Effectively managing and overseeing operations that are distant and remote from corporate headquarters may be difficult.

Customers have the right to return products that do not function properly within a limited time after delivery. Zebra monitors and tracks product returns and records a provision for the estimated future returns based on historical experience and any notification received of pending returns. Zebra, however, cannot guarantee that it will continue to experience return rates consistent with historical patterns.

Zebra may not be able to continue to develop products to address user needs effectively in an industry characterized by ongoing change. To be successful, Zebra must adapt to rapidly changing technological and application needs by continually improving its products as well as introducing new products and services to address user demands.

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Zebra’s industry is characterized by:

• Evolving industry standards,

• Frequent new product and service introductions,

• Evolving distribution channels,

• Increasing demand for customized product and software solutions, and

• Changing customer demands.

Future success will depend on Zebra’s ability to effectively and economically adapt in this evolving environment. Zebra could incur substantial costs if it has to modify its business to adapt to these changes, and may even be unable to adapt to these changes.

Zebra competes in a competitive industry, which may become more competitive. Competitors may be able to respond more quickly to new or emerging technology and changes in customer requirements. Zebra faces significant competition in developing and selling its products and solutions. Some competitors have substantial marketing, financial, development and personnel resources. To remain competitive, Zebra believes it must continue to effectively and economically provide:

• Technologically advanced systems that satisfy user demands,

• Superior customer service,

• High levels of quality and reliability, and

• Dependable and efficient distribution networks.

Zebra cannot assure it will be able to compete successfully against current or future competitors. Increased competition in printers or supplies may result in price reductions, lower gross profit margins and loss of market share, and could require increased spending on research and development, sales and marketing and customer support. Some competitors may make strategic acquisitions or establish cooperative relationships with suppliers or companies that produce complementary products, which may create additional pressures on Zebra’s competitive position in the marketplace.

Zebra is vulnerable to the potential difficulties associated with the increase in the complexity of its business. Zebra has grown rapidly over the last several years through domestic and international growth. This growth has caused increased complexities in the business. We believe our future success depends in part on our ability to manage our growth and increased complexities of our business and the demands from increased responsibility. The following factors could present difficulties to us:

• Compliance with evolving laws and regulations in multiple international jurisdictions;

• Managing our distribution channel partners;

• Managing our contract manufacturing and supply chain;

• Manufacturing an increased number of products;

• Increased administrative and operational burden;

• Maintaining and improving information technology infrastructure to support growth;

• Increased logistical problems common to complex, expansive operations; and

• Increasing international operations.

Inability to consummate future acquisitions at appropriate prices could negatively impact our growth rate and stock price. Zebra’s ability to grow revenues, earnings and cash flow depends in part upon our ability to identify and successfully acquire and integrate businesses at appropriate prices and to realize anticipated synergies. Acquisitions can be difficult to identify and consummate due to unreasonable asking prices, competition among prospective buyers and the need to satisfy applicable closing conditions and obtain antitrust and other regulatory approval on acceptable terms.

Zebra could encounter difficulties in any acquisition it undertakes, including unanticipated integration problems and business disruption. Acquisitions could also dilute stockholder value and adversely affect operating results. Zebra may acquire or make investments in other businesses, technologies, services or products. An acquisition may present business issues which are new to Zebra. The process of integrating any acquired business, technology, service or product into our operations may result in unforeseen operating difficulties and expenditures. Integration of an acquired company also may consume considerable management time and attention, which could otherwise be available for ongoing operations and the further development of our existing business. The expected benefits of any acquisition may not be realized.

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Acquisitions also may involve a number of risks, including:

• Difficulties and uncertainties in retaining the customers or other business relationships from the acquired entities;

• The loss of key employees of acquired entities;

• The ability of acquired entities to fulfill their customer’s obligations;

• The discovery of unanticipated issues or liabilities;

• Pre-closing and post-closing acquisition-related earnings charges could adversely impact operating results in any given period, and the impact may be substantially different from period to period;

• The failure of acquired entities to meet or exceed expected returns could result in impairment of goodwill or intangible assets acquired; and

• The acquired entities’ ability to implement internal controls and accounting systems necessary to be compliant with requirements applicable to public companies subject to SEC reporting.

Future acquisitions could result in potentially dilutive issuances of equity securities or the incurrence of debt and contingent liabilities.

Zebra sources some of its component parts from sole source suppliers. A disruption in the supply of such component parts could have a material adverse effect on our ability to meet customer demand and negatively affect our financial results.

Infringement by Zebra or Zebra suppliers on the proprietary rights of others could put Zebra at a competitive disadvantage, and any related litigation could be time consuming and costly. Third parties may claim that Zebra or Zebra suppliers violated their intellectual property rights. To the extent of a violation of a third-party’s patent or other intellectual property right, Zebra may be prevented from operating its business as planned, and may be required to pay damages, to obtain a license, if available, or to use a non-infringing method, if possible, to accomplish its objectives. Any of these claims, with or without merit, could result in costly litigation and divert the attention of key personnel. If such claims are successful, they could result in costly judgments or settlements. Also, as new technologies emerge the intellectual property rights of parties in such technologies can be uncertain. As a result, Zebra’s products involving such technologies may have higher risk of claims of infringement of the intellectual proprietary rights of third parties.

The inability to protect intellectual property could harm Zebra’s reputation, and its competitive position may be materially damaged. Zebra’s intellectual property is valuable and provides Zebra with certain competitive advantages. Copyrights, patents, trademarks, trade secrets and contracts are used to protect these proprietary rights. Despite these precautions, third parties may be able to copy or reproduce aspects of Zebra’s intellectual property and its products or, without authorization, to misappropriate and use information which Zebra regards as its trade secrets.

Zebra may incur liabilities as a result of product failures due to actual or apparent design or manufacturing defects. Zebra may be subject to product liability claims, which could include claims for property or economic damage or personal injury, in the event our products present actual or apparent design or manufacturing defects. Such design or manufacturing defects may occur not only in Zebra’s own designed products but also in components provided by third party suppliers. Zebra generally has insurance protection against property damage and personal injury liabilities and also seeks to limit such risk through product design, manufacturing quality control processes, product testing and contractual indemnification from suppliers. However, due to the large and growing size of Zebra’s installed printer base, a design or manufacturing defect involving this large installed printer base could result in product recalls or customer service costs that could have material adverse effects on Zebra’s financial results.

Zebra’s products are subject to U.S. and non-U.S. foreign regulations that pertain to electrical and electronic equipment, which may materially adversely affect Zebra’s business. These regulations influence the design, components or operation of such products. New regulations and changes to current regulations are always possible and, in some jurisdictions, regulations may be introduced with little or no time to bring related products into compliance with these regulations. Zebra’s failure to comply with these regulations may prevent us from selling our products in a certain country. In addition, these regulations may increase our cost of supplying products by forcing us to redesign existing products or to use more expensive designs or components. In these cases, Zebra may experience unexpected disruptions in our ability to supply customers with products, or we may incur unexpected costs or operational complexities to bring products into compliance. This could have an adverse effect on Zebra’s revenues, gross profit margins and results of operations and increase the volatility of our financial results.

Cybersecurity incidents could disrupt business operations. Like many companies, Zebra continually strives to meet industry information security standards relevant to our business. We regularly perform vulnerability assessments, remediate vulnerabilities, review log/access, perform system maintenance, manage network perimeter protection and implement and manage disaster recovery testing.

A cyber-attack that breaches our external perimeter may lead to a material disruption of our core business systems and/or lead to the loss or corruption of confidential business information that could result in an adverse business impact, as well as, possible damage to the Zebra brand. This could also lead to a public disclosure or theft of private intellectual property and a possible loss of customer confidence.

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While we have experienced, and expect to continue to experience, these types of threats and incidents, there have been no material incidents incurred to-date at Zebra. If Zebra’s core business operations, or that of one of our third-party service providers, were to be breached, this could affect the confidentiality, integrity and availability of our systems and data. While we continue to perform security due diligence, there is always the possibility of a significant breach effecting the confidentiality, integrity and availability of our systems and/or data.

Zebra products that are deployed in customer environments also have the possibility of being breached, which could result in damage to a customer’s confidentiality, integrity and availability of the customer’s data and systems.

Defects or errors in Zebra’s software products could harm its reputation, result in significant cost to Zebra and impair Zebra’s ability to market such products. Zebra’s software may contain undetected errors, defects or bugs. Although Zebra has not suffered significant harm from any errors, defects or bugs to date, we may discover significant errors, defects or bugs in the future that we may not be able to correct or correct in a timely manner. It is possible that errors, defects or bugs will be found in Zebra’s existing or future software products and related services with the possible results of delays in, or loss of market acceptance of, Zebra’s products and services, diversion of our resources, injury to our reputation, increased service and warranty expenses and payment of damages.

Zebra depends on the ongoing service of its senior management and ability to attract and retain other key personnel. The future success of Zebra is substantially dependent on the continued service and continuing contributions of senior management and other key personnel.

The ability to attract, retain and motivate highly skilled employees is important to Zebra’s long-term success. Competition for skill sets in certain functions within our industry is intense, and Zebra may be unable to retain key employees or attract, assimilate or retain other highly qualified employees in the future.

Terrorist attacks or war could lead to further economic instability and adversely affect Zebra’s stock price, operations, and profitability. The terrorist attacks that occurred in the United States on September 11, 2001, caused major instability in the U.S. and other financial markets. The possibility of further acts of terrorism and current and future war risks could have a similar impact. Any such attacks could, among other things, cause further instability in financial markets and could directly, or indirectly through reduced demand, negatively affect Zebra’s facilities and operations or those of its customers or suppliers.

Taxing authority challenges may lead to tax payments exceeding current reserves. Zebra is subject to ongoing tax examinations in various jurisdictions. As a result, we may record incremental tax expense based on expected outcomes of such matters. In addition, we may adjust previously reported tax reserves based on expected results of these examinations. Such adjustments could result in an increase or decrease to Zebra’s effective tax rate. Future changes in tax law in various jurisdictions around the world and income tax holidays could have a material impact on Zebra’s effective tax rate, foreign rate differential, future income tax expense and cash flows.

Economic conditions and financial market disruptions may adversely affect Zebra’s business and results of operations. Adverse economic conditions or reduced information technology spending may adversely impact our business. Financial markets throughout the world experienced extreme disruption from 2008 through 2009, resulting in historically high volatility in security prices, severely diminished liquidity and credit availability, rating downgrades of certain investments and declining valuations of others, failure and potential failures of major financial institutions and unprecedented government support of financial institutions and corporations. A recurrence of these developments and a related general economic downturn could adversely affect Zebra’s business and financial condition through a reduction in demand for our products by our customers. If a slowdown were severe enough, it could require further impairment testing and write-downs of goodwill and other intangible assets. Cost reduction actions may be necessary and lead to restructuring charges. A tightening of financial credit could adversely affect our customers, suppliers, outsource manufacturer and channel partners (e.g., distributors and resellers) from obtaining adequate credit for the financing of significant purchases. Another economic downturn could also result in a decrease in or cancellation of orders for Zebra’s products and services; negatively impact Zebra’s ability to collect its accounts receivable on a timely basis; result in additional reserves for uncollectible accounts receivable; and require additional reserves for inventory obsolescence. Higher volatility and fluctuations in foreign exchange rates for the U.S. dollar against currencies such as the euro, the British pound, the Chinese yuan, and the Brazilian real could negatively impact product sales, margins and cash flows.

A natural disaster may cause supply disruptions that could adversely affect Zebra’s business and results of operations. As reported, a powerful earthquake centered off the northeastern coast of Japan on March 11, 2011, resulted in the loss of many lives, wide-spread damage to and destruction of property, disruption of electric power, and the release of radiation from a crippled nuclear power plant. This devastation disrupted the operations to varying degrees of companies with business activity in the affected region, including the business of Zebra suppliers. Other natural disasters may occur in the future and Zebra is not able to predict to what extent or duration any such disruptions will have on our ability to maintain ordinary business operations. The consequences of an unfortunate natural disaster may have a material adverse effect on Zebra’s business and results of operations.

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Item 1B. Unresolved Staff Comments

Not applicable.

16

Item 2. Properties

Zebra’s corporate headquarters are located in Lincolnshire, Illinois, a northern suburb of Chicago. Zebra also conducts its sales, marketing, engineering and operations activities from facilities in Vernon Hills, Illinois, and Agoura Hills, California. The additional 230,870 square footage is meant for occupancy in 2015, this lease replaces the Vernon Hills and Lincolnshire leases expiring in June 2015.

Zebra’s principal facilities as of December 31, 2013, are listed below:

	Square Footage
Location	Manufacturing, Production & Warehousing		Administrative, Research & Sales		Total		Lease Expires
Lincolnshire, Illinois, USA		0		230,870		230,870	November, 2026
Vernon Hills, Illinois, USA		110,000		115,000		225,000	June, 2015
Greenville, Wisconsin, USA		100,500		0		100,500	April, 2028
Heerenveen, The Netherlands		47,286		47,286		94,572	July, 2017
Agoura Hills, California, USA		0		75,077		75,077	March, 2021
Buffalo Grove, Illinois, USA		63,189		0		63,189	July, 2015
Preston, UK		51,450		8,600		60,050	Owned by Zebra
Lincolnshire, Illinois, USA		0		47,334		47,334	June, 2015
Flowery Branch, Georgia, USA		40,520		0		40,520	June, 2017
Lincoln, Rhode Island, USA		0		40,116		40,116	April, 2016
Guangzhou, China		0		32,655		32,655	January, 2014
Hauppauge, New York, USA		0		32,500		32,500	October, 2015
Bourne End, UK		0		27,251		27,251	June, 2019
Otay Mesa, California, USA		26,639		0		26,639	September, 2014
San Jose, California, USA		0		24,630		24,630	July, 2015
McAllen, Texas, USA		18,000		0		18,000	September, 2016
Germantown, Maryland, USA		0		13,134		13,134	January, 2016
Chicago, Illinois, USA		0		10,417		10,417	June, 2015
Rogersville, Tennessee, USA		0		9,780		9,780	April, 2014
Clayton, Missouri, USA		0		9,688		9,688	April, 2019
Singapore, Singapore		0		9,472		9,472	February, 2017
Shanghai, China		0		8,287		8,287	December, 2017
Detroit, Michigan, USA		0		7,085		7,085	February, 2018
Mexico City, Mexico		3,400		3,488		6,888	October, 2015
Sao Paulo, Brazil		0		5,812		5,812	February, 2015
Miami, Florida, USA		0		5,786		5,786	October, 2017
Shanghai, China		0		5,287		5,287	January, 2015
Total		460,984		769,555		1,230,539

Zebra leases various other facilities around the world, which are dedicated to administrative, research and sales functions. These other leases, solely or in aggregate, are not material to Zebra.

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Item 3. Legal Proceedings

See Note 12 in the Notes to the Consolidated Financial Statements included in this Form 10-K.

Item 4. Mine Safety Disclosures

Not applicable.

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PART II

Item 5. Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities

Stock Information: Price Range and Common Stock

Our Class A Common Stock is traded on The NASDAQ Stock Market under the symbol ZBRA. The following table shows the high and low trade prices for each fiscal quarter in 2013 and 2012, as reported by The NASDAQ Stock Market.

2013	High		Low		2012	High		Low
First Quarter	$	47.24	$	40.04	First Quarter	$	41.88	$	34.61
Second Quarter		47.20		42.51	Second Quarter		41.79		31.79
Third Quarter		49.38		42.86	Third Quarter		38.74		33.25
Fourth Quarter		55.22		45.00	Fourth Quarter		40.41		34.92

Source: The NASDAQ Stock Market

At February 7, 2014, the last reported price for the Class A Common Stock was $54.62 per share, and there were 438 registered stockholders of record for Zebra’s Class A Common Stock. In addition, we had approximately 15,300 stockholders who owned Zebra stock in street name.

Dividend Policy

Since our initial public offering in 1991, we have not declared any cash dividends or distributions on our capital stock. Zebra currently does not anticipate paying any cash dividends in the foreseeable future.

Treasury Shares

During the fourth quarter of 2013, Zebra purchased 88,100 shares of Zebra’s Class A Common Stock at a weighted average share price of $52.70 per share, as follows:

ISSUER PURCHASES OF EQUITY SECURITIES

Period	Total number of shares purchased		Average price paid per share		Total number of shares purchased as part of  publicly announced program		Maximum number of shares that may yet be purchased under  the program
October 2013 (September 29 – October 26)		100	$	45.03		100	753,475
November 2013 (October 27 – November 23)		88,000	$	52.71		88,000	665,475
December 2013 (November 24 – December 31)		0	$	0.00		0	665,475

(1) On November 4, 2011, Zebra’s Board authorized the purchase of up to an additional 3,000,000 shares under the purchase plan program. The November 2011 authorization does not have an expiration date.

(2) During the fourth quarter, Zebra acquired 551 shares of Zebra Class A Common Stock through the withholding of shares necessary to satisfy tax withholding obligations upon the vesting of restricted stock awards. These shares were acquired at an average price of $48.28 per share.

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Item 6. Selected Financial Data

CONSOLIDATED STATEMENTS OF EARNINGS (LOSS) DATA

(In thousands, except per share amounts)

	Year Ended December 31,
	2013			2012			2011			2010			2009
Net sales	$	1,038,159		$	996,168		$	983,488		$	894,359		$	738,482
Cost of sales		534,549			504,524			496,719			473,584			420,895
Gross profit		503,610			491,644			486,769			420,775			317,587
Total operating expenses		343,346	(1)		327,293	(2)		304,733	(3)		272,560	(4)		247,308	(5)
Operating income		160,264			164,351			182,036			148,215			70,279
Income from continuing operations before income taxes		163,827			164,174			179,719			149,607			72,319
Income from continuing operations		134,225			121,897			130,343			104,614			48,491
Income (loss) from discontinued operations, net of tax		133			1,007			44,300			(2,836	)		(1,387	)
Net income	$	134,358		$	122,904		$	174,643		$	101,778		$	47,104
Basic earnings per share:
Income from continuing operations	$	2.65		$	2.36		$	2.42		$	1.83		$	0.81
Income (loss) from discontinued operations		0.00			0.02			0.82			(0.05	)		(0.02	)
Net income	$	2.65		$	2.38		$	3.24		$	1.78		$	0.79
Diluted earnings per share:
Income from continuing operations	$	2.63		$	2.35		$	2.40		$	1.82		$	0.81
Income (loss) from discontinued operations		0.00			0.02			0.82			(0.05	)		(0.02	)
Net income	$	2.63		$	2.37		$	3.22		$	1.77		$	0.79
Weighted average shares outstanding
Basic		50,693			51,566			53,854			57,143			59,306
Diluted		51,063			51,843			54,191			57,428			59,425

CONSOLIDATED BALANCE SHEET DATA

(In thousands)

	December 31,
	2013		2012		2011		2010		2009
Cash and cash equivalents, restricted cash, investments and marketable securities (current and long-term)	$	415,795	$	394,075	$	326,695	$	258,598	$	245,027
Working capital (6)		635,049		615,649		475,899		455,143		429,277
Total assets		1,119,812		967,748		899,006		878,864		830,479
Long-term obligations (7)		15,477		14,229		11,515		10,191		9,012
Stockholders’ equity		958,658		857,002		776,925		730,032		712,129

(1) Includes exit and restructuring costs of $5,890,000

(2) Includes asset impairment charges of $9,114,000 and exit and restructuring costs of $960,000.

(3) Includes exit and restructuring costs of $2,041,000.

(4) Includes litigation settlement proceeds received of $1,082,000 and exit and restructuring costs of $2,262,000.

(5) Includes exit and restructuring costs of $9,902,000.

(6) Calculated as current assets minus current liabilities.

(7) Long-term obligations include deferred compensation and unearned revenue. See Note 17 Deferred Compensation Plan in the Notes to the Consolidated Financial Statements included in this Form 10-K.

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Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations

Results of Operations: Fourth Quarter of 2013 versus Fourth Quarter of 2012

Consolidated Results of Operations

(Amounts in thousands, except percentages)

	Three Months Ended				Percent Change		Percent of Net Sales - 2013		Percent of Net Sales - 2012
	December 31, 2013		December 31, 2012
Net Sales
Tangible products	$	269,583	$	241,257		11.7		94.7		95.3
Service & software		14,956		11,922		25.4		5.3		4.7
Total net sales		284,539		253,179		12.4		100.0		100.0
Cost of Sales
Tangible products		136,547		121,869		12.0		48.0		48.1
Service & software		6,964		6,850		1.7		2.4		2.7
Total cost of sales		143,511		128,719		11.5		50.4		50.8
Gross profit		141,028		124,460		13.3		49.6		49.2
Operating expenses		91,949		80,342		14.4		32.3		31.7
Operating income		49,079		44,118		11.2		17.3		17.5
Other income (expense)		1,127		(56)		N/M		0.3		(0.1)
Income from continuing operations before income taxes		50,206		44,062		13.9		17.6		17.4
Income taxes		8,681		9,263		(6.3)		3.0		3.7
Income from continuing operations		41,525		34,799		19.3		14.6		13.7
Income from discontinued operations, net of tax		125		191		(34.6)		0.0		0.1
Net income	$	41,650	$	34,990		19.0		14.6		13.8
Diluted earnings per share:
Income from continuing operations	$	0.82	$	0.68		20.6
Income from discontinued operations		0.00		0.00		0.0
Net income	$	0.82	$	0.68		20.6

Consolidated Results of Operations – Fourth quarter

Sales

Net sales for the fourth quarter of 2013, compared with the same quarter in 2012, increased 12.4% as a result of increased sales across all product and service categories. Sales benefited from a general improvement in business conditions, with notable sales growth to customers in retail and manufacturing. Printer unit volume growth of 14.6% was partially offset by a 3.1% decline in average printer selling price. The acquisition of Hart Systems LLC, which occurred in December 2013, did not have a material effect on 2013 fourth quarter sales or financial results.

Sales by product category were as follows (amounts in thousands, except percentages):

	Three Months Ended						Percent of Net  Sales 2013		Percent of Net  Sales 2012
Product category	December 31, 2013		December 31, 2012		Percent Change
Hardware	$	202,772	$	182,267		11.2		71.2		72.0
Supplies		65,327		57,607		13.4		23.0		22.8
Service and software		14,956		11,922		25.4		5.3		4.7
Subtotal products		283,055		251,796		12.4		99.5		99.5
Shipping and handling		1,484		1,383		7.3		0.5		0.5
Total net sales	$	284,539	$	253,179		12.4		100.0		100.0

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Printer unit volumes and average selling price information is summarized below:

	Three Months Ended				Percent        Change
	December 31,		December 31,
	2013		2012
Total printers shipped		368,204		321,314		14.6
Average selling price of printers shipped	$	462	$	477		(3.1)

For the fourth quarter of 2013, unit volumes increased across all printer categories. The decrease in average selling price is a result of a change in product mix toward lower priced products in the 2013 quarter compared to the corresponding 2012 quarter.

Sales growth in North America, Asia Pacific and the Europe, Middle East and Africa region was partially offset by a sales decline in Latin America. Movement in foreign currency, net of hedge activity, increased sales by $1,979,000.

Sales to customers by geographic region were as follows (in thousands, except percentages):

	Three Months Ended						Percent of Net  Sales 2013		Percent of Net  Sales 2012
	December 31,		December 31,		Percent
Geographic region	2013		2012		Change
Europe, Middle East and Africa	$	88,660	$	83,355		6.4		31.2		32.9
Latin America		25,335		26,255		(3.5)		8.9		10.4
Asia-Pacific		40,936		31,665		29.3		14.4		12.5
Total International		154,931		141,275		9.7		54.5		55.8
North America		129,608		111,904		15.8		45.5		44.2
Total net sales	$	284,539	$	253,179		12.4		100.0		100.0

Gross profit

Gross profit increased 13.3% for the fourth quarter of 2013 versus the fourth quarter of 2012. As a percentage of sales, gross margin increased from 49.2% to 49.6%, primarily due to higher volume. Favorable foreign currency movements, net of hedges, increased fourth quarter gross profit by $1,672,000.

Operating expenses

Operating expenses are summarized below (in thousands, except percentages):

	Three Months Ended						Percent of Net  Sales 2013		Percent of Net  Sales 2012
	December 31,		December 31,		Percent
Operating expenses	2013		2012		Change
Selling and marketing	$	36,280	$	33,313		8.9		12.8		13.2
Research and development		23,712		22,605		4.9		8.3		8.9
General and administrative		24,434		20,964		16.6		8.6		8.3
Amortization of intangible assets		1,826		1,463		24.8		0.6		0.6
Acquisition costs		3,322		1,037		N/M		1.2		0.4
Exit and restructuring costs		2,375		960		N/M		0.8		0.4
Total operating expenses	$	91,949	$	80,342		14.4		32.3		31.7

Operating expenses for the quarter increased 14.4% primarily from increased expenses for compensation, outside professional services, information systems, and depreciation. The increase in amortization expense is related to the acquisition of certain patent rights in December 2012. Acquisition costs relate to investigated, and completed mergers and acquisitions during the period. Exit and restructuring costs in 2013 relate to the restructuring of the Location Solutions business management structure.

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Operating income

Operating income for the fourth quarter of 2013 compared to the same period in 2012, increased 11.2%. The combination of sales growth and related improvement in gross margin contributed to the increase in operating income.

Income taxes

The effective income tax rate for the fourth quarter of 2013 was 17.3% compared with 21.0% for the same quarter in the prior year. This decrease is due to a combination of higher profits in lower-rate international jurisdictions and the implementation of the foreign holding company structure. In addition, the company recorded a favorable provision to return adjustment of $394,000, resulting in a reduction to the effective tax rate following the filing of the companies UK & Singapore income tax returns.

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Results of Operations: Year ended December 31, 2013 versus Year ended December 31, 2012

Consolidated Results of Operations

(Amounts in thousands, except percentages)

	Year Ended
	December 31,		December 31,		Percent Change		Percent of Net Sales - 2013		Percent of Net Sales - 2012
	2013		2012
Net Sales
Tangible products	$	984,532	$	948,227		3.8		94.8		95.2
Service & software		53,627		47,941		11.9		5.2		4.8
Total net sales		1,038,159		996,168		4.2		100.0		100.0
Cost of Sales
Tangible products		507,513		479,633		5.8		48.9		48.1
Service & software		27,036		24,891		8.6		2.6		2.5
Total cost of sales		534,549		504,524		6.0		51.5		50.6
Gross profit		503,610		491,644		2.4		48.5		49.4
Operating expenses		343,346		327,293		4.9		33.1		32.9
Operating income		160,264		164,351		(2.5)		15.4		16.5
Other income (expense)		3,563		(177)		N/M		0.4		(0.0)
Income from continuing operations before income taxes		163,827		164,174		(0.2)		15.8		16.5
Income taxes		29,602		42,277		(30.0)		2.9		4.3
Income from continuing operations		134,225		121,897		10.1		12.9		12.2
Income from discontinued operations, net of tax		133		1,007		(86.8)		0.0		0.1
Net income	$	134,358	$	122,904		9.3		12.9		12.3
Diluted earnings per share:
Income from continuing operations	$	2.63	$	2.35		11.9
Income from discontinued operations		0.00		0.02		N/M
Net income	$	2.63	$	2.37		11.0

Consolidated Results of Operations – Full Year

Net sales for 2013 compared with 2012 increased 4.2% as a result of growth across most product categories with notable increases in supplies, service and software. The growth in supplies, due to the LaserBand acquisition in July 2012, partially offset weak business conditions from the first half of 2013. Printer unit volumes increased 4.9% for 2013 compared to 2012 due to volume increases in desktop, mobile, kiosk and card printers. Movement towards lower-priced printers partially offset unit volume increases. Movement in foreign currency, net of hedge activity, partially offset sales growth by $2,807,000.

Sales by product category were as follows (amounts in thousands, except percentages):

	Year Ended						Percent of Net Sales		Percent of Net Sales
	December 31,		December 31,		Percent
Product category	2013		2012		Change		2013		2012
Hardware	$	735,123	$	730,489		0.6		70.8		73.4
Supplies		243,965		212,499		14.8		23.5		21.3
Service and software		53,627		47,941		11.9		5.2		4.8
Subtotal products		1,032,715		990,929		4.2		99.5		99.5
Shipping and handling		5,444		5,239		3.9		0.5		0.5
Total net sales	$	1,038,159	$	996,168		4.2		100.0		100.0

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Printer unit volumes and average selling price information is summarized below:

	Year Ended
	December 31,		December 31,		Percent
	2013		2012		Change
Total printers shipped		1,321,624		1,260,141		4.9
Average selling price of printers shipped	$	469	$	485		(3.3)

Product unit volumes increased 4.9% in 2013 over the prior year. This was due to increased volumes in desktop, mobile, kiosk and card printers. The average selling price reflects a change in product mix toward lower priced products from year to year.

North America, Asia Pacific and Europe, Middle East and Africa contributed to an overall growth of 4.2% with notable increases in supplies and printer sales. The growth in supplies, which includes labels and wristbands, is the result of the Laserband acquisition in July of 2012 plus organic growth in supplies.

Sales to customers by geographic region were as follows (in thousands, except percentages):

	Year Ended						Percent of Net  Sales 2013		Percent of Net  Sales 2012
	December 31,		December 31,		Percent
Geographic region	2013		2012		Change
Europe, Middle East and Africa	$	326,470	$	322,970		1.1		31.4		32.4
Latin America		99,041		100,101		(1.1)		9.5		10.0
Asia-Pacific		152,740		137,577		11.0		14.7		13.8
Total International		578,251		560,648		3.1		55.6		56.2
North America		459,908		435,520		5.6		44.4		43.8
Total net sales	$	1,038,159	$	996,168		4.2		100.0		100.0

Gross profit

Gross profit increased 2.4% due to higher volumes partially offset by unfavorable movements in product mix. Movements in foreign currency, net of hedges, decreased gross profit by $1,014,000.

Operating expenses

Operating expenses are summarized below (in thousands, except percentages):

	Year Ended
Operating Expenses	December 31, 2013		December 31, 2012		Percent Change		Percent of Net Sales  2013		Percent of Net Sales  2012
Selling and marketing	$	138,020	$	129,906		6.2		13.2		13.0
Research and development		91,147		87,364		4.3		8.8		8.8
General and administrative		96,216		92,167		4.4		9.3		9.3
Amortization of intangible assets		7,383		4,673		58.0		0.7		0.5
Acquisition costs		4,690		3,109		50.9		0.5		0.3
Exit and restructuring costs		5,890		960		N/M		0.6		0.1
Asset impairment charge		0		9,114		N/M		0.0		0.9
Total operating expenses	$	343,346	$	327,293		4.9		33.1		32.9

Operating expenses for 2013 increased 4.9%. The increase is due to increased expenses across all functional areas offset by the absence of a goodwill impairment charge which represents 2.8% of 2012 operating expenses. The acquisition of both LaserBand and StepOne contributed to the increase in Zebra’s operating expenses. Several categories accounted for these increases, including compensation costs, outside professional services, depreciation and information systems expenses. Acquisition costs are related to investigated and completed acquisitions during the period. Amortization of intangible assets increased from additions of current technology, patent and patent rights and customer relationships during the year, including the acquisition of LaserBand in July 2012. Exit and restructuring costs in 2012 and 2013 primarily relate to the restructuring of the Location Solutions business management structure.

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Exit and restructuring costs

During the third quarter of 2012, revenue from Location Solutions fell below plan from slower than anticipated growth in the automotive and process manufacturing industries and weakness in the government sector. As a result, we initiated the Locations Solutions 2012 restructuring plan.

In the second quarter of 2013, management determined that additional restructuring actions would be required to meet our financial goals for the Location Solutions business. We anticipate that the results of our restructuring actions will reduce costs of the Location Solutions business by $4,000,000 per year. These savings should be fully realized by the first quarter 2014. The savings from the Location Solutions restructuring plan will primarily benefit cost of goods sold, engineering and selling and marketing expenses.

During 2007, Zebra began a plan to outsource printer manufacturing to a third-party contract manufacturer. The transition to the third-party manufacturer was completed during 2010. During the fourth quarter of 2012, we determined that further supply chain cost reductions were possible by moving certain supply chain support operations closer to our contract printer manufacturer’s facility, which is located in China. We anticipate these actions will generate $2,600,000 in annual savings to our cost of goods sold. These actions were completed by the end of 2013.

Operating income

The operating income decrease for 2013 was the result of operating expense increases as noted above and partially offset by higher gross profit.

Other income (expense)

Zebra’s non-operating income and expense items are summarized in the following table (in thousands):

	Year Ended
	December 31,			December 31,
	2013			2012
Investment income	$	2,366		$	2,485
Foreign exchange loss		(524	)		(941	)
Other, net		1,721			(1,721	)
Total other income (expense)	$	3,563		$	(177	)

The increase in other income is the result of a net $1,557,000 favorable litigation settlement associated with an investment loss that was recorded in prior years.

	Year Ended
Rate of return analysis:	December 31, 2013			December 31, 2012
Average cash and marketable securities balances	$	404,935		$	360,385
Annualized rate of return		0.6	%		0.7	%

Investment income decreased due to a lower yield on invested financial assets compared with 2012, even though cash and investment balances were higher in 2013 versus 2012.

Income taxes

The effective income tax rate for 2013 was 18.1% compared with an income tax rate of 25.8%. The 2012 rate reflects a discrete item for nondeductible asset impairment charge, increasing the tax rate by 1.9% for the full year. Further, in 2012, in order to streamline the management, financing and capital structure of its foreign affiliates, Zebra established a foreign holding company and restructured the ownership structure of its foreign affiliates. This new holding company structure allows Zebra to consolidate the ownership of its significant foreign affiliates under a single holding company. In addition, the structure introduced leverage which gives Zebra the ability to facilitate cash pooling and improve the capital structure of its non-US operations. The new capital structure and global financing favorably impacts the Zebra’s effective tax rate and facilitates the tax efficient movement of Zebra’s foreign cash to finance the ongoing operating and investment needs of the foreign subsidiaries. The restructuring was completed in the second quarter of 2012 and was in place for the full year in 2013. In addition, the US R&D credit reinstatement for the 2012 income tax year resulted in a tax benefit of $900,000. Finally, Zebra recorded a favorable provision to return adjustment resulting in a reduction to the effective tax rate of 1.1% following the filing of Zebra’s 2012 income tax returns.

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Comparison of Years Ended December 31, 2012 and 2011

Consolidated Results of Operations

(Amounts in thousands, except percentages)

	Year Ended
	December 31, 2012		December 31, 2011		Percent Change		Percent of Net Sales -  2012		Percent of Net Sales -  2011
Net Sales
Tangible products	$	948,227	$	936,282		1.3		95.2		95.2
Service & software		47,941		47,206		1.6		4.8		4.8
Total net sales		996,168		983,488		1.3		100.0		100.0
Cost of Sales
Tangible products		479,633		469,834		2.1		48.1		47.8
Service & software		24,891		26,885		(7.4)		2.5		2.7
Total cost of sales		504,524		496,719		1.6		50.6		50.5
Gross profit		491,644		486,769		1.0		49.4		49.5
Operating expenses		327,293		304,733		7.4		32.9		31.0
Operating income		164,351		182,036		(9.7)		16.5		18.5
Other income (expense)		(177)		(2,317)		(92.4)		(0.0)		(0.2)
Income from continuing operations before income taxes		164,174		179,719		(8.6)		16.5		18.3
Income taxes		42,277		49,376		(14.4)		4.3		5.0
Income from continuing operations		121,897		130,343		(6.5)		12.2		13.3
Income from discontinued operations, net of tax		1,007		44,300		(97.7)		0.1		4.5
Net income	$	122,904	$	174,643		(29.6)		12.3		17.8
Diluted earnings per share:
Income from continuing operations	$	2.35	$	2.40		(2.1)
Income from discontinued operations		0.02		0.82		(97.6)
Net income	$	2.37	$	3.22		(26.4)

Consolidated Results of Operations – Full Year

Net sales for 2012 compared with 2011 increased 1.3%. This increase is primarily due to growth in sales of supplies, including the impact of the acquisition of LaserBand LLC in July 2012. Printer unit volumes increased 6.0% for 2012 compared to 2011 due to volume increases in desktop, mobile and card printers. Movement towards lower-priced printers partially offset unit volume increases.

Sales by product category were as follows (amounts in thousands, except percentages):

	Year Ended						Percent of		Percent of
	December 31,		December 31,		Percent
Product category	2012		2011		Change		Net Sales 2012		Net Sales 2011
Hardware	$	730,489	$	743,308		(1.7)		73.4		75.5
Supplies		212,499		187,457		13.4		21.3		19.1
Service and software		47,941		47,206		1.6		4.8		4.8
Subtotal products		990,929		977,971		1.3		99.5		99.4
Shipping and handling		5,239		5,517		(5.0)		0.5		0.6
Total net sales	$	996,168	$	983,488		1.3		100.0		100.0

Sales increased in Latin America due to improved geographic coverage with notable increases in supplies, mobile, and card printer sales compared to 2011. Sales in North America increased due to increased sales of supplies and continued demand for desktop, card and tabletop printers. Zebra continues to build a broader base of customers to penetrate targeted industries more deeply. Movements in foreign exchange rates decreased sales by $12,139,000 in the Europe, Middle East and Africa regions due principally to a weaker euro against the U.S. dollar.

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Sales to customers by geographic region were as follows (in thousands, except percentages):

Geographic region	Year Ended				Percent Change		Percent of Net  Sales 2012		Percent of Net  Sales 2011
	December 31,		December 31,
	2012		2011
Europe, Middle East and Africa	$	322,970	$	342,578		(5.7)		32.4		34.8
Latin America		100,101		89,715		11.6		10.0		9.1
Asia-Pacific		137,577		141,987		(3.1)		13.8		14.5
Total International		560,648		574,280		(2.4)		56.2		58.4
North America		435,520		409,208		6.4		43.8		41.6
Total net sales	$	996,168	$	983,488		1.3		100.0		100.0

Gross profit

Gross profit increased 1.0% due to higher volumes and lower material costs. Lower freight costs in 2012 of $5,042,000 versus 2011 helped improve gross profit while unfavorable movements in foreign currency decreased gross profit by $9,923,000. The above factors contributed to the slight decrease in gross margin from 49.5% to 49.4%.

Printer unit volumes and average selling price information is summarized below:

	Year Ended				Percent Change
	December 31, 2012		December 31, 2011
Total printers shipped		1,260,141		1,188,892		6.0
Average selling price of printers shipped	$	485	$	527		(7.9)

Product unit volumes increased 6.0% in 2012 over the prior year. This was due to increased volumes in desktop, mobile and card printers. The average selling price reflects a change in product mix toward lower priced products from year to year.

Operating expenses

Operating expenses are summarized below (in thousands, except percentages):

	Year Ended				Percent Change		Percent of Net  Sales 2012		Percent of Net  Sales 2011
	December 31,		December 31,
Operating Expenses	2012		2011
Selling and marketing	$	129,906	$	127,797		1.7		13.0		13.1
Research and development		87,364		89,926		(2.8)		8.8		9.1
General and administrative		92,167		81,345		13.3		9.3		8.3
Amortization of intangible assets		4,673		3,320		40.8		0.5		0.3
Acquisition costs		3,109		304		N/M		0.3		0.0
Exit and restructuring costs		960		2,041		(53.0)		0.1		0.2
Asset impairment charge		9,114		0		N/M		0.9		0.0
Total operating expenses	$	327,293	$	304,733		7.4		32.9		31.0

Operating expenses for 2012 increased 7.4%. This is primarily due to greater selling and marketing and general and administrative expenses. The asset impairment charge accounted for 40.4% of the total increase in 2012. Several other categories accounted for these increases, including compensation costs, outside professional services, rent, depreciation and information systems expenses. Acquisition costs are related to investigated and completed acquisitions during the period. Amortization of intangible assets increased due to additions of current technology, patent and patent rights and customer relationships during the year as a result of the acquisition of LaserBand. Exit and restructuring costs in 2012 relate to the restructuring of the Location Solutions business management structure while costs in 2011 relate to the relocation and consolidation of administrative, accounting and distribution functions of our Location Solutions operations to Illinois. The asset impairment charge in 2012 relates to the goodwill associated with Zebra’s smaller reporting unit.

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Operating income

The operating income decrease for 2012 was the result of operating expense increases as noted above and partially offset by higher gross profit.

Other income (expense)

Zebra’s non-operating income and expense items are summarized in the following table (in thousands):

	Year Ended
	December 31, 2012		December 31, 2011
Investment income	$	2,485	$	1,944
Foreign exchange loss		(941)		(2,006)
Other, net		(1,721)		(2,255)
Total other income (expense)	$	(177)	$	(2,317)

Other expense decreased in 2012 as a result of decreases in foreign exchange losses.

	Year Ended
Rate of return analysis:	December 31, 2012		December 31, 2011
Average cash and marketable securities balances	$	360,385	$	292,646
Annualized rate of return		0.7%		0.7%

Investment income increased overall from higher cash and investment balances in 2012 versus 2011.

Income taxes

The effective income tax rate for 2012 was 25.8% compared with an income tax rate of 27.5% for 2011. During 2012, Zebra established a foreign holding company structure that is designed to accomplish various international business objectives. This new holding company structure allows Zebra to consolidate the ownership of its significant foreign affiliates under a single holding company. In addition, the structure introduced leverage and gives Zebra the ability to facilitate cash pooling for its non-US operations. This favorably impacts the Zebra’s effective tax rate, and provides for the tax efficient movement of cash within the structure to efficiently deploy cash generated by the foreign subsidiaries for various uses, including potential acquisitions. The structure was put in place in the second quarter of 2012. These reductions were offset by a discrete item in the third quarter of 2012 related to a non-deductible asset impairment charge which increased the effective tax rate for 2012 by 1.9%. The rate in 2011 included a tax valuation allowance in the first quarter of 2011 against a subsequently divested subsidiary.

Income from discontinued operations

The income from discontinued operations in 2012 is related to an amendment and extension of the proveo loan agreement and reversal of amounts previously reserved which were related to the finalization of the accounting and taxes. The income from discontinued operations in 2011 relates to the sale of Navis LLC and proveo AG, offset by losses on discontinued operations.

Critical Accounting Policies and Estimates

Management prepared the consolidated financial statements of Zebra under accounting principles generally accepted in the United States of America. These principles require the use of estimates, judgments and assumptions. We believe that the estimates, judgments and assumptions we used are reasonable, based upon the information available.

Our estimates and assumptions affect the reported amounts in our financial statements. The following accounting policies comprise those that we believe are the most critical in understanding and evaluating Zebra’s reported financial results.

Revenue Recognition

Product revenue is recognized once four criteria are met: (1) we have persuasive evidence that an arrangement exits; (2) delivery has occurred and title has passed to the customer, which happens at the point of shipment (except in Asia where the terms are FOB destination) provided that no significant obligations remain; (3) the price is fixed and determinable; and (4) collectability is reasonably assured. Other items that affect our revenue recognition include:

Customer returns

Customers have the right to return products that do not function properly within a limited time after delivery. We monitor and track product returns and record a provision for the estimated future returns based on historical experience and any notification received of pending returns. Returns have historically been within expectations and the provisions established, but Zebra cannot guarantee that it will continue to experience return rates consistent with historical patterns. Historically, our product returns have not been significant. However, if a significant issue should arise, it could have a material impact on our financial statements.

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Growth Rebates

Some of our channel program partners are offered incentive rebates based on the attainment of specific growth targets related to products they purchase from us over a quarter or year. These rebates are recorded as a reduction to revenue. Each quarter, we estimate the amount of outstanding rebates and establish a reserve for them based on shipment history. Historically, actual rebates have been in line with our estimates.

Price Protection

Some of our customers are offered price protection by Zebra as an incentive to carry inventory of our product. These price protection plans provide that if we lower prices, we will credit them for the price decrease on inventory they hold. We estimate future payments under price protection programs quarterly and establish a reserve, which is charged against revenue. Our customers typically carry limited amounts of inventory, and Zebra infrequently lowers prices on current products. As a result, the amounts paid under these plans have been minimal.

Software Revenue

We sell four types of software and record revenue as follows:

• Our printers contain embedded firmware, which is part of the hardware purchase. We consider the sale of this firmware to be incidental to the sale of the printer and do not attribute any revenue to it.

• We sell a limited amount of prepackaged, or off-the-shelf, software for the creation of barcode labels using our printers. There is no customization required to use this software, and we have no post-shipment obligations on the software. Revenue is recognized at the time this prepackaged software is shipped.

• We sometimes provide custom software as part of a printer installation project. We bill custom software development services separate from the related hardware. Revenue related to custom software is recognized once the custom software development services have been completed and accepted by the customer.

• We recognize license revenue under ASC (Accounting Standards Codification) 985, when (1) a signed contract is obtained; (2) delivery of the product has occurred; (3) the license fee is fixed or determinable; and (4) collection is probable.

Maintenance and Support Agreements

We enter into post-contract maintenance and support agreements. Revenues are recognized ratably over the service period and the cost of providing these services is expensed as incurred.

Shipping and Handling

We charge our customers for shipping and handling services based upon our internal price list for these items. The amounts billed to customers are recorded as revenue when the product ships. Any costs incurred related to these services are included in cost of sales.

Zebra enters into sales transactions that include more than one product type. This bundle of products might include printers, current or future supplies, and services. When this type of transaction occurs, we allocate the purchase price to each product type based on the fair value of the individual products determined by vendor specific objective evidence. The revenue for each individual product is then recognized when the recognition criteria for that product is fully met.

Investments and Marketable Securities

The composition of investments and marketable securities at December 31, 2013, was as follows:

U.S. government and agency securities	25.4	%
Obligations of government sponsored enterprises (1)	9.5	%
State and municipal bonds	14.6	%
Corporate securities	47.2	%
Other investments	3.3	%

(1) Includes investments in notes issued by the Federal Home Loan Mortgage Corporation, the Federal National Mortgage Association and the Federal Home Loan Bank.

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Trading securities are bought and held principally for the purpose of selling them in the near term. Held-to-maturity securities are those debt securities that Zebra has the ability and intent to hold until maturity. Securities not included in trading or held-to-maturity are classified as available-for-sale.

Trading and available-for-sale securities are recorded at fair value. Held-to-maturity securities are recorded at amortized cost, adjusted for the amortization or accretion of discounts or premiums. Unrealized holding gains and losses on trading securities are included in earnings. Unrealized holding gains and losses, net of the related tax effect, on available-for-sale securities are excluded from earnings and are reported as a separate component of stockholders’ equity until realized.

Zebra’s investments in marketable debt securities are classified as available-for-sale except for securities held in Zebra’s deferred compensation plan which are considered to be trading securities. Investments in marketable debt securities are classified based on intent and ability to sell investment securities. Zebra’s available-for-sale securities are used to fund future acquisitions and other operating needs and therefore can be sold prior to maturity. Investments in marketable debt securities for which Zebra intends to sell within the next year are classified as current and those that we intend to hold in excess of one-year are classified as non-current.

Accounts Receivable

We have standardized credit granting and review policies and procedures for all customer accounts, including:

• Credit reviews of all new customer accounts,

• Ongoing credit evaluations of current customers,

• Credit limits and payment terms based on available credit information,

• Adjustments to credit limits based upon payment history and the customer’s current credit worthiness,

• Active collection efforts by regional credit functions, reporting directly to the corporate financial officers, and

• Limited credit insurance on the majority of our international revenues.

We reserve for estimated credit losses based upon historical experience and specific customer collection issues. Over the last three years, accounts receivable reserves varied from 0.3% to 0.9% of total accounts receivable. Accounts receivable reserves as of December 31, 2013, were $453,000, or 0.3% of the balance due. We believe this reserve level is appropriate considering the quality of the portfolio as of December 31, 2013. While credit losses have historically been within expectations and the provisions established, we cannot guarantee that our credit loss experience will continue to be consistent with historical experience.

Inventories

We value our inventories at the lower of the actual cost to purchase or manufacture using the first-in, first-out (FIFO) method, or the current estimated market value. We review inventory quantities on hand and record a provision for excess and obsolete inventory based on forecasts of product demand and production requirements for the subsequent twelve months.

Over the last three years, our inventory reserves have ranged from 8.8% to 11.9% of gross inventory. As of December 31, 2013, inventory reserves were $12,561,000, or 9.4% of gross inventory. We believe this reserve level is appropriate considering the quantities and quality of the inventories as of December 31, 2013.

Valuation of Goodwill

We test the impairment of goodwill each year as of the end of May or whenever events or changes in circumstances indicate that the carrying value may not be recoverable. We completed our annual qualitative assessment, in accordance with ASU 2011-08 Goodwill and Other (Topic 350), during June 2013 and determined that our goodwill was not impaired as of the end of May 2013.

Goodwill of a reporting unit is tested for impairment between annual tests if an event occurs or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying amount. Examples of such events or circumstances include:

• Significant adverse change in legal factors or in the business climate,

• Adverse action or assessment by a regulator,

• Unanticipated competition,

• Loss of key personnel,

• More-likely-than-not expectation that a reporting unit or a significant portion of a reporting unit will be sold or otherwise disposed of,

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• Testing for recoverability of a significant asset group within a reporting unit,

• Allocation of a portion of goodwill to a business to be disposed of.

In accordance with ASU 2011-08, Zebra’s qualitative analysis determined that it is not more likely than not that the fair value of our goodwill is less than the carrying amount and therefore, performing the two-step impairment test was not necessary. If Zebra concluded otherwise, we would perform the first step of the two-step impairment test by calculating the fair value and comparing the fair value to the carrying amount. If the carrying amount exceeded the fair value, we would perform the second step of goodwill impairment test to determine the amount of impairment loss. The second step of the goodwill impairment test involves comparing the implied fair value of the affected reporting unit’s goodwill with the carrying value of that goodwill.

There have not been any significant changes to our impairment testing methodology other than updating the assumptions to reflect the current market environment. Zebra will monitor future results and will perform a test if indicators trigger an impairment review.

Valuation of Long-Lived and Other Intangible Assets

Zebra evaluates the impairment of identifiable intangibles and other long-lived assets whenever events or changes in circumstances indicate that the carrying value may not be recoverable. Factors considered that may trigger an impairment review consist of:

• Significant underperformance relative to expected historical or projected future operating results,

• Significant changes in the manner of use of the acquired assets or the strategy for the overall business,

• Significant negative industry or economic trends,

• Significant decline in Zebra’s stock price for a sustained period, and

• Significant decline in market capitalization relative to net book value.

If Zebra believes that one or more of the above indicators of impairment have occurred and the undiscounted cash flow test has failed in the case of amortizable assets, Zebra measures impairment based on projected discounted cash flows using a discount rate that incorporates the risk inherent in the cash flows.

Net intangible assets, long-lived assets and goodwill amounted to $334,356,000 as of December 31, 2013.

Income Taxes

On January 1, 2007, we adopted ASC 740. According to ASC 740, Zebra identified, evaluated, and measured the amount of income tax benefits to be recognized for all of our income tax positions

Zebra’s continuing practice is to recognize interest and penalties related to income tax matters as part of income tax expense. For the years ended December 31, 2013 and December 31, 2012, we did not accrue any interest or penalties into income tax expense.

We are currently undergoing an audit of the 2011 and 2012 US federal income tax returns. The tax years 2009 through 2012 remain open to examination by multiple state taxing jurisdictions. Tax authorities in the United Kingdom have completed income tax audits for tax years through 2011.

Included in deferred tax assets are amounts related to federal and state net operating losses that resulted from Zebra’s acquisition of WhereNet Corp. As of December 31, 2013, Zebra had approximately $8,252,000 of net operating loss carryforwards available to offset future taxable income which expire in 2022 through 2027. As of December 31, 2013, Zebra had approximately $26,980,000 of state net operating loss carryforwards which expire in 2013 through 2020. Zebra’s intention is to utilize these net operating loss carryforwards to offset future income tax expense. Under the United States Tax Reform Act of 1986, the amount of benefits from net operating loss carryforwards may be impaired or limited in certain circumstances, including significant changes in ownership interests.

	Year Ended
	December 31, 2013		December 31, 2012
Effective tax rate		18.1%		25.8%

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During 2012, in order to streamline the management, financing and capital structure of its foreign affiliates, Zebra established a foreign holding company and restructured the ownership structure of its foreign affiliates. This new holding company structure allows Zebra to consolidate the ownership of its significant foreign affiliates under a single holding company. In addition, the structure introduced leverage which gives Zebra the ability to facilitate cash pooling and improve the capital structure of its non-US operations. The new capital structure and global financing favorably impacts the Zebra’s effective tax rate, and facilitates the tax efficient movement of Zebra’s foreign cash to finance the ongoing operating and investment needs of the foreign subsidiaries. The restructuring was completed in the second quarter of 2012 and was in place for the full year in 2013.

Contingencies

Zebra records estimated liabilities related to contingencies based on our estimates of the probable outcomes. Quarterly, Zebra assesses the potential liability related to pending litigation, tax audits and other contingencies and confirm or revise estimates and reserves as appropriate.

For further information regarding material pending legal proceedings, see Note 12 in the Notes to the Consolidated Financial Statements included in the Form 10-K.

Equity-Based Compensation

As of December 31, 2013, Zebra had an active equity-based compensation plan and a stock purchase plan available for future grants. We accounted for these plans in accordance with ASC 505 and ASC 718. Zebra recognizes compensation costs using the straight-line method over the vesting period of up to 5 years. See Notes 2 and 16 to the Consolidated Financial Statements included in the Form 10-K for further information.

Liquidity and Capital Resources

(Amounts in thousands, except percentages):

	Year Ended
Rate of Return Analysis:	December 31, 2013			December 31, 2012
Average cash and marketable securities balances	$	404,935		$	360,385
Annualized rate of return		0.6	%		0.7	%

Average cash and marketable securities balances for 2013 increased compared to 2012 as a result of increased cash provided by operations, partially offset by the acquisition of LaserBand and Hart as well as stock repurchases.

As of December 31, 2013, Zebra had $415,795,000 in cash, restricted cash, investments and marketable securities, compared with $394,075,000 at December 31, 2012. Factors affecting cash and investment balances during 2013 include the following (changes below include the impact of foreign currency):

• Accounts receivable increased $6,488,000 due to the increased sales and the timing of receipts.

• Accounts payable increased $7,544,000 due to the timing of payments at period end.

• Purchases of property and equipment totaled $20,211,000.

• Acquisition of businesses totaled $95,328,000.

• Purchases of treasury stock totaled $63,102,000.

Management believes that existing capital resources and funds generated from operations are sufficient to meet anticipated capital requirements.

Zebra earns a significant amount of our operating income outside the U.S., which is deemed to be permanently reinvested in foreign jurisdictions. Zebra does not currently foresee a need to repatriate funds, however, should Zebra require more capital in the U.S. than is generated by our operations locally, Zebra could elect to repatriate funds held in foreign jurisdictions or raise capital in the U.S. through debt or equity issuances. These alternatives could result in higher effective tax rates or increased interest expense. Included in Zebra’s cash, restricted cash, investments and marketable securities are amounts held by foreign subsidiaries. Zebra had $251,658,000 as of December 31, 2013, and $173,483,000 as of December 31, 2012 of foreign cash and investments, which are primarily invested in U.S. dollar-denominated holdings.

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Contractual Obligations

Zebra’s contractual obligations as of December 31, 2013 were (in thousands):

	Payments due by period
	Total		Less than 1 year		1-3 years		3-5 years		More than 5 years
Operating lease obligations	$	83,375	$	15,619	$	19,210	$	13,741	$	34,805
Deferred compensation liability		4,827		—		—		—		4,827
Deferred revenue		26,157		15,506		10,651		—		—
Purchase obligations		118,081		118,081		—		—		—
Total	$	232,440	$	149,206	$	29,861	$	13,741	$	39,632

Purchase obligations are for purchases made in the normal course of business to meet operational requirements, primarily raw materials and finished goods.

On October 10, 2012, Zebra entered into a revolving credit agreement for a five-year $250 million revolving credit facility with a syndicate of banks led by J. P. Morgan Securities LLC as Administrative Agent. The funds under this credit facility are available for general corporate purposes of Zebra and its subsidiaries in the ordinary course of business and other purposes permitted by the agreement. As of December 31, 2013, we had established letters of credit totaling $1,800,000, which reduce the funds available for borrowing under the agreement. No amounts were outstanding under the credit agreement as of December 31, 2013.

Management believes that existing capital resources and funds generated from operations are sufficient to finance anticipated capital requirements.

Recently Issued Accounting Pronouncements

In February 2013, the FASB issued update 2013-02, ASC 220, Comprehensive Income: Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. This updated guidance sets requirements for presentation for significant items reclassified to net income in their entirety during the period and for items not reclassified to net income in their entirety during period. This standard is effective for annual and interim periods beginning after December 15, 2012. The adoption of this standard includes additional disclosures in the notes to the consolidated financial statements.

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Item 7A. Quantitative and Qualitative Disclosures About Market Risk

Interest Rate Risk

Zebra is exposed to the impact of changes in interest rates because of our large investment portfolio. As stated in our written investment policy’s objective is to achieve stable and predictable targeted rates of return, and to provide the liquidity necessary for the operation of the business.

Zebra mitigates interest rate risk with an investment policy that requires the use of outside professional investment managers, specified investment liquidity levels, and broad diversification across investments, and which limits the types of investments that may be made. Moreover, the policy requires due diligence of each investment manager both before employment and on an ongoing basis.

The following table sets forth the full-year impact of a one-percentage point movement in interest rates on the value of Zebra’s investment portfolio (in thousands, except per share data).

	As of December 31,
Interest rate sensitive instruments	2013		2012
+1 percentage point movement
Effect on Pretax Income	$	(3,502)	$	(3,657)
Effect on Diluted EPS (after tax)	$	(0.06)	$	(0.05)
-1 percentage point movement
Effect on Pretax Income	$	3,502	$	3,657
Effect on Diluted EPS (after tax)	$	0.06	$	0.05

Because these securities are classified as available-for-sale under ASC 320 (formerly SFAS No. 115, Accounting for Certain Investments in Debt and Equity Securities), the impact of a one-percentage point movement in interest rates occurs over an extended period of time as investments are sold and the funds are subsequently reinvested.

Foreign Exchange Risk

We conduct business in over 100 countries throughout the world and, therefore, at times are exposed to risk based on movements in foreign exchange rates. On occasion, we invoice customers in their local currency and have a resulting foreign currency denominated revenue transaction and accounts receivable. We also purchase certain raw materials and other items in foreign currencies. We manage these risks using derivative financial instruments. See Note 11 of the Notes to the Consolidated Financial Statements included in this form 10-K for further discussions of hedging activities.

The following table sets forth the impact of a ten percent movement in the dollar/pound and dollar/euro rates measured as if Zebra did not engage in the selective hedging practices described above. It is based on the dollar/euro and dollar/pound exchange rates and euro and pound denominated assets and liabilities (in thousands, except per share data).

	As of December 31,
Foreign exchange	2013		2012
Dollar/pound
Effect on Pretax Income	$	313	$	824
Effect on Diluted EPS (after tax)	$	0.00	$	0.01
Dollar/euro
Effect on Pretax Income	$	5,562	$	5,193
Effect on Diluted EPS (after tax)	$	0.09	$	0.07

Equity Price Risk

Zebra’s investment manager uses an investment strategy that is principally designed to preserve capital. Zebra utilizes a Value-at-Risk (VaR) model to determine the maximum potential one-day loss in the fair value of its interest rate, foreign exchange and equity price sensitive instruments.

From time to time, Zebra has taken direct equity positions in companies. These investments relate to potential acquisitions and other strategic business opportunities. To the extent that it has a direct investment in the equity securities of another company, Zebra is exposed to the risks associated with such investments.

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Item 8. Financial Statements and Supplementary Data

The financial statements and schedule of Zebra are annexed to this report as pages F-2 through F-36. An index to such materials appears on page F-1.

Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosures

Not applicable.

Item 9A. Controls and Procedures

Evaluation of Disclosure Controls and Procedures

We conducted an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934 (the “Exchange Act”)) as of the end of the period covered by this Form 10-K. The evaluation was conducted under the supervision of our Disclosure Committee, and with the participation of management, including our Chief Executive Officer and Chief Financial Officer. Based on that evaluation, our Chief Executive Officer and Chief Financial Officer have concluded that our disclosure controls and procedures were effective to provide reasonable assurance that (i) the information required to be disclosed by us in this Form 10-K was recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms, and (ii) information required to be disclosed by us in our reports that we file or furnish under the Exchange Act is accumulated and communicated to our management, including our principal executive and principal financial officers, or persons performing similar functions, as appropriate to allow timely decisions regarding required disclosure.

Management’s Report on Internal Control over Financial Reporting

Our management is responsible for establishing and maintaining adequate internal control over financial reporting as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act to provide reasonable assurance regarding the reliability of our financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. Our management assessed the effectiveness of our internal control over financial reporting as of December 31, 2013. In making this assessment, our management used the criteria set forth by the Committee of Sponsoring Organizations of the Treadway Commission in Internal Control-Integrated Framework as released in 1992 (original framework). Based on this assessment and those criteria, our management believes that, as of December 31, 2013, our internal control over financial reporting is effective. Management’s assessment of internal control over financial reporting as of December 31, 2013 excludes the internal control over financial reporting related to Hart Systems (acquired on December 18, 2013). Hart is included in the 2013 consolidated financial statements and constituted 9.1% and 10.0% of total net assets, respectively, as of December 31, 2013 and 0.03% and 0.11% of revenues and net income, respectively, for the year then ended. Our independent registered public accounting firm, Ernst & Young LLP, has issued an attestation report on Zebra’s internal control over financial reporting. Ernst & Young LLP’s report is included on page 43 of this report on Form 10-K.

Changes in Internal Control over Financial Reporting

In January 2008, Zebra began a program to update substantially all of its key financial systems. As pieces of these systems are completed, they will be subject to the requirements related to internal control over financial reporting. The requirements for internal control over financial reporting will be a fundamental element of the design and implementation of these systems.

As of January 31, 2011, we completed the implementation of the new systems for our EMEA region. This implementation included customer order entry and invoicing, inventory procurement and management, certain accounts payable activity, and other related operational systems. As part of the implementation, we changed many of the related internal controls, primarily by replacing manual controls with system controls and streamlining Zebra’s internal operations. These new controls were subject to testing throughout 2011, 2012 and 2013.

As of February 27, 2012, we completed the implementation of the new systems for our North America region. This implementation included customer order entry and invoicing, inventory procurement and management, certain accounts payable activity, and other related operational systems. As part of the implementation, we changed many of the related internal controls substantially by reducing the number of manual controls with system controls and streamlining Zebra’s internal operations. These new controls were subject to testing throughout 2012 and 2013.

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During 2012, we made additional changes to our controls and procedures as part of our ongoing monitoring of our controls. None of these changes has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting. In addition, there were no other changes that materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

Inherent Limitations on the Effectiveness of Controls

Our management, including our Chief Executive Officer and Chief Financial Officer, does not expect that our disclosure controls and procedures or our internal controls will prevent or detect all errors and all fraud. A control system, no matter how well conceived and operated, can provide only reasonable, not absolute, assurance that the objectives of the control system are met. Further, the design of a control system must reflect the fact that there are resource constraints, and the benefits of controls must be considered relative to their costs. Because of the inherent limitations in all control systems, no evaluation of controls can provide absolute assurance that misstatements due to error or fraud will not occur or that all control issues and instances of fraud, if any, within Zebra have been prevented or detected. These inherent limitations include the realities that judgments in decision-making can be faulty and that breakdowns can occur because of simple error or mistake. Controls can also be circumvented by the individual acts of some persons, by collusion of two or more people, or by management override of the controls. The design of any system of controls is based in part on certain assumptions about the likelihood of future events, and there can be no assurance that any design will succeed in achieving its stated goals under all potential future conditions. Projections of any evaluation of controls effectiveness to future periods are subject to risks. Over time, controls may become inadequate because of changes in conditions or deterioration in the degree of compliance with policies or procedures.

37

Report of Independent Registered Public Accounting Firm

The Board of Directors and Stockholders of

Zebra Technologies Corporation:

We have audited Zebra Technologies Corporation’s internal control over financial reporting as of December 31, 2013, based on criteria established in Internal Control—Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (1992 framework) (the COSO criteria). Zebra Technologies Corporation’s management is responsible for maintaining effective internal control over financial reporting, and for its assessment of the effectiveness of internal control over financial reporting included in the accompanying Management’s Report on Internal Control over Financial Reporting. Our responsibility is to express an opinion on the company’s internal control over financial reporting based on our audit.

We conducted our audit in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether effective internal control over financial reporting was maintained in all material respects. Our audit included obtaining an understanding of internal control over financial reporting, assessing the risk that a material weakness exists, testing and evaluating the design and operating effectiveness of internal control based on the assessed risk, and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion.

A company’s internal control over financial reporting is a process designed 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. A company’s internal control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company’s assets that could have a material effect on the financial statements.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

As indicated in the accompanying Management’s Report on Internal Control over Financial Reporting, management’s assessment of and conclusion on the effectiveness of internal control over financial reporting did not include the internal controls of Topspin Hart Systems, which is included in the 2013 consolidated financial statements of Zebra Technologies Corporation and constituted 9.1% and 10.0% of total and net assets, respectively, as of December 31, 2013 and 0.03% and 0.11% of revenues and net income, respectively, for the year then ended. Our audit of internal control over financial reporting of Zebra Technologies Corporation also did not include an evaluation of the internal control over financial reporting of Topspin Hart Systems.

In our opinion, Zebra Technologies Corporation maintained, in all material respects, effective internal control over financial reporting as of December 31, 2013, based on the COSO criteria.

We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States), the consolidated balance sheets of Zebra Technologies Corporation as of December 31, 2013 and 2012, and the related consolidated statements of income, comprehensive incomes, shareholders’ equity, and cash flows for each of the three years in the period ended December 31, 2013, of Zebra Technologies Corporation and our report dated February 19, 2014, expressed an unqualified opinion thereon.

/s/Ernst & Young LLP

Chicago, Illinois

February 20, 2014

38

Item 9B. Other Information

Not applicable.

39

PART III

Item 10. Directors, Executive Officers and Corporate Governance

We have adopted a Code of Ethics for Senior Financial Officers that applies to Zebra’s Chief Executive Officer, Chief Financial Officer and the Vice President, Finance. The Code of Ethics is posted on the Investor Relations – Corporate Governance page of Zebra’s Internet web site, www.zebra.com, and is available for download. Any waiver from the Code of Ethics and any amendment to the Code of Ethics will be disclosed on such page of Zebra’s web site

All other information in response to this item is incorporated by reference from the Proxy Statement sections entitled “Corporate Governance,” “Election of Directors,” “Board and Committees of the Board,” “Executive Officers,” and “Section 16(a) Beneficial Ownership Reporting Compliance.”.”

Item 11. Executive Compensation

The information in response to this item is incorporated by reference from the Proxy Statement sections entitled “Compensation Discussion and Analysis-Executive Summary,” “Compensation Discussion and Analysis,” “Executive Compensation,” “Director Compensation,” “Compensation Committee Interlocks and Insider Participation” and “Compensation Committee Report.”

Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

The information in response to this item is incorporated by reference from the Proxy Statement sections entitled “Ownership of our Common Stock” and “Equity Compensation Plan Information.”

Item 13. Certain Relationships and Related Transactions, and Director Independence

The information in response to this item is incorporated by reference from the Proxy Statement section entitled “Corporate Governance.”

Item 14. Principal Accounting Fees and Services

The information in response to this item is incorporated by reference from the Proxy Statement section entitled “Fees of Independent Auditors.”

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PART IV

Item 15. Exhibits, Financial Statement Schedules

The financial statements and schedule filed as part of this report are listed in the accompanying Index to Financial Statements and Schedule. The exhibits filed as a part of this report are listed in the accompanying Index to Exhibits.

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SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, there unto duly authorized, on the 20th day of February 2014.

ZEBRA TECHNOLOGIES CORPORATION
	By: /s/ Anders Gustafsson
	Anders Gustafsson
	Chief Executive Officer

Pursuant to the requirements of the Securities and Exchange Act of 1934, the report has been signed below by the following persons in the capacities and on the dates indicated.

Signature	Title	Date
/s/ Anders Gustafsson Anders Gustafsson	Chief Executive Officer and Director (Principal Executive Officer)	February 20, 2014
/s/ Gerhard Cless Gerhard Cless	Executive Vice President, Director	February 20, 2014
/s/ Michael C. Smiley Michael C. Smiley	Chief Financial Officer (Principal Financial Officer)	February 20, 2014
/s/ Todd R. Naughton Todd R. Naughton	Vice President, Finance (Principal Accounting Officer)	February 20, 2014
/s/ Michael A. Smith Michael A. Smith	Director and Chairman of the Board of Directors	February 20, 2014
/s/ Richard Keyser Richard Keyser	Director	February 20, 2014
/s/ Andrew Ludwick Andrew Ludwick	Director	February 20, 2014
/s/ Ross W. Manire Ross W. Manire	Director	February 20, 2014
/s/ Robert J. Potter Robert J. Potter	Director	February 20, 2014
/s/ Janice M. Roberts Janice M. Roberts	Director	February 20, 2014

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ZEBRA TECHNOLOGIES CORPORATION AND SUBSIDIARIES

INDEX TO FINANCIAL STATEMENTS AND SCHEDULE

	Page
Financial Statements
Report of Independent Registered Public Accounting Firm		F-2
Consolidated Balance Sheets as of December 31, 2013 and 2012		F-3
Consolidated Statements of Earnings for the years ended December 31, 2013, 2012, and 2011		F-4
Consolidated Statements of Comprehensive Income for the years ended December 31, 2013, 2012, and 2011		F-5
Consolidated Statements of Stockholders’ Equity for the years ended December  31, 2013, 2012, and 2011		F-6
Consolidated Statements of Cash Flows for the years ended December 31, 2013, 2012, and 2011		F-7
Notes to Consolidated Financial Statements		F-8
Financial Statement Schedule
The following financial statement schedule is included herein:
Schedule II - Valuation and Qualifying Accounts		F-36

All other financial statement schedules are omitted because they are not applicable or the required information is shown in the consolidated financial statements or related notes.

F-1

Report of Independent Registered Public Accounting Firm

To the Board of Directors and Stockholders of

Zebra Technologies Corporation

We have audited the accompanying consolidated balance sheets of Zebra Technologies Corporation (the Company) as of December 31, 2013 and 2012, and the related consolidated statements of income, comprehensive income, shareholders’ equity and cash flows for each of the three years in the period ended December 31, 2013. Our audits also included the financial statement schedule listed in Index at Item 15. These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements referred to above present fairly, in all material respects, the consolidated financial position of Zebra Technologies Corporation at December 31, 2013 and 2012, and the consolidated results of its operations and its cash flows for each of the three years in the period ended December 31, 2013, in conformity with U.S. generally accepted accounting principles. Also, in our opinion, the related financial statement schedule, when considered in relation to the basic consolidated financial statements taken as a whole, presents fairly in all material respects the information set forth therein.

We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States), Zebra Technologies Corporation’s internal control over financial reporting as of December 31, 2013, based on criteria established in Internal Control-Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (1992 framework) and our report dated February 20, 2014 expressed an unqualified opinion thereon.

/s/Ernst & Young LLP

Chicago, Illinois

February 20, 2014

F-2

ZEBRA TECHNOLOGIES CORPORATION AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(Amounts in thousands)

	December 31,         2013		December 31,         2012
ASSETS
Current assets:
Cash and cash equivalents	$	62,827	$	64,740
Investments and marketable securities		350,380		324,140
Accounts receivable, net		176,917		168,732
Inventories, net		121,023		123,357
Deferred income taxes		19,810		13,484
Income tax receivable		7,622		0
Prepaid expenses and other current assets		15,524		16,410
Total current assets		754,103		710,863
Property and equipment at cost, less accumulated depreciation and amortization		109,588		101,349
Long-term deferred income taxes		0		2,602
Goodwill		155,800		94,942
Other intangibles, net		68,968		39,151
Long-term investments and marketable securities		2,588		5,195
Other assets		28,765		13,646
Total assets	$	1,119,812	$	967,748
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	34,688	$	23,045
Accrued liabilities		61,962		57,234
Deferred revenue		15,506		13,326
Income taxes payable		6,898		1,609
Total current liabilities		119,054		95,214
Long-term deferred tax liability		25,492		0
Deferred rent		1,131		1,303
Other long-term liabilities		15,477		14,229
Total liabilities		161,154		110,746
Stockholders’ equity:
Class A Common Stock		722		722
Additional paid-in capital		143,295		139,523
Treasury stock		(678,456)		(641,438)
Retained earnings		1,502,878		1,368,520
Accumulated other comprehensive loss		(9,781)		(10,325)
Total stockholders’ equity		958,658		857,002
Total liabilities and stockholders’ equity	$	1,119,812	$	967,748

See accompanying notes to consolidated financial statements.

F-3

ZEBRA TECHNOLOGIES CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF EARNINGS

(Amounts in thousands, except per share data)

	Year Ended December 31,
	2013		2012		2011
Net sales
Net sales of tangible products	$	984,532	$	948,227	$	936,282
Revenue from services and software		53,627		47,941		47,206
Total net sales		1,038,159		996,168		983,488
Cost of sales
Cost of sales of tangible products		507,513		479,633		469,834
Cost of services and software		27,036		24,891		26,885
Total cost of sales		534,549		504,524		496,719
Gross profit		503,610		491,644		486,769
Operating expenses:
Selling and marketing		138,020		129,906		127,797
Research and development		91,147		87,364		89,926
General and administrative		96,216		92,167		81,345
Amortization of intangible assets		7,383		4,673		3,320
Acquisition costs		4,690		3,109		304
Exit and restructuring costs		5,890		960		2,041
Asset impairment charge		0		9,114		0
Total operating expenses		343,346		327,293		304,733
Operating income		160,264		164,351		182,036
Other income (expense):
Investment income		2,366		2,485		1,944
Foreign exchange loss		(524)		(941)		(2,006)
Other, net		1,721		(1,721)		(2,255)
Total other income (expense)		3,563		(177)		(2,317)
Income from continuing operations before income taxes		163,827		164,174		179,719
Income taxes		29,602		42,277		49,376
Income from continuing operations		134,225		121,897		130,343
Income from discontinued operations, net of tax		133		1,007		44,300
Net income	$	134,358	$	122,904	$	174,643
Basic earnings per share
Income from continuing operations	$	2.65	$	2.36	$	2.42
Income from discontinued operations		0.00		0.02		0.82
Net Income	$	2.65	$	2.38	$	3.24
Diluted earnings per share
Income from continuing operations	$	2.63	$	2.35	$	2.40
Income from discontinued operations		0.00		0.02		0.82
Net Income	$	2.63	$	2.37	$	3.22
Basic weighted average shares outstanding		50,693		51,566		53,854
Diluted weighted average and equivalent shares outstanding		51,063		51,843		54,191

See accompanying notes to consolidated financial statements.

F-4

ZEBRA TECHNOLOGIES CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Amounts in thousands)

	Year Ended December 31,
	2013		2012		2011
Net income	$	134,358	$	122,904	$	174,643
Other comprehensive income (loss):
Unrealized gain (loss) on hedging transactions, net of income taxes		118		(7,241)		6,209
Unrealized holding gain (loss) on investments, net of income taxes		(456)		887		(385)
Foreign currency translation adjustment		882		242		(688)
Comprehensive income	$	134,902	$	116,792	$	179,779

See accompanying notes to consolidated financial statements.

F-5

ZEBRA TECHNOLOGIES CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY

(Dollars in thousands)

	Class A Common Stock		Additional Paid-in Capital		Treasury Stock		Retained Earnings		Accumulated Other Comprehensive Income (Loss)		Total
Balance at December 31, 2010	$	722	$	129,715	$	(462,029)	$	1,070,973	$	(9,349)	$	730,032
Repurchase of 4,353,801 shares of Class A Common Stock		—		—		(160,200)		—		—		(160,200)
Issuance of 809,084 treasury shares upon exercise of stock options, purchases under stock purchase plan and grants of restricted stock awards		—		(12,598)		25,607		—		—		13,009
Additional tax benefit resulting from exercise of options		—		210		—		—		—		210
Equity-based compensation		—		14,095		—		—		—		14,095
Net income		—		—		—		174,643		—		174,643
Unrealized holding loss on investments (net of income taxes)		—		—		—		—		(385)		(385)
Unrealized holding gain on hedging transactions (net of income taxes)		—		—		—		—		6,209		6,209
Foreign currency translation adjustment		—		—		—		—		(688)		(688)
Balance at December 31, 2011	$	722	$	131,422	$	(596,622)	$	1,245,616	$	(4,213)	$	776,925
Repurchase of 1,473,863 shares of Class A Common Stock		—		—		(54,373)		—		—		(54,373)
Issuance of 488,863 treasury shares upon exercise of stock options, purchases under stock purchase plan and grants of restricted stock awards		—		(6,196)		9,557		—		—		3,361
Additional tax benefit resulting from exercise of options		—		(430)		—		—		—		(430)
Equity-based compensation		—		14,727		—		—		—		14,727
Net income		—		—		—		122,904		—		122,904
Unrealized holding gain on investments (net of income taxes)		—		—		—		—		887		887
Unrealized holding loss on hedging transactions (net of income taxes)		—		—		—		—		(7,241)		(7,241)
Foreign currency translation adjustment		—		—		—		—		242		242
Balance at December 31, 2012	$	722	$	139,523	$	(641,438)	$	1,368,520	$	(10,325)	$	857,002
Repurchase of 1,356,861 shares of Class A Common Stock		—		—		(63,102)		—		—		(63,102)
Issuance of 980,999 treasury shares upon exercise of stock options, purchases under stock purchase plan and grants of restricted stock awards		—		(11,432)		26,084		—		—		14,652
Additional tax benefit resulting from exercise of options		—		2,095		—		—		—		2,095
Equity-based compensation		—		13,109		—		—		—		13,109
Net income		—		—		—		134,358		—		134,358
Unrealized holding loss on investments (net of income taxes)		—		—		—		—		(456)		(456)
Unrealized holding gain on hedging transactions (net of income taxes)		—		—		—		—		118		118
Foreign currency translation adjustment		—		—		—		—		882		882
Balance at December 31, 2013	$	722	$	143,295	$	(678,456)	$	1,502,878	$	(9,781)	$	958,658

See accompanying notes to consolidated financial statements.

F-6

ZEBRA TECHNOLOGIES CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Amounts in thousands)

	Year Ended December 31,
	2013		2012		2011
Cash flows from operating activities:
Net income	$	134,358	$	122,904	$	174,643
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation and amortization		32,110		26,177		24,000
Equity-based compensation		13,109		14,727		14,095
Asset impairment charges		0		9,114		0
Impairment of investments		0		0		219
Excess tax benefit from share-based compensation		(4,277)		(1,578)		(1,392)
Loss on sale of property and equipment		224		311		284
Gain on sale of business		(201)		(930)		(68,745)
Deferred income taxes		7,929		8,067		10,796
Changes in assets and liabilities, net of businesses acquired:
Accounts receivable, net		(6,488)		(8,647)		(3,269)
Inventories, net		2,743		11,530		(19,545)
Other assets		(342)		7,304		(12,721)
Accounts payable		7,544		(14,605)		(5,439)
Accrued liabilities		6,220		(4,193)		(11,086)
Deferred revenue		2,133		4,351		(14,131)
Income taxes		(242)		16,335		(14,983)
Other operating activities		(54)		(7,536)		5,582
Net cash provided by operating activities		194,766		183,331		78,308
Cash flows from investing activities:
Purchases of property and equipment		(20,211)		(22,443)		(26,918)
Proceeds from the sale of business		0		27,580		161,206
Acquisition of businesses, net of cash acquired		(95,328)		(59,876)		0
Acquisition of intangible assets		(1,500)		(3,500)		(1,232)
Purchases of long-term investments		(12,021)		(9,125)		0
Purchases of investments and marketable securities		(410,283)		(347,609)		(991,633)
Maturities of investments and marketable securities		49,453		145,028		607,996
Proceeds from sales of investments and marketable securities		336,741		164,410		303,801
Net cash provided by (used in) investing activities		(153,149)		(105,535)		53,220
Cash flows from financing activities:
Purchase of treasury stock		(63,102)		(54,373)		(160,200)
Proceeds from exercise of stock options and stock purchase plan purchases		14,652		3,361		13,009
Excess tax benefit from equity-based compensation		4,277		1,578		1,392
Net cash used in financing activities		(44,173)		(49,434)		(145,799)
Effect of exchange rate changes on cash		643		(40)		1,835
Net increase (decrease) in cash and cash equivalents		(1,913)		28,322		(12,436)
Cash balance of discontinued operations at beginning of period		0		0		1,301
Less: Cash balance of discontinued operations at end of period		0		0		0
Cash and cash equivalents at beginning of period		64,740		36,418		47,553
Cash and cash equivalents at end of period	$	62,827	$	64,740	$	36,418
Supplemental disclosures of cash flow information:
Income taxes paid	$	18,418	$	20,059	$	65,364

See accompanying notes to consolidated financial statements.

F-7

ZEBRA TECHNOLOGIES CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

Note 1 Description of Business

Zebra Technologies Corporation and its wholly-owned subsidiaries (Zebra) design, manufacture, sell and support a broad range of direct thermal and thermal transfer label printers, radio frequency identification printer/encoders, dye sublimation card printers, real-time locating solutions, related accessories and support software. These products are used principally in automatic identification (auto ID), data collection and personal identification applications and are distributed world-wide through a network of resellers, distributors and end users representing a wide cross-section of industrial, service and government organizations.

In 2008 and 2007, we acquired WhereNet Corp., proveo AG, Navis Holdings, LLC (Navis) and Multispectral Solutions Inc., which we referred to as Zebra Enterprise Solutions Group (ZES). On January 31, 2011, we announced a definitive agreement to sell the Navis operations and certain other assets of ZES. Upon completion of the transaction we consolidated the remaining operations of ZES and no longer report ZES as a separate segment since it is not greater than 10% of Zebra’s consolidated totals.

Note 2 Summary of Significant Accounting Policies

Principles of Consolidation. These consolidated financial statements were prepared on a consolidated basis to include the accounts of Zebra and its wholly owned subsidiaries. All significant intercompany accounts, transactions and unrealized profit were eliminated in consolidation.

Fiscal Calendar. Zebra operates on a 4 week/4 week/5 week fiscal quarter, and each fiscal quarter ends on a Saturday. The fiscal year always begins on January 1 and ends on December 31. This fiscal calendar results in some fiscal quarters being either greater than or less than 13 weeks, depending on the days of the week those dates fall. During the 2013 fiscal year, our quarter end dates were as follows:

• March 30,

• June 29,

• September 28, and

• December 31.

Use of Estimates. These consolidated financial statements were prepared using estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Cash and Cash Equivalents. Cash consists primarily of deposits with banks. In addition, Zebra considers highly liquid short-term investments with original maturities of less than three months to be cash equivalents. These highly liquid short-term investments are readily convertible to known amounts of cash and are so near their maturity that they present insignificant risk of a change in value because of changes in interest rates.

Investments and Marketable Securities. Investments and marketable securities at December 31, 2013, consisted of U.S. government and agency securities, obligations of government-sponsored enterprises, state and municipal bonds, corporate bonds, and other security interests. Trading securities are bought and held principally for the purpose of selling them in the near term. Held-to-maturity securities are those debt securities that Zebra has the ability and intent to hold until maturity. All securities not included in trading or held-to-maturity are classified as available-for-sale. Trading and available-for-sale securities are recorded at fair value. Held-to-maturity securities are recorded at amortized cost, adjusted for the amortization or accretion of discounts or premiums. Unrealized holding gains and losses on trading securities are included in earnings. Unrealized holding gains and losses, net of the related tax effect, on available-for-sale securities are excluded from earnings and are reported as a separate component of stockholders’ equity until realized, unless we determine them to be other-than-temporarily impaired.

Zebra’s investments and marketable securities are classified as available-for-sale securities except for securities held in Zebra’s deferred compensation plan which are considered trading securities. Investments in marketable debt securities are classified based on intent and ability to sell investment securities. Zebra’s available-for-sale securities are used to fund further acquisitions and other operating needs and therefore can be sold prior to maturity. Investments in marketable debt securities for which Zebra intends to sell within the next year are classified as current and those that we intend to hold in excess of one-year are classified as non-current.

Accounts Receivable and Allowance for Doubtful Accounts. Accounts receivable consist primarily of amounts due to us from our normal business activities. Collateral on trade accounts receivable is generally not required. Zebra maintains an allowance for doubtful accounts for estimated uncollectible accounts receivable. The allowance is based on our assessment of known delinquent accounts. Accounts are written off against the allowance account when they are determined to be no longer collectible.

F-8

Inventories. Inventories are stated at the lower of cost or market, and cost is determined by the first-in, first-out (FIFO) method. Manufactured inventories consist of the following costs: component, direct labor and manufacturing overhead. Purchased inventories consist of purchased costs and purchasing overhead.

Property and Equipment. Property and equipment is stated at cost. Depreciation and amortization is computed primarily using the straight-line method over the estimated useful lives of the various classes of property and equipment, which are 30 years for buildings and range from 3 to 10 years for other property. Leasehold improvements are amortized using the straight-line method over the shorter of the lease term or estimated useful life of the asset.

Income Taxes. Zebra’s continuing practice is to recognize interest and penalties related to income tax matters as part of income tax expense.

Goodwill and Other Intangibles. Goodwill represents the unamortized excess of the cost of acquiring a business over the fair values of the net assets received at the date of acquisition.

We test the impairment of goodwill each year as of the end of May or whenever events or changes in circumstances indicate that the carrying value may not be recoverable. We completed our annual qualitative assessment, in accordance with ASU 2011-08 Goodwill and Other (Topic 350), during June 2013 and determined that our goodwill was not impaired as of the end of May 2013.

Goodwill of a reporting unit is tested for impairment between annual tests if an event occurs or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying amount. Examples of such events or circumstances include:

• Significant adverse change in legal factors or in the business climate,

• Adverse action or assessment by a regulator,

• Unanticipated competition,

• Loss of key personnel,

• More-likely-than-not expectation that a reporting unit or a significant portion of a reporting unit will be sold or otherwise disposed of,

• Testing for recoverability of a significant asset group within a reporting unit,

• Allocation of a portion of goodwill to a business to be disposed of.

In accordance with ASU 2011-08, Zebra’s qualitative analysis determined that it is not more likely than not that the fair value of our goodwill is less than the carrying amount and therefore, performing the two-step impairment test was not necessary. If Zebra concluded otherwise, we would perform the first step of the two-step impairment test by calculating the fair value and comparing the fair value to the carrying amount. If the carrying amount exceeded the fair value, we would perform the second step of goodwill impairment test to determine the amount of impairment loss. The second step of the goodwill impairment test involves comparing the implied fair value of the affected reporting unit’s goodwill with the carrying value of that goodwill.

There have not been any significant changes to our impairment testing methodology other than updating the assumptions to reflect the current market environment. Zebra will monitor future results and will perform a test if indicators trigger an impairment review.

Other intangible assets capitalized consist primarily of current technology, customer relationships, patents and patent rights. These assets are recorded at cost and amortized on a straight-line basis over a weighted-average life of 6.5 years, which approximates the estimated useful lives. Weighted average lives remaining by intangible asset class are as follows: Current technology 3.7 years; Patent and patent rights 3.6 years; Customer relationships 9.8 years.

Revenue Recognition. Revenue includes sales of hardware, supplies, software and services (including repair services, extended service contracts, and professional services). Product revenue is recognized once four criteria are met: (1) we have persuasive evidence that an arrangement exits; (2) delivery has occurred and title has passed to the customer, which happens at the point of shipment provided that no significant obligations remain; (3) the price is fixed and determinable; and (4) collectability is reasonably assured. We provide for an estimate of product returns based on historical experience. Revenue related to extended warranty and service contracts is recorded as deferred revenue and recognized over the life of the contract. Professional services revenue is recorded when performed. Zebra enters into sales transactions that include more than one product type. This bundle of products might include printers, current or future supplies, and services. When this type of transaction occurs, we allocate the purchase price to each product type based on the fair value of the individual products determined by vendor specific objective evidence. The revenue for each individual product is then recognized when the earning process for that product is complete. We enter into post-contract maintenance and support agreements. Revenues are recognized ratably over the service period and the cost of providing these services is expensed as incurred.

F-9

Zebra records payments to resellers of its product as reductions to revenue unless these payments meet the requirements for operating expense treatment under ASC 605. See the market development funds accounting policy for further details.

Revenue includes all customer billings for shipping and handling charges. The related costs of shipping and handling revenue are recorded as cost of goods sold.

Research and Development Costs. Research and development costs are expensed as incurred. These costs include:

• Salaries, benefits, and other R&D personnel related costs,

• Consulting and other outside services used in the R&D process,

• Engineering supplies,

• Engineering related information systems costs, and

• Allocation of building and related costs.

Advertising. Advertising is expensed as incurred. Advertising costs totaled $7,688,000 for the year ended December 31, 2013, $8,983,000 for the year ended December 31, 2012 and $8,070,000 for the year ended December 31, 2011.

Market Development Funds. Zebra makes market development funds available to its resellers to support demand generation activity by the resellers. These funds require the reseller to provide specific services or benefits to Zebra and substantiate the fair value of such services rendered. Zebra reimburses resellers for agreed activities up to the amounts approved by Zebra. These payments are treated as marketing costs consistent with the requirements of ASC 605. Any payments to resellers that do not meet these requirements are recorded as reductions to revenue.

Warranty. In general, Zebra provides warranty coverage of one year on printers against defects in material and workmanship. Thermal printheads are warranted for six months and batteries are warranted for one year. Battery-based products, such as location tags, are covered by a 90 day warranty. A provision for warranty expense is recorded at the time of sale and adjusted quarterly based on historical warranty experience. The following table is a summary of Zebra’s accrued warranty obligation (in thousands):

	Year Ended December 31,
Warranty Reserve	2013		2012		2011
Balance at the beginning of the year	$	4,252	$	4,613	$	4,554
Warranty expense		7,440		6,828		5,856
Warranty payments		(7,567)		(7,189)		(5,797)
Balance at the end of the period	$	4,125	$	4,252	$	4,613

Fair Value of Financial Instruments. Zebra estimates the fair value of its financial instruments as follows:

Instrument	Method for determining fair value
Cash, cash equivalents, restricted cash, accounts receivable and accounts payable	Cost, which approximates fair value due to the short-term nature of these instruments
Investments in marketable debt securities	Market quotes from independent pricing services
Investments in auction rate securities	Broker quotations, discounted cash flow analysis or other types of valuation adjustment methodologies
Foreign currency forward contracts	Estimated using market quoted rates for foreign currency at the balance sheet date
Foreign currency option contracts	Estimated using market quoted rates for foreign currency at the balance sheet date and application of such rates subject to the option terms

In accordance with ASC 815 we recognize derivative instruments and hedging activities as either assets or liabilities on the balance sheet and measure them at fair value. Gains and losses resulting from changes in fair value are accounted for depending on the use of the derivative and whether it is designated and qualifies for hedge accounting. See Note 11 for additional information on our derivatives and hedging activities.

Equity-Based Compensation. At December 31, 2013, Zebra had a general equity-based compensation plan and a stock purchase plan under which shares of our common stock were available for future grants and sales, and which are described more fully in Note 16. We account for these plans in accordance with ASC 505 and ASC 718. Zebra recognizes compensation costs using the straight-line method over the vesting period upon grant of up to 5 years.

F-10

The compensation expense and the related income tax benefit for share-based payments were included in the Consolidated Statement of Earnings as follows (in thousands):

	For the years ended December 31,
Compensation costs and related income tax benefit:	2013		2012		2011
Cost of sales	$	871	$	1,061	$	1,029
Selling and marketing		2,100		1,792		1,463
Research and development		1,616		1,593		1,387
General and administration		8,522		10,281		9,228
Total compensation expense	$	13,109	$	14,727	$	13,107
Income tax benefit	$	4,531	$	5,132	$	4,522

ASC 505 and ASC 718 requires the cash flows resulting from the tax benefits from tax deductions in excess of the compensation cost recognized (excess tax benefits) to be classified as cash flows from financing activities. Cash flows resulting from the tax benefits of tax deductions in excess of the compensation cost recognized (excess tax benefits) are classified as financing cash flows in the statement of cash flows. The tax benefits classified as financing cash flows were $4,277,000 as of December 31, 2013, $1,578,000 as of December 31, 2012, and $1,392,000 as of December 31, 2011.

Deferred Compensation Plan. Zebra has a deferred compensation plan that permits directors, management and highly compensated employees to defer portions of their compensation. Zebra immediately pays deferred amounts into a Rabbi Trust, and plan participants select a method of investing these funds into hypothetical investments. Zebra tracks the performance of these hypothetical investments in order to determine the value of each participant’s deferral. Zebra accrues the deferred compensation liability in other long-term liabilities as the amount that is actually owed to the participants.

Foreign Currency Translation. The consolidated balance sheets of Zebra’s foreign subsidiaries, not having a U.S. dollar functional currency, are translated into U.S. dollars using the year-end exchange rate, and statement of earnings items are translated using the average exchange rate for the year. The resulting translation gains or losses are recorded in stockholders’ equity as a cumulative translation adjustment, which is a component of accumulated other comprehensive income (loss).

Acquisition Costs. Zebra expenses acquisition costs as incurred.

Concentration risks. Final assembly of our products is performed by Jabil Circuit, a third-party electronics manufacturer. We are now dependent on Jabil for the manufacture of such printers. A failure by Jabil to provide manufacturing services to Zebra as Zebra now requires, or any disruption in such manufacturing services, may adversely affect Zebra’s business results. Because we rely on a third-party provider such as Jabil to manufacture its products, Zebra may incur increased business continuity risks.

Impairment of Long-Lived Assets and Long-Lived Assets to be Disposed of. Zebra accounts for long-lived assets in accordance with the provisions of ASC 350. The statement requires that long-lived assets and certain identifiable intangibles be reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to the sum of the undiscounted cash flows expected to result from the use and the eventual disposition of the asset. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell. See Note 8 for further information related to impairment charges.

Recently Issued Accounting Pronouncements.

In February 2013, the FASB issued update 2013-02, ASC 220, Comprehensive Income: Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. This updated guidance sets requirements for presentation for significant items reclassified to net income in their entirety during the period and for items not reclassified to net income in their entirety during period. This standard is effective for annual and interim periods beginning after December 15, 2012. The adoption of this standard includes additional disclosures in the notes to the consolidated financial statements.

Subsequent events. We have evaluated subsequent events and transactions for potential recognition or disclosure in the financial statements through the date the financial statements were issued.

F-11

Note 3 Fair Value Measurements

Financial assets and liabilities are to be measured using inputs from three levels of the fair value hierarchy. Fair value is based on the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Zebra uses a fair value hierarchy that prioritizes observable and unobservable inputs used to measure fair value into three broad levels:

Level 1:	Quoted prices (unadjusted) in active markets that are accessible at the measurement date for assets or liabilities. The fair value hierarchy gives the highest priority to Level 1 inputs. (i.e. U.S. Treasuries and money market funds)
Level 2:	Observable prices that are based on inputs not quoted on active markets, but corroborated by market data.
Level 3:	Unobservable inputs are used when little or no market data is available. The fair value hierarchy gives the lowest priority to Level 3 inputs.

In determining fair value, we utilize valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible as well as consider counterparty credit risk in the assessment of fair value. Included in our investment portfolio at December 31, 2013, is an auction rate security which is classified as available for sale and is reflected at fair value. Due to events in credit markets, however, the auction event for the instrument held by Zebra is failed. Therefore, the fair value of this security is estimated utilizing broker quotations, discounted cash flow analysis or other types of valuation adjustment methodologies at December 31, 2013. These analyses consider, among other items, the collateral underlying the security instruments, the creditworthiness of the counterparty, the timing of expected future cash flows, estimates of the next time the security is expected to have a successful auction, and Zebra’s intent and ability to hold such securities until credit markets improve. The security was also compared, when possible, to other securities with similar characteristics.

The decline in the market value of the auction rate security is considered temporary and has been recorded in accumulated other comprehensive income (loss) on Zebra’s balance sheet. Since Zebra has the intent and ability to hold this auction rate security until it is sold at auction, redeemed at carrying value or reaches maturity, we have classified it as a long-term investment on the balance sheet.

Financial assets and liabilities carried at fair value as of December 31, 2013, are classified below (in thousands):

	Level 1		Level 2		Level 3		Total
Assets:
U.S. government and agency securities	$	89,626	$	0	$	0	$	89,626
Obligations of government-sponsored enterprises (1)		0		33,510		0		33,510
State and municipal bonds		0		51,627		0		51,627
Corporate securities		0		163,832		2,588		166,420
Other investments		0		11,785		0		11,785
Investments subtotal		89,626		260,754		2,588		352,968
Money market investments related to the deferred compensation plan		4,827		0		0		4,827
Total assets at fair value	$	94,453	$	260,754	$	2,588	$	357,795
Liabilities:
Forward contracts (2)	$	1,165	$	1,578	$	0	$	2,743
Liabilities related to the deferred compensation plan		4,827		0		0		4,827
Total liabilities at fair value	$	5,992	$	1,578	$	0	$	7,570

F-12

Financial assets and liabilities carried at fair value as of December 31, 2012, are classified below (in thousands):

	Level 1		Level 2		Level 3		Total
Assets:
U.S. government and agency securities	$	83,532	$	13,455	$	0	$	96,987
Obligations of government-sponsored enterprises (1)		0		4,840		0		4,840
State and municipal bonds		0		96,516		0		96,516
Corporate securities		0		128,368		2,588		130,956
Other investments		0		36		0		36
Investments subtotal		83,532		243,215		2,588		329,335
Money market investments related to the deferred compensation plan		3,553		0		0		3,553
Total assets at fair value	$	87,085	$	243,215	$	2,588	$	332,888
Liabilities:
Forward contracts (2)	$	1,174	$	871	$	0	$	2,045
Liabilities related to the deferred compensation plan		3,553		0		0		3,553
Total liabilities at fair value	$	4,727	$	871	$	0	$	5,598

1) Includes investments in notes issued by the Federal Home Loan Mortgage Corporation, the Federal National Mortgage Association, the Federal Farm Credit Banks and the Federal Home Loan Bank.

2) The fair value of forward contracts are calculated as follows:

a. Fair value of a collar or put option contract associated with forecasted sales hedges are calculated using bid and ask rates for similar contracts.

b. Fair value of regular forward contracts associated with forecasted sales hedges are calculated using the period-end exchange rate adjusted for current forward points.

c. Fair value of balance sheet hedges are calculated at the period end exchange rate adjusted for current forward points unless the hedge has been traded but not settled at period end. If this is the case, the fair value is calculated at the rate at which the hedge is being settled.

The following table presents Zebra’s activity for assets measured at fair value on a recurring basis using significant unobservable inputs, Level 3 as defined in ASC 820 for the years ended December 31 (in thousands):

	Year Ended
	December 31, 2013		December 31, 2012
Balance at beginning of the year	$	2,588	$	2,588
Transfers to Level 3		0		0
Total losses (realized or unrealized):
Included in earnings		0		0
Included in other comprehensive income (loss)		0		0
Purchases and settlements (net)		0		0
Balance at end of period	$	2,588	$	2,588
Total gains (losses) for the period included in earnings attributable to the change in unrealized losses relating to assets still held at end of period	$	0	$	0

As of December 31, 2013 and December 31, 2012, there were no other Level 3 unrealized losses that Zebra believes to be other-than-temporary. No realized gains or losses were recorded for the years ended December 31, 2013 and 2012.

F-13

The following is a summary of short-term and long-term investments at December 31, 2013 and December 31, 2012 (in thousands):

	As of December 31, 2013
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
U.S. government and agency securities	$	89,617	$	27	$	(18	)	$	89,626
Obligations of government-sponsored enterprises		33,506		5		(1	)		33,510
State and municipal bonds		51,573		82		(28	)		51,627
Corporate securities		166,642		453		(675	)		166,420
Other investments		11,771		15		(1	)		11,785
Total investments	$	353,109	$	582	$	(723	)	$	352,968
	As of December 31, 2012
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
U.S. government and agency securities	$	96,913	$	77	$	(3	)	$	96,987
Obligations of government-sponsored enterprises		4,830		10		0			4,840
State and municipal bonds		96,383		161		(28	)		96,516
Corporate securities		130,634		790		(468	)		130,956
Other investments		36		0		0			36
Total investments	$	328,796	$	1,038	$	(499	)	$	329,335

The maturity dates of investments as of December 31, 2013 are as follows (in thousands):

	As of December 31, 2013
	Amortized Cost		Estimated Fair Value
Less than 1 year	$	130,430	$	130,490
1 to 5 years		211,744		212,087
6 to 10 years		10,935		10,391
Thereafter		0		0
Total	$	353,109	$	352,968

The carrying value for Zebra’s financial instruments classified as current assets (other than short-term investments) and current liabilities approximate fair value due to short term maturities.

Note 4 Investments and Marketable Securities

Investments in marketable debt securities are classified based on intent and ability to sell investment securities. Zebra’s available-for-sale securities are used to fund future acquisitions and other operating needs and therefore can be sold prior to maturity. Investments in marketable debt securities for which Zebra intends to sell within the next year are classified as current and those that we intend to hold in excess of one-year are classified as non-current.

Changes in the market value of available-for-sale securities are reflected in the accumulated other comprehensive income caption of stockholders’ equity in the balance sheet, until we dispose of the securities. Once these securities are disposed of, either by sale or maturity, the accumulated changes in market value are transferred to investment income. On the statement of cash flows, changes in the balances of available-for-sale securities are shown as purchases, sales and maturities of investments and marketable securities under investing activities.

Changes in market value of trading securities would be recorded in investment income as they occur, and the related cash flow statement includes changes in the balances of trading securities as operating cash flows.

F-14

Changes in unrealized gains and losses on available-for-sale securities are included in these financial statements as follows (in thousands):

	Year Ended December 31,
	2013		2012		2011
Changes in unrealized gains and losses on available-for- sale securities, net of tax, recorded in accumulated other comprehensive income (loss)	$	(456)	$	887	$	(385)

The following table shows the number, aggregate market value and unrealized losses (in thousands) of investments with market values that were less than amortized cost as of December 31, 2013. These lower market values are primarily caused by fluctuations in interest rates and credit spreads. Market values are expected to recover to the amortized cost prior to maturity.

	Unrealized Loss < 12 months					Unrealized Loss > 12 months
	Number of investments	Aggregate Market Value		Unrealized     Losses		Number of investments	Aggregate Market Value		Unrealized     Losses
Government securities	0	$	0	$	0	3	$	23,207	$	(19)
State and municipal bonds	5		7,368		(8)	4		6,559		(20)
Corporate Securities	9		3,031		(2)	60		51,757		(673)
Other	1		1,018		0	2		2,982		(1)
Total	15	$	11,417	$	(10)	69	$	84,505	$	(713)

As of December 31, 2012, the number, aggregate market value and unrealized losses (in thousands) of investments with market values that were less than amortized cost were:

	Unrealized Loss < 12 months					Unrealized Loss > 12 months
	Number of investments	Aggregate Market Value		Unrealized Losses		Number of investments	Aggregate Market Value		Unrealized Losses
Government securities	4	$	5,179	$	(3)	1	$	1,790	$	(0)
State and municipal bonds	19		24,969		(27)	1		1,092		(1)
Corporate Securities	33		15,429		(23)	14		7,262		(445)
Total	56	$	45,577	$	(53)	16	$	10,144	$	(446)

Using the specific identification method, the proceeds and realized gains on the sales of available-for-sale securities were as follows (in thousands):

	Year Ended December 31,
	2013			2012			2011
Proceeds	$	336,741		$	164,410		$	303,801
Realized gains		727			423			388
Realized losses		(81	)		(78	)		(306)
Net realized gains included in other comprehensive income (loss) as of the end of the prior year		603			285			159

Included in Zebra’s cash, restricted cash, investments and marketable securities are amounts held by foreign subsidiaries which are generally invested in U.S. dollar-denominated holdings. Zebra had $251,658,000 as of December 31, 2013, and $173,483,000 as of December 31, 2012 of foreign cash and investments. Amounts held by foreign subsidiaries are generally subject to U.S. income taxation upon repatriation, however, Zebra does not see a need to repatriate these funds.

F-15

Note 5 Accounts Receivable

The components of accounts receivable are as follows (in thousands):

	As of
	December 31, 2013		December 31, 2012
Gross accounts receivable	$	177,370	$	169,401
Accounts receivable reserves		(453)		(669)
Accounts receivable, net	$	176,917	$	168,732

Note 6 Inventories

The components of inventories are as follows (in thousands):

	As of
	December 31, 2013		December 31, 2012
Raw material	$	31,335	$	31,350
Work in process		415		921
Deferred costs of long-term contracts		294		604
Finished goods		101,540		104,137
Total inventories, gross		133,584		137,012
Inventory reserves		(12,561)		(13,655)
Total inventories, net	$	121,023	$	123,357

Note 7 Property and Equipment

Property and equipment, which includes assets under capital leases, is comprised of the following (in thousands):

	As of
	December 31, 2013		December 31, 2012
Buildings	$	4,613	$	2,134
Land		504		504
Machinery, equipment and tooling		110,728		88,222
Furniture and office equipment		13,448		12,672
Computers and software		139,723		130,357
Automobiles		18		18
Leasehold improvements		17,880		16,380
Projects in progress – computers and software		2,079		2,217
Projects in progress - other		6,675		15,561
		295,668		268,065
Less accumulated depreciation and amortization		(186,080)		(166,716)
Net property and equipment	$	109,588	$	101,349

Other items related to property and equipment are as follows (in thousands):

	As of December 31,
	2013		2012
Unamortized computer software costs	$	43,317	$	48,873

	Year Ended December 31,
	2013		2012		2011
Amortization of capitalized software	$	8,688	$	7,912	$	6,180
Total depreciation expense charged to income		24,727		21,504		20,680

F-16

Note 8 Goodwill and Other Intangible Asset Data

Intangible asset data are as follows (in thousands):

	As of December 31, 2013
	Gross Amount		Accumulated Amortization			Net Amount
Amortized intangible assets
Current technology	$	23,778	$	(14,060	)	$	9,718
Patent and patent rights		29,569		(17,919	)		11,650
Customer relationships		52,893		(5,293	)		47,600
Total	$	106,240	$	(37,272	)	$	68,968
Amortization expense for the year ended December 31, 2013			$	7,383

Estimated amortization expense:
For the year ended December 31, 2014	$	10,533
For the year ended December 31, 2015		9,769
For the year ended December 31, 2016		9,331
For the year ended December 31, 2017		8,100
For the year ended December 31, 2018		5,867
Thereafter		25,368
Total	$	68,968

In 2013, we acquired intangible assets in the amount of $37,200,000 for developed technology, customer relationships and a trade names. These intangible assets have an estimated useful life ranging from 1 to 15 years. See Note 24 Business Combinations for specific information regarding the acquisition. In 2012, we acquired intangible assets in the amount of $31,157,000 for patents, technology and customer relationships associated with the acquisition of LaserBand. During 2013, Zebra paid $1,500,000 towards intangible asset commitments previously accrued.

	As of December 31, 2012
	Gross Amount		Accumulated Amortization			Net Amount
Amortized intangible assets
Current technology	$	18,978	$	(12,391	)	$	6,587
Patent and patent rights		29,569		(14,618	)		14,951
Customer relationships		20,493		(2,880	)		17,613
Total	$	69,040	$	(29,889	)	$	39,151
Amortization expense for the year ended December 31, 2012			$	4,673

Changes in the net carrying value amount of goodwill were as follows (in thousands):

	Total
Unamortized intangible assets:
Goodwill at gross cost	$	180,731
Impairment charge – 2008		(101,028	)
Goodwill as of December 31, 2011		79,703
Acquisition – LaserBand		24,353
Impairment charge – 2012		(9,114	)
Goodwill as of December 31, 2012		94,942
Acquisition – Hart Systems		60,858
Goodwill as of December 31, 2013	$	155,800

F-17

Note 9 Other Assets

Other assets consist of the following (in thousands):

	As of December 31,
	2013		2012
Money market investments related to the deferred compensation plan (See Note 17)	$	4,827	$	3,553
Long-term investments		21,242		9,195
Other long-term assets		1,522		0
Deposits		1,174		898
Total	$	28,765	$	13,646

During 2013, Zebra acquired interests ranging from 2.0% to 8.3% in two venture capital technology companies for $12,021,000 during the year. During 2012, Zebra acquired interests ranging from 4.7% to 19.7% in several venture capital technology companies for $9,125,000 during the year. These investments are classified as long term.

Note 10 Costs Associated with Exit and Restructuring

In December 2012, Zebra began a plan to restructure its Location Solutions business management structure and announced a project to further optimize our manufacturing operations costs, which includes the consolidation and relocation of support functions. The costs below incurred for the year ended December 31, 2012 represent the costs related to the restructuring of Location Solutions business management structure. The costs expected to be incurred relate to the restructuring of Zebra’s manufacturing operations and relocation of this portion of Zebra’s business from the U.S. to China and consolidating some activities domestically.

Costs incurred through December 31, 2013 and costs expected to be incurred relate to the following: restructuring of Zebra’s manufacturing operations; relocation of a significant portion of Zebra’s supply chain operations from the U.S. to China; consolidating activities domestically; restructuring of our sales operations; restructuring certain corporate functions; and amending the Location Solutions “2012 restructuring plan” by adding additional restructuring charges to be incurred.

As of December 31, 2013, we have incurred the following exit and restructuring costs related to the Location Solutions business management structure and manufacturing operations relocation and restructuring (in thousands):

Type of Cost	Cost incurred through December 31, 2012		Costs incurred for the twelve months ended December 31, 2013		Total costs incurred as of December 31, 2013		Additional costs expected to be incurred		Total costs     expected to     be incurred
Severance, stay bonuses, and other employee-related expenses	$	960	$	5,690	$	6,650	$	61	$	6,711
Professional services		0		180		180		0		180
Relocation and transition costs		0		20		20		0		20
Total	$	960	$	5,890	$	6,850	$	61	$	6,911

During 2011, costs related to the consolidation and relocation of the administrative and accounting functions were due to the divestiture of our Navis marine terminal solutions business and the related WhereNet marine terminal solutions product line. There were no costs in 2012 related to this restructuring as this project was completed in 2011. As of December 31, 2012, we have incurred the following exit and restructuring costs related to the Location Solutions business management structure and manufacturing operations relocation and restructuring (in thousands):

Type of Cost	Costs incurred for the year ended December 31, 2012		Additional costs expected to be incurred		Total costs     expected to     be incurred
Severance, stay bonuses, and other employee-related expenses	$	960	$	4,590	$	5,550
Professional services		0		310		310
Relocation and transition costs		0		480		480
Total	$	960	$	5,380	$	6,340

F-18

Liabilities and expenses related to exit activities were as follows (in thousands):

	Year Ended December 31,
	2013		2012		2011
Balance at beginning of period	$	967	$	1,048	$	1,479
Charged to earnings		5,890		960		2,041
Cash paid		(5,605)		(1,041)		(2,472)
Balance at the end of period	$	1,252	$	967	$	1,048

Liabilities related to exit activities are included in the accrued liabilities line item on the balance sheet. Exit costs are included in operating expenses under the line item exit and restructuring costs.

Note 11 Derivative Instruments

Portions of our operations are subject to fluctuations in currency values. We manage these risks using derivative financial instruments. We conduct business on a multinational basis in a wide variety of foreign currencies. Our exposure to market risk for changes in foreign currency exchange rates arises from international financing activities between subsidiaries, foreign currency denominated monetary assets and liabilities and transactions arising from international trade. Our objective is to preserve the economic value of non-functional currency denominated cash flows. We attempt to hedge transaction exposures with natural offsets to the fullest extent possible and, once these opportunities have been exhausted, through foreign exchange forward and option contracts with third parties.

Credit and market risk

Financial instruments, including derivatives, expose us to counter party credit risk for nonperformance and to market risk related to interest and currency exchange rates. We manage our exposure to counterparty credit risk through specific minimum credit standards, diversification of counterparties, and procedures to monitor concentrations of credit risk. Our counterparties in derivative transactions are commercial banks with significant experience using derivative instruments. We monitor the impact of market risk on the fair value and cash flows of our derivative and other financial instruments considering reasonably possible changes in interest rates and currency exchange rates and restrict the use of derivative financial instruments to hedging activities. We continually monitor the creditworthiness of our customers to which we grant credit terms in the normal course of business. The terms and conditions of our credit sales are designed to mitigate or eliminate concentrations of credit risk with any single customer.

Fair Value of Derivative Instruments

Zebra has determined that derivative instruments for hedges that have traded but have not settled are considered Level 1 in the fair value hierarchy, and hedges that have not traded are considered Level 2 in the fair value hierarchy. Derivative instruments are used to manage risk and are not used for trading or other speculative purposes, nor do we use leveraged derivative financial instruments. Our foreign currency exchange contracts are valued using broker quotations or market transactions, in either the listed or over-the-counter markets.

Hedging of Net Assets

We use forward contracts to manage exposure related to our pound and euro denominated net assets. Forward contracts typically mature within three months after execution of the contracts. We record gains and losses on these contracts and options in income each quarter along with the transaction gains and losses related to our net asset positions, which would ordinarily offset each other.

Summary financial information related to these activities included in our consolidated statement of earnings as other income (expense) is as follows (in thousands):

	Year Ended December 31,
	2013		2012		2011
Change in gains (losses) from foreign exchange derivatives	$	(1,998)	$	(1,347)	$	(825)
Gain (loss) on net foreign currency assets		1,474		406		(1,181)
Net foreign exchange loss	$	(524)	$	(941)	$	(2,006)
	As of
	December 31, 2013		December 31, 2012
Notional balance of outstanding contracts:
Euro/US dollar	€	41,021	€	37,598
Pound/US dollar	£	0	£	3,810
Net fair value of outstanding contracts	$	33	$	18

F-19

Hedging of Anticipated Sales

We can manage the exchange rate risk of anticipated euro-denominated sales using purchased options, forward contracts, and participating forwards. We designate these contracts as cash flow hedges which mature within twelve months after the execution of the contracts. Gains and losses on these contracts are deferred in other comprehensive income until the contracts are settled and the hedged sales are realized. The deferred gains or losses will then be reported as an increase or decrease to sales.

Summary financial information related to the cash flow hedges is as follows (in thousands):

	As of
	December 31, 2013		December 31, 2012
Net unrealized gains (losses) deferred in other comprehensive income:
Gross	$	208	$	(9,936)
Income tax expense (benefit)		90		(2,695)
Net	$	118	$	(7,241)

Summary financial information related to the cash flow hedges of future revenues follows (in thousands, except percentages):

	As of
	December 31, 2013		December 31, 2012
Notional balance of outstanding contracts versus the dollar	€	85,627	€	88,680
Hedge effectiveness		100%		100%

	Year Ended December 31,
		2013		2012		2011
Net gains and (losses) included in revenue	$	(4,294)	$	4,201	$	(4,159)

Forward Contracts

We record our forward contracts at fair value on our consolidated balance sheet as either long-term other assets or long-term other liabilities depending upon the fair value calculation as detailed in Note 3 of Zebra’s financial statements. The amounts recorded on our consolidated balance sheets are as follows (in thousands):

	As of
	December 31, 2013		December 31, 2012
Liabilities:
Accrued liabilities	$	2,743	$	2,045
Total	$	2,743	$	2,045

F-20

Note 12 Commitments and Contingencies

Leases. Minimum future obligations under all non-cancelable operating leases as of December 31, 2013 are as follows (in thousands):

	Operating     Leases
2014	$	15,619
2015		11,842
2016		7,368
2017		7,636
2018		6,105
Thereafter		34,805
Total minimum lease obligations	$	83,375

Rent expense for operating leases charged to operations was as follows (in thousands):

	Year Ended December 31,
		2013		2012		2011
Rent expense	$	15,750	$	15,254	$	13,907

The operating lease information includes a variety of properties around the world. These properties are used as manufacturing facilities, distribution centers and sales offices. Lease terms range from one year to 9 years with breaking periods specified in the lease agreements.

Revolving Credit Agreement. On October 10, 2012, Zebra entered into a revolving credit agreement for a five-year $250,000,000 revolving credit facility with a syndicate of banks led by J. P. Morgan Securities LLC as Administrative Agent. The funds under this credit facility are available for general corporate purposes of Zebra and its subsidiaries in the ordinary course of business and other purposes permitted by the agreement.

This credit agreement is guaranteed by certain of Zebra’s domestic subsidiaries. Loans under the agreement bear interest at a rate equal to a spread over the base rate, which base rate is the greater of: the prime rate, the Federal Funds Effective Rate plus one-half of one percent (0.50%), or an adjusted LIBOR rate, plus one percent (1%). The spread is dependent on Zebra’s ratio of Total Debt to EBITDA, and ranges from 0.00% to 0.75%. Zebra did not borrow any monies under the New Credit Agreement at the time of closing.

The credit agreement includes customary representations, warranties, affirmative and negative covenants and events of default. It also contains financial covenants tied to Zebra’s leverage ratio and interest coverage ratio. As of December 31, 2013, we had established letters of credit amounting to $1,800,000, which reduces funds available for borrowing under the agreement. As of December 31, 2013 and 2012, no amounts were outstanding under the company’s credit agreement.

Legal Proceedings. We are subject to a variety of investigations, claims, suits and other legal proceedings that arise from time to time in the ordinary course of business, including but not limited to, intellectual property, employment, tort and breach of contract matters. We currently believe that the outcomes of such proceedings, individually and in the aggregate, will not have a material adverse impact on our business, cash flows, financial position, or results of operations. Any legal proceedings are subject to inherent uncertainties, and management’s view of these matters and their potential effects may change in the future.

F-21

Note 13 Savings and Profit Sharing Plans

Zebra has a Retirement Savings and Investment Plan (401(k) Plan), which is intended to qualify under Section 401(k) of the Internal Revenue Code. Qualified employees may participate in Zebra’s 401(k) Plan by contributing up to 15% of their gross earnings to the plan subject to certain Internal Revenue Service restrictions. Zebra matches 100% of the first 2% of gross eligible earnings, and also matches the next 4% of gross eligible earnings at the rate of 50%. Zebra may contribute additional amounts to its 401(k) Plan at the discretion of the Board of Directors, subject to certain legal limits.

Company contributions to these plans, which were charged to operations, approximated the following (in thousands):

	Year Ended December 31,
	2013		2012		2011
401(k)	$	4,865	$	5,138	$	4,813
Total	$	4,865	$	5,138	$	4,813

Note 14 Stockholders’ Equity

Share count and par value data related to stockholders’ equity are as follows:

	As of
	December 31,     2013		December 31,     2012
Preferred Stock
Par value per share	$	0.01	$	0.01
Shares authorized		10,000,000		10,000,000
Shares outstanding		0		0
Common Stock—Class A
Par value per share	$	0.01	$	0.01
Shares authorized		150,000,000		150,000,000
Shares issued		72,151,857		72,151,857
Shares outstanding		50,349,546		50,908,267
Treasury stock
Shares held		21,802,311		21,243,590

During the year ended December 31, 2013, Zebra purchased 1,356,861 shares of common stock for $63,102,242 under board authorized share repurchase plans compared to the year ended December 31, 2012, in which Zebra purchased 1,473,863 shares of common stock for $54,373,000. During the year ended December 31, 2011, Zebra purchased 4,353,801 shares of common stock for $160,200,000.

A roll forward of Class A common shares outstanding is as follows:

	Year Ended December 31,
	2013		2012
Balance at the beginning of the year		50,908,267		52,095,166
Repurchases		(1,356,861)		(1,473,863)
Stock options, rights and ESPP issuances		739,148		246,625
Restricted share issuances		241,851		242,238
Restricted share forfeitures		(165,610)		(130,119)
Shares withheld for tax obligations		(17,249)		(71,780)
Balance at the end of the period		50,349,546		50,908,267

F-22

Note 15 Earnings (Loss) Per Share

For the years ended December 31, 2013, 2012, and 2011, earnings (loss) per share were computed as follows (in thousands, except per-share amounts):

	Year Ended December 31,
	2013		2012		2011
Weighted average shares:
Weighted average common shares outstanding		50,693		51,566		53,854
Effect of dilutive securities outstanding		370		277		337
Diluted weighted average shares outstanding		51,063		51,843		54,191
Earnings (loss):
Income from continuing operations	$	134,225	$	121,897	$	130,343
Income (loss) from discontinued operations		133		1,007		44,300
Net Income	$	134,358	$	122,904	$	174,643
Basic per share amounts:
Income from continuing operations	$	2.65	$	2.36	$	2.42
Income (loss) from discontinued operations		0.00		0.02		0.82
Net Income	$	2.65	$	2.38	$	3.24
Diluted per share amounts:
Income from continuing operations	$	2.63	$	2.35	$	2.40
Income (loss) from discontinued operations		0.00		0.02		0.82
Net Income	$	2.63	$	2.37	$	3.22

The potentially dilutive securities that were excluded from the earnings (loss) per share calculation consist of stock options and stock appreciation rights (SARs) with an exercise price greater than the average market price of the Class A Common Stock. These options were as follows:

	Year Ended December 31,
	2013		2012		2011
Potentially dilutive shares		168,472		1,753,311		1,425,880

Note 16 Equity-Based Compensation

As of December 31, 2013, Zebra had a general equity-based compensation plan and a stock purchase plan under which shares of our common stock were available for future grants and sales, and which are described below.

On May 19, 2011, Zebra’s stockholders approved the 2011 Zebra Technologies Corporation Long Term Incentive Plan (the 2011 Plan), which included authorization for issuance of awards of 5,500,000 shares under the 2011 Plan. The 2011 Plan became effective immediately and superseded the 2006 Incentive Compensation Plan (the 2006 Plan), the 1997 Stock Option Plan (the 1997 Plan) and the 2002 Non-Employee Director Stock Option Plan (the 2002 Director Plan), except that the prior plans will remain in effect with respect to awards granted under the prior plans until such awards have been exercised, forfeited, cancelled, expired or otherwise terminated in accordance with the terms of such grants. The types of awards available under the 2011 Plan are incentive stock options, nonqualified stock options, stock appreciation rights (SARs), restricted stock, performance shares and units and performance-based cash bonuses. Employees, directors and consultants of Zebra and its subsidiaries are eligible to participate in the 2011 Plan. The Compensation Committee of the Board of Directors administers the plan. As of December 31, 2013, 4,212,339 shares were available for grant under the plan, and options for 691,874 shares were outstanding under the 2011 Plan.

The options and SARs granted under the 2011 Plan have an exercise or grant price equal to the closing market price of Zebra’s stock on the date of grant. Options and SAR’s generally vest over a four or five-year period. These awards expire on the earlier of (a) ten years following the grant date, (b) immediately if the employee is terminated for cause, (c) ninety days after termination of employment if the employee is terminated involuntarily other than for cause, (d) thirty days after termination of employment if the employee voluntarily terminates his or her employment, or (e) one year after termination of employment if the employee’s employment terminates due to death, disability, or retirement.

F-23

Zebra’s time-vested restricted stock grants consist of restricted stock awards (RSA’s) and performance share awards (PSA’s). The following table shows the number of shares of time-vested restricted stock granted in 2013 and the vesting schedules of the restricted stock awards that were granted under the Plan to certain executive officers and other members of management.

Vesting period	RSA’s		PSA’s		Total
At grant		18,095		112,028		130,123
After three years of service		149,420		75,766		225,186
Total		167,515		187,794		355,309

These RSA’s will vest at each vesting date if the employee remains employed by Zebra throughout the applicable time period, but will vest in whole or in part (as set forth in each Restricted Stock Agreement) before the end of the each vesting period in the event of death, disability, resignation for good reason, a change in control (as defined in the 2011 Plan), or termination by Zebra other than for Cause, as defined in the Restricted Stock Agreement entered into by Zebra with each employee who was granted restricted stock. The restricted stock is forfeited in certain situations specified in the Restricted Stock Agreement, including, if the employee’s employment is terminated by Zebra for Cause or if the employee resigns for other than good reason. Zebra’s restricted stock awards are expensed over the vesting period of the related award, which is typically three to five years. However, some recent awards vested upon grant. Compensation cost is calculated as the market date fair value on grant date multiplied by the number of shares granted.

The 2006 Plan was superseded by the 2011 Plan. As of December 31, 2013, options and SARs for 1,111,435 shares were outstanding and exercisable under the 2006 Plan. These options and SARs expire on the earlier of (a) ten years following the grant date, or (b) immediately if the employee is terminated for cause, (c) ninety days after termination of employment if the employee is terminated involuntarily other than for cause, (d) thirty days after termination of employment if the employee voluntarily terminates his or her employment, or (e) one year after termination of employment if the employee’s employment terminates due to death, disability, or retirement.

The 1997 Plan was superseded by the 2006 Plan. As of December 31, 2013, options for 471,990 shares were outstanding and exercisable under the 1997 Plan. These options terms are the same as noted in the paragraph above in the 2006 Plan.

The 2002 Director Plan was superseded by the 2006 Plan. As of December 31, 2013, options for 80,000 shares were outstanding and exercisable under the 2002 Director Plan. Unless otherwise provided in an option agreement, options granted under the 2002 Director Plan become exercisable in five equal increments beginning on the date of the grant and continuing on each of the four anniversaries thereafter. All such options expire on the earlier of (a) ten years following the grant date, (b) the first anniversary of the termination date of the non-employee director’s directorship for any reason other than the termination of the non-employee director’s directorship by Zebra’s stockholders for cause, or resignation for cause, in each case as defined in the option agreement.

In connection with Zebra’s acquisition of WhereNet, Zebra assumed existing unvested stock options exercisable for shares of WhereNet’s common stock and converted them into options exercisable for Zebra common stock. These converted options have exercise prices and vesting dates based on their previous terms and all of these options that are outstanding are fully vested. As of December 31, 2013, outstanding WhereNet options were exercisable into 3,262 shares of Zebra Class A Common Stock.

On May 19, 2011 Zebra’s stockholders adopted the 2011 Employee Stock Purchase Plan (which replaced the 2001 Stock Purchase plan) under which employees who work a minimum of 20 hours per week may elect to withhold up to 10% of their cash compensation through regular payroll deductions to purchase shares of Class A Common Stock from Zebra over a period not to exceed 12 months at a purchase price per share which is equal to the lesser of: (1) 95% of the fair market value of the shares as of the date of the grant, or (2) 95% of the fair market value of the shares as of the date of purchase. Stock purchase plan expense for the year ended December 31, 2013 was $224,000. Stock purchase plan expense for the year ended December 31, 2012 was $242,000 and for the year ended December 31, 2011 was $321,000.

F-24

For purposes of calculating the compensation cost, the fair value is estimated on the date of grant using a binomial model. Volatility is based on an average of the implied volatility in the open market and the annualized volatility of Zebra’s stock prices over our entire stock history. Stock option grants in the table below include both stock options, all of which were non-qualified, and stock appreciation rights (SAR) that will be settled in Zebra stock. The following table shows the weighted-average assumptions used for grants of SARs as well as the fair value of the grants based on those assumptions:

	2013	2012	2011
Expected dividend yield	0%	0%	0%
Forfeiture rate	10.31%	10.21%	11.50%
Volatility	32.00%	35.90%	35.33%
Risk free interest rate	.82%	.94%	2.01%
- Range of interest rates	0.02% - 1.78%	0.07% - 1.95%	0.01% - 3.18%
Expected weighted-average life	5.42 years	5.48 years	5.42 years
Fair value of SARs granted	$4,528,000	$5,533,000	$5,495,000
Weighted-average grant date fair value of options and SARs granted     (per underlying share)	$13.86	$12.84	$14.29

The forfeiture rate is based on the historical annualized forfeiture rate, which is consistent with prior year rates. This rate includes only pre-vesting forfeitures. Volatility is based on an average of the implied volatility in the open market and the annualized volatility of Zebra’s stock prices over our entire stock history. The risk free interest rate used is the implied yield currently available from the U.S. Treasury zero-coupon yield curve over the contractual term of the options. The expected weighted-average life is based on historical exercise behavior, which combines the average life of the options that have already been exercised or cancelled with the exercise life of all unexercised options. The exercise life of unexercised options assumes that the option will be exercised at the midpoint of the vesting date and the full contractual term. These assumptions are consistent with the assumptions used in prior years.

Stock option activity for the years ended December 31, 2013, 2012, and 2011, was as follows:

	2013					2012					2011
Options	Shares			Weighted- Average Exercise Price		Shares			Weighted- Average Exercise Price		Shares			Weighted- Average Exercise Price
Outstanding at beginning of year		1,531,844		$	41.69		1,702,650		$	40.43		2,340,959		$	37.35
Granted		0			0		0			0		0			0
Exercised		(543,922	)		39.54		(148,802	)		27.02		(490,715	)		26.63
Forfeited		0			0		(1,663	)		36.36		(63,714	)		32.29
Expired		(32,145	)		45.81		(20,341	)		43.63		(83,880	)		40.76
Outstanding at end of year		955,777		$	42.78		1,531,844		$	41.69		1,702,650		$	40.43
Exercisable at end of year		955,777		$	42.78		1,527,814		$	41.75		1,589,096		$	40.84
Intrinsic value of exercised options	$	4,300,000				$	1,700,000				$	6,400,000

There were no stock options granted in 2013, 2012 or 2011.

The following table summarizes information about stock options outstanding at December 31, 2013:

	Outstanding	Exercisable
Aggregate intrinsic value	$    4,201,000	$    4,201,000
Weighted-average remaining contractual term	2.5 years	2.5 years

F-25

SAR activity for the years ended December 31, 2013, 2012, and 2011, was as follows:

	2013					2012					2011
SARs	Shares			Weighted- Average Exercise Price		Shares			Weighted- Average Exercise Price		Shares			Weighted- Average Exercise Price
Outstanding at beginning of year		1,535,804			$ 31.66		1,287,724			$ 28.91		1,234,787			$ 23.82
Granted		326,811			46.13		431,040			38.51		387,847			41.14
Exercised		(376,673	)		25.44		(102,972	)		23.83		(95,672	)		22.20
Forfeited		(80,515	)		37.54		(75,978	)		34.10		(238,965	)		25.15
Expired		(2,643	)		33.70		(4,010	)		41.57		(273	)		19.56
Outstanding at end of year		1,402,784			$ 36.36		1,535,804			$ 31.66		1,287,724			$ 28.91
Exercisable at end of year		520,426			$ 30.51		514,787			$ 26.52		305,228			$ 23.27
Intrinsic value of exercised SARs		$ 7,900,000					$ 1,500,000					$ 1,700,000

The terms of the SARs are established under the applicable Plan and the applicable SAR agreement. Once vested, a SAR entitles the holder to receive a payment equal to the difference between the per-share grant price of the SAR and the fair market value of a share of Zebra stock on the date the SAR is exercised, multiplied by the number of shares covered by the SAR. Exercised SARs will be settled in whole shares of Zebra stock, and any fraction of a share will be settled in cash. Vesting of SARs granted in 2013 is as follows: 326,811 SARs vest annually in four equal amounts on each of the first four anniversaries of the grant date. Vesting of SARs granted in 2012 is as follows: 20,155 SARs vested upon grant and 410,885 SARs vest annually in four equal amounts on each of the first four anniversaries of the grant date. All SARs expire 10 years after the grant date.

The following table summarizes information about SARs outstanding at December 31, 2013:

	Outstanding	Exercisable
Aggregate intrinsic value	$    14,144,000	$    8,282,000
Weighted-average remaining contractual term	7.6 years	6.6 years

Restricted stock award activity, granted under the 2011 and 2006 Plans, for the years ended December 31, 2013, 2012 and 2011 was as follows:

	2013					2012					2011
Restricted Stock Awards	Shares			Weighted-Average Grant Date Fair Value		Shares			Weighted-Average Grant Date Fair Value		Shares			Weighted-Average Grant Date Fair Value
Outstanding at beginning of year		444,362			$ 35.43		529,880			$ 28.20		594,090			$ 25.51
Granted		167,515			46.17		169,081			38.45		152,636			41.17
Released		(161,976	)		31.28		(235,580	)		21.39		(197,472	)		30.08
Forfeited		(14,524	)		40.79		(19,019	)		34.90		(19,374	)		29.08
Outstanding at end of year		435,377			$ 40.92		444,362			$ 35.43		529,880			$ 28.20

Performance share award activity, granted under the 2011 and 2006 Plans, for the years ended December 31, 2013, 2012 and 2011 was as follows:

	2013					2012					2011
Performance Share Awards	Shares			Weighted-Average Grant Date Fair Value		Shares			Weighted-Average Grant Date Fair Value		Shares			Weighted-Average Grant Date Fair Value
Outstanding at beginning of year		265,829			$ 35.55		306,261			$ 28.58		250,596			$ 25.35
Granted		187,794			35.17		72,470			38.68		62,874			41.47
Released		(253,484	)		27.90		(1,802	)		41.57		(7,209	)		28.79
Forfeited		(4,980	)		41.46		(111,100	)		23.06		0			0.0
Outstanding at end of year		195,159			$ 42.25		265,829			$ 35.55		306,261			$ 28.58

F-26

As of December 31, 2013, there was $17,646,000 of unearned compensation cost related to awards granted under Zebra’s equity-based compensation plans, which is expected to be recognized over a weighted-average period of 2.3 years.

The fair value of the purchase rights issued to Zebra employees under the stock purchase plan is estimated using the following weighted-average assumptions for purchase rights granted. Expected lives of three months to one year have been used along with these assumptions.

	2013		2012		2011
Fair market value	$	42.45	$	35.43	$	34.77
Option price	$	40.33	$	33.66	$	33.03
Expected dividend yield		0%		0%		0%
Expected volatility		19%		21%		33%
Risk free interest rate		0.05%		0.07%		0.07%

Note 17 Deferred Compensation Plan

Zebra offers a deferred compensation plan that permits directors and executive management employees to defer portions of their compensation and to select a method of investing these funds. The salaries that have been deferred since the plan’s inception have been accrued and the only expense, other than salaries, related to this plan is the gain or loss from the changes to the deferred compensation liability, which is charged to compensation expense. To fund this plan, Zebra purchases mutual funds in the form of stock or bond funds.

The following table shows the income, asset and liability amounts related to this plan (in thousands):

	As of December 31,
	2013		2012
Mutual funds included in other assets	$	4,827	$	3,553
Deferred compensation liability included in other long-term liabilities	$	4,827	$	3,553

Note 18 Income Taxes

The geographical sources of income before income taxes were as follows (in thousands):

	Year Ended December 31,
	2013		2012		2011
United States	$	47,636	$	60,388	$	78,593
Outside United States		116,191		103,786		101,126
Total	$	163,827	$	164,174	$	179,719

Zebra earns a significant amount of our operating income outside the U.S., which is deemed to be permanently reinvested in foreign jurisdictions. Zebra does not currently foresee a need to repatriate funds, however, should Zebra require more capital in the U.S. than is generated by our operations locally, Zebra could elect to repatriate funds held in foreign jurisdictions or raise capital in the U.S. through debt or equity issuances. These alternatives could result in higher effective tax rates or increased interest expense.

Deferred income taxes are not provided on undistributed earnings of foreign subsidiaries, aggregating approximately $354,164,000 at December 31, 2013 and $256,000,000 at December 31, 2012.

The provision for income taxes consists of the following (in thousands):

	Year Ended December 31,
	2013		2012		2011
Current:
Federal	$	9,556	$	17,744	$	7,250
State		808		1,324		1,191
Foreign		11,638		14,258		28,175
Total current		22,002		33,326		36,616
Deferred:
Federal		7,118		8,656		12,477
State		289		375		405
Foreign		193		(80)		(122)
Total deferred		7,600		8,951		12,760
Total	$	29,602	$	42,277	$	49,376

F-27

The provision for income taxes differs from the amount computed by applying the U.S. statutory Federal income tax rate of 35% to income before income taxes. The reconciliation of statutory and effective income taxes is presented below (in thousands):

	Year Ended December 31,
	2013		2012		2011
Provision computed at statutory rate	$	57,339	$	57,461	$	62,905
State income tax, net of Federal tax benefit		1,191		1,353		1,432
Asset impairment charge		0		3,190		0
Tax-exempt interest income		(174)		(230)		(334)
Acquisition related items		0		322		0
Domestic manufacturing deduction		(490)		(105)		(212)
Research and experimental credit		(970)		0		(508)
Foreign rate differential		(26,798)		(21,598)		(13,899)
Other		(496)		1,884		(8)
Provision for income taxes	$	29,602	$	42,277	$	49,376

The primary reasons for the difference is due to a combination of higher profits in lower rate international jurisdictions, decreasing foreign statutory rates, the Singapore tax holiday and the restructuring of the foreign operations. In conjunction with the opening of Zebra’s Singapore distribution center and the establishment of Singapore as a regional headquarter location in 2009, Zebra negotiated a 10% income tax rate with the Singapore Economic Development Board. The negotiated rate is a reduction from the then current statutory rate of 17%. The 10% rate expires at the end of 2014 unless Zebra meets agreed commitments for employees and business expenditures in Singapore. If these requirements are met, the 10% rate extends through 2018. This agreement reduced Zebra’s consolidated income taxes by $1,860,000 in 2013, $2,002,000 in 2012, and $2,030,000 in 2011.

In order to streamline the management, financing and capital structure of its foreign affiliates, in 2012, Zebra established a foreign holding company and restructured the ownership structure of its foreign affiliates. This new holding company structure allows Zebra to consolidate the ownership of its significant foreign affiliates under a single holding company. In addition, the structure introduced leverage which gives the Zebra the ability to facilitate cash pooling and improve the capital structure of its non-US operations. The new capital structure and global financing favorably impacts the Zebra’s effective tax rate, and facilitates the tax efficient movement of Zebra’s foreign cash to finance the ongoing operating and investment needs of the foreign subsidiaries. The restructuring was completed in the second quarter of 2012 and was in place for the full year in 2013.

Deferred income taxes reflect the impact of temporary differences between the amounts of assets and liabilities for financial reporting purposes and such amounts as measured by tax laws. Based on management’s assessment, it is more likely than not that the deferred tax assets will be realized through future taxable earnings.

Tax effects of temporary differences that give rise to deferred tax assets and liabilities are as follows (in thousands):

	As of December 31,
	2013		2012
Deferred tax assets:
Deferred rent	$	409	$	508
Accrued vacation		2,153		2,480
Accrued bonus		2,916		2,747
Deferred compensation		1,816		1,497
Inventory items		6,061		6,967
Allowance for doubtful accounts and other receivables		118		211
Other accruals		11,149		6,531
Equity based compensation expense		12,337		16,620
Unrealized gain on securities		558		438
Unrealized loss on other investments		410		419
Net operating loss carry-forwards		597		2,462
Valuation allowance		(267)		(267)
Total deferred tax assets		38,257		40,613
Deferred tax liabilities:
Unrealized loss on other investments		(1,450)		0
Depreciation and amortization		(42,489)		(24,527)
Total deferred tax liabilities		(43,939)		(24,527)
Net deferred tax assets (liabilities)	$	(5,682)	$	16,086

F-28

On January 1, 2007, Zebra adopted ASC 740 (formerly FASB Interpretation (FIN) No. 48, Accounting for Uncertainty in Income Taxes – an interpretation of FASB Statement No. 109). According to ASC 740, Zebra identified, evaluated, and measured the amount of income tax benefits to be recognized for all of its income tax positions. During 2008, Zebra recognized an increase of approximately $4,000,000 in the liability for unrecognized tax benefits related to an acquisition. During 2012 Zebra recognized an increase of $680,000 in one of its UK subsidiaries. This amount was reduced as a result of filing 2012 income tax returns in 2013.

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands):

Balance at January 1, 2013	$	4,680
Additions based on tax positions related to 2013		0
Reductions based on 2012 tax returns as filed in 2013		(680)
Balance at December 31, 2013	$	4,000

Included in deferred tax assets are amounts related to federal and state net operating losses that resulted from Zebra’s acquisition of WhereNet Corp. As of December 31, 2013, Zebra had approximately $8,252,000 of net operating loss carryforwards available to offset future taxable income which expire in 2022 through 2027. As of December 31, 2013, Zebra had approximately $26,980,000 of state net operating loss carryforwards which expire in 2013 through 2020. Zebra’s intention is to utilize these net operating loss carryforwards to offset future income tax expense. Under the United States Tax Reform Act of 1986, the amount of benefits from net operating loss carryforwards may be impaired or limited in certain circumstances, including significant changes in ownership interests. The company has reviewed the impact of ownership changes and believes that this will not have an impact on the realizability on the related Deferred Tax Asset recorded as of December 31, 2013.

Deferred tax asset valuation allowances included in the temporary differences above are as follows (in thousands):

	Year Ended December 31,
Valuation allowance	2013		2012		2011
Balance at the beginning of the year	$	267	$	267	$	267
Additions		0		0		0
Subtractions		0		0		0
Balance at the end of the period	$	267	$	267	$	267

Zebra’s deferred tax valuation allowance is the result of uncertainties regarding the future realization of recorded tax benefits on state income tax loss carry-forwards. The addition in 2010 is primarily related to California’s temporary suspension on the use of state net operating losses for tax years 2010 & 2011. Although the carryforward period for those temporarily suspended losses was increased, there is still some uncertainty as to the ability to use such losses even though carryforward periods were extended.

We are currently undergoing an audit of the 2011 and 2012 US federal income tax returns. The tax years 2009 through 2012 remain open to examination by multiple state taxing jurisdictions. Tax authorities in the United Kingdom have completed income tax audits for tax years through 2011.

Zebra’s continuing practice is to recognize interest and or penalties related to income tax matters as part of income tax expense. For the years ended December 31, 2011 through December 31, 2013, Zebra did not accrue any interest or penalties into income tax expense.

Note 19 Other Comprehensive Income (Loss)

Stockholders’ equity contains certain items classified as other comprehensive income (loss), including:

• Foreign currency translation adjustments related to our non-U.S. subsidiary companies that have designated a functional currency other than the dollar. We are required to translate the subsidiary functional currency financial statements to dollars using a combination of historical, month-end, and average foreign exchange rates. This combination of rates creates the foreign currency translation adjustments component of other comprehensive income (loss).

• Unrealized holding gains (losses) on foreign currency hedging activities relate to derivative instruments used to hedge the currency exchange rates for forecasted euro sales. These hedges are designated as cash flow hedges, and we have deferred income statement recognition of gains and losses until the hedged transaction occurs. See Note 11 for more details.

• Unrealized gains (losses) on investments classified as available-for-sale are deferred from income statement recognition. See Note 4 for more details.

F-29

The components of other comprehensive income (loss) included in the Consolidated Statements of Comprehensive Income (Loss) are as follows (in thousands):

	As of December 31, 2012		Gain (Loss) recognized in OCI		Gain (Loss) reclassified from AOCI to income		Twelve Months ended December 31, 2013		As of December 31, 2013
Unrealized gains (losses) on hedging transactions:
Gross		$    (2,581)		$3,297		$(3,089)(1)		$    208		$    (2,373)
Income tax (benefit)		(599)		862		(772)		90		(509)
Net		(1,982)		2,435		(2,317)		118		(1,864)
Unrealized gains (losses) on investments:
Gross		540		(1,294)		603(2)		(691)		(151)
Income tax (benefit)		162		(423)		188		(235)		(73)
Net		378		(871)		415		(456)		(78)
Foreign currency translation adjustments		(8,721)		566		316(3)		882		(7,839)
Total accumulated other comprehensive gains (losses)		$(10,325)		$2,130		$(1,586)		$    544		$(9,781)
	As of December 31, 2011		Gain (Loss) recognized in OCI		Gain (Loss) reclassified from AOCI to income		Twelve Months ended December 31, 2012		As of December 31, 2012
Unrealized gains (losses) on hedging transactions:
Gross		$    7,355		$  (14,757)		$  4,821(1)		$  (9,936)		$  (2,581)
Income tax (benefit)		2,096		(3,900)		1,205		(2,695)		(599)
Net		5,259		(10,857)		3,616		(7,241)		(1,982)
Unrealized gains (losses) on investments:
Gross		(797)		1,052		285(2)		1,337		540
Income tax (benefit)		(288)		349		101		450		162
Net		(509)		703		184		887		378
Foreign currency translation adjustments		(8,963)		321		(79)(3)		242		(8,721)
Total accumulated other comprehensive gains (losses)		$    (4,213)		$    (9,833)		$  3,721		$  (6,112)		$  (10,325)
	As of December 31, 2010		Gain (Loss) recognized in OCI		Gain (Loss) reclassified from AOCI to income		Twelve Months ended December 31, 2011		As of December 31, 2011
Unrealized gains (losses) on hedging transactions:
Gross		$    (1,523)		$    12,196		$  (3,318)(1)		$    8,878		$    7,355
Income tax (benefit)		(573)		3,615		(946)		2,669		2,096
Net		(950)		8,581		(2,372)		6,209		5,259
Unrealized gains (losses) on investments:
Gross		(200)		(756)		159(2)		(597)		(797)
Income tax (benefit)		(76)		(269)		57		(212)		(288)
Net		(124)		(487)		102		(385)		(509)
Foreign currency translation adjustments		(8,275)		178		(866)(3)		(688)		(8,963)
Total accumulated other comprehensive gains (losses)		$    (9,349)		$    8,272		$    (3,136)		$    5,136		$    (4,213)

(1) Transfer of unrealized gains and (losses) from AOCI to income on hedging transactions are included in net sales of tangible products.

(2) Transfer of unrealized gains and (losses) from AOCI to income on investments are included in investment income.

(3) Transfer of foreign currency translation gains and (losses) from AOCI to income, are included in foreign exchange.

F-30

Note 20 Geographic Data

Information regarding Zebra’s operations by geographic area is contained in the following table. These amounts (in thousands) are reported in the geographic area of the destination of the final sale. We manage our business based on these regions rather than by individual countries.

	North America		Europe, Middle East & Africa		Latin America		Asia		Total
2013
Net sales	$	459,908	$	326,470	$	99,041	$	152,740	$	1,038,159
Long-lived assets		97,768		8,149		502		3,169		109,588
2012
Net sales	$	435,520	$	322,970	$	100,101	$	137,577	$	996,168
Long-lived assets		90,363		7,522		538		2,926		101,349
2011
Net sales	$	409,208	$	342,578	$	89,715	$	141,987	$	983,488
Long-lived assets		88,382		5,965		362		3,113		97,822
Net sales by country that are greater than 10% of total net sales are as follows (in thousands):
	United States		United Kingdom		Singapore		Other		Total
2013	$	562,848	$	323,708	$	140,588	$	11,015	$	1,038,159
2012	$	539,504	$	317,793	$	134,349	$	4,522	$	996,168
2011	$	504,283	$	339,027	$	136,757	$	3,421	$	983,488
Net sales by country are determined by the country from where the products are invoiced when they leave Zebra’s warehouse. Generally, our United States sales company serves North America and Latin America while our United Kingdom sales company serves the Europe, Middle East and Africa markets and our Singapore sales company serves all of the Asia Pacific market.
Net sales by major product category are as follows (in thousands):
	Hardware		Supplies		Service and Software		Shipping and Handling		Total
2013	$	735,123	$	243,965	$	53,627	$	5,444	$	1,038,159
2012	$	730,489	$	212,499	$	47,941	$	5,239	$	996,168
2011	$	743,308	$	187,457	$	47,206	$	5,517	$	983,488

Note 21 Major Customers

Our net sales to significant customers as a percentage of total net sales were as follows:

	Year Ended December 31,
	2013		2012		2011
Customer A		16.8%		20.4%		20.7%
Customer B		13.1%		11.4%		10.5%
Customer C		12.3%		10.3%		8.9%

All three of the above customers are distributors and not end users. No other customer accounted for 10% or more of total net sales during these years.

F-31

Note 22 Quarterly Results of Operations (unaudited)

(Amounts in thousands, except per share data)

	2013
	First Quarter			Second Quarter			Third Quarter			Fourth Quarter
Net Sales
Net sales of tangible products	$	225,121		$	239,909		$	249,919		$	269,583
Revenue from services and software		11,816			13,251			13,604			14,956
Total net sales		236,937			253,160			263,523			284,539
Cost of Sales
Cost of sales of tangible products		117,111			125,664			128,191			136,547
Cost of sales services and software		6,761			6,589			6,722			6,964
Cost of sales		123,872			132,253			134,913			143,511
Gross Profit		113,065			120,907			128,610			141,028
Operating expenses:
Selling and marketing		33,515			33,830			34,395			36,280
Research and development		21,858			23,201			22,376			23,712
General and administrative		25,277			24,053			22,452			24,434
Amortization of intangible assets		1,863			1,863			1,831			1,826
Acquisition costs		482			618			268			3,322
Exit and restructuring costs		1,895			1,101			519			2,375
Total operating expenses		84,890			84,666			81,841			91,949
Operating income		28,175			36,241			46,769			49,079
Other income (loss)
Investment income		677			473			550			666
Foreign exchange loss		(98	)		(462	)		(173	)		209
Other, net		10			1,464			(5	)		252
Total other income		589			1,475			372			1,127
Income from continuing operations before income taxes		28,764			37,716			47,141			50,206
Income taxes		5,222			7,158			8,541			8,681
Income from continuing operations		23,542			30,558			38,600			41,525
Income from discontinued operations, net of tax		0			8			0			125
Net income	$	23,542		$	30,566		$	38,600		$	41,650
Basic earnings per share:
Income from continuing operations	$	0.46		$	0.60		$	0.76		$	0.83
Income from discontinued operations		0.00			0.00			0.00			0.00
Net Income	$	0.46		$	0.60		$	0.76		$	0.83
Diluted earnings per share:
Income from continuing operations	$	0.46		$	0.60		$	0.76		$	0.82
Income from discontinued operations		0.00			0.00			0.00			0.00
Net Income	$	0.46		$	0.60		$	0.76		$	0.82
Basic weighted average shares outstanding		50,980			50,990			50,590			50,289
Diluted weighted average and equivalent shares outstanding		51,366			51,283			50,924			50,666

F-32

	2012
	First Quarter			Second Quarter			Third Quarter			Fourth Quarter
Net Sales
Net sales of tangible products	$	232,476		$	234,708		$	239,786		$	241,257
Revenue from services and software		11,399			12,369			12,251			11,922
Total net sales		243,875			247,077			252,037			253,179
Cost of Sales
Cost of sales of tangible products		119,033			119,980			118,751			121,869
Cost of sales services and software		4,959			6,720			6,362			6,850
Cost of sales		123,992			126,700			125,113			128,719
Gross Profit		119,883			120,377			126,924			124,460
Operating expenses:
Selling and marketing		32,114			32,158			32,321			33,313
Research and development		20,416			22,336			22,007			22,605
General and administrative		24,320			24,402			22,481			20,964
Amortization of intangible assets		770			770			1,670			1,463
Acquisition costs		254			1,252			566			1,037
Exit and restructuring costs		0			0			0			960
Asset impairment charge		0			0			9,114			0
Total operating expenses		77,874			80,918			88,159			80,342
Operating income		42,009			39,459			38,765			44,118
Other income (loss)
Investment income		592			826			541			526
Foreign exchange loss		(342	)		(80	)		(514	)		(5)
Other, net		(364	)		(486	)		(294	)		(577)
Total other income (loss)		(114	)		260			(267	)		(56)
Income from continuing operations before income taxes		41,895			39,719			38,498			44,062
Income taxes		11,731			9,366			11,917			9,263
Income from continuing operations		30,164			30,353			26,581			34,799
Income from discontinued operations, net of tax		0			300			516			191
Net income	$	30,164		$	30,653		$	27,097		$	34,990
Basic earnings per share:
Income from continuing operations	$	0.58		$	0.58		$	0.52		$	0.69
Income from discontinued operations		0.00			0.01			0.01			0.00
Net Income	$	0.58		$	0.59		$	0.53		$	0.69
Diluted earnings per share:
Income from continuing operations	$	0.58		$	0.58		$	0.51		$	0.68
Income from discontinued operations		0.00			0.01			0.01			0.00
Net Income	$	0.58		$	0.59		$	0.52		$	0.68
Basic weighted average shares outstanding		51,998			51,771			51,566			50,968
Diluted weighted average and equivalent shares outstanding		52,301			52,030			51,809			51,262

F-33

Note 23 Discontinued Operations

Sale of Navis, LLC—On March 18, 2011, we sold our Navis marine terminal solutions business and the related WhereNet marine terminal solutions product line of our Zebra Enterprise Solutions (“ZES”) business segment for approximately $188,588,000 in cash to Cargotec Corporation. As of December 31, 2011, Zebra had a short term receivable from the buyer in the amount of $27,580,000 which represented funds held in escrow, of which, we received $13,790,000 in the first quarter of 2012 and the remaining $13,790,000 in the third quarter of 2012.

Sale of proveo AG—On August 3, 2011, we entered into a Share Purchase Agreement with F Two NV (a Belgium company) to sell all of our interest in Zebra Enterprise Solutions GmbH (formerly proveo AG) business. The loss recorded upon divestiture was $1,248,000. Zebra realized tax benefits in the amount of $13,308,000 with the divestiture of proveo AG. These tax benefits are primarily related to the difference in book basis versus tax basis. As part of the sale, Zebra agreed with the buyer to provide a revolving loan of up to €1,000,000 which was due on August 3, 2012 and bore interest at 6.5%. Zebra considered this loan unlikely to be repaid in full and established a reserve for the maximum loss. During 2012, the maximum value on Zebra’s loan to the purchaser was reduced to €526,058 and Zebra recorded a gain of $930,000 as a result of reducing the loan loss reserve to the new maximum loss. During 2013, Zebra received some additional payments on the loan and the remaining balance outstanding was forgiven. Zebra recorded a gain of $201,000 as a result of the payments received and loan cancellation.

Beginning in the first quarter of 2011, Zebra reported the results of these businesses as discontinued operations. The amounts presented below for discontinued operations include Navis and proveo assets and liabilities, and the operating results of these businesses for the years ended December 31, 2013, 2012 and 2011. With the Navis sale, Zebra consolidated the remaining ZES Location Solutions operations.

Summary results for discontinued operations in our consolidated statement of earnings are as follows (in thousands):

	Year Ended December 31
	2013		2012		2011
Net sales	$	0	$	0	$	13,945
Loss from discontinued operations	$	7	$	(141)	$	(13,971)
Income tax benefit (expense)		(75)		218		1,299
Gain on sale of discontinued operations		201		930		68,745
Income tax expense on sale		0		0		(11,773)
Income from discontinued operations	$	133	$	1,007	$	44,300

The components of cash flows of discontinued operations in our consolidated statement of cash flows are as follows (in thousands):

	Year Ended December  31
	2013		2012		2011
Cash flows from discontinued operations:
Net cash (used) by operating activities	$	0	$	0	$	(1,301)
Net cash provided by (used in) by investing activities		0		0		0
Net cash provided by (used in) by financing activities		0		0		0
Effect of exchange rate changes on cash		0		0		0
Net decrease in cash and cash equivalents		0		0		(1,301)
Cash and cash equivalents at beginning of period		0		0		1,301
Cash and cash equivalents at end of period	$	0	$	0	$	0

F-34

Note 24 Business Combinations

Hart Systems. On December 18, 2013, Zebra acquired all of the outstanding membership interests in Hart Systems, LLC (a New York limited liability company) for $95,669,326 in cash, subject to a working capital adjustment. As part of the acquisition closing, an escrow balance of approximately $9,402,500 was established against the total purchase price.

Hart Systems, a leading provider of self-directed physical inventory management solutions to the retail industry, has distinguished itself in the market by offering retailers high ROI, self-managed inventory solutions. This acquisition enables us to expand our presence in the retail market segment by offering additional inventory management services as part of Zebra’s dedicated Retail Solutions. It adds software as a service (SaaS) to Zebra’s product and service portfolio. The allocations of the purchase price for this acquisition have been prepared on a preliminary basis and changes to these allocations may occur as additional information becomes available. Acquired goodwill represents the premium paid over the fair value of the net tangible and intangible assets acquired. Zebra paid this premium for a number of reasons, including acquiring an experienced workforce and enhancing technology capabilities. Pro forma results have not been presented because the effect of the acquisition is not material to the company’s financial results.

The following table (in thousands) summarizes the estimated fair values of the assets acquired and the liabilities assumed at the date of acquisition:

	As of
	December 31, 2013
Current assets	$	2,600
Property and equipment		11,134
Goodwill		60,858
Other intangibles		37,200
Total assets acquired	$	111,792
Current liabilities		2,285
Long term liabilities		13,838
Net assets acquired	$	95,669

On a preliminary basis pending the receipt of final valuations, the purchase price was allocated to identifiable tangible and intangible assets acquired and liabilities assumed based on their estimated fair values resulting in goodwill of $60,858,000. The intangible assets of $37,200,000 consist of the following (in thousands):

	Amount		Useful life
Customer relationships	$	32,100	15 years
Developed technology/know-how		4,800	5 years
Trade name		300	1 year
Acquired other intangibles	$	37,200

The goodwill is not deductible for tax purposes.

LaserBand LLC. On July 13, 2012, Zebra acquired all of the outstanding membership interests in LaserBand LLC (a Missouri limited liability company) for a cash purchase price of $59,874,000, included in this amount was cash acquired of $1,431,000.

LaserBand LLC is based in St. Louis, Missouri, and is a leader in patient identification wristbands and related products. LaserBand strengthens Zebra’s product and patent portfolio and enables Zebra to offer a wider array of products to hospitals, other healthcare organizations and other wristband customers. The consolidated financial statements include the operating results of LaserBand from the date of acquisition. Pro forma results have not been presented because the effect of the acquisition is not material to the company’s financial results.

The following table (in thousands) summarizes the estimated fair values of the assets acquired and the liabilities assumed at the date of acquisition:

	As of
	July 13, 2012
Current assets	$	7,017
Property and equipment		46
Other assets		17
Goodwill		24,353
Other intangibles		29,560
Total assets acquired	$	60,993
Current liabilities		1,119
Net assets acquired	$	59,874

The purchase price was allocated to identifiable tangible and intangible assets acquired and liabilities assumed based on their estimated fair values resulting in goodwill of $24,353,000. The intangible assets of $29,560,000 consist of the following (in thousands):

	Amount		Useful life
Current technology	$	6,260		5 years
Patents and patent rights		4,580		7 years
Customer relationships		18,720		5 to 9 years
Acquired other intangibles	$	29,560

The goodwill is deductible for tax purposes.

StepOne Systems. On December 21, 2012, Zebra acquired StepOne Systems for a cash purchase price of $1,543,000, included in this amount was cash acquired of $110,000. StepOne is a specialty software company focused on solving business retailer’s challenges through mobile technology. StepOne is located in Pittsburgh, Pennsylvania.

StepOne has been able to increase sales via customer facing technologies, reduced out-of-stock, labor cost reduction, increased inventory/shipping accuracy and reduction in manual errors. Retail is an important part of our strategy to further penetrate existing markets. Retail organizations worldwide are increasingly embracing technology to improve the customer experience, build brand loyalty and enhance operational efficiency in the front and back of the store. This investment gives Zebra’s a more comprehensive solution in mobile POS and makes Zebra more competitive in this market space.

F-35

ZEBRA TECHNOLOGIES CORPORATION AND SUBSIDIARIES

Schedule II

Valuation and Qualifying Accounts

(Amounts in thousands)

Description	Balance at Beginning of Period		Charged to Costs and Expenses		Deductions / (Recoveries)		Balance at End of Period
Valuation account for accounts receivable:
Year ended December 31, 2013	$	669	$	373	$	589	$	453
Year ended December 31, 2012	$	1,560	$	0	$	891	$	669
Year ended December 31, 2011	$	1,459	$	343	$	242	$	1,560
Valuation accounts for inventories:
Year ended December 31, 2013	$	13,655	$	8,473	$	9,567	$	12,561
Year ended December 31, 2012	$	14,710	$	6,758	$	7,813	$	13,655
Year ended December 31, 2011	$	9,837	$	8,762	$	3,889	$	14,710

See accompanying report of independent registered public accounting firm.

F-36

Index to Exhibits

3.1(i)	(6)	Restated Certificate of Incorporation of the Company.
3.1(ii)	(35)	Amended and Restated By-laws of Zebra Technologies Corporation, as amended as of January 7, 2013.
4.0	(5)	Specimen stock certificate representing Class A Common Stock.
10.1	(7)	1997 Stock Option Plan. +
10.2	(8)	First Amendment to 1997 Stock Option Plan. +
10.3	(8)	Second Amendment to 1997 Stock Option Plan. +
10.4	(9)	Third Amendment to 1997 Stock Option Plan. +
10.5	(10)	Amendment No. Four to 1997 Stock Option Plan. +
10.6	(5)	Lease between the Company and Unique Building Corporation for the Company’s facility in Vernon Hills, Illinois.
10.7	(2)	Amendment to the lease between the Company and Unique Building Corporation for the Company’s facility in Vernon Hills, Illinois, dated April 1, 1993.
10.8	(2)	Amendment to the lease between the Company and Unique Building Corporation for the Company’s facility in Vernon Hills, Illinois, dated December 1, 1994.
10.9	(11)	Amendment to the lease between the Company and Unique Building Corporation for the Company’s facility in Vernon Hills, Illinois, dated June 1, 1996.
10.10	(11)	Amendment to the lease between the Company and Unique Building Corporation for the Company’s facility in Vernon Hills, Illinois, dated June 2, 1996.
10.11	(12)	Amendment to the lease between the Company and Unique Building Corporation for the Company’s facility in Vernon Hills, Illinois, dated as of July 1, 1999.
10.12	(13)	2002 Non-Employee Director Stock Option Plan. +
10.13	(13)	Amendment No. 1 to 2002 Non-Employee Director Stock Option Plan. +
10.14	(15)	Non-Qualified Stock Option Agreement between the Company and Anders Gustafsson dated September 4, 2007. +
10.15	(17)	Employment Agreement between the Company and Hugh Gagnier dated December 12, 2007. +
10.16	(14)	Amendment No. 1 to Employment Agreement between the Company and Hugh Gagnier dated December 30, 2008. +
10.17	(32)	Employment Agreement between the Company and Michael H. Terzich dated November 16, 2007. +
10.18	(32)	Employment Agreement between the Company and Todd Naughton dated November 16, 2007. +
10.19	(16)	Employment Agreement between the Company and Phil Gerskovich dated November 16, 2007. +
10.20	(28)	Employment Agreement between Michael C. Smiley and the Company dated May 1, 2008. +
10.21	(14)	Form of Amendment No. 1 to Employment Agreement by and between the Company and each executive officer other than Messrs. Gustafsson and Gagnier, each dated December 30, 2008.+
10.22	(8)	Form of Stock Option Agreement under the 1997 Stock Option Plan for awards granted prior to February 6, 2006. +
10.23	(13)	Form of Stock Option Agreement under the 2002 Non-Employee Director Stock Option Plan for awards granted prior to February 6, 2006. +
10.24	(31)	Form of Amendment to outstanding Stock Option Agreements under the 2002 Non-Employee Director Stock Option Plan. +
10.25	(18)	Form of Stock Option Agreement under the 1997 Stock Option Plan for awards granted on or after February 6, 2006. +
10.26	(18)	Form of Stock Option Agreement under the 2002 Non-Employee Director Stock Option Plan for awards granted on or after February 6, 2006. +
10.27	(20)	Form of Stock Option Agreement under the 2006 Incentive Compensation Plan for awards granted prior to April 25, 2007. +
10.28	(21)	Form of Stock Option Agreement under the 2006 Incentive Compensation Plan for awards granted to executive officers on or after April 25, 2007 and prior to December 2, 2008. +
10.29	(25)	Form of indemnification agreement between Zebra Technologies Corporation and each director and executive officer. +
10.30	(29)	Form of Director Stock Option Agreement (1-Year Vesting) under the 2006 Incentive Compensation Plan for awards granted to directors on or after May 22, 2008 and prior to December 2, 2008. +
10.31	(29)	Form of Director Stock Option Agreement (4-Year Vesting) under the 2006 Incentive Compensation Plan for awards granted to directors on or after May 22, 2008 and prior to December 2, 2008. +
10.32	(31)	Form of Director Stock Option Agreement (1-Year Vesting) under the 2006 Incentive Compensation Plan for awards granted to directors on or after December 2, 2008. +
10.33	(31)	Form of Director Stock Option Agreement (4-Year Vesting) under the 2006 Incentive Compensation Plan for awards granted to directors on or after December 2, 2008. +
10.34	(31)	Amendment to outstanding Stock Option Agreements under the 2006 Incentive Compensation Plan, dated December 2, 2008. +
10.35	(31)	Form of Stock Option Agreement under the 2006 Incentive Compensation Plan for awards granted to executive officers on or after December 2, 2008. +

10.36	(26)	WhereNet Corp. 1997 Stock Option Plan. +
10.37	(26)	First Amendment to the WhereNet Corp. 1997 Option Plan. +
10.38	(27)	Manufacturing Services Agreement between Jabil Circuit, Inc. and the Company dated May 30, 2007 (portions of this exhibit have been omitted and have been filed separately with the Commission pursuant to a request for confidential treatment.)
10.39	(1)	Amendment to Manufacturing Services Agreement between Jabil Circuit, Inc. and Zebra Technologies Corporation dated May 30, 2007.
10.40	(30)	J.P. Morgan Credit Agreement dated as of October 12, 2012.
10.41	(23)	2006 Incentive Compensation Plan. +
10.42	(31)	Amendment to the 2006 Incentive Compensation Plan dated December 2, 2008. +
10.43	(24)	2011 Long-Term Incentive Plan. +
10.44	(24)	2011 Short-Term Incentive Plan. +
10.45	(27)	2005 Executive Deferred Compensation Plan, as amended. +
10.46	(22)	Form of Amendment to Employment Agreement between Zebra Technologies Corporation and executive officers. +
10.47	(25)	Amended and Restated Employment Agreement between Zebra Technologies Corporation and Anders Gustafsson dated as of May 6, 2010. +
10.48	(25)	Letter Agreement between Zebra Technologies Corporation and Anders Gustafsson dated as of May 6, 2010. +
10.49	(25)	Form of 2010 - 2011 time-vested stock appreciation rights agreement for employees other than CEO. +
10.50	(25)	Form of 2010 - 2011 time-vested restricted stock agreement for employees other than CEO. +
10.51	(25)	Form of 2010 - 2011 performance-based restricted stock agreement for employees other than CEO. +
10.52	(25)	Form of 2010 time-vested stock appreciation rights agreement for CEO. +
10.53	(25)	Form of 2010 time-vested restricted stock agreement for CEO. +
10.54	(25)	Form of 2010 – 2011 performance-based restricted stock agreement for CEO. +
10.55	(25)	Form of 2009 time-vested stock appreciation rights agreement for non-employee directors. +
10.56	(25)	Form of 2010 time-vested stock appreciation rights agreement for non-employee directors. +
10.57	(33)	Form of 2011 time-vested stock appreciation rights agreement for CEO. +
10.58	(33)	Form of 2011 time-vested restricted stock agreement for CEO. +
10.59	(3)	Form of 2011 time-vested stock appreciation rights agreement for non-employee directors. +
10.60	(34)	Form of 2012-13 time-vested stock appreciation rights agreement for employees other than CEO. +
10.61	(34)	Form of 2012-13 time-vested restricted stock agreement for employees other than CEO. +
10.62	(34)	Form of 2012-13 performance-based restricted stock agreement for employees other than CEO. +
10.63	(34)	Form of 2012-13 time-vested stock appreciation rights agreement for CEO. +
10.64	(34)	Form of 2012-13 time-vested restricted stock agreement for CEO. +
10.65	(34)	Form of 2012-13 performance-based restricted stock agreement for CEO. +
10.66	(34)	Form of 2012-13 stock appreciation rights agreement for non-employee directors. +
21.1		Subsidiaries of the Company.
23.1		Consent of Ernst & Young LLP, independent registered public accounting firm.
31.1		Certification pursuant to Rule 13a-14(a)/15d-14(a).
31.2		Certification pursuant to Rule 13a-14(a)/15d-14(a).
32.1		Certification Pursuant to 18 U.S.C Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
32.2		Certification Pursuant to 18 U.S.C Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
101		The following financial information from Zebra Technologies Corporation Annual Report on Form 10-K, for the year ended December 31, 2013, formatted in XBRL (Extensible Business Reporting Language): (i) the consolidated balance sheets; (ii) the consolidated statements of earnings (loss); (iii) the consolidated statements of comprehensive income (loss); (iv) the consolidated statements of stockholders equity; (v) the consolidated statements of cash flows; and (vi) notes to consolidated financial statements.

(1	)	Incorporated by reference from Annual Report on Form 10-K for the year ended December 31, 2010.
(2	)	Incorporated by reference from Form 10-K for fiscal year ended December 31, 2006.
(3	)	Incorporated by reference from Current Report on Form 8-K dated May 19, 2011.
(4	)	Incorporated by reference from Quarterly Report on Form 10-Q for the quarter ended October 3, 2009.
(5	)	Incorporated by reference from Registration Statement on Form S-1, File No. 33-41576.
(6	)	Incorporated by reference from Current Report on Form 8-K dated August 1, 2012.
(7	)	Incorporated by reference from Form 10-K for the fiscal year ended December 31, 1997.
(8	)	Incorporated by reference from Registration Statement on Form S-8, File No. 333-63009.
(9	)	Incorporated by reference from Registration Statement on Form S-8, File No. 333-84512.
(10	)	Incorporated by reference from Quarterly Report on Form 10-Q for the quarter ended September 28, 2002.

(11	)	Incorporated by reference from Form 10-K for the fiscal year ended December 31, 1996.
(12	)	Incorporated by reference from Quarterly Report on Form 10-Q for the quarter ended April 1, 2000.
(13	)	Incorporated by reference from Quarterly Report on Form 10-Q for the quarter ended June 29, 2002.
(14	)	Incorporated by reference from Current Report on Form 8-K dated January 5, 2009.
(15	)	Incorporated by reference from Current Report on Form 8-K dated on September 4, 2007.
(16	)	Incorporated by reference from Current Report on Form 8-K filed on November 21, 2007.
(17	)	Incorporated by reference from Current Report on Form 8-K filed on December 17, 2007.
(18	)	Incorporated by reference from Current Report on Form 8-K filed on February 10, 2006.
(20	)	Incorporated by reference from Current Report on Form 8-K filed on October 26, 2006.
(21	)	Incorporated by reference from Current Report on Form 8-K filed on May 1, 2007.
(22	)	Incorporated by reference from Quarterly Report on Form 10-Q for the quarter ended October 2, 2010.
(23	)	Incorporated by reference from Current Report on Form 8-K filed on May 15, 2006.
(24	)	Incorporated by reference from Proxy Statement dated April 15, 2011 for the 2011 Annual Meeting of Stockholders.
(25	)	Incorporated by reference from Quarterly Report on Form 10-Q for the quarter ended April 3, 2010.
(26	)	Incorporated by reference from Registration Statement on Form S-8 filed on January 25, 2007, File No. 333-140207.
(27	)	Incorporated by reference from Quarterly Report on Form 10-Q for the quarter ended March 29, 2008.
(28	)	Incorporated by reference from Current Report on Form 8-K filed on May 7, 2008.
(29	)	Incorporated by reference from Current Report on Form 8-K filed on May 29, 2008.
(30	)	Incorporated by reference from Quarterly Report on Form 10-Q for the quarter ended September 29, 2012.
(31	)	Incorporated by reference from Current Report on Form 8-K filed on December 8, 2008.
(32	)	Incorporated by reference from Form 10-K for fiscal year ended December 31, 2008.
(33	)	Incorporated by reference from Quarterly Report on Form 10-Q for the quarter ended April 2, 2011.
(34	)	Incorporated by reference from Quarterly Report on Form 10-Q for the quarter ended June 30, 2012.
(35	)	Incorporated by reference from Current Report on Form 8-K dated January 7, 2013.
+		Management contract or compensatory plan or arrangement required to be filed as an exhibit to this Annual Report on Form 10-K.

EX-21.1

Exhibit 21.1

Subsidiaries of Registrant

Zebra Technologies Corporation, a Delaware corporation (NASDAQ listing: ZBRA)

Genuine Zebra Technologies Trading (Shanghai) Co., Ltd. - a PRC limited liability company

Hart Systems, LLC - a Delaware limited liability company

Laser Band LLC - a Missouri limited liability company

Multispectral Solutions, Inc. - a Delaware corporation

StepOne Systems, LLC – a Pennsylvania limited liability company

Zebra Diamond Holdings Limited, a UK private limited company

Zebra Enterprise Solutions B.V.B.A. (fka WhereNet Europe) - a Belgian limited liability company

Zebra Enterprise Solutions Corp. – (fka WhereNet Corp) a California corporation

Zebra Hart, Inc, - a Delaware corporation

Zebra Hart Holdings, LLC – a Delaware limited liability company

Zebra Jersey Holdings I Limited – a Jersey private limited liability company

Zebra Jersey Holdings II Limited – a Jersey private limited liability company

Zebra Luxco I S.a.r.l. – a Luxembourg private limited liability company

Zebra Luxco II S.a.r.l. – a Luxembourg private limited liability company

Zebra Retail Solutions, LLC – a Delaware limited liability company

Zebra Technical Services (Guangzhou) Co., Ltd. - a PRC limited liability company

Zebra Technologies (Thailand) Ltd. – a Bangkok company (ZT Thailand LLC, ZIH and ZTAP Pte owners)

Zebra Technologies AB - a Swedish corporation

Zebra Technologies Argentina, LLC – a Delaware limited liability company

Zebra Technologies Asia Holding Limited - a Mauritius company

Zebra Technologies Asia Pacific Pte. Ltd. - a Singapore limited liability company

Zebra Technologies Asia Pacific, LLC - a Delaware limited liability company

Zebra Technologies Australia Pty Ltd – a Victoria corporation

Zebra Technologies B.V. - a Netherlands limited liability company

Zebra Technologies Brazil, LLC - a Delaware limited liability company

Zebra Technologies Colombia S.A.S. – a Colombia limited liability company

Zebra Technologies Columbia, LLC – a Delaware limited liability company

Zebra Technologies de México, S. de R.L. de C.V. - a Mexican limited liability company (w/ ZIH Corp)

Zebra Technologies do Brasil – Comércio de Produtos de Informática Ltda. - a Brazilian limited liability company

Zebra Technologies Europe Limited - a private UK company limited by shares

Zebra Technologies India LLC, a Delaware limited liability company

Zebra Technologies India Ltd, a Indian limited liability company

Zebra Technologies International, LLC - an Illinois limited liability company

Zebra Technologies Latin America, LLC - a Delaware limited liability company

Zebra Technologies Malaysia Sdn. Bhd, - a Malaysian company

Zebra Technologies Mexico, LLC - a Delaware limited liability company

Zebra Technologies Sp. Zoo - a Polish corporation

Zebra Technologies Thailand LLC, a Delaware limited liability company

ZIH Corp. - a Delaware corporation

EX-23.1

Exhibit 23.1

Consent of Independent Registered Public Accounting Firm

We consent to the incorporation by reference in the registration statements on Form S-8 (333-63009, 333-84512, 333-102050, 333-135179, 333-140207 and 333-174616) of Zebra Technologies Corporation of our reports dated February 20, 2014, with respect to the consolidated financial statements and schedule listed at Item 15, of Zebra Technologies Corporation and the effectiveness of internal control over financial reporting of Zebra Technologies Corporation, included in this Annual Report (Form 10-K) for the year ended December 31, 2013.

/s/ Ernst & Young LLP

Chicago, Illinois

February 20, 2014

EX-31.1

Exhibit 31.1

CERTIFICATION

I, Anders Gustafsson, certify that:

1. I have reviewed this report on Form 10-K of Zebra Technologies Corporation (the “Company”);

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 the internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and we 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 effect, 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: February 20, 2014	By:	/s/ Anders Gustafsson
		Anders Gustafsson
		Chief Executive Officer

EX-31.2

Exhibit 31.2

CERTIFICATION

I, Michael C. Smiley, certify that:

1. I have reviewed this report on Form 10-K of Zebra Technologies Corporation (the “Company”);

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 the internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and we 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 effect, 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: February 20, 2014	By:	/s/ Michael C. Smiley
		Michael C. Smiley
		Chief Financial Officer

EX-32.1

Exhibit 32.1

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Annual Report of Zebra Technologies Corporation (the “Company”) on Form 10-K for the period that ended December 31, 2013, as filed with the Securities and Exchange Commission on the date hereof, I, Anders Gustafsson, Chief Executive Officer of the Company, certify, pursuant to 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes-Oxley Act of 2002, that:

1. The report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: February 20, 2014	By:	/s/ Anders Gustafsson
		Anders Gustafsson
		Chief Executive Officer

EX-32.2

Exhibit 32.2

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Annual Report of Zebra Technologies Corporation (the “Company”) on Form 10-K for the period that ended December 31, 2013, as filed with the Securities and Exchange Commission on the date hereof, I, Michael C. Smiley, Chief Financial Officer of the Company, certify, pursuant to 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes-Oxley Act of 2002, that:

1. The report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: February 20, 2014	By:	/s/ Michael C. Smiley
		Michael C. Smiley
		Chief Financial Officer

XML

Property and Equipment (Tables)

12 Months Ended

Dec. 31, 2013

Property Plant And Equipment [Abstract]

Components of Property and Equipment

Property and equipment, which includes assets under capital leases, is comprised of the following (in thousands):

	As of
	December 31, 2013		December 31, 2012
Buildings	$	4,613	$	2,134
Land		504		504
Machinery, equipment and tooling		110,728		88,222
Furniture and office equipment		13,448		12,672
Computers and software		139,723		130,357
Automobiles		18		18
Leasehold improvements		17,880		16,380
Projects in progress – computers and software		2,079		2,217
Projects in progress - other		6,675		15,561
		295,668		268,065
Less accumulated depreciation and amortization		(186,080)		(166,716)
Net property and equipment	$	109,588	$	101,349

Other Items Related to Property and Equipment

Other items related to property and equipment are as follows (in thousands):

	As of December 31,
	2013		2012
Unamortized computer software costs	$	43,317	$	48,873

Depreciation and Amortization Related to Property and Equipment

	Year Ended December 31,
	2013		2012		2011
Amortization of capitalized software	$	8,688	$	7,912	$	6,180
Total depreciation expense charged to income		24,727		21,504		20,680

XML

Income Taxes - Summary of Deferred Tax Asset Valuation Allowances (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Income Tax Disclosure [Abstract]
Balance at the beginning of the year	$ 267	$ 267	$ 267
Additions	0	0	0
Subtractions	0	0	0
Balance at the end of the period	$ 267	$ 267	$ 267

XML

Quarterly Results of Operations (unaudited) (Tables)

12 Months Ended

Dec. 31, 2013

Quarterly Financial Information Disclosure [Abstract]

Schedule of Quarterly Financial Information

	2013
	First Quarter			Second Quarter			Third Quarter			Fourth Quarter
Net Sales
Net sales of tangible products	$	225,121		$	239,909		$	249,919		$	269,583
Revenue from services and software		11,816			13,251			13,604			14,956
Total net sales		236,937			253,160			263,523			284,539
Cost of Sales
Cost of sales of tangible products		117,111			125,664			128,191			136,547
Cost of sales services and software		6,761			6,589			6,722			6,964
Cost of sales		123,872			132,253			134,913			143,511
Gross Profit		113,065			120,907			128,610			141,028
Operating expenses:
Selling and marketing		33,515			33,830			34,395			36,280
Research and development		21,858			23,201			22,376			23,712
General and administrative		25,277			24,053			22,452			24,434
Amortization of intangible assets		1,863			1,863			1,831			1,826
Acquisition costs		482			618			268			3,322
Exit and restructuring costs		1,895			1,101			519			2,375
Total operating expenses		84,890			84,666			81,841			91,949
Operating income		28,175			36,241			46,769			49,079
Other income (loss)
Investment income		677			473			550			666
Foreign exchange loss		(98	)		(462	)		(173	)		209
Other, net		10			1,464			(5	)		252
Total other income		589			1,475			372			1,127
Income from continuing operations before income taxes		28,764			37,716			47,141			50,206
Income taxes		5,222			7,158			8,541			8,681
Income from continuing operations		23,542			30,558			38,600			41,525
Income from discontinued operations, net of tax		0			8			0			125
Net income	$	23,542		$	30,566		$	38,600		$	41,650
Basic earnings per share:
Income from continuing operations	$	0.46		$	0.60		$	0.76		$	0.83
Income from discontinued operations		0.00			0.00			0.00			0.00
Net Income	$	0.46		$	0.60		$	0.76		$	0.83
Diluted earnings per share:
Income from continuing operations	$	0.46		$	0.60		$	0.76		$	0.82
Income from discontinued operations		0.00			0.00			0.00			0.00
Net Income	$	0.46		$	0.60		$	0.76		$	0.82
Basic weighted average shares outstanding		50,980			50,990			50,590			50,289
Diluted weighted average and equivalent shares outstanding		51,366			51,283			50,924			50,666

	2012
	First Quarter			Second Quarter			Third Quarter			Fourth Quarter
Net Sales
Net sales of tangible products	$	232,476		$	234,708		$	239,786		$	241,257
Revenue from services and software		11,399			12,369			12,251			11,922
Total net sales		243,875			247,077			252,037			253,179
Cost of Sales
Cost of sales of tangible products		119,033			119,980			118,751			121,869
Cost of sales services and software		4,959			6,720			6,362			6,850
Cost of sales		123,992			126,700			125,113			128,719
Gross Profit		119,883			120,377			126,924			124,460
Operating expenses:
Selling and marketing		32,114			32,158			32,321			33,313
Research and development		20,416			22,336			22,007			22,605
General and administrative		24,320			24,402			22,481			20,964
Amortization of intangible assets		770			770			1,670			1,463
Acquisition costs		254			1,252			566			1,037
Exit and restructuring costs		0			0			0			960
Asset impairment charge		0			0			9,114			0
Total operating expenses		77,874			80,918			88,159			80,342
Operating income		42,009			39,459			38,765			44,118
Other income (loss)
Investment income		592			826			541			526
Foreign exchange loss		(342	)		(80	)		(514	)		(5)
Other, net		(364	)		(486	)		(294	)		(577)
Total other income (loss)		(114	)		260			(267	)		(56)
Income from continuing operations before income taxes		41,895			39,719			38,498			44,062
Income taxes		11,731			9,366			11,917			9,263
Income from continuing operations		30,164			30,353			26,581			34,799
Income from discontinued operations, net of tax		0			300			516			191
Net income	$	30,164		$	30,653		$	27,097		$	34,990
Basic earnings per share:
Income from continuing operations	$	0.58		$	0.58		$	0.52		$	0.69
Income from discontinued operations		0.00			0.01			0.01			0.00
Net Income	$	0.58		$	0.59		$	0.53		$	0.69
Diluted earnings per share:
Income from continuing operations	$	0.58		$	0.58		$	0.51		$	0.68
Income from discontinued operations		0.00			0.01			0.01			0.00
Net Income	$	0.58		$	0.59		$	0.52		$	0.68
Basic weighted average shares outstanding		51,998			51,771			51,566			50,968
Diluted weighted average and equivalent shares outstanding		52,301			52,030			51,809			51,262

XML

Equity-Based Compensation (Tables)

12 Months Ended

Dec. 31, 2013

Shares of Time-Vested Restricted Stock Granted and Vesting Schedules of Restricted Stock Awards

The following table shows the number of shares of time-vested restricted stock granted in 2013 and the vesting schedules of the restricted stock awards that were granted under the Plan to certain executive officers and other members of management.

Vesting period	RSA’s		PSA’s		Total
At grant		18,095		112,028		130,123
After three years of service		149,420		75,766		225,186
Total		167,515		187,794		355,309

Weighted-Average Assumptions Used for Grants of Stock Options and SARs

The following table shows the weighted-average assumptions used for grants of SARs as well as the fair value of the grants based on those assumptions:

	2013	2012	2011
Expected dividend yield	0%	0%	0%
Forfeiture rate	10.31%	10.21%	11.50%
Volatility	32.00%	35.90%	35.33%
Risk free interest rate	.82%	.94%	2.01%
- Range of interest rates	0.02% - 1.78%	0.07% - 1.95%	0.01% - 3.18%
Expected weighted-average life	5.42 years	5.48 years	5.42 years
Fair value of SARs granted	$4,528,000	$5,533,000	$5,495,000
Weighted-average grant date fair value of options and SARs granted     (per underlying share)	$13.86	$12.84	$14.29

Summary of Stock Option Activity

Stock option activity for the years ended December 31, 2013, 2012, and 2011, was as follows:

	2013					2012					2011
Options	Shares			Weighted- Average Exercise Price		Shares			Weighted- Average Exercise Price		Shares			Weighted- Average Exercise Price
Outstanding at beginning of year		1,531,844		$	41.69		1,702,650		$	40.43		2,340,959		$	37.35
Granted		0			0		0			0		0			0
Exercised		(543,922	)		39.54		(148,802	)		27.02		(490,715	)		26.63
Forfeited		0			0		(1,663	)		36.36		(63,714	)		32.29
Expired		(32,145	)		45.81		(20,341	)		43.63		(83,880	)		40.76
Outstanding at end of year		955,777		$	42.78		1,531,844		$	41.69		1,702,650		$	40.43
Exercisable at end of year		955,777		$	42.78		1,527,814		$	41.75		1,589,096		$	40.84
Intrinsic value of exercised options	$	4,300,000				$	1,700,000				$	6,400,000

Summary of Outstanding and Exercisable Options

The following table summarizes information about stock options outstanding at December 31, 2013:

	Outstanding	Exercisable
Aggregate intrinsic value	$    4,201,000	$    4,201,000
Weighted-average remaining contractual term	2.5 years	2.5 years

Summary of SAR Activity

SAR activity for the years ended December 31, 2013, 2012, and 2011, was as follows:

	2013					2012					2011
SARs	Shares			Weighted- Average Exercise Price		Shares			Weighted- Average Exercise Price		Shares			Weighted- Average Exercise Price
Outstanding at beginning of year		1,535,804			$ 31.66		1,287,724			$ 28.91		1,234,787			$ 23.82
Granted		326,811			46.13		431,040			38.51		387,847			41.14
Exercised		(376,673	)		25.44		(102,972	)		23.83		(95,672	)		22.20
Forfeited		(80,515	)		37.54		(75,978	)		34.10		(238,965	)		25.15
Expired		(2,643	)		33.70		(4,010	)		41.57		(273	)		19.56
Outstanding at end of year		1,402,784			$ 36.36		1,535,804			$ 31.66		1,287,724			$ 28.91
Exercisable at end of year		520,426			$ 30.51		514,787			$ 26.52		305,228			$ 23.27
Intrinsic value of exercised SARs		$ 7,900,000					$ 1,500,000					$ 1,700,000

Summary of Restricted Stock Award Activity

Restricted stock award activity, granted under the 2011 and 2006 Plans, for the years ended December 31, 2013, 2012 and 2011 was as follows:

	2013					2012					2011
Restricted Stock Awards	Shares			Weighted-Average Grant Date Fair Value		Shares			Weighted-Average Grant Date Fair Value		Shares			Weighted-Average Grant Date Fair Value
Outstanding at beginning of year		444,362			$ 35.43		529,880			$ 28.20		594,090			$ 25.51
Granted		167,515			46.17		169,081			38.45		152,636			41.17
Released		(161,976	)		31.28		(235,580	)		21.39		(197,472	)		30.08
Forfeited		(14,524	)		40.79		(19,019	)		34.90		(19,374	)		29.08
Outstanding at end of year		435,377			$ 40.92		444,362			$ 35.43		529,880			$ 28.20

Summary of Performance Share Award Activity

Performance share award activity, granted under the 2011 and 2006 Plans, for the years ended December 31, 2013, 2012 and 2011 was as follows:

	2013					2012					2011
Performance Share Awards	Shares			Weighted-Average Grant Date Fair Value		Shares			Weighted-Average Grant Date Fair Value		Shares			Weighted-Average Grant Date Fair Value
Outstanding at beginning of year		265,829			$ 35.55		306,261			$ 28.58		250,596			$ 25.35
Granted		187,794			35.17		72,470			38.68		62,874			41.47
Released		(253,484	)		27.90		(1,802	)		41.57		(7,209	)		28.79
Forfeited		(4,980	)		41.46		(111,100	)		23.06		0			0.0
Outstanding at end of year		195,159			$ 42.25		265,829			$ 35.55		306,261			$ 28.58

Weighted-Average Assumptions Used for Employee Purchase Rights Granted Under Stock Purchase Plan

The fair value of the purchase rights issued to Zebra employees under the stock purchase plan is estimated using the following weighted-average assumptions for purchase rights granted. Expected lives of three months to one year have been used along with these assumptions.

	2013		2012		2011
Fair market value	$	42.45	$	35.43	$	34.77
Option price	$	40.33	$	33.66	$	33.03
Expected dividend yield		0%		0%		0%
Expected volatility		19%		21%		33%
Risk free interest rate		0.05%		0.07%		0.07%

Stock Appreciation Rights (SARs) [Member]

Summary of Outstanding and Exercisable Options

The following table summarizes information about SARs outstanding at December 31, 2013:

	Outstanding	Exercisable
Aggregate intrinsic value	$    14,144,000	$    8,282,000
Weighted-average remaining contractual term	7.6 years	6.6 years

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Discontinued Operations - Summary Results for Discontinued Operations in Consolidated Statement of Earnings (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Discontinued Operations And Disposal Groups [Abstract]
Net sales	$ 0	$ 0	$ 13,945
Loss from discontinued operations	7	(141)	(13,971)
Income tax benefit (expense)	(75)	218	1,299
Gain on sale of discontinued operations	201	930	68,745
Income tax expense on sale	0	0	(11,773)
Income from discontinued operations	$ 133	$ 1,007	$ 44,300

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Accounts Receivable - Components of Accounts Receivable (Detail) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Receivables [Abstract]
Gross accounts receivable	$ 177,370	$ 169,401
Accounts receivable reserves	(453)	(669)
Accounts receivable, net	$ 176,917	$ 168,732

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Business Combinations - Summary of Estimated Fair Value of Assets and Liabilities (Detail) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2013 Hart Systems LLC [Member]	Jul. 13, 2012 Laserband LLC [Member]
Business Acquisition [Line Items]
Current assets	$ 2,600	$ 7,017
Property and equipment	11,134	46
Other assets		17
Goodwill	60,858	24,353
Other intangibles	37,200	29,560
Total assets acquired	111,792	60,993
Current liabilities	2,285	1,119
Long term liabilities	13,838
Net assets acquired	$ 95,669	$ 59,874

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Discontinued Operations (Tables)

12 Months Ended

Dec. 31, 2013

Discontinued Operations And Disposal Groups [Abstract]

Summary Results for Discontinued Operations in Consolidated Statement of Earnings

Summary results for discontinued operations in our consolidated statement of earnings are as follows (in thousands):

	Year Ended December 31
	2013		2012		2011
Net sales	$	0	$	0	$	13,945
Loss from discontinued operations	$	7	$	(141)	$	(13,971)
Income tax benefit (expense)		(75)		218		1,299
Gain on sale of discontinued operations		201		930		68,745
Income tax expense on sale		0		0		(11,773)
Income from discontinued operations	$	133	$	1,007	$	44,300

Components of Cash Flows of Discontinued Operations

The components of cash flows of discontinued operations in our consolidated statement of cash flows are as follows (in thousands):

	Year Ended December  31
	2013		2012		2011
Cash flows from discontinued operations:
Net cash (used) by operating activities	$	0	$	0	$	(1,301)
Net cash provided by (used in) by investing activities		0		0		0
Net cash provided by (used in) by financing activities		0		0		0
Effect of exchange rate changes on cash		0		0		0
Net decrease in cash and cash equivalents		0		0		(1,301)
Cash and cash equivalents at beginning of period		0		0		1,301
Cash and cash equivalents at end of period	$	0	$	0	$	0

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Other Assets - Components of Other Assets (Detail) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Statement Of Financial Position [Abstract]
Money market investments related to the deferred compensation plan	$ 4,827	$ 3,553
Long-term investments	21,242	9,195
Other long-term assets	1,522	0
Deposits	1,174	898
Total	$ 28,765	$ 13,646

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Equity-Based Compensation - Weighted-Average Assumptions Used for Employee Purchase Rights Granted Under Stock Purchase Plan (Detail) (USD $)	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected dividend yield	0.00%	0.00%	0.00%
Stock Purchase Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Fair market value	$ 42.45	$ 35.43	$ 34.77
Option price	$ 40.33	$ 33.66	$ 33.03
Expected dividend yield	0.00%	0.00%	0.00%
Expected volatility	19.00%	21.00%	33.00%
Risk free interest rate	0.05%	0.07%	0.07%

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Stockholders' Equity (Tables)

12 Months Ended

Dec. 31, 2013

Equity [Abstract]

Share Count and Par Value Data Related to Stockholders' Equity

Share count and par value data related to stockholders’ equity are as follows:

	As of
	December 31,     2013		December 31,     2012
Preferred Stock
Par value per share	$	0.01	$	0.01
Shares authorized		10,000,000		10,000,000
Shares outstanding		0		0
Common Stock—Class A
Par value per share	$	0.01	$	0.01
Shares authorized		150,000,000		150,000,000
Shares issued		72,151,857		72,151,857
Shares outstanding		50,349,546		50,908,267
Treasury stock
Shares held		21,802,311		21,243,590

Roll forward of Class A Common Shares Outstanding

A roll forward of Class A common shares outstanding is as follows:

	Year Ended December 31,
	2013		2012
Balance at the beginning of the year		50,908,267		52,095,166
Repurchases		(1,356,861)		(1,473,863)
Stock options, rights and ESPP issuances		739,148		246,625
Restricted share issuances		241,851		242,238
Restricted share forfeitures		(165,610)		(130,119)
Shares withheld for tax obligations		(17,249)		(71,780)
Balance at the end of the period		50,349,546		50,908,267

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Summary of Significant Accounting Policies (Policies)

12 Months Ended

Dec. 31, 2013

Accounting Policies [Abstract]

Principles of Consolidation

Principles of Consolidation. These consolidated financial statements were prepared on a consolidated basis to include the accounts of Zebra and its wholly owned subsidiaries. All significant intercompany accounts, transactions and unrealized profit were eliminated in consolidation.

Fiscal Calendar

Fiscal Calendar. Zebra operates on a 4 week/4 week/5 week fiscal quarter, and each fiscal quarter ends on a Saturday. The fiscal year always begins on January 1 and ends on December 31. This fiscal calendar results in some fiscal quarters being either greater than or less than 13 weeks, depending on the days of the week those dates fall. During the 2013 fiscal year, our quarter end dates were as follows:

• March 30,

• June 29,

• September 28, and

• December 31.

Use of Estimates

Use of Estimates. These consolidated financial statements were prepared using estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Cash and Cash Equivalents

Cash and Cash Equivalents. Cash consists primarily of deposits with banks. In addition, Zebra considers highly liquid short-term investments with original maturities of less than three months to be cash equivalents. These highly liquid short-term investments are readily convertible to known amounts of cash and are so near their maturity that they present insignificant risk of a change in value because of changes in interest rates.

Investments and Marketable Securities

Investments and Marketable Securities. Investments and marketable securities at December 31, 2013, consisted of U.S. government and agency securities, obligations of government-sponsored enterprises, state and municipal bonds, corporate bonds, and other security interests. Trading securities are bought and held principally for the purpose of selling them in the near term. Held-to-maturity securities are those debt securities that Zebra has the ability and intent to hold until maturity. All securities not included in trading or held-to-maturity are classified as available-for-sale. Trading and available-for-sale securities are recorded at fair value. Held-to-maturity securities are recorded at amortized cost, adjusted for the amortization or accretion of discounts or premiums. Unrealized holding gains and losses on trading securities are included in earnings. Unrealized holding gains and losses, net of the related tax effect, on available-for-sale securities are excluded from earnings and are reported as a separate component of stockholders’ equity until realized, unless we determine them to be other-than-temporarily impaired.

Zebra’s investments and marketable securities are classified as available-for-sale securities except for securities held in Zebra’s deferred compensation plan which are considered trading securities. Investments in marketable debt securities are classified based on intent and ability to sell investment securities. Zebra’s available-for-sale securities are used to fund further acquisitions and other operating needs and therefore can be sold prior to maturity. Investments in marketable debt securities for which Zebra intends to sell within the next year are classified as current and those that we intend to hold in excess of one-year are classified as non-current.

Accounts Receivable and Allowance for Doubtful Accounts

Accounts Receivable and Allowance for Doubtful Accounts. Accounts receivable consist primarily of amounts due to us from our normal business activities. Collateral on trade accounts receivable is generally not required. Zebra maintains an allowance for doubtful accounts for estimated uncollectible accounts receivable. The allowance is based on our assessment of known delinquent accounts. Accounts are written off against the allowance account when they are determined to be no longer collectible.

Inventories

Inventories. Inventories are stated at the lower of cost or market, and cost is determined by the first-in, first-out (FIFO) method. Manufactured inventories consist of the following costs: component, direct labor and manufacturing overhead. Purchased inventories consist of purchased costs and purchasing overhead.

Property and Equipment

Property and Equipment. Property and equipment is stated at cost. Depreciation and amortization is computed primarily using the straight-line method over the estimated useful lives of the various classes of property and equipment, which are 30 years for buildings and range from 3 to 10 years for other property. Leasehold improvements are amortized using the straight-line method over the shorter of the lease term or estimated useful life of the asset.

Income Taxes

Income Taxes. Zebra’s continuing practice is to recognize interest and penalties related to income tax matters as part of income tax expense.

Goodwill and Other Intangibles

Goodwill and Other Intangibles. Goodwill represents the unamortized excess of the cost of acquiring a business over the fair values of the net assets received at the date of acquisition.

We test the impairment of goodwill each year as of the end of May or whenever events or changes in circumstances indicate that the carrying value may not be recoverable. We completed our annual qualitative assessment, in accordance with ASU 2011-08 Goodwill and Other (Topic 350), during June 2013 and determined that our goodwill was not impaired as of the end of May 2013.

Goodwill of a reporting unit is tested for impairment between annual tests if an event occurs or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying amount. Examples of such events or circumstances include:

• Significant adverse change in legal factors or in the business climate,

• Adverse action or assessment by a regulator,

• Unanticipated competition,

• Loss of key personnel,

• More-likely-than-not expectation that a reporting unit or a significant portion of a reporting unit will be sold or otherwise disposed of,

• Testing for recoverability of a significant asset group within a reporting unit,

• Allocation of a portion of goodwill to a business to be disposed of.

In accordance with ASU 2011-08, Zebra’s qualitative analysis determined that it is not more likely than not that the fair value of our goodwill is less than the carrying amount and therefore, performing the two-step impairment test was not necessary. If Zebra concluded otherwise, we would perform the first step of the two-step impairment test by calculating the fair value and comparing the fair value to the carrying amount. If the carrying amount exceeded the fair value, we would perform the second step of goodwill impairment test to determine the amount of impairment loss. The second step of the goodwill impairment test involves comparing the implied fair value of the affected reporting unit’s goodwill with the carrying value of that goodwill.

There have not been any significant changes to our impairment testing methodology other than updating the assumptions to reflect the current market environment. Zebra will monitor future results and will perform a test if indicators trigger an impairment review.

Other intangible assets capitalized consist primarily of current technology, customer relationships, patents and patent rights. These assets are recorded at cost and amortized on a straight-line basis over a weighted-average life of 6.5 years, which approximates the estimated useful lives. Weighted average lives remaining by intangible asset class are as follows: Current technology 3.7 years; Patent and patent rights 3.6 years; Customer relationships 9.8 years.

Revenue Recognition

Revenue Recognition. Revenue includes sales of hardware, supplies, software and services (including repair services, extended service contracts, and professional services). Product revenue is recognized once four criteria are met: (1) we have persuasive evidence that an arrangement exits; (2) delivery has occurred and title has passed to the customer, which happens at the point of shipment provided that no significant obligations remain; (3) the price is fixed and determinable; and (4) collectability is reasonably assured. We provide for an estimate of product returns based on historical experience. Revenue related to extended warranty and service contracts is recorded as deferred revenue and recognized over the life of the contract. Professional services revenue is recorded when performed. Zebra enters into sales transactions that include more than one product type. This bundle of products might include printers, current or future supplies, and services. When this type of transaction occurs, we allocate the purchase price to each product type based on the fair value of the individual products determined by vendor specific objective evidence. The revenue for each individual product is then recognized when the earning process for that product is complete. We enter into post-contract maintenance and support agreements. Revenues are recognized ratably over the service period and the cost of providing these services is expensed as incurred.

Zebra records payments to resellers of its product as reductions to revenue unless these payments meet the requirements for operating expense treatment under ASC 605. See the market development funds accounting policy for further details.

Revenue includes all customer billings for shipping and handling charges. The related costs of shipping and handling revenue are recorded as cost of goods sold.

Research and Development Costs

Research and Development Costs. Research and development costs are expensed as incurred. These costs include:

• Salaries, benefits, and other R&D personnel related costs,

• Consulting and other outside services used in the R&D process,

• Engineering supplies,

• Engineering related information systems costs, and

• Allocation of building and related costs.

Advertising

Advertising. Advertising is expensed as incurred. Advertising costs totaled $7,688,000 for the year ended December 31, 2013, $8,983,000 for the year ended December 31, 2012 and $8,070,000 for the year ended December 31, 2011

Market Development Funds

Market Development Funds. Zebra makes market development funds available to its resellers to support demand generation activity by the resellers. These funds require the reseller to provide specific services or benefits to Zebra and substantiate the fair value of such services rendered. Zebra reimburses resellers for agreed activities up to the amounts approved by Zebra. These payments are treated as marketing costs consistent with the requirements of ASC 605. Any payments to resellers that do not meet these requirements are recorded as reductions to revenue.

Warranty

Warranty. In general, Zebra provides warranty coverage of one year on printers against defects in material and workmanship. Thermal printheads are warranted for six months and batteries are warranted for one year. Battery-based products, such as location tags, are covered by a 90 day warranty. A provision for warranty expense is recorded at the time of sale and adjusted quarterly based on historical warranty experience. The following table is a summary of Zebra’s accrued warranty obligation (in thousands):

	Year Ended December 31,
Warranty Reserve	2013		2012		2011
Balance at the beginning of the year	$	4,252	$	4,613	$	4,554
Warranty expense		7,440		6,828		5,856
Warranty payments		(7,567)		(7,189)		(5,797)
Balance at the end of the period	$	4,125	$	4,252	$	4,613

Fair Value of Financial Instruments

Fair Value of Financial Instruments. Zebra estimates the fair value of its financial instruments as follows:

Instrument	Method for determining fair value
Cash, cash equivalents, restricted cash, accounts receivable and accounts payable	Cost, which approximates fair value due to the short-term nature of these instruments
Investments in marketable debt securities	Market quotes from independent pricing services
Investments in auction rate securities	Broker quotations, discounted cash flow analysis or other types of valuation adjustment methodologies
Foreign currency forward contracts	Estimated using market quoted rates for foreign currency at the balance sheet date
Foreign currency option contracts	Estimated using market quoted rates for foreign currency at the balance sheet date and application of such rates subject to the option terms

In accordance with ASC 815 we recognize derivative instruments and hedging activities as either assets or liabilities on the balance sheet and measure them at fair value. Gains and losses resulting from changes in fair value are accounted for depending on the use of the derivative and whether it is designated and qualifies for hedge accounting. See Note 11 for additional information on our derivatives and hedging activities.

Equity-Based Compensation

Equity-Based Compensation. At December 31, 2013, Zebra had a general equity-based compensation plan and a stock purchase plan under which shares of our common stock were available for future grants and sales, and which are described more fully in Note 16. We account for these plans in accordance with ASC 505 and ASC 718. Zebra recognizes compensation costs using the straight-line method over the vesting period upon grant of up to 5 years.

The compensation expense and the related income tax benefit for share-based payments were included in the Consolidated Statement of Earnings as follows (in thousands):

	For the years ended December 31,
Compensation costs and related income tax benefit:	2013		2012		2011
Cost of sales	$	871	$	1,061	$	1,029
Selling and marketing		2,100		1,792		1,463
Research and development		1,616		1,593		1,387
General and administration		8,522		10,281		9,228
Total compensation expense	$	13,109	$	14,727	$	13,107
Income tax benefit	$	4,531	$	5,132	$	4,522

ASC 505 and ASC 718 requires the cash flows resulting from the tax benefits from tax deductions in excess of the compensation cost recognized (excess tax benefits) to be classified as cash flows from financing activities. Cash flows resulting from the tax benefits of tax deductions in excess of the compensation cost recognized (excess tax benefits) are classified as financing cash flows in the statement of cash flows. The tax benefits classified as financing cash flows were $4,277,000 as of December 31, 2013, $1,578,000 as of December 31, 2012, and $1,392,000 as of December 31, 2011.

Deferred Compensation Plan

Deferred Compensation Plan. Zebra has a deferred compensation plan that permits directors, management and highly compensated employees to defer portions of their compensation. Zebra immediately pays deferred amounts into a Rabbi Trust, and plan participants select a method of investing these funds into hypothetical investments. Zebra tracks the performance of these hypothetical investments in order to determine the value of each participant’s deferral. Zebra accrues the deferred compensation liability in other long-term liabilities as the amount that is actually owed to the participants.

Foreign Currency Translation

Foreign Currency Translation. The consolidated balance sheets of Zebra’s foreign subsidiaries, not having a U.S. dollar functional currency, are translated into U.S. dollars using the year-end exchange rate, and statement of earnings items are translated using the average exchange rate for the year. The resulting translation gains or losses are recorded in stockholders’ equity as a cumulative translation adjustment, which is a component of accumulated other comprehensive income (loss).

Acquisition Costs

Acquisition Costs. Zebra expenses acquisition costs as incurred.

Concentration risks

Concentration risks. Final assembly of our products is performed by Jabil Circuit, a third-party electronics manufacturer. We are now dependent on Jabil for the manufacture of such printers. A failure by Jabil to provide manufacturing services to Zebra as Zebra now requires, or any disruption in such manufacturing services, may adversely affect Zebra’s business results. Because we rely on a third-party provider such as Jabil to manufacture its products, Zebra may incur increased business continuity risks.

Impairment of Long-Lived Assets and Long-Lived Assets to be Disposed of

Impairment of Long-Lived Assets and Long-Lived Assets to be Disposed of. Zebra accounts for long-lived assets in accordance with the provisions of ASC 350. The statement requires that long-lived assets and certain identifiable intangibles be reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to the sum of the undiscounted cash flows expected to result from the use and the eventual disposition of the asset. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell. See Note 8 for further information related to impairment charges.

Recently Issued Accounting Pronouncements

Recently Issued Accounting Pronouncements.

In February 2013, the FASB issued update 2013-02, ASC 220, Comprehensive Income: Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. This updated guidance sets requirements for presentation for significant items reclassified to net income in their entirety during the period and for items not reclassified to net income in their entirety during period. This standard is effective for annual and interim periods beginning after December 15, 2012. The adoption of this standard includes additional disclosures in the notes to the consolidated financial statements.

Subsequent events

Subsequent events. We have evaluated subsequent events and transactions for potential recognition or disclosure in the financial statements through the date the financial statements were issued.

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Other Assets - Additional Information (Detail) (USD $)	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012
Venture Capital Investments [Member]
Other Assets Non Current [Line Items]
Venture capital investment, business acquisitions	$ 12,021,000	$ 9,125,000
Minimum [Member]
Other Assets Non Current [Line Items]
Percentage of interest acquired	2.00%	4.70%
Maximum [Member]
Other Assets Non Current [Line Items]
Percentage of interest acquired	8.30%	19.70%

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Major Customers - Additional Information (Detail)	12 Months Ended
	Dec. 31, 2013
Segment Reporting [Abstract]
Percentage of total net sales	10.00%

XML

Property and Equipment - Other Items Related to Property and Equipment (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Property Plant And Equipment [Abstract]
Unamortized computer software costs	$ 43,317	$ 48,873
Amortization of capitalized software	8,688	7,912	6,180
Total depreciation expense charged to income	$ 24,727	$ 21,504	$ 20,680

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Savings and Profit Sharing Plans - Additional Information (Detail)	12 Months Ended
	Dec. 31, 2013
Savings And Investment Plan And Deferred Compensation [Line Items]
Qualified employees participation contribution, percentage of gross earnings	15.00%
100% Matching Contribution [Member]
Savings And Investment Plan And Deferred Compensation [Line Items]
Matching contribution rate by the employer	100.00%
Percentage of gross eligible earnings for matching contribution	2.00%
50% Matching Contribution [Member]
Savings And Investment Plan And Deferred Compensation [Line Items]
Matching contribution rate by the employer	50.00%
Percentage of gross eligible earnings for matching contribution	4.00%

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Description of Business - Additional Information (Detail)	12 Months Ended
	Dec. 31, 2013
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Sales revenue goods, net percentage	10.00%

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Income Taxes - Reconciliation of Statutory and Effective Income Taxes (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Income Tax Disclosure [Abstract]
Provision computed at statutory rate	$ 57,339	$ 57,461	$ 62,905
State income tax, net of Federal tax benefit	1,191	1,353	1,432
Asset impairment charge	0	3,190	0
Tax-exempt interest income	(174)	(230)	(334)
Acquisition related items	0	322	0
Domestic manufacturing deduction	(490)	(105)	(212)
Research and experimental credit	(970)	0	(508)
Foreign rate differential	(26,798)	(21,598)	(13,899)
Other	(496)	1,884	(8)
Provision for income taxes	$ 29,602	$ 42,277	$ 49,376

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Goodwill and Other Intangible Asset Data - Additional Information (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Goodwill And Other Intangible Assets [Line Items]
Intangible asset commitments accrued	$ 1,500	$ 3,500	$ 1,232
Minimum [Member]
Goodwill And Other Intangible Assets [Line Items]
Estimated useful life of Intangible Assets	1 year
Maximum [Member]
Goodwill And Other Intangible Assets [Line Items]
Estimated useful life of Intangible Assets	15 years
Patents And Other Intellectual Property [Member]
Goodwill And Other Intangible Assets [Line Items]
Acquired intangible assets	$ 37,200	$ 31,157

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Commitments and Contingencies - Schedule of Minimum Future Obligations Under All Non-Cancelable Operating Leases (Detail) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2013
Commitments And Contingencies Disclosure [Abstract]
2014	$ 15,619
2015	11,842
2016	7,368
2017	7,636
2018	6,105
Thereafter	34,805
Total minimum lease obligations	$ 83,375

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Costs Associated with Exit and Restructuring - Liabilities and Expenses Related to Exit and Restructuring Activities (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Restructuring And Related Activities [Abstract]
Balance at beginning of period	$ 967	$ 1,048	$ 1,479
Charged to earnings	5,890	960	2,041
Cash paid	(5,605)	(1,041)	(2,472)
Balance at the end of period	$ 1,252	$ 967	$ 1,048

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Commitments and Contingencies - Schedule of Rent Expense for Operating Leases (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Commitments And Contingencies Disclosure [Abstract]
Rent expense	$ 15,750	$ 15,254	$ 13,907

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Goodwill and Other Intangible Assets Data - Changes in Net Carrying Value of Goodwill (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended			12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2013	Dec. 31, 2012 Laserband LLC [Member]	Dec. 31, 2013 Hart Systems LLC [Member]
Goodwill [Line Items]
Beginning balance	$ 79,703		$ 155,800
Acquisition				24,353	60,858
Goodwill at gross cost		180,731
Impairment charge	(9,114)	(101,028)
Ending balance	$ 94,942	$ 79,703	$ 155,800

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Inventories - Components of Inventories (Detail) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Inventory Disclosure [Abstract]
Raw material	$ 31,335	$ 31,350
Work in process	415	921
Deferred costs of long-term contracts	294	604
Finished goods	101,540	104,137
Total inventories, gross	133,584	137,012
Inventory reserves	(12,561)	(13,655)
Total inventories, net	$ 121,023	$ 123,357

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Income Taxes

12 Months Ended

Dec. 31, 2013

Income Tax Disclosure [Abstract]

Income Taxes

Note 18 Income Taxes

The geographical sources of income before income taxes were as follows (in thousands):

	Year Ended December 31,
	2013		2012		2011
United States	$	47,636	$	60,388	$	78,593
Outside United States		116,191		103,786		101,126
Total	$	163,827	$	164,174	$	179,719

Zebra earns a significant amount of our operating income outside the U.S., which is deemed to be permanently reinvested in foreign jurisdictions. Zebra does not currently foresee a need to repatriate funds, however, should Zebra require more capital in the U.S. than is generated by our operations locally, Zebra could elect to repatriate funds held in foreign jurisdictions or raise capital in the U.S. through debt or equity issuances. These alternatives could result in higher effective tax rates or increased interest expense.

Deferred income taxes are not provided on undistributed earnings of foreign subsidiaries, aggregating approximately $354,164,000 at December 31, 2013 and $256,000,000 at December 31, 2012.

The provision for income taxes consists of the following (in thousands):

	Year Ended December 31,
	2013		2012		2011
Current:
Federal	$	9,556	$	17,744	$	7,250
State		808		1,324		1,191
Foreign		11,638		14,258		28,175
Total current		22,002		33,326		36,616
Deferred:
Federal		7,118		8,656		12,477
State		289		375		405
Foreign		193		(80)		(122)
Total deferred		7,600		8,951		12,760
Total	$	29,602	$	42,277	$	49,376

The provision for income taxes differs from the amount computed by applying the U.S. statutory Federal income tax rate of 35% to income before income taxes. The reconciliation of statutory and effective income taxes is presented below (in thousands):

	Year Ended December 31,
	2013		2012		2011
Provision computed at statutory rate	$	57,339	$	57,461	$	62,905
State income tax, net of Federal tax benefit		1,191		1,353		1,432
Asset impairment charge		0		3,190		0
Tax-exempt interest income		(174)		(230)		(334)
Acquisition related items		0		322		0
Domestic manufacturing deduction		(490)		(105)		(212)
Research and experimental credit		(970)		0		(508)
Foreign rate differential		(26,798)		(21,598)		(13,899)
Other		(496)		1,884		(8)
Provision for income taxes	$	29,602	$	42,277	$	49,376

The primary reasons for the difference is due to a combination of higher profits in lower rate international jurisdictions, decreasing foreign statutory rates, the Singapore tax holiday and the restructuring of the foreign operations. In conjunction with the opening of Zebra’s Singapore distribution center and the establishment of Singapore as a regional headquarter location in 2009, Zebra negotiated a 10% income tax rate with the Singapore Economic Development Board. The negotiated rate is a reduction from the then current statutory rate of 17%. The 10% rate expires at the end of 2014 unless Zebra meets agreed commitments for employees and business expenditures in Singapore. If these requirements are met, the 10% rate extends through 2018. This agreement reduced Zebra’s consolidated income taxes by $1,860,000 in 2013, $2,002,000 in 2012, and $2,030,000 in 2011.

In order to streamline the management, financing and capital structure of its foreign affiliates, in 2012, Zebra established a foreign holding company and restructured the ownership structure of its foreign affiliates. This new holding company structure allows Zebra to consolidate the ownership of its significant foreign affiliates under a single holding company. In addition, the structure introduced leverage which gives the Zebra the ability to facilitate cash pooling and improve the capital structure of its non-US operations. The new capital structure and global financing favorably impacts the Zebra’s effective tax rate, and facilitates the tax efficient movement of Zebra’s foreign cash to finance the ongoing operating and investment needs of the foreign subsidiaries. The restructuring was completed in the second quarter of 2012 and was in place for the full year in 2013.

Deferred income taxes reflect the impact of temporary differences between the amounts of assets and liabilities for financial reporting purposes and such amounts as measured by tax laws. Based on management’s assessment, it is more likely than not that the deferred tax assets will be realized through future taxable earnings.

Tax effects of temporary differences that give rise to deferred tax assets and liabilities are as follows (in thousands):

	As of December 31,
	2013		2012
Deferred tax assets:
Deferred rent	$	409	$	508
Accrued vacation		2,153		2,480
Accrued bonus		2,916		2,747
Deferred compensation		1,816		1,497
Inventory items		6,061		6,967
Allowance for doubtful accounts and other receivables		118		211
Other accruals		11,149		6,531
Equity based compensation expense		12,337		16,620
Unrealized gain on securities		558		438
Unrealized loss on other investments		410		419
Net operating loss carry-forwards		597		2,462
Valuation allowance		(267)		(267)
Total deferred tax assets		38,257		40,613
Deferred tax liabilities:
Unrealized loss on other investments		(1,450)		0
Depreciation and amortization		(42,489)		(24,527)
Total deferred tax liabilities		(43,939)		(24,527)
Net deferred tax assets (liabilities)	$	(5,682)	$	16,086

On January 1, 2007, Zebra adopted ASC 740 (formerly FASB Interpretation (FIN) No. 48, Accounting for Uncertainty in Income Taxes – an interpretation of FASB Statement No. 109). According to ASC 740, Zebra identified, evaluated, and measured the amount of income tax benefits to be recognized for all of its income tax positions. During 2008, Zebra recognized an increase of approximately $4,000,000 in the liability for unrecognized tax benefits related to an acquisition. During 2012 Zebra recognized an increase of $680,000 in one of its UK subsidiaries. This amount was reduced as a result of filing 2012 income tax returns in 2013.

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands):

Balance at January 1, 2013	$	4,680
Additions based on tax positions related to 2013		0
Reductions based on 2012 tax returns as filed in 2013		(680)
Balance at December 31, 2013	$	4,000

Included in deferred tax assets are amounts related to federal and state net operating losses that resulted from Zebra’s acquisition of WhereNet Corp. As of December 31, 2013, Zebra had approximately $8,252,000 of net operating loss carryforwards available to offset future taxable income which expire in 2022 through 2027. As of December 31, 2013, Zebra had approximately $26,980,000 of state net operating loss carryforwards which expire in 2013 through 2020. Zebra’s intention is to utilize these net operating loss carryforwards to offset future income tax expense. Under the United States Tax Reform Act of 1986, the amount of benefits from net operating loss carryforwards may be impaired or limited in certain circumstances, including significant changes in ownership interests. The company has reviewed the impact of ownership changes and believes that this will not have an impact on the realizability on the related Deferred Tax Asset recorded as of December 31, 2013.

Deferred tax asset valuation allowances included in the temporary differences above are as follows (in thousands):

	Year Ended December 31,
Valuation allowance	2013		2012		2011
Balance at the beginning of the year	$	267	$	267	$	267
Additions		0		0		0
Subtractions		0		0		0
Balance at the end of the period	$	267	$	267	$	267

Zebra’s deferred tax valuation allowance is the result of uncertainties regarding the future realization of recorded tax benefits on state income tax loss carry-forwards. The addition in 2010 is primarily related to California’s temporary suspension on the use of state net operating losses for tax years 2010 & 2011. Although the carryforward period for those temporarily suspended losses was increased, there is still some uncertainty as to the ability to use such losses even though carryforward periods were extended.

We are currently undergoing an audit of the 2011 and 2012 US federal income tax returns. The tax years 2009 through 2012 remain open to examination by multiple state taxing jurisdictions. Tax authorities in the United Kingdom have completed income tax audits for tax years through 2011.

Zebra’s continuing practice is to recognize interest and or penalties related to income tax matters as part of income tax expense. For the years ended December 31, 2011 through December 31, 2013, Zebra did not accrue any interest or penalties into income tax expense.

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Income Taxes (Tables)

12 Months Ended

Dec. 31, 2013

Income Tax Disclosure [Abstract]

Components of Income (Loss) Before Income Taxes

The geographical sources of income before income taxes were as follows (in thousands):

	Year Ended December 31,
	2013		2012		2011
United States	$	47,636	$	60,388	$	78,593
Outside United States		116,191		103,786		101,126
Total	$	163,827	$	164,174	$	179,719

Components of Provision for Income Taxes

The provision for income taxes consists of the following (in thousands):

	Year Ended December 31,
	2013		2012		2011
Current:
Federal	$	9,556	$	17,744	$	7,250
State		808		1,324		1,191
Foreign		11,638		14,258		28,175
Total current		22,002		33,326		36,616
Deferred:
Federal		7,118		8,656		12,477
State		289		375		405
Foreign		193		(80)		(122)
Total deferred		7,600		8,951		12,760
Total	$	29,602	$	42,277	$	49,376

Reconciliation of Statutory and Effective Income Taxes

The reconciliation of statutory and effective income taxes is presented below (in thousands):

	Year Ended December 31,
	2013		2012		2011
Provision computed at statutory rate	$	57,339	$	57,461	$	62,905
State income tax, net of Federal tax benefit		1,191		1,353		1,432
Asset impairment charge		0		3,190		0
Tax-exempt interest income		(174)		(230)		(334)
Acquisition related items		0		322		0
Domestic manufacturing deduction		(490)		(105)		(212)
Research and experimental credit		(970)		0		(508)
Foreign rate differential		(26,798)		(21,598)		(13,899)
Other		(496)		1,884		(8)
Provision for income taxes	$	29,602	$	42,277	$	49,376

Components of Deferred Tax Assets and Liabilities

Tax effects of temporary differences that give rise to deferred tax assets and liabilities are as follows (in thousands):

	As of December 31,
	2013		2012
Deferred tax assets:
Deferred rent	$	409	$	508
Accrued vacation		2,153		2,480
Accrued bonus		2,916		2,747
Deferred compensation		1,816		1,497
Inventory items		6,061		6,967
Allowance for doubtful accounts and other receivables		118		211
Other accruals		11,149		6,531
Equity based compensation expense		12,337		16,620
Unrealized gain on securities		558		438
Unrealized loss on other investments		410		419
Net operating loss carry-forwards		597		2,462
Valuation allowance		(267)		(267)
Total deferred tax assets		38,257		40,613
Deferred tax liabilities:
Unrealized loss on other investments		(1,450)		0
Depreciation and amortization		(42,489)		(24,527)
Total deferred tax liabilities		(43,939)		(24,527)
Net deferred tax assets (liabilities)	$	(5,682)	$	16,086

Reconciliation of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands):

Balance at January 1, 2013	$	4,680
Additions based on tax positions related to 2013		0
Reductions based on 2012 tax returns as filed in 2013		(680)
Balance at December 31, 2013	$	4,000

Summary of Deferred Tax Asset Valuation Allowances

Deferred tax asset valuation allowances included in the temporary differences above are as follows (in thousands):

	Year Ended December 31,
Valuation allowance	2013		2012		2011
Balance at the beginning of the year	$	267	$	267	$	267
Additions		0		0		0
Subtractions		0		0		0
Balance at the end of the period	$	267	$	267	$	267

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Costs Associated with Exit and Restructuring (Tables)

12 Months Ended

Dec. 31, 2013

Location Solution And Manufacturing Operations [Member]

Summary of Exit and Restructuring Costs Incurred

As of December 31, 2013, we have incurred the following exit and restructuring costs related to the Location Solutions business management structure and manufacturing operations relocation and restructuring (in thousands):

Type of Cost	Cost incurred through December 31, 2012		Costs incurred for the twelve months ended December 31, 2013		Total costs incurred as of December 31, 2013		Additional costs expected to be incurred		Total costs     expected to     be incurred
Severance, stay bonuses, and other employee-related expenses	$	960	$	5,690	$	6,650	$	61	$	6,711
Professional services		0		180		180		0		180
Relocation and transition costs		0		20		20		0		20
Total	$	960	$	5,890	$	6,850	$	61	$	6,911

ZES [Member]

Summary of Exit and Restructuring Costs Incurred

As of December 31, 2012, we have incurred the following exit and restructuring costs related to the Location Solutions business management structure and manufacturing operations relocation and restructuring (in thousands):

Type of Cost	Costs incurred for the year ended December 31, 2012		Additional costs expected to be incurred		Total costs     expected to     be incurred
Severance, stay bonuses, and other employee-related expenses	$	960	$	4,590	$	5,550
Professional services		0		310		310
Relocation and transition costs		0		480		480
Total	$	960	$	5,380	$	6,340

Liabilities and Expenses Related to Exit and Restructuring Activities

Liabilities and expenses related to exit activities were as follows (in thousands):

	Year Ended December 31,
	2013		2012		2011
Balance at beginning of period	$	967	$	1,048	$	1,479
Charged to earnings		5,890		960		2,041
Cash paid		(5,605)		(1,041)		(2,472)
Balance at the end of period	$	1,252	$	967	$	1,048

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Goodwill and Other Intangible Asset Data - Estimated Amortization Expense (Detail) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Goodwill And Intangible Assets Disclosure [Abstract]
For the year ended December 31, 2014	$ 10,533
For the year ended December 31, 2015	9,769
For the year ended December 31, 2016	9,331
For the year ended December 31, 2017	8,100
For the year ended December 31, 2018	5,867
Thereafter	25,368
Net Amount	$ 68,968	$ 39,151

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Equity-Based Compensation - Shares of Time-Vested Restricted Stock Granted and Vesting Schedules of Restricted Stock Awards (Detail)	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted	355,309
At Grant [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted	130,123
After Three Years Of Service [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted	225,186
Restricted Stock Awards [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted	167,515	169,081	152,636
Restricted Stock Awards [Member] | At Grant [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted	18,095
Restricted Stock Awards [Member] | After Three Years Of Service [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted	149,420
Performance Share Awards [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted	187,794	72,470	62,874
Performance Share Awards [Member] | At Grant [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted	112,028
Performance Share Awards [Member] | After Three Years Of Service [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted	75,766

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Accounts Receivable (Tables)

12 Months Ended

Dec. 31, 2013

Receivables [Abstract]

Components of Accounts Receivable

The components of accounts receivable are as follows (in thousands):

	As of
	December 31, 2013		December 31, 2012
Gross accounts receivable	$	177,370	$	169,401
Accounts receivable reserves		(453)		(669)
Accounts receivable, net	$	176,917	$	168,732

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Geographic Data (Tables)

12 Months Ended

Dec. 31, 2013

Segment Reporting [Abstract]

Information Regarding Operations by Geographic Area

Information regarding Zebra’s operations by geographic area is contained in the following table. These amounts (in thousands) are reported in the geographic area of the destination of the final sale. We manage our business based on these regions rather than by individual countries.

	North America		Europe, Middle East & Africa		Latin America		Asia		Total
2013
Net sales	$	459,908	$	326,470	$	99,041	$	152,740	$	1,038,159
Long-lived assets		97,768		8,149		502		3,169		109,588
2012
Net sales	$	435,520	$	322,970	$	100,101	$	137,577	$	996,168
Long-lived assets		90,363		7,522		538		2,926		101,349
2011
Net sales	$	409,208	$	342,578	$	89,715	$	141,987	$	983,488
Long-lived assets		88,382		5,965		362		3,113		97,822

Net Sales by Country

Net sales by country that are greater than 10% of total net sales are as follows (in thousands):
	United States		United Kingdom		Singapore		Other		Total
2013	$	562,848	$	323,708	$	140,588	$	11,015	$	1,038,159
2012	$	539,504	$	317,793	$	134,349	$	4,522	$	996,168
2011	$	504,283	$	339,027	$	136,757	$	3,421	$	983,488

Net Sales by Major Product Category

Net sales by major product category are as follows (in thousands):
	Hardware		Supplies		Service and Software		Shipping and Handling		Total
2013	$	735,123	$	243,965	$	53,627	$	5,444	$	1,038,159
2012	$	730,489	$	212,499	$	47,941	$	5,239	$	996,168
2011	$	743,308	$	187,457	$	47,206	$	5,517	$	983,488

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Investments and Marketable Securities - Aggregate Market Value and Unrealized Losses of Investments (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012
Schedule of Available-for-sale Securities [Line Items]
Number of investments, Unrealized Loss Less 12 months	15	56
Aggregate Market Value, Unrealized Loss Less 12 months	$ 11,417	$ 45,577
Unrealized Losses, Unrealized Loss Less 12 months	(10)	(53)
Number of investments, Unrealized Loss Greater 12 months	69	16
Aggregate Market Value, Unrealized Loss Greater 12 months	84,505	10,144
Unrealized Losses, Unrealized Loss Greater 12 months	(713)	(446)
Government Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Number of investments, Unrealized Loss Less 12 months	0	4
Aggregate Market Value, Unrealized Loss Less 12 months	0	5,179
Unrealized Losses, Unrealized Loss Less 12 months	0	(3)
Number of investments, Unrealized Loss Greater 12 months	3	1
Aggregate Market Value, Unrealized Loss Greater 12 months	23,207	1,790
Unrealized Losses, Unrealized Loss Greater 12 months	(19)	0
State and Municipal Bonds [Member]
Schedule of Available-for-sale Securities [Line Items]
Number of investments, Unrealized Loss Less 12 months	5	19
Aggregate Market Value, Unrealized Loss Less 12 months	7,368	24,969
Unrealized Losses, Unrealized Loss Less 12 months	(8)	(27)
Number of investments, Unrealized Loss Greater 12 months	4	1
Aggregate Market Value, Unrealized Loss Greater 12 months	6,559	1,092
Unrealized Losses, Unrealized Loss Greater 12 months	(20)	(1)
Corporate Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Number of investments, Unrealized Loss Less 12 months	9	33
Aggregate Market Value, Unrealized Loss Less 12 months	3,031	15,429
Unrealized Losses, Unrealized Loss Less 12 months	(2)	(23)
Number of investments, Unrealized Loss Greater 12 months	60	14
Aggregate Market Value, Unrealized Loss Greater 12 months	51,757	7,262
Unrealized Losses, Unrealized Loss Greater 12 months	(673)	(445)
Other [Member]
Schedule of Available-for-sale Securities [Line Items]
Number of investments, Unrealized Loss Less 12 months	1
Aggregate Market Value, Unrealized Loss Less 12 months	1,018
Unrealized Losses, Unrealized Loss Less 12 months	0
Number of investments, Unrealized Loss Greater 12 months	2
Aggregate Market Value, Unrealized Loss Greater 12 months	2,982
Unrealized Losses, Unrealized Loss Greater 12 months	$ (1)

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Income Taxes - Reconciliation of Unrecognized Tax Benefits (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2008
Income Tax Disclosure [Abstract]
Balance at January 1, 2013	$ 4,680	$ 4,000
Additions based on tax positions related to 2013	0
Reductions based on 2012 tax returns as filed in 2013	(680)
Balance at December 31, 2013	$ 4,000	$ 4,000

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Fair Value Measurements - Financial Assets and Liabilities Carried at Fair Value (Detail) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	$ 352,968	$ 329,335
Total assets at fair value	357,795	332,888
Total liabilities at fair value	7,570	5,598
U.S. Government and Agency Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	89,626	96,987
Obligations of Government-Sponsored Enterprises [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	33,510	4,840
State and Municipal Bonds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	51,627	96,516
Corporate Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	166,420	130,956
Other Investments [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	11,785	36
Money Market Investments Related to the Deferred Compensation Plan [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets at fair value	4,827	3,553
Forward Contracts [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total liabilities at fair value	2,743	2,045
Liabilities Related to the Deferred Compensation Plan [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total liabilities at fair value	4,827	3,553
Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	89,626	83,532
Total assets at fair value	94,453	87,085
Total liabilities at fair value	5,992	4,727
Level 1 [Member] | U.S. Government and Agency Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	89,626	83,532
Level 1 [Member] | Obligations of Government-Sponsored Enterprises [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	0	0
Level 1 [Member] | State and Municipal Bonds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	0	0
Level 1 [Member] | Corporate Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	0	0
Level 1 [Member] | Other Investments [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	0	0
Level 1 [Member] | Money Market Investments Related to the Deferred Compensation Plan [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets at fair value	4,827	3,553
Level 1 [Member] | Forward Contracts [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total liabilities at fair value	1,165	1,174
Level 1 [Member] | Liabilities Related to the Deferred Compensation Plan [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total liabilities at fair value	4,827	3,553
Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	260,754	243,215
Total assets at fair value	260,754	243,215
Total liabilities at fair value	1,578	871
Level 2 [Member] | U.S. Government and Agency Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	0	13,455
Level 2 [Member] | Obligations of Government-Sponsored Enterprises [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	33,510	4,840
Level 2 [Member] | State and Municipal Bonds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	51,627	96,516
Level 2 [Member] | Corporate Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	163,832	128,368
Level 2 [Member] | Other Investments [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	11,785	36
Level 2 [Member] | Money Market Investments Related to the Deferred Compensation Plan [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets at fair value	0	0
Level 2 [Member] | Forward Contracts [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total liabilities at fair value	1,578	871
Level 2 [Member] | Liabilities Related to the Deferred Compensation Plan [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total liabilities at fair value	0	0
Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	2,588	2,588
Total assets at fair value	2,588	2,588
Total liabilities at fair value	0	0
Level 3 [Member] | U.S. Government and Agency Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	0	0
Level 3 [Member] | Obligations of Government-Sponsored Enterprises [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	0	0
Level 3 [Member] | State and Municipal Bonds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	0	0
Level 3 [Member] | Corporate Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	2,588	2,588
Level 3 [Member] | Other Investments [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investments subtotal	0	0
Level 3 [Member] | Money Market Investments Related to the Deferred Compensation Plan [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets at fair value	0	0
Level 3 [Member] | Forward Contracts [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total liabilities at fair value	0	0
Level 3 [Member] | Liabilities Related to the Deferred Compensation Plan [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total liabilities at fair value	$ 0	$ 0

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Earnings (Loss) Per Share (Tables)

12 Months Ended

Dec. 31, 2013

Earnings Per Share [Abstract]

Computation of Earnings Per Share

earnings (loss) per share were computed as follows (in thousands, except per-share amounts):

	Year Ended December 31,
	2013		2012		2011
Weighted average shares:
Weighted average common shares outstanding		50,693		51,566		53,854
Effect of dilutive securities outstanding		370		277		337
Diluted weighted average shares outstanding		51,063		51,843		54,191
Earnings (loss):
Income from continuing operations	$	134,225	$	121,897	$	130,343
Income (loss) from discontinued operations		133		1,007		44,300
Net Income	$	134,358	$	122,904	$	174,643
Basic per share amounts:
Income from continuing operations	$	2.65	$	2.36	$	2.42
Income (loss) from discontinued operations		0.00		0.02		0.82
Net Income	$	2.65	$	2.38	$	3.24
Diluted per share amounts:
Income from continuing operations	$	2.63	$	2.35	$	2.40
Income (loss) from discontinued operations		0.00		0.02		0.82
Net Income	$	2.63	$	2.37	$	3.22

Potentially Dilutive Securities Excluded from Earnings Per Share Calculation

The potentially dilutive securities that were excluded from the earnings (loss) per share calculation consist of stock options and stock appreciation rights (SARs) with an exercise price greater than the average market price of the Class A Common Stock. These options were as follows:

	Year Ended December 31,
	2013		2012		2011
Potentially dilutive shares		168,472		1,753,311		1,425,880

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Summary of Significant Accounting Policies

12 Months Ended

Dec. 31, 2013

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

Note 2 Summary of Significant Accounting Policies

Principles of Consolidation. These consolidated financial statements were prepared on a consolidated basis to include the accounts of Zebra and its wholly owned subsidiaries. All significant intercompany accounts, transactions and unrealized profit were eliminated in consolidation.

Fiscal Calendar. Zebra operates on a 4 week/4 week/5 week fiscal quarter, and each fiscal quarter ends on a Saturday. The fiscal year always begins on January 1 and ends on December 31. This fiscal calendar results in some fiscal quarters being either greater than or less than 13 weeks, depending on the days of the week those dates fall. During the 2013 fiscal year, our quarter end dates were as follows:

• March 30,

• June 29,

• September 28, and

• December 31.

Use of Estimates. These consolidated financial statements were prepared using estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Cash and Cash Equivalents. Cash consists primarily of deposits with banks. In addition, Zebra considers highly liquid short-term investments with original maturities of less than three months to be cash equivalents. These highly liquid short-term investments are readily convertible to known amounts of cash and are so near their maturity that they present insignificant risk of a change in value because of changes in interest rates.

Investments and Marketable Securities. Investments and marketable securities at December 31, 2013, consisted of U.S. government and agency securities, obligations of government-sponsored enterprises, state and municipal bonds, corporate bonds, and other security interests. Trading securities are bought and held principally for the purpose of selling them in the near term. Held-to-maturity securities are those debt securities that Zebra has the ability and intent to hold until maturity. All securities not included in trading or held-to-maturity are classified as available-for-sale. Trading and available-for-sale securities are recorded at fair value. Held-to-maturity securities are recorded at amortized cost, adjusted for the amortization or accretion of discounts or premiums. Unrealized holding gains and losses on trading securities are included in earnings. Unrealized holding gains and losses, net of the related tax effect, on available-for-sale securities are excluded from earnings and are reported as a separate component of stockholders’ equity until realized, unless we determine them to be other-than-temporarily impaired.

Zebra’s investments and marketable securities are classified as available-for-sale securities except for securities held in Zebra’s deferred compensation plan which are considered trading securities. Investments in marketable debt securities are classified based on intent and ability to sell investment securities. Zebra’s available-for-sale securities are used to fund further acquisitions and other operating needs and therefore can be sold prior to maturity. Investments in marketable debt securities for which Zebra intends to sell within the next year are classified as current and those that we intend to hold in excess of one-year are classified as non-current.

Accounts Receivable and Allowance for Doubtful Accounts. Accounts receivable consist primarily of amounts due to us from our normal business activities. Collateral on trade accounts receivable is generally not required. Zebra maintains an allowance for doubtful accounts for estimated uncollectible accounts receivable. The allowance is based on our assessment of known delinquent accounts. Accounts are written off against the allowance account when they are determined to be no longer collectible.

Inventories. Inventories are stated at the lower of cost or market, and cost is determined by the first-in, first-out (FIFO) method. Manufactured inventories consist of the following costs: component, direct labor and manufacturing overhead. Purchased inventories consist of purchased costs and purchasing overhead.

Property and Equipment. Property and equipment is stated at cost. Depreciation and amortization is computed primarily using the straight-line method over the estimated useful lives of the various classes of property and equipment, which are 30 years for buildings and range from 3 to 10 years for other property. Leasehold improvements are amortized using the straight-line method over the shorter of the lease term or estimated useful life of the asset.

Income Taxes. Zebra’s continuing practice is to recognize interest and penalties related to income tax matters as part of income tax expense.

Goodwill and Other Intangibles. Goodwill represents the unamortized excess of the cost of acquiring a business over the fair values of the net assets received at the date of acquisition.

We test the impairment of goodwill each year as of the end of May or whenever events or changes in circumstances indicate that the carrying value may not be recoverable. We completed our annual qualitative assessment, in accordance with ASU 2011-08 Goodwill and Other (Topic 350), during June 2013 and determined that our goodwill was not impaired as of the end of May 2013.

Goodwill of a reporting unit is tested for impairment between annual tests if an event occurs or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying amount. Examples of such events or circumstances include:

• Significant adverse change in legal factors or in the business climate,

• Adverse action or assessment by a regulator,

• Unanticipated competition,

• Loss of key personnel,

• More-likely-than-not expectation that a reporting unit or a significant portion of a reporting unit will be sold or otherwise disposed of,

• Testing for recoverability of a significant asset group within a reporting unit,

• Allocation of a portion of goodwill to a business to be disposed of.

In accordance with ASU 2011-08, Zebra’s qualitative analysis determined that it is not more likely than not that the fair value of our goodwill is less than the carrying amount and therefore, performing the two-step impairment test was not necessary. If Zebra concluded otherwise, we would perform the first step of the two-step impairment test by calculating the fair value and comparing the fair value to the carrying amount. If the carrying amount exceeded the fair value, we would perform the second step of goodwill impairment test to determine the amount of impairment loss. The second step of the goodwill impairment test involves comparing the implied fair value of the affected reporting unit’s goodwill with the carrying value of that goodwill.

There have not been any significant changes to our impairment testing methodology other than updating the assumptions to reflect the current market environment. Zebra will monitor future results and will perform a test if indicators trigger an impairment review.

Other intangible assets capitalized consist primarily of current technology, customer relationships, patents and patent rights. These assets are recorded at cost and amortized on a straight-line basis over a weighted-average life of 6.5 years, which approximates the estimated useful lives. Weighted average lives remaining by intangible asset class are as follows: Current technology 3.7 years; Patent and patent rights 3.6 years; Customer relationships 9.8 years.

Revenue Recognition. Revenue includes sales of hardware, supplies, software and services (including repair services, extended service contracts, and professional services). Product revenue is recognized once four criteria are met: (1) we have persuasive evidence that an arrangement exits; (2) delivery has occurred and title has passed to the customer, which happens at the point of shipment provided that no significant obligations remain; (3) the price is fixed and determinable; and (4) collectability is reasonably assured. We provide for an estimate of product returns based on historical experience. Revenue related to extended warranty and service contracts is recorded as deferred revenue and recognized over the life of the contract. Professional services revenue is recorded when performed. Zebra enters into sales transactions that include more than one product type. This bundle of products might include printers, current or future supplies, and services. When this type of transaction occurs, we allocate the purchase price to each product type based on the fair value of the individual products determined by vendor specific objective evidence. The revenue for each individual product is then recognized when the earning process for that product is complete. We enter into post-contract maintenance and support agreements. Revenues are recognized ratably over the service period and the cost of providing these services is expensed as incurred.

Zebra records payments to resellers of its product as reductions to revenue unless these payments meet the requirements for operating expense treatment under ASC 605. See the market development funds accounting policy for further details.

Revenue includes all customer billings for shipping and handling charges. The related costs of shipping and handling revenue are recorded as cost of goods sold.

Research and Development Costs. Research and development costs are expensed as incurred. These costs include:

• Salaries, benefits, and other R&D personnel related costs,

• Consulting and other outside services used in the R&D process,

• Engineering supplies,

• Engineering related information systems costs, and

• Allocation of building and related costs.

Advertising. Advertising is expensed as incurred. Advertising costs totaled $7,688,000 for the year ended December 31, 2013, $8,983,000 for the year ended December 31, 2012 and $8,070,000 for the year ended December 31, 2011.

Market Development Funds. Zebra makes market development funds available to its resellers to support demand generation activity by the resellers. These funds require the reseller to provide specific services or benefits to Zebra and substantiate the fair value of such services rendered. Zebra reimburses resellers for agreed activities up to the amounts approved by Zebra. These payments are treated as marketing costs consistent with the requirements of ASC 605. Any payments to resellers that do not meet these requirements are recorded as reductions to revenue.

Warranty. In general, Zebra provides warranty coverage of one year on printers against defects in material and workmanship. Thermal printheads are warranted for six months and batteries are warranted for one year. Battery-based products, such as location tags, are covered by a 90 day warranty. A provision for warranty expense is recorded at the time of sale and adjusted quarterly based on historical warranty experience. The following table is a summary of Zebra’s accrued warranty obligation (in thousands):

	Year Ended December 31,
Warranty Reserve	2013		2012		2011
Balance at the beginning of the year	$	4,252	$	4,613	$	4,554
Warranty expense		7,440		6,828		5,856
Warranty payments		(7,567)		(7,189)		(5,797)
Balance at the end of the period	$	4,125	$	4,252	$	4,613

Fair Value of Financial Instruments. Zebra estimates the fair value of its financial instruments as follows:

Instrument	Method for determining fair value
Cash, cash equivalents, restricted cash, accounts receivable and accounts payable	Cost, which approximates fair value due to the short-term nature of these instruments
Investments in marketable debt securities	Market quotes from independent pricing services
Investments in auction rate securities	Broker quotations, discounted cash flow analysis or other types of valuation adjustment methodologies
Foreign currency forward contracts	Estimated using market quoted rates for foreign currency at the balance sheet date
Foreign currency option contracts	Estimated using market quoted rates for foreign currency at the balance sheet date and application of such rates subject to the option terms

In accordance with ASC 815 we recognize derivative instruments and hedging activities as either assets or liabilities on the balance sheet and measure them at fair value. Gains and losses resulting from changes in fair value are accounted for depending on the use of the derivative and whether it is designated and qualifies for hedge accounting. See Note 11 for additional information on our derivatives and hedging activities.

Equity-Based Compensation. At December 31, 2013, Zebra had a general equity-based compensation plan and a stock purchase plan under which shares of our common stock were available for future grants and sales, and which are described more fully in Note 16. We account for these plans in accordance with ASC 505 and ASC 718. Zebra recognizes compensation costs using the straight-line method over the vesting period upon grant of up to 5 years.

The compensation expense and the related income tax benefit for share-based payments were included in the Consolidated Statement of Earnings as follows (in thousands):

	For the years ended December 31,
Compensation costs and related income tax benefit:	2013		2012		2011
Cost of sales	$	871	$	1,061	$	1,029
Selling and marketing		2,100		1,792		1,463
Research and development		1,616		1,593		1,387
General and administration		8,522		10,281		9,228
Total compensation expense	$	13,109	$	14,727	$	13,107
Income tax benefit	$	4,531	$	5,132	$	4,522

ASC 505 and ASC 718 requires the cash flows resulting from the tax benefits from tax deductions in excess of the compensation cost recognized (excess tax benefits) to be classified as cash flows from financing activities. Cash flows resulting from the tax benefits of tax deductions in excess of the compensation cost recognized (excess tax benefits) are classified as financing cash flows in the statement of cash flows. The tax benefits classified as financing cash flows were $4,277,000 as of December 31, 2013, $1,578,000 as of December 31, 2012, and $1,392,000 as of December 31, 2011.

Deferred Compensation Plan. Zebra has a deferred compensation plan that permits directors, management and highly compensated employees to defer portions of their compensation. Zebra immediately pays deferred amounts into a Rabbi Trust, and plan participants select a method of investing these funds into hypothetical investments. Zebra tracks the performance of these hypothetical investments in order to determine the value of each participant’s deferral. Zebra accrues the deferred compensation liability in other long-term liabilities as the amount that is actually owed to the participants.

Foreign Currency Translation. The consolidated balance sheets of Zebra’s foreign subsidiaries, not having a U.S. dollar functional currency, are translated into U.S. dollars using the year-end exchange rate, and statement of earnings items are translated using the average exchange rate for the year. The resulting translation gains or losses are recorded in stockholders’ equity as a cumulative translation adjustment, which is a component of accumulated other comprehensive income (loss).

Acquisition Costs. Zebra expenses acquisition costs as incurred.

Concentration risks. Final assembly of our products is performed by Jabil Circuit, a third-party electronics manufacturer. We are now dependent on Jabil for the manufacture of such printers. A failure by Jabil to provide manufacturing services to Zebra as Zebra now requires, or any disruption in such manufacturing services, may adversely affect Zebra’s business results. Because we rely on a third-party provider such as Jabil to manufacture its products, Zebra may incur increased business continuity risks.

Impairment of Long-Lived Assets and Long-Lived Assets to be Disposed of. Zebra accounts for long-lived assets in accordance with the provisions of ASC 350. The statement requires that long-lived assets and certain identifiable intangibles be reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to the sum of the undiscounted cash flows expected to result from the use and the eventual disposition of the asset. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell. See Note 8 for further information related to impairment charges.

Recently Issued Accounting Pronouncements.

In February 2013, the FASB issued update 2013-02, ASC 220, Comprehensive Income: Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. This updated guidance sets requirements for presentation for significant items reclassified to net income in their entirety during the period and for items not reclassified to net income in their entirety during period. This standard is effective for annual and interim periods beginning after December 15, 2012. The adoption of this standard includes additional disclosures in the notes to the consolidated financial statements.

Subsequent events. We have evaluated subsequent events and transactions for potential recognition or disclosure in the financial statements through the date the financial statements were issued.

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Geographic Data - Net Sales by Major Product Category (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Schedule Of Sales Revenue By Business Segment [Line Items]
Total net sales	$ 1,038,159	$ 996,168	$ 983,488
Hardware [Member]
Schedule Of Sales Revenue By Business Segment [Line Items]
Total net sales	735,123	730,489	743,308
Supplies [Member]
Schedule Of Sales Revenue By Business Segment [Line Items]
Total net sales	243,965	212,499	187,457
Service and Software [Member]
Schedule Of Sales Revenue By Business Segment [Line Items]
Total net sales	53,627	47,941	47,206
Shipping and Handling [Member]
Schedule Of Sales Revenue By Business Segment [Line Items]
Total net sales	$ 5,444	$ 5,239	$ 5,517

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Fair Value Measurements - Assets Measured at Fair Value on Recurring Basis (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012
Fair Value Disclosures [Abstract]
Balance at beginning of the year	$ 2,588	$ 2,588
Transfers to Level 3	0	0
Included in earnings	0	0
Included in other comprehensive income (loss)	0	0
Purchases and settlements (net)	0	0
Balance at end of period	2,588	2,588
Total gains (losses) for the period included in earnings attributable to the change in unrealized losses relating to assets still held at end of period	$ 0	$ 0

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Derivative Instruments (Tables)

12 Months Ended

Dec. 31, 2013

Derivative Instruments And Hedging Activities Disclosure [Abstract]

Financial Information Related to Hedging of Net Assets Included in Consolidated Statement of Earnings

Summary financial information related to these activities included in our consolidated statement of earnings as other income (expense) is as follows (in thousands):

	Year Ended December 31,
	2013		2012		2011
Change in gains (losses) from foreign exchange derivatives	$	(1,998)	$	(1,347)	$	(825)
Gain (loss) on net foreign currency assets		1,474		406		(1,181)
Net foreign exchange loss	$	(524)	$	(941)	$	(2,006)
	As of
	December 31, 2013		December 31, 2012
Notional balance of outstanding contracts:
Euro/US dollar	€	41,021	€	37,598
Pound/US dollar	£	0	£	3,810
Net fair value of outstanding contracts	$	33	$	18

Financial Information Related to Cash Flow Hedges

Summary financial information related to the cash flow hedges is as follows (in thousands):

	As of
	December 31, 2013		December 31, 2012
Net unrealized gains (losses) deferred in other comprehensive income:
Gross	$	208	$	(9,936)
Income tax expense (benefit)		90		(2,695)
Net	$	118	$	(7,241)

Financial Information Related to Cash Flow Hedges of Future Revenues

Summary financial information related to the cash flow hedges of future revenues follows (in thousands, except percentages):

	As of
	December 31, 2013		December 31, 2012
Notional balance of outstanding contracts versus the dollar	€	85,627	€	88,680
Hedge effectiveness		100%		100%

	Year Ended December 31,
		2013		2012		2011
Net gains and (losses) included in revenue	$	(4,294)	$	4,201	$	(4,159)

Forward Contract Amounts Recorded in Consolidated Balance Sheet

The amounts recorded on our consolidated balance sheets are as follows (in thousands):

	As of
	December 31, 2013		December 31, 2012
Liabilities:
Accrued liabilities	$	2,743	$	2,045
Total	$	2,743	$	2,045

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Quarterly Results of Operations (unaudited)

12 Months Ended

Dec. 31, 2013

Quarterly Financial Information Disclosure [Abstract]

Quarterly Results of Operations (unaudited)

Note 22 Quarterly Results of Operations (unaudited)

(Amounts in thousands, except per share data)

	2013
	First Quarter			Second Quarter			Third Quarter			Fourth Quarter
Net Sales
Net sales of tangible products	$	225,121		$	239,909		$	249,919		$	269,583
Revenue from services and software		11,816			13,251			13,604			14,956
Total net sales		236,937			253,160			263,523			284,539
Cost of Sales
Cost of sales of tangible products		117,111			125,664			128,191			136,547
Cost of sales services and software		6,761			6,589			6,722			6,964
Cost of sales		123,872			132,253			134,913			143,511
Gross Profit		113,065			120,907			128,610			141,028
Operating expenses:
Selling and marketing		33,515			33,830			34,395			36,280
Research and development		21,858			23,201			22,376			23,712
General and administrative		25,277			24,053			22,452			24,434
Amortization of intangible assets		1,863			1,863			1,831			1,826
Acquisition costs		482			618			268			3,322
Exit and restructuring costs		1,895			1,101			519			2,375
Total operating expenses		84,890			84,666			81,841			91,949
Operating income		28,175			36,241			46,769			49,079
Other income (loss)
Investment income		677			473			550			666
Foreign exchange loss		(98	)		(462	)		(173	)		209
Other, net		10			1,464			(5	)		252
Total other income		589			1,475			372			1,127
Income from continuing operations before income taxes		28,764			37,716			47,141			50,206
Income taxes		5,222			7,158			8,541			8,681
Income from continuing operations		23,542			30,558			38,600			41,525
Income from discontinued operations, net of tax		0			8			0			125
Net income	$	23,542		$	30,566		$	38,600		$	41,650
Basic earnings per share:
Income from continuing operations	$	0.46		$	0.60		$	0.76		$	0.83
Income from discontinued operations		0.00			0.00			0.00			0.00
Net Income	$	0.46		$	0.60		$	0.76		$	0.83
Diluted earnings per share:
Income from continuing operations	$	0.46		$	0.60		$	0.76		$	0.82
Income from discontinued operations		0.00			0.00			0.00			0.00
Net Income	$	0.46		$	0.60		$	0.76		$	0.82
Basic weighted average shares outstanding		50,980			50,990			50,590			50,289
Diluted weighted average and equivalent shares outstanding		51,366			51,283			50,924			50,666

	2012
	First Quarter			Second Quarter			Third Quarter			Fourth Quarter
Net Sales
Net sales of tangible products	$	232,476		$	234,708		$	239,786		$	241,257
Revenue from services and software		11,399			12,369			12,251			11,922
Total net sales		243,875			247,077			252,037			253,179
Cost of Sales
Cost of sales of tangible products		119,033			119,980			118,751			121,869
Cost of sales services and software		4,959			6,720			6,362			6,850
Cost of sales		123,992			126,700			125,113			128,719
Gross Profit		119,883			120,377			126,924			124,460
Operating expenses:
Selling and marketing		32,114			32,158			32,321			33,313
Research and development		20,416			22,336			22,007			22,605
General and administrative		24,320			24,402			22,481			20,964
Amortization of intangible assets		770			770			1,670			1,463
Acquisition costs		254			1,252			566			1,037
Exit and restructuring costs		0			0			0			960
Asset impairment charge		0			0			9,114			0
Total operating expenses		77,874			80,918			88,159			80,342
Operating income		42,009			39,459			38,765			44,118
Other income (loss)
Investment income		592			826			541			526
Foreign exchange loss		(342	)		(80	)		(514	)		(5)
Other, net		(364	)		(486	)		(294	)		(577)
Total other income (loss)		(114	)		260			(267	)		(56)
Income from continuing operations before income taxes		41,895			39,719			38,498			44,062
Income taxes		11,731			9,366			11,917			9,263
Income from continuing operations		30,164			30,353			26,581			34,799
Income from discontinued operations, net of tax		0			300			516			191
Net income	$	30,164		$	30,653		$	27,097		$	34,990
Basic earnings per share:
Income from continuing operations	$	0.58		$	0.58		$	0.52		$	0.69
Income from discontinued operations		0.00			0.01			0.01			0.00
Net Income	$	0.58		$	0.59		$	0.53		$	0.69
Diluted earnings per share:
Income from continuing operations	$	0.58		$	0.58		$	0.51		$	0.68
Income from discontinued operations		0.00			0.01			0.01			0.00
Net Income	$	0.58		$	0.59		$	0.52		$	0.68
Basic weighted average shares outstanding		51,998			51,771			51,566			50,968
Diluted weighted average and equivalent shares outstanding		52,301			52,030			51,809			51,262

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Major Customers

12 Months Ended

Dec. 31, 2013

Text Block [Abstract]

Major Customers

Note 21 Major Customers

Our net sales to significant customers as a percentage of total net sales were as follows:

	Year Ended December 31,
	2013		2012		2011
Customer A		16.8%		20.4%		20.7%
Customer B		13.1%		11.4%		10.5%
Customer C		12.3%		10.3%		8.9%

All three of the above customers are distributors and not end users. No other customer accounted for 10% or more of total net sales during these years.

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Equity-Based Compensation - Summary of Outstanding and Exercisable Options and SARs (Detail) (USD $)	12 Months Ended
	Dec. 31, 2013
Stock Option [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Aggregate intrinsic value, Outstanding	$ 4,201,000
Aggregate intrinsic value, Exercisable	4,201,000
Weighted-average remaining contractual term, Outstanding	2 years 6 months
Weighted-average remaining contractual term, Exercisable	2 years 6 months
Stock Appreciation Rights (SARs) [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Aggregate intrinsic value, Outstanding	14,144,000
Aggregate intrinsic value, Exercisable	$ 8,282,000
Weighted-average remaining contractual term, Outstanding	7 years 7 months 6 days
Weighted-average remaining contractual term, Exercisable	6 years 7 months 6 days

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Business Combinations (Tables)

12 Months Ended

Dec. 31, 2013

Hart Systems LLC [Member]

Summary of Estimated Fair Value of Assets and Liabilities

The following table (in thousands) summarizes the estimated fair values of the assets acquired and the liabilities assumed at the date of acquisition:

	As of
	December 31, 2013
Current assets	$	2,600
Property and equipment		11,134
Goodwill		60,858
Other intangibles		37,200
Total assets acquired	$	111,792
Current liabilities		2,285
Long term liabilities		13,838
Net assets acquired	$	95,669

Summary of Intangible Assets

The intangible assets of $37,200,000 consist of the following (in thousands):

	Amount		Useful life
Customer relationships	$	32,100	15 years
Developed technology/know-how		4,800	5 years
Trade name		300	1 year
Acquired other intangibles	$	37,200

Laserband LLC [Member]

Summary of Estimated Fair Value of Assets and Liabilities

The following table (in thousands) summarizes the estimated fair values of the assets acquired and the liabilities assumed at the date of acquisition:

	As of
	July 13, 2012
Current assets	$	7,017
Property and equipment		46
Other assets		17
Goodwill		24,353
Other intangibles		29,560
Total assets acquired	$	60,993
Current liabilities		1,119
Net assets acquired	$	59,874

Summary of Intangible Assets

The intangible assets of $29,560,000 consist of the following (in thousands):

	Amount		Useful life
Current technology	$	6,260		5 years
Patents and patent rights		4,580		7 years
Customer relationships		18,720		5 to 9 years
Acquired other intangibles	$	29,560

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Commitments and Contingencies (Tables)

12 Months Ended

Dec. 31, 2013

Commitments And Contingencies Disclosure [Abstract]

Schedule of Minimum Future Obligations Under All Non-Cancelable Operating Leases

Leases. Minimum future obligations under all non-cancelable operating leases as of December 31, 2013 are as follows (in thousands):

	Operating     Leases
2014	$	15,619
2015		11,842
2016		7,368
2017		7,636
2018		6,105
Thereafter		34,805
Total minimum lease obligations	$	83,375

Schedule of Rent Expense for Operating Leases

Rent expense for operating leases charged to operations was as follows (in thousands):

	Year Ended December 31,
		2013		2012		2011
Rent expense	$	15,750	$	15,254	$	13,907

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Discontinued Operations

12 Months Ended

Dec. 31, 2013

Discontinued Operations And Disposal Groups [Abstract]

Discontinued Operations

Note 23 Discontinued Operations

Sale of Navis, LLC—On March 18, 2011, we sold our Navis marine terminal solutions business and the related WhereNet marine terminal solutions product line of our Zebra Enterprise Solutions (“ZES”) business segment for approximately $188,588,000 in cash to Cargotec Corporation. As of December 31, 2011, Zebra had a short term receivable from the buyer in the amount of $27,580,000 which represented funds held in escrow, of which, we received $13,790,000 in the first quarter of 2012 and the remaining $13,790,000 in the third quarter of 2012.

Sale of proveo AG—On August 3, 2011, we entered into a Share Purchase Agreement with F Two NV (a Belgium company) to sell all of our interest in Zebra Enterprise Solutions GmbH (formerly proveo AG) business. The loss recorded upon divestiture was $1,248,000. Zebra realized tax benefits in the amount of $13,308,000 with the divestiture of proveo AG. These tax benefits are primarily related to the difference in book basis versus tax basis. As part of the sale, Zebra agreed with the buyer to provide a revolving loan of up to €1,000,000 which was due on August 3, 2012 and bore interest at 6.5%. Zebra considered this loan unlikely to be repaid in full and established a reserve for the maximum loss. During 2012, the maximum value on Zebra’s loan to the purchaser was reduced to €526,058 and Zebra recorded a gain of $930,000 as a result of reducing the loan loss reserve to the new maximum loss. During 2013, Zebra received some additional payments on the loan and the remaining balance outstanding was forgiven. Zebra recorded a gain of $201,000 as a result of the payments received and loan cancellation.

Beginning in the first quarter of 2011, Zebra reported the results of these businesses as discontinued operations. The amounts presented below for discontinued operations include Navis and proveo assets and liabilities, and the operating results of these businesses for the years ended December 31, 2013, 2012 and 2011. With the Navis sale, Zebra consolidated the remaining ZES Location Solutions operations.

Summary results for discontinued operations in our consolidated statement of earnings are as follows (in thousands):

	Year Ended December 31
	2013		2012		2011
Net sales	$	0	$	0	$	13,945
Loss from discontinued operations	$	7	$	(141)	$	(13,971)
Income tax benefit (expense)		(75)		218		1,299
Gain on sale of discontinued operations		201		930		68,745
Income tax expense on sale		0		0		(11,773)
Income from discontinued operations	$	133	$	1,007	$	44,300

The components of cash flows of discontinued operations in our consolidated statement of cash flows are as follows (in thousands):

	Year Ended December  31
	2013		2012		2011
Cash flows from discontinued operations:
Net cash (used) by operating activities	$	0	$	0	$	(1,301)
Net cash provided by (used in) by investing activities		0		0		0
Net cash provided by (used in) by financing activities		0		0		0
Effect of exchange rate changes on cash		0		0		0
Net decrease in cash and cash equivalents		0		0		(1,301)
Cash and cash equivalents at beginning of period		0		0		1,301
Cash and cash equivalents at end of period	$	0	$	0	$	0

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Business Combinations

12 Months Ended

Dec. 31, 2013

Business Combinations [Abstract]

Business Combinations

Note 24 Business Combinations

Hart Systems. On December 18, 2013, Zebra acquired all of the outstanding membership interests in Hart Systems, LLC (a New York limited liability company) for $95,669,326 in cash, subject to a working capital adjustment. As part of the acquisition closing, an escrow balance of approximately $9,402,500 was established against the total purchase price.

Hart Systems, a leading provider of self-directed physical inventory management solutions to the retail industry, has distinguished itself in the market by offering retailers high ROI, self-managed inventory solutions. This acquisition enables us to expand our presence in the retail market segment by offering additional inventory management services as part of Zebra’s dedicated Retail Solutions. It adds software as a service (SaaS) to Zebra’s product and service portfolio. The allocations of the purchase price for this acquisition have been prepared on a preliminary basis and changes to these allocations may occur as additional information becomes available. Acquired goodwill represents the premium paid over the fair value of the net tangible and intangible assets acquired. Zebra paid this premium for a number of reasons, including acquiring an experienced workforce and enhancing technology capabilities. Pro forma results have not been presented because the effect of the acquisition is not material to the company’s financial results.

The following table (in thousands) summarizes the estimated fair values of the assets acquired and the liabilities assumed at the date of acquisition:

	As of
	December 31, 2013
Current assets	$	2,600
Property and equipment		11,134
Goodwill		60,858
Other intangibles		37,200
Total assets acquired	$	111,792
Current liabilities		2,285
Long term liabilities		13,838
Net assets acquired	$	95,669

On a preliminary basis pending the receipt of final valuations, the purchase price was allocated to identifiable tangible and intangible assets acquired and liabilities assumed based on their estimated fair values resulting in goodwill of $60,858,000. The intangible assets of $37,200,000 consist of the following (in thousands):

	Amount		Useful life
Customer relationships	$	32,100	15 years
Developed technology/know-how		4,800	5 years
Trade name		300	1 year
Acquired other intangibles	$	37,200

The goodwill is not deductible for tax purposes.

LaserBand LLC. On July 13, 2012, Zebra acquired all of the outstanding membership interests in LaserBand LLC (a Missouri limited liability company) for a cash purchase price of $59,874,000, included in this amount was cash acquired of $1,431,000.

LaserBand LLC is based in St. Louis, Missouri, and is a leader in patient identification wristbands and related products. LaserBand strengthens Zebra’s product and patent portfolio and enables Zebra to offer a wider array of products to hospitals, other healthcare organizations and other wristband customers. The consolidated financial statements include the operating results of LaserBand from the date of acquisition. Pro forma results have not been presented because the effect of the acquisition is not material to the company’s financial results.

The following table (in thousands) summarizes the estimated fair values of the assets acquired and the liabilities assumed at the date of acquisition:

	As of
	July 13, 2012
Current assets	$	7,017
Property and equipment		46
Other assets		17
Goodwill		24,353
Other intangibles		29,560
Total assets acquired	$	60,993
Current liabilities		1,119
Net assets acquired	$	59,874

The purchase price was allocated to identifiable tangible and intangible assets acquired and liabilities assumed based on their estimated fair values resulting in goodwill of $24,353,000. The intangible assets of $29,560,000 consist of the following (in thousands):

	Amount		Useful life
Current technology	$	6,260		5 years
Patents and patent rights		4,580		7 years
Customer relationships		18,720		5 to 9 years
Acquired other intangibles	$	29,560

The goodwill is deductible for tax purposes.

StepOne Systems. On December 21, 2012, Zebra acquired StepOne Systems for a cash purchase price of $1,543,000, included in this amount was cash acquired of $110,000. StepOne is a specialty software company focused on solving business retailer’s challenges through mobile technology. StepOne is located in Pittsburgh, Pennsylvania.

StepOne has been able to increase sales via customer facing technologies, reduced out-of-stock, labor cost reduction, increased inventory/shipping accuracy and reduction in manual errors. Retail is an important part of our strategy to further penetrate existing markets. Retail organizations worldwide are increasingly embracing technology to improve the customer experience, build brand loyalty and enhance operational efficiency in the front and back of the store. This investment gives Zebra’s a more comprehensive solution in mobile POS and makes Zebra more competitive in this market space.

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Description of Business

12 Months Ended

Dec. 31, 2013

Accounting Policies [Abstract]

Description of Business

Note 1 Description of Business

Zebra Technologies Corporation and its wholly-owned subsidiaries (Zebra) design, manufacture, sell and support a broad range of direct thermal and thermal transfer label printers, radio frequency identification printer/encoders, dye sublimation card printers, real-time locating solutions, related accessories and support software. These products are used principally in automatic identification (auto ID), data collection and personal identification applications and are distributed world-wide through a network of resellers, distributors and end users representing a wide cross-section of industrial, service and government organizations.

In 2008 and 2007, we acquired WhereNet Corp., proveo AG, Navis Holdings, LLC (Navis) and Multispectral Solutions Inc., which we referred to as Zebra Enterprise Solutions Group (ZES). On January 31, 2011, we announced a definitive agreement to sell the Navis operations and certain other assets of ZES. Upon completion of the transaction we consolidated the remaining operations of ZES and no longer report ZES as a separate segment since it is not greater than 10% of Zebra’s consolidated totals.

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Valuation and Qualifying Accounts

12 Months Ended

Dec. 31, 2013

Valuation And Qualifying Accounts [Abstract]

Valuation and Qualifying Accounts

ZEBRA TECHNOLOGIES CORPORATION AND SUBSIDIARIES

Schedule II

Valuation and Qualifying Accounts

(Amounts in thousands)

Description	Balance at Beginning of Period		Charged to Costs and Expenses		Deductions / (Recoveries)		Balance at End of Period
Valuation account for accounts receivable:
Year ended December 31, 2013	$	669	$	373	$	589	$	453
Year ended December 31, 2012	$	1,560	$	0	$	891	$	669
Year ended December 31, 2011	$	1,459	$	343	$	242	$	1,560
Valuation accounts for inventories:
Year ended December 31, 2013	$	13,655	$	8,473	$	9,567	$	12,561
Year ended December 31, 2012	$	14,710	$	6,758	$	7,813	$	13,655
Year ended December 31, 2011	$	9,837	$	8,762	$	3,889	$	14,710

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Derivative Instruments - Financial Information Related to Cash Flow Hedges (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Derivative [Line Items]
Unrealized losses on hedging transactions, Gross	$ 208	$ (9,936)	$ 8,878
Unrealized losses on hedging transactions, Income tax expense (benefit)	90	(2,695)	2,669
Unrealized losses on hedging transactions, Net	118	(7,241)	6,209
Cash Flow Hedging [Member]
Derivative [Line Items]
Unrealized losses on hedging transactions, Gross	208	(9,936)
Unrealized losses on hedging transactions, Income tax expense (benefit)	90	(2,695)
Unrealized losses on hedging transactions, Net	$ 118	$ (7,241)

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Geographic Data - Information Regarding Operations by Geographic Area (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Revenues from External Customers and Long-Lived Assets [Line Items]
Total net sales	$ 1,038,159	$ 996,168	$ 983,488
Long-lived assets	109,588	101,349	97,822
North America [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Total net sales	459,908	435,520	409,208
Long-lived assets	97,768	90,363	88,382
Europe, Middle East & Africa [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Total net sales	326,470	322,970	342,578
Long-lived assets	8,149	7,522	5,965
Latin America [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Total net sales	99,041	100,101	89,715
Long-lived assets	502	538	362
Asia Pacific [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Total net sales	152,740	137,577	141,987
Long-lived assets	$ 3,169	$ 2,926	$ 3,113

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Goodwill and Other Intangible Asset Data (Tables)

12 Months Ended

Dec. 31, 2013

Goodwill And Intangible Assets Disclosure [Abstract]

Amortized Intangible Assets

Intangible asset data are as follows (in thousands):

	As of December 31, 2013
	Gross Amount		Accumulated Amortization			Net Amount
Amortized intangible assets
Current technology	$	23,778	$	(14,060	)	$	9,718
Patent and patent rights		29,569		(17,919	)		11,650
Customer relationships		52,893		(5,293	)		47,600
Total	$	106,240	$	(37,272	)	$	68,968
			$	7,383

As of December 31, 2012
	Gross Amount		Accumulated Amortization			Net Amount
Amortized intangible assets
Current technology	$	18,978	$	(12,391	)	$	6,587
Patent and patent rights		29,569		(14,618	)		14,951
Customer relationships		20,493		(2,880	)		17,613
Total	$	69,040	$	(29,889	)	$	39,151
Amortization expense for the year ended December 31, 2012			$	4,673

Estimated Amortization Expense

Estimated amortization expense:
For the year ended December 31, 2014	$	10,533
For the year ended December 31, 2015		9,769
For the year ended December 31, 2016		9,331
For the year ended December 31, 2017		8,100
For the year ended December 31, 2018		5,867
Thereafter		25,368
Total	$	68,968

Changes in Net Carrying Value of Goodwill

Changes in the net carrying value amount of goodwill were as follows (in thousands):

	Total
Unamortized intangible assets:
Goodwill at gross cost	$	180,731
Impairment charge – 2008		(101,028	)
Goodwill as of December 31, 2011		79,703
Acquisition – LaserBand		24,353
Impairment charge – 2012		(9,114	)
Goodwill as of December 31, 2012		94,942
Acquisition – Hart Systems		60,858
Goodwill as of December 31, 2013	$	155,800

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Major Customers (Tables)

12 Months Ended

Dec. 31, 2013

Text Block [Abstract]

Significant Customers as Percentage of Total Net Sales

Our net sales to significant customers as a percentage of total net sales were as follows:

	Year Ended December 31,
	2013		2012		2011
Customer A		16.8%		20.4%		20.7%
Customer B		13.1%		11.4%		10.5%
Customer C		12.3%		10.3%		8.9%

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Property and Equipment - Components of Property and Equipment (Detail) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Property, Plant and Equipment [Line Items]
Gross Property and Equipment	$ 295,668	$ 268,065
Less accumulated depreciation and amortization	(186,080)	(166,716)
Net property and equipment	109,588	101,349
Buildings [Member]
Property, Plant and Equipment [Line Items]
Gross Property and Equipment	4,613	2,134
Land [Member]
Property, Plant and Equipment [Line Items]
Gross Property and Equipment	504	504
Machinery, Equipment and Tooling [Member]
Property, Plant and Equipment [Line Items]
Gross Property and Equipment	110,728	88,222
Furniture and Office Equipment [Member]
Property, Plant and Equipment [Line Items]
Gross Property and Equipment	13,448	12,672
Computers and Software [Member]
Property, Plant and Equipment [Line Items]
Gross Property and Equipment	139,723	130,357
Automobiles [Member]
Property, Plant and Equipment [Line Items]
Gross Property and Equipment	18	18
Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Gross Property and Equipment	17,880	16,380
Projects In Progress - Computers and Software [Member]
Property, Plant and Equipment [Line Items]
Gross Property and Equipment	2,079	2,217
Projects in Progress - Other [Member]
Property, Plant and Equipment [Line Items]
Gross Property and Equipment	$ 6,675	$ 15,561

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CONSOLIDATED BALANCE SHEETS (USD $) In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Current assets:
Cash and cash equivalents	$ 62,827	$ 64,740
Investments and marketable securities	350,380	324,140
Accounts receivable, net	176,917	168,732
Inventories, net	121,023	123,357
Deferred income taxes	19,810	13,484
Income tax receivable	7,622	0
Prepaid expenses and other current assets	15,524	16,410
Total current assets	754,103	710,863
Property and equipment at cost, less accumulated depreciation and amortization	109,588	101,349
Long-term deferred income taxes	0	2,602
Goodwill	155,800	94,942
Other intangibles, net	68,968	39,151
Long-term investments and marketable securities	2,588	5,195
Other assets	28,765	13,646
Total assets	1,119,812	967,748
Current liabilities:
Accounts payable	34,688	23,045
Accrued liabilities	61,962	57,234
Deferred revenue	15,506	13,326
Income taxes payable	6,898	1,609
Total current liabilities	119,054	95,214
Long-term deferred tax liability	25,492	0
Deferred rent	1,131	1,303
Other long-term liabilities	15,477	14,229
Total liabilities	161,154	110,746
Stockholders' equity:
Class A Common Stock	722	722
Additional paid-in capital	143,295	139,523
Treasury stock	(678,456)	(641,438)
Retained earnings	1,502,878	1,368,520
Accumulated other comprehensive loss	(9,781)	(10,325)
Total stockholders' equity	958,658	857,002
Total liabilities and stockholders' equity	$ 1,119,812	$ 967,748

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Savings and Profit Sharing Plans (Tables)

12 Months Ended

Dec. 31, 2013

Postemployment Benefits [Abstract]

Schedule of Company Contributions to Retirement Savings and Investment Plan

Company contributions to these plans, which were charged to operations, approximated the following (in thousands):

	Year Ended December 31,
	2013		2012		2011
401(k)	$	4,865	$	5,138	$	4,813
Total	$	4,865	$	5,138	$	4,813

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Equity-Based Compensation - Additional Information (Detail) (USD $)	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares, Granted	0	0	0
Unearned compensation costs related to awards granted	$ 17,646,000
Unearned compensation cost, expected to be recognized over period (years)	2 years 3 months 18 days
Expected weighted-average life	5 years 5 months 1 day	5 years 5 months 23 days	5 years 5 months 1 day
Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected weighted-average life	3 months
Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected weighted-average life	1 year
Stock Option and Stock Appreciation Rights (SARs) [Member] | Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period	4 years
Stock Option and Stock Appreciation Rights (SARs) [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period	5 years
2011 Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares authorized for issuance of awards	5,500,000
Shares available for grant	4,212,339
Options outstanding	691,874
Expiration period (in years)	10 years
Expiration period, if employee is terminated involuntarily other than for cause (days)	90 days
Expiration period, if employee voluntarily terminates his or her employment (days)	30 days
Expiration period, if employee's employment terminates due to death, disability, or retirement (Years)	1 year
RSA [Member] | Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period	3 years
RSA [Member] | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period	5 years
2006 Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expiration period (in years)	10 years
Expiration period, if employee is terminated involuntarily other than for cause (days)	90 days
Expiration period, if employee voluntarily terminates his or her employment (days)	30 days
Expiration period, if employee's employment terminates due to death, disability, or retirement (Years)	1 year
Shares outstanding and exercisable	1,111,435
1997 Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares outstanding and exercisable	471,990
2002 Director Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares outstanding and exercisable	80,000
Expiration period (in years)	10 years
WhereNet Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares outstanding and exercisable	3,262
2011 Stock Purchase Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Minimum working hours per week			20
Maximum percentage of compensation deductions			10.00%
Stock purchase plan expense	$ 224,000	$ 242,000	$ 321,000
2011 Stock Purchase Plan [Member] | Date Of The Grant [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percentage of purchase price on fair market value			95.00%
2011 Stock Purchase Plan [Member] | Date Of Purchase [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percentage of purchase price on fair market value			95.00%
Stock Appreciation Rights (SARs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Options outstanding	1,402,784	1,535,804	1,287,724	1,234,787
Expiration period (in years)	10 years
Shares outstanding and exercisable	520,426	514,787	305,228
Shares, Granted	326,811	431,040	387,847
Shares expected to vest		20,155
Stock Appreciation Rights (SARs) [Member] | Vest Annually In Each Of First Four Anniversaries [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares expected to vest	326,811	410,885

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Other Comprehensive Income (Loss) - Components of Other Comprehensive Income (Loss) (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Other Comprehensive Income Loss [Line Items]
Unrealized gains (losses) on hedging transactions, Gross (recognized in OCI)	$ 3,297	$ (14,757)	$ 12,196
Foreign currency translation adjustments	(7,839)	(8,721)	(8,963)	(8,275)
Unrealized gains (losses) on hedging transactions, Income tax (benefit) (recognized in OCI)	862	(3,900)	3,615
Unrealized gains (losses) on hedging transactions, Net (recognized in OCI)	2,435	(10,857)	8,581
Unrealized gains (losses) on investments, Gross (recognized in OCI)	(1,294)	1,052	(756)
Unrealized gains (losses) on investments, Income tax (benefit) (recognized in OCI)	(423)	349	(269)
Unrealized gains (losses) on investments, Net (recognized in OCI)	(871)	703	(487)
Foreign currency translation adjustments (recognized in OCI)	566	321	178
Total accumulated other comprehensive loss (recognized in OCI)	2,130	(9,833)	8,272
Unrealized gains (losses) on hedging transactions, Gross (reclassified from AOCI to income)	(3,089)	4,821	(3,318)
Unrealized gains (losses) on hedging transactions, Income tax (benefit) (reclassified from AOCI to income)	(772)	1,205	(946)
Unrealized gains (losses) on hedging transactions, Net (reclassified from AOCI to income)	(2,317)	3,616	(2,372)
Unrealized gains (losses) on investments, Gross (reclassified from AOCI to income)	603	285	159
Unrealized gains (losses) on investments, Income tax (benefit) (reclassified from AOCI to income)	188	101	57
Unrealized gains (losses) on investments, Net (reclassified from AOCI to income)	415	184	102
Foreign currency translation adjustments (reclassified from AOCI to income)	316	(79)	(866)
Total accumulated other comprehensive loss (reclassified from AOCI to income)	(1,586)	3,721	(3,136)
Unrealized gains (losses) on hedging transactions, Gross (Subtotal)	208	(9,936)	8,878
Unrealized gains losses on hedging transactions, (Income) tax (benefit) (Subtotal)	90	(2,695)	2,669
Unrealized gains (losses) on hedging transactions, Net (Subtotal)	118	(7,241)	6,209
Unrealized gains (losses) on investments, Gross (Subtotal)	(691)	1,337	(597)
Unrealized gains (losses) on investments, Income tax (benefit) (Subtotal)	(235)	450	(212)
Unrealized gains (losses) on investments, Net (Subtotal)	(456)	887	(385)
Foreign currency translation adjustments (Subtotal)	882	242	(688)
Total accumulated other comprehensive loss (Subtotal)	544	(6,112)	5,136
Total accumulated other comprehensive gains (losses)	(9,781)	(10,325)	(4,213)	(9,349)
Hedging [Member]
Other Comprehensive Income Loss [Line Items]
Unrealized gains (losses) on hedging transactions, Gross	(2,373)	(2,581)	7,355	(1,523)
Unrealized gains (losses) on hedging transactions, Income tax (benefit)	(509)	(599)	2,096	(573)
Total accumulated other comprehensive gains (losses)	(1,864)	(1,982)	5,259	(950)
Investments [Member]
Other Comprehensive Income Loss [Line Items]
Unrealized gains (losses) on hedging transactions, Gross	(151)	540	(797)	(200)
Unrealized gains (losses) on hedging transactions, Income tax (benefit)	(73)	162	(288)	(76)
Total accumulated other comprehensive gains (losses)	$ (78)	$ 378	$ (509)	$ (124)

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CONSOLIDATED STATEMENTS OF STOCKHOLDERS EQUITY (Parenthetical)	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Repurchase of Class A Common Stock, shares	1,356,861	1,473,863	4,353,801
Issuance of treasury shares upon exercise of stock options, purchases under stock purchase plan and grants of restricted stock awards, shares	980,999	488,863	809,084
Additional Paid-in Capital [Member]
Issuance of treasury shares upon exercise of stock options, purchases under stock purchase plan and grants of restricted stock awards, shares	980,999	488,863	809,084
Treasury Stock [Member]
Repurchase of Class A Common Stock, shares	1,356,861	1,473,863	4,353,801
Issuance of treasury shares upon exercise of stock options, purchases under stock purchase plan and grants of restricted stock awards, shares	980,999	488,863	809,084

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Earnings (Loss) Per Share - Computation of Earnings Per Share (Detail) (USD $) In Thousands, except Per Share data, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Weighted average shares:
Weighted average common shares outstanding	50,693	51,566	53,854
Effect of dilutive securities outstanding	370	277	337
Diluted weighted average shares outstanding	51,063	51,843	54,191
Earnings (loss):
Income from continuing operations	$ 134,225	$ 121,897	$ 130,343
Income (loss) from discontinued operations	133	1,007	44,300
Net income	$ 134,358	$ 122,904	$ 174,643
Basic per share amounts:
Income from continuing operations	$ 2.65	$ 2.36	$ 2.42
Income (loss) from discontinued operations	$ 0.00	$ 0.02	$ 0.82
Net Income	$ 2.65	$ 2.38	$ 3.24
Diluted per share amounts:
Income from continuing operations	$ 2.63	$ 2.35	$ 2.40
Income (loss) from discontinued operations	$ 0.00	$ 0.02	$ 0.82
Net Income	$ 2.63	$ 2.37	$ 3.22

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Summary of Significant Accounting Policies - Summary of Accrued Warranty Obligation (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Accounting Policies [Abstract]
Balance at the beginning of the year	$ 4,252	$ 4,613	$ 4,554
Warranty expense	7,440	6,828	5,856
Warranty payments	(7,567)	(7,189)	(5,797)
Balance at the end of the period	$ 4,125	$ 4,252	$ 4,613

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Equity-Based Compensation - Summary of Stock Option Activity (Detail) (USD $)	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares, Granted	0	0	0
Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares, Outstanding at beginning of year	1,531,844	1,702,650	2,340,959
Shares, Granted	0	0	0
Shares, Exercised	(543,922)	(148,802)	(490,715)
Shares, Forfeited	0	(1,663)	(63,714)
Shares, Expired	(32,145)	(20,341)	(83,880)
Shares, Outstanding at end of period	955,777	1,531,844	1,702,650
Shares, Exercisable at end of period	955,777	1,527,814	1,589,096
Weighted-Average Exercise Price, Outstanding at beginning of year	$ 41.69	$ 40.43	$ 37.35
Weighted-Average Exercise Price, Granted	$ 0.00	$ 0.00	$ 0.00
Weighted-Average Exercise Price, Exercised	$ 39.54	$ 27.02	$ 26.63
Weighted-Average Exercise Price, Forfeited	$ 0.00	$ 36.36	$ 32.29
Weighted-Average Exercise Price, Expired	$ 45.81	$ 43.63	$ 40.76
Weighted-Average Exercise Price, Outstanding at end of year	$ 42.78	$ 41.69	$ 40.43
Weighted-Average Exercise Price, Exercisable at end of year	$ 42.78	$ 41.75	$ 40.84
Intrinsic value of exercised options	$ 4,300,000	$ 1,700,000	$ 6,400,000

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Fair Value Measurements (Tables)

12 Months Ended

Dec. 31, 2013

Fair Value Disclosures [Abstract]

Financial Assets and Liabilities Carried at Fair Value

Financial assets and liabilities carried at fair value as of December 31, 2013, are classified below (in thousands):

	Level 1		Level 2		Level 3		Total
Assets:
U.S. government and agency securities	$	89,626	$	0	$	0	$	89,626
Obligations of government-sponsored enterprises (1)		0		33,510		0		33,510
State and municipal bonds		0		51,627		0		51,627
Corporate securities		0		163,832		2,588		166,420
Other investments		0		11,785		0		11,785
Investments subtotal		89,626		260,754		2,588		352,968
Money market investments related to the deferred compensation plan		4,827		0		0		4,827
Total assets at fair value	$	94,453	$	260,754	$	2,588	$	357,795
Liabilities:
Forward contracts (2)	$	1,165	$	1,578	$	0	$	2,743
Liabilities related to the deferred compensation plan		4,827		0		0		4,827
Total liabilities at fair value	$	5,992	$	1,578	$	0	$	7,570

Financial assets and liabilities carried at fair value as of December 31, 2012, are classified below (in thousands):

	Level 1		Level 2		Level 3		Total
Assets:
U.S. government and agency securities	$	83,532	$	13,455	$	0	$	96,987
Obligations of government-sponsored enterprises (1)		0		4,840		0		4,840
State and municipal bonds		0		96,516		0		96,516
Corporate securities		0		128,368		2,588		130,956
Other investments		0		36		0		36
Investments subtotal		83,532		243,215		2,588		329,335
Money market investments related to the deferred compensation plan		3,553		0		0		3,553
Total assets at fair value	$	87,085	$	243,215	$	2,588	$	332,888
Liabilities:
Forward contracts (2)	$	1,174	$	871	$	0	$	2,045
Liabilities related to the deferred compensation plan		3,553		0		0		3,553
Total liabilities at fair value	$	4,727	$	871	$	0	$	5,598

1) Includes investments in notes issued by the Federal Home Loan Mortgage Corporation, the Federal National Mortgage Association, the Federal Farm Credit Banks and the Federal Home Loan Bank.

2) The fair value of forward contracts are calculated as follows:

a. Fair value of a collar or put option contract associated with forecasted sales hedges are calculated using bid and ask rates for similar contracts.

b. Fair value of regular forward contracts associated with forecasted sales hedges are calculated using the period-end exchange rate adjusted for current forward points.

c. Fair value of balance sheet hedges are calculated at the period end exchange rate adjusted for current forward points unless the hedge has been traded but not settled at period end. If this is the case, the fair value is calculated at the rate at which the hedge is being settled.

Assets Measured Fair Value on Recurring Basis

The following table presents Zebra’s activity for assets measured at fair value on a recurring basis using significant unobservable inputs, Level 3 as defined in ASC 820 for the years ended December 31 (in thousands):

	Year Ended
	December 31, 2013		December 31, 2012
Balance at beginning of the year	$	2,588	$	2,588
Transfers to Level 3		0		0
Total losses (realized or unrealized):
Included in earnings		0		0
Included in other comprehensive income (loss)		0		0
Purchases and settlements (net)		0		0
Balance at end of period	$	2,588	$	2,588
Total gains (losses) for the period included in earnings attributable to the change in unrealized losses relating to assets still held at end of period	$	0	$	0

Summary of Short-Term and Long-Term Investments

The following is a summary of short-term and long-term investments at December 31, 2013 and December 31, 2012 (in thousands):

	As of December 31, 2013
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
U.S. government and agency securities	$	89,617	$	27	$	(18	)	$	89,626
Obligations of government-sponsored enterprises		33,506		5		(1	)		33,510
State and municipal bonds		51,573		82		(28	)		51,627
Corporate securities		166,642		453		(675	)		166,420
Other investments		11,771		15		(1	)		11,785
Total investments	$	353,109	$	582	$	(723	)	$	352,968
	As of December 31, 2012
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
U.S. government and agency securities	$	96,913	$	77	$	(3	)	$	96,987
Obligations of government-sponsored enterprises		4,830		10		0			4,840
State and municipal bonds		96,383		161		(28	)		96,516
Corporate securities		130,634		790		(468	)		130,956
Other investments		36		0		0			36
Total investments	$	328,796	$	1,038	$	(499	)	$	329,335

Maturity Dates of Investment

The maturity dates of investments as of December 31, 2013 are as follows (in thousands):

	As of December 31, 2013
	Amortized Cost		Estimated Fair Value
Less than 1 year	$	130,430	$	130,490
1 to 5 years		211,744		212,087
6 to 10 years		10,935		10,391
Thereafter		0		0
Total	$	353,109	$	352,968

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Fair Value Measurements - Maturity Dates of Investments (Detail) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Fair Value Measurements, Maturity Dates Of Investments [Line Items]
Amortized Cost	$ 353,109	$ 328,796
Estimated Fair Value	352,968	329,335
Less Than 1 Year [Member]
Fair Value Measurements, Maturity Dates Of Investments [Line Items]
Amortized Cost	130,430
Estimated Fair Value	130,490
1 to 5 Years [Member]
Fair Value Measurements, Maturity Dates Of Investments [Line Items]
Amortized Cost	211,744
Estimated Fair Value	212,087
6 to 10 Years [Member]
Fair Value Measurements, Maturity Dates Of Investments [Line Items]
Amortized Cost	10,935
Estimated Fair Value	10,391
Thereafter [Member]
Fair Value Measurements, Maturity Dates Of Investments [Line Items]
Amortized Cost	0
Estimated Fair Value	$ 0

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Earnings (Loss) Per Share

12 Months Ended

Dec. 31, 2013

Earnings Per Share [Abstract]

Earnings (Loss) Per Share

Note 15 Earnings (Loss) Per Share

For the years ended December 31, 2013, 2012, and 2011, earnings (loss) per share were computed as follows (in thousands, except per-share amounts):

	Year Ended December 31,
	2013		2012		2011
Weighted average shares:
Weighted average common shares outstanding		50,693		51,566		53,854
Effect of dilutive securities outstanding		370		277		337
Diluted weighted average shares outstanding		51,063		51,843		54,191
Earnings (loss):
Income from continuing operations	$	134,225	$	121,897	$	130,343
Income (loss) from discontinued operations		133		1,007		44,300
Net Income	$	134,358	$	122,904	$	174,643
Basic per share amounts:
Income from continuing operations	$	2.65	$	2.36	$	2.42
Income (loss) from discontinued operations		0.00		0.02		0.82
Net Income	$	2.65	$	2.38	$	3.24
Diluted per share amounts:
Income from continuing operations	$	2.63	$	2.35	$	2.40
Income (loss) from discontinued operations		0.00		0.02		0.82
Net Income	$	2.63	$	2.37	$	3.22

The potentially dilutive securities that were excluded from the earnings (loss) per share calculation consist of stock options and stock appreciation rights (SARs) with an exercise price greater than the average market price of the Class A Common Stock. These options were as follows:

	Year Ended December 31,
	2013		2012		2011
Potentially dilutive shares		168,472		1,753,311		1,425,880

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Investments and Marketable Securities (Tables)

12 Months Ended

Dec. 31, 2013

Investments Debt And Equity Securities [Abstract]

Changes in Unrealized Gains and Losses on Available-for-sale Securities

Changes in unrealized gains and losses on available-for-sale securities are included in these financial statements as follows (in thousands):

	Year Ended December 31,
	2013		2012		2011
Changes in unrealized gains and losses on available-for- sale securities, net of tax, recorded in accumulated other comprehensive income (loss)	$	(456)	$	887	$	(385)

Aggregate Market Value and Unrealized Losses of Investment

The following table shows the number, aggregate market value and unrealized losses (in thousands) of investments with market values that were less than amortized cost as of December 31, 2013. These lower market values are primarily caused by fluctuations in interest rates and credit spreads. Market values are expected to recover to the amortized cost prior to maturity.

	Unrealized Loss < 12 months					Unrealized Loss > 12 months
	Number of investments	Aggregate Market Value		Unrealized     Losses		Number of investments	Aggregate Market Value		Unrealized     Losses
Government securities	0	$	0	$	0	3	$	23,207	$	(19)
State and municipal bonds	5		7,368		(8)	4		6,559		(20)
Corporate Securities	9		3,031		(2)	60		51,757		(673)
Other	1		1,018		0	2		2,982		(1)
Total	15	$	11,417	$	(10)	69	$	84,505	$	(713)

As of December 31, 2012, the number, aggregate market value and unrealized losses (in thousands) of investments with market values that were less than amortized cost were:

	Unrealized Loss < 12 months					Unrealized Loss > 12 months
	Number of investments	Aggregate Market Value		Unrealized Losses		Number of investments	Aggregate Market Value		Unrealized Losses
Government securities	4	$	5,179	$	(3)	1	$	1,790	$	(0)
State and municipal bonds	19		24,969		(27)	1		1,092		(1)
Corporate Securities	33		15,429		(23)	14		7,262		(445)
Total	56	$	45,577	$	(53)	16	$	10,144	$	(446)

Schedule of Realized Gains on the Sales of Available-For-Sale Securities

Using the specific identification method, the proceeds and realized gains on the sales of available-for-sale securities were as follows (in thousands):

	Year Ended December 31,
	2013			2012			2011
Proceeds	$	336,741		$	164,410		$	303,801
Realized gains		727			423			388
Realized losses		(81	)		(78	)		(306)
Net realized gains included in other comprehensive income (loss) as of the end of the prior year		603			285			159

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Equity-Based Compensation - Weighted-Average Assumptions Used for Grants of Stock Options and SARs (Detail) (USD $)	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected dividend yield	0.00%	0.00%	0.00%
Forfeiture rate	10.31%	10.21%	11.50%
Risk free interest rate, minimum	0.02%	0.07%	0.01%
Risk free interest rate, maximum	1.78%	1.95%	3.18%
Expected weighted-average life	5 years 5 months 1 day	5 years 5 months 23 days	5 years 5 months 1 day
Fair value of stock appreciation rights (SARs) granted	$ 4,528,000	$ 5,533,000	$ 5,495,000
Weighted-average grant date fair value of SARs granted	$ 13.86	$ 12.84	$ 14.29
Stock Option and Stock Appreciation Rights (SARs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Volatility	32.00%	35.90%	35.33%
Risk free interest rate	0.82%	0.94%	2.01%

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Business Combinations - Additional Information (Detail) (USD $)			0 Months Ended
	Dec. 31, 2013 Hart Systems LLC [Member]	Dec. 18, 2013 Hart Systems LLC [Member]	Jul. 13, 2012 Laserband LLC [Member]	Dec. 21, 2012 StepOne Systems [Member]
Business Acquisition [Line Items]
Escrow balance established against the total purchase price		$ 9,402,500
Cash acquired in business combination		95,669,326	59,874,000	1,543,000
Business acquisition goodwill amount	60,858,000		24,353,000
Business acquisition intangible assets	37,200,000		29,560,000
Cash Acquired from Acquisition			$ 1,431,000	$ 110,000

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Deferred Compensation Plan

12 Months Ended

Dec. 31, 2013

Compensation Related Costs [Abstract]

Deferred Compensation Plan

Note 17 Deferred Compensation Plan

Zebra offers a deferred compensation plan that permits directors and executive management employees to defer portions of their compensation and to select a method of investing these funds. The salaries that have been deferred since the plan’s inception have been accrued and the only expense, other than salaries, related to this plan is the gain or loss from the changes to the deferred compensation liability, which is charged to compensation expense. To fund this plan, Zebra purchases mutual funds in the form of stock or bond funds.

The following table shows the income, asset and liability amounts related to this plan (in thousands):

	As of December 31,
	2013		2012
Mutual funds included in other assets	$	4,827	$	3,553
Deferred compensation liability included in other long-term liabilities	$	4,827	$	3,553

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Investments and Marketable Securities - Schedule of Realized Gains on Sales of Available-for-Sale Securities (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Available For Sale Securities [Abstract]
Proceeds	$ 336,741	$ 164,410	$ 303,801
Realized gains	727	423	388
Realized losses	(81)	(78)	(306)
Net realized gains included in other comprehensive income (loss) as of the end of the prior year	$ 603	$ 285	$ 159

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Income Taxes - Components of Provision for Income Taxes (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Income Tax Disclosure [Abstract]
Current, Federal	$ 9,556	$ 17,744	$ 7,250
Current, State	808	1,324	1,191
Current, Foreign	11,638	14,258	28,175
Total current	22,002	33,326	36,616
Deferred, Federal	7,118	8,656	12,477
Deferred, State	289	375	405
Deferred, Foreign	193	(80)	(122)
Deferred income taxes	7,600	8,951	12,760
Provision for income taxes	$ 29,602	$ 42,277	$ 49,376

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CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Cash flows from operating activities:
Net income	$ 134,358	$ 122,904	$ 174,643
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation and amortization	32,110	26,177	24,000
Equity-based compensation	13,109	14,727	14,095
Asset impairment charges	0	9,114	0
Impairment of investments	0	0	219
Excess tax benefit from share-based compensation	(4,277)	(1,578)	(1,392)
Loss on sale of property and equipment	224	311	284
Gain on sale of business	(201)	(930)	(68,745)
Deferred income taxes	7,929	8,067	10,796
Changes in assets and liabilities, net of businesses acquired:
Accounts receivable, net	(6,488)	(8,647)	(3,269)
Inventories, net	2,743	11,530	(19,545)
Other assets	(342)	7,304	(12,721)
Accounts payable	7,544	(14,605)	(5,439)
Accrued liabilities	6,220	(4,193)	(11,086)
Deferred revenue	2,133	4,351	(14,131)
Income taxes	(242)	16,335	(14,983)
Other operating activities	(54)	(7,536)	5,582
Net cash provided by operating activities	194,766	183,331	78,308
Cash flows from investing activities:
Purchases of property and equipment	(20,211)	(22,443)	(26,918)
Proceeds from the sale of business	0	27,580	161,206
Acquisition of businesses, net of cash acquired	(95,328)	(59,876)	0
Acquisition of intangible assets	(1,500)	(3,500)	(1,232)
Purchases of long-term investments	(12,021)	(9,125)	0
Purchases of investments and marketable securities	(410,283)	(347,609)	(991,633)
Maturities of investments and marketable securities	49,453	145,028	607,996
Proceeds from sales of investments and marketable securities	336,741	164,410	303,801
Net cash provided by (used in) investing activities	(153,149)	(105,535)	53,220
Cash flows from financing activities:
Purchase of treasury stock	(63,102)	(54,373)	(160,200)
Proceeds from exercise of stock options and stock purchase plan purchases	14,652	3,361	13,009
Excess tax benefit from equity-based compensation	4,277	1,578	1,392
Net cash used in financing activities	(44,173)	(49,434)	(145,799)
Effect of exchange rate changes on cash	643	(40)	1,835
Net increase (decrease) in cash and cash equivalents	(1,913)	28,322	(12,436)
Cash balance of discontinued operations at beginning of period	0	0	1,301
Cash balance of discontinued operations at end of period	0	0	0
Cash and cash equivalents at beginning of period	64,740	36,418	47,553
Cash and cash equivalents at end of period	62,827	64,740	36,418
Supplemental disclosures of cash flow information:
Income taxes paid	$ 18,418	$ 20,059	$ 65,364

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CONSOLIDATED STATEMENTS OF EARNINGS (USD $) In Thousands, except Per Share data, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Net sales
Net sales of tangible products	$ 984,532	$ 948,227	$ 936,282
Revenue from services and software	53,627	47,941	47,206
Total net sales	1,038,159	996,168	983,488
Cost of sales
Cost of sales of tangible products	507,513	479,633	469,834
Cost of services and software	27,036	24,891	26,885
Total cost of sales	534,549	504,524	496,719
Gross profit	503,610	491,644	486,769
Operating expenses:
Selling and marketing	138,020	129,906	127,797
Research and development	91,147	87,364	89,926
General and administrative	96,216	92,167	81,345
Amortization of intangible assets	7,383	4,673	3,320
Acquisition costs	4,690	3,109	304
Exit and restructuring costs	5,890	960	2,041
Asset impairment charge	0	9,114	0
Total operating expenses	343,346	327,293	304,733
Operating income	160,264	164,351	182,036
Other income (expense):
Investment income	2,366	2,485	1,944
Foreign exchange loss	(524)	(941)	(2,006)
Other, net	1,721	(1,721)	(2,255)
Total other income (expense)	3,563	(177)	(2,317)
Income from continuing operations before income taxes	163,827	164,174	179,719
Income taxes	29,602	42,277	49,376
Income from continuing operations	134,225	121,897	130,343
Income from discontinued operations, net of tax	133	1,007	44,300
Net income	$ 134,358	$ 122,904	$ 174,643
Basic earnings per share
Income from continuing operations	$ 2.65	$ 2.36	$ 2.42
Income from discontinued operations	$ 0.00	$ 0.02	$ 0.82
Net Income	$ 2.65	$ 2.38	$ 3.24
Diluted earnings per share
Income from continuing operations	$ 2.63	$ 2.35	$ 2.40
Income from discontinued operations	$ 0.00	$ 0.02	$ 0.82
Net Income	$ 2.63	$ 2.37	$ 3.22
Basic weighted average shares outstanding	50,693	51,566	53,854
Diluted weighted average and equivalent shares outstanding	51,063	51,843	54,191

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Costs Associated with Exit and Restructuring

12 Months Ended

Dec. 31, 2013

Restructuring And Related Activities [Abstract]

Costs Associated with Exit and Restructuring

Note 10 Costs Associated with Exit and Restructuring

In December 2012, Zebra began a plan to restructure its Location Solutions business management structure and announced a project to further optimize our manufacturing operations costs, which includes the consolidation and relocation of support functions. The costs below incurred for the year ended December 31, 2012 represent the costs related to the restructuring of Location Solutions business management structure. The costs expected to be incurred relate to the restructuring of Zebra’s manufacturing operations and relocation of this portion of Zebra’s business from the U.S. to China and consolidating some activities domestically.

Costs incurred through December 31, 2013 and costs expected to be incurred relate to the following: restructuring of Zebra’s manufacturing operations; relocation of a significant portion of Zebra’s supply chain operations from the U.S. to China; consolidating activities domestically; restructuring of our sales operations; restructuring certain corporate functions; and amending the Location Solutions “2012 restructuring plan” by adding additional restructuring charges to be incurred.

As of December 31, 2013, we have incurred the following exit and restructuring costs related to the Location Solutions business management structure and manufacturing operations relocation and restructuring (in thousands):

Type of Cost	Cost incurred through December 31, 2012		Costs incurred for the twelve months ended December 31, 2013		Total costs incurred as of December 31, 2013		Additional costs expected to be incurred		Total costs     expected to     be incurred
Severance, stay bonuses, and other employee-related expenses	$	960	$	5,690	$	6,650	$	61	$	6,711
Professional services		0		180		180		0		180
Relocation and transition costs		0		20		20		0		20
Total	$	960	$	5,890	$	6,850	$	61	$	6,911

During 2011, costs related to the consolidation and relocation of the administrative and accounting functions were due to the divestiture of our Navis marine terminal solutions business and the related WhereNet marine terminal solutions product line. There were no costs in 2012 related to this restructuring as this project was completed in 2011. As of December 31, 2012, we have incurred the following exit and restructuring costs related to the Location Solutions business management structure and manufacturing operations relocation and restructuring (in thousands):

Type of Cost	Costs incurred for the year ended December 31, 2012		Additional costs expected to be incurred		Total costs     expected to     be incurred
Severance, stay bonuses, and other employee-related expenses	$	960	$	4,590	$	5,550
Professional services		0		310		310
Relocation and transition costs		0		480		480
Total	$	960	$	5,380	$	6,340

Liabilities and expenses related to exit activities were as follows (in thousands):

	Year Ended December 31,
	2013		2012		2011
Balance at beginning of period	$	967	$	1,048	$	1,479
Charged to earnings		5,890		960		2,041
Cash paid		(5,605)		(1,041)		(2,472)
Balance at the end of period	$	1,252	$	967	$	1,048

Liabilities related to exit activities are included in the accrued liabilities line item on the balance sheet. Exit costs are included in operating expenses under the line item exit and restructuring costs.

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Equity-Based Compensation - Summary of Performance Share Award Activity (Detail) (USD $)	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares, Granted	355,309
Performance Share Awards [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares, Outstanding at beginning of year	265,829	306,261	250,596
Shares, Granted	187,794	72,470	62,874
Shares, Released	(253,484)	(1,802)	(7,209)
Shares, Forfeited	(4,980)	(111,100)	0
Shares, Outstanding at end of period	195,159	265,829	306,261
Weighted-Average Grant Date Fair Value, Outstanding at beginning of year	$ 35.55	$ 28.58	$ 25.35
Weighted-Average Grant Date Fair Value, Granted	$ 35.17	$ 38.68	$ 41.47
Weighted-Average Grant Date Fair Value, Released	$ 27.90	$ 41.57	$ 28.79
Weighted-Average Grant Date Fair Value, Forfeited	$ 41.46	$ 23.06	$ 0.00
Weighted-Average Grant Date Fair Value, Outstanding at end of period	$ 42.25	$ 35.55	$ 28.58

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Stockholders' Equity - Roll Forward of Class A Common Shares Outstanding (Detail)	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Equity [Abstract]
Balance at the beginning of the year	50,908,267	52,095,166
Repurchases	(1,356,861)	(1,473,863)	(4,353,801)
Stock options, rights and ESPP issuances	739,148	246,625
Restricted share issuances	241,851	242,238
Restricted share forfeitures	(165,610)	(130,119)
Shares withheld for tax obligations	(17,249)	(71,780)
Balance at the end of the period	50,349,546	50,908,267	52,095,166

XML

Stockholders' Equity - Share Count and Par Value Data Related to Stockholders' Equity (Detail) (USD $)	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Equity [Abstract]
Preferred stock, par value per share	$ 0.01	$ 0.01
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock, shares outstanding	0	0
Common stock - class A, par value per share	$ 0.01	$ 0.01
Common stock - class A, shares authorized	150,000,000	150,000,000
Common stock - class A, shares issued	72,151,857	72,151,857
Common stock - class A, shares outstanding	50,349,546	50,908,267	52,095,166
Treasury stock, shares held	21,802,311	21,243,590

XML

Discontinued Operations - Components of Cash Flows of Discontinued Operations (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Discontinued Operations And Disposal Groups [Abstract]
Net cash (used) by operating activities	$ 0	$ 0	$ (1,301)
Net cash provided by (used in) by investing activities	0	0	0
Net cash provided by (used in) by financing activities	0	0	0
Effect of exchange rate changes on cash	0	0	0
Net decrease in cash and cash equivalents	0	0	(1,301)
Cash balance of discontinued operations at beginning of period	0	0	1,301
Cash balance of discontinued operations at end of period	$ 0	$ 0	$ 0

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Quarterly Results of Operations (unaudited) - Schedule of Quarterly Financial Information (Detail) (USD $) In Thousands, except Per Share data, unless otherwise specified	12 Months Ended			3 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011	Mar. 31, 2013 First Quarter [Member]	Mar. 31, 2012 First Quarter [Member]	Jun. 30, 2013 Second Quarter [Member]	Jun. 30, 2012 Second Quarter [Member]	Sep. 30, 2013 Third Quarter [Member]	Sep. 30, 2012 Third Quarter [Member]	Dec. 31, 2013 Fourth Quarter [Member]	Dec. 31, 2012 Fourth Quarter [Member]
Quarterly Results Of Operations [Line Items]
Net sales of tangible products	$ 984,532	$ 948,227	$ 936,282	$ 225,121	$ 232,476	$ 239,909	$ 234,708	$ 249,919	$ 239,786	$ 269,583	$ 241,257
Revenue from services and software	53,627	47,941	47,206	11,816	11,399	13,251	12,369	13,604	12,251	14,956	11,922
Total net sales	1,038,159	996,168	983,488	236,937	243,875	253,160	247,077	263,523	252,037	284,539	253,179
Cost of sales of tangible products	507,513	479,633	469,834	117,111	119,033	125,664	119,980	128,191	118,751	136,547	121,869
Cost of sales services and software	27,036	24,891	26,885	6,761	4,959	6,589	6,720	6,722	6,362	6,964	6,850
Cost of sales	534,549	504,524	496,719	123,872	123,992	132,253	126,700	134,913	125,113	143,511	128,719
Gross Profit	503,610	491,644	486,769	113,065	119,883	120,907	120,377	128,610	126,924	141,028	124,460
Selling and marketing	138,020	129,906	127,797	33,515	32,114	33,830	32,158	34,395	32,321	36,280	33,313
Research and development	91,147	87,364	89,926	21,858	20,416	23,201	22,336	22,376	22,007	23,712	22,605
General and administrative	96,216	92,167	81,345	25,277	24,320	24,053	24,402	22,452	22,481	24,434	20,964
Amortization of intangible assets	7,383	4,673	3,320	1,863	770	1,863	770	1,831	1,670	1,826	1,463
Acquisition costs	4,690	3,109	304	482	254	618	1,252	268	566	3,322	1,037
Exit and restructuring costs	5,890	960	2,041	1,895	0	1,101	0	519	0	2,375	960
Asset impairment charge	0	9,114	0		0		0		9,114		0
Total operating expenses	343,346	327,293	304,733	84,890	77,874	84,666	80,918	81,841	88,159	91,949	80,342
Operating income	160,264	164,351	182,036	28,175	42,009	36,241	39,459	46,769	38,765	49,079	44,118
Investment income	2,366	2,485	1,944	677	592	473	826	550	541	666	526
Foreign exchange loss	(524)	(941)	(2,006)	(98)	(342)	(462)	(80)	(173)	(514)	209	(5)
Other, net	1,721	(1,721)	(2,255)	10	(364)	1,464	(486)	(5)	(294)	252	(577)
Total other income (loss)	3,563	(177)	(2,317)	589	(114)	1,475	260	372	(267)	1,127	(56)
Income from continuing operations before income taxes	163,827	164,174	179,719	28,764	41,895	37,716	39,719	47,141	38,498	50,206	44,062
Income taxes	29,602	42,277	49,376	5,222	11,731	7,158	9,366	8,541	11,917	8,681	9,263
Income from continuing operations	134,225	121,897	130,343	23,542	30,164	30,558	30,353	38,600	26,581	41,525	34,799
Income from discontinued operations, net of tax	133	1,007	44,300	0	0	8	300	0	516	125	191
Net income	$ 134,358	$ 122,904	$ 174,643	$ 23,542	$ 30,164	$ 30,566	$ 30,653	$ 38,600	$ 27,097	$ 41,650	$ 34,990
Income from continuing operations	$ 2.65	$ 2.36	$ 2.42	$ 0.46	$ 0.58	$ 0.60	$ 0.58	$ 0.76	$ 0.52	$ 0.83	$ 0.69
Income from discontinued operations	$ 0.00	$ 0.02	$ 0.82	$ 0.00	$ 0.00	$ 0.00	$ 0.01	$ 0.00	$ 0.01	$ 0.00	$ 0.00
Net Income	$ 2.65	$ 2.38	$ 3.24	$ 0.46	$ 0.58	$ 0.60	$ 0.59	$ 0.76	$ 0.53	$ 0.83	$ 0.69
Income from continuing operations	$ 2.63	$ 2.35	$ 2.40	$ 0.46	$ 0.58	$ 0.60	$ 0.58	$ 0.76	$ 0.51	$ 0.82	$ 0.68
Income from discontinued operations	$ 0.00	$ 0.02	$ 0.82	$ 0.00	$ 0.00	$ 0.00	$ 0.01	$ 0.00	$ 0.01	$ 0.00	$ 0.00
Net Income	$ 2.63	$ 2.37	$ 3.22	$ 0.46	$ 0.58	$ 0.60	$ 0.59	$ 0.76	$ 0.52	$ 0.82	$ 0.68
Basic weighted average shares outstanding	50,693	51,566	53,854	50,980	51,998	50,990	51,771	50,590	51,566	50,289	50,968
Diluted weighted average and equivalent shares outstanding	51,063	51,843	54,191	51,366	52,301	51,283	52,030	50,924	51,809	50,666	51,262

XML

Document and Entity Information (USD $)	12 Months Ended
	Dec. 31, 2013	Feb. 07, 2014	Jun. 29, 2013
Document And Entity Information [Abstract]
Document Type	10-K
Amendment Flag	false
Document Period End Date	Dec. 31, 2013
Document Fiscal Year Focus	2013
Document Fiscal Period Focus	FY
Trading Symbol	ZBRA
Entity Registrant Name	ZEBRA TECHNOLOGIES CORP
Entity Central Index Key	0000877212
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	Yes
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		50,369,005
Entity Public Float			$ 2,102,525,626

XML

Business Combinations - Allocation of Purchase Price to Identifiable Tangible and Acquisition of Intangible Assets and Liabilities (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended					0 Months Ended
	Dec. 31, 2013	Dec. 31, 2013 Hart Systems LLC [Member]	Dec. 31, 2013 Hart Systems LLC [Member] Customer Relationships [Member]	Dec. 31, 2013 Hart Systems LLC [Member] Developed technology/know-how [Member]	Dec. 31, 2013 Hart Systems LLC [Member] Trade Name [Member]	Jul. 13, 2012 Laserband LLC [Member]	Jul. 13, 2012 Laserband LLC [Member] Customer Relationships [Member]	Jul. 13, 2012 Laserband LLC [Member] Customer Relationships [Member] Minimum [Member]	Jul. 13, 2012 Laserband LLC [Member] Customer Relationships [Member] Maximum [Member]	Jul. 13, 2012 Laserband LLC [Member] Current Technology [Member]	Jul. 13, 2012 Laserband LLC [Member] Patents and Patent Rights [Member]
Business Acquisition [Line Items]
Intangible Assets, Amount		$ 37,200	$ 32,100	$ 4,800	$ 300	$ 29,560	$ 18,720			$ 6,260	$ 4,580
Intangible Assets Useful life	6 years 6 months		15 years	5 years	1 year			5 years	9 years	5 years	7 years

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Derivative Instruments

12 Months Ended

Dec. 31, 2013

Derivative Instruments And Hedging Activities Disclosure [Abstract]

Derivative Instruments

Note 11 Derivative Instruments

Portions of our operations are subject to fluctuations in currency values. We manage these risks using derivative financial instruments. We conduct business on a multinational basis in a wide variety of foreign currencies. Our exposure to market risk for changes in foreign currency exchange rates arises from international financing activities between subsidiaries, foreign currency denominated monetary assets and liabilities and transactions arising from international trade. Our objective is to preserve the economic value of non-functional currency denominated cash flows. We attempt to hedge transaction exposures with natural offsets to the fullest extent possible and, once these opportunities have been exhausted, through foreign exchange forward and option contracts with third parties.

Credit and market risk

Financial instruments, including derivatives, expose us to counter party credit risk for nonperformance and to market risk related to interest and currency exchange rates. We manage our exposure to counterparty credit risk through specific minimum credit standards, diversification of counterparties, and procedures to monitor concentrations of credit risk. Our counterparties in derivative transactions are commercial banks with significant experience using derivative instruments. We monitor the impact of market risk on the fair value and cash flows of our derivative and other financial instruments considering reasonably possible changes in interest rates and currency exchange rates and restrict the use of derivative financial instruments to hedging activities. We continually monitor the creditworthiness of our customers to which we grant credit terms in the normal course of business. The terms and conditions of our credit sales are designed to mitigate or eliminate concentrations of credit risk with any single customer.

Fair Value of Derivative Instruments

Zebra has determined that derivative instruments for hedges that have traded but have not settled are considered Level 1 in the fair value hierarchy, and hedges that have not traded are considered Level 2 in the fair value hierarchy. Derivative instruments are used to manage risk and are not used for trading or other speculative purposes, nor do we use leveraged derivative financial instruments. Our foreign currency exchange contracts are valued using broker quotations or market transactions, in either the listed or over-the-counter markets.

Hedging of Net Assets

We use forward contracts to manage exposure related to our pound and euro denominated net assets. Forward contracts typically mature within three months after execution of the contracts. We record gains and losses on these contracts and options in income each quarter along with the transaction gains and losses related to our net asset positions, which would ordinarily offset each other.

Summary financial information related to these activities included in our consolidated statement of earnings as other income (expense) is as follows (in thousands):

	Year Ended December 31,
	2013		2012		2011
Change in gains (losses) from foreign exchange derivatives	$	(1,998)	$	(1,347)	$	(825)
Gain (loss) on net foreign currency assets		1,474		406		(1,181)
Net foreign exchange loss	$	(524)	$	(941)	$	(2,006)
	As of
	December 31, 2013		December 31, 2012
Notional balance of outstanding contracts:
Euro/US dollar	€	41,021	€	37,598
Pound/US dollar	£	0	£	3,810
Net fair value of outstanding contracts	$	33	$	18

Hedging of Anticipated Sales

We can manage the exchange rate risk of anticipated euro-denominated sales using purchased options, forward contracts, and participating forwards. We designate these contracts as cash flow hedges which mature within twelve months after the execution of the contracts. Gains and losses on these contracts are deferred in other comprehensive income until the contracts are settled and the hedged sales are realized. The deferred gains or losses will then be reported as an increase or decrease to sales.

Summary financial information related to the cash flow hedges is as follows (in thousands):

	As of
	December 31, 2013		December 31, 2012
Net unrealized gains (losses) deferred in other comprehensive income:
Gross	$	208	$	(9,936)
Income tax expense (benefit)		90		(2,695)
Net	$	118	$	(7,241)

Summary financial information related to the cash flow hedges of future revenues follows (in thousands, except percentages):

	As of
	December 31, 2013		December 31, 2012
Notional balance of outstanding contracts versus the dollar	€	85,627	€	88,680
Hedge effectiveness		100%		100%

	Year Ended December 31,
		2013		2012		2011
Net gains and (losses) included in revenue	$	(4,294)	$	4,201	$	(4,159)

Forward Contracts

We record our forward contracts at fair value on our consolidated balance sheet as either long-term other assets or long-term other liabilities depending upon the fair value calculation as detailed in Note 3 of Zebra’s financial statements. The amounts recorded on our consolidated balance sheets are as follows (in thousands):

	As of
	December 31, 2013		December 31, 2012
Liabilities:
Accrued liabilities	$	2,743	$	2,045
Total	$	2,743	$	2,045

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Costs Associated with Exit and Restructuring - Summary of Exit and Restructuring Costs Incurred (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended		24 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2013
Restructuring Cost and Reserve [Line Items]
Severance, stay bonuses, and other employee-related expenses	$ 5,690	$ 960	$ 6,650
Professional services	180	0	180
Relocation and transition costs	20	0	20
Total	5,890	960	6,850
ZES [Member]
Restructuring Cost and Reserve [Line Items]
Additional costs expected to be incurred		5,380
Total costs expected to be incurred		6,340
Severance, stay bonuses, and other employee-related expenses		960
Professional services		0
Relocation and transition costs		0
Total		960
Severance, Stay Bonuses, and Other Employee-Related Expenses [Member]
Restructuring Cost and Reserve [Line Items]
Additional costs expected to be incurred			61
Total costs expected to be incurred			6,711
Severance, Stay Bonuses, and Other Employee-Related Expenses [Member] | ZES [Member]
Restructuring Cost and Reserve [Line Items]
Additional costs expected to be incurred		4,590
Total costs expected to be incurred		5,550
Professional Services [Member]
Restructuring Cost and Reserve [Line Items]
Additional costs expected to be incurred			0
Total costs expected to be incurred			180
Professional Services [Member] | ZES [Member]
Restructuring Cost and Reserve [Line Items]
Additional costs expected to be incurred		310
Total costs expected to be incurred		310
Relocation and Transition Costs [Member]
Restructuring Cost and Reserve [Line Items]
Additional costs expected to be incurred			0
Total costs expected to be incurred			20
Relocation and Transition Costs [Member] | ZES [Member]
Restructuring Cost and Reserve [Line Items]
Additional costs expected to be incurred		480
Total costs expected to be incurred		480
Location Solution And Manufacturing Operations [Member]
Restructuring Cost and Reserve [Line Items]
Additional costs expected to be incurred			61
Total costs expected to be incurred			$ 6,911

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Savings and Profit Sharing Plans - Schedule of Company Contributions to Retirement Savings and Investment Plan (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items]
Company contribution to the plans	$ 4,865	$ 5,138	$ 4,813
401(k) Plan [Member]
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items]
Company contribution to the plans	$ 4,865	$ 5,138	$ 4,813

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CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Statement Of Income And Comprehensive Income [Abstract]
Net income	$ 134,358	$ 122,904	$ 174,643
Other comprehensive income (loss):
Unrealized gain (loss) on hedging transactions, net of income taxes	118	(7,241)	6,209
Unrealized holding gain (loss) on investments, net of income taxes	(456)	887	(385)
Foreign currency translation adjustment	882	242	(688)
Comprehensive income	$ 134,902	$ 116,792	$ 179,779

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Accounts Receivable

12 Months Ended

Dec. 31, 2013

Receivables [Abstract]

Accounts Receivable

Note 5 Accounts Receivable

The components of accounts receivable are as follows (in thousands):

	As of
	December 31, 2013		December 31, 2012
Gross accounts receivable	$	177,370	$	169,401
Accounts receivable reserves		(453)		(669)
Accounts receivable, net	$	176,917	$	168,732

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Investments and Marketable Securities

12 Months Ended

Dec. 31, 2013

Investments Debt And Equity Securities [Abstract]

Investments and Marketable Securities

Note 4 Investments and Marketable Securities

Investments in marketable debt securities are classified based on intent and ability to sell investment securities. Zebra’s available-for-sale securities are used to fund future acquisitions and other operating needs and therefore can be sold prior to maturity. Investments in marketable debt securities for which Zebra intends to sell within the next year are classified as current and those that we intend to hold in excess of one-year are classified as non-current.

Changes in the market value of available-for-sale securities are reflected in the accumulated other comprehensive income caption of stockholders’ equity in the balance sheet, until we dispose of the securities. Once these securities are disposed of, either by sale or maturity, the accumulated changes in market value are transferred to investment income. On the statement of cash flows, changes in the balances of available-for-sale securities are shown as purchases, sales and maturities of investments and marketable securities under investing activities.

Changes in market value of trading securities would be recorded in investment income as they occur, and the related cash flow statement includes changes in the balances of trading securities as operating cash flows.

Changes in unrealized gains and losses on available-for-sale securities are included in these financial statements as follows (in thousands):

	Year Ended December 31,
	2013		2012		2011
Changes in unrealized gains and losses on available-for- sale securities, net of tax, recorded in accumulated other comprehensive income (loss)	$	(456)	$	887	$	(385)

The following table shows the number, aggregate market value and unrealized losses (in thousands) of investments with market values that were less than amortized cost as of December 31, 2013. These lower market values are primarily caused by fluctuations in interest rates and credit spreads. Market values are expected to recover to the amortized cost prior to maturity.

	Unrealized Loss < 12 months					Unrealized Loss > 12 months
	Number of investments	Aggregate Market Value		Unrealized     Losses		Number of investments	Aggregate Market Value		Unrealized     Losses
Government securities	0	$	0	$	0	3	$	23,207	$	(19)
State and municipal bonds	5		7,368		(8)	4		6,559		(20)
Corporate Securities	9		3,031		(2)	60		51,757		(673)
Other	1		1,018		0	2		2,982		(1)
Total	15	$	11,417	$	(10)	69	$	84,505	$	(713)

As of December 31, 2012, the number, aggregate market value and unrealized losses (in thousands) of investments with market values that were less than amortized cost were:

	Unrealized Loss < 12 months					Unrealized Loss > 12 months
	Number of investments	Aggregate Market Value		Unrealized Losses		Number of investments	Aggregate Market Value		Unrealized Losses
Government securities	4	$	5,179	$	(3)	1	$	1,790	$	(0)
State and municipal bonds	19		24,969		(27)	1		1,092		(1)
Corporate Securities	33		15,429		(23)	14		7,262		(445)
Total	56	$	45,577	$	(53)	16	$	10,144	$	(446)

Using the specific identification method, the proceeds and realized gains on the sales of available-for-sale securities were as follows (in thousands):

	Year Ended December 31,
	2013			2012			2011
Proceeds	$	336,741		$	164,410		$	303,801
Realized gains		727			423			388
Realized losses		(81	)		(78	)		(306)
Net realized gains included in other comprehensive income (loss) as of the end of the prior year		603			285			159

Included in Zebra’s cash, restricted cash, investments and marketable securities are amounts held by foreign subsidiaries which are generally invested in U.S. dollar-denominated holdings. Zebra had $251,658,000 as of December 31, 2013, and $173,483,000 as of December 31, 2012 of foreign cash and investments. Amounts held by foreign subsidiaries are generally subject to U.S. income taxation upon repatriation, however, Zebra does not see a need to repatriate these funds.

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Equity-Based Compensation

12 Months Ended

Dec. 31, 2013

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

Equity-Based Compensation

Note 16 Equity-Based Compensation

As of December 31, 2013, Zebra had a general equity-based compensation plan and a stock purchase plan under which shares of our common stock were available for future grants and sales, and which are described below.

On May 19, 2011, Zebra’s stockholders approved the 2011 Zebra Technologies Corporation Long Term Incentive Plan (the 2011 Plan), which included authorization for issuance of awards of 5,500,000 shares under the 2011 Plan. The 2011 Plan became effective immediately and superseded the 2006 Incentive Compensation Plan (the 2006 Plan), the 1997 Stock Option Plan (the 1997 Plan) and the 2002 Non-Employee Director Stock Option Plan (the 2002 Director Plan), except that the prior plans will remain in effect with respect to awards granted under the prior plans until such awards have been exercised, forfeited, cancelled, expired or otherwise terminated in accordance with the terms of such grants. The types of awards available under the 2011 Plan are incentive stock options, nonqualified stock options, stock appreciation rights (SARs), restricted stock, performance shares and units and performance-based cash bonuses. Employees, directors and consultants of Zebra and its subsidiaries are eligible to participate in the 2011 Plan. The Compensation Committee of the Board of Directors administers the plan. As of December 31, 2013, 4,212,339 shares were available for grant under the plan, and options for 691,874 shares were outstanding under the 2011 Plan.

The options and SARs granted under the 2011 Plan have an exercise or grant price equal to the closing market price of Zebra’s stock on the date of grant. Options and SAR’s generally vest over a four or five-year period. These awards expire on the earlier of (a) ten years following the grant date, (b) immediately if the employee is terminated for cause, (c) ninety days after termination of employment if the employee is terminated involuntarily other than for cause, (d) thirty days after termination of employment if the employee voluntarily terminates his or her employment, or (e) one year after termination of employment if the employee’s employment terminates due to death, disability, or retirement.

Zebra’s time-vested restricted stock grants consist of restricted stock awards (RSA’s) and performance share awards (PSA’s). The following table shows the number of shares of time-vested restricted stock granted in 2013 and the vesting schedules of the restricted stock awards that were granted under the Plan to certain executive officers and other members of management.

Vesting period	RSA’s		PSA’s		Total
At grant		18,095		112,028		130,123
After three years of service		149,420		75,766		225,186
Total		167,515		187,794		355,309

These RSA’s will vest at each vesting date if the employee remains employed by Zebra throughout the applicable time period, but will vest in whole or in part (as set forth in each Restricted Stock Agreement) before the end of the each vesting period in the event of death, disability, resignation for good reason, a change in control (as defined in the 2011 Plan), or termination by Zebra other than for Cause, as defined in the Restricted Stock Agreement entered into by Zebra with each employee who was granted restricted stock. The restricted stock is forfeited in certain situations specified in the Restricted Stock Agreement, including, if the employee’s employment is terminated by Zebra for Cause or if the employee resigns for other than good reason. Zebra’s restricted stock awards are expensed over the vesting period of the related award, which is typically three to five years. However, some recent awards vested upon grant. Compensation cost is calculated as the market date fair value on grant date multiplied by the number of shares granted.

The 2006 Plan was superseded by the 2011 Plan. As of December 31, 2013, options and SARs for 1,111,435 shares were outstanding and exercisable under the 2006 Plan. These options and SARs expire on the earlier of (a) ten years following the grant date, or (b) immediately if the employee is terminated for cause, (c) ninety days after termination of employment if the employee is terminated involuntarily other than for cause, (d) thirty days after termination of employment if the employee voluntarily terminates his or her employment, or (e) one year after termination of employment if the employee’s employment terminates due to death, disability, or retirement.

The 1997 Plan was superseded by the 2006 Plan. As of December 31, 2013, options for 471,990 shares were outstanding and exercisable under the 1997 Plan. These options terms are the same as noted in the paragraph above in the 2006 Plan.

The 2002 Director Plan was superseded by the 2006 Plan. As of December 31, 2013, options for 80,000 shares were outstanding and exercisable under the 2002 Director Plan. Unless otherwise provided in an option agreement, options granted under the 2002 Director Plan become exercisable in five equal increments beginning on the date of the grant and continuing on each of the four anniversaries thereafter. All such options expire on the earlier of (a) ten years following the grant date, (b) the first anniversary of the termination date of the non-employee director’s directorship for any reason other than the termination of the non-employee director’s directorship by Zebra’s stockholders for cause, or resignation for cause, in each case as defined in the option agreement.

In connection with Zebra’s acquisition of WhereNet, Zebra assumed existing unvested stock options exercisable for shares of WhereNet’s common stock and converted them into options exercisable for Zebra common stock. These converted options have exercise prices and vesting dates based on their previous terms and all of these options that are outstanding are fully vested. As of December 31, 2013, outstanding WhereNet options were exercisable into 3,262 shares of Zebra Class A Common Stock.

On May 19, 2011 Zebra’s stockholders adopted the 2011 Employee Stock Purchase Plan (which replaced the 2001 Stock Purchase plan) under which employees who work a minimum of 20 hours per week may elect to withhold up to 10% of their cash compensation through regular payroll deductions to purchase shares of Class A Common Stock from Zebra over a period not to exceed 12 months at a purchase price per share which is equal to the lesser of: (1) 95% of the fair market value of the shares as of the date of the grant, or (2) 95% of the fair market value of the shares as of the date of purchase. Stock purchase plan expense for the year ended December 31, 2013 was $224,000. Stock purchase plan expense for the year ended December 31, 2012 was $242,000 and for the year ended December 31, 2011 was $321,000.

For purposes of calculating the compensation cost, the fair value is estimated on the date of grant using a binomial model. Volatility is based on an average of the implied volatility in the open market and the annualized volatility of Zebra’s stock prices over our entire stock history. Stock option grants in the table below include both stock options, all of which were non-qualified, and stock appreciation rights (SAR) that will be settled in Zebra stock. The following table shows the weighted-average assumptions used for grants of SARs as well as the fair value of the grants based on those assumptions:

	2013	2012	2011
Expected dividend yield	0%	0%	0%
Forfeiture rate	10.31%	10.21%	11.50%
Volatility	32.00%	35.90%	35.33%
Risk free interest rate	.82%	.94%	2.01%
- Range of interest rates	0.02% - 1.78%	0.07% - 1.95%	0.01% - 3.18%
Expected weighted-average life	5.42 years	5.48 years	5.42 years
Fair value of SARs granted	$4,528,000	$5,533,000	$5,495,000
Weighted-average grant date fair value of options and SARs granted     (per underlying share)	$13.86	$12.84	$14.29

The forfeiture rate is based on the historical annualized forfeiture rate, which is consistent with prior year rates. This rate includes only pre-vesting forfeitures. Volatility is based on an average of the implied volatility in the open market and the annualized volatility of Zebra’s stock prices over our entire stock history. The risk free interest rate used is the implied yield currently available from the U.S. Treasury zero-coupon yield curve over the contractual term of the options. The expected weighted-average life is based on historical exercise behavior, which combines the average life of the options that have already been exercised or cancelled with the exercise life of all unexercised options. The exercise life of unexercised options assumes that the option will be exercised at the midpoint of the vesting date and the full contractual term. These assumptions are consistent with the assumptions used in prior years.

Stock option activity for the years ended December 31, 2013, 2012, and 2011, was as follows:

	2013					2012					2011
Options	Shares			Weighted- Average Exercise Price		Shares			Weighted- Average Exercise Price		Shares			Weighted- Average Exercise Price
Outstanding at beginning of year		1,531,844		$	41.69		1,702,650		$	40.43		2,340,959		$	37.35
Granted		0			0		0			0		0			0
Exercised		(543,922	)		39.54		(148,802	)		27.02		(490,715	)		26.63
Forfeited		0			0		(1,663	)		36.36		(63,714	)		32.29
Expired		(32,145	)		45.81		(20,341	)		43.63		(83,880	)		40.76
Outstanding at end of year		955,777		$	42.78		1,531,844		$	41.69		1,702,650		$	40.43
Exercisable at end of year		955,777		$	42.78		1,527,814		$	41.75		1,589,096		$	40.84
Intrinsic value of exercised options	$	4,300,000				$	1,700,000				$	6,400,000

There were no stock options granted in 2013, 2012 or 2011.

The following table summarizes information about stock options outstanding at December 31, 2013:

	Outstanding	Exercisable
Aggregate intrinsic value	$    4,201,000	$    4,201,000
Weighted-average remaining contractual term	2.5 years	2.5 years

SAR activity for the years ended December 31, 2013, 2012, and 2011, was as follows:

	2013					2012					2011
SARs	Shares			Weighted- Average Exercise Price		Shares			Weighted- Average Exercise Price		Shares			Weighted- Average Exercise Price
Outstanding at beginning of year		1,535,804			$ 31.66		1,287,724			$ 28.91		1,234,787			$ 23.82
Granted		326,811			46.13		431,040			38.51		387,847			41.14
Exercised		(376,673	)		25.44		(102,972	)		23.83		(95,672	)		22.20
Forfeited		(80,515	)		37.54		(75,978	)		34.10		(238,965	)		25.15
Expired		(2,643	)		33.70		(4,010	)		41.57		(273	)		19.56
Outstanding at end of year		1,402,784			$ 36.36		1,535,804			$ 31.66		1,287,724			$ 28.91
Exercisable at end of year		520,426			$ 30.51		514,787			$ 26.52		305,228			$ 23.27
Intrinsic value of exercised SARs		$ 7,900,000					$ 1,500,000					$ 1,700,000

The terms of the SARs are established under the applicable Plan and the applicable SAR agreement. Once vested, a SAR entitles the holder to receive a payment equal to the difference between the per-share grant price of the SAR and the fair market value of a share of Zebra stock on the date the SAR is exercised, multiplied by the number of shares covered by the SAR. Exercised SARs will be settled in whole shares of Zebra stock, and any fraction of a share will be settled in cash. Vesting of SARs granted in 2013 is as follows: 326,811 SARs vest annually in four equal amounts on each of the first four anniversaries of the grant date. Vesting of SARs granted in 2012 is as follows: 20,155 SARs vested upon grant and 410,885 SARs vest annually in four equal amounts on each of the first four anniversaries of the grant date. All SARs expire 10 years after the grant date.

The following table summarizes information about SARs outstanding at December 31, 2013:

	Outstanding	Exercisable
Aggregate intrinsic value	$    14,144,000	$    8,282,000
Weighted-average remaining contractual term	7.6 years	6.6 years

Restricted stock award activity, granted under the 2011 and 2006 Plans, for the years ended December 31, 2013, 2012 and 2011 was as follows:

	2013					2012					2011
Restricted Stock Awards	Shares			Weighted-Average Grant Date Fair Value		Shares			Weighted-Average Grant Date Fair Value		Shares			Weighted-Average Grant Date Fair Value
Outstanding at beginning of year		444,362			$ 35.43		529,880			$ 28.20		594,090			$ 25.51
Granted		167,515			46.17		169,081			38.45		152,636			41.17
Released		(161,976	)		31.28		(235,580	)		21.39		(197,472	)		30.08
Forfeited		(14,524	)		40.79		(19,019	)		34.90		(19,374	)		29.08
Outstanding at end of year		435,377			$ 40.92		444,362			$ 35.43		529,880			$ 28.20

Performance share award activity, granted under the 2011 and 2006 Plans, for the years ended December 31, 2013, 2012 and 2011 was as follows:

	2013					2012					2011
Performance Share Awards	Shares			Weighted-Average Grant Date Fair Value		Shares			Weighted-Average Grant Date Fair Value		Shares			Weighted-Average Grant Date Fair Value
Outstanding at beginning of year		265,829			$ 35.55		306,261			$ 28.58		250,596			$ 25.35
Granted		187,794			35.17		72,470			38.68		62,874			41.47
Released		(253,484	)		27.90		(1,802	)		41.57		(7,209	)		28.79
Forfeited		(4,980	)		41.46		(111,100	)		23.06		0			0.0
Outstanding at end of year		195,159			$ 42.25		265,829			$ 35.55		306,261			$ 28.58

As of December 31, 2013, there was $17,646,000 of unearned compensation cost related to awards granted under Zebra’s equity-based compensation plans, which is expected to be recognized over a weighted-average period of 2.3 years.

The fair value of the purchase rights issued to Zebra employees under the stock purchase plan is estimated using the following weighted-average assumptions for purchase rights granted. Expected lives of three months to one year have been used along with these assumptions.

	2013		2012		2011
Fair market value	$	42.45	$	35.43	$	34.77
Option price	$	40.33	$	33.66	$	33.03
Expected dividend yield		0%		0%		0%
Expected volatility		19%		21%		33%
Risk free interest rate		0.05%		0.07%		0.07%

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Commitments and Contingencies

12 Months Ended

Dec. 31, 2013

Commitments And Contingencies Disclosure [Abstract]

Commitments and Contingencies

Note 12 Commitments and Contingencies

Leases. Minimum future obligations under all non-cancelable operating leases as of December 31, 2013 are as follows (in thousands):

	Operating     Leases
2014	$	15,619
2015		11,842
2016		7,368
2017		7,636
2018		6,105
Thereafter		34,805
Total minimum lease obligations	$	83,375

Rent expense for operating leases charged to operations was as follows (in thousands):

	Year Ended December 31,
		2013		2012		2011
Rent expense	$	15,750	$	15,254	$	13,907

The operating lease information includes a variety of properties around the world. These properties are used as manufacturing facilities, distribution centers and sales offices. Lease terms range from one year to 9 years with breaking periods specified in the lease agreements.

Revolving Credit Agreement. On October 10, 2012, Zebra entered into a revolving credit agreement for a five-year $250,000,000 revolving credit facility with a syndicate of banks led by J. P. Morgan Securities LLC as Administrative Agent. The funds under this credit facility are available for general corporate purposes of Zebra and its subsidiaries in the ordinary course of business and other purposes permitted by the agreement.

This credit agreement is guaranteed by certain of Zebra’s domestic subsidiaries. Loans under the agreement bear interest at a rate equal to a spread over the base rate, which base rate is the greater of: the prime rate, the Federal Funds Effective Rate plus one-half of one percent (0.50%), or an adjusted LIBOR rate, plus one percent (1%). The spread is dependent on Zebra’s ratio of Total Debt to EBITDA, and ranges from 0.00% to 0.75%. Zebra did not borrow any monies under the New Credit Agreement at the time of closing.

The credit agreement includes customary representations, warranties, affirmative and negative covenants and events of default. It also contains financial covenants tied to Zebra’s leverage ratio and interest coverage ratio. As of December 31, 2013, we had established letters of credit amounting to $1,800,000, which reduces funds available for borrowing under the agreement. As of December 31, 2013 and 2012, no amounts were outstanding under the company’s credit agreement.

Legal Proceedings. We are subject to a variety of investigations, claims, suits and other legal proceedings that arise from time to time in the ordinary course of business, including but not limited to, intellectual property, employment, tort and breach of contract matters. We currently believe that the outcomes of such proceedings, individually and in the aggregate, will not have a material adverse impact on our business, cash flows, financial position, or results of operations. Any legal proceedings are subject to inherent uncertainties, and management’s view of these matters and their potential effects may change in the future.

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Derivative Instruments - Financial Information Related to Cash Flow Hedges of Future Revenues (Detail) (Cash Flow Hedging [Member]) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013 USD ($)	Dec. 31, 2012 USD ($)	Dec. 31, 2011 USD ($)	Dec. 31, 2013 Foreign Exchange Forward [Member] EUR (€)	Dec. 31, 2012 Foreign Exchange Forward [Member] EUR (€)
Derivative [Line Items]
Notional balance of outstanding contracts versus the dollar				€ 85,627	€ 88,680
Hedge effectiveness	100.00%	100.00%
Net gains and (losses) included in revenue	$ (4,294)	$ 4,201	$ (4,159)

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Goodwill and Other Intangible Asset Data

12 Months Ended

Dec. 31, 2013

Goodwill And Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangible Asset Data

Note 8 Goodwill and Other Intangible Asset Data

Intangible asset data are as follows (in thousands):

	As of December 31, 2013
	Gross Amount		Accumulated Amortization			Net Amount
Amortized intangible assets
Current technology	$	23,778	$	(14,060	)	$	9,718
Patent and patent rights		29,569		(17,919	)		11,650
Customer relationships		52,893		(5,293	)		47,600
Total	$	106,240	$	(37,272	)	$	68,968
Amortization expense for the year ended December 31, 2013			$	7,383

Estimated amortization expense:
For the year ended December 31, 2014	$	10,533
For the year ended December 31, 2015		9,769
For the year ended December 31, 2016		9,331
For the year ended December 31, 2017		8,100
For the year ended December 31, 2018		5,867
Thereafter		25,368
Total	$	68,968

In 2013, we acquired intangible assets in the amount of $37,200,000 for developed technology, customer relationships and a trade names. These intangible assets have an estimated useful life ranging from 1 to 15 years. See Note 24 Business Combinations for specific information regarding the acquisition. In 2012, we acquired intangible assets in the amount of $31,157,000 for patents, technology and customer relationships associated with the acquisition of LaserBand. During 2013, Zebra paid $1,500,000 towards intangible asset commitments previously accrued.

	As of December 31, 2012
	Gross Amount		Accumulated Amortization			Net Amount
Amortized intangible assets
Current technology	$	18,978	$	(12,391	)	$	6,587
Patent and patent rights		29,569		(14,618	)		14,951
Customer relationships		20,493		(2,880	)		17,613
Total	$	69,040	$	(29,889	)	$	39,151
Amortization expense for the year ended December 31, 2012			$	4,673

Changes in the net carrying value amount of goodwill were as follows (in thousands):

	Total
Unamortized intangible assets:
Goodwill at gross cost	$	180,731
Impairment charge – 2008		(101,028	)
Goodwill as of December 31, 2011		79,703
Acquisition – LaserBand		24,353
Impairment charge – 2012		(9,114	)
Goodwill as of December 31, 2012		94,942
Acquisition – Hart Systems		60,858
Goodwill as of December 31, 2013	$	155,800

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Summary of Significant Accounting Policies - Compensation Expense and Related Tax Benefit for Equity Based Payments (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total compensation expense	$ 13,109	$ 14,727	$ 13,107
Income tax benefit	4,531	5,132	4,522
Cost of Sales [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total compensation expense	871	1,061	1,029
Selling and Marketing [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total compensation expense	2,100	1,792	1,463
Research and Development [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total compensation expense	1,616	1,593	1,387
General and Administrative [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Total compensation expense	$ 8,522	$ 10,281	$ 9,228

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Income Taxes - Components of Deferred Tax Assets and Liabilities (Detail) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Income Tax Disclosure [Abstract]
Deferred rent	$ 409	$ 508
Accrued vacation	2,153	2,480
Accrued bonus	2,916	2,747
Deferred compensation	1,816	1,497
Inventory items	6,061	6,967
Allowance for doubtful accounts and other receivables	118	211
Other accruals	11,149	6,531
Equity based compensation expense	12,337	16,620
Unrealized gain on securities	558	438
Unrealized loss on other investments	410	419
Net operating loss carry-forwards	597	2,462
Valuation allowance	(267)	(267)	(267)	(267)
Total deferred tax assets	38,257	40,613
Unrealized loss on other investments	(1,450)	0
Depreciation and amortization	(42,489)	(24,527)
Total deferred tax liabilities	(43,939)	(24,527)
Net deferred tax assets (liabilities)	$ (5,682)	$ 16,086

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Inventories

12 Months Ended

Dec. 31, 2013

Inventory Disclosure [Abstract]

Inventories

Note 6 Inventories

The components of inventories are as follows (in thousands):

	As of
	December 31, 2013		December 31, 2012
Raw material	$	31,335	$	31,350
Work in process		415		921
Deferred costs of long-term contracts		294		604
Finished goods		101,540		104,137
Total inventories, gross		133,584		137,012
Inventory reserves		(12,561)		(13,655)
Total inventories, net	$	121,023	$	123,357

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Property and Equipment

12 Months Ended

Dec. 31, 2013

Property Plant And Equipment [Abstract]

Property and Equipment

Note 7 Property and Equipment

Property and equipment, which includes assets under capital leases, is comprised of the following (in thousands):

	As of
	December 31, 2013		December 31, 2012
Buildings	$	4,613	$	2,134
Land		504		504
Machinery, equipment and tooling		110,728		88,222
Furniture and office equipment		13,448		12,672
Computers and software		139,723		130,357
Automobiles		18		18
Leasehold improvements		17,880		16,380
Projects in progress – computers and software		2,079		2,217
Projects in progress - other		6,675		15,561
		295,668		268,065
Less accumulated depreciation and amortization		(186,080)		(166,716)
Net property and equipment	$	109,588	$	101,349

Other items related to property and equipment are as follows (in thousands):

	As of December 31,
	2013		2012
Unamortized computer software costs	$	43,317	$	48,873

	Year Ended December 31,
	2013		2012		2011
Amortization of capitalized software	$	8,688	$	7,912	$	6,180
Total depreciation expense charged to income		24,727		21,504		20,680

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Other Assets

12 Months Ended

Dec. 31, 2013

Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract]

Other Assets

Note 9 Other Assets

Other assets consist of the following (in thousands):

	As of December 31,
	2013		2012
Money market investments related to the deferred compensation plan (See Note 17)	$	4,827	$	3,553
Long-term investments		21,242		9,195
Other long-term assets		1,522		0
Deposits		1,174		898
Total	$	28,765	$	13,646

During 2013, Zebra acquired interests ranging from 2.0% to 8.3% in two venture capital technology companies for $12,021,000 during the year. During 2012, Zebra acquired interests ranging from 4.7% to 19.7% in several venture capital technology companies for $9,125,000 during the year. These investments are classified as long term.

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Fair Value Measurements - Summary of Short-Term and Long-Term Investments (Detail) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Amortized Cost	$ 353,109	$ 328,796
Gross Unrealized Gains	582	1,038
Gross Unrealized Losses	(723)	(499)
Estimated Fair Value	352,968	329,335
U.S. Government and Agency Securities [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Amortized Cost	89,617	96,913
Gross Unrealized Gains	27	77
Gross Unrealized Losses	(18)	(3)
Estimated Fair Value	89,626	96,987
Obligations of Government-Sponsored Enterprises [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Amortized Cost	33,506	4,830
Gross Unrealized Gains	5	10
Gross Unrealized Losses	(1)	0
Estimated Fair Value	33,510	4,840
State and Municipal Bonds [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Amortized Cost	51,573	96,383
Gross Unrealized Gains	82	161
Gross Unrealized Losses	(28)	(28)
Estimated Fair Value	51,627	96,516
Corporate Securities [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Amortized Cost	166,642	130,634
Gross Unrealized Gains	453	790
Gross Unrealized Losses	(675)	(468)
Estimated Fair Value	166,420	130,956
Other Investments [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Amortized Cost	11,771	36
Gross Unrealized Gains	15	0
Gross Unrealized Losses	(1)	0
Estimated Fair Value	$ 11,785	$ 36

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Discontinued Operations - Additional Information (Detail)	1 Months Ended	12 Months Ended			0 Months Ended	3 Months Ended		0 Months Ended	12 Months Ended
	Aug. 03, 2011	Dec. 31, 2013 USD ($)	Dec. 31, 2012 USD ($)	Dec. 31, 2011 USD ($)	Mar. 18, 2011 Navis, LLC [Member] USD ($)	Mar. 31, 2012 Navis, LLC [Member] USD ($)	Sep. 30, 2012 Navis, LLC [Member] USD ($)	Aug. 03, 2011 Proveo AG [Member] USD ($)	Dec. 31, 2013 Proveo AG [Member] USD ($)	Dec. 31, 2012 Proveo AG [Member] USD ($)	Dec. 31, 2012 Proveo AG [Member] EUR (€)	Aug. 03, 2011 Proveo AG [Member] EUR (€)
Proceeds from the sale of business		$ 0	$ 27,580,000	$ 161,206,000	$ 188,588,000
Short-term receivable from buyer				27,580,000			13,790,000
Receivable from Previously escrowed funds						13,790,000
Gain (loss) recorded upon divestiture		201,000	930,000	68,745,000				1,248,000	201,000	930,000
Loan agreed to provide to the buyer											526,058	1,000,000
Loan, duration (date)	Aug. 03, 2012
Loan, interest rate											6.50%	6.50%
Tax benefits realized		$ 0	$ 0	$ 11,773,000				$ 13,308,000

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Derivative Instruments - Forward Contract Amounts Recorded in Consolidated Balance Sheet (Detail) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Derivatives, Fair Value [Line Items]
Total Liabilities	$ 2,743	$ 2,045
Accrued Liabilities [Member]
Derivatives, Fair Value [Line Items]
Total Liabilities	$ 2,743	$ 2,045

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Investments and Marketable Securities - Schedule of Available-for-Sale Securities (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Available For Sale Securities [Abstract]
Changes in unrealized gains and losses on available-for- sale securities, net of tax, recorded in accumulated other comprehensive income (loss)	$ (456)	$ 887	$ (385)

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Equity-Based Compensation - Summary of Restricted Stock Award Activity (Detail) (USD $)	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares, Granted	355,309
Restricted Stock Awards [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares, Outstanding at beginning of year	444,362	529,880	594,090
Shares, Granted	167,515	169,081	152,636
Shares, Released	(161,976)	(235,580)	(197,472)
Shares, Forfeited	(14,524)	(19,019)	(19,374)
Shares, Outstanding at end of period	435,377	444,362	529,880
Weighted-Average Grant Date Fair Value, Outstanding at beginning of year	$ 35.43	$ 28.20	$ 25.51
Weighted-Average Grant Date Fair Value, Granted	$ 46.17	$ 38.45	$ 41.17
Weighted-Average Grant Date Fair Value, Released	$ 31.28	$ 21.39	$ 30.08
Weighted-Average Grant Date Fair Value, Forfeited	$ 40.79	$ 34.90	$ 29.08
Weighted-Average Grant Date Fair Value, Outstanding at end of period	$ 40.92	$ 35.43	$ 28.20

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Fair Value Measurements - Additional Information (Detail) (USD $)	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012
Schedule Of Fair Value Measurements [Line Items]
Fair value measurement, realized gains or losses	$ 0	$ 0
Level 3 [Member]
Schedule Of Fair Value Measurements [Line Items]
Fair value measurement, unrealized losses	$ 0	$ 0

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Stockholders' Equity - Additional Information (Detail) (USD $) In Thousands, except Share data, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Equity [Abstract]
Shares purchased under share repurchase plan, shares	1,356,861	1,473,863	4,353,801
Shares purchased under share repurchase plan, value	$ 63,102	$ 54,373	$ 160,200

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Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2013

Accounting Policies [Abstract]

Summary of Accrued Warranty Obligation

The following table is a summary of Zebra’s accrued warranty obligation (in thousands):

	Year Ended December 31,
Warranty Reserve	2013		2012		2011
Balance at the beginning of the year	$	4,252	$	4,613	$	4,554
Warranty expense		7,440		6,828		5,856
Warranty payments		(7,567)		(7,189)		(5,797)
Balance at the end of the period	$	4,125	$	4,252	$	4,613

Compensation Expense and Related Tax Benefit for Equity Based Payments

The compensation expense and the related income tax benefit for share-based payments were included in the Consolidated Statement of Earnings as follows (in thousands):

	For the years ended December 31,
Compensation costs and related income tax benefit:	2013		2012		2011
Cost of sales	$	871	$	1,061	$	1,029
Selling and marketing		2,100		1,792		1,463
Research and development		1,616		1,593		1,387
General and administration		8,522		10,281		9,228
Total compensation expense	$	13,109	$	14,727	$	13,107
Income tax benefit	$	4,531	$	5,132	$	4,522

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Other Comprehensive Income (Loss) (Tables)

12 Months Ended

Dec. 31, 2013

Equity [Abstract]

Components of Other Comprehensive Income (Loss)

The components of other comprehensive income (loss) included in the Consolidated Statements of Comprehensive Income (Loss) are as follows (in thousands):

	As of December 31, 2012		Gain (Loss) recognized in OCI		Gain (Loss) reclassified from AOCI to income		Twelve Months ended December 31, 2013		As of December 31, 2013
Unrealized gains (losses) on hedging transactions:
Gross		$    (2,581)		$3,297		$(3,089)(1)		$    208		$    (2,373)
Income tax (benefit)		(599)		862		(772)		90		(509)
Net		(1,982)		2,435		(2,317)		118		(1,864)
Unrealized gains (losses) on investments:
Gross		540		(1,294)		603(2)		(691)		(151)
Income tax (benefit)		162		(423)		188		(235)		(73)
Net		378		(871)		415		(456)		(78)
Foreign currency translation adjustments		(8,721)		566		316(3)		882		(7,839)
Total accumulated other comprehensive gains (losses)		$(10,325)		$2,130		$(1,586)		$    544		$(9,781)
	As of December 31, 2011		Gain (Loss) recognized in OCI		Gain (Loss) reclassified from AOCI to income		Twelve Months ended December 31, 2012		As of December 31, 2012
Unrealized gains (losses) on hedging transactions:
Gross		$    7,355		$  (14,757)		$  4,821(1)		$  (9,936)		$  (2,581)
Income tax (benefit)		2,096		(3,900)		1,205		(2,695)		(599)
Net		5,259		(10,857)		3,616		(7,241)		(1,982)
Unrealized gains (losses) on investments:
Gross		(797)		1,052		285(2)		1,337		540
Income tax (benefit)		(288)		349		101		450		162
Net		(509)		703		184		887		378
Foreign currency translation adjustments		(8,963)		321		(79)(3)		242		(8,721)
Total accumulated other comprehensive gains (losses)		$    (4,213)		$    (9,833)		$  3,721		$  (6,112)		$  (10,325)
	As of December 31, 2010		Gain (Loss) recognized in OCI		Gain (Loss) reclassified from AOCI to income		Twelve Months ended December 31, 2011		As of December 31, 2011
Unrealized gains (losses) on hedging transactions:
Gross		$    (1,523)		$    12,196		$  (3,318)(1)		$    8,878		$    7,355
Income tax (benefit)		(573)		3,615		(946)		2,669		2,096
Net		(950)		8,581		(2,372)		6,209		5,259
Unrealized gains (losses) on investments:
Gross		(200)		(756)		159(2)		(597)		(797)
Income tax (benefit)		(76)		(269)		57		(212)		(288)
Net		(124)		(487)		102		(385)		(509)
Foreign currency translation adjustments		(8,275)		178		(866)(3)		(688)		(8,963)
Total accumulated other comprehensive gains (losses)		$    (9,349)		$    8,272		$    (3,136)		$    5,136		$    (4,213)

(1) Transfer of unrealized gains and (losses) from AOCI to income on hedging transactions are included in net sales of tangible products.

(2) Transfer of unrealized gains and (losses) from AOCI to income on investments are included in investment income.

(3) Transfer of foreign currency translation gains and (losses) from AOCI to income, are included in foreign exchange.

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Stockholders' Equity

12 Months Ended

Dec. 31, 2013

Equity [Abstract]

Stockholders' Equity

Note 14 Stockholders’ Equity

Share count and par value data related to stockholders’ equity are as follows:

	As of
	December 31,     2013		December 31,     2012
Preferred Stock
Par value per share	$	0.01	$	0.01
Shares authorized		10,000,000		10,000,000
Shares outstanding		0		0
Common Stock—Class A
Par value per share	$	0.01	$	0.01
Shares authorized		150,000,000		150,000,000
Shares issued		72,151,857		72,151,857
Shares outstanding		50,349,546		50,908,267
Treasury stock
Shares held		21,802,311		21,243,590

During the year ended December 31, 2013, Zebra purchased 1,356,861 shares of common stock for $63,102,242 under board authorized share repurchase plans compared to the year ended December 31, 2012, in which Zebra purchased 1,473,863 shares of common stock for $54,373,000. During the year ended December 31, 2011, Zebra purchased 4,353,801 shares of common stock for $160,200,000.

A roll forward of Class A common shares outstanding is as follows:

	Year Ended December 31,
	2013		2012
Balance at the beginning of the year		50,908,267		52,095,166
Repurchases		(1,356,861)		(1,473,863)
Stock options, rights and ESPP issuances		739,148		246,625
Restricted share issuances		241,851		242,238
Restricted share forfeitures		(165,610)		(130,119)
Shares withheld for tax obligations		(17,249)		(71,780)
Balance at the end of the period		50,349,546		50,908,267

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Geographic Data - Net Sales by Country (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Entity Wide Accounts Receivable Major Customer [Line Items]
Total net sales	$ 1,038,159	$ 996,168	$ 983,488
United States [Member]
Entity Wide Accounts Receivable Major Customer [Line Items]
Total net sales	562,848	539,504	504,283
United Kingdom [Member]
Entity Wide Accounts Receivable Major Customer [Line Items]
Total net sales	323,708	317,793	339,027
Singapore [Member]
Entity Wide Accounts Receivable Major Customer [Line Items]
Total net sales	140,588	134,349	136,757
Other Segment [Member]
Entity Wide Accounts Receivable Major Customer [Line Items]
Total net sales	$ 11,015	$ 4,522	$ 3,421

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Other Comprehensive Income (Loss)

12 Months Ended

Dec. 31, 2013

Equity [Abstract]

Other Comprehensive Income (Loss)

Note 19 Other Comprehensive Income (Loss)

Stockholders’ equity contains certain items classified as other comprehensive income (loss), including:

• Foreign currency translation adjustments related to our non-U.S. subsidiary companies that have designated a functional currency other than the dollar. We are required to translate the subsidiary functional currency financial statements to dollars using a combination of historical, month-end, and average foreign exchange rates. This combination of rates creates the foreign currency translation adjustments component of other comprehensive income (loss).

• Unrealized holding gains (losses) on foreign currency hedging activities relate to derivative instruments used to hedge the currency exchange rates for forecasted euro sales. These hedges are designated as cash flow hedges, and we have deferred income statement recognition of gains and losses until the hedged transaction occurs. See Note 11 for more details.

• Unrealized gains (losses) on investments classified as available-for-sale are deferred from income statement recognition. See Note 4 for more details.

The components of other comprehensive income (loss) included in the Consolidated Statements of Comprehensive Income (Loss) are as follows (in thousands):

	As of December 31, 2012		Gain (Loss) recognized in OCI		Gain (Loss) reclassified from AOCI to income		Twelve Months ended December 31, 2013		As of December 31, 2013
Unrealized gains (losses) on hedging transactions:
Gross		$    (2,581)		$3,297		$(3,089)(1)		$    208		$    (2,373)
Income tax (benefit)		(599)		862		(772)		90		(509)
Net		(1,982)		2,435		(2,317)		118		(1,864)
Unrealized gains (losses) on investments:
Gross		540		(1,294)		603(2)		(691)		(151)
Income tax (benefit)		162		(423)		188		(235)		(73)
Net		378		(871)		415		(456)		(78)
Foreign currency translation adjustments		(8,721)		566		316(3)		882		(7,839)
Total accumulated other comprehensive gains (losses)		$(10,325)		$2,130		$(1,586)		$    544		$(9,781)
	As of December 31, 2011		Gain (Loss) recognized in OCI		Gain (Loss) reclassified from AOCI to income		Twelve Months ended December 31, 2012		As of December 31, 2012
Unrealized gains (losses) on hedging transactions:
Gross		$    7,355		$  (14,757)		$  4,821(1)		$  (9,936)		$  (2,581)
Income tax (benefit)		2,096		(3,900)		1,205		(2,695)		(599)
Net		5,259		(10,857)		3,616		(7,241)		(1,982)
Unrealized gains (losses) on investments:
Gross		(797)		1,052		285(2)		1,337		540
Income tax (benefit)		(288)		349		101		450		162
Net		(509)		703		184		887		378
Foreign currency translation adjustments		(8,963)		321		(79)(3)		242		(8,721)
Total accumulated other comprehensive gains (losses)		$    (4,213)		$    (9,833)		$  3,721		$  (6,112)		$  (10,325)
	As of December 31, 2010		Gain (Loss) recognized in OCI		Gain (Loss) reclassified from AOCI to income		Twelve Months ended December 31, 2011		As of December 31, 2011
Unrealized gains (losses) on hedging transactions:
Gross		$    (1,523)		$    12,196		$  (3,318)(1)		$    8,878		$    7,355
Income tax (benefit)		(573)		3,615		(946)		2,669		2,096
Net		(950)		8,581		(2,372)		6,209		5,259
Unrealized gains (losses) on investments:
Gross		(200)		(756)		159(2)		(597)		(797)
Income tax (benefit)		(76)		(269)		57		(212)		(288)
Net		(124)		(487)		102		(385)		(509)
Foreign currency translation adjustments		(8,275)		178		(866)(3)		(688)		(8,963)
Total accumulated other comprehensive gains (losses)		$    (9,349)		$    8,272		$    (3,136)		$    5,136		$    (4,213)

(1) Transfer of unrealized gains and (losses) from AOCI to income on hedging transactions are included in net sales of tangible products.

(2) Transfer of unrealized gains and (losses) from AOCI to income on investments are included in investment income.

(3) Transfer of foreign currency translation gains and (losses) from AOCI to income, are included in foreign exchange.

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Earnings (Loss) Per Share - Potentially Dilutive Securities Excluded from Earnings Per Share Calculation (Detail)	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Earnings Per Share [Abstract]
Potentially dilutive shares	168,472	1,753,311	1,425,880

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Deferred Compensation Plan (Tables)

12 Months Ended

Dec. 31, 2013

Compensation Related Costs [Abstract]

Schedule of Deferred Compensation Plan Asset and Liability

The following table shows the income, asset and liability amounts related to this plan (in thousands):

	As of December 31,
	2013		2012
Mutual funds included in other assets	$	4,827	$	3,553
Deferred compensation liability included in other long-term liabilities	$	4,827	$	3,553

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Deferred Compensation Plan - Schedule Of Deferred Compensation Plan Asset And Liability (Detail) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2013	Dec. 31, 2012
Compensation Related Costs [Abstract]
Mutual funds included in other assets	$ 4,827	$ 3,553
Deferred compensation liability included in other long-term liabilities	$ 4,827	$ 3,553

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Other Assets (Tables)

12 Months Ended

Dec. 31, 2013

Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract]

Components of Other Assets

Other assets consist of the following (in thousands):

	As of December 31,
	2013		2012
Money market investments related to the deferred compensation plan (See Note 17)	$	4,827	$	3,553
Long-term investments		21,242		9,195
Other long-term assets		1,522		0
Deposits		1,174		898
Total	$	28,765	$	13,646

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Income Taxes - Additional Information (Detail) (USD $)	12 Months Ended				12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2008	Dec. 31, 2012 U K Subsidiaries [Member]	Dec. 31, 2013 Singapore Economic Development Board [Member]	Dec. 31, 2012 Singapore Economic Development Board [Member]	Dec. 31, 2011 Singapore Economic Development Board [Member]	Dec. 31, 2009 Singapore Economic Development Board [Member]	Dec. 31, 2013 Federal [Member]	Dec. 31, 2013 State [Member]	Dec. 31, 2013 Maximum [Member]	Dec. 31, 2013 Minimum [Member]
Income Taxes [Line Items]
Deferred income taxes undistributed foreign earnings	$ 354,164,000	$ 256,000,000
Effective tax rate	35.00%								17.00%
Income tax rate									10.00%
Expiration of tax rate if agreed commitments are not met						2014
Extended tax rate expiration date if requirements are met						2018
Reduction in consolidated income taxes						1,860,000	2,002,000	2,030,000
Unrecognized tax benefits related to an acquisition	4,000,000	4,680,000		4,000,000
Increase in tax liability benefits					680,000
Net operating loss carryforwards, federal	8,252,000
Net operating loss carryforwards, state	26,980,000
Net operating loss carryforwards, expire										2022 through 2027	2013 through 2020
Open tax years by major tax jurisdiction												2012	2009
Income tax interest and penalties accrued	$ 0	$ 0	$ 0

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CONSOLIDATED STATEMENTS OF STOCKHOLDERS EQUITY (USD $) In Thousands	Total	Class A Common Stock [Member]	Additional Paid-in Capital [Member]	Treasury Stock [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Income (Loss) [Member]
Beginning Balance at Dec. 31, 2010	$ 730,032	$ 722	$ 129,715	$ (462,029)	$ 1,070,973	$ (9,349)
Repurchase of Class A Common Stock	(160,200)			(160,200)
Issuance of treasury shares upon exercise of stock options, purchases under stock purchase plan and grants of restricted stock awards	13,009		(12,598)	25,607
Additional tax benefit resulting from exercise of options	210		210
Equity-based compensation	14,095		14,095
Net income	174,643				174,643
Unrealized holding gain (loss) on investments, net of income taxes	(385)					(385)
Unrealized gain (loss) on hedging transactions, net of income taxes	6,209					6,209
Foreign currency translation adjustment	(688)					(688)
Ending Balance at Dec. 31, 2011	776,925	722	131,422	(596,622)	1,245,616	(4,213)
Repurchase of Class A Common Stock	(54,373)			(54,373)
Issuance of treasury shares upon exercise of stock options, purchases under stock purchase plan and grants of restricted stock awards	3,361		(6,196)	9,557
Additional tax benefit resulting from exercise of options	(430)		(430)
Equity-based compensation	14,727		14,727
Net income	122,904				122,904
Unrealized holding gain (loss) on investments, net of income taxes	887					887
Unrealized gain (loss) on hedging transactions, net of income taxes	(7,241)					(7,241)
Foreign currency translation adjustment	242					242
Ending Balance at Dec. 31, 2012	857,002	722	139,523	(641,438)	1,368,520	(10,325)
Repurchase of Class A Common Stock	(63,102)			(63,102)
Issuance of treasury shares upon exercise of stock options, purchases under stock purchase plan and grants of restricted stock awards	14,652		(11,432)	26,084
Additional tax benefit resulting from exercise of options	2,095		2,095
Equity-based compensation	13,109		13,109
Net income	134,358				134,358
Unrealized holding gain (loss) on investments, net of income taxes	(456)					(456)
Unrealized gain (loss) on hedging transactions, net of income taxes	118					118
Foreign currency translation adjustment	882					882
Ending Balance at Dec. 31, 2013	$ 958,658	$ 722	$ 143,295	$ (678,456)	$ 1,502,878	$ (9,781)

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Commitments and Contingencies - Additional Information (Detail) (USD $)	12 Months Ended			0 Months Ended			12 Months Ended
	Dec. 31, 2013 Prime and Federal Fund Rate [Member]	Dec. 31, 2013 London Interbank Offered Rate (LIBOR) [Member]	Dec. 31, 2013 Letter Of Credit [Member]	Oct. 10, 2012 Revolving Credit Agreement [Member]	Dec. 31, 2013 Credit Agreements [Member]	Dec. 31, 2012 Credit Agreements [Member]	Dec. 31, 2013 Minimum [Member]	Dec. 31, 2013 Minimum [Member] Prime and Federal Fund Rate [Member]	Dec. 31, 2013 Maximum [Member]	Dec. 31, 2013 Maximum [Member] Prime and Federal Fund Rate [Member]
Loss Contingencies [Line Items]
Operating lease term range							1 year		9 years
Revolving credit agreement in years				5 years
Revolving credit agreement amount				$ 250,000,000
Spread on federal funds effective rate	0.50%	1.00%
Ratio to total debt to EBITDA	Ranges from 0.00% to 0.75%
Percentage of total debt to EBITDA								0.00%		0.75%
Revolving credit agreement amount			$ 1,800,000		$ 0	$ 0

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Fair Value Measurements

12 Months Ended

Dec. 31, 2013

Fair Value Disclosures [Abstract]

Fair Value Measurements

Note 3 Fair Value Measurements

Financial assets and liabilities are to be measured using inputs from three levels of the fair value hierarchy. Fair value is based on the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Zebra uses a fair value hierarchy that prioritizes observable and unobservable inputs used to measure fair value into three broad levels:

Level 1:	Quoted prices (unadjusted) in active markets that are accessible at the measurement date for assets or liabilities. The fair value hierarchy gives the highest priority to Level 1 inputs. (i.e. U.S. Treasuries and money market funds)
Level 2:	Observable prices that are based on inputs not quoted on active markets, but corroborated by market data.
Level 3:	Unobservable inputs are used when little or no market data is available. The fair value hierarchy gives the lowest priority to Level 3 inputs.

In determining fair value, we utilize valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible as well as consider counterparty credit risk in the assessment of fair value. Included in our investment portfolio at December 31, 2013, is an auction rate security which is classified as available for sale and is reflected at fair value. Due to events in credit markets, however, the auction event for the instrument held by Zebra is failed. Therefore, the fair value of this security is estimated utilizing broker quotations, discounted cash flow analysis or other types of valuation adjustment methodologies at December 31, 2013. These analyses consider, among other items, the collateral underlying the security instruments, the creditworthiness of the counterparty, the timing of expected future cash flows, estimates of the next time the security is expected to have a successful auction, and Zebra’s intent and ability to hold such securities until credit markets improve. The security was also compared, when possible, to other securities with similar characteristics.

The decline in the market value of the auction rate security is considered temporary and has been recorded in accumulated other comprehensive income (loss) on Zebra’s balance sheet. Since Zebra has the intent and ability to hold this auction rate security until it is sold at auction, redeemed at carrying value or reaches maturity, we have classified it as a long-term investment on the balance sheet.

Financial assets and liabilities carried at fair value as of December 31, 2013, are classified below (in thousands):

	Level 1		Level 2		Level 3		Total
Assets:
U.S. government and agency securities	$	89,626	$	0	$	0	$	89,626
Obligations of government-sponsored enterprises (1)		0		33,510		0		33,510
State and municipal bonds		0		51,627		0		51,627
Corporate securities		0		163,832		2,588		166,420
Other investments		0		11,785		0		11,785
Investments subtotal		89,626		260,754		2,588		352,968
Money market investments related to the deferred compensation plan		4,827		0		0		4,827
Total assets at fair value	$	94,453	$	260,754	$	2,588	$	357,795
Liabilities:
Forward contracts (2)	$	1,165	$	1,578	$	0	$	2,743
Liabilities related to the deferred compensation plan		4,827		0		0		4,827
Total liabilities at fair value	$	5,992	$	1,578	$	0	$	7,570

Financial assets and liabilities carried at fair value as of December 31, 2012, are classified below (in thousands):

	Level 1		Level 2		Level 3		Total
Assets:
U.S. government and agency securities	$	83,532	$	13,455	$	0	$	96,987
Obligations of government-sponsored enterprises (1)		0		4,840		0		4,840
State and municipal bonds		0		96,516		0		96,516
Corporate securities		0		128,368		2,588		130,956
Other investments		0		36		0		36
Investments subtotal		83,532		243,215		2,588		329,335
Money market investments related to the deferred compensation plan		3,553		0		0		3,553
Total assets at fair value	$	87,085	$	243,215	$	2,588	$	332,888
Liabilities:
Forward contracts (2)	$	1,174	$	871	$	0	$	2,045
Liabilities related to the deferred compensation plan		3,553		0		0		3,553
Total liabilities at fair value	$	4,727	$	871	$	0	$	5,598

1) Includes investments in notes issued by the Federal Home Loan Mortgage Corporation, the Federal National Mortgage Association, the Federal Farm Credit Banks and the Federal Home Loan Bank.

2) The fair value of forward contracts are calculated as follows:

a. Fair value of a collar or put option contract associated with forecasted sales hedges are calculated using bid and ask rates for similar contracts.

b. Fair value of regular forward contracts associated with forecasted sales hedges are calculated using the period-end exchange rate adjusted for current forward points.

c. Fair value of balance sheet hedges are calculated at the period end exchange rate adjusted for current forward points unless the hedge has been traded but not settled at period end. If this is the case, the fair value is calculated at the rate at which the hedge is being settled.

The following table presents Zebra’s activity for assets measured at fair value on a recurring basis using significant unobservable inputs, Level 3 as defined in ASC 820 for the years ended December 31 (in thousands):

	Year Ended
	December 31, 2013		December 31, 2012
Balance at beginning of the year	$	2,588	$	2,588
Transfers to Level 3		0		0
Total losses (realized or unrealized):
Included in earnings		0		0
Included in other comprehensive income (loss)		0		0
Purchases and settlements (net)		0		0
Balance at end of period	$	2,588	$	2,588
Total gains (losses) for the period included in earnings attributable to the change in unrealized losses relating to assets still held at end of period	$	0	$	0

As of December 31, 2013 and December 31, 2012, there were no other Level 3 unrealized losses that Zebra believes to be other-than-temporary. No realized gains or losses were recorded for the years ended December 31, 2013 and 2012.

The following is a summary of short-term and long-term investments at December 31, 2013 and December 31, 2012 (in thousands):

	As of December 31, 2013
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
U.S. government and agency securities	$	89,617	$	27	$	(18	)	$	89,626
Obligations of government-sponsored enterprises		33,506		5		(1	)		33,510
State and municipal bonds		51,573		82		(28	)		51,627
Corporate securities		166,642		453		(675	)		166,420
Other investments		11,771		15		(1	)		11,785
Total investments	$	353,109	$	582	$	(723	)	$	352,968
	As of December 31, 2012
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Estimated Fair Value
U.S. government and agency securities	$	96,913	$	77	$	(3	)	$	96,987
Obligations of government-sponsored enterprises		4,830		10		0			4,840
State and municipal bonds		96,383		161		(28	)		96,516
Corporate securities		130,634		790		(468	)		130,956
Other investments		36		0		0			36
Total investments	$	328,796	$	1,038	$	(499	)	$	329,335

The maturity dates of investments as of December 31, 2013 are as follows (in thousands):

	As of December 31, 2013
	Amortized Cost		Estimated Fair Value
Less than 1 year	$	130,430	$	130,490
1 to 5 years		211,744		212,087
6 to 10 years		10,935		10,391
Thereafter		0		0
Total	$	353,109	$	352,968

The carrying value for Zebra’s financial instruments classified as current assets (other than short-term investments) and current liabilities approximate fair value due to short term maturities.

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Summary of Significant Accounting Policies - Additional Information (Detail) (USD $)	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Summary Of Significant Accounting Policies [Line Items]
Intangible assets, weighted-average useful life	6 years 6 months
Advertising expenses	$ 7,688,000	$ 8,983,000	$ 8,070,000
Expected weighted-average life	5 years 5 months 1 day	5 years 5 months 23 days	5 years 5 months 1 day
Excess tax benefits in Financing activities	$ 4,277,000	$ 1,578,000	$ 1,392,000
Printers [Member]
Summary Of Significant Accounting Policies [Line Items]
Product warranty Period	1 year
Printheads [Member]
Summary Of Significant Accounting Policies [Line Items]
Product warranty Period	6 months
Batteries [Member]
Summary Of Significant Accounting Policies [Line Items]
Product warranty Period	1 year
Battery Based Products [Member]
Summary Of Significant Accounting Policies [Line Items]
Product warranty Period	90 days
Current Technology [Member]
Summary Of Significant Accounting Policies [Line Items]
Intangible assets, weighted-average useful life	3 years 8 months 12 days
Patents and Patent Rights [Member]
Summary Of Significant Accounting Policies [Line Items]
Intangible assets, weighted-average useful life	3 years 7 months 6 days
Customer Relationships [Member]
Summary Of Significant Accounting Policies [Line Items]
Intangible assets, weighted-average useful life	9 years 9 months 18 days
Buildings [Member]
Summary Of Significant Accounting Policies [Line Items]
Property and equipment, estimated useful lives	30 years
Minimum [Member]
Summary Of Significant Accounting Policies [Line Items]
Expected weighted-average life	3 months
Minimum [Member] | Property, Plant and Equipment, Other Types [Member]
Summary Of Significant Accounting Policies [Line Items]
Property and equipment, estimated useful lives	3 years
Maximum [Member]
Summary Of Significant Accounting Policies [Line Items]
Expected weighted-average life	1 year
Maximum [Member] | Equity-Based Compensation [Member]
Summary Of Significant Accounting Policies [Line Items]
Expected weighted-average life	5 years
Maximum [Member] | Property, Plant and Equipment, Other Types [Member]
Summary Of Significant Accounting Policies [Line Items]
Property and equipment, estimated useful lives	10 years

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Derivative Instruments - Financial Information Related to Hedging of Net Assets Included in Consolidated Statement of Earnings (Detail) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013 USD ($)	Dec. 31, 2012 USD ($)	Dec. 31, 2011 USD ($)	Dec. 31, 2013 Foreign Exchange Forward [Member] Pound/US Dollar [Member] GBP (£)	Dec. 31, 2012 Foreign Exchange Forward [Member] Pound/US Dollar [Member] GBP (£)	Dec. 31, 2013 Foreign Exchange Forward [Member] Euro/US Dollar [Member] EUR (€)	Dec. 31, 2012 Foreign Exchange Forward [Member] Euro/US Dollar [Member] EUR (€)
Derivative [Line Items]
Change in gains (losses) from foreign exchange derivatives	$ (1,998)	$ (1,347)	$ (825)
Gain (loss) on net foreign currency assets	1,474	406	(1,181)
Net foreign exchange loss	(524)	(941)	(2,006)
Notional balance of outstanding contracts versus the dollar				0	3,810	41,021	37,598
Net fair value of outstanding contracts	$ 33	$ 18

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Income Taxes - Components of Income (Loss) Before Income Taxes (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Income Tax Disclosure [Abstract]
United States	$ 47,636	$ 60,388	$ 78,593
Outside United States	116,191	103,786	101,126
Income from continuing operations before income taxes	$ 163,827	$ 164,174	$ 179,719

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Investments and Marketable Securities - Additional Information (Detail) (USD $)	Dec. 31, 2013	Dec. 31, 2012
Investments [Abstract]
Foreign cash and investments	$ 251,658,000	$ 173,483,000

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Geographic Data

12 Months Ended

Dec. 31, 2013

Segment Reporting [Abstract]

Geographic Data

Note 20 Geographic Data

Information regarding Zebra’s operations by geographic area is contained in the following table. These amounts (in thousands) are reported in the geographic area of the destination of the final sale. We manage our business based on these regions rather than by individual countries.

	North America		Europe, Middle East & Africa		Latin America		Asia		Total
2013
Net sales	$	459,908	$	326,470	$	99,041	$	152,740	$	1,038,159
Long-lived assets		97,768		8,149		502		3,169		109,588
2012
Net sales	$	435,520	$	322,970	$	100,101	$	137,577	$	996,168
Long-lived assets		90,363		7,522		538		2,926		101,349
2011
Net sales	$	409,208	$	342,578	$	89,715	$	141,987	$	983,488
Long-lived assets		88,382		5,965		362		3,113		97,822
Net sales by country that are greater than 10% of total net sales are as follows (in thousands):
	United States		United Kingdom		Singapore		Other		Total
2013	$	562,848	$	323,708	$	140,588	$	11,015	$	1,038,159
2012	$	539,504	$	317,793	$	134,349	$	4,522	$	996,168
2011	$	504,283	$	339,027	$	136,757	$	3,421	$	983,488
Net sales by country are determined by the country from where the products are invoiced when they leave Zebra’s warehouse. Generally, our United States sales company serves North America and Latin America while our United Kingdom sales company serves the Europe, Middle East and Africa markets and our Singapore sales company serves all of the Asia Pacific market.
Net sales by major product category are as follows (in thousands):
	Hardware		Supplies		Service and Software		Shipping and Handling		Total
2013	$	735,123	$	243,965	$	53,627	$	5,444	$	1,038,159
2012	$	730,489	$	212,499	$	47,941	$	5,239	$	996,168
2011	$	743,308	$	187,457	$	47,206	$	5,517	$	983,488

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Major Customers - Significant Customers as Percentage of Total Net Sales (Detail)	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Revenue, Major Customer [Line Items]
Percentage of total net sales	10.00%
Customer A [Member]
Revenue, Major Customer [Line Items]
Percentage of total net sales	16.80%	20.40%	20.70%
Customer B [Member]
Revenue, Major Customer [Line Items]
Percentage of total net sales	13.10%	11.40%	10.50%
Customer C [Member]
Revenue, Major Customer [Line Items]
Percentage of total net sales	12.30%	10.30%	8.90%

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Valuation and Qualifying Accounts (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Valuation Account for Accounts Receivable [Member]
Valuation and Qualifying Accounts Disclosure [Line Items]
Balance at Beginning of Period	$ 669	$ 1,560	$ 1,459
Charged to Costs and Expenses	373	0	343
Deductions / (Recoveries)	589	891	242
Balance at End of Period	453	669	1,560
Valuation Accounts for Inventories [Member]
Valuation and Qualifying Accounts Disclosure [Line Items]
Balance at Beginning of Period	13,655	14,710	9,837
Charged to Costs and Expenses	8,473	6,758	8,762
Deductions / (Recoveries)	9,567	7,813	3,889
Balance at End of Period	$ 12,561	$ 13,655	$ 14,710

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Goodwill and Other Intangible Asset Data - Amortized Intangible Assets (Detail) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Finite-Lived Intangible Assets [Line Items]
Gross Amount	$ 106,240	$ 69,040
Accumulated Amortization	(37,272)	(29,889)
Net Amount	68,968	39,151
Amortization expense	7,383	4,673	3,320
Current Technology [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Amount	23,778	18,978
Accumulated Amortization	(14,060)	(12,391)
Net Amount	9,718	6,587
Patents and Patent Rights [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Amount	29,569	29,569
Accumulated Amortization	(17,919)	(14,618)
Net Amount	11,650	14,951
Customer Relationships [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Amount	52,893	20,493
Accumulated Amortization	(5,293)	(2,880)
Net Amount	$ 47,600	$ 17,613

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Inventories (Tables)

12 Months Ended

Dec. 31, 2013

Inventory Disclosure [Abstract]

Components of Inventories

The components of inventories are as follows (in thousands):

	As of
	December 31, 2013		December 31, 2012
Raw material	$	31,335	$	31,350
Work in process		415		921
Deferred costs of long-term contracts		294		604
Finished goods		101,540		104,137
Total inventories, gross		133,584		137,012
Inventory reserves		(12,561)		(13,655)
Total inventories, net	$	121,023	$	123,357

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Savings and Profit Sharing Plans

12 Months Ended

Dec. 31, 2013

Postemployment Benefits [Abstract]

Savings and Profit Sharing Plans

Note 13 Savings and Profit Sharing Plans

Zebra has a Retirement Savings and Investment Plan (401(k) Plan), which is intended to qualify under Section 401(k) of the Internal Revenue Code. Qualified employees may participate in Zebra’s 401(k) Plan by contributing up to 15% of their gross earnings to the plan subject to certain Internal Revenue Service restrictions. Zebra matches 100% of the first 2% of gross eligible earnings, and also matches the next 4% of gross eligible earnings at the rate of 50%. Zebra may contribute additional amounts to its 401(k) Plan at the discretion of the Board of Directors, subject to certain legal limits.

Company contributions to these plans, which were charged to operations, approximated the following (in thousands):

	Year Ended December 31,
	2013		2012		2011
401(k)	$	4,865	$	5,138	$	4,813
Total	$	4,865	$	5,138	$	4,813

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Equity-Based Compensation - Summary of SAR Activity (Detail) (USD $)	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2011
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares, Granted	0	0	0
Stock Appreciation Rights (SARs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares, Outstanding at beginning of year	1,535,804	1,287,724	1,234,787
Shares, Granted	326,811	431,040	387,847
Shares, Exercised	(376,673)	(102,972)	(95,672)
Shares, Forfeited	(80,515)	(75,978)	(238,965)
Shares, Expired	(2,643)	(4,010)	(273)
Shares, Outstanding at end of period	1,402,784	1,535,804	1,287,724
Shares, Exercisable at end of period	520,426	514,787	305,228
Weighted-Average Exercise Price, Outstanding at beginning of year	$ 31.66	$ 28.91	$ 23.82
Weighted-Average Exercise Price, Granted	$ 46.13	$ 38.51	$ 41.14
Weighted-Average Exercise Price, Exercised	$ 25.44	$ 23.83	$ 22.20
Weighted-Average Exercise Price, Forfeited	$ 37.54	$ 34.10	$ 25.15
Weighted-Average Exercise Price, Expired	$ 33.70	$ 41.57	$ 19.56
Weighted-Average Exercise Price, Outstanding at end of year	$ 36.36	$ 31.66	$ 28.91
Weighted-Average Exercise Price, Exercisable at end of year	$ 30.51	$ 26.52	$ 23.27
Intrinsic value of exercised options and SARs	$ 7,900,000	$ 1,500,000	$ 1,700,000