Quarterly report pursuant to Section 13 or 15(d)

Balance Sheet Components

v2.4.0.8
Balance Sheet Components
9 Months Ended
Mar. 31, 2014
Balance Sheet Components [Abstract]  
Balance Sheet Components
FINANCIAL STATEMENT COMPONENTS
Balance Sheet Components
(In thousands)
As of
March 31, 2014
 
As of
June 30, 2013
Accounts receivable, net:
 
 
 
Accounts receivable, gross
$
579,510

 
$
546,745

Allowance for doubtful accounts
(21,849
)
 
(22,135
)
 
$
557,661

 
$
524,610

Inventories:
 
 
 
Customer service parts
$
197,373

 
$
180,749

Raw materials
241,773

 
229,233

Work-in-process
178,409

 
176,704

Finished goods
63,364

 
47,762

 
$
680,919

 
$
634,448

Other current assets:
 
 
 
Prepaid expenses
$
32,645

 
$
31,997

Prepaid income taxes
47,435

 
25,825

Other current assets
13,946

 
17,217

 
$
94,026

 
$
75,039

Land, property and equipment, net:
 
 
 
Land
$
41,848

 
$
41,850

Buildings and leasehold improvements
289,411

 
272,920

Machinery and equipment
506,655

 
476,747

Office furniture and fixtures
20,654

 
20,701

Construction-in-process
17,299

 
16,604

 
875,867

 
828,822

Less: accumulated depreciation and amortization
(549,818
)
 
(523,541
)
 
$
326,049

 
$
305,281

Other non-current assets:
 
 
 
Executive Deferred Savings Plan(1)
$
156,047

 
$
136,461

Deferred tax assets – long-term
78,133

 
114,833

Other non-current assets
17,059

 
18,129

 
$
251,239

 
$
269,423

Other current liabilities:
 
 
 
Warranty
$
41,149

 
$
42,603

Executive Deferred Savings Plan(1)
156,417

 
137,849

Compensation and benefits
188,028

 
195,793

Income taxes payable
9,422

 
11,076

Interest payable
21,706

 
8,769

Other accrued expenses
130,380

 
130,959

 
$
547,102

 
$
527,049


________________
(1)
KLA-Tencor has a non-qualified deferred compensation plan whereby certain executives and non-employee directors may defer a portion of their compensation. Participants are credited with returns based on their allocation of their account balances among measurement funds. The Company controls the investment of these funds, and the participants remain general creditors of KLA-Tencor. Distributions from the plan commence the quarter following a participant’s retirement or termination of employment, except in cases where such distributions are required to be delayed in order to avoid a prohibited distribution under Internal Revenue Code Section 409A. As of March 31, 2014, the Company had a deferred compensation plan related asset and liability included as a component of other non-current assets and other current liabilities on the Condensed Consolidated Balance Sheet.
Accumulated Other Comprehensive Income (Loss)
The components of accumulated other comprehensive income (loss) (“OCI”) as of the dates indicated below were as follows:
(In thousands)
Currency Translation Adjustments
 
Unrealized Gains (Losses) on Available-for-Sale Securities
 
Unrealized Gains (Losses) on Cash Flow Hedges
 
Unrealized Gains (Losses) on Defined Benefit Plans
 
Total
Balance as of June 30, 2013
$
(22,467
)
 
$
(602
)
 
$
1,594

 
$
(15,171
)
 
$
(36,646
)
Other comprehensive income before reclassifications
3,908

 
5,641

 
1,821

 

 
11,370

Amounts reclassified from accumulated OCI

 
(1,728
)
 
(3,472
)
 
880

 
(4,320
)
Tax (benefits) expense
(661
)
 
(1,346
)
 
591

 
(338
)
 
(1,754
)
Other comprehensive income (loss)
3,247

 
2,567

 
(1,060
)
 
542

 
5,296

Balance as of March 31, 2014
$
(19,220
)
 
$
1,965

 
$
534

 
$
(14,629
)
 
$
(31,350
)

The effects on net income of amounts reclassified from accumulated OCI to the Condensed Consolidated Statement of Operations for the indicated periods were as follows (in thousands):
 
 
 
 
Three months ended
March 31,
 
Nine months ended
March 31,
Accumulated OCI Components
 
Location
 
2014
 
2014
Gains on cash flow hedges from foreign exchange contracts
 
Revenues
 
$
895

 
$
3,217

 
 
Costs of revenues
 
39

 
255

 
 
Total before tax
 
934

 
3,472

Unrealized gains (losses) on available-for-sale securities
 
Interest income and other, net
 
281

 
1,728

Unrealized losses on defined benefit plans
 
Total before tax
 
$
(253
)
 
$
(880
)
Total amount reclassified from accumulated OCI
 
 
 
$
962

 
$
4,320