|
|
![]() | ![]() | ![]() | ![]() |
| |||||||||
This excerpt taken from the MRVL 10-Q filed Jun 11, 2009. Purchase commitments On February 28, 2005 and as amended on March 31, 2005, the Company entered into an agreement with a foundry to reserve and secure foundry fabrication capacity for a fixed number of wafers at agreed upon prices for a period of five and a half years beginning on October 1, 2005. In return, the Company agreed to pay the foundry $174.2 million over a period of 18 months. The amendment extends the term of the agreement and the agreed upon pricing terms until December 31, 2015. As of May 2, 2009, payments totaling $174.2 million (included in prepaid expenses and other current assets and other non-current assets) have been made and approximately $155.0 million of the prepayment has been utilized as of May 2, 2009. At May 2, 2009, there were no outstanding commitments under the agreement. Under the Companys manufacturing relationships with foundries, cancellation of all outstanding purchase orders are allowed but require repayment of all expenses incurred through the date of cancellation. As of May 2, 2009, the amount of open purchase orders to these foundries is approximately $133.9 million. As of May 2, 2009, the Company had approximately $14.7 million of other outstanding non-cancelable purchase orders for capital purchase obligations. These excerpts taken from the MRVL 10-K filed Apr 1, 2009. Purchase Commitments Under the Companys manufacturing relationships with all other foundries, cancellation of all outstanding purchase orders are allowed but require repayment of all expenses incurred through the date of cancellation. As of January 31, 2009, these foundries had incurred approximately $40.8 million of manufacturing expenses on the Companys outstanding purchase orders. On February 28, 2005 and as amended on March 31, 2005, the Company entered into an agreement with a foundry to reserve and secure foundry fabrication capacity for a fixed number of wafers at agreed upon prices for a period of five and a half years beginning on October 1, 2005. In return, the Company agreed to pay the foundry $174.2 million over a period of eighteen months. The amendment extends the term of the agreement and the agreed upon pricing terms until December 31, 2015. As of January 31, 2009, payments totaling $174.2 million (included in prepaid expenses and other current assets and other noncurrent assets) have been made and approximately $151.4 million of the prepayment has been utilized as of January 31, 2009. At January 31, 2009, there were no outstanding commitments under the agreement.
109
Table of ContentsMARVELL TECHNOLOGY GROUP LTD. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
As of January 31, 2009, the Company had approximately $21.8 million of other outstanding non-cancelable purchase orders for capital purchase obligations. Purchase Commitments Under the Companys manufacturing relationships with all other foundries, cancellation of all outstanding purchase orders are allowed but require repayment of all expenses incurred through the date of cancellation. As of January 31, 2009, these foundries had incurred approximately $40.8 million of manufacturing expenses on the Companys outstanding purchase orders. On February 28, 2005 and as amended on March 31, 2005, the Company entered into an agreement with a foundry to reserve and secure foundry fabrication capacity for a fixed number of wafers at agreed upon prices for a period of five and a half years beginning on October 1, 2005. In return, the Company agreed to pay the foundry $174.2 million over a period of eighteen months. The amendment extends the term of the agreement and the agreed upon pricing terms until December 31, 2015. As of January 31, 2009, payments totaling $174.2 million (included in prepaid expenses and other current assets and other noncurrent assets) have been made and approximately $151.4 million of the prepayment has been utilized as of January 31, 2009. At January 31, 2009, there were no outstanding commitments under the agreement.
109
Table of ContentsMARVELL TECHNOLOGY GROUP LTD. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
As of January 31, 2009, the Company had approximately $21.8 million of other outstanding non-cancelable purchase orders for capital purchase obligations. Purchase Commitments Under the Companys manufacturing relationships with all other foundries, cancellation of all outstanding purchase orders are On February 28, 2005 and as amended on March 31, 2005, the Company entered into an agreement with a foundry to reserve
109 Table of ContentsMARVELL TECHNOLOGY GROUP LTD. ALIGN="center">NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
As of January 31, 2009, the Company had approximately $21.8 million of other outstanding This excerpt taken from the MRVL 10-Q filed Sep 10, 2008. Purchase commitments
In connection with the acquisition of the communication and application processor business of Intel Corporation, the Company entered into a product supply agreement with Intel. Although the Company has met the contractual obligations under the original supply agreement and has transitioned certain products to its fabrication partners, the Company anticipates that it will continue to source certain legacy application processor cellular and handset inventory from Intel. Under terms of an amendment to the supply agreement, the Company has committed to purchase an additional minimum number of wafers through December 2008. The amendment had no impact on the accounting for the original acquisition. As of August 2, 2008, the Company had non-cancellable purchase orders outstanding of $17.1 million under the amended arrangement.
17
Under the Companys manufacturing relationships with its other foundries, cancellation of outstanding purchase orders is allowed but requires repayment of all expenses incurred through the date of cancellation. As of August 2, 2008, these foundries had incurred approximately $188.4 million of manufacturing expenses on the Companys outstanding purchase orders.
On February 28, 2005 and as amended on March 31, 2005, the Company entered into an agreement with a foundry to reserve and secure foundry fabrication capacity for a fixed number of wafers at agreed upon prices for a period of five and a half years beginning on October 1, 2005. In return, the Company agreed to pay the foundry $174.2 million over a period of 18 months. The amendment extends the term of the agreement and the agreed upon pricing terms until December 31, 2015. As of August 2, 2008, payments totaling $174.2 million, which is included in prepaid expenses and other current assets and other non-current assets have been made and approximately $140.2 million of the prepayment has been utilized as of August 2, 2008. At August 2, 2008, there are no outstanding commitments under the agreement.
As of August 2, 2008, the Company had approximately $49.8 million of other outstanding non-cancellable purchase orders for capital purchase obligations.
This excerpt taken from the MRVL 10-Q filed Jun 6, 2008. Purchase Commitments
In connection with the acquisition of the communication and application processor business of Intel, the Company entered into a product supply agreement with Intel. Although the Company has met the contractual obligations under the original supply agreement and has transitioned certain products to its fabrication partners, the Company anticipates that it will continue to source certain legacy application processor cellular and handset inventory from Intel. Under terms of an amended agreement with Intel, the Company has committed to purchase a minimum number of wafers through December 2008. As of May 3, 2008, the Company had non-cancellable purchase orders outstanding of $20.6 million under this arrangement.
16
Under the Companys manufacturing relationships with its other foundries, cancellation of outstanding purchase orders is allowed but requires repayment of all expenses incurred through the date of cancellation. As of May 3, 2008, these foundries had incurred approximately $173.3 million of manufacturing expenses on the Companys outstanding purchase orders.
On February 28, 2005 and as amended on March 31, 2005, the Company entered into an agreement with a foundry to reserve and secure foundry fabrication capacity for a fixed number of wafers at agreed upon prices for a period of five and a half years beginning on October 1, 2005. In return, the Company agreed to pay the foundry $174.2 million over a period of 18 months. The amendment extends the term of the agreement and the agreed upon pricing terms until December 31, 2015. As of May 3, 2008, payments totaling $174.2 million, which is included in prepaid expenses and other current assets and other non-current assets have been made and approximately $134.2 million of the prepayment has been utilized as of May 3, 2008. At May 3, 2008, there are no outstanding commitments under the agreement.
As of May 3, 2008, the Company had approximately $51.5 million of other outstanding non-cancellable purchase orders for capital purchase obligations.
These excerpts taken from the MRVL 10-K filed Mar 28, 2008. Purchase Commitments In connection with the acquisition of the ICAP Business, the Company entered into a product supply agreement with Intel. Although the Company has met the contractual obligations under the original supply agreement and has transitioned certain products to its fabrication partners, the Company anticipates that it will continue to source certain legacy application processor cellular and handset inventory from Intel. Under terms of an amended agreement with Intel, the Company has committed to purchase a minimum number of wafers through December 2008. As of February 2, 2008, the Company recorded $14.0 million as a prepaid asset for advance payment for wafers and had non cancellable purchase orders outstanding of $32.3 million under this arrangement. Under the Company's manufacturing relationships with all other foundries, cancellation of all outstanding purchase orders are allowed but require repayment of all expenses incurred through the date of cancellation. As of February 2, 2008, these foundries had incurred approximately $188.0 million of manufacturing expenses on the Company's outstanding purchase orders. On February 28, 2005 and as amended on March 31, 2005, the Company entered into an agreement with a foundry to reserve and secure foundry fabrication capacity for a fixed number of wafers at agreed upon prices for a period of five and a half years beginning on October 1, 2005. In return, the Company agreed to pay the foundry $174.2 million over a period of eighteen months. The amendment extends the term of the agreement and the agreed upon pricing terms until December 31, 2015. As of February 2, 2008, payments totaling $174.2 million (included in prepaid expenses and other current assets and other noncurrent assets) have been made and approximately $128.2 million of the prepayment has been utilized as of February 2, 2008. At February 2, 2008, there are no outstanding commitments under the agreement. As of February 2, 2008, the Company had approximately $58.7 million of other outstanding non-cancelable purchase orders for capital purchase obligations. Purchase Commitments In connection with the acquisition of the ICAP Business, the Company entered into a product supply agreement with Intel. Although the Company has met the Under On As This excerpt taken from the MRVL 10-Q filed Dec 6, 2007. Purchase Commitments In connection with the acquisition of the ICAP Business, the Company entered into a product supply agreement with Intel. Under the terms of the agreement the Company has committed to purchase a minimum number of wafers through June 2008. If at the end of any fiscal quarter for Intel, there is a shortfall between the quantity of supply ordered by the Company and the quantities of supply required under the supply agreement commitment, Intel will invoice the Company for the shortfall and will deliver the corresponding quantity upon receipt of payment from the Company. The agreement requires the Company to prepay for certain wafers six months in advance of delivery and issue non cancellable purchase orders at least six months in
19
advance of requested delivery dates for all purchases under the supply agreement. As of October 27, 2007, the Company recorded $22.8 million in prepaid assets for prepayment of wafers and had non cancellable purchase orders outstanding of $125.6 million. Under the Companys manufacturing relationships with all other foundries, cancellation of all outstanding purchase orders are allowed but require repayment of all expenses incurred through the date of cancellation. As of October 27, 2007, these foundries had incurred approximately $211.4 million of manufacturing expenses on the Companys outstanding purchase orders. On February 28, 2005 and as amended on March 31, 2005, the Company entered into an agreement with a foundry to reserve and secure foundry fabrication capacity for a fixed number of wafers at agreed upon prices for a period of five and a half years beginning on October 1, 2005. In return, the Company agreed to pay the foundry $174.2 million over a period of eighteen months. The amendment extends the term of the agreement and the agreed upon pricing terms until December 31, 2015. As of October 27, 2007, payments totaling $174.2 million which are included in prepaid expenses and other current assets and other non-current assets had been made and approximately $121.5 million of the prepayment had been utilized. At October 27, 2007, there were no outstanding commitments under the agreement. As of October 27, 2007, the Company had approximately $63.1 million of other outstanding non-cancellable purchase orders for capital purchase obligations. This excerpt taken from the MRVL 10-Q filed Sep 6, 2007. Purchase Commitments In connection with the acquisition of the ICAP Business, the Company entered into a product supply agreement with Intel. Under the terms of the agreement the Company has committed to purchase a minimum number of wafers through June 2008. If at the end of any fiscal quarter for Intel, there is a shortfall between the quantity of supply ordered by the Company and the quantities of supply required under the supply agreement commitment, Intel will invoice the Company for the shortfall and will deliver the corresponding quantity upon receipt of payment from the Company. The agreement requires the Company to prepay for certain wafers six months in advance of delivery and issue non cancellable purchase orders at least six months in advance of requested delivery dates for all purchases under the supply agreement. As of July 28, 2007, the Company recorded $49.6 million in prepaid assets for prepayment of wafers and had non cancellable purchase orders outstanding of $207.1 million. Under the Companys manufacturing relationships with all other foundries, cancellation of all outstanding purchase orders are allowed but require repayment of all expenses incurred through the date of cancellation. As of July 28, 2007, these foundries had incurred approximately $215.4 million of manufacturing expenses on the Companys outstanding purchase orders. On February 28, 2005 and as amended on March 31, 2005, the Company entered into an agreement with a foundry to reserve and secure foundry fabrication capacity for a fixed number of wafers at agreed upon prices for a period of five and a half years beginning on October 1, 2005. In return, the Company agreed to pay the foundry $174.2 million over a period of eighteen months. The amendment extends the term of the agreement and the agreed upon pricing terms until December 31, 2015. As of July 28, 2007, payments totaling $174.2 million which are included in prepaid expenses and other current assets and other non-current assets have been made and approximately $112.7 million of the prepayment has been utilized as of July 28, 2007. At July 28, 2007, there are no more outstanding commitments under the agreement. As of July 28, 2007, the Company had approximately $83.1 million of other outstanding non-cancellable purchase orders for capital purchase obligations. 19 This excerpt taken from the MRVL 10-Q filed Jul 9, 2007. Purchase Commitments In connection with the acquisition of the ICAP Business, the Company entered into a product supply agreement with Intel. Under the terms of the agreement the Company has committed to purchase a minimum number of wafers through June 2008. If at the end of any fiscal quarter for Intel, there is a shortfall between the quantity of supply ordered by the Company and the quantities of supply required under the supply agreement commitment, Intel will invoice the Company for the shortfall and will deliver the corresponding quantity upon receipt of payment from the Company. The agreement requires the Company to prepay for certain wafers six months in advance of delivery and issue non cancellable purchase orders at least six months in advance of requested delivery dates for all purchases under the supply agreement. As of April 28, 2007, the Company recorded $65.5 million in prepaid assets for prepayment of wafers and had non cancellable purchase orders outstanding of $319.7 million. Under the Companys manufacturing relationships with all other foundries, cancellation of all outstanding purchase orders are allowed but require repayment of all expenses incurred through the date of cancellation. As of April 28, 2007, these foundries had incurred approximately $118.9 million of manufacturing expenses on the Companys outstanding purchase orders. 18 On February 28, 2005 and as amended on March 31, 2005, the Company entered into an agreement with a foundry to reserve and secure foundry fabrication capacity for a fixed number of wafers at agreed upon prices for a period of five and a half years beginning on October 1, 2005. In return, the Company agreed to pay the foundry $174.2 million over a period of eighteen months. The amendment extends the term of the agreement and the agreed upon pricing terms until December 31, 2015. As of April 28, 2007, payments totaling $174.2 million which is included in prepaid expenses and other current assets and other non-current assets have been made and approximately $101.5 million of the prepayment has been utilized as of April 28, 2007. At April 28, 2007, there are no more outstanding commitments under the agreement. As of April 28, 2007, the Company had approximately $85.2 million of other outstanding non-cancellable purchase orders for capital purchase obligations. This excerpt taken from the MRVL 10-K filed Jul 2, 2007. Purchase Commitments In connection with the acquisition of the ICAP Business, the Company entered into a product supply agreement with Intel. Under the terms of the agreement the Company has committed to purchase and Intel has agreed to supply, through December 2008, a minimum number of wafers at fixed prices. If at the end of any fiscal quarter for Intel, there is a shortfall between the quantity of supply ordered by the Company and the quantities of supply required under the supply agreement commitment, Intel will invoice 142 MARVELL TECHNOLOGY GROUP LTD. the Company for the shortfall and will deliver the corresponding quantity upon receipt of payment from the Company. The agreement requires the Company to prepay for certain wafers six months in advance of delivery and issue non cancellable purchase orders at least six months in advance of requested delivery dates for all purchases under the supply agreement. As of January 27, 2007, the Company recorded $30.0 million as a prepaid asset for advance payment for wafers and had non cancellable purchase orders outstanding of $282.3 million under this arrangement. Under the Companys manufacturing relationships with all other foundries, cancellation of all outstanding purchase orders are allowed but require repayment of all expenses incurred through the date of cancellation. As of January 27, 2007, these foundries had incurred approximately $98.8 million of manufacturing expenses on the Companys outstanding purchase orders. On February 28, 2005 and as amended on March 31, 2005, the Company entered into an agreement with a foundry to reserve and secure foundry fabrication capacity for a fixed number of wafers at agreed upon prices for a period of five and a half years beginning on October 1, 2005. In return, the Company agreed to pay the foundry $174.2 million over a period of eighteen months. The amendment extends the term of the agreement and the agreed upon pricing terms until December 31, 2015. As of January 27, 2007, payments totaling $174.2 million (included in prepaid expenses and other current assets and other noncurrent assets) have been made and approximately $87.8 million of the prepayment has been utilized as of January 27, 2007. At January 27, 2007, there are no more outstanding commitments under the agreement. As of January 27, 2007, the Company had approximately $75.9 million of other outstanding non-cancelable purchase orders for capital purchase obligations. This excerpt taken from the MRVL 10-Q filed Jul 2, 2007. Purchase Commitments The Companys manufacturing relationships with its foundries allow for the cancellation of all outstanding purchase orders, but require repayment of all expenses incurred through the date of cancellation. As of July 29, 2006, foundries had incurred approximately $153.0 million of manufacturing expenses on the Companys outstanding purchase orders. As of July 29, 2006, the Company also had approximately $68.6 million of other outstanding non-cancelable purchase orders for capital purchase obligations. On February 28, 2005 and as amended on March 31, 2005, the Company entered into an agreement with a foundry to reserve and secure foundry fabrication capacity for a fixed number of wafers at agreed upon prices for a period of five and a half years beginning on October 1, 2005. In return, the Company agreed to pay the foundry $174.2 million over a period of eighteen months. The amendment extends the term of the agreement and the agreed-upon pricing terms until December 31, 2015. As of July 29, 2006, payments totaling $152.0 million (included in prepaid expenses and other current assets and other non current assets) have been made and approximately $61.0 million of the prepayment has been utilized as of July 29, 2006. At July 29, 2006, remaining commitments under the agreement were approximately $22.2 million. This excerpt taken from the MRVL 10-Q filed Jul 2, 2007. Purchase Commitments The Companys manufacturing relationships with its foundries allow for the cancellation of all outstanding purchase orders, but require repayment of all expenses incurred through the date of cancellation. As of October 28, 2006, foundries had incurred approximately $134.7 million of manufacturing expenses on the Companys outstanding purchase orders. As of October 28, 2006, the Company also had approximately $75.3 million of other outstanding non-cancelable purchase orders for capital purchase obligations. On February 28, 2005 and as amended on March 31, 2005, the Company entered into an agreement with a foundry to reserve and secure foundry fabrication capacity for a fixed number of wafers at agreed upon prices for a period of five and a half years beginning on October 1, 2005. In return, the Company agreed to pay the foundry $174.2 million over a period of eighteen months. The amendment extends the term of the agreement and the agreed-upon pricing terms until December 31, 2015. As of October 28, 2006, payments totaling $174.2 million (included in prepaid expenses and other current assets and other non current assets) have been made and approximately $74.9 million of the prepayment has been utilized as of October 28, 2006. At October 28, 2006, there were no more remaining commitments under the agreement. This excerpt taken from the MRVL 10-Q filed Jul 2, 2007. Purchase Commitments The Companys manufacturing relationships with its foundries allow for the cancellation of all outstanding purchase orders, but require repayment of all expenses incurred through the date of cancellation. As of April 29, 2006, foundries had incurred approximately $145.0 million of manufacturing expenses on the Companys outstanding purchase orders. As of April 29, 2006, the Company also had approximately $63.2 million of other outstanding non-cancelable purchase orders for capital purchase obligations. On February 28, 2005 and as amended on March 31, 2005, the Company entered into an agreement with a foundry to reserve and secure foundry fabrication capacity for a fixed number of wafers at agreed upon prices for a period of five and a half years beginning on October 1, 2005. In return, the Company agreed to pay the foundry $174.2 million over a period of eighteen months. The amendment extends the term of the agreement and the agreed-upon pricing terms until December 31, 2015. As of April 29, 2006, payments totaling $129.0 million (included in prepaid expenses and other current assets and other non current assets) have been made and approximately $44.6 million of the prepayment has been utilized as of April 29, 2006. At April 29, 2006, remaining commitments under the agreement were approximately $45.2 million. This excerpt taken from the MRVL 10-Q filed Jun 8, 2006. Purchase Commitments The Companys manufacturing relationships with its foundries allow for the cancellation of all outstanding purchase orders, but requires repayment of all expenses incurred through the date of cancellation. As of April 30, 2006, foundries had incurred approximately $145.0 million of manufacturing expenses on the Companys outstanding purchase orders. As of April 30, 2006, the Company also had approximately $63.2 million of other outstanding non-cancelable purchase orders for capital purchase obligations. On February 28, 2005 and as amended on March 31, 2005, the Company entered into an agreement with a foundry to reserve and secure foundry fabrication capacity for a fixed number of wafers at agreed upon prices for a period of five and a half years beginning on October 1, 2005. In return, the Company agreed to pay the foundry $174.2 million over a period of eighteen months. The amendment extends the term of the agreement and the agreed-upon pricing terms until December 31, 2015. As of April 30, 2006, payments totaling $129.0 million (included in prepaid expenses and other current assets and other non current assets) have been made and approximately $44.6 million of the prepayment has been utilized as of April 30, 2006. At April 30, 2006, remaining commitments under the agreement were approximately $45.2 million. This excerpt taken from the MRVL 10-K filed Apr 13, 2006. Purchase Commitments The Companys manufacturing relationships with its foundries allow for the cancellation of all outstanding purchase orders, but requires repayment of all expenses incurred through the date of cancellation. As of January 31, 2006, foundries had incurred approximately $141.3 million of manufacturing expenses on the Companys outstanding purchase orders. As of January 31, 2006, the Company also had approximately $56.2 million of other outstanding non-cancelable purchase orders for capital purchase obligations. 97 MARVELL TECHNOLOGY GROUP LTD. On February 28, 2005 and as amended on March 31, 2005, the Company entered into an agreement with a foundry to reserve and secure foundry fabrication capacity for a fixed number of wafers at agreed upon prices for a period of five and a half years beginning on October 1, 2005. In return, the Company agreed to pay the foundry $174.2 million over a period of eighteen months. The amendment extends the term of the agreement and the agreed upon pricing terms until December 31, 2015. As of January 31, 2006, payments totaling $106.0 million (included in prepaid expenses and other current assets and other noncurrent assets) have been made and approximately $25.7 million of the prepayment has been utilized as of January 31, 2006. At January 31, 2006, remaining commitments under the agreement were approximately $68.2 million. This excerpt taken from the MRVL 10-Q filed Dec 7, 2005. Purchase Commitments
The Companys manufacturing relationships with its foundries allow for the cancellation of all outstanding purchase orders, but requires repayment of all expenses incurred through the date of cancellation. As of October 31, 2005, foundries had incurred approximately $157.3 million of manufacturing expenses on the Companys outstanding purchase orders. As of October 31, 2005, the Company also had approximately $62.5 million of other outstanding non-cancelable purchase orders for capital purchase obligations.
On February 28, 2005 and as amended on March 31, 2005, the Company entered into an agreement with a foundry to reserve and secure foundry fabrication capacity for a fixed number of wafers at agreed upon prices for a period of five and half years beginning on July 1, 2005. In return, the Company agreed to pay the foundry $174.2 million over a period of eighteen months. The amendment extends the term of the agreement and the agreed upon pricing terms until December 31, 2015. As of October 31, 2005, payments totaling $83.0 million (included in prepaid expenses and other current assets and other noncurrent assets) have been made and approximately $10.6 million of the prepayment has been utilized as of the nine months ending October 31, 2005. At October 31, 2005, remaining commitments under the agreement were approximately $91.2 million.
This excerpt taken from the MRVL 10-Q filed Sep 8, 2005. Purchase Commitments
The Companys manufacturing relationships with its foundries allow for the cancellation of all outstanding purchase orders, but requires repayment of all expenses incurred through the date of cancellation. As of July 30, 2005, foundries had incurred approximately $122.6 million of manufacturing expenses on the Companys outstanding purchase orders. As of July 30, 2005, the Company also had approximately $42.8 million of other outstanding non-cancelable purchase orders for capital purchase obligations.
On February 28, 2005 and as amended on March 31, 2005, the Company entered into an agreement with a foundry to reserve and secure foundry fabrication capacity for a fixed number of wafers at agreed upon prices for a period of five and half years beginning on July 1, 2005. In return, the Company agreed to pay the foundry $174.2 million over a period of eighteen months. The amendment extends the term of the agreement and the agreed upon pricing terms until December 31, 2015. As of July 31, 2005, payments totaling $60.0 million (included in prepaid expenses and other current assets) have been made and approximately $1.8 million of the prepayment has been amortized as of the six months ending July 31, 2005. At July 31, 2005, remaining commitments under the agreement were approximately $114.2 million.
This excerpt taken from the MRVL 10-Q filed Jun 9, 2005. Purchase Commitments
The Companys manufacturing relationships with its foundries allow for the cancellation of all outstanding purchase orders, but requires repayment of all expenses incurred through the date of cancellation. As of April 30, 2005, foundries had incurred approximately $70.5 million of manufacturing expenses on the Companys outstanding purchase orders. As of April 30, 2005, the Company also had approximately $43.4 million of other outstanding non-cancelable purchase orders for capital purchase obligations.
13
On February 28, 2005 and as amended on March 31, 2005, the Company entered into an agreement with a foundry to reserve and secure foundry fabrication capacity for a fixed number of wafers at agreed upon prices for a period of five and half years beginning on July 1, 2005. In return, the Company agreed to pay the foundry $174.2 million over a period of eighteen months. The amendment extends the term of the agreement and the agreed upon pricing terms until December 31, 2015. As of April 30, 2005, payments totaling $37.0 million (paid in the first quarter of fiscal 2006 and included in prepaid expenses and other current assets) have been made. As of April 30, 2005, remaining commitments under the agreement were approximately $137.2 million.
This excerpt taken from the MRVL 10-K filed Apr 14, 2005. Purchase Commitments The Company's manufacturing relationships with its foundries allow for the cancellation of all outstanding purchase orders, but requires repayment of all expenses incurred through the date of cancellation. As of January 31, 2005, foundries had incurred approximately $65.6 million of manufacturing expenses on the Company's outstanding purchase orders. As of January 31, 2005, the Company also had approximately $38.3 million of other outstanding non-cancelable purchase orders for capital purchase obligations. | EXCERPTS ON THIS PAGE: |
| |||||||