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These excerpts taken from the WDC 10-K filed Aug 20, 2008. Purchase
Orders
In the normal course of business, we enter into purchase orders
with suppliers for the purchase of hard drive components used to
manufacture our products. These purchase orders generally cover
forecasted component supplies needed for production during the
next quarter, are recorded as a liability upon receipt of the
components, and generally may be changed or canceled at any time
prior to shipment of the components. In some cases, we may be
obligated to pay for certain costs related to changes to, or
cancellation of, a purchase order, such as costs incurred for
raw materials or
work-in-process.
We have entered into long-term purchase agreements with various
component suppliers, which contain minimum quantity
requirements. However, the dollar amount of the purchases may
depend on the specific products ordered, achievement of
pre-defined quantity or quality specifications or future price
negotiations. The estimated related minimum purchase
requirements are included in “Purchase obligations” in
the table above.
We enter into, from time to time, other long-term purchase
agreements for components with certain vendors. Generally,
future purchases under these agreements are not fixed and
determinable as they depend on our overall unit volume
requirements and are contingent upon the prices, technology and
quality of the supplier’s products remaining competitive.
These arrangements are not included under “Purchase
obligations” in the table above. Please see Item 1A of
this Annual Report on
Form 10-K
for a discussion of risks related to these commitments.
Purchase Orders In the normal course of business, we enter into purchase orders with suppliers for the purchase of hard drive components used to manufacture our products. These purchase orders generally cover forecasted component supplies needed for production during the next quarter, are recorded as a liability upon receipt of the components, and generally may be changed or canceled at any time prior to shipment of the components. In some cases, we may be obligated to pay for certain costs related to changes to, or cancellation of, a purchase order, such as costs incurred for raw materials or work-in-process. We have entered into long-term purchase agreements with various component suppliers, which contain minimum quantity requirements. However, the dollar amount of the purchases may depend on the specific products ordered, achievement of pre-defined quantity or quality specifications or future price negotiations. The estimated related minimum purchase requirements are included in “Purchase obligations” in the table above. We enter into, from time to time, other long-term purchase agreements for components with certain vendors. Generally, future purchases under these agreements are not fixed and determinable as they depend on our overall unit volume requirements and are contingent upon the prices, technology and quality of the supplier’s products remaining competitive. These arrangements are not included under “Purchase obligations” in the table above. Please see Item 1A of this Annual Report on Form 10-K for a discussion of risks related to these commitments. This excerpt taken from the WDC 10-K filed Aug 28, 2007. Purchase
Orders
In the normal course of business, we issue purchase orders to
suppliers for the purchase of hard drive components used to
manufacture our products. These purchase orders generally cover
forecasted component supplies needed for production during the
next quarter, are recorded as a liability upon receipt of the
components, and generally may be changed or canceled at any time
prior to shipment of the components. We may be obligated to pay
for certain costs related to changes to, or cancellation of, a
purchase order, such as costs incurred for raw materials or work
in process.
We have entered into long-term purchase agreements with various
component suppliers. The commitments are subject to minimum
quality requirements. In addition, the dollar amount of the
purchases may depend on the specific products ordered and future
price negotiations. The estimated related minimum purchase
requirements are included in “Purchase obligations” in
the table above.
From time to time, we enter into other long-term purchase
agreements for components with certain vendors. Generally,
future purchases under these agreements are not fixed and
determinable as they depend on our overall unit volume
requirements and are contingent upon the prices, technology and
quality of the supplier’s products remaining competitive.
These arrangements are not included under “Purchase
obligations” in the table above. Please see Item 1A of
this Annual Report on
Form 10-K
for a discussion of risks related to these commitments.
This excerpt taken from the WDC 10-K filed Nov 20, 2006. Purchase
Orders
In the normal course of business, we issue purchase orders to
suppliers for the purchase of hard drive components used to
manufacture our products. These purchase orders generally cover
forecasted component supplies needed for production during the
next quarter, are recorded as a liability upon receipt of the
components, and generally may be changed or canceled at any time
prior to shipment of the components. We may be obligated to pay
for certain costs related to changes to, or cancellation of, a
purchase order, such as costs incurred for raw materials or work
in process.
We have entered into long-term purchase agreements with various
component suppliers. The commitments are subject to minimum
quality requirements. In addition, the dollar amount of the
purchases may depend on the specific products ordered and future
price negotiations. The estimated related minimum purchase
requirements are included in “Purchase obligations” in
the table above.
From time to time, we enter into other long-term purchase
agreements for components with certain vendors. Generally,
future purchases under these agreements are not fixed and
determinable as they depend on our overall unit volume
requirements and are contingent upon the prices, technology and
quality of the supplier’s products remaining competitive.
These arrangements are not included under “Purchase
obligations” in the table above. Please see Item 1A of
this Annual Report on
Form 10-K
for a discussion of risks related to these commitments.
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