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Annual Report 2011

Table of contents

  • Page 1
    Annual Report 2011

  • Page 2
    Plantronics Annual Report 2011 Annual Report 2011 Financial Highlights Net Revenues Dollars in millions Income from Continuing Operations, Net of Tax Dollars in millions 747.9 683.6 676.5 674.6 613.8 67.3 45.3 92.0 76.5 109.2 Fiscal Year 2007 2008 2009 2010 2011 Fiscal Year 2007 2008 ...

  • Page 3
    ... (Plantronics Mexico) opens in Tijuana 1961 Pacific Plantronics is incorporated 1983 The new StarSet Supra soon becomes the call center industry standard 1963 FAA selects Plantronics as sole headset provider 1969 First words from the moon spoken through Plantronics headsets 1983 Sally Ride uses...

  • Page 4
    Plantronics Annual Report 2011 1995 FreeHand, an ultralightweight in-the-ear headset is introduced 2011 Plantronics celebrates 50 years of innovation 2003 The CS50 brings wireless freedom to the office 2000 Digitally enhanced USB headsets for the PC and Mac are introduced 2010 Savi Office uni...

  • Page 5
    ... systems by providing both context and intelligence. The new Calisto® 800 Series represents the first speakerphones in our UC product portfolio to combine multidevice hands-free connectivity with intuitive visual call management and full-duplex wideband audio. These products are optimized for use...

  • Page 6
    Plantronics Annual Report 2011 Our Brand Promise Plantronics delivers audio solutions that allow you to simply communicate.

  • Page 7
    ...charter) Plantronics, Inc. Delaware (State or other jurisdiction of incorporation or organization) 345 Encinal Street, Santa Cruz, California (Address of principal executive offices) 77-0207692 (I.R.S. Employer Identification Number) 95060 (Zip Code) (831) 426-5858 (Registrant's telephone number...

  • Page 8
    ... recently completed second fiscal quarter as reported by the New York Stock Exchange, was approximately $1,602,180,651. In calculating such aggregate market value, shares of common stock owned of record or beneficially by officers, directors, and persons known to the Registrant to own more than five...

  • Page 9
    ... Executive Compensation Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters Certain Relationships and Related Transactions, and Director Independence Principal Accounting Fees and Services Exhibits and Financial Statement Schedules Plantronics, Clarity...

  • Page 10
    ... Delaware. In 1994, Plantronics again became a public company listed on the New York Stock Exchange ("NYSE") under the ticker symbol "PLT". On August 18, 2005, we acquired Altec Lansing Technologies, Inc. ("Altec Lansing"), a market leader in docking and PC audio systems, and it subsequently became...

  • Page 11
    ...Our principal executive offices are located at 345 Encinal Street, Santa Cruz, California, 95060. Our telephone number is (831) 426-5858. Our internet address is www.plantronics.com. Our Investor Relations website, which contains, among other things, documents regarding our corporate governance and...

  • Page 12
    ...customer solutions. Mobile Use of headsets with mobile phones has grown worldwide. Mobile represents a large unit volume market and is our second largest revenue stream. Use of headsets with mobile phones has grown worldwide, particularly due to continued Bluetooth technology adoption and hands-free...

  • Page 13
    ...quality, simplicity, price and reliability; maintenance of our brand name recognition and reputation; superior customer service, support and warranty terms; and effective and efficient distribution channels that allow us to market and sell our products. We believe that our products and our strategy...

  • Page 14
    ... consumer products retailers, and office supply distributors; (2) wireless carrier stores; (3) catalog and mail order companies; (4) mass merchants; and (5) warehouse clubs. Our headsets are sold through retailers who sell headsets to corporate customers, small businesses, and to individuals who use...

  • Page 15
    ... shipped within Mainland China; Melbourne, Australia, which provides logistics services for products which are shipped to the retail channel in Australia and New Zealand; Sao Paulo, Brazil, which provides logistics services for products which are shipped to customers within Brazil; and Tokyo, Japan...

  • Page 16
    ..., operations, or products. We continue our efforts toward environmental and social responsibility. In Spring 2011, our solar panel installation project will be completed, and it will be the largest solar installation in Santa Cruz County. Upwards of 80% of our Santa Cruz corporate site utility costs...

  • Page 17
    ..., Clarity Chief Marketing Officer Managing Director, Europe, Middle East & Africa Senior Vice President, Human Resources Senior Vice President, Worldwide Operations Executive is also considered an Executive Officer as defined under Regulation S-K Item 401(b). Mr. Kannappan joined Plantronics in...

  • Page 18
    ... Master of Business Administration from the Yale School of Organization and Management. Mr. Trads joined Clarity (formerly Walker-Ameriphone) in 2003 as President. From 1994 until joining Plantronics, Mr. Trads held various positions within GN ReSound, a manufacturer of hearing aids and audiological...

  • Page 19
    Table of Contents Ms. Wadors joined Plantronics in 2010 as Senior Vice President of Human Resources. Prior to joining Plantronics, she held various human resource management positions with such companies as Yahoo! Inc., where she was the Senior Vice President of Human Resources, Align Technology, ...

  • Page 20
    ... our business, sources and uses of cash, financial condition and results of operations. Further, fluctuations in foreign currency exchange rates impact our revenues and profitability because we report our financial statements in U.S. Dollars, whereas a significant portion of our sales to customers...

  • Page 21
    ...we expect. We compete in the business market for the sale of our office and contact center products. We believe that our greatest long-term opportunity for profit growth is in the UC office market, and our foremost strategic objective for this segment is to increase headset adoption. To this end, we...

  • Page 22
    ...affect our business, financial condition and results of operations. Although we generally use standard raw materials, parts and components for our products, the high development costs associated with emerging wireless and other technologies may require us to work with only a single source of silicon...

  • Page 23
    ...of new products within this product category for which relevant data is incomplete or unavailable; and longer lead times with suppliers than commitments from some of our customers. • • If we are unable to deliver products on time to meet the market window of our retail customers, we will lose...

  • Page 24
    ..., our single largest competitor is GN Store Nord A/S ("GN"), a Danish telecommunications conglomerate with whom we experience price competition in the business markets. Motorola is a significant competitor in the consumer headset market, primarily in the mobile Bluetooth market, and has a brand name...

  • Page 25
    ...office phones have begun to incorporate Bluetooth functionality which has opened the market to consumer Bluetooth headsets and reduce the demand for our traditional office telephony headsets and adapters as well as impacting potential revenues from our own wireless headset systems, resulting in lost...

  • Page 26
    ... facility in Tijuana, Mexico. We also have suppliers and other vendors throughout Asia, including GoerTek, Inc. located in Weifang, China, which is the manufacturer of the majority of our Bluetooth products. We also generate a significant amount of our revenues from foreign customers. The types...

  • Page 27
    ... a significant portion of our sales to customers are transacted in other currencies, particularly the Euro and the Great Britain Pound ("GBP"). Furthermore, fluctuations in foreign currency rates impact our global pricing strategy resulting in our lowering or raising selling prices in one or more...

  • Page 28
    ... may occur. We are subject to various federal, state, local, and foreign environmental laws and regulations on a global basis, including those governing the use, discharge, and disposal of hazardous substances in the ordinary course of our manufacturing process. Although we believe that our current...

  • Page 29
    ... product liability or hearing loss claims brought against us could have a material adverse effect upon our business, financial condition, and results of operations. Our mobile headsets are used with mobile telephones. There has been continuing public controversy over whether the radio frequency...

  • Page 30
    ... management resources and incur significant expenses for Section 404 compliance on an ongoing basis. In the event that our chief executive officer, chief financial officer, or independent registered public accounting firm determines in the future that our internal control over financial reporting...

  • Page 31
    ... impact on the global economy, our company, and our suppliers or customers. Our major business operations are subject to interruption by earthquake, flood, volcanic eruptions or other natural disasters, fire, power shortages, terrorist attacks and other hostile acts, public health issues, flu or...

  • Page 32
    ... executive offices are located in Santa Cruz, California. Our facilities are located throughout the Americas, Europe, and Asia. The table below lists the major facilities owned or leased as of March 31, 2011: Location Chattanooga, Tennessee Hoofddorp, Netherlands San Diego, California Santa Cruz...

  • Page 33
    ... against Plantronics, Inc., Motorola, Inc. and GN Netcom, Inc. alleging that the three companies failed to adequately warn consumers of the potential for long term noise induced hearing loss if they used Bluetooth headsets. The companies contested the claims of the lawsuit but settled the lawsuit on...

  • Page 34
    ...PART II ITEM 5. MARKET FOR REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER REPURCHASES OF EQUITY SECURITIES Price Range of Common Stock Our common stock is publicly traded on the NYSE under the symbol "PLT". The following table sets forth the low and high sales prices as reported...

  • Page 35
    ... share repurchase program. The following table presents a month-to-month summary of the stock purchase activity in the fourth quarter of fiscal 2011: Total Number of Shares Purchased 133,400 517,624 347,700 Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs 133,400...

  • Page 36
    ...included reductions in force including the planned closure of our Suzhou, China Bluetooth manufacturing facility in fiscal March 31, 2010. As a result of these activities, $11.0 million in restructuring and other related charges has been included in our consolidated income from continuing operations...

  • Page 37
    ...; Altec Lansing, our former AEG segment, was sold effective December 1, 2009 and is reported as discontinued operations. OVERVIEW We are a leading worldwide designer, manufacturer, and marketer of lightweight communications headsets, telephone headset systems, and accessories for the business and...

  • Page 38
    ..., including the use of software and services as part of our products. Our investment also includes growing our sales force and increasing marketing and other support costs as we expand our key strategic partnerships to market UC products. Our goal is to be the world leader in audio solutions for the...

  • Page 39
    Table of Contents Net Revenues Fiscal Year Ended March 31, March 31, 2011 2010 Increase (Decrease) Fiscal Year Ended March 31, March 31, 2010 2009 Increase (Decrease) (in thousands) Net revenues: Office and Contact Center Mobile Gaming and Computer Audio Clarity Total net revenues $ 490,472 137,...

  • Page 40
    ... Mobile product category. Consolidated international net revenues, as a percentage of total net revenues, increased to 41% in fiscal 2011 from 38% in fiscal 2010. The increase in absolute dollars in the U.S. revenues was a result of increased OCC revenues due to improved global economic conditions...

  • Page 41
    .... Projects that we focused on during fiscal 2011 were UC products and software; wireless office system products and technology; Bluetooth products and technology; and developing common architectures across multiple products and increasing the use of common components across product lines. 32

  • Page 42
    ... as of the end of fiscal 2011. In fiscal 2010, compared to fiscal 2009, consolidated selling, general and administrative expenses decreased due primarily to the following a decrease in marketing and sales promotions of $6.2 million due to lower advertising, public relations, trade show, and...

  • Page 43
    ... to outsource the manufacturing of our Bluetooth products to a third party supplier in China. We exited the manufacturing portion of the facility in July 2009 at which time the remaining assets were classified as Assets held for sale on the Consolidated balance sheet. Approximately 1,500 employees...

  • Page 44
    ...strength of the U.S. Dollar, a stimulus grant received from the Mexican government and reimbursement from Altec Lansing for routine expenses incurred on their behalf under the Transition Service Agreement entered into in conjunction with the sale of the AEG business in December 2009. These increases...

  • Page 45
    ..., as subsequently amended, to sell Altec Lansing, our AEG segment. The sale was completed effective December 1, 2009. All of the revenues in the AEG segment were derived from sales of Altec Lansing products. All operations of AEG have been classified as discontinued operations in the Consolidated...

  • Page 46
    ..., 2011. Cash flows from operating activities in fiscal 2010 were $143.7 million and consisted of our net income of $57.4 million, noncash charges of $54.3 million and working capital sources of cash of $32.0 million. Non-cash charges consisted primarily of $25.2 million related to the AEG impairment...

  • Page 47
    ... release of the escrow from the sale of Altec Lansing, our AEG segment. Capital expenditures during fiscal 2011 related primarily to building and leasehold improvements including the installation of an expanded solar energy system in our headquarters in Santa Cruz, California, tooling and various IT...

  • Page 48
    ... plans approved by our Board of Directors. During the years ended March 31, 2011, 2010 and 2009, we repurchased 3,315,000, 1,935,100 and 1,007,500 shares, respectively, of our common stock in the open market as part of these publicly announced repurchase programs for a total cost of $105.5 million...

  • Page 49
    ... Our liquidity, capital resources, and results of operations in any period could be affected by the exercise of outstanding stock options, restricted stock grants to employees, and the issuance of common stock under our employee stock purchase plan. Further, the resulting increase in the number of...

  • Page 50
    ... sales channel experiences a higher than estimated return rate, or sell-through rates are slower causing inventory build-up. Customer Programs We record reductions to revenue for estimated commitments related to cooperative advertising, marketing development funds, volume rebates and special pricing...

  • Page 51
    ... customers are granted limited rights of return or discounts in lieu of warranty, we record these rights of return or discounts as adjustments to revenue. Factors that affect the warranty obligation include sales terms, which obligate us to provide warranty, product failure rates, estimated return...

  • Page 52
    ... flows, discount rates, overall market growth and our percentage of that market and growth rates in terminal values, estimated costs and other factors, which utilize historical data, internal estimates, and, in some cases, outside data. If the carrying value of the reporting unit exceeds management...

  • Page 53
    ...value at the end of June 2010. As of March 31, 2011, our investments were composed of U.S. Treasury Bills, Government Agency Securities, Commercial Paper, U.S. Corporate Bonds and CDs. Our investment policy and strategy are focused on preservation of capital and supporting our liquidity requirements...

  • Page 54
    ...contracts EUR GBP AUD Net position Cash Flow Hedges Position Sell Euro Sell GBP Sell AUD Approximately 41%, 38% and 37% of net revenue from continuing operations in fiscal 2011, 2010 and 2009, respectively, was derived from sales outside of the U.S., which were denominated predominantly in EUR and...

  • Page 55
    Table of Contents ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM To the Board of Directors and Stockholders of Plantronics, Inc.: In our opinion, the consolidated financial statements listed in the index appearing under Item 15(a)(1) ...

  • Page 56
    Table of Contents PLANTRONICS, INC. CONSOLIDATED BALANCE SHEETS (in thousands, except per share data) March 31, 2011 2010 ASSETS Current assets: Cash and cash equivalents Short-term investments Accounts receivable, net Inventory, net Deferred income taxes Other current assets Assets held for sale ...

  • Page 57
    Table of Contents PLANTRONICS, INC. CONSOLIDATED STATEMENTS OF OPERATIONS (in thousands, except per share data) Fiscal Year Ended March 31, 2011 2010 2009 683,602 $ 613,837 $ 674,590 321,846 312,767 382,659 361,756 301,070 291,931 63,183 163,389 (5,100) (428) ...

  • Page 58
    ..., plant and equipment and assets held for sale Proceeds received from sale of AEG segment Other investing activities Cash provided by (used for) investing activities CASH FLOWS FROM FINANCING ACTIVITIES Repurchase of common stock including taxes paid related to net share settlement on equity awards...

  • Page 59
    ...-based compensation Income tax benefit associated with stock options Repurchase of common stock including taxes paid related to net share settlement on equity awards Sale of treasury stock Retirement of treasury stock Balances at March 31, 2011 48,944 - - - - 359 187 (20) - - - (1,007) 429 - 48,892...

  • Page 60
    ... Clarity brand, specialty telephone products, such as telephones for the hearing impaired, and other related products for people with special communication needs. Founded in 1961, Plantronics is incorporated in the state of Delaware and trades on the New York Stock Exchange under the ticker symbol...

  • Page 61
    ...can no longer sell the inventory above cost or at all, management writes that inventory down to market value or writes-off the excess or obsolete inventory. The Company routinely reviews inventory for usage potential, including fulfillment of customer warranty obligations and spare part requirements...

  • Page 62
    ... the customers are granted limited rights of return or discounts in lieu of warranty, management records these rights of return or discounts as adjustments to revenue. Factors that affect the warranty obligation include sales terms, which obligate the Company to provide warranty, product failure...

  • Page 63
    ... from management estimates, a particular sales channel experiences a higher than estimated return rate, or sell-through rates are slower causing inventory build-up. Customer Programs The Company records reductions to revenue for estimated commitments related to cooperative advertising, marketing...

  • Page 64
    ... sheets. The functional currency of the Company's European finance, sales and logistics headquarters in the Netherlands, sales office and warehouse in Japan, manufacturing facilities in Tijuana, Mexico and logistic and research and development facilities in China, is the U.S. Dollar. For these...

  • Page 65
    Table of Contents Treasury Shares From time to time, the Company repurchases shares of its common stock in the open market in accordance with repurchase plans approved by the Board of Directors. The cost of reacquired shares of treasury stock which are returned to the status of authorized but ...

  • Page 66
    ... to sell Altec Lansing, its AEG segment ("AEG"), which was completed effective December 1, 2009. AEG was engaged in the design, manufacture, sales and marketing of audio solutions and related technologies. All of the revenues in the AEG segment were derived from sales of Altec Lansing products. All...

  • Page 67
    ... March 31, 2011. The results from discontinued operations for the years ended March 31, 2010 and 2009 were as follows: (in thousands) Net revenues $ Cost of revenues Operating expenses Impairment of goodwill and long-lived assets Restructuring and other related charges Loss on sale of AEG Loss from...

  • Page 68
    ... The following table represents the Company's fair value hierarchy for its financial assets and liabilities as of March 31, 2011 and 2010: March 31, 2011 (in thousands) Cash U.S. Treasury Bills, Government Agency Securities and Money Market Accounts Commercial Paper, U.S. Corporate Bonds and CDs...

  • Page 69
    ... its Suzhou, China manufacturing operations and outsource the manufacturing of its Bluetooth products to an existing supplier in China. In July 2009, the Company stopped all manufacturing processes in the Suzhou location. As a result, the building and related fixed assets were transferred, at the...

  • Page 70
    ... obligation at beginning of period Warranty provision relating to products shipped during the year Deductions for warranty claims processed Warranty provision transferred with sale of AEG Warranty obligation at end of period 8. GOODWILL Year ended March 31, 2011 2010 $ 11,006 $ 12,424 14,769 14...

  • Page 71
    ... impairment charge. There was no impairment related to the Company's ACG reporting unit. 9. INTANGIBLES The following tables present the carrying value of acquired intangible assets with remaining net book values as of March 31, 2011 and 2010: As of March 31, 2011 (in thousands) Technology Customer...

  • Page 72
    ... the major AEG product lines (Docking Audio and PC Audio). A 5% growth factor was used to calculate the terminal value, consistent with the rate used in the prior year. The discount rate was adjusted from 14% to 15% reflecting the current volatility of the stock prices of public companies within the...

  • Page 73
    Table of Contents In the fourth quarter of fiscal 2009, the Company performed the annual impairment test of the Altec Lansing trademark and trade name, which indicated that there was no further impairment. The assumptions used in the annual impairment review performed during the fourth quarter of ...

  • Page 74
    ... sell Altec Lansing, the Company's AEG segment, the Company made representations and warranties to the purchaser about the condition of AEG, including matters relating to intellectual property, employee matters and environmental laws. No indemnification costs have been recorded as of March 31, 2011...

  • Page 75
    ... against Plantronics, Inc., Motorola, Inc and GN Netcom, Inc. alleging that the three companies failed to adequately warn consumers of the potential for long term noise induced hearing loss if they used Bluetooth headsets. The companies contested the claims of the lawsuit but settled the lawsuit on...

  • Page 76
    ... Plan for issuance to employees, directors and consultants of Plantronics. Under the 2003 Stock Plan, all stock options may not be granted at less than 100% of the estimated fair market value of the Company's common stock at the date of grant. Incentive stock options may not be granted at less than...

  • Page 77
    ... is subject to adjustment in the event of stock splits, reverse stock splits, recapitalization or certain corporate reorganizations) for issuance to non-employee directors of Plantronics. The ability to grant new options under the Directors' Option Plan expired by its terms in September 2003. Non...

  • Page 78
    ....72 29.52 The weighted average grant-date fair value of restricted stock awards is based on the quoted market price of the Company's common stock on the date of grant. The weighted average grant-date fair values of restricted stock awards granted during fiscal years 2011, 2010 and 2009 were $33.54...

  • Page 79
    ... current dividend and the market price of our common stock at the date of grant. 13. EMPLOYEE BENEFIT PLANS The Company has a defined contribution benefit plan under Section 401(k) of the Internal Revenue Code, which covers substantially all U.S. employees. Eligible employees may contribute pre-tax...

  • Page 80
    ... The following table summarizes the Company's outstanding foreign exchange currency contracts and approximate U.S. Dollar equivalent ("USD"), at March 31, 2011: Local Currency (in thousands) 18,000 4,000 3,400 USD Equivalent (in thousands) $ 25,540 $ 6,443 $ 3,515 Position Sell EUR Sell GBP Sell AUD...

  • Page 81
    ... in the tables below include fair value adjustments related to the Company's own credit risk and counterparty credit risk. Fair Value of Derivative Contracts The fair value of derivative contracts were as follows: Derivative Assets Reported in Other Current Assets March 31, March 31, 2011 2010 $ 360...

  • Page 82
    ... Ended March 31, 2011 2010 2009 $ (1,800) $ (996) $ 5,590 (in thousands) Gain (loss) on foreign exchange contracts 15. RESEARCH AND DEVELOPMENT GRANTS As of March 31, 2011, the Company has received approximately $1.1 million in Mexican government grant funds that are designated for use in various...

  • Page 83
    Table of Contents The following is a reconciliation between statutory federal income taxes and the income tax expense from continuing operations for fiscal years 2011, 2010 and 2009: (in thousands) Tax expense at statutory rate Foreign operations taxed at different rates State taxes, net of federal...

  • Page 84
    ... recognition of the tax benefit is uncertain; this allowance was subsequently released in fiscal 2011. The remaining $0.6 million of the 2010 valuation allowance was attributable to the net operating losses of two foreign subsidiaries where there is an insufficient history of earnings to support...

  • Page 85
    ...GEOGRAPHIC INFORMATION Plantronics designs, manufactures, markets and sells headsets for business and consumer applications, and other specialty products for the hearing impaired. With respect to headsets, it makes products for use in offices and contact centers, with mobile and cordless phones, and...

  • Page 86
    ...The following table presents Net revenues by geography: (in thousands) Net revenues from unaffiliated customers: United States Europe, Middle East and Africa Asia Pacific Americas, excluding United States Total International net revenues Total net revenues Fiscal Year Ended March 31, 2011 2010 2009...

  • Page 87
    Table of Contents Credit Agreement To augment the Company's financial flexibility as it executes on the 7,000,000 share authorization, on May 9, 2011, the Company entered into a credit agreement (the "Credit Agreement") between the Company and Wells Fargo Bank, National Association ("the Bank"). ...

  • Page 88
    ...the fourth quarter of fiscal 2011. In March 2009, the Company announced a restructuring plan to close its ACG Suzhou, China manufacturing operations in fiscal 2010 in order to outsource manufacturing of its Bluetooth products to an existing supplier in China. The manufacturing facility was closed in...

  • Page 89
    ... did it have a material impact on amounts reported in prior periods. The Company sold Altec Lansing, its AEG segment, effective December 1, 2009 and has classified the AEG operating results, including the loss on sale, as discontinued operations for all periods presented. Net income (loss) includes...

  • Page 90
    ... (i) is recorded, processed, summarized and reported within the time periods specified in Securities and Exchange Commission rules and forms, and (ii) is accumulated and communicated to Plantronics' management, including our Chief Executive Officer and our Chief Financial Officer, as appropriate to...

  • Page 91
    ...the Plantronics' corporate website under the Corporate Governance section of Investor Relations portal (www.plantronics.com). We intend to disclose future amendments to the Code, or any waivers of such provisions granted to executive officers and directors, on this web site within four business days...

  • Page 92
    Table of Contents ITEM 14. PRINCIPAL ACCOUNTING FEES AND SERVICES The information required by this item is included under the caption "Proposal Four - Ratification of Appointment of Independent Registered Public Accounting Firm" in our 2011 Proxy Statement and is incorporated in this Item 14 by ...

  • Page 93
    ... information and Report of Independent Registered Public Accounting Firm are included in Part II of this Report. INDEX TO CONSOLIDATED FINANCIAL STATEMENTS page REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM CONSOLIDATED BALANCE SHEETS AT MARCH 31, 2011 AND 2010 CONSOLIDATED STATEMENTS...

  • Page 94
    ... Statement Schedules. PLANTRONICS, INC. SCHEDULE II: VALUATION AND QUALIFYING ACCOUNTS AND RESERVES (in thousands) Balance at Beginning of Year Provision for doubtful accounts and sales allowances: Year ended March 31, 2011 Year ended March 31, 2010 Year ended March 31, 2009 Provision for returns...

  • Page 95
    Table of Contents 3. Exhibits. See Item 15(b) below. (b) Exhibits We have filed, or incorporated by reference into this Report, the exhibits listed on the accompanying Index to Exhibits immediately following the signature page of this Form 10-K. (c) Financial Statement Schedules See Items 8 and 15...

  • Page 96
    ... requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. May 31, 2011 PLANTRONICS, INC. By: Name: Title: /s/ Ken Kannappan Ken Kannappan Chief Executive Officer POWER OF ATTORNEY KNOW...

  • Page 97
    ... and certain directors and executives Executive Incentive Plan, dated May 8, 2009, as Amended September 10, 2010 Lease Agreement dated May 2004 between Finsa Portafolios, S.A. DE C.V.and Plamex, S.A. de C.V., a subsidiary of the Registrant, for premises located in Tijuana, Mexico (translation from...

  • Page 98
    ... Restated Development and Manufacturing Agreement, dated March 20, 2009, between Plantronics, B.V., and GoerTek, Inc. Contract for the Transfer of Factory Building and the Land-Use Right, Dated July 23, 2010 Subsidiaries of the Registrant Consent of Independent Registered Public Accounting Firm 10...

  • Page 99
    ...which any Director or any Executive Officer participates. Confidential treatment has been granted with respect to certain portions of this Exhibit. In accordance with Rule 406T of Reguation S-T, the information in these exhibits is furnished and deemed not filed or a part of a registration statement...

  • Page 100
    Plantronics Annual Report 2011 Plantronics Stock Performance Set forth below is a line graph comparing the annual percentage change in the cumulative return to the stockholders of Plantronics common stock with the cumulative return of the NYSE Stock Market index and a peer group index for the ...

  • Page 101
    ... Formerly Senior Vice President and Chief Technology Officer of 3Com Corporation Senior Vice President and Chief Financial Officer of Intuitive Surgical, Inc. Director, PRTM Plantronics Executive Team Ken Kannappan Joe Burton Donald Houston Barry Margerum Renee Niemi Barbara Scherer Carsten Trads...

  • Page 102
    ...Inc. Headquarters 345 Encinal Street Santa Cruz, California 95060 Company Background Plantronics, Inc. is a global leader in audio communications for businesses and consumers. In addition, we manufacture and market, under our Clarity brand, specialty communications products for the hearing impaired...

  • Page 103
    ©2011 Plantronics, Inc. All rights reserved.