SanDisk 2010 Annual Report Download - page 205

This is a TAB type table. Insert
conts here. Annual Report
Notes To Consolidated Financial Statements
Other Current Assets. Other current assets were as follows (in thousands):
January 2,
2011
January 3,
2010
Royalty and other receivables ........................................... $ 45,075 $ 53,864
Prepaid expenses ..................................................... 11,025 14,309
Tax related receivables ................................................. 128,346 25,758
Other current assets ................................................... 18,581 3,708
Total other current assets ........................................... $ 203,027 $ 97,639
Property and Equipment. Property and equipment were as follows (in thousands):
January 2,
2011
January 3,
2010
Machinery and equipment .............................................. $ 708,358 $ 656,046
Software ............................................................ 128,095 136,558
Buildings and building improvements ..................................... 58,661 57,327
Capital land lease ..................................................... 6,634 6,593
Furniture and fixtures .................................................. 6,247 7,223
Leasehold improvements ............................................... 23,070 23,998
Property and equipment, at cost .......................................... 931,065 887,745
Accumulated depreciation and amortization ................................ (664,344) (586,748)
Property and equipment, net ......................................... $ 266,721 $ 300,997
Depreciation expense of property and equipment totaled $132.8 million, $152.6 million and $175.2 million
in fiscal years 2010, 2009 and 2008, respectively.
Notes Receivable and Investments in the Flash Ventures with Toshiba. Notes receivable and investments
in the flash ventures with Toshiba Corporation (“Toshiba”) were as follows (in thousands):
January 2,
2011
January 3,
2010
Notes receivable, Flash Partners Ltd. ...................................... $ 578,604 $ 562,946
Notes receivable, Flash Alliance Ltd. ...................................... 653,699 520,225
Investment in Flash Partners Ltd. ......................................... 238,601 199,106
Investment in Flash Alliance Ltd. ........................................ 262,587 225,273
Total notes receivable and investments in the flash ventures with Toshiba .... $1,733,491 $ 1,507,550
In the third quarter of fiscal year 2008, the Company recorded a $10.4 million impairment charge related to
its equity investment in FlashVision Ltd. (“FlashVision”) due to FlashVision’s difficulty in selling the remaining
excess capital equipment due to limited demand for 200-millimeter production equipment. The FlashVision
impairment was recorded in loss on equity investments as the impairments relate to the wind-down of the
venture. In the first quarter of fiscal year 2009, the Company completed the wind-down of FlashVision and
received distributions of $12.7 million in cash, released $43.3 million of cumulative translation adjustments
recorded in accumulated OCI and impaired the remaining $7.9 million relating to the Company’s investment in
FlashVision.
In the fourth quarter of fiscal year 2008, the Company recorded an impairment to the equity investments in
Flash Partners Ltd. (“Flash Partners”) and Flash Alliance Ltd. (“Flash Alliance”) of $20.0 million and
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