Crucial 2014 Annual Report Download - page 81

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The following table presents the assets and liabilities of IMFT included in our consolidated balance sheets, excluding
intercompany balances:
As of 2014 2013
Assets
Cash and equivalents $ 84 $ 62
Receivables 73 76
Inventories 48 49
Other current assets 5 4
Total current assets 210 191
Property, plant and equipment, net 1,545 1,382
Other noncurrent assets 47 46
Total assets $ 1,802 $ 1,619
Liabilities
Accounts payable and accrued expenses $ 92 $ 88
Deferred income 8 9
Equipment purchase contracts 14 78
Current portion of long-term debt 21 6
Total current liabilities 135 181
Long-term debt 71 13
Other noncurrent liabilities 110 118
Total liabilities $ 316 $ 312
Amounts exclude intercompany balances that were eliminated in our consolidated balance sheets.
Our ability to access IMFT's cash and other assets through dividends, loans or advances, including to finance our other
operations, is subject to agreement by Intel. Creditors of IMFT have recourse only to IMFT's assets and do not have recourse
to any other of our assets.
The following table presents IMFT's distributions to and contributions from its shareholders:
For the year ended 2014 2013 2012
IMFT distributions to Micron $ 10 $ 38 $ 439
IMFT distributions to Intel 10 37 391
Micron contributions to IMFT 106 12 48
Intel contributions to IMFT 102 11 46
IMFS
We partnered with Intel to form IMFS in 2007 to manufacture NAND Flash memory products for the exclusive use of the
members. Our ownership percentage of IMFS had increased from 51% at inception to 82% in April 2012 due to a series of
contributions by us that were not fully matched by Intel. In April 2012, we entered into a series of agreements with Intel and
acquired Intel's remaining 18% interest in IMFS for $466 million. In addition, we acquired IMFT's assets located at our
Virginia wafer fabrication facility, for which Intel received a distribution from IMFT of $139 million. For both transactions,
the amounts Intel received approximated the book values of Intel's interests in the assets acquired. Additionally, we received a
$300 million deposit from Intel, substantially all of which was applied to Intel's purchases of NAND Flash products from 2012
to 2014 under a supply agreement. In 2012, Micron and Intel paid capital contributions to IMFS of $103 million and
$131 million, respectively.
IMFS sold products to the joint venture members generally in proportion to their ownership interests at long-term
negotiated prices approximating cost. IMFS sales of NAND Flash product to Intel for 2012 were $158 million and as a result
of the April 2012 agreements, Intel had no continuing rights to the output from the IMFS and Virginia facilities.