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Table of Contents
ITEM 6.
SELECTED FINANCIAL DATA
We list in the table below selected historical consolidated and combined financial information relating to us for the periods indicated.
•
We have derived our historical financial information as of June 27, 2008 and June 29, 2007 and for the fiscal years ended June 27,
2008, June 29, 2007 and June 30, 2006 from our audited consolidated financial statements and related notes included elsewhere in this
report.
Year Ended June 27, 2008
•
We have derived our historical financial information as of June 30, 2006, July 1, 2005 and July 2, 2004 and for the fiscal years ended
July 1, 2005 and July 2, 2004 from our audited consolidated financial statements and related notes not included in this report.
Fiscal Years Ended
June 27,
2008
June 29,
2007
June 30,
2006(1)
July 1,
2005
July 2,
2004
(In millions, except per share data)
Revenue
$
12,708
$
11,360
$
9,206
$
7,553
$
6,224
Gross margin
3,205
2,185
2,137
1,673
1,459
Income from operations
1,376
614
874
722
444
Net income
1,262
913
840
707
529
Basic net income per share
2.46
1.64
1.70
1.51
1.17
Diluted net income per share
2.36
1.56
1.60
1.41
1.06
Total assets
10,120
9,472
9,544
5,244
3,942
Total debt
2,030
2,063
970
740
743
Shareholders
’
equity
$
4,586
$
4,737
$
5,212
$
2,541
$
1,855
Number of shares used in per share computations:
Basic
512
558
495
468
452
Diluted
538
587
524
502
498
Cash dividends declared per share
$
0.42
$
0.38
$
0.32
$
0.26
$
0.20
(1)
Seagate Technology
’
s results include Maxtor
’
s results from May 19, 2006 through June 30, 2006.
Includes $262 million of variable performance-based compensation, $88 million in restructuring and other costs primarily related to the
closure of our Limavady, Northern Ireland and Milpitas, California operations, $98 million of stock-based compensation expense, $20 million in
gains on the sale of assets, charges primarily related to our acquisitions of Maxtor, EVault and MetaLINCs which include $94 million in the
amortization of acquired intangibles and $15 million in stock-based compensation charges related to Maxtor options assumed and nonvested
shares exchanged.
Year Ended June 29, 2007
Our fiscal year 2007 included Maxtor’s operating losses largely recognized during the first half of fiscal year 2007 as we transitioned
Maxtor products to Seagate products and acquisition and integration related charges recognized over the entire fiscal year and includes a
$359 million tax benefit resulting from a favorable adjustment to the valuation allowance related to our deferred tax assets, $101 million of
stock-based compensation expense, a $40 million increase in the provision for doubtful accounts receivable related to the termination of our
distributor relationship with eSys Technologies Pte. Ltd. and its related affiliate entities (“eSys”), a $29 million restructuring charge, a
$19 million charge related to the redemption of our $400 million 8% Senior Notes previously due 2009 (“8% Notes”) and charges related to our
acquisition of Maxtor which include $42 million in integration and retention costs, net of related tax effects, $150 million in the amortization
40