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WESTERN DIGITAL CORPORATION
INDEX TO ANNUAL REPORT ON FORM 10-K
For the Fiscal Year Ended June 30, 2006
Page
PART I
Item 1. Business ................................................................ 4
Item 1A. Risk Factors ............................................................. 14
Item 1B. Unresolved Staff Comments .................................................. 27
Item 2. Properties ............................................................... 27
Item 3. Legal Proceedings ......................................................... 27
Item 4. Submission of Matters to a Vote of Security Holders................................. 28
PART II
Item 5. Market for Registrant’s Common Equity, Related Stockholder Matters, and Issuer Purchases of
Equity Securities ........................................................ 29
Item 6. Selected Financial Data . . ................................................... 30
Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations ....... 30
Item 7A. Quantitative and Qualitative Disclosures About Market Risk .......................... 42
Item 8. Financial Statements and Supplementary Data ..................................... 44
Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure ...... 75
Item 9A. Controls and Procedures. . ................................................... 75
Item 9B. Other Information ......................................................... 76
PART III
Item 10. Directors and Executive Officers of the Registrant .................................. 77
Item 11. Executive Compensation . ................................................... 80
Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder
Matters ............................................................... 92
Item 13. Certain Relationships and Related Transactions .................................... 94
Item 14. Principal Accountant Fees and Services .......................................... 94
PART IV
Item 15. Exhibits and Financial Statement Schedules ....................................... 96
Signatures ....................................................................... 102
Typically, our fiscal year ends on the Friday nearest to June 30 and consists of 52 weeks. However, approximately
every six years, we report a 53-week fiscal year to align our fiscal quarters with calendar quarters by adding a week to our
fourth fiscal quarter. The 2006 and 2005 fiscal years, which ended on June 30, 2006 and July 1, 2005, respectively,
consisted of 52 weeks each. Fiscal year 2004, which ended on July 2, 2004, was a 53-week year. Unless otherwise
indicated, references herein to specific years and quarters are to our fiscal years and fiscal quarters, and references to
financial information are on a consolidated basis. As used herein, the terms “we”, “us”, “our” and “WD” refer to Western
Digital Corporation and its subsidiaries.
We are a Delaware corporation that operates as the parent company of our hard drive business, Western Digital
Technologies, Inc., which was formed in 1970.
Our principal executive offices are located at 20511 Lake Forest Drive, Lake Forest, California 92630. Our telephone
number is (949) 672-7000 and our web site is http://www.westerndigital.com. The information on our web site is not
incorporated in this Annual Report on Form 10-K.
Western Digital»,WD», the WD logo, WD Caviar», WD Raptor», WD Scorpio
TM
, WD Passport
TM
and My
Book
TM
are trademarks of Western Digital Technologies, Inc. and/or its affiliates. All other trademarks mentioned are the
property of their respective owners.
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