iRobot 2008 Annual Report Download - page 122

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3. Inventory
Inventory consists of the following at:
December 27,
2008 December 29,
2007
(In thousands)
Raw materials ........................................... $ 3,443 $ 1,641
Work in process .......................................... 746 517
Finished goods........................................... 30,371 43,064
$34,560 $45,222
4. Property and Equipment
Property and equipment consists of the following at:
December 27,
2008 December 29,
2007
(In thousands)
Computer and equipment ................................... $11,307 $10,406
Furniture ............................................... 1,669 577
Machinery .............................................. 1,502 1,418
Tooling ................................................ 6,454 5,977
Leasehold improvements ................................... 12,359 3,744
Software purchased for internal use ........................... 5,082 4,834
38,373 26,956
Less: accumulated depreciation............................... 15,444 11,262
$22,929 $15,694
Depreciation expense for the years ended December 27, 2008, December 29, 2007 and December 30, 2006 was
$6.9 million, $5.3 million, and $3.7 million, respectively.
5. Other Assets
Other assets consists of the following at:
December 27,
2008 December 29,
2007
(In thousands)
Goodwill and intangible assets, net ............................ $ 9,746 $ —
Investment in Advanced Scientific Concepts, Inc. ................. 2,500 2,500
$12,246 $2,500
Goodwill and Intangible assets are the result of the acquisition of Nekton Research, LLC (“Nekton”), See
Notes 13 and 14 to the Consolidated Financial Statements for a more detailed discussion of the Goodwill and
intangible assets, net.
In November 2007, the Company recorded an investment of $2.5 million in a series of preferred stock of
Advanced Scientific Concepts, Inc. This investment is accounted for at cost utilizing the cost method. On a going
forward basis, the Company will regularly monitor this investment to determine if facts and circumstances have
changed in a manner that would require a change in accounting methodology. Additionally, the Company will
74
iROBOT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)