cik stringclasses 1
value | date stringlengths 8 8 | form stringclasses 4
values | sentenceCount int64 0 2.33k | sentence stringlengths 2 5.25k | filename stringlengths 40 40 |
|---|---|---|---|---|---|
0000320193 | 20041203 | 10-K | 1,411 | For purposes of pro forma disclosures, the estimated fair value of the options and shares is amortized to pro forma net income (loss) over the options' vesting period and the shares' plan period. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,412 | The Black-Scholes option valuation model was developed for use in estimating the fair value of freely traded options that have no vesting restrictions and are fully transferable. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,413 | In addition, option valuation models require the input of highly subjective assumptions including the expected life of options and the Company's expected stock price volatility. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,414 | Because the Company's employee stock options and employee
stock purchase plan shares have characteristics significantly different from those of freely traded options, and because changes in the subjective input assumptions can materially affect the fair value estimate, in management's opinion, the existing models do no... | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,415 | For purposes of pro forma disclosures, the estimated fair value of the options and shares is amortized to pro forma net income (loss) over the options' vesting period and the shares' plan period. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,416 | The Company's pro forma information for each of the last three fiscal years follows (in millions, except per share amounts):
Earnings Per Common Share
Basic earnings per common share is computed by dividing income available to common shareholders by the weighted-average number of shares of common stock outstanding duri... | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,417 | Diluted earnings per common share is computed by dividing income available to common shareholders by the weighted-average number of shares of common stock outstanding during the period increased to include the number of additional shares of common stock that would have been outstanding if the dilutive potential shares ... | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,418 | The dilutive effect of outstanding options, restricted stock and restricted stock units is reflected in diluted earnings per share by application of the treasury stock method. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,419 | Under the treasury stock method, an increase in the fair market value of the Company's common stock can result in a greater dilutive effect from outstanding options, restricted stock and restricted stock units. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,420 | Additionally, the exercise of employee stock options and the vesting of restricted stock and restricted stock units can result in a greater dilutive effect on earnings per share. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,421 | The following table sets forth the computation of basic and diluted earnings per share:
Potentially dilutive securities, including stock options; restricted stock units; and restricted stock, to purchase approximately 4.4 million, 50.8 million, and 58.0 million shares of common stock for the years ended September 25, 2... | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,422 | Comprehensive Income
Comprehensive income consists of two components, net income and other comprehensive income. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,423 | Other comprehensive income refers to revenue, expenses, gains and losses that under generally accepted accounting principles are recorded as an element of shareholders' equity but are excluded from net income. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,424 | The Company's other comprehensive income is comprised of foreign currency translation adjustments from those subsidiaries not using the U.S. dollar as their functional currency, unrealized gains and losses on marketable securities categorized as available-for-sale, and net deferred gains and losses on certain derivativ... | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,425 | Segment Information
The Company reports segment information based on the "management" approach. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,426 | The management approach designates the internal reporting used by management for making decisions and assessing performance as the source of the Company's reportable segments. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,427 | Information about the Company's products, major customers, and geographic areas on a company-wide basis is also disclosed. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,428 | Note 2-Financial Instruments
The carrying amounts of cash and cash equivalents, accounts receivable, accounts payable, and accrued liabilities approximate their fair value due to the short maturities of those instruments. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,429 | Cash, Cash Equivalents and Short-Term Investments
The following table summarizes the fair value of the Company's cash and available-for-sale securities held in its short-term investment portfolio, recorded as cash and cash equivalents or short-term investments as of September 25, 2004, and September 27, 2003 (in millio... | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,430 | The Company's U.S. corporate securities consist primarily of commercial paper, certificates of deposit, time deposits and corporate debt securities. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,431 | Foreign securities consist primarily of foreign commercial paper, certificates of deposit and time deposits with foreign institutions, most of which are denominated in U.S. dollars. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,432 | The Company had net unrealized losses totaling $4 million on its investment portfolio, primarily related to investments with stated maturities less than 1 year as of September 25, 2004 and net unrealized gains of $1 million on its investment portfolio, primarily related to investments with stated maturities greater tha... | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,433 | The Company occasionally sells short-term investments prior to their stated maturities. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,434 | As a result of such sales, the Company recognized net gains before taxes of $1 million in 2004, $21 million in 2003 and $7 million in 2002. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,435 | These net gains were included in interest and other income, net. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,436 | As of September 25, 2004, approximately $180 million of the Company's short-term investments had underlying maturities ranging from 1 to 5 years. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,437 | The remaining short-term investments as of September 25, 2004 had maturities of 3 to 12 months. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,438 | As of September 27, 2003, approximately $629 million of the Company's short-term investments had underlying maturities ranging from 1 to 5 years. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,439 | The remaining short-term investments as of September 27, 2003 had maturities of 3 to 12 months. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,440 | In accordance with EITF 03-1, The Meaning of Other-Than-Temporary Impairment and Its Application to Certain Investments, the following table shows the gross unrealized losses and fair value of the Company's
investments, aggregated by investment category and length of time that individual securities have been in a conti... | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,441 | The declines in value of these investments is primarily related to changes in interest rates and are considered to be temporary in nature. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,442 | Investments are reviewed periodically to identify possible impairment. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,443 | When evaluating the investments, the Company reviews factors such as the length of time and extent to which fair value has been below cost basis, the financial condition of the investee, and the Company's ability and intent to hold the investment for a period of time which may be sufficient for anticipated recovery in ... | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,444 | Accounts Receivable
Trade Receivables
The Company distributes its products through third-party resellers and directly to certain education, consumer, and commercial customers. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,445 | The Company generally does not require collateral from its customers. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,446 | However, when possible the Company does attempt to limit credit risk on trade receivables with credit insurance for certain customers in Latin America, Europe and Asia and by arranging with third-party financing companies to provide flooring arrangements and other loan and lease programs to the Company's direct custome... | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,447 | These credit financing arrangements are directly between the third-party financing company and the end customer. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,448 | As such, the Company generally does not assume any recourse or credit risk sharing related to any of these arrangements. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,449 | However, considerable trade receivables that are not covered by collateral, third-party flooring arrangements, or credit insurance are outstanding with the Company's distribution and retail channel partners. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,450 | No customer accounted for more than 10% of trade receivables as of September 25, 2004. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,451 | Trade receivables from a single customer, Ingram Micro, Inc., accounted for approximately 10.3% of net accounts receivable as of September 27, 2003. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,452 | The following table summarizes the activity in the allowance for doubtful accounts (in millions):
(a)Represents amounts written off against the allowance, net of recoveries. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,453 | Vendor Non-Trade Receivables
The Company has non-trade receivables from certain of its manufacturing vendors resulting from the sale of raw material components to these manufacturing vendors who manufacture sub-assemblies or assemble final products for the Company. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,454 | The Company purchases these raw material components directly from suppliers. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,455 | These non-trade receivables, which are included in the consolidated balance sheets in other current assets, totaled $276 million and $184 million as of September 25, 2004 and September 27, 2003, respectively. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,456 | The Company does not recognize any profits on these sales or reflect the sale of these components in its net sales. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,457 | Inventory Prepayment
In April 2002, the Company made a $100 million prepayment to an Asian supplier for the purchase of components over the following nine months. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,458 | In return for this deposit, the supplier agreed to supply the Company with a specified level of components during the three consecutive fiscal quarters ended December 28, 2002. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,459 | During the first six months of 2003, the remaining $53 million of the deposit balance was fully utilized for the purchase of components. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,460 | The deposit was unsecured and had no stated interest component. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,461 | The Company imputed an amount to cost of sales and interest income during each period the deposit was outstanding at a 3.25% interest rate to reflect the economics of this transaction. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,462 | Derivative Financial Instruments
The Company uses derivatives to partially offset its business exposure to foreign exchange and interest rate risk. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,463 | Foreign currency forward and option contracts are used to offset the foreign exchange risk on certain existing assets and liabilities and to hedge the foreign exchange risk on expected future cash flows on certain forecasted revenue and cost of sales. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,464 | From time to time, the Company enters into interest rate derivative agreements to modify the interest rate profile of certain investments and debt. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,465 | The Company's accounting policies for these instruments are based on whether the instruments are designated as hedge or non-hedge instruments. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,466 | The Company records all derivatives on the balance sheet at fair value. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,467 | The following table shows the notional principal, net fair value, and credit risk amounts of the Company's foreign currency instruments as of September 25, 2004 and September 27, 2003 (in millions):
The notional principal amounts for derivative instruments provide one measure of the transaction volume outstanding as of... | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,468 | The credit risk amount shown in the table above represents the Company's gross exposure to
potential accounting loss on these transactions if all counterparties failed to perform according to the terms of the contract, based on then-current currency exchange rates at each respective date. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,469 | The Company's exposure to credit loss and market risk will vary over time as a function of currency exchange rates. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,470 | The estimates of fair value are based on applicable and commonly used pricing models using prevailing financial market information as of September 25, 2004 and September 27, 2003. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,471 | In certain instances where judgment is required in estimating fair value, price quotes were obtained from several of the Company's counterparty financial institutions. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,472 | Although the table above reflects the notional principal, fair value, and credit risk amounts of the Company's foreign exchange instruments, it does not reflect the gains or losses associated with the exposures and transactions that the foreign exchange instruments are intended to hedge. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,473 | The amounts ultimately realized upon settlement of these financial instruments, together with the gains and losses on the underlying exposures, will depend on actual market conditions during the remaining life of the instruments. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,474 | Foreign Exchange Risk Management
The Company may enter into foreign currency forward and option contracts with financial institutions to protect against foreign exchange risk associated with existing assets and liabilities, certain firmly committed transactions and forecasted future cash flows. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,475 | Generally, the Company's practice is to hedge a majority of its existing material foreign exchange transaction exposures. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,476 | However, the Company may not hedge certain foreign exchange transaction exposures due to immateriality, prohibitive economic cost of hedging particular exposures, or limited availability of appropriate hedging instruments. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,477 | To protect gross margins from fluctuations in foreign currency exchange rates, the Company's U.S. dollar functional subsidiaries hedge a portion of forecasted foreign currency revenues, and the Company's non-U.S. dollar functional subsidiaries selling in local currencies hedge a portion of forecasted inventory purchase... | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,478 | Other comprehensive income associated with hedges of foreign currency revenues is recognized as a component of net sales in the same period as the related sales are recognized, and other comprehensive income related to inventory purchases is recognized as a component of cost of sales in the same period as the related c... | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,479 | Typically, the Company hedges portions of its forecasted foreign currency exposure associated with revenues and inventory purchases over a time horizon of 3 to 9 months. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,480 | Derivative instruments designated as cash flow hedges must be dedesignated as hedges when it is probable that the forecasted hedged transaction will not occur in the initially identified time period or within a subsequent 2 month time period. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,481 | Deferred gains and losses in other comprehensive income associated with such derivative instruments are immediately reclassified into earnings in other income and expense. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,482 | Any subsequent changes in fair value of such derivative instruments are also reflected in current earnings unless they are redesignated as hedges of other transactions. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,483 | During 2004, the Company recorded net losses of $2.8 million in other income and expense related to the loss of hedge designation on discontinued cash flow hedges due to changes in the Company's forecast of future net sales and cost of sales and due to prevailing market conditions. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,484 | No net gains, or losses, of a similar nature were recorded in 2003. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,485 | During 2002, the Company recorded net gains of $2.5 million in other income and expense related to the loss of hedge designation on discontinued cash flow hedges due to changes in the Company's forecast of future net sales and cost of sales and due to prevailing market conditions. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,486 | As of September 25, 2004, the Company had a net deferred loss associated with cash flow hedges of approximately $4.4 million, net of taxes, substantially all of which is expected to be reclassified to earnings by the end of the second quarter of fiscal 2005. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,487 | The Company may enter into foreign currency forward contracts to hedge the translation and economic exposure of a net investment position in a foreign subsidiary. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,488 | The Company may also enter into foreign currency forward and option contracts to offset the foreign exchange gains and losses generated by the remeasurement of certain recorded assets and liabilities in non-functional currencies. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,489 | Changes in the fair value of these derivatives are recognized in current earnings in other income and expense as offsets to the changes in the fair value of the related assets or liabilities. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,490 | Due to market movements, changes in option time value can lead to increased volatility in other income and expense. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,491 | Interest Rate Risk Management
From time to time, the Company historically entered into interest rate derivative transactions with financial institutions in order to better match the Company's floating-rate interest income on its cash equivalents and short-term investments with its fixed-rate interest expense on any out... | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,492 | In prior years, the Company had entered into interest rate debt swaps with financial institutions in order to better match the Company's floating-rate interest income on cash equivalents and short term investments with its fixed rate interest expense on its long term debt, and/or to diversify a portion of the Company's... | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,493 | The interest rate swaps required the Company to pay a floating interest rate based on the three- or six-month U.S. dollar LIBOR and receive a fixed rate of interest without exchanges of the underlying notional amounts. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,494 | These swaps effectively converted the Company's fixed-rate 10-year debt to floating-rate debt. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,495 | Due to prevailing market interest rates, during 2001 and 2002 the Company entered into and then subsequently closed out interest rate debt swap positions realizing gains of $23 million which were deferred over the remaining life of the debt. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,496 | As of September 25, 2004 and September 27, 2003, the Company had no interest rate derivatives outstanding. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,497 | Debt
In February 2004, the Company retired $300 million of debt outstanding in the form of 6.5% unsecured notes. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,498 | The notes were originally issued in 1994 and were sold at 99.9925% of par for an effective yield to maturity of 6.51%. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,499 | As of September 27, 2003, the carrying amount of these notes, including unamortized deferred gains associated with closed debt interest rate swaps, was $304 million, respectively, while the fair value was $302 million. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,500 | The fair value of the notes was based on their listed market values as of September 27, 2003. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,501 | Non-Current Debt and Equity Investments and Related Gains and Losses
The Company has held significant investments in ARM Holdings plc (ARM), Akamai Technologies, Inc. (Akamai) and EarthLink Network, Inc. (EarthLink). | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,502 | These investments have been reflected in the consolidated balance sheets as long term assets within other assets and have been categorized as available-for-sale requiring that they be carried at fair value with unrealized gains and losses, net of taxes, reported in equity as a component of accumulated other comprehensi... | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,503 | All realized gains on the sale of these investments have been included in other income and expense. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,504 | In fiscal 2004, the Company sold all of its remaining non-current investments in public companies. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,505 | EarthLink
In January 2000, the Company invested $200 million in EarthLink, an Internet service provider (ISP). | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,506 | The investment was in EarthLink's Series C Convertible Preferred Stock, which was convertible by the Company after January 4, 2001, into approximately 7.1 million shares of EarthLink common stock. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,507 | Concurrent with this investment, EarthLink and the Company entered into a multi-year agreement to deliver ISP service to Macintosh users in the U.S. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,508 | Under the terms of the agreement, the Company profits from each new Macintosh customer that subscribes to EarthLink's ISP service for a specified period of time, and EarthLink is the default ISP in the Company's Internet Setup Software included with all Macintosh computers sold in the U.S.
During the first quarter of 2... | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,509 | During the third quarter of 2003, the Company sold all of its remaining holdings in EarthLink, consisting of 3,960,000 shares of stock for net proceeds of approximately $23 million, and a gain before taxes of $2 million. | 0001047469-04-035975/full-submission.txt |
0000320193 | 20041203 | 10-K | 1,510 | During the first quarter of 2002, the Company sold 117,000 shares of EarthLink stock for net proceeds of $2 million and a gain before taxes of $223,000. | 0001047469-04-035975/full-submission.txt |
Subsets and Splits
No community queries yet
The top public SQL queries from the community will appear here once available.