Intersil Corporation

Condensed Consolidated Statements of Cash Flows

Unaudited

(In thousands)

Quarter Ended

Apr. 3,

Jan. 2,

Apr. 4,

2015

2015

2014

Q1 2015

Q4 2014

Q1 2014

Operating activities:

  Net (loss) income

$  (68,824)

$   17,274

$   10,005

    Depreciation

4,486

4,929

4,810

    Amortization of purchased intangibles

5,561

5,559

5,561

    Equity-based compensation

5,756

5,008

3,710

    Deferred income taxes

373

8,024

22,985

    Other

(1,059)

(1,326)

(585)

    Net changes in operating assets and liabilities

80,502

(21,157)

(28,629)

      Net cash flows provided by operating activities

26,795

18,311

17,857

Investing activities:

  Proceeds from investments

588

615

268

  Net capital expenditures

(4,990)

(3,857)

(784)

    Net cash flows used in investing activities

(4,402)

(3,242)

(516)

Financing activities:

  Proceeds from equity-based awards, net

4,355

1,794

488

  Dividends paid

(15,697)

(15,685)

(15,371)

    Net cash flows used in financing activities

(11,342)

(13,891)

(14,883)

Effect of exchange rates on cash and cash equivalents

(1,367)

(544)

91

    Net change in cash and cash equivalents

9,684

634

2,549

Cash and cash equivalents as of the beginning of the period

211,216

210,582

194,787

    Cash and cash equivalents as of the end of the period

$ 220,900

$ 211,216

$ 197,336