2015 THIRD QUARTER OUTLOOK

RECONCILIATION OF GROSS MARGIN TO NON-GAAP GROSS MARGIN

(Unaudited)

Three Months Ending

September 30, 2015

Low

High

Gross margin

53.9%

54.9%

Adjustments to reconcile gross margin to non-GAAP gross margin:

    Stock-based compensation expense 

0.3%

0.3%

    Amortization of acquisition-related intangible assets

0.4%

0.4%

Non-GAAP gross margin

54.6%

55.6%

RECONCILIATION OF R&D AND SG&A EXPENSES TO NON-GAAP R&D AND SG&A EXPENSES

(Unaudited, in thousands)

Three Months Ending

September 30, 2015

Low

High

R&D and SG&A expense

$ 34,600

$ 36,200

Adjustments to reconcile R&D and SG&A expense to non-GAAP R&D and SG&A expense:

    Stock-based compensation expense

(8,800)

(9,400)

Non-GAAP R&D and SG&A expense

$ 25,800

$ 26,800