CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

Three Months Ended

December 26, 

September 26, 

December 27, 

2015

2015

2014

(in thousands)

Cash flows from operating activities:

Net income (loss)

$      67,469

$     (72,143)

$    (72,034)

Adjustments to reconcile net income (loss) to net cash provided by operating activities:

Stock-based compensation

18,419

16,963

20,776

Depreciation and amortization

49,082

102,053

71,625

Deferred taxes

18,816

(53,111)

(30,849)

Loss (gain) from sale of property, plant and equipment

(4,517)

(1,346)

1,844

Tax benefit (shortfall) related to stock-based compensation 

1,980

1,193

(229)

Impairment of long-lived assets

1,950

157,697

50,745

Impairment of goodwill and intangible assets

-

-

93,010

Excess tax benefit from stock-based compensation

(3,920)

(2,249)

(1,931)

Changes in assets and liabilities:

Accounts receivable

51,291

(3,627)

23,426

Inventories

15,811

(2,167)

(1,486)

Other current assets

(918)

4,796

1,009

Accounts payable

(7,659)

(9,776)

(12,007)

Income taxes payable

(26,875)

34,127

12,835

Deferred revenue on shipments to distributors

(3,024)

4,764

282

All other accrued liabilities

4,584

(59,835)

15,839

Net cash provided by (used in) operating activities

182,489

117,339

172,855

Cash flows from investing activities:

Payments for property, plant and equipment

(13,530)

(15,821)

(18,585)

Proceeds from sales of property, plant and equipment

49,709

606

24,467

Purchases of available-for-sale securities

(25,032)

(25,055)

-

Purchases of privately-held companies' securities

(6,008)

(1,000)

-

Other investing activities

2,380

-

-

Net cash provided by (used in) investing activities

7,519

(41,270)

5,882

Cash flows from financing activities:

Excess tax benefit from stock-based compensation 

3,920

2,249

1,931

Net issuance of restricted stock units

(7,722)

(4,822)

(6,822)

Proceeds from stock options exercised

48,477

8,970

8,323

Issuance of common stock under employee stock purchase program

14,350

-

18,653

Repurchase of common stock

(23,150)

(39,697)

(59,666)

Dividends paid

(85,712)

(85,387)

(79,169)

Net cash provided by (used in) financing activities

(49,837)

(118,687)

(116,750)

Net increase (decrease) in cash and cash equivalents

140,171

(42,618)

61,987

Cash and cash equivalents:

Beginning of period

1,550,965

1,550,965

1,243,883

End of period

$ 1,648,518

$  1,508,347

$ 1,305,870

Total cash, cash equivalents, and short-term investments

$ 1,773,473

$  1,608,632

$ 1,380,882