CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

Three Months Ended

March 31, 

December 30, 

March 25, 

2018

2017

2017

(in thousands)

Cash flows from operating activities:

Net income (loss)

$   193,627

$    (75,015)

$   140,213

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

Stock-based compensation

20,605

21,040

18,300

Depreciation and amortization

37,201

35,813

40,473

Deferred taxes

(2,670)

(3,188)

(16,967)

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

1,160

(649)

4,809

Impairment of of investment in privately-held companies

—

850

1,000

Changes in assets and liabilities:

Accounts receivable

(80,953)

(2,480)

(33,249)

Inventories

(11,036)

(14,125)

(5,505)

Other current assets

(1,244)

31,459

16,862

Accounts payable

(235)

13,643

11,887

Income taxes payable

30,067

234,264

20,931

Deferred revenue on shipments to distributors

—

(16,994)

(412)

Accrued salary and related expenses

33,408

10,523

26,227

All other accrued liabilities

3,295

(5,266)

(3,872)

Net cash provided by (used in) operating activities

223,225

229,875

220,697

Cash flows from investing activities:

Purchase of property, plant and equipment

(16,930)

(22,413)

(8,286)

Proceeds from sales of property, plant and equipment

2,844

1,444

787

Proceeds from sale of available-for-sale securities

60,008

21,895

—

Proceeds from maturity of available-for-sale securities

304,289

118,211

—

Payment in connection with business acquisition, net of cash acquired

(57,773)

—

—

Purchases of available-for-sale securities

(268,821)

(137,166)

(99,398)

Purchases of privately-held companies' securities

(1,250)

(1,500)

(162)

Net cash provided by (used in) investing activities

22,367

(19,529)

(107,059)

Cash flows from financing activities:

Net issuance of restricted stock units

(9,642)

(6,104)

(8,268)

Proceeds from stock options exercised

7,716

13,507

17,502

Issuance of common stock under employee stock purchase program

—

14,975

(3,194)

Repurchase of common stock

(127,700)

(76,953)

(56,999)

Dividends paid

(117,883)

(101,421)

(93,387)

Net cash provided by (used in) financing activities

(247,509)

(155,996)

(144,346)

Net increase (decrease) in cash and cash equivalents

(1,917)

54,350

(30,708)

Cash and cash equivalents:

Beginning of period

1,631,510

1,577,160

1,687,435

End of period

$1,629,593

$ 1,631,510

$1,656,727

Total cash, cash equivalents, and short-term investments

$2,724,394

$ 2,823,275

$2,155,881