☒ | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
Delaware | 33-0956711 | |||||||||||||||||||||||||
(State or other jurisdiction of
incorporation or organization) |
(I.R.S. Employer Identification No.) | |||||||||||||||||||||||||
5601 Great Oaks Parkway | San Jose, | California | 95119 | |||||||||||||||||||||||
(Address of principal executive offices) | (Zip Code) |
Title of each class | Trading symbol(s) | Name of each exchange on which registered | ||||||
Common Stock, $.01 Par Value Per Share | WDC | The Nasdaq Stock Market LLC | ||||||
(Nasdaq Global Select Market) |
Large accelerated filer | Accelerated filer | Non-accelerated filer | Smaller reporting company | Emerging growth company | ||||||||||
☒ | ☐ | ☐ | ☐ | ☐ |
PAGE NO.
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PART I
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Item 1.
|
Business
|
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Item 1A.
|
Risk Factors
|
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Item 1B.
|
Unresolved Staff Comments
|
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Item 2.
|
Properties
|
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Item 3.
|
Legal Proceedings
|
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Item 4.
|
Mine Safety Disclosures
|
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PART II
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Item 5.
|
Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities
|
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Item 6.
|
Selected Financial Data
|
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Item 7.
|
Management’s Discussion and Analysis of Financial Condition and Results of Operations | |||||||||||||
Item 7A.
|
Quantitative and Qualitative Disclosures About Market Risk
|
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Item 8.
|
Financial Statements and Supplementary Data
|
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Item 9.
|
Changes in and Disagreements With Accountants on Accounting and Financial Disclosure
|
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Item 9A.
|
Controls and Procedures
|
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Item 9B.
|
Other Information
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PART III
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Item 10.
|
Director, Executive Officers and Corporate Governance
|
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Item 11.
|
Executive Compensation
|
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Item 12.
|
Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters
|
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Item 13.
|
Certain Relationships and Related Transactions, and Director Independence
|
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Item 14.
|
Principal Accounting Fees and Services
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PART IV
|
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Item 15.
|
Exhibits and Financial Statement Schedules | |||||||||||||
Item 16.
|
Form 10-K Summary |
Location | Buildings Owned or Leased | Approximate Square Footage | Description | |||||||||||||||||
United States | ||||||||||||||||||||
California | ||||||||||||||||||||
Fremont | Leased | 290,000 | Manufacturing of head wafers and R&D | |||||||||||||||||
Irvine | Leased | 434,000 | R&D, administrative, marketing and sales | |||||||||||||||||
Milpitas | Owned | 589,000 | R&D, marketing and sales, and administrative | |||||||||||||||||
San Jose | Owned and Leased | 2,561,000 | Manufacturing of head wafers, head, media and product development, R&D, administrative, marketing and sales | |||||||||||||||||
Colorado | ||||||||||||||||||||
Longmont | Leased | 87,000 | R&D | |||||||||||||||||
Colorado Springs | Leased | 59,000 | R&D | |||||||||||||||||
Minnesota | ||||||||||||||||||||
Rochester | Leased | 121,000 | Product development | |||||||||||||||||
Asia | ||||||||||||||||||||
China | ||||||||||||||||||||
Shanghai | Owned | 774,000 | Assembly and test of SSDs | |||||||||||||||||
Shenzhen | Owned and Leased | 563,000 | Manufacturing of media | |||||||||||||||||
Japan | ||||||||||||||||||||
Fujisawa | Owned | 661,000 | Product development | |||||||||||||||||
Malaysia | ||||||||||||||||||||
Johor | Owned | 277,000 | Manufacturing of substrates | |||||||||||||||||
Kuala Lumpur | Owned | 145,000 |
R&D and administrative
|
|||||||||||||||||
Kuching | Owned | 285,000 | Manufacturing and development of substrates | |||||||||||||||||
Penang | Owned | 1,683,000 | Assembly and test of SSDs, manufacturing of media, and R&D | |||||||||||||||||
Philippines | ||||||||||||||||||||
Laguna | Owned | 632,000 | Manufacturing of HGAs and slider fabrication | |||||||||||||||||
Thailand | ||||||||||||||||||||
Bang Pa-In | Owned | 1,578,000 | Slider fabrication, manufacturing of HDDs and HGAs, and R&D | |||||||||||||||||
Prachinburi | Owned | 838,000 | Manufacturing of HDDs | |||||||||||||||||
India | ||||||||||||||||||||
Bangalore | Owned and Leased | 638,000 | R&D and administrative | |||||||||||||||||
Middle East | ||||||||||||||||||||
Israel | ||||||||||||||||||||
Kfar Saba | Owned | 167,000 | R&D | |||||||||||||||||
Tefen | Owned | 64,000 | R&D |
July 2,
2015 |
July 1,
2016 |
June 30,
2017 |
June 29,
2018 |
June 28,
2019 |
July 3,
2020 |
||||||||||||||||||||||||||||||
Western Digital Corporation | $ | 100.00 | $ | 59.58 | $ | 116.72 | $ | 104.45 | $ | 67.05 | $ | 61.61 | |||||||||||||||||||||||
S&P 500 Index | $ | 100.00 | $ | 103.99 | $ | 122.60 | $ | 140.23 | $ | 154.83 | $ | 166.45 | |||||||||||||||||||||||
Dow Jones U.S. Technology Hardware & Equipment Index | $ | 100.00 | $ | 92.31 | $ | 130.38 | $ | 169.84 | $ | 183.12 | $ | 266.37 |
July 3,
2020 |
June 28,
2019 |
June 29,
2018 |
June 30,
2017 |
July 1,
2016 |
|||||||||||||||||||||||||||||||||||||||||||||||||
(in millions, except per share and employee data) | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue, net | $ | 16,736 | $ | 16,569 | $ | 20,647 | $ | 19,093 | $ | 12,994 | |||||||||||||||||||||||||||||||||||||||||||
Gross profit | 3,781 | 3,752 | 7,705 | 6,072 | 3,435 | ||||||||||||||||||||||||||||||||||||||||||||||||
Net income (loss) | (250) | (754) | 675 | 397 | 242 | ||||||||||||||||||||||||||||||||||||||||||||||||
Income (loss) per common share: | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Basic | $ | (0.84) | $ | (2.58) | $ | 2.27 | $ | 1.38 | $ | 1.01 | |||||||||||||||||||||||||||||||||||||||||||
Diluted | $ | (0.84) | $ | (2.58) | $ | 2.20 | $ | 1.34 | $ | 1.00 | |||||||||||||||||||||||||||||||||||||||||||
Cash dividends declared per common share | $ | 1.50 | $ | 2.00 | $ | 2.00 | $ | 2.00 | $ | 2.00 | |||||||||||||||||||||||||||||||||||||||||||
Working capital | $ | 4,642 | $ | 4,660 | $ | 6,182 | $ | 6,712 | $ | 5,635 | |||||||||||||||||||||||||||||||||||||||||||
Total assets | $ | 25,662 | $ | 26,370 | $ | 29,235 | $ | 29,860 | $ | 32,862 | |||||||||||||||||||||||||||||||||||||||||||
Long-term debt | $ | 9,289 | $ | 10,246 | $ | 10,993 | $ | 12,918 | $ | 13,660 | |||||||||||||||||||||||||||||||||||||||||||
Shareholders’ equity | $ | 9,551 | $ | 9,967 | $ | 11,531 | $ | 11,418 | $ | 11,145 | |||||||||||||||||||||||||||||||||||||||||||
Number of employees (1)
|
63,800 | 61,800 | 71,600 | 67,600 | 72,900 |
2020 | 2019 | 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(in millions, except percentages) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue, net | $ | 16,736 | 100.0 | % | $ | 16,569 | 100.0 | % | $ | 20,647 | 100.0 | % | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cost of revenue | 12,955 | 77.4 | 12,817 | 77.4 | 12,942 | 62.7 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gross profit | 3,781 | 22.6 | 3,752 | 22.6 | 7,705 | 37.3 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Operating Expenses: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Research and development | 2,261 | 13.5 | 2,182 | 13.2 | 2,400 | 11.6 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Selling, general and administrative | 1,153 | 6.9 | 1,317 | 7.9 | 1,473 | 7.1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Employee termination, asset impairment, and other charges | 32 | 0.2 | 166 | 1.0 | 215 | 1.0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total operating expenses | 3,446 | 20.6 | 3,665 | 22.1 | 4,088 | 19.8 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Operating income | 335 | 2.0 | 87 | 0.5 | 3,617 | 17.5 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest and other income (expense): | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest income | 28 | 0.2 | 57 | 0.3 | 60 | 0.3 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest expense | (413) | (2.5) | (469) | (2.8) | (676) | (3.3) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other income (expense), net | 4 | — | 38 | 0.2 | (916) | (4.4) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total interest and other expense, net | (381) | (2.3) | (374) | (2.3) | (1,532) | (7.4) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income (loss) before taxes | (46) | (0.3) | (287) | (1.7) | 2,085 | 10.1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income tax expense | 204 | 1.2 | 467 | 2.8 | 1,410 | 6.8 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net income (loss) | $ | (250) | (1.5) | % | $ | (754) | (4.6) | % | $ | 675 | 3.3 | % |
Year Ended | |||||||||||||||||||||||||||||||||||||||||
2020 | 2019 | 2018 | |||||||||||||||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||||||||||||||
Revenue by Product | |||||||||||||||||||||||||||||||||||||||||
Hard disk drives (“HDD”) | $ | 8,967 | $ | 8,746 | $ | 10,698 | |||||||||||||||||||||||||||||||||||
Flash-based | 7,769 | 7,823 | 9,949 | ||||||||||||||||||||||||||||||||||||||
Total Revenue | $ | 16,736 | $ | 16,569 | $ | 20,647 | |||||||||||||||||||||||||||||||||||
Revenue by End Market | |||||||||||||||||||||||||||||||||||||||||
Client Devices | $ | 7,160 | $ | 8,095 | $ | 10,108 | |||||||||||||||||||||||||||||||||||
Data Center Devices & Solutions | 6,228 | 5,038 | 6,075 | ||||||||||||||||||||||||||||||||||||||
Client Solutions | 3,348 | 3,436 | 4,464 | ||||||||||||||||||||||||||||||||||||||
Total Revenue | $ | 16,736 | $ | 16,569 | $ | 20,647 | |||||||||||||||||||||||||||||||||||
Revenue by Geography | |||||||||||||||||||||||||||||||||||||||||
Americas | $ | 5,444 | $ | 4,361 | $ | 5,622 | |||||||||||||||||||||||||||||||||||
Europe, Middle East and Africa | 2,926 | 3,109 | 3,858 | ||||||||||||||||||||||||||||||||||||||
Asia | 8,366 | 9,099 | 11,167 | ||||||||||||||||||||||||||||||||||||||
Total Revenue | $ | 16,736 | $ | 16,569 | $ | 20,647 | |||||||||||||||||||||||||||||||||||
Exabytes Shipped | 518 | 383 | 389 |
2020 | 2019 | 2018 | |||||||||||||||||||||||||||||||||||||||
(in millions, except percentages) | |||||||||||||||||||||||||||||||||||||||||
Income (loss) before taxes | $ | (46) | $ | (287) | $ | 2,085 | |||||||||||||||||||||||||||||||||||
Income tax expense | 204 | 467 | 1,410 | ||||||||||||||||||||||||||||||||||||||
Effective tax rate | (443) | % | (163) | % | 68 | % |
2020 | 2019 | 2018 | |||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||
Net cash provided by (used in): | |||||||||||||||||||||||||||||
Operating activities | $ | 824 | $ | 1,547 | $ | 4,205 | |||||||||||||||||||||||
Investing activities | 278 | (1,272) | (1,655) | ||||||||||||||||||||||||||
Financing activities | (1,508) | (1,829) | (3,900) | ||||||||||||||||||||||||||
Effect of exchange rate changes on cash | (1) | 4 | 1 | ||||||||||||||||||||||||||
Net decrease in cash and cash equivalents | $ | (407) | $ | (1,550) | $ | (1,349) |
2020 | 2019 | 2018 | |||||||||||||||||||||||||||
(in days) | |||||||||||||||||||||||||||||
Days sales outstanding | 52 | 26 | 39 | ||||||||||||||||||||||||||
Days in inventory | 85 | 93 | 83 | ||||||||||||||||||||||||||
Days payables outstanding | (66) | (54) | (71) | ||||||||||||||||||||||||||
Cash conversion cycle | 71 | 65 | 51 |
Total | 1 Year (2021) | 2-3 Years (2022-2023) | 4-5 Years (2024-2025) | More than 5 Years (Beyond 2025) | |||||||||||||||||||||||||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt, including current portion(1)
|
$ | 9,711 | $ | 286 | $ | 6,025 | $ | 1,100 | $ | 2,300 | |||||||||||||||||||||||||||||||||||||||||||
Interest on debt | 1,152 | 289 | 519 | 235 | 109 | ||||||||||||||||||||||||||||||||||||||||||||||||
Flash Ventures related commitments(2)
|
5,786 | 2,793 | 2,171 | 688 | 134 | ||||||||||||||||||||||||||||||||||||||||||||||||
Operating leases | 304 | 45 | 60 | 55 | 144 | ||||||||||||||||||||||||||||||||||||||||||||||||
Purchase obligations and other commitments | 3,657 | 1,851 | 1,146 | 470 | 190 | ||||||||||||||||||||||||||||||||||||||||||||||||
Mandatory Deemed Repatriation Tax | 1,029 | 106 | 208 | 417 | 298 | ||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 21,639 | $ | 5,370 | $ | 10,129 | $ | 2,965 | $ | 3,175 |
2021 | 106 | |||||||
2022 | 104 | |||||||
2023 | 104 | |||||||
2024 | 179 | |||||||
2025 | 238 | |||||||
2026 | 298 | |||||||
Total | $ | 1,029 |
PAGE NO.
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Consolidated Financial Statements:
|
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Report of Independent Registered Public Accounting Firm | |||||
Consolidated Balance Sheets — As of July 3, 2020 and June 28, 2019 | |||||
Consolidated Statements of Operations — Three Years Ended July 3, 2020 | |||||
Consolidated Statements of Comprehensive Income (Loss) — Three Years Ended July 3, 2020 | |||||
Consolidated Statements of Cash Flows — Three Years Ended July 3, 2020 | |||||
Consolidated Statements of Shareholders' Equity — Three Years Ended July 3, 2020 | |||||
Notes to Consolidated Financial Statements
|
|||||
/s/ KPMG LLP |
July 3,
2020 |
June 28,
2019 |
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ASSETS | ||||||||||||||||||||
Current assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 3,048 | $ | 3,455 | ||||||||||||||||
Accounts receivable, net | 2,379 | 1,204 | ||||||||||||||||||
Inventories | 3,070 | 3,283 | ||||||||||||||||||
Other current assets | 551 | 535 | ||||||||||||||||||
Total current assets | 9,048 | 8,477 | ||||||||||||||||||
Property, plant and equipment, net | 2,854 | 2,843 | ||||||||||||||||||
Notes receivable and investments in Flash Ventures | 1,875 | 2,791 | ||||||||||||||||||
Goodwill | 10,067 | 10,076 | ||||||||||||||||||
Other intangible assets, net | 941 | 1,711 | ||||||||||||||||||
Other non-current assets | 877 | 472 | ||||||||||||||||||
Total assets | $ | 25,662 | $ | 26,370 | ||||||||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||
Accounts payable | $ | 1,945 | $ | 1,567 | ||||||||||||||||
Accounts payable to related parties | 407 | 331 | ||||||||||||||||||
Accrued expenses | 1,296 | 1,296 | ||||||||||||||||||
Accrued compensation | 472 | 347 | ||||||||||||||||||
Current portion of long-term debt | 286 | 276 | ||||||||||||||||||
Total current liabilities | 4,406 | 3,817 | ||||||||||||||||||
Long-term debt | 9,289 | 10,246 | ||||||||||||||||||
Other liabilities | 2,416 | 2,340 | ||||||||||||||||||
Total liabilities | 16,111 | 16,403 | ||||||||||||||||||
Commitments and contingencies (Notes 8, 9, 13 and 16) | ||||||||||||||||||||
Shareholders’ equity: | ||||||||||||||||||||
Preferred stock, $0.01 par value; authorized — 5 shares; issued and outstanding — none
|
— | — | ||||||||||||||||||
Common stock, $0.01 par value; authorized — 450 shares; issued — 312 shares in 2020 and 2019; outstanding — 302 shares in 2020 and 295 shares in 2019
|
3 | 3 | ||||||||||||||||||
Additional paid-in capital | 3,717 | 3,851 | ||||||||||||||||||
Accumulated other comprehensive loss | (157) | (68) | ||||||||||||||||||
Retained earnings | 6,725 | 7,449 | ||||||||||||||||||
Treasury stock — common shares at cost; 10 shares in 2020 and 17 shares in 2019
|
(737) | (1,268) | ||||||||||||||||||
Total shareholders’ equity | 9,551 | 9,967 | ||||||||||||||||||
Total liabilities and shareholders’ equity | $ | 25,662 | $ | 26,370 |
Year Ended | |||||||||||||||||||||||||||||||||||||||||
July 3,
2020 |
June 28,
2019 |
June 29,
2018 |
|||||||||||||||||||||||||||||||||||||||
Revenue, net | $ | 16,736 | $ | 16,569 | $ | 20,647 | |||||||||||||||||||||||||||||||||||
Cost of revenue | 12,955 | 12,817 | 12,942 | ||||||||||||||||||||||||||||||||||||||
Gross profit | 3,781 | 3,752 | 7,705 | ||||||||||||||||||||||||||||||||||||||
Operating expenses: | |||||||||||||||||||||||||||||||||||||||||
Research and development | 2,261 | 2,182 | 2,400 | ||||||||||||||||||||||||||||||||||||||
Selling, general and administrative | 1,153 | 1,317 | 1,473 | ||||||||||||||||||||||||||||||||||||||
Employee termination, asset impairment, and other charges | 32 | 166 | 215 | ||||||||||||||||||||||||||||||||||||||
Total operating expenses | 3,446 | 3,665 | 4,088 | ||||||||||||||||||||||||||||||||||||||
Operating income | 335 | 87 | 3,617 | ||||||||||||||||||||||||||||||||||||||
Interest and other income (expense): | |||||||||||||||||||||||||||||||||||||||||
Interest income | 28 | 57 | 60 | ||||||||||||||||||||||||||||||||||||||
Interest expense | (413) | (469) | (676) | ||||||||||||||||||||||||||||||||||||||
Other income (expense), net | 4 | 38 | (916) | ||||||||||||||||||||||||||||||||||||||
Total interest and other expense, net | (381) | (374) | (1,532) | ||||||||||||||||||||||||||||||||||||||
Income (loss) before taxes | (46) | (287) | 2,085 | ||||||||||||||||||||||||||||||||||||||
Income tax expense | 204 | 467 | 1,410 | ||||||||||||||||||||||||||||||||||||||
Net income (loss) | $ | (250) | $ | (754) | $ | 675 | |||||||||||||||||||||||||||||||||||
Income (loss) per common share | |||||||||||||||||||||||||||||||||||||||||
Basic | $ | (0.84) | $ | (2.58) | $ | 2.27 | |||||||||||||||||||||||||||||||||||
Diluted | $ | (0.84) | $ | (2.58) | $ | 2.20 | |||||||||||||||||||||||||||||||||||
Weighted average shares outstanding: | |||||||||||||||||||||||||||||||||||||||||
Basic | 298 | 292 | 297 | ||||||||||||||||||||||||||||||||||||||
Diluted | 298 | 292 | 307 | ||||||||||||||||||||||||||||||||||||||
Cash dividends declared per share | $ | 1.50 | $ | 2.00 | $ | 2.00 |
Year Ended | |||||||||||||||||||||||||||||||||||||||||
July 3,
2020 |
June 28,
2019 |
June 29,
2018 |
|||||||||||||||||||||||||||||||||||||||
Net income (loss) | $ | (250) | $ | (754) | $ | 675 | |||||||||||||||||||||||||||||||||||
Other comprehensive income (loss), before tax: | |||||||||||||||||||||||||||||||||||||||||
Actuarial pension loss | (1) | (39) | (2) | ||||||||||||||||||||||||||||||||||||||
Foreign currency translation adjustment | (7) | 28 | 18 | ||||||||||||||||||||||||||||||||||||||
Net unrealized gain (loss) on derivative contracts and available-for-sale securities | (93) | (39) | 7 | ||||||||||||||||||||||||||||||||||||||
Total other comprehensive income (loss), before tax | (101) | (50) | 23 | ||||||||||||||||||||||||||||||||||||||
Income tax benefit (expense) related to items of other comprehensive income (loss), before tax | 12 | 21 | (4) | ||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss), net of tax | (89) | (29) | 19 | ||||||||||||||||||||||||||||||||||||||
Total comprehensive income (loss) | $ | (339) | $ | (783) | $ | 694 |
Year Ended | |||||||||||||||||||||||||||||
July 3,
2020 |
June 28,
2019 |
June 29,
2018 |
|||||||||||||||||||||||||||
Cash flows from operating activities | |||||||||||||||||||||||||||||
Net income (loss) | $ | (250) | $ | (754) | $ | 675 | |||||||||||||||||||||||
Adjustments to reconcile net income (loss) to net cash provided by operations: | |||||||||||||||||||||||||||||
Depreciation and amortization | 1,566 | 1,812 | 2,056 | ||||||||||||||||||||||||||
Stock-based compensation | 308 | 306 | 377 | ||||||||||||||||||||||||||
Deferred income taxes | (82) | 374 | (348) | ||||||||||||||||||||||||||
Loss (gain) on disposal of assets | (7) | 39 | 21 | ||||||||||||||||||||||||||
Non-cash portion of employee termination, asset impairment and other charges | — | — | 16 | ||||||||||||||||||||||||||
Amortization of debt discounts | 40 | 38 | 221 | ||||||||||||||||||||||||||
Cash premium on extinguishment of debt | — | — | 720 | ||||||||||||||||||||||||||
Other non-cash operating activities, net | 6 | (8) | (19) | ||||||||||||||||||||||||||
Changes in: | |||||||||||||||||||||||||||||
Accounts receivable, net | (1,175) | 993 | (244) | ||||||||||||||||||||||||||
Inventories | 200 | (339) | (598) | ||||||||||||||||||||||||||
Accounts payable | 192 | (588) | (15) | ||||||||||||||||||||||||||
Accounts payable to related parties | 75 | 72 | 53 | ||||||||||||||||||||||||||
Accrued expenses | 184 | (42) | (17) | ||||||||||||||||||||||||||
Accrued compensation | 124 | (135) | (26) | ||||||||||||||||||||||||||
Other assets and liabilities, net | (357) | (221) | 1,333 | ||||||||||||||||||||||||||
Net cash provided by operating activities | 824 | 1,547 | 4,205 | ||||||||||||||||||||||||||
Cash flows from investing activities | |||||||||||||||||||||||||||||
Purchases of property, plant and equipment | (647) | (876) | (835) | ||||||||||||||||||||||||||
Proceeds from the sale of property, plant and equipment | — | 119 | 26 | ||||||||||||||||||||||||||
Acquisitions, net of cash acquired | (22) | — | (100) | ||||||||||||||||||||||||||
Purchases of investments | — | (79) | (89) | ||||||||||||||||||||||||||
Proceeds from sale of investments | — | 175 | 48 | ||||||||||||||||||||||||||
Proceeds from maturities of investments | — | 7 | 19 | ||||||||||||||||||||||||||
Notes receivable issuances to Flash Ventures | (353) | (1,364) | (1,313) | ||||||||||||||||||||||||||
Notes receivable proceeds from Flash Ventures | 1,284 | 766 | 571 | ||||||||||||||||||||||||||
Strategic investments and other, net | 16 | (20) | 18 | ||||||||||||||||||||||||||
Net cash provided by (used in) investing activities | 278 | (1,272) | (1,655) | ||||||||||||||||||||||||||
Cash flows from financing activities | |||||||||||||||||||||||||||||
Issuance of stock under employee stock plans | 141 | 118 | 220 | ||||||||||||||||||||||||||
Taxes paid on vested stock awards under employee stock plans | (72) | (115) | (171) | ||||||||||||||||||||||||||
Repurchases of common stock | — | (563) | (591) | ||||||||||||||||||||||||||
Dividends paid to shareholders | (595) | (584) | (593) | ||||||||||||||||||||||||||
Settlement of debt hedge contracts | — | — | 28 | ||||||||||||||||||||||||||
Repayment of debt | (982) | (181) | (17,074) | ||||||||||||||||||||||||||
Proceeds from debt | — | — | 13,840 | ||||||||||||||||||||||||||
Borrowings from (repayment of) revolving credit facility | — | (500) | 500 | ||||||||||||||||||||||||||
Debt issuance costs | — | (4) | (59) | ||||||||||||||||||||||||||
Net cash used in financing activities | (1,508) | (1,829) | (3,900) | ||||||||||||||||||||||||||
Effect of exchange rate changes on cash | (1) | 4 | 1 | ||||||||||||||||||||||||||
Net decrease in cash and cash equivalents | (407) | (1,550) | (1,349) | ||||||||||||||||||||||||||
Cash and cash equivalents, beginning of year | 3,455 | 5,005 | 6,354 | ||||||||||||||||||||||||||
Cash and cash equivalents, end of year | $ | 3,048 | $ | 3,455 | $ | 5,005 | |||||||||||||||||||||||
Supplemental disclosure of cash flow information: | |||||||||||||||||||||||||||||
Cash paid for income taxes | $ | 341 | $ | 377 | $ | 220 | |||||||||||||||||||||||
Cash paid for interest | $ | 372 | $ | 431 | $ | 708 | |||||||||||||||||||||||
Common Stock | Treasury Stock | Additional Paid-In Capital | Accumulated Other Comprehensive Income (Loss) | Retained Earnings | Total Shareholders’ Equity | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2017 | 312 | 3 | (18) | (1,666) | 4,506 | (58) | 8,633 | 11,418 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Net income | — | — | — | — | — | — | 675 | 675 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Adoption of new accounting standards | — | — | — | — | (19) | — | 70 | 51 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Employee stock plans | — | — | 9 | 813 | (764) | — | — | 49 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation | — | — | — | — | 377 | — | — | 377 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Equity value of convertible debt issuance, net of deferred taxes | — | — | — | — | 125 | — | — | 125 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Repurchases of common stock | — | — | (7) | (591) | — | — | — | (591) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Dividends to shareholders | — | — | — | — | 29 | — | (621) | (592) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Actuarial pension loss | — | — | — | — | — | (1) | — | (1) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Foreign currency translation adjustment | — | — | — | — | — | 18 | — | 18 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Net unrealized gain on derivative contracts and available-for-sale securities | — | — | — | — | — | 2 | — | 2 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at June 29, 2018 | 312 | 3 | (16) | (1,444) | 4,254 | (39) | 8,757 | 11,531 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Net loss | — | — | — | — | — | — | (754) | (754) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Employee stock plans | — | — | 7 | 739 | (736) | — | — | 3 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Adoption of new accounting standards | — | — | — | — | — | — | 56 | 56 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation | — | — | — | — | 306 | — | — | 306 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Repurchases of common stock | — | — | (8) | (563) | — | — | — | (563) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Dividends to shareholders | — | — | — | — | 27 | — | (610) | (583) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Actuarial pension loss | — | — | — | — | — | (34) | — | (34) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Foreign currency translation adjustment | — | — | — | — | — | 25 | — | 25 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Net unrealized loss on derivative contracts | — | — | — | — | — | (20) | — | (20) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at June 28, 2019 | 312 | 3 | (17) | (1,268) | 3,851 | (68) | 7,449 | 9,967 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Net loss | — | — | — | — | — | — | (250) | (250) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Employee stock plans | — | — | 7 | 531 | (462) | — | — | 69 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Adoption of new accounting standards | — | — | — | — | — | — | (5) | (5) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation | — | — | — | — | 308 | — | — | 308 | |||||||||||||||||||||||||||||||||||||||||||||||||||
Dividends to shareholders | — | — | — | — | 20 | — | (469) | (449) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Actuarial pension loss | — | — | — | — | — | (5) | — | (5) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Foreign currency translation adjustment | — | — | — | — | — | (6) | — | (6) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Net unrealized loss on derivative contracts | — | — | — | — | — | (78) | — | (78) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at July 3, 2020 | 312 | $ | 3 | (10) | $ | (737) | $ | 3,717 | $ | (157) | $ | 6,725 | $ | 9,551 |
July 3,
2020 |
June 28,
2019 |
||||||||||||||||
(in millions) | |||||||||||||||||
Inventories: | |||||||||||||||||
Raw materials and component parts | $ | 1,306 | $ | 1,142 | |||||||||||||
Work-in-process | 956 | 968 | |||||||||||||||
Finished goods | 808 | 1,173 | |||||||||||||||
Total inventories | $ | 3,070 | $ | 3,283 |
July 3,
2020 |
June 28,
2019 |
||||||||||||||||
(in millions) | |||||||||||||||||
Property, plant and equipment: | |||||||||||||||||
Land | $ | 294 | $ | 294 | |||||||||||||
Buildings and improvements | 1,837 | 1,743 | |||||||||||||||
Machinery and equipment | 7,391 | 7,267 | |||||||||||||||
Computer equipment and software | 429 | 441 | |||||||||||||||
Furniture and fixtures | 52 | 56 | |||||||||||||||
Construction-in-process | 297 | 202 | |||||||||||||||
Property, plant and equipment, gross | 10,300 | 10,003 | |||||||||||||||
Accumulated depreciation | (7,446) | (7,160) | |||||||||||||||
Property, plant and equipment, net | $ | 2,854 | $ | 2,843 |
Carrying Amount | |||||
(in millions) | |||||
Balance at June 29, 2018 | $ | 10,075 | |||
Foreign currency translation adjustment | 1 | ||||
Balance at June 28, 2019 | $ | 10,076 | |||
Goodwill recorded in connection with an acquisition | 14 | ||||
Reduction in goodwill in connection with disposition of business | (21) | ||||
Foreign currency translation adjustment | (2) | ||||
Balance at July 3, 2020 | $ | 10,067 |
July 3, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||
Weighted Average Amortization Period | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | ||||||||||||||||||||||||||||||||||||||||||||
(in years) | (in millions) | ||||||||||||||||||||||||||||||||||||||||||||||
Finite: | |||||||||||||||||||||||||||||||||||||||||||||||
Existing technology | 3 | 4,248 | (3,852) | 396 | |||||||||||||||||||||||||||||||||||||||||||
Trade names and trademarks | 7 | 648 | (398) | 250 | |||||||||||||||||||||||||||||||||||||||||||
Customer relationships | 6 | 616 | (423) | 193 | |||||||||||||||||||||||||||||||||||||||||||
Leasehold interests | 31 | 29 | (7) | 22 | |||||||||||||||||||||||||||||||||||||||||||
Total finite intangible assets | 5,541 | (4,680) | 861 | ||||||||||||||||||||||||||||||||||||||||||||
In-process research and development | 80 | — | 80 | ||||||||||||||||||||||||||||||||||||||||||||
Total intangible assets | 5,621 | (4,680) | 941 |
June 28, 2019 | |||||||||||||||||||||||||||||||||||||||||
Weighted Average Amortization Period | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | ||||||||||||||||||||||||||||||||||||||
(in years) | (in millions) | ||||||||||||||||||||||||||||||||||||||||
Finite: | |||||||||||||||||||||||||||||||||||||||||
Existing technology | 3 | 4,332 | (3,316) | 1,016 | |||||||||||||||||||||||||||||||||||||
Trade names and trademarks | 7 | 648 | (310) | 338 | |||||||||||||||||||||||||||||||||||||
Customer relationships | 6 | 635 | (372) | 263 | |||||||||||||||||||||||||||||||||||||
Other | 2 | 180 | (180) | — | |||||||||||||||||||||||||||||||||||||
Leasehold interests | 31 | 29 | (7) | 22 | |||||||||||||||||||||||||||||||||||||
Total finite intangible assets | 5,824 | (4,185) | 1,639 | ||||||||||||||||||||||||||||||||||||||
In-process research and development | 72 | — | 72 | ||||||||||||||||||||||||||||||||||||||
Total intangible assets | 5,896 | (4,185) | 1,711 |
2020 | 2019 | 2018 | |||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||
Intangible asset amortization | $ | 769 | $ | 968 | $ | 1,185 |
Future Intangible Asset Amortization Expenses | ||||||||
(in millions) | ||||||||
Fiscal year: | ||||||||
2021 | $ | 489 | ||||||
2022 | 220 | |||||||
2023 | 133 | |||||||
2024 and thereafter | 19 | |||||||
Total future amortization expense | $ | 861 |
2020 | 2019 | 2018 | |||||||||||||||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||||||||||||||
Warranty accrual, beginning of period | $ | 350 | $ | 318 | $ | 311 | |||||||||||||||||||||||||||||||||||
Charges to operations | 203 | 162 | 176 | ||||||||||||||||||||||||||||||||||||||
Utilization | (151) | (142) | (151) | ||||||||||||||||||||||||||||||||||||||
Changes in estimate related to pre-existing warranties | 6 | 12 | (18) | ||||||||||||||||||||||||||||||||||||||
Warranty accrual, end of period | $ | 408 | $ | 350 | $ | 318 |
2020 | 2019 | ||||||||||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||||||||
Warranty accrual | |||||||||||||||||||||||||||||||||||
Current portion (included in Accrued expenses) | $ | 205 | $ | 188 | |||||||||||||||||||||||||||||||
Long-term portion (included in Other liabilities) | 203 | 162 | |||||||||||||||||||||||||||||||||
Total warranty accrual | $ | 408 | $ | 350 |
2020 | 2019 | ||||||||||||||||
(in millions) | |||||||||||||||||
Other liabilities: | |||||||||||||||||
Non-current net tax payable | $ | 815 | $ | 928 | |||||||||||||
Payables related to unrecognized tax benefits | 720 | 699 | |||||||||||||||
Other non-current liabilities | 881 | 713 | |||||||||||||||
Total other liabilities | $ | 2,416 | $ | 2,340 |
Actuarial Pension Gains (Losses) | Foreign Currency Translation Adjustment | Unrealized Gains (Losses) on Derivative Contracts | Total Accumulated Comprehensive Income (Loss) | ||||||||||||||||||||||||||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at June 29, 2018 | $ | (19) | $ | (21) | $ | 1 | $ | (39) | |||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) before reclassifications | (39) | 28 | (48) | (59) | |||||||||||||||||||||||||||||||||||||||||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) | — | — | 9 | 9 | |||||||||||||||||||||||||||||||||||||||||||||||||
Income tax benefit (expense) related to items of other comprehensive income (loss) | 5 | (3) | 19 | 21 | |||||||||||||||||||||||||||||||||||||||||||||||||
Net current-period other comprehensive income (loss) | (34) | 25 | (20) | (29) | |||||||||||||||||||||||||||||||||||||||||||||||||
Balance at June 28, 2019 | $ | (53) | $ | 4 | $ | (19) | $ | (68) | |||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive loss before reclassifications | (1) | (7) | (87) | (95) | |||||||||||||||||||||||||||||||||||||||||||||||||
Amounts reclassified from accumulated other comprehensive loss | — | — | (6) | (6) | |||||||||||||||||||||||||||||||||||||||||||||||||
Income tax benefit (expense) related to items of other comprehensive loss | (4) | 1 | 15 | 12 | |||||||||||||||||||||||||||||||||||||||||||||||||
Net current-period other comprehensive loss | (5) | (6) | (78) | (89) | |||||||||||||||||||||||||||||||||||||||||||||||||
Balance at July 3, 2020 | $ | (58) | $ | (2) | $ | (97) | $ | (157) |
July 3, 2020 | |||||||||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Cash equivalents - Money market funds | $ | 1,079 | $ | — | $ | — | $ | 1,079 | |||||||||||||||||||||||||||||||||
Foreign exchange contracts | — | 28 | — | 28 | |||||||||||||||||||||||||||||||||||||
Total assets at fair value | $ | 1,079 | $ | 28 | $ | — | $ | 1,107 | |||||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | $ | — | $ | 9 | $ | — | $ | 9 | |||||||||||||||||||||||||||||||||
Interest rate swap contract | — | 133 | — | 133 | |||||||||||||||||||||||||||||||||||||
Total liabilities at fair value | $ | — | $ | 142 | $ | — | $ | 142 |
June 28, 2019 | |||||||||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||
Cash equivalents: | |||||||||||||||||||||||||||||||||||||||||
Money market funds | $ | 1,388 | $ | — | $ | — | $ | 1,388 | |||||||||||||||||||||||||||||||||
Certificates of deposit | — | 17 | — | 17 | |||||||||||||||||||||||||||||||||||||
Total cash equivalents | 1,388 | 17 | — | 1,405 | |||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | — | 44 | — | 44 | |||||||||||||||||||||||||||||||||||||
Interest rate swap contracts | — | 2 | — | 2 | |||||||||||||||||||||||||||||||||||||
Total assets at fair value | $ | 1,388 | $ | 63 | $ | — | $ | 1,451 | |||||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Foreign exchange contracts | $ | — | $ | 40 | $ | — | $ | 40 | |||||||||||||||||||||||||||||||||
Interest rate swap contract | — | 65 | — | 65 | |||||||||||||||||||||||||||||||||||||
Total liabilities at fair value | $ | — | $ | 105 | $ | — | $ | 105 |
July 3, 2020 | June 28, 2019 | ||||||||||||||||||||||||||||||||||||||||
Carrying
Value |
Fair
Value |
Carrying
Value |
Fair
Value |
||||||||||||||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||||||||||||||
0.50% convertible senior notes due 2020
|
$ | 34 | $ | 30 | $ | 33 | $ | 31 | |||||||||||||||||||||||||||||||||
Variable interest rate Term Loan A-1 maturing 2023 | 4,576 | 4,474 | 4,824 | 4,780 | |||||||||||||||||||||||||||||||||||||
Variable interest rate Term Loan B-4 maturing 2023 | 1,692 | 1,656 | 2,424 | 2,370 | |||||||||||||||||||||||||||||||||||||
1.50% convertible notes due 2024
|
987 | 1,036 | 958 | 986 | |||||||||||||||||||||||||||||||||||||
4.75% senior unsecured notes due 2026
|
2,286 | 2,428 | 2,283 | 2,263 | |||||||||||||||||||||||||||||||||||||
Total | $ | 9,575 | $ | 9,624 | $ | 10,522 | $ | 10,430 |
July 3,
2020 |
June 28,
2019 |
||||||||||||||||
(in millions) | |||||||||||||||||
0.50% convertible senior notes due 2020
|
$ | 35 | $ | 35 | |||||||||||||
Variable interest rate Term Loan A-1 maturing 2023 | 4,583 | 4,834 | |||||||||||||||
Variable interest rate Term Loan B-4 maturing 2023 | 1,693 | 2,425 | |||||||||||||||
1.50% convertible notes due 2024
|
1,100 | 1,100 | |||||||||||||||
4.75% senior unsecured notes due 2026
|
2,300 | 2,300 | |||||||||||||||
Total debt | 9,711 | 10,694 | |||||||||||||||
Issuance costs and debt discounts | (136) | (172) | |||||||||||||||
Subtotal | 9,575 | 10,522 | |||||||||||||||
Less current portion of long-term debt | (286) | (276) | |||||||||||||||
Long-term debt | $ | 9,289 | $ | 10,246 |
Future Debt Payments | ||||||||
(in millions) | ||||||||
Fiscal year: | ||||||||
2021 | $ | 286 | ||||||
2022 | 251 | |||||||
2023 | 5,774 | |||||||
2024 | 1,100 | |||||||
2025 and thereafter | 2,300 | |||||||
Total debt maturities | $ | 9,711 | ||||||
Issuance costs and debt discounts | (136) | |||||||
Net carrying value | $ | 9,575 |
2020 | 2019 | 2018 | |||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||
Change in benefit obligation: | |||||||||||||||||||||||||||||
Projected benefit obligation at beginning of period | $ | 352 | $ | 300 | $ | 285 | |||||||||||||||||||||||
Service cost | 13 | 10 | 10 | ||||||||||||||||||||||||||
Interest cost | 4 | 4 | 4 | ||||||||||||||||||||||||||
Plan amendments | — | 13 | — | ||||||||||||||||||||||||||
Actuarial loss (gain) | 3 | 26 | 7 | ||||||||||||||||||||||||||
Benefits paid | (8) | (9) | (9) | ||||||||||||||||||||||||||
Settlement/curtailment | — | (3) | — | ||||||||||||||||||||||||||
Other | — | — | — | ||||||||||||||||||||||||||
Non-U.S. currency movement | 2 | 11 | 3 | ||||||||||||||||||||||||||
Projected benefit obligation at end of period | 366 | 352 | 300 | ||||||||||||||||||||||||||
Change in plan assets: | |||||||||||||||||||||||||||||
Fair value of plan assets at beginning of period | 209 | 200 | 189 | ||||||||||||||||||||||||||
Actual return on plan assets | 4 | 2 | 8 | ||||||||||||||||||||||||||
Employer contributions | 9 | 10 | 10 | ||||||||||||||||||||||||||
Benefits paid | (8) | (9) | (9) | ||||||||||||||||||||||||||
Non-U.S. currency movement | 1 | 6 | 2 | ||||||||||||||||||||||||||
Fair value of plan assets at end of period | 215 | 209 | 200 | ||||||||||||||||||||||||||
Unfunded status | $ | 151 | $ | 143 | $ | 100 |
July 3,
2020 |
June 28,
2019 |
||||||||||||||||
(in millions) | |||||||||||||||||
Current liabilities | $ | 1 | $ | 1 | |||||||||||||
Non-current liabilities | 150 | 142 | |||||||||||||||
Net amount recognized | $ | 151 | $ | 143 |
2020 | 2019 | 2018 | |||||||||||||||
Discount rate | 1.1 | % | 1.1 | % | 1.3 | % | |||||||||||
Rate of compensation increase | 2.0 | % | 1.7 | % | 1.4 | % |
2020 | 2019 | 2018 | |||||||||||||||
Discount rate | 1.1 | % | 1.3 | % | 0.5 | % | |||||||||||
Expected long-term rate of return on plan assets | 2.5 | % | 2.5 | % | 2.5 | % | |||||||||||
Rate of compensation increase | 1.7 | % | 1.2 | % | 1.5 | % |
July 3, 2020 | |||||||||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||||||||||||||
Equity: | |||||||||||||||||||||||||||||||||||||||||
Equity commingled/mutual funds(1)(2)
|
$ | — | $ | 72 | $ | — | $ | 72 | |||||||||||||||||||||||||||||||||
Fixed income: | |||||||||||||||||||||||||||||||||||||||||
Fixed income commingled/mutual funds(1)(3)
|
— | 131 | — | 131 | |||||||||||||||||||||||||||||||||||||
Cash equivalents and short-term investments | 12 | — | — | 12 | |||||||||||||||||||||||||||||||||||||
Fair value of plan assets | $ | 12 | $ | 203 | $ | — | $ | 215 |
June 28, 2019 | |||||||||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||||||||||||||
Equity: | |||||||||||||||||||||||||||||||||||||||||
Equity commingled/mutual funds(1)(2)
|
$ | — | $ | 68 | $ | — | $ | 68 | |||||||||||||||||||||||||||||||||
Fixed income: | |||||||||||||||||||||||||||||||||||||||||
Fixed income commingled/mutual funds(1)(3)
|
— | 132 | — | 132 | |||||||||||||||||||||||||||||||||||||
Cash equivalents and short-term investments | 9 | — | — | 9 | |||||||||||||||||||||||||||||||||||||
Fair value of plan assets | $ | 9 | $ | 200 | $ | — | $ | 209 |
July 3,
2020 |
June 28,
2019 |
||||||||||||||||
(in millions) | |||||||||||||||||
Notes receivable, Flash Partners | $ | 273 | $ | 551 | |||||||||||||
Notes receivable, Flash Alliance | 301 | 878 | |||||||||||||||
Notes receivable, Flash Forward | 670 | 743 | |||||||||||||||
Investment in Flash Partners | 203 | 200 | |||||||||||||||
Investment in Flash Alliance | 300 | 296 | |||||||||||||||
Investment in Flash Forward | 128 | 123 | |||||||||||||||
Total notes receivable and investments in Flash Ventures | $ | 1,875 | $ | 2,791 |
July 3,
2020 |
|||||
Notes receivable | $ | 1,244 | |||
Equity investments | 631 | ||||
Operating lease guarantees | 1,903 | ||||
Inventory and prepayments | 526 | ||||
Maximum estimable loss exposure | $ | 4,304 |
Lease Amounts | |||||||||||||||||
(Japanese yen, in billions) | (U.S. dollar, in millions) | ||||||||||||||||
Total guarantee obligations | ¥ | 205 | $ | 1,903 |
Annual Installments | Payment of Principal Amortization | Purchase Option Exercise Price at Final Lease Terms | Guarantee Amount | |||||||||||||||||||||||||||||
(in millions) | ||||||||||||||||||||||||||||||||
2021 | $ | 497 | $ | 109 | $ | 606 | ||||||||||||||||||||||||||
2022 | 414 | 50 | 464 | |||||||||||||||||||||||||||||
2023 | 304 | 67 | 371 | |||||||||||||||||||||||||||||
2024 | 156 | 121 | 277 | |||||||||||||||||||||||||||||
2025 | 36 | 111 | 147 | |||||||||||||||||||||||||||||
Thereafter | 4 | 34 | 38 | |||||||||||||||||||||||||||||
Total guarantee obligations | $ | 1,411 | $ | 492 | $ | 1,903 |
Lease Amounts | |||||||||||||||||||||||||||||
Minimum lease payments by fiscal year: | (in millions) | ||||||||||||||||||||||||||||
2021 | $ | 45 | |||||||||||||||||||||||||||
2022 | 32 | ||||||||||||||||||||||||||||
2023 | 28 | ||||||||||||||||||||||||||||
2024 | 28 | ||||||||||||||||||||||||||||
2025 | 27 | ||||||||||||||||||||||||||||
Thereafter | 144 | ||||||||||||||||||||||||||||
Total future minimum lease payments | 304 | ||||||||||||||||||||||||||||
Less: Imputed Interest | (59) | ||||||||||||||||||||||||||||
Present value of lease liabilities | 245 | ||||||||||||||||||||||||||||
Less: Current portion (included in Accrued expenses) | 36 | ||||||||||||||||||||||||||||
Long-term operating lease liabilities (included in Other liabilities) | $ | 209 | |||||||||||||||||||||||||||
Operating lease right-of-use assets (included in Other non-current assets) | $ | 230 | |||||||||||||||||||||||||||
Weighted average remaining lease term in years | 9.2 | ||||||||||||||||||||||||||||
Weighted average discount rate | 4.2 | % |
Year Ended | |||||||||||||||||||||||||||||
July 3,
2020 |
|||||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||
Cost of operating leases | $ | 55 | |||||||||||||||||||||||||||
Cash paid for operating leases | 53 | ||||||||||||||||||||||||||||
Operating lease assets obtained in exchange for operating lease liabilities | 57 |
2020 | 2019 | 2018 | |||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||
Cost of operating leases | $ | 55 | $ | 47 | $ | 49 |
Long-term commitments | ||||||||
(in millions) | ||||||||
Fiscal year: | ||||||||
2021 | $ | 448 | ||||||
2022 | 606 | |||||||
2023 | 521 | |||||||
2024 | 322 | |||||||
2025 | 148 | |||||||
Thereafter | 190 | |||||||
Total | $ | 2,235 |
2020 | 2019 | 2018 | |||||||||||||||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||||||||||||||
Revenue by Product | |||||||||||||||||||||||||||||||||||||||||
HDD | $ | 8,967 | $ | 8,746 | $ | 10,698 | |||||||||||||||||||||||||||||||||||
Flash-based | 7,769 | 7,823 | 9,949 | ||||||||||||||||||||||||||||||||||||||
Total Revenue | $ | 16,736 | $ | 16,569 | $ | 20,647 | |||||||||||||||||||||||||||||||||||
Revenue by End Market | |||||||||||||||||||||||||||||||||||||||||
Client Devices | $ | 7,160 | $ | 8,095 | $ | 10,108 | |||||||||||||||||||||||||||||||||||
Data Center Devices & Solutions | 6,228 | 5,038 | 6,075 | ||||||||||||||||||||||||||||||||||||||
Client Solutions | 3,348 | 3,436 | 4,464 | ||||||||||||||||||||||||||||||||||||||
Total Revenue | 16,736 | 16,569 | 20,647 | ||||||||||||||||||||||||||||||||||||||
2020 | 2019 | 2018 | |||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||
Net revenue (1)
|
|||||||||||||||||||||||||||||
United States | $ | 4,679 | $ | 3,602 | $ | 4,640 | |||||||||||||||||||||||
China | 4,075 | 3,861 | 4,393 | ||||||||||||||||||||||||||
Hong Kong | 2,592 | 3,122 | 4,022 | ||||||||||||||||||||||||||
Rest of Asia | 1,699 | 2,116 | 2,752 | ||||||||||||||||||||||||||
Europe, Middle East and Africa | 2,926 | 3,109 | 3,858 | ||||||||||||||||||||||||||
Other | 765 | 759 | 982 | ||||||||||||||||||||||||||
Total | $ | 16,736 | $ | 16,569 | $ | 20,647 |
2020 | 2019 | ||||||||||||||||
(in millions) | |||||||||||||||||
Long-lived assets (1)
|
|||||||||||||||||
United States | $ | 949 | $ | 962 | |||||||||||||
Malaysia | 643 | 667 | |||||||||||||||
China | 373 | 420 | |||||||||||||||
Thailand | 472 | 405 | |||||||||||||||
Rest of Asia | 366 | 335 | |||||||||||||||
Europe, Middle East and Africa | 51 | 54 | |||||||||||||||
Total | $ | 2,854 | $ | 2,843 |
2020 | 2019 | 2018 | |||||||||||||||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||||||||||||||
Options | $ | 7 | $ | 16 | $ | 25 | |||||||||||||||||||||||||||||||||||
RSUs and PSUs | 268 | 263 | 325 | ||||||||||||||||||||||||||||||||||||||
Employee stock purchase plan | 33 | 27 | 27 | ||||||||||||||||||||||||||||||||||||||
Total | $ | 308 | $ | 306 | $ | 377 | |||||||||||||||||||||||||||||||||||
2020 | 2019 | 2018 | |||||||||||||||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||||||||||||||
Cost of revenue | $ | 51 | $ | 48 | $ | 49 | |||||||||||||||||||||||||||||||||||
Research and development | 163 | 155 | 170 | ||||||||||||||||||||||||||||||||||||||
Selling, general and administrative | 94 | 103 | 157 | ||||||||||||||||||||||||||||||||||||||
Employee termination, asset impairment, and other charges | — | — | 1 | ||||||||||||||||||||||||||||||||||||||
Subtotal | 308 | 306 | 377 | ||||||||||||||||||||||||||||||||||||||
Tax benefit | (45) | (50) | (66) | ||||||||||||||||||||||||||||||||||||||
Total | $ | 263 | $ | 256 | $ | 311 |
Unamortized Compensation Costs | Weighted Average Service Period | ||||||||||
(in millions) | (years) | ||||||||||
RSUs and PSUs (1)
|
543 | 2.4 | |||||||||
ESPP | 38 | 1.1 | |||||||||
Total unamortized compensation cost | $ | 581 |
Number of Shares | Weighted Average Exercise Price Per Share | Weighted Average Remaining Contractual Life | Aggregate Intrinsic Value | ||||||||||||||||||||
(in millions) | (in years) | (in millions) | |||||||||||||||||||||
Options outstanding at June 30, 2017 | 7.4 | $ | 58.14 | ||||||||||||||||||||
Exercised | (2.2) | 44.52 | $ | 99 | |||||||||||||||||||
Canceled or expired | (0.4) | 60.85 | |||||||||||||||||||||
Options outstanding at June 29, 2018 | 4.8 | 64.23 | |||||||||||||||||||||
Exercised | (0.4) | 39.58 | $ | 8 | |||||||||||||||||||
Canceled or expired | (0.5) | 74.79 | |||||||||||||||||||||
Options outstanding at June 28, 2019 | 3.9 | 65.72 | |||||||||||||||||||||
Exercised | (0.8) | 43.26 | $ | 12 | |||||||||||||||||||
Canceled or expired | (0.4) | 88.58 | |||||||||||||||||||||
Options outstanding at July 3, 2020 | 2.7 | $ | 69.16 | 2.1 | $ | — | |||||||||||||||||
Exercisable at July 3, 2020 | 2.6 | $ | 70.10 | 2.1 | $ | — | |||||||||||||||||
Number of Shares | Weighted Average Grant Date Fair Value | Aggregate Intrinsic Value at Vest Date | |||||||||||||||
(in millions) | (in millions) | ||||||||||||||||
RSUs and PSUs outstanding at June 30, 2017 | 13.7 | $ | 45.01 | ||||||||||||||
Granted | 6.3 | 74.68 | |||||||||||||||
Vested | (6.3) | 45.20 | $ | 552 | |||||||||||||
Forfeited | (1.1) | 50.35 | |||||||||||||||
RSUs and PSUs outstanding at June 29, 2018 | 12.6 | 58.31 | |||||||||||||||
Granted | 7.3 | 54.82 | |||||||||||||||
Vested | (6.3) | 53.21 | $ | 360 | |||||||||||||
Forfeited | (2.0) | 58.63 | |||||||||||||||
RSUs and PSUs outstanding at June 28, 2019 | 11.6 | 62.07 | |||||||||||||||
Granted | 7.4 | 55.32 | |||||||||||||||
Vested | (4.4) | 58.36 | $ | 252 | |||||||||||||
Forfeited | (1.3) | 63.33 | |||||||||||||||
RSUs and PSUs outstanding at July 3, 2020 | 13.3 | $ | 60.92 | ||||||||||||||
2020 | 2019 | 2018 | |||||||||||||||||||||||||||
Weighted-average expected term (in years) | 1.25 | 1.24 | 1.26 | ||||||||||||||||||||||||||
Risk-free interest rate | 0.55% | 2.25% | 0.81% | ||||||||||||||||||||||||||
Stock price volatility | 0.59 | 0.35 | 0.42 | ||||||||||||||||||||||||||
Dividend yield | 1.08% | 2.42% | 4.02% | ||||||||||||||||||||||||||
Fair value | $12.76 | $16.89 | $10.06 |
Number of Shares | |||||
(in millions) | |||||
Outstanding awards and shares available for award grants | 31 | ||||
ESPP | 9 | ||||
Total | 40 |
2020 | 2019 | 2018 | |||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||
Foreign | $ | (695) | $ | (642) | $ | 2,398 | |||||||||||||||||||||||
Domestic | 649 | 355 | (313) | ||||||||||||||||||||||||||
Income (loss) before taxes | $ | (46) | $ | (287) | $ | 2,085 |
2020 | 2019 | 2018 | |||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||
Current: | |||||||||||||||||||||||||||||
Foreign | $ | 157 | $ | 181 | $ | 166 | |||||||||||||||||||||||
Domestic - Federal | 124 | (91) | 1,597 | ||||||||||||||||||||||||||
Domestic - State | 5 | 3 | (5) | ||||||||||||||||||||||||||
286 | 93 | 1,758 | |||||||||||||||||||||||||||
Deferred: | |||||||||||||||||||||||||||||
Foreign | (29) | 226 | (39) | ||||||||||||||||||||||||||
Domestic - Federal | (53) | 141 | (300) | ||||||||||||||||||||||||||
Domestic - State | — | 7 | (9) | ||||||||||||||||||||||||||
(82) | 374 | (348) | |||||||||||||||||||||||||||
Income tax expense | $ | 204 | $ | 467 | $ | 1,410 |
July 3,
2020 |
June 28,
2019 |
||||||||||||||||
(in millions) | |||||||||||||||||
Deferred tax assets: | |||||||||||||||||
Sales related reserves and accrued expenses not currently deductible | $ | 52 | $ | 48 | |||||||||||||
Accrued compensation and benefits not currently deductible | 130 | 124 | |||||||||||||||
Net operating loss carryforward | 251 | 285 | |||||||||||||||
Business credit carryforward | 438 | 410 | |||||||||||||||
Long-lived assets | 123 | 144 | |||||||||||||||
Other | 133 | 135 | |||||||||||||||
Total deferred tax assets | 1,127 | 1,146 | |||||||||||||||
Deferred tax liabilities: | |||||||||||||||||
Long-lived assets | (294) | (413) | |||||||||||||||
Unremitted earnings of certain non-U.S. entities | (228) | (220) | |||||||||||||||
Other | (26) | (32) | |||||||||||||||
Total deferred tax liabilities | (548) | (665) | |||||||||||||||
Valuation allowances | (624) | (619) | |||||||||||||||
Deferred tax liabilities, net | $ | (45) | $ | (138) |
Jurisdiction | NOL/Tax Credit Carryforward Amount | Expiration | |||||||||
(in millions) | |||||||||||
Federal NOL (Pre 2017 Act Generation) | $ | 676 | 2021 to 2037 | ||||||||
Federal NOL (Post 2017 Act Generation) | — | No expiration | |||||||||
State NOL | 471 | 2021 to 2038 | |||||||||
Federal tax credits | 58 | 2021 to 2034 | |||||||||
State tax credits | 619 | No expiration |
Jurisdiction | NOL Carryforward Amount | Expiration | ||||||||||||
(in millions) | ||||||||||||||
Malaysia | $ | 167 | 2025 to 2027 | |||||||||||
Japan | 127 | 2023 to 2026 | ||||||||||||
Belgium | 121 | No expiration | ||||||||||||
China | 103 | 2022 to 2025 | ||||||||||||
Spain | 48 | No expiration |
2020 | 2019 | 2018 | |||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||
Unrecognized tax benefit, beginning balance | $ | 695 | $ | 551 | $ | 522 | |||||||||||||||||||||||
Gross increases related to current year tax positions | 11 | 172 | 38 | ||||||||||||||||||||||||||
Gross increases related to prior year tax positions | 35 | 8 | 30 | ||||||||||||||||||||||||||
Gross decreases related to prior year tax positions | (4) | (24) | (9) | ||||||||||||||||||||||||||
Settlements | (12) | (1) | (19) | ||||||||||||||||||||||||||
Lapse of statute of limitations | (8) | (11) | (11) | ||||||||||||||||||||||||||
Acquisitions | — | — | — | ||||||||||||||||||||||||||
Unrecognized tax benefit, ending balance | $ | 717 | $ | 695 | $ | 551 |
Year Ended | |||||||||||||||||||||||||||||||||||||||||
2020 | 2019 | 2018 | |||||||||||||||||||||||||||||||||||||||
(in millions, except per share data) | |||||||||||||||||||||||||||||||||||||||||
Net income (loss) | $ | (250) | $ | (754) | $ | 675 | |||||||||||||||||||||||||||||||||||
Weighted average shares outstanding: | |||||||||||||||||||||||||||||||||||||||||
Basic | 298 | 292 | 297 | ||||||||||||||||||||||||||||||||||||||
Employee stock options, RSUs, PSUs and ESPP | — | — | 10 | ||||||||||||||||||||||||||||||||||||||
Diluted | 298 | 292 | 307 | ||||||||||||||||||||||||||||||||||||||
Income (loss) per common share | |||||||||||||||||||||||||||||||||||||||||
Basic | $ | (0.84) | $ | (2.58) | $ | 2.27 | |||||||||||||||||||||||||||||||||||
Diluted | $ | (0.84) | $ | (2.58) | $ | 2.20 | |||||||||||||||||||||||||||||||||||
Anti-dilutive potential common shares excluded | 15 | 17 | 2 |
2020 | 2019 | 2018 | |||||||||||||||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||||||||||||||
Employee termination and other charges: | |||||||||||||||||||||||||||||||||||||||||
Closure of Foreign Manufacturing Facilities | $ | 5 | $ | 22 | $ | 56 | |||||||||||||||||||||||||||||||||||
Business Realignment | 44 | 144 | 50 | ||||||||||||||||||||||||||||||||||||||
Restructuring Plan 2016 | — | — | 92 | ||||||||||||||||||||||||||||||||||||||
Total employee termination and other charges | 49 | 166 | 198 | ||||||||||||||||||||||||||||||||||||||
Asset impairment: | |||||||||||||||||||||||||||||||||||||||||
Restructuring Plan 2016 | — | — | 16 | ||||||||||||||||||||||||||||||||||||||
Total asset impairment | — | — | 16 | ||||||||||||||||||||||||||||||||||||||
Stock-based compensation accelerations and adjustments: | |||||||||||||||||||||||||||||||||||||||||
Business Realignment | — | — | 1 | ||||||||||||||||||||||||||||||||||||||
Total stock-based compensation accelerations and adjustments | — | — | 1 | ||||||||||||||||||||||||||||||||||||||
Gain on disposition of assets: | |||||||||||||||||||||||||||||||||||||||||
Business Realignment | (17) | — | — | ||||||||||||||||||||||||||||||||||||||
Total gain on disposition of assets | (17) | — | — | ||||||||||||||||||||||||||||||||||||||
Total employee termination, asset impairment, and other charges | $ | 32 | $ | 166 | $ | 215 |
Employee Termination Benefits | Contract Termination and Other | Total | |||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||
Accrual balance at June 28, 2019 | $ | 30 | $ | 2 | $ | 32 | |||||||||||||||||||||||
Charges | 3 | 2 | 5 | ||||||||||||||||||||||||||
Cash payments | (26) | (4) | (30) | ||||||||||||||||||||||||||
Accrual balance at July 3, 2020 | $ | 7 | $ | — | $ | 7 |
Employee Termination Benefits | Contract Termination and Other | Total | |||||||||||||||||||||||||||
(in millions) | |||||||||||||||||||||||||||||
Accrual balance at June 28, 2019 | $ | 37 | $ | 8 | $ | 45 | |||||||||||||||||||||||
Charges | 38 | 6 | 44 | ||||||||||||||||||||||||||
Cash payments | (62) | (14) | (76) | ||||||||||||||||||||||||||
Accrual balance at July 3, 2020 | $ | 13 | $ | — | $ | 13 |
First | Second | Third | Fourth | ||||||||||||||||||||||||||||||||||||||
(in millions, except per share amounts) | |||||||||||||||||||||||||||||||||||||||||
2020 | |||||||||||||||||||||||||||||||||||||||||
Revenue, net | $ | 4,040 | $ | 4,234 | $ | 4,175 | $ | 4,287 | |||||||||||||||||||||||||||||||||
Gross profit | 758 | 935 | 1,005 | 1,083 | |||||||||||||||||||||||||||||||||||||
Operating income (loss) | (129) | 50 | 153 | 261 | |||||||||||||||||||||||||||||||||||||
Net income (loss) | (276) | (139) | 17 | 148 | |||||||||||||||||||||||||||||||||||||
Basic income (loss) per common share | (0.93) | (0.47) | 0.06 | 0.49 | |||||||||||||||||||||||||||||||||||||
Diluted income (loss) per common share | (0.93) | (0.47) | 0.06 | 0.49 | |||||||||||||||||||||||||||||||||||||
First | Second | Third | Fourth | ||||||||||||||||||||||||||||||||||||||
(in millions, except per share amounts) | |||||||||||||||||||||||||||||||||||||||||
2019 | |||||||||||||||||||||||||||||||||||||||||
Revenue, net | $ | 5,028 | $ | 4,233 | $ | 3,674 | $ | 3,634 | |||||||||||||||||||||||||||||||||
Gross profit | 1,664 | 1,044 | 579 | 465 | |||||||||||||||||||||||||||||||||||||
Operating income (loss) | 686 | 176 | (394) | (381) | |||||||||||||||||||||||||||||||||||||
Net income (loss) | 511 | (487) | (581) | (197) | |||||||||||||||||||||||||||||||||||||
Basic income (loss) per common share | 1.75 | (1.68) | (1.99) | (0.67) | |||||||||||||||||||||||||||||||||||||
Diluted income (loss) per common share | 1.71 | (1.68) | (1.99) | (0.67) | |||||||||||||||||||||||||||||||||||||
Exhibit
Number |
Description | |||||||
Amended and Restated Certificate of Incorporation of Western Digital Corporation, as amended to date (Filed as Exhibit 3.1 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on February 8, 2006) | ||||||||
Amended and Restated By-Laws of Western Digital Corporation, as amended effective as of May 2, 2018 (Filed as Exhibit 3.1 to the Company’s Current Report on Form 8-K (File No. 1-08703) with the Securities and Exchange Commission on May 7, 2018) | ||||||||
Description of Western Digital Corporation’s Capital Stock (Filed as Exhibit 4.1 to the Company’s Annual Report on Form 10-K (File No. 1-08703) with the Securities and Exchange Commission on August 27, 2019) | ||||||||
Indenture (including Form of 0.5% Convertible Senior Notes due 2020), dated as of October 29, 2013, by and between SanDisk Corporation and The Bank of New York Mellon Trust Company, N.A. (Filed as Exhibit 4.1 to SanDisk Corporation’s Current Report on Form 8-K (File No. 000-26734) with the Securities and Exchange Commission on October 29, 2013) | ||||||||
First Supplemental Indenture to the Indenture filed as Exhibit 4.2 hereto, dated as of May 12, 2016, among SanDisk Corporation, The Bank of New York Mellon Trust Company, N.A., as trustee, and Western Digital Corporation (Filed as Exhibit 4.1 to the Company’s Current Report on Form 8-K (File No. 1-08703) with the Securities and Exchange Commission on May 12, 2016) | ||||||||
Indenture (including Form of 4.750% Senior Notes due 2026), dated as of February 13, 2018, among Western Digital Corporation; HGST, Inc., WD Media, LLC, Western Digital (Fremont), LLC and Western Digital Technologies, Inc., as guarantors; and U.S. Bank National Association, as trustee (Filed as Exhibit 4.1 to the Company’s Current Report on Form 8-K (File No. 333-222762) with the Securities and Exchange Commission on February 13, 2018) | ||||||||
Indenture (including Form of 1.50% Convertible Senior Notes due 2024), dated as of February 13, 2018, among Western Digital Corporation; HGST, Inc., WD Media, LLC, Western Digital (Fremont), LLC and Western Digital Technologies, Inc., as guarantors; and U.S. Bank National Association, as trustee (Filed as Exhibit 4.2 to the Company’s Current Report on Form 8-K (File No. 333-222762) with the Securities and Exchange Commission on February 13, 2018) | ||||||||
Western Digital Corporation Amended and Restated 2017 Performance Incentive Plan, amended and restated as of August 7, 2019 (Filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K (File No. 1-08703) with the Securities and Exchange Commission on November 14, 2019)*
|
||||||||
Form of Notice of Grant of Stock Option and Option Agreement - Executives, under the Western Digital Corporation Amended and Restated 2004 Performance Incentive Plan (now named the Western Digital Corporation 2017 Performance Incentive Plan) (Filed as Exhibit 10.2 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on October 28, 2011)* | ||||||||
Form of Notice of Grant of Stock Units and Stock Unit Award Agreement - Executives, under the Western Digital Corporation 2017 Performance Incentive Plan (Filed as Exhibit 10.1.3 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on February 6, 2018)*
|
||||||||
Form of Notice of Grant of Stock Units and Stock Unit Award Agreement, under the Western Digital Corporation 2017 Performance Incentive Plan (Filed as Exhibit 10.1.4 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on February 6, 2018)*
|
||||||||
Form of Notice of Grant of Performance Stock Units and Performance Stock Unit Award Agreement - Financial Measures, under the Western Digital Corporation 2017 Performance Incentive Plan (Filed as Exhibit 10.1 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on November 6, 2018)*
|
||||||||
Form of Notice of Grant of Performance Stock Units and Performance Stock Unit Award Agreement - TSR Measure, under the Western Digital Corporation 2017 Performance Incentive Plan (Filed as Exhibit 10.2 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on November 6, 2018)*
|
||||||||
Form of Notice of Grant of Performance Stock Units and Performance Stock Unit Award Agreement - Financial Measures, under the Western Digital Corporation 2017 Performance Incentive Plan (Filed as Exhibit 10.1 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on November 12, 2019)* | ||||||||
Form of Notice of Grant of Performance Stock Units and Performance Stock Unit Award Agreement - TSR Measure, under the Western Digital Corporation 2017 Performance Incentive Plan (Filed as Exhibit 10.2 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on November 12, 2019)* | ||||||||
Form of Notice of Grant of Stock Option and Option Agreement - Executives, as amended on November 3, 2015, under the Western Digital Corporation Amended and Restated 2004 Performance Incentive Plan (now named the Western Digital Corporation 2017 Performance Incentive Plan) (Filed as Exhibit 10.1.1 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on February 10, 2016)* | ||||||||
Form of Notice of Grant of Stock Units and Stock Unit Award Agreement - Executives, as amended on November 3, 2015, under the Western Digital Corporation Amended and Restated 2004 Performance Incentive Plan (now named the Western Digital Corporation 2017 Performance Incentive Plan) (Filed as Exhibit 10.1.3 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on February 10, 2016)* |
Exhibit
Number |
Description | |||||||
Form of Notice of Grant of Stock Units and Stock Unit Award Agreement, as amended on November 3, 2015, under the Western Digital Corporation Amended and Restated 2004 Performance Incentive Plan (now named the Western Digital Corporation 2017 Performance Incentive Plan) (Filed as Exhibit 10.1.4 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on February 10, 2016)* | ||||||||
Western Digital Corporation 2017 Performance Incentive Plan Non-Employee Director Restricted Stock Unit Grant Program, as amended November 1, 2017 (Filed as Exhibit 10.2 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on February 6, 2018)* | ||||||||
Form of Notice of Grant of Restricted Stock Units and Restricted Stock Unit Award Agreement - Vice President and Above under the Western Digital Corporation 2017 Performance Incentive Plan (Filed as Exhibit 10.3 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on November 6, 2018)*
|
||||||||
Form of Notice of Grant of Restricted Stock Units and Restricted Stock Unit Award Agreement - Vice President and Above under the Western Digital Corporation 2017 Performance Incentive Plan (Filed as Exhibit 10.3 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on November 12, 2019)*
|
||||||||
Form of Notice of Grant of Restricted Stock Units and Restricted Stock Unit Award Agreement under the Western Digital Corporation 2017 Performance Incentive Plan (Filed as Exhibit 10.4 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on November 6, 2018)*
|
||||||||
Notice of Grant of Restricted Stock Units and Restricted Stock Unit Award Agreement – CEO Sign-On Award (Filed as Exhibit 10.2 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on May 8, 2020)*
|
||||||||
Notice of Grant of Performance Stock Units and Performance Stock Unit Award – TSR Measure (CEO Sign-On Award) (Filed as Exhibit 10.3 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on May 8, 2020)* | ||||||||
Western Digital Corporation Executive Short-Term Incentive Plan (supersedes the Western Digital Corporation Incentive Compensation Plan), dated August 7, 2019 (Filed as Exhibit 10.4 to the Company’s Quarterly Report on Form 10‑Q (File No. 1-08703) with the Securities and Exchange Commission on November 12, 2019)* | ||||||||
Western Digital Corporation Amended and Restated 2005 Employee Stock Purchase Plan, as amended August 2, 2018 (Filed as Exhibit 10.2 to the Company’s Current Report on Form 8-K (File No. 1-08703) with the Securities and Exchange Commission on November 7, 2018)* | ||||||||
SanDisk Corporation 2013 Incentive Plan (Filed as Exhibit 4.2 to the Company’s Registration Statement on Form S-8 (File No. 333-211420) with the Securities and Exchange Commission on May 17, 2016)* | ||||||||
Amended and Restated Deferred Compensation Plan, amended and restated effective January 1, 2013 (Filed as Exhibit 10.4 to the Company’s Annual Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on November 2, 2012)*
|
||||||||
Western Digital Corporation Amended and Restated Change of Control Severance Plan, amended and restated as of November 3, 2015 (Filed as Exhibit 10.2 to the Company’s Current Report on Form 8-K (File No. 1-08703) with the Securities and Exchange Commission on November 5, 2015)*
|
||||||||
Western Digital Corporation Executive Severance Plan, amended and restated as of February 2, 2017 (Filed as Exhibit 10.3 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on February 7, 2017)*
|
||||||||
Form of Indemnity Agreement for Directors of Western Digital Corporation (Filed as Exhibit 10.4 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on November 8, 2002)* | ||||||||
Form of Indemnity Agreement for Officers of Western Digital Corporation (Filed as Exhibit 10.5 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on November 8, 2002)* | ||||||||
Form of Indemnification Agreement entered into between SanDisk Corporation and its directors and officers (Filed as Exhibit 10.10 to the Company’s Annual Report on Form 10-K (File No. 1-08703) with the Securities and Exchange Commission on August 24, 2018)* | ||||||||
Offer Letter, dated as of February 18, 2020, to David Goeckeler (Filed as Exhibit 10.1 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on May 8, 2020)* | ||||||||
Retention Agreement, dated April 1, 2020, with Michael Cordano†* | ||||||||
Loan Agreement, dated as of April 29, 2016, by and among Western Digital Corporation, JPMorgan Chase Bank, N.A., as administrative agent and collateral agent, and the lenders and financial institutions from time to time party thereto (Filed as Exhibit 10.4 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on May 9, 2016) | ||||||||
Amendment No. 1, dated as of August 17, 2016, to the Loan Agreement dated as of April 29, 2016, by and among Western Digital Corporation, JPMorgan Chase Bank, N.A., as administrative agent and collateral agent, the lenders party thereto and the other loan parties thereto (Filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K (File No. 1-08703) with the Securities and Exchange Commission on August 18, 2016) |
Exhibit
Number |
Description | |||||||
Amendment No. 2, dated as of September 22, 2016, to the Loan Agreement dated as of April 29, 2016, by and among Western Digital Corporation, JPMorgan Chase Bank, N.A., as administrative agent and collateral agent, the lenders party thereto and the other loan parties thereto (Filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K (File No. 1-08703) with the Securities and Exchange Commission on September 22, 2016) | ||||||||
Amendment No. 3, dated as of March 14, 2017, to the Loan Agreement dated as of April 29, 2016, by and among Western Digital Corporation, JPMorgan Chase Bank, N.A., as administrative agent and collateral agent, the lenders party thereto and the other loan parties thereto (Filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K (File No. 1-08703) with the Securities and Exchange Commission on March 14, 2017) | ||||||||
Amendment No. 4, dated as of March 23, 2017, to the Loan Agreement dated as of April 29, 2016, by and among Western Digital Corporation, JPMorgan Chase Bank, N.A., as administrative agent and collateral agent, the lenders party thereto and the other loan parties thereto (Filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K (File No. 1-08703) with the Securities and Exchange Commission on March 23, 2017) | ||||||||
Amendment No. 5, dated as of November 8, 2017, to the Loan Agreement dated as of April 29, 2016, by and among Western Digital Corporation, JPMorgan Chase Bank, N.A., as administrative agent and collateral agent, the lenders party thereto and the other loan parties thereto (Filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K (File No. 1-08703) with the Securities and Exchange Commission on November 8, 2017) | ||||||||
Amendment No. 6, dated as of November 29, 2017, to the Loan Agreement dated as of April 29, 2016, by and among Western Digital Corporation, JPMorgan Chase Bank, N.A., as administrative agent and collateral agent, the lenders party thereto and the other loan parties thereto (Filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K (File No. 1-08703) with the Securities and Exchange Commission on November 29, 2017) | ||||||||
Amendment No. 7, dated as of February 27, 2018, to the Loan Agreement dated as of April 29, 2016, by and among Western Digital Corporation, JPMorgan Chase Bank, N.A., as administrative agent and collateral agent, the lenders party thereto and the other loan parties thereto (Filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K (File No. 1-08703) with the Securities and Exchange Commission on February 27, 2018) | ||||||||
Amendment No. 8, dated as of May 15, 2018, to the Loan Agreement dated as of April 29, 2016, by and among Western Digital Corporation, JPMorgan Chase Bank, N.A., as administrative agent and collateral agent, the lenders party thereto and the other loan parties thereto (Filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K (File No. 1-08703) with the Securities and Exchange Commission on May 15, 2018) | ||||||||
Amendment No. 9, dated as of April 29, 2019, to the Loan Agreement dated as of April 29, 2016, by and among Western Digital Corporation, JPMorgan Chase Bank, N.A., as administrative agent and collateral agent, the lenders party thereto and the other loan parties thereto (Filed as Exhibit 10.2 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on May 7, 2019) | ||||||||
Amendment No. 10, dated as of July 2, 2020, to the Loan Agreement dated as of April 29, 2016, by and between Western Digital Corporation and JPMorgan Chase Bank, N.A., as administrative agent† | ||||||||
Guaranty Agreement, dated as of April 29, 2016, by and among Western Digital Corporation, the subsidiary guarantors party thereto and JPMorgan Chase Bank, N.A., as administrative agent for the guaranteed creditors (Filed as Exhibit 10.2 to the Company’s Current Report on Form 8-K (File No.1-08703) with the Securities and Exchange Commission on April 29, 2016) | ||||||||
Security Agreement, dated as of May 12, 2016, by and among the debtors (as defined therein) party thereto and JPMorgan Chase Bank, N.A., as collateral agent (Filed as Exhibit 10.2 to the Company’s Current Report on Form 8-K (File No. 1-08703) with the Securities and Exchange Commission on May 12, 2016) | ||||||||
Flash Alliance Master Agreement, dated as of July 7, 2006, by and among SanDisk Corporation, Toshiba Corporation and SanDisk (Ireland) Limited (Filed as Exhibit 10.1 to SanDisk Corporation’s Quarterly Report on Form 10-Q (File No. 000-26734) with the Securities and Exchange Commission on November 8, 2006)# | ||||||||
Operating Agreement of Flash Alliance, Ltd., dated as of July 7, 2006, by and between Toshiba Corporation and SanDisk (Ireland) Limited (Filed as Exhibit 10.2 to SanDisk Corporation’s Quarterly Report on Form 10-Q (File No. 000-26734) with the Securities and Exchange Commission on November 8, 2006)# | ||||||||
Joint Venture Restructure Agreement, dated as of January 29, 2009, by and among SanDisk Corporation, SanDisk (Ireland) Limited, SanDisk (Cayman) Limited, Toshiba Corporation, Flash Partners Limited and Flash Alliance Limited (Filed as Exhibit 10.1 to SanDisk Corporation’s Quarterly Report on Form 10-Q (File No. 000-26734) with the Securities and Exchange Commission on May 7, 2009)# | ||||||||
New Y2 Facility Agreement, dated October 20, 2015, by and among SanDisk Corporation, SanDisk (Ireland) Limited, SanDisk (Cayman) Limited, SanDisk Flash B.V., Toshiba Corporation, Flash Partners Limited, Flash Alliance Limited and Flash Forward Limited (Filed as Exhibit 10.37 to SanDisk Corporation’s Annual Report on Form 10-K (File No. 000-26734) with the Securities and Exchange Commission on February 12, 2016)# | ||||||||
FAL Commitment and Extension Agreement, dated as of December 12, 2017, by and among Western Digital Corporation, SanDisk LLC, SanDisk (Ireland) Limited and Toshiba Memory Corporation (Filed as Exhibit 10.6 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on February 6, 2018)# | ||||||||
Y6 Facility Agreement, dated as of December 12, 2017, by and among Western Digital Corporation, SanDisk LLC, SanDisk (Cayman) Limited, SanDisk (Ireland) Limited, SanDisk Flash B.V., Flash Partners, Ltd., Flash Alliance, Ltd., Flash Forward, Ltd. and Toshiba Memory Corporation (Filed as Exhibit 10.7 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on February 6, 2018)# |
Exhibit
Number |
Description | |||||||
K1 Facility Agreement, dated as of May 15, 2019, by and among Western Digital, SanDisk LLC, SanDisk (Cayman) Limited, SanDisk (Ireland) Limited, SanDisk Flash B.V., Flash Partners, Ltd., Flash Alliance, Ltd., Flash Forward Ltd., Toshiba Memory Corporation and Toshiba Memory Corporation Iwate (Filed as Exhibit 10.21 to the Company’s Annual Report on Form 10-K (File No. 1-08703) with the Securities and Exchange Commission on August 27, 2019## | ||||||||
Confidential Settlement and Mutual Release Agreement, dated as of December 12, 2017, by and among Western Digital Corporation, SanDisk LLC, SanDisk (Cayman) Limited, SanDisk (Ireland) Limited, SanDisk Flash B.V., Toshiba Corporation and Toshiba Memory Corporation (Filed as Exhibit 10.8 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on February 6, 2018)# | ||||||||
Confidential Settlement and Mutual Release Agreement, dated as of December 12, 2017, by and among Western Digital Corporation, SanDisk LLC, SanDisk (Cayman) Limited, SanDisk (Ireland) Limited, SanDisk Flash B.V., Bain Capital Private Equity, L.P., BCPE Pangea Cayman, L.P., BCPE Pangea Cayman2, Ltd., Bain Capital Fund XII, L.P., Bain Capital Asia Fund III, L.P. and K.K. Pangea (Filed as Exhibit 10.9 to the Company’s Quarterly Report on Form 10-Q (File No. 1-08703) with the Securities and Exchange Commission on February 6, 2018)# | ||||||||
Subsidiaries of Western Digital Corporation† | ||||||||
Consent of Independent Registered Public Accounting Firm† | ||||||||
Certification of Principal Executive Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002† | ||||||||
Certification of Principal Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002† | ||||||||
Certification of Chief Executive Officer Pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002** | ||||||||
Certification of Chief Financial Officer Pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002** | ||||||||
101.INS | XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document. | |||||||
101.SCH | XBRL Taxonomy Extension Schema Document† | |||||||
101.CAL | XBRL Taxonomy Extension Calculation Linkbase Document† | |||||||
101.LAB | XBRL Taxonomy Extension Label Linkbase Document† | |||||||
101.PRE | XBRL Taxonomy Extension Presentation Linkbase Document† | |||||||
101.DEF | XBRL Taxonomy Extension Definition Linkbase Document† | |||||||
104 | Cover Page Interactive Data File - formatted in Inline XBRL and contained in Exhibit 101 |
WESTERN DIGITAL CORPORATION | |||||||||||
By: | /s/ Gene Zamiska | ||||||||||
Gene Zamiska | |||||||||||
Vice President, Global Accounting and Chief Accounting Officer | |||||||||||
(Principal Accounting Officer) |
Signature | Title | Date | ||||||||||||
/s/ David V. Goeckeler |
Chief Executive Officer, Director
(Principal Executive Officer) |
August 27, 2020 | ||||||||||||
David V. Goeckeler | ||||||||||||||
/s/ Robert K. Eulau |
Executive Vice President and Chief Financial Officer
(Principal Financial Officer) |
August 27, 2020 | ||||||||||||
Robert K. Eulau | ||||||||||||||
/s/ Gene Zamiska |
Vice President, Global Accounting and Chief Accounting Officer
(Principal Accounting Officer) |
August 27, 2020 | ||||||||||||
Gene Zamiska | ||||||||||||||
/s/ Matthew E. Massengill | Chairman of the Board | August 27, 2020 | ||||||||||||
Matthew E. Massengill | ||||||||||||||
/s/ Kimberly E. Alexy | Director | August 27, 2020 | ||||||||||||
Kimberly E. Alexy | ||||||||||||||
/s/ Martin I. Cole | Director | August 27, 2020 | ||||||||||||
Martin I. Cole | ||||||||||||||
/s/ Kathleen A. Cote | Director | August 27, 2020 | ||||||||||||
Kathleen A. Cote | ||||||||||||||
/s/ Tunҫ Doluca
|
Director | August 27, 2020 | ||||||||||||
Tunҫ Doluca | ||||||||||||||
/s/ Paula A. Price | Director | August 27, 2020 | ||||||||||||
Paula A. Price | ||||||||||||||
/s/ Stephanie A. Streeter | Director | August 27, 2020 | ||||||||||||
Stephanie A. Streeter |
/s/Lori Sundberg
|
||||||||||||||
Lori Sundberg | ||||||||||||||
EVP & CHRO | ||||||||||||||
Western Digital Corporation |
/s/Michael Cordano
|
Date: April 1, 2020
|
|||||||||||||
Michael Cordano |
WESTERN DIGITAL CORPORATION
|
By: |
/s/Robert K. Eulau
|
|||||||||||||
Name: Robert K. Eulau | ||||||||||||||
Title: Chief Financial Officer |
JPMORGAN CHASE BANK, N.A., as | |||||||||||
Administrative Agent |
By: |
/s/Timothy Lee
|
|||||||||||||
Name: Timothy Lee | ||||||||||||||
Title: Executive Director |
Name of Entity |
State or Other Jurisdiction of Incorporation or Organization | ||||
Amplidata N.V. | Belgium | ||||
EasyStore Memory Limited | Ireland | ||||
Fusion Multisystems Ltd. | Canada | ||||
Fusion-io (Beijing) Info Tech Co., Ltd | China | ||||
Fusion-io Holdings S.A.R.L. | Luxembourg | ||||
Fusion-io LLC | Delaware | ||||
Fusion-io Poland SP.Z.O.O. | Poland | ||||
Fusion-io Singapore Private Ltd | Singapore | ||||
HGSP (Shenzhen) Co., Ltd. | China | ||||
HGSP Holdco Hong Kong Limited | Hong Kong | ||||
HGST (Shenzhen) Co., Ltd. | China | ||||
HGST (Thailand) Ltd. | Thailand | ||||
HGST Asia Pte. Ltd. | Singapore | ||||
HGST Consulting (Shanghai) Co., Ltd. | China | ||||
HGST Europe, Ltd. | United Kingdom | ||||
HGST Japan, Ltd. | Japan | ||||
HGST Malaysia Sdn. Bhd. | Malaysia | ||||
HGST Netherlands B.V. | Netherlands | ||||
HGST Philippines Corp. | Philippines | ||||
HGST Singapore Pte. Ltd. | Singapore | ||||
HGST Technologies India Private Limited | India | ||||
HGST Technologies Malaysia Sdn. Bhd. | Malaysia | ||||
HGST, Inc. | Delaware | ||||
HICAP Properties Corp. | Philippines | ||||
Keen Personal Media, Inc. | Delaware | ||||
Pacifica Insurance Corporation | Hawaii | ||||
Prestadora SD, S. de R.L. de C.V. | Mexico | ||||
Read-Rite Philippines, Inc. | Philippines | ||||
Sandbox Expansion LLC | Delaware | ||||
SanDisk (Cayman) Limited | Cayman Islands | ||||
SanDisk (Ireland) Limited | Ireland | ||||
SanDisk 3D IP Holdings Ltd | Cayman Islands | ||||
SanDisk B.V. | Netherlands | ||||
SanDisk Bermuda Limited | Bermuda | ||||
SanDisk Bermuda Unlimited | Bermuda | ||||
SanDisk BiCS IP Holdings Ltd | Cayman Islands | ||||
SanDisk Brasil Participações Ltda. | Brazil | ||||
SanDisk C.V. | Netherlands |
SanDisk China Limited | Ireland | ||||
SanDisk China LLC | Delaware | ||||
SanDisk Equipment Y.K. | Japan | ||||
SanDisk Flash B.V. | Netherlands | ||||
SanDisk France SAS | France | ||||
SanDisk G.K. | Japan | ||||
SanDisk GmbH | Germany | ||||
SanDisk Holding B.V. | Netherlands | ||||
SanDisk Hong Kong Limited | Hong Kong | ||||
SanDisk India Device Design Centre Private Limited | India | ||||
SanDisk Information Technology (Shanghai) Co. Ltd. | China | ||||
SanDisk International Holdco B.V. | Netherlands | ||||
SanDisk International Limited | Ireland | ||||
SanDisk International Middle East FZE | United Arab Emirates | ||||
SanDisk Italy S.R.L. | Italy | ||||
SanDisk Korea Limited | Korea | ||||
SanDisk Latin America Holdings LLC | Delaware | ||||
SanDisk LLC | Delaware | ||||
SanDisk Malaysia Sdn. Bhd. | Malaysia | ||||
SanDisk Manufacturing Americas, LLC | Delaware | ||||
SanDisk Manufacturing Unlimited Company | Ireland | ||||
SanDisk Operations Holdings Limited | Ireland | ||||
SanDisk Pazarlama Ve Ticaret Limited Sirketi | Turkey | ||||
SanDisk Scotland, Limited | United Kingdom | ||||
SanDisk Semiconductor (Shanghai) Co. Ltd. | China | ||||
SanDisk Spain, S.L.U. | Spain | ||||
SanDisk Storage Malaysia Sdn. Bhd. | Malaysia | ||||
SanDisk Sweden AB | Sweden | ||||
SanDisk Switzerland Sarl | Switzerland | ||||
SanDisk Taiwan Limited | Taiwan | ||||
SanDisk Technologies LLC | Texas | ||||
SanDisk Technologies India Private Limited (formerly known as Tegile Systems Private Limited) | India | ||||
SanDisk Trading (Shanghai) Co. Ltd. | China | ||||
SanDisk Trading Holdings Limited | Ireland | ||||
SanDisk UK, Limited | United Kingdom | ||||
SanDisk, Limited | Japan | ||||
SD International Holdings Ltd. | Cayman Islands | ||||
SMART Storage Systems GmbH | Austria | ||||
STEC Bermuda, LP | Bermuda | ||||
STEC Europe B.V. | Netherlands | ||||
STEC International Holding, Inc. | California | ||||
STEC Italy SRL | Italy |
STEC R&D Limited | Cayman Islands | ||||
Suntech Realty, Inc. | Philippines | ||||
Virident Systems International Holdings Ltd. | Cayman Islands | ||||
Virident Systems, LLC | Delaware | ||||
WD Media (Malaysia) Sdn. | Malaysia | ||||
WD Media (Singapore) Pte. Ltd. | Singapore | ||||
Western Digital (Argentina) S.A. | Argentina | ||||
Western Digital (France) SARL | France | ||||
Western Digital (I.S.) Limited | Ireland | ||||
Western Digital (Malaysia) Sdn. Bhd. | Malaysia | ||||
Western Digital (S.E. Asia) Pte Ltd | Singapore | ||||
Western Digital (Singapore) Pte. Ltd. | Singapore | ||||
Western Digital (Thailand) Company Limited | Thailand | ||||
Western Digital (UK) Limited | United Kingdom | ||||
Western Digital Australia Pty Ltd | Australia | ||||
Western Digital Canada Corporation | Ontario, Canada | ||||
Western Digital Capital Global, Ltd. | Cayman Islands | ||||
Western Digital Capital, LLC
Western Digital Denmark ApS |
Delaware
Denmark |
||||
Western Digital Deutschland GmbH | Germany | ||||
Western Digital Do Brasil Comercio E Distribuicao De Produtos De Informatica Ltda. | Brazil | ||||
Western Digital Federal, LLC | Delaware | ||||
Western Digital Hong Kong Limited | Hong Kong | ||||
Western Digital Information Technology (Shanghai) Company Ltd. | China | ||||
Western Digital International Ltd. | Cayman Islands | ||||
Western Digital Ireland, Ltd. | Cayman Islands | ||||
Western Digital Israel Ltd. (formerly known as SanDisk IL Ltd.) | Israel | ||||
Western Digital Japan Ltd. | Japan | ||||
Western Digital Korea, Ltd. | Korea | ||||
Western Digital Latin America, Inc. | Delaware | ||||
Western Digital Netherlands B.V. | Netherlands | ||||
Western Digital Taiwan Co., Ltd. | Taiwan | ||||
Western Digital Tech and Regional Center (M) Sdn. Bhd. | Malaysia | ||||
Western Digital Technologies, Inc. | Delaware |
/s/ David V. Goeckeler | |||||
David V. Goeckeler | |||||
Chief Executive Officer |
/s/ Robert K. Eulau | |||||
Robert K. Eulau | |||||
Executive Vice President and Chief Financial Officer
(Principal Financial Officer) |
/s/ David V. Goeckeler | |||||
David V. Goeckeler | |||||
Chief Executive Officer |
/s/ Robert K. Eulau | |||||
Robert K. Eulau | |||||
Executive Vice President and Chief Financial Officer
(Principal Financial Officer) |