þ | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
o | 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.) |
|
20511 Lake Forest Drive
Lake Forest, California |
92630 | |
(Address of principal executive offices) | (Zip code) |
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Exhibit 3.1 | ||||||||
Exhibit 10.1.3 | ||||||||
Exhibit 10.6 | ||||||||
Exhibit 10.7 | ||||||||
Exhibit 10.27.3 | ||||||||
Exhibit 10.29.2 | ||||||||
Exhibit 10.29.3 | ||||||||
Exhibit 10.35.1 | ||||||||
Exhibit 31.1 | ||||||||
Exhibit 31.2 | ||||||||
Exhibit 32.1 | ||||||||
Exhibit 32.2 |
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
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THREE MONTHS ENDED
SIX MONTHS ENDED
DEC. 30,
DEC. 31,
DEC. 30,
DEC. 31,
2005
2004
2005
2004
$
1,117.1
$
954.9
$
2,127.0
$
1,778.5
888.8
804.7
1,720.4
1,515.2
228.3
150.2
406.6
263.3
76.2
59.7
146.2
113.7
47.8
33.9
88.2
61.8
124.0
93.6
234.4
175.5
104.3
56.6
172.2
87.8
3.7
1.7
7.1
2.5
0.9
0.9
1.8
1.7
2.8
0.8
5.3
0.8
107.1
57.4
177.5
88.6
2.8
1.4
4.4
2.2
$
104.3
$
56.0
$
173.1
$
86.4
$
.49
$
.27
$
.81
$
.42
$
.47
$
.26
$
.78
$
.41
212.8
205.1
212.9
205.1
221.5
213.6
221.3
213.1
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SIX MONTHS ENDED
DEC. 30,
DEC. 31,
2005
2004
$
173.1
$
86.4
74.2
61.0
15.8
0.5
7.0
(25.4
)
(77.3
)
(15.4
)
30.4
11.1
86.6
(17.4
)
52.8
(56.3
)
0.2
(10.5
)
(4.5
)
156.2
236.1
(102.2
)
(105.5
)
(54.0
)
(73.7
)
72.7
(83.5
)
(179.2
)
29.2
17.1
(26.3
)
(23.3
)
(10.6
)
(9.7
)
(7.7
)
(15.9
)
65.0
41.0
485.2
345.5
$
550.2
$
386.5
$
2.8
$
1.1
$
1.5
$
1.0
$
14.7
$
4.3
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DEC. 30,
JUL. 1,
2005
2005
$
17.6
$
14.5
58.4
59.7
92.3
78.7
$
168.3
$
152.9
THREE MONTHS
SIX MONTHS
ENDED
ENDED
DEC. 30,
DEC. 31,
DEC. 30,
DEC. 31,
2005
2004
2005
2004
$
96.3
$
65.3
$
91.9
$
56.8
19.4
25.3
40.8
43.7
(10.3
)
(11.5
)
(20.0
)
(24.1
)
(10.1
)
2.4
(17.4
)
5.1
$
95.3
$
81.5
$
95.3
$
81.5
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THREE MONTHS
SIX MONTHS
ENDED
ENDED
DEC. 30,
DEC. 31,
DEC. 30,
DEC. 31,
2005
2004
2005
2004
$
104.3
$
56.0
$
173.1
$
86.4
212.8
205.1
212.9
205.1
8.7
8.5
8.4
8.0
221.5
213.6
221.3
213.1
$
.49
$
.27
$
.81
$
.42
$
.47
$
.26
$
.78
$
.41
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THREE
SIX
MONTHS
MONTHS
ENDED
ENDED
DEC. 31,
DEC. 31,
2004
2004
$
56.0
$
86.4
0.3
0.5
(7.3
)
(13.2
)
$
49.0
$
73.7
$
.27
$
.42
$
.24
$
.36
$
.26
$
.41
$
.23
$
.35
THREE
SIX
MONTHS
MONTHS
ENDED
ENDED
DEC. 30,
DEC. 30,
2005
2005
1.52
1.54
4.35% to 4.41%
4.01% to 4.41%
0.42 to 0.81
0.38 to 0.82
0.67
0.67
15.01%
15.13%
$5.37
$5.52
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THREE
SIX
MONTHS
MONTHS
ENDED
ENDED
DEC. 31,
DEC. 31,
2004
2004
4.52
4.51
3.25
%
3.23
%
0.76
0.74
$
5.41
$
5.33
DEC. 30,
DEC. 31,
2005
2004
1.25
1.25
4.38
%
2.02
%
0.42
0.58
$
3.70
$
2.81
Weighted Average
Remaining
Aggregate
Number
Exercise Price
Contractual Life
Intrinsic
of Shares
Per Share
(in years)
Value
19.5
$
9.39
0.2
14.27
(0.7
)
7.24
(0.4
)
10.32
18.6
9.52
6.05
$
81.8
0.5
13.62
(2.3
)
7.15
(0.1
)
11.63
16.7
9.96
6.01
$
154.4
10.4
$
9.59
5.45
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DEC. 30,
JUL. 1,
2005
2005
$
31.3
$
37.5
25.5
15.2
56.8
52.7
(24.9
)
(20.1
)
$
31.9
$
32.6
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the overall growth of PC sales in established markets;
the growth in emerging economies, such as Brazil, Russia, India and China, driving the
increased deployment of PCs;
the increasing needs of businesses and individuals to store larger amounts of data on
their PCs;
the increasing sales of notebook computers that may have shorter replacement cycles
and/or additional sales for individuals to have both a desktop and a notebook computer;
the continuing development of software applications to manage multimedia content; and
the increasing use of broadband Internet, including downloading content from the
Internet onto PC hard disk drives.
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THREE MONTHS ENDED
SIX MONTHS ENDED
DEC. 30, 2005
DEC. 31, 2004
DEC. 30, 2005
DEC. 31, 2004
$
1,117.1
100.0
%
$
954.9
100.0
%
$
2,127.0
100.0
%
$
1,778.5
100.0
%
228.3
20.4
150.2
15.7
406.6
19.1
263.3
14.8
124.0
11.1
93.6
9.8
234.4
11.0
175.5
9.9
104.3
9.3
56.6
5.9
172.2
8.1
87.8
4.9
104.3
9.3
56.0
5.9
173.1
8.1
86.4
4.9
Table of Contents
manufacturing efficiencies,
lower customer returns resulting from ongoing quality improvements, which favorably
impacted warranty obligations,
more moderate price declines, and
an increase in the average storage capacity of hard disk drives sold during the quarter.
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SIX MONTHS ENDED
DEC. 30,
DEC. 31,
2005
2004
$
156
$
236
(83
)
(179
)
(8
)
(16
)
$
65
$
41
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SIX MONTHS ENDED
DEC. 30,
DEC. 31,
2005
2004
38
41
18
16
(65
)
(64
)
(9
)
(7
)
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maintain overall quality of products on new and established programs,
maintain competitive cost structures on new and established products,
produce sufficient quantities of products at the capacities our customers demand while
managing the integration of new and established technologies,
develop and qualify new products that have changes in overall specifications or
features that our customers may require for their business needs,
obtain commitments from our customers to qualify new products, redesigns of current
products, or new components in our existing products,
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qualify these products with key customers on a timely basis by meeting all of our
customers needs for performance, quality and features,
maintain an adequate supply of components required to manufacture our products,
maintain the manufacturing capability to quickly change our product mix between
different capacities, form factors and spin speeds in response to changes in customers
product demands, or
consistently meet stated quality requirements on delivered products,
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insufficient head sources in the event that we are unable to manufacture a sufficient
supply of heads to satisfy our needs;
third party head suppliers may not continue to do business with us or may not do
business with us on the same terms and conditions we have previously enjoyed;
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claims that our manufacturing of heads may infringe certain intellectual property
rights of other companies; and
difficulties locating suitable manufacturing equipment for our head manufacturing
processes and replacement parts for such equipment.
obtaining requisite United States of America and foreign governmental permits and approvals;
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currency exchange rate fluctuations or restrictions;
political instability and civil unrest;
limited transportation availability, delays, and extended time required for shipping,
which risks may be compounded in periods of price declines;
higher freight rates;
labor problems;
trade restrictions or higher tariffs;
exchange, currency and tax controls and reallocations;
increasing labor and overhead costs; and
loss or non-renewal of favorable tax treatment under agreements or treaties with foreign tax authorities.
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the timing of orders from and shipment of products to major customers;
our product mix;
changes in the prices of our products;
manufacturing delays or interruptions;
acceptance by customers of competing products in lieu of our products;
variations in the cost of components for our products;
limited availability of components that we obtain from a single or a limited number of suppliers;
competition and consolidation in the data storage industry;
seasonal and other fluctuations in demand for PCs often due to technological advances; and
availability and rates of transportation.
accruals for warranty costs related to product defects;
price protection adjustments and other sales promotions and allowances on products sold
to retailers, resellers and distributors;
inventory adjustments for write-down of inventories to lower of cost or market value
(net realizable value);
reserves for doubtful accounts;
accruals for product returns;
accruals for litigation and other contingencies; and
reserves for deferred tax assets.
actual or anticipated fluctuations in our operating results;
announcements of technological innovations by us or our competitors which may decrease
the volume and profitability of sales of our existing products and increase the risk of
inventory obsolescence;
new products introduced by us or our competitors;
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periods of severe pricing pressures due to oversupply or price erosion resulting from
competitive pressures or industry consolidation;
developments with respect to patents or proprietary rights;
conditions and trends in the hard disk drive, computer, data and content management,
storage and communication industries; and
changes in financial estimates by securities analysts relating specifically to us or
the hard disk drive industry in general.
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December 30, 2005
Contract
Weighted Average
Unrealized
Amount
Contract Rate*
Gain (Loss)
$
191.2
40.94
$
0.2
$
1.1
0.84
$
1.7
0.58
*
Expressed in units of foreign currency per U.S. dollar.
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35
36
37
38
Total Number of
Maximum Value of
Shares Purchased
Shares that May Yet
Total Number
As Part of Publicly
be Purchased
of Shares
Average Price
Announced
Under the
Purchased
Paid per Share
Program
Program(1)
$
$
25,185,277
1,000,000
$
12.0261
1,000,000
$
163,159,179
$
$
163,159,179
1,000,000
$
12.0261
1,000,000
$
163,159,179
(1)
On November 21, 2005, the Company announced that its Board of Directors had authorized the
Company to repurchase an additional $150 million of the Companys common stock in open market
transactions. The new $150 million authorization is in addition to the Companys Board of
Directors original authorization to purchase $100 million of the Companys common stock
announced on May 5, 2004. The term of the program is a five year period from November 17,
2005 to November 17, 2010.
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FOR
WITHHELD
192,092,723
6,478,876
197,874,911
696,688
197,379,834
1,191,765
192,949,918
5,621,681
197,133,248
1,438,351
192,806,928
5,764,671
197,080,897
1,490,702
192,821,421
5,750,178
192,750,922
5,820,677
BROKER
FOR
AGAINST
ABSTAIN
NON-VOTES
141,134,948
21,768,471
195,268
35,472,911
136,578,887
26,324,377
195,423
35,472,911
191,361,039
7,077,735
131,824
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Exhibit No.
Description
Amended and Restated Certificate of Incorporation of Western Digital Corporation,
as amended to date
Amended and Restated Bylaws of Western Digital Corporation, as adopted September
20, 2005, Incorporated by reference to the Companys Current Report on Form 8-K
(File No. 1-08703), as filed with the Securities and Exchange Commission on
September 26, 2005)
Western Digital Corporation Amended and Restated 2004 Performance Incentive Plan,
effective as of November 17, 2005 (Incorporated by reference to the Companys
Current Report on Form 8-K (File No. 1-08703), as filed with the Securities and
Exchange Commission on November 23, 2005)*
Western Digital Corporation Amended and Restated 2004 Performance Incentive Plan
Non-Employee Director Option Grant Program, effective as of November 17, 2005,
and Form of Notice of Grant of Stock Option and Option Agreement Non-Employee
Directors*
Western Digital Corporation 2005 Employee Stock Purchase Plan, effective as of
November 17, 2005 (Incorporated by reference to the Companys Current Report on
Form 8-K (File No. 1-08703), as filed with the Securities and Exchange Commission
on November 23, 2005)*
Amended and Restated Western Digital Corporation Non-Employee Directors
Stock-For-Fees Plan, effective as of November 17, 2005*
Western Digital Corporation Amended and Restated 2004 Performance Incentive Plan Non-Employee Director Restricted
Stock Unit Program, effective as of November 17, 2005*
Western Digital Corporation Summary of Compensation Arrangements for Named
Executive Officers and Directors (Incorporated by reference to the Companys
Current Report on Form 8-K (File No. 1-08703), as filed with the Securities and
Exchange Commission on November 23, 2005)*
Fourth Amendment to Lease, dated as of December 21, 2005, between Trinet
Essential Facilities XXVI, Inc. and Western Digital Technologies, Inc.
Amendment No. 2 to Volume Purchase Agreement, dated as of November 29, 2005, by
and between Komag USA (Malaysia) Sdn., Komag, Incorporated, and Western Digital
Technologies, Inc.§
Amendment No. 3 to Volume Purchase Agreement, dated as of January 31, 2006, by
and between Komag USA (Malaysia) Sdn., Komag, Incorporated, and Western Digital
Technologies, Inc.§
Letter Agreement, dated May 25, 2005, between the Company and John F. Coyne
(Incorporated by reference to the Companys Current Report on Form 8-K (File No.
1-08703), as filed with the Securities and Exchange Commission on November
23,
2005)
*
Letter Agreement, dated November 17, 2005, between the Company and John F. Coyne*
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
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Exhibit filed with this Report.
*
Compensation plan, contract or arrangement required to be filed as an exhibit pursuant to
applicable rules of the Securities and Exchange Commission.
§
Certain portions of this exhibit have been omitted pursuant to a confidential treatment
request filed separately
with the Securities and Exchange Commission.
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39
WESTERN DIGITAL CORPORATION
Registrant
/s/ Stephen D. Milligan
Stephen D. Milligan
Senior Vice President and Chief Financial Officer
(Principal Financial Officer)
/s/ Joseph R. Carrillo
Vice President and Corporate Controller
(Principal Accounting Officer)
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Exhibit No.
Description
Amended and Restated Certificate of Incorporation of Western Digital Corporation,
as amended to date
Amended and Restated Bylaws of Western Digital Corporation, as adopted September
20, 2005, Incorporated by reference to the Companys Current Report on Form 8-K
(File No. 1-08703), as filed with the Securities and Exchange Commission on
September 26, 2005)
Western Digital Corporation Amended and Restated 2004 Performance Incentive Plan,
effective as of November 17, 2005 (Incorporated by reference to the Companys
Current Report on Form 8-K (File No. 1-08703), as filed with the Securities and Exchange Commission on November 23, 2005)*
Western Digital Corporation Amended and Restated 2004 Performance Incentive Plan
Non-Employee Director Option Grant Program, effective as of November 17, 2005,
and Form of Notice of Grant of Stock Option and Option Agreement Non-Employee
Directors*
Western Digital Corporation 2005 Employee Stock Purchase Plan, effective as of
November 17, 2005 (Incorporated by reference to the Companys Current Report on
Form 8-K (File No. 1-08703), as filed with the Securities and Exchange Commission
on November 23, 2005)*
Amended and Restated Western Digital Corporation Non-Employee Directors
Stock-For-Fees Plan, effective as of November 17, 2005*
Western Digital Corporation Amended and Restated 2004 Performance Incentive Plan Non-Employee Director Restricted
Stock Unit Program, effective as of November 17, 2005*
Western Digital Corporation Summary of Compensation Arrangements for Named
Executive Officers and Directors (Incorporated by reference to the Companys
Current Report on Form 8-K (File No. 1-08703), as filed with the Securities and
Exchange Commission on November 23, 2005)*
Fourth Amendment to Lease, dated as of December 21, 2005, between Trinet
Essential Facilities XXVI, Inc. and Western Digital Technologies, Inc.
Amendment No. 2 to Volume Purchase Agreement, dated as of November 29, 2005, by
and between Komag USA (Malaysia) Sdn., Komag, Incorporated, and Western Digital
Technologies, Inc.§
Amendment No. 3 to Volume Purchase Agreement, dated as of January 31, 2006, by
and between Komag USA (Malaysia) Sdn., Komag, Incorporated, and Western Digital
Technologies, Inc.§
Letter Agreement, dated May 25, 2005, between the Company and John F. Coyne
(Incorporated by reference to the Companys Current Report on Form 8-K (File No.
1-08703), as filed with the Securities and Exchange Commission on November
23,
2005)
*
Letter Agreement, dated November 17, 2005, between the Company and John F. Coyne*
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
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Exhibit filed with this Report.
*
Compensation plan, contract or arrangement required to be filed as an exhibit pursuant to
applicable rules of the Securities and Exchange Commission.
§
Certain portions of this exhibit have been omitted pursuant to a confidential treatment
request filed separately
with the Securities and Exchange Commission.
|
STATE OF DELAWARE | |
|
SECRETARY OF STATE | |
|
DIVISION OF CORPORATIONS | |
|
FILED 09:00 AM 01/08/2002 | |
|
020011892 - 3308006 |
|
WESTERN DIGITAL CORPORATION, | |
|
a Delaware corporation | |
|
||
|
/s/ Michael A. Cornelius | |
|
||
|
Michael A. Cornelius | |
|
Vice President, Law and Administration | |
|
and Secretary |
2
|
STATE OF DELAWARE | |
|
SECRETARY OF STATE | |
|
DIVISION OF CORPORATIONS | |
|
FILED 02:01 PM 04/06/2001 | |
|
010169982 - 3308006 |
|
WESTERN DIGITAL HOLDINGS, INC., | |
|
a Delaware corporation | |
|
||
|
/s/ Michael A. Cornelius | |
|
||
|
Michael A. Cornelius | |
|
Vice President, Law and Administration | |
|
and Secretary |
3
4
1
| other than as expressly provided below in this Section 5, (a) the Non-Employee Director will have until the date that is one (1) year after his or her Severance Date to exercise such option (or portion thereof) to the extent that it was vested on the Severance Date, (b) such option, to the extent not vested on the Severance Date, shall terminate on the Severance Date, and (c) such option, to the extent exercisable for the one-year period following the Severance Date and not exercised during such period, shall terminate at the close of business on the last day of the one-year period; | ||
| if the Non-Employee Director ceases to be a member of the Board due to his or her Retirement (as defined below), (a) the Non-Employee Director will have until the date that is three (3) years after his or her Severance Date to exercise such option, (b) such option, to the extent not otherwise vested on the Severance Date, shall automatically become fully vested as of the Severance Date, and (c) such option, to the extent exercisable for the three-year period following the Severance Date and not exercised during such period, shall terminate at the close of business on the last day of the three-year period; |
2
3
4
Grant Number
|
«nbr» | |||
Date of Grant
|
«optdt» | |||
Option Price per Share
1
|
$«optprc» | |||
Number of Shares Granted
1
|
«shgtd» | |||
Expiration Date
2
|
1 | The number of shares subject to the Option and the per-share exercise price of the Option are subject to adjustment under Section 6 of the Program and Section 7.1 of the Plan (for example, and without limitation, in connection with stock splits). | |
2 | The Option is subject to early termination under Sections 5 and 7 of the Program. |
| a written notice stating the number of shares of Common Stock to be purchased pursuant to the Option or by the completion of such other administrative exercise procedures as the Administrator may require from time to time, | ||
| payment in full for the purchase price (the per-share exercise price of the Option multiplied by the number of shares to be purchased) in cash, check or by electronic funds transfer to the Corporation, or (subject to compliance with all applicable laws, rules, regulations and listing requirements and further subject to such rules as the Administrator may adopt as to any non-cash payment) in shares of Common Stock already owned by the Participant, valued at their fair market value on the exercise date, provided , however , that any shares initially acquired upon exercise of a stock option or otherwise from the Corporation must have been owned by the Participant for at least six (6) months before the date of such exercise; and | ||
| any written statements or agreements required by the Administrator pursuant to Section 8.1 of the Plan. |
2
3
4
5
1
2
| other than as expressly provided below in this Section 8, (a) one-third (1/3) of the number of Stock Units granted to the Non-Employee Director pursuant to the Program within the period commencing twenty-four (24) months prior to, and ending twelve (12) months prior to, the Non-Employee Directors Severance Date shall immediately vest and become payable; (b) two-thirds (2/3) of the number of Stock Units granted to the Non-Employee Director pursuant to the Program within the period commencing thirty-six (36) months prior to, and ending twenty-four (24) months prior to, the Non-Employee Directors Severance Date shall immediately vest and become payable; and (c) all Stock Units granted to a Non-Employee Director pursuant to the Program that have not vested as of, or do not vest upon, the Non-Employee Directors Severance Date, shall immediately terminate without payment therefor; | ||
| if the Non-Employee Director ceases to be a member of the Board due to his or her death, Disability (as defined below) or Retirement (as defined below), all Stock Units granted to the Non-Employee Director pursuant to the Program shall immediately vest and become payable; |
3
| if the Non-Employee Director ceases to be a member of the Board due to his or her Removal, all then-unvested Stock Units granted to the Non-Employee Director pursuant to the Program shall immediately terminate without payment therefor. |
4
5
1
Months | Monthly Installment Amount | |||
March 1, 2005 September 30, 2005
|
$ | 78,555.00 | ||
October 1, 2005 February 28, 2006
|
$ | 127,568.40 | ||
March 1, 2006 February 28, 2007
|
$ | 131,395.45 | ||
March 1, 2007 February 29, 2008
|
$ | 135,337.32 | ||
March 1, 2008 February 28, 2009
|
$ | 139,397.44 | ||
March 1, 2009 February 28, 2010
|
$ | 143,579.36 | ||
March 1, 2010 February 28, 2011
|
$ | 147,886.74 | ||
March 1, 2011 February 29, 2012
|
$ | 152,323.34 | ||
March 1, 2012 February 28, 2013
|
$ | 156,893.04 | ||
March 1, 2013 February 28, 2014
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$ | 161,599.83 | ||
March 1, 2014 March 31, 2015
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$ | 166,447.83 |
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LANDLORD:
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TENANT: | |||||
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TRINET ESSENTIAL FACILITIES XXVI, | WESTERN DIGITAL TECHNOLOGIES, INC., | |||||
INC., a Maryland corporation | a Delaware corporation | |||||
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By:
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/s/ Erich Stiger | By: | /s/ Cindy M. Campos | |||
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Name:
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Erich Stiger | Name: | Cindy M. Campos | |||
Its:
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Senior Vice President | Its: | Real Estate Specialist |
GUARANTOR:
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WESTERN DIGITAL CORPORATION,
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a Delaware corporation | |||
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By: | /s/ Raymond M. Bukaty | ||
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Name: | Raymond M. Bukaty | ||
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Title: |
Senior Vice President
Administrator
General Counsel and Secretary |
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Dated: | December 21, 2005 |
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A-1
A-2
B-1
B-2
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Western Digital Technologies, Inc., | Komag USA (Malaysia) Sdn. | |||||||
a Delaware corporation. | a Malaysian corporation | |||||||
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By:
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/s/ Tom Nieto | By: | /s/ Kheng Huat Oung | |||||
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Name:
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Tom Nieto | Name: | Kheng Huat Oung | |||||
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Title:
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Vice President, Materials | Title: | Managing Director | |||||
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Komag Incorporated | ||||||||
a Delaware corporation | ||||||||
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By:
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/s/ Ray L. Martin | |||||||
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Name:
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Ray L. Martin | |||||||
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Title: | Executive Vice President, Customer Sales and Service |
1
1
1
Quarter | Volume Requirement | |
[***] Fiscal Quarter for [***] (i.e., the quarter
ending [***])
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[***] Units | |
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[***] Fiscal Quarter for [***] (i.e., the quarter
ending [***])
|
[***] Units | |
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[***] Fiscal Quarter for [***] (i.e., the quarter
ending [***])
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[***] Units | |
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[***] Fiscal Quarter for [***] (i.e., the quarter
ending [***])
|
[***] Units | |
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[***] Fiscal Quarter for [***] (i.e., the quarter
ending [***])
|
[***] Units | |
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[***] Fiscal Quarter for [***] (i.e., the quarter
ending [***])
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[***] Units | |
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Each WDC Fiscal Quarter following the [***] Fiscal
Quarter for [***] (i.e., each quarter after the quarter
ending [***]) for the term of this VPA.
|
[***] Units |
1
1
2
Western Digital Technologies, Inc., | Komag USA (Malaysia) Sdn. | |||||||
a Delaware corporation. | a Malaysian corporation | |||||||
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By:
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/s/ Tom Nieto | By: | /s/ Kheng Huat Oung | |||||
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Name:
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Tom Nieto | Name: | Kheng Huat Oung | |||||
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Title:
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Vice President, Materials | Title: | Managing Director | |||||
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Komag Incorporated | ||||||||
a Delaware corporation | ||||||||
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By:
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/s/ Ray L. Martin | |||||||
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Name:
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Ray L. Martin | |||||||
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Title: | Executive Vice President, Customer Sales and Service |
1
1
1
Quarter | Volume Requirement | |
[***] Fiscal Quarter for [***]
(i.e., the quarter ending [***])
|
[***] Units | |
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[***] Fiscal Quarter for [***]
(i.e., the quarter ending [***])
|
[***] Units | |
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[***] Fiscal Quarter for [***]
(i.e., the quarter ending [***])
|
[***] Units | |
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[***] Fiscal Quarter for [***]
(i.e., the quarter ending [***])
|
[***] Units | |
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[***] Fiscal Quarter for [***]
(i.e., the quarter ending [***])
|
[***] Units | |
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[***] Fiscal Quarter for [***]
(i.e., the quarter ending [***])
|
[***] Units* | |
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Each WDC Fiscal Quarter following the [***] Fiscal
Quarter for [***] (i.e., each quarter after the quarter
ending [***]) for the term of this VPA.
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[***] Units | |
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* | No later than [***], Komag shall deliver notice to WDC in writing confirming whether it can deliver [***] Units for [***] Fiscal Quarter for [***] (i.e., the quarter ending [***]). Failure to deliver such notice shall be deemed confirmation of its ability to deliver the [***] Units. In the event such notice states that Komag is unable to deliver [***] Units, the [***] requirement shall be [***] Units for the [***] Fiscal Quarter for [***] (i.e., the quarter ending [***]) and [***] Units for all subsequent quarters. |
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Very truly yours, | ||||
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Western Digital Corporation | ||||
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By: | /s/ Raymond M. Bukaty | ||
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Raymond M. Bukaty | |||
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Senior Vice President, Administration, | |||
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General Counsel and Secretary |
Agreed to and Accepted by:
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/s/ John F. Coyne
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1. | I have reviewed this Quarterly Report on Form 10-Q of Western Digital Corporation; | |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; | |
3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; | |
4. | The registrants other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15(d)-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have: |
a. | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; | ||
b. | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; | ||
c. | Evaluated the effectiveness of the registrants disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and | ||
d. | Disclosed in this report any change in the registrants internal control over financial reporting that occurred during the registrants most recent fiscal quarter (the registrants fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrants internal control over financial reporting; and |
5. | The registrants other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrants auditors and the audit committee of the registrants board of directors (or persons performing the equivalent functions): |
a. | All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrants ability to record, process, summarize and report financial information; and | ||
b. | Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrants internal control over financial reporting. |
/s/ Arif Shakeel | ||||
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Chief Executive Officer |
1. | I have reviewed this Quarterly Report on Form 10-Q of Western Digital Corporation; | |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; | |
3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; | |
4. | The registrants other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15(d)-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have: |
a. | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; | ||
b. | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; | ||
c. | Evaluated the effectiveness of the registrants disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and | ||
d. | Disclosed in this report any change in the registrants internal control over financial reporting that occurred during the registrants most recent fiscal quarter (the registrants fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrants internal control over financial reporting; and |
5. | The registrants other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrants auditors and the audit committee of the registrants board of directors (or persons performing the equivalent functions): |
a. | All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrants ability to record, process, summarize and report financial information; and | ||
b. | Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrants internal control over financial reporting. |
/s/ Stephen D. Milligan | ||||
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Chief Financial Officer |
(i) | the accompanying Quarterly Report on Form 10-Q of the Company for the period ended December 30, 2005, (the Report) fully complies with the requirements of Section 13(a) or Section 15(d), as applicable, of the Securities Exchange Act of 1934, as amended; and | ||
(ii) | the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
/s/ Arif Shakeel | ||||
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Chief Executive Officer |
(i) | the accompanying Quarterly Report on Form 10-Q of the Company for the period ended December 30, 2005, (the Report) fully complies with the requirements of Section 13(a) or Section 15(d), as applicable, of the Securities Exchange Act of 1934, as amended; and | ||
(ii) | the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
/s/ Stephen D. Milligan | ||||
Chief Financial Officer |