UNITED STATES SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 

FORM 10-Q

 

 

For the transition period from                            to                           

 

Commission file number 000-18032

 

LATTICE SEMICONDUCTOR CORPORATION

(Exact name of Registrant as specified in its charter)

 

 

Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  Yes ý  No o

 

Indicate by check mark whether the registrant is an accelerated filer (as defined in Rule 12b-2 of the Act).   Yes ý  No o

 

At September 27, 2003, there were 112,772,007 shares of the Registrant’s common stock, $.01 par value, outstanding.

 

 

LATTICE SEMICONDUCTOR CORPORATION

 

INDEX

 

PART I.     FINANCIAL INFORMATION
Item 1.	Financial Statements (Unaudited)
	Condensed Consolidated Statement of Operations - Three and Nine Months Ended Sept. 30, 2003 and Sept. 30, 2002
	Condensed Consolidated Balance Sheet - Sept. 30, 2003 and December 31, 2002
	Condensed Consolidated Statement of Cash Flows - Nine Months Ended Sept. 30, 2003 and Sept. 30, 2002
	Notes to Condensed Consolidated Financial Statements
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations
Item 3.	Quantitative and Qualitative Disclosures About Market Risk
Item 4.	Controls and Procedures
PART II.      OTHER INFORMATION
Item 6.	Exhibits and Reports on Form 8-K
	Signatures

 

2

 

PART I.  FINANCIAL INFORMATION

 

ITEM 1.  FINANCIAL STATEMENTS

 

LATTICE SEMICONDUCTOR CORPORATION

 

CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS

(In thousands, except per share data)

(unaudited)

 

		Three Months Ended						Nine Months Ended
		Sept. 30, 2003			Sept. 30, 2002			Sept. 30, 2003			Sept. 30, 2002
Revenue		$	51,038		$	56,072		$	167,527		$	171,416
Costs and expenses:
Cost of products sold		20,662			22,429			67,159			68,527
Research and development		21,173			21,523			64,707			63,986
Selling, general and administrative		12,114			11,712			37,211			35,790
In-process research and development		—			5,653			—			29,853
Amortization of intangible assets (1)		18,665			18,070			58,466			54,616
Total costs and expenses		72,614			79,387			227,543			252,772
Loss from operations		(21,576		)	(23,315		)	(60,016		)	(81,356		)
Other (expense) income, net		(3,611		)	2,764			(3,485		)	3,941
Loss before benefit for income taxes		(25,187		)	(20,551		)	(63,501		)	(77,415		)
Benefit for income taxes		(3,300		)	(6,180		)	(5,854		)	(29,280		)
Net loss		$	(21,887	)	$	(14,371	)	$	(57,647	)	$	(48,135	)
Basic net loss per share		$	(0.20	)	$	(0.13	)	$	(0.52	)	$	(0.44	)
Diluted net loss per share		$	(0.20	)	$	(0.13	)	$	(0.52	)	$	(0.44	)
Shares used in per share calculations:
Basic		111,840			110,232			111,615			109,855
Diluted		111,840			110,232			111,615			109,855

 

(1)                                 Includes $820 and $760 of amortization of deferred stock compensation expense for the three months ended September 30, 2003 and September 30, 2002, respectively, and $4,931 and $1,887 for the nine months ended September 30, 2003 and September 30, 2002, respectively, attributable to Research and Development activities.

 

See Accompanying Notes to Condensed Consolidated Financial Statements

 

3

 

LATTICE SEMICONDUCTOR CORPORATION

 

CONDENSED CONSOLIDATED BALANCE SHEET

(In thousands, except share and par value data)

(unaudited)

 

		Sept. 30, 2003			December 31, 2002
Assets
Current assets:
Cash and cash equivalents		$	153,334		$	169,475
Short-term investments		125,420			107,405
Accounts receivable, net		26,941			26,374
Inventories		47,942			56,241
Other current assets		12,617			35,033