Reliant FORM 10-K manual 204

Other income (expense) — net:

	2003	2002	2001
Royalties(a) — net	(4,479)	16,559	29,888
Other — net	6,494	6,479	24,110
Other income (expenses) — net	2,015	23,038	53,998

(a)Certain affiliated entities pay royalty fees to Nortel Networks S.A. on their total Global System for Mobile communications (“GSM”) technology sales (4 percent of total GSM sales in 2003, 5 percent in 2002, and 10 percent in 2001). Nortel Networks France pays 7 percent of its revenue to affiliated entities.

Consolidated balance sheets

Accounts receivable — net:

	2003	2002
Total receivables	77,924	78,013
Contracts in process	35,487	5,942
Accounts receivable — net	113,411	83,955
Inventories — net:

		2003	2002
Raw materials		11,628	21,801
Work in process		42,244	43,122
Finished goods		12,325	15,147
Inventories — net(a)		66,197	80,070
(a)	Net of inventory provisions of 41,064 and	31,638 as of December 31, 2003 and 2002, respectively. Included in trade and other accounts payable are accruals of
	12,941 as of December 31, 2003 for cancellation charges, for inventory in excess of future demand and for the settlement of certain other claims related to contract
	manufacturers or suppliers.
Other current assets:

		2003	2002
Employee receivables		1,196	1,047
Put option(a)		–	77,500
Prepaid rent and other		8,654	15,250
Other receivables		7,619	12,567
Other current assets		17,469	106,364
(a)	The put option was exercised on€July 1, 2003€(see note 9).	204