Question-and-Answer Session
Operator
Thank you, sir. (Operator instructions) Our first question will come from the line of Patrick Ho of Stifel Nicolaus. You may proceed.
Patrick Ho – Stifel Nicolaus
Thanks a lot. Congrats on getting back to profitability, guys. First, a housekeeping question, Bob. Stock options and would the 23% tax rate be usable for the rest of fiscal year 2010?
Robert Halliday
Yes, I think you should use that for the tax rate. And it might bump around, but that is our planning mode. In terms of the stock comp expense, we had a total of 4963 on the quarter, and it was a debit of 184 to cost of product revenue, another caused debit of 160 to service. R&D was a debit of 1025 and there was charge also to mark in general and administrative of 3594. That should total to the 4963, Patrick.
Patrick Ho – Stifel Nicolaus
Great. In terms of the business conditions, what you are saying out there, can you just characterize what you are seeing from the memory die and whether we are starting to see I guess either these technology conversions over the capacity buys that will give the second leg in terms of this upturn that we are starting to see right now?
Robert Halliday
We are seeing a little more heavily personally in our Q2 – some at the end of Q1 and some in the fiscal Q2. What we are seeing is some DRAM buys, some Flash buys, some of what we got this quarter and forecast for next quarter, some people doing some size conversions, there are a few used tools. But after that runs out, we are going to see a lot more new tools, I think.
Patrick Ho – Stifel Nicolaus
Okay, great. And a final question from in terms of the foundries. Obviously, they have been spending for the past few quarters and based on what TSMC said this morning, it looks like those spending trends will continue at least for the near term. What have you been hearing from them in terms of I guess this really sudden pickup in aggressive spending? Is it them just trying to catch up after years of under-spending or do you feel that they really are behind the ball at the ForEx node and that is why they're playing catch up at this point?
Robert Halliday
Yes, I will give it a shot. We are seeing pretty broad based and it seems sustainable for a little while, foundry spending, it is not just TSMC. And it just looks like the production has gone up a lot from the ForEx node in terms of devices and my understanding is that is where they get a lot of demand for things like the handheld devices, you know the iPhones and things like that. So we see it pretty sustainable, based on their end-user demand.
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