70.9%

$
4,519

67.8%$
48,606

70.5%

$
32,220

68.0%Share-based compensation expense

373359703626Gross profit from continuing operations on a non-GAAP basis

$
79,184

71.2%

$
4,878

68.2%$
49,309

70.8%

$
32,846

68.3%The following table reconciles the specific items excluded from GAAP operating expenses from continuing operations in the calculation of non-GAAP operating expenses from continuing operations for the periods shown below:

THORATEC CORPORATIONReconciliation of GAAP to Non-GAAP Operating Expenses from Continuing Operations(Unaudited)(in thousands) Three Months Ended Six Months Ended July 2, 2011July 3, 2010July 2, 2011July 3, 2010Operating expenses from continuing operations on a GAAP basis$
44,555$
35,345$
87,265$
79,589Share-based compensation expense:- Selling, general and administrative(2,509)(1,895)(5,038)(4,216)- Research and development(958)(809)(2,062)(1,811)Amortization of purchased intangibles(2,197)(2,468)(4,499)(4,881)Levitronix transaction costs(1,392)-(1,398)-Operating expenses from continuing operations on a non-GAAP basis $
37,499$
30,173$
74,268$
8,681The following table reconciles the specific items excluded from GAAP other income and expense from continuing operations in the calculation of non-GAAP other income and expense from continuing operations for the periods shown below: