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Table of Contents
The Company’s goodwill is allocated primarily to the America’
s reportable operating segment. Amortization expense related to acquired
intangible assets was $53 million, $46 million and $35 million in 2009, 2008 and 2007, respectively. As of September 26, 2009 and
September 27, 2008, the remaining weighted-average amortization period for acquired technology was 7.2 years and 7.0 years, respectively.
Expected annual amortization expense related to acquired technology as of September 26, 2009, is as follows (in millions):
Note 6 – Income Taxes
The provision for income taxes for the three years ended September 26, 2009, consisted of the following (in millions):
The foreign provision for income taxes is based on foreign pretax earnings of $4.4 billion, $3.5 billion and $2.2 billion in 2009, 2008 and 2007,
respectively. As of September 26, 2009 and September 27, 2008, $17.4 billion and $11.3 billion, respectively, of the Company’
s cash, cash
equivalents and marketable securities were held by foreign subsidiaries and are generally based in U.S. dollar-
denominated holdings. Amounts
held by foreign subsidiaries are generally subject to U.S. income taxation on repatriation to the U.S. The Company’
s consolidated financial
statements provide for any related tax liability on amounts that may be repatriated, aside from undistributed earnings of certain of the Company’
s
foreign subsidiaries that are intended to be indefinitely reinvested in operations outside the U.S. U.S. income taxes have not been provided on a
cumulative total of $5.1 billion of such earnings. It is not practicable to determine the income tax liability that might be incurred if these earnings
were to be distributed.
75
Years
2010
$
40
2011
37
2012
28
2013
13
2014
10
Thereafter
19
Total
$
147
2009
2008
2007
Federal:
Current
$
2,162
$
1,942
$
1,219
Deferred
(207
)
(155
)
85
1,955
1,787
1,304
State:
Current
279
210
112
Deferred
(113
)
(82
)
9
166
128
121
Foreign:
Current
358
277
103
Deferred
(199
)
(131
)
(16
)
159
146
87
Provision for income taxes
$
2,280
$
2,061
$
1,512