Yahoo 2001 Annual Report Download - page 33

Summarized information by segment for 2001, 2000, and 1999, as excerpted from the internal
management reports, is as follows (in thousands):
Years Ended December 31, 2001 2000 1999
Net revenues:
United States $ 594,332 $ 941,266 $532,731
International 123,090 168,912 59,055
Total net revenues $ 717,422 $1,110,178 $591,786
Segment EBITDA:
United States $ 72,186 $ 401,485 $186,125
International (28,564) 9,120 3,461
Total segment EBITDA 43,622 410,605 189,586
Corporate and unallocated operating costs
and expenses:
Stock compensation expense (9,096) (20,898) (10,389)
Amortization of intangibles (64,085) (28,328) (23,280)
Depreciation (66,490) (40,774) (19,381)
Restructuring costs (57,471) ——
Acquisition-related costs (4,750) (22,785) (88,043)
Income (loss) from operations $(158,270) $ 297,820 $ 48,493
Capital expenditures, net:
United States $ 72,572 $ 79,657 $ 49,546
International 13,639 14,756 $ 2,880
Total consolidated capital expenditures, net $ 86,211 $ 94,413 $ 52,426
Long-lived assets:
United States $ 297,977 $ 299,882 $169,028
International 190,756 52,844 20,012
Total consolidated long-lived assets $ 488,733 $ 352,726 $189,040
The following table presents net revenues for groups of similar services (in thousands):
Years Ended December 31, 2001 2000 1999
Marketing services $538,771 $ 968,274 $533,323
Fees and listings 146,445 122,406 55,268
Transactions 32,206 19,498 3,195
$717,422 $1,110,178 $591,786
Note 10. Income Taxes
The components of income (loss) before income taxes are as follows (in thousands):
Years Ended December 31, 2001 2000 1999
United States $(39,844) $282,458 $82,913
Foreign (41,981) (23,637) 710
$(81,825) $258,821 $83,623
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The provision for income taxes is composed of the following (in thousands):
Years Ended December 31, 2001 2000 1999
Current:
Federal $ 8,093 $166,133 $36,265
State 177 16,791 4,404
Foreign 5,296 9,636 2,383
13,566 192,560 43,052
Deferred:
Federal (1,297) (3,202) (6,335)
State (1,306) (1,313) (905)
(2,603) (4,515) (7,240)
$10,963 $188,045 $35,812
The provision for income taxes differs from the amount computed by applying the statutory federal income
tax rate as follows (in thousands):
Years Ended December 31, 2001 2000 1999
Income tax at the federal statutory rate of 35% $(28,639) $ 90,587 $ 29,268
State income tax, net of federal benefit (1,034) 9,362 4,535
Non-deductible acquisition-related charges 20,255 15,162 26,433
Research tax credits (3,900) (4,000) (3,000)
Change in valuation allowances 23,508 68,509 (23,292)
Other 773 8,425 1,868
$ 10,963 $188,045 $ 35,812
Deferred income taxes reflect the tax effects of temporary differences between the carrying amounts of
assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. The
components of the net deferred income tax assets are as follows (in thousands):
Years Ended December 31, 2001 2000 1999
Deferred income tax assets:
Net operating loss and credit carryforwards $ 1,423,323 $ 1,442,839 $ 891,569
Non-deductible reserves and expenses 131,321 101,775 9,880
Gross deferred tax assets 1,554,644 1,544,614 901,449
Valuation allowance (1,530,838) (1,510,628) (812,176)
23,806 33,986 89,273
Deferred income tax liabilities:
Unrealized investment gains (12,820) (19,901) (86,051)
Intangible assets —— (3,222)
Other (10,986) (14,085) —
Gross deferred tax liabilities (23,806) (33,986) (89,273)
Net deferred tax assets (liabilities) $—$—$—