Yahoo 2010 Annual Report Download - page 81

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(1) Gross goodwill balances for the Americas segment were $2.6 billion and $2.7 billion as of January 1, 2009
and December 31, 2010, respectively.
(2) Gross goodwill balances for the EMEA segment were $0.9 billion and $1.1 billion as of January 1, 2009 and
December 31, 2010, respectively.
(3) Gross goodwill balances for the Asia Pacific (“APAC”) segment were $0.4 billion and $0.5 billion as of
January 1, 2009 and December 31, 2010, respectively.
(4) EMEA segment includes accumulated impairment losses of $488 million as of both January 1, 2009 and
December 31, 2010.
(5) APAC segment includes accumulated impairment losses of $64 million as of both January 1, 2009 and
December 31, 2010.
(6) Other includes reductions of $19 million and $41 million, respectively, of goodwill in the Americas segment
related to the sales of Zimbra, Inc. and HotJobs.
Note 6 I
NTANGIBLE
A
SSETS
,N
ET
The following table summarizes the Company’s carrying amount of intangible assets, net (in thousands):
December 31, 2009
Gross Carrying
Amount
Accumulated
Amortization(*) Net
Customer, affiliate, and advertiser related relationships ........... $141,484 $ (58,252) $ 83,232
Developed technology and patents ........................... 505,124 (265,839) 239,285
Trade names, trademarks, and domain names ................... 78,528 (45,162) 33,366
Total intangible assets, net .............................. $725,136 $(369,253) $355,883
December 31, 2010
Gross Carrying
Amount
Accumulated
Amortization(*) Net
Customer, affiliate, and advertiser related relationships ........... $132,298 $ (70,194) $ 62,104
Developed technology and patents ........................... 393,036 (225,139) 167,897
Trade names, trademarks, and domain names ................... 69,346 (43,477) 25,869
Total intangible assets, net .............................. $594,680 $(338,810) $255,870
(*) Foreign currency translation adjustments, reflecting movement in the currencies of the underlying entities,
totaled approximately $15 million as of December 31, 2009 and $18 million as of December 31, 2010.
The intangible assets have original estimated useful lives as follows:
• Customer, affiliate, and advertiser related relationships—three to eight years;
• Developed technology and patents—less than one year to eight years; and
• Trade names, trademarks, and domain names—one year to indefinite lived.
The Company recognized amortization expense of intangible assets of approximately $281 million, $184 million,
and $127 million for 2008, 2009, and 2010, respectively, including $194 million, $145 million, and $96 million,
respectively, included in cost of revenue. Based on the current amount of intangibles subject to amortization, the
estimated amortization expense for each of the succeeding years is as follows: 2011: $104 million; 2012:
$76 million; 2013: $36 million; 2014: $21 million; 2015: $3 million; and cumulatively thereafter: less than
$1 million.
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