Yahoo 2011 Annual Report Download - page 54

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and Taiwan dollars. The statements of income of our international operations are translated into U.S. dollars at
exchange rates indicative of market rates during each applicable period. To the extent the U.S. dollar strengthens
against foreign currencies, the translation of these foreign currency-denominated transactions results in reduced
consolidated revenue and operating expenses. Conversely, our consolidated revenue and operating expenses will
increase if the U.S. dollar weakens against foreign currencies. Using the foreign currency exchange rates from
the year ended December 31, 2010, revenue ex-TAC for the Americas segment for the year ended December 31,
2011 would have been lower than we reported by $6 million, revenue ex-TAC for the EMEA segment would
have been lower than we reported by $16 million, and revenue ex-TAC for the Asia Pacific segment would have
been lower than we reported by $59 million. Using the foreign currency exchange rates from the year ended
December 31, 2010, direct costs for the Americas segment for the year ended December 31, 2011 would have
been lower than we reported by $2 million, direct costs for the EMEA segment would have been lower than we
reported by $5 million, and direct costs for the Asia Pacific segment would have been lower than we reported by
$15 million.
Transactions
Significant acquisitions, strategic investments, dispositions, and other transactions completed in the last three
years include the following:
•May 2009—Sold our Gmarket shares for net proceeds of $120 million.
•July 2009—Entered into a binding letter agreement with Microsoft to negotiate and execute a Search and
Advertising Services and Sales Agreement and a License Agreement.
•September 2009—Sold our direct investment in Alibaba.com for net proceeds of $145 million.
•November 2009—Acquired Maktoob, a leading online portal in the Middle East, for a total purchase price of
$164 million.
•December 2009—Entered into the Search Agreement and a License Agreement with Microsoft which provides
for Microsoft to be the exclusive algorithmic and paid search services provider on Yahoo! Properties and
non-exclusive provider of such services on Affiliate sites and for Yahoo! to be the exclusive worldwide
relationship sales force for Yahoo!’s and Microsoft’s premium search advertisers.
•February 2010—The Search Agreement became effective and we sold Zimbra, Inc. for net proceeds of $100
million.
•August 2010—Sold HotJobs for net proceeds of $225 million.
•December 2011—Acquired interclick, inc., a technology that enables Yahoo! to upgrade our data targeting
capabilities and optimization technologies. We also acquired a team that has expertise in selling audiences
against premium content. Total purchase price was $259 million.
See Note 3—“Acquisitions” and Note 4—“Investments in Equity Interests” in the Notes to the consolidated
financial statements for additional information relating to these and other transactions.
We expect to continue to evaluate possible acquisitions of, or strategic investments in, businesses, products, and
technologies that are complementary to our business, which acquisitions and investments may require the use of
cash.
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