Yahoo 2012 Annual Report Download - page 62

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Amortization of intangibles for the year ended December 31, 2011 increased $2 million, or 6 percent, as
compared to 2010. The year-over-year increase in amortization of intangibles from 2011 to 2010 was primarily
driven by additional amortization expense incurred due to the inclusion of intangibles related to an acquisition in
the fourth quarter of 2011.
Restructuring Charges, Net. For the years ended December 31, 2010, 2011, and 2012, restructuring charges, net
was comprised of the following (dollars in thousands):
Year Ended
December 31,
2010
Year Ended
December 31,
2011 Year Ended December 31, 2012
Restructuring
Plans Prior to
2012
Restructuring
Plans Prior to
2012
Restructuring
Plans Prior to
2012
Q2’12
Restructuring
Plan
Q4’12
Korea Business
Closure Total
Employee severance pay and
related costs ................ $39,652 $12,965 $1,169 $ 96,537 $ 4,998 $102,704
Non-cancelable lease, contract
terminations, and other
charges .................... 19,737 10,251 8,462 9,541 8,996 26,999
Other non-cash charges, net ...... 2,779 990 — 40,462 69,434 109,896
Sub-total before (reversals)
accelerations of stock-based
compensation expense ........ 62,168 24,206 9,631 146,540 83,428 239,599
(Reversals) accelerations of stock-
based compensation expense . . . (4,211) 214 — (3,429) — (3,429)
Restructuring charges, net . . . $57,957 $24,420 $9,631 $143,111 $83,428 $236,170
Restructuring Plans Prior to 2012. Prior to 2012, we implemented workforce reductions, a strategic realignment,
and consolidation of certain real estate facilities and data centers to reduce our cost structure, align resources with
our product strategy and improve efficiency. During the year ended December 31, 2010, we incurred total pre-tax
cash charges of $59 million in severance, facility and other related costs, net of reversal for adjustments to
original estimates totaling $9 million. In addition to the pre-tax cash charges, we recorded a non-cash charge of
$3 million related to asset impairment and a $4 million credit related to non-cash stock-based compensation
expense reversals for unvested stock awards that were forfeited. Of the $58 million in restructuring charges, net,
recorded in the year ended December 31, 2010, $39 million related to the Americas segment, $17 million related
to the EMEA segment and $2 million related to the Asia Pacific segment. During the year ended December 31,
2011, we incurred total pre-tax cash charges of $23 million in severance, facility and other related costs, net of
reversal for adjustments to original estimates totaling $12 million. In addition to the pre-tax cash charges, we
recorded a non-cash charge of $1 million related to asset impairment. Of the $24 million in restructuring charges,
net recorded in the year ended December 31, 2011, $22 million related to the Americas segment, $1 million
related to the EMEA segment and $1 million related to the Asia Pacific segment.
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