Adobe 2009 Annual Report Download - page 97

ADOBE SYSTEMS INCORPORATED
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
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See Note 2 for further information regarding our acquisitions.
Purchased and other intangible assets, net by reportable segment as of November 27, 2009 and November 28, 2008
were as follows (in thousands):
2009 2008
Creative Solutions .................................................. $ 124,178 $ 107,526
Knowledge Worker ................................................. 23,041 48,851
Enterprise ......................................................... 6,588 13,146
Platform .......................................................... 9,159 26,248
Print and Publishing ................................................ 6,218 19,189
Omniture ........................................................ 358,204 —
Purchased and other intangible assets, net............................. $ 527,388 $ 214,960
Purchased and other intangible assets subject to amortization as of November 27, 2009 were as follows (in thousands):
Cost
Accumulated
Amortization Net
Purchased technology ......................................... $ 586,952 $ (387,731 ) $ 199,221
Localization ................................................. $ 20,284 $ (15,222 ) $ 5,062
Trademarks ................................................. 172,030 (104,953 ) 67,077
Customer contracts and relationships ............................ 363,922 (159,450 ) 204,472
Other intangibles ............................................. 54,535 (2,979 ) 51,556
Total other intangible assets .................................... $ 610,771 $ (282,604 ) $ 328,167
Purchased and other intangible assets .......................... $ 1,197,723 $ (670,335 ) $ 527,388
Purchased and other intangible assets subject to amortization as of November 28, 2008 were as follows (in thousands):
Cost
Accumulated
Amortization Net
Purchased technology ......................................... $ 411,408 $ (338,608 ) $ 72,800
Localization ................................................. $ 23,751 $ (6,156 ) $ 17,595
Trademarks ................................................. 130,925 (78,181 ) 52,744
Customer contracts and relationships ............................ 198,891 (127,520 ) 71,371
Other intangibles ............................................. 800 (350 ) 450
Total other intangible assets .................................... $ 354,367 $ (212,207 ) $ 142,160
Purchased and other intangible assets .......................... $ 765,775 $ (550,815 ) $ 214,960
Amortization expense related to purchased and other intangible assets was $151.3 million, $184.4 million and $216.3
million for fiscal 2009, 2008 and 2007, respectively. Of these amounts, for fiscal 2009, 2008 and 2007, $88.3 million, $116.1
million and $145.4 million, respectively, was included in cost of sales.
Purchased and other intangible assets are amortized over their estimated useful lives of 1 to 13 years. As of November
27, 2009, we expect amortization expense in future periods to be as follows (in thousands):
Fiscal Year
Purchased
Technology
Other Intangible
Assets
2010 ............................................................. $ 35,830 $ 100,403
2011 ............................................................. 32,446 58,494
2012 ............................................................. 30,840 22,068
2013 ............................................................. 26,867 21,447
2014 ............................................................. 25,110 21,046
Thereafter ......................................................... 48,128 104,709
Total expected amortization expense ................................. $ 199,221 $ 328,167