Avid 2009 Annual Report Download - page 85

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80
At December 31, 2009 and 2008, the Company had foreign currency forward contracts outstanding with notional values of
$46.2 million and $39.7 million, respectively, as hedges against forecasted foreign currency denominated receivables,
payables and cash balances. The following tables set forth the balance sheet location and fair values of the Company’s
foreign currency forward contracts at December 31, 2009 and 2008 (in thousands):
Derivatives Not Designated as Hedging
Instruments under ASC Topic 815
Balance Sheet Location
Fair Value at
December 31, 2009
Fair Value at
December 31, 2008
Financial assets:
Foreign currency forward contracts
Other current assets
$1,162
—
Financial liabilities:
Foreign currency forward contracts
Accrued expenses and other current liabilities
$546
$45
See Note B for additional information on the fair value measurements for all financial assets and liabilities, including
derivative assets and derivative liabilities, that are measured at fair value on a recurring basis.
Q. NET INCOME (LOSS) PER SHARE
The following table sets forth (in thousands) potential common shares, on a weighted-average basis, that were considered
anti-dilutive securities and excluded from the Diluted EPS calculations either because the sum of the exercise price per
share and the unrecognized compensation cost per share was greater than the average market price of the Company’s
common stock for the relevant period, or because they were considered contingently issuable. The contingently issuable
potential common shares result from certain stock options and restricted stock units granted to the Company’s executive
officers that vest based on performance and market conditions.
Year Ended December 31,
2009
2008
2007
Options
4,308
4,121
2,816
Warrant (a)
—
679
1,155
Non-vested restricted stock and restricted stock units
707
1,075
37
Anti-dilutive potential common shares
5,015
5,875
4,008
(a) In connection with the acquisition of Softimage Inc. in 1998, the Company issued a ten-year warrant to purchase 1,155,235
shares of the Company’s common stock at a price of $47.65 per share. The weighted-average potential common share
amount for 2008 reflects expiration of the warrant on August 3, 2008.
During periods of net loss, certain potential common shares that would otherwise be included in the Diluted EPS
calculation are excluded because the effect would be anti-dilutive. The following table sets forth (in thousands) common
stock equivalents that were excluded from the calculation of Diluted EPS due to the net loss for the relevant period.
Year Ended December 31,
2009
2008
2007
Options
12
128
445
Non-vested restricted stock and restricted stock units
15
11
31
Total anti-dilutive common stock equivalents
27
139
476