Blizzard 2004 Annual Report Download - page 55

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The following table summarizes our cash, cash equivalents and short-term investments as of March 31, 2003 (amounts
in thousands):
Gross Gross
Amortized Unrealized Unrealized Fair
Cost Gains Losses Value
Cash and cash equivalents:
Cash and time deposits $ 87,348 $ — $ — $ 87,348
Money market funds 35,507 — — 35,507
Auction rate notes 162,699 — — 162,699
Cash and cash equivalents 285,554 — — 285,554
Short-term investments:
Corporate bonds 16,712 34 — 16,746
Taxable senior debt 2,253 — — 2,253
U.S. agency issues 52,055 65 (12) 52,108
Asset-backed bonds 39,224 122 (75) 39,271
Municipal bonds 11,022 — — 11,022
Short-term investments 121,266 221 (87) 121,400
Cash, cash equivalents and short-term investments $406,820 $221 $(87) $406,954
The following table summarizes the maturities of our investments in debt securities as of March 31, 2004 (amounts
in thousands):
Amortized Fair
Cost Value
Due in one year or less $326,694 $326,699
Due after one year through two years 76,325 76,381
403,019 403,080
Asset-backed securities 23,113 23,149
Tota l $426,132 $426,229
For the year ended March 31, 2004, net realized gains on short-term investments consisted of $25,000 of gross real-
ized gains and $4,000 of gross realized losses. For the year ended March 31, 2003, net realized gains on short-term
investments consisted of $350,000 of gross realized gains and $116,000 of gross realized losses. As of March 31,
2002, we held no short-term investments and had no gross realized gains or losses for the year then ended.
5. Software Development Costs and Intellectual Property Licenses
As of March 31, 2004, capitalized software development costs included $35.3 million of internally developed soft-
ware costs and $51.5 million of payments made to third-party software developers. As of March 31, 2003, capital-
ized software development costs included $26.0 million of internally developed software costs and $36.1 million of
payments made to third-party software developers. Capitalized intellectual property licenses were $48.5 million and
$45.8 million as of March 31, 2004 and 2003, respectively. Amortization and write-offs of capitalized software
development costs and intellectual property licenses, combined, was $87.9 million, $100.4 million and $62.5 million
for the years ended March 31, 2004, 2003 and 2002, respectively.
Notes to Consolidated Financial Statements
Activision, Inc. — 2004 Annual Report
page 58