Dish Network 2008 Annual Report Download - page 106

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DISH NETWORK CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - Continued
F-24
Construction in progress consists of the following:
2008 2007
Progress amounts for satellite construction, including certain amounts
prepaid under satellite service agreements and launch costs........................ $ 383,040 $ 685,758
Software related projects.................................................................................. 12,102 8,802
Uplinking equipment........................................................................................ - 52,095
Other ................................................................................................................ 8,636 26,006
Construction in progress.............................................................................. 403,778$ 772,661$
As of December 31,
(In thousands)
Depreciation and amortization expense consists of the following:
2008 2007 2006
Equipment leased to customers............................................. $ 827,599 $ 854,533 $ 686,125
Satellites .............................................................................. 89,435 245,349 231,977
Furniture, fixtures, equipment and other............................... 73,447 179,854 152,204
Identifiable intangible assets subject to amortization .......... 5,009 39,893 36,787
Buildings and improvements ............................................... 4,740 9,781 7,201
Total depreciation and amortization................................ 1,000,230$ 1,329,410$ 1,114,294$
For the Years Ended December 31,
(In thousands)
Cost of sales and operating expense categories included in our accompanying Consolidated Statements of
Operations and Comprehensive Income (Loss) do not include depreciation expense related to satellites or
equipment leased to customers.
The cost of our satellites includes capitalized interest of $17 million, $18 million, and $20 million during
the years ended December 31, 2008, 2007 and 2006, respectively.