Microsoft 2010 Annual Report Download - page 62

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61
Unearned revenue by segment was as follows:
(In millions)
June 30, 2010 2009
Windows & Windows Live Division $ 1,701 $ 2,345
Server and Tools 5,282 4,732
Microsoft Business Division 7,004 6,508
Other segments 843 699
Total $ 14,830 $ 14,284
NOTE 15 — OTHER LONG-TERM LIABILITIES
(In millions)
June 30, 2010 2009
Tax contingencies and other tax liabilities $ 6,887 $ 5,515
Legal contingencies 236 407
Product warranty 69 132
Other 253 215
Total $ 7,445 $ 6,269
NOTE 16 — COMMITMENTS AND GUARANTEES
Construction and Operating Leases
We have committed $347 million for constructing new buildings, building improvements and leasehold improvements
as of June 30, 2010.
We have operating leases for most U.S. and international sales and support offices and certain equipment. Rental
expense for facilities operating leases was $530 million, $475 million, and $398 million, in fiscal years 2010, 2009,
and 2008, respectively. Future minimum rental commitments under noncancellable facilities operating leases in place
as of June 30, 2010 are as follows:
(In millions)
Y
ear Ending June 30,
2011 $ 437
2012 322
2013 256
2014 206
2015 and thereafter 677
Total $ 1,898
Indemnifications
We provide indemnifications of varying scope and size to certain customers against claims of intellectual property
infringement made by third parties arising from the use of our products and certain other matters. We evaluate
estimated losses for these indemnifications, and we consider such factors as the degree of probability of an
unfavorable outcome and the ability to make a reasonable estimate of the amount of loss. To date, we have not
encountered significant costs as a result of these obligations and have not accrued any liabilities related to these
indemnifications in our financial statements.
Yahoo! Commercial Agreement
On December 4, 2009, we entered into a definitive agreement with Yahoo! whereby Microsoft will provide the
exclusive algorithmic and paid search platform for Yahoo! Web sites. The transaction received clearance, without