Oracle 2009 Annual Report Download - page 110

Table of Contents
ORACLE CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
May 31, 2010
Other Fiscal 2008 Acquisitions
During fiscal 2008, we acquired several other companies and purchased certain technology and development assets. Our fiscal 2008 acquisitions, other than
BEA, were not significant individually or in the aggregate. We have included the effects of these transactions in our results of operations prospectively from the
respective dates of the acquisitions.
Unaudited Pro Forma Financial Information
The unaudited pro forma financial information in the table below summarizes the combined results of operations for Oracle, Sun and certain other companies that
we acquired since the beginning of fiscal 2009 (which were collectively significant for the purposes of unaudited pro forma financial information disclosure) as
though the companies were combined as of the beginning of fiscal 2009. The pro forma financial information for all periods presented also includes the business
combination accounting effects resulting from these acquisitions including our amortization charges from acquired intangible assets (certain of which are
preliminary), the elimination of certain goodwill and intangible asset impairment charges incurred by Sun, stock-based compensation charges for unvested stock
options and restricted stock-based awards assumed, adjustments to interest expense for borrowings and the related tax effects as though the aforementioned
companies were combined as of the beginning of fiscal 2009. The pro forma financial information as presented below is for informational purposes only and is
not indicative of the results of operations that would have been achieved if the acquisitions and any borrowings undertaken to finance these acquisitions had
taken place at the beginning of fiscal 2009.
The unaudited pro forma financial information for fiscal 2010 combined the historical results of Oracle for fiscal 2010, the historical results of Sun for the eight
months ended September 27, 2009 (due to differences in reporting periods) and the historical results for certain other companies that we acquired since the
beginning of fiscal 2010 based upon their respective previous reporting periods, the dates that these companies were acquired by us, and the effects of the pro
forma adjustments listed above.
The unaudited pro forma financial information for fiscal 2009 combined the historical results of Oracle for fiscal 2009, the historical results of Sun for the year
ended June 30, 2009 (due to differences in reporting periods) and the historical results of certain other companies that we acquired since the beginning of fiscal
2009 based upon their respective previous reporting periods and the dates these companies were acquired by us, and the effects of the pro forma adjustments
listed above. The unaudited pro forma financial information was as follows for fiscal 2010 and 2009:
Year Ended May 31,
(in millions, except per share data) 2010 2009
Total revenues $ 33,550 $ 34,831
Net income $ 5,656 $ 4,639
Basic earnings per share $ 1.13 $ 0.91
Diluted earnings per share $ 1.11 $ 0.90
3. CASH, CASH EQUIVALENTS AND MARKETABLE SECURITIES
Cash and cash equivalents primarily consist of deposits held at major banks, money market funds, Tier-1 commercial paper, U.S. Treasury obligations, U.S.
government agency and government sponsored enterprise obligations, and other securities with original maturities of 90 days or less. Marketable securities
primarily consist of time deposits held at major banks, Tier-1 commercial paper, corporate notes, U.S. Treasury obligations and U.S. government agency and
government sponsored enterprise debt obligations and certain other securities.
The amortized principal amounts of our cash, cash equivalents and marketable securities approximated their fair values at May 31, 2010 and 2009. We use the
specific identification method to determine any realized gains or losses from the sale of our marketable securities classified as available-for-sale. Such realized
gains and losses
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Source: ORACLE CORP, 10-K, July 01, 2010 Powered by Morningstar® Document Research℠