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ORACLE CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
May 31, 2012
Recent Accounting Pronouncements
Presentation of Comprehensive Income: In June 2011, the FASB issued Accounting Standards Update
No. 2011-05, Comprehensive Income (Topic 220)—Presentation of Comprehensive Income (ASU 2011-05), to
require an entity to present the total of comprehensive income, the components of net income and the
components of other comprehensive income either in a single continuous statement of comprehensive income or
in two separate but consecutive statements. ASU 2011-05 eliminates the option to present the components of
other comprehensive income as part of the statement of equity. In December 2011, the FASB issued Accounting
Standards Update No. 2011-12, Comprehensive Income (Topic 220)—Deferral of the Effective Date for
Amendments to the Presentation of Reclassifications of Items Out of Accumulated Other Comprehensive Income
in Accounting Standards Update No. 2011-05 (ASU 2011-12), which defers the requirement to present
reclassification adjustments for each component of other comprehensive income on the face of the financial
statements. ASU 2011-05 and ASU 2011-12 are effective for us in our first quarter of fiscal 2013 and should be
applied retrospectively. We are currently evaluating the impact of our pending adoption of ASU 2011-05 and
ASU 2011-12 on our consolidated financial statements.
2. ACQUISITIONS
Fiscal 2012 Acquisitions
Acquisition of Taleo Corporation
On April 5, 2012, we completed our acquisition of Taleo Corporation (Taleo), a provider of cloud-based talent
management solutions. We have included the financial results of Taleo in our consolidated financial statements
from the date of acquisition. These results were not individually material to our consolidated financial
statements. The total preliminary purchase price for Taleo was approximately $2.0 billion, which consisted of
approximately $2.0 billion in cash and $10 million for the fair value of stock options and restricted stock-based
awards assumed. We have preliminarily recorded $1.1 billion of identifiable intangible assets and $282 million
of net tangible liabilities related primarily to deferred tax liabilities and customer performance obligations that
were assumed as a part of this acquisition based on their estimated fair values and $1.2 billion of residual
goodwill.
Acquisition of RightNow Technologies, Inc.
On January 25, 2012, we completed our acquisition of RightNow Technologies, Inc. (RightNow), a provider of
cloud-based customer service. We have included the financial results of RightNow in our consolidated financial
statements from the date of acquisition. These results were not individually material to our consolidated financial
statements. The total preliminary purchase price for RightNow was approximately $1.5 billion, which consisted
of approximately $1.5 billion in cash and $14 million for the fair value of stock options and restricted stock-
based awards assumed. We have preliminarily recorded $697 million of identifiable intangible assets and $296
million of net tangible liabilities related primarily to customer performance obligations, convertible debt and
deferred tax liabilities that were assumed as a part of this acquisition based on their estimated fair values, and
$1.1 billion of residual goodwill.
Acquisition of Pillar Data Systems, Inc.
On July 18, 2011, we acquired Pillar Data Systems, Inc. (Pillar Data), a provider of enterprise storage systems
solutions. Prior to the acquisition, Pillar Data was directly and indirectly majority-owned and controlled by
Lawrence J. Ellison, our Chief Executive Officer, director and largest stockholder. Pursuant to the agreement and
plan of merger dated as of June 29, 2011 (Merger Agreement), we acquired all of the issued and outstanding
equity interests of Pillar Data from the stockholders in exchange for rights to receive contingent cash
consideration (Earn-Out), if any, pursuant to an Earn-Out calculation. An affiliate of Mr. Ellison’s has a
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