Symantec 2002 Annual Report Download - page 89

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SYMANTEC CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Ì (Continued)
The components of income, net of expense, from sale of technologies and product lines were as follows:
Year Ended March 31,
2002 2001 2000
(In thousands)
Royalties from Interact ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ $15,500 $19,250 $ 5,000
Gain on divestiture of:
Web access management product line ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 392 Ì Ì
Visual Cafπe product line ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ Ì Ì 68,523
ACT! product lineÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ Ì Ì 18,285
Amortization of developed technology related to web access
management product lineÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ (1,050) Ì Ì
Other royalties and transition fees ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 694 801 894
Payments from JetFormÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ Ì 397 14,656
Income, net of expense, from sale of technologies and product
lines ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ $15,536 $20,448 $107,358
Note 4. Acquired Product Rights
During Ñscal 2002, we recorded approximately $1.1 million of non-acquisition product rights. This
increase was oÅset by a write oÅ of $804,000 for net workforce-in-place related to our divestiture of our web
access management product line. During Ñscal 2001, we recorded approximately $86.2 million of acquired
product rights, related to our acquisition of AXENT. During Ñscal 2000, we recorded approximately
$11.3 million of acquired product rights, primarily related to our acquisitions of 20/20, L-3 and URLabs.
During Ñscal 2002, amortization of acquired product rights totaled approximately $32.2 million, of which
$31.1 million and $1.1 million was recorded in cost of revenues and income (net of expense) from sale of
technologies and product lines, respectively. During Ñscal 2001 and 2000, amortization of acquired product
rights totaled approximately $17.3 million and $9.7 million during Ñscal 2001 and 2000, respectively, and was
recorded in cost of revenues. Acquired product rights, with the exception of workforce-in-place, will be
amortized over the next four years. EÅective April 1, 2002, the remaining balance of workforce-in-place of
approximately $3.9 million, net of a deferred tax liability, will no longer be amortized but will be subject to an
annual impairment test in accordance with SFAS No. 142. See Note 3 of Notes to Consolidated Financial
Statements.
Note 5. Investments
Cash Equivalents, Short-term Investments and Trading Investments
All cash equivalents and short-term investments were classiÑed as available-for-sale securities, except for
our trading securities. We maintain a trading asset portfolio in connection with our executive deferred
compensation arrangements that consists of marketable equity securities, which had a fair value of
approximately $1.1 million and $1.2 million as of March 31, 2002 and 2001, respectively. Any activity related
to these trading assets has a corresponding eÅect on the carrying value of the related deferred compensation
liability. These trading assets have not been separately disclosed on the balance sheet due to their immaterial
amounts and were instead included in the following tabular disclosures.
67