TripAdvisor 2011 Annual Report Download - page 88

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Table of Contents
development costs. For the years ended December 31, 2011, 2010 and 2009, we recorded amortization of capitalized software and website
development costs of $12 million, $8 million and $6 million, respectively, which is included in depreciation expense on our consolidated and
combined statement of operations.
NOTE 5: GOODWILL AND INTANGIBLE ASSETS, NET
The following table presents the changes in goodwill for the years ended December 31:
In 2011 and 2010, the additions to goodwill relate to our acquisitions. See “Note 3— Acquisitions ,” above for further information.
Intangible assets, which were acquired in business combinations and recorded at fair value on the date of purchase, consist of the following
as of December 31:
Amortization expense was $8 million, $15 million, and $14 million, respectively, for the years ended December 31, 2011, 2010 and 2009.
Included within amortization expense for 2010 was a charge of approximately $4 million related to changes in the estimated amount of
contingent purchase consideration. In 2011 this amount was not material.
Our indefinite-lived assets relate to trade names and trademarks acquired in various acquisitions. The following table presents the
components of our intangible assets with definite lives as of December 31, 2011 and 2010:
84
2011
2010
(In thousands)
Beginning balance as of January 1
$
460,610
$
418,170
Additions
6,390
40,703
Foreign exchange translation adjustment
(108
)
1,737
Ending balance as of December 31
$
466,892
$
460,610
2011
2010
(In thousands)
Intangible assets with definite lives
$
89,323
$
87,582
Less: accumulated amortization
(75,593
)
(67,788
)
Intangible assets with definite lives, net
13,730
19,794
Intangible assets with indefinite lives
30,300
30,300
$
44,030
$
50,094
December 31, 2011
December 31, 2010
Weighted Ave
Remaining Life
(in years)
Cost
Accumulated
Amortization
Net
Cost
Accumulated
Amortization
Net
(In thousands)
(In thousands)
Trade names
4.4
$
17,030
$
(9,104
)
$
7,926
$
16,721
$
(5,952
)
$
10,769
Subscriber relationships
1.9
19,290
(14,470
)
4,820
18,836
(11,748
)
7,088
Technology and other
1.9
53,003
(52,019
)
984
52,025
(50,088
)
1,937
Total
3.4
$
89,323
$
(75,593
)
$
13,730
$
87,582
$
(67,788
)
$
19,794