eBay 2000 Annual Report Download - page 89

Download and view the complete annual report

Please find page 89 of the 2000 eBay annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 92

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92

eBay Inc.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
Internet Auction
On February 15, 2001, eBay acquired a majority interest in Internet Auction Co., Ltd., a South Korean
company (""Internet Auction''). Internet Auction introduced person-to-person trading in Korea when it
launched in April 1998. Internet Auction is listed on the KOSDAQ and is expected to continue to trade on
KOSDAQ.
In connection with the acquisition of the majority interest in Internet Auction, eBay acquired 6,274,795
of the outstanding shares, slightly more than 50%, at a Ñxed price of 24,000 Korean won per share or
approximately $120 million in the aggregate. The transaction will be accounted for using the purchase method
of accounting and accordingly, the purchase price will be allocated to the tangible and intangible assets
acquired and the liabilities assumed on the basis of their respective fair values on the acquisition date.
iBazar S.A.
On February 21, 2001, eBay signed an agreement to acquire iBazar S.A. (iBazar). iBazar is based in
Paris and introduced online, person-to-person trading in France when it launched in October 1998. Currently,
iBazar has websites in Belgium, Brazil, France, Italy, the Netherlands, Portugal, Spain, and Sweden.
As consideration for 100% of the outstanding shares of iBazar, eBay will issue approximately 2,250,000
shares of eBay's common stock, subject to a minimum valuation of approximately $66 million and a maximum
valuation of approximately $112 million, based on the value of eBay's stock at closing. The acquisition will be
accounted for as a purchase business combination and is subject to various regulatory approvals.
Sale of property
In March 2001, ButterÑelds sold its Chicago property for approximately $4.5 million in cash.
Note 17 Ì Quarterly Financial Data-Unaudited
The following tables present certain unaudited consolidated quarterly Ñnancial information for each of the
eight quarters ended December 31, 2000. In the opinion of eBay's management, this quarterly information has
been prepared on the same basis as the consolidated Ñnancial statements and includes all adjustments
necessary to present fairly the information for the periods presented. The results of operations for any quarter
are not necessarily indicative of results for the full year or for any future period. The quarterly Ñnancial data
84