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ADOBE SYSTEMS INCORPORATED
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
108
adjusted risk-free interest rate, estimated at approximately 7% as of the date we ceased to use the leased properties. This
amount is net of the fair value of future estimated sublease income of approximately $7.1 million. We also recorded charges
of $18.4 million in termination benefits for the elimination of substantially all of the remaining full-time positions expected
to be terminated worldwide. We also recorded net adjustments of approximately $1.7 million to reflect net decreases in
previously recorded estimates for termination benefits and facilities-related liabilities. Total costs incurred to date and
expected to be incurred for closing redundant facilities are $6.7 million and $13.7 million, respectively.
Omniture Restructuring Plan
We completed our acquisition of Omniture on October 23, 2009. In the fourth quarter of fiscal 2009, we initiated a plan
to restructure the pre-merger operations of Omniture to eliminate certain duplicative activities, focus our resources on future
growth opportunities and reduce our cost structure. In connection with this restructuring plan, we accrued a total of
approximately $10.6 million in costs related to termination benefits for the elimination of approximately 100 regular
positions and for the closure of duplicative facilities. We also accrued approximately $0.2 million in costs related to the
cancellation of certain contracts associated with the wind-down of subsidiaries and other service contracts held by Omniture.
These costs were recorded as a part of the purchase price allocation, as discussed in Note 2.
Additionally, approximately $1.5 million of restructuring costs related to facilities were included in the liabilities
assumed by us upon acquisition of Omniture on October 23, 2009. Restructuring costs related to these facilities were
approximately $1.4 million at November 27, 2009.
Fiscal 2008 Restructuring Plan
In the fourth quarter of fiscal 2008, we initiated a restructuring program, consisting of reductions in workforce of
approximately 560 full-time positions globally and the consolidation of facilities, in order to reduce our operating costs and
focus our resources on key strategic priorities. In connection with this restructuring program, we recorded restructuring
charges totaling $29.2 million related to ongoing termination benefits for the elimination of approximately 460 of the 560
full-time positions globally.
During fiscal 2009, we continued to implement restructuring activities under this program. We vacated approximately
89,000 square feet of research and development and sales facilities in the U.S., the United Kingdom and Canada. We accrued
$8.5 million for the fair value of our future contractual obligations under these operating leases using our credit-adjusted risk-
free interest rate, estimated at approximately 6% as of the date we ceased to use the leased properties. This amount is net of
the fair value of future estimated sublease income of approximately $4.4 million. We also recorded additional charges of $6.7
million in termination benefits for the elimination of substantially all of the remaining 100 full-time positions expected to be
terminated. Total costs incurred to date and expected to be incurred for closing redundant facilities are $8.5 million and $8.6
million, respectively.
Macromedia Restructuring Plan
We completed our acquisition of Macromedia on December 3, 2005. In connection with this acquisition, we initiated
plans to restructure both the pre-merger operations of Adobe and Macromedia to eliminate certain duplicative activities,
focus our resources on future growth opportunities and reduce our cost structure. In connection with the worldwide
restructuring plan, we recognized costs related to termination benefits for employee positions that were eliminated and for the
closure of duplicative facilities. We also recognized costs related to the cancellation of certain contracts associated with the
wind-down of subsidiaries and other service contracts held by Macromedia. Total costs incurred for termination benefits and
contract terminations were $27.0 million and $3.2 million, respectively, and those actions were completed during fiscal 2007.