Adobe 2012 Annual Report Download - page 98

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98
Net gains (losses) recognized in interest and other income (expense), net relating to balance sheet hedging for fiscal 2012,
2011 and 2010 were as follows (in thousands):
2012 2011 2010
Gain (loss) on foreign currency assets and liabilities:
Net realized gain (loss) recognized in other income.............................................. $ (5,899) $ 6,604 $ (11,470)
Net unrealized loss recognized in other income..................................................... (4,720)(4,062)(12,345)
(10,619) 2,542 (23,815)
Gain (loss) on hedges of foreign currency assets and liabilities:
Net realized gain recognized in other income........................................................ 9,312 4,633 21,921
Net unrealized gain (loss) recognized in other income.......................................... (570)(8,606) 12,247
8,742 (3,973) 34,168
Net gain (loss) recognized in interest and other income (expense), net................... $ (1,877) $ (1,431) $ 10,353
NOTE 6. PROPERTY AND EQUIPMENT
Property and equipment, net consisted of the following as of November 30, 2012 and December 2, 2011 (in thousands):
2012 2011
Computers and equipment ............................................................................................ $ 702,270 $ 581,670
Furniture and fixtures.................................................................................................... 84,697 75,384
Server hardware under capital lease.............................................................................. 35,303 32,151
Capital projects in-progress .......................................................................................... 63,980 44,219
Leasehold improvements .............................................................................................. 222,262 206,529
Land .............................................................................................................................. 114,941 113,960
Buildings....................................................................................................................... 175,222 99,845
Total............................................................................................................................... 1,398,675 1,153,758
Less accumulated depreciation and amortization ......................................................... (734,373)(625,930)
Property and equipment, net....................................................................................... $ 664,302 $ 527,828
Depreciation and amortization expense of property and equipment for fiscal 2012, 2011 and 2010 was $134.4 million,
$117.5 million and $107.5 million, respectively.
NOTE 7. GOODWILL AND PURCHASED AND OTHER INTANGIBLES
During fiscal years 2012, 2011 and 2010, we modified our segments due to changes in how we operate our business. See
Note 18 for further information regarding our segment changes. Prior year information in the tables below has been reclassified
to reflect these changes.
Goodwill by reportable segment and activity for the years ended November 30, 2012 and December 2, 2011 was as follows
(in thousands):
2010 Acquisitions Other(1) 2011 Acquisitions Other(2) 2012
Digital Media....................... $1,799,514 $ 173,811 $ (833) $1,972,492 $ — $ (616) $1,971,876
Digital Marketing ................ 1,583,738 38,728 (4,292) 1,618,174 291,422 (6,675) 1,902,921
Print and Publishing ............ 258,592 — (41) 258,551 — (89) 258,462
Goodwill............................ $3,641,844 $ 212,539 $ (5,166) $3,849,217 $ 291,422 $ (7,380) $4,133,259
Table of Contents
ADOBE SYSTEMS INCORPORATED
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)