Adobe 2015 Annual Report Download - page 30

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Table of Contents
30
Our investment portfolio may become impaired by deterioration of the financial markets.
Our cash equivalent and short-term investment portfolio as of November 27, 2015 consisted of corporate bonds and
commercial paper, U.S. agency securities and U.S. Treasury securities, foreign government securities, money market mutual funds,
municipal securities, time deposits and asset-backed securities. We follow an established investment policy and set of guidelines
to monitor and help mitigate our exposure to interest rate and credit risk. The policy sets forth credit quality standards and limits
our exposure to any one issuer, as well as our maximum exposure to various asset classes.
Should financial market conditions worsen in the future, investments in some financial instruments may pose risks arising
from market liquidity and credit concerns. In addition, any deterioration of the capital markets could cause our other income and
expense to vary from expectations. As of November 27, 2015, we had no material impairment charges associated with our short-
term investment portfolio, and although we believe our current investment portfolio has little risk of material impairment, we
cannot predict future market conditions or market liquidity, or credit availability, and can provide no assurance that our investment
portfolio will remain materially unimpaired.
ITEM 1B. UNRESOLVED STAFF COMMENTS
None.
ITEM 2. PROPERTIES
The following table sets forth the location, approximate square footage and use of each of the principal properties used by
Adobe during fiscal 2015. We lease or sublease all of these properties with the exception of our property in Noida, India where
we own the building and lease the land, in Lehi where we own the building and land, in San Francisco at 601 and 625 Townsend
Street where we own the building and land, and our corporate offices in San Jose where we own the land and the East and West
tower buildings and lease the Almaden Tower building. All leased properties are leased under operating leases. Such leases expire
at various times through 2028, with the exception of our land lease in Noida, India that expires in 2091. The annual base rent
expense (including operating expenses, property taxes and assessments, as applicable) for all leased facilities is currently
approximately $87.3 million and is subject to annual adjustments as well as changes in interest rates.
Location
Approximate
Square
Footage Use
North America:
West Tower, 345 Park Avenue
San Jose, CA 95110, USA 391,000 Research, product development, sales, marketing and
administration
East Tower, 321 Park Avenue
San Jose, CA 95110, USA 325,000 Research, product development, sales, marketing and
administration
Almaden Tower, 151 Almaden Boulevard
San Jose, CA 95110, USA 273,000 Product development, sales and administration
601 and 625 Townsend Street
San Francisco, CA 94103, USA 346,000 (1) Research, product development, sales, marketing and
administration
801 N. 34th Street-Waterfront
Seattle, WA 98103, USA 182,000 (2) Product development, sales, technical support and
administration
410 Townsend Street
San Francisco, CA 94107, USA 47,000 Research, product development, sales, marketing and
administration
3900 Adobe Way
Lehi, UT 84043, USA 257,000 Research, product development, sales, marketing and
administration
7930 Jones Branch Drive
McLean, VA 22102, USA 34,000 (3) Sales and marketing
1540 Broadway
New York, NY 10036, USA 55,000 Sales and marketing
343 Preston Street
Ottawa, Ontario K1S 5N4, Canada 122,000 (4) Research, product development, sales, marketing and
administration
25100 NW Evergreen Rd
Hillsboro, OR 97124, USA 85,000 Data center
India:
Adobe Towers, 1-1A, Sector 25A
Noida, U.P. 191,000 Product development and administration