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Table of Contents
ADOBE SYSTEMS INCORPORATED
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
71
Under the acquisition method of accounting, the total final purchase price was allocated to Neolane’s net tangible and
intangible assets based upon their estimated fair values as of July 22, 2013. The total final purchase price for Neolane was $616.7
million of which $515.2 million was allocated to goodwill that was non-deductible for tax purposes, $115.0 million to identifiable
intangible assets and $13.5 million to net liabilities assumed.
Behance
On December 20, 2012, we completed our acquisition of privately held Behance, an online social media platform to showcase
and discover creative work. During the first quarter of fiscal 2013, we began integrating Behance into our Digital Media reportable
segment. Behance’s community and portfolio capabilities have accelerated our strategy to bring additional community features to
Creative Cloud.
Under the acquisition method of accounting, the total purchase price was allocated to Behance’s net tangible and intangible
assets based upon their estimated fair values as of December 20, 2012. The total final purchase price for Behance was approximately
$111.1 million of which $91.4 million was allocated to goodwill, $28.5 million to identifiable intangible assets and $8.8 million
to net liabilities assumed.
We also completed other immaterial business acquisitions during the fiscal years presented. Pro forma information has not
been presented for any of our fiscal 2015, 2014 and 2013 acquisitions as the impact to our Consolidated Financial Statements was
not material.
NOTE 3. CASH, CASH EQUIVALENTS AND SHORT-TERM INVESTMENTS
Cash equivalents consist of instruments with remaining maturities of three months or less at the date of purchase. We classify
all of our cash equivalents and short-term investments as “available-for-sale.” In general, these investments are free of trading
restrictions. We carry these investments at fair value, based on quoted market prices or other readily available market information.
Unrealized gains and losses, net of taxes, are included in accumulated other comprehensive income, which is reflected as a separate
component of stockholders’ equity in our Consolidated Balance Sheets. Gains and losses are recognized when realized in our
Consolidated Statements of Income. When we have determined that an other-than-temporary decline in fair value has occurred,
the amount of the decline that is related to a credit loss is recognized in income. Gains and losses are determined using the specific
identification method.