Amazon.com 2005 Annual Report Download - page 88

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AMAZON.COM, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
Net sales shipped to customers outside of the U.S. represented approximately 49%, 49%, and 43% of net
sales for 2005, 2004, and 2003. Net sales from www.amazon.co.uk,www.amazon.de, and www.amazon.co.jp each
represented 10% or more of consolidated net sales in 2005 and 2004; net sales from www.amazon.co.uk and
www.amazon.de each represented 10% or more of consolidated net sales in 2003. Net fixed assets held in
locations outside the U.S. were $68 million, $57 million, and $45 million at December 31, 2005, 2004, and 2003.
Total assets, by segment, reconciled to consolidated amounts were (in millions):
December 31,
2005 2004
North America .............................................. $2,325 $1,921
International ............................................... 1,371 1,327
Consolidated ........................................... $3,696 $3,248
Depreciation expense, by segment, was as follows (in millions):
Year Ended December 31,
2005 2004 2003
North America ...................................... $ 94 $63 $60
International ....................................... 19 11 10
Consolidated ................................... $113 $74 $70
Note 13—FAIR VALUES OF FINANCIAL INSTRUMENTS
The carrying amount and estimated fair values of our financial instruments were as follows (in millions):
December 31,
2005 2004
Carrying
Amount Fair Value
Carrying
Amount Fair Value
Cash and cash equivalents .................................. $1,013 $1,013 $1,303 $1,303
Marketable securities (1) ................................... 987 987 476 476
Other equity investments (2) ................................ 8 45 15 59
Long-term debt (3) ........................................ 1,480 1,454 1,835 1,843
(1) The fair value of marketable securities is determined from publicly quoted prices. See “Note 2—Cash, Cash
Equivalents, and Marketable Securities.”
(2) The fair value of other equity investments is determined from publicly quoted prices, plus the carrying
amount of privately-held investments for which market values are not readily determinable. We evaluate
“Other equity investments” for impairment in accordance with our stated policy. See “Note 1—Description
of Business and Accounting Policies.”
(3) The fair value of our long-term debt is determined based on quoted prices. See “Note 4—Long-Term Debt
and Other.”
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