Autodesk 2002 Annual Report Download - page 58

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AUTODESK, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
Of the $17.1 million of charges resulting from the acquisition of Discreet, $14.1 million related to
transaction costs, $2.6 million related to restructuring costs and $0.4 million related to one-time costs.
Of the $15.5 million of corporate restructuring charges, which resulted from Autodesk’s efforts to reduce
operating expenses, $11.7 million related to termination and other employee costs associated with the elimination
of 350 positions, most of which occurred in the U.S.; $3.2 million related to office closure costs; and $0.6 million
related to one-time costs. Employee termination costs included wage continuation, advance notice pay and
medical and other benefits. Office closure costs included losses on operating lease payments ($1.1 million) and
the write-off of leasehold improvements and equipment ($2.1 million). During fiscal 2001, the restructuring was
substantially completed.
Note 12. Segments
Autodesk’s operating results have been aggregated into two reportable segments: the Discreet Segment and
the Design Solutions Segment.
The Discreet Segment derives revenues from the sale of its products to creative professionals for a variety of
applications, including feature films, television programs, commercials, music and corporate videos, interactive
game production, Web design and interactive Web streaming.
The Design Solutions Segment derives revenues from the sale of design software products for professionals
or consumers who design, draft and diagram, and from the sale of mapping and geographic information systems
technology to public and private users. The Design Solutions Segment consists primarily of the following
business divisions, all of which have industry-specific focuses: Manufacturing; Geographic Information Services;
Building Industry Division; and the Platform Technology Group.
Both segments primarily distribute their respective products through authorized dealers and distributors,
and, in some cases, they also sell their products directly to end-users.
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