Autodesk 2008 Annual Report Download - page 156

AUTODESK, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
liquid, and in the event Autodesk needs to access these funds, the Company will not be able to do so without a
loss of principal unless a future auction on these investments is successful. Autodesk has reduced the carrying
value of these investments by $0.6 million, $0.4 million net of tax, through other comprehensive income or loss
to reflect a temporary impairment on these securities. Currently, Autodesk believes these investments are not
other-than-temporarily impaired, but it is not clear in what period of time they will be settled. Based on its ability
to access its cash and other short-term investments, its expected operating cash flows and its other sources of
cash, Autodesk has the intention and ability to hold the securities until the value recovers or to maturity. The
Company will continue to evaluate its accounting for these investments quarterly.
Note 13. Business Combinations
The following acquisitions were accounted for under Statement of Financial Accounting Standards No. 141,
“Business Combinations (“SFAS 141”). Accordingly, the results of operations of each acquisition are included in
the accompanying Consolidated Statements of Income since the acquisition dates, and the related assets and
liabilities were recorded based upon their relative fair values at their respective acquisition dates. Pro forma
financial information has been presented for the Alias acquisition. Pro forma financial information for the other
acquired entities has not been presented, as their historical operations were not material to Autodesk’s
consolidated financial statements either individually or in the aggregate.
Robobat
In January 2008, Autodesk acquired Robobat S.A (“Robobat”), a privately held company headquartered in
Grenoble, France. The acquisition was valued at $42.5 million. The acquisition closed on January 14, 2008 and is
being incorporated into the Architecture, Engineering and Construction (“AEC”) division of the Design Solutions
Segment. Integration is expected to be completed in the second quarter of fiscal 2009.
The addition of Robobat technology will enable Autodesk to develop structural analysis and detailing
solutions that leverage the information at the heart of building information modeling (“BIM”) from design to
fabrication. It also complements Autodesk’s current structural engineering software offerings and will help
Autodesk provide a more complete set of well integrated solutions to the structural engineering industry.
Management’s preliminary allocation of the purchase price consideration, based on a valuation of acquired
assets and liabilities, is as follows:
Robobat:
Developed technologies (5 year useful life) .......................................... $ 8.6
Customer relationships (6 year useful life) .......................................... 9.9
In-process research and development .............................................. 1.8
Goodwill ..................................................................... 25.9
Deferred revenue .............................................................. (0.7)
Restructuring reserve ........................................................... (0.9)
Net tangible assets ............................................................. (2.1)
$42.5
In-process research and development represents incomplete Robobat research and development projects that
had not reached technological feasibility and had no alternative future use as of the acquisition date and was
recorded during fiscal 2008 in research and development on the Consolidated Statement of Income.
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