Autodesk 2010 Annual Report Download - page 151

AUTODESK, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
All of Autodesk’s marketable securities are subject to a periodic impairment review. The Company
recognizes an impairment charge when a decline in the fair value of its investments below the cost basis is
judged to be other-than-temporary. Autodesk considers various factors in determining whether to recognize an
impairment charge, including the length of time and extent to which the fair value has been less than Autodesk’s
cost basis, the financial condition and near-term prospects of the investee, and Autodesk’s intent and ability to
hold the investment for a period of time sufficient to allow for any anticipated recovery in the market value.
Autodesk did not record any other-than temporary impairment charges during fiscal 2010, however, $5.9 million
of other-than-temporary impairment charges were recorded through interest and other income, net during fiscal
year 2009. For additional information, see “Concentration of Credit Risk” within this Note 1, and Note 2,
“Financial Instruments and Hedging Activities.”
Accounts Receivable, Net
Accounts receivable, net consisted of the following as of January 31:
2010 2009
Trade accounts receivable ....................................... $316.5 $351.7
Less: Allowance for doubtful accounts ............................. (4.6) (8.6)
Product returns reserve .................................... (11.8) (12.5)
Partner programs and other reserves .......................... (22.7) (14.1)
Accounts receivable, net ........................................ $277.4 $316.5
Allowances for uncollectible trade receivables are based upon historical loss patterns, the number of days
that billings are past due and an evaluation of the potential risk of loss associated with problem accounts.
The product returns and other reserves are based on historical experience of actual product returns,
estimated channel inventory levels, the timing of new product introductions, channel sell-in for applicable
markets and other factors.
Partner program and other reserves are primarily related to partner incentives that use quarterly attainment
monetary rewards to motivate distributors and resellers to achieve mutually agreed upon business goals in a
specified time period.
Concentration of Credit Risk
Autodesk places its cash, cash equivalents and marketable securities in highly liquid instruments with, and
in the custody of, financial institutions with high credit ratings and limits the amounts invested with any one
institution, type of security and issuer.
Geographical concentrations of consolidated cash, cash equivalents and marketable securities held by
Autodesk as of January 31:
2010 2009
United States ...................................................... 12% 12%
Other Americas .................................................... 2% 4%
Europe, Middle East and Africa (“EMEA”) ............................. 48% 45%
Asia Pacific (“APAC”) .............................................. 38% 39%
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