Autodesk 2011 Annual Report Download - page 116

our business; capital expenditures, including the purchase and implementation of internal-use software
applications; and funding restructuring costs.
Our cash, cash equivalent and marketable securities balances are concentrated in a few locations around the
world, with a substantial amount held outside of the U.S. We believe that such dispersion is appropriate and
meets our business and liquidity needs. A portion of this cash, cash equivalents and marketable securities could
be subject to certain taxes, including U.S. income taxes, in the event we believe repatriation to the U.S. is
appropriate.
Our existing cash, cash equivalents and investment balances may decline in fiscal 2012 in the event of a
weakening of the global economy or changes in our planned cash outlay. Cash from operations could also be
affected by various risks and uncertainties, including, but not limited to the risks detailed in Part I, Item 1A titled
“Risk Factors.” However, based on our current business plan and revenue prospects, we believe that our existing
balances, our anticipated cash flows from operations and our available credit facility will be sufficient to meet
our working capital and operating resource expenditure requirements for the next 12 months. Our existing U.S.
credit facility is currently $250.0 million of which we have no amounts outstanding. This credit facility is
available for working capital and other business needs.
Our revenue, earnings, cash flows, receivables and payables are subject to fluctuations due to changes in
foreign currency exchange rates. Our risk management strategy utilizes foreign currency contracts to manage our
exposure to foreign currency volatility that exists as part of our ongoing business operations. We utilize cash
flow hedge contracts to reduce the exchange rate impact on a portion of the net revenue or operating expense of
certain anticipated transactions. In addition, we use balance sheet hedge contracts to reduce the exchange rate
risk associated primarily with foreign currency denominated receivables and payables. As of January 31, 2011
and 2010, we had open cash flow and balance sheet hedge contracts with future settlements within one to twelve
months. Contracts were primarily denominated in euros, Japanese yen, Swiss francs, British pounds and
Canadian dollars. We do not enter into any foreign exchange derivative instruments for trading or speculative
purposes. The notional amount of our option and forward contracts was $401.6 million and $258.7 million at
January 31, 2011 and 2010, respectively.
Contractual Obligations
The following table summarizes our significant financial contractual obligations at January 31, 2011 and the
effect such obligations are expected to have on our liquidity and cash flows in future periods.
Total
Fiscal Year
2012
Fiscal Years
2013-2014
Fiscal Years
2015-2016 Thereafter
(in millions)
Operating lease obligations ............. $228.7 $ 51.3 $ 76.4 $46.9 $54.1
Purchase obligations ................... 73.3 52.0 17.7 3.6 —
Deferred compensation obligations ....... 31.3 3.4 6.7 7.2 14.0
Pension obligations .................... 20.4 2.2 4.2 4.2 9.8
Other obligations(1) ................... 30.4 10.8 12.9 4.9 1.8
Total(2) ......................... $384.1 $119.7 $117.9 $66.8 $79.7
(1) Other obligations include future sabbatical obligations and asset retirement obligations.
(2) This table generally excludes amounts already recorded on the balance sheet as current liabilities, certain
purchase obligations as discussed below, long term deferred revenue and amounts related to income tax
liabilities for uncertain tax positions, since we cannot predict with reasonable reliability the timing of cash
settlements to the respective taxing authorities (see Note 5 “Income Taxes” to the Notes to Consolidated
Financial Statements).
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