Blizzard 2013 Annual Report Download - page 68

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49
The following table summarizes the contractually stated maturities of our short-term and long-term investments
classified as available-for-sale at December 31, 2013 (amounts in millions):
At December 31, 2013
Amortized
cost
Fair
Value
U.S. treasuries and government agency securities due in 1 year or less ............. $ 21 $ 21
Auction rate securities due after ten years ........................................................... 8 9
$ 29
$ 30
5. Inventories, Net
Our inventories, net consist of the following (amounts in millions):
At December 31,
2013 2012
Finished goods ...................................................................................................... $ 149 $ 171
Purchased parts and components ......................................................................... 22 38
Inventories, net ..................................................................................................... $ 171
$ 209
Inventory reserves were $42 million and $22 million at December 31, 2013 and 2012, respectively.
6. Software Development and Intellectual Property Licenses
The following table summarizes the components of our capitalized software development costs and intellectual
property licenses (amounts in millions):
At
December 31,
2013
At
December 31,
2012
Internally developed software costs ..................................................................... $ 189 $ 15 9
Payments made to third-party software developers ............................................. 199 134
Total software development costs ....................................................................... $ 388
$ 293
Intellectual property licenses ............................................................................... $ 11 $ 41
Amortization, write-offs and impairments of capitalized software development costs and intellectual property licenses
are comprised of the following (amounts in millions):
For the Years Ended December 31,
2013 2012 2011
Amortization of capitalized software development costs and
intellectual property licenses ...............................................................
.
$ 195 $ 205 $ 258
Write-offs and impairments ......................................................................
.
29 12 60
7. Property and Equipment, Net
Property and equipment, net was comprised of the following (amounts in millions):
At December 31,
2013 2012
Land .............................................................................................................................. $ 1 $ 1
Buildings ......................................................................................................................5 5
Leasehold improvements ............................................................................................. 96 80
Computer equipment .................................................................................................... 424 362
Office furniture and other equipment .......................................................................... 60 65
Total cost of property and equipment ..................................................................... 586 513
Less accumulated depreciation .................................................................................... (448) (372)
Property and equipment, net ................................................................................... $ 138
$ 141