EMC 2011 Annual Report Download - page 89

Download and view the complete annual report

Please find page 89 of the 2011 EMC annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 145

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145

Table of Contents
EMC CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)
Stock-Based Compensation Expense
The following tables summarize the components of total stock-based compensation expense included in our consolidated income statements in 2011,
2010 and 2009 (in thousands):
Year Ended December 31, 2011
Stock Options
Restricted
Stock
Total Stock-Based
Compensation
Cost of product sales $ 29,504 $ 31,194 $ 60,698
Cost of services 25,221 37,758 62,979
Research and development 106,556 192,699 299,255
Selling, general and administrative 164,760 248,479 413,239
Stock-based compensation expense before income taxes 326,041 510,130 836,171
Income tax benefit 73,293 119,850 193,143
Total stock-based compensation, net of tax $ 252,748 $ 390,280 $ 643,028
Year Ended December 31, 2010
Stock Options
Restricted
Stock
Total Stock-Based
Compensation
Cost of product sales $ 29,586 $ 20,646 $ 50,232
Cost of services 29,493 28,928 58,421
Research and development 112,484 146,262 258,746
Selling, general and administrative 156,059 161,595 317,654
Stock-based compensation expense before income taxes 327,622 357,431 685,053
Income tax benefit 75,771 89,902 165,673
Total stock-based compensation, net of tax $ 251,851 $ 267,529 $ 519,380
Year Ended December 31, 2009
Stock Options
Restricted
Stock
Total Stock-Based
Compensation
Cost of product sales $ 33,423 $ 15,836 $ 49,259
Cost of services 35,004 15,130 50,134
Research and development 118,875 95,679 214,554
Selling, general and administrative 189,154 102,605 291,759
Restructuring charges (1,015) (306) (1,321)
Stock-based compensation expense before income taxes 375,441 228,944 604,385
Income tax benefit 78,517 56,326 134,843
Total stock-based compensation, net of tax $ 296,924 $ 172,618 $ 469,542
Stock-based compensation expense includes $43.6 million, $34.9 million and $46.9 million of expense associated with our employee stock purchase
plans for 2011, 2010 and 2009, respectively.
The table below presents the net change in amounts capitalized or accrued in 2011 and 2010 for the following items (in thousands):
Increased (decreased)
during the year ended
December 31, 2011
Increased (decreased)
during the year ended
December 31, 2010
Inventory $ 111 $ (850)
Accrued expenses (accrued warranty expenses) (1,702) 553
Other assets 4,552 11
87