Earthlink 2011 Annual Report Download - page 103

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Table of Contents
EARTHLINK, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
restructuring and acquisition-
related costs in the Consolidated Statements of Operations. During the year ended December 31, 2009, EarthLink
recorded a reduction of $ $0.1 million and during the year ended December 31 2010, EarthLink recorded $0.3 million of facility exit and
restructuring costs as a result of changes in estimates for Legacy Plans. As of December 31, 2011, all costs related to Legacy Plans had been paid
or otherwise settled.
Acquisition
-Related Costs
Acquisition-
related costs consist of external costs directly related to EarthLink's acquisitions, including transaction related costs, such as
advisory, legal, accounting, valuation and other professional fees; employee severance and retention costs; costs to settle stock-
based awards
attributable to postcombination service in connection with the ITC^DeltaCom acquisition; facility-
related costs, such as lease termination and
asset impairments; and integration-
related costs, such as system conversion, rebranding costs and integration related consulting and employee
costs. Acquisition-
related costs are expensed in the period in which the costs are incurred and the services are received and are included in
restructuring and acquisition-related costs in the Consolidated Statement of Operations. Acquisition-
related costs consisted of the following
during the years ended December 31, 2009, 2010 and 2011:
5. Investments
Marketable Securities
The Company's marketable securities consisted of the following as of December 31, 2010 and 2011:
96
Year Ended December 31,
2009
2010
2011
(in thousands)
Transaction
-
related costs
—
10,164
5,756
Severance and retention costs
—
5,047
16,460
Costs to settle postcombination stock awards
—
5,742
—
Facility
-
related costs
—
—
5,530
Integration
-
related costs
—
—
4,044
Total acquisition
-
related costs
—
20,953
31,790
As of December 31,
2010 2011
(in thousands)
Government and agency securities
284,441
$
11,304
Corporate debt securities
21,011
11,057
Commercial paper
14,666
4,246
Certificates of deposit
—
3,000
Total marketable securities
320,118
29,607
Less: classified as current
(307,814
)
(28,606
)
Total long
-
term marketable securities
12,304
$
1,001