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Table of Contents
SUPPORTSOFT, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
Enterprise Segment. Our Enterprise customers use our software to resolve technical problems for their customers and employees. Digital service
providers use our products to automate the installation, activation and verification of broadband services, to reduce the cost and improve the quality of technical
support, and to enable the remote management of devices located at their customers’ premises. Corporate IT departments and IT outsourcing firms use our
software to improve the cost-effectiveness and efficiency of technical support for employees through our integrated portfolio of proactive service, self-service
and assisted service products.
Corporate. This category consists of common corporate expenses such as general and administrative expenses, interest income, and other income or
expenses, which are items that we do not allocate to our business segments.
The accounting policies of the segments are the same as those described in the summary of significant accounting policies in Note 1. We do not track
assets and liabilities by reportable segment and therefore do not disclose total assets and liabilities by reporting segment. There are no intersegment sales.
The following table shows our financial results by reportable segment for the year of 2008 (in thousands):
Enterprise Consumer Corporate Consolidated
Revenue:
License $ 11,813 $ — $ — $ 11,813
Maintenance 15,881 — — 15,881
Services 14,365 — — 14,365
Consumer — 6,811 — 6,811
Total revenue 42,059 6,811 — 48,870
Segment operating costs and expenses (29,758) (24,329) — (54,087)
Amortization of intangible assets (90) (112) — (202)
Common corporate expenses — — (8,691) (8,691)
Restructuring and impairment charges (690) (670) (525) (1,885)
Stock-based compensation (1,789) (1,499) (1,790) (5,078)
Interest income & other, net — — 2,506 2,506
Income (loss) before income taxes $ 9,732 $ (19,799) $ (8,500) $ (18,567)
Revenue from customers located outside the United States was approximately $11.2 million, $11.4 million, and $10.3 million for the years ended
December 31, 2008, 2007, and 2006, respectively.
Sales by the Company to customers in different geographic areas, expressed as a percentage of revenue, for the periods ended were as follows:
Year Ended
December 31,
2008 2007 2006
Americas 78% 78% 78%
Asia Pacific 2 3 1
Europe 20 19 21
Total 100% 100% 100%
67
Source: SUPPORTSOFT INC, 10-K, March 11, 2009