TiVo 2011 Annual Report Download - page 92

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Table of Contents
The assumptions used for the twelve months ended January 31, 2012, 2011, and 2010, respectively, and the resulting estimates of weighted-average fair
value per share of options and ESPP shares granted during those periods are as follows:
ESPP Stock Options
Fiscal Year Ended January 31,
2012 2011 2010 2012 2011 2010
Expected life (in years) 0.78 0.74 0.70 4.48 4.59 4.42
Volatility 68% 66% 93% 65% 62% 69%
Average risk free interest rate 0.28% 0.34% 1.52% 1.61% 2.30% 2.02%
Dividend Yield —% —% —% —% —% —%
Weighted-average fair value during the period $ 3.29 $ 3.11 $ 3.25 $ 5.06 $ 4.29 $ 5.30
13. RETIREMENT PLANS
In December 1997, the Company established a 401(k) Retirement Plan (“the Retirement Plan”) available to employees who meet the plan’s eligibility
requirements. Participants may elect to contribute a percentage of their compensation to the Retirement Plan up to a statutory limit. Participants are fully
vested in their contributions. The Company may make discretionary contributions to the Retirement Plan as a percentage of participant contributions, subject
to established limits. The Company has not made any contributions to the Retirement Plan from inception through January 31, 2012.
14. ADOPTION OF STOCKHOLDER RIGHTS PLAN
On January 9, 2001, TiVo’s Board of Directors declared a dividend distribution of one Preferred Share Purchase Right (“Right”) on each outstanding
share of TiVo common stock outstanding at the close of business on January 1, 2001 (“the Rights Plan”). Subject to limited exceptions, the Rights were
exercisable if a person or group acquired 15% or more of the Company's common stock or announced a tender offer for 15% or more of the common stock.
This plan expired on October 29, 2011.
15. COMPREHENSIVE INCOME (LOSS)
The components of comprehensive income (loss) are as follows:
Fiscal Year Ended January 31,
2012 2011 2010
(In thousands)
Net income (loss) $ 102,161 $ (84,512) $ (23,036)
Other comprehensive income (loss):
Available-for-sale securities:
Unrealized gain (loss) on marketable securities (27) 203 409
Reclassification adjustment for gains on available-for-sale securities recognized during the period 510 — —
Subtotal available-for-sale securities $ 483 $ 203 $ 409
Total comprehensive income (loss) $ 102,644 $ (84,309) $ (22,627)
16. INCOME TAXES
Income tax (provision) benefit was $(807,000), $(164,000), and $1.0 million in fiscal years 2012, 2011, and 2010, respectively. The income tax expense
in fiscal year 2012 is primarily due to state income taxes and withholding taxes in foreign jurisdictions similar to fiscal year 2011. The income tax benefit in
fiscal year 2010 is due to a refund of previously paid Alternative Minimum Tax (“AMT”) and refundable research credits.
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