eTrade 2000 Annual Report Download - page 78

During the three years ended September 30, 2000, the Company completed ten acquisitions which were accounted for under the
purchase method of accounting. The results of operations of each acquisition are included in the Company’ s consolidated statement of
operations from the date of each acquisition. The amounts allocated to goodwill and other intangibles are amortized on a straight-line
basis over periods not exceeding 20 years.
A summary of the Company’ s purchase transactions for the three years ended September 30, 2000 is included in the following table
(in millions, except share amounts):
Entity Name and Description of Business Acquired Date Goodwill Form of Consideration
Fiscal 2000 Acquisitions :
Electronic Investing Corporation (“eInvesting”) 8/00 $ 5.5 $ 3.9 230,477 shares of common stock
issued
Provider of individual securities portfolios $ 0.9 Cash
E*TRADE Access (formerly Card Capture Services) 5/00 $ 100.6 $ 70.5 3,122,887 shares of common stock
issued
Independent network of centrally-managed ATMs $ 16.9 1,036,558 employee stock options
assumed
$ 5.1 Cash
Fairvest Securities Corporation 5/00 $ 0.6 $ 0.5 Cash
Provider of Canadian corporate governance andrelated
services
$ 0.5 83,122 shares exchangeable into
E*TRADE common stock
E*TRADE U.K. 12/99 $ 148.4 $ 12.1 Cash
Provider of retail brokerage services to the UK market $ 104.0 3,869,676 shares of common stock
issued
$ 27.2 1,012,639 options assumed
E*TRADE Nordic AB 11/99 $ 89.8 $ 80.6 3,180,799 shares of common stock
issued
Provider of retail brokerage services to the Nordic
countries
$ 4.0 157,856 plan options assumed
E*TRADE @ Net Bourse S.A. (1) 10/99 $ 124.1 $ 108.2 4,600,595 shares of common stock
issued
Provider of retail brokerage services to Belgium,
Netherlands, Luxembourg, Austria, Italy and France
Fiscal 1999 Acquisition:
Confluent, Inc. 9/99 $ 3.0 $ 7.4 314,000 shares of common stock
issued
Developer of personal financial management tools
Fiscal 1998 Acquisitions:
OptionsLink Division of Hambrecht & Quist 11/97 $ 2.9 $ 3.5 Cash
Employee stock option and stock plan services for
corporate stock plan participants
MET Holdings Corporation 4/98 $ 0.3 $ 33.2 6,039,940 shares of common stock
issued
Bank holding company for Metropolitan Bank for
savings
Direct Financial Corporation 8/98 $ 4.0 $ 22.3 Cash
Regional savings and loan holding company
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(1)In September 2000, the Company announced the sale of its investment in CPR E*TRADE and no longer has a retail presence in
France.
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The pro forma information below assumes that the fiscal 2000 and 1999 acquisitions of the Company’ s international affiliates,
E*TRADE Access, Fairvest Securities Corporation, Confluent, Inc., and eInvesting occurred at the beginning of fiscal 1999 and
includes the effect of amortization of goodwill from that date (in thousands, except per share amounts):
2002. EDGAR Online, Inc.