8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported): July 30, 2012

MICROSTRATEGY INCORPORATED

(Exact name of registrant as specified in its charter)

Delaware	0-24435	51-0323571
(State or other jurisdiction of incorporation)	(Commission File Number)	(I.R.S. Employer Identification No.)

1850 Towers Crescent Plaza Tysons Corner, Virginia	22182
(Address of principal executive offices)	(Zip Code)

Registrant’s telephone number, including area code: (703) 848-8600

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02. Results of Operations and Financial Condition.

Second Quarter Financial Results

On July 30, 2012, MicroStrategy Incorporated (the “Company”) issued a press release announcing the Company’s financial results for the quarter ended June 30, 2012. A copy of this press release is attached as Exhibit 99.1 to this Current Report on Form 8-K.

The information in this Form 8-K (including Exhibit 99.1) shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”) or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act except as expressly set forth by specific reference in such a filing.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits

Exhibit No.	Description
99.1	Press release, dated July 30, 2012, regarding the Company’s financial results for the quarter ended June 30, 2012.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Date: August 1, 2012	MicroStrategy Incorporated             (Registrant)
	By:	/s/ Douglas K. Thede
	Name:	Douglas K. Thede
	Title:	Executive Vice President, Finance & Chief Financial Officer

EXHIBIT INDEX

Exhibit No.	Description
99.1	Press release, dated July 30, 2012, regarding the Company’s financial results for the quarter ended June 30, 2012.

EX-99.1

Exhibit 99.1

Contact:

MicroStrategy Incorporated

Investor Relations

ir@microstrategy.com

(703) 848-8600

MicroStrategy Announces

Second Quarter 2012 Financial Results

Diluted Earnings Per Share of $0.65

TYSONS CORNER, Va., July 30, 2012 - MicroStrategy® Incorporated (Nasdaq: MSTR), a leading global provider of business intelligence (BI) software, today announced financial results for the three-month period ended June 30, 2012 (the second quarter of its 2012 fiscal year).

Second quarter 2012 revenues were $141.8 million versus $138.2 million for the second quarter of 2011, a 3% increase. Product licenses revenues for the second quarter of 2012 were $31.9 million versus $33.4 million for the second quarter of 2011, a 5% decrease. Product support and other services revenues for MicroStrategy’s core BI business for the second quarter of 2012 were $103.4 million versus $98.7 million for the second quarter of 2011, a 5% increase.

Operating expenses for the second quarter of 2012 were $95.7 million versus $100.1 million for the second quarter of 2011, a 4% decrease. The decrease in operating expenses was primarily driven by a reduction in sales and marketing expense. In addition, during the second quarter of 2012, MicroStrategy capitalized $5.1 million in costs associated with the development of its MicroStrategy 9.3 software versus $1.7 million in costs capitalized during the second quarter of 2011 associated with the development of its MicroStrategy 9.2.1 software.

Net income for the second quarter of 2012 was $7.3 million, or $0.65 per share on a diluted basis, compared to $2.9 million, or $0.26 per share on a diluted basis, for the second quarter of 2011.

As of June 30, 2012, MicroStrategy had cash and cash equivalents of $195.5 million versus $199.6 million as of December 31, 2011, a decrease of $4.1 million. As of June 30, 2012, MicroStrategy had 8,706,545 shares of class A common stock and 2,227,327 shares of class B common stock outstanding.

Innovations in Business Intelligence, Mobile Applications, Cloud-based BI, and Social Intelligence Technologies Continue to Set the Agenda for MicroStrategy

In the second quarter of 2012, MicroStrategy worked to provide visionary thought leadership, innovative new products, and superior service to its customers as they grappled with the challenges and opportunities posed by Big Data, Mobile Applications, Cloud-based BI, and Social Intelligence. In the second quarter, MicroStrategy unveiled the following new technologies:

• MicroStrategy announced that it released a new version of MicroStrategy Mobile™ that delivers enhanced integration with Apple’s AirPlay® feature. This new capability extends MicroStrategy Mobile wirelessly onto conference room screens, encouraging spontaneous conversations rather

than static slide presentations. When MicroStrategy Mobile users “mirror” their business apps onto screens, the device becomes a data remote-control, letting the user discuss the data on the screen while controlling it wirelessly from an Apple device. For more information, view the product feature video: www.microstrategy.com/bettermeetings.

• MicroStrategy announced the worldwide availability of Usher™ 1.1, a free event management app linked to Facebook events and groups. Users can download the app by going to http://www.usher.com and clicking on the link to Apple’s App Store™. A user with the Usher app deployed on the user’s iPhone can easily manage an event from beginning to end and invite guests from the user’s Facebook network.

Gartner Gives MicroStrategy an “Outstanding” Product Viability Rating in its 2012 “Critical Capabilities for Mobile BI” report

MicroStrategy announced that it had received an “Outstanding” product viability rating by Gartner in its “Critical Capabilities for Mobile BI” report, published April 10, 2012. According to Gartner, “Mobile business intelligence is growing fast in the corporate landscape, with many companies piloting or planning deployment initiatives. This research will help BI leaders understand the disparate capabilities available in the market and facilitate the selection of a mobile BI solution.” A copy of the Gartner report is available, compliments of MicroStrategy, at www.microstrategy.com/mobile/analyst-reviews.

MicroStrategy Unveils Innovations in Business Intelligence at MicroStrategy World 2012 Amsterdam

In July 2012, MicroStrategy unveiled innovations in business intelligence at MicroStrategy World 2012 Amsterdam, the Company’s global conference. The conference, which brought together some of the world’s foremost technology visionaries, featured the latest advances in self-service business intelligence and hosted the worldwide launch of “The Mobile Wave,” a book authored by MicroStrategy Chairman and CEO Michael Saylor and published June 26, 2012 by Perseus Books.

At MicroStrategy World Amsterdam, the Company unveiled MicroStrategy 9.3™, the latest version of its core business intelligence platform. MicroStrategy 9.3, which is expected to be generally available in Q3 2012, contains powerful new capabilities that enhance MicroStrategy Visual Insight for data exploration and dashboard creation, allow businesses to gain insights from Big Data, and incorporate advanced analytics from “R” — an open source programming language for statistical computing. MicroStrategy 9.3 empowers business people by providing them with the information they need to make better decisions and be consistently more productive.

Also at MicroStrategy World Amsterdam, MicroStrategy announced the beta release of MicroStrategy Cloud Express™, a SaaS-based BI solution that enables anyone – regardless of organizational size or technical skill – to automate publication of personalized, pixel-perfect reports and dashboards to any size group. The addition of MicroStrategy Cloud Express adds a new service level to the MicroStrategy Cloud™, which first became available in 2011 with Personal and Platform service options.

In addition, the Company announced the availability of MicroStrategy Wisdom Professional™ at MicroStrategy World Amsterdam. MicroStrategy Wisdom Professional is an analytical application that can explore a wide spectrum of data contained in Facebook about consumers, including their demographics, interests, activities, and preferences. MicroStrategy Wisdom Professional provides businesses with unique intelligence on the demographics, interests, and social graph of more than 12 million anonymous Facebook users. Businesses using MicroStrategy Wisdom Professional can uncover details about their fans as well as those of their competitors. To sign up for a one-month free trial of MicroStrategy Wisdom Professional, visit: www.microstrategy.com/wisdompro/.

In July 2012, MicroStrategy also held its second annual Social Media iCommerce Summit (SMICS) at Amsterdam’s RAI International Convention Center, running adjacent to MicroStrategy World 2012 Amsterdam. SMICS attendees were able to learn about innovative technologies from MicroStrategy in Social Intelligence and hear the views and experiences of industry luminaries at the cutting-edge of social media monetization. Digital strategists shared their perspectives on the future of social media and commerce, with a focus on how companies can best compete for consumer attention and relevance.

MicroStrategy Signs Multi-Year Global Brand Ambassador Partnership with Young Golfing Sensation Patrick Cantlay

Also in the second quarter of 2012, MicroStrategy announced that 20 year-old Patrick Cantlay, the world’s #1 ranked amateur golfer when he turned professional in mid-June 2012, became MicroStrategy’s first Global Brand Ambassador. Under the terms of the multi-year marketing partnership, Cantlay will represent MicroStrategy in a wide range of marketing and customer activities, and will wear MicroStrategy logos in premier locations on the front of his headwear and apparel during all professional tournament play and appearances.

Examples of Customer Deals from Q2 2012

Buenos Aires Department of the Treasury

The Buenos Aires Department of the Treasury (Ministerio de Hacienda de la Ciudad de Buenos Aires) has recently chosen to expand its deployment of the MicroStrategy Business Intelligence Platform™. The municipal department has been working with MicroStrategy to oversee the collection of revenues from various sources, including taxes, licenses, fees, and permits, which pay for numerous essential municipal services to Buenos Aires residents and businesses. The Department of the Treasury will integrate MicroStrategy with Sysphera’s Enterprise Management Suite to develop Web-based budgeting, planning, and forecasting processes that replace manual spreadsheet consolidations and also provide its user community with the reporting and analytical capabilities needed to deliver budget plans to the Buenos Aires City Congress.

Chipotle Mexican Grill 

Chipotle Mexican Grill, Inc. (NYSE: CMG), the national chain of burrito restaurants known for serving Food With Integrity, has selected MicroStrategy as its enterprise BI solution. Chipotle plans to deploy the MicroStrategy Business Intelligence Platform to its over 1,250 US-based restaurant locations and to its corporate staff of 500 users. Representative user groups will include Finance, Field Controllers, Marketing, Operations, Human Resources, Restaurant Management, and Field Management. Once deployed, Chipotle will use the platform to analyze and provide its field leaders with easy access to key performance metrics such as throughput, daily sales trends, and the impact of marketing campaigns. After an evaluation of other business intelligence products, Chipotle chose MicroStrategy for its platform’s ease-of-use, BI self-service approach, scalability, low total cost of ownership, and strong mobile BI offering. Chipotle also cited its strong business relationship with MicroStrategy as a key factor in their selection.

MassDiscounters (Game & Dion Wired)

Masstores, with headquarters in Durban, South Africa, is the second-largest distributor of consumer goods in Africa. Masstores has chosen to expand its MicroStrategy deployment to its employees in Finance, Marketing, Supply Chain, Merchandising, Logistics, and Store Operations. While MicroStrategy-based dashboards will provide high-level analytical insight to company executives, its operational reports will allow store managers and analysts to analyze company performance. MicroStrategy Visual Insight will empower Masstores’ employees to quickly and easily spot outliers, discover patterns, and uncover problem areas in the data using compelling visualizations. Masstores has chosen MicroStrategy for its powerful visualization capabilities, ease of use, and integrated business intelligence platform.

Novation 

Novation is the leading health care supply chain expertise and contracting company for the more than 65,000 members of VHA Inc. and UHC, two national health care alliances, Children’s Hospital Association, an alliance of the nation’s leading pediatric facilities, and Provista, LLC. Novation chose to expand its MicroStrategy deployment to provide its alliance members with powerful new visualization capabilities. With MicroStrategy Visual Insight, executives, purchasing analysts, and buyers are able to build their own dashboards without help from IT to answer their business questions in minutes. Novation cited MicroStrategy’s ease-of-use, speed, superior visualizations, scalability to handle big data, and analytical reporting capabilities as reasons for its continued deployment of MicroStrategy’s business intelligence platform.

About MicroStrategy Incorporated

Founded in 1989, MicroStrategy is a leading global provider of enterprise software platforms for business intelligence (BI), mobile intelligence, and social intelligence applications. MicroStrategy’s BI platform enables leading organizations worldwide to analyze the vast amounts of data stored across their enterprises to make better business decisions. Companies choose MicroStrategy BI for its ease-of-use, sophisticated analytics, and superior data and user scalability. The MicroStrategy BI platform delivers actionable information to business users via the web and mobile devices. MicroStrategy’s mobile intelligence platform helps companies and organizations build, deploy, and maintain mobile apps across a range of solutions by embedding intelligence, transactions, and multimedia into apps. MicroStrategy’s social intelligence platform includes a number of applications that help enterprises harness the power of social networks for marketing and e-commerce, as well as a suite of free consumer friendly apps that use MicroStrategy’s enterprise technologies. MicroStrategy’s social intelligence platform helps companies leverage the value of social networks to better understand and engage their customers and fans. The MicroStrategy Cloud offering combines MicroStrategy and third-party software, hardware, and services to enable rapid, cost-effective development of hosted BI, mobile, and social applications. To learn more about MicroStrategy (Nasdaq: MSTR), visit www.microstrategy.com and follow us on Facebook (http://www.facebook.com/microstrategy) and Twitter (http://www.twitter.com/microstrategy).

MicroStrategy, MicroStrategy Business Intelligence Platform, MicroStrategy 9.3, MicroStrategy Cloud, MicroStrategy Cloud Express, MicroStrategy Mobile, MicroStrategy Wisdom Professional, and Usher are either trademarks or registered trademarks of MicroStrategy Incorporated in the United States and certain other countries. Other product and company names mentioned herein may be the trademarks of their respective owners.

This press release may include statements that may constitute “forward-looking statements,” including estimates of future business prospects or financial results and statements containing the words “believe,” “estimate,” “project,” “expect,” or similar expressions. Forward-looking statements inherently involve risks and uncertainties that could cause actual results of MicroStrategy Incorporated and its subsidiaries (collectively, the “Company”) to differ materially from the forward-looking statements. Factors that could contribute to such differences include: the extent and timing of market acceptance of MicroStrategy’s new offerings, including MicroStrategy 9.3, MicroStrategy Cloud Express, and MicroStrategy Wisdom Professional; the Company’s ability to recognize revenue or deferred revenue through delivery of products or satisfactory performance of services; continued acceptance of the Company’s other products in the marketplace; the timing of significant orders; delays in the Company’s ability to develop or ship new products; competitive factors; general economic conditions, including significant downturns in industries, including the financial services and retail industries, in which we have a significant number of customers; currency fluctuations; and other risks detailed in the Company’s registration statements and periodic reports filed with the Securities and Exchange Commission. By making these forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release.

MICROSTRATEGY INCORPORATED

CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except per share data)

	Three Months Ended June 30,					Six Months Ended June 30,
	2012		2011			2012		2011
	(unaudited)		(unaudited)			(unaudited)		(unaudited)
Revenues
Product licenses	$	31,890	$	33,430		$	69,343	$	60,810
Product support and other services		109,948		104,721			217,580		199,370
Total revenues		141,838		138,151			286,923		260,180
Cost of revenues
Product licenses		982		2,322			3,128		4,230
Product support and other services		35,654		32,221			72,497		63,474
Total cost of revenues		36,636		34,543			75,625		67,704
Gross profit		105,202		103,608			211,298		192,476
Operating expenses
Sales and marketing		51,117		60,942			108,546		112,453
Research and development		20,657		16,874			44,392		29,872
General and administrative		23,939		22,319			48,413		45,600
Total operating expenses		95,713		100,135			201,351		187,925
Income from operations before financing and other income and income taxes		9,489		3,473			9,947		4,551
Financing and other income (expense)
Interest income, net		35		39			50		121
Other income (expense), net		1,011		(316	)		851		(947	)
Total financing and other income (expense)		1,046		(277	)		901		(826	)
Income from operations before income taxes		10,535		3,196			10,848		3,725
Provision (benefit) for income taxes		3,264		311			3,305		(294	)
Net income	$	7,271	$	2,885		$	7,543	$	4,019
Basic earnings per share (1)	$	0.67	$	0.27		$	0.70	$	0.38
Weighted average shares outstanding used in computing basic earnings per share		10,875		10,709			10,841		10,690
Diluted earnings per share (1)	$	0.65	$	0.26		$	0.68	$	0.36
Weighted average shares outstanding used in computing diluted earnings per share		11,121		11,068			11,107		11,056

(1) Basic and fully diluted earnings per share for class A and class B common stock are the same.

MICROSTRATEGY INCORPORATED

CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except per share data)

(unaudited)

	Core BI Business					Angel.com						Consolidated
	Three Months Ended June 30,					Three Months Ended June  30,						Three Months Ended June  30,
	2012		2011			2012			2011			2012		2011
Revenues
Product licenses	$	31,890	$	33,430		$	—		$	—		$	31,890	$	33,430
Product support and other services		103,434		98,717			—			—			103,434		98,717
Angel.com services		—		—			6,514			6,004			6,514		6,004
Total revenues		135,324		132,147			6,514			6,004			141,838		138,151
Cost of revenues
Product licenses		982		2,322			—			—			982		2,322
Product support and other services		33,078		29,409			—			—			33,078		29,409
Angel.com services		—		—			2,576			2,812			2,576		2,812
Total cost of revenues		34,060		31,731			2,576			2,812			36,636		34,543
Gross profit		101,264		100,416			3,938			3,192			105,202		103,608
Operating expenses
Sales and marketing		48,693		57,807			2,424			3,135			51,117		60,942
Research and development		19,017		15,779			1,640			1,095			20,657		16,874
General and administrative		23,067		21,617			872			702			23,939		22,319
Total operating expenses		90,777		95,203			4,936			4,932			95,713		100,135
Income (loss) from operations before financing and other income and income taxes		10,487		5,213			(998	)		(1,740	)		9,489		3,473
Financing and other income (expense)
Interest income (expense), net		37		39			(2	)		—			35		39
Other income (expense), net		1,000		(277	)		11			(39	)		1,011		(316	)
Total financing and other income (expense)		1,037		(238	)		9			(39	)		1,046		(277	)
Income (loss) from operations before income taxes	$	11,524	$	4,975		$	(989	)	$	(1,779	)	$	10,535	$	3,196
Provision for income taxes													3,264		311
Net income												$	7,271	$	2,885
Basic earnings per share												$	0.67	$	0.27
Weighted average shares outstanding used in computing basic earnings per share													10,875		10,709
Diluted earnings per share												$	0.65	$	0.26
Weighted average shares outstanding used in computing diluted earnings per share													11,121		11,068

MICROSTRATEGY INCORPORATED

CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except per share data)

(unaudited)

	Core BI Business					Angel.com						Consolidated
	Six Months Ended					Six Months Ended						Six Months Ended
	June 30,					June 30,						June 30,
	2012		2011			2012			2011			2012		2011
Revenues
Product licenses	$	69,343	$	60,810		$	—		$	—		$	69,343	$	60,810
Product support and other services		204,315		186,566			—			—			204,315		186,566
Angel.com services		—		—			13,265			12,804			13,265		12,804
Total revenues		273,658		247,376			13,265			12,804			286,923		260,180
Cost of revenues
Product licenses		3,128		4,230			—			—			3,128		4,230
Product support and other services		66,662		57,907			—			—			66,662		57,907
Angel.com services		—		—			5,835			5,567			5,835		5,567
Total cost of revenues		69,790		62,137			5,835			5,567			75,625		67,704
Gross profit		203,868		185,239			7,430			7,237			211,298		192,476
Operating expenses
Sales and marketing		103,834		106,382			4,712			6,071			108,546		112,453
Research and development		41,191		27,773			3,201			2,099			44,392		29,872
General and administrative		46,732		44,156			1,681			1,444			48,413		45,600
Total operating expenses		191,757		178,311			9,594			9,614			201,351		187,925
Income (loss) from operations before financing and other income and income taxes		12,111		6,928			(2,164	)		(2,377	)		9,947		4,551
Financing and other income (expense)
Interest income (expense), net		52		121			(2	)		—			50		121
Other income (expense), net		876		(870	)		(25	)		(77	)		851		(947	)
Total financing and other income (expense)		928		(749	)		(27	)		(77	)		901		(826	)
Income (loss) from operations before income taxes	$	13,039	$	6,179		$	(2,191	)	$	(2,454	)	$	10,848	$	3,725
Provision (benefit) for income taxes													3,305		(294	)
Net income												$	7,543	$	4,019
Basic earnings per share												$	0.70	$	0.38
Weighted average shares outstanding used in computing basic earnings per share													10,841		10,690
Diluted earnings per share												$	0.68	$	0.36
Weighted average shares outstanding used in computing diluted earnings per share													11,107		11,056

MICROSTRATEGY INCORPORATED

CONSOLIDATED BALANCE SHEETS

(in thousands, except per share data)

	June 30,			December 31,
	2012			2011*
	(unaudited)
Assets
Current assets
Cash and cash equivalents	$	195,540		$	199,634
Restricted cash and short-term investments		247			289
Accounts receivable, net		78,893			94,723
Prepaid expenses and other current assets		18,476			17,043
Deferred tax assets, net		21,740			31,516
Total current assets		314,896			343,205
Property and equipment, net		102,227			95,311
Capitalized software development costs, net		9,425			7,031
Deposits and other assets		5,038			5,306
Deferred tax assets, net		2,731			2,998
Total Assets	$	434,317		$	453,851
Liabilities and Stockholders’ Equity
Current liabilities
Accounts payable and accrued expenses	$	31,816		$	46,401
Accrued compensation and employee benefits		56,293			68,308
Deferred revenue and advance payments		105,523			103,199
Deferred tax liabilities		184			485
Total current liabilities		193,816			218,393
Deferred revenue and advance payments		10,361			10,841
Other long-term liabilities		44,329			45,141
Deferred tax liabilities		6,572			10,498
Total Liabilities		255,078			284,873
Stockholders’ Equity
Preferred stock undesignated, $0.001 par value; 5,000 shares authorized; no shares issued or outstanding		—			—
Class A common stock, $0.001 par value; 330,000 shares authorized;
15,112 shares issued and 8,707 shares outstanding, and 14,810 shares issued and 8,405 shares outstanding, respectively		15			15
Class B common stock, $0.001 par value; 165,000 shares authorized; 2,227 and 2,378 shares issued and outstanding, respectively		2			2
Additional paid-in capital		460,784			457,837
Treasury stock, at cost; 6,405 shares		(475,184	)		(475,184	)
Accumulated other comprehensive loss		(2,281	)		(2,052	)
Retained earnings		195,903			188,360
Total Stockholders' Equity		179,239			168,978
Total Liabilities and Stockholders' Equity	$	434,317		$	453,851

* Derived from audited financial statements.

MICROSTRATEGY INCORPORATED

CONSOLIDATED STATEMENTS OF CASH FLOWS

(in thousands)

	Six Months Ended
	June 30,
	2012			2011
	(unaudited)			(unaudited)
Operating activities:
Net income	$	7,543		$	4,019
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		11,812			7,851
Bad debt expense		3,075			266
Deferred taxes		5,612			(2,852	)
Excess tax benefits from share-based compensation arrangements		—			(1,854	)
Changes in operating assets and liabilities:
Accounts receivable		12,071			13,149
Prepaid expenses and other current assets		(4,460	)		5,043
Deposits and other assets		214			62
Accounts payable and accrued expenses		(6,897	)		(2,106	)
Accrued compensation and employee benefits		(11,523	)		(9,799	)
Deferred revenue and advance payments		3,200			11,831
Other long-term liabilities		(798	)		5,856
Net cash provided by operating activities		19,849			31,466
Investing activities:
Purchases of property and equipment		(23,942	)		(18,806	)
Capitalized software development costs		(5,050	)		(5,432	)
Insurance proceeds		3,206			5,675
Decrease (increase) in restricted cash and investments		42			(167	)
Net cash used in investing activities		(25,744	)		(18,730	)
Financing activities:
Proceeds from sale of class A common stock under exercise of employee stock options		2,947			1,554
Excess tax benefits from share-based compensation arrangements		—			1,854
Net cash provided by financing activities		2,947			3,408
Effect of foreign exchange rate changes on cash and cash equivalents		(1,146	)		2,784
Net (decrease) increase in cash and cash equivalents		(4,094	)		18,928
Cash and cash equivalents, beginning of period		199,634			174,097
Cash and cash equivalents, end of period	$	195,540		$	193,025