12.

Goodwill

The change in the carrying amount of goodwill during the three months ended April 30, 2011, is as follows:


	Platform Solutions and Emerging Business		Architecture, Engineering and Construction		Manufacturing		Media and Entertainment			Total
Balance as of January 31, 2011
Goodwill	$	45.3	$	224.2	$	279.1	$	154.7		$	703.3
Accumulated impairment losses		—		—		—		(149.2	)		(149.2	)

		45.3		224.2		279.1		5.5			554.1

Addition arising from Scaleform acquisition		—		—		—		22.6			22.6
Addition arising from Blue Ridge Numerics acquisition		—		—		22.3		—			22.3
Addition arising from other acquisitions		3.1		—		—		—			3.1
Effect of foreign currency translation, purchase accounting adjustments and other		0.9		1.9		0.8		—			3.6

Balance as of April 30, 2011
Goodwill		49.3		226.1		302.2		177.3			754.9
Accumulated impairment losses		—		—		—		(149.2	)		(149.2	)

	$	49.3	$	226.1	$	302.2	$	28.1		$	605.7

Goodwill consists of the excess of cost over the fair value of net assets acquired in business combinations. Autodesk assigns goodwill to the reportable segment associated with each business combination, and tests goodwill for impairment annually in its fourth fiscal quarter or more often if circumstances indicate a potential impairment. When assessing goodwill for impairment, Autodesk uses discounted cash flow models that include assumptions regarding reportable segments’ projected cash flows (“Income Approach”) and corroborates it with the estimated consideration that the Company would receive if there were to be a sale of the reporting segment (“Market Approach”). Variances in these assumptions could have a significant impact on Autodesk’s conclusion as to whether goodwill is impaired or the amount of any impairment charge. Impairment charges, if any, result from instances where the fair values of net assets associated with goodwill are less than their carrying values. The process of evaluating the potential impairment of goodwill is subjective and requires significant judgment at many points during the analysis. The value of Autodesk’s goodwill could also be impacted by future adverse changes such as: (i) declines in Autodesk’s actual financial results, (ii) a sustained decline in Autodesk’s market capitalization, (iii) significant slowdown in the worldwide economy or the industries Autodesk serves, or (iv) changes in Autodesk’s business strategy or internal financial results forecasts. A hypothetical 10% decrease in the fair value of any of Autodesk’s four reporting units would not have an impact on the carrying value, nor result in an impairment, of goodwill shown on Autodesk’s balance sheet as of April 30, 2011 for the respective reporting units.