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Goodwill and Purchased and Other Intangibles
9 Months Ended
Aug. 30, 2013
Goodwill and Intangible Assets Disclosure [Abstract]  
GOODWILL AND PURCHASED AND OTHER INTANGIBLES
GOODWILL AND PURCHASED AND OTHER INTANGIBLES
Goodwill as of August 30, 2013 and November 30, 2012 was $4.752 billion and $4.133 billion, respectively. The increase was primarily due to our acquisitions of Behance and Neolane. During the second quarter of fiscal 2013, we completed our annual goodwill impairment test associated with our three reporting unitsDigital Media, Digital Marketing and Print and Publishingand determined there was no impairment of goodwill.
Purchased and other intangible assets subject to amortization as of August 30, 2013 and November 30, 2012 were as follows (in thousands): 
 
2013
 
2012
 
Cost
 
Accumulated Amortization
 
Net
 
Cost
 
Accumulated Amortization
 
Net
Purchased technology
$
420,029

 
$
(200,850
)
 
$
219,179

 
$
366,574

 
$
(161,538
)
 
$
205,036

Customer contracts and relationships
$
386,808

 
$
(100,929
)
 
$
285,879

 
$
318,027

 
$
(74,214
)
 
$
243,813

Trademarks
67,565

 
(25,644
)
 
41,921

 
53,293

 
(19,171
)
 
34,122

Acquired rights to use technology
154,490

 
(71,478
)
 
83,012

 
104,402

 
(56,782
)
 
47,620

Localization
7,783

 
(5,988
)
 
1,795

 
8,586

 
(4,654
)
 
3,932

Other intangibles
17,699

 
(11,528
)
 
6,171

 
18,742

 
(8,229
)
 
10,513

Total other intangible assets
$
634,345

 
$
(215,567
)
 
$
418,778

 
$
503,050

 
$
(163,050
)
 
$
340,000

Purchased and other intangible
    assets, net
$
1,054,374

 
$
(416,417
)
 
$
637,957

 
$
869,624

 
$
(324,588
)
 
$
545,036


 
In the first quarter of fiscal 2013, we acquired rights to use certain technology for approximately $51.8 million. Of this cost, an estimated $25.3 million was related to future licensing rights that has been capitalized and will be amortized on a straight-line basis over the estimated useful lives ranging from five to ten years. We estimated that the remaining cost of approximately $26.5 million was related to historical use of licensing rights and was expensed as cost of product revenue.   

In the first quarter of fiscal 2013, purchased intangibles associated with certain of our acquisitions in prior years became fully amortized and were removed from the Condensed Consolidated Balance Sheets. Excluding the expense associated with historical use of the acquired rights to use the technology discussed in the paragraph above, amortization expense related to purchased and other intangible assets was $42.2 million and $117.1 million for the three and nine months ended August 30, 2013, respectively. Comparatively, amortization expense was $36.1 million and $108.7 million for the three and nine months ended August 31, 2012, respectively. Of these amounts, $30.3 million and $83.3 million were included in cost of sales for the three and nine months ended August 30, 2013, respectively, and $24.0 million and $72.6 million were included in cost of sales for the three and nine months ended August 31, 2012, respectively.
As of August 30, 2013, we expect amortization expense in future periods to be as follows (in thousands):
Fiscal Year
 
Purchased
Technology
 
Other Intangible
Assets
Remainder of 2013
$
18,715

 
$
20,090

2014
74,216

 
73,849

2015
61,165

 
67,113

2016
22,425

 
61,306

2017
15,140

 
52,684

Thereafter
27,518

 
143,736

Total expected amortization expense
$
219,179

 
$
418,778