Equity Attributable To Comverse Technology, Inc. And Noncontrolling Interest

6 Months Ended

Jul. 31, 2010

Equity Attributable To Comverse Technology, Inc. And Noncontrolling Interest

Equity Attributable To Comverse Technology, Inc. And Noncontrolling Interest

14. EQUITY ATTRIBUTABLE TO COMVERSE TECHNOLOGY, INC. AND NONCONTROLLING INTEREST

Noncontrolling interest represents minority shareholders' interest in Verint Systems and Starhome B.V., the Company's majority-owned subsidiaries and in Ulticom, Inc., a former CTI majority-owned subsidiary, prior to its sale to a third party on December 3, 2010. The Company recognizes noncontrolling interest as a separate component of "Total equity" in the condensed consolidated balance sheets and recognizes income attributable to the noncontrolling interest as a separate component of "Net loss" in the condensed consolidated statements of operations.

Components of equity attributable to Comverse Technology, Inc.'s and its noncontrolling interest are as follows:


	Six Months Ended July 31, 2010									Six Months Ended July 31, 2009
	Comverse Technology, Inc.'s Shareholders' Equity			Noncontrolling Interest			Total Equity			Comverse Technology, Inc.'s Shareholders' Equity			Noncontrolling Interest			Total Equity
	(In thousands)									(In thousands)
Balance, January 31	$	422,486		$	87,236		$	509,722		$	653,258		$	109,929		$	763,187
Comprehensive loss:
Net loss		(106,048	)		(577	)		(106,625	)		(85,054	)		10,106			(74,948	)
Unrealized (losses) gains on available-for-sale securities, net of reclassification adjustments and tax		(11,916	)		(24	)		(11,940	)		6,320			(98	)		6,222
Unrealized (losses) gains for cash flow hedge positions, net of reclassification adjustments and tax		(38	)		19			(19	)		6,292			617			6,909
Foreign currency translation adjustment		(3,043	)		(3,108	)		(6,151	)		14,419			10,526			24,945

Total comprehensive (loss) gain		(121,045	)		(3,690	)		(124,735	)		(58,023	)		21,151			(36,872	)
Stock-based compensation expense		5,756			—			5,756			6,266			—			6,266
Impact from equity transactions of subsidiaries and other		36,069			(11,860	)		24,209			988			15,245			16,233
Repurchase of common stock		(480	)		—			(480	)		(158	)		—			(158	)
Dividends to noncontrolling interest		—			—			—			—			(64,471	)		(64,471	)

Balance, July 31	$	342,786		$	71,686		$	414,472		$	602,331		$	81,854		$	684,185

- Definition

Disclosures related to accounts comprising shareholders' equity, including other comprehensive income. Includes: (1) balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings; (2) accumulated balance for each classification of other comprehensive income and total amount of comprehensive income; (3) amount and nature of changes in separate accounts, including the number of shares authorized and outstanding, number of shares issued upon exercise and conversion, and for other comprehensive income, the adjustments for reclassifications to net income; (4) rights and privileges of each class of stock authorized; (5) basis of treasury stock, if other than cost, and amounts paid and accounting treatment for treasury stock purchased significantly in excess of market; (6) dividends paid or payable per share and in the aggregate for each class of stock for each period presented; (7) dividend restrictions and accumulated preferred dividends in arrears (in aggregate and per share amount); (8) retained earnings appropriations or restrictions, such as dividend restrictions; (9) impact of change in accounting principle, initial adoption of new accounting principle and correction of an error in previously issued financial statements; (10) shares held in trust for Employee Stock Ownership Plan (ESOP); (11) deferred compensation related to issuance of capital stock; (12) note received for issuance of stock; (13) unamortized discount on shares; (14) description, terms and number of warrants or rights outstanding; (15) shares under subscription and subscription receivables; effective date of new retained earnings after quasi-reorganization and deficit eliminated by quasi-reorganization and, for a period of at least ten years after the effective date, the point in time from which the new retained dates; and (16) retroactive effective of subsequent change in capital structure.

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