Schedule II

IAC/INTERACTIVECORP AND SUBSIDIARIES

VALUATION AND QUALIFYING ACCOUNTS



Description	Balance at Beginning of Period		Charges to Earnings				Charges to Other Accounts				Deductions				Balance at End of Period
	(In thousands)
2015
Allowance for doubtful accounts and revenue reserves	$	12,437	$	17,912		⁽¹⁾	$	(536	)		$	(13,285	)	⁽⁴⁾	$	16,528
Sales returns accrual	1,119		17,569				—				(17,860		)		828
Deferred tax valuation allowance	98,350		(6,072		)	⁽²⁾	(1,796		)	⁽³⁾	—				90,482
Other reserves	2,204														2,801
2014
Allowance for doubtful accounts and revenue reserves	$	8,540	$	15,226		⁽¹⁾	$	(116	)		$	(11,213	)	⁽⁴⁾	$	12,437
Sales returns accrual	1,208		19,743				—				(19,832		)		1,119
Deferred tax valuation allowance	62,353		35,119			⁽⁵⁾	878			⁽⁶⁾	—				98,350
Other reserves	2,518														2,204
2013
Allowance for doubtful accounts and revenue reserves	$	8,775	$	12,275		⁽¹⁾	$	564			$	(13,074	)	⁽⁴⁾	$	8,540
Magazine publishing allowance for newsstand returns	2,313		164			⁽⁷⁾	45				(2,522		)	⁽⁸⁾	—
Sales returns accrual	1,244		19,176				—				(19,212		)		1,208
Deferred tax valuation allowance	60,783		8,864			⁽⁹⁾	(7,294		)	⁽¹⁰⁾	—				62,353
Other reserves	1,925														2,518

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⁽¹⁾	Additions to the allowance for doubtful accounts are charged to expense. Additions to the revenue reserves are charged against revenue.


⁽²⁾	Amount is primarily related to the release of a valuation allowance on the other-than-temporary impairment charges for certain cost method investments, partially offset by an increase in federal, foreign and state net operating and capital losses.


⁽³⁾	Amount is primarily related to a net reduction in unbenefited unrealized losses on available-for-sale marketable equity securities included in accumulated other comprehensive income and currency translation adjustments on foreign net operating losses.


⁽⁴⁾	Write-off of fully reserved accounts receivable.


⁽⁵⁾	Amount is primarily related to other-than-temporary impairment charges for certain cost method investments and an increase in federal net operating losses, foreign tax credits, and state tax credits.


⁽⁶⁾	Amount is primarily related to unbenefited unrealized losses on long-term marketable equity securities included in accumulated other comprehensive income, partially offset by currency translation adjustments on foreign net operating losses.


⁽⁷⁾	Additions to the magazine publishing allowance for newsstand returns are related to magazine publishing at Newsweek and were charged against revenue. The Newsweek print business was transitioned to a digital only publication in December 2012 and was subsequently sold in August 2013.


⁽⁸⁾	Amount represents returns of magazines at Newsweek. The Newsweek print business was transitioned to a digital only publication in December 2012 and was subsequently sold in August 2013.


⁽⁹⁾	Amount is primarily related to foreign and federal net operating losses, partially offset by a decrease in deferred tax assets for investments in subsidiaries and available-for-sale securities.


⁽¹⁰⁾	Amount is primary related to the release of a valuation allowance on unrealized gains on long-term marketable equity securities included in accumulated other comprehensive income.