Schedule II - VALUATION AND QUALIFYING ACCOUNTS

12 Months Ended

Dec. 31, 2010

Schedule II - VALUATION AND QUALIFYING ACCOUNTS

Schedule II - VALUATION AND QUALIFYING ACCOUNTS

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)
2010
Allowance for doubtful accounts and revenue reserves	$	10,515	$	9,013	(1)	$	81		$	(10,761	)(4)	$	8,848
Sales returns accrual		873		40			—			—			913
Deferred tax valuation allowance		35,331		4,511	(2)		424	(3)		—			40,266
Other reserves		2,666											1,555
2009
Allowance for doubtful accounts and revenue reserves	$	10,293	$	10,361	(1)	$	(520	)	$	(9,619	)(4)	$	10,515
Sales returns accrual		794		79			—			—			873
Deferred tax valuation allowance		39,515		(1,728	)(5)		(2,456	)(6)		—			35,331
Other reserves		3,079											2,666
2008
Allowance for doubtful accounts and revenue reserves	$	8,180	$	8,635	(1)	$	(176	)	$	(6,346	)(4)	$	10,293
Sales returns accrual		749		45			—			—			794
Deferred tax valuation allowance		22,263		15,970	(7)		1,282	(8)		—			39,515
Other reserves		2,280											3,079

(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 net unbenefited unrealized losses on equity investments including the impairment charge for our investments in HealthCentral and an increase in foreign net operating losses partially offset by a write-off of previously unbenefited deferred tax assets for state capital loss carryforwards.

(3)

Amount is primary related to unbenefited unrealized losses in other comprehensive income.

(4)

Write-off of fully reserved accounts receivable.

(5)

Amount is primarily related to a decrease in state net operating losses partially offset by an increase for unbenefited state capital loss carryforwards and foreign net operating losses.

(6)

Amount is primarily related to the release of a valuation allowance on net benefited losses for 2009 unrealized gains in other comprehensive income.

(7)

Amount is primarily related to other-than-temporary losses related to investments.

(8)

Amount is primarily related to unbenefited unrealized losses in other comprehensive income.