Mentor Graphics Reports Fiscal Third Quarter Results
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MENTOR GRAPHICS CORPORATION
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FOOTNOTES TO UNAUDITED
CONSOLIDATED STATEMENTS OF OPERATIONS
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(In thousands)
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Listed below are the items included in net income that management
excludes in computing the non-GAAP financial measures referred to in
the text of this press release. Items are further described under
"Discussion of Non-GAAP Financial Measures".
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Three Months Ended
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Nine Months Ended
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October 31, 2008
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October 31, 2007
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October 31, 2008
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October 31, 2007
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(1) Cost of revenues:
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Equity plan-related compensation
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$
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351
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$
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281
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$
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1,102
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$
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642
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Prepaid royalty costs
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-
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-
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103
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-
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Amortization of purchased intangible assets
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3,810
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2,139
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9,040
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7,513
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$
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4,161
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$
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2,420
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$
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10,245
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$
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8,155
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(2) Research and development:
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Equity plan-related compensation
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$
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2,979
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$
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2,240
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$
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8,830
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$
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5,179
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(3) Marketing and selling:
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Equity plan-related compensation
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$
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2,150
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$
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1,557
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$
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6,371
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$
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3,678
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(4) General and administration:
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Equity plan-related compensation
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$
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1,518
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$
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892
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$
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4,830
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$
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2,987
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(5) Amortization of intangible assets:
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Amortization of other identified intangible assets
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$
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3,129
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$
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2,704
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$
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8,099
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$
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6,361
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(6) Special charges:
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Rebalance, restructuring, and other costs
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$
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2,214
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$
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1,115
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$
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15,099
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$
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5,160
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(7) In-process research and development
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In-process research and development
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$
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6,790
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$
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-
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$
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22,075
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$
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4,100
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(8) Other income, net:
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Equity in losses of unconsolidated entities
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$
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445
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$
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-
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$
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1,088
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$
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-
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(9) Interest expense:
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Debt retirement costs
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$
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-
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$
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288
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$
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-
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$
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452
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(10) Income tax expense (benefit):
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Income tax effects
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$
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51,140
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$
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(2,491)
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$
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29,882
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$
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(5,464)
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