Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Feb. 14, 2014 | Jun. 28, 2013 | |
Document Information [Line Items] | ' | ' | ' |
Document Type | '10-K | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Trading Symbol | 'YHOO | ' | ' |
Entity Registrant Name | 'YAHOO INC | ' | ' |
Entity Central Index Key | '0001011006 | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Filer Category | 'Large Accelerated Filer | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 1,009,392,339 | ' |
Entity Public Float | ' | ' | $21,982,938,411 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $2,077,590 | $2,667,778 |
Short-term marketable securities | 1,330,304 | 1,516,175 |
Accounts receivable, net of allowance of $32,635 and $35,549 as of December 31, 2012 and 2013, respectively | 979,559 | 1,008,448 |
Prepaid expenses and other current assets | 638,404 | 460,312 |
Total current assets | 5,025,857 | 5,652,713 |
Long-term marketable securities | 1,589,500 | 1,838,425 |
Property and equipment, net | 1,488,518 | 1,685,845 |
Goodwill | 4,679,648 | 3,826,749 |
Intangible assets, net | 417,808 | 153,973 |
Other long-term assets | 177,281 | 289,130 |
Investments in equity interests | 3,426,347 | 2,840,157 |
Total assets | 16,804,959 | 17,103,253 |
Current liabilities: | ' | ' |
Accounts payable | 138,031 | 184,831 |
Accrued expenses and other current liabilities | 907,782 | 808,475 |
Deferred revenue | 294,499 | 296,926 |
Total current liabilities | 1,340,312 | 1,290,232 |
Convertible notes | 1,110,585 | ' |
Long-term deferred revenue | 258,904 | 407,560 |
Capital lease and other long-term liabilities | 116,605 | 124,587 |
Deferred and other long-term tax liabilities, net | 847,956 | 675,271 |
Total liabilities | 3,674,362 | 2,497,650 |
Commitments and contingencies (Note 12) | ' | ' |
Yahoo! Inc. stockholders' equity: | ' | ' |
Preferred stock, $0.001 par value; 10,000 shares authorized; none issued or outstanding | ' | ' |
Common stock, $0.001 par value; 5,000,000 shares authorized; 1,189,816 shares issued and 1,115,233 shares outstanding as of December 31, 2012, and 1,019,812 shares issued and 1,014,338 shares outstanding as of December 31, 2013 | 1,015 | 1,187 |
Additional paid-in capital | 8,688,304 | 9,563,348 |
Treasury stock at cost, 74,583 shares as of December 31, 2012, and 5,474 shares as of December 31, 2013 | -200,228 | -1,368,043 |
Retained earnings | 4,267,429 | 5,792,459 |
Accumulated other comprehensive income | 318,389 | 571,249 |
Total Yahoo! Inc. stockholders' equity | 13,074,909 | 14,560,200 |
Noncontrolling interests | 55,688 | 45,403 |
Total equity | 13,130,597 | 14,605,603 |
Total liabilities and equity | 16,804,959 | 17,103,253 |
Redeemable Preferred Stock | ' | ' |
Current assets: | ' | ' |
Alibaba Group Preference Shares | ' | $816,261 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, except Per Share data, unless otherwise specified | ||
Accounts receivable, allowance | $35,549 | $32,635 |
Preferred stock, par value | $0.00 | $0.00 |
Preferred stock, shares authorized | 10,000 | 10,000 |
Preferred stock, issued | 0 | 0 |
Preferred stock, outstanding | 0 | 0 |
Common stock, par value | $0.00 | $0.00 |
Common stock, shares authorized | 5,000,000 | 5,000,000 |
Common stock, shares issued | 1,019,812 | 1,189,816 |
Common stock, shares outstanding | 1,014,338 | 1,115,233 |
Treasury stock at cost, shares | 5,474 | 74,583 |
Consolidated_Statements_of_Inc
Consolidated Statements of Income (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Revenue | $4,680,380 | $4,986,566 | $4,984,199 |
Operating expenses: | ' | ' | ' |
Cost of revenue-traffic acquisition costs | 254,442 | 518,906 | 603,371 |
Cost of revenue-other | 1,094,938 | 1,101,660 | 983,626 |
Sales and marketing | 1,130,820 | 1,101,572 | 1,122,193 |
Product development | 1,008,487 | 885,824 | 919,368 |
General and administrative | 569,555 | 540,247 | 497,288 |
Amortization of intangibles | 44,841 | 35,819 | 33,592 |
Gains on sales of patents | -79,950 | ' | ' |
Goodwill impairment charge | 63,555 | ' | ' |
Restructuring charges, net | 3,766 | 236,170 | 24,420 |
Total operating expenses | 4,090,454 | 4,420,198 | 4,183,858 |
Income from operations | 589,926 | 566,368 | 800,341 |
Other income, net | 43,357 | 4,647,839 | 27,175 |
Income before income taxes and earnings in equity interests | 633,283 | 5,214,207 | 827,516 |
Provision for income taxes | -153,392 | -1,940,043 | -241,767 |
Earnings in equity interests | 896,675 | 676,438 | 476,920 |
Net income | 1,376,566 | 3,950,602 | 1,062,669 |
Less: Net income attributable to noncontrolling interests | -10,285 | -5,123 | -13,842 |
Net income attributable to Yahoo! Inc. | 1,366,281 | 3,945,479 | 1,048,827 |
Net income attributable to Yahoo! Inc. common stockholders per share-basic | $1.30 | $3.31 | $0.82 |
Net income attributable to Yahoo! Inc. common stockholders per share-diluted | $1.26 | $3.28 | $0.82 |
Shares used in per share calculation-basic | 1,052,705 | 1,192,775 | 1,274,240 |
Shares used in per share calculation-diluted | 1,070,811 | 1,202,906 | 1,282,282 |
Stock-based compensation expense by function: | ' | ' | ' |
Stock-based compensation expense | 278,220 | 224,365 | 203,958 |
Restructuring expense accelerations (reversals), net | ' | -3,429 | 214 |
Cost of revenue - other | ' | ' | ' |
Stock-based compensation expense by function: | ' | ' | ' |
Stock-based compensation expense | 15,545 | 10,078 | 12,017 |
Sales and marketing | ' | ' | ' |
Stock-based compensation expense by function: | ' | ' | ' |
Stock-based compensation expense | 101,852 | 82,115 | 65,176 |
Product development | ' | ' | ' |
Stock-based compensation expense by function: | ' | ' | ' |
Stock-based compensation expense | 83,396 | 74,284 | 80,668 |
General and administrative | ' | ' | ' |
Stock-based compensation expense by function: | ' | ' | ' |
Stock-based compensation expense | $77,427 | $57,888 | $46,097 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Comprehensive income | ' | ' | ' |
Net income | $1,376,566 | $3,950,602 | $1,062,669 |
Available-for-sale securities: | ' | ' | ' |
Unrealized (losses) gains on available-for-sale securities, net of taxes of $8,518, $(86), and $(1,724) for 2011, 2012, and 2013, respectively | 6,776 | 7,571 | -17,244 |
Reclassification adjustment for realized losses (gains) on available-for-sale securities included in net income, net of taxes of $(648), $(5,197), and $479 for 2011, 2012, and 2013, respectively | -796 | 9,088 | 972 |
Net change in unrealized gains (losses) on available-for-sale securities, net of tax | 5,980 | 16,659 | -16,272 |
Foreign currency translation adjustments ("CTA"): | ' | ' | ' |
Foreign CTA gains (losses), net of taxes of $101, $(143), and $496 for 2011, 2012, and 2013, respectively | -577,711 | -9,334 | 209,887 |
Net investment hedge CTA gains (losses), net of taxes of $0 for both of 2011 and 2012 and $(193) million for 2013 | 317,459 | 3,241 | ' |
Reclassification adjustment for CTA, net of taxes of $0, $68 million, and $0 for 2011, 2012, and 2013 respectively | ' | -137,186 | ' |
Net foreign CTA gains (losses), net of tax | -260,252 | -143,279 | 209,887 |
Cash flow hedges: | ' | ' | ' |
Unrealized gains (losses) on cash flow hedges, net of taxes of $0 for both of 2011 and 2012, and $(1,199) for 2013 | 3,492 | ' | ' |
Reclassification adjustment for realized (gains) losses on cash flow hedges, net of taxes of $0 for both of 2011 and 2012, and $575 for 2013 | -2,080 | ' | ' |
Net change in unrealized gains (losses) on cash flow hedges, net of tax | 1,412 | ' | ' |
Other comprehensive income (loss) | -252,860 | -126,620 | 193,615 |
Comprehensive income | 1,123,706 | 3,823,982 | 1,256,284 |
Less: Comprehensive income attributable to noncontrolling interests | -10,285 | -5,123 | -13,842 |
Comprehensive income attributable to Yahoo! Inc. | $1,113,421 | $3,818,859 | $1,242,442 |
Consolidated_Statements_of_Com1
Consolidated Statements of Comprehensive Income (Parenthetical) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Unrealized (losses) gains on available-for-sale securities, taxes | ($1,724) | ($86) | $8,518 |
Reclassification adjustment for realized losses (gains) on available-for-sale securities included in net income, taxes | 479 | -5,197 | -648 |
Foreign CTA gains (losses), taxes | 496 | -143 | 101 |
Net investment hedge CTA gains (losses), taxes | -193,000 | 0 | 0 |
Reclassification adjustment for CTA, taxes | 0 | 68,000 | 0 |
Unrealized gains (losses) on cash flow hedges, taxes | -1,199 | 0 | 0 |
Reclassification adjustment for realized (gains) losses on cash flow hedges, taxes | $575 | $0 | $0 |
Consolidated_Statements_of_Sto
Consolidated Statements of Stockholders' Equity (USD $) | Total | Common Stock | Additional Paid-in Capital | Treasury stock | Retained earnings | Accumulated other comprehensive income |
In Thousands | ||||||
Balance, beginning of year at Dec. 31, 2010 | ' | $1,306 | $10,109,913 | ' | $1,942,656 | $504,254 |
Balance, beginning of year at Dec. 31, 2010 | 1,308,836 | ' | ' | ' | ' | ' |
Common stock and stock-based awards issued | ' | ' | 156,211 | ' | ' | ' |
Repurchases of common stock | ' | ' | ' | -1,618,741 | ' | ' |
Net change in unrealized gains (losses) on available-for-sale securities, net of tax | -16,272 | ' | ' | ' | ' | -16,272 |
Common stock issued | ' | 18 | ' | ' | ' | ' |
Net income attributable to Yahoo! Inc. | 1,048,827 | ' | ' | ' | 1,048,827 | ' |
Stock-based compensation expense | ' | ' | 226,270 | ' | ' | ' |
Common stock retired | ' | -82 | ' | ' | ' | ' |
Tax benefits (detriments) from stock-based awards | ' | ' | 33,497 | ' | ' | ' |
Foreign currency translation adjustments, net of tax | 209,887 | ' | ' | ' | ' | 209,887 |
Tax withholdings related to net share settlements of restricted stock awards | ' | ' | -44,593 | -168 | ' | ' |
Retirement of treasury stock | ' | ' | -643,401 | 1,202,672 | -559,189 | ' |
Other | ' | ' | -11,998 | ' | ' | ' |
Common stock and restricted stock issued | 18,371 | ' | ' | ' | ' | ' |
Repurchases of common stock | -109,716 | ' | ' | ' | ' | ' |
Tax withholdings related to net share settlements of restricted stock awards | -10 | ' | ' | ' | ' | ' |
Balance, end of year at Dec. 31, 2011 | 12,541,067 | 1,242 | 9,825,899 | -416,237 | 2,432,294 | 697,869 |
Balance, end of year at Dec. 31, 2011 | 1,217,481 | ' | ' | ' | ' | ' |
Common stock and stock-based awards issued | ' | ' | 218,349 | ' | ' | ' |
Repurchases of common stock | ' | ' | ' | -2,167,841 | ' | ' |
Net change in unrealized gains (losses) on available-for-sale securities, net of tax | 16,659 | ' | ' | ' | ' | 16,659 |
Common stock issued | ' | 24 | ' | ' | ' | ' |
Net income attributable to Yahoo! Inc. | 3,945,479 | ' | ' | ' | 3,945,479 | ' |
Stock-based compensation expense | ' | ' | 244,653 | ' | ' | ' |
Common stock retired | ' | -79 | ' | ' | ' | ' |
Tax benefits (detriments) from stock-based awards | ' | ' | -31,440 | ' | ' | ' |
Foreign currency translation adjustments, net of tax | -143,279 | ' | ' | ' | ' | -143,279 |
Tax withholdings related to net share settlements of restricted stock awards | ' | ' | -60,939 | ' | ' | ' |
Retirement of treasury stock | ' | ' | -630,639 | 1,216,035 | -585,314 | ' |
Other | ' | ' | -2,535 | ' | ' | ' |
Common stock and restricted stock issued | 23,773 | ' | ' | ' | ' | ' |
Repurchases of common stock | -126,021 | ' | ' | ' | ' | ' |
Balance, end of year at Dec. 31, 2012 | 14,560,200 | 1,187 | 9,563,348 | -1,368,043 | 5,792,459 | 571,249 |
Balance, end of year at Dec. 31, 2012 | 1,115,233 | ' | ' | ' | ' | ' |
Common stock and stock-based awards issued | ' | ' | 353,241 | ' | ' | ' |
Repurchases of common stock | ' | ' | ' | -3,344,396 | ' | ' |
Net change in unrealized gains (losses) on available-for-sale securities, net of tax | 5,980 | ' | ' | ' | ' | 5,980 |
Common stock issued | ' | 26 | ' | ' | ' | ' |
Net income attributable to Yahoo! Inc. | 1,366,281 | ' | ' | ' | 1,366,281 | ' |
Stock-based compensation expense | ' | ' | 294,408 | ' | ' | ' |
Net change in unrealized gains on cash flow hedges, net of tax | 1,412 | ' | ' | ' | ' | 1,412 |
Common stock retired | ' | -198 | ' | ' | ' | ' |
Tax benefits (detriments) from stock-based awards | ' | ' | 49,061 | ' | ' | ' |
Foreign currency translation adjustments, net of tax | -260,252 | ' | ' | ' | ' | -260,252 |
Tax withholdings related to net share settlements of restricted stock awards | ' | ' | -139,815 | ' | ' | ' |
Retirement of treasury stock | ' | ' | -1,620,704 | 4,512,211 | -2,891,311 | ' |
Equity component of convertible senior notes, net | ' | ' | 268,084 | ' | ' | ' |
Purchase of note hedges | ' | ' | -205,706 | ' | ' | ' |
Issuance of warrants | ' | ' | 124,775 | ' | ' | ' |
Other | ' | ' | 1,612 | ' | ' | ' |
Common stock and restricted stock issued | 26,401 | ' | ' | ' | ' | ' |
Restricted stock issued under compensation arrangements | 1,567 | ' | ' | ' | ' | ' |
Repurchases of common stock | -128,863 | ' | ' | ' | ' | ' |
Balance, end of year at Dec. 31, 2013 | $13,074,909 | $1,015 | $8,688,304 | ($200,228) | $4,267,429 | $318,389 |
Balance, end of year at Dec. 31, 2013 | 1,014,338 | ' | ' | ' | ' | ' |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
CASH FLOWS FROM OPERATING ACTIVITIES: | ' | ' | ' |
Net income | $1,376,566 | $3,950,602 | $1,062,669 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ' | ' | ' |
Depreciation | 532,485 | 549,235 | 530,516 |
Amortization of intangible assets | 96,518 | 105,366 | 117,723 |
Accretion of convertible notes discount | 4,846 | ' | ' |
Stock-based compensation expense, net | 278,220 | 220,936 | 204,172 |
Gains from sales of patents | -79,950 | ' | ' |
Goodwill impairment charge | 63,555 | ' | ' |
Restructuring charges | 547 | 109,896 | 990 |
Gain from sale of Alibaba Group Shares | ' | -4,603,322 | ' |
Loss (gain) from sales of investments, assets, and other, net | 22,397 | -11,840 | 4,405 |
Earnings in equity interests | -896,675 | -676,438 | -476,920 |
Dividend income related to Alibaba Group Preference Shares | -35,726 | -20,000 | ' |
Tax benefits (detriments) from stock-based awards | 49,061 | -31,440 | 33,497 |
Excess tax benefits from stock-based awards | -64,407 | -35,844 | -70,680 |
Deferred income taxes | -84,302 | -769,320 | 70,392 |
Dividends received from equity investees | 135,058 | 83,648 | 75,391 |
Changes in assets and liabilities, net of effects of acquisitions: | ' | ' | ' |
Accounts receivable | 26,199 | 34,752 | 38,100 |
Prepaid expenses and other | 27,401 | 78,529 | 97,849 |
Accounts payable | -7,764 | 12,747 | -316 |
Accrued expenses and other liabilities | -98,853 | 255,799 | -290,070 |
Deferred revenue | -149,929 | 465,140 | -73,912 |
Net cash provided by (used in) operating activities | 1,195,247 | -281,554 | 1,323,806 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' | ' |
Acquisition of property and equipment, net | -338,131 | -505,507 | -593,294 |
Purchases of marketable securities | -3,223,190 | -3,520,327 | -1,708,530 |
Proceeds from sales of marketable securities | 2,871,834 | 741,947 | 1,508,948 |
Proceeds from maturities of marketable securities | 748,915 | 381,403 | 1,316,197 |
Proceeds related to sale of Alibaba Group Shares, net | ' | 6,247,728 | ' |
Proceeds related to the redemption of Alibaba Group Preference Shares | 800,000 | ' | ' |
Acquisitions, net of cash acquired | -1,247,544 | -5,716 | -323,830 |
Purchases of intangible assets | -2,500 | -3,799 | -11,819 |
Proceeds from the sale of investments | 181 | 26,132 | 21,271 |
Proceeds from the settlement of derivative hedge contracts | 312,266 | 17,898 | ' |
Payments for the settlement of derivative hedge contracts | -22,708 | -11,141 | ' |
Proceeds from sales of patents | 79,950 | ' | ' |
Other investing activities, net | -2,294 | -6,574 | -6,581 |
Net cash provided by (used in) investing activities | -23,221 | 3,362,044 | 202,362 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' | ' |
Proceeds from issuance of common stock | 353,267 | 218,371 | 156,226 |
Repurchases of common stock | -3,344,396 | -2,167,841 | -1,618,741 |
Proceeds from issuance of convertible notes | 1,412,344 | ' | ' |
Payments for note hedges | -205,706 | ' | ' |
Proceeds from issuance of warrants | 124,775 | ' | ' |
Excess tax benefits from stock-based awards | 64,407 | 35,844 | 70,680 |
Tax withholdings related to net share settlements of restricted stock awards and restricted stock units | -139,815 | -60,939 | -44,761 |
Proceeds from credit facility borrowings | 150,000 | ' | ' |
Repayment of credit facility borrowings | -150,000 | ' | ' |
Other financing activities, net | -8,760 | -4,892 | -19,362 |
Net cash used in financing activities | -1,743,884 | -1,979,457 | -1,455,958 |
Effect of exchange rate changes on cash and cash equivalents | -18,330 | 4,355 | -34,247 |
Net change in cash and cash equivalents | -590,188 | 1,105,388 | 35,963 |
Cash and cash equivalents at beginning of year | 2,667,778 | 1,562,390 | 1,526,427 |
Cash and cash equivalents at end of year | $2,077,590 | $2,667,778 | $1,562,390 |
Consolidated_Statements_of_Cas1
Consolidated Statements of Cash Flows (Parenthetical) (Alibaba Group, USD $) | 0 Months Ended | 12 Months Ended | ||
In Millions, unless otherwise specified | Sep. 18, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Alibaba Group | ' | ' | ' | ' |
Sale of investments in equity interests, value of preference shares | $800 | ' | ' | ' |
THE_COMPANY_AND_SUMMARY_OF_SIG
THE COMPANY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2013 | |
THE COMPANY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' |
Note 1 THE COMPANY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
The Company. Yahoo! Inc., together with its consolidated subsidiaries (“Yahoo” or the “Company”) is a global technology company focused on making the world’s daily habits inspiring and entertaining. The Company’s mission is driven by its commitment to creating highly personalized experiences that reach the Company’s users wherever they might be—on their mobile phone, tablet or desktop. Yahoo’s more than 800 million monthly users connect to the things that matter most to them with beautiful, engaging experiences across Search, Communications, Digital Magazines and Video—some of which will be powered by Flickr and Tumblr. | |
The Company creates value for advertisers with a streamlined, simplified advertising technology stack that leverages Yahoo’s data, reach and analytics to connect advertisers with their target audiences. For advertisers, the opportunity to be a part of users’ daily habits across products and platforms is a powerful tool to engage audiences and build brand loyalty. | |
Advertisers can build their businesses through advertising to targeted audiences on the Company’s online properties and services (“Yahoo Properties”), or through a distribution network of third party entities (“Affiliates”) who integrate the Company’s advertising offerings into their Websites or other offerings (“Affiliate sites”; together with Yahoo Properties, the “Yahoo Network”). The Company manages and measures its business geographically, principally in the Americas, EMEA (Europe, Middle East, and Africa) and Asia Pacific. | |
Basis of Presentation. The consolidated financial statements include the accounts of Yahoo! Inc. and its majority-owned or otherwise controlled subsidiaries. All significant intercompany accounts and transactions have been eliminated. Investments in entities in which the Company can exercise significant influence, but does not own a majority equity interest or otherwise control, are accounted for using the equity method and are included as investments in equity interests on the consolidated balance sheets. The Company has included the results of operations of acquired companies from the date of acquisition. Certain prior period amounts have been reclassified to conform to the current period presentation | |
The preparation of consolidated financial statements in conformity with generally accepted accounting principles (“GAAP”) in the United States (“U.S.”) requires management to make estimates, judgments, and assumptions that affect the reported amounts of assets, liabilities, revenue, and expenses and the related disclosure of contingent assets and liabilities. On an ongoing basis, the Company evaluates its estimates, including those related to revenue, the useful lives of long-lived assets including property and equipment and intangible assets, investment fair values, stock-based compensation, goodwill, income taxes, contingencies, and restructuring charges. The Company bases its estimates of the carrying value of certain assets and liabilities on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, when these carrying values are not readily available from other sources. Actual results may differ from these estimates. | |
Concentration of Risk. Financial instruments that potentially subject the Company to significant concentration of credit risk consist primarily of cash, cash equivalents, marketable securities, accounts receivable, and derivative financial instruments. The primary focus of the Company’s investment strategy is to preserve capital and meet liquidity requirements. A large portion of the Company’s cash is managed by external managers within the guidelines of the Company’s investment policy. The Company’s investment policy addresses the level of credit exposure by limiting the concentration in any one corporate issuer or sector and establishing a minimum allowable credit rating. To manage the risk exposure, the Company maintains its portfolio of cash and cash equivalents and short-term and long-term investments in a variety of fixed income securities, including U.S. and foreign government, agency, municipal and highly rated corporate debt obligations and money market funds. The Company’s derivative instruments, including the note hedge transactions, expose the Company to credit risk to the extent that its counterparties may be unable to meet the terms of the agreements. The Company seeks to mitigate this risk by limiting its counterparties to major financial institutions and by spreading the risk across several major financial institutions. In addition, the potential risk of loss with any one counterparty resulting from this type of credit risk is monitored on an ongoing basis. See “Note 9—Derivative Instruments” for additional information related to the Company’s derivative instruments. Accounts receivable are typically unsecured and are derived from revenue earned from customers. The Company performs ongoing credit evaluations of its customers and maintains allowances for potential credit losses. Historically, such losses have been within management’s expectations. As of December 31, 2012 and 2013, no one customer accounted for 10 percent or more of the accounts receivable balance and no one customer accounted for 10 percent or more of the Company’s revenue for 2011, 2012, or 2013. See Note 19 “Search Agreement with Microsoft Corporation” for revenue under the Company’s Search and Advertising Services and Sales Agreement (the “Search Agreement”) with Microsoft Corporation (“Microsoft”). | |
Comprehensive Income. Comprehensive income consists of two components, net income and other comprehensive income. Other comprehensive income refers to revenue, expenses, and gains and losses that under GAAP are recorded as an element of shareholders’ equity but are excluded from net income. The Company’s other comprehensive income consists of foreign currency translation adjustments from those subsidiaries or equity method investments where the local currency is the functional currency, unrealized gains and losses on marketable securities classified as available-for-sale, unrealized gains and losses on cash flow hedges, net changes in fair value of derivative instruments related to our net investment hedges, as well as the Company’s share of its equity investees’ other comprehensive income. | |
Foreign Currency. The functional currency of the Company’s international subsidiaries is evaluated on a case-by-case basis and is often the local currency. The financial statements of these subsidiaries are translated into U.S. dollars using period-end rates of exchange for assets and liabilities, historical rates of exchange for equity, and average rates of exchange for the period for revenue and expenses. Translation gains (losses) are recorded in accumulated other comprehensive income (loss) as a component of stockholders’ equity. In addition, the Company records translation gains (losses) related to its foreign equity method investments in accumulated other comprehensive income (loss). The Company records foreign currency transaction gains and losses, realized and unrealized and measurement of local currencies of foreign subsidiaries where the foreign currency is different from the local currency in other income, net in the consolidated statements of income. The Company recorded $9 million of net gains in 2011, and $1 million and $6 million of net losses in 2012 and 2013, respectively. | |
Cash and Cash Equivalents, Short- and Long-Term Marketable Securities. The Company invests its excess cash in money market funds, time deposits, and liquid debt instruments of the U.S. and foreign governments and their agencies, U.S. municipalities, and high-credit corporate issuers which are classified as marketable securities and cash equivalents. All investments with an original maturity of three months or less are considered cash equivalents. Investments with maturities of less than 12 months from the balance sheet date are classified as current assets, which are available for use to fund current operations. Investments with maturities greater than 12 months from the balance sheet date are classified as long-term assets. | |
Operating cash deposits held with banks may exceed the amount of insurance provided on such deposits. Generally, these deposits may be redeemed upon demand and are maintained with financial institutions with reputable credit and therefore bear minimal credit risk. The Company seeks to mitigate its credit risk by spreading such risk across multiple counterparties and monitoring the risk profiles of these counterparties. | |
The Company’s marketable securities are classified as available-for-sale and are reported at fair value, with unrealized gains and losses, net of tax, recorded in accumulated other comprehensive income (loss). Realized gains or losses and declines in value judged to be other-than-temporary, if any, on available-for-sale securities are reported in other income, net. The Company evaluates the investments periodically for possible other-than-temporary impairment. A decline of fair value below amortized costs of debt securities is considered an other-than-temporary impairment if the Company has the intent to sell the security or it is more likely than not that the Company will be required to sell the security before recovery of the entire amortized cost basis. In those instances, an impairment charge equal to the difference between the fair value and the amortized cost basis is recognized in earnings. Regardless of the Company’s intent or requirement to sell a debt security, an impairment is considered other-than-temporary if the Company does not expect to recover the entire amortized cost basis; in those instances, a credit loss equal to the difference between the present value of the cash flows expected to be collected based on credit risk and the amortized cost basis of the debt security is recognized in earnings. The Company has no current requirement or intent to sell a material portion of debt securities as of December 31, 2013. The Company expects to recover up to (or beyond) the initial cost of investment for securities held. In computing realized gains and losses on available-for-sale securities, the Company determines cost based on amounts paid, including direct costs such as commissions to acquire the security, using the specific identification method. During the years ended December 31, 2011, 2012 and 2013, gross realized gains and losses on available-for-sale debt and equity securities were not material. | |
Allowance for Doubtful Accounts. The Company records its allowance for doubtful accounts based upon its assessment of various factors. The Company considers historical experience, the age of the accounts receivable balances, the credit quality of its customers, current economic conditions, and other factors that may affect customers’ ability to pay to determine the level of allowance required. | |
Derivative Financial Instruments. The Company uses derivative financial instruments, primarily foreign currency forward contracts, to mitigate certain foreign currency exposures. The Company hedges, on an after-tax basis, a portion of its net investment in Yahoo Japan. The Company has designated these foreign currency forward contracts as net investment hedges, which are accounted for in accordance with ASC 815 “Derivatives and Hedging” (“ASC 815”). The effective portion of changes in fair value is recorded in accumulated other comprehensive income on the Company’s consolidated balance sheet and any ineffective portion is recorded in other income, net on the Company’s consolidated statements of income. The Company expects the net investment hedges to be effective, on an after-tax basis, as described in ASC 815 and effectiveness will be assessed each quarter. Should any portion of the net investment hedge become ineffective, the ineffective portion will be reclassified to other income, net on the Company’s consolidated statements of income. The fair values of the net investment hedges are determined using quoted observable inputs. Gains and losses reported in accumulated other comprehensive income will not be reclassified into earnings until a sale of the Company’s underlying investment. | |
For derivatives designated as cash flow hedges, the effective portion of the unrealized gains or losses on these forward contracts is recorded in accumulated other comprehensive income on the Company’s consolidated balance sheets and reclassified into revenue on the consolidated statements of income when the underlying hedged revenue is recognized. If the cash flow hedges were to become ineffective, the ineffective portion would be immediately recorded in other income, net on the Company’s consolidated statements of income. | |
The Company hedges certain of its net recognized foreign currency assets and liabilities with foreign exchange forward contracts to reduce the risk that its earnings and cash flows will be adversely affected by changes in foreign currency exchange rates. These balance sheet hedges are used to partially offset the foreign currency exchange gains and losses generated by the re-measurement of certain assets and liabilities denominated in non-functional currency. Changes in the fair value of these derivatives are recorded in other income, net on the Company’s consolidated statements of income. The fair values of the balance sheet hedges are determined using quoted observable inputs. | |
In October 2013, the Company began hedging a portion of the forecasted revenue of certain international subsidiaries whose functional currencies are not the U.S dollar. This program attempts to reduce the risk that the Company’s revenue denominated in these currencies will be adversely affected by foreign currency exchange rate fluctuations. These derivatives are economic hedges and as such do not qualify for hedge accounting. Changes in the fair value of these derivatives are recorded as a component of revenue in the Company’s consolidated statements of income. | |
The Company recognizes all derivative instruments as other assets or liabilities on the Company’s consolidated balance sheets at fair value. See Note 9—“Derivative Financial Instruments” for a full description of the Company’s derivative financial instrument activities and related accounting. | |
Property and Equipment. Buildings are stated at cost and depreciated using the straight-line method over the estimated useful lives of 25 years. Leasehold improvements are amortized over the lesser of their expected useful lives and the remaining lease term. Computers and equipment and furniture and fixtures are stated at cost and depreciated using the straight-line method over the estimated useful lives of the assets, generally three to five years. | |
Property and equipment to be held and used are reviewed for impairment whenever events or changes in circumstances indicate that the carrying value of the assets may not be recoverable. Determination of recoverability is based on the lowest level of identifiable estimated undiscounted future cash flows resulting from the use of the asset and its eventual disposition. Measurement of any impairment loss for long-lived assets that management expects to hold and use is based on the excess of the carrying value of the asset over its fair value. No impairments of such assets were identified during any of the periods presented. | |
Capitalized Software and Labor. The Company capitalized certain software and labor costs totaling approximately $192 million, $180 million, and $130 million during 2011, 2012, and 2013, respectively. The estimated useful life of costs capitalized is evaluated for each specific project and ranges from one to three years. During 2011, 2012, and 2013, the amortization of capitalized costs totaled approximately $114 million, $142 million, and $175 million, respectively. Capitalized software and labor costs are included in property and equipment, net. Included in the capitalized amounts above are $22 million, $24 million, and $16 million, respectively, of stock-based compensation expense in the years ended December 31, 2011, 2012, and 2013. | |
Goodwill. Goodwill represents the excess of the purchase price over the fair value of the net tangible and intangible assets acquired in a business combination. Goodwill is not amortized, but is tested for impairment on an annual basis and more frequently if impairment indicators are present. The Company’s reporting units are one level below the operating segments level. If the reporting unit does not pass the qualitative assessment, then the reporting unit’s carrying value is compared to its fair value. The fair values of the reporting units are estimated using an average of a market approach and an income approach as this combination is deemed to be the most indicative of the Company’s fair value in an orderly transaction between market participants. Goodwill is considered impaired if the carrying value of the reporting unit exceeds its fair value. The income approach uses expected future operating results and failure to achieve these expected results may cause a future impairment of goodwill at the reporting unit. If the carrying value of the reporting unit exceeds its fair value, the second step of the goodwill impairment test is performed by comparing the carrying value of the goodwill in the reporting unit to its implied fair value. An impairment charge is recognized for the excess of the carrying value of goodwill over its implied fair value. The Company conducted its annual goodwill impairment test as of October 31, 2013 and determined that the fair values of its reporting units, with the exception of the Middle East reporting unit, exceeded their carrying values and therefore goodwill in those reporting units was not impaired. The Company concluded that the carrying value of the Middle East reporting unit exceeded its fair value and recorded a goodwill impairment charge of approximately $64 million in the quarter ended December 31, 2013. See Note 5—“Goodwill” for additional information. | |
Intangible Assets. Intangible assets are carried at cost and amortized over their estimated useful lives, generally on a straight-line basis over one to eight years as the pattern of use is ratable. The Company reviews identifiable amortizable intangible assets to be held and used for impairment whenever events or changes in circumstances indicate that the carrying value of the assets may not be recoverable. Determination of recoverability is based on the lowest level of identifiable estimated undiscounted cash flows resulting from use of the asset and its eventual disposition. Measurement of any impairment loss is based on the excess of the carrying value of the asset over its fair value. | |
For the year ended December 31, 2013, the Company sold certain patents and recorded gains on sales of patents of approximately $80 million. The gains on sales of patents were primarily related to a patent sale agreement with a wholly-owned affiliate of Alibaba Group entered into during the fourth quarter of 2013 for $70 million. | |
Investments in Equity Interests. Investments in the common stock of entities in which the Company can exercise significant influence but does not own a majority equity interest or otherwise control are accounted for using the equity method and are included as investments in equity interests on the consolidated balance sheets. The Company records its share of the results of these companies one quarter in arrears within earnings in equity interests on the consolidated statements of income. The Company reviews its investments for other-than-temporary impairment whenever events or changes in business circumstances indicate that the carrying value of the investment may not be fully recoverable. Investments identified as having an indication of impairment are subject to further analysis to determine if the impairment is other-than-temporary and this analysis requires estimating the fair value of the investment. The determination of fair value of the investment involves considering factors such as the stock prices of public companies in which the Company has an equity investment, current economic and market conditions, the operating performance of the companies including current earnings trends and forecasted cash flows, and other company and industry specific information. | |
Operating and Capital Leases. The Company leases office space and data centers under operating leases and certain data center equipment under a capital lease agreement with original lease periods up to 12 years. Assets acquired under capital leases are amortized over the remaining lease term. Certain of the lease agreements contain rent holidays and rent escalation provisions. For purposes of recognizing these lease incentives on a straight-line basis over the term of the lease, the Company uses the date that the Company has the right to control the asset to begin amortization. Lease renewal periods are considered on a lease-by-lease basis and are generally not included in the period of straight-line recognition. For each of the years ended December 31, 2011, 2012 and 2013, the Company expensed $5 million of interest, which approximates the cash payments made for interest. As of December 31, 2012 and 2013, the Company had net lease obligations included in capital lease and other long-term liabilities in the consolidated balance sheets of $37 million and $44 million, respectively. | |
Income Taxes. Deferred income taxes are determined based on the differences between the financial reporting and tax bases of assets and liabilities and are measured using the currently enacted tax rates and laws. The Company records a valuation allowance against particular deferred income tax assets if it is more likely than not that those assets will not be realized. The provision for income taxes comprises the Company’s current tax liability and change in deferred income tax assets and liabilities. | |
Significant judgment is required in evaluating the Company’s uncertain tax positions and determining its provision for income taxes. The Company establishes liabilities for tax-related uncertainties based on estimates of whether, and the extent to which, additional taxes will be due. These liabilities are established when the Company believes that certain positions might be challenged despite its belief that its tax return positions are in accordance with applicable tax laws. The Company adjusts these liabilities in light of changing facts and circumstances, such as the closing of a tax audit, new tax legislation, developments in case law or interactions with the tax authorities. To the extent that the final tax outcome of these matters is different than the amounts recorded, such differences will affect the provision for income taxes in the period in which such determination is made. The provision for income taxes includes the effect of changes to liabilities for tax-related uncertainties that are considered appropriate, as well as the related net interest and penalties. Income taxes paid, net of refunds received, were $96 million, $2.3 billion, and $208 million in the years ended December 31, 2011, 2012, and 2013, respectively. Interest paid was not material in any of the years presented. See Note 16—“Income Taxes” for additional information. | |
Revenue Recognition. Revenue is generated from several offerings including the display of graphical and non-graphical advertisements (“display advertising”), clicks on text-based links to advertisers’ Websites that appear primarily on search results pages (“search advertising”), and other sources. For revenue arrangements with multiple deliverables, the consideration is allocated based on the relative selling price for each deliverable. The selling price for each arrangement deliverable can be established based on vendor specific objective evidence (“VSOE”) or third-party evidence (“TPE”) if VSOE is not available. An estimate of selling price (“ESP”) is used if neither VSOE nor TPE is available. | |
The Company recognizes revenue from display advertising on Yahoo Properties and Affiliate sites as impressions are delivered. Impressions are delivered when a sold advertisement appears in pages viewed by users. Arrangements for these services generally have terms of up to one year and in some cases the terms may be up to three years. For display advertising on Affiliate sites, the Company pays Affiliates for the revenue generated from the display of these advertisements on the Affiliate sites. Traffic acquisition costs (“TAC”) are payments made to third-party entities that have integrated the Company’s advertising offerings into their Websites or other offerings and payments made to companies that direct consumer and business traffic to Yahoo Properties. The display revenue derived from these arrangements that involve traffic supplied by Affiliates is reported gross of the TAC paid to Affiliates as the Company is the primary obligor to the advertisers who are the customers of the display advertising service. | |
From time-to-time, the Company may offer customized display advertising solutions to advertisers. These customized display advertising solutions combine the Company’s standard display advertising with customized content, customer insights, and campaign analysis. Due to the unique nature of these products, the Company may not be able to establish selling prices based on historical stand-alone sales or third-party evidence; therefore, the Company may use its best estimate to establish selling prices. The Company establishes best estimates within a range of selling prices considering multiple factors including, but not limited to, class of advertiser, size of transaction, seasonality, margin objectives, observed pricing trends, available online inventory, industry pricing strategies, and market conditions. The Company believes the use of the best estimates of selling price allows revenue recognition in a manner consistent with the underlying economics of the transaction. | |
The Company recognizes revenue from search advertising on Yahoo Properties and Affiliate sites. Search revenue is recognized based on Paid Clicks. A Paid Click occurs when an end-user clicks on a sponsored listing on Yahoo Properties and Affiliate sites for which an advertiser pays on a per click basis. The Company’s Search Agreement with Microsoft provides for Microsoft to be the exclusive algorithmic and paid search services provider on Yahoo Properties and non-exclusive provider of such services on Affiliate sites. In transitioned markets, the Company reports as revenue the 88 percent share of revenue generated from Microsoft’s services on Yahoo Properties and Affiliate sites, as the Company is not the primary obligor in the arrangement with the advertisers. See Note 19—“Search Agreement with Microsoft Corporation” for a description of the Search Agreement with Microsoft. | |
In non-transitioned markets, the Company paid Affiliates TAC for the revenue generated from the search advertisements on the Affiliates’ Websites. The revenue derived from these arrangements was reported on a gross basis (before deducting the TAC paid to Affiliates), as the Company continued to be the primary obligor to the advertisers. The Company also generates search revenue from a revenue sharing arrangement with Yahoo Japan for search technology and services and records the related revenue as it is earned. | |
Other revenue includes listings-based services revenue, transaction revenue, royalties, and fees revenue. Listings-based services revenue is generated from a variety of consumer and business listings-based services, including classified advertising such as Yahoo Autos and other services. The Company recognizes listings-based services revenue when the services are performed. Transaction revenue is generated from facilitating commercial transactions through Yahoo Properties, principally from Yahoo Small Business, Yahoo Travel, and Yahoo Shopping. The Company recognizes transaction revenue when there is evidence that qualifying transactions have occurred. We also receive royalties from joint venture partners that are recognized when earned. Fees revenue consists of revenue generated from a variety of consumer and business fee-based services as well as services for small businesses. The Company recognizes fees revenue when the services are performed. | |
In all cases, revenue is recognized only when the price is fixed or determinable, persuasive evidence of an arrangement exists, the service is performed, and collectability of the related fee is reasonably assured. The Company’s arrangements generally do not include a provision for cancellation, termination, or refunds that would significantly impact revenue recognition. | |
The Company accounts for cash consideration given to customers, for which it does not receive a separately identifiable benefit and cannot reasonably estimate fair value, as a reduction of revenue. | |
Current deferred revenue is comprised of contractual billings in excess of recognized revenue and payments received in advance of revenue recognition. Long-term deferred revenue includes amounts received for which revenue will not be earned within the next 12 months. | |
TAC. TAC consists of payments made to third-party entities that have integrated the Company’s advertising offerings into their Websites or other offerings and payments made to companies that direct consumer and business traffic to Yahoo Properties. The Company enters into agreements of varying duration that involve TAC. There are generally two economic structures of the Affiliate agreements: fixed payments based on a guaranteed minimum amount of traffic delivered, which often carry reciprocal performance guarantees from the Affiliate, or variable payments based on a percentage of the Company’s revenue or based on a certain metric, such as the number of searches or paid clicks. The Company expenses, as cost of revenue, TAC under two different methods. Agreements with fixed payments are expensed ratably over the term the fixed payment covers. Agreements based on a percentage of revenue, number of searches, or other metrics are expensed based on the volume of the underlying activity or revenue multiplied by the agreed-upon price or rate. | |
Product Development. Product development expenses consist primarily of compensation-related expenses (including stock-based compensation expense) incurred for research and development, the development of, enhancements to, and maintenance and operation of Yahoo Properties, advertising products, technology platforms, and infrastructure. Depreciation expense, third-party technology and development expense, and other operating costs are also included in product development. | |
Advertising Costs. Advertising production costs are recorded as expense the first time an advertisement appears. Costs of advertising are recorded as expense as advertising space or airtime is used. All other advertising costs are expensed as incurred. Advertising expense totaled approximately $148 million, $103 million, and $128 million for 2011, 2012, and 2013, respectively. | |
Restructuring Charges. The Company has developed and implemented restructuring initiatives to improve efficiencies across the organization, reduce operating expenses, and better align its resources to market conditions. As a result of these plans, the Company has recorded restructuring charges comprised principally of employee severance and associated termination costs related to the reduction of its workforce, office closures, losses on subleases, and contract termination costs. Liabilities for costs associated with an exit or disposal activity are recognized when the liability is incurred, as opposed to when management commits to an exit plan. In addition, (i) liabilities associated with exit and disposal activities are measured at fair value; (ii) one-time termination benefits are expensed at the date the entity notifies the employee, unless the employee must provide future service, in which case the benefits are expensed ratably over the future service period; and (iii) costs to terminate a contract before the end of its term are recognized when the entity terminates the contract in accordance with the contract terms. In addition, a portion of the Company’s restructuring costs related to international employees are recognized when the amount of such termination benefits becomes estimable and payment is probable. | |
These restructuring initiatives require management to make estimates in several areas including: (i) expenses for severance and other employee separation costs; (ii) realizable values of assets made redundant, obsolete, or excessive; and (iii) the ability to generate sublease income and to terminate lease obligations at the estimated amounts. | |
Stock-Based Compensation Expense. The Company recognizes stock-based compensation expense, net of an estimated forfeiture rate and therefore only recognizes compensation costs for those shares expected to vest over the service period of the award. Stock-based awards are valued based on the grant date fair value of these awards; the Company records stock-based compensation expense on a straight-line basis over the requisite service period, generally one to four years. | |
Calculating stock-based compensation expense related to stock options requires the input of highly subjective assumptions, including the expected term of the stock options, stock price volatility, and the pre-vesting forfeiture rate of stock awards. The Company estimates the expected life of options granted based on historical exercise patterns, which the Company believes are representative of future behavior. The Company estimates the volatility of its common stock on the date of grant based on the implied volatility of publicly traded options on its common stock, with a term of one year or greater. The Company believes that implied volatility calculated based on actively traded options on its common stock is a better indicator of expected volatility and future stock price trends than historical volatility. The assumptions used in calculating the fair value of stock-based awards represent the Company’s best estimates, but these estimates involve inherent uncertainties and the application of management judgment. As a result, if factors change and the Company uses different assumptions, the Company’s stock-based compensation expense could be materially different in the future. In addition, the Company is required to estimate the expected pre-vesting award forfeiture rate, as well as the probability that performance conditions that affect the vesting of certain awards will be achieved, and only recognizes expense for those shares expected to vest. The Company estimates the forfeiture rate based on historical experience of the Company’s stock-based awards that are granted and cancelled before vesting. See Note 14—“Employee Benefits” for additional information. | |
The Company uses the “with and without” approach in determining the order in which tax attributes are utilized. As a result, the Company recognizes a tax benefit from stock-based awards in additional paid-in capital only if an incremental tax benefit is realized after all other tax attributes currently available to the Company have been utilized. When tax deductions from stock-based awards are less than the cumulative book compensation expense, the tax effect of the resulting difference (“shortfall”) is charged first to additional paid-in capital, to the extent of the Company’s pool of windfall tax benefits, with any remainder recognized in income tax expense. The Company determined that it had a sufficient windfall pool available through the end of 2013 to absorb any shortfalls. In addition, the Company accounts for the indirect effects of stock-based awards on other tax attributes, such as the research tax credit, through the consolidated statements of income. | |
Recent Accounting Pronouncements. | |
In 2013, the Financial Accounting Standards Board (“FASB”) issued new accounting guidance clarifying the accounting for the release of a cumulative translation adjustment into net income when a parent either sells a part or all of its investment in a foreign entity or no longer holds a controlling financial interest in a subsidiary or group of assets that is a nonprofit activity or a business within a foreign entity. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning on or after December 15, 2013. The Company does not anticipate that this adoption will have a significant impact on its financial position, results of operations, or cash flows. | |
In 2013, the FASB issued a new accounting standard that will require the presentation of certain unrecognized tax benefits as reductions to deferred tax assets rather than as liabilities in the Consolidated Balance Sheets when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. The new standard requires adoption on a prospective basis in the first quarter of 2015; however, early adoption is permitted. The Company does not anticipate that this adoption will have a significant impact on its financial position, results of operations, or cash flows. | |
INVESTMENTS_AND_FAIR_VALUE_MEA
INVESTMENTS AND FAIR VALUE MEASUREMENTS | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
INVESTMENTS AND FAIR VALUE MEASUREMENTS | ' | ||||||||||||||||||||||||
Note 2 INVESTMENTS AND FAIR VALUE MEASUREMENTS | |||||||||||||||||||||||||
The following tables summarize the investments in available-for-sale securities (in thousands): | |||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||
Gross | Gross | Gross | Estimated | ||||||||||||||||||||||
Amortized | Unrealized | Unrealized | Fair Value | ||||||||||||||||||||||
Costs | Gains | Losses | |||||||||||||||||||||||
Government and agency securities | $ | 1,312,876 | $ | 985 | $ | (45 | ) | $ | 1,313,816 | ||||||||||||||||
Corporate debt securities, commercial paper, and bank certificates of deposit | 2,039,809 | 1,597 | (622 | ) | 2,040,784 | ||||||||||||||||||||
Corporate equity and other marketable securities | 230 | — | (33 | ) | 197 | ||||||||||||||||||||
Alibaba Group Preference Shares | 816,261 | — | — | 816,261 | |||||||||||||||||||||
Total investments in available-for-sale securities | $ | 4,169,176 | $ | 2,582 | $ | (700 | ) | $ | 4,171,058 | ||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||
Gross | Gross | Gross | Estimated | ||||||||||||||||||||||
Amortized | Unrealized | Unrealized | Fair Value | ||||||||||||||||||||||
Costs | Gains | Losses | |||||||||||||||||||||||
Government and agency securities | $ | 538,397 | $ | 65 | $ | (101 | ) | $ | 538,361 | ||||||||||||||||
Corporate debt securities, commercial paper, and bank certificates of deposit | 2,380,134 | 2,525 | (1,216 | ) | 2,381,443 | ||||||||||||||||||||
Corporate equity and other marketable securities | 230 | 153 | — | 383 | |||||||||||||||||||||
Total investments in available-for-sale securities | $ | 2,918,761 | $ | 2,743 | $ | (1,317 | ) | $ | 2,920,187 | ||||||||||||||||
December 31, | |||||||||||||||||||||||||
2012 | 2013 | ||||||||||||||||||||||||
Reported as: | |||||||||||||||||||||||||
Short-term marketable securities | $ | 1,516,175 | $ | 1,330,304 | |||||||||||||||||||||
Long-term marketable securities | 1,838,425 | 1,589,500 | |||||||||||||||||||||||
Alibaba Group Preference Shares | 816,261 | — | |||||||||||||||||||||||
Other assets | 197 | 383 | |||||||||||||||||||||||
Total | $ | 4,171,058 | $ | 2,920,187 | |||||||||||||||||||||
Available-for-sale securities included in cash and cash equivalents on the consolidated balance sheets are not included in the table above as the gross unrealized gains and losses were immaterial for both 2012 and 2013 as the carrying value approximates fair value because of the short maturity of those instruments. | |||||||||||||||||||||||||
The contractual maturities of available-for-sale marketable securities were as follows (in thousands): | |||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||
2012 | 2013 | ||||||||||||||||||||||||
Due within one year | $ | 1,516,175 | $ | 1,330,304 | |||||||||||||||||||||
Due after one year through five years | 1,838,425 | 1,589,500 | |||||||||||||||||||||||
Total available-for-sale marketable securities | $ | 3,354,600 | $ | 2,919,804 | |||||||||||||||||||||
The following tables show all investments in an unrealized loss position for which an other-than-temporary impairment has not been recognized and the related gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position (in thousands): | |||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||
Less than 12 Months | 12 Months or Greater | Total | |||||||||||||||||||||||
Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | ||||||||||||||||||||
Value | Loss | Value | Loss | Value | Loss | ||||||||||||||||||||
Government and agency securities | $ | 165,025 | $ | (45 | ) | $ | — | $ | — | $ | 165,025 | $ | (45 | ) | |||||||||||
Corporate debt securities, commercial paper, and bank certificates of deposit | 729,046 | (622 | ) | — | — | 729,046 | (622 | ) | |||||||||||||||||
Corporate equity securities | 197 | (33 | ) | — | — | 197 | (33 | ) | |||||||||||||||||
Total investments in available-for-sale securities | $ | 894,268 | $ | (700 | ) | $ | — | $ | — | $ | 894,268 | $ | (700 | ) | |||||||||||
December 31, 2013 | |||||||||||||||||||||||||
Less than 12 Months | 12 Months or Greater | Total | |||||||||||||||||||||||
Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | ||||||||||||||||||||
Value | Loss | Value | Loss | Value | Loss | ||||||||||||||||||||
Government and agency securities | $ | 263,514 | $ | (101 | ) | $ | — | $ | — | $ | 263,514 | $ | (101 | ) | |||||||||||
Corporate debt securities, commercial paper, and bank certificates of deposit | 696,950 | (1,214 | ) | 3,833 | (2 | ) | 700,783 | (1,216 | ) | ||||||||||||||||
Total investments in available-for-sale securities | $ | 960,464 | $ | (1,315 | ) | $ | 3,833 | $ | (2 | ) | $ | 964,297 | $ | (1,317 | ) | ||||||||||
The Company’s investment portfolio consists of liquid high-quality fixed income government, agency, and corporate debt securities, money market funds, time deposits with financial institutions, and preference shares. Investments in both fixed rate and floating rate interest earning instruments carry a degree of interest rate risk. Fixed rate securities may have their fair market value adversely impacted due to a rise in interest rates, while floating rate securities may produce less income than expected if interest rates fall. Fixed income securities may have their fair market value adversely impacted due to a deterioration of the credit quality of the issuer. The longer the term of the securities, the more susceptible they are to changes in market rates. Investments are reviewed periodically to identify possible other-than-temporary impairment. The Company has no current requirement or intent to sell these securities. The Company expects to recover up to (or beyond) the initial cost of investment for securities held. | |||||||||||||||||||||||||
The Company’s investment in the Alibaba Group Preference Shares was presented as an asset carried at fair value on the Company’s consolidated balance sheets as of December 31, 2012. As of December 31, 2012, the total carrying and fair value of the Alibaba Group Preference Shares was $822 million, which included $6 million of accrued dividend income recorded within prepaid expenses and other current assets and $16 million of accrued dividend income recorded as part of the carrying value of the Alibaba Group Preference Shares. For the years ended December 31, 2012 and 2013, the Company recorded approximately $23 million and $36 million, respectively, in dividend income related to the Alibaba Group Preference Shares within other income, net on the consolidated statements of income. On May 16, 2013, Alibaba Group Holding Limited (“Alibaba Group”) exercised its right to redeem the Alibaba Group Preference Shares for $846 million in cash. The cash received represented the redemption value, which included the stated value of $800 million plus accrued dividends of $46 million. | |||||||||||||||||||||||||
The following table sets forth the financial assets and liabilities, measured at fair value, by level within the fair value hierarchy as of December 31, 2012 (in thousands): | |||||||||||||||||||||||||
Fair Value Measurements at Reporting Date Using | |||||||||||||||||||||||||
Assets | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
Money market funds(1) | $ | 685,707 | $ | — | $ | — | $ | 685,707 | |||||||||||||||||
Available-for-sale securities: | |||||||||||||||||||||||||
Government and agency securities(1) | — | 2,464,227 | — | 2,464,227 | |||||||||||||||||||||
Commercial paper and bank certificates of deposit(1) | — | 892,769 | — | 892,769 | |||||||||||||||||||||
Corporate debt securities(1) | — | 1,298,123 | — | 1,298,123 | |||||||||||||||||||||
Time deposits | — | 84,555 | — | 84,555 | |||||||||||||||||||||
Alibaba Group Preference Shares | — | — | 816,261 | 816,261 | |||||||||||||||||||||
Corporate equity securities(2) | 197 | — | — | 197 | |||||||||||||||||||||
Foreign currency derivative contracts(3) | — | 5,007 | — | 5,007 | |||||||||||||||||||||
Financial assets at fair value | $ | 685,904 | $ | 4,744,681 | $ | 816,261 | $ | 6,246,846 | |||||||||||||||||
Liabilities | |||||||||||||||||||||||||
Foreign currency derivative contracts(3) | — | (6,662 | ) | — | (6,662 | ) | |||||||||||||||||||
Total financial assets and liabilities at fair value | $ | 685,904 | $ | 4,738,019 | $ | 816,261 | $ | 6,240,184 | |||||||||||||||||
The following table sets forth the financial assets and liabilities, measured at fair value, by level within the fair value hierarchy as of December 31, 2013 (in thousands): | |||||||||||||||||||||||||
Fair Value Measurements at Reporting Date Using | |||||||||||||||||||||||||
Assets | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
Money market funds(1) | $ | 936,438 | $ | — | $ | — | $ | 936,438 | |||||||||||||||||
Available-for-sale securities: | |||||||||||||||||||||||||
Government and agency securities(1) | — | 876,197 | — | 876,197 | |||||||||||||||||||||
Commercial paper and bank certificates of deposit(1) | — | 472,080 | — | 472,080 | |||||||||||||||||||||
Corporate debt securities(1) | — | 2,059,159 | — | 2,059,159 | |||||||||||||||||||||
Time deposits | — | 84,443 | — | 84,443 | |||||||||||||||||||||
Corporate equity securities(2) | 370 | — | — | 370 | |||||||||||||||||||||
Foreign currency derivative contracts(3) | — | 214,041 | — | 214,041 | |||||||||||||||||||||
Financial assets at fair value | $ | 936,808 | $ | 3,705,920 | $ | — | $ | 4,642,728 | |||||||||||||||||
Liabilities | |||||||||||||||||||||||||
Foreign currency derivative contracts(3) | — | (1,401 | ) | — | (1,401 | ) | |||||||||||||||||||
Total financial assets and liabilities at fair value | $ | 936,808 | $ | 3,704,519 | $ | — | $ | 4,641,327 | |||||||||||||||||
(1) | The money market funds, government and agency securities, commercial paper and bank certificates of deposit, and corporate debt securities are classified as part of either cash and cash equivalents or investments in marketable securities in the consolidated balance sheets. | ||||||||||||||||||||||||
(2) | The corporate equity securities are classified as part of the other long-term assets and other marketable securities are classified as investments in marketable securities in the consolidated balance sheets. | ||||||||||||||||||||||||
(3) | Foreign currency derivative contracts are classified as part of either other current assets or other current liabilities in the consolidated balance sheets. The notional amounts of the foreign currency derivative contracts were $3.4 billion, including contracts designated as net investment hedges of $3 billion, as of December 31, 2012, and $1.8 billion, including contracts designated as net investment hedges of $1.3 billion, as of December 31, 2013. | ||||||||||||||||||||||||
The amount of cash and cash equivalents as of December 31, 2012 and 2013 includes $597 million and $569 million, respectively, in cash deposits. | |||||||||||||||||||||||||
The fair values of the Company’s Level 1 financial assets and liabilities are based on quoted market prices of the identical underlying security. The fair values of the Company’s Level 2 financial assets and liabilities are obtained using quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets in markets that are not active; and inputs other than quoted prices, e.g., interest rates and yield curves. The Company utilizes a pricing service to assist in obtaining fair value pricing for the majority of this investment portfolio. The Company classified its investment in the Alibaba Group Preference Shares within Level 3 because it was valued using significant unobservable inputs. To estimate the fair value as of December 31, 2012, the Company performed benchmarking by comparing the terms and conditions of the Alibaba Group Preference Shares to dividend rates, subordination terms, and credit ratings of those of similar type instruments. The Company conducts reviews on a quarterly basis to verify pricing, assess liquidity, and to determine if significant inputs have changed that would impact the fair value hierarchy disclosure. | |||||||||||||||||||||||||
Convertible Senior Notes | |||||||||||||||||||||||||
In 2013, the Company issued $1.4375 billion aggregate principal amount of 0.00% Convertible Senior Notes due 2018 (the “Notes”). The Notes are carried at their original issuance value, net of unamortized debt discount, and are not marked to market each period. The approximate fair value of the Notes as of December 31, 2013 was $1.1 billion. The fair value of the Notes was estimated on the basis of quoted market prices observable in the market and is considered Level 2 in the fair value hierarchy. See Note 11—“Convertible Notes” for additional information related to the Notes. | |||||||||||||||||||||||||
Goodwill | |||||||||||||||||||||||||
The inputs used to measure the estimated fair value of goodwill are classified as a Level 3 fair value measurement due to the significance of unobservable inputs using company-specific information. The valuation methodology used to estimate the fair value of goodwill is discussed in Note 1—“Goodwill”. | |||||||||||||||||||||||||
Activity between Levels of the Fair Value Hierarchy | |||||||||||||||||||||||||
During the years ended December 31, 2012 and 2013, the Company did not make any transfers between Level 1, Level 2, or Level 3 assets or liabilities. |
CONSOLIDATED_FINANCIAL_STATEME
CONSOLIDATED FINANCIAL STATEMENT DETAILS | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
CONSOLIDATED FINANCIAL STATEMENT DETAILS | ' | ||||||||||||
Note 3 CONSOLIDATED FINANCIAL STATEMENT DETAILS | |||||||||||||
Prepaid Expenses and Other Current Assets | |||||||||||||
As of December 31, prepaid expenses and other current assets consisted of the following (in thousands): | |||||||||||||
2012 | 2013 | ||||||||||||
Prepaid expenses | $ | 74,268 | $ | 103,100 | |||||||||
Deferred income taxes | 249,936 | 218,486 | |||||||||||
Foreign currency forward contract assets | 5,008 | 214,041 | |||||||||||
Other receivables non-trade | 36,740 | 37,404 | |||||||||||
Other | 94,360 | 65,373 | |||||||||||
Total prepaid expenses and other current assets | $ | 460,312 | $ | 638,404 | |||||||||
Property and Equipment, Net | |||||||||||||
As of December 31, property and equipment, net consisted of the following (in thousands): | |||||||||||||
2012 | 2013 | ||||||||||||
Land | $ | 213,838 | $ | 213,838 | |||||||||
Buildings | 639,658 | 697,874 | |||||||||||
Leasehold improvements | 304,440 | 279,052 | |||||||||||
Computers and equipment(1) | 2,040,381 | 1,512,860 | |||||||||||
Capitalized software and labor | 595,366 | 766,368 | |||||||||||
Furniture and fixtures | 75,559 | 61,280 | |||||||||||
Assets not yet in use | 81,979 | 80,830 | |||||||||||
3,951,221 | 3,612,102 | ||||||||||||
Less: accumulated depreciation and amortization(2) | (2,265,376 | ) | (2,123,584 | ) | |||||||||
Total property and equipment, net | $ | 1,685,845 | $ | 1,488,518 | |||||||||
(1) | Includes data center equipment acquired under a capital lease of approximately $37 million and $44 million as of December 31, 2012 and 2013, respectively. | ||||||||||||
(2) | Includes $20 million and $33 million of accumulated depreciation, and $6 million and $12 million of accumulated amortization related to the capital lease as of December 31, 2012 and 2013, respectively. | ||||||||||||
Other Long-Term Assets | |||||||||||||
As of December 31, other long-term assets consisted of the following (in thousands): | |||||||||||||
2012 | 2013 | ||||||||||||
Deferred income taxes | $ | 139,183 | $ | 23,222 | |||||||||
Investments in privately-held companies | 27,022 | 25,077 | |||||||||||
Other | 122,925 | 128,982 | |||||||||||
Total other long-term assets | $ | 289,130 | $ | 177,281 | |||||||||
Accrued Expenses and Other Current Liabilities | |||||||||||||
As of December 31, accrued expenses and other current liabilities consisted of the following (in thousands): | |||||||||||||
2012 | 2013 | ||||||||||||
Accrued content, connection, traffic acquisition, and other costs | $ | 116,951 | $ | 119,431 | |||||||||
Deferred income taxes | 200 | (10 | ) | ||||||||||
Accrued compensation and related expenses | 337,727 | 343,392 | |||||||||||
Accrued taxes payable | 10,619 | 107,033 | |||||||||||
Accrued professional service expenses | 67,736 | 69,869 | |||||||||||
Accrued sales and marketing related expenses | 11,988 | 17,744 | |||||||||||
Accrued restructuring costs | 58,718 | 21,764 | |||||||||||
Current liability for uncertain tax contingencies | 30,484 | — | |||||||||||
Other | 174,052 | 228,559 | |||||||||||
Total accrued expenses and other current liabilities | $ | 808,475 | $ | 907,782 | |||||||||
Deferred and Other Long-Term Tax Liabilities, Net | |||||||||||||
As of December 31, deferred and other long-term tax liabilities, net consisted of the following (in thousands): | |||||||||||||
2012 | 2013 | ||||||||||||
Deferred income taxes | $ | 11,310 | $ | 172,491 | |||||||||
Long-term liability for uncertain tax contingencies(*) | 663,961 | 675,465 | |||||||||||
Total deferred and other long-term tax liabilities, net | $ | 675,271 | $ | 847,956 | |||||||||
(*) | Includes interest and penalties. | ||||||||||||
Accumulated Other Comprehensive Income | |||||||||||||
As of December 31, the components of accumulated other comprehensive income were as follows (in thousands): | |||||||||||||
2012 | 2013 | ||||||||||||
Unrealized gains on available-for-sale securities, net of tax | $ | 9,121 | $ | 15,101 | |||||||||
Unrealized gains on cash flow hedges, net of tax | — | 1,412 | |||||||||||
Foreign currency translation, net of tax | 562,128 | 301,876 | |||||||||||
Accumulated other comprehensive income | $ | 571,249 | $ | 318,389 | |||||||||
Noncontrolling Interests | |||||||||||||
As of December 31, noncontrolling interests were as follows (in thousands): | |||||||||||||
2012 | 2013 | ||||||||||||
Beginning noncontrolling interests | $ | 40,280 | $ | 45,403 | |||||||||
Net income attributable to noncontrolling interests | 5,123 | 10,285 | |||||||||||
Ending noncontrolling interests | $ | 45,403 | $ | 55,688 | |||||||||
Other Income, Net | |||||||||||||
Other income, net for 2011, 2012, and 2013 were as follows (in thousands): | |||||||||||||
Years Ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Interest, dividend, and investment income | $ | 18,920 | $ | 41,673 | $ | 57,544 | |||||||
Gain related to the sale of Alibaba Group Shares | — | 4,603,322 | — | ||||||||||
Interest expense | (9,473 | ) | (9,297 | ) | (14,319 | ) | |||||||
Other | 17,728 | 12,141 | 132 | ||||||||||
Total other income, net | $ | 27,175 | $ | 4,647,839 | $ | 43,357 | |||||||
Interest, dividend, and investment income consists of income earned from cash in bank accounts, investments made in marketable securities and money market funds, and dividend income on the Alibaba Group Preference Shares. | |||||||||||||
In September 2012, the Company recorded a pre-tax gain of approximately $4.6 billion related to the sale to Alibaba Group of Alibaba Group ordinary shares. See Note 8—“Investments in Equity Interests” for additional information. | |||||||||||||
Interest expense is related to the Notes and capital lease obligations for buildings and data centers. | |||||||||||||
Other consists of gains and losses from sales or impairments of marketable securities and/or investments in privately-held companies, foreign exchange gains and losses due to re-measurement of monetary assets and liabilities denominated in non-functional currencies, and foreign exchange gains and losses on balance sheet hedges. | |||||||||||||
Reclassifications Out of Accumulated Other Comprehensive Income | |||||||||||||
Reclassifications out of accumulated other comprehensive income for the period ended December 31, 2012 were as follows (in thousands): | |||||||||||||
Amount | Affected Line Item in the | ||||||||||||
Reclassified from | Statement of Income | ||||||||||||
Accumulated | |||||||||||||
Other | |||||||||||||
Comprehensive | |||||||||||||
Income | |||||||||||||
Realized losses on available-for-sale securities, net of tax | $ | 9,088 | Yahoo!’s share of earnings in equity method investments and Other income, net | ||||||||||
Foreign currency translation adjustments (“CTA”): | |||||||||||||
Korea business closure CTA reclassification | $ | (16,208 | ) | Restructuring charges net | |||||||||
Alibaba Group Initial Repurchase related CTA reclassification, net of $68 million in tax | (120,978 | ) | Other income, net | ||||||||||
Total foreign currency translation adjustments, net of tax | $ | (137,186 | ) | ||||||||||
Total reclassifications for the period | $ | (128,098 | ) | ||||||||||
Reclassifications out of accumulated other comprehensive income for the period ended December 31, 2013 were as follows (in thousands): | |||||||||||||
Amount | Affected Line Item in the | ||||||||||||
Reclassified from | Statement of Income | ||||||||||||
Accumulated | |||||||||||||
Other | |||||||||||||
Comprehensive | |||||||||||||
Income | |||||||||||||
Realized gains on cash flow hedges, net of tax | $ | (2,080 | ) | Revenue | |||||||||
Realized gains on available-for-sale securities, net of tax | (796 | ) | Other income, net | ||||||||||
Total reclassifications for the period | $ | (2,876 | ) | ||||||||||
ACQUISITIONS
ACQUISITIONS | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
ACQUISITIONS | ' | ||||||||||||
Note 4 ACQUISITIONS | |||||||||||||
The following table summarizes acquisitions (including business combinations and asset acquisitions) completed during the three years ended December 31, 2013 (in millions): | |||||||||||||
Purchase | Goodwill | Amortizable | |||||||||||
Price | Intangibles | ||||||||||||
2011 | |||||||||||||
interclick | $ | 259 | $ | 172 | $ | 79 | |||||||
Other acquisitions | $ | 72 | $ | 49 | $ | 26 | |||||||
2012 | |||||||||||||
All acquisitions | $ | 7 | $ | 5 | $ | — | |||||||
2013 | |||||||||||||
Tumblr | $ | 990 | $ | 752 | $ | 263 | |||||||
Other acquisitions | $ | 279 | $ | 186 | $ | 76 | |||||||
Transactions completed in 2011 | |||||||||||||
interclick. On December 14, 2011, the Company completed the acquisition of interclick, inc. (“interclick”) through an all cash tender offer for all outstanding shares of common stock of interclick at $9.00 per share. With interclick, the Company acquired innovative data targeting capabilities, optimization technologies and new premium supply, as well as a team experienced in selling audiences across disparate sources of pooled supply. The purchase price exceeded the fair value of the net tangible and identifiable intangible assets acquired and, as a result, the Company recorded goodwill in connection with this transaction. Under the terms of the agreement, the Company acquired all of the equity interests (including all outstanding options) in interclick. interclick stockholders and vested option holders were paid in cash, and outstanding interclick unvested options and restricted stock awards were assumed. Assumed options are exercisable for shares of Yahoo common stock. | |||||||||||||
The total purchase price of $259 million consisted of cash consideration. In connection with the acquisition, the Company issued stock-based awards valued at $9 million which is being recognized as stock-based compensation expense as the awards vest over a period of up to 4 years. | |||||||||||||
The allocation of the purchase price of the assets acquired and liabilities assumed based on their fair values was as follows (in thousands): | |||||||||||||
Cash acquired | $ | 4,369 | |||||||||||
Other tangible assets acquired | 71,711 | ||||||||||||
Amortizable intangible assets: | |||||||||||||
Customer contracts and related relationships | 42,700 | ||||||||||||
Developed technology and patents | 35,600 | ||||||||||||
Trade name, trademark, and domain name | 600 | ||||||||||||
Goodwill | 171,641 | ||||||||||||
Total assets acquired | 326,621 | ||||||||||||
Liabilities assumed | (68,120 | ) | |||||||||||
Total | $ | 258,501 | |||||||||||
The amortizable intangible assets have useful lives not exceeding six years and a weighted average useful life of five years. No amounts have been allocated to in-process research and development and $172 million has been allocated to goodwill. Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired and is not deductible for tax purposes. The goodwill recorded in connection with this acquisition is included in the Americas segment. | |||||||||||||
Other Acquisitions—Business Combinations. During the year ended December 31, 2011, the Company acquired three other companies, which were accounted for as business combinations. The total purchase price for these acquisitions was $72 million. The total cash consideration of $72 million less cash acquired of $3 million resulted in a net cash outlay of $69 million. Of the total purchase price, $49 million was allocated to goodwill, $26 million to amortizable intangible assets, $3 million to cash acquired, and $6 million to net assumed liabilities. Goodwill represents the excess of the purchase price over the fair value of the net tangible and intangible assets acquired and is not deductible for tax purposes. | |||||||||||||
Transactions completed in 2012 | |||||||||||||
All Acquisitions—Business Combinations. During the year ended December 31, 2012, the Company acquired two companies, which were accounted for as business combinations. The total purchase price for these acquisitions was $7 million. The total cash consideration of $7 million less cash acquired of $1 million resulted in a net cash outlay of $6 million. Of the total purchase price, $5 million was allocated to goodwill, $1 million to tangible assets and $1 million to cash acquired. Goodwill represents the excess of the purchase price over the fair value of the net tangible and intangible assets acquired and is not deductible for tax purposes. | |||||||||||||
Transactions completed in 2013 | |||||||||||||
Tumblr. On June 19, 2013, the Company completed the acquisition of Tumblr, Inc. (“Tumblr”), a blog-hosting Website that allows users to post their own content as well as follow or re-blog posts made by other users. The acquisition of Tumblr brought a community of new users to the Yahoo Network. | |||||||||||||
The purchase price exceeded the fair value of the net tangible and identifiable intangible assets acquired and, as a result, the Company recorded goodwill in connection with this transaction. Under the terms of the agreement, the Company acquired all of the equity interests (including all outstanding vested options) in Tumblr. Tumblr stockholders and vested optionholders were paid in cash, outstanding Tumblr unvested options and restricted stock units were assumed and converted into equivalent awards covering Yahoo common stock and a portion of the Tumblr shares held by its founder were exchanged for Yahoo common stock. | |||||||||||||
The total purchase price of approximately $990 million consisted mainly of cash consideration. The allocation of the purchase price of the assets acquired and liabilities assumed based on their fair values was as follows (in thousands): | |||||||||||||
Cash and marketable securities acquired | $ | 16,587 | |||||||||||
Other tangible assets acquired | 73,780 | ||||||||||||
Amortizable intangible assets: | |||||||||||||
Developed technology | 23,700 | ||||||||||||
Customer contracts and related relationships | 182,400 | ||||||||||||
Trade name | 56,500 | ||||||||||||
Goodwill | 751,765 | ||||||||||||
Total assets acquired | 1,104,732 | ||||||||||||
Liabilities assumed | (114,521 | ) | |||||||||||
Total | $ | 990,211 | |||||||||||
In connection with the acquisition, the Company is recognizing stock-based compensation expense of $70 million over a period of up to 4 years. This amount is comprised of assumed unvested stock options and restricted stock units (which had an aggregate fair value of $29 million at the acquisition date), and Yahoo common stock issued to Tumblr’s founder (which had a fair value of $41 million at the acquisition date). The Yahoo common stock issued to Tumblr’s founder is subject to holdback and will be released over 4 years provided he remains an employee of the Company. In addition, the transaction resulted in cash consideration of $40 million to be paid to Tumblr’s founder over 4 years, also provided that he remains an employee of the Company. Such cash payments are being recognized as compensation expense over the 4-year service period. | |||||||||||||
The amortizable intangible assets have useful lives not exceeding 6 years and a weighted average useful life of 6 years. No amounts have been allocated to in-process research and development and $752 million has been allocated to goodwill. Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired and is not deductible for tax purposes. This acquisition brings a community of users to the Yahoo Network by deploying Yahoo’s personalization technology and search infrastructure to deliver relevant content to the Tumblr user base. | |||||||||||||
Other Acquisitions—Business Combinations. During the year ended December 31, 2013, the Company acquired 25 other companies, which were accounted for as business combinations. The total aggregate purchase price for these other acquisitions was $279 million. The total cash consideration of $279 million less cash acquired of $2 million resulted in a net cash outlay of $277 million. The allocation of the purchase price of the assets and liabilities assumed based on their estimated fair values was $76 million to amortizable intangible assets, $19 million to in-process research and development, $2 million to cash acquired, $33 million to other tangible assets, $37 million to assumed liabilities, and the remainder of $186 million to goodwill. Goodwill represents the excess of the purchase price over the fair value of the net tangible and intangible assets acquired and is not deductible for tax purposes. | |||||||||||||
The Company’s business combinations completed during the years ended December 31, 2011, 2012, and 2013 did not have a material impact on the Company’s consolidated financial statements, and therefore pro forma disclosures have not been presented. |
GOODWILL
GOODWILL | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
GOODWILL | ' | ||||||||||||||||
Note 5 GOODWILL | |||||||||||||||||
The changes in the carrying amount of goodwill for the years ended December 31, 2012 and 2013 were as follows (in thousands): | |||||||||||||||||
Americas(1) | EMEA(2) | Asia Pacific(3) | Total | ||||||||||||||
Net balance as of January 1, 2012 | $ | 2,866,365 | $ | 581,523 | $ | 452,864 | $ | 3,900,752 | |||||||||
Acquisitions | 5,616 | — | — | 5,616 | |||||||||||||
Korea goodwill write-off | — | — | (85,642 | ) | (85,642 | ) | |||||||||||
Foreign currency translation adjustments | (1,950 | ) | 12,090 | (4,117 | ) | 6,023 | |||||||||||
Net balance as of December 31, 2012 | $ | 2,870,031 | $ | 593,613 | $ | 363,105 | $ | 3,826,749 | |||||||||
Acquisitions | 934,135 | 1,567 | 1,921 | 937,623 | |||||||||||||
Goodwill impairment charge | — | (63,555 | ) | — | (63,555 | ) | |||||||||||
Foreign currency translation adjustments | (1,832 | ) | 15,231 | (34,568 | ) | (21,169 | ) | ||||||||||
Net balance as of December 31, 2013 | $ | 3,802,334 | $ | 546,856 | $ | 330,458 | $ | 4,679,648 | |||||||||
(1) | Gross goodwill balances for the Americas segment were $2.9 billion as of January 1, 2012 and $3.8 billion as of December 31, 2013. | ||||||||||||||||
(2) | Gross goodwill balances for the EMEA segment were $1.1 billion as of both January 1, 2012 and December 31, 2013. The EMEA segment includes accumulated impairment losses of $488 million as of January 1, 2012, and $551 million as of December 31, 2013. | ||||||||||||||||
(3) | Gross goodwill balances for the Asia Pacific (“APAC”) segment were $517 million as of January 1, 2012 and $480 million as of December 31, 2013. The APAC segment includes accumulated impairment losses of $64 million as of January 1, 2012 and $150 million as of December 31, 2013. | ||||||||||||||||
As a result of the annual goodwill impairment test, the Company concluded that the carrying value of the Middle East reporting unit, included in the EMEA reportable segment, exceeded its fair value. As required by the second step of the impairment test, the Company performed an allocation of the fair value to all the assets and liabilities of the reporting unit, including identifiable intangible assets, based on their estimated fair values, to determine the implied fair value of goodwill. Accordingly, the Company recorded a goodwill impairment charge of approximately $64 million during the quarter ended December 31, 2013 for the difference between the carrying value of the goodwill in the reporting unit and its implied fair value with goodwill remaining of $77 million. The impairment resulted from reductions in the Company’s actual and projected operating results and estimated future cash flows that resulted from a decline in business conditions in the Middle East during the latter half of 2013. | |||||||||||||||||
The estimated fair values of the Company’s other reporting units exceeded their estimated carrying values and therefore goodwill in those reporting units was not impaired. |
INTANGIBLE_ASSETS_NET
INTANGIBLE ASSETS, NET | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
INTANGIBLE ASSETS, NET | ' | ||||||||||||
Note 6 INTANGIBLE ASSETS, NET | |||||||||||||
The following table summarizes the Company’s carrying amount of intangible assets, net (in thousands): | |||||||||||||
December 31, 2012 | |||||||||||||
Gross Carrying | Accumulated | Net | |||||||||||
Amount | Amortization(*) | ||||||||||||
Customer, affiliate, and advertiser related relationships | $ | 162,389 | $ | (99,996 | ) | $ | 62,393 | ||||||
Developed technology and patents | 270,485 | (198,851 | ) | 71,634 | |||||||||
Trade names, trademarks, and domain names | 50,382 | (30,436 | ) | 19,946 | |||||||||
Total intangible assets, net | $ | 483,256 | $ | (329,283 | ) | $ | 153,973 | ||||||
December 31, 2013 | |||||||||||||
Gross Carrying | Accumulated | Net | |||||||||||
Amount | Amortization(*) | ||||||||||||
Customer, affiliate, and advertiser related relationships | $ | 293,612 | $ | (87,794 | ) | $ | 205,818 | ||||||
Developed technology and patents | 261,435 | (120,936 | ) | 140,499 | |||||||||
Trade names, trademarks, and domain names | 107,381 | (35,890 | ) | 71,491 | |||||||||
Total intangible assets, net | $ | 662,428 | $ | (244,620 | ) | $ | 417,808 | ||||||
(*) | Cumulative foreign currency translation adjustments, reflecting movement in the currencies of the underlying entities, increased total intangible assets by approximately $19 million as of both December 31, 2012 and 2013. | ||||||||||||
The intangible assets have estimated useful lives as follows: | |||||||||||||
• | Customer, affiliate, and advertiser related relationships—two to eight years; | ||||||||||||
• | Developed technology and patents—one year to eight years; and | ||||||||||||
• | Trade names, trademarks, and domain names—one year to an indefinite life. | ||||||||||||
The Company recognized amortization expense of intangible assets of approximately $118 million, $105 million, and $97 million for 2011, 2012, and 2013, respectively, including $84 million, $70 million, and $52 million, respectively, included in cost of revenue-other. Based on the current amount of intangibles subject to amortization, the estimated amortization expense for each of the succeeding years is as follows: 2014: $107 million; 2015: $85 million; 2016: $60 million; 2017: $55 million; 2018: $43 million; and cumulatively thereafter: $51 million. |
BASIC_AND_DILUTED_NET_INCOME_A
BASIC AND DILUTED NET INCOME ATTRIBUTABLE TO YAHOO! INC. COMMON STOCKHOLDERS PER SHARE | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
BASIC AND DILUTED NET INCOME ATTRIBUTABLE TO YAHOO! INC. COMMON STOCKHOLDERS PER SHARE | ' | ||||||||||||
Note 7 BASIC AND DILUTED NET INCOME ATTRIBUTABLE TO YAHOO! INC. COMMON STOCKHOLDERS PER SHARE | |||||||||||||
Basic and diluted net income attributable to Yahoo common stockholders per share is computed using the weighted average number of common shares outstanding during the period, excluding net income attributable to participating securities (restricted stock awards granted under the Company’s 1995 Stock Plan and restricted stock units granted under the Company’s 1996 Directors’ Stock Plan (the “Directors’ Plan”)). Diluted net income per share is computed using the weighted average number of common shares and, if dilutive, potential common shares outstanding during the period. Potential common shares are calculated using the treasury stock method and consist of unvested restricted stock and shares underlying unvested restricted stock units, the incremental common shares issuable upon the exercise of stock options, and shares to be purchased under the Company’s 1996 Employee Stock Purchase Plan (the “Employee Stock Purchase Plan”). The Company calculates potential tax windfalls and shortfalls by including the impact of pro forma deferred tax assets. | |||||||||||||
The Company takes into account the effect on consolidated net income per share of dilutive securities of entities in which the Company holds equity interests that are accounted for using the equity method. | |||||||||||||
For 2011, 2012, and 2013, potentially dilutive securities representing approximately 56 million, 39 million, and 10 million shares of common stock, respectively, were excluded from the computation of diluted earnings per share for these periods because their effect would have been anti-dilutive. | |||||||||||||
The Company has the option to pay cash, issue shares of common stock or any combination thereof for the aggregate amount due upon conversion of the Notes. The Company’s intent is to settle the principal amount of the Notes in cash upon conversion. As a result, upon conversion of the Notes, only the amounts payable in excess of the principal amounts of the Notes are considered in diluted earnings per share under the treasury stock method. | |||||||||||||
The following table sets forth the computation of basic and diluted net income per share (in thousands, except per share amounts): | |||||||||||||
Years Ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Basic: | |||||||||||||
Numerator: | |||||||||||||
Net income attributable to Yahoo! Inc. | $ | 1,048,827 | $ | 3,945,479 | $ | 1,366,281 | |||||||
Less: Net income allocated to participating securities | (15 | ) | (56 | ) | (28 | ) | |||||||
Net income attributable to Yahoo! Inc. common stockholders—basic | $ | 1,048,812 | $ | 3,945,423 | $ | 1,366,253 | |||||||
Denominator: | |||||||||||||
Weighted average common shares | 1,274,240 | 1,192,775 | 1,052,705 | ||||||||||
Net income attributable to Yahoo! Inc. common stockholders per share—basic | $ | 0.82 | $ | 3.31 | $ | 1.3 | |||||||
Diluted: | |||||||||||||
Numerator: | |||||||||||||
Net income attributable to Yahoo! Inc. | $ | 1,048,827 | $ | 3,945,479 | $ | 1,366,281 | |||||||
Less: Net income allocated to participating securities | (14 | ) | (55 | ) | (28 | ) | |||||||
Less: Effect of dilutive securities issued by equity investees | (2,698 | ) | (4,920 | ) | (16,656 | ) | |||||||
Net income attributable to Yahoo! Inc. common stockholders—diluted | $ | 1,046,115 | $ | 3,940,504 | $ | 1,349,597 | |||||||
Denominator: | |||||||||||||
Denominator for basic calculation | 1,274,240 | 1,192,775 | 1,052,705 | ||||||||||
Weighted average effect of Yahoo! Inc. dilutive securities: | |||||||||||||
Restricted stock and restricted stock units | 5,347 | 8,403 | 14,097 | ||||||||||
Stock options and employee stock purchase plan | 2,695 | 1,728 | 4,009 | ||||||||||
Denominator for diluted calculation | 1,282,282 | 1,202,906 | 1,070,811 | ||||||||||
Net income attributable to Yahoo! Inc. common stockholders per share—diluted | $ | 0.82 | $ | 3.28 | $ | 1.26 | |||||||
INVESTMENTS_IN_EQUITY_INTEREST
INVESTMENTS IN EQUITY INTERESTS | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
INVESTMENTS IN EQUITY INTERESTS | ' | ||||||||||||||||
Note 8 INVESTMENTS IN EQUITY INTERESTS | |||||||||||||||||
As of December 31, investments in equity interests consisted of the following (dollars in thousands): | |||||||||||||||||
2012 | 2012 | 2013 | 2013 | ||||||||||||||
Percent | Percent | ||||||||||||||||
Ownership | Ownership | ||||||||||||||||
Alibaba Group | $ | 276,389 | 24 | % | $ | 1,018,126 | 24 | % | |||||||||
Yahoo Japan | 2,555,717 | 35 | % | 2,399,590 | 35 | % | |||||||||||
Other | 8,051 | 24 | % | 8,631 | 19 | % | |||||||||||
Total | $ | 2,840,157 | $ | 3,426,347 | |||||||||||||
Equity Investment in Alibaba Group. On October 23, 2005, the Company acquired approximately 46 percent of the outstanding common stock of the Alibaba Group, which represented approximately 40 percent on a fully diluted basis, in exchange for $1.0 billion in cash, the contribution of the Company’s China-based businesses (“Yahoo China”), and direct transaction costs of $8 million. Another investor in Alibaba Group is Softbank Corp., a Japanese corporation (“Softbank”). Alibaba Group is a privately-held company. | |||||||||||||||||
The Company’s initial purchase price was based on acquiring a 40 percent equity interest in Alibaba Group on a fully diluted basis; however, the Company acquired a 46 percent interest based on outstanding shares. In allocating the initial excess of the carrying value of the investment in Alibaba Group over its proportionate share of the net assets of Alibaba Group, the Company allocated a portion of the excess to goodwill to account for the estimated reductions in the carrying value of the investment in Alibaba that may occur as the Company’s equity interest is diluted to 40 percent based on specific events anticipated at the time. As of both December 31, 2012 and 2013, the Company’s ownership interest in Alibaba Group was approximately 24 percent as a result of the Initial Repurchase described below. | |||||||||||||||||
The investment in Alibaba Group is being accounted for using the equity method, and the total investment, including net tangible assets, identifiable intangible assets and goodwill, is classified as part of investments in equity interests on the Company’s consolidated balance sheets. | |||||||||||||||||
The Company’s accounting policy is to record its share of the results of Alibaba Group one quarter in arrears, within earnings in equity interests in the consolidated statements of income. As of December 31, 2013, the excess of carrying value of the Company’s investment in Alibaba Group and the Company’s proportionate share of the net assets of Alibaba Group is largely attributable to goodwill. | |||||||||||||||||
The Company entered into a patent sale agreement with a wholly-owned affiliate of Alibaba Group during the fourth quarter of 2013 pursuant to which the Company sold certain patents for aggregate consideration of $70 million. The gain on sale of these patents is recorded as a part of gains on sales of patents in the consolidated statements of income. | |||||||||||||||||
Framework Agreement with Alibaba Group regarding Alipay. Alibaba Group restructured the ownership of Alipay.com Co., Ltd. (“Alipay”) and deconsolidated Alipay in the first quarter of 2011. The impact of the deconsolidation of Alipay was not material to the Company’s financial statements. On July 29, 2011, the Company entered into a Framework Agreement (the “Framework Agreement”) with Alibaba Group, Softbank, Alipay, APN Ltd., a company organized under the laws of the Cayman Islands (“IPCo”), Zhejiang Alibaba E-Commerce Co., Ltd., a limited liability company organized under the laws of the People’s Republic of China (“HoldCo”), Jack Ma Yun, Joseph C. Tsai and certain security holders of Alipay or HoldCo as joinder parties. The Framework Agreement establishes the ongoing financial and other arrangements between Alibaba Group and Alipay. The transactions under the Framework Agreement closed on December 14, 2011. | |||||||||||||||||
Pursuant to the terms of the Framework Agreement and related documents: (1) Alibaba Group will receive certain payments (“Liquidity Event Payment”) upon a liquidity event related to Alipay, such as an initial public offering or sale of Alipay; (2) Alibaba Group received a non-interest bearing promissory note in the principal amount of $500 million with a seven year maturity, subject to earlier prepayment or acceleration (the “IPCo Promissory Note”); (3) upon payment in full of the Liquidity Event Payment certain assets used in the Alipay business that were retained by Alibaba Group will be transferred to Alipay; (4) Alibaba Group and Alipay entered into a long-term agreement pursuant to which Alibaba Group will receive payment processing services on preferential terms from Alipay and its subsidiaries; and (5) Alibaba Group licensed to Alipay certain intellectual property and technology and performs certain software technology services for Alipay and in return Alipay pays to Alibaba Group a royalty and software technology services fee. | |||||||||||||||||
The royalty and software technology services fee and the payment processing services fees discussed above approximate the estimated fair values of such services and are recognized in Alibaba Group’s financial statements as income or expense, as applicable, as the services are rendered. The Company will record its share, if any, of the results of these transactions as they are recorded by Alibaba Group within Yahoo’s earnings in equity interests in the consolidated statements of income. Alibaba Group will recognize the Liquidity Event Payment, the payment of the IPCo Promissory Note, and any impact from the transfer of assets, described above, if and when such payments or transfers occur. The Company will record its share, if any, of the results of these transactions as they are recorded by Alibaba Group within the Company’s earnings in equity interests in the consolidated statements of income. | |||||||||||||||||
Initial Repurchase by Alibaba Group. On September 18, 2012 (the “Repurchase Closing Date”), Alibaba Group repurchased 523 million of the 1,047 million ordinary shares of Alibaba Group (the “Shares”) owned by the Company (the “Initial Repurchase”). The Initial Repurchase was made pursuant to the terms of the Share Repurchase and Preference Share Sale Agreement entered into by Yahoo! Inc., Alibaba Group and Yahoo! Hong Kong Holdings Limited, a Hong Kong corporation and wholly-owned subsidiary of Yahoo! Inc. (“YHK”), on May 20, 2012 (as amended on September 11, 2012, the “Repurchase Agreement”). Yahoo received $13.54 per Share, or approximately $7.1 billion in total consideration, for the 523 million Shares sold to Alibaba Group. Approximately $6.3 billion of the consideration was received in cash and $800 million was received in Alibaba Group Preference Shares, which Alibaba redeemed for cash on May 16, 2013. The Initial Repurchase resulted in a pre-tax gain of approximately $4.6 billion during the year ended December 31, 2012. | |||||||||||||||||
The Alibaba Group Preference Shares yielded semi-annual dividends at a rate per annum of up to 10 percent, with at least 3 percent payable in cash and the remainder accruing and increasing the liquidation preference. The Alibaba Group Preference Shares were callable by Alibaba Group at the redemption value (including accrued dividends). On May 16, 2013, the Company received $846 million in cash from Alibaba Group to redeem the Alibaba Group Preference Shares. The cash received represented the redemption value, which included the stated value of $800 million plus accrued dividends of $46 million. | |||||||||||||||||
The Repurchase Agreement provided that at the time Alibaba Group completes an initial public offering meeting certain specified criteria (a “Qualified IPO”), Yahoo and YHK would sell, at Alibaba Group’s election (either directly to Alibaba Group or in the Qualified IPO), up to 261.5 million of their remaining Shares. This amount was subsequently reduced to 208.0 million by an amendment to the Repurchase Agreement dated as of October 14, 2013. If Shares are sold back to Alibaba Group in the Qualified IPO, the purchase price per Share will be equal to the per share price in the Qualified IPO less specified fees and underwriter discounts. | |||||||||||||||||
On the Repurchase Closing Date, the Company and Alibaba Group entered into an amendment of their existing Technology and Intellectual Property License Agreement (the “TIPLA”) pursuant to which Alibaba Group made an initial payment to the Company of $550 million in satisfaction of certain future royalty payments under the existing TIPLA. The Company will recognize this revenue over the remaining four-year term. For the years ended December 31, 2012 and 2013, the Company recognized approximately $39 million and $137 million in revenue related to the TIPLA. Alibaba Group will continue making royalty payments until the earlier of the fourth anniversary of the effective date of the amendment and a Qualified IPO. Pursuant to the terms of the TIPLA, the Company also recognized revenue of approximately $44 million, $86 million, and $122 million for the years ended December 31, 2011, 2012, and 2013, respectively. | |||||||||||||||||
The following table presents Alibaba Group’s U.S. GAAP financial information, as derived from the Alibaba Group financial statements (in thousands): | |||||||||||||||||
Twelve Months Ended September 30, | |||||||||||||||||
2011 | 2012 | 2013 | |||||||||||||||
Operating data: | |||||||||||||||||
Revenue | $ | 2,344,973 | $ | 4,082,838 | $ | 6,734,978 | |||||||||||
Gross profit | $ | 1,557,392 | $ | 2,764,314 | $ | 4,909,327 | |||||||||||
Income from operations | $ | 325,334 | $ | 687,632 | $ | 3,103,664 | |||||||||||
Net income | $ | 339,552 | $ | 536,050 | $ | 2,847,139 | |||||||||||
Net income attributable to Alibaba Group | $ | 268,004 | $ | 484,511 | $ | 2,809,429 | |||||||||||
September 30, | September 30, | ||||||||||||||||
2012 | 2013 | ||||||||||||||||
Balance sheet data: | |||||||||||||||||
Current assets | $ | 4,062,823 | $ | 7,994,731 | |||||||||||||
Long-term assets | $ | 3,204,144 | $ | 5,959,835 | |||||||||||||
Current liabilities | $ | 2,624,656 | $ | 4,838,510 | |||||||||||||
Long-term liabilities | $ | 4,705,347 | $ | 5,319,113 | |||||||||||||
Convertible preferred shares | $ | 1,317,526 | $ | 1,688,889 | |||||||||||||
Noncontrolling interests | $ | 65,907 | $ | 92,127 | |||||||||||||
Since acquiring its interest in Alibaba Group, the Company has recorded, in retained earnings, cumulative earnings in equity interests, net of tax, of $661 million and $1,078 million as of December 31, 2012 and 2013, respectively. | |||||||||||||||||
Equity Investment in Yahoo Japan. During April 1996, the Company signed a joint venture agreement with Softbank, which was amended in September 1997, whereby Yahoo Japan Corporation (“Yahoo Japan”) was formed. Yahoo Japan was formed to establish and manage a local version of Yahoo in Japan. | |||||||||||||||||
The investment in Yahoo Japan is being accounted for using the equity method and the total investment, including net tangible assets, identifiable intangible assets, and goodwill, is classified as part of the investments in equity interests balance on the Company’s consolidated balance sheets. The Company records its share of the results of Yahoo Japan and any related amortization expense, one quarter in arrears, within earnings in equity interests in the consolidated statements of income. | |||||||||||||||||
The Company makes adjustments to its earnings in equity interests line in the consolidated statements of income for any differences between U.S. GAAP and accounting principles generally accepted in Japan (“Japanese GAAP”), the standard by which Yahoo Japan’s financial statements are prepared. | |||||||||||||||||
During the year ended December 31, 2011, the Company recorded $33 million in U.S. GAAP adjustments to Yahoo Japan’s net income to reflect the Company’s 35 percent share of non-cash losses related to impairments of assets held by Yahoo Japan. The $33 million recorded during the year ended December 31, 2011 primarily includes $7 million related to the Company’s share of a non-cash loss in connection with an impairment of assets held by Yahoo Japan in the second quarter of 2011, and a $26 million U.S. GAAP adjustment to Yahoo Japan’s net income in the first quarter of 2011 to reflect the Company’s share of an other-than-temporary impairment of a cost-method investment of Yahoo Japan that resulted primarily from reductions in the projected operating results of the Yahoo Japan investee. | |||||||||||||||||
The fair value of the Company’s ownership in the common stock of Yahoo Japan, based on the quoted stock price, was approximately $11 billion as of December 31, 2013. | |||||||||||||||||
During the years ended December 31, 2011, 2012 and 2013, the Company received cash dividends from Yahoo Japan in the amounts of $75 million, $84 million, and $77 million, net of tax, respectively, which were recorded as reductions in the Company’s investment in Yahoo Japan. | |||||||||||||||||
The following tables present summarized financial information derived from Yahoo Japan’s consolidated financial statements, which are prepared on the basis of Japanese GAAP. The Company has made adjustments to the Yahoo Japan financial information to address differences between Japanese GAAP and U.S. GAAP that materially impact the summarized financial information below. Due to these adjustments, the Yahoo Japan summarized financial information presented below is not materially different than such information presented on the basis of U.S. GAAP. | |||||||||||||||||
Twelve Months Ended September 30, | |||||||||||||||||
2011 | 2012 | 2013 | |||||||||||||||
Operating data: | |||||||||||||||||
Revenue | $ | 3,988,377 | $ | 4,242,623 | $ | 4,296,522 | |||||||||||
Gross profit | $ | 3,311,357 | $ | 3,594,633 | $ | 3,577,001 | |||||||||||
Income from operations | $ | 1,963,924 | $ | 2,189,323 | $ | 2,150,644 | |||||||||||
Net income | $ | 1,114,637 | $ | 1,313,494 | $ | 1,365,443 | |||||||||||
Net income attributable to Yahoo Japan | $ | 1,108,390 | $ | 1,308,539 | $ | 1,355,457 | |||||||||||
September 30, | |||||||||||||||||
2012 | 2013 | ||||||||||||||||
Balance sheet data: | |||||||||||||||||
Current assets | $ | 5,752,826 | $ | 6,318,156 | |||||||||||||
Long-term assets | $ | 1,837,829 | $ | 1,728,912 | |||||||||||||
Current liabilities | $ | 1,167,772 | $ | 1,992,508 | |||||||||||||
Long-term liabilities | $ | 49,461 | $ | 56,762 | |||||||||||||
Noncontrolling interests | $ | 31,034 | $ | 74,754 | |||||||||||||
Since acquiring its equity interest in Yahoo Japan, the Company has recorded cumulative earnings in equity interests, net of dividends received and related taxes on dividends, of $2.3 billion and $2.8 billion as of December 31, 2012 and 2013, respectively. | |||||||||||||||||
Under technology and trademark license and other commercial arrangements with Yahoo Japan, the Company records revenue from Yahoo Japan based on a percentage of advertising revenue earned by Yahoo Japan. The Company recorded revenue from Yahoo Japan of approximately $287 million, $281 million, and $266 million, respectively, for the years ended December 31, 2011, 2012, and 2013. As of December 31, 2012 and 2013, the Company had net receivable balances from Yahoo Japan of approximately $43 million and $42 million, respectively. |
DERIVATIVE_FINANCIAL_INSTRUMEN
DERIVATIVE FINANCIAL INSTRUMENTS | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
DERIVATIVE FINANCIAL INSTRUMENTS | ' | ||||||||||||||||||||||||
Note 9 DERIVATIVE FINANCIAL INSTRUMENTS | |||||||||||||||||||||||||
The Company uses derivative financial instruments, primarily forward contracts, to mitigate risk associated with adverse movements in foreign currency exchange rates. | |||||||||||||||||||||||||
The Company generally enters into master netting arrangements, which are designed to reduce credit risk by permitting net settlement of transactions with the same counterparty. The Company presents its derivative assets and liabilities at their gross fair values on the consolidated balance sheets. The Company is not required to pledge, and is not entitled to receive, cash collateral related to these derivative transactions. | |||||||||||||||||||||||||
Net Investment Hedges. The Company hedges, on an after-tax basis, a portion of its net investment in Yahoo Japan with forward contracts to reduce the risk that its carrying value of its investment in Yahoo Japan will be adversely affected by foreign currency exchange rate fluctuations. At inception, the forward contracts had maturities ranging from 9 to 15 months. The Company applies hedge accounting on its forward contracts for the net investment hedge of Yahoo Japan. The total balance of the after-tax net investment hedge was less than the Yahoo Japan investment balance as of both December 31, 2012 and 2013. As such, the net investment hedge was considered to be effective, and, as a result, the changes in the fair value were recorded within accumulated other comprehensive income on the Company’s consolidated balance sheets. The Company recognizes net investment derivative instruments as either an asset or a liability on the Company’s consolidated balance sheets at fair value. The notional amounts of the foreign currency forward contracts were $3 billion as of December 31, 2012 and $1.3 billion as of December 31, 2013, respectively. The fair value of the foreign currency forward contract assets were $3 million and $209 million as of December 31, 2012 and 2013, respectively, and were included in prepaid expenses and other current assets on the Company’s consolidated balance sheets. Pre-tax gains of $3 million and $510 million were recorded as of December 31, 2012 and December 31, 2013, respectively, and were included in accumulated other comprehensive income on the Company’s consolidated balance sheets. The Company did not enter into any net investment hedges in the year ended December 31, 2011. The Company received $304 million in cash for settlement of certain foreign currency forward contracts during year ended December 31, 2013. | |||||||||||||||||||||||||
Cash Flow Hedges. The Company entered into foreign currency forward contracts designated as cash flow hedges of varying maturities through July 31, 2014. For derivatives designated as cash flow hedges, the effective portion of the unrealized gains or losses on these forward contracts is recorded in accumulated other comprehensive income on the Company’s consolidated balance sheets and reclassified into revenue on the consolidated statements of income when the underlying hedged revenue is recognized. If the cash flow hedges were to become ineffective, the ineffective portion would be immediately recorded in other income, net on the Company’s consolidated statements of income. The cash flow hedges were considered to be effective as of December 31, 2013. The total notional amount of the foreign currency forward contracts was $56 million as of December 31, 2013. The fair value of the foreign currency forward contract assets was $4 million as of December 31, 2013 which was included in prepaid expenses and other current assets on the Company’s consolidated balance sheets. A pre-tax net gain of $2 million was recorded as of December 31, 2013, which was included in accumulated other comprehensive income on the Company’s consolidated balance sheets. For year ended December 31, 2013, the Company recorded gains of $2 million, net of tax, for cash flow hedges, which were recorded in revenue in the consolidated statements of income. The Company received $2 million in cash for settlement of certain foreign currency forward contracts during the year ended December 31, 2013. The Company did not enter into any cash flow hedges in the years ended December 31, 2011 and 2012. | |||||||||||||||||||||||||
Balance Sheet Hedges. The Company hedges certain of its net recognized foreign currency assets and liabilities with foreign exchange forward contracts to reduce the risk that its earnings and cash flows will be adversely affected by changes in foreign currency exchange rates. These derivative instruments hedge assets and liabilities, including intercompany transactions, which are denominated in foreign currencies. The Company recognizes balance sheet derivative instruments as either an asset or a liability on the Company’s consolidated balance sheets at fair value. Changes in the fair value of these derivatives are recorded in other income, net on the Company’s consolidated statements of income. The notional amounts of these foreign currency forward contracts were $356 million and $393 million as of December 31, 2012 and 2013, respectively. As of December 31, 2012 and 2013, the fair value of the foreign currency forward contract liabilities were $5 million, and less than $1 million, respectively, and were included in accrued expenses and other current liabilities on the Company’s consolidated balance sheets. A loss of $3 million, a gain of $4 million, and a loss of $12 million were recorded for the years ended December 31, 2011, 2012, and 2013, respectively, and were included in other income, net on the Company’s consolidated statements of income. The Company received $7 million and paid a net $17 million in cash for settlement of certain foreign currency forward contracts during the years ended December 31, 2012 and 2013, respectively. | |||||||||||||||||||||||||
Forecasted Revenue Hedges. On October 2, 2013, the Company began hedging a portion of the forecasted revenue of certain international subsidiaries whose functional currencies are not the U.S dollar. This program attempts to reduce the risk that its revenue denominated in these currencies will be adversely affected by foreign currency exchange rate fluctuations. These derivatives are economic hedges and as such do not qualify for hedge accounting. The Company recognizes these derivative instruments as either assets or liabilities on the Company’s consolidated balance sheets at fair value. Changes in the fair value of these derivatives are recorded as a component of revenue in the Company’s consolidated statements of income. The Company did not have any derivative contracts related to the forecasted revenue hedge outstanding as of December 31, 2013. The Company did not enter into any forecasted revenue hedges in the years ended December 31, 2011 and 2012. | |||||||||||||||||||||||||
Foreign currency forward contracts activity for the year ended December 31, 2013 was as follows (in millions): | |||||||||||||||||||||||||
Beginning | Settlement | Gain (loss) | Gain (loss) | Gain | Ending fair | ||||||||||||||||||||
fair value | recorded in | recorded in | (loss) | value | |||||||||||||||||||||
other income, | other | recorded | |||||||||||||||||||||||
net | comprehensive | in | |||||||||||||||||||||||
income | revenue | ||||||||||||||||||||||||
Derivatives designated as hedging instruments: | |||||||||||||||||||||||||
Net investment hedges | $ | 3 | $ | (304 | ) | $ | — | $ | 510 | (1) | $ | — | $ | 209 | |||||||||||
Cash flow hedges | — | (2 | ) | 1 | 2 | (2) | 3 | (3) | 4 | ||||||||||||||||
Derivatives not designated as hedging instruments: | |||||||||||||||||||||||||
Balance sheet hedges | (5 | ) | 17 | (12 | ) | — | — | — | |||||||||||||||||
Forecasted revenue hedges | — | — | — | — | — | — | |||||||||||||||||||
(1) | This amount does not reflect the tax impact of $193 million recorded during the twelve months ended December 31, 2013. The $317 million after tax impact of the gain recorded under other comprehensive income was included in accumulated other comprehensive income on the Company’s consolidated balance sheets. | ||||||||||||||||||||||||
(2) | This amount does not reflect the tax impact of less than $1 million recorded during the twelve months ended December 31, 2013. The less than $1 million tax impact of the gain was included in accumulated other comprehensive income on the Company’s consolidated balance sheets. | ||||||||||||||||||||||||
(3) | This amount does not reflect the tax impact of $1 million recorded during the twelve months ended December 31, 2013. The $2 million after tax impact was included the consolidated statements of income. |
CREDIT_AGREEMENT
CREDIT AGREEMENT | 12 Months Ended |
Dec. 31, 2013 | |
CREDIT AGREEMENT | ' |
Note 10 CREDIT AGREEMENT | |
On October 19, 2012, the Company entered into a credit agreement (the “Credit Agreement”) with Citibank, N.A., as Administrative Agent, and the other lenders party thereto from time to time. On October 10, 2013, the Company entered into Amendment No. 1 to the Credit Agreement. Amendment No. 1 extended the termination date of the Credit Agreement from October 18, 2013 to October 9, 2014. The Credit Agreement, as amended, continues to provide for a $750 million unsecured revolving credit facility, subject to increase of up to $250 million in accordance with its terms. | |
Borrowings under the Credit Agreement, as amended, will continue to bear interest at a rate equal to, at the option of the Company, either (a) a customary London interbank offered rate (a “Eurodollar Rate”), or (b) a customary base rate (a “Base Rate”), in each case plus an applicable margin. The applicable margins for borrowings under the Credit Agreement, as amended, will be based upon the leverage ratio of the Company and range from 1.00 percent to 1.25 percent with respect to Eurodollar Rate borrowings and 0 percent to 0.25 percent with respect to Base Rate borrowings. | |
As of December 31, 2013, the Company was in compliance with the financial covenants in the Credit Agreement and no amounts were outstanding. |
CONVERTIBLE_NOTES
CONVERTIBLE NOTES | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
CONVERTIBLE NOTES | ' | ||||||||
Note 11 CONVERTIBLE NOTES | |||||||||
0.00% Convertible Senior Notes | |||||||||
In 2013, the Company issued the Notes. The Notes were sold under a purchase agreement, dated November 20, 2013, with J.P. Morgan Securities LLC and Goldman, Sachs & Co., as representatives of the several initial purchasers named therein (collectively, the “Initial Purchasers”). The Notes were sold to the Initial Purchasers for resale to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended. | |||||||||
In connection with the issuance of the Notes, the Company entered into an indenture (the “Indenture”) with respect to the Notes with The Bank of New York Mellon Trust Company, N.A., as trustee. Under the Indenture, the Notes are senior unsecured obligations of Yahoo! Inc., the Notes will not bear regular interest, and the principal amount of the Notes will not accrete. The Notes will mature on December 1, 2018, unless previously purchased or converted in accordance with their terms prior to such date. The Company may not redeem Notes prior to maturity. However, holders of the Notes may convert them at certain times and upon the occurrence of certain events in the future, as outlined in the Indenture. Holders of the Notes who convert in connection with a “make-whole fundamental change,” as defined in the Indenture, may require Yahoo to purchase for cash all or any portion of their Notes at a purchase price equal to 100 percent of the principal amount, plus accrued and unpaid special interest as defined in the Indenture, if any. The Notes will be convertible into shares of Yahoo’s common stock at an initial conversion rate of 18.7161 shares per $1,000 principal amount of Notes (which is equivalent to an initial conversion price of approximately $53.43 per share), subject to adjustment upon the occurrence of certain events. Certain corporate events described in the Indenture may increase the conversion rate for holders who elect to convert their Notes in connection with such corporate event should they occur. Upon conversion of the Notes, holders will receive cash, shares of Yahoo’s common stock or a combination thereof, at Yahoo’s election. The Company’s intent is to settle the principal amount of the Notes in cash upon conversion. If the conversion value exceeds the principal amount, the Company would deliver shares of its common stock in respect to the remainder of its conversion obligation in excess of the aggregate principal amount (conversion spread). The conversion spread would be included in the denominator for the computation of diluted net income per common share, using the treasury stock method. As of December 31, 2013, none of the conditions allowing holders of the Notes to convert had been met. | |||||||||
In accounting for the issuance of the Notes, the Company separated the Notes into liability and equity components. The carrying amount of the liability component was calculated by measuring the estimated fair value of a similar liability that does not have an associated convertible feature. The carrying amount of the equity component representing the conversion option was determined by deducting the fair value of the liability component from the face value of the Notes as a whole. The excess of the principal amount of the liability component over its carrying amount (“debt discount”) is amortized to interest expense over the term of the Notes using the effective interest method with an effective interest rate of 5.26 percent per annum. The equity component is not remeasured as long as it continues to meet the conditions for equity classification. | |||||||||
In accounting for the transaction costs related to the Note issuance, the Company allocated the total amount incurred to the liability and equity components based on their relative values. Issuance costs attributable to the $1.1 billion liability component are being amortized to expense over the term of the Notes, and issuance costs attributable to the $306 million equity component were included with the equity component in stockholders’ equity. Additionally, the Company recorded a deferred tax liability of $37 million on a portion of the equity component transaction costs which are deductible for tax purposes. | |||||||||
The Notes consist of the following (in thousands): | |||||||||
Year Ended | |||||||||
December 31, 2013 | |||||||||
Liability component: | |||||||||
Principal | $ | 1,437,500 | |||||||
Less: note discount | (326,915 | ) | |||||||
Net carrying amount | $ | 1,110,585 | |||||||
Equity component(*) | $ | 305,569 | |||||||
(*) | Recorded in the consolidated balance sheet within additional paid-in capital. | ||||||||
The following table sets forth total interest expense recognized related to the Notes (in thousands): | |||||||||
Year Ended | |||||||||
December 31, 2013 | |||||||||
Accretion of convertible note discount | $ | 4,846 | |||||||
As of December 31, the fair value of the Notes, which was determined based on inputs that are observable in the market (Level 2) and carrying value of debt instruments (carrying value excludes the equity component of the Company’s Notes classified in equity) was as follows: | |||||||||
2013 | |||||||||
Fair Value | Carrying Value | ||||||||
Convertible senior notes | $ | 1,111,473 | $ | 1,110,585 | |||||
Note Hedge Transactions and Warrant Transactions | |||||||||
The Company entered into note hedge transactions with certain option counterparties (the “Option Counterparties”) to reduce the potential dilution with respect to Yahoo’s common stock upon conversion of the Notes or offset any cash payment the Company is required to make in excess of the principal amount of converted Notes. For the year ended December 31, 2013, the Company paid $206 million for the note hedge transactions. Separately, the Company also entered into privately negotiated warrant transactions with the Option Counterparties giving them the right to purchase common stock from the Company. The warrant transactions will have a dilutive effect with respect to Yahoo’s common stock to the extent that the market price per share of its common stock exceeds the strike price of $71.24 per share of the warrants on or prior to the expiration date of the warrants. The warrants begin to expire in March 2019. For the year ended December 31, 2013, the Company received $125 million in proceeds from the issuance of warrants. The note hedges and warrants are not marked to market. The value of the note hedges and warrants were initially recorded in stockholders’ equity and continue to be classified as stockholders’ equity. |
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
COMMITMENTS AND CONTINGENCIES | ' | ||||||||||||
Note 12 COMMITMENTS AND CONTINGENCIES | |||||||||||||
Lease Commitments. The Company leases office space and data centers under operating and capital lease agreements with original lease periods up to 12 years which expire between 2013 and 2025. | |||||||||||||
In May 2013, the Company entered into a 12-year operating lease agreement for four floors of the former New York Times building in New York City with a total expected minimum lease commitment of $125 million. The Company has the option to renew the lease for an additional five years. The lease requires monthly payments of approximately $1 million starting in July 2015 through June 2025. However, rent expense will be recorded over the lease term commensurate with the right to control the space which began in July 2013. | |||||||||||||
Rent expense for all operating leases was approximately $84 million, $76 million, and $77 million for 2011, 2012, and 2013, respectively. | |||||||||||||
Many of the Company’s leases contain one or more of the following options which the Company can exercise at the end of the initial lease term: (i) renewal of the lease for a defined number of years at the then fair market rental rate or at a slight discount to the fair market rental rate; (ii) purchase of the property at the then fair market value; or (iii) right of first offer to lease additional space that becomes available. | |||||||||||||
Gross and net lease commitments as of December 31, 2013 can be summarized as follows (in millions): | |||||||||||||
Gross Operating | Sublease | Net Operating | |||||||||||
Lease Commitments | Income | Lease Commitments | |||||||||||
Years ending December 31, | |||||||||||||
2014 | $ | 141 | $ | (12 | ) | $ | 129 | ||||||
2015 | 109 | (9 | ) | 100 | |||||||||
2016 | 69 | (2 | ) | 67 | |||||||||
2017 | 55 | — | 55 | ||||||||||
2018 | 36 | — | 36 | ||||||||||
Due after 5 years | 122 | — | 122 | ||||||||||
Total gross and net lease commitments | $ | 532 | $ | (23 | ) | $ | 509 | ||||||
Capital | |||||||||||||
Lease Commitment | |||||||||||||
Years ending December 31, | |||||||||||||
2014 | $ | 15 | |||||||||||
2015 | 12 | ||||||||||||
2016 | 9 | ||||||||||||
2017 | 9 | ||||||||||||
2018 | 9 | ||||||||||||
Due after 5 years | 4 | ||||||||||||
Gross lease commitment | $ | 58 | |||||||||||
Less: interest | (14 | ) | |||||||||||
Net lease commitment included in capital lease and other long-term liabilities | $ | 44 | |||||||||||
Affiliate Commitments. In connection with contracts to provide advertising services to Affiliates, the Company is obligated to make payments, which represent TAC, to its Affiliates. As of December 31, 2013, these commitments totaled $24 million, of which $13 million will be payable in 2014, $10 million will be payable in 2015, and $1 million will be payable in 2016. | |||||||||||||
Non-cancelable Obligations. The Company is obligated to make payments under various non-cancelable arrangements with vendors and other business partners, principally for marketing, bandwidth, co-location, and content arrangements. As of December 31, 2013, these commitments totaled $198 million, of which $101 million will be payable in 2014, $48 million will be payable in 2015, $36 million will be payable in 2016, $8 million will be payable in 2017, and $5 million will be payable in 2018. | |||||||||||||
Intellectual Property Rights. The Company is committed to make certain payments under various intellectual property arrangements of up to $25 million through 2023. | |||||||||||||
Other Commitments. In the ordinary course of business, the Company may provide indemnifications of varying scope and terms to customers, vendors, lessors, joint ventures and business partners, purchasers of assets or subsidiaries and other parties with respect to certain matters, including, but not limited to, losses arising out of the Company’s breach of agreements or representations and warranties made by the Company, services to be provided by the Company, intellectual property infringement claims made by third parties or, with respect to the sale of assets or a subsidiary, matters related to the Company’s conduct of the business and tax matters prior to the sale. In addition, the Company has entered into indemnification agreements with its directors and certain of its officers that will require the Company, among other things, to indemnify them against certain liabilities that may arise by reason of their status or service as directors or officers. The Company has also agreed to indemnify certain former officers, directors, and employees of acquired companies in connection with the acquisition of such companies. The Company maintains director and officer insurance, which may cover certain liabilities arising from its obligation to indemnify its directors and officers, and former directors and officers of acquired companies, in certain circumstances. It is not possible to determine the aggregate maximum potential loss under these indemnification agreements due to the limited history of prior indemnification claims and the unique facts and circumstances involved in each particular agreement. Such indemnification agreements might not be subject to maximum loss clauses. Historically, the Company has not incurred material costs as a result of obligations under these agreements and it has not accrued any liabilities related to such indemnification obligations in the Company’s consolidated financial statements. | |||||||||||||
As of December 31, 2013, the Company did not have any relationships with unconsolidated entities or financial partnerships, such as entities often referred to as structured finance or special purpose entities, which would have been established for the purpose of facilitating off-balance sheet arrangements or other contractually narrow or limited purposes. Accordingly, the Company is not exposed to any financing, liquidity, market, or credit risk that could arise if the Company had engaged in such relationships. In addition, the Company identified no variable interests currently held in entities for which it is the primary beneficiary. | |||||||||||||
See Note 19—“Search Agreement with Microsoft Corporation” for a description of the Company’s Search Agreement and License Agreement with Microsoft. | |||||||||||||
Legal Contingencies | |||||||||||||
Intellectual Property and General Matters. From time to time, third parties assert patent infringement claims against the Company. Currently, the Company is engaged in lawsuits regarding patent issues and has been notified of other potential patent disputes. In addition, from time to time, the Company is subject to other legal proceedings and claims in the ordinary course of business, including claims of alleged infringement of trademarks, copyrights, trade secrets, and other intellectual property rights, claims related to employment matters, and a variety of other claims, including claims alleging defamation, invasion of privacy, or similar claims arising in connection with the Company’s e-mail, message boards, photo and video sites, auction sites, shopping services, and other communications and community features. | |||||||||||||
Stockholder and Securities Matters. On June 14, 2007, a stockholder derivative action was filed in the United States District Court for the Central District of California by Jill Watkins against members of the board of directors (“Board”) and selected officers. The complaint filed by the plaintiff alleged breaches of fiduciary duties and corporate waste, similar to the allegations in a former class action relating to stock price declines during the period April 2004 to July 2006, and alleged violation of Section 10(b) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). On July 16, 2009, the plaintiff Watkins voluntarily dismissed the action against all defendants without prejudice. On July 17, 2009, plaintiff Miguel Leyte-Vidal, who had substituted in as plaintiff prior to the dismissal of the federal Watkins action, re-filed a stockholder derivative action in Santa Clara County Superior Court against members of the Board and selected officers. The Santa Clara County Superior Court derivative action purports to assert causes of action on behalf of the Company for violation of specified provisions of the California Corporations Code, for breaches of fiduciary duty regarding financial accounting and insider selling and for unjust enrichment. On October 23, 2013, the California Court of Appeal affirmed the Superior Court’s judgment in favor of all defendants following dismissal of plaintiff’s third amended complaint without leave to amend. The plaintiff did not pursue any further appeals and the judgment in Yahoo’s favor is final. | |||||||||||||
Since May 31, 2011, several related stockholder derivative suits were filed in the Santa Clara County Superior Court (“California Derivative Litigation”) and the United States District Court for the Northern District of California (“Federal Derivative Litigation”) purportedly on behalf of the Company against certain officers and directors of the Company and third parties. The California Derivative Litigation was filed by plaintiffs Cinotto, Lassoff, Zucker, and Koo, and consolidated under the caption In re Yahoo! Inc. Derivative Shareholder Litigation on June 24, 2011 and September 12, 2011. The Federal Derivative Litigation was filed by plaintiffs Salzman, Tawila, and Iron Workers Mid-South Pension Fund and consolidated under the caption In re Yahoo! Inc. Shareholder Derivative Litigation on October 3, 2011. The plaintiffs allege breaches of fiduciary duties, corporate waste, mismanagement, abuse of control, unjust enrichment, misappropriation of corporate assets, or contribution and seek damages, equitable relief, disgorgement and corporate governance changes in connection with Alibaba Group’s restructuring of its subsidiary Alipay and related disclosures. On June 7, 2012, the courts approved stipulations staying the California Derivative Litigation pending resolution of the Federal Derivative Litigation, and deferring the Federal Derivative Litigation pending a ruling on the motion to dismiss filed by the defendants in the related stockholder class actions, which are discussed below. On December 16, 2013, United States District Court for the Northern District of California granted the Company’s motion to stay the Federal Derivative Litigation pending resolution of the appeal filed by the plaintiffs in the related stockholder class actions. | |||||||||||||
Since June 6, 2011, two purported stockholder class actions were filed in the United States District Court for the Northern District of California against the Company and certain officers and directors of the Company by plaintiffs Bonato and the Twin Cities Pipe Trades Pension Trust. In October 2011, the District Court consolidated the two actions under the caption In re Yahoo! Inc. Securities Litigation and appointed the Pension Trust Fund for Operating Engineers as lead plaintiff. In a consolidated amended complaint filed December 15, 2011, the lead plaintiff purports to represent a class of investors who purchased the Company’s common stock between April 19, 2011 and July 29, 2011, and alleges that during that class period, defendants issued statements that were materially false or misleading because they did not disclose information relating to Alibaba Group’s restructuring of Alipay. The complaint purports to assert claims for relief for violation of Section 10(b) and 20(a) of the Exchange Act and for violation of Rule 10b-5 thereunder, and seeks unspecified damages, injunctive and equitable relief, fees, and costs. On August 10, 2012, the court granted defendants’ motion to dismiss the consolidated amended complaint. Plaintiffs have appealed. | |||||||||||||
On July 30, 2013, a stockholder derivative action captioned Zucker v. Loeb, et al. was filed in the Supreme Court of New York for the County of New York against current and former members of the Board, Third Point LLC, and entities related to Third Point LLC. The complaint filed by the plaintiff asserts claims for alleged breach of fiduciary duty, waste, and unjust enrichment in connection with the Company’s repurchase of 40 million shares of Company common stock beneficially owned by Third Point LLC. The complaint seeks a judgment declaring that the defendants breached their fiduciary duties, an award of restitution, and corporate governance changes. The Company has filed a motion to dismiss the action. | |||||||||||||
Mexico Matter. On November 16, 2011, plaintiffs Worldwide Directories, S.A. de C.V. (“WWD”), and Ideas Interactivas, S.A. de C.V. (“Ideas”) filed an action in the 49th Civil Court of Mexico against the Company, Yahoo! de Mexico, S.A. de C.V. (“Yahoo! Mexico”), Yahoo International Subsidiary Holdings, Inc., and Yahoo Hispanic Americas LLC. The complaint alleged claims of breach of contract, breach of promise, and lost profits in connection with various commercial contracts entered into among the parties between 2002 and 2004, relating to a business listings service, and alleged total damages of approximately $2.75 billion. On December 7, 2011, Yahoo! Mexico filed a counterclaim against WWD for payments of approximately $2.6 million owed to Yahoo! Mexico for services rendered. On April 10, 2012, plaintiffs withdrew their claim filed against Yahoo International Subsidiary Holdings, Inc. and Yahoo Hispanic Americas LLC. | |||||||||||||
On November 28, 2012, the 49th Civil Court of Mexico entered a non-final judgment against the Company and Yahoo! Mexico in the amount of USD $2.75 billion and a non-final judgment in favor of Yahoo! Mexico on its counterclaim against WWD in the amount of $2.6 million. The judgment against the Company and Yahoo! Mexico purported to leave open for determination in future proceedings certain other alleged damages that were not quantified in the judgment. The judgment was issued by a law clerk to the trial court judge who presided over the entire case during the trial court proceedings but stepped down from his position shortly before the judgment was entered. | |||||||||||||
On December 12, 2012 and December 13, 2012, respectively, Yahoo! Mexico and the Company appealed the judgment to a three-magistrate panel of the Superior Court of Justice for the Federal District (the “Superior Court”). On May 15, 2013, the Superior Court reversed the judgment, overturned all monetary awards against the Company and reduced the monetary award against Yahoo! Mexico to $172,500. The Superior Court affirmed the award of $2.6 million in favor of Yahoo! Mexico on its counterclaim. | |||||||||||||
Plaintiffs have appealed the Superior Court’s decision to the Mexican Federal Civil Collegiate Court for the First Circuit (“Collegiate Court”). The Company has appealed the Superior Court’s decision not to award it statutory costs in the underlying proceeding. Yahoo! Mexico has appealed the Superior Court’s award of $172,500, the Superior Court’s decision not to award it additional moneys beyond the $2.6 million award on its counterclaims, and the Superior Court’s decision not to award it statutory costs. In the pending appeals, review is limited to whether the Superior Court’s decision is unconstitutional, unlawful, or both. | |||||||||||||
The Company believes the plaintiffs’ claims are without legal or factual merit. First, the plaintiffs’ claims are based on agreements that were either terminated by agreement with releases or had expired or terminated in accordance with their terms, a non-binding letter of intent pursuant to which no definitive agreements were ever entered into by the parties, and correspondence that did not constitute agreements. Second, the loss of profits of the type claimed by plaintiffs are not awardable under Mexico law because they were not a direct and immediate consequence of a breach of contract. Of the $2.75 billion in total damages alleged by plaintiffs, more than $2.4 billion were for loss of profits. Third, the plaintiffs’ alleged damages and loss of profits were further precluded by the agreements at issue through, among other things, contractual and legal limitations of liability. Fourth, the plaintiffs’ pleadings in the complaint, as well as documentary evidence filed by the plaintiffs in support of their allegations, were generally deficient to support or establish plaintiffs’ claims. Fifth, the decision failed to consider substantially all of the defenses asserted by the Company and Yahoo! Mexico. Finally, the Company believes that the law clerk who entered the judgment lacked the requisite authority to issue the judgment. | |||||||||||||
The Company has not recorded an accrual for the judgment, which was reversed, as explained above. The Company cannot assure the ultimate outcome of the pending or further appeals. | |||||||||||||
The Company has determined, based on current knowledge, that the amount or range of reasonably possible losses, including reasonably possible losses in excess of amounts already accrued, is not reasonably estimable with respect to certain matters described above. The Company has also determined, based on current knowledge, that the aggregate amount or range of losses that are estimable with respect to the Company’s legal proceedings, including the matters described above other than the Mexico matter, would not have a material adverse effect on the Company’s consolidated financial position, results of operations or cash flows. Amounts accrued as of December 31, 2013 were not material. The ultimate outcome of legal proceedings involves judgments, estimates and inherent uncertainties, and cannot be predicted with certainty. In the event of a determination adverse to Yahoo, its subsidiaries, directors, or officers in these matters, the Company may incur substantial monetary liability, and be required to change its business practices. Either of these events could have a material adverse effect on the Company’s financial position, results of operations, or cash flows. The Company may also incur substantial legal fees, which are expensed as incurred, in defending against these claims. |
STOCKHOLDERS_EQUITY
STOCKHOLDERS' EQUITY | 12 Months Ended |
Dec. 31, 2013 | |
STOCKHOLDERS' EQUITY | ' |
Note 13 STOCKHOLDERS’ EQUITY | |
The Board has the authority to issue up to 10 million shares of preferred stock and to determine the price, rights, preferences, privileges, and restrictions, including voting rights, of those shares without any further vote or action by the stockholders. | |
Stock Repurchases. The Company repurchases its common stock from time to time in part to reduce the dilutive effects of its stock options, awards, and employee stock purchase plan. | |
In June 2010, the Board authorized a stock repurchase program allowing the Company to repurchase up to $3 billion of its outstanding shares of common stock from time to time. That repurchase program, which by its terms, would have expired in June 2013, was exhausted during the third quarter of 2012. In May 2012, the Board authorized a stock repurchase program allowing the Company to repurchase up to an additional $5 billion of its outstanding shares of common stock from time to time. The May 2012 repurchase program, according to its terms, will expire in June 2015. In November 2013, the Board authorized an additional stock repurchase program with an authorized level of $5 billion. The November 2013 program, according to its terms, will expire in December 2016. Repurchases under the repurchase programs may take place in the open market or in privately negotiated transactions, including derivative transactions, and may be made under a Rule 10b5-1 plan. | |
During the year ended December 31, 2012, the Company repurchased approximately 126 million shares of its common stock under the June 2010 and May 2012 stock repurchase programs at an average price of $17.20 per share for a total of $2.2 billion. The June 2010 program was exhausted during 2012. During the year ended December 31, 2013, the Company repurchased approximately 129 million shares of its common stock under the May 2012 stock repurchase programs at an average price of $25.95 per share for a total of $3.3 billion. These repurchases included the Company’s repurchase of 40 million shares of its common stock beneficially owned by Third Point LLC on July 25, 2013. These shares were repurchased pursuant to a purchase agreement entered into on July 22, 2013, prior to the market opening for trading in Yahoo stock, and at $29.11 per share, which was the closing price of the Company’s common stock on July 19, 2013. The total purchase price for these shares was $1.2 billion. The repurchase transaction was funded primarily with cash as well as borrowings of $150 million under the Company’s unsecured revolving credit facility that have been repaid. As of December 31, 2013, the May 2012 program had remaining authorized purchase capacity of $93 million and the November 2013 program had remaining authorized purchase capacity of $5 billion. | |
During the year ended December 31, 2012, the Company retired 79 million shares, resulting in reductions of $79,000 in common stock, $631 million in additional paid-in capital, and $585 million in retained earnings. During the year ended December 31, 2013, the Company retired 198 million shares, resulting in reductions of $198,000 in common stock, $1.6 billion in additional paid-in capital, and $2.9 billion in retained earnings. Treasury stock is accounted for under the cost method. |
EMPLOYEE_BENEFITS
EMPLOYEE BENEFITS | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
EMPLOYEE BENEFITS | ' | ||||||||||||||||||||||||
Note 14 EMPLOYEE BENEFITS | |||||||||||||||||||||||||
Benefit Plans. The Company maintains the Yahoo! Inc. 401(k) Plan (the “401(k) Plan”) for its full-time employees in the U.S. The 401(k) Plan allows employees of the Company to contribute up to the Internal Revenue Code prescribed maximum amount. Employees may elect to contribute from 1 to 50 percent of their annual compensation to the 401(k) Plan. The Company matches employee contributions at a rate of 25 percent, up to the IRS prescribed amount. Both employee and employer contributions vest immediately upon contribution. During 2011, 2012, and 2013, the Company’s contributions to the 401(k) Plan amounted to approximately $20 million, $19 million, and $18 million, respectively. The Company also contributed approximately $24 million, $22 million, and $17 million to its other defined contribution retirement benefit plans outside of the U.S. for 2011, 2012, and 2013, respectively. | |||||||||||||||||||||||||
Stock Plans. The 1995 Stock Plan provides for the issuance of stock-based awards to employees, including executive officers, and consultants. The 1995 Stock Plan permits the granting of incentive stock options, non-statutory stock options, restricted stock, restricted stock units, stock appreciation rights, and dividend equivalents. | |||||||||||||||||||||||||
Options granted under the 1995 Stock Plan before May 19, 2005 generally expire 10 years after the grant date, and options granted after May 19, 2005 generally expire seven years after the grant date. Options generally become exercisable over a four-year period based on continued employment and vest either monthly, quarterly, semi-annually, or annually. | |||||||||||||||||||||||||
The 1995 Stock Plan permits the granting of restricted stock and restricted stock units (collectively referred to as “restricted stock awards”). The restricted stock award vesting criteria are generally the passing of time, meeting certain performance-based objectives, or a combination of both, and continued employment through the vesting period (which varies but generally does not exceed four years). Restricted stock award grants are generally measured at fair value on the date of grant based on the number of shares granted and the quoted price of the Company’s common stock. Such value is recognized as an expense over the corresponding service period. | |||||||||||||||||||||||||
The 1995 Stock Plan provides for the issuance of a maximum of 754 million shares of which 65 million shares were still available for award grant purposes as of December 31, 2013. Each share of the Company’s common stock issued in settlement of “full-value awards” (which include all awards other than options and stock appreciation rights) granted on or after June 25, 2009 under the 1995 Stock Plan is counted as 1.75 shares against the 1995 Stock Plan’s share limit. | |||||||||||||||||||||||||
The Directors’ Plan provides for the grant of nonqualified stock options and restricted stock units to non-employee directors of the Company. The Directors’ Plan provides for the issuance of up to 9 million shares of the Company’s common stock, of which approximately 5 million were still available for award grant purposes as of December 31, 2013. Each share of the Company’s common stock issued in settlement of restricted stock units granted after the Company’s 2006 annual meeting of shareholders under the Directors’ Plan is counted as 1.75 shares against the Directors’ Plan’s share limit. | |||||||||||||||||||||||||
Options granted under the Directors’ Plan before May 25, 2006 generally become exercisable, based on continued service as a director, for initial grants to new directors, in equal monthly installments over four years, and for annual grants, with 25 percent of such options vesting on the one year anniversary of the date of grant and the remaining options vesting in equal monthly installments over the remaining 36-month period thereafter. Such options generally expire seven to 10 years after the grant date. Options granted on or after May 25, 2006 become exercisable, based on continued service as a director, in equal quarterly installments over one year. Such options generally expire seven years after the grant date. | |||||||||||||||||||||||||
Restricted stock units granted under the Directors’ Plan generally vest in equal quarterly installments over a one-year period following the date of grant and, once vested, are generally payable in an equal number of shares of the Company’s common stock on the earlier of the end of the one-year vesting period or the date the director ceases to be a member of the Board (subject to any deferral election that may be made by the director). | |||||||||||||||||||||||||
Non-employee directors are also permitted to elect an award of restricted stock units or a stock option under the Directors’ Plan in lieu of a cash payment of their quarterly Board retainer and any cash fees for serving on committees of the Board. Such stock options or restricted stock unit awards granted in lieu of cash fees are fully vested on the grant date. | |||||||||||||||||||||||||
From time to time the Company also assumes stock-based awards in connection with corporate mergers and acquisitions, which awards become payable in shares of the Company’s common stock. | |||||||||||||||||||||||||
Employee Stock Purchase Plan. The Employee Stock Purchase Plan allows employees to purchase shares of the Company’s common stock through payroll deductions of up to 15 percent of their compensation subject to certain Internal Revenue Code limitations. Prior to November 2012, the price of common stock purchased under the plan was equal to 85 percent of the lower of the fair market value of the common stock on the commencement date of each 24-month offering period or the specified purchase date. Beginning in November 2012, the Employee Stock Purchase Plan was modified to consist of three-month offering periods. The price of the common stock purchased under the plan after November 2012 will be equal to 90 percent of the lower of the fair market value of the common stock on the commencement date of each three-month offering period or the specified purchase date. | |||||||||||||||||||||||||
The Employee Stock Purchase Plan provides for the issuance of a maximum of 75 million shares of common stock of which 15 million shares were available as of December 31, 2013. For the years ended December 31, 2011, 2012, and 2013, stock-based compensation expense related to the activity under the plan was $46 million, $31 million, and $16 million, respectively. As of December 31, 2013, there was $3 million of unamortized stock-based compensation cost related to the Employee Stock Purchase Plan which will be recognized over a weighted average period of 0.4 years. | |||||||||||||||||||||||||
The Company’s 1995 Stock Plan, the Directors’ Plan, other stock-based awards assumed through acquisitions, and the Tumblr equity holdback are collectively referred to as the “Plans.” Stock option activity under the Plans for the year ended December 31, 2013 is summarized as follows (in thousands, except years and per share amounts): | |||||||||||||||||||||||||
Shares | Weighted Average | Weighted Average | Aggregate | ||||||||||||||||||||||
Exercise Price per | Remaining | Intrinsic Value | |||||||||||||||||||||||
Share | Contractual Life | ||||||||||||||||||||||||
(in years) | |||||||||||||||||||||||||
Outstanding at December 31, 2012 | 38,092 | $ | 21.42 | 4.19 | $ | 78,387 | |||||||||||||||||||
Options granted | 51 | $ | 29.32 | ||||||||||||||||||||||
Options assumed in acquisitions | 1,121 | $ | 7.39 | ||||||||||||||||||||||
Options exercised(1) | (13,707 | ) | $ | 20.32 | |||||||||||||||||||||
Options cancelled/forfeited | (1,198 | ) | $ | 15.13 | |||||||||||||||||||||
Options expired | (3,391 | ) | $ | 29.73 | |||||||||||||||||||||
Outstanding at December 31, 2013 | 20,968 | $ | 20.43 | 4.2 | $ | 428,414 | |||||||||||||||||||
Vested and expected to vest at December 31, 2013(2) | 19,701 | $ | 20.13 | 4.09 | $ | 400,054 | |||||||||||||||||||
Exercisable at December 31, 2013 | 10,696 | $ | 22.24 | 2.64 | $ | 194,676 | |||||||||||||||||||
(1) | The Company issued new shares to satisfy stock option exercises. | ||||||||||||||||||||||||
(2) | The expected to vest options are the result of applying the pre-vesting forfeiture rate assumptions to total outstanding options. | ||||||||||||||||||||||||
The weighted average grant date fair values of all options granted and assumed in the years ended December 31, 2011, 2012, and 2013 were $5.04, $4.36, and $18.72 per share, respectively. | |||||||||||||||||||||||||
The aggregate intrinsic value in the table above represents the total pre-tax intrinsic value (the aggregate difference between the closing stock price of the Company’s common stock on December 31, 2013 and the exercise price for in-the-money options) that would have been received by the option holders if all in-the-money options had been exercised on December 31, 2013. | |||||||||||||||||||||||||
The total intrinsic values of options exercised in the years ended December 31, 2011, 2012, and 2013 were $46 million, $45 million, and $122 million, respectively. | |||||||||||||||||||||||||
As of December 31, 2013, there was $16 million of unamortized stock-based compensation expense related to unvested stock options, which is expected to be recognized over a weighted average period of 1.5 years. | |||||||||||||||||||||||||
Cash received from option exercises and purchases of shares under the Employee Stock Purchase Plan for the year ended December 31, 2013 was $353 million. | |||||||||||||||||||||||||
The total net tax benefit attributable to stock options exercised in the year ended December 31, 2013 was $16 million. | |||||||||||||||||||||||||
The fair value of option grants is determined using the Black-Scholes option pricing model with the following weighted average assumptions: | |||||||||||||||||||||||||
Stock Options | Purchase Plan(5) | ||||||||||||||||||||||||
Years Ended December 31, | Years Ended December 31, | ||||||||||||||||||||||||
2011 | 2012 | 2013 | 2011 | 2012 | 2013 | ||||||||||||||||||||
Expected dividend yield(1) | 0 | % | 0 | % | 0 | % | 0 | % | 0 | % | 0 | % | |||||||||||||
Risk-free interest rate(2) | 1.3 | % | 0.6 | % | 0.7 | % | 0.4 | % | 0.4 | % | 0.1 | % | |||||||||||||
Expected volatility(3) | 36.9 | % | 31.9 | % | 33.3 | % | 35.6 | % | 33.7 | % | 31.7 | % | |||||||||||||
Expected life (in years)(4) | 4.03 | 4.02 | 3.6 | 1.04 | 1.21 | 0.25 | |||||||||||||||||||
(1) | The Company currently has no history or expectation of paying cash dividends on its common stock in the near future. | ||||||||||||||||||||||||
(2) | The risk-free interest rate is based on the U.S. Treasury yield for a term consistent with the expected term of the awards in effect at the time of grant. | ||||||||||||||||||||||||
(3) | The Company estimates the volatility of its common stock at the date of grant based on the implied volatility of publicly traded options on its common stock, with a term of one year or greater. | ||||||||||||||||||||||||
(4) | The expected life of stock options granted under the Plans is based on historical exercise patterns, which the Company believes are representative of future behavior. New grants issued by the Company had an expected life of 4.25 years in 2011, 4.00 years in 2012, and 2.58 years in 2013. Options assumed in acquisitions had expected lives of less than 4 years. | ||||||||||||||||||||||||
(5) | Assumptions for the Employee Stock Purchase Plan relate to the annual average of the enrollment periods. During the year ended December 31, 2012, enrollment was permitted in May and November of each year. Beginning in 2013, enrollment was permitted in February, May, August, and November of each year. | ||||||||||||||||||||||||
Restricted stock awards activity under the Plans for the year ended December 31, 2013 is summarized as follows (in thousands, except per share amounts): | |||||||||||||||||||||||||
Shares | Weighted Average | ||||||||||||||||||||||||
Grant Date Fair Value | |||||||||||||||||||||||||
Per Share | |||||||||||||||||||||||||
Awarded and unvested at December 31, 2012 | 33,801 | $ | 17.63 | ||||||||||||||||||||||
Granted(*) | 34,835 | $ | 25.55 | ||||||||||||||||||||||
Assumed in acquisitions | 2,364 | $ | 26.24 | ||||||||||||||||||||||
Vested | (14,187 | ) | $ | 15.49 | |||||||||||||||||||||
Forfeited | (7,229 | ) | $ | 17.74 | |||||||||||||||||||||
Awarded and unvested at December 31, 2013 | 49,584 | $ | 24.2 | ||||||||||||||||||||||
(*) | Includes the maximum number of shares issuable under the Company’s performance-based restricted stock unit awards | ||||||||||||||||||||||||
As of December 31, 2013, there was $615 million of unamortized stock-based compensation cost related to unvested restricted stock awards, which is expected to be recognized over a weighted average period of 2.8 years. The total fair value of restricted stock awards vested during the years ended December 31, 2011, 2012, and 2013 was $136 million, $171 million, and $220 million, respectively. | |||||||||||||||||||||||||
During the year ended December 31, 2013, 14.2 million shares subject to previously granted restricted stock awards vested. A majority of these vested restricted stock awards were net share settled. The Company withheld 5.3 million shares based upon the Company’s closing stock price on the vesting date to settle the employees’ minimum statutory obligation for the applicable income and other employment taxes. The Company then remitted cash to the appropriate taxing authorities. | |||||||||||||||||||||||||
Total payments for the employees’ tax obligations to the relevant taxing authorities were $140 million for the year ended December 31, 2013 and are reflected as a financing activity within the consolidated statements of cash flows. The payments were used for tax withholdings related to the net share settlements of restricted stock units. The payments had the effect of share repurchases by the Company as they reduced the number of shares that would have otherwise been issued on the vesting date and were recorded as a reduction of additional paid-in capital. | |||||||||||||||||||||||||
In 2011, 2012, and 2013, $71 million, $36 million, and $64 million, respectively, of excess tax benefits from stock-based awards for options exercised and restricted stock awards that vested in current and prior periods were included as a source of cash flows from financing activities. These excess tax benefits represent the reduction in income taxes otherwise payable during the period, attributable to the actual gross tax benefits in excess of the expected tax benefits for options exercised and restricted stock awards that vested in current and prior periods. The Company has accumulated excess tax deductions relating to stock options exercised and restricted stock awards that vested prior to January 1, 2006 available to reduce income taxes otherwise payable. To the extent such deductions reduce income taxes payable in the current year, they are reported as financing activities in the consolidated statements of cash flows. | |||||||||||||||||||||||||
CEO 2012 Annual Equity Awards. Marissa A. Mayer, the Company’s Chief Executive Officer, received an equity award for 2012 that will vest over three years. A total of $6 million of the grant date fair value of this equity award was granted as restricted stock units on July 26, 2012 and will vest over three years. The remaining portion of this equity award (valued at $6 million per the offer letter) was granted in November 2012 as a performance-based stock option that will vest over the two and a half years after July 26, 2012, subject to satisfaction of performance criteria. See below for additional discussion of the performance-based stock options. | |||||||||||||||||||||||||
After 2012, Ms. Mayer will be eligible to receive annual equity grants when such grants are made to senior executives. Subject to the discretion of the Compensation and Leadership Development Committee of the Board of Directors (the “Compensation Committee”), the Company contemplates that the target value of such awards will not be less than the target value of her 2012 annual grant. | |||||||||||||||||||||||||
CEO One-Time Retention Award. Ms. Mayer received a one-time retention equity award that will vest over five years. A total of $15 million of the grant date fair value of this equity award was granted as restricted stock units on July 26, 2012 and will vest over five years. The remaining portion of this equity award (valued at $15 million per the offer letter) was granted in November 2012 as a performance-based stock option that will vest over the four and a half years after July 26, 2012, subject to satisfaction of performance criteria. The number of performance options granted in November 2012 was determined based on the grant date fair value as of July 26, 2012. See below for additional discussion of the performance-based stock options. | |||||||||||||||||||||||||
CEO Make-Whole Restricted Stock Units. To partially compensate Ms. Mayer for forfeiture of compensation from her previous employer, on July 26, 2012 she was granted restricted stock units with a grant-date fair value of $14 million (the “Make-Whole RSUs”). Based on grant date fair values, $4 million of the Make-Whole RSUs vested in 2012, $7 million vested in 2013, and $3 million is scheduled to vest in 2014. | |||||||||||||||||||||||||
Performance-Based Executive Incentive Equity Awards. The financial performance stock options awarded by the Company in November 2012 include multiple performance periods. In January 2013, the Compensation and Leadership Development Committee of the Board (the “Compensation Committee”) established performance goals under these stock options for the first performance period (the six months ended June 30, 2013) and the second performance period (the full year ended December 31, 2013). These options were held by Ms. Mayer, Mr. de Castro, the Company’s former Chief Operating Officer, and Mr. Goldman, the Company’s Chief Financial Officer, (the first performance period for Mr. Goldman is the full year ending December 31, 2013). The number of stock options that ultimately vest for each performance period will range from 0 percent to 100 percent of the target amount for such period stated in each executive’s award agreement based on the Company’s performance. The financial performance metrics (and their weightings) under the performance options are revenue ex-TAC (50 percent), operating income (30 percent) and free cash flow (20 percent). The financial performance goals for each metric are established at the beginning of each performance period and, accordingly, the portion (or “tranche”) of the award related to each performance period is treated as a separate grant for accounting purposes. The grant date fair values of the first and second tranches of the November 2012 financial performance stock options were $12 million and $14 million, respectively, and are being recognized over six and twelve month service periods, respectively. The Company began recording stock-based compensation expense for these tranches in January 2013, at the grant date, when the financial performance goals were established and approved. | |||||||||||||||||||||||||
In February 2013, the Compensation Committee approved additional long-term performance-based incentive equity awards to Ms. Mayer and other senior officers. These restricted stock units generally will be eligible to vest in equal annual tranches over four years (three years for Ms. Mayer) based on the Company’s attainment of annual financial performance goals as well as the executive’s continued employment through the vesting date. The number of restricted stock units that ultimately vest each year will range from 0 percent to 200 percent of the annual target amount stated in each executive’s award agreement based on the Company’s performance. The annual financial performance metrics and goals are established at the beginning of each fiscal year and, accordingly, the tranche of the award related to each annual performance period goal is treated as a separate annual grant for accounting purposes. In February 2013, financial performance metrics and goals were established for the first performance period (the fiscal year ending December 31, 2013). The financial performance metrics (and their weightings) for fiscal year 2013 are revenue ex-TAC (60 percent), operating income (20 percent) and free cash flow (20 percent). The grant date fair value of the first tranche of the February 2013 annual financial performance restricted stock unit grants was $9 million and is being recognized over a one-year service period. |
RESTRUCTURING_CHARGES_NET
RESTRUCTURING CHARGES, NET | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
RESTRUCTURING CHARGES, NET | ' | ||||||||||||||||||||
Note 15 RESTRUCTURING CHARGES, NET | |||||||||||||||||||||
Restructuring charges, net consists of costs associated with the Restructuring Plans Prior to 2012, the Q2’12 Restructuring Plan, the Q4’12 Korea Business Closure and the Q4’13 Restructuring Plan. These charges include employee severance pay and related costs, accelerations and reversals of stock-based compensation expense, facility restructuring costs, contract termination and other non-cash charges associated with the exit of facilities, as well as reversals of restructuring charges arising from changes in estimates. | |||||||||||||||||||||
For the years ended December 31, 2011, 2012, and 2013, restructuring charges, net was comprised of the following (in thousands): | |||||||||||||||||||||
Year Ended | Year Ended December 31, 2012 | ||||||||||||||||||||
December 31, | |||||||||||||||||||||
2011 | |||||||||||||||||||||
Restructuring | Restructuring | Q2’12 | Q4’12 | Total | |||||||||||||||||
Plans Prior | Plans Prior | Restructuring | Korea Business | ||||||||||||||||||
to | to | Plan | Closure | ||||||||||||||||||
2012 | 2012 | ||||||||||||||||||||
Employee severance pay and related costs | $ | 12,965 | $ | 1,169 | $ | 96,537 | $ | 4,998 | $ | 102,704 | |||||||||||
Non-cancelable lease, contract terminations, and other charges | 10,251 | 8,462 | 9,541 | 8,996 | 26,999 | ||||||||||||||||
Other non-cash charges, net | 990 | — | 40,462 | 69,434 | 109,896 | ||||||||||||||||
Sub-total before accelerations (reversals) of stock-based compensation expense | 24,206 | 9,631 | 146,540 | 83,428 | 239,599 | ||||||||||||||||
Accelerations (reversals) of stock-based compensation expense | 214 | — | (3,429 | ) | — | (3,429 | ) | ||||||||||||||
Restructuring charges, net | $ | 24,420 | $ | 9,631 | $ | 143,111 | $ | 83,428 | $ | 236,170 | |||||||||||
Year Ended December 31, 2013 | |||||||||||||||||||||
Restructuring | Q2’12 | Q4’12 | Q4’13 | Total | |||||||||||||||||
Plans Prior to | Restructuring | Korea Business | Restructuring | ||||||||||||||||||
2012 | Plan | Closure | Plan | ||||||||||||||||||
Employee severance pay and related costs (reversals) | $ | (459 | ) | $ | (15,401 | ) | $ | (103 | ) | $ | 5,144 | $ | (10,819 | ) | |||||||
Non-cancelable lease, contract terminations, and other charges | 13,894 | 164 | (20 | ) | — | 14,038 | |||||||||||||||
Other non-cash charges | — | — | 547 | — | 547 | ||||||||||||||||
Restructuring charges (reversal), net | $ | 13,435 | $ | (15,237 | ) | $ | 424 | $ | 5,144 | $ | 3,766 | ||||||||||
Although the Company does not allocate restructuring charges to its segments, the amounts of the restructuring charges relating to each segment are presented below. For the years ended December 31, 2011, 2012, and 2013, restructuring charges, net consists of the following (in thousands): | |||||||||||||||||||||
Year Ended | |||||||||||||||||||||
December 31, 2011 | |||||||||||||||||||||
Restructuring Plans | |||||||||||||||||||||
Prior to 2012 | |||||||||||||||||||||
Americas | $ | 22,244 | |||||||||||||||||||
EMEA | 952 | ||||||||||||||||||||
Asia Pacific | 1,224 | ||||||||||||||||||||
Restructuring charges, net | $ | 24,420 | |||||||||||||||||||
Year Ended December 31, 2012 | |||||||||||||||||||||
Restructuring | Q2’12 | Q4’12 | Total | ||||||||||||||||||
Plans Prior to | Restructuring | Korea Business | |||||||||||||||||||
2012 | Plan | Closure | |||||||||||||||||||
Americas | $ | 9,834 | $ | 92,789 | $ | — | $ | 102,623 | |||||||||||||
EMEA | (617 | ) | 45,977 | — | 45,360 | ||||||||||||||||
Asia Pacific | 414 | 4,345 | 83,428 | 88,187 | |||||||||||||||||
Restructuring charges, net | $ | 9,631 | $ | 143,111 | $ | 83,428 | $ | 236,170 | |||||||||||||
Year Ended December 31, 2013 | |||||||||||||||||||||
Restructuring | Q2’12 | Q4’12 | Q4’13 | Total | |||||||||||||||||
Plans Prior to | Restructuring | Korea Business | Restructuring | ||||||||||||||||||
2012 | Plan | Closure | Plan | ||||||||||||||||||
Americas | $ | 8,212 | $ | (7,641 | ) | $ | — | $ | — | $ | 571 | ||||||||||
EMEA | 4,716 | (6,998 | ) | — | 5,144 | 2,862 | |||||||||||||||
Asia Pacific | 507 | (598 | ) | 424 | — | 333 | |||||||||||||||
Restructuring charges, net | $ | 13,435 | $ | (15,237 | ) | $ | 424 | $ | 5,144 | $ | 3,766 | ||||||||||
Restructuring Plans Prior to 2012. Prior to 2012, the Company implemented workforce reductions, a strategic realignment, and consolidation of certain real estate facilities and data centers to reduce its cost structure, align resources with its product strategy, and improve efficiency. During the year ended December 31, 2011, the Company incurred total pre-tax cash charges of $23 million in severance, facility and other related costs, net of reversal for adjustments to original estimates totaling $12 million. In addition to the pre-tax cash charges, the Company recorded a non-cash charge of $1 million related to asset impairment. Of the $24 million in restructuring charges, net recorded in the year ended December 31, 2011, $22 million related to the Americas segment, $1 million related to the EMEA segment, and $1 million related to the Asia Pacific segment. During the year ended December 31, 2012, the Company recorded total pre-tax cash charges of $10 million in severance, facility and other related costs, net of reversal for adjustments to original estimates totaling $5 million. The majority of the $10 million in restructuring charges, net recorded in the year ended December 31, 2012, related to the Americas segment. During the year ended December 31, 2013, the Company incurred total pre-tax cash charges of $13 million in facility and other related costs, net of reversal for adjustments to original estimates totaling $1 million. Of the $13 million recorded for the year ended December 31, 2013, $8 million related to the Americas segment and $5 million related to the EMEA segment. | |||||||||||||||||||||
Q2’12 Restructuring Plan. During the second quarter of 2012, the Company began implementing the Q2’12 Restructuring Plan to reduce its worldwide workforce by approximately 2,000 employees and to consolidate certain real estate and data center facilities. During the year ended December 31 2012, the Company recorded total pre-tax cash charges of $139 million in severance and facility related costs and $40 million in non-cash facility and other asset impairment charges. The total pre-tax charges were offset by changes to original estimates of $33 million in severance related costs recognized throughout 2012, primarily as a result of redeployments and voluntary resignations of employees prior to their planned severance dates and a $3 million credit related to non-cash stock-based compensation expense reversals for unvested stock awards that were forfeited. Of the $143 million in restructuring charges, net recorded in the year ended December 31, 2012, $93 million related to the Americas segment, $46 million related to the EMEA segment, and $4 million related to the Asia Pacific segment. During the year ended December 31, 2013, the Company recorded total pre-tax cash charges of $7 million in severance, facility and other related costs, which were offset by a credit of $22 million for severance related reversals due to adjustments to original estimates as a result of redeployments and voluntary resignations of employees prior to their planned severance dates. Of the $15 million credit in restructuring charges, net recorded in the year ended December 31, 2013, $7 million related to the Americas segment, $7 million related to the EMEA segment, and $1 million related to the Asia Pacific segment. | |||||||||||||||||||||
Q4’12 Korea Business Closure. During the fourth quarter of 2012, the Company decided to close its Korea business by the end of 2012 to streamline its operations and focus its resources. During the year ended December 31, 2012, the Company incurred total pre-tax cash charges of $13 million in severance and contract termination costs. In addition to the pre-tax cash charges, the Company recorded a non-cash charge of $86 million related to goodwill and other asset impairment and a non-cash credit approximately of $16 million related to the reversal of previously recorded cumulative foreign currency translation adjustments. As a result, the Company recorded a net $83 million in restructuring charges all related to the Asia Pacific segment for the year ended December 31, 2012. During the year ended December 31, 2013, the Company recorded net pre-tax charges of less than $1 million in severance, facility and contract termination costs related to the Asia Pacific segment. | |||||||||||||||||||||
Q4’13 Restructuring Plan. During the fourth quarter of 2013, the Company started the process of closing its Cairo, Egypt and Rolle, Switzerland offices as part of its continued efforts to streamline its operations and focus its resources. During the year ended December 31, 2013, the Company recorded total pre-tax cash charges of $5 million in severance and other related costs, which all related to the EMEA segment. | |||||||||||||||||||||
Restructuring Accruals. The $30 million restructuring liability as of December 31, 2013 consists of $5 million for employee severance pay expenses, which the Company expects to pay out by the end of the third quarter of 2014 and $25 million relates to non-cancelable lease and contract termination costs that the Company expects to pay over the terms of the related obligations which extend to the fourth quarter of 2021. | |||||||||||||||||||||
The activity in the Company’s restructuring accruals for the years ended December 31, 2012 and 2013 is summarized as follows (in thousands): | |||||||||||||||||||||
Restructuring | Q2’12 | Q4’12 | Q4’13 | Total | |||||||||||||||||
Plans Prior to | Restructuring | Korea Business | Restructuring | ||||||||||||||||||
2012 | Plan | Closure | Plan | ||||||||||||||||||
Balance as of January 1, 2012 | $ | 49,127 | $ | — | $ | — | $ | — | $ | 49,127 | |||||||||||
Employee severance pay and related costs | 5,924 | 128,701 | 4,998 | — | 139,623 | ||||||||||||||||
Non-cash reversals of stock-based compensation expense | — | (3,429 | ) | — | — | (3,429 | ) | ||||||||||||||
Non-cancelable lease, contract termination, and other charges | 8,792 | 9,997 | 8,996 | — | 27,785 | ||||||||||||||||
Other non-cash charges, net | — | 40,462 | 69,434 | — | 109,896 | ||||||||||||||||
Changes in estimates and reversals of previous charges | (5,085 | ) | (32,620 | ) | — | — | (37,705 | ) | |||||||||||||
Restructuring charges, net for the year ended December 31, 2012 | $ | 9,631 | $ | 143,111 | $ | 83,428 | $ | — | $ | 236,170 | |||||||||||
Cash paid | (30,746 | ) | (68,018 | ) | (4,307 | ) | — | (103,071 | ) | ||||||||||||
Non-cash reversals of stock-based compensation expense | — | 3,429 | — | — | 3,429 | ||||||||||||||||
Other non-cash charges, net | (232 | ) | (40,148 | ) | (69,157 | ) | — | (109,537 | ) | ||||||||||||
Foreign currency | (64 | ) | (3,325 | ) | 138 | — | (3,251 | ) | |||||||||||||
Balance as of December 31, 2012 | $ | 27,716 | $ | 35,049 | $ | 10,102 | $ | — | $ | 72,867 | |||||||||||
Employee severance pay and related costs | 28 | 6,722 | 443 | 5,144 | 12,337 | ||||||||||||||||
Non-cancelable lease, contract termination, and other charges | 14,407 | 164 | 1,251 | — | 15,822 | ||||||||||||||||
Other non-cash charges | — | — | 547 | — | 547 | ||||||||||||||||
Changes in estimates and reversals of previous charges | (1,000 | ) | (22,123 | ) | (1,817 | ) | — | (24,940 | ) | ||||||||||||
Restructuring charges (reversals), net for the year ended December 31, 2013 | $ | 13,435 | $ | (15,237 | ) | $ | 424 | $ | 5,144 | $ | 3,766 | ||||||||||
Cash paid | (19,082 | ) | (16,829 | ) | (9,471 | ) | (624 | ) | (46,006 | ) | |||||||||||
Other non-cash charges | — | — | (547 | ) | — | (547 | ) | ||||||||||||||
Foreign currency | 280 | (218 | ) | (171 | ) | 125 | 16 | ||||||||||||||
Balance as of December 31, 2013 | $ | 22,349 | $ | 2,765 | $ | 337 | $ | 4,645 | $ | 30,096 | |||||||||||
As of December 31, restructuring accruals were included in the Company’s consolidated balance sheets as follows (in thousands): | |||||||||||||||||||||
2012 | 2013 | ||||||||||||||||||||
Accrued expenses and other current liabilities | $ | 57,642 | $ | 21,741 | |||||||||||||||||
Capital lease and other long-term liabilities | 15,225 | 8,355 | |||||||||||||||||||
Total restructuring accruals | $ | 72,867 | $ | 30,096 | |||||||||||||||||
As of December 31, restructuring accruals by segment consisted of the following (in thousands): | |||||||||||||||||||||
2012 | 2013 | ||||||||||||||||||||
Americas | $ | 42,689 | $ | 18,078 | |||||||||||||||||
EMEA | 18,144 | 11,284 | |||||||||||||||||||
Asia Pacific | 12,034 | 734 | |||||||||||||||||||
Total restructuring accruals | $ | 72,867 | $ | 30,096 | |||||||||||||||||
INCOME_TAXES
INCOME TAXES | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
INCOME TAXES | ' | ||||||||||||
Note 16 INCOME TAXES | |||||||||||||
The components of income before income taxes and earnings in equity interests are as follows (in thousands): | |||||||||||||
Years Ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
United States | $ | 533,262 | $ | 5,056,643 | $ | 538,824 | |||||||
Foreign | 294,254 | 157,564 | 94,459 | ||||||||||
Income before income taxes and earnings in equity interests | $ | 827,516 | $ | 5,214,207 | $ | 633,283 | |||||||
The provision for income taxes is composed of the following (in thousands): | |||||||||||||
Years Ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Current: | |||||||||||||
United States federal | $ | 141,922 | $ | 2,278,759 | $ | 138,032 | |||||||
State | (11,037 | ) | 361,788 | 49,872 | |||||||||
Foreign | 40,490 | 68,816 | 49,790 | ||||||||||
Total current provision for income taxes | 171,375 | 2,709,363 | 237,694 | ||||||||||
Deferred: | |||||||||||||
United States federal | 77,012 | (741,628 | ) | (63,166 | ) | ||||||||
State | (4,437 | ) | (29,470 | ) | (22,498 | ) | |||||||
Foreign | (2,183 | ) | 1,778 | 1,362 | |||||||||
Total deferred provision (benefit) for income taxes | 70,392 | (769,320 | ) | (84,302 | ) | ||||||||
Provision for income taxes | $ | 241,767 | $ | 1,940,043 | $ | 153,392 | |||||||
The provision for income taxes differs from the amount computed by applying the federal statutory income tax rate to income before income taxes and earnings in equity interests as follows (in thousands): | |||||||||||||
Years Ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Income tax at the U.S. federal statutory rate of 35 percent | $ | 289,630 | $ | 1,824,973 | $ | 221,648 | |||||||
State income taxes, net of federal benefit | 4,627 | 237,637 | 23,000 | ||||||||||
Stock-based compensation expense | 20,021 | 19,946 | 16,015 | ||||||||||
Research tax credits | (10,499 | ) | — | (18,036 | ) | ||||||||
Effect of non-U.S. operations | (49,781 | ) | (138,078 | ) | (47,968 | ) | |||||||
Settlement with tax authorities | (14,685 | ) | (4,711 | ) | (46,943 | ) | |||||||
Remeasurement of prior year tax positions | — | — | (24,246 | ) | |||||||||
Acquisition related non-deductible expenses | — | 1,894 | 9,296 | ||||||||||
Goodwill impairment charge | — | — | 22,244 | ||||||||||
Other | 2,454 | (1,618 | ) | (1,618 | ) | ||||||||
Provision for income taxes | $ | 241,767 | $ | 1,940,043 | $ | 153,392 | |||||||
Deferred income taxes reflect the tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. The components of deferred income tax assets and liabilities are as follows (in thousands): | |||||||||||||
December 31, | |||||||||||||
2012 | 2013 | ||||||||||||
Deferred income tax assets: | |||||||||||||
Net operating loss and tax credit carryforwards | $ | 219,054 | $ | 148,060 | |||||||||
Stock-based compensation expense | 81,910 | 66,583 | |||||||||||
Non-deductible reserves and expenses | 265,751 | 431,374 | |||||||||||
Depreciation expense | 21,386 | 22,937 | |||||||||||
Unrealized investment gains | 3,584 | 2,878 | |||||||||||
Intangible assets | 5,861 | 7,764 | |||||||||||
Gross deferred income tax assets | 597,546 | 679,596 | |||||||||||
Valuation allowance | (51,503 | ) | (36,690 | ) | |||||||||
Deferred income tax assets | $ | 546,043 | $ | 642,906 | |||||||||
Deferred income tax liabilities: | |||||||||||||
Purchased intangible assets | (29,960 | ) | (156,435 | ) | |||||||||
Depreciation expense | (118,808 | ) | (86,641 | ) | |||||||||
Investments in equity interests | (13,120 | ) | (323,368 | ) | |||||||||
Restructuring liabilities | (6,547 | ) | (7,235 | ) | |||||||||
Deferred income tax liabilities | $ | (168,435 | ) | $ | (573,679 | ) | |||||||
Net deferred income tax assets | $ | 377,608 | $ | 69,227 | |||||||||
As of December 31, 2013, the Company’s federal and state net operating loss carryforwards for income tax purposes were approximately $299 million and $31 million, respectively. The federal and state net operating loss carryforwards are subject to various limitations under Section 382 of the Internal Revenue Code and applicable state tax law. If not utilized, the federal and state net operating loss carryforwards will begin to expire in 2021. | |||||||||||||
The federal research and development credit expired on December 31, 2011. On January 2, 2013, the American Taxpayer Relief Act of 2012 was signed into law retroactively extending the credit for amounts paid or incurred after December 31, 2011 and before January 1, 2014. As such, the provision for income taxes for the year ended December 31, 2013 reflects the benefit of both the 2012 and 2013 federal research and development tax credit. The Company’s state research tax credit carryforward for income tax purposes is approximately $177 million and it can be carried forward indefinitely. Tax credit carryforwards that result from the exercise of employee stock options are not recorded on the Company’s consolidated balance sheets and are accounted for as a credit to additional paid-in capital if and when realized through a reduction in income taxes payable. | |||||||||||||
The Company has a valuation allowance of approximately $37 million as of December 31, 2013 against certain deferred income tax assets that are not more likely than not to be realized in future periods. In evaluating the Company’s ability to realize its deferred income tax assets, the Company considers all available positive and negative evidence, including operating results, ongoing tax planning, and forecasts of future taxable income on a jurisdiction by jurisdiction basis. The valuation allowance as of December 31, 2013 relates to foreign net operating loss carryforwards that will reduce the provision for income taxes if and when recognized. | |||||||||||||
The U.S. Department of the Treasury issued final regulations on the deduction and capitalization of expenditures related to tangible property for income tax purposes. These regulations apply to the Company’s tax year beginning on January 1, 2014. Based on its assessment as of December 31, 2013, these regulations will not have a material impact on the Company’s financial position, results of operations, or cash flows. | |||||||||||||
In 2012, the Company made a one-time distribution of foreign earnings resulting in an overall net benefit of $117 million. During 2013, the Company recorded an additional net benefit of $36 million related to this distribution. As of December 31, 2013, the Company does not anticipate a repatriation of its undistributed foreign earnings of approximately $2.6 billion. Those earnings are principally related to Yahoo Japan. If these earnings were to be repatriated in the future, the Company may be subject to additional U.S. income taxes (subject to an adjustment for foreign tax credits). It is not practicable to determine the income tax liability that might be incurred if these earnings were to be repatriated. | |||||||||||||
The total amount of gross unrecognized tax benefits was $695 million as of December 31, 2013, of which up to $466 million would affect the Company’s effective tax rate if realized. A reconciliation of the beginning and ending amount of unrecognized tax benefits in 2012 and 2013 is as follows (in thousands): | |||||||||||||
2012 | 2013 | ||||||||||||
Unrecognized tax benefits balance at January 1 | $ | 532,862 | $ | 727,367 | |||||||||
Gross increase for tax positions of prior years | 9,441 | 69,188 | |||||||||||
Gross decrease for tax positions of prior years | (32,513 | ) | (40,298 | ) | |||||||||
Gross increase for tax positions of current year | 231,525 | 34,556 | |||||||||||
Settlements | (10,520 | ) | (94,640 | ) | |||||||||
Lapse of statute of limitations | (3,428 | ) | (888 | ) | |||||||||
Unrecognized tax benefits balance at December 31 | $ | 727,367 | $ | 695,285 | |||||||||
The remaining balances are recorded on the Company’s consolidated balance sheets as follows (in thousands): | |||||||||||||
December 31, | |||||||||||||
2012 | 2013 | ||||||||||||
Total unrecognized tax benefits balance | $ | 727,367 | $ | 695,285 | |||||||||
Amounts netted against related deferred tax assets | (83,635 | ) | (89,048 | ) | |||||||||
Unrecognized tax benefits recorded on consolidated balance sheets | $ | 643,732 | $ | 606,237 | |||||||||
Amounts classified as accrued expenses and other current liabilities | $ | 30,484 | $ | — | |||||||||
Amounts classified as deferred and other long-term tax liabilities, net | 613,248 | 606,237 | |||||||||||
Unrecognized tax benefits recorded on consolidated balance sheets | $ | 643,732 | $ | 606,237 | |||||||||
The Company recognizes interest and/or penalties related to uncertain tax positions in income tax expense. To the extent accrued interest and penalties do not ultimately become payable, amounts accrued will be reduced and reflected as a reduction of the overall income tax provision in the period that such determination is made. During 2011, 2012 and 2013, interest and penalties recorded in the consolidated statements of income were a credit of $2 million and a charge of $37 million and $21 million (net of interest received of $4 million), respectively. The amounts of accrued interest and penalties recorded on the consolidated balance sheets as of December 31, 2012 and 2013 were approximately $51 million and $76 million, respectively. | |||||||||||||
In 2013, the Company settled the IRS income tax examination for the 2005 and 2006 returns resulting in a benefit of approximately $54 million. In addition, the Company recorded a reduction of tax reserves of approximately $24 million based on proposed adjustments to its intercompany transfer pricing methodology for the 2007 and 2008 returns. As of December 31, 2013, the Company’s federal 2009 and 2010 income tax returns are currently under the IRS examination. The Company’s 2005 through 2008 tax returns are also under various stages of audit by the California Franchise Tax Board. While the California Franchise Tax Board has not reached any conclusions on the 2007 and 2008 returns, the Company has protested the proposed California Franchise Tax Board’s adjustments to the 2005 and 2006 returns. The Company is also in various stages of examination and appeal in connection with its taxes in foreign jurisdictions, which generally span tax years 2005 through 2012. | |||||||||||||
It is difficult to predict when the examinations will be settled or their final outcomes. The Company believes that it has adequately provided for any reasonably foreseeable adjustment and that any settlement will not have a material adverse effect on the Company’s consolidated financial position, results of operations, or cash flows. | |||||||||||||
The Company may have additional tax liabilities in China related to the sale to Alibaba Group of 523 million Alibaba Group Shares that took place during the year ended December 31, 2012. Any taxes assessed and paid in China are expected to be ultimately offset and recovered in the U.S. | |||||||||||||
During the year ended December 31, 2012, tax authorities from the Brazilian State of Sao Paulo assessed certain indirect taxes against the Company’s Brazilian subsidiary, Yahoo! do Brasil Internet Ltda., related to online advertising services. The assessment totaling approximately $85 million is for calendar years 2008 and 2009. The Company currently believes the assessment is without merit. The Company believes the risk of loss is remote and has not recorded an accrual for the assessment. |
TRANSACTIONS_WITH_RELATED_PART
TRANSACTIONS WITH RELATED PARTIES | 12 Months Ended |
Dec. 31, 2013 | |
TRANSACTIONS WITH RELATED PARTIES | ' |
Note 17 TRANSACTIONS WITH RELATED PARTIES | |
Revenue from related parties, excluding Yahoo Japan and Alibaba Group, represented approximately 1 percent of total revenue for the years ended December 31, 2011, 2012, and 2013. Management believes that the terms of the agreements with these related parties are comparable to the terms obtained in arm’s-length transactions with unrelated similarly situated customers of the Company. | |
See Note 8—“Investments in Equity Interests” for additional information related to transactions involving Yahoo Japan and Alibaba Group. |
SEGMENTS
SEGMENTS | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
SEGMENTS | ' | ||||||||||||
Note 18 SEGMENTS | |||||||||||||
The Company continues to manage its business geographically. The primary areas of measurement and decision-making are the Americas, EMEA (Europe, Middle East and Africa) and Asia Pacific. Management relies on an internal reporting process that provides revenue ex-TAC, which is defined as revenue less TAC, direct costs excluding TAC by segment, and consolidated income from operations for making decisions related to the evaluation of the financial performance of, and allocating resources to, the Company’s segments. | |||||||||||||
The following tables present summarized information by segment (in thousands): | |||||||||||||
Years Ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Revenue by segment: | |||||||||||||
Americas | $ | 3,302,989 | $ | 3,461,633 | $ | 3,481,502 | |||||||
EMEA | 629,383 | 472,061 | 385,186 | ||||||||||
Asia Pacific | 1,051,827 | 1,052,872 | 813,692 | ||||||||||
Total revenue | 4,984,199 | 4,986,566 | 4,680,380 | ||||||||||
TAC by segment: | |||||||||||||
Americas | 160,110 | 182,511 | 158,974 | ||||||||||
EMEA | 221,916 | 114,230 | 42,915 | ||||||||||
Asia Pacific | 221,345 | 222,165 | 52,553 | ||||||||||
Total TAC | 603,371 | 518,906 | 254,442 | ||||||||||
Revenue ex-TAC by segment: | |||||||||||||
Americas | 3,142,879 | 3,279,122 | 3,322,528 | ||||||||||
EMEA | 407,467 | 357,831 | 342,271 | ||||||||||
Asia Pacific | 830,482 | 830,707 | 761,139 | ||||||||||
Total revenue ex-TAC | 4,380,828 | 4,467,660 | 4,425,938 | ||||||||||
Direct costs by segment(1): | |||||||||||||
Americas | 696,103 | 733,316 | 747,684 | ||||||||||
EMEA | 165,750 | 161,990 | 165,719 | ||||||||||
Asia Pacific | 225,417 | 224,114 | 197,619 | ||||||||||
Global operating costs(2)(3) | 1,638,975 | 1,672,070 | 1,830,621 | ||||||||||
Depreciation and amortization | 625,864 | 649,267 | 628,778 | ||||||||||
Goodwill impairment charge | — | — | 63,555 | ||||||||||
Gains on sales of patents | — | — | (79,950 | ) | |||||||||
Stock-based compensation expense | 203,958 | 224,365 | 278,220 | ||||||||||
Restructuring charges, net | 24,420 | 236,170 | 3,766 | ||||||||||
Income from operations | $ | 800,341 | $ | 566,368 | $ | 589,926 | |||||||
(1) | Direct costs for each segment include cost of revenue-other, as well as other operating expenses that are directly attributable to the segment such as employee compensation expense (excluding stock-based compensation expense), local sales and marketing expenses, and facilities expenses. Beginning in 2012, marketing and customer experience costs are managed locally and included as direct costs for each segment. Prior period amounts have been revised to conform to the current presentation. | ||||||||||||
(2) | Global operating costs include product development, service engineering and operations, general and administrative, and other corporate expenses that are managed on a global basis and that are not directly attributable to any particular segment. Prior to 2012, marketing and customer experience costs were managed on a global basis and included as global operating costs. Prior period amounts have been revised to conform to the current presentation. | ||||||||||||
(3) | The net cost reimbursements from Microsoft pursuant to the Search Agreement are primarily included in global operating costs. | ||||||||||||
Years Ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Capital expenditures, net: | |||||||||||||
Americas | $ | 437,804 | $ | 437,978 | $ | 309,215 | |||||||
EMEA | 49,371 | 27,074 | 11,435 | ||||||||||
Asia Pacific | 106,119 | 40,455 | 17,481 | ||||||||||
Total capital expenditures, net | $ | 593,294 | $ | 505,507 | $ | 338,131 | |||||||
December 31, | |||||||||||||
2012 | 2013 | ||||||||||||
Property and equipment, net: | |||||||||||||
Americas: | |||||||||||||
U.S. | $ | 1,483,225 | $ | 1,346,889 | |||||||||
Other. | 1,869 | 1,183 | |||||||||||
Total Americas | $ | 1,485,094 | $ | 1,348,072 | |||||||||
EMEA | 59,416 | 44,976 | |||||||||||
Asia Pacific | 141,335 | 95,470 | |||||||||||
Total property and equipment, net | $ | 1,685,845 | $ | 1,488,518 | |||||||||
See also Note 5—“Goodwill” and Note 15—“Restructuring Charges, Net” for additional information regarding segments. | |||||||||||||
Enterprise Wide Disclosures: | |||||||||||||
The following table presents revenue for groups of similar services (in thousands): | |||||||||||||
Years Ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Display | $ | 2,160,309 | $ | 2,142,818 | $ | 1,949,830 | |||||||
Search | 1,853,110 | 1,885,860 | 1,741,791 | ||||||||||
Other | 970,780 | 957,888 | 988,759 | ||||||||||
Total revenue | $ | 4,984,199 | $ | 4,986,566 | $ | 4,680,380 | |||||||
Years Ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Revenue: | |||||||||||||
U.S. | $ | 3,112,998 | $ | 3,294,206 | $ | 3,317,794 | |||||||
International | 1,871,201 | 1,692,360 | 1,362,586 | ||||||||||
Total revenue | $ | 4,984,199 | $ | 4,986,566 | $ | 4,680,380 | |||||||
Revenue is attributed to individual countries according to the online property that generated the revenue. No single foreign country accounted for more than 10 percent of the Company’s revenue in 2011, 2012, and 2013, respectively. |
SEARCH_AGREEMENT_WITH_MICROSOF
SEARCH AGREEMENT WITH MICROSOFT CORPORATION | 12 Months Ended |
Dec. 31, 2013 | |
SEARCH AGREEMENT WITH MICROSOFT CORPORATION | ' |
Note 19 SEARCH AGREEMENT WITH MICROSOFT CORPORATION | |
On December 4, 2009, the Company entered into the Search Agreement with Microsoft, which provides for Microsoft to be the exclusive algorithmic and paid search services provider on Yahoo Properties and non-exclusive provider of such services on Affiliate sites. The Company also entered into a License Agreement with Microsoft. Under the License Agreement, Microsoft acquired an exclusive 10-year license to the Company’s core search technology and has the ability to integrate this technology into its existing Web search platforms. On February 18, 2010, the Company received regulatory clearance from both the U.S. Department of Justice and the European Commission and on February 23, 2010 the Company commenced implementation of the Search Agreement on a market-by-market basis. Under the Search Agreement, the Company is the exclusive worldwide relationship sales force for both companies’ premium search advertisers, which include advertisers meeting certain spending or other criteria, advertising agencies that specialize in or offer search engine marketing services and their clients, and resellers and their clients seeking assistance with their paid search accounts. The term of the Search Agreement is 10 years from February 23, 2010, subject to earlier termination as provided in the Search Agreement. Approximately 20 percent, 25 percent, and 31 percent of the Company’s revenue for the years ended December 31, 2011, 2012 and, 2013, respectively, was attributable to the Search Agreement. | |
During the first five years of the term of the Search Agreement, in the transitioned markets, the Company is entitled to receive 88 percent of the revenue generated from Microsoft’s services on Yahoo Properties (the “Revenue Share Rate”) and the Company is also entitled to receive 88 percent of the revenue generated from Microsoft’s services on Affiliate sites after the Affiliate’s share of revenue. For new Affiliates during the term of the Search Agreement, and for all Affiliates after the first five years of such term, the Company will receive 88 percent of the revenue generated from Microsoft’s services on Affiliate sites after the Affiliate’s share of revenue and certain Microsoft costs are deducted. On February 23, 2015 (the fifth anniversary of the date that implementation of the Search Agreement commenced), Microsoft will have the option to terminate the Company’s sales exclusivity for premium search advertisers. If Microsoft exercises this option, the Revenue Share Rate will increase to 93 percent for the remainder of the term of the Search Agreement, unless the Company exercises its option to retain the Company’s sales exclusivity, in which case the Revenue Share Rate would be reduced to 83 percent for the remainder of the term. If Microsoft does not exercise such option, the Revenue Share Rate will be 90 percent for the remainder of the term of the Search Agreement. In the transitioned markets, the Company reports as revenue the 88 percent revenue share as the Company is not the primary obligor in the arrangement with the advertisers and publishers. The underlying search advertising services are provided by Microsoft. | |
As of December 31, 2012 and 2013, the Company had collected total amounts of nil and $21 million, respectively, on behalf of Microsoft and Affiliates, which was included in cash and cash equivalents with a corresponding liability in accrued expenses and other current liabilities. The Company’s 88 percent share in connection with the Search Agreement, which is included in accounts receivable, net, was $258 million and $305 million as of December 31, 2012 and December 31, 2013, respectively. | |
Under the Search Agreement, for each market, Microsoft generally guarantees Yahoo’s revenue per search (“RPS Guarantee”) on Yahoo Properties only for 18 months after the transition of paid search services to Microsoft’s platform in that market based on the difference in revenue per search between the pre-transition and post-transition periods and certain other factors. The Company records the RPS Guarantee as search revenue in the quarter the amount becomes fixed, which is typically the quarter in which the associated shortfall in revenue per search occurred. In the fourth quarter of 2011, Microsoft agreed to extend the RPS Guarantee in the U.S. and Canada through March 2013, and in the second quarter of 2013, Microsoft extended the RPS Guarantee in the U.S. through March 2014. In June 2013, Microsoft and Yahoo agreed upon the RPS Guarantee payment amounts to be paid to the Company for the quarters ended December 31, 2012, March 31, 2013 and June 30, 2013. The Company also agreed to fixed quarterly payments in lieu of the RPS Guarantee in the U.S. for the quarters ending September 30, 2013, December 31, 2013 and March 31, 2014. In addition, the Company agreed to waive its right to receive any future RPS Guarantee payments in all other markets except Taiwan and Hong Kong. | |
The Company completed the transition of its algorithmic and paid search platforms to the Microsoft platform in the U.S. and Canada in the fourth quarter of 2010. In 2011, the Company completed the transition of algorithmic search in all other markets. By the end of 2012, the Company completed the transition of paid search in India, most of the EMEA markets, and six markets in Latin America. By the end of 2013, the Company had substantially completed the transition of paid search, including the transition of paid search in Taiwan and Hong Kong. | |
From February 23, 2010 until the applicable services were fully transitioned to Microsoft in all markets, Microsoft was required under the Search Agreement to reimburse the Company for the costs of operating algorithmic and paid search services subject to specified exclusions and limitations. The Company’s results for the years ended December 31, 2011, 2012, and 2013 reflect $212 million, $67 million, and $49 million, respectively, in search operating cost reimbursements from Microsoft under the Search Agreement. | |
The Company’s results for the year ended December 31, 2011 reflect transition cost reimbursements from Microsoft under the Search Agreement, which were equal to the transition costs of $26 million incurred by Yahoo related to the Search Agreement in the year ended December 31, 2011. During the third quarter of 2011, the Company’s cumulative transition costs exceeded Microsoft’s $150 million reimbursement cap under the Search Agreement. Transition costs the Company incurs in excess of the $150 million reimbursement cap are not subject to reimbursement. | |
Reimbursement receivables are recorded as the reimbursable costs are incurred and are applied against the operating expense categories in which the costs were incurred. As of December 31, 2012, a total of $67 million of search operating cost reimbursable had been incurred by the Company related to the Search Agreement. Of that amount, $5 million had not been received from Microsoft and was classified as part of prepaid expenses and other current assets on the Company’s consolidated balance sheets as of December 31, 2012. As of December 31, 2013, a total of $49 million of search operating cost reimbursable had been incurred by the Company related to the Search Agreement. Of that amount, $5 million had not been received from Microsoft and was classified as part of prepaid expenses and other current assets on the Company’s consolidated balance sheets as of December 31, 2013. |
SUBSEQUENT_EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2013 | |
SUBSEQUENT EVENTS | ' |
Note 20 SUBSEQUENT EVENTS | |
Stock Repurchase Transactions. From January 1, 2014 through February 28, 2014, the Company repurchased approximately 9 million shares of its common stock at an average price of $37.75 per share, for a total of $332 million. |
Schedule_IIValuation_and_Quali
Schedule II-Valuation and Qualifying Accounts | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Schedule II-Valuation and Qualifying Accounts | ' | ||||||||||||||||
Schedule II—Valuation and Qualifying Accounts | |||||||||||||||||
Years Ended December 31, 2011, 2012, and 2013 | |||||||||||||||||
Balance at | Charged to | Write-Offs | Balance | ||||||||||||||
Beginning | Expenses | Net of, | at End | ||||||||||||||
of Year | Recoveries | of Year | |||||||||||||||
(In thousands) | |||||||||||||||||
Accounts receivable | |||||||||||||||||
Allowance for doubtful accounts | |||||||||||||||||
2011 | 22,975 | 18,147 | (10,980 | ) | 30,142 | ||||||||||||
2012 | 30,142 | 12,868 | (10,375 | ) | 32,635 | ||||||||||||
2013 | 32,635 | 10,278 | (7,364 | ) | 35,549 | ||||||||||||
Balance at | Charged to | Charged | Balance | ||||||||||||||
Beginning | Expenses | (Credited) | at End | ||||||||||||||
of Year | to Other | of Year | |||||||||||||||
Accounts(*) | |||||||||||||||||
(In thousands) | |||||||||||||||||
Deferred tax asset valuation allowance | |||||||||||||||||
2011 | 60,176 | (5,975 | ) | (1,061 | ) | 53,140 | |||||||||||
2012 | 53,140 | (82 | ) | (1,555 | ) | 51,503 | |||||||||||
2013 | 51,503 | (4,595 | ) | (10,218 | ) | 36,690 | |||||||||||
(*) | Amounts not charged (credited) to expenses are charged (credited) to stockholders’ equity, deferred tax assets (liabilities), or goodwill. | ||||||||||||||||
Selected_Quarterly_Financial_D
Selected Quarterly Financial Data | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
Selected Quarterly Financial Data | ' | ||||||||||||||||||||||||||||||||
Selected Quarterly Financial Data | |||||||||||||||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||||||||||||||
Quarters Ended | |||||||||||||||||||||||||||||||||
March 31, | June 30, | September 30, | December 31, | March 31, | June 30, | September 30, | December 31, | ||||||||||||||||||||||||||
2012(1) | 2012(2) | 2012(3) | 2012(4) | 2013(5) | 2013(6) | 2013(7) | 2013(8) | ||||||||||||||||||||||||||
(In thousands, except per share amounts) | |||||||||||||||||||||||||||||||||
Revenue | $ | 1,221,233 | $ | 1,217,794 | $ | 1,201,732 | $ | 1,345,807 | $ | 1,140,368 | $ | 1,135,244 | $ | 1,138,973 | $ | 1,265,795 | |||||||||||||||||
Total operating expenses | $ | 1,051,857 | $ | 1,162,981 | $ | 1,049,543 | $ | 1,155,817 | $ | 954,398 | $ | 998,265 | $ | 1,046,214 | $ | 1,091,577 | |||||||||||||||||
Income from operations | $ | 169,376 | $ | 54,813 | $ | 152,189 | $ | 189,990 | $ | 185,970 | $ | 136,979 | $ | 92,759 | $ | 174,218 | |||||||||||||||||
Other income, net | $ | 2,278 | $ | 20,175 | $ | 4,607,656 | $ | 17,730 | $ | 17,072 | $ | 23,606 | $ | 5,370 | $ | (2,691 | ) | ||||||||||||||||
Provision for income taxes | $ | (56,419 | ) | $ | (26,523 | ) | $ | (1,774,094 | ) | $ | (83,007 | ) | $ | (29,736 | ) | $ | (50,267 | ) | $ | (31,891 | ) | $ | (41,498 | ) | |||||||||
Earnings in equity interests | $ | 172,243 | $ | 179,991 | $ | 175,265 | $ | 148,939 | $ | 217,588 | $ | 224,690 | $ | 232,756 | $ | 221,641 | |||||||||||||||||
Net income attributable to Yahoo! Inc. | $ | 286,343 | $ | 226,631 | $ | 3,160,238 | $ | 272,267 | $ | 390,285 | $ | 331,150 | $ | 296,656 | $ | 348,190 | |||||||||||||||||
Net income attributable to Yahoo! Inc. common stockholders per share—basic | $ | 0.24 | $ | 0.19 | $ | 2.66 | $ | 0.24 | $ | 0.36 | $ | 0.31 | $ | 0.29 | $ | 0.34 | |||||||||||||||||
Net income attributable to Yahoo! Inc. common stockholders per share—diluted | $ | 0.23 | $ | 0.18 | $ | 2.64 | $ | 0.23 | $ | 0.35 | $ | 0.3 | $ | 0.28 | $ | 0.33 | |||||||||||||||||
Shares used in per share calculation— basic | 1,215,783 | 1,213,320 | 1,186,046 | 1,155,950 | 1,094,170 | 1,079,389 | 1,024,289 | 1,012,972 | |||||||||||||||||||||||||
Shares used in per share calculation— diluted | 1,226,486 | 1,221,719 | 1,195,085 | 1,168,336 | 1,108,095 | 1,094,694 | 1,041,698 | 1,038,754 | |||||||||||||||||||||||||
(1) | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2012 includes net restructuring charges of $6 million. | ||||||||||||||||||||||||||||||||
(2) | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2012 includes net restructuring charges of $129 million. | ||||||||||||||||||||||||||||||||
(3) | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2012 includes net restructuring charges of $25 million and pre-tax gain of $4.6 billion related to the sale of Alibaba Group Shares, which is included in other income, net. | ||||||||||||||||||||||||||||||||
(4) | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2012 includes a one-time distribution of foreign earnings resulting in an overall net benefit of approximately $117 million and net restructuring charges of $77 million. | ||||||||||||||||||||||||||||||||
(5) | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2013 includes net restructuring reversals of $7 million. | ||||||||||||||||||||||||||||||||
(6) | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2013 includes net restructuring charges of $4 million. | ||||||||||||||||||||||||||||||||
(7) | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2013 includes net restructuring reversals of less than $1 million. | ||||||||||||||||||||||||||||||||
(8) | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2013 includes a gain on sale of patents of $70 million, a goodwill impairment charge of $64 million, and net restructuring charges of $8 million. |
THE_COMPANY_AND_SUMMARY_OF_SIG1
THE COMPANY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2013 | |
Basis of Presentation | ' |
Basis of Presentation. The consolidated financial statements include the accounts of Yahoo! Inc. and its majority-owned or otherwise controlled subsidiaries. All significant intercompany accounts and transactions have been eliminated. Investments in entities in which the Company can exercise significant influence, but does not own a majority equity interest or otherwise control, are accounted for using the equity method and are included as investments in equity interests on the consolidated balance sheets. The Company has included the results of operations of acquired companies from the date of acquisition. Certain prior period amounts have been reclassified to conform to the current period presentation | |
The preparation of consolidated financial statements in conformity with generally accepted accounting principles (“GAAP”) in the United States (“U.S.”) requires management to make estimates, judgments, and assumptions that affect the reported amounts of assets, liabilities, revenue, and expenses and the related disclosure of contingent assets and liabilities. On an ongoing basis, the Company evaluates its estimates, including those related to revenue, the useful lives of long-lived assets including property and equipment and intangible assets, investment fair values, stock-based compensation, goodwill, income taxes, contingencies, and restructuring charges. The Company bases its estimates of the carrying value of certain assets and liabilities on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, when these carrying values are not readily available from other sources. Actual results may differ from these estimates. | |
Concentration of Risk | ' |
Concentration of Risk. Financial instruments that potentially subject the Company to significant concentration of credit risk consist primarily of cash, cash equivalents, marketable securities, accounts receivable, and derivative financial instruments. The primary focus of the Company’s investment strategy is to preserve capital and meet liquidity requirements. A large portion of the Company’s cash is managed by external managers within the guidelines of the Company’s investment policy. The Company’s investment policy addresses the level of credit exposure by limiting the concentration in any one corporate issuer or sector and establishing a minimum allowable credit rating. To manage the risk exposure, the Company maintains its portfolio of cash and cash equivalents and short-term and long-term investments in a variety of fixed income securities, including U.S. and foreign government, agency, municipal and highly rated corporate debt obligations and money market funds. The Company’s derivative instruments, including the note hedge transactions, expose the Company to credit risk to the extent that its counterparties may be unable to meet the terms of the agreements. The Company seeks to mitigate this risk by limiting its counterparties to major financial institutions and by spreading the risk across several major financial institutions. In addition, the potential risk of loss with any one counterparty resulting from this type of credit risk is monitored on an ongoing basis. See “Note 9—Derivative Instruments” for additional information related to the Company’s derivative instruments. Accounts receivable are typically unsecured and are derived from revenue earned from customers. The Company performs ongoing credit evaluations of its customers and maintains allowances for potential credit losses. Historically, such losses have been within management’s expectations. As of December 31, 2012 and 2013, no one customer accounted for 10 percent or more of the accounts receivable balance and no one customer accounted for 10 percent or more of the Company’s revenue for 2011, 2012, or 2013. See Note 19 “Search Agreement with Microsoft Corporation” for revenue under the Company’s Search and Advertising Services and Sales Agreement (the “Search Agreement”) with Microsoft Corporation (“Microsoft”). | |
Comprehensive Income | ' |
Comprehensive Income. Comprehensive income consists of two components, net income and other comprehensive income. Other comprehensive income refers to revenue, expenses, and gains and losses that under GAAP are recorded as an element of shareholders’ equity but are excluded from net income. The Company’s other comprehensive income consists of foreign currency translation adjustments from those subsidiaries or equity method investments where the local currency is the functional currency, unrealized gains and losses on marketable securities classified as available-for-sale, unrealized gains and losses on cash flow hedges, net changes in fair value of derivative instruments related to our net investment hedges, as well as the Company’s share of its equity investees’ other comprehensive income. | |
Foreign Currency | ' |
Foreign Currency. The functional currency of the Company’s international subsidiaries is evaluated on a case-by-case basis and is often the local currency. The financial statements of these subsidiaries are translated into U.S. dollars using period-end rates of exchange for assets and liabilities, historical rates of exchange for equity, and average rates of exchange for the period for revenue and expenses. Translation gains (losses) are recorded in accumulated other comprehensive income (loss) as a component of stockholders’ equity. In addition, the Company records translation gains (losses) related to its foreign equity method investments in accumulated other comprehensive income (loss). The Company records foreign currency transaction gains and losses, realized and unrealized and measurement of local currencies of foreign subsidiaries where the foreign currency is different from the local currency in other income, net in the consolidated statements of income. The Company recorded $9 million of net gains in 2011, and $1 million and $6 million of net losses in 2012 and 2013, respectively. | |
Cash and Cash Equivalents, Short- and Long-Term Marketable Securities | ' |
Cash and Cash Equivalents, Short- and Long-Term Marketable Securities. The Company invests its excess cash in money market funds, time deposits, and liquid debt instruments of the U.S. and foreign governments and their agencies, U.S. municipalities, and high-credit corporate issuers which are classified as marketable securities and cash equivalents. All investments with an original maturity of three months or less are considered cash equivalents. Investments with maturities of less than 12 months from the balance sheet date are classified as current assets, which are available for use to fund current operations. Investments with maturities greater than 12 months from the balance sheet date are classified as long-term assets. | |
Operating cash deposits held with banks may exceed the amount of insurance provided on such deposits. Generally, these deposits may be redeemed upon demand and are maintained with financial institutions with reputable credit and therefore bear minimal credit risk. The Company seeks to mitigate its credit risk by spreading such risk across multiple counterparties and monitoring the risk profiles of these counterparties. | |
The Company’s marketable securities are classified as available-for-sale and are reported at fair value, with unrealized gains and losses, net of tax, recorded in accumulated other comprehensive income (loss). Realized gains or losses and declines in value judged to be other-than-temporary, if any, on available-for-sale securities are reported in other income, net. The Company evaluates the investments periodically for possible other-than-temporary impairment. A decline of fair value below amortized costs of debt securities is considered an other-than-temporary impairment if the Company has the intent to sell the security or it is more likely than not that the Company will be required to sell the security before recovery of the entire amortized cost basis. In those instances, an impairment charge equal to the difference between the fair value and the amortized cost basis is recognized in earnings. Regardless of the Company’s intent or requirement to sell a debt security, an impairment is considered other-than-temporary if the Company does not expect to recover the entire amortized cost basis; in those instances, a credit loss equal to the difference between the present value of the cash flows expected to be collected based on credit risk and the amortized cost basis of the debt security is recognized in earnings. The Company has no current requirement or intent to sell a material portion of debt securities as of December 31, 2013. The Company expects to recover up to (or beyond) the initial cost of investment for securities held. In computing realized gains and losses on available-for-sale securities, the Company determines cost based on amounts paid, including direct costs such as commissions to acquire the security, using the specific identification method. During the years ended December 31, 2011, 2012 and 2013, gross realized gains and losses on available-for-sale debt and equity securities were not material. | |
Allowance For Doubtful Accounts | ' |
Allowance for Doubtful Accounts. The Company records its allowance for doubtful accounts based upon its assessment of various factors. The Company considers historical experience, the age of the accounts receivable balances, the credit quality of its customers, current economic conditions, and other factors that may affect customers’ ability to pay to determine the level of allowance required. | |
Derivative Financial Instruments | ' |
Derivative Financial Instruments. The Company uses derivative financial instruments, primarily foreign currency forward contracts, to mitigate certain foreign currency exposures. The Company hedges, on an after-tax basis, a portion of its net investment in Yahoo Japan. The Company has designated these foreign currency forward contracts as net investment hedges, which are accounted for in accordance with ASC 815 “Derivatives and Hedging” (“ASC 815”). The effective portion of changes in fair value is recorded in accumulated other comprehensive income on the Company’s consolidated balance sheet and any ineffective portion is recorded in other income, net on the Company’s consolidated statements of income. The Company expects the net investment hedges to be effective, on an after-tax basis, as described in ASC 815 and effectiveness will be assessed each quarter. Should any portion of the net investment hedge become ineffective, the ineffective portion will be reclassified to other income, net on the Company’s consolidated statements of income. The fair values of the net investment hedges are determined using quoted observable inputs. Gains and losses reported in accumulated other comprehensive income will not be reclassified into earnings until a sale of the Company’s underlying investment. | |
For derivatives designated as cash flow hedges, the effective portion of the unrealized gains or losses on these forward contracts is recorded in accumulated other comprehensive income on the Company’s consolidated balance sheets and reclassified into revenue on the consolidated statements of income when the underlying hedged revenue is recognized. If the cash flow hedges were to become ineffective, the ineffective portion would be immediately recorded in other income, net on the Company’s consolidated statements of income. | |
The Company hedges certain of its net recognized foreign currency assets and liabilities with foreign exchange forward contracts to reduce the risk that its earnings and cash flows will be adversely affected by changes in foreign currency exchange rates. These balance sheet hedges are used to partially offset the foreign currency exchange gains and losses generated by the re-measurement of certain assets and liabilities denominated in non-functional currency. Changes in the fair value of these derivatives are recorded in other income, net on the Company’s consolidated statements of income. The fair values of the balance sheet hedges are determined using quoted observable inputs. | |
In October 2013, the Company began hedging a portion of the forecasted revenue of certain international subsidiaries whose functional currencies are not the U.S dollar. This program attempts to reduce the risk that the Company’s revenue denominated in these currencies will be adversely affected by foreign currency exchange rate fluctuations. These derivatives are economic hedges and as such do not qualify for hedge accounting. Changes in the fair value of these derivatives are recorded as a component of revenue in the Company’s consolidated statements of income. | |
The Company recognizes all derivative instruments as other assets or liabilities on the Company’s consolidated balance sheets at fair value. See Note 9—“Derivative Financial Instruments” for a full description of the Company’s derivative financial instrument activities and related accounting. | |
Property and Equipment | ' |
Property and Equipment. Buildings are stated at cost and depreciated using the straight-line method over the estimated useful lives of 25 years. Leasehold improvements are amortized over the lesser of their expected useful lives and the remaining lease term. Computers and equipment and furniture and fixtures are stated at cost and depreciated using the straight-line method over the estimated useful lives of the assets, generally three to five years. | |
Property and equipment to be held and used are reviewed for impairment whenever events or changes in circumstances indicate that the carrying value of the assets may not be recoverable. Determination of recoverability is based on the lowest level of identifiable estimated undiscounted future cash flows resulting from the use of the asset and its eventual disposition. Measurement of any impairment loss for long-lived assets that management expects to hold and use is based on the excess of the carrying value of the asset over its fair value. No impairments of such assets were identified during any of the periods presented. | |
Capitalized Software and Labor | ' |
Capitalized Software and Labor. The Company capitalized certain software and labor costs totaling approximately $192 million, $180 million, and $130 million during 2011, 2012, and 2013, respectively. The estimated useful life of costs capitalized is evaluated for each specific project and ranges from one to three years. During 2011, 2012, and 2013, the amortization of capitalized costs totaled approximately $114 million, $142 million, and $175 million, respectively. Capitalized software and labor costs are included in property and equipment, net. Included in the capitalized amounts above are $22 million, $24 million, and $16 million, respectively, of stock-based compensation expense in the years ended December 31, 2011, 2012, and 2013. | |
Goodwill | ' |
Goodwill. Goodwill represents the excess of the purchase price over the fair value of the net tangible and intangible assets acquired in a business combination. Goodwill is not amortized, but is tested for impairment on an annual basis and more frequently if impairment indicators are present. The Company’s reporting units are one level below the operating segments level. If the reporting unit does not pass the qualitative assessment, then the reporting unit’s carrying value is compared to its fair value. The fair values of the reporting units are estimated using an average of a market approach and an income approach as this combination is deemed to be the most indicative of the Company’s fair value in an orderly transaction between market participants. Goodwill is considered impaired if the carrying value of the reporting unit exceeds its fair value. The income approach uses expected future operating results and failure to achieve these expected results may cause a future impairment of goodwill at the reporting unit. If the carrying value of the reporting unit exceeds its fair value, the second step of the goodwill impairment test is performed by comparing the carrying value of the goodwill in the reporting unit to its implied fair value. An impairment charge is recognized for the excess of the carrying value of goodwill over its implied fair value. The Company conducted its annual goodwill impairment test as of October 31, 2013 and determined that the fair values of its reporting units, with the exception of the Middle East reporting unit, exceeded their carrying values and therefore goodwill in those reporting units was not impaired. The Company concluded that the carrying value of the Middle East reporting unit exceeded its fair value and recorded a goodwill impairment charge of approximately $64 million in the quarter ended December 31, 2013. See Note 5—“Goodwill” for additional information. | |
Intangible Assets | ' |
Intangible Assets. Intangible assets are carried at cost and amortized over their estimated useful lives, generally on a straight-line basis over one to eight years as the pattern of use is ratable. The Company reviews identifiable amortizable intangible assets to be held and used for impairment whenever events or changes in circumstances indicate that the carrying value of the assets may not be recoverable. Determination of recoverability is based on the lowest level of identifiable estimated undiscounted cash flows resulting from use of the asset and its eventual disposition. Measurement of any impairment loss is based on the excess of the carrying value of the asset over its fair value. | |
For the year ended December 31, 2013, the Company sold certain patents and recorded gains on sales of patents of approximately $80 million. The gains on sales of patents were primarily related to a patent sale agreement with a wholly-owned affiliate of Alibaba Group entered into during the fourth quarter of 2013 for $70 million. | |
Investments in Equity Interests | ' |
Investments in Equity Interests. Investments in the common stock of entities in which the Company can exercise significant influence but does not own a majority equity interest or otherwise control are accounted for using the equity method and are included as investments in equity interests on the consolidated balance sheets. The Company records its share of the results of these companies one quarter in arrears within earnings in equity interests on the consolidated statements of income. The Company reviews its investments for other-than-temporary impairment whenever events or changes in business circumstances indicate that the carrying value of the investment may not be fully recoverable. Investments identified as having an indication of impairment are subject to further analysis to determine if the impairment is other-than-temporary and this analysis requires estimating the fair value of the investment. The determination of fair value of the investment involves considering factors such as the stock prices of public companies in which the Company has an equity investment, current economic and market conditions, the operating performance of the companies including current earnings trends and forecasted cash flows, and other company and industry specific information. | |
Operating and Capital Leases | ' |
Operating and Capital Leases. The Company leases office space and data centers under operating leases and certain data center equipment under a capital lease agreement with original lease periods up to 12 years. Assets acquired under capital leases are amortized over the remaining lease term. Certain of the lease agreements contain rent holidays and rent escalation provisions. For purposes of recognizing these lease incentives on a straight-line basis over the term of the lease, the Company uses the date that the Company has the right to control the space to begin amortization. Lease renewal periods are considered on a lease-by-lease basis and are generally not included in the period of straight-line recognition. For each of the years ended December 31, 2011, 2012 and 2013, the Company expensed $5 million of interest, which approximates the cash payments made for interest. As of December 31, 2012 and 2013, the Company had net lease obligations included in capital lease and other long-term liabilities in the consolidated balance sheets of $37 million and $44 million, respectively. | |
Income Taxes | ' |
Income Taxes. Deferred income taxes are determined based on the differences between the financial reporting and tax bases of assets and liabilities and are measured using the currently enacted tax rates and laws. The Company records a valuation allowance against particular deferred income tax assets if it is more likely than not that those assets will not be realized. The provision for income taxes comprises the Company’s current tax liability and change in deferred income tax assets and liabilities. | |
Significant judgment is required in evaluating the Company’s uncertain tax positions and determining its provision for income taxes. The Company establishes liabilities for tax-related uncertainties based on estimates of whether, and the extent to which, additional taxes will be due. These liabilities are established when the Company believes that certain positions might be challenged despite its belief that its tax return positions are in accordance with applicable tax laws. The Company adjusts these liabilities in light of changing facts and circumstances, such as the closing of a tax audit, new tax legislation, developments in case law or interactions with the tax authorities. To the extent that the final tax outcome of these matters is different than the amounts recorded, such differences will affect the provision for income taxes in the period in which such determination is made. The provision for income taxes includes the effect of changes to liabilities for tax-related uncertainties that are considered appropriate, as well as the related net interest and penalties. Income taxes paid, net of refunds received, were $96 million, $2.3 billion, and $208 million in the years ended December 31, 2011, 2012, and 2013, respectively. Interest paid was not material in any of the years presented. See Note 16—“Income Taxes” for additional information. | |
Revenue Recognition | ' |
Revenue Recognition. Revenue is generated from several offerings including the display of graphical and non-graphical advertisements (“display advertising”), clicks on text-based links to advertisers’ Websites that appear primarily on search results pages (“search advertising”), and other sources. For revenue arrangements with multiple deliverables, the consideration is allocated based on the relative selling price for each deliverable. The selling price for each arrangement deliverable can be established based on vendor specific objective evidence (“VSOE”) or third-party evidence (“TPE”) if VSOE is not available. An estimate of selling price (“ESP”) is used if neither VSOE nor TPE is available. | |
The Company recognizes revenue from display advertising on Yahoo Properties and Affiliate sites as impressions are delivered. Impressions are delivered when a sold advertisement appears in pages viewed by users. Arrangements for these services generally have terms of up to one year and in some cases the terms may be up to three years. For display advertising on Affiliate sites, the Company pays Affiliates for the revenue generated from the display of these advertisements on the Affiliate sites. Traffic acquisition costs (“TAC”) are payments made to third-party entities that have integrated the Company’s advertising offerings into their Websites or other offerings and payments made to companies that direct consumer and business traffic to Yahoo Properties. The display revenue derived from these arrangements that involve traffic supplied by Affiliates is reported gross of the TAC paid to Affiliates as the Company is the primary obligor to the advertisers who are the customers of the display advertising service. | |
From time-to-time, the Company may offer customized display advertising solutions to advertisers. These customized display advertising solutions combine the Company’s standard display advertising with customized content, customer insights, and campaign analysis. Due to the unique nature of these products, the Company may not be able to establish selling prices based on historical stand-alone sales or third-party evidence; therefore, the Company may use its best estimate to establish selling prices. The Company establishes best estimates within a range of selling prices considering multiple factors including, but not limited to, class of advertiser, size of transaction, seasonality, margin objectives, observed pricing trends, available online inventory, industry pricing strategies, and market conditions. The Company believes the use of the best estimates of selling price allows revenue recognition in a manner consistent with the underlying economics of the transaction. | |
The Company recognizes revenue from search advertising on Yahoo Properties and Affiliate sites. Search revenue is recognized based on Paid Clicks. A Paid Click occurs when an end-user clicks on a sponsored listing on Yahoo Properties and Affiliate sites for which an advertiser pays on a per click basis. The Company’s Search Agreement with Microsoft provides for Microsoft to be the exclusive algorithmic and paid search services provider on Yahoo Properties and non-exclusive provider of such services on Affiliate sites. In transitioned markets, the Company reports as revenue the 88 percent share of revenue generated from Microsoft’s services on Yahoo Properties and Affiliate sites, as the Company is not the primary obligor in the arrangement with the advertisers. See Note 19—“Search Agreement with Microsoft Corporation” for a description of the Search Agreement with Microsoft. | |
In non-transitioned markets, the Company paid Affiliates TAC for the revenue generated from the search advertisements on the Affiliates’ Websites. The revenue derived from these arrangements was reported on a gross basis (before deducting the TAC paid to Affiliates), as the Company continued to be the primary obligor to the advertisers. The Company also generates search revenue from a revenue sharing arrangement with Yahoo Japan for search technology and services and records the related revenue as it is earned. | |
Other revenue includes listings-based services revenue, transaction revenue, royalties, and fees revenue. Listings-based services revenue is generated from a variety of consumer and business listings-based services, including classified advertising such as Yahoo Autos and other services. The Company recognizes listings-based services revenue when the services are performed. Transaction revenue is generated from facilitating commercial transactions through Yahoo Properties, principally from Yahoo Small Business, Yahoo Travel, and Yahoo Shopping. The Company recognizes transaction revenue when there is evidence that qualifying transactions have occurred. We also receive royalties from joint venture partners that are recognized when earned. Fees revenue consists of revenue generated from a variety of consumer and business fee-based services as well as services for small businesses. The Company recognizes fees revenue when the services are performed. | |
In all cases, revenue is recognized only when the price is fixed or determinable, persuasive evidence of an arrangement exists, the service is performed, and collectability of the related fee is reasonably assured. The Company’s arrangements generally do not include a provision for cancellation, termination, or refunds that would significantly impact revenue recognition. | |
The Company accounts for cash consideration given to customers, for which it does not receive a separately identifiable benefit and cannot reasonably estimate fair value, as a reduction of revenue. | |
Current deferred revenue is comprised of contractual billings in excess of recognized revenue and payments received in advance of revenue recognition. Long-term deferred revenue includes amounts received for which revenue will not be earned within the next 12 months. | |
TAC | ' |
TAC. TAC consists of payments made to third-party entities that have integrated the Company’s advertising offerings into their Websites or other offerings and payments made to companies that direct consumer and business traffic to Yahoo Properties. The Company enters into agreements of varying duration that involve TAC. There are generally two economic structures of the Affiliate agreements: fixed payments based on a guaranteed minimum amount of traffic delivered, which often carry reciprocal performance guarantees from the Affiliate, or variable payments based on a percentage of the Company’s revenue or based on a certain metric, such as the number of searches or paid clicks. The Company expenses, as cost of revenue, TAC under two different methods. Agreements with fixed payments are expensed ratably over the term the fixed payment covers. Agreements based on a percentage of revenue, number of searches, or other metrics are expensed based on the volume of the underlying activity or revenue multiplied by the agreed-upon price or rate. | |
Product Development | ' |
Product Development. Product development expenses consist primarily of compensation-related expenses (including stock-based compensation expense) incurred for research and development, the development of, enhancements to, and maintenance and operation of Yahoo Properties, advertising products, technology platforms, and infrastructure. Depreciation expense, third-party technology and development expense, and other operating costs are also included in product development. | |
Advertising Costs | ' |
Advertising Costs. Advertising production costs are recorded as expense the first time an advertisement appears. Costs of advertising are recorded as expense as advertising space or airtime is used. All other advertising costs are expensed as incurred. Advertising expense totaled approximately $148 million, $103 million, and $128 million for 2011, 2012, and 2013, respectively. | |
Restructuring Charges | ' |
Restructuring Charges. The Company has developed and implemented restructuring initiatives to improve efficiencies across the organization, reduce operating expenses, and better align its resources to market conditions. As a result of these plans, the Company has recorded restructuring charges comprised principally of employee severance and associated termination costs related to the reduction of its workforce, office closures, losses on subleases, and contract termination costs. Liabilities for costs associated with an exit or disposal activity are recognized when the liability is incurred, as opposed to when management commits to an exit plan. In addition, (i) liabilities associated with exit and disposal activities are measured at fair value; (ii) one-time termination benefits are expensed at the date the entity notifies the employee, unless the employee must provide future service, in which case the benefits are expensed ratably over the future service period; and (iii) costs to terminate a contract before the end of its term are recognized when the entity terminates the contract in accordance with the contract terms. In addition, a portion of the Company’s restructuring costs related to international employees are recognized when the amount of such termination benefits becomes estimable and payment is probable. | |
These restructuring initiatives require management to make estimates in several areas including: (i) expenses for severance and other employee separation costs; (ii) realizable values of assets made redundant, obsolete, or excessive; and (iii) the ability to generate sublease income and to terminate lease obligations at the estimated amounts. | |
Stock-Based Compensation Expense | ' |
Stock-Based Compensation Expense. The Company recognizes stock-based compensation expense, net of an estimated forfeiture rate and therefore only recognizes compensation costs for those shares expected to vest over the service period of the award. Stock-based awards are valued based on the grant date fair value of these awards; the Company records stock-based compensation expense on a straight-line basis over the requisite service period, generally one to four years. | |
Calculating stock-based compensation expense related to stock options requires the input of highly subjective assumptions, including the expected term of the stock options, stock price volatility, and the pre-vesting forfeiture rate of stock awards. The Company estimates the expected life of options granted based on historical exercise patterns, which the Company believes are representative of future behavior. The Company estimates the volatility of its common stock on the date of grant based on the implied volatility of publicly traded options on its common stock, with a term of one year or greater. The Company believes that implied volatility calculated based on actively traded options on its common stock is a better indicator of expected volatility and future stock price trends than historical volatility. The assumptions used in calculating the fair value of stock-based awards represent the Company’s best estimates, but these estimates involve inherent uncertainties and the application of management judgment. As a result, if factors change and the Company uses different assumptions, the Company’s stock-based compensation expense could be materially different in the future. In addition, the Company is required to estimate the expected pre-vesting award forfeiture rate, as well as the probability that performance conditions that affect the vesting of certain awards will be achieved, and only recognizes expense for those shares expected to vest. The Company estimates the forfeiture rate based on historical experience of the Company’s stock-based awards that are granted and cancelled before vesting. See Note 14—“Employee Benefits” for additional information. | |
The Company uses the “with and without” approach in determining the order in which tax attributes are utilized. As a result, the Company recognizes a tax benefit from stock-based awards in additional paid-in capital only if an incremental tax benefit is realized after all other tax attributes currently available to the Company have been utilized. When tax deductions from stock-based awards are less than the cumulative book compensation expense, the tax effect of the resulting difference (“shortfall”) is charged first to additional paid-in capital, to the extent of the Company’s pool of windfall tax benefits, with any remainder recognized in income tax expense. The Company determined that it had a sufficient windfall pool available through the end of 2013 to absorb any shortfalls. In addition, the Company accounts for the indirect effects of stock-based awards on other tax attributes, such as the research tax credit, through the consolidated statements of income. | |
Recent Accounting Pronouncements | ' |
Recent Accounting Pronouncements. | |
In 2013, the Financial Accounting Standards Board (“FASB”) issued new accounting guidance clarifying the accounting for the release of a cumulative translation adjustment into net income when a parent either sells a part or all of its investment in a foreign entity or no longer holds a controlling financial interest in a subsidiary or group of assets that is a nonprofit activity or a business within a foreign entity. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning on or after December 15, 2013. The Company does not anticipate that this adoption will have a significant impact on its financial position, results of operations, or cash flows. | |
In 2013, the FASB issued a new accounting standard that will require the presentation of certain unrecognized tax benefits as reductions to deferred tax assets rather than as liabilities in the Consolidated Balance Sheets when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. The new standard requires adoption on a prospective basis in the first quarter of 2015; however, early adoption is permitted. The Company does not anticipate that this adoption will have a significant impact on its financial position, results of operations, or cash flows. |
INVESTMENTS_AND_FAIR_VALUE_MEA1
INVESTMENTS AND FAIR VALUE MEASUREMENTS (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Schedule of Investments in Available for Sale Securities | ' | ||||||||||||||||||||||||
The following tables summarize the investments in available-for-sale securities (in thousands): | |||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||
Gross | Gross | Gross | Estimated | ||||||||||||||||||||||
Amortized | Unrealized | Unrealized | Fair Value | ||||||||||||||||||||||
Costs | Gains | Losses | |||||||||||||||||||||||
Government and agency securities | $ | 1,312,876 | $ | 985 | $ | (45 | ) | $ | 1,313,816 | ||||||||||||||||
Corporate debt securities, commercial paper, and bank certificates of deposit | 2,039,809 | 1,597 | (622 | ) | 2,040,784 | ||||||||||||||||||||
Corporate equity and other marketable securities | 230 | — | (33 | ) | 197 | ||||||||||||||||||||
Alibaba Group Preference Shares | 816,261 | — | — | 816,261 | |||||||||||||||||||||
Total investments in available-for-sale securities | $ | 4,169,176 | $ | 2,582 | $ | (700 | ) | $ | 4,171,058 | ||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||
Gross | Gross | Gross | Estimated | ||||||||||||||||||||||
Amortized | Unrealized | Unrealized | Fair Value | ||||||||||||||||||||||
Costs | Gains | Losses | |||||||||||||||||||||||
Government and agency securities | $ | 538,397 | $ | 65 | $ | (101 | ) | $ | 538,361 | ||||||||||||||||
Corporate debt securities, commercial paper, and bank certificates of deposit | 2,380,134 | 2,525 | (1,216 | ) | 2,381,443 | ||||||||||||||||||||
Corporate equity and other marketable securities | 230 | 153 | — | 383 | |||||||||||||||||||||
Total investments in available-for-sale securities | $ | 2,918,761 | $ | 2,743 | $ | (1,317 | ) | $ | 2,920,187 | ||||||||||||||||
Schedule of Available for Sale Securities by Balance Sheet Location | ' | ||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||
2012 | 2013 | ||||||||||||||||||||||||
Reported as: | |||||||||||||||||||||||||
Short-term marketable securities | $ | 1,516,175 | $ | 1,330,304 | |||||||||||||||||||||
Long-term marketable securities | 1,838,425 | 1,589,500 | |||||||||||||||||||||||
Alibaba Group Preference Shares | 816,261 | — | |||||||||||||||||||||||
Other assets | 197 | 383 | |||||||||||||||||||||||
Total | $ | 4,171,058 | $ | 2,920,187 | |||||||||||||||||||||
Schedule of Available for Sale Securities by Contractual Maturities | ' | ||||||||||||||||||||||||
The contractual maturities of available-for-sale marketable securities were as follows (in thousands): | |||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||
2012 | 2013 | ||||||||||||||||||||||||
Due within one year | $ | 1,516,175 | $ | 1,330,304 | |||||||||||||||||||||
Due after one year through five years | 1,838,425 | 1,589,500 | |||||||||||||||||||||||
Total available-for-sale marketable securities | $ | 3,354,600 | $ | 2,919,804 | |||||||||||||||||||||
Investments in Unrealized Loss Position | ' | ||||||||||||||||||||||||
The following tables show all investments in an unrealized loss position for which an other-than-temporary impairment has not been recognized and the related gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position (in thousands): | |||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||
Less than 12 Months | 12 Months or Greater | Total | |||||||||||||||||||||||
Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | ||||||||||||||||||||
Value | Loss | Value | Loss | Value | Loss | ||||||||||||||||||||
Government and agency securities | $ | 165,025 | $ | (45 | ) | $ | — | $ | — | $ | 165,025 | $ | (45 | ) | |||||||||||
Corporate debt securities, commercial paper, and bank certificates of deposit | 729,046 | (622 | ) | — | — | 729,046 | (622 | ) | |||||||||||||||||
Corporate equity securities | 197 | (33 | ) | — | — | 197 | (33 | ) | |||||||||||||||||
Total investments in available-for-sale securities | $ | 894,268 | $ | (700 | ) | $ | — | $ | — | $ | 894,268 | $ | (700 | ) | |||||||||||
December 31, 2013 | |||||||||||||||||||||||||
Less than 12 Months | 12 Months or Greater | Total | |||||||||||||||||||||||
Fair | Unrealized | Fair | Unrealized | Fair | Unrealized | ||||||||||||||||||||
Value | Loss | Value | Loss | Value | Loss | ||||||||||||||||||||
Government and agency securities | $ | 263,514 | $ | (101 | ) | $ | — | $ | — | $ | 263,514 | $ | (101 | ) | |||||||||||
Corporate debt securities, commercial paper, and bank certificates of deposit | 696,950 | (1,214 | ) | 3,833 | (2 | ) | 700,783 | (1,216 | ) | ||||||||||||||||
Total investments in available-for-sale securities | $ | 960,464 | $ | (1,315 | ) | $ | 3,833 | $ | (2 | ) | $ | 964,297 | $ | (1,317 | ) | ||||||||||
Schedule of Fair Value of Financial Assets Measured on Recurring Basis | ' | ||||||||||||||||||||||||
The following table sets forth the financial assets and liabilities, measured at fair value, by level within the fair value hierarchy as of December 31, 2012 (in thousands): | |||||||||||||||||||||||||
Fair Value Measurements at Reporting Date Using | |||||||||||||||||||||||||
Assets | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
Money market funds(1) | $ | 685,707 | $ | — | $ | — | $ | 685,707 | |||||||||||||||||
Available-for-sale securities: | |||||||||||||||||||||||||
Government and agency securities(1) | — | 2,464,227 | — | 2,464,227 | |||||||||||||||||||||
Commercial paper and bank certificates of deposit(1) | — | 892,769 | — | 892,769 | |||||||||||||||||||||
Corporate debt securities(1) | — | 1,298,123 | — | 1,298,123 | |||||||||||||||||||||
Time deposits | — | 84,555 | — | 84,555 | |||||||||||||||||||||
Alibaba Group Preference Shares | — | — | 816,261 | 816,261 | |||||||||||||||||||||
Corporate equity securities(2) | 197 | — | — | 197 | |||||||||||||||||||||
Foreign currency derivative contracts(3) | — | 5,007 | — | 5,007 | |||||||||||||||||||||
Financial assets at fair value | $ | 685,904 | $ | 4,744,681 | $ | 816,261 | $ | 6,246,846 | |||||||||||||||||
Liabilities | |||||||||||||||||||||||||
Foreign currency derivative contracts(3) | — | (6,662 | ) | — | (6,662 | ) | |||||||||||||||||||
Total financial assets and liabilities at fair value | $ | 685,904 | $ | 4,738,019 | $ | 816,261 | $ | 6,240,184 | |||||||||||||||||
The following table sets forth the financial assets and liabilities, measured at fair value, by level within the fair value hierarchy as of December 31, 2013 (in thousands): | |||||||||||||||||||||||||
Fair Value Measurements at Reporting Date Using | |||||||||||||||||||||||||
Assets | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||
Money market funds(1) | $ | 936,438 | $ | — | $ | — | $ | 936,438 | |||||||||||||||||
Available-for-sale securities: | |||||||||||||||||||||||||
Government and agency securities(1) | — | 876,197 | — | 876,197 | |||||||||||||||||||||
Commercial paper and bank certificates of deposit(1) | — | 472,080 | — | 472,080 | |||||||||||||||||||||
Corporate debt securities(1) | — | 2,059,159 | — | 2,059,159 | |||||||||||||||||||||
Time deposits | — | 84,443 | — | 84,443 | |||||||||||||||||||||
Corporate equity securities(2) | 370 | — | — | 370 | |||||||||||||||||||||
Foreign currency derivative contracts(3) | — | 214,041 | — | 214,041 | |||||||||||||||||||||
Financial assets at fair value | $ | 936,808 | $ | 3,705,920 | $ | — | $ | 4,642,728 | |||||||||||||||||
Liabilities | |||||||||||||||||||||||||
Foreign currency derivative contracts(3) | — | (1,401 | ) | — | (1,401 | ) | |||||||||||||||||||
Total financial assets and liabilities at fair value | $ | 936,808 | $ | 3,704,519 | $ | — | $ | 4,641,327 | |||||||||||||||||
(1) | The money market funds, government and agency securities, commercial paper and bank certificates of deposit, and corporate debt securities are classified as part of either cash and cash equivalents or investments in marketable securities in the consolidated balance sheets. | ||||||||||||||||||||||||
(2) | The corporate equity securities are classified as part of the other long-term assets and other marketable securities are classified as investments in marketable securities in the consolidated balance sheets. | ||||||||||||||||||||||||
(3) | Foreign currency derivative contracts are classified as part of either other current assets or other current liabilities in the consolidated balance sheets. The notional amounts of the foreign currency derivative contracts were $3.4 billion, including contracts designated as net investment hedges of $3 billion, as of December 31, 2012, and $1.8 billion, including contracts designated as net investment hedges of $1.3 billion, as of December 31, 2013. |
CONSOLIDATED_FINANCIAL_STATEME1
CONSOLIDATED FINANCIAL STATEMENT DETAILS (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Prepaid Expenses and Other Current Assets | ' | ||||||||||||
As of December 31, prepaid expenses and other current assets consisted of the following (in thousands): | |||||||||||||
2012 | 2013 | ||||||||||||
Prepaid expenses | $ | 74,268 | $ | 103,100 | |||||||||
Deferred income taxes | 249,936 | 218,486 | |||||||||||
Foreign currency forward contract assets | 5,008 | 214,041 | |||||||||||
Other receivables non-trade | 36,740 | 37,404 | |||||||||||
Other | 94,360 | 65,373 | |||||||||||
Total prepaid expenses and other current assets | $ | 460,312 | $ | 638,404 | |||||||||
Property and Equipment, Net | ' | ||||||||||||
As of December 31, property and equipment, net consisted of the following (in thousands): | |||||||||||||
2012 | 2013 | ||||||||||||
Land | $ | 213,838 | $ | 213,838 | |||||||||
Buildings | 639,658 | 697,874 | |||||||||||
Leasehold improvements | 304,440 | 279,052 | |||||||||||
Computers and equipment(1) | 2,040,381 | 1,512,860 | |||||||||||
Capitalized software and labor | 595,366 | 766,368 | |||||||||||
Furniture and fixtures | 75,559 | 61,280 | |||||||||||
Assets not yet in use | 81,979 | 80,830 | |||||||||||
3,951,221 | 3,612,102 | ||||||||||||
Less: accumulated depreciation and amortization(2) | (2,265,376 | ) | (2,123,584 | ) | |||||||||
Total property and equipment, net | $ | 1,685,845 | $ | 1,488,518 | |||||||||
(1) | Includes data center equipment acquired under a capital lease of approximately $37 million and $44 million as of December 31, 2012 and 2013, respectively. | ||||||||||||
(2) | Includes $20 million and $33 million of accumulated depreciation, and $6 million and $12 million of accumulated amortization related to the capital lease as of December 31, 2012 and 2013, respectively. | ||||||||||||
Other Long-Term Assets | ' | ||||||||||||
As of December 31, other long-term assets consisted of the following (in thousands): | |||||||||||||
2012 | 2013 | ||||||||||||
Deferred income taxes | $ | 139,183 | $ | 23,222 | |||||||||
Investments in privately-held companies | 27,022 | 25,077 | |||||||||||
Other | 122,925 | 128,982 | |||||||||||
Total other long-term assets | $ | 289,130 | $ | 177,281 | |||||||||
Accrued Expenses and Other Current Liabilities | ' | ||||||||||||
As of December 31, accrued expenses and other current liabilities consisted of the following (in thousands): | |||||||||||||
2012 | 2013 | ||||||||||||
Accrued content, connection, traffic acquisition, and other costs | $ | 116,951 | $ | 119,431 | |||||||||
Deferred income taxes | 200 | (10 | ) | ||||||||||
Accrued compensation and related expenses | 337,727 | 343,392 | |||||||||||
Accrued taxes payable | 10,619 | 107,033 | |||||||||||
Accrued professional service expenses | 67,736 | 69,869 | |||||||||||
Accrued sales and marketing related expenses | 11,988 | 17,744 | |||||||||||
Accrued restructuring costs | 58,718 | 21,764 | |||||||||||
Current liability for uncertain tax contingencies | 30,484 | — | |||||||||||
Other | 174,052 | 228,559 | |||||||||||
Total accrued expenses and other current liabilities | $ | 808,475 | $ | 907,782 | |||||||||
Deferred and Other Long-Term Tax Liabilities, Net | ' | ||||||||||||
As of December 31, deferred and other long-term tax liabilities, net consisted of the following (in thousands): | |||||||||||||
2012 | 2013 | ||||||||||||
Deferred income taxes | $ | 11,310 | $ | 172,491 | |||||||||
Long-term liability for uncertain tax contingencies(*) | 663,961 | 675,465 | |||||||||||
Total deferred and other long-term tax liabilities, net | $ | 675,271 | $ | 847,956 | |||||||||
(*) | Includes interest and penalties. | ||||||||||||
Accumulated Other Comprehensive Income | ' | ||||||||||||
As of December 31, the components of accumulated other comprehensive income were as follows (in thousands): | |||||||||||||
2012 | 2013 | ||||||||||||
Unrealized gains on available-for-sale securities, net of tax | $ | 9,121 | $ | 15,101 | |||||||||
Unrealized gains on cash flow hedges, net of tax | — | 1,412 | |||||||||||
Foreign currency translation, net of tax | 562,128 | 301,876 | |||||||||||
Accumulated other comprehensive income | $ | 571,249 | $ | 318,389 | |||||||||
Noncontrolling Interests | ' | ||||||||||||
As of December 31, noncontrolling interests were as follows (in thousands): | |||||||||||||
2012 | 2013 | ||||||||||||
Beginning noncontrolling interests | $ | 40,280 | $ | 45,403 | |||||||||
Net income attributable to noncontrolling interests | 5,123 | 10,285 | |||||||||||
Ending noncontrolling interests | $ | 45,403 | $ | 55,688 | |||||||||
Other Income, Net | ' | ||||||||||||
Other income, net for 2011, 2012, and 2013 were as follows (in thousands): | |||||||||||||
Years Ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Interest, dividend, and investment income | $ | 18,920 | $ | 41,673 | $ | 57,544 | |||||||
Gain related to the sale of Alibaba Group Shares | — | 4,603,322 | — | ||||||||||
Interest expense | (9,473 | ) | (9,297 | ) | (14,319 | ) | |||||||
Other | 17,728 | 12,141 | 132 | ||||||||||
Total other income, net | $ | 27,175 | $ | 4,647,839 | $ | 43,357 | |||||||
Reclassifications Out of Accumulated Other Comprehensive Income | ' | ||||||||||||
Reclassifications out of accumulated other comprehensive income for the period ended December 31, 2012 were as follows (in thousands): | |||||||||||||
Amount | Affected Line Item in the | ||||||||||||
Reclassified from | Statement of Income | ||||||||||||
Accumulated | |||||||||||||
Other | |||||||||||||
Comprehensive | |||||||||||||
Income | |||||||||||||
Realized losses on available-for-sale securities, net of tax | $ | 9,088 | Yahoo!’s share of earnings in equity method investments and Other income, net | ||||||||||
Foreign currency translation adjustments (“CTA”): | |||||||||||||
Korea business closure CTA reclassification | $ | (16,208 | ) | Restructuring charges net | |||||||||
Alibaba Group Initial Repurchase related CTA reclassification, net of $68 million in tax | (120,978 | ) | Other income, net | ||||||||||
Total foreign currency translation adjustments, net of tax | $ | (137,186 | ) | ||||||||||
Total reclassifications for the period | $ | (128,098 | ) | ||||||||||
Reclassifications out of accumulated other comprehensive income for the period ended December 31, 2013 were as follows (in thousands): | |||||||||||||
Amount | Affected Line Item in the | ||||||||||||
Reclassified from | Statement of Income | ||||||||||||
Accumulated | |||||||||||||
Other | |||||||||||||
Comprehensive | |||||||||||||
Income | |||||||||||||
Realized gains on cash flow hedges, net of tax | $ | (2,080 | ) | Revenue | |||||||||
Realized gains on available-for-sale securities, net of tax | (796 | ) | Other income, net | ||||||||||
Total reclassifications for the period | $ | (2,876 | ) | ||||||||||
ACQUISITIONS_Tables
ACQUISITIONS (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Summary of Significant Acquisitions | ' | ||||||||||||
The following table summarizes acquisitions (including business combinations and asset acquisitions) completed during the three years ended December 31, 2013 (in millions): | |||||||||||||
Purchase | Goodwill | Amortizable | |||||||||||
Price | Intangibles | ||||||||||||
2011 | |||||||||||||
interclick | $ | 259 | $ | 172 | $ | 79 | |||||||
Other acquisitions | $ | 72 | $ | 49 | $ | 26 | |||||||
2012 | |||||||||||||
All acquisitions | $ | 7 | $ | 5 | $ | — | |||||||
2013 | |||||||||||||
Tumblr | $ | 990 | $ | 752 | $ | 263 | |||||||
Other acquisitions | $ | 279 | $ | 186 | $ | 76 | |||||||
Interclick | ' | ||||||||||||
Allocation of Purchase Price of Assets Acquired And Liabilities Assumed | ' | ||||||||||||
The allocation of the purchase price of the assets acquired and liabilities assumed based on their fair values was as follows (in thousands): | |||||||||||||
Cash acquired | $ | 4,369 | |||||||||||
Other tangible assets acquired | 71,711 | ||||||||||||
Amortizable intangible assets: | |||||||||||||
Customer contracts and related relationships | 42,700 | ||||||||||||
Developed technology and patents | 35,600 | ||||||||||||
Trade name, trademark, and domain name | 600 | ||||||||||||
Goodwill | 171,641 | ||||||||||||
Total assets acquired | 326,621 | ||||||||||||
Liabilities assumed | (68,120 | ) | |||||||||||
Total | $ | 258,501 | |||||||||||
Tumblr | ' | ||||||||||||
Allocation of Purchase Price of Assets Acquired And Liabilities Assumed | ' | ||||||||||||
The total purchase price of approximately $990 million consisted mainly of cash consideration. The allocation of the purchase price of the assets acquired and liabilities assumed based on their fair values was as follows (in thousands): | |||||||||||||
Cash and marketable securities acquired | $ | 16,587 | |||||||||||
Other tangible assets acquired | 73,780 | ||||||||||||
Amortizable intangible assets: | |||||||||||||
Developed technology | 23,700 | ||||||||||||
Customer contracts and related relationships | 182,400 | ||||||||||||
Trade name | 56,500 | ||||||||||||
Goodwill | 751,765 | ||||||||||||
Total assets acquired | 1,104,732 | ||||||||||||
Liabilities assumed | (114,521 | ) | |||||||||||
Total | $ | 990,211 | |||||||||||
GOODWILL_Tables
GOODWILL (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Schedule Of Goodwill | ' | ||||||||||||||||
The changes in the carrying amount of goodwill for the years ended December 31, 2012 and 2013 were as follows (in thousands): | |||||||||||||||||
Americas(1) | EMEA(2) | Asia Pacific(3) | Total | ||||||||||||||
Net balance as of January 1, 2012 | $ | 2,866,365 | $ | 581,523 | $ | 452,864 | $ | 3,900,752 | |||||||||
Acquisitions | 5,616 | — | — | 5,616 | |||||||||||||
Korea goodwill write-off | — | — | (85,642 | ) | (85,642 | ) | |||||||||||
Foreign currency translation adjustments | (1,950 | ) | 12,090 | (4,117 | ) | 6,023 | |||||||||||
Net balance as of December 31, 2012 | $ | 2,870,031 | $ | 593,613 | $ | 363,105 | $ | 3,826,749 | |||||||||
Acquisitions | 934,135 | 1,567 | 1,921 | 937,623 | |||||||||||||
Goodwill impairment charge | — | (63,555 | ) | — | (63,555 | ) | |||||||||||
Foreign currency translation adjustments | (1,832 | ) | 15,231 | (34,568 | ) | (21,169 | ) | ||||||||||
Net balance as of December 31, 2013 | $ | 3,802,334 | $ | 546,856 | $ | 330,458 | $ | 4,679,648 | |||||||||
(1) | Gross goodwill balances for the Americas segment were $2.9 billion as of January 1, 2012 and $3.8 billion as of December 31, 2013. | ||||||||||||||||
(2) | Gross goodwill balances for the EMEA segment were $1.1 billion as of both January 1, 2012 and December 31, 2013. The EMEA segment includes accumulated impairment losses of $488 million as of January 1, 2012, and $551 million as of December 31, 2013. | ||||||||||||||||
(3) | Gross goodwill balances for the Asia Pacific (“APAC”) segment were $517 million as of January 1, 2012 and $480 million as of December 31, 2013. The APAC segment includes accumulated impairment losses of $64 million as of January 1, 2012 and $150 million as of December 31, 2013. |
INTANGIBLE_ASSETS_NET_Tables
INTANGIBLE ASSETS, NET (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Intangible Assets, Net | ' | ||||||||||||
The following table summarizes the Company’s carrying amount of intangible assets, net (in thousands): | |||||||||||||
December 31, 2012 | |||||||||||||
Gross Carrying | Accumulated | Net | |||||||||||
Amount | Amortization(*) | ||||||||||||
Customer, affiliate, and advertiser related relationships | $ | 162,389 | $ | (99,996 | ) | $ | 62,393 | ||||||
Developed technology and patents | 270,485 | (198,851 | ) | 71,634 | |||||||||
Trade names, trademarks, and domain names | 50,382 | (30,436 | ) | 19,946 | |||||||||
Total intangible assets, net | $ | 483,256 | $ | (329,283 | ) | $ | 153,973 | ||||||
December 31, 2013 | |||||||||||||
Gross Carrying | Accumulated | Net | |||||||||||
Amount | Amortization(*) | ||||||||||||
Customer, affiliate, and advertiser related relationships | $ | 293,612 | $ | (87,794 | ) | $ | 205,818 | ||||||
Developed technology and patents | 261,435 | (120,936 | ) | 140,499 | |||||||||
Trade names, trademarks, and domain names | 107,381 | (35,890 | ) | 71,491 | |||||||||
Total intangible assets, net | $ | 662,428 | $ | (244,620 | ) | $ | 417,808 | ||||||
(*) | Cumulative foreign currency translation adjustments, reflecting movement in the currencies of the underlying entities, increased total intangible assets by approximately $19 million as of both December 31, 2012 and 2013. |
BASIC_AND_DILUTED_NET_INCOME_A1
BASIC AND DILUTED NET INCOME ATTRIBUTABLE TO YAHOO! INC. COMMON STOCKHOLDERS PER SHARE (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Computation of Basic and Diluted Net Income Per Share | ' | ||||||||||||
The following table sets forth the computation of basic and diluted net income per share (in thousands, except per share amounts): | |||||||||||||
Years Ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Basic: | |||||||||||||
Numerator: | |||||||||||||
Net income attributable to Yahoo! Inc. | $ | 1,048,827 | $ | 3,945,479 | $ | 1,366,281 | |||||||
Less: Net income allocated to participating securities | (15 | ) | (56 | ) | (28 | ) | |||||||
Net income attributable to Yahoo! Inc. common stockholders—basic | $ | 1,048,812 | $ | 3,945,423 | $ | 1,366,253 | |||||||
Denominator: | |||||||||||||
Weighted average common shares | 1,274,240 | 1,192,775 | 1,052,705 | ||||||||||
Net income attributable to Yahoo! Inc. common stockholders per share—basic | $ | 0.82 | $ | 3.31 | $ | 1.3 | |||||||
Diluted: | |||||||||||||
Numerator: | |||||||||||||
Net income attributable to Yahoo! Inc. | $ | 1,048,827 | $ | 3,945,479 | $ | 1,366,281 | |||||||
Less: Net income allocated to participating securities | (14 | ) | (55 | ) | (28 | ) | |||||||
Less: Effect of dilutive securities issued by equity investees | (2,698 | ) | (4,920 | ) | (16,656 | ) | |||||||
Net income attributable to Yahoo! Inc. common stockholders—diluted | $ | 1,046,115 | $ | 3,940,504 | $ | 1,349,597 | |||||||
Denominator: | |||||||||||||
Denominator for basic calculation | 1,274,240 | 1,192,775 | 1,052,705 | ||||||||||
Weighted average effect of Yahoo! Inc. dilutive securities: | |||||||||||||
Restricted stock and restricted stock units | 5,347 | 8,403 | 14,097 | ||||||||||
Stock options and employee stock purchase plan | 2,695 | 1,728 | 4,009 | ||||||||||
Denominator for diluted calculation | 1,282,282 | 1,202,906 | 1,070,811 | ||||||||||
Net income attributable to Yahoo! Inc. common stockholders per share—diluted | $ | 0.82 | $ | 3.28 | $ | 1.26 | |||||||
INVESTMENTS_IN_EQUITY_INTEREST1
INVESTMENTS IN EQUITY INTERESTS (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Investments in Equity Interests | ' | ||||||||||||||||
As of December 31, investments in equity interests consisted of the following (dollars in thousands): | |||||||||||||||||
2012 | 2012 | 2013 | 2013 | ||||||||||||||
Percent | Percent | ||||||||||||||||
Ownership | Ownership | ||||||||||||||||
Alibaba Group | $ | 276,389 | 24 | % | $ | 1,018,126 | 24 | % | |||||||||
Yahoo Japan | 2,555,717 | 35 | % | 2,399,590 | 35 | % | |||||||||||
Other | 8,051 | 24 | % | 8,631 | 19 | % | |||||||||||
Total | $ | 2,840,157 | $ | 3,426,347 | |||||||||||||
Alibaba Group | ' | ||||||||||||||||
Condensed Financial Information | ' | ||||||||||||||||
The following table presents Alibaba Group’s U.S. GAAP financial information, as derived from the Alibaba Group financial statements (in thousands): | |||||||||||||||||
Twelve Months Ended September 30, | |||||||||||||||||
2011 | 2012 | 2013 | |||||||||||||||
Operating data: | |||||||||||||||||
Revenue | $ | 2,344,973 | $ | 4,082,838 | $ | 6,734,978 | |||||||||||
Gross profit | $ | 1,557,392 | $ | 2,764,314 | $ | 4,909,327 | |||||||||||
Income from operations | $ | 325,334 | $ | 687,632 | $ | 3,103,664 | |||||||||||
Net income | $ | 339,552 | $ | 536,050 | $ | 2,847,139 | |||||||||||
Net income attributable to Alibaba Group | $ | 268,004 | $ | 484,511 | $ | 2,809,429 | |||||||||||
September 30, | September 30, | ||||||||||||||||
2012 | 2013 | ||||||||||||||||
Balance sheet data: | |||||||||||||||||
Current assets | $ | 4,062,823 | $ | 7,994,731 | |||||||||||||
Long-term assets | $ | 3,204,144 | $ | 5,959,835 | |||||||||||||
Current liabilities | $ | 2,624,656 | $ | 4,838,510 | |||||||||||||
Long-term liabilities | $ | 4,705,347 | $ | 5,319,113 | |||||||||||||
Convertible preferred shares | $ | 1,317,526 | $ | 1,688,889 | |||||||||||||
Noncontrolling interests | $ | 65,907 | $ | 92,127 | |||||||||||||
Yahoo Japan | ' | ||||||||||||||||
Condensed Financial Information | ' | ||||||||||||||||
The following tables present summarized financial information derived from Yahoo Japan’s consolidated financial statements, which are prepared on the basis of Japanese GAAP. The Company has made adjustments to the Yahoo Japan financial information to address differences between Japanese GAAP and U.S. GAAP that materially impact the summarized financial information below. Due to these adjustments, the Yahoo Japan summarized financial information presented below is not materially different than such information presented on the basis of U.S. GAAP. | |||||||||||||||||
Twelve Months Ended September 30, | |||||||||||||||||
2011 | 2012 | 2013 | |||||||||||||||
Operating data: | |||||||||||||||||
Revenue | $ | 3,988,377 | $ | 4,242,623 | $ | 4,296,522 | |||||||||||
Gross profit | $ | 3,311,357 | $ | 3,594,633 | $ | 3,577,001 | |||||||||||
Income from operations | $ | 1,963,924 | $ | 2,189,323 | $ | 2,150,644 | |||||||||||
Net income | $ | 1,114,637 | $ | 1,313,494 | $ | 1,365,443 | |||||||||||
Net income attributable to Yahoo Japan | $ | 1,108,390 | $ | 1,308,539 | $ | 1,355,457 | |||||||||||
September 30, | |||||||||||||||||
2012 | 2013 | ||||||||||||||||
Balance sheet data: | |||||||||||||||||
Current assets | $ | 5,752,826 | $ | 6,318,156 | |||||||||||||
Long-term assets | $ | 1,837,829 | $ | 1,728,912 | |||||||||||||
Current liabilities | $ | 1,167,772 | $ | 1,992,508 | |||||||||||||
Long-term liabilities | $ | 49,461 | $ | 56,762 | |||||||||||||
Noncontrolling interests | $ | 31,034 | $ | 74,754 |
DERIVATIVE_FINANCIAL_INSTRUMEN1
DERIVATIVE FINANCIAL INSTRUMENTS (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Schedule of Foreign Exchange Contracts | ' | ||||||||||||||||||||||||
Foreign currency forward contracts activity for the year ended December 31, 2013 was as follows (in millions): | |||||||||||||||||||||||||
Beginning | Settlement | Gain (loss) | Gain (loss) | Gain | Ending fair | ||||||||||||||||||||
fair value | recorded in | recorded in | (loss) | value | |||||||||||||||||||||
other income, | other | recorded | |||||||||||||||||||||||
net | comprehensive | in | |||||||||||||||||||||||
income | revenue | ||||||||||||||||||||||||
Derivatives designated as hedging instruments: | |||||||||||||||||||||||||
Net investment hedges | $ | 3 | $ | (304 | ) | $ | — | $ | 510 | (1) | $ | — | $ | 209 | |||||||||||
Cash flow hedges | — | (2 | ) | 1 | 2 | (2) | 3 | (3) | 4 | ||||||||||||||||
Derivatives not designated as hedging instruments: | |||||||||||||||||||||||||
Balance sheet hedges | (5 | ) | 17 | (12 | ) | — | — | — | |||||||||||||||||
Forecasted revenue hedges | — | — | — | — | — | — | |||||||||||||||||||
(1) | This amount does not reflect the tax impact of $193 million recorded during the twelve months ended December 31, 2013. The $317 million after tax impact of the gain recorded under other comprehensive income was included in accumulated other comprehensive income on the Company’s consolidated balance sheets. | ||||||||||||||||||||||||
(2) | This amount does not reflect the tax impact of less than $1 million recorded during the twelve months ended December 31, 2013. The less than $1 million tax impact of the gain was included in accumulated other comprehensive income on the Company’s consolidated balance sheets. | ||||||||||||||||||||||||
(3) | This amount does not reflect the tax impact of $1 million recorded during the twelve months ended December 31, 2013. The $2 million after tax impact was included the consolidated statements of income. |
CONVERTIBLE_NOTES_Tables
CONVERTIBLE NOTES (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Schedule of Notes | ' | ||||||||
The Notes consist of the following (in thousands): | |||||||||
Year Ended | |||||||||
December 31, 2013 | |||||||||
Liability component: | |||||||||
Principal | $ | 1,437,500 | |||||||
Less: note discount | (326,915 | ) | |||||||
Net carrying amount | $ | 1,110,585 | |||||||
Equity component(*) | $ | 305,569 | |||||||
(*) | Recorded in the consolidated balance sheet within additional paid-in capital. | ||||||||
Interest Expense Recognized Related To Notes | ' | ||||||||
The following table sets forth total interest expense recognized related to the Notes (in thousands): | |||||||||
Year Ended | |||||||||
December 31, 2013 | |||||||||
Accretion of convertible note discount | $ | 4,846 | |||||||
Fair Value and Carrying Value of Notes | ' | ||||||||
As of December 31, the fair value of the Notes, which was determined based on inputs that are observable in the market (Level 2) and carrying value of debt instruments (carrying value excludes the equity component of the Company’s Notes classified in equity) was as follows: | |||||||||
2013 | |||||||||
Fair Value | Carrying Value | ||||||||
Convertible senior notes | $ | 1,111,473 | $ | 1,110,585 |
COMMITMENTS_AND_CONTINGENCIES_
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Lease Commitments | ' | ||||||||||||
Gross and net lease commitments as of December 31, 2013 can be summarized as follows (in millions): | |||||||||||||
Gross Operating | Sublease | Net Operating | |||||||||||
Lease Commitments | Income | Lease Commitments | |||||||||||
Years ending December 31, | |||||||||||||
2014 | $ | 141 | $ | (12 | ) | $ | 129 | ||||||
2015 | 109 | (9 | ) | 100 | |||||||||
2016 | 69 | (2 | ) | 67 | |||||||||
2017 | 55 | — | 55 | ||||||||||
2018 | 36 | — | 36 | ||||||||||
Due after 5 years | 122 | — | 122 | ||||||||||
Total gross and net lease commitments | $ | 532 | $ | (23 | ) | $ | 509 | ||||||
Capital Lease Commitment | ' | ||||||||||||
Capital | |||||||||||||
Lease Commitment | |||||||||||||
Years ending December 31, | |||||||||||||
2014 | $ | 15 | |||||||||||
2015 | 12 | ||||||||||||
2016 | 9 | ||||||||||||
2017 | 9 | ||||||||||||
2018 | 9 | ||||||||||||
Due after 5 years | 4 | ||||||||||||
Gross lease commitment | $ | 58 | |||||||||||
Less: interest | (14 | ) | |||||||||||
Net lease commitment included in capital lease and other long-term liabilities | $ | 44 |
EMPLOYEE_BENEFITS_Tables
EMPLOYEE BENEFITS (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Schedule of Stock Based Compensation Activity | ' | ||||||||||||||||||||||||
The Company’s 1995 Stock Plan, the Directors’ Plan, other stock-based awards assumed through acquisitions, and the Tumblr equity holdback are collectively referred to as the “Plans.” Stock option activity under the Plans for the year ended December 31, 2013 is summarized as follows (in thousands, except years and per share amounts): | |||||||||||||||||||||||||
Shares | Weighted Average | Weighted Average | Aggregate | ||||||||||||||||||||||
Exercise Price per | Remaining | Intrinsic Value | |||||||||||||||||||||||
Share | Contractual Life | ||||||||||||||||||||||||
(in years) | |||||||||||||||||||||||||
Outstanding at December 31, 2012 | 38,092 | $ | 21.42 | 4.19 | $ | 78,387 | |||||||||||||||||||
Options granted | 51 | $ | 29.32 | ||||||||||||||||||||||
Options assumed in acquisitions | 1,121 | $ | 7.39 | ||||||||||||||||||||||
Options exercised(1) | (13,707 | ) | $ | 20.32 | |||||||||||||||||||||
Options cancelled/forfeited | (1,198 | ) | $ | 15.13 | |||||||||||||||||||||
Options expired | (3,391 | ) | $ | 29.73 | |||||||||||||||||||||
Outstanding at December 31, 2013 | 20,968 | $ | 20.43 | 4.2 | $ | 428,414 | |||||||||||||||||||
Vested and expected to vest at December 31, 2013(2) | 19,701 | $ | 20.13 | 4.09 | $ | 400,054 | |||||||||||||||||||
Exercisable at December 31, 2013 | 10,696 | $ | 22.24 | 2.64 | $ | 194,676 | |||||||||||||||||||
(1) | The Company issued new shares to satisfy stock option exercises. | ||||||||||||||||||||||||
(2) | The expected to vest options are the result of applying the pre-vesting forfeiture rate assumptions to total outstanding options. | ||||||||||||||||||||||||
Schedule of Assumptions used to Calculate Fair Value of Options Granted and Shares Purchased in Employee Stock Purchase Plan | ' | ||||||||||||||||||||||||
The fair value of option grants is determined using the Black-Scholes option pricing model with the following weighted average assumptions: | |||||||||||||||||||||||||
Stock Options | Purchase Plan(5) | ||||||||||||||||||||||||
Years Ended December 31, | Years Ended December 31, | ||||||||||||||||||||||||
2011 | 2012 | 2013 | 2011 | 2012 | 2013 | ||||||||||||||||||||
Expected dividend yield(1) | 0 | % | 0 | % | 0 | % | 0 | % | 0 | % | 0 | % | |||||||||||||
Risk-free interest rate(2) | 1.3 | % | 0.6 | % | 0.7 | % | 0.4 | % | 0.4 | % | 0.1 | % | |||||||||||||
Expected volatility(3) | 36.9 | % | 31.9 | % | 33.3 | % | 35.6 | % | 33.7 | % | 31.7 | % | |||||||||||||
Expected life (in years)(4) | 4.03 | 4.02 | 3.6 | 1.04 | 1.21 | 0.25 | |||||||||||||||||||
(1) | The Company currently has no history or expectation of paying cash dividends on its common stock in the near future. | ||||||||||||||||||||||||
(2) | The risk-free interest rate is based on the U.S. Treasury yield for a term consistent with the expected term of the awards in effect at the time of grant. | ||||||||||||||||||||||||
(3) | The Company estimates the volatility of its common stock at the date of grant based on the implied volatility of publicly traded options on its common stock, with a term of one year or greater. | ||||||||||||||||||||||||
(4) | The expected life of stock options granted under the Plans is based on historical exercise patterns, which the Company believes are representative of future behavior. New grants issued by the Company had an expected life of 4.25 years in 2011, 4.00 years in 2012, and 2.58 years in 2013. Options assumed in acquisitions had expected lives of less than 4 years. | ||||||||||||||||||||||||
(5) | Assumptions for the Employee Stock Purchase Plan relate to the annual average of the enrollment periods. During the year ended December 31, 2012, enrollment was permitted in May and November of each year. Beginning in 2013, enrollment was permitted in February, May, August, and November of each year. | ||||||||||||||||||||||||
Schedule of Restricted Stock Awards and Restricted Stock Units Activity | ' | ||||||||||||||||||||||||
Restricted stock awards activity under the Plans for the year ended December 31, 2013 is summarized as follows (in thousands, except per share amounts): | |||||||||||||||||||||||||
Shares | Weighted Average | ||||||||||||||||||||||||
Grant Date Fair Value | |||||||||||||||||||||||||
Per Share | |||||||||||||||||||||||||
Awarded and unvested at December 31, 2012 | 33,801 | $ | 17.63 | ||||||||||||||||||||||
Granted(*) | 34,835 | $ | 25.55 | ||||||||||||||||||||||
Assumed in acquisitions | 2,364 | $ | 26.24 | ||||||||||||||||||||||
Vested | (14,187 | ) | $ | 15.49 | |||||||||||||||||||||
Forfeited | (7,229 | ) | $ | 17.74 | |||||||||||||||||||||
Awarded and unvested at December 31, 2013 | 49,584 | $ | 24.2 | ||||||||||||||||||||||
(*) | Includes the maximum number of shares issuable under the Company’s performance-based restricted stock unit awards |
RESTRUCTURING_CHARGES_NET_Tabl
RESTRUCTURING CHARGES, NET (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Restructuring Charges, Net | ' | ||||||||||||||||||||
For the years ended December 31, 2011, 2012, and 2013, restructuring charges, net was comprised of the following (in thousands): | |||||||||||||||||||||
Year Ended | Year Ended December 31, 2012 | ||||||||||||||||||||
December 31, | |||||||||||||||||||||
2011 | |||||||||||||||||||||
Restructuring | Restructuring | Q2’12 | Q4’12 | Total | |||||||||||||||||
Plans Prior | Plans Prior | Restructuring | Korea Business | ||||||||||||||||||
to | to | Plan | Closure | ||||||||||||||||||
2012 | 2012 | ||||||||||||||||||||
Employee severance pay and related costs | $ | 12,965 | $ | 1,169 | $ | 96,537 | $ | 4,998 | $ | 102,704 | |||||||||||
Non-cancelable lease, contract terminations, and other charges | 10,251 | 8,462 | 9,541 | 8,996 | 26,999 | ||||||||||||||||
Other non-cash charges, net | 990 | — | 40,462 | 69,434 | 109,896 | ||||||||||||||||
Sub-total before accelerations (reversals) of stock-based compensation expense | 24,206 | 9,631 | 146,540 | 83,428 | 239,599 | ||||||||||||||||
Accelerations (reversals) of stock-based compensation expense | 214 | — | (3,429 | ) | — | (3,429 | ) | ||||||||||||||
Restructuring charges, net | $ | 24,420 | $ | 9,631 | $ | 143,111 | $ | 83,428 | $ | 236,170 | |||||||||||
Year Ended December 31, 2013 | |||||||||||||||||||||
Restructuring | Q2’12 | Q4’12 | Q4’13 | Total | |||||||||||||||||
Plans Prior to | Restructuring | Korea Business | Restructuring | ||||||||||||||||||
2012 | Plan | Closure | Plan | ||||||||||||||||||
Employee severance pay and related costs (reversals) | $ | (459 | ) | $ | (15,401 | ) | $ | (103 | ) | $ | 5,144 | $ | (10,819 | ) | |||||||
Non-cancelable lease, contract terminations, and other charges | 13,894 | 164 | (20 | ) | — | 14,038 | |||||||||||||||
Other non-cash charges | — | — | 547 | — | 547 | ||||||||||||||||
Restructuring charges (reversal), net | $ | 13,435 | $ | (15,237 | ) | $ | 424 | $ | 5,144 | $ | 3,766 | ||||||||||
Restructuring Accruals By Segment | ' | ||||||||||||||||||||
For the years ended December 31, 2011, 2012, and 2013, restructuring charges, net consists of the following (in thousands): | |||||||||||||||||||||
Year Ended | |||||||||||||||||||||
December 31, 2011 | |||||||||||||||||||||
Restructuring Plans | |||||||||||||||||||||
Prior to 2012 | |||||||||||||||||||||
Americas | $ | 22,244 | |||||||||||||||||||
EMEA | 952 | ||||||||||||||||||||
Asia Pacific | 1,224 | ||||||||||||||||||||
Restructuring charges, net | $ | 24,420 | |||||||||||||||||||
Year Ended December 31, 2012 | |||||||||||||||||||||
Restructuring | Q2’12 | Q4’12 | Total | ||||||||||||||||||
Plans Prior to | Restructuring | Korea Business | |||||||||||||||||||
2012 | Plan | Closure | |||||||||||||||||||
Americas | $ | 9,834 | $ | 92,789 | $ | — | $ | 102,623 | |||||||||||||
EMEA | (617 | ) | 45,977 | — | 45,360 | ||||||||||||||||
Asia Pacific | 414 | 4,345 | 83,428 | 88,187 | |||||||||||||||||
Restructuring charges, net | $ | 9,631 | $ | 143,111 | $ | 83,428 | $ | 236,170 | |||||||||||||
Year Ended December 31, 2013 | |||||||||||||||||||||
Restructuring | Q2’12 | Q4’12 | Q4’13 | Total | |||||||||||||||||
Plans Prior to | Restructuring | Korea Business | Restructuring | ||||||||||||||||||
2012 | Plan | Closure | Plan | ||||||||||||||||||
Americas | $ | 8,212 | $ | (7,641 | ) | $ | — | $ | — | $ | 571 | ||||||||||
EMEA | 4,716 | (6,998 | ) | — | 5,144 | 2,862 | |||||||||||||||
Asia Pacific | 507 | (598 | ) | 424 | — | 333 | |||||||||||||||
Restructuring charges, net | $ | 13,435 | $ | (15,237 | ) | $ | 424 | $ | 5,144 | $ | 3,766 | ||||||||||
Restructuring Accrual Activity | ' | ||||||||||||||||||||
The activity in the Company’s restructuring accruals for the years ended December 31, 2012 and 2013 is summarized as follows (in thousands): | |||||||||||||||||||||
Restructuring | Q2’12 | Q4’12 | Q4’13 | Total | |||||||||||||||||
Plans Prior to | Restructuring | Korea Business | Restructuring | ||||||||||||||||||
2012 | Plan | Closure | Plan | ||||||||||||||||||
Balance as of January 1, 2012 | $ | 49,127 | $ | — | $ | — | $ | — | $ | 49,127 | |||||||||||
Employee severance pay and related costs | 5,924 | 128,701 | 4,998 | — | 139,623 | ||||||||||||||||
Non-cash reversals of stock-based compensation expense | — | (3,429 | ) | — | — | (3,429 | ) | ||||||||||||||
Non-cancelable lease, contract termination, and other charges | 8,792 | 9,997 | 8,996 | — | 27,785 | ||||||||||||||||
Other non-cash charges, net | — | 40,462 | 69,434 | — | 109,896 | ||||||||||||||||
Changes in estimates and reversals of previous charges | (5,085 | ) | (32,620 | ) | — | — | (37,705 | ) | |||||||||||||
Restructuring charges, net for the year ended December 31, 2012 | $ | 9,631 | $ | 143,111 | $ | 83,428 | $ | — | $ | 236,170 | |||||||||||
Cash paid | (30,746 | ) | (68,018 | ) | (4,307 | ) | — | (103,071 | ) | ||||||||||||
Non-cash reversals of stock-based compensation expense | — | 3,429 | — | — | 3,429 | ||||||||||||||||
Other non-cash charges, net | (232 | ) | (40,148 | ) | (69,157 | ) | — | (109,537 | ) | ||||||||||||
Foreign currency | (64 | ) | (3,325 | ) | 138 | — | (3,251 | ) | |||||||||||||
Balance as of December 31, 2012 | $ | 27,716 | $ | 35,049 | $ | 10,102 | $ | — | $ | 72,867 | |||||||||||
Employee severance pay and related costs | 28 | 6,722 | 443 | 5,144 | 12,337 | ||||||||||||||||
Non-cancelable lease, contract termination, and other charges | 14,407 | 164 | 1,251 | — | 15,822 | ||||||||||||||||
Other non-cash charges | — | — | 547 | — | 547 | ||||||||||||||||
Changes in estimates and reversals of previous charges | (1,000 | ) | (22,123 | ) | (1,817 | ) | — | (24,940 | ) | ||||||||||||
Restructuring charges (reversals), net for the year ended December 31, 2013 | $ | 13,435 | $ | (15,237 | ) | $ | 424 | $ | 5,144 | $ | 3,766 | ||||||||||
Cash paid | (19,082 | ) | (16,829 | ) | (9,471 | ) | (624 | ) | (46,006 | ) | |||||||||||
Other non-cash charges | — | — | (547 | ) | — | (547 | ) | ||||||||||||||
Foreign currency | 280 | (218 | ) | (171 | ) | 125 | 16 | ||||||||||||||
Balance as of December 31, 2013 | $ | 22,349 | $ | 2,765 | $ | 337 | $ | 4,645 | $ | 30,096 | |||||||||||
Restructuring Accruals by Balance Sheet Classification | ' | ||||||||||||||||||||
As of December 31, restructuring accruals were included in the Company’s consolidated balance sheets as follows (in thousands): | |||||||||||||||||||||
2012 | 2013 | ||||||||||||||||||||
Accrued expenses and other current liabilities | $ | 57,642 | $ | 21,741 | |||||||||||||||||
Capital lease and other long-term liabilities | 15,225 | 8,355 | |||||||||||||||||||
Total restructuring accruals | $ | 72,867 | $ | 30,096 | |||||||||||||||||
Restructuring Accruals by Segment | ' | ||||||||||||||||||||
As of December 31, restructuring accruals by segment consisted of the following (in thousands): | |||||||||||||||||||||
2012 | 2013 | ||||||||||||||||||||
Americas | $ | 42,689 | $ | 18,078 | |||||||||||||||||
EMEA | 18,144 | 11,284 | |||||||||||||||||||
Asia Pacific | 12,034 | 734 | |||||||||||||||||||
Total restructuring accruals | $ | 72,867 | $ | 30,096 | |||||||||||||||||
INCOME_TAXES_Tables
INCOME TAXES (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Schedule Of Components Of Income Before Income Taxes And Earnings In Equity Interests | ' | ||||||||||||
The components of income before income taxes and earnings in equity interests are as follows (in thousands): | |||||||||||||
Years Ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
United States | $ | 533,262 | $ | 5,056,643 | $ | 538,824 | |||||||
Foreign | 294,254 | 157,564 | 94,459 | ||||||||||
Income before income taxes and earnings in equity interests | $ | 827,516 | $ | 5,214,207 | $ | 633,283 | |||||||
Schedule Of Provision (Benefit) For Income Taxes | ' | ||||||||||||
The provision for income taxes is composed of the following (in thousands): | |||||||||||||
Years Ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Current: | |||||||||||||
United States federal | $ | 141,922 | $ | 2,278,759 | $ | 138,032 | |||||||
State | (11,037 | ) | 361,788 | 49,872 | |||||||||
Foreign | 40,490 | 68,816 | 49,790 | ||||||||||
Total current provision for income taxes | 171,375 | 2,709,363 | 237,694 | ||||||||||
Deferred: | |||||||||||||
United States federal | 77,012 | (741,628 | ) | (63,166 | ) | ||||||||
State | (4,437 | ) | (29,470 | ) | (22,498 | ) | |||||||
Foreign | (2,183 | ) | 1,778 | 1,362 | |||||||||
Total deferred provision (benefit) for income taxes | 70,392 | (769,320 | ) | (84,302 | ) | ||||||||
Provision for income taxes | $ | 241,767 | $ | 1,940,043 | $ | 153,392 | |||||||
Schedule Of Effective Income Tax Rate Reconciliation | ' | ||||||||||||
The provision for income taxes differs from the amount computed by applying the federal statutory income tax rate to income before income taxes and earnings in equity interests as follows (in thousands): | |||||||||||||
Years Ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Income tax at the U.S. federal statutory rate of 35 percent | $ | 289,630 | $ | 1,824,973 | $ | 221,648 | |||||||
State income taxes, net of federal benefit | 4,627 | 237,637 | 23,000 | ||||||||||
Stock-based compensation expense | 20,021 | 19,946 | 16,015 | ||||||||||
Research tax credits | (10,499 | ) | — | (18,036 | ) | ||||||||
Effect of non-U.S. operations | (49,781 | ) | (138,078 | ) | (47,968 | ) | |||||||
Settlement with tax authorities | (14,685 | ) | (4,711 | ) | (46,943 | ) | |||||||
Remeasurement of prior year tax positions | — | — | (24,246 | ) | |||||||||
Acquisition related non-deductible expenses | — | 1,894 | 9,296 | ||||||||||
Goodwill impairment charge | — | — | 22,244 | ||||||||||
Other | 2,454 | (1,618 | ) | (1,618 | ) | ||||||||
Provision for income taxes | $ | 241,767 | $ | 1,940,043 | $ | 153,392 | |||||||
Schedule Of Deferred Tax Assets And Liabilities | ' | ||||||||||||
Deferred income taxes reflect the tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. The components of deferred income tax assets and liabilities are as follows (in thousands): | |||||||||||||
December 31, | |||||||||||||
2012 | 2013 | ||||||||||||
Deferred income tax assets: | |||||||||||||
Net operating loss and tax credit carryforwards | $ | 219,054 | $ | 148,060 | |||||||||
Stock-based compensation expense | 81,910 | 66,583 | |||||||||||
Non-deductible reserves and expenses | 265,751 | 431,374 | |||||||||||
Depreciation expense | 21,386 | 22,937 | |||||||||||
Unrealized investment gains | 3,584 | 2,878 | |||||||||||
Intangible assets | 5,861 | 7,764 | |||||||||||
Gross deferred income tax assets | 597,546 | 679,596 | |||||||||||
Valuation allowance | (51,503 | ) | (36,690 | ) | |||||||||
Deferred income tax assets | $ | 546,043 | $ | 642,906 | |||||||||
Deferred income tax liabilities: | |||||||||||||
Purchased intangible assets | (29,960 | ) | (156,435 | ) | |||||||||
Depreciation expense | (118,808 | ) | (86,641 | ) | |||||||||
Investments in equity interests | (13,120 | ) | (323,368 | ) | |||||||||
Restructuring liabilities | (6,547 | ) | (7,235 | ) | |||||||||
Deferred income tax liabilities | $ | (168,435 | ) | $ | (573,679 | ) | |||||||
Net deferred income tax assets | $ | 377,608 | $ | 69,227 | |||||||||
Reconciliation Of Beginning And Ending Amount Of Unrecognized Tax Benefits | ' | ||||||||||||
The total amount of gross unrecognized tax benefits was $695 million as of December 31, 2013, of which up to $466 million would affect the Company’s effective tax rate if realized. A reconciliation of the beginning and ending amount of unrecognized tax benefits in 2012 and 2013 is as follows (in thousands): | |||||||||||||
2012 | 2013 | ||||||||||||
Unrecognized tax benefits balance at January 1 | $ | 532,862 | $ | 727,367 | |||||||||
Gross increase for tax positions of prior years | 9,441 | 69,188 | |||||||||||
Gross decrease for tax positions of prior years | (32,513 | ) | (40,298 | ) | |||||||||
Gross increase for tax positions of current year | 231,525 | 34,556 | |||||||||||
Settlements | (10,520 | ) | (94,640 | ) | |||||||||
Lapse of statute of limitations | (3,428 | ) | (888 | ) | |||||||||
Unrecognized tax benefits balance at December 31 | $ | 727,367 | $ | 695,285 | |||||||||
Summary Of Remaining Balances Of Unrecognized Tax Benefits | ' | ||||||||||||
The remaining balances are recorded on the Company’s consolidated balance sheets as follows (in thousands): | |||||||||||||
December 31, | |||||||||||||
2012 | 2013 | ||||||||||||
Total unrecognized tax benefits balance | $ | 727,367 | $ | 695,285 | |||||||||
Amounts netted against related deferred tax assets | (83,635 | ) | (89,048 | ) | |||||||||
Unrecognized tax benefits recorded on consolidated balance sheets | $ | 643,732 | $ | 606,237 | |||||||||
Amounts classified as accrued expenses and other current liabilities | $ | 30,484 | $ | — | |||||||||
Amounts classified as deferred and other long-term tax liabilities, net | 613,248 | 606,237 | |||||||||||
Unrecognized tax benefits recorded on consolidated balance sheets | $ | 643,732 | $ | 606,237 | |||||||||
SEGMENTS_Tables
SEGMENTS (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Segment Information | ' | ||||||||||||
The following tables present summarized information by segment (in thousands): | |||||||||||||
Years Ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Revenue by segment: | |||||||||||||
Americas | $ | 3,302,989 | $ | 3,461,633 | $ | 3,481,502 | |||||||
EMEA | 629,383 | 472,061 | 385,186 | ||||||||||
Asia Pacific | 1,051,827 | 1,052,872 | 813,692 | ||||||||||
Total revenue | 4,984,199 | 4,986,566 | 4,680,380 | ||||||||||
TAC by segment: | |||||||||||||
Americas | 160,110 | 182,511 | 158,974 | ||||||||||
EMEA | 221,916 | 114,230 | 42,915 | ||||||||||
Asia Pacific | 221,345 | 222,165 | 52,553 | ||||||||||
Total TAC | 603,371 | 518,906 | 254,442 | ||||||||||
Revenue ex-TAC by segment: | |||||||||||||
Americas | 3,142,879 | 3,279,122 | 3,322,528 | ||||||||||
EMEA | 407,467 | 357,831 | 342,271 | ||||||||||
Asia Pacific | 830,482 | 830,707 | 761,139 | ||||||||||
Total revenue ex-TAC | 4,380,828 | 4,467,660 | 4,425,938 | ||||||||||
Direct costs by segment(1): | |||||||||||||
Americas | 696,103 | 733,316 | 747,684 | ||||||||||
EMEA | 165,750 | 161,990 | 165,719 | ||||||||||
Asia Pacific | 225,417 | 224,114 | 197,619 | ||||||||||
Global operating costs(2)(3) | 1,638,975 | 1,672,070 | 1,830,621 | ||||||||||
Depreciation and amortization | 625,864 | 649,267 | 628,778 | ||||||||||
Goodwill impairment charge | — | — | 63,555 | ||||||||||
Gains on sales of patents | — | — | (79,950 | ) | |||||||||
Stock-based compensation expense | 203,958 | 224,365 | 278,220 | ||||||||||
Restructuring charges, net | 24,420 | 236,170 | 3,766 | ||||||||||
Income from operations | $ | 800,341 | $ | 566,368 | $ | 589,926 | |||||||
(1) | Direct costs for each segment include cost of revenue-other, as well as other operating expenses that are directly attributable to the segment such as employee compensation expense (excluding stock-based compensation expense), local sales and marketing expenses, and facilities expenses. Beginning in 2012, marketing and customer experience costs are managed locally and included as direct costs for each segment. Prior period amounts have been revised to conform to the current presentation. | ||||||||||||
(2) | Global operating costs include product development, service engineering and operations, general and administrative, and other corporate expenses that are managed on a global basis and that are not directly attributable to any particular segment. Prior to 2012, marketing and customer experience costs were managed on a global basis and included as global operating costs. Prior period amounts have been revised to conform to the current presentation. | ||||||||||||
(3) | The net cost reimbursements from Microsoft pursuant to the Search Agreement are primarily included in global operating costs. | ||||||||||||
Capital Expenditures by Segment | ' | ||||||||||||
Years Ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Capital expenditures, net: | |||||||||||||
Americas | $ | 437,804 | $ | 437,978 | $ | 309,215 | |||||||
EMEA | 49,371 | 27,074 | 11,435 | ||||||||||
Asia Pacific | 106,119 | 40,455 | 17,481 | ||||||||||
Total capital expenditures, net | $ | 593,294 | $ | 505,507 | $ | 338,131 | |||||||
Property and Equipment Net | ' | ||||||||||||
December 31, | |||||||||||||
2012 | 2013 | ||||||||||||
Property and equipment, net: | |||||||||||||
Americas: | |||||||||||||
U.S. | $ | 1,483,225 | $ | 1,346,889 | |||||||||
Other. | 1,869 | 1,183 | |||||||||||
Total Americas | $ | 1,485,094 | $ | 1,348,072 | |||||||||
EMEA | 59,416 | 44,976 | |||||||||||
Asia Pacific | 141,335 | 95,470 | |||||||||||
Total property and equipment, net | $ | 1,685,845 | $ | 1,488,518 | |||||||||
Enterprise Wide Disclosures Revenues for Groups of Similar Services | ' | ||||||||||||
Years Ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Display | $ | 2,160,309 | $ | 2,142,818 | $ | 1,949,830 | |||||||
Search | 1,853,110 | 1,885,860 | 1,741,791 | ||||||||||
Other | 970,780 | 957,888 | 988,759 | ||||||||||
Total revenue | $ | 4,984,199 | $ | 4,986,566 | $ | 4,680,380 | |||||||
Years Ended December 31, | |||||||||||||
2011 | 2012 | 2013 | |||||||||||
Revenue: | |||||||||||||
U.S. | $ | 3,112,998 | $ | 3,294,206 | $ | 3,317,794 | |||||||
International | 1,871,201 | 1,692,360 | 1,362,586 | ||||||||||
Total revenue | $ | 4,984,199 | $ | 4,986,566 | $ | 4,680,380 | |||||||
Selected_Quarterly_Financial_D1
Selected Quarterly Financial Data (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
Schedule of Selected Quarterly Financial Data | ' | ||||||||||||||||||||||||||||||||
Selected Quarterly Financial Data | |||||||||||||||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||||||||||||||
Quarters Ended | |||||||||||||||||||||||||||||||||
March 31, | June 30, | September 30, | December 31, | March 31, | June 30, | September 30, | December 31, | ||||||||||||||||||||||||||
2012(1) | 2012(2) | 2012(3) | 2012(4) | 2013(5) | 2013(6) | 2013(7) | 2013(8) | ||||||||||||||||||||||||||
(In thousands, except per share amounts) | |||||||||||||||||||||||||||||||||
Revenue | $ | 1,221,233 | $ | 1,217,794 | $ | 1,201,732 | $ | 1,345,807 | $ | 1,140,368 | $ | 1,135,244 | $ | 1,138,973 | $ | 1,265,795 | |||||||||||||||||
Total operating expenses | $ | 1,051,857 | $ | 1,162,981 | $ | 1,049,543 | $ | 1,155,817 | $ | 954,398 | $ | 998,265 | $ | 1,046,214 | $ | 1,091,577 | |||||||||||||||||
Income from operations | $ | 169,376 | $ | 54,813 | $ | 152,189 | $ | 189,990 | $ | 185,970 | $ | 136,979 | $ | 92,759 | $ | 174,218 | |||||||||||||||||
Other income, net | $ | 2,278 | $ | 20,175 | $ | 4,607,656 | $ | 17,730 | $ | 17,072 | $ | 23,606 | $ | 5,370 | $ | (2,691 | ) | ||||||||||||||||
Provision for income taxes | $ | (56,419 | ) | $ | (26,523 | ) | $ | (1,774,094 | ) | $ | (83,007 | ) | $ | (29,736 | ) | $ | (50,267 | ) | $ | (31,891 | ) | $ | (41,498 | ) | |||||||||
Earnings in equity interests | $ | 172,243 | $ | 179,991 | $ | 175,265 | $ | 148,939 | $ | 217,588 | $ | 224,690 | $ | 232,756 | $ | 221,641 | |||||||||||||||||
Net income attributable to Yahoo! Inc. | $ | 286,343 | $ | 226,631 | $ | 3,160,238 | $ | 272,267 | $ | 390,285 | $ | 331,150 | $ | 296,656 | $ | 348,190 | |||||||||||||||||
Net income attributable to Yahoo! Inc. common stockholders per share—basic | $ | 0.24 | $ | 0.19 | $ | 2.66 | $ | 0.24 | $ | 0.36 | $ | 0.31 | $ | 0.29 | $ | 0.34 | |||||||||||||||||
Net income attributable to Yahoo! Inc. common stockholders per share—diluted | $ | 0.23 | $ | 0.18 | $ | 2.64 | $ | 0.23 | $ | 0.35 | $ | 0.3 | $ | 0.28 | $ | 0.33 | |||||||||||||||||
Shares used in per share calculation— basic | 1,215,783 | 1,213,320 | 1,186,046 | 1,155,950 | 1,094,170 | 1,079,389 | 1,024,289 | 1,012,972 | |||||||||||||||||||||||||
Shares used in per share calculation— diluted | 1,226,486 | 1,221,719 | 1,195,085 | 1,168,336 | 1,108,095 | 1,094,694 | 1,041,698 | 1,038,754 | |||||||||||||||||||||||||
(1) | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2012 includes net restructuring charges of $6 million. | ||||||||||||||||||||||||||||||||
(2) | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2012 includes net restructuring charges of $129 million. | ||||||||||||||||||||||||||||||||
(3) | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2012 includes net restructuring charges of $25 million and pre-tax gain of $4.6 billion related to the sale of Alibaba Group Shares, which is included in other income, net. | ||||||||||||||||||||||||||||||||
(4) | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2012 includes a one-time distribution of foreign earnings resulting in an overall net benefit of approximately $117 million and net restructuring charges of $77 million. | ||||||||||||||||||||||||||||||||
(5) | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2013 includes net restructuring reversals of $7 million. | ||||||||||||||||||||||||||||||||
(6) | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2013 includes net restructuring charges of $4 million. | ||||||||||||||||||||||||||||||||
(7) | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2013 includes net restructuring reversals of less than $1 million. | ||||||||||||||||||||||||||||||||
(8) | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2013 includes a gain on sale of patents of $70 million, a goodwill impairment charge of $64 million, and net restructuring charges of $8 million. |
Company_and_Summary_of_Signifi
Company and Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||
Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||
Customer | Customer | Customer | Customer | ||
Organization and Summary of Significant Accounting Policies [Line Items] | ' | ' | ' | ' | |
Number of users | ' | 800,000,000 | ' | ' | |
Number of customers that accounted for more than 10% of accounts receivable balance | 0 | 0 | 0 | ' | |
Number of customers that accounted for more than 10% of revenue during the period | ' | 0 | 0 | 0 | |
Foreign currency translation gain | ' | ' | ' | $9,000,000 | |
Foreign currency translation loss | ' | 6,000,000 | 1,000,000 | ' | |
Buildings estimated useful life, years | ' | '25 | ' | ' | |
Capitalized software and labor costs | ' | 130,000,000 | 180,000,000 | 192,000,000 | |
Amortization of capitalized cost total | ' | 175,000,000 | 142,000,000 | 114,000,000 | |
Capitalized amount of stock-based compensation | ' | 16,000,000 | 24,000,000 | 22,000,000 | |
Goodwill impairment charge | 63,555,000 | 63,555,000 | ' | ' | |
Gain on sale of patents | 70,000,000 | 79,950,000 | ' | ' | |
Proceeds from the sale of patents | 70,000,000 | 79,950,000 | ' | ' | |
Capital lease period maximum | ' | '12 years | ' | ' | |
Interest expense on lease | ' | 5,000,000 | 5,000,000 | 5,000,000 | |
Net lease obligations | 44,000,000 | 44,000,000 | 37,000,000 | ' | |
Income taxes paid | ' | 208,000,000 | 2,300,000,000 | 96,000,000 | |
Revenue share rate from Microsoft's services under the Search Agreement, to be received in first five years | ' | 88.00% | ' | ' | |
Advertising expense total | ' | 128,000,000 | 103,000,000 | 148,000,000 | |
EMEA | ' | ' | ' | ' | |
Organization and Summary of Significant Accounting Policies [Line Items] | ' | ' | ' | ' | |
Goodwill impairment charge | ' | 63,555,000 | [1] | ' | ' |
EMEA | Middle East | ' | ' | ' | ' | |
Organization and Summary of Significant Accounting Policies [Line Items] | ' | ' | ' | ' | |
Goodwill impairment charge | $63,555,000 | ' | ' | ' | |
Minimum | ' | ' | ' | ' | |
Organization and Summary of Significant Accounting Policies [Line Items] | ' | ' | ' | ' | |
Computers and equipment and furniture and fixtures estimated useful life, years | ' | '3 years | ' | ' | |
Amortizable intangible assets, useful life, years | ' | '1 year | ' | ' | |
Vesting period, years | ' | '1 year | ' | ' | |
Maximum | ' | ' | ' | ' | |
Organization and Summary of Significant Accounting Policies [Line Items] | ' | ' | ' | ' | |
Computers and equipment and furniture and fixtures estimated useful life, years | ' | '5 years | ' | ' | |
Amortizable intangible assets, useful life, years | ' | '8 years | ' | ' | |
Vesting period, years | ' | '4 years | ' | ' | |
Capitalized Software And Labor | Minimum | ' | ' | ' | ' | |
Organization and Summary of Significant Accounting Policies [Line Items] | ' | ' | ' | ' | |
Amortizable intangible assets, useful life, years | ' | '1 year | ' | ' | |
Capitalized Software And Labor | Maximum | ' | ' | ' | ' | |
Organization and Summary of Significant Accounting Policies [Line Items] | ' | ' | ' | ' | |
Amortizable intangible assets, useful life, years | ' | '3 years | ' | ' | |
[1] | Gross goodwill balances for the EMEA segment were $1.1 billion as of both January 1, 2012 and December 31, 2013. The EMEA segment includes accumulated impairment losses of $488 million as of January 1, 2012, and $551 million as of December 31, 2013. |
Investments_in_Available_for_S
Investments in Available for Sale Securities (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Gross Amortized Costs | $2,918,761 | $4,169,176 |
Gross Unrealized Gains | 2,743 | 2,582 |
Gross Unrealized Losses | -1,317 | -700 |
Estimated Fair Value, Total investments in available-for-sale securities | 2,920,187 | 4,171,058 |
Government and agency securities | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Gross Amortized Costs | 538,397 | 1,312,876 |
Gross Unrealized Gains | 65 | 985 |
Gross Unrealized Losses | -101 | -45 |
Estimated Fair Value, Total investments in available-for-sale securities | 538,361 | 1,313,816 |
Corporate Debt Securities, Commercial Paper, And Bank Certificates Of Deposit | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Gross Amortized Costs | 2,380,134 | 2,039,809 |
Gross Unrealized Gains | 2,525 | 1,597 |
Gross Unrealized Losses | -1,216 | -622 |
Estimated Fair Value, Total investments in available-for-sale securities | 2,381,443 | 2,040,784 |
Corporate Equity And Other Marketable Securities | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Gross Amortized Costs | 230 | 230 |
Gross Unrealized Gains | 153 | ' |
Gross Unrealized Losses | ' | -33 |
Estimated Fair Value, Total investments in available-for-sale securities | 383 | 197 |
Redeemable Preferred Stock | Alibaba Group | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Gross Amortized Costs | ' | 816,261 |
Estimated Fair Value, Total investments in available-for-sale securities | ' | $816,261 |
Available_for_Sale_Securities_
Available for Sale Securities by Balance Sheet Location (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Short-term marketable securities | $1,330,304 | $1,516,175 |
Long-term marketable securities | 1,589,500 | 1,838,425 |
Other assets | 383 | 197 |
Total | 2,920,187 | 4,171,058 |
Redeemable Preferred Stock | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Alibaba Group Preference Shares | ' | $816,261 |
Available_for_Sale_Securities_1
Available for Sale Securities by Contractual Maturities (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Investments Classified by Contractual Maturity Date [Line Items] | ' | ' |
Due within one year | $1,330,304 | $1,516,175 |
Due after one year through five years | 1,589,500 | 1,838,425 |
Total available-for-sale marketable securities | $2,919,804 | $3,354,600 |
Investments_in_Unrealized_Loss
Investments in Unrealized Loss Position (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Less than 12 Months, Fair Value | $960,464 | $894,268 |
Less than 12 Months, Unrealized Loss | -1,315 | -700 |
12 Months or Greater, Fair Value | 3,833 | ' |
12 Months or Greater, Unrealized Loss | -2 | ' |
Total, Fair Value | 964,297 | 894,268 |
Total, Unrealized Loss | -1,317 | -700 |
Government and agency securities | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Less than 12 Months, Fair Value | 263,514 | 165,025 |
Less than 12 Months, Unrealized Loss | -101 | -45 |
Total, Fair Value | 263,514 | 165,025 |
Total, Unrealized Loss | -101 | -45 |
Corporate Debt Securities, Commercial Paper, And Bank Certificates Of Deposit | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Less than 12 Months, Fair Value | 696,950 | 729,046 |
Less than 12 Months, Unrealized Loss | -1,214 | -622 |
12 Months or Greater, Fair Value | 3,833 | ' |
12 Months or Greater, Unrealized Loss | -2 | ' |
Total, Fair Value | 700,783 | 729,046 |
Total, Unrealized Loss | -1,216 | -622 |
Corporate Equity Securities | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Less than 12 Months, Fair Value | ' | 197 |
Less than 12 Months, Unrealized Loss | ' | -33 |
Total, Fair Value | ' | 197 |
Total, Unrealized Loss | ' | ($33) |
Investment_and_Fair_Value_Meas
Investment and Fair Value Measurements - Additional Information (Detail) (USD $) | 1 Months Ended | 12 Months Ended | |
16-May-13 | Dec. 31, 2013 | Dec. 31, 2012 | |
Cash And Cash Equivalents And Investments [Line Items] | ' | ' | ' |
Proceeds related to the redemption of Alibaba Group Preference Shares | ' | $800,000,000 | ' |
Dividend income related to Preference Shares | ' | 35,726,000 | 20,000,000 |
Cash deposited with commercial banks | ' | 569,000,000 | 597,000,000 |
Convertible Senior Notes | ' | ' | ' |
Cash And Cash Equivalents And Investments [Line Items] | ' | ' | ' |
Principal amount | ' | 1,437,500,000 | ' |
Convertible senior notes percent | ' | 0.00% | ' |
Maturity year of convertible senior notes | ' | '2018 | ' |
Fair Value Measurements At Reporting Date Using Level 2 | Convertible Senior Notes | ' | ' | ' |
Cash And Cash Equivalents And Investments [Line Items] | ' | ' | ' |
Fair value of the convertible senior notes | ' | 1,111,473,000 | ' |
Alibaba Group | ' | ' | ' |
Cash And Cash Equivalents And Investments [Line Items] | ' | ' | ' |
Accrued dividend income | ' | ' | 16,000,000 |
Proceeds related to the redemption of Alibaba Group Preference Shares and dividends | 846,000,000 | ' | ' |
Proceeds related to the redemption of Alibaba Group Preference Shares | 800,000,000 | ' | ' |
Cash dividend received related to Preference Shares | 46,000,000 | ' | ' |
Dividend income related to Preference Shares | ' | 36,000,000 | 23,000,000 |
Alibaba Group | Prepaid Expense And Other Assets Current | ' | ' | ' |
Cash And Cash Equivalents And Investments [Line Items] | ' | ' | ' |
Accrued dividend income | ' | ' | 6,000,000 |
Alibaba Group | Redeemable Preferred Stock | ' | ' | ' |
Cash And Cash Equivalents And Investments [Line Items] | ' | ' | ' |
Fair Value Amount | ' | ' | 822,000,000 |
Carrying Value Amount | ' | ' | $822,000,000 |
Fair_Value_of_Financial_Assets
Fair Value of Financial Assets (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | ||||
Fair Value Measurements At Reporting Date Using Level 1 | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Financial assets at fair value | $936,808 | $685,904 | ||
Total assets and liabilities at fair value | 936,808 | 685,904 | ||
Fair Value Measurements At Reporting Date Using Level 1 | Money Market Funds | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Money market funds | 936,438 | [1] | 685,707 | [1] |
Fair Value Measurements At Reporting Date Using Level 1 | Corporate Equity Securities | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Available-for-sale securities | 370 | [2] | 197 | [2] |
Fair Value Measurements At Reporting Date Using Level 2 | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Financial assets at fair value | 3,705,920 | 4,744,681 | ||
Total assets and liabilities at fair value | 3,704,519 | 4,738,019 | ||
Fair Value Measurements At Reporting Date Using Level 2 | Government and agency securities | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Available-for-sale securities | 876,197 | [1] | 2,464,227 | [1] |
Fair Value Measurements At Reporting Date Using Level 2 | Commercial Paper And Bank Certificates Of Deposit | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Available-for-sale securities | 472,080 | [1] | 892,769 | [1] |
Fair Value Measurements At Reporting Date Using Level 2 | Corporate Debt Securities | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Available-for-sale securities | 2,059,159 | [1] | 1,298,123 | [1] |
Fair Value Measurements At Reporting Date Using Level 2 | Bank Time Deposits | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Available-for-sale securities | 84,443 | 84,555 | ||
Fair Value Measurements At Reporting Date Using Level 2 | Foreign currency derivative | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Foreign currency derivative contracts | 214,041 | [3] | 5,007 | [3] |
Foreign currency derivative contracts | -1,401 | [3] | -6,662 | [3] |
Fair Value, Inputs, Level 3 | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Financial assets at fair value | ' | 816,261 | ||
Total assets and liabilities at fair value | ' | 816,261 | ||
Fair Value, Inputs, Level 3 | Preference Shares | Alibaba Group | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Available-for-sale securities | ' | 816,261 | ||
Fair Value Measurements At Reporting Date Using Total | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Financial assets at fair value | 4,642,728 | 6,246,846 | ||
Total assets and liabilities at fair value | 4,641,327 | 6,240,184 | ||
Fair Value Measurements At Reporting Date Using Total | Money Market Funds | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Money market funds | 936,438 | [1] | 685,707 | [1] |
Fair Value Measurements At Reporting Date Using Total | Government and agency securities | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Available-for-sale securities | 876,197 | [1] | 2,464,227 | [1] |
Fair Value Measurements At Reporting Date Using Total | Commercial Paper And Bank Certificates Of Deposit | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Available-for-sale securities | 472,080 | [1] | 892,769 | [1] |
Fair Value Measurements At Reporting Date Using Total | Corporate Debt Securities | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Available-for-sale securities | 2,059,159 | [1] | 1,298,123 | [1] |
Fair Value Measurements At Reporting Date Using Total | Bank Time Deposits | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Available-for-sale securities | 84,443 | 84,555 | ||
Fair Value Measurements At Reporting Date Using Total | Preference Shares | Alibaba Group | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Available-for-sale securities | ' | 816,261 | ||
Fair Value Measurements At Reporting Date Using Total | Corporate Equity Securities | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Available-for-sale securities | 370 | [2] | 197 | [2] |
Fair Value Measurements At Reporting Date Using Total | Foreign currency derivative | ' | ' | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ||
Foreign currency derivative contracts | 214,041 | [3] | 5,007 | [3] |
Foreign currency derivative contracts | ($1,401) | [3] | ($6,662) | [3] |
[1] | The money market funds, government and agency securities, commercial paper and bank certificates of deposit, and corporate debt securities are classified as part of either cash and cash equivalents or investments in marketable securities in the consolidated balance sheets. | |||
[2] | The corporate equity securities are classified as part of the other long-term assets and other marketable securities are classified as investments in marketable securities in the consolidated balance sheets. | |||
[3] | Foreign currency derivative contracts are classified as part of either other current assets or other current liabilities in the consolidated balance sheets. The notional amounts of the foreign currency derivative contracts were $3.4 billion, including contracts designated as net investment hedges of $3 billion, as of December 31, 2012, and $1.8 billion, including contracts designated as net investment hedges of $1.3 billion, as of December 31, 2013. |
Fair_Value_of_Financial_Assets1
Fair Value of Financial Assets (Parenthetical) (Detail) (Foreign currency derivative, USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Foreign currency derivative contract, notional amount | $1,800 | $3,400 |
Net Investment Hedging | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Foreign currency derivative contract, notional amount | $1,300 | $3,000 |
Recovered_Sheet1
Consolidated Financial Statement Details (Prepaid Expenses And Other Current Assets) (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Prepaid And Other Current Assets [Line Items] | ' | ' |
Prepaid expenses | $103,100 | $74,268 |
Deferred income taxes | 218,486 | 249,936 |
Foreign currency forward contract assets | 214,041 | 5,008 |
Other receivables non-trade | 37,404 | 36,740 |
Other | 65,373 | 94,360 |
Total prepaid expenses and other current assets | $638,404 | $460,312 |
Property_and_Equipment_Net_Det
Property and Equipment Net (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | ||||
Property, Plant and Equipment [Line Items] | ' | ' | ||
Property Plant and Equipment Gross | $3,612,102 | $3,951,221 | ||
Less: accumulated depreciation and amortization | -2,123,584 | [1] | -2,265,376 | [1] |
Total property and equipment, net | 1,488,518 | 1,685,845 | ||
Land | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ||
Property Plant and Equipment Gross | 213,838 | 213,838 | ||
Buildings | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ||
Property Plant and Equipment Gross | 697,874 | 639,658 | ||
Leasehold Improvements | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ||
Property Plant and Equipment Gross | 279,052 | 304,440 | ||
Computers and Equipment | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ||
Property Plant and Equipment Gross | 1,512,860 | [2] | 2,040,381 | [2] |
Capitalized Software And Labor | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ||
Property Plant and Equipment Gross | 766,368 | 595,366 | ||
Furniture and Fixtures | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ||
Property Plant and Equipment Gross | 61,280 | 75,559 | ||
Assets not yet in use | ' | ' | ||
Property, Plant and Equipment [Line Items] | ' | ' | ||
Property Plant and Equipment Gross | $80,830 | $81,979 | ||
[1] | Includes $20 million and $33 million of accumulated depreciation, and $6 million and $12 million of accumulated amortization related to the capital lease as of December 31, 2012 and 2013, respectively. | |||
[2] | Includes data center equipment acquired under a capital lease of approximately $37 million and $44 million as of December 31, 2012 and 2013, respectively. |
Property_and_Equipment_Net_Par
Property and Equipment Net (Parenthetical) (Detail) (Computers and Equipment, USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Computers and Equipment | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Capital lease | $44 | $37 |
Accumulated depreciation related to the capital lease | 33 | 20 |
Accumulation amortization related to the capital lease | $12 | $6 |
Other_LongTerm_Assets_Detail
Other Long-Term Assets (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Schedule of Other Long Term Assets [Line Items] | ' | ' |
Deferred income taxes | $23,222 | $139,183 |
Other | 128,982 | 122,925 |
Total other long-term assets | 177,281 | 289,130 |
Investments in privately-held companies | ' | ' |
Schedule of Other Long Term Assets [Line Items] | ' | ' |
Investments | $25,077 | $27,022 |
Accrued_Expenses_and_Other_Cur
Accrued Expenses and Other Current Liabilities (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Accrued Expenses and Other Current Liabilities [Line Items] | ' | ' |
Accrued content, connection, traffic acquisition, and other costs | $119,431 | $116,951 |
Deferred income taxes | -10 | 200 |
Accrued compensation and related expenses | 343,392 | 337,727 |
Accrued taxes payable | 107,033 | 10,619 |
Accrued professional service expenses | 69,869 | 67,736 |
Accrued sales and marketing related expenses | 17,744 | 11,988 |
Accrued restructuring costs | 21,764 | 58,718 |
Current liability for uncertain tax contingencies | ' | 30,484 |
Other | 228,559 | 174,052 |
Total accrued expenses and other current liabilities | $907,782 | $808,475 |
Deferred_and_Other_LongTerm_Ta
Deferred and Other Long-Term Tax Liabilities Net (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | ||||
Deferred and Other Long Term Liabilities Net [Line Items] | ' | ' | ||
Deferred income taxes | $172,491 | $11,310 | ||
Long-term liability for uncertain tax contingencies | 675,465 | [1] | 663,961 | [1] |
Total deferred and other long-term tax liabilities, net | $847,956 | $675,271 | ||
[1] | Includes interest and penalties. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' |
Unrealized gains on available-for-sale securities, net of tax | $15,101 | $9,121 |
Unrealized gains on cash flow hedges, net of tax | 1,412 | ' |
Foreign currency translation, net of tax | 301,876 | 562,128 |
Accumulated other comprehensive income | $318,389 | $571,249 |
Noncontrolling_Interests_Detai
Noncontrolling Interests (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Noncontrolling Interest [Line Items] | ' | ' | ' |
Beginning noncontrolling interests | $45,403 | $40,280 | ' |
Net income attributable to noncontrolling interests | 10,285 | 5,123 | 13,842 |
Ending noncontrolling interests | $55,688 | $45,403 | $40,280 |
Other_Income_Net_Detail
Other Income, Net (Detail) (USD $) | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||||||||||||||||
In Thousands, unless otherwise specified | Sep. 30, 2012 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||||||||
Components of Other Income (Expense) [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Interest, dividend, and investment income | ' | ' | ' | ' | ' | ' | ' | ' | ' | $57,544 | $41,673 | $18,920 | ||||||||
Gain related to the sale of Alibaba Group Shares | 4,603,322 | ' | ' | ' | ' | ' | 4,603,322 | ' | ' | ' | 4,603,322 | ' | ||||||||
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | -14,319 | -9,297 | -9,473 | ||||||||
Other | ' | ' | ' | ' | ' | ' | ' | ' | ' | 132 | 12,141 | 17,728 | ||||||||
Total other income, net | ' | ($2,691) | [1] | $5,370 | [2] | $23,606 | [3] | $17,072 | [4] | $17,730 | [5] | $4,607,656 | [6] | $20,175 | [7] | $2,278 | [8] | $43,357 | $4,647,839 | $27,175 |
[1] | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2013 includes a gain on the sale of patents of $70 million, a goodwill impairment charge of $64 million, and net restructuring charges of $8 million. | |||||||||||||||||||
[2] | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2013 includes net restructuring reversals of less than $1 million. | |||||||||||||||||||
[3] | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2013 includes net restructuring charges of $4 million. | |||||||||||||||||||
[4] | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2013 includes net restructuring reversals of $7 million. | |||||||||||||||||||
[5] | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2012 includes a one-time distribution of foreign earnings resulting in an overall net benefit of approximately $117 million and net restructuring charges of $77 million. | |||||||||||||||||||
[6] | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2012 includes net restructuring charges of $25 million and pre-tax gain of $4.6 billion related to the sale of Alibaba Group Shares, which is included in other income, net. | |||||||||||||||||||
[7] | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2012 includes net restructuring charges of $129 million. | |||||||||||||||||||
[8] | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2012 includes net restructuring charges of $6 million. |
Recovered_Sheet2
Consolidated Financial Statement Details - Additional Information (Detail) (USD $) | 1 Months Ended | 3 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2012 | Sep. 30, 2012 | Dec. 31, 2012 |
Financial Statement Details [Line Items] | ' | ' | ' |
Gain related to sale of Alibaba Group Shares | $4,603,322 | $4,603,322 | $4,603,322 |
Reclassifications_Out_of_Accum
Reclassifications Out of Accumulated Other Comprehensive Income (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Restructuring charges, net | ($8,000) | ' | ($4,000) | $7,000 | ($77,000) | ($25,000) | ($129,000) | ($6,000) | ($3,766) | ($236,170) | ($24,420) | ||||||||
Other income, net | -2,691 | [1] | 5,370 | [2] | 23,606 | [3] | 17,072 | [4] | 17,730 | [5] | 4,607,656 | [6] | 20,175 | [7] | 2,278 | [8] | 43,357 | 4,647,839 | 27,175 |
Net income attributable to Yahoo! Inc. | 348,190 | [1] | 296,656 | [2] | 331,150 | [3] | 390,285 | [4] | 272,267 | [5] | 3,160,238 | [6] | 226,631 | [7] | 286,343 | [8] | 1,366,281 | 3,945,479 | 1,048,827 |
Revenue | 1,265,795 | [1] | 1,138,973 | [2] | 1,135,244 | [3] | 1,140,368 | [4] | 1,345,807 | [5] | 1,201,732 | [6] | 1,217,794 | [7] | 1,221,233 | [8] | 4,680,380 | 4,986,566 | 4,984,199 |
Reclassification out of Accumulated Other Comprehensive Income | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Net income attributable to Yahoo! Inc. | ' | ' | ' | ' | ' | ' | ' | ' | -2,876 | -128,098 | ' | ||||||||
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Revenue | ' | ' | ' | ' | ' | ' | ' | ' | -2,080 | ' | ' | ||||||||
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Net Realized Investment Gains (Losses) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Available-for-sale securities | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9,088 | ' | ||||||||
Other income, net | ' | ' | ' | ' | ' | ' | ' | ' | -796 | ' | ' | ||||||||
Reclassification out of Accumulated Other Comprehensive Income | Foreign currency translation adjustments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Restructuring charges, net | ' | ' | ' | ' | ' | ' | ' | ' | ' | -16,208 | ' | ||||||||
Other income, net | ' | ' | ' | ' | ' | ' | ' | ' | ' | -120,978 | ' | ||||||||
Net income attributable to Yahoo! Inc. | ' | ' | ' | ' | ' | ' | ' | ' | ' | ($137,186) | ' | ||||||||
[1] | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2013 includes a gain on the sale of patents of $70 million, a goodwill impairment charge of $64 million, and net restructuring charges of $8 million. | ||||||||||||||||||
[2] | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2013 includes net restructuring reversals of less than $1 million. | ||||||||||||||||||
[3] | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2013 includes net restructuring charges of $4 million. | ||||||||||||||||||
[4] | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2013 includes net restructuring reversals of $7 million. | ||||||||||||||||||
[5] | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2012 includes a one-time distribution of foreign earnings resulting in an overall net benefit of approximately $117 million and net restructuring charges of $77 million. | ||||||||||||||||||
[6] | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2012 includes net restructuring charges of $25 million and pre-tax gain of $4.6 billion related to the sale of Alibaba Group Shares, which is included in other income, net. | ||||||||||||||||||
[7] | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2012 includes net restructuring charges of $129 million. | ||||||||||||||||||
[8] | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2012 includes net restructuring charges of $6 million. |
Reclassifications_Out_of_Accum1
Reclassifications Out of Accumulated Other Comprehensive Income (Parenthetical) (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Provision for income taxes | $41,498 | [1] | $31,891 | [2] | $50,267 | [3] | $29,736 | [4] | $83,007 | [5] | $1,774,094 | [6] | $26,523 | [7] | $56,419 | [8] | $153,392 | $1,940,043 | $241,767 |
Reclassification out of Accumulated Other Comprehensive Income | Foreign currency translation adjustments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Provision for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | $68,000 | ' | ||||||||
[1] | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2013 includes a gain on the sale of patents of $70 million, a goodwill impairment charge of $64 million, and net restructuring charges of $8 million. | ||||||||||||||||||
[2] | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2013 includes net restructuring reversals of less than $1 million. | ||||||||||||||||||
[3] | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2013 includes net restructuring charges of $4 million. | ||||||||||||||||||
[4] | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2013 includes net restructuring reversals of $7 million. | ||||||||||||||||||
[5] | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2012 includes a one-time distribution of foreign earnings resulting in an overall net benefit of approximately $117 million and net restructuring charges of $77 million. | ||||||||||||||||||
[6] | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2012 includes net restructuring charges of $25 million and pre-tax gain of $4.6 billion related to the sale of Alibaba Group Shares, which is included in other income, net. | ||||||||||||||||||
[7] | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2012 includes net restructuring charges of $129 million. | ||||||||||||||||||
[8] | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2012 includes net restructuring charges of $6 million. |
Summary_of_Significant_Acquisi
Summary of Significant Acquisitions (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 14, 2011 | Dec. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2012 | Dec. 31, 2013 | Jun. 19, 2013 |
In Thousands, unless otherwise specified | Interclick | Interclick | Other Acquisitions | Other Acquisitions | All Acquisitions Business Combinations | Tumblr | Tumblr | |||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase Price | ' | ' | ' | $258,501 | ' | $279,000 | $72,000 | $7,000 | $990,211 | ' |
Goodwill | 4,679,648 | 3,826,749 | 3,900,752 | 171,641 | 171,641 | 186,000 | 49,000 | 5,000 | 751,765 | 751,765 |
Amortizable Intangibles | ' | ' | ' | $79,000 | ' | $76,000 | $26,000 | ' | $263,000 | ' |
Acquisitions_Additional_Inform
Acquisitions - Additional Information (Detail) (USD $) | 12 Months Ended | 0 Months Ended | 0 Months Ended | 12 Months Ended | 12 Months Ended | 0 Months Ended | 0 Months Ended | |||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 14, 2011 | Dec. 31, 2011 | Dec. 14, 2011 | Dec. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 19, 2013 | Dec. 31, 2013 | Jun. 19, 2013 | Jun. 19, 2013 | Jun. 19, 2013 | |
Maximum | Interclick | Interclick | Interclick | Other Acquisitions | Other Acquisitions | Other Acquisitions | All Acquisitions Business Combinations | Tumblr | Tumblr | Tumblr | Tumblr | Tumblr | ||||
Maximum | Entity | Entity | In Process Research and Development | Entity | Maximum | Unvested Stock Options and Restricted Stock Units | Common Stock | |||||||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase price per share | ' | ' | ' | ' | $9 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Business combination, total purchase price | ' | ' | ' | ' | $258,501,000 | ' | ' | $279,000,000 | $72,000,000 | ' | $7,000,000 | $990,211,000 | ' | ' | ' | ' |
Value of stock-based awards issued in connection with acquisition | ' | ' | ' | ' | 9,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum award vesting period, in years | ' | ' | ' | '4 years | '4 years | ' | ' | ' | ' | ' | ' | '4 years | ' | ' | ' | ' |
Useful life of amortizable intangible assets | ' | ' | ' | '8 years | ' | ' | '6 years | ' | ' | ' | ' | ' | ' | '6 years | ' | ' |
Weighted average useful life of amortizable intangible assets | ' | ' | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | '6 years | ' | ' | ' | ' |
Goodwill | 4,679,648,000 | 3,826,749,000 | 3,900,752,000 | ' | 171,641,000 | 171,641,000 | ' | 186,000,000 | 49,000,000 | ' | 5,000,000 | 751,765,000 | 751,765,000 | ' | ' | ' |
Business combination, number of entities acquired | ' | ' | ' | ' | ' | ' | ' | 25 | 3 | ' | 2 | ' | ' | ' | ' | ' |
Business combination, cash consideration paid | ' | ' | ' | ' | ' | ' | ' | 279,000,000 | 72,000,000 | ' | 7,000,000 | ' | ' | ' | ' | ' |
Business combination, cash acquired | ' | ' | ' | ' | ' | ' | ' | 2,000,000 | 3,000,000 | ' | 1,000,000 | ' | ' | ' | ' | ' |
Business combination, cash consideration paid net of cash acquired | 1,247,544,000 | 5,716,000 | 323,830,000 | ' | ' | ' | ' | 277,000,000 | 69,000,000 | ' | 6,000,000 | ' | ' | ' | ' | ' |
Business combination, amortizable intangible assets | ' | ' | ' | ' | ' | ' | ' | 76,000,000 | 26,000,000 | 19,000,000 | ' | ' | ' | ' | ' | ' |
Business combination, cash acquired | ' | ' | ' | ' | 4,369,000 | ' | ' | ' | 3,000,000 | ' | 1,000,000 | ' | ' | ' | ' | ' |
Business combination, net assumed liabilities | ' | ' | ' | ' | 68,120,000 | ' | ' | 37,000,000 | 6,000,000 | ' | ' | 114,521,000 | ' | ' | ' | ' |
Business combination, other tangible assets | ' | ' | ' | ' | 71,711,000 | ' | ' | 33,000,000 | ' | ' | 1,000,000 | 73,780,000 | ' | ' | ' | ' |
Stock-based compensation expense | 278,220,000 | 224,365,000 | 203,958,000 | ' | ' | ' | ' | ' | ' | ' | ' | 70,000,000 | ' | ' | ' | ' |
Stock based compensation contingently issuable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 29,000,000 | 41,000,000 |
Contingent cash compensation to be paid to Tumblr's founder | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $40,000,000 | ' | ' | ' | ' |
Contingent cash consideration, payment period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '4 years | ' | ' | ' | ' |
Allocation_of_Purchase_Price_o
Allocation of Purchase Price of Assets Acquired and Liabilities Assumed, Interclick (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 14, 2011 | Dec. 14, 2011 | Dec. 14, 2011 | Dec. 14, 2011 |
In Thousands, unless otherwise specified | Interclick | Interclick | Interclick | Interclick | Interclick | |||
Customer Contracts and Related Relationships | Developed Technology And Patents | Trade Names, Trademarks, And Domain Names | ||||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Cash acquired | ' | ' | ' | ' | $4,369 | ' | ' | ' |
Other tangible assets acquired | ' | ' | ' | ' | 71,711 | ' | ' | ' |
Amortizable intangible assets | ' | ' | ' | 79,000 | ' | 42,700 | 35,600 | 600 |
Goodwill | 4,679,648 | 3,826,749 | 3,900,752 | 171,641 | 171,641 | ' | ' | ' |
Total assets acquired | ' | ' | ' | ' | 326,621 | ' | ' | ' |
Liabilities assumed | ' | ' | ' | ' | -68,120 | ' | ' | ' |
Total | ' | ' | ' | ' | $258,501 | ' | ' | ' |
Allocation_of_Purchase_Price_o1
Allocation of Purchase Price of Assets Acquired and Liabilities Assumed, Tumblr (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Jun. 19, 2013 | Jun. 19, 2013 | Jun. 19, 2013 | Jun. 19, 2013 |
In Thousands, unless otherwise specified | Tumblr | Tumblr | Customer Contracts and Related Relationships | Developed Technology | Trade Name | |||
Tumblr | Tumblr | Tumblr | ||||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Cash and marketable securities acquired | ' | ' | ' | ' | $16,587 | ' | ' | ' |
Other tangible assets acquired | ' | ' | ' | ' | 73,780 | ' | ' | ' |
Amortizable intangible assets | ' | ' | ' | 263,000 | ' | 182,400 | 23,700 | 56,500 |
Goodwill | 4,679,648 | 3,826,749 | 3,900,752 | 751,765 | 751,765 | ' | ' | ' |
Total assets acquired | ' | ' | ' | ' | 1,104,732 | ' | ' | ' |
Liabilities assumed | ' | ' | ' | ' | -114,521 | ' | ' | ' |
Total | ' | ' | ' | ' | $990,211 | ' | ' | ' |
Goodwill_Detail
Goodwill (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Goodwill [Line Items] | ' | ' | ' | |||
Beginning balance | ' | $3,826,749 | $3,900,752 | |||
Acquisitions | ' | 937,623 | 5,616 | |||
Goodwill impairment charge | -63,555 | -63,555 | ' | |||
Korea goodwill write-off | ' | ' | -85,642 | |||
Foreign currency translation adjustments | ' | -21,169 | 6,023 | |||
Ending balance | 4,679,648 | 4,679,648 | 3,826,749 | |||
Americas | ' | ' | ' | |||
Goodwill [Line Items] | ' | ' | ' | |||
Beginning balance | ' | 2,870,031 | [1] | 2,866,365 | [1] | |
Acquisitions | ' | 934,135 | [1] | 5,616 | [1] | |
Foreign currency translation adjustments | ' | -1,832 | [1] | -1,950 | [1] | |
Ending balance | 3,802,334 | [1] | 3,802,334 | [1] | 2,870,031 | [1] |
EMEA | ' | ' | ' | |||
Goodwill [Line Items] | ' | ' | ' | |||
Beginning balance | ' | 593,613 | [2] | 581,523 | [2] | |
Acquisitions | ' | 1,567 | [2] | ' | ||
Goodwill impairment charge | ' | -63,555 | [2] | ' | ||
Foreign currency translation adjustments | ' | 15,231 | [2] | 12,090 | [2] | |
Ending balance | 546,856 | [2] | 546,856 | [2] | 593,613 | [2] |
Asia Pacific | ' | ' | ' | |||
Goodwill [Line Items] | ' | ' | ' | |||
Beginning balance | ' | 363,105 | [3] | 452,864 | [3] | |
Acquisitions | ' | 1,921 | [3] | ' | ||
Korea goodwill write-off | ' | ' | -85,642 | [3] | ||
Foreign currency translation adjustments | ' | -34,568 | [3] | -4,117 | [3] | |
Ending balance | $330,458 | [3] | $330,458 | [3] | $363,105 | [3] |
[1] | Gross goodwill balances for the Americas segment were $2.9 billion as of January 1, 2012 and $3.8 billion as of December 31, 2013. | |||||
[2] | Gross goodwill balances for the EMEA segment were $1.1 billion as of both January 1, 2012 and December 31, 2013. The EMEA segment includes accumulated impairment losses of $488 million as of January 1, 2012, and $551 million as of December 31, 2013. | |||||
[3] | Gross goodwill balances for the Asia Pacific ("APAC") segment were $517 million as of January 1, 2012 and $480 million as of December 31, 2013. The APAC segment includes accumulated impairment losses of $64 million as of January 1, 2012 and $150 million as of December 31, 2013. |
Goodwill_Parenthetical_Detail
Goodwill (Parenthetical) (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2011 |
In Millions, unless otherwise specified | ||
Americas | ' | ' |
Goodwill [Line Items] | ' | ' |
Gross Goodwill Balance | $3,800 | $2,900 |
EMEA | ' | ' |
Goodwill [Line Items] | ' | ' |
Gross Goodwill Balance | 1,100 | 1,100 |
Accumulated goodwill impairment | 551 | 488 |
Asia Pacific | ' | ' |
Goodwill [Line Items] | ' | ' |
Gross Goodwill Balance | 480 | 517 |
Accumulated goodwill impairment | $150 | $64 |
Goodwill_Additional_Informatio
Goodwill - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||||
Goodwill [Line Items] | ' | ' | ' | ' | ||||
Goodwill impairment charge | $63,555 | $63,555 | ' | ' | ||||
Remaining goodwill | 4,679,648 | 4,679,648 | 3,826,749 | 3,900,752 | ||||
EMEA | ' | ' | ' | ' | ||||
Goodwill [Line Items] | ' | ' | ' | ' | ||||
Goodwill impairment charge | ' | 63,555 | [1] | ' | ' | |||
Remaining goodwill | 546,856 | [1] | 546,856 | [1] | 593,613 | [1] | 581,523 | [1] |
EMEA | Middle East | ' | ' | ' | ' | ||||
Goodwill [Line Items] | ' | ' | ' | ' | ||||
Goodwill impairment charge | 63,555 | ' | ' | ' | ||||
Remaining goodwill | $77,000 | $77,000 | ' | ' | ||||
[1] | Gross goodwill balances for the EMEA segment were $1.1 billion as of both January 1, 2012 and December 31, 2013. The EMEA segment includes accumulated impairment losses of $488 million as of January 1, 2012, and $551 million as of December 31, 2013. |
Intangible_Assets_Net_Detail
Intangible Assets Net (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | ||||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ' | ' | ||
Gross Carrying Amount | $662,428 | $483,256 | ||
Accumulated Amortization | -244,620 | [1] | -329,283 | [1] |
Net | 417,808 | 153,973 | ||
Customer, Affiliate And Advertiser Related Relationships | ' | ' | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ' | ' | ||
Gross Carrying Amount | 293,612 | 162,389 | ||
Accumulated Amortization | -87,794 | [1] | -99,996 | [1] |
Net | 205,818 | 62,393 | ||
Developed Technology And Patents | ' | ' | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ' | ' | ||
Gross Carrying Amount | 261,435 | 270,485 | ||
Accumulated Amortization | -120,936 | [1] | -198,851 | [1] |
Net | 140,499 | 71,634 | ||
Trade Names, Trademarks, And Domain Names | ' | ' | ||
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ' | ' | ||
Gross Carrying Amount | 107,381 | 50,382 | ||
Accumulated Amortization | -35,890 | [1] | -30,436 | [1] |
Net | $71,491 | $19,946 | ||
[1] | Cumulative foreign currency translation adjustments, reflecting movement in the currencies of the underlying entities, increased total intangible assets by approximately $19 million as of both December 31, 2012 and 2013. |
Intangible_Assets_Net_Parenthe
Intangible Assets Net (Parenthetical) (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ' | ' |
Cumulative foreign currency translation adjustments | $19 | $19 |
Intangible_Assets_Net_Addition
Intangible Assets Net - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Amortization expense for intangible assets | $97 | $105 | $118 |
Amortization expense in cost of revenue - other | 52 | 70 | 84 |
Estimated amortization expense 2014 | 107 | ' | ' |
Estimated amortization expense 2015 | 85 | ' | ' |
Estimated amortization expense 2016 | 60 | ' | ' |
Estimated amortization expense 2017 | 55 | ' | ' |
Estimated amortization expense 2018 | 43 | ' | ' |
Estimated amortization expense cumulatively thereafter | $51 | ' | ' |
Minimum | ' | ' | ' |
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Amortizable intangible assets, useful life | '1 year | ' | ' |
Minimum | Customer, Affiliate And Advertiser Related Relationships | ' | ' | ' |
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Amortizable intangible assets, useful life | '2 years | ' | ' |
Minimum | Developed Technology And Patents | ' | ' | ' |
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Amortizable intangible assets, useful life | '1 year | ' | ' |
Minimum | Trade Names, Trademarks, And Domain Names | ' | ' | ' |
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Amortizable intangible assets, useful life | '1 year | ' | ' |
Maximum | ' | ' | ' |
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Amortizable intangible assets, useful life | '8 years | ' | ' |
Maximum | Customer, Affiliate And Advertiser Related Relationships | ' | ' | ' |
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Amortizable intangible assets, useful life | '8 years | ' | ' |
Maximum | Developed Technology And Patents | ' | ' | ' |
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Amortizable intangible assets, useful life | '8 years | ' | ' |
Maximum | Trade Names, Trademarks, And Domain Names | ' | ' | ' |
Finite-Lived and Indefinite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Intangible assets useful life | 'Indefinite life | ' | ' |
Recovered_Sheet3
Basic and Diluted Net Income Attributable to Yahoo Inc. Common Stockholders Per Share - Additional Information (Detail) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Schedule of Earnings Per Share, Basic and Diluted, by Common Class [Line Items] | ' | ' | ' |
Anti-dilutive securities excluded from computation of earnings per share | 10 | 39 | 56 |
Computation_of_Basic_and_Dilut
Computation of Basic and Diluted Net Income per Share (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||||||||
Schedule of Earnings Per Share, Basic and Diluted, by Common Class [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Net income attributable to Yahoo! Inc. | $348,190 | [1] | $296,656 | [2] | $331,150 | [3] | $390,285 | [4] | $272,267 | [5] | $3,160,238 | [6] | $226,631 | [7] | $286,343 | [8] | $1,366,281 | $3,945,479 | $1,048,827 |
Less: Net income allocated to participating securities | ' | ' | ' | ' | ' | ' | ' | ' | -28 | -56 | -15 | ||||||||
Net income attributable to Yahoo! Inc. common stockholders-basic | ' | ' | ' | ' | ' | ' | ' | ' | 1,366,253 | 3,945,423 | 1,048,812 | ||||||||
Weighted average common shares | 1,012,972 | [1] | 1,024,289 | [2] | 1,079,389 | [3] | 1,094,170 | [4] | 1,155,950 | [5] | 1,186,046 | [6] | 1,213,320 | [7] | 1,215,783 | [8] | 1,052,705 | 1,192,775 | 1,274,240 |
Net income attributable to Yahoo! Inc. common stockholders per share-basic | $0.34 | [1] | $0.29 | [2] | $0.31 | [3] | $0.36 | [4] | $0.24 | [5] | $2.66 | [6] | $0.19 | [7] | $0.24 | [8] | $1.30 | $3.31 | $0.82 |
Net income attributable to Yahoo! Inc. | 348,190 | [1] | 296,656 | [2] | 331,150 | [3] | 390,285 | [4] | 272,267 | [5] | 3,160,238 | [6] | 226,631 | [7] | 286,343 | [8] | 1,366,281 | 3,945,479 | 1,048,827 |
Less: Net income allocated to participating securities | ' | ' | ' | ' | ' | ' | ' | ' | -28 | -55 | -14 | ||||||||
Less: Effect of dilutive securities issued by equity investees | ' | ' | ' | ' | ' | ' | ' | ' | -16,656 | -4,920 | -2,698 | ||||||||
Net income attributable to Yahoo! Inc. common stockholders-diluted | ' | ' | ' | ' | ' | ' | ' | ' | $1,349,597 | $3,940,504 | $1,046,115 | ||||||||
Denominator for basic calculation | 1,012,972 | [1] | 1,024,289 | [2] | 1,079,389 | [3] | 1,094,170 | [4] | 1,155,950 | [5] | 1,186,046 | [6] | 1,213,320 | [7] | 1,215,783 | [8] | 1,052,705 | 1,192,775 | 1,274,240 |
Restricted stock and restricted stock units | ' | ' | ' | ' | ' | ' | ' | ' | 14,097 | 8,403 | 5,347 | ||||||||
Stock options and employee stock purchase plan | ' | ' | ' | ' | ' | ' | ' | ' | 4,009 | 1,728 | 2,695 | ||||||||
Denominator for diluted calculation | 1,038,754 | [1] | 1,041,698 | [2] | 1,094,694 | [3] | 1,108,095 | [4] | 1,168,336 | [5] | 1,195,085 | [6] | 1,221,719 | [7] | 1,226,486 | [8] | 1,070,811 | 1,202,906 | 1,282,282 |
Net income attributable to Yahoo! Inc. common stockholders per share-diluted | $0.33 | [1] | $0.28 | [2] | $0.30 | [3] | $0.35 | [4] | $0.23 | [5] | $2.64 | [6] | $0.18 | [7] | $0.23 | [8] | $1.26 | $3.28 | $0.82 |
[1] | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2013 includes a gain on the sale of patents of $70 million, a goodwill impairment charge of $64 million, and net restructuring charges of $8 million. | ||||||||||||||||||
[2] | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2013 includes net restructuring reversals of less than $1 million. | ||||||||||||||||||
[3] | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2013 includes net restructuring charges of $4 million. | ||||||||||||||||||
[4] | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2013 includes net restructuring reversals of $7 million. | ||||||||||||||||||
[5] | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2012 includes a one-time distribution of foreign earnings resulting in an overall net benefit of approximately $117 million and net restructuring charges of $77 million. | ||||||||||||||||||
[6] | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2012 includes net restructuring charges of $25 million and pre-tax gain of $4.6 billion related to the sale of Alibaba Group Shares, which is included in other income, net. | ||||||||||||||||||
[7] | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2012 includes net restructuring charges of $129 million. | ||||||||||||||||||
[8] | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2012 includes net restructuring charges of $6 million. |
Recovered_Sheet4
Investments in Equity Interests (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Oct. 23, 2005 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | Alibaba Group | Alibaba Group | Alibaba Group | Yahoo Japan | Yahoo Japan | Yahoo Japan | Other | Other | ||
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investment in equity interests | $3,426,347 | $2,840,157 | $1,018,126 | $276,389 | ' | $2,399,590 | $2,555,717 | ' | $8,631 | $8,051 |
Percent ownership of common stock as of balance sheet date | ' | ' | 24.00% | 24.00% | 46.00% | 35.00% | 35.00% | 35.00% | 19.00% | 24.00% |
Recovered_Sheet5
Investments in Equity Interests - Additional Information (Detail) (USD $) | 1 Months Ended | 3 Months Ended | 12 Months Ended | 0 Months Ended | 1 Months Ended | 3 Months Ended | 12 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | ||||||||||||||
Share data in Millions, except Per Share data, unless otherwise specified | Sep. 30, 2012 | Dec. 31, 2013 | Sep. 30, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 18, 2012 | Jul. 29, 2011 | Oct. 23, 2005 | 16-May-13 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Oct. 14, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Jun. 30, 2011 | Mar. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Alibaba Group | Alibaba Group | Alibaba Group | Alibaba Group | Alibaba Group | Alibaba Group | Alibaba Group | Alibaba Group | Alibaba Group | Alibaba Group | Alibaba Group | Alibaba Group | Alibaba Group | Alibaba Group | Yahoo Japan | Yahoo Japan | Yahoo Japan | Yahoo Japan | Yahoo Japan | ||||||
Before Amendment | Before Amendment | Before Amendment | Maximum | Minimum | ||||||||||||||||||||
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percent ownership of common stock as of balance sheet date | ' | ' | ' | ' | ' | ' | ' | 46.00% | ' | 24.00% | 24.00% | 24.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | 35.00% | 35.00% | 35.00% |
Equity investment common stock diluted | ' | ' | ' | ' | ' | ' | ' | 40.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash paid | ' | ' | ' | ' | ' | ' | ' | $1,000,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Direct transaction costs | ' | ' | ' | ' | ' | ' | ' | 8,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate consideration on patents sold | ' | 70,000,000 | ' | 79,950,000 | ' | ' | ' | ' | ' | 70,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
IPCo promissory note | ' | ' | ' | ' | ' | ' | 500,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Promissory note maturity period, years | ' | ' | ' | ' | ' | ' | '7 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sale of investments in equity interests, shares | ' | ' | ' | ' | ' | 523 | ' | ' | ' | ' | ' | 523 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares of Alibaba Group owned by Yahoo | ' | ' | ' | ' | ' | 1,047 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sale of investments in equity interests, price per share | ' | ' | ' | ' | ' | $13.54 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sale of investments in equity interests, total consideration received | ' | ' | ' | ' | ' | 7,100,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sale of investments in equity interests, cash received | ' | ' | ' | ' | 6,247,728,000 | 6,300,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sale of investments in equity interests, value of preference shares | ' | ' | ' | ' | ' | 800,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Gain related to sale of Alibaba shares | 4,603,322,000 | ' | 4,603,322,000 | ' | 4,603,322,000 | ' | ' | ' | ' | ' | ' | 4,603,322,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expected rate of annual dividend on the issuance of preference shares by Alibaba Group | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10.00% | ' | ' | ' | ' | ' | ' |
Expected rate of annual dividend payable in cash of preference shares by Alibaba Group | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3.00% | ' | ' | ' | ' | ' |
Proceeds related to the redemption of Alibaba Group Preference Shares and dividends | ' | ' | ' | ' | ' | ' | ' | ' | 846,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds related to the redemption of Alibaba Group Preference Shares | ' | ' | ' | 800,000,000 | ' | ' | ' | ' | 800,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash dividend received related to Preference Shares | ' | ' | ' | ' | ' | ' | ' | ' | 46,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum number of shares required to sell in connection with Qualified IPO | ' | ' | ' | ' | ' | 261.5 | ' | ' | ' | ' | ' | ' | ' | 208 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Future Royalty Payment received | ' | ' | ' | ' | ' | ' | ' | ' | ' | 550,000,000 | 550,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Technology and Intellectual Property License Agreement, remaining term | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '4 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Royalty received | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 137,000,000 | 39,000,000 | ' | ' | 122,000,000 | 86,000,000 | 44,000,000 | ' | ' | ' | ' | ' | ' | ' |
Cumulative earnings recorded in retained earnings | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,078,000,000 | 1,078,000,000 | 661,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,800,000,000 | 2,300,000,000 | ' |
Impairment charge, net of tax | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7,000,000 | 26,000,000 | ' | ' | 33,000,000 |
Fair value of the company's ownership interest in the common stock of Yahoo Japan | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 11,000,000,000 | ' | ' |
Cash dividends received | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 77,000,000 | 84,000,000 | 75,000,000 |
Revenue received through commercial arrangements with Yahoo Japan | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 266,000,000 | 281,000,000 | 287,000,000 |
Net receivables balance from Yahoo Japan | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $42,000,000 | $43,000,000 | ' |
Alibaba_Group_Condensed_Financ
Alibaba Group Condensed Financial Information Operating Data (Detail) (Alibaba Group, USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2011 |
Alibaba Group | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' |
Revenue | $6,734,978 | $4,082,838 | $2,344,973 |
Gross profit | 4,909,327 | 2,764,314 | 1,557,392 |
Income from operations | 3,103,664 | 687,632 | 325,334 |
Net income | 2,847,139 | 536,050 | 339,552 |
Net income attributable to Alibaba Group | $2,809,429 | $484,511 | $268,004 |
Alibaba_Group_Condensed_Financ1
Alibaba Group Condensed Financial Information Balance Sheet Data (Detail) (Alibaba Group, USD $) | Sep. 30, 2013 | Sep. 30, 2012 |
In Thousands, unless otherwise specified | ||
Alibaba Group | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' |
Current assets | $7,994,731 | $4,062,823 |
Long-term assets | 5,959,835 | 3,204,144 |
Current liabilities | 4,838,510 | 2,624,656 |
Long-term liabilities | 5,319,113 | 4,705,347 |
Convertible preferred shares | 1,688,889 | 1,317,526 |
Noncontrolling interests | $92,127 | $65,907 |
Yahoo_Japan_Condensed_Financia
Yahoo Japan Condensed Financial Information Operating Data (Detail) (Yahoo Japan, USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2011 |
Yahoo Japan | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' |
Revenue | $4,296,522 | $4,242,623 | $3,988,377 |
Gross profit | 3,577,001 | 3,594,633 | 3,311,357 |
Income from operations | 2,150,644 | 2,189,323 | 1,963,924 |
Net income | 1,365,443 | 1,313,494 | 1,114,637 |
Net income attributable to Yahoo Japan | $1,355,457 | $1,308,539 | $1,108,390 |
Yahoo_Japan_Condensed_Financia1
Yahoo Japan Condensed Financial Information Balance Sheet Data (Detail) (Yahoo Japan, USD $) | Sep. 30, 2013 | Sep. 30, 2012 |
In Thousands, unless otherwise specified | ||
Yahoo Japan | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' |
Current assets | $6,318,156 | $5,752,826 |
Long-term assets | 1,728,912 | 1,837,829 |
Current liabilities | 1,992,508 | 1,167,772 |
Long-term liabilities | 56,762 | 49,461 |
Noncontrolling interests | $74,754 | $31,034 |
Recovered_Sheet6
Derivative Financial Instruments - Additional Information (Detail) (Foreign currency derivative, USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Derivative [Line Items] | ' | ' | ' |
Foreign currency derivative contract, notional amount | $1,800,000,000 | $3,400,000,000 | ' |
Net Investment Hedging | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' |
Forward contracts minimum maturity Period | '9 months | ' | ' |
Forward contracts maximum maturity Period | '15 months | ' | ' |
Foreign currency derivative contract, notional amount | 1,300,000,000 | 3,000,000,000 | ' |
Fair value of the foreign currency forward contract asset | 209,000,000 | 3,000,000 | ' |
Gain (loss) on foreign currency forward contract | 510,000,000 | 3,000,000 | ' |
Cash received (paid) to settle foreign currency forward contracts | 304,000,000 | ' | ' |
Cash Flow Hedges | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' |
Foreign currency derivative contract, notional amount | 56,000,000 | ' | ' |
Fair value of the foreign currency forward contract asset | 4,000,000 | ' | ' |
Cash received (paid) to settle foreign currency forward contracts | 2,000,000 | ' | ' |
Foreign currency forward contracts designated as cash flow hedges maturities | 31-Jul-14 | ' | ' |
Gain on foreign currency forward contracts | 2,000,000 | ' | ' |
Gain (loss) on foreign currency forward contract | 2,000,000 | ' | ' |
Balance Sheet Hedges | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' |
Foreign currency derivative contract, notional amount | 393,000,000 | 356,000,000 | ' |
Cash received (paid) to settle foreign currency forward contracts | -17,000,000 | 7,000,000 | ' |
Fair value of the foreign currency forward contract liability | ' | 5,000,000 | ' |
Gain (loss) on foreign currency forward contract | -12,000,000 | 4,000,000 | -3,000,000 |
Balance Sheet Hedges | Maximum | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' |
Fair value of the foreign currency forward contract liability | $1,000,000 | ' | ' |
Foreign_Currency_Forward_Contr
Foreign Currency Forward Contracts Activity (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | ||
Balance Sheet Hedges | Not Designated as Hedging Instrument | ' | |
Derivative [Line Items] | ' | |
Beginning Fair Value | ($5,000,000) | |
Settlement | 17,000,000 | |
Gain (loss) recorded in other income, net | -12,000,000 | |
Gain (loss) recorded in other comprehensive income | ' | |
Forecasted Revenue Hedges | Not Designated as Hedging Instrument | ' | |
Derivative [Line Items] | ' | |
Gain (loss) recorded in other comprehensive income | ' | |
Cash Flow Hedges | Designated as Hedging Instrument | ' | |
Derivative [Line Items] | ' | |
Settlement | -2,000,000 | |
Gain (loss) recorded in other income, net | 1,000,000 | |
Gain (loss) recorded in other comprehensive income, net | 2,000,000 | [1] |
Gain (loss) recorded in revenue | 3,000,000 | [2] |
Ending Fair Value | 4,000,000 | |
Net Investment Hedging | Designated as Hedging Instrument | ' | |
Derivative [Line Items] | ' | |
Beginning Fair Value | 3,000,000 | |
Settlement | -304,000,000 | |
Gain (loss) recorded in other comprehensive income | 510,000,000 | [3] |
Ending Fair Value | $209,000,000 | |
[1] | This amount does not reflect the tax impact of less than $1 million recorded during the twelve months ended December 31, 2013. The less than $1 million tax impact of the gain was included in accumulated other comprehensive income on the Company's consolidated balance sheets. | |
[2] | This amount does not reflect the tax impact of $1 million recorded during the twelve months ended December 31, 2013. The $2 million after tax impact was included the consolidated statements of income. | |
[3] | This amount does not reflect the tax impact of $193 million recorded during the twelve months ended December 31, 2013. The $317 million after tax impact of the gain recorded under other comprehensive income was included in accumulated other comprehensive income on the Company's consolidated balance sheets. |
Foreign_Currency_Forward_Contr1
Foreign Currency Forward Contracts Activity (Parenthetical) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Derivative [Line Items] | ' | ' | ' |
Net investment hedge CTA, net of tax | $317,459 | $3,241 | ' |
Cash flow hedge CTA, net of tax | 1,412 | ' | ' |
Cash flow hedge CTA, tax | 575 | 0 | 0 |
Cash flow hedge CTA, net of tax | 2,080 | ' | ' |
Derivatives Designated as Hedging Instruments | Cash Flow Hedges | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' |
Cash flow hedge CTA, tax | 1,000 | ' | ' |
Cash flow hedge CTA, net of tax | 2,000 | ' | ' |
Derivatives Designated as Hedging Instruments | Net Investment Hedging | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' |
Net investment hedge CTA, tax | 193,000 | ' | ' |
Net investment hedge CTA, net of tax | 317,000 | ' | ' |
Maximum | Derivatives Designated as Hedging Instruments | Cash Flow Hedges | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' |
Cash flow hedge CTA, tax | 1,000 | ' | ' |
Cash flow hedge CTA, net of tax | $1,000 | ' | ' |
Credit_Agreement_Additional_In
Credit Agreement - Additional Information (Detail) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Line of Credit Facility [Line Items] | ' |
Unsecured revolving credit facility | 750 |
Unsecured revolving credit facility, additional commitment | 250 |
Before Amendment | ' |
Line of Credit Facility [Line Items] | ' |
Unsecured revolving credit facility expiration date | 18-Oct-13 |
After Amendment | ' |
Line of Credit Facility [Line Items] | ' |
Unsecured revolving credit facility expiration date | 9-Oct-14 |
Eurodollar | Minimum | ' |
Line of Credit Facility [Line Items] | ' |
Unsecured revolving credit facility, applicable margin on borrowing rate | 1.00% |
Eurodollar | Maximum | ' |
Line of Credit Facility [Line Items] | ' |
Unsecured revolving credit facility, applicable margin on borrowing rate | 1.25% |
Base Rate | Minimum | ' |
Line of Credit Facility [Line Items] | ' |
Unsecured revolving credit facility, applicable margin on borrowing rate | 0.00% |
Base Rate | Maximum | ' |
Line of Credit Facility [Line Items] | ' |
Unsecured revolving credit facility, applicable margin on borrowing rate | 0.25% |
Convertible_Notes_Additional_I
Convertible Notes - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | ||
Debt Instrument [Line Items] | ' | ' | |
Payments for note hedge transactions | $22,708,000 | $11,141,000 | |
Proceeds from issuance of warrants | 124,775,000 | ' | |
Convertible Senior Notes | ' | ' | |
Debt Instrument [Line Items] | ' | ' | |
Purchase price of notes as percentage of principal amount, plus accrued and unpaid interest | 100.00% | ' | |
Conversion rate per $1,000 principal amount of Notes | 18.7161 | ' | |
Convertible note, par amount | 1,000 | ' | |
Initial conversion price | $53.43 | ' | |
Maturity date, convertible note | 1-Dec-18 | ' | |
Effective interest rate | 5.26% | ' | |
Net carrying amount | 1,110,585,000 | ' | |
Equity component | 305,569,000 | [1] | ' |
Deferred tax liability | 37,000,000 | ' | |
Payments for note hedge transactions | 206,000,000 | ' | |
Warrant expiration period | '2019-03 | ' | |
Strike price of warrants | 71.24 | ' | |
Proceeds from issuance of warrants | $125,000,000 | ' | |
[1] | Recorded in the consolidated balance sheet within additional paid-in capital. |
Schedule_of_Notes_Detail
Schedule of Notes (Detail) (Convertible Senior Notes, USD $) | Dec. 31, 2013 | |
Convertible Senior Notes | ' | |
Debt Instrument [Line Items] | ' | |
Principal | $1,437,500,000 | |
Less: note discount | -326,915,000 | |
Net carrying amount | 1,110,585,000 | |
Equity component | $305,569,000 | [1] |
[1] | Recorded in the consolidated balance sheet within additional paid-in capital. |
Interest_Expense_Recognized_Re
Interest Expense Recognized Related To Notes (Detail) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2013 |
Schedule Of Interest Expenses [Line Items] | ' |
Accretion of convertible note discount | $4,846 |
Convertible Senior Notes | ' |
Schedule Of Interest Expenses [Line Items] | ' |
Accretion of convertible note discount | $4,846 |
Fair_Value_and_Carrying_Value_
Fair Value and Carrying Value of Notes (Detail) (Convertible Senior Notes, USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Debt Instrument [Line Items] | ' |
Carrying Value | $1,110,585 |
Fair Value Measurements At Reporting Date Using Level 2 | ' |
Debt Instrument [Line Items] | ' |
Fair Value | $1,111,473 |
Recovered_Sheet7
Commitments and Contingencies - Additional Information (Detail) (USD $) | 0 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 0 Months Ended | 12 Months Ended | 0 Months Ended | 12 Months Ended | 12 Months Ended | |||||||||
Share data in Thousands, unless otherwise specified | 15-May-13 | Nov. 16, 2011 | 31-May-13 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 07, 2011 | Nov. 30, 2012 | Nov. 28, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Jul. 25, 2013 | Jul. 30, 2013 | Dec. 31, 2013 | 31-May-13 | Dec. 31, 2013 |
LegalMatter | Damages Alleged, Loss of Profit | Non-Final Judgment | May 2012 Plan | Payable In 2014 | Payable In 2015 | Payable In 2016 | Share repurchase from Third Point | Share repurchase from Third Point | Minimum | Minimum | Maximum | |||||||
May 2012 Plan | ||||||||||||||||||
Commitments and Contingencies Disclosure [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Lease periods (years) | ' | ' | ' | '12 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Lease expiration period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2013 | ' | '2025 |
Lease period | ' | ' | '12 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Lease commitment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $125,000,000 | ' |
Additional lease period | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Lease monthly payments | ' | ' | 1,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Lease monthly payment start period | ' | ' | '2015-07 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Lease monthly payment end period | ' | ' | '2025-06 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Rent expense for operating leases | ' | ' | ' | 77,000,000 | 76,000,000 | 84,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Affiliate commitments | ' | ' | ' | 24,000,000 | ' | ' | ' | ' | ' | ' | 13,000,000 | 10,000,000 | 1,000,000 | ' | ' | ' | ' | ' |
Non-cancelable commitments | ' | ' | ' | 198,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payable in 2014 | ' | ' | ' | 101,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payable in 2015 | ' | ' | ' | 48,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payable in 2016 | ' | ' | ' | 36,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payable in 2017 | ' | ' | ' | 8,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payable in 2018 | ' | ' | ' | 5,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Intellectual property arrangements through 2023 | ' | ' | ' | 25,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of purported stockholder class action suits filed | ' | ' | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Repurchases of common stock, shares | ' | ' | ' | 128,863 | 126,021 | 109,716 | ' | ' | ' | 128,863 | ' | ' | ' | 40,000 | 40,000 | ' | ' | ' |
Alleged total damages | ' | 2,750,000,000 | ' | ' | ' | ' | ' | 2,400,000,000 | 2,750,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Counterclaim filed for payments of services rendered | 2,600,000 | ' | ' | ' | ' | ' | 2,600,000 | ' | 2,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loss Contingency | $172,500 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Lease_Commitments_Detail
Lease Commitments (Detail) (USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Commitments and Contingencies [Line Items] | ' |
Years ending December 31, 2014 | ($12) |
2015 | -9 |
2016 | -2 |
2017 | ' |
2018 | ' |
Due after 5 years | ' |
Total gross and net lease commitments | -23 |
Gross Operating Lease Commitments | ' |
Commitments and Contingencies [Line Items] | ' |
Years ending December 31, 2014 | 141 |
2015 | 109 |
2016 | 69 |
2017 | 55 |
2018 | 36 |
Due after 5 years | 122 |
Total gross and net lease commitments | 532 |
Net Operating Lease Commitments | ' |
Commitments and Contingencies [Line Items] | ' |
Years ending December 31, 2014 | 129 |
2015 | 100 |
2016 | 67 |
2017 | 55 |
2018 | 36 |
Due after 5 years | 122 |
Total gross and net lease commitments | $509 |
Capital_Lease_Commitment_Detai
Capital Lease Commitment (Detail) (USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Schedule of Capital Lease Obligations [Line Items] | ' |
Years ending December 31, 2014 | $15 |
2015 | 12 |
2016 | 9 |
2017 | 9 |
2018 | 9 |
Due after 5 years | 4 |
Gross lease commitment | 58 |
Less: interest | -14 |
Net lease commitment included in capital lease and other long-term liabilities | $44 |
Stockholders_Equity_Additional
Stockholders' Equity - Additional Information (Detail) (USD $) | 0 Months Ended | 12 Months Ended | 0 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 0 Months Ended | 1 Months Ended | 12 Months Ended | |||||||||
Jul. 25, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Jul. 25, 2013 | Jun. 30, 2010 | Dec. 31, 2013 | 31-May-12 | Dec. 31, 2013 | Jul. 30, 2013 | Nov. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | |
Common Stock | Common Stock | Additional Paid-in Capital | Additional Paid-in Capital | Retained earnings | Retained earnings | Share repurchase from Third Point | June 2010 Plan | June 2010 Plan | May 2012 Plan | May 2012 Plan | May 2012 Plan | November 2013 Plan | November 2013 Plan | June 2010 and May 2012 Plan | |||||
Share repurchase from Third Point | |||||||||||||||||||
Stockholders Equity [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Preferred stock, shares authorized | ' | 10,000,000 | 10,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Treasury stock acquired repurchase authorization value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $3,000,000,000 | ' | $5,000,000,000 | ' | ' | $5,000,000,000 | ' | ' |
Stock repurchase program expiration date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2013-06 | ' | '2015-06 | ' | ' | '2016-12 | ' |
Repurchases of common stock, shares | ' | 128,863,000 | 126,021,000 | 109,716,000 | ' | ' | ' | ' | ' | ' | 40,000,000 | ' | ' | ' | 128,863,000 | 40,000,000 | ' | ' | 126,021,000 |
Average purchase price per share of common stock repurchased during the period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $29.11 | ' | ' | ' | $25.95 | ' | ' | ' | $17.20 |
Repurchases of common stock, value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,200,000,000 | ' | ' | ' | 3,300,000,000 | ' | ' | ' | 2,200,000,000 |
Line of Credit borrowings to fund repurchase transaction | 150,000,000 | 150,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Remaining authorized purchase capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 93,000,000 | ' | ' | 5,000,000,000 | ' |
Stock repurchased and retired | ' | 198,000,000 | 79,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock retired | ' | ' | ' | ' | 198,000 | 79,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Retirement of treasury stock | ' | ' | ' | ' | ' | ' | $1,600,000,000 | $631,000,000 | $2,900,000,000 | $585,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Employee_Benefits_Additional_I
Employee Benefits - Additional Information (Detail) (USD $) | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Nov. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Jul. 31, 2012 | Dec. 31, 2013 | Jul. 31, 2012 | Jul. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Stock Options | Stock Options | Stock Options | Employee Stock Purchase Plan | Employee Stock Purchase Plan | Employee Stock Purchase Plan | Restricted Stock Awards And Units | Restricted Stock Awards And Units | Restricted Stock Awards And Units | Director | Director | Minimum | Maximum | Maximum | Initial Grant | Annual Grant | Annual Grant | Annual Grant | Prior to November 2012 | Beginning in November 2012 | Performance Based Stock Options | Performance Based Stock Options | Performance Based Stock Options | Performance Based Stock Options | Performance Based Stock Options | Performance Based Stock Options | Performance Based Stock Options | Performance Based Stock Options | Performance Based Stock Options | Performance Based Stock Options | Performance Based Restricted Stock Units | Performance Based Restricted Stock Units | Performance Based Restricted Stock Units | Performance Based Restricted Stock Units | Performance Based Restricted Stock Units | Performance Based Restricted Stock Units | Restricted Stock Units (RSUs) | Restricted Stock Units (RSUs) | Restricted Stock Units (RSUs) | Restricted Stock Units (RSUs) | Restricted Stock Units (RSUs) | Restricted Stock Units (RSUs) | Stock Plan 1995 | Stock Plan 1995 | Stock Plan 1995 | Stock Plan 1995 | Four Zero One K Plan | Four Zero One K Plan | 401(k) | 401(k) | 401(k) | Other Foreign Benefit Plans | Other Foreign Benefit Plans | Other Foreign Benefit Plans | ||||
Options Granted After May 252006 | 1995 Stock Plan | Director | Director | Minimum | Maximum | CEO Two Thousand Twelve Annual Equity Awards | CEO Two Thousand Twelve Annual Equity Awards | CEO One-Time Retention Award | First Tranche | Second Tranche | Minimum | Maximum | Revenue ex -TAC | Operating Income | Free Cash Flow | Minimum | Maximum | Revenue ex -TAC | Operating Income | Free Cash Flow | CEO Two Thousand Twelve Annual Equity Awards | CEO Two Thousand Twelve Annual Equity Awards | CEO One-Time Retention Award | CEO Make-Whole Restricted Stock Units | CEO Make-Whole Restricted Stock Units | Director | Stock Options | Options Granted Prior To May 192005 | Options Granted After May 192005 | Minimum | Maximum | ||||||||||||||||||||||||||
Y | Options Granted Before May 252006 | Options Granted Before May 252006 | Director | Director | Y | Y | |||||||||||||||||||||||||||||||||||||||||||||||||||
Installment | Options Granted Before May 252006 | Options Granted Before May 252006 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Y | Y | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Benefit plan employee contribution | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.00% | 50.00% | ' | ' | ' | ' | ' | ' |
Rate at which the company matches employee contributions | 25.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Employer contributions to benefit plans | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $18,000,000 | $19,000,000 | $20,000,000 | $17,000,000 | $22,000,000 | $24,000,000 |
Expiration of stock awards, years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7 | ' | ' | ' | ' | ' | 7 | 10 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10 | 7 | ' | ' | ' | ' | ' | ' | ' | ' |
Equity award vesting period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '1 year | '1 year | '4 years | '4 years | '4 years | ' | ' | ' | ' | ' | ' | '2 years 6 months | '4 years 6 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '3 years | '5 years | ' | ' | '1 year | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares available to be awarded | ' | ' | ' | ' | ' | ' | 75,000,000 | ' | ' | ' | ' | ' | 9,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 754,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares available for issuance | ' | ' | ' | ' | ' | ' | 15,000,000 | ' | ' | ' | ' | ' | 5,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 65,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares granted against share limits | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.75 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.75 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vesting period installments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'Equal quarterly installments over one year | ' | ' | ' | 'Equal monthly installments over four years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vesting percentage upon one year anniversary of date of grant | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of installments for vesting period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 36 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Employee stock purchase plan payroll deductions percent | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Price as a percentage of fair value of common stock purchased under employee stock purchase plan | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 85.00% | 90.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Employee stock purchase plan offering period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '24 months | '3 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock-based compensation expense | 278,220,000 | 224,365,000 | 203,958,000 | ' | ' | ' | 16,000,000 | 31,000,000 | 46,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unamortized stock-based compensation expense | ' | ' | ' | 16,000,000 | ' | ' | 3,000,000 | ' | ' | 615,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock-based compensation, recognition period | ' | ' | ' | '1 year 6 months | ' | ' | '4 months 24 days | ' | ' | '2 years 9 months 18 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '6 months | '12 months | ' | ' | ' | ' | ' | '1 year | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted-average grant date fair value of all options granted and assumed during period | $18.72 | $4.36 | $5.04 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total intrinsic value of options exercised | ' | ' | ' | 122,000,000 | 45,000,000 | 46,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash received from options exercised | ' | ' | ' | 353,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Tax benefit from stock option exercises | ' | ' | ' | 16,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total fair value of restricted stock awards vested | ' | ' | ' | ' | ' | ' | ' | ' | ' | 220,000,000 | 171,000,000 | 136,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vested | ' | ' | ' | ' | ' | ' | ' | ' | ' | 14,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares withheld to settle employees' minimum statutory obligation for applicable income and other employment taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payments made to taxing authorities for employees' tax obligations | 139,815,000 | 60,939,000 | 44,761,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Excess tax benefits from stock-based awards | 64,407,000 | 35,844,000 | 70,680,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity award granted | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6,000,000 | ' | ' | 14,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity award expected grant date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2012-11 | '2012-11 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity award granted | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity award expected to be granted | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity award vesting in 2012 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity award vesting in 2013 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity award vesting in 2014 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock awards vesting percentage for each performance period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.00% | 100.00% | ' | ' | ' | ' | 0.00% | 200.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Financial performance metrics for stock option awards | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 50.00% | 30.00% | 20.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock options grant date fair value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 12,000,000 | 14,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Financial performance metrics for restricted stock units awards | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 60.00% | 20.00% | 20.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restricted stock units grant date fair value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $9,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock_Option_Activity_Detail
Stock Option Activity (Detail) (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | |
Outstanding stock options, Beginning balance | 38,092 | ' | |
Stock options granted during the period | 51 | ' | |
Stock options assumed in acquisitions during the period | 1,121 | ' | |
Stock options exercised during the period | -13,707 | [1] | ' |
Stock options cancelled/forfeited during the period | -1,198 | ' | |
Stock options expired during the period | -3,391 | ' | |
Outstanding stock options, Ending balance | 20,968 | 38,092 | |
Vested and expected to vest, outstanding, balance | 19,701 | [2] | ' |
Exercisable at December 31, 2013 | 10,696 | ' | |
Weighted average exercise price of options outstanding, Beginning balance | $21.42 | ' | |
Weighted-average exercise price of shares granted during period | $29.32 | ' | |
Weighted-average exercise price of shares assumed in acquisitions during period | $7.39 | ' | |
Weighted-average exercise price of shares exercised during period | $20.32 | [1] | ' |
Weighted-average exercise price of shares cancelled/forfeited during period | $15.13 | ' | |
Weighted-average exercise price of shares expired during period | $29.73 | ' | |
Weighted average exercise price of options outstanding, Ending balance | $20.43 | $21.42 | |
Vested and expected to vest, weighted average exercise price | $20.13 | [2] | ' |
Exercisable at December 31, 2013, weighted average exercise price | $22.24 | ' | |
Outstanding at December 31, weighted average remaining contractual life, years | '4 years 2 months 12 days | '4 years 2 months 9 days | |
Vested and expected to vest, weighted average remaining contractual life, years | '4 years 1 month 2 days | [2] | ' |
Vested and expected to vest, exercisable, weighted average remaining contractual life, years | '2 years 7 months 21 days | ' | |
Aggregate intrinsic value, outstanding, Beginning balance | $78,387 | ' | |
Aggregate intrinsic value, outstanding, Ending balance | 428,414 | 78,387 | |
Vested and expected to vest, aggregate intrinsic value | 400,054 | [2] | ' |
Exercisable at December 31, 2013 | $194,676 | ' | |
[1] | The Company issued new shares to satisfy stock option exercises. | ||
[2] | The expected to vest options are the result of applying the pre-vesting forfeiture rate assumptions to total outstanding options. |
Weighted_Average_Assumptions_U
Weighted Average Assumptions Used to Calculate Fair Value of Options Granted (Detail) | 12 Months Ended | |||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||||
Stock Options | ' | ' | ' | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | |||
Expected dividend yield | 0.00% | [1] | 0.00% | [1] | 0.00% | [1] |
Risk-free interest rate | 0.70% | [2] | 0.60% | [2] | 1.30% | [2] |
Expected volatility | 33.30% | [3] | 31.90% | [3] | 36.90% | [3] |
Expected life (in years) | '3 years 7 months 6 days | [4] | '4 years 7 days | [4] | '4 years 11 days | [4] |
Employee Stock Purchase Plan | ' | ' | ' | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | |||
Expected dividend yield | 0.00% | [1],[5] | 0.00% | [1],[5] | 0.00% | [1],[5] |
Risk-free interest rate | 0.10% | [2],[5] | 0.40% | [2],[5] | 0.40% | [2],[5] |
Expected volatility | 31.70% | [3],[5] | 33.70% | [3],[5] | 35.60% | [3],[5] |
Expected life (in years) | '3 months | [4],[5] | '1 year 2 months 16 days | [4],[5] | '1 year 15 days | [4],[5] |
[1] | The Company currently has no history or expectation of paying cash dividends on its common stock in the near future. | |||||
[2] | The risk-free interest rate is based on the U.S. Treasury yield for a term consistent with the expected term of the awards in effect at the time of grant. | |||||
[3] | The Company estimates the volatility of its common stock at the date of grant based on the implied volatility of publicly traded options on its common stock, with a term of one year or greater. | |||||
[4] | The expected life of stock options granted under the Plans is based on historical exercise patterns, which the Company believes are representative of future behavior. New grants issued by the Company had an expected life of 4.25 years in 2011, 4.00 years in 2012, and 2.58 years in 2013. Options assumed in acquisitions had expected lives of less than 4 years. | |||||
[5] | Assumptions for the Employee Stock Purchase Plan relate to the annual average of the enrollment periods. During the year ended December 31, 2012, enrollment was permitted in May and November of each year. Beginning in 2013, enrollment was permitted in February, May, August, and November of each year. |
Weighted_Average_Assumptions_U1
Weighted Average Assumptions Used to Calculate Fair Value of Options Granted (Parenthetical) (Detail) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Y | Y | Y | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Expected life of new grants issued | 2.58 | 4 | 4.25 |
Expected life of options assumed in acquisitions | 'Less than 4 years | ' | ' |
Restricted_Stock_Awards_Activi
Restricted Stock Awards Activity (Detail) (Restricted Stock Awards And Units, USD $) | 12 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | |
Restricted Stock Awards And Units | ' | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | |
Awarded and unvested at December 31, 2012 | 33,801 | |
Granted | 34,835 | [1] |
Assumed in acquisitions | 2,364 | |
Vested | -14,187 | |
Forfeited | -7,229 | |
Awarded and unvested at December 31, 2013 | 49,584 | |
Weighted-average grant date fair value, Beginning balance | $17.63 | |
Weighted-average grant date fair value, granted shares | $25.55 | [1] |
Weighted-average grant date fair value, Assumed | $26.24 | |
Weighted-average grant date fair value, vested shares | $15.49 | |
Weighted-average grant date fair value, forfeited shares | $17.74 | |
Weighted-average grant date fair value, Ending balance | $24.20 | |
[1] | Includes the maximum number of shares issuable under the Company's performance-based restricted stock unit awards |
Restructuring_Charges_Reversal
Restructuring Charges (Reversals), Net (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Employee severance pay and related costs (reversals) | ' | ' | ' | ' | ' | ' | ' | ($10,819) | $102,704 | ' |
Non-cancelable lease, contract terminations, and other charges | ' | ' | ' | ' | ' | ' | ' | 14,038 | 26,999 | ' |
Other non-cash charges, net | ' | ' | ' | ' | ' | ' | ' | 547 | 109,896 | ' |
Sub-total before accelerations (reversals) of stock-based compensation expense | ' | ' | ' | ' | ' | ' | ' | ' | 239,599 | ' |
Accelerations (reversals) of stock-based compensation expense | ' | ' | ' | ' | ' | ' | ' | ' | -3,429 | ' |
Restructuring charges (reversal), net | 8,000 | 4,000 | -7,000 | 77,000 | 25,000 | 129,000 | 6,000 | 3,766 | 236,170 | 24,420 |
Restructuring Plans Prior to 2012 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Employee severance pay and related costs (reversals) | ' | ' | ' | ' | ' | ' | ' | -459 | 1,169 | 12,965 |
Non-cancelable lease, contract terminations, and other charges | ' | ' | ' | ' | ' | ' | ' | 13,894 | 8,462 | 10,251 |
Other non-cash charges, net | ' | ' | ' | ' | ' | ' | ' | ' | ' | 990 |
Sub-total before accelerations (reversals) of stock-based compensation expense | ' | ' | ' | ' | ' | ' | ' | ' | 9,631 | 24,206 |
Accelerations (reversals) of stock-based compensation expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | 214 |
Restructuring charges (reversal), net | ' | ' | ' | ' | ' | ' | ' | 13,435 | 9,631 | 24,420 |
Q2'12 Restructuring Plan | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Employee severance pay and related costs (reversals) | ' | ' | ' | ' | ' | ' | ' | -15,401 | 96,537 | ' |
Non-cancelable lease, contract terminations, and other charges | ' | ' | ' | ' | ' | ' | ' | 164 | 9,541 | ' |
Other non-cash charges, net | ' | ' | ' | ' | ' | ' | ' | ' | 40,462 | ' |
Sub-total before accelerations (reversals) of stock-based compensation expense | ' | ' | ' | ' | ' | ' | ' | ' | 146,540 | ' |
Accelerations (reversals) of stock-based compensation expense | ' | ' | ' | ' | ' | ' | ' | ' | -3,429 | ' |
Restructuring charges (reversal), net | ' | ' | ' | ' | ' | ' | ' | -15,237 | 143,111 | ' |
Q4'12 Korea Business Closure | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Employee severance pay and related costs (reversals) | ' | ' | ' | ' | ' | ' | ' | -103 | 4,998 | ' |
Non-cancelable lease, contract terminations, and other charges | ' | ' | ' | ' | ' | ' | ' | -20 | 8,996 | ' |
Other non-cash charges, net | ' | ' | ' | ' | ' | ' | ' | 547 | 69,434 | ' |
Sub-total before accelerations (reversals) of stock-based compensation expense | ' | ' | ' | ' | ' | ' | ' | ' | 83,428 | ' |
Restructuring charges (reversal), net | ' | ' | ' | ' | ' | ' | ' | 424 | 83,428 | ' |
Q4'13 Restructuring Plan | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Employee severance pay and related costs (reversals) | ' | ' | ' | ' | ' | ' | ' | 5,144 | ' | ' |
Restructuring charges (reversal), net | ' | ' | ' | ' | ' | ' | ' | $5,144 | ' | ' |
Restructuring_Charges_Net_by_S
Restructuring Charges, Net by Segment (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges, net | $8,000 | $4,000 | ($7,000) | $77,000 | $25,000 | $129,000 | $6,000 | $3,766 | $236,170 | $24,420 |
Americas | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges, net | ' | ' | ' | ' | ' | ' | ' | 571 | 102,623 | ' |
EMEA | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges, net | ' | ' | ' | ' | ' | ' | ' | 2,862 | 45,360 | ' |
Asia Pacific | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges, net | ' | ' | ' | ' | ' | ' | ' | 333 | 88,187 | ' |
Restructuring Plans Prior to 2012 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges, net | ' | ' | ' | ' | ' | ' | ' | 13,435 | 9,631 | 24,420 |
Restructuring Plans Prior to 2012 | Americas | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges, net | ' | ' | ' | ' | ' | ' | ' | 8,212 | 9,834 | 22,244 |
Restructuring Plans Prior to 2012 | EMEA | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges, net | ' | ' | ' | ' | ' | ' | ' | 4,716 | -617 | 952 |
Restructuring Plans Prior to 2012 | Asia Pacific | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges, net | ' | ' | ' | ' | ' | ' | ' | 507 | 414 | 1,224 |
Q2'12 Restructuring Plan | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges, net | ' | ' | ' | ' | ' | ' | ' | -15,237 | 143,111 | ' |
Q2'12 Restructuring Plan | Americas | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges, net | ' | ' | ' | ' | ' | ' | ' | -7,641 | 92,789 | ' |
Q2'12 Restructuring Plan | EMEA | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges, net | ' | ' | ' | ' | ' | ' | ' | -6,998 | 45,977 | ' |
Q2'12 Restructuring Plan | Asia Pacific | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges, net | ' | ' | ' | ' | ' | ' | ' | -598 | 4,345 | ' |
Q4'12 Korea Business Closure | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges, net | ' | ' | ' | ' | ' | ' | ' | 424 | 83,428 | ' |
Q4'12 Korea Business Closure | Asia Pacific | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges, net | ' | ' | ' | ' | ' | ' | ' | 424 | 83,428 | ' |
Q4'13 Restructuring Plan | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges, net | ' | ' | ' | ' | ' | ' | ' | 5,144 | ' | ' |
Q4'13 Restructuring Plan | EMEA | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges, net | ' | ' | ' | ' | ' | ' | ' | $5,144 | ' | ' |
Restructuring_Charges_Net_Addi
Restructuring Charges Net - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||
Dec. 31, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jun. 30, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | |
Maximum | Employee Severance | Employee Severance | Non-Cancelable Lease Costs | Americas | Americas | EMEA | EMEA | Asia Pacific | Asia Pacific | Restructuring Plans Prior to 2012 | Restructuring Plans Prior to 2012 | Restructuring Plans Prior to 2012 | Restructuring Plans Prior to 2012 | Restructuring Plans Prior to 2012 | Restructuring Plans Prior to 2012 | Restructuring Plans Prior to 2012 | Restructuring Plans Prior to 2012 | Restructuring Plans Prior to 2012 | Restructuring Plans Prior to 2012 | Restructuring Plans Prior to 2012 | Restructuring Plans Prior to 2012 | Restructuring Plans Prior to 2012 | Restructuring Plans Prior to 2012 | Q2'12 Restructuring Plan | Q2'12 Restructuring Plan | Q2'12 Restructuring Plan | Q2'12 Restructuring Plan | Q2'12 Restructuring Plan | Q2'12 Restructuring Plan | Q2'12 Restructuring Plan | Q2'12 Restructuring Plan | Q2'12 Restructuring Plan | Q2'12 Restructuring Plan | Q2'12 Restructuring Plan | Q4'12 Korea Business Closure | Q4'12 Korea Business Closure | Q4'12 Korea Business Closure | Q4'12 Korea Business Closure | Q4'12 Korea Business Closure | Q4'12 Korea Business Closure | Q4'12 Korea Business Closure | Q4'13 Restructuring Plan | Q4'13 Restructuring Plan | Q4'13 Restructuring Plan | |||||||||||
Employee Severance | Employee Severance | Americas | Americas | Americas | EMEA | EMEA | EMEA | Asia Pacific | Asia Pacific | Asia Pacific | Person | Employee Severance | Employee Severance | Americas | Americas | EMEA | EMEA | Asia Pacific | Asia Pacific | Employee Severance | Employee Severance | Asia Pacific | Asia Pacific | Asia Pacific | Employee Severance | EMEA | |||||||||||||||||||||||||||||
Maximum | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total pre-tax charges in severance, facility and other related costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $10,000,000 | $23,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $7,000,000 | $139,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1,000,000 | ' | ' | ' |
Total pre-tax facilities and other related costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 13,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Changes in estimates and reversals of previous charges | ' | ' | ' | ' | ' | ' | ' | -24,940,000 | -37,705,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -1,000,000 | -5,085,000 | -12,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -22,123,000 | -32,620,000 | ' | ' | ' | ' | ' | ' | ' | ' | -1,817,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring, non cash charge related to asset impairment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 86,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges (reversals), net | 8,000,000 | 4,000,000 | -7,000,000 | 77,000,000 | 25,000,000 | 129,000,000 | 6,000,000 | 3,766,000 | 236,170,000 | 24,420,000 | -1,000,000 | 12,337,000 | 139,623,000 | ' | 571,000 | 102,623,000 | 2,862,000 | 45,360,000 | 333,000 | 88,187,000 | 13,435,000 | 9,631,000 | 24,420,000 | 28,000 | 5,924,000 | 8,212,000 | 9,834,000 | 22,244,000 | 4,716,000 | -617,000 | 952,000 | 507,000 | 414,000 | 1,224,000 | ' | -15,237,000 | 143,111,000 | 6,722,000 | 128,701,000 | -7,641,000 | 92,789,000 | -6,998,000 | 45,977,000 | -598,000 | 4,345,000 | 424,000 | 83,428,000 | 443,000 | 4,998,000 | 424,000 | 83,428,000 | ' | 5,144,000 | 5,144,000 | 5,144,000 |
Number of employees whose employment was terminated | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other non-cash charges | ' | ' | ' | ' | ' | ' | ' | 547,000 | 109,896,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 990,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 40,462,000 | ' | ' | ' | ' | ' | ' | ' | ' | 547,000 | 69,434,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring, pre tax cash charges offset related to non cash stock based compensation expense reversals for unvested stock awards that were forfeited | ' | ' | ' | ' | ' | ' | ' | ' | 3,429,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,429,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total pre-tax severance and contract termination costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 13,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring, non cash charge related to cumulative foreign currency translation adjustment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 16,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Total pre-tax charges in severance and other related costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5,000,000 |
Restructuring liability | $30,096,000 | ' | ' | $72,867,000 | ' | ' | ' | $30,096,000 | $72,867,000 | $49,127,000 | ' | $5,000,000 | ' | $25,000,000 | $18,078,000 | $42,689,000 | $11,284,000 | $18,144,000 | $734,000 | $12,034,000 | $22,349,000 | $27,716,000 | $49,127,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $2,765,000 | $35,049,000 | ' | ' | ' | ' | ' | ' | ' | ' | $337,000 | $10,102,000 | ' | ' | ' | ' | ' | $4,645,000 | ' | ' |
Restructuring_Accrual_Activity
Restructuring Accrual Activity (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning balance | ' | ' | $72,867 | ' | ' | ' | $49,127 | $72,867 | $49,127 | ' |
Non-cash reversals of stock-based compensation expense | ' | ' | ' | ' | ' | ' | ' | ' | -3,429 | ' |
Other non-cash charges | ' | ' | ' | ' | ' | ' | ' | 547 | 109,896 | ' |
Changes in estimates and reversals of previous charges | ' | ' | ' | ' | ' | ' | ' | -24,940 | -37,705 | ' |
Restructuring charges (reversals), net | 8,000 | 4,000 | -7,000 | 77,000 | 25,000 | 129,000 | 6,000 | 3,766 | 236,170 | 24,420 |
Cash paid | ' | ' | ' | ' | ' | ' | ' | -46,006 | -103,071 | ' |
Non-cash reversals of stock-based compensation expense | ' | ' | ' | ' | ' | ' | ' | ' | 3,429 | ' |
Other non-cash charges | ' | ' | ' | ' | ' | ' | ' | -547 | -109,537 | ' |
Foreign currency | ' | ' | ' | ' | ' | ' | ' | 16 | -3,251 | ' |
Ending balance | 30,096 | ' | ' | 72,867 | ' | ' | ' | 30,096 | 72,867 | 49,127 |
Employee Severance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges (reversals), net | ' | ' | ' | ' | ' | ' | ' | 12,337 | 139,623 | ' |
Ending balance | 5,000 | ' | ' | ' | ' | ' | ' | 5,000 | ' | ' |
Non-Cancelable Lease, Contract Termination, And Other Charges | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges (reversals), net | ' | ' | ' | ' | ' | ' | ' | 15,822 | 27,785 | ' |
Restructuring Plans Prior to 2012 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning balance | ' | ' | 27,716 | ' | ' | ' | 49,127 | 27,716 | 49,127 | ' |
Other non-cash charges | ' | ' | ' | ' | ' | ' | ' | ' | ' | 990 |
Changes in estimates and reversals of previous charges | ' | ' | ' | ' | ' | ' | ' | -1,000 | -5,085 | -12,000 |
Restructuring charges (reversals), net | ' | ' | ' | ' | ' | ' | ' | 13,435 | 9,631 | 24,420 |
Cash paid | ' | ' | ' | ' | ' | ' | ' | -19,082 | -30,746 | ' |
Other non-cash charges | ' | ' | ' | ' | ' | ' | ' | ' | -232 | ' |
Foreign currency | ' | ' | ' | ' | ' | ' | ' | 280 | -64 | ' |
Ending balance | 22,349 | ' | ' | 27,716 | ' | ' | ' | 22,349 | 27,716 | 49,127 |
Restructuring Plans Prior to 2012 | Employee Severance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges (reversals), net | ' | ' | ' | ' | ' | ' | ' | 28 | 5,924 | ' |
Restructuring Plans Prior to 2012 | Non-Cancelable Lease, Contract Termination, And Other Charges | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges (reversals), net | ' | ' | ' | ' | ' | ' | ' | 14,407 | 8,792 | ' |
Q2'12 Restructuring Plan | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning balance | ' | ' | 35,049 | ' | ' | ' | ' | 35,049 | ' | ' |
Non-cash reversals of stock-based compensation expense | ' | ' | ' | ' | ' | ' | ' | ' | -3,429 | ' |
Other non-cash charges | ' | ' | ' | ' | ' | ' | ' | ' | 40,462 | ' |
Changes in estimates and reversals of previous charges | ' | ' | ' | ' | ' | ' | ' | -22,123 | -32,620 | ' |
Restructuring charges (reversals), net | ' | ' | ' | ' | ' | ' | ' | -15,237 | 143,111 | ' |
Cash paid | ' | ' | ' | ' | ' | ' | ' | -16,829 | -68,018 | ' |
Non-cash reversals of stock-based compensation expense | ' | ' | ' | ' | ' | ' | ' | ' | 3,429 | ' |
Other non-cash charges | ' | ' | ' | ' | ' | ' | ' | ' | -40,148 | ' |
Foreign currency | ' | ' | ' | ' | ' | ' | ' | -218 | -3,325 | ' |
Ending balance | 2,765 | ' | ' | 35,049 | ' | ' | ' | 2,765 | 35,049 | ' |
Q2'12 Restructuring Plan | Employee Severance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges (reversals), net | ' | ' | ' | ' | ' | ' | ' | 6,722 | 128,701 | ' |
Q2'12 Restructuring Plan | Non-Cancelable Lease, Contract Termination, And Other Charges | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges (reversals), net | ' | ' | ' | ' | ' | ' | ' | 164 | 9,997 | ' |
Q4'12 Korea Business Closure | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning balance | ' | ' | 10,102 | ' | ' | ' | ' | 10,102 | ' | ' |
Other non-cash charges | ' | ' | ' | ' | ' | ' | ' | 547 | 69,434 | ' |
Changes in estimates and reversals of previous charges | ' | ' | ' | ' | ' | ' | ' | -1,817 | ' | ' |
Restructuring charges (reversals), net | ' | ' | ' | ' | ' | ' | ' | 424 | 83,428 | ' |
Cash paid | ' | ' | ' | ' | ' | ' | ' | -9,471 | -4,307 | ' |
Other non-cash charges | ' | ' | ' | ' | ' | ' | ' | -547 | -69,157 | ' |
Foreign currency | ' | ' | ' | ' | ' | ' | ' | -171 | 138 | ' |
Ending balance | 337 | ' | ' | 10,102 | ' | ' | ' | 337 | 10,102 | ' |
Q4'12 Korea Business Closure | Employee Severance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges (reversals), net | ' | ' | ' | ' | ' | ' | ' | 443 | 4,998 | ' |
Q4'12 Korea Business Closure | Non-Cancelable Lease, Contract Termination, And Other Charges | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges (reversals), net | ' | ' | ' | ' | ' | ' | ' | 1,251 | 8,996 | ' |
Q4'13 Restructuring Plan | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges (reversals), net | ' | ' | ' | ' | ' | ' | ' | 5,144 | ' | ' |
Cash paid | ' | ' | ' | ' | ' | ' | ' | -624 | ' | ' |
Foreign currency | ' | ' | ' | ' | ' | ' | ' | 125 | ' | ' |
Ending balance | 4,645 | ' | ' | ' | ' | ' | ' | 4,645 | ' | ' |
Q4'13 Restructuring Plan | Employee Severance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges (reversals), net | ' | ' | ' | ' | ' | ' | ' | $5,144 | ' | ' |
Classification_of_Restructurin
Classification of Restructuring Accruals (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | |||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Accrued expenses and other current liabilities | $21,741 | $57,642 | ' |
Capital lease and other long-term liabilities | 8,355 | 15,225 | ' |
Total restructuring accruals | $30,096 | $72,867 | $49,127 |
Restructuring_Accruals_by_Segm
Restructuring Accruals by Segment (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | |||
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Total restructuring accruals | $30,096 | $72,867 | $49,127 |
Americas | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Total restructuring accruals | 18,078 | 42,689 | ' |
EMEA | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Total restructuring accruals | 11,284 | 18,144 | ' |
Asia Pacific | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' |
Total restructuring accruals | $734 | $12,034 | ' |
Income_Before_Income_Taxes_and
Income Before Income Taxes and Earnings in Equity Interests (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Schedule of Components of Income Before Income Tax Expense (Benefit) [Line Items] | ' | ' | ' |
United States | $538,824 | $5,056,643 | $533,262 |
Foreign | 94,459 | 157,564 | 294,254 |
Income before income taxes and earnings in equity interests | $633,283 | $5,214,207 | $827,516 |
Provision_For_Income_Tax_Detai
Provision For Income Tax (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||||||||
Current: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
United States federal | ' | ' | ' | ' | ' | ' | ' | ' | $138,032 | $2,278,759 | $141,922 | ||||||||
State | ' | ' | ' | ' | ' | ' | ' | ' | 49,872 | 361,788 | -11,037 | ||||||||
Foreign | ' | ' | ' | ' | ' | ' | ' | ' | 49,790 | 68,816 | 40,490 | ||||||||
Total current provision for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 237,694 | 2,709,363 | 171,375 | ||||||||
Deferred: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
United States federal | ' | ' | ' | ' | ' | ' | ' | ' | -63,166 | -741,628 | 77,012 | ||||||||
State | ' | ' | ' | ' | ' | ' | ' | ' | -22,498 | -29,470 | -4,437 | ||||||||
Foreign | ' | ' | ' | ' | ' | ' | ' | ' | 1,362 | 1,778 | -2,183 | ||||||||
Total deferred provision (benefit) for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | -84,302 | -769,320 | 70,392 | ||||||||
Provision for income taxes | $41,498 | [1] | $31,891 | [2] | $50,267 | [3] | $29,736 | [4] | $83,007 | [5] | $1,774,094 | [6] | $26,523 | [7] | $56,419 | [8] | $153,392 | $1,940,043 | $241,767 |
[1] | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2013 includes a gain on the sale of patents of $70 million, a goodwill impairment charge of $64 million, and net restructuring charges of $8 million. | ||||||||||||||||||
[2] | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2013 includes net restructuring reversals of less than $1 million. | ||||||||||||||||||
[3] | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2013 includes net restructuring charges of $4 million. | ||||||||||||||||||
[4] | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2013 includes net restructuring reversals of $7 million. | ||||||||||||||||||
[5] | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2012 includes a one-time distribution of foreign earnings resulting in an overall net benefit of approximately $117 million and net restructuring charges of $77 million. | ||||||||||||||||||
[6] | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2012 includes net restructuring charges of $25 million and pre-tax gain of $4.6 billion related to the sale of Alibaba Group Shares, which is included in other income, net. | ||||||||||||||||||
[7] | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2012 includes net restructuring charges of $129 million. | ||||||||||||||||||
[8] | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2012 includes net restructuring charges of $6 million. |
Reconciliation_Tax_Computed_by
Reconciliation Tax Computed by Applying Statutory Income Tax Rate (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||||||||
Reconciliation of Statutory Federal Tax Rate [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Income tax at the U.S. federal statutory rate of 35 percent | ' | ' | ' | ' | ' | ' | ' | ' | $221,648 | $1,824,973 | $289,630 | ||||||||
State income taxes, net of federal benefit | ' | ' | ' | ' | ' | ' | ' | ' | 23,000 | 237,637 | 4,627 | ||||||||
Stock-based compensation expense | ' | ' | ' | ' | ' | ' | ' | ' | 16,015 | 19,946 | 20,021 | ||||||||
Research tax credits | ' | ' | ' | ' | ' | ' | ' | ' | -18,036 | ' | -10,499 | ||||||||
Effect of non-U.S. operations | ' | ' | ' | ' | ' | ' | ' | ' | -47,968 | -138,078 | -49,781 | ||||||||
Settlement with tax authorities | ' | ' | ' | ' | ' | ' | ' | ' | -46,943 | -4,711 | -14,685 | ||||||||
Remeasuresment of prior year tax positions | ' | ' | ' | ' | ' | ' | ' | ' | -24,246 | ' | ' | ||||||||
Acquisition related non-deductible expenses | ' | ' | ' | ' | ' | ' | ' | ' | 9,296 | 1,894 | ' | ||||||||
Goodwill impairment charge | ' | ' | ' | ' | ' | ' | ' | ' | 22,244 | ' | ' | ||||||||
Other | ' | ' | ' | ' | ' | ' | ' | ' | -1,618 | -1,618 | 2,454 | ||||||||
Provision for income taxes | $41,498 | [1] | $31,891 | [2] | $50,267 | [3] | $29,736 | [4] | $83,007 | [5] | $1,774,094 | [6] | $26,523 | [7] | $56,419 | [8] | $153,392 | $1,940,043 | $241,767 |
[1] | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2013 includes a gain on the sale of patents of $70 million, a goodwill impairment charge of $64 million, and net restructuring charges of $8 million. | ||||||||||||||||||
[2] | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2013 includes net restructuring reversals of less than $1 million. | ||||||||||||||||||
[3] | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2013 includes net restructuring charges of $4 million. | ||||||||||||||||||
[4] | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2013 includes net restructuring reversals of $7 million. | ||||||||||||||||||
[5] | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2012 includes a one-time distribution of foreign earnings resulting in an overall net benefit of approximately $117 million and net restructuring charges of $77 million. | ||||||||||||||||||
[6] | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2012 includes net restructuring charges of $25 million and pre-tax gain of $4.6 billion related to the sale of Alibaba Group Shares, which is included in other income, net. | ||||||||||||||||||
[7] | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2012 includes net restructuring charges of $129 million. | ||||||||||||||||||
[8] | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2012 includes net restructuring charges of $6 million. |
Deferred_Income_Tax_Assets_and
Deferred Income Tax Assets and Liabilities (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Deferred income tax assets: | ' | ' |
Net operating loss and tax credit carryforwards | $148,060 | $219,054 |
Stock-based compensation expense | 66,583 | 81,910 |
Non-deductible reserves and expenses | 431,374 | 265,751 |
Depreciation expense | 22,937 | 21,386 |
Unrealized investment gains | 2,878 | 3,584 |
Intangible assets | 7,764 | 5,861 |
Gross deferred income tax assets | 679,596 | 597,546 |
Valuation allowance | -36,690 | -51,503 |
Deferred income tax assets | 642,906 | 546,043 |
Deferred income tax liabilities: | ' | ' |
Purchased intangible assets | -156,435 | -29,960 |
Depreciation expense | -86,641 | -118,808 |
Investments in equity interests | -323,368 | -13,120 |
Restructuring liabilities | -7,235 | -6,547 |
Deferred income tax liabilities | -573,679 | -168,435 |
Net deferred income tax assets | $69,227 | $377,608 |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | 12 Months Ended | 0 Months Ended | 12 Months Ended | |||||
Share data in Millions, unless otherwise specified | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Sep. 18, 2012 | Dec. 31, 2012 |
State Research Tax Credit Carryforward | Federal | State | Federal And State Jurisdiction | Alibaba Group | Alibaba Group | |||||
Income Taxes [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net operating loss carryforwards | ' | ' | ' | ' | ' | $299,000,000 | $31,000,000 | ' | ' | ' |
Start of expiration of operating loss carryforwards | ' | ' | ' | ' | ' | ' | ' | '2021 | ' | ' |
Tax credit carryforwards | ' | ' | ' | ' | 177,000,000 | ' | ' | ' | ' | ' |
Start of expiration of tax credit carryforwards | ' | ' | ' | ' | 'Carried forward indefinitely | ' | ' | ' | ' | ' |
Valuation allowance | 51,503,000 | 36,690,000 | 51,503,000 | ' | ' | ' | ' | ' | ' | ' |
Net tax benefit from one-time distribution of earnings from consolidated foreign subsidiaries | 117,000,000 | 36,000,000 | 117,000,000 | ' | ' | ' | ' | ' | ' | ' |
Undistributed earnings of foreign subsidiaries | ' | 2,600,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Unrecognized tax benefits | 727,367,000 | 695,285,000 | 727,367,000 | 532,862,000 | ' | ' | ' | ' | ' | ' |
Amount of unrecognized tax benefits which would affect the effective tax rate if realized | ' | 466,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Interest and penalties expense | ' | 21,000,000 | 37,000,000 | 2,000,000 | ' | ' | ' | ' | ' | ' |
Accrued interest and penalties | 51,000,000 | 76,000,000 | 51,000,000 | ' | ' | ' | ' | ' | ' | ' |
Interest received | ' | 4,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Settlement income tax examination for the 2005 and 2006 returns, tax benefit | ' | 54,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Reduction of tax reserves due to income tax examination | ' | 24,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Sale of investments in equity interests, shares | ' | ' | ' | ' | ' | ' | ' | ' | 523 | 523 |
Capital gain, tax percentage | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10.00% |
Indirect tax assessed, not accrued | $85,000,000 | ' | $85,000,000 | ' | ' | ' | ' | ' | ' | ' |
Reconciliation_of_Beginning_an
Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Income Tax Contingency [Line Items] | ' | ' |
Unrecognized tax benefits balance at January 1 | $727,367 | $532,862 |
Gross increase for tax positions of prior years | 69,188 | 9,441 |
Gross decrease for tax positions of prior years | -40,298 | -32,513 |
Gross increase for tax positions of current year | 34,556 | 231,525 |
Settlements | -94,640 | -10,520 |
Lapse of statute of limitations | -888 | -3,428 |
Unrecognized tax benefits balance at December 31 | $695,285 | $727,367 |
Unrecognized_Tax_Benefits_Reco
Unrecognized Tax Benefits Recorded on Consolidated Balance Sheets (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | |||
Balance Sheet Classification of Deferred Income Tax Assets and Liabilities [Line Items] | ' | ' | ' |
Total unrecognized tax benefits balance | $695,285 | $727,367 | $532,862 |
Amounts netted against related deferred tax assets | -89,048 | -83,635 | ' |
Unrecognized tax benefits recorded on consolidated balance sheets | 606,237 | 643,732 | ' |
Amounts classified as accrued expenses and other current liabilities | ' | 30,484 | ' |
Amounts classified as deferred and other long-term tax liabilities, net | 606,237 | 613,248 | ' |
Unrecognized tax benefits recorded on consolidated balance sheets | $606,237 | $643,732 | ' |
Related_Party_Transactions_Add
Related Party Transactions - Additional Information (Detail) (Revenue From Related Parties Other Than Yahoo Japan And Alibaba Group) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Revenue From Related Parties Other Than Yahoo Japan And Alibaba Group | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' |
Percent of total revenue | 1.00% | 1.00% | 1.00% |
Segment_Information_Detail
Segment Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||||||||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Revenue | $1,265,795 | [1] | $1,138,973 | [2] | $1,135,244 | [3] | $1,140,368 | [4] | $1,345,807 | [5] | $1,201,732 | [6] | $1,217,794 | [7] | $1,221,233 | [8] | $4,680,380 | $4,986,566 | $4,984,199 | |||
TAC | ' | ' | ' | ' | ' | ' | ' | ' | 254,442 | 518,906 | 603,371 | |||||||||||
Revenue ex-TAC | ' | ' | ' | ' | ' | ' | ' | ' | 4,425,938 | 4,467,660 | 4,380,828 | |||||||||||
Global operating costs | ' | ' | ' | ' | ' | ' | ' | ' | 1,830,621 | [10],[9] | 1,672,070 | [10],[9] | 1,638,975 | [10],[9] | ||||||||
Depreciation and amortization | ' | ' | ' | ' | ' | ' | ' | ' | 628,778 | 649,267 | 625,864 | |||||||||||
Goodwill impairment charge | 63,555 | ' | ' | ' | ' | ' | ' | ' | 63,555 | ' | ' | |||||||||||
Stock-based compensation expense | ' | ' | ' | ' | ' | ' | ' | ' | 278,220 | 224,365 | 203,958 | |||||||||||
Restructuring charges, net | 8,000 | ' | 4,000 | -7,000 | 77,000 | 25,000 | 129,000 | 6,000 | 3,766 | 236,170 | 24,420 | |||||||||||
Income from operations | 174,218 | [1] | 92,759 | [2] | 136,979 | [3] | 185,970 | [4] | 189,990 | [5] | 152,189 | [6] | 54,813 | [7] | 169,376 | [8] | 589,926 | 566,368 | 800,341 | |||
Patents | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Gains on sales of patents | ' | ' | ' | ' | ' | ' | ' | ' | -79,950 | ' | ' | |||||||||||
Americas | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Revenue | ' | ' | ' | ' | ' | ' | ' | ' | 3,481,502 | 3,461,633 | 3,302,989 | |||||||||||
TAC | ' | ' | ' | ' | ' | ' | ' | ' | 158,974 | 182,511 | 160,110 | |||||||||||
Revenue ex-TAC | ' | ' | ' | ' | ' | ' | ' | ' | 3,322,528 | 3,279,122 | 3,142,879 | |||||||||||
Direct costs by segment | ' | ' | ' | ' | ' | ' | ' | ' | 747,684 | [11] | 733,316 | [11] | 696,103 | [11] | ||||||||
Restructuring charges, net | ' | ' | ' | ' | ' | ' | ' | ' | 571 | 102,623 | ' | |||||||||||
EMEA | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Revenue | ' | ' | ' | ' | ' | ' | ' | ' | 385,186 | 472,061 | 629,383 | |||||||||||
TAC | ' | ' | ' | ' | ' | ' | ' | ' | 42,915 | 114,230 | 221,916 | |||||||||||
Revenue ex-TAC | ' | ' | ' | ' | ' | ' | ' | ' | 342,271 | 357,831 | 407,467 | |||||||||||
Direct costs by segment | ' | ' | ' | ' | ' | ' | ' | ' | 165,719 | [11] | 161,990 | [11] | 165,750 | [11] | ||||||||
Goodwill impairment charge | ' | ' | ' | ' | ' | ' | ' | ' | 63,555 | [12] | ' | ' | ||||||||||
Restructuring charges, net | ' | ' | ' | ' | ' | ' | ' | ' | 2,862 | 45,360 | ' | |||||||||||
Asia Pacific | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||||||
Revenue | ' | ' | ' | ' | ' | ' | ' | ' | 813,692 | 1,052,872 | 1,051,827 | |||||||||||
TAC | ' | ' | ' | ' | ' | ' | ' | ' | 52,553 | 222,165 | 221,345 | |||||||||||
Revenue ex-TAC | ' | ' | ' | ' | ' | ' | ' | ' | 761,139 | 830,707 | 830,482 | |||||||||||
Direct costs by segment | ' | ' | ' | ' | ' | ' | ' | ' | 197,619 | [11] | 224,114 | [11] | 225,417 | [11] | ||||||||
Restructuring charges, net | ' | ' | ' | ' | ' | ' | ' | ' | $333 | $88,187 | ' | |||||||||||
[1] | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2013 includes a gain on the sale of patents of $70 million, a goodwill impairment charge of $64 million, and net restructuring charges of $8 million. | |||||||||||||||||||||
[2] | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2013 includes net restructuring reversals of less than $1 million. | |||||||||||||||||||||
[3] | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2013 includes net restructuring charges of $4 million. | |||||||||||||||||||||
[4] | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2013 includes net restructuring reversals of $7 million. | |||||||||||||||||||||
[5] | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2012 includes a one-time distribution of foreign earnings resulting in an overall net benefit of approximately $117 million and net restructuring charges of $77 million. | |||||||||||||||||||||
[6] | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2012 includes net restructuring charges of $25 million and pre-tax gain of $4.6 billion related to the sale of Alibaba Group Shares, which is included in other income, net. | |||||||||||||||||||||
[7] | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2012 includes net restructuring charges of $129 million. | |||||||||||||||||||||
[8] | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2012 includes net restructuring charges of $6 million. | |||||||||||||||||||||
[9] | Global operating costs include product development, service engineering and operations, general and administrative, and other corporate expenses that are managed on a global basis and that are not directly attributable to any particular segment. Prior to 2012, marketing and customer experience costs were managed on a global basis and included as global operating costs. Prior period amounts have been revised to conform to the current presentation. | |||||||||||||||||||||
[10] | The net cost reimbursements from Microsoft pursuant to the Search Agreement are primarily included in global operating costs. | |||||||||||||||||||||
[11] | Direct costs for each segment include cost of revenue-other, as well as other operating expenses that are directly attributable to the segment such as employee compensation expense (excluding stock-based compensation expense), local sales and marketing expenses, and facilities expenses. Beginning in 2012, marketing and customer experience costs are managed locally and included as direct costs for each segment. Prior period amounts have been revised to conform to the current presentation. | |||||||||||||||||||||
[12] | Gross goodwill balances for the EMEA segment were $1.1 billion as of both January 1, 2012 and December 31, 2013. The EMEA segment includes accumulated impairment losses of $488 million as of January 1, 2012, and $551 million as of December 31, 2013. |
Capital_Expenditures_by_Segmen
Capital Expenditures by Segment (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Segment Reporting Information [Line Items] | ' | ' | ' |
Total capital expenditures, net | $338,131 | $505,507 | $593,294 |
Americas | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Total capital expenditures, net | 309,215 | 437,978 | 437,804 |
EMEA | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Total capital expenditures, net | 11,435 | 27,074 | 49,371 |
Asia Pacific | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Total capital expenditures, net | $17,481 | $40,455 | $106,119 |
Property_and_Equipment_Net_by_
Property and Equipment Net by Segment (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Segment Reporting Information [Line Items] | ' | ' |
Total property and equipment, net | $1,488,518 | $1,685,845 |
United States | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Total property and equipment, net | 1,346,889 | 1,483,225 |
Other Americas | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Total property and equipment, net | 1,183 | 1,869 |
Americas | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Total property and equipment, net | 1,348,072 | 1,485,094 |
EMEA | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Total property and equipment, net | 44,976 | 59,416 |
Asia Pacific | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Total property and equipment, net | $95,470 | $141,335 |
Revenues_for_Groups_of_Similar
Revenues for Groups of Similar Services (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||||||||
Revenue from External Customer [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Display | ' | ' | ' | ' | ' | ' | ' | ' | $1,949,830 | $2,142,818 | $2,160,309 | ||||||||
Search | ' | ' | ' | ' | ' | ' | ' | ' | 1,741,791 | 1,885,860 | 1,853,110 | ||||||||
Other | ' | ' | ' | ' | ' | ' | ' | ' | 988,759 | 957,888 | 970,780 | ||||||||
Total revenue | 1,265,795 | [1] | 1,138,973 | [2] | 1,135,244 | [3] | 1,140,368 | [4] | 1,345,807 | [5] | 1,201,732 | [6] | 1,217,794 | [7] | 1,221,233 | [8] | 4,680,380 | 4,986,566 | 4,984,199 |
United States | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Revenue from External Customer [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Total revenue | ' | ' | ' | ' | ' | ' | ' | ' | 3,317,794 | 3,294,206 | 3,112,998 | ||||||||
International | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Revenue from External Customer [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Total revenue | ' | ' | ' | ' | ' | ' | ' | ' | $1,362,586 | $1,692,360 | $1,871,201 | ||||||||
[1] | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2013 includes a gain on the sale of patents of $70 million, a goodwill impairment charge of $64 million, and net restructuring charges of $8 million. | ||||||||||||||||||
[2] | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2013 includes net restructuring reversals of less than $1 million. | ||||||||||||||||||
[3] | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2013 includes net restructuring charges of $4 million. | ||||||||||||||||||
[4] | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2013 includes net restructuring reversals of $7 million. | ||||||||||||||||||
[5] | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2012 includes a one-time distribution of foreign earnings resulting in an overall net benefit of approximately $117 million and net restructuring charges of $77 million. | ||||||||||||||||||
[6] | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2012 includes net restructuring charges of $25 million and pre-tax gain of $4.6 billion related to the sale of Alibaba Group Shares, which is included in other income, net. | ||||||||||||||||||
[7] | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2012 includes net restructuring charges of $129 million. | ||||||||||||||||||
[8] | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2012 includes net restructuring charges of $6 million. |
Recovered_Sheet8
Search Agreement with Microsoft Corporation - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2011 | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
M | |||||
Search Agreement With Microsoft Corporation [Line Items] | ' | ' | ' | ' | ' |
Term of license of core search technology with Microsoft, years | ' | ' | '10 years | ' | ' |
Term of search agreement with Microsoft, years | ' | ' | '10 years | ' | ' |
Revenue attributable to Search Agreement | ' | ' | 31.00% | 25.00% | 20.00% |
Revenue share rate from Microsoft's services under the Search Agreement, to be received in first five years | ' | ' | 88.00% | ' | ' |
Revenue share rate from Microsoft's services under the Search Agreement, Affiliate revenue | ' | ' | 88.00% | ' | ' |
Revenue share rate from Microsoft's services under the Search Agreement, if Microsoft exercises sales exclusivity | ' | ' | 93.00% | ' | ' |
Revenue share rate from Microsoft's services under the Search Agreement, if the Company exercises its option to retain sales exclusivity | ' | ' | 83.00% | ' | ' |
Revenue share rate from Microsoft's services under the Search Agreement, no exercise of options regarding sales exclusivity | ' | ' | 90.00% | ' | ' |
Revenue collected from Search Agreement | ' | ' | $21 | ' | ' |
Uncollected Search Agreement revenue | ' | ' | 305 | 258 | ' |
Term after transition of paid services for which revenue guaranteed by Microsoft under Search Agreement (in months) | ' | 18 | ' | ' | ' |
Cumulative transition costs exceeded Microsoft's reimbursement cap | 150 | ' | ' | ' | ' |
Reimbursable expenses related to Search Agreement | ' | ' | 49 | 67 | ' |
Classified as part of prepaid expenses and other current assets | ' | ' | 5 | 5 | ' |
Search Operating Costs | ' | ' | ' | ' | ' |
Search Agreement With Microsoft Corporation [Line Items] | ' | ' | ' | ' | ' |
Reimbursements for costs | ' | ' | 49 | 67 | 212 |
Transition Costs Incurred In 2011 | ' | ' | ' | ' | ' |
Search Agreement With Microsoft Corporation [Line Items] | ' | ' | ' | ' | ' |
Reimbursements for costs | ' | ' | ' | ' | 26 |
Subsequent_Events_Additional_I
Subsequent Events - Additional Information (Detail) (USD $) | 12 Months Ended | 2 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Feb. 28, 2014 |
Subsequent Event | ||||
Total shares repurchased post Q4 to date of filing | ||||
Subsequent Event [Line Items] | ' | ' | ' | ' |
Repurchases of common stock, shares | 128,863 | 126,021 | 109,716 | 9,000 |
Repurchases of common stock, value | ' | ' | ' | $332,000 |
Average purchase price per share of common stock repurchased during the period | ' | ' | ' | $37.75 |
Valuation_And_Qualifying_Accou
Valuation And Qualifying Accounts (Detail) (USD $) | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
Allowance for Doubtful Accounts | ' | ' | ' | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | ' | ' | ' | |||
Balance at Beginning of Year | $32,635 | $30,142 | $22,975 | |||
Charged to Expenses | 10,278 | 12,868 | 18,147 | |||
Write-Offs Net of, Recoveries | -7,364 | -10,375 | -10,980 | |||
Balance at end of Year | 35,549 | 32,635 | 30,142 | |||
Valuation Allowance of Deferred Tax Assets | ' | ' | ' | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | ' | ' | ' | |||
Balance at Beginning of Year | 51,503 | 53,140 | 60,176 | |||
Charged to Expenses | -4,595 | -82 | -5,975 | |||
Charged (Credited) to Other Accounts | -10,218 | [1] | -1,555 | [1] | -1,061 | [1] |
Balance at end of Year | $36,690 | $51,503 | $53,140 | |||
[1] | Amounts not charged (credited) to expenses are charged (credited) to stockholders' equity, deferred tax assets (liabilities), or goodwill. |
Selected_Quarterly_Financial_D2
Selected Quarterly Financial Data (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||||||||
Selected Quarterly Financial Data [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||
Revenue | $1,265,795 | [1] | $1,138,973 | [2] | $1,135,244 | [3] | $1,140,368 | [4] | $1,345,807 | [5] | $1,201,732 | [6] | $1,217,794 | [7] | $1,221,233 | [8] | $4,680,380 | $4,986,566 | $4,984,199 |
Total operating expenses | 1,091,577 | [1] | 1,046,214 | [2] | 998,265 | [3] | 954,398 | [4] | 1,155,817 | [5] | 1,049,543 | [6] | 1,162,981 | [7] | 1,051,857 | [8] | 4,090,454 | 4,420,198 | 4,183,858 |
Income from operations | 174,218 | [1] | 92,759 | [2] | 136,979 | [3] | 185,970 | [4] | 189,990 | [5] | 152,189 | [6] | 54,813 | [7] | 169,376 | [8] | 589,926 | 566,368 | 800,341 |
Other income, net | -2,691 | [1] | 5,370 | [2] | 23,606 | [3] | 17,072 | [4] | 17,730 | [5] | 4,607,656 | [6] | 20,175 | [7] | 2,278 | [8] | 43,357 | 4,647,839 | 27,175 |
Provision for income taxes | -41,498 | [1] | -31,891 | [2] | -50,267 | [3] | -29,736 | [4] | -83,007 | [5] | -1,774,094 | [6] | -26,523 | [7] | -56,419 | [8] | -153,392 | -1,940,043 | -241,767 |
Earnings in equity interests | 221,641 | [1] | 232,756 | [2] | 224,690 | [3] | 217,588 | [4] | 148,939 | [5] | 175,265 | [6] | 179,991 | [7] | 172,243 | [8] | 896,675 | 676,438 | 476,920 |
Net income attributable to Yahoo! Inc. | $348,190 | [1] | $296,656 | [2] | $331,150 | [3] | $390,285 | [4] | $272,267 | [5] | $3,160,238 | [6] | $226,631 | [7] | $286,343 | [8] | $1,366,281 | $3,945,479 | $1,048,827 |
Net income attributable to Yahoo! Inc. common stockholders per share-basic | $0.34 | [1] | $0.29 | [2] | $0.31 | [3] | $0.36 | [4] | $0.24 | [5] | $2.66 | [6] | $0.19 | [7] | $0.24 | [8] | $1.30 | $3.31 | $0.82 |
Net income attributable to Yahoo! Inc. common stockholders per share-diluted | $0.33 | [1] | $0.28 | [2] | $0.30 | [3] | $0.35 | [4] | $0.23 | [5] | $2.64 | [6] | $0.18 | [7] | $0.23 | [8] | $1.26 | $3.28 | $0.82 |
Shares used in per share calculation- basic | 1,012,972 | [1] | 1,024,289 | [2] | 1,079,389 | [3] | 1,094,170 | [4] | 1,155,950 | [5] | 1,186,046 | [6] | 1,213,320 | [7] | 1,215,783 | [8] | 1,052,705 | 1,192,775 | 1,274,240 |
Shares used in per share calculation- diluted | 1,038,754 | [1] | 1,041,698 | [2] | 1,094,694 | [3] | 1,108,095 | [4] | 1,168,336 | [5] | 1,195,085 | [6] | 1,221,719 | [7] | 1,226,486 | [8] | 1,070,811 | 1,202,906 | 1,282,282 |
[1] | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2013 includes a gain on the sale of patents of $70 million, a goodwill impairment charge of $64 million, and net restructuring charges of $8 million. | ||||||||||||||||||
[2] | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2013 includes net restructuring reversals of less than $1 million. | ||||||||||||||||||
[3] | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2013 includes net restructuring charges of $4 million. | ||||||||||||||||||
[4] | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2013 includes net restructuring reversals of $7 million. | ||||||||||||||||||
[5] | Net income attributable to Yahoo! Inc. for the quarter ended December 31, 2012 includes a one-time distribution of foreign earnings resulting in an overall net benefit of approximately $117 million and net restructuring charges of $77 million. | ||||||||||||||||||
[6] | Net income attributable to Yahoo! Inc. for the quarter ended September 30, 2012 includes net restructuring charges of $25 million and pre-tax gain of $4.6 billion related to the sale of Alibaba Group Shares, which is included in other income, net. | ||||||||||||||||||
[7] | Net income attributable to Yahoo! Inc. for the quarter ended June 30, 2012 includes net restructuring charges of $129 million. | ||||||||||||||||||
[8] | Net income attributable to Yahoo! Inc. for the quarter ended March 31, 2012 includes net restructuring charges of $6 million. |
Selected_Quarterly_Financial_D3
Selected Quarterly Financial Data (Parenthetical) (Detail) (USD $) | 1 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | ||||||||
Sep. 30, 2012 | Dec. 31, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2013 | |
Maximum | ||||||||||||
Selected Quarterly Financial Data [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restructuring charges (reversals), net | ' | $8,000,000 | $4,000,000 | ($7,000,000) | $77,000,000 | $25,000,000 | $129,000,000 | $6,000,000 | $3,766,000 | $236,170,000 | $24,420,000 | ($1,000,000) |
Pre-tax gain on sale of investments | 4,603,322,000 | ' | ' | ' | ' | 4,603,322,000 | ' | ' | ' | 4,603,322,000 | ' | ' |
Net tax benefit from one-time distribution of earnings from consolidated foreign subsidiaries | ' | ' | ' | ' | 117,000,000 | ' | ' | ' | 36,000,000 | 117,000,000 | ' | ' |
Gain on sale of patents | ' | 70,000,000 | ' | ' | ' | ' | ' | ' | 79,950,000 | ' | ' | ' |
Goodwill impairment charge | ' | $63,555,000 | ' | ' | ' | ' | ' | ' | $63,555,000 | ' | ' | ' |