Document and Company Informatio
Document and Company Information (USD $) | |
12 Months Ended
Sep. 30, 2009 | |
Document and Company Information [Abstract] | |
Entity Registrant Name | AMDOCS LTD |
Entity Central Index Key | 0001062579 |
Document Type | 20-F |
Document Period End Date | 2009-09-30 |
Amendment Flag | false |
Current Fiscal Year End Date | --09-30 |
Entity Well-known Seasoned Issuer | Yes |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Filer Category | Large Accelerated Filer |
Entity Common Stock Shares Outstanding | 205,079,239 |
Consolidated Balance Sheets
Consolidated Balance Sheets (USD $) | ||
In Thousands | Sep. 30, 2009
| Sep. 30, 2008
|
Current assets: | ||
Cash and cash equivalents | $728,762 | $718,850 |
Short-term interest-bearing investments | 444,279 | 525,528 |
Accounts receivable, net | 454,965 | 573,764 |
Deferred income taxes and taxes receivable | 117,848 | 84,515 |
Prepaid expenses and other current assets | 126,704 | 102,930 |
Total current assets | 1,872,558 | 2,005,587 |
Equipment and leasehold improvements, net | 279,659 | 317,081 |
Deferred income taxes | 137,662 | 187,173 |
Goodwill | 1,539,424 | 1,526,371 |
Intangible assets, net | 227,337 | 270,551 |
Other noncurrent assets | 271,777 | 272,300 |
Total assets | 4,328,417 | 4,579,063 |
Current liabilities: | ||
Accounts payable | 86,189 | 157,357 |
Accrued expenses, other current liabilities and other | 174,341 | 226,359 |
Accrued personnel costs | 154,841 | 218,229 |
Deferred revenue | 186,158 | 197,851 |
Deferred income taxes and taxes payable | 9,338 | 30,228 |
Total current liabilities | 610,867 | 830,024 |
Convertible notes | 1,020 | 450,000 |
Deferred income taxes and taxes payable | 273,110 | 266,548 |
Noncurrent liabilities and other | 230,367 | 227,300 |
Total liabilities | 1,115,364 | 1,773,872 |
Shareholders' equity: | ||
Preferred Shares - Authorized 25,000 shares; GBP 0.01par value; 0 shares issued and outstanding | 0 | 0 |
Ordinary Shares - Authorized 700,000 and 550,000 shares; GBP 0.01par value; 242,466 and 240,836 issued and 205,079 and 203,916 outstanding, in 2009 and 2008, respectively | 3,930 | 3,900 |
Additional paid-in capital | 2,334,090 | 2,264,800 |
Treasury stock, at cost - 37,387 and 36,920 Ordinary Shares in 2009 and 2008, respectively | (919,874) | (907,280) |
Accumulated other comprehensive income (loss) | 8,343 | (14,834) |
Retained earnings | 1,786,564 | 1,458,605 |
Total shareholders' equity | 3,213,053 | 2,805,191 |
Total liabilities and shareholders' equity | $4,328,417 | $4,579,063 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | ||
Share data in Thousands | Sep. 30, 2009
| Sep. 30, 2008
|
Shareholders' equity: | ||
Preferred Shares, par value (in GBP) | 0.01 | 0.01 |
Preferred Shares, authorized | 25,000 | 25,000 |
Preferred Shares, issued | 0 | 0 |
Preferred Shares, outstanding | 0 | 0 |
Ordinary Shares, par value (in GBP) | 0.01 | 0.01 |
Ordinary Shares, authorized | 700,000 | 550,000 |
Ordinary Shares, issued | 242,466 | 240,836 |
Ordinary Shares, outstanding | 205,079 | 203,916 |
Treasury stock at cost, ordinary shares | 37,387 | 36,920 |
Consolidated Statments of Incom
Consolidated Statments of Income (USD $) | |||
In Thousands, except Per Share data | 12 Months Ended
Sep. 30, 2009 | 12 Months Ended
Sep. 30, 2008 | 12 Months Ended
Sep. 30, 2007 |
Revenue: | |||
License | $135,146 | $135,487 | $159,357 |
Service | 2,727,461 | 3,026,609 | 2,676,816 |
Total Revenue | 2,862,607 | 3,162,096 | 2,836,173 |
Operating expenses: | |||
Cost of license | 2,686 | 2,729 | 3,914 |
Cost of service | 1,831,947 | 2,023,562 | 1,792,468 |
Research and development | 210,387 | 225,492 | 230,444 |
Selling, general and administrative | 344,335 | 404,134 | 370,194 |
Amortization of purchased intangible assets | 85,153 | 86,687 | 74,959 |
Restructuring charges, in-process research and development and other | 20,780 | 13,896 | 6,761 |
Total operating expense | 2,495,288 | 2,756,500 | 2,478,740 |
Operating income | 367,319 | 405,596 | 357,433 |
Interest (expense) income and other, net | (1,165) | 11,955 | 50,566 |
Income before income taxes | 366,154 | 417,551 | 407,999 |
Income taxes | 39,978 | 38,645 | 43,062 |
Net income | $326,176 | $378,906 | $364,937 |
Basic earnings per share | 1.61 | 1.83 | 1.76 |
Diluted earnings per share | 1.58 | 1.74 | 1.65 |
Basic weighted average number of shares outstanding | 202,867 | 206,590 | 207,846 |
Diluted weighted average number of shares outstanding | 207,606 | 219,606 | 223,256 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders Equity (USD $) | ||||||
In Thousands | Additional Paid-in Capital
| Treasury Stock
| Retained Earnings
| Accumulated Other Comprehensive (Loss) Income
| Total
| |
Common Stock, Shares, Outstanding, Beginning Balance at Sep. 30, 2006 | 206,793 | |||||
Beginning balance at Sep. 30, 2006 | $3,763 | $2,035,309 | ($602,392) | $714,762 | $2,723 | $2,154,165 |
Comprehensive income: | ||||||
Net income | 364,937 | 364,937 | ||||
Unrealized gain/loss on foreign currency hedging contracts, net of tax | (3,420) | (3,420) | ||||
Unrealized gain/loss on short-term interest-bearing investments, net of tax | 659 | 659 | ||||
Adjustment to accumulated other comprehensive income upon adoption of SFAS 158 (primarily codified in ASC 715- Compensation -Retirement Benefits) net of $(378) tax | 727 | 727 | ||||
Employee stock options exercised | 79 | 74,576 | 74,655 | |||
Employee stock options exercised, shares | 3,970 | |||||
Repurchase of shares | (49,837) | (49,837) | ||||
Repurchase of shares, shares | (1,411) | |||||
Tax benefit of stock options exercised/cancelled | 3,965 | 3,965 | ||||
Issuance of restricted stock, net of forfeitures | 8 | 8 | ||||
Issuance of restricted stock, net of forfeitures, shares | 410 | |||||
Issuance of stock options related to acquisitions, net | 768 | 768 | ||||
Equity-based compensation expense related to employees | 53,587 | 53,587 | ||||
Equity-based compensation expense related to non- employee stock options | 29 | 29 | ||||
Ending balance at Sep. 30, 2007 | 3,850 | 2,168,234 | (652,229) | 1,079,699 | 689 | 2,600,243 |
Common Stock, Shares, Outstanding, Ending Balance at Sep. 30, 2007 | 209,762 | |||||
Comprehensive income: | ||||||
Net income | 378,906 | 378,906 | ||||
Unrealized gain/loss on foreign currency hedging contracts, net of tax | (4,578) | (4,578) | ||||
Unrealized gain/loss on short-term interest-bearing investments, net of tax | (10,002) | (10,002) | ||||
Unrealized gain/loss on defined benefit plan, net of tax | (943) | (943) | ||||
Employee stock options exercised | 41 | 37,527 | 37,568 | |||
Employee stock options exercised, shares | 2,052 | |||||
Repurchase of shares | (255,051) | (255,051) | ||||
Repurchase of shares, shares | (8,370) | |||||
Tax benefit of stock options exercised/cancelled | 1,549 | 1,549 | ||||
Issuance of restricted stock, net of forfeitures | 9 | 9 | ||||
Issuance of restricted stock, net of forfeitures, shares | 472 | |||||
Equity-based compensation expense related to employees | 57,490 | 57,490 | ||||
Ending balance at Sep. 30, 2008 | 3,900 | 2,264,800 | (907,280) | 1,458,605 | (14,834) | 2,805,191 |
Common Stock, Shares, Outstanding, Ending Balance at Sep. 30, 2008 | 203,916 | 203,916 | ||||
Comprehensive income: | ||||||
Net income | 326,176 | 326,176 | ||||
Unrealized gain/loss on foreign currency hedging contracts, net of tax | 18,092 | 18,092 | ||||
Unrealized gain/loss on short-term interest-bearing investments, net of tax | 4,828 | 4,828 | ||||
Unrealized gain/loss on defined benefit plan, net of tax | 2,040 | 2,040 | ||||
Cumulative effect from adoption of FSP No. 115-2/124-2 (primarily codified in ASC 320-10- Investments- Debt and Equity Securities-Overall) at April 1, 2009 | 1,783 | (1,783) | 0 | |||
Employee stock options exercised | 23 | 27,863 | 27,886 | |||
Employee stock options exercised, shares | 1,289 | |||||
Repurchase of shares | (12,594) | (12,594) | ||||
Repurchase of shares, shares | (468) | |||||
Tax benefit of stock options exercised/cancelled | (1,484) | (1,484) | ||||
Issuance of restricted stock, net of forfeitures | 7 | 7 | ||||
Issuance of restricted stock, net of forfeitures, shares | 342 | |||||
Equity-based compensation expense related to employees | 42,911 | 42,911 | ||||
Ending balance at Sep. 30, 2009 | $3,930 | $2,334,090 | ($919,874) | $1,786,564 | $8,343 | $3,213,053 |
Common Stock, Shares, Outstanding, Ending Balance at Sep. 30, 2009 | 205,079 | 205,079 |
1_Consolidated Statements of Ch
Consolidated Statements of Changes in Shareholders Equity (Parenthetical) (Accumulated Other Comprehensive (Loss) Income, USD $) | |
In Thousands | Total
|
Comprehensive income: | |
Tax effect on unrealized gain/loss on foreign currency hedging contracts | ($1,363) |
Tax effect on unrealized gain/loss on short-term interest-bearing investments | 30 |
Tax effect on adjustment to accumulated other comprehensive income upon adoption of SFAS 158 (primarily codified in ASC 715-Compensation-Retirement Benefits) | (378) |
Unrealized (loss) gain on derivatives, net of tax | (579) |
Unrealized (loss) income on cash equivalents and short-term interest-bearing investments, net of tax | 541 |
Unrealized (loss) gain on defined benefit plan, net of tax | 727 |
Comprehensive income: | |
Tax effect on unrealized gain/loss on foreign currency hedging contracts | 3,272 |
Tax effect on unrealized gain/loss on short-term interest-bearing investments | (468) |
Tax effect on unrealized loss on defined benefit plan | (489) |
Unrealized (loss) gain on derivatives, net of tax | (5,157) |
Unrealized (loss) income on cash equivalents and short-term interest-bearing investments, net of tax | (9,461) |
Unrealized (loss) gain on defined benefit plan, net of tax | (216) |
Comprehensive income: | |
Tax effect on unrealized gain/loss on foreign currency hedging contracts | 647 |
Tax effect on unrealized gain/loss on short-term interest-bearing investments | 218 |
Tax effect on unrealized loss on defined benefit plan | 1,078 |
Unrealized (loss) gain on derivatives, net of tax | 12,936 |
Unrealized (loss) income on cash equivalents and short-term interest-bearing investments, net of tax | (6,417) |
Unrealized (loss) gain on defined benefit plan, net of tax | $1,824 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (USD $) | |||
In Thousands | 12 Months Ended
Sep. 30, 2009 | 12 Months Ended
Sep. 30, 2008 | 12 Months Ended
Sep. 30, 2007 |
Cash Flow from Operating Activities: | |||
Net income | $326,176 | $378,906 | $364,937 |
Reconciliation of net income to net cash provided by operating activities: | |||
Depreciation and amortization | 198,119 | 192,937 | 164,994 |
In-process research and development expenses | 5,640 | 1,780 | 750 |
Equity-based compensation expense | 42,911 | 57,490 | 53,587 |
Loss (gain) on sale of equipment | 197 | (970) | (8) |
Deferred income taxes | 16,249 | 1,111 | (21,095) |
Gain on repurchase of convertible notes | (2,185) | 0 | 0 |
Excess tax benefit from equity-based compensation | (18) | (211) | (795) |
Loss (gain) from short-term interest-bearing investments | 4,449 | 4,945 | (3,012) |
Net changes in operating assets and liabilities, net of amounts acquired: | |||
Accounts receivable, net | 131,527 | (118,291) | (67,333) |
Prepaid expenses and other current assets | (13,614) | 4,173 | (62) |
Other noncurrent assets | (2,690) | (31,739) | (26,264) |
Accounts payable, accrued expenses and accrued personnel | (160,321) | (27,501) | 29,642 |
Deferred revenue | 20,956 | 28,408 | (96,674) |
Income taxes payable, net | (19,980) | (26,824) | 12,243 |
Noncurrent liabilities and other | (28,260) | 18,799 | 12,984 |
Net cash provided by operating activities | 519,156 | 483,013 | 423,894 |
Cash Flow from Investing Activities: | |||
Proceeds from sale of equipment, vehicles and leasehold improvements | 994 | 2,655 | 3,832 |
Payments for purchase of equipment and leasehold improvements | (83,325) | (135,823) | (166,426) |
Proceeds from sale of short-term interest-bearing investments | 1,045,278 | 708,708 | 781,315 |
Purchase of short-term interest-bearing investments | (963,433) | (685,873) | (969,198) |
Net cash paid for acquisitions | (65,890) | (58,772) | (90,724) |
Net cash used in investing activities | (66,376) | (169,105) | (441,201) |
Cash Flow from Financing Activities: | |||
Borrowings under long-term financing arrangements | 450,000 | 0 | 0 |
Payments under long-term financing arrangements | (450,000) | 0 | 0 |
Redemption of convertible notes | (330,780) | (175) | 0 |
Repurchase of convertible notes | (116,015) | 0 | 0 |
Repurchase of shares | (20,014) | (247,630) | (49,837) |
Proceeds from employee stock options exercised | 27,893 | 37,577 | 74,663 |
Payments under capital lease and short-term financing arrangements | (3,970) | (542) | 0 |
Excess tax benefit from equity-based compensation | 18 | 211 | 795 |
Net cash (used in) provided by financing activities | (442,868) | (210,559) | 25,621 |
Net increase in cash and cash equivalents | 9,912 | 103,349 | 8,314 |
Cash and cash equivalents at beginning of year | 718,850 | 615,501 | 607,187 |
Cash and cash equivalents at end of year | 728,762 | 718,850 | 615,501 |
Cash paid for: | |||
Income taxes, net of refunds | 39,793 | 51,273 | 44,642 |
Interest | $3,321 | $4,863 | $4,167 |
Nature of Entity
Nature of Entity | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Nature of Entity [Abstract] | |
Nature of Entity | Note1 Nature of Entity Amdocs Limited (the Company) is a leading provider of software and services for communications, media and entertainment industry service providers. The Company and its subsidiaries operate in one segment, providing integrated products and services. The Company designs, develops, markets, supports, implements and operates customer experience systems, including revenue management, customer management, service and resource management (OSS), personalized portal and value-added services, portfolio management, and consulting and managed services, primarily to leading wireless, wireline, cable and satellite service providers throughout the world. Amdocs also offers a full range of directory sales and publishing systems. The Company is a Guernsey corporation, which directly or indirectly holds numerous wholly-owned subsidiaries around the world. The majority of the Companys customers are in North America, Europe, Latin America and the Asia-Pacific region. The Companys main production and operating facilities are located in Canada, Cyprus, India, Ireland, Israel, the United States and China. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Summary of Significant Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Note2 Summary of Significant Accounting Policies Basis of Presentation The consolidated financial statements are prepared in accordance with U.S.generally accepted accounting principles, or U.S.GAAP. Subsequent events were evaluated through December7, 2009, the date these financial statements were issued. Consolidation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. Use of Estimates The preparation of financial statements in conformity with U.S.GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements, and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Reclassifications Certain immaterial amounts in prior years financial statements have been reclassified to conform to the current years presentation. Functional Currency The Company manages its foreign subsidiaries as integral direct components of its operations. The operations of the Companys foreign subsidiaries provide the same type of services with the same type of expenditures throughout the Amdocs group. The Company has determined that its functional currency is the U.S.dollar. The Company periodically assesses the applicability of the U.S.dollar as the Companys functional currency by reviewing the salient indicators as indicated in the authoritative guidance for foreign currency matters. Cash and Cash Equivalents Cash and cash equivalents consist of cash and interest-bearing investments with insignificant interest rate risk and original maturities of 90days or less. Investments The Company classifies all of its short-term interest-bearing investments as available-for-sale securities. Such short-term interest-bearing investments consist primarily of money market funds, U.S.government treasuries, U.S.agencies and government guaranteed debt, which are stated at market value. Unrealized gains and losses are comprised of the difference between market value and amortized costs of such securities and are reflected, net of tax, as accumulated other comprehensive income in shareholders equity. Realized gains and losses on short-term interest-bearing investments are included in earnings and are derived using the specific identification method for determining the cost of securities. The Company recognizes an impairment charge when a decline in the fair value of its investments below the cost basis is judged to be other-than-temporary. For securities that the Company intends to sell, or it is more likely than not that the Company will be required to sell before recovery of their amortized cost basis, the entire difference between amortized cost and fair value is recognized in earnings. For securities that do not meet these criteria, the amount of impairment recognized in earnings is limited to the amount related to credit losses, while impairment related |
Acquisitions
Acquisitions | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Acquisitions [Abstract] | |
Acquisitions | Note3 Acquisitions SigValue In February 2007, the Company acquired SigValue Technologies, Inc. (SigValue), a provider of an integrated billing, customer care and service control platform designed for telecommunications service providers in high-growth emerging markets around the world, where the customer base is predominantly comprised of mobile pre-paid subscribers. Prior to the acquisition, the Company owned 14% of SigValues outstanding capital stock and accounted for this investment under the cost method. Under the terms of the agreement, the Company acquired the balance of SigValues remaining share capital for $71,193, primarily cash. Upon closing of the acquisition, the Company recognized its 14% share in SigValues results from the time it first acquired an interest in SigValue through the purchase of the remaining shares. The Companys share in pre-acquisition results was income of $1,916 which is included in restructuring charges, in-process research and development and other. This acquisition expanded the Companys offering for service providers in fast growing emerging markets. The Company acquired few entities during fiscal 2008 and 2009. The entities have been consolidated into the Companys results of operations since their respective acquisition dates. These acquisitions, individually and in the aggregate, were not material. |
Fair Value Measurements
Fair Value Measurements | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Fair Value Measurements Abstract | |
Fair Value Measurements | Note4Fair Value Measurements The Company accounts for certain assets and liabilities at fair value. Fair value is the price that would be received from selling an asset or that would be paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required or permitted to be recorded at fair value, the Company considers the principal or most advantageous market in which it would transact and it considers assumptions that market participants would use when pricing the asset or liability. The hierarchy below lists three levels of fair value based on the extent to which inputs used in measuring fair value are observable in the market. The Company categorizes each of its fair value measurements in one of these three levels based on the lowest level input that is significant to the fair value measurement in its entirety. The three levels of inputs that may be used to measure fair value are as follows: Level1:Quoted prices in active markets for identical assets or liabilities; Level2:Observable inputs other than quoted prices included in Level1, such as quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets with insufficient volume or infrequent transactions (less active markets), or other inputs that are observable (model-derived valuations in which significant inputs are observable) or can be derived principally from, or corroborated by, observable market data;and Level3:Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. The following table presents the Companys assets and liabilities measured at fair value on a recurring basis as of September30, 2009: Level 1 Level 2 Total Available-for-sale securities: Money market funds $ 465,249 $ $ 465,249 U.S. government treasuries 272,405 272,405 U.S. agencies 93,211 93,211 Government guaranteed debt 83,949 83,949 Supranational and sovereign debt 15,751 15,751 Corporate bonds 32,130 32,130 Asset backed obligations 16,645 16,645 Mortgages (including agencies and corporate) 32,392 32,392 Commercial paper 8,000 14 8,014 Total available-for-sale securities 745,654 274,092 1,019,746 Derivative financial instruments, net 13,882 13,882 Total $ 745,654 $ 287,974 $ 1,033,628 Available for sale securities that are classified as Level2 assets are priced using observable data t |
Available-For-Sale Securities
Available-For-Sale Securities | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Available-For-Sale Securities [Abstract] | |
Available-For-Sale Securities | Note5 Available-For-Sale Securities Available-for-sale securities consist of the following interest-bearing investments: As of September30, 2009 Gross Unrealized Gross Unrealized Amortized Cost Gains Losses Fair Value Money market funds $ 465,249 $ $ $ 465,249 U.S. government treasuries 271,483 922 272,405 U.S. agencies 91,772 1,439 93,211 Government guaranteed debt 83,212 764 27 83,949 Supranational and sovereign debt 15,610 141 15,751 Corporate bonds 32,924 730 1,524 32,130 Asset backed obligations 19,630 179 3,164 16,645 Mortgages (including agencies and corporate) 38,339 552 6,499 32,392 Commercial paper 8,127 113 8,014 Total(1) $ 1,026,346 $ 4,727 $ 11,327 $ 1,019,746 (1) Available-for-sale securities are classified as short term interest-bearing investments on the Companys balance sheet, except for $575,467 of securities with original maturities of 90days or less which are included in cash and cash equivalents as of September30, 2009. As of September30, 2008 Gross Unrealized Gross Unrealized Amortized Cost Gains Losses Fair Value Money market funds $ 266,993 $ $ $ 266,993 U.S. government treasuries 155,725 1,358 118 156,965 U.S. agencies 179,384 1,134 280 180,238 Corporate bonds 103,578 180 1,872 101,886 Asset backed obligations 71,651 253 2,725 69,179 Mortgages (including agencies and corporate) 66,362 251 7,936 58,677 Commercial paper/certificates of deposits 85,286 107 85,179 Total(1) $ 928,979 $ 3,176 $ 13,038 $ 919,117 (1) Available-for-sale securities are classified as short term interest-bearing investments on the Companys balance sheet, except for $393,589 of securities with original maturities of 90days or less which are included in cash and cash equivalents as of September30, 2008. As of September30, 2009, the unrealized losses were primarily due to credit market conditions and interest rate movements. A significant portion of the unrealized losses has been in a continuous loss position for 12months or greater. In the quarter ended June30, 2009, the C |
Derivative Financial Instrument
Derivative Financial Instruments | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Derivative Financial Instruments [Abstract] | |
Derivative Financial Instruments | Note6 Derivative Financial Instruments The Companys risk management strategy includes the use of derivative financial instruments to reduce the volatility of earnings and cash flows associated with changes in foreign currency exchange rates. The Company does not enter into derivative transactions for trading purposes. The Companys derivatives expose it to credit risks from possible non-performance by counterparties. The maximum amount of loss due to credit risk that the Company would incur if counterparties to the derivative financial instruments failed completely to perform according to the terms of the contracts, based on the gross fair value of the Companys derivative contracts that are favorable to the Company, was approximately $19,630 as of September30, 2009. The Company has limited its credit risk by entering into derivative transactions exclusively with investment-grade rated financial institutions and monitors the creditworthiness of these financial institutions on an ongoing basis. The Company classifies cash flows from its derivative transactions as cash flows from operating activities in the consolidated statements of cash flow. The table below presents the total volume or notional amounts of the Companys derivative instruments as of September30, 2009. Notional values are U.S.dollar translated and calculated based on forward rates as of September30, 2009 for forward contracts and based on spot rates as of September30, 2009 for options. Notional Value* Foreign exchange contracts $ 524,318 (*) Gross notional amounts do not quantify risk or represent assets or liabilities of the Company, but are used in the calculation of settlements under the contracts. The Company records all derivative instruments on the balance sheet at fair value. Please see Note4 to the consolidated financial statements. The fair value of the open foreign exchange contracts recorded by the Company on its consolidated balance sheets as of September30, 2009, as an asset or a liability is as follows: As of September30, 2009 Derivatives designated as hedging instruments Prepaid expenses and other current assets $ 19,023 Other noncurrent assets 24 Accrued expenses and other current liabilities (3,709 ) Noncurrent liabilities and other (32 ) 15,306 Derivatives not designated as hedging instruments Prepaid expenses and other current assets 583 Accrued expenses and other current liabilities (2,007 ) (1,424 ) Net fair value $ 13,882 Cash Flow Hedges In order to reduce the impact of changes in foreign currency exchange rates on its results, the Company enters into foreign currency exchange forward contracts and options contracts to purchase and sell foreign currencies to hedge a significant portion of its foreign currency net exposure resulting from revenue and expense transactions denominated in currencies other than the U.S. dollar. The Company d |
Accounts Receivable Net
Accounts Receivable Net | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Accounts Receivable, Net [Abstract] | |
Accounts Receivable, Net | Note7 Accounts Receivable, Net Accounts receivable, net consists of the following: As of September30, 2009 2008 Accounts receivable billed $ 443,094 $ 560,064 Accounts receivable unbilled 21,749 48,264 Less allowances(1) (9,878 ) (34,564 ) Accounts receivable, net $ 454,965 $ 573,764 (1) The decrease in accounts receivable allowances in fiscal 2009, was primarily attributable to a settlement with a customer in which the allowances were written off against the related accounts receivable and had no impact on revenue or net income in fiscal 2009. |
Equipment and Leasehold Improve
Equipment and Leasehold Improvements Net | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Equipment and Leasehold Improvements, Net [Abstract] | |
Equipment and Leasehold Improvements, Net | Note8 Equipment and Leasehold Improvements, Net Components of equipment and leasehold improvements, net are: As of September30, 2009 2008 Computer equipment $ 725,398 $ 671,126 Leasehold improvements 145,539 144,319 Furniture, fixtures and other 53,179 51,420 924,116 866,865 Less accumulated depreciation (644,457 ) (549,784 ) $ 279,659 $ 317,081 Total depreciation expense on equipment and leasehold improvements for fiscal years 2009, 2008 and 2007, was $110,365, $103,740 and $85,916, respectively. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets Net | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Goodwill and Intangible Assets, Net [Abstract] | |
Goodwill and Intangible Assets, Net | Note9 Goodwill and Intangible Assets, Net The following table presents details of the Companys total goodwill: As of October1, 2007 $ 1,489,132 Increase in Cramer goodwill as a result of valuation allowance of pre-existing losses adjustment 19,653 Other(1) 17,586 As of September30, 2008 1,526,371 Other(1) 16,534 Decrease in goodwill as a result of release of valuation allowances on deferred tax assets (3,481 ) As of September30, 2009 $ 1,539,424 (1) Represents goodwill related primarily to immaterial acquisitions. The following table presents the amortization expense of the Companys purchased intangible assets, included in each financial statement caption reported in the consolidated statements of income: Year ended September30, 2009 2008 2007 Cost of license $ $ $ 2,402 Cost of service 1,820 849 Amortization of purchased intangible assets 85,153 86,687 74,959 Total $ 86,973 $ 87,536 $ 77,361 The Company performs an annual goodwill impairment test during the fourth quarter of each fiscal year, or more frequently if impairment indicators are present. The Company operates in one operating segment, and this segment comprises its only reporting unit. In calculating the fair value of the reporting unit, the Company used its market capitalization and a discounted cash flow methodology. There was no impairment of goodwill at the annual impairment test date. The following table presents details of the Companys total purchased intangible assets: Estimated useful life Accumulated (in years) Gross Amortization Net September30, 2009 Core technology 3-7 $ 317,952 $ (225,328 ) $ 92,624 Customer arrangements 6-15 281,254 (158,704 ) 122,550 Intellectual property rights and purchased computer software 3-10 51,996 (51,996 ) Other 2-10 18,546 (6,383 ) 12,163 Total $ 669,748 $ (442,411 ) $ 227,337 September30, 2008 Core technology 3-7 $ 290,648 $ (175,989 ) $ 114,659 Customer arrangements 6-15 267,938 (123,734 ) 144,204 Intellectual property rights and purchased computer software 3-10 51,996 (51,996 ) Other 2-10 15,407 (3,719 ) 11,688 |
Other Noncurrent Assets
Other Noncurrent Assets | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Other Noncurrent Assets [Abstract] | |
Other Noncurrent Assets | Note10 Other Noncurrent Assets Other noncurrent assets consist of the following: As of September30, 2009 2008 Funded employee benefit costs(1) $ 112,300 $ 115,874 Deferred costs(2) 92,129 81,402 Long term accounts receivable-unbilled 38,600 47,055 Rent and other deposits 7,912 8,146 Prepaid maintenance and other 5,928 7,231 Other 14,908 12,592 $ 271,777 $ 272,300 (1) Please see Note18 to the consolidated financial statements. (2) Please see Note2 to the consolidated financial statements. |
Income Taxes
Income Taxes | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Income Taxes [Abstract] | |
Income Taxes | Note11 Income Taxes The provision (benefit) for income taxes consists of the following: Year ended September30, 2009 2008 2007 Current $ 21,361 $ 36,341 $ 66,780 Deferred 18,617 2,304 (23,718 ) $ 39,978 $ 38,645 $ 43,062 All income taxes are from continuing operations reported by the Company in the applicable taxing jurisdiction. Income taxes also include anticipated withholding taxes due on subsidiaries earnings when paid as dividends to the Company. Deferred income taxes are comprised of the following components: As of September30, 2009 2008 Deferred tax assets: Deferred revenue $ 21,499 $ 13,905 Accrued employee costs 43,772 56,780 Intangible assets, computer software and intellectual property 24,691 26,692 Net operating loss carryforwards 128,000 160,140 Other 73,633 70,835 Total deferred tax assets 291,595 328,352 Valuation allowances(1) (82,780 ) (76,481 ) Total deferred tax assets, net 208,815 251,871 Deferred tax liabilities: Anticipated withholdings on subsidiaries earnings (42,595 ) (47,029 ) Intangible assets, computer software and intellectual property (96,747 ) (103,944 ) Managed services costs (16,339 ) (16,097 ) Other (17,751 ) (26,607 ) Total deferred tax liabilities (173,432 ) (193,677 ) Net deferred tax assets $ 35,383 $ 58,194 (1) Subsequent releases of the valuation allowance will be recognized through earnings. The effective income tax rate varied from the statutory Guernsey tax rate as follows: Year ended September30, 2009 2008 2007 Statutory Guernsey tax rate 0 % 0 % 20 % Guernsey tax-exempt status (20 ) Foreign taxes 11 9 11 Effective income tax rate 11 % 9 % 11 % As a Guernsey company subject to a corporate tax rate of zero percent, the Companys overall effective tax rate is attributable to foreign taxes. Tax legislation enacted in Guernsey with effect from January1, 2008 repealed the exemption that the Company previously utilized, and subjects the Company to a corporate tax rate of zero percent, which has not affected the Companys overall effective tax rate. During fiscal 2009, the net increase in val |
Repurchase of Shares
Repurchase of Shares | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Repurchase of Shares [Abstract] | |
Repurchase of Shares | Note12 Repurchase of Shares In August 2007, the Company announced that its board of directors had authorized a share repurchase plan allowing the repurchase of up to $400,000 of its outstanding ordinary shares. The authorization permitted the Company to purchase its ordinary shares in open market or privately negotiated transactions at times and prices that it considered appropriate. In fiscal 2008, the Company repurchased 8,370 ordinary shares at an average price of $30.45 per share (excluding broker and transaction fees). In the first quarter of fiscal 2009, the Company repurchased 468 ordinary shares under this repurchase program, at an average price of $26.90 per share (excluding broker and transaction fees). As of August 2009, this authority to repurchase ordinary shares expired. |
Financing Arrangements
Financing Arrangements | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Financing Arrangements [Abstract] | |
Financing Arrangements | Note13 Financing Arrangements In November 2007, the Company entered into an unsecured $500,000 five-year revolving credit facility with a syndicate of banks, which is available for general corporate purposes, including acquisitions and repurchases of ordinary shares that the Company may consider from time to time. The interest rate for borrowings under the revolving credit facility is chosen at the Companys option from several pre-defined alternatives, depends on the circumstances of any advance and is based on the Companys credit ratings. As of September30, 2009, the Company was in compliance with the financial covenants under the revolving credit facility. During the first half of fiscal 2009, the Company borrowed an aggregate of $450,000 under the facility at an average interest rate equal to LIBOR plus 40basis points and used the proceeds to acquire its outstanding notes as described in Note14 to the consolidated financial statements. During the second half of fiscal 2009, the Company repaid all of the $450,000 outstanding under its credit facility. As of September30, 2009, the Company had outstanding letters of credit and bank guarantees of $15,057. These were supported by a combination of the credit facilities and restricted cash balances that the Company maintains with various banks. In addition, as of September30, 2009, the Company had outstanding obligations of $881 in connection with leasing arrangements. |
Convertible Notes
Convertible Notes | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Convertible Notes [Abstract] | |
Convertible Notes | Note14 Convertible Notes In March 2004, the Company issued $450,000 aggregate principal amount of 0.50%Convertible Senior Notes due 2024 (the 0.50%Notes) through a private placement to qualified institutional buyers pursuant to a Rule144A offering under the Securities Act. The Company is obligated to pay interest on the 0.50%Notes semi-annually on March 15 and September 15 of each year. The 0.50%Notes are senior unsecured obligations of the Company and rank equal in right of payment with all existing and future senior unsecured indebtedness of the Company. The 0.50%Notes are convertible, at the option of the holders at any time before the maturity date, into ordinary shares of the Company at a conversion rate of 23.1911shares per one thousand dollars principal amount, representing a conversion price of approximately $43.12 per share, as follows: (i)during any fiscal quarter commencing after March31, 2004, and only during that quarter if the closing sale price of the Companys ordinary shares exceeds 130% of the conversion price for at least 20 trading days in the 30 consecutive trading days ending on the last trading day of the proceeding fiscal quarter (initially 130% of $43.12 or $56.06); (ii)upon the occurrence of specified credit rating events with respect to the notes; (iii)subject to certain exceptions, during the five business day period after any five consecutive trading day period in which the trading price per note for each day of that measurement period was less than 98% of the product of the closing sale price of the Companys ordinary shares and the conversion rate; provided, however, holders may not convert their notes (in reliance on this subsection) if on any trading day during such measurement period the closing sale price of the Companys ordinary shares was between 100% and 130% of the then current conversion price of the notes (initially, between $43.12 and $56.06); (iv)if the notes have been called for redemption; or (v)upon the occurrence of specified corporate events. The 0.50%Notes are subject to redemption at any time, in whole or in part, at the option of the Company, at a redemption price of 100% of the principal amount plus accrued and unpaid interest, if any, on such redemption date. The 0.50%Notes are subject to repurchase, at the holders option, on March15, 2014 and 2019, at a repurchase price equal to 100% of the principal amount plus accrued and unpaid interest, if any, on such repurchase date. The Company may choose to pay the repurchase price in cash, ordinary shares or a combination of cash and ordinary shares. During fiscal 2009, using proceeds from the Companys revolving credit facility, the Company purchased $448,980 aggregate principal amount of its 0.50% convertible notes at an average price of 99.5% of the principal amount, excluding accrued interest and transaction fees. As of September30, 2009, $1,020 aggregate principal amount of the notes remained as obligations of the Company, due 2024, in accordance with their terms. |
Noncurrent Liabilities and Othe
Noncurrent Liabilities and Other | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Noncurrent Liabilities and Other [Abstract] | |
Noncurrent Liabilities and Other | Note15 Noncurrent Liabilities and Other Noncurrent liabilities and other consist of the following: As of September30, 2009 2008 Accrued employees costs(1) $ 152,994 $ 172,340 Noncurrent customer advances 53,611 19,349 Accrued pension liability(2) 9,540 19,194 Accrued lease obligations 6,417 5,730 Accrued print and mail obligation 4,838 6,980 Other 2,967 3,707 $ 230,367 $ 227,300 (1) Primarily severance pay liability in accordance with Israeli law. Please see Note18 to the consolidated financial statements. (2) Relates to funded status of non-contributory defined benefit plans. Please see Note18 to the consolidated financial statements. |
Interest
Interest (expense) income and other net | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Interest (expense) income and other, net [Abstract] | |
Interest (expense) income and other, net | Note16 Interest (expense) income and other, net Interest (expense) income and other, net consists of the following: Year ended September30, 2009 2008 2007 Interest income $ 16,371 $ 42,839 $ 49,138 Interest expense (6,977 ) (6,772 ) (6,540 ) Gain from repurchase of 0.5%Notes(1) 2,185 Foreign exchange (loss) gain (5,713 ) (18,856 ) 9,232 Other, net (7,031 ) (5,256 ) (1,264 ) $ (1,165 ) $ 11,955 $ 50,566 (1) See Note14 to the consolidated financial statements. |
Contingencies
Contingencies | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Contingencies [Abstract] | |
Contingencies | Note17 Contingencies Commitments The Company leases office space under non-cancelable operating leases in various countries in which it does business. Future minimum non-cancelable lease payments required after October1, 2009 are as follows: For the years ended September 30, 2010 $ 50,389 2011 37,505 2012 18,145 2013 15,529 2014 10,512 Thereafter 3,970 $ 136,050 Future minimum non-cancelable lease payments, as stated above, do not reflect committed future sublease income of $4,286, $4,228, $3,237, $1,631, and $469 for the years ended September30, 2010, 2011, 2012, 2013 and 2014 and thereafter, respectively. Rent expense net of sublease income, including accruals for future lease losses, was approximately $43,726, $39,572 and $42,209 for fiscal 2009, 2008 and 2007, respectively. The Company leases vehicles under operating leases. Future minimum non-cancelable lease payments required after October1, 2009 are as follows: For the years ended September 30, 2010 $ 14,090 2011 6,310 2012 1,651 $ 22,051 Legal Proceedings The Company is involved in various legal proceedings arising in the normal course of its business. Based upon the advice of counsel, the Company does not believe that the ultimate resolution of these matters will have a material adverse effect on the Companys consolidated financial position, results of operations or cash flows. Guarantors Accounting and Disclosure Requirements for Guarantees The Company generally sells its products with a limited warranty for a period of 90days. The Companys policy is to accrue for warranty costs, if needed, based on historical trends in product failure. Based on the Companys experience, only minimal warranty charges have been required and, as a result, the Company did not accrue any amounts for product warranty liability during fiscal years 2009, 2008 and 2007. The Company generally indemnifies its customers against claims of intellectual property infringement made by third parties arising from the use of the Companys software. To date, the Company has incurred and recorded only minimal costs as a result of such obligations in its consolidated financial statements. |
Employee Benefits
Employee Benefits | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Employee Benefits [Abstract] | |
Employee Benefits | Note18 Employee Benefits The Company accrues severance pay for the employees of its Israeli operations in accordance with Israeli law and certain employment procedures on the basis of the latest monthly salary paid to these employees and the length of time that they have worked for the Israeli operations. The severance pay liability, which is included as accrued employee costs in noncurrent liabilities and other, is partially funded by amounts on deposit with insurance companies, which are included in other noncurrent assets. These severance expenses were $14,616, $26,085 and $28,832 for fiscal 2009, 2008 and 2007, respectively. The Company sponsors defined contribution plans covering certain of its employees around the world. The plans primarily provide for Company matching contributions based upon a percentage of the employees contributions. The Companys contributions in fiscal 2009, 2008 and 2007 under such plans were not material compared to total operating expenses. The Company maintains non-contributory defined benefit plans that provide for pension, other retirement and post employment benefits for employees of a Canadian subsidiary based on length of service and rate of pay. The Company accrues its obligations to these employees under employee benefit plans and the related costs net of returns on plan assets. Pension expense and other retirement benefits earned by employees are actuarially determined using the projected benefit method pro-rated on service and based on managements best estimates of expected plan investments performance, salary escalation, retirement ages of employees and expected health care costs. The Company recognized the funded status of such plans in the balance sheet. The fair value of the employee benefit plans assets is based on market values. The plan assets are valued at market value for the purpose of calculating the expected return on plan assets and the amortization of experienced gains and losses. Past service costs, which may arise from plan amendments, are amortized on a straight-line basis over the average remaining service period of the employees who were active at the date of amendment. The excess of the net actuarial gain (loss) over 10% of the greater of the benefit obligation and the market-related value of plan assets is amortized over the average remaining service period of active employees. The pension and other benefits costs in fiscal 2009, 2008 and 2007 were $686, $1,213 and $1,237, respectively. |
Stock Option and Incentive Plan
Stock Option and Incentive Plan | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Stock Option and Incentive Plan [Abstract] | |
Stock Option and Incentive Plan | Note19 Stock Option and Incentive Plan In January 1998, the Company adopted the 1998 Stock Option and Incentive Plan (the Plan), which provides for the grant of restricted stock awards, stock options and other equity-based awards to employees, officers, directors, and consultants. The purpose of the Plan is to enable the Company to attract and retain qualified personnel and to motivate such persons by providing them with an equity participation in the Company. Since its adoption, the Plan has been amended on several occasions to, among other things, increase the number of ordinary shares issuable under the Plan. In January 2008, the maximum number of ordinary shares authorized to be granted under the Plan was increased from 46,300 to 55,300. Awards granted under the Plan generally vest over a period of four years and stock options have a term of ten years. The following table summarizes information about options to purchase the Companys ordinary shares, as well as changes during the years ended September30, 2009, 2008 and 2007: Number of Share Weighted Average Options Exercise Price Outstanding as of October1, 2006 22,794.0 $ 29.02 Granted 2,830.2 35.92 Exercised (3,970.1 ) 18.80 Forfeited (1,197.6 ) 34.77 Outstanding as of September30, 2007 20,456.5 31.62 Granted 5,631.1 33.05 Exercised (2,051.7 ) 18.31 Forfeited (1,648.2 ) 35.85 Outstanding as of September30, 2008 22,387.7 32.89 Granted 3,658.1 18.70 Exercised (1,289.4 ) 21.63 Forfeited (3,435.0 ) 34.20 Outstanding as of September30, 2009 21,321.4 $ 30.93 Exercisable on September30, 2009(1) 12,947.7 $ 33.43 (1) At September30, 2009, the weighted average remaining contractual life of exercisable options was 4.25 years. The following table summarizes information relating to awards of restricted shares, as well as changes during the years ended September30, 2009, 2008 and 2007: Weighted Average Number of Grant Date Fair Shares Value Outstanding as of October1, 2006 780.3 $ 32.89 Granted 468.1 37.04 Vested (235.8 ) 33.76 Forfeited (57.5 ) 36.43 Outstanding as of September30, 2007 955.1 34.50 Granted 611.1 32.53 Vested (321.5 ) 32.81 Forfeited (139.6 ) 35.45 Outstanding as of September30, 2008 1,105.1 33.78 Granted 583.2 18.42 Vested (315.7 ) 33.43 |
Earnings Per Share
Earnings Per Share | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Note20 Earnings Per Share The following table sets forth the computation of basic and diluted earnings per share: Year ended September30, 2009 2008 2007 Numerator: Numerator for basic earnings per share $ 326,176 $ 378,906 $ 364,937 Effect of assumed conversion of 0.50% convertible notes 1,486 3,940 3,940 Numerator for diluted earnings per share $ 327,662 $ 382,846 $ 368,877 Denominator: Denominator for basic earnings per share weighted average number of shares outstanding 202,867 206,590 207,846 Restricted stock 412 380 373 Effect of assumed conversion of 0.50% convertible notes 3,948 10,436 10,436 Effect of dilutive stock options granted 379 2,200 4,601 Denominator for dilutive earnings per share adjusted weighted average shares and assumed conversions 207,606 219,606 223,256 Basic earnings per share $ 1.61 $ 1.83 $ 1.76 Diluted earnings per share $ 1.58 $ 1.74 $ 1.65 The effect of the 0.50%Notes issued by the Company in March 2004 on diluted earnings per share was included in the above calculation. Please see Note2 to the consolidated financial statements. The weighted average effect of the repurchase of ordinary shares by the Company has been included in the calculation of basic earnings per share. For the twelve months ended September30, 2009, 2008 and 2007, 20,623, 13,429 and 6,810shares, respectively were attributable to antidilutive outstanding stock options and therefore were not included in the calculation of diluted earnings per share. |
Segment Information and Sales t
Segment Information and Sales to Significant Customers | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Segment Information and Sales to Significant Customers [Abstract] | |
Segment information and sales to significant customers | Note21 Segment Information and Sales to Significant Customers The Company and its subsidiaries operate in one operating segment, providing software products and services for the communications, media and entertainment industry. Geographic Information The following is a summary of revenue and long-lived assets by geographic area. Revenue is attributed to geographic region based on the location of the customers. Year ended September30, 2009 2008 2007 Revenue United States $ 1,754,309 $ 1,762,210 $ 1,482,668 Canada 400,264 405,569 400,530 Europe 394,263 548,027 609,170 Rest of the world 313,771 446,290 343,805 Total $ 2,862,607 $ 3,162,096 $ 2,836,173 As of September30, 2009 2008 2007 Long-lived Assets(1) United States $ 138,520 $ 153,739 $ 137,160 Israel 43,978 56,130 52,717 India 32,578 39,208 33,159 Europe 35,366 33,165 23,665 Rest of the world 29,217 34,839 37,138 Total $ 279,659 $ 317,081 $ 283,839 (1)Includes equipment and leasehold improvements. Revenue and Customer Information Customer experience systems includes the following offerings: revenue management (charging and billing, mediation, and partner settlements), customer management (contact center and retail interaction management, service and support and sales and ordering), service and resource management (OSS) (network planning, service fulfillment, service assurance, inventory and discovery and service management), personalized portal and value-added services (commerce and partner collaboration, portal and self-service, and service delivery and control), and portfolio management (product management, application framework, operational framework and delivery framework). Customer experience systems also includes a comprehensive line of services such as consulting, delivery and managed services, system implementation, integration, modification, consolidation, modernization and ongoing support, enhancement and maintenance. Directory includes directory sales and publishing systems and related services for publishers of both traditional printed Yellow Page and white page directories and electronic Internet directories. Year ended September30, 2009 2008 2007 Customer experience systems $ 2,685,460 $ 2,894,335 $ 2,551,718 Directory 177,147 267,761 284,455 Total $ 2,862,607 $ 3,162,096 $ 2,836,173 |
Operational Efficiency and Cost
Operational Efficiency and Cost Reduction Programs | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Operational Efficiency and Cost Reduction Programs [Abstract] | |
Operational Efficiency and Cost Reduction Programs | Note22 Operational Efficiency and Cost Reduction Programs In accordance with authoritative guidance for employers accounting for post employment benefits and accounting for costs associated with exit or disposal activities, the Company recognized a total of $15,140, $12,116 and $6,011 in restructuring charges in fiscal 2009, 2008 and 2007, respectively. In the three months ended December31, 2008, the Company commenced a series of measures designed to align its operational structure to its expected future activities and to improve efficiency. As part of this plan, the Company recorded a charge of $14,187 consisting primarily of employee separation costs in connection with the termination of the employment of software and information technology specialists and administrative professionals at various locations around the world. The restructuring accrual for this cost reduction program is comprised of the following as of September30, 2009: Employee Separation Costs Balance as of October1, 2008 $ Restructuring charges 14,187 Cash payments (12,348 ) Adjustment (1,167 ) Balance as of September30, 2009 $ 672 In the quarter ended September30, 2008, the Company commenced a series of measures designed to improve efficiency and align its operational structure to its expected future activities. As part of this plan, the Company recorded in the quarters ended September30, 2008 and December31, 2008 a charge of $12,116 and $953, respectively, consisting of employee separation costs in connection with the termination of the employment of software and information technology specialists and administrative professionals at various locations around the world. The restructuring accrual for this cost reduction program is comprised of the following as of September30, 2009: Employee Separation Costs Balance as of October1, 2007 $ Restructuring charges 12,116 Cash payments (1,926 ) Balance as of September30, 2008 10,190 Restructuring charges 953 Cash payments (9,839 ) Adjustment (1,114 ) Balance as of September30, 2009 $ 190 |
Selected Quarterly Results of O
Selected Quarterly Results of Operations (Unaudited) | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Selected Quarterly Results of Operations (Unaudited) [Abstract] | |
Selected Quarterly Results of Operations (Unaudited) | Note23 Selected Quarterly Results of Operations (Unaudited) The following are details of the unaudited quarterly results of operations for the three months ended: September30, June30, March31, December31, 2009 Revenue $ 707,419 $ 690,265 $ 711,084 $ 753,839 Operating income 96,845 93,246 95,959 81,269 Net income 85,751 85,548 80,630 74,247 Basic earnings per share 0.42 0.42 0.40 0.37 Diluted earnings per share 0.42 0.42 0.39 0.35 2008 Revenue $ 825,277 $ 820,288 $ 774,281 $ 742,250 Operating income 101,463 105,951 102,880 95,302 Net income 82,711 100,672 99,859 95,664 Basic earnings per share 0.40 0.49 0.48 0.46 Diluted earnings per share 0.38 0.46 0.46 0.44 |
Valuation and Qualifying Accoun
Valuation and Qualifying Accounts | |
12 Months Ended
Sep. 30, 2009 USD / shares | |
Valuation and Qualifying Accounts [Abstract] | |
Valuation and Qualifying Accounts | Schedule Of Valuation And Qualifying Accounts Disclosure VALUATION AND QUALIFYING ACCOUNTS (in thousands) Valuation Allowances on Net Accounts Receivable Deferred Tax Allowances Assets Balance as of September30, 2006 $ 12,075 $ 29,335 Charged to costs and expenses 1,316 9,933 (1) Charged to revenue 23,102 Charged to other accounts 27 5,667 (2) Deductions (9,104 ) (11,684 )(3) Balance as of September30, 2007 27,416 33,251 Charged to costs and expenses 97 24,479 (4) Charged to revenue 1,962 Charged to other accounts 7,607 26,208 (2) Deductions (2,518 ) (7,457 )(3) Balance as of September30, 2008 34,564 76,481 Charged to costs and expenses 1,436 22,756 (5) Charged to revenue 3,768 Charged to other accounts 3,397 (6) Deductions (33,287 )(8) (16,457 )(7) Balance as of September30, 2009 $ 9,878 $ 82,780 (1) Valuation allowances on deferred tax assets incurred during fiscal 2007. (2) Includes valuation allowances on deferred tax assets incurred primarily in connection with 2006 acquisitions. (3) Deductions in the valuation allowances on net deferred tax assets were released to earnings. (4) Valuation allowances on deferred tax assets incurred during fiscal 2008. (5) Valuation allowances on deferred tax assets incurred during fiscal 2009. (6) Acquired as part of a 2009 small acquisition. (7) $3,481 of valuation allowances on deferred tax assets incurred primarily in connection with 2006 and 2008 acquisitions was released through goodwill, $7,172 of valuation allowances on deferred tax assets was written off against the related deferred tax assets, the remaining deductions in the valuation allowances on net deferred tax assets were released to earnings. (8) Primarily attributable to a settlement with a customer in which the allowances were written off against the related accounts receivable. |