QUALCOMM (QCOM) 10-K/A 22 Dec 09 2009 FY Annual report (amended) Financial data

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (USD $)
In Millions	Sep. 27, 2009	Sep. 28, 2008
Current assets:
Cash and cash equivalents	$2,717	$1,840
Marketable securities	8,352	4,571
Accounts receivable, net	700	4,187
Inventories	453	521
Deferred tax assets	149	289
Other current assets	199	464
Total current assets	12,570	11,872
Marketable securities	6,673	4,858
Deferred tax assets	843	830
Property, plant and equipment, net	2,387	2,162
Goodwill	1,492	1,517
Other intangible assets, net	3,065	3,104
Other assets	415	369
Total assets	27,445	24,712
Current liabilities:
Trade accounts payable	636	570
Payroll and other benefits related liabilities	480	406
Unearned revenues	441	394
Other current liabilities	1,256	1,070
Total current liabilities	2,813	2,440
Unearned revenues	3,464	3,768
Income taxes payable	47	227
Other liabilities	805	333
Total liabilities	7,129	6,768
Stockholders' equity:
Preferred stock, $0.0001 par value; issuable in series; 8 shares authorized; none outstanding at September 27, 2009 and September 28, 2008	0	0
Common stock, $0.0001 par value; 6,000 shares authorized; 1,669 and 1,656 shares issued and outstanding at September 27, 2009 and September 28, 2008, respectively	0	0
Paid-in capital	8,493	7,511
Retained earnings	11,235	10,717
Accumulated other comprehensive income (loss)	588	(284)
Total stockholders' equity	20,316	17,944
Total liabilities and stockholders' equity	$27,445	$24,712

PARENTHETICAL DISCLOSURES TO TH

PARENTHETICAL DISCLOSURES TO THE CONDENSED CONSOLIDATED BALANCE SHEET (USD $)
Share data in Millions	Sep. 27, 2009	Sep. 28, 2008
Stockholders' equity:
Preferred stock, par value	0.0001	0.0001
Preferred stock, shares authorized	8	8
Preferred stock, shares outstanding	0	0
Common stock, par value	0.0001	0.0001
Common stock, shares authorized	6,000	6,000
Common stock, shares issued	1,669	1,656
Common stock, shares outstanding	1,669	1,656

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS (USD $)
In Millions, except Per Share data	12 Months Ended Sep. 27, 2009	12 Months Ended Sep. 28, 2008	12 Months Ended Sep. 30, 2007
Revenues:
Equipment and services	$6,466	$7,160	$5,765
Licensing and royalty fees	3,950	3,982	3,106
Total revenues	10,416	11,142	8,871
Operating expenses:
Cost of equipment and services revenues	3,181	3,414	2,681
Research and development	2,440	2,281	1,829
Selling, general and administrative	1,556	1,717	1,478
Litigation settlement, patent license and other related items (Note 9)	783	0	0
Accrued KFTC fine (Note 9)	230	0	0
Total operating expenses	8,190	7,412	5,988
Operating income	2,226	3,730	2,883
Investment (loss) income, net (Note 5)	(150)	96	743
Income before income taxes	2,076	3,826	3,626
Income tax expense	(484)	(666)	(323)
Net income	$1,592	$3,160	$3,303
Basic earnings per common share	0.96	1.94	1.99
Diluted earnings per common share	0.95	1.9	1.95
Shares used in per share calculations:
Basic	1,656	1,632	1,660
Diluted	1,673	1,660	1,693
Dividends per share announced	0.66	0.6	0.52

1_CONDENSED CONSOLIDATED STATEM

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)
In Millions	12 Months Ended Sep. 27, 2009	12 Months Ended Sep. 28, 2008	12 Months Ended Sep. 30, 2007
Operating Activities:
Net income	$1,592	$3,160	$3,303
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	635	456	383
Revenues related to non-monetary exchanges	(114)	(172)	0
Non-cash portion of income tax (benefit) expense	(33)	306	91
Non-cash portion of share-based compensation expense	584	541	488
Non-cash portion of interest and dividend income	(68)	(26)	(22)
Incremental tax benefit from stock options exercised	(79)	(408)	(240)
Net realized gains on marketable securities and other investments	(137)	(155)	(222)
Net impairment losses on marketable securities and other investments	763	535	27
Other items, net	36	29	(21)
Changes in assets and liabilities, net of effects of acquisitions:
Accounts receivable, net	3,083	(802)	(16)
Inventories	69	(47)	(234)
Other assets	(58)	(17)	(96)
Trade accounts payable	57	(63)	209
Payroll, benefits and other liabilities	984	310	139
Unearned revenues	(142)	(89)	22
Net cash provided by operating activities	7,172	3,558	3,811
Investing Activities:
Capital expenditures	(761)	(1,397)	(818)
Purchases of available-for-sale securities	(10,443)	(7,680)	(8,492)
Proceeds from sale of available-for-sale securities	5,274	6,689	7,998
Increase in receivables for settlement of investments	0	(406)	0
Cash received for partial settlement of investment receivables	349	0	0
Other investments and acquisitions, net of cash acquired	(54)	(298)	(249)
Change in collateral held under securities lending	173	248	(421)
Other items, net	5	25	84
Net cash used by investing activities	(5,457)	(2,819)	(1,898)
Financing Activities:
Proceeds from issuance of common stock	642	1,184	556
Incremental tax benefit from stock options exercised	79	408	240
Repurchase and retirement of common stock	(285)	(1,670)	(1,482)
Dividends paid	(1,093)	(982)	(862)
Change in obligation under securities lending	(173)	(248)	421
Other items, net	(3)	1	16
Net cash used by financing activities	(833)	(1,307)	(1,111)
Effect of exchange rate changes on cash	(5)	(3)	2
Net increase (decrease) in cash and cash equivalents	877	(571)	804
Cash and cash equivalents at beginning of year	1,840	2,411	1,607
Cash and cash equivalents at end of year	$2,717	$1,840	$2,411

CONSOLIDATED STATEMENTS OF STOC

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (USD $)
In Millions	Common Stock	Paid-In Capital	Retained Earnings	Accumulated Other Comprehensive Income (Loss)	Total
Beginning Balance (in shares) at Sep. 24, 2006	1,652
Beginning Balance at Sep. 24, 2006		$7,242	$6,100	$64	$13,406
Components of comprehensive income:
Net income	0	0	3,303	0	3,303
Unrealized net gains (losses) on securities and derivative instruments, net of income tax (expenses) benefits of ($198) and $373, respectively	0	0	0	274	274
Reclassification adjustment for net realized gains on securities and derivative instruments included in net income, net of income tax expenses of $87, $48 and $75, respectively	0	0	0	(131)	(131)
Other comprehensive income, net of income tax benefits of $6	0	0	0	30	30
Total comprehensive income	0	0	0	0	3,476
Exercise of stock options		477	0	0	477
Exercise of stock options (in shares)	28
Tax benefit from exercise of stock options	0	229	0	0	229
Issuance for Employee Stock Purchase and Executive Retirement Plans		88	0	0	88
Issuance for Employee Stock Purchase and Executive Retirement Plans (in shares)	3
Share-based compensation	0	485	0	0	485
Repurchase and retirement of common stock		(1,459)	0	0	(1,459)
Repurchase and retirement of common stock (in shares)	(37)
Dividends	0	0	(862)	0	(862)
Other	0	(5)	0	0	(5)
Ending Balance at Sep. 30, 2007		7,057	8,541	237	15,835
Ending Balance (in shares) at Sep. 30, 2007	1,646
Components of comprehensive income:
Net income	0	0	3,160	0	3,160
Unrealized net gains (losses) on securities and derivative instruments, net of income tax (expenses) benefits of ($198) and $373, respectively	0	0	0	(738)	(738)
Reclassification adjustment for net realized gains on securities and derivative instruments included in net income, net of income tax expenses of $87, $48 and $75, respectively	0	0	0	(72)	(72)
Reclassification adjustment for other-than-temporary losses on marketable securities included in net income, net of income tax benefits of $201 and $130, respectively	0	0	0	301	301
Foreign currency translation	0	0	0	(12)	(12)
Total comprehensive income	0	0	0	0	2,639
Exercise of stock options		1,070	0	0	1,070
Exercise of stock options (in shares)	49
Tax benefit from exercise of stock options	0	385	0	0	385
Issuance for Employee Stock Purchase and Executive Retirement Plans		117	0	0	117
Issuance for Employee Stock Purchase and Executive Retirement Plans (in shares)	4
Share-based compensation	0	544	0	0	544
Repurchase and retirement of common stock		(1,666)	0	0	(1,666)
Repurchase and retirement of common stock (in shares)	(43)
Dividends	0	0	(982)	0	(982)
Other	0	4	(2)	0	2
Ending Balance at Sep. 28, 2008		7,511	10,717	(284)	17,944
Ending Balance (in shares) at Sep. 28, 2008	1,656
Components of comprehensive income:
Net income	0	0	1,592	0	1,592
Noncredit other-than-temporary impairment losses and subsequent changes in fair value related to certain marketable debt securities, net of income tax expenses of $12	0	0	0	135	135
Net unrealized gains on other marketable securities and derivative instruments, net of income tax benefits of $5	0	0	0	261	261
Reclassification adjustment for net realized gains on securities and derivative instruments included in net income, net of income tax expenses of $87, $48 and $75, respectively	0	0	0	(93)	(93)
Reclassification adjustment for other-than-temporary losses on marketable securities included in net income, net of income tax benefits of $201 and $130, respectively	0	0	0	613	613
Foreign currency translation	0	0	0	(25)	(25)
Total comprehensive income	0	0	0	0	2,483
Exercise of stock options		534	0	0	534
Exercise of stock options (in shares)	18
Tax benefit from exercise of stock options	0	34	0	0	34
Issuance for Employee Stock Purchase and Executive Retirement Plans		114	0	0	114
Issuance for Employee Stock Purchase and Executive Retirement Plans (in shares)	4
Share-based compensation	0	585	0	0	585
Repurchase and retirement of common stock		(285)	0	0	(285)
Repurchase and retirement of common stock (in shares)	(9)
Dividends	0	0	(1,093)	0	(1,093)
Cumulative effect of adoption (Note 3)	0	0	19	(19)	0
Ending Balance at Sep. 27, 2009		$8,493	$11,235	$588	$20,316
Ending Balance (in shares) at Sep. 27, 2009	1,669

PARENTHETICAL DATA TO THE CONSO

PARENTHETICAL DATA TO THE CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (USD $)
In Millions	9/29/2008 - 9/27/2009	10/1/2007 - 9/28/2008	9/25/2006 - 9/30/2007
Components of comprehensive income:
Noncredit other-than-temporary impairment losses and subsequent changes in fair value related to certain marketable debt securities, income tax expenses	($12)	$0	$0
Net unrealized gains on other marketable securities and derivative instruments, income tax benefits	5	0	0
Unrealized net gains (losses) on securities and derivative instruments, income tax (expenses) benefits	0	373	(198)
Reclassification adjustment for net realized gains on securities and derivative instruments included in net income, income tax expenses	(75)	(48)	(87)
Reclassification adjustment for other-than-temporary losses on marketable securities included in net income, income tax benefits	(130)	(201)	0
Other comprehensive income, income tax benefits	$0	$0	($6)

The Company and Its Significant

The Company and Its Significant Accounting Policies
	12 Months Ended Sep. 27, 2009 USD / shares
Notes to Financial Statements [Abstract]
Note 1 - The Company and Its Significant Accounting Policies	Note 1. The Company and Its Significant Accounting Policies The Company. QUALCOMM Incorporated (the Company or QUALCOMM), a Delaware corporation, develops, designs, manufactures and markets digital wireless telecommunications products and services. The Company is a leading developer and supplier of Code Division Multiple Access (CDMA)-based integrated circuits and system software for wireless voice and data communications, multimedia functions and global positioning system products to wireless device and infrastructure manufacturers. The Company also manufactures and sells products based upon Orthogonal Frequency Division Multiplexing Access (OFDMA) technology. The Company grants licenses to use portions of its intellectual property portfolio, which includes certain patent rights essential to and/or useful in the manufacture and sale of certain wireless products, and receives license fees as well as ongoing royalties based on sales by licensees of wireless telecommunications equipment products incorporating its patented technologies. The Company sells equipment, software and services to transportation and other companies to wireless connect their assets and workforce. The Company provides software products and services for content enablement across a wide variety of platforms and devices for the wireless industry. The Company provides services to wireless operators to delivery multimedia content, including live television, in the United States. The Company also makes strategic investments to promote the worldwide adoption of CDMA products and services for wireless voice and internet data communications. Principles of Consolidation. The Companys consolidated financial statements include the assets, liabilities and operating results of majority-owned subsidiaries. The ownership of the other interest holders of consolidated subsidiaries is reflected as minority interest and is not significant. All significant intercompany accounts and transactions have been eliminated. Certain of the Companys foreign subsidiaries are included in the consolidated financial statements one month in arrears to facilitate the timely inclusion of such entities in the Companys consolidated financial statements. The Company is not the primary beneficiary of, nor does it hold a significant variable interest in, any variable interest entity. Financial Statement Preparation. The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts and the disclosure of contingent amounts in the Companys consolidated financial statements and the accompanying notes. Actual results could differ from those estimates. Certain prior year amounts have been reclassified to conform to the current year presentation. The Company has evaluated subsequent events through the date that the financial statements were issued on November 4, 2009. Fiscal Year. The Company operates and reports using a 52-53 week fiscal year ending on the last Sunday in September. The fiscal years ended September 27, 2009 and September 28, 2008 both included 52

Fair Value Measurements

Fair Value Measurements
	12 Months Ended Sep. 27, 2009 USD / shares
Notes to Financial Statements [Abstract]
Note 2 - Fair Value Measurements	Note 2 Fair Value Measurements Effective September 29, 2008, the first day of the Companys fiscal year 2009, the Company adopted the authoritative guidance for fair value measurements and the fair value option for financial assets and financial liabilities. The Company did not record an adjustment to retained earnings as a result of the adoption of the guidance for fair value measurements, and the adoption did not have a material effect on the Companys results of operations. The guidance for the fair value option for financial assets and financial liabilities provides companies the irrevocable option to measure many financial assets and liabilities at fair value with changes in fair value recognized in earnings. The Company has not elected to measure any financial assets or liabilities at fair value that were not previously required to be measured at fair value. Fair value is defined as the exit price, or the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants as of the measurement date. The guidance also establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs market participants would use in valuing the asset or liability and are developed based on market data obtained from sources independent of the Company. Unobservable inputs are inputs that reflect the Companys assumptions about the factors market participants would use in valuing the asset or liability. The guidance establishes three levels of inputs that may be used to measure fair value: Level 1 includes financial instruments for which quoted market prices for identical instruments are available in active markets. Level 1 assets consist of money market funds, equity mutual and exchange-traded funds, equity securities and U.S. Treasury securities as they are traded in an active market with sufficient volume and frequency of transactions. Level 1 liabilities are associated with the Companys deferred incentive compensation plans. Level 2 includes financial instruments for which there are inputs other than quoted prices included within Level 1 that are observable for the instrument such as quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets with insufficient volume or infrequent transactions (less active markets) or model-driven valuations in which significant inputs are observable or can be derived principally from, or corroborated by, observable market data, including market interest rate curves, referenced credit spreads and pre-payment rates. Level 2 assets and liabilities consist of certain marketable debt instruments and derivative contracts whose values are determined using inputs that are observable in the market or can be derived principally from or corroborated by observable market data. Marketable debt instruments in this category include government-related securities, corporate bonds and notes, preferred securities, AAA

Marketable Securities

Marketable Securities
	12 Months Ended Sep. 27, 2009 USD / shares
Notes to Financial Statements [Abstract]
Note 3 - Marketable Securities	Note 3. Marketable Securities Marketable securities were comprised as follows (in millions): Current Noncurrent September27, 2009 September28, 2008 September27, 2009 September28, 2008 Available-for-sale: U.S. Treasury securities and government-related securities $ 1,407 $ 514 $ - $ - Corporate bonds and notes 3,988 3,296 1,204 175 Mortgage- and asset-backed securities 821 499 36 - Auction rate securities - - 174 186 Non-investment-grade debt securities 21 23 2,719 2,030 Equity securities 140 150 1,377 1,187 Equity mutual funds and exchange-traded funds - - 948 1,280 Debt mutual funds 1,975 89 215 - $ 8,352 $ 4,571 $ 6,673 $ 4,858 There were no marketable securities loaned under the Companys securities lending program at September 27, 2009. Marketable securities in the amount of $169 million at September 28, 2008 were loaned under the Companys securities lending program. As of September 27, 2009, the contractual maturities of available-for-sale debt securities were as follows (in millions): Years to Maturity No Single Maturity Date Total Less Than One Year One to Five Years Five to Ten Years Greater Than Ten Years $ 2,320 $ 4,665 $ 956 $ 477 $ 4,142 $ 12,560 Securities with no single maturity date included mortgage- and asset-backed securities, auction rate securities, non-investment-grade debt securities and debt mutual funds. The Company recorded realized gains and losses on sales of available-for-sale marketable securities as follows (in millions): Fiscal Year Gross Realized Gains Gross Realized Losses Net Realized Gains 2009 $ 215 $ (79 ) $ 136 2008 246 (119 ) 127 2007 244 (26 ) 218 Available-for-sale securities were comprised as follows (in millions): Cost Unrealized Gains Unrealized Losses Fair Value September 27, 2009 Equity securities $ 2,282 $ 340 $ (157 ) $ 2,465 Debt securities 12,069 530 (39 ) 12,560 $ 14,351 $ 870 $ (196 ) $ 15,025 September 28, 2008 Equity securities $ 2,810 $ 90 $ (283 ) $ 2,617 Debt securities 6,966 12 (166 ) 6,812 $ 9,776 $ 102 $ (449 ) $ 9,429 In April 2009, the FASB amended the existing guidance on determining whether an impairment for investments in debt securities is other-than-temporary. The new guidance was effective for the Companys third quarter of fiscal 2009 and resulted in a net after-tax increase to retained earnings and a corresponding decrease to accumulated other comprehensive income (loss) of $19 million primarily for the portion of other-than-temporary impairments recorded in earnings in previous period

Composition of Certain Financia

Composition of Certain Financial Statement Captions
	12 Months Ended Sep. 27, 2009 USD / shares
Notes to Financial Statements [Abstract]
Note 4 - Composition of Certain Financial Statement Captions	Note 4. Composition of Certain Financial Statement Captions Accounts Receivable. September27, 2009 September28, 2008 (In millions) Trade, net of allowances for doubtful accounts of $4 and $38, respectively $ 639 $ 3,732 Long-term contracts 38 33 Investment receivables 2 412 Other 21 10 $ 700 $ 4,187 Trade accounts receivable at September 28, 2008 included a $2.5 billion licensing receivable that was paid in October 2008. Investment receivables at September 28, 2008 primarily related to amounts due for redemptions of money market investments for which the Company received partial payment in fiscal 2009, and the remaining $48 million net receivable was recorded in other assets at September 27, 2009, substantially all of which was classified as noncurrent due to the uncertainty regarding the timing of distributions. Inventories. September27, 2009 September28, 2008 (In millions) Raw materials $ 15 $ 27 Work-in-process 199 199 Finished goods 239 295 $ 453 $ 521 Property, Plant and Equipment. September27, 2009 September28, 2008 (In millions) Land $ 187 $ 183 Buildings and improvements 1,364 1,262 Computer equipment and software 1,022 929 Machinery and equipment 1,535 1,063 Furniture and office equipment 65 59 Leasehold improvements 219 155 Construction in progress 76 200 4,468 3,851 Less accumulated depreciation and amortization (2,081 ) (1,689 ) $ 2,387 $ 2,162 Depreciation and amortization expense related to property, plant and equipment for fiscal 2009, 2008 and 2007 was $428 million, $372 million and $317 million, respectively. The gross book values of property under capital leases included in buildings and improvements were $190 million and $140 million at September 27, 2009 and September 28, 2008, respectively. These capital leases principally related to base station towers and buildings. Amortization of assets recorded under capital leases is included in depreciation expense. Capital lease additions during fiscal 2009, 2008 and 2007 were $50 million, $51 million and $33 million, respectively. At September 27, 2009 and September 28, 2008, buildings and improvements and leasehold improvements with aggregate net book value of $56 million and $63 million, respectively, including accumulated depreciation and amortization of $9 million and $6 million, respectively, were leased to third parties or held for lease to third parties. Future minimum rental income on facilities leased to others in fiscal 2010 to 2014 is expected to be $8 million, $6 million, $6 million, $3 million and $1 million, respectively, and zero thereafter. Goodwill and Other Intangible Assets. The Companys reportable segment assets do not include goodwill. The Company allocates goodwill to its reporting units for annual impairment testing purposes. Goodwill was allocable to reporting units included in the Compa
Accounts Receivable	Accounts Receivable. September27, 2009 September28, 2008 (In millions) Trade, net of allowances for doubtful accounts of $4 and $38, respectively $ 639 $ 3,732 Long-term contracts 38 33 Investment receivables 2 412 Other 21 10 $ 700 $ 4,187 Trade accounts receivable at September 28, 2008 included a $2.5 billion licensing receivable that was paid in October 2008. Investment receivables at September 28, 2008 primarily related to amounts due for redemptions of money market investments for which the Company received partial payment in fiscal 2009, and the remaining $48 million net receivable was recorded in other assets at September 27, 2009, substantially all of which was classified as noncurrent due to the uncertainty regarding the timing of distributions.
Inventories	Inventories. September27, 2009 September28, 2008 (In millions) Raw materials $ 15 $ 27 Work-in-process 199 199 Finished goods 239 295 $ 453 $ 521
Property, Plant and Equipment	Property, Plant and Equipment. September27, 2009 September28, 2008 (In millions) Land $ 187 $ 183 Buildings and improvements 1,364 1,262 Computer equipment and software 1,022 929 Machinery and equipment 1,535 1,063 Furniture and office equipment 65 59 Leasehold improvements 219 155 Construction in progress 76 200 4,468 3,851 Less accumulated depreciation and amortization (2,081 ) (1,689 ) $ 2,387 $ 2,162 Depreciation and amortization expense related to property, plant and equipment for fiscal 2009, 2008 and 2007 was $428 million, $372 million and $317 million, respectively. The gross book values of property under capital leases included in buildings and improvements were $190 million and $140 million at September 27, 2009 and September 28, 2008, respectively. These capital leases principally related to base station towers and buildings. Amortization of assets recorded under capital leases is included in depreciation expense. Capital lease additions during fiscal 2009, 2008 and 2007 were $50 million, $51 million and $33 million, respectively. At September 27, 2009 and September 28, 2008, buildings and improvements and leasehold improvements with aggregate net book value of $56 million and $63 million, respectively, including accumulated depreciation and amortization of $9 million and $6 million, respectively, were leased to third parties or held for lease to third parties. Future minimum rental income on facilities leased to others in fiscal 2010 to 2014 is expected to be $8 million, $6 million, $6 million, $3 million and $1 million, respectively, and zero thereafter.
Goodwill and Other Intangible Assets	Goodwill and Other Intangible Assets. The Companys reportable segment assets do not include goodwill. The Company allocates goodwill to its reporting units for annual impairment testing purposes. Goodwill was allocable to reporting units included in the Companys reportable segments at September 27, 2009 as follows: $434 million in Qualcomm CDMA Technologies, $675 million in Qualcomm Technology Licensing, $255 million in Qualcomm Wireless Internet, and $128 million in Qualcomm MEMS Technology (a nonreportable segment included in reconciling items in Note 10). The decrease in goodwill from September 28, 2008 to September 27, 2009 was the result of adjustments to acquired deferred tax assets and currency translation adjustments, partially offset by a business acquisition. The components of intangible assets were as follows (in millions): September27, 2009 September28, 2008 Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Wireless licenses $ 766 $ (1 ) $ 849 $ (38 ) Marketing-related 22 (13 ) 25 (14 ) Technology-based 2,598 (317 ) 2,406 (139 ) Customer-related 11 (7 ) 14 (6 ) Other 9 (3 ) 9 (2 ) $ 3,406 $ (341 ) $ 3,303 $ (199 ) All of the Companys intangible assets, other than certain wireless licenses in the amount of $762 million and goodwill, are subject to amortization. Amortization expense related to these intangible assets for fiscal 2009, 2008 and 2007 was $207 million, $84 million and $68 million, respectively, and for fiscal 2010 to 2014 is expected to be $217 million, $214 million, $199 million, $179 million and $172 million, respectively, and $1.3 billion thereafter.
Other Current Liabilities	Other Current Liabilities. September27, September28, 2009 2008 (In millions) Customer-related liabilities, including incentives, rebates and other reserves $ 461 $ 334 Current portion of payable to Broadcom (Note 9) 170 - Accrued liability to KFTC (Note 9) 230 - Payable for unsettled securities trades 101 209 Obligations under securities lending - 173 Other 294 354 $ 1,256 $ 1,070

Investment Income

Investment Income
	12 Months Ended Sep. 27, 2009 USD / shares
Notes to Financial Statements [Abstract]
Note 5 - Investment (Loss) Income	Note 5. Investment (Loss) Income Investment (loss) income, net was comprised as follows (in millions): 2009 2008 2007 Interest and dividend income $ 516 $ 491 $ 558 Interest expense (24 ) (22 ) (11 ) Net realized gains on marketable securities 136 127 218 Net realized gains on other investments 1 28 4 Net impairment losses on marketable securities (743 ) (502 ) (16 ) Net impairment losses on other investments (20 ) (33 ) (11 ) Gains on derivative instruments 1 6 2 Equity in (losses) earnings of investees (17 ) 1 (1 ) $ (150 ) $ 96 $ 743 Net impairment losses on marketable securities for fiscal 2009 was comprised of total other-than-temporary impairment losses of $747 million less $4 million related to the noncredit portion of losses on debt securities recognized in other comprehensive income. The net other-than-temporary losses on marketable securities were generally related to depressed securities values caused by the major disruption in U.S. and foreign credit and financial markets.

Income Taxes

Income Taxes
	12 Months Ended Sep. 27, 2009 USD / shares
Notes to Financial Statements [Abstract]
Note 6 - Income Taxes	Note 6. Income Taxes The components of the income tax provision were as follows (in millions): 2009 2008 2007 Current provision: Federal $ 130 $ 394 $ 192 State 52 71 37 Foreign 291 245 185 473 710 414 Deferred provision: Federal (47 ) (14 ) (75 ) State 77 (22 ) (15 ) Foreign (19 ) (8 ) (1 ) 11 (44 ) (91 ) $ 484 $ 666 $ 323 The foreign component of the income tax provision consists primarily of foreign withholding taxes on royalty income included in United States earnings. The components of income before income taxes by United States and foreign jurisdictions were as follows (in millions): 2009 2008 2007 United States $ 1,041 $ 1,564 $ 1,681 Foreign 1,035 2,262 1,945 $ 2,076 $ 3,826 $ 3,626 The following is a reconciliation of the expected statutory federal income tax provision to the Companys actual income tax provision (in millions): 2009 2008 2007 Expected income tax provision at federal statutory tax rate $ 727 $ 1,339 $ 1,269 State income tax provision, net of federal benefit 98 168 180 Foreign income taxed at other than U.S. rates (407 ) (858 ) (710 ) Tax audit settlements (155 ) - (331 ) Tax credits (112 ) (47 ) (91 ) Valuation allowance 229 48 (7 ) Revaluation of deferred taxes 74 - - Other 30 16 13 Income tax expense $ 484 $ 666 $ 323 The Company has not recorded a deferred tax liability of approximately $3.0 billion related to the United States federal and state income taxes and foreign withholding taxes on approximately $8.6 billion of undistributed earnings of certain non-United States subsidiaries indefinitely invested outside the United States. Should the Company decide to repatriate the foreign earnings, the Company would have to adjust the income tax provision in the period management determined that the earnings will no longer be indefinitely invested outside the United States. The Company files income tax returns in the United States federal jurisdiction and various state and foreign jurisdictions. The tax provision was reduced by $155 million during fiscal 2009 to adjust the Companys prior year estimates of uncertain tax positions as a result of various federal, state and foreign tax audits. The Company is no longer subject to United States federal examinations by taxing authorities for years prior to fiscal 2008. The U.S. income tax return for fiscal 2008 is being examined by the IRS, which is expected to be completed no later than May 2010. The Company is participating in the IRS Compliance Assurance Program, whereby the IRS and the Company endeavor to agree on the treatment of all issues in the fiscal 2009 tax return prior to the return being filed. The Company is subject to examination by the Californ

Capital Stock

Capital Stock
	12 Months Ended Sep. 27, 2009 USD / shares
Notes to Financial Statements [Abstract]
Note 7 - Capital Stock	Note 7. Capital Stock Preferred Stock. The Company has 8,000,000 shares of preferred stock authorized for issuance in one or more series, at a par value of $0.0001 per share. In conjunction with the distribution of preferred share purchase rights, 4,000,000 shares of preferred stock are designated as Series A Junior Participating Preferred Stock, and such shares are reserved for issuance upon exercise of the preferred share purchase rights. At September 27, 2009 and September 28, 2008, no shares of preferred stock were outstanding. Preferred Share Purchase Rights Agreement. The Company has a Preferred Share Purchase Rights Agreement (Rights Agreement) to protect stockholders interests in the event of a proposed takeover of the Company. Under the original Rights Agreement, adopted on September 26, 1995, the Company declared a dividend of one preferred share purchase right (a Right) for each share of the Companys common stock outstanding. Pursuant to the Rights Agreement, as amended and restated on December 7, 2006, each Right entitles the registered holder to purchase from the Company a one one-thousandth share of Series A Junior Participating Preferred Stock, $0.0001 par value per share, subject to adjustment for subsequent stock splits, at a purchase price of $180. The Rights are exercisable only if a person or group (an Acquiring Person) acquires beneficial ownership of 20% or more of the Companys outstanding shares of common stock without approval of the Board of Directors. Upon exercise, holders, other than an Acquiring Person, will have the right, subject to termination, to receive the Companys common stock or other securities, cash or other assets having a market value, as defined, equal to twice such purchase price. The Rights, which expire on September 25, 2015, are redeemable in whole, but not in part, at the Companys option prior to the time such Rights are triggered for a price of $0.001 per Right. Stock Repurchase Program. On March 11, 2008, the Company announced that it had been authorized to repurchase up to $2.0 billion of the Companys common stock. The stock repurchase program has no expiration date. When stock is repurchased and retired, the amount paid in excess of par value is recorded to paid-in capital. During fiscal 2009, 2008 and 2007, the Company repurchased and retired 8,920,000, 42,616,000 and 37,263,000 shares of common stock, respectively, for $284 million, $1.7 billion and $1.5 billion, respectively, before commissions and excluding $14 million and $9 million of premiums received related to put options that were exercised in fiscal 2008 and 2007, respectively. At September 27, 2009, approximately $1.7 billion remained authorized for repurchase under the Companys stock repurchase program. In connection with the Companys stock repurchase program, the Company sold put options on its own stock during fiscal 2007. At September 27, 2009 and September 28, 2008, no put options remained outstanding. During fiscal 2008, the Company recognized gains of $6 million in investment income due to decreases in the fair values of put options, including premiums received of $14 million. During fiscal 2007, the Company

Employee Benefit Plans

Employee Benefit Plans
	12 Months Ended Sep. 27, 2009 USD / shares
Notes to Financial Statements [Abstract]
Note 8 - Employee Benefit Plans	Note 8. Employee Benefit Plans Employee Savings and Retirement Plan. The Company has a 401(k) plan that allows eligible employees to contribute up to 100% of their eligible compensation, subject to annual limits. The Company matches a portion of the employee contributions and may, at its discretion, make additional contributions based upon earnings. The Companys contribution expense for fiscal 2009, 2008 and 2007 was $46 million, $45 million and $39 million, respectively. Equity Compensation Plans. The Board of Directors may grant options to selected employees, directors and consultants to the Company to purchase shares of the Companys common stock at a price not less than the fair market value of the stock at the date of grant. The 2006 Long-Term Incentive Plan (the 2006 Plan) was adopted during the second quarter of fiscal 2006 and replaced the 2001 Stock Option Plan and the 2001 Non-Employee Directors' Stock Option Plan and their predecessor plans (the Prior Plans). The 2006 Plan provides for the grant of incentive and nonstatutory stock options as well as stock appreciation rights, restricted stock, restricted stock units, performance units and shares and other stock-based awards and is the source of shares issued under the Executive Retirement Matching Contribution Plan (ERMCP). The share reserve under the 2006 Plan was 405,284,000 at September 27, 2009. Shares subject to any outstanding option under a Prior Plan that is terminated or cancelled (but not an option under a Prior Plan that expires) following the date that the 2006 Plan was approved by stockholders, and shares that are subject to an award under the ERMCP and are returned to the Company because they fail to vest, will again become available for grant under the 2006 Plan. The Board of Directors of the Company may amend or terminate the 2006 Plan at any time. Certain amendments, including an increase in the share reserve, require stockholder approval. Generally, options and restricted stock units outstanding vest over periods not exceeding five years. Options are exercisable for up to ten years from the grant date. During fiscal 2008, the Company assumed a total of approximately 1,462,000 outstanding stock options under various stock-based incentive plans that were assumed (the Assumed Plans) as a result of acquisitions. The Assumed Plans were suspended on the dates of acquisition, and no additional shares may be granted under those plans. The Assumed Plans provided for the grant of both incentive stock options and non-qualified stock options. Generally, options outstanding vest over periods not exceeding five years and are exercisable for up to ten years from the grant date. A summary of stock option transactions for all stock option plans follows: Number of Shares (In thousands) Weighted Average Exercise Price Average Remaining Contractual Term (Years) Aggregate Intrinsic Value (In billions) Outstanding at September 28, 2008 202,326 $ 37.42 Options granted 41,135 38.16 Options cancelled/forfeited/expired (5,365 ) 41.85 Options exercised (18,585 )

Commitments and Contingencies

Commitments and Contingencies
	12 Months Ended Sep. 27, 2009 USD / shares
Notes to Financial Statements [Abstract]
Note 9 - Commitments and Contingencies	Note 9. Commitments and Contingencies Litigation. European Commission Complaint: On October 28, 2005, it was reported that six companies (Broadcom, Nokia, Texas Instruments, NEC, Panasonic and Ericsson) filed complaints with the European Commission, alleging that the Company violated European Union competition law in its WCDMA licensing practices. The Company has received the complaints and has submitted replies to the allegations, as well as documents and other information requested by the European Commission. On October 1, 2007, the European Commission announced that it had initiated a proceeding. To date, the European Commission has not announced whether it would issue a Statement of Objections or whether it has made any conclusions as to the merits of the complaints. As part of their agreements with the Company, Nokia and Broadcom have each withdrawn their complaints filed with the European Commission, though the investigation remains active. Tessera, Inc. v. QUALCOMM Incorporated: On April 17, 2007, Tessera, Inc. filed a patent infringement lawsuit in the United States District Court for the Eastern Division of Texas and a complaint with the United States International Trade Commission (ITC) pursuant to Section 337 of the Tariff Act of 1930 against the Company and other companies, alleging infringement of two patents relating to semiconductor packaging structures and seeking monetary damages and injunctive and other relief. The District Court action is stayed pending resolution of the ITC proceeding. The U.S. Patent and Trademark Offices (USPTO) Central Reexamination Unit has issued office actions rejecting all of the asserted patent claims on the grounds that they are invalid in view of certain prior art and has made these rejections final; Tessera has appealed the rejections to the Board of Appeals and Interferences. On December 1, 2008, the Administrative Law Judge (ALJ) ruled that the patents are valid but not infringed. On May 20, 2009, however, the ITC reversed the ALJs determination that the patents were not infringed and it issued the following remedial orders: (1) a limited exclusion order that bans the Company and the other named respondents from importing into the United States the accused chip packages (except to the extent those products are licensed) and (2) a cease and desist order that prohibits the Company from engaging in certain domestic activities respecting those products. The Company and other respondents have appealed. The ITC declined to stay its decision pending appeal, and the President declined to review the decision. The Company has shifted supply of accused chips for the U.S. market to a licensed supplier, Amkor. A licensed source of supply permits the Company to continue to supply the U.S. market without interruption. The appeals court has declined the Companys request that it stay enforcement of the orders pending appeal. The subject patents expire on September 24, 2010, at which time the ITC orders will cease to be operative. Korea Fair Trade Commission Complaint: Two U.S. companies (Texas Instruments and Broadcom) and two South Korean companies (Nextreaming Corp. and Thin Multimedia, Inc.) file

Segment Information

Segment Information
	12 Months Ended Sep. 27, 2009 USD / shares
Notes to Financial Statements [Abstract]
Note 10 - Segment Information	Note 10. Segment Information The Company is organized on the basis of products and services. The Company aggregates four of its divisions into the Qualcomm Wireless Internet segment. Reportable segments are as follows: Qualcomm CDMA Technologies (QCT) develops and supplies integrated circuits and system software for wireless voice and data communications, multimedia functions and global positioning system products based on its CDMA technology and other technologies; Qualcomm Technology Licensing (QTL) grants licenses to use portions of the Companys intellectual property portfolio, which includes certain patent rights essential to and/or useful in the manufacture and sale of certain wireless products, including, without limitation, products implementing cdmaOne, CDMA2000, WCDMA, CDMA TDD (including TD-SCDMA), GSM/GPRS/EDGE and/or OFDMA standards and their derivatives, and collects license fees and royalties in partial consideration for such licenses; Qualcomm Wireless Internet (QWI) comprised of: o Qualcomm Internet Services (QIS) provides content enablement services for the wireless industry and push-to-talk and other products and services for wireless network operators; o Qualcomm Government Technologies (QGOV) provides development, hardware and analytical expertise to United States government agencies involving wireless communications technologies; o Qualcomm Enterprise Services (QES) provides satellite- and terrestrial-based two-way data messaging, position reporting, wireless application services and managed data services to transportation and logistics companies and other enterprise companies; and o Firethorn builds and manages software applications that enable financial institutions and wireless operators to offer mobile commerce services. Qualcomm Strategic Initiatives (QSI) manages the Companys strategic investment activities, including FLO TV Incorporated (FLO TV), the Companys wholly-owned wireless multimedia operator subsidiary. QSI makes strategic investments to promote the worldwide adoption of CDMA-based products and services. The Company evaluates the performance of its segments based on earnings (loss) before income taxes (EBT). EBT includes the allocation of certain corporate expenses to the segments, including depreciation and amortization expense related to unallocated corporate assets. Certain income and charges are not allocated to segments in the Companys management reports because they are not considered in evaluating the segments operating performance. Unallocated income and charges include certain investment income, certain share-based compensation and certain research and development expenses and marketing expenses that were not deemed to be directly related to the businesses of the segments. The table below presents revenues, EBT and total assets for reportable segments (in millions): QCT QTL QWI QSI Reconciling Items Total 2009 Revenues $ 6,135 $ 3,605 $ 641 $ 29 $ 6 $ 10,416 EBT 1,441 3

Acquisitions

Acquisitions
	12 Months Ended Sep. 27, 2009 USD / shares
Notes to Financial Statements [Abstract]
Note 11 - Acquisitions	Note 11. Acquisitions During fiscal 2009, the Company acquired one business for total cash consideration of $17 million. During fiscal 2008, the Company acquired five businesses for total cash consideration of $263 million. Goodwill recognized in these transactions, of which $179 million is expected to be deductible for tax purposes, was assigned to the QWI and QCT segments in the amount of $179 million and $21 million, respectively. Technology-based intangible assets recognized in the amount of $57 million are being amortized on a straight-line basis over a weighted-average useful life of six years. During fiscal 2007, the Company acquired three businesses for total cash consideration of $181 million. Goodwill recognized in these transactions, of which $21 million is expected to be deductible for tax purposes, was assigned to the QCT and QWI segments in the amounts of $72 million and $10 million, respectively. Technology-based intangible assets recognized in the amount of $46 million are being amortized on a straight-line basis over a weighted-average useful life of three years. The consolidated financial statements include the operating results of these businesses from their respective dates of acquisition. Pro forma results of operations have not been presented because the effects of the acquisitions were not material.

Summarized Quarterly Data

Summarized Quarterly Data (Unaudited)
	12 Months Ended Sep. 27, 2009 USD / shares
Notes to Financial Statements [Abstract]
Note 12 - Summarized Quarterly Data (Unaudited)	Note 12. Summarized Quarterly Data (Unaudited) The following financial information reflects all normal recurring adjustments that are, in the opinion of management, necessary for a fair statement of the results of the interim periods. The table below presents quarterly data for the years ended September 27, 2009 and September 28, 2008 (in millions, except per share data): 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter 2009 Revenues (1) $ 2,517 $ 2,455 $ 2,753 $ 2,690 Operating income (loss) (1) 745 (10 ) 894 597 Net income (loss)(1) 341 (289 ) 737 803 Basic earnings (loss) per common share (2) $ 0.21 $ (0.18 ) $ 0.45 $ 0.48 Diluted earnings (loss) per common share (2) $ 0.20 $ (0.18 ) $ 0.44 $ 0.48 2008 Revenues (1) $ 2,440 $ 2,606 $ 2,762 $ 3,334 Operating income (1) 757 813 824 1,335 Net income(1) 767 766 748 878 Basic earnings per common share (2) $ 0.47 $ 0.47 $ 0.46 $ 0.53 Diluted earnings per common share (2) $ 0.46 $ 0.47 $ 0.45 $ 0.52 (1) Revenues, operating income and net income are rounded to millions each quarter. Therefore, the sum of the quarterly amounts may not equal the annual amounts reported. (2) Earnings per share are computed independently for each quarter and the full year based upon respective average shares outstanding. Therefore, the sum of the quarterly earnings per share amounts may not equal the annual amounts reported.

Schedule II: Valuation and Qual

Schedule II: Valuation and Qualifying Accounts
	12 Months Ended Sep. 27, 2009 USD / shares
Notes to Financial Statements [Abstract]
Schedule II - Valuation and Qualifying Accounts	SCHEDULE II QUALCOMM INCORPORATED VALUATION AND QUALIFYING ACCOUNTS (In millions) (Charged) Balance at Creditedto Balanceat Beginning of Costs and End of Period Expenses Deductions Other Period Year ended September 30, 2007 Allowances: trade receivables $ (1 ) $ (37 ) $ 2 $ - $ (36 ) notes receivable (78 ) (13 ) 58 - (33 ) Valuation allowance on deferred tax assets (22 ) (1 ) 3 - (20 ) $ (101 ) $ (51 ) $ 63 $ - $ (89 ) Year ended September 28, 2008 Allowances: trade receivables $ (36 ) $ (5 ) $ 3 $ - $ (38 ) notes receivable (33 ) (2 ) 32 - (3 ) Valuation allowance on deferred tax assets (20 ) (48 ) - (81 ) (a) (149 ) $ (89 ) $ (55 ) $ 35 $ (81 ) $ (190 ) Year ended September 27, 2009 Allowances: trade receivables $ (38 ) $ (4 ) $ 38 $ - $ (4 ) notes receivables (3 ) (4 ) 6 - (1 ) investment receivables (b) - (10 ) - - (10 ) Valuation allowance on deferred tax assets (149 ) (201 ) - 278 (a) (72 ) $ (190 ) $ (219 ) $ 44 $ 278 $ (87 ) (a)This amount was charged to other comprehensive income (loss). (b)This amount represents the allowance for investment receivables due for redemptions of money market investments.

Document Information

Document Information
	12 Months Ended Sep. 27, 2009 USD / shares
Document Information [Line Items]
Document Type	10-K
Amendment Flag	false
Document Period End Date	2009-09-27

Entity Information

Entity Information (USD $)
	12 Months Ended Sep. 27, 2009	Nov. 02, 2009
Entity Information [Line Items]
Entity Registrant Name	QUALCOMM INC/DE
Entity Central Index Key	0000804328
Current Fiscal Year End Date	--09-27
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Public Float	$72,423,662,440
Entity Common Stock, Shares Outstanding		1,670,313,078