Annual report pursuant to Section 13 and 15(d)

The Company and Its Significant Accounting Policies (Tables)

v2.3.0.15
The Company and Its Significant Accounting Policies (Tables)
 12 Months Ended
Sep. 25, 2011
Notes to Financial Statements [Abstract]  
Weighted-average amortization periods for finite-lived intangible assets, by class
Weighted-average amortization periods for finite-lived intangible assets, by class, were as follows (in years):
 
September 25, 2011
 
September 26, 2010
Spectrum licenses
5

 
5

Marketing-related
9

 
18

Technology-based
11

 
14

Customer-related
3

 
5

Total finite-lived intangible assets
11

 
14

Share-based compensation disclosure, weighted-average assumptions
The following table presents the weighted-average assumptions (annualized percentages) used to estimate the fair values of employee stock options granted or assumed in the periods presented:
 
2011
 
2010
 
2009
Volatility
30.8
%
 
33.8
%
 
42.7
%
Risk-free interest rate
2.1
%
 
2.5
%
 
2.6
%
Dividend yield
1.5
%
 
1.5
%
 
1.5
%
Post-vest forfeiture rate
9.8
%
 
9.8
%
 
9.2
%
Suboptimal exercise factor
1.8

 
1.8

 
1.9

Share-based compensation expense, related to all share-based awards
Total estimated share-based compensation expense, related to all of the Company’s share-based awards, was comprised as follows (in millions):
 
2011
 
2010*
 
2009*
Cost of equipment and services revenues
$
67

 
$
41

 
$
40

Research and development
397

 
293

 
272

Selling, general and administrative
349

 
263

 
252

Continuing operations
813

 
597

 
564

Related income tax benefit
(194
)
 
(166
)
 
(121
)
Continuing operations, net of income taxes
619

 
431

 
443

Discontinued operations
8

 
17

 
20

Related income tax benefit
(3
)
 
(6
)
 
(8
)
Discontinued operations, net of income taxes
5

 
11

 
12

 
$
624

 
$
442

 
$
455

*As adjusted for discontinued operations (Note 11)
Components of accumulated other comprehensive income
Components of accumulated other comprehensive income in Qualcomm stockholders’ equity consisted of the following (in millions):
 
September 25, 2011
 
September 26, 2010
Noncredit other-than-temporary impairment losses and subsequent changes in fair value related to certain marketable debt securities, net of income taxes
$
27

 
$
62

Net unrealized gains on marketable securities, net of income taxes
427

 
723

Net unrealized losses on derivative instruments, net of income taxes
(15
)
 
(8
)
Foreign currency translation
(86
)
 
(80
)
 
$
353

 
$
697

Total comprehensive income [Table Text Block]
Total comprehensive income attributable to Qualcomm consisted of the following (in millions):
 
2011
 
2010
 
2009
Net income
$
4,242

 
$
3,247

 
$
1,592

Other comprehensive income:
 
 
 
 
 
Foreign currency translation
(9
)
 
(40
)
 
(25
)
Noncredit other-than-temporary impairment losses and subsequent changes in fair value related to certain marketable debt securities, net of income taxes of $10, ($5) and $12, respectively
(19
)
 
21

 
135

Net unrealized (losses) gains on other marketable securities and derivative instruments, net of income taxes of $80, $74 and ($5), respectively
(145
)
 
392

 
261

Reclassification of net realized gains on marketable securities and derivative instruments included in net income, net of income taxes of $112, ($12) and $75, respectively
(199
)
 
(380
)
 
(93
)
Reclassification of other-than-temporary losses on marketable securities included in net income, net of income taxes of $14, ($5) and $130, respectively
25

 
116

 
613

Total other comprehensive (loss) income
(347
)
 
109

 
891

Total comprehensive income
3,895

 
3,356

 
2,483

Comprehensive loss attributable to noncontrolling interests
21

 
—

 
—

Comprehensive income attributable to Qualcomm
$
3,916

 
$
3,356

 
$
2,483