 |
|
|
 |
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS |
|
|
6. DEFERRED COMPENSATION
When we assume unvested stock options in connection with acquisitions, we record deferred stock-based compensation as a reduction of stockholders' equity. The amount recorded is equal to the difference between the exercise price of the unvested options and the fair market value of Intuit stock as
of the closing date of the acquisition. When we grant restricted stock to employees that is subject to vesting, we also record deferred stock-based
compensation equal to the difference between the purchase price and the fair market value of the stock at the date of grant. Deferred stock-based
compensation is amortized straight-line over the vesting term of these options and restricted stock awards.
The following table summarizes the activity in deferred stock-based compensation:
| |
FISCAL |
|
| (In thousands) |
2002 |
2003 |
2004 |
|
| Beginning balance |
$ |
21,720 |
|
$ |
12,628 |
|
$ |
25,850 |
|
 |
Deferred stock-based compensation:
Restricted stock awards |
|
- |
|
|
18,082 |
|
|
1,089 |
|
|
| Deferred stock-based compensation |
|
1,620 |
|
|
- |
|
|
- |
|
|
Cancellation of restricted stock awards and
deferred stock-based compensation |
|
- |
|
|
(891 |
) |
|
(384 |
) |
|
| Total deferred stock-based compensation |
|
1,620 |
|
|
17,191 |
|
|
705 |
|
|
Amortization of deferred stock-based compensation:
General and administrative expense |
|
(2,534 |
) |
|
(2,714 |
) |
|
(6,232 |
) |
|
| Acquisition-related charges |
|
(8,654 |
) |
|
(1,255 |
) |
|
(889 |
) |
|
| Total amortization of deferred stock-based compensation |
|
(11,188 |
) |
|
(3,969 |
) |
|
(7,121 |
) |
|
| Other |
|
476 |
|
|
- |
|
|
- |
|
|
| Ending balance |
$ |
12,628 |
|
$ |
25,850 |
|
$ |
19,434 |
|
|
|
|
|
|
|
