Investments

Strategic Investments in Private Companies

Our total equity and cost method investment balances recorded as of September 30, 2012, and 2011, were as follows:



	September 30,
	2012		2011
Equity method investments	$	14,911	$	17,560
Cost method investments	50,710		33,866
Total investments	$	65,621	$	51,426

As of September 30, 2012, our equity method investments included the following:

ClearTrip. We have an investment in privately held ClearTrip, Inc. (“ClearTrip”), a leading provider of online travel services in India. We initially invested $40.0 million in both preferred stock and common stock in 2011. In 2012 we invested an additional $12.0 million by exercising our warrant to purchase 1.5 million additional shares of preferred stock. Classes of preferred stock in ClearTrip that do not meet the characteristics of in-substance common stock have been accounted for under the cost method. As of September 30, 2012, our equity interest of 7% in ClearTrip’s common stock and certain classes of preferred stock is accounted for under the equity method, because our total ownership interest exceeds 20% and we have the ability to exert significant influence. As of September 30, 2012, the difference between the carrying amount of our investment and the underlying equity in net assets of ClearTrip was $10.3 million, which was identified as intangible assets and goodwill. Intangible assets are amortized over their estimated useful lives of five to10 years.

Yapta. We invested $5.3 million in the preferred stock of privately held Yapta, Inc. (“Yapta”), a leading provider of fare tracking services, for 37% equity interest. Our investment meets the definition of in-substance common stock. We therefore account for our total investment in Yapta under the equity method. As of September 30, 2012, the difference between the carrying amount of our investment and the underlying equity in net assets of Yapta was $2.6 million, which was identified as intangible assets and goodwill. Intangible assets are amortized over their estimated useful lives of five to 10 years.

We review both equity method and cost method investments periodically for impairment. There were no impairment charges during the years 2012, 2011, and 2010.

Other Investments

We generally invest our excess cash in investment grade short- to intermediate-term fixed income securities and money market funds. For further information, see Note 14 of the Notes to Consolidated Financial Statements.