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Segment Reporting
9 Months Ended
Sep. 30, 2012
Segment Reporting [Abstract]  
Segment Reporting

13. Segment Reporting

We view our operations and manage our business as one segment: the development, marketing and licensing of technologies and fonts. Factors used to identify our single segment include the financial information available for evaluation by our chief operating decision maker in making decisions about how to allocate resources and assess performance. While our technologies and services are sold into two principal markets, OEM and Creative Professional, expenses and assets are not formally allocated to these market segments, and operating results are assessed on an aggregate basis to make decisions about the allocation of resources. The following table presents revenue for these two major markets (in thousands):

 

                                 
    Three Months Ended
September 30,
    Nine Months Ended
September 30,
 
    2012     2011     2012     2011  

OEM

  $ 24,280     $ 23,047     $ 73,873     $ 67,830  

Creative Professional

    13,702       7,648       36,954       23,660  
   

 

 

   

 

 

   

 

 

   

 

 

 

Total

  $ 37,982     $ 30,695     $ 110,827     $ 91,490  
   

 

 

   

 

 

   

 

 

   

 

 

 

Geographic segment information

The Company attributes revenues to geographic areas based on the location of our subsidiary receiving such revenue. For example, licenses may be sold to large international companies which may be headquartered in Korea, but the sales are received and recorded by our subsidiary located in the United States. In this example, the revenue would be reflected in the United States totals in the table below. We market our products and services through offices in the U.S., United Kingdom, Germany, Hong Kong, Korea and Japan. The following summarizes revenue by location:

 

                                 
    Three Months Ended
September 30,
 
    2012     2011  
    Sales     % of Total     Sales     % of Total  
    (In thousands, except percentages)  

United States

  $ 20,045       52.8   $ 14,758       48.1

Asia

    11,511       30.3       10,259       33.4  

United Kingdom

    1,066       2.8       1,211       3.9  

Germany

    5,360       14.1       4,467       14.6  
   

 

 

   

 

 

   

 

 

   

 

 

 

Total

  $ 37,982       100.0   $ 30,695       100.0
   

 

 

   

 

 

   

 

 

   

 

 

 

 

                                 
    Nine Months Ended
September 30,
 
    2012     2011  
    Sales     % of Total     Sales     % of Total  
    (In thousands, except percentages)  

United States

  $ 57,963       52.2   $ 41,969       45.9

Asia

    33,982       30.7       31,762       34.7  

United Kingdom

    3,740       3.4       4,014       4.4  

Germany

    15,142       13.7       13,745       15.0  
   

 

 

   

 

 

   

 

 

   

 

 

 

Total

  $ 110,827       100.0   $ 91,490       100.0
   

 

 

   

 

 

   

 

 

   

 

 

 

 

Long-lived assets, which include property and equipment, goodwill and intangibles assets, but exclude other assets, long-term investments and deferred tax assets, are attributed to geographic areas in which Company assets reside and is shown below (in thousands):

 

                 
    September 30,
2012
    December 31,
2011
 

Long-lived assets:

               

United States

  $ 204,596     $ 157,598  

Asia

    3,478       3,302  

United Kingdom

    61       82  

Germany

    52,928       53,893  
   

 

 

   

 

 

 

Total

  $ 261,063     $ 214,875  
   

 

 

   

 

 

 

Included in the United States total at September 30, 2012, is $52.5 million of goodwill and net intangible assets of Bitstream.