Segment Disclosure

9 Months Ended

Jul. 31, 2012

Segment Disclosure

Note 13. Segment Disclosure

ASC 280, Segment Reporting, requires disclosures of certain information regarding operating segments, products and services, geographic areas of operation and major customers. Segment reporting is based upon the “management approach,” i.e., how management organizes the Company’s operating segments for which separate financial information is (1) available and (2) evaluated regularly by the Chief Operating Decision Makers (CODMs) in deciding how to allocate resources and in assessing performance. The Company provides software and hardware products and consulting services in the EDA software industry. The Company operates in a single segment. In making operating decisions, the CODMs primarily consider consolidated financial information, accompanied by disaggregated information about revenues by geographic region. Specifically, the CODMs consider where individual “seats” or licenses of the Company’s products are used in allocating revenue to particular geographic areas. Revenue is defined as revenues from external customers. Goodwill is not allocated since the Company operates in one reportable operating segment.

The following table presents the revenues related to operations by geographic areas:

	Three Months Ended July 31,				Nine Months Ended July 31,
	2012		2011		2012		2011
	(in thousands)
Revenue:
United States	$	216,315	$	176,811	$	620,982	$	526,126
Europe		58,113		55,548		170,953		155,010
Japan		71,107		67,978		220,160		206,276
Asia-Pacific and Other		98,212		86,458		289,709		257,697
Consolidated	$	443,747	$	386,795	$	1,301,804	$	1,145,109

Geographic revenue data for multi-region, multi-product transactions reflect internal allocations and is therefore subject to certain assumptions and to the Company’s methodology.

One customer accounted for 10.8% and 10.5% of the Company’s unaudited condensed consolidated revenue in the three months ended July 31, 2012 and 2011, respectively, and accounted for 10.5% and 10.5% of the Company’s unaudited condensed consolidated revenue in the nine months ended July 31, 2012 and 2011, respectively.