þ | Annual Report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 |
o | Transition report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 |
Delaware
|
77-0034661
|
|
(State of incorporation) | (IRS Employer Identification No.) |
Title of Each Class
Preferred Stock Purchase Rights |
Name of Exchange on Which Registered
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Item | Page | |||||||
PART I |
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|||||||
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||||||||
ITEM 1: | 3 | |||||||
ITEM 1A: | 16 | |||||||
ITEM 1B: | 30 | |||||||
ITEM 2: | 30 | |||||||
ITEM 3: | 31 | |||||||
ITEM 4: | 31 | |||||||
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PART II |
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|||||||
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||||||||
ITEM 5: | 32 | |||||||
ITEM 6: | 34 | |||||||
ITEM 7: | 36 | |||||||
ITEM 7A: | 55 | |||||||
ITEM 8: | 57 | |||||||
ITEM 9: | 106 | |||||||
ITEM 9A: | 106 | |||||||
ITEM 9B: | 106 | |||||||
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PART III |
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|||||||
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||||||||
ITEM 10: | 107 | |||||||
ITEM 11: | 109 | |||||||
ITEM 12: | 109 | |||||||
ITEM 13: | 109 | |||||||
ITEM 14: | 109 | |||||||
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PART IV |
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|||||||
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||||||||
ITEM 15: | 110 | |||||||
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||||||||
116 | ||||||||
EXHIBIT 10.71 | ||||||||
EXHIBIT 10.74 | ||||||||
EXHIBIT 10.94 | ||||||||
EXHIBIT 21.01 | ||||||||
EXHIBIT 23.01 | ||||||||
EXHIBIT 31.01 | ||||||||
EXHIBIT 31.02 | ||||||||
EXHIBIT 32.01 | ||||||||
EXHIBIT 32.02 |
2
3
| QuickBooks includes QuickBooks accounting and business management software and technical support, as well as financial supplies for small businesses. | ||
| Payroll and Payments includes small business payroll products and services. It also encompasses merchant services, such as credit and debit card processing, provided by our Innovative Merchant Solutions business. | ||
| Consumer Tax includes TurboTax consumer and small business tax return preparation products and services. | ||
| Professional Tax includes Lacerte and ProSeries professional tax products and services. | ||
| Financial Institutions consists primarily of outsourced online banking applications and services for banks and credit unions provided by our Digital Insight business. This segment was formed in the third quarter of fiscal 2007 after our February 2007 acquisition of Digital Insight. | ||
| Other Businesses includes our Quicken personal finance products and services, Intuit Real Estate Solutions, and our businesses in Canada and the United Kingdom. |
| Self-Directed Customers: These customers are comfortable using software and doing the work themselves. They are likely to use products such as QuickBooks, QuickBooks Standard Payroll, TurboTax and online banking applications that we provide through financial institutions. | ||
| Self-Directed with Assistance Customers: These customers are comfortable doing much of the work themselves, but want some assistance and assurance that they have done it right. They are likely to use services such as QuickBooks support and QuickBooks Assisted Payroll. We are increasing our focus on serving these customers particularly in our consumer tax and payroll businesses. We believe that this customer segment offers significant potential for Intuit as many of these customers are served today either by fully self-directed solutions or by full-service solutions that are more expensive and complicated than they need. | ||
| Cant Be Bothered Customers: These customers want lots of human assistance and are likely to use full-service providers. We do not focus on these customers. |
| We carefully choose the businesses we are in, focusing on businesses with large unmet or underserved market opportunities where we believe we can build a strategic and durable advantage. | ||
| We actively look for significant new customer problems and apply our core competency of customer-driven innovation to solve those problems with simple, easy-to-use solutions. | ||
| We solicit and act on feedback from our customers so that we can continually improve our existing products and services. Our goal is customers who are so happy with our products and services that they actively recommend them to others. We call these customers promoters, who create positive word-of-mouth and brand preference. | ||
| We apply operational rigor and process excellence principles to execute more effectively on a daily basis. Our goal is to provide better customer experiences at lower cost. |
4
Fiscal | Fiscal | Fiscal | ||||||||||
2007 | 2006 | 2005 | ||||||||||
QuickBooks products and services
|
22 | % | 23 | % | 25 | % | ||||||
Payroll and Payments products and services
|
19 | % | 20 | % | 19 | % | ||||||
Consumer Tax products and services
|
31 | % | 31 | % | 29 | % | ||||||
Professional Tax products and services
|
11 | % | 12 | % | 13 | % |
5
6
7
8
9
10
11
Intuit | Significant Competitors | |||||
Segment | Product or Service | Name | Product or Service | |||
QuickBooks
|
QuickBooks | Microsoft Corporation | Microsoft Office Small Business | |||
|
Accounting | |||||
|
The Sage Group PLC | Best/Peachtree Software | ||||
|
||||||
|
Financial supplies | Deluxe Corporation and Microsoft, | Business forms and checks | |||
|
in partnership with Deluxe | |||||
|
Kinkos, Office Depot, Staples | Business forms | ||||
|
||||||
Payroll and Payments
|
Small business payroll | ADP, Paychex, Paycycle and | Tax table subscriptions, electronic | |||
|
Microsoft, in partnership with ADP | filing services and Web-based | ||||
|
payroll solutions | |||||
|
Ceridian | Web-based payroll solutions | ||||
|
||||||
|
Merchant services | Wells Fargo, First Data Corporation, | Merchant processing services | |||
|
Heartland Payments | |||||
|
||||||
Consumer Tax
|
TurboTax | H&R Block | TaxCut | |||
|
2nd Story Software, Inc. | TaxACT | ||||
|
||||||
Professional Tax
|
ProSeries | CCH Incorporated | ATX / TaxWise product lines | |||
|
||||||
|
Lacerte | CCH Incorporated | ProSystem fx Office Suite | |||
|
Thomson Corporation | CS Professional Suite, | ||||
|
GoSystems Tax | |||||
|
||||||
Financial Institutions
|
Online banking services | Fiserv, Open Solutions, Fidelity | Online banking services | |||
|
Information Services, Jack Henry | |||||
|
and Metavante Corporation | |||||
|
Online Resources, S1 Corporation | |||||
|
and FundsXpress | |||||
|
P&H Solutions, BankLink, Fundtech | |||||
|
and S1 Corporation | |||||
|
||||||
Other Businesses
|
Quicken | Microsoft Corporation | Microsoft Money |
12
13
14
15
| our expectations and beliefs regarding future conduct and growth of the business; | ||
| our expectations regarding competition and our ability to compete effectively; | ||
| our expectations regarding the development of future products, services and technology platforms and our research and development efforts; | ||
| the assumptions underlying our critical accounting policies and estimates, including our estimates regarding product rebate and return reserves; stock volatility and other assumptions used to estimate the fair value of share-based compensation; and expected future amortization of purchased intangible assets; | ||
| our belief that the investments that we hold are not other-than-temporarily impaired; | ||
| our belief that our exposure to currency exchange fluctuation risk will not be significant in the future; | ||
| our assessments and estimates that determine our effective tax rate; | ||
| our belief that our income tax valuation allowance is sufficient; | ||
| our belief that our cash and cash equivalents, investments and cash generated from operations will be sufficient to meet our working capital and capital expenditure requirements for at least the next 12 months; | ||
| our belief that the continuing trend among individual taxpayers toward the use of software to prepare their own income tax returns will continue to be important to the growth of our Consumer Tax business; | ||
| our belief that long-term trends toward the use of both online and desktop software will provide us future growth opportunities; | ||
| our expectations regarding expansion of our sales and distribution channels; | ||
| our expectations regarding future expenditures for property, equipment, infrastructure and data centers; | ||
| our belief that our facilities are adequate for our near-term needs and that we will be able to locate additional facilities as needed; | ||
| our assessments and beliefs regarding the future outcome of pending legal proceedings and the liability, if any, that Intuit may incur as a result of those proceedings; and | ||
| the expected effects of the adoption of new accounting standards. |
16
| Government Encroachment . Agencies of the U.S. federal and state governments have made several recent attempts to offer taxpayers free online tax preparation and filing services. In October 2002 the Internal Revenue Service agreed not to provide its own competing tax software product or service so long as participants in a consortium of tax preparation software companies, including Intuit, agreed to provide Web-based federal tax preparation and filing services at no cost to qualified taxpayers under an arrangement called the Free File Alliance. In October 2005 the IRS and the Free File Alliance signed a new four-year agreement that continues to restrict the IRS from entering the tax preparation business. Although the Free File Alliance has kept the federal government from being a direct competitor to Intuits tax offerings, it has fostered additional Web-based competition and could cause us to lose significant revenue opportunities from our Consumer Tax customer base. Companies have used the Free File Alliance and its position on the IRS Web site as a marketing tool to grow brand awareness and attract customers to their other paid services, including state tax filing, which has intensified competition. In addition, taxpayers who formerly have paid for Intuits products may elect to use our or our competitors free federal service instead. The IRS retains the right to terminate the agreement with the Free File Alliance upon 24 months written notice. If the IRS were to terminate the agreement and elect to provide government software and electronic filing services to taxpayers at no charge, or if the federal government were to significantly alter the Free File Alliance or require the provision of government tax filing services directly to taxpayers, our revenue and profits could suffer. See the discussion on the Free File Alliance in Item 1, Business Competition. | ||
In 2007, approximately 20 state governments had agreements with the private sector based on the federal Free File Alliance agreement and had agreed to discontinue or otherwise not provide direct government tax preparation services. However, approximately 20 other states, including California, directly offered their own online tax preparation and filing services to taxpayers. For the 2004 and 2005 tax years California tested a limited pilot program under which a state-operated electronic system automatically prepared and filed approximately 10,000 state income tax returns with no individual transaction charge to those taxpayers. The California Franchise Tax Board voted in December 2006 to renew and expand the program for tax year 2007, even though the California legislature had previously enacted a law restricting the extension of this program beyond the 2005 tax year. These or similar programs could be introduced or expanded in the future, which could cause us to lose customers and enable our competitors to gain market share by using free offerings to attract customers to ancillary paid offerings. We anticipate that governmental encroachment will present a continued competitive threat to our business for the foreseeable future. | |||
| Private Sector Competition . In the private sector we face intense competition primarily from H&R Block, which offers tax preparation services and software, and from other companies offering Web-based offerings such as 2nd Story Software, which subjects us to significant and increasing price pressure. In addition, the availability of free online tax preparation services, whether through the Free File Alliance or otherwise, may reduce demand for our paid offerings which would harm our business and results of operations. Pricing pressure may also cause us to bundle products and services for which we have |
17
18
19
20
| if merchants for whom we process credit card transactions are unable to pay refunds due to their customers in connection with disputed or fraudulent merchant transactions we may be required to pay those amounts and our payments may exceed the amount of the customer reserves we have established to make such payments; |
21
| we will not be able to conduct our business if the bank sponsors and card payment processors and other service providers that we rely on to process bank card transactions terminate their relationships with us and we are not able to secure or successfully migrate our business elsewhere; | ||
| if we or our bank sponsors fail to adhere to the data security and other standards of the payment card associations, we may lose our ability to provide payment processing services for Visa, MasterCard and other payment cards; | ||
| we depend on independent sales organizations, some of which do not serve us exclusively, as well as Superior Bankcard Services, a joint venture in which we participate, to acquire and retain merchant accounts; | ||
| our profit margins will be reduced if for competitive reasons we cannot increase our fees at times when Visa and MasterCard increase the fees that we pay to process merchant transactions through their systems; | ||
| unauthorized disclosure of merchant and cardholder data, whether through breach of our computer systems or otherwise, could expose us to protracted and costly litigation; and | ||
| we may encounter difficulties scaling our business systems to support our expected growth. |
| consolidation among core processing vendors may affect our reseller and revenue-sharing agreements with certain core processor organizations or reduce the likelihood of extending our agreements at expiration; | ||
| if any of our products fail to be supported by financial institutions core processing vendors, we would have to redesign our products to suit these financial institutions, and we cannot assure that any redesign could be accomplished in a cost-effective or timely manner, and we could experience higher implementation costs or the loss of current and potential customers; | ||
| the financial institutions business experiences lengthy sales cycles for a variety of reasons, which could cause us to expend substantial employee and management resources without making a sale or could cause our operating results to fall short of anticipated levels for a particular quarter; and | ||
| consolidation of the banking and financial services industry could result in a smaller market for our products and services, may cause us to lose relationships with key customers, or may result in a change in the technological infrastructure of the combined entity, which may make it difficult to integrate our offerings. |
22
| In recent years India and the Philippines have experienced political instability and changing policies that may impact our operations. In addition, for a number of years India and Pakistan have been in conflict and an active state of war between the two countries could disrupt our services. | ||
| Customers may react negatively to providing information to and receiving support from overseas organizations. | ||
| We may not be able to affect the quality of support as directly as we are able to in our company-run call centers. | ||
| International outsourcing has received considerable negative attention in the media, which could harm our reputation, and the U.S. government may adopt legislation that would affect how we operate and how customers perceive our service. For example, members of the U.S. Congress have discussed restricting the flow of personal information to overseas providers and requiring representatives in foreign jurisdictions to affirmatively identify themselves by name and location. |
23
| We rely on a global communications infrastructure that may be interrupted in a number of ways. For example, in fiscal 2007 an earthquake in Taiwan caused temporary disruption to overseas infrastructure. |
24
| inability to successfully integrate the acquired technology and operations into our business and maintain uniform standards, controls, policies, and procedures; | ||
| inability to realize synergies expected to result from an acquisition; |
25
| distraction of managements attention away from normal business operations; | ||
| challenges retaining the key employees, customers, resellers and other business partners of the acquired operation; | ||
| lack of experience in new markets, products or technologies or the initial dependence on unfamiliar supply or distribution partners; | ||
| insufficient revenue generation to offset liabilities assumed; | ||
| expenses associated with the acquisition; and | ||
| unidentified issues not discovered in our due diligence process, including product or service quality issues, intellectual property issues and legal contingencies. |
| increasing our vulnerability to downturns in our business, to competitive pressures and to adverse economic and industry conditions; | ||
| requiring the dedication of a portion of our expected cash from operations to service our indebtedness, thereby reducing the amount of expected cash flow available for other purposes, including capital expenditures and acquisitions; and | ||
| limiting our flexibility in planning for, or reacting to, changes in our business and our industry. |
26
27
28
29
Principal | ||||||||||
Approximate | Lease | |||||||||
Square | Expiration | |||||||||
Location | Purpose | Feet | Dates | |||||||
Mountain View, California |
Principal offices, corporate headquarters and
headquarters for Small Business division
|
497,000 | 2009 - 2015 | |||||||
|
||||||||||
San Diego, California |
Headquarters for Consumer Tax business, general
office space and data center
|
537,000 | 2009 - 2017 | |||||||
|
||||||||||
Calabasas, California |
Headquarters for Digital Insight financial institutions
business and data center
|
212,000 | 2008 - 2014 | |||||||
Headquarters for Innovative Merchant Solutions
merchant services business and data center
|
||||||||||
|
||||||||||
Tucson, Arizona |
Primary customer call center
|
186,000 | 2008 - 2009 | |||||||
|
||||||||||
Plano, Texas |
Headquarters for Professional Tax business
and data center
|
166,000 | 2011 |
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59
60
61
See accompanying notes.
62
63
64
65
66
67
68
69
70
71
72
73
74
75
76
77
78
79
80
81
82
83
84
85
86
87
88
89
90
91
92
93
94
95
96
97
98
99
100
101
102
103
104
High
Low
$
24.22
$
21.10
27.97
22.83
28.99
23.99
31.84
25.50
$
35.98
$
29.15
35.44
28.54
32.10
26.74
31.83
27.39
Table of Contents
Among Intuit Inc., The S&P 500 Index
And The Morgan Stanley High Technology Index
July 31,
July 31,
July 31,
July 31,
July 31,
July 31,
2002
2003
2004
2005
2006
2007
$100.00
$ 98.07
$ 85.13
$109.14
$140.38
$130.24
$100.00
$110.64
$125.22
$142.81
$150.50
$174.78
$100.00
$126.83
$144.82
$159.85
$147.46
$196.15
Table of Contents
SELECTED FINANCIAL DATA
Table of Contents
Consolidated Statement of Operations Data
Fiscal
(In thousands, except per share amounts)
2007
2006
2005
2004
2003
$
2,672,947
$
2,293,010
$
1,993,102
$
1,760,147
$
1,561,671
2,035,377
1,727,416
1,464,401
1,338,983
1,218,354
637,570
565,594
528,701
421,164
343,317
76,313
70,340
5,489
6,232
2,714
443,468
380,963
377,743
324,267
262,801
(3,465
)
36,000
3,884
(7,237
)
80,233
440,003
416,963
381,627
317,030
343,034
$
1.29
$
1.10
$
1.02
$
0.83
$
0.64
(0.01
)
0.10
0.01
(0.02
)
0.20
$
1.28
$
1.20
$
1.03
$
0.81
$
0.84
$
1.25
$
1.06
$
1.00
$
0.81
$
0.62
(0.01
)
0.10
0.01
(0.02
)
0.19
$
1.24
$
1.16
$
1.01
$
0.79
$
0.81
Consolidated Balance Sheet Data
At July 31,
(In thousands)
2007
2006
2005
2004
2003
$
1,303,671
$
1,197,200
$
994,258
$
1,017,963
$
1,204,096
791,823
801,056
610,935
636,856
832,305
4,252,026
2,770,027
2,716,451
2,730,741
2,832,867
1,055,575
15,399
17,548
16,394
29,265
2,035,013
1,738,086
1,695,499
1,822,419
1,964,837
Table of Contents
MANAGEMENTS DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
Executive Overview that discusses at a high level our operating results and some of the
trends that affect our business.
Critical Accounting Policies and Estimates that we believe are important to
understanding the assumptions and judgments underlying our financial statements.
Results of Operations that includes a more detailed discussion of our revenue and
expenses.
Liquidity and Capital Resources which discusses key aspects of our statements of cash
flows, changes in our balance sheets and our financial commitments.
Table of Contents
Table of Contents
Table of Contents
Table of Contents
Table of Contents
Total Share-Based
Compensation Expense
(Dollars in millions, except
Fiscal
Fiscal
Fiscal
2007-2006
2006-2005
Fiscal
Fiscal
Fiscal
per share amounts)
2007
2006
2005
% Change
% Change
2007
2006
2005
$
2,672.9
$
2,293.0
$
1,993.1
17
%
15
%
637.6
565.6
528.7
13
%
7
%
$
76.3
$
70.3
$
5.5
443.5
381.0
377.7
16
%
1
%
52.1
45.1
4.0
$
1.25
$
1.06
$
1.00
18
%
6
%
$
0.15
$
0.12
$
0.01
$
726.8
$
595.5
$
589.9
22
%
1
%
Table of Contents
Table of Contents
% Total
% Total
% Total
Fiscal
Net
Fiscal
Net
Fiscal
Net
2007-2006
2006-2005
(Dollars in millions)
2007
Revenue
2006
Revenue
2005
Revenue
% Change
% Change
$
507.4
$
466.2
$
436.4
90.8
72.7
66.6
598.2
22
%
538.9
23
%
503.0
25
%
11
%
7
%
208.9
194.1
157.2
307.8
268.0
214.6
516.7
19
%
462.1
20
%
371.8
19
%
12
%
24
%
300.7
265.8
242.2
512.2
440.3
328.5
812.9
31
%
706.1
31
%
570.7
29
%
15
%
24
%
261.3
245.0
233.5
30.4
27.9
31.5
291.7
11
%
272.9
12
%
265.0
13
%
7
%
3
%
0.2
0.2
150.2
24.2
19.1
150.4
6
%
24.4
1
%
19.1
1
%
516
%
27
%
168.9
164.1
154.5
134.1
124.5
109.0
303.0
11
%
288.6
13
%
263.5
13
%
5
%
10
%
1,447.4
1,335.4
1,223.8
1,225.5
957.6
769.3
$
2,672.9
100
%
$
2,293.0
100
%
$
1,993.1
100
%
17
%
15
%
Table of Contents
Table of Contents
% of
% of
% of
Fiscal
Related
Fiscal
Related
Fiscal
Related
(Dollars in millions)
2007
Revenue
2006
Revenue
2005
Revenue
$
169.1
12
%
$
165.9
12
%
$
154.3
13
%
309.4
25
%
232.6
24
%
196.3
26
%
30.9
n/a
8.8
n/a
9.1
n/a
$
509.4
19
%
$
407.3
18
%
$
359.7
18
%
Table of Contents
% of
% of
% of
Total
Total
Total
Fiscal
Net
Fiscal
Net
Fiscal
Net
(Dollars in millions)
2007
Revenue
2006
Revenue
2005
Revenue
$
742.4
28
%
$
657.6
29
%
$
576.8
29
%
472.5
17
%
385.8
17
%
292.6
15
%
291.1
11
%
267.2
12
%
222.6
11
%
20.0
1
%
9.5
0
%
12.7
0
%
$
1,526.0
57
%
$
1,320.1
58
%
$
1,104.7
55
%
Table of Contents
% of
% of
% of
Fiscal
Related
Fiscal
Related
Fiscal
Related
(Dollars in millions)
2007
Revenue
2006
Revenue
2005
Revenue
$
180.2
30
%
$
167.8
31
%
$
199.9
40
%
215.4
42
%
181.9
39
%
133.5
36
%
508.6
63
%
467.1
66
%
379.8
67
%
152.2
52
%
135.8
50
%
132.7
50
%
38.8
26
%
12.2
50
%
14.0
73
%
99.5
33
%
84.3
29
%
73.7
28
%
$
1,194.7
45
%
$
1,049.1
46
%
$
933.6
47
%
Table of Contents
Table of Contents
Fiscal
Fiscal
Fiscal
(In millions)
2007
2006
2005
$
44.0
$
31.0
$
17.4
9.3
9.3
9.8
(0.1
)
0.1
(0.1
)
2.4
(0.5
)
0.2
(0.5
)
$
52.7
$
43.0
$
26.6
Table of Contents
Table of Contents
Fiscal
Fiscal
Fiscal
(In millions)
2007
2006
2005
$
726.8
$
595.5
$
589.9
441.1
377.4
375.0
94.2
94.2
100.0
77.3
71.4
5.5
55.9
23.2
26.8
(1,412.5
)
(210.0
)
(1.6
)
(1,271.8
)
(42.2
)
(4.3
)
59.8
(111.1
)
69.9
(104.9
)
(44.5
)
(38.2
)
(48.3
)
(37.6
)
(31.4
)
733.9
(478.8
)
(548.0
)
997.8
(506.8
)
(784.2
)
(709.9
)
211.4
279.3
165.8
19.8
185.9
17.3
75.6
95.8
57.9
Table of Contents
Table of Contents
Payments Due by Period
Less than
1-3
3-5
More than
(In millions)
1 year
years
years
5 years
Total
$
35.9
$
$
$
$
35.9
500.0
500.0
1,000.0
0.9
1.4
0.2
2.5
56.3
112.5
112.4
143.8
425.0
39.4
53.3
4.3
0.5
97.5
43.9
98.5
84.7
155.6
382.7
2.9
1.8
0.1
4.8
$
179.3
$
267.5
$
701.7
$
799.9
$
1,948.4
(1)
Represents agreements to purchase products and services that are enforceable, legally
binding and specify terms, including: fixed or minimum quantities to be purchased; fixed,
minimum or variable price provisions; and the approximate timing of the payments.
(2)
Includes our lease on Woodland Hills, California office space that is currently under
construction by the landlord. See Item 2,
Properties.
Table of Contents
Table of Contents
QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
Years Ending July 31,
2013 and
(In thousands)
2008
2009
2010
2011
2012
Thereafter
Total
$
538,217
$
$
$
$
$
$
538,217
159,488
25,808
14,700
11,050
9,300
828,124
1,048,470
$
697,705
$
25,808
$
14,700
$
11,050
$
9,300
$
828,124
$
1,586,687
Table of Contents
Table of Contents
FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA
1.
INDEX TO CONSOLIDATED FINANCIAL STATEMENTS
The following financial statements are filed as part of this Report:
Page
58
60
61
62
63
64
2.
INDEX TO FINANCIAL STATEMENT SCHEDULES
The following financial statement schedule is filed as part of this Report and should be
read in conjunction with the Consolidated Financial Statements:
Page
105
All other schedules not listed above have been omitted because they are inapplicable or are
not required.
Table of Contents
INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
September 12, 2007
Table of Contents
INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
September 12, 2007
Table of Contents
Twelve Months Ended July 31,
(In thousands, except per share amounts)
2007
2006
2005
$
1,447,392
$
1,335,430
$
1,223,825
1,225,555
957,580
769,277
2,672,947
2,293,010
1,993,102
169,101
165,949
154,270
309,419
232,588
196,319
30,926
8,785
9,135
742,368
657,588
576,833
472,516
385,795
292,605
291,083
267,233
222,553
19,964
9,478
12,686
2,035,377
1,727,416
1,464,401
637,570
565,594
528,701
(27,091
)
52,689
43,023
26,608
1,568
7,629
5,225
31,676
696,412
616,246
560,534
251,607
234,592
182,889
1,337
691
(98
)
443,468
380,963
377,743
(3,465
)
36,000
3,884
$
440,003
$
416,963
$
381,627
$
1.29
$
1.10
$
1.02
(0.01
)
0.10
0.01
$
1.28
$
1.20
$
1.03
342,637
347,854
369,202
$
1.25
$
1.06
$
1.00
(0.01
)
0.10
0.01
$
1.24
$
1.16
$
1.01
355,815
360,471
376,796
Table of Contents
July 31,
(In thousands, except par value)
2007
2006
$
255,201
$
179,601
1,048,470
1,017,599
131,691
88,123
54,178
64,178
84,682
47,199
54,854
50,938
8,515
12,093
1,637,591
1,459,731
314,341
357,299
1,951,932
1,817,030
298,396
193,617
1,517,036
463,215
292,884
44,595
72,066
144,697
8,865
8,865
58,636
40,392
52,211
57,616
$
4,252,026
$
2,770,027
$
119,799
$
68,547
192,286
167,990
313,753
282,943
33,278
33,560
171,650
88,932
15,002
16,703
845,768
658,675
314,341
357,299
1,160,109
1,015,974
997,819
57,756
15,399
2,215,684
1,031,373
1,329
568
3,391
3,442
2,247,755
2,089,472
(2,207,114
)
(1,944,036
)
6,096
1,084
1,984,885
1,588,124
2,035,013
1,738,086
$
4,252,026
$
2,770,027
Table of Contents
Additional
Other
Total
Common Stock
Paid In
Treasury
Deferred
Comprehensive
Retained
Stockholders
(Dollars in thousands)
Shares
Amount
Capital
Stock
Compensation
Income (Loss)
Earnings
Equity
190,090,604
$
1,901
$
1,947,325
$
(1,088,389
)
$
(19,434
)
$
(3,375
)
$
984,391
$
1,822,419
381,627
381,627
3,549
3,549
385,176
employee stock plans
5,419,314
54
240,274
(74,531
)
165,797
repurchase programs
(16,224,130
)
(162
)
(709,054
)
(709,216
)
(16,053
)
(671
)
(671
)
option transactions
26,372
26,372
stock issuance
253
2,504
(2,504
)
74
(7
)
7
due to stock option cancellations
(33
)
33
5,622
5,622
179,270,062
1,793
1,976,161
(1,557,833
)
(16,283
)
174
1,291,487
1,695,499
balance upon adoption of SFAS 123(R)
(16,283
)
16,283
416,963
416,963
910
910
417,873
employee stock plans pre-split
8,098,645
81
374,814
(104,090
)
270,805
repurchase programs pre-split
(15,507,013
)
(155
)
(784,031
)
(784,186
)
option transactions
57,956
57,956
186
71,638
71,638
stock dividend
171,861,694
1,719
(1,719
)
exercise of options and other post-split
447,205
4
23,014
(14,517
)
8,501
344,170,779
3,442
2,089,472
(1,944,036
)
1,084
1,588,124
1,738,086
440,003
440,003
5,012
5,012
445,015
employee stock plans post-split
12,013,581
119
12,452
242,168
(41,907
)
212,832
post-split
61,904
1
(1,462
)
1,334
(1,335
)
(1,462
)
purchase acquisitions
13,898
13,898
repurchase programs post-split
(17,083,600
)
(171
)
(506,422
)
(506,593
)
stock post-split
(5,362
)
(158
)
(158
)
option transactions
56,081
56,081
77,314
77,314
339,157,302
$
3,391
$
2,247,755
$
(2,207,114
)
$
$
6,096
$
1,984,885
$
2,035,013
(1)
Includes $70,340 for continuing operations and $1,298 for discontinued operations.
(2)
Includes $76,313 for continuing operations and $1,001 for discontinued operations.
Table of Contents
Twelve Months Ended July 31,
(In thousands)
2007
2006
2005
$
440,003
$
416,963
$
381,627
1,140
(39,533
)
(6,644
)
441,143
377,430
374,983
94,175
94,237
99,970
23,823
13,337
16,545
32,042
9,902
10,251
8,488
9,263
8,123
77,314
71,361
5,489
4,025
3,606
10,633
(1,568
)
(7,629
)
(5,225
)
(31,676
)
(39,200
)
(18,943
)
18,460
56,081
57,956
26,372
(30,913
)
(26,981
)
2,187
(976
)
2,023
635,921
582,563
567,624
(3,913
)
(10,981
)
(4,708
)
1,600
(2,912
)
(40,409
)
18,574
4,256
(3,060
)
3,641
26,438
12,568
23,250
18,656
72,069
(1,202
)
(6,276
)
(31,301
)
48,889
(16,284
)
17,123
90,839
12,897
22,282
726,760
595,460
589,906
14,090
7,700
726,760
609,550
597,606
(2,466,642
)
(1,636,765
)
(2,937,586
)
1,997,825
1,388,216
2,858,608
528,647
137,440
148,920
858
10,256
4,667
(51,242
)
539
(34,797
)
(104,922
)
(44,522
)
(38,185
)
(48,335
)
(37,552
)
(31,350
)
22
3,026
3,151
(8,838
)
(11,034
)
(5,446
)
(42,958
)
(539
)
34,797
(1,271,791
)
(42,231
)
(4,337
)
54,900
23,169
(1,412,476
)
(209,997
)
(1,558
)
19,849
171,833
9,619
(1,392,627
)
(38,164
)
8,061
1,000,000
(1,000,000
)
997,755
211,370
279,306
165,797
(506,751
)
(784,186
)
(709,887
)
30,913
26,981
573
(923
)
(3,911
)
733,860
(478,822
)
(548,001
)
7,607
3,195
184
75,600
95,759
57,850
179,601
83,842
25,992
$
255,201
$
179,601
$
83,842
$
6,196
$
$
$
221,701
$
228,282
$
202,414
$
1,358
$
$
606
$
24,478
$
353
$
15,922
(1)
We have segregated the cash flows of our ITS and IPSS discontinued operations on these
statements of cash flows.
Because the cash flows of our IDMS discontinued operations were not material for any period
presented, we have
not segregated the cash flows of that business on these statements of cash flows. See Note 7
to the financial statements.
Table of Contents
Table of Contents
July 31,
(In thousands)
2007
2006
$
286,474
$
262,506
27,279
20,437
$
313,753
$
282,943
Table of Contents
We recognize revenue from the sale of our packaged software products and supplies when legal title
transfers, which is generally when our customers download products from the Web, when we ship the
products or, in the case of certain agreements, when products are delivered to retailers. We sell
some of our QuickBooks, Consumer Tax and Quicken products on consignment to certain retailers. We
recognize revenue for these consignment transactions only when the end-user sale has occurred. For
products that are sold on a subscription basis and include periodic updates, we recognize revenue
ratably over the contractual time period. We record revenue net of our sales tax obligations.
We recognize revenue from payroll processing and payroll tax filing services as the services are
performed, provided we have no other remaining obligations to these customers. We generally require
customers to remit payroll tax funds to us in advance of the applicable payroll due date via
electronic funds transfer. We include in total net revenue the interest earned on invested balances
resulting from timing differences between when we collect these funds from customers and when we
remit the funds to outside parties.
Other revenue consists primarily of revenue from revenue-sharing arrangements with third-party
service providers. We recognize transaction fees from revenue-sharing arrangements as end-user
sales are reported to us by these partners.
We enter into certain revenue arrangements for which we are obligated to deliver multiple products
and/or services (multiple elements). For these arrangements, which generally include software
products, we allocate and defer revenue for the undelivered elements based on their vendor-specific
objective evidence of fair value (VSOE). VSOE is the price charged when that element is sold
separately.
Table of Contents
Table of Contents
Table of Contents
Table of Contents
Twelve Months Ended July 31,
(In thousands, except per share amounts)
2007
2006
2005
$
443,468
$
380,963
$
377,743
(3,465
)
36,000
3,884
$
440,003
$
416,963
$
381,627
342,637
347,854
369,202
342,637
347,854
369,202
13,178
12,617
7,594
355,815
360,471
376,796
$
1.29
$
1.10
$
1.02
(0.01
)
0.10
0.01
$
1.28
$
1.20
$
1.03
$
1.25
$
1.06
$
1.00
(0.01
)
0.10
0.01
$
1.24
$
1.16
$
1.01
10,652
15,593
18,204
Table of Contents
Table of Contents
Table of Contents
Table of Contents
July 31, 2007
July 31, 2006
(In thousands)
Cost
Fair Value
Cost
Fair Value
$
255,201
$
255,201
$
179,601
$
179,601
1,048,643
1,048,470
1,018,364
1,017,599
314,341
314,341
357,299
357,299
$
1,618,185
$
1,618,012
$
1,555,264
$
1,554,499
July 31, 2007
July 31, 2006
(In thousands)
Cost
Fair Value
Cost
Fair Value
$
569,542
$
569,542
$
442,880
$
442,880
1,043,793
1,043,620
1,102,384
1,101,719
10,000
9,900
4,850
4,850
1,048,643
1,048,470
1,112,384
1,111,619
$
1,618,185
$
1,618,012
$
1,555,264
$
1,554,499
July 31,
July 31,
(In thousands)
2007
2006
$
15
$
20
(188
)
(785
)
$
(173
)
$
(765
)
Table of Contents
In a Loss Position for
In a Loss Position for
Less Than 12 Months
12 Months or More
Total in a Loss Position
Gross
Gross
Gross
Fair
Unrealized
Fair
Unrealized
Fair
Unrealized
(In thousands)
Value
Losses
Value
Losses
Value
Losses
$
217,304
$
(185
)
$
3,005
$
(3
)
$
220,309
$
(188
)
$
227,713
$
(455
)
$
32,506
$
(230
)
$
260,219
$
(685
)
9,900
(100
)
9,900
(100
)
$
227,713
$
(455
)
$
42,406
$
(330
)
$
270,119
$
(785
)
Twelve Months Ended July 31,
(In thousands)
2007
2006
2005
$
126
$
12
$
170
(192
)
(506
)
(2,716
)
$
(66
)
$
(494
)
$
(2,546
)
July 31, 2007
(In thousands)
Cost
Fair Value
$
159,564
$
159,488
25,856
25,808
14,700
14,700
848,523
848,474
$
1,048,643
$
1,048,470
Table of Contents
Life in
July 31,
(Dollars in thousands)
Years
2007
2006
3-5
$
357,715
$
298,183
3-5
275,949
243,713
3-5
41,906
30,040
2-11
139,327
99,268
N/A
3,760
2,175
30
27,341
25,988
N/A
62,743
15,864
908,741
715,231
(610,345
)
(521,614
)
$
298,396
$
193,617
Balance
Foreign
Balance
July 31,
Goodwill
Currency
July 31,
(In thousands)
2006
Acquired
Translation
2007
$
4,228
$
50,405
$
$
54,633
249,688
249,688
30,041
30,041
90,507
90,507
1,002,631
1,002,631
88,751
785
89,536
$
463,215
$
1,053,036
$
785
$
1,517,036
Table of Contents
Trade
Covenants
Customer
Purchased
Names
Not to
(Dollars in thousands)
Lists
Technology
and Logos
Compete
Total
$
346,425
$
267,693
$
23,696
$
12,313
$
650,127
(192,367
)
(138,566
)
(14,580
)
(11,730
)
(357,243
)
$
154,058
$
129,127
$
9,116
$
583
$
292,884
5
4
5
3
$
188,966
$
125,539
$
13,818
$
11,786
$
340,109
(161,704
)
(109,000
)
(13,137
)
(11,673
)
(295,514
)
$
27,262
$
16,539
$
681
$
113
$
44,595
5
6
6
4
Expected
Future
Amortization
(In thousands)
Expense
Twelve months ending July 31,
$
91,141
87,282
59,130
32,931
15,756
1,543
$
287,783
Table of Contents
Realized
Unrealized Gain (Loss) on
Gain on
Foreign
Marketable
Derivative
Currency
(In thousands)
Investments
Securities
Instruments
Translation
Total
$
(1,502
)
$
375
$
$
(2,248
)
$
(3,375
)
(659
)
1,076
417
1,579
1,579
1,553
1,553
920
1,076
1,553
3,549
(582
)
1,451
(695
)
174
(179
)
2,210
2,031
299
(3,661
)
(3,362
)
2,241
2,241
120
(1,451
)
2,241
910
(462
)
1,546
1,084
317
317
40
40
450
450
(17
)
(17
)
4,222
4,222
357
433
4,222
5,012
$
(105
)
$
$
433
$
5,768
$
6,096
Table of Contents
(In thousands)
Amount
$
1,319,105
13,898
11,424
$
1,344,427
(In thousands)
Amount
$
124,662
35,385
21,549
1,002,631
291,500
7,267
(69,349
)
(31,127
)
(21,202
)
(5,297
)
(11,592
)
$
1,344,427
Table of Contents
Estimated
Useful Life
(Dollars in thousands)
(in Years)
Amount
5
$
146,000
3
134,800
5
10,000
3
700
$
291,500
Twelve Months Ended July 31,
(In thousands)
2007
2006
$
2,797,943
$
2,520,747
414,527
324,041
$
1.21
$
0.93
$
1.17
$
0.90
Table of Contents
Table of Contents
Table of Contents
Twelve Months Ended July 31,
(In thousands)
2007
2006
2005
$
$
$
(486
)
(4,771
)
5,209
11,901
(1,140
)
34,324
(2,325
)
(3,533
)
(2,760
)
$
(3,465
)
$
36,000
$
3,884
$
$
$
3,827
20,167
56,974
52,001
49,293
44,601
$
52,001
$
69,460
$
105,402
$
$
$
(786
)
9,100
20,642
(3,995
)
(6,035
)
(4,575
)
$
(3,995
)
$
3,065
$
15,281
$
$
$
(300
)
3,891
8,741
(1,670
)
(2,502
)
(1,815
)
$
(1,670
)
$
1,389
$
6,626
Table of Contents
Table of Contents
Payroll
and
Consumer
Professional
Financial
Other
(In thousands)
QuickBooks
Payments
Tax
Tax
Institutions
Businesses
Corporate
Consolidated
$
507,404
$
208,885
$
300,725
$
261,312
$
150
$
168,916
$
$
1,447,392
90,804
307,856
512,179
30,439
150,200
134,077
1,225,555
598,208
516,741
812,904
291,751
150,350
302,993
2,672,947
180,185
215,377
508,616
152,155
38,845
99,488
1,194,666
(506,206
)
(506,206
)
180,185
215,377
508,616
152,155
38,845
99,488
(506,206
)
688,460
(30,926
)
(30,926
)
(19,964
)
(19,964
)
(27,091
)
(27,091
)
52,689
52,689
1,568
1,568
31,676
31,676
$
180,185
$
215,377
$
508,616
$
152,155
$
38,845
$
99,488
$
(498,254
)
$
696,412
Payroll
and
Consumer
Professional
Financial
Other
(In thousands)
QuickBooks
Payments
Tax
Tax
Institutions
Businesses
Corporate
Consolidated
$
466,253
$
194,097
$
265,748
$
244,991
$
199
$
164,142
$
$
1,335,430
72,717
267,944
440,328
27,898
24,202
124,491
957,580
538,970
462,041
706,076
272,889
24,401
288,633
2,293,010
167,788
181,927
467,118
135,763
12,225
84,267
1,049,088
(465,231
)
(465,231
)
167,788
181,927
467,118
135,763
12,225
84,267
(465,231
)
583,857
(8,785
)
(8,785
)
(9,478
)
(9,478
)
43,023
43,023
7,629
7,629
$
167,788
$
181,927
$
467,118
$
135,763
$
12,225
$
84,267
$
(432,842
)
$
616,246
Table of Contents
Payroll
and
Consumer
Professional
Financial
Other
(In thousands)
QuickBooks
Payments
Tax
Tax
Institutions
Businesses
Corporate
Consolidated
$
436,446
$
157,226
$
242,155
$
233,499
$
$
154,499
$
$
1,223,825
66,569
214,589
328,515
31,550
19,140
108,914
769,277
503,015
371,815
570,670
265,049
19,140
263,413
1,993,102
199,897
133,526
379,778
132,653
13,971
73,734
933,559
(383,037
)
(383,037
)
199,897
133,526
379,778
132,653
13,971
73,734
(383,037
)
550,522
(9,135
)
(9,135
)
(12,686
)
(12,686
)
26,608
26,608
5,225
5,225
$
199,897
$
133,526
$
379,778
$
132,653
$
13,971
$
73,734
$
(373,025
)
$
560,534
Table of Contents
July 31,
(In thousands)
2007
2006
$
25,833
$
29,385
18,918
8,996
21,061
30,257
35,898
27,798
39,683
22,753
$
171,650
$
88,932
July 31,
(In thousands)
2007
$
500,000
500,000
1,000,000
(2,181
)
$
997,819
Table of Contents
July 31,
(Dollars in thousands)
2007
2006
$
2,377
$
962
49,205
16,725
8,715
4,843
2,727
65,140
20,414
(7,384
)
(5,015
)
$
57,756
$
15,399
Table of Contents
Operating
Lease
(Dollars in thousands)
Commitments
$
43,927
50,851
47,584
45,444
39,287
155,561
$
382,654
Table of Contents
Twelve Months Ended July 31,
(In thousands)
2007
2006
2005
$
220,064
$
204,289
$
168,866
54,372
33,150
(9,291
)
8,103
14,550
6,055
282,539
251,989
165,630
(24,158
)
(18,684
)
8,780
(7,596
)
4,786
8,479
822
(3,499
)
(30,932
)
(17,397
)
17,259
$
251,607
$
234,592
$
182,889
Twelve Months Ended July 31,
(In thousands)
2007
2006
2005
$
661,966
$
583,676
$
542,481
34,446
32,570
18,053
$
696,412
$
616,246
$
560,534
Table of Contents
Twelve Months Ended July 31,
(In thousands)
2007
2006
2005
$
696,412
$
616,246
$
560,534
$
243,744
$
215,686
$
196,187
30,404
25,521
25,191
(13,341
)
(3,464
)
(6,865
)
(4,985
)
(4,375
)
5,048
1,929
(15,940
)
(11,771
)
(6,037
)
8,748
(1,297
)
(863
)
(25,719
)
7,974
3,181
132
$
251,607
$
234,592
$
182,889
Table of Contents
July 31,
(In thousands)
2007
2006
$
34,095
$
23,818
21,363
6,435
30,397
22,292
19,448
6,434
77,851
30,385
19,506
46,021
22,704
22,740
18,007
204,449
197,047
41,152
4,022
762
45,174
762
159,275
196,285
(2,527
)
(4,389
)
$
156,748
$
191,896
July 31,
(In thousands)
2007
2006
$
84,682
$
47,199
72,066
144,697
$
156,748
$
191,896
Table of Contents
Table of Contents
Table of Contents
Twelve Months Ended July 31,
(In thousands, except per share amounts)
2007
2006
2005
$
743
$
941
$
3,283
1,727
23,518
21,710
21,511
18,896
27,258
27,066
5,489
76,313
70,340
5,489
(24,237
)
(25,284
)
(1,536
)
$
52,076
$
45,056
$
3,953
$
0.15
$
0.13
$
0.01
$
0.15
$
0.12
$
0.01
Table of Contents
Twelve Months Ended July 31,
(In thousands, except per share amounts)
2007
2006
2005
$
381,627
81
(48,283
)
$
440,003
$
416,963
$
333,425
$
1.03
$
1.28
$
1.20
$
0.90
$
1.01
$
1.24
$
1.16
$
0.88
(1)
Net income and net income per share as reported for periods prior to fiscal 2006 did not
include share-based compensation expense for stock options and our Employee Stock Purchase
Plan because we did not adopt the recognition provisions of SFAS 123.
(2)
Share-based compensation expense for periods prior to fiscal 2006 is calculated based on the
pro forma application of SFAS 123.
(3)
Net income and net income per share including share-based employee compensation for
periods prior to fiscal 2006 are based on the pro forma application of SFAS 123.
Table of Contents
Table of Contents
Twelve Months Ended July 31,
2007
2006
2005
N/A
2.78
2.98
24% - 27
%
22% - 28
%
23% - 42
%
27
%
25
%
36
%
4.47% - 5.05
%
3.70% - 5.14
%
2.09% - 4.01
%
0
%
0
%
0
%
N/A
0.27
1.00
26% - 27
%
22% - 28
%
24% - 29
%
26
%
25
%
27
%
4.63% - 5.04
%
3.14% - 4.77
%
1.79% - 3.39
%
0
%
0
%
0
%
Table of Contents
Options Outstanding
Shares
Weighted Average
Available
Number of
Exercise Price
for Grant
Shares
Per Share
8,312,328
67,895,432
$
18.61
13,000,000
(11,580,912
)
11,580,912
23.15
(104,710
)
(9,622,706
)
15.05
1,445,024
(5,237,078
)
23.09
(8,446,158
)
808
2,626,380
64,616,560
$
19.59
13,000,000
(10,816,070
)
10,816,070
28.37
(11,916
)
(15,594,297
)
16.52
1,270,588
(2,906,840
)
22.93
3,111
6,072,093
56,931,493
$
21.93
10,000,000
1,544,613
(1,544,613
)
1,544,613
20.78
(9,119,495
)
9,119,495
30.10
(2,548,340
)
(10,913,824
)
17.02
1,766,921
(2,192,127
)
26.88
239,285
6,410,464
54,489,650
$
24.05
Table of Contents
Options Outstanding
Options Exercisable
Weighted
Weighted
Weighted
Weighted
Average
Average
Aggregate
Average
Average
Aggregate
Remaining
Exercise
Intrinsic
Remaining
Exercise
Intrinsic
Number
Contractual
Price per
Value
Number
Contractual
Price per
Value
Exercise Price
Outstanding
Life (in Years)
Share
(in thousands)
Exercisable
Life (in Years)
Share
(in thousands)
7,320,292
2.71
$
13.55
$
110,499,015
7,178,666
2.59
$
13.61
$
107,922,432
7,398,570
3.95
18.76
73,093,972
7,333,994
3.94
18.76
72,472,184
7,750,144
3.47
21.52
55,207,825
7,131,880
3.32
21.51
50,874,149
8,790,702
4.53
23.75
42,995,220
6,250,769
4.33
23.72
30,774,905
6,842,430
4.74
26.93
13,045,799
4,523,538
3.92
26.63
9,912,551
6,914,810
6.98
30.07
7,604,088
5.48
31.61
3,253,709
4.76
32.00
1,868,614
2.88
34.56
1,675,300
2.49
34.63
54,489,650
4.47
$
24.05
$
294,841,831
37,347,856
3.63
$
21.94
$
271,956,221
Table of Contents
Weighted
Average
Fair
Restricted Stock Units
Shares
Value
851,342
$
22.67
104,710
23.91
(234,664
)
23.40
(1,548
)
21.64
719,840
22.60
11,916
24.58
(239,316
)
22.18
(4,204
)
23.99
488,236
23.03
2,548,340
30.59
(292,401
)
23.73
(239,489
)
30.54
2,504,686
$
29.88
Table of Contents
Table of Contents
Table of Contents
Fiscal 2007 Quarter Ended
(In thousands, except per share amounts)
October 31
January 31
April 30
July 31
$
350,493
$
750,637
$
1,139,145
$
432,672
98,207
131,454
130,982
117,877
350,805
404,466
430,083
371,503
(57,200
)
145,580
367,947
(12,859
)
(1,730
)
(218
)
(736
)
(781
)
(58,930
)
145,362
367,211
(13,640
)
$
(0.17
)
$
0.42
$
1.08
$
(0.04
)
$
(0.17
)
$
0.42
$
1.08
$
(0.04
)
$
(0.17
)
$
0.40
$
1.04
$
(0.04
)
$
(0.17
)
$
0.40
$
1.04
$
(0.04
)
Fiscal 2006 Quarter Ended
(In thousands, except per share amounts)
October 31
January 31
April 30
July 31
$
292,045
$
731,549
$
939,960
$
329,456
84,544
129,160
100,914
83,919
307,283
360,359
358,762
302,475
(55,953
)
157,036
298,749
(18,869
)
10,149
25,937
(101
)
15
(45,804
)
182,973
298,648
(18,854
)
$
(0.16
)
$
0.45
$
0.87
$
(0.06
)
0.03
0.07
$
(0.13
)
$
0.52
$
0.87
$
(0.06
)
$
(0.16
)
$
0.43
$
0.84
$
(0.06
)
0.03
0.07
$
(0.13
)
$
0.50
$
0.84
$
(0.06
)
Table of Contents
Additions | ||||||||||||||||
Balance at | Charged to | Balance at | ||||||||||||||
Beginning of | Expense/ | End of | ||||||||||||||
(In thousands) | Period | Revenue | Deductions | Period | ||||||||||||
Year ended July 31, 2007
|
||||||||||||||||
Allowance for doubtful accounts
|
$ | 11,532 | $ | 14,743 | $ | (11,027 | ) | $ | 15,248 | |||||||
Reserve for product returns
|
29,385 | 102,592 | (106,144 | ) | 25,833 | |||||||||||
Reserve for rebates
|
8,996 | 67,642 | (57,720 | ) | 18,918 | |||||||||||
|
||||||||||||||||
Year ended July 31, 2006
|
||||||||||||||||
Allowance for doubtful accounts
|
$ | 14,967 | $ | 9,222 | $ | (12,657 | ) | $ | 11,532 | |||||||
Reserve for product returns
|
30,454 | 83,984 | (85,053 | ) | 29,385 | |||||||||||
Reserve for rebates
|
18,482 | 62,072 | (71,558 | ) | 8,996 | |||||||||||
|
||||||||||||||||
Year ended July 31, 2005
|
||||||||||||||||
Allowance for doubtful accounts
|
$ | 6,784 | $ | 13,082 | $ | (4,899 | ) | $ | 14,967 | |||||||
Reserve for product returns
|
36,877 | 84,955 | (91,378 | ) | 30,454 | |||||||||||
Reserve for rebates
|
16,215 | 151,021 | (148,754 | ) | 18,482 |
Note: |
Additions to the allowance for doubtful accounts are charged to general and
administrative expense.
Additions to the reserves for product returns and rebates are charged against revenue. |
105
106
107
108
109
110
111
112
113
114
115
116
117
118
CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON
ACCOUNTING AND FINANCIAL DISCLOSURE
OTHER INFORMATION
Table of Contents
DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE
Name
Age
Position
53
President, Chief Executive Officer and Director
67
Chairman of the Board of Directors
55
Chairman of the Executive Committee
46
Senior Vice President, Sales
46
Senior Vice President, General Counsel and Corporate Secretary
39
Senior Vice President
39
Senior Vice President, Quicken Health Group
45
Senior Vice President, Strategy and Corporate Development
59
Senior Vice President and General Manager, Consumer Tax Group
and Chief Financial Officer
43
Senior Vice President and General Manager, Small Business Division
61
Senior Vice President, Financial Institutions Division
47
Vice President, Corporate Controller
Table of Contents
Table of Contents
EXECUTIVE COMPENSATION
SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS
CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE
PRINCIPAL ACCOUNTANT FEES AND SERVICES
Table of Contents
EXHIBITS AND FINANCIAL STATEMENT SCHEDULES
(a)
The following documents are filed as part of this report:
1.
Financial Statements
See Index to Consolidated Financial Statements in Part II, Item 8.
2.
Financial Statement Schedules
See Index to Consolidated Financial Statements in Part II, Item 8.
3.
Exhibits
Incorporated by
Reference
Exhibit
Filed
Number
Exhibit Description
Herewith
Form/File No.
Date
Agreement and Plan of Merger by and among Intuit, Durango
Acquisition Corporation and Digital Insight Corporation
8-K
000-27459
Filed
by
Digital Insight
11/30/06
Restated Intuit Certificate of Incorporation, dated as of
January 19, 2000
10-Q
06/14/00
Third Amended and Restated Rights Agreement, dated as of
January 30, 2003
8-A/A
000-21180
02/18/03
Bylaws of Intuit, as amended and restated effective May 1, 2002
10-Q
05/31/02
Form of Specimen Certificate for Intuits Common Stock
10-K
09/25/02
Form of Right Certificate for Series B Junior Participating
Preferred Stock (included in Exhibit 3.02 as Exhibit B)
8-A/A
000-21180
02/18/03
Indenture, dated as of March 7, 2007, between Intuit and The
Bank of New York Trust Company, N.A. as trustee
8-K
3/7/07
Forms of Global Note for Intuits 5.40 Senior Notes due 2012
and 5.75% Senior Notes due 2017
8-K
3/12/07
Intuit Inc. 2005 Equity Incentive Plan, as amended through
December 16, 2005
S-8
333-130453
12/19/05
Intuit Inc. 2005 Equity Incentive Plan, as amended through
July 26, 2006
10-K
9/15/06
Intuit Inc. 2005 Equity Incentive Plan, as amended through
December 15, 2006
S-8
333-139452
12/18/06
2005 Equity Incentive Plan Form of Non-Qualified Stock Option
New Hire, Promotion or Retention Grant
10-Q
12/10/04
2005 Equity Incentive Plan Form of Non-Qualified Stock Option
Focal Grant
10-Q
12/10/04
2005 Equity Incentive Plan Form of Restricted Stock Unit Award
Executive Stock Ownership Program Matching Unit
10-Q
12/10/04
2005 Equity Incentive Plan Form of Non-Qualified Stock Option
Stephen Bennett Grant
10-Q
12/10/04
2005 Equity Incentive Plan Form of Non-Employee Director
Option Initial Grant
10-Q
12/10/04
2005 Equity Incentive Plan Form of Non-Employee Director
Option Succeeding Grant
10-Q
12/10/04
2005 Equity Incentive Plan Form of Non-Employee Director
Option Committee Grant
10-Q
12/10/04
Form of CEO Restricted Stock Unit Award Agreement for fiscal
year ended July 31, 2005 (performance based vesting)
8-K
8/2/05
Form of Restricted Stock Unit Award Agreement
(Performance-Based Vesting)
8-K
7/31/06
Table of Contents
Incorporated by
Reference
Exhibit
Filed
Number
Exhibit Description
Herewith
Form/File No.
Date
Form of Restricted Stock Unit Award Agreement (Service-Based
Vesting)
8-K
7/31/06
Restricted Stock Unit Award Agreement for Chief Executive
Officer dated August 25, 2006
10-K
9/15/06
Intuit Inc. Management Stock Purchase Program
10-Q
12/1/06
Form of Restricted Stock Unit Grant Agreement for MSPP
Purchased Award
10-Q
12/1/06
Form of Restricted Stock Unit Grant Agreement for MSPP
Matching Award
10-Q
12/1/06
Form of Performance-based Restricted Stock Unit Agreement for
key employees of Digital Insight
8-K
2/7/07
StepUp Commerce, Inc. 2004 Stock Incentive Plan
S-8
9/15/06
Form of Stock Option Award Agreement under the StepUp
Commerce, Inc. 2004 Stock Incentive Plan
S-8
9/15/06
Digital Insight Corporation 1997 Stock Plan, Form of Stock
Option Agreement under the Digital Insight Corporation 1997
Stock Plan and the Notice of Grant of Stock Purchase Right
under the Digital Insight Corporation 1999 Stock Plan
S-1
333-81547
Filed
by
Digital Insight
6/25/99
Digital Insight Corporation 1999 Stock Plan and Form of Stock
Option Agreement under the Digital Insight Corporation 1999
Stock Plan
S-1/A
333-81547
Filed
by
Digital Insight
9/13/99
First, Second and Third Amendments to the Digital Insight
Corporation 1999 Stock Plan
10-Q
Filed by
Digital Insight
5/15/01
1997 Stock Plan, as amended, of AnyTime Access, Inc.
S-8
333-43636
Filed
by
Digital Insight
8/11/00
Form of Stock Option Agreement under the 1997 Stock Plan of
Anytime Access, Inc.
S-8
2/9/07
Form of Intuit Inc. Stock Option Assumption Agreement
S-8
2/9/07
Intuit Executive Relocation Policy
10-Q
12/5/05
Intuit Inc. 2005 Executive Deferred Compensation Plan,
effective January 1, 2005
10-Q
12/10/04
Intuit 2002 Equity Incentive Plan and related plan documents,
as amended through July 30, 2003
10-K
9/19/03
Intuit 1993 Equity Incentive Plan, as amended through January
16, 2002
10-Q
02/28/02
Intuit Employee Stock Purchase Plan, as amended through
December 15, 2006
S-8
333-139452
12/18/06
Description of Intuit Inc. Executive Stock Ownership and
Matching Unit Program
10-K
9/26/05
Intuit 1996 Directors Stock Option Plan and forms of
Agreement, as amended by the Board on January 30, 2003
10-Q
02/28/03
Intuit 1998 Option Plan for Mergers and Acquisitions and form
of Agreement, as amended through July 29, 2003
10-K
9/19/03
Intuit Form of Amendment to All Stock Options Outstanding at
February 19, 1999
10-K
10/12/99
Intuit Inc. Performance Incentive Plan for Fiscal Year 2008
8-K
7/30/07
Intuit Inc. Performance Incentive Plan for Fiscal Year 2007
8-K
7/31/06
Intuit Executive Deferred Compensation Plan, effective March
15, 2002
10-Q
05/31/02
Table of Contents
Incorporated by
Reference
Exhibit
Filed
Number
Exhibit Description
Herewith
Form/File No.
Date
Intuit Senior Executive Incentive Plan adopted on December 12,
2002
DEF 14A
Appendix 3
10/23/02
Form of Indemnification Agreement entered into by Intuit with
each of its directors and certain officers
10-K
09/25/02
Form of Stock Bonus Agreement (Matching Unit) under the Intuit
2002 Equity Incentive Plan related to the Executive Stock
Ownership Program
10-Q
12/05/03
Transition Agreement dated August 21, 2007 between Intuit and
Stephen M. Bennett
8-K
08/22/07
Amended and Restated Employment Agreement between Intuit and
Stephen M. Bennett, dated July 30, 2003
8-K
08/01/03
Restricted Stock Purchase Agreement, with respect to 150,000
shares of Intuit Common Stock between Intuit and Stephen M.
Bennett, dated January 24, 2000
S-8
333-51700
12/12/00
Restricted Stock Purchase Agreement, with respect to 75,000
shares of Intuit Common Stock between Intuit and Stephen M.
Bennett, dated January 24, 2000
S-8
333-51700
12/12/00
Amendment No. 1 to Restricted Stock Purchase Agreement, with
respect to 150,000 shares of Intuit Common Stock dated January
24, 2000 between Intuit and Stephen M. Bennett, dated January
17, 2001
10-Q
06/13/01
Amendment No. 1 to Restricted Stock Purchase Agreement, with
respect to 75,000 shares of Intuit Common Stock dated January
24, 2000 between Intuit and Stephen M. Bennett, dated January
17, 2001
10-Q
06/13/01
Amended and Restated Secured Balloon Payment Promissory Note
between Intuit and Stephen M. Bennett, dated November 26, 2001
10-Q
02/28/02
Share Repurchase Agreement between Intuit and Stephen M.
Bennett, dated March 27, 2003
10-Q
05/30/03
2002 Equity Incentive Plan Stock Bonus Award Agreement between
Intuit and Stephen M. Bennett dated July 30, 2003
10-K
9/19/03
Share Repurchase Agreement dated February 23, 2004 between
Intuit and Stephen M. Bennett
10-Q
06/14/04
Intuit Inc. 2002 Plan Option Grant Agreement between Stephen
M. Bennett and Intuit Inc. dated July 31, 2004
10-Q
12/10/04
Intuit Inc. 2002 Equity Incentive Plan Stock Bonus Agreement -
Restricted Stock Units between Stephen M. Bennett and Intuit
Inc. dated July 31, 2004
10-Q
12/10/04
Share Repurchase Agreement dated February 25, 2005 between
Intuit and Stephen M. Bennett
8-K
2/28/05
Share Repurchase Agreement between Intuit and Stephen M.
Bennett, dated February 27, 2007
8-K
2/28/07
Transitions Terms Agreement dated June 14, 2007 between Intuit
and Robert B. (Brad) Henske
8-K
6/14/07
Form of Amendment dated September 6, 2005 to Employment
Agreement between Intuit and each of Robert B. Henske and Brad
Smith
8-K
9/8/05
Employment Agreement by and between Intuit and Robert B.
Brad Henske dated May 10, 2005
8-K
5/11/05
Employment Agreement by and between Intuit and Brad Smith
dated May 10, 2005
8-K
5/11/05
Employment Offer Letter between Intuit and Jeffrey Stiefler,
effective February 6, 2007.
8-K
2/7/07
Employment Agreement dated September 2, 2005 between Intuit
and Kiran Patel
8-K
9/8/05
Table of Contents
Incorporated by
Reference
Exhibit
Filed
Number
Exhibit Description
Herewith
Form/File No.
Date
Offer Letter Agreement dated June 24, 2005 between Intuit and
Alexander M. Lintner and accepted by Mr. Lintner on June 29,
2005
8-K
7/6/05
Employment Agreement between Intuit and Richard William Ihrie,
dated October 14, 2000
10-K
10/05/01
Amended and Restated Secured Balloon Payment Promissory Note
for the principal amount of $1,800,000 between Intuit and
Richard W. Ihrie, dated November 26, 2001
10-Q
02/28/02
Director Compensation Agreement between Intuit and Dennis D.
Powell, dated February 11, 2004
10-Q
06/14/04
Bridge Credit Agreement dated as of January 31, 2007, by and
among Intuit, the Lenders parties thereto, Chase Lincoln First
Commercial Corporation, as syndication agent, and Citicorp
North America, Inc., as administrative agent.
8-K
2/1/07
Five Year Credit Agreement dated as of March 22, 2007, by and
among Intuit, the Lenders parties thereto, JPMorgan Chase
Bank, N.A., as syndication agent, and Citicorp USA, Inc., as
administrative agent
8-K
3/22/07
Free On-Line Electronic Tax Filing Agreement Amendment,
effective as of October 30, 2005 between the Internal Revenue
Service and the Free File Alliance, LLC
10-Q
12/5/05
Amended & Restated Services Agreement between Intuit and
Ingram Micro Inc. dated September 11, 2001
10-Q
12/07/01
Amendment to Amended and Restated Services Agreement effective
as of September 11, 2001 between Intuit and Ingram Micro Inc.
10-Q
12/10/04
Amendment to Amended and Restated Services Agreement by and
between Intuit and Ingram Micro Inc., effective September 11,
2007
X
Master Agreement between Intuit and Modus Media International,
Inc. dated November 1, 2000, as amended on August 27, 2001
10-Q
12/07/01
Amendment to Master Agreement between Intuit and Modus Media
International, Inc. effective as of August 22, 2003
10-Q
12/10/04
Amendment to Master Agreement between Intuit and ModusLink
Corporation, effective June 1, 2007
X
Master Services Agreement between Intuit and Arvato Services,
Inc., dated May 28, 2003
10-K
9/19/03
Lease, dated as of March 28, 2005, made by and between Kilroy
Realty, L.P. and Intuit Inc. for property located on Torrey
Santa Fe Road, San Diego
10-Q
6/7/05
First Amendment to Lease, dated as of March 31, 2006, by and
between Intuit and Kilroy Realty, L.P. for property in San
Diego, California
10-Q
6/9/06
Lease Expiration Advancement Agreement effective July 31, 2003
between Intuit and Charleston Properties for 2475, 2500, 2525,
2535 and 2550 Garcia Avenue and 2650, 2675, 2700 and 2750
Coast Avenue, Mountain View, CA
10-K
9/19/03
Lease Agreement dated as of July 31, 2003 between Intuit and
Charleston Properties for 2475, 2500, 2525, 2535 and 2550
Garcia Avenue, Mountain View, CA
10-K
9/19/03
Lease Agreement dated as of July 31, 2003 between Intuit and
Charleston Properties for 2650, 2675, 2700 and 2750 Coast
Avenue and 2600 Casey Avenue, Mountain View, California
10-K
9/19/03
Lease Agreement dated as of March 29, 1999 between Intuit and
various parties as Landlord for 2632 Marine Way, Mountain
View, California
10-K
10/13/01
Table of Contents
Incorporated by
Reference
Exhibit
Filed
Number
Exhibit Description
Herewith
Form/File No.
Date
Build-to-Suit Lease Agreement dated as of June 9, 1995 between
Intuit and Kilroy Realty Corporation, successor to UTC
Greenwich Partners, a California limited partnership for 6200
and 6220 Greenwich, San Diego, California
10-K
9/24/04
Amendment to Lease Agreement dated as of June 9, 1995, dated
April 14, 1998 between Intuit and Kilroy Realty L.P.,
successor to UTC Greenwich Partners, L.P.
10-K
10/6/98
Standard Office Lease for Calabasas facility dated August 4,
1997, by and between Arden Realty Limited Partnership and
Digital Insight
S-1
333-81547
Filed
by
Digital Insight
9/30/99
Third Amendment dated May 23, 2003 to the Calabasas Standard
Office Lease between Arden Realty Finance III, LLC and Digital
Insight
10-K
Filed by
Digital Insight
3/10/04
Standard Office Lease for Westlake Village facility dated as
of March 6, 2000, by and between Arden Realty Finance
Partnership, LP and Digital Insight
10-Q
Filed by
Digital Insight
5/15/00
Second Amendment dated May 23, 2003 to the Westlake Village
Standard Office Lease between Arden Realty Finance
Partnership, LP and Digital Insight
10-K
Filed by
Digital Insight
3/10/04
Build-to-Suit Lease Agreement dated as of April 8, 1998,
between Intuit and TACC Investors, LLC for property located at
2800 East Commerce Center Place, Tucson, Arizona
10-K
10/06/98
Lease Agreement dated August 16, 2002 between Intuit and
Pegasus Aviation, Inc. for property located at 6550 S. Country
Club Road, Tucson, Arizona
10-K
9/19/03
Subordination Agreement; Acknowledgment of Lease Assignment,
Estoppel, Attornment and Non-Disturbance Agreement dated
August 22, 2002 among Intuit, Pegasus Aviation, Inc., and Bank
One, Arizona, N.A.
10-K
9/19/03
Lease Agreement dated as of January 1, 1994 between Intuit as
successor in interest to Computing Resources, Inc. and 1285
Financial Boulevard, Inc. for 1285 Financial Boulevard, Reno,
Nevada
10-K
10/12/99
Office Lease Agreement dated February 22, 2000 between Lacerte
Software Corporation and KCD-TX 1 Investment Limited
Partnership for office space in Plano, Texas
10-Q
06/14/00
Assignment and Assumption of Lease dated as of September 27,
2002 between KCD-TX I Investment Limited Partnership and Wells
Operating Partnership, L.P., re office space in Plano, Texas
10-K
9/19/03
Second Amendment to Master Service
Agreement between Intuit and Arvato Services, Inc., effective May 29,
2007
X
List of Intuits Subsidiaries
X
Consent of Ernst & Young LLP, Independent Registered Public
Accounting Firm
X
Power of Attorney (see signature page)
X
Certification of Chief Executive Officer
X
Certification of Chief Financial Officer
X
Section 1350 Certification (Chief Executive Officer) *
X
Section 1350 Certification (Chief Financial Officer) *
X
Table of Contents
+
Indicates a management contract or compensatory plan or arrangement
#
We have requested confidential treatment for certain portions of this
document pursuant to an application for confidential treatment sent to
the Securities and Exchange Commission (SEC). We omitted such portions
from this filing and filed them separately with the SEC.
*
This certification is not deemed filed for purposes of Section 18 of the Securities
Exchange Act of 1934, or otherwise subject to the liability of that section. Such
certification will not be deemed to be incorporated by reference into any filing under the
Securities Act of 1933 or the Securities Exchange Act of 1934, except to the extent that
Intuit specifically incorporates it by reference.
(c)
Exhibits
See Item 15(a)(3) above.
(d)
Financial Statement Schedules
See Item 15(a)(2) above.
Table of Contents
INTUIT INC.
Dated: September 14, 2007
By:
/s/ KIRAN M. PATEL
Kiran M. Patel
Senior Vice President and Chief Financial Officer
(Principal Financial Officer)
Table of Contents
Name
Title
Date
President, Chief Executive Officer
and Director
September 14, 2007
Senior Vice President and Chief
Financial Officer
September 14, 2007
Vice President, Corporate Controller
September 14, 2007
Director
September 14, 2007
Christopher W. Brody
Chairman of the Board of Directors
September 14, 2007
Director
September 14, 2007
Director
September 14, 2007
Director
September 14, 2007
Director
September 14, 2007
Director
September 14, 2007
Director
September 14, 2007
Director
September 14, 2007
Director
September 14, 2007
Table of Contents
Exhibit
Number
Exhibit Description
Amendment to Amended and Restated Services Agreement by and between Intuit
and Ingram Micro Inc., effective September 11, 2007
Amendment to Master Agreement between Intuit and ModusLink Corporation,
effective June 1, 2007
Second Amendment to Master Service
Agreement between Intuit and Arvato Services, Inc., effective May 29,
2007
List of Intuits Subsidiaries
Consent of Ernst & Young LLP, Independent Registered Public Accounting Firm
Power of Attorney (see signature page)
Certification of Chief Executive Officer
Certification of Chief Financial Officer
Section 1350 Certification (Chief Executive Officer) *
Section 1350 Certification (Chief Financial Officer) *
#
We have requested confidential treatment for certain portions of this document pursuant to an
application for confidential treatment sent to the Securities and Exchange Commission (SEC).
We omitted such portions from this filing and filed them separately with the SEC.
*
This certification is not deemed filed for purposes of Section 18 of the Securities
Exchange Act of 1934, or otherwise subject to the liability of that section. Such
certification will not be deemed to be incorporated by reference into any filing under the
Securities Act of 1933 or the Securities Exchange Act of 1934, except to the extent that
Intuit specifically incorporates it by reference.
1. | Section 8 entitled, Term/Termination, subsections (a) and (d) are replaced with the following: |
2. | Exhibit A is deleted and replaced by Exhibit A Statement of Work (September 11, 2007) attached to this Amendment. |
Intuit, Inc. | Ingram Micro Inc. | |
/s/ Scott Beth
|
/s/ Bryan C. Moynahan | |
|
||
Signature
|
Signature | |
|
||
Scott Beth
|
Bryan C. Moynahan | |
|
||
Printed Name
|
Printed Name | |
|
||
VP, Procurement
|
Vice President and General Manager | |
|
||
Title
|
Title | |
|
||
6-15-2007
|
6-8-2007 | |
|
||
Date
|
Date |
1. | Section 6.1 (Term) of the Master Agreement shall be deleted in its entirety and replaced with the following: |
2. | In Section 4.1 (Insurance) of the Master Agreement, the following sentence is hereby deleted in its entirety: |
3. | References in Section 4.1 (Insurance) to Comprehensive General Liability insurance is hereby changed to Commercial General Liability insurance. | ||
4. | The Pricing Appendix, attached hereto as Exhibit A, is attached to and incorporated in the Master Agreement. |
5. | For avoidance of doubt, for purposes of populating touch displays, the parties agree that each finished good SKU shall count as [*] of [*] under the Pricing Appendix attached as Exhibit A to Amendment No. 5 to the Master Agreement. | ||
6. | As modified hereby, the Master Agreement shall remain in full force and effect. |
By:
|
/s/ Scott Beth | |||
|
||||
|
||||
Name:
|
Scott Beth | |||
|
||||
|
||||
Title:
|
VP, Procurement | |||
|
By:
|
/s/ Jacob House | |||
|
||||
|
||||
Name:
|
Jacob House | |||
|
||||
|
||||
Title:
|
Vice President, Strategic Accounts | |||
|
2
3
PART
|
|||||
TOTAL MATL
|
|||||
TOTAL M/U
|
|||||
TOTAL TOUCHES
|
|||||
LABOR
|
|||||
KIT PRICE
|
|||||
LEVEL | TA | TADESCRIPTION | TAECLVL | CO | DO | QO | [COMMCODE]CODE | EXPCODE | EXTDCOST | EXTDMU | ||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||
4
SUMMARY | COMMENTS | MONTH 1 | MONTH 2 | MONTH 3 | Total | ||||||||||||
Materials all Units
|
|||||||||||||||||
Labor All Units
|
|||||||||||||||||
Overtime Labor
|
|||||||||||||||||
Rework Material
|
|||||||||||||||||
Rework Labor
|
|||||||||||||||||
Total Scrap Dollars
|
|||||||||||||||||
Materials Sales
|
|||||||||||||||||
Manufactured Units
|
|||||||||||||||||
Reworked Units
|
|||||||||||||||||
Total Spend in Dollars
|
|||||||||||||||||
Materials Loose Units | COMMENTS | MONTH 1 | MONTH 2 | MONTH 3 | Total | ||||||||||||
Total Loose Material Spend
|
|||||||||||||||||
Labor Loose Units | COMMENTS | MONTH 1 | MONTH 2 | MONTH 3 | Total | ||||||||||||
Total Loose Labor Spend
|
|||||||||||||||||
Materials Displays | COMMENTS | MONTH 1 | MONTH 2 | MONTH 3 | Total | ||||||||||||
Total Display Material Spend
|
|||||||||||||||||
Labor Displays | COMMENTS | MONTH 1 | MONTH 2 | MONTH 3 | Total | ||||||||||||
Total Display Labor Spend
|
|||||||||||||||||
Materials NT Units | COMMENTS | MONTH 1 | MONTH 2 | MONTH 3 | Total | ||||||||||||
Total NT unit Material Spend
|
|||||||||||||||||
Labor NT Units | COMMENTS | MONTH 1 | MONTH 2 | MONTH 3 | Total | ||||||||||||
Total NT unit Labor Spend
|
|||||||||||||||||
Overtime Labor Saturday | COMMENTS | MONTH 1 | MONTH 2 | MONTH 3 | Total | ||||||||||||
Total Saturday Overtime Spend
|
|||||||||||||||||
Overtime Labor Sunday | COMMENTS | MONTH 1 | MONTH 2 | MONTH 3 | Total | ||||||||||||
Total Sunday Overtime Spend
|
|||||||||||||||||
Rework Materials | COMMENTS | MONTH 1 | MONTH 2 | MONTH 3 | Total | ||||||||||||
Total Rework Material Spend
|
|||||||||||||||||
Rework Labor | COMMENTS | MONTH 1 | MONTH 2 | MONTH 3 | Total | ||||||||||||
5
INTUIT INC.
By: /s/ Scott Beth Name: Scott Beth Title: VP, Procurement |
ARVATO SERVICES, INC.
By: /s/ R. Leitch Name: Ron Leitch Title: President / CEO |
Subsidiaries as of August 31, 2007
Entity
Formation
Delaware
Texas
Texas
Texas
Nevada
Texas
Delaware
Connecticut
Nova Scotia
California
Mauritius
Delaware
Canada
Canada
California
Delaware
United Kingdom
South Africa
United Kingdom
India
Delaware
Delaware
Delaware
Texas
Delaware
Delaware
Hong Kong
Singapore
Australia
California
Texas
Delaware
Delaware
California
Delaware
California
Form S-8 No. | Plan | |
33-59458
|
1988 Option Plan; Intuit Inc. 1993 Equity Incentive Plan; Non-Plan Officer Options | |
|
||
33-73222
|
Intuit Inc. 1993 Equity Incentive Plan; Chipsoft Plan | |
|
||
33-95040
|
Intuit Inc. 1993 Equity Incentive Plan; Personal News Options | |
|
||
333-16827
|
Intuit Inc. 1993 Equity Incentive Plan | |
|
||
333-16829
|
Intuit Inc. 1996 Directors Stock Option Plan; Intuit Inc. 1996 Employee Stock Purchase Plan | |
|
||
333-20361
|
Options to Purchase Common Stock | |
|
||
333-45277
|
Intuit Inc. 1996 Directors Stock Option Plan | |
|
||
333-45285
|
Intuit Inc. 1996 Employee Stock Purchase Plan | |
|
||
333-45287
|
Intuit Inc. 1993 Equity Incentive Plan | |
|
||
333-53322
|
Options Granted Under The Apps.Com, Inc. 1999 Equity Incentive Plan And Assumed By Intuit Inc. | |
|
||
333-53324
|
Options Granted Under The EmployeeMatters, Inc. 1999 Stock Option Plan And Assumed By Intuit Inc. | |
|
||
333-51692
|
Intuit Inc. 1996 Employee Stock Purchase Plan | |
|
||
333-51694
|
Intuit Inc. 1993 Equity Incentive Plan | |
|
||
333-51698
|
Intuit Inc. 1996 Directors Stock Option Plan | |
|
||
333-51700
|
Intuit Inc. Restricted Stock Purchase Agreements | |
|
||
333-68851
|
Intuit Inc. 1998 Option Plan For Mergers And Acquisitions | |
|
||
333-71099
|
Intuit Inc. 1993 Equity Incentive Plan | |
|
||
333-71101
|
Intuit Inc. 1996 Directors Stock Option Plan | |
|
||
333-71103
|
Intuit Inc. 1996 Employee Stock Purchase Plan | |
|
||
333-78041
|
Intuit Inc. 1998 Option Plan For Mergers And Acquisitions | |
|
||
333-81324
|
Intuit Inc. 1996 Directors Stock Option Plan |
Form S-8 No. | Plan | |
333-81328
|
Intuit Inc. 1996 Employee Stock Purchase Plan | |
|
||
333-81446
|
Intuit Inc. 2002 Equity Incentive Plan | |
|
||
333-84385
|
Options Granted Under The Boston Light Software Corp. 1999 Amended And Restated Option/Stock Issuance Plan and Assumed By Intuit Inc. | |
|
||
333-91056
|
Options Granted Under CBS Employer Services, Inc. 2000 Stock Option/Stock Issuance Plan and Assumed By Intuit Inc. | |
|
||
333-92513
|
Intuit Inc. 1996 Employee Stock Purchase Plan | |
|
||
333-92515
|
Intuit Inc. 1996 Directors Stock Plan | |
|
||
333-92517
|
Intuit Inc. 1993 Equity Incentive Plan | |
|
||
333-102213
|
Intuit Inc. 2002 Equity Incentive Plan; Intuit Inc. 1996 Employee Stock Purchase Plan; Intuit Inc. 1996 Director Stock Option Plan | |
|
||
333-112140
|
Intuit Inc. 1996 Employee Stock Purchase Plan | |
|
||
333-112170
|
Intuit Inc. 2005 Equity Incentive Plan | |
|
||
333-130453
|
Intuit Inc. 2005 Equity Incentive Plan | |
|
||
333-137352
|
StepUp Commerce, Inc. 2004 Stock Incentive Plan | |
|
||
333-139452
|
Intuit Inc. 2005 Equity Incentive Plan; Intuit Inc. Employee Stock Purchase Plan | |
|
||
333-140568
|
Digital Insight Corporation 1997 Stock Plan; Digital Insight Corporation 1999 Stock Incentive Plan; 1997 Stock Plan of AnyTime Access, Inc. |
Form S-3 No. | Prospectus | |
333-50417
|
$500,000,000 in the aggregate of common stock, preferred stock and debt securities | |
|
||
333-63739
|
$500,000,000 in the aggregate of common stock, preferred stock and debt securities | |
|
||
333-54610
|
$1,000,000,000 in the aggregate of common stock, preferred stock and debt securities |
Form S-4 No. | Prospectus | |
333-71097
|
$500,000,000 in the aggregate of common stock |
1. | I have reviewed this annual report on Form 10-K of Intuit Inc.; |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this annual report; |
3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; |
4. | The registrants other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have: |
a. | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; | ||
b. | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; | ||
c. | Evaluated the effectiveness of the registrants disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and | ||
d. | Disclosed in this report any change in the registrants internal control over financial reporting that occurred during the registrants most recent fiscal quarter (the registrants fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrants internal control over financial reporting; and |
5. | The registrants other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrants auditors and the audit committee of registrants board of directors (or persons performing the equivalent functions): |
a. | All significant deficiencies and material weaknesses in the design or operation of internal controls over financial reporting which are reasonably likely to adversely affect the registrants ability to record, process, summarize and report financial information; and | ||
b. | Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrants internal control over financial reporting. |
By:
|
/s/ STEPHEN M. BENNETT | |||
|
||||
Stephen M. Bennett | ||||
President and Chief Executive Officer | ||||
(Principal Executive Officer) |
1. | I have reviewed this annual report on Form 10-K of Intuit Inc.; |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this annual report; |
3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; |
4. | The registrants other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have: |
a. | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; | ||
b. | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; | ||
c. | Evaluated the effectiveness of the registrants disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and | ||
d. | Disclosed in this report any change in the registrants internal control over financial reporting that occurred during the registrants most recent fiscal quarter (the registrants fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrants internal control over financial reporting; and |
5. | The registrants other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrants auditors and the audit committee of registrants board of directors (or persons performing the equivalent functions): |
a. | All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrants ability to record, process, summarize and report financial information; and | ||
b. | Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrants internal control over financial reporting. |
By:
|
/s/ KIRAN M. PATEL | |||
|
||||
Kiran M. Patel | ||||
Senior Vice President and Chief Financial Officer | ||||
(Principal Financial Officer) |
| the Annual Report on Form 10-K of the Company for the fiscal year ended July 31, 2007, as filed with the Securities and Exchange Commission (the Report), fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and | ||
| the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
|
/s/ STEPHEN M. BENNETT | |||
|
|
|||
|
President and Chief Executive Officer | |||
|
(Principal Executive Officer) |
| the Annual Report on Form 10-K of the Company for the fiscal year ended July 31, 2007, as filed with the Securities and Exchange Commission (the Report), fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and | ||
| the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
|
/s/ KIRAN M. PATEL | |||
|
|
|||
|
Senior Vice President, Chief Financial Officer | |||
|
(Principal Financial Officer) |