XILINX 2004 ANNUAL REPORT

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PART II Item 8.
Financial Statements and Supplementary Data

Notes to Consolidated Financial Statements

Note 15. Goodwill and Other Intangible Assets

As of April 3, 2004 and March 29, 2003, the gross and net amounts of goodwill and of other intangible assets for all acquisitions were as follows:

 
  2004   2003   Amortization Life
  (In thousands)    
Goodwill—gross $ 163,152   $ 152,249   3 to 5 years (through fiscal 2002 only)
Less accumulated amortization 51,525   51,525    
Goodwill—net $ 111,627   $ 100,724    
Noncompete agreements—gross $23,600   $23,600   3 years
Less accumulated amortization 23,600   19,011    
Noncompete agreements—net   4,589    
Patents—gross 22,335   15,141   5 to 7 years
Less accumulated amortization 8,351   6,286    
Patents—net 13,984   8,855    
Miscellaneous intangibles—gross 40,461   39,701   2 to 5 years
Less accumulated amortization 37,632   34,455    
Miscellaneous intangibles—net 2,829   5,246    
Total other intangible assets—gross 86,396   78,442    
Less accumulated amortization 69,583   59,752    
Total other intangible assets—net $16,813   $18,690    

Amortization expense for all intangible assets for fiscal year 2004, 2003, and 2002 was $9.8 million, $15.3 million and $49.0 million, respectively. Intangible assets are amortized on a straight-line basis.

Based on the carrying value of other intangible assets recorded at April 3, 2004, and assuming no subsequent impairment of the underlying assets, the annual amortization expense for other intangible assets is expected to be as follows: 2005 - $5.0 million; 2006 - $4.4 million; 2007 - $3.6 million; 2008 - $2.5 million; 2009 - $1.3 million.

     
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