Annual report pursuant to Section 13 and 15(d)

Property And Equipment

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Property And Equipment
 12 Months Ended
Dec. 31, 2011
Property And Equipment [Abstract]  
Property And Equipment

NOTE 4—PROPERTY AND EQUIPMENT

The balance of property and equipment, net, is as follows (in thousands):

 

     December 31,  
     2011     2010  

Capitalized software

    $ 197,842      $ 211,816   

Computer and broadcast equipment

      93,364        93,284   

Buildings and leasehold improvements

      93,941        90,417   

Furniture and other equipment

      75,185        72,726   

Projects in progress

      8,881        3,825   

Land and land improvements

      10,962        10,922   
  

 

 

    

 

 

  
     480,175        482,990   

Less: accumulated depreciation and amortization

      (321,741 )      (328,003 ) 
  

 

 

    

 

 

  

Total property and equipment, net

    $ 158,434      $ 154,987   
  

 

 

    

 

 

  

Long-lived assets are tested for recoverability whenever events or changes in circumstances indicate that their carrying amounts may not be recoverable. As a result of the impairment charge recognized in the fourth quarter of 2011 related to the indefinite-lived intangible assets of one of the Cornerstone brands, HSNi assessed if there was an impairment of any of this brand's long-lived assets. As a result of this assessment, HSNi recognized an impairment charge of $0.8 million in 2011. This charge is included in operating expenses in the line item "General and administrative" in the accompanying consolidated statements of operations. As we periodically reassess estimated future cash flows and asset fair values, changes in our estimates and assumptions may cause us to realize additional impairment charges in the future.