Apple Inc. v. Samsung Electronics Co. Ltd. et al

Filing 173

Declaration of MICHAEL J. WAGNER IN SUPPORT OF SAMSUNG'S OPPOSITION TO APPLE'S MOTION FOR PRELIMINARY INJUNCTION filed bySamsung Electronics America, Inc., Samsung Electronics Co. Ltd., Samsung Telecommunications America, LLC. (Attachments: #1 Exhibit A, #2 Exhibit B, #3 Exhibit C, #4 Exhibit D, #5 Exhibit E)(Maroulis, Victoria) (Filed on 8/22/2011) Modified on 8/29/2011 Document posted does not comply with General Order No. 62. Cannot link-opposition not efiled (dhm, COURT STAFF).

EXHIBIT C

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

Form 10-Q
(Mark One)



QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the quarterly period ended December 30, 2006
or

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the transition period from

to

Commission file number: 000-10030

Apple Inc.
(Exact name of Registrant as specified in its charter)

California
(State or other jurisdiction
of incorporation or organization)

942404110
(I.R.S. Employer Identification No.)

1 Infinite Loop
Cupertino, California
(Address of principal executive offices)

95014
(Zip Code)

Registrant’s telephone number, including area code: [phone]
Apple Computer, Inc.
(Former name or former address, if changed since last report.)
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act
of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been
subject to such filing requirements for the past 90 days.
Yes 
No
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, or a non-accelerated filer. See definition of
“accelerated filer and large accelerated filer” in Rule 12b-2 of the Exchange Act.
Large accelerated filer 
Accelerated filer
Non-accelerated filer
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes
No 
861,874,894 shares of common stock issued and outstanding as of January 24, 2007

Net Sales
The first quarter of 2007 spanned 13 weeks while the first quarter of 2006 spanned 14 weeks. An additional week is added to the first fiscal
quarter approximately every six years to realign fiscal quarters with calendar quarters .
Net sales and Macintosh unit sales by operating segment and net sales and unit sales by product follow (net sales in millions and unit sales in
thousands):
Three Months Ended
12/30/06
12/31/05
Change

Net Sales by Operating Segment :
Americas net sales
Europe net sales
Japan net sales
Retail net sales
Other Segments net sales (a)
Total net sales

$ 3,498
1,711
285
1,139
482
$ 7,115

18 %
29 %
(2 )%
7%
24 %

667
587
1,254

(4 )%
65 %
28 %

$ 1,375

9%

14,043

50 %

$ 163

Net sales per iPod unit sold (h)

2,906
491
303
325
$ 5,749

21,066

iPod unit sales

5%
79 %
40 %

$ 1,501

Net sales per Macintosh unit sold (g)

$ 912
812
1,724

637
969
1,606

Unit Sales by Product :
Desktops (b)
Portables (c)
Total Macintosh unit sales

21 %
27 %
(14 )%
60 %
44 %
28 %

3,427
634
297
347
$ 7,115

iPod
Other music related products and services (d)
Peripherals and other hardware (e)
Software, service, and other sales (f)
Total net sales

515
387
81
193
78
1,254

$ 955
1,455
2,410

Net Sales by Product :
Desktops (b)
Portables (c)
Total Macintosh net sales

30 %
38 %
(20 )%
6%
27 %
24 %

625
491
70
308
112
1,606

Unit Sales by Operating Segment :
Americas Macintosh unit sales
Europe Macintosh unit sales
Japan Macintosh unit sales
Retail Macintosh unit sales
Other Segments Macintosh unit sales (a)
Total Macintosh unit sales

$ 2,700
1,242
355
1,072
380
$ 5,749

$ 207

(21 )%

Notes:
(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)

Other Segments include Asia Pacific and FileMaker.
Includes iMac, eMac, Mac mini, Mac Pro, Power Mac, and Xserve product lines.
Includes MacBook, iBook, MacBook Pro, and PowerBook product lines.
Consists of iTunes Store sales, iPod services, and Apple-branded and third-party iPod accessories.
Includes sales of Apple-branded and third-party displays, wireless connectivity and networking solutions, and other hardware accessories.
Includes Apple-branded operating system software, application software, third-party software, AppleCare, and Internet services.
Derived by dividing total Macintosh net sales by total Macintosh unit sales.
Derived by dividing total iPod net sales by total iPod unit sales.

22

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 10-Q
(Mark One)



QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 2007
or

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the transition period from

to

.

Commission File Number: 000-10030

APPLE INC.
(Exact name of registrant as specified in its charter)

CALIFORNIA
(State or other jurisdiction
of incorporation or organization)
1 Infinite Loop
Cupertino, California
(Address of principal executive offices)

942404110
(I.R.S. Employer Identification No.)

95014
(Zip Code)

Registrant’s telephone number, including area code: [phone]
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act
of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been
subject to such filing requirements for the past 90 days.
Yes 
No
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, or a non-accelerated filer. See definition of
“accelerated filer and large accelerated filer” in Rule 12b-2 of the Exchange Act.
Large accelerated filer 
Accelerated filer
Non-accelerated filer
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes
No 
864,948,023 shares of common stock issued and outstanding as of April 25, 2007

Net Sales
The first six months of 2007 spanned 26 weeks while the first six months of 2006 spanned 27 weeks. This additional week is added to the first
fiscal quarter approximately every six years to realign fiscal quarters with calendar quarters.
Net sales and Macintosh unit sales by operating segment and net sales and unit sales by product follow (net sales in millions and unit sales in
thousands):
Three Months Ended
3/31/07
4/1/06
Change

Net Sales by Operating Segment :
Americas net sales
Europe net sales
Japan net sales
Retail net sales
Other Segments net sales (a)
Total net sales

$ 2,447
1,249
283
855
430
$ 5,264

$ 2,122
966
309
636
326
$ 4,359

605
433
79
275
125
1,517

494
316
82
154
66
1,112

22 %
37 %
(4 )%
79 %
89 %
36 %

833
739
1,572

10 %
83 %
44 %

Unit Sales by Operating Segment :
Americas Macintosh unit sales
Europe Macintosh unit sales
Japan Macintosh unit sales
Retail Macintosh unit sales
Other Segments Macintosh unit sales (a)
Total Macintosh unit sales
Net Sales by Product :
Desktops (b)
Portables (c)
Total Macintosh net sales
iPod
Other music related products and services (d)
Peripherals and other hardware (e)
Software, service, and other sales (f)
Total net sales

$

$

15 % $ 5,945
29 %
2,960
(8 )%
568
34 %
1,994
912
32 %
21 % $ 12,379

$ 4,822
2,208
664
1,708
706
$ 10,108

23 %
34 %
(14 )%
17 %
29 %
22 %

1,230
924
149
583
237
3,123

1,009
703
163
347
144
2,366

22 %
31 %
(9 )%
68 %
65 %
32 %

$ 1,869
2,809
4,678

$ 1,745
1,551
3,296

7%
81 %
42 %

(1 )%
5,116
35 %
1,287
17 %
606
692
6%
$ 12,379
21 %

4,620
976
567
649
$ 10,108

11 %
32 %
7%
7%
22 %

1,714
485
264
324
$ 4,359

626
891
1,517

614
498
1,112

2%
79 %
36 %

1,263
1,860
3,123

1,281
1,085
2,366

$ 1,495

$ 1,414

6%

$ 1,498

$ 1,393

8%

10,549

8,526

24 %

31,615

22,569

40 %

iPod unit sales
Net sales per iPod unit sold (h)

914
1,354
2,268

Six Months Ended
4/1/06
Change

1,689
653
309
345
$ 5,264

Unit Sales by Product :
Desktops (b)
Portables (c)
Total Macintosh unit sales
Net sales per Macintosh unit sold (g)

3/31/07

$

160

Notes:
(a)
(b)
(c)
(d)
(e)

$

201

(20 )% $

162

$

205

(1 )%
71 %
32 %

(21 )%

Other Segments include Asia Pacific and FileMaker.
Includes iMac, eMac, Mac mini, Mac Pro, Power Mac, and Xserve product lines.
Includes MacBook, iBook, MacBook Pro, and PowerBook product lines.
Consists of iTunes Store sales, iPod services, and Apple-branded and third-party iPod accessories.
Includes sales of Apple-branded and third-party displays, wireless connectivity and networking solutions, and other hardware
accessories.
(f) Includes sales of Apple-branded operating system software, application software, third-party software, AppleCare, and Internet
services.
(g) Derived by dividing total Macintosh net sales by total Macintosh unit sales.
(h) Derived by dividing total iPod net sales by total iPod unit sales.

22

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10-Q 1 a07-19295_110q.htm 10-Q

Washington, D.C. 20549

(Mark One)

x

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2007
or

o

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the transition period from

to

.

Commission File Number: 000-10030

(Exact name of registrant as specified in its charter)

CALIFORNIA
(State or other jurisdiction
of incorporation or organization)
1 Infinite Loop
Cupertino, California
(Address of principal executive offices)

942404110
(I.R.S. Employer Identification No.)

95014
(Zip Code)

Registrant’s telephone number, including area code: [phone]

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities
Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports),
and (2) has been subject to such filing requirements for the past 90 days.
Yes x No o
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, or a non-accelerated filer. See
definition of “accelerated filer and large accelerated filer” in Rule 12b-2 of the Exchange Act.
Large accelerated filer x
Accelerated filer o
Non-accelerated filer o
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes o No x
869,640,955 shares of common stock issued and outstanding as of July 25, 2007

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APPLE INC.
Notes to Condensed Consolidated Financial Statements (Unaudited)
Note 1 - Summary of Significant Accounting Policies
Apple Inc. and its wholly-owned subsidiaries (“Apple” or the “Company”) designs, manufactures, and markets personal computers,
portable digital music players, and mobile phones and sells a variety of related software, services, peripherals, and networking
solutions. The Company sells its products worldwide through its online stores, its retail stores, its direct sales force, and third-party
wholesalers, resellers, and value-added resellers. In addition, the Company sells a variety of third-party Macintosh, iPod and iPhone
compatible products including application software, printers, storage devices, speakers, headphones, and various other accessories
and supplies through its online and retail stores. The Company sells to education, consumer, creative professional, business, and
government customers.
Basis of Presentation and Preparation
The accompanying condensed consolidated financial statements include the accounts of the Company. Intercompany accounts and
transactions have been eliminated. The preparation of these condensed consolidated financial statements in conformity with U.S.
generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in
these condensed consolidated financial statements and accompanying notes. Actual results could differ materially from those
estimates. Certain prior year amounts in the condensed consolidated financial statements and notes thereto have been reclassified to
conform to the current year presentation.
These condensed consolidated financial statements and accompanying notes should be read in conjunction with the Company’s annual
consolidated financial statements and the notes thereto for the fiscal year ended September 30, 2006, included in its Annual Report on
Form 10-K for the year ended September 30, 2006 (the “2006 Form 10-K”).
The Company’s fiscal year is the 52 or 53-week period that ends on the last Saturday of September. The Company’s first quarter of
fiscal year 2007 contained 13 weeks and the first quarter of fiscal year 2006 contained 14 weeks. The Company’s fiscal year 2007
will end on September 29, 2007 and include 52 weeks while fiscal year 2006 included 53 weeks. Unless otherwise stated, references
to particular years or quarters refer to the Company’s fiscal years ended in September and the associated quarters of those fiscal
years.
Revenue Recognition
In March 2007, the Company began shipping Apple TV and in June 2007 began shipping iPhone. For Apple TV and iPhone, the
Company indicated it may provide future unspecified features and additional software products free of charge to customers.
Accordingly, Apple TV and iPhone handsets sales are accounted for under subscription accounting in accordance with the American
Institute of Certified Public Accountants Statement of Position (“SOP”) No. 97-2, Software Revenue Recognition. As such, the
Company defers the associated revenue and cost of goods sold at the time of sale, and recognizes both on a straight-line basis over the
currently estimated 24-month economic life of these products. Costs incurred by the Company for engineering, sales, and marketing
are expensed as incurred.
The Company records revenue net of taxes collected from customers that are remitted to governmental authorities. These taxes are
recorded as current liabilities until remitted to the relevant government authority.
Software Development Costs
Research and development costs are expensed as incurred. Development costs of computer software to be sold, leased, or otherwise
marketed are subject to capitalization beginning when a product’s technological feasibility has been established and ending when a
product is available for general release to customers pursuant to Statement of Financial Accounting Standards (“SFAS”) No. 86,
Computer Software to be Sold, Leased, or Otherwise Marketed. In most instances, the Company’s products are released soon after
technological feasibility has been established. Therefore, costs incurred subsequent to achievement of technological feasibility are
usually not significant, and generally most software development costs have been expensed.

5

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Net Sales
The first nine months of 2007 spanned 39 weeks while the first nine months of 2006 spanned 40 weeks. This additional week is
added to the first fiscal quarter approximately every six years to realign fiscal quarters with calendar quarters.
Net sales and Macintosh unit sales by operating segment and net sales and unit sales by product follow (net sales in millions and unit
sales in thousands):
Three Months Ended
6/30/07
7/1/06
Change

Net Sales by Operating Segment (a):
Americas net sales
Europe net sales
Japan net sales
Retail net sales
Other Segments net sales (b)
Total net sales

$ 2,680
1,160
258
915
397
$ 5,410

$ 2,213
900
259
688
310
$ 4,370

824
393
81
330
136
1,764

642
301
79
216
89
1,327

28%
31%
3%
53%
53%
33%

6/30/07

Nine Months Ended
7/1/06
Change

$ 7,067
3,108
925
2,362
1,016
$ 14,478

23%
33%
-11%
21%
29%
23%

2,054
1,317
230
913
373
4,887

1,651
1,004
242
563
233
3,693

24%
31%
-5%
62%
60%
32%

705
1,161
1,866

36% $ 2,825
4,386
36%
36%
7,211

$ 2,450
2,712
5,162

15%
62%
40%

1,570
608
5
308
386
$ 5,410

1,497
457
—
236
314
$ 4,370

5%
6,686
33%
1,895
NM
5
31%
914
1,078
23%
24% $ 17,789

6,117
1,433
—
803
963
$ 14,478

9%
32%
NM
14%
12%
23%

634
1,130
1,764

529
798
1,327

20%
42%
33%

1,897
2,990
4,887

1,810
1,883
3,693

5%
59%
32%

9,815

8,111

21%

41,430

30,680

35%

270

—

270

—

Net sales per Macintosh unit sold (i)

$ 1,436

$ 1,406

2% $ 1,476

$ 1,398

Net sales per iPod unit sold (j)

$

$

Unit Sales by Operating Segment:
Americas Macintosh unit sales
Europe Macintosh unit sales
Japan Macintosh unit sales
Retail Macintosh unit sales
Other Segments Macintosh unit sales (b)
Total Macintosh unit sales
Net Sales by Product:
Desktops (c)
Portables (d)
Total Macintosh net sales
iPod
Other music related products and services (e)
iPhone and related products and services (f)
Peripherals and other hardware (g)
Software, service, and other sales (h)
Total net sales

$

Unit Sales by Product:
Desktops (c)
Portables (d)
Total Macintosh unit sales
iPod unit sales
iPhone unit sales

956
1,577
2,533

160

$

185

21% $ 8,668
29%
4,121
—
827
33%
2,864
1,309
28%
24% $ 17,789

NM

-14% $

161

$

199

NM
6%
-19%

Notes:
(a) In the third quarter of fiscal 2007, the Company revised the way it measures the Retail Segment’s operating results to a
manner that is generally consistent with the Company’s other operating segments. Prior period results have been reclassified to
reflect this change to the Retail Segment’s operating results along with the corresponding offsets to the other operating segments.
Further information regarding the Company’s operating segments may be found in Part I, Item 1., “Financial Statements” of this
Form 10-Q in the Notes to Condensed Consolidated Financial Statements at Note 7, “Segment Information and Geographic

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Data.”
(b) Other Segments include Asia Pacific and FileMaker.
(c) Includes iMac, eMac, Mac mini, Mac Pro, Power Mac, and Xserve product lines.

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10-K 1 a2181030z10-k.htm 10-K
QuickLinks -- Click here to rapidly navigate through this document

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

Form 10-K
(Mark One)
ý

o

ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the fiscal year ended September 29, 2007
or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
to
For the transition period from
Commission file number 000-10030

APPLE INC.
(Exact name of registrant as specified in its charter)
California
(State or other jurisdiction
of incorporation or organization)

942404110
(I.R.S. Employer
Identification No.)

1 Infinite Loop
Cupertino, California
(Address of principal executive offices)

95014
(Zip Code)

Registrant's telephone number, including area code: [phone]
Securities registered pursuant to Section 12(b) of the Act:
Common Stock, no par value
(Title of class)

The NASDAQ Global Select Market
(Name of exchange on which registered)

Securities registered pursuant to Section 12(g) of the Act: None

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. Yes ý No o
Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. Yes o No ý
Note—Checking the box above will not relieve any registrant required to file reports pursuant to Section 13 or 15(d) of the Exchange
Act from their obligations under those Sections.
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities
Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports),
and (2) has been subject to such filing requirements for the past 90 days. Yes ý No o
Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K (section 229.405 of this chapter) is
not contained herein, and will not be contained, to the best of the registrant's knowledge, in definitive proxy or information statements
incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. o

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Net Sales
Fiscal years 2007 and 2005 spanned 52 weeks while fiscal year 2006 spanned 53 weeks. This additional week is added to the first
fiscal quarter approximately every six years to realign fiscal quarters with calendar quarters.
Net sales and Mac unit sales by operating segment and net sales and unit sales by product follow (net sales in millions and unit sales
in thousands):
September 29,
2007

September 30,
2006

Change

September 24,
2005

Change

Net Sales by Operating Segment (a):
Americas net sales
Europe net sales
Japan net sales
Retail net sales
Other Segments net sales (b)
Total net sales

$

11,596
5,460
1,082
4,115
1,753

23% $
33%
(11)%
27%
30%

9,415
4,096
1,211
3,246
1,347

41% $
33%
31%
42%
35%

6,658
3,073
924
2,278
998

$

24,006

24% $

19,315

39% $

13,931

3,019
1,816
302
1,386
528

24%
35%
(1)%
56%
58%

2,432
1,346
304
886
335

11%
18%
(3)%
45%
16%

2,184
1,138
313
609
290

7,051

33%

5,303

17%

4,534

4,020
6,294

21% $
55%

3,319
4,056

(3)% $
43%

3,436
2,839

10,314

40%

7,375

18%

6,275

8,305
2,496
123
1,260
1,508

8%
32%
NM
15%
18%

7,676
1,885
—
1,100
1,279

69%
110%
NM
(2)%
17%

4,540
899
—
1,126
1,091

Unit Sales by Operating Segment:
Americas Mac unit sales
Europe Mac unit sales
Japan Mac unit sales
Retail Mac unit sales
Other Segments Mac unit sales (b)
Total Mac unit sales
Net Sales by Product:
Desktops (c)
Portables (d)

$

Total Mac net sales
iPod
Other music related products and services (e)
iPhone and related products and services (f)
Peripherals and other hardware (g)
Software, service, and other sales (h)
Total net sales

$

24,006

24% $

19,315

39% $

13,931

Unit Sales by Product:
Desktops (c)
Portables (d)

2,714
4,337

Net sales per Mac unit sold (i)

$

iPod unit sales
Net sales per iPod unit sold (j)
iPhone unit sales

2,434
2,869

(3)%
42%

2,520
2,014

7,051

Total Mac unit sales

12%
51%
33%

5,303

17%

4,534

1,463
51,630

$

161
1,389

5% $
31%

1,391
39,409

(17)% $

195

NM

—

1% $
75%
(3)% $
NM

1,384
22,497
202
—

Notes:
(a)

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segments. Prior period results have been reclassified to reflect this change to the Retail Segment's operating results along with the corresponding offsets to the other
operating segments. Further information regarding the Company's operating segments may be found in Notes to Consolidated Financial Statements at Note 9, "Segment
Information and Geographic Data."
(b)

Other Segments include Asia Pacific and FileMaker.

(c)

Includes iMac, eMac, Mac mini, Mac Pro, Power Mac, and Xserve product lines.

(d)

Includes MacBook, iBook, MacBook Pro, and PowerBook product lines.

(e)

Consists of iTunes Store sales, iPod services, and Apple-branded and third-party iPod accessories.

(f)

Derived from handset sales, carrier agreements, and Apple-branded and third-party iPhone accessories.

(g)

Includes sales of Apple-branded and third-party displays, wireless connectivity and networking solutions, and other hardware accessories.

(h)

Includes sales of Apple-branded operating system, application software, third-party software, AppleCare, and Internet services.

(i)

Derived by dividing total Mac net sales by total Mac unit sales.

(j)

Derived by dividing total iPod net sales by total iPod unit sales.

NM = Not Meaningful

42

45 of 129

9/30/2009 5:30 PM

Form 10-Q

1 of 49

http://sec.gov/Archives/edgar/data/320193/000119312508017426/d10q.htm

10-Q 1 d10q.htm FORM 10-Q

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

(Mark One)

x

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended December 29, 2007
or

¨

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
to

For the transition period from

.

Commission file number: 000-10030

(Exact name of Registrant as specified in its charter)

California

942404110

(State or other jurisdiction of
incorporation or organization)

(I.R.S. Employer
Identification No.)

1 Infinite Loop
Cupertino, California

95014

(Address of principal executive offices)

(Zip Code)

Registrant’s telephone number, including area code: [phone]
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities
Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports),
and (2) has been subject to such filing requirements for the past 90 days.
Yes x No ¨
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, or a non-accelerated filer. See
definition of “accelerated filer and large accelerated filer” in Rule 12b-2 of the Exchange Act.
Large accelerated filer x

Accelerated filer ¨

Non-accelerated filer ¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes ¨

No x

878,875,671 shares of common stock issued and outstanding as of January 18, 2008

9/30/2009 5:20 PM

Form 10-Q

22 of 49

http://sec.gov/Archives/edgar/data/320193/000119312508017426/d10q.htm

Net Sales
Net sales and Mac unit sales by operating segment and net sales and unit sales by product follow (net sales in millions and unit sales
in thousands):
Three Months Ended
December 29,
December 30,
2007
2006

Net Sales by Operating Segment (a):
Americas net sales
Europe net sales
Japan net sales
Retail net sales
Other Segments net sales (b)
Total net sales

$

$

Unit Sales by Operating Segment:
Americas Macintosh unit sales
Europe Macintosh unit sales
Japan Macintosh unit sales
Retail Macintosh unit sales
Other Segments Macintosh unit sales (b)
Total Macintosh unit sales

4,298
2,471
400
1,701
738
9,608

$

$

$

Unit Sales by Product:
Desktops (c)
Portables (d)
Total Macintosh unit sales
Net sales per Macintosh unit sold (i)
iPod unit sales
Net sales per iPod unit sold (j)
iPhone unit sales

$
$

1,515
2,037
3,552
3,997
808
241
382
628
9,608
977
1,342
2,319
1,532
22,121
181
2,315

$

$

$
$

3,521
1,712
285
1,115
482
7,115

22%
44%
40%
53%
53%
35%

625
491
70
308
112
1,606

$

841
705
91
504
178
2,319

Net Sales by Product:
Desktops (c)
Portables (d)
Total Macintosh net sales
iPod
Other music related products and services (e)
iPhone and related products and services (f)
Peripherals and other hardware (g)
Software, service, and other sales (h)
Total net sales

Change

35%
44%
30%
64%
59%
44%

955
1,455
2,410
3,427
634
—
297
347
7,115

59%
40%
47%
17%
27%
NM
29%
81%
35%

637
969
1,606
1,501
21,066
163
—

53%
38%
44%
2%
5%
11%
NM

(a) During the third quarter of 2007, the Company revised the way it measures the Retail Segment’s operating results to a manner
that is generally consistent with the Company’s other operating segments. Prior period results have been reclassified to reflect
this change to the Retail Segment’s operating results along with the corresponding offsets to the other operating segments.
Further information regarding the Company’s operating segments may be found in Notes to Condensed Consolidated Financial
Statements at Note 7, “Segment Information and Geographic Data.”
(b) Other Segments include Asia Pacific and FileMaker.
(c) Includes iMac, eMac, Mac mini, Mac Pro, Power Mac, and Xserve product lines.
(d) Includes MacBook, iBook, MacBook Pro, and PowerBook product lines.
(e) Consists of iTunes Store sales, iPod services, and Apple-branded and third-party iPod accessories.
22

9/30/2009 5:20 PM

Form 10-Q

1 of 52

http://sec.gov/Archives/edgar/data/320193/000119312508097759/d10q.htm

10-Q 1 d10q.htm FORM 10-Q

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

(Mark One)

x

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 29, 2008
or

¨

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
to

For the transition period from

.

Commission file number: 000-10030

(Exact name of Registrant as specified in its charter)

California

942404110

(State or other jurisdiction of
incorporation or organization)

(I.R.S. Employer
Identification No.)

1 Infinite Loop
Cupertino, California

95014

(Address of principal executive offices)

(Zip Code)

Registrant’s telephone number, including area code: [phone]

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities
Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports),
and (2) has been subject to such filing requirements for the past 90 days.
Yes x No ¨
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller
reporting company. See definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of
the Exchange Act. (Check one):
Large accelerated filer x Accelerated filer ¨ Non-accelerated filer ¨ Smaller reporting company ¨
(Do not check if a smaller reporting company)
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes ¨

No x

881,622,725 shares of common stock issued and outstanding as of April 16, 2008

9/30/2009 5:19 PM

Form 10-Q

23 of 52

http://sec.gov/Archives/edgar/data/320193/000119312508097759/d10q.htm

Net Sales
Net sales and Mac unit sales by operating segment and net sales and unit sales by product follow (net sales in millions, except per
unit amounts, and unit sales in thousands):
Three Months Ended
March 29, March 31,
2008
2007
Change

Net Sales by Operating Segment (a):
Americas net sales
Europe net sales
Japan net sales
Retail net sales
Other Segments net sales (b)
Total net sales

$ 3,268 $ 2,467
1,780
1,249
424
284
1,451
834
589
430
$ 7,512 $ 5,264

Unit Sales by Operating Segment:
Americas Macintosh unit sales
Europe Macintosh unit sales
Japan Macintosh unit sales
Retail Macintosh unit sales
Other Segments Macintosh unit sales (b)
Total Macintosh unit sales

884
627
118
458
202
2,289

605
433
79
275
125
1,517

Six Months Ended
March 29, March 31,
2008
2007
Change

32% $ 7,566 $ 5,988
43%
4,251
2,961
49%
824
569
74%
3,152
1,949
37%
1,327
912
43% $17,120 $12,379

26%
44%
45%
62%
46%
38%

46%
45%
49%
67%
62%
51%

1,230
924
149
583
237
3,123

40%
44%
40%
65%
60%
48%

1,725
1,332
209
962
380
4,608

Net Sales by Product:
Desktops (c)
Portables (d)
Total Macintosh net sales
iPod
Other music related products and services (e)
iPhone and related products and services (f)
Peripherals and other hardware (g)
Software, service, and other sales (h)
Total net sales

$ 1,352 $ 914
2,142
1,354
3,494
2,268
1,818
1,689
881
653
378
—
412
309
529
345
$ 7,512 $ 5,264

48% $ 2,867 $ 1,869
58%
4,179
2,809
54%
7,046
4,678
8%
5,815
5,116
35%
1,689
1,287
NM
619
—
33%
794
606
53%
1,157
692
43% $17,120 $12,379

53%
49%
51%
14%
31%
NM
31%
67%
38%

Unit Sales by Product:
Desktops (c)
Portables (d)
Total Macintosh unit sales
Net sales per Macintosh unit sold (i)
iPod unit sales
Net sales per iPod unit sold (j)
iPhone unit sales

856
626
1,433
891
2,289
1,517
$ 1,526 $ 1,495
10,644
10,549
$ 171 $ 160
1,703
—

37%
1,833
1,263
61%
2,775
1,860
51%
4,608
3,123
2% $ 1,529 $ 1,498
1%
32,765
31,615
7% $ 177 $ 162
NM
4,018
—

45%
49%
48%
2%
4%
9%
NM

(a) During the third quarter of 2007, the Company revised the way it measures the Retail Segment’s operating results to a manner
that is generally consistent with the Company’s other operating segments. Prior period
23

9/30/2009 5:19 PM

Form 10-Q

1 of 54

http://sec.gov/Archives/edgar/data/320193/000119312508156421/d10q.htm

10-Q 1 d10q.htm FORM 10-Q

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

(Mark One)

x

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 28, 2008
or

¨

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from

to

.

Commission file number: 000-10030

(Exact name of Registrant as specified in its charter)

California

94-2404110

(State or other jurisdiction
of incorporation or organization)

(I.R.S. Employer
Identification No.)

1 Infinite Loop
Cupertino, California

95014

(Address of principal executive offices)

(Zip Code)

Registrant’s telephone number, including area code: [phone]

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities
Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports),
and (2) has been subject to such filing requirements for the past 90 days.
Yes x

No ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller
reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule
12b-2 of the Exchange Act.
Large accelerated filer x
Non-accelerated filer ¨ (Do not check if a smaller reporting company)

Accelerated filer
¨
Smaller reporting company ¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes ¨

No x

885,875,706 shares of common stock issued and outstanding as of July 11, 2008

9/30/2009 5:24 PM

Form 10-Q

24 of 54

http://sec.gov/Archives/edgar/data/320193/000119312508156421/d10q.htm

Net Sales
The following table summarizes net sales and Mac unit sales by operating segment and net sales and unit sales by product during the
three and nine-month periods ended June 28, 2008 and June 30, 2007 (net sales in millions, except per unit amounts, and unit sales in
thousands):
Three Months Ended
June 28,
June 30,
2008
2007
Change

Net Sales by Operating Segment:
Americas net sales
Europe net sales
Japan net sales
Retail net sales
Other Segments net sales (a)
Total net sales

$ 3,435 $ 2,680
1,648
1,160
365
258
1,445
915
571
397
$ 7,464 $ 5,410

Unit Sales by Operating Segment:
Americas Macintosh unit sales
Europe Macintosh unit sales
Japan Macintosh unit sales
Retail Macintosh unit sales
Other Segments Macintosh unit sales (a)
Total Macintosh unit sales

1,134
576
102
476
208
2,496

824
393
81
330
136
1,764

Nine Months Ended
June 28,
June 30,
2008
2007
Change

28% $11,001 $ 8,668
42%
5,899
4,121
41%
1,189
827
58%
4,597
2,864
44%
1,898
1,309
38% $24,584 $17,789

27%
43%
44%
61%
45%
38%

38%
47%
26%
44%
53%
41%

2,054
1,317
230
913
373
4,887

39%
45%
35%
58%
58%
45%

2,859
1,908
311
1,438
588
7,104

Net Sales by Product:
Desktops (b)
Portables (c)
Total Macintosh net sales
iPod
Other music related products and services (d)
iPhone and related products and services (e)
Peripherals and other hardware (f)
Software, service, and other sales (g)
Total net sales

$ 1,373 $ 956
2,237
1,577
3,610
2,533
1,678
1,570
819
608
419
5
437
308
501
386
$ 7,464 $ 5,410

44% $ 4,240 $ 2,825
42%
6,416
4,386
43% 10,656
7,211
7%
7,493
6,686
35%
2,508
1,895
NM
1,038
5
42%
1,231
914
30%
1,658
1,078
38% $24,584 $17,789

50%
46%
48%
12%
32%
NM
35%
54%
38%

Unit Sales by Product:
Desktops (b)
Portables (c)
Total Macintosh unit sales
Net sales per Macintosh unit sold (h)
iPod unit sales
Net sales per iPod unit sold (i)
iPhone unit sales

943
634
1,553
1,130
2,496
1,764
$ 1,446 $ 1,436
11,011
9,815
$ 152 $ 160
717
270

49%
2,776
1,897
37%
4,328
2,990
41%
7,104
4,887
1% $ 1,500 $ 1,476
12% 43,776 41,430
-5% $ 171 $ 161
166%
4,735
270

46%
45%
45%
2%
6%
6%
NM

(a) Other Segments include Asia Pacific and FileMaker.
24

9/30/2009 5:24 PM

Form 10-K

Page 1 of 98

10-K 1 d10k.htm FORM 10-K
Table of Contents

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

Form 10-K
(MarkOne)
⌧

ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934
For the fiscal year ended September 27, 2008
or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the transition period from

to

Commission file number: 000-10030

APPLE INC.
(Exact name of registrant as specified in its charter)
California
(State or other jurisdiction
of incorporation or organization)

94-2404110
(I.R.S. Employer
Identification No.)

1 Infinite Loop
Cupertino, California
(Address of principal executive offices)

95014
(Zip Code)

Registrant’s telephone number, including area code: [phone]
Securities registered pursuant to Section 12(b) of the Act:
Common Stock, no par value
(Title of class)

The NASDAQ Global Select Market
(Name of exchange on which registered)

Securities registered pursuant to Section 12(g) of the Act: None
Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. Yes ⌧
No
Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. Yes
No ⌧
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the
Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to
file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ⌧ No
Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K (section 229.405 of this
chapter) is not contained herein, and will not be contained, to the best of the registrant’s knowledge, in definitive proxy or
information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. ⌧
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a
smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting
company” in Rule 12b-2 of the Exchange Act.
Large accelerated filer ⌧

Accelerated filer

http://sec.gov/Archives/edgar/data/320193/000119312508224958/d10k.htm

9/17/2009

Form 10-K

Page 43 of 98

Table of Contents
various legal proceedings and claims that arise in the ordinary course of business. In accordance with SFAS No. 5, Accounting
for Contingencies, the Company records a contingent liability when it is probable that a loss has been incurred and the amount
is reasonably estimable. There is significant judgment required in both the probability determination and as to whether an
exposure can be reasonably estimated. In management’s opinion, the Company does not have a potential liability related to
any current legal proceedings and claims that would individually or in the aggregate have a material adverse effect on its
financial condition or operating results. However, the outcomes of legal proceedings and claims brought against the Company
are subject to significant uncertainty. Should the Company fail to prevail in any of these legal matters or should several of
these legal matters be resolved against the Company in the same reporting period, the operating results of a particular reporting
period could be materially adversely affected.
Net Sales
Fiscal years 2008 and 2007 spanned 52 weeks while fiscal year 2006 spanned 53 weeks. An additional week is included in the
first fiscal quarter approximately every six years to realign fiscal quarters with calendar quarters.
The following table summarizes net sales and Mac unit sales by operating segment and net sales and unit sales by product
during the three fiscal years ended September 27, 2008 (in millions, except unit sales in thousands and per unit amounts):
2008
Net Sales by Operating Segment:
Americas net sales
Europe net sales
Japan net sales
Retail net sales
Other Segments net sales (a)
Total net sales

iPod
Other music related products and services (d)
iPhone and related products and services (e)
Peripherals and other hardware (f)
Software, service, and other sales (g)
Total net sales

iPhone unit sales

2006

$ 11,596
5,460
1,082
4,115
1,753
$ 24,006

23%
33%
(11)%
27%
30%
24%

$ 9,415
4,096
1,211
3,246
1,347
$ 19,315

3,980
2,519
389
2,034
793
9,715

32%
39%
29%
47%
50%
38%

3,019
1,816
302
1,386
528
7,051

24%
35%
(1)%
56%
58%
33%

2,432
1,346
304
886
335
5,303

5,603
8,673
14,276

39%
38%
38%

$ 4,020
6,294
10,314

21%
55%
40%

$ 3,319
4,056
7,375

9,153
3,340
1,844
1,659
2,207
$ 32,479

10%
34%
NM
32%
46%
35%

8,305
2,496
123
1,260
1,508
$ 24,006

8%
32%
NM
15%
18%
24%

7,676
1,885
—
1,100
1,279
$ 19,315

3,712
6,003
9,715

37%
38%
38%

2,714
4,337
7,051

12%
51%
33%

2,434
2,869
5,303
$ 1,391

$

$

1,469

—%

$ 1,463

5%

54,828

6%

51,630

31%

167

4%

161

(17)%

11,627

iPod unit sales
Net sales per iPod unit sold (i)

Change

26%
40%
39%
53%
40%
35%

Unit Sales by Product:
Desktops (b)
Portables (c)
Total Mac unit sales
Net sales per Mac unit sold (h)

2007

$ 14,573
7,622
1,509
6,315
2,460
$ 32,479

Unit Sales by Operating Segment:
Americas Mac unit sales
Europe Mac unit sales
Japan Mac unit sales
Retail Mac unit sales
Other Segments Mac unit sales (a)
Total Mac unit sales
Net Sales by Product:
Desktops (b)
Portables (c)
Total Mac net sales

Change

NM

1,389

NM

$

$

39,409
$

195
—

41

http://sec.gov/Archives/edgar/data/320193/000119312508224958/d10k.htm

9/17/2009

Form 10-Q

1 of 54

http://www.sec.gov/Archives/edgar/data/320193/000119312509009937/...

10-Q 1 d10q.htm FORM 10-Q

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

(Mark One)

x

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended December 27, 2008
or

¨

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from

to

.

Commission file number: 000-10030

(Exact name of Registrant as specified in its charter)

California

94-2404110

(State or other jurisdiction
of incorporation or organization)

(I.R.S. Employer Identification No.)

1 Infinite Loop
Cupertino, California

95014

(Address of principal executive offices)

(Zip Code)

Registrant’s telephone number, including area code: [phone]

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities
Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports),
and (2) has been subject to such filing requirements for the past 90 days.
Yes x No ¨
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller
reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule
12b-2 of the Exchange Act.
Large accelerated filer x
Non-accelerated filer ¨ (Do not check if a smaller reporting company)

Accelerated filer
¨
Smaller reporting company ¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes ¨

No x

890,553,729 shares of common stock issued and outstanding as of January 12, 2009

9/30/2009 5:26 PM

Form 10-Q

http://www.sec.gov/Archives/edgar/data/320193/000119312509009937/...

Net Sales
The following table summarizes net sales and Mac unit sales by operating segment and net sales and unit sales by product during the
three months ended December 27, 2008 and December 29, 2007 (in millions, except unit sales in thousands and per unit amounts):
Three Months Ended
December 27,
December 29,
2008
2007

Net Sales by Operating Segment:
Americas net sales
Europe net sales
Japan net sales
Retail net sales
Other Segments net sales (a)
Total net sales

$

$

Unit Sales by Operating Segment:
Americas Macintosh unit sales
Europe Macintosh unit sales
Japan Macintosh unit sales
Retail Macintosh unit sales
Other Segments Macintosh unit sales (a)
Total Macintosh unit sales

4,501
2,771
481
1,740
674
10,167

$

$

iPod
Other music related products and services (d)
iPhone and related products and services (e)
Peripherals and other hardware (f)
Software, service, and other sales (g)
Total net sales

$

Unit Sales by Product:
Desktops (b)
Portables (c)
Total Macintosh unit sales

1,043
2,511
3,554
3,371
1,011
1,247
378
606
10,167

$

728
1,796
2,524

Net sales per Macintosh unit sold (h)
iPod unit sales
Net sales per iPod unit sold (i)
iPhone unit sales

$
$

1,408
22,727
148
4,363

$
$

5%
12%
20%
2%
(9)%
6%
8%
13%
9%
2%
14%
9%

1,515
2,037
3,552

(31)%
23%
— %

3,997
808
241
382
628
9,608

(16)%
25%
417%
(1)%
(4)%
6%

977
1,342
2,319

$

4,298
2,471
400
1,701
738
9,608
841
705
91
504
178
2,319

$

912
795
99
515
203
2,524

Net Sales by Product:
Desktops (b)
Portables (c)
Total Macintosh net sales

Change

(25)%
34%
9%

1,532
22,121
181
2,315

(8)%
3%
(18)%
88%

(a)
(b)
(c)
(d)
(e)
(f)

Other Segments include Asia Pacific and FileMaker.
Includes iMac, Mac mini, Mac Pro, and Xserve product lines.
Includes MacBook, MacBook Air, and MacBook Pro product lines.
Consists of iTunes Store sales, iPod services, and Apple-branded and third-party iPod accessories.
Derived from handset sales, carrier agreements, and Apple-branded and third-party iPhone accessories.
Includes sales of Apple-branded and third-party displays, wireless connectivity and networking solutions, and other hardware
accessories.
(g) Includes sales of Apple-branded operating system, application software, third-party software, AppleCare, and Internet services.
(h) Derived by dividing total Mac net sales by total Mac unit sales.
(i) Derived by dividing total iPod net sales by total iPod unit sales.
26

26 of 54

9/30/2009 5:26 PM

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

Form 10-Q
(Mark One)



QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 28, 2009
or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from

to

.

Commission file number: 000-10030

Apple Inc.
(Exact name of Registrant as specified in its charter)

California

94-2404110

(State or other jurisdiction
of incorporation or organization)

(I.R.S. Employer Identification No.)

1 Infinite Loop
Cupertino, California

95014

(Address of principal executive offices)

(Zip Code)

Registrant’s telephone number, including area code: [phone]

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act
of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject
to such filing requirements for the past 90 days.
Yes 

No

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data
File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or
for such shorter period that the registrant was required to submit and post such files).
Yes

No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting
company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange
Act.
Large accelerated filer 
Non-accelerated filer

(Do not check if a smaller reporting company)

Accelerated filer
Smaller reporting company

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes

No 

892,109,834 shares of common stock issued and outstanding as of April 13, 2009

Net Sales
The following table summarizes net sales and Mac unit sales by operating segment and net sales and unit sales by product during the three- and
six-month periods ended March 28, 2009 and March 29, 2008 (in millions, except unit sales in thousands and per unit amounts):
Three Months Ended
March 28, March 29,

Six Months Ended
March 28, March 29,

2009

2008

Change

2009

2008

Change

$ 3,517
2,097
500
1,471
578
$ 8,163

$ 3,268
1,780
424
1,451
589
$ 7,512

8%
18%
18%
1%
(2)%
9%

$ 8,018
4,868
981
3,211
1,252
$ 18,330

$ 7,566
4,251
824
3,152
1,327
$ 17,120

6%
15%
19%
2%
(6)%
7%

809
658
109
438
202
2,216

884
627
118
458
202
2,289

(8)%
5%
(8)%
(4)%
— %
(3)%

1,721
1,453
208
953
405
4,740

1,725
1,332
209
962
380
4,608

— %
9%
— %
(1)%
7%
3%

$ 1,050
1,895
2,945

$ 1,352
2,142
3,494

(22)%
(12)%
(16)%

$ 2,093
4,406
6,499

$ 2,867
4,179
7,046

(27)%
5%
(8)%

iPod
Other music related products and services (d)
iPhone and related products and services (e)
Peripherals and other hardware (f)
Software, service, and other sales (g)
Total net sales
Unit Sales by Product :
Desktops (b)
Portables (c)
Total Mac unit sales

1,665
1,049
1,521
358
625
$ 8,163

1,818
881
378
412
529
$ 7,512

(8)%
19%
302%
(13)%
18%
9%

5,036
2,060
2,768
736
1,231
$ 18,330

5,815
1,689
619
794
1,157
$ 17,120

(13)%
22%
347%
(7)%
6%
7%

818
1,398
2,216

856
1,433
2,289

(4)%
(2)%
(3)%

1,546
3,194
4,740

1,833
2,775
4,608

(16)%
15%
3%

Net sales per Mac unit sold (h)
iPod unit sales
Net sales per iPod unit sold (i)
iPhone unit sales

$ 1,329
11,013
$ 151
3,793

$ 1,526
10,644
$ 171
1,703

(13)%
3%
(12)%
123%

$ 1,371
33,740
$ 149
8,156

$ 1,529
32,765
$ 177
4,018

(10)%
3%
(16)%
103%

Net Sales by Operating Segment :
Americas net sales
Europe net sales
Japan net sales
Retail net sales
Other Segments net sales (a)
Total net sales
Unit Sales by Operating Segment :
Americas Mac unit sales
Europe Mac unit sales
Japan Mac unit sales
Retail Mac unit sales
Other Segments Mac unit sales (a)
Total Mac unit sales
Net Sales by Product :
Desktops (b)
Portables (c)
Total Mac net sales

(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)
(i)

Other Segments include Asia Pacific and FileMaker.
Includes iMac, Mac mini, Mac Pro, and Xserve product lines.
Includes MacBook, MacBook Air, and MacBook Pro product lines.
Consists of iTunes Store sales, iPod services, and Apple-branded and third-party iPod accessories.
Derived from handset sales, carrier agreements, and Apple-branded and third-party iPhone accessories.
Includes sales of Apple-branded and third-party displays, wireless connectivity and networking solutions, and other hardware accessories.
Includes sales of Apple-branded operating system, application software, third-party software, AppleCare, and Internet services.
Derived by dividing total Mac net sales by total Mac unit sales.
Derived by dividing total iPod net sales by total iPod unit sales.
29

Quarterly Report on Form 10-Q

Page 1 of 59

10-Q 1 d10q.htm QUARTERLY REPORT ON FORM 10-Q

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

Form 10-Q
(Mark One)

⌧ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934
For the quarterly period ended June 27, 2009
or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934
For the transition period from

to

.

Commission file number: 000-10030

Apple Inc.
(Exact name of Registrant as specified in its charter)
California

94-2404110

(State or other jurisdiction
of incorporation or organization)

(I.R.S. Employer Identification No.)

1 Infinite Loop
Cupertino, California

95014

(Address of principal executive offices)

(Zip Code)

Registrant’s telephone number, including area code: [phone]
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the
Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to
file such reports), and (2) has been subject to such filing requirements for the past 90 days.
Yes ⌧ No
Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every
Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter)
during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).
Yes ⌧ No
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a
smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting
company” in Rule 12b-2 of the Exchange Act.
Large accelerated filer ⌧
Non-accelerated filer
(Do not check if a smaller reporting company)

Accelerated filer
Smaller reporting company

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes

No ⌧

895,816,758 shares of common stock issued and outstanding as of July 13, 2009

http://sec.gov/Archives/edgar/data/320193/000119312509153165/d10q.htm

9/17/2009

Quarterly Report on Form 10-Q

Page 30 of 59

Net Sales
The following table summarizes net sales and Mac unit sales by operating segment and net sales and unit sales by product
during the three- and nine-month periods ended June 27, 2009 and June 28, 2008 (in millions, except unit sales in thousands
and per unit amounts):
Three Months Ended
June 27,
June 28,
Change
2009
2008

Net Sales by Operating Segment:
Americas net sales
Europe net sales
Japan net sales
Retail net sales
Other Segments net sales (a)
Total net sales
Unit Sales by Operating Segment:
Americas Mac unit sales
Europe Mac unit sales
Japan Mac unit sales
Retail Mac unit sales
Other Segments Mac unit sales (a)
Total Mac unit sales
Net Sales by Product:
Desktops (b)
Portables (c)
Total Mac net sales

$ 3,827 $ 3,435
2,006
1,648
416
365
1,496
1,445
592
571
$ 8,337 $ 7,464
1,147
626
108
492
230
2,603

1,134
576
102
476
208
2,496

Nine Months Ended
June 27,
June 28,
Change
2009
2008

11% $11,845 $11,001
22%
6,874
5,899
14%
1,397
1,189
4%
4,707
4,597
4%
1,844
1,898
12% $26,667 $24,584

8%
17%
17%
2%
(3)%
8%

1%
9%
6%
3%
11%
4%

— %
9%
2%
— %
8%
3%

2,868
2,079
316
1,445
635
7,343

2,859
1,908
311
1,438
588
7,104

$ 1,129 $ 1,373 (18)% $ 3,222 $ 4,240 (24)%
2,200
2,237 (2)%
6,606
6,416
3%
3,329
3,610 (8)%
9,828 10,656 (8)%

iPod
Other music related products and services (d)
iPhone and related products and services (e)
Peripherals and other hardware (f)
Software, service, and other sales (g)
Total net sales
Unit Sales by Product:
Desktops (b)
Portables (c)
Total Mac unit sales

1,492
1,678 (11)%
6,528
7,493 (13)%
958
819
17%
3,018
2,508
20%
1,689
419 303%
4,457
1,038 329%
341
437 (22)%
1,077
1,231 (13)%
528
501
5%
1,759
1,658
6%
$ 8,337 $ 7,464
12% $26,667 $24,584
8%

Net sales per Mac unit sold (h)
iPod unit sales
Net sales per iPod unit sold (i)
iPhone unit sales

$ 1,279 $ 1,446 (12)% $ 1,338 $ 1,500 (11)%
10,215 11,011 (7)% 43,955 43,776 — %
$ 146 $ 152 (4)% $ 149 $ 171 (13)%
5,208
717 626% 13,364
4,735 182%

849
1,754
2,603

943 (10)%
1,553
13%
2,496
4%

2,395
4,948
7,343

2,776 (14)%
4,328
14%
7,104
3%

(a)
(b)
(c)
(d)
(e)
(f)
(g)

Other Segments include Asia Pacific and FileMaker.
Includes iMac, Mac mini, Mac Pro, and Xserve product lines.
Includes MacBook, MacBook Air, and MacBook Pro product lines.
Consists of iTunes Store sales, iPod services, and Apple-branded and third-party iPod accessories.
Derived from handset sales, carrier agreements, and Apple-branded and third-party iPhone accessories.
Includes sales of displays, wireless connectivity and networking solutions, and other hardware accessories.
Includes sales of Apple-branded operating system, application software, third-party software, AppleCare, and Internet
services.
(h) Derived by dividing total Mac net sales by total Mac unit sales.
(i) Derived by dividing total iPod net sales by total iPod unit sales.
30

http://sec.gov/Archives/edgar/data/320193/000119312509153165/d10q.htm

9/17/2009

Table of Contents

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

Form 10-K
(Mark One)



ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the fiscal year ended September 26, 2009
Or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from
to
Commission file number: 000-10030

APPLE INC.
(Exact name of registrant as specified in its charter)

California

94-2404110

(State or other jurisdiction of incorporation or organization)

(I.R.S. Employer Identification No.)

1 Infinite Loop
Cupertino, California

95014

(Address of principal executive offices)

(Zip Code)

Registrant’s telephone number, including area code: [phone]
Securities registered pursuant to Section 12(b) of the Act:
Common Stock, no par value

The NASDAQ Global Select Market

(Title of class)

(Name of exchange on which registered)

Securities registered pursuant to Section 12(g) of the Act: None
Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act.
Yes 
No
Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act.
Yes
No 
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act
of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject
to such filing requirements for the past 90 days.
Yes 
No
Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data
File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§229.405 of this chapter) during the preceding 12 months (or
for such shorter period that the registrant was required to submit and post such files).
Yes 
No
Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K (section 229.405 of this chapter) is not
contained herein, and will not be contained, to the best of the registrant’s knowledge, in definitive proxy or information statements incorporated
by reference in Part III of this Form 10-K or any amendment to this Form 10-K.
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting
company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange
Act.
Large accelerated filer 
Accelerated filer
Non-accelerated filer
(Do not check if smaller reporting company)
Smaller Reporting Company
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act).
Yes
No 
The aggregate market value of the voting and non-voting stock held by non-affiliates of the registrant, as of March 28, 2009, was approximately
$94,593,000,000 based upon the closing price reported for such date on the NASDAQ Global Select Market. For purposes of this disclosure,
shares of common stock held by persons who hold more than 5% of the outstanding shares of common stock and shares held by executive
officers and directors of the registrant have been excluded because such persons may be deemed to be affiliates. This determination of executive

Table of Contents
The following table summarizes net sales and Mac unit sales by operating segment and net sales and unit sales by product during the three years
ended September 26, 2009 (in millions, except unit sales in thousands and per unit amounts):
2009

Net Sales by Operating Segment:
Americas net sales
Europe net sales
Japan net sales
Retail net sales
Other Segments net sales (a)
Total net sales

2008

Change

2007

$16,142
9,365
1,831
6,574
2,625
$36,537

4%
13%
2%
4%
17%
7%

3,980
2,519
389
2,034
793
9,715

32%
39%
29%
47%
50%
38%

3,019
1,816
302
1,386
528
7,051

(23)%
9%
(3)%

$ 5,603
8,673
14,276

39%
38%
38%

$ 4,020
6,294
10,314

(12)%
21%
266%
(11)%
9%
12%

9,153
3,340
1,844
1,659
2,207
$32,479

10%
34%
NM
32%
46%
35%

8,305
2,496
123
1,260
1,508
$24,006

(14)%
20%
7%

3,712
6,003
9,715

37%
38%
38%

2,714
4,337
7,051

$ 1,326
54,132
$ 149
20,731

Net sales per Mac unit sold (h)
iPod unit sales
Net sales per iPod unit sold (i)
iPhone unit sales

$11,596
5,460
1,082
4,115
1,753
$24,006

3,182
7,214
10,396

Unit Sales by Product:
Desktops (b)
Portables (c)
Total Mac unit sales

26%
40%
39%
53%
40%
35%

8,091
4,036
6,754
1,470
2,406
$36,537

iPod
Other music related products and services (d)
iPhone and related products and services (e)
Peripherals and other hardware (f)
Software, service and other sales (g)
Total net sales

$14,573
7,622
1,509
6,315
2,460
$32,479

$ 4,308
9,472
13,780

Net Sales by Product:
Desktops (b)
Portables (c)
Total Mac net sales

11%
23%
21%
4%
7%
12%

4,120
2,840
395
2,115
926
10,396

Mac Unit Sales by Operating Segment:
Americas Mac unit sales
Europe Mac unit sales
Japan Mac unit sales
Retail Mac unit sales
Other Segments Mac unit sales (a)
Total Mac unit sales

(a)
(b)
(c)
(d)
(e)
(f)

Change

(10)%
(1)%
(11)%
78%

$ 1,469
54,828
$ 167
11,627

—%
6%
4%
NM

$ 1,463
51,630
$ 161
1,389

Other Segments include Asia Pacific and FileMaker.
Includes iMac, Mac mini, Mac Pro and Xserve product lines.
Includes MacBook, MacBook Air and MacBook Pro product lines.
Consists of iTunes Store sales, iPod services, and Apple-branded and third-party iPod accessories.
Derived from handset sales, carrier agreements, and Apple-branded and third-party iPhone accessories.
Includes sales of displays, wireless connectivity and networking solutions, and other hardware accessories.
41

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

Form 10-Q
(Mark One)



QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended December 26, 2009
or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from

to

.

Commission file number: 000-10030

APPLE INC.
(Exact name of Registrant as specified in its charter)
California

94-2404110

(State or other jurisdiction
of incorporation or organization)

(I.R.S. Employer Identification No.)

1 Infinite Loop
Cupertino, California

95014

(Address of principal executive offices)

(Zip Code)

Registrant’s telephone number, including area code: [phone]
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act
of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject
to such filing requirements for the past 90 days.
Yes 

No

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data
File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or
for such shorter period that the registrant was required to submit and post such files).
Yes 

No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting
company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange
Act.
Large accelerated filer 
Non-accelerated filer

(Do not check if a smaller reporting company)

Accelerated filer
Smaller reporting company

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes

No 

906,794,589 shares of common stock issued and outstanding as of January 15, 2010

Net Sales
The following table summarizes net sales and Mac unit sales by operating segment and net sales and unit sales by product during the three
months ended December 26, 2009 and December 27, 2008 (in millions, except unit sales in thousands and per unit amounts):
December 26,

Three Months Ended
December 27,

2009

Net Sales by Operating Segment :
Americas net sales
Europe net sales
Japan net sales
Asia-Pacific net sales
Retail net sales
Total net sales
Mac Unit Sales by Operating Segment :
Americas Mac unit sales
Europe Mac unit sales
Japan Mac unit sales
Asia-Pacific Mac unit sales
Retail Mac unit sales
Total Mac unit sales
Net Sales by Product :
Desktops (a)
Portables (b)
Total Mac net sales
iPod
Other music related products and services (c)
iPhone and related products and services (d)
Peripherals and other hardware (e)
Software, service and other sales (f)
Total net sales
Unit Sales by Product :
Desktops (a)
Portables (b)
Total Mac unit sales

$

$

$

$

1,692
2,758
4,450
3,391
1,164
5,578
469
631
15,683

$

$

1,234
2,128
3,362
$
$

1,324
20,970
162
8,737

$
$

5,301
3,585
498
750
1,746
11,880

15%
40%
57%
142%
13%
32%
30%
34%
6%
54%
34%
33%

1,045
2,520
3,565
3,371
1,011
2,940
387
606
11,880

62%
9%
25%
1%
15%
90%
21%
4%
32%

728
1,796
2,524

$

Change

912
795
99
203
515
2,524

$

1,187
1,068
105
313
689
3,362

Net sales per Mac unit sold (g)
iPod unit sales
Net sales per iPod unit sold (h)
iPhone unit sales
(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)

6,092
5,024
783
1,813
1,971
15,683

2008

70%
18%
33%

1,412
22,727
148
4,363

(6%)
(8%)
9%
100%

Includes iMac, Mac mini, Mac Pro and Xserve product lines.
Includes MacBook, MacBook Air and MacBook Pro product lines.
Consists of iTunes Store sales, iPod services, and Apple-branded and third-party iPod accessories.
Derived from handset sales, carrier agreements, and Apple-branded and third-party iPhone accessories.
Includes sales of displays, wireless connectivity and networking solutions, and other hardware accessories.
Includes sales of Apple-branded operating system, application software, third-party software, AppleCare, and Internet services.
Derived by dividing total Mac net sales by total Mac unit sales.
Derived by dividing total iPod net sales by total iPod unit sales.
35

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

Form 10-Q
(Mark One)



QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 27, 2010
or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from

to

.

Commission file number: 000-10030

APPLE INC.
(Exact name of Registrant as specified in its charter)
California

94-2404110

(State or other jurisdiction
of incorporation or organization)

(I.R.S. Employer Identification No.)

1 Infinite Loop
Cupertino, California

95014

(Address of principal executive offices)

(Zip Code)

Registrant’s telephone number, including area code: [phone]
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act
of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject
to such filing requirements for the past 90 days.
Yes 

No

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data
File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or
for such shorter period that the registrant was required to submit and post such files).
Yes 

No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting
company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange
Act.
Large accelerated filer
Non-accelerated filer


(Do not check if a smaller reporting company)

Accelerated filer
Smaller reporting company

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes

No 

909,938,383 shares of common stock issued and outstanding as of April 9, 2010

Net Sales
The following table summarizes net sales and Mac unit sales by operating segment and net sales and unit sales by product during the three- and
six-month periods ended March 27, 2010 and March 28, 2009 (in millions, except unit sales in thousands and per unit amounts):
Three Months Ended
March 27, March 28,

Six Months Ended
March 27, March 28,

2010

2009

Change

2010

2009

Change

$ 4,993
4,050
887
1,886
1,683
$ 13,499

$ 3,970
2,485
587
665
1,377
$ 9,084

26%
63%
51%
184%
22%
49%

$ 11,085
9,074
1,670
3,699
3,654
$ 29,182

$ 9,271
6,070
1,085
1,415
3,123
$ 20,964

20%
49%
54%
161%
17%
39%

971
899
129
338
606
2,943

809
658
109
202
438
2,216

20%
37%
18%
67%
38%
33%

2,158
1,967
234
651
1,295
6,305

1,721
1,453
208
405
953
4,740

25%
35%
13%
61%
36%
33%

$ 1,532
2,228
3,760

$ 1,056
1,904
2,960

45%
17%
27%

$ 3,224
4,986
8,210

$ 2,101
4,424
6,525

53%
13%
26%

iPod
Other music related products and services (c)
iPhone and related products and services (d)
Peripherals and other hardware (e)
Software, service and other sales (f)
Total net sales
Unit Sales by Product :
Desktops (a)
Portables (b)
Total Mac unit sales

1,861
1,327
5,445
472
634
$ 13,499

1,665
1,049
2,427
357
626
$ 9,084

12%
27%
124%
32%
1%
49%

5,252
2,491
11,023
941
1,265
$ 29,182

5,036
2,060
5,367
744
1,232
$ 20,964

4%
21%
105%
26%
3%
39%

1,147
1,796
2,943

818
1,398
2,216

40%
28%
33%

2,381
3,924
6,305

1,546
3,194
4,740

54%
23%
33%

Net sales per Mac unit sold (g)
iPod unit sales
Net sales per iPod unit sold (h)
iPhone unit sales

$ 1,278
10,885
$ 171
8,752

$ 1,336
11,013
$ 151
3,793

(4%)
(1%)
13%
131%

$ 1,302
31,855
$ 165
17,489

$ 1,377
33,740
$ 149
8,156

(5%)
(6%)
11%
114%

Net Sales by Operating Segment :
Americas net sales
Europe net sales
Japan net sales
Asia-Pacific net sales
Retail net sales
Total net sales
Unit Sales by Operating Segment :
Americas Mac unit sales
Europe Mac unit sales
Japan Mac unit sales
Asia-Pacific Mac unit sales
Retail Mac unit sales
Total Mac unit sales
Net Sales by Product :
Desktops (a)
Portables (b)
Total Mac net sales

(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)

Includes iMac, Mac mini, Mac Pro and Xserve product lines.
Includes MacBook, MacBook Air and MacBook Pro product lines.
Consists of iTunes Store sales, iPod services, and Apple-branded and third-party iPod accessories.
Derived from handset sales, carrier agreements, and Apple-branded and third-party iPhone accessories.
Includes sales of displays, wireless connectivity and networking solutions, and other hardware accessories.
Includes sales of Apple-branded operating system, application software, third-party software, AppleCare, and Internet services.
Derived by dividing total Mac net sales by total Mac unit sales.
Derived by dividing total iPod net sales by total iPod unit sales.
35

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

Form 10-Q
(Mark One)



QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 26, 2010
or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from

to

.

Commission file number: 000-10030

APPLE INC.
(Exact name of Registrant as specified in its charter)
California

94-2404110

(State or other jurisdiction
of incorporation or organization)

(I.R.S. Employer Identification No.)

1 Infinite Loop
Cupertino, California

95014

(Address of principal executive offices)

(Zip Code)

Registrant’s telephone number, including area code: [phone]
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act
of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject
to such filing requirements for the past 90 days.
Yes 

No

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data
File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or
for such shorter period that the registrant was required to submit and post such files).
Yes 

No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting
company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange
Act.
Large accelerated filer
Non-accelerated filer


(Do not check if a smaller reporting company)

Accelerated filer
Smaller reporting company

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes

No 

913,562,880 shares of common stock issued and outstanding as of July 9, 2010

The Company’s process for determining its ESP for deliverables without VSOE or TPE considers multiple factors that may vary depending upon
the unique facts and circumstances related to each deliverable. The Company believes its customers, particularly consumers, would be reluctant
to buy unspecified software upgrade rights related to iPhone iPad, iPod touch and Apple TV. This view is primarily based on the fact that
upgrade rights do not obligate the Company to provide upgrades at a particular time or at all, and do not specify to customers which upgrades or
features will be delivered. Therefore, the Company has concluded that if it were to sell upgrade rights on a standalone basis, including those
rights associated with iPhone, iPad, iPod touch and Apple TV, the selling price would be relatively low. Key factors considered by the Company
in developing the ESPs for these upgrade rights include prices charged by the Company for similar offerings, the Company’s historical pricing
practices, the nature of the upgrade rights (e.g., unspecified and when-and-if-available), and the relative ESP of the upgrade rights as compared
to the total selling price of the product. The Company may also consider, when appropriate, the impact of other products and services, including
advertising services, on selling price assumptions when developing and reviewing its ESPs for software upgrade rights and related deliverables.
The Company may also consider additional factors as appropriate, including the pricing of competitive alternatives if they exist, and productspecific business objectives.
Beginning in the third quarter of 2010 in conjunction with the announcement of iOS 4, the Company’s ESPs for the software upgrade rights
included with iPhone, iPad and iPod touch reflect the positive financial impact expected by the Company as a result of its planned
implementation of a mobile advertising platform for these devices and the expectation of customers regarding software that includes or supports
an advertising component. iOS 4 supports iAd, the Company’s new mobile advertising platform, which will enable applications on iPhone, iPad
and iPod touch to feature media-rich advertisements within applications.
For all periods presented, the Company’s ESP for the software upgrade right included with each Apple TV sold is $10. The Company’s ESP for
the software upgrade right included with each iPhone sold through the Company’s second quarter of 2010 was $25. Beginning in April 2010 in
conjunction with the Company’s announcement of iOS 4 for iPhone, the Company lowered its ESP for the software upgrade right included with
each iPhone to $10.
Beginning with initial sales of iPad in April 2010, the Company has also indicated it may from time-to-time provide future unspecified software
upgrades and features free of charge to iPad customers. The Company’s ESP for the software upgrade right included with the sale of each iPad is
$10. In June 2010, the Company announced that certain previously sold iPod touch models would receive an upgrade to iOS 4 free of charge and
indicated iPod touch devices running on iOS 4 may from time-to-time receive future unspecified software upgrades and features free of charge.
The Company’s ESP for the software upgrade right included with each iPod touch sold beginning in June 2010 is $5.
The Company accounts for multiple element arrangements that consist only of software or software-related products, including the sale of
upgrades to previously sold software, in accordance with industry specific accounting guidance for software and software-related transactions.
For such transactions, revenue on arrangements that include multiple elements is allocated to each element based on the relative fair value of
each element, and fair value is generally determined by VSOE. If the Company cannot objectively determine the fair value of any undelivered
element included in such multiple-element arrangements, the Company defers revenue until all elements are delivered and services have been
performed, or until fair value can objectively be determined for any remaining undelivered elements. When the fair value of a delivered element
has not been established, but fair value exists for the undelivered elements, the Company uses the residual method to recognize revenue. Under
the residual method, the fair value of the undelivered elements is deferred and the remaining portion of the arrangement fee is allocated to the
delivered elements and is recognized as revenue.
Except as described for iPhone, iPad, iPod touch and Apple TV, the Company generally does not offer specified or unspecified upgrade rights to
its customers in connection with software sales or the sale of extended warranty and support contracts. A limited number of the Company’s
software products are available with maintenance agreements that grant customers rights to unspecified future upgrades over the maintenance
term on a when and if available basis. Revenue associated with such maintenance is recognized ratably over the maintenance term.
Fair Value Measurements
During 2009, the Company adopted the FASB’s new accounting standard on fair value measurements and disclosures for all financial assets and
liabilities. The new accounting principles defined fair value, provided a
8

Net Sales
The following table summarizes net sales and Mac unit sales by operating segment and net sales and unit sales by product during the three- and
nine-month periods ended June 26, 2010 and June 27, 2009 (in millions, except unit sales in thousands and per unit amounts):
Three Months Ended
June 26,
June 27,
2010
2009
Change

Nine Months Ended
June 26,
June 27,
2010
2009
Change

$ 6,227
4,160
910
1,825
2,578
$15,700

$ 4,474
2,505
560
703
1,492
$ 9,734

39%
66%
63%
160%
73%
61%

$17,312
13,234
2,580
5,524
6,232
$44,882

$13,745
8,575
1,645
2,118
4,615
$30,698

26%
54%
57%
161%
35%
46%

1,358
914
129
394
677
3,472

1,147
626
108
230
492
2,603

18%
46%
19%
71%
38%
33%

3,516
2,881
363
1,045
1,972
9,777

2,868
2,079
316
635
1,445
7,343

23%
39%
15%
65%
36%
33%

$ 1,301
3,098
4,399

$ 1,134
2,220
3,354

15%
40%
31%

$ 4,525
8,084
12,609

$ 3,235
6,644
9,879

40%
22%
28%

iPod
Other music related products and services (c)
iPhone and related products and services (d)
iPad and related products and services (e)
Peripherals and other hardware (f)
Software, service and other sales (g)
Total net sales
Unit Sales by Product :
Desktops (a)
Portables (b)
Total Mac unit sales

1,545
1,214
5,334
2,166
396
646
$15,700

1,492
958
3,060
0
340
530
$ 9,734

4%
27%
74%
N/M
16%
22%
61%

6,797
3,705
16,357
2,166
1,337
1,911
$44,882

6,528
3,018
8,427
0
1,084
1,762
$30,698

4%
23%
94%
N/M
23%
8%
46%

1,004
2,468
3,472

849
1,754
2,603

18%
41%
33%

3,385
6,392
9,777

2,395
4,948
7,343

41%
29%
33%

Net sales per Mac unit sold (h)
iPod unit sales
Net sales per iPod unit sold (h)
iPhone unit sales
iPad unit sales

$ 1,267
9,406
$ 164
8,398
3,270

$ 1,289
10,215
$ 146
5,208
0

$ 1,290
41,261
$ 165
25,887
3,270

$ 1,345
43,955
$ 149
13,364
0

Net Sales by Operating Segment :
Americas net sales
Europe net sales
Japan net sales
Asia-Pacific net sales
Retail net sales
Total net sales
Unit Sales by Operating Segment :
Americas Mac unit sales
Europe Mac unit sales
Japan Mac unit sales
Asia-Pacific Mac unit sales
Retail Mac unit sales
Total Mac unit sales
Net Sales by Product :
Desktops (a)
Portables (b)
Total Mac net sales

35

(2%)
(8%)
12%
61%
N/M

(4%)
(6%)
11%
94%
N/M

Table of Contents

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

Form 10-K
(Mark One)



ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the fiscal year ended September 25, 2010
or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from
to
Commission file number: 000-10030

APPLE INC.
(Exact name of registrant as specified in its charter)

California

94-2404110

(State or other jurisdiction of incorporation or organization)

(I.R.S. Employer Identification No.)

1 Infinite Loop
Cupertino, California

95014

(Address of principal executive offices)

(Zip Code)

Registrant’s telephone number, including area code: [phone]
Securities registered pursuant to Section 12(b) of the Act:
Common Stock, no par value

The NASDAQ Global Select Market

(Title of class)

(Name of exchange on which registered)

Securities registered pursuant to Section 12(g) of the Act: None
Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act.
Yes 

No

Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act.
Yes
No 
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act
of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject
to such filing requirements for the past 90 days.
Yes 
No
Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data
File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or
for such shorter period that the registrant was required to submit and post such files).
Yes 
No
Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K (section 229.405 of this chapter) is not
contained herein, and will not be contained, to the best of the registrant’s knowledge, in definitive proxy or information statements incorporated
by reference in Part III of this Form 10-K or any amendment to this Form 10-K. 
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting
company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange
Act.
Large accelerated filer
Non-accelerated filer


(Do not check if smaller reporting company)

Accelerated filer
Smaller Reporting Company

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act).
Yes
No 
The aggregate market value of the voting and non-voting stock held by non-affiliates of the registrant, as of March 27, 2010, was approximately

Table of Contents
Net Sales
Fiscal years 2010, 2009 and 2008 each spanned 52 weeks. An additional week is included in the first fiscal quarter approximately every six years
to realign fiscal quarters with calendar quarters.
The following table summarizes net sales and Mac unit sales by operating segment and net sales and unit sales by product during the three years
ended September 25, 2010 (in millions, except unit sales in thousands and per unit amounts):
2010

(a)
(b)

15%
28%
32%
18%
(9)%
14%

$16,552
9,233
1,728
2,686
7,292
$37,491

21%
36%
22%
62%
35%
31%

4,120
2,840
395
926
2,115
10,396

4%
13%
2%
17%
4%
7%

3,980
2,519
389
793
2,034
9,715

43%
18%
26%

$ 4,324
9,535
13,859

(23)%
9%
(3)%

$ 5,622
8,732
14,354

2%
23%
93%
NM
23%
7%
52%

8,091
4,036
13,033
0
1,475
2,411
$42,905

(12)%
21%
93%
NM
(13)%
9%
14%

9,153
3,340
6,742
0
1,694
2,208
$37,491

4,627
9,035
13,662

45%
25%
31%

3,182
7,214
10,396

(14)%
20%
7%

3,712
6,003
9,715

$ 1,279
50,312
$ 164
39,989
7,458

33

$18,981
11,810
2,279
3,179
6,656
$42,905

8,274
4,948
25,179
4,958
1,814
2,573
$65,225

Includes iMac, Mac mini, Mac Pro and Xserve product lines.
Includes MacBook, MacBook Air and MacBook Pro product lines.

29%
58%
75%
160%
47%
52%

$ 6,201
11,278
17,479

Net sales per Mac unit sold (h)
iPod unit sales
Net sales per iPod unit sold (h)
iPhone units sold
iPad units sold

2009

4,976
3,859
481
1,500
2,846
13,662

iPod
Other music related products and services (c)
iPhone and related products and services (d)
iPad and related products and services (e)
Peripherals and other hardware (f)
Software, service and other sales (g)
Total net sales
Unit Sales by Product:
Desktops (a)
Portables (b)
Total Mac unit sales

Change

$24,498
18,692
3,981
8,256
9,798
$65,225

Net Sales by Operating Segment:
Americas net sales
Europe net sales
Japan net sales
Asia-Pacific net sales
Retail net sales
Total net sales
Mac Unit Sales by Operating Segment:
Americas Mac unit sales
Europe Mac unit sales
Japan Mac unit sales
Asia-Pacific Mac unit sales
Retail Mac unit sales
Total Mac unit sales
Net Sales by Product:
Desktops (a)
Portables (b)
Total Mac net sales

Change

2008

(4)%
(7)%
10%
93%
NM

$ 1,333
54,132
$ 149
20,731
0

(10)%
(1)%
(11)%
78%
NM

$ 1,478
54,828
$ 167
11,627
0

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

Form 10-Q
(Mark One)



QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended December 25, 2010
or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from

to

.

Commission file number: 000-10030

Apple Inc.
(Exact name of Registrant as specified in its charter)
California

94-2404110

(State or other jurisdiction
of incorporation or organization)

(I.R.S. Employer Identification No.)

1 Infinite Loop
Cupertino, California

95014

(Address of principal executive offices)

(Zip Code)

Registrant’s telephone number, including area code: [phone]
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act
of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject
to such filing requirements for the past 90 days.
Yes 

No

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data
File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or
for such shorter period that the registrant was required to submit and post such files).
Yes 

No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting
company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange
Act.
Large accelerated filer
Non-accelerated filer


(Do not check if a smaller reporting company)

Accelerated filer
Smaller reporting company

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes

No 

921,278,012 shares of common stock issued and outstanding as of January 7, 2011

Net Sales
The following table summarizes net sales and Mac unit sales by operating segment and net sales and unit sales by product during the three
months ended December 25, 2010 and December 26, 2009 (in millions, except unit sales in thousands and per unit amounts):
December 25,

Three Months Ended
December 26,

2010

Net Sales by Operating Segment:
Americas net sales
Europe net sales
Japan net sales
Asia-Pacific net sales
Retail net sales
Total net sales
Net Sales by Product:
Desktops (a)
Portables (b)
Total Mac net sales

$

$
$

iPod
Other music related products and services (c)
iPhone and related products and services (d)
iPad and related products and services (e)
Peripherals and other hardware (f)
Software, service and other sales (g)
Total net sales
Unit Sales by Product:
Desktops (a)
Portables (b)
Total Mac unit sales

$

9,218
7,256
1,433
4,987
3,847
26,741

$

1,731
3,699
5,430

$

3,425
1,431
10,468
4,608
593
786
26,741

$
$

1,313
19,446
176
16,235
7,331

Change

$

$
$

6,092
5,024
783
1,813
1,971
15,683

51%
44%
83%
175%
95%
71%

1,692
2,758
4,450

2%
34%
22%

3,391
1,164
5,578
0
469
631
15,683

1%
23%
88%
NM
26%
25%
71%

1,234
2,128
3,362

$

1,227
2,907
4,134

Net sales per Mac unit sold (h)
iPod unit sales
Net sales per iPod unit sold (h)
iPhone unit sales
iPad unit sales
(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)

2009

(1%)
37%
23%

1,324
20,970
162
8,737
0

(1%)
(7%)
9%
86%
NM

Includes iMac, Mac mini, Mac Pro and Xserve product lines.
Includes MacBook, MacBook Air and MacBook Pro product lines.
Includes iTunes Store sales, iPod services, and Apple-branded and third-party iPod accessories.
Includes revenue recognized from iPhone sales, carrier agreements, services, and Apple-branded and third-party iPhone accessories.
Includes revenue recognized from iPad sales, services, and Apple-branded and third-party iPad accessories.
Includes sales of displays, wireless connectivity and networking solutions, and other hardware accessories.
Includes sales of Apple-branded operating system and application software, third-party software, and Mac and Internet services.
Derived by dividing total product-related net sales by total product-related unit sales.

NM = Not Meaningful
25

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

Form 10-Q
(Mark One)

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 26, 2011

⌧

or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from

to

.

Commission file number: 000-10030

APPLE INC.
(Exact name of Registrant as specified in its charter)
California

94-2404110

(State or other jurisdiction
of incorporation or organization)

(I.R.S. Employer Identification No.)

1 Infinite Loop
Cupertino, California

95014

(Address of principal executive offices)

(Zip Code)

Registrant’s telephone number, including area code: [phone]
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities
Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports),
and (2) has been subject to such filing requirements for the past 90 days.

⌧

No

⌧

Yes

No

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every
Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during
the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).
Yes

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller
reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2
of the Exchange Act.

⌧

Large accelerated filer
Non-accelerated filer

(Do not check if a smaller reporting company)

Accelerated filer
Smaller reporting company

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
No

⌧

Yes

924,754,561 shares of common stock issued and outstanding as of April 8, 2011

Net Sales
The following table summarizes net sales by operating segment and net sales and unit sales by product during the three- and sixmonth periods ended March 26, 2011 and March 27, 2010 (in millions, except unit sales in thousands and per unit amounts):
Three Months Ended
March 26,
March 27,
2011
2010
Change

$ 9,323
6,027
1,383
4,743
3,191
$24,667

$18,541
13,283
2,816
9,730
7,038
$51,408

$11,085
9,074
1,670
3,699
3,654
$29,182

67%
46%
69%
163%
93%
76%

$ 1,532
2,228
3,760

(6)%
59%
32%

$ 3,172
7,234
10,406

$ 3,224
4,986
8,210

(2)%
45%
27%

1,861
1,327
5,445
0
472
634
$13,499

(14)%
23%
126%
NM
23%
17%
83%

5,025
3,065
22,766
7,444
1,173
1,529
$51,408

5,252
2,491
11,023
0
941
1,265
$29,182

(4)%
23%
107%
NM
25%
21%
76%

1,009
2,751
3,760

1,147
1,796
2,943

(12)%
53%
28%

2,236
5,658
7,894

2,381
3,924
6,305

(6)%
44%
25%

9,017
18,647
4,694

iPod unit sales
iPhone unit sales
iPad unit sales

87%
49%
56%
151%
90%
83%

1,600
1,634
12,298
2,836
580
743
$24,667

iPod
Other music related products and services (c)
iPhone and related products and services (d)
iPad and related products and services (e)
Peripherals and other hardware (f)
Software, service and other sales (g)
Total net sales
Unit Sales by Product:
Desktops (a)
Portables (b)
Total Mac unit sales

$ 4,993
4,050
887
1,886
1,683
$13,499

$ 1,441
3,535
4,976

Net Sales by Operating Segment:
Americas net sales
Europe net sales
Japan net sales
Asia-Pacific net sales
Retail net sales
Total net sales
Net Sales by Product:
Desktops (a)
Portables (b)
Total Mac net sales

Six Months Ended
March 26,
March 27,
2011
2010
Change

10,885
8,752
0

(17)%
113%
NM

28,463
34,882
12,025

31,855
17,489
0

(11)%
99%
NM

(a) Includes iMac, Mac mini, Mac Pro and Xserve product lines.
(b) Includes MacBook, MacBook Air and MacBook Pro product lines.
(c) Includes sales from the iTunes Store, App Store, and iBookstore in addition to sales of iPod services and Apple-branded and
third-party iPod accessories.
(d) Includes revenue recognized from iPhone sales, carrier agreements, services, and Apple-branded and third-party iPhone
accessories.
(e) Includes revenue recognized from iPad sales, services, and Apple-branded and third-party iPad accessories.
(f) Includes sales of displays, wireless connectivity and networking solutions, and other hardware accessories.
(g) Includes sales from the Mac App Store in addition to sales of other Apple-branded and third-party Mac software and Mac and
Internet services.
NM = Not Meaningful
26

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

Form 10-Q
(Mark One)

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 25, 2011

⌧

or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from

to

.

Commission file number: 000-10030

APPLE INC.
(Exact name of Registrant as specified in its charter)
California

94-2404110

(State or other jurisdiction
of incorporation or organization)

(I.R.S. Employer Identification No.)

1 Infinite Loop
Cupertino, California

95014

(Address of principal executive offices)

(Zip Code)

Registrant’s telephone number, including area code: [phone]
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities
Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports),
and (2) has been subject to such filing requirements for the past 90 days.

⌧

No

⌧

Yes

No

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every
Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during
the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).
Yes

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller
reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2
of the Exchange Act.

⌧

Large accelerated filer
Non-accelerated filer

(Do not check if a smaller reporting company)

Accelerated filer
Smaller reporting company

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
No

⌧

Yes

927,090,886 shares of common stock issued and outstanding as of July 8, 2011

Net Sales
The following table summarizes net sales by operating segment and net sales and unit sales by product during the three- and ninemonth periods ended June 25, 2011 and June 26, 2010 (in millions, except unit sales in thousands and per unit amounts):
Three Months Ended
June 25,
June 26,
2011
2010
Change

Net Sales by Operating Segment:
Americas net sales
Europe net sales
Japan net sales
Asia-Pacific net sales
Retail net sales
Total net sales
Net Sales by Product:
Desktops (a)
Portables (b)
Total Mac net sales
iPod
Other music related products and services (c)
iPhone and related products and services (d)
iPad and related products and services (e)
Peripherals and other hardware (f)
Software, service and other sales (g)
Total net sales
Unit Sales by Product:
Desktops (a)
Portables (b)
Total Mac unit sales

$ 10,126 $ 6,227
7,098
4,160
1,510
910
6,332
1,825
3,505
2,578
$ 28,571 $ 15,700

Nine Months Ended
June 26,
2010
Change

63% $ 28,667 $ 17,312
71%
20,381
13,234
66%
4,326
2,580
247%
16,062
5,524
10,543
6,232
36%
$ 79,979 $ 44,882
82%

66%
54%
68%
191%
69%
78%

1,301
3,098
4,399

21% $ 4,752 $ 4,525
10,759
8,084
14%
16%
15,511
12,609

5%
33%
23%

1,325
1,545
1,571
1,214
13,311
5,334
6,046
2,166
517
396
696
646
$ 28,571 $ 15,700

(14)%
6,350
6,797
29%
4,636
3,705
150%
36,077
16,357
179%
13,490
2,166
31%
1,690
1,337
2,225
1,911
8%
82% $ 79,979 $ 44,882

(7)%
25%
121%
523%
26%
16%
78%

$

1,580 $
3,525
5,105

1,155
2,792
3,947

1,004
2,468
3,472

15%
13%
14%

3,391
8,450
11,841

3,385
6,392
9,777

0%
32%
21%

7,535
20,338
9,246

iPod unit sales
iPhone unit sales
iPad unit sales
(a)

June 25,
2011

9,406
8,398
3,270

(20)%
142%
183%

35,998
55,220
21,271

41,261
25,887
3,270

(13)%
113%
550%

Includes iMac, Mac mini, Mac Pro and Xserve product lines.

(b) Includes MacBook, MacBook Air and MacBook Pro product lines.
(c)

Includes sales from the iTunes Store, App Store, and iBookstore in addition to sales of iPod services and Apple-branded and
third-party iPod accessories.

(d) Includes revenue recognized from iPhone sales, carrier agreements, services, and Apple-branded and third-party iPhone
accessories.
(e)

Includes revenue recognized from iPad sales, services, and Apple-branded and third-party iPad accessories.

(f)

Includes sales of displays, wireless connectivity and networking solutions, and other hardware accessories.

(g) Includes sales from the Mac App Store in addition to sales of other Apple-branded and third-party Mac software and Mac and
Internet services.
28