(1)

Synopsys' fourth quarter ended on the Saturday nearest October 31.  For presentation purposes, the Unaudited Consolidated Statements of Operations refer to a calendar month end.

SYNOPSYS, INC.

Unaudited Consolidated Balance Sheets (1)

(in thousands, except par value amounts)

October 31, 2011

October 31, 2010

ASSETS:

Current assets:

  Cash and cash equivalents

$             855,077

$             775,407

  Short-term investments

148,997

163,154

           Total cash, cash equivalents and short-term investments

1,004,074

938,561

  Accounts receivable, net

203,124

181,102

  Deferred income taxes

58,536

73,465

  Income taxes receivable

25,545

18,425

  Prepaid and other current assets

46,776

36,202

          Total current assets

1,338,055

1,247,755

Property and equipment, net

159,517

148,580

Goodwill

1,289,286

1,265,843

Intangible assets, net

196,031

249,656

Long-term deferred income taxes

281,056

268,759

Other long-term assets

103,389

105,948

           Total assets

$          3,367,334

$          3,286,541

LIABILITIES AND STOCKHOLDERS' EQUITY:

Current liabilities:

  Accounts payable and accrued liabilities

$             302,176

$             312,850

  Accrued income taxes

3,079

8,349

  Deferred revenue

703,555

600,569

           Total current liabilities

1,008,810

921,768

Long-term accrued income taxes

92,940

128,603

Other long-term liabilities

108,076

101,885

Long-term deferred revenue

56,208

34,103

           Total liabilities

1,266,034

1,186,359

Stockholders' equity:

  Preferred stock, $0.01 par value: 2,000 shares authorized; none outstanding

-

-

  Common stock, $0.01 par value: 400,000 shares authorized; 143,308 and

      148,479 shares outstanding, respectively

1,433

1,485

  Capital in excess of par value

1,521,327

1,541,383

  Retained earnings

957,517

770,674

  Treasury stock, at cost: 13,956 and 8,786 shares, respectively

(358,032)

(197,586)

  Accumulated other comprehensive loss 

(20,945)

(15,774)

           Total stockholders' equity

2,101,300

2,100,182

           Total liabilities and stockholders' equity

$          3,367,334

$          3,286,541