Microsoft Corporation 2012 Annual Report

Other Income (Expense)

NOTE 3 — OTHER INCOME (EXPENSE)

The components of other income (expense) were as follows:

(In millions)          
Year Ended June 30, 2012   2011   2010
Dividends and interest income $   800   $   900   $   843
Interest expense (380)   (295)   (151)
Net recognized gains on investments 564   439   348
Net losses on derivatives (364)   (77)   (140)
Net gains (losses) on foreign currency remeasurements (117)   (26)   1
Other 1   (31)   14
Total $   504   $   910   $   915

Following are details of net recognized gains on investments during the periods reported:

(In millions)          
Year Ended June 30, 2012   2011   2010
Other-than-temporary impairments of investments $ (298)   $  (80)   $  (69)
Realized gains from sales of available-for-sale securities 1,418   734   605
Realized losses from sales of available-for-sale securities (556)   (215)   (188)
Total $   564   $   439   $   348