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  As Of               Filer                 Filing     As/For/On Docs:Pgs              Issuer               Agent

10/05/01  Intuit Inc                        10-K405     7/31/01    6:137                                    Bowne of Los Ang..Inc/FA

Document/Exhibit                   Description                      Pages   Size 

 1: 10-K405     Annual Report -- [X] Reg. S-K Item 405              HTML    934K 
 2: EX-10.17    Material Contract                                   HTML     11K 
 3: EX-10.22    Material Contract                                   HTML     19K 
 4: EX-10.25    Material Contract                                   HTML     93K 
 5: EX-21.01    Subsidiaries of the Registrant                      HTML     10K 
 6: EX-23.01    Consent of Experts or Counsel                       HTML     17K 

Table of Contents

SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 10-K

[X]		Annual Report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
		For the fiscal year ended July 31, 2001 or
[   ]		Transition report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Commission File Number 0-21180

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

Delaware		77-0034661
(State of Incorporation)		(IRS Employer Identification No.)

2535 Garcia Avenue, Mountain View, CA 94043
(Address of Principal Executive Offices, including zip code)

(650) 944-6000
(Registrant’s Telephone Number, including area code)

Securities registered pursuant to Section 12(b) of the Act: Securities registered pursuant to Section 12(g) of the Act:		None Common Stock, $0.01 par value Preferred Stock Purchase Rights

Indicate by a 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 if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K is not contained herein, and will not be contained, to the best of 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. [ X ]

As of September 28, 2001, there were 211,222,603 shares of the Registrant’s common stock, $0.01 par value, outstanding. This is the only outstanding class of common stock of the Registrant. As of that date, the aggregate market value of the shares of common stock held by non-affiliates of the Registrant (based on the closing price of $35.80 for the common stock as quoted by the Nasdaq Stock Market on that date), was approximately $6,925,914,683.

DOCUMENTS INCORPORATED BY REFERENCE

Portions of the Registrant’s definitive Proxy Statement for its Annual Meeting of Stockholders to be held in January 2002 are incorporated by reference into Part III of this report on Form 10-K.

Table of Contents

FISCAL 2001 FORM 10-K
INTUIT INC.

INDEX

Item				Page
PART I
ITEM 1:		Business		3
ITEM 2:		Properties		14
ITEM 3:		Legal Proceedings		14
ITEM 4:		Submission of Matters to a Vote of Security Holders		15
ITEM 4A:		Executive Officers of the Registrant		15
PART II
ITEM 5:		Market for Registrant’s Common Equity and Related Stockholder Matters		18
ITEM 6:		Selected Financial Data		19
ITEM 7:		Management’s Discussion and Analysis of Financial Condition and Results of Operations		20
ITEM 7A:		Quantitative and Qualitative Disclosures About Market Risk		36
ITEM 8:		Financial Statements and Supplementary Data		38
ITEM 9:		Changes in and Disagreements with Accountants on Accounting and Financial Disclosure		65
PART III
ITEM 10:		Directors and Executive Officers of the Registrant		65
ITEM 11:		Executive Compensation		65
ITEM 12:		Security Ownership of Certain Beneficial Owners and Management		65
ITEM 13:		Certain Relationships and Related Transactions		65
PART IV
ITEM 14:		Exhibits, Financial Statement Schedules and Reports on Form 8-K		65
Signatures				70

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PART I

CORPORATE BACKGROUND

Intuit® began operations in March 1983 and was incorporated in California in March 1984. In March 1993, we reincorporated in Delaware and completed our initial public offering. Our principal executive offices are located at 2535 Garcia Avenue, Mountain View, California, 94043, and our telephone number is (650) 944-6000. When we refer to “we,” “our” or “Intuit” in this Form 10-K, we mean the current Delaware corporation (Intuit Inc.) and its California predecessor, as well as all of our consolidated subsidiaries.

CAUTION REGARDING FORWARD-LOOKING STATEMENTS

Throughout this Form 10-K, you will find “forward-looking” statements, or statements about events or circumstances that have not yet occurred. In some cases, you can identify these statements by forward-looking words such as “may,” “might,” “will,” “should,” “expects,” “plans,” “anticipates,” “believes,” “estimates,” “predicts,” “potential” or “continue,” and other similar terms. These forward-looking statements may include, among other things, projections of our future financial performance, our anticipated growth, our strategies and anticipated trends in our businesses. These statements are only predictions, based on our current expectations about future events. Although we believe the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, performance or achievements or that predictions or current expectations will be accurate, and we will not update information in this Form 10-K if any forward-looking statement later turns out to be inaccurate. These forward-looking statements involve risks and uncertainties, and our actual results, performance or achievements could differ materially from those expressed or implied by the forward-looking statements. The important factors that could cause our results to differ are discussed under the section entitled “Management’s Discussion and Analysis of Financial Condition and Results of Operations — Risks That Could Affect Future Results,” beginning on page 29. We encourage you to read that section carefully.

BUSINESS OVERVIEW

Intuit’s Mission: Revolutionizing Financial and Business Management

Intuit’s mission is to revolutionize how people manage their financial lives, and how small businesses and accounting professionals manage their businesses. We are the leading provider of small business, tax preparation and personal finance software products and Web-based services that simplify complex financial tasks for consumers, small businesses and accounting professionals. Our principal products and services include Quicken®, QuickBooks®, Quicken TurboTax®, ProSeries®, Lacerte® and Quicken Loans™. Details about our products and services are provided beginning on page 5.

Business Strategy and Key Initiatives

Our strategy is to build and maintain a sustainable competitive advantage in each business we’re in. The following key initiatives support our business strategy:

•

Deliver innovative solutions to our customers that make complex tasks simple, and deliver great end-to-end customer experiences. During the past few years, we have delivered a number of new and innovative solutions to our customers, including the “Instant Data Entry” feature in our Quicken TurboTax products, our Live Tax Advice service available to all taxpayers, QuickBooks Online Billing, and QuickBase®, our Web-sharable information management solution. We’re also focused on ensuring that every customer contact with us is a great experience, in order to enhance the already-strong customer loyalty we enjoy.

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•		Utilize third-party relationships and acquisitions to improve our competitive position and drive revenue and profit growth. In the past few years we have established a number of key third party relationships, such as Wells Fargo for our QuickBooks Internet Gateway merchant account service, and we’ve also made a number of acquisitions, primarily in the small business and tax areas. These relationships and acquisitions have improved our competitive advantage by complementing and strengthening our existing businesses. We believe they position us well for future growth.
•		Improve profitability through operational rigor. We have improved our focus and execution in a number of areas, including resource allocation, process excellence and procurement. As a result of our improved resource allocation rigor, we identified two businesses where we were not on a path to achieve a sustainable competitive advantage, and we exited those businesses in fiscal 2001.
•		Put in place process and technology infrastructures that deliver competitive advantage and support profit growth. We have significantly strengthened and deepened our management team over the past 18 months, creating a number of new officer-level positions to bring in new expertise, including a chief technology officer and a chief information officer. We have also added senior leaders to head our procurement efforts and Six Sigma process excellence initiatives.
•		Be a great place to work and attract great people. Our employees are the key to our success. We strive to maintain a productive and performance-oriented work environment that supports employee growth and development and recognizes and rewards contributions.

“Right for My Business” Small Business Strategy

In September 2001, we announced our “Right for My Business” strategy for our Small Business Division, to better address the small business management market opportunity. Our focus is to be the right solution for every small business by providing tools and services that address the unique needs of each small business.

Industry-Specific Accounting Solutions. As part of that strategy, we intend to offer industry-specific accounting solutions to meet the specialized requirements of small businesses in selected vertical industries. We have announced the following three initiatives to achieve that goal:

•		We are developing industry-specific versions of QuickBooks, such as an edition of QuickBooks designed specifically for accountants, and an electronic cash register software solution designed for retailers.
•		We are expanding the Intuit Developer Network, a multifaceted initiative that includes giving software developers access to the application programming interfaces for certain of our small business products. Through the Intuit Developer Network we are encouraging third party software developers to develop applications that integrate with certain of our small business products. We expect that this will include applications that address the needs of small businesses in specific vertical industries.
•		We are actively pursuing acquisitions of companies that offer standalone business management solutions to small businesses in specific industries. For example, we have signed an agreement to acquire substantially all of the assets of OMware, Inc., the provider of “The Master Builder,” a leading business management solution for the construction industry.

Beyond Entry-Level Accounting. A second part of our “Right for My Business” strategy is to provide accounting solutions for companies that, due to their larger size or complexity, have more demanding accounting needs. Our product initiatives include QuickBooks Premier, which is being designed for small businesses that want more advanced accounting functionality. We are also working on an accounting software product for even larger, more complex businesses.

Business Management Solutions. The third part of our “Right for My Business” strategy is expansion of our efforts to provide business solutions that go beyond accounting software, to address a wider range of business management

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issues facing small businesses. We currently offer a number of business management tools, including payroll services and financial supplies, as well as QuickBase, our online database service that enables users to organize, manage and share a wide range of information over the Internet quickly, easily and at a reasonable cost. We plan to offer a QuickBooks retirement solution designed to offer small businesses a variety of retirement plan options, and a human resource management tool to help small businesses manage all aspects of employee administration.

PRODUCTS AND SERVICES

Intuit offers products and services in five principal business divisions: Small Business, Tax, Personal Finance, Quicken Loans and Global Business. Our primary products and services are described below. For financial information about these businesses, see “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” beginning on page 20 and Note 15 of the financial statements. For a description of principal risks associated with these businesses, see “Management’s Discussion and Analysis of Financial Condition and Results of Operations — Risks that Could Affect Future Results,” beginning on page 29.

Small Business Division

QuickBooks Software. Our QuickBooks product line brings extensive bookkeeping capabilities, as well as business management tools, to small business users in an easy-to-use design that does not require customers to be familiar with debit/credit accounting. QuickBooks for the Web™ provides basic financial and accounting management capabilities with any time, anywhere access. We also sell a variety of technical support programs to our QuickBooks customers through the QuickBooks Support Network.

Our QuickBooks 2001 products offer a variety of Web-enabled features, including QuickBooks Online Billing, which allows small businesses to send invoices online, and to utilize a third-party service provider to receive customer payments electronically. The QuickBooks Internet Gateway platform gives customers access to a range of online small business service offerings from third-party vendors, including the QuickBooks Merchant Account Service, which enables small businesses to accept credit card payments from their customers. Gateway vendors generally pay us a portion of their ongoing Gateway-generated revenues and/or per-customer fees, and often certain set-up and marketing fees as well, in order to participate in the program.

Employer Services. The mission of our Employer Services group is to help small business owners better manage key tasks relating to their employees. We offer three primary payroll services. Our Basic Payroll Service is a payroll tax table subscription service for small business customers that need current tax tables to prepare their own payrolls. Our Deluxe Payroll Service is an online payroll services that handles all aspects of payroll processing, including tax payments and filings. It is fully integrated with QuickBooks, so customer data entry is minimized. Our Premier Payroll Service provides traditional, full service payroll processing, tax payment and check delivery services on a private-label basis to customers of participating financial institutions. Our acquisition of EmployeeMatters, Inc. in December 2000 is enabling us to expand our employer services into new areas, including retirement solutions and human resource management tools.

Financial Supplies. We offer a range of financial supplies, many of which integrate with our small business, personal finance and professional tax software products. Examples of our supplies products include paper checks, envelopes, invoices, deposit slips, stationery and business cards, as well as tax forms, tax return presentation folders and other items for professional tax preparers. Many products can incorporate customer logos and offer a variety of color, font and design options.

Tax Division

Desktop Consumer Tax Software. Our Quicken TurboTax desktop products are designed to enable individuals and small business owners to prepare their own federal and state personal and business income tax returns easily, quickly and accurately. Our consumer tax products are designed to be easy to use, but sophisticated enough for complicated tax returns. The innovative “Instant Data Entry” feature enables taxpayers to import data from Form W-2s (wages)

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and Form 1099s (interest, dividends and stock transactions) from participating financial institutions directly into their tax forms, thereby saving significant time and increasing accuracy.

Web-Based Consumer Tax Preparation and Electronic Filing Services. Quicken TurboTax for the Web is an interactive tax preparation service that enables individual taxpayers to prepare their federal and state income tax returns entirely online. This service allows us to reach a different segment of consumer tax customers than those who use our desktop products, as a majority of Quicken TurboTax for the Web tax filers in fiscal 2000 and fiscal 2001 had not used tax preparation software before. Through our electronic filing center, customers of our desktop and Web-based tax preparation software can electronically file their federal tax returns, as well as state returns in most states that support electronic filing. Under the Quicken Tax Freedom Project, a philanthropic public service initiative designed to address the “digital divide,” we provide online tax preparation and electronic filing services at no charge to lower-income federal and state tax filers.

Other Consumer Tax-Related Services. Our Quick Cash service allows Quicken TurboTax users to apply for refund anticipation loans of up to $5,000 (less applicable fees), right from within the software. Our Tax Advisor service, which is available to all taxpayers, offers a referral network of professional tax experts that taxpayers can contact by phone, email or instant messaging to discuss their tax questions. The tax experts pay Intuit a portion of the fees they charge to the taxpayers.

Professional Tax Software. Our ProSeries and Lacerte tax products are designed for tax professionals who prepare tax returns for their individual and business clients. Customers can elect to license professional tax products for a single fee for unlimited annual use or to use them on a “pay-per-return” basis. ProSeries and Lacerte customers can file their customers’ tax returns through our electronic filing services. During fiscal 2001 we piloted NetTax®, a Web-based tax preparation product for professional tax preparers. During fiscal 2002, we will also offer EasyACCT Professional Accounting System products, which we acquired through our recent acquisition of Tax and Accounting Software Corporation. See Note 12 of the financial statements. These products allow accountants to process general ledger data for their clients, create financial statements and prepare tax forms (such as W-2s and 940s) for their clients.

IntuitAdvisor. IntuitAdvisor™ is a subscription-based Web site that offers a collection of Web-based tools to help tax accounting and financial professionals manage and grow their businesses more effectively. For example, the site enables professional tax preparers to set up internal “Intranet” sites to in order to share information and data and within their offices and with their clients. The solutions are designed to work with ProSeries and Lacerte tax preparation products.

Personal Finance Division

Quicken Software. Our Quicken line of desktop software products help users organize, understand and manage their personal finances. Quicken allows customers to reconcile bank accounts, record credit card and other transactions, write checks, and track investments, mortgages and other assets and liabilities. Many customers use Quicken products to manage their home-based businesses. We provide a range of online transaction-based services related to Quicken, including bill payment and online banking services through the Quicken desktop product, as well as a Quicken credit card.

Quicken.com. Quicken.com™ is our primary personal finance Web site. It enables customers to automate financial management tasks and make better financial decisions by giving them software tools, resources and objective information about a variety of personal finance topics, including investing, mortgage, insurance, taxes, banking and retirement, in a single online destination. Quicken.com content is created by Intuit as well as by third party publishers and financial experts. We offer certain products and services — such as insurance and bill payment — through contractual arrangements with third party service providers of these services. We do not currently charge customers a fee to access most features on Quicken.com, but we receive revenue from financial institutions and other companies that advertise and/or sell their products or services through links from Quicken.com.

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Quicken Loans Division

Our Quicken Loans business allows consumers to shop and apply for residential mortgages online (through the Quicken Loans Web site or by telephone through our mortgage call center), or, for Michigan residents, through traditional branch offices. We offer a variety of loans directly to consumers, including conventional, government-insured, sub-prime and home equity loans. We manage the entire loan process from origination through funding, and then sell the loans and post-closing servicing obligations in bulk to participating financial institutions. As we have focused more resources on the Web site and call center during the past two years, the percentage of our mortgage revenue generated and processed through the Web site and/or through the call center increased from 18% in fiscal 1999 to 37% in fiscal 2000 and to 50% in fiscal 2001. We are continuing to develop ways to automate and streamline the loan process.

Global Business Division

We have major facilities in Japan and Canada, and we also serve markets across Europe, Southeast Asia and other selected locations. In all international markets except Canada and Europe, we focus primarily on small business products. We have established third-party relationships with local companies in certain locations to help us better address specific markets.

Japan. The principal product offered by Intuit KK, our Japanese subsidiary, is Yayoi®, a small business accounting product that addresses the middle segment of the small business market in Japan. Sales of Yayoi products also generate recurring revenue from ongoing support contracts that are sold with the software.

Canada. We offer localized versions of QuickBooks and Quicken in Canada, as well as QuickTax™ consumer and professional tax products. We also have a relationship with Rogers Media, Inc., a leading media company in Canada, under which we offer Quicken.ca^SM, a personal finance Web site with content similar to Quicken.com.

Other. We offer localized versions of QuickBooks and Quicken in selected European markets, including the United Kingdom and Germany. We have development, marketing and distribution arrangement with Lexware, a leading business software company in Germany, as well as relationships with other local distributors and agents. We offer localized versions of QuickBooks and Quicken products in Australia, New Zealand, Hong Kong, and Singapore, as well as other parts of Southeast Asia, through a development, marketing and distribution arrangement with Australia-based Reckon Limited.

PRODUCT DEVELOPMENT

During the past several years, we have devoted significant resources to developing and expanding newer products and services, including QuickBooks for the Web, QuickBooks Deluxe Payroll Service, the Intuit Developer Network, Web-based tax preparation and electronic tax filing, and our Quicken.com and Quicken Loans Web sites. Our research and development expenses were $143.4 million in fiscal 1999, $169.1 million in fiscal 2000 and $207.1 million in fiscal 2001. We supplement our internal development efforts by acquiring strategically important products and technology from third parties, or establishing other relationships that enable us to expand our business more rapidly.

For our desktop software products, our recent development efforts have focused on improving the ease with which they can be supported and maintained in order to create a better customer experience, as well as adding new features. We are also focused on incorporating technology in our products and services to address customer concerns about privacy and security without sacrificing product performance and ease of use.

Over the next few years, we expect that our research and development efforts will be focused in two primary areas. We plan to add complementary products and services to drive additional, recurring revenue from our core products, such as employee administration products and services for our QuickBooks customers. We are also redefining the markets we serve to increase our potential customer base, and we are developing products and services to address customer needs in those broader markets. We strive to maintain a balance between relatively low-risk investments to

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address existing customer demands, and investments in more innovative but higher-risk projects with potentially greater returns.

Historically, our desktop software products have tended to have a fairly predictable, structured development cycle of about a year, with annual releases. For our small business desktop products, we expect to supplement annual releases of our core QuickBooks product with ongoing releases of new industry-specific products to address the specialized requirements of selected vertical industries, as well as products for larger or more complex businesses. The development cycles for our Internet-based offerings and our other service offerings are less predictable and generally much shorter than for our desktop products, with greater opportunities for a “launch and learn” approach. The development of tax preparation software presents a unique challenge because of the demanding annual development cycle required to incorporate annual tax law changes each year. For a description of other risks and challenges we face relating to our product development, see “Management’s Discussion and Analysis of Financial Condition and Results of Operations — Risks That Could Affect Future Results.”

MARKETING, SALES AND DISTRIBUTION

Markets

Many of the markets that we compete in are characterized by rapidly changing customer demands, continuous technological changes and improvements, shifting industry standards and frequent new product introductions by competitors. In addition, the Internet has shifted more purchasing leverage to consumers by greatly enhancing their ability to make product and price comparisons. Market and industry changes can quickly render existing products and services obsolete, so our marketing success depends on our ability to respond rapidly to these changes with new or enhanced products and services, new business models, alternative distribution methods, different competitive strategies and other changes to the way we do business.

Retail Distribution

We market our desktop software in North America through traditional retail software outlets, computer superstores, office and warehouse clubs and general mass merchandisers, with mass merchants becoming an increasingly important channel during the past few years. In international markets, we also rely on distributors, value-added resellers and other third parties, who sell products into the retail channel.

We continue to benefit from strong relationships with a number of major retailers, which allows us to minimize our dependency on any specific retailer. We are reducing our dependency on distributors as we ship more of our products directly to individual retail locations. See “Manufacturing and Distribution.” No retailer accounted for 10% or more of our total net revenue during the past three fiscal years, and no distributor met this threshold in fiscal 2001. One distributor, Ingram Micro Inc., accounted for 16% of total net revenue in fiscal 1999 and 10% in fiscal 2000.

We ship more products to our retailers than we expect them to sell in order to reduce the risk that they will run out of products. This is particularly true for our tax products. As a result, we often experience significant levels of product returns from the retail channel. See “Management’s Discussion and Analysis of Financial Condition and Results of Operations — Risks That Could Affect Future Results.” In addition, the recent slowdown in consumer demand for software may result in software becoming a less important category for retailers. As a result of this trend, we may face challenges in ensuring good product placement within retail stores. See “Competition” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations — Risks That Could Affect Future Results.”

Direct Sales and Electronic Distribution

We use various direct sales campaigns (including mail and telephone solicitations, direct-response newspaper and magazine advertising, and television and radio advertising) to generate software orders, stimulate retail demand and generally maintain and increase consumer awareness of our products. Direct marketing campaigns are one of the most effective ways to encourage existing customers to purchase additional products and services, including software

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upgrades. Direct sales often generate significantly higher revenue and profit per unit than retail sales (particularly for our small business and tax products). Direct sales make up a significant portion of total desktop software revenue, accounting for approximately a third of our desktop revenue in fiscal 2001.

Many of our direct customers choose to order and/or take delivery of products electronically through the Quicken Store^SM and other company Web sites. Electronic ordering and delivery are generally more convenient for customers and more cost-efficient for Intuit. Electronic delivery has been a particularly effective method of distribution for our Quicken TurboTax state tax preparation products and for product updates for our professional tax products. During fiscal 2001, approximately 13% of our total net revenue was generated by products ordered and/or delivered electronically.

OEM and Other Sales Channels

We have relationships with a number of personal computer “original equipment manufacturers,” or OEMs, including Compaq Computer Corporation and Hewlett-Packard Company, that enable us to generate sales in two ways. First, the OEMs “pre-bundle” entry-level versions of certain desktop software products on the computer systems that the OEMs sell to their customers. Although these pre-bundled OEM sales sometimes generate little revenue or profit for Intuit (due to the low prices that the OEMs may pay for the products), they are a good source of new customers. The second source of revenue from the OEM channel is “after-market” programs, in which customers who are purchasing computers can select and purchase software products that they want to have pre-installed. Revenues generally reflect retail pricing but our delivery costs are relatively low. We have a franchise/corporate direct sales program through which we make products and services available to a large number of individual users under an enterprise license with the franchise or corporation with which the users are associated. We also have a small internal sales force that focuses on sales of advertising and sponsorships on Quicken.com, as well as advertising within our desktop products.

COMPETITION

Overview

We face intense competition in almost all of our business areas, both domestically and globally. Some of our existing competitors have significantly greater financial, technical and marketing resources than we do. In addition, the competitive landscape can shift rapidly as new companies enter markets in which we compete. See “Management’s Discussion and Analysis of Financial Condition and Results of Operations — Risks That Could Affect Future Results.”

For our desktop software, we believe the most important competitive factors are product features, ease of use, the size of the installed customer base, brand name recognition, price, product and support quality and access to distribution channels. We believe we compete effectively on most of these factors, as our three principal desktop software products (QuickBooks, Quicken TurboTax, and Quicken) are the leading products in the retail sales channel for their respective categories.

For most of our products and services (including Internet-based products and services) other than desktop software, we believe the most important competitive factors are features and ease of use, brand name recognition, speed in getting new products and services to market, and the ability to distribute them effectively (through generating Web site traffic or through traditional retail and direct distribution). For our service offerings, service reliability and scalability of operations are also important factors. In addition, the competitive success of some of our Internet-based products will depend on greater availability of broadband distribution. Some of our non-desktop products and services, such as Quicken TurboTax for the Web and electronic tax filing, have initially established solid competitive positions. However, the markets for many of our products and services are still emerging and the competitive landscape is constantly evolving.

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Small Business Division

Competitors for our small business accounting software include companies such as Peachtree Software, which is owned by The Sage Group PLC, MYOB Group, pure Web-based accounting software providers such as NetLedger, and Microsoft, which recently announced a new small business product initiative in conjunction with Great Plains, which it acquired earlier this year. In addition to established competitors, other potential competitors have expressed significant interest in providing accounting and other products and services to small businesses. Our new strategic initiative to expand the depth and breadth of our small business offerings will expose us to additional competition from others who are already offering industry-specific accounting solutions, larger or more complex accounting solutions, and business management tools and services.

Our payroll, human resource and benefits administration services compete directly with other employer services, traditional payroll service providers and Web-based service providers. Significant competitive factors include distribution channels, a highly fragmented market including financial institutions that are developing or promoting their own payroll services, and offerings by non-traditional competitors such as Microsoft’s b-Central. The majority of our growth in payroll services comes from customers who have not previously used any payroll service, rather than from customers who have used services from a competitor. We face direct competition in our Premier Payroll Service business from traditional payroll services offered by a number of companies, including Paychex and ADP. Our Deluxe Payroll Service competes directly with new companies that are offering Web-based payroll services as well as more established companies that are launching Web-based services. Peachtree and others also offer tax table subscription services that compete directly with our Basic Payroll Service.

Our financial supplies business competes with a number of business forms companies, such as New England Business Service and Deluxe Business Systems, as well as with direct mail check printers, banks and a number of smaller-scale Internet-based printing companies. In addition, our QuickBooks products include some features (such as customizable invoicing) that compete with our supplies products. Online bill payment services, and online payroll services with direct deposit capabilities also offer competitive alternatives to printed checks. Significant competitive factors for the supplies business include ordering convenience, methods of reaching customers, product quality, speed of delivery and price. We believe convenient access to our large QuickBooks and Quicken customer bases is a significant competitive advantage for us.

Tax Division

Competition in consumer tax is intense. Our major domestic competitor for both desktop and Web-based consumer tax software continues to be H&R Block (the makers of TaxCut software). However, Microsoft offered a competitive product in fiscal 2000, and major new competitors may enter these markets in the future. In particular, Web-based tax preparation is a relatively new service, and we expect the competitive landscape to evolve as more competitors enter the market and others consolidate. We also face potential competitive challenges from electronic tax preparation and filing services offered by federal and state governments. See “Management’s Discussion and Analysis of Financial Condition and Results of Operations — Risks That Could Affect Future Results.”

The professional tax preparation software marketplace has many competitors. Our largest competitors in the U.S. are CCH Incorporated, with its Computax product line, and RIA, with its Fast-Tax and Creative Solutions offerings. In the past, the professional tax market has been highly fragmented, but it has experienced some consolidation in recent years.

Personal Finance Division

In desktop personal finance software, Microsoft is our primary domestic competitor. We also face competition from Web-based personal finance tracking and management tools that are becoming increasingly available at no cost to consumers. There are many competitors for our other personal finance products and services. For example, our Quicken.com site competes for traffic, and advertising and sponsorship sales, with online financial publishers, the financial areas on numerous online services such as Yahoo!, and financially-oriented Web sites such as Microsoft’s Money Central. Certain portals and financial institutions also provide service offerings such as Web-based bill

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payment, that compete with services we offer on Quicken.com. We also face increasing competition from financial institutions that are developing their own financial software and Web sites.

Quicken Loans Division

Our Quicken Loans mortgage business competes with traditional providers of mortgage loan products, as well as with other online service providers. Competitors include a number of smaller companies with a very narrow product focus (such as E-LOAN), as well as larger, more diversified companies (such as Countrywide Credit Industries, Inc.).

Global Business Division

In Japan, our primary competitors in the small business accounting arena are OBC, PCA and Sorimachi. In Canada, we face competition from a number of companies in the small business arena, including Computer Associates International, Inc. and MYOB Group. The primary international competitor for our consumer tax business is Taxamatic, Inc., the makers of TAXWIZ, and the primary international competitor for our professional tax business is CCH Canadian Limited. Our primary global competitor in the personal finance area is Microsoft. In Europe, we face competition from The Sage Group PLC (based in the United Kingdom), Bhuldata (Wiso) and Microsoft in the small business market, as well as competition from Web-based accounting products that are becoming available. This increasing competition may have a more significant impact on our global business in the future, as the focus of our European business is shifting towards the small business market. Many of the competitors identified above, including MYOB, Sage and Microsoft, also compete with us in other global markets.

CUSTOMER SERVICE AND TECHNICAL SUPPORT

We provide customer service and technical support by telephone, fax, e-mail and our customer service and technical support Web sites. We have full-time customer service and technical support staffs, which we supplement with seasonal employees and outsourcing during periods of peak call volumes, such as during the tax return filing season, or following a major product launch.

During the past few years, we have focused on developing support capabilities that can supplement, or in some situations replace, telephone service and support. For example, customers can use our Web sites to find answers to commonly asked questions, check on the status of a product order and receive bug fixes electronically. Alternative service and support methods are less expensive for us and are often more efficient and effective for customers as well. During fiscal 2001, we initiated a number of Six Sigma process excellence projects in our customer service and technical support operations. We believe these projects are critical to our ongoing efforts to provide better service to customers at the same or lower cost.

We generally charge customers for technical support, but we do not charge for product installation or product defect issues, or fax, email and “self-help” support through our technical support Web sites. Our QuickBooks customers can purchase a variety of technical support plans, while Quicken customers pay a per-minute fee. Quicken TurboTax customers pay for technical support during evening and weekend hours. For ProSeries and Lacerte customers, the cost of technical support is included in the product purchase price.

Despite our efforts to adequately staff and equip our customer service and technical support operations, we cannot always respond promptly to customer requests for assistance. When we experience customer service and support problems, they can adversely affect customer relationships and our financial results. See “Management’s Discussion and Analysis of Financial Condition and Results of Operations — Risks That Could Affect Future Results.”

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MANUFACTURING AND DISTRIBUTION

Desktop Software

The major steps involved in manufacturing desktop software are duplicating CDs and floppy disks, printing boxes and related materials, and assembling and shipping the final products. We have a manufacturing agreement with Modus Media International, Inc. under which Modus provides all outsourced manufacturing related to our retail and direct launches of QuickBooks, Quicken TurboTax and Quicken. Modus has operations in multiple locations to provide redundancy. We also have an in-house manufacturing and shipping facility to handle low-volume products, and to handle a portion of the manufacturing and shipping for direct sales orders, primarily after the initial product launch orders are filled. We have multiple sources for all of our raw materials and availability has not been a problem for us in the past.

Our retail product launches have become operationally more complex over the past few years. We have evolved from shipping to a few hundred distribution centers (with distributors delivering products to individual retail locations) to a “direct to storefront” model in which we ship products directly to thousands of individual retail locations. This allows us to be more responsive to the needs of our retail accounts. We have an agreement with Ingram Micro Logistics under which Ingram handles all logistics, fulfillment and other distribution functions for our retail launches of QuickBooks, Quicken TurboTax and Quicken.

We believe that using these two vendors (Modus Media and Ingram Micro Logistics) to handle essentially all manufacturing and distribution, respectively, for our three primary retail product launches improves the efficiency and reliability of our product launches, and enables us to move more quickly to the direct-to-storefront model preferred by many of our retailers. It also allows us to better manage inventory levels. However, exclusive reliance on one vendor for specific functions can have severe negative consequences on our business, revenue and operating results if a vendor fails to perform for any reason. See “Management’s Discussion and Analysis of Financial Condition and Results of Operations — Risks That Could Affect Future Results.”

Prior to major product releases, we tend to have significant levels of backlog, but at other times backlog is minimal and we normally ship products within a few days of receiving an order. Because of this fluctuation in backlog, we believe that backlog is not an important measure of our future sales.

Internet-based Products and Services

Intuit’s data centers house most of the systems, networks and databases required to operate and deliver our Internet-based products and services. Through our data centers, we connect customers to products and services, and we store the vast amount of data that represents the content on our Web sites. Our data centers consist of approximately 2,000 servers and 200 databases located primarily in three locations. In an effort to reduce unavailability, or “down time” for our Internet-based products and services, we generally follow industry-standard practices for creating a fault-tolerant environment but we do not have complete redundancy. We also rely on a third party to host our Quicken.com Web site. Despite our efforts to maintain continuous and reliable server operations, like all providers of Internet-based products and services, we occasionally experience unplanned outages or technical difficulties. See “Management’s Discussion and Analysis of Financial Condition and Results of Operations — Risks That Could Affect Future Results.”

PRIVACY AND SECURITY OF CUSTOMER INFORMATION

Customers are becoming increasingly concerned about the privacy and security of information they provide to product and services providers. This concern applies to information provided in connection with Internet-based products and services, as well as information provided through more traditional channels, such as product registration cards. Due to the nature of the information customers provide to us, we are subject to various federal and state laws relating to privacy and security. Additional laws of this type may be passed in the future, which could result in significant compliance costs. See “Management’s Discussion and Analysis of Financial Condition and Results of Operations — Risks That Could Affect Future Results.”

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We have established guidelines and practices to help ensure that customers are aware of, and can control, how we use information about them. All publicly-accessible Intuit-owned and operated Web sites at which customer data is collected (including Quicken.com, QuickBooks.com and TurboTax.com) have been certified by TRUSTe, an independent, non-profit privacy organization that operates a Web site certification program to alleviate users’ concerns about online privacy. Each of our Web sites, as well as our software products, has a privacy statement providing notice to customers of our privacy practices, as well as providing them the opportunity to furnish instructions with respect to use of their data.

To address security concerns, we use industry-standard security safeguards to help protect the information customers give to us from loss, misuse and unauthorized alteration. Whenever customers transmit sensitive information, such as a credit card number or tax return data, to us through our Web site, we provide them access to our servers that allow encryption of the information as it is transmitted to us. We work to protect personally identifiable information stored on the Web site’s servers from unauthorized access using commercially available computer security products, such as firewalls, as well as internally developed security procedures and practices.

Despite our efforts to address customer concerns about privacy and security, we believe these issues may still pose a significant risk to Intuit and other companies, especially companies doing business over the Internet. During the past two years we have faced lawsuits and negative publicity relating to privacy issues. Our response to these allegations has been that we do not share any personally identifiable information except as disclosed in our privacy policies. A major breach of customer privacy or security, even by another company, could have serious consequences for our businesses. See “Management’s Discussion and Analysis of Financial Condition and Results of Operations — Risks That Could Affect Future Results” and “Legal Proceedings.”

GOVERNMENT REGULATION

We offer several regulated products and services through separate subsidiary corporations. For example, our Quicken Loans business is operated by a subsidiary that is subject to federal and state mortgage lender regulations. Our Quicken Investment Services, Inc. subsidiary, which is responsible for certain of the investment-related features in our products and services, is registered as an investment adviser with the SEC and is subject to some state regulatory laws as well. Our Quicken products allow customers of participating brokerages to trade securities through their broker’s Web site. We believe we have structured this feature in a way that does not subject Intuit to direct government regulation under federal and/or state securities broker-dealer laws. However, it is possible that these services, or other services we may offer in the future, may become regulated under broker-dealer laws or other regulations. Our new strategic initiative to expand the depth and breadth of our small business offerings may expose us to additional government regulation, particularly in the areas of retirement planning and other employer services. We continually analyze new business opportunities, and any new businesses that we pursue may require additional costs for regulatory compliance.

Current government regulation poses a number of risks to us, including potential liability to customers and/or penalties and sanctions by government regulators. Future regulation could hamper the growth of our businesses. See “Management’s Discussion and Analysis of Financial Condition and Results of Operations — Risks That Could Affect Future Results.”

INTELLECTUAL PROPERTY

We rely on a combination of copyright, patent, trademark and trade secret laws, and employee and third-party nondisclosure and license agreements, to protect our software products and other proprietary technology. While our proprietary technology is important, we believe our success depends more heavily on the innovation and technical skills of our employees. We do not own all of the software and other technologies used in our products and services, but we have the licenses from third parties that we believe are necessary and appropriate for using that technology in our current products.

We consider our principal trademarks (including Intuit, QuickBooks, Quicken, Quicken TurboTax and Quicken Loans) to be important assets and have registered these and other trademarks and service marks in the U.S. and many

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foreign countries. The initial duration of trademark registrations varies from country to country and is 10 years in the U.S. Most registrations can be renewed perpetually at 10-year intervals.

We face a number of risks relating to our intellectual property, including persistent unauthorized copying, or “piracy” of our desktop software products, and the risk of third party infringement claims. See “Management’s Discussion and Analysis of Financial Condition and Results of Operations — Risks That Could Affect Future Results.”

EMPLOYEES

As of September 30, 2001, we had approximately 6,000 full-time employees, and about 100 part-time and/or seasonal employees, located in the United States, Canada, Japan and the United Kingdom. We believe our future success and growth will depend on our ability to attract and retain qualified employees in all areas of our business. We do not currently have any collective bargaining agreements with our employees, and we believe employee relations are generally good. Although we have employment-related agreements with a number of key employees, these agreements do not guarantee continued service. We believe we offer competitive compensation and a good working environment. However, we face intense competition for qualified employees, and we expect to face continuing challenges in recruiting and retention.

ITEM 2
PROPERTIES

Our principal offices and corporate headquarters are located in Mountain View, California. We lease the majority of our Mountain View facilities under leases with staggered eight-year terms that we entered into in 1994. Our total available Mountain View facilities consist of approximately 482,000 square feet. We maintain a number of leased facilities in San Diego, California, consisting of approximately 320,000 square feet. These facilities are used for general office space, a data center and a manufacturing and distribution center. The San Diego leases have expiration dates ranging from 2003 through 2007. We also lease approximately 135,000 square feet in Tucson, Arizona, where our primary customer service call center is located. The Tucson lease expires in 2009. See Note 17 of the financial statements for information about our lease commitments. We also lease or own facilities in a number of other domestic locations, including Plano, Texas (where our Lacerte subsidiaries are located); Reno, Nevada (headquarters for our payroll business); and Livonia, Michigan (where our Quicken Loans business is headquartered). We also lease or own facilities in Canada, England and Japan.

We believe our facilities are adequate for our current and near-term needs, and that we will be able to locate additional facilities as needed.

ITEM 3
LEGAL PROCEEDINGS

On March 3, 2000, a class action lawsuit, Bruce v. Intuit Inc., was filed in the United States District Court, Central District of California, Eastern Division. Two virtually identical lawsuits were later filed: Rubin v. Intuit Inc., was filed on March 8, 2000 in the United States District Court, Southern District of New York and Newby v. Intuit Inc. was filed on April 27, 2000, in the United States District Court, Central District of California, Eastern Division. The Bruce and Newby lawsuits were consolidated into one lawsuit, In re Intuit Privacy Litigation, filed on July 28, 2000 in the United States District Court of California, Eastern Division. Following Intuit’s successful motion to dismiss several of the claims, an amended complaint was filed on May 2, 2001. A similar lawsuit, Almanza v. Intuit Inc. was filed on March 22, 2000 in the Superior Court of State of California, San Bernardino County, Rancho Cucamonga Division. An amended complaint in the Almanza suit was filed on October 26, 2000. These purported class actions allege violations of various federal and California statutes and common law claims for invasion of privacy based upon the alleged intentional disclosure to third parties of personal and private customer information entered at Intuit’s Quicken.com Web site. The complaints seek injunctive relief, orders to disgorge profits related to the

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alleged acts, and statutory and other damages. Intuit believes these lawsuits are without merit and intends to defend the litigation vigorously.

Intuit is subject to other legal proceedings, as well as demands, claims and threatened litigation, that arise in the normal course of our business. We currently believe that the ultimate amount of liability, if any, for any pending claims of any type (either alone or combined) will not materially affect our financial position, results of operations or liquidity. However, the ultimate outcome of any litigation is uncertain, and either unfavorable or favorable outcomes could have a material negative impact. Regardless of outcome, litigation can have an adverse impact on Intuit because of defense costs, diversion of management resources and other factors.

ITEM 4
SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

Not applicable.

ITEM 4A
EXECUTIVE OFFICERS OF THE REGISTRANT

The following table shows executive officers and their areas of responsibility as of September 30, 2001. Biographies are included after the table.

Mr. Bennett has been President and Chief Executive Officer and a member of the Board of Directors since January 2000. He also served as acting Senior Vice President of the Small Business Division at Intuit from May 2001 to July 2001. Prior to joining Intuit, Mr. Bennett was an Executive Vice President and a member of the board of directors of GE Capital, the financial services subsidiary of General Electric Corporation, from December 1999 to January 2000. From July 1999 to November 1999 he was President and Chief Executive Officer of GE Capital e-Business. He was President and Chief Executive Officer of GE Capital Vendor Financial Services from April 1996 through June 1999. Mr. Bennett also serves as a director of InsWeb Corporation (an online insurance marketplace). He holds a Bachelor of Arts degree in Finance and Real Estate from the University of Wisconsin.

Mr. Campbell has been a director of Intuit since May 1994. He has served as Chairman of the Board since August 1998 and was Acting Chief Executive Officer from September 1999 until January 2000. He also served as Intuit’s

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President and Chief Executive Officer from April 1994 through July 1998. Mr. Campbell also serves on the board of directors of SanDisk Corporation (a computer storage devices company) Apple Computer, Inc. (a computer company) and Loudcloud, Inc. (a provider of Internet infrastructure services). He is a member of SanDisk’s Compensation Committee, Apple’s Audit Committee and Loudcloud’s Compensation Committee. Mr. Campbell holds both a Bachelor of Arts and a Masters in Business Administration degree in Economics from Columbia University.

Mr. Cook, a founder of Intuit, has been a director of Intuit since March 1984 and is currently Chairman of the Executive Committee of the Board. He served as Intuit’s Chairman of the Board from March 1993 through July 1998. From March 1984 to April 1994, he also served as President and Chief Executive Officer of Intuit. Mr. Cook also serves on the board of directors of Amazon.com, Inc. (an online merchant), eBay Inc. (an electronic commerce company) and The Procter & Gamble Company (a consumer products company) and is on the board of visitors of the Harvard Business School Foundation. Mr. Cook holds a Bachelor of Arts degree in Economics and Mathematics from the University of Southern California and a Masters in Business Administration from Harvard Business School.

Mr. Allanson has been Senior Vice President, Tax Division since April 2001. He joined Intuit in September 2000 as Vice President of Tax Strategy. Prior to joining Intuit, he was with General Electric Corporation from February 1993 through August 2000, serving as President of GE Capital Colonial Pacific Leasing (a vendor financial services business) from October 1998 to August 2000. He was Sales Effectiveness Leader and General Manager from September 1997 to October 1998 and was Marketing Manager, Equipment Business (an electrical distribution and control business) from May 1995 through September 1997. Mr. Allanson holds a Bachelor of Science degree in Mechanical Engineering from Auburn University.

Mr. Hrastinski has been Senior Vice President and Chief Information Officer since joining Intuit in August 2001. Prior to joining Intuit, Mr. Hrastinski was with Ariba, Inc., serving as Senior Vice President and Chief Information Officer, Information Technology Services and Facilities from December 1999 to July 2001, and as Vice President and Chief Information Officer, from May 1999 until December 1999. He was Vice President, Global Information Systems and Chief Information Officer at Symantec Corporation from May 1994 to May 1999. Mr. Hrastinski holds a Bachelor of Science in Commerce degree in Business Management from the University of Louisville.

Mr. Ihrie has been Senior Vice President and Chief Technology Officer since joining Intuit in November 2000. He was Acting Chief Information Officer from January 2001 to August 2001. Prior to joining Intuit, Mr. Ihrie was Senior Vice President of Technology for ADP Claims Solutions Group from July 1996 to October 2000, and Senior Vice President of Product Development for Dealer Services at ADP from August 1990 to July 1996. Mr. Ihrie earned Bachelor of Science degrees in Mathematics and Management from Massachusetts Institute of Technology and a Master of Science in Computer Science from U.C. Berkeley.

Ms. Norrington has been Senior Vice President, Small Business Division since joining Intuit in July 2001. Prior to joining Intuit, Ms. Norrington was an officer of General Electric Corporation and held a variety of senior business positions, including President and Chief Executive Officer of GE Fanuc Automation from April 2000 to July 2001, President and Chief Executive Officer of General Electric’s Commercial Shopping Network from November 1999 to April 2000, General Manager, Components Operation from January 1998 through November 1999, and General Manager, Equipment Business from January 1996 through January 1998. Ms. Norrington holds a Bachelor of Science degree in Finance and Marketing from the University of Maryland and a Masters in Business Administration from Harvard Business School.

Mr. Santora has been Senior Vice President since March 1999 and Chief Financial Officer since July 1997. He served as Vice President of Finance from November 1996 to March 1999. He joined Intuit as Corporate Controller in January 1996. Mr. Santora, who is a certified public accountant, holds a Bachelor of Science degree in Accounting from the University of Illinois and Masters in Business Administration from San Jose State University.

Mr. Stern has been Senior Vice President, Corporate Development and Strategy since December 2000. Prior to that, he was Senior Vice President, Corporate Strategy and Marketing from March 2000 to December 2000 and he was Senior Vice President, Strategy, Corporate Development and Administration from March 1999 until March 2000. He joined Intuit in January 1998 as Senior Vice President of Strategy, Finance and Administration. Prior to joining

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Intuit, Mr. Stern spent over ten years with The Boston Consulting Group (a business consulting firm), where he was the partner responsible for the firm’s West Coast high technology practice from May 1994 to December 1997. Mr. Stern holds a Bachelor of Science degree in Mechanical Engineering from Stanford University and a Masters in Business Administration from Harvard Business School.

Ms. Ahmed has been Vice President, Finance since July 1999, with responsibility for financial planning and analysis. She joined Intuit in April 1997 as Director of Finance. She also served as Corporate Controller from November 1997 to September 2001. Prior to joining Intuit, she held divisional controller positions at Apple Computer, Inc. from August 1988 to March 1997. Ms. Ahmed holds a Bachelor of Arts degree in Business and a Masters in Business Administration from Santa Clara University and is also a certified public accountant.

Ms. Donahue has been Vice President, Sales since September 1997. She joined Intuit as Director of Sales in May 1995. Prior to joining Intuit, Ms. Donahue was Director of Sales at Knowledge Adventure and she worked in various sales and channel management positions at Apple Computer and Next, Inc. Ms. Donahue holds a Bachelor of Arts degree from Northwestern University.

Ms. Fellows has been Vice President, Treasury and Investor Relations since January 2000. She joined Intuit as Corporate Treasurer and Director of Investor Relations in May 1997. Prior to that, Ms. Fellows served as Treasurer and Director of Investor Relations of Bay Networks, Inc. from October 1990 to April 1997. Ms. Fellows holds a Bachelor of Arts degree from Stanford University and a Masters in Business Administration from Santa Clara University.

Ms. Lang has been Vice President, Corporate Public Relations, Marketing Communications and Privacy since March 2000. She joined Intuit as a Vice President of Corporate Communications in July 1998. Prior to joining Intuit, she was Vice President of Corporate Communications for a subsidiary of LVMH Moet Hennessy Louis Vuitton from February 1998 to May 1998 and Vice President of Corporate Communications for Pacific Telesis from 1994 to January 1998. Ms. Lang holds a Liberal Arts degree from Ohio State University.

Mr. Roderick has been Vice President, Personal Finance Division since March 2000. He was elected a Vice President of Intuit in October 1998. He joined Intuit in August 1996 as Group Product Manager, and became Director of Banking Services in March 1997. Prior to joining Intuit, he was a Vice President and Senior Marketing Manager for Wells Fargo. Mr. Roderick holds a Bachelor of Science degree in Business Administration from San Francisco State University and a Masters in Business Administration from the University of California, Berkeley.

Ms. Valentine has been Vice President since August 1997, Corporate Secretary since April 1996 and General Counsel since joining Intuit in September 1994. Prior to joining Intuit, Ms. Valentine served as general counsel for Macromedia and for Go Corporation. Ms. Valentine holds Bachelor of Arts degrees in Finance and Economics from the University of Illinois and a JD degree from the University of Chicago.

Ms. Whiteley has been Vice President, Human Resources since joining Intuit in July 2000. Prior to joining Intuit, she served in several human resources positions with Silicon Graphics, Inc. from 1992 to July 2000, including HR Strategy from 1994 to 1996, Executive Coaching and Development, Leadership Development and Technical Education from 1996 to 1998 and Executive Recruiting from 1998 to July 2000. Ms. Whiteley holds a Bachelor of Arts degree in History from Santa Clara University.

Mr. Williams has been Vice President, Finance Operations and Corporate Controller since joining Intuit in September 2001. Prior to joining Intuit, Mr. Williams was Chief Operating Officer and Chief Financial Officer of Edgewood Creek, Incorporated from September 2000 until March 2001, and was Vice President of Finance and Chief Financial Officer of Reasoning, Incorporated from June 1998 until September 2000. From July 1996 until June 1998, he was Director of Finance at Remedy Corporation. Mr. Williams, who is a certified public accountant, holds a Bachelor of Science degree in Industrial Design from San Jose State University and a Masters degree in Business Administration from Santa Clara University.

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PART II

Market Information for Common Stock

Intuit’s common stock began trading over the counter in March 1993 at the time of our initial public offering. It is quoted on the Nasdaq Stock Market under the symbol “INTU.” The following table shows the range of high and low sale prices reported on the Nasdaq Stock Market for the periods indicated. The market price of our common stock has been volatile. See “Management’s Discussion and Analysis of Financial Condition and Results of Operations — Risks That Could Affect Future Results.” On September 28, 2001, the closing price of Intuit’s common stock was $35.80.

Stockholders

As of September 28, 2001, we had approximately 1,000 record holders of our common stock, and about 80,000 beneficial holders.

Dividends

Intuit has never paid any cash dividends on its common stock. However, our financial statements reflect dividends previously paid by Rock Financial Corporation and Title Source Inc. because we accounted for those acquisitions as a pooling of interests. See Note 1 of the financial statements. We currently anticipate that we will retain all future earnings for use in our business, and do not anticipate paying any cash dividends in the foreseeable future.

Recent Sales of Unregistered Securities

Not applicable.

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ITEM 6
SELECTED FINANCIAL DATA

The following table shows selected consolidated financial information for Intuit for the past five fiscal years. The comparability of the information is affected by a variety of factors, including acquisitions and dispositions of businesses, and gains and losses related to marketable securities and other investments. To better understand the information in the table, investors should also read “Management’s Discussion and Analysis of Financial Condition and Results of Operations” beginning on page 20, and the Consolidated Financial Statements and Notes beginning on page 38.

FIVE-YEAR SUMMARY