Cash Provided by Financing Activities Cash Used for Investing Activities Cash used for investing activities consists primarily of cash used  for acquisitions, purchases of investments less proceeds from the  maturity or sale of investments, and cash used for capital expendi- tures. The level of investing activities can vary from period to period  depending on the level of activity in these three categories. Cash  used for investing activities was $87.9 million in 2010, $174.7 million  in 2009, and $179.1 million in 2008. Cash used for acquisitions in 2010, net of cash acquired, was $102.3  million. We completed seven acquisitions in 2010. The majority of  the cash used for acquisitions was related to our purchase of  Realpoint, OBSR, Morningstar Denmark, and the annuity intelligence  business of Advanced Sales and Marketing Corp. In comparison,  cash used for acquisitions, net of acquired cash, was $74.2 million  in 2009. We completed six acquisitions in 2009 and increased our  investment in Morningstar Korea. The majority of the cash used for  acquisitions was related to our purchase of LIM and our acquisition  of the equity research and data business CPMS. In 2008, cash used  for acquisitions, net of cash acquired, was $105.4 million, with the majority of this used for our acquisition of the Hemscott data,  media, and investor relations website businesses and Tenfore  Systems Limited. In 2010, proceeds from the maturity and sale of investments exceeded  the purchases of investments by $28.6 million. In contrast, purchases  of investments, net of proceeds from the maturity and sale of invest- ments, were $83.9 million and $24.9 million in 2009 and 2008,  respectively. In 2010, we transferred funds from our investment  portfolio to cash and cash equivalents to pay for acquisitions made  in 2010. As of December 31, 2010 and 2009, we had investments,  consisting primarily of fixed-income securities, of $185.2 million  and $212.1million, respectively. As of December 31, 2010, our invest- ments represented approximately 51% of our total cash, cash  equivalents, and investments, down 11percentage points compared  with December 31, 2009. Capital expenditures were $14.8 million, $12.4 million, and $48.5  million in 2010, 2009, and 2008, respectively. The 2010 capital expen- ditures include spending for our new office space in Shenzhen, China.  Capital expenditures peaked in 2008 when we paid for the build-out  of our new headquarters in Chicago. Some of the cash outlay for  this investment continued into 2009. Capital expenditures in 2009  also include investment for a couple of our office locations in Europe.  Tenant improvement allowances of $16.3 million, which are included  in cash provided by operating activities, reduced the total amount of cash we paid for the headquarters build-out in 2008.  We expect to make capital expenditures of approximately $14 mil- lion to $17 million in 2011, primarily for leasehold improvements at  new and existing office locations. A portion of this includes remain- ing payments for our new development center in China. Cash provided by financing activities consists primarily of proceeds  from stock-option exercises and excess tax benefits related to stock- option exercises and vesting of restricted stock units. These cash  inflows are offset by cash used to repurchase outstanding common  stock through our share repurchase program. Excess tax benefits occur at the time a stock option is exercised  when the intrinsic value of the option (the difference between the  fair value of our stock on the date of exercise and the exercise price  of the option) is greater than the fair value of the option at the time  of grant. Similarly, the vesting of restricted stock units generates  excess tax benefits when the market value of our common stock on  the vesting date exceeds the grant price of the restricted stock units.  These excess tax benefits reduce the cash we pay for income taxes  in the year they are recognized. It is not possible to predict the  timing of stock-option exercises or the intrinsic value that will be  achieved at the time options are exercised or upon vesting of  restricted stock units. As a result, we expect cash flow from financ- ing activities to vary over time. Note 11 in the Notes to our  Consolidated Financial Statements includes additional information  concerning stock options and restricted stock units outstanding as  of December 31, 2010. In 2010, cash provided by financing activities was $12.5 million.  Proceeds from stock-option exercises totaled $9.2 million, while  excess tax benefits related to stock-option exercises and vesting  of restricted stock units totaled $7.5 million. Partially offsetting  these inflows was $3.8 million of cash used to repurchase outstand- ing common stock through our share repurchase program. In 2010,  cash provided by financing activities decreased by $12.8 million,  driven by a decrease in proceeds from stock-option exercises, a  decline in excess tax benefits, and (to a lesser extent) cash used to  repurchase common shares. Morningstar, Inc. 2010 Annual Report 91