Activision, Inc. — 2004 Annual Report Notes to Consolidated Financial Statements The following table summarizes our cash, cash equivalents and short-term investments as of March 31, 2003 (amounts in thousands): The following table summarizes the maturities of our investments in debt securities as of March 31, 2004 (amounts  in thousands): For the year ended March 31, 2004, net realized gains on short-term investments consisted of $25,000 of gross real- ized gains and $4,000 of gross realized losses. For the year ended March 31, 2003, net realized gains on short-term investments consisted of $350,000 of gross realized gains and $116,000 of gross realized losses. As of March 31, 2002, we held no short-term investments and had no gross realized gains or losses for the year then ended. As of March 31, 2004, capitalized software development costs included $35.3 million of internally developed soft- ware costs and $51.5 million of payments made to third-party software developers. As of March 31, 2003, capital- ized software development costs included $26.0 million of internally developed software costs and $36.1 million of payments made to third-party software developers. Capitalized intellectual property licenses were $48.5 million and $45.8 million as of March 31, 2004 and 2003, respectively. Amortization and write-offs of capitalized software development costs and intellectual property licenses, combined, was $87.9 million, $100.4 million and $62.5 million for the years ended March 31, 2004, 2003 and 2002, respectively. 5. Software Development Costs and Intellectual Property Licenses Amortized Fair Cost Value Due in one year or less $326,694 $326,699 Due after one year through two years 76,325 76,381 403,019 403,080 Asset-backed securities 23,113 23,149 To ta l $426,132 $426,229 Gross Gross Amortized Unrealized Unrealized Fair Cost Gains Losses Value Cash and cash equivalents: Cash and time deposits $ 87,348 $ — $ — $ 87,348 Money market funds 35,507 — — 35,507 Auction rate notes 162,699 — — 162,699 Cash and cash equivalents 285,554 — — 285,554 Short-term investments: Corporate bonds 16,712 34 — 16,746 Taxable senior debt 2,253 — — 2,253 U.S. agency issues 52,055 65 (12) 52,108 Asset-backed bonds 39,224 122 (75) 39,271 Municipal bonds 11,022 — — 11,022 Short-term investments 121,266 221 (87) 121,400 Cash, cash equivalents and short-term investments $406,820 $221 $(87) $406,954 page 58