Business Acquisition (Tables)

9 Months Ended

Sep. 28, 2014

Purchase price comprised of business acquisition

The total aggregate consideration to acquire Fusion-io was $1.26 billion and comprised of the following (in thousands):



	Purchase Price
Cash consideration	$	1,256,502
Fair value of assumed equity attributed to pre-combination service	7,041
Total purchase price	$	1,263,543

Fair Value Inputs of Assumed Equity Awards

The weighted-average fair value of the assumed unvested stock option awards was $35.02 and was determined using the Black-Scholes-Merton valuation model and included the following assumptions:



Dividend yield	1.14%
Expected volatility	0.32
Risk-free interest rate	1.00%
Weighted average expected life	2.6 years

Allocation of purchase price to tangible assets acquired and liabilities assumed

The following table presents the fair values of the tangible and intangible assets acquired and liabilities assumed from, and goodwill attributed to, the Fusion-io acquisition as of July 23, 2014 (in thousands):



Cash	$	190,336
Accounts receivable, net	67,666
Inventory	76,780
Deferred tax asset, net	23,254
Finite-lived intangible assets	382,000
IPR&D	61,000
Goodwill	542,690
Other assets	34,908
Other current liabilities	(96,482		)
Other non-current liabilities	(18,609		)
Total purchase price	$	1,263,543

Finite-Lived and Indefinite-Lived Intangible Assets Acquired as Part of Business Combination [Table Text Block]

The following table presents the fair value of the intangible assets acquired (in thousands):



	Weighted-Average Useful Lives	Fair Value
Intangible assets:
Developed technology	5 years	$	271,000
Trademark and trade names	5 years	54,000
Customer relationships	1.5 years	57,000
IPR&D		61,000
Total intangible assets acquired, excluding goodwill		$	443,000