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ACQUISITIONS
3 Months Ended
Nov. 01, 2014
Business Combinations [Abstract]  
ACQUISITIONS
ACQUISITIONS
During the three months ended November 1, 2014, the Company recorded adjustments to certain provisional amounts recorded as of the fiscal year ended August 2, 2014 related to the acquisition of all of the outstanding capital stock of Tony's Fine Foods ("Tony’s") by the Company’s wholly-owned subsidiary, United Natural Foods West, Inc. ("UNFI West") on July 15, 2014. These adjustments include (i) an increase to the fair value of the non-competition agreement assets and a decrease to the fair value of the customer relationship intangible asset by $0.9 million and $0.7 million, respectively, recorded within intangible assets based on updated valuation information, (ii) a decrease to the opening value of the property and equipment acquired of $0.8 million based on updated fair value information, and (iii) a decrease to goodwill of $0.1 million related to the working capital adjustment settlement. The aforementioned adjustments increased goodwill by a total of $0.5 million. While the Company is still completing the final valuation of the acquired fixed assets and intangibles and purchase accounting as of November 1, 2014, the Company does not expect any further material changes to the amounts recorded in the financial statements as of November 1, 2014. Net sales from the acquired business totaled approximately $214.8 million for three months ended November 1, 2014, and are consolidated within the Company's wholesale segment.
During the first quarter of fiscal 2014, the Company, within its wholesale segment, completed a business combination related to the acquisition of all of the equity interests of Trudeau Foods, LLC ("Trudeau Foods") from Trudeau Holdings, LLC, a portfolio company of Arbor Investments II, LP. The total cash consideration related to this acquisition was approximately $23.0 million. The fair value of the identifiable intangible assets acquired was determined by using an income approach. The identifiable intangible assets recorded based on the valuation consist of customer lists of $9.5 million, which are being amortized on a straight-line basis over an estimated useful life of approximately ten years. Significant assumptions utilized in the income approach were based on company-specific information and projections, which are not observable in the market and are considered Level 3 measurements as defined by authoritative guidance. Net sales of $18.6 million from the acquired business were consolidated within the wholesale segment for the three months ended November 1, 2014. Net sales from the date of acquisition to the end of the quarter ended November 2, 2013 were $7.6 million.
The acquisition of Trudeau Foods and the cash portion of the purchase price paid for Tony's were financed through borrowings under the Company’s amended and restated revolving credit facility. Acquisition costs related to these purchases were insignificant for the three months ended November 1, 2014 and November 2, 2013, respectively, and have been expensed as incurred and are included within "Operating Expenses" in the Condensed Consolidated Statements of Income. Each of these businesses were absorbed by the operations of the Company’s broadline distribution business; therefore, the Company does not record the expenses for these businesses separately from the rest of the broadline distribution business and it is not possible to provide complete financial results for each acquisition separately or in total.