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ACQUISITIONS
9 Months Ended
Jun. 30, 2011
ACQUISITIONS  
ACQUISITIONS

4. ACQUISITIONS

        During the nine months ended June 30, 2011, the Company made four acquisitions of businesses. On October 7, 2010, the Company acquired certain operating assets of TRC Nutritional Labs, Inc. On October 14, 2010, the Company acquired certain operating assets of The Heritage Store, Inc. On February 24, 2011, the Company acquired certain operating assets of SunFeather Natural Soap Company, Inc. On May 26, 2011, the Company acquired certain operating assets of Skin by Ann Webb, LLC.

        The aggregate purchase price of these acquisitions was $9,327 in cash. The Condensed Consolidated Statements of Operations and the Condensed Consolidated Statements of Cash Flows presented herein include the activities of these acquired businesses from their respective dates of acquisition. The expected long-term sales and expense synergies of acquired businesses generally are not realized immediately following acquisition as certain transition and integration matters must be completed.

        These acquisitions are in keeping with the Company's business strategy of consolidating the fragmented industry in which it competes and were accounted for using the acquisition method of accounting. Accordingly, the aggregate purchase price was assigned to the assets acquired based on their fair market values at their respective dates of acquisition. The excess of aggregate purchase price over the fair market values of the assets acquired was classified as goodwill. The following reflects the final allocation of the aggregate purchase price for these acquisitions to the aggregate assets acquired:

Current assets

  $ 1,404  

Property, plant and equipment

    4,332  

Goodwill

    1,825  

Intangible assets

    1,766  
       

 

  $ 9,327  
       

        The acquired intangible assets include trademarks and tradenames totaling $449 that have indefinite lives and are not subject to amortization, as well as trademarks and tradenames totaling $100, customer relationships totaling $1,137 and a non-compete agreement totaling $80, which are being amortized for financial statement purposes over three to six years. The acquired intangible assets of $1,766, as well as goodwill of $1,825, which is not subject to amortization for financial statement purposes, are expected to be deductible for tax purposes over 15 years.