Goodwill & Intangible Assets

6 Months Ended

Sep. 30, 2011

Goodwill & Intangible Assets [Abstract]

Goodwill & Intangible Assets

8. Goodwill & Intangible Assets

Goodwill

The carrying amount of goodwill was $141.4 million and $128.2 million as of September 30, 2011 and March 31, 2011. The Company's goodwill resulted from the acquisition of Psytechnics in April 2011, Network General Central Corporation (Network General) in November 2007, the acquisition of substantially all of the assets of Quantiva, Inc. in April 2005 and the acquisition of NextPoint Networks, Inc. in July 2000.

	September 30, 2011
Balance as of March 31, 2011	$	128,177
Goodwill related to the acquisition of Psytechnics		13,179
Balance as of September 30, 2011	$	141,356

Intangible Assets

The net carrying amounts of intangible assets were $48.9 million and $47.7 million as of September 30, 2011 and March 31, 2011, respectively. Intangible assets acquired in a business combination are recorded under the acquisition method of accounting at their estimated fair values at the date of acquisition. The Company amortizes intangible assets over their estimated useful lives, except for the acquired trade name which resulted from the Network General acquisition, which has an indefinite life and thus is not amortized. The carrying value of the indefinite lived trade name will be evaluated for potential impairment annually or more frequently if events or changes in circumstances indicate that the asset might be impaired.

Intangible assets consist of the following as of September 30, 2011 (in thousands):

	Cost		Accumulated Amortization			Net
Acquired software	$	21,100	$	(15,691	)	$	5,409
Customer relationships		29,650		(7,401	)		22,249
Indefinite lived trade name		18,600		0			18,600
Core technology		2,700		(104	)		2,596
Net beneficial leases		336		(326	)		10
Other		103		(28	)		75
	$	72,489	$	(23,550	)	$	48,939

Amortization of software and core technology included as cost of product revenue was $1.1 million and $2.2 million for the three and six months ended September, 2011, respectively. Amortization of other intangible assets included as operating expense was $521 thousand and $976 thousand for the three and six months ended September 30, 2011, respectively.

Intangible assets consist of the following as of March 31, 2011 (in thousands):

	Cost		Accumulated Amortization			Net
Acquired software	$	19,900	$	(13,598	)	$	6,302
Customer relationships		29,200		(6,437	)		22,763
Indefinite lived trade name		18,600		0			18,600
Net beneficial leases		336		(315	)		21
	$	68,036	$	(20,350	)	$	47,686

Amortization of software included as cost of product revenue was $995 thousand and $2.0 million for the three and six months ended September 30, 2010, respectively. Amortization of other intangible assets included as operating expense was $477 thousand and $954 thousand for the three and six months ended September 30, 2010, respectively.

The following is the expected future amortization expense as of September 30, 2011 for the years ended March 31 (in thousands):

2012 (remaining six months)	$	3,246
2013		5,036
2014		2,644
2015		2,526
2016		2,382
Thereafter		14,505
	$	30,339

The weighted average amortization period of acquired software and customer relationships is 5.5 and 15.4 years respectively. The weighted average amortization period for amortizing intangibles is 11.0 years.