Goodwill And Intangible Assets

6 Months Ended

Oct. 31, 2013

Goodwill and Intangible Assets Disclosure [Abstract]

Changes in the carrying amount of goodwill of our Tax Services segment for the six months ended October 31, 2013 and 2012 are as follows:



(in 000s)
	Goodwill			Accumulated Impairment Losses			Net
Balances as of April 30, 2013	$	467,079		$	(32,297	)	$	434,782
Acquisitions	9,207			—			9,207
Disposals and foreign currency changes, net	(1,177		)	—			(1,177		)
Impairments	—			—			—
Balances as of October 31, 2013	$	475,109		$	(32,297	)	$	442,812

Balances as of April 30, 2012	$	459,863		$	(32,297	)	$	427,566
Acquisitions	6,922			—			6,922
Disposals and foreign currency changes, net	4			—			4
Impairments	—			—			—
Balances as of October 31, 2012	$	466,789		$	(32,297	)	$	434,492

We test goodwill for impairment annually or more frequently if events occur or circumstances change which would, more likely than not, reduce the fair value of a reporting unit below its carrying value.

Components of the intangible assets of our Tax Services segment are as follows:



(in 000s)
	Gross Carrying Amount		Accumulated Amortization			Net
As of October 31, 2013:
Reacquired franchise rights	$	222,371	$	(20,414	)	$	201,957
Customer relationships	109,237		(53,501		)	55,736
Internally-developed software	98,738		(76,517		)	22,221
Noncompete agreements	23,659		(21,898		)	1,761
Franchise agreements	19,201		(6,294		)	12,907
Purchased technology	14,800		(13,169		)	1,631
Trade name	300		(300		)	—
	$	488,306	$	(192,093	)	$	296,213
As of October 31, 2012:
Reacquired franchise rights	$	214,330	$	(16,143	)	$	198,187
Customer relationships	95,647		(50,151		)	45,496
Internally-developed software	82,405		(69,508		)	12,897
Noncompete agreements	22,313		(21,525		)	788
Franchise agreements	19,201		(5,014		)	14,187
Purchased technology	14,700		(11,495		)	3,205
Trade name	1,300		(867		)	433
	$	449,896	$	(174,703	)	$	275,193
As of April 30, 2013:
Reacquired franchise rights	$	214,330	$	(18,204	)	$	196,126
Customer relationships	100,719		(48,733		)	51,986
Internally-developed software	91,745		(72,764		)	18,981
Noncompete agreements	23,058		(21,728		)	1,330
Franchise agreements	19,201		(5,654		)	13,547
Purchased technology	14,800		(12,331		)	2,469
Trade name	300		(300		)	—
	$	464,153	$	(179,714	)	$	284,439

Amortization of intangible assets of continuing operations for the three and six months ended October 31, 2013 was $6.5 million and $12.6 million, respectively. Amortization of intangible assets of continuing operations for the three and six months ended October 31, 2012 was $7.3 million and $13.3 million, respectively. Estimated amortization of intangible assets for fiscal years 2014, 2015, 2016, 2017 and 2018 is $25.5 million, $22.9 million, $19.3 million, $16.0 million and $14.6 million, respectively.

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

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