Goodwill And Intangible Assets

9 Months Ended

Jan. 31, 2017

Goodwill and Intangible Assets Disclosure [Abstract]

NOTE 4: GOODWILL AND INTANGIBLE ASSETS

Changes in the carrying amount of goodwill for the nine months ended January 31, 2017 and 2016 are as follows:



(in 000s)
	Goodwill			Accumulated Impairment Losses			Net
Balances as of April 30, 2016	$	503,054		$	(32,297	)	$	470,757
Acquisitions	13,346			—			13,346
Disposals and foreign currency changes, net	(783		)	—			(783		)
Impairments	—			—			—
Balances as of January 31, 2017	$	515,617		$	(32,297	)	$	483,320

Balances as of April 30, 2015	$	474,128		$	(32,297	)	$	441,831
Acquisitions	4,025			—			4,025
Disposals and foreign currency changes, net	(2,438		)	—			(2,438		)
Impairments	—			—			—
Balances as of January 31, 2016	$	475,715		$	(32,297	)	$	443,418

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 intangible assets are as follows:



(in 000s)
	Gross Carrying Amount		Accumulated Amortization			Net
As of January 31, 2017:
Reacquired franchise rights	$	328,321	$	(85,127	)	$	243,194
Customer relationships	216,449		(124,771		)	91,678
Internally-developed software	142,571		(108,047		)	34,524
Noncompete agreements	31,821		(27,033		)	4,788
Franchise agreements	19,201		(10,454		)	8,747
Purchased technology	54,700		(30,457		)	24,243
Acquired assets pending final allocation ⁽¹⁾	27,546		—			27,546
	$	820,609	$	(385,889	)	$	434,720
As of January 31, 2016:
Reacquired franchise rights	$	338,242	$	(63,812	)	$	274,430
Customer relationships	201,197		(96,043		)	105,154
Internally-developed software	126,980		(91,655		)	35,325
Noncompete agreements	34,454		(25,240		)	9,214
Franchise agreements	19,201		(9,174		)	10,027
Purchased technology	54,700		(24,393		)	30,307
Acquired assets pending final allocation ⁽¹⁾	9,275		—			9,275
	$	784,049	$	(310,317	)	$	473,732
As of April 30, 2016:
Reacquired franchise rights	$	319,354	$	(68,284	)	$	251,070
Customer relationships	206,607		(104,072		)	102,535
Internally-developed software	131,161		(95,768		)	35,393
Noncompete agreements	31,499		(25,572		)	5,927
Franchise agreements	19,201		(9,494		)	9,707
Purchased technology	54,700		(25,909		)	28,791
Acquired assets pending final allocation ⁽¹⁾	462		—			462
	$	762,984	$	(329,099	)	$	433,885

⁽¹⁾ Represents business acquisitions for which final purchase price allocations have not yet been determined.

Amortization of intangible assets for the three and nine months ended January 31, 2017 was $19.3 million and $57.3 million, respectively. Amortization of intangible assets for the three and nine months ended January 31, 2016 was $20.2 million and $54.6 million, respectively. Estimated amortization of intangible assets for fiscal years 2017, 2018, 2019, 2020 and 2021 is $71.6 million, $70.1 million, $55.0 million, $39.0 million and $26.5 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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