(15) Goodwill

The changes in carrying amount of goodwill by segment for the years ended July 31, 2011, 2010 and 2009 are as follows:

	Telecommunications	RF Microwave	Mobile Data
	Transmission	Amplifiers	Communications	Total

Goodwill	$ 107,779,000	29,575,000	11,899,000	$ 149,253,000
Accumulated impairment	-	-	-	-
Balance at July 31, 2009	107,779,000	29,575,000	11,899,000	149,253,000

Insite earn-out payment	-	-	1,350,000	1,350,000
Impairment of goodwill	-	-	(13,249,000)	(13,249,000)

Goodwill	107,779,000	29,575,000	13,249,000	150,603,000
Accumulated impairment	-	-	(13,249,000)	(13,249,000)
Balance at July 31, 2010	107,779,000	29,575,000	-	137,354,000

Goodwill	107,779,000	29,575,000	13,249,000	150,603,000
Accumulated impairment	-	-	(13,249,000)	(13,249,000)
Balance at July 31, 2011	$ 107,779,000	29,575,000	-	$ 137,354,000

For purposes of reviewing impairment and the recoverability of goodwill and other intangible assets, each of our three operating segments constitutes a reporting unit and we must make various assumptions regarding estimated future cash flows and other factors in determining the fair values of the reporting unit. We perform an annual impairment review in the first quarter of each fiscal year.

Based on our annual impairment review performed on August 1, 2011 (the start of our first quarter of fiscal 2012), we determined that none of the goodwill recorded on our consolidated balance sheet was impaired. Unless there are future indicators of impairment, such as a significant adverse change in our future financial performance, our next impairment review for goodwill will be performed and completed in the first quarter of fiscal 2013. Any impairment charges that we may record in the future could be material to our results of operations and financial condition.

We performed our annual impairment reviews on August 1, 2010 and 2009 (the start of our first quarter of fiscal 2011 and 2010, respectively) and we determined that none of the goodwill recorded on our Consolidated Balance Sheets was impaired. During fiscal 2011, there were no indicators of impairment which would have required us to perform an interim impairment test in accordance with FASB ASC 350, "Intangibles Goodwill and Other."

During the fourth quarter of our fiscal 2010, we were notified by the U.S. Army that we were not selected as the vendor or program manager for the BFT-2 program. As a result, we experienced a significant and sustained decline in our stock price and we determined that it was appropriate to conduct an interim impairment test for all three of our reporting units. Based on our interim impairment analysis, we determined that all of our mobile data communications reporting unit's goodwill was impaired. As a result, we recorded a goodwill impairment charge of $13,249,000 for the fiscal year ended July 31, 2010.