XML 32 R12.htm IDEA: XBRL DOCUMENT v2.4.0.6
Goodwill and Other Intangible Assets
12 Months Ended
Feb. 29, 2012
Goodwill and Other Intangible Assets [Abstract]  
Goodwill and Other Intangible Assets

(5) Goodwill and Other Intangible Assets

Goodwill represents the excess of the purchase price over the fair value of net assets of acquired businesses and is not amortized. Goodwill and indefinite-lived intangibles are evaluated for impairment on an annual basis, or more frequently if impairment indicators arise, using a fair-value-based test that compares the fair value of the asset to its carrying value. Fair values of reporting units are typically calculated using a factor of expected earnings before interest, taxes, depreciation, and amortization. Based on this evaluation, no impairment was recorded. The Company must make assumptions regarding estimated future cash flows and other factors to determine the fair value of the respective assets in assessing the recoverability of its goodwill and other intangibles. If these estimates or the related assumptions change, the Company may be required to record impairment charges for these assets in the future.

The cost of intangible assets is based on fair values at the date of acquisition. Intangible assets with determinable lives are amortized on a straight-line basis over their estimated useful life (between 1 and 10 years). Trademarks with indefinite lives are evaluated for impairment on an annual basis, or more frequently if impairment indicators arise. The Company assesses the recoverability of its definite-lived intangible assets primarily based on its current and anticipated future undiscounted cash flows.

 

The carrying amount and accumulated amortization of the Company’s intangible assets at each balance sheet date are as follows (in thousands):

 

                                 

As of February 29, 2012

  Weighted
Average
Amortization
Period
(in years)
    Gross
Carrying
Amount
    Accumulated
Amortization
    Net  

Amortized intangible assets (in thousands)

                               

Tradenames

    0.75     $ 1,234     $ 1,139     $ 95  

Customer lists

    7.21       37,887       14,699       23,188  

Noncompete

    —         500       500       —    

Patent

    6.00       773       5       768  
           

 

 

   

 

 

   

 

 

 

Total

    7.00     $ 40,394     $ 16,343     $ 24,051  
           

 

 

   

 

 

   

 

 

 
         

As of February 28, 2011

                       

Amortized intangible assets (in thousands)

                               

Tradenames

    1.76     $ 1,234     $ 1,007     $ 227  

Customer lists

    7.46       29,957       12,410       17,547  

Noncompete

    1.00       500       495       5  
           

 

 

   

 

 

   

 

 

 

Total

    7.14     $ 31,691     $ 13,912     $ 17,779  
           

 

 

   

 

 

   

 

 

 

 

                 
    Fiscal years ended  
    2012     2011  

Non-amortizing intangible assets (in thousands)

               

Trademarks

  $ 63,378     $ 58,538  
   

 

 

   

 

 

 

Aggregate amortization expense for each of the fiscal years 2012, 2011 and 2010 was approximately $2.4 million.

The Company’s estimated amortization expense for the next five years is as follows (in thousands):

 

         

2013

  $ 3,278  

2014

    3,180  

2015

    3,063  

2016

    3,004  

2017

    3,004  

Changes in the net carrying amount of goodwill for the fiscal years ended are as follows (in thousands):

 

                         
    Print
Segment
Total
    Apparel
Segment
Total
    Total  

Balance as of March 1, 2010

  $ 42,792     $ 74,549     $ 117,341  

Goodwill acquired

    —         —         —    

Goodwill impairment

    —         —         —    
   

 

 

   

 

 

   

 

 

 

Balance as of March 1, 2011

    42,792       74,549       117,341  

Goodwill acquired

    4,293       —         4,293  

Goodwill impairment

    —         —         —    
   

 

 

   

 

 

   

 

 

 

Balance as of February 29, 2012

  $ 47,085     $ 74,549     $ 121,634