SeaBotix Inc. Acquisition (Tables)

12 Months Ended

Jun. 30, 2012

Business Combinations [Abstract]

Schedule of Business Acquisitions, by Acquisition [Table Text Block]

The total purchase price paid or accrued, after the measurement period adjustment of $301,000 in fiscal year 2012, consisted of the following:

Cash paid	$	9,500,000
Accrual for contingent earnout payments		5,000,000
Accrual for holdback and proforma working capital adjustment		1,560,000
Total Purchase Price	$	16,060,000

The final purchase price allocation was as follows:

Net current assets, including cash acquired of $316,000 and accounts receivable acquired of $1,342,000	$	4,963,000
Non-current assets (mainly property and equipment)		796,000
Goodwill		6,270,000*
Other intangible assets		8,500,000
Accounts payable and accrued expenses		(1,010,000	)
Debt assumed		(539,000	)
Deferred tax liability (non-current)		(2,920,000	)
Total purchase price allocation	$	16,060,000

* None of the goodwill is deductible for income tax purposes.

Schedule of Business Acquisitions by Acquisition, Contingent Consideration [Table Text Block]

Set forth below is a summary of the activity in the contingent earnout liability (all amounts represent fair values) from the date of closing to June 30, 2012:

	Contingent Earnout Liability
Balance at closing	$	5,000,000
Earnout paid in fiscal year 2011		(2,000,000	)
Balance at June 30, 2011		3,000,000
Earnout paid in fiscal year 2012		(2,500,000	)
Increase to contingent earnout liability in June 2012		4,500,000
Balance at June 30, 2012	$	5,000,000*

* Refer to Note 9 to Consolidated Financial Statements for further information concerning the SBX contingent earnout liability.

Schedule of Intangible Assets and Goodwill [Table Text Block]

The following table summarizes key information underlying SBX’s identifiable intangible assets related to the acquisition:

Category	Life		Amount		Annual Amortization
Tradename		Indefinite	$	1,200,000	$	—
Acquired technology		6 - 15 years		5,900,000		583,000
Customer and distributor relationships		7 years		1,400,000		200,000
Total			$	8,500,000	$	783,000