GOODWILL AND OTHER INTANGIBLE ASSETS

12 Months Ended

Oct. 31, 2016

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets Disclosure [Text Block]

GOODWILL AND OTHER INTANGIBLE ASSETS

Changes in the carrying amount of goodwill during fiscal 2016 and 2015 by operating segment are as follows (in thousands):



	Segment						Consolidated
	FSG			ETG			Totals
Balances as of October 31, 2014		$282,407			$403,864			$686,271
Goodwill acquired	56,441			32,703			89,144
Foreign currency translation adjustments	(1,341		)	(7,435		)	(8,776		)
Balances as of October 31, 2015	337,507			429,132			766,639
Goodwill acquired	—			100,301			100,301
Foreign currency translation adjustments	(256		)	(425		)	(681		)
Adjustments to goodwill	(570		)	28			(542		)
Balances as of October 31, 2016		$336,681			$529,036			$865,717

The goodwill acquired during fiscal 2016 and 2015 relates to the acquisitions consummated in those respective years as described in Note 2, Acquisitions, and represents the residual value after the allocation of the total consideration to the tangible and identifiable intangible assets acquired and liabilities and noncontrolling interests assumed. Foreign currency translation adjustments reflect unrealized translation losses on the goodwill recognized in connection with the acquisition of foreign subsidiaries and are included in other comprehensive income (loss) in the Company's Consolidated Statements of Comprehensive Income. The adjustments to goodwill represent immaterial measurement period adjustments to the purchase price allocation of certain fiscal 2015 acquisitions. The Company estimates that all of the goodwill acquired in fiscal 2016 and approximately $60 million of the goodwill acquired in fiscal 2015 is deductible for income tax purposes. Based on the annual test for goodwill impairment as of October 31, 2016, the Company determined there is no impairment of its goodwill and the fair value of each of the Company’s reporting units significantly exceeded their carrying value.

Identifiable intangible assets consist of the following (in thousands):



	As of October 31, 2016							As of October 31, 2015
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Amortizing Assets:
Customer relationships		$248,271		($88,829	)		$159,442		$190,450		($63,461	)		$126,989
Intellectual property	139,817		(33,291		)	106,526		98,143		(22,912		)	75,231
Licenses	6,559		(2,325		)	4,234		4,200		(1,882		)	2,318
Non-compete agreements	811		(811		)	—		914		(914		)	—
Patents	779		(480		)	299		746		(447		)	299
Trade names	466		(77		)	389		166		(38		)	128
	396,703		(125,813		)	270,890		294,619		(89,654		)	204,965
Non-Amortizing Assets:
Trade names	95,973		—			95,973		67,628		—			67,628
		$492,676		($125,813	)		$366,863		$362,247		($89,654	)		$272,593

The increase in the gross carrying amount of customer relationships, intellectual property, and amortizing and non-amortizing trade names as of October 31, 2016 compared to October 31, 2015 principally relates to such intangible assets recognized in connection with the fiscal 2016 acquisitions (See Note 2, Acquisitions).

Amortization expense related to intangible assets was $36.4 million, $27.0 million and $27.7 million in fiscal 2016, 2015 and 2014, respectively. Amortization expense for each of the next five fiscal years and thereafter is estimated to be $36.6 million in fiscal 2017, $34.6 million in fiscal 2018, $32.4 million in fiscal 2019, $29.8 million in fiscal 2020, $27.2 million in fiscal 2021 and $110.3 million thereafter.

- 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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