ACQUISITIONS

The following table contains the estimated fair values (using inputs as discussed in Note 13) of the assets acquired and liabilities assumed at the date of acquisition for all acquisitions during the periods presented, and any additional consideration paid for prior years’ acquisitions. We are finalizing all the information required to complete the purchase price allocations related to certain recent acquisitions and do not anticipate any material modifications.



	Six Months Ended June 30,
	2016			2015
Accounts receivable	$	1.1		$	3.7
Inventory	4.0			4.8
Property, plant and equipment	2.5			2.3
Goodwill (1)	3.8			8.3
Other intangible assets. primarily customer-related intangibles	7.5			14.7
Other current and long-term assets	—			.1
Current liabilities	(2.0		)	(11.2		)
Long-term liabilities	(.4		)	(10.4		)
Additional consideration received for prior years’ acquisitions	.4			(1.2		)
Fair value of net identifiable assets	16.9			11.1
Net cash consideration	$	16.9		$	11.1

(1) The majority of the goodwill associated with the 2016 and 2015 acquisitions is expected to provide an income tax benefit.

The following table summarizes acquisitions for the periods presented.

A brief description of our most significant acquisitions by year is included below.

2016

In February 2016, we expanded our Aerospace Products business unit with the acquisition of a 100% interest of a U.S. fabricated tubing business for a purchase price of $16.5. Factors contributing to the recognition of $3.8 in goodwill from the acquisition included: additional production of fabricated tubing and pipe assemblies and benefits from our vertical integration in precision machining and gearing.

2015

In March 2015, we acquired a 70% interest in a European private-label manufacturer of high-end upholstered furniture for office, commercial and other settings for a purchase price of $22.7. This business is complementary to our North American private-label operation and allows us to support our Work Furniture customers as they expand globally. We will acquire the remaining 30% in 2018 and 2020, per the terms of the agreement, and have recorded a long-term liability of approximately $12 for the future payments. Future payments are based upon a calculation that incorporates future EBITDA. The recorded liability is based upon estimates and may fluctuate significantly until the payment dates. Fluctuations in this liability will be reflected in interest income or expense on the Consolidated Condensed Statement of Operations.

The results of operations of the above acquired companies have been included in the consolidated financial statements since the dates of acquisition. The unaudited pro forma consolidated net sales, net earnings and earnings per share as though the 2016 and 2015 acquisitions had occurred on January 1 of each year presented are not materially different from the amounts reflected in the accompanying financial statements. Certain of our acquisition agreements provide for additional consideration to be paid in cash at a later date and are recorded as a liability at the acquisition date. At June 30, 2016, there was no substantial remaining consideration payable other than the liability discussed above.

Six Months Ended

Number of Acquisitions

Product/Service

June 30, 2016

Specialized Products

Fabricated tubing and pipe assemblies

June 30, 2015

Commercial Products

Upholstered office furniture