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GOODWILL AND OTHER INTANGIBLES: (Tables)
6 Months Ended
Dec. 31, 2011
GOODWILL AND OTHER INTANGIBLES:  
Schedule of goodwill

 

 

 

 

Salons

 

Hair Restoration

 

 

 

 

 

North America

 

International

 

Centers

 

Consolidated

 

 

 

(Dollars in thousands)

 

 

 

 

 

 

 

 

 

 

 

Gross goodwill at June 30, 2011

 

$

715,219

 

$

41,661

 

$

152,796

 

$

909,676

 

Accumulated impairment losses

 

(187,503

)

(41,661

)

 

(229,164

)

Net goodwill at June 30, 2011

 

527,716

 

 

152,796

 

680,512

 

Goodwill acquired (1)

 

4,966

 

 

 

4,966

 

Translation rate adjustments

 

(2,952

)

 

(3

)

(2,955

)

Goodwill impairment (2)

 

 

 

(78,426

)

(78,426

)

Gross goodwill at December 31, 2011

 

717,233

 

41,661

 

152,793

 

911,687

 

Accumulated impairment losses

 

(187,503

)

(41,661

)

(78,426

)

(307,590

)

Net goodwill at December 31, 2011

 

$

529,730

 

$

 

$

74,367

 

$

604,097

 

 

(1)          See Note 5 to the Condensed Consolidated Financial Statements.

(2)          As a result of the Company’s interim impairment test of goodwill during the three months ended December 31, 2011, a $78.4 million impairment charge was recorded for the excess of the carrying value of goodwill over the implied fair value of goodwill for the Hair Restoration Centers reporting unit.

Schedule of additional information concerning other intangibles, net

 

 

 

 

December 31, 2011

 

June 30, 2011

 

 

 

 

 

Accumulated

 

 

 

 

 

Accumulated

 

 

 

 

 

Cost

 

Amortization

 

Net

 

Cost

 

Amortization

 

Net

 

 

 

(Dollars in thousands)

 

Amortized intangible assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

Brand assets and trade names

 

$

79,966

 

$

(15,272

)

$

64,694

 

$

80,310

 

$

(14,329

)

$

65,981

 

Customer lists

 

53,188

 

(36,888

)

16,300

 

53,188

 

(34,096

)

19,092

 

Franchise agreements

 

22,302

 

(9,261

)

13,041

 

22,221

 

(8,909

)

13,312

 

Lease intangibles

 

14,882

 

(5,510

)

9,372

 

14,948

 

(5,168

)

9,780

 

Non-compete agreements

 

206

 

(99

)

107

 

353

 

(232

)

121

 

Other

 

4,385

 

(1,488

)

2,897

 

4,429

 

(1,387

)

3,042

 

 

 

$

174,929

 

$

(68,518

)

$

106,411

 

$

175,449

 

$

(64,121

)

$

111,328

Schedule of weighted average amortization periods of intangible assets

 

 

 

 

Weighted Average

 

 

 

Amortization Period

 

 

 

December
31, 2011

 

June
30, 2011

 

 

 

(In years)

 

Amortized intangible assets:

 

 

 

 

 

Brand assets and trade names

 

39

 

39

 

Customer lists

 

10

 

10

 

Franchise agreements

 

22

 

22

 

Lease intangibles

 

20

 

20

 

Non-compete agreements

 

6

 

5

 

Other

 

22

 

25

 

Total

 

26

 

26

Schedule of future estimated amortization expense related to amortizable intangible assets

 

 

Fiscal Year

 

(Dollars in
thousands)

 

2012 (Remainder: six-month period)

 

$

4,804

 

2013

 

9,408

 

2014

 

9,195

 

2015

 

6,153

 

2016

 

3,995